Astro Malaysia Holdings Bhd. · MYX:ASTRO

Astro Malaysia Holdings Bhd — FY2015 Earnings Presentation

21 slides from Astro Malaysia Holdings Bhd's earnings presentation, Mar 30, 2015

  1. Slide 1: 4th quarter and full year FY15 results

    4th quarter and full year FY15 results 30th March 2015

  2. Slide 2: Disclaimer

    Disclaimer This document contains certain forward-looking statements with respect to Astro Malaysia Holdings Berhad’s (“Astro”) financial condition, results of operations and business, and management’s strategy, plans and objectives for Astro. These statements include, without limitation, those that

  3. Slide 3: Key highlights of FY15 performance

    Key highlights of FY15 performance 3.9mn to 4.4mn customers Revenue +9% GROW 56% to 63% HH penetration RM4.79bn → RM5.23bn 47% to 49% viewership EBITDA +12% 90% on B.yond STBs RM1.62bn → RM1.81bn LEAD Launched 9 HD and 3 SD channels Local content drives viewership to new record high Adex +1% RM582mn

  4. Slide 4: FY15 snapshot

    FY15 snapshot Highlights FY14 FY15 Growth TV households (000s)(1) 6,885 6,979 1% TV household penetration(2) 56% 63% 7pp TV household penetration (000s) 3,884 4,429 14% Pay TV households (000s) 3,442 3,510 2% NJOI households (000s) 442 920 108% Pay TV gross adds (000s) 499 411 (18%) MAT churn 10% 10

  5. Slide 5: Key customer metrics highlight our premium and freemium market approach

    Key customer metrics highlight our premium and freemium market approach Residential customers (000s) ARPU (RM) Churn (%) Pay-TV NJOI 920 9.9% 9.9% 9.9% 10.3% 9.9% 678 813 9.3% 382 442 526 99.0 98.5 98.0 97.1 96.0 95.6 3,402 3,442 3,470 3,486 3,479 3,510 3QFY14 4QFY14 1QFY15 2QFY15 3QFY15 4QFY15 3QFY

  6. Slide 6: Upselling of value-added products and services maintain its positive trajectory

    Upselling of value-added products and services maintain its positive trajectory (000s) (000s) (000s) 60% 58% 60% 61% 62% 61% 679 715 43 585 636 37 Penetration(1) 532 29 33 1,939 468 1,780 1,877 1,917 26 1,611 1,675 20 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 3Q14 4Q14 1Q15 2Q15 3Q

  7. Slide 7: Local content is our key unique differentiator

    Local content is our key unique differentiator… In FY15, we… 184 Launched 9 HD and 3 SD channels …had 50 shows surpassing 1 million viewership, tripling FY14 record channels HD Channels in total TV viewers 2.6mil No.1 ASTRO 32mil digital views 73 CONTENT Renowned artist Games app 940K downloads Tale

  8. Slide 8: Continuing to work with the best in the business

    …whilst continuing to work with the best in the business to provide depth and breath of content Renewal of key contracts with improved Strengthened international terms and rights collaborations Co-production of Telenovela Partnered with 2nd largest Mexican media company and biggest local drama produ

  9. Slide 9: Carving a space in the digital world

    Carving a space in the digital world Focused on delivering a unified and personalised media experience through interactive screen engagement Astro highest traffic site Building a strong Chinese Engaging the younger audience Awani Digital engagement online community reached all time high • 400K downl

  10. Slide 10: Astro, the top-of-mind brand amongst Malaysians

    Astro, the top-of-mind brand amongst Malaysians Astro’s Brand Health Tracker Year 2013-2014 Wave 4 16% Wave 5 Wave 6 9% 9% 9% 7% 6% 6% 4% 3% 3% 9 | 4QFY15 results Source: Brand Health Tracking w6 (n=1555) [Weighted to reflect Malaysia proportions] [Base: Overall sample size (n=1555)]

  11. Slide 11: Go Shop, our entry into the e-commerce space

    Go Shop, our entry into the e-commerce space  Committed to delivering a world-class shopping experience to all Malaysians  Platform agnostic –available on TV, AOTG, the Go Shop website and mobile app  Since soft launch on 1 November 2014, its performance to date has been encouraging – Over 75,000

  12. Slide 12: Year on year revenue growth continues

    Year on year revenue growth continues (2) Total revenue (RM mn) YoY growth 1,349 1,348 9% 1,260 1,280 89 1,254 100 53% 1,217 79 25 74 80 72 69 69 6% 68 53 67 64 93 77 (2%) 86 67 81 88 Other Merchandising (3) Radio TV adex 1,054 1,084 1,053 1,088 7% 996 1,032 TV subscription 3QFY14 4QFY14 1QFY15 2QFY

  13. Slide 13: Advertising share gains in challenging market conditions

    Advertising share gains in challenging market conditions (2) Total Malaysia 2014 (1) Advertising income (RM mn) YoY growth ADEX forecast (3) Share of Radex Radio listeners (mn) TV Radio Publications 168 OVERALL ADEX 12.9 155 157 2 1% (4%) 12.2 3 150 149 60% 3 2 3 (6%) 54% 122 72 64 68 2 67 69 RADIO

  14. Slide 14: Cost management a key focus to optimise profit growth

    Cost management a key focus to optimise profit growth Total operating expenditure (RM mn) 32% 32% 31% 38% 33% 32% Content cost as % of TV revenue 1,079 1,138 1,092 1,020 1,053 1,075 111 125 137 125 109 130 123 147 126 132 134 138 Increase in operating expenses is mainly 415 attributable to merchandi

  15. Slide 15: Continued discipline in capex investments

    Continued discipline in capex investments Cash capex (RM mn) Capitalised capex (RM mn) as % of 9% 7% as % of 15% 5% revenue revenue 409 352 56 26 64 703 128 93 244 129 170 FY14 FY15 96  Capitalised capex is significantly lower in FY15 in line with FY14 FY15 completion of the Astro B.yond swapout ex

  16. Slide 16: Consistently strong cash generation significantly exceeds PAT

    Consistently strong cash generation significantly exceeds PAT (RM mn) Free cash flow as % of PAT 228% 255% 746 772 2,071 1,794 1,325 1,022 Cash from Cash from Free cash flow (3) Cash from Cash from Free cash flow (3) operations investing (2) operations investing (2) FY14 FY15 …enabling significant f

  17. Slide 17: Quarterly dividend announcement

    Quarterly dividend announcement  Leveraging on invested capital, AMH continues to be highly cash generative enabling the adoption of a progressive dividend policy  Board of Directors of AMH is pleased to declare a quarterly dividend of 2.25 sen per share for 4QFY15 and a final dividend of 2.0 sen,

  18. Slide 18: Appendix

    Appendix

  19. Slide 19: PAT reconciliation

    PAT reconciliation (RM mn) FY14 FY15 EBITDA 1,616 1,808 Margin % 33.7% 34.6% Depreciation and amortisation(1) (838) (888) EBIT 778 920 Margin % 16.2% 17.6% Finance income 55 57 Finance cost (268) (250) Share of post tax results from investments 4 (7) Higher effective tax rate in FY15 as compared to

  20. Slide 20: Group balance sheet overview

    Group balance sheet overview (RM mn) FY14 FY15 (RM mn) FY14 FY15 Non-current assets 4,437 4,425 Non-current liabilities 4,740 3,809 Property, plant and equipment 2,157 1,881 Payables 1,249 612 Other non-current assets 2,280 2,544 Borrowings 3,362 3,103 Other non-current liabilities 129 94 Current as

  21. Slide 21: Debt profile

    Debt profile Total borrowings (RM mn) Details of borrowings Finance lease RM term loan USD term loan  As at 31 January 2015, outstanding principal US dollar term loan stood at US$297mn. The fourth principal repayment amounting to USD16.5mn (RM49.8mn) is scheduled to be paid on 8 June 2015 USD term

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