SES SA FDR (Class A) · EURONEXT:SESG
SES SA FDR (Class A) — SES — H1 2008 Earnings Presentation
23 slides from SES SA FDR (Class A)'s earnings presentation, Aug 4, 2008
Slide 1: H1 2008 Financial Results
H1 2008 Financial Results 4 August 2008
Slide 2: Disclaimer / Safe Harbor Statement
Disclaimer / “Safe Harbor” Statement S This presentation does not, in any jurisdiction, and in particular not in the U.S., constitute or form part of, and should not be construed as, any offer for sale of, or solicitation of any offer to buy, or any investment advice in connection with, any securiti
Slide 3: Solid Key Financials
Solid Key Financials S Recurring revenue was up 8.7% on the prior year period • Reported revenue of EUR 788.5 million (2007: EUR 789.1 million), reflecting the GE split-off transaction in 2007 and the effect of the weaker U.S. dollar S Recurring EBITDA was 7.7% ahead of the prior year period • Repor
Slide 4: Business Review
Business Review SESA
Slide 5: Infrastructure Developments
Infrastructure Developments S SIRIUS 4 satellite was brought into operation at 5 degrees East • SIRIUS 2 was subsequently moved to the new orbital position of 31.5 degrees East S Total commercially available capacity rose to 1,064 from 1,048 transponders at year end 2007 S Three new satellites order
Slide 6: Satellite Construction Programme
Satellite Construction Programme Operating segment Launch date Incremental txp's Successfully launched satellites - starting service in 2008: ASTRA Satellites Sirius-4 18-Nov-07 Europe 4 (+ 26 on Sirius-2 1) ), Africa 6 Procurement program - starting service in 2008 and beyond: ASTRA Satellites ASTR
Slide 7: Infrastructure Business Developments (1)
Infrastructure Business Developments (1) S Europe • The number of TV and radio channels broadcast by ASTRA and SIRIUS increased by 6% to 2,433 • Number of High Definition channels has increased to 42 • DTH satellite universe increased by more than 4 million households • Additional transponder contra
Slide 8: Infrastructure Business Developments (2)
Infrastructure Business Developments (2) S India • SES NEW SKIES signed an agreement with the Essel Group for the provision of up to 6 C-band transponders for cable services S Asia • Contract with GMBI for a pan-Asian DTH platform on NSS-11 • Contract with CSTV for a DTH platform from Taiwan into Au
Slide 9: Services Business Developments
Services Business Developments S ND SatCom • Strong growth, including a large contract for broadband connectivity to more than 5,000 schools in Turkey S ASTRA2Connect • Hosted service providers has grown to 10, including Deutsche Telekom and NordNet (100% France Telecom affiliate), across nine Europ
Slide 10: Business Outlook
Business Outlook S Supply/demand projections are highly favourable • Demand continuing to outpace supply over mid- to long term S Pricing dynamics remain stable to gently improving S More opex and capex efficiencies to be identified and realised • SES ENGINEERING (EUR 7.5 million recurring opex savi
Slide 11: Financial Review
Financial Review SESA
Slide 12: Revenue – H1 2008
Revenue – H1 2008 SES Group Revenue in EUR million 0% +8.7% vs 2007 789 787 789 724 (4) 2 (41) (20) 63 H1 2007 (as Non-recurring / Constant FX *) Scope change H1 2007 Recurring H1 2008 Non-recurring / H1 2008 (as reported) Normalisation H1 (GE transaction) (recurring, same EUR growth (recurring) Nor
Slide 13: EBITDA – H1 2008
EBITDA – H1 2008 SES Group EBITDA in EUR million 0% +7.7% vs 2007 548 563 550 523 71.6% 10 (28) (13) (7) 40 69.5% EBITDA margin 72.3% 71.6% 69.8% H1 2007 (as Non-recurring / Constant FX *) Scope change H1 2007 Recurring H1 2008 Non-recurring / H1 2008 (as reported) Normalisation H1 (GE transaction)
Slide 14: Business Segmentation
Business Segmentation EUR million H1 2008 Infrastructure ASTRA AMERICOM NEW SKIES OTHER & ELIM*) Total Revenues 411.3 141.9 113.4 0.3 666.8 EBITDA 347.4 111.3 91.3 0.0 550.1 Margin % 84.5% 78.5% 80.5% 82.5% H1 2008 Services ASTRA AMERICOM NEW SKIES OTHER & ELIM*) Sub-Total Start-up Total initiatives
Slide 15: Other Financial Lines – H1 2008
Other Financial Lines – H1 2008 Depreciation & Amortisation reduction by EUR 30.7 million is influenced by the following two factors: ¾ H1 2007 included the accelerated write-down of EUR 15.9 million due to the launch failure of NSS-8 ¾ favourable impact of weaker U.S. dollar The two matters above
Slide 16: Capital Expenditure Schedule
Capital Expenditure Schedule EUR million A 2007 Forecast 2008 Trend 2009 Trend 2010 Trend 2011 535 ~ 670 ~ 530 ~ 280 ~ 100 Guidance on 28 Apr 2008: 535 ~ 640 ~ 440 ~ 185 n.a. 282 228 225 238 174 167 157 133 136 125 112 99 42 - - Actual 2007 Forecast 2008 Trend 2009 Trend 2010 Trend 2011 ASTRA segmen
Slide 17: Free Cash Flow - H1 2008 vs H1 2007
Free Cash Flow - H1 2008 vs H1 2007 EUR million 377 254 (236) 70 (8) 70 (116) 98 H1 2007 (as Lower net Net purchase / Proceeds on Net proceeds Cash balances Other flows from H1 2008 (as reported) operating CF disposal of termination of from hedging leaving SES as investing reported) tangible assets
Slide 18: Guidance for 2008
Guidance for 2008 Analyst guidance EUR million 28 April 2008 4 August 2008 Guidance New guidance 1 EUR = 1.50 USD 1 EUR = 1.55 USD 1) update 1 EUR = 1.55 USD Total - Revenues 2) 1580 - 1620 1558 - 1598 1568 - 1598 Lower - EBITDA 2) 1086 - 1126 1070 - 1110 range 1080 - 1110 Infrastructure increased b
Slide 19: Financial Outlook
Financial Outlook Change / Confirmation S 2008: Growth continues, associated with profitability versus 28 April 2008 improvement • Recurring revenue growth increases to approximately 5%, supported by a favourable development mainly in the infrastructure Upgraded segment • Infrastructure EBITDA margi
Slide 20: Appendices
Appendices SESA
Slide 21: Satellite Depreciation and NBV – ASTRA segment
Satellite Depreciation and NBV – ASTRA segment End of in EUR million Satellite Depreciation Depreciation NBV NBV Period 30.06.2008 31.12.2007 Life Astra 1F 13 May-09 9.7 15.0 Astra 1G 13 Dec-10 25.9 31.1 Astra 1H 13 Aug-12 59.8 67.0 Astra 2A 13 Apr-13 43.3 47.9 Astra 2B 12 Dec-12 75.2 83.7 Astra 2C
Slide 22: Satellite Depreciation and NBV – AMERICOM segment
Satellite Depreciation and NBV – AMERICOM segment End of NBV at NBV at NBV at Depreciation Depreciation 30.06.2008 1) 30.06.2008 31.12.2007 Satellite Period Life in MEUR in MUSD in MUSD AMC-1 15 Sep-11 28.5 # 44.9 51.8 AMC-2 15 Feb-12 34.2 # 53.9 61.3 AMC-3 15 Sep-12 37.6 # 59.2 66.1 AMC-4 15 Dec-14
Slide 23: Satellite Depreciation and NBV – NEW SKIES segment
Satellite Depreciation and NBV – NEW SKIES segment Legally owned satellites End of NBV at NBV at NBV at Depreciation Depreciation 30.06.2008 30.06.2008 31.12.2007 Satellite Period Life in MEUR 1) in MUSD in MUSD NSS-806 13 Mar-11 24.6 38.9 46.1 NSS-7 12 Nov-14 80.1 126.3 136.3 NSS-703 13 Dec-08 1.4