Maxis Bhd. · MYX:MAXIS
Maxis Bhd — Q4 2009 Earnings Presentation
21 slides from Maxis Bhd's earnings presentation, Feb 25, 2010
Slide 1: Maxis Berhad 4Q 2009 and FY 2009 Results Presentation
MAXIS BERHAD 4Q 2009 and FY 2009 Results Presentation 25th February 2010
Slide 2: Table of Contents
TABLE OF CONTENTS Performance Overview Operational Highlights Financial Highlights 2
Slide 3: Performance Overview
Sy maxis. PERFORMANCE OVERVIEW
Slide 4: Basis of Preparation
BASIS OF PREPARATION To facilitate comparability of the operational performance of the Group between periods, the proforma financial information in this presentation pack has been prepared on the assumption that the business combinations had been effected on 1 January 2008. 4
Slide 5: 2009 Investing for the next generation
2009 Investing for the next generation Maintained leadership position • Crossed 12 million subscriptions • Highest ever prepaid subscriptions at 9.3 million • Consistently delivering revenue above RM2 billion per quarter • EBITDA margin over 50% Strong customer response to market moves • 3Q09 and 4Q
Slide 6: 4Q09 Highlights
4Q09 HIGHLIGHTS Strong year-end rally ● 556k Mobile net adds ● 12.3m Mobile subscriptions ● 2.6% QoQ Revenue growth ● 34% Mobile non-voice revenue ● 50.0% EBITDA margin ● 75k WBB net adds 6
Slide 7: At a Glance 4Q09
AT A GLANCE 4Q09 Growth Growth 3Q09 4Q09 FY 08 FY 09 QoQ YoY Revenue (RM m) 2,156 2,211 +2.6% 8,450 8,611 +1.9% EBITDA (RM m) 1,086 1,106 +1.8% 4,402 4,337 -1.5% EBITDA margin 50.4% 50.0% -0.3pp 52.1% 50.4% -1.7pp PAT (RM m) 615 503 -18.2% 2,400 2,232 -7.0% PAT margin 28.5% 22.7% -5.8pp 28.4% 25.9%
Slide 8: Operational Highlights
Sy maxis. OPERATIONAL HIGHLIGHTS
Slide 9: Mobile Subscriptions
MOBILE SUBSCRIPTIONS Strong finish for the year Subscription Breakdown 4Q09 WBB +88% Prepaid +8% Postpaid +8% Total +9% ● Mobile subscriptions crossed 12 million ● Net adds of 556k WBB +40% Postpaid Pre paid WBB Prepaid +5% Postpaid 0% 16,000 Total 5% ● Prepaid subscriptions continued strong 11,234
Slide 10: ARPU, MOU
ARPU, MOU Levels maintained despite increase in number of competitors ARPU Postpaid Prepaid WBB Blended Postpaid +4% Postpaid -7% 150 Prepaid -3% Prepaid -12% WBB -15% WBB +2% Blended -2% Blended -7% 112 108 104 102 104 107 103 100 107 104 97 96 97 100 85 RM 60 60 56 56 56 55 56 47 40 47 50 42 41 41
Slide 11: Non-Voice Revenue
NON-VOICE REVENUE Non-SMS driving growth ● Continuing growth momentum in non-voice revenue driven by non-SMS ● YoY non-voice revenue increased by RM310m ● Non-voice revenue as percentage of mobile revenue increased to 34.4% in 4Q09 Non-Voice Revenue 34.4% Non Voice Revenue as % of 32.4% Mobile Reven
Slide 12: Financial Highlights
Sy maxis. FINANCIAL HIGHLIGHTS
Slide 13: Revenue
REVENUE Consistently delivering revenue above RM2b per quarter ● Quarterly revenue grew 2.6% to RM2.21b Revenue primarily driven by higher mobile revenue on the +2% back of increased subscriptions and stable -2% 10,000 ARPU +2% 8,450 8,611 8,000 ● Fixed line services revenue increased by 10% to RM m
Slide 14: EBITDA
EBITDA Continuing strong EBITDA story, margin maintained above 50% EBITDA and EBITDA margin ● EBITDA margin was 50.4% and 50.0% for 2009 and 4Q09 respectively -3% -1% ● EBITDA grew by RM20m or 2% QoQ on the 10,000 EBITDA Margin +2% back of higher revenue 50.6% 50.4% 50.7% 50.4% 50.0% 52.1% 50.4% 60%
Slide 15: PAT
PAT Healthy margins maintained ● 2009 comparable PAT margin remained at a healthy 27.1% ● 4Q09 comparable PAT lower primarily due to higher financing costs (interest on debt of RM5.0b resulting from pre-IPO restructuring) ● YoY lower comparable PAT on lower EBITDA and higher financing costs PAT and
Slide 16: Operating Expense
OPERATING EXPENSE Cost structure remained stable ● Sales and marketing increased by 0.8% pts Operating Expense Breakdown QoQ to 4.6% of revenue driven by year-end As a % of revenue 1Q09 2Q09 3Q09 4Q09 promotions Direct Expenses 33.1% 31.9% 32.4% 32.6% Sales and Marketing 4.0% 4.1% 3.8% 4.6% ● Bad de
Slide 17: Capex
CAPEX Infrastructure build-up for the future Capex ● Total capex for 2009 of RM1.2b (14% of 1,243 revenue) reflecting continued commitment to 1,200 network investment: 792 − 3G network swap RM m 800 596 − network modernization 451 291 − substantial increase in 3G footprint 400 158 199 − network qual
Slide 18: Cash Flow
CASH FLOW Strong operating cash flow maintained (1) (1) (1) (2) (1) (3) RM m 1Q09 2Q09 3Q09 4Q09 YTD08 YTD09 Cash flow from operating activities 178 902 662 1,383 3,222 3,125 - Changes in working capital (748) (32) (40) 459 (497) (336) Cash flow used in investing activities (150) (202) (282) 422 (80
Slide 19: Dividend
DIVIDEND Commitment to active capital management ● Interim dividend: Interim Dividend : 6.0 sen per share* (total: RM450m) payable 30 March 2010 Final dividend : 3.0 sen per share* (total: RM225m) proposed for shareholders’ approval at Annual General Meeting Total : 9.0 sen per share* (total: RM675m
Slide 20: Discussion Points
Discussion Points ● Regulatory HSBB Interconnect Spectrum re-farming ● Outlook 20
Slide 21: Disclaimer
DISCLAIMER This presentation by Maxis Berhad (“Maxis”) contains forward-looking statements. Forward-looking statements can be identified by the use of forward-looking terminology such as the words “may”, “will”, “would”, “could”, “believe”, “expect”, “anticipate”, “intend”, “estimate”, “aim”, “plan”