VNET Group, Inc. · NASDAQ:VNET
VNET — Q1 2024 Earnings Presentation
31 slides from VNET's earnings presentation, May 2024
Slide 1: VNET Group, Inc. Investor Presentation
单击此处编辑母版标题样式 VNET Group, Inc. Investor Presentation May 2024
Slide 2: Disclaimer
单击此处编辑母版标题样式 Disclaimer This presentation includes “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995, including statements regarding expected future events, business prospectus or financial results. The words “expect”, “anticipate”,
Slide 3: 1Q 2024 Highlights
单击此处编辑母版标题样式 1Q 2024 Highlights Financials (in RMB) Liquidity (in RMB) Revenue: 1,898 million (+5.1% YoY) Unused Credit Line: 2,565 million - Wholesale IDC Business: 361 million (+59.1% YoY) Adjusted EBITDA: 540 million (+22.6% QoQ) Cash Position (1) : 2,090 million Wholesale IDC Business Updates Re
Slide 4: Largest Customer Order Wins
单击此处编辑母版标题样式 Largest Customer Order Wins Capacity Contracted Signing Time of Region IDC Code Customer Sector Project Type / Under MoU (MW) Contract / MoU Yangtze River E-JS04 15 1Q24 Cloud Service Wholesale Delta Yangtze River E-JS Campus 01 2.5 1Q24 Local Service Wholesale Delta Phase 2 Greater Bei
Slide 5: Contents
CONTENTS 1. Company Overview 2. Business Overview 3. Financials Overview 4. Appendix
Slide 6: Pioneer and Leader in China’s Fast Growing IDC Market
A单击此处编辑母版标题样式 Pioneer and Leader in China’s Fast Growing IDC Market Pioneer and Leader A leading carrier- and cloud-neutral data center services provider in China with 28 years of experience ~10% (1) market share of China’s carrier-neutral data center services market 275 approved and pending p
Slide 7: ESG Initiatives – Commitment to Sustainability
单击此处编辑母版标题样式 ESG Initiatives – Commitment to Sustainability Commitment to achieve both targets of operational carbon neutrality and 100% renewable energy usage by 2030 Received A rating by MSCI, representing the highest ranking to-date in China’s Internet Services & Infrastructure industry Scored 53
Slide 8: Contents
CONTENTS 1. Company Overview 2. Business Overview 3. Financials Overview 4. Appendix
Slide 9: Differentiated Business Model with Comprehensive Offerings
单击此处编辑母版标题样式 Differentiated Business Model with Comprehensive Offerings Managed Hosting Services Cloud Services VPN Services1 (IDC) • Co-location • Multi-protocol Label Switching (MPLS) & Software- • Interconnectivity defined Wide Area Network • Hybrid IT Services (SD-WAN) • Other Value-added Servic
Slide 10: Dual-Core Growth Strategy of IDC Business
单击此处编辑母版标题样式 Dual-Core Growth Strategy of IDC Business Wholesale Retail Hyperscale IDC Interconnectivity Services Retail Colocation Full-stack Services Targeting hyperscalers which require huge amount of space and power to Focusing on those verticals which require colocation interconnectivity, bare-
Slide 11: 2024 Resource Pipeline to Support IDC Growth
单击此处编辑母版标题样式 2024 Resource Pipeline to Support IDC Growth Region IDC Code Tenure Status Capacity (MW) E-JS Campus 02 D Owned Under Construction 26 Yangtze River Delta E-JS Campus 02 E Owned Under Construction 60 E-JS04 Leased Under Construction 15 Greater Beijing Area N-HB Campus 01 B Owned Under Co
Slide 12: Wholesale Data Centers at a Glance - New Growth Driver
单击此处编辑母版标题样式 Wholesale Data Centers at a Glance - New Growth Driver Total Capacity in Service & Capacity Utilized (MW) 100.0% Utilization Rate (1) 332 332 290 224 224 71.0% 236 63.4% 65.8% 219 51.7% 55.4% 142 161 116 03/31/2023 06/30/2023 09/30/2023 12/31/2023 03/31/2024 Capacity in Service Capacity
Slide 13: Wholesale Capacity in Service – Yangtze River Delta
单击此处编辑母版标题样式 Wholesale Capacity in Service – Yangtze River Delta Capacity in Service Capacity Utilized Total Capacity Region IDC Code Tenure Utilization Rate (2) Commitment Rate (3) (MW) (MW) Committed (1) (MW) E-JS Campus 01 Phase 1 Owned 28 26 28 91.1% 99.7% E-JS Campus 01 Phase 2 Owned 16 8 12 50
Slide 14: Wholesale Capacity in Service – Greater Beijing Area & Other Regions
单击此处编辑母版标题样式 Wholesale Capacity in Service – Greater Beijing Area & Other Regions Capacity in Service Capacity Utilized Total Capacity Region IDC Code Tenure Utilization Rate (2) Commitment Rate (3) (MW) (MW) Committed (1) (MW) BJ15 Owned 9 4 7 39.6% 77.7% N-HB02 Phase 1 Owned 28 28 28 98.2% 99.3% G
Slide 15: Wholesale Capacity Under Construction & Held for Future Development
单击此处编辑母版标题样式 Wholesale Capacity Under Construction & Held for Future Development Under Construction Capacity Under Total Capacity Region IDC Code Tenure Pre-commitment rate (2) Construction (MW) Pre-committed (MW) (1) (1) E-JS Campus 02 D Owned 26 26 (2) 100.0% Yangtze River Delta E-JS Campus 02 E O
Slide 16: Retail Data Centers at a Glance - Solid Foundation
单击此处编辑母版标题样式 Retail Data Centers at a Glance - Solid Foundation Total Capacity in Service (Cabinet) Utilization Rate (1) 54,105 53,702 52,200 52,233 52,068 4,179 3,771 3,814 3,740 3,565 62.2% 62.0% 64.8% 64.0% 64.0% 49,926 49,931 48,386 48,493 48,503 03/31/2023 06/30/2023 09/30/2023 12/31/2023 03/31
Slide 17: Large and Diversified Customer Base with Strong Loyalty
单击此处编辑母版标题样式 Large and Diversified Customer Base with Strong Loyalty >7,500 enterprise customers, of which >1,500 customers have enjoyed our colocation, connectivity, bare metal, hybrid cloud and maintenance services, etc. Around 90% of net revenues have been recurring revenues since IPO Low c
Slide 18: Contents
CONTENTS 1. Company Overview 2. Business Overview 3. Financials Overview 4. Appendix
Slide 19: 1Q24 Financial Highlights
单击此处编辑母版标题样式 1Q24 Financial Highlights RMB MM 1Q23 4Q23 1Q24 YoY QoQ Net revenues 1,806 1,898 1,898 5.1% -0.02% Gross profit 352 291 411 16.6% 41.2% Adjusted cash gross profit(1) 754 742 766 1.5% 3.2% Adjusted cash gross margin 41.8% 39.1% 40.3% -1.5 pps 1.2 pps Adjusted EBITDA(2) 556 440 540 -2.9%
Slide 20: Total Revenue Breakdown
单击此处编辑母版标题样式 Total Revenue Breakdown (RMB MM) 1,822 1,887 1,898 1,898 1,806 621 628 613 584 603 985 975 924 995 997 281 295 361 227 222 1Q23 2Q23 3Q23 4Q23 1Q24 Wholesale IDC Business Retail IDC Business Non-IDC Business Source: Company data as of March 31, 2024. Notes: 1. IDC business refers to man
Slide 21: Healthy Margins Through Efficiency Enhancement
单击此处编辑母版标题样式 Healthy Margins Through Efficiency Enhancement Adjusted Cash Gross Profit & Margin (1) Adjusted EBITDA & Margin (2) (RMB MM) (RMB MM) 41.8% 40.8% 39.1% 39.1% 40.3% 30.8% 29.4% 26.9% 23.2% 28.4% 754 766 556 535 540 743 738 742 508 440 1Q23 2Q23 3Q23 4Q23 1Q24 1Q23 2Q23 3Q23 4Q23 1Q24 Adj
Slide 22: Well Laddered Debt Profile and Strong Liquidity Position
单击此处编辑母版标题样式 Well Laddered Debt Profile and Strong Liquidity Position Debt Breakdown by Maturity Cash Position (1) (RMB MM) (RMB MM) Credit line availability: 5,456 RMB 2,565 MM unused 357 3,700 2,601 2,989 5,099 2,090 1,492 1,708 983 1,774 3,700 805 2,989 - 1,492 1,708 2,090 805 983 827 2024 end 20
Slide 23: Healthy Capital Structure
单击此处编辑母版标题样式 Healthy Capital Structure Total Debt & Net Debt / TTM Adj. EBITDA1 Debt Structure as of March 31, 2024 5.8x 2027 Convertible Bonds 5.3x 18.9% 4.6x 3.9x 4.7x 3.1x 3.8x 3.7x 3.1x Borrowing 81.1% 1.0x 2020 2021 2022 2023 1Q24 Total Debt / TTM Adj. EBITDA Net Debt / TTM Adj. EBITDA Total De
Slide 24: Guidance
单击此处编辑母版标题样式 Guidance RMB MM 2023 Actual 2024 Guidance Implied YoY Revenues 7,413 7,800 - 8,000 5.2% - 7.9% Adjusted EBITDA 2,039 2,220 - 2,280 8.9% - 11.8% Source: Company data. 24
Slide 25: Contents
CONTENTS 1. Company Overview 2. Business Overview 3. Financials Overview 4. Appendix
Slide 26: Key P&L Items
单击此处编辑母版标题样式 Key P&L Items Three months ended Amount in thousands March 31, 2023 December 31, 2023 March 31, 2024 RMB RMB RMB US$ Net revenues 1,805,782 1,898,480 1,898,126 262,887 Cost of revenues (1,453,402) (1,607,602) (1,487,405) (206,003) Gross profit 352,380 290,878 410,721 56,884 Sales and ma
Slide 27: GAAP to Non-GAAP Reconciliations
单击此处编辑母版标题样式 GAAP to Non-GAAP Reconciliations Three months ended Amount in thousands March 31, 2023 December 31, 2023 March 31, 2024 RMB RMB RMB US$ Gross profit 352,380 290,878 410,721 56,884 Plus: depreciation and amortization 401,877 450,859 352,604 48,835 Plus: share-based compensation expenses
Slide 28: Key Balance Sheet Items
单击此处编辑母版标题样式 Key Balance Sheet Items As of As of Amount in thousands December 31, 2023 March 31, 2024 RMB RMB US$ Cash, cash equivalents and Restricted cash 5,098,987 2,089,926 289,452 Accounts and notes receivable, net 1,715,975 1,948,129 269,813 Property and equipment, net 13,024,393 13,778,444 1,
Slide 29: Key Cash Flow Items
单击此处编辑母版标题样式 Key Cash Flow Items Three months ended Amount in thousands March 31, 2023 December 31, 2023 March 31, 2024 RMB RMB RMB US$ Net cash generated from operating activities 455,011 730,680 267,587 37,060 Net cash used in investing activities (701,518) (1,401,935) (650,940) (90,154) Net cash
Slide 30: Definitions
单击此处编辑母版标题样式 Definitions Term Definition IDC business refers to managed hosting services, consisting of the wholesale IDC business and the retail IDC business. Beginning in the first quarter of 2024, our IDC IDC Business business was subdivided into wholesale IDC business and retail IDC business acc
Slide 31: THANKS!
http://ir.vnet.com THANKS! Email: [email protected] IR Contact: Xinyuan Liu