Pt Sarana Menara Nusantara Tbk · IDX:TOWR
Pt Sarana Menara Nusantara Tbk — FY2022 Earnings Presentation
26 slides from Pt Sarana Menara Nusantara Tbk's earnings presentation, Apr 6, 2023
Slide 1: Indonesia's Premier Telecommunication Infrastructure Company: 2022 Results Presentation
Indonesia’s Premier Telecommunication Infrastructure Company 2022 Results Presentation PT Sarana Menara Nusantara Tbk IDX ticker: TOWR.JK / TOWR IJ www.ptsmn.co.id [email protected]
Slide 2: SMN Investment Highlights
SMN Investment Highlights Premier telco infrastructure company in Indonesia One of the largest digital infrastructure Continuous strong performance companies in Indonesia with 29,794 5-yr Revenue and EBITDA CAGR towers and 164,941 km fiber* 16.6%(a) Solid build-to-suit model for Sustained strong ret
Slide 3: TOWR strategy supports ESG & sustainability goals
TOWR strategy supports ESG & sustainability goals 1. Capital Management 2. Low-risk business 3. ESG-conscious company - Access to low-cost funding - Digital infrastructure business with - Very small carbon footprint high demand difficult to replace. - 95% of internet traffic in Indonesia is - Liquid
Slide 4: The industry
The industry @2022 PT Sarana Menara Nusantara Tbk 3
Slide 5: Tower and Fiber Business – Long-Term Predictable Revenue with Upside
Tower and Fiber Business – Long-Term Predictable Revenue with Upside Long-term contracts* (10 years for tower and can be longer PREDICTABLE REVENUE for fiber), non-cancellable and renewable PREDICTABLE REVENUE DEPENDENT TENANTS Contract renewal likely due to high relocation cost and significant netw
Slide 6: Typical Tower Company Growth Model
Typical Tower Company Growth Model New Built-to-Suit Tower Colocation Boosts ROI Additional towers and contract renewals grow revenue Colocation boosts unlevered ROI and accelerates payback period Contract renewals *Assuming 10 years ground lease Assuming 100 existing towers with 10 year lease perio
Slide 7: Indonesia Tower Industry – A Growing Market
Indonesia Tower Industry – A Growing Market Low network penetration with High EBITDA margin, low capex, no colocation discount, no significant headroom in 4G expansion obligation to provide power in contract and low 4G internet speed Western Indonesia USA India China Europe Non Non Predominant Tower
Slide 8: SMN 2022 Performance
SMN 2022 Performance @2022 PT Sarana Menara Nusantara Tbk 7
Slide 9: Company Strategy: Build – Buy – Return
Company Strategy: Build – Buy – Return We will maintain our position as a leading telecom infrastructure company and continue to deliver optimal value to our stakeholders • Invest in Build-to-Suit towers and BUILD colocation • Expand fiber optic network, in - Added 1,096 towers yoy particular tower
Slide 10: Most Diverse Portfolio Among Tower Companies
Most Diverse Portfolio Among Tower Companies TOWER Fiber to The Tower (FTTT) CONNECTIVITY • Total 29,794 towers and • FTTT increases the value and • Actively seeking opportunities to 53,967 tenants as of 31 utility of our network to Telcos. provide connectivity (with various December 2022. Tenancy o
Slide 11: Track Record of Strong Performance, Consistent Growth
Track Record of Strong Performance, Consistent Growth… XL towers acquisition STP and #Towers or XL acq In Rp Bn Hutch towers Hutch acq Hutch towers iForte acq (2,500 towers) KIN Acq Indosat Acq Bumen acq GIK acq (125 Tenants (1,646 acq (5,085 towers) acq (421 towers) (1,369 towers) (1,000 towers) to
Slide 12: Excellent Future Revenue Visibility
… with Excellent Future Revenue Visibility … Long term contracts and commitments underwrite more than Rp68.6 trillion of committed future revenue through 2042, not including value of potential future contract renewals 68,563 63,204 6,317 8,098 6,582 51,007 52,238 7,157 26,057 62,246 24,437 2017* 201
Slide 13: Strong Investment Grade Balance Sheet
Strong Investment Grade Balance Sheet Leverage comfortably within investment grade range despite acquisitions and dividend 5.0 4.4 4.4 4.5 4.3 4.2 4.2 4.0 3.5 Net Debt to LQA EBITDA (x) 3.0 2.4 2.5 2.4 2.5 2.1 2.2 2.1 2.0 1.8 1.6 1.5 1.5 1.0 0.5 0.0 2015 2016 2017 2018 2019 2020 1Q21 2Q21 3Q21 4Q21
Slide 14: Summary of Financial Results
Summary of Financial Results @2022 PT Sarana Menara Nusantara Tbk 13
Slide 15: Sarana Menara Nusantara (SMN) Group: Profit and Loss
Sarana Menara Nusantara (SMN) Group Abridged consolidated statement of profit and loss (In RP Bn) 2017 2018 2019 2020 2021 4Q21 4Q22 yoy 2021 2022 yoy Revenues 5,337.9 5,867.9 6,454.3 7,445.4 8,635.3 2,568.3 2,928.5 14.0% 8,635.3 11,035.7 27.8% Cost of revenues (277.4) (427.5) (458.3) (415.2) (480.4
Slide 16: Sarana Menara Nusantara (SMN) Group: Financial Position
Sarana Menara Nusantara (SMN) Group Abridged consolidated statement of financial position (In RP bn) 2016 2017 2018 2019 2020 2021 2022 ASSETS Current assets Cash and cash equivalents 2,905.3 2,348.3 963.4 593.8 1,442.6 4,748.4 308.6 Restricted cash - - - 6.6 4.9 2.0 0.0 Trade receivables 351.7 624.
Slide 17: Sarana Menara Nusantara (SMN) Group: Cash Flows
Sarana Menara Nusantara (SMN) Group Abridged consolidated statement of cashflows (12 months ended December 2022) in Rp Bn 10,102 (1,185) * Numbers included VAT ** Including ground lease *** Mostly for SUPR stock MTO payment @2022 PT Sarana Menara Nusantara Tbk 16
Slide 18: Profit & Loss Movement 4Q22
Profit & Loss Movement 4Q22 in Rp Bn Revenue EBITDA Net Income 2,928.5 2,549.7 2,790.8 2,396.0 +137.8 (4.9%) +153.8 (6.4%) 2,568.3 2,215.9 889.9 867.6 883.3 -6.6 (-0.7%) +360.3 (14.0%) +333.9 (15.1%) 15.8 (1.8%) 4Q21 3Q22 4Q22 4Q21 3Q22 4Q22 4Q21 3Q22 4Q22 @2022 PT Sarana Menara Nusantara Tbk 17
Slide 19: Profit & Loss Movement YTD Dec 2022
Profit & Loss Movement YTD Dec 2022 in Rp Bn Revenue EBITDA Net Income 11,035.7 9,516.6 8,635.3 7,434.3 +2,400.3 (27.8%) 3,442.0 +2,082.2 (28.0%) 3,427.4 14.6 (0.4%) Dec-21 Dec-22 Dec-21 Dec-22 Dec-21 Dec-22 @2022 PT Sarana Menara Nusantara Tbk 18
Slide 20: Revenue Analysis (4Q21 vs 4Q22)
Revenue Analysis (4Q21 vs 4Q22) in Rp Bn Towers FTTT 405.5 218.8 2,172.5 ( 25.5 ) 2,147.1 (1.2%) 186.7 117.2% 4Q21 Net Movement 4Q22 4Q21 Net Movement 4Q22 Connectivity Total Revenue 166.9 376.0 360.3 2,928.5 2,568.3 14.0% 209.1 79.8% 4Q21 Net Movement 4Q22 4Q21 Net Movement 4Q22 @2022 PT Sarana Men
Slide 21: Revenue Analysis (Dec 21 vs Dec 22)
Revenue Analysis (Dec 21 vs Dec 22) in Rp Bn Towers FTTT 559.2 1,178.9 1,504.7 8,605.9 7,101.3 21.2% 619.7 90.2% Dec-21 Net Movement Dec-22 Dec-21 Net Movement Dec-22 Connectivity Total Revenue 336.4 1,250.8 2,400.3 11,035.7 914.4 8,635.3 36.8% 27.8% Dec-21 Net Movement Dec-22 Dec-21 Net Movement De
Slide 22: Summary Operational Data (Dec vs Dec 22)
Summary Operational Data (Dec 21 vs Dec 22) Towers Tenancy 53,975 53,967 29,794 28,698 #of Towers #of Tenancy +1,096 (3.8%) -8 (0.0%) Dec-21 Dec-22 Dec-21 Dec-22 FTTT Connectivity 25,547 149,811 70,465 12,628 #Activations Kms +79,346 (112.6%) +12,919(102.3%) Dec-21 Dec-22 Dec-21 Dec-22 @2022 PT Sara
Slide 23: Appendix
Appendix @2022 PT Sarana Menara Nusantara Tbk 22
Slide 24: Foreign Exchange Exposure as of December 2022
Foreign Exchange Exposure as of 31 December 2022 Low risk from FX exposure as balance sheet naturally hedged ASSET CONTRACTED REVENUE LIABILITIES Cash USD 127.7mn 2023 - USD 22mn Bond Investments USD 30.3mn 2024 - USD 17mn USD 138mn Total USD 157.9mn Total - USD 39mn Total ~USD 138mn Risk Mitigation
Slide 25: Long Term Debt: 55.0% Floating, 45.0% Fixed, Avg Interest 6.5%
Long Term Debt*: 55.0% Floating, 45.0% Fixed, Avg Interest 6.5% in Rp Billion Maturity Profile 2,280 2,294 4,533 4,719 2,210 986 8,308 3,574 1,500 1,929 1,335 2,573 3,356 9,000 744 7,500 6,000 USD 138mn 4,500 7,564 3,000 3,574 USD 100.0mn* 1,118 USD 34.8mn USD 40.0mn* 4,719 1,500 3,356 1,593 136 2,2
Slide 26: Disclaimer
This presentation material has been prepared solely for use in a presentation to be made by PT Sarana Menara Nusantara Tbk (the “Company”). This presentation material and any information contained herein is highly confidential and may not be copied, reproduced, redistributed, transmitted or disclose
PT Sarana Menara Nusantara — FY2022 Earnings Presentation on 6ix