Telekom Austria AG · VIE:TKA
Telekom Austria — Shareholder Meeting (June 2022)
63 slides from Telekom Austria's shareholder meeting presentation, Jun 27, 2022
Slide 1: 2022 Annual General Meeting
2022 Annual General Meeting Vienna, June 27, 2022
Slide 2: Agenda item 1: Report on the 2021 financial year
Agenda item 1 Report on the 2021 financial year 2
Slide 3: Members – Supervisory Board of Telekom Austria AG
Members – Supervisory Board of Telekom Austria AG. Shareholder representatives Carlos Garcia Edith Hlawati Alejandro Karin Moreno Elizondo Peter Hagen Chair Cantú Jiménez Exner-Wöhrer Deputy Christine Carlos M. Jarque Peter Kollmann Daniela Lecuona Torras Catasta* Oscar von Hauske Solís Employee rep
Slide 4: Attendance – Supervisory Board and committees 2021
Attendance – Supervisory Board and committees 2021. Supervisory Board Remuneration Audit Committee meetings Committee Dr. Edith HLAWATI 6/6 (100%) 7/7 (100%) Dr. Carlos GARCIA MORENO ELIZONDO 6/6 (100%) 7/7 (100%) 5/5 (100%) Dr. Alejandro CANTU 5/6 (83%) Dr. Christine CATASTA (since September 6, 202
Slide 5: Report of the Management Board
Report of the Management Board 5
Slide 6: A1 Telekom Austria Group – Highlights 2021
A1 Telekom Austria Group – Highlights 2021. Positive results demonstrate operating and A1 promotes growth and prosperity in line with financial strength more sustainable ways of working and living Increase in service revenues in all markets Milestones in 2021: Leverage ratio further reduce
Slide 7: 2021 results – Pleasing results confirm resilience of the business model
2021 results – Pleasing results confirm resilience of the business model. Total revenues EBITDA +4.4% +8.2% Free cash flow Net result EUR 487.3 mn (-3.3%) EUR 455.0 mn (+17.0%) Mobile postpaid Internet@home +5.0% +6.0% TV and fixed-line broadband grow Key figures on reported basis 2022 Annual Genera
Slide 8: On a growth trajectory – A1 is a top performer in its European peer group
On a growth trajectory – A1 is a top performer in its European peer group. Revenues Adjusted EBITDA aL** Net debt/EBITDA*** CAGR 2019–2021 CAGR 2019–2021 End of 2021 A1 Group 2.0% A1 Group 5.4% Telecom Italia 4.1 Telia (SEK) 1.4% DT exkl. USA 3.7% Deutsche Telekom 2.7 Orange 0.4% KPN 1.3% Telefonica
Slide 9: Belarus: Ongoing evaluation of the situation while operating performance remains solid
Belarus: Ongoing evaluation of the situation while operating performance remains solid. No exit planned Operating performance 15.6% Responsibility to our 2,300 employees and our 5 13.0% 11.2% 14.4% 12.2% 11.4% 13.5% 10.2% 10.2% million customers 9.8% 7.7% 9.4% 9.6% 8.7% 9.5% 4.7% 4.6% Continua
Slide 10: Energy prices and inflationary pressure – Efficiency measures cushion negative effects
Energy prices and inflationary pressure – Efficiency measures cushion negative effects. Rising energy prices A1 Group’s power costs as a Market-specific approach to safeguard energy costs percentage of total Core OPEX Increased focus on sustainable energy resources and energy efficiency 4.8% 4,8
Slide 11: Empowering digital life – Helping to shape a sustainable future through technology
Empowering digital life – Helping to shape a sustainable future through technology. Boost Core Growth Continuous Improvement Sweating the Assets Optimizing external expenses Increase Multiplay+ Partnering 4 operational efficiency Data-driven Marketing & Sales Develop new skills Scale Platform Busine
Slide 12: 5Giganet – A1 accelerates fiber roll-out in Austria with additional EUR 100 million
5Giganet – A1 accelertes fiber roll-out in Austria with additional EUR 100 million. Preferred digitalization partner 95% of Reliable and strong connectivity is a must-have Fiber 65,000 km communities Average speed of fixed-line products is steadily increasing connected ESG-proof technology 62%
Slide 13: Tower companies – Raise efficiency and are already established in nearly all European countries
Tower companies – Raise efficiency and are already established in nearly all European countries. 100,098 sites Austria 45,700 sites Competitors have already (Vodafone) spun off towers 40,600 sites 30,200 sites A1 Telekom Austria has not made a decision yet 26,400 sites 22,500 sites 2021: Contribut
Slide 14: Tower business unit comprises passive components
Tower business unit comprises passive components: Active “intelligent” infrastructure remains with the operator. In a mobile base station, a distinction is made between active and passive components Intelligence of the network incl. active components of the towers remains with local operator Tower b
Slide 15: 2021 highlights – Milestones towards long-term ESG targets
Empowering a sustainable future: Milestones on the way to achieving our long-term ESG targets. Climate neutrality People, society and corporate governance CO2 reduction: CO2 emissions reduced by Percentage of women in Austrian Promotion of digital 20%, minus 49.3 metric tons (2021 vs. leadersh
Slide 16: Learning is in our DNA - #TodayForTomorrow
Learning is in our DNA - #TodayForTomorrow. 2021 2022 2022+ All employees and digital learning Leadership and future skills Skills and experience management Focus on experts and the (further) Further development of managers’ skills • Skill matching: overview of existing development of critical skill
Slide 17: 2021 Group results
Vv / Vz 2021 Group results 7 At |
Slide 18: 2021 results – Strong operating performance across the Group
2021 results – Strong operating performance across the Group. Key financial figures in EUR mn 2021 2020 +/-% Solid growth in core mobile business and strong demand for Service revenues 3,956.5 3,804.5 +4.0% broadband solutions Equipment revenues 709.5 659.4 +7.6% Focus on operating efficiency To
Slide 19: 2021 results – Austria
2021 results – Austria. Key financial figures in EUR mn 2021 2020 +/-% Revenues 2,677.6 2,622.1 +2.1% EBITDA 991.1 936.7 +5.8% EBITDA margin 37.0% 35.7% n.a. EBITDA before restructuring 1,075.3 1,021.2 +5.3% EBITDA margin before restructuring 40.2% 38.9% n.a. 5.1 mn mobile subscriber 3.0 mn RGUs Int
Slide 20: 2021 results – International operations
2021 results – International operations. Key financial figures in EUR mn 2021 2020 +/-% Revenues 2,101.7 1,955.8 +7.5% EBITDA 763.2 697.4 +9.4% EBITDA margin 36.3% 35.7% n.a. Operating EBITDA (excluding FX and non-recurring 762.7 688.8 +10.7% effects) 14.9 mn mobile subscriber 3.0 mn RGUs Internet@h
Slide 21: Conservative financial strategy – Further debt reduction
Conservative financial strategy – Further debt reduction. Leverage ratio Equity ratio substantially Rating profile remains significantly reduced increased solid Redemption of Net debt/EBITDA (before IFRS 16) hybrid bond Baa1/BBB+ 2,1 38,5 32,6 31,2 34,0 36,3 (stable outlook) 0,4 Baa2/BBB (positive o
Slide 22: Telekom Austria shares
V / VZ Telekom Austria shares 7 At |
Slide 23: Share performance – Telekom Austria shares
Share performance – Telekom Austria shares. Performance since 2021: Performance YTD*: TKA: +20.4% TKA: -15.2% ATX Prime: +36.9% ATX Prime: -23.6% Since March 22, 2021, Telco: +11.5% Telco: -0.7% Telekom Austria shares have 145 been included in the ATX Prime 135 Treasury shares as of December 31, 202
Slide 24: Outlook for 2022
V / VZ Outlook for 2022 7 A |
Slide 25: 2021 – Expectations exceeded. Focus in 2022: Growth in core business
2021 – Expectations exceeded. Focus in 2022: Growth in core business and increase in operating efficiency. 2021 2022 OUTLOOK ACHIEVED OUTLOOK Approx. 3-4% Revenues (initially +4.4% Close to +3% approx. 1%) CAPEX (excluding Approx. EUR 800 mn EUR 826 mn +15% year on year spectrum) Outlook and results
Slide 26: A1 Group – Strong position to take advantage of the opportunities of digitalization
A1 Group – Strong position to take advantage of the opportunities of digitalization. Monetization of data growth and high A business model as the foundation demand for ICT solutions; growth for digitalization, with a strong market potential with 5G, IoT, cloud, position in Austria and CEE cybersecur
Slide 27: Agenda item 2: Appropriation of net profit
Agenda item 2 Appropriation of net profit 27
Slide 28: Proposal for the appropriation of net profit
Proposal for the appropriation of net profit The Management Board and the Supervisory Board propose to use the net profit of Telekom Austria AG generated in the 2021 financial year in the amount of EUR 455,030,000 as follows: Distribution of a dividend of EUR 0.28 per eligible no par value share
Slide 29: Agenda item 3: Discharge of the members of the Management Board
Agenda item 3 Discharge of the members of the Management Board 29
Slide 30: Discharge of the members of the Management Board
Discharge of the members of the Management Board Thomas Arnoldner Alejandro Douglass Plater Siegfried Mayrhofer The Management Board and the Supervisory Board of Telekom Austria AG propose to grant discharge to the members of the Management Board for the 2021 financial year. 2022 Annual Genera
Slide 31: Agenda item 4: Discharge of the members of the Supervisory Board
Agenda item 4 Discharge of the members of the Supervisory Board 31
Slide 32: Discharge of the members of the Supervisory Board
Discharge of the members of the Supervisory Board Shareholder representatives: Edith Hlawati, Carlos Jose Garcia Moreno Elizondo, Alejandro Cantú Jiménez, Karin Exner-Wöhrer, Peter Hagen, Carlos M. Jarque, Peter F. Kollmann, Daniela Lecuona Torras, Thomas Schmid, Christine Catasta, Oscar von Hausk
Slide 33: Agenda item 5: Compensation for the members of the Supervisory Board
Agenda item 5 Compensation for the members of the Supervisory Board 33
Slide 34: Compensation for the members of the Supervisory Board
Compensation for the members of the Supervisory Board As in the previous year, the Management Board and the Supervisory Board of Telekom Austria AG propose to determine the remuneration for the elected members of the Supervisory Board for the 2021 financial year as follows: 2021 For the Chair EUR 40
Slide 35: Agenda item 6: Elections to the Supervisory Board
Agenda item 6 Elections to the Supervisory Board 35
Slide 36: Dr. Christine Catasta
Dr. Christine Catasta Dr. Christine Catasta, born January 27, 1958, is to be elected to the Supervisory Board of the company with effect from the termination of this shareholder’s meeting until the termination of such shareholder’s meeting that resolves upon the discharge for the business year 2022.
Slide 37: Daniela Lecuona Torras
Daniela Lecuona Torras Daniela Lecuona Torras, born December 21, 1982, is to be elected to the Supervisory Board of the company with effect from the termination of this shareholder’s meeting until the termination of such shareholder’s meeting that resolves upon the discharge for the business year 20
Slide 38: Carlos M. Jarque
Carlos M. Jarque Carlos M. Jarque, born October 18, 1954, is to be elected to the Supervisory Board of the company with effect from the termination of this shareholder’s meeting until the termination of such shareholder’s meeting that resolves upon the discharge for the business year 2024. Carlos M.
Slide 39: Agenda item 7: Election of the auditor
Agenda item 7 Election of the auditor of the financial statements and of the consolidated financial statements 39
Slide 40: Proposal for the election of the auditor of the financial statements
Proposal for the election of the auditor of the financial statements and of the consolidated financial statements The Supervisory Board of Telekom Austria AG proposes to elect Ernst & Young Wirtschaftsprüfungsgesellschaft m.b.H., Vienna, as auditor and Group auditor for the 2022 financial year. 2022
Slide 41: Agenda item 8: Resolution on the Remuneration Report
Agenda item 8 Resolution on the Remuneration Report 41
Slide 42: Resolution on the Remuneration Report
Resolution on the Remuneration Report The Management Board and the Supervisory Board submit the Remuneration Report for the Management Board and the Supervisory Board for the vote of the Annual General Meeting. 2022 Annual General Meeting 42
Slide 43: Remuneration system for the Management Board in 2021
Remuneration system for the Management Board of Telekom Austria AG in 2021 Long-term incentive program (LTI) LTI performance period of 3 years Total remuneration Performance-based, Max. 175% variable performance (cap) remuneration max. 150% Variable yearly STI performance base salary remuneration (S
Slide 44: Management Board remuneration in line with company performance
Management Board in line with company performance Change 2021 Financials 2021 2020 2019 vs. 2019 in EUR mn IFRS 16 IFRS 16 IFRS 16 in % EBITDA excl. 1,790.3 1,661.3 1,644.7 8.9% Restructuring Net result 455.0 388.8 327.4 39.0% Free cashflow 487.3 503.7 343.7 41.8% Total remuneration of the Managemen
Slide 45: General debate
2022 Annual General Meeting Vienna, June 27, 2022 General debate
Slide 46: Voting
Voting 46
Slide 47: Agenda item 2: Appropriation of net profit – Voting
Agenda item 2 Appropriation of net profit VOTING 47
Slide 48: Appropriation of net profit
Appropriation of net profit The Management Board and the Supervisory Board propose to use the net profit of Telekom Austria AG generated in the 2021 financial year in the amount of EUR 455,030,000 as follows: Distribution of a dividend of EUR 0.28 per eligible no par value share The remainder wi
Slide 49: Agenda item 3: Discharge of the Management Board – Voting
Agenda item 3 Discharge of the members of the Management Board VOTING 49
Slide 50: Discharge of the members of the Management Board
Discharge of the members of the Management Board Thomas Arnoldner Alejandro Douglass Plater Siegfried Mayrhofer The Management Board and the Supervisory Board of Telekom Austria AG propose to grant discharge to the members of the Management Board for the 2021 financial year. 2022 Annual Genera
Slide 51: Agenda item 4: Discharge of the Supervisory Board – Voting
Agenda item 4 Discharge of the members of the Supervisory Board VOTING 51
Slide 52: Discharge of the members of the Supervisory Board
Discharge of the members of the Supervisory Board Shareholder representatives: Edith Hlawati, Carlos Jose Garcia Moreno Elizondo, Alejandro Cantú Jiménez, Karin Exner-Wöhrer, Peter Hagen, Carlos M. Jarque, Peter F. Kollmann, Daniela Lecuona Torras, Thomas Schmid, Christine Catasta, Oscar von Hausk
Slide 53: Agenda item 5: Compensation for Supervisory Board – Voting
Agenda item 5 Compensation for the members of the Supervisory Board VOTING 53
Slide 54: Compensation for the members of the Supervisory Board
Compensation for the members of the Supervisory Board As in the previous year, the Management Board and the Supervisory Board of Telekom Austria AG propose to determine the remuneration for the elected members of the Supervisory Board for the 2021 financial year as follows: 2021 For the Chair EUR 40
Slide 55: Agenda item 6: Elections to the Supervisory Board – Voting
Agenda item 6 Elections to the Supervisory Board VOTING 55
Slide 56: Dr. Christine Catasta
Dr. Christine Catasta Dr. Christine Catasta, born January 27, 1958, is to be elected to the Supervisory Board of the company with effect from the termination of this shareholder’s meeting until the termination of such shareholder’s meeting that resolves upon the discharge for the business year 2022.
Slide 57: Daniela Lecuona Torras
Daniela Lecuona Torras Daniela Lecuona Torras, born December 21, 1982, is to be elected to the Supervisory Board of the company with effect from the termination of this shareholder’s meeting until the termination of such shareholder’s meeting that resolves upon the discharge for the business year 20
Slide 58: Carlos M. Jarque
Carlos M. Jarque Carlos M. Jarque, born October 18, 1954, is to be elected to the Supervisory Board of the company with effect from the termination of this shareholder’s meeting until the termination of such shareholder’s meeting that resolves upon the discharge for the business year 2024. Carlos M.
Slide 59: Agenda item 7: Election of the auditor – Voting
Agenda item 7 Election of the auditor of the financial statements and of the consolidated financial statements VOTING 59
Slide 60: Election of the auditor of the financial statements
Election of the auditor of the financial statements and of the consolidated financial statements The Supervisory Board of Telekom Austria AG proposes to elect Ernst & Young Wirtschaftsprüfungsgesellschaft m.b.H., Vienna, as auditor and Group auditor for the 2022 financial year. 2022 Annual General M
Slide 61: Agenda item 8: Remuneration Report – Voting
Agenda item 8 Resolution on the Remuneration Report VOTING 61
Slide 62: Resolution on the Remuneration Report
Resolution on the Remuneration Report The Management Board and the Supervisory Board submit the Remuneration Report for the Management Board and the Supervisory Board for the vote of the Annual General Meeting. 2022 Annual General Meeting 62
Slide 63: Many thanks for attending!
Many thanks for attending! https://www.a1.group/