Advanced Info Service Plc. Non-deal Roadshow EU-UK, March 2014 AIS - - PowerPoint PPT Presentation

▶
advanced info service plc non deal roadshow
SMART_READER_LITE
LIVE PREVIEW

Advanced Info Service Plc. Non-deal Roadshow EU-UK, March 2014 AIS - - PowerPoint PPT Presentation

Oct 31, 2023 340 likes •593 views

Advanced Info Service Plc. Non-deal Roadshow EU-UK, March 2014 AIS at glance No.1 52% revenue market share 16m 3G-2.1GHz users mobile operator in Thailand 41m users Breakdown of Service Revenue Breakdown of customers Quick introduction

slide-1
SLIDE 1

Advanced Info Service Plc. Non-deal Roadshow

EU-UK, March 2014

slide-2
SLIDE 2

2

52% revenue market share 16m 3G-2.1GHz users

Breakdown of customers Breakdown of Service Revenue

No.1

mobile operator in Thailand

41m users

Quick introduction

  • Provide nationwide 2G network on 900MHz under Built-Transfer-Operate contracts which

will be expired in Sep-15.

  • Provide 2G network on 1800MHz under NBTC’s one year remedy after the Built-Transfer-

Operate contracts ended in Sep-13

  • Officially launched 3G-2.1GHz service in May-13 and expanded coverage to all 77 provinces

with 80% population coverage under a 15-year license of 2x15MHz bandwidth.

AIS at glance

slide-3
SLIDE 3

3

Deliver both growth & shareholder return

Transitional period of telecom industry

Secure business operation

unlock concession expiry

Growth

Unleash data capacity

Bt28bn used to build new network in 2013

Better cost structure

Transition from concession to license system

Shareholder return

100%

Dividend payout

Bt51bn

  • perating

cash flow net debt to equity

Dividend shall not exceed the retained earnings in separated financial statement.

0.19X

in 2013 in 2013 3G license 3G license on

  • n 2.1GHz

2.1GHz

slide-4
SLIDE 4

FY13 financial highlight

Service revenue ex. IC

108,336 FY12 112,528 FY13 +4%

EBITDA

61,436 FY12 63,691 FY13

Sales revenue

17,695 FY12 18,995 FY13 +4% +7%

% Service margin

48.4% FY12 50.5% FY13

% EBITDA margin

43.4% FY12 44.6% FY13

Net profit

34,883 FY12 36,274 FY13 +210 bps +120 bps +4%

(Unit: Bt mn)

4

slide-5
SLIDE 5

80% 13,200 Bt28bn

FY13

95% 20,000 Bt40bn

FY14

Building the BEST 3G network

5

3G BTS population coverage CAPEX

3,900 BTS Jan-14

The best 3G network in Bangkok In-building Dense area e.g. JJ market,

Siam Square Deploy additional small cells to improve customer experience Join hands with properties developers

slide-6
SLIDE 6

6

3G Strategies

The best 3G network at competitive price

 700 direct sales  Dealers’ incentive  Customer touch points

  • AIS 3G centers
  • Shop expansion &

renovation

Push 3G migration & subscription

2014 target 3G subscribers

3G 3G 75% 75%

2G 25%

Increase 3G handset adoption

ZERO handset margin

7%

FY13

0%

FY14 Mid- to low-end smartphone + package Distribution channel

50% 50% using 3G devices

slide-7
SLIDE 7

Affordable 3G models lined up

7 Acer Liquid Z5

Bt4,790 87.5GBP/106.2EUR/938SEK

Acer Liquid Z3S

Bt2,590

47.3GBP/57.4EUR/507SEK

LG Optimus L1ll Dual

Bt1,990

36.4GBP/44.1EUR/389SEK

Nokia Asha 503

Bt2,990

54.6GBP/66.3EUR/585SEK

Sony Xperia E

Bt2,990

54.6GBP/66.3EUR/585SEK

Samsung Hero 3G

Bt1,390

25.4GBP/30.8EUR/272SEK

Galaxy Pocket Neo

Bt2,900 53GBP/64.3EUR/568SEK 1 GBP:54.72 THB/ 1 EUR:45.10 THB/ 1 SEK:5.11 THB

slide-8
SLIDE 8

8

Benefit from rising 3G adoption

Regulatory fee saving

Revenue sharing on 900/1800MHz BTO agreement

VS

License fee on 2100MHz

5.25% 20-30%

FY12 Bt26bn FY13 Bt29bn

7.9% YoY

Lower regulatory fee from 3G migration

Regulatory fee

% to service revenue include net IC

26% 23%

FY12 FY13

3G subscribers reached 40%

  • f total subs in FY13

% 3G Revenue 0% 20%

slide-9
SLIDE 9

2014 guidance

9 Service revenue

(excluding IC)

6 – 8%

3G 2.1GHz subscribers

(50% using 3G devices)

75%

Consolidated EBITDA margin

44%

Service margin

(+300bps)

53%

FY14 CAPEX

Bt40bn

Depreciation & Amortization

18%

  • Incl. network, license fee, and

fixed asset in SG&A

  • 95% population coverage
  • 20k 3G BTS & additional small cells
  • Faster fiber optic rollout
  • AIS shop expansion & renovation
  • Contracted voice market
  • Accelerated non‐voice growth
slide-10
SLIDE 10

10

Future growth

900/1800MHz BTO assets

3G 3G 75% 75%

Wired-broadband

services

  • Leverage extensive

nationwide fiber transmission

  • Target DENSE

residential areas

  • Minimal investment

in last mile extension

  • 1800MHz

for 4G LTE

  • 900MHz

to strengthen 3G network

Capture potential growth in the future

slide-11
SLIDE 11

Appendix

11

slide-12
SLIDE 12

12

Depreciation & Amortization

The value of 2G network assets will be depleted in FY15

Asset under BTO (2G assets)

Bt20.5bn FY13 FY14 FY15 Bt0

FY13

2G assets

amortization

3G 2.1GHz networks

depreciation

3G 2.1GHz license

amortization

SG&A

depreciation

FY14 Breakdown of D&A

+18%

Rising 3G investment will result in higher D&A but partly offset by lower 2G amortization Bt16.5bn

1800MHz operational right amortization

Bt0.9bn Bt3bn Bt0.2bn Bt0.4bn Bt12bn Bt0.9bn >Bt3bn ~Bt11bn >Bt0.2bn

slide-13
SLIDE 13

Monthly fee Voice

(minutes)

Data Throttling Wifi

Bt399

150

750MB

unlimited

64Kbps Bt599

300

1.5GB

unlimited

64Kbps Bt799

400

2GB

unlimited

128Kbps Bt999

500

3GB

unlimited

256Kbps Bt299

100

500MB

unlimited

unlimited unlimited

13

Tier pricing – volume base

Fair usage policy: no real unlimited data offers

unlimited 64Kbps unlimited unlimited

slide-14
SLIDE 14

14

3G device bundling promotions

3G handsets discount

For postpaid subscribers buying new 3G handset

50% package discount for 6 months

Bt999 Bt499 Bt799 Bt399 High ends

smartphone

Mid-ends

smartphone

Low-ends

smartphone

Bt399 Bt199 Bt599 Bt299 Condition:

  • subscribes monthly package
  • pays 6 months package

upfront fee

slide-15
SLIDE 15

Innovative price packages

iF AIR

data package 90MB Bt99 91 –300MB < Bt199

301MB–1GB < Bt399 1025MB-2GB < Bt599

2049MB-4GB

< Bt799

automatically adjusted package to match actual usage

Mao Mao

  • n-top data package

10MB

Bt9

20MB

Bt15

unlimited

Bt49

160MB for 3G speed

70MB

Bt59

unlimited

Bt249

1GB for 3G speed

300MB

Bt239

unlimited

Bt799

4GB for 3G speed

Daily Weekly Monthly

3G

segmented pricing matching individual needs

15

slide-16
SLIDE 16

Free Google Internet

Google Free Search, Chat, Plus

Unlimited Social Life

FB, Whatsapp, LINE Package

myCloud

Store your digital assets

PhotoBox

Discover photos that matter

mySticker Shop

1000+ LINE Stickers

Calling Post

Express feeling on the phone

Newsloop

Discover the best of Thailand and the world

Music Store (HD)

50k+ HD music & concerts

Movie Store (HD)

The largest movie store

Live TV

30+ Live TV channels

Bookstore

The largest Thai e‐bookstore

Privileges App

Discover nearby privileges

mPay MasterCard

Online shopping for everyone

Guide & Go

World first Social Navigator

mPay Rabbit

Bring convenience to mass transit and beyond

Nov‐13 Oct‐13

Social Life F un Life Local Life

Game Zone

Unlimited Game Play

16 GMMz on AIS

Entertainment

EPL on mobile

English Premier league

James Ji Live

Aug‐13

slide-17
SLIDE 17

17

Consolidated income statement

Revenue 4Q13

Bt million/ % to total revenue

slide-18
SLIDE 18

18

Consolidated income statement

Costs & Expenses 4Q13

Bt million/ % to total revenue

slide-19
SLIDE 19

19

Consolidated income statement

Revenue FY13

Bt million/ % to total revenue

slide-20
SLIDE 20

20 Bt million/ % to total revenue

Consolidated income statement

Costs & Expenses FY13

slide-21
SLIDE 21

21

Financial position

Bt million/ % to total asset

slide-22
SLIDE 22

22

Key financial ratio

slide-23
SLIDE 23

23

Cash Flow FY13

AIS Investor Relations

http://investor.ais.co.th Investor@ais.co.th