COB 241 November 18, 2002 Accounting Jeopardy… November 18, 2002.
Annual General Meeting 14 November 2002
description
Transcript of Annual General Meeting 14 November 2002
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Annual General MeetingAnnual General Meeting
14 November 200214 November 2002
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Subscriber GrowthSubscriber Growth
‘‘000000 20012001 20022002 % Change% Change
UHF ResidentialUHF Residential 159.8159.8 136.3136.3 (15%)(15%)
DBS ResidentialDBS Residential 264.2264.2 284.3284.3 8%8%
DBS WholesaleDBS Wholesale -- 75.475.4 --
CommercialCommercial 6.46.4 7.37.3 14%14%
Total SubscribersTotal Subscribers 430.4430.4 503.2503.2 17%17%
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FullFull Year Subscribers Year Subscribers
0
100,000
200,000
300,000
400,000
500,000
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
UHF Satellite Wholesale
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Pay Television PenetrationPay Television Penetration
AustraliaAustralia 22%22% FranceFrance 32%32% New ZealandNew Zealand 36%36% United KingdomUnited Kingdom 41%41% FinlandFinland 45%45% GermanyGermany 70%70% United StatesUnited States 81%81% SwitzerlandSwitzerland 83%83% BeNeLuxBeNeLux 95%95%
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Average Revenue per Unit (ARPU)Average Revenue per Unit (ARPU)
$48.47
$50.51
$47.00
$47.50
$48.00
$48.50
$49.00
$49.50
$50.00
$50.50
$51.00
NZ$
Total
2001 2002
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Total RevenueTotal Revenue
$164$188 $236 $263
$300
$345
$0
$50
$100
$150
$200
$250
$300
$350
NZ
$ in
mill
ions
1997 1998 1999 2000 2001 2002Year End 30 June
CAGR 16%
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Advertising RevenueAdvertising Revenue
$5.8
$8.6 $10.7$11.6 $12.6 $16.5
$0
$2
$4
$6
$8
$10
$12
$14
$16
$18
NZ
$ in
mill
ions
1997 1998 1999 2000 2001 2002Year End 30 June
CAGR 22%
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Subscriber ChurnSubscriber Churn
1.00%
1.50%
2.00%
2.50%
Last Year Actual
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Programming CostsProgramming Costsas a percentage of revenueas a percentage of revenue
42%
46%
43%
49%50%
48%
36%
38%
40%42%
44%46%
48%50%
52%
% o
f Pro
gram
min
g
1997 1998 1999 2000 2001 2002Year End 30 June
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EBITDAEBITDA
$50.4 $48.3$73.7 $74.1
$75.7
$108.2
$0.0
$20.0
$40.0
$60.0
$80.0
$100.0
$120.0
NZ$
in m
illio
ns
1997 1998 1999 2000 2001 2002
Year End 30 June
CAGR 16%
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Results SummaryResults Summary
$ million$ million 20012001 20022002 % Change% Change
RevenueRevenue 300.4300.4 344.6344.6 15%15%
Operating ExpensesOperating Expenses 224.7224.7 236.4236.4 5%5%
EBITDAEBITDA 75.775.7 108.2108.2 43%43%Depn & AmortDepn & Amort 95.495.4 113.0113.0 18%18%
EBITEBIT (19.7)(19.7) (4.8)(4.8) (76%)(76%)InterestInterest 21.321.3 26.726.7 25%25%
OtherOther 1.31.3 (1.3)(1.3) (200%)(200%)
Net Loss after Net Loss after TaxTax (42.3)(42.3) (30.2)(30.2) (29%)(29%)
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Free Cash FlowFree Cash Flow
$ million$ million 20012001 20022002 % Change% Change
Net Operating Cash Net Operating Cash FlowFlow 43.943.9 77.077.0 75%75%
Net Investing Cash Net Investing Cash FlowsFlows (140.7)(140.7) (114.2)(114.2) (19%)(19%)
Free Cash FlowFree Cash Flow (96.8)(96.8) (37.2)(37.2) (62%)(62%)
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Capital Expenditure Capital Expenditure (excluding Transponders)(excluding Transponders)
$37.4
$13.7
$36.5
$16.9$10.4
$97.9
$13.5
$3.3
$93.6
$6.8$2.9
$130.7
$11.4$11.2
$85.7
$2.0$20.2
$0
$20
$40
$60
$80
$100
$120
$140
$160
$NZ
(mill
ions
)
1997 1998 1999 2000 2001 2002Year End 30 June
Decoders and Installation Digital Expansion Other
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Leveraged RatiosLeveraged Ratios
$ million$ million
Bank LoanBank Loan $157.0$157.0
Capital NotesCapital Notes $111.1$111.1
TOTAL DEBTTOTAL DEBT $268.1$268.1
Capitalised ValueCapitalised Value $1,3 bil.$1,3 bil.
Debt to Cap. Value RatioDebt to Cap. Value Ratio 20%20%
Debt to EBITDA RatioDebt to EBITDA Ratio 2.5 times2.5 times
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TaxTax
Tax losses carried forward of $110mTax losses carried forward of $110m
Tax Asset not recognisedTax Asset not recognised
Approximately $58m of losses to be offset by INLApproximately $58m of losses to be offset by INL
INL to repay cash to SKY when tax is due INL to repay cash to SKY when tax is due
ie $58mie $58m x 33% = $19.1mx 33% = $19.1m
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Annual PerformanceAnnual Performance
70
90
110
130
150
170
190
210
BASE NZSE40.NZ BASE SKY.NZ
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Performance Over Performance Over the Last 12 Monthsthe Last 12 Months
80
90
100
110
120
130
BASE2 NZSE40.NZ BASE1 SKY.NZ
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SkyBetSkyBet
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