Ooredoo Group · Ooredoo Capital Markets Day |26 Sept 2016 14 Oorsdoo Myaihar H1’16 –Financial...
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Ooredoo Group Capital Markets Day 2016 Ooredoo Myanmar update - Rene Meza, Ooredoo Myanmar CEO 26 Sept 2016 Doha, Qatar
Transcript of Ooredoo Group · Ooredoo Capital Markets Day |26 Sept 2016 14 Oorsdoo Myaihar H1’16 –Financial...
Ooredoo GroupCapital Markets Day 2016
Ooredoo Myanmar update - Rene
Meza, Ooredoo Myanmar CEO
26 Sept 2016
Doha, Qatar
Ooredoo Capital Markets Day 26 Sept 2016 2| |
Myanmar: Young population growing at ~2%; poverty to decrease with economic growth
29%
18%
16%
14%
11%
7%
6%
0-14
15-24
25-35
35-44
45-54
55-64
65+
52.7
54.555.2
55.856.5
40.0
42.0
44.0
46.0
48.0
50.0
52.0
54.0
56.0
58.0
2015 2016 2017 2018 2019
17.8%
15.4%
13.0%
10.6%
8.2%
2015 2016 2017 2018 2019
2010 Poverty profile – Unicef report
"Poverty afflicts around 25% of the
population [in 2010] and has fallen by
6 percentage points since 2005"
Population forecast(Million)
Population by age groups(%)
Population below poverty line (%)
Source: Myanmar statistics bureau, World Bank
Ooredoo Capital Markets Day 26 Sept 2016 3| |
Sound economic growth projected for next few years; inflationary pressures expected to ease
5158
65
77
93
109
126
145
166
191
20
40
60
80
100
120
140
160
180
200
201
2
201
3
201
4
201
5
201
6
201
7
201
8
201
9
202
0
202
1
8%
3% 3%
6% 6%
11%
10%
8%7%
7%7% 6%
20
10
20
11
20
12
20
13
20
14
20
15
20
16
20
17
20
18
20
19
20
20
20
21
Myanmar Nominal GDP (MMK tr, current prices)
Inflation(%)
Source: IMF, GSMA, IMF
Ooredoo Capital Markets Day 26 Sept 2016 4| |
Network now covering ~80% of the population, nearing the end of our major network rollout
Ooredoo Capital Markets Day 26 Sept 2016 5| |
We have a robust fiber network to support data
Ooredoo Capital Markets Day 26 Sept 2016 6| |
Ooredoo and Myanmar hare industry-leading in smartphone adoption
~90% of the total handsets sold in top 3 regions ( YGN, NPT, MDY) are smartphones
Smartphone adoption benchmark – 1Q16(every dot represents a country)
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
0 2,000 4,000 6,000 8,000 10,000
Sm
art
ph
on
e a
do
pti
on
(%
of
ba
se
)
GDP/Capita (PPP, USD)
Myanmar
Ooredoo
Source: IMF, GSMA, IMF, Delta Partners analysis, GFK study
Ooredoo Capital Markets Day 26 Sept 2016 7| |
4G LTE devices penetration increasing
Source: GFK study
~43% of the total handsets sold in top 3 regions ( YGN, NPT, MDY) are 4G LTE phones
19.0 20.4 21.5 17.9 15.3 14.1 12.3 11.9 12.3 11.2 11.8 11.7 10.5
67.4 6366.9 70.7 70.5 67.5
59.9 61.2 60.555.3 54.9 56.5
46.6
13.6 16.6 11.6 11.4 14.2 18.427.8 26.9 27.2
33.5 33.3 31.842.9
May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15 Jan-16 Feb-16 Mar-16 Apr-16 May-16
2G 3G 4G
% of Handsets sold by Technology, Top 3 regions
Ooredoo Capital Markets Day 26 Sept 2016 8| |
Ooredoo Myanmar has been the fastest growing operator in the last few quarters
Customer Market Shares by Operator in Myanmar
2.5
3.44.0
4.8
5.8
6.9
8.2
Q4'14 Q1'15 Q2'15 Q3'15 Q4'15 Q1'16 Q2'16
Ooredoo Myanmar Customer Base (m)
3x Customer base growth since Q4’14
Source: OML internal data and quarterly results published by competition
14.8% 15.9% 16.5%18.6%
36.5% 37.4% 37.8%
38.2%
48.7%46.8% 45.7%
43.2%
Q3-15 Q4-15 Q1-16 Q2-16
Ooredoo Comp 1 Comp 2
-5.5pp
1.7pp
3.8pp
Outperforming all competitors in customer
market share growth
Ooredoo Capital Markets Day 26 Sept 2016 9| |
Robust trade marketing and brand visibility across Myanmar
Ooredoo Capital Markets Day 26 Sept 2016 10| |
We were first to launch 4G LTE, which helped us further strengthen our data leadership position
Ooredoo Capital Markets Day 26 Sept 2016 11| |
Every campaign talks about “connect to the better future”
Fast Ooredoo Network
Ooredoo Widest and Fastest
Network will keep you
connected wherever you are
Ooredoo 4G Plus
Connect to the better future on
the Fastest Network in
Myanmar
Corporate Social
Responsibility
The fastest mobile signal
changes lives in Myanmar,
through access to health and
education
Ooredoo Capital Markets Day 26 Sept 2016 12| |
Connecting with people of Myanmar by providing access to better health & education services
Ooredoo Capital Markets Day 26 Sept 2016 13| |
Looking forward…
Challenges
Ambitions
ARPU erosion as penetration increasing in the rural areas of
Myanmar
4th player Viettel expected to launch anytime between now and Q1
next year
Local currency devaluation
Continue building scale and outpace market growth
Our data leadership position in the market to continue
Focus on cost optimization which will further improve financial
performance
Ooredoo Capital Markets Day 26 Sept 2016 14| |
Ooredoo Myanmar H1’16 – Financial highlights
(18)
(3)
1H'15 1H'16
510
717
1H'15 1H'16
41%
Revenue (QAR m)
EBITDA
Ooredoo Myanmar first 4G service provider in
Myanmar (Launch in May 2016)
Continued its revenue growth performance with
EBITDA positively impacted by increasing scale of
operations
Customer base more than doubled YoY exceeding
8 million, best quarterly additions since launch
Increasing data usage by promotions (Facebook
offer/ double internet) and providing affordable 3G
handsets
