#1Investor Presentation Q2 2020 5G زين Zain#2Disclaimer Expectations and projections regarding future performance of the company referenced in this presentation are 'forward-looking statements' within the meaning of applicable securities laws and regulations. These are statements which the management believes are true at the time of their preparation based on available data and information and are subject to future events and uncertainties and to the successful and timely execution of plans and strategies, that could cause actual results to differ materially from those anticipated in these forward-looking statements. QOODO زين 5G زين Zain sa.zain.com 2#3زين السعودية QOODO زين 5G زين Zain sa.zain.com 3#4Zain KSA Board of Directors 5G زين Zain HH Prince Naif Bin Sultan Bin Mohammed Bin Saud Al Kabeer Chairman A highly accomplished Saudi businessman with a vast experience in multiple industries, HH is also a board member of Almarai Company, Alyamamah Cement Company, Farabi Gulf Petrochemicals Company, Projects and Technical Contracting Establishment and Ashbal Al Arab Contracting Establishment. Bader Nasser Al Kharafi Vice Chairman A renowned regional economic identity, Mr. Al- Kharaf, is the Vice-Chairman of Zain Group Board of Directors since Feb. 2014. Furthermore, in March 2017, he was appointed Zain Group CEO. He also holds several executive roles in multiple businesses under Al Kharafi Group. Firas Oggar Mr. Oggar is a Board Member and Treasurer at The Association Of Corporate Counsels (ACC), Washington D.C. He is also the Head of Legal at Zain Group since 2017. Saud Bin Abdullah AIBawardi Mr. AlBawardi has more than 15 years of experience in the telecommunications and banking industries in Saudi Arabia. He has served in several senior executive positions in Zain KSA and in another operator in KSA. Ossama Michael Matta Mr. Matta was appointed the key role of CFO of Zain Group in June 2010, having joined Zain in 2004 and quickly rising through the ranks. With more than 20 years track record in strategic financial transformation, he has solid relationships with banking institutions across the region. Scott Mark Gegenheimer Mr. Gegenheimer, was appointed as Zain Group CEO in 2012 and thereafter from March 2017 as Group CEO-Operations. A telecom veteran with over 25 years of experience, he spent the last decade in various senior management and leadership positions across the globe regional operators. Martial Caratti Mr. Martial Caratti is a member of the Board of Directors of Zain Group since November 2017. He is also the Chief Financial Officer of Omantel since 2015. He has over 30 years of experience in the telecommunications industry in the Middle East and Europe. Raied Bin Ali Al Saif Mr. Al Saif is the director of investment and business development at the private office of the Prince Sultan bin Mohammed bin Saud Al-Kabeer Al Saud, where his department provides investment counseling services as well as overseeing business activities at joint ventures companies. Hisham Mohammed Attar Mr. Attal has served as a board member in a number of companies, specializing in the field of investment and start-ups, including Body Masters and Amwal Alkhaleej. QOODO زين sa.zain.com 4#5Zain KSA Management Team Eng. Sultan Bin Abdulaziz AlDeghaither - Zain KSA CEO Eng. AlDeghaither took over as CEO of Zain on July 1st, 2018. Having first joined Zain KSA in 2009 as Director of Network Planning. He spearheaded the development of Zain's network across the Kingdom to cover more than 98% of the populated areas. 5G زين Zain Mehdi Khalfaoui CFO Mr. Khalfaoui was appointed CFO in Feb-2017. Having more than 12 years of ICT sector experience Sherif Tahoun CCO Mr. Tahoun's joined Zain KSA in 2014 having over 25 years of experience delivering business growth and transformation in large organizations Eng. Saad Al-Sadhan CBWO Eng. Al-Sadhan's professional career spans over 15 years in the telecom sector. AlSadhan began his journey with Zain in 2016 as Wholesale Senior Director. Eng. Abdulrahman Al-Mufadda - CTO Mr. AlMufadda has more than 15 years in the telecommunication sector. He was embarked on his role as Chief Technology Officer of Zain KSA in Feb. 2019. Shatha AlNafeesa CHRO Shatha assumed the position of CHRO at Zain KSA in September 2019, backed by more than 15 years of experience in the human resources sector. Eng. Salah Al-Ghamdi Digital and Analytics VP Eng. Salah has over 15 years of experience in the ICT sector. He is leading the digital transformation of Zain KSA into a Digital Telco Nada Alaa AlHarthi Business Affairs VP Nada assumed the position of Vice President, Business Affairs at Zain KSA, backed by a wide experience in planning, and strategy. Eng. Rayan AlTurki Communication VP Mr. AlTurki has more than 15 years of experience in Marketing, Communication, and Branding Faris Al-Ribdi RA&C VP Faris began his journey with of Zain KSA as GM of Regulatory Affairs and Compliance in January 2018. His professional career spans 14 years in the ICT sector Eng. Hamad Alkatheri Risk & InfoSec VP In his career, Eng. Alkatheri held several leadership positions in cybersecurity for a number of leading entities in the private and public sectors Taghreed Bahdailah Investors Relations VP Taghreed is skilled in commercial banking and Islamic economics, with practical experience in several governmental administration and, having graduated from Cambridge University in UK QOODO زين sa.zain.com 5#6Shareholder Structure Founding Shareholders, 21% Public, 42% Zain Group provides Zain KSA with operational, technical, brand financial support 5G زين Zain 1 Faden Trading & Contracting Est. 5.97% 2 Saudi Plastic Factory Est. 5.84% 3 Abu Dhabi Investment House (ADIH) 2.14% Zain Group, 37% 4 Almarai Co. 2.13% 5 HH Prince Sultan Bin Mohammed Bin Saud Al Kabeer Al Saud (Ashbal Al-Arab Contracting Est.) 2.13% 6 Al Jeraisy Development Co. Ltd. 1.06% 7 Architectural Elite Est. for Engineering & Contracting 0.56% 0.53% 0.44% Around 340,000 Shareholders 8 Al Sale Al Sharkiyah Co. Ltd. 9 Rakisa Holding Co. Tadawul: Bloomberg: Issued Shares Paid Capital: 7030 ZAINKSA:AB 583,729,175 SAR 5,837,291,750 زين sa.zain.com 6#7Zain Saudi Arabia Today زين JOMI 7.05 Million subscribers 75 SAR Blended ARPU Zain 1,417 Zainers Saudi: 87% Woman: 11.5% 292 shops 2,850 POS 9,148 TB/Day Average daily data traffic 99% 98% 93.5% 46% 2G 3G 4G 5G Population coverage $ + + 5G زين Zain % 52% Data revenue (Excluding SMS & VAS) 9,943 Total number of sites 566 Cities covered by 3G 479 Cities covered by 4G 30 Cities covered by 5G sa.zain.com 7#8Fastest Fixed Network Award ‣ Zain has won the fastest fixed network award in Saudi Arabia from Ookla زين Zain WE GOT IT ـاها 5G Fastest Fixed Network Award SPEEDTEST AWARDS by OOKLA FASTEST FIXED NETWORK جبنـ جائزة أسرع إنترنت منزلي في المملكة 2020 5050 Based on analysis by OoklaⓇ of Speedtest Intelligence data for Q1-02 2020. Ookla trademarks used under license and reprinted with permission. زين 5G زين Zain sa.zain.com 8#95G Coverage 5G زين Zain Zain KSA expands 5G network to cover all Kingdom's 13 regions, after it has recently included Al-Jouf and the Northern Borders. Our 5G Network Is Available In: Riyadh Taif Bahrah Jeddah Hufuf Hail Khobar Bisha Sabya Diriyah Rass Ahad Rifaydah Buraydah Najran Jizan Tabuk Madinah KAUST (Thuwal) Neom Airport Makkah Wadi Al Dawasir Khamis Mushayt Dhahran Baha Kharj Dammam Abha Unayzah Arar Sakaka 30 Cities covered with Zain 5G Network QOODO زين sa.zain.com 9#10Financial Highlights (1/2) REVENUE [Million SAR] Yearly Trend GROSS PROFIT [Million SAR] Yearly Trend 8,386 6,927 7,306 7,531 -8% 2,057 2,039 1,889 5,969 5,424 4,796 4,202 -11% 1,524 1,473 1,355 زين Zain 2016 2017 2018 2019 Q2 2019 Q1 2020 Q2 2020 2016 2017 2018 2019 Q2 2019 Q1 2020 Q2 2020 EBITDA, EBITDA MARGIN [Million SAR] Yearly Trend NET (LOSS)/PROFIT MARGIN [Million SAR] Yearly Trend 3,823 485 6% -4.6% 5% 3,009 332 3% 6% 2,517 46% 46% 46% 48% -979 12. 4% 40% 1,795 .0% 130 105 59 34% 69 26% 944 939 901 2016 2017 2018 2019 Q2 2019 Q1 2020 Q2 2020 -14% 2016 2017 2018 2019 Q2 2019 Q1 2020 D زين Q2 2020 sa.zain.com 10 Certain comparatives figures have been reclassified to conform with the presentation in the current period.#11Financial Highlights (2/2) OPERATIONAL (LOSS/INCOME) [Million SAR] Yearly Trend CAPEX, CAPEX/ REVENUES [Million SAR] Yearly Trend 1,511 1,219 903 -20%) 374 357 297 2,968 1,924 1,906 54% 43% 40% 1,029 1,096 23% 763 14% 26% 225 11% -54 2016 2016 2017 2018 2019 2017 2018 2019 Q2 2019 Q1 2020 Q2 2020 CASH BALANCE [Million SAR] Yearly Trend EBITDA - CAPEX [Million SAR] Yearly Trend 1,696 1,416 1,262 1,116 1,157 1,094 919 1,917 1,488 1,085 Q2 2019 Q1 2020 Q2 2020 719 -158 138 5G زين Zain 2016 2017 2018 2019 Q2 2019 Q1 2020 Q2 2020 -1,173 2016 2017 2018 2019 Q2 2019 Q1 2020 Q2 2020 QEYDOC sa.zain.com 11 Certain comparatives figures have been reclassified to conform with the presentation in the current period.#12Company Debt ▸ With financial support from financial institutions, shareholders, and the Ministry of Finance Zain Saudi Arabia borrowings summary Description Provider Outstanding Amount [Million SAR] Junior Murabah Debt Consortium of five banks 2,250 Murabaha Facility Arrangement (MFA) Consortium of eight banks 3,860 Government Loan (MoF) Ministry of Finance 3,985 Due to Shareholders Founding shareholders 5,900 Evolve cost transformation initiatives Opportunity to approach business differently Increasing efficiencies to lower operating costs Aligning businesses to changing customer behavior $ Q- Committed investment in key capital projects Network investment including 5G and expanding fiber Technology and content investment $ Taking Proactive Financial Measures Increased capex guidance while implementing efficient cost measures QOODO زين 5G زين Zain sa.zain.com 12#13Other Q2 News Zain signed an MoU with Mobily to form a joint committee and invite offers for telecom towers "موبايلي" و "زين" توقعان مذكرة تفاهم لطرح كراسة طلب عروض لشراء أبراج الهاتف المتنقل التي تملكانها أو دمجها موبايلي زين 03 يونيو .. عمومية "زين" السعودية تصوت على الأعمال والعقود التي تمت مع اطراف ذات علاقة زين Zain A- A* تابع مال Zain mobily تابع مال الرياض . مال 5 يوليو 2020 A- A+ وقعت شركة اتحاد اتصالات (موبايلي) مذكرة تفاهم مع شركة الاتصالات المتنقلة السعودية (زين السعودية) لتشكيل لجنة مشتركة بين الطرفين تتولى إعداد وطرح كراسة طلب عروض لشراء أبراج الهاتف المتنقل التي يملكها الطرفين أو دمجها في شركة واحدة مع مستثمرين آخرين أو تشغيلها نيابة عنهم على أن يتم الانتهاء من طرح الكراسة خلال ثلاثين يوماً من تاريخ توقيع هذه المذكرة. الرياض - مال 10 مايو 2020 دعا مجلس إدارة شركة الاتصالات المتنقلة السعودية (زين) المساهمين إلى حضور اجتماع الجمعية العامة العادية (الاجتماع (الأول) المقرر إنعقاده بمشيئة الله تعالى الساعة الثامنة والنصف مساءً من يوم الاربعاء 11 شوال 1441هـ الموافق 3 يونيو 2020م المقام بمقر الشركة الرئيسي بالرياض، حيث سيعقد الاجتماع بإستخدام وسائل التقنية الحديثة منظومة تداولاتي ضمن دعم الجهود والاجراءات الوقائية والاحترازية التي تبذلها الدولة وفقها الله للتصدي لوباء فيروس كورونا المستجد (-COVID The General Assembly was hosted at Zain HQ in Riyadh city and shareholders attended remotely زين 5G زين Zain sa.zain.com 13#14More Information 5G زين Zain SHARE STATISTICS FINANCIAL REPORTS DISCLOSURE COMPANY POLICIES ANALYST COVERAGE SHAREHOLDERS CAPITAL REDUCTION Investor Relations Reports Annual Audit Committee Report Yearly Statement For more information, please visit our website or contact us through: @ [email protected] +966 59 244 8888 Board of Directors Report 2019 Yearly Statement Financial Statement 2019 First Quarter Second Quarter Third Quarter عربي عربی → عربي Search more English اد English → English → → ↓ ↓ https://sa.zain.com/en/investors/financial-reports زين sa.zain.com 14#15Q & A QOODO زين 5G زين Zain sa.zain.com 15#165G زين Zain Thank You DODO 0000 0000 0000 00000 0000 00000 OOOO 00000 0000 00000 000000000000 00000 100 100 100 DODO 00000 C0000 00000 0000000 0 0 0 10000 00000