Investor Presentaiton

Made public by

sourced by PitchSend

5 of 23

Creator

PitchSend logo
PitchSend

Category

Pending

Published

Unknown

Slides

Transcriptions

#1Totalpla May 2021#2Disclaimer This Presentation makes reference to certain non-IFRS measures. These non-IFRS measures are not recognized measures under IFRS, do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. These measures are provided as additional information to complement IFRS measures by providing further understanding of Total Play's results of operations from a management perspective. Accordingly, they should not be considered in isolation nor as a substitute for analysis of Total Play's financial information reported under IFRS. Forward-Looking Statements This Presentation contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as: "anticipate," "plan," "believe," "estimate," "expect," "strategy," "should," "will," "seek," "forecast," and similar references to future periods. Examples of forward-looking statements include, among others, statements concerning the Company's business outlook, future economic performance, anticipated profitability, revenues, expenses, or other financial items, market share, market growth rates, market demand, product or services growth. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are estimates that reflect the best judgment of Total Play's management based on currently available information. Because forward-looking statements relate to the future, they involve a number of risks, uncertainties and other factors that are outside of its control and could cause actual results to differ materially from those stated in such statements. Therefore, you should not rely on any of these forward-looking statements. All forward-looking statements are based on information available to Total Play on the date of this Presentation and Total Play assumes no obligation to update such statements, whether as a result of new information, future developments or otherwise, except as required by law. Totalplay 2#3Agenda • Business Overview History Main businesses Financial Highlights • ESG • Summary Financials Totalplay 3#4Business Overview Totalplay 4#5Total Play Total Play is a leading Telecom Company that offers fixed internet pay TV landline services for residential customers and enterprise clients Highlights ☐ ☐ ☐ ☐ Only company in Mexico offering a 100% direct-to-home fiber optic (FTTH) network World-class internet to households, businesses and government Highly optimized for video streaming and social networks Unique IPTV system turns linear PayTV into on-demand experience Home menu integrates high-quality 4K and major streaming apps. Leader in connectivity, productivity and managed services solutions for enterprise and government customers Seamless Integrated World Class Menu & Global Content Partners Corporate Facts as of Q1 2021 10.7 million homes passed +110,000 kms fiber optics ~7.1 million RGUS in the as of May 2021 25.3% penetration residential business 20,000+ employees Totalplay® Totalplay KAMP KORAL. Contenido Original Home Martes, 6:30 pm THE FANATIC ⚫ YOUR HONOR Grandes Peliculas Series Exclusiv HBO Paramount + NETFLIX prime video noggin ► YouTube ST⭑R blim → PREMIUM E-Totalplay TV https://media.nperf.com/files/publications/MX/2021-03-19 Barometro-internet-fijo-n Perf-2020.pdf ~2.7 million residential Top ISP provider in Mexico, subscribers measured by 41k+ nPerf Speed enterprise Test* customers SRC for the 4th consecutive year and part of the UN Global Compact 5#6Extensive Fiber Only Network Providing Superior Services in Mexico Broad and Expansive Network Reach Strategically Located in Key Cities An extensive GPON network in Mexico composed of more than 1,100 access nodes and optical line terminals Totalplay Residential's network reaches 52 cities with 10.7 m homes passed ◉ 25 cities each with over 100,000 homes passed Covers -46% of total Mexican population Totalplay Enterprise's network serves customers in 169 cities 99 cities with fiber plus microwave 70 cities microwave only in all 32 states Totalplay is uniquely positioned to efficiently grow with evolving, disruptive technologies and customer needs ■ ■ Core network touches cities with multi-gigabit links Connectivity to eight major ISPs in the US at different locations Highly optimized content delivery via caching and peering Between 2015 and 2020, Totalplay invested US$1.5 billion in its network in order to ensure that its infrastructure remains one of the most advanced in Mexico Totalplay® 6#7History Totalplay 7#8Unique Track Record of Growth and Innovation Totalplay has emerged as a leading player in the telecommunications sector supported by one of the most technologically advanced networks in Mexico 1 m subscribers 0.8 m homes passed serving 16k subscribers 2011: Totalplay launches home grown IPTV system and penetrates major corporate accounts >>>Totalplay 2015: Totalplay is spun off following the sale of lusacell's mobile operations to AT&T, remaining a wholly owned Grupo Salinas Company 2018: Totalplay becomes one of the fastest growing companies in Mexico 2020 2016 2018 ~99.6k km network 2008: Fixed services started as part of lusacell 2014 2011 2009 2008 ENLACE LA FIBRA DE TU NEGOCIO 2009: Enlace is born offering Enterprise services Reached 1.5 m homes serving 150k subscribers 2015 Reached 6.5 m homes passed serving 534k subscribers 10.5 m homes passed 52 cities 2.4 m subscribers Totalplay® 8#9Main businesses Totalplay 9#10Residential Business Segment (75% of Revenue, Q1 2021) Totalplay Residential offers value-added services supported by one of the leading infrastructures at the forefront of technological advances Key Highlights Totalplay Residential offers Double and Triple-Play bundles with high- quality content through a proprietary system - Services include Anytime TV and video on demand, and apps Delivers a home entertainment experience that has been a point of reference in the Mexican and international markets for years ☐ ~65% of customers have Triple-Play services ■ ~35% have Double-Play services Totalplay Residential Service Portfolio Internet Only to offer up to 500 Mbps, and capacity up to 1 Giga • 100% FO IPTV • 300 channels and Mobile App • First app in the market, since 2014 Seamless Anytime, Everywhere Services • VOD • • Totalplay • Remote • Phone line Customer service . Fixed & Softphone Totalplay® 115 in HD • Anytime TV • 4K • VOD WiFi extender Embedded Apps NETFLIX YouTube prime video HBO GO Claro sports STARZPLAY STAR blim PREMIUM Paramount+ 10#11Enterprise Business Segment (25% of Revenue, Q1 2021) Totalplay Enterprise portfolio offers a wide range of value-added telecommunications and IT solutions to Mexican private companies and government entities Key Highlights Enterprise Portfolio ☐ Totalplay Enterprise close to 110k internet services installed with ~41k medium and large corporate customers ☐ Customer base includes 60% of the top-500 largest enterprises in Mexico WiFi Services Managed Networks Video Surveillance ☐ ~66% of revenues from private sector entities and -44% from public sector ■ Metro Ethernet rings for high-capacity broadband connections Point-to-multipoint microwave network with over 500 base stations and 1,500 sectors, servicing corporate customers located in 169 cities LAN to LAN MPLS High Internet Capacity: Symmetric and Asymmetric Totalplay® EMPRESARIAL Totalplay® 2015 Sour B "Enterprise" refers to Totalplay Empresarial business segment which covers private and publicly-listed companies and federal and state government agencies and entities. LAN denotes Local Area Network and MPLS denotes Multiprotocol Label Switching. SDN (Software Defined Networking) Cloud Solutions 11#12Financial Highlights Totalplay 12#13Proven Track Record of Consistent Growth and Responsible Financial Management Consolidated Revenues (Ps. Million) EBITDA (Ps. Million) and Margin CAGR: 34% CAGR: 48% $8,370 $7,341 $5,515 $21,512 $19,557 $14,267 27% Enterprise $2,962 $10,569 39% 38% 39% 73% Residential $1,709 28% $7,476 $3,722 $5,409 $810 $367 22% 23% 7% 2015 2016 2017 2018 2019 2020 LTM 1Q21 2015 2016 2017 2018 2019 2020 LTM 1Q21 CAPEX (Ps. Million) $14,201 $7,896 $6,561 $5,359 $5,121 $4,565 $3,838 2016 2017 2018 2019 2020 1Q21 2015 Totalplay® 13#14Highlights Attractive subscriber lifetime value compared to competitors, with ARPU of Ps.611 and churn rate of 1.0% in Q1 2021 in residential Residential Subscribers (Thousand) RGUS (Thousand) CAGR: 45% 1,485 1,120 788 534 296 2,696 2,444 CAGR: 44% 7,120 6,459 3,920 2,885 2,020 1,407 784 2015 2016 2017 2018 2019 2020 1Q21 2015 2016 2017 2018 2019 2020 1Q21 Residential Homes Passed (Thousand) CAGR: 13% 10,515 10,667 8,040 8,582 6,265 6,509 5,162 Enterprise Services CAGR: 15% 103,927 109,873 89,763 74,693 55,574 61,147 46,728 2016 2017 2018 2019 2020 1Q21 2015 2016 2017 2018 2019 2020 1Q21 14 2015 Totalplay®#15Maturity Schedule Financing Strategy ■ Proactive financing management with broadly diversified sources of funding through banking and capital markets (both local and international) During 1Q21, we were able to reduce our weighted rate to 8.79% from 8.93%, and 12.98%, in 2020 and 2019, respectively In 1Q21, we continued with our conservative stance and substituted Ps.600 million of expensive debt In 1Q21, we refinanced Ps.6.7 billion from ten years, to a 12-year term, maintaining the same fixed rate 79% of debt is at fixed rate ☐ 45% of debt is denominated in US$ Debt Maturity Profile (Ps. Million) Totalplay® $12,517 $7,660 $1,634 $2,435 $3,324 $2,949 $9 $1,094 $532 2021 $105 $1,140 $1,191 $418 $418 $837 $282 $2,069 $2,249 $12,171 $28 $418 $318 $418 $0 $0 $0 $0 $0 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 Local Debt Leases US$ Debt Total Debt: Ps. 31.4 billion Total debt does not include Ps. 1,354 million in financial cost of debt (leases and debt), Ps. 1,709 million in commercial leases and Ps.343 million in provision of interests Fx Rate Ps.20.44 per US$ 15#16Indebtedness Overview Total Debt/ LTM EBITDA (x) 0.4x (0.4x) 4.2x 4.2x 3.4x LTM1Q20 2020 LTM1Q21 Total Debt/L2QA EBITDA² (x) 3.1x 0.0x 3.7x (0.6x) L2Q1Q20 Totalplay® L2Q4Q20 1. EBITDA / Interests 2. L2QA Adjusted EBITDA 3.1x Interest Coverage Ratio¹ (x) 12.7x (8.5x) (0.9x)) 5.1x 4.2x LTM1Q20 2020 LTM1Q21 Funding Mix Improvement, Q1 2020 v Q1 2021 Unsecured 0% Secured 100% Unsecured 36% Secured 64% L2Q1Q21 100% = Ps. 20.4 b 100% Ps. 31.4 b 16#17ESG Totalplay 17#18ESG Corporate Governance ■ At the beginning of 2021, Total Play announced the restructuring of its Board of directors with the appointment of four independent members, and the creation of the Auditing and Related Party Transactions Committee, composed solely of independent members. Social Responsibility UN GLOBAL COMPACT O UN Global Compact In 2018 Totalplay adhered to the United Nations Global Compact, the world's largest global initiative that promotes corporate sustainability Related 56% Independent 44% ■The new Board of Directors approved the creation of the "Ethics, Integrity and Compliance Program"* which is based on organic, procedural and normative elements provided by Mexican law, as well as certain principles and guidelines contained in the best national and international practices. IR ENERGY ENVIRON BONMENT LEED ESR Environmental Impact ■ The Totalplay corporate office has LEED Certification (Leadership in Energy and Environmental Design), a green building qualification that measures the efficient use of energy, water, materials, and waste management Social Impact For the 4th consecutive year, Total Play received the socially responsible company (SRC) badge ■ Workforce of ~20,000 employees, diversified by gender, age and ethnic origin Total Play was recognized by ANCE (Association for Standardization and Certification), for its Gender Equality and Non-Discrimination Policies Together with local government institutions and private sector, offered four Wi-Fi access points in low-demographic areas in Coahuila to help students to continue with their virtual education during the pandemic TotalplayⓇ *https://www.totalplay.com.mx/archivos/recursos/Programa-etica-integridad-cumplimiento 18#19Summary Financials Totalplay 19#20Income Statement, Q1 2021 v Q1 2020 (Ps. Million) Totalplay 1Q20 1Q21 Change % Revenue from services 4,402 100% 6,356 100% 1,954 44% Cost of services (1,256) (29%) (1,627) (26%) (371) (30%) Gross profit 3,146 71% 4,729 74% 1,583 50% General expenses (1,503) (34%) (2,053) (32%) (550) (37%) EBITDA 1,643 37% 2,676 42% 1,033 63% Depreciation and amortization Other income (expenses) - Net (1,378) (31%) (2,019) (32%) 3 0% 1 0% (641) (47%) (2) 67% Operating profit (loss) Financial cost: 268 6% 658 10% 390 146% Interest revenue 10 0% Accrued interest expense (192) (4%) Other financial (expenses) income - Net (32) (1%) 14 0% (562) (9%) (43) (1%) 4 40% (370) (193%) (11) 34% Foreign exchange (loss) gain - Net (418) (9%) (274) (4%) 144 34% Profit (loss) before income tax provision (364) (8%) (207) (3%) 157 (43%) Income tax provision (6) (0%) (9) (0%) (3) (50%) Net income (loss) for the period (370) (8%) (216) (3%) 154 (42%) 20#21Balance Sheet (Ps. Million) Assets CURRENT ASSETS As of March 31, 2020 2021 Change % % % Cash and cash 168 0% 46 0% (122) (73%) Customers - net 2,066 6% 2,348 5% 282 14% Other receivables and recoverable taxes 2,393 6% 3,667 7% 1,274 53% Other financial assets 1,120 3% 1,097 2% (22) (2%) Inventories 1,528 4% 1,601 3% 73 5% Prepaid expenses 174 0% 410 1% 237 136% Total current assets 7,448 20% 9,170 18% 1,722 23% NON-CURRENT ASSETS Property, plant and equipmente - Net Rights-of-use assets -Net Other non-current assets Total non-current assets Total assets 24,317 66% 3,838 10% 1,366 4% 29,522 80% 36,969 100% 35,141 71% 3,896 8% 1,481 3% 40,517 82% 49,687 100% 10,824 45% 57 1% 114 8% 10,996 12,717 37% 34% Liabilities and Stockholders' Equity SHORT-TERM LIABILITIES Short-term financial debt 1,592 4% 989 2% (603) (38%) Trade payables 6,403 17% 7,635 15% 1,232 19% Other payables and taxes 1,353 4% 1,976 4% 622 46% Derivative financial instruments 0% 75 0% 75 n.m. Lease liabilities 1,598 4% 1,466 3% (133) (8%) Total short-term liabilities 10,947 30% 12,140 24% 1,193 11% LONG-TERM LIABILITIES Long-term financial debt 14,340 39% 26,857 54% 12,517 87% Trade payables 64 0% 16 0% (48) (75%) Other long-term payables 317 1% 108 0% (209) (66%) Lease liabilities 2,888 8% 2,743 6% (144) (5%) Total long-term liabilities Total liabilities 17,609 48% 28,556 77% 29,725 60% 41,865 84% 12,116 69% 13,309 47% STOCKHOLDERS' EQUITY 8,414 23% 36,969 100% 7,822 16% 49,687 100% (592) (7%) 12,717 34% Totalplay Total stockholders' equity and liabilities 21#22Totalpla May 2021

Download to PowerPoint

Download presentation as an editable powerpoint.

Related

Q4 & FY22 - Investor Presentation image

Q4 & FY22 - Investor Presentation

Financial Services

FY23 Results - Investor Presentation image

FY23 Results - Investor Presentation

Financial Services

Ferocious - Plant Growth Optimizer image

Ferocious - Plant Growth Optimizer

Agriculture

Market Outlook and Operational Insights image

Market Outlook and Operational Insights

Metals and Mining

2023 Investor Presentation image

2023 Investor Presentation

Financial

Leveraging EdTech Across 3 Verticals image

Leveraging EdTech Across 3 Verticals

Technology

Axis 2.0 Digital Banking image

Axis 2.0 Digital Banking

Sustainability & Digital Solutions

Capital One’s acquisition of Discover image

Capital One’s acquisition of Discover

Mergers and Acquisitions