1 / 8

Financial Strength & Market Leadership

Financial Strength & Market Leadership. June 2002. 50.1%. 9.7%. 9.8%. Q1 2002 Financial highlights. (in HUF million). EBITDA. Revenues. Net Income. 140,983. 128,549. 58,850. 19,946. 53,581. 13,292. Q1 2001 Q1 2002. Q1 2001 Q1 2002. Q1 2001 Q1 2002.

kalli
Download Presentation

Financial Strength & Market Leadership

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Financial Strength & Market Leadership June 2002

  2. 50.1% 9.7% 9.8% Q1 2002 Financial highlights (in HUF million) EBITDA Revenues Net Income 140,983 128,549 58,850 19,946 53,581 13,292 Q1 2001 Q1 2002 Q1 2001 Q1 2002 Q1 2001 Q1 2002 Net income boosted by Westel and the strong HUF Revenue growth due to mobile and international segment EBITDA growth driven by Westel

  3. Predictable and transparent regulatory environment • Infrastructure based competition • RIO based interconnection fees are provided only if there are at least 3 points of interconnection out of the 10 secondary switches • Price cap regime • The overall price cap is 4% in 2002 and CPI minus 3% in 2003 and 2004 • Specific price caps for subscription fee and local tariffs • Matáv is a universal telecom service provider • Universal Telecom Fund to provide compensation for uneconomical services such as • low-usage package and public payphone service • RUO approved in February • RIO expected to be approved by the end of June • Matáv signed IC agreement with Pantel, Vivendi, GTS-Datanet and eTel

  4. Number of Access Lines and Penetration in Matáv’s Local Service Areas Fixed line: Focus on innovative solutions, strong cash generator • Stabilised number of lines • Provide higher value services • Shift to ISDN (up by 34%, representing more than 16% of total lines) • Respond to emerging competitive environment • Advanced tariff re-balancing • Increasing popularity of the wide range of tariff packages • 13.6% average headcount reduction at parent company • 322 lines per employee in Q1 2002 2,966 2,936 2,939 2,900 39.2 39.1 39.5 2,672 38.6 2,404 35.4 31.7

  5. Mobile: Continued delivery of excellent profit growth & efficiency • Mobile penetration in Hungary reached 53% in Q1 2002 • Actively maintained leadership position (50.6% market share) • EBITDA margin increased to 35.6% in Q1 2002 • Westel: ARPU (HUF 6,030) and MOU (121) • Revenues from enhanced services up by 63% • The world premier of MMS Westel Subscriber Growth and Mobile Penetration in Hungary 2,711 2,493 53.0 1,599 48.7 GSM Penetration Subscribers in '000 842 30.8 363 547 16.2 10.6 7.0 Penetration

  6. International: Unchanged expectations, dynamic subscriber growth Drivers of Q1 2002 results • Strong revenue growth but temporary slowdown in profitability • Fixed-line tariff rebalancing in line with industry norms • Mobile and Internet customer base more than doubled • Penetration: 27% fixed line, 13% mobile, 1% Internet Unchanged set of conditions for MakTel Substantial volume growth potential in all market segments

  7. Net Debt to Total Capital Matáv Group: strong financial position • Controlled leverage after the Westel acquisition • Strong operational cash flow provides some balance sheet flexibility for the future • Rating: • S&P BBB+ • Moody’s Baa1 • Q1 2002 debt structure: • 71% EUR, 24% HUF, 5% USD *MakTel and Westel acquisition were financed from debt

  8. Matáv Outlook • Focus on growth businesses (mobile, data) • Solid cash generation and efficiency improvement in fixed line • Transparent environment in key businesses • Targets for 2002:High single-digit revenue growth • Over 40% EBITDA margin • Approximately HUF 105 billion capex

More Related