Transcript Format grafico per presentazioni istituzionali

TIM Participações S.A
Goldman Sachs
Communacopia XVIII Conference
September 17th, 2009
0
TIM PARTICIPAÇÕES S.A. | Investor Relations
Agenda
Re-launch Plan: Key Actions and Results
2nd Quarter Results
Build a Solid Platform for the Long Term
Market Facts and Historical Data
1
TIM PARTICIPAÇÕES S.A. | Investor Relations
Re-launch Plan: Key Actions
Actions in Course
1
2
3
4
5
6
Brand
Network
Caring
Offering
Sales Force
Efficiency
Repositioning
 Share of voice increase
 New format to increase recall and brand linkage
 Coherence and brand recognition
Focus on 2G Service Quality :
 2G: excellence on voice quality
 3G: “right on spot”
Selectivity and Multi-channeling
 Services improvement: better flow over demand
 Caring model evolution: service level vs. client value
Distinctiveness and Innovation
Shock offering: “Recarga Imperdível”
 Infinity pre and post
“TIM Único”
 “Azul” (DDD = local)
“Back to Sales”
 Grow again on post-paid and on pre-paid
 Sales Force development (rationalization / productivity)
 Value-based Commissioning
Structural Rethinking
 Revision of go-to-market models and processes
 Renegotiation with suppliers
 Growth financing and sustain profitability
7
React to 2008’s
inertia on revenues:
- minimizing impact on
2009…
- …and preserving
profitability
Build a Solid Growth Platform for 2010
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TIM PARTICIPAÇÕES S.A. | Investor Relations
1
Brand: Share of Voice Increase;
Growth of Recall, Appreciation and Brand Linkage
Greater Efforts in Communication...
% share of investment
... with Good Campaign Results
TIM
Player 1
Player 2
Player 3
Δ p.p.
Brand
Manifesto
Da Marca
(Mar)
TIM Terra
Azul (May)
Target
87
32%
30%
26%
24%
15%
28%
19%
16%
31%
28%
21%
17%
16%
46
32
20
2006
2007
2008
1H‘09
Ranking
TIM
3º
3º
4º
1º
Δpp
vs. leader
-6
-13
-14
0
18
Recall
Source: Ibope Monitor/GRP, Data Folha, Synovate’s Image Research
75
70
29%
18%
78
76
30%
Appreciation Brand Linkage
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TIM PARTICIPAÇÕES S.A. | Investor Relations
2
Network
Network: Improvement of Service and Network Quality
2008 FY – Overall Service Quality
Jan-Jun 2009 – Overall Service Quality
% target achieved in overall service quality, TIM vs. competitors
% target achieved in overall service quality, TIM vs. competitors
98.7% in June
4Q ‘08: 90.2%
99.5%
98.0%
97.7%
95.1%
93.4%
#6
#2
99.9%
91.6%
97.3%
97.0%
96.0%
93.4%
83.9%
90.7%
76.9%
Player 1
Player 2
Player 4
Player 5
Player 6
TIM
Player 3
Player 1
TIM
Player 5
Player 6
Player 4
Player 2
Player 3
Network Service Quality
% target achieved in network quality , TIM vs. competitors
TIM
% target achieved in TIM network quality
Jan/09
Jun/09
Delta (p.p.)
84.1%
100.0%
+15.9
100.0%
100.0%
0.0
96.7%
99.5% 99.5% 98.9% 100.0%
100,00%
98,00%
Main mobile Player 1
operators
96,00%
94,00%
92,00%
90,00%
88,00%
Player 2
95.7%
98.6%
+2.9
Player 3
53.8%
50.0%
-3.8
84.6% 84.1% 84.1%
86,00%
84,00%
82,00%
80,00%
Source: Anatel
nov/08 dec/08 jan/09 feb/09 mar/09 apr/09 may/09 jun/09
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TIM PARTICIPAÇÕES S.A. | Investor Relations
3
Caring
Caring: Improvement in Customer Satisfaction
Customer Satisfaction Evolution
TIM
Player 1
8.6
Costumer Care Index - Anatel
Player 2
Player 3
TIM
8.4
8.0
7.8
7.8
Player 1
8.1
8.1
Player 2
8.0
Player 4
Player 3
Jan09
May
06
Oct
06
May
07
Oct
07
May
08
Oct
08
Feb09
Mar09
Apr09
May09
Jun09
Jul09
May
09
Evidences: . Reduction of # Lines / frequency of problems
. Strong recovery in historically critical areas: SP, RJ and Mid-West
TIM: recovery of client satisfaction
after a negative 2008
Source: Customer Satisfaction Monitoring (Bridge Research)
Offering:
. Improving on competitiveness in handset
. Increase media presence
. Launch of Infinity pre-paid plan
CRM:
. Pro-active replacement of handset based on value
. Expansion of Premium cell
Coverage:
. Focus on areas with high concentration of high-value clients
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TIM PARTICIPAÇÕES S.A. | Investor Relations
4
Ranking
in net share
Offering: Inversion of Market Share Erosion Trend
TIM Net Adds and Net Share
Offering
TIM Market Share
000’s lines, %
% of market share
25.3
Clean-up:
~1Mln lines
25.1 25.0
24.7
2008
Net share%
2009
29.1%
24.5
24.2 24.1
#1
#2
#1
37.7%
24.1%
32.2%
23.6 23.6
23.5 23.5
2400%
23.7 23.8
2350%
0
0
0
2300%
2300%
0
0
0
% Net
Share
17.4%
Apr
09
Jun
09
Jul Aug
2008
Sep
Oct
Nov
Dec
Jan Feb
2009
Mar
Apr
May
Jun
Jul
2.000
TIM Customer Base
1,729
1.500
1,282
Net
Adds
May
09
Mln lines
1.000
500
34.2
34.7 35.2
36.5
36.4 36.6
35.8 36.1
35.7 36.1
37.2
37.8
38.5
0
2Q
2Q
QoQ Speed up:
•Net addtion: 1.7mi 2Q vs. 0.7*mi in 1Q09
•ARPU: R$26.6 2Q vs. R$26.0 in 1Q09
*excluding clean-up base
Jul Aug Sep
2008
Oct
Nov Dec
Jan Feb
2009
Mar
Apr
May Jun
Pre
28.4
29.8
29.9
31.6
Post
6.8
6.6
6.2
6.2
Jul
6
TIM PARTICIPAÇÕES S.A. | Investor Relations
4
Offering
Offering: Infinity Offer Results
2009 Infinity pre-paid base
(000’s lines)
Pre
~2.500
~1.600
~650
5
Mar
Infinity
Apr
May
Jun
% Infinity in gross post voice consumer
34%
Post
Other
plans
100%
66%
Infinity
~0%
May
Jun
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TIM PARTICIPAÇÕES S.A. | Investor Relations
Sales
Force
Sales Force: Stop-loss of Value Customers Base (Post-paid)
5
Post-paid
Post-paid Sales
Re-launch
2009
Excluding ~0,3Mln
lines clean-up
Total Base
Gross Adds
000’s lines, 2009
Churn
Gross adds
“Back to
Sales”
1Q*
Q1
Net
Adds
--
Apr
May
-
+
Apr
Mag
Jun
Giu
+
Churn
Pre-paid
Excluding ~1Mln
lines clean-up
1Q*
Apr
-
+
1Q
Net Adds
Reported
2009
Apr
May
Mag
Jun
Gross Adds
Churn
++
++
Excluding ~0,7Mln
lines clean-up
1Q*
Apr
May
+
+
++
Q1
Net
Adds
*
monthly average in 1Q
Pre-paid
Growth Speed
up
Giu
Apr
Mag
Jun
Giu previa fechamento
++
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TIM PARTICIPAÇÕES S.A. | Investor Relations
5
Sales Force: Positive Balance on Post-Paid MNP and Speed up in
Acquisition Dynamics
Sales
Force
Gross Adds Post-paid (voice)
Gap MNP Post-paid
% MNP Port In/ Port Out
’08 vs. ’09
“The Turnaround”
Positive Balance on
Consumer and Business
segments
+29%
-46%
+
145%
113%
120%
-34%
Consumer
+42%
+2%
+13%
Mar
Apr
Postpaid
107% Business
“Zero balance”
78%
69%
56%
44%
55%
62%
40%
26%
24%
46%
23%
22%
14%
Jan
Note: Mobile NP
Feb
25%
Mar
Apr
May
Jun
Jan
Feb
May
Jun
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TIM PARTICIPAÇÕES S.A. | Investor Relations
6
Efficiency: Self-financing Brand Repositioning Plan
and Commercial Re-launch
Total Cost
Efficiency
Breakdown Costs
Δ% 09 vs. 08, BRGAAP
Advertising &
Promotions
- 1% 1Q
Commercial
2Q
+ 15%
+ 8%
YTD
1Q
-5%
-5,00%
-6%
~0
2Q
Industrial
-14%
-10%
-2%
0,00%
5,00%
10,00%
15,00%
+ 41%
+ 26%
Commercial*
Bad Debt Evolution
% Net Services Revenue, BR GAAP
Bad Debt -48%
6.8%
1Q
Leased Lines
4.7%
4.1%
4.8%
3Q08
4Q08
1Q09
+14%
2Q
YTD
Improvement in
acquisition quality
9.6%
20,00%
1Q08
Interconnection
-20%
Personnel
-18%
2Q08
3.6%
2Q09
YTD
-9%
HR, IT
and G&A -10%
-10%
1Q
2Q
YTD
G&A
-6%
Note: Excludes non organic effects: Embratel dispute agreement: - R$64 Mln (Mar/09); São Paulo inventories stolen : -R$21Mln (2Q09)
*Includes COGS, Selling, CRM and Marketing Expenses
-100,00%
-50,00%
0,00%
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TIM PARTICIPAÇÕES S.A. | Investor Relations
Financials: Flat Revenues with Structural Increase of Profitability
Net Total Revenues
Δ% 09 vs. 08, BR GAAP
Net Services Revenues
Δ% 09 vs. 08, BR GAAP
1Q
+ 0.6%
2Q
-0.5%
+
7
Econo
mics
1H
3.7%
-1.2%
-0.8%
+ 2.2%
1Q
Issue: neutralize
2008 negative
waves
(post and pre-paid)
2Q
1H
-5,00%
0,00%
EBITDA Growth
Δ basis points 09 vs. 08, BR GAAP
Δ% 09 vs. 08, BR GAAP
1Q
EBITDA and EBITDA Margin
+ 14%
20.0%
2008
2Q
1H
22.3%
1Q
243
2Q
228
1H
237
2009
+ 16%
+ 230 Basis points YoY
+ 15%
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TIM PARTICIPAÇÕES S.A. | Investor Relations
7 1st
Econo
mics
Wave 2008: Loss of Post-paid Voice Base
8Mln
TIM
Post-paid
Base
6.8
6.2
6Mln
4Mln
(lines)
Total
market
Jun-08
Jun-09
25.3
29.0
25%
TIM
Post-paid
Mix
(%)
20%
Loss of active voice
post-paid lines:
ARPU/
post-paid active
voice lines:
30%
∆ Jan 09
vs. Jan 08
x
R$100
~ R$ 1
Bln
16%
Jun-08
- 800K
-R$0.5 bn in 1H
20%
15%
TIM
Post-paid
Market
Share
-4pp
Impact on Total Post-paid Revenues
(FY 2009)
Jun-09
-6pp
27%
25%
21%
15%
Jun-08
2008
Post-paid
Revenues
Delta
base
2009
Inertial
Post-paid
Revenues
Jun-09
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TIM PARTICIPAÇÕES S.A. | Investor Relations
7 2nd
Econo
mics
Wave 2008: Reduction in Pre-paid Base with Promos
Impact on Total Pre-paid Revenues (FY 2009)
ARPU Promo base vs. Non-Promo base
Bln R$
ARPU
Mainly in 2Q
Promo
Non-Promo
Non-Promo
Active Base
Promo Active Base
Mln lines
Mln lines
-
+
2008
Pre-paid
Revenue
2008’s
Average
Mar
2009
+
2008’s
Average
Mar
2009
Promo
Δ Base
Non-Promo
Δ Base
2009
Inertial
Pre-paid
Revenue
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TIM PARTICIPAÇÕES S.A. | Investor Relations
Agenda
Re-launch Plan: Key Actions and Results
2nd Quarter Results
Build a Solid Platform for the Future
Market Facts and Historical Data
14
TIM PARTICIPAÇÕES S.A. | Investor Relations
2Q09’s Main Results
Subscribers base: +4.8% QoQ
Net Revenue growth: +3.7% YoY to R$ 3,304 Mln
Net Service Revenue:
• +4.0% QoQ (and +9.7% QoQ in Total Net Revenue)
• VAS: +12.5% QoQ e +21.7% YoY
• Stop ARPU and MOU erosion on a quarterly basis
Structural efficient growth:
• Bad Debt at -47.9% YoY (and 3.6% of Net Services Revenue)
• Interconnection & Network: -14.1% YoY
• Personnel and G&A: -9.0% YoY and Commercial: +24.6% YoY
Improving Profitability: EBITDA at R$ 736 Mln (+15.5% YoY) to a Margin of 22.3% (+230 bps YoY)
Net Loss reduction: -R$ 15 Mln vs. -R$144 Mln in 1Q09 and -R$66 Mln in 2Q08
Positive Operating Free Cash Flow: R$ 407 Mln, +10% YoY…
… with an improvement in the Net Financial Position: R$ 2,900 Mln, -R$117 Mln vs. 1Q09
15
TIM PARTICIPAÇÕES S.A. | Investor Relations
Industry Overview
Mn lines
Mobile
69%
133.2
73%
140.8
78%
150.6
Fixed Broadband
Fixed
81%
153.7
83%
73%
159.6
38.8
73%
39.4
76%
41.1
78%
41.8
10%
14%
19%
20%
10.8
10.0
7.7
5.6
2Q08
3Q08
% Penetration per
total population
4Q08
1Q09
2Q09
2006
2007
2008
2Q09
2006
% Penetration per
total households
Mobile lines
MOBILE
FIXED
 Market growth continues to be fueled by intense commercial
 New players has brought competition
2007
2008
2Q09
Fixed Access
activity from major players and SIM-card only sales
MOBILE BROADBAND
FIXED BROADBAND
 Mobile broadband base ~3 million (Jun09)
 ADSL/Fixed Lines ~25%
 2009 YTD mobile net addition surpassing fixed broadband
 ~42% of total access with speeds up to 500kps
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TIM PARTICIPAÇÕES S.A. | Investor Relations
Customer Base
… through Revamp in Net Additions
Stop Market Share Erosion…
Million lines
25.4%
Market
Share (%)
23.5%
33.8
29.1%
23.7%
Net
Share (%)
37.8
36.1
ΔY/Y
17.4%
17.2*%
1,729
ΔQ/Q
1,282
27.0
29.9
31.6
6.8
6.2
6.2
6.2
2Q08
1Q09
2Q09
Post-paid
CB YoY
Growth (%)
23.1%
+17.1% +5.6%
Net Adds
(000’s)
-8.9%
~700*
+0,7%
(306)
Pre-paid
11.0%
∆ Net Adds
YoY: +35%
QoQ: +149%*
11.9%
2Q08
1Q09
2Q09
* Excluding the impact of ~1MM clean-up
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TIM PARTICIPAÇÕES S.A. | Investor Relations
Service Revenue KPI’s
Revenues & KPI’s
ARPU
R$
Net Revenues
R$ Mln
ΔY/Y
3,186
3,012
3,304
2,936
2,971
2,823
215
189
368
2Q08
1Q09
2Q09
+3.7%
ΔQ/Q
29.8
26.0
26.6
2Q08
1Q09
2Q09
YoY %
-13.8%
-11.7%
-11.0%
QoQ %
+1.2%
-13.1%
+2.1%
+9.7%
-1.2%
+4.0%
+70.8%
+95.0%
ARPM
R$
0.37
0.36
∆ YoY
∆ QoQ
22.2%
-2.2%
∆ YoY
∆ QoQ
-27.1%
+4.4%
0.30
Net Service Revenue
Net Handset Revenue
Gross VAS Rev.
397
430
483
% VAS/ Service
Rev.
9.8%
11.2%
12.3%
ΔY/Y
ΔQ/Q
+21.7%
+12.5%
+2.5pp
Increased penetration of
micro-browsing over total
customers base
+1.1pp
MOU
100
Min.
2Q08
70
73
1Q09
2Q09
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TIM PARTICIPAÇÕES S.A. | Investor Relations
Commercial Efforts
Maintained…
…While Efficiency Plan Gets
Traction...
.. delivering EBITDA Growth
Bad Debt
COGS
R$ Mln
R$ Mln
-47.9%
Gross Adds
YoY: +20%
QoQ: +27%
+43.7%
+43.9%
% of
Net Serv.
Revenues
467
325
-21.2%
60*
324
EBITDA
143
134
106
2Q08
1Q09
2Q09
6.8%*
4.8%
3.6%
R$ Mln
+15.5%
+20.8%
Personnel and G&A Costs
R$ Mln
99
2Q08
1Q09
-9.0%
-3.7%
R$ Mln
277
261
252
2Q08
1Q09
2Q09
+24.6%
+16.9%
709
609
736
2Q08
1Q09
2Q09
20.0%
20.2%
22.3%
2Q09
Selling Expenses
666
637
Margin %
Interconnection & Network Costs
829
R$ Mln
-14.1%
-6.5%
∆ YoY
Advertising
84
115
119
2Q08
1Q09
2Q09
* Telesales Impact
=1.4 x
1,073
985
921
2Q08
1Q09
2Q09
19
TIM PARTICIPAÇÕES S.A. | Investor Relations
EBITDA and Bottom Line performance
EBITDA Structurally Improve – Financing the Growth
and the Repositioning
R$ Million
EBITDA to Bottom Line performance
R$ Million
152.6 (141.9)
(34.4)
97.4
36.9
EBITDA
2Q09
Depreciation &
Amortization
736.0
(647.5)
EBIT
Net Financial
Expenses
Taxes and
Others
Net
Result
(163.4) 151.7
736.0
637.2
~300
(~10% Serv. Rev.)
~290
(~10% Serv. Rev.)
Investments on
Growth
Savings
88.6
(65.9)
(38.0)
(15.2)
+R$99 Mln
+15.5%
EBITDA Service Handsets
2Q08 Revenues Revenues
Δ YoY
Margin
%
-1.2%
+70.8
%
COGS
+43.7
%
EBITDA
Advertising Network
Other
Bad Debt
& Sales Expenses
Expenses* 2Q09
+24.6
%
14.1%
47.9%
13.1%
20.0%
22.3%
2Q08
637.2
(596.3)
40.8
(91.4)
(15.7)
(66.3)
YOY %
+15.5%
+8.6%
+116.9%
-27.9%
+141.1%
-77.0%
2Q09 vs.
2Q08
1.2x
2.2x
0.2x
* Other Expenses include: G&A, Personnel and Net Other Operating Expenses/Revenues
20
TIM PARTICIPAÇÕES S.A. | Investor Relations
Net Financial Position and Operating Free Cash Flow – 2Q09
Operating Free Cash Flow
Net Debt
R$ Million
R$ Million
% total revenues
736
93
(422)
12.3%
1Q09
Operating FCF
Non
Op. FCF
2Q09
11.6%
-117
+10%
407
~R$ 168 Mln
of dividends
371 *
EBITDA
ΔWork.
Cap.
CAPEX
Operating
FCF
2Q08
(3,017)
407
(289)
(2,900)
* Excluding 3G license
Gross Debt
R$ 3.67 billion (of which 68% long term)
~33% of total debt is denominated in foreign currency (fully hedged)
Average annual cost
10.95% in 2Q09 vs.11.64% in 2Q08 (and 12.47% in 1Q09)
21
TIM PARTICIPAÇÕES S.A. | Investor Relations
Agenda
Re-launch Plan: Key Actions and Results
2nd Quarter Results
Build a Solid Platform for the Future
Market Facts and Historical Data
22
TIM PARTICIPAÇÕES S.A. | Investor Relations
Reshaping TIM Brasil: Build a Solid Growth Platform
2008
2009
 Loss of Preference (-7 pp) and Top of Mind (-1 pp)
Brand
Posizionamento
mark  Ranking #6 in Quality (Anatel)
Positioning
 Customer Satisfaction Index decrease (ranking #3)
25.9%
25.4%
 Recovery in
- Preference
- Top of Mind
- Quality of Services (ranking Anatel)
- Customer Satisfaction
- 6 pp only at post
25.0%
24.2%
23.7%
23.5%
30,00%
30,00%
MS Total
20,00%
20,00%
Market
Share
Reversal post-paid base erosion
trend (value base)
10,00%
10,00%
Net adds
pre
0,00%
-10,00%
0,00%
Net adds
post voice
-20,00%
-20,00%
1Q08
2Q08
3Q08
1Q09
4Q08
R$ Bln
26%
4Q09 E
1Q08
EBITDA Margin
20%
18%
20%
2Q08
Net Total
Revenues
+6%
+5%
+6%
Source: TIM internal data
3Q09 E
R$ Bln
24%
Economics
2Q09
3Q08
4Q08
22%
+10%
1Q09
2Q09
Keep growing in
revenue and
profitability
3Q09 E
4Q09 E
23
TIM PARTICIPAÇÕES S.A. | Investor Relations
The Path for 2009
1Q09
2Q09
 New portfolio Offers:
 Strategy: Pure Mobile
- April (Infinity Pre, Da Vinci)
 Organization: new
- June (Infinity Post, “Único”)
management Team
 Advertising: new format
and greater presence in
media
 Network Quality
Network
and Brand recover
Net Services
Revenue
Δ YoY
3Q09
Usage stimulus, MOU growth.
Ex:
- “Recarga Imperdível”
- LD Infinity
 Sales channels Push :
- Back-to Post-paid
- MNP Focus
Market share Increase :
- Post-paid Voice (BU/CO)
- Infinity Pre-paid Push
 Recovery of Customer
Satisfaction
New Offers (July)
- 4 in 1
- New “Imperdível”
Back to Sale
Back to Talk
+
-
4Q09
 Commercial Push on New
Offer
 Closing Intelig and
capturing early synergies
 Recovery of Top of Mind
and Preference
Back to Growth
++
-
Target: restructure the company, recovering strong
positioning, sustaining profitability and cash flow
24
TIM PARTICIPAÇÕES S.A. | Investor Relations
Improving Structural Efficiency of the Company
2009, BRGAAP
Strict Rigor in Bad Debt
Δ YoY
+
+
% Net Service Revenue
2008
Commercial
10%
7%
08 vs 07
Δ YoY
09* vs 08
5%
2009 4.8%
3.6%
+
1Q
HR, IT and
G&A
Δ YoY
2Q
4Q*
09* vs 08
ITX
Δ YoY
+
08 vs 07
-
09* vs 08
Leased Lines
+
Industrial
(Network)
08 vs 07
3Q*
Industrial Costs Variation
08 vs 07
4%
-
09* vs 08
++
+
Intelig
 We do not sacrifice growth to increase profitability
 We do not “buy" growth by destroying value
* 2009 Estimate
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TIM PARTICIPAÇÕES S.A. | Investor Relations
Main Takeaways
2Q Achievements
3Q Priorities
Repositioning on track:
• Brand
• Quality
• Satisfaction
• Positioning
•Stimulate Usage (MOU)
Growth of net additions with ARPU increase
Profitability preserve through efficiency
QoQ improvement in all metrics
•Post-paid
•Profitability and cash
generation
Build a Solid Growth Platform for 2010
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TIM PARTICIPAÇÕES S.A. | Investor Relations
Re-launch Plan: Key Actions and Results
2nd Quarter Results
Build a Solid Platform for the Future
Market Facts and Historical Data
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TIM PARTICIPAÇÕES S.A. | Investor Relations
Market Facts
Stock Performance
TCLS4
Shareholders Structure
TCSL3
IBOV
TIM Part.
Total
(%)
(%)
Control
Free float
(%)
Common
799,924,805 34%
650,537,118 40% 149,387,687 21%
Preferred
1,548,522,231 66%
990,098,811 60% 558,423,420 79%
Total
2,348,447,036 100% 1,640,635,929 100% 707,811,107 100%
*in Aug 31, 2009
Telecom Italia
100%
Aug08 Sep08 Oct08 Nov08 Dec08 Jan09 Feb09 Mar09 Apr09 May09 Jun09 Jul09 Aug09
TIM Brasil
ON: 81%
PN: 64%
Total: 70%
Market Panel*
Market Capitalization: R$ 10.49 Billion
Market Capitalization: US$ 5.80 Billion
TIM Participações
Stock Exchange: BOVESPA
Ticker Symbol: TCSL4 (Preferred)
Price: R$ 3.96
52 Week Price Range:
High – R$ 4.50
Low – R$ 2.42
Stock Exchange: BOVESPA
Ticker Symbol: TCSL3 (Common)
Price: R$ 5.45
52 Week Price Range:
High – R$ 7.95
Low – R$ 4.49
*All Market Panel data refer to Aug 31th, 2009
Stock Exchange: NYSE
Ticker Symbol: TSU (ADR)
Price: US$ 21.26
52 Week Price Range:
High – US$ 23.68
Low – US$ 11.44
100%
TIM Celular
100%
TIM Nordeste
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TIM PARTICIPAÇÕES S.A. | Investor Relations
Historical indicators: operational results
Brazilian Wireless Subscriber Base (million)
Estimated Total Penetration
Municipalities Served - TIM GSM
Market Share
Total Lines ('000)
Prepaid
Postpaid
Gross Additions ('000)
Net Additions ('000)
Churn
ARPU (R$)
MOU
ARPM (R$)
SAC (R$)
Investment (R$ million)
Employees
Numbers may differ from the previous publishing due to rounding
2Q09
1Q09
2Q08
159,6
83,5%
2.944
23,7%
37.826
31.610
6.216
4.855
1.729
8,6%
26,6
73
0,36
120
422,5
10.174
153,7
80,6%
2.772
23,5%
36.096
29.923
6.174
3.836
-306
11,4%
26,0
70
0,37
135
194,4
10.212
133,2
69,5%
2.733
25,4%
33.815
26.993
6.821
4.046
1.282
8,4%
29,8
100
0,30
119
1.706,3
10.253
QoQ
YoY
%
%
3,9%
2,9 p.p.
6,2%
0,2 p.p.
4,8%
5,6%
0,7%
26,6%
n.m.
-2,8 p.p
2,1%
4,4%
-2,2%
-10,7%
117,3%
-0,4%
19,9%
14,0 p.p.
7,7%
-1,7 p.p.
11,9%
17,1%
-8,9%
20,0%
34,9%
0,2 p.p
-11,0%
-27,1%
22,2%
0,9%
-75,2%
-0,8%
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TIM PARTICIPAÇÕES S.A. | Investor Relations
Historical indicators: financial results
R$ (Thousands)
2007
1Q08
2Q08
3Q08
4Q08
2008
1Q09
2Q09
QoQ %
YoY %
Net Revenues
12,441,643
2,992,957
3,186,075
3,357,794
3,544,138
13,080,965
3,011,668
3,304,252
9.7%
3.7%
Services
11,421,037
2,837,663
2,970,664
3,065,744
3,222,737
12,096,808
2,822,979
2,936,240
4.0%
-1.2%
1,020,606
155,294
215,411
292,051
321,401
984,157
188,689
368,012
95.0%
70.8%
Handset Revenue
Operating Expenses
(9,601,330)
(2,460,169)
(2,548,906)
(2,559,338)
(2,613,134)
(10,181,547)
(2,402,216)
(2,568,235)
6.9%
0.8%
(625,398)
(162,625)
(168,697)
(152,654)
(164,186)
(648,162)
(157,959)
(138,181)
-12.5%
-18.1%
Selling and Marketing Expenses
(2,512,078)
(598,141)
(665,621)
(715,019)
(708,347)
(2,687,128)
(709,130)
(829,036)
16.9%
24.6%
Network & Interconnection
(3,865,089)
(1,044,547)
(1,072,570)
(1,077,171)
(1,048,241)
(4,242,530)
(984,633)
(920,902)
-6.5%
-14.1%
(429,699)
(123,779)
(107,984)
(101,496)
(118,883)
(452,143)
(103,488)
(113,542)
9.7%
5.1%
(1,434,431)
(263,235)
(324,831)
(378,072)
(439,650)
(1,405,788)
(324,451)
(466,727)
43.9%
43.7%
(714,571)
(271,701)
(203,327)
(143,250)
(130,554)
(748,833)
(134,453)
(105,949)
-21.2%
-47.9%
Personal Expenses
General & Administrative
Cost of Goods Sold
Bad Debt
Other operational revenues (expenses)
EBITDA
EBITDA - Margin over total net revenues
Depreciation & Amortization
EBIT
Net Financial Results
Income (loss) before taxes and Minorities
Income tax and social contribution
Net Income (Loss)
(20,065)
2,840,313
3,859
532,788
(5,876)
637,169
8,325
798,456
(3,272)
931,004
3,036
11,897
6,102
-48.7%
-203.8%
2,899,418
609,451
736,016
20.8%
15.5%
22.8%
17.8%
20.0%
23.8%
26.3%
22.2%
20.2%
22.3%
2.1 p.p.
2.3 p.p.
(2,323,674)
(572,033)
(596,338)
(617,988)
(622,185)
(2,408,545)
(641,222)
(647,451)
1.0%
8.6%
516,639
(39,245)
40,831
180,468
308,818
490,872
(31,771)
88,565
-378.8%
116.9%
(281,500)
(73,609)
(91,382)
(152,943)
(57,041)
(374,974)
(69,314)
(65,857)
-5.0%
-27.9%
235,139
(112,854)
(50,552)
27,526
251,778
115,898
(101,085)
22,708
-122.5%
-144.9%
(166,837)
(12,613)
(15,743)
(39,579)
132,188
64,254
(42,929)
(37,956)
-11.6%
141.1%
68,302
(125,466)
(66,295)
(12,053)
383,966
180,152
(144,014)
(15,247)
-89.4%
-77.0%
Numbers may differ from the previous publishing due to rounding
30
TIM PARTICIPAÇÕES S.A. | Investor Relations
“Safe Harbor” statements
Statements in this presentation, as well as oral statements made by the management of TIM
Participações S.A. (the “Company”, or “TIM”), that are not historical fact constitute “forward looking
statements” that involve factors that could cause the actual results of the Company to differ
materially from historical results or from any results expressed or implied by such forward looking
statements. The Company cautions users of this presentation not to place undue reliance on
forward looking statements, which may be based on assumptions and anticipated events that do
not materialize.
Investor Relations
Avenida das Américas, 3434 - Bloco 01
6° andar – Barra da Tijuca
22640-102 Rio de Janeiro, RJ
Phone: +55 21 4009-3742 / 4009-3446 / 4009-4017
Fax: +55 21 4009-3990
Visit our Website
http://www.tim.com.br/ri
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TIM PARTICIPAÇÕES S.A. | Investor Relations
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