Transcript PowerPoint-presentasjon
Picture courtesy of NOKIA
The Vollvik Group Norway’s leading low-cost mobile operator
Company Presentation May 2005
•
Short 2004
• 1q-05 Financials • Future Agenda
Status
• • • The acquisition of Sense has been the key focus of the management now – Negotiation of the deal and presenting to investors, especially through November – Due diligence and Post Merger Integration (PMI) planning, especially in November and December – PMI intense from Jan 1st to end February, choosing common system platforms, designing brand and marketing strategies, and dis-engaging of Sense employees – Negotiations with Telenor and NetCom from December to mid-February On the positive side, the PMI is developing according to plan, and the business combination is yielding good results on the cost synergy side On the negative side, the absorption of management that the deal and the PMI demanded resulted in a slow-down in customer growth due to little focus on sales, especially in the period Dec-Jan-Feb
Chess has delivered substantial revenue growth…
Revenue development 1998-2004
NOK million
300 200 100 0 700 600 500 400 1998 1999 2000 2001 2002 2003 2004 Chess Sense Chess: Revenue 2003 ca. 330 mill. Revenue 2004 ca. 485 mill.
Sense: Revenue 2003 ca. 618 mill.
Revenue 2004 ca. 613 mill.
•* Includes NOKm 30 from GSM Sentrene AS, where the activities have been shut down. Adjusted (organic) growth rate H1/03 to H1/04 of 79%
…and increased profitability
EBIT development 1998-2004
NOK million
60 50 40 30 20 10 0 -10 -20 -30 1999 2000 2001 2002 2003
•
* 2004
•
** Chess Sense
Key figures 2004 whole year
Revenue COGS EBITDA EBIT EBIT Margin Vollvik Gruppen 483,7 mnok 311,2 mnok 55,7 mnok 40,9 mnok 8,5% Sense 613,9 mnok 350,8 mnok 63,0 mnok 55,5 mnok 9,0% Total 1097,6 mnok 662,0 mnok 118,7 mnok 96,4 mnok 8,8%
One time charges in 2004
• Non Recuring Items 2004 Q4 • • • • • • GSM Sentrene AS Deprecation of Invision ( CRM ) Deprecation, changes of accounting principle 0.9 mnok Finance cost loan 340 mnok 3.6 mnok 2.6 mnok 3.5 mnok 0.9 mnok 2.6 mnok 3.5 mnok The opening balance for “the new Vollvik Group”, will include restructuring cost related to the integration of Sense in 2005, with some 10 mnok.
Section II 1q05 Financials
Key figures 1q 2005
Proforma Statement Sense and Chess - whole group NOK mill 1q 2005
Operating revenue COGS Contribution Salaries Other operating costs
EBITDA
Depreciation EBITA Amortization of goodwill EBIT Net interest expense EBT 243,1 140,6 102,5 18,2 47,2
37,1
4,4 32,7 16,8 15,9 -3,2 12,7
Key data 1q /4q - 2005
Chess Number of subscribers In total Number of post paid subscribers Net adds during 4q04 SAC per gross add ARPU 1q-05 Q1: 148.005
Q4: 135.980
Q1: 128.264
Q4: 118.377
Q1: 12.025
Q4: 7.884
Q1: 191 Q4: 210 310/ 136 Gross margin 1q/4q-04 Churn (annualised) based on 1q05 Q1: 39,9% Q4: 31,0% 19,8% Sense Q1: 208.400
Q4: 219.605
Q1: 159.455
Q4: 164.153
Q1: - 11.205 Q4: - 15.184
Q1: 443 Q4: 503 220/ 88 Q1: 44,4% Q4: 41,0% 41,5%
Balance sheet 31 March 05
• • Total fixed assets Goodwill • • Cash on hand Debtors Accounts receivable • • Short term debt Long term debt • Equity NOK 472,3 mill NOK 253,7 mill NOK 148,7 mill NOK 172,4 mill NOK 204,3 mill NOK 344,9 mill ( Bank ) NOK 257,6 mill
Key shareholders in Vollvik Gruppen
Shareholders as of 01/5-05
Idar Vollvik Chess Holding AS Reitan Gruppen AS Marshall Wace LLP HBK – London Oppenheim ACA Concept Orkla ASA Grieg Holding Lehmann Brothers King Holding AS Svein Johnsen MP Pensjon Jarle Nordnes Bras AS Sum, top 14 shareholders Other 99 shareholders
Total Shares
45 286 912 27 748 327 17 434.000
17 351 979 10 000 000 10 000 000 7 000 000 3 111 160 3 046 265 1 250 000 1 000 000 1 000 000 1 000 000 1 000 000 146 228 643 14 731 273
160 959 916 Ownership (%)
28.13
17.24
10.83
10.78
6.21
6.21
4.35
1.93
1.89
0.78
0.62
0.62
0.62
0.62
90.85
9.15
100.0
Section III Status/ Future
Our customers are very happy
Opportunities
• • • One net-operator strategi Build own City-nets and Become an operator, with 1/3 of roaming income • IP-telephony • • International discussions Bee a part of a trippel play company (quatro play )