Transcript Q4 2006 - Teleseniorerna

John Geary
Senior Consultant
Group Communications
TeliaSonera - in brief
• More than 453 million population
• Total number of subscriptions
128 million
- of which ~40 million in the
majority-owned operations
- and ~88 million in the
associated companies
• Approx. 32,000 employees
• Largest shareholders –
Swedish state (37.3%) and
Finnish state (13.7%)
2
Record earnings
Full year 2008
• Net sales
SEK 103,585 million (96,344)
– Increase +7.5%
– Organic growth +3.9% (in local currency)
– FX effect +2.1%
– Acquisitions +1.5%
• EBITDA*
SEK 32,954 million (31,021)
– EBITDA margin* 31.8% (32.2)
• Net Income SEK 19,011 million (17,674)
• EPS
SEK 4.23 (3.94)
• CAPEX
SEK 15,795 million (13,531)
* Excl. non-recurring items
3
TeliaSonera Group Organisation
President & CEO
Lars Nyberg
CFO
Legal Affairs
Per-Arne Blomquist
Jan Henrik Ahrnell
HR
Communications
Karin Eliasson
Cecilia Edström
Mobility
Broadband
Services
Services
Kenneth Karlberg
Håkan Dahlström
Business Services (B2B Sales)
Sverker Hannervall
4
Eurasia
Tero Kivisaari
Markets and brands
5
Mobility Services - Nordic and Baltic leadership
Norway (NetCom, Chess)
Finland (Sonera, TeleFinland)
Mobile subscriptions
Mobile subscriptions 2,676,000
1,581,000
Sweden (Telia, Halebop)
Mobile subscriptions
#1
5,334,000
#2
Denmark (Telia, Call me, dlg)
Mobile subscriptions
1,493,000
#3
Estonia (EMT, Diil)
#1
Mobile subscriptions
#1
#1
#1
Latvia (LMT, OKarte, Amigo)
Spain (Yoigo)
Mobile subscriptions
778,000
Mobile subscriptions 1,056,000
Lithuania (Omnitel, Ezys)
970,000
Mobile subscriptions 2,012,000
# Market position
(TeliaSonera estimates)
Subscriptions, December 31, 2008
6
Broadband Services - Nordic and Baltic leadership
Finland (Sonera)
Broadband subscriptions 478,000
Fixed subscriptions
420,000
Cable TV subscriptions
176,000
Norway (NextGenTel)
Broadband subscriptions
IPTV subscriptions
176,000
10,000
Estonia (Elion)
Sweden (Telia)
Broadband subscriptions 1,122,000
Fixed subscriptions
4,000,000
IPTV subscriptions
324,000
#2
Among
three
major
#2 # = Market position
#1
#1
#1
#1
Denmark (Telia)
Broadband subscriptions
Fixed subscriptions
Cable TV subscriptions
IPTV subscriptions
184,000
226,000
210,000
1,000
Broadband subscriptions
Fixed subscriptions
Cable TV subscriptions
IPTV subscriptions
176,000
391,000
4,000
75,000
Latvia (Lattelecom, ownership 49%)
Broadband subscriptions
Fixed subscriptions
180,000
597,000
Lithuania (TEO)
Broadband subscriptions
Fixed subscriptions
IPTV subscriptions
298,000
769,000
67,000
# Market position
(TeliaSonera estimates)
Subscriptions, December 31, 2008
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Eurasian operations
Azerbaijan (Azercell)
Mobile subscriptions
3,471,000
Georgia (Geocell)
Mobile subscriptions
1,582,000
Kazakhstan (K’cell)
Mobile subscriptions
7,083,000
#3
Moldova (Moldcell)
Mobile subscriptions
550,000
Tajikistan (Indigo & Somoncom)
Mobile subscriptions
1,154,000
Uzbekistan (UCell)
Mobile subscriptions
2,683,000
#3
#3
#2
#1 #1
#1
Nepal (Mero Mobile)
Mobile subscriptions
1,749,000
#1
#3 #1
#1
Cambodia (Star-Cell)
Mobile subscriptions
144,000
#4
Russia (MegaFon, ownership 43.8%)
Mobile subscriptions
43,558,000
Turkey (Turkcell,
ownership 37.3%)
36,300,000
Mobile subscription
Ukraine (Life:-),TKC ownership 54.2%)
Mobile subscriptions
8
#2
10,700,000
Afghanistan (Roshan)
Ownership 12.5%
# Market position
(TeliaSonera estimates)
Subscriber Growth
'000 subscribers
100 000
Av.Growth = 30% / Annum
9%
Astelit
8%
80 000
7%
60 000
Turkcell
41%
41%
40%
39%
43%
48%
40 000
MegaFon
58%
40%
20 000
0
9
38%
69%
78%
33%
14%
8%
22%
9%
9%
-02
-03
-04
10%
10%
11%
11%
-05
-06
-07
-08
Fintur
International expansion criteria
• East of Sweden ( not north, south or west)
• Not huge markets ( such as China and India)
• Small to medium-sized countries
• Market characteristics:
– Young and growing populations
– Low mobile penetration / High economic growth
– Cultural fit
• Strong local partners
• Good business case and “right” purchase price
• Act as a local player
• Strong corporate governance and risk management
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TeliaSonera enters new
high-growth emerging markets
Spice Nepal in Nepal
Applifone in Cambodia
Ownership structure
Control through 51% share in TeliaSonera Asia Holding B.V.
- creates an attractive platform for further expansion
• A strong local partner – intangible benefits
from partnering with Visor Group
• Allows consolidation
TeliaSonera
51%
Visor Group
49%
TeliaSonera
Asia Holding B.V.
80%
Spice Nepal
Nepal
12
100%
Applifone
Cambodia
Mobile markets in Nepal and Cambodia
Cambodia
Nepal
Mobile market consists of 2 GSM
and 2 CDMA operators
Mobile market consists of
5 GSM operators
Population: 28.4 million
Population: 14.6 million
Market share (%)
Market share (%)
Applifone 3
UTL (CDMA)
5
Spice Nepal
(GSM)
41
TMIC
15
54
50 NTC
(GSM+
CDMA)
As of Aug’08
13
Cadcomms 1
CamShin
18
63
Mobitel
As of Aug’08
TeliaSonera International carrier
14
Capacity backbone – Global
15
Wholesale- a hub for all IP based communications
• Largest IP Network in
Europe
• Top three Global Mobile
Data Network
• First Media Contribution
network in Europe
• Biggest Carrier of VoIP
traffic
• Largest host for Online
Games in Europe
• Largest Wholesale
Provider in Europe
16
Key priorities
• World class service company
• Successfully manage the migration from traditional
fixed services to mobility and IP-based services,
mainly in Sweden
• New B2B sales approach
• Growth in Eurasia
• Quality networks and services
• Improve efficiency
17
… THANK YOU