Group overview. Veli-Matti Mattila CEO

Transcription

1 Group overview Veli-Matti Mattila CEO

2 Content Performance update Strategy execution Mid-term targets and dividend policy CEO priorities 2

3 Performance update Revenue growth exceeding the industry average Revenue, EURm 2.5%* Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 All numbers comparable (excl. EO items) *European telcos* comparable domestic revenue growth <0% (3Q09-3Q12) 3

4 Performance update EBITDA is improving EBITDA, EURm Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 All numbers comparable (excl. EO items) 4

5 Performance update and transformation with New services gaining momentum +24.5% (+9.3%*) New services New services Telecom services +0.2% (-4.5%*) Telecom services 9M11 9M12 * Revenue change published at CMD

6 Performance update and almost all mid-term targets on track Parameter Target by end of 2013 Revenue growth Above industry average EBITDA-margin Above 35% CAPEX-to-sales 12% Capital structure Net debt / EBITDA Equity ratio 1.5-2x > 35% 6

7 Strategy execution Strategy execution continues... New services and new markets Strengthening market position in core markets Integration of One Elisa 7

8 Strategy execution with significant potential in productivity improvements Process development Streamlined and consolidated IT Procurement and sourcing Effective use of capital 8

9 Strategy execution proven by recent results Process development E.g. Billing contacts / invoice volume Procurement and sourcing E.g. Global sourcing savings, EURm 5,3 % 3,8 % 3,0 % 5,7 5,1 0, Q12 Streamlined and consolidated IT E.g. IT consolidation savings, EURm Q12 Effective use of capital E.g. ROCE 21,4 % 21,6 % 1,3 1,5 1,5 19,1 % Q LTM* * LTM = Last 12 months (4Q11 3Q12) 9

10 Strategy execution Focus in Telecom services is on data... New devices drive data demand Smartphone penetration Mobile data (PB) and increase broadband subscriptions Fixed Broadband 40% 35% 30% 25% 20% 15% 10% 5% 0% Q12 3G Mobile broadband 4G Mobile broadband Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q Q = 100 Mobile BB Including dongles, excluding add-on services

11 Strategy execution and new service businesses are developed based on market demand Opportunities found on the basis of: customer frustrations and desires consumers money and time usage productivity improvement potential for organisations embracing new technologies Selection based on: Elisa's capabilities and assets attractiveness from the profit potential point of view New businesses developed close feedback loop with lead customers experimentation independent of one another Visual communications Cloud and IT Customer interaction Entertaining Learning and understanding Managing daily routines 11

12 Mid-term targets updated Parameter Target by end of 2015 Revenue growth Above industry* average EBITDA-margin Above 35% CAPEX-to-sales 12% Capital structure Net debt / EBITDA Equity ratio 1.5-2x > 35% * European telcos 12

13 and distribution policy upgraded Profit distribution is * per cent of the previous fiscal year s net profit. In addition possible excess capital can be distributed to shareholders. When making the distribution proposal or decision the Board of Directors will take into consideration the company s financial position, future financial needs and financial targets. Profit distribution methods include dividend payment, capital repayment and purchase of treasury shares. *Previously

14 CEO priorities Continue determined productivity improvement by targeting world-class operational excellence Securing the value capture of the mobile data explosion Further accelerating the transformation via new services businesses 14

15 Thank you! Q&A

16 Forward-looking statements Statements made in this document relating to the future, including future performance and other trend projections, are forward-looking statements. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that will occur in the future. There can be no assurance that actual results will not differ materially from those expressed or implied by these forward-looking statements, due to many factors, many of which are outside of Elisa s control. 16