Analysts Day/ Feb 2014 OPEN. DiGi Analysts Day. 10 Feb 2014

Transcription

1 Analysts Day/ Feb 2014 OPEN DiGi Analysts Day 10 Feb

2 AGENDA 10 Feb :30 am - Reflections on DiGi s strategic directions, challenges and opportunities Q&A (30 mins) Henrik and Karl Erik 10:30 am - Introduction of new DMT lineup and their aspirations in shaping DiGi & the industry Albern (15 mins) Christian (15 mins) Loh (15 mins) Eugene (15 mins) 11:30 am - A quick tour at our TOC 12:00 am - Lunch 2

3 Strategic directions Henrik Clausen Karl Erik Broten 3

4 Transformed key areas of our business to better deliver this mission Faster coverage deployment Affordable service and packages Better data and voice quality Increase capacity to support data growth Customer centric across value chain Transformation journey 4

5 Rapid MI traffic growth although limited by smaller data network footprint Mobile Internet ( MI ) Traffic (GB) 3G/HSPA+ coverage 56.1% 57.3% 58.6% 66.8% 68.1% 71.6% 76.1% 80.1% 9,000,000 8,000,000 7,000,000 6,000,000 5,000,000 4,000,000 3,000,000 2,000,000 1,000,000 - Q112 Q212 Q312 Q412 Q113 Q213 Q313 Q413 Prepaid Postpaid Total +125% y-o-y +75% y-o-y +211% y-o-y 5

6 Capturing MI growth opportunity MI Penetration 67% 72% 52% 58% 55% 61% +6 pp +5 pp +6 pp Prepaid Postpaid Blended Smartphone Penetration 66% 52% 34% 38% 22% 26% Prepaid Postpaid Blended Encouraging data traffic on prepaid with increase take up and adoption MI penetration continued to strengthen with more than 500K smartphones from youth programme more targeted internet plans to encourage new subscription more affordable smartphones in the market Smartphone penetration increased 11.7 pp to 38.1% steep increase from prepaid Driver for higher capex investment into 2014 to further strengthen data growth opportunity

7 Stronger network and expanding fast 2G 3G >6,200 sites LTE Voice >4,850 & sites Data (EDGE) at 95% population coverage We will deploy more sites to further improve Quality 80% Rolled population indoor focus out LTE services coverage, in Klang covering Valley, major Kota cities and secondary coverage towns experience, nationwide with >6,650 sites by Kinabalu end Significant and HSPA improvements Johor Bahru in Minutes Per Drop and Enabling Drop Call (42Mbps) stronger Rate activated LTE through aggressive fiber We build Better will plan, average cover including >86% data population speeds; fiber lease max deals coverage speeds with exceeding by TM end 2014, We 10Mbps will while have improving >1,000 sites indoor by end coverage 2014, covering experience, high data usage especially areas for data services 7

8 Robust fiber network to meet data demands Kota Bharu Year Fiber Distance (km) Legend 2012 >1, >3, to 2016 >10,000 Kota Kinabalu Sandakan Prai Ipoh Miri Tawau Kuantan Bintulu Central Sibu Kuching Region Before 2013 After 2013 Sabah 23 links 252 links Sarawak 19 links 405 links Johor Bahru 8

9 Continue to deliver growth and value 6,361 6,733 5,891 6, % +4.1% +3.9% +41.5% +3.3% 2,929 3,043 1,206 1,706 2,229 2,302 Revenue Service Revenue EBITDA PAT Ops Cash-Flow

10 Significant opportunities in changing environment Challenges Competition heating up Securing fair access to strategic assets Regulatory uncertainty Opportunities Growth potential with competitive network footprints Capture and monetise data growth Leverage on digital services and partnerships 10

11 Must win battles for 2014 Growth Sustain margins Preferred by customers 11

12 Introduction to management DMT 12

13 To improve market and customer focus and drive stronger way of work Henrik Clausen Chief Executive Officer Communications & Corporate Responsibility joins CEO s Office to drive stronger alignment in organisation-wide communications, external profiling, and opinion leadership Nam Kiong continues as an Advisor to the CEO Legal & Compliance and Assurance depart. continue to be part of the CEO Office Albern Murty Chief Operating Officer Christian Thrane Chief Marketing Officer Loh Keh Jiat Chief Sales Officer Karl Erik Broten Chief Finance Officer Haroon Bhatti Chief Human Resource Officer 1 Jan 2014 Chief Corporate Affairs Officer 13

14 Driving cohesion throughout the organisation to strengthen business and customer focus Albern Murthy, Chief Operating Officer Overall accountability to drive go-to-market readiness and customer responsiveness in delivering DiGi s Customer First ambitions Create stronger cohesion across divisions to achieve product and organisational excellence Plan and manage entire technology value chain and investments, with a strengthened commercial focus Manage an efficient and robust customer service operations Strategise and build key alliances with strategic partners and stakeholders to strengthen nextgeneration organizational capabilities 14

15 Our passion, focus and drive was key to our success in 2013

16 Driving innovation and growth of consumer and business products, internet, and digital services offerings Christian Thrane Chief Marketing Officer Drive segmented customer value propositions and lead product life-cycle management and future product portfolio planning Establish strong pricing, analytics, and business intelligence practices to support business decisions Deliver new business streams within online and digital services, financial services and MVNO Lead growth of DiGi s IDD and International Roaming Business Ensure DiGi delivers on its consumer brand promise through relevant channels and campaigns 16

17 Streamlining all sales, distribution management and regional functions for consumer and business Loh Keh Jiat Chief Sales Officer Lead the company s ambition to develop all retail channels into dynamic and efficient customer touch points Manage incentives and commission plans for dealers to gain and maintain loyalty Lead all regions in driving sales and profitability growth Develop and implement distribution and channel strategies for consumer and business customer segments to drive revenue growth 17

18 Deeper focus on leading and managing strategic initiatives and relationships Eugene Teh Chief Corporate Affairs Officer Lead overall stakeholder management strategy, and leverage relationship with key external influencers to enable the execution of business imperatives Effectively manage DiGi s regulatory management framework within existing policies and guidelines Focused planning and implementation of key strategic business initiatives 18

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