Analyst presentation 2009

Transcription

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2 Leading provider of pan-african communication services Delivers the platform for growth in African total communications solutions Leading provider of pan-african voice and data connectivity services to the African mobile industry Leading provider of managed network IT solutions to multinational corporations operating in Africa Blue-chip global customerbase Blue-chip African customer-base Rapid growth in demand for African telecoms infrastructure Africa s most extensive network directly connecting 40 countries Local presence in 13 African countries with strong and broad management team

3 Africa s most extensive communications network Direct connectivity into 40 African countries Teleports (Belgium, UK, USA and Germany) Full IP, Next Generation Network International carriers POP London/Brussels/ New York WACS cable SEACOM cable Network connects 40 countries across Africa 43 equivalent transponders of satellite capacity 1 Satellite capacity suppliers include Intelsat and SES Newskies Major satellite hubs in 5 African countries SAT-3 and SEACOM cable capacity, WACS planned Sat-3 cable Note: 1 Equivalent to a 36 MHz transponder operations African office

4 E t Extensive i on-the-ground th d presence Strong and broad management team with unparalleled African experience Nigeria Mali Regional office Sales and support Major hub (sales and technical support) office UK Group headquarters (finance and sales) Sierra Leone Uganda Support office Belgium Support office Major technical and support centre Cote d Ivoire K Kenya Support and technical Support and sales offices office Ghana Tanzania West and North Africa Support office headquarters Sales, support and technical office Seychelles Mozambique East Africa and Angola headquarters Sales, Support and Technical office Cameroon Central Africa headquarters Sales, support and technical office Angola DRC Sales and support Sales, support and technical office Sales office Switzerland South Africa Zimbabwe Major M j h hub b office, ffi Support office Southern Africa headquarters France Commercial and sales office office being established

5 01095D250A.ppt Long-term blue chip customer base Strong relationships in key industries African mobile International carriers Banking and finance Oil & Gas

6 Contribution ti and gross margin by line of business Gross margin contribution by line of business (9M 2008) Inbound voice Outboun d voice Data services Data & In ternet Other¹ VSAT Source: Note: 1 Other includes e-commerce services, equipment sales and operations and maintenance Revenue contribution by line of business (9M 2008) Data services Other Inbound voice 18% 17% VSAT 55% 51% Outbound voice 27% Data & Internet 32% Source:

7 Figures at a glance Year-end December 9M M 2008 Growth 1 (%) Number of voice minutes (m) 813 1, Revenue (US$m) EBITDA (US$m) EBITDA margin (%) Average VSAT sites 971 1, Note: 1 Year-on-year growth for the nine month period to 30 September 2008

8 best positioned for growth in total communications has a track record of success in total communications and is best positioned to lead growth in the pan-african total communications market Focus on high-growth markets Pan-African Infrastructure Local on-the-ground presence Meet the needs of MNCs in Africa Pan-African connectivity for mobile operators Blue-chip customer base Foundation for pan-african total t communications business

9 provides growth and synergy opportunities Accelerates international expansion Broadens Vodacom s international footprint into key regional markets, especially Nigeria Provides platform for further regional expansion Provides platform for further expansion Strengthening of total communications strategy Opens new growth markets in Africa and allows Vodacom to exploit growth in mobile services without GSM footprint expansion, Leverages Vodacom s capital strength to accelerate s growth Complements Vodacom Business Provides access to s blue-chip corporate customer base Places Vodacom at the heart of African broadband growth story Group synergies Cost savings from satellite operations, vertical integration and procurement Further potential upside through co-operation with Vodafone operations

10 Modem Bank Modem Bank 01095D250A.ppt Communications Carrier Services overview provides the highest quality inbound, outbound and intra-african voice and data connectivity services One of the largest providers of carrier network solutions in Africa Extensive satellite network and multiple sub-sea fibre landing points Major clients include Vodacom, Zain and Millicom, as well as major European and global carriers Inbound voice services Outbound voice services Intra-Africa connectivity VSAT Hub Satellite dish Satellite VSAT Bandwidth Satellite dish VSAT Hub GATEWAY International wholesale and retail carriers and partner operators African operators International wholesale and retail carriers and partner operators African Modem Router operators Router Router Veraz igate Media POP POP Modem Router Veraz igate Media Hub Hub MSC MSC Radio tower Radio tower Radio tower Radio tower Radio tower Radio tower Fixed or Mobile Operator A Fixed or Mobile Operator B provides African interconnection to international telcos for the completion of calls originated internationally provides international network connection for African telcos for the completion of international calls provides intra- Africa network connectivity for the completion of calls between African telcos

11 Carrier Services Data is the leading provider of cellular backhaul and internet services in Africa, providing high-quality, reliable connectivity for mobile networks Cellular backhaul Mobile internet (GPRS / 3G) Public Internet & Private IP GA ATEWAY provides national connectivity to allow mobile operators to connect switches and cell sites within a particular country provides international leased-lines for voice, data and signaling traffic provides high speed internet connectivity to mobile operators to support the roll-out of GPRS and 3G services has recently launched IPJetDirect, an enhanced internet service geared to the requirements of cellular l operators

12 Leading competitive position Carrier i Services s unique business model makes it well suited for serving the African market Competitiveness Service offering Operator African focus Price Quality Voice Data Satellite VAS 1 Carrier Services Belgacom International Carrier Services France Telecom Cellular Backhaul Global Global opera ators African African Othe Oth her er Global Voice British Telecom T-Systems (subsidiary of Deutsche Telekom) Taide (subsidiary of Telenor) Telecom Italia IDT Tata VSNL Mednet M-Link Global Voice Intelsat Source: estimates Note: 1 Value added services Low High

13 Carrier services voice i Revenue per quarter $ thousands Millions 60,167 58,185 58,345 53,975 47,312 19,429 19,348 37,307 18, ,439 18,814 17, ,556 15, ,291 35,161 38,756 40,819 39,413 20,883 21, Number of voice minutes Outbound Inbound Gross margin 1 $ thousands $ Outbound Inbound Average voice revenue per minute 7,500 8,886 9,098 9,672 10,710 9,931 9, ,951 5,895 5,736 6,437 6,779 6,166 5,397 2,549 2,991 3,362 3,235 3,931 3,765 3,952 Source: Note: 1 Excludes inter-company Outbound Inbound Inbound Outbound

14 Carrier services data and other Revenue per quarter Average leased line and data bandwidth $ thousands Mbps 674 1, ,647 1, ,229 10,506 11,778 12,128 11,131 10,719 11,553 Data Other Gross margin 1 $ thousands $ Average leased line and data revenue per average MBPS provided 5,640 5,164 6,748 6,202 5,488 6,336 6,274 14,889 14,776 15,010 14,380 14,763 14,274 15,383 Source: Note: 1 Excludes inter-company

15 Communications Business i Services overview s business service segment provides the most extensive range of corporate telecommunications solutions in the region, with unparalleled local presence in 13 African countries is a leading provider of high quality, end-to-end connectivity solutions to MNCs and large businesses operating across Africa Key client verticals include financial i services, oil & gas, mining, i manufacturing and fast-moving consumer goods Strong VSAT, VPN, microwave and internet access services and capabilities Experienced strategic and OPCO management team and technical support staff VSAT services Managed data services Internet services provides private satellite networks to major multinational corporations for their IT applications, data and voice communications provides managed data network services using MPLS, Frame Relay and ATM for business critical communications and access to s e-commerce Local International Connectivity Connectivity Disaster services Recovery Banking Services delivers high capacity corporate Internet access via both satellite and terrestrial transmission links GATEWA AY ASP Private Customer Network Comms RAS Access Analog/ISDN Modem Remote User Fax Services Network Management Public Internet & Private IP Computer Computer EDI Services Hosting Services WWW Computer Computer

16 Track record of product innovation in business services Broadband Wireless MPLS expansion Ku-Band BWA-Access Benin is rolling out broadband is expanding its is implementing a Ku Band wireless networks in the 10.5GHz frequency band to provide last mile access in urban areas as a cost effective and reliable alternative to international MPLS network to all of its African points of presence, to provide high capacity access to multinationals operating across VSAT service targeted at distributed networks of bank branches, retail chains, garage forecourts etc fibre and microwave services, and as a replacement for its 5.8GHz wireless links Africa who require high quality yet cost effective shared data network services 15

17 Leading competitive position Business i Services s unique business model makes it well suited for serving the African market Inter rnational servic ce providers Regional pla ayers Operator Competitiveness Pan-African focus Price Quality VSAT Service offering Managed data Internet Projects BWA Business Services Cable & Wireless Orange Business Services British Telecom GE Satlynx Schlumberger DCC Telnet IPNX K-Net Netcom SA players Internet Solutions MTN Network Solutions Telkom Business Source: estimates Note: 1 Value added services Low High

18 Business Services Revenue per quarter Average number of business VSAT sites $ thousands 9,034 9,396 9,748 10,078 11,852 12,602 14, ,025 1,092 1,128 1,423 1,538 Gross profit 1 Business VSAT revenue per average number of sites $ thousands $ 6,890 5,870 5,763 5,542 5,582 5,072 5,250 4,971 4,985 5,121 4,496 4,860 4,460 4,677 Source: Note: 1 Excludes other and inter-company

19 Af foundation for total t communications in Africa s track record of success positions Vodacom to lead the pan-african total communications market Leadership in broadband and connectivity services Grow core mobile businesses Expansion in sub-saharan Africa Develop converged ICT solutions 18

20 Q&A