Goldman Sachs Conference. 22 May

Transcription

1 Goldman Sachs Conference 22 May

2 Delivering growth in shareholder returns BoB Internet and phone in one. Launches Mobile services Launches Fetch TV services First ISP to offer NBN services BoB2 Launches Business Cloud Launches 4G services Joins ASX 200 fetch tv upgraded Call Packs iinet ASX200 Goldman Sachs Conference May

3 Uniquely positioned for further growth Focus on customer service and customer experience low churn and high engagement Organic growth effective marketing and increased brand awareness NBN a key growth opportunity to extend our reach Business now 20% of revenue with attractive revenue growth opportunity Successful acquisitions efficiency gains and ongoing simplification Improving margins and strong financial performance Deeply experienced and stable Executive team Goldman Sachs Conference May

4 Jan-12 Mar-12 May-12 Jul-12 Sep-12 Nov-12 Jan-13 Mar-13 May-13 Jul-13 Sep-13 Nov-13 Jan-14 Mar-14 Service market leading NPS and churn NPS vs Churn 70% NPS Churn 3.0% 60% 2.5% 50% 40% 30% 20% 2.0% 1.5% 1.0% 10% 0.5% 0% 0.0% Goldman Sachs Conference May 2014 Excludes Adam Internet & TransACT 4

5 Return to net organic growth Goldman Sachs Conference May

6 Effective sales growth via focused marketing Local NBN Marketing iinet TV with Fetch Internode Klingon Life Upgraded Free Yourself The Block Hawthorn Sponsorship Call Packs Sydney Sixers Sponsorship Hawthorn Sponsorship Sales Baseline +40% increase in broadband sales National Rebranding Calls to Action Continuous Brand Awareness Jul-12 Aug-12 Sep-12 Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 Jul-13 Aug-13 Sep-13 Oct-13 Nov-13 Dec-13 Jan-14 Feb-14 Mar-14 Goldman Sachs Conference May

7 Awesome execution, clarity of messages - deliver sales Goldman Sachs Conference May

8 Increasing market share through the NBN Our performance to date Over 36,000 customers 25% market share in greenfield areas 20% market share in brownfield areas 75% fibre, 19% satellite and 6% wireless 70% of customers buying higher speeds than 12 mbps entry level product What does the opportunity look like for iinet >50% of customers who sign up with iinet for NBN services are new customers New market opens up for iinet: Incumbent has >70% market share in the regional market of ~1.5m premises The HFC network coverage of ~2.7m premises will be open to more effective competition NBN rollout creates a level playing field for iinet to compete on all customers have the same speed decisions now based on product, price & customer service Goldman Sachs Conference May

9 Continued growth in Business revenues Business revenue up to 20% of Group revenue FY14 run rate of >$200m Organic growth of 5% per annum Other (Wholesale, Hosting & Domains) Small & Medium Enterprise, Corporate & Government (Spend > $500 per month) Small office/ Home office (Spend < $500 per month) Goldman Sachs Conference May

10 Capturing market potential in Business market Goldman Sachs Conference May

11 Delivering ongoing simplification and efficiency Integration status Brand Network Billing & Services Corporate Support Acquisition integration continues to deliver simplified product and system portfolio Current focus on billing, product and services integration across TransACT and Adam with Internode to follow Delivering improved operating capability and efficiency Goldman Sachs Conference May

12 Continuing to improve margins Goldman Sachs Conference May * Per underlying results in Appendix 4D

13 Strong performance across key financial metrics Goldman Sachs Conference May 2014 * Per underlying results in Appendix 4D 13

14 Continued growth in dividends Dividends (cents per share) Final Interim FY10 FY11 FY12 FY13 FY14 Goldman Sachs Conference May

15 In summary Customer service excellence delivering market leading churn and high customer engagement Driving organic growth through effective marketing and increased brand awareness The NBN and Business provide significant opportunities to expand market share further Expanding our products per customer to improve churn and drive new revenues Improving margins and delivering strong performance across key financial metrics Goldman Sachs Conference May

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17 DISCLAIMER Some of the information contained in this presentation contains forwardlooking statements which may not directly or exclusively relate to historical facts. These forward-looking statements reflect iinet Limited current intentions, plans, expectations, assumptions and beliefs about future events and are subject to risks, uncertainties and other factors, many of which are outside the control of iinet Limited. Important factors that could cause actual results to differ materially from the expectations expressed or implied in the forward-looking statements include known and unknown risks. Because actual results could differ materially from iinet Limited current intentions, plans, expectations, assumptions and beliefs about the future, you are urged to view all forward-looking statements contained herein with caution. iinet.net.au