StarHub Shareholders 30 April 2019 Forward-looking Statements The - PowerPoint PPT Presentation

Annual Presentation to StarHub Shareholders 30 April 2019

Forward-looking Statements The following presentation may contain forward-looking statements by StarHub Ltd (“StarHub”) relating to financial trends for future periods. Some of the statements in this presentation which are not historical facts are statements of future expectations with respect to the financial conditions, results of operations and businesses, and related plans and objectives. These forward-looking statements are based on StarHub’s current views, intentions, plans, expectations, assumptions and beliefs about future events and are subject to risks, uncertainties and other factors, many of which are outside StarHub’s control. 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 and uncertainties. Because actual results could differ materially from StarHub’s current views, intentions, plans, expectations, assumptions and beliefs about the future, such forward-looking statements are not and should not be construed as a representation, forecast or projection of future performance of StarHub. It should be noted that the actual performance of StarHub may vary significantly from such statements. D.A.R.E 2

Agenda About Us 2018 Year in Review Business Highlights & Awards Our Strategy FY2019 Outlook D.A.R.E 3

About Us ➢ Listed on the mainboard of SGX-ST in October 2004 ➢ Dividend-paying since 2005 ➢ Fully Integrated Quad Play Service Provider: ✓ Consumers: Mobile, Pay TV & Residential Broadband ✓ Enterprise: Managed Services, Data & Internet and Voice ✓ Cybersecurity, A.I and Analytics ➢ Over ✓ 2,200 employees ✓ 25 Retail stores ✓ 2,800 Base Stations ✓ 9000 km Fibre connecting thousands of buildings 4

2018 Year in Review D.A.R.E 5

Evolving Telco Landscape Evolving Mobility & Social Content Spectrum competitive & New Mobile Media consum Auctions regulatory Entrants ption dynamics via multiple Technological devices Data and Internet Growth of developments & Video Of Things Digital - threats & platfor substituting Economy opportunities ms Voice Mobility and Social Usage & Content consumption Media social over multiple platforms behaviors D.A.R.E 6

2018 Customer Base & Revenue Service Revenue 2.2M Mobile Customers $825M Mobile Revenue Enterprise Mobile 409K Pay TV Customers $311M Pay TV Revenue Broadband 482K Broadband Customers Pay TV $186M Broadband Revenue $511M Enterprise Fixed Revenue Mobile Pay TV Broadband Enterprise D.A.R.E 7

Key Financial Indicators ($M) EBITDA Total Revenue -12% Dividend Paid -2% 643 567 -6% 2,411 2,362 294 277 FY2017 FY2018 NPAT -27% FY2017 FY2018 274 FY2017 FY2018 201 D.A.R.E FY2017 FY2018 8

Business Highlights D.A.R.E 9

Highly Reliable, Advanced, Fast & Secure Network ✓ 1Gbps Rollout to Major Hotspots ✓ 1st in Singapore to complete 5G New Radio outdoor pilot on 3.5 GHz Spectrum D.A.R.E 10

Transforming TV ✓ Migration from Cable TV to Fibre TV ✓ StarHub Go Streaming Box : Brand New All-in- one Entertainment Destination D.A.R.E 11

Diversification & New Growth Formed one of the largest cyber security companies in Asia D.A.R.E 12

A New Brand Promise D.A.R.E 13

Innovation through Partnerships ✓ 2 New MVNOs: My Republic and VivoBee ✓ Facial Recognition Door Access solution at National University of Singapore (NUS) with partner, YITU Technology ✓ Personalised Service Delivery and Laundry Robots for Hotels D.A.R.E 14

StarHub & the Community Environmental Focus Energy Efficiency, alternative clean energy options $826,698 4 Invested/committed Awards / in 2018 accolades E-waste RENEW, producer and consumer responsibility 16 7,311 charity/VWO People benefitted Education partners Environmental stewardship, public from programmes outreach, employee engagement supported by StarHub D.A.R.E 15

Awards and Accolades HWM+HardwareZone.com Tech Awards 2018 ✓ Best Pay TV Service / 8 th consecutive win ASEAN Capital Markets Forum's ASEAN Corporate Governance Scorecard ✓ ASEAN's top 50 public-listed companies for demonstrating excellence in CG OpenSignal's Mobile Networks - Singapore (November 2018) ✓ Four awards / 1 st local telco to cross the 40Mbps mark Singapore Apex Corporate Sustainability Awards 2018 ✓ Sustainable Business winner IR Magazine Awards – South East Asia 2018 ✓ Best overall IR / Best in sector D.A.R.E 16

Our Strategy

Vision D.A.R.E. STRATEGY D eliver market- A ccelerate R ealise growth E nhance efforts leading value creation from new to transform customer from core opportunities digitally experiences businesses H ighly reliable, advanced and secure networks and platforms U nderstanding and leveraging customer insights B est-in-class performance

Value Creation Improve Realise S$210 operational Resources directed million in savings efficiencies to fund growth over 3 years and opportunities productivity D.A.R.E 19

2019 Priorities 1 2 3 CUSTOMER DIG IGITALLY PEOPLE DRIVEN AGILE FOCUSED • Innovate, Simplify • Talent Management • “Digital to the core” • Proactive, Aggressive • Benefits & Recognition • “One” Platform • Better & Different • Agile Culture • Sharing with Partners D.A.R.E 20

FY2019 Outlook ❖ Service Revenue: Stable to a decline of 2% YoY ❖ Service EBITDA: 30% - 32% (after SFRS(I) 16 adoption) ❖ CAPEX: 11% - 12% of total revenue (excludes spectrum payment) ❖ Dividend: Intend to pay a cash dividend of 9 cents Payout at least 80% of NPAT attributable to shareholders D.A.R.E 21

Thank You