FY 2017 Investors Briefing Financial and Operating Results March - - PowerPoint PPT Presentation

FY 2017 Investors’ Briefing

Financial and Operating Results March 23, 2018

Business Segments

Media Networks & Studio Entertainment Cable, Satellite & Broadband Digital & Interactive Media Consumer Products & Experiences

• Pay TV (Cable &

Satellite)

• Broadband
• Online
• Mobile
• Over-the-Top
• Live events
• Themepark
• Home shopping
• ABS-CBN store
• Licensing & merchandising
• Entertainment
• News
• Global
• Film & Music
• Radio
• DTT
• Sports
• Cable channels
• Publishing

2,545 3,525 3,164

2015 2016 2017

Net Income

7,940 9,853 9,626

2015 2016 2017

EBITDA

38,278 41,631 40,698

2015 2016 2017

Revenue

Consolidated FY 2017 Financial Results

• 2%

Net income attributable to Equity Holders of the Parent is P3.3B for 2017

• 2%
• 10%

(In millions Php)

+ 9% + 24% + 39%

7% 8% 8% 21% 24% 24%

Margins

21,265 23,650 21,098 1,664 1,984 2,697 15,349 15,996 16,902

2015 2016 2017

BY REVENUE CATEGORY

Advertising TV Plus - Sales Consumer 32,216 35,623 34,481 6,062 6,007 6,217

2015 2016 2017

BY GEOGRAPHICAL LOCATION

Domestic International

Consolidated FY 2017 Revenue

40,698

38% 42% 57% 52% 86% 85% 14% 15%

41,631 38,278

40% 56%

40,698 41,631 38,278

84% 16% 4% 5% 6%

12,121 12,661 11,917 1,664 1,984 2,697 9,467 10,033 10,124 11,434 12,012 11,834

2015 2016 2017

GAEX TV Plus - COS Cost of Sales Production Cost

Consolidated FY 2017 Costs and Expenses

• 2%

+ 1%

• 6%

36,690 36,572

• %

34,686

+ 5% + 6% + 4%

+ 6%

+ 19% + 36%

2016 2017 2016 2017 2016 2017 Media Networks & Studio Entertainment 31,315 29,465 4,108 3,564 4,267 3,642

Margin 13% 12% 14% 12%

Cable, Satellite & Broadband 8,761 9,124 70 123 40 86

Margin 1% 1% 0% 1%

Digital & Interactive Media 671 1,220 (634) (441) (428) (327) Consumer Products & Experiences 883 889 (19) (82) 6 (67) Totals 41,631 40,698 3,525 3,164 3,885 3,334 Net Income NI Attributable to Parent Segment Operating Revenue

Consolidated FY 2017 Segment Report

839 1,311 2,010

2015 2016 2017

Boxes Sold

Digital Terrestrial Television

• More than 4.3 million boxes

sold as of December 2017

• Average of 167k boxes sold

per month in 2017 and more than 2M boxes sold in 2017.

17 Sites Nationwide

• Luzon
• 1. Quezon City
• 2. Makati
• 3. Mandaluyong
• 4. Jala jala
• 5. Bulacan, Guiguinto
• 6. Bulacan, San Miguel
• 7. Pampanga, San Fernando
• 8. Cabanatuan
• 9. Tarlac
• 10. Laguna, San Pablo
• 11. Cavite, Silang
• 12. Baguio, Sto. Tomas
• Visayas
• 13. Cebu
• 14. Bacolod
• 15. Iloilo
• Minadanao
• 16. Davao
• 17. Cagayan de Oro

Total Philippines Urban Philippines Mega Manila Metro Manila HOMES (in Thousands) 15,455 9,017 4,701 2,686 CABLE or DTT HOMES 24.0% 32.7% 41.9% 52.3% Cabled Homes 18.1% 23.4% 25.6% 37.2% DTT Homes 6.5% 10.3% 18.1% 17.5% NON CABLE & NON DTT HOMES 76.0% 67.3% 58.1% 47.7% Total Philippines Urban Philippines Mega Manila Metro Manila HOMES (in Thousands) 18,935 9,857 5,267 3,032 CABLE or DTT HOMES 36.7% 45.2% 63.3% 78.1% Cabled Homes 23.8% 24.1% 27.5% 38.3% DTT Homes 12.8% 21.0% 35.8% 39.8% NON CABLE & NON DTT HOMES 64.5% 57.1% 40.8% 28.1%

DTT : Changing the distribution landscape

Total Philippines - Household Mix by Platform

Source: Kantar Media - January – December 2017

• January – December 2016

Full Year 2017 Full Year 2016

Free-to-Air

Source: Kantar Media TV Ratings Measurement; January – December 2017

Total Day National Audience Share for 2017

CHANNEL 2015 2016 2017

ABS-CBN 47.03 49.58 53.20

Channel 2 43.20 44.70 45.70 ABS-CBN S + A 3.30 3.14 1.58 Cinemo 0.21 0.83 3.22 Yey 0.12 0.54 2.29 Knowledge Channel 0.02 0.03 0.08 Teleradyo 0.18 0.35 0.34 GMA 35.50 33.80 33.50 TV 5 7.40 6.50 3.30 Other FTA 3.90 4.10 2.90 Other Cable 6.50 6.50 7.50

39 41 42

37 35 32 8 7 5 2015 2016 2017

Morning Block (6AM-12NN)

ABS-CBN GMA TV 5

53 52 52

31 33 32 7 7 6 2015 2016 2017

Primetime Block (6PM-12MN)

ABS-CBN GMA TV 5

44 46 45

37 35 38 8 7 5 2015 2016 2017

Afternoon Block (3PM-6PM)

ABS-CBN GMA TV 5

42 48 48

42 35 36 7 6 3 2015 2016 2017

Noontime Block (12NN-3PM)

ABS-CBN GMA TV 5

Channel 2 National Audience Share

ABS-CBN GMA TV5 Source: Kantar Media TV Audience Measurement – Total Homes, Total Philippines (Urban + Rural) January – December 2017; Period covered excludes Holy Week

30 32 35

38 34 28 9 6 5 2015 2016 2017

Morning Block (6AM-12NN)

ABS-CBN GMA TV 5

39 38 41

39 40 36 8 7 7 2015 2016 2017

Primetime Block (6PM-12MN)

ABS-CBN GMA TV 5

29 33 35

44 39 39 9 7 5 2015 2016 2017

Afternoon Block (3PM-6PM)

ABS-CBN GMA TV 5

28 34 36

53 44 42 7 5 3 2015 2016 2017

Noontime Block (12NN-3PM)

ABS-CBN GMA TV 5

Channel 2 Mega Manila Audience Share

ABS-CBN GMA TV5 Source: Kantar Media TV Audience Measurement – Mega Manila January – December 2017; Period covered excludes Holy Week

32 34 38

30 27 21 7 5 3 2015 2016 2017

Morning Block (6AM-12NN)

ABS-CBN GMA TV 5

43 42 46

33 34 29 7 6 6 2015 2016 2017

Primetime Block (6PM-12MN)

ABS-CBN GMA TV 5

32 36 40

37 34 32 8 6 4 2015 2016 2017

Afternoon Block (3PM-6PM)

ABS-CBN GMA TV 5

31 37 40

46 38 34 6 4 2 2015 2016 2017

Noontime Block (12NN-3PM)

ABS-CBN GMA TV 5

Channel 2 Metro Manila Audience Share

ABS-CBN GMA TV5 Source: Kantar Media TV Audience Measurement – Metro Manila January – December 2017; Period covered excludes Holy Week

RANK CHANNEL PROGRAM RATINGS 1 ABS-CBN FPJ'S ANG PROBINSYANO MON-FRI 38.6 2 ABS-CBN YOUR FACE SOUNDS FAMILIAR KIDS SUNDAY SUN 36.4 3 ABS-CBN YOUR FACE SOUNDS FAMILIAR KIDS SATURDAY SAT 35.0 4 ABS-CBN THE VOICE TEENS SUNDAY SUN 34.9 5 ABS-CBN THE VOICE TEENS SATURDAY SAT 33.9 6 ABS-CBN LA LUNA SANGRE MON-FRI 33.8 7-8 ABS-CBN TV PATROL WEEKDAY MON-FRI 31.3 7-8 ABS-CBN LITTLE BIG SHOTS SUNDAY SUN 31.3 9 ABS-CBN LITTLE BIG SHOTS SATURDAY SAT 30.9 10 ABS-CBN WANSAPANATAYM SUN 29.8 11 ABS-CBN MMK 25 SAT 29.6 12 ABS-CBN MY DEAR HEART MON-FRI 27.6 13 ABS-CBN MAGPAHANGGANG WAKAS MON-FRI 25.0 14 GMA ENCANTADIA MON-FRI 24.4 15 ABS-CBN HOME SWEETIE HOME SAT 24.2 16 ABS-CBN WILDFLOWER MON-FRI 23.8 17 ABS-CBN GOIN' BULILIT SUN 22.1 18 GMA PEPITO MANALOTO ANG TUNAY NA KUWENTO SAT 20.5 19 GMA 24 ORAS WEEKDAY MON-FRI 20.2 20 ABS-CBN 24 ORAS WEEKEND SATURDAY SAT 19.5

ABS-CBN leads in national ratings with shows dominating Top 20 spots in 2017

Source: Kantar Media TV Audience Measurement – Total Homes Period: January – December 2017

86 152 209

2015 2016 2017

Program Syndication

6,062 6,007 6,217

2015 2016 2017

Revenue

International

+ 3% + 38%

• 1%

+ 76%

TFC Channels

Programs distributed in 35 Territories

• TFC Viewership at

3.0 million level as of December 2017

ASIA AFRICA SOUTH AMERICA EUROPE Malaysia Kenya Mexico Poland Indonesia Uganda Peru Turkey Brunei Zambia Colombia Romania Fiji Tanzania China Namibia Singapore Ghana Taiwan Nigeria Cambodia Mauritius Myanmar Seychelles Vietnam Cameroon Papua New Guinea Malawi Sri Lanka Sierra Leone Thailand Liberia Kyrgyzstan Botswana Kazakhstan

International

International Box Office Movies grossed over USD9.7M in 2017

Cinematografo

Showcasing the Filipino and Filipino-American talent in filmmaking alongside the best of the world

Narratives Documentaries Shorts

Star Cinema Films

Star Cinema’s theatrical receipts grossed over 2.4 billion in 2017, capturing 76% of local Market Share

Music

Tarsier Records set to targeting non-Filipino audience and making a difference

• n all things millennially and digitally sound on the internet

797 757 119 399 207 208 2016 2017

Sky Subscribers

Cable DTH Broadband

5,672 5,454 4,913 41 185 1,646 2,463 3,392 765 803 634

2015 2016 2017

Sky Revenues

Cable DTH Broadband Airtime and Misc

Cable, Satellite & Broadband

Total revenues grew by P363M or 4% Our broadband and DTH and subscriber base continue to expand year-on-year

+ 4%

SKY subscribers exclusive offerings

+ 8%

(In millions Php) (In thousands Php)

8,761 9,124 8,083

Digital

Online platforms generated 660 million in revenues, 95% higher than 2016 Forged partnerships with NBA.com, Twitter Amplify and CainCade Top YouTube Publisher in the Philippines

Top Facebook page in the Media Category in the Philippines

Source: Tubular – Social Video Analytics and Video Intelligence Platform

Generated P528M in total revenues, with

339k attendance as of December 2017.

Consumer Products and Experiences

Our events brought the ABS-CBN experience closer to our audiences, generating 1.1B total revenues in 2017

Spent Php 7.9B out of the Php 8.0B budget for 2017;

Capital Expenditures

5,522 6,873 1,448 1,038 2,159 2,216 4,108 4,651

2016 2017

Program Rights Cable, Satellite & Broadband Digital initiatives, Maintenance & Others

+ 2% 7,905 7,715

Ratios 2015 2016 2017 Current 1.88 2.02 2.18 Debt-to-Equity 0.71 0.65 0.60 Net Debt-to-Equity 0.31 0.30 0.24

20,402 20,472 20,387

2015 2016 2017

Total Borrowings

28,715 31,692 33,711

2015 2016 2017

Equity

69,944 72,734 75,125

2015 2016 2017

Total Assets

Balance Sheet Highlights

Except for historical and operating data and other information of historical matters, the statements contained herein are “forward-looking statements”. The words “believe”, “intend”, “plan”, “anticipate”, “continue”, “estimate”, “expect”, “may”, “will” or other similar words are frequently used to indicate these forward looking statements. Any such forward-looking statement is not a guarantee of future performance and involves a number of known and unknown risks, uncertainties and other factors that could cause the actual performance, financial condition or results of operation of ABS-CBN to be materially different from any future performance, financial condition or results of operation implied by such forward-looking statement.