Global Telecom Holding 4Q14 | 0
4Q14 and FY14
Global Telecom Holding 4Q14 | 1
4Q14 Highlights1 • Successful closing of the transaction in Algeria strengthens Djezzy’s position and prospects for growth
• Double-digit revenue growth in Bangladesh and improving trend in Pakistan more than offset by the competitive
pressure in Algeria resulting in a revenue decrease of 8% YoY to USD 759 million
• EBITDA reached USD 292 million, an organic2 decline of 19% and group EBITDA margin stood at 38.5%
• Customer base grew 4%3 YoY to reach 90 million
• Net Debt4 stood at USD 2.4 billion.
Cairo/London (February 25, 2015), Global Telecom Holding S.A.E. (‘GTH’, or ‘the Group’) (EGX: GLTD.CA, GTHE EY.
LSE: GTLD LI, GLTD: TQ), a leading provider of mobile telecommunications in Africa and Asia, announces its
unaudited consolidated financial and operating results for the fourth quarter and financial year ending December
31, 2014.
Vincenzo Nesci, Chief Executive Officer, comments:
Table 1: Group Key Indicators
Thousands 4Q14 4Q13 Change
Organic
Growth2
FY14 FY13 Change
Total customers
89,784 86,620 4% 89,784 86,620 4%
Revenue (USD) 759,358 825,573 (8%) (5%) 3,283,355 3,439,396 (5%)
EBITDA (USD)
292,162 (841,816) 135% (19%) 1,433,508 422,714 239%
EBITDA margin 38.5% (98.7%) 139% 43.7% 12.3% 255%
Net income (USD) (158,861) (2,702,597) 94% (443,440) (2,878,143) 85%
EPS (USD per
GDR)
(0.15) (0.71) n.m. (0.44) (0.88) n.m.
Capex (USD) 257,719 244,803 5% 1,252,900 418,878 199%
In the fourth quarter of 2014, our customers increased 4% YoY to reach 90 million customers, driven
by strong growth in Bangladesh and steady growth in Algeria and Pakistan. Our revenue stood at
USD 759 million for the quarter, representing an organic decline of 5% compared to the same period
last year, with an EBITDA of USD 292 million and EBITDA margin of 38.5%. Net loss for the quarter
was USD 159 million mainly due to financial expenses of USD 155 million, management fees of USD
20 million and impairment of sold assets in Burundi and Central African Republic of USD 20 million.
Our CAPEX in FY14 increased three times compared to previous year to USD 1.3 billion, due to 3G
network roll out in Algeria, Bangladesh and Pakistan as well as the investments in the network
modernization in Pakistan. The Company continues to invest in high-speed data networks in all three
markets to capture mobile data growth.
In Algeria, In January 2015, GTH announced the successful closing of the transaction in Algeria, the sale of a 51% interest to
the Fonds National d’Investissement (the “FNI”). The partnership with the FNI will strengthen Djezzy’s c position and
prospects with greater opportunities to build its operations in Algeria. The closing enables the Company to start a full
transformation program in Djezzy.
1. Income Statement and Balance Sheet figures are in US dollars and are prepared in accordance with the International Financial Reporting Standards (IFRS).
2. Organic growth for revenue and EBITDA: non-IFRS financial measures that reflect changes in revenue and EBITDA excluding foreign currency movements and other
factors, which includes business under liquidation, disposals, mergers and acquisitions (Please refer to glossary of terms for the definition of “organic growth”).
3. Customer base is adjusted for the sale of CAR and Burundi
4. Net Debt is calculated as a sum of short term debt, long term debt, less cash and cash equivalents.
Global Telecom Holding 4Q14 | 2
CONTENTS
• Financial Results and Main Events 3
• GTH’s OPCOs Operations 8
• Financial Statements 12
• Appendix 15
Global Telecom Holding 4Q14 | 3
1. FINANCIAL RESULTS AND MAIN EVENTS
1-1 Financial results
Thousands 4Q14 4Q13 Change Organic
Growth2
FY14 FY13 Change
Revenue (USD)
759,358 825,573 (8%) (5%) 3,283,355 3,439,396 (5%)
EBITDA (USD) 292,162 (841,816) 135% (19%) 1,433,508 422,714 239%
EBITDA margin
38.5% (98.7%) 139% 44% 12.3% 255%
Net income (USD) (158,861) (2,702,597) 94% (443,440) (2,878,143) 85%
CAPEX1 257,719 311,331 1,252,900 617,488 103%
CAPEX1/Revenue 33% 37% 38% 18% 20%
Gross debt 5,734,096 5,173,732 11% 5,734,096 5,173,732 11%
Net debt 2,881,326 2,335,284 23% 2,881,326 2,335,284 23%
Net debt/LTM EBITDA2 1.9 1.4 1.9 1.4
EBITDA decreased organically 19% YoY as EBITDA was negatively impacted by higher network costs and higher
frequency fees in Algeria. On a reported basis, EBITDA increased 135% to USD 292, resulting in an EBITDA margin of
38.5% as the 4Q13 EBITDA was impacted by one-off adjustment related to the transaction in Algeria.
Net loss attributable to Equity Holders of the Parent amounted to USD 159 million, mainly due to finance cost of USD
155 million, management fees of USD 20 million and impairment of sold assets in Burundi and Central African
Republic of USD 20 million.
CAPEX in FY14 increased three times compared to the previous year to reach USD 1.3 billion, due to the 3G network
roll out in Algeria, Bangladesh and Pakistan as well as the investments in the network modernization in Pakistan. The
Company continues to invest in high-speed data networks in all three markets to capture mobile data growth.
Net debt increased 23% as at fourth quarter of 2014 to reach USD 2.9 billion in comparison to USD 2.3 billion as at
December 31, 2013.
On January 30, 2015, the Company announced the closing of the sale by GTH of a 51% interest in Omnium Telecom
Algeria SpA (“OTA”) to the Algerian National Investment Fund, Fonds National d’Investissement (the “FNI”), for USD
2.6 billion. GTH will continue to exercise operational control over OTA and, as a result, both GTH will continue to fully
consolidate OTA. At closing, GTH terminated its international arbitration against the Algerian State initiated on April
12, 2012 and the parties settled the arbitration and all related claims. Total net proceeds, including OTA dividends in
respect of the financial years 2008-2013 paid to GTH, amounting to approximately USD 3.8 billion net of all taxes and
after settlement of all outstanding disputes between the parties, as well as the payment of associated fines, have
been used by GTH to pay down existing shareholder loans provided by VimpelCom to GTH.
1. CAPEX excludes license fees.
2. Net Debt/LTM EBITDA is calculated for the annualized figures, where LTM EBITDA adjusted on settlements as a result of closing of transaction in Algeria.
Global Telecom Holding 4Q14 | 4
2. GTH Operations
The Group operates in three countries with favourable dynamics in Africa and Asia. It is worth highlighting that
GTH serves a population of 415 million people.
PAKISTAN
Population: 196.2 million
GDP Growth: 3.6%
GDP/Capita PPP: USD 3,100
Pop. Under 15 years: 33%
BANGLADESH
Population: 166.3 million
GDP Growth: 5.8%
GDP/Capita PPP: USD 2,100
Pop. Under 15 years: 32%
ALGERIA
Population: 38.8 million
GDP Growth: 3.1%
GDP/Capita PPP: USD 7,500
Pop. Under 15 years: 28%
ZIMBABWE
Population: 13.8 million
GDP Growth: 3.2%
GDP/Capita PPP: USD 600
Pop. Under 15 years: 38%
Figures from CIA factbook.
Global Telecom Holding 4Q14 | 5
2-1 Djezzy, Algeria
Table 10: Djezzy key indicators
Financial data 4Q14 4Q13 Change
Operational data 4Q14 4Q13 Change
Revenue (USD 000) 395,566 447,932 (12%)
Customers (000) 18,383 17,574 5%
Revenue (DZD bn) 33.7 35.9 (6%)
ARPU (USD)1 7.2 8.7 (18%)
EBITDA (USD 000)¹ 197,503 261,384 (24%)
ARPU (DZD)1 610 689 (12%)
EBITDA (DZD bn)¹ 16.8 21.6 (22%)
MOU2 182 211 (13%)
EBITDA Margin 49.8% 60.1%
Churn2 5.7% 6.1% (0.4%)
Capex (USD 000) 108,899 51,004 114%
Omnium Telecom Algérie SpA (“OTA” or “the company”) operates a mobile network in Algeria and provides a range
of prepaid and post-paid products encompassing voice, data and multimedia, using the corporate brand Omnium
Telecom Algeria SpA (formerly known as Orascom Telecom Algérie SpA) and the dual commercial brand of “Djezzy”
and “Allo”. OTA is focusing on maintaining value through key strategic pillars. These strategic pillars are oriented
towards value segmentation, distribution control, operational excellence, new revenue streams and assets
monetization, control of regulatory risks, and finally retaining key staff members as well as introducing new talent
development programs.
In 4Q14, Djezzy’s revenue decreased 6% YoY, mainly due to the Company’s delayed commercial launch of 3G.
Following the launch in July 2014, Djezzy grew its mobile customer base by 5% YoY to 18.4 million at the end of
2014, the second consecutive quarter of growth. In total, Djezzy had 1.2 million 3G customers at the end of 2014.
The market remained challenging in 4Q14 with continued aggressive price competition, resulting in a service
revenue decline of 7% YoY. Djezzy launched a new prepaid offer “Go”, which achieved encouraging uptake. Djezzy
also launched an unlimited postpaid offer “Infinity” at the end of December, which was supported by OTT
partnerships with WhatsApp, Opera Mini and the 3G “Be-Djezzy” applications. Mobile data revenue increased by
36% QoQ.
Mobile ARPU decreased 12% YoY due to the churn of high-value customers as a result of the delayed 3G services
but partly compensated by continued customers increase.
EBITDA, excluding 4Q13 and 4Q14 adjustments of the Algeria transaction, decreased 22% YoY, adversely impacted
by higher network costs, due to the 3G roll-out, higher frequency costs due to 3G frequencies and to higher 2G
utilisation rate, and HR costs.
CAPEX increased to USD 415 million in FY14 and CAPEX to revenue has also grown from 5% to 23% following the
investment in high speed 3G network. Currently, Djezzy’s 3G services are available in 21 provinces, including the
largest four provinces in terms of population.
Philip Tohme, CEO of OTA, will be departing Djezzy at the end of February. Vincenzo Nesci, Executive Chairman of
OTA, will assume his responsibilities.
1. EBITDA excluding one-off charges related to the closing of transaction in Algeria
2. Figures for three months period
Global Telecom Holding 4Q14 | 6
2-2 Mobilink, Pakistan
Table 11: Mobilink key indicators
Financial data 4Q14 4Q13 Change
Operational data 4Q14 4Q13 Change
Revenue (USD 000) 250,739 233,667 4%
Customers (000) 38,460 37,638 2%
Revenue (PKR bn) 25.5 25.7 (1%)
ARPU (USD)1 2.0 2.2 (9%)
EBITDA (USD 000) 98,952 92,261 11%
ARPU (PKR)1 204 219 (7%)
EBITDA (PKR bn) 10.1 9.6 6%
MOU1 273 222 23%
EBITDA Margin 41.5% 37.4%
Churn1 7.0% 7.3% (0.3%)
Capex (USD 000) 89,226 90,405 (1%)
Pakistan Mobile Company Limited (“PMCL”) operates under the brand “Mobilink” and has established itself as a
market leader amongst Pakistan’s Mobile network operators, providing prepaid and postpaid voice and data
services to individuals and corporate clients across Pakistan. Mobilink is focused on retaining and strengthening
its market share to achieve revenue growth, whilst continuing to reduce operational costs.
The government put in place security measures after the terrorist attack on a school in Peshawar, particularly
biometric verifications for all mobile subscriptions, which requires verification of all existing customers.
Consequently, customer growth is expected to slow down in 2015.
In 4Q14, Mobilink completed its 2G network modernization, improving the capacity of its network and secured its
leading customer market share. Mobilink’s revenue decreased 1% YoY mainly due to lower VAS revenue,
resulting from management’s decision to shift to a fully transparent charging regime, and lower voice revenue,
due to price competition. Mobilink’s service revenue increased 5% QoQ and decreased 2% YoY, showing an
improved YoY trend. Mobile data revenue increased by 58% YoY due to attractive data bundles, promotions with
free trial periods, iPhone6 launch and 3G network expansion. MFS revenue increased four times due to successful
retail promotions along with increased active agent base and footprint. MFS now represents 2% of total service
revenue.
In addition, Mobilink made a strategic decision to exit from the International Clearing House (ICH), which resulted
in higher international incoming revenue in 4Q14. Consequently, the increase in data, MFS and international
incoming revenue offset the decline in voice and VAS revenue.
ARPU decreased 7% YoY due to price dilution in an aggressive market as competitors actively matched offers. The
customer base increased 2% YoY. Mobilink maintains a policy of price simplicity and transparency, consequently
closing the gap in NPS for four quarters in a row.
EBITDA increased to PKR 10 billion mainly due to a one-off adjustment related to intercompany charges between
Pakistan and GTH, which does not impact GTH’s consolidated financial statements.
CAPEX excluding licenses in 2014 almost doubled to USD 351 million, mainly due to the 2G network
modernization and 3G roll out.
Global Telecom Holding 4Q14 | 7
2-3 banglalink, Bangladesh
Table 12: banglalink key indicators
Financial data 4Q14 4Q13 Change
Operational data 4Q14 4Q13 Change
Revenue (USD 000) 146,106 128,418 14%
Customers (000) 30,789 28,838 7%
Revenue (BDT bn) 11.3 10.0 13%
ARPU (USD)1 1.6 1.4 10%
EBITDA (USD 000) 59,597 43,251 38%
ARPU (BDT)1 122 110 10%
EBITDA (BDT bn) 4.6 3.4 38%
MOU1 186 183 2%
EBITDA Margin 40.8% 33.7% 8%
Churn1 5.1% 6.9% (2%)
Capex (USD 000) 58,963 93,533 (37%)
Banglalink Digital Communications Limited (“BDCL”) provides its services under two brand names: “banglalink”
and “Icon”. BDCL’s marketing strategy is oriented towards targeting different consumer segments with tailored
products and services to cater for the needs of these segments.
Banglalink continued to improve its market position in 2014, demonstrating strong performance with double-digit
YoY growth. In 4Q14, Banglalink’s revenue increased 13% YoY due to an increase in ARPU of 10% YoY and 7% YoY
growth in customer base to 30.8 million. Banglalink maintained its leading NPS in the market. The superior
customer experience is a result of attractive 3G offers and affordable smartphone promotions. Since the 3G
launch a year ago, data revenue has increased 85% YoY in 4Q14. This is the result of the widest 3G network in the
market and attractive data bundles, which enabled data traffic monetization.
ARPU surged 10% on the back of the strong growth in data revenue and customers since 3G launch in 4Q13.
EBITDA increased 38% YoY driven by revenue growth and savings on customer acquisition costs due to the
optimization of the distribution.
CAPEX increased YoY in 2014 to USD 178 million, as 2G coverage and modernization projects along with the 3G
network rollout were completed in 2014.
1. Figures for three month period.
1. Figures for three month period.
Global Telecom Holding 4Q14 | 8
1. Management presentation developed from IFRS financials.
2. Incremental impairment of assets held for sale relating to CAR and Burundi’s expected sale.
3. Equates to net income after minority interest.
4. 4Q13 & FY13 figures are restated.
3. Financial Statements (IFRS)
Income Statement¹
USD thousands 4Q14 4Q134 Change FY14 FY134 Change
Revenue 759,358 825,573 -8% 3,283,355 3,439,396 -5%
Other Income 31,837 20,656
55,387 23,330
Total Expense (499,033) (1,688,045)
(1,905,234) (3,040,012)
EBITDA¹ 292,162 (841,816) 135% 1,433,508 422,714 239%
Depreciation of property and equipment (129,853) (236,764)
(539,360) (665,899)
Amortization of intangible assets (37,006) (33,344)
(131,464) (107,087)
Gains/(losses) on sold property, equipment,
intangibles, goodwill and scrapping (4,842) (6,696)
(6,574) (8,152)
Impairment loss² (20,452) (7,842)
(90,300) (64,096)
Operating Income 100,009 (1,126,462) 109% 665,810 (422,520) 258%
Financial Expense (155,180) (128,747)
(618,392) (503,270)
Financial Income (5,596) 11,344
11,554 42,872
Foreign Exchange Gain (Loss) (2,675) (23,022)
(125,181) (269,406)
Share of Loss from Associates - (38,699)
- (139,155)
Other non-operating gains / losses (13,140) -
(13,140) -
Impairment of financial assets - (625,429)
- (625,429)
Management fees income / expense within
VimpelCom (19,882) (11,397)
(20,775) (16,875)
Profit Before Tax (96,464) (1,942,412) 95% (100,124) (1,933,783) 95%
Income Tax (62,397) (760,185)
(343,316) (944,360)
Profit for the Period (158,861) (2,702,597) 94% (443,440) (2,878,143) 85%
Attributable to:
Equity Holders of the Parent³ (161,881) (2,651,868)
(459,617) (2,842,143)
Earnings Per Share (USD/GDR)
Global Telecom Holding 4Q14 | 9
1. The equity caption in 2013 balance sheet has been adjusted to reflect the impact of post balance sheet events, a one-off charge of USD 2 billion, as per the Share
Purchase Agreement signed by VimpelCom and GTH with FNI, which oblige GTH upon completion to discontinue legal dispute with respect to the tax receivable and
account for the fines imposed by the Algerian Treasury.
2. Net Debt is calculated as a sum of short term debt, long term debt, less cash and cash equivalents.
Balance Sheet¹
USD thousands 31-Dec 31-Dec
2014 2013
Assets
Property and Equipment (net) 2,302,542 2,043,998
Intangible Assets and goodwill 1,647,338 1,425,596
Other Non-Current Assets 107,548 88,194
Non-Current Assets (NCA) 4,057,429 3,557,788
Cash and cash equivalents 2,852,770 2,838,448
Trade and other receivables 176,840 249,337
Assets held for sale 0 170,380
Other Current Assets 470,881 622,997
Current Assets (CA) 3,500,491 3,881,162
Total Assets 7,557,920 7,438,950
Equity attributable to equity owners of the parent
(1,725,907) (1,141,305)
Equity of non-controlling interests
55,275 39,282
Equity
(1,670,632) (1,102,023)
Liabilities
Long Term Debt 5,444,710 140,562
Other Non-Current Liabilities 565,319 403,271
Non-Current Liabilities (NCL) 6,010,029 543,833
Short Term Debt 289,386 5,033,170
Trade and other payables 944,136 854,992
Other Current Liabilities 1,985,001 2,108,978
Current Liabilities (CL) 3,218,523 7,997,140
Total Liabilities 9,228,552 8,540,973
Total Liabilities and Equity 7,557,920 7,438,950
Net Debt2 2,881,326 2,335,284
Global Telecom Holding 4Q14 | 10
Cash Flow Statement
USD thousands 31-Dec 31-Dec
2014 2013
Cash Flows from Operating Activities
Profit (Loss) for the Period (443,440) (2,878,143)
Adjustment to reconcile net profit to cash flows from operating
activities (545,090) 4,472,370
Changes in working capital 68,785 (111,995)
Interest paid (90,669) (113,495)
Interest received 10,609 12,062
Income tax paid (242,201) (252,560)
Net Cash from Operating Activities 1,242,006 1,128,239
Cash Flows from Investing Activities
Proceeds from disposal of property, plant and equipment, intangible
assets and financial assets 199,811 24,486
Purchase of property, plant and equipment and intangible assets (1,215,901) (544,658)
Disposal of subsidiaries, net of cash disposed 68,000 50,000
Net cash from investing activities (948,090) (470,172)
Cash Flows from Financing Activities
Proceeds from borrowings, net of fees paid 1,953,598 1,282,929
Repayment of borrowings (1,925,713) (1,152,367)
Change in other financial liabilities - 28,432
Net cash from financing activities 27,885 158,994
Net Increase in Cash and Cash Equivalents 321,801 817,061
Cash and Cash Equivalents at the beginning of the period 2,838,448 2,025,773
Net Foreign Exchange Difference on Cash Accounts (307,479) 21,628
Cash and cash equivalent reclassified as Held for Sale - (26,014)
Cash and cash equivalent at end of period 2,852,770 2,838,448
Global Telecom Holding 4Q14 | 11
4. Appendix
Foreign Exchange rates applied to the Financial Statements
Change3
Change3
Currency December
2013
September
2014
December
2014
Dec 2014
vs Dec 2014 vs
Dec 2013 Sept 2014
Egyptian Pound/USD
Income Statement1
6.903 7.150 7.150 4% 0%
Balance Sheet2
6.948 7.144 7.153 3% 0%
Algerian Dinar/USD
Income Statement1
78.699 81.253 87.009 10.56% 7%
Balance Sheet2
78.380 83.217 87.920 12% 6%
Pakistan Rupee/USD
Income Statement1
106.925 102.529 100.899 (6%) (2%)
Balance Sheet2
105.326 102.652 100.523 (5%) (2%)
Bangladeshi Taka/USD
Income Statement1
77.671 77.384 77.695 0.03% 0.40%
Balance Sheet2
77.665 77.375 77.925 0.33% 0.71%
1. Represents the average monthly exchange rate from the start of the year until the end of the period.
2. Represents the spot exchange rate at the end of the period.
3. Appreciation /Depreciation of US dollars in comparison to local currency.
Global Telecom Holding 4Q14 | 12
Ownership structure and consolidation methods
Subsidiary Ownership
Dec 31
Consolidation Method
Dec 31
2013 2014 2013 2014
Mobile Operations
International Wireless
Communications Pakistan Limited 100.00% 100.00% Full Consolidation Full Consolidation
Orascom Telecom Algerie SPA1
96.81% 96.81% Full Consolidation Full Consolidation
Telecom Ventures Limited2 100.00% 100.00% Full Consolidation Full Consolidation
Non-Mobile Operations
Ring Distribution SAE
99.00% 99.00% Full Consolidation Full Consolidation
Telecom CS Limited 100.00% 100.00% Full Consolidation Full Consolidation
Telecom ESOP Limited 100.00% 100.00% Full Consolidation Full Consolidation
Moga Holding Limited 100.00% 100.00% Full Consolidation Full Consolidation
Oratel International Inc. Limited 100.00% 100.00% Full Consolidation Full Consolidation
Consortium Algerien de
Telecommunications SPA3
50.00% 50.00% Proportionate
Consolidation Equity Consolidation
Global Telecom Holding 100.00% 100.00% Full Consolidation Full Consolidation
Financial Powers Plan Limited
100.00% 100.00% Full Consolidation Full Consolidation
Iraq Holding Limited4 100.00% 100.00% Full Consolidation Full Consolidation
Global Telecom Finance SCA 100.00% 100.00% Full Consolidation Full Consolidation
Telecom Holding Canada (Malta)
Limited5 100.00% 100.00% Full Consolidation Full Consolidation
International Telecommunications
Consortium Limited 50.00% 50.00%
Proportionate
Consolidation Equity Consolidation
Sawyer Limited
100.00% 100.00% Full Consolidation Full Consolidation
Global Telecom Oscar SA 100.00% 100.00% Full Consolidation Full Consolidation
Telecom Management Group Limited 100.00% 100.00% Full Consolidation Full Consolidation
Global Telecom One S.à.r.l 100.00% 100.00% Full Consolidation Full Consolidation
Waseela Microfinance Bank Limited 100.00% 100.00% Full Consolidation Full Consolidation
Cortex for Services & Consultations
SAE 100.00% 100.00% Full Consolidation Full Consolidation
1. Currently known as “Omnium Telecom Algeria”, Direct and Indirect stake through Moga Holding Limited and Oratel. Pro-forma Algeria closing.
2. Telecom Ventures Limited owns 100% of Sheba Telecom which operates under the trade name banglalink.
3. Direct and indirect stake through International Telecommunications Consortium Limited.
4. Iraq Holding Limited owns 100% of Orascom Telecom Iraq, which sold Iraqna in December 2007.
5. The holding company for GTH’s Share in Globalive, which has been accounted for under the equity method.
Global Telecom Holding 4Q14 | 13
Glossary of Terms
Average Revenue per User (“ARPU”): Average monthly recurrent revenue per customer (excluding visitors
roaming revenue and connection fee). This includes airtime revenue (national and international), as well as,
monthly subscription fee, SMS, GPRS & data revenue. Quarterly ARPU is calculated as an average of the last three
months.
Capital Expenditure (“CAPEX”): Tangible and Intangible fixed assets additions during the reporting period,
includes work in progress, network, IT, and other tangible and intangible fixed assets additions but excludes
license fees.
Churn: Disconnection rate. This is calculated as the number of disconnections during a month divided by the
average customer base for that month.
Churn Rule: A customer is considered churned (removed from the customer base) if he exceeds the 90 days from
the end of the validity period without recharging. It is worth noting that the validity period is a function of the
scratch denomination. In cases where scratch cards have open validity, the customer is considered churned in
case he has not made a single billable event in the last 90 days (i.e. outgoing or incoming call or sms, wap
session). Open cards validity is applied for OTA, Mobilink and banglalink so far.
Minutes of Usage (“MOU”): Average airtime minutes per customer per month. This includes billable national and
international outgoing traffic originated by customers (on-net, to land line & to other operators). Also, this
includes incoming traffic to customers from landline or other operators.
Organic Growth for Revenue and EBITDA: Are non-IFRS financial measures that reflect changes in Revenue and
EBITDA excluding foreign currency movements and other factors, such as business under liquidation, disposals,
mergers and acquisitions. We believe readers of this earnings release should consider these measures as it is
more indicative of the Group’s ongoing performance. Management uses these measures to evaluate the Group’s
operational results and trends.
Contact Information Investor Relations Ola Tayel
Investor Relations Manager
Email: [email protected]
Tel: +202 2461 8640
Website: www.gtelecom.com
Disclaimer This presentation contains statements that could be construed as forward looking. These statements appear in a number of places in this presentation and
include statements regarding the intent, belief or current expectations of the customer base, estimates regarding future growth in the different business
lines and the global business, market share, financial results and other aspects of the activity and situation relating to the company. Such forward looking
statements are no guarantees of future performance and involve risks and uncertainties, and actual results may differ materially from those in the forward
looking statements as a result of various factors. You are cautioned not to place undue reliance on those forward looking statements, which speak only as of
the date of this presentation, which is not intended to reflect Global Telecom Holding’s business or acquisition strategy or the occurrence of unanticipated
events
Global Telecom Holding 4Q14 | 14