1 / 28

Safe Harbour

Safe Harbour.

viveka
Download Presentation

Safe Harbour

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Safe Harbour This presentation contains statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. 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 activities and situation relating to the Company . Such forward looking statements are not 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. Analysts are cautioned not to place undue reliance on those forward looking statements, which speak only as of the date of this presentation. Telefónica undertakes no obligation to release publicly the results of any revisions to these forward looking statements which may be made to reflect events and circumstances after the date of this presentation, including, without limitation, changes in Telefónica´s business or acquisition strategy or to reflect the occurrence of unanticipated events. Analysts and investors are encouraged to consult the Company´s Annual Report on Form 20-F as well as periodic filings made on Form 6-K, which are on file with the United States Securities and Exchange Commission.

  2. Introduction • Main highlights since floatation, value contribution • Business model • Group TPI international presence • Growth strategy • Paper product • Multimedia Platforms • Geographical expansion • Revenue and EBITDA projections • Summary

  3. Introduction • Main highlights since floatation, value contribution • Business model • Group TPI international presence

  4. Multiplied revenues 5x in Brazil and acquired control of biggest directory publisher in Chile Tripled traffic and revenues in the internet Core product revenues increase by 10% in 2000

  5. (1)SOPV EUR 3.16bn B2B Marketplace Beta Version GBP’s purchase Verticals and Cityguides launched Publiguías acquisition (2)Market cap EUR 2.50 bn Touristic Guides launched Expansion into Sao Paulo capital Virtual Mall launching YPOL Re- launched TPI is a Growth story that delivers value ... EUR3bn EUR2bn IPO´s Value: EUR1.8bn June 23rd, 1999 1999 2000 March 2001 (1) Sum Of the parts Valuation based on latest analyst reports (Jan-Feb 01). Average targert price: EUR 8.58 (2) Average closing price Februrary 2001: EUR 6.78

  6. … and is well positioned to guarantee continuous growth based on core assets • Universal Brand Recognition • Largest Advertising Platform • Solid and Widespread Usage • High Lead Purchases • Experienced and Strong Sales force • Most Comprehensive Database • Strong Investment Capacity

  7. TPI is leader in connecting supply and demand... More than 600,000 unique customers Purchase of Products and Services Increase Advertisers Base 60% lead purchases Over 50 million users More than 50 million books published Increase Usage

  8. … and expands its business model across the value chain Choice Transaction Delivery Information Contact White Pages 57.6m queries/month (1) Yellow Pages 36.1m queries/month (1) Talking Pages Over 117,000 calls/month (2) Online Products More than 1.5m visits in December 2000 (3) Customer Satisfaction (1) Source: EMER monthly average as of year 2000 (2) Source: TPI monthly average as of year 2000 (3)Source: December 2000 figures audited by OJD (Oficina de Justificación de la Difusión)

  9. … in a market with over 5 million companies and more than 289 million inhabitants SPAIN • Market share: 84% • Directories revenues as a % of GDP: 0.06% • Unique advertisers: + 480,000 • Nº Users: + 20.5 million PERU (1) • Market share: 82% • Directories revenues as a % of GDP: 0.02% • Unique advertisers: + 42,200 BRAZIL • Market share (Sao Paulo capital): 16% (3) • Directories revenues as a % of GDP: 0.06% • Unique advertisers: + 9,900 CHILE • Market share: 93% • Directories revenues as a % of GDP: 0.10% • Unique advertisers: + 47,900 ARGENTINA (1) • Market share: 90% (2) • Directories revenues as a % of GDP: 0.04% • Unique advertisers: + 66,800 TPI Group • Over 600,000 clients • Sales Force: over 1,800 people • 150 YP and WP Directories • 50 million circulation (1)Peru and Argentina still pending (2) In the area where it operates(Buenos Aires and South Argentina) (3) Expected in year 2001 Directory revenues as % of GDP: Source Simba Cowles 1998

  10. Growth strategy • Paper product • Multimedia Platforms • Geographical expansion

  11. TPI focuses its growth along three main lines Growth Strategies Paper Products • Sustained growth above peers • Diversify revenue streams • Increase customers’ value added • Extend the reach and visibility of our customers Multimedia Distribution Platforms • Sustained incremental growth • Possibility to exploit synergies & economies of scale • Know how transfer - Cross fertilization Geographical expansion

  12. In Spain, the focus is to sustain growth above European peers ... Yellow Pages: Grow average revenue per advertiser • Facilitating migration from B&W ads, to Colour ads • Increasing Headings per advertiser and Multiple Book presence • Encouraging migration towards Bigger Size ads White Pages: Increase advertising content • Promoting new advertising content - Colour • Cross-selling with Yellow Pages • Implementing new segmentation strategies

  13. … whilst in LATAM the focus will be in exploiting synergies and transferring know how acquired in Spain Dominant Players Start-up Argentina Brazil • Relaunch brand name • Improve value added content and products • Reinforce advertising spending • Reinforce advertising spending • Expand geographically Chile • Improve content • Reinforce advertising spending • Renegotiate key contracts • Launch niche products Peru • Review pricing strategy • Improve content • Reinforce advertising spending

  14. Paper Revenues in Latam will grow faster than in Spain accounting for 43% of total revenue for year 2004 Total Proforma Paper revenues CAGR 20-22% CAGR 9-11% 43% 38% TPI Spain LATAM 2004e 2000 2000 Pro forma Growth estimates in constant Euros

  15. TPI maximizes advertisers’ visibility, adapting contents to multiple platforms “Extend the reach of our customers through alternative platforms” Mobile (WAP, GRPS, UMTS) Internet TPI’s Contents Call Center Operator Assisted Yellow Pages Digital TV

  16. For Online Product our strategy is a natural transition from paper to e-commerce E-Commerce Paper Online Advertising Biggest Advertising Platform Increased value through Target advertising Dual strategy in E-Commerce B2C - VIRTUAL MALL More than 1,300 shops in Spain More than 600,000 1 Advertisers in Paper Products More than 63,000 paying customers in Spain B2B MRO Marketplace Ability to leverage Brand Equity, Customer Base, Content and Sales Force 1Total aggregated unique customers as of Dec. 2000

  17. YPOL shows a strong potential to convert traffic into revenues 000´Visits x 3.4 (1999-2000) Revenues x 2.9 (Eur m) 11,270 7.4 4,450 3,308 2,807 1,941 2.6 2,071 Total 1999 1Q 00 2Q 00 3Q 00 4Q 00 Total 2000 1999 2000 Clients x 3.7 000´Page Views x 2.9 (1999-2000) + 63,000 232,192 + 17,000 81,925 78,428 59,527 50,666 40,074 1999 2000 Total 1999 1Q 00 2Q 00 3Q 00 4Q 00 Total 2000 * Visits and Page Views are audited by the OJD (January-September 2000)

  18. E-commerce is the next step from online advertising Virtual Mall www.comprarhoy.com B2C • 1,300 shops classified in 24 different categories • Affordable e-commerce solution for Spanish SMEs • Scalable developments • Positioning, today a main source of revenues MRO’s Marketplace www.marketplace.com • Value proposition: • Content + ASP offering • Simplified and efficient purchasing process • SMEs access to big companies purchasing terms and conditions • Transaction based revenues for TPI • Critical mass of buyers and sellers is Key B2B

  19. Operator Assisted Yellow Pages are fully operational in Spain Clients SPAIN + 46% 62,000 • Most comprehensive and accessible database • Mobility: access from anywhere • Revenues come from advertising and telephone traffic • Additional revenues as commerce enabler • Value added services to 10% of calls • Revenues grew 16% from 1999 • Transferable model to Latam 42,500 1999 2000 Number of Calls (000´) + 51% 1,410 932 1999 2000 Talking Pages service has been offered nation wide in Spain since 2Q99

  20. Multimedia revenues will grow faster to represent up to 8% of total revenues by year 2004 Multimedia Revenues vs Other Revenues (EUR m) Spain • Consolidate advertising Model • Specialised Sales force • Develop transactional environments 2% Multimedia Revenues Year 2000 Proforma Latam CAGR 00/04e: 50% - 60% • Product bundle strategy • Know how in Spain transferable • Core assets to leverage online strategy already in place Year 2004e 8% Multimedia Revenues

  21. TPI Multimedia positioning E-commerce Marketplace Talking Pages Virtual Mall Revenue Source YPOL Local Guides Europages Online Verticals Advertising Residential SMEs and Professionals Usage Note: Size of circle implies revenue potential

  22. TPI will pursue different avenues to secure its international presence Acquisition • Incumbent editor - Limited opportunities / Mature markets • Second player - Clear targets - High growth markets - Secure market share • Niche operator - Exploit synergies Greenfield - High growth markets - Secure significant market share Alliances - Market knowledge and presence - Increase synergies

  23. Revenue and EBITDA projections

  24. TPI´s solid P & L and strong business model will support the growth strategy envisaged by its management team TPI Consolidated Chile+Argentina+Peru (Pro forma) TPI Consolidated Chile+Argentina+Peru (Pro forma) Total Revenues Total EBITDA CAGR 11-13% CAGR 10-12% CAGR 22-24% CAGR 15-17% 2000 2004e 2000 2004e Growth estimates in constant Euros

  25. Summary

  26. To summarize: TPI is an extraordinary mixture of highly profitable business and unique window opportunity to expand in the internet and internationally • TPI is a unique company with high margins, high growth, stable cash generation business and a natural expansion opportunity into the internet • TPI’s business model allows for a natural migration to internet • TPI has a sound financial position to pursue new opportunities and to expand into new markets

More Related