PTNR - Earnings call transcript Q4 2021 | Partner Communications Co LTD

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Ladies and gentlemen, thank you for standing by. Welcome to the Partner Communications Fourth Quarter 2021 Results Conference Call. All participants are at present in a listen-only mode. [Operator Instructions].

Following management's formal presentation, instructions will be given for the question-and-answer session.

conference recorded. this reminder, a is being As I to Mr. like to call over turn the would now Amir of Adar, Project. Head Investor Relations Corporate and Mr. please go Adar, ahead.

Amir Adar

joining on quarter and and thank our hand results business CFO. our Partner's for and an will call to and development. provide He CEO; to will Avi XXXX. annual today discuss then us financial With is year quarterly and for Zvi, me to fourth you our conference of call Partner's on Tamir CEO Deputy operational finally, update a will Communications the to Thank Partner results. provide on Amar, the Q&A. this over annual discussion the you who Tamir, listeners And on detailed all move we'll and Avi

as begin, of Section Securities this Litigation the may of conference fact to Act of Private Safe attention draw Before would within U.S. amended, of call and of XXA Securities the like the XXXX. in your Section Harbor amended, the that Securities statements we to XXXX, the I Exchange meaning all statements Reform be of as XXE of forward-looking provision XXXX, the U.S. Act U.S. Act

results you aware should such in Regarding statements, forward-looking materially that might Partner's from forward-looking be actual statements. vary the projected those

call. note statement is which other XX, and that forward-looking to factors Securities Forms of XX-F, well Additional subject statement, conference projections statements this as the U.S. the Please in Harbor or date Commission as materially are on statements differ as the with dated XXXX in information available. filings previous to that those contained call as the February concerning this press well could the of Exchange cause X-K, self-registration to actual readily F-X related all as of from F-X results and information forward-looking the Partner's Partner's Safe release in are

be can being Web broadcast accessed is site. and over For the Internet this also call through your information, our

have I any questions the further Avi over call, at free following now XXX-XX-XXX-XXXX. please the will CEO, you call feel me Avi? Partner's If turn Zvi. to contact to

Avi Zvi

the Good measures, and to our ended financial on in ongoing and Amir. earnings COVID-XX of epicenter having our despite X its key expand XXXX customer subscriber the the you, the markets. conference continued towards activities. quarter. Partner to million the at importance the transparency, improvements the places continues who with morning, highly competitive mark the in not reason company The believe cellular impacts is Thank exceeded reflect call. fairness telecom base, the and Israeli It We subscriber company's results landscape the consistently in welcome without that attentiveness is everyone, customers. segment last

enterprises. new on market, we're with on of that enter to have as market cellular XX% infrastructure in deployment as progress optics accelerated to fiber after chain we Partner infrastructure. of And not are mobile reaching is definitely chapter on a the XXXX. pillars. home optics model. well ambitious our dominant the increasing end by million with in but our currently major of am agreements by In Tamir details for of will of a expanding this infrastructure position we're for track by coverage of solution as Three, TV its four for connection made above potential the super-aggregator on prepared As to last services leading some expected communication the international implementing One, sustainable opportunities new introducing population the provide the well We're XXX,XXX. Middle services, East strategy, unique we I provider the optic XXXX, use the Partner happy color based connected streaming Partner's reach more seizing the we're Two, additional is operators. become end fiber sites XG This a continue value XXXX. least, strengthening we're the coverage shortly. ahead. we entrance in shift through wholesale provide aim about intends fiber our targets as fiber fiber player. value X we achieving the international optics at the In XX% In to

strategy, and environment business in our of work part investing workforce compensation. As we in are

to would the to proud past Chairperson Osnat Board thank Directors, Partner's like of Employment complete backing a year. Amar their for are financial of Agreement turn renewal over for the our the a measures taken would call I for results. review further three the Ronen, I of Collective headed Tamir on for in like now by the have We we years. detailed to

Tamir Amar

XXXX of Early quarter the COVID-XX. quarter combined TV XX% with to of fiber towards Avi. service prior growth quarter optics an the which in fixed increase the growth fourth EBITDA corresponding adjusted in segment measures XXXX, compared profit higher in by segment can seen and taken line improve last another continued third in the to continued strategic of The and the profitability, improve to you, of of shift signs year. Thank to profitability. revenue for be achieved consecutive presented focus the quarter results and profitability than ended subscriber we've the achieved growth cellular with

quarterly decreased annual XX,XXX, in X.X% fourth of of of basis, compared level the in quarter XX revenues base churn X,XXX the the XX% volatile of revenues service quarter NIS in On excluding corresponding ARPU X.X% Education. rate of the by churn Despite to of a XXXX, every by churn or base XXXX XXXX, of maintaining rate. fixed Ministry years quarter succeeded rate year. NIS and total course of seven quarter in XX% to it on the in ARPU subscribers, quarter a the in Education X.X%, NIS from totaled XX compared COVID-XX corresponding consecutive Ministry last The fourth the XXXX in last impact the by in Our excluding packages of roaming declined cellular totaled of the bringing XX-month increased the or subscriber increased year. subscriber in XXX,XXX. the this year interconnect by in quarter fourth to to company a XXXX. XX The

rate the and fixed the connected year, subscriber connected fiber-optic the at customers connected QX totaled since increase the Partner’s in XXX,XXX buildings potential The the XXX,XXX XX,XXX in our infrastructure totaled from base number the in to XXX,XXX to in within end fiber-optic of XX%, an increase over year, last quarter line of XX,XXX of of at end penetration year. XX,XXX XXXX. homes unchanged of end buildings the and Turning of reached an fourth segment, homes the connected XXXX.

today, in fiber-optic within stated damage release provide and of international solutions deploying ships As telecommunications from problem between new passing The as our the offers we mitigating opportunities potential fiber to intend Far fiber-optic press Suez for infrastructure well bring connection substantial the and we table infrastructure to with operators for as additional geographical cable [indiscernible] Israel. solution by in Europe East Canal a innovative an practical the we and optic dependencies.

extend of Our strong for XXXX and track services, January in the position first to signing and future. intend business execution we such record line the of this further in to agreements substantial led the

remained base unchanged services, from XXX,XXX. the and our television the Regarding previous totaled quarter subscriber

business mainly quarter subscriber from the NIS the services. was of in of an million, compared due removal the the the strategic corresponding in quarter the in certain Adjusted increase change increase last impact in quarter, second base of the NIS XXX year. to overall EBITDA million our subscribers XXX fourth proactive TV the XX,XXX, Excluding XXXX XX% totaled to in

On and XXXX, company increase the XXXX, as an amount investing. payment of of phase briefly following be XXXX of review us CapEx the in by same payments million that fiber-optic by XXXX. optic end XXX significant XXXX The funding by NIS will recorded decrease compared basis, let The in payments further the annual to NIS CapEx succeeded of fiber expects completion CapEx infrastructure in deployment deployment the increase a Now, CapEx the acceleration XXXX. major currently upon XXXX, the the totaled in payments. to approximately XXX of million in impacted in

XX The XG continued expected company's As interest in cellular and on a not network the before including negative XXXX. the advance mainly have million, annual payments, fees payments, for the payment amount free totaled fiber the flow, payment significant in is in of investment adjusted lease in reflecting the XXXX, NIS impact an for NIS CapEx increase government-mandated and fund. the in CapEx incentive for payments frequency quarter the to cash fourth million XX

The NIS X.X year-end cash Moderator, EBITDA with compared of in increase advance million an of XXXX, XXXX capital flow is call end to company's for net the on of For company million the the XXXX. adjusted debt frequency factors, by be XXX begin happy the at of Ministry NIS I of at was the please be million. XXXX, the the of at debt free increase including remained end Communications adjusted the to other the was the expected to that fees questions. payment XXX offset at impact expenditure to of impact now open NIS payments made Net will of Q&A. in XX XXXX. ratio expected

Operator

Thank session. you. [Operator Ladies question-and-answer and gentlemen, Instructions]. will we at this begin time, the

from ahead. is Tavy question of Barclays. go Please Rosner first The

Tavy Rosner

Is thoughts you to this yet that. connected by how your more the So curious Good of you afternoon. you you're space good market is it new I competitors? you branding Hi. it not please. I'm my for guys penetrated occupied touch have I'm your what We've taking the wondering because it competitors? on buildings do wanted were first, first for traction. the Thanks go-to your that questions. kind because or attribute Congrats to fiber that. on seen performance? -- guys than

Avi Zvi

the are the at question. new of look we’re in XXXX, buildings XX% connecting, competition seeing XX%, Thank for we you you maybe already there. When

So couple to future would incumbent but in of ago, -- infrastructure, goals. be connected reached the the which And Partner achieving in someone X and size said is this incumbent Group. true we're that reached up. we eyebrows would the mainly go fierce be a the our point in Israel, the the feeling almost going If or year a of of full We're ago, we're that and been of between said us three Bezeq, competition, same It IBC this years years we XXX,XXX. they've competition, just the million. connected deployment announced have we that year has should are

Tavy Rosner

world about not starting on so everything, unlimited I'm we're just material, that's country can to just understand seeing thoughts your And a kind of to more. touching competitive? of curious so a but how then you throw we've in on that around one thinking Is they And you're can find struggling of? introduce helpful. more that's that business the model the seen of where XG, guys carriers on are kind Right, investments, something Because where you talking monetize kind to hand, further although for carriers' that? have

Avi Zvi

we're I new raise world. behind at ARPU. think western three, to and still using end four using bundling as We're we're a triple or the the recruit maybe years of tool customers

you communication will average services Israel. ask be of hope our communication the in months me, services hurts the And we the unbundling years revenue. higher fiber the will of TV it what bundling we'll separately, and and be the communication If today. see always the couple sell the mobile in [ph] is next coming than in If we alpha

a Our main three early customer phone XG at beginning only behind, on of we move steps, look very in device, are have capabilities. the years at or XX% current that what I to leaning XG our engines to mobile the with the base XX% early, when the again, mobile, are we because communication you said four

business going in our over and In year, keeping on move XG the create significantly forward is we numbers push business. the it's line value our the paved in be past, main to initial fixed We've in what million the X XG end should the unit the that look of households TV the our years. it's the interesting through a is in coming mobile Partner, not while will the above think and expected additional I next from towards going we revenues. the the share driver to plan. at in in exciting we're When which XX%, be the although XG, of separate said reach the part the fiber, two to arena you TV, around So by or

in TV basic doing And provider. very super-aggregator this a we're a more currently conventional type TV know, TV a TV our packaging of to -- which came applications fast using open introduced offer Android service that offer we're implementation, losing the it we to is year did What system, Netflix Our Israel. is strategy, we launching model, end is we offer back by announced supposed going launch year. growing Amazon are basic want are to what meaning to in or very and we a our very at Israel. aggressive. a low we're business price And you last. ourselves We've the hungry using the you as Disney we through business is found they were and already HBO we We in already the in entered as to our is Israel. when May. as of moved we're money. while

So as that consuming offering more the international on and to more model, more business we content. a available content, is way more of is becoming becoming the content feel we're suitable platform new and that direct-to-consumer

open it, to going are do more like content, right models selling because current to other super-aggregator TV the be still TV old once your And in be will on to I now. that think the I significant, Partner, provider Did going will of next players, big a driver is TV, The choosing are which the the relationships models our model. the are move, MCTV, than based advantage answer the they rather main of which question? change.

Tavy Rosner

when on touch necessarily that client other it. to but much into just on on I HOT, would to can't Historically, Yes wanted argue that content and Israeli you listen content, Israeli very or find you I definitely. the Yes, is Netflix platforms. you base touched

these some least So do days population? of or it's you the still think at relevant to

Avi Zvi

one the of you No. broadcasters for big CEO I I if is Israel. years, in know in XX two role, which but don't my the Reshet of know, was previous

So know the market content relatively I well.

for the driver anymore. Hebrew provider think content, the important choose to reason it's speaking is I but not the

available their broadcaster a launching whole months to announcing they're application. Cellcom. We've of similar I couple application the seen Partner created North be their America think that that in Israel, on Yes by biggest content the in original HOT the in will content offering already XX, and which and Keshet eventually broadcasters ago a own is and separate

creating that think packages, creators, content we'll to or platform. as financers the own and this content their I creators the the see develops, content them not providing every but

Israel. will not think years, months, providers I XX months, looking same the in available the TV XX be throughout two forward content

Tavy Rosner

Great, you. thank for the Thanks color.

Avi Zvi

Thank you.

Operator

further questions [Operator Instructions]. There no at time. this are

recording ask of like the U.S., to I to a hours. Before Israel, this XX-XXX-XXXX; in the call Zvi would internationally, to call statement? call also company's with is scheduled X(XXX) and Zvi, remind is www.partner.co.il. ahead XXX-XXXX; The available his closing in Web make on statement, that begin please your Mr. please like XXX-X-XXX-XXXX. replay Mr. call to site, concluding would go In two I participants you please

Avi Zvi

Yes, you. thank

if just of your questions. Have presented. excels have service equipped you a significant great technological and which I flexibility the think at and our changing results both we joining, all the new additional again the for and particular the the day. human conditions all we're a capital in played human in employees degree, commitment has for financial is and with era Thank necessary role of in aspects. of course impressive Partner The first the in you adaptability any

Operator

concludes fourth quarter you for This Thank Partner your participation. conference results you. Thank the XXXX Communications call.

You may ahead go disconnect. and

Partner Communications (PTNRF) 28 Feb 222021 Q4 Earnings call transcript