PT Tower Bersama Infrastructure Tbk Announces Its Full Year 2016 Financial Performance
JAKARTA, 22 March 2017 - PT Tower Bersama Infrastructure, Tbk. ("TBIG") today, released audited financial statements for the year ended 31 December 2016.
Financial Highlights and Operational Indicators
TBIG generated revenue and EBITDA of Rp3,711 billion and Rp3,220 billion, respectively, for the full year ending 31 December 2016. The Company’s EBITDA margins continued to improve to 86.8% for full year 2016 versus 85.1% for full year 2015. Using the 4th quarter 2016 results, total annualized revenue reached Rp3,806 billion, and annualized EBITDA reached Rp3,291 billion.
As of 31 December 2016, TBIG had 20,486 tenants and 12,610 telecommunication sites. The Company’s telecommunication sites comprised 12,539 telecommunication towers and 71 DAS networks. With total tower tenants amounting to 20,415, the Company’s tenancy ratio was 1.63.
“In 2016, we organically added 1,314 telecommunication sites and 889 collocations to our existing portfolio. We have delivered another year of significant organic growth and have significantly outperformed our peers. Although we added 2,203 organic tenants during the year, our net tenants added was lower, primarily due to the one-off discontinuation of Telkom Flexi tenancies. The remaining lease period for these tenancies were subject to an early prepayment by Telkom in October 2016 as they have shut down their Flexi CDMA network.” said Hardi Wijaya Liong, CEO of TBIG.
“In 2016, we spent a total of Rp1.5 trillion on shareholder return initiatives which consisted of Rp592 billion in dividends and Rp906 billion in share buybacks. This equates to a return of 6.7% to shareholders (based on the 31 December 2016 share price of Rp.4,980) and we expect to continue to return substantial amounts to shareholders in addition to our organic business growth and maintaining comfortable debt levels supported by our debt providers,” added Hardi.
Total Debt as of 31 December 2016, valuing USD loans at their hedged exchange rate, was Rp17,109 billion and gross senior debt was Rp9,451 billion while cash balances were Rp365 billion, resulting in net debt of Rp16,744 billion and net senior debt of Rp9,086 billion. Using the 4th quarter 2016 annualized EBITDA, the net senior debt to EBITDA ratio is 2.8x, and net debt to EBITDA ratio is 5.1x, giving us ample borrowing headroom based on the financial covenants contained in our bank and bond facilities.
Helmy Yusman Santoso, CFO of TBIG commented, “We have been able to reduce our leverage from 5.2x in Q4 2015 to 5.1x in Q4 2016, whilst also achieving robust organic growth of 11% gross tenant additions and providing significant shareholder returns of ~Rp.1.5 trillion. Our debt providers continue to be completely comfortable at our current leverage levels due to the long-term, guaranteed contracts from our highly rated telecom operators, coupled with our prudent hedging strategy. We continue to see our bonds trading at premiums to issue price and bank syndicate initiatives are multiple times oversubscribed.”
Helmy added, “We will continue to actively buy back shares from the market when the run-rate EV/EBITDA multiple is below our target range. Based on 4th quarter 2016 annualized EBITDA (“run-rate EBITDA”), and the 4th quarter 2016 net debt (taking into account hedging contracts) and market capitalization (adjusted for 1.64% treasury shares held at the end of December 2016), the run-rate EV/EBITDA is ~11.8x based on a Rp. 4,980 share price.”
About PT Tower Bersama Infrastructure Tbk:
PT Tower Bersama Infrastructure Tbk (“TBIG”), is a provider of telecommunications infrastructure for the placement of BTS by telecommunications operators in Indonesia. TBIG is publicly listed on the Indonesian Stock Exchange and is majority owned by Saratoga Group and Provident Capital.
For more information contact:
Corporate Secretary:
Helmy Yusman Santoso – Tower Bersama Group
Phone: (62-21) 2924 8900
Email: corporate.secretary@tower-bersama.com
Investor Relations:
Veronica Jordan
Phone: (62-21) 2924 8900
Email: veronica.jordan@tower-bersama.com
