Orange Polska Sa

Good morning, ladies and gentlemen. Leszek, please go ahead.

Good morning, everyone. Welcome to Orange Polska results for third quarter and nine months of 2021. We are joined today by our CEO, Julien Ducarot, and our CFO, Jacek Konicki, who will be giving the presentation. I hand the floor to Julien to begin the presentation.

Good morning, everyone. Welcome, everyone, on our conference summarizing third quarter and nine months of this year. As usually, I will start with the highlight of the quarter. Jacek will follow with the financial review. Then I will come back for our final conclusion and open the floor for your questions. So let's go on slide number five. And I will highlight the third quarter main event. So Q3 was another quarter of strong financial results. Our value strategy drives robust performance of our core telecom services. This quarter, it was helped by further recovery of roaming over the summer. As we were flagging before, from July, our revenue reflects cuts in mobile and fixed termination rate, which means that the dynamic is lower, but impact on profit is not material commercial results were solid and when comparing versus last year please note that q3 2020 android demand catch-up phase after the lockdown we see some increased promotional activities on the market but at least so far it does not impact our result in any significant way we are pleased about high customer loyalty and resulting low churn as well as with strong results in fiber. On a different front, it is worth to mention that from September, our company works in hybrid mode with minimum two days in the office. Office work is mainly focused on creative meetings and brainstorming while home for the individual desk work. Finally, as you know, we have finalized fiber code fully according to our schedule. This fact influenced a lot our financial statement of this quarter. Going on slide number six. Our results for nine months of this year were strong and in line with our plan. Revenues increased by almost 4%, driven by conversions and ICT business. As I mentioned, this dynamic slowdown in Q3 due to the regulatory impact. Growing retail revenue fueled over 5% EBITDA growth. This growth accelerated to above 6% in Q3, but that much high dynamic should not be extrapolated going forward. Economic capex is 10% lower year on year. As in Q3, we saw some fiber network connection to Fiberco. Jacek will comment more on that. Our sales of real estate continue to be weak due to ongoing slowdown on this market. Going to page 7 to look at our commercial result. Let's start with convergence and fiber. We present it together as fiber is a key driving force for performance in convergence, both in volume and value terms. Convergence revenue were up almost 17% this quarter. This came almost equally from growth of customer base and growth of ARPO. Customer net addition were similar to the previous quarter but below last year. On the one hand, net addition of fiber was strong, almost similar to last year and better than in Q2. On the other hand, other broadband technology, such as copper and fixed wireless, We are below last year, which negatively influenced overall net addition in conversions. We have just put in place some action to improve our performance in fixed wireless, where competition recently increased. Coming back to fiber, we continue to expand our footprint. We grow it at a steady pace of around 200,000 households a quarter, in line with our strategy, now more relying on partnerships. Of the total footprint of 5.6 million at the end of September, please note that 1.9 million accounted for third party's infrastructure. That number increased a lot this quarter as we move around 700K household to Fiber Core. Going to slide number eight, mobile handset customer base is growing at a steady pace of 5% year on year. On the past three quarters, net additions were broadly similar, fueled by both B2C and B2B. We are pleased that our customer base are more loyal. As you can see on the bottom right chart, churn rate fell to 1.8% in this quarter. ARPO is growing both in post-pay and prepay. In post-pay, growth accelerated to 2.5% due to roaming. In Q3, roaming revenue recovered to almost 80% of pre-pandemic level of Q3 2019. ARPO trends reflect our value strategy as we started to monetize price hikes that we have introduced back in May. Customers continue to need more data, and 5G is already a trigger. In B2C, we observed that data consumption among 5G users is around 20% higher versus 4G users. That's all for me now, I hand the floor to Yacine.