Investor Presentation

Bharti airtel limitedBharti airtel limited

September 2011

The information contained in this presentation is only current as of its date. All actions and statements made herein or otherwise shall be subject to the

applicable laws and regulations as amended from time to time. There is no representation that all information relating to the context has been taken

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also contact us directly for any questions or clarifications at our end.

This presentation contain certain statements of future expectations and other forward-looking statements, including those relating to our general

business plans and strategy, our future financial condition and growth prospects, and future developments in our industry and our competitive and

regulatory environment. In addition to statements which are forward looking by reason of context, the words ‘may, will, should, expects, plans, intends,

anticipates, believes, estimates, predicts, potential or continue’ and similar expressions identify forward looking statements.

Actual results, performances or events may differ materially from these forward-looking statements including the plans, objectives, expectations,

Disclaimer

Actual results, performances or events may differ materially from these forward-looking statements including the plans, objectives, expectations,

estimates and intentions expressed in forward looking statements due to a number of factors, including without limitation future changes or

developments in our business, our competitive environment, telecommunications technology and application, and political, economic, legal and social

conditions in India. It is cautioned that the foregoing list is not exhaustive

“The information contained herein does not constitute an offer of securities for sale in the United States. Securities may not be sold in

the United States absent registration or an exemption from registration under the U.S. Securities Act of 1933, as amended. Any public

offering of securities to be made in the United States will be made by means of a prospectus and will contain detailed information about

the Company and its management, as well as financial statements. No money, securities or other consideration is being solicited, and,

if sent in response to the information contained herein, will not be accepted.”

Investor Relations :- http://www.airtel.inFor any queries, write to: ir@bharti.in

The Company...Bharti airtel – An Integrated Telco

� Wireless Services

� 2G

� 3G

� Rural Market

� Telemedia Services

� Enterprise Services

� Carriers

� Corporates

� Passive Infrastructure Services

� Infratel

� Indus� Fixed Line

� Broadband

� IPTV

� Indus

� DTH

� Pay per view / HD

� Interactive Services including Gaming

Fully integrated telecom player offering end to end solutions

and entering new geographies

The Company…Bharti airtel

No. of circles (India) Today Countries1 5 15 22 19

‘

1996 2001 2003 2004 2010

Fully integrated telecom player offering end to end solutions and entering new geographies

Growth trajectory reflected in the numbers

Single Circle Operator Company Profile Largest integrated private telecom

operator

< 25k Customers ~ 221 mn

~ USD 17 mn Revenue ~ USD 13 bn

~ USD 2.5 mn EBITDA ~ USD 4 bn

1996 2011

~ USD 2.5 mn EBITDA ~ USD 4 bn

~ USD 1.4 mn Cash Profit ~ USD 4 bn

~ USD 16 mn Market Capitalization ~ USD 30 bn

Continuing on our journey of Value Creation

Note: 1) 2011 financials are as per FY 2011 results. 2) Exchange rate: Financials as of 31st Mar 11 : Rs 44.65

Financials & Positioning

FY 11 (in Mn)

Customers 220.9

Revenue $ 13,319

EBITDA $ 4,472

Positioning in the world & in India

� 3rd LARGEST in -country wireless operator in the

world (1)

� LARGEST private INTEGRATED telecom company in

India

Key financial metrics

EBITDA $ 4,472

Cash Profit $ 3,983

Net Income $ 1,354

EBITDA Margin (%) 34.6

ROCE (%) 10.8

� 5th LARGEST Mobile telecom operator in the world

� Amongst the largest providers of Passive

infrastructure (by towers) (2)

Note: FY11 numbers are as per IFRS as per March11 quarterly report. Exchange rate for Re to $ conversion: 44.65. (1) 3rd largest wireless operator in the world refers to in-country (single country) operator based on the number of subscribers. 5th largest mobile operator on basis of number of subscribers.(2) Through its subsidiary Bharti Infratel & Indus Towers in which Bharti Infratel owns 42% stake.

Latest Results – 1Q’12

Key operating and financial metrics Continued Strong Performance

Q1 FY 12* Y-on-Y

Customers 230.8 mn 25.9.%

Revenue $ 3,798 mn 45%

EBITDA $ 1,276 mn 34%

� Wireless CMS 19.8%

� Wireless RMS 30.0%

� Total MOU carried in Qtr 251.9 bn

� Balance sheet strength:EBITDA $ 1,276 mn 34%

Cash Profit $ 1,085 mn 26%

Net Income $ 272 mn -25%

EBITDA Margin 33.6%

ROCE 8.2%

� Balance sheet strength:

� Assets $ 33.2 bn

� Net debt $ 13.4 bn

� Net debt to EBITDA 2.8 Times

(annualized)

� Continues to be FCF positive on at South Asia

Level.

•Includes full quarter numbers for Africa

•Exchange rate as of 30th Jun 2011: 44.72

•**RMS as per March quarter released by TRAI

Performance dashboard - 3 line graph

122,438

152,294

157,721

162,930

169,749

45.3%46.9%

44.8% 44.6%

73.6%72.1% 70.8%

69.9%

71.2%

125,000

135,000

145,000

155,000

165,000

175,000

Tota

l R

evenue (

Rs.m

n)

40%

50%

60%

70%

80%

Productivity Indicators = growing revenues + cost efficiencies + capital productivity

The above chart is for Airtel Consolidated including Africa

42.5%45.3% 44.8% 44.6%

105,000

115,000

Q111 Q211 Q311 Q411 Q112

Tota

l R

evenue (

Rs.m

n)

30%

40%

Total Revenue (Rs. Mn) (LHS) Opex to Total Revenue (RHS) Capital Productivity (RHS)

Wireless Services

Indian Market

Overall Telecom Market Wireless Market

� Population 1.2 billion

→ Relatively large youth population

� Telecom penetration c.73.97%

(~885.99 mn telecom subs)

Sub number should go upto 1 Billion by 2015

� Sub Base c.851.70 mn

� Wireless Penetration c.71.11%

� Operational metrics per month

� Usage per user 369 min

� ARPU ~ US$ 3.67

� Broadband penetration 1.64% (12.32 mn)

→ Govt. target to reach 20 mn. Broadband subs by 2011

� ARPU ~ US$ 3.67

� Rate per minute ~ US$ 0.01

� VAS ~ 13.5%

Lot of opportunity ahead….

Note: (1) Subscriber numbers and wireless penetration numbers as on June 30, 2011 are as per TRAI (2) Other indicators on the slide are based on Global Wireless Matrix 1Q11 dated 28th Apri11 by Merrill Lynch, and reflective of Industry numbers.

Rapidly Growing Indian Wireless Market

Net Adds in July 6.7 Mn…lesser than over last 3

months average run rate of 13.4 MnS-curve triggered

50%

60%

70%

80%

90%

500

600

700

800

900

(mn

) 14

16

18

20

22

24

26

Closing Subscribers Net Adds

0%

10%

20%

30%

40%

1999 2001 2003 2005 2007 2009 2011 2013 2015 2017 2019

India - Fastest Growing Market in the World

Note: (1) Actual Data as per Industry Association Releases and Industry Estimates in India.

-

100

200

300

400

500

No

v-0

3

Ma

y-0

4

No

v-0

4

Ma

y-0

5

No

v-0

5

Ma

y-0

6

No

v-0

6

Ma

y-0

7

No

v-0

7

Ma

y-0

8

No

v-0

8

Ma

y-0

9

No

v-0

9

Ma

y-1

0

No

v-1

0

Ma

y-1

1

(mn

)

-

2

4

6

8

10

12

14

Wireless Market Structure in India

Subscriber Trends Customer Market Share – CMS (%)

171

145 143

101 9688

115

139

113 111

7971 75

64

31 31 3222 25

13

51

20

40

60

80

100

120

140

160

180

(mn

)

19.9%

16.9%

11.7%

10.3%

13.4%

11.2%

16.7%

9.8%

11.5%10.8%

12.1%

17.1%17.4%

21.3%

7%

9%

11%

13%

15%

17%

19%

21%

23%

25%

• Airtel continuously consolidating its market leadership position despite intense competition

• Airtel current monthly net adds at 1.5 million vs. 2.6 million a year ago

• Airtel ranks 1& 2 in 16 circles in terms of number of subscribers

• Over 65% of net adds coming from B&C circles (rural India)

Airtel Continues to lead on Revenue Market Share

Note: Based on subscriber data for India as on July 31 2011 as per TRAI press release.

-

Air

tel

Re

lian

ce

Vo

da

fon

e

BS

NL

+M

TN

L

Ide

a

Ta

ta

Oth

ers

Jul-11 Jul-10 Net adds during the year

5%

Airte

l

Relia

nce

Vodafo

ne

BS

NL+M

TN

L

Idea

Tata

Oth

ers

CMS(Jul'11) CMS(Jul'10)

Airtel…Performance Indicators (Operational)

Customers & Market Share Prepaid/Postpaid

96.0% 96.1% 96.2% 96.3% 96.3%

99.2%97.5%

98.2%98.1%

97.3%

76%

80%

84%

88%

92%

96%

100%

Q111 Q211 Q311 Q411 Q112

Prepaid Subs Prepaid Net Adds

136.6 143.3 152.5 162.2 169.2

21.5%20.8%

20.3% 20.0% 19.8%

0

60

120

180

Q111 Q211 Q311 Q411 Q112

6%

10%

14%

18%

22%

Customers (mn) CM S (%)

ARPU & RPM MoU/Sub/Month & MON

42.7643.1344.1944.4444.83

190194198202

215

-

10

20

30

40

50

60

Q111 Q211 Q311 Q411 Q112

0

50

100

150

200

250

300

RPM (Paise) ARPU (INR)

445 449449454480

228,331218,190

205,018196,196195,197

420

430

440

450

460

470

480

490

Q111 Q211 Q311 Q411 Q112

80,000

130,000

180,000

230,000

280,000

M oU/Sub (M in) Total minutes on Network (M n M in)

Current positioning and way forward…

Leadership Positioning Growth strategy and plans

RevenueRevenue New Revenue Streams

� Revenue size

(>$ 9 Bn)

� Revenue Market Share

� Changing face of growth

through M-Com, M-

entertainment & 3G

Cost

Non financial vitals

Maximizing usage

Net Adds

� Brand

� Distribution

� Churn lower than industry

� Spectrum Mix (900/1800 MHz)

� Improving cost efficiencies

� Lowest cost GSM network

� Increasing the usage through U&R drive

� Wallet share

� Driven by rural strategy

Telemedia Services

A Snapshot

� Largest private operator having presence in the voice , broadband , IPTV and data.

� Focus on SMB segment & Broadband at Homes

� Key Performance Indicators

1. Voice (wire-line) and Data (DSL) Presence in 87 top cities of India.

2. Target Segment : Retail and Small and Medium Enterprises.

3. Customer base: 3.3 million (end June 2011)3. Customer base: 3.3 million (end June 2011)

4. Broadband (DSL with speeds>256 kbps) penetration at 43.1% of customer base.

5. Average ARPU for Quarter ended Jun’11 $ 21.3 per month.

6. Segment contributing to 7% of overall revenues of the company.

7. EBITDA margin of over 45.5%.

Broadband revolution to follow wireless revolution in India

SMB opportunity across ICT stream

Enterprise Services

A Snapshot

� Enterprise Services provides a broad portfolio of services to large Enterprise and Carrier customers

� Corporates: Single point of contact for all telecommunication needs for Top 2500 corporate customers,

providing full suite of voice, data, and managed communications solutions

� Carriers: Wholesale voice and data services to over 130 domestic and 450 international

telecommunications carriers, as well as ILD and NLD carriage for Airtel’s own customers

� Extensive national and international infrastructure

� Pan-India network with 148,792 Route kms of optical fiber, over 4,150 MPLS and SDH POPs� Pan-India network with 148,792 Route kms of optical fiber, over 4,150 MPLS and SDH POPs

� Access network (terrestrial) in 87 cities, Wimax network in 143 cities, and over 1,500 local POIs

� International network with 225,000 Route Kms, connecting over 50 countries and 5 Continents.

� Key Performance Indicators (Q1‘12)

� NLD Minutes Carried: 19.9 Billion ; ILD Minutes Carried: 3.1 Billion

� Revenue: Rs.10,410 Million (8 % Segment Contribution Share)

� EBITDA: Rs. 2,303 Million (22.1% EBITA Margin)

Emerging Growth Engines

Passive Infra

Africa

Financial Performance – Passive Infra

Revenue EBITDA

438

471

490 493509

400

450

500

550

192

183

189

175

155160

180

200

35.5 37.1 38.6 37.0 37.7

Focus on tenancy enhancement…driving Revenue & Profitability

The above nos for Revenue & EBITDA are in IFRS as per Quarterly Report & includes proportionate

share (42%) in Indus .

300

350

Q111 Q211 Q311 Q411 Q112

100

120

140

Q111 Q211 Q311 Q411 Q112

Operational Performance – Passive Infra

Infratel Indus

Towers (nos) & Sharing Factor Towers (nos) & Sharing Factor

31,19631,831

32,42432,792 32,942

1.65 1.651.68

1.731.77

30,000

31,000

32,000

33,000

34,000

Q111 Q211 Q311 Q411 Q112

1.40

1.50

1.60

1.70

1.80

No of t owers Shar ing Fact or

104,901106,438

107,789 108,586 108,922

1.751.78 1.80 1.83

1.87

97,000

99,000

101,000

103,000

105,000

107,000

109,000

Q111 Q211 Q311 Q411 Q112

1.20

1.30

1.40

1.50

1.60

1.70

1.80

1.90

2.00

No of t owers Sharing Fact or

Sharing Revenue per Sharing Operator per Month (Rs) Sharing Revenue per Sharing Operator per Month (Rs)

Aims to enhance the tenancy ratio & be the preferred choice of vendor for all existing

and new operators

36,20336,59937,85938,041

36,290

25,000

29,000

33,000

37,000

41,000

Q111 Q211 Q311 Q411 Q112

Shar ing Revenue per Shar ing Operator per mont h

31,963

30,50130,84731,38930,379

15,000

20,000

25,000

30,000

35,000

Q111 Q211 Q311 Q411 Q112

Shar ing Revenue per Sharing Operat or per mont h

Transaction Rationale

Clean / certaintyof transaction

Shareholding and Management Control

����

Brand – ‘Airtel’����

����

100% Cash Transaction ����

Focus on CoreMiddle East

Operators

����Global Stature

Emerging Market Characteristics

Strong Platformfor Future Expansion

ManageableDeal Size����

Diversification of India Risk����

Avoid Greenfield����

Speed inTransaction ����

Repayment of Debt ����

Significant Synergies

Low Competitive Intensity

The transaction meets the objectives of Airtel with long term strategic benefits

and creates tremendous shareholder value

Differences between the two markets

Mobile Penetration

Business Model Low usage, high pricing model

40%

High usage, low pricing model

70%

Average Number of Competitors

3-510-12

India Africa(1)

Minutes of Usage

ARPU (US$)

ARPM (US cents ¢)

~121

~$7

6¢

~445

~$4

1¢

And therefore huge opportunity space

Source: Global Insight, annual / quarterly reports.1. Data pertaining to the 16African countries where Zain Africa has operations.

Another Growth Engine - Africa

� Customer Base : 46.3 Mn

� Performance Indicators (CY 2011):

Revenue: $ 2,878 Mn

EBITDA: $ 6,30 Mn

� Prepaid Base: 99.3%

→one of the highest in the

world

� Usage per sub per month: 121 Minutes

→one of the lowest

� ARPU: ~ US$ 7.3

� Rate per minute: ~ US¢ 6.3

→ one of the highest

� VAS: ~ 8.4%

→One of the lowest

Note: Above numbers based on Quarterly report ended 30 June ,2011.

Recent Honors

Bharti airtel – Leadership in business Recent Honours

� Economic Times Telecom Awards 2011

� Innovative Product Value Added Service

� Customer Experience Enhancement

� Frost & Sullivan 2011 Asia Pacific ICT Awards

� Enterprise Telecom Service Provider of the Year

� Wholesale Data Service Provider of the year

� Mobile VAS Provider of the Year

� India’s Most Innovative company - Wall Street Journal

� Telecom Operator award 2011 - Won in 5 categories.� Telecom Operator award 2011 - Won in 5 categories.

� Most Admired company

� Best National Mobile operator

� Operator with Rural performance

� Best VAS provider

� Best Enterprise services

� DSCI Excellence Award 2011 for Security in Telecom- ‘Security Leader of the Year'

� Bharti Airtel rated as India’s Best Enterprise Connectivity Provider- Users choice award Instituted by PC Quest

� Sunil Bharti Mittal : – Global Game changer at Economic Times Telecom Awards 2011

– Global Telecom Leader - Voice & Data magazine

� Akhil Gupta, Deputy Group CEO and MD - CFO India Hall of Fame by CFO India

� Manoj Kohli, CEO( International) & Joint MD - Telecom Man of the year - Tele.net

� Business world – FICCI – SEDF Corporate Social Responsibility Awards 2009-10

thank you