第一組
組長： 陳宜軒
組員： 黃婕昕
林政陸
指導教授：黃光渠 教授
Outline
‧About EE
‧Financial ratios
‧IFE & EFE
About EE
• History of EE
Deutsche Telekom and France Télécom announced
plans to merge their respective UK ventures on 8
September 2009.
The merger was cleared by the European
Commission on 1 March 2010.
The joint venture was announced as completed on
1 April 2010, and the name Everything Everywhere
was announced on 11 May 2010.
1
About EE
• the most advanced digital communications
company in UK
• Britain’s biggest 3G mobile network
• 1st in Britain to offer superfast 4G
mobile services
• fixed Fiber Broadband service has now
reached 15 million households
• have lots of conversations with customers
2
About EE
• Vision & Mission
They believe in giving the UK the best network
and best service so our customers trust us with
their digital lives.
How to achieve this goal
1. Best network
2. Best service
3. Customer trust and relevance
https://www.youtube.com/watch?v=UmT8vl2eml8
3
Financial Ratio
4
Financial Structure
0.6
0.48
0.5
0.4
0.36
0.32
0.3
0.24
0.32
0.26
0.25
0.2
0.12
0.1
0.05
0
2010
debt-to-total-assets
2011
debt-to-equity
Debt/Asset ratio almost under
50%, which means EE’s financial
structure is strong. Note the
long-term debt-to-equity rate, it
become twice in 2012. Because
EE had been
issue new bonds.
2012
long term debt-to-equity
5
Debt-Paying Ability
10
8
6
10
TIE ratio jump up to 8.6 in 2012, due to
EE started their 4G service and earned
a little bit money before other rival
enter the market. Second reason is that
EE paid off their shareholders’ loans
(intersest rate 0.6%)by new Eurbond
loan(interest rate 0.25%).
8.6
9
8
7
6
5
4
4
2
2.5
3
2
2
1
0
0
2010
current ratio
2011
quick ratio
2012
time interest earned
6
Operating Ability
100
90
80
88.3
70
74.54
60
50
52.18
40
30
A/R turnover decline form 88.3 to
59.97, it represents that due to more
and more short-term prepaid
customers. New service provided by 4G
attract more customer to use their
system, raise their sales and direct raise
their inventtory turnover.
36.79
20
10
0
2010
inventory turnover
59.97
53.26
2011
2012
accounts receivable turnover
7
Earning Power
0
-1
2010
2011
2012
-2
-3
-3.82
-3.84
-4
-4.73
-5
-6
-7
-7.67
-8.3
-8
-8.68
-9
-10
EPS
price-earnings ratio
8
2010
2011
Revenue
5298
External
Purchase
3731
Amortisation
&Depreciation
878
25.65%
23.69%
41.11%
2012
6657
4615
1239
1.9%
2.36%
1.21%
6784
4724
1254
單位：(£m)
9
IFE & EFE
10
IFE
Weight
Rating
Weighted Score
Internal Strengths
0.15
4
0.6
0.025
4
0.1
1. 0.15
EE's 3G network
covers 98%0.6
of the UK
4
population.
4
2. 0.05
EE's 4G coverage
is still way 0.2
ahead
which
0.10 coverage
4 in 30 of the UK's
0.469
EE
offer 3G plan with £32 and £37
cities,
Comprehensive Services Portfolio through
Vodafone
offer
0.10
4 £29
0.4
over
60% of
the
UK population.
3G & 4GEE networks
O2
offer
EE
cut£32
the. cost of access to its 4G
EE:has
30 UK
city
High service price at 3G
4
EE0.05
has
15 different
4G devices,0.2
including
network
02:
13UKcity
Low service price at 4G
0.05
3 plan
0.15
the
network-exclusive
Huawei
Ascend P1
EE's
cheapest
£26.
Vodafone:
11 4G
UK
city was
Many 4G device for handsets
0.10
4
LTE.
Vodafone's
entry-level
offer for0.4
a 4G
Internal Weaknesses
O2 offerplan
13 different
handset
is £34, devices,
Vodafone
handsets.
O2
offers ahas
similar
deal at £32.
poor bottom-line performance
0.10
113 different
0.1
company's involvement in litigations
0.025
1
0.025
rivals that any attempt to stop its rollout
Steady decline in average revenue per user
of0.10
fourth-generation
mobile services
1
0.1
Wide network coverage
Maintain Market Leadership
Strong Customer Base
Strong brand equity and recognition in
Europe
Excellent Marketing Capacity
(ARPU)
Total Weighted Score
3.275
11
EFE
Weight
Rating
Weighted Score
Opportunities
Increasing mobile data market
Growing smart phone market
New technology -Fiber Broadband investment
Oversea investment in new emerging nations
Technology innovation with lower operating cost
Trend of globalization for telecom industry
0.15
4
0.6
0.15
4
0.6 It
new
Fibre Broadband
network.
gives
broadband
0.05you a home
3
0.15
connection typically 10 times faster
0.025
2
0.05
than
the UK average.
0.15
3
0.45
0.05
2
0.1
0.05
4
0.2
Threats
Weak 4G market
Q3 2013 results:
4G rises
Regulatory changes from government in fixed line EE0.10
2
0.2in a
weak market
Competitive pressures from other rival
0.05
2
0.1
Uncertainty of new technology deployment
0.10
3
0.3
No presence in key emerging markets
0.025
1
0.025
Economic slowdown in the European Union
0.10
3
0.3
Total Weighted Score
3.075
12
THE END