Etisalat Group Capital Markets Day 2018

February 22nd, 2018 Fairmont Bab Al-Bahar, Abu Dhabi Disclaimer

Emirates Telecommunications Group Company PJSC and its subsidiaries and associates (“Etisalat Group” or the “Company”) have prepared this presentation (“Presentation”) in good faith, however, no warranty or representation, express or implied is made as to the adequacy, correctness, completeness or accuracy of any numbers, statements, opinions or estimates, or other information contained in this Presentation.

The information contained in this Presentation is an overview, and should not be considered as the giving of investment advice by the Company or any of its shareholders, directors, officers, agents, employees or advisers. Each party to whom this Presentation is made available must make its own independent assessment of the Company after making such investigations and taking such advice as may be deemed necessary.

Where this Presentation contains summaries of documents, those summaries should not be relied upon and the actual documentation must be referred to for its full effect.

This Presentation includes certain “forward-looking statements”. Such forward looking statements are not guarantees of future performance and involve risks of uncertainties. Actual results may differ materially from these forward looking statements.

2 Agenda

Business Overview Saleh Al-Abdooli Chief Executive Officer – Etisalat Group

Etisalat Group Financial Results Serkan Okandan Chief Financial Officer – Etisalat Group

Chief Executive Officer – Etisalat Etisalat Group International Hatem Dowidar International

Chief Strategy & Governance Officer – Etisalat Group Strategy Khalifa Alshamsi Etisalat Group

Khaled ElKouly Chief Consumer Officer – Etisalat UAE Etisalat UAE Presentation Salvador Anglada Chief Business Officer – Etisalat UAE

PTCL Group Presentation Dr. Daniel Ritz Chief Executive Officer – PTCL Group

Mobily Presentation Ahmed Aboudoma Chief Financial Officer – Mobily

Etisalat Misr Presentation Hazem Metwally Chief Executive Officer – Etisalat Misr

Closing Remarks Saleh Al-Abdooli Group Chief Executive Officer

3 Etisalat Group Capital Markets Day 2018

Etisalat Group Business Overview

Saleh Al-Abdooli Group Chief Executive Officer Etisalat Group continues to be amongst the region’s top telecom groups supported by its wide reach, solid profitability, & strong cash flow generation Key Highlights

Etisalat Group Operating Companies . 16 countries, over 142 million subscribers 1 UAE

. Revenue: AED 51.7 billion 2 KSA 10 Egypt

. EBITDA: AED 26.0 billion (at 50% 3 Morocco 11 Benin margin) 4 Pakistan 12 Togo . OFCF: AED 18.0 billion (at 35% margin) 5 Mauritania 13 Cote d’Ivoire

. Net Profit: AED 8.4 billion (at 16% 6 Mali 14 Niger margin) 7 Burkina Faso 15 Central Africa . Dividends per Share: 80 fils (at 8 Gabon 16 Sri Lanka 82% payout ratio)

9 Afghanistan . A robust credit rating with AA-/Aa3 by S&P Global and Moody’s. Mobile & Fixed Services Mobile Services

5 Etisalat stands out as the Middle East’s Most Valuable Brand, surpassing STC & Emirates with a brand value of 7.7Bn USD

Brand Ranking

Brand Rank 2015 2016 2017 2018 1

2

3

Brand Value (M USD) 8,000 7,702 Etisalat 2018 7,000 Etisalat Brand Value stands at 6,000 6,650 STC 5,000 USD 7.7 Bn 4,000 Ooredoo 3,019 Zain 40% YoY growth 3,000 2,641 2,000 du 2,082 1,000 0 2012 2013 2014 2015 2016 2017 2018

Source: Brand Finance, February 2018 (World’s ONLY ISO Compliant Global Authority on Brand Valuation) 6 We sustained our global leadership when it comes to fixed fiber network penetration as a result of our determined modernization strategy Global Rankings

0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% 90.0% 100.0%

UAE 94.3% Qatar 90.4% 92.9%Singapore 90.3% South Korea 81.6% Hong Kong 75.6% Japan 69.1% China 61.6% Mauritius 55.1% Uruguay 51.9%Global Ranking - Latvia 50.6% Taiwan 46.5% Household penetration Sweden 43.4% Lithuania 42.6% Russia 37.9% New Zealand 37.5% Belarus 37.1% Fiber To The Home Iceland 35.0% Fiber To The Building Romania 34.9% Spain 33.9% Norway 33.7%

Source: IDATE for FTTH Council Europe, September 2017 Update (Announced on February 2018) covering economies with at least 200,000 households and greater than 1% household penetration 7 Tenancies assumed at 1,896,583 household, percentage includes fiber to the curb In 2017, we reviewed our Group vision & strategy to reflect our digital ambition and key growth priorities…

Key Achievements

Source: Etisalat 8 .. while delivering against various group wide & OpCos’ specific initiatives

Key Achievements . 4G coverage in MT exceeding 93% of population (73% in 2016) Portfolio Rationalization . Universal license & spectrum acquisition, in addition to concluding Level 1 restructuring at Mobily . Ongoing fixed network transformation in PTCL . Deployment of 4G network in Egypt . Sri Lanka operations under review.

Strategic Imperatives

. Disseminating digital capabilities across Technological Leadership the group. . Continued strategic network investments to support . Expanding etisalat Digital outside markets company future, e.g. 5G pre-commercial launch, and by winning global service deals across our Group cloud factory. footprint. . Commercial launch of 4K TV service. . Lunch of VoLTE HD voice, with around 900K . Fostering open innovation through Subscribers to date. collaboration with DFA for startups, . Adoption of AI and RPAs. launched 2 challenges pertaining to

health and digital security risks. Synergy & Value Creation DigitalAgenda . launched the Etisalat Digital Open . Achieved synergy at group level in wholesale business, Innovation Center. through group to group roaming and capacity deals, in addition to boosting internalization of services. . Introduced a sub brand “SWYP” for digital . Enhanced value at group level through group millennials procurement savings

Source: Etisalat 9 DFA: Dubai Future Accelerators, AI: Artificial Intelligence, RPAs: Robotics Process Automation Etisalat enjoys the highest EBITDA % and one of the highest Net Profit % among peers, despite unfavorable exchange rate movements impacting revenue growth Peer Groups Comparison

Key performance indicators from a Shareholder Perspective (Comparison on 3m basis, with some operators reporting EBITDA and Net Profit on a half-year basis)

Revenue Growth EBITDA Margin Net Profit Margin (to shareholders) (in % YoY USD) (Q3 2017) (in %) (Q3 2017) (in %) (Q3 2017)

1) Vodacom 15% Etisalat 51% STC 20%

Orange 5% Telenor 43% Telenor 19%

VEON 4% Ooredoo 43% Etisalat 19%

1) Telenor 3% VEON 42% Vodacom 16%

Etisalat -3% Zain 40% Zain 15% 3) 1) Egyptian Pound Vodafone -3% faced considerable STC 39% MTN 8% -50% YoY Currency 3) 1, 4) Ooredoo -3% depreciation vs. USD MTN 38% Vodafone 8% (%, Avg. of period: Q3 1) Millicom -3% 2017 / Q3 2016) Vodacom 37% Ooredoo 6%

3) MTN -5% Millicom 37% VEON 5% 2) Zain -6% Airtel 37% Orange 3%

Airtel -8% Orange 35% Airtel 2% 1) STC -9% Vodafone 32% Millicom 1%

Note 1: Vodafone, Vodacom Revenue growth, EBITDA and Net Profit margin are based on the reported half-year results covering the period of Q2/ Q3 2017 Note 2: Orange Net profit is reported on half year basis and is based on H1 2017 Note 3: MTN Revenue growth, EBITDA and Net Profit margin are based on the reported half-year results covering the period of H1 2017 Note 4: Vodafone reported Net Profit is Vodafone Adjusted Net Profit, i.e. before exceptional items (for example impairments) 10 Source: Company reports, Bloomberg We continue to operate in a dynamic industry with a range of challenges but also opportunities for growth…

Industry Outlook

Macro-Economic Outlook ICT Market Outlook

Country level reforms ongoing across the ICT remains a pivotal element of our OpCo footprint, particularly in KSA as part of the countries’ plans to boost economies National Transformation Plan

Oil price currently high but still subject to risk Rapidly changing consumer behavior, as they albeit countries are in the process of fully embrace digital lifestyles diversifying their economies

FOREX volatility and devaluations driving Increasingly widespread usage of OTT apps uncertainty to access services and content

OTT-based substitution of voice and SMS is Slight slow-down in population growth across putting increased pressure on core telco certain OpCo countries revenue, which remains sizeable

Strong demand for Data, TV and Digital Regional instability driving uncertainty services driving market growth

Source: Emirates NBD Research and Interview, Etisalat 11 …fueled by new technologies and business models that are accelerating the transition into a digital future

Industry Outlook Non-Exhaustive Selected Key Topics affecting the Telco Industry

Internet of Artificial Intelligence Big Data Cyber Security [Every]Thing and Machine Learning Analytics

Next Generation Omni-channel Robotics / Smart Cities / Connectivity Customer Experience Automation Verticals

Cloud Blockchain Entertainment e/m-Commerce Content, and AR/VR

Source: GSMA, Ovum, Analysys Mason, BMI, Huawei, EIU, Pyramid Research, IMF, IDC, Gartner, Etisalat 12 As an industry leader, Etisalat has successfully launched pre- commercial 5G, achieving global speed records

Industry Outlook Non-Exhaustive Selected Key Topics affecting the Telco Industry

Internet of Artificial Intelligence Big Data Cyber Security [Every]Thing and Machine Learning Analytics

Next Generation Omni-channel Robotics / Smart Cities / Connectivity Customer Experience71Gbps Automation Verticals During Gitex October 2017

5G pre-commercial Cloud Blockchain Entertainment e/m-Commerce Content, and AR/VR site Drone 360° Live VR, site operating on C-Band

Source: GSMA, Ovum, Analysys Mason, BMI, Huawei, EIU, Pyramid Research, IMF, IDC, Gartner, Etisalat 13 Our focus on video and content started long time ago stemming from our understanding of its strategic importance

Industry Outlook Non-Exhaustive Selected Key Topics affecting the Telco Industry

Internet of Artificial Intelligence Big Data Cyber Security [Every]Thing and Machine Learning Analytics

Next Generation Omni-channel Robotics / Smart Cities / Connectivity Customer Experience Automation Verticals

Cloud Blockchain Entertainment e/m-Commerce Content, and AR/VR

Source: GSMA, Ovum, Analysys Mason, BMI, Huawei, EIU, Pyramid Research, IMF, IDC, Gartner, Etisalat 14 FCC stands for Fast Channel Change Early entrance, comprehensive offering, and the partnership approach enabled EG to become a leading player in the Pay TV/Content space Industry Outlook Non-Exhaustive Selected Key Topics affecting the Telco Industry

Internet of Artificial Intelligence Big Data Cyber Security [Every]Thing and Machine Learning Analytics

Next Generation Omni-channel Robotics / Smart Cities /

Connectivity Customer Experience Automation Verticals Etisalat E2Eoffering serviceMediaEtisalat

– EG key partners Cloud Blockchain Entertainment e/m-Commerce

Content, and AR/VR

TV/Content TV/Content

Engagement EGsubsidiaries

Source: Etisalat 15 Piloting and trialing futuristic technologies, as in AI and RPAs, for business benefit remains one of Etisalat's strategic imperatives

Industry Outlook Non-Exhaustive Selected Key Topics affecting the Telco Industry

Etisalat has launched a Internet of Artificial Intelligence dedicatedBig Data AI program to testCyber Security [Every]Thing and Machine Learning Analyticspossible use cases of AI for business benefit, e.g. Chabots for enhancing customer interactions

Next Generation Omni-channel Robotics / Smart Cities / Connectivity Customer Experience Automation Verticals

Etisalat has implemented over 70 network and general automated services and robotics that enhanced Cloud compliance, efficiency,Blockchain and Entertainment e/m-Commerce reduced human error Content, and AR/VR

Source: Etisalat 16 Moving forward, we will continue to follow a growth path while focusing on multiple business critical missions

Closing Remarks . Focusing on the implementation of our digital strategy by working closely with all OpCo’s to realize “TARGET”.

. Focusing on nurturing and institutionalizing innovation within the organization’s fabric, while elevating the innovation level in surrounding ecosystem by adopting open innovation.

. Sustaining our technological leadership by adopting, trialing, and rolling out next generation technologies that bring business value and enhance customer interactions.

. Enhancing the bottom line through initiatives that drive group wide synergy and value creation, operational excellence, and cost efficiency, which will support in mitigating the currency exposures in certain markets.

. Continue to invest in our brand, talent and Group Family Culture as key enablers for company growth.

. Portfolio rationalization and optimization will continue to be an area of focus, as we are trying to enhance the relevance and fit of individual investments within the bigger portfolio.

. We will continue to pursue inorganic growth opportunities that meet our investment

criteria. 17 Etisalat Group Capital Markets Day 2018

Group Financial Results

Serkan Okandan Group Chief Financial Officer Etisalat Group Financial Highlights

AED Million Q4 2017 Growth Growth FY2017 Growth YoY% QoQ% YoY% Revenue 13,481 +4% +5% 51,666 -1% EBITDA 6,438 +3% -2% 25,977 -1% EBITDA Margin 48% -1pp -3pp 50% 0pp Net profit 1,969 -12% -35% 8,444 0% Net profit Margin 15% -3pp -18pp 16% 0pp Capex 2,645 -50% +68% 8,040 -24% Capex/Revenue 20% -21pp +7pp 16% -4pp

4Q2017 Highlights FY2017 Highlights

. Revenue growth is attributed to both domestic . Revenue and EBITDA impacted by unfavourable and int’l operations exchange rate movement in Egyptian Pound . Lower EBITDA margin due to change in revenue . Maintained strong EBITDA margin at 50% level mix . Net profit slightly higher impacted by higher . Net profit impacted by higher royalty, taxation share of losses from associate and royalty and minority interest charges . Lower capital expenditure attributed to domestic . Lower capital expenditure attributed to 4G and international operations license acquisition in Egypt prior year 19 Etisalat Group Financial Highlights

Revenue Breakdown FY 2017 (AED m) EBITDA Breakdown FY 2017 (AED m)

25% 25% 8% 5% 5% 4% 51.7 2% 26.0 2% bn bn

60% 64%

UAE MT Pakistan Egypt Others UAE MT Pakistan Egypt Others -1% -1% YoY Growth YoY Growth

UAE +3% UAE +2%

MT Group (LC -1%) 0% MT Group (LC +1%) +3%

Egypt (LC +17%) -38% Egypt (LC +20%) -38%

Pakistan (LC 0%) -1% Pakistan (LC -1%) -1%

20 (1) Financial figures are restated to exclude the impact of discontinued operations Represents others Int’l Operations Financial Highlights FY 2017

Revenue (AED m)/EBITDA (AED m) / Revenue & EBITDA (AED m) / EBITDA Margin (%) EBITDA Margin (%) / YoY Growth %

YoY Growth Growth in FY 2017 45% Maroc Telecom Group in AED MAD

44% 43% Revenue 12,638 0% -1%

6,506 +3 63% EBITDA +1%

21,908 21,470 EBITDA Margin 51% +2pp +2pp 19,977 YoY YoY growth Growth FY 2017 in EGP Etisalat Misr in AED Revenue 2,486 -38% +17% 12% EBITDA 979 -38% +20%

EBITDA Margin 39% 0pp 0pp

9,485 9,409 YoY 9,049 YoY growth Growth in PKR Pakistan FY 2017 in AED Revenue 4,084 -1% 0% 20% EBITDA 1,373 -1% -1%

FY'15 FY'16 FY'17 EBITDA Margin 34% 0pp 0pp

Revenue EBITDA 21 Group Revenue

Revenue (AED m) and YoY growth (%) Sources of Revenue growth – FY’17 vs FY’16 (AED m)

861 36 52,360 52,360 51,666 51,666 1,548 27 16

12,937 12,896 13,481 2% -1% 4% 3% -3%

Q4'16 Q3'17 Q4'17 FY'16 FY'17 FY'16 UAE MT Group Egypt Pakistan Others FY'17 Revenue YoY growth % Highlights Revenue by Cluster (FY’17)

Domestic vs. Int’l International . In FY’17 consolidated revenue decreased Y/Y by 1% attributed to Int’l operations that was impacted by currency depreciation in Egypt . Growth in the UAE mainly due to higher broadband, digital services, handsets and wholesale revenues Egypt MT . Revenues from international consolidated operations declined Int'l 12% UAE Group by 7%, resulting in 39% contribution to Group revenues, 2pp 60% 39% 63% Pakistan lower than prior year mainly attributed to currency 21% devaluation in Egypt Others ― Revenue growth in MT Group mainly from international 4% Others operations and domestic fixed segment 1% ― Revenue growth in Egypt impacted by currency devaluation ― Revenue growth in Pakistan impacted by lower subscriber base, usage and mobile broadband 22 competition faced by EVO product Group EBITDA

EBITDA (AED m) & EBITDA Margin Sources of EBITDA growth – FY’17 vs FY’16 (AED m)

26,283 25,977 330 26,283 217 25,977 590 17 48% 51% 48% 50% 50% 245

6,245 6,588 6,438

Q4'16 Q3'17 Q4'17 FY'15 FY'17 FY'16 UAE MT Group Egypt Pakistan Others FY'17 EBITDA EBITDA Margin

EBITDA by Cluster (FY’17) Highlights

Domestic vs. Int’l International . FY’17 consolidated EBITDA decreased Y/Y by 1% mainly due to currency devaluation in Egypt

. EBITDA in the UAE positively impacted by higher revenue and lower operating costs

Egypt MT . EBITDA of consolidated international operations decreased Int'l 11% UAE Group Y/Y by 4% mainly due to currency devaluation, resulting in 64% 35% 72% Pakistan 35% contribution to Group EBITDA 15%

Others ― Positive contribution from Maroc Telecom Group 2% attributed to international operations Others 1% ― Egypt impacted by currency devaluation and inflationary pressure ― Pakistan impacted by higher interconnection and termination costs 23 Group Capex

CAPEX (AED m) & CAPEX/Revenue Ratio (%) Sources of Capex growth – FY’17 vs FY’16 (AED m)

10,467 10,467 199

41% 8,018 559 64 8,018 2,101 53 5,245 20% 20% 16% 25% 2,645 1,573 15% 15% 12%

Q4'16 Q3'17 Q4'17 FY'16 FY'17 FY'16 UAE MT Group Egypt Pakistan Others FY'17 CAPEX CAPEX/Revenue

CAPEX by Cluster (FY’17) Highlights

Domestic vs. Int’l International . In FY’17 consolidated capex decreased Y/Y by 23% resulting in Capex / Revenue ratio of 16% . Lower capital spend in the UAE focused on network maintenance and modernizaton . Capital expenditure in international operations decreased by Egypt 14% 28% and contributed 62% of consolidated Group Capex Int'l MT UAE 62% Group ― Higher capex in MT Group attributed to 4G+ 38% Pakistan 64% 21% deployment in Morocco and network expansion in Int’l markets Others ― Lower capex in Egypt attributed to acquisition of 4G 1% license in prior year ― Lower capex spend in Pakistan with focus on fixed network modernization 24 Group Balance Sheet & Cash Flows

Balance Sheet (AED m) Dec-16 Dec-17 Investment Grade Credit Ratings

Cash & bank Balances 23,676 27,125

Total Assets 122,521 128,284 AA-/Stable

Total Debt 22,279 24,705

Net Cash / (Debt) 1,398 2,420 Aa3/Stable Total Equity 55,915 57,704

Net cash position (AED m) FY-16 FY-17 Highlights

Operating 18,926 20,306 . Strong liquidity position with record cash balance Investing (9,361) (7,567) . Continued net cash position Financing (7,726) (9,027)

Net change in cash 1,839 3,712 . Higher operating cash flow due to improvements in working

Effect of FX rate changes 355 (288) capital

Reclassified as held for sales 60 25 . Lower investing cash flow due to lower capex Ending cash balance 23,676 27,125 . Higher financing cash flow due to lower net proceeds from borrowings

25 Debt Profile: Diversified debt portfolio

Borrowings by Operation Q4 2017 (AED m) Borrowings by Currency Q4 2017

16,077 USD 28%

MAD 12% 4,392 Euro 2,723 42% 1,514 Others 18%

Group MT Group Egypt Pakistan

Debt by Source Q4 2017 (AED m) Repayment Schedule Q4 2017 (AED m)

7,677 15,529 7,514

4,670 4,844 8,143

481 552

Bonds Bank Vendor Others 1 Yr 2 Yrs 3-5 Yrs Beyond 5 Yrs Borrowings Financing

26 Group Dividends: Proposed dividend for 2017 of 80 fils per share

Cash Dividends (AED m) Dividends Per Share (AED)

6,954 6,954 6,954 0.8 0.8 0.8

3,477 3,477 3,477

3,477 3,477 3,477

2015 2016 2017 2015 2016 2017

Dividend Yield (1) (%) Dividend Payout Ratio (%)

5.1% 4.5% 84.2% 82.6% 82.4% 4.3%

2015 2016 2017 2015 2016 2017

Proposed final dividend of 40 fils per share, bringing the full year dividend to 80 fils per share is subject to the shareholders approval on the AGM scheduled on March 21th, 2018

27 (1) Dividend yield is based on share price as of 24 August 2017 and 19 February 2018 Country by Country Financial Review UAE: Maintained revenue growth with improved profitability

Revenue (AED m) / YoY Growth (%) EBITDA (AED m) / EBITDA %

30,344 31,205 16,326 16,656

54% 54% 53% 14% 51% 51% 3% 3% 5% 3% 8%%

7,874 7,650 8,109 4,011 4,127 4,100

Q4'16 Q3'17 Q4'17 FY'16 FY'17 Q4'16 Q3'17 Q4'17 FY'16 FY'17

Revenue YoY growth % EBITDA EBITDA %

Net Profit (AED m) / Profit Margin (%) CAPEX (AED m) & CAPEX/Revenue Ratio (%)

3,553

7,790 8,154 2,994

26% 26% 26% 24% 24% 1,580 20% 995 1,905 2,018 1,924 12% 10% 317 12% 4%

Q4'16 Q3'17 Q4'17 FY'16 FY'17 Q4'16 Q3'17 Q4'17 FY'16 FY'17

Net Profit Margin % Capex Capex/Revenue

29 UAE: Revenue Breakdown and Key KPIs

Mobile Revenues (1) (AED m) Fixed Revenues (2) (AED m) Other Revenues (3) (AED m)

14,274 10,796 10,935 14,207 6,063 70% 5,274

24% 5% 1,753 3,603 3,520 3,612 4% 2,776 2,698 2,744 1% 1,526 1,432 15% 15% 12% 6% 6% -3% 0% 0% 0% -1% Q4'16 Q3'17 Q4'17 FY'16 FY'17 Q4'16 Q3'17 Q4'17 FY'16 FY'17 Q4'16 Q3'17 Q4'17 FY'16 FY'17

Revenue YoY growth % Revenue YoY growth % Revenue YoY growth %

Mobile Subs(4) (m) & ARPU(5) (AED) Fixed Broadband (6) Subs (m) & ARPU (7) (AED)

108 104 104 507 501 500

0.75 8.49 0.73 0.75 8.53 8.77

0.20 0.21 0.22

2.03 2.06 1.99 0.19 0.16 0.16

Q4'16 Q3'17 Q4'17 Q4'16 Q3'17 Q4'17

Postpaid Prepaid Blended ARPU 1P 2P 3P ARPU

(1) Mobile revenues includes mobile voice, data, rental, outbound roaming, visitor roaming, VAS, and Digital services (2) Fixed revenues includes fixed voice, data, rental, VAS, internet and TV services (3) Others Revenues includes ICT, Managed Services, Wholesale (local and int’l interconnection, transit and others), Handsets and Miscellaneous (4) Mobile subscribers represents active subscriber who has made or received a voice or video call in the preceding 90 days, or has sent an SMS or MMS during that period (5) Mobile ARPU (“Average Revenue Per User”) calculated as total mobile revenue divided by the average mobile subscribers. (6) Fixed broadband subscriber numbers calculated as total of residential DSL (Al-Shamil), corporate DSL (Business One) and E-Life subscribers. 30 (7) ARPL (“Average Revenue Per Line”) calculated as fixed line revenues divided by the average fixed subscribers. Maroc Telecom: Improvement in operating margins and profitability Morocco, Benin, Burkina Faso, CAR, CDI, Gabon, Mali, Mauritania, Niger and Togo

Subscribers (m) Revenue (AED m) / EBITDA Margin CAPEX (AED m) & CAPEX/Revenue Ratio (%)

56.4 57.0 12,602 12,638 3,166 54.0 2,966

34% 33% 49% 52% 49% 50% 51% 28% 24% 25% 1,100 1,023 938 3,015 3,309 3,311 24% 21%

Q4'16 Q3'17 Q4'17 Q4'16 Q3'17 Q4'17 FY'16 FY'17 Q4'16 Q3'17 Q4'17 FY'16 FY'17 Revenue EBITDA % CAPEX CAPEX/Revenue

Revenue Breakdown FY’17 Capex Breakdown FY’17

Domestic vs. Int’l Int’l Domestic vs. Int’l Int’l

Historical New subsidiaries subsidiaries Morocco Int'l 55% New Int'l Historical Morocco 40% 56% subsidiaries 45% subsidiaries 44% 55% 45% 60%

31 Egypt: Launch of 4G services and entrance of 4th mobile operator while Etisalat reinforcing its 2nd position in the market

Total Subscribers (1) (m) Revenue (AED m) / EBITDA Margin CAPEX (AED m) & CAPEX/Revenue Ratio (%)

4,033 2,783 33.9 33.4 34.2 2,214 2,486 307% 45% 38% 39% 39% 35%

682 722 617 752 33% 69% 27% 22% 203 107 14% 14% Q4'16 Q3'17 Q4'17 Q4'16 Q3'17 Q4'17 FY'16 FY'17 Q4'16 Q3'17 Q4'17 FY'16 FY'17

Subscribers Revenue EBITDA % CAPEX CAPEX/Revenue

Highlights USD / EGP FX Rate (EGP) . 4G services launched in September 2018 . Incumbent fixed operator launched mobile services 18.2 17.8

. Y/Y revenue growth impacted by steep currency devaluation 17.9 ― Strong revenue growth Y/Y in local currency 7.8 10.1 — Revenue growth across all segments 7.7 . Maintained EBITDA margin despite inflationary pressure on opex FY'15 FY'16 FY'17 . Excluding 4G license cost from prior year, higher capital spending focusing on 4G deployment Average EoP

32 (1) Subscribers figures are based on Etisalat Group definition Pakistan: Stabilizing revenues with sustained profitability margins

Subscribers (m) Revenue (AED m) / EBITDA Margin CAPEX (AED m) & CAPEX/Revenue Ratio (%)

4,112 4,084 1,089 1,036 21.9 21.6 21.9

41% 41% 32% 34% 32% 34% 34%

406 417 26% 25% 998 1,025 1,010 100

10%

Q4'16 Q3'17 Q4'17 Q4'16 Q3'17 Q4'17 FY'16 FY'17 Q4'16 Q3'17 Q4'17 FY'16 FY'17

Revenue EBITDA % CAPEX CAPEX/Revenue

Revenue Breakdown FY’17 Highlights

. Second consecutive quarter with positive mobile subscriber growth . Slightly lower revenue Y/Y impacted by lower usage and increased mobile broadband competition facing EVO segment

PTCL Ufone . Stable EBITDA margin with focus on optimizing network 58% 42% costs . Lower capex spend focused on fixed network modernization

33 2017 Actual Against Guidance: Met 2017 guidance while over- achieving the revenue guidance for the year

Guidance Guidance Revised Revised Actual Actual 2017 2017 Guidance Guidance 2017 FY 2017 FY 2017 in AED Constant 2017 Constant In AED Constant (1) Financial KPI Currencies (1) in AED Currencies (1) Currencies

Slightly Revenue Growth % 1% - 2% -2.5% to -3.0% +1.5% to +2.0% Lower -1.3% +2.4%

EBITDA Margin% around 50% 50.0% to 51.0% 50.3%

CAPEX / Revenue % 18% - 19% 15.5% - 16.5% 15.5%

(1) Constant currency: Financial results assuming constant foreign currency exchange rates used for translation based on the rates in effect for the comparable prior-year period. In order to compute our constant currency results, we multiple or divide, as appropriate, our current AED results by the current year monthly average foreign exchange rates and then multiply or divide, as appropriate, those amounts by the prior year monthly average foreign exchange rates. 34 2018 Guidance: Continue to invest in technology while protecting operating margins and free cashflow

Actual FY 2017 Guidance 2018 Constant in AED in AED Financial KPI Currencies (1)

Revenue Growth % -1.3% +2.4% Slightly lower

EBITDA Margin% 50.3% 49% - 50%

CAPEX / Revenue % 15.5% 18% - 19%

(1) Constant currency: Financial results assuming constant foreign currency exchange rates used for translation based on the rates in effect for the comparable prior-year period. In order to compute our constant currency results, we multiple or divide, as appropriate, our current AED results by the current year monthly average foreign exchange rates and then multiply or divide, as appropriate, those amounts by the prior year monthly average foreign exchange rates. 35 Q&A

THANK YOU Etisalat Group Capital Markets Day 2018

Etisalat International Business Overview

Hatem Dowidar Chief Executive Officer – Etisalat International Agile portfolio of Int’l investments after further optimization

Etisalat Group International Footprint – Key Developments

Value shares

#1 #2 #3

Etisalat Group Capital increase in Egypt . International Portfolio with presence in 15 countries (outside Afghanistan Morocco UAE); 13 markets Egypt1 Pakistan1 consolidated Saudi Arabia

Mauritania . Focus on in-market Successful Mali Niger turnaround of Burkina scale i.e. #1 or strong Faso Benin New TSSA with Moov OpCos3 Mobily2 #2 in the majority of Cote d’Ivoire Togo Central African markets and in all key Republic Operations Gabon Sri Lanka Reviewing Sri Exited Lanka position/ in- Nigeria market consolidation

(1) Egypt is #2/4 in mobile market and #3/4 considering fixed and wholesale; Pakistan is #2/4 considering total market (2) TSSA stands for Technical Services and Support Agreement 38 (3) Moov OpCos (ex Atlantique Telecom OpCos) are: Cote d’Ivoire, Niger, Togo, Benin, Gabon and CAR International investments are a solid platform for profitable and cash generating growth…

Revenues (2) (AED bn) EBITDA (2) (AED bn, %) OFCF Proxy (2),(3) (AED bn, %)

+3% +3% +4% +5% 23.3 21.9 22.6 +4% +5% Etisalat 9.5 9.8 10.3 International 4.2 4.3 4.5 Consolidated

2015 2016 2017 2015 2016 2017 2015 2016 2017

-3% -1% +12% 36.0 34.9 34.5 +1% Etisalat +43% +14% International 12.3 13.8 13.9 aggregated 5.2 5.9 3.6 perspective1

2015 2016 2017 2015 2016 2017 2015 2016 2017

(1) Including Mobily (KSA), which is an associate but excluding Etisalat Nigeria, Zantel, Canar and Sri Lanka from 2015 onwards (2) The evolution of financial KPIs is made with constant FX, using 2015 rates (3) OFCF proxy defined as EBITDA – CapEx; CapEx excluding the cost of license acquisition 39 … laid on Etisalat operations in 4 sizable markets

2017 ACHIEVEMENTS

Leadership position Profitable challenger

. Revenues: 35.0 bn MAD (-0.8% YoY) . Revenues: 12.1 bn EGP (+16.7% YoY) . EBITDA: 17.2 bn MAD (+1.5% YoY), . EBITDA: 4.7 bn EGP (+19.8% YoY), 49.1% margin 39.2% margin . Net Profit: 5.7 bn MAD (+4.4% . Net Profit: 1.0 bn EGP (Net losses YoY), 16.8% margin #1-2 in 7 out #2/41 (value) in 2016), 8.0% margin 10 markets MT Egypt

Strong challenger, Saudi Arabia Pakistan Incumbent, profitable turnaround in progress integrated player #2/3 (value) #2/41 (value) . Revenues: 117.0 bn PKR . Revenues: 11.4 bn SAR (-0.1% YoY) (-9.7% YoY) . EBITDA: 39.4 bn PRK (-0.7% YoY), . EBITDA: 3.6 bn SAR (-10.4% 33.7% margin YoY), 32.1% margin . Net Profit: 4.3 bn PKR (+167% YoY), . Net Losses: -0.7 bn SAR, -6.2% margin 3.7% margin

(1) Egypt is #2/4 in mobile market and #3/4 considering fixed and wholesale; Pakistan is #2/4 considering total market 40 MT is successfully protecting its leadership position in domestic market and continued growth of AT OpCos

Morocco: undisputed leader MT OpCos: overall solid growth

• Mali Defend leadership in • Mauritania historic subsidiaries, • Burkina Faso operating mostly in mature markets Above 60% value share Intact leadership of • Gabon in mobile market Fixed market • CDI Gain value shares in new • Leading position in a challenging market: • Benin subsidiaries, closing the gap with competitors in − Market slowdown, driven by OTT, and • Togo term of coverage and QoS impacting MT incoming Int’l ICX • Niger − Intense competition • CAR

Despite relevant challenges, leading International operations now contribute position is preserved 45% of MT revenues (43% in 2016)

41 Etisalat Misr took over the #2 position in Egypt mobile market

Mobile Service revenues (LCY)

Delivered best network quality with fast LTE roll-out Etisalat Previous #2

Continue growth after Telecom Egypt entry in rd mobile arena 3 entrant, achieving #2 mobile position

Back to strong levels of profitability after EGP decline in 2016

Etisalat Misr outgrow the market in a very dynamic, eventful year Q3 17 Q4 17 Q1 17 Q2 17 Q3 17

42 In Pakistan, positive developments both in fixed and mobile arms

Fixed Line business Mobile business has recovering  turned around  Transforming PTCL infrastructure to Re-starting growth engine, reaching serve Pakistan appetite for fixed critical scale in subscriber base to stay connectivity with high quality of service relevant in mobile market

Consolidated Net profit margin of PTCL Group more than doubled from 2016 levels

43 Mobily is showing signs of improvement despite a challenging market in Saudi Arabia

Mobily QoQ revenues evolution (%) In a challenging market … - Difficult macro environment - Regulatory evolution: reduction of MTR Mobily and opening access to most of VoIP

… Mobily has taken decisive steps toward operational RISE

New and stronger management team

New Strategy implementation underway

Successful acquisition of additional spectrum Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 Q4 17

44 Overall, Etisalat views the foundation of its International presence and value creation in 4 strongholds

Key players in 4 sizable markets…

. #1 or strong #2 position to Egypt • secure scale

• Saudi Arabia . Towards solid margins of profitability and relevant cash generation • Pakistan . Convergent Ready or • Morocco Moving towards Convergence

… Which represent the engine for Etisalat International growth

45 Guidelines and priorities for portfolio development focused on reinforcing our existing footprint positioning

Etisalat Group M&A Guidelines and priorities Primary Focus

Explore strategic options for current portfolio, including, where required; Optimize − Selective divestments existing − In-market consolidation footprint − Acquisition of licenses and spectrum − Bolt-on acquisitions

Seek . Acquisitions within target geographies opportunistic investments in . Very selective on greenfields (must be sizeable opportunity new adjacent to core operation) geographies

. New business development, strategic partnerships and Joint Enter New Ventures Business with solid potential . Selective acquisitions to accelerate business development in select areas

46 Way forward / Key messages

. International operations are a relevant contributor to Etisalat Group

— Including Mobily, Int’l Operations generate revenues of ~ 10bn USD a year with ~41% EBITDA margin — On consolidated level they represents 39% of Etisalat Group revenues with 45% EBIDTA margin — Int’l portfolio is growing at constant rate, especially cash flow generation

. Strengthened the position in Int’l operations despite several challenges from macro and regulatory environment

— Morocco successfully protecting its leadership position while improving Int’l operations — Etisalat Misr became #2 operator with improved profitability — In Pakistan, improved fixed segment positioning with network transformation program and ignited growth in the mobile operation — In KSA, turnaround in progress to strengthen #2 position; early signs of improvement despite a challenging market . Pursue selective inorganic growth opportunities that reinforce existing footprint

47 Q&A

THANK YOU Etisalat Group Capital Markets Day 2018

Introducing the New Vision and Strategy for Etisalat Group

Khalifa Alshamsi Chief Strategy & Governance Officer – Etisalat Group Agenda

Key External Drivers Summary of New Summary of New and Implications Vision Strategy

• OpCo Country Vision • Context for a new • Overview of five snapshot Group Vision strategic pillars • Industry drivers • Definition of the new • Closing messages Group Vision • International best practices overview • Relationship with OpCo Vision statements

50 Our OpCo countries are introducing transformative plans that leverage ICT to boost economies

Egypt UAE • Vision 2030 plans to transform Egypt • ICT fueled Vision 2021 driving into a competitive, diversified and country ambition knowledge-based economy • Internationally, UAE is ranked 1st in • The Vision heavily leverages ICT as the world in the importance of ICT to an enabler, especially within Health, Government’s Vision Education and Innovation

Pakistan • Vision 2025 is an ICT fueled Vision • It targets Pakistan to become a competitive knowledge-based Morocco economy, by focusing on ICT reforms across multiple sectors • Sectorial strategies have been developed by the government to boost the economy KSA • Such strategies include Vision 2020 • Technology is a cornerstone of Saudi focusing on Tourism and Vison 2030 Vision 2030 and the National focusing on education – that leverage Transformation Plan (NTP) ICT as a strong foundation • Digitization will play a pivotal role in the NTP, especially in manufacturing, healthcare, entertainment and tourism

Source: Press releases and Government websites 51 Within the telco sector, the industry continues to be shaped by four major inter-related forces…

i ii Data driving core growth but Disruption leading to challenged by Data Regulation OTT New new business models growth Ecosystem stringent regulation and OTT–based and increased competition competition

Telco Defining Forces iii iv

Internal digitization transforming Digital adjacencies Telcos’ organizations, set for significant powered by emerging growth technologies Robotics Big IoT Cloud Data AI Security

52 …and accordingly, Global Telcos are adapting their strategic focus areas

Compensate Declining NON Core via Digital EXHAUSTIVE Adjacency Growth 2020 Digital Ambition Innovation Now a €1 billion digital revenue “Must Have” Strategic Imperative Focus on Sustainable Double the % of digital Efficiency revenue (as compared to 2016) Telefonica • Targets being the most efficient operator • Targeting EUR2Bn savings via network modernization • Simplification of: channel structure, IT, Legacy Networks Rebalancing of tariffs and a shift to converged lifestyle bundles Shifting from discrete connectivity Agile organization & processes to end-to-end managed services Digital talent and culture Global Telcos’ Revamping customer experiences Virtualized Network and IT Strategic with an omni-channel focus Evolve technology, e.g. 4G, 5G, FTTx Focus Areas Repositioning of the Core Value Step Change in Capability Proposition Building Across Hard & Soft assets

Source: Etisalat, Operator Annual Reports, Press Releases 53 All Etisalat Group OpCo markets are evolving, albeit at different trajectories, towards a digital future

Digital Evolution Index (2017) vs Rate of change in Digital Evolution Index (2008-2015) 79 –

74 –

69 –

64 – UAE

59 – KSA 54 –

49 –

Digital Evolution Index (2017) 44 – Morocco 39 –

34 – Egypt Pakistan

29 – Slow moving Steadily advancing Rapidly advancing

Digital Evolution Index rate of change (2008 - 2015)

Source: Digital Evolution Index 2017, The Fletcher School at Tufts University and Mastercard, Etisalat 54 Consequently, we have adopted a bold new vision for Etisalat Group, which is highly aspirational and has a digital focus

Old Vision New Vision

“To be the leading and most admired emerging markets telecom group”

55 This new vision addresses the future of the industry, our winning role and our value add…

• Our vision for the future is for everyone and everything to be seamlessly connected, benefiting from tailored digital solutions delivered via a world- Envisioned class digital experience Future i.e. a “Digital Future” • In this Digital Future, the core remains relevant but challenged, it will open up new possibilities and also create new business models

• Etisalat has to be proactive to retain a leading role over the evolving ecosystem along with enriching customer relationships Winning • Therefore, Etisalat has to “Drive” the evolution of the ecosystem through Role transforming and expanding its core business, diversifying its portfolio, enriching capabilities and driving innovation balanced with world-class efficiency

Value • Consequently, Etisalat will “Empower Societies” thus enabling Add everyone to fully maximize their true potential in the digital future

56 …and will inspire and accelerate our OpCos that have telco- focused visions to a telco+digital positioning

To be the best cellular option for U

To be the leading and most admired Become the brand Telecom and ICT of choice in the provider in and for Egyptian telecom Pakistan market

Egypt

To be one of the most admired Saudi To be the major telecom companies, creating player in Africa superior value for our stakeholders

57 To realize the new vision, Etisalat Group has introduced a new Strategy structured around five pillars

• Transform Operating Companies into Strongholds

• Expand portfolio in MENA and Knowledge Economies

• Grow B2B/Digital across the footprint

• Raise capabilities and develop talent across the Group

• Accelerate value generation through innovation and digitization

Source: Etisalat 58 Transform OpCos into Strongholds: Etisalat provides both Transformational and Group support

Etisalat intervention in Must-win battles through:

Transformational Support Group Support

• Network & IT excellence • Strategy execution management • Commercial/Marketing revamp • Access to Etisalat centers of Protect • Digital capabilities uplift excellence (e.g. Cloud factory, Active and • Regulatory agenda management sharing, Digital capabilities, HR, sustain • etc. Procurement and C&W…) stronghold status

• Commercial/ Marketing Misr excellence • Customer experience uplift • Regulatory agenda management • Focused Commercial/ Transform • etc. Marketing excellence into • Network excellence stronghold • etc. status SELECTED EXAMPLES

Source: Etisalat 59 Transform OpCos into Strongholds: A key focus area of Group support being centered on Customer Experience uplift

Customer Experience Uplift Areas of Focus

Optimize Traditional Increase Digital Enhance Service Develop Talent Channels Channel Penetration Design Approach

• Improving efficiency • Launched Self- • Transition to End-to- • Staff recruited with and experience of Service Kiosks End Journey led the required new contact centers by design approach skills • Increased use of integrating AI Social media as a • A range of projects • Enhanced training to • Contact center and support channel launched with new develop staff in both back office workflow digital design traditional and digital • Website redesign automation and methodology skills domains simplification • Expansion of EPMs1 • Consistent and regular • Agents with network and • Enhanced visibility of measurement of end- retention skills continuous push for billing by providing to-end Customer recognized, the use of digital real-time usage data Experience compensated and channels for bill promoted • Optimization of payments/recharges customer centers across footprint

1. EPM=Electronic payment machines 60 Expand portfolio in MENA and Knowledge Economies: Target inorganic growth opportunities

Target inorganic growth opportunities through majority control of well-positioned operators within target geographies, and continue to

explore opportunities to optimize portfolio in order to balance Thesis

Investment Investment growth and shareholder returns

Middle East Africa Asia Europe Target Geographies Target

61 Grow B2B/Digital across the footprint: Across our footprint, the Digital sector offers huge growth opportunities

Digital Market Opportunity Size Across OpCo Countries

70 Bubble size represents size of digital market addressable by Telco in 2017 (USD Millions)

3,055

60 3,055 4,222

50 Addressable market in 2017 across the footprint = ~USD 8 billion Double digit growth rate for the period 2017-2021

422

40 Digital Evolution Index (2017) Index Evolution Digital

131 264 30 7% 8% 9% 10% 11% 12% 13% Digital opportunity growth rate (2017-2021)

Source: Etisalat analysis based on IDC and Digital Evolution Index 62 Grow B2B/Digital across the footprint: We have clearly defined areas of Group support to maximize the Digital opportunity

Scope of B2B/Digital Uplift Areas

Support Go-to-Market Support OpCos in Enrich B2B/Digital Uplift B2B/Digital- & Delivery for Driving National Services Portfolio related Capabilities Megaprojects Digital Agendas

Share Best Practices and Knowledge

Provide Consultancy and Professional Services Support

Extend Etisalat Group Digital Platforms and Services

Provide PMO Support

63 Grow B2B/Digital across the footprint: Specifically, Etisalat Group is extending customized support across our footprint

PTCL Etisalat Misr • Digital Security • Digital Security • Managed services • Megaproject support • Knowledge sharing – IOT, Cloud, • Data Centres Security, Data Centers, Verticals, • Smart Cities Digital Payments and A2P

Maroc Telecom Mobily • Video Surveillance • Support on Healthcare sector • Digital Security • Managed services • IoT Strategy • IOT • Smart Cities

64 Raise capabilities and develop talent across the Group: HR Strategy focuses on three key pillars

Talent & Culture Strategy to Ensure Execution Capability is in Place

Strategic Frameworks 1 2 3 Rich Talent Culture & Collaboration for Building Acquisition Talent

Global Leadership Competency Talent Acquisition for Engagement Framework Critical Positions Survey Aligned with Strategy

Succession Management Assessments Framework HR Collaboration Framework for Critical for Talent Acquisition & Positions Development

Etisalat Skills Inventory Model to Core Values Leverage Talent Data

65 Accelerate value generation through innovation and digitization: Focus is on readiness and innovation toolkit expansion

1 2 3 The Imperative? Where to Play? How to win?

• Accelerate Etisalat • Priority areas to be agreed Be Ready: Prepare to Group’s Innovation in line with four principles: innovate Journey…

i • …with strategic Ensure Relevance objectives of: Learn & Act: Adopt open 1. Revenue uplift ii Prioritize plays innovation 2. Customer experience enhancement iii Value accretive 3. Efficiency Share: Collaborate with optimization iv Balanced Risk profile OpCos to uplift innovation

66 Accelerate value generation through innovation and digitization: Internal digitization leveraged to transform organizations

Drivers for Digitization Scope of Digitization

Business Improve agility and time Network and IT Systems to market Processes

Improve customer Customer Journeys/ Culture and experience Interactions Talent

Improve efficiency Toolkit for Digitization

Artificial Big Data and Revamped Full Intelligence Virtualization Uplift revenue Analytics IT stack Use Cases

Agile Working Automation Training and Digital Informed Decision-Making Methods e.g. and Robotics learning Workspaces DevOps

67 Accelerate value generation through innovation and digitization: With specific internal digitization initiatives underway

NON EXHAUSTIVE

Network Modernization: Continued roll-out of our NFV and SDN plans

Future Networks: Preparation for 5G (three main use cases: eMBB, mMTC and URLLC), focused roll-out of NB-IOT, video delivery optimization etc.

Big Data : Multiple use cases centered on e.g. real time applications (location based, event based campaigns) and analytics (e.g. fraud detection, cost optimization, segmentation)

AI: Multiple use cases centered on e.g. Consumer Cognitive Automation (Chatbot) and Business Cognitive Automation

Robotics Process Automation: Focus on processes across multiple domains, including: contact center, network, B2B and sales

Digital Talent: Focus on both development and acquisition of digital talent in key areas e.g. Big Data, AI, service design, virtualization etc.

Source: Etisalat; eMBB = enhanced Mobile Broadband, mMTC = massive Machine Type Communications, URLLC Ultra-Reliable and Low Latency Communications) 68 “TARGET” unites both our vision and strategic pillars whilst conveying a clear sense of direction and focus

To Drive the Digital Future to Empower Societies

Accelerate value generation through innovation and digitization

Raise capabilities and develop talent across the Group

Grow B2B/Digital across the footprint

Expand portfolio in MENA and Knowledge Economies

Transform Operating Companies into Strongholds

69 Closing messages

1 Etisalat Group continues to deliver industry leading financial results

Data and digital adjacencies are driving growth, however, hyper competition and 2 digital disruption need to be managed

In line with market evolution, Etisalat has a set a bold, new vision: 3 “Drive the Digital Future to Empower Societies”

To realize the new vision, Etisalat Group has introduced a new Strategy 4 structured around five pillars

“TARGET” unites both our vision and strategic pillars whilst conveying a clear 5 sense of direction and focus

70 Q&A

THANK YOU Etisalat Group Capital Markets Day 2018

Etisalat UAE Consumer Overview

Khaled Elkhouly Chief Consumer Officer – Etisalat UAE Key Highlights FY2017

Financial Strategic

• Strong +2.8% YoY revenue growth • Etisalat recognized as the most valuable brand in the region by Brand Finance – Fifth consecutive year of topline growth with 2013-17 CAGR of 6.0% • Strong subscriber growth in both Mobile (+3% YoY) and eLife (+5% YoY) • Reinforcement of Etisalat’s value share, which has consistently increased YoY, reaching 70.6% • Continued monetization of our network in 2017 investments in both LTE (via the launch of prepaid combos, data promotions, etc.) and FTTH • EBITDA margin at 53.4%, one of the highest in (i.e. push towards higher speed and better the industry content packages) • Launch of swyp to cater to the needs of the • Healthy +4.7% YoY growth in Net Profit with Youth segment and Smiles platform to increase increase of the profit margin to 26.1% customer engagement

• Strong delivery of cash-flow (+7.0% YoY) • Completion of rollout of another 16 Smart stores confirms healthy ROI on FTTH, LTE and ICT in 2017, reaching in total 119 across UAE investments • Digital and Customer Experience transformation efforts are paying results, with measurable improvements in customer satisfaction and reduced cost to serve

Source: xxx 73 Business Review – Financial Overview

Revenue EBITDA & EBITDA Margin (AED m) (AED m, % of Revenues)

+2.8% +2.0%

30,344 31,205 16,326 16,656

53.8% 53.4%

2016 2017 2016 2017

Profit & Profit Margin FCF & FCF Margin (AED m, % of Revenues) (AED m, % of Revenues)

+4.7% +7.0%

7,790 8,154 12,773 13,662

25.7% 26.1% 42.1% 43.8%

2016 2017 2016 2017

Note: Free cash Flow represents EBITDA less Capex 74 Despite the challenging macroeconomic context, our topline grew by 2.8% and we continued to strengthen our value share

Etisalat UAE Revenues UAE Market Revenues (AED billion) (AED billion)

+0.9 +1.1 +1.6 +2.0 (+2.8%) (+2.6%) (+5.5%) (+4.8%) 31.2 44.2 30.3 43.1 28.8 41.1

2015 2016 2017 2015 2016 2017

Source: Operators’ Quarter Results 75 Solid subscriber growth in Mobile (+3% YoY growth) with Etisalat reinforcing its leadership in the market

Etisalat UAE Mobile Subscribers Performance Highlights (millions)

. Solid mobile subscriber growth (+3% YoY), despite +0.4 the weaker macroeconomic scenario, increased (+3%) competition from new brands, and regulatory 10.8 obligations (i.e. mobile re-registration) . Strong leadership in MNP, with Etisalat capturing more subscribers than competition

10.4 Strategic Priorities

. Drive data monetization with innovative data offers and neutralize the impact from OTT by pushing bundles/combos and monetizing the access . Continue to leverage on segmented approaches, to capture incremental growth while minimizing price erosion, and ensure optimal value vs. volume balance . Continue to drive the Customer Experience and Digital as key competitive advantages 2016 2017

76 Likewise, strong growth in Home segment, with +5% YoY growth of eLife base and reinforced market leadership

Etisalat UAE eLife Subscribers Performance Highlights (thousands)

. eLife base has reached and surpassed for the first 44 time the 1.0 million subscribers, placing Etisalat as (+5%) the global leader in FTTH 1,001 . Push of top-tier bundles (more speed and content) is driving positive ARPU development and increased product stickiness

957 Strategic Priorities

. Continue to monetize connectivity and network, by pushing high-speed and content-rich bundles, via several marketing campaigns throughout the year . Expand the competitive advantage around content, user interface and overall experience, in order to minimize market share and price risk . Continue to drive the Customer Experience and Digital as key competitive advantages

2016 2017

77 Our leadership and strong market presence led to Etisalat been recognized as the most valuable brand in the region

Source: Brand Finance 2018 Report 78 In line with our segmented market approach and Digital strategy, we’ve launched swyp, a digital-first proposition

Highlights

. swyp is our new brand to target exclusively 15-29 year olds . swyp is a digital-first proposition, co-designed with the target segment . As a result, we have a data rich proposition (mobile data bundles and free Wi-Fi), that also includes non-telecom benefits and perks for a greater differentiation vs. competition . Being restricted to 15-29 year olds, the experience and communication is mostly digital, fitting the target audience

79 swyp follows our brand segmentation strategy, and should support share gains in the youth sub-segment

80 Monetizing data traffic growth (+45% YoY) continues to be a priority in order to ensure adequate ROI of our LTE investments

Data as % of Mobile Revenue Commercial Highlights

+3 p.p.

2016 2017

Mobile Data Traffic

+45%

75% 4G 65% 3G 35% 25% Q4’16 Q4’17

81 Similar efforts on FTTH monetization, with strong focus on monetizing higher speeds and TV content

% of High-End 3P Bundles Commercial Highlights (% of Gross Adds)

+7 p.p.

2016 2017

% of customers with ≥10 Mbps (% of customers)

+9 p.p.

2016 2017

82 On TV, our positioning was significantly enhanced thanks to exclusive deals and partnerships with FOX, MBC and Starz Play

Commercial Highlights

83 As the operator of choice for smart devices in UAE, we expanded our portfolio to increase our revenue resilience

Commercial Highlights

84 We launched a new digitally centric engagement platform, Smiles, which is showing strong uptake and satisfaction

500,000+ active users

460,000+ purchases

50,000+ daily users

4.1-4.5 app rating1

200+ partners

1,500+ outlets

Note: Smiles launched in May’17; figures are updated till Dec’17 85 In the CEX front, we revamped the UI for the major touch-points to better meet consumer needs and achieve efficiencies

Mobile App Website EPMs

86 We continued to revamp our retail experience by rolling out 16 new smart stores to better meet customer expectations

Ajman City Center Riverland, Dubai Parks & Resorts

87 Our Customer Experience transformation is delivering strong improvements, and driving efficiencies in the cost to serve

Store Waiting Time Customer Care Calls (minutes) (millions)

-25% -15%

2016 2017 2016 2017

88 ... as well as relevant improvements in Customer satisfaction and loyalty, as measured by TRIM

TRIM Score (index)

+8% +19%

2015 2016 2017

89 In summary…

• Positive +2.8% YoY top-line growth of Net Revenues, resulting in the 5th consecutive year of growth in our turnaround story

• Etisalat was recently recognized as the most valuable brand in the region, continuing to expand its customer based (+3% YoY on mobile, +5% YoY on eLife) and reinforcing its market share

• Data monetization efforts continue to deliver good results in both mobile and fixed, ensuring an adequate ROI for the investments on LTE and FTTH

• Following the strategy to better segment our market and rise customer engagement, we have launched swyp (a “digital first” brand to cater for the needs and wants of the youth segment) and Smiles, a new digitally centric engagement platform, which is showing strong uptake and satisfaction

• Digital and Customer Experience transformation continues to deliver measurable impact, with improvements on the cost to serve, and most importantly on the Customer satisfaction and loyalty ratings

90 Q&A

THANK YOU Etisalat Group Capital Markets Day 2018

Etisalat UAE Business Overview

Salvador Anglada Chief Business Officer – Etisalat UAE Different elements continue influencing the UAE economy although we expect steady recovery in 2018

93 We have continued reinforcing our capabilities to become a digital telco

94 Our vision and strategy evolve to be the ‘digital solutions platform’ for our customers

95 In mobile we are differentiating through propositions that provide great experience and control

96 SMB segment is transforming to become the platform for communications and digital services

97 SMB Hello Business Hub is the first true one-stop-shop to set up new businesses in the UAE

98 We are extending and virtualizing Etisalat managed connectivity proposition as an engine of additional growth

99 Etisalat continues investing to become the ‘Global Services’ regional leader

100 Etisalat Digital has been rolled out and is the engine of Etisalat business unit growth

101 Concluded a strategic partnership with Microsoft to create the first hyper-scale public cloud in the Middle East and Africa

102 We continue creating important references in different verticals that will be replicated in the future

103 Work is underway to deliver Expo2020 Dubai the fastest, smartest and best connected places in the world

104 Etisalat is embracing open innovation to accelerate digital transformation and growth

105 Conclusions

 We will continue in our transformation towards a digital telco

 Our core business will further expand through innovative mobile propositions and end-to-end managed services

 SMB segment has the potential to grow through bundling of telecom services and digital solutions

 Etisalat Digital will remain to be the source of growth with potential to expand outside the UAE

 Open innovation will allow us to accelerate the launch of new services and solutions

106 Q&A

THANK YOU Etisalat Group Capital Markets Day 2018

PTCL Group Operations

Dr. Daniel Ritz Chief Executive Officer – PTCL Group Key Highlights FY2017

Stable PTCL PTCL: Financial consolidated PTCL consolidated Corporate Dividend of (PKR) net profit DSL revenue revenue 117 B revenue 5 B (Yield +168% +4% & EBITDA 40 B +11% 7,7%)

PTCL: • Major network transformation for high speed data and growth in DSL, 31 exchanges completed out of 100. • Launch of LTE services in AJK, Baluchistan, KPK and central Punjab. • Launch of cloud based services in June 2017 and added 39 new customers and new ICT partnerships – Microsoft, Oracle, Etisalat, Dell EMC Ufone: Strategic • Stabilizing market share. • Price rationalization to support revenue growth. • Cost leadership.

PTCL Group: • Group synergies worth PKR 2.5 B achieved • Integration of Finance and Procurement functions • 137% growth in Ubank revenue

2016 profits included VSS (net of tax) PKR 3.2 B www.ptcl.com.pk 1091 Presentation Overview

1 Overview of the Operating Environment

2 Key operational and financial highlights of 2017

3 Management focus during 2017 / Key developments

4 Strategic priorities/Way forward

www.ptcl.com.pk 1102 Country highlights

• 6th most populous country 207 Mn with annual Growth rate of 2,4% • Urban population is 75 Mn which is 36% of total population. • ~51% population is <24 years of age which is positive for uptake of data.

• GDP of 304 B with growth ~ 5,3% which is highest during last 10 years • Inflation CPI at 4,1% • CPEC mega project of US$46 billion – will provide major support for development of infrastructure in coming years • Aggressive infrastructure development by the government • Pak rupee devalued against USD in Dec 17 ~ 4,7%

• Penetration: Cellular 71%, 3G/4G 24%, Fixed Broadband 8,8% • 3rd LTE license auction of 1800 MHz won by Jazz @ USD 295 M (+ tax 29.5 M USD) • GST @ 19,5% was imposed on Data services in Punjab.

Source: Economic Survey of Pakistan 2016-17 & PTA website www.ptcl.com.pk 1113 Telco market overview

Total market value 469 PKR b

2017: Overall Market Value ~ PKR 469bn Market map 2017 by competitor (PKR b)

60 355 53 121 155 103 71 19

Voice 36% 55% PTCL 67% 70

Non-Voice + 64% Ufone 45%

33% 51 Other Fixed Mobile Wholesale PTCL Group Jazz / Warid Telenor Zong

+Includes dongles revenue

Source: PTA, Financial statements, Management Estimates www.ptcl.com.pk 1124 PTCL Group - a strong full service provider

• Strong # 2 by revenue Market • #1 in Fixed Positioning • #4 in Mobile • Only player with Fixed and Mobile

• Largest fiber footprint in Pakistan > 38,000 KM of Fiber Fixed • Market leader with 89% value share in fixed broadband • Broadband customers:1,9 Mn • Market leader in Corporate & C&WS

• 18,5 Mn cellular subscribers Mobile • More than 8,000 mobile towers • 2nd in TRI*M results.

• Enables the mobile financial services business of the group Microfinance • Profitable and well positioned to tap into the nascent E-Commerce market Bank • 33% increase in number of branches during the year (Total branches are 100) • 91 % increase in advances to customers.

www.ptcl.com.pk 1135 Presentation Overview

1 Overview of the Operating Environment

2 Key operational and financial highlights of 2017

3 Management focus during 2017 / Key developments

4 Strategic priorities/Way forward

www.ptcl.com.pk 1146 PTCL Group - Key financial highlights 2017

Revenue / Revenue Growth (%) EBITDA / EBITDA Margin (%) (Pkr b) (Pkr b) 34% 34% 0%

117 117 40 39

2016 2017 2016 2017 Net Profit /Profit Margin (%) Free Cash flow & FCF/Revenue (%) (Pkr b) (Pkr b) +168% +11%

4 8% 7%

4% 2 9 10 1%

2016 2017 2016 2017

www.ptcl.com.pk 1157 PTCL - Key financial highlights 2017

Revenue / Revenue Growth (%) EBITDA / EBITDA Margin (%) (Pkr b) (Pkr b)

-2% 33% 33%

71 70 24 23

2016 2017 2016 2017 Net Profit /Profit Margin (%) Free Cash flow & FCF/Revenue (%) (Pkr b) (Pkr b) -52% 12% 13% 10%

6% 8 9 7 4

2016 2017 2016 2017

www.ptcl.com.pk 1168 Source: Consolidated accounts PTCL: 70% of revenue base showing growth.

70% % of Revenue

30 26.3

(%) (%) 15 11.0 8.1 5.3 2016 2016 4.1 0.4

vs vs 0 2017 2017

-10.1 -15

-20.1

-30 Revenue GrowthRevenue

-45 -44.7 Charji Corp IBR C&WS DSL IPTV Voice C&WS EVO Others M2F

% of Capex 6.5 7.8 4.2 8.6 59.2 4 8.2 0.6 1

www.ptcl.com.pk 1179 PTCL - Key operational highlights 2017

Subs – DSL (K) ARPU – DSL (PKR)

+3% +7%

1,358 1,404 1,388 1,486

2016 2017 2016 2017

Subs – Charji (K) ARPU – Charji (PKR)

+49% +1%

142 1,018 1,027 95

2016 2017 2016 2017

www.ptcl.com.pk 10118 Ufone - Key financial highlights 2017

Revenue / Revenue Growth (%) EBITDA / EBITDA Margin (%) (Pkr b) (Pkr b)

-1% 31% 32%

51 51 16 16

2016 2017 2016 2017 Net Profit /Profit Margin (%) Free Cash flow & FCF/Revenue (%) (Pkr b) (Pkr b) 10%

5 -8% -2% -10% -4 -5 -1 2016 2017 2016 2017

www.ptcl.com.pk 11119 Source: Consolidated accounts Ufone - Key operational highlights 2017

Subs – Ufone (M) ARPU – Ufone (PKR)

+2% +2%

19 19 231 235

2016 2017 2016 2017

www.ptcl.com.pk 12120 Ufone: Improved quarter-on-quarter revenue

Quarterly Revenue Quarterly Net (Billion PKR) (Thousand Additions Customers) -2.7% -1.3% -1.5% 3.4% -113% 93% 111% 224%

888 13.1 484 13.0 12.9 12.8 12.8 92 12.6 12.5 12.5 -111 -72 -390

-863 -987

Q1 Q2 Q3 Q4

2017 2016

Q1 Q2 Q3 Q4

2017 2016

www.ptcl.com.pk 13121 Presentation Overview

1 Overview of the Operating Environment

2 Key operational and financial highlights of 2017

3 Management focus during 2017 / Key developments

4 Strategic priorities/Way forward

www.ptcl.com.pk 14122 PTCL - Network Transformation Project

Increase the revenue and improve customer experience for Broadband Objective services

Top 100 Exchanges Rest of Pakistan Strategy Protect & Grow Grow and maintain

Top 100 Exchanges targeting 51% of DSL base and 54% of DSL revenue. Scope Targeted QoS improvement in Rest of Pakistan

Enable minimum 8 ~ 20Mbps reliable high speed Internet. Specifications Selected customers can have up to 50Mbps Deploy FTTH in selected areas of the exchanges FTTH will give speed up to 100 Mbps Increase Increase Improve Reduce Reduce Gross KPIs Revenue ARPU Churn Complaints Adds

www.ptcl.com.pk 15123 NTP 100 Exchanges - all over Pakistan

Peshawar NTR - 1 – North Zone 06 NTP Exchanges

Sialkot Islamabad GTR – Central ITR – North Zone Zone 13 NTP Exchanges 03 NTP Exchanges Gujranwala GTR – Central Zone 09 NTP Exchanges Quetta Lahore QTR – South Zone LTR – Central Zone 03 NTP Exchanges 27 NTP Exchanges Faisalabad FTR – Central Zone Multan 07 NTP Exchanges MTR – Central Zone Bahawalpur04 NTP Exchanges MTR – Central Zone 01 NTP Exchange

Karachi Hyderabad KTR – South Zone HYTR – South Zone 24 NTP Exchanges 03 NTP Exchanges

www.ptcl.com.pk 16124 Reducing Loop Lengths, increasing Speeds

www.ptcl.com.pk 17125 NTP driving strong revenue growth

Monthly Revenues growing compared to all benchmarks

Pre vs. Post Transformed vs. Cohort Gulgasht Exchange

+9% +9% +5% +28% 458 458 14 419 399 418 419 11

Mar-17 Dec-17 Cohort Transformed Mar-17 Dec-17

Pre Transformation Post Transformation Mar-17 Dec-17 Pre Transformation Post Transformation

31 Exchanges progress of March Cohort is of 43 exchanges other - MTR – Central Zone compared with December. than NTP to match the base and - Base: 7,184 monthly revenue - Transformed Month: May - 2017

www.ptcl.com.pk 18126 Key Highlights of Ufone Turnaround 2017

Infrastructure Distribution Commercial

Strengthening of BVS footprint increased Smart price ups helped network via U900 in by 28% improve the ARPU major metros; increasing slightly: Super Card, 3G footprint by ~29% Relationship PAYG packages strengthening with ‘high 422 new coverage sites footfall’ retailers Simplification of product (164 for HVC, 90 for 3G portfolio: closure of 32 coverage in high revenue areas, 168 in USF area) ~66% higher sales in products Q4’17 vs Q4’16 Largest recipient of USF Building on brand funds, for under served ~28% increase in High communication of areas; winning 64% bids Value Sales in Q4’17 vs ‘Convenience’ worth ~USD 72 ‘Mn Q4’16

Opex saving of ~USD 13.5 achieved during the year

www.ptcl.com.pk 19127 Ufone’s ‘Win SIM Share’ strategy has laid the foundation of growth in FY 2018

Avg. Monthly Gross Adds Avg. Monthly Net Adds Blended ARPU (‘K) (‘K) (Pkr/Month)

80% 161 2% 563 235 231

312 Q4'16 Q4'17

(130)

Q4'16 Q4'17 2016 2017

www.ptcl.com.pk 20128 TRI*M scores were also maintained, despite limited coverage and spectrum

TRI*M Ranking 2 2 1 4

62 63 65

58 58 58 56 58 58 55 55 56

17

17

17

17

17

17

Oct Oct

Oct 17 Oct

Nov Nov Dec

Oct 17 Oct

Nov 17 Nov 17 Dec

Oct Oct

Nov 17 Nov Dec

Nov Nov 17 Dec

Ufone Competitor A Competitor B Competitor C

Source: TRI*M Index by KANTAR MRB www.ptcl.com.pk 21129 Presentation Overview

1 Overview of the Operating Environment

2 Key operational and financial highlights of 2017

3 Management focus during 2017 / Key developments

4 Strategic priorities/Way forward

www.ptcl.com.pk 22130 Strategic priorities / Way forward

Theme Description

. Grow Consumer Broadband business aggressively (Fixed and Fixed wireless) . Deliver network transformation and LTE migration, drive FTTH deployment PTCL . Grow ICT business aggressively, leverage partnerships . Capitalize on tower fiberisation opportunity, maintain IP Bandwidth market leadership

. Increase subscriber market share to improve top line Ufone . Secure additional spectrum, while re-farming existing spectrum resources . Maintain cost leadership.

. Capturing the untapped opportunities in the attractive Microfinance Market Ubank . Regaining ground on the branchless banking business . Increased contribution to Group profitability

. Drive cross selling and bundling opportunities Group . Extract operational synergies between group companies

www.ptcl.com.pk 23131 Q&A

THANK YOU Etisalat Group Capital Markets Day 2018

Mobily Operations

Ahmed A. Aboudoma Chief Executive Officer - Etihad Etisalat (Mobily) Challenging macroeconomics environment

• Saudi Arabia partially removed the subsidies from certain utilities weighing on consumer purchase power.

• Fees on expat and dependents have been applied since July 2017, starting with 100 SAR per month per dependent creating pressure on expat population. Macro Environment • To reduce the impact of the removed of the subsidies, Saudi Gov. deposited 2 BSAR into the accounts of subscribed eligible citizens, the Gov. have allocated in its 2018 budget 32 BSAR to be spent for the Citizen’s Account.

• VAT is imposed on a wide range of goods and services in Saudi Arabia starting January 1, 2018.

134 Investor Relations – Capital Market Day Large telecom market

• KSA is the largest telecom market in the Middle-East (~US$18 Mds)

• 3 players market and 3 MVNOs

Telecom • Young population with high percentage level of smart segment Market • Large expats population (~30%)

• High level of penetration ~136% but recently affected with a loss of 34 pts of penetration due to the fingerprint registration process implementation.

135 Investor Relations – Capital Market Day 2017 in Mobily

• Focus in 2017 was to rebuild Mobily foundations: • Analyzing legacy issues • The approach was to fix root causes rather than scratching the surface • Starting to devise a new strategy fitting the company abilities • Rolling out the implementation of the new strategy

• Keeping an eye on the operational performance while fixing the basics… • Commercial performance improvement • Financial stabilization and early signs of growth

• …and even over performing the market • Top line growth • Revenues share

• Within a very challenging regulatory environment

136 Investor Relations – Capital Market Day 2017 at glance: fixing the root cause rather than scratching the surface… SELECTION • New vision & brand positioning Strategy • Launched CEX & digital transformation program • Built new capabilities (analytic & research)

• Defined new organization and governance (incl. leadership HR assessment) • Refining the HR framework (retain and attract talent) • Enhance quality of execution and culture mindset • Revamp product portfolio • Refocus on BU Commercial • Developed a new sales operating model • Improved the customer care support

• IT transformation Technology • Network modernization under-way and successful spectrum acquisition

• Refinancing Finance • Cost optimization

137 Investor Relations – Capital Market Day … Meanwhile not loosing focus on operational performance…

138 Investor Relations – Capital Market Day High Level FY 2017 Results 1/2

-12.9% -9.7% In SAR mn

14,424 12,569 11,351 Revenues

FY-2015 FY-2016 FY-2017

39.6% -10.4%

4,069 3,646 2,914

EBITDA & 32% 32% EBITDA margin 20% FY-2015 FY-2016 FY-2017 EBITDA Margin -7.8% -29.4%

3,485 3,212 26% 2,268 24% Capex & Capex to Sales 20%

FY-2015 FY-2016 FY-2017 Capex to Sales

Source: Mobily financials 139 Investor Relations – Capital Market Day High Level FY 2017 Results 2/2

257.8% 60.8% In SAR mn SAR 521mn 1,378 857 Operational Cash Flow (543) FY-2015 FY-2016 FY-2017

-2.1% -9.3%

SAR (1.3)bn 14,275 13,993 Net Debt & 12,687 Net Debt/ 3.4x 3.4x EBITDA 3.5x

FY-2015 FY-2016 FY-2017 Net Debt/EBITDA

FY-2015 FY-2016 FY-2017

Net Income (214) (709) (1,093)

Source: Mobily financials 140 Investor Relations – Capital Market Day Financial stabilization in 2017 Strong H-o-H improvement

In SAR mn -13.2% -1.5% 6,729 5,840 5,719 5,633 Revenues

H1 2016 H2 2016 H1 2017 H2 2017

-21.5% ~0% 2,246 1,764 1,832 1,814 EBITDA

H1 2016 H2 2016 H1 2017 H2 2017

-780% ~0%

35

Net Income H1 2016 H2 2016 H1 2017 H2 2017

-238 -353 -356 Source: Mobily financials 141 Investor Relations – Capital Market Day For the first time since 2015, growth of Top Line and continuation of EBITDA growth in Q4 In SAR mn -1.5% -0.4% -1.7% +0.7%

2908 2,865 2,854 2,806 2,827 Revenues

Q4-2016 Q1-2017 Q2-2017 Q3-2017 Q4-2017

-2.3% -3.4% +0.3% +0.8%

954 932 900 903 911 EBITDA

Q4-2016 Q1-2017 Q2-2017 Q3-2017 Q4-2017

-129% -16.5% +8.4% -4.5%

Net Income (71)

(163) (190) (174) (182)

Q4-2016 Q1-2017 Q2-2017 Q3-2017 Q4-2017 Source: Mobily financials 142 Investor Relations – Capital Market Day 2017 vs. 2016 Q-o-Q Revenues Performance Y-o-Y performance is steadily improving

Revenues Q-o-Q 2017 vs. 2016 performance

0.0% Q1 17 vs. 16 Q2 17 vs. 16 Q3 17 vs. 16 Q4 17 vs. 16 -2.0%

-4.0% -2.8%

-6.0% -4.3%

-8.0%

-10.0%

-12.0%

-14.0% -13.2% -16.0%

-18.0% -16.7%

Source: Mobily financials 143 Investor Relations – Capital Market Day Mobily is the only players to grow Q-o-Q and witnessed the minimum decline Y-o-Y Total 12.44 12.19 11.79 11.87 10.83 Estimated 12.19 11.77 11.42 Market +2.3% -4.7% -8.3% YoY QoQ Growth/ Growth/ Decline Decline 7,540 7,560 7,940 7,370 7,330 7,500 7,150 6,560

+0.7%

Q1-2016 Q2-2016 Q3-2016 Q4-2016 Q1-2017 Q2-2017 Q3-2017 Q4-2017

-11.1% -0.4% -1.7% +0.7%

-8.3% 3,440 3,289 2,932 2,908 2,865 2,854 2,806 2,827

Q1-2016 Q2-2016 Q3-2016 Q4-2016 Q1-2017 Q2-2017 Q3-2017 Q4-2017 -4.7% -2.8% -3.1% -5.0% -5.0%

-1.6%

1,765 1,727 1,634 1,801 1,919 1,865 1,807 1,716 Q4-17 Q4-17 vs. Q4- vs. Q3- 16 17 Q1-2016 Q2-2016 Q3-2016 Q4-2016 Q1-2017 Q2-2017 Q3-2017 Q4-2017

Source: Companies financials Note: STC domestic revenues estimation XX Total estimated market 144 Investor Relations – Capital Market Day Mobily’s EBITDA has grown over the past two quarters while Zain’s has declined every quarter in 2017

In SAR mn

YoY QoQ -3.4% +0.3% +0.8% Growth/ Growth/ Decline Decline

1,129 1,146 817 977 932 900 903 911 +0.9%

Q1-2016 Q2-2016 Q3-2016 Q4-2016 Q1-2017 Q2-2017 Q3-2017 Q4-2017

-6.4%

-4.9% -0.2% -6.4% +20.3%

665 632 631 590 445 372 488 490 -4.5%

Q1-2016 Q2-2016 Q3-2016 Q4-2016 Q1-2017 Q2-2017 Q3-2017 Q4-2017 Q4-17 Q4-17 vs. Q4- vs. Q3- 16 17

Source: Companies financials 145 Investor Relations – Capital Market Day Mobily is outperforming the market Mobily is the only telco to grow its revenues share in 2017

KSA Wireless Telecom – Revenues Share (in %) FY 2017

+0.9pts -0.5pts -2.1pts

-1.7pts 65.1% 62.0% 62.6% 62.2% 63.1% 62.6% 60.6% 60.5%

-0.5pts +0.5pts +2.0pts 25.2% 23.9% 23.6% +2pts 21.5% 22.1% 21.6% 21.1% 21.6%

-0.5pts 15.3% 16.3% 15.7% 15.8% 15.8% 14.2% 14.2% 13.4% -0.6pts +0.1pts 0pts

Q1-2016 Q2-2016 Q3-2016 Q4-2016 Q1-2017 Q2-2017 Q3-2017 Q4-2017

Source: Mobily financials Note: STC domestic revenues estimation 146 Investor Relations – Capital Market Day Within a challenging regulatory environment Multiple regulatory measures implemented in 2017 and continued in Q1 2018

Award of FTTH subsidy under National Broadband Fund to Dependency Fees Obligation to pay selected market players Enforcing one implementation for Internet filtering system bill cycle IDD - TRIO cancellation Mandatory Mandatory FUP release national Passive Roaming in sharing MTR USF Areas reduction Unblocking of VoIP Spectrum auction 2

Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018

Mandatory Spectrum national New MVNO & IOT auction 1 Campaign against Enforcing CPR Roaming in USF VNO licensing illegal expatriates (i.e. implementation Areas framework in resulting in shrinkage New stricter tariff discussion of customer base) CITC proposed a new CPF. Methodology approval procedure resulting in increase of by CITC CITC fees.

147 Investor Relations – Capital Market Day Prices are low in KSA Data prices decreased by 5 times compared to Q1 2016

Price per GB

North Africa countries

GCC countries

Lowest achieved price per GB, SIM-only postpaid plans, selected countries H2 2016 Source: Analysis Mason 148 Investor Relations – Capital Market Day Way forward

• Strictly driving the implementation of the new strategy with customer experience & digital transformation at its heart • Continuation of regulatory pressure • Anticipation of some price rationalization in the market • Continuation of strong data growth • Strong execution push on IT transformation and network modernization • Cost optimization program strictly followed • Participate and take a fair share of government increased telecom spending • Focus on postpaid segment and SME large market opportunities • Explore the mobile financial services market potential

149 Investor Relations – Capital Market Day Q&A

THANK YOU Etisalat Group Capital Markets Day 2018

Etisalat Misr Operations

Hazem Metwally Chief Executive Officer – Etisalat Misr COUNTRY OVERVIEW Macroeconomic Positive Outlook despite Short-term Bottleneck

Despite challenging Market … positive macroeconomic outlook conditions … lies ahead

TE mobile operator (WE) . Egypt ranks #1 in Population among Arab countries entering the market WE (~50% < 24 years old), with IMF expectation for real GDP hammering on local brand growth of 4.8% in 2018 (revised from 4.5% initial fcst) image and competitive and 4.2% in 2017 (revised from 3.5% initial fcst) data offers . Net foreign direct investments reached a 14% growth EGP/USD reaching 17.78 in recording ~$8bn in 2017 against ~ $7bn in 2016, while Dec’17 compared with 18.24 in Int’l Monetary Reserve reached first-time record of $ Dec’16; with a stable outlook $37bn since 2011

Inflation reaching 22% in . Zohr natural gas field has started production with initial Dec’17 (dropping from expectation of saving $60mn per month and $2bn 31% in Mar’17) affecting annually after finalizing project as announced by the consumer telecom spending Oil minister

Following the high inflation rates, . IMF completed two reviews under the three years $12bn multiple interest rate hikes Extended Fund Facility bringing total disbursements of reaching 19.75% in Q4’17 from $6bn % (12.75% in Q4’16), more rational rates expected with recovering . S&P and Fitch revised Egypt’s credit rating of B- and B economy respectively from stable outlook to positive outlook*

Sources: IMF report Oct’17 | Central bank of Egypt | Ministry of Finance I Trading Economics I oil minister announcement * S&P Rating: Nov-17, Fitch Rating: Jan-18 152 MACRO ECONOMIC INDICATORS Macroeconomic indicators reinforcing the signals for positive future outlook

Egypt’s Economic Indicators % Growth % CAGR (2018 – ’22)

Real GDP Growth Rate Population and Unemployment Inflation Rate (period average) %, IMF estimate Millions, %, IMF estimate %, IMF estimate

+6% -29% 6.0% 6.0% -9% 5.8% 5.5% 13.2%13.0%12.8% 12.7% 12.5%12.2% 31% 4.8% 11.2% 4.4% 4.3% 4.2% 9.9% 8.8% 22% 21% -24% 2.9% 14% 11% 99 99 101 103 10% 10% 10% 88 90 92 93 97 7% 7%

14 15 16 17 18e 19e 20e 21e 22e 14 15 16 17 18 e 19 e 20 e 21 e 22 e 14 15 16 Mar-Dec- 18e 19e 20e 21e 22e 17 17

. Starting 2015, Real GDP has . Population has been growing . Despite 2017 high inflation, IMF been following a positive trend by more than 2% Y/Y, while forecasts more optimistic reflecting political and Unemployment has been inflation rates in the future economic reforms following a declining trend Y/Y starting 2015, signaling economic growth aspirations

Sources: IMF report Oct’17 | Central bank of Egypt 153 REGULATORY ENVIRONMENT TE dispute settled out of court after almost ~10 years

Interconnect Legal Disputes International Voice Agreement National Roaming Agreement

EM & TE sign an agreement Pending since The only operator to sign to settle historical disputes launch

TE finally settled on EGP1.45 Signed int’l voice agreement Etisalat Misr solely signs a 5-yr BN as EM’s dues against with TE, 5yrs duration, commercial agreement incoming international calls reviewed after 3, setting the (reviewable after 3-yrs) to covering the period from 2007 till interconnect price till 2022 provide national roaming June 2017 services nationwide

154 INDUSTRY OVERVIEW Promising telecom sector in Egypt, despite new competition entry

Market Attractiveness Etisalat and Orange shareholder taken decision to increase Capital reaffirms investors’ confidence in the Egyptian market

Market Growth Mobile market sustains strong growth (~15% in 2017) outpacing overall GDP and many other industries

Youth With ~50% of the population less than 24 years of age, Youth remain to be Etisalat’s heartland

4G/LTE 4G LTE expected huge traffic growth, (EM LTE traffic contribution reached~28% since launch) supported by growing number of smartphone users and internet penetration reaching 41.2%

Digitalization Offering a compelling, integrated digital services and enhancing customer experience

Enterprise Enterprise and high value market with a double digit growth (EM EBU growth nearing the 21% mark in 2017) supported by the country’s mega projects and micro financing initiatives

Adjacencies Opportunity to export ICT services, business process outsourcing, and mobile money services i.e. Financial Inclusion Global Initiative accelerated by the World Bank paving the way for uptake of payment solutions (EM e- wallet transactions’ volume and value grew in 2017 by ~330%, and ~175%, respectively)

155 COMPETITION LANDSCAPE EM remarkably became 2nd market player across all KPIs Value EBITDA Market Share Margin share

orange vodafone WE

18% Revenue 6% Revenue Revenue Revenue Growth Growth 19% Growth - Growth

27.7% 39% 32% 30% 30% 31% 43% 44% 37% - - - 2016

28.4% 39.2% 31% 27% 28% 29% 44% 45% 38% 0.2% NA 2% 2017

st Focus on Data, Youth, Capitalizing on Capital Focus on high value and Hammers on 1 st and Enterprise increase, and data segments, adopting national brand, 1 segments supported by rebranding to retrieve more-for-more integrated operator, resources optimization its market position proposition approach and lowest mobile and Capital increase internet prices

Sources: EM 2017 Financials | Vodafone release |TE investors presentation | Estimate for (We & Orange) 156 Strong-in market performance driven by well-positioned consumer tariffs and enterprise transformation Enablers Performance

Increasing uptake of Data Young High well positioned Mass Youth Centric Professionals Value segmented market platforms contributing to robust growth 7.1% 7.6% 26% 9.4% 21%

Economic ARPU Exceeding ARPU Base mix Av. Revenue Consumer Uplift ARPU Uplift improvement growth rate expectations m-o-m in H2

Enterprise Revenue Enterprise sales . EBU segment showing an 32% growth rate accelerated growth of 29% EBU Connectivity transformation efforts %, year-on-year 21% driven by SMB & along with distinct ARPU Revenue connectivity growth rate propositions growth . Sales focused on the accelerated growth 2016 13% fundamentals; acquiring

year-on-year new SMEs, large 81% 15% Economic

Enterprise Solutions accounts, and farming in GSM 2017 21% Revenue existing accounts Revenue growth rate growth rate Digital Customer Mobile App TRI*M Focused on building . EM leading customer Adoption experience indices Score 2017, digital capabilities, Users, Millions (TRI*M/NPS), ET VF OR increasing uptake +489% . EM has the Mobile App through an aggressive 2.1 58 best TRI*M scores and 57 50 48 acquisition plan & leader for 3 consecutive 43 Digital 1.0 extending digital months Major App Economic release across all platforms 0.4

Q4’16 Q2’17 Q4’17 Jul’17 Aug’17 Oct’17 Nov’17 Dec’17 157 Etisalat Misr operating model proved successful to drive remarkable performance

2017 challenges Achievements Drivers . Well positioned consumer . Currency 18% 28% 21% 9% tariffs and enterprise floatation Enterprise ARPU growth Global Data transformation revenue EGP26.8 up from . Subsidy removal revenue growth growth growth EGP24.5 . Efficient operational . New taxes & VAT performance . Inflation & . Cost optimization initiatives

Economics EGP1bn Remarkable Economic interest rates 39% 18% Monthly EBITDA EBITDA Net profit . Effective risk management revenue Regaining and corporate finance margin growth profitability >EGP1bn mark . WE (TE mobile . Delivering personalized, operator) innovative & cost effective . Two world’s Libor Financing services. class hedging restructure . Focusing on customer competitors Agreement concluded Capital increase growth through diffrentiation . Less frequency & segmention Vs. competition . Strong 4G roll out reaching Competition 31% 28.4% 28% . Competition 2,632 sites with smart Market share Value share EBITDA share intensive CapEx frequency utilization investment TE Legal Signed . Management focus on . Legal disputes allocating efforts and . Managing dispute disputes agreements appropriate resources to external settlement +ve signals Signed 5 years manage & interact environment National Roaming effectively with external Settlement out of More control over and incoming int’l environment court after 10 years disputes with voice (reviewable

Regulatory positive signals after 3-yrs) with TE

158 NETWORK CAPABILITY Pursuit for Mobile Broadband Leadership Vigorously expanded our 4G footprint to assert our customer centricity objectives

Sites rollout LTE readiness 4G 2,632 2017 LTE Sites Total Rolled out sites; 7267 sites Rolled out LTE sites; 2632 sites 1,000 2016 ▪ 6,567 3G Sites , represents ~90% ▪ Throughput reached ~22 MBPS of total sites which supported (~90% growth over last year) our TRIM superiority and 104 TB LTE traffic 21.8 MBPS 2017 Network trim index EM 4G contribution % of total traffic Throughput 2017 %, 2017 11.5 MBPS 2016 47 28% 25% 27% 44 40 20% 37 35 35 16% 8% 104 TB 2017

LTE daily traffic

Jul

Oct Oct

Jan Jun

Mar

Feb

Nov Nov

Sep Dec Dec 17 TB 2016 EM VFE OR WE ▪ EM plans to invest ~EGP6bn in its network in the coming 3 years to cater for data growth and 10.4 MN superior customer experience Smartphones EM 4G expanded footprint driven by our 4.7 MN speedy technology advancement and SIM LTE terminals cards readiness ahead of competition

159 MOVING FORWARD 2018 and beyond

Emphasis on fundamental execution and deliver value to Value 1 shareholders through a double digit growth & healthy cash flow

Continue building a superior network offering best 4G 4G 2 performance, optimizing CapEx for revenue yield

Managing competitive landscape to avoid price war & Environment 3 shredding market value via a robust mitigation plan from technology & commercial perspective

Customer Focus on customer revenue growth through differentiated 4 & segmented offerings

Digitalization Continue enhancing customer experince inline with our 5 digital journey & direct sales expansion

Conversion 6 Offer fully integrated fixed & mobile services

Enhancing adjacent revenue streams through outsourcing Adjacencies 7 business & mobile money services

160 Q&A

THANK YOU Etisalat Group Capital Markets Day 2018

Closing Remarks

Saleh Al-Abdooli Group Chief Executive Officer