PowerPoint Presentation · Residential Portfolio 51% Own 51% Own 5 projects; Value Bt 23,031mn 100%...
Transcript of PowerPoint Presentation · Residential Portfolio 51% Own 51% Own 5 projects; Value Bt 23,031mn 100%...
© Singha Estate Public Company Limited© Singha Estate Public Company Limited
2018Opportunity day
26 March 2019
YEAR-ENDED RESULTS
© Singha Estate Public Company Limited
The information contained in this material has been prepared by Singha Estate Public Company Limited (“S” or “Singha Estate”) solely for information purpose and does not constitute an offer or invitation to sell or the solicitation of an offer or invitation to purchase or subscribe for shares in Singha Estate.
Some statements made in this material are forward‐looking statements. These statements typically contain words such as "expects" and "anticipates" and words of similar import. Any statement in these materials that is not a statement of historical fact is a forward-looking statement that involves various risks and uncertainties. These include statements with respect to our corporate plans, strategies, and beliefs. The statements are based on our management’s assumptions and beliefs in light of the information currently available to us. These assumptions involve risks and uncertainties which may cause the actual results, performance, or achievements to be materially different from any future results, performance, or achievements expressed or implied by such forward‐looking statements.
None of the future projections, expectations, estimates or prospects in this presentation should be taken as forecasts or promises nor should they be taken as implying any indication, assurance or guarantee that the assumptions on which such future projections, expectations, estimates or prospects have been prepared are correct or exhaustive or, in the case of the assumptions, fully stated in the presentation. We assume no obligations to update the forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements.
Accordingly, no representation or warranty, express or implied, is made or given by or on behalf of Singha Estate or any of its shareholders, directors, officers or employees or any of the Banks (and their shareholders, directors, officers or employees) or any other person as to the accuracy, completeness or fairness of the information or opinions contained in this presentation. None of Singha Estate nor any of its shareholders, directors, officers or employees accepts any liability (in negligence or otherwise) whatsoever for any loss howsoever arising from any use of this presentation or its contents or otherwise arising in connection therewith. Individual situations and local practices and standards may vary, so viewers and others utilizing information contained within a presentation are free to adopt differing standards and approaches as they see fit. Products and names mentioned in materials or presentations are the property of their respective owners and the mention of them does not constitute an endorsement by Singha Estate. The information contained in this presentation is only current as of the date its date. In giving this presentation, neither Singha Estate nor its respective advisers and/or agents undertake any obligation to provide the recipient with access to any additional information or to update this presentation or any additional information or to correct any inaccuracies in any such information which may become apparent. You must make your own assessment of the relevance, accuracy and adequacy of the information contained in this presentation and must make such independent investigation as you may consider necessary or appropriate for such purpose. The presentation should not be construed as legal, tax, investment or other advice.
DISCLAIMER
© Singha Estate Public Company Limited
AGENDA S OVERVIEW
KEY BUSINESS SEGMENT ❑ Commercial Business❑ Residential Business❑ Hospitality Business
Development properties and new projectFINANCIAL PERFORMANCE
© Singha Estate Public Company Limited
S Overview
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© Singha Estate Public Company Limited
370
2,1493,233
5,8587,539
2014 2015 2016 2017 2018
S KEY MILESTONES
With an ambition to be a market leader across its key real estate sectors, S has continuously expanded through acquisition of income-generating assets, investments and partnerships
Acquired Suntowers(~61,000 sq.m. NLA)
2014 2015 2016 2017 2018
Acquired Phi Phi Island Village Beach Resort (156 keys)
Incorporation of Singha Estate
Invested 51% in Nirvana Development
JV Invested in 26 hotels in UK (2,883 keys)
JV invested in 3 additional hotels in UK (229 keys)
JV with Hongkong Land to develop ESSE36
Invested 52% in Nirvana Daii PCL
Invested in phase 1 of Crossroads in Maldives
Invested in 6 Outrigger hotels (859 keys)
11,288
25,308 30,59240,910
58,930
2014 2015 2016 2017 2018
Total revenue (Bt.mn)Total assets (Bt.mn)
Filing of SPRIME -Suntowers
JV with Daiwa to develop EYSE43
Strong growth in assets and revenues through the smart acquisitions
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Open CROSSROADS at Maldives : in 2019
Hard Rock Hotel MaldivesSAii Lagoon Maldives, Curio Collection by Hilton
THE MARINA @ CROSSROADS
Transfer 3 Condominiums & 1 Residential Project Full year Revenue from Singha Complex
Full year Revenue from 6 Outrigger Hotels
OUTRIGGER Fiji Beach
OUTRIGGER Mauritius
Fiji Castaway IslandOUTRIGGER Koh Samui
OUTRIGGER Laguna Phuket
Outrigger Fiji Beach Resort
Outrigger Laguna Phuket Beach Resort
Castaway Island
OUTRIGGER Konotta Maldives
2019 : The Harvesting Year of Singha Estate
New Projects in 2019Strong Revenue Stream in 2019
Implement uplift projects in Outrigger Hotels
Launch new luxury condominium
Begin construction new office building
© Singha Estate Public Company Limited
Key Business Segments
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© Singha Estate Public Company Limited 8
KEY BUSINESS SEGMENTS
S’s business currently spans across 3 major sectors of property business:
Moving toward the premier lifestyle developer
CommercialHospitality
34% 22% 44%
53% 34% 9%
Residential
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Santiburi Koh
Samui
No. of keys: 96
Phi Phi Island Village
Beach Resort
No. of keys: 201
29 hotels in UK
Jupiter Hotels
26 hotels
No. of keys: 2,886
The Hotelier
Group
3 hotels
No. of keys: 229
OUTRIGGER
Koh Samui
No. of keys: 52
OUTRIGGER
Laguna Phuket
No. of keys: 255
OUTRIGGER
Fiji Beach
No. of keys: 253
Fiji Castaway
Island
No. of keys: 65OUTRIGGER Mauritius
No. of keys: 181
OUTRIGGER
Konotta Maldives
No. of keys: 53
HARD ROCK HOTEL
MALDIVES
No. of keys:178
SAii Lagoon Maldives,
Curio Collection by
Hilton
No. of keys:198
Hospitality Portfolio :
50%
100%
100%
100%
100%
100%
100%
Total No. of keys 376
Outrigger hotels100% owned and managed JV
37 hotels in 5 countries 4,271 keys (not included CROSSROADS 2 hotels 376 keys)
© Singha Estate Public Company Limited
Residential Portfolio
51% Own
51% Own
5 projects;Value Bt 23,031mn
100% Own
100% Own
100% Own
The ESSE AsokeProject value: Bt.4,900mnTransfer 1 : Q4’2018
The ESSE at Singha ComplexProject value: Bt.4,300mnTransfer 1 : Q3’2019
Santiburi The ResidencesProject value: Bt.5,500mnLaunch: Q3’2018
The ESSE Sukhumvit 36 2
Project value: Bt.6,400mnTransfer 1 : Q3’2020
EYSE Sukhumvit 43 2
Project value: Bt.1,931mnTransfer 1 : Q4’2020
Bangkok
Note: 1. Company estimates and subject to change2. Investment in JV structure (51% economic interest)
Nirvana Daii PCL : 52% OwnNo. of projects: 15Remaining project value: Bt.13,476mnTotal value Bt. 18,485mn
Banyan Tree ResidensesProject value: Bt. 6,575 mn
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Commercial Portfolio : NLA 176,507 sq.m.
Singha ComplexNLA: 58,174 sq.m.
The LighthouseNLA: 3,201 sq.m.
SuntowersNLA: 61,132 sq.m.
OasisNLA : ~54,000 sq.m.Target open : 2022
© Singha Estate Public Company Limited
Residential Business
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© Singha Estate Public Company Limited
Residential Business : condominium
The ESSE Asoke
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The ESSE at Singha Complex The ESSE Sukhumvit 36 EYSE Sukhumvit 43
▪ 55 storeys 419 units▪ Project value Bt.4,900mn▪ Approx. Bt.218,000 /sq.m▪ Sales progress 82% ▪ Transfer progress 29%(of units
sold)*Relaunched in Q1’19
▪ 39 storeys 319 units▪ Project value Bt.4,347mn▪ Approx. Bt.266,000 /sq.m▪ Sales progress 92%▪ Transfer Q3’2019▪ 74% construction progress
▪ 43 storeys 338 units▪ Project value Bt.6,485mn ▪ Approx. Bt.336,000 /sq.m. ▪ Sales progress 62% ▪ Transfer Q3’2020 (tentative)▪ 10% construction progress▪ *JV with Hongkong Land
▪ 7 storeys 107 units▪ Project value Bt.2,063mn ▪ Approx. Bt.239,000 /sq.m▪ Sales progress 45%▪ Transfer Q4’2020 (tentative)▪ EIA in process▪ *JV with Daiwa House Group
Start transferring of the ESSE Asoke – The first S luxury condominium project
© Singha Estate Public Company Limited
Residential Business : Single-detached house
▪ Ultra-luxury single-detached house
▪ Project value Approx. Bt.5,500mn
▪ 26 units
▪ Sales progress 12% (3 units)
▪ Construction progress : 100% for clubhouse, villa 1, villa 2, landscape, infrastructure , 67% for Villa 12
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Santiburi The Residences
© Singha Estate Public Company Limited
Commercial Business
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Suntowers
Commercial Business
Location : Asoke – Phetchaburi
Grand opening date : 12 December 2018
Singha Complex
Total (sq.m)Closed Deal
sq.m %
Office 52,982 42,727 85%2
Retail 4,317 3,847 89%
Key stats FY 2017 FY 2018 Q4'17 Q3’18 Q4'18
Net leasable area 1 (sq.m) 61,383 61,165 61,304 61,132 61,159
Occupancy rate (%) 96% 94% 95% 93% 92%
Rent rate (Baht/sq.m./month) 547 566 551 574 577
Rental growth (yoy%) +7% +3% +5% +4% +5%
Anchortenants:
S, SAM, Ericsson, Fuji Xerox, Technip, Symphony, Toyota Leasing
Anchor tenants:
Boonrawd, Shopee, Unicharm
Note: 1. NLA includes office and retail space Note 2 Including BRB office
© Singha Estate Public Company Limited
Hospitality Business
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© Singha Estate Public Company Limited
Hospitality Business : 100% owned and managed
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▪ 5-star beachfront resort
▪ 19 exclusive modern-style pool villas were completed in May 2018 (a total
room of 96 keys)
Santiburi Koh Samui Phi Phi Island Village Beach Resort
▪ 4-star luxury beach resort
▪ Performance was affected from the Phuket boat incident in July
Key stats 2017 2018 4Q17 3Q18 4Q18
No. of rooms 77 90 77 96 96
Occupancy rate 71% 61% 54% 64% 45%
RevPar (Baht) 9,133 7,933 6,816 8,329 4,975
RevPar growth (yoy%) (3%) (11%) (14%) (9%) (15%)
Key stats 2017 2018 4Q17 3Q18 4Q18
No. of rooms 201 201 201 201 201
Occupancy rate 85% 83% 81% 77% 84%
RevPar (Baht) 5,650 5,743 8,327 3,659 6,123
RevPar growth (yoy%) 5% 2% 6% (7%) (6%)
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Hospitality Business : 100% owned; managed under HMA
6 Outrigger-branded hotels
Outrigger Fiji Beach Resort
Outrigger Laguna Phuket Beach Resort
Outrigger Mauritius Beach Resort
Outrigger Koh Samui Beach Resort
Outrigger Konotta Maldives Resort
Castaway Island
• Acquired 6 hotels in 4 countries in Jun 18
• Diversified location with different peak
season
• Quarter 4, Phuket, Maldives and Mauritius
were under peak season period.
Key stats 3Q18 4Q18
No. of hotels 6 6
No. of rooms 859 859
Occupancy rate (%) 81% 82%
Fiji Beach Castaway Phuket Samui Mauritius Maldives
No. of rooms 253 65 255 52 181 53
Occupancy rate(%) 85% 89% 75% 77% 88% 68%
RevPar (THB) 4,443 12,847 3,317 3,541 4,898 8,505
Fiji Thailand
Maldives Mauritius
July – Dec 18 performance specific to each hotel
*HMA=Hotel Management Agreement
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Hospitality Business : 50% owned
29 Hotel Investment in UK
▪ From a total of 29 hotels with 3,115 keys in hotel
investment in UK through 50:50 joint venture
structure
▪ Overall occupancy rate and operating profit is quite
steady.Manchester
Leicester
Brighton
Key stats 2017 2018 4Q17 3Q18 4Q18
No. of rooms 3,112 3,115 3,112 3,115 3,115
Occupancy rate 72% 71% 69% 79% 69%
RevPar (GBP) 48 48 45 57 45
RevPar growth (yoy%) 5% 0% 4% (1%) (1%)
© Singha Estate Public Company Limited
Development and upcoming project
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© Singha Estate Public Company Limited
Island I (1a) – The MarinaSite Area : 17 Ha Facilities : restaurant, Café de Mar, Hard Rock Café, cultural center, multipurpose hall, marina center
Island I (1b) – SAii Lagoon Maldives,Curio Collection by HiltonSite Area : 4.4 Ha Keys : 198
Island 2 - Hard Rock Hotel MaldivesSite Area : 6 Ha Keys : 178
CROSSROADS ProjectThe first integrated tourist facilities in Maldives
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SAii Lagoon Maldives, Curio Collection by Hilton HARD ROCK HOTEL
Progress Updates
Hotel
© Singha Estate Public Company Limited
Progress Updates
Villas
Hard Rock – Reception area and Pier
Hard Rock - Water Villa
SAii Lagoon Maldives - Beach Villa
SAii Lagoon Maldives - Water Villa
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Toilet 2 + Clinic : Roof structure + primer + internal wall
Link Bridge between Marina and Hard Rock Hotel
Kid Club - Structure work (By Alia)
Unit 01: Terrace Civil work
Progress Updates
Marina
© Singha Estate Public Company Limited
Financial Performance
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© Singha Estate Public Company Limited
53%
34%
9%
2% 2%
2018 Revenues
Residential
Hotel
Commercial
Construction materials
Others
“S” 2018 revenue : driven by residential and hospitality business
2,388
3,974
2017 2018
Residential
1,074
2,576
2017 2018
Hotel
2,114
674
2017 2018
Commercial66%
140%(68%)
• 2018 residential revenue increased 66% YoY resulting from the ESSE Asoke.
• Hospitality business growth was supported by revenuefrom Outrigger portfolio 6 hotels.
• Commercial revenue decreased by 68% YoY resulted from Q4’17 the company recognized one-time revenue for upfront lease at Singha complex.
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Total Revenue 7,539 MB
© Singha Estate Public Company Limited
Key Financial Performance
CONSOLIDATED FINANCIAL HIGHLIGHTS
(Unit: THB Million) FY2017 FY2018 % YoY
Revenues 5,858 7,539 29%
Gross profit 2,434 3,249 33%
EBIT 1,228 2,016 64%
Profit (loss) for the period before NCI 631 1,436 128%
Non-controlling interests (59) (149) 152%
Net profit (loss) after NCI 572 1,287 125%
EBITDA 1,485 2,524 70%
Performance without non-operating items
Normalized EBITDA 754 1,659 120%
Normalized Profit for the period after NCI 20 422 1,983%
Key driver for growth in 2018:▪ Transfer ownership the ESSE Asoke▪ Acquire 6 Outrigger hotels▪ Transfer ownership Banyan Tree Residences
Non-operating items referred to :▪ Gain on exchange rate ▪ Gain from fair value adjustment on
investment properties▪ Professional fees, land transfer fees, etc.▪ Sales & marketing of residential projects
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© Singha Estate Public Company Limited
Key Expenses
547
981
2017
2018
Selling Expense
1,006
1,599
2017
2018
Administrative expenses
369
662
2017
2018
Finance costs
In 2018, selling expenses was 981 million baht, increased by 79% YoY, because of an increase of
advertising expense of residential and hospitality business.
Administrative expenses in 2018 was 1,599 million baht increased by 59% YoY mainly due to higher
personnel expenses reflecting increased number of employees and administration of the Outrigger
hotel portfolio.
In 2018, the Company incurred 662 million baht of finance costs, increased by 79% YoY, reflected anincreasing in long-term loan and acquisition loan for Outrigger hotels.
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© Singha Estate Public Company Limited
Financial Position : Asset
7%
25%
4%
29%
23%
12%
2018 Total Assets
Cash and cash equivalent
Inventories
Other current asset
Net PPE
Investment asset
Other non current asset
0
5,000
10,000
15,000
20,000
Cash and cash
equivalent
Inventories Net PPE Investment asset
Asset Balance
2017 2018
As at 31 December 2018, the total assets were 58,930 million Baht, increased by 44% from last year. The incremental assets mainly came from Outrigger hotels and Crossroads Project Phase I, inventories and cost of property development and development of Singha Complex.
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© Singha Estate Public Company Limited
13%
11%
3%
69%
4%
2018 Total Liabilities
Payable
Short-term debt
Other current liabilities
Long-term debt
Other non current liabilities
Financial Position : Capital Structure
Total liabilities were 38,837 million Baht, increased by 78% from last year, the debt financing is essential to support new project development
and acquisitions. Thus, interest-bearing debts to equity from 0.85x to 1.53x as well as net interest-bearing debts to equity from 0.41x to
1.33x. However, the company is still relatively over leverage with the plan to rebalance the capital structure.
0.740.85
1.53
0.6
0.41
1.33
2016 2017 2018
Debt ratio
IBD/E Net D/E IBD/E
32
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Investor Relations
Tel : (+66) 2050 5555 Website : www.singhaestate.co.th
Thank You
© Singha Estate Public Company Limited