Singapore Post Ltd. · SGX:S08
Singapore Post — H1 FY2007/08 Earnings Presentation
30 slides from Singapore Post's earnings presentation, Oct 30, 2007
Slide 1: SGX Miscellaneous Announcement: Presentation Slides
MISCELLANEOUS Page 1 of 1 Print this page Miscellaneous * Asterisks denote mandatory information Name of Announcer * SINGAPORE POST LIMITED Company Registration No. 199201623M Announcement submitted on behalf SINGAPORE POST LIMITED of Announcement is submitted with SINGAPORE POST LIMITED respect to
Slide 2: Q2 and 1st Half FY2007/08 Results
Singapore Post Limited Q2 and 1st Half FY2007/08 Results (Financial Year ending 31 March 2008) 30 October 2007
Slide 3: Contents
Contents • Highlights • Business Overview • Group Results • Segment Results – Mail – Logistics – Retail • Cashflow, Dividends • Summary The following presentation contains forward looking statements by the management of Singapore Post Limited ("SingPost"), relating to financial trends for future per
Slide 4: Highlights: Q2 FY07/08 Results
Highlights Q2 FY07/08 Results Revenue Net Profit $M $M 8.8% 116.0 9.8% 106.6 39.7 36.1 Q2 FY06/07 Q2 FY07/08 Q2 FY06/07 Q2 FY07/08 3 P
Slide 5: Highlights: H1 FY07/08 Results
Highlights H1 FY07/08 Results Revenue Net Profit $M $M 9.4% 231.5 211.6 16.3% 78.0 67.1 H1 FY06/07 H1 FY07/08 H1 FY06/07 H1 FY07/08 4 P
Slide 6: Business Overview
Business Overview 5 P
Slide 7: Key Initiatives in 1st Half of FY07/08
Business Overview Key Initiatives in 1st Half of FY07/08 Key Initiatives Hybrid mail • Increased regional presence with establishments in HK, Thailand, expansion in addition to facilities in Philippines, Malaysia International mail • Entered JV for Print on Demand business • Launched DMrocket, a spe
Slide 8: Outlook
Business Overview Outlook • Executing strategies for growth – Growing core business, leveraging retail network – Extending core competencies and businesses into the region • Well positioned to address challenges arising from liberalisation of basic mail services market 7 P
Slide 9: Q2 FY07/08 Group Results
Q2 FY07/08 Group Results 8 P
Slide 10: Q2 FY07/08 Group Highlights
Q2 FY07/08 Group Highlights Revenue and underlying profit performance • Improved revenue and underlying profits on the back of organic growth, pricing adjustments and productivity improvements Revenue Underlying EBITDA* Underlying Net Profit* $M $M $M 8.8% 116.0 6.5% 10.9% 106.6 51.4 48.3 34.8 31.4
Slide 11: Q2 FY07/08 Segment Highlights
Q2 FY07/08 Segment Highlights Contributions by all business segments Mail Revenue and Operating Profit Logistics Revenue and Operating Profit $M $M 8.5% 11.5% 89.2 82.2 17.6 8.9% 15.8 2.4% 32.0 34.9 2.45 2.51 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 FY06/07 FY07/08 FY06/07 FY07/08 FY06/07 FY07/08 FY06/07 FY07/08 Ret
Slide 12: Q2 FY07/08 Operating Expenses
Q2 FY07/08 Operating Expenses Higher expenses on business growth Q2 Q2 $M % change • Higher volume-related expenses arising from FY06/07 FY07/08 growth in business activities Operating 72.5 78.9 + 8.8% Expenses Operating Expenses Breakdown Revenue Growth vs Operating Expenses Growth $M 12.6% 7.9% 13
Slide 13: Profit Margins
Profit Margins Steady profit margins Underlying Operating Profit Margin* Underlying EBITDA Margin* 45.3% 45.4% 44.4% 44.8% 44.6% 38.7% 44.3% 37.0% 37.1% 37.5% 37.7% 37.1% Q1 Q2 Q3 Q4 Q1 Q2 Q1 Q2 Q3 Q4 Q1 Q2 FY06/07 FY07/08 FY06/07 FY07/08 Underlying Net Profit Margin* 32.3% * Excluding gains on sale
Slide 14: Q2 FY07/08 P&L
Q2 FY07/08 P&L Results achieved for Q2 FY07/08 $M Q2 FY06/07 Q2 FY07/08 Change % change Revenue 106.6 116.0 +9.4 +8.8% Other income 10.2 11.5 +1.3 +12.9% Operating expenses (72.5) (78.9) +6.4 +8.8% Operating profit 44.3 48.6 +4.3 +9.7% Share of assoc & JVs 2.4 1.1 (1.3) (52.5%) Net finance costs (2.
Slide 15: H1 FY07/08 Group Results
H1 FY07/08 Group Results 14 P
Slide 16: H1 FY07/08 Group Highlights
H1 FY07/08 Group Highlights Revenue and Underlying Profit performance • Improved first-half results due to organic growth, productivity improvements and pricing adjustments Revenue Underlying EBITDA* Underlying Net Profit* $M $M $M 9.4% 231.5 8.4% 12.9% 211.6 102.9 94.9 69.7 61.7 H1 FY06/07 H1 FY07/
Slide 17: H1 FY07/08 Segment Highlights
H1 FY07/08 Segment Highlights Growth in all business segments Mail Revenue and Operating Profit Logistics Revenue and Operating Profit $M 9.7% $M 7.7% 180.6 164.6 11.7% 33.7 31.3 4.7% 64.6 72.1 4.4 4.6 H1 H1 H1 H1 H1 H1 H1 H1 FY06/07 FY07/08 FY06/07 FY07/08 FY06/07 FY07/08 FY06/07 FY07/08 Retail Rev
Slide 18: 1st Half FY07/08 P&L
1st Half FY07/08 P&L Results achieved for H1 FY07/08 $M H1 FY06/07 H1 FY07/08 Change % change Revenue 211.6 231.5 +19.9 +9.4% Other income 15.5 18.6 +3.2 +20.6% Operating expenses (143.4) (156.1) +12.7 +8.9% Operating profit 83.7 94.1 +10.4 +12.4% Share of assoc & JVs 3.8 4.2 +0.4 +10.9% Net finance
Slide 19: Segment Results
Segment Results 18 P
Slide 20: Mail – Q2 FY07/08 Results
Mail – Q2 FY07/08 Results Overview • Continued improvement in Mail performance with 8.5% growth in revenue and 8.9% increase in operating profit Mail Revenue Mail Operating Profit Mail Operating Profit Margin $M $M 89.2 82.2 8.5% 8.9% 39.0% 39.1% 34.9 32.0 Q2 FY06/07 Q2 FY07/08 Q2 FY06/07 Q2 FY07/08
Slide 21: Mail – Q2 FY07/08 Revenue Breakdown
Mail – Q2 FY07/08 Results Revenue breakdown Q2 Q2 % $M • Impact of growth in mail volumes, price FY06/07 FY07/08 change adjustments Mail 82.2 89.2 + 8.5% Revenue $M 11.7% 55.1 49.3 6.5% 28.6 26.9 0.4% 24.6% Q2 FY06/07 3.82 3.84 2.1 1.6 Q2 FY07/08 Domestic mail International mail Hybrid mail Philatel
Slide 22: Logistics – Q2 FY07/08 Results
Logistics – Q2 FY07/08 Results Overview • Continued improvement in Logistics performance with 11.5% growth in revenue and 2.4% increase in operating profit Logistics Revenue Logistics Operating Profit Logistics Operating Profit Margin $M $M 17.6 15.8 11.5% 2.4% 15.5% 14.3% 2.45 2.51 Q2 FY06/07 Q2 FY
Slide 23: Logistics – Q2 FY07/08 Revenue Breakdown
Logistics – Q2 FY07/08 Results Revenue breakdown Q2 Q2 % $M • Higher contributions from Speedpost and FY06/07 FY07/08 change warehousing, fulfillment & distribution Logistics 15.8 17.6 + 11.5% Revenue $M 7.1% 15.0 14.0 43.6% 2.6 Q2 FY06/07 1.8 Q2 FY07/08 Speedpost Warehousing, Fulfillment & Distribu
Slide 24: Retail – Q2 FY07/08 Results
Retail – Q2 FY07/08 Results Overview • Continued growth in Retail business with 9.0% increase in revenue and 9.6% growth in operating profit Retail Revenue Retail Operating Profit Retail Operating Profit Margin $M $M 9.0% 15.3 14.0 9.6% 16.2% 16.3% 2.3 2.5 Q2 FY06/07 Q2 FY07/08 Q2 FY06/07 Q2 FY07/08
Slide 25: Retail – Q2 FY07/08 Revenue Breakdown
Retail – Q2 FY07/08 Results Revenue breakdown Q2 Q2 % $M • Higher contributions from Retail products and FY06/07 FY07/08 change financial services offset declines in agency/bill Retail 14.0 15.3 + 9.0% presentment services due to pricing pressures Revenue $M 4.0% 29.1% 5.2 5.4 5.4 5.0 4.7 3.6 Q2 FY0
Slide 26: Cashflow, Dividends
Cashflow, Dividends 25 P
Slide 27: Cashflow, Dividends
Cashflow, Dividends • Robust cashflow generation Net Cash Inflow from Operating Activities $M – Net cash inflow from operating activities 160.9 amounted to $79.7M in H1 FY07/08, 144.4 149.7 compared to $74.6M in H1 FY06/07 121.7 79.7 • Dividend for Q2 FY07/08 H1 74.6 – Interim dividend of 1.25 cents
Slide 28: Summary
Summary 27 P
Slide 29: Summary
Summary • Q2 and H1 FY07/08 results achieved on improved performances by all business segments • Q2 dividend of 1.25 cents to be paid on 30 November 2007 • Continue to focus on executing strategies for growth 28 P
Slide 30: Thank You
Thank You 29 P