Slide 1: 2013 Interim Results
Value Partners Group Limited Incorporated in the Cayman island with limited liability A company listed on the Hong Kong Stock Exchange Stock code: 806 HK 2013 Interim Results For the period ended 30 June 2013 Results Presentation, 13 August 2013 0
Slide 2: Disclaimer
Disclaimer This document has been prepared by Value Partners Group Limited (the "Company") solely for use at the presentation. The information contained in this presentation has not been independently verified. No representation or warranty, express or implied, is made as to, and no reliance should
Slide 3: Business review & financial highlights
Business review & financial highlights By Timothy Tse Chief Executive Officer 2
Slide 4: Key highlights
Key highlights % change Net sales: • 1H2012: US$71mn • Mainly contributed by existing equity funds US$553mn 678.9% • Greater China High Yield Income Fund • New QFII A-share fund • Inflow from China and Taiwan businesses AUM: • Dec 2012: US$8,509mn US$8,588mn1 0.9% Revenue: • Gross management fee
Slide 5: Strategic business development
Strategic business development Growth drivers Products Net sales for Features 1H 2013 Strengthening VP High-Dividend Stocks US$309 million • To capture strong dividend plays distribution Fund across Asia Pacific channels VP China Greenchip Fund US$122 million • Focuses on small- and mid-cap & Greate
Slide 6: Greater China development initiatives
Greater China development initiatives Our China sales To capture capital outflow from China To expand our management of mainland’s domestic wealth Broadening our product offerings across asset classes and Established an office in Beijing geographies in May 2013, to facilitate our Collaboration with
Slide 7: Our recent awards and recognitions
Our recent awards and recognitions Institutional Investor’s Alpha Magazine: The 2013 Hedge Fund 100 Rank Firm/Fund Location Firm/fund Capital ($mn) 2013 2012 2013 2012 60 66 Fir Tree Partners US 8,700 7,200 60 56 Marathon Asset Mgmt US 8,700 8,090 62 68 Value Partners Hong Kong 8,509 7,154 63 46 Tra
Slide 8: Financial Review
Financial Review By Icy Wong Head of Finance 7
Slide 9: Financial performance overview
Financial performance overview (HK$ million) 1H 2013 1H 2012 % Change Fee income 358.6 266.6 +34.5% Distribution and advisory fee expenses (120.4) (86.4) +39.4% Net fee income 238.2 180.2 +32.2% Other income 25.8 25.4 +1.6% Total net income 264.0 205.6 +28.4% Total expenses (137.9) (116.8) +18.1% Op
Slide 10: Breakdown of total net income
Breakdown of total net income (In HK$ million) 1H 2013 1H 2012 Revenue 358.6 266.6 Management fees 291.0 228.3 Performance fees 15.4 0.9 Other revenue: Front-end fees 47.3 37.4 Interest income from loan portfolio 4.5 - Fee income from loan portfolio 0.4 - Distribution and advisory fee expenses (120.
Slide 11: Breakdown of other (losses)/gains
Breakdown of other (losses)/gains (In HK$ million) 1H 2013 1H 2012 Changes in fair value of investment properties 4.0 15.0 Net (losses)/gains on investments (84.0) 0.6 Net losses on investments held-for-sale (17.8) -- Net foreign exchange losses (1.7) (1.2) Other (losses)/gain – net (99.5) 14.4 10
Slide 12: Breakdown of total expenses
Breakdown of total expenses (In HK$ million) 1H 2013 1H 2012 Compensation and benefit expenses 96.3 76.1 Fixed salaries and staff benefits 59.5 58.7 Management bonus 31.2 15.4 Staff rebates 1.4 1.2 Share-based compensation expenses 4.2 0.8 Other expenses 41.6 40.7 Other fixed operating costs 26.9 28
Slide 13: Flexible cost structure
Flexible cost structure Fixed cost coverage ratio (asset management business) HK$ million 300 2.7x 200 216.3 100 78.8 0 Fixed expenses Net management fees Notes: Fixed expenses mainly represent fixed salaries and benefits, rent, investment research, and other administrative and office expenses for a
Slide 14: A strong balance sheet
A strong balance sheet Consolidated balance sheet HK$ million 30/6/2013 30/6/2012 Strong cash position Assets No borrowing/debt Investments 1,456.9 57% 1,632.8 55% Current ratio at 12.6x Cash 822.9 32% 888.1 30% Receivables 83.3 3% 179.1 6% Others 186.3 8% 282.6 9% Total assets 2,549.4 2,982.6 Liabi
Slide 15: Investor relations contact
Investor relations contact Value Partners Group Limited 9th Floor, Nexxus Building 41 Connaught Road Central, Hong Kong www.valuepartners.com.hk Ms. Icy Wong Ms. Teresa Yu Head of Finance and Investor Relations Marketing and Communications Email: icywong@vp.com.hk Email: teresayu@vp.com.hk Tel: (852