Paramount Corp. Bhd. · MYX:PARAMON
Paramount Corp. Bhd — H1 2024 Earnings Presentation
32 slides from Paramount Corp. Bhd's earnings presentation, Aug 29, 2024
Slide 1: Investor Relations & Media Presentation 1H2024 Results
Investor Relations & Media Presentation 1H2024 Results 29 August 2024 1
Slide 2: Highlights
PARAMOUNT Highlights
Slide 3: 1H2024 Highlights
1H2024 Highlights Revenue PBT Profit attributable to shareholders RM406m RM54m RM32m YOY 7% YOY 11% YOY 11% Property Sales Properties Launched Average Take-Up Rate RM638m RM1.7bn 57% ^ YOY 3% YOY 108% 30 June 2023: 73% Unbilled Sales 1st Interim Gearing RM1.4bn Gross 0.56x Dividend YOY 4% Net 0.42x
Slide 4: Gross Div Per Share & Payout Ratio
Gross Div Per Share & Payout Ratio Net assets per share sen Dividend Special Dividend Payout Ratio Payout ratio Total Dividends (2019 – 2023) = 66 sen @ 30 June 2024 35 200% ** 180% 186% RM2.31 30 160% 25 140% Market price per share 120% @ 27 Aug 2024 20 # 29 100% RM1.06 15 40% # 80% 12.0 38% 53% 10
Slide 5: Operational Review
PARAMOUNT ~~ Operational Review
Slide 6: 1H2024 Property Sales & Unbilled Sales
1H2024 Property Sales & Unbilled Sales 1H2024 sales was anchored by The Ashwood; unbilled sales remained high at RM1,416 million Sales and unbilled sales 1H2024 Sales Sejati Lakeside, Sejati Residences, Selangor RM’ mil Selangor 1% 1% Bukit Banyan, 1,600 Berkeley Uptown, Kedah* Selangor 10% 1,402 1,
Slide 7: On-going projects – take up rate & launches
On-going products – take up rate & launches Low take up rate of 57% due to large launches in 2Q2024; On-going GDV increased to RM4.2 bn # 2 On-going L On-going GDV as at GDV launched in 1H2024 Take up rates a Type of projects by 30 Jun as at 30 June Locations development subsidiaries 2024 2024^ GDV
Slide 8: Co-labs Coworking & Scalable Malaysia
Co-labs Coworking & Scalable Malaysia Average occupancy declined to 70% on the back of 45% Y-o-Y space expansion Co-labs Coworking as at 30 June 2024 The Five Average occupancy 9% Shah Alam rate @ 30/6/2024 Ken TTDI 20% 70% (30/6/2023: 81%) 18% 167,000 sq ft Naza Tower Starling 17% Plus 7 spaces * 1
Slide 9: Financial Review
PARAMOUNT ~ Financial Review
Slide 10: Financial Overview
Financial Overview Comparable 2nd quarter but dragged down by the first quarter Revenue (RM’m) 1H2024 1H2023 Variance RM’000 RM’000 % 300 Unaudited Audited 242 233 250 194 Revenue 405,545 436,106 -7 200 173 Operating profit before depreciation & 150 81,772 85,657 -5 interest 100 Depreciation (12,161
Slide 11: Property Division
Property Division Lower work progress and unexpected delay in launches to 2Q2024 Yr on Yr Sejati The Atrium, Kuala Sejati Residences & Lumpur Lakeside, Sekitar26, 3% Selangor 1% Selangor * Bukit Banyan, • Revenue RM382.5m 9% Greenwoods Salak Perdana, Selangor Kedah 12% 5% • PBT RM64.0m 9% The Ashwoo
Slide 12: Coworking Division
Coworking Division Revenue improved 49% but losses recorded with space expansion; Turn profitable in 2Q2024 Yr on Yr Revenue 1H2024 • Revenue RM9.2m* 49% • LBT RM0.2m 133% ➢ Y-o-Y increase in coworking space by Scalable 45% [Ken TTDI (new) + expansion of Malaysia Tropicana Gardens space + The Five 2
Slide 13: Investment & Others Division
Investment & Others Division Revenue improved 14% contributed by all three busineses Yr on Yr Revenue 1H2024 • Revenue RM14.7m 16% Mercure Kuala Lumpur • LBT RM10.2m 5% Dewakan Glenmarie 27% 44% ➢ Improvement in revenue were contributed by Dewakan (fine dining restaurant), Mercure Kuala Lumpur Glenm
Slide 14: Financial Position (30 June 2024)
Financial Position (30 June 2024) Strong balance sheet and liquidity position Shareholders’ Net current Debt to Total funds assets YOY Equity 98% ratio* RM1.4bn RM789m Gross 0.56x Net 0.42x Cash & bank Unbilled sales Net cash from balances operating activities RM222m RM1.4bn RM168m * Included Privat
Slide 15: Industry Overview
PARAMOUNT Industry Overview
Slide 16: Residential Property Sales (2017 – 2023)
Residential Property Sales (2017 – 2023) RM100.929bn RM94.276 bn Unit 243,190 250,586 250,000 RM72.407bn RM76.902bn RM68.463bn RM68.748bn 209,295 RM65.874bn 194,684 197,385 191,354 198,812 195,674 198,509 200,000 165,392 171,844 162,423 156,738 RM73.615bn RM75.681bn 152,626 RM57.378bn 150,000 RM55.0
Slide 17: 10-Year Completion and Starts (Incoming Supply)
10-Year Completion and Starts (Incoming Supply) Unit Residential & serviced apartments 200,000 180,000 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 - 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Completion 81,639 107,74 80,850 116,77 109,66 124,70 129,18 94,123 88,606 95,928
Slide 18: Outlook 2H2024
PARAMOUNT ~ Outlook 2H2024
Slide 19: Outlook 2H2024
Outlook 2H2024 Property launches for 2H2024 RM0.7bn (full year RM2.4bn) Building upon success for continued sales traction Larger base of on-going projects (RM4.2 bn) Future cashflow backed by unbilled sales (RM1.4bn) Boosting occupancy of coworking spaces 19
Slide 20: 2024 Launches
2024 Launches Northern Sungai Penang Petani & Central Petaling Jaya, Cyberjaya, Salak Perdana, Klang & Kuala Lumpur Forecast GDV Commercial : High rise : Landed Bukit Banyan, Sungai Petani The Ashwood, Kuala Lumpur The Atera (Ph 2), Petaling Jaya Sejati Residences, Landed homes High-rise Residential
Slide 21: Uptown Residences 2 @ Berkeley Uptown
Klang High Rise Residential Uptown Residences 2 @ Berkeley Uptown Mix Development Phase 2 Phase 1 Artist Impression Artist Impression Unique Selling Points Launching in 2H2024 ▪ Nestled on 7.37 acres of freehold land, Uptown Residences 2 offers 1,086 serviced apartments ranging from 571 sq.ft. to 1,
Slide 22: Greenwoods Senna @ Salak Perdana
Sepang Greenwoods Senna @ Salak Perdana Semi-Detached Townhouses Jalan Ampang Subject Gre e nwoods Site S enna Artist Impression Unique Selling Points Launching in 2H2024 ▪ Greenwoods Senna offers a collection of 368 Semi-Detached townhouses with layout ranging from 34’x65’/75’ – 44’x65’/75’. Built
Slide 23: Q&A
Q&A Jeffrey Chew Sun Teong Foong Poh Seng Group Chief Executive Officer Chief Financial Officer Benjamin Teo Chee Siew Pin Deputy Group Chief Executive Officer Chief Executive Officer, Paramount Property 23
Slide 24: Appendices
PARAMOUNT ZZ Appendices
Slide 25: Acquisition of 21.54% of EcoWorld International (EWI)
Acquisition of 21.54% of EcoWorld International (EWI) Purchase Received 1st interim consideration dividend of RM31m RM170.61m (or 33 sen per share) Strategic fit to PCB’s overseas expansion Potential dividends from plan Acquiree Up to RM108.57m1 Acquisition of 21.54% of Eco World International Berha
Slide 26: First Sustainability-Linked Sukuk
First Sustainability-Linked Sukuk Key Green Health & CO 2 Carbon Performance buildings Safety emissions Indicators 26
Slide 27: Awards and Industry Recognition 2024
Awards and Industry Recognition 2024 ➢ Paramount was ranked sixth among ten public listed companies in the All-Stars Award ➢ Bukit Banyan received Excellence in The Placemaker Award Property ➢ Top 10 developers ➢ Best work space development ➢ Innovative developer award Coworking 27
Slide 28: Diversified Landbank & GDV (30 June 2024)
Diversified Landbank & GDV (30 June 2024) Remaining Gross Remaining Development Period Project Status Undeveloped Lands GDV* (Acres) (RM’m) Start End Bukit Banyan, Sungai Petani On-going 25.9 256 2012 2027 Bukit Banyan (Expansion), Sungai Petani On-going 113.3 361 2024 2028 Northern Batu Kawan, Pena
Slide 29: Inventories (30 June 2024)
Inventories (30 June 2024) Inventories increased by 26% Vs 31 Dec 2023; 74% are commercial properties 31 Dec 30 June Completed properties 2023 Projects 2024 Cost Details RM77m As at Cost RM’m RM’m 35 35 • Stratified commercial lots Residential Leased to Co-labs Coworking 26% (carrying value about RM
Slide 30: Group Debt/Total Equity (D/E) Ratio
Group Debt/Total Equity (D/E) Ratio 30 June 2024 31 Dec 2023 (Unaudited) (Audited) RM’m RM’m Borrowings 914.1 814.3 Cash & bank balances 222.5 203.2 Total equity* 1,637.6 1,630.5 Gross D/E ratio (times) 0.56 0.50 Net D/E ratio (times) 0.42 0.37 Weighted average interest rate (%) - floating 4.89 4.85
Slide 31: Disclaimer
Disclaimer Statement Regarding Unaudited Financial Information The unaudited financial information set forth above is preliminary and subject to adjustments and modifications. Disclaimer on Forward-Looking Statements This presentation may contain forward-looking statements that involve risks and unc
Slide 32: Thank You
ee Thank You Wwww.pcb.my
Paramount Corporation Berhad — H1 2024 Earnings Presentation on 6ix