Genting Malaysia Bhd. · MYX:GENM
Genting Malaysia Bhd — Invest Malaysia 2017
41 slides from Genting Malaysia Bhd's conference presentation, July 2017
Slide 1: Invest Malaysia
No. 58019-U Invest Malaysia July 2017
Slide 2: Agenda
1 OVERVIEW 2 FINANCIAL HIGHLIGHTS 3 DOMESTIC OPERATIONS • RESORTS WORLD GENTING • GENTING INTEGRATED TOURISM PLAN 4 OVERSEAS OPERATIONS • UNITED KINGDOM • UNITED STATES • BAHAMAS 5 PROSPECTS AND FOCUS 2
Slide 3: Group Corporate Structure
OVERVIEW GROUP CORPORATE STRUCTURE Berhad 49.3% Malaysia US & Bahamas UK 100% 100% 100% 100% 78% 100% 100%
Slide 4: Key Properties
KEY PROPERTIES MALAYSIA
Slide 5: Resorts World Genting, Malaysia
RESORTS WORLD GENTING, MALAYSIA ……… Asia’s Leading Themed Resort by World Travel Awards in 2016 5
Slide 6: Genting UK & Resorts World Birmingham
GENTING UK & RESORTS WORLD BIRMINGHAM ……… One of the leading casino operators in the UK 6
Slide 7: Resorts World Casino New York City, US
RESORTS WORLD CASINO NEW YORK CITY, US ………Market leader by gaming revenue in the Northeast US region 7
Slide 8: Resorts World Bimini, Bahamas
RESORTS WORLD BIMINI, BAHAMAS ……… 750-acre luxury beachfront casino resort 8
Slide 9: Group's Key Properties
OVERVIEW GROUP’S KEY PROPERTIES GROUP’S KEY PROPERTIES Resorts World Genting Resorts World Casino New York City A world-class integrated destination resort ~8.2m visitors in FY2016 ~20.2m visitors in FY2016 Equipped with ~5,500 video gaming machines (“VGM”) and other leisure ~10,000 rooms
Slide 10: Financial Snapshot – FY16
OVERVIEW FINANCIAL SNAPSHOT – FY 16 US & % In RM’mil Malaysia UK FY16 FY15 Bahamas Change Revenue 5,707 1,822 1,403 8,932 8,396 ↑6% 64% 20% 16% Adjusted EBITDA 2,036 282 115 2,433 2,306 ↑5% 84% 12% 4% Adjusted EBITDA Margin 36% 15% 8% 27% 27% PBT 3,096 127 (132) 3,091 1,530 ↑>100% Tax (290) (287) Ne
Slide 11: Financial Performance – FY16
OVERVIEW FINANCIAL PERFORMANCE – FY 16 Improved underlying EBITDA • In the UK, better hold percentage in the premium players business and higher volume of business from the non-premium players business • Higher volume of business from RWNYC • Higher volume of business from Malaysia’s mid-to-premiu
Slide 12: Financial Snapshot – 1Q17
OVERVIEW FINANCIAL SNAPSHOT – 1Q17 US & % In RM’mil Malaysia UK 1Q17 1Q16 Bahamas Change Revenue 1,362 393 469 2,224 2,214 - 61% 18% 21% Adjusted EBITDA 447 80 38 565 444 ↑27% 79% 14% 7% Adjusted EBITDA Margin 33% 20% 8% 25% 20% PBT 350 39 (45) 344 262 ↑31% Tax (49) (118) Net Profit 295 144 ↑>100%
Slide 13: Dividend Trend
OVERVIEW DIVIDEND TREND 20 3,500 3,000 16 16.50 Net dividend per share (sen) 2,500 PAT (‘mil) 12 2,000 8 1,500 6.45 6.60 7.13 6.50 7.10 1,000 4 500 - - FY11 FY12 FY13 FY14 FY15 FY16 Net dividend per share of 16.5 sen (includes special dividend of 7.3 sen) Dividend payout tracks earnings growth
Slide 14: Genting Malaysia
GD er ot GENTING 14
Slide 15: Malaysia Performance Review in 1Q17 – Revenue
MALAYSIA PERFORMANCE REVIEW IN 1Q17 – L&H Revenue (RM’mil) 7,000 6,000 5,418 5,490 5,684 5,577 5,623 5,362 5,000 4,000 3,000 2,000 1,344 1,305 1,000 - FY11 FY12 FY13 FY14 FY15 FY16 1Q16 1Q17 Continues to grow whilst facing: • Disruptions arising from ongoing GITP development works • Challenging op
Slide 16: Malaysia Performance Review in 1Q17 – Adjusted EBITDA
MALAYSIA PERFORMANCE REVIEW IN 1Q17 – L&H Adjusted EBITDA (RM’mil) / Margin (%) 3,000 39% 42% 37% 35% 35% 35% 35% 35% 2,500 33% 35% 2,107 2,042 1,972 1,931 1,942 2,000 1,860 28% 1,500 21% 1,000 14% 437 452 500 7% - 0% FY11 FY12 FY13 FY14 FY15 FY16 1Q17 1Q16 Adjusted EBITDA margin remains consisten
Slide 17: RWG Visitation Numbers in FY16
MALAYSIA RWG VISITATION NUMBERS IN FY16 20.2m 71% VISITORS DAY-TRIPPERS (FY15: 19.3m) ↑4% (FY15: 71%) 3.9m 5.0m MEMBERS TICKETS SOLD ↑6% (FY15: 3.7mil) (FY15: 4.4mil) 17
Slide 18: RWG Visitation Numbers in 1Q17
MALAYSIA RWG VISITATION NUMBERS IN 1Q17 Visitors Arrivals 25.0 Hotel Guests 20.2 20.5 20.2 Day-trippers 19.6 19.3 20.0 18.1 Million (RM) 5.4 5.6 5.3 6.0 5.6 15.0 5.0 14.8 14.9 14.2 10.0 14.3 13.1 13.7 5.0 4.9 5.0 1.4 1.5 3.6 3.4 - FY11 FY12 FY13 FY14 FY15 FY16 1Q16 1Q17 18
Slide 19: RWG Hotel Performance in FY16
MALAYSIA RWG HOTEL PERFORMANCE IN FY16 10,000 3.1m ROOMS ROOM NIGHTS 6 HOTELS (FY15: 2.9m) SOLD RM92 93% AVRG ROOM RATE OCCUPANCY ↑11% (FY15:RM83) (FY15: 90%) 19
Slide 20: RWG Hotel Performance in 1Q17
MALAYSIA RWG HOTEL PERFORMANCE IN 1Q17 ARR & Occupancy 200 100% 95% 94% 93% 95% 150 91% 90% 90% 90% 89% Million (RM) 90% 100 89 92 93 93 85% 82 84 80 83 80% 50 75% 0 70% FY11 FY12 FY13 FY14 FY15 FY16 1Q16 1Q17 20
Slide 21: Genting Integrated Tourism Plan (GITP)
GENTING INTEGRATED TOURISM PLAN (GITP)
Slide 22: GITP Overview
GITP OVERVIEW A major 10-year master plan launched in Dec 2013 RM10.38 billion capital investment Invested RM4.4 billion as at 31 Dec 2016 ………… Opening progressively in 2017 and beyond 22
Slide 23: GITP Overview – Opened
GITP OVERVIEW Opened 1,300-room FWH Tower 3 New Awana SkyWay SkyAvenue mall (initial phase) SkyPlaza (initial phase) Hotel on the Park ………… Opening progressively in 2017 and beyond 23
Slide 24: GITP Overview – Coming Soon
GITP OVERVIEW Coming Soon Remaining floors of the SkyAvenue mall and SkyPlaza 20th Century Fox World theme park New indoor theme park An all-suite premium luxury hotel Additional luxury hotels ………… Opening progressively in 2017 and beyond 24
Slide 25: UK, US & Bahamas
Bahamas CT (ewlel NEW YORK CITY ie; 1 3 Lae a PAWAMAS GD Reet Wworlel GENTING RT CASINO MARINA GENTING MALAYSIA 25
Slide 26: Genting Casinos United Kingdom
GENTING CASINOS UNITED KINGDOM 26
Slide 27: United Kingdom Performance Review in FY16 and 1Q17
UNITED KINGDOM PERFORMANCE REVIEW IN FY16 and 1Q17 % % In £’mil FY16 FY15 1Q17 1Q16 Change Change Revenue 339.4 231.4 ↑47% 89.6 91.3 ↓2% Adjusted EBITDA 50.0 (18.6) ↑>100% 14.5 17.0 ↓15% Adjusted EBITDA 15% (8%) 16% 19% Margin Revenue in FY16 ↑ 47% • Premium players ↑ >100% • Non-premium players ↑
Slide 28: United Kingdom Performance Review in FY16 and 1Q17
UNITED KINGDOM PERFORMANCE REVIEW IN FY16 and 1Q17 Revenue (£’mil) 400 339 324 317 320 290 236 231 240 160 91 90 80 - FY11 FY12 FY13 FY14 FY15 FY16 1Q16 1Q17 Visitors ↑ 6% to 4.4m in FY16 (FY15: 4.2m) Visitors ↓ 4% in 1Q17 vs 1Q16 28
Slide 29: New York City
NEW York city NEW YORK CITY 29
Slide 30: US – RWNYC Performance Review
US – RWNYC PERFORMANCE REVIEW IN FY16 and 1Q17 % % In US$’mil FY2016 FY2015 1Q17 1Q16 Change Change Revenue 249.5 238.6 ↑5% 63.8 61.8 ↑3% Adjusted EBITDA 96.5 98.4 ↓2% 24.4 23.0 ↑6% Adjusted EBITDA 39% 41% 38% 37% Margin Improved commission structure with NY state authority Average WPU at US$430
Slide 31: US – RWNYC Performance Review
US – RWNYC PERFORMANCE REVIEW IN FY16 and 1Q17 Revenue (US$’mil) 300 240 250 238 239 240 211 180 120 62 68 60 26* - FY11 FY12 FY13 FY14 FY15 FY16 1Q16 1Q17 Expanded gaming facility by 10% to 5,500 machines in FY16 Continues to lead the Northeast US region (by gaming revenue) at approx. 44.2%^ ma
Slide 32: Genting Malaysia
GENTING MALAYSIA 32
Slide 33: First Light Resort and Casino
FIRST LIGHT RESORT AND CASINO Located at the Taunton, Massachusetts, US US Department of Interior set a new date of 30 October 2017 to consider case* Invested approx. US$347.4 million** in interest bearing promissory notes * Refer to Announcement on Bursa Malaysia by GENM dated 7 July 2017 **
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Slide 35: Bahamas – RW Bimini
BAHAMAS – RW BIMINI PERFORMANCE REVIEW IN 1Q17 % % In US$’mil FY2016 FY2015 1Q17 1Q16 Change Change Revenue 30.2 38.0 ↓21% 4.3 5.5 ↓22% Adjusted EBITDA (91.7) (63.1) ↓45% (17.2) (18.3) ↑6% Higher losses in FY16 mainly due to:- • non-recurring costs arising from cessation of Bimini SuperFast cruise
Slide 36: Genting Malaysia
GENTING MALAYSIA 36
Slide 37: Looking Ahead: Prospects and Focus – General
LOOKING AHEAD PROSPECTS AND FOCUS General Prospects Global economy is expected to improve Tourism outlook remains positive Optimistic on the growth potential in the L&H industry in the longer term 37
Slide 38: Looking Ahead: Prospects and Focus – Resorts World Genting
LOOKING AHEAD PROSPECTS AND FOCUS Resorts World Genting Leverage on new facilities under the GITP To progressively open remaining attractions and facilities Optimising its operational efficiencies Improve its yield management and database marketing efforts Enhance its service delivery 38
Slide 39: Looking Ahead: Prospects and Focus – UK, US, Bimini
LOOKING AHEAD PROSPECTS AND FOCUS Genting UK Further grow market share in non-premium players business Reduce short term volatility in the premium players business Improve operational efficiencies at Resorts World Birmingham Resorts World Casino New York City Remains market leader (by gaming
Slide 40: Questions & Answers
Q&A QUESTIONS & ANSWERS 40
Slide 41: Disclaimer
Disclaimer Some of the statements made in this presentation which are not statements of historical facts are forward-looking statements and are based on the current beliefs, assumptions, expectations, estimates, objectives and projections of the directors and management of the Genting Malaysia Group