Singapore Exchange Ltd. · SGX:S68
Singapore Exchange — Singapore Press Holdings — FY2013 Earnings Presentation
19 slides from Singapore Exchange's earnings presentation, Oct 11, 2013
Slide 1: FY2013 Financial Results
FY2013 Financial Results 11 October 2013
Slide 2: Group FY2013 financial highlights
Group FY2013 financial highlights FY2012 FY2013 Change S$’000 S$’000 % Restated@ Operating Revenue 1,239,452 1,272,913 (2.6) Operating Profit# 369,288 428,822 (13.9) Fair value gain on investment 111,407 198,710 (43.9) properties@ Investment Income 13,971 32,590 (57.1) Net Profit attributable to 430
Slide 3: Group FY2013 financial highlights
Group FY2013 financial highlights FY2012 FY2013 Change Operating Revenue S$’000 S$’000 % Restated Newspaper and Magazine 991,220 1,031,227 (3.9) Property 198,139 191,421 3.5 Others 50,093 50,265 (0.3) 1,239,452 1,272,913 (2.6) Newspaper and Magazine • Advertisement revenue fell S$31.7m (4.0%) • Circ
Slide 4: Group FY2013 financial highlights
Group FY2013 financial highlights FY2012 Profit/(Loss) before FY2013 Change S$’000 Note taxation S$’000 % Restated Newspaper and 293,340 330,332 (11.2) (a) Magazine Property 222,417 317,260 (29.9) (b) Treasury and Investment 11,385 31,118 (63.4) (c) Others (38,043) (19,760) 92.5 (d) 489,099 658,950
Slide 5: Group FY2013 highlights
Group FY2013 highlights Operating Revenue Composition Newspaper and Magazine (S$1,239.5m) Advertisement Revenue Composition (S$757.2m) 7.1% 16.0% 14.3% 15.8% 27.2% 61.1% 58.5% Advertisements (Newspaper & Magazine) Display Circulation Classified * Rental & Services Magazines & Others Others * Classif
Slide 6: Rate of ad revenue decline appears to have moderated in 4Q FY13
Rate of ad revenue decline appears to have moderated in 4Q FY13 5.0% Newspaper Ad Revenue Y-O-Y Growth (%) 0.0% -1.1% -2.2% -2.3% -2.5% -5.0% -4.1% -4.8% -2.6% -5.1% -5.1% -5.7% -6.3% -10.0% -7.1% -10.5% -10.2% -9.3% -15.0% 1QFY13 2QFY13 3QFY13 4QFY13 FY13 Display Classified* Total * Classified incl
Slide 7: Circulation copies increased with digital sales
Circulation copies increased with digital sales 7
Slide 8: Group FY2013 highlights
Group FY2013 highlights Cost Composition (S$888.4m) 23.5% 39.4% 13.5% 6.5% 10.0% 7.1% Staff Cost Newsprint Premises Cost Depreciation Other Materials, Production & Distribution Costs Other Operating Expenses 8
Slide 9: Staff costs decreased 2.9%
Staff costs decreased 2.9% Change FY2013 FY2012 % Staff Cost (S$'000) 349,643 360,160 (2.9) Average Headcount 4,349 4,228 2.9 Lower staff costs as headcount increase plus salary increments were offset by variable bonus provision 9
Slide 10: Newsprint prices are expected to remain flat in the near term
Newsprint prices are expected to remain flat in the near term Average Newsprint Charge-Out Price & Monthly Consumption 700 12,000 644 650 626 609 607 11,000 600 9,958 550 9,844 10,000 8,965 9,391 500 9,000 450 400 8,000 1QFY13 2QFY13 3QFY13 4QFY13 LHS - Prices (US$) RHS - Ave Mthly Consumption (MT)
Slide 11: Healthy operating margins
Healthy operating margins S$'m Recurring Earnings# and Operating Margin^ 600 40.0% 35.0% 500 30.0% 400 25.0% 300 20.0% 15.0% 200 10.0% 100 5.0% 0 0.0% FY2009 FY2010 FY2011 FY2012(Restated) FY2013* Profit before investment income (S$'m) Sky@eleven profits (S$'m) Operating Margin^ # This represents th
Slide 12: Our Strategy Ahead
Our Strategy Ahead • The Group has engaged strategy consultant to review new growth opportunities whilst exploring ways to reinvigorate the core media business • We have identified various initiatives which, when implemented, would generate annual cost savings of about S$19 million • Project team wo
Slide 13: Successful listing of SPH REIT
Successful listing of SPH REIT • SPH REIT was established with the injection of Paragon and The Clementi Mall, and was listed on SGX-ST on 24 July 2013 • The Group retains a 70% stake in SPH REIT • A special dividend of 18 cents per share in relation to the listing of SPH REIT was paid on 16 August
Slide 14: Property
Property Paragon The Clementi Mall The Seletar Mall • Higher rental income due to • Rental income remained stable • Will be the largest suburban lifestyle higher rental rates • Market value of S$0.5b hub in the North-East • Market value of S$2.6b • Gross development value of S$0.5b • Completed by De
Slide 15: Group investible fund
Group investible fund Group Investible Fund (S$1.7b) • The Group will maintain a 14.7% conservative stance on its investment 26.9% portfolio allocation • Returns are expected to be 26.3% commensurate with a lower risk- 32.1% return profile to mitigate against Equities Bonds higher volatility Investm
Slide 16: Online Classifieds with Enterprise Value of S$303 million
Online Classifieds with Enterprise Value of S$303 million* No. 1 local website in Malaysia, with No. 2 classifieds website in 650 million monthly page views1 Indonesia, with close to 400 million monthly page views1 Profitable since FY2012 No. 2 classifieds website in the No. 1 classified w
Slide 17: Growing listenership for all our radio stations
Growing listenership for all our radio stations Third most popular English radio station in Singapore * * Source: Nielsen Radio Diary Survey
Slide 18: All time high payout, 40 cents
All time high payout, 40 cents^ Final dividend per share of 15 cents Net dividend per share (cents) 40 32 30 28 27 26 25 24 24 24 22 20 FY2009* FY2010* FY2011 FY2012 FY2013 ^ * FY2009 to FY2010 included profits from the Group’s Sky@Eleven development ^ Total dividend for FY2013 comprises 7 cents int
Slide 19: Thank you
Thank you Please visit www.sph.com.sg for more information.
Singapore Press Holdings — FY2013 Earnings Presentation on 6ix