Galaxy Entertainment Group Limited · HKEX:27
Galaxy Entertainment — H1 2013 Earnings Presentation
25 slides from Galaxy Entertainment's earnings presentation, Aug 20, 2013
Slide 1: Interim Results 2013
Interim Results 2013 August 20, 2013
Slide 2: Executive Summary
Executive Summary GEG: Record Half Year Revenue, Adjusted EBITDA and NPAS • Half year revenue increased 9% year-on-year to $30.8 billion • Half year Adjusted EBITDA of $5.8 billion, up 23% year-on-year • Second quarter Adjusted EBITDA of $3.02 billion, a year-on-year increase of 18% • Net profit att
Slide 3: Q2 2013 Results
© UR GEG —> KG 538 GEG Q2 2013 RESULTS August 2013 3
Slide 4: GEG Revenue Summary Q2 2013
GEG Revenue Summary Q2 2013 Group Revenue in Q2 2013 grew 3% YoY to $15.7 billion GEG Revenue (HK$’m) Q2 Q1 to Q2 2013 YoY QoQ $15,658 $15,158 $15,155 +3% +3% $538 $419 $594 GEG Total $48 $39 $46 $5,825 $5,775 $5,791 Galaxy Macau™ +5% +3% StarWorld (1)% 0% $8,756 $8,915 $9,225 City Clubs +23% +4% Co
Slide 5: GEG EBITDA Summary Q2 2013
GEG EBITDA Summary Q2 2013 Group EBITDA grew 18% YoY in Q2 2013 to an all time quarterly record of $3.0 billion driven by Galaxy Macau™’s 8th consecutive quarter of EBITDA growth and StarWorld’s second best quarter ever GEG EBITDA (HK$’m) Q2 Q1 to Q2 2013 $3,021 YoY QoQ $2,767 $2,559 $131 $60 $48 +1
Slide 6: GEG Latest 12 Month EBITDA Summary
GEG Latest 12 Month EBITDA Summary LTM EBITDA ended June 30, 2013 climbed 26% to nearly $11 billion GEG (HK$’m) Galaxy Macau™ StarWorld Others $10,923 $10,461 $42 $9,847 $84 $9,463 $104 $8,643 $177 $3,235 $3,256 $205 $3,247 $3,428 $3,364 $7,646 $7,121 $6,496 $5,858 $5,074 2012 Q2 2012 Q3 2012 Q4 201
Slide 7: Galaxy Macau
GALAXY MACAL R PS August 2013
Slide 8: Galaxy Macau Q2 2013
Galaxy Macau Q2 2013 Galaxy Macau™ reported 8th consecutive quarter of EBITDA growth in Q2 with EBITDA of $2.1 billion due primarily to improving Mass Revenue Q2 Q1 to Q2 2013 YoY QoQ • Reported revenue of $9.2 billion and Galaxy Macau™ Total +5% +3% EBITDA of $2.1 billion VIP Gaming (5)% +1% Mass
Slide 9: StarWorld Macau
StarWorld Macau August 2013 9
Slide 10: StarWorld Macau Q2 2013
StarWorld Macau Q2 2013 StarWorld’s improving momentum continues with 2nd best EBITDA quarter with $885 million Q2 Q1 to Q2 2013 Revenue YoY QoQ StarWorld Total (1)% 0% • Total revenue of $5.8 billion VIP Gaming (6)% 0% • Mass record win of $856 million grew Mass Gaming +57% +7% 57% YoY Slots (20)%
Slide 11: City Clubs
City Clubs City Clubs reported Q2 2013 EBITDA of $48 million • Grand Waldo casino suspended operations as part of GEG’s acquisition City Clubs EBITDA (HK$’m) $46 $48 $39 2012 Q2 2013 Q1 2013 Q2 August 2013 11
Slide 12: Construction Materials
Construction Materials Reported Q2 2013 EBITDA of $131 million Construction Materials EBITDA (HK$’m) $145 $131 $60 2012 Q2 2013 Q1 2013 Q2 August 2013 12
Slide 13: Acknowledgment of Excellence
Acknowledgment of Excellence GEG included as a constituent of the benchmark Hang Seng Index in June 2013 • GEG received many honours and awards in 2013 Date Awards Organization Best Managed Company Best Investor Relations Best CEO – Mr. Francis Lui 2013 Jun FinanceAsia Magazine Best CFO – Mr. Robert
Slide 14: 1H 2013 Results
1H 2013 RESULTS August 2013 14
Slide 15: GEG Revenue Summary 1H 2013
GEG Revenue Summary 1H 2013 Revenue in first half 2013 grew 9% YoY to a record $30.8 billion driven by Galaxy Macau™ & StarWorld GEG Revenue (HK$’m) $30,813 1H 13 YoY 2H12 to 1H13 $28,322 $28,424 $1,013 $1,110 $94 $940 $82 $81 GEG Total +9% +8% $11,566 $10,174 Galaxy Macau™ +13% +6% $11,311 StarWorl
Slide 16: GEG EBITDA Summary 1H 2013
GEG EBITDA Summary 1H 2013 Group EBITDA increased 23% YoY to a record $5.8 billion in the first half of 2013 led by Galaxy Macau™ & StarWorld GEG EBITDA (HK$’m) $5,788 1H 13 YoY 2H12 to 1H13 $5,135 $191 $4,712 $94 $231 GEG Total +23% +13% $228 $81 $1,746 $82 $1,489 Galaxy Macau™ +40% +11% $1,758 Sta
Slide 17: GEG 1H 2013 NPAS
GEG 1H 2013 NPAS 2013 1H NPAS grew 35% to a record $4.6 billion (in HK$ mn) 1H 2012 1H 2013 13/12 var Total Revenue 28,322 30,813 9% EBITDA 4,712 5,788 23% Net Profit attributable to shareholders (NPAS) 3,446 4,646 35% August 2013 17
Slide 18: Cash on Hand & Long Term Debt
Cash on Hand & Long Term Debt GEG continues to remain well capitalized with Cash of $18.1 billion at June 30, 2013 including restricted cash of $2.2 billion • Represent a “net cash” position of $7.8 billion • Subsequently prepaid $3.5 billion of debt and reduced total borrowings by nearly 35% in ear
Slide 19: GEG Cotai Development Update
GEG Cotai Development Update August 2013 19
Slide 20: Galaxy Macau Phase 2: August 2013
Galaxy Macau Phase 2: August 2013 August 2013 20
Slide 21: Galaxy Macau Phase 2: August 2013
Galaxy Macau Phase 2: August 2013 August 2013 21
Slide 22: Cotai Development Update
Cotai Development Update Galaxy Macau™ Phase 2 on schedule to complete in Mid-2015 • Remains on budget and on schedule to complete by mid-2015 Cotai Phases 3 & 4 • Finalizing planning with construction targeted to commence by the end of 2013/ early 2014 • Doubles the footprint of the Galaxy Macau™’s
Slide 23: Summary Positioned for Growth
Summary Positioned for Growth Corporate • GEG included as a constituent in the Hang Seng Index in June 2013 Operations • Galaxy Macau™ reports 8th consecutive quarter of • Galaxy commenced EBITDA growth with $2.1 billion in Q2 2013 with a vision • StarWorld reports $885 million EBITDA in Q2 2013, 2n
Slide 24: Disclaimer
Disclaimer This document and any verbal presentation or discussion have been prepared by Galaxy Entertainment Group Limited (the “Company”) solely for your personal reference. The information provided has not been independently verified. No representation or warranty express or implied is made as to
Slide 25: Interim Results 2013
Interim Results 2013 August 20, 2013
Galaxy Entertainment Group — H1 2013 Earnings Presentation on 6ix