Singapore Exchange Ltd. · SGX:S68
Singapore Exchange — ARA Asset Management — H1 2013 Earnings Presentation
18 slides from Singapore Exchange's earnings presentation, Sep 26, 2013
Slide 1: ARA Asset Management Limited Results for the Half Year Ended 30 June 2013
ARA ASSET MANAGEMENT LIMITED RESULTS FOR THE HALF YEAR ENDED 30 JUNE 2013
Slide 2: 1. Business Overview
1. Business Overview ARA (An Affiliate of Cheung Kong Gro
Slide 3: Funds & Services
FUNDS & SERVICES Diversified and complementary funds platform & services REITs Listing Venue SGX‐ST & SEHK SGX‐ST SEHK Bursa SGX‐ST SEHK Listing Year 2003 2004 2005 2006 2009 2011 Focus Suburban retail Prime office & Office & industrial/ Commercial Logistics properties Commercial properties in retai
Slide 4: Business Segments
BUSINESS SEGMENTS Delivering value to shareholders ARA ASSET MANAGEMENT LIMITED Business Private Real Estate Real Estate Corporate Finance Segments REIT REITs Funds Management Services Advisory Services Revenue ‐ Base Fees Portfolio Management Property Management Recurrent (Gross Property Value) Fee
Slide 5: Assets Under Management
ASSETS UNDER MANAGEMENT S$23.5 billion as at 30 June 2013 S$b S$b 24.0 23.5 24.0 REITs ‐ Real Estate 22.7 22.0 Private RE Funds ‐ Real Estate 22.0 20.3 20.0 Private RE Funds ‐ Capital 20.0 18.0 Real Estate Management Services 18.0 17.0 16.0 16.0 14.0 13.0 14.0 12 0 12.0 11.7 12 0 12.0 10.0 9.5 10.0
Slide 6: 2. Financial Highlights
2. Financial Highlights 6
Slide 7: Financial Highlights
FINANCIAL HIGHLIGHTS Delivering strong returns to shareholders Recurrent revenue up p 18% year‐on‐year y y Recurrent Net Profit(1) up p 17% year‐on‐year y y Recurrent Management Fees Recurrent Net Profit S$$ '000 S$$ '000 60,000 56,155 30,000 18% 27,000 17% 50,000 47,782 25,000 23,044 40,000 20,000
Slide 8: Financial Highlights
FINANCIAL HIGHLIGHTS Stable and recurrent income streams Financial Highlights 1H2013 1H2012 Change (%) Revenue f (1) Management fees ( $’ (S$’000) ) 56,155 47,782 18% Acquisition, divestment and performance fees(2) (S$’000) 2,292 4,663 (51%) Finance income(3) (S$’000) 5,640 10,343 (45%) Other income
Slide 9: Revenue and Net Profit
REVENUE AND NET PROFIT Strong track record of revenue and net profit growth S$m S$m 140 133.5 80 Recurrent management fees 72.7 Acquisition & performance fees 122.8 Net Profit 68.2 Other income 70 120 112.5 63.8 60 100 86.3 48.3 50 80 70 0 70.0 62.1 40 36.7 34.0 60 30 40 31.3 20 27.6 13.4 13.5 20 10
Slide 10: Balance Sheet
BALANCE SHEET Asset‐light business model with robust balance sheet Group Balance Sheet as at 30 June 2013 S$’000 S$’000 Non‐current assets Non‐current liabilities Plant and equipment 1,486 Financial liabilities 166 Tenancy deposits 970 Deferred tax liabilities 80 Associates 4,258 Financial assets 20
Slide 11: Dividends
DIVIDENDS Proposed interim dividend of S$0.023 per share for the period from 1 Jan 2013 to 30 Jun 2013 Following the 1‐for‐10 bonus issue in March 2013, the interim dividend represents a 10% increase in payout compared to 1H2012 S cents 3.0 2.70 2.70 Interim Dividend 2 50 2.50 2 50 2.50 2.5 2.30 2.3
Slide 12: Dividends
DIVIDENDS Record dividend payout in FY2012 Record total dividend payout for FY2012 at S$40.5 million S$m 45 40.5 40 38.4 35 33.5 30 27.9 25.7 25 20 15 10 5 - FY08 FY09 FY10 FY11 FY12 1‐for‐5 1‐for‐10 1‐for‐10 bonus issue bonus issue bonus issue 12
Slide 13: 3. Strategy
3. Strategy 13
Slide 14: Established Regional Network
Established regional network Expanding regional footprint across Asia Beijing Shenyang Dalian Nanjing • Established Shanghai regional network spanning 13 cities Guangzhou Hong Kong in the Asia‐Pacific, i l di including 6 cities iti in the China Mainland Kuala Lumpur Ipoh p • Network extends Klang Si
Slide 15: ARA Group Investment Office
ARA GROUP INVESTMENT OFFICE Driving the Group’s expansion Capital Raising ARA Group Investment Office Deall Sourcing S i Product d & Origination Development 15
Slide 16: 2013 Strategy Implementation
2013 STRATEGY IMPLEMENTATION Poised for the next phase of growth Joint Ventures New Markets Build / Alliances New Capital Relationships Build S Sources Investor Operating Pan‐Asia Teams and Capabilities Driven Develop Partners Same Focus Expertise Products Mergers & (Fund Acquisitions q Management)
Slide 17: Management Team
MANAGEMENT TEAM Experienced team with a proven track record Group CEO John Lim CEO CEO Public Market Property Management CIO Private Market Corporate Divisions John Lim Ng Beng Tiong Services Moses Song Suntec REIT ADF I APM Singapore ARA Financial Finance & Compliance Yeo See Kiat Ng Beng Tiong Ant
Slide 18: Disclaimer
DISCLAIMER These slides may contain forward‐looking statements that involve risks and uncertainties. Actual future performance, outcomes and results may differ materially from those expressed in forward forward‐looking looking statements as a result of a number of uncertainties, risks and assumption