Megawide Construction Corporation · PSE:MWIDE
Megawide Construction — Q1 2024 Earnings Presentation
37 slides from Megawide Construction's earnings presentation, May 17, 2024
Slide 1: Megawide Construction Corp. 1Q2024 Financial and Operating Results
Megawide Construction Corp. 1Q2024 Financial and Operating Results 17 May 2024
Slide 2: Disclaimer
DISCLAIMER This presentation was prepared solely and exclusively for discussion purposes. This presentation and/or any part thereof may not be reproduced, disclosed or used without the prior written consent of Megawide Construction Corporation (the “Company”). This presentation, as well as discussio
Slide 3: Outline
1.0 Financial Highlights 2.0 Deliver Outline 3.0 De-lever 4.0 Disclose 5.0 Open Forum
Slide 4: Financial Highlights
FINANCIAL HIGHLIGHTS
Slide 5: P183M Net Income: 1Q2024 Financial Highlights
1Q2024 FINANCIAL HIGHLIGHTS In PhP M Q1 2024 Q1 2023 % change Revenues 5,202.30 4,356.51 19% Construction Operations 4,948.23 4,266.35 16% Landport Operations 107.19 90.16 19% Real Estate Operations 146.89 - 100% Direct Costs 4,263.19 3,954.30 8% 19% Construction Operations 4,103.90 3,863.48 6% Grow
Slide 6: Margin Performance
MARGIN PERFORMANCE 1Q2024 1Q2023 Gross Profit Margin 18% 9% 18% Gross Margin Construction Terminal Operations 17% 9% 26% 1% vs 9% 1Q2023 Real Estate Operations 46% - EBITDA Margin 24% 20% 4% Net Margin Construction 25% 19% vs Net Loss in 1Q2023 Terminal Operations 41% 62% Real Estate Operations - -
Slide 7: Megawide's 3-D Vision
MEGAWIDE’S 3-D VISION Order book Landport performance Real estate revenue Reduce Debt Enhance Margins ESG IFRS S1 and S2 Scope 1 and 2 Emissions Climate related exposure
Slide 8: Deliver
DELIVER
Slide 9: Construction
Construction
Slide 10: Increasing Revenue Trajectory
INCREASING REVENUE TRAJECTORY QUARTERLY PERFORMANCE (PhP M) 6,702 16% 4,948 4,267 4,265 4,213 1Q2024 YoY revenue growth 3,792 3,280 3,247 2,959 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 10
Slide 11: Healthy Order Book P45B
HEALTHY ORDER BOOK ORDER BOOK MIX Q1 2024 Infrastructure… Office & Commercial , 59% P45B Order book (3-4 years burn) Residential , 20 23% Existing projects % COMPLETION 80-100%, 0% 68% 0-20% completion (for future revenue recognition) 20-80%, 32% 0-20%, 68% 11
Slide 12: Citicore's Solar Power Plants
CITICORE’S SOLAR POWER PLANTS LUMBANGAN SOLAR POWER PLANT BINALONAN PLANT
Slide 13: Metro Manila Subway System
METRO MANILA SUBWAY SYSTEM 13
Slide 14: Malolos Clark Railway Project
MALOLOS CLARK RAILWAY PROJECT 14
Slide 15: Westside City Resort Complex
WESTSIDE CITY RESORT COMPLEX
Slide 16: Landport Operations
Landport Operations
Slide 17: Steady Revenue Generation
STEADY REVENUE GENERATION REVENUE PERFORMANCE 87.4 19% 20.3 51.5 22.7 - 19.7 77.9 36.6 22.1 - 44.8 61.3 18.7 - 25.8 33.0 52.2 43.3 69.6 62.9 71.1 Q1 2024 revenue growth 53.4 63.9 54.5 38.4 -19.1 54.2 -16.3 67.4 -16.9 33.8 30.9 -8.7 -90.1 -132.0 -221.1 1Q2022 2Q2022 3Q2022 4Q2022 1Q2023 2Q2023 3Q2023
Slide 18: Increasing Traffic and Passenger Spending
INCREASING TRAFFIC AND PASSENGER SPENDING AVERAGE DAILY FOOT TRAFFIC (‘000) 124 119 120 116 117 113 111 110 107 107 102 120K 99 97 Daily foot traffic vs 97K Q1 2023 90 90 Jan-23 Mar-23 May-23 Jul-23 Sep-23 Nov-23 Jan-24 Mar-24 P34 AVERAGE SPEND PER PAX (Php) Average passenger spend in 1Q2024 40 37 3
Slide 19: Commercial Holding Steady
COMMERCIAL HOLDING STEADY Q1 2024 COMMERCIAL OCCUPANCY 84% 84% 84% 82% 78% 75% 78% Commercial area occupancy from 75% Q1 2023 Jan-23 Mar-23 May-23 Jul-23 Sep-23 Nov-23 Jan-24 Mar-24 Q1 2024 TENANT MIX 49-36-15% Others F&B – Retail – Services share 15% F&B 49% Retail 36% 19
Slide 20: New Retail Tenants
PIT X PARANAQUE INTEGRATED NEW RETAIL TENANTS re #2 TU BURGER LS : UDON CoCo Engineering A First-World Philippines fi MEGAWIDE
Slide 21: Office Occupancy Recovering
OFFICE OCCUPANCY RECOVERING QUARTERLY OFFICE OCCUPANCY 64% 65% 65% 60% 48% 47% 35% 27% 27% Office towers occupancy 18% (from 18% in end of 2023) Mar-22 Jun-22 Sep-22 Dec-22 Mar-23 Jun-23 Sep-23 Dec-23 Mar-24 Q1 2024 TENANT MIX 89% Leased-out rate Non-POGO 39% POGO 61%
Slide 22: New Office Tenant Sign Ups
NEW OFFICE TENANT SIGN UPS PITX Le ad STOL © UTOL KABA? DITOKANA! FW inBox Sf S¢ yy. a wy IA Pp ™ IS TE-PEOPLE U nw fi MEGAWIDE
Slide 23: Real Estate Operations
Real Estate Operations
Slide 24: Revenue Performance
REVENUE PERFORMANCE YTD REVENUE (PHP MN) REVENUE BY PROJECTS 145 The Hive My Enso Lofts PHP43 MN 70 Q1 2024: PHP145 MN PHP102 MN Q1 2024 Q1 2023* *PH1 was acquired in July 2023 24
Slide 25: Higher Value Units Being Sold
HIGHER VALUE UNITS BEING SOLD UNITS 282 • P7.9M 108 Average price per unit (vs P4.4M in 1Q2023) 1Q2024 1Q2023 VALUE (PHP MN) • 46% From newly launched Modan Lofts Ortigas Hills 1,242 858 1Q2024 1Q2023
Slide 26: Progress Update - My Enso Lofts
PROGRESS UPDATE - MY ENSO LOFTS
Slide 27: Progress Update - Northscapes SJDM
PROGRESS UPDATE – NORTHSCAPES SJDM
Slide 28: Progress Update - Northscapes SJDM
PROGRESS UPDATE – NORTHSCAPES SJDM
Slide 29: Delever
DELEVER
Slide 30: Balance Sheet Highlights
BALANCE SHEET HIGHLIGHTS March 31, 2024 December 31, 2023 ASSETS Cash 5,213.11 4,878.89 Trade receivables 20,421.61 19,155.92 Real estate inventories 4,017.65 3,872.92 Other current assets 19,736.15 19,332.96 Noncurrent asset held for sale 2,879.77 2,879.77 Total Current Assets 52,268.29 50,120.46 1
Slide 31: P6B Debt Paydown in 24 Months
P6B DEBT PAYDOWN IN 24 MONTHS DELEVERING 33 2 1.9 1.9 32 Ease Debt Servicing 1.8 31 1.7 • 30 1.6 1.5 29 1.5 1.4 28 1.4 • Enhance Margins 1.3 27 1.2 26 1.1 • Strengthen Balance Sheet 32.4 28.4 26.4 25 1 2023 2024E 2025E Bank Loans Bank D-E Ratio
Slide 32: Disclose
DISCLOSE Engineering A First-World Philippines
Slide 33: SEC Publicly Listed Companies New Climate Disclosure Rules
ISSB issued the new climate reporting standards last June 26, 2023 SEC PUBLICLY LISTED On October 28 2023, SEC published a report to revised the sustainability guidelines to aligned with the ISSB standards which COMPANIES NEW CLIMATE includes the IFRS S1 and S2 DISCLOSURE RULES On December 29, 2023,
Slide 34: What is IFRS S1 and S2?
WHAT IS IFRS S1 AND S2? IFRS S1 covers information about the company’s governance, strategy, risk management, and the applicable metrics and targets for its identified material sustainability-related risks and opportunities. IFRS S2 specifically requires to publish the absolute gross GHG emissions f
Slide 35: Megawide Is a Trailblazer in the Industry
MEGAWIDE IS A TRAILBLAZER IN THE INDUSTRY Megawide is prepared to DISCLOSE all sustainability risks and opportunities in accordance with IFRS S1 and S2 this year. We believe that being pro-active, in terms of ESG reporting, we can future-proof our business and further enhance our value to all our st
Slide 36: Q and A
fil MEGAWIDE QandA Engineering A First-World Philippines
Slide 37: Thank you
I MEGAWIDE Thank you Contact us investorrelations@megawice.com.oh www.megawice.com.ph ASIA’S BEST COMPANIES Follow us fb.com/MegawideConstructionCorp FinanceAsia 2023 BEST CEO Edgar Saavedra, Megawide Construction Corporation Engineering A First-World Philippines FinanceAsia 2023 BEST MANAGED COMPAN
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