Singapore Exchange Ltd. · SGX:S68
Singapore Exchange — Ascendas Hospitality Trust — Q3 FY2017/18 Earnings Presentation
26 slides from Singapore Exchange's earnings presentation, Feb 1, 2018
Slide 1: 3Q FY2017/18 Financial Results Presentation
3Q FY2017/18 Financial Results Presentation 1 February 2018
Slide 2: Disclaimer
Disclaimer This presentation shall be read in conjunction with A-HTRUST’s Unaudited Financial Results for the Third Quarter ended 31 December 2017 (“3Q FY2017/18”) a copy of which is available on www.sgx.com or www.a-htrust.com. This presentation may contain forward-looking statements that involve r
Slide 3: Contents
3 Contents 1 Key Highlights 2 Financial Review 3 Portfolio Performance 4 Capital Management 5 Looking Ahead
Slide 4: Key Highlights
1 Key Highlights
Slide 5: 3Q FY2017/18 Financial Highlights
3Q FY2017/18 Financial Highlights 3Q FY2017/181 3Q YTD FY2017/181 Gross Revenue S$58.1m 1.8% y-o-y S$170.0m 1.8% y-o-y Net Property Income (“NPI”) S$25.2m 4.7% y-o-y S$72.0m 1.9% y-o-y Income available for distribution S$17.2m 12.1% y-o-y S$50.2m 1.7% y-o-y Adjusted Income available for S$16.0m 13.7
Slide 6: 3Q FY2017/18 Portfolio Highlights
3Q FY2017/18 Portfolio Highlights AOR1 ADR1 RevPAR1 0.1pp AUD 1.7% AUD 1.9% Australia 86.7% y-o-y y-o-y y-o-y 184 160 1.7pp RMB 2.7% RMB 0.9% China 84.4% y-o-y y-o-y y-o-y 413 349 Applies to Oakwood Apartments only JPY 5.9% Japan Driven by higher occupancy and room rates 10,970 y-o-y Singapore
Slide 7: Financial Review
2 Financial Review
Slide 8: Results Summary – 3Q FY2017/18
Results Summary – 3Q FY2017/18 3rd Quarter S$’ million FY2017/18 FY2016/17 Change2 Gross • Weaker performance from 58.1 59.2 (1.8)% Revenue Australia portfolio • Weakening of AUD, RMB, Net Property JPY against SGD 25.2 26.4 (4.7)% Income NPI Margin (%) 43.4 44.7 (1.3)pp • Due to lower NPI, higher tr
Slide 9: Results Summary – 3Q YTD FY2017/18
Results Summary – 3Q YTD FY2017/18 3Q YTD • Overall underlying revenue portfolio performance S$’ million FY2017/18 FY2016/17 Change2 improved by S$1.9 million, Gross augmented by stronger 170.0 167.1 1.8% AUD while partially offset Revenue by weaker JPY Net Property • NPI was affected by lower 72.0
Slide 10: Distribution History
Distribution History 25.0 1.80 1.64 1.45 1.60 1.38 1.38 1.42 1.41 1.37 1.28 1.30 1.29 1.31 1.40 Distributable Income (S$ million) 20.0 1.20 DPS (Singapore cents) 18.5 1.00 15.0 16.2 16.1 16.0 15.5 15.5 15.4 14.6 14.5 14.7 0.80 14.2 0.60 10.0 0.40 0.20 5.0 0.00 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q FY15/1
Slide 11: Portfolio Performance
3 Portfolio Performance
Slide 12: Performance by Country
Performance by Country Weaker performance from Australia portfolio compounded with weaker AUD, RMB, JPY against SGD Gross Revenue Net Property Income 50.0 20.0 2.1% 42.0 41.1 40.0 14.9 7.6% 15.0 13.7 30.0 S$ million S$ million 10.0 20.0 5.4% 6.4 6.1 4.7% 5.0 7.3% 10.0 0.5% 8.7 8.3 0.7% 3.2 3.4 5.3 5
Slide 13: NPI Breakdown by Country and Contract Type
NPI Breakdown by Country and Contract Type Well diversified portfolio with good mix of master lease arrangements and management contracts 3Q FY16/17 Net Property Income 3Q FY17/18 Net Property Income Master Lease: Master Lease: 36% 38% Singapore Singapore 12% 13% Japan 3Q FY16/17 3Q FY17/18 24% Net
Slide 14: Australia portfolio impacted by weaker C&E business
Australia portfolio impacted by weaker C&E business 3rd Quarter Mainly due to lower contribution from Melbourne AUD FY17/18 FY16/17 Change hotel, which is impacted by weaker C&E business and higher land tax AOR (%) 86.7 86.6 0.1pp Novotel Sydney Central continue to improve while ADR 184 181 1.7%
Slide 15: Stable performance from China portfolio
Stable performance from China portfolio 3rd Quarter Novotel Beijing Sanyuan benefitted from strong RMB FY17/18 FY16/17 Change public and corporate demand AOR (%) 84.4 86.1 1.7pp Ibis Sanyuan Beijing affected by weaker demand from participants of exhibitions and local corporate ADR 413 402 2.7% c
Slide 16: Improved underlying performance for Japan portfolio
Improved underlying performance for Japan portfolio 3rd Quarter Tokyo Big Sight benefitted Oakwood Apartments JPY FY17/18 FY16/17 Change Ariake Tokyo RevPAR1 10,970 10,358 5.9% Inbound guest groups helped to drive the performance of Hotel Sunroute Osaka Namba However, weaker JPY against SGD ne
Slide 17: How our hotels performed
How our hotels performed Comparing of A-HTRUST’s hotels performance against peers during the quarter Australia China 20.0 y-oy RevPAR Growth (%) 10.0 9.1 7.9 6.1 6.4 4.9 5.6 5.4 4.8 4.5 2.3 1.8 2.1 0.0 -0.7 -2.6 -2.0 -1.9 -2.2 -6.3 -10.0 Pullman Sydney Novotel Sydney Novotel Sydney Courtyard by Pull
Slide 18: Capital Management
Capital Management ascendas Hospitality Trust.
Slide 19: Healthy balance sheet
Healthy balance sheet As at As at 31 December 2017 30 September 2017 Borrowings (S$ m) 546.9 551.6 Total Assets (S$ m) 1,646.3 1,692.5 A-HTRUST Gearing (%)1 33.2 32.6 - A-HREIT Gearing (%) 25.6 25.6 - A-HBT Gearing (%) 37.4 36.3 Weighted average interest rate (%) 2.7 2.9 Weighted average debt to mat
Slide 20: Balanced debt profile and prudent capital management
Balanced debt profile and prudent capital management Debt Maturity Profile Debt Currency Profile 250 RMB Weighted average debt to maturity 5.5% as at 31 December 2017: 2.8 years AUD Total Debt 200 70 44.0% JPY as at 43.3% 31 Dec 2017 173 SGD 150 75 7.3% S$ million 143 Interest Rate Profile 100 86 Fl
Slide 21: Looking Ahead
Looking Ahead ascendas Hospitality Trust.
Slide 22: Australia
Australia The performance of the hotel market in Sydney CBD in general is expected to remain healthy in the near term given its popularity as a destination and relatively limited upcoming supply of rooms. However, the hotel markets in suburban Sydney are expected to face challenges from increase
Slide 23: China
China Domestic travelling continued to drive the hotel market performance in Beijing amidst declining international arrivals. In the near term, domestic travelling is expected to remain robust, and coupled with limited supply in the city centre, the outlook for the Beijing hotels market in the c
Slide 24: Japan
Japan The growth momentum in international arrivals to Japan continued as the country welcomed almost 29 million foreign visitors in 2017, registering a growth of 19.3% y-o-y1. The strong inbound has benefitted the hotel markets in Tokyo and Osaka and is expected to remain robust in near term.
Slide 25: Singapore
Singapore On the Singapore front, inbound arrivals remains buoyant with YTD November 2017 growth of 6.4% y-o-y1. However, the hotel trading performance in general is likely to be moderate in the short term, in view of the significant new supply over the past two years and continued pressure on r
Slide 26: Ascendas Hospitality Trust Managers contact details
Ascendas Hospitality Fund Management Pte. Ltd. Ascendas Hospitality Trust Management Pte. Ltd. Managers of A-HTRUST 1 Fusionopolis Place #10-10 Galaxis Singapore 138522 Tel: +65 6774 1033 Email: info-aht@ascendas-singbridge.com www.a-htrust.com
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