Orascom Development Egypt (s.a.e) · EGX:ORHD
Orascom Development Egypt (s.a.e) — Orascom Development Egypt — FY2017 Earnings Presentation
19 slides from Orascom Development Egypt (s.a.e)'s earnings presentation, March 2018
Slide 1: FY 2017 Results
ORASC*xM DEVELOPMENT FY 2017 Results
Slide 2: Agenda
Agenda FY 2017 Destination Progress Page 3 FY 2017 Key Highlights Page 6 Financial Review Page 12 Outlook 2018 Page 17 2
Slide 3: El Gouna, Egypt
El Gouna, Egypt FY 2017 Highlights and Outlook: ▪ Net sales increased by 86.3% to reach EGP 1,434.6bn in FY 2017 vs. EGP 769.9mn in FY 2016. ▪ Hotels GOP more than doubled to reach EGP 419.0mn vs. EGP 133.0mn in FY 2016. ▪ Successfully launched a new high-end real estate project over looking the mar
Slide 4: Taba Heights, Egypt
Taba Heights, Egypt FY 2017 Highlights and Outlook: ▪ Taba Heights remains the most challenging destination for the group due to the extended travel bans on Sinai. ▪ Nonetheless, the new measurements that were implemented, comprising strict cost- cutting measures, centralization of services and susp
Slide 5: Agenda
Agenda FY 2017 Destination Progress Page 3 FY 2017 Key Highlights Page 6 Financial Review Page 12 Outlook 2018 Page 17 5
Slide 6: Key Highlights FY 2017
Key Highlights FY 2017 Orascom Development Egypt; Continuously Delivers Solid Earnings Performance. Revenues increased by 78.8% to EGP 2,603.0 billion vs. EGP 1,455.5 billion in FY 2016 and Net Profits reached EGP 392.0 million. Board proposes a Cash Dividend of EGP 1.0 per share. ➢ Achieved net rea
Slide 7: Business Segments FY 2017
Business Segments FY 2017 Revenue EBITDA Adj. EBITDA1 (EGP mn) FY 2017 FY 2016 Δ in % FY 2017 FY 2016 FY 2017 FY 2016 Hotels 1,059.7 499.7 112.1% 535.7 (54.5) 434.0 50.4 Real Estate 773.5 468.6 65.1% 491.0 558.6 477.8 270.0 Land - - - - 242.82 - 22.7 Town Management3 438.5 275.1 59.4% 71.3 36.8 67.9
Slide 8: Business Segments 4Q 2017
Business Segments 4Q 2017 Revenue EBITDA Adj. EBITDA1 (EGP mn) 4Q 2017 4Q 2016 Δ in % 4Q 2017 4Q 2016 4Q 2017 4Q 2016 Hotels 325.6 169.0 92.7% 122.7 (45.4) 123.4 21.6 Real Estate 347.1 174.9 98.5% 190.3 327.9 186.3 109.6 Land - - - - 180.12 - (5.2) Town Management3 126.1 91.1 38.4% 33.4 19.5 29.3 16
Slide 9: Real Estate KPIs FY 2017, 4Q 2017 and Deferred Revenue
Real Estate KPIs FY 2017, 4Q 2017 and Deferred Revenue Net value of Contracted Number of Contracted Average Selling Price Units (EGPmn) Units (EGP/m2) Destination FY 17 FY 16 FY 17 FY 16 FY 17 FY 16 El Gouna 1,434.6 769.9 258 197 35,301 26,004 Fayoum 27.2 2.6 21 3 10,920 7,844 Makadi 1.0 0.6 2 1 4,8
Slide 10: Hotel KPIs FY 2017 and 4Q 2017
Hotel KPIs FY 2017 and 4Q 2017 Occupancy for Total number of Number of TRevPAR* GOP PAR** available rooms hotel rooms available rooms (EGP) (EGP) (%) Destination FY 17 FY 16 FY 17 FY 16 FY 17 FY 16 FY 17 FY 16 FY 17 FY 16 El Gouna1 2,480 2,473 2,480 2,473 77 59 958 463 455 148 Taba Heights2 2,365 2,
Slide 11: Agenda
Agenda FY 2017 Key Highlights Page 3 FY 2017 Destination Progress Page 6 Financial Review Page 12 Outlook 2018 Page 17 11
Slide 12: Income Statement
Income Statement (EGP mn) 4Q 2017 4Q 2016 FY 2017 FY 2016 Notes Revenue 880.6 495.8 1 2,603.0 1,455.5 1 Revenues and gross profit increased due to the Cost of sales (541.6) (321.3) (1,619.5) (1,015.9) enhanced operational performance across all business segments. Gross profit 339.0 174.5 1 983.5 439
Slide 13: Balance Sheet
Balance Sheet (EGP mn) 31.12.17 31.12.16 Notes Property, plant and equipment 1 3,481.0 3,814.3 1 PPE decreased mainly due to the reclassification Inventory 2 624.6 586.0 of the 3 hotels in Makadi to assets held for sale. Receivables 1,578.9 1,428.4 2 Inventory increased mainly due to: Cash and bank
Slide 14: Cash Flow Statement
Cash Flow Statement Notes (EGP mn) FY 2017 FY 2016 Cash from operations 1 617 798 1 Cash flow from operations decreased mainly due to: Interest paid 2 (27) (40) • Increase in construction cost. Taxes paid 3 (58) (36) • Increase of Tamweel Mortgage activities during FY 2017. Operating Cash Flow 1 532
Slide 15: Financing Profile
Financing Profile 1 Interest expense by currency Total debt by currency in %, as of 31.12.17 in %, as of 31.12.17 4% 6% 19% 41% 55% 75% EGP USD EUR EGP USD EUR 31.12.17 31.12.16 Equity ratio (%)2 19.3% 17.3% Cost of debt (%)3 10.1% 7.7% 1 All debt figures exclude debt relating to assets held for sal
Slide 16: Agenda
Agenda FY 2017 Key Highlights Page 3 FY 2017 Destination Progress Page 6 Financial Review Page 12 Outlook 2018 Page 17 16
Slide 17: Outlook 2018
Outlook 2018 ➢ ODE’s expected cash proceeds from its stake sale in the 3 hotels in Makadi + a land plot is c. EGP 492.8 million. The sale will result in the deconsolidation of EGP 260.1 million of debt, with an expected one-off gain of c. EGP 373.8 million. ➢ Proceeds of the approved sale in additio
Slide 18: IR Dashboard
IR Dashboard Investor Relations Contact: Sara El Gawahergy Head of Investor Relations Tel Dir +20 (0) 22 461 89 61 Mobile CH: +41 41 874 1711 sara.elgawahergy@orascomdhcom ir@orascomdh.com www.orascomhd.com 18
Slide 19: Disclaimer
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