Highwealth Construction Corp. · TWSE:2542
Highwealth Construction — Investor Conference 2018
38 slides from Highwealth Construction's conference presentation, Jan 24, 2018
Slide 1: Highwealth Construction Investor Conference 2018
HIGHWEALTH CONSTRUCTION Investor Conference 2018 興富發集團2018年法人說明會 2018年1月24日 1
Slide 2: Agenda
Agenda Welcome Remarks Competitive Advantages Sales Performance Future Expectations 2
Slide 3: Disclaimer
Disclaimer • The prospective information referred to in this briefing and the relevant information released at the same time are based on Company information and the observation of overall economic development conditions. • Such prospective information is subject to risks and uncertainties and may b
Slide 4: Welcome Remarks
Welcome Remarks Chairman of Highwealth Construction : Chih-Lung, Cheng The 40th year in Business for Highwealth, Persistent Investment in Local Taiwan Total 210 construction sites with a total of 35,000 units, a total floor area of 1.63 million pings Highest total amount of money spent on land purch
Slide 5: Competitive Advantage
Competitive Advantage Vice General Manager of Highwealth Construction : Chao-Hsiung, Liao Concentrate on Marketing Positioning Maintain Strict Construction Quality Control On the Basis of Construction Persistently Maximize the Profit for Shareholders 5
Slide 6: History
HIGHWEALTH CONSTRUCTION History 1980 1999 2010 2014 2015 2017 Company Highwealth began Run Long Revenue reached The total paid- Highwealth has Incorporation trading on the Construction(1808 NT$37.5 billion, the up capital of been awarded TWSE (2542 TT) TT) joined the 4th consecutive year Highwealth
Slide 7: Development Strategy
Development Strategy Have an ample land bank currently, but constant mastery of land source Multiple Real Estate information is essential to determine Developments feasibility of various land development, actively expand prime locations and reserve land resources. Plan various construction projects
Slide 8: Real Estate Development
Real Estate Development Northern Medium, large housing Taiwan First-time housing Commercial buildings Central Taiwan Medium, large housing First-time housing Commercial buildings Southern Medium, large housing Taiwan First-time housing Commercial buildings 8
Slide 9: Build Persistent Construction
Build Persistent Construction Dedicated to building persistent Intelligent Construction in the aspects of energy-saving, smart networking, environmentally friendly and ecology. Give consideration to comfortable and safe residences with the concept of low environmental impact. Planning Concept Energy
Slide 10: Market Share Ratio of Launched Case Volume in Taiwan 2014~2017
Market Share Ratio of Launched Case Volume in Taiwan 2014~2017 Unit: NT$100 million Year Until the 3rd 2014 2015 2016 quarter of Item 2017 Launched case volume in Taiwan 297.84 200.75 140.48 282.56 Market share (%) 2.2% 2.29% 2.33% 5.78% Taoyuan and Taipei area 3.35% Taichung area 6.26% Taoyuan and
Slide 11: The Group's Amount of Land Purchase During 2013~2017
The Group’s Amount of Land Purchase During 2013~2017 Unit: NT$100 million Year 2013 2014 2015 2016 2017 Total Item HIGHWEALTH 121.78 55 57.72 95.73 103.53 433.76 Run Long 30.87 － 13.07 37.23 36.97 118.14 Total amount of money 152.65 55 70.79 132.96 140.5 551.9 Don’t worry about the signs for future
Slide 12: The Number of Employees of the Group Has Been Increasing Every Year
The Number of Employees of the Group Has Been Increasing Every Year The construction industry plays the role of a train locomotive in economic development. As a leader of the construction industry, Highwealth continuously invests in construction in Taiwan and provides local job opportunities. The nu
Slide 13: Charity Participation, Fulfill Corporate Social Responsibility
Charity Participation, Fulfill Corporate Social Responsibility Increasing the annual investment amount and participating in various charity organizations and promoting activities are things we do to constantly do something good and right in the hope of making a contribution to society and setting an
Slide 14: Sales Performance
Sales Performance Vice General Manager of Highwealth Construction : Chao-Hsiung, Liao 14
Slide 15: Highwealth Construction Introduction
HIGHWEALTH CONSTRUCTION Introduction Company HIGHWEALTH CONSTRUCTION Corp. Incorporation In 1980 Started trading on the TWSE in 1999 (2542 TT) Capital NT$11,666,266,430 Chairman Mr. Chih-Lung, Cheng General Manager Mr. Hua-Chun, Fan Spokesperson Mr. Chao-Hsiung, Liao (VP of Development Dept.) Compan
Slide 16: Construction Cases Completed in 2017
Sales Performance of Construction Cases Construction Cases Completed in 2017 Total Total Sales Name of Area of Building Amount (by Sales Area Location Case Site (ping) Area Sold NT$ 100 Ratio (ping) million) Greater Hongshulin Tamsui Dist., Taipei (Art Deco in New Taipei 1573.41 8,984.12 33.59 61.87
Slide 17: Sales Performance of Existing Housing in 2017
Sales Performance of Construction Cases Sales Performance of Existing Housing in 2017 Total Sales Area Name of Case Location Amount (NT$ 100 million) Linkou Dist., New 0.61 Greater Taipei Area National No.1 Taipei City Zhongshan Dist., 2.09 Song Jiang No.1 Taipei City Zhongshan Dist., 1.26 Taipei No
Slide 18: Sales Performance of Existing Housing in 2017 (continued)
Sales Performance of Construction Cases Sales Performance of Existing Housing in 2017 Total Sales Area Name of Case Location Amount (NT$ 100 million) Taichung Goddess Aroma West Dist., Taichung City 1.35 Taichung National No. 1 Xitun Dist., Taichung City 3.47 APEC Clouds North Dist., Taichung City 0
Slide 19: Sales Performance of Sales Online in 2017
Sales Performance of Construction Cases Sales Performance of Sales Online in 2017 Total Total Building Area Sold Sales Sales Area Name of Case Location Amount (ping) Ratio (NT$ 100 million) Greater Taipei *Twin Lakes Estates Neihu Dist., Taipei City 15,251.43 169.27 47.13% Area *Heart of the Ocean T
Slide 20: Planned Cases for 2018
Planned Cases for 2018 Total Sales Name of Case Total Building Area Area Location Amount (temporary) (ping) (NT$ 100 million) 4237.00 Greater Taipei Area Jiangcui Section Banqiao Dist., New Taipei City 9.69 (with Highwealth 1950) Yong Cui I Banqiao Dist., New Taipei City 6,704.00 32.74 7682.00 Beixi
Slide 21: Unit Price of New Housing
Unit Price of New Housing Year Item 2018 2019 2020 2021 2022 Total Unit Price of New Housing 476.09 81.37 195.92 846.3 55.63 1655.31 (NT$ 10million) 21
Slide 22: Plan for Future 5 Years
Plan for Future 5 Years Total Sales Area Name of Case Amount 2018 2019 2020 2021 2022 (100 million) Greater Taipei ▲ ▲ ▲ Twin Lakes Estates 169.27 Area Heart of the Ocean 39.72 ▲ Metro Twin Tower 25.16 ▲ Nangang Renovation 42.00 ▲ Beitou Daye Section 13.63 ▲ More Worth 25.79 ▲ ▲ Danhai V 94.14 ▲ Lon
Slide 23: Plan for Future 5 Years (continued)
Plan for Future 5 Years Area Name of Case Total Sales Amount 2018 2019 2020 2021 2022 (100 million) Taichung Wenhuahui 32.11 ▲ ▲ The Knowledge 36.76 ▲ ▲ Shuhe Garden 34.15 ▲ ▲ Zhenai (Beloved and ▲ ▲ 41.83 Precious) Heuili Section 47.27 ▲ Tainan Jinhua Section 28.88 ▲ ▲ Shangdong City 72.01 ▲ Yuguan
Slide 24: Consolidated Financial Status
Consolidated Financial Status Unit: NT$ thousand 2017 Year 2014 2015 2016 (Financial data until Item September 30th, 2017) Operating income 37,515,171 34,638,039 35,057,830 13,855,192 Operating costs 23,312,300 21,833,114 23,768,287 10,114,442 Operating margin 14,202,871 12,804,925 11,289,543 3,740,
Slide 25: Dividend Policy
Dividend Policy Cash Dividend Stock Dividend Dividends Stock Price Dividend Dividend Before Ex- Yield Payout Ratio Year Apportionment of Additional paid-in Stock dividend from dividend Date (%) (%) profit capital retained earnings (NT$/dividend) (NT$/dividend) (NT$/dividend) 2016 4.87300000 0.127000
Slide 26: Sales Performance (Run Long)
Sales Performance Vice General Manager of Run Long Construction : Ping-Tse, Chiu 26
Slide 27: Run Long Construction Co., Ltd
Run Long-Taichung Run Long Construction Co., Ltd 2018 Presentation for Investor’s Conference Jan 24, 2018 27
Slide 28: Run Long Construction Introduction
Run Long Construction Introduction Company Name Run Long Construction Co., Ltd. Incorporation In 1977 Began trading on the TWSE in 1994 (1808 TT) Capital NT$ 2,434,044,460 Chairman Mr. Tsung-Pin, Tsai General Manager Mr. Tsung-Pin, Tsai Spokesperson Mr. Ping-Tse, Chiu (Vice General Manager) Company
Slide 29: Cases Completed in 2017
Sales Performance of Construction Cases Cases Completed in 2017 Total Total Sales Name of Building Amount Sales Location Product Case Area Sold (NT$ 100 Ratio (ping) million) Xinyi Dist., Residential Xinyi City Keelung City housing 10,204.64 20.54 100% True Love Yongkang Residential Is ONLY Dist., T
Slide 30: Sales Performance on Existing Housing in 2017
Sales Performance of Construction Cases Sales Performance on Existing Housing in 2017 Total Sales Amount Name of Case Location Product (NT$ 100 million) Leader Empire Xindian Dist., New Taipei City Residential housing － Jingxin Wenhui Wenshan Dist., Taipei City Residential housing 3.41 Forest Palace
Slide 31: Sales Performance of Sales Online in 2017
Sales Performance of Construction Cases Sales Performance of Sales Online in 2017 Total Total Sales Building Name of Case Location Product Amount Sales Ratio Area Sold (NT$ 100 million) (ping) Xizhi Dist., New Taipei City Residential More Worth 1,333.58 5.78 5% housing National Trade Xitun Dist., Ce
Slide 32: Land Bank and Planned Cases
Land Bank and Planned Cases Total Building Area Total Sales Amount Name of Case Area of Site Sold (ping) (NT$ 100 million) Location Product (temporary) (ping) Banqiao Dist., BanqiaoYong Residential New Taipei 629.60 3,672.00 17.93 Cui housing City Zhonghe Dist., Zhonghe Residential New Taipei 1,164.
Slide 33: Unit Price of New Housing
Unit Price of New Housing Year 2017 2018 2019 2020 2021 Total Item Unit Price of New Housing 66.15 99.97 78.14 215.19 119.26 578.71 (NT$ 100 million)
Slide 34: Future 5 Years Plan
Future 5 Years Plan Total Sales Name of Case Amount 2018 2019 2020 2021 2022 (NT$ 100 million) More Worth 5.78 ▲ ▲ BanqiaoYong Cui 17.93 ▲ ▲ Zhonghe Yuantong 16.75 ▲ ▲ Xinyi City 20.54 ▲ Shangorilla 178.11 ▲ ▲ ▲ Taoyuan Zhonglu 20.58 ▲ ▲ Hsinchu Guangwu 59.38 ▲ ▲ National Trade 61.61 ▲ ▲ Center Run
Slide 35: Financial Status
Financial Status Unit: NT$ thousand 2017 Year 2014 2015 2016 (Financial Data until Item September 30th, 2017) Operating income 4,596,676 4,951,316 5,729,654 2,114,263 Operating margin 3,525,834 3,503,090 4,147,121 1,707,759 Operation gross profit 1,070,842 1,448,226 1,582,533 406,504 Operating gross
Slide 36: Dividend Policy
Dividend Policy Cash Dividend Stock Price Dividend Dividend Payout Before Ex- Dividend Yield Apportionment of Additional paid-in Rateio dividend (%) Year profit Capital Date (%) (NT$/dividend) (NT$/dividend) 2016 3.84210937 1.23276237 47.35 10.72 115.08 2015 3.60851052 1.40095114 38.30 13.08 116.50
Slide 37: Future Expectations
Future Expectations Chairman of Highwealth Construction : Chih-Lung, Cheng 37
Slide 38: Q&A Thank You
Q&A ＴＨＡＮＫ ＹＯＵ！ 38