No Va Land Investment Group Corp. · HOSE:NVL
No Va Land Investment — Investor Presentation (March 2022)
42 slides from No Va Land Investment's investor presentation, Mar 21, 2022
Slide 1: Investor Presentation
INVESTOR INVESTOR PRESENTATION PRESENTATION INVESTOR PRESENTATION
Slide 2: Disclaimer
DISCLAIMER This document and any related presentations have been prepared by No Va Land Investment Group Corporation (“Novaland” or the “Company”) solely for use at its presentation to prospective investors and may not be taken away, reproduced or redistributed to any other person. By attending this
Slide 3: Table of Contents
TABLE OF CONTENTS I. NOVALAND GROUP II. INVESTMENT HIGHLIGHTS III. FINANCIAL HIGHLIGHTS Aqua City Project (Dong Nai) 22
Slide 4: I. Novaland Group
I. NOVALAND GROUP 33
Slide 5: The first mover and the leading, undeniable #1 residential developer in HCMC
THE FIRST MOVER AND THE LEADING, UNDENIABLE #1 RESIDENTIAL DEVELOPER IN HCMC #1 RESIDENTIAL Established in 1992 and listed in 2016 (HSX – NVL), Novaland is Vietnam’s leading pure-play real Target customers in the largest DEVELOPER quartile of Vietnam’s population estate group with a market cap of
Slide 6: Development Milestones
DEVELOPMENT MILESTONES FORMATION EVOLUTION AND STRATEGIC GROWTH EXPANSION Expanded into satellite cities and ‘second homes’ segment Restructured and Officially launched 2 projects: consolidated company NovaHills Mui Ne Resort & Villas into 2 Groups: (Phan Thiet, Binh Thuan) and − ANOVA Corp.:
Slide 7: Management team with extensive experiences and market understanding
MANAGEMENT TEAM WITH EXTENSIVE EXPERIENCES AND MARKET UNDERSTANDING FOUNDER AND MAJOR SHAREHOLDERS BOARD OF DIRECTORS MR. BUI THANH NHON, MBA MR. BUI XUAN HUY, MBA 30+ 25+ Founder, Chairman of the Board of Directors (BOD) of NovaGroup Chairman of the BOD Executive MBA, HSB-TUCK, Dartmouth College
Slide 8: Vision, Mission and Core Values
VISION, VISION,MISSION MISSIONAND CORE AND VALUES CORE VALUES VISION MISSION CORE VALUES NOVALAND IS THE LEADING DEVELOPING COMMUNITY EFFECTIVENESS REAL ESTATE DEVELOPER IN VIETNAM: CREATING DESTINATION INTEGRITY RESIDENTIAL REAL ESTATE HOSPITALITY REAL ESTATE BUILDING HAPPINESS PROFESSIONALISM INDU
Slide 9: Diversified Product Suite
DIVERSIFIED PRODUCT SUITE REMAIN RESPONSIVE TO THE MARKET’S NEEDS, PRIORITIZING MARKETABILITY AND CONNECTIVITY OF THE PRODUCTS RESIDENTIAL REAL ESTATE HOSPITALITY REAL ESTATE INDUSTRIAL REAL ESTATE TRUNG TÂM TP.HCM CENTRAL HCMC SATELLITE TOWNSHIP The synchronous and Researching and developing indust
Slide 10: Portfolio of Nearly 50 Projects
PORTFOLIO OF NEARLY 50 PROJECTS RESIDENTIAL REAL ESTATE IN CENTRAL HCMC RESIDENTIAL REAL ESTATE IN SATELLITE TOWNSHIP HOSPITALITY REAL ESTATE Source: Company information 99
Slide 11: Strong acquisition of new landbank in premium locations
STRONG ACQUISITION OF NEW LANDBANK IN PREMIUM LOCATIONS Da Nang 2022 Landbank 2022 10,600 ha Existing and short-term projects Landbank in mid-term (+96% y-o-y) New land acquired located in premium locations 2021 • Lam Dong • Binh Thuan • Dong Nai HCMC • Khanh Hoa • Hue HCMC Mekong Delta Mekong Delta
Slide 12: Insight into Landbank
INSIGHT INTO LANDBANK Landbank by Segment Landbank by Locations 12000 1,745 10,555 6% 10000 8,810 35% 8000 Central Hectares 6000 60% South & 4000 Highland 2000 HCMC 0 Hospitality Residential Total GDV by Segment NSA by Segment (Hectares) Hospitality 2278 44% Hospitality Residential 877 56% Residenti
Slide 13: II. Investment Highlights
II. INVESTMENT HIGHLIGHTS 1212
Slide 14: Investment Highlights
INVESTMENT HIGHLIGHTS Well positioned to benefit from Vietnam’s favorable macroeconomic fundamentals and sector potential. Successful expansion into new markets with high quality pipeline projects and land bank at strategic location. Leading residential developer in HCMC with strong brand, establish
Slide 15: 1. Well positioned to benefit from Vietnam's macroeconomic fundamentals
INVESTMENT HIGHLIGHTS 1. WELL POSITIONED TO BENEFIT FROM VIETNAM’S FAVORABLE MACROECONOMIC FUNDAMENTAL AND SECTOR POTENTIAL. NovaWorld Phan Thiet (Binh Thuan) NovaWorld Phan Thiet (Binh Thuan) 1414
Slide 16: 1.1 Improving macroeconomic accommodates high penetration potential
1.1 IMPROVING MACROECONOMIC ACCOMMODATES HIGH PENETRATION POTENTIAL FAST-GROWING DISPOSABLE INCOME COMPARED TO MOST ASEAN RELATIVELY STABLE VND PERFORMANCE VS. OTHER ASEAN THE FASTEST GROWING ECONOMY IN ASEAN PEERS CURRENCIES(1) GDP Growth (2019) (2018A-2029E) USD/VND USD/THB USD/MYR USD/JPY 7.2% 6.
Slide 17: 1.2 Vietnam's residential market is poised for solid growth
1.2 VIETNAM’S RESIDENTIAL MARKET IS POISED FOR SOLID GROWTH ONE OF THE HIGHEST RATES OF URBANIZATION IN ASEAN LOWEST HOUSE OWNERSHIP RATIO (*) HCMC apartment average selling price remains high Urbanization (share of total population living in urban areas) House owners over total population (%) LUXUR
Slide 18: 2. The leading residential developer in HCMC
INVESTMENT HIGHLIGHTS 2. THE LEADING RESIDENTIAL DEVELOPER IN HCMC WITH STRONG BRAND, ESTABLISHED TRACK RECORD AND FOCUSED STRATEGY Victoria Village (D.2, HCMC) Victoria Village (D.2, HCMC) 1717
Slide 19: 2.1 Pure play real estate developer with focused strategy
2.1 PURE PLAY REAL ESTATE DEVELOPER WITH FOCUSED STRATEGY FOCUSED STRATEGY LAND ACQUISITIONS DEVELOPMENT & OPERATION SALES FORCE Focus on mid-end to high-end residential Focus on large scale projects with close- Project development team manages all Novaland is the unique developer with segme
Slide 20: 2.2 Central real estate portfolio along HCMC's major transportation routes
2.2 CENTRAL REAL ESTATE PORTFOLIO COMPRISES OF RESIDENTIAL PROJECTS DISTRIBUTED ALONG HCMC’ S MAJOR TRANSPORTATION ROUTES OVER 40 PROJECTS ALONG MAIN AVENUES IN THE HEART OF HCMC GDV FOR COMPLETED AND UNDER DEVELOPMENT PROJECTS EASTERN AREA TOWARD DONG NAI PROVINCE Sold 22% 3 Total GDV(*) Tan Son Nh
Slide 21: 2.4 Current development residential projects in Ho Chi Minh City
2.4 CURRENT DEVELOPMENT RESIDENTIAL PROJECTS IN HO CHI MINH CITY WITH HIGH ABSORPTION RATE THE GRAND MANHATTAN PALM MARINA CENTRAL AREA – DISTRICT 1 EASTERN AREA – DISTRICT 9 GDV (USD million) 710 GDV (USD million) 109 NSA (sqm) 98,408 NSA (sqm) 40,212 Condominium Villa Product type Product type Com
Slide 22: 3. Successful expansion into new markets
INVESTMENT HIGHLIGHTS 3. SUCCESSFUL AND STRONG EXPANSION INTO NEW MARKETS WITH HIGH QUALITY PIPELINE PROJECTS AND LAND BANK AT STRATEGIC LOCATIONS Aqua City (Bien Hoa, Dong Nai) 2121
Slide 23: 3.1 Leading developer in value adding to home buyers
3.1 LEADING DEVELOPER IN VALUE ADDING TO HOME BUYERS PHASE 1: PHASE 2: RESIDENTIAL PRODUCTS IN HCMC EXPANDING DEVELOPMENT (2007-2017) (2018-2025) Timeline 2018-2021 2022 schedule NSA: 98,408 m2 No. of units: ~1,800 GDV: USD710 mil Residential Real NSA: 93,641 m2 Project in Dong Nai Estate (Main No.
Slide 24: 3.2 Aqua City
3.2 AQUA CITY Aqua City Aqua Riverside City Aqua Waterfront City Phoenix Island Source: Company information Total NSA: 493,097 sqm Total NSA: 360,584 sqm Total NSA: 383,776 sqm Total NSA: 1,350,140 sqm Total planned units: 2,116 Total planned units: 1,757 Total planned units: 2,701 Total planned uni
Slide 25: 3.3 NovaWorld Phan Thiet
3.3 NOVAWORLD PHAN THIET Villas and Clubhouse Shophouses Amenities Source: Company information Total NSA: 3,286,255 sqm Total planned units: 18,699 Key Metrics Launched @38% Take-up @74% Construction Done Done Done Permits 1st phase: 100% Infrastructure 95% 100% 2nd phase: 56% Admin center, Au Lac D
Slide 26: 3.4 NovaWorld Ho Tram
3.4 NOVAWORLD HO TRAM Tropicana Habana Island Wonderland Source: Company information Total NSA: 389,934 sqm Total NSA: 89,268 sqm Total NSA: 36,839 sqm Total planned units: 1,919 Total planned units: 394 Total planned units: 271 Key Metrics Launched @85% Launched @37% Launched @100% Take-up @67% Tak
Slide 27: 3.4 NovaWorld Ho Tram
3.4 NOVAWORLD HO TRAM Happy Beach Morito Source: Company information Total NSA: 48,830 sqm Total NSA: 34,813 sqm Total planned units: 332 Total planned units: 227 Key Metrics Launched @100% Launched @37% Take-up @78% Take-up @60% Construction Permits Partially Done Infrastructure 100% for sample mod
Slide 28: 4. Robust corporate governance and corporate structure
INVESTMENT HIGHLIGHTS 4. ROBUST CORPORATE GOVERNANCE AND WELL- DEVELOPED CORPORATE STRUCTURE TO SUPPORT PATH TOWARDS SUSTAINABLE GROWTH The Grand Manhattan (D.1, HCMC) 2727
Slide 29: 4.1 Well-established corporate governance practices
4.1 WELL-ESTABLISHED CORPORATE GOVERNANCE PRACTICES ORGANIZATION STRUCTURE CORPORATE PRINCIPLES 1. Ensuring the rights of shareholders General Meeting of Shareholders 2. Equitable treatment of shareholders under any circumstances Board of Directors 3. Role of stakeholders in order to create prestige
Slide 30: 4.2 Novaland's approach towards sustainable development
4.2 NOVALAND’S APPROACH TOWARDS SUSTAINABLE DEVELOPMENT SUSTAINABLE DEVELOPMENT STRATEGIC DIRECTIONS OF 2020-2025 SUSTAINABLE DEVELOPMENT STRATEGIC ROADMAP Further implementation of its Strategy in phase 2 – focusing on “Real Estate 2007-2017 Investment and Development”. Focus on developing resident
Slide 31: 4.3 Environment, Social, and Governance (ESG) framework
4.3 ENVIRONMENT, SOCIAL, AND GOVERNANCE (ESG) FRAMEWORK ENVIRONMENTAL SUSTAINABLE DEVELOPMENT COUNCIL (“SDC”) During project implementation, Novaland applies a variety of Electricity consumption 2020 measures for natural resource uses and environmental (million kwh) MR. PHAM PHU NGOC TRAI protecti
Slide 32: 5. Best-in-class sales force and quick turnover development process
INVESTMENT HIGHLIGHTS 5. BEST-IN-CLASS SALES FORCE AND QUICK TURNOVER DEVELOPMENT PROCESS ACCOMMODATE STRONG CASH FLOW GENERATION Aqua City Project (Dong Nai) 3131
Slide 33: 5.1 Accelerated payments by customers support strong cashflow generation
5.1 ACCELERATED PAYMENTS BY CUSTOMERS SUPPORT STRONG CASHFLOW GENERATION PAYMENT SCHEDULES ACCELERATED – HIGHER UPFRONT PAYMENTS WITH DISCOUNT Standard Option 2 Option 3 Option 4 FOUNDATION Up to 30% 45-55% 50-90% >90% SUPERSTRUCTURE Up to 70% Up to 70% – – DELIVERY Up to 95% LAND USE RIGHTS CERTIFI
Slide 34: 5.2 Best-in-class sales forces, quick turnover development process
5.2 BEST-IN-CLASS SALES FORCES, QUICK TURNOVER DEVELOPMENT PROCESS ACCOMMODATE HEALTHY CASH FLOW FAST TURNOVER DEVELOPMENT PROCESS MONTHS 1 2 3 4 5 6 7 8 9 10 11 12 24-30 30~ Dedicated acquisition team that proactively searches for project sites in prime locations that costs lower than market LAND
Slide 35: III. Financial Highlights
III. FINANCIAL HIGHLIGHTS 3434
Slide 36: Financial Highlights – Revenue up 89% Y-O-Y
FINANCIAL HIGHLIGHTS – REVENUE UP 89% Y-O-Y Net Revenue (USD m); CAGR 2017 – 2021: 8% Gross Profit (USD m); CAGR 2017 – 2021: 22% Revenue Growth: 28% 34% 29% 62% 45% 89% Y-O-Y 672 698 511 312 480 368 227 228 143 139 2017 2018 2019 2020 2021 2017 2018 2019 2020 2021 NPAT (USD m); CAGR 2017 – 2021: 14
Slide 37: Balance Sheet Snapshot
BALANCE SHEET SNAPSHOT Total Assets (USD m); CAGR 2017 – 2021: 43% Inventories (USD m); CAGR 2017 – 2021: 44% 8,868 4,840 6,350 2,012 3,817 374 1,333 2,513 249 3,953 3,037 2,136 825 6,856 1,367 262 4,466 1,119 3,567 837 5,018 45 528 364 3,128 2,251 1,773 2,200 1,074 839 2017 2018 2019 2020 2021 2017
Slide 38: Key Credit Metrics
KEY CREDIT METRICS Profitability Ratio Remains High (%) Liquidity Remains Healthy (times) 62 3.79 3.63 3.17 34 45 28 29 47 1.79 1.79 31 21 22 14 2017 2018 2019 2020 2021 2017 2018 2019 2020 2021 Net profit margin Gross profit margin Current ratio Stable Leverage Ratios (times) Interest Coverage Rati
Slide 39: Debt Profile
DEBT PROFILE Debt Maturity Schedule (USD m) Debt By Currency Mix (%) 2022 2023 2024 After 2024 USD 10,000 1000 28% 9,000 900 916 8,000 835 800 7,000 700 6,000 600 VND 72% 5,000 542 500 4,000 400 386 Debt Structure (%) 3,000 300 2,000 200 Convertible bonds 11% 1,000 100 Loans 0 0 39% 2022 2023 2024 A
Slide 40: Strong presales in 2021 despite severe lockdown
STRONG PRESALES IN 2021 DESPITE SEVERE LOCKDOWN Presales (Units) Presales Performance (Units); 30% y-o-y 3,224 2,349 6,613 1,592 49% 51% 6,367 5,084 633 5,021 1,900 4,388 2,569 855 1,364 3,184 185 1,098 1,820 1,819 1,819 722 Hospitality RE Residential NovaWorld NovaWorld Others 722 2019 2020 2021 1Q
Slide 41: Unbilled revenue reached USD 7.8 billion
UNBILLED REVENUE REACHED USD 7.8 BILLION Unbilled (USD m) Unbilled Revenue (USD b) 3,859 1.1 31% 1.2 0.3 7.8 0.6 6.7 0.7 6.4 0.5 5.3 1,485 0.4 69% 0.1 4.7 4.0 3.5 649 2.9 2.9 3.1 64 1.7 1.6 Residential RE Aqua City NovaWorld NovaHills NovaWorld 2017 2018 2019 1Q2020 2Q2020 3Q2020 4Q2020 1Q2021 2Q202
Slide 42: Thank You
THANK YOU NOVALAND GROUP 65 Nguyen Du Street, Ben Nghe Ward, District 1, HCMC, Vietnam Tel. : +84 906 35 38 38 Email : ir@novaland.com.vn Website : www.novaland.com.vn
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