Jardine Cycle & Carriage Limited · SGX:C07
Jardine Cycle & Carriage — Jardine Matheson — H1 2017 Earnings Presentation
20 slides from Jardine Cycle & Carriage's earnings presentation, Aug 7, 2017
Slide 1: Half-Yearly Results 2017
2017 Half-Yearly Results Presentation to Analysts 7th August 2017
Slide 2: Review of 1H 2017
Jardine Matheson Review of 1H 2017 • Strong growth in underlying profit • Favourable trading conditions generally • Good performances from most Group companies • Increases from Hongkong Land, Astra and Jardine Motors • Financial position remains robust
Slide 3: Jardine Matheson Group at 30th June
Jardine Matheson Group at 30th June JMH JSH Ownership Economic Economic % Interest Interest Jardine Pacific 100 100 57 Jardine Motors 100 100 57 Jardine Lloyd Thompson 42 42 24 Jardine Strategic 84 84 - - Hongkong Land 50 42 50 - Dairy Farm 78 65 78 - Mandarin Oriental 77 65 77 - Jardine Cycle & Car
Slide 4: Financial Summary
Jardine Matheson Financial Summary US$m Interim chg Interim Annual 2017 2016 2016 Revenue (including associates & JVs) 38,072 10% 34,569 72,437 Revenue 19,430 8% 18,026 37,051 Underlying PBT 2,130 23% 1,726 3,729 Underlying profit 765 20% 636 1,386 Non-trading items 1,313 348 1,117 Profit attributab
Slide 5: Underlying Profit Contribution
Jardine Matheson Underlying Profit Contribution US$m Interim Interim chg 2017 2016 Jardine Pacific 68 54 26% Jardine Motors 83 57 45% Jardine Lloyd Thompson 36 31 17% Hongkong Land 216 163 33% Dairy Farm 137 128 7% Mandarin Oriental 10 15 - 37% Jardine Cycle & Carriage 45 58 - 22% Astra 198 155 28%
Slide 6: Non-Trading Items
Jardine Matheson Non-Trading Items US$m Interim Interim 2017 2016 Change in fair value of investment properties in 1,090 363 Hongkong Land Sale of property interests 195 - Change in interests in associates and joint ventures 8 (3) VAT recovery in Jardine Motors 8 - Sale of businesses 5 (1) Litigatio
Slide 7: Jardine Pacific Underlying Profit Contribution
Jardine Pacific Underlying Profit Contribution US$m Interim Interim chg Annual 2017 2016 2016 Jardine Schindler 23 20 13% 44 JEC 6 6 3% 28 Gammon 16 8 96% 18 Jardine Restaurants 16 14 10% 28 Transport Services 11 6 115% 17 JTH Group - 3 - 103% 9 Corporate and other interests (4) (3) - 26% (9) Underl
Slide 8: Jardine Motors Underlying Profit Contribution
Jardine Motors Underlying Profit Contribution US$m Interim Interim chg Annual 2017 2016 2016 China (incl. HK & Macau) 76 35 117% 98 UK 8 23 - 65% 30 Corporate (1) (1) - 11% (2) Underlying profit 83 57 45% 126 • Good volume growth at improved margins in mainland China • Results for China include inte
Slide 9: Jardine Lloyd Thompson Financial Summary
Jardine Lloyd Thompson Financial Summary* £m Interim Interim chg Annual 2017 2016 2016 Revenue 690 619 11% 1,261 Underlying trading profit 110 98 12% 194 Underlying profit** 69 61 13% 111 • Risk and Insurance businesses recorded 12% growth in revenue • UK Employee Benefits business saw 9% increase i
Slide 10: Jardine Strategic Financial Summary
Jardine Strategic Financial Summary* US$m Interim Interim chg Annual 2017 2016 2016 Underlying profit 787 664 19% 1,438 Non-trading items 1,440 424 1,303 Profit attributable to shareholders 2,227 1,088 105% 2,741 Underlying EPS, US$ 1.35 1.12 21% 2.45 DPS, US¢ 9.50 9.00 6% 30.00 NAV per share, US$**
Slide 11: Hongkong Land Financial Summary
Hongkong Land Financial Summary* US$m Interim Interim chg Annual 2017 2016 2016 Underlying profit 517 393 32% 848 Total equity 34,253 9% 31,314 NAV per share, US$ 14.54 9% 13.30 • Investment properties performed well due to low vacancy levels generally and increased office rents in Hong Kong • Devel
Slide 12: Dairy Farm Financial Summary
Dairy Farm Financial Summary* US$m Interim Interim chg Annual 2017 2016 2016 Sales including associates and JVs 10,448 10,110 3% 20,424 Sales 5,505 5,562 - 1% 11,201 Underlying profit 211 199 6% 460 • Food division saw mixed trading conditions • Improved Health & Beauty performance, except in Singap
Slide 13: Mandarin Oriental Financial Summary
Mandarin Oriental Financial Summary* US$m Interim Interim chg Annual 2017 2016 2016 Combined total revenue of hotels under 645 644 - 1,324 management Underlying profit 15 25 - 39% 57 Adjusted shareholders’ funds** 3,938 1% 3,888 Adjusted NAV per share, US$** 3.13 1% 3.10 • Major ongoing renovation o
Slide 14: Jardine Cycle & Carriage Underlying Profit Contribution
Jardine Cycle & Carriage Underlying Profit Contribution* US$m Interim Interim chg Annual 2017 2016 2016 Astra 315 249 27% 500 Direct motor interests 63 78 - 20% 167 Other interests 8 15 - 46% 33 Corporate costs (11) (10) - 6% (21) Underlying profit 375 332 13% 679 • Strong Astra performance • Direct
Slide 15: Astra Contribution to JC&C
Astra Contribution to JC&C US$m Interim Interim chg Annual 2017 2016 2016 Automotive 146 136 7% 313 Financial services 64 47 35% 30 Heavy equipment & mining 77 42 84% 114 Agribusiness 31 24 33% 60 Infrastructure & logistics 4 5 - 21% 10 Information technology 2 3 - 22% 7 Property (1) - NA (8) Withho
Slide 16: Analysis of Net Debt
Jardine Matheson Analysis of Net Debt US$m June gearing Dec gearing 2017 2016 Jardine Pacific / Jardine Motors 37 - (226) 17% Hongkong Land (1,882) 5% (2,008) 6% Dairy Farm (685) 42% (641) 41% Mandarin Oriental (321) 8% (297) 8% Jardine Cycle & Carriage 77 - 91 - Astra 296 - 552 - Jardine Matheson C
Slide 17: Business Developments (1/2)
Jardine Matheson Business Developments (1/2) • Stake in Zhongsheng increased to 20% • 28% stake in Greatview Aseptic Packaging acquired • New Hongkong Land projects in Singapore • Hongkong Land enters new cities in mainland China
Slide 18: Business Developments (2/2)
Jardine Matheson Business Developments (2/2) • New management contracts at Mandarin Oriental • Strategic review of The Excelsior hotel • Astra’s investment initiatives continue • Group focus on innovation and technology
Slide 19: Outlook for 2H 2017
Jardine Matheson Outlook for 2H 2017 • Full-year profit growth likely to be tempered: - No residential completions in Singapore - Increasingly competitive automotive markets • Continued emphasis on sustained growth • Strong potential in Group’s markets
Slide 20: Half-Yearly Results 2017
2017 Half-Yearly Results Presentation to Analysts 7th August 2017