Sino-ocean Service Holding Ltd. · HKEX:6677
Sino-ocean Service — FY2020 Earnings Presentation
28 slides from Sino-ocean Service's earnings presentation, 2021
Slide 1: Sino-Ocean Service 2020 Annual Results
Sino-Ocean Service 2020 Annual Results Being Understanding and Innovative
Slide 2: Overview
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Slide 3: Highlights
Highlights Commercial properties based on Fast expansion of business scale Outstanding financial performance accumulated strength Contracted GFA under Total revenue Gross profit % of revenue from CAGR of contracted GFA management RMB margin commercial properties GFA for commercial properties3 71.1 4
Slide 4: Performance Highlights
Performance Highlights
Slide 5: Rapid increase in reserved GFA
Rapid increase in reserved GFA In 2020, contracted GFA was 71.08 mn sq.m., GFA under management was 45.45 mn sq.m.; 2017-2020 CAGR of reserved GFA was 61.3% . Contracted GFA from third-party bidding was 9.10 mn sq.m., representing 10.6 times YoY, the proportion of contracted GFA from third parti
Slide 6: Premium City Distribution
Premium City Distribution Continue to increase the scale advantages of Beijing-Tianjin-Hebei and Bohai Rim regions, and deeply develop the regions of our existing projects in Southern China, Eastern China, Central and Western China GFA under management located in tie-1 and tier-2 cities reached
Slide 7: Increase in both volume and fees of commercial properties
Increase in both volume and fees of commercial properties % of revenue from property management 1. ASP increase steadily services by property type 17.4 17.6 6.9% 26.9% 15.9 • Commercial properties: 40%1 RMB 360 mn projects increased price 14.2 66.2% 2017 2018 2019 2020 Commercial Residential Public
Slide 8: Sufficient reserve of high-end commercial properties
Sufficient reserve of high-end commercial properties Commercial properties Office buildings Swire cooperation Complex series Community commercials 5A grade office buildings Other office buildings series Sino-Ocean Taikoo Li (Chengdu) Grand Canal Plaza (Hangzhou) Ocean We-life Plaza (Beijing) Ocean P
Slide 9: Strong support from controlling shareholder and its substantial shareholders
Strong support from controlling shareholder and its substantial shareholders Parent company and sister companies Major Shareholders of the Parent Company Total land bank was Entered into strategic cooperation China Life executed a strategic Provided management 47,820,000 m2 as at 30 June agr
Slide 10: Community VAS growing fast
Community VAS growing fast Revenue from community VAS (excluding advertisement charges in common areas) was RMB316.2mn, increasing 33.2% yoy, and accounted for 15.6% of total revenue. The gross profit margin increased to 62.4%. % of Revenue from Community VAS by Business Segment Revenue from Com
Slide 11: Rapid promoting of community VAS
Rapid promoting of community VAS Replicable and mature business Asset value-added Property Brokerage Home decoration Community layout: Service Service Services Applying professional space resources Providing one-stop full-cycle asset Building a home improvement service Selecting goods in a rigorous
Slide 12: Capability to develop third party of VAS to non-property owners
Capability to develop third party of VAS to non-property owners Possessing two professional companies, i.e., Yiyang Louyu and Yuanhe Zhishang. The revenue from engineering services undertaken by Yiyang Louyu increased significantly, 50% of which was contributed by third parities. % of Revenue from
Slide 13: Profitability significantly improved
Profitability significantly improved Owing to adjustments to business structure and cost control, the Company’s gross profit increased by 25.3%, representing an increase of 4.7 pts. Core profit amounted to RMB250.0 mn, representing yoy growth of 44.3%. Gross Profit, Gross Profit Margin and Core
Slide 14: Continuously enhanced customers' satisfaction
Continuously enhanced customers’ satisfaction Customer’s satisfaction and collection rate for property management fees remained stable. The Company ranked 13th in terms of overall strength and 11th in terms of growth potential among the Top 100 Property Management Companies in China, respectivel
Slide 15: Financial Summary
Financial Summary
Slide 16: Key revenue indicators
Key revenue indicators The revenue of 2020 was RMB2,023.3 mn, representing a four-year CAGR of 18.6%, of which 66.2% from property management service, 15.6% from community VAS and 18.2% from VAS to non-property owners Revenue of property management services Revenue （RMB mn） （RMB mn） CAGR of 17.3%
Slide 17: Key profit indicators
Key profit indicators The gross profit margin increasing by 4.7 pts to 25.3% Gross profit for property management services Gross Profit （RMB mn） 17.9% （RMB mn） 13.7% 43.3% 239.6 25.3% 167.2 20.6% 2019 2020 gross profit for property management services 511.3 gross profit margin for property managem
Slide 18: Key profit indicators
Key profit indicators The profit attributable to owners of the Company increased by 24.7% and core profit increased by 44.3% YoY. The basic earnings per share is RMB0.29, increased by 26.1% YoY. Profit Index Basic Earnings Per Share （RMB mn） （RMB） 12.7% 11.3% Core Profit 0.29 44.3% 0.23 250.0 26
Slide 19: Other financial indicators
Other financial indicators Cash flow is sufficient, and the interest-bearing liabilities reduce to zero Net Cash Generated from Operating Activities Cash and Cash Equivalent Gearing Ratio （RMB mn） （RMB mn） （RMB mn） 361.4 Asset Liability Gearing Ratio 89.4% 2,175.0 206.6 74.9% 413.7% 33.7% 4,156.9
Slide 20: Outlook
Outlook
Slide 21: Business Strategy
Business Strategy A leading branded comprehensive property management service provider Accelerating business Improving operation quality Accelerating business development Diversifying property types development Setting up innovative incentive Optimizing business structure Strengthening service capab
Slide 22: Market expansion strategy
Market expansion strategy Endeavor to market expansion Accelerate merger and acquisition • to build a team of nearly 100 full-time staff specializing project • To target at the acquisition of national and regional property expansion to further increase market expansion incentive to industry manageme
Slide 23: Appendix
Appendix
Slide 24: Summary of consolidated statement of comprehensive income for 2020
APPENDIX：FINANCIAL SUMMARY Summary of consolidated statement of comprehensive income for 2020 RMB mn 2020 2019 Change Change % Revenue 2,023 1,830 194 11% Cost of sales (1,512) (1,453) (59) 4% Gross profit 511 377 135 36% Selling and marketing expenses (16) (9) (7) 75% Administrative expenses (183)
Slide 25: Summary of consolidated statement of cash flows for 2020
APPENDIX：FINANCIAL SUMMARY Summary of consolidated statement of cash flows for 2020 RMB mn 2020 2019 Net cash generated from in operating activities 361 207 Net cash generated from in investing activities 2,823 419 Net cash generated from/used in financing activities (1,419) (617) Exchange losses on
Slide 26: Summary of consolidated statement of financial position for 2020
APPENDIX：FINANCIAL SUMMARY Summary of consolidated statement of financial position for 2020 RMB mn 2020/12/31 2019/12/31 Change Change % Current assets 2,728 1,034 1,694 164% Including：Cash and cash equivalents 2,175 423 1,752 414% Trade and note receivables 315 364 (49) -13% Non-current assets 364
Slide 27: Disclaimer
Disclaimer These materials have been prepared by Sino-Ocean Service Holding Limited (the “Company”) solely for informational use during its presentation to prospective and existing investors for introduction of the Company and to provide an update on the business performance and development of the C
Slide 28: Q&A Thanks!
Q&A SINO-OCEAN SERVICE (6677.HK) Thanks!
Sino-Ocean Service Holding — FY2020 Earnings Presentation on 6ix