Pt Surya Semesta Internusa Tbk · IDX:SSIA
Pt Surya Semesta Internusa Tbk — 9M 2020 Earnings Presentation
68 slides from Pt Surya Semesta Internusa Tbk's earnings presentation, November 2020
Slide 1: Review Nine Months 2020
S 5 77 BUILDING A BETTER INDONESIA suryainternusa PT Surya Semesta Internusa Tbk (“SSIA”) Review Nine Months 2020 www.suryainternusa.com
Slide 2: Table of Contents
Table of Contents Surya Semesta Internusa in Summary Review of Business Segments • Milestone • Major Subsidiaries, PROPERTY Shareholders & Management • PT Suryacipta Swadaya (“SCS”) • Investment Portfolio • PT SLP SURYA TICON INTERNUSA (“SLP”) • Strategic Roadmap • PT TCP Internusa (“TCP”) • Indones
Slide 3: Surya Semesta Internusa in Summary
Surya Semesta Internusa in Summary
Slide 4: PT Surya Semesta Internusa Tbk milestones
PT Surya Semesta Internusa Tbk • Operating track record in property sector can be traced back to almost 50 2017 years in early 1970s • Significant growth since IPO 2014 Divestmet – Raised over IDR 545 billion equity(1) • Acquired location Cikopo Palimanan – Raised over IDR 1,600 billion in debt 2012
Slide 5: Company overview and shareholding structure
Shareholding Structure 9.0% • Established and commenced operations in 1971, SSIA’s primary 7.9% PT Arman Investments Utama businesses are in construction, property and hospitality sectors PT Persada Capital Investama 7.7% Intrepid Investments Limited Reksa Dana HPAM Ekuitas Progresif • One of the Le
Slide 6: Board of Commissioners and Board of Directors
Board of Commissioners >40 Years >50 Years >50 Years >45 Years >20 Years Experience Experience Experience Experience Experience Hagianto Kumala Emil Salim Royanto Rizal Steen Dahl Poulsen Crescento Hermawan President Commissioner Vice President Commissioner Commissioner Commissioner Commissioner Pri
Slide 7: Group structure and subsidiaries
PT Surya Semesta Internusa Tbk Market cap: IDR 2.0tn / US$ 136mn 100% 100% 100% 50% 100.0% 66.0% 100% 86.8% 100% PT Nusa PT SLP Raya Cipta PT Ungasan PT Suryalaya PT Surya PT Suryacipta PT Sitiagung PT Surya PT TCP SURYA TICON Tbk Semesta Anindita Internusa Swadaya Makmur Internusa Internusa INTERNU
Slide 8: Presence in Fourteen Indonesian Cities
Presence in Fourteen Indonesian Cities Medan Pekanbaru Subang Karawang • Regional office for Nusa Raya • Acquired location permit of • Suryacipta City of Industry (1,400ha) • BATIQA Hotel (Business Hotel, Cipta (“NRCA”) 2,717ha 3-star, 133 rooms) - Grand • BATIQA Hotel & Apartments Karawang (Busines
Slide 9: Vision and strategy
Vision: To be the most a reliable, trusted and respected Indonesia property, construction and hospitality group of companies Continued focus on the construction and development of 1 Indonesian properties Prudent land banking strategy to deliver sustainable and 2 superior profit margins 3 Continued p
Slide 10: Indonesia economic indicators
Source: Bank Indonesia, Indonesian Bureau Statistics - April 2016 onwards rate refers to BI 7-day (Reverse) Repo Rate
Slide 11: Revenue and EBITDA across business segments
Revenue Across Business Segments (9M2019) Revenue Across Business Segments (9M2020) IDR 2,769bn IDR 2,125bn Hospitality 22% Hospitality 8% Construction 69% Construction 79% Property 9% Property 13% 0.0% 20.0% 40.0% 60.0% 80.0% 0.0% 20.0% 40.0% 60.0% 80.0% 100.0% EBITDA Across Business Segments (9M20
Slide 12: Consolidated revenue, gross profit, EBITDA, net income
Consolidated Revenue Gross Profit (9M19 vs 9M20, IDR Billions) (9M19 vs 9M20, IDR Billions) 2,769 2,125 9M19 9M20 EBITDA Net Income (9M19 vs 9M20, IDR Billions) (9M19 vs 9M20, IDR Billions)
Slide 13: Segment revenue 9M19 vs 9M20
Property Segment Revenue (9M19 vs 9M20, IDR Billions) Construction Segment Revenue Hospitality Segment Revenue (9M19 vs 9M20, IDR Billions) (9M19 vs 9M20, IDR Billions)
Slide 14: Consolidated and recurring revenue
Consolidated Revenue (2015-9M20, IDR Billions) 4,868 655 3,797 3,682 4,006 3,274 678 811 2,769 803 2,125 697 603 3601 178 2,476 2,611 2,164 2,454 1,910 1,672 880 660 588 414 442 258 279 2015 2016 2017 2018 2019 9M19 9M20 Property Construction Hospitality Others Recurring Revenue(1) (2015-9M20, IDR B
Slide 15: Gross margins by segment
Hotel Gross Margins % Property Gross Margins % 100% 70% 80% 63.8% 63.4% 64.7% 63.5% 63.3% 60% 60% 57.2% 40% 33.4% 52.2% 51.0% 50% 48.8% 20% 0% 2016 2017 2018 2019 9M19 9M20 40% 38.4% 38.5% Construction Gross Margins(1) % 30% 15% 10.2% 10.2% 10.4% 10.6% 10.5% 20% 9.9% 10% 10% 5% 0% 0% 2016 2017 2018
Slide 16: Financial Highlights
suryainternusa Financial Highlights “4 Consolidated Profit & Loss Revenue 3,797 3,274 3,682 4,006 2,769 2,125 Revenue Growth -22% -14% 12% 9% 4% -23% Gross Profit 1,069 864 981 1,091 680 339 Gross Profit Margin 28% 26% 27% 27% 25% 16% EBITDA 613 413 455 533 291 40 EBITDA Margin 16% 13% 12% 13% 11% 2
Slide 17: Consolidated revenue by business segment
suryainternuse rs Financial Highlights Consolidated Revenue by Business Segment Property 660 414 442 588 258 279 Segment percentage 17% 13% 12% 15% 9% 13% Construction 2,476 2,164 2,454 2,611 1,910 1,672 Segment percentage 65% 66% 66% 65% 69% 79% Hospitality 678 697 803 811 603 177 Segment percentag
Slide 18: EBITDA definition
2 EBITDA defined as net income, before interest expenses, tax expenses, depreciation and amortization expenses, includes JO income (loss)
Slide 19: Consolidated net profit by business segment
Financial Highlights Ne Consolidated Net Profit by Business Segment Property 234 80 127 159 19 (48) Segment percentage 77% 48% 49% 58% 15% 34% Construction 101 153 123 105 405 64 Segment percentage 33% 92% 48% 39% 80% 45% Hospitality (29) (66) 8 8 6 (157) Segment percentage -10% -39% 3% 3% 5% 111% O
Slide 20: Consolidated balance sheet
In IDR Billions 2016 2017 2018 2019 9M20 Current Assets 3,381 5,085 3,459 4,058 3,340 Cash & ST Investments 1,520 1,145 1,372 1,527 820 Account Receivables 1,129 1,129 1,239 1,515 1,545 Inventories 392 415 463 422 457 Other-Current Assets 340 2,396 385 593 519 Non-Current Assets 3,815 3,766 3,946 4,
Slide 21: Debt and financial ratios
In IDR Billions 2016 2017 2018 2019 9M20 Bank/Third parties Loan IDR denominated in IDR Billions 2,457 2,271 1,507 1,194 1,243 US$ denominated in IDR Billions - - - 662(1) 715(1) Total Debt in IDR Billions 2,457 2,271 1,507 1,856 1,959 Debt to Equity Ratio 73% 51% 34% 41% 47% ROE 2.1% 29.4% 1.0% 2.3
Slide 22: Review of Business Segments
s > Vaan) BUILDING A BETTER INDONESIA suryainternusa Review of Business Se
Slide 23: Property
: suryainternusa Vaan) BUILDING A BETTER INDONESIA PROPERTY - PT Suryacipta Swadaya (“SCS”) - PT SLP SURYA TICON INTERNUSA(“SLP”) - PT TCP Internusa (“TCP”) - PT Sitiagung Makmur (“SAM”)
Slide 24: FDI and DDI and industrial land sales
60 400 54 54 348 52 350 50 45 44 42 19.6 24.5 25.8 300 40 40 16.1 274 250 14.4 227 208 21.5 30 18.9 200 186 175 150 20 118 100 10 29.3 28.9 29.3 28.2 21.2 21.0 32.2 50 0 0 2015 2016 2017 2018 2019 9M19 9M20 DDI (US$ b) FDI (US$ b) Total FDI+DDI Land Sales (ha) Source: BKPM (Indonesia Investment Coor
Slide 25: Industrial sector fundamentals
INDUSTRIAL SECTOR FUNDAMENTALS Source: Colliers 3Q 2020 Research
Slide 26: Industrial sector fundamentals
INDUSTRIAL SECTOR FUNDAMENTALS Source: Colliers 3Q 2020 Research
Slide 27: Industrial/property business model
Master Plan Basic Infrastructure & Marketing Sales Sites Preparation & Finishing Land Create Build basic infrastructure Completion and acquisition masterplan Preparation of site Handover (Industrial/Property) Business Model Execute Interested Marketing Purchase customer Preparation of projects proce
Slide 28: Industrial Estate (SCS) land sales and non-land
Industrial Estate (SCS) Land Sales Industrial Estate (SCS) Non-Land
Slide 29: Suryacipta ASP and property segment revenue
Suryacipta City of Industry ASP (US$ / sqm) 200 150 121 120 120 121 100 0 2015A 2016A 2017A 2018A 2019A Property Business Segment Revenue (2015-9M20, IDR Billions) 880 55 660 55 588 71 442 414 825 71 55 258 279 605 44 517 54 358 371 205 235 2015 2016 2017 2018 2019 9M19 9M20 Industrial Estate Rental
Slide 30: Subang Industrial City location
Subang Industrial City strategically located at • km 88 from Jakarta Trans Java Toll Road Network(1) • 37.7 km away from new flagship port project Patimban, West Java (initial capacity of 250k • Cikopo-Palimanan TEUs) Toll Road • 75 km from new Kertajati international airport Soekarno-Hatta Merak In
Slide 31: Well-Diversified Current Tenant Mix
Well-Diversified Current Tenant Mix Tenant Landbank by Sector Tenant Landbank by Country To Jakarta Industrial Area Commercial Area Utility West Karawang Community Facilities Sold Area Interchange 17% 2% 8% 4% Jakarta – Cikampek Toll 1% Toll Road Gate 4% 3% 5% Toll To Karawang Gate East Karawang 9%
Slide 32: Government support for industrialization
Government support for industrialization leads to higher FDI inflow and expansion of domestic manufacturers as they have fully utilized their capacity, spurs demand for land in industrial estate
Slide 33: Glodok Plaza occupancy and revenue
Glodok Plaza (GP) Occupancy Rate (%) Revenue (in IDR billions) 100% 60 55 55 56 90.0% 53 90% 85.0% 79.0% 79.0% 78.9% 50 80% 76.7% 42 70% 40 60% 33 50% 30 40% 20 30% 20% 10 10% 0% 0 2016 2017 2018 2019 9M19 9M20 2016 2017 2018 2019 9M19 9M20
Slide 34: PT SLP Surya Ticon Internusa
• PT Surya Semesta Internusa Tbk (Indonesia) – 50% stake 120% • MITSUI & CO., Ltd (Japan) - 25% stake 97.6% 96.3% 96.3% • Frasers Property Plc. (formerly Ticon Industrial Connection 100% 92.3% 92.2% PT SLP Plc.) (Thailand) – 25% stake SURYA TICON 77.8% 80% INTERNUSA • Jointly acquiring 22ha total la
Slide 35: Property operating result
suryainternuse rs Financial Highlights Property : Operating Result (in IDR Billions) [wis poise poe awe enon | Revenue 660 414 442 588 258 279 Revenue Growth -25% -37% 7% 33% 81% 8% Gross Profit 378 202 225 307 99 107 Gross Margin 57% 49% 51% 52% 38% 38% EBITDA 315 139 175 244 57 60 EBITDA Margin 48
Slide 36: Suryacipta City of Industry photos
Suryacipta City of Industry Entrance Commercial Area Developement Suryacipta City of Industry Factory Toll Exit Leading to Suryacipta City of Industry
Slide 37: Subang Smartpolitan
s > Vaan) BUILDING A BETTER INDONESIA suryainternusa SUBANG SMARTP
Slide 38: Subang Smartpolitan - A breakthrough in Indonesia
Subang Smartpolitan - A breakthrough in Indonesia - To create a bustling new vibrant community to LIVE, WORK, LEARN and PLAY
Slide 39: Subang Smartpolitan launched November 2020
SUBANG SMARTPOLITAN LAUNCHED ON 18 NOVEMBER 2020
Slide 40: What We Offer
WHAT WE OFFER Qi SUBANG Pea CUTAN BY SURYACIPTA SEAMLE: CONNECTI' a)
Slide 41: Why Subang?
WHY SUBANG? Strategic Location ▪ The future of industrial corridor; ▪ Within the Rebana Triangle; ▪ Direct toll access (via TransJava toll road network); ▪ Close to Patimban Seaport; ▪ Close to West Java International Airport (Kertajati); ▪ Connected via railroad network as well as the planned Jak
Slide 42: Masterplan
MASTERPLAN Patimban Toll Road (direct access to Patimban Seaport) Direct Access from Cipali- Patimban Toll Construction: Q2-2022 Toll Exist Ready: Q2-2023 Completion: Q1-2024 Subang Smartpolitan, the pioneer of smart and sustainable city development that leverages technology and IOT to promote effic
Slide 43: Phase 1 Development (Southern Area)
Phase 1 Development (Southern Area) Industrial Plots Land Coverage Ratio (KDB) : 60% of total land size Floor Coverage Ratio (KLB) : 240% of total land size Building Setback (GSB) ▪ Front (Main Road) : 15m ▪ Front (Secondary Road) : 12m ▪ Side : 6m ▪ Back : 8m Green Area : 7.5% of total land
Slide 44: Festival Gateway
NORTH SMART CORE Festival Gateway (TOD Eco Business Park & Creative Cluster) Page 43
Slide 45: Riverfront Skyline
SEZ SMART CORE Riverfront Skyline (MICE Centre & Discovery Park) Page 44
Slide 46: Innovation Campus
SOUTH SMART CORE INNOVATION CAMPUS (Education & Innovation Centre) South Smart Core, a 60Ha development located in the South Smart Core Particular heart of Subang Smartpolitan, host of: • Land Coverage Ratio (KDB) : 60% of total land size ▪ Diamond Bay: • Floor Coverage Ratio (KLB) : 600% of total l
Slide 47: Infrastructure – Patimban Toll Access
INFRASTRUCTURE – PATIMBAN TOLL ACCESS • The JM Consortium (consisting of PT Jasa Marga (Persero) Tbk, PT Surya Semesta Internusa Tbk, PT Jasa Sarana and PT Daya Mulia Turangga) has been granted approval as Project Initiator of the Patimban Access Toll Road with a Right to Match as stipulated in Mini
Slide 48: Infrastructure – Patimban Toll Access
INFRASTRUCTURE – PATIMBAN TOLL ACCESS • The toll track has been decided and it will pass through our development land. Technical Aspect Total Length 37.7 km Estimated Schedule Land Acquisition 2021-2022 Construction 2022-2023 Operation 2024 Jan – Feb 2021 May – Jun 2021 Pre-Qualification Winner Anno
Slide 49: Construction
y 5 Vaan) BUILDING A BETTER INDONESIA suryainternusa CONSTRUCTION - PT Nusa Raya Cipta Tbk (“NRCA”)
Slide 50: Construction business model
Appointment Delivery and Process Payment Process between Working Parties Handover Tender Invitation Final Delivery Retention And Period Payment of Retention Business Model (Construction) Tender Submission Negotiation Advance Payment Monthly Down Down Payment to (Bank Progress First Payment Payment S
Slide 51: Market share and customer profile
Top Three Largest Market Share … …and Profitability Amongst Private Companies (2014-2019, Revenue, IDR Trillions) Profit Margin (%) – 9M20 3.95 5.0 4.0 2.62 3.0 2.47 2.0 1.90 1.0 0.90 0.0 2014 2015 2016 2017 2018 2019 Nusa Raya Cipta Jaya Konstruksi Total Bangun Persada Nusa Konstuksi Enjiniring ACS
Slide 52: New contract classification
New Contract Classification (in IDR billions) (in IDR Billions) 2016 2017 2018 2019 9M19 9M20 2,811 2,841 2,693 2,028 780 Contract on hand 1% 5% 0% - beginning 3,192 3,527 4,204 4,444 4,444 3,479 2% 6% 7% 3% 17% 11% 13% 39% 18% Contract obtained 2,811 2,841 2,693 2,028 1,799 780 3% Less: Revenue 13%
Slide 53: NRCA operating result
Note: NRCA Operating Result doesn’t include intercompany eliminations - ROE are annualized
Slide 54: NRCA balance sheet
In IDR Billions 2016 2017 2018 2019 9M20 Assets Cash & Cash Equivalents 447 657 736 689 565 Account Receivable 1,111 1,085 1,198 1,468 1,517 Project Advance 23 31 38 34 32 Investment Toll Road 125 0 0 0 0 Others 428 569 283 272 257 Total Assets 2,134 2,342 2,255 2,463 2,371 Liabilities Bank Debt - -
Slide 55: Excellent Work Quality Across Sectors
Excellent Work Quality Across Sectors RS Budi Medika (Lampung) Mayapada Hospital (Bandung) Ayana Komodo Resort (Labuan Bajo) The Park Mall Sawangan (Depok) Pacific Garden (Tangerang) Pembelajaran Arntz-Geise Unpar (Bandung)
Slide 56: Hospitality
y 5 Vaan) BUILDING A BETTER INDONESIA suryainternusa Hospitality - PT Suryalaya Anindita International (“SAI”) - PT Ungasan Semesta Resort (“USR”) - PT Surya Internusa Hotels (“SIH”)
Slide 57: Hotel market (Colliers, STR Global)
Source: Colliers 3Q 2020 Research & STR Global
Slide 58: Hotel market (Colliers, STR Global)
Source: Colliers 3Q 2020 Research & STR Global
Slide 59: Hospitality revenue, occupancy and RevPAR
Revenue Occupancy Rate (2015-9M20, IDR Billions) (2015-9M20, %) 80% Opened Seven BATIQA Hotels(1) 70% 60% 50% 35.7%(2) 811 40% 803 30% 20.8% 20% 14.7% 97 101 697 10% 15.0% 655 678 2015 2016 2017 2018 2019 9M20 32 66 80 144 603 144 Gran Melia Melia Bali Banyan Tree BATIQA 72 162 155 151 110 Room RevP
Slide 60: ARR and RevPAR by hotel
ARR ($) 2016 2017 2018 2019 9M19 9M20 GMJ 109 103 94 88 88 81 MBH 94 101 113 118 117 110 BTUR 442 466 468 440 441 434 BATIQA (Rp) 303,507 300,366 332,953 314,449 310,711 300,912 Room RevPAR ($) 2016 2017 2018 2019 9M19 9M20 GMJ 50 46 48 40 38 12 MBH 73 77 87 93 93 23 BTUR 287 281 257 254 256 64 BATI
Slide 61: 1% -71% 63% 33% (96) 22% -54% (163) 8% -92% 6 (157)
603 177 1% -71% 382 59 63% 33% 130 (96) 22% -54% 47 (163) 8% -92% 6 (157)
Slide 62: Photos of Gran Melia Jakarta
Photos of Gran Melia Jakarta Café Gran Via Red Level Reception Guest Room Reception
Slide 63: Photos of Melia Bali Hotel
Photos of Melia Bali Hotel Villa Main Pool Lobby Hotel The Level Family Suite Room Swimming Pool
Slide 64: Photos of Banyan Tree Ungasan Resort
Photos of Banyan Tree Ungasan Resort Sanctuary Villa Cliff Edge Villa Ju-Ma-Na terrace The White Dove Wedding Venue Sanctuary Villa Cliff Edge (jetpool) Swimming Pool – Sanctuary Villa
Slide 65: Photos of BATIQA Hotels
Photos of BATIQA Hotels Suite Room FRESQA Bistro Exterior view of BATIQA Hotel Cirebon Lobby Meeting Room
Slide 66: Strategic partners
Industrial Partner Industrial Partner Industrial Partner Hotel Partner Hotel Partner Trans-Java Toll Road network Trans-Java Toll Road network Country Japan Japan Thailand Spain Singapore Indonesia Malaysia Business • One of Japan’s major • One of the most • Develops and provides • One of Spain’s le
Slide 67: Disclaimer
These materials have been prepared by PT Surya Semesta Internusa Tbk (the “Company”, “SSIA”) and solicitation or invitation of any offer to buy or subscribe for any securities of the Company, in any have not been independently verified. No representation or warranty, expressed or implied, is made ju
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PT Surya Semesta Internusa — 9M 2020 Earnings Presentation on 6ix