Sime Darby Property Bhd. · MYX:SIMEPROP
Sime Darby Property Bhd — Shareholder Meeting (May 2021)
32 slides from Sime Darby Property Bhd's shareholder meeting presentation, May 6, 2021
Slide 1: Sime Darby Property 48th Annual General Meeting
Sime Property SIME DARBY PROPERTY BERHAD 48* Annual General Meeting 6 MAY 2021
Slide 2: Table of Content
Table of Content Title Page 1. Key Highlights 3 • Key Milestones at a Glance 4–5 • Key Financial Highlights for FY2020 6 • Key Operational Highlights for FY2020 7 • COVID-19 Impact to Sime Darby Property 8 • Amid the COVID-19 Pandemic 9 • Impact of Value Assessments on the Group 10 • FY2020 Financia
Slide 3: Key Highlights FY2020 Highlights
City of Elmina Key Highlights Launched 1,092 units (~RM1.1b GDV) in FY2020 consisting of residential landed, FY2020 Highlights commercial and industrial landed properties
Slide 4: Key Milestones at a Glance
Key Milestones at a Glance FY2020 and year-to-date FY2021 Industrial & Logistics Development (ILD) 4 Feb 2020 21 Jun 2020 16 Nov 2020 Groundbreaking ceremony of SD Prop Launched Phase 1 Elmina Business Handed over the first Built-To-Lease XME Business Park, Nilai Impian with Park with RM1.3bil GDV (
Slide 5: Key Milestones at a Glance
Key Milestones at a Glance FY2020 and year-to-date FY2021 Sales Achievements & KL East Mall Key Collaborations Achieved RM2.0b sales in FY2020, 15 Dec 2020 27 Mar 2021 exceeded revised target by 43% 27 Sep 2020 Spotlight 8 Campaign outperformed previous year with RM1.5b bookings Memorandum of Collab
Slide 6: Key Financial Highlights for FY2020
Key Financial Highlights for FY2020 At a glance REVENUE PROFIT BEFORE NET EARNINGS TOTAL EQUITY INTEREST AND TAX EXCLUDING ONE-OFFS * EXCLUDING ONE-OFFS * RM2,062.8 mil RM110.4 mil RM77.4 mil RM9,289.5 mil (2019: RM3,180.0 mil) (2019: RM351.0 mil) (2019: RM312.0 mil) (2019: RM9,950.0 mil) NET ASSETS
Slide 7: Key Operational Highlights for FY2020
Key Operational Highlights for FY2020 Commendable operational achievements driven by agile business strategies RM2.0 bil sales New launches Completed 18 Launched 1,668 achieved with achieved projects & 3,725 units with 2,258 units sold average take up units delivered RM1,506.4 mil (Exceeded revised
Slide 8: COVID-19 Impact to Sime Darby Property
COVID-19 Impact to Sime Darby Property All three business segments were disrupted by the pandemic SD Property as a Property Investment & Asset Leisure whole Development Management Wave 1&2 • Temporary closure of • Construction activities • ILD • No golfing revenue and corporate HQ office halted duri
Slide 9: Amid the COVID-19 Pandemic
Amid the COVID-19 Pandemic Agile plans to maintain the Group’s resiliency Comprehensive total review of short-term strategies • Strengthened foothold of the Group in the property market and business tactical plans aligning with the evolving • Enhanced financial position to remain resilient market co
Slide 10: Impact of Value Assessments on the Group
Impact of Value Assessments on the Group The Group recorded a total of one-offs of RM620.3 million (at Profit before Interest and Tax level) SD Prop undertook value assessments of the Group’s assets and projects to reflect evolving market conditions vis-à-vis the Net Gain on Financial COVID-19 pande
Slide 11: FY2020 Financials (Profit & Loss Statement)
FY2020 Financials (Profit & Loss Statement) SD Prop remained profitable after excluding one-offs, driven by its Property Development business RM mil FY2020 FY2019 YoY% Revenue (before elimination) 2,074.4 3,194.0 (35.1) • Revenue declined YoY (-35.1%) in FY20 as - Property Development 1,922.5 3,001.
Slide 12: FY2020 Financials (Segmental Results)
FY2020 Financials (Segmental Results) Property Development segment continued to be the key revenue and profit contributor in FY2020 Revenue PBIT excl. one-offs Segment Net Assets RM2,074.4 million RM110.4 million RM12,352.9 million Leisure 73.2 -27.8 122.8 Investment & (3.5%) 1,604.9 Asset -(11.4%)
Slide 13: FY2020 Financials (Balance Sheet Statement)
FY2020 Financials (Balance Sheet Statement) Financial position remained solid backed by moderate gearing and stable cash position RM mil FY2020 FY2019 YoY% Total Assets 14,885.0 15,482.3 (3.9) Shareholders’ Funds 9,103.7 9,721.7 (6.4) Total Equity 9,289.5 9,950.0 (6.6) Financial Total Borrowings 3,4
Slide 14: Sales Achieved and Unbilled Sales
Sales Achieved and Unbilled Sales Sales achieved of RM2.0 bil was 43% higher than the revised sales target; unbilled sales remained at RM1.6 bil levels Sales Achieved RM1,981.0m Unbilled Sales RM1,580.3m Commercial Statutory Statutory Commercial 67.6 64.6 Others* 90.9 42.8 (3.4%) (3.3%) 24.5 (5.8%)
Slide 15: FY2020 Launches and Take-up Rates (1/2)
FY2020 Launches and Take-up Rates (1/2) Garnered average take-up rate of 81% as at 31 December 2020, 93% as at 31 March 2021 Launches in FY2020 1,668 units @ RM1.5 billion GDV Residential Units: 1,544 GDV: RM1,233.8 mil Elmina East BBR 2 Elmina West Serenia City Ilham Residences Lumira 1 & 2 Elmina
Slide 16: FY2020 Launches and Take-up Rates (2/2)
FY2020 Launches and Take-up Rates (2/2) Garnered average take-up rate of 81% as at 31 December 2020, 93% as at 31 March 2021 Launches in FY2020 1,668 units @ RM1.5 billion GDV Commercial Industrial Units: 84 GDV: RM142.1 mil Units: 40 GDV: RM130.5 mil Elmina East Serenia City Elmina Business Park Te
Slide 17: ESG Highlights for FY2020
ESG Highlights for FY2020 Leadership in Sustainability A constituent of: MSCI ACWI Small Cap Index The only property developer Sukuk Musharakah Programme • FTSE4GOOD BURSA INDEX and received MSCI ESG in Malaysia with CDP CARBON is RATED AA+IS and a stable • FTSE4GOOD ASEAN 5 INDEX Rating of BBB mana
Slide 18: CSR & Corporate Events in Pictures
CSR & Corporate Events in Pictures Active engagements and contributed ~RM1 million to the community as well as to COVID-19 Relief Funds Key CSR Initiatives COVID-19 Relief Assistance in schools Giving back to the community Bantuan Khas Masyarakat 12 May 20: 789 beneficiaries received in the SMK Pute
Slide 19: Awards & Recognitions in FY2020
Awards & Recognitions in FY2020 Operational + Corporate + Compliance Awards 6 Construction Quality Excellence Awards High QLASSIC Achievement in Landed Residential Category for the below products: Liana, 1 The Edge Property Excellence Awards Elmina East; Ferrea, Denai Alam; Azira, BBR; Harmoni Vista
Slide 20: Shareholders' Returns
Shareholders’ Returns The Glades Clubhouse Exclusive clubhouse in Putra Heights which is accessible only to residents of the Glades
Slide 21: Total Shareholder Return
Total Shareholder Return Year-on-year share price performance (20 April 2020 – 19 April 2021) 1-Year Total Shareholder Returns (20 April 2020 – 19 April 2021) Sime Darby Property TSR +13.6% YoY (20.04.2020-19.04.2021) As at FBMKLCI: SD Prop: Bursa Prop: FBM KLCI +13.3% YoY Index (100) 19 April 2021
Slide 22: Dividend Payout Trend
Dividend Payout Trend Dividend payout ratio of 87.9% in FY2020 (excluding one-offs) In the near term Historical Dividend The Group has in place its sen 5.0 sen 1.0 sen 3.0 sen 1.0 sen strategy & plans for 5.0 150.0% FY2021-FY2023 4.5 146.7% 130.0% 4.0 110.0% FY2021: 87.9% 3.5 3.0 90.0% • Focus on re
Slide 23: Our Strategy Moving Forward
Our Strategy Moving Forward Elmina Business Park 303 Industrial Units & 78 Commercial Units Total GDV of RM1.3b Launched Stage 1 in June 2020 *Artist impression
Slide 24: 2021 Outlook
2021 Outlook Expect 2021 to remain challenging; need for cashflow preservation Agenda Decision on Commitment for equity COVID-19 pandemic Property overhang issue International Accounting injection to Battersea continues to prevail in a subdued market Standards 23 Power Station Project Government’s e
Slide 25: SHIFT 2.0 Strategy is Essential to Achieve End-State 2025
SHIFT 2.0 Strategy is Essential to Achieve End-State 2025 Bridging the gap between strategy and execution The 4 Corporate Priorities will serve as a guide to pivot our business… …underpinned by 7 Focus Areas 1 Broaden Income Streams 2 Deepening Competencies 1 Operational Excellence • Master Develope
Slide 26: 7 Focus Areas
7 Focus Areas Connecting the dots for our organisational transformation journey 1 Operational Excellence Establish a firm foundation to transform the Group into a performance-driven organisation through continuous improvement in the way we work 2 Organisational Excellence Raise productivity and enri
Slide 27: Key Priorities in FY2021
Key Priorities in FY2021 Maintaining sight of a balanced & diversified business portfolio over the longer-term Broaden Income Streams & Develop New Capabilities Industrial sales grew from nil in FY2019 to RM284.2m in FY2020 INVESTMENT & ASSET MANAGEMENT as part of recurring ELMINA BUSINESS PARK GDV:
Slide 28: Key Priorities in FY2021
Key Priorities in FY2021 Clear focus to enhance productivity whilst improving project management and delivery capabilities Deepening Competencies Target 5% cost savings every year for the next 2 years Enhanced cost and Project Design-to-cost Procurement cashflow Management management is essential to
Slide 29: FY2021 Launch Pipeline
FY2021 Launch Pipeline FY2021 sales target of RM2.4b, underpinned by strategic launch plan and healthy product mix FY2021 Sales Target: RM2.4b New Launches as at March 2021 Supported by : 186 units RM111.0m GDV ~RM2.5b Agile Launch Plan Positive Market Drivers with healthy product mix Ariya 3, Seren
Slide 30: Remaining Landbank and GDV as at May 2021
Remaining Landbank and GDV as at 3 May 2021 Sustainable growth with remaining developable period of 25-30 years Ongoing Remaining Developable Land RM33.4 bil Remaining developable area for Other areas in Klang Valley (37.4%) future developments (MVV, 2,014 (13.3%) Planters’ Haven West and others) RM
Slide 31: Investment Proposition
Investment Proposition Strong fundamentals and track records for growth STABLE SHAREHOLDERS’ RETURN PROMISING GROWTH POTENTIAL RESILIENT FINANCIAL POSITION Industry long-term prospects remain positive : Stable returns : • Buoyed by Government’s concerted efforts & low interest rate environment • FY2
Slide 32: Thank You
Property Thank You
Sime Darby Property Berhad — Shareholder Meeting (May 2021) on 6ix