Frasers Property Ltd. · SGX:TQ5
Frasers Property — Frasers Hospitality Trust — 2Q FY2017 Earnings Presentation
31 slides from Frasers Property's earnings presentation, Apr 28, 2017
Slide 1: Frasers Hospitality Trust 2Q FY2017 Financial Review
Frasers Hospitality Trust 2Q FY2017 Financial Review for 1 Jan to 31 Mar 2017 28 April 2017
Slide 2: Important Notice
Important Notice Certain statements in this presentation constitute “forward-looking statements”, including forward-looking financial information. Such forward-looking statements and financial information involve known and unknown risks, uncertainties and other factors which may cause the actual res
Slide 3: Content
Content Key Highlights Portfolio Performance Capital Management Outlook 3
Slide 4: Key Highlights
Key Highlights Fraser Suites Glasgow
Slide 5: Financial Review for 2Q FY2017
Financial Review for 2Q FY2017 S$m 2Q FY2017 2Q FY2016 Variance Gross Revenue (GR) 38.7 27.0 43.1% Net Property Income (NPI) 28.9 22.2 29.9% NPI Margin 74.7% 82.2% 7.5 ppt Distribution Income (DI) 22.3 18.4 21.4% Distribution Per Stapled 1.2063 cents 1.2598 cents2 4.2% Security1 (DPS) – restated DPS
Slide 6: Financial Review for 1H FY2017
Financial Review for 1H FY2017 S$m 1H FY2017 1H FY2016 Variance GR 78.2 58.4 33.9% NPI 59.4 48.6 22.3% NPI Margin 76.0% 83.2% 7.2 ppt DI 46.7 42.1 11.1% DPS1 – restated 2.5321 cents 2.8952 cents2 12.5% DPS – as previously 2.5321 cents 3.0506 cents 17.0% reported • GR, NPI and DI were boosted by the
Slide 7: Distribution Details
Distribution Details Distribution Period 1 Oct 2016 to 31 Mar 2017 Distribution Rate 2.5321 cents per Stapled Security Last Day of Trading on “Cum” Basis 4 May 2017 First Day of Trading on “Ex” Basis 5 May 2017 Book Closure Date 9 May 2017 Distribution Payment Date 29 Jun 2017
Slide 8: Portfolio Performance
Portfolio Performance Sofitel Sydney Wentworth
Slide 9: Portfolio Contribution by Country – 2Q FY2017
Portfolio Contribution by Country – 2Q FY2017 Germany Germany 4% 5% Malaysia Malaysia Japan 5% 6% 8% Japan 8% United Kingdom GR United NPI Australia 11% Kingdom S$38.7m Australia 11% S$28.9m 47% 51% Singapore 21% Singapore 23% 9
Slide 10: Portfolio Highlights By Country – 2Q FY2017
Portfolio Highlights By Country – 2Q FY2017 2Q FY2017 Country Gross Operating Revenue (GOR) Gross Operating Profit (GOP) Local Currency Variance Local Currency Variance (m) (yoy) (m) (yoy) Australia 32.7 46.1% 16.3 70.6% Singapore 22.1 1.6% 8.9 1.5% UK 5.0 10.1% 2.4 9.6% Japan 1,425.4 5.2% 325.1 9.7
Slide 11: Portfolio Highlights By Country – 1H FY2017
Portfolio Highlights By Country – 1H FY2017 1H FY2017 Country GOR GOP Local Currency Variance Local Currency Variance (m) (yoy) (m) (yoy) Australia 65.7 38.4% 31.2 49.4% Singapore 43.7 2.8% 17.5 1.8% UK 11.1 4.6% 5.7 1.6% Japan 3,187.9 4.2% 876.3 2.4% Malaysia 48.3 0.7% 16.0 1.5% Germany1 4.8 n.a. 1
Slide 12: Australia Portfolio Performance
Australia Portfolio Performance AUD (m) 2Q FY2017 2Q FY2016 Variance GOR 32.7 22.4 46.1% GOP 16.3 9.5 70.6% Novotel Melbourne on Collins (NMOC) Novotel Rockford Darling Harbour (NRDH) Fraser Suites Sydney (FSS) Sofitel Sydney Wentworth (SSW) • Addition of NMOC contributed to the significant
Slide 13: Singapore Portfolio Performance
Singapore Portfolio Performance SGD (m) 2Q FY2017 2Q FY2016 Variance GOR 22.1 21.7 1.6% GOP 8.9 9.1 1.5% Fraser Suites Singapore (FSSG) InterContinental Singapore (ICSG) • Higher GOR for Singapore properties was due to higher occupancy levels recorded at ICSG following completion of the renovati
Slide 14: UK Portfolio Performance
UK Portfolio Performance GBP (m) 2Q FY2017 2Q FY2016 Variance GOR 5.0 4.5 10.1% GOP 2.4 2.2 9.6% Fraser Suites Edinburgh (FSE) Fraser Place Canary Wharf (FPCW) Fraser Suites Glasgow (FSG) Best Western Cromwell London (BWCL) Fraser Suites Queens Gate (FSQG) Park International London (PIL)
Slide 15: Japan Portfolio Performance
Japan Portfolio Performance JPY (m) 2Q FY2017 2Q FY2016 Variance GOR 1,425.4 1,503.5 5.2% GOP 325.1 359.9 9.7% ANA Crowne Plaza Kobe (CPK) • The strength of the Japanese yen has impacted international arrivals in the Kansai region. This has led to less spill-over traffic from Osaka and lower occup
Slide 16: Malaysia Portfolio Performance
Malaysia Portfolio Performance MYR (m) 2Q FY2017 2Q FY2016 Variance GOR 24.0 21.3 12.7% GOP 8.2 6.5 25.9% The Westin Kuala Lumpur (TWKL) • Coming off a low base, the KL market recorded strong growth in RevPAR yoy in 2Q. • RevPAR was 7.9% higher yoy on the back of higher occupancy due to stronger t
Slide 17: Asset Enhancement Initiatives (AEI)
Asset Enhancement Initiatives (AEI) • NRDH - Renovation to commence in end-Apr 2017. - Expected completion by 1Q FY2018. • Retail Component of CPK (Kobe Retail Mall) - AEI to reposition and uplift the Kobe Retail Mall is in line with our plan to renovate and rejuvenate the NRDH Guest Room (Post-Reno
Slide 18: Capital Management
Capital Management InterContinental Singapore
Slide 19: Risk and Capital Management
Risk and Capital Management As at 31 Mar 2017 As at 31 Mar 2017 Investment Properties S$2,049.3m Weighted Average Years to Maturity 1.84 years Property, Plant and Equipment S$252.1m Unsecured Debt 96.2% Total Assets S$2,396.8m Effective Cost of Borrowing 2.6% Total Borrowings S$796.7m Borrowings on
Slide 20: Outlook
Outlook Park International London
Slide 21: Australia Outlook
Australia • Tourism Australia reported that international arrivals to the country grew 11.0% yoy to 8.3 million in 2016, with Chinese visitors growing 16.9% yoy. • For Jan to Feb 2017, international arrivals rose 6.3% yoy. • Sydney’s hotel market is poised for further growth in 2017. International a
Slide 22: Singapore Outlook
Singapore • Singapore Tourism Board reported a 7.7% increase in tourist arrivals for 2016, fuelled in part by a surge in arrivals of Chinese and Indonesian visitors. • For Jan to Feb 2017, tourist arrivals rose 3.4% yoy. • Singapore continues to grow its pipeline of MICE events which include IMDEX A
Slide 23: United Kingdom Outlook
United Kingdom • According to Visit Britain, inbound visitors to the UK were up 3% yoy to 37.3 million in 2016. • For Jan to Feb 2017, the UK received 5.2 million overseas visitors, up 6% yoy. • Positive economic outlook for the UK and a weaker pound is likely to boost travel demand and benefit tour
Slide 24: Japan Outlook
Japan • Japan National Tourism Organization (JNTO) reported 21.8% growth yoy in the number of foreign visitors for 2016. • For the first quarter of 2017, JNTO reported yoy growth of 13.6% in foreign visitors, with the growth rate for Feb 2017 being the lowest in four years. The number of Chinese vis
Slide 25: Malaysia Outlook
Malaysia • According to Tourism Malaysia, tourist arrivals increased 4.0% yoy to 26.8 million in 2016, with Chinese tourists growing 26.7% yoy. • For 2017, Tourism Malaysia has set a target to increase tourist arrivals by over 18% to 31.8 million. • However, significant supply in the pipeline in the
Slide 26: Germany Outlook
Germany • The Federal Statistical Office of Germany reported a 3% increase in the number of domestic and foreign overnight stays to 447.3 million in 20161. • In Dresden, the total number of domestic and foreign visitors increased marginally by 0.5% to 2.09 million in 2016. For Jan 2017, the number h
Slide 27: Thank you
Thank you Be. Gy FRASERS TRUST
Slide 28: Resilient and Diversified Portfolio Across Geography
Resilient and Diversified Portfolio Across Geography Edinburgh Edinburgh Fraser Suites Edinburgh Fraser Suites Edinburgh Glasgow Europe Fraser Suites Glasgow United Kingdom Germany London Kobe Kobe Fraser Suites Queens Gate ANA Crowne Plaza Kobe Fraser Place Canary Wharf Japan Best Weste
Slide 29: Portfolio Overview
Portfolio Overview Hotel Properties Managed by Third-Party Operators Property Country Description Tenure Class Rooms Only 5-star luxury hotel in InterContinental Singapore to preserve Peranakan Singapore 75 years Luxury 406 Singapore heritage in a shop house style setting Novotel Rockford 4.5-star h
Slide 30: Portfolio Overview
Portfolio Overview Hotel Properties Managed by Third-Party Operators Property Country Description Tenure Class Rooms Park International United Elegant hotel ideally located in the 75 years Mid-scale 171 London Kingdom heart of Kensington & Chelsea ANA Crowne Plaza Unique panoramic view of Kobe Upper
Slide 31: Portfolio Overview
Portfolio Overview Serviced Residences Managed by Frasers Hospitality Property Country Description Tenure Class Rooms Luxurious serviced residences in Upper Fraser Suites Singapore Singapore the prime residential district of 75 years 255 Upscale River Valley First luxury apartments in Sydney Upper F
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