Egyptian For Tourism Resorts · EGX:EGTS

Egyptian For Tourism Resorts — Egyptian Resorts Company — Q1 2018 Earnings Presentation

38 slides from Egyptian For Tourism Resorts's earnings presentation, 2018

  1. Slide 1: Investor Presentation First Quarter 2018

    INVESTOR PRESENTATION First Quarter 2018

  2. Slide 2: Executive Summary

    Executive Summary

  3. Slide 3: A Fully Integrated Real Estate Developer

    A Fully Integrated Real Estate Developer Egyptian Resorts Company is a fully-integrated real estate developer, covering the entire value chain including master development, real estate development, infrastructure development, facility and community management Off-plan residential offerings and Maste

  4. Slide 4: Key Performance Indicators

    Key Performance Indicators EGP18.3 mn Real Estate Contracted Sales EGP 225 mn EGP 11.4 mn EGP 5.4 mn (Q1-2018) Contracted Land Sales (2017) Utilities Revenue (Q1-2018) Facility Management Revenue (Q1-2018) No Land Sales Contracts in Q1- 2018 EGP 33 mn EGP 726 k 3.4 mn sqm c.49K BUA Total Q1-2018 Rec

  5. Slide 5: Key Operational Developments

    Key Operational Developments Land Plot Sales Tawaya Recurring Income Events ERC did not realize revenues from Tawaya’s contracted sales reached - Retail revenues: EGP 0.7 mn On 2018’s New Year’s Eve Sahl land plot sales during Q1-2018. EGP193 million. Currently, around - Utilities revenues: EGP 11.4

  6. Slide 6: Overview Of ERC

    Overview Of ERC

  7. Slide 7: Real Estate Development

    Real Estate Development ERC’s strategic real estate projects span the residential, commercial and touristic offerings Off-plan residential offerings Recurring revenue projects Mixed-use areas • Self-financed high and middle income • ERC develops and manages recurring • ERC is the sole developer of S

  8. Slide 8: Our Projects Portfolio

    Our Projects Portfolio Jamaran Tawaya Old Town Retail, Office, Type Residential Residential, Type Type Residential Hospitality & Services Total Land Area of Jamaran 265,000 Total Land Area (sqm) 13,290 Development (sqm) Total Land Area (sqm) 14,689 Total Land Area of Jamaran 30,000 Total Sellable BU

  9. Slide 9: Projects Portfolio: Tawaya

    Projects Portfolio: Tawaya Exclusive bay view waterfront residential project in the Old Town of Sahl Hasheesh by ERC & Palm Hills Developments Sellable BUA 18,200 m2 # of units (including roofs) 164 Unit sizes 60-294 m2 Sales window Opened April 2015 Expected delivery 2018-19 Expected Project Procee

  10. Slide 10: Projects Portfolio: Jamaran Development

    Projects Portfolio: Jamaran Development An exclusive enclave of sea-side villas along the coast of Sahl Hasheesh • An exclusive enclave of sea-side villas along the coast of Sahl Hasheesh • Four designs to choose from, with each possessing a unique architecture style while embodying the elegance, si

  11. Slide 11: Projects Portfolio: Old Town

    Projects Portfolio: Old Town Located at the heart of Sahl Hasheesh and overlooking the seaside promenade, Old Town is the development’s bustling downtown area • Premiere shopping and leisure destination with retail stores, restaurants, cafes, spas and various water sport activities Component Quantit

  12. Slide 12: Real Estate Development Forward-Looking Strategy

    Real Estate Development Forward-Looking Strategy ERC’s forward-looking strategy for its real estate development segment will see it revitalize existing projects to extract higher value as well as roll-out new off-plan residential and recurring income developments Upcoming Projects Entrepreneurial &

  13. Slide 13: Master Development

    Master Development ERC master develops mega projects and world-class communities, offering land parcels for hotels, residential apartments, villas, golf courses and other leisure real estate properties Land Identification/ Master Planning Land Sales Acquisition • Surveying the market for premium • W

  14. Slide 14: Master Development Forward-Looking Strategy

    Master Development Forward-Looking Strategy Introduce amenities for non-premium parcels Improve commercial offerings with structured products / pre-designated land plot (schools, hospitals) ERC is updating its master plan to Offer pre-packaged reflect the changing market development solutions to dyn

  15. Slide 15: Infrastructure Development

    Infrastructure Development ERC’s extensive infrastructure investments position it as the exclusive utilities and services provider – a model that generates sustainable cash flows Water & Irrigation Power & Electricity Communication ERC invests in desalination plants and delivers ERC’s power distribu

  16. Slide 16: Water & Irrigation

    Water & Irrigation Management of ERC’s desalination plant and water treatment equipment is subcontracted for a fixed fee, while water is sold at market rates Water & Irrigation Sewage Treatment Pricing 14,000m3/day desalination plant 7,500m3/day waste water treatment facility Volume and quality-base

  17. Slide 17: Electricity

    Electricity ERC is a licensed electricity generator and distributor with an electricity sub-station in the design phase Key Facts Operational Update 20 MVA capacity A contract was signed with Canal Company to supply 20 MVA of electricity 5 electrical networks (128, 478 m) were established to serve p

  18. Slide 18: Communication

    Communication ERC’s IT equipment and fiber optic networks support high-speed internet, video on demand, internet protocol television among other services Key Facts Key Facts (Continued) Pricing 13,000 m optical fiber network iBAHN, leading IPTV, Video on Demand (VOD) service provider, serving all el

  19. Slide 19: Infrastructure Development Forward-Looking Strategy

    Infrastructure Development Forward-Looking Strategy ERC aims to restructure its infrastructure assets as into independednt revenue generating profit centers to unlock value and growth Production / Treatment Distribution Power Substation Desalination Power Distribution Networks Desalinated Water, Irr

  20. Slide 20: Facilities Management

    Facilities Management ERC provides a comprehensive range of maintenance and facility management services Facility Management Capabilities Public Area & Beach Community Brand & Security Waste Management Cleaning Quality & Design Control Maintenance Reputation Management Community management controls

  21. Slide 21: Overview Of Sahl Hasheesh

    Overview Of Sahl Hasheesh

  22. Slide 22: Sahl Hasheesh: ERC's Flagship Master Development

    Sahl Hasheesh: ERC’s Flagship Master Development Sahl Hasheesh is a unique, purpose-built Red Sea destination 18 km south of Hurghada International Airport and approximately 470 km from Cairo. The year-round development is situated on a bay long renowned as a world-class diving and seaside destinati

  23. Slide 23: Sahl Hasheesh By Numbers

    Sahl Hasheesh By Numbers Phases I and II of Sahl Hasheesh are currently home to around 2,760 hotel rooms and suites managed by brands including Premier Le Rêve, Premier Romance, Pyramisa, Tropitel, Old Palace and Baron, and Azzurra Boutique Hotel in addition to 2,300 residential units. Five of our h

  24. Slide 24: The Number One Red Sea Destination

    The Number One Red Sea Destination Sahl Hasheesh has become the prominent destination on the Red Sea coast with year-around activities and events for residents and visitors alike Daily Activities Sports Snorkeling & Spas & Shopping Dining A haven for sports Diving Wellness International brands A ran

  25. Slide 25: Year-Round Events & Activities

    Year-Round Events & Activities ERC’s marketing efforts have placed Sahl Hasheesh firmly on the map as one of Egypt’s top coastal destinations among foreigners and Egyptians alike. During 2017, ERC organized a number of new events, ranging from sporting events and beach parties to CSR activities, dem

  26. Slide 26: Promotional Activities

    Promotional Activities A major focus of our marketing With the growing popularity of We have also continued our Following the success of New Internationally, Sahl Hasheesh activities in 2017 were centered Tawaya, efforts have also been efforts to position ourselves as Years Eve '16 with ByGanz and i

  27. Slide 27: Operational & Financial Update

    Operational & Financial Update

  28. Slide 28: Financial Performance | Income Statement Highlights

    Financial Performance | Income Statement Highlights Net Revenue (EGP mn)  ERC did not realize revenues from lad plot sales in Q1-2018. Revenues recognized from real estate activities came at 16.2 mn. 400  Tawaya, ERC’s exclusive waterfront apartments in Old Town YoY  : 69% developed in cooperatio

  29. Slide 29: Financial Performance | Balance Sheet Highlights

    Financial Performance | Balance Sheet Highlights Consolidated Liquid Assets and Liabilities (EGP mn) Cash & TB Total Receivables Current L. Long Term L. 691 686 749 1,285 1,385 1,390 274 332 384 261 620 816 797 208 216 227 236 675 336 329 342.0 463.3 274 239 200 260 271 252 272 200.0 108.9 98 136 13

  30. Slide 30: Governance & Sustainability

    Governance & Sustainability

  31. Slide 31: Corporate Governance

    Corporate Governance ERC believes that a robust, proactive approach to corporate governance is vital to the interests of both the individual company — boosting investor confidence by protecting the value of their shares — and the business community by providing a regulatory framework for healthy com

  32. Slide 32: Sustainability

    Sustainability ERC is committed to actively giving back to Egyptian society by engaging in ethical business practices as well as organizing and sponsoring a variety of corporate social responsibility initiatives every year Doing Business to Promote Development Giving Back through CSR Initiatives • D

  33. Slide 33: Investor Information

    Investor Information

  34. Slide 34: Stock Information

    Stock Information EGTS.CA 21.0% Red Sea Hotels First Arabian Company Issued Shares 1,050,000,000 Shares Misr Insurance 48.3% 10.0% Rowad Tourism Company Listing Venue The Egyptian Stock Exchange Misr for Life Insurance 8.1% Listing Date 5.7% Others 10/02/1999 7.0% Analyst Coverage Name: Mohamed Mare

  35. Slide 35: Stock Information

    Stock Information Egyptian Resorts Co SAE – Stock Performance Chart MPC raises rates by 200 FY 2017 basis points results 3.0 Kato sells 11.6% of ERC shares to Red Sea Hotels Ahly Capital sells 4.5% of ERC shares ERC CEO to Red Sea Hotels Mohamed resulting in Ahly FY Ahly Capital sells 4.5% Capital o

  36. Slide 36: Financial Statements

    Financial Statements

  37. Slide 37: Consolidated Income Statement

    Consolidated Income Statement EGP FY2016 FY2017 Change Q12017 Q12018 Change Sales Operating Revenue 168,889,169 206,593,285 22% 92,102,511 16,151,661 -82% Sales Return (9,768,139) (780,847) -92% 0 0 n/a Revenue from rendered services 48,833,922 75,255,074 54% 12,707,357 16,847,732 33% Total Revenues

  38. Slide 38: Consolidated Balance Sheet

    Consolidated Balance Sheet EGP 31/12/2016 31/12/2017 31/03/2018 Fixed Assets (net) 121,861,072 103,174,397 102,538,806 Real Estate Investments 145,977,861 148,040,655 147,781,443 Projects in Progress 1,624,746 12,532,922 9,504,373 Accounts and Notes Receivable (Net) 509,342,426 470,856,774 473,852,9

Egyptian Resorts Company — Q1 2018 Earnings Presentation on 6ix