Pt Surya Semesta Internusa Tbk · IDX:SSIA
Pt Surya Semesta Internusa Tbk — FY2019 Earnings Presentation
56 slides from Pt Surya Semesta Internusa Tbk's earnings presentation, May 17, 2020
Slide 1: Review Full Year 2019
PT SURYA SEMESTA INTERNUSA TBK (“SSIA”) Review Full Year 2019 www.suryainternusa.com 0
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 2
Slide 4: Company milestones
PT Surya Semesta Internusa Tbk Operating track record in property sector can be traced back to over 40 2017 years in early 1970s Significant growth since IPO 2014 Divestmet – Raised over IDR 545 billion equity(1) Cikopo Palimanan Acquired location – Raised over IDR 1,600 billion in debt 2012 p
Slide 5: Company Highlights
Surya Semesta Internusa in Summary Company Highlights Shareholding Structure 9.0% Established and commenced operations in 1971, SSIA’s primary 7.9% businesses are in construction, property and hospitality sectors PT Arman Investments Utama 6.5% PT Persada Capital Investama Citibank Hongkong S/A PB
Slide 6: Board of Commissioners and Board of Directors
Board of Commissioners >40 Years >50 Years >55 Years >35 Years >40 Years >20 Years Experience Experience Experience Experience Experience Experience Hagianto Kumala Emil Salim Royanto Rizal William Jusman Steen Dahl Poulsen Crescento Hermawan President Commissioner Vice President Commissioner Commis
Slide 7: Corporate Structure and Key Projects
Corporate Structure and Key Projects PT Surya Semesta Internusa Tbk Market cap: IDR 3.1tn / US$ 222mn 100% 50% 100% 100% 65.4% 22.7%(1) 100% 86.8% 100% PT Nusa Raya Cipta PT SLP PT Lintas PT Ungasan PT Suryalaya PT Surya PT Suryacipta PT TCP PT Sitiagung Tbk SURYA TICON Marga Semesta Anindita Intern
Slide 8: Geographical Presence Across Indonesia
Geographical Presence Across Indonesia 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”) 2,000ha 3-star, 133 rooms) - Grand BATI
Slide 9: Strategic Roadmap
Strategic Roadmap 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 mar
Slide 10: Indonesia Economic Indicator
Indonesia Economic Indicator Economic Growth (%YoY) Exchange Rate (Rp/US$) 6.0% 15,500 14,500 5.5% 13,500 5.0% 12,500 11,500 4.5% 10,500 4.0% 9,500 Inflation BI Rate 10.0% 8.0% 9.0% 7.5% 8.0% 7.0% 7.0% 6.5% 6.0% 6.0% 5.0% 5.5% 4.0% 5.0% 3.0% 4.5% 2.0% 4.0% Source: Bank Indonesia, Indonesian Bureau S
Slide 11: Revenue and EBITDA By Business Segments for FY19
Revenue and EBITDA By Business Segments for FY19 Revenue Across Business Segments EBITDA Across Business Segments (FY2019) (FY2019) 15% 20% 30% 42% 65% 28% Property Construction Hospitality Property Constrution Hospitality 10
Slide 12: FY19 Financial Highlights
FY19 Financial Highlights Consolidated Revenue Gross Profit (FY18 vs FY19, IDR Billions) (FY18 vs FY19, IDR Billions) 4,006 1,091 3,682 981 FY18A FY19A FY18A FY19A EBITDA Net Income (FY18 vs FY19, IDR Billions) (FY18 vs FY19, IDR Billions) 533 92 455 38 FY18A FY19A FY18A FY19A 11
Slide 13: FY19 Financial Highlights
FY19 Financial Highlights Property Segment Revenue (FY18 vs FY19, IDR Billions) 588 442 FY18A FY19A Construction Segment Revenue Hospitality Segment Revenue (FY18 vs FY19, IDR Billions) (FY18 vs FY19, IDR Billions) 2,611 803 811 2,454 FY18A FY19A FY18A FY19A 12
Slide 14: Consolidated Revenue and Recurring Revenue
Consolidated Revenue (2015-2019, IDR Billions) 4,868 655 4,006 3,797 3,682 4,006 3,682 3,274 678 811 811 803 803 697 3601 2,476 2,611 2,611 2,454 2,454 2,164 880 660 588 588 414 442 442 2015A 2016A 2017A 2018A 2019A 2018A 2019A Property Construction Hospitality Others Recurring Revenue(1) (2015-2019
Slide 15: Hotel, Property and Construction Gross Margins
Hotel Gross Margins % Property Gross Margins % 100% 70% 63.7% 80% 65.6% 63.8% 63.4% 64.7% 63.5% 60% 60% 57.2% 40% 52.2% 51.0% 50% 48.8% 20% 0% 2015A 2016A 2017A 2018A 2019A 40% Construction Gross Margins(1) % 30% 15% 10.2% 9.9% 10.2% 10.4% 20% 10% 9.0% 10% 5% 0% 0% 2015A 2016A 2017A 2018A 2019A 2015
Slide 16: Consolidated Operating Results
Financial Highlights Consolidated Operating Results (in IDR Billions) 2015 2016 2017 2018 2019 Revenue 4,868 3,797 3,274 3,682 4,006 Revenue Growth 9% ‐22% ‐14% 12% 9% Gross Profit 1,179 1,069 864 981 1,091 Gross Profit Margin 24% 28% 26% 27% 27% EBITDA 798 613 413 455 533 EBITDA Margin 16% 16% 13%
Slide 17: Consolidated Revenue by Business Segment
Financial Highlights Consolidated Revenue by Business Segment (in IDR Billions) 2015 2016 2017 2018 2019 Property 880 660 414 442 588 Segment percentage 18% 17% 13% 12% 15% Construction 3,601 2,476 2,164 2,454 2,611 Segment percentage 74% 65% 66% 67% 65% Hospitality 655 678 697 803 811 Segment perce
Slide 18: Consolidated EBITDA by Business Segment
Financial Highlights Consolidated EBITDA by Business Segment (in IDR Billions) 2015 2016 2017 2018 2019 Property 501 315 139 175 244 Segment percentage 63% 51% 34% 38% 46% Construction 340 195 157 184 163 Segment percentage 43% 32% 38% 40% 31% Hospitality 145 138 148 186 177 Segment percentage 18% 2
Slide 19: Consolidated Net Profit by Business Segment
Financial Highlights Consolidated Net Profit by Business Segment (in IDR Billions) 2015 2016 2017 2018 2019 Property 524 234 80 127 159 Segment percentage 173% 375% 7% 337% 172% Construction 198 101 153 123 105 Segment percentage 66% 162% 13% 326% 113% Hospitality ‐1 ‐29 ‐66 8 8 Segment percentage 0
Slide 20: Consolidated Balance Sheet
Financial Highlights Consolidated Balance Sheet In IDR Billions 2015 2016 2017 2018 2019 Current Assets 2,900 3,381 5,085 3,459 4,058 Cash & ST Investments 924 1,520 1,145 1,372 1,527 Inventories 476 392 415 463 422 Other‐Current Assets 1,500 1,469 3,525 1,624 2,108 Non‐Current Assets 3,564 3,815 3,
Slide 21: Key Performance Ratios
Financial Highlights Key Performance Ratios 2015 2016 2017 2018 2019 Bank/Third parties Loan IDR denominated in IDR Billions 1,377 2,456 2,270 1,506 1,193 US$ denominated in US$ Millions ‐ ‐ ‐ ‐ 662(1) Total Debt in IDR Billions 1,377 2,456 2,270 1,506 1,856 Debt to Equity Ratio 41% 73% 51% 34% 41%
Slide 22: Review of Business Segments
Review of Business Segments 21
Slide 23: PROPERTY
PROPERTY - PT Suryacipta Swadaya (“SCS”) - PT SLP SURYA TICON INTERNUSA(“SLP”) - PT TCP Internusa (“TCP”) - PT Sitiagung Makmur (“SAM”) 22
Slide 24: FDI and DDI Realization vs Industrial Land Sales in West Java
Foreign Direct Investment and Domestic Direct Investment Realization (LHS) vs Statistic of Industrial Land Sales in West Java Area in (RHS) 60 500 440 53.8 54.0 51.8 450 50 41.7 43.6 400 40.9 348 24.5 350 40 25.8 16.1 19.6 274 14.4 300 13.2 30 250 175 200 208 20 186 150 28.2 100 10 28.5 29.3 29.3 28
Slide 25: Industrial Sector Fundamentals
Industrial Sector Fundamentals Source: Colliers 4Q 2019 Research 24
Slide 26: Industrial Sector Fundamentals
Industrial Sector Fundamentals Source: Colliers 4Q 2019 Research 25
Slide 27: Business Model (Industrial/Property)
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: Subang Industrial City strategically located
Subang Industrial City strategically located at • km 88 from Jakarta Trans Java Toll Road Network(1) • 51 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 Inte
Slide 29: Strategic Location
Strategic Location Subang Industrial Township sj SUBANG CITY OF INDUSTRY 2000 HECTARES JAKARTA- SURABAYA Semi High-Speed Railway PATIMBAN SEAPORT a KERTAJATI 4 International Airport er rt *Ceccccccccccccoccscecsosere®” SUBANG CITY OF INDUSTRY
Slide 30: 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 31: Suryacipta City of Industry ASP and Property 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 (2015-2019, IDR Billions) 880 55 588 660 442 55 588 71 414 442 71 71 825 55 71 605 517 517 358 371 371 2015A 2016A 2017A 2018A 2019A 2018A 2019A Industrial Estate
Slide 32: Property: Industrial Estate Review
Business Segment Property: Industrial Estate Review 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 Marketing Sales 2015(1) 2016 2017 2018 2019 Land sold
Slide 33: Industrial Estate Revenue Breakdown
Business Segment Property: Industrial Estate Review Industrial Estate Revenue Breakdown Revenue (in IDR Billions) 2015 2016 2017 2018 2019 Land 677 439 176 154 297 Non Land 148 166 182 217 220 TOTAL 825 605 358 371 517 32
Slide 34: Property: Rental Property Review
Business Segment Property: Rental Property Review • PT Surya Semesta Internusa Tbk (Indonesia) – 50% stake • MITSUI & CO., Ltd (Japan) - 25% stake • Frasers Property Plc. (formerly Ticon Industrial Connection Plc.) PT SLP SURYA (Thailand) – 25% stake TICON INTERNUSA (“SLP”) • Jointly acquiring 22ha
Slide 35: Property: Rental Property Review
Business Segment Property: Rental Property Review Rental properties: • Glodok Plaza (GP) Occupancy Rate 2015 2016 2017 2018 2019 GP 91% 90% 85% 79% 79% Revenue (in IDR billions) 2015 2016 2017 2018 2019 GP 55 55 53 55 56 34
Slide 36: Property: Operating Result
Financial Highlights Property : Operating Result (in IDR Billions) 2015 2016 2017 2018 2019 Revenue 880 660 414 442 588 Revenue Growth 48% ‐25% ‐37% 7% 33% Gross Profit 560 378 202 225 307 Gross Margin 64% 57% 49% 51% 52% EBITDA 501 315 139 175 244 EBITDA Margin 57% 48% 34% 40% 42% Operating Profit
Slide 37: Photos of Suryacipta City of Industry
Photos of Suryacipta City of Industry Suryacipta City of Industry Entrance Commercial Area Developement Suryacipta City of Industry Factory Toll Exit Leading to Suryacipta City of Industry 36
Slide 38: CONSTRUCTION - PT Nusa Raya Cipta Tbk
CONSTRUCTION - PT Nusa Raya Cipta Tbk (“NRCA”) 37
Slide 39: Business Model (Construction)
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 40: Largest Market Share and Profitability Amongst Private Companies
Largest Market Share … …and Profitability Amongst Private Companies (2014-2019, Revenue, IDR Trillions) Profit Margin (%) – 2019 5.0 2.62 4.0 7.1% 3.0 2.47 1.90 2.0 3.9% 3.7% 1.0 3.95 0.0 2014 2015 2016 2017 2018 2019 (28.7%) 0.0% Nusa Raya Cipta Jaya Konstruksi Total Bangun Persada Nusa Konstuksi E
Slide 41: Construction: Major Projects
Business Segment Construction : PT Nusa Raya Cipta Tbk - Major Projects New Contract Classification (in IDR billions) (in IDR Billions) 2015 2016 2017 2018 2019 3,024 2,811 2,841 2,693 2,028 Contract on 3% 5% 6% 3% hand ‐ beginning 3,769 3,192 3,527 4,204 4,444 2% 10% 3% 17% 11% 8% 13% 39% Contract
Slide 42: Construction: Operating Result
Business Segment Construction : Operating Result (in IDR Billions) 2015 2016 2017 2018 2019 Revenue 3,601 2,476 2,164 2,457 2,618 Revenue Growth 9% ‐31% ‐13% 14% 7% Gross Profit 324 253 215 251 274 Gross Margin 9% 10% 10% 10% 11% Income from JO 112 31 27 27 (1) EBITDA 341 211 275 219 190 EBITDA Marg
Slide 43: Construction: Balance Sheet
Financial Highlights Construction : Balance Sheet In IDR Billions 2015 2016 2017 2018 2019 Assets Cash & Cash Equivalents 338 447 657 736 689 Account Receivable 1,098 1,111 1,085 1,198 1,468 Project Advance 21 23 31 38 34 Investment Toll Road 125 125 0 0 0 Others 413 428 569 283 272 Total Assets 1,9
Slide 44: Construction project photos
RS Budi Medika (Lampung) Mayapada Hospital (Bandung) Ayana Komodo Resort (Labuan Bajo) The Park Mall Sawangan (Depok) The Branz BSD (Tangerang) Hotel and Apartment Tentrem (Semarang) 43
Slide 45: Hospitality
Hospitality - PT Suryalaya Anindita International (“SAI”) - PT Ungasan Semesta Resort (“USR”) - PT Surya Internusa Hotels (“SIH”) 44
Slide 46: Bali Hotel Market Fundamentals
Bali Hotel Market Fundamentals Source: Colliers 4Q 2019 Research & STR Global 46
Slide 47: Hospitality Revenue, Occupancy Rate and RevPar
Revenue Occupancy Rate (2015-2019, IDR Billions) (2014-2019) Opened Seven BATIQA Hotels(1) 90% 78.2% 80% 70% 63.8%(2) 60% 50% 57.8% 803 811 40% 44.8% 697 97 101 30% 678 20% 655 2014 2015 2016 2017 2018 2019 66 80 32 144 144 Gran Melia Melia Bali Banyan Tree BATIQA 162 155 151 Room RevPar (3) (2014-2
Slide 48: Hospitality Business
Hospitality Business ARR ($) 2015 2016 2017 2018 2019 GMJ 117 109 103 94 88 MBH 96 94 101 113 118 BTUR 487 442 466 468 440 BATIQA (Rp) 527,990 303,507 300,366 332,953 314,449 Room RevPAR ($) 2015 2016 2017 2018 2019 GMJ 59 50 46 48 40 MBH 69 73 77 87 93 BTUR 316 287 281 257 254 BATIQA (Rp) 263,451 1
Slide 49: Hospitality: Operating Result
Business Segment Hospitality : Operating Result (in IDR Billions) 2015 2016 2017 2018 2019 Revenue 655 678 697 803 811 Revenue Growth 5% 4% 3% 15% 1% Gross Profit 430 433 442 519 515 Gross Margin 66% 64% 63% 65% 64% EBITDA 145 138 148 186 177 EBITDA Margin 22% 20% 21% 23% 22% Operating Profit 71 23
Slide 50: Photos of Gran Melia Jakarta
Photos of Gran Melia Jakarta Café Gran Via Red Level Reception Guest Room Reception 50
Slide 51: Photos of Melia Bali Hotel
Photos of Melia Bali Hotel Villa Main Pool Lobby Hotel The Level Family Suite Room Swimming Pool 51
Slide 52: 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 52
Slide 53: Photos of BATIQA Hotels
Photos of BATIQA Hotels Suite Room FRESQA Bistro Exterior view of BATIQA Hotel Cirebon Lobby Meeting Room 53
Slide 54: 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 55: Thank You
suryainternusa Thank You INDONESIA 55
Slide 56: Disclaimer
These materials have been prepared by PT Surya Semesta Internusa Tbk (the “Company”, “SSIA”) and have not been independently verified. No representation or warranty, expressed or implied, is made and no reliance should be placed on the accuracy, fairness or completeness of the information presented
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