Hongkong & Shanghai Hotels Ltd. · HKEX:45
Hongkong & Shanghai Hotels — The Hongkong and Shanghai Hotels — FY2018 Earnings Presentation
41 slides from Hongkong & Shanghai Hotels's earnings presentation, Mar 13, 2019
Slide 1: The Hongkong & Shanghai Hotels 2018
Slide 2: Disclaimer
& DISCLAIMER This presentation (“Presentation”) is made available by The Hongkong and Shanghai Hotels, Limited (“HSH”) for general purposes only. Nothing contained in this Presentation is intended to constitute a public offer under any legislation or an invitation or inducement to engage in any inve
Slide 3: FY2018 Review
Slide 4: The Peninsula London - Current Progress
The Peninsula London - Current Progress The Peninsula London — Render
Slide 5: ARC Awards
2s tP— >) ARC AWARDS XXXII a
Slide 6: a KARROOWORLRMWANVYY U1
* a KARROOWORLRMWANVYY U1
Slide 7: Anniversaries at Peninsula New York and Bangkok
Slide 8: Our Strategy
Slide 9: ae
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Slide 10: (este
(este AAWAALY Pad Ss p vy) y ~\ SOS
Slide 11: Financial Highlights
FINANCIAL HIGHLIGHTS
Slide 12: Full Year Results — Key Highlights
FULL YEAR RESULTS — KEY HIGHLIGHTS HK$ MILLION 2018 2017 VARIANCE REVENUE 6,214 5,782 7% EBITDA 1,550 1,422 9% UNDERLYING PROFITS (INC PSW APT SALES) 765 801 (4%) UNDERLYING PROFITS (EXC PSW APT SALES) 742 651 14% 4 TOTAL ASSETS 48,992 48,520 1% NET DEBT TO TOTAL ASSETS 12% 11% +lpp CASH INTEREST CO
Slide 13: Growth Was Broad Based Across All Regions
GROWTH WAS BROAD BASED ACROSS ALL REGIONS COMBINED REVENUE GROWTH BY REGION Other Asia “oe +12% ae Chicago > Ps fo @ istanbul Beiing @ ie ee New York ‘ okyo. Be urope aul . oP ce, Hong Kong +7 % aan’ @ Hong Kong a Panton ey) © Marita +4 Yo Ho Chi Minh City @ Operational hotels and properties @ Hotel
Slide 14: Hotel Division Was Main Driver of Earnings
HOTEL DIVISION WAS MAIN DRIVER OF EARNINGS HK$ MILLION 970 893 +9% a 130 161 +15% 732 840 Hotels 2017 2018 + Rooms and food and beverage recorded good growth + Luxury retail rents stabilising +3% Commercial Properties 2017 2018 Full year of rental from 21 avenue Kleber ¢ HK residential leasing stabl
Slide 15: Capital Expenditure Shifting to New Hotel Developments
CAPITAL EXPENDITURE SHIFTING TO NEW HOTEL DEVELOPMENTS HK$ MILLION NET OPERATING CASHFLOW CAPITAL EXPENDITURE ON EXISTING ASSETS CASHFLOW AFTER NORMAL CAPEX CAPITAL EXPENDITURE ON NEW PROJECTS - SHANGHAI APARTMENTS - NEW HOTELS DIVIDENDS, FINANCING CHARGES & OTHERS NET CASH OUTFLOW PERIOD 2018 1,383
Slide 16: Our Balance Sheet and Financial Health Remains Strong
OUR BALANCE SHEET AND FINANCIAL HEALTH REMAINS STRONG 2018 2017 48,992 48,520 TOTAL ASSETS (HK$ MILLION) 12% 2.3% icc GROSS INTEREST RATE 7,095 7,443 GROSS BORROWINGS (HK$ MILLION) 1 2 7 8x vi 3 % CASH INTEREST INTEREST RATE HEDGING 5 9 l 6 5 52 1 COVER (TIMES) (FIXED PORTION) d b NET BORROWINGS (HK
Slide 17: Key Financial Takeaways
KEY FINANCIAL TAKEAWAYS 1. Earnings growth was broad-based 2a Capital expenditure on new projects will continue to increase 3. Strong financial position to manage developments and any unforeseen risks
Slide 18: Hotels Division
Slide 19: The Peninsula Hong Kong
eeaase = ee oe - THE PENINSULA HONG KONG i int = oT "3 Te u rai {ra An maar — WH wm my Revenue +4% Occupancy -5pp Average Room Rate +20% RevPAR +12
Slide 20: Z oe
Z oe FE ee PY 7s ~“ < 2 ae x = . a &a = S| 8 on ee Spe & wale ae Sss Zi\cx 8 g@% & Sire BB eg Z| aay 3 § W}< Oo & fa | we adh & = Sb mie é a = = < &
Slide 21: The Peninsula Shanghai
THE PENINSULA ERS BE Revenue +32% Room Revenue +74% Occupancy +11 pp ge Room Rate +3% RevPAR +24%
Slide 22: The Peninsula Tokyo
itl m i B THE PENINSULA L 3 ° TOK Revenue +3% Occupancy + Average Room Ra RevPAR +8%
Slide 23: The Peninsula Bangkok
&, THE PENINSULA BANGKOK Revenue +10% Occupan: 7pp age Room Rate -1% RevPAR +10%
Slide 24: The Peninsula Manila
THE PENINSULA MANILA
Slide 25: The Peninsula New York
THE PENINSULA NEW YORK Revenue +3%
Slide 26: The Peninsula Chicago
. . 1S Sa SSE SES SERRE EE i & THE PENINSULA f CHICAGO 1 Revenue +10% [ Occupancy Average Room Rate RevPAR +11%
Slide 27: The Peninsula Beverly Hills
as | THE PENINSULA BEVERLY HILLS Revenue -3% Occupancy -Ipp Average Room Rate -2% RevPAR -3%
Slide 28: The Peninsula Paris
THE PENINSULA PARIS Revenue +8% Occupancy +5pp Average Room Rate +1% RevPAR +10%
Slide 29: Commercial Properties
COMMERCIAL PROPERTIES
Slide 30: The Repulse Bay
Slide 31: The Peak Tower
Slide 32: Clubs & Services Division
CLUBS & SERVICES DIVISION
Slide 33: Peak Tramways Company
Slide 34: The Peninsula Boutique
THE PENINSULA BOUTIQUE L a THE PENINSULA POUTIQUE ©
Slide 35: New Hotel Projects
Slide 36: The Peninsula London
&, THE PENINSULA LONDON
Slide 37: The Peninsula Istanbul
THE PENINSULA ISTANBUL
Slide 38: The Peninsula
< NINSUL THE PE wy
Slide 39: Sustainable Luxury Vision 2020
SUSTAINABLE LUXURY VISION 2020 Our Guests Our People Our Cities Achieved BREEAM “GOOD” for The Peninsula Celebrated three milestone anniversaries in Donated a total of HK$12 million in cash and Beijing, the first for a newly-renovated hotel in _ 2018 by showcasing the stories of our people in-kind;
Slide 40: Outlook
Slide 41: Q&A
The Hongkong and Shanghai Hotels — FY2018 Earnings Presentation on 6ix