Ananda Development Public Co. Ltd. · SET:ANAN
Ananda Development Public — Q1 2018 Earnings Presentation
40 slides from Ananda Development Public's earnings presentation, May 2018
Slide 1: Q1/2018 Analyst Meeting and Business Plan
Q1/2018 Analyst Meeting and Business Plan
Slide 2: Disclaimer
Disclaimer The information (“Confidential Information”) contained in this presentation is strictly confidential and is provided by Ananda Development Public Company Limited (the “Company”) to you solely for your reference. Neither this presentation nor any part thereof may be (i) used or relied upon
Slide 3: Q1/2018 Financial Statement
Q1/2018 FINANCIAL STATEMENT 1Q2018 4Q2017 1Q2017 % Q-o-Q % Y-o-Y M Baht % M Baht % M Baht % Total revenue 2,821 100% 4,125 100% 2,314 100% (32%) 22% Revenue from sale of real estate 1,853 66% 3,001 73% 1,577 68% (38%) 17% Other incomes 968 34% 1,124 27% 737 32% (14%) 31% Gross Profit 910 34% 1,376 3
Slide 4: Q1/2018 Financial Statement
Q1/2018 FINANCIAL STATEMENT 1Q2018 4Q2017 1Q2017 % Q-o-Q % Y-o-Y M Baht M Baht M Baht Cash balance and equivalent 5,239 2,063 3,276 154% 60% Assets 35,727 29,870 27,311 20% 31% Interest bearing debts 18,142 12,361 11,467 47% 58% Liabilities 22,174 16,410 15,461 35% 43% Shareholders' equity 13,553 13
Slide 5: 2018 Transfer Target (Included Ashton Asoke)
2018 TRANSFER TARGET (INCLUDED ASHTON ASOKE) 38,000 89 38,000 % MILLION BAHT CONDOMINIUM 15,086 152 ANANDA % 12,077 22,115 SHARES OF TRANSFERS GROWTH 2017 2013 60 % 2014 GUIDANCE 72 2015 % GROWTH 2016 2017 2018 11 % HOUSING 1Q17 Transfer 1Q18F 1Q18A 2Q18F 3Q18F 4Q18F 2018 Condo 773 1,342 1,134 706 6
Slide 6: 2018 Transfer Target
2018 TRANSFER TARGET 74 9 % NEW CONDO PROJECTS OF TRANSFERS THAT COMPLETE THIS COMING FROM YEAR Transfer Begins 1Q18 2Q18 3Q18 4Q18 6
Slide 7: Presales Update by Quarter
PRESALES UPDATE BY QUARTER 35,097 MILLION BAHT 16 % HOUSING MAINTAIN HIGH LEVEL FROM 2017 3% GUIDANCE 51 % GROWTH 1Q17 84 % CONDOMINIUM PRESALES 1Q18F 1Q18A 2Q18 3Q18 4Q18 2018F CONDOMINIUM 5,485 5,851 6,674 8,239 8,872 29,636 HOUSING 985 834 971 1,658 1,998 5,461 TOTAL (MILLION BAHT) 6,470 6,685 7,
Slide 8: 2018 Project Launches by Quarter
2018 PROJECT LAUNCHES BY QUARTER 35,048 MILLION BAHT 16 PROJECTS 7 JOINT VENTURE PROJECTS NO. LAUNCH BEGINS 1Q18F 1Q18A 2Q18 3Q18 4Q18 2018 Condo 4,412 4,325 6,822 10,525 6,055 27,728 Housing - - 1,224 1,641 4,455 7,321 TOTAL (MILLION BAHT) 4,412 4,325 8,047 12,167 10,510 35,048 NO. OF CONDO PROJECT
Slide 9: 2018 Project Launch Target
2018 PROJECT LAUNCH TARGET 35,048 MILLION BAHT 79 % CONDOMINIUM 16 8 PROJECTS 7 PROJECTS JOINT VENTURE PROJECTS 42,450 35,048 94% CONDO LAUNCH 21 % HOUSING 2013 2014 2015 2016 2017 2018 8 PROJECTS 9
Slide 10: New Launches in Q1
NEW LAUNCHES IN Q1 Ideo Sathorn Wongwian Yai Unio Sukhumvit 72 Phase 2 Project value (M Baht) 2,564 Project value (M Baht) 1,761 No. of unit 510 No. of unit 992 Soft Launched date March 2018 Soft Launched date March 2018 Expected transfer date 2019 Expected transfer date 2019 Location 140 m. from BT
Slide 11: Large Backlog
LARGE BACKLOG Backlog 81% of the 2018 53.6 Bn Baht transfers backlog secured by 27,575 MILLION BAHT 13,720 19,432 MILLION BAHT 8,407 11,779 4,609 MILLION BAHT 9,533 2,259 2,006 MILLION BAHT 1,502 1,492 2,351 2,006 574 2018 2019 2020 2021 Ananda's Backlog - Condo Ananda's Backlog in JV - Condo Partne
Slide 12: 2018 Business Plan
2018 BUSINESS PLAN TRANSFERS ANANDA SHARE IN PRESALES LAUNCHES TRANSFERS 152 83 (17) % % MAINTAIN HIGH LEVEL % GROWTH GROWTH GROWTH 2017 2017 FROM 2017 2017 38,000 34,920 35,097 42,450 22,115 35,048 12,077 15,098 2013 2014 2015 2016 2017 2018 2013 2014 2015 2016 2017 2018 2013 2014 2015 2016 2017 20
Slide 13: Bond Issuance: Record Low Cost of Bond
BOND ISSUANCE: RECORD LOW COST OF BOND Fact sheet ANAN19OB ANAN222A Debentures of Ananda Development Public Debentures of Ananda Development Public Company Limited 1. Debentures’ name Company Limited No. 1/2018 Tranche 1 Due 2019 No. 2/2018 Due 2019 Unsubordinated and Unsecured Debentures without Un
Slide 14: Recurring Income
RECURRING INCOME INCREASE RECURRING INCOME OVER 5 YEARS 1,700 MILLION BAHT 2022 REVENUE 2017 FIRST SERVICED APARTMENT SITE ACQUIRED
Slide 15: Strategic Partnership
STRATEGIC PARTNERSHIP 2006 2013 2018 PRUDENTIAL MITSUI FUDOSAN ASCOTT Landed Residential & Condominium Serviced Apartment Condominium Development Development Operator JV PARTNERSHIP JV PARTNERSHIP STRATEGIC ALLIANCE 15
Slide 16: Strategic Partnership
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Slide 18: Entrance
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Slide 19: Lobby
LOBBY
Slide 20: Residents Lounge
RESIDENCTS LOUNGE
Slide 21: Fitness Center
FITNESS CENTER
Slide 22: Studio Unit
STUDIO UNIT
Slide 23: Ultra Prime Location
ULTRA PRIME LOCATION AT THE HEART OF THE NEW CBD • 100m MRT Rama 9 • 150m Central Rama 9 • 150m AIA Capital Center • 150m New SET • 200m MRT Thailand Cultural Centre • 300m Super Tower • Other major office buildings o G Tower o Unilever Headquarter o 9th Tower 23
Slide 24: Project Detail
PROJECT DETAIL Investment Value 1,500 Million Baht Ratchadapisek Road, 100 metres from Location Rama 9 MRT station Land area(square wah) 1,367 square wah (3.42 rai) Ownership Leasehold (3 years + 30 years) Area High density residential area Keys 445 keys, 35 floors Grade Upscale ( ) Expected Operati
Slide 25: 4 Prime Locations
SERVICED APARTMENT BUSINESS 4 PRIME LOCATIONS SOMERSET ASCOTT ASCOTT RAMA 9 EMBASSY SUKHUMVIT SOI 8 THONGLOR SATHORN PROJECT VALUE 10,000 MILLION BAHT 25
Slide 26: Serviced Apartment Business in 2018
SERVICED APARTMENT BUSINESS IN 2018 26
Slide 27: 1Q/2018 Summary
1Q/2018 SUMMARY ❖ Revenues grew 22% YoY ❖ Large Backlog – 53.6 Bn Baht ❖ Revenues from sale of real estate grew 17% YoY ❖ Net IBDE – below Target at 0.95 times ❖ Transfers grew 72% YoY ❖ Successful Launches ❖ Transfers beat guidance by 60% ❖ Successful Bond Issue ❖ Gross Profit Margin rose from 33%
Slide 28: Economy and Market
ECONOMY and MARKET ❖ Economic situation stable ❖ Banks remain strongly supportive Bond ❖ GDP growth projections revisions stable ❖ Our customer group remains “cashed up” and ❖ Increased government disbursement with good credit ❖ Land price increases slowing ❖ Mass Transit Supply/Demand varies by sta
Slide 29: 2018 Summary
2018 SUMMARY 2013 2014 2015 2016 2017 Item 2018 Guidance Actual Actual Actual Actual Actual Transfers1 (M Baht) 8,808 9,678 9,598 15,866 15,098 35,000-41,000 Launches (M Baht) 34,213 14,954 34,828 20,693 42,450 34,000-36,000 Presales (M Baht) 21,083 20,898 26,235 25,175 34,920 34,000-36,000 Gross Pr
Slide 30: 4 Times Bigger in 4 Years Time
4 IN 4 ROADMAP 4 TIMES BIGGER IN 70,000 4 YEARS TIME MILLION BAHT 410% GROWTH IN 4 YEARS 15,098 MILLION BAHT 2021 TRANSFERS 2017 TRANSFERS
Slide 31: Thank You
Scan QR Code to talk to Ananda IR Chatbot Thank You Contact: Dr. John Millar Mr. Komsan Atthaphonphithak Chief Strategic Development Officer Senior Investor Relations Manager Ananda Development Public Company Limited Ananda Development Public Company Limited john@ananda.co.th komsan@ananda.co.th +66
Slide 32: Current Projects As Of March 2018
Current Projects As Of March 2018 Unsold Updated: Mar 31, 2018 Value Backlog Project Launched Type %Net Sold Inventory %Transfer (M Baht) (M Baht) (M Baht) ADO: Atoll (Housing) Feb-13 Housing 3,219 52.9% 6 1,517 52.7% AD18: Ashton Asoke (JV) Sep-14 Condo 6,704 90.8% 6,088 615 - AD17: Ideo Q Siam-Rat
Slide 33: Current Projects As Of December 2017 (Cont.)
Current Projects As Of December 2017 (Cont.) Unsold Updated: Mar 31, 2018 Value % Net Backlog Project Launched Type Inventory %Transfer (M Baht) Sold (M Baht) (M Baht) AD18: Ideo Phaholyothin-Chatuchak (JV) Oct-16 Condo 2,555 74.2% 1,896 659 - AD18: Ideo Sukhumvit 66 (JV) Oct-16 Condo 2,424 44.8% 1,
Slide 34: Cancellation Rate
Cancellation Rate 6.0% 5.0% 4.0% 4.0% 3.0% 2.0% 1.0% 0.0% 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 31.0% 26.0% 22.7% 21.0% 16.0% 11.0% 6.0% 1.0% 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 6.0% 5.0% 4.4% 4.0% 3.0% 2.0% 1.0% 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2
Slide 35: Mortgage Rejection Rate
Mortgage Rejection Rate 20.0% 15.0% 10.0% 6.9% 5.0% 0.0% 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 40.0% 35.0% 30.0% 25.0% 24.5% 20.0% 15.0% 10.0% 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 21.0% 16.0% 11.0% 8.2% 6.0% 1.0% 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q
Slide 36: Private Companies Using Entrances Provided by State Owned Enterprises
13 Private Companies Using Entrances Provided by 3 State Owned Enterprises Company Location State Owned Enterprise Whitzdom Pinnacle Corporation Ladprao Road MRTA Lucky Living Property Asoke Road MRTA Ananda MF Asia Asoke Asoke Road MRTA JSP Mansion Asoke Road MRTA Pruksa Real Estate Phetkasem Road
Slide 37: Transfer Incentive Offer for Customers Extending Transfer Period for Ashton Asoke
TRANSFER INCENTIVE OFFER FOR CUSTOMERS EXTENDING TRANSFER PERIOD FOR ASHTON ASOKE 1) In the case where a buyer decides to extend the contract until 26 March 2019 ❖ The company is able to make the ownership transfer to a buyer within 26 March 2019: ➢ Will incentivise the buyer to transfer ownership b
Slide 38: Possible Impact of Providing Transfer Discount to Customers
POSSIBLE IMPACT OF PROVIDING TRANSFER DISCOUNT TO CUSTOMERS MAXIMUM PROFIT DECREASED NOT MORE THAN (ANANDA’S PART IN JV) 32 MB (7.5% p.a.*76%*1,100 MB*51%) (63 MB or 0.9% OF GDV FOR 100 76 PROJECT LEVEL) % SAY “YES” % LATEST SURVEY OF THESE CUSTOMERS WOULD LIKE OF TOTAL TO EXTEND THE CONTRACT UNTIL
Slide 39: Provision Impact of Ashton Asoke
PROVISION IMPACT OF ASHTON ASOKE ❖ In Q1/2018 Income Statement, the company reserved the provision of Ashton Asoke with the highest interest rate of a Krungthai Bank PLC fixed deposit account, calculated starting from the date of cash received in case of Ashton Asoke couldn’t be transferred by 26 Ma
Slide 40: Ashton Asoke Potential Effect
ASHTON ASOKE POTENTIAL EFFECT 2018 Guidance 2018 Guidance Item 2017 Actual 2018 Guidance (No Ashton Asoke) (Potential Impact) Transfers1 (M Baht) 15,098 35,000-41,000 28,300-34,300 Decreased by 18% Ananda Share of Transfers 12,077 22,115 18,696 Deceased by 15% Launches (M Baht) 42,450 34,000-36,000
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