Egyptian For Tourism Resorts · EGX:EGTS
Egyptian For Tourism Resorts — Egyptian Resorts Company (ERC) — H1 2018 Earnings Presentation
37 slides from Egyptian For Tourism Resorts's earnings presentation, 2018
Slide 1: Investor Presentation First Half 2018
INVESTOR PRESENTATION First Half 2018
Slide 2: Executive Summary
Executive Summary
Slide 3: A Fully Integrated Real Estate Developer
A Fully Integrated Real Estate Developer ERC is a fully-integrated real estate developer, covering the entire value chain including real estate, master and infrastructure development, facility and community management Off-plan residential offerings and Master developer with an array of commercial pr
Slide 4: Select Key Performance Indicators
Select Key Performance Indicators EGP 22.5 mn EGP 239 mn EGP 28.3 mn EGP 10.9 mn Real Estate Tawaya Contracted & Reserved Utilities Revenue (1H-2018) Facility Management Recognized Sales Revenue (1H-2018) (1H-2018) EGP 63 mn EGP 30 mn 3.4 mn sqm c.49K BUA Total 1H-2018 Recognized Operational Efficie
Slide 5: Key Operational Developments
Key Operational Developments Residential Sales Land Plot Sales Recurring Income Community Development - Tawaya’s contracted and - ERC has a land bank of 3.4 - 29% of Old Town’s retail BUA is - In 2018’s New Year’s Eve reserved sales reached EGP239 million sqm which translates leased. Retail EBITDA i
Slide 6: Overview Of ERC
Overview Of ERC
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
Slide 8: Our Projects Portfolio
Our Projects Portfolio Jamaran Tawaya Old Town Type Residential Retail, Office Type Residential Type & Hospitality Total Land Area (sqm) 30,000 Total Land Area (sqm) 13,290 Total Land Area (sqm) 14,689 Residential BUA (sqm) 18,200 Leasable Retail BUA Launched 2014 8,304 (sqm) Percent Sold 90% Launch
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 (Full 2019-20 Project) Expected
Slide 10: Projects Portfolio: Jamaran
Projects Portfolio: Jamaran 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, simplicity and
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
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 Middle Income The
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
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
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
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 14,000 m3 / day desalination plant 7,500 m3 / day waste water treatment facility Volume and qualit
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 An approval was received to establish a 22/66 KV substation wi
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 iBAHN, leading IPTV, Video on Demand (VOD) 13,000 m optical fiber network ERC’s revenue share = 10%-40% of
Slide 19: Infrastructure Development Forward-Looking Strategy
Infrastructure Development Forward-Looking Strategy ERC aims to restructure its infrastructure assets into independent revenue generating profit centers to unlock value and growth Production / Treatment Distribution Power Substation Desalination Power Distribution Networks Desalinated Water, Irrigat
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
Slide 21: Overview Of Sahl Hasheesh
Overview Of Sahl Hasheesh
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
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
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
Slide 25: Events and Community Development
Events and Community Development 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 2018, ERC organized a number of new events, ranging from sporting events and beach parties to CSR activities, d
Slide 26: Promotional Activities
Promotional Activities A major focus of our marketing With the growing popularity of We have also continued our We are continuing to expand Internationally, Sahl Hasheesh activities in 2018 were centered Tawaya, efforts have also been efforts to position ourselves as our digital marketing footprint.
Slide 27: Financial Performance
Financial Performance
Slide 28: Financial Performance | Income Statement Highlights
Financial Performance | Income Statement Highlights Net Revenue Revenues recognized from main real estate activities came to (EGP mn) 23.9mn. 400 Tawaya, ERC’s exclusive waterfront apartments in Old Town YoY : 53% developed in cooperation with Palm Hills, recorded revenues 38% EGP 12.3 mn in 1
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. 691 694 749 1,285 1,385 1,418 274 332 384 261 620 816 803 208 216 227 236 675 336 329 342.0 463.3 274 239 200 260 271 252 272 200.0 108.9 98 136 13
Slide 30: Corporate Governance
Corporate Governance
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
Slide 32: Investor Information
Investor Information
Slide 33: Stock Information
Stock Information EGTS.CA Red Sea Hotels 21.0% Authorized Capital: EGP 2,000,000,000 First Arabian Company Paid in Capital: EGP 1,050,000,000 Misr Insurance 48.3% 10.0% Rowad Tourism Company Issued Shares: 1,050,000,000 Shares 8.1% Misr for Life Insurance Listing Venue: The Egyptian Stock Exchange 5
Slide 34: Stock Information
Stock Information Egyptian Resorts Co SAE – Stock Performance Chart CBE cuts interest MPC raises rates by 1% rates by 200 basis points Kato sells 11.6% of Ahly Capital sells ERC shares to Red 4.5% of ERC shares Sea Hotels to Red Sea Hotels FY 2017 resulting in Ahly results ERC CEO Capital ownership
Slide 35: Financial Statements
Financial Statements
Slide 36: Consolidated Income Statement
Consolidated Income Statement EGP 1H-2017 1H-2018 Change Q2-2017 Q2-2018 Change Sales Operating Revenue 102,975,366 23,861,223 -77% 10,872,855 7,709,562 -29% Sales Return - - 0 0 n/a Revenue from rendered services 30,129,758 39,128,260 30% 17,422,401 22,280,528 28% Total Revenues 133,105,124 62,989,
Slide 37: Consolidated Balance Sheet
Consolidated Balance Sheet EGP 31/12/2017 31/03/2018 30/06/2018 Fixed Assets (net) 103,174,397 102,538,806 97,725,909 Real Estate Investments 148,040,655 147,781,443 135,405,891 Projects in Progress 12,532,922 9,504,373 10,053,214 Accounts and Notes Receivable (Net) 470,856,774 473,852,909 494,604,4
Egyptian Resorts Company (ERC) — H1 2018 Earnings Presentation on 6ix