City Developments Limited · SGX:C09

City Developments — Shareholder Meeting (April 2017)

39 slides from City Developments's shareholder meeting presentation, Apr 25, 2017

  1. Slide 1: Annual General Meeting

    Annual General Meeting 25 April 2017

  2. Slide 2: Agenda

    AGENDA FINANCIAL HIGHLIGHTS SINGAPORE OVERVIEW INTERNATIONAL OVERVIEW HOTEL OPERATIONS MOVING FORWARD Gramercy Park, Singapore

  3. Slide 3: Financial Highlights

    FINANCIAL HIGHLIGHTS Nouvel 18, Singapore

  4. Slide 4: Key Highlights

    Key Highlights 1 Achieved creditable financial performance despite headwinds and challenges – PATMI for FY 2016: $653 million – Record revenue achieved for FY 2016: 18.2% increase to $3.9 billion 2 Diversified portfolio of development projects and recurring income segments − EBITDA of $1.2 billion

  5. Slide 5: Resilient Performance amidst Macroeconomic Challenges

    Resilient Performance amidst Macroeconomic Challenges Summary of Financial Results FY FY % 2016 2015 Change Revenue ($m) 3,905 3,304 18.2 PATMI ($m) 653 773 (15.5) Basic Earnings Per Share (cents) 70.4 83.6 (15.8) NAV Per Share ($) 10.22 9.89 3.3 Return on Equity (%) 7.03 8.59 (1.6) pts No fair valu

  6. Slide 6: Portfolio Composition – FY 2016

    Portfolio Composition – FY 2016 Recurring Income Segments Property Hotel Rental S$ million Others Total Funds Development Operations Properties EBITDA * Local 367 53 123 (34) 509 Overseas 183 211 201 112 707 550 264 324 78 1,216 Total Assets ^ Local 6,478 645 3,229 420 10,772 AUM = Overseas 2,960 4,

  7. Slide 7: Portfolio Composition – FY 2016

    Portfolio Composition – FY 2016 EBITDA Total Assets Local Overseas 42% 58% Local Overseas 55% 45% • Stability from Recurring Income segments comprising 55% of EBITDA / 52% of Total Assets (excluding tax recoverable and deferred tax asset) • De-risking Singapore exposure via growing international seg

  8. Slide 8: Diversified Land Bank

    Diversified Land Bank Land Area (as of 31 Dec 2016) – CDL’s Attributable Share Type of Development Land Area (sq ft) Singapore International Total % Residential 507,333 1,878,895 2,386,228 91 Commercial / Hotel 20,886 226,273 247,159 9 Total 528,219 2,105,168 2,633,387 100 Proposed GFA (sq ft) Count

  9. Slide 9: Recognition for Performance Excellence

    Recognition for Performance Excellence Business & Performance Excellence  Governance and Transparency Index (GTI) 2016 – Ranked 10th out of 631 SGX-listed companies evaluated  SIAS Investors’ Choice Awards 2016 – Most Transparent Company Award, Winner – Real Estate – Singapore Corporate Governance

  10. Slide 10: Share Price Performance

    Share Price Performance Strong Performance for FY 2016 8.2% in share price for FY 2016* YTD HIGHEST - $9.23 (6 Sep) • FY 2016 Highest - $9.23 (6 Sep) (↑ 20.7% from 1 Jan) $8.28 (30 Dec) • FY 2016 Lowest - $6.68 (27 Jan) ( 12.7% from 1 Jan) $8.14 (30 Jun) $7.65 (1 Jan) YTD LOWEST - $6.68 (27 Jan) FY

  11. Slide 11: Singapore Overview

    SINGAPORE OVERVIEW Forest Woods, Singapore Artist’s impression

  12. Slide 12: Singapore Property Market

    Singapore Property Market Property Price Index – Residential (2012 – Q1 2017) All Residential 180 160 Q4 16 Q1 17* 137.2 136.5 140 120 100 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 12 12 12 12 13 13 13 13 14 14 14 14 15 15 15 15 16 16 16 16 17* Source : URA, Q1 2017 * Based on F

  13. Slide 13: Singapore Property Market

    Singapore Property Market No. of New Private Residential Units Launched vs Units Sold (2012 – 2016) New Units Launched New Units Sold 24,000 New Units New Units 21,478 22,197 22,000 Launched Sold Directly By Developers 20,000 (excl. EC units) (excl. EC units) 18,000 2012 21,478 22,197 15,885 16,000

  14. Slide 14: Singapore Property Development

    Singapore Property Development Residential Units Sold (2015 – 2016) FY 2016 FY 2015 $1,245,723 1,017 $1,278 974,666 1,057 958 $970 674 712,558 $691,507 No. of Units* Sales Value* Total Floor Area* Average Unit Average Sale ($'000) (sq ft) Size* (sq ft) Price* ($ psf) * Includes share of JV partners

  15. Slide 15: Singapore Property Development

    Singapore Property Development Gramercy Park – Positive Sales Momentum Project Location Tenure Equity Total Total Units % Total Saleable Stake Units Sold* Sold Area (sq ft) Gramercy Park Grange Road Freehold 100% 174 86 80# 368,743 Phase 1 (North Tower) – 84% sold:  73 units sold at average of over

  16. Slide 16: Singapore Property Development

    Singapore Property Development One of 2016’s Bestselling Residential Projects Project Location Tenure Equity Total Total Units % Total Saleable Expected Stake Units Sold* Sold* Area (sq ft) TOP Forest Woods Lorong 99-year 50% 519 423 82 431,265 2021 Lew Lian leasehold Strong Uptake:  Launched in Oc

  17. Slide 17: Singapore Property Development

    Singapore Property Development Completed Residential Projects in 2016 Project Location Equity Total % TOP Stake Units Sold* Obtained HAUS@SERANGOON Serangoon Garden 70% 97 100 Mar 2016 GARDEN Close Terraces The Inflora Flora Drive 33% 396 100 Apr 2016 Gramercy Park Grange Road 100% 174 80# May 2016

  18. Slide 18: Singapore Property Development

    Singapore Property Development Upcoming Residential Project Launch for 2H 2017 (Subject to market conditions) Project Location Tenure Equity Total Gross Floor Area Expected Stake Units (sqm) TOP New Futura Leonie Hill Road Freehold 100% 124 23,066 2017  Upmarket freehold condominium in District 9,

  19. Slide 19: Singapore Office Market

    Singapore Office Market Office Space Demand & Supply (2012 – 2016) Private & Public Sector Cumulative Supply Occupancy 85,000 81,300 83,206 80,095 81,365 78,254 80,000 72,980 73,647 73,938 75,000 72,205 70,913 70,000 65,000 60,000 55,000 CDL’s Office Properties 50,000 Occupancy 45,000 95.9% 40,000 (

  20. Slide 20: South Beach

    South Beach Fully Completed in December 2016 Strong Performance for Office & Retail  South Beach Tower (510,000 sq ft office space) and retail space are fully leased JW Marriott Hotel Singapore South Beach  Rebranded hotel soft opened in mid-Dec 2016  Business performance is within expectations 

  21. Slide 21: International Overview

    INTERNATIONAL OVERVIEW Hong Leong City Center, Suzhou, China Artist’s impression

  22. Slide 22: International Property Development

    International Property Development Australia Merivale Street Residential Project – Ivy and Eve City Equity Total Total Units % Expected Stake Units Sold* Sold Completion Brisbane 33%# 472 450 95 1H 2018  Freehold project with two 30-storey towers of 1-, 2- and 3- bedroom apartments in the heart of

  23. Slide 23: International Property Development

    International Property Development China – Maiden Profits Recognised in Q4 2016 Suzhou – Hong Leong City Center (丰隆城市中心) City Equity Stake Total Units Total Units Sold / % Sold Expected Completion Booked* Suzhou 100%^ 1,804 1,238 69 Completed (Phase 1) Q4 2017 (Phase 2)  Mixed-use waterfront projec

  24. Slide 24: International Property Development

    International Property Development China – Good Progress on Launched Luxury Projects Shanghai – Hongqiao Royal Lake (御湖) City Equity Total Total Units % Expected Stake Units Sold / Booked* Sold Completion Shanghai 100% 85 39 46 Completed  Stable sales despite tightening measures in Shanghai  39 un

  25. Slide 25: International Investment Platforms

    International Investment Platforms Strategic Acquisition of 20% Equity Stake in mamahome for RMB 100 million China’s Fast-Growing Online Apartment Rental Platform  Over 150,000 apartment listings spanning over 20 cities in China  Offers one-stop solution for apartment owners and rental customers 

  26. Slide 26: International Property Development

    International Property Development Japan – Invested in 2 Prime Residential Projects in Tokyo Tokyo – Park Court Aoyama The Tower City Equity Stake Total Total Units Sold * Expected Units Completion Freehold 20% 163 Over 50% 1H 2018  Located within prestigious Aoyama area within Minato ward in Tokyo

  27. Slide 27: International Property Development

    International Property Development UK – Upcoming Launches in Q2 2017 Teddington Riverside, Teddington TW11 Tenure Equity Total Units Est. Total Expected Stake Saleable Area Completion (sq ft) Freehold 100% 220 240,000 2018 (Phased)  Full planning received; works on basement car park in advanced sta

  28. Slide 28: International Property Development

    International Property Development UK – Pipeline Projects Chelsea, 90-100 Sydney Street, London SW3 6NJ Tenure Equity Total Units Est. Total Expected Stake Saleable Area Completion (sq ft) Freehold 100% 9 16,143 Q2 2018  Good progress on works  Expected completion in Q2 2018 Artist’s Impression St

  29. Slide 29: International Property Development

    International Property Development UK – Pipeline Projects 28 Pavilion Road, Knightsbridge, London SW1 Tenure Equity Stake Total Units Est. GFA (sq ft) Freehold 100% 34 135,000  First luxury home care development to be built in Central London – planning consent obtained  Project on target to commen

  30. Slide 30: Hotel Operations

    HOTEL OPERATIONS M Social Singapore, Singapore

  31. Slide 31: M&C Hotel Operations

    M&C Hotel Operations Trading Performance Reported Constant Currency Currency FY 2016 FY 2015 Change FY 2015 Change Revenue £926m £847m 9.3% £926m - Revenue (hotel) £814m £765m 6.4% £833m (2.3%) Profit before tax £108m £109m (0.9%) £124m (12.9%) PATMI £78m £65m 20.0%  Increase in reported revenue at

  32. Slide 32: M&C Hotel Operations

    M&C Hotel Operations Hotel Room Count and Pipeline Hotels Rooms 31 Dec 31 Dec 31 Dec 31 Dec Hotel and Room Count 2016 2015 2016 2015 By region: ● New York 4 4 2,238 2,238 ● Regional US 15 15 4,559 4,463 ● London 8 8 2,651 2,651 ● Rest of Europe 19 18 3,081 2,867 Grand Millennium Auckland ● Middle Ea

  33. Slide 33: CDL Hospitality Trusts

    CDL Hospitality Trusts Trading Performance S$’000 FY 2016 FY 2015 Change Gross Revenue 180,857 172,410 4.9% Net Property 137,560 137,003 0.4% Income (NPI) Artist’s Impression Artist’s Impression Hilton Cambridge City Centre – Executive Lounge Gross revenue and NPI increased mainly due to :  Inorgan

  34. Slide 34: Moving Forward

    MOVING FORWARD Teddington Riverside, London, UK Artist’s impression

  35. Slide 35: Geographical Diversification

    Geographical Diversification On target to meet $5 billion in Acquisition Objective by end 2018 ACQUISITIONS $ BILLION FY 2016 Acquisition Highlights: 6.0 5.0 £37.4 million 5.0 Acquisition of Development House, an existing office building 4.0 in Shoreditch, north of City of London 3.0 2.5 2.3 2.0 RMB

  36. Slide 36: Product Diversification

    Product Diversification On target to raise $5 billion in Funds under Management (FUM) by end 2018 FUM $ BILLION 6.0 70% to target 5.0 5.0 with 3rd Profit Participation Securities (PPS) in 2016 4.0 3.5 3.0 2.6 $977.6 million Raised from PPS transaction 2.0 and exited interest to 1.5 luxury freehold r

  37. Slide 37: Strategic Thrusts for FY 2017

    Strategic Thrusts for FY 2017 Acquisitive Position with Value Driven Focus Q1 2017 Acquisition Highlights:  Focus on assets with in-place income in RMB 72 million Singapore and overseas: Investment for 24% equity stake  $304 million investments in Q1 2017 in Distrii, China’s  Disciplined capital

  38. Slide 38: Disclaimer

    Disclaimer: This document may contain forward-looking statements that involve assumptions, risks and uncertainties. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions

  39. Slide 39: www.cdl.com.sg

    Gramercy Park, Singapore www.cdl.com.sg

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