S P Setia Bhd. · MYX:SPSETIA
S P Setia Bhd — FY2016 Earnings Presentation
64 slides from S P Setia Bhd's earnings presentation, Feb 23, 2017
Slide 1: Financial Results & Group Update
FINANCIAL RESULTS & GROUP UPDATE For The Year Ended 31 December 2016 23 February 2017
Slide 2: FY2016 Sales & Financial Highlights
FY2016 SALES & FINANCIAL HIGHLIGHTS Resilient performance…
Slide 3: FY2016 Sales Performance
FY2016 SALES PERFORMANCE No. 1 Property Developer in Malaysia International SALES BY REGION RM 321m , 8% Eastern RM 236m , 6% Domestic Sales 92% 3,502 million Northern RM 157m , 4% RM International Sales 8% Total Sales RM 321 million 3,823 Southern RM 467m , 13% RM Sales from 10:90 Scheme 21% millio
Slide 4: FY2016 Sales Performance by Region
FY2016 SALES PERFORMANCE Exceeded target with strong contribution from Central Region RM’m 5,000 12 months sales = RM3,448 million 4,500 RM 4,320m RM 3,823m 4,000 International RM 1,419m RM 3,521m International RM 321m International 8% 33% 3,500 RM 332m 9% Eastern Eastern RM 236m RM 28m Eastern 6% 3
Slide 5: 5 Years Financial Highlights: Revenue
5 YEARS FINANCIAL HIGHLIGHTS Commendable revenue of RM4.96 billion Group Revenue (RM'million) 8000 Central 12 months revenue RM 2,790m = RM5,606 million 56% 7000 6,746 6000 5000 4,957 4000 3,870 RM 3,365 4,957m 3000 2,821 Construction, manufacturing & others 2000 RM 473m Southern 10% RM 534m 1000 11
Slide 6: 5 Years Financial Highlights: Profit, EPS, Dividend
5 YEARS FINANCIAL HIGHLIGHTS Profit Before Tax (RM'million) Profit attributable to shareholders 12 months = 1,123 million (RM'million) 12 months = 710 million 1600 1,426 1000 918 1400 1,185 900 808 1200 800 700 1000 855 577 760 600 800 677 500 427 388 600 400 300 400 200 200 100 0 0 FY2012 FY2013 FY
Slide 7: Snapshot of Financials
SNAPSHOT OF FINANCIALS FY2015 FY2016 Profit & Loss (RM million) 14 months 12 months Revenue 6,746 4,957 Gross Profit 2,063 1,441 Gross Profit Margin (%) 30.6 29.1 Profit Before Tax 1,426 1,185 Profit Attributable to Shareholders 918 808 Basic Earnings per Share (RM sen) 35.7 29.8 Dividend per Share
Slide 8: Land Banking in FY2016
LAND BANKING IN FY2016 Sustainable growth ahead…
Slide 9: Land Banking
LAND BANKING Banking for the future growth of Setia, a total 1,676.2 acres of new land bank was acquired in FY2016, estimated to contribute a total GDV of RM11.80 billion Land Bank Acquired in FY2016 FY2017 & onwards Melbourne Melbourne Penang Seberang Perai Utara RM 9.60b 1,675 To anticipate more a
Slide 10: Seberang Perai, Penang
SEBERANG PERAI, PENANG Maiden entry into mainland of Penang, i.e. Seberang Perai Utara LAND BANK BRIEF • Seberang Perai Utara • Approximately 18km away from Butterworth, 32 km away from Penang Bridge Location & • Surrounded by other townships, The Land Accessibility retail malls, medical institute,
Slide 11: Land Banks in Australia
LAND BANKS IN AUSTRALIA Location Map – Strategic Locations Melbourne Airport Approximately 22km from the Melbourne Airport to S P Setia’s projects in Melbourne Melbourne Zoo Queen Victoria Market EXHIBITION STREET 7km HIGH STREET, St. Kilda Beach PRAHRAN PARQUE @ ST. KILDA MELBOURNE 11
Slide 12: Exhibition Street, Melbourne
EXHIBITION STREET, MELBOURNE CBD Development DEVELOPMENT BRIEF Development type Mixed development Effective Stake 100% Land Area 1.02 acres Land Cost AUD101 million Purchase Year 2016 Tenure Freehold Estimated GDV AUD640 m Comm. Date 2H 2017 LAUNCH IN FY2017 Residential – luxurious Product Type apar
Slide 13: Prahran, Melbourne
PRAHRAN, MELBOURNE Quick Turnaround Project DEVELOPMENT BRIEF Development type Apartments Effective Stake 100% Land Area 0.2 acre Land Cost AUD 9 million Purchase Year 2016 Tenure Freehold Estimated GDV AUD38 m Comm. Date Q1 2017 LAUNCH IN FY2017 Product Type Apartments Units available 47 Price Rang
Slide 14: Projects Completed in FY2016
PROJECTS COMPLETED IN FY2016 Sustained execution momentum…
Slide 15: Projects Completed & Handed Over in FY2016
PROJECTS COMPLETED & HANDED OVER IN FY2016 6,056 units with GDV of RM7.27 billion were successfully completed in FY2016 Forex rate: SGD 1: RM2.9999 AUD 1 : RM3.0807 GBP 1 : RM5.5701 USD 1 : RM4.4197 CENTRAL United Singapore Kingdom SOUTH Australia NORTH Vietnam GDV GDV GDV GDV GDV GDV GDV RM RM RM S
Slide 16: Battersea Power Station
BATTERSEA POWER STATION Delivering Phase 1 – Circus West INTERNATIONAL Block A & B were successfully completed in Dec’16 & handed over to buyers External view of the completed View of the completed Bessborough and Scott blocks apartments BATTERSEA POWER STATION (Phase 1) United Kingdom Forex rate: G
Slide 17: Parque Melbourne
PARQUE MELBOURNE Completed one month ahead of schedule INTERNATIONAL Completed in Nov’16 View of grand lobby from heritage garden Apartments PARQUE MELBOURNE AUSTRALIA GDV: AUD 231m/ RM711m Forex rate: 17 AUD 1: RM3.0807
Slide 18: Eco Sanctuary
ECO SANCTUARY Successfully completed in Aug’16 INTERNATIONAL Located in the midst of lush green sanctuary of nature High-rise Residential ECO SANCTUARY SINGAPORE GDV: SGD 465m/ RM 1,395m View of the Island Club and pool Exchange rate: SGD 1: RM2.999 18
Slide 19: Snapshot of Local Projects Completed: Central
SNAPSHOT OF LOCAL PROJECTS COMPLETED & HANDED OVER IN FY2016 CENTRAL REGION 3 3-storey terrace Storey Terrace Shop lots 3-storey semi-detached CRISTA SETIA TAIPAN 2 ELMERI SETIA ALAM SETIA ALAM SETIA ALAM GDV: RM 57m GDV: RM311m GDV: RM62m Apartments Apartments SENTOSA APARTMENT SERI MUTIARA APARTME
Slide 20: Snapshot of Local Projects Completed: Central
SNAPSHOT OF LOCAL PROJECTS COMPLETED & HANDED OVER IN FY2016 CENTRAL REGION 32-storey bungalow Storey Terrace 2-storey house NUSANTARA BARTONIA SETIA ECO PARK SETIA ECOHILL GDV: RM 93m GDV: RM48m High-end Residential SETIA SKY RESIDENCES DIVINA KUALA LUMPUR GDV: RM307m 2-storey linked villa Apartmen
Slide 21: Snapshot of Local Projects Completed: Central
SNAPSHOT OF LOCAL PROJECTS COMPLETED & HANDED OVER IN FY2016 CENTRAL REGION The Strata Office Boutique Offices 2 & Tower was handed 3 were completed in over to purchasers Sep 2016 on 14 July 2016 The Pillars – Boutique Offices KL ECO CITY KUALA LUMPUR GDV: RM571m Strata Office Suites KL ECO CITY KUA
Slide 22: Snapshot of Local Projects Completed: Southern, Northern
SNAPSHOT OF LOCAL PROJECTS COMPLETED & HANDED OVER IN FY2016 SOUTHERN REGION Serviced Apartment Serviced Apartment 2-Storey Cluster Home SKY VIEW SKY BREEZE JUPITER BUKIT INDAH JOHOR BUKIT INDAH JOHOR SETIA ECO CASCADIA GDV: RM 135m GDV: RM 139m GDV: RM 106m NORTHERN REGION RETAIL LOTS SETIA SPICE C
Slide 23: Ongoing Projects
ONGOING PROJECTS Versatile developer with wide range of product offerings TOWNSHIP (Setia Brand) NICHE DEVELOPMENT Central Central Northern Setia Sky Seputeh Setia Alam Setia Sky Vista PPA1M Setia City Setia V Residences Setia Putrajaya Setia Ecohill SPICE Southern 30 Setia Ecohill 2 Setia Sky Ville
Slide 24: Key Projects Update
KEY PROJECTS UPDATE Strength in diversity…
Slide 25: Setia Eco Templer Location Map
SETIA ECO TEMPLER Location Map • Approximately 25km to Kuala Lumpur City Centre, 11km to Rawang & 7km to Selayang • Easy access to major roads & highways such as MRR2, LATAR & PLUS 25
Slide 26: Setia Eco Templer Development Brief
SETIA ECO TEMPLER Development Brief DEVELOPMENT BRIEF Development type Township Effective Stake 100% Land Area 195 acres Land Cost 34 psf Purchase Year 2013 Tenure Leasehold Estimated GDV RM2.0 bn Comm. Date 2016 Completion Date 2028 Remaining Land Area 149 acres Inspired by the concept of the Legen
Slide 27: Setia Eco Templer Launch Snapshots
SETIA ECO TEMPLER Snapshots during the launch An average of 88% take-up rate during launch over the weekend Strong crowd seen at the maiden launch of Setia Eco Templer on 14 May 2016 To- date 100% Sold 27
Slide 28: Setia Eco Templer 100% Sold
SETIA ECO TEMPLER 100% sold – GDV RM276mil LINK HOUSE GDV RM173.0 m Units available 176 Units taken up 176 Price RM850k onwards Build up size 2,394 – 2,965 sq ft Launch date 14 May 2016 SEMI-DETACHED GDV RM86.4 m Units available 52 Units taken up 52 Price RM1.7m onwards Build up size 3,481 – 3,492 s
Slide 29: KL Eco City Location Map
KL ECO CITY – LOCATION MAP Strategically accessible via expressways and LRT station Pedestrian link bridge to major malls nearby Existing LRT Station Abdullah Hukum 29
Slide 30: KL Eco City Development Brief
KL ECO CITY Development Brief DEVELOPMENT BRIEF Residential Tower 2 Office Mixed Tower 1 Development Type Development Residential Residential Tower 1 Tower 3 Serviced Effective Stake 100% (Vogue Suite 1) Apartments Office Boutique Land Cost RM475 psf Tower 2 Office 3 Office Strata Office Purchase Ye
Slide 31: KL Eco City Progress Update
KL ECO CITY – PROGRESS UPDATE The Strata Office Tower was handed over to purchasers in Jul’16 while the Boutique Offices 2 and the Boutique Offices 3 were handed over to purchaser in Sep’16 PARCEL A B C D 99% 100% 49% 100% 95% 100% 100% Sold Sold Sold Sold Sold Sold Sold Recurring income Retail Podi
Slide 32: Battersea Power Station Development Brief
BATTERSEA POWER STATION Development Brief DEVELOPMENT BRIEF RESIDENTIAL COMMERCIAL STATUS TYPE UNITS GDV (£’BN) GDV (£’BN) Mixed Development type Phase 1 (Circus West) Development 867 0.85 0.07 * Apartments Effective Stake 40% Launched Phase 2 (Power Station) 255 0.78 1.41 * Land Area 41.7 acres Apa
Slide 33: Battersea Power Station Master Plan
BATTERSEA POWER STATION Master Plan 33
Slide 34: Battersea Power Station Residential Sales Update
BATTERSEA POWER STATION Residential Sales Update Combined Take Up Rate of 88% Phase 1 Phase 2 Phase 3A (Circus West) (Power Station) (Electric Boulevard) Launched January 2013 Launched May 2014 Launched October 2014 GDV £846 m GDV £779 m GDV £948 m Units 867 Units 255 Units 539 Sold 862 units Sold 2
Slide 35: Battersea Power Station Site Progress
BATTERSEA POWER STATION Site Progress – Phase 2 Overview of Phase 2 construction in progress A concrete pour for the now rebuilt South- Refurbishment of the Chimney West chimney 35
Slide 36: Battersea Power Station Site Progress Phase 2 and 3a
BATTERSEA POWER STATION Site Progress – Phase 2 and Phase 3a Phase 2 : Interior of the central Boiler House, looking south to the fully rebuilt South-West chimney Phase 3a : Electric Boulevard Phase 2: Ongoing construction at the Turbine Hall Phase 3a & Northern Line Extension 36
Slide 37: Apple Inc. Largest Tenant at BPS
BATTERSEA POWER STATION APPLE Inc. – Anchoring its presence in Battersea LARGEST TENANT AT BPS Largest lettings in West End & South Bank in the last 20 years To occupy 40 % of the total office space of the total BPS development To occupy 500,000 sft across 6 Source: Internet floors of the Power Stat
Slide 38: FY2017 Business Strategies
FY2017 BUSINESS STRATEGIES Meeting the market demand…
Slide 39: FY2017 Business Strategies
FY2017 BUSINESS STRATEGIES Product Differentiation Continuous Income & expansion Diversification Specialisation “ Strategic product launches that will suit market demand…” Land banking at Portfolio of high-yield Townships strategic locations investment properties • To leverage on townships & e
Slide 40: Planned New Launches & Sales Target in FY2017
PLANNED NEW LAUNCHES & SALES TARGET IN FY2017 Meeting the market demand…
Slide 41: Planned New Launches in FY2017
PLANNED NEW LAUNCHES IN FY2017 A total of 7,355 units with combined GDV of RM5.41 billion Forex rate: AUD 1 : RM3.2390 USD 1 : RM4.4823 Exhibition Street Pangsapuri Rimbun Prahran Central SOUTH Australia Eastern NORTH VIETNAM GDV GDV GDV GDV GDV GDV RM RM RM RM AUD USD 3,208m 20m 299m 177m 516m 9m U
Slide 42: Sales Target in FY2017
SALES TARGET IN FY2017 SALES TARGET BY RM 2,282m REGION RM 934m International Central 23% 56% Domestic Sales 77% RM 3,115 million International Sales RM 180m Sales Target 23% Eastern RM 934 million 5% RM4.0 billion RM 252m Northern 6% RM 401m Southern 10% 42
Slide 43: Unbilled Sales, Land Bank & GDV
UNBILLED SALES, LAND BANK & GDV Strong pipeline…
Slide 44: Unbilled Sales, Land Bank and Remaining GDV
UNBILLED SALES, LAND BANK AND REMAINING GDV The unbilled sales of RM8.25 billion is supported by 5,218 acres of remaining land bank and RM76.48 billion of remaining GDV as at 31 December 2016 International, Eastern, 306 , 6% International, 44 , 1% RM 17.40b 23% Southern, 739 , 14% Total Total Remain
Slide 45: Awards Clinched in FY2016
AWARDS CLINCHED IN FY2016 Total of 22 Awards Clinched Crème de la crème 7-Time Winner 9-Time Winner 7-Time Winner World Gold Winner The Edge Top Property Best Employers in Malaysia FIABCI World Prix d’Excellence Developers Awards 2016 2016 Awards 2016 - The Winner S P Setia Corporate HQ - Sustainabl
Slide 46: The Best Employer in Malaysia
THE BEST EMPLOYER IN MALAYSIA Boast a dynamic team of 1,828 employees, dubbed “Team Setia” Won the Aon Hewitt Best Employer Award for the 7th time in FY2016 A place where employees’ growth and welfare come first Family Day Hari Raya Setia Health Campaign Conducive working environment & great ameniti
Slide 47: Thank You
& S SS S S & for THE BEST Thank, yo
Slide 48: Q&A
Q&A
Slide 49: Appendices
APPENDICES
Slide 50: FY2016 Sales Performance: Central Region
FY2016 SALES PERFORMANCE Breakdown of Central Region Central region continues to lead sales KL Eco City Central Region – Sales RM 361m (RM’million) 14% Setia Alam RM 742m 3,000 28% PPA1M 2,642 RM 333m 2,500 13% 2,240 2,098 2,000 Central Setia Sky Seputeh RM 101m RM 2,642m 4% 1,500 Setia Putrajaya RM
Slide 51: FY2016 Sales Performance: Southern Region
FY2016 SALES PERFORMANCE Breakdown of Southern Region Setia Business Park II RM 56m Bukit Indah Johor Southern Region – Sales 12% RM 184m (RM’million) 39% Setia Eco Cascadia 510 RM 31m 7% 500 500 490 Southern 482 RM 467m 480 Setia Eco Gardens & Business Park I RM 118m 470 467 25% 460 Setia Indah Set
Slide 52: FY2016 Sales Performance: Northern & Eastern
FY2016 SALES PERFORMANCE Breakdown of Northern & Eastern Region Northern & Eastern Region – Aeropod Sales (RM’million) RM 236m 450 60% 393 400 350 Northern & Penang Eastern 300 157 RM 393m 250 224 Setia Sky Ville 200 179 RM 66m 17% 150 Penang Penang Aeropod 100 199 151 Setia Pearl Island 236 Setia V
Slide 53: FY2016 Sales Performance: International
FY2016 SALES PERFORMANCE Breakdown of International Region International – Sales Battersea Power Station (RM’million) RM 136m 42% 2,000 1,801 9 Vietnam 1,800 95 Singapore Eco Sanctuary 1,600 Australia 1,419 RM 126m 39% 506 9 Vietnam 1,400 165 Singapore International 1,200 25 Australia RM 321m 1,000
Slide 54: Summary of Projects Completed in FY2016
SUMMARY OF PROJECTS COMPLETED IN FY2016 GDV No. of units Completed Projects (RM' million) launched Central Region : 3,895 units @ RM3,009m Setia Alam 771 1,858 Setia Ecohill 187 282 Setia Eco Park 124 43 KL Eco City 877 343 Setia Eco Glades 300 198 Setia Sky Residences 307 291 Dwiputra Residences 44
Slide 55: Projects Completed in FY2016
PROJECTS COMPLETED IN FY2016 6,056 units with GDV of RM7.27 billion were successfully completed in FY2016 GDV No. of units Date Completed Projects Price Range (RM) Size Range (sft) (RM million) launched Completed Central Region = 3,895 units @ RM3,009m 3 storey terrace - Caffra 83 100 Jan-16 RM737k
Slide 56: Projects Completed in FY2016
PROJECTS COMPLETED IN FY2016 6,056 units with GDV of RM7.27 billion were successfully completed in FY2016 GDV No. of units Date Completed Projects Price Range (RM) Size Range (sft) (RM million) launched Completed Southern Region = 1,090 units @ RM475m Serviced apartment - Sky Breeze 139 235 Nov-16 R
Slide 57: Summary of Planned New Launches in FY2017
SUMMARY OF PLANNED NEW LAUNCHES IN FY2017 A total of 7,355 units with combined GDV of RM5.41 billion GDV No. of units Planned Launches in FY2017 (RM million) available Central Region : 5,107 units @ RM3,208m Setia Alam 530 1,056 Setia Eco Hill 286 1,125 Setia Eco Hill 2 294 451 Setia Eco Park 148 64
Slide 58: Details of Planned New Launches in FY2017
DETAILS OF PLANNED NEW LAUNCHES IN FY2017 Total GDV of RM5.41 billion and 7,355 units GDV No. of units Planned New Launches Price Range (RM) Size Range (RM million) available Central Region = 5,107 units @ RM3,208m 3 storey terrace 60 62 RM970k (average) 20' x 65' 3 storey cluster semi-detached 39 2
Slide 59: Details of Planned New Launches in FY2017
DETAILS OF PLANNED NEW LAUNCHES IN FY2017 Total GDV of RM5.41 billion and 7,355 units GDV No. of units Planned New Launches Price Range Size Range (RM million) available Southern Region = 728 units @ RM299m 2 storey terrace house 69 100 RM690k (average) 20' x 70' Shoplots 34 27 RM1.0m - RM2.7m 22' x
Slide 60: Breakdown of Planned Launches in FY2017 by Type
BREAKDOWN OF PLANNED LAUNCHES IN FY2017 BY TYPE Variety of products to meet the demand of diverse buyers AFFORDABLE LANDED, To launch 3,242 units of HOUSING, 3,242 , 44% 1,432 , 20% affordable housing comprising Rumah Mampu Milik, Rumah Selangorku and Perumahan Mampu Milik Total Units Launched 7,355
Slide 61: Group Progress Billing
GROUP PROGRESS BILLING Total unbilled sales of RM 8.25 billion Sales Secured @ Progress Billings Future Progress Project 31.12.2016 @ 31.12.2016 Billings Setia Alam 967 284 684 Setia Eco Hill 841 426 415 Setia Sky Residences 593 569 25 Putrajaya 266 261 5 Setia Eco Park 399 165 234 Setia Eco Glades
Slide 62: Group Land Bank
GROUP LAND BANK Strong land bank of 5,218.1 acres with total GDV of RM76.48 billion Undeveloped Land Remaining GDV Total Land Land Cost Group Equity Project Life Project Name Bank (Acres) (RM'm) Bank (Acres) (RM' psf) Stake Cycle - Effective Stake - Effective Stake Setia Alam 2,367.1 646.8 3,926 3.4
Slide 63: Group Land Bank
GROUP LAND BANK Strong land bank of 5,218.1 acres with total GDV of RM76.48 billion Undeveloped Land Remaining GDV Total Land Land Cost Group Equity Project Life Project Name Bank (Acres) (RM'm) Bank (Acres) (psf) Stake Cycle - Effective Stake - Effective Stake Setia Pearl Island 112.9 16.1 635 28.5
Slide 64: Thank You
66 Thank YOU,, A livelearnworkplay Setia