Slide 1: FY2014 Full Year Results Briefing
FY2014 Full Year Results Briefing 26 February 2015
Slide 2: Agenda
• UOL KEY FINANCIALS & BUSINESS REVIEW • UOL OUTLOOK & STRATEGIC DIRECTION • PPHG BUSINESS REVIEW • PPHG FOCUS & OUTLOOK • Q&A 2
Slide 3: UOL Group Limited: Key Financials & Business Review
UOL GROUP LIMITED • KEY FINANCIALS & BUSINESS REVIEW • OUTLOOK & STRATEGIC DIRECTION LIAM WEE SIN PRESIDENT (PROPERTY)
Slide 4: FY2014 vs FY2013 financial results
$m FY 2014 FY 2013 % Change Revenue 1,360.7 1,058.6 29 Profit before fair value and other gains 515.2 427.3 21 Other gains 25.6 23.8 7 Fair value gains on associated companies’ 78.4 91.5 -14 investment properties Fair value gains on the Group’s investment 217.8 409.4 -47 properties Profit before inc
Slide 5: Per share metrics and returns
FY 2014 FY 2013 % Change Earnings per share before fair value and 51.0 cents 44.7 cents 14% other gains Earnings per share 88.0 cents 102.0 cents -14% Net tangible asset value per share $9.68 $8.73 11% Return on equity before fair value and 5.20% 5.09% 2% other gains Return on equity 8.98% 11.63% -2
Slide 6: Capital Management
Capital Management FY 2014 FY 2013 % Change Total equity $8,131m $7,227m 13% Cash $287m $293m -2% Net debt $2,742m $2,043m 34% Gearing ratio 0.34 0.28 21% Average borrowing cost 1.72% 1.96% -12% Term loan 78% 84% -7% Interest cover 15 Xs 12 Xs - (including interest capitalised) Ave debt maturity (Yr
Slide 7: Debt Maturity Profile
Debt Maturity Profile (as at 31.12.14) (as at 31.12.13) $m % $m % Within 1 year 1,292 43 1,149 49 1-2 years 257 8 727 31 2-3 years 845 28 289 13 > 3 years 634 21 171 7 Total Debt 3,029 100 2,336 100
Slide 8: A Decade of Growth
A Decade of Growth 2011 CAGR 2005 2006 2007 2008 2009 2010 2012 2013 2014 (Restated) % Revenue ($m) 505.5 605.1 713.5 899.2 1,007.1 1,349.1 1,960.2 1,145.8 1,058.6 1,360.7 11.6 Profit before fair value and other 149.3 158.6 273.3 351.5 429.9 551.2 727.8 439.7 427.3 515.2 14.8 gains/(losses) ($m) Pro
Slide 9: Revenue and Operating Profit Distribution by Business Segments in 2014
($m) Revenue and Operating Profit Distribution by Business Segments in 2014 Revenue Operating Profit Management services Investments Investments Management 1% 2% 7% services Property 4% development Hotel 37% operations Hotel 32% operations 18% Property development Property 50% Property investments i
Slide 10: Revenue by Business Segments 2014 vs 2013
($m) Revenue by Business Segments 2014 vs 2013 65% 675.9 4% 437.6 410.0 420.4 10% FY2014 198.2 FY2013 180.2 -1% 5% 20.3 20.5 28.8 27.4 Property Property Hotel operations Management Investments development investments services
Slide 11: Operating Profit by Business Segments 2014 vs 2013
($m) Operating Profit by Business Segments 2014 vs 2013 10% 146.5 9% 137.3 133.2 126.4 10% FY2014 72.6 66.3 FY2013 5% 28% 28.8 27.4 15.1 11.8 Property Property Hotel Management Investments development investments operations services
Slide 12: Revenue, Adjusted EBITDA and Total Asset Value by geography
(%) Revenue FY2014: $1,360.7m 48 10 20 18 4 FY2013: $1,058.6m 73 13 5 3 6 Adjusted EBITDA* Singapore FY2014: $696.1m 73 4 17 2 4 Australia Malaysia FY2013: $629.4m China 87 6 3 5 Others *Excludes unallocated cost, other gains/losses and fair value gains/losses on investment properties Total Asset Va
Slide 13: Residential units sold in 2014
• Sold 493 residential units with sales value of more than $582 million in 2014 Launched No. of Units %Sold* Average psf (Whole Project) (as at 31.12.14) Archipelago Dec 2011 577 98.6 $987 Katong Regency Apr 2012 244 100 $1,612 The Esplanade, Tianjin Jun 2012 570 91.2 RMB18,628 (psm) Thomson Three S
Slide 14: Profit recognition of launched projects
Profit recognition of launched projects Project Name % No. of Saleable % Sold % TOP Date Equity Units Area (as at Completed 31.12.14) (as at 31.12.14) Stake (sqm) The Esplanade, Tianjin 90 570 71,586 91.2 100 TOP Archipelago 50 577 71,445 98.6 87 Est. 1Q2015 Katong Regency 100 244 19,432 100 55 Est.
Slide 15: Singapore and overseas residential pipeline
Singapore residential pipeline Project Name/Location Tenure Site Area Est. Est. No. % Target of Land (sqm) Saleable of Units Owned Launch Area (sqm) Botanique at Bartley 99 20,078 55,869 797 100 1Q2015 Prince Charles Crescent Site 99 24,964 53,135 663 70 2H2015 Total 45,042 109,004 1,460 Overseas re
Slide 16: Botanique at Bartley
Botanique at Bartley • Successfully tendered for Upper Paya Lebar Road site at 20,078 sqm in January 2014 • 100% stake • 99-year leasehold site; est. 797-unit residential project • Slated for sales launch in 1Q2015 16
Slide 17: Prince Charles Crescent site
Prince Charles Crescent site • Successfully tendered for Prince Charles Crescent site at 24,964 sqm in April 2014 • 70% stake • 99-year leasehold site; est. 663-unit residential project • Target to launch in 2H2015 17
Slide 18: Seventy Saint Patrick's
Seventy Saint Patrick’s • Freehold site along Upper East Coast Road • 186 units • 100% stake • 73% sold as at 31 December 2014 18
Slide 19: Riverbank@Fernvale
Riverbank@Fernvale • In Sengkang West Way, situated near Layar LRT, Punggol Reservoir and Seletar Aerospace Park • A 555-unit, four 19-storey blocks project • 100% stake • 50% sold as at 31 December 2014 19
Slide 20: Thomson Three
Thomson Three • Situated near MacRitchie and Lower Peirce Reservoirs, and upcoming Upper Thomson MRT Station • 435 apartments and 10 strata semi-detached houses • 50% stake • 96% sold as at 31 December 2014 20
Slide 21: The Esplanade, Tianjin
The Esplanade, Tianjin • Mixed development, along HaiHe River, comprising four blocks of 522 apartments, a 319-room hotel, 17,075 sqm GFA office and 11,926 sqm GFA retail space • 90% stake • 4 residential towers have achieved 96% sales at average price of RMB18,628 psm • 71% sold for one office towe
Slide 22: Changfeng, Shanghai
Changfeng, Shanghai • Mixed development located within the Changfeng Ecological Business Park, about 5km to the north-east of the Hongqiao Transportation Hub and less than 10km from The Bund • Approximately 398 residential units and 4,000 sqm of net lettable area • 40% stake • Target to launch in 2H
Slide 23: Site at Bishopsgate, London
Site at Bishopsgate, London • UOL’s first investment in Europe • Freehold land of 3,200 sqm • Located in London’s central financial district, about 200m from Liverpool Street Station and the future Crossrail Station • Approved for a 43-storey tower with 52,255 sqm GFA • 109 residential units • 190-r
Slide 24: Upcoming Launch - Botanique at Bartley
Ww UOL UPCOMING LAUNCH - BOTANIQUE AT BARTLEY eset
Slide 25: Upcoming Launch - Botanique at Bartley
Ww UOL UPCOMING LAUNCH - BOTANIQUE AT BARTLEY —
Slide 26: Office and retail properties portfolio
Office properties Net Lettable Area (sqm) Portfolio Novena Square 41,580 United Square 27,004 Odeon Towers 18,341 Faber House 3,956 One Upper Pickering 8,089 Total 98,970 Retail properties Portfolio Novena Square shopping mall 16,091 United Square shopping mall 19,414 OneKM 19,429 The Esplanade Mall
Slide 27: OneKM
OneKM • 19,429 sqm mall offering lifestyle, edutainment and gastronomy • 100% stake • 89% leases committed as at 31 December 2014 • Officially opened on 30 November 2014 27
Slide 28: Commercial property occupancy
Achieved above 95% occupancy for almost all commercial properties YTD 31.12.14 100 99 98 98 98 95 91 88 * Novena United Odeon Faber One Upper Novena United OneKM Square Square Towers House Pickering Square Square Shopping office office office office Shopping Shopping Mall Mall Mall NLA 41,580 27,004
Slide 29: Tenancy Management
Tenancy Management Lease Renewal % Change in Lease Expiry in 2015 Overall (sqm) Average Rent NLA %* FY14 vs FY13 Offices Novena Square +1.7 20,999 51 United Square +2.6 8,141 33 Odeon Towers +1.6 8,402 46 Faber House +5.1 744 19 Subtotal +2.5 38,286 42 Shopping Malls Novena Square +4.8 6,189 39 Unit
Slide 30: Owned Serviced Suites Portfolio
Owned Serviced Suites Properties Rooms Portfolio Pan Pacific Serviced Suites Orchard, Singapore 126 Pan Pacific Serviced Suites Beach Road, Singapore 180 PARKROYAL Serviced Suites Beach Road, Singapore 90 PARKROYAL Serviced Suites Kuala Lumpur 287 Total 683 30
Slide 31: Owned Hotels Portfolio
Owned Hotels Country Rooms Portfolio Pan Pacific Orchard Singapore 206 PARKROYAL on Beach Rd Singapore 343 PARKROYAL on Kitchener Road Singapore 532 PARKROYAL on Pickering Singapore 367 Pan Pacific Perth Australia 486 PARKROYAL Darling Harbour, Sydney Australia 340 PARKROYAL Parramatta Australia 196
Slide 32: Existing and pipeline hotels
Existing Pipeline No. of Hotels No. of Rooms No. of Hotels No. of Rooms By Brands Pan Pacific 19 5,764 2 538 PARKROYAL 13 3,775 3 768 Others 1 321 0 0 Total 33 9,860 5 1,306 By Ownership Type Owned 20 6,158 1 190 Managed 13 3,702 4 1,116 Total 33 9,860 5 1,306 Note: Serviced suites are included in t
Slide 33: Residential market outlook
• Buying sentiment for residential property remains muted although projects with strong value propositions and in good location should still interest buyers.
Slide 34: Office market outlook
• Office rents and capital values continue to trend up due to limited new supply in 2015.
Slide 35: Retail market outlook
• Retail rents likely to moderate amid rising occupancy costs and competition from online shopping.
Slide 36: Hotel market outlook
• Hotel sector in Singapore could benefit from SEA Games and SG50 events. Tourism and business travel for Asia Pacific may face challenges from economic slowdown.
Slide 37: Strategic direction
• Stay nimble for strategic acquisitions in Singapore. • Selectively diversify into overseas markets. • Refresh hotels through asset enhancement initiatives.
Slide 38: Awards
CORPORATE AWARD UOL Group Limited • BCI Asia Top 10 Developer Awards RESIDENTIAL PROJECTS International Property Awards 2014 (Asia Pacific) • Seventy Saint Patrick’s • Spottiswoode Residences • Thomson Three • Riverbank@Fernvale Singapore Property Awards 2014 • Terrene at Bukit Timah • Waterbank at
Slide 39: Pan Pacific Hotels Group Limited
PAN PACIFIC HOTELS GROUP LIMITED • COMPANY OVERVIEW • BUSINESS REVIEW • FOCUS & OUTLOOK BERNOLD OLAF SCHROEDER CHIEF EXECUTIVE OFFICER (HOTELS) 39
Slide 40: Pan Pacific Hotels Group overview
• Headquartered in Singapore, Pan Pacific Hotels Group owns and/or manages over 30 hotels, resorts & serviced suites with some 12,000 rooms in Asia, Oceania, North America and Europe, including those under development. • Comprises two highly-acclaimed brands: 40
Slide 41: Hotel Occupancy 2014 vs 2013
Hotel Occupancy 2014 vs 2013 4% 8% 86% 82% 83% 76% 2% 72% 72% 71% 69% 66% 66% 2% 41% 40% 2014 2013 Singapore Southeast China North Oceania Total Asia America 41
Slide 42: Average Room Rate 2014 vs 2013
Average Room Rate 2014 vs 2013* In $ 7% 5% 301 281 265 -1% 252 228 230 3% 2% 196 191 141 138 -3% 2014 98 2013 95 Singapore Southeast China North Oceania Total Asia America * For comparability, FY2013 ARR has been translated at constant exchange rates (31 December 2014) 42
Slide 43: RevPar 2014 vs 2013
RevPar* In $ 2014 vs 2013** 12% 217 8% 3% 199 197 193 192 184 4% 138 133 2% 101 99 2014 2013 39 39 Singapore Southeast China North Oceania Total Asia America * RevPar = Revenue per Available Room ** For comparability, FY2013 RevPar has been translated at constant exchange rates (31 December 2014) 43
Slide 44: Property openings in 2014
Property Opening Amenities Date PARKROYAL 1 April 2014 • First international hotel brand in Nay Pyi Taw Myanmar’s capital Nay Pyi Taw • 90-room hotel with a restaurant, spa, gym, swimming pool and meeting facilities • Located within the vicinity of the Myanmar International Convention Centre Pan Pac
Slide 45: Upcoming openings: Yangon and London
Property Opening Amenities Date Pan Pacific 2017 • First “Pan Pacific” in Myanmar Yangon • Joint venture on a 20:20:60 shareholding basis (PPHG 20%; Shwe Taung Group 60%; City Square Pte Ltd 20%) • 348-room hotel, part of a mixed-use development Pan Pacific 2019 • First “Pan Pacific” in Europe/Unite
Slide 46: Upcoming openings 2016-2017
Property Opening Amenities Date PARKROYAL 2016 • 225-room resort in Bogor, a popular Rainbow Hills retreat and meeting destination 60km Bogor Resort away from the Indonesian capital of Jakarta PARKROYAL 2016 • 281-room hotel offering views of the city Melbourne centre and the Victoria Harbour waterf
Slide 47: Hotel business focus
• Focused on growth in Asia Pacific with the opening of two new properties. • Launched refreshed brands’ websites to improve user experience and deepen online customer engagement. • Opened seventh Global Sales Office in Beijing to expand customer reach and grow share of Chinese travel market. 47
Slide 48: Outlook
OUTLOOK • Outlook for hotels in Singapore and in Asia Pacific remains challenging in view of the uncertain global economy and geopolitical events. • Increasing room supply will moderate the growth in occupancy and average room rates. • The Group will continue to expand its portfolio in Asia Pacific.
Slide 49: Hotel awards
Forbes Travel Guide - Pan Pacific Seattle - Pan Pacific Vancouver Business Traveller Asia-Pacific Awards - PARKROYAL on Pickering BCA Green Mark Platinum - PARKROYAL on Kitchener Road Green Globe certification - Pan Pacific Seattle Travel + Leisure World’s Best Awards - Pan Pacific Whistler Mountain
Slide 50: Forward-looking statements disclaimer
This presentation may contain forward-looking statements or financial information. Such forward-looking statements and financial information may involve known and unknown risks, uncertainties, assumptions and other factors which may cause the actual results, performance or achievements of UOL Group
Slide 51: Thank You
UOL el A THANK YOU
Slide 52: Q&A
UOL el A Q&A