Sunway Real Estate Investment Trust · MYX:SUNREIT
Sunway Real Estate Investment Trust — Q3 FY2016 Earnings Presentation
65 slides from Sunway Real Estate Investment Trust's earnings presentation, Apr 27, 2016
Slide 1: Sunway REIT Financial Results 3rd Quarter Ended 31 March 2016
Sunway REIT Financial Results 3rd Quarter Ended 31 March 2016 (FYE 30 June 2016) Announcement Date: 27 April 2016
Slide 2: Disclaimer
DISCLAIMER This presentation is for information purposes only and does not constitute an offer, solicitation or advertisement with respect to the purchase or sale of any security of Sunway Real Estate Investment Trust (“Sunway REIT”) and no part of it shall form the basis of, or be relied on in conn
Slide 3: Table of Contents
Table of Contents 1. Financial Highlights 2. 3Q 2016 Financial Results 3. 3Q 2016 Portfolio Performance 4. 3Q 2016 Property Performance 5. Market Outlook 6. Investor Relations Driving values through sustainable growth 3
Slide 4: 1. Financial Highlights
1. Financial Highlights Driving values through sustainable growth 4
Slide 5: Distribution Details
Distribution Details Dividend Distribution Details Distribution Period 1 January 2016 - 31 March 2016 1 Distribution Per Unit (DPU) (sen) 2.37 Notice of Entitlement 27 April 2016 Ex-Dividend Date 12 May 2016 Book Closure Date 16 May 2016 Payment Date 31 May 2016 1 Proposed income distribution for 3Q
Slide 6: Financial Highlights
Financial Highlights Highlights 3Q 2016 3Q 2015 No. of Properties 14 14 Property Value (RM'billion) 6.378 5.846 No. of Units in Circulation 2,942,684,200 2,935,569,800 Unit Price as at 31 Mar (RM) 1.60 1.57 Market Capitalisation (RM'billion) 4.708 4.609 Net Asset Value (NAV) Per Unit (RM) 1.3349 1.2
Slide 7: Financial Highlights (Cont'd)
Financial Highlights (Cont’d) Gross Revenue (RM'm) Net Property Income (RM'm) 400.0 383.4 300.0 283.7 338.5 256.4 300.0 1 2 17.7% 16.2% 200.0 200.0 121.2 131.9 130.3 96.7 113.8 114.0 110.7 100.0 89.9 86.5 97.1 86.7 83.2 100.0 - - 1Q 2Q 3Q YTD 1Q 2Q 3Q YTD 2016 2015 2016 2015 1 Gross Revenue for 3Q20
Slide 8: Financial Highlights (Cont'd)
Financial Highlights (Cont’d) Profit Before Tax (Realised) (RM'm) DPU (sen) 300.0 8.00 5.0% 7.06 6.68 1 2 14.9% 11.3% 6.00 201.9 200.0 185.4 4.00 2.57 100.0 2.12 2.28 2.27 2.37 73.6 2.13 60.6 63.5 63.0 67.7 2.00 58.9 - - 1Q 2Q 3Q YTD 1Q 2Q 3Q YTD 2016 2015 2016 2015 1 Profit Before Tax (Realised) fo
Slide 9: 2. 3Q 2016 Financial Results
18.1% 2. 3Q 2016 Financial Results Driving values through sustainable growth 9
Slide 10: Statement of Comprehensive Income – Consolidated
Statement of Comprehensive Income – Consolidated 1Q 2016 1Q 2015 2Q 2016 2Q 2015 3Q 2016 3Q 2015 Change YTD 2016 YTD 2015 Change RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 % RM'000 RM'000 % Gross revenue 121,216 113,812 131,867 113,996 130,345 110,709 17.7% 383,428 338,517 13.3% Less : Property opera
Slide 11: Statement of Comprehensive Income-Consolidated (Cont'd)
Statement of Comprehensive Income-Consolidated (Cont’d) Explanation: 1 Property operating expenses for 3Q2016 increased by RM6.1 million compared to 3Q2015 mainly due to operating expenses for Sunway Putra Mall which re-opened in 4Q2015. 2 Higher other income for 3Q2016 mainly contributed by higher
Slide 12: Statement of Financial Position – Consolidated
Statement of Financial Position – Consolidated 31.03.16 31.12.15 30.09.15 30.06.15 RM'000 RM'000 RM'000 RM'000 ASSETS Non-cur r ent assets Plant and equipment 8,344 7,568 7,040 5,268 Investment properties 6,377,676 6,333,412 6,341,438 6,324,000 6,386,020 6,340,980 6,348,478 6,329,268 Cur r ent asset
Slide 13: Debt Profile
Debt Profile Facility Limit RM'milion RM'million Loan Maturity Profile (RM'm) 800.0 Term Loan 422.0 390.2 122.4 Commercial Papers (CP) / 600.0 Revolving Loan (RL) 1,100.0 2 772.4 Unrated MTNs 1,000.0 1,000.0 400.0 3 Total Gross Borrowings 2,162.6 650.0 1 Discount on CP (1.4) 200.0 400.0 390.2 400.0
Slide 14: 3. 3Q 2016 Portfolio Performance
3. 3Q 2016 Portfolio Performance Driving values through sustainable growth 14
Slide 15: 3Q 2016 Revenue Contribution by Segment
3Q 2016 Revenue Contribution 3Q 2016 (RM'million) 130.3 3Q 2015 (RM'million) 110.7 19.8% By segment (RM'm) 19.8% 120.0 101.7 100.0 84.9 80.0 60.0 34.7% 18.8% 3.8% 40.0 16.3 12.1 20.0 6.9 8.5 5.4 5.2 - Retail Hotel Office Others 3Q 2016 3Q 2015 Note: Calculation of % of increase/decrease above varies
Slide 16: 3Q 2016 Revenue Contribution by Property
3Q 2016 Revenue Contribution (Cont’d) 3Q 2016 (RM'million) 130.3 3Q 2015 (RM'million) 110.7 Retail Hotel Office Others 80.0 By property (RM’m) 60.0 40.0 20.0 - Sun way Sun way Sun way Sun way SCI Sun way Sun way Sun way Sun way Sun way Sun way Resort Pyramid Ho tel Ho tel Men ara Sun way Wisma Hyper
Slide 17: 3Q 2016 Revenue Contribution (Cont'd)
3Q 2016 Revenue Contribution (Cont’d) Explanation: 1 Sunway Pyramid – Growth of 6.6% or RM4.8 million mainly due to higher average net rent per sq. ft. 2 Sunway Carnival – Higher by 9.4% or RM1.0 million due to higher average net rent per sq. ft. but substantially offset by lower average occupancy a
Slide 18: 3Q 2016 Revenue Contribution (Cont'd)
3Q 2016 Revenue Contribution (Cont’d) 3Q 2016 By Property % By segment Others Sunway Pyrami d 59.7% Office 4.1% 5.3% Sunway Carni val 8.9% Hotel SCI Hypermarket 0.9% 12.5% Sunway Putra Mal l 8.6% Total Retai l 78.1% Retail Sunway Res ort Hotel & Spa 7.0% 78.1% Sunway Pyrami d Hotel Eas t* 2.2% Sunwa
Slide 19: YTD 3Q 2016 Revenue Contribution by Segment
YTD 3Q 2016 Revenue Contribution YTD 3Q 2016 (RM'million) 383.4 YTD 3Q 2015 (RM'million) 338.5 15.7% By segment (RM'm) 286.3 300.0 247.4 250.0 200.0 23.0% 150.0 26.0% 23.9% 22.8% 3.9% 4.0% 100.0 58.6 46.5 50.0 22.7 29.4 15.8 15.2 - Retail Hotel Office Others YTD 3Q 2016 YTD 3Q 2015 Note: Calculation
Slide 20: YTD 3Q 2016 Revenue Contribution by Property
YTD 3Q 2016 Revenue Contribution (Cont’d) YTD 3Q 2016 (RM'million) 383.4 YTD 3Q 2015 (RM'million) 338.5 Retail Hotel Office Others 240.0 By property (RM’m) 200.0 160.0 120.0 80.0 40.0 - Sun way Sun way Sun way Sun way SCI Sun way Sun way Sun way Sun way Sun way Sun way Resort Pyramid Ho tel Ho tel M
Slide 21: YTD 3Q 2016 Revenue Contribution (Cont'd)
YTD 3Q 2016 Revenue Contribution (Cont’d) Explanation: 1 Sunway Pyramid, Sunway Carnival, Sunway Putra Mall, Sunway Resort Hotel & Spa, Sunway Putra Hotel, Sunway Hotel Georgetown, Menara Sunway, Sunway Tower and Wisma Sunway – The variance for YTD 3Q2016 are as per explanation on page 17. 2 Sunway
Slide 22: YTD 3Q 2016 Revenue Contribution (Cont'd)
YTD 3Q 2016 Revenue Contribution (Cont’d) YTD 3Q 2016 By Property % By segment Others Sunway Pyrami d 57.9% Office 4.1% 5.9% Sunway Carni val 8.6% Hotel SCI Hypermarket 1.0% 15.3% Sunway Putra Mal l 7.2% Total Retai l 74.7% Retail Sunway Res ort Hotel & Spa 8.4% 74.7% Sunway Pyrami d Hotel Eas t* 3.
Slide 23: 3Q 2016 NPI Contribution by Segment
3Q 2016 NPI Contribution NPI Margin 3Q 2016 (RM'million) 96.7 74.2% 3Q 2015 (RM'million) 83.2 75.2% By Segment (RM'm) 18.0% 100.0 80.0 73.3 62.1 60.0 37.8% 43.8% 3.8% 40.0 20.0 15.3 11.1 3.1 4.8 5.4 5.2 - Retail Hotel Office Others 3Q 2016 3Q 2015 Note: Calculation of % of increase/decrease above va
Slide 24: 3Q 2016 NPI Contribution by Property
3Q 2016 NPI Contribution (Cont’d) NPI Margin 3Q 2016 (RM'million) 96.7 74.2% 3Q 2015 (RM'million) 83.2 75.2% Retail Hotel Office Others 60.0 By property (RM’m) 55.0 50.0 45.0 40.0 35.0 30.0 25.0 20.0 15.0 10.0 5.0 - (5.0) Sunway SCI Sunway Sunway Sunway Sunway Sunway Sunway Sunway Hotel Sunway Menar
Slide 25: 3Q 2016 NPI Contribution (Cont'd)
3Q 2016 NPI Contribution (Cont’d) 3Q 2016 By segment By Property % Others Sunway Pyrami d 60.8% 5.6% Office Sunway Carni val 7.8% Hotel 3.2% SCI Hypermarket 1.2% 15.7% Sunway Putra Mal l 5.7% Total Retai l 75.5% Sunway Res ort Hotel & Spa 9.0% Retail 75.5% Sunway Pyrami d Hotel Eas t* 2.8% Sunway Ho
Slide 26: YTD 3Q 2016 NPI Contribution by Segment
YTD 3Q 2016 NPI Contribution NPI Margin YTD 3Q 2016 (RM'million) 283.7 74.0% YTD 3Q 2015 (RM'million) 256.4 75.7% 13.3% By Segment (RM'm) 240.0 201.6 200.0 177.9 160.0 25.1% 43.9% 3.9% 120.0 80.0 55.8 44.6 40.0 18.7 15.8 15.2 11.3 - Retail Hotel Office Others YTD 3Q 2016 YTD 3Q 2015 Note: Calculatio
Slide 27: YTD 3Q 2016 NPI Contribution by Property
YTD 3Q 2016 NPI Contribution (Cont’d) NPI Margin YTD 3Q 2016 (RM'million) 283.7 74.0% YTD 3Q 2015 (RM'million) 256.4 75.7% Retail Hotel Office Others 180.0 By property (RM’m) 160.0 140.0 120.0 100.0 80.0 60.0 40.0 20.0 - (20.0) Sunway Sunway Sunway Sunway Sunway Sunway Sunway SCI Sunway Hotel Sunway
Slide 28: YTD 3Q 2016 NPI Contribution (Cont'd)
YTD 3Q 2016 NPI Contribution (Cont’d) YTD 3Q 2016 By segment By Property % Others Sunway Pyrami d 58.2% 5.6% Office Sunway Carni val 7.4% 4.0% SCI Hypermarket 1.3% Hotel Sunway Putra Mal l 4.0% 19.5% Total Retai l 70.9% Retail Sunway Res ort Hotel & Spa 10.8% 70.9% Sunway Pyrami d Hotel Eas t* 5.0%
Slide 29: Resilient Income Stream
Resilient Income Stream Well spread-out lease expiry profile and diverse tenant base WALE 1 as at 31 March 2016 – 1.92 years Top 10 tenants contribute approximately 11.6% of total revenue Projected tenancy expiry of portfolio 2 Top 10 tenants ³ Total Top 10 Tenants 11.6% 60.0% 52.4% Parkson Corporat
Slide 30: 4. 3Q 2016 Property Performance
4. 3Q 2016 Property Performance Driving values through sustainable growth 30
Slide 31: Retail Properties: Sunway Pyramid Shopping Mall
RETAIL PROPERTIES SUNWAY PYRAMID SHOPPING MALL Historical occupancy rates Projected lease expiry schedule Average occupancy rate 60.0% 50.0% 100.0% 98.5% 98.6% 98.3% 97.8% 98.1% 98.4% 98.1% 40.0% 95.0% 30.0% 90.0% 20.0% 85.0% 10.0% 80.0% 5.9% 56.7% 24.3% 10.2% 1.6% 0.0% FY2016 FY2017 FY2018 FY2019 M
Slide 32: Sunway Pyramid Shopping Mall (Cont'd)
RETAIL PROPERTIES SUNWAY PYRAMID SHOPPING MALL (Cont’d) Tenant mix 1 Top 10 tenants 1 Total Top 10 Tenants 11.6% Aeon Co. (M) Bhd 2.0% 22.1% Parkson Corporation Sdn Bhd 1.5% 37.5% TGV Cinemas Sdn Bhd 1.4% 6.6% JD Sports Fashion Sdn Bhd 1.1% 4.7% Sunway Resort Hotel Sdn Bhd 1.0% 4.8% (Convention Cent
Slide 33: Retail Properties: Sunway Carnival Shopping Mall
RETAIL PROPERTIES SUNWAY CARNIVAL SHOPPING MALL Historical occupancy rates Projected lease expiry schedule Average occupancy rate 60.0% 50.0% 100.0% 97.4% 97.3% 97.7% 40.0% 95.0% 93.8% 92.0% 30.0% 90.6% 91.2% 90.0% 20.0% 85.0% 10.0% 14.7% 58.0% 13.0% 7.1% 0.5% 80.0% 0.0% FY2016 FY2017 FY2018 FY2019
Slide 34: Sunway Carnival Shopping Mall (Cont'd)
RETAIL PROPERTIES SUNWAY CARNIVAL SHOPPING MALL (Cont’d) Tenant mix 1 Top 10 tenants 1 Total Top 10 Tenants 22.5% Parkson Corporation Sdn Bhd 8.7% 24.0% 27.7% Sam'S Groceria Sdn Bhd 2.4% Sunway Hotel (Seberang Jaya) Sdn Bhd 2.1% (Convention Centre) 9.1% Life Habitat Sdn Bhd (Studio) 1.6% C.H.I. Fitn
Slide 35: Retail Properties: Suncity Ipoh Hypermarket
RETAIL PROPERTIES SUNCITY IPOH HYPERMARKET Historical occupancy rates Average occupancy rate 100% 100% 100% 100% 100% 100% 100% 100% 95% 90% 85% 80% 75% Jun-11 Jun-12 Jun-13 Jun-14 Jun-15 YTD 3Q YTD 3Q 2016 2015 Suncity Ipoh Hypermarket is tenanted to a single tenant, a major hypermarket and retaile
Slide 36: Retail Properties: Sunway Putra Mall
RETAIL PROPERTIES SUNWAY PUTRA MALL Historical occupancy rates Projected lease expiry schedule Average occupancy rate 60.0% 50.0% 100.0% # # 40.0% 79.8% 82.4% 84.3% 80.0% 69.8% 30.0% 60.0% 20.0% 40.0% 10.0% 3.2% 59.9% 20.7% 0.8% 17.6% 0.0% 20.0% FY2017 FY2018 FY2019 Monthly * * 0.0% 0.0% tenancy 0.0
Slide 37: Sunway Putra Mall (Cont'd)
RETAIL PROPERTIES SUNWAY PUTRA MALL (Cont’d) Tenant mix 1 Top 10 tenants 1 Total Top 10 Tenants 18.2% TGV Cinemas Sdn Bhd 4.6% 26.1% H&M Retail Sdn Bhd 2.0% 38.3% Padini Dot Com Sdn Bhd 2.0% 1.5% 3.1% GCH Retail (M) Sdn Bhd 1.7% 4.6% Jerasia Fashion Sdn Bhd (Mango) 1.4% 1.7% NFC Clothier Sdn Bhd 1.4
Slide 38: Hospitality Properties: Sunway Resort Hotel & Spa
HOSPITALITY PROPERTIES SUNWAY RESORT HOTEL & SPA Historical occupancy rate Average occupancy rate Average occupancy rate (%) 90.0% 90.0% 87.4% 83.8% 85.0% 78.8% 78.0% 85.0% 81.8% 80.0% 76.0% 82.2% 80.9% 81.1% 75.0% 71.3% 69.4% 80.0% 70.0% 65.0% 75.6% 75.0% 74.0% 60.0% 55.0% 70.0% 50.0% Jun-11 Jun-12
Slide 39: Hospitality Properties: Sunway Pyramid Hotel East
HOSPITALITY PROPERTIES SUNWAY PYRAMID HOTEL EAST (formerly known as PYRAMID TOWER EAST) Historical occupancy rate Average occupancy rate Average occupancy rate (%) 83.1% 95.0% 92.0% 85.0% 82.4% 81.4% 80.9% 78.7% 90.0% 80.0% 85.0% 83.7% 75.0% 71.8% 79.8% 80.3% 80.0% 70.0% 75.3% 75.0% 73.8% 65.0% 70.0
Slide 40: Hospitality Properties: Sunway Hotel Seberang Jaya
HOSPITALITY PROPERTIES SUNWAY HOTEL SEBERANG JAYA Historical occupancy rate Average occupancy rate Average occupancy rate (%) 90.0% 90.0% 80.0% 80.0% 77.6% 70.2% 69.6% 80.0% 75.7% 67.8% 70.0% 62.0% 69.7% 70.0% 60.0% 64.1% 51.6% 61.9% 60.2% 50.0% 60.0% 55.2% 40.0% Jun-11 Jun-12 Jun-13 Jun-14 Jun-15 Y
Slide 41: Hospitality Properties: Sunway Hotel Georgetown
HOSPITALITY PROPERTIES SUNWAY HOTEL GEORGETOWN Historical occupancy rate Average occupancy rate Average occupancy rate (%) 80.0% 90.0% # 76.2% 80.0% 76.0% 75.0% 74.1% 70.5% 70.4% 69.1% 71.2% 68.8% 70.7% 70.2% 70.0% # 70.0% 68.7% * 67.4% 60.0% 54.7% 65.0% 50.0% 40.0% 60.0% Jun-15* # # # # Jun-11 Jun-
Slide 42: Hospitality Properties: Sunway Putra Hotel
HOSPITALITY PROPERTIES SUNWAY PUTRA HOTEL Historical occupancy rate Average occupancy rate Average occupancy rate (%) 70.0% 70.0% 60.2% 59.0% 60.0% 58.3% 60.0% 46.4% 50.0% 42.6% 50.0% 45.0% 40.0% 28.8% 30.0% 40.0% 36.5% 36.4% 20.0% 31.6% 30.0% 25.2% 10.0% 22.3% 0.0% 20.0% Jun-12 * Jun-13 Jun-14 Jun-
Slide 43: Office Properties: Menara Sunway
OFFICE PROPERTIES MENARA SUNWAY Historical occupancy rates Projected lease expiry schedule Average occupancy rate 75.0% 99.7% 60.0% 100.0% 98.5% 98.9% 98.8% 97.1% 97.4% 45.0% 95.0% 89.8% 30.0% 90.0% 85.0% 15.0% 0.7% 3.7% 5.4% 69.2% 80.0% 0.0% FY2016 FY2017 FY2018 FY2019 75.0% Jun-11 Jun-12 Jun-13 Ju
Slide 44: Menara Sunway (Cont'd)
OFFICE PROPERTIES MENARA SUNWAY (Cont’d) Tenant mix 1 Top 10 tenants 1 1.9% 1.9% Total Top 10 Tenants 84.2% 2.1% 7.5% Sunway Management Sdn Bhd 22.8% 3.1% 3.1% 31.2% Sunway Integrated Properties Sdn Bhd 20.6% Sunway Construction Group Berhad 10.0% 8.2% Merck Sdn Bhd 8.2% 13.1% Sunway Shared Services
Slide 45: Office Properties: Sunway Tower
OFFICE PROPERTIES SUNWAY TOWER Historical occupancy rates Projected lease expiry schedule Average occupancy rate 10.0% 8.0% 100.0% 97.0% 93.5% 83.0% 84.3% 6.0% 80.0% 66.9% 67.6% 4.0% 60.0% 40.0% 2.0% 18.9% 2.6% 3.3% 7.4% 8.1% 20.0% 0.0% FY2016 FY2017 FY2018 FY2019 0.0% Jun-11 Jun-12 Jun-13 Jun-14 Ju
Slide 46: Sunway Tower (Cont'd)
OFFICE PROPERTIES SUNWAY TOWER (Cont’d) Tenant mix 1 Top 10 tenants 1 Total Top 10 Tenants 97.1% 8.1% WPP Business Services Sdn Bhd 18.3% 7.8% VPO Services Sdn Bhd 17.4% 40.3% Royal Danish Embassy 12.6% 13.0% ACCA Malaysia Sdn Bhd 12.6% Bexcel Shared Services Malaysia Sdn Bhd 10.4% 13.0% R1 Internat
Slide 47: Office Properties: Sunway Putra Tower
OFFICE PROPERTIES SUNWAY PUTRA TOWER Historical occupancy rates Projected lease expiry schedule Average occupancy rate 16.0% 98.7% 100.0% 12.0% 85.2% 78.0% 80.0% 74.2% 8.0% 60.8% 60.0% 52.8% 4.0% 40.0% 26.6% 20.0% 4.3% 15.7% 4.3% 1.9% 0.0% FY2016 FY2017 FY2018 FY2019 0.0% Jun-11 Jun-12 Jun-13 Jun-14
Slide 48: Sunway Putra Tower (Cont'd)
OFFICE PROPERTIES SUNWAY PUTRA TOWER (Cont’d) Tenant mix 1 Top tenants 1 Total Top Tenants 100.0% 4.2% Kementerian Perdagangan Dalam Negeri 5.3% 59.6% Koperasi Dan Kepenggunaan Malaysia Jabatan Perdana Menteri (I.C.U) 14.4% Jabatan Pengairan & Saliran Malaysia (JPS) 14.2% Chini Enterprise Sdn Bhd 5.
Slide 49: Office Properties: Wisma Sunway
OFFICE PROPERTIES WISMA SUNWAY Historical occupancy rates Projected lease expiry schedule Average occupancy rate 40.0% 100.0% 30.0% 88.7% 89.8% 90.7% 89.8% 90.0% 86.9% 85.1% 20.0% 80.9% 80.0% 10.0% 70.0% 27.9% 25.8% 32.8% 3.0% 60.0% 0.0% FY2016 FY2017 FY2018 FY2019 50.0% Jun-11 Jun-12 Jun-13 Jun-14
Slide 50: Wisma Sunway (Cont'd)
OFFICE PROPERTIES WISMA SUNWAY (Cont’d) Tenant mix 1 Top tenants 1 Total Top Tenants 100.0% 3.4% 2.7% Jabatan Kesihatan Negeri Selangor 34.9% Jabatan Alam Sekitar 31.8% Lembaga Hasil Dalam Negeri 15.0% Yayasan Penyelidikan Transformasi 5.8% Pejabat Tindakan Pelancongan Negeri 5.2% Selangor 93.9% SM
Slide 51: 5. Market Outlook
5. Market Outlook Driving values through sustainable growth 51
Slide 52: General Outlook
General Outlook o Global growth decelerated more than anticipated to 2.4% in CY2015 (CY2014: 2.6%), reflecting the effect of low commodity prices, weaker capital flows and subdued global trade. The global economy is projected to improve at a gradual pace to 2.9% in CY2016 and 3.1% in CY2017, underpi
Slide 53: General Outlook (Cont'd)
General Outlook (Cont’d) o Notwithstanding the spike in the Consumer Price Index (“CPI”) to 4.2% y-o-y in February 2016 (January 2016: 3.5% y-o-y), inflationary pressure is expected to be manageable within the range of 2.5% to 3.5% in CY2016 (2015: 2.1%). o BNM guided that monetary policy in CY2016
Slide 54: Retail Segment
Retail Segment o On the demand side, notable trend of diminishing retail sales growth in comparison with the previous years on the back of cautious consumer sentiment arising from escalating costs of living (subsidy rationalisation, electricity tariff hikes, GST implementation and Ringgit depreciati
Slide 55: Retail Segment (Cont'd)
Retail Segment (Cont’d) o Sunway Putra Mall’s average occupancy rate was largely unchanged at 84.3% as at 31 March 2016 (31 December 2015: 84.9%). New tenants scheduled for opening in 4QFY2016 include Subway, Rice Garden, Sydney Oyster Restaurant & Bar and Friends of Burger. o The Manager expects th
Slide 56: Hotel Segment
Hotel Segment o Tourist arrivals had been steadily increasing from CY2011 until CY2014. The trend reversed in CY2015 when tourist arrivals dropped by 2.0 million arrivals to 25.7 million (CY2014: 27.4 million). Correspondingly, tourism revenue dropped from RM72.0 billion in CY2014 to RM69.1 billion
Slide 57: Hotel Segment (Cont'd)
Hotel Segment (Cont’d) o Business performance of Sunway Putra Hotel continued to improve following the completion of the refurbishment in December 2015. The average occupancy rates edged up to 58.3% in 3QFY2016 compared to 22.3% in 3QFY2015. The improvement in occupancy during the quarter was primar
Slide 58: Office Segment
Office Segment o The office supply in the Klang Valley has substantially increased over the years. The office stock stood at 108.87 million sq.ft. in 4QCY2015. The incoming supply in the Klang Valley between CY2016 and CY2018 is expected to contribute an additional 14 million sq.ft. of office space.
Slide 59: Office Segment (Cont'd)
Office Segment (Cont’d) o The average occupancy rate for Sunway Putra Tower was maintained at 26.6% for YTD 3QFY2016. The asset manager is currently exploring with several potential tenants to improve the vacancy. o Wisma Sunway maintained its average occupancy rate at 90.7% for YTD 3QFY2016. o Unde
Slide 60: 6. Investor Relations
6. Investor Relations Driving values through sustainable growth 60
Slide 61: Unit Price Performance - IPO to YTD 3Q2016
Unit Price Performance - IPO to YTD 3Q2016 Unit Price Performance of Sunway REIT versus Benchmarks (8 July 2010 – 31 March 2016) 120.0% TR/GPR/APREA Composite REIT Index Malaysia 100.0% 105.5% 80.0% 60.0% Sunway REIT 40.0% 77.8% 20.0% FBM KLCI 30.5% 0.0% Jun 2010 Jun 2011 Jun 2012 Jun 2013 Jun 2014
Slide 62: Unit Price Performance – Year-to-date 3Q2016
Unit Price Performance – Year-to-date 3Q2016 Unit Price Performance of Sunway REIT versus Benchmarks (30 June 2015 – 31 March 2016) TR/GPR/APREA Composite REIT Index Malaysia 15.0% 11.5% 10.0% Sunway REIT 5.0% 3.9% 0.0% FBM KLCI -5.0% 0.6% -10.0% -15.0% Jun 2015 Sep 2015 Dec 2015 Mar 2016 Performanc
Slide 63: Unitholders' Composition (as at 31 March 2016)
Unitholders’ Composition (as at 31 March 2016) Retail Foreign 11.2% 12.6% Sunway Berhad 37.3% Institutions & Corporate Domestic 51.5% 87.4% March 2016 December 2015 Q-o-Q Change No of unitholders 9,427 9,665 -238 (-2.5%) Retail unitholders 11.2% 11.4% -0.2% Foreign unitholders 12.6% 12.6% Unchanged
Slide 64: Comparative Yields for Various Assets
Comparative Yields for Various Assets 8.0% 7.0% 6.70%2 6.40%5 6.0% 5.501 5.0% 4.0% 3.83%3 3.31%4 3.25%3 3.0% 2.0% 1.0% 0.0% Sunway REIT M-REITs 10-Year MGS Fixed Deposit EPF Yield OPR Note: 1 Distribution yield based on consensus FY2016 DPU forecast of 8.8 sen and unit price as at 31 March 2016 (Sou
Slide 65: Thank You
THANK YOU Driving values through sustainable growth
Sunway Real Estate Investment Trust — Q3 FY2016 Earnings Presentation on 6ix