K. Wah International Holdings Limited · HKEX:173
K. Wah International — H1 2014 Earnings Presentation
42 slides from K. Wah International's earnings presentation, Aug 25, 2014
Slide 1: 2014 Interim Results
Hong Kong Stock Code 0173 2014 Interim Results 25 August 2014 1www.kwih.com
Slide 2: Table of Contents
Table of Contents 1. Financial Highlights 2. Key Contributors in 1H 2014 3. Disciplined Land Bank Replenishment with Expanding Portfolio 4. Visible Pipeline of Quality Projects 5. Strategy and Outlook Grand Summit, Shanghai Disclaimer: Some information contained in this presentation has been obtaine
Slide 3: 1. Financial Highlights
The Palace, Shanghai 1. Financial Highlights 3
Slide 4: Commitment to Stable Dividend Distribution
Commitment to Stable Dividend Distribution For the six months ended 30 Jun (HK$ million) 2014 2013 Revenue 750 3,305 Attributable Revenue* 957 3,627 Gross Profit 374 1,981 Profit Attributable to Equity Holders 214 888 Basic EPS (HK cents) 7.9 33.6 Interim Dividend (HK cents) 5 5 * Attributable Reven
Slide 5: Solid Financial Position with Satisfactory Gearing Ratio
Solid Financial Position with Satisfactory Gearing Ratio As at 30 Jun As at 31 Dec (HK$ million) 2014 2013 Total Assets 47,497 44,650 Cash and Cash Equivalents(1) 4,790 5,624 Total Debts 14,850 9,598 Shareholders’ Funds 26,458 27,619 NAV per Share (HK$) 9.7 10.2 Gearing Ratio(2) 36% 14% Remarks: 1)
Slide 6: Creating Value for Shareholders: NAV per Share More Than Doubled from 2009
Creating Value for Shareholders: NAV per Share More Than Doubled from 2009 12 10 8 NAV per share (HK$) 6 4 2 0 2009 2010 2011 2012 2013 1H2014 NAV per share CAGR growth of 25% from 2009 to 1H2014 KWIH will be included as a constituent stock in the Hang Seng Composite MidCap Index effective 8 Sep
Slide 7: Successful Financing with Low Interest Rate and Longer Maturity
Successful Financing with Low Interest Rate and Longer Maturity Concluded a 5-year and 4-year syndicated loan totalling HK$3,980 million in March 2014 Issued HK$450 million 7-year Fixed Rate Notes under MTN programme through private placements in March 2014, extending the maturity of debt profil
Slide 8: 2. Key Contributors in 1H 2014
Mayfair by the Sea I, Hong Kong 2. Key Contributors in 1H 2014 8
Slide 9: Quality Projects with Satisfactory Sales
Quality Projects with Satisfactory Sales Attributable revenue in 1H2014* : HK$957 million Contributing Projects HK Marinella SH The Palace SH Upstream Park 香港深灣9號 上海嘉御庭 上海嘉怡水岸 GZ J Metropolis GZ Le Palais JM The Summit 廣州嘉滙城 廣州嘉爵園 江門嘉峰滙 * Attributable revenue comprises the revenue of the Group and c
Slide 10: Stable Recurring Income
Stable Recurring Income Generating total attributable revenue of HK$198 million in 1H2014 Shanghai K. Wah Centre J SENSES*, Hong Kong Huadu Jiahua Plaza Grade A office building strategically An exquisite and exotic dining and entertainment An integrated development in located in Xuhui District, a ce
Slide 11: 3. Disciplined Land Bank Replenishment with Expanding Portfolio
Silver Cove, Dongguan 3. Disciplined Land Bank Replenishment with Expanding Portfolio 11
Slide 12: Acquired 9 Plots in Hong Kong & Mainland China in the Past Two Years
Acquired 9 Plots in Hong Kong & Mainland China in the Past Two Years Land Area Total GFA Group’s Period Site Land Premium (sqm) (sqm) Interest Hong Kong Kai Tak Area 1I Site 2, Kowloon 9,313 51,000 HK$2,939 million 100% 1H (HK$5,330 per sqft) 2014 Pearl River Delta Silver Cove, Shilong Town, Donggua
Slide 13: 4. Visible Pipeline of Quality Projects
Huadu Jiahua Plaza Phase 2, Guangzhou 4. Visible Pipeline of Quality Projects 13
Slide 14: More Than 20 Projects Principally Spanning First-tier Cities
More Than 20 Projects Principally Spanning First-tier Cities Attributable GFA 1.8 million sqm* Mostly in first-tier cities such as HK, Shanghai and Guangzhou Nanjing Shanghai Silver Cove, Shilong Town, Dongguan, (Lot 2014WG003), acquired in 1H2014 Kai Tak Area 1I Site 2, Kowloon, Guangzhou acquired
Slide 15: Projects Well Underway with Enhanced Asset Turn
Projects Well Underway with Enhanced Asset Turn More than 20 projects in Hong Kong and Mainland China are well underway with enhanced asset turn Year of launch Project Group’s Target KWIH’s Development Properties Portfolio Total GFA 2H2014 2015 2016 or beyond Interest completion (sqm) Marinella Laun
Slide 16: Projects Well Underway with Enhanced Asset Turn
Projects Well Underway with Enhanced Asset Turn More than 20 projects in Hong Kong and Mainland China are well underway with enhanced asset turn Year of launch Project Group’s Target KWIH’s Development Properties Portfolio 2016 or Total GFA 2H2014 2015 Interest completion beyond (sqm) Grand Summit,
Slide 17: Projects in Hong Kong
Projects in Hong Kong 7 Marinella 1 深灣9號 Chantilly 2 肇輝臺6號 J SENSES, Wanchai 3 灣仔嘉薈軒商場 30 Po Shan Road, Mid-Levels 4 半山寶珊道30號 Tseung Kwan O Town Lots Nos.115 & 117 5 將軍澳市地段115及117號 2 Grampian Road, Kowloon 6 九龍嘉林邊道2號 Providence Bay, Providence Peak and Mayfair by the Sea I 7 天賦海灣，溋玥．天賦海灣及逸瓏灣 I Yuen
Slide 18: Projects in Yangtze River Delta
Projects in Yangtze River Delta 1 The Palace, Xuhui District 5 Windermere, Qingpu District 徐滙區嘉御庭 青浦區嘉濤灣 2 Upstream Park, Minhang District 6 Weifang Village Street, Pudong 閔行區嘉怡水岸 District, Pudong 浦東區濰坊新村街道 3 Shanghai K. Wah Centre 7 Lot 19-04, Puxing, Pudong District, 上海嘉華中心 Pudong 浦東區浦興地段19-04號 18
Slide 19: Projects in Pearl River Delta
1 Le Palais, Huadu Projects in Pearl River Delta 花都嘉爵園 2 Huadu Jiahua Plaza 花都嘉華廣場 3 J Metropolis, Huadu Mega Integrated Project 嘉滙城 (花都新華鎮超大型國際社區) 4 The Summit, Jiangmen 江門嘉峰滙 5 Silver Cove, Shilong Town, Dongguan 東莞石龍鎮星際灣 19
Slide 20: Superior Projects Poised for Launch
Grand Summit, Shanghai Superior Projects Poised for Launch 20
Slide 21: Mayfair by the Sea I – Hong Kong
Mayfair by the Sea I 逸瓏灣 I – Hong Kong Luxurious oceanfront residence along Tolo Harbour GFA 67,000 sqm (15% owned) No. of Units 546 Unit Size 556 - 3,649 sq ft Status Under construction % Sold Around 65% Progress as of May 2014 21
Slide 22: Grand Summit – Shanghai
Grand Summit 嘉天滙 – Shanghai Contemporary luxury residential development in Jingan District GFA 100,000 sqm* (100% owned) No. of Units 387 Unit Size 169 - 662 sqm Status Under construction Target Launch 2H2014 Progress as of Feb 2014 Preparation for marketing of serviced apartments is expected to b
Slide 23: J Metropolis Phases 2 and 3 – Guangzhou
J Metropolis Phases 2 and 3 嘉滙城第二、三期 – Guangzhou Phases 2 and 3 of a large-scale integrated community in Huadu Ph 2: 70,000 sqm GFA Ph 3: 70,000 sqm (99.9% owned) No. of Ph 2: 600 Units Ph 3: 685 Unit Size 84 - 220 sqm Status Under construction Target Phase 2: 2H2014 Launch Phase 3: 2015 Phase 2 pro
Slide 24: Silver Cove – Dongguan
Silver Cove 星際灣 – Dongguan Luxurious riverview residence along Dongjiang River 236,210 sqm (99% owned) GFA Plot 1: 202,000 sqm Plot 2: 34,210 sqm Plot 1: 1,547 No. of Units Plot 2: 328 Unit size 89 - 240 sqm Plot 1: under construction Status Plot 2: planning Target Plot 1: 2H2014 Launch Plot 2: 2016
Slide 25: Continuing to Market Quality Existing Projects
Chantilly, Hong Kong Continuing to Market Quality Existing Projects 25
Slide 26: Marinella – Hong Kong
Marinella 深灣9號 – Hong Kong Luxurious seaview residence in Island South 69,300 sqm GFA (35% owned) No. of Units 411 % Sold Over 90% Unit Size 596 - 3,622 sq ft Status Completed 26
Slide 27: Chantilly – Hong Kong
Chantilly 肇輝臺6號 – Hong Kong Luxury residential enjoying panoramic racecourse view on Stubbs Road GFA 8,100 sqm (100% owned) No. of Units 24 % Sold Over 20% Unit Size 2,800 sq ft Status Completed 27
Slide 28: Providence Bay and Providence Peak – Hong Kong
Providence Bay 天賦海灣 and Providence Peak 溋玥‧天賦海灣 – Hong Kong Luxurious oceanfront residence along Tolo Harbour GFA 78,400 sqm (15% owned) GFA 83,600 sqm (25% owned) No. of Units 482 No. of Units 548 % Sold Around 60% % Sold Over 75% Unit Size 613 - 3,680 sq ft Unit Size 620 - 2,982 sq ft Status Compl
Slide 29: The Palace Phase 1 – Shanghai
The Palace Phase 1 嘉御庭第一期 – Shanghai Luxury residential with high-class commercial facilities in Xuhui District 36,000 sqm GFA (100% owned) No. of Units 198 % Sold Over 90% Unit Size 138 - 318 sqm Status Completed 29
Slide 30: Upstream Park – Shanghai
Upstream Park 嘉怡水岸 – Shanghai Integrated residential and commercial complex in Minhang District 172,000 sqm GFA (100% owned) No. of Units 1,424 % Sold Over 90% Unit Size 77 - 200 sqm Status Completed 30
Slide 31: Le Palais – Guangzhou
Le Palais 嘉爵園 – Guangzhou Residential development in Huadu 46,000 sqm GFA (100% owned) No. of Units 303 % Sold Around 60% Unit Size 110 - 330 sqm Status Completed Progress as of July 2012 31
Slide 32: J Metropolis Phase 1 – Guangzhou
J Metropolis Phase 1 嘉滙城第一期 – Guangzhou Phase 1 of a large-scale integrated community in Huadu 73,000 sqm GFA (99.9% owned) No. of Units 564 % sold Around 80% Unit Size 89 - 180 sqm Status Completed 32
Slide 33: The Summit – Jiangmen
The Summit 嘉峰滙 – Jiangmen Premium residential in downtown Jiangmen 35,000 sqm GFA (100% owned) No. of Units 327 % Sold Over 70% Unit Size 79 - 133 sqm Status Completed 33
Slide 34: Sustaining Momentum with a Premium Landbank
The Palace Phase 2, Shanghai Sustaining Momentum with a Premium Landbank 34
Slide 35: Tseung Kwan O, Yuen Long and Kai Tak Sites – Hong Kong
Tseung Kwan O Town Lots Nos. 115 & 117, Yuen Long Town Lot No. 513 and Kai Tak Area 1I Site 2, Kowloon – Hong Kong Tseung Kwan O Town Lots Nos. 115 & 117 - Premium residential in East Kowloon Plot Tseung Kwan O Town Lot No. 115 Tseung Kwan O Town Lot No. 117 GFA 28,000 sqm (100% owned) 45,000 sqm (4
Slide 36: 2 Grampian Road and 30 Po Shan Road – Hong Kong
2 Grampian Road, Kowloon and 30 Po Shan Road, Mid-Levels – Hong Kong 2 Grampian Road, Kowloon 30 Po Shan Road, Mid-Levels Quality residential in downtown Kowloon Premium residential on Mid-Levels GFA 3,200 sqm (100% owned) GFA 3,700 sqm (50% owned) Status Planning Status Planning Target Launch 2016
Slide 37: Windermere and The Palace Phase 2
Windermere 嘉濤灣 and The Palace Phase 2 嘉御庭第二期 Windermere, Shanghai The Palace Phase 2, Shanghai Low-rise residential with shopping and commercial Luxury residential with high-class commercial facilities in Zhujiajiao facilities in Xuhui District GFA 69,000 sqm (100% owned) GFA 104,000 sqm* (100% owne
Slide 38: Weifang Village, Lot 19-04 Pudong and Maigao Qiao Nanjing
Site 7-7,Unit E18, Weifang Village Street, Pudong District, Lot 19-04, Puxing, Pudong District – Shanghai and Site G68, Maigao Qiao, Qixia District – Nanjing Site 7-7,Unit E18, Weifang Village Street, Pudong District, Shanghai Luxury residential conveniently connecting to CBD GFA 14,200 sqm (100% ow
Slide 39: Huadu Jiahua Plaza – Guangzhou
Huadu Jiahua Plaza 花都嘉華廣場 – Guangzhou Integrated development with residential and commercial 269,000 sqm (100% owned) Phase 1: 42,000 sqm GFA Phase 2: 99,000 sqm Phase 3: 128,000 sqm Phase 1: completed Status Phase 2: under construction Phase 3: planning No. of Units Phase 2: 778 Target Phase 2: 201
Slide 40: 5. Strategy and Outlook
Upstream Park, Shanghai 5. Strategy and Outlook 40
Slide 41: Solid Foundation for Long-term Sustainability
Solid Foundation for Long-term Sustainability Focused strategy on developing niche high quality residential projects principally in Hong Kong, Shanghai and Guangzhou Quality assets consisting of projects in first-tier cities and stake in Galaxy Entertainment Group High visibility of pipeline p
Slide 42: Thank You!
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