Yuzhou Group Holdings Co., Ltd. · HKEX:1628
Yuzhou — Yuzhou Properties Company — H1 2016 Earnings Presentation
36 slides from Yuzhou's earnings presentation, Aug 23, 2016
Slide 1: 2016 Interim Result Announcement
2016InterimResultAnnouncement 23August2016
Slide 2: About Presenters
ABOUT PRESENTERS Founder, Mr. LAM Lung On Chairman and Executive Director Mr. CAI Minghui Executive President Mr. Hui Chun Yip Chief Financial Officer and Company Secretary 2
Slide 3: Table of Contents
TABLE OF CONTENTS I. FINANCIAL HIGHLIGHTS II. BUSINESS REVIEW III. FUTURE PERSPECTIVES IV. APPENDIX 3
Slide 4: Spotlight of Yuzhou Properties (01628.HK)
Spotlight of YUZHOU PROPERTIES (01628. HK) A leading national property developer with headquarter in Shanghai, ranked 36th in Chinese Real Estate Listed Companies in 2016, Based in Yangtze River Delta, Lead West Strait and Expand Nationwide Coverage in China KEY FOCUS Six core cities, namely Sha
Slide 5: Financial Highlights
FINANCIAL HIGHLIGHTS 5
Slide 6: Highlights of 2016 Interim Results
HIGHLIGHTS OF 2016 INTERIM RESULTS FINANCIAL HIGHLIGHTS FOR THE 6 MONTHS ENDED 30 JUNE 2016 Compared with 1H2015 Contracted Sales: RMB12,872 million (+RMB7,136 million or +124%) Recognized revenue: RMB4,143 million (+ RMB641 million or +18%) Profit to owners of parent:RMB693 million (+ RMB51 m
Slide 7: 1H2016 Key Profit & Loss Items
1H2016 KEY PROFIT&LOSS ITEMS Revenue* Gross Profit RMB million RMB million Profit attributable to shareholder Core Profit RMB million RMB million 7
Slide 8: Segments Continue Growth Trend with More Diversification
SEGMENTS CONTINUE GROWTH TREND WITH MORE DIVERSIFICATION 100%=RMB 4,143 million 100%=RMB 3,502 million (RMB’000) 1H2016 1H2015 Change 0.1% 0.1% Sales of 4,018,658 3,418,051 +18% properties Rental income 51,115 31,347 +63% Property management fee 61,351 42,068 +46% income Hotel operation 9,712 7,455
Slide 9: Analysis on 1H2016 Recognized Property Sales
ANALYSIS ON 1H2016 RECOGNIZED PROPERTY SALES Recognized Property Sales* Recognized GFA & ASP RMB million GFA (sq.m.) ASP (RMB/sq.m.) Recognized Sales by City Recognized GFA by City % % * Net of Taxes 9
Slide 10: 1H2016 Key Balance Sheet Items
1H2016 KEY BALANCE SHEET ITEMS Cash Position Total Debt RMB million RMB million 23,507 20,083 Total Asset Total Equity RMB million RMB million 64,349 52,846 42,872 1H2015 FY2015 1H2016 10
Slide 11: 1H2016 Stable Financial Position
1H2016 STABLE FINANCIAL POSITION Net Gearing Ratio Debt Profile by Maturity % % Debt Profile by Currency Debt Profile by Type % % Total Debt = RMB23,507 million The weighted average funding cost was 6.32%. 11
Slide 12: Business Review
BUSINESS REVIEW 12
Slide 13: Snapshot of Land Bank
Saleable Average Land % of GFA No. of Cost saleable City (‘000 sq.m.) projects （RMB/sq.m.） GFA SNAPSHOT OF LAND BANK Bohai Rim Tianjin 326 2 1,061 3 Region 9.04 million sq.m. as at June 2016 Shanghai 926 9 5,875 10 Nanjing 517 6 9,286 6 Yangtze River Delta Hefei 2,735 11 2,562 30 Bengbu 586 1 660 7
Slide 14: 1H2016 Contracted Sales
1H2016 CONTRACTED SALES Contracted Sales # Project Interest in Contracted Contracted Contracted Project Sales As of Total GFA ASP (FY2014 vs. FY2015 vs. 1H2016) City % (RMB mn) (%) (sq.m.) (RMB/sq.m.) 1 Yuzhou Central Coast Xiamen 100% 160 1% 10,801 14,836 RMB million 2 Yuzhou Riverside City Town Xi
Slide 15: Monthly Contracted Sales in 2015 vs. 2016
MONTHLY CONTRACTED SALES IN 2015 vs. 2016 Monthly Contracted Sales ( Jan 2015 – Jun 2016) 2,962 15
Slide 16: 1H2016 Sell-through Rate Reached 78%
1H2016 SELL‐THROUGH RATE REACHED 78% The Average Sell‐through Rate is 78% % Quan City Xiamen Xiamen Xiamen Xiamen Fuzhou Fuzhou zhou Longyan Shanghai Shanghai Hefei Hefei Hefei Hefei Hefei Nanjing Bengbu Tianjin Total GFA Launched 12,322 40,039 58,580 95,597 76,995 59,914 57,373 74,411 54,162 31,804
Slide 17: Land Replenishment YTD2016
LAND REPLENISHMENT YTD2016 Total Land Average Land Date of Equity Site Area Saleable GFA City Project Type Methodology Cost Cost Acquisition Interest (sq.m.) (sq.m.) (RMB mn) (RMB/sq.m.) Jan 2016 Shanghai Resi Bidding and Auction 40% 41,262 90,776 2,630 28,972 Jan 2016 Nanjing Resi /Com Bidding and
Slide 18: Land Replenishment in 2015
LAND REPLENISHMENT IN 2015 Total Land Average Land Date of Equity Site Area Saleable City Project Type Methodology Cost Cost Acquisition Interest (sq.m.) GFA (sq.m.) (RMB mn) (RMB/sq.m.) Jan 2015 Xiamen Resi/Com Bidding and Auction 51% 70,109 305,160 2,740 8,979 July 2015 Hefei Resi/Retail Bidding a
Slide 19: 1H2016 Cash Flow Position
1H 2016 CASH FLOW POSITION (Unaudited) RMB Bn FY2015 1H2016 FY2016 RMB Bn (A) (A) (E) Cash on Hand (at the Cash on beginning) 9.78 11.95 11.95 Hand Cash Proceeds from 11.95 Contracted Sales 13.07 12.56 21.56 Rental, Management Rental, Management Fee & Other Income 0.32 0.29 0.57 Fee & Other Income 0
Slide 20: Future Perspectives
FUTURE PERSPECTIVES 20
Slide 21: Market Outlook
MARKET OUTLOOK Low interest rate environment and supportive credit policy driven the rapid release of pent‐up demand in the nationwide real estate market, especially in tier 1 and tier 2 cities 1H2016 Sales value and GFA of commodity residential housing sold in 1H2016 increased 44% and 29% respe
Slide 22: Our Strategies to Weather the Market
OUR STRATEGIES TO WEATHER THE MARKET Experienced Management Product and Pricing Flexibility Highly experienced management team with strong execution Diversify product mix to fulfill the user‐oriented demand, capabilities and deep industry insights better catered to current market Flexible mark
Slide 23: 2H2016: Detailed Launch Table
2H2016: DETAILED LAUNCH TABLE Planned Sales GFA As of Total # Project City Launch Type for 2H2016 (sq.m.) (%) 1 Yuzhou Central Coast Xiamen Existing 5,158 0% 2 Yuzhou Riverside City Town Xiamen Existing 139,279 9% 3 Yuzhou Lucca Town Xiamen Existing 65,710 4% 4 Chunjiang Central Xiamen Existing 32,5
Slide 24: 2H2016: Launch Breakdown
2H2016: LAUNCH BREAKDOWN By City (GFA) By Launch Type (Sales value) % 9 21 % 5 7 Xiamen 9 26 Xiamen Fuzhou 2 Fuzhou 5 Quanzhou Quanzhou Longyan Longyan Zhangzhou Zhangzhou 13 Shanghai 20 Shanghai Hefei Hefei 22 Bengbu 1 14 Bengbu Nanjing Nanjing 12 2 8 Tianjin 17 2 41 Tianjin By Project Type (GFA) B
Slide 25: Major Contributing Projects 2H2016
MAJOR CONTRIBUTING PROJECTS 2H2016 Nanjing Yuzhou The Jiqing Nanjing Lakeside (南京禹洲‧吉慶里) (南京濱湖里) At the intersection southern At one of the New City in old city area and Hexi New Binjing New Town with metro City with mature and good line 2 & 8 (under planning) supporting facilities connecting to
Slide 26: Good Regional Layout, Strengthen Competitiveness
GOOD REGIONAL LAYOUT, STRENGTHEN COMPETITIVENESS Focus on the Yangtze River Delta Region Maintain leading position in Hefei market, expanding into Tier 1 and 2 cities with great potential, Hefei, Shanghai, Nanjing and Hangzhou, Strengthen Double‐Engine Competitiveness Advantages Enjoy the benefit of
Slide 27: Appendix
APPENDIX 27
Slide 28: Xiamen Property Market Overview
XIAMEN PROPERTY MARKET OVERVIEW Residential Land Supply and Property Transactions in Xiamen '000 sq.m. RMB/sq.m. 8,000 30,000 7,000 6,743 23,231 6,055 20,535 24,33025,000 6,000 19,231 15,701 20,000 5,000 4,883 3,894 4,109 13,973 4,543 4,000 11,600 4,490 15,000 3,174 9,708 9,891 13,830 3,000 2,723 11
Slide 29: Fuzhou Property Market Overview
FUZHOU PROPERTY MARKET OVERVIEW Residential Land Supply and Property Transactions in Fuzhou '000 sq.m. RMB/sq.m. 4,500 18,204 20,000 4,261 16,372 16,552 4,000 14,910 3,623 14,231 14,188 3,500 15,000 3,159 3,000 2,764 12,741 2,577 11,942 3,023 15,188 2,500 2,905 2,524 2,410 7,590 7,557 8,164 10,000 2
Slide 30: Shanghai Property Market Overview
SHANGHAI PROPERTY MARKET OVERVIEW Residential Land Supply and Property Transactions in Shanghai '000 sq.m. RMB/sq.m. 40,000 34,957 40,000 35,000 34,809 32,001 35,000 27,212 30,000 30,000 24,177 21,728 22,278 22,502 25,000 23,421 25,000 20,128 20,000 17,941 16,151 16,039 11,460 19,68220,000 13,971 16
Slide 31: Hefei Property Market Overview
HEFEI PROPERTY MARKET OVERVIEW Residential Land Supply and Property Transactions in Hefei 25,000 ‘000sq.m. 12,000 21,566 RMB/sq.m. 20,000 18,847 9,990 10,000 17,387 8,500 8,236 8,000 15,000 6,259 6,986 7,190 13,884 10,684 6,007 6,351 10,256 9,531 9,619 6,000 7,754 8,900 9,403 8,439 10,765 11,624 9,1
Slide 32: Nanjing Property Market Overview
NANJING PROPERTY MARKET OVERVIEW Residential Land Supply and Property Transactions in Nanjing ‘000sq.m. RMB/sq.m. 18,000 17,482 20,000 15,570 16,000 15,140 17,321 14,000 12,791 13,116 12,109 11,391 12,075 11,651 12,787 15,000 12,000 9,417 13,521 10,232 12,305 9,882 10,000 10,688 10,775 10,929 9,841
Slide 33: Hangzhou Property Market Overview
HANGZHOU PROPERTY MARKET OVERVIEW ‘000sq.m. Residential Land Supply and Property Transactions in Hangzhou 16,000 20,000 13,529 12,867 16,596 14,000 16,663 15,484 14,581 12,000 15,878 15,000 8,903 9,571 10,000 8,197 8,663 14,169 8,000 6,903 7,167 6,746 10,000 6,000 8,402 5,021 7,210 7,486 6,219 4,000
Slide 34: 1H2016 Key Financials
1H2016 KEY FINANCIALS For the period ended 30 Jun 1H2016 1H2015 Change (%) Revenue (RMB’000) 4,143,316 3,501,771 +18% Gross Profit (RMB’000) 1,345,229 1,188,170 +13% Gross Profit Margin (%) 32.47% 33.93% ‐1.46pp Core Profit (RMB’000) 657,152 552,038 +19% Core Profit Margin (%) 15.86% 15.76% +0.1pp E
Slide 35: 1H2016 Key Financials
1H2016 KEY FINANCIALS (RMB’000) As at 30 Jun 2016 As at 31 Dec 2015 Change (%) Total current assets 53,177,436 44,738,520 +19% Total non‐current assets 11,171,911 8,107,338 +38% Total current liabilities 35,273,492 25,625,902 +38% Total non‐current liabilities 18,678,512 16,978,601 +10% Total equity
Slide 36: Disclaimer
DISCLAIMER These materials have been prepared by Yuzhou Properties Company Limited (the “Company”) solely for informational use during its presentation to current and/or prospective investors to provide an update on the business performance and development of the Company. No representation or warran
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