Pt Mega Manunggal Property Tbk · IDX:MMLP
Pt Mega Manunggal Property Tbk — Q2 2021 Earnings Presentation
47 slides from Pt Mega Manunggal Property Tbk's earnings presentation, June 2021
Slide 1: PT Mega Manunggal Property Tbk June 2021
June 2021 June PT Mega2021 Manunggal Property Tbk PT. Mega Manunggal Property Tbk. 1
Slide 2: Disclaimer
Disclaimer The information contained in this presentation has been prepared by PT Mega Manunggal Property Tbk. (the “Company”) and is being furnished to you solely for your information and may not be reproduced or redistributed to any other person, in whole or in part in any manners or for any purpo
Slide 3: Presentation Agenda
Presentation Agenda Section Pages 1 Who we are 4 2 Growth strategy 15 3 Assets and Projects under Development 21 4 Growth opportunity 27 5 Key financial 37 6 Other financial info 43 3
Slide 4: Section 1: Who We Are
uf Jaringan Section | ection ep 2 ly Who We Are
Slide 5: Company At A Glance
Company At A Glance Overview Facilities Projects PT. Mega Manunggal Property Tbk - Facilities of PT. Mega Manunggal Currently MMP have 11 assets under management in “MMP”) is a warehouse provider that Property Tbk are developed with many different strategic locations: supports industrial property ne
Slide 6: Structure of PT Mega Manunggal Property Tbk
Structure of PT Mega Manunggal Property Tbk PT Mega Manunggal Property Tbk 99.50% 99.76% PT Intirub PT Mega Tridaya Properti 52.2% 28.8% 19.0% 99.40% 99.40% 55.00% 45.00% PT Mega Jaya PT Mega Cakrawala PT Mega Khatulistiwa Properti PT Indo Log One Lestari Properti Internusa Properti 99.99% 99.99% 99
Slide 7: Board of Directors
Board of Directors Hungkang Sutedja President Director Has been appointed as the Independent Director since 2020. He earned Bachelor of Finance degree from University of Missouri, Columbia, United States (1993). Currently he also serves a number of strategic positions in several other companies, Com
Slide 8: Company Milestone
Company Milestone Ground Breaking MP's Taiuns Warehnise Brot August 2010 MMP's Was Establish i Unilever OgTOBER 2010 Stert Construstion sf Unilever Wegs OC if Jaringan © Lokasi Ef Design WY Flexibility HY Security bg NOVEMGER 2019 Febuary 2020 Dorie za FEBRUARY 2018 AUBUST 2018 ‘SEPTEMBER 2018 Signi
Slide 9: Investment Consideration
Investment Consideration 1 Provider of high quality and international standard logistic properties 2 Proven track record in developing and delivering logistic properties 3 Solid business model that provides stable and recurring cash flow 4 Strategically located logistic properties in Indonesia 5 Div
Slide 10: Provider of high quality and international standard logistic properties
1. Provider of high quality and international standard logistic properties We are the first mover in provider of modern logistic property, focusing on developing, owning and operating logistic properties, with a focus in warehousing that specifically meet international standards Typical specificatio
Slide 11: Proven track record in developing and delivering logistic properties
2. Proven track record in developing and delivering logistic properties MMP has proven track record in acquiring land and developing logistic properties, which generally takes around 9 to 18 months to complete construction. Growth in NLA in the past years 650,000 99.9% 100.0% NLA 99.9% 99.6% 98.6% 9
Slide 12: Solid business model that provides stable and recurring cash flow
3. Solid business model that provides stable and recurring cash flow MMP focuses towards developing warehouse with size of 10.000 to 100.000 m2. Stable operating cash flow with greater upside potential from improving economy cycle, while at the same time sheltered against downside risks from eco
Slide 13: Strategically located logistic property in Indonesia
4. Strategically located logistic property in Indonesia Located in Java Island that is the centre for industries with the largest industrial estates in Indonesia Bangka Near centre of production and consumption Kaltim 3% Sulsel Sulten… Belitung 5% Sulsel Kaltim Sumbar Sumut 0% 2% 1% Jakarta, 2% Su
Slide 14: Diversified and strong client base
5. Diversified and strong client base Tenant profile of MMP’s logistic properties as of June 2021 Clients Logistic E- commerce 9% 10% 0.1% Automotive 33% 47% Manufacturing Manufacture Logistics E-commerce Trading Others 14
Slide 15: Section 2: Growth Strategy
uf Jaringan Section 2 B ct 0 n ful Hexiilty MMP & security vee Growth Strategy are
Slide 16: A strategy that focuses on three factors of success to reach scalable size
A strategy that focuses on three factors of success to reach scalable size Our strategy is simplified into three factors – funding, efficiency and volume. Timely ability to seek flexible funding structure and continues effort to reduce cost will maximize yield to cost. This will lead to greater prof
Slide 17: Focus in built to suit warehouse
Focus in built to suit warehouse Facts ✓ MMP has track record to complete complex construction ✓ Increase profitability ✓ Our capabilities to build high specification warehouses: ✓ Increase recurring revenue - Superflat floors - Double decker warehouse ✓ Results in higher margin since majority of th
Slide 18: Our corporate structure allows for flexible funding
Our corporate structure allows for flexible funding Our corporate structure allows for flexible funding structure. Partnership with largest logistic properties developers in the world would expedite the development of the properties and ensure that funding is met on timely basis. We have secured p
Slide 19: Continuous effort to cut costs amid aggressive capacity expansion
Continuous effort to cut costs amid aggressive capacity expansion We have successfully cut down our construction cost by 10% on recent development plan We set our yield to cost for at least of 9-10% Efficiency Our formula is to have land cost for 1/3 of total cost We strengthen our engineers
Slide 20: Continue to improve operating efficiency
Continue to improve operating efficiency Integrated IT platform Reducing cost ✓ Investing in operating system to release some of the ✓ Outsourcing to support our services including cleaning service, operational bottleneck and to improve our productivity parking etc. ✓ Implement a unified database fo
Slide 21: Section 3: Assets and Projects Under Development
Section 3 Assets and Projects Under Development 21
Slide 22: Location MMP's logistic properties and pipeline
Location MMP’s logistic properties and pipeline Tanjung Pr iok Seapor t Industr ial Estate Soek arno-Hatta Ex pansion Ar ea Int’ l Air por t Airport warehouse Pondok Ungu warehouse Intirub Business Park Halim PK Air por t MM2100 Jababeka LF Warehouse Delta Silicon Cibatu Warehouse Selayar Warehouse
Slide 23: Location MMP's logistic properties and pipeline
Location MMP’s logistic properties and pipeline MMP properties Tanjung Perak Port Juanda Air Port Toll Roads In Operation Under construction Planning In (Km) Manyar Warehouse Distance to Surabaya 31 Distance to Airport 52 Distance to Tanjung Perak Port 29 23
Slide 24: Projects Under Development
Projects Under Development Currently we have 3 (three) projects under construction for approximately 160,000 m2 NLA warehouses, including Osowilangun, Manyar (Phase I – operational), and Pondok Ungu projects. Location: Manyar, East Java Location : Pondok Ungu, Bekasi Location : Osowilangun, East Jav
Slide 25: Current pipelines on track to achieve our NLA targets
Current pipelines on track to achieve our NLA targets Inquiries that could lead our 600,000m2 NLA target to be achieved. Achieving this requires approximately Rp1.2 trn of capital expenditure. We undertake a strict and proper KYC process in selecting tenants as it is very essential to have good trac
Slide 26: Values created from existing assets
Values created from existing assets Existing operating assets generate high yield to cost • IP post 4 assets sale 4,051 3,588 2,967 2,984 2,852 2,553 2,368 2,385 2,155 1,787 1,607 848 2016 2017 2018 2019 2020 * Q2 2021 IP at cost IP at fair value 26
Slide 27: Section 4: Growth Opportunity
Section 4 Growth Opportunity 27
Slide 28: Evolution of the logistics sector
Evolution of the logistics sector ▪ The logistics sector in Indonesia remains nascent in comparison to other markets in the region, particularly compared to more mature markets such as Singapore and Australia. ▪ Notwithstanding this, the growth potential is huge and there are signs of a fundamental
Slide 29: Evolution of the logistics sector
Evolution of the logistics sector • The logistics sector has seen gradual development in recent times. • However, at present most supply chain operations remain largely inefficient. • Only in recent years has the market begun to evolve from the traditional ‘gudang’ style of warehouse to modern logis
Slide 30: Demand Situation
Demand Situation vanes ha 700,000 99% oe on 109% 3% 4 600,000 500,000 400,000 § 300,000 200,000 100,000 0 Occupied mVacant @Occupancy Rate | | | | | Almost half of the | modern warehouse ! space is occupied by | 3PLs | | | | (pS SS Due to the build to suit nature of the market, most warehouses are f
Slide 31: A nascent industry to enter
A nascent industry to enter Logistic cost as % of total GDP 26% 19% 14% 13% 9% 8% 9% 2016 2020 2035 Singapore Malaysia Japan South Korea 31
Slide 32: High logistic cost demand better infrastructures
High logistic cost demand better infrastructures “Besides the very high cost, logistic services in Indonesia are also bad like intervals in Indonesia for imported commodities requiring 5.5 days and transportation is also very costly” – The Indonesia Chamber of Commerce and Industry (Kadin) “Indonesi
Slide 33: Progress of Toll Road Projects
Progress of Toll Road Projects Non Trans Jawa 100 120 80 100 60 80 40 60 20 40 20 0 0 Cileunyi- Krian-Legundi- Pandaan- Balikpapan- Serang- Ciawi-Sukabumi Sumedang- Manado-Bitung AP Pettarani Bunder-Manyar Malang Samarinda Panimbang Dawuan 1 2 3 4 5 6 7 8 Km (RHS) 54 60.1 38.29 38.48 99.35 39 83.68
Slide 34: Progress of Toll Road Projects
Progress of Toll Road Projects No Jabodetabek Km (RHS) Land % Physical % 1 Cengkareng-Kunciran 11 63.96 52.52 2 Kunciran-Serpong 10.14 98.7 88.76 3 Serpong-Cinere 11.19 79.23 56.55 4 Cinere-Jagorawi 14.64 65.73 62.6 5 Cimanggis-Cibitung 26.5 70.45 10.47 6 Cibitung-Cilincing 32.76 76.63 48.07 7 Depok
Slide 35: Attractiveness of Greater Jakarta Connectivity and Established Infrastructures
Attractiveness of Greater Jakarta Connectivity and Established Infrastructures Toll Roads Railways Airports ▪ Greater Jakarta has been ▪ Greater Jakarta has integrated ▪ Jakarta is also supported by two connected by 18 toll roads with railways transportation, which major airports which located in le
Slide 36: Attractiveness of the locations - Connectivity
Attractiveness of the locations - Connectivity Currently, Gresik, Sidoarjo, and Surabaya are our expansion target Greater Surabaya Key Industry Served :FMCG, FnB, Electronic, Chemicals Tanjung Perak Port 6 Km 21 Km 22 Km Juanda air Port 35 Km In terms of land prices and availability, Gresik and Sido
Slide 37: Section 5: Key Financial
© Jaringan Section 5 ee ection wep 8 fot Key Financial
Slide 38: Solid revenues growth
Solid revenues growth MMP has successfully posted revenue Rp 192.3 bn by June 2021 supported by stable NLA growth and occupancy rate. Currently, our NLA stood at 450,827 sqm Development of NLA and Occupancy Rate 650,000 99.9% 100.0% 98.6% 95.0% 99.9% 99.6% 550,000 93.4% 90.0% 85.0% 87.4% 80.0% 450,0
Slide 39: Summary of profit and loss
Summary of profit and loss Aside from recurring income from leasing its own logistic properties, MMP also has recurring value creation from recognition over increase in fair value of investment properties. Each investment properties that have been completed will be measured at fair value. Summary of
Slide 40: Summary of Financial Position
Summary of Financial Position Investment properties that is measured in the fair value is the largest component of asset in the summary of financial position of MMP. From liability side, MMP is currently sourcing its financing from the equity, debt and bank loan. With strong value creation from inve
Slide 41: Summary of financial position
Summary of financial position Revenues, Rp bn EBITDA, Rp bn 334.0 336.8 300.0 299.2 249.5 250.0 220.2 216.1 208.8 193.3 200.0 175.3 151.4 154.0 150.0 120.8 111.9 100.0 50.0 - 2016 2017 2018 2019 2020 Q2'20 Q2' 21 2016 2018 2019 2020 Q2'20 Q2' 21 Equity, Rp bn Gross Capital Expenditure, Rp bn 7,000 5
Slide 42: Key performance matrix
Key performance matrix 2015 2016 2017 2018 2019 2020 Q2 21 Net Leasable Area, m2 Built to suit 117,520 117,520 185,355 185,355 223,084 252,287 252,287 Multi tenants 52,011 46,391 45,015 115,325 116,917 198,540 198,540 Total, m2 163,911 163,911 230,370 300,680 340,001 450,827 450,827 Operational metr
Slide 43: Section 6: Other Financial Info
Section 6 Other Financial Info 43
Slide 44: Audited Balance Sheet
Audited Balance Sheet Rp mn 2016 2017 2018 2019 2020 Q2'21 % YTD Cash and Equivalents 104,683 201,516 152,175 129,320 1,252,298 760,904 -39.2% Other current assets 92,962 189,163 245,981 438,046 376,235 373,063 -0.8% Property & equipment 13,342 12,327 11,917 8,213 2,251 1,716 -23.7% Investment prope
Slide 45: Audited Profit and Loss Statement
Audited Profit and Loss Statement Rp mn 2016 2017 2018 2019 2020 Q2' 20* Q2'21* % Y/Y Revenue 175,320 208,794 299,234 333,987 336,777 193,271 154,017 -20.3% Cost of revenue 18,444 20,146 25,396 28,566 27,385 13,171 12,961 -1.6% Gross profit 156,875 188,648 273,838 305,421 309,392 180,100 141,056 -21
Slide 46: Audited Cashflow
Audited Cashflow Rp mn 2016 2017 2018 2019 2020 Q2'20* Q2'21* % Y/Y Cash flow from operating activities Cash Receipt from Customer 221,769 226,867 348,340 416,183 277,298 233,907 221,378 -5% Payment to Supplier and Operating - 90,742 - 174,166 - 126,417 - 174,279 - 111,377 - 88,463 - 114,350 29% exp
Slide 47: Thank you
Thank you visit us: www.mmproperty.com mail to: info@mmproperty.com 47
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