S P Setia Bhd. · MYX:SPSETIA
S P Setia Bhd — Investor Presentation (December 2010)
44 slides from S P Setia Bhd's investor presentation, December 2010
Slide 1: Corporate Presentation
Corporate Presentation December 2010
Slide 2: S P Setia Overview
2 S P SETIA Overview Leading residential property developer in Malaysia with commercial development & overseas expansion driving next growth phase Infrastructure & construction arm Wood-based manufacturing Incorporated in 1974, and listed on Bursa Malaysia on 12 April 1993 As at 31 October
Slide 3: Geographical Positioning
3 GEOGRAPHICAL POSITIONING • Northern Region • Setia Pearl Island • Setia Vista • Brook Residences • Setia Greens • Setia V Residences • Central Region • Setia Alam • Setia Eco Park • Setia Putrajaya • Setia Sky Residences • Setia Walk • Setia City • Kenny Hills Grande • KL Eco City • Southern Regio
Slide 4: Profit & Loss
4 PROFIT & LOSS -----------------Year Ended---------------- (RM million) 31.10.08^ 31.10.09 31.10.10 Revenue 1,471.4 1,408.4 1,745.9 Gross profit 380.8 304.3 425.8 Other operating income 13.9 17.4 16.7 Sales, Admin & general exp (133.1) (118.6) (194.3) Profit from operations 261.6 203.0 248.2 Profit
Slide 5: Balance Sheet
5 BALANCE SHEET -----------------Year Ended---------------- Key Items 31.10.08^ 31.10.09 31.10.10 No of Ordinary Shares^ 1,016.7 1,016.8 1,016.8 Share Capital (RM m) 762.5 762.6 762.6 Shareholders' Funds (RM m) 1,975.3 2,037.2 2,189.3 NA per share (RM) 1.94 2.00 2.15 Total Cash (RM m) 622.7 885.5 1,
Slide 6: FY2011 Sales as at 30 Nov 2010
6 FY2011 SALES AS AT 30 NOV 2010 Central Region Launched Units Sold Units Sales Value (RM m) Setia Alam 110 135 103 Setia Eco Park 68 25 59 Setia Sky Residences 0 10 11 Setia Walk 0 80 29 Sub-total Central Region 178 250 202 Southern Region Bukit Indah 167 70 26 Setia Indah 102 21 9 Setia Tropika 0
Slide 7: Progress Billings Status
7 PROGRESS BILLINGS STATUS Sales Progress Future Project Location Effective Secured^ Billings Progress (All figures in RM m) Stake @ 30.11.2010 @ 31.10.2010 Billings Central Region Setia Alam 100% 2,614 1,991 623 Setia Walk 100% 655 334 320 Setia Sky Residences 70% 228 51 177 Putrajaya 60% 1,004 981
Slide 8: Landbank
8 LANDBANK Landbank (acres) Land Cost Branding Project Central Region Total Undeveloped per sq ft Strategies Life Cycle Setia Alam 2,290 882 RM3.49 Setia Growth Setia Eco Park 798 354 RM8.00 Eco Growth Putrajaya - P15 275 135 Setia Matured Setia Sky Residences 6 3 RM300 Residences Growth Setia City
Slide 9: Estimated Landbank Value
9 ESTIMATED LANDBANK VALUE PROJECTS BY EST. TOTAL DEVELOPED REMAINING REGIONS GDV GDV GDV As at 31 Oct '10 RM billion RM billion RM billion Central Region 27.87 5.64 22.23 Southern Region 12.70 5.03 7.67 Northern Region 1.83 0.69 1.14 Eastern Region 1.50 0.00 1.50 International 5.15 0.08 5.07 Total
Slide 10: Opportunities in Malaysia
Builder of Distinction e Setia livelearnworkplay SP SETIA BHD GROUP Opportunities in Malaysia
Slide 11: Klang Valley Opportunities
11 KLANG VALLEY OPPORTUNITIES Townships with excellent connectivity, facilities & amenities enjoy consistently strong sales & significant price increases 11
Slide 12: Central Region
12 CENTRAL REGION Setia Walk Setia Alam Setia City Eco Park Setia Sky KL Eco City Residences Quick Facts Number of Total Klang Remaining Total Klang Remaining Active Klang Valley Klang Valley Valley GDV Klang Valley Valley Projects Landbank Landbank GDV* 10 3,587 acres 1,538 acres RM27.86bn RM22.03b
Slide 13: Central Region: Consistent Record-Breaking in Klang Valley
13 CENTRAL REGION Consistent Record-Breaking in Klang Valley Annual Sales (RM million) 1,536 1,600 1,400 71% growth in FY10 alone! 1,200 899 1,000 771 800 572 600 405 393 411 400 200 0 FY04 FY05 FY06 FY07 FY08 FY09 FY10
Slide 14: Setia Alam
14 SETIA ALAM Annual Sales Value FY10 sales has (RM m) 800 eclipsed previous full- RM770m 700 year high by 90% 600 500 RM405m 400 300 200 100 0 FY04 FY05 FY06 FY07 FY08 FY09 FY10 Price (RM) 700,000 RM588,000 600,000 500,000 400,000 300,000 200,000 Average annual sales of RM359m 20'x70' Double-Storey
Slide 15: Klang Valley Opportunities
15 KLANG VALLEY OPPORTUNITIES 24-hour gated & guarded enclaves with lifestyle offerings attract upgraders – enjoys strong sales & premium pricing Winner - Best Low-Rise Development Winner - Master Plan Award Development Award FIABCI Malaysia 2010 FIABCI Prix d’Excellence 2007
Slide 16: Eco Park
16 ECO PARK Annual Price (RM) RM1,750,000 Value Sales FY10 sales of RM396m has 1,800,000 (RM m) beaten previous full-year 1,600,000 500 record by 15% 1,400,000 400 1,200,000 1,000,000 300 800,000 200 600,000 400,000 41'x85' Double-Storey Semi-D 100 200,000 0 0 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY05
Slide 17: Klang Valley Opportunities
17 KLANG VALLEY OPPORTUNITIES ‘Affordably’ priced & sized units in central KL will be in high demand 17
Slide 18: Setia Sky Residences
18 SETIA SKY RESIDENCES ^Indicative pricing 1,200 Average Price (RM psf) 1,000 800 1,050 600 760 400 680 200 0 Phase 1A: Phase 1B: Phase 2A: Boheme Alia Celeste^ (Preview) Average 25% increase in price per square foot due to overwhelming demand for ‘bite-sized’ units in central KL 18
Slide 19: Johor Opportunities
19 JOHOR OPPORTUNITIES Products with attractive value propositions in terms of location, masterplan, amenities, design & pricing will be able to tap into the resilient demand pool 19
Slide 20: S P Setia's Johor Sales
20 S P SETIA’S JOHOR SALES No 1 in Johor Bahru in good & bad times Annual Sales (RM million) 700 RM607m 600 500 400 300 200 100 0 FY04 FY05 FY06 FY07 FY08 FY09 FY10
Slide 21: Southern Region
21 SOUTHERN REGION Bukit Indah Setia Eco Kaskadia Setia Eco Kaskadia Setia Indah Setia Tropika SINGAPORE Quick Facts Setia Eco Gardens Number of Total Remaining Total Remaining Active Johor Johor Johor Johor GDV Johor GDV* Projects Landbank Landbank 5 4,351 acres 1,240 acres RM12.7bn RM7.60bn *As at
Slide 22: Setia Eco Kaskadia
22 SETIA ECO KASKADIA Maiden launch targeted for end-FY2011 Land Area: 260 acres Land Cost: RM169m Products: Mixed Residential Setia Indah GDV: RM1.5bn
Slide 23: Penang Opportunities
23 PENANG OPPORTUNITIES Properties that suit local tastes will be well- received & enjoy significant price increases 23
Slide 24: Northern Region
24 NORTHERN REGION Brook Residences Setia V Residences Setia Pearl Island Setia Greens Quick Facts Number of Total Remaining Total Remaining Active Penang Penang Penang Penang Penang Projects Landbank Landbank GDV GDV* 5 167 acres 60 acres RM1.83bn RM1.12bn *As at 30 November 2010
Slide 25: Northern Region: Carving a Niche in Penang
25 NORTHERN REGION Carving a niche in Penang Annual Sales (RM million) 300 241 250 200 171 150 150 128 100 50 0 FY07 FY08 FY09 FY10
Slide 26: Northern Region New Projects in FY2011
26 NORTHERN REGION 3 New Projects in FY2011 Setia V Residences @ Gurney 2.0 acres GDV: RM170.0 million Setia Greens RM2.5 million per unit 29 acres GDV: RM300 million RM918,880 per unit onwards 11 Brook Residences 2 acres GDV: RM60 million RM5.8 million per unit
Slide 27: Stable Base from Residential Projects in Malaysia & Key Growth Drivers
Stable Base from Residential Projects in Malaysia & Key Growth Drivers
Slide 28: S P Setia's Stable Base
28 S P SETIA’S STABLE BASE Sales from M’sian residential projects provide resilient base to explore new growth drivers New Sales^ (RM million) Residential projects in Malaysia alone account 2,500 for average annual sales of RM1.3bn M'sia - Residential Others 2,000 1,500 1,000 500 0 FY04 FY05 FY06 FY
Slide 29: Commercial Range
29 COMMERCIAL RANGE % of Total Landbank of 3,429 acres Commercial, 200 acres, 6% Others, 3,229 acres, 94% % of Total Remaining GDV of RM38bn COMMERCIAL RANGE Commercial, CONCEPT: Integrated Commercial Hubs RM13bn, PRODUCT: Retail; Office & Residential 35% Others, LOCATION: Existing Townships & Estab
Slide 30: Commercial Range: Setia City
30 COMMERCIAL RANGE Setia City – The Hidden Gem Prime catalyst to sustain hard- won premium pricing 158-acre integrated green commercial city
Slide 31: Setia City, Shah Alam
31 Setia City, Shah Alam P2 SETIA CITY CONVENTION CENTRE TRANSPORT HUB HOTELS MEDICAL CENTRE CENTRAL PARK 31 We’ve only just begun ……..
Slide 32: Setia City Mall
32 SETIA CITY MALL Awareness campaign ongoing Parkson, GSC, Harvey Norman signed up as anchors; specialty leasing in progress - 60% of retail space already taken up Superstructure work in progress
Slide 33: KL EcoCity
33 KL ECOCITY Our Springboard to Drive Future Growth Residential Residential Residential Corporate Serviced Corporate Corporate Boutique Boutique Boutique Strata Mosque & Tower 3 Tower 2 Tower 1 Office Apartment Office Office Offices 1 Offices 2 Offices 3 Offices Multi‐Storey Tower 3 Tower Tower 1 T
Slide 34: KL EcoCity
34 KL ECOCITY Smart linkages throughout development & to Mid Valley City
Slide 35: International Expansion
35 INTERNATIONAL EXPANSION % of Total Landbank of 3,429 acres Int'l, 549 acres, 16% Others, 2,880 acres, 84% % of Total Remaining GDV of RM38bn Int'l, RM5bn, 13% INTERNATIONAL EXPANSION CONCEPT: Core Residential Development PRODUCT: Townships & Niche Residential Products LOCATION: Suburban & Central
Slide 36: South Vietnam
36 SOUTH VIETNAM Eco Lakes, Binh Duong Eco Xanh, D9, HCMC (Pending JVA) Eco Xuan, Binh Duong Quick Facts Number of Total Remaining Total Remaining Active Vietnam Vietnam Vietnam Vietnam GDV Vietnam GDV* Projects Landbank Landbank US$1.0bn US$1.0bn 3 585 acres 543 acres (RM3.6bn) (RM3.5bn) *As at 31
Slide 37: EcoXuan, Lai Thieu
37 ECOXUAN, LAI THIEU Measured Expansion into Vietnam Maiden Launch 1H FY2011 Macro conditions, undeveloped Row Houses, Semi-Ds & Villas from mortgage market limits rate of US$77k to US$338k per unit expansion into Vietnam (or US$46 to US$65 per square feet) Still good demand for affordable units in
Slide 38: EcoLakes, My Phuoc
38 ECOLAKES, MY PHUOC Runner Up - Master Plan Development Award FIABCI Prix d’Excellence 2010 Maintaining presence, enhancing project awareness & preparing ground-work for more significant launches once conditions improve First handover of 251 row houses to be held on 18 December 2010 Second handove
Slide 39: Hangzhou Project, China
39 HANGZHOU PROJECT, CHINA Pending Joint Venture Agreement Property market in China too big to ignore But finding good JV partner & conducting thorough due diligence is paramount Will continue to look for more opportunities in a prudent manner
Slide 40: Melbourne, Australia
40 MELBOURNE, AUSTRALIA Largest remaining undeveloped site in the central spine of Melbourne CBD Quick Facts Number of Total Remaining Total Remaining Active Australia Australia Australia Australia Australia Projects Landbank Landbank GDV GDV* Pending 1 acre 1 acre AUD$450m AUD$450m Approvals *As at
Slide 41: Fulton Lane, Melbourne
41 FULTON LANE, MELBOURNE Open for Registration Early 2011 Ideal CBD location & within walking distance to premier tertiary institutions Targeted marketing to select customers of S P Setia Group
Slide 42: Fulton Lane, Melbourne
42 Fulton Lane, Melbourne Est. GDV = AUD$450m (RM1.4bn) Est. Number of Units = 850
Slide 43: Conclusion
43 Conclusion 2011 to be an exciting year of growth for the Group RM1.8 billion progress billings c/f underpins earnings Target total Group sales of RM3.0 billion Target to secure more landbank to further expand business Key Areas of focus: - Townships - Integrated Commercial Developments
Slide 44: Thank You
44 livelearnworkplay Thank You @ Builder of Distinction Setia SP SETIA BHD GROUP