Berkeley Group Holdings plc · LSE:BKG
Berkeley — The Berkeley Group Holdings — FY2010 Earnings Presentation
24 slides from Berkeley's earnings presentation, Jun 25, 2010
Slide 1: Full Year Results Presentation
Full Year Results Presentation Year ended 30th April 2010 25th June 2010
Slide 2: Format of Presentation
Format of Presentation Chairman’s Introduction Tony Pidgley Review of Results Nick Simpkin Managing Director’s Review Rob Perrins Questions
Slide 3: Tony Pidgley, Chairman
TONY PIDGLEY CHAIRMAN The Berkeley Group Holdings plc
Slide 4: Nick Simpkin, Finance Director
NICK SIMPKIN FINANCE DIRECTOR
Slide 5: Review of Full Year Results
Review of Full Year Results • Summary of Performance • Summary of Financial Position • Group Income Statement • Abridged Group Cash Flow • Shares in Issue and Future Dilution • Abridged Group Balance Sheet • Inventories • Creditors • Land Holdings
Slide 6: Summary of Performance
Summary of Performance 12 months to 12 months to Apr 2010 Apr 2009 Change Operating profit £106.2m £124.8m - £18.6m - 14.9% Operating margin 17.3% 17.8% Profit before tax £110.3m £120.4m - £10.1m -8.4% EPS – Basic 60.0p 71.3p - 11.3p - 15.8% Weighted ave. no. of shares 132.8m 120.7m + 12.1m +10.0% C
Slide 7: Summary of Financial Position
Summary of Financial Position At 30 Apr At 30 Apr 2010 2009 Change Shareholders’ Funds £858.6m £801.3m + £57.3m + 7.2% Net Asset Value per Share 636.7p 615.4p + 21.3p + 3.5% Shares in issue 134.9m 130.2m + 4.7m + 3.6% Closing Net Cash £316.9m £284.8m + £32.1m Land Bank - Plots 28,099 30,044 - 1,945
Slide 8: Group Income Statement (1)
Group Income Statement (1) 12 Months to 12 Months to Apr 2010 Apr 2009 Change Volume/ASP: Homes completed 2,201 1,501 + 700 + 31.8% Average selling price £263k £395k - £132k - 33.4% £m £m £m Revenue: House-building 595.7 625.6 - 29.9 - 4.8% Land sales - 46.1 - 46.1 -100.0% Commercial 19.6 30.5 - 10.
Slide 9: Group Income Statement (2)
Group Income Statement (2) 12 Months to 12 Months to Apr 2010 Apr 2009 Change £m £m £m Revenue 615.3 702.2 - 86.9 - 12.4% Gross profit 166.4 27.0% 199.8 28.5% - 33.4 - 16.7% Overheads (60.2) 9.8% (75.0) 10.7% + 14.8 + 19.7% Operating profit 106.2 17.3% 124.8 17.8% - 18.6 - 14.9% Net finance income/(
Slide 10: Abridged Group Cash Flow
Abridged Group Cash Flow 12 Months to 12 Months to Apr 2010 Apr 2009 Change £m £m £m Profit before tax 110.3 120.4 (10.1) Increase in deposits and on account receipts 126.8 164.0 (37.2) Other working capital movements (145.7) (15.0) (130.7) Acquisition of Saad Berkeley joint ventures (17.7) - (17.7)
Slide 11: Shares in Issue and Future Dilution
Shares in Issue and Future Dilution Total EBT Net Cash Shares Shares Shares Cost m m m £m At 1 May 2009 130.9 (0.7) 130.2 - 2004(b) LTIP - Sep 09 awards 4.0 - 4.0 - Shares acquired - (1.7) (1.7) 12.8 2004(b) LTIP – Mar 10 awards - 2.4 2.4 12.6 At 30 April 2010 134.9 - 134.9 25.4 Outstanding Share Sc
Slide 12: Abridged Group Balance Sheet
Abridged Group Balance Sheet At 30 Apr At 30 Apr 2010 Movements 2009 £m £m £m Non-current assets - Intangible assets 17.2 (0.1) 17.3 - Investment in JV’s 26.0 3.5 22.5 - Deferred taxation 14.8 (23.1) 37.9 - PPE 9.7 6.0 3.7 Inventories 1,254.1 139.3 1,114.8 Debtors 57.7 6.7 51.0 Creditors (834.1) (10
Slide 13: Inventories
Inventories At 30 Apr Underlying JV Assets At 30 Apr 2010 Movements Acquired 2009 £m £m £m £m Land not under development 242.1 107.0 10.5 124.6 Work in progress: Land cost 499.0 (21.8) 14.7 506.1 741.1 85.2 25.2 630.7 Work in progress: Build cost 446.7 31.3 3.0 412.4 Completed units 66.3 (5.4) - 71.
Slide 14: Creditors
Creditors At 30 Apr At 30 Apr 2010 Movements 2009 £m £m £m Trade creditors and accruals 225.8 (7.6) 233.4 Deposits and on account receipts 461.6 126.8 334.8 Short-term land creditors 12.0 (6.6) 18.6 Short-term creditors 699.4 112.6 586.8 Current tax liability 82.9 (3.4) 86.3 Long-term land creditors
Slide 15: Land Holdings
Land Holdings At 30 Apr Variance At 30 Apr 2010 2009 Owned 27,094 + 3,522 23,572 Contracted 935 - 5,472 6,407 Agreed 70 +5 65 Plots * 28,099 - 1,945 30,044 Sales value £7,220m + £39m £7,181m Average selling price £257k + £18k £239k Average plot cost £36k + £3k £33k Land cost % 14.0% + 0.1% 13.9% Gro
Slide 16: Rob Perrins, Managing Director
ROB PERRINS MANAGING DIRECTOR
Slide 17: Next Generation
Next Generation NEXTGENERATION BENCHMARK 2009 The Berkeley Group Crest Nicholson Miller Homes N EXT Inspace Partnerships Barratt Developments Taylor Wimpey Crosby Lend Lease Galliford Try Countryside Properties Redrow Keepmoat Limited Persimmon Bellway Bovis Kier Residential Cala Group Gladedale Hol
Slide 18: New Land Acquired (1)
New Land Acquired (1) a, BBC Store, Acton ¢ Former BBC costume storage ¢ 1.03 acres ¢ Acquired: July 2009 e¢ Planning granted: March 2010 ¢« 700 room student accommodation ¢ Nomination agreement with University of Arts for 18 years
Slide 19: New Land Acquired (2)
New Land Acquired (2) Wimbledon ¢ Former Atkinson Morley neurological hospital ¢ 2.3 acres ¢ Acquired: March 2010 Circa 100 new homes
Slide 20: Johnson House
a Johnson House, gies ci: pes Es ef i =e SWI Chelsea Bridge Him ———— SagMBI Chelsea Hospital | ve } = , * Former Metropolitan s a = as a ce Police Residence — ——— nate ae itn S Si) Grosvenor Se a se Waterside Chelsea 5 sy ¢ 0.91 acres Barracks Fw Saisie = F Sloane Square Bee ¢ Acquired: August 2009
Slide 21: Charles House, Kensington
Charles House, Kensington ¢ High Street Kensington ¢ Former HMRC offices ¢ Developed by St Edward ¢ 3.4 acres Planning granted: July 2009 525 high quality apartments og ay | (mains pe Meeatlie} The Berkeley Group Holdings plc
Slide 22: Planning Consents (2)
cm Planning Consents (2) Butlers Court, Beaconsfield ¢ Former offices and warehouses ¢ Acquired: December 2007 ¢ Planning granted: November 2009 « 49 new homes
Slide 23: Vision: A Sustainable Business
VISION A SUSTAINABLE BUSINESS DELIVERING SUSTAINABLE RUNNING A SUSTAINABLE COMMUNITIES BUSINESS Ya : i| T ities ti Our vision for the future The Berkeley Group Holdings plc
Slide 24: Questions
Questions Tony Pidgley Chairman Rob Perrins Managing Director Nick Simpkin Finance Director
The Berkeley Group Holdings — FY2010 Earnings Presentation on 6ix