Far East Hospitality Trust · SGX:Q5T
Far East Hospitality Trust — FY2020 Earnings Presentation
26 slides from Far East Hospitality Trust's earnings presentation, Feb 11, 2021
Slide 1: 2H / FY 2020 Results Presentation
Cover 2H / FY 2020 Results Presentation 11 February 2021
Slide 2: Important Notice
Important Notice Information contained in this presentation is intended solely for your personal reference and is strictly confidential. The information and opinions in this presentation are subject to change without notice, its accuracy is not guaranteed and it may not contain all material informat
Slide 3: Contents
Contents ▪ Financial Highlights ▪ Portfolio Performance ▪ Corporate Governance Efforts ▪ Industry Outlook & Prospects 3
Slide 4: Financial Highlights
Financial Highlights HOSPITALITY [a] FAR EAST TRUST
Slide 5: Executive Summary for 2H 2020 – Performance vs LY
Executive Summary for 2H 2020 – Performance vs LY 2H 2020 2H 2019 Variance S$’000 S$’000 % Gross Revenue 38,984 59,821 (34.8) Hotels 25,938 41,624 (37.7) Serviced Residences (“SRs”) 6,092 7,221 (15.6) Commercial Premises 6,954 10,976 (36.6) Net Property Income 33,575 54,128 (38.0) Finance Expenses (
Slide 6: Executive Summary for FY 2020 – Performance vs LY
Executive Summary for FY 2020 – Performance vs LY FY 2020 FY 2019 Variance S$’000 S$’000 % Gross Revenue 83,254 115,546 (27.9) Hotels 54,438 79,986 (31.9) Serviced Residences 12,281 13,633 (9.9) Commercial Premises 16,535 21,927 (24.6) Net Property Income 72,179 104,314 (30.8) Finance Expenses (24,1
Slide 7: Capital Management
Capital Management As at 31 Dec 2020 Debt Maturity Profile (figures in S$ million) 238 225 Total Debt S$990.8m 210 161 157 Available revolving facility S$287.1m Aggregate Leverage 40.9% 2021 2022 2023 2024 2025 Unencumbered asset Interest Rate Profile 100% as % total asset Floating Proportion of fix
Slide 8: Portfolio Performance
Portfolio Performance =) FAR EAST | HOSPITALITY TRUST
Slide 9: Portfolio Performance 2H 2020 – Hotels
Portfolio Performance 2H 2020 – Hotels Average Occupancy Average Daily Rate (ADR) Revenue Per Available Room % $ $ (RevPAR) 92.5 200.0 100.0 89.5 +3.0pp 164 200 160.0 147 80.0 -57.9% 160 -56.5% 60.0 120.0 120 69 40.0 80.0 80 64 20.0 40.0 40 0.0 0.0 0 2H 2019 2H 2020 2H 2019 2H 2020 2H 2019 2H 2020 ▪
Slide 10: Portfolio Performance FY 2020 – Hotels
Portfolio Performance FY 2020 – Hotels Average Occupancy Average Daily Rate (ADR) Revenue Per Available Room % $ $ (RevPAR) 100.0 89.1 200 -4.0pp 85.1 200 160 80.0 160 -47.5% 160 142 -50.0% 60.0 120 120 84 40.0 71 80 80 20.0 40 40 0.0 0 0 FY 2019 FY 2020 FY 2019 FY 2020 FY 2019 FY 2020 ▪ Average occ
Slide 11: Portfolio Performance 2H 2020 – Serviced Residences
Portfolio Performance 2H 2020 – Serviced Residences Average Occupancy Average Daily Rate (ADR) Revenue Per Available Unit (RevPAU) % $ $ 100.0 -1.1pp 86.0 84.9 240 220 240 -18.2% 189 -19.0% 80.0 200 180 200 153 160 160 60.0 120 120 40.0 80 80 20.0 40 40 0.0 0 0 2H 2019 2H 2020 2H 2019 2H 2020 2H 201
Slide 12: Portfolio Performance FY 2020 – Serviced Residences
Portfolio Performance FY 2020 – Serviced Residences Average Occupancy Average Daily Rate (ADR) Revenue Per Available Unit (RevPAU) % $ $ 100.0 83.5 0.3pp 83.8 240 217 240 -12.4% 190 -12.6% 80.0 200 200 182 159 160 160 60.0 120 120 40.0 80 80 20.0 40 40 0.0 0 0 FY 2019 FY 2020 FY 2019 FY 2020 FY 2019
Slide 13: Breakdown of Gross Revenue – Total Portfolio
Breakdown of Gross Revenue – Total Portfolio FY 2019 FY 2020 Serviced Serviced Residences Residences 11.8% 14.8% 69.2% 65.4% 19.0% 19.8% Hotels Commercial Hotels Commercial 13
Slide 14: Market Segmentation FY 2020 – Hotels
Market Segmentation FY 2020 – Hotels Hotels (by Revenue) Hotels (by Region) 2.9% 1.5% Leisure/ 10.1% Independent 4.9% 37.0% SE Asia S Asia N Asia 12.5% Oceania 53.7% Others Corporate 63.0% Europe 14.4% N America ▪ The corporate segment contributed 63.0% to the overall hotel revenue comprising mainly
Slide 15: Market Segmentation FY 2020 – Serviced Residences
Market Segmentation FY 2020 – Serviced Residences Serviced Residences (by Revenue) Serviced Residences (by Industry) Leisure/ Independent Banking & 17.9% Finance, Others, 17.5% 29.7% Electronics & Manufacturing, 14.5% Logistics, Oil & Gas, FMCG, 3.2% 8.1% 10.2% Corporate Services, 82.1% 16.8% ▪ Reve
Slide 16: Corporate Governance Efforts
Corporate Governance Efforts
Slide 17: Aligning Interests with Stapled Securityholders
Aligning Interests with Stapled Securityholders Change Illustration on FY 2019 fee Base fee is reduced from 0.3% to 0.28% per annum of the value of the Reduction would have been approximately deposited property of Far East H-REIT. S$0.54 million or 6.7% Performance fee is reduced from 4.0% of the ne
Slide 18: Aligning Interests with Stapled Securityholders
Aligning Interests with Stapled Securityholders Singapore Governance and Transparency Index 2020 Governance Index for Trusts 2020 ▪ In August 2020, Far East H-Trust was ranked 4 out of 45 REITs and Business Trusts, on the Singapore Governance and Transparency Index (“SGTI”), improving on its 6th pos
Slide 19: Industry Outlook & Prospects
Industry Outlook & Prospects
Slide 20: Pace of vaccinations globally
Pace of vaccinations globally Number of vaccine doses administered ▪ Following Pfizer-BioNTech’s announcement that their vaccine achieved >90% efficacy, other vaccine candidates from Moderna and Sinovac have gotten regulatory approvals for use in various countries. ▪ As of 8 Feb 21, more than 90m do
Slide 21: Outlook & Prospects
Outlook & Prospects ▪ Global travel restrictions resulting from the pandemic continue to impact demand ▪ The Singapore hospitality industry will continue to be impacted by travel restrictions and concerns over the spread of COVID-19. Near-term business is expected to be supported by government contr
Slide 22: Outlook & Prospects
Outlook & Prospects ▪ Longer term plans for a recovery in place ▪ The Singapore Tourism Board (“STB”) started accepting applications for Meetings, Incentives, Conventions and Exhibitions (“MICE”) events of up to 250 attendees with safe distancing measures from 1 Oct 2020. ▪ Longer-term transformatio
Slide 23: Details of Distribution
Details of Distribution For Period From 1 July to 31 December 2020 Distribution per Stapled Security 1.38 cents Ex-Date 19 February 2021 Book Closure Date 22 February 2021 Distribution Payment Date 22 March 2021 23
Slide 24: Thank You
Thank You For more information please visit http://www.fehtrust.com
Slide 25: Far East H-Trust Asset Portfolio Overview
Far East H-Trust Asset Portfolio Overview Hotels Orchard Rendezvous Total / Village Hotel Village Hotel The Elizabeth Village Hotel Oasia The Oasia Hotel Rendezvous Hotel Weighted Albert Court Changi Hotel Bugis Hotel Novena Quincy Hotel Downtown Hotel Singapore Average Mid-tier / Mid-tier / Market
Slide 26: Far East H-Trust Asset Portfolio Overview
Far East H-Trust Asset Portfolio Overview Serviced Residences Village Residence Village Residence Village Residence Regency Total / Clarke Quay Hougang Robertson Quay House Weighted Average Market Segment Mid-tier Mid-tier Mid-tier Upscale NA 20 Havelock Road, 1 Hougang Street 91, 30 Robertson Quay,
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