Slide 1: Investor Presentation
Presentation2 Agenda (incorporated in Bermuda with limited liability) Stock Code: 1098 Page Investor Presentation August 2016 [CLIENT NAME]
Slide 2: Disclaimer
Disclaimer This presentation is strictly confidential and may not be copied, published, distributed or transmitted to any person, in whole or in part, by any medium or in any form for any purpose. The information in this presentation is provided by Road King Infrastructure Limited (the “Company”) an
Slide 3: A Developer and Operator with Healthy, Sustainable Growth
A Developer and Operator with Healthy , Sustainable Growth Business overview and updates Q&A RK Shanghai Villa in Shanghai RK Hong Kong Times in Suzhou Tangjin Expressway in Hebei Top Foreign-owned Property Developer in China 2
Slide 4: Corporate milestones
Corporate milestones Ranked 37th of the “Chinese Entrepreneur Top 500” by Tai Kung Pao and Global Chinese 2013-16 Entrepreneur 2009 Consistently ranked 1st Foreign-owned Property Commenced first property development … Developer in China by project Chinese Real Estate 2007 Research Association … Sele
Slide 5: Business overview
Business overview Property development business Progressive Record high contracted sales in 1H2016 growth in Focusing on Yangtze River Delta and Bohai Rim property regions, with over 30 saleable projects development business Concentrating in mass market such as first-time home buyers and upgra
Slide 6: Sustainable growth in property development business
Sustainable growth in property development business Solid pipeline with progressive growth and visibility - Achieved record high contracted sales of RMB9.1bn in 1H2016 Bohai Rim - Total land reserve of 5.5mm1 sqm supporting 3 – 4 years development Projects: 7 GFA: 1.7mm sqm Strategically located lan
Slide 7: Contracted sales
Contracted sales Contracted sales (RMB mm) Sales breakdown by region1 10,408 9,404 9,059 Others 6% Yangtze River 5,108 Delta 4,133 56% Bohai Rim 38% 2014 2015 1H2014 1H2015 1H2016 ASP (RMB/sqm) Contracted sales and ASP increased 13,500 by 77% and 31% respectively to 11,000 10,700 10,300 9,900 RMB9.
Slide 8: Proven track record of strong property business performance
Proven track record of strong property business performance Revenue (HK$ mm) Revenue breakdown by region2 Others 12,730 7% 11,456 12,510 Bohai Rim 6% Yangtze River Delta 4,390 4,352 87% 2013 2014 2015 1H2015 1H2016 Operating profit1 (HK$ mm) Recorded revenue of HK$4.4bn in 1H2016 1,174 1,158 Opera
Slide 9: Land reserve
Land reserve Others Others 12% 12% Dec Jun Yangtze 2015 Yangtze 2016 River Delta River Delta 57% Bohai Rim 61% Bohai Rim 27% 31% Total land reserve: 5.4mm sqm Total land reserve: 5.5mm sqm As of 30 June 2016, property asset portfolio amounted to approximately HK$35.2 billion, comprising a land res
Slide 10: Maintain and further optimize our toll road business
Maintain and further optimize our toll road business Cash received from toll road (HK$ mm) Share of toll road profit (HK$ mm) 530 515 250 157 158 271 250 243 85 86 2014 2015 1H2014 1H2015 1H2016 2014 2015 1H2014 1H2015 1H2016 Average daily traffic volume of existing toll roads (‘000 vehicles) Recur
Slide 11: Stable leverage and diversified funding platform
Stable leverage and diversified funding platform Net debt / Net capitalization1 Total debt / EBITDA2 3.6x 3.6x 44% 3.4x 42% 42% 38% 33% 2013 2014 2015 1H2015 1H2016 2013 2014 2015 Type of borrowings3 Bonds Stable leverage level – net debt/ net 35% capitalization remained ~40% and Onshore bank reduc
Slide 12: Outlook
Outlook Maintain progressive revenue growth of 20-30% Further strengthen the resilience against the risks on exchange rate and financial markets fluctuations Enhance cooperation with business partners to capture better development opportunities - Ping An Real Estate (平安不動產) - Hebei Construction & In
Slide 13: Questions & Answers
A Developer and Operator with Sustainable and Healthy Growth Questions & Answers RK Shanghai Style in Shanghai RK J•o•Y Heights in Guangzhou Machao Expressway in Anhui Top Foreign-owned Property Developer in China 12
Slide 14: Appendix: Financial Highlights
Appendix: Financial Highlights (HK$ mm) FY2015 FY2014 1H2016 1H2015 Revenue 12,510 12,730 4,352 4,390 Gross profit 2,883 3,334 935 993 Gross profit margin 23% 26% 21% 23% Profit attributable to 820 1,005 218 228 owners of the Company EBITDA1 3,732 4,160 1,348 1,461 Basic earnings per share 1.11 1.37
Slide 15: Appendix: Financial Highlights
Appendix: Financial Highlights (HK$ mm) FY2015 FY2014 1H2016 Total cash1 3,314 4,047 6,487 Total debt2 13,450 14,389 15,096 Gross gearing ratio3 96% 102% 109% Net gearing ratio4 73% 74% 62% Total debt / Total capitalization5 49% 51% 52% Net debt/ Net capitalization6 42% 42% 38% Total debt / EBITDA 3
Slide 16: Appendix: Property Business – Land reserve
Appendix: Property Business – Land reserve Bohai Rim Region Province No. of projects GFA Pan-Beijing* 2 802,000 Tianjin 2 567,000 Shandong 3 330,000 Yangtze River Delta Total 7 1,699,000 Province No. of projects GFA Shanghai 5 436,000 * Including Longfang city Jiangsu 13 2,709,000 Total 18 3,145,000
Slide 17: Appendix: Toll Road Business - Expressways portfolio
Appendix: Toll Road Business - Expressways portfolio Shanxi Hebei Longcheng Expressway Baojin Expressway Length: 72km Length: 105km Fund invested: RMB660mm Fund invested: RMB960mm Road King’s interest: 45% Road King’s interest: 40% Tangjin Expressway Length: 58km Fund invested: RMB799mm Road King’s