SM Investments Corporation · PSE:SM
SM Investments — 9M 2020 Earnings Presentation
10 slides from SM Investments's earnings presentation, Nov 4, 2020
Slide 1: 9M 2020 Earnings Report
9M 2020 Earnings Report 4 November 2020, 2PM
Slide 2: SMIC 9M 2020 Consolidated Results
SMIC 9M 2020 Consolidated Results ▪ Q3 revenues improved 36% on Q2 ▪ Earnings reflect upfront and prudent bank provisions ▪ Conservative gearing maintained SM Investments 9M 2020 Chg Revenues 286.7 -18% Earnings 15.2 -54% Assets* 1,168.0 2% Net Debt:Total Equity 38 : 62 Figures in PHP B except perce
Slide 3: Net Income Mix
Net Income Mix ▪ Banking and Property continue to lead earnings 41% 50% 9% Property Retail Banking Note: Excludes SMIC Parent and other subsidiaries SM Investments Corporation 2
Slide 4: Banking – BDO
Banking – BDO BDO Banking 9M 2020 Chg Net Income 16.6 -48% ▪ BDO’s core businesses Net Interest Inc. 99.8 13% regaining momentum Other Income 36.8 -17% ▪ Net Income impacted by P23.8b provisions Loans 2,202.8 6% booked in anticipation of Deposits 2,574.6 7% potential delinquencies NIM 4.4% ▪ Asset q
Slide 5: Banking – China Bank
Banking – China Bank CHIB Banking 9M 2020 Chg Net Income 8.2 23% ▪ China Bank delivered Net Interest Inc. 24.9 35% positive earnings growth Other Income 7.0 35% ▪ Cost-to-income ratio 51% Loans 594.9 6% ▪ Prudent provisions of P6.3b increased 12x on Deposits 826.8 6% last year NIM 3.9% ▪ Strong bala
Slide 6: Retail
Retail ▪ Non-Food quarter-on-quarter revenue recovery ▪ Food revenue growth and earnings expansion ▪ All formats continuing to adapt to new customer needs Q-on-Q SM Retail Revenue Chg NI Chg Revenue NI Total Retail 216.3 -15% 2.2 -73% 33% 343% SM Store 33.2 -56% -2.0 -224% 109% 60% Specialty 37.9 -4
Slide 7: Property
Property ▪ Malls continues to provide rental assistance to tenants ▪ Residential revenue growth remains positive ▪ Major operating expense reductions implemented in Q3 SM Prime 9M 2020 Chg Revenues 60.7 -29% Earnings 14.4 -48% Philippine Mall Revenue 18.3 -57% Residential Revenue 34.2 7% Residential
Slide 8: Digital Channels
Digital Channels ▪ The group continues to drive convenience for customers through adoption of digital channels Call-to-Deliver BDO Instapay Sales +27% Transactions +144% Food Retail Online Sales +65% 11% of YTD Sales 14% Market Share, Sept Data from May to September SM Investments Corporation 7
Slide 9: Key Messages
Key Messages ▪ Q3 consolidated revenue improvement due to renewed consumer activity ▪ Consolidated earnings reflect Q2 anticipatory bank provisions ▪ Banking core business momentum, stable asset quality ▪ Retail strong Q-on-Q revenue growth, driven by Non-Food ▪ Food Retail growth maintained with im
Slide 10: 9M 2020 Earnings Report
9M 2020 Earnings Report 4 November 2020, 2PM