Parkson Retail Asia Limited · SGX:O9E

Parkson Retail Asia — Q3 FY2014 Earnings Presentation

24 slides from Parkson Retail Asia's earnings presentation, May 2014

  1. Slide 1: Parkson Retail Asia Limited Financial Results Presentation Q3 FY2014

    Parkson Retail Asia Limited Financial Results Presentation Q3 FY2014 1

  2. Slide 2: Contents

    Contents 1. Overview 2. Financial Statements i) Consolidated income statement ii) Consolidated statement of financial position iii) Consolidated statement of cash flows iv) Segment results 3. Operational Highlights i) Floor area ii) Gross sales proceeds, revenue and SSS growth iii) Merchandise sales

  3. Slide 3: Overview

    Overview 3

  4. Slide 4: Overview: Business Environment

    Overview Business Environment  Same Store Sales Growth (“SSSG”), by countries: Quarter ended 9 months ended SSSG 31.03.2014 31.03.2013 31.03.2014 31.03.2013 Malaysia +0.1% +8.6% +0.1% +5.6% Vietnam -7.2% +9.9% -3.8% -1.3% Indonesia +8.9% +1.2% +6.7% +4.9%  SSSG for Malaysia : - SSSG relatively fla

  5. Slide 5: Financial Summary

    Financial Summary Group Reported Reported Like-for-Like Comparable* Quarter ended 9 months ended 9 months ended 31.03.2014 31.03.2013 +/(-) 31.03.2014 31.03.2013 +/(-) 31.03.2014 31.03.2013 +/(-) S$'000 S$'000 % S$'000 S$'000 % S$'000 S$'000 % Gross Sales Proceeds 269,664 279,299 (3.4) 831,843 857,8

  6. Slide 6: Reported pre-tax profit declined for the quarter and YTD period

     Reported pre-tax profit declined for the quarter and YTD period, impacted by : - lower-than-expected SSSG for Malaysia and Vietnam. - initial loss-making period of new stores (including pre-opening expenses). - absence of gross profit contribution from temporarily closed stores. - local currency w

  7. Slide 7: Segmental Profit Before Tax

    Segmental Profit Before Tax Group 9 months ended PBT Summary 31.03.2014 31.03.2013 +/(-) S$'000 S$'000 % Like-for-like, on same store basis Malaysia 40,855 40,905 (0.1) Vietnam 810 3,509 (76.9) Indonesia 4,763 5,361 (11.2) Share of profits of an associate (Sri Lanka) 894 689 29.8 Investment holding

  8. Slide 8: PBT Variance and Prospect

    PBT Variance (percentage terms) Comparing the pre-tax profit variances for the (i) reported numbers, (ii) same store numbers and (iii) same store, same currency numbers across the Group’s 3 main markets: Same store, PBT variance Reported Same store same currency (comparing YTD 9 months FY2014 vs +/(

  9. Slide 9: Financial Statements

    Financial Statements 9

  10. Slide 10: Unaudited consolidated Income Statement

    Unaudited consolidated Income Statement For the nine months ended 31 March Group Reported Reported (S$'000) Quarter ended YTD 9 months ended 31.03.2014 31.03.2013* +/(-) 31.03.2014 31.03.2013* +/(-) S$'000 S$'000 % S$'000 S$'000 % Gross Sales Proceeds 269,664 279,299 (3.4) 831,843 857,835 (3.0) - Di

  11. Slide 11: Unaudited consolidated Statement of Financial Position

    Unaudited consolidated Statement of Financial Position (S$’000) As at As at % Change As at % Change 31 Mar 2014 30 Jun 2013 (a)-(b) / (b) 31 Mar 2013 (a)-(c) / (c) (a) (b) (c) Total Assets 432,997 437,625 -1.1% 439,956 -1.6% - Non-current assets 175,074 164,638 +6.3% 163,258 +7.2% - Current assets 2

  12. Slide 12: Unaudited consolidated Statement of Cash Flows

    Unaudited consolidated Statement of Cash Flows For the nine months ended 31 March (S$’000) YTD YTD Q3 Q3 +/(-) 9 months 9 months +/(-) FY2014 FY2013 % FY2014 FY2013 % Net cash generated from / (used in) operating activities (23,831) (26,906) +11.4% 42,926 51,340 -16.4% Net cash used in investing act

  13. Slide 13: Segment results

    Segment results For the nine months ended 31 March Group Malaysia Vietnam Indonesia Myanmar Unallocated Total S$'000 S$'000 S$'000 S$'000 S$'000 S$'000 9 months ended 31.03.2014 Gross Sales Proceeds 600,509 120,571 107,287 3,476 - 831,843 Revenue 258,331 32,684 40,500 1,347 - 332,862 Profit / (Loss)

  14. Slide 14: Operational Highlights

    Operational Highlights 14

  15. Slide 15: Geographic footprint

    Geographic footprint Vietnam Malaysia  Number of stores: 9  Number of stores: 39  Approx. GFA (leased): 98,000 sqm  Approx. GFA (leased): 415,000 sqm  Approx. GFA (owned): 23,000 sqm Indonesia  Approx. GFA (managed): 51,000 sqm  Number of stores: 12  Approx. GFA (leased): 108,000 sqm Myanmar

  16. Slide 16: Gross Sales Proceeds, Revenue and SSS Growth

    Gross Sales Proceeds, Revenue and SSS Growth Overall top line growth SSSG Q3 YTD Q3 FY2014 FY2014 Malaysia +0.1% +0.1% Vietnam -7.2% -3.8% Indonesia +8.9% +6.7% 1,108,965 1,054,913 868,910 857,835 831,843 781,641 672,230 446,306 433,475 367,314 332,959 343,381 332,862 301,229 FY2009 FY2010 FY2011 FY

  17. Slide 17: Merchandise Sales Mix

    Merchandise Sales Mix YTD Q3 FY2014 YTD Q3 FY2013 19.7% 80.3% 20.1% 79.9% Direct sales Concessionaire Sales Direct sales Concessionaire Sales 17

  18. Slide 18: Merchandise sales mostly from fashion and cosmetics segments

    Merchandise sales mostly from fashion and cosmetics segments YTD Q3 FY2014 Household, Groceries and electrical goods perishables and others 3.4% 15.0% YTD Q3 FY2013 Household, Groceries and electrical goods perishables and others 3.2% 14.6% Fashion and Cosmetics and apparel accessories 53.7% 27.9% 8

  19. Slide 19: Blended gross margins

    Blended gross margins Merchandise gross margin (including both direct sales and concessionaire sales) 23.6% 23.2% 23.3% 23.4% 23.5% 22.7% 22.8% 243 248 198 193 192 178 156 FY2009 FY2010 FY2011 FY2012 FY2013 YTD Q3 FY2013 YTD Q3 FY2014 Merchandise gross profit (S$m) Merchandise gross margin (%) 19

  20. Slide 20: Profit margins

    Profit margins EBITDA(1) Net profit attributable to Owners of the Company 22.00% 12.00% 20.00% 10.5% 10.1% 17.6% 17.4% 17.0% 18.00% 9.5% 9.4% 10.00% 16.5% 8.9% 76 15.0% 16.00% 13.4% 45 8.00% 67 14.00% 62 60 6.4% 40 12.00% 55 9.7% 35 35 6.00% 10.00% 31 45 8.00% 3.8% 4.00% 6.00% 21 29 4.00% 2.00% 11 2

  21. Slide 21: Going Forward

    Going Forward 21

  22. Slide 22: Strategies

    Strategies  Improving productivity and enhancing market share.  Target a healthy SSS growth through more targeted promotional activities and improving productivity of the floor space.  Target a healthy margin improvement through adjustment in merchandise mix, better control of promotional related

  23. Slide 23: Expansion Plan (confirmed sites)

    Expansion Plan (confirmed sites) Location FY2014 FY2015 Approx. GFA Approx. GFA (sq.m) (sq.m) Malaysia 1. Nu Sentral, Kuala Lumpur (opened March 2014) 12,833 1. Imago, Kota Kinabalu 12,879 2. IOI City Mall, Putrajaya 20,673 3. Paya Bungah, K Terengganu 9,796 43,348 Vietnam 2. Parkson Cantavil, HCMC

  24. Slide 24: Thank You / Disclaimer

    THANK YOU  Disclaimer  This presentation is to provide general background information of Parkson Retail Asia Limited (the “Company”). The information provided is in summary form and no representation or warranty, express or implied is made and no reliance should be placed on the fairness and compl

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