Wing Tai Properties Limited · HKEX:369
Wing Tai Properties — H1 2022 Earnings Presentation
39 slides from Wing Tai Properties's earnings presentation, 2022
Slide 1: Wing Tai Properties Limited Interim Results 2022
Wing Tai Properties Limited INTERIM Results 2022 永泰地產有限公司
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements that involve risks and uncertainties. These statements are generally indicated by the use of forward- looking terminology such as believe, expect, anticipate, estimate, plan, project, target, may, will or similar words that express an
Slide 3: Agenda
Agenda • A Snapshot of 1H 2022 • Key Achievements • Land Bank • Business Review • Property Development • Property Investment & Management • Hospitality Investment & Management • Strengthened Capital Structure • Future Plans & Strategies • 2022 Interim Results Highlights • Appendix
Slide 4: A Snapshot of 1H 2022
A Snapshot of 1H 2022
Slide 5: Key Achievements
Key Achievements • Consolidated profit attributable to shareholders was HK$374 million, compared to a HK$188 million profit in 2021. Core consolidated profit attributable to shareholders of HK$168 million compared to HK$99 million profit in 2021. • Continued to sell the remaining units of our “Upper
Slide 6: Land bank in Hong Kong
land bank in hong kong “Upper Gold Coast” series 1 The Carmel *Artist impression *Artist impression 2 OMA OMA 5 3 OMA by the sea Site at Gage Street/ 8 4 Graham Street, Central 9 2 Site near Sheung Shui 1 3 5 MTR station 6 Landmark East 7 6 7 Shui Hing Centre 4 10 11 8 Le Cap 9 La Vetta 8 10 Lanson
Slide 7: Land bank in London
LAND BANK IN LONDON 13 Cavendish Square 2 10 Brook Street 3 35 Berkeley Square 4 No.1 Savile Row 1 5 6 7 2 4 3 4 85 66 Shoe Lane 6 10 Fleet Place 7 30 Gresham Street Investment properties 7
Slide 8: Land bank (as at 30 June 2022)
Land bank (as at 30 JUNE 2022) Strategic land bank with focus in Hong Kong Investment Property Land Bank Overview (sq.ft.) By Business Segment Residential units Hospitality 8% 11% Investment Property Industrial Property Office/ Development 8% 81% Retail 19% 73% Valuation as at Attributable Hong Kong
Slide 9: Business Review
Business Review 9
Slide 10: Property development
Property development 10
Slide 11: Sale and development pipeline (As at 30 June 2022)
Sale and development pipeline (As at 30 June 2022) Project pipeline Available Estimated Completion Saleable Area / Property Development Portfolio Gross Group’s 2022 2023 2024 and Floor Area Interest beyond (’000 sq. ft.) Hong Kong Completed OMA OMA* 27# 100% Development Hong Kong Projects OMA by the
Slide 12: Completed Development in Hong Kong
Completed Development in Hong Kong OMA OMA (466 units), So Kwun Wat Road, Tuen Mun • Saleable area of approximately 234,000 sq. ft. for 466 residential apartment units • Medium-density residential development • Occupation Permit and Certificate of Compliance obtained in March and October 2021, respe
Slide 13: Completed Development in Hong Kong – Cont’d
Completed Development in Hong Kong – Cont’d The Carmel (178 units), Siu Sau, Tai Lam, Tuen Mun • Saleable area of approximately 147,000 sq. ft. for 178 residential units of apartment and house • Low-density residential development • In 1H 2022, around 1% (in terms of number) of the residential units
Slide 14: Project Under Development in Hong Kong
Project Under Development in Hong Kong OMA by the Sea (517 units), Castle Peak Road, Tai Lam, Tuen Mun • Saleable area of approximately 252,000 sq. ft. for 517 residential apartment units • Medium-density residential development • Occupation Permit obtained in May 2022 • In 1H 2022, around 1% (in te
Slide 15: Project Under Development in Hong Kong – Cont’d
Project Under Development in Hong Kong – Cont’d Commercial Complex at Gage Street/Graham Street, Central • Combined gross floor area up to 433,500 sq. ft. • Earmarked for commercial complex development encompassing a Grade A office tower, a hotel, retail shops and public open space • Forming part of
Slide 16: Project Under Development in Hong Kong – Cont’d
Project Under Development in Hong Kong – Cont’d Residential site near Sheung Shui MTR Station • Won a government tender in June 2021 for a consideration of HK$2.6 billion • Gross floor area of approximately 284,170 sq. ft. • Medium-density residential development adjacent to Fanling Golf Course • In
Slide 17: Property Investment & Management
Property Investment & Management 17
Slide 18: Investment portfolio in Hong Kong
Investment portfolio in hong kong Gross floor Occupancy as at area (’000 sq. ft.) 30 June 2022 Grade A Offices Landmark East (AIA Kowloon Tower/ 1,338 86% AXA Tower) Industrial Property Shui Hing Centre* 187 81% Le Cap 36 81% Residential Properties La Vetta 72 74% * Obtained the Town Planning Board
Slide 19: Investment portfolio in London
Investment portfolio in london 1) Commercial Property on Brook Street, West End • Net internal area of approximately 19,000 sq. ft. of Grade A office and retail space 2) Commercial Property at Savile Row/Vigo Street, West End • Net internal area of approximately 14,000 sq. ft. of Grade A office and
Slide 20: Investment portfolio in London – Joint Venture
Investment portfolio in london – JOINT VENTURE 1) Commercial Property at Gresham Street, the City • Group’s interest of 50% • Net internal area of approximately 404,000 sq. ft. of Grade A office, retail space and ancillary accommodation, with 48 car parking spaces 2) Commercial Property on Fleet Pla
Slide 21: Investment portfolio in London – Joint Venture (Cont’d)
Investment portfolio in london – JOINT VENTURE (Cont’d) 3) Commercial Property at Shoe Lane, the City • Group’s interest of 21% • Net internal area of approximately 154,000 sq. ft. of Grade A office and ancillary space and approximately 4,000 sq. ft. of retail space 4) Commercial Property at Cavendi
Slide 22: Investment portfolio in Beijing
Investment portfolio in beijing Central Park, 6 Chaoyangmenwai Avenue, Chaoyang District • 33 residential units • Gross floor area of approximately 6,200 sq. m. • As at 30 June 2022, around 85% (in terms of number) of the units were leased 22
Slide 23: Hospitality investment & management
Hospitality investment & management 23
Slide 24: Hospitality portfolio
Hospitality portfolio Lanson Place Properties – Investment & Management • Strong brand recognition in Hong Kong and key gateway cities in Asia by customers as well as property owners Lanson Place Causeway Bay, Hong Kong • Group’s interest: 100% • 194 units • A member of the “Small Shanghai Luxury Ho
Slide 25: Hospitality portfolio – Cont’d
Hospitality portfolio – Cont’d Lanson Place Properties – Management Lanson Place Aroma Garden, Shanghai Lanson Place 79 units Two MacDonnell Road, Hong Kong 213 units Lanson Place Parkside, Shanghai Shanghai 182 units Hong Kong Lanson Place Winsland, Manila Singapore Kuala Lumpur 109 units Singapore
Slide 26: Hospitality investment and management
Hospitality investment and management • Lanson Place Causeway Bay hotel in Hong Kong was affected by the pandemic, however, the revenue has improved after it became one of the quarantine hotels to accommodate quarantine guests arriving in Hong Kong since November 2021 and register a slight profit. •
Slide 27: Strengthened capital structure
Strengthened capital structure November January 2013 May 2013 August 2014 October 2014 November August 2017 November 2012 2014 2017 Second Third Fourth Fifth Sixth Seventh Eighth First drawdown of drawdown of drawdown of drawdown of drawdown of drawdown of drawdown of drawdown of HK$480 HK$100 HK$10
Slide 28: Future Plans & Strategies
Future Plans & Strategies 28
Slide 29: Future plans & strategies
Future plans & strategies In near term In mid-to-long term Property • Continue the sale of the remaining units of • Expand residential and commercial Development our “Upper Gold Coast” series, namely properties portfolio through active OMA OMA and OMA by the Sea participation in government’s land te
Slide 30: 2022 Interim Results Highlights
2022 INTERIM Results Highlights 30
Slide 31: Financial results summary
Financial results summary For the six months ended 30 June (HK$’M) 2022 2021 Revenue 860 497 73% Gross profit 476 334 43% One-off valuation gain on distribution in specie of a - 472 N/A joint venture Change in fair value of investment properties and 206 (383) N/A financial instruments including join
Slide 32: Segment results overview
Segment results overview For the six months ended 30 June (HK$’M) 2022 2021 Property Development Revenue (excluding inter-segment sales) 475 150 217% One-off valuation gain on distribution in specie of a joint venture - 472 N/A Fair value changes in investment properties and financial 135 37 2
Slide 33: Segment results overview – Cont’d
Segment results overview – Cont’d For the six months ended 30 June (HK$’M) 2022 2021 Hospitality Investment & Management Revenue 60 27 122% Fair value changes in investment properties including joint (36) - N/A ventures Loss before taxation (32) (20) 60% Profit/(loss) before taxation excludi
Slide 34: Balance sheet summary
Balance sheet summary 30 June 31 December (HK$’M) 2022 2021 Total assets 38,563 38,739 0% Net assets 28,144 28,166 0% Equity attributable to shareholders of the company 26,655 26,653 0% Investment properties 21,555 21,778 1% Investments in and loans to joint ventures 5,424 5,459 1% (both non-current
Slide 35: Balance sheet summary – Cont’d
Balance sheet summary – Cont’d 30 June 31 December (HK$’M) 2022 2021 Total borrowings 6,662 6,804 2% Net borrowings 4,699 5,339 12% Gearing ratio 16.7% 19.0% (net borrowings to net assets) Maturity profile of borrowings Repayable: Within one year 3,113 47% 3,458 51% Between one and two years 548 8%
Slide 36: Appendix
Appendix 36
Slide 37: Investment Thesis
Investment Thesis A credible integrated property developer in Hong Kong with a balanced and well-diversified 1 development and investment portfolio spanning the region and beyond Constantly grow the residential property development operations by proactively yet 2 cautiously acquiring land bank Lever
Slide 38: Five years’ Financial summary
Five years’ FinanCial summary Interim Results Full Year Results 1H 2022 1H 2021 2021 2020 2019 2018 2017 (HK$’M) (Note 1) (Note 2) (Note 3) RESULTS Revenue 860 497 3,423 2,778 830 885 1,064 Profit/ (loss) before taxation 457 245 1,045 (555) 375 1,432 2,101 Taxation (52) (25) (127) (61) (70) (53) (99
Slide 39: Five years’ Financial summary – Cont’d
Five years’ FinanCial summary – Cont’d As at 31 December As at 30 June 1H 2022 2021 2020 2019 2018 2017 (HK$’M) ASSETS AND LIABILITIES Total assets 38,563 38,739 37,246 36,323 35,428 35,496 Total liabilities (10,419) (10,573) (9,605) (7,699) (6,706) (7,686) Total equity 28,144 28,166 27,641 28,624 2