Slide 1: 2013 Full Year Results Briefing
2013 Full Year Results Briefing 28 February 2014
Slide 2: Agenda
• UOL KEY FINANCIALS & BUSINESS REVIEW • UOL OUTLOOK & STRATEGIC RESPONSE • PPHG KEY FINANCIALS & BUSINESS REVIEW • PPHG FOCUS & OUTLOOK • Q&A 2
Slide 3: UOL Group Limited
UOL GROUP LIMITED • OVERVIEW • KEY FINANCIALS & BUSINESS REVIEW • OUTLOOK & STRATEGIC RESPONSE LIAM WEE SIN PRESIDENT (PROPERTY) 3
Slide 4: 2013 results highlights
• PATMI down 3% to $785.8 million year-on-year. Decline from sales of property developments cushioned by rentals from offices and shopping malls and income from owning and managing hotels and serviced suites. • Revenue down 8% to $1.06 billion year-on-year due mainly to completion of property develo
Slide 5: Financial results FY2013 vs FY2012
S$m FY 2013 FY 2012 % Change Revenue 1,058.6 1,145.8 -8 Profit before fair value and other gains/(losses) 427.3 439.7 -3 Other gains/(losses) 23.8 -25.0 +195 Fair value gains on associated companies’ 91.5 107.5 -15 investment properties Fair value gains on the Group’s investment 409.4 442.1 -7 prope
Slide 6: Per share metrics and returns
FY 2013 FY 2012 % Change Earnings per share before fair value and 44.7 cents 47.0 cents -5 other gains/(losses) Earnings per share 102.0 cents 105.1 cents -3 Net tangible asset value per share $8.73 $7.94 +10 Return on equity before fair value and 5.09% 5.88% -13 other gains/(losses) Return on equit
Slide 7: Capital Management
Capital Management FY 2013 FY 2012 % Change Total equity $7,227m $6,719m +8 Cash $293m $260m +13 Net debt $2,043m $1,914m +7 Gearing ratio 0.28 0.28 - Average borrowing cost 1.96% 2.23% -12 Term loan 84% 79% +6 Interest cover 12 Xs 10 Xs - (including interest capitalised) Ave debt maturity (Yr) 1.2
Slide 8: Debt Maturity Profile
Debt Maturity Profile (as at 31.12.13) (as at 31.12.12) $m % $m % Within 1 year 1,149 49 659 30 1-2 years 727 31 580 27 2-3 years 289 13 751 35 > 3 years 171 7 184 8 Total Debt 2,336 100 2,174 100 8
Slide 9: A Decade of Growth
A Decade of Growth 2011 CAGR 2004 2005 2006 2007 2008 2009 2010 2012 2013 (Restated) % Revenue ($m) 461.2 505.5 605.1 713.5 899.2 1,007.1 1,349.1 1,960.2 1,145.8 1,058.6 9.7 Profit before fair value and other 128.3 149.3 158.6 273.3 351.5 429.9 551.2 727.8 439.7 427.3 14.3 gains/(losses) ($m) Profit
Slide 10: Revenue and Operating Profit by Business Segments in 2013
($m) Revenue and Operating Profit by Business Segments in 2013 Revenue Operating Profit Management Investments services 2% Management Investments 2% Property services 8% Property development 3% development 39% 36% Hotel Hotel operations operations 18% 40% Property Property investments investments 17
Slide 11: Revenue by Business Segments 2013 vs 2012
($m) Revenue by Business Segments 2013 vs 2012 -27% 560.0 11% 410.0 420.4 377.7 9% FY2013 180.2 166.1 FY2012 9% 18% 20.5 18.8 27.4 23.2 Property Property Hotel Management Investments development investments operations services 11
Slide 12: Operating Profit by Business Segments 2013 vs 2012
($m) Operating Profit by Business Segments 2013 vs 2012 -10% 147.5 6% 133.2 126.4 119.7 11% 66.3 FY2013 59.8 19% FY2012 3% 27.4 23.1 11.8 11.5 Property Property Hotel Management Investments development investments operations services 12
Slide 13: Revenue, Adjusted EBITDA, Total Asset Value by geography
(%) Revenue FY2013: S$1,058.6m 73 13 5 3 6 FY2012: S$1,145.8m 75 12 5 3 5 Adjusted EBITDA* Singapore FY2013: S$629.4m 87 6 3 5 Australia Malaysia FY2012: S$630.2m 88 5 3 4 China Others *Excludes unallocated cost, other gains/losses and fair value gains/losses on investment properties Total Asset Val
Slide 14: Residential units sold in 2013
• Sold 666 residential units with sales value of more than $552 million in 2013 Launched No. of Units %Sold* Average psf (Whole Project) (as at 31.12.13) Spottiswoode Nov 2010 351 99 S$1,925 Residences Archipelago Dec 2011 577 100 S$987 Katong Regency Apr 2012 244 100 S$1,605 Thomson Three Sep 2013
Slide 15: Upper Paya Lebar Road site
Upper Paya Lebar Road site • Successfully tendered for Upper Paya Lebar Road site at 20,078 sq m in January 2014. • 100% stake. • 99-year leasehold site; estimated 780-unit project to be developed. 15
Slide 16: Riverbank@Fernvale
Riverbank@Fernvale • Successfully tendered for Sengkang West Way site at 16,604 sq m. • 100% stake. • Situated near Layar LRT, Punggol Reservoir and Seletar Aerospace Park. • A 555-unit, four 19-storey blocks project. • Sold more than 200 units two weeks after launch in Feb 2014. 16
Slide 17: Thomson Three
Thomson Three • Launched in 3Q 2013, 78% sold (as at end Dec 2013) with estimated average price $1,320. • 435 apartments and 10 strata semi-detached houses. • Situated near MacRitchie and Lower Peirce Reservoirs, and upcoming Upper Thomson MRT Station. 17
Slide 18: The Esplanade, Tianjin
The Esplanade, Tianjin • Mixed development, along HaiHe River, comprising four blocks of 522 apartments, a 319-room hotel, 17,075 sqm office and 6,164 sqm retail space. • 90% stake. • 4 residential towers have achieved 88% sales at estimated average price of RM18,500 psm. • Launched one office tower
Slide 19: Profit recognition of launched projects
Profit recognition of launched projects Project Name % No. of Saleable % Sold % TOP Date Equity Units Area (as at Complete 31.12.12) (as at 31.12.12) Stake (sq m) Terrene at Bukit Timah 50 172 19,740 100 100 Jan 2013 Waterbank at Dakota 100 616 58,213 100 100 May 2013 Spottiswoode Residences 100 351
Slide 20: Singapore and overseas residential pipeline
Singapore residential pipeline Project Name/Location Tenure Site Area Est. Est. No. % Target of Land (sq m) Saleable of Units Owned Launch Area (sq m) Riverbank@Fernvale 99 16,604 49,812 555 100 1Q2014 Seventy St. Patrick’s FH 12,950 18,130 186 100 2Q2014 Upper Paya Lebar Road Site 99 20,078 55,869
Slide 21: Office and retail properties
Office properties Net Lettable Area (sqm) Portfolio Novena Square 41,509 United Square 27,028 Odeon Towers 18,403 Faber House 3,956 One Upper Pickering 8,089 Total 98,985 Retail properties Portfolio Novena Square shopping mall 16,121 United Square shopping mall 19,676 Sub Total 35,797 Pipeline OneKM
Slide 22: OneKM
OneKM • 18,979 sqm mall offering lifestyle, edutainment and gastronomy. • 100% stake. • 80% of leases committed. • Target to open in 3Q2014. 22
Slide 23: Above 95% occupancy for all commercial properties
Above 95% occupancy for all commercial properties YTD 31.12.13 99 100 100 100 99 97 95 Novena United Odeon Faber One Upper Novena United Square Square Towers House office Pickering Square Square office office office Shopping Shopping Mall Mall NLA 41,509 27,028 18,403 3,956 8,089 16,121 19,676 (sq m
Slide 24: Tenancy Management
Tenancy Management Lease Renewal % Change in Lease Expiry in 2014 Overall (sq m) Average Rent NLA %* FY13 vs FY12 Offices Novena Square +2.7 5,385 13 United Square +6.0 8,688 35 Odeon Towers +2.1 4,640 25 Faber House +4.0 2,186 55 Subtotal +3.6 20,899 24 Shopping Malls Novena Square +10.2 2,695 17 U
Slide 25: Owned Serviced Suites Portfolio
Owned Serviced Suites Properties Rooms Portfolio PAN PACIFIC Serviced Suites Orchard, Singapore 126 PARKROYAL Serviced Suites Beach Road, Singapore 90 PARKROYAL Serviced Suites Kuala Lumpur 287 PAN PACIFIC Serviced Suites Beach Road, Singapore 180 Total 683 25
Slide 26: Market outlook by sector
• Residential property market continues to face demand moderation. • Office sector likely to remain positive due to limited new supply. • Retail sector may see mixed results due to labour crunch and rising operating costs. • Hotel revpar growth likely to moderate due to rising room inventory. 26
Slide 27: Strategic response
• Selective and prudent in replenishing land in Singapore. • Focus on growing recurrent income from asset portfolio. • Maintain strong capital position for acquisition of investment assets. • Stay focused on core business pillars and target markets. 27
Slide 28: Corporate Awards
CORPORATE AWARDS UOL Group Limited • BCI Asia Top 10 Developer Awards RESIDENTIAL PROJECTS Double Bay Residences, Singapore • Skyrise Greenery Awards (Skyrise Greenery Excellence Award) Duchess Residences • International Property Awards (Asia Pacific) – Development Multiple Units Singapore (Highly C
Slide 29: Pan Pacific Hotels Group
PAN PACIFIC HOTELS GROUP • OVERVIEW • KEY FINANCIALS & BUSINESS REVIEW • FOCUS & OUTLOOK BERNOLD OLAF SCHROEDER CHIEF EXECUTIVE OFFICER (HOTELS) 29
Slide 30: Pan Pacific Hotels Group overview
• Headquartered in Singapore, Pan Pacific Hotels Group owns and/or manages close to 40 hotels, resorts & serviced suites with some 12,000 rooms in Asia, Oceania and North America, including those under development. • Comprises two highly-acclaimed brands 30
Slide 31: Hotel Occupancy 2013 vs 2012
Hotel Occupancy 2013 vs 2012 16% 5% 2% 5% 83% 80% 77% 72% 73% 71% 66% 68% 1% 2013 40% 39% 2012 Singapore Southeast Asia China North America Oceania 31
Slide 32: Average Room Rate 2013 vs 2012
Average Room Rate 2013 vs 2012 In S$ 5% 1% 262 259 253 240 244 244 6% 141 -10% 2013 133 108 2012 97 Singapore Southeast Asia China North America Oceania * For comparability, FY 2012 ARR has been translated at constant exchange rates (31 Dec 2013) 32
Slide 33: RevPar 2013 vs 2012
RevPar 2013 vs 2012 In S$ 22% 3% 5% 204 193 190 194 185 158 12% 2013 101 2012 91 -9% 38 42 Singapore Southeast Asia China North America Oceania * For comparability, FY2012 RevPar has been translated at constant exchange rates (31 Dec 2013) ** RevPar = Revenue per Available Room 33
Slide 34: Property openings in 2013
Property Opening Amenities Date PARKROYAL on 16 Jan 2013 • 367-room hotel located at the gateway to Pickering Singapore’s Central Business District, beside Chinatown and Hong Lim Park • The first PARKROYAL Collection hotel, distinguished by its green and sustainable design Pan Pacific Serviced 7 May
Slide 35: Upcoming property openings
Property Opening Amenities Date Pan Pacific Hotel and 3Q 2014 • 319 rooms within a mixed-use development Serviced Suites with residential, office and retail spaces Tianjin overlooking the scenic Haihe River Pan Pacific Yangon 2017 • First “Pan Pacific” in Myanmar • Joint venture on a 20:20:60 shareh
Slide 36: Upcoming property openings
Property Opening Date Amenities PARKROYAL 2Q 2014 (90 rooms) • 180 rooms (opening in two phases) comprising Nay Pyi Taw 4Q 2014 (90 rooms) an all-day dining restaurant, spa, gym, swimming pool and a range of meeting facilities PARKROYAL 2015 • 225-room resort in Bogor, a popular retreat and Rainbow
Slide 37: Hotel business focus
• Focused on growth in Asia Pacific with the launch of two new properties, the signing of six management agreements and one conditional joint venture. • Continued work on refreshing brands’ websites to improve user experience and deepen online customer engagement. 37
Slide 38: Hotel outlook and focus
• Outlook for the hotels in the Asia and Pacific region is expected to be positive due to: − Expansion of regional tourism and business travel − Recovery in the global economy and growing middle-income population in China and Southeast Asia • Increasing room supply will moderate the growth in occupa
Slide 39: Hotel awards
President’s Design Award - PARKROYAL on Pickering Forbes Travel Guide - Pan Pacific Seattle - Pan Pacific Vancouver Condé Nast Traveler Readers’ Choice Awards - Pan Pacific Whistler Mountainside - Pan Pacific Whistler Village Centre Travel + Leisure World’s Best Awards - Pan Pacific Singapore World
Slide 40: Forward-looking statements
This presentation may contain forward-looking statements or financial information. Such forward-looking statements and financial information may involve known and unknown risks, uncertainties, assumptions and other factors which may cause the actual results, performance or achievements of UOL Group
Slide 41: Thank You
THANK YOU 41
Slide 42: Q&A
Q&A 42