Ctf Services Limited · HKEX:659

Ctf Services — NWS Holdings — FY2002/03 Earnings Presentation

33 slides from Ctf Services's earnings presentation, October 2003

  1. Slide 1: Annual Results Presentation FY2002/03

    Annual Results Presentation FY2002/03

  2. Slide 2: Content

    Content  Background  Financial Highlights  NWSH Group Results  NWS Service Management Limited  NWS Infrastructure Management Limited  NWS Ports Management Limited  Operation Review  Outlook 2

  3. Slide 3: Background

    Background The purchase of New World Services Limited and traditional infrastructure assets of New World Infrastructure Limited by Pacific Ports Company Limited (659.HK) was completed in January 2003 Only five months’ (Feb – June 2003) results of Service and Infrastructure were booked 3

  4. Slide 4: Corporate Structure

    Corporate Structure 服務管理 基建管理 港口管理 Service Infrastructure Ports Management Management Management 道路及橋樑 貨櫃裝卸 設施管理 Roads & Bridges Container Facilities handling 物流及倉庫 建築機電 能源 Logistics & Contracting Energy Warehousing 水務及廢物處理 交通運輸 Water treatment & Transport Waste management 金融保險 Financial 環境工程 Enviro

  5. Slide 5: Financial Highlights

    ——— _+s4 i Bl 32 Financial Highlights

  6. Slide 6: NWSH Group Results

    NWSH Group Results (for the year ended 30 June) 2003* 2002 change (HK$M) (HK$M) +/ (-)% Turnover 5,770 125 +4,516% AOP 965 361 +167% Profit attributable to shareholders 1,213 144 +742% Earnings per ordinary share HK$1.39 HK$0.05# +2,680% Dividend per ordinary share HK$0.2 HK$0.2# 0% Total assets 27,

  7. Slide 7: AOP Mix

    AOP Mix* (for the year ended 30 June 2003) Service HK$236M Infrastructure 24% HK$325M 34% Ports HK$404M 42% Total: HK$965M * Full year for Ports, 5 months for Service and Infrastructure 7

  8. Slide 8: EBITDA

    EBITDA* (for the year ended 30 June 2003) Infrastructure HK$430M 33% Service HK$407M 31% Ports HK$472M 36% Total: HK$1,309M# * Full year for Ports, 5 months for Service and Infrastructure # Before head office expenses 8

  9. Slide 9: Encouraging Progress in Debt Reduction

    Encouraging Progress in Debt Reduction Net Debt (HK$ billion)  Reduce another HK$3 billion over 3 years (2003/04 – 2005/06)  Cash on hand HK$1.4 billion (as at September 2003) 9

  10. Slide 10: Pro-forma turnover - Service

    Pro-forma turnover - Service (HK$M) +15% 10

  11. Slide 11: Turnover - Service

    Turnover - Service Pro-forma Pro-forma Change 5 months ended (HK$M) FY2003 FY2002 +/ (-)% 30 June 2003 Facilities 1,921 1,822 +5% 718 Contracting 9,782 8,134 +20% 4,158 Transport 1,555 1,650 -6% 603 Financial, Environmental 161 60 +168% 94 and Others TOTAL 13,419 11,666 +15% 5,573 11

  12. Slide 12: Pro-forma AOP - Service

    Pro-forma AOP - Service (HK$M) -36% 12

  13. Slide 13: AOP - Service

    AOP - Service Pro-forma Pro-forma Change 5 months (HK$M) FY2003 FY2002 +/ (-)% ended 30 June 03 Facilities 265 291 -9% 73 Contracting 214 425 -50% 154 Transport 32 161 -80% -25 Financial, Environmental & Others 116 103 +13% 34 TOTAL 627 980 -36% 236 13

  14. Slide 14: Pro-forma AOP - Infrastructure

    Pro-forma AOP - Infrastructure (HK$M) 776 +21% 644 14

  15. Slide 15: AOP - Infrastructure

    AOP - Infrastructure 5 months Pro-forma Pro-forma Change ended 30 (HK$M) FY2003 FY2002 +/ (-)% June 2003 Energy, Water treatment & Waste management 424 402 +5% 201 Roads & Bridges 352 242 +45% 124 TOTAL 776 644 +21% 325 15

  16. Slide 16: AOP - Ports

    AOP - Ports (HK$M) 404 +12% 361 16

  17. Slide 17: AOP - Ports

    AOP - Ports Change (HK$M) FY2003 FY2002 +/ (-)% CSX World Terminals HK and ATL Logistics Centre 365 341 +7% 環球貨櫃碼頭香港及亞洲貨櫃物流中心 Xiamen Xiang Yu Quay 廈門象嶼碼頭 11 14 -21% CSX Orient (Tianjin) 天津東方海陸集裝箱碼頭 35 21 +67% Others -7 -15 +53% TOTAL 404 361 +12% 17

  18. Slide 18: SARS Impact upon 2002/03 Results

    SARS Impact upon 2002/03 Results HK$M HK$M NWSI Roads & Bridges 10 NWSS Facilities Facility Management 48 Consumer Related Services 16 Security & Guarding 1 65 Transport Bus 33 Ferry 42 Parking 7 82 157 18

  19. Slide 19: Operational Review

    ——— _+s4 iT Fal 82 Operational Review

  20. Slide 20: Operational Review - Service

    Operational Review - Service Facilities Contracting  SARS material impact upon  Adverse impact due to HKCEC, most events Government public housing rescheduled to 1H 03/04 policy & slow property market  Property Management,  Vigorous cost control Cleaning & Guarding deliver solid results 20

  21. Slide 21: Operational Review - Service

    Operational Review - Service Financial, Environmental Transport and Others  Adverse impact on NWFB by MTR  New World Insurance taps PRC TKO Line market  NWFB & NWFF (Macau) hit by  Tricor provides solid contribution SARS 21

  22. Slide 22: Operational Review - Infrastructure

    Operational Review - Infrastructure  Steady recurring income from the 59-strong project portfolio Water treatment & Energy Roads and Bridges Waste management  Generates highest  Promising results  Macau Water is a strong contribution  Steady income from contributor  Improves efficiency and roa

  23. Slide 23: Operational Review - Ports

    Operational Review - Ports CSX World Terminals HK (CT3) ATL Logistics Centre 環球貨櫃碼頭香港 (葵涌3號貨櫃碼頭) 亞洲貨櫃物流中心  The most important contributor  Growth driven by increase in CFS/  Increase in productivity and cost storage cargo volume and vehicle controls counter slight decrease gate charge in throughp

  24. Slide 24: Operational Review - Ports

    Operational Review - Ports Xiamen Xiang Yu Quay CSX Orient (Tianjin) 廈門象嶼碼頭 天津東方海陸集裝箱碼頭  Merger completed in January  Increase in AOP & throughput 2003  Strong growth in throughput 24

  25. Slide 25: Outlook – Service

    Outlook – Service Facilities Strong business pick up at HKCEC Profit margin pressure for property management, cleaning and guarding Contracting Construction market continues to be slow Diversification into civil construction Transport Bus: Contribution declines due to stiff competition Savings

  26. Slide 26: Outlook – Infrastructure

    Outlook – Infrastructure “Benefits from PRC spectacular economic growth” Roads and Bridges  Car ownership increase stimulates traffic  Escalating in demand of high quality logistics services support steady growth in expressway traffic Energy and Water treatment and Waste management Spectacular wa

  27. Slide 27: Outlook – Ports

    Outlook – Ports  Growth in HK and Mainland China import/ export from strong GDP growth and accession to WTO  HK - expected to maintain as the world’s busiest port with recent CEPA arrangements and planned HK – Zhuhai – Macau Bridge  CT9 operational in 2004/05  Tianjin – strategic location to ser

  28. Slide 28: Our Commitments

    Our Commitments To Business Partners and Customers  Service in excellence To Shareholders  Enhance shareholders’ value  Dividend payout  Corporate governance and transparency To Staff  Develop talent and provide a rewarding career 28

  29. Slide 29: Dividend policy

    Dividend policy Balance three corporate goals  Seek new investment opportunities  Maintain an optimal capital structure  Pay dividend Payout frequency  Consider twice a year (interim and final dividend) 29

  30. Slide 30: NWSH stock closing price

    NWSH stock closing price (Jan – Oct 2003) (HK$) 7.6 1.5 30

  31. Slide 31: Business Strategies

    Business Strategies Balancing shareholders’ interest (dividend payout), new project investment and debt reduction via: Explore new projects in Mainland China and Hong Kong Stringent cost control and efficiency improvement Divest under-performing projects Tap CEPA opportunities in Mainland China

  32. Slide 32: A Responsible Employer

    A Responsible Employer No. of staff in HK, Macau and Mainland China Ports 147 Infrastructure 3,160 Service 26,174 Total: 29,481 32

  33. Slide 33: www.nwsh.com.hk

    = Ry | is pi iiates 1 www.nwsh.com.hk 33

NWS Holdings — FY2002/03 Earnings Presentation on 6ix