Genting Malaysia Bhd. · MYX:GENM
Genting Malaysia Bhd — CLSA Investors' Forum 2016
39 slides from Genting Malaysia Bhd's conference presentation, September 2016
Slide 1: Corporate Presentation CLSA IF2016 Hong Kong
No. 58019-U Corporate Presentation CLSA IF2016 Hong Kong September 2016 1
Slide 2: Agenda
Agenda Overview Financial Highlights Malaysia Operations • Resorts World Genting • Genting Integrated Tourism Plan Overseas Operations • United Kingdom • United States • Bahamas Looking Ahead 2
Slide 3: Malaysia
MALAYSIA
Slide 4: GENM – Leisure & Hospitality Corporate Structure
GENM – Leisure & Hospitality Corporate Structure Berhad 49.3% Leisure, hospitality, Others entertainment and gaming 16.9% 100% 100% 100% 100% 100% 100% 100% 100% 44.9% 78% 4
Slide 5: Resorts World Genting, Malaysia
Resorts World Genting, Malaysia ………… Asia’s and World’s Leading Themed Resort by World Travel Awards in 2015 5
Slide 6: Genting UK and Resorts World Birmingham, UK
Genting UK and Resorts World Birmingham, UK Genting Club Sheffield Resorts World Birmingham ………… One of the leading casino operators in the UK 6
Slide 7: Resorts World Casino New York City, US
Resorts World Casino New York City, US ……… Market leader by gaming revenue in the Northeast US region 7
Slide 8: Resorts World Bimini, Bahamas
Resorts World Bimini, Bahamas ……… 750-acre luxury beachfront casino resort 8
Slide 9: The Group's Key Properties
The Group’s Key Properties Resorts World Genting Resorts World Casino New York City A world-class integrated destination resort 8.5m visitors in FY2015 19.4m visitors in FY2015 Equipped with ~5,500 video gaming machines (“VGM”) and other leisure ~ 10,000 rooms facilities ~ 12,000 employe
Slide 10: Genting Malaysia
GENTING MALAYSIA
Slide 11: GENM – FY 2015 Financial Performance at a Glance
GENM – FY 2015 Financial Performance at a Glance Malaysia operations • Higher business volume but lower hold % in the premium players business • GST and Forex impact UK operations • Higher volume of business from Home Markets (“HM”) • Lower hold % and lower business volume from International Mar
Slide 12: GENM – 1H 2016 Financial Performance at a Glance
GENM – 1H 2016 Financial Performance at a Glance Malaysia operations • Higher business volume but lower than expected hold % in the mid to premium segment • GST and Forex impact UK operations • Revised marketing strategies for IM • Stable performance for HM • RW Birmingham opened in Oct 2015 U
Slide 13: GENM – Revenue and Adjusted EBITDA
GENM – Revenue and Adjusted EBITDA Revenue by geography in FY2015: Adjusted EBITDA by geography FY20151: 1 UK reported an adjusted LBITDA of £27.9m for FY2015 13
Slide 14: GENM – Capital Management Strategy
GENM – Capital Management Strategy Dividend Net div per share of 7.10 sen in 2015 • 5-year CAGR of 3% Consistent payout ratio • FY15: 32% (FY14: 31%) • 1H16: 27% (1H15: 27%) Share Buy Back Initiated since July 2007 To date, bought back 269m shares for RM909m 4.53% of total issued capital 1
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Slide 16: Malaysia L&H – 1H 2016 Performance Review
Malaysia L&H – 1H 2016 Performance Review Operational Performance: Revenue growth • Marginally lower in 1H16 vs 1H15 • 5-year CAGR of 2% Adjusted EBITDA • ↑ 2% 1H16 vs 1H15, resulting from operational cost rationalisation Adjusted EBITDA margin at 35% in 1H16 16
Slide 17: RWG – Operational Statistics
RWG – Operational Statistics Gaming Revenue Mix FY2015 Hotel Guests’ Nationality FY2015 17
Slide 18: Artist Impression
Artist Impression 18
Slide 19: GITP – Overview
GITP – Overview A major 10-year master plan launched in December 2013 RM10.38 bil capital investment Phase 1 • 20th Century Fox World theme park • 1,300-room First World Hotel Tower 3 • New indoor theme park • New 250-suite premium hotel • Sky Avenue lifestyle mall and Sky Plaza • New high-spe
Slide 20: GITP – Development Plans
GITP – Development Plans 20
Slide 21: GITP – Construction Progress
GITP – Construction Progress Taken in 1Q 2016 Taken in 2Q16 ………… Mid-hill development 21
Slide 22: GITP – New Awana Skyway
GITP – New Awana Skyway Taken in 2Q16 Artist Impression (subject to change) ………… New high-speed cable car system 22
Slide 23: GITP – 20th Century Fox World Theme Park
GITP – 20th Century Fox World Theme Park Artist Impression (subject to change) ………………………….…. First of its kind in the world 23
Slide 24: UK, US and Bahamas
GENTING MALAYSIA 24
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Slide 26: Genting UK – 1H 2016 Performance Review
Genting UK – 1H 2016 Performance Review Group revenue ↑ 57% in 1H16 • International Markets ↑ >100% • Home Markets ↑ 6% Adjusted EBITDA of £33m in 1H16 (1H15: LBITDA £10m) Visitors ↑ 6% to 2.2 mil in 1H16 Focus on stabilising operations and growing business volumes at RW Birmingham and onlin
Slide 27: Resorts World Birmingham, UK
Resorts World Birmingham, UK Located at the National Exhibition Centre, Birmingham Next to the Genting Arena, one of the largest concert arenas in the UK with a capacity to hold more than 15,000 people Features:- • Genting International Casino • 178-room four-star Genting Hotel • Spa and confe
Slide 28: Genting Malaysia
GENTING MALAYSIA
Slide 29: RWNYC – 1H 2016 Performance Review
RWNYC – 1H 2016 Performance Review Highest grossing VGM facility by gaming revenue in Northeast US region Expanded gaming capacity to 5,500 VGMs earlier this year Average WPU at US$437 in 1H16 (1H15: US$456) Net wins ↑ 6% to US$437m in 1H16 Market share* at 42.7% 4.2mil visitors in 1H16
Slide 30: Bahamas
( S ” al BAHAMA RESORT+CASI
Slide 31: RW Bimini – 1H 2016 Performance Review
RW Bimini – 1H 2016 Performance Review Revenue ↓ 20% in 1H16 • Ceased Bimini SuperFast ferry operations in January 2016 Adjusted LBITDA improved to US$31m in 1H16 (1H15 adjusted LBITDA: US$36m) The 305-room Hilton hotel was opened in June 2016 31
Slide 32: Hilton at Resorts World Bimini
Hilton at Resorts World Bimini Total project cost US$240 mil 305 room luxury marina hotel • ~240 rooms opened in April 2015 • Remaining rooms opened in June 2016 Key features: • 2 restaurants • A lobby piano bar • A rooftop pool • A bar and nightclub / lounge • Spa and fitness centre • Meeting
Slide 33: Hilton at Resorts World Bimini
Hilton at Resorts World Bimini …….…. Hotel Exterior View 33
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Slide 35: Other US Assets
Other US Assets First Light Resort and Casino – Massachusetts Located at the Taunton, Massachusetts GENM’s appointment* as the manager of First Light Resort and Casino is expected to be for a period of 7 years Invested US$274 million in interest bearing promissory notes Omni and Hilton Operati
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Slide 37: Prospects and Focus
Prospects and Focus General Prospects Global economy is expected to remain challenging given the uncertainty over the recovery pace in major economies and Brexit impact Outlook for international tourism outlook remains positive Cautious on near term outlook for L&H industry; positive on the lo
Slide 38: Prospects and Focus
Prospects and Focus Genting UK Strengthen Home Markets and improve business efficiency Improvise marketing efforts to reinforce the International Markets Stabilise operations and grow business volumes at RW Birmingham and the online operation Resorts World Casino New York City Attract new cu
Slide 39: Thank You
Thank You Visit us at Disclaimer www.gentingmalaysia.com Some of the statements made in this presentation which are not statements of historical facts are forward-looking statements and are based on the current beliefs, assumptions, expectations, estimates, objectives and projections of the director