Sia Engineering Co. Ltd. · SGX:S59
Sia Engineering — Q2 FY04/05 Earnings Presentation
19 slides from Sia Engineering's earnings presentation, Oct 29, 2004
Slide 1: Q2 FY04/05 Performance Review Analyst/Media Briefing
Q2 FY04/05 Performance Review Analyst/Media Briefing 29 October 2004 1
Slide 2: Financial Review
Financial Review > SIA ENGINEERING COMPANY
Slide 3: Summary of Group Results – Q2 FY04/05
Summary of Group Results – Q2 FY04/05 FY04/05 FY03/04 Variance Q2 Q2 S$M S$M % Revenue 206.7 156.5 + 32.1 Operating Profit 28.7 32.1 - 10.6 Profit before tax 48.7 46.0 + 5.9 Profit attributable 43.4 38.3 + 13.4 to shareholders 3
Slide 4: Group Revenue Composition
Group Revenue Composition FY04/05 FY03/04 Variance Q2 Q2 S$M S$M % Labour revenue 135.8 107.2 + 26.7 Material revenue 55.9 40.0 + 39.8 Fleet management 9.1 2.6 + 250.0 Others 5.9 6.7 - 11.9 Revenue 206.7 156.5 + 32.1 % of non-SIA work 24% 19% + 5 pts 4
Slide 5: Group Expenditure
Group Expenditure FY04/05 FY03/04 Variance Q2 Q2 S$M S$M % Staff costs 87.1 60.0 + 45.2 Materials 55.9 40.0 + 39.8 Overheads 35.0 24.4 + 43.4 Expenditure 178.0 124.4 + 43.1 5
Slide 6: Group Profitability
Group Profitability FY04/05 FY03/04 Variance Q2 Q2 S$M S$M % Operating profit 28.7 32.1 - 10.6 Share of associate and JV profits 19.2 12.8 + 50.0 Profit before tax 48.7 46.0 + 5.9 Profit after tax 43.5 38.3 + 13.6 Net profit margin (%) 21.0 24.5 - 3.5 pts 6
Slide 7: Summary of Group Results – 1H FY04/05
Summary of Group Results – 1H FY04/05 FY04/05 FY03/04 Variance 1H 1H S$M S$M % Revenue 408.0 326.0 + 25.2 Expenditure 346.2* 278.2 + 24.4 Operating profit 61.8 47.8 + 29.3 Share of associate and JV profits 34.0 25.1 + 35.5 Profit attributable to shareholders 87.1 61.2 + 42.3 Net profit margin (%) 21
Slide 8: Group Profitability: Q2 vs Q1
Group Profitability: Q2 vs Q1 FY04/05 FY04/05 Variance Q2 Q1 S$M S$M % Operating profit 28.7 33.1 - 13.3 Share of associate and JV profits 19.2 14.8 + 29.7 Profit before tax 48.7 48.8 - 0.2 Profit after tax 43.5 43.8 - 0.7 Net profit margin (%) 21.0 21.8 - 0.8 pts 8
Slide 9: Group Financial Statistics
Group Financial Statistics Sep 04 Mar 04 Variance % Shareholders’ funds (S$M) 797.4 925.8 - 13.9 Net asset value per share 78.8 92.1 - 14.4 (cents) Cash position (S$M) 288.3 472.4 - 39.0 FY04/05 FY03/04 Variance Q2 Q2 % Return on average 20 20 - shareholders’ funds (%) (MAA)* * MAA denotes moving an
Slide 10: Interim Dividend
Interim Dividend Interim Dividend: S$M Ordinary 3.0 cents/share# 30.3 % Annualised gross dividend yield * 2.9 Payout ratio * 34.8 # 10 cents par value * based on share price of $2.08 as at 30 September 2004 10
Slide 11: Operational Review
11 Operational Review SIA ENGINEERING COMPANY
Slide 12: Line Maintenance
Line Maintenance Flights Handled at Changi Airport: Q2 FY04/05 Q2 FY03/04 Change 19,227 15,709 + 22% 12
Slide 13: Airframe & Component Overhaul
Airframe & Component Overhaul Q2 04/05 Q2 03/04 A checks 101 80 C checks 33 27 D checks 6 3 13
Slide 14: Major Events in H1 FY04/05
Major Events in H1 FY04/05 May 2004 Announced B747-400 freighter conversion business May 2004 Signed $100-120M contract with SilkAir July 2004 Signed JVA to form Aircraft Interior Modifications Centre Sept 2004 Signed $110M contract with Tiger Airways 14
Slide 15: B747-400 PTF
B747-400 PTF Secured orders for 7 freighters to be delivered in 2006-2008 Seeking significant share of B747-400 PTF market Attract post-conversion maintenance Tap growing market for large mod projects 15
Slide 16: Joint Venture
Joint Venture JV partners: Jamco America & Jamco Corp SIAEC: 45% equity share Centre for turnkey aircraft interior modifications One of the first in the region 16
Slide 17: New A320 Services
New A320 Services Customers: SilkAir & Tiger Airways Fleet Technical Management (FTM) covers full range of engineering support activities e.g. managing & planning maintenance programmes; aircraft performance monitoring Inventory Technical Management (ITM) includes supply, sourcing, testing, repa
Slide 18: Outlook for Q3 FY04/05
Outlook for Q3 FY04/05 MRO activities benefiting from rebound in air traffic with improving outlook in the aviation industry Intense competition and volatile fuel prices continue to impact airlines Growing LCC market Q3 FY04/05 revenue expected to be comparable to that of Q2 FY04/05 18
Slide 19: Thank You
19 Thank You SIA ENGINEERING COMPANY
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