Kln Logistics Group Limited · HKEX:636

Kln Logistics — Kerry Logistics Network — H1 2015 Earnings Presentation

17 slides from Kln Logistics's earnings presentation, 2015

  1. Slide 1: 2015 Interim Results

    2 0 1 5 I N T E R I M R E S U LT S Stock code: 636

  2. Slide 2: Disclaimer

    Disclaimer This presentation was prepared by Kerry Logistics Network Limited (the “Company”) for reference and general information purposes only. This presentation is not intended to and does not constitute investment advice, recommendation, invitation or offer to enter into, any agreement to purcha

  3. Slide 3: 2015 1H Highlights

    2015 1H Highlights GROSS 2

  4. Slide 4: Results Overview

    Results Overview Turnover(1) Segment Profit 19% HK$ 10,135m HK$ 998m 51% (+2%) 49% (+16%) IL 81% IL IFF IFF Integrated Logistics (IL) consists of Logistics Operations (LOP) and Hong Kong Warehouse (HKW) Core Profits Profit Attributable to Shareholders HK$ m HK$ m 1,000 925 800 16% 11% 701 796 634 75

  5. Slide 5: Turnover

    Turnover(1) Turnover(1) IL IFF HK$ m HK$ m 6% 5,124 HK$ m 5,146 -3% 2% 10,135 4,838 5,010 10,000 9,984 4,500 4,500 7,500 3,000 3,000 5,000 LOP 1,500 1500 2,500 HKW LOP IFF HKW IFF 2014 1H(2) 2015 1H 2014 1H(2) 2015 1H 2014 1H(2) 2015 1H Integrated Logistics (IL) consists of Logistics Operations (LOP

  6. Slide 6: Segment Profit

    Segment Profit Segment Profit IL IFF HK$ m HK$ m HK$ m 807 16% 998 15% 400 800 1,000 861 704 300 600 750 565 486 400 200 22% 191 500 157 242 200 100 250 218 LOP HKW LOP 157 191 IFF IFF HKW 2014 1H(2) 2015 1H 2014 1H(2) 2015 1H 2014 1H(2) 2015 1H Integrated Logistics (IL) consists of Logistics Operat

  7. Slide 7: Segment Profit and Core Net Profit

    Segment Profit and Core Net Profit Segment Profit – Geographical Area Core Net Profit 1% YoY HK$ m YoY Mainland China + 3% 3% Segment Profit 998 + 16% 17% 24% Hong Kong + 16% Taiwan + 50% Less Unallocated Expenses (73) + 12% HK$ 998m South & SE Asia + 1% (+ 16%) Core Operating Profit 925 + 16% 21% E

  8. Slide 8: Cash, Debt & Equity

    Cash, Debt & Equity Cash & Debt Shareholders’ Equity HK$ m HK$ m 6,000 16,000 3% 15,072 14,671 5,109 4,500 4,303 12,000 3,816 3,465 Cash (4) 3,000 8,000 Debt (5) 1,500 4,000 31 Dec 2014 30 Jun 2015 31 Dec 2014 30 Jun 2015 (4) Cash and bank balances (5) Total bank loans and overdrafts Debt Maturity G

  9. Slide 9: Asia Specialist

    Asia Specialist Thailand Commenced operation of the Kerry Bangna Logistics Centre, an express sorting centre & e- Commerce fulfillment centre (190,000 sq. ft.) Laos & Malaysia Targeted to complete the expansion of local express platform into Laos & Malaysia in 2015 2H Singapore Acquired a controllin

  10. Slide 10: China Focus

    China Focus Significant opportunities for government- backed New Silk Road projects Domestic consumption creates growing logistics demand for cross border eCommerce Beijing Signed a strategic cooperation agreement with Increasing demand for sophisticated supply China Railway to crystalize the potent

  11. Slide 11: Global Network

    Global Network Canada Completed acquisition of majority stakes in TLP and added Montreal & Toronto to global network United States Middle East Oceania Signed MOU with a sizeable NVOCC in the U.S. Acquired a controlling stake in Able Logistics Group Acquired a controlling stake in Lead Logistics in w

  12. Slide 12: Looking Ahead

    Looking Ahead 1 Considerable caution in near term view but continued optimism for longer term 2 Growth potential in China and between China and its neighbors esp. ASEAN 3 New sources of growth in South Asia, the Middle East, Africa and Latin America 4 M&A opportunities in Trans-Pacific and Europe 5

  13. Slide 13: Appendix

    APPENDIX KERRY Stock code: 636

  14. Slide 14: Appendix I – Condensed Consolidated Interim Income Statement

    Appendix I – Condensed Consolidated Interim Income Statement Six months ended 30 Jun Unaudited Unaudited 2015 2014 HK$’000 HK$’000 Turnover 10,134,594 9,984,310 Direct operating expenses (8,450,862) (8,491,594) Gross profit 1,683,732 1,492,716 Other income and net gains 78,258 50,799 Administrative

  15. Slide 15: Appendix II – Condensed Consolidated Interim Statement of Financial Position

    Appendix II – Condensed Consolidated Interim Statement of Financial Position Unaudited Audited ASSETS AND LIABILITIES As at 30 Jun 2015 As at 31 Dec 2014 Non-current assets HK$’000 HK$’000 Intangible assets 2,161,186 1,834,776 Investment properties 7,630,181 7,456,242 Leasehold land and land use rig

  16. Slide 16: Appendix II – Condensed Consolidated Interim Statement of Financial Position (cont'd)

    Appendix II – Condensed Consolidated Interim Statement of Financial Position(cont’d) Unaudited Audited As at 30 Jun 2015 As at 31 Dec 2014 HK$’000 HK$’000 Non-current liabilities Loans from non-controlling interests 237,772 248,342 Long-term bank loans 3,830,603 3,010,101 Deferred taxation 549,541 5

  17. Slide 17: Global 3PLs 2015 Performance – Operating Profit

    Global 3PLs 2015 Performance – Operating Profit YoY Change 75% CEVA 50% LOG EI 25% KLN DSV CHR LSTR MFT K+N AGL PAN 0% XPO HUB TOLL DHL GND -25% WIN -50% TNT -75% -4% -2% 0% 2% 4% 6% 8% 10% 12% Margin *Comparatives picked are based on the 2014 Top 50 Global 3PLs prepared by Armstrong & Associates, I

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