Byke Hospitality Ltd. · NSE:BYKE
Byke Hospitality — The Byke Hospitality — Q2 FY2019 Earnings Presentation
26 slides from Byke Hospitality's earnings presentation, Nov 20, 2018
Slide 1: Exchange filing cover letter: Investors/Analysts Presentation
THE BYKE HosPITALITY LIMITED CIN NO. L67190MH1990PLC056009 November 20, 2018 To, To, To, Corporat e Services Department , Corporate Services Department, Corporat e Se rvices Departm ent, National Stock Exchange The BSE Limited, Metropolit an Stock Exchange of India Ltd. Phiroze Jeejee bhoy Towers, o
Slide 2: Investor Presentation Q2FY19
Investor Presentation Q2FY19
Slide 3: Disclaimer
Disclaimer This presentation and the accompanying slides (the “Presentation”), which have been prepared by The Byke Hospitality Limited (the “Company”), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any s
Slide 4: Q2FY19 Performance
Q2FY19 Performance
Slide 5: Acquired two hotels on long-term lease
Acquired two hotels on long-term lease Hotel Niranjana Resort at Bodh Gaya, Bihar • Bodh Gaya is one of the holiest Buddhist pilgrimage sites; it attracts thousands of pilgrims/ tourists from around the world every year • Hotel has been taken on a long term lease of 10 years through a tender process
Slide 6: Entered into two management contracts
Entered into two management contracts Hotel Guruprerna at Dwarka, Gujarat • Dwarka, an ancient Hindu pilgrimage site in Gujarat attracts religious as well as a lot of leisure tourists • Management contract for 15 years • 37 rooms property with a restaurant and a conference hall Hotel Suraj Club at J
Slide 7: Restaurant on lease
Restaurant on lease Restaurant at Malad, Mumbai • Restaurant “Spice Lounge” taken on lease for 3 years with a renewal option • Seating capacity of 100+ • Pure vegetarian restaurant Investor Presentation Q2FY19
Slide 8: Q2FY19 and H1FY19 Profit & Loss Highlights
Q2FY19 and H1FY19 Profit & Loss Highlights Rs. Mn Q2 FY19 Q2 FY18 Y-o-Y Growth H1FY19 H1FY18 Y-o-Y Growth Revenue 298.5 294.1 1.5% 665.3 664.8 0.1% Cost of services 53.0 41.0 29.4% 115.0 106.7 7.8% Employee Expense 26.6 25.5 4.4% 53.5 49.9 7.3% Other expense -9.8% 260.4 263.2 -1.1% 103.6 115.0 Total
Slide 9: Balance Sheet as on 30th Sept 2018
Balance Sheet as on 30th Sept 2018 Rs. Mn Sep’18 Mar’18 Rs. Mn Sep’18 Mar’18 Share Capital 401.0 401.0 Net Block + CWIP 1,156.2 1,115.1 Reserve and Surplus 1,540.3 1,436.5 Other Non-Current Assets 82.4 82.6 Net Worth 1,941.2 1,837.4 Long Term Loans and Advance 188.0 180.6 Long Term Borrowings 1.1 2.
Slide 10: Q2FY19 Financial Highlights
Q2FY19 Financial Highlights Revenue (Rs Mn) EBITDA (Rs Mn) and Margin 38.3% 38.6% 294 299 113 115 Q2FY18 Q2FY19 Q2FY18 Q2FY19 Cash Profit (Rs Mn) PAT (Rs Mn) and Margin 17.7% 16.6% 113 113 52 49 Q2FY18 Q2FY19 Q2FY18 Q2FY19 Investor Presentation Q2FY19 9 9
Slide 11: Q2FY19 Segment Performance
Q2FY19 Segment Performance Revenue (Rs Mn) Break-up of Hotel revenue 294 299 234 218 76 65 106 110 218 234 113 124 Q2FY18 Q2FY19 Q2FY18 Q2FY19 Hotel Chartering Room F&B & Events EBITDA (Rs Mn) and EBITDA Margin 113 115 76% 69% 52 49 28% 28% 61 66 Q2FY18 Q2FY19 Hotel Chartering Hotel Chartering Q2FY1
Slide 12: Hotel Portfolio as on date
Hotel Portfolio as on date No Hotel Location No. of rooms Type Operational 1 Byke Old Anchor Goa 240 Leased 2 Byke Suraj Plaza Mumbai 122 Leased 3 Byke Heritage Matheran 80 Owned 4 Byke Grassfield Jaipur 54 Leased 5 Byke Neelkanth Manali 40 Leased 6 Byke Redwood Matheran 25 Leased 7 Byke Grassfield
Slide 13: Hotel Business Performance Highlights
Hotel Business Performance Highlights Operational Room Inventory Average Daily Room Rate (Rs) 731 3,240 3,320 653 Q2FY18 Q2FY19 Q2FY18 Q2FY19 Q2FY18: Old Anchor, Suraj Plaza, Heritage, Grassfield, Neelkanth, Redwood, Riviera (40), Riddhi Inn Q2FY19: Q2FY18+Pooja Samudra, Nature Villas Occupancy (%)
Slide 14: Chartering Business Performance Highlights
Chartering Business Performance Highlights Room Nights Sold (lacs) Average Daily Room Rate (Rs) 2,356 2,377 1.20 1.14 Q2FY18 Q2FY19 Q2FY18 Q2FY19 Occupancy (%) Revenue (Rs Mn) 283 271 94.8 94.2 76 65 Gross Revenue Net Reported Revenue Q2FY18 Q2FY19 Q2FY18 Q2FY19 Investor Presentation Q2FY19 13 13
Slide 15: Business Overview
Business Overview
Slide 16: Byke – At a Glance
Byke – At a Glance Overview Statistics Mid Market Segment Presence in fast growing mid market 13 2 2 1,031 segment; ARR (FY18): ~Rs 3,800 Leased Owned Management Number of properties properties Contracts rooms Niche Pure Vegetarian Only pure vegetarian hotel chain in India 60+ 300+ 6.38L Presence in
Slide 17: Business Segments
Business Segments Hotel (Owned & Leased) Chartering Mid market focused hospitality brand with focus on Third party hotel rooms chartered at strategic locations domestic tourism across India; Aggregation of rooms 3 months in advance 17 properties with 1,031 rooms at tourist destinations in Capitalise
Slide 18: Hotel Portfolio as on Nov'18
Hotel Portfolio as on Nov’18 Number of Rooms and Properties 2 5 7 7 8 9 11 12 17 1,031 874 797 677 519 465 465 385 102 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 till date Number of properties Investor Presentation Q2FY19 17 17
Slide 19: Properties with Unique Selling Propositions
Properties with Unique Selling Propostions Byke Nature Vilas, Shimla Panoramic view from all rooms. Excellent view of the snow-clad Himalayan Byke Neelkanth, Manali mountains Only property to have valley view from all rooms Byke Grassfield, Jaipur Located in the heart of the city, 5 kms from Jaipur
Slide 20: Key Strengths and Drivers
Key Strengths and Drivers Well placed to tap the increasing domestic discretionary spending • Domestic tourism continues to be over 80% of the total tourist expenditure in India • The rising purchasing power has aided the exponential growth of domestic tourism which is expected to continue to increa
Slide 21: Key Strengths and Drivers
Key Strengths and Drivers Asset light business model • Properties are taken on a long term lease of 15-20 years • Low capital requirement (only capex for rebranding and refurbishing) leading to break-even at low occupancy • Robust balance sheet with negligible debt, healthy return ratios (ROCE>30%)
Slide 22: Growth Strategy
Growth Strategy • Target properties with • Identified new states and multiple sources of revenue cities for expansion – places to host corporate • Cluster based approach – Increase in and social events target multiple tourist Geographical • Focus on marketing Event/F&B locations near to each other E
Slide 23: Financial Highlights
Financial Highlights
Slide 24: 5-year Consolidated Financial Highlights
5-year Consolidated Financial Highlights Revenue (Rs Mn) EBITDA (Rs Mn) PAT (Rs Mn) Revenue recognition for Chartering changed to 2,310 net basis 687 360 1,814 622 317 1,660 1,770 526 1,555 259 373 200 287 159 FY14 FY15 FY16 FY17 FY18 FY14 FY15 FY16 FY17 FY18 FY14 FY15 FY16 FY17 FY18 EPS* (Rs.) EBIT
Slide 25: 5-year Consolidated Financial Highlights
5-year Consolidated Financial Highlights Return on Equity (%) Return on Capital Employed (%) Debt/Equity 23 23 0.15 22 0.14 21 34 34 20 30 26 0.10 24 0.07 0.04 FY14 FY15 FY16 FY17 FY18 FY14 FY15 FY16 FY17 FY18 FY14 FY15 FY16 FY17 FY18 ROE = PAT / Average Net Worth; ROCE = EBIT / Average Capital Empl
Slide 26: Contact Us
Contact Us The Byke Hospitality Ltd Credo Advisors (Investor Relations advisors) Ankita Sharma Ms. Pooja Dokania/ Mr. Rajeev Menon Investor.care@thebyke.com pooja@credoadvisors.in/ rajeev@credoadvisors.in 022-67079666 022-62398084 25
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