Singapore Post Ltd. · SGX:S08
Singapore Post — Q1 FY2006/07 Earnings Presentation
25 slides from Singapore Post's earnings presentation, Jul 24, 2006
Slide 1: SGX Miscellaneous Announcement: Presentation Slides
MISCELLANEOUS Page 1 of 1 Print this page Miscellaneous * Asterisks denote mandatory information Name of Announcer * SINGAPORE POST LIMITED Company Registration No. 199201623M Announcement submitted on behalf of SINGAPORE POST LIMITED Announcement is submitted with SINGAPORE POST LIMITED respect to
Slide 2: Q1 FY2006/07 Results
Singapore Post Limited Q1 FY2006/07 Results Financial Year ending 31 March 2007 24 July 2006
Slide 3: Agenda
Agenda ♦ Strategic Overview ♦ Q1 FY2006/07 Results ♦ Segment Results ♦ Cash Flow, Dividends ♦ Summary The following presentation contains forward looking statements by the management of Singapore Post Limited ("SingPost"), relating to financial trends for future periods, compared to the results for
Slide 4: Overview
Sours Aluays Overview
Slide 5: Strategic Overview: Focus on Execution Excellence
Strategic Overview Focus on Execution Excellence ♦ Execution of strategies and Business Initiatives plans Mail Direct mail initiatives; mailroom — Pursue and implement initiatives management; MyStamps to grow core business of Mail and Logistics Speedpost Express Logistics Retail Focus on higher valu
Slide 6: Strategic Overview: Extending Regional Reach
Strategic Overview Extending Regional Reach ♦ Extending core competencies and existing businesses into the region Regional Initiatives Hybrid mail Regional presence for hybrid mail operations via DataPost Cross border Cross border business mail operations mail via Spring JV Logistics Tie-ups with co
Slide 7: Q1 FY2006/07 Results
Yours Aluays Q1 FY2006/07 Results
Slide 8: Q1 FY06/07 Group Results
Q1 FY06/07 Group Results Revenue ♦ Growth momentum maintained $M in first quarter of FY06/07 8.5% 105.1 96.8 ♦ Results underpinned by improved business performance Q1 FY05/06 Q1 FY06/07 EBITDA Net Profit $M $M 6.0% 5.0% 47.2 44.5 30.9 29.5 Q1 FY05/06 Q1 FY06/07 Q1 FY05/06 Q1 FY06/07 6
Slide 9: Quarterly Trends
Quarterly Trends Revenue Growth Trend ♦ Quarterly growth momentum $M maintained for revenue and 8.2% 12.6% 7.4% 11.3% 8.5% profits 108.0 105.0 105.1 103.0 96.8 96.8 100.5 91.5 94.3 89.4 Q1 Q2 Q3 Q4 Q1 FY05/06 FY06/07 EBITDA Growth Trend Net Profit Growth Trend $M $M 6.7% 7.6% 6.5% 8.3% 6.0% 49.0 5.2
Slide 10: Q1 FY06/07 Segment Results
Q1 FY06/07 Segment Results Mail Revenue and Profit ♦ Continued improvements in $M 5.4% performance achieved by all 82.4 business segments 78.2 ♦ Strong Retail profit growth 6.1% despite impact of pricing 30.7 32.5 pressure in agency/bill presentment services Q1 Q1 Q1 Q1 FY05/06 FY06/07 FY05/06 FY06/
Slide 11: Q1 FY06/07 Profit & Loss
Q1 FY06/07 Profit & Loss ♦ Net profit growth maintained despite lower contributions from associate and JV, higher finance costs and operating expenses ($M) Q1 FY05/06 Q1 FY06/07 B/(W) Revenue 96.8 105.1 8.5% Other income 4.9 5.3 6.3% Operating expenses (65.5) (70.9) (8.2%) Operating profit 36.2 39.4
Slide 12: Q1 FY06/07 Operating Expenses
Q1 FY06/07 Operating Expenses ♦ Increase in volume-related costs, labour and related costs as well as selling expenses, in tandem with business growth ♦ Continued control over administrative and other expenses despite fuel price increase Q1 Q1 ($M) Change $2.2M FY05/06 FY06/07 8.4% $2.6M Operating e
Slide 13: Quarterly Profit Margins
Quarterly Profit Margins Operating Profit Margins ♦ Profit margins held firm as the Group grew revenue 37.5% — Q1 FY06/07 operating profit 37.4% 37.8% 35.4% 36.4% margin steady at 37.5% — Lower EBITDA margins mainly due to reduction in contributions of associates and JVs Q1 Q2 Q3 Q4 Q1 FY05/06 FY06/
Slide 14: Segment Results
Segment Results (Q1 FY2006/07) Mail Logistics Retail 12
Slide 15: Mail – Q1 FY06/07 Performance
Mail – Q1 FY06/07 Performance ♦ Mail revenue ↑ 5.4% or $4.2M against last year, on the back of improved performances by all business lines ♦ Improvements in operating profit and margin due to good operating leverage Mail Mail Revenue Mail Operating Profit Operating Profit Margin $M $M $4.2M 82.4 $1.
Slide 16: Mail – Q1 FY06/07 Revenue Breakdown
Mail – Q1 FY06/07 Revenue Breakdown Q1 Q1 ($M) Change ♦ Continued growth in direct FY05/06 FY06/07 mail volumes Mail Revenue 78.2 82.4 + 5.4% ♦ Increased mailroom management activities $1.1M 2.2% ♦ Higher outgoing international mail volumes by customers 49.2 50.2 $2.3M 9.5% ♦ Increased volumes from
Slide 17: Logistics – Q1 FY06/07 Performance
Logistics – Q1 FY06/07 Performance ♦ Logistics revenue ↑ 11.0% or $1.5M, boosted by higher contributions from Speedpost, Warehousing, Fulfillment and Distribution ♦ Logistics profit ↑ 11.6% or $0.2M ♦ Operating profit margin steady at 12.9% Logistics Logistics Revenue Logistics Operating Profit Oper
Slide 18: Logistics – Q1 FY06/07 Revenue Breakdown
Logistics – Q1 FY06/07 Revenue Breakdown Q1 Q1 ($M) Change FY05/06 FY06/07 ♦ Included contributions from Logistics Revenue 13.5 15.0 +11.0% Speedpost Express launched in January 2006 $0.9M 7.5% 12.8 11.9 ♦ Benefited from new customers acquired $M $0.6M 36.1% 2.1 1.5 Q1 FY05/06 Q1 FY06/07 Speedpost W
Slide 19: Retail – Q1 FY06/07 Performance
Retail – Q1 FY06/07 Performance ♦ Retail revenue ↑ 15.6% or $1.8M, on growing contributions from financial services ♦ Higher transaction volumes mitigate pricing pressure in agency bill presentment/services ♦ Retail profit margin improved from 8.9% to 13.7% despite impact of pricing pressure in agen
Slide 20: Retail – Q1 FY06/07 Revenue Breakdown
Retail – Q1 FY06/07 Revenue Breakdown Q1 Q1 ($M) Change FY05/06 FY06/07 ♦ Increased contributions from Retail Revenue 11.4 13.2 +15.6% Retail products and vPOST mail-order transactions offset decline in agency/bill presentment revenue $0.1M $0.02M ♦ Growing contributions 0.4% 1.6% by financial servi
Slide 21: Cash Flow, Dividends
Cash Flow, Dividends Yours Aluays 19
Slide 22: Cash Flow, Dividends
Cash Flow, Dividends Net Operating Cashflow ♦ Robust cashflow generation $M 144.4 149.7 — Net cash inflow from operating 121.7 activities amounted to $36.5M in Q1 FY06/07, compared to $35.8M in Q1 FY05/06 36.5 FY03/04 FY04/05 FY05/06 Q1 ♦ Dividend FY06/07 — Interim quarterly dividend of 1.25 cents p
Slide 23: Summary
Summary Sours Aluays 21
Slide 24: Summary
Summary ♦ Good operating performance — Q1 FY2006/07 Revenue ↑ 8.5%, Net Profit ↑ 5.0% ♦ Q1 interim dividend of 1.25 cents per share — Payable 31 August 2006 ♦ Outlook — Strategies in place to maintain growth momentum — Focus on execution excellence 22
Slide 25: Thank You
Thank You Sours Aluays 23