Slide 1: Wing Tai Properties Limited Annual Results 2019
Wing Tai Properties Limited Annual Results 永泰地產有限公司 2019
Slide 2: Agenda
Agenda A Snapshot of 2019 • Key Achievements • Land Bank Business Review • Property Development • Property Investment & Management • Hospitality Investment & Management • Strengthened Capital Structure Future Plans & Strategies 2019 Results Highlights Appendix
Slide 3: Disclaimer
Disclaimer This presentation contains forward-looking statements that involve risks and uncertainties. These statements are generally indicated by the use of forward- looking terminology such as believe, expect, anticipate, estimate, plan, project, target, may, will or similar words that express an
Slide 4: A Snapshot of 2019
see eee SNAPSHOT OF 2019 i ex
Slide 5: Key Achievements
KEY ACHIEVEMENTS • We focused on delivering quality products and services to our customers to reinforce our market positioning and customer loyalty. We also continue to carry out proactive asset management to enhance our portfolio value, while improving efficiency and productivity. • We have strengt
Slide 6: Key Achievements – Cont'd
KEY ACHIEVEMENTS – CONT’D • In London, we have investment interests in a total of six Grade A commercial properties. All these properties are located in prime areas with steadily growing rental income as well as a diverse and quality tenant base. The acquisition of a fully-let Grade-A office tower a
Slide 7: Balanced and Diversified Land Bank in Hong Kong
Balanced and Diversified Land Bank in Hong Kong 1 2 3 4 1 Gage Street/Graham 3 5 4 2 Street, Central 66 6 Landmark East 7 6 7 Shui Hing Centre 8 5 9 8 9 Waterfront Suites Development properties Investment properties 7
Slide 8: Land Bank (as at 31 December 2019)
Land Bank (as at 31 DECEMBER 2019) Strategic land bank with focus in Hong Kong Investment Property Land Bank Overview By Business Segment Property Hospitality & Development Others Investment 15% 30% Property Industrial 70% 9% Office / Retail 76% Valuation as at Attributable Hong Kong London Others T
Slide 9: Business Review
BUSINESS REV F < a ++ Tr ‘ mm Ce HO 5S aE = al ee
Slide 10: Property Development
Property Development
Slide 11: Sales and Development Pipeline
Sales and Development Pipeline (as at 31 DECEMBER 2019) A sustainable and scalable project pipeline Available Estimated Completion Saleable Area / Property Development Portfolio Gross Beyond Group’s 2021 2022 Floor Area 2022 Interest (’000 sq. ft.) Hong Kong Le Cap* 109 35% Completed Development La
Slide 12: Completed Development in Hong Kong
Completed Development in Hong Kong Le Cap (69 units), Kau To, Shatin • Saleable area of approximately 142,800 sq. ft. • Low-density luxury residential project at peak of Kau To Shan • In 2019, approximately 3% and 15% of the residential units were sold and handed over, respectively • Cumulatively ap
Slide 13: Completed Development in Hong Kong – Cont'd
Completed Development in Hong Kong – CONT’D La Vetta (158 units), Kau To, Shatin • Saleable area of approximately 321,000 sq. ft. • Low-density luxury residential project • In 2019, approximately 18% and 24% of the residential units were sold and handed over, respectively • Cumulatively approximatel
Slide 14: Completed Development in Hong Kong – Cont'd
Completed Development in Hong Kong – CONT’D The Carmel (178 units), Siu Sau, Tai Lam, Tuen Mun • Saleable area of approximately 147,000 sq. ft. • Earmarked for low-density residential development • Occupation permit and certificate of compliance obtained in June and December 2019, respectively • Pre
Slide 15: Project Under Development in Hong Kong
Project Under Development in Hong Kong OMA OMA (466 units), So Kwun Wat Road, Tuen Mun • Saleable area of approximately 234,000 sq. ft. • Earmarked for medium-density residential development • Pre-sale consent obtained in June 2019 • Pre-sale launched in June 2019, with around 71% of the residential
Slide 16: Project Under Development in Hong Kong – Cont'd
Project Under Development in Hong Kong – CONT’D OMA by the Sea, Castle Peak Road, Tai Lam, Tuen Mun • Gross floor area of approximately 294,000 sq. ft. • Earmarked for medium-density residential development • Pre-sale consent obtained in March 2020 and newly named as OMA by the Sea in April 2020 • F
Slide 17: Project Under Development in Hong Kong – Cont'd
Project Under Development in Hong Kong – CONT’D Commercial Complex at Gage Street/Graham Street, Central • Combined gross floor area up to 433,500 sq. ft. • Earmarked for commercial complex development encompassing a Grade A office tower, a hotel, retail shops and public open space • Forming part of
Slide 18: Property Investment & Management
Property Investment & Management
Slide 19: Investment Portfolio in Hong Kong
Investment Portfolio in Hong Kong Gross floor area Occupancy as at (’000 sq. ft.) 31 December 2019 Grade A Offices Landmark East (AIA Kowloon Tower/ 1,338 93% AXA Tower) Industrial Property Shui Hing Centre 187 97% 19
Slide 20: Investment Portfolio in London
Investment Portfolio in London Commercial Property at Savile Row/Vigo Street, West End • Net internal area of approximately 14,000 sq. ft. of Grade A office and retail space Commercial Property on Brook Street, West End • Net internal area of approximately 19,000 sq. ft. of Grade A office and retail
Slide 21: Investment Portfolio in London – Cont'd
Investment Portfolio in London – CONT’D Commercial Property on Fleet Place, the City • Group’s interest of 25% • Net internal area of approximately 192,000 sq. ft. of Grade A office and retail space Commercial Property at Cavendish Square, West End • Group’s interest of 33% • Net internal area of ap
Slide 22: Investment Portfolio in London – Cont'd
Investment Portfolio in London – CONT’D Commercial Property at Gresham Street, the City • Group’s interest of 50% • Net internal area of approximately 404,000 sq. ft. of Grade A office and retail space as well as ancillary accommodation As at 31 December 2019, the above three joint venture propertie
Slide 23: Investment Portfolio in Beijing
Investment Portfolio in BEIJING Central Park, 6 Chaoyangmenwai Avenue, Chaoyang District • 33 units • Gross floor area of approximately 6,200 sq. m. • As at 31 December 2019, approximately 91% of the units were leased 23
Slide 24: Hospitality Investment & Management
HOSPITALITY Investment & Management
Slide 25: Hospitality Portfolio
Hospitality Portfolio Lanson Place Properties – Investment & Management • Strong brand recognition in Hong Kong and key gateway cities in Asia by customers as well as property owners Lanson Place Hotel, Hong Kong • Group’s interest: 100% • 194 units Chengdu Shanghai Waterfront Suites, Hong Kong Hong
Slide 26: Hospitality Portfolio – Cont'd
Hospitality Portfolio – CONT’D Lanson Place Properties – Management Tianfu Square, Chengdu 162 units Jin Qiao, Shanghai Two MacDonnell Road, 102 units Hong Kong 213 units Aroma Garden, Shanghai Chengdu Shanghai 79 units SM Mall of Asia, Manila Hong Kong One Sunland, Shanghai 400 units (scheduled to
Slide 27: Hospitality Investment and Management
Hospitality Investment and Management • Lanson Place has signed a 10-year management contract to manage a brand new hotel and serviced residence of approximately 400 units at the heart of SM Mall of Asia in Manila, Philippines in May 2019. The target completion date for the project is 2022, and that
Slide 28: Hospitality Investment and Management – Cont'd
Hospitality Investment and Management – CONT’D • Awards and recognitions: Waterfront Suites, Hong Kong: “Best Seaview Serviced Apartment” at the Squarefoot Best of the Best Awards 2019 Lanson Place Hotel , Hong Kong: “Hong Kong’s Leading Boutique Hotel 2019” at the World Travel Awards 2019
Slide 29: Strengthened Capital Structure
Strengthened Capital Structure November January 2013 May 2013 August 2014 October 2014 November August 2017 November 2012 2014 2017 Second Third Fourth Fifth Sixth Seventh Eighth First drawdown of drawdown of drawdown of drawdown of drawdown of drawdown of drawdown of drawdown of HK$480 HK$100 HK$10
Slide 30: Future Plans & Strategies
Future Plans & Strategies
Slide 31: Future Plans & Strategies
Future Plans & Strategies In near term In mid-to-long term Property • Continue to launch on further phases of • Actively utilise public land tender Development sales launches of Le Cap and La Vetta programme and private treaties to and the pre-sale of The Carmel and increase the number of residentia
Slide 32: 2019 Results Highlights
2019 Results Highlights
Slide 33: Financial Results Summary
Financial Results Summary For the year ended 31 December (HK$’M) 2019 2018 Revenue 830 885 6% Gross profit 666 709 6% Change in fair value of investment properties and (107) 254 142% financial instruments including joint ventures Profit from operations 166 1,324 87% Share of results of joint venture
Slide 34: Segment Results Overview
Segment Results Overview For the year ended 31 December (HK$’M) 2019 2018 Property Development Revenue 26 32 19% Profit/(loss) before taxation 15 (34) 144% Share of results of joint ventures and associates 205 66 211% Property Investment & Management Revenue 626 674 7% Fair value gain in i
Slide 35: Segment Results Overview – Cont'd
Segment Results Overview – CONT’D For the year ended 31 December (HK$’M) 2019 2018 Hospitality Investment & Management Revenue 122 144 15% Fair value changes in investment properties including joint (219) 85 358% ventures (Loss)/profit before taxation (232) 120 293% (Loss)/profit before taxa
Slide 36: Balance Sheet Summary
Balance Sheet Summary 31 December 31 December (HK$’M) 2019 2018 Total assets 36,323 35,428 3% Net assets 28,624 28,722 0% Equity attributable to shareholders of the company 27,102 27,201 0% Investment properties 20,427 20,459 0% Properties for sale 4,910 4,006 23% Bank balances and cash 1,740 2,874
Slide 37: Balance Sheet Summary – Cont'd
Balance Sheet Summary – CONT’D 31 December 31 December (HK$’M) 2019 2018 Total borrowings 4,681 5,035 7% Net borrowings 2,941 2,161 36% Gearing ratio 10.3% 7.5% (net borrowings to net assets) Maturity profile of borrowings Repayable: Within one year 147 3% 1,295 26% Between one and two years 1,261 2
Slide 38: Appendix
Appendix
Slide 39: Investment Thesis
Investment Thesis A credible and integrated property player in Hong Kong with a balanced and well-diversified 1 development and investment portfolio spanning the region and beyond Continue to grow the residential property development operations by proactively yet 2 cautiously acquiring land bank Own
Slide 40: Five Years' Financial Summary
Five Years’ FiNaNCial summarY Full Year Results 2019 2018 2017 2016 2015 (HK$’M) (Note 1) (Note 2) RESULTS Revenue 830 885 1,064 1,103 1,009 Profit before taxation 375 1,432 2,101 1,260 1,182 Taxation (70) (53) (99) (111) (83) Profit for the year 305 1,379 2,002 1,149 1,099 Attributable to: Sharehol
Slide 41: Five Years' Financial Summary – Cont'd
Five Years’ FiNaNCial summarY – CONT’D As at 31 December 2019 2018 2017 2016 2015 (HK$’M) ASSETS AND LIABILITIES Total assets 36,323 35,428 35,496 30,776 28,221 Total liabilities (7,699) (6,706) (7,686) (6,464) (4,874) Total equity 28,624 28,722 27,810 24,312 23,347 41