Slide 1: Half Year Financial Report 1 Jan – 30 Jun 2013
HALF YEAR FINANCIAL REPORT 1 Jan – 30 Jun 2013 6 August 2013 ANALYST / MEDIA BRIEFING Artist’s Impression of D’Nest
Slide 2: Agenda
AGENDA 1. FINANCIAL HIGHLIGHTS 2. SINGAPORE PROPERTY MARKET 3. OPERATIONS REVIEW Property Development Hotel Operations & CDLHT 4. MOVING FORWARD Artist’s Impression of D’Nest
Slide 3: Financial Highlights
FINANCIAL HIGHLIGHTS Quayside Isle
Slide 4: Key Financial Highlights
KEY FINANCIAL HIGHLIGHTS • Achieved sterling performance with profit up 48.0% for Q2 2013. • No revaluation surpluses on investment properties and hotels (including CDL Hospitality Trusts). • No profit recognition from fully sold Executive Condominiums (ECs) until completion of construction, in acco
Slide 5: Summary of Financial Highlights
SUMMARY OF FINANCIAL HIGHLIGHTS Q2 Q2 % 1H 1H % 2013 2012 Change 2013 2012 Change Revenue ($m) 802 788 1.8 1,565 1,635 (4.2) Profit Before Tax ($m) 273 203 34.6 459 418 9.8 PATMI ($m) 204 138 48.0 341 294 16.0 Basic Earnings Per Share (cents) 21.7 14.4 50.7 36.8 31.7 16.1 NAV Per Share ($) 8.30 7.66
Slide 6: Revenue for the 2nd Quarter (2004–2013)
FINANCIAL HIGHLIGHTS Revenue for the 2nd Quarter (2004 – 2013) 1,200 982 979 1,000 775 781 787 788 802 800 602 $ million 585 585 600 400 200 0 2004 2005 2006 2007 2008 2009 2010 * 2011 2012 2013 2nd Quarter * Restated due to the adoption of INT FRS 115 for 2010 only. Note : The above financial infor
Slide 7: PATMI for 2nd Quarter (2004–2013)
FINANCIAL HIGHLIGHTS PATMI for 2nd Quarter (2004 – 2013) 250 221 204 200 194 189 165 150 140 138 $ million 100 50 45 37 23 0 2004 ^ 2005 ^ 2006 2007 2008 2009 2010 * 2011 2012 2013 2nd Quarter ^ Restated * Restated due to the adoption of INT FRS 115 for 2010 only. Note : The above financial informat
Slide 8: Revenue for the Period Ended Jun (2004–2013)
FINANCIAL HIGHLIGHTS Revenue for the Period Ended 30 Jun (2004 – 2013) 2,000 1,800 1,753 1,687 1,635 1,544 1,540 1,565 1,600 1,410 1,400 1,179 1,143 1,200 1,103 $ million 1,000 800 600 400 200 0 2004 2005 2006 2007 2008 2009 2010 * 2011 2012 2013 Period * Restated due to the adoption of INT FRS 115
Slide 9: PATMI for the Period Ended Jun (2004–2013)
FINANCIAL HIGHLIGHTS PATMI for the Period Ended 30 Jun (2004 – 2013) 600 503 500 400 348 341 321 330 $ million 294 300 223 200 100 77 86 63 0 2004 ^ 2005 ^ 2006 2007 2008 2009 2010 * 2011 2012 2013 Period ^ Restated * Restated due to the adoption of INT FRS 115 for 2010 only. Note : The above financ
Slide 10: Revenue by Segment – 1H 2013 vs 1H 2012
FINANCIAL HIGHLIGHTS Revenue by Segment – 1H 2013 vs 1H 2012 1H 2013 1H 2012 4% 3% 10% 9% 39% Property Development 47 58 152 42% 156 618 Hotel Operations 688 Rental Properties 748 733 Others 46% 47% $1,565m $1,635m Overall change = 4%
Slide 11: Profit before Tax by Segment – 1H 2013 vs 1H 2012
FINANCIAL HIGHLIGHTS Profit before Tax by Segment – 1H 2013 vs 1H 2012 1H 2013 1H 2012 1% 11% 33% Property Development 6 46 47% 48% 153 15% Hotel Operations 64 197 219 Rental Properties Others 111 81 27% 18% $459m $418m Overall change = 10%
Slide 12: Capital Management
FINANCIAL HIGHLIGHTS Capital Management As at As at As at CDL Group Total 30/06/13 31/12/12 30/06/12 Net Borrowings $2,087m $2,357m $1,876m Interest Cover Ratio 15.0 x 17.4 x 16.3 x Cash and cash equivalents $2,518m $2,162m $2,310m Gearing ratio without taking in fair value 22% 25% 21% gains on inve
Slide 13: Singapore Property Market
SINGAPORE PROPERTY MARKET Artist’s Impression of Lush Acres
Slide 14: Property Price Index – Residential (2008–1H 2013)
SINGAPORE PROPERTY MARKET Property Price Index – Residential (2008 – 1H 2013) All Residential Q1 13 Q2 13 213.2 215.4 220 200 180 160 140 120 100 80 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 08 08 08 08 09 09 09 09 10 10 10 10 11 11 11 11 12 12 12 12 13 13 Source : URA, Q2 20
Slide 15: New Private Residential Units Launched vs Sold
SINGAPORE PROPERTY MARKET No. of New Private Residential Units Launched vs Units Sold (Projects under Construction) (2008 – 1H 2013) New Units Launched New Units Sold (Projects Under Construction) 24,000 22,000 New Units New Units 20,000 Launch Sold Directly 18,000 (excl. EC By Developers units) (ex
Slide 16: Uncompleted Private Residential Units Available
SINGAPORE PROPERTY MARKET No. of Uncompleted Private Residential Units Available (2008 – 1H 2013) Not Launched Launched & Unsold 20,000 18,266 17,084 16,000 Launched Not Total 13,937 13,944 & Unsold Launched 13,928 13,402 2008 3,880 14,386 18,266 12,000 2009 3,317 10,620 13,937 Number of Units 2010
Slide 17: Property Price Index – Commercial (2008–1H 2013)
SINGAPORE PROPERTY MARKET Property Price Index – Commercial (2008 – 1H 2013) Q2 13 140 Q1 13 130.8 128.9 120 Q2 13 Q1 13 128.0 125.8 100 80 60 Office Shop 40 20 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 08 08 08 08 09 09 09 09 10 10 10 10 11 11 11 11 12 12 12 12 13 13 Sourc
Slide 18: Average Office Rental in CBD (2008–1H 2013)
SINGAPORE PROPERTY MARKET Average Office Rental in CBD (2008 – 1H 2013) 16.00 $14.95 Raffles Place 14.00 Non CBD-Core 12.00 $9.35 $9.75 10.00 $8.60 $8.90 $8.95 $7.80 8.00 $6.15 $6.55 $6.40 $6.50 6.00 $5.20 4.00 2.00 0.00 2008 2009 2010 2011 2012 1H 2013 Source : JLL Research, Q2 2013
Slide 19: Operations Review
OPERATIONS REVIEW Artist’s Impression of D’Nest
Slide 20: Property Development
PROPERTY DEVELOPMENT Jewel @ Buangkok For Illustration Only
Slide 21: Property Development: Units Booked / Sold
PROPERTY DEVELOPMENT Units Booked / Sold Sales Value* No. of Total $’000 Units* Floor Area* (sq ft) 1H 2013 $2,244,777 2,114 1,956,269 1H 2012 $1,245,847 1,299 1,353,957 * Includes share of JV partners
Slide 22: Planned Residential Project Launches for 2H 2013
PROPERTY DEVELOPMENT Planned Residential Project Launches for 2H 2013 (subject to market conditions) Projects Units Launch Date Lush Acres EC (Total: 380) 380 Aug 2013 Tai Thong project 200 Apts Sep 2013 (Junction of Upp Serangoon & MacPherson Rds) 28 Shops (Total: 266 apartments, 28 shops) Total: 6
Slide 23: Land Bank by Sector (as at June 2013)
OPERATIONS REVIEW Land Bank by Sector (as at 30 June 2013) – CDL’s Attributable Share Land Area (Sq ft) Type of Development Local Overseas Total % (Local & Overseas) Residential 1,225,651 932,831 2,158,482 81.6% Commercial / Hotel 197,661 290,363 488,024 18.4% Total 1,423,312 1,223,194 2,646,506 100
Slide 24: Rental Properties Revenue by Sector
OPERATIONS REVIEW Rental Properties Revenue by Sector 180 $156m $152m 160 140 Rental Revenue ($m) 120 87 87 Office 100 Retail 80 Industrial Others * 60 40 47 50 20 6 7 11 13 0 1H 2012 1H 2013 * Including car park, serviced apartment and residential
Slide 25: Hotel Operations & CDLHT
HOTEL OPERATIONS & CDLHT W Singapore – Sentosa Cove
Slide 26: Hotel Operations: M&C Group
HOTEL OPERATIONS M&C Group Both revenues and profits were affected by challenging conditions in some of their key markets, in particular:- Continuing slowdown in Singapore corporate business and increasing cost pressures; Lower number of Japanese visitors in Seoul arising from the geo-politica
Slide 27: M&C Group – Hotel Room Count and Pipeline
HOTEL OPERATIONS M&C Group – Hotel Room Count and Pipeline Hotels Rooms 30 Jun 31 Dec 30 Jun 31 Dec Hotel and Room Count 2013 2012 2013 2012 By region: • New York 3 3 1,758 1,758 • Regional US 16 16 4,938 5,554 • London 7 7 2,493 2,493 • Rest of Europe 16 16 2,695 2,695 • Middle East 15 14 4,283 4,2
Slide 28: M&C Group – Asset Enhancement (On-going)
HOTEL OPERATIONS M&C Group – Asset Enhancement (on-going) Out of the £240m refurbishment programme, £77.8m had been spent up to 30 June 2013 since the commencement in 2011. £31.6m was spent under the programme in 1H 2013. Most of this was accounted for by works undertaken at Millennium Minneapol
Slide 29: M&C Group – Asset Enhancement (Plans)
HOTEL OPERATIONS M&C Group – Asset Enhancement (Plans) Refurbishment plans are on-going for a number of regional US hotels, including Millennium Hotel St Louis, Millennium Scottsdale Resort and Villas, Millennium Hotel Durham and Millennium Hotel Cincinnati. Millennium Scottsdale Resort and Villas
Slide 30: Hotel Revenue by Region
HOTEL OPERATIONS Hotel Revenue by Region 1H 2013 1H 2012 5% 5% Asia 22% 46% 39 46% 39 22% 167 161 United States 342 336 Europe 197 New Zealand 200 27% 27% $733m $748m Overall change = 2%
Slide 31: Hotel Occupancy by Region
HOTEL OPERATIONS Hotel Occupancy by Region 80.0 77.2 75.7 74.5 73.5 Hotel Occupancy Rate (%) 69.0 70.0 63.2 63.3 1H 2012 61.9 1H 2013 60.0 50.0 Asia United States Europe New Zealand
Slide 32: Hotel Revenue Per Available Room at Constant Currency
HOTEL OPERATIONS Hotel Revenue Per Available Room at Constant Currency 170 157 153 139 140 136 Hotel RevPAR ($) 122 112 110 1H 2012 * 1H 2013 77 80 70 50 Asia United States Europe New Zealand * For comparability, 1H 2012 RevPAR has been translated at constant exchange rates (30 Jun 2013).
Slide 33: CDL Hospitality Trusts (CDLHT)
CDL HOSPITALITY TRUSTS (CDLHT) S$’000 1H 2013 1H 2012 Change Gross Revenue 73,498 75,055 2.1% Net Property Income 67,890 70,125 3.2% Angsana Velavaru Gross revenue decreases mainly due to lower gross revenue from the Singapore hotels, partially mitigated by overseas properties like Angsana Velavar
Slide 34: Moving Forward
MOVING FORWARD Artist’s Impression of South Beach
Slide 35: Moving Forward
MOVING FORWARD • Global economic outlook for 2H 2013 remains unpredictable. • The Group has established various synergistic platforms for growth and will be developing overseas engines for a balanced and diversified portfolio in Singapore and abroad. Property Development • Locked-in profits from pre
Slide 36: Moving Forward: Rental, Hotels, South Beach
MOVING FORWARD Rental Properties • Rental properties segment expected to remain stable. Current occupancy of 96.2% (as at 30 June 2013) is higher than national average. Hotel Operations • Continue to remain a significant contributor to the Group’s revenue. • M&C will continue to strategically refurb
Slide 37: Moving Forward: Overseas Projects
MOVING FORWARD Overseas Projects Focus on developing its existing overseas growth engines via: (1) China • CDL China Limited – CDL’s wholly-owned subsidiary Developments in Chongqing and Suzhou • First Sponsor Capital Limited (FSCL) – M&C’s associate Developments in Chengdu (2) Real estate developme
Slide 38: Disclaimer
Disclaimer: This document may contain forward-looking statements that involve assumptions, risks and uncertainties. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions
Slide 39: www.cdl.com.sg
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