Slide 1: Q2 & 1H 2014 Financial Results Presentation
Q2 & 1H 2014 FINANCIAL RESULTS PRESENTATION 14 August 2014 ANALYST/ MEDIA BRIEFING Artist’s Impression of Coco Palms
Slide 2: Overview
OVERVIEW 1. FINANCIAL HIGHLIGHTS 2. HOTEL OPERATIONS 3. SINGAPORE PROPERTY MARKET 4. RESIDENTIAL & COMMERCIAL OPERATIONS 5. MOVING FORWARD Artist’s Impression of Jewel @ Buangkok
Slide 3: Financial Highlights
FINANCIAL HIGHLIGHTS Artist’s Impression of Commonwealth Towers
Slide 4: Key Financial Highlights
KEY FINANCIAL HIGHLIGHTS • Q2 2014 core earnings increased by 89.7%, after excluding divestment gains in Q2 2013. • No profit recognition from top-selling Coco Palms and Commonwealth Towers as they are either in early stages of construction or site works have not yet begun. Locked-in profits from th
Slide 5: Summary of Financial Highlights
SUMMARY OF FINANCIAL HIGHLIGHTS Q2 Q2 % 1H 1H % 2014 2013 Change 2014 2013 Change (Restated) * (Restated) * Revenue ($m) 861 813 5.9 1,595 1,590 0.4 PATMI ($m) 138 205 (32.8) 258 343 (24.9) 1 Core Earnings ($m) 138 73 89.7 258 188 37.3 Basic Earnings Per Share (cents) 14.5 21.8 (33.5) 27.6 37.0 (25.
Slide 6: Revenue for the 2nd Quarter (2005–2014)
FINANCIAL HIGHLIGHTS Revenue for the 2nd Quarter (2005 – 2014) 1,200 982 979 1,000 861 781 787 788 813 800 775 602 $ million 585 600 400 200 0 2005 2006 2007 2008 2009 2010 ^ 2011 2012 2013 * 2014 2nd Quarter ^ Restated due to the adoption of INT FRS 115 for 2010 only. * Restated due to the adoption
Slide 7: PATMI for 2nd Quarter (2005–2014)
FINANCIAL HIGHLIGHTS PATMI for 2nd Quarter (2005 – 2014) 250 221 205 200 194 189 165 150 140 138 138 $ million 100 45 50 23 0 2005 ° 2006 2007 2008 2009 2010 ^ 2011 2012 2013 * 2014 2nd Quarter ° Restated due to the changes in accounting policies. ^ Restated due to the adoption of INT FRS 115 for 20
Slide 8: Revenue for the Period Ended Jun (2005–2014)
FINANCIAL HIGHLIGHTS Revenue for the Period Ended 30 Jun (2005 – 2014) 2,000 1,800 1,753 1,687 1,635 1,544 1,590 1,595 1,600 1,540 1,410 1,400 1,200 1,103 1,143 $ million 1,000 800 600 400 200 0 2005 2006 2007 2008 2009 2010 ^ 2011 2012 2013 * 2014 Period ^ Restated due to the adoption of INT FRS 11
Slide 9: PATMI for the Period Ended Jun (2005–2014)
FINANCIAL HIGHLIGHTS PATMI for the Period Ended 30 Jun (2005 – 2014) 600 503 500 400 330 348 343 321 $ million 294 300 258 223 200 100 86 63 0 2005 ° 2006 2007 2008 2009 2010 ^ 2011 2012 2013 * 2014 Period ° Restated due to the changes in accounting policies. ^ Restated due to the adoption of INT FR
Slide 10: Revenue by Segment – 1H 2014 vs 1H 2013 & 1H 2012
FINANCIAL HIGHLIGHTS Revenue by Segment – 1H 2014 vs 1H 2013 & 1H 2012 1,000 1H 2012 1H 2013 (Restated) * 800 748 770 1H 2014 726 688 618 584 $ million 600 400 200 152 188 187 47 58 54 0 Property Hotel Operations Rental Properties Others Development 1H 2014 1H 2013 1H 2012 (Restated) * Property Deve
Slide 11: Profit before Tax by Segment – 1H 2014 vs 1H 2013 & 1H 2012
FINANCIAL HIGHLIGHTS Profit before Tax by Segment – 1H 2014 vs 1H 2013 & 1H 2012 300 1H 2012 250 1H 2013 (Restated) * 210 197 1H 2014 200 181 153 $ million 150 111 117 106 100 71 64 46 50 6 0 (5) (50) Property Hotel Operations Rental Properties Others Development 1H 2014 1H 2013 1H 2012 (Restated) *
Slide 12: Hotel Revenue by Region
FINANCIAL HIGHLIGHTS Hotel Revenue by Region 1H 2014 1H 2013 (Restated) * 6% 6% 44% 39 45% 24% 43 Asia 22% 161 187 329 337 United States Europe 197 203 New Zealand 26% 27% $770m $726m * Restated due to the adoption of FRS 110.
Slide 13: Hotel Occupancy by Region
FINANCIAL HIGHLIGHTS Hotel Occupancy by Region 80.0 75.7 75.0 74.5 74.3 Hotel Occupancy Rate (%) 72.7 69.0 70.0 65.2 63.2 1H 2013 1H 2014 60.0 50.0 Asia United States Europe New Zealand
Slide 14: Hotel RevPAR at Constant Currency
FINANCIAL HIGHLIGHTS Hotel Revenue Per Available Room at Constant Currency 230 205 207 200 202 193 200 187 Hotel RevPAR ($) 170 140 1H 2013 * 120 1H 2014 111 110 80 50 Asia United States Europe New Zealand * For comparability, 1H 2013 RevPAR has been translated at constant exchange rates (30 Jun 201
Slide 15: Capital Management
FINANCIAL HIGHLIGHTS Capital Management As at As at As at CDL Group Total 30/06/14 31/12/13 30/06/13 (Restated) * (Restated) * Net Borrowings $3,415m $2,589m $2,629m Interest Cover Ratio 10.7 x 13.7 x 13.7 x Cash and cash equivalents $3,350m $2,940m $2,651m Gearing ratio without taking in fair value
Slide 16: Hotel Operations
HOTEL OPERATIONS Boscolo Palace Roma
Slide 17: M&C Group Hotel Operations
HOTEL OPERATIONS M&C Group Profits continue to be affected by a range of factors including geopolitical events unsettling the hospitality sector, especially in Northeast Asia. Improvement in RevPAR (in constant currency) driven by increase in both occupancy and higher average room rate: RevPAR 1
Slide 18: 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 2014 2013 2014 2013 By region: ● New York 4 3 2,238 1,758 ● Regional US 15 16 4,463 4,938 ● London 8 7 2,651 2,493 ● Rest of Europe 16 16 2,695 2,695 ● Middle East * 17 16 5,066 4
Slide 19: M&C Group – Acquisitions: Chelsea Harbour Hotel
HOTEL OPERATIONS M&C Group – Acquisitions Completed – The Chelsea Harbour Hotel, London Located in a mixed-use development within the iconic Chelsea Harbour district of London. Offers 154 suites and 4 penthouses and will trade under the name, The Chelsea Harbour Hotel. The acquisition was comp
Slide 20: M&C Group – Acquisitions: Novotel New York Times Square
HOTEL OPERATIONS M&C Group – Acquisitions Completed – Novotel New York Times Square, US The 34-storey building is located in the heart of the Manhattan theatre district. Contains a four-star hotel offering 480 guests rooms, some office and retail space and a penthouse apartment. Extensive refu
Slide 21: M&C Group – Acquisitions: Boscolo Palace Roma
HOTEL OPERATIONS M&C Group – Acquisitions In Progress – Boscolo Palace Roma, Italy The conditional sale and purchase agreement was signed on 24 Feb 2014. Purchase price is €65.5m, subject to standard price adjustments. Completion is expected to occur in 2H 2014. Situated on Via Veneto, the h
Slide 22: M&C Group – Asset Enhancement
HOTEL OPERATIONS M&C Group – Asset Enhancement (on-going) Since the current refurbishment programme started in 2010, £106m had been spent up to 30 Jun 2014. Expect to spend a further £31m on projects that have already announced/approved for this year, with another £22m scheduled for 2015 onwards.
Slide 23: M&C Group – Asset Enhancement (Grand Hyatt Taipei)
HOTEL OPERATIONS M&C Group – Asset Enhancement (Grand Hyatt Taipei) In 1H 2014, £18m was spent mainly on renovating the east wing of the Grand Hyatt Taipei. £39m had been spent up to 30 Jun 2014. Guestroom refurbishment is now complete and hotel is operating within full room inventory. Furth
Slide 24: Singapore Property Market
SINGAPORE PROPERTY MARKET Artist’s Impression of Commonwealth Towers
Slide 25: Property Price Index – Residential (2009–1H 2014)
SINGAPORE PROPERTY MARKET Property Price Index – Residential (2009 – 1H 2014) Q1 14 All Residential Q2 14 211.6 209.4 220 200 180 160 140 120 100 80 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 09 09 09 09 10 10 10 10 11 11 11 11 12 12 12 12 13 13 13 13 14 14 Source : URA, Q2 20
Slide 26: New Private Residential Units Launched vs Sold
SINGAPORE PROPERTY MARKET No. of New Private Residential Units Launched vs Units Sold (Projects under Construction) (2009 – 1H 2014) New Units Launched New Units Sold (Projects Under Construction) 24,000 New Units New Units 22,000 Launched Sold Directly By 20,000 (excl. EC units) Developers (excl. E
Slide 27: Uncompleted Private Residential Units Available
SINGAPORE PROPERTY MARKET No. of Uncompleted Private Residential Units Available (2009 – 1H 2014) Not Launched Launched & Unsold 20,000 19,262 17,084 17,467 16,000 Launched Not Total 13,937 13,928 13,944 & Unsold Launched 2009 3,317 10,620 13,937 12,000 2010 3,528 10,400 13,928 Number of Units 2011
Slide 28: Property Price Index – Commercial (2009–1H 2014)
SINGAPORE PROPERTY MARKET Property Price Index – Commercial (2009 – 1H 2014) 160 Q1 14 Q2 14 133.5 133.5 140 120 Q1 14 Q2 14 129.5 129.1 100 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 09 09 09 09 10 10 10 10 11 11 11 11 12 12 12 12 13 13 13 13 14 14 S
Slide 29: Average Office Rental in CBD (2009–1H 2014)
SINGAPORE PROPERTY MARKET Average Office Rental in CBD (2009 – 1H 2014) 14.00 12.00 $11.14 $11.59 $10.21 $10.51 10.00 $9.74 $8.44 $8.92 $8.08 $8.37 $7.70 $7.90 8.00 Marina Bay/ Raffles Place $5.97 (Grade A) 6.00 Whole Island 4.00 2.00 0.00 2009 2010 2011 2012 2013 1H 2014 Source : JLL Research, Q2 2
Slide 30: Residential & Commercial Operations
RESIDENTIAL & COMMERCIAL OPERATIONS Coco Palms For Illustration Only
Slide 31: Singapore Residential: Units Booked / Sold
SINGAPORE RESIDENTIAL Units Booked / Sold Sales Value* No. of Total $’000 Units* Floor Area* (sq ft) 1H 2014 $1,070,978 1,115 912,754 1H 2013 $2,244,777 2,114 1,956,269 * Includes share of JV partners
Slide 32: 1H 2014 Launches – Commonwealth Towers
SINGAPORE RESIDENTIAL 1H 2014 Launches – Commonwealth Towers Commonwealth Towers Commonwealth Avenue • Two 43-storey towers with 845 units located at the doorstep of Queenstown MRT station • Close to the Tanglin precinct and Orchard Road shopping belt • Over 76% of 400 released units sold to date •
Slide 33: 1H 2014 Launches – Coco Palms
SINGAPORE RESIDENTIAL 1H 2014 Launches – Coco Palms Coco Palms Pasir Ris Grove • Resort-inspired development with 944 residential units and 6 shops • 5-minute walk to Pasir Ris MRT station and White Sands Shopping Centre • Final land parcel within the Pasir Ris Grove residential enclave • 670 of 780
Slide 34: Planned Residential Project Launches for 2H 2014
SINGAPORE RESIDENTIAL Planned Residential Project Launches for 2H 2014 (subject to market conditions) New Futura Leonie Hill Road • Two iconic 36-storey towers of 124 ultra-luxurious freehold residences • Designed by internationally renowned architectural firm, SOM • Exclusive address in District 9
Slide 35: Integrated Development – South Beach
SINGAPORE COMMERCIAL Integrated Development – South Beach Artist’sImpression Artist’s Impression Artist’s Impression Artist’s Impression Artist’s Impression Artist’s Impression • The South Beach (hotel) Artist’s Impression 654 rooms • South Beach Residences (2 to 4-bedroom & penthouses) 190 units •
Slide 36: South Beach Tower
SINGAPORE COMMERCIAL Integrated Development – South Beach Artist’s Impression South Beach Tower Beach Road Artist’s Impression • 34-storey tower with 500,000 sq ft of lettable Grade A office space • Expected completion: end 2014 Artist’s Impression • Lease commitment for 20% of office space secured
Slide 37: Land Bank Overview
LAND BANK OVERVIEW CDL’s Attributable Share (as at 30 June 2014) Land Area (Sq ft) Type of Development Local Overseas Total % (Local & Overseas) Residential 1,030,395 1,050,150 2,080,545 81.0% Commercial / Hotel 193,971 294,619 488,590 19.0% Total 1,224,366 1,344,769 2,569,135 100% Residential (Loca
Slide 38: Moving Forward
MOVING FORWARD Artist’s Impression of Hong Leong City Center, Suzhou
Slide 39: Moving Forward
MOVING FORWARD • Focus on diversification – Accelerate expansion initiatives to supplement existing operations • Overseas growth platforms with keen focus on UK, China, Japan and Australia - UK: 6 prime freehold sites in Greater London acquired to date for £157 million - China: Iconic residential pr
Slide 40: Overseas – UK
MOVING FORWARD Overseas – UK • Exciting prospects for investment in Greater London area • 6 freehold properties purchased to date for £157 million: 28 Pavilion Road, 32 Hans Road, 15 Lansdowne Road, Knightsbridge Knightsbridge Croydon 31/35 Chesham Street, 90-100 Sydney Street, 202 Kings Road, Belgr
Slide 41: Overseas – Japan
MOVING FORWARD Overseas – Japan Millennium Mitsui Garden Hotel Tokyo – M&C’s New Hotel in Tokyo’s Ginza District • On schedule to complete around Sep 2014 • Hotel is expected to officially open in Dec 2014 Artist’s Impression Artist’s Impression Artist’s Impression
Slide 42: Overseas – China: Eling Residences
MOVING FORWARD Overseas – China Eling Residences 鹅岭峰 Chongqing • 126-unit luxury residence • Sited at the peak of Eling Hill in Yuzhong district • Completion of all structural works by Sep 2014 Artist’s Impression Artist’s Impression Artist’s Impression
Slide 43: Overseas – China: Huang Huayuan Project
MOVING FORWARD Overseas – China Huang Huayuan project Chongqing • Mixed-use riverside development • Comprises 3 high-rise residential towers, 150-room hotel and mall • Sited alongside Jialing River in Yuzhong district • Good progress made in excavation and retaining wall works Artist’s Impression Ar
Slide 44: Overseas – China: Hong Leong City Center
MOVING FORWARD Overseas – China Hong Leong City Center 丰隆城市中心 Suzhou • Mixed-use waterfront development located at Jinji Lake, in Suzhou Industrial Park • Phase 1 – 462-unit residential tower & 899-unit SOHO tower • Phase 2 – 362-unit residential tower, office tower, Artist’s retail mall Impression
Slide 45: 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 46: www.cdl.com.sg
Option 1 Option 1 www.cdl.com.sg www.cdl.com.sg