Singapore Exchange Ltd. · SGX:S68
Singapore Exchange — ARA Asset Management — FY2015 Earnings Presentation
21 slides from Singapore Exchange's earnings presentation, February 2016
Slide 1: ARA Asset Management Limited Results for the Full Year ended 31 December 2015
ARA Asset Management Limited Results for the Full Year ended 31 December 2015
Slide 2: Corporate Profile
CORPORATE PROFILE ARA Asset Management Limited (“ARA” or the “Company” and together with its subsidiaries, the “Group”) is a premier integrated real estate fund manager in Asia, founded on its core values of Integrity, Excellence, Respect and Teamwork. Established in 2002, ARA is driven by a vision
Slide 3: FY2015 Highlights
AFA _ FY2015 Highlights tae, SETTING SIGHTS ON NEW HEIGHTS
Slide 4: Building a sustainable growth in AUM
FY2015 HIGHLIGHTS Business expansion initiatives to drive future growth Group Building a sustainable growth in AUM Further broaden our existing multi-product/jurisdiction AUM of platform for REITs ~S$30b S$3.2b Over S$1.4b Group of new Expansion into new target markets capital AUM committed growth(1
Slide 5: FY2015 Highlights
FY2015 HIGHLIGHTS Business expansion initiatives to drive future growth REITs: UNLOCKING VALUE WHILST SEEKING GROWTH AND DIVERSIFICATION Launched ARA’s third privately-held Korean REIT (ARA ShinYoung REIT) and the successful completion of its first investment in a residential development project i
Slide 6: ARA Rights Issue approximately 129% subscribed
FY2015 HIGHLIGHTS ARA Rights Issue approximately 129% subscribed Key Terms of ARA’s Renounceable Underwritten Rights Issue launched on 11 November 2015 Reference Market Price : 1.42 Rights Ratio : 18 for 100 Rights Issue Price : S$1.00 Rights Shares : 152,127,196 Gross Proceeds : Approximately S$152
Slide 7: Growth in Group AUM net of divestments
GROWTH IN GROUP AUM NET OF DIVESTMENTS Group AUM as at 31 December 2015 rose to S$29.8 billion S$b S$b 40.0 40.0 REITs - Real Estate 35.4 35.0 Private RE Funds - Real Estate 35.0 31.6 Private RE Funds - Capital 29.6 30.0 Real Estate Management Services 30.0 24.8 Total Adjusted AUM 21.6 25.0 25.0 17.
Slide 8: Continued growth in recurrent management fees
FY2015 HIGHLIGHTS Continued growth in recurrent management fees; 16% growth in adjusted net profit S$ '000 S$ '000 135,000 75,000 16% 130,000 3% 70,000 72,057 125,000 129,597 65,000 125,517 60,000 120,000 62,220 115,000 55,000 110,000 50,000 105,000 45,000 100,000 40,000 FY2014 FY2015 FY2014 FY2015
Slide 9: Strong growth in REIT management fees; 16% growth in adjusted net profit
FY2015 HIGHLIGHTS Strong growth in REIT management fees; 16% growth in adjusted net profit Financial Highlights FY2015 FY2014 Change Revenue Management fees(1) (S$’000) 129,597 125,517 3% Acquisition, divestment and performance fees(2) (S$’000) 13,453 24,593 -45% Finance income(3) (S$’000) 12,367 20
Slide 10: FY2015 Balance Sheet
FY2015 BALANCE SHEET Robust balance sheet Group balance sheet as at 31 December 2015 S$’000 S$’000 Plant and equipment 2,105 Loan and borrowings 14,118 Intangible assets 1,147 Other payables 1,832 Associates and joint venture 16,191 Deferred tax liabilities 115 Financial assets 397,294 Deferred tax
Slide 11: Building Sustainable Growth
Building Sustainable Growth 11
Slide 12: A Resilient Portfolio of Funds & Services
A RESILIENT PORTFOLIO OF FUNDS & SERVICES Diversified funds management platforms and complementary services REITs ARA-NPS REITs Listing Venue SGX-ST & SGX-ST HKEx Bursa SGX-ST HKEx Private REITs Private REIT HKEx Listing Year 2003 2004 2005 2006 2010 2011 2007; 2010(1) 2015 Focus Suburban Prime offi
Slide 13: Expanding Partnerships
EXPANDING PARTNERSHIPS Forging ahead with strong partnerships Straits Teachers New York NPS Anchor Cheung Kong Retirement State Common AmInvestment Trading Property CalPERS System of Retirement CWT Group Berhad Citic Bank South Investor of Company Holdings Texas Korea PIP Fund Leading Leading multi-
Slide 14: Strategic Focus
AFA Strategic Focus tds SETTING SIGHTS ON NEW HEIGHTS
Slide 15: Building Growth in the Private Funds Platform
BUILDING GROWTH IN THE PRIVATE FUNDS PLATFORM Greater flexibility and capabilities in seeding new funds and products ARA Private Funds Opportunistic Separate Accounts Club Deals Development “Blind Pool Funds” Funds Deal Sourcing & Origination Capital Raising Product Development LPs Straits Real Esta
Slide 16: ARA Group Investment Office
ARA GROUP INVESTMENT OFFICE Driving the Group’s expansion Capital Raising ARA Group Investment Office Deal Sourcing Product & Origination Development 16
Slide 17: Key Initiatives
KEY INITIATIVES Maintain focus and build on successes Joint New Markets Ventures / Build Build Alliances New Capital Investor Relationships Teams Pan-Asia Sources Operating Capabilities Driven Develop and Same Focus Partners Products Expertise (Fund Mergers & Management) Acquisitions 17
Slide 18: Established Regional Network
ESTABLISHED REGIONAL NETWORK Expanding regional footprint across Asia Beijing Shenyang Dalian • Established regional network South Korea Nanjing spanning 15 cities Shanghai in the Asia-Pacific Guangzhou including 6 cities in Hong Kong Mainland China • Established presence in Melbourne, Kuala Lumpur
Slide 19: Management Team
MANAGEMENT TEAM Experienced team with a proven track record JOHN LIM GROUP CEO NG BENG TIONG MOSES K. SONG ASSISTANT GRP CEO CUM CEO, PRIVATE ASSISTANT GRP CEO FUNDS CUM GRP CIO Private Funds Grp Investment REIT Division Real Estate Division Office Corporate JOHN LIM Management CEO NG BENG TIONG MOS
Slide 20: Thank You
Thank You SETTING SIGHTS ON NEW HEIGHTS
Slide 21: Disclaimer
DISCLAIMER These slides may contain forward-looking statements that involve 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 uncertainties, risks and assumptions. Representativ