Keppel Ltd. · SGX:BN4
Keppel — Non-Deal Roadshow (March 2018)
20 slides from Keppel's roadshow presentation, Mar 6, 2018
Slide 1: Presentation to Investors
Presentation to Investors Hong Kong 5-6 March 2018 1
Slide 2: Disclaimer
Disclaimer This presentation may contain forward-looking statements which are subject to risks and uncertainties that could cause actual results to differ materially from such statements. Such risks and uncertainties include industry and economic conditions, competition, and legal, governmental and
Slide 3: Shaping the Future
Shaping the Future Keppel is an eco-system of companies working together, with a refreshed mission, to deliver solutions for sustainable urbanisation in a fast-changing environment. Global economic growth Digitalisation, AI and robotics Solutions for Sustainable Urbanisation Ageing Disruptive popula
Slide 4: Keppel's Eco-System
Keppel’s Eco-System Ramping up Current Engines Offshore & Property Infrastructure Investments Marine Enlarging capital base Keppel Capital Building New Keppel Urban Engines Harnessing operational strengths Solutions of Growth Collaborating for Growth Gas Value Chain Data Centres Smart Cities of the
Slide 5: Creating & Capturing Sustainable Value
Creating & Capturing Sustainable Value Capturing value: Project-Based SALE & SERVICE DESIGN • Newbuilds, repair & upgrading projects & • Residential projects BUILD • WTE technology packages Revaluation • Offshore & Marine Operation & Divestment Fee-based • Property • Infrastructure OWN STABILISE TRU
Slide 6: Delivering on Multi-Business Strategy
Delivering on Multi-Business Strategy Net Profit Excluding one-off global resolution and related costs of S$619m, net profit would have been S$836m for FY17, 836 784 up 7% yoy 619 Performance supported by stronger earnings in Property, Infrastructure and S$m Investments 217 0 Free cash inflow
Slide 7: Current & Future Growth Engines
Current & Future Growth Engines 77 7
Slide 8: Offshore & Marine
Offshore & Marine Build resilience & seize opportunities Develop rigs of tomorrow with digitalisation and IoT to improve efficiency and lower costs across project lifecycle Develop yards of the future integrating robotics and AI into manufacturing Develop, own and operate floating energy infra
Slide 9: Property
Property A multi-faceted property player with high returns Residential Landbank Residential Singapore Others 4% 2% Total landbank of ~63,000 homes located mainly Indonesia 12% in growing Asian economies ~63,000 China homes 50% Early mover’s advantage with sizeable landbank Vietnam 32% acquired a
Slide 10: Infrastructure
Infrastructure Develop, own & operate quality assets Wide-ranging expertise across energy & environmental infrastructure projects Infrastructure services contributed recurring revenue of ~S$160m in FY17 New projects won in Hong Kong and Integrated Waste Management Singapore extend earnings vis
Slide 11: Fueling Growth through Asset Management
Fueling Growth through Asset Management Keppel Capital boosts the Group’s capital recycling platform and expands its capital base with co-investors. Target to grow AUM to S$50b by 2022 Harnessing synergies to: Private Funds Among SGX’s largest increase recurring Property Pan-Asian commercial R
Slide 12: Strong Track Record in Master Development
Strong Track Record in Master Development Showcase: Sino-Singapore Tianjin Eco-City 2008 Today 12 12
Slide 13: Strong Track Record in Master Development
Strong Track Record in Master Development Showcase: Sino-Singapore Tianjin Eco-City Eco-City Residential Land Transactionsi 361,000 299,300 13,800 231,900 183,000 6,300 1,700 1,900 2014 2015 2016 2017 GFA Sold (sm) Avg. Selling Price (RMB/sm) Business model: Masterplanning, property development an
Slide 14: Keppel Urban Solutions
Keppel Urban Solutions Aims to pursue sustainable, smart urban development opportunities in the region Harnesses the Keppel Group’s diverse strengths and strong track record Incorporates open platform to partner best-in-class technology providers Collaborating with Keppel Land to develop the 6
Slide 15: Appendix: Financial Highlights
Appendix: Financial Highlights 15 15 15
Slide 16: Key Figures
Key Figures (Excluding one-off global resolution & related costs) S$m FY17 FY16 % Chg Revenue 5,964 6,767 (12) Operating Profit 776 795 (2) Net Profit 836 784 7 EPS 46.0cts 43.2cts 6 EVA (215) (140) 54 Free Cash Inflow 1,802 540 234 Increase of Annualised ROE 7.0% 6.9% 10 bps Decrease of Net Gearing
Slide 17: Revenue by Segments
Revenue by Segments S$m FY17 % FY16 % Offshore & Marine 1,802 30 2,854 42 Property 1,782 30 2,035 30 Infrastructure 2,207 37 1,744 26 Investments 173 3 134 2 Total 5,964 100 6,767 100 17 17
Slide 18: Net Profit by Segments
Net Profit by Segments (Excluding one-off global resolution & related costs) S$m FY17 % FY16 % Offshore & Marine (216) (26) 29 4 Property 685 82 620 79 Infrastructure 132 16 99 13 Investments 235 28 36 4 Total 836 100 784 100 18 18
Slide 19: Net Profit & EPS
Net Profit & EPS (Excluding one-off global resolution & related costs) Net profit (S$m) EPS (Cents) 1,846 1,885 102.3 103.8 1,525 84.0 685 726 38.0 39.9 405 22.3 457 414 363 784 836 25.3 22.9 20.0 46.0 43.2 124 6.8 143 7.9 347 406 397 225 291 19.2 22.3 21.9 12.4 16.0 205 161 11.3 8.9 357 339 360 260
Slide 20: ROE & Dividend
ROE & Dividend (Excluding one-off global resolution & related costs) Dividend in specie ~9.5cts/share 30.0% 100 Plus 90 25.0% 80 19.5% 18.8% 70 20.0% 60 15.0% 14.2% 50 48 40 10.0% 40 6.9% 7.0% 30 34 20 5.0% 22 20 10 10 12 12 0.0% 8 8 0 FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 ROE Interim Dividend Ful