Cordlife Group Limited · SGX:P8A
Cordlife — FY2012 Earnings Presentation
22 slides from Cordlife's earnings presentation, Aug 24, 2012
Slide 1: FY2012 Results Presentation
FY2012 RESULTS PRESENTATION 24 August 2012 1
Slide 2: Executive Summary
Executive Summary Corporate Updates Poised for geographical expansion with recent proposed acquisition of China’s largest cord blood banking operator Financial 12.1% increase in revenue to S$28.8 million for FY2012 Highlights Revenue driven by rise in number of client deliveries and new cord t
Slide 3: Corporate Updates
CORPORATE UPDATES Ref: NMDP (www.marrow.org) 3
Slide 4: Accretive Acquisition
Accretive Acquisition Our Competitive Sole indirect shareholder Our Performance Strengths China Cord Guangzhou Disposes 10% Blood Acquires 10% Tianhe Nuoya indirect stake Corporation China’s largest Sole cord blood cord blood bank operation in banking Guangdong operator Rationale of Proposed *** Tra
Slide 5: Accretive Acquisition
Accretive Acquisition* Disposal of Acquisition of Guangzhou IPO 7.3 million proceeds: Tianhe Nuoya via US$4.0 shares (or 10%) CSCS: mil^ of CCBC: US$16.8 mil^ US$20.8 mil^ Represents an In line with intent to Disposal gain of Increase in excess of approx. use S$16.6 million approx. S$4.7 NTA/share a
Slide 6: New Facility
New Facility New, larger proposed headquarters and &facility at Yishun, Our Strategies A’Posh Bizhub, Our Performance on track toFuture open Plans by first quarter of 2013 Long term Increase our lock-in Plan to rent out current capacity excess capacity – Exploit economies of of fixed costs – Generat
Slide 7: Financial Highlights
FINANCIAL HIGHLIGHTS Ref: NMDP (www.marrow.org) 7
Slide 8: Financial Highlights
Financial Highlights Our Competitive REVENUE AND GROSS MARGIN ( FY2009 – FY2012) Strengths • GP margin averaging 71.6% FY2009 FY2010 FY2011 FY2012 Total Revenue (S$’mil) 22.6 28.2 25.7 28.8 Gross Profit (S$’mil) 16.4 20.5 18.3 20.0 Gross Profit Margin (%) 72.6 72.8 71.1 69.6 Net Profit (S$’mil) 6.5
Slide 9: Financial Highlights
Financial Highlights FY2012 PROFITABILITY RISES IN ABSENCE Our Competitive OF ONE-OFF Our Strategies & IPO EXPENSES Our Performance Strengths Future Plans HIGH GP MARGIN HOVERS AROUND 70% 4Q 4Q +(-)% Chg FY FY +(-)% Chg 2011 2012 2011 2012 Total Revenue (S$’mil) 7.0 7.5 6.5 25.7 28.8 12.1 Cost of Sa
Slide 10: Financial Highlights: Rising Revenue
Financial Highlights Our Competitive RISING REVENUE Our Performance • Primarily Strengthsdriven by increase in number of client deliveries for cord blood banking services • New cord tissue banking services in Hong Kong also contributed to revenue increase • Success of marketing and educational activ
Slide 11: Financial Highlights: Profitability Without One-off IPO Expenses
Financial Highlights PROFITABILITY WITHOUT ONE-OFF IPO EXPENSES • Our 4.1%Competitive increase in FY2012 to S$8.83 million Our Strategies & Our Performance • Strengths IPO expenses in FY2012: S$1.90 million Future Plans • Government grants received in FY2011 did not recur in FY2012 • Selling and mar
Slide 12: Financial Highlights: Rising Equity
Financial Highlights RISING EQUITY • Net asset value per share rises to 30.6 cents as at 30 June 2012* • Over the past 4 financial years, NAV/share has grown at a 19.6% CAGR CAGR = 19.6% * For FY2012, NAV/Share is computed based on the net asset value as at 30 June 2012 and the post-Invitation share
Slide 13: Financial Highlights: Healthy Balance Sheet
Financial Highlights HEALTHY BALANCE SHEET • Low gearing ratio of 0.04x • Cash & cash equivalents of S$30.4 million S$’000 As at 30 June 2012 Cash and cash equivalents* 30,445 Total Assets 90,363 Total Liabilities 19,204 Total Equity 71,159 Gearing Ratio** 0.04x * Inclusive of S$17.5 million in fixe
Slide 14: Financial Highlights: Strong Cash Position
Financial Highlights STRONG CASH POSITION • Well-poised for further market penetration and expansion at home and overseas • Strategic use of cash for accretive investments and fixed deposits (to lock in long-term costs) • Limited capital expenditure going forward (except for S$5 million set aside fr
Slide 15: Dividend
DIVIDEND Ref: NMDP (www.marrow.org) 15
Slide 16: Dividend: Intended Distribution
Dividend INTENDED DISTRIBUTION: OUR COMMITMENT TO SHAREHOLDERS To recommend & distribute dividends of at least 25% of FY2011 and FY2012 profits attributable to shareholders for FY2012 and FY2013 16
Slide 17: Dividend Payout
Dividend Payout DIVIDEND PAYOUT: EXCEEDS THE INTENDED DISTRIBUTION A TOTAL dividend of 3.8 cents per ordinary share for FY2012: A FINAL SPECIAL Payable on dividend of 14 Nov 2012 1.8 cents TOTAL SPECIAL An INTERIM dividend of dividend of 2 cents 1.8 cents • Declared in 3Q2012 • Paid out on 13 June 2
Slide 18: Industry Outlook
INDUSTRY OUTLOOK Ref: NMDP (www.marrow.org) 18
Slide 19: Industry Outlook: Demand Drivers
Industry Outlook DEMAND DRIVERS* Birth Rising Increase Favourable Rates Affluence Awareness and Government Acceptance Policies Singapore: Higher income Highly educated Subsidies and 38,000/yr leading to population pro-family increasing (expectant initiatives Hong Kong: healthcare mothers) 43,000 – e
Slide 20: Industry Outlook: Rising Penetration Rates in Key Markets
Industry Outlook RISING PENETRATION RATES IN KEY MARKETS* PENETRATION RATE (%) OF PRIVATE CORD BLOOD BANKS SINGAPORE HONG KONG CHINA Private incremental cord Private incremental cord Private incremental cord blood blood storage units to blood storage units to storage units to grow at a CAGR of grow
Slide 21: Industry Outlook: Recent Developments in the News
Industry Outlook RECENT DEVELOPMENTS IN THE NEWS IN SINGAPORE • The government is reviewing policies to further promote marriage and parenthood • Recent IHH listing generated renewed interest in healthcare companies IN CHINA • The government may reconsider the one-child policy • Healthcare sector is
Slide 22: Thank you Q&A
Thank you Q&A Ref: NMDP (www.marrow.org) 22