Slide 1: Full Year Financial Report 1 Jan – 31 Dec 2009
FULL YEAR FINANCIAL REPORT 1 Jan – 31 Dec 2009 25 FEBRUARY 2010 CDL ANALYST PRESENTATION * Artist’s Impression of Cube 8
Slide 2: Agenda
AGENDA 1. FINANCIAL HIGHLIGHTS 2. SINGAPORE PROPERTY MARKET 3. OPERATIONS REVIEW 4. MARKET OUTLOOK 5. MOVING FORWARD * Artist’s Impression of The Arte
Slide 3: Financial Highlights
FINANCIAL HIGHLIGHTS * Artist’s Impression of Livia
Slide 4: Key Financial Highlights
KEY FINANCIAL HIGHLIGHTS • CDL post exceptional core earnings with Q4 2009 profit up 76.7%. • The Group registers the highest revenue and second highest profit since its inception in 1963, despite challenging economic conditions. • $1 billion cash generation from operating activities before tax with
Slide 5: Summary of Financial Highlights
SUMMARY OF FINANCIAL HIGHLIGHTS Q4 Q4 % FY FY % 2009 2008 Change 2009 2008 Change Revenue ($m) 922 718 28.4 3,273 2,945 11.1 Profit Before Tax ($m) 252 132 90.9 832 834 (0.2) PATMI ($m) 177 100 77.0 593 581 2.1 Basic Earnings Per Share (cents) 18.7 10.3 81.6 63.8 62.5 2.1 NAV Per Share ($) 6.57 5.97
Slide 6: Revenue for the Quarter Ended Dec
FINANCIAL HIGHLIGHTS Revenue for the Quarter Ended 31 Dec 1,000 922 900 766 800 738 718 640 687 700 603 600 $ million 500 400 300 200 100 0 2003 2004 2005 2006 2007 2008 2009 4th Quarter
Slide 7: PATMI for the Quarter Ended Dec
FINANCIAL HIGHLIGHTS PATMI for the Quarter Ended 31 Dec 250 235 200 177 137 150 $ million 101 100 97 100 62 50 0 2003 2004 * 2005 * 2006 2007 2008 2009 * Restated 4th Quarter The group has adopted FRS 40 cost model whereby its investment properties continue to be stated at cost less accumulated depr
Slide 8: Revenue by Segment – Q4 2009 vs Q4 2008
FINANCIAL HIGHLIGHTS Revenue by Segment – Q4 2009 vs Q4 2008 $m 500 456 423 450 409 400 Q4 2008 350 Q4 2009 300 250 176 200 150 100 66 73 50 20 17 0 Property Hotel Rental Others Development Operations Q4 2009 Q4 2008 Property Development 46% 25% Hotel Operations 44% 63% Rental 8% 9% Others 2% 3%
Slide 9: Profit Before Tax by Segment – Q4 2009 vs Q4 2008
FINANCIAL HIGHLIGHTS Profit Before Tax by Segment – Q4 2009 vs Q4 2008 $m 200 178 180 Q4 2008 160 140 Q4 2009 120 100 86 80 47 45 60 40 25 14 20 4 0 (20) (15) Property Hotel Rental Others Development Operations Q4 2009 Q4 2008 Property Development 71% 65% Hotel Operations 17% 36% Rental 10% 10% Othe
Slide 10: Revenue for the Year Ended Dec
FINANCIAL HIGHLIGHTS Revenue for the Year Ended 31 Dec 3,500 3,273 3,106 2,945 3,000 2,547 2,500 2,326 2,380 2,374 $ million 2,000 1,500 1,000 500 0 2003 2004 2005 2006 2007 2008 2009 Year Note : The above financial information is extracted from yearly announcements.
Slide 11: PATMI for the Year Ended Dec
FINANCIAL HIGHLIGHTS PATMI for the Year Ended 31 Dec 725 700 581 593 600 500 $ million 400 352 300 227 200 200 152 100 0 2003 2004 * 2005 2006 2007 2008 2009 Year * Restated Note : The above financial information is extracted from yearly announcements. The group has adopted FRS 40 cost model whereby
Slide 12: Revenue by Segment – FY 2009 vs FY 2008 & 2007
FINANCIAL HIGHLIGHTS Revenue by Segment – FY 2009 vs FY 2008 & 2007 $m 1,987 2,000 1,866 1,800 FY 2007 1,600 1,447 1,492 FY 2008 1,400 FY 2009 1,200 1,000 862 773 800 600 400 281 201 246 200 56 60 53 0 Property Hotel Rental Others Development Operations FY 2009 FY 2008 FY 2007 Property Development 4
Slide 13: Profit Before Tax by Segment – FY 2009 vs FY 2008 & 2007
FINANCIAL HIGHLIGHTS Profit Before Tax by Segment – FY 2009 vs FY 2008 & 2007 $m 580 545 506 477 FY 2007 520 460 FY 2008 400 FY 2009 340 286 280 245 220 133 134 139 123 160 100 29 31 40 (20) (27) Property Hotel Rental Others Development Operations FY 2009 FY 2008 FY 2007 Property Development 66% 57%
Slide 14: Capital Management
FINANCIAL HIGHLIGHTS Capital Management As at 31/12/09 As at 31/12/08 Incr/(Decr) Cash generated from operating $1,058m $517m 105% activities before income tax Cash and cash equivalents $981m $776m 26% Net Borrowings $3,053m $3,378m (10%) Gearing ratio without taking in fair value 40% 48% gains on i
Slide 15: CDL's Net Gearing (%) (2005 – 2009)
FINANCIAL HIGHLIGHTS CDL’s Net Gearing (%) (2005 – 2009) 70 Net Gearing (%) After taking in 50 After taking in 50 48 48 fair value gains fair value gains on investment on investment properties properties 40 40 27 30 2005 2006 2007 2008 2009 Maturity Period FY 2009 Within 1 year 20% 1 to 2 years 29
Slide 16: Singapore Property Market
SINGAPORE PROPERTY MARKET * Artist’s Impression of Volari
Slide 17: Property Price Index – Residential (2005 – 2009)
SINGAPORE PROPERTY MARKET Property Price Index – Residential (2005 – 2009) All Residential 200 180 Q4 09 165.7 160 140 120 100 80 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 05 05 05 05 06 06 06 06 07 07 07 07 08 08 08 08 09 09 09 09 Source : URA, Q4 2009
Slide 18: New Private Residential Units Launched vs Units Sold
SINGAPORE PROPERTY MARKET No. of New Private Residential Units Launched vs Units Sold (Projects under Construction) (2005 – 2009) New Units Launched New Units Sold (Projects Under Construction) 16,000 14,424 14,103 14,000 New Units New Units Launched Sold (Uncompleted) 12,000 2005 8,201 7,790 10,000
Slide 19: Uncompleted Private Residential Units Available
SINGAPORE PROPERTY MARKET No. of Uncompleted Private Residential Units Available (2005 – 2009) Not Launched Launched & Unsold 20,000 18,266 Launched Not Total & Unsold Launched 16,000 13,937 Number of Units 2005 2,949 7,328 10,277 12,000 10,277 2006 2,536 6,944 9,480 9,480 9,162 2007 2,063 7,099 9,1
Slide 20: Property Price Index – Commercial (2005 – 2009)
SINGAPORE PROPERTY MARKET Property Price Index – Commercial (2005 – 2009) 140 120 Q4 09 105.6 100 Q4 09 Index 80 92.0 60 Office 40 Shop 20 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 05 05 05 05 06 06 06 06 07 07 07 07 08 08 08 08 09 09 09 09 Source : URA, Q4 2009
Slide 21: Average Office Rental in CBD (2005 – 2009)
SINGAPORE PROPERTY MARKET Average Office Rental in CBD (2005 – 2009) 18 $16.00 16 $14.95 Raffles Place 14 Non CBD-Core 12 $psf/month $9.85 10 $9.60 $8.60 $7.80 8 6 $5.70 $5.15 4 2 0 2005 2006 2007 2008 2009 Source : JLL Research, Q4 2009
Slide 22: Average Prime Level Retail Rental (2005 – 2009)
SINGAPORE PROPERTY MARKET Average Prime Level Retail Rental (2005 – 2009) 35 $30.55 $30.80 $29.85 30 $27.95 25 $21.65 $21.50 $psf/month $21.05 $20.50 20 15 Primary Area 10 (Orchard Road) Suburban Area 5 0 2005 2006 2007 2008 2009 Source : JLL Research, Q4 2009
Slide 23: Operations Review
OPERATIONS REVIEW * Artist’s Impression of Hundred Trees
Slide 24: Property Development
PROPERTY DEVELOPMENT * Artist’s Impression of Cube 8 Show Suite
Slide 25: Planned Residential Project Launches for H2 2010
OPERATIONS REVIEW Planned Residential Project Launches for 1H 2010 (subject to market conditions) Expected Projects Units Launch Date The Residences at W Singapore Sentosa Cove 100 Mar 2010 (Total: 228) Chestnut Avenue (Total: 429) 200 Apr 2010 Pasir Ris Parcel 2 (About 642) 200 Jun 2010 Total 500
Slide 26: Land Bank by Sector (as at Dec 2009)
OPERATIONS REVIEW Land Bank by Sector (as at 31 Dec 2009) Type of Development Land Area (sq ft) % Residential (Local & Overseas) 2,606,757 76 Commercial / Hotel 368,877 11 Industrial 462,818 13 TOTAL 3,438,452 100 Residential (Overseas) 10% Industrial 13% Residential (Local) 66% Commercial/ Hotel 11
Slide 27: Rental Revenue by Sector for the year Ended 31 Dec
OPERATIONS REVIEW Rental Revenue by Sector for the year Ended 31 Dec $281m 300 $246m 250 Rental Revenue ($m) 200 186 Office 162 150 Retail Industrial 100 Others * 47 39 50 12 10 35 36 0 2008 2009 * Including car park, serviced apartment and residential
Slide 28: Hotel Operations
HOTEL OPERATIONS * Artist’s Impression of Millennium Hotel Liverpool and Copthorne Hotel Liverpool
Slide 29: Hotel Revenue by Region
OPERATIONS REVIEW Hotel Revenue by Region FY 2009 FY 2008 35% 34% 526 New Zealand 640 6% 92 Europe 6% 119 United States 466 Asia 408 586 521 27% 32% 28% 32% $1,492m $1,866m Overall change = 20%
Slide 30: Hotel Occupancy by Region
OPERATIONS REVIEW Hotel Occupancy by Region 80.0 76.9 74.6 73.1 71.9 Hotel Occupancy Rate (%) 70.0 66.6 65.6 62.2 62.4 2008 2009 60.0 50.0 Asia United States Europe New Zealand
Slide 31: Hotel Revenue Per Available Room at Constant Currency
OPERATIONS REVIEW Hotel Revenue Per Available Room at Constant Currency 170 161 155 147 146 140 125 Hotel RevPAR ($) 121 110 2008 2009 80 73 65 50 Asia United States Europe New Zealand * For comparability, FY 2008 RevPAR has been translated at constant exchange rates (31 Dec 2009).
Slide 32: Pipeline
OPERATIONS REVIEW Pipeline • 15 New contracts signed • 2 UK • 1 Taiwan • 12 Middle East • 3 Hotels opened • 1 UK • 2 China • 27 Hotels 8000+ rooms • Opening 2010-2015 • Studio M - soft opening Q2 2010 Artist’s Impression of Studio M Studio M bedroom
Slide 33: Market Outlook
MARKET OUTLOOK * Artist’s Impression of City Square Mall
Slide 34: Singapore Economic Outlook
MARKET OUTLOOK Singapore Economic Outlook • GDP grew by 4.0% year-on-year in Q4 2009, with broad based recovery in the services sector • The Singapore economy contracted by 2.0% in 2009, far better than original estimates of a contraction between 2.0% and 5.0% • The Government has upgraded its forec
Slide 35: Property Market – Residential
MARKET OUTLOOK Property Market – Residential • After a difficult Q1 2009, the economy rebounded strongly in Q2, leading to a spike in activities in the residential property market • Residential property prices increased by 1.8% in 2009 after rebounding strongly by 24.2% in the second half of the yea
Slide 36: Property Market – Office Rentals
MARKET OUTLOOK Property Market – Office Rentals • Office rentals have decreased by 23.6% in 2009 • Islandwide, occupancy for office space is 87.9% in Q4 2009, reversing four consecutive quarters of negative take-up • In 2009, there was approx 93,000 sq m of new office supply within the CBD Core. An
Slide 37: Moving Forward
MOVING FORWARD * Artist’s Impression of The Residences at W Singapore Sentosa Cove
Slide 38: Moving Forward
MOVING FORWARD • The global economic recovery is better than expected. The collective intervention by governments worldwide has enabled the stabilisation of economic fundamentals • The Government recently announced two new measures for a stable and sustainable property market. The Group believes tha
Slide 39: 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 40: Thank You
THANK YOU * Artist’s Impression of Cube 8