Highwealth Construction Corp. · TWSE:2542
Highwealth Construction — Non-Deal Roadshow (March 2015)
20 slides from Highwealth Construction's roadshow presentation, March 2015
Slide 1: Highwealth Construction Roadshow Presentation
HIGHWEALTH CONSTRUCTION (2542.tw) ROADSHOW PRESENTATION 2015 MAR
Slide 2: Disclaimer
Disclaimer The forward-looking information referred to in this briefing and the relevant information released at the same time are based on Company information and the observation of the overall economic development conditions. Such forward-looking information is subject to risks and uncertainties a
Slide 3: Company Introduction
Company Introduction • 1999: Listed on TWSE (2542.tw) • Capital: NTD 8,974 million • CEO: Mr. Chin-Tien Cheng • Chairman: Mr. Chih-Lung Cheng • General Manager: Mr. Hua-Chun Fan • Spokesperson: Mr. Chao-Hsiung Liao (VP of Development Dept.) • Company Address: 8F., No. 76, Section 2, Dunhua S. Rd., D
Slide 4: Four Major Group Businesses
Four Major Group Businesses Construction Business • Run Long Construction Chyi Yuh (1808.tw) • Bo Yuan Construction Construction • Jin Jun Construction Property Construction Engineering Management Hong Liang Materials Overseas Well Rich Jufeng Hotel International Consolidate the upper, middle, and d
Slide 5: Company History
Company History 1980 1999 2010 2011 2014 Company Highwealth began Revenue Run Long Revenue reached Incorporation trading on TWSE exceeded Construction NT$37.5 bn, a fourth (2542.tw) (1808.tw) consecutive year to NT$20bn, The group utilizes its joined the exceed $20 bn; hailed as subsidiaries to rank
Slide 6: Development Strategy
Development Strategy Business model: Continuous real estate development => Operational scale expansion => Creation of operational advantages Ample land bank: constantly prospect land source information to determine feasibility of various land developments, and actively expand prime location and land
Slide 7: Competitive Advantages
Competitive Advantages Longstanding Reputation 1. Highwealth is a listed construction company with more than 30 year history 2. With a total construction size of over 17,000 units , total floor area of 830,000 pings and construction expenditure exceeding NTD34.3 billion 3. Ample working capital as w
Slide 8: Business Performance
Business Performance Robust Profits: Ranks No. 1 Among Industry Peers 45.00 35.00 Gross Margin Net Profit Margin 40.00 30.00 35.00 25.00 30.00 20.00 25.00 15.00 - Industry 同業平均 - Industry 20.00 10.00 - Highwealth - Highwealth 15.00 5.00 10.00 0.00 2006 2007 2008 2009 2010 2011 2012 2013 -5.00 5.00 -
Slide 9: Business Performance
Business Performance Outstanding Revenue Performances 40 45% • 2010 annual revenues 41% 39% 38% of NT$27.5 billion 37% 35 40% stood as the highest among listed 32% 37.5 35% companies. 30 • Four consecutive 28.3 30% years of over NT$20 25 27.5 25% billion in revenues Operating from 2010 to 2014; 20 2
Slide 10: Business Performance
Business Performance Revenue Ratio for Various Businesses in 2012 0% 0% 2% 6% Properties Service Rent Engineering Contract 92% Others Revenue Ratio for Various Businesses in 2013 0% 6% 1% 0% Properties Service Rent Engineering Contract Others 93% 10
Slide 11: Financial Data – Balance Sheet
Financial Data – Balance Sheet 2010 2011 2012 2013 2014 Item Billion % Billion % Billion % Billion % Billion % Current Assets 60.2 99% 64.5 98% 85.6 98% 100.1 98% 106 98% Funds and 0.4 - 0.5 1% 0.2 - 0.2 - 0.2 - Investment Fixed Assets 0.5 1% 0.5 1% 0.9 1% 0.9 1% 0.9 1% Other Assets - - - - 0.7 1% 0
Slide 12: Financial Data – Consolidated Income Statement
Financial Data – Consolidated Income Statement 2010 2011 2012 2013 2014 Item Billion % Billion % Billion % Billion % Billion % Operating 27.5 100% 21.2 100% 18.7 100% 28.3 100% 37.5 100% income Operating 8.9 32% 8.7 41% 7.2 38% 10.5 37% 14.2 38% margin Operating Gains & 7.3 26% 6.9 33% 5.5 29% 7.8 2
Slide 13: Financial Data – Profitability
Financial Data – Profitability Item 2010 2011 2012 2013 2014 Return on Assets (%) 13% 11% 6% 7% 10% ROA Return on Equity (%) 48% 34% 24% 29% 37% ROE Pre-tax Profit to Paid-in 99% 91% 88% 131% 124% Capital Ratios (%) Net Profit Ratios (%) 25% 30 % 24% 23% 29% Earnings Per Share (NT$) 10.43 9.19 4.89
Slide 14: Greater Taipei Area
Greater Taipei Area Case Launch Map. Total: 19 Cases Yuan Shan No. 1 Song Jiang No. 1 Taipei CBD Taipei No. 1 Heart of the Ocean Linkou National No. 1 Feng He Bi Lake Place Xin Fang Chun Xing World Xinfu Yi Yipin Village Nangang Regeneration Taipei Surprise Twin Beauty Pavilion Hidden Treasure Godde
Slide 15: Taichung
Taichung Case Launch Map. Total: 12 Cases Goddess Legacy Forever Chanting APEC Clouds Ample BHW Time Square CBD Symphony of Seasons Hui Ming 145 Taichung No. 1 Ke Bo Twin Stars Goddess Gorgeous Goddess Aroma Golden Xin Xiang 15
Slide 16: Kaohsiung
Kaohsiung Case Launch Map. Total: 10 Cases Oriental Place Boai Project Art Castle King’s Castle National Feast Oriental Laurel Emperor No. 1 Liuhe Project Emperor View Xin Fu Hua 16
Slide 17: Market Trend Observations
Market Trend Observations Changes in the worldwide economic environment and the European economic crisis in particular has led to a widening gap between the rich and poor. Each government continues ease the monetary policies to stimulate the economies and, at the same time, levy higher taxes on the
Slide 18: Market Trend Observations
Market Trend Observations The basic source of growth in the housing market is the increase in the number of households. Although Taiwan’s population growth has slowed in recent years, the number of households has grown steadily, with an average annual increase of 120,000 new households over the last
Slide 19: Market Trend Observations - Xinyi House Price Index
50 100 150 200 250 300 350 100 150 200 250 300 350 50 1Q98 1Q98 1Q99 1Q99 1Q00 1Q00 1Q01 1Q01 1Q02 1Q02 Taipei City 1Q03 1Q03 Taichung City 1Q04 1Q04 1Q05 1Q05 1Q06 1Q06 1Q07 1Q07 1Q08 1Q08 1Q09 1Q09 1Q10 1Q10 1Q11 1Q11 1Q12 1Q12 1Q13 1Q13 1Q14 1Q14 100 150 200 250 300 350 50 100 150 200 250 300 350
Slide 20: Q&A
HIGHWEALTH CONSTRUCTION Q&A We Welcome Your Comments and Questions 20
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