Frasers Property Ltd. · SGX:TQ5

Frasers Property — Frasers Hospitality Trust — 2Q FY2019 Earnings Presentation

30 slides from Frasers Property's earnings presentation, Apr 30, 2019

  1. Slide 1: Frasers Hospitality Trust Financial Review for Second Quarter

    Frasers Hospitality Trust Financial Review for the Second Quarter Ended 31 March 2019 30 April 2019

  2. Slide 2: Important notice

    Important notice Certain statements in this presentation constitute “forward-looking statements”, including forward-looking financial information. Such forward-looking statements and financial information involve known and unknown risks, uncertainties and other factors which may cause the actual res

  3. Slide 3: Contents

    Contents  Financial Review and 1H FY2019 Distribution  Portfolio Performance  Risk and Capital Management  Market Outlook 3

  4. Slide 4: Financial Review and 1H FY2019 Distribution

    Financial Review and 1H FY2019 Distribution Fraser Suites Sydney Novotel Melbourne on Collins

  5. Slide 5: Financial Review for 2Q FY2019

    Financial Review for 2Q FY2019 SGD m 2Q FY2019 2Q FY2018 Variance Gross Revenue (GR) 34.6 37.5 7.6% Net Property Income (NPI) 25.2 27.8 9.1% Distribution Income (DI) 18.7 20.9 10.4% Distribution Per Stapled Security (DPS) 0.9846 cents 1.1126 cents 11.5%  GR and NPI declined year-on-year (yoy) by 7.

  6. Slide 6: Financial Review for 1H FY2019

    Financial Review for 1H FY2019 SGD m 1H FY2019 1H FY2018 Variance GR 75.2 78.9 4.7% NPI 56.3 59.2 4.9% DI 42.4 45.3 6.4% DPS 2.2388 cents 2.4233 cents 7.6%  GR and NPI declined yoy by 4.7% and 4.9% respectively due mainly to the weaker performance of the Malaysia and Japan portfolios which were par

  7. Slide 7: 1H FY2019 Distribution

    1H FY2019 Distribution 1 Oct 2018 to 31 Mar 2019 Distribution Rate 2.2388 cents per Stapled Security Last Day of Trading on “Cum” Basis 7 May 2019 First Day of Trading on “Ex” Basis 8 May 2019 Books Closure Date 9 May 2019 Distribution Payment Date 28 Jun 2019 7

  8. Slide 8: Portfolio Performance

    Portfolio Performance InterContinental Singapore

  9. Slide 9: Portfolio Contribution by Country for 2Q FY2019

    Portfolio Contribution by Country for 2Q FY2019 Germany Germany 5% 8% Malaysia Malaysia Japan 4% 5% 9% Japan 9% Australia Australia UK GR 47% NPI 40% 13% SGD 34.6 m UK SGD 25.2 m 13% Singapore 22% Singapore 25% 9

  10. Slide 10: Portfolio Highlights By Country for 2Q FY2019

    Portfolio Highlights By Country for 2Q FY2019 2Q FY2019 Country Gross Operating Revenue (GOR) Gross Operating Profit (GOP) Variance Local Currency Variance Local Currency (m) (yoy) (m) (yoy) Australia 31.1 4.0% 13.4 6.1% Singapore 21.6 0.9% 8.9 0.7% UK 5.5 14.2% 2.4 11.4% Japan 1,354.5 1.9% 320.8 4.

  11. Slide 11: Portfolio Highlights By Country for 1H FY2019

    Portfolio Highlights By Country for 1H FY2019 1H FY2019 Country Gross Operating Revenue (GOR) Gross Operating Profit (GOP) Variance Local Currency Variance Local Currency (m) (yoy) (m) (yoy) Australia 67.5 1.4% 30.3 0.9% Singapore 43.7 0.6% 17.8 0.5% UK 12.1 11.5% 5.9 9.5% Japan 3,086.9 3.3% 825.2 1

  12. Slide 12: Australia Portfolio Performance

    Australia Portfolio Performance AUD m 2Q FY2019 2Q FY2018 Variance GOR 31.1 32.4 4.0% GOP 13.4 14.3 6.1% • Novotel Melbourne on Collins (NMOC) • Novotel Sydney Darling Square (NSDS) • Sofitel Sydney Wentworth (SSW) • Fraser Suites Sydney (FSS) - In this quarter, the Australia portfolio saw GOR and G

  13. Slide 13: Singapore Portfolio Performance

    Singapore Portfolio Performance SGD m 2Q FY2019 2Q FY2018 Variance GOR 21.6 21.4 0.9% GOP 8.9 8.9 0.7% • InterContinental Singapore (ICSG) • Fraser Suites Singapore (FSSG) - The performance of the Singapore portfolio remained stable in 2Q FY2019, with GOR increasing by 0.9% and GOP declining by 0.7%

  14. Slide 14: UK Portfolio Performance

    UK Portfolio Performance GBP m 2Q FY2019 2Q FY2018 Variance GOR 5.5 4.8 14.2% GOP 2.4 2.2 11.4% • ibis Styles London Gloucester Road (ISLG) • Park International London (PIL) • Fraser Place Canary Wharf (FPCW) • Fraser Suites Edinburgh (FSE) • Fraser Suites Glasgow (FSG) • Fraser Suites Queens Gate (

  15. Slide 15: Japan Portfolio Performance

    Japan Portfolio Performance JPY m 2Q FY2019 2Q FY2018 Variance GOR 1,354.5 1,380.3 1.9% GOP 320.8 336.5 4.6% • ANA Crowne Plaza Kobe (CPK) - CPK’s GOR decreased 1.9% yoy due to lower F&B revenue while its GOP declined 4.6% due mainly to higher utilities costs arising from increased tariffs. - Notwit

  16. Slide 16: Malaysia Portfolio Performance

    Malaysia Portfolio Performance MYR m 2Q FY2019 2Q FY2018 Variance GOR 19.9 22.5 11.5% GOP 5.2 7.5 30.3% • The Westin Kuala Lumpur (TWKL) - TWKL’s GOR and GOP decreased yoy by 11.5% and 30.3% respectively as weaker corporate and group demand in Kuala Lumpur continued to affect the hotel’s room and F&

  17. Slide 17: Risk and Capital Management

    Risk and Capital Management Park International London

  18. Slide 18: Risk and Capital Management

    Risk and Capital Management As at 31 Mar 2019 As at 31 Mar 2019 Investment Properties SGD 2,139.9 m Weighted Average Years to Maturity 2.4 years Property, Plant and Equipment SGD 240.1 m Unsecured Debt 96.1% Total Assets SGD 2,477.9 m Effective Cost of Borrowing 2.6% Total Borrowings SGD 842.4 m Bor

  19. Slide 19: Market Outlook

    Market Outlook Maritim Hotel Dresden

  20. Slide 20: Australia

    Australia  Tourism Australia reported a yoy increase of 4.9% in international arrivals to 9.2 million for 2018, with Chinese visitors growing by 5.5% yoy.  For the first 2 months of 2019, international arrivals rose 2.5% yoy to 1.7 million.  However, in Sydney, new room supply added to the market

  21. Slide 21: Singapore

    Singapore  For 2018, the Singapore Tourism Board (STB) recorded a 6.2% yoy growth in international visitor arrivals to 18.5 million.  For the period from Jan to Feb 2019, international visitor arrivals rose 2.0% yoy to 3.1 million. China, Indonesia and India were the top three source markets for t

  22. Slide 22: UK

    UK  According to VisitBritain, the UK welcomed 37.8 million overseas visitors in 2018, down 4.0% yoy. Business visits were 3.0% below levels seen in 2017.  Going forward, uncertainty relating to global trade tensions and Brexit are anticipated to take a toll on the UK’s economic growth1.  Althoug

  23. Slide 23: Japan

    Japan  For 2018, Japan National Tourism Organization recorded a yoy growth of 8.7% in foreign visitors to 31.2 million.  The number of foreign visitors increased by 5.6% yoy for the first 2 months of 2019.  While inbound tourism from Europe and North America continues to see strong growth, the sl

  24. Slide 24: Malaysia

    Malaysia  For 2018, Tourism Malaysia reported a marginal 0.4% decline in tourist arrivals to 25.8 million.  It aims to achieve tourist arrivals of 28.1 million for 2019.  In Kuala Lumpur, significant supply influx has continued to weigh on room rates. As Malaysia is likely to implement a departur

  25. Slide 25: Germany

    Germany  For 2018, the Federal Statistical Office of Germany recorded a yoy increase of 3.9% in the number of overnight stays by domestic and foreign visitors1.  For the first 2 months of 2019, the number of overnight stays increased 2.0% yoy to 54.0 million1.  In Dresden, the total number of dom

  26. Slide 26: Experience matters

    Experience “GY ) Ay matters. aes A_A

  27. Slide 27: Well-Diversified Portfolio Across Geography

    Well-Diversified Portfolio Across Geography Edinburgh ▪ Fraser Suites Edinburgh Glasgow Europe ▪ Fraser Suites Glasgow UK Germany London Kobe ▪ ibis Styles London Gloucester Road ▪ ANA Crowne Plaza Kobe ▪ Park International London Japan ▪ Fraser Place Canary Wharf ▪ Fraser Suites Queens Gate Dresden

  28. Slide 28: Hotel Properties Managed by Third-Party Operators

    Hotel Properties Managed by Third-Party Operators Property Country Description Tenure Class Rooms Novotel Strategically located within Melbourne on Australia Melbourne’s core CBD area Freehold Upscale 380 Collins along Collins Street 4.5-star hotel located within Novotel Sydney Mid- Australia close

  29. Slide 29: Hotel Properties Managed by Frasers Hospitality and Third-Party Operators

    Hotel Properties Managed by Frasers Hospitality and Third-Party Operators Property Country Description Tenure Class Rooms Elegant hotel ideally located in Park International Mid- UK the heart of Kensington and 75 years1 171 London scale Chelsea ANA Crowne Unique panoramic view of Kobe Upper Japan Fr

  30. Slide 30: Serviced Residences Managed by Frasers Hospitality

    Serviced Residences Managed by Frasers Hospitality Property Country Description Tenure Class Rooms First luxury apartments in Fraser Suites Sydney designed by Upper Australia 75 years1 201 Sydney internationally renowned Upscale architects Luxurious serviced residences in Fraser Suites Upper Singapo

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