Sia Engineering Co. Ltd. · SGX:S59
Sia Engineering — FY2009/10 Earnings Presentation
19 slides from Sia Engineering's earnings presentation, May 17, 2010
Slide 1: SIA Engineering Company FY2009/10 Performance Review
SIA ENGINEERING COMPANY FY2009/10 Performance Review SIAEC A380 Hangar First in the World
Slide 2: Financial Review
FY2009/10 Performance Review FINANCIAL REVIEW SIAEC A380 Hangar First in the World
Slide 3: Summary of 4Q FY0910 Group Results
Summary of 4Q FY0910 Group Results 4Q FY0910 4Q FY0809 Variance $M $M % Revenue 272.6 245.8 + 10.9 Expenditure 231.4 219.1 + 5.6 Operating profit 41.2 26.7 + 54.3 Share of JV & Assoc Cos Profits 28.4 47.8 - 40.6 Profit before tax 78.7 76.9 + 2.3 Net profit 73.9 65.5 + 12.8 Net profit margin (%) 27.1
Slide 4: Summary of Group Results
Summary of Group Results FY0910 FY0809 Variance $M $M % Revenue 1,006.4 1,045.3 - 3.7 Expenditure 896.0 932.7 - 3.9 Operating profit 110.4 112.6 - 2.0 Share of JV & Assoc Cos Profits 129.7 173.0 - 25.0 Profit before tax 262.6 300.7 - 12.7 Net profit 236.1 260.6 - 9.4 Net profit margin (%) 23.5 24.9
Slide 5: Breakdown of Group Revenue
Breakdown of Group Revenue FY0910 FY0809 Variance $M $M % Airframe & Component Overhaul 500.8 562.0 - 10.9 Fleet Management 128.6 113.4 + 13.4 Repair & Overhaul 629.4 675.4 - 6.8 Line Maintenance 377.0 369.9 + 1.9 1,006.4 1,045.3 - 3.7 Financial Review
Slide 6: Group Expenditure
Group Expenditure FY0910 FY0809 Variance $M $M % Staff costs 413.5 429.5 - 3.7 Materials 220.4 229.9 - 4.1 Subcontract costs 93.3 108.6 - 14.1 Overheads 168.8 164.7 + 2.5 Expenditure 896.0 932.7 - 3.9 Financial Review
Slide 7: Profit Contribution
Profit Contribution FY0910 FY0809 Variance $M $M % Operating Segments Repair & Overhaul 31.5 35.6 - 11.5 Line Maintenance 78.9 77.0 + 2.5 110.4 112.6 - 2.0 JVs and Associated Cos Engine Overhaul and Components 107.1 142.5 - 24.8 Others 22.6 30.5 - 25.9 129.7 173.0 - 25.0 Financial Review
Slide 8: SIA vs Non-SIA Revenue
SIA vs Non-SIA Revenue SIA Non-SIA Total $M $M $M SIAEC 623.8 322.9 946.7 % of non-SIA work 34% Subsidiary Cos 37.2 47.2 84.4 % of non-SIA work 56% JV & Associated Cos - Engine Overhaul Centres 424.3 1,500.7 1,925.0 - Others 32.0 552.2 584.2 456.3 2,052.9 2,509.2 % of non-SIA work 82% Combined reven
Slide 9: Financial Statistics
Financial Statistics As at As at Variance Mar 10 Mar 09 % Shareholders' equity ($M) 1,264.8 1,228.9 + 2.9 Net asset value per share (cents) 117.0 114.0 + 2.6 Cash position (Grp) ($M) 425.8 372.5 + 14.3 FY0910 FY0809 EPS (cents) 21.9 24.2 - 9.5 % Return on average shareholders' funds (%) 18.9 22.1 -
Slide 10: Operational Review
FY2009/10 Performance Review OPERAT IONAL REVIEW SIAEC A380 Hangar First in the World
Slide 11: Line Maintenance: Growing Customer Base
Line Maintenance FY09/ 10 FY08/ 09 Flights Handled at Changi 103,360 98,064 5.4% 11 New Contracts 9 Renewed Contracts Bass Aero Growing Customer Base
Slide 12: Airframe Maintenance: Growing Customer Base
Airframe Maintenance FY09/ 10 FY08/ 09 A checks 452 315 C checks 91 116 D checks 19 23 8 New 3rd Party Contracts Dubai Air Wing Ongoing 3rd Party Contracts Mid East Jet Dubai Air Wing Renewed Growing Service Agreement Customer Base with SIA $2.2B
Slide 13: Expanding Global Footprint
Expanding Global Footprint J une 2009 Bahrain MRO service provider of Gulf Air Airbus fleet Sep 2009 Clark, Philippines First overseas heavy maintenance base
Slide 14: Expanding Infrastructure
Expanding Infrastructure Feb 2010 A380 Hangar First purpose-built A380 Hangar in the world Feb 2010 SAESL expansion New 12,000 sqm facility increases total area to 30,000 sqm
Slide 15: Expanding Strategic Relationships
Expanding Strategic Relationships 17 Apr 09 Gulf Air FMP contract Total value of contracts with Gulf Air: US$135M 21 J an 2010 MOU with Gulf Technics MRO base in Bahrain to serve airlines in the Middle East, Europe & North Africa 16 J une 2009 J oint Venture with Safran J V with leading French avion
Slide 16: Expanding Strategic Relationships
Expanding Strategic Relationships 18 J an 10 Investments in P&W Engine Scaling up the MRO value chain with investments in PW1000G new generation engine 8 Sep 2009 10-year contract with Panasonic Panasonic Avionics is a leading In-flight Entertainment System OEM 3 Feb 2010 MOU with Panasonic Avionics
Slide 17: Outlook
Outlook • The Group continues to strengthen its competitiveness by investing in servicing new engine types, strategic joint ventures and infrastructure development. • Efforts to improve productivity and manage costs continue. • With the upturn in travel demand and increase in flights at Changi, the
Slide 18: Proposed Final Dividend
Proposed Final Dividend FY0910 FY0809 Final Dividend (Tax Exempt One-Tier) (in cents per share) Ordinary 13.0 11.0 Total Dividend 18.0 16.0 Gross dividend yield (%) 5.1 * 8.6 Payout ratio (%) 82.4 * 66.2 * Inclusive of tax-exempt one-tier interim dividend of 5 cents/share ($53.9M) paid on 30 Novembe
Slide 19: SIA Engineering Company FY2009/10 Performance Review
SIA ENGINEERING COMPANY FY2009/10 Performance Review SIAEC A380 Hangar First in the World
SIA Engineering Company — FY2009/10 Earnings Presentation on 6ix