Genting Malaysia Bhd. · MYX:GENM
Genting Malaysia Bhd — Citi ASEAN Investor Forum 2013
32 slides from Genting Malaysia Bhd's conference presentation, June 2013
Slide 1: Corporate Presentation - Citi ASEAN Investor Forum
No. 58019-U Corporate Presentation Citi - ASEAN Investor Forum June 2013 1
Slide 2: Agenda
Agenda Introduction Financial Highlights Malaysian Operations – Resorts World Genting Overseas Operations – United Kingdom – United States Looking Ahead 2
Slide 3: Introduction
Introduction GENTING MALAYSIA
Slide 4: Overview
Overview Market capitalisation of approx. RM22 billion (USD7 billion) Listed on the Malaysian Stock Exchange (Bursa Malaysia) A component company of the KL Composite Index Three gaming operations • Resorts World Genting • Genting Casinos United Kingdom • Resorts World Casino New York City 4
Slide 5: Overview (cont'): Resorts World Genting
Overview (cont’) Resorts World Genting – A leading integrated leisure & entertainment resort • 20.5 million visitors in FY12 (FY11: 20.2 million visitors) • > 14,000 employees • 3.5 million Genting loyalty card members • > 8,000 rooms at the Resorts World Genting • Adjusted EBITDA of RM2,042 million
Slide 6: Overview (cont'): Genting UK
Overview (cont’) Genting Casinos United Kingdom (“Genting UK”) – A leading casino operator in the UK • 3.8 million visitors in FY12 (FY11: 3.7 million visitors) • Operates 42 casinos (London: 6, Provincial: 36) • > 3,000 employees • Adjusted EBITDA of £39 million in FY12 (FY11: £33 million) 6
Slide 7: Overview (cont'): Resorts World Casino New York City
Overview (cont’) Resorts World Casino New York City (“RWNYC”) – New York’s leading video lottery gaming* facility • Opened on 28 Oct 2011 • 10 million visitors in FY12 (1st full year of operations) • Equipped with 5,000 gaming machines and other leisure facilities • > 1,500 employees • Adjusted EBIT
Slide 8: Corporate Structure – Leisure & Hospitality
Corporate Structure – Leisure & Hospitality Genting Berhad Berhad 49.3% Leisure, hospitality, Others entertainment and gaming 18.4% 100% 1 100% 100% 2 100% 100% 50% 50% 2 100% 43.4% 1 Includes Awana Hotel 2 2 Formerly known as Awana Hotels & Resorts 8
Slide 9: Malaysia
MALAYSIA
Slide 10: Financial Performance at a Glance – FY2012
Financial Performance at a Glance – FY2012 Higher revenue from Malaysia operations • Higher volume of business, offset by lower VIP hold percentage 23% growth in UK revenue • Higher volume of business from the London casinos US operations • Positive contributions from RWNYC attributable to ful
Slide 11: Financial Performance at a Glance – 1Q 2013
Financial Performance at a Glance – 1Q 2013 Higher revenue from Malaysia operations • Higher volume of business and hold percentage in the premium players business • Lower adjusted EBITDA margin due to higher promotional expenses and contributions towards the Group’s social responsibility efforts
Slide 12: Revenue and Adjusted EBITDA – FY2008 to FY2012
Revenue and Adjusted EBITDA – FY2008 to FY2012 Review of Performance Revenue growth: ↑17% y-o-y (FY12 vs FY11) to RM7,893 million (5-year CAGR: 13%) Adjusted EBITDA growth : ↑9% y-o-y (FY12 vs FY11) to RM2,527 million (5-year CAGR: 5%) ….…… Expecting further contributions from Overseas operation
Slide 13: Capital Management Strategy
Capital Management Strategy Dividend Net dividend per share : 6.60 sen in 2012 Dividend growth: ↑ 2% in FY12 (5-year CAGR: 6%) Dividend payout ratio (over adjusted earnings) of 27% Share Buy Back Initiated since July 2007 To date, bought back 266m shares for RM893m 4.48% of total issued
Slide 14: Aerial view of Resorts World Genting
Aerial view of Resorts World Genting 14
Slide 15: Resorts World Genting – Performance Review
Resorts World Genting – Performance Review Maintained Fair Performance: Revenue growth ↑ despite regional competition: • ↑ 1% y-o-y (FY12 vs FY11) • ↑ 3% y-o-y (1Q13 vs 1Q12) • Overall volume of business ↑ • Hold % in premium business players ↓ 5-year CAGR : 3% Adjusted EBITDA ↓ 3% y-o-y (FY12
Slide 16: Global Peer Comparison
Global Peer Comparison EBITDA margins by Property for FY2012 Source: Respective company reports …..… Amongst the highest property EBITDA margins globally 16
Slide 17: Resorts World Genting - Consistently High Occupancy Rates
Resorts World Genting - Consistently High Occupancy Rates 2.8 million room nights sold in FY12 - Bus Program underpinned weekday occupancy Card members took up 77% in FY12 of room sold (FY11: 73%) Malaysians took over 63% of rooms sold Day trippers in excess of 70% of total visitors ……. Incr
Slide 18: Regional competition: Resorts World Genting's resilience
Regional competition Segment Resorts World Genting’s resilience A strong 65% revenue mix for mass market business Strong domestic support Mass Locals form bulk of our 20m+ visitors Market 3.5m loyalty card members Competitive room rates, F&B and Theme Park prices … providing great value to
Slide 19: bese
nm iz bese > | xy bY — Reet ortol | CASINO -w NEW YORK 19
Slide 20: Genting United Kingdom
GENTING UNITED KINGDOM — i: se gia
Slide 21: Genting UK performance – FY 2012
Genting UK performance – FY 2012 UK Locations A leading casino operator in UK (6 in London and 36 in Provincial) Revenue ↑ 23% y-o-y (FY12 vs FY11) • London ↑ 34% • Provincial ↑ 8% Revenue Split (FY12) …….A stronger platform for growth 21
Slide 22: Genting UK performance – 1Q 2013
Genting UK performance – 1Q 2013 Visitors ↑ 9% - 1.05m (1Q13) vs 0.96m (1Q12) • London ↑ 8% • Provincial ↑ 9% Lower revenue from UK casinos • Lower hold % and volume of business in the London casino operations • Higher revenue from the Provincial casinos Revenue Split (1Q13) ……. Poorer luck fact
Slide 23: Resorts World Birmingham - Overview
Resorts World Birmingham - Overview Awarded a large casino licence to develop a destination resort at the National Exhibition Centre in Birmingham, England Strategic proximity – 15 mins to airport, 10 mins to train station, 5 access motorways Resorts World Birmingham to open by mid 2015 Inve
Slide 24: New York
an) NEW YORK 24
Slide 25: RWNYC Performance – FY 2012
RWNYC Performance – FY 2012 10 million visitors in FY12 Highest grossing video lottery facility in North America in revenue terms Win Per Unit (WPU) at premium relative to state and industry peers USD 'mil FY12 Net Revenue 211 Adjusted EBITDA 85 Adjusted EBITDA Margin 40% ……. Commendable resul
Slide 26: RWNYC Performance – 1Q 2013
RWNYC Performance – 1Q 2013 Average WPU ↑ 16% y-o-y in 1Q13 Market share* of 40% in 1Q13 (1Q12: 36%) Visitors ↑ 13% to 3.13m in 1Q13 (1Q12: 2.76m) * New York Statewide Video Gaming Total Net Win i) RWNYC’s 1Q13 net win - USD187m (1Q12: USD163m) ii) NY Statewide 1Q13 net win - USD473m (1Q12: US
Slide 27: OMNI Center
OMNI Center Location Overview – Downtown Miami, Florida Bimini Bay, Bahamas 27
Slide 28: Miami & The Bahamas
Miami & The Bahamas MIAMI Assembled a contiguous 30-acres prime freehold waterfront site in downtown Miami, including Miami Herald and OMNI Center (Total investment cost = USD442 mil) Master plan for Resorts World Miami being developed OMNI Center – Performance in FY2012 • Positive contributio
Slide 29: Genting Malaysia
GENTING MALAYSIA 29
Slide 30: Prospects and Focus
Prospects and Focus General Global economy continues to register growth amidst challenging economic environment Asian economies remained resilient Cautiously optimistic on overall outlook on L & H industry Resorts World Genting Continue to tap the expanding regional gaming market and grow th
Slide 31: Prospects and Focus
Prospects and Focus Resorts World Casino New York City Improve operational efficiencies Continue to grow customer database Improve infrastructural links e.g. transportation Resorts World Miami Pursuing a mixed use development potential Await State of Florida’s outcome on legislature framew
Slide 32: Thank You
Thank You Visit us at www.gentingmalaysia.com Disclaimer Some of the statements made in this presentation which are not statements of historical facts are forward-looking statements and are based on the current beliefs, assumptions, expectations, estimates, objectives and projections of the director
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