roxy-pacific holdings limitedroxypacific.listedcompany.com/newsroom/20131107... · spottiswoode 18...

1

Roxy-Pacific Holdings LimitedEstablished Specialty Property and Hospitality Group

Results Announcement3rd Quarter ended September 30, 20137 November 2013

Agenda

Financial Performance

Business Review

Group Borrowings

Outlook

2


Financial Performance


3

Financial Highlights – 3Q2013

Earnings almost doubled to S$16.1 million in 3Q2013

Revenue grew 76% to S$76.7 million

Share of profit of associates more than tripled to S$2.7 million

Progress billings of S$1.1 billion, to be recognised from 4Q2013

Landbank for development grew to sizeable total attributable gross floor area of 500,103square foot

Cash and cash equivalents amounted to S$346.8 million as of September 30, 2013


4


Financial Results – 3Q2013

5

3Q2013 3Q2012 % change

Revenue (S$’m) 76.7 43.6 76%

Gross Profit (S$’m) 25.5 17.3 48%

Gross Margin (%) 33% 40% -7ppt

Pre-tax Profit (S$’m) 19.8 10.7 85%

Net Profit (S$’m) 16.1 8.2 97%

EPS (cts) (1) 1.35 0.69 97%

(1) EPS has been adjusted for the bonus issue in 2013.


Financial Results – 9M2013

6

9M2013 9M2012 % change

Revenue (S$’m) 199.4 134.4 48%

Gross Profit (S$’m) 67.2 54.4 24%

Gross Margin (%) 34% 41% -7ppt

Pre-tax profit (S$’m) 56.0 39.5 42%

Net Profit (S$’m) 47.4 35.0 36%

EPS (cts) (1) 3.97 2.93 36%

(1) EPS has been adjusted for the bonus issue in 2013.

$16.6 $23.4$38.1

$60.9 $50.4 $38.1$53.7$25.9

$41.7$43.7

$55.3$46.8

$52.7

$68.9

$19.6

$34.9

$37.6

$53.1

$44.4 $43.6

$76.7

$40.6

$30.1

$44.1

$47.6

$42.1 $56.2

$0.0

$50.0

$100.0

$150.0

$200.0

$250.0

2007 2008 2009 2010 2011 2012 2013

4Q

3Q

2Q

1Q

$102.7

$130.1

$183.7 $190.6

$216.9

$163.5

$199.4

$102.7

$130.1

$183.7 $190.6

$216.9

$163.5

$199.4


Financial PerformanceTurnover Trend (S$’m)

Revenue in 9M2013 surpassed FY2012 revenue3Q2013 revenue increased by 76% y-o-yOverall, revenue increased by 48% to S$199.4m in 9M2013

7

48%

$2.7 $4.2 $6.4 $9.0 $10.0 $9.0 $11.8$5.0$8.9

$9.4$12.9

$16.5 $17.8$19.5

$2.5

$8.7 $6.2

$8.9

$13.4$8.2

$16.1

$9.0

$2.9 $5.9

$12.0

$11.9 $23.3

$0.0

$10.0

$20.0

$30.0

$40.0

$50.0

$60.0

$70.0

2007 2008 2009 2010 2011 2012 2013

4Q

3Q

2Q

1Q

$24.7

$19.2

$27.9

$42.8

$51.8

$58.3

$47.4


Financial PerformanceProfit Trend (S$’m)

3Q2013 net profit increased by 97% y-o-yOverall, net profit increased by 36% to $47.4m in 9M2013

8

36%


Segment Results – 9M2013Revenue (S$’m)

9

$163.5

$94.5

$35.8

$39.8

$-

$50.0

$100.0

$150.0

$200.0

$250.0

9M2013 9M2012

Property Development Hotel Ownership & Property Investment

$134.4$199.4

82%

70%

18%

30%

73%

10%

$49.8

$28.3

$13.5

$17.3

$5.3

$4.4

$0.0

$10.0

$20.0

$30.0

$40.0

$50.0

$60.0

$70.0

$80.0

9M2013 9M2012Property Development

Hotel Ownership & Property Investment

Fair vale gain on investment properties


Segment Results – 9M2013Adjusted EBITDA* (S$’m)

* Excludes corporate expenses and gain on disposal ofavailable-for-sale financial assets

10

7%

$68.6

$50.076%

21%

22%

73%

8%

35%

57%

20%

(1) Cash holdings include project account monies amounting to S$186.7m as at 30 September 2013 (31 December 2012: S$131.5m)

Total assets ( S$’m) 1,143.6 924.1 23.8%

Total debt ( S$‘m) 787.7 611.4 28.8%

Cash & cash equivalents ( S$‘m) 346.8 253.2 37.0%

Net Assets Value (“NAV”) ( S$‘m ) 284.8 253.6 12.3%

Adjusted Net Assets Value (“ANAV”) (S$‘m) 664.8 638.1 4.2%

NAV per share (cents) * 23.9 21.3 12.3%

ANAV per share (cents) *(2) 55.7 53.5 4.2%

Cash holdings per share (cents) *(1) 29.1 21.2 37.0%

Net Debt to ANAV (times) 0.66 0.56 17.9%

Return on Equity (%) 22.3 23.0 (3.0%)

(1)

(2)

(2) The fair value of Grand Mercure Roxy Hotel and office premise was estimated to be S$461.9m as at 30 September 2013 (31 December 2012: S$459.7m)

30 Sep 13 31 Dec 12 Increase / (Decrease)


11* The comparatives of 2012 were restated and adjusted for the bonus issue in 2013.


Business ReviewProperty Development


12

Revenue from Property Development (S$’m)

Increase in revenue by 73%from $94.5 million in 9M2012to $163.5 million in 9M2013

Mainly due to

• Higher revenuerecognition fromSpace@Kovan, Jupiter 18,Spottiswoode 18 &Treescape in 9M2013

• Absence of revenuerecognition from The MKZin 9M2012.


Business Review – 9M2013Property Development

13$2.9$6.6$8.1

$9.6

$5.3

$79.2$43.2

$16.7

$7.5

$35.7

$17.9

$8.8

$3.0

$13.5

0

20

40

60

80

100

120

140

160

180

9M2013 9M2012

The MKZ

Treescape

Space@Kovan

Jupiter 18

Spottiswoode 18

Straits Residences

Studios@Tembeling(TOP: Jul 12)Nova 88 (TOP: Apr 12)

The Verte (TOP: Jan 12)

73%

$163.5

$94.5

Attributable Revenue from Property Development (“PD”) – including JV projects (S$’m)



14

Jupiter 18, $16.7 ,8%

Straits Residences,$9.6 , 5%

Spottiswoode 18,$79.2 , 39%

Space@Kovan,$35.7 , 18%

Treescape, $8.8 ,4%

The MKZ,$13.5 , 7%

Haig 162, $2.2 ,1%

Eon Shenton, $7.9, 4%

Natura@Hillview,$17.4 , 9%

Nottinghill Suites,$7.8 , 4%

Millage, $0.81%

Other, $37.0 ,19%

9M2013

The Verte ,$2.9 , 3%

Nova 88, $6.6, 6%

Studios@Tembeling ,

$8.1 , 8%Jupiter 18,$7.5 , 7%

StraitsResidences,

$5.3 , 5%

Spottiswoode18, $43.2 ,

0.41

Space@Kovan, $17.9 , 17%

Treescape,$3.0 , 3%

Haig 162,$10.3 , 10%

Other, $10.3,10%

9M2012

9M2013 9M2012 % change

Group PD Revenue $163.5 $94.5 73%

Attributable PD revenue from JV projects $37.0 $10.3 260%

Total Group PD Revenue (including JV projects) $200.5 $104.8 91%

Share of results in associates (S$’m)Business Review – 9M2013Property Development


15

0.06

1.61

2.560.06

2.29

(0.26)

1.59

0.15

0.30

(0.15)

(1.00)

-

1.00

2.00

3.00

4.00

5.00

6.00

7.00

8.00

9M2013 9M2012

Millage

NottingHill

Eon Shenton

Natura@Hillview

Haig 162

385%

$6.8

$1.4

$188.4

$336.5 $346.2$471.6

$751.2

$1,031.5

$1,419.3

$53.0 $78.7 $65.4$143.0 $152.6 $169.8

$344.2

$0.0

$200.0

$400.0

$600.0

$800.0

$1,000.0

$1,200.0

$1,400.0

$1,600.0

2007 2008 2009 2010 2011 2012 9M2013

Sales value Revenue recognised


Strong attributable progress billings to be recognised (S$’m)Business Review – 9M2013Property Development

(1) Based on Option to Purchase granted up to 29 October 2013

$861.7

$1,075.1

(1)

Increased by24.8% compared

to FY2012

16

Project name Type of developmentGroupstake

Total units inproject Unit sold

Attributable total salevalue (1)

Attributable revenuerecognised up to 30

Sep 2013

Balance attributable progressbillings to be recognised from

4Q2013% Unit % $'m $'m $'m

1 Straits Residences Residential 100% 30 100% 20.3 20.1 0.22 Jupiter 18 Residential 100% 53 100% 35.8 33.2 2.63 Space@Kovan Shop 100% 56 100% 46.6 18.8 27.8

Residential 100% 140 100% 113.1 45.6 67.54 Spottiswoode 18 Residential 100% 251 100% 254.4 157.0 97.45 Nottinghill Suites Residential 45% 124 100% 39.5 11.7 27.86 Wis@Changi Shop 100% 7 100% 4.9 - 4.9

Restaurant 100% 16 100% 12.9 - 12.9office 100% 60 100% 60.5 - 60.5

7 Centropod@Changi Shop 100% 108 100% 54.4 - 54.4Restaurant 100% 9 100% 8.3 - 8.3

Office 100% 75 100% 78.7 - 78.78 Treescape Residential 100% 30 100% 29.2 14.2 15.09 Millage Residential 48% 70 100% 23.5 0.8 22.7

Shop 48% 86 100% 28.7 0.9 27.810 Natura@Hillview Residential 49% 193 100% 72.2 18.4 53.811 Eon Shenton Office 20% 98 100% 60.1 5.6 54.5

Residential 20% 132 95% 38.0 3.4 34.6Shop 20% 23 100% 4.8 0.4 4.4

12 The MKZ Residential 100% 42 100% 51.8 14.1 37.713 Jade Residences(2) Residential 100% 171 75% 153.6 - 153.6

Shop 100% 2 0% - - 014 Whitehaven(3) Residential 100% 120 81% 117.8 - 117.8

Shop 100% 1 100% 1.2 - 1.215 LIV on Sophia(3) Residential 90% 64 100% 78.5 - 78.516 LIV on Wilkie (4) Residential 90% 81 28% 30.5 - 30.5

Total 2,042 1,419.3 344.2 1,075.1


Strong attributable progress billings to be recognised – By Projects (S$’m)

(1) Based on Option to Purchase granted up to 29 October 2013 (2) Launched in April 2013 (3) Launched in May 2013 (4) Launched in October 2013


17

Landbanks

(1) equivalent to RM42,198,441.


Location / Description ApproximateLand Area

ApproximateGross Floor Area

Group’sstake

ApproximateAttributable Gross

Floor Area

ApproximateAttributable Land

Cost

(sq ft) (sq ft) % (sq ft) $’m

1 134B Lorong K Telok Kurau Singapore 23,160 32,423 100% 32,423 25.0

(Currently known as Sunnyvale)

2 111 Tampines Road Singapore 78,030 163,862 85% 139,283 115.6

(Currently known as Yi Mei Garden)

3 Lot 3370, Section 41, Jalan Dewan Sultan Sulaiman,Kuala Lumpur

64,131 698,717 47% 328,397 16.9(1)

165,321 895,002 500,103 157.5

18



Business ReviewHotel Ownership

19

92.5%

88.0%86.2%

94.2% 94.6%

89.9%92.7%

84.6%

$154.4

$200.3

$147.0

$166.4

$188.3$199.9 $200.5

$194.5

$142.8

$176.3

$126.7

$156.7

$178.1 $179.7$185.9

$164.5

$50.0

$80.0

$110.0

$140.0

$170.0

$200.0

$230.0

70.0%

73.0%

76.0%

79.0%

82.0%

85.0%

88.0%

91.0%

94.0%

FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 9M2012 9M2013

AOR ARR RevPar

AOR , ARR & RevPar

Business Review – 9M2013Hotel Ownership

RevPar decreased by 11% to $164.5 in 9M2013 compared to $185.9in 9M2012

* Decrease due to partial closure of hotel rooms for renovation. The room renovation was completed in June 2013.


20

8%*

11%

3%


Hotel Revenue (S$’m)

Business Review – 9M2013Hotel Ownership Hotel revenue decreased by 10% from S$38.6m in 9M2012 to S$34.6m in 9M2013

21

8.511.7 10.0 10.3 11.7 13.1 10.9

9.1

12.6

8.711.0

12.012.4

11.5

9.8

12.5

9.0

11.812.5

13.1

12.2

9.9

11.7

9.9

11.4

12.311.6

-

10.0

20.0

30.0

40.0

50.0

60.0

FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013

Q4

Q3

Q2

Q1

$37.3

$48.5

$37.6

$44.5

$48.5$50.2

$34.6

10%

3.6 5.3 3.4 3.9 4.8 5.4 3.7

3.95.8

3.0 4.65.0 4.8

4.2

4.3

5.4

3.2

4.75.4 5.2

4.4

5.0

5.1

3.7

4.5

5.2 4.2

$0.0

$5.0

$10.0

$15.0

$20.0

$25.0

FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013

Q4

Q3

Q2

Q1

$16.8

$21.6

$13.3

$17.7

$20.4$19.6

$12.3


Hotel Net Operating Profits (“NOP”) (S$m)

Business Review – 9M2013Hotel Ownership

Hotel NOP decreased by 20% from S$15.4m in 9M2012 to S$12.3m in 9M2013

Hotel Net Operating Profits is defined as the earnings before interest, taxes, depreciation and amortisation.22

20%


Business ReviewProperty Investment


23


Business Review – 9M2013Property Investment

Revenue (S$’m) Decreased by 1% in 9M2013 due toexpiry of lease terms for some shopunits in Roxy Square

24

$0.6

$1.8

$1.0

$1.3

$1.5

$1.6

$1.7$1.25 $1.24

$0.0

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

$3.5

FY2009 FY2010 FY2011 FY2012 9M2012 9M2013

Kovan Centre Roxy Square

$1.9

$3.3

$2.6

1%


7 November 2013

Results Announcement3rd Quarter ended September 30, 2013

GroupBorrowings

25

Group Borrowings

Debt Profile 30 Sep 13 31 Dec 12

Total borrowings $787.7m $611.4m

Fixed rate loans $118.9 m $183.8 m

Fixed rate loans as % of total loans (1) 15% 30%

Interest cover ratio (times) 13.8 16.2

Weighted average term for fixed rates loans 13 months 13 months

Weighted average interest rate (fixed rates loans) 2.30% 2.45%

Weighted average interest rate (floating rates loans) 1.92% 1.92%

(1) Includes $27.7 million loans under interest rate swap contracts to swap floating interest rates for fixed interest rates


26

Development loans -fully sold projects,

$381.7, 48.5%

Development loans -substantially soldprojects *, $146.1,

18.5%

Development loans -projects not launch

yet, $63.4, 8.0%

Revolving loans,$77.5, 9.8%

Repayable inSeptember 2014,

$4.2, 0.5%

Repayable in October2014 to September2018, $53.0, 6.7%

Repayable afterOctober 2018, $61.8,

7.8%

Term loans (Hotel &Shops) , 119, 15%

$591.2, 75%

Group BorrowingsDebt Profile as at 30 September 2013 (S$’m)

Total outstanding debts of S$787.7m as at 30 September 2013


27

* substantially sold development project is defined as a project where its actualtotal sales value achieved to-date ≥ estimated total development cost



Outlook

28

Outlook1. General

- Based on advance estimates by Ministry of Trade and Industry Singapore (“MTI”), Singapore’s economy grew by 5.1% on a year-on-year basis in

the 3rd quarter of 2013, compared to 4.2% in the 2Q2013. On a quarter-on-quarter seasonally-adjusted annualised basis, the economy contracted

by 1%, compared to the 16.9% expansion in the previous quarter.

2. Property Development

- Based on latest statistics released by Urban Redevelopment Authority (“URA”) on 25th October 2013, prices of private residential properties

increased by 0.4% in 3rd Quarter 2013, which is lower than the 1.0% increase recorded in 2nd Quarter 2013.

- New home sales has been affected following the new loan restrictions, Total Debt Servicing Ratio framework, announced by the Monetary

Authority of Singapore (“MAS”).

- The Group’s progress billings hit S$1.1 billion, the profits of which will be recognized from 4Q2013 to FY2017.

3. Hotel Ownership

- Singapore Tourism Board has forecasted tourism receipts of between S$23.5 to S$24.5 billion and visitor arrivals of between 14.8 million and

15.5 million in 2013 compared to 14.4 million in 2012.

- Along with Singapore’s healthy pipeline of upcoming MICE events, the Group is optimistic that the demand for the Group’s hotel rooms should

continue to be strong in the 4Q2013.

4. Strong financial flexibility with cash and cash equivalents of S$346.8 million and a S$200million Multicurrency Medium Term Note Programme

established in March 2013.

5. Barring any unforeseen circumstances, the directors expect the Group to be profitable in 2013.


29



Thank You

30

roxy-pacific holdings limitedroxypacific.listedcompany.com/newsroom/20131107... · spottiswoode 18...

Documents