20 10 Annual Results Announcem ent 2 March 20 11 1 1 - - PowerPoint PPT Presentation
20 10 Annual Results Announcem ent 2 March 20 11 1 1 FORWARD-LOOKI NG STATEMENTS Certain statements contained in this presentation maybe viewed as forward-looking statements. Such forward- looking statements represent the Companys
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Note: * The adjusted net profit for the year excluding non-operating items such as net gain on disposal of properties and JCE etc.
HK$'M FY2010 FY2009 yoy Turnover 32,211 22,209
+ 45.0%
Profit attributable to shareholders 1,411 710
+ 98.7%
Adjusted net profit * 1,068 679
+ 57.3%
Adjusted net profit margin 3.3% 3.0%
+ 0.3% pt
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FY2010 FY2009 yoy Basic earnings per share 78.33 HK cents 39.49 HK cents
+ 98.4%
Full year dividend per share 23.45 HK cents 15.80 HK cents
+ 48.4%
Final dividend per share 12.77 HK cents 11.29 HK cents
+ 13.1%
NAV per share HK$3.92 HK$3.20
+ 22.5%
Return on equity 23.0% 13.8%
+ 9.2% pt
10 10 HK$'M FY2010 FY2009 Change % Turnover * By Business Segment
Motor and Motor Related Business 24,640 15,650 + 57.4% Food and Consumer Products Business 7,203 6,238 + 15.5% Logistics Business 263 233 + 12.9% Other Business 105 88 + 19.3%
Total 32,211 22,209 + 45.0% By Markets
Mainland China 22,260 14,055 + 58.4% Hong Kong & Macao 7,919 6,455 + 22.7% Other Markets 2,032 1,699 + 19.6%
Total 32,211 22,209 + 45.0%
Cost of sales (28,269) (19,295) + 46.5%
Gross profit 3,942 2,914
+ 35.3% GP margin 12.2% 13.1%
Note: * For sales to third parties only
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Food & Consumer Products 22.4% Motor & Motor Related 76.5% Logistics & Others 1.1%
Motor & Motor Related 70.5% Logistics & Others 1.4% Food & Consumer Products 28.1%
FY2009
Note: * For sales to third parties only
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Hong Kong & Macao 29.1% Mainland China 63.3% Other Markets 7.6%
FY2009
Hong Kong & Macao 24.6% Mainland China 69.1% Other Markets 6.3%
Note: * For sales to third parties only
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HK$'M 31 Dec 2010 31 Dec 2009 Operating profit 1,718 1,204 (I ncrease) / decrease in working capital (1,453) 209 Cash generated from operation 265 1,413 I ncome tax paid (340) (223) Net cash (used in) / generated from
(75) 1,190 Net cash generated from / (used in) financing activities 369 (739) Net cash used in investing activities (333) (270) Net (decrease) / increase in cash and cash equivalents (39) 181
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HK$'M 31 Dec 2010 31 Dec 2009 Cash and bank deposits 1,991 1,895 Total debt 3,302 2,436 Net debt 1,311 541 Shareholders' funds 6,804 5,457 Total capital 8,115 5,998 Gearing ratio 16.2% 9.0%
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Disposal of entire 50% interest in JV with Shiseido Completion 2 July 2010 Consideration HK$500M Gain on disposal HK$331M Disposal of a property in Hong Kong Completion 12 August 2010 Consideration HK$124M Gain on disposal HK$122M
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HK$’M HK$’M
Segment Turnover Segment Results From Operations Segment Margin HK$'M FY2010 % of total FY2009 % of total Change % FY2010 FY2009 Change % FY2010 FY2009 Change % Mainland China 19,350 78.5% 11,755 75.1% 64.6% 953 581 64.0% 4.9% 4.9%
4,217 17.1% 3,188 20.4% 32.3% 328 227 44.5% 7.8% 7.1% +0.7% pt Other Markets 1,076 4.4% 709 4.5% 51.8% 20 7 185.7% 1.9% 1.0% +0.9% pt 24,643 100.0% 15,652 100.0% 57.4% 1,301 815 59.6% 5.3% 5.2% +0.1% pt 7,688 10,183 12,800 15,652 24,643 FY2006 FY2007 FY2008 FY2009 FY2010 298 483 641 815 1,301 FY2006 FY2007 FY2008 FY2009 FY2010
Segment Turnover Segment Results From Operations
19 19 Mainland China PRC market: Sold 18 million units of new vehicles, +32% DCH: Sold 58,800 units of new vehicles, +46% Distributorship Bentley: Leading in super luxury imported car Sold 815 units (2009: 421 units), +94% Added 4 Bentley dealership from 9 to 13 Opened Bentley Academy in Shanghai Isuzu: No.1 in Japanese imported heavy duty trucks Sold 6,953 units (2009:3,462 units), +101%
20 20 Mainland China
National Top 10 4S Shop Award
Dealership
► National Top 10 4S Shops: GAC Toyota, FAW Toyota, DF Honda ► Four-Star Sales and After-Sales Service: SGM Buick ► National Best Dealership General Manager: FAW Audi
Kunming Nanjing Shanghai Shenzhen Hangzhou Fuzhou Guangzhou Jiangmen Jiaxing Qujing Zhanjiang Zhongshan Shantou Foshan Meizhou Ningbo Nansha Yulin
New dealership network
Wuxi
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Motor Related Business
Independent service outlet, MotorMech, opened in Dongguan 4Q2010
Guangzhou in operation
covering 5 cities in Shanghai, Beijing, Tianjin, Chongqing and Shunde.
production in Nov 2010
Independent service outlet Lubrication oil blending plant
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Hong Kong
HK Market: Sold 40,700 units of new vehicles, +40% Motor Business
New vehicles sold by DCH: 9,214 units, +22% Market share: 23% Audi: Units growth: +35% due to more new models launched Showroom opened in Tsim Sha Tsui, Kowloon Nissan: Units growth: +27%, as demand for luxury MPV Elgrand increased Isuzu: Units growth: +91%, due to replacement of pre-Euro and Euro I vehicles Honda: Showroom relocated to Kowloon Bay
Motor Related Business
distribution
taxi tyres: 66%
Other Markets
2nd Audi Terminal in Hsinchu, Dec 2010
TW: Audi Terminal – Hsinchu HK: Audi Showroom – Tsim Sha Tsui
HK: Honda Showroom – Kowloon Bay
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Mainland China
PRC market: A double-digit growth in total market expected Distributorship
Dealership
Motor Related Business
Horizontal expansion:
Vertical expansion:
Bentley Mulsanne GQ Honda 4S shop Mercedes Benz showroom
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HK market: Steady DCH to capture demand for green vehicles:
programme of Selective Catalytic Reduction Devices on Euro II and Euro III diesel buses
Other Markets
commercial vehicles
Electric Car - Nissan LEAF Electric Bus – Great Dragon
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Segment Turnover Segment Results From Operations Segment Margin HK$'M FY2010 % of total FY2009 % of total Change % FY2010 FY2009 Change % FY2010 FY2009 Change % Mainland China 2,863 39.7% 2,273 36.4% 26.0% 71 52 36.5% 2.5% 2.3% +0.2% pt Hong Kong & Macao 3,439 47.7% 3,027 48.5% 13.6% 142 133 6.8% 4.1% 4.4%
Other Markets 904 12.6% 940 15.1%
(32) (74) 56.8%
+4.4% pt 7,206 100.0% 6,240 100.0% 15.5% 181 111 63.1% 2.5% 1.8% +0.7% pt
101 149 150 111 181 FY2006 FY2007 FY2008 FY2009 FY2010 5,047 5,626 6,428 6,240 7,206 FY2006 FY2007 FY2008 FY2009 FY2010
Segment Turnover HK$’M HK$’M Segment Results From Operations
26 26 Mainland China
FMCG - 34% yoy sales growth
Chocolate | Anlene & Anmum milk powder Brand’s health products | UHA chocolate
confectionary | Ausnutria milk powder | Wonderful nuts
Food Commodity - Steady growth
Upstream Business - Food processing plant in Jiangxu has started operation
Sweat manufacturing plant Phase 2 in Xinhui under construction Electrical appliances - Good sales in professional audio-visual products: Monster headphones | Polkaudio
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Hong Kong & Macao FMCG - Good sales on
►
existing products: Almond Roca chocolate | Campbell’s soup | Arla dairy products
►
new products: Brand’s health products | Mazola edible oil | Tabasco condiment Food Commodity - Healthy growth on wholesales and retail channels Upstream Business - Food processing capacity has been doubled in Yuen Long food processing centre Electrical appliances - Sales growth: 18%
sellers: Electrolux | Zanussi
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Good sales on the existing product line
► New item: Cabasse | Monster headphones | Polkaudio
Retail - Operating 79 Food Mart retail outlets
Other Markets Food - Sluggish growth in Singapore, Japan and Canada Electrical appliances - Yet to recover with European and American markets
Food Mart retail outlets Yuen Long Food Processing Centre
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Mainland China FMCG and Food Commodity - Increase product portfolio
Upstream Business - Increase the output of Jiangxu food processing plant
Electrical appliances - Launch more mid-to-high-end audio-visual products
Hong Kong & Macao FMCG and Food Commodity - Develop private label products
Retail - Plan to open more than 10 new stores in 2011 Upstream Business - Aggressive expansion on food processing business to acquire expertise for China & Hong Kong development Electrical appliances - Focus on high quality household appliances and audio-visual products Other Markets Singapore and Japan: Endeavour to secure market position to maintain profit contribution Manufacturing - Expecting a turn around in 2011 with new products launched
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HK$’M
204 268 295 326 365 FY2006 FY2007 FY2008 FY2009 FY2010 11 17 17 25 22 FY2006 FY2007 FY2008 FY2009 FY2010
Segment Results from Operations Segment Turnover HK$’M
Segment Turnover * Segment Results From Operations Segment Margin HK$'M FY2010 % of total FY2009 % of total Change % FY2010 FY2009 Change % FY2010 FY2009 Change % Mainland China 54 14.8% 29 8.9% 86.2% 1 (2) 150.0% 1.9%
+8.8% pt Hong Kong & Macao 311 85.2% 297 91.1% 4.7% 21 27
6.8% 9.1%
Overall 365 100.0% 326 100.0% 12.0% 22 25
6.0% 7.7%
* Including sales of internal customers of HK$102M
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Mainland China PRC: Cold storage and bonded warehouse in Xinhui Logistics Centre were in full operation in 2Q2010 Cargo volume growth: Bonded warehouse +50%, Non-bonded warehouse +150% The most comprehensive seamless cold chain system for a major HK based supermarket chain on sourcing, storage and delivery in the west PRD region Hong Kong Hong Kong: Yuen Long Logistics Centre was fully operated in 1Q2010 To strengthen total food supply chain strategy, planning to set up 3 distribution hubs with cold chain facilities in Guangdong, Fujian and Shanghai The 1st China food inspection centre in Xinhui will be established
Xinhui repacking centre Yuen Long Logistics Centre
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2007 2008 2009 2010
HK$515M
HK$1,411M
HK$563M HK$710M
CAGR: 40% Profit Attributable to Shareholders 2007 – 2010 Group Turnover 2007 – 2010
2007 2008 2009 2010
HK$16,050M
HK$32,211M
HK$19,496M HK$22,209M
CAGR: 26% Return on Equity 2007 – 2010 +10% points ROE growth
2007 2008 2009 2010
13% 12% 14%
23%
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growth forecasted
market
15 4S-Shops added
business, Independent service
inspection centre, Accessories manufacturing, etc
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