SLIDE 1
Annual Results June 2003 Annual Results June 2003 Results/ - - PowerPoint PPT Presentation
Annual Results June 2003 Annual Results June 2003 Results/ - - PowerPoint PPT Presentation
Annual Results June 2003 Annual Results June 2003 Results/ Highlights L Net profit after tax up 56% to $26.7 million L Annual dividend of 12 cents per share fully franked up 20% L Continued drive towards diversification recurring income
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SLIDE 3
Annual Results June 2003
Results/ Highlights
L Continuation of conservative financial
management
– low debt and prudent accounting methods
L We have delivered on our promises and
- utperformed our targets
– Chairman’s message at 2002 AGM confirmed our aims were to achieve over 30% net profit growth in 2002/ 03 – we are on track to achieve EPS and dividend growth by at least 10% over the next 4 years
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Annual Results June 2003
Key Financial Results
2003 2002 Change
L Total Revenue (‘000s)
$294,910 $197,888 49%
L Operating profit after
tax (‘000s) $26,741 $17,090 56%
L EPS
23.53 cents 15.10 cents 56%
L Dividend – full year
12 cents 10 cents 20%
L NTA
153 cents 135 cents 13%
L Level of franking
100% 100%
L Gearing
12.1% 26.5%
- 54%
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Annual Results June 2003
Sum m ary Balance Sheet
2003 (‘000) 2002 (‘000) Current Assets 176,767 170,449 Non Current Assets 120,500 102,052 Total Assets 297,267 272,501 Current Liabilities 80,804 80,857 Non Current Liabilities 40,716 37,767 Total Liabilities 121,520 118,624 Net Assets 175,747 153,877 Contributed Equity 105,485 104,198 Reserves 6,035 7,188 Retained Profits 64,227 42,491 Total Equity 175,747 153,877
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Annual Results June 2003
Sum m ary of Each Division’s Contribution to Profit
Note: No profit from start-up business
- Funds Management.
Com m ercial Developm ent Residential Units Land Subdivision Retirem ent - ARH Construction Funds Managem ent
20% 21% 25% 17% 17%
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Annual Results June 2003
Operational Highlights Retirem ent - Key Points
Highlights Highlights
L Peregian Springs Retirement Country Club commenced construction L Minkara (Endeavour Lodge) serviced apartments completed
construction
L Bought remaining 50% of Cleveland Gardens Pty Ltd
(Bridgeman Downs and Cleveland Gardens now fully owned)
L 87 new units sold for $18.9 million L 214 resales generated $6.1 million in cash DMF (up 60% from 2001/ 02)
Outlook Outlook
L Rebranding of ARH to come under the FKP banner L Continued development at Peregian Springs, Mingarra,
Derwent Waters, Bridgeman Downs, The Domain, Minkara serviced apartments, The Parks
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Annual Results June 2003
Top 40 Owner/ Operators by Market Share
5 10 15 20 25 30 35 40 45 50 55 60 65 200 600 1000 1400 1800 2200 2600 A R H PrimeLife A R C Zig Inge RBD RSL R A A F A Fini Group Forest Place Southern Cross Tricare Gandel Henry Kendall Village Life Tarragal Glen Earle Haven Village Glen Central Coast Village Baxter Parkland Group Buderim Gardens St Ives Walmsley Quantivale Rechabites Carlyle Gardens Omega Willandra Mooltunya Life Care Services Preferred Living Environment Ocean Gardens (Inc) WA Baptist Homes Laguna Retirement Estate Balmoral Gdns Bluecare Craigcare Hazen Pty Ltd Norfolk Estate SA Tudor Village Mews Cumulative Mkt Share % Grand Total Colour: Owner/Operator Size: Grand Total A R H PrimeLife A R C Zig Inge RBD RSL R A A F A Fini Group Forest Place Southern Cross Tricare Gandel Henry Kendall Village Life Tarragal Glen * (Other)
ARH is Australia’s largest private sector owner/
- perator of
retirement units, with 23 villages in 5 states totalling 2,865 units accommodating
- ver 3,600
residents.
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Annual Results June 2003
Operational Highlights Funds Managem ent - Key Points
Highlights Highlights
L Successful launch of FKP Commercial Property Trust No.1 in
December 2002
L $34.5 million units subscribed by 700 investors (60% wholesale,
40% retail investors)
L $65.4 million in assets under management L First distribution to investors 12% above forecast
– paid distribution of 10.2% annualised - 30 June 2003
Outlook Outlook
L Launch of second Property Trust
– currently working on passive trust No.2 (approx $100 m) – exploring potential for enhanced trusts
L Continue to actively manage FKP Commercial
Property Trust No.1
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Annual Results June 2003
Operational Highlights Developm ents - Key Points
COMMERCIAL COMMERCIAL
Highlights Highlights
L Sold 120 Edward St, Brisbane for $62 million L Sold Mt Sheridan, Cairns for $19.7 million
Outlook Outlook
L Acquired new sites that will generate future profits
– $90 million Norwest Business Park, Sydney (40,000sqm) – $51 million Milton Rail Station, Brisbane (15,000sqm) – $49 million Gateway Industrial Estate JV, Brisbane (70,000sqm) – $13 million Paradise Road, Brisbane (130,000sqm)
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Annual Results June 2003
Operational Highlights Developm ents - Key Points
RESIDENTIAL APARTMENTS RESIDENTIAL APARTMENTS
Highlights Highlights
L 212 Margaret ($37 million) - 118 of 136 units sold L Marquis on Main ($40 million) - 35 of 42 units sold L Inn On The Park ($30 million) - 81 of 93 units sold L Macarthur Chambers ($40 million) - 54 of 74 units sold L $108 million in unconditional pre-sales not brought to account
Outlook Outlook
L Projects under development
– Soho ($30 million) - 50 of 92 units sold – Seamark ($30 million) - 57 of 67 units sold
(No profits have been brought to account on these projects during 2002/ 03)
L Currently seeking residential opportunities in Sydney
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Annual Results June 2003
Operational Highlights Developm ents - Key Points
LAND LAND
Highlights Highlights
L Peregian Springs - 120 lots sold for $19.1 million L Emmadale Park - 76 lots sold for $4.2 million L Castle Hill - 14 lots sold for $6.2 million L Sold under-performing estates at Teviot Downs, Poona Bay,
Cudgerie and Emerald Hills
Outlook Outlook
L Peregian Springs established as the largest subdivision in the
Maroochy and Noosa Shires - Coolum Ridges to come on line
L Expansion into Victoria
– Diamond Creek, Victoria - 50 lots – Ocean Acres, Torquay - 118 lots
L Land bank in excess of 2,7500 lots (approved)
– Sunshine Coast, Gladstone, Victoria
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Annual Results June 2003
Operational Highlights Construction - Key Points
Highlights Highlights
L Record $108 million turnover L Award winning team - 9 awards this year L Margins maintained at approx. 2002 levels despite difficult
trading conditions
L 40% of activity from external developers
Outlook Outlook
L Approx $77 million in projects in hand to be completed
2003/ 04
– Marquis on Main, Soho, Inn on the Park, Seamark, Mingarra, Peregian Springs Retirement Country Club, Derwent Waters, The Domain
L Continue to target 30% external works
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Annual Results June 2003
Corporate Business Structure
NSW Qld Victoria Land Commercial/ Industrial/ Retail Qld Apartments NSW Apartments Retirement Design Development Management Retirements Land Apartments Sales/Marketing Construction [internal/external] Administration Estimating Design Funding Packages Construction Development Acquisitions Funds Placements Asset Management Facility Management Funds Management Investment Operations Acquisitions Retirements Investment Investor Relations Legal & Compliance Company Secretarial Finance HR IT QA Corporate Services Corporate Support
CEO
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Annual Results June 2003
Outlook
L 2,865 retirement units under management with land to
develop an additional 500
L Property Trust No. 1 established and currently working
- n No. 2
L Total unconditional pre-sales of $142 million with no
profit taken up
L Land bank in excess of 2,750 lots in key strategic areas L Future $200 million worth of commercial property
developments
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Annual Results June 2003
Outlook
5 YEAR PLAN 5 YEAR PLAN
L Become a diversified national property group L Increase recurring income streams
– continued growth in retirement division – raising a number of passive funds and investigate more active funds
L Profit and dividends to increase a minimum 10% p.a.
- ver the next 4 years
L Develop further master planned communities L Queensland development model replicated
into NSW and then Victoria
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