Boustead Projects Limited FY2018 Annual General Meeting 26 July - - PowerPoint PPT Presentation
Boustead Projects Limited FY2018 Annual General Meeting 26 July 2018 Group Financial Performance One-off gains from Ausgroup & Revenue (S$m) PBT (S$m) TripleOne Somerset 50.0 300.0 255.5 45.0 255.4 13.8 250.0 209.2 40.0 228.3
26 July 2018
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22.7 19.5 13.9 14.9 21.0 11.3 13.9 15.8 16.2 14.4 5.3 13.8 209.2 255.4 255.5 228.3 201.3
0.0 50.0 100.0 150.0 200.0 250.0 300.0 0.0 5.0 10.0 15.0 20.0 25.0 30.0 35.0 40.0 45.0 50.0 FY2014 FY2015 FY2016 FY2017 FY2018 Revenue (S$m) PBT (S$m) D&B Leasing Sale of properties Others Revenue
One-off gains from Ausgroup & TripleOne Somerset
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▪ Public sector continued to dominate total construction demand. (~64% in CY2017) ▪ During CY2017, the Singapore Government awarded ~$1.67bil(1) worth
industrial building construction contracts.
13.8 11.0 9.0 13.3 15.4 15.8 27.0 26.4 24.8 2015 2016 2017 Contracts Awarded (1) Private Public
Source: (1) Building & Construction Authority
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▪ Revenue fell 13% year-on-year on usually low value of contracts secured during FY2017 for revenue conversion in FY2018, and completion of a project with significant revenue contribution in FY2017 ▪ Profit before income tax (PBT) growth on productivity improvements, unlocking of cost savings and conversion of projects with higher margins ▪ Healthy level of new contracts secured amid challenging market
187.3 228.9 221.1 195.2 169.9 158 284 189 140 233 28.0* 19.5 13.9 14.9 21.0 5 10 15 20 25 30 50 100 150 200 250 300 FY2014 FY2015 FY2016 FY2017 FY2018 Revenue Contracts Secured PBT
*Includes $5.3m contribution from sale of properties
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S$’million
240.6 157.7 139.7 225.4 43.4 30.6 0.7 0.2 7.6 284 189 140 233
50 100 150 200 250 300 FY2015 FY2016 FY2017 FY2018
Vietnam Malaysia Singapore
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Property Type 1Q 2018 Y-o-y Change Rental Index(1) All 91.1
Multi-user factory 89.1
Single-user factory 97.5
Business park 111.5 +6.9% Warehouse 85.5
▪ Overall market demand for industrial spaces remain soft. (Overall rental index fell 2.0% year-on-year whilst occupancy rates slipped 0.4%.) ▪ Business park space remains a bright spot with rental index increasing 6.9% year-on-year. ▪ Limited government land tender and industrial land allocation opportunities for developers.
Source: (1) JTC 2018 1Q Quarterly Report
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▪ Lower leasing revenue mainly due to AusGroup’s early lease termination (for 36 Tuas Road property) and lease expiry for 85 Tuas South Ave 1 ▪ Lower profit before income tax (PBT) mainly due to AusGroup early lease termination, lease expiry at 85 Tuas South Ave 1 and absence of one-off other gains
20.3 22.8 30.7 30.1 31.5 10.7 13.0 14.4 15.0 14.4 1.6 3.7 3.7 3.0
0.6 0.9 1.4 1.2
4.9 21.9 26.5 34.4 33.1 31.5 11.3 13.9 15.8 21.1 14.4 10 20 30 40 FY2014 FY2015 FY2016 FY2017 FY2018 S$’mil
Revenue (Others) Revenue (AusGroup) PBT (Others) PBT (AusGroup) PBT (AusGroup Compensation)
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SINGAPORE
Under Boustead Development Partnership:
Building Phase 3
ALICE @ Mediapolis
MALAYSIA
Under THAB:
Port of Tanjung Pelepas
VIETNAM
development of Boustead Industrial Park
and marketing of Phase 1 (ready-built factories)
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S$’million
17.2 21.9 26.5 34.4 33.1 31.5 13.2 16.6 19.8 24.9 23.4 20.7 0.8 1.7 3.1 5.3 0.6 1.3 2.5 4.1
5 10 15 20 25 30 35 40 FY13 FY14 FY15 FY16 FY17 FY18 Revenue NPI BP's Share of Revenue - JV BP's Share of NPI - JV
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By Revenue
16.3% 83.7% 24.1% 8.6% 67.3%
Light Industrial General Industrial Business Park
Wholly-Owned FY17 FY18
14 14 Property Value ($’million) 351.8 345.9 Total Portfolio GFA (Million sqf) 1.8 1.8 Portfolio Occupancy (by NLA) 87% 83% Weighted Average Lease Expiry (by NLA) 4.3 3.8 Weighted Average Land Tenure Expiry (by area) 36.2 35.1 Jointly-Owned FY17 FY18
3 5 Property Value ($’million) 196.0 236.7 Total Portfolio GFA (Million sqf) 0.3 0.7 Portfolio Occupancy (by NLA) 100% 77% Weighted Average Lease Expiry (by NLA) 10.2 6.9 Weighted Average Land Tenure Expiry (by area) 27.8 31.9
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Completed
Safran Turbomeca GSK Asia House Edward Boustead Centre PTP Warehouse Continental Building Phase 3
Under Development
ALICE @ Mediapolis
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(in S$’m) FY2017 FY2018
Total borrowings 88.4 70.5 Cash & cash equivalents 113.4 111.4 Net cash/(borrowings) 25.0 40.9 Total equity 229.4 244.1 Debt-to-equity ratio 39% 29% Loan to valuation ratio* 25% 20%
93% non-current debt, on floating interest rates with well-staggered maturity profile (over next 5 years) Strong cash position Increased on higher retained profits Improved net cash position Ample gearing headroom
*For wholly-owned properties
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Financial Position
Cash position
Loan-to-valuation ratio
Industrial Portfolio
Y-O-Y revenue change for 100%-owned properties
Y-O-Y change in BP’s share of revenue for JV properties
Joint Venture Developments
New development completed in SG
New development completed in MY
Design & Build
Secured in Singapore and Vietnam
Accolades
Green and Gracious Builder Award (Excellent) Green Mark Platinum for ALICE @ Mediapolis
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Engineering & Construction ▪ Staying ahead in the industrial built environment through areas of quality / productivity / safety / technology. ▪ Participate in selected GeBIZ industrial construction tender(s). ▪ Continuing to tap on Singapore network and capabilities to expand into target countries. ▪ Extend efforts in M&A to increase scalability and competitiveness. ▪ Further opportunities in joint venture development(s). Real Estate ▪ Proactive asset management – AEI / Redevelopment / Disposal. ▪ Extend efforts to grow the portfolio via acquisition of brownfield sites
▪ Participation in selected multi-user development(s). ▪ Extend relations with capital / development partners – Particularly in target countries and land banking opportunities. ▪ Establishment of real estate platform to inject portfolio and augment future growth plans