PT Alam Sutera Realty Tbk Company Presentation May 2019 1 - - PowerPoint PPT Presentation

PT Alam Sutera Realty Tbk

Company Presentation

May 2019 www.alamsuterarealty.co.id 1

Our Company Township Development Apartments and Offices Property Investment Operational Data Financial Performance

2

1994

The Company was established and launched Alam Sutera Township Acquired development rights for extensive areas in Serpong

2007

PT Alam Sutera Realty Tbk (ASRI) listed its shares on the Indonesia Stock Exchange

2009

Direct toll access to Alam Sutera township was

• fficially
• pened

2011

Suvarna Padi (Pasar Kemis project) super cluster was

• fficially

launched

2012

Acquired 90.3% shares of PT Garuda Adhimatra Indonesia which held the land rights of Garuda Wisnu Kencana Park in Bali Issued 1,786,310,000 new shares with non- preemptive mechanism at the price of IDR 440/share Issued its first global bonds of USD 150 mm due in 2017

2014

Issued USD 225 mm bonds due in 2019 Completed the repurchase of 2012 bonds Launched Kota Ayodhya apartment complex

2013

Issued USD 235 mm bonds due in 2020 Launched Suvarna Jati super cluster in Pasar Kemis, consisting of 7 clusters Launched Paddington Heights Apartment

2016

Signed a cooperation agreement with China Fortune Land Development (“CFLD”) to co-develop Pasar Kemis Issued USD 245 mm bonds due in 2022 to refinance USD 225 mm bonds Completed the construction of The Tower (office tower)

2018

Launched the first low- rise apartment project in Alam Sutera; Lloyd Completed the construction of Garuda Wisnu Kencana statue {“GWK”)

Key Milestones

More than 20 years track record in township development

3

Corporate Business and Structure

PT Manunggal Prime Develoment PT Tangerang Fajar Industrial Estate Public

25.21%* 21.32%* 53.47%*

The Ning King Family

Township Landed Houses Commercial land lots Apartments Office Towers Shophouses Retail Garuda Wisnu Kencana (GWK) __________________________________________ Note: * The ownership structure is as of Dec’18

4

Management Team

Harjanto Tirtohadiguno President Commissioner Pingki Elka Pangestu Independent Commissioner Angeline Sutedja Commissioner Prasasto Sudyatmiko Independent Commissioner The Nicholas Commissioner

Bo Board of Co Comm mmissioners

Joseph Sanusi Tjong President Director Lilia Setiprawarti Sukotjo Director

Bo Board of Di Directors 5

RM Frangky AD Director Andrew Charles Walker Non-Affiliated Director

Portfolio Overview

BALI Garuda Wisnu Kencana (“GWK”) – Cultural Park JAKARTA CAPITAL REGION The Tower – Office Building Wisma Argo Manunggal – Office Building

Paddington Heights The Tower

Focus on residential and commercial development in western part of Jakarta and Bali

Kota Ayodhya

TANGERANG AREA Alam Sutera - Township

• Mall @Alam Sutera
• The Prominence - Office Tower
• Paddington Heights - Apartment
• Flavor Bliss

Suvarna Sutera - Township Kota Ayodhya – Apartment

Mall @Alam Sutera The Prominence GWK Paddington Heights Suvarna Sutera

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Our Company Township Development Apartments and Offices Property Investment Operational Data Financial Performance

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Township Location

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Future Serpong-Balaraja Toll Road Jakarta Merak Tol Road Legend: Under construction Completed

15km 15km

The construction of Kunciran – Soekarno Hatta Toll road is targeted to be completed by the toll

• perator within the next 1-2

years The construction of Kunciran – Serpong Toll road has been started and is targeted to be completed by the toll operator this year

Strategic land acquisition in the Serpong area to take advantage of future land price increases from toll road development

Alam SuteraTownship

Current Development: Commercial and Residential Future Development Township expansion Direct Toll Access North Serpong

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Alam SuteraTownship

Highlights

*

Pasar 8 – Wet market Warehouse – T8 Commercial Area Mall @Alam Sutera Command Center High Rises Sport Center Residential Area Flavor Bliss Internal Transportation Green Tunnel Residential Houses

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Alam SuteraTownship

Price Trend

Residential Commercial

IDR mm psm

Growing commercial area and strategic location to continue price appreciation going forward

*

IDR mm psm

___________________________________________

* : Asking price

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Suvarna Sutera Township

The 2nd township

A

Infrastructure Development

C

Suvarna Sutera Master Plan Project Overview

• Suvarna Sutera Township is the second township from Alam

Sutera, located at Pasar Kemis, Tangerang, 15 km away from Alam Sutera. The Company has developer license covering 2,600 ha area. Phase one development is ±900 ha.

Project Image

A

Infrastructure Development

C Residential Area

F E

B

Legend

Suvarna Padi Residential Cluster (2011)

A

Suvarna Jati Residential Cluster (2013)

C

Suvarna Sari Residential Cluster (2015)

D

Suvarna Padma Residential Cluster (2014)

E B

Location of future toll road access Potential future toll road connecting Suvarna Sutera to the international airport

F

Flavio Cluster Chiara Cluster

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Suvarna Sutera Township

Price Trend

Residential (Suvarna Sutera) Residential (Suvarna Padi) Huge potential to replicate the growth achieved in Alam Sutera Township

IDR mm psm IDR mm psm

___________________________________________

* : Secondary price

* *

4.0 5.0 5.2 5.2 5.5 6.0 1 2 3 4 5 6 7 2013 2014 2015 2016 2017 2018

*

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Our Company Township Development Apartments and Offices Property Investment Operational Data Financial Performance

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Apartment Project

Paddington Heights

Overview Cumulative Marketing Sales

IDR mm

15 Land Site Area : 9,000 sqm Semigross Area : 33,090 sqm Launch date : May-13 Marketing sales (as of Mar'19) : IDR 499 bn Paddington Heights Apartment

Apartment Project

Kota Ayodhya

Location Project Overview Project Image 16 Land Site Area : 21,230 sqm Apartment : 137,947 sqm Launch date : Feb-14 Marketing sales (as of Mar'19) : IDR 932 bn Kota Ayodhya Apartment

Low-Rise Apartment Project

Lloyd

Location Project Overview 17 Land Site Area : 40,000 sqm Launch date : Apr-18 Marketing sales (as of Mar'19) : IDR 1.1 tn Lloyd

Office Tower Project

The Prominence

Project Overview Price Trend

IDR mm psm

18 Land Site Area : 13,981 sqm Semigross Area : 50,882 sqm Launch date : Feb-13 Marketing sales (as of Mar'19) : IDR 399 bn The Prominence Office Tower

Office Tower Project

The Tower

Project Overview and Location 19 Land Site Area : 9,522 sqm Semigross : 56,491 sqm Launch date : Feb-13 Marketing sales (as of Mar'19) : IDR 351 bn The Tower

Our Company Township Development Apartments and Offices Property Investment Operational Data Financial Performance

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Wisma Argo Manunggal (WAM) Mall @ Alam Sutera

Wisma Argo Manunggal

Location : Jl. Jend. Gatot Subroto Kav. 22 Acquired from : PT Daya Sakti Perdika Land area : 8,434 sqm Building GFA : 18,165 sqm Leasable Area : 13,809 sqm Occupancy : 62% (as of Dec’18) Potential redevelopment : Demolish the existing building and build a new 40-60 storey grade A

• ffice.

Front View Mall @Alam Sutera

Leasable area : ± 67.369 sqm (extendable) Height : 5 floors (3 retail floors, 2 parking floors) Parking capacity : 2.500 cars Grand opening : 12 December 2012 Anchor tenants : Sogo Department Store, Cinema XXI, The Food Hall. Occupancy rate : 69% (as of Dec’18)

Property Investment

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Garuda Wisnu Kencana

Cultural Park

Multi Role Sites

Become increasingly popular for corporate and many international events. In August 2018, we have completed the construction of Garuda Wisnu Kencana Statue. The statue is 75m high and is made of copper and built in the hill at 130m altititude above the sea level, standing on 50 meter pedestal. The statue will be a major tourist attraction to the park.

• A private cultural park on the Bukit Peninsula at the southern

end of the island of Bali in Indonesia, 15 minutes from Ngurah Rai International Airport. Bukit Peninsula is a limestone plateau with Uluwatu to the west and Nusa Dua to the east.

• A mixed-use development complete with commercial and

residential areas

Overview Tourism in Bali Garuda Wisnu Kencana statue

• Named as the global winner of 2017 Travelers’ Choice Awards for

destinations by TripAdvisor.

• The total number of tourists visiting Bali (both foreign and domestic

tourists) has reached more than 12mm people in 2016. Indicating increasing tourism potential in the region. This, coupled with the development of infrastructures (inclusive of toll roads and new airport) indicates an upside potential for tourism expenditure in Bali.

BBTF Dinner, Jun 2018 DWP, Dec 2018 Sondrenaline, Sept 2018 IMF and World Bank Dinner, Oct 2018

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Our Company Township Development Apartments and Offices Property Investment Operational Data Financial Performance

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Consolidated Marketing Sales and Capex

Historical Land Capex

In IDR bn In IDR bn

Historical Marketing Sales 24

Payment Profile 1Q2019 Hard Cash Cash Installment Mortgage Alam Sutera 10% 33% 57% Suvarna Sutera 5% 19% 76% Consolidated 8% 29% 63%

721 767 1,342 994 951 527 2,490 721 1,761 1,054 2,263 146 864 168 70 105 1,049 205 180 269 212 60 29 4

• 500

1,000 1,500 2,000 2,500 3,000 3,500 4,000 4,500 5,000 2014 2015 2016 2017 2018 1Q2019 Residential houses and land lots Commercial lots & shophouses Apartment Offices

4,292

4,256 1,926 3,385 2,213 880

1,336 410 589 1,082 554 2014 2015 2016 2017 2018

Recurring Income

Steady improvement in property investment ensures sustainable recurring income growth

In IDR bn

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43 54 67 85 104 7 7 9 10 10 205 240 225 211 218 52 57 71 67 106

• 50

100 150 200 250 300 350 400 450 500 2014 2015 2016 2017 2018

Town management Recreation and sports Rent & Other Hospitality Tourism / GWK

Our Company Township Development Apartments and Offices Property Investment Operational Data Financial Performance

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Financial Highlights

2018 financial results

Description (in IDR bn) 2018 2017 % Change Revenue 3,975.3 3.917.1 1% Gross Profit % of Rev 2,444.0 61% 2,376.0 61% 3% Operating Income % of Rev 1,978.0 50% 1,985.5 51% 0% EBITDA % of Rev 2,085.0 52% 2,090.0 53% 0% Net Income % of Rev 970.1 24% 1,380.0 35%

• 30%

Description (in IDR bn) 2018 2017 Cash and cash equivalents (including time deposit) 665.5 952.7 Total Asset 20,890.9 20,728.4 Total Debt 7,734.1 7,628.8 Total Equity 9,551.4 8,572.7 Debt to Equity 81% 89% Net Debt to Equity 74% 78% EBITDA/Interest expense1 3.44x 3.32x

Income Statement Balance Sheet and Financial Ratios

__________________________________________ Note 1: Includes capitalized interest

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Balance Sheet

Well-managed debt maturity profile

Debt Maturity Profile Bond Details 28

2020 Bonds. We are to settle the remaining USD 73 mm on Jun, 7th 2019 2021 Bonds Bank loans (Assumed USD/IDR exchange rate at 14,481)

In USD mm

2022 Bonds. On May 8th , the Company tapped its 2022 bonds in which the use of proceed is to refinance the remaining of 2020 bonds.

Description 2022 Bonds 2021 Bonds 2020 Bonds Notes USD 370 mm 6.625% interest p.a. Senior Notes due 2022 USD 175 mm 11.5% interest p.a. Senior Notes due 2021 USD 235 mm 6.95% interest p.a. Senior Notes due 2020 Rating B2 / B / B (Moody’s/ S&P / Fitch) B2 / B / B (Moody’s/ S&P / Fitch) B2 / B / B (Moody’s/ S&P / Fitch) Coupon Payment Apr 24 and Oct 24 of each year, starting from Apr 24, 2017 Apr 22 and Oct 22 of each year, starting from Apr 22, 2019 Mar 27 and Sep 27

• f each year, starting

from Sep 27, 2013

73 175 245 29 17 9 4 125 50 100 150 200 250 300 350 400 2019 2020 2021 2022

Awards

2014 2015 2016 2013 2017 2018

Top 10 Developers Indonesia 2014 Nomination of Best Share Issuer Market Cap up to IDR 10 trillion Asia’s Best Companies 2014 The Best Innovation in Sustainable Development— Indocement Awards IFLA APR Awards Merit Awards Landscape Category Silver Champion of Indonesia WOW Brand 2014— Residential Property Developer Category Top Ten Developers 2015 Most Influentional Property Professional—

• Mrs. Lilia Suktojo

(Marketing Director ASRI) Best Township Sub Category: Sustainable Development Kota Ayodhya—Best Urban Living Apartment Bronze Champion of Indonesia Wow Brand 2015 Best Township Development Project (Alam Sutera) Best Township Sub Category: Green Development The well Implemented Township Project Green Planning Housing Estate-New Cluster for Cluster Leora Ranked 10th in the Real Estate Category Top Ten Developers The well Implemented Township Project Winning Three Years In A Row Silver Award for Excellence GWK Master Plan 2013 Top Ten Developers Top First Rank Among Region’s 200 Small and Mid-size Companies Property Marketer

• f The Year

Platinum Brand Champion Top 50 Best Companies Best Listed Companies Top Performing Listed Companies Developer with Asset < 15 T GWK – Bali Leading Cultural Park 100 Fastest Growing Company by Infobank GWK – Indonesia Leading Cultural Park Indonesia Property Awards – Special Recognition for Public Facility – GWK Corporate Governance Conference and Award - Top 50 Mid- Capitalization Public Listed Company 3rd Ranked – Indonesian Corporate Secretary & Corporate Communication Award III The Big 15 – Indonesian Corporate Secretary & Corporate Communication Award III

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Disclamier

This presentation may contain forward-looking statements that involve risks and uncertainties. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions. Representative examples of these factors include (without limitation) general industry and economic conditions, interest rate trends, cost of capital and capital availability, availability

• f

real estate properties, competition from

• ther

companies and venues for the sale/distribution of goods and services, shifts in customer demands, customers and partners, changes in operating expenses, including employee wages, benefits and training, governmental and public policy changes and the continued availability of financing in the amounts and the terms necessary to support future business. You are cautioned not to place undue reliance on these forward looking statements, which are based on current view of management on future events. We expressly disclaim any

• bligation or undertaking to release publicly any update of or revision to any forward-

looking statements contained herein to reflect any change in our expectations with regards hereto or any change in events, conditions or circumstances on which any such statements is based.

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THANK YOU

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