Overview Of Ananda Development

Transcription

1 Company Background

2 Overview Of Ananda Development Stock Exchange of Thailand listed SET 100 Index company. Aims to be the second highest launches in Thailand for Multiple award winner including Mipimasia, Think of Living Awarded Outstanding Achievement in Investor Relations at 2014 & 2016 and IR of the Year 2016 at SET Awards Categories Luxury High-end Premium value Up-scale Mid-range Low-range Strong Portfolio of Brands Brands Super value-range ANAN is a leading real estate developer with a unique product mix and investment proposition 60,000 50,000 40,000 30,000 20,000 10,000 - Note: Anan and BLS Research No.2 Highest Launches Target in Thailand for 2017 PS ANAN SIRI SPALI AP LPN SC LH QH 2

3 Company Milestones Condominium Project Development Timeline Key Company Milestones Ladprao 5 Ladprao 17 ANAN s project developments by launch date Launched and completed Launched and under construction ,206 1,555 Mix Sukhumvit 103 Mix Phaholyothin Sathorn- Taksin 2,727 3,203 3,601 3,867 4,357 4,804 5,145 5,566 Q Phayathai Ratchada- Huaykwang BluCove Sathorn Morph 38 Verve Ashton Sukhumvit Verve Ratchaprarop Mobi Sukhumvit Mobi Mobi Mobi Rama 9 SathornPhaya- thai BluCove Sukhumvit 6,501 7,204 7,733 8,049 Sathorn- Elio Tha Phra Del Ray Elio Wutthakat Sukhumvit 64 12,959 11,329 10,350 9,011 24,921 25,345 26,006 26,850 31,250 32,328 27,576 28,560 28,722 29,229 29,527 29,918 22,005 23,005 23,357 18,809 19,990 20,069 16,859 17,409 18,253 15,753 16,076 14,155 Mobi Mobi Charan- Ashton Asoke (1) Sukhumvit Interchange Eastgate Q Ratchatewi Mobi Q Siam- Wongsawang Rachathewi (1) Interchange Q Chula- Samyan (1) Ashton Chula Silom (1) Sukhumvit UNIO Charan 3 Cumulative number of units launched by ANAN Mobi Bamgsue Grand Interchange (1) O2 (1) 115 Ashton Ashton Q Chidlom Silom (1) Residence 41 Petchaburi (1) Thaphra Interchange (1) UNIO Sukhumvit 72 UNIO Rama 2- Thakham VENIO Sukhumvit Mobi Sukhumvit 66 (1) 10 Mobi Asoke (1) Sukhumvit 93 (1) Phaholyothin- Chatuchak (1) Unio Ramkhamhaeng- Serithai Unio H Tiwanon Jul, 2007 Oct, 2007 Nov, 2007 Dec, 2007 Feb, 2008 Jul, 2008 Sep, Nov, Aug, Feb, Feb, 2012 Mar, 2013 Jun, 2013 Aug, 2013 Oct, 2013 Oct, 2014 Mar, 2015 Jun, 2015 Aug, 2015 Nov, 2015 Feb, 2016 Jul, 2016 Sep, 2016 Oct, 2016 Mar, 2017 Jul, 1999 Jun, 2006 May, 2007 Nov, 2010 Dec, 2012 Jun, 2013 Jul, 1999 ANAN was established Engages in the real estate business of developing landed housing projects Jun, 2006 Started ADO (2), JV company with Pramerica Develop landed housing projects around Suvarnabhumi Airport May, 2007 Started AD2 (3), JV company with Pramerica Develop condominiums close to mass transit stations Nov, 2010 Acquired the remaining stake in AD2 from Pramerica Dec, 2012 IPO Raised THB5.6 bn Dec, 2012 Acquired the remaining stake in ADO from Pramerica Jun, 2013 Started JV company with Mitsui Fudosan Develop condominiums close to mass transit stations Source: Ananda Development PCL. Note: 1. Projects under JV company with SEA Investment Five Pte. Ltd., a subsidiary of Mitsui Fudosan Co. Ltd. ANAN owns a 51.0% interest in the JV. 2. Refers to Ananda Development One. 3. Refers to Ananda Development Two. 3

4 Backlog 42.5 Bn Baht 73% of the next 9M17 transfers secured by Backlog 69% YoY TRANSFERS 42,357 14% YoY TRANSFERS 48,497 20% YoY TRANSFERS 58,187 TRANSFERS 9,598 65% YoY TRANSFERS 15,866 58% YoY TRANSFERS 25,000 73% of 9M17 BACKLOG 16,342 55% BACKLOG 23,461 5% 9,598 BACKLOG 2, : 5 Times Growth Note: The 5-year plan has assumption of no new capital and keeping net IDE ratio at 1:1 4

5 Ananda Innovation Company Mass Transit Location Target Gen C Marketing including distance Switch marketing to social media Target bloggers Marketing Innovation Financial Innovation First to market Remminbi Perpetual Security First Thai Baht Perpetual Security by Real Estate Design Innovation Smaller unit size - First 35 sqm - First 21 sqm (Innovate wide units) Several design firsts (270 degree glass, smart furniture etc.) Better common facilities for price range Double volume space all unit - Morph38 Starbucks / True Coffee in every building - Q Phayathai Max Valu in every building First TCDCS Indoor outdoor space Smart Furniture - Mix103 Unique facade design - All Strategic Innovation Partnership with large Japanese developer Introduction of Keiretsu supply chain management Introduction of TQPMS Introduction of BIM Introduction of Samsung Smart Things 5

6 Thailand s Mass Transit Infrastructure Rollout Bangkok s mass transit network is expected to expand significantly from a present 82 stations to 219 stations in 2022 Current Line (2017) Under Construction Approved by Cabinet (2023) 82 stations 137 stations 219 stations Source: MRTA and Market Intelligence Each new station provides development opportunities for our brand within a 300 metres radius and Elio brand within a metres radius 6

7 Thailand s Mass Transit Infrastructure Rollout (Cont d) New stations being developed providing additional development opportunities 13 years Plan (2029) 316 stations Bangkok s mass transit network is expected to expand significantly from 82 stations in 2017 to 316 stations in 2029 Source: MRTA and Market Intelligence 7

8 Our Product Offering Ideally Placed To Tap Demand Around Mass Transit Stations On Station Mass Transit (1) Landed Housing Mass Transit Related (2) Mass Transit Related (2) Landed Housing Distance from Mass Transit Station ~600m 300m 300m ~600m IDEO brand within 300m of a mass transit station. ELIO brand m. Landed housing in low density suburbs 1. Condominium projects located within 300 meters from a mass transit railway station as defined by CBRE Research and Consulting. 2. Condominium projects located within 301 meters to 600 meters from a mass transit railway station as defined by CBRE Research and Consulting. 8

9 Condominium Developments Are Strategically Located Along The Mass Transit Network 1 Wutthakat Launch Date: Aug Distance from 120m 2 Sathorn-Tha Phra Launch Date: Jun 13 1,339 Distance from 320m 3 BluCove Sathorn Launch Date: Jul Distance from 40m 4 Sathorn -Taksin Launch Date: Oct Distance from Next to 5 Mobi Sathorn Launch Date: Feb 12 Distance from 529 Next to 6 Mobi Charan-Interchange Launch Date: Oct 13 1,196 Distance from 80m 7 Q Chula-Samyan (1) Launch Date: Oct 13 1,598 Distance from 270m 8 Mobi Phayathai Launch Date: Feb Distance from 190m 9 Q Phayathai Launch Date: Dec Distance from 30m 10 Mix Phaholyothin Launch Date: Oct Distance from Next to 11 Ladprao 5 Launch Date: Oct 07 Distance from m Source: Ananda Development PCL BTS line MRT line Airport Rail Link Pho Nimit WutthakatTalat Phlu MRT line (under construction) 2 3 Wongwian Yai Krung Thon Buri 4 5 Phahon Yothin 35 Chatuchak Park Bang Sue Kamphaeng Phet 42 Ari Sanam Pao Mo Chit Saphan Khwai Lad Prao Ratchadaphisek Sutthisan Victory Monument Ratchaprarop Phaya Thai Phra Ram Makkasan Rajchathewi Phetchaburi Siam Lom Chit 40 Chit Ramkhamhaeng National Stadium Nana Ratchadamri 27 Sam Yan 39 Sukhumvit 29 Asok 7 Silom Phrom Phong 28 Lumphini Chong Sala Thong Lo Nonsi Daeng Surasak Ekkamai Khlong Queen Sinkit Toei National Convention Hua Lamphong Saphan Taksin 10 Bangkok CBD 11 Centre Phra Khanong On Nut Bang Chak Punnawithi 20 Udom Suk Bang Na Ladprao Ratchada-Huaykwang 14 Q Ratchatewi Launch Date: Jul 07 Launch Date: Feb 08 Launch Date: Oct Distance from Next to Distance from Next to Distance from Distance from 80m Distance from Note: Number of units is as of 31 October m 10m 1. A project under a joint venture company with SEA Investment Five Pte. Ltd., a subsidiary of Mitsui Fudosan Co. Ltd. ANAN owns a 51.0% interest in the joint venture Unio H Tiwanon Launch Date: Mar Distance from 100m Venio Sukhumvit 10 Huai Khwang Launch Date: Sep 16 Thailand Cultural Centre 162 Distance from 650m Unio Ramkhamhaeng- Sukhumvit Serithai Launch Date: Oct 16 Launch Date: Mar 17 1, km Distance from 15m Distance from Bearing 38 Hua Mark 38 UNIO Sukhumvit 72 UNIO Rama 2-37 Launch Date: Jul 16 Thakham 984 Launch Date: Jul 16 Distance from 600m 724 Distance from N/A 35 Mobi Bangsue Grand Interchange Launch Date: Nov 15 Distance from 32 Q Chidlom Petchaburi Launch Date: Aug Distance from 650m 29 Ashton Residence 41 Launch Date: Mar Distance from 580m Q Siam 26 Ratchathewi Launch Date: Sep Distance from 390m 23 Elio Del Ray Launch Date: Aug 13 1,630 Distance from 600m 34 Ashton Silom Launch Date: Nov Distance from 350m 31 Sukhumvit 115 Launch Date: Aug 15 1,000 Distance from 0m 28 Ashton Chula-Silom Launch Date: Mar 15 1,181 Distance from 180m Mobi Wongsawang 25 Interchange Launch Date: Sep 14 Distance from 22 Elio Sukhumvit 64 Launch Date: Mar Distance from 600m 21 BluCove Sukhumvit Launch Date: Feb Distance from 30m 15 Mobi Rama 9 16 Verve Ratchaprarop 17 Morph Verve Sukhumvit 19 Mobi Sukhumvit 20 Mix Sukhumvit 103 Launch Date: Feb 12 Launch Date: Nov 08 Launch Date: Aug 09Launch Date: Sep 08 Launch Date: Feb 12 Launch Date: Nov ,172 Distance from Distance from Distance from 300m Next to 32m Distance from Next to m 42 Phaholyothin- Chatuchak Launch Date: Oct Distance from 150m Mobi Sukhumvit Mobi Asoke 66 Launch Date: Sep 16 Launch Date: Oct Distance from 290 Distance from 50m m Thaphra 36 Interchange Launch Date: Feb Distance from 100m 33 O2 Launch Date: Aug 15 1,564 Distance from 300m 30 UNIO Charan 3 Launch Date: Jun 15 1,932 Distance from 900m 27 Ashton Asoke Launch Date: Sep Distance from 20m Mobi Sukhumvit 24 Eastgate Launch Date: Sep Distance from 150m 9

10 Third Great Transformation 1 First Great Transformation When Ayutthaya fell the Capital was moved to Bangkok in The government began building more extensive irrigation canals, which also served, along with the Chao Phraya River as the main transportation infrastructure The main form of housing was wooden houses on the banks of the canals 2 Second Great Transformation In 1860 Bangkok built its first paved road, Charoen Krung Road. The dominant form of housing changed to reflect the new transportation infrastructure and switched from wooden houses on the banks of canals to become concrete houses on the edges of roads. 3 Third Great Transformation The new form of housing is steel and glass high rises in close proximity to mass transit stations. So now Bangkok has transformed from wooden houses lining canals, to concrete houses lining roads to steel high rises around mass transit stations. The Third Great Transformation can be expected to happen faster than the first two. Townhouses in the city and detached houses in the suburbs, all connected to roads. 10

11 Growing Bangkok Condominium Market Million A Growing Population Providing Consistent Growing Demand Bangkok Population Source: UN Habitat State of the World s Cities Passenger Volume E 2030E Bangkok Population Millions of Houses and Condominiums 5.0 Rapidly Increasing Ridership on the Mass Transit System Demonstrates Demand for Ease-of-Access to Stations Daily Weekday Mass Transit Passenger Volume Increasing Number of Houses and Condominiums Residential Housing and Family Size in Bangkok and Greater Bangkok Number of Houses and Condominiums Source: Department of Provincial Administration, Thailand. 1,063,213 1,116,579 1,013, , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,900623,930643, ,902 36,982 37,264 42,472 42,775 46,751 52,900 68, ARL Passenger Volume MRT Passenger Volume BTS Passenger Volume Total Mass Transit System Passenger Volume 70% 60% 50% 40% 30% 20% 10% 0% Persons / Famil 4 Family Size Mass Transit Market More Robust Than General Market Sources: AREA Initial Sales Rate 64% 59% 58% 53% 47% % 22% m. > 1,000 m. 37%

12 Quick Cash Conversion Cycle The cash conversion cycle of the condominium and landed housing business allows ANAN to recycle capital into new projects Landed Housing Cash Conversion Cycle (Build and Sell Model) Construction typically takes 5 7 months, followed by 1 2 months of transfer Units are sold after 80% of the construction for each development phase is complete Typical Landed Housing Funding Sources Equity 30% of land and construction cost from ANAN s internal funding / generated cash flows Key Milestone Development Phase Cash Outflow Cash conversion cycle: 6 9 months Construction and Sale Existing Landed Housing Construction Book Revenue Transfer Cash Inflow Debt Bank loans are available for up to 70% of land cost and construction cost Key Landed Housing Funding Milestones Down Payment 5% initial payment is paid upon purchase as a down payment Outstanding balance is paid upon transfer Funding Sources Equity Bank Loans Down payment Balance Project Milestones At 55% - 60% sale, project debt breakeven At ~75% sale, equity breakeven Source: Ananda Development PCL. 12

13 Supported By A Unique Land Acquisition Model In line with our strategy of quick asset turnover, ANAN landbanks with a 3 4 year (acquisition to completion) horizon Increasing Number of Mass Transit Stations Each new and existing station provides potential development opportunities Majority of land is owned by private individuals (momand-pop) as opposed to corporations or the government Majority of transactions are bilateral negotiations / limited auctions Majority of the land occupied by low-value buildings (30-50 years old) such as shophouses Land Sourcing Team Legal Team Finance Team Dedicated Land Acquisition Team Evaluate project feasibility and return on investment Maintain proprietary database on numerous potential sites Establish a wide network and connections for market intelligence Understand and evaluate land regulations and city planning / zoning Mitigate legal risk prior to land acquisition Conduct financial feasibility analysis on potential sites Procure financing with financial institutions Combination of our experience and dedicated team allows us to: Acquire sites at a target cost (as % of development cost) which meets investment return hurdles Allows us to acquire sufficient sites close to mass transit stations to meet our internal launch projections Source: Ananda Development PCL. 13

14 Proprietary Database Of Potential Land Plot Acquisitions Over 400 potential acquisitions under due diligence Regulations and massing studies done to build basic financial model for each Proprietary database of every condo sold in the previous 5 years within 4 kms of each station Most experienced team in the market at solving inheritance and legal issues. 14

15 Reputable and Experienced Joint Venture Partners Joint Venture Overview In June 2006, ANAN established ADO, a JV with Pramerica, to develop a landed housing project around Suvarnabhumi Airport In May 2007, ANAN established AD2, a JV with Pramerica, to develop mass transit condominiums Pramerica is the real estate investment management business of Prudential Financial which manages ~US$53.0 bn of assets globally with ~US$8.1 bn in Asia as at 31 March 2013 ANAN acquired the remaining stake in ADO and AD2 from Pramerica in December 2012 and November 2010, respectively Joint Venture Projects with Pramerica Type Projects Targeted GDV (THB bn) ADO Landed Housing 7 ~11.7 AD2 Condominium 12 ~20.1 Joint Venture Overview In June 2013, ANAN entered into a joint venture agreement with Mitsui Fudosan. Mitsui Fudosan Number One Real Estate Developer by Revenue in Japan One Trillion Baht Market Cap Number one in Nikkei Quality Survey 2014 ANAN is expected to benefit from the best practices of Mitsui Fudosan in the areas of risk management, construction, property management, and sales and marketing (targeting Japanese buyers) JVs with Mitsui Year Project Name Units Project Value (THB mn) 2013 Q Chula-Samyan 1,598 6, Ashton Asoke, Q Siam Ratchatewi Ashton Chula-Silom, Q Chilom Petchaburi, O2, Mobi Bangsue Grand Interchange and Ashton Silom Thaphra Interchange, Mobi Asoke, Sukhumvit 93, Mobi Sukhumvit 66, Phaholyothin-Chatuchak Q Victory, Ashton Asoke-Rama 9, Q Sukhumvit 36, New Rama 9, Elio Del Nest 1,333 10,527 4,186 25,469 3,372 17,229 3,845 21, JV Projects 14,327 81,931 Source: Ananda Development PCL. 15

16 Scan QR Code to talk to Ananda IR Chatbot Thank You Contact: Dr. John Millar Chief Strategic Development Officer Ananda Development Public Company Limited Mobile: Mr. Komsan Atthaphonphithak Senior Investor Relations Manager Ananda Development Public Company Limited Mobile: