2016 Business Plan. Analyst Meeting. Jan 21,2016

Transcription

1 216 Business Plan Analyst Meeting Jan 21,216

2 Summary of major achievement in year Performance Booking = 24.7 Bn. : -21.6% y.o.y Revenue recognition = 2x.x Bn : - x.x% y.o.y Rental income = 2. Bn. : -12.4% y.o.y (+21% over budget) 2. Divested a rental property (hotel) into REIT with the fund size of bn. in Dec 15 producing profit after tax approx. of 1.6 bn. 3. Launching of 9 projects with total project value of 26.9 Bn. (-34.8% VS. 214) (SH:TH:CD = 95%:5%:%) 4. Secured 4 Bn. of raw land for Housing Development and acquire a piece of leasehold land for development of Hotel + Shopping Mall in Pattaya. 5. Acquired an apartment building Mode in San Mateo, USA at 74 M.USD in Feb 15 and divested Verona - the first apartment building acquired in Dec 12 in Sunnyvale, USA- at 18 M.USD in Jun 15 incurring 5% gain. 2

3 Executive Summary for 216 Business Plan 1. Revenue growth target Booking (Presales) Revenue recognition Rental income = 28. Bn. : +13.4% y.o.y = 28. Bn. : +xx.x% y.o.y = 2.6 Bn. : +27.6% y.o.y Share of profit from associated co.= 2.7 Bn. : +13.% y.o.y 2. Expected a small improvement in Gross Profit Margin compared to last year 3. Set aside 14 bn. for land acquisitions and investments 7 Bn. for Housing Development Business 7 Bn. for Rental Business 4. Maintain Payout Ratio at least 7% 3

4 Booking (Presales) & 216 s Target M.B. 6, Bookings Amount & Proportions M.B. 6, Bookings Amount by Product Types 5, 5, 4, 4, 3, 2, 31,52 35% 5% 24,7 18% 6% 28, 25% 7% 3, 2, (+2%) 18,69719,18 18,866 1, 6% 76% 68% (F) 1, 11,13 (+56%) (+27%) 6,892 4,424 2, 1,641 1, SH+L216(F) TH 216(F) 214 Condo (F) SH+Land TH Condo 4

5 Transfer (Revenue Recognition) & 216 s Target M.B. 6, Transfer Amount & Proportions M.B. 6, Transfer Amount by Product Types 5, 5, 4, 4, 28, 3, 26,37 2x,xxx 3, 25% 2, 13% 7% 25% 7% 2, 19,16 19,97 5% 68% 1, 8% 7% 1, 6,878 5,348 2,25 1, (F) SH+L 216(F) TH216(F) 214 Condo (F) SH+Land TH Condo 5

6 Condominium schedule (as of Dec 15) (12 projects) (9 projects) (7 projects) (5 projects) No Project Prj. % Value Sales 1 Ease - Rama II 78 11% 2 The Key- Udomsuk 3 111% 3 The Key - Wutthakat 1,2 17% 4 The Key - Charoen Rat 3, 39% 5 The Key - Wutthakat 2 1,7 Develop & EIA 6 The Room - BTS wongwienyai 1,58 15% 7 The Room - Sathorn 1,65 88% 8 The Room - Rama IV 2,2 16% 9 The Room - Suk. 69 2,63 58% 1 The Room - Sathorn 11 1,88 33% 11 The Room - Charoen Krung 2, 46% Riverside 7, 94% 13 The Bangkok - Sathorn 7,5 62% 14 The Bangkok - Suk.38 1,5 Develop & EIA 15 The Bangkok - Suk.55 4, 16 North 1 - Chiang Mai 16 86% 17 North 2 - Chiang Mai 16 81% 18 North 3 - Chiang Mai 16 83% 19 North 4 - Chiang Mai 185 9% 2 North 5 - Chiang Mai 16 83% 21 North 6 - Chiang Mai North 7 - Chiang Mai Wan-Way-La - Kao Tao 2,7 91% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Develop & EIA Develop & EIA Construction period Transfer Q4 218 Q1 Q2 Q3 Q4 6

7 Bookings by Segmentation Segment (Mn Baht.) (F) <= 2. 1% 1% >2. <=4. 13% 12% >4. <=6. 23% 26% >6. <=1. >1. <=25. 22% 25% 2% 21% >=25. 16% 2% Average price (Mn.Baht.)

8 Provincial Markets Chiang Rai No. of Active Provinces Udonthani Chiang Mai Maha Sarakham Khon Khaen 5 1 Hua Hin Korat No. of Active Projects in the Provinces Ayuttaya Phuket Active projects in Provincial Market SH Condo 8

9 Contribution from provincial market & 216 s Target % of Booking % of Booking % of Revenue 3% 3% % of Transfer 25% 25% 2% 2% 15% 15% 1% 1% 17% 16% 5% 1% 13% 12% 5% 12% % (F) % (F) 9

10 Existing projects Projects No. of existing projects M.B. Value (Million Baht) 16 12, 14 1, , 7,33 73,895 ~ 69, prj. 67 prj. 68 prj. ~ 61 prj. 6, 56,638 1,613 14,496 4,844 1,474 4, , 2, 4,331 41,694 5,989 59,174 Dec'13 Dec'14 Dec'15 Dec 16(F) Dec'16(F) Dec'13 Dec'14 Dec'15 Dec'16(F) Dec 16(F) SH+Land TH Condo 1

11 Existing Project as of Dec. 215 TYPE BRAND NO. OF SIZE (Rai) UNIT PROJECT % AVAILABLE FOR SALES UNIT PRICE REMAINING PRJ. VALUE SH 1. Inizio ,719 43% 3.7 2, Villaggio % Pruklada ,819 37% 4.3 6,93 4. Chaiyapruk ,421 59% 5. 4, Chollada % Mantana ,139 33% 8. 8,26 7. Seewalee ,348 61% 5.4 7, Nantawan % , Ladawan % , Land&Houses % 8.2 1, Land&Houses Park % TH 12. Indy % 2.4 1, Villaggio ,36 74% 2.3 1, Baan Mai The Landmark % 8.2 1,159 Condo 16. Ease North % The Key ,326 45% 3.4 2, % The Room % 7. 4, Wan Vayla % The Bangkok % ,976 TOTAL 68 4,81. 22,11 5% ,895 11

12 New project launches Project No. of new projects M.B. Value (Million Baht) 5 8, 4 6, prj prj prj.* 4, 38,74 19,76 41,3 13,88 26,94 2,8 1,28 (5%) 23, prj , 3,58 24,62 25,66 (95%) 7,52 2,7 (32%) (11%) ,4 13,28 (57%) 216(F) (F) 216(F) (F) * 3 TH projects are included in SH projects SH+Land TH Condo 12

13 New projects planned to launch in 216 No. PROJECT NAME LOCATION TYPE SIZE UNIT PRJ. UNIT (Rai) PRICE VALUE LAUNCH DATE 1 Villaggio Ayuthaya SH,TH ,25 Q1 2 The Bangkok Sukhumvit 38 CD ,5 Q1 3 The Bangkok Thonglor CD , Q2 4 The Key Wutthakat 2 CD ,7 Q2 5 Nantawan Udonthani SH , Q2 6 Chaiyapruk Chatuchot-Watcharapol SH ,4 Q2 7 Chaiyapruk Srinakarin SH ,52 Q2 8 North 6 Chiang Mai CD Q3 9 Villaggio Pinklao-Salaya SH, Semi-SH ,6 Q3 1 Villaggio Rangsit Klong 3 SH,TH , Q3 11 Mantana Wong Whan - Bangbon SH ,1 Q4 12 Mantana Maha Chesadabodin Bridge SH ,1 Q4 13 Nantawan Serene Lake Chiangmai SH ,1 Q4 14 North 7 Chiang Mai CD Q4 Total 634 3, ,5 Q.1 Q.2 Q.3 Q.4 No. of prj. Prj. Value % No. of prj. Prj. Value % SH ,28 57% Bangkok 9 18,92 81% TH* ,7 11% Provincial 5 4,58 19% CD ,52 32% 14 23,5 No. of prj Prj. Value 2,75 9,62 4,77 6,36 23,5 1% % 12% 41% 2% 27% 1% * These 3 TH projects are included in SH projects 13

14 Revenue from Rental Properties 3, M.B. Expected rent growth of 16% from both Apt. in U.S.A. and hotels in BKK +326 (+28%) 2, , 1, Apt in U.S.A. Verona Domain Mode Apt in U.S.A. Domain Mode Parc , % +18% 1, 1,576 Hotels Ratchadamri Ploenchit Hotels Ratchadamri Ploenchit Sukhumvit55 T.21(sublease) T.21 T.21 divestment 215 T.21 divestment Verona divestment Parc acquisition Exchange rate Sukhumvit 55 Rent growth 216(F) Rental Properties in BKK : L&H Property Co.,Ltd. (6% holding), LH Mall & Hotel Co.,Ltd.(1% holding) Apartments in U.S.A. : L&H U.S.A.,Inc. (1% holding) 14

15 Contribution from associated co. M.B. 4, 33% 28% 26% xx% xx% 3, 2, 688 1, 1,594 2,19 2,21 2,366 2, (F) 216(F) (F) ( Analyst Concensus) ( Analyst Concensus) Contribution from Associated Co. Extra gain from divest assets to LHPF, QHHR % of LH's net profit Associated Co. % holding (F) 216(F) Mkt.Value (: Million Baht) Profit from divestment of 3 buildings to LHPF = Dec Dec. 15 * LH Property Fund I, II 49.9% ,14 1,1 LH Bank 34.1% ,791 7,695 Home Pro 3.2% ,2 1,36 1,187 27,334 27,36 Quality Houses 25.% ,395 6,155 Quality Construction 21.2% Starmalls 9.6% ** ,229 4,834 Bangkok Chain Hospital Divested end - of Q Others Total 2,285 2,19 2,21 2,366 2,675 5,629 47,15 ** Transferred to other L/T investments in Q

16 Debt Level & Average cost of Debts 8, M.B. Ratio %.84.8 Net debts/equity % Average Cost of Debts 6, 44,275 8% 7.25% 7.% 6.75% 6.75% 6.5% 4, 2, 3,472 25,54 26,19 32,63 33,396 34,843 28,735 6% 4% 4.37% 4.7% 4.% 3.89% 3.36% (F) 2% (F) Net Debt Equity D/E Avg. Cost of Debt MLR 16

17 Bond Issuance 213 7, M.B. 3. Yrs 3.81% 214 8, M.B. 3. Yrs. 3.55% 1,5 M.B. 2. Yrs. 3.25% 1, M.B. 3.5 Yrs. 3.3% 1,5 M.B. 2.9 Yrs. 3.48% 215 9, M.B 3.3 Yrs. 2.88% 6, M.B. 3.5 Yrs. 2.55% 15, M.B. 3.4 Yrs. 2.75% 216 Apr. 6, M.B 3. Yrs. 2.xx% Oct. 6, M.B 3. Yrs. 2.xx% 12, M.B. 2.xx% 17

18 Share capital & Dividend Information No. of Shares (31/12/15) : 11,747 million Price per share (31/12/15) LH : Baht 9.45 (Par 1 Bt) LH-F : Baht 9.2 (Par 1 Bt) Market Cap. (31/12/15) : Baht 111,15 million (USD 3,84 million) Major Shareholder : Asavabhokin Family 31.37% LH-W3 - No. of warrants outstanding : 276 million - Conversion price : Baht Price per warrant (31/12/15) : Baht Term : 3 years, expire on May 5 th, 217 9M Net profit (Bt million) 4,531 8,423 6,478 5,682 5,69 3,971 EPS (Diluted : Bt) Dividend per share (Bt) Dividend paid (Bt million) 2,926 7,378 4,1 4,51 4,1 3,49 Dividend Payout Ratio 96% 88% 62% 8% 71% 86% 18