Company Presentation April

Transcription

1 Company Presentation April

2 Who We Are A leading property company in Indonesia Established in 1994 and listed on the Indonesia Stock Exchange since December 2007 Well-located & large scale urban townships comprising high quality residential and commercial properties, ancillary facilities and infrastructure Proven property development track record Large, welllocated, and valuable landbank Owns and controls a large, well-located, and valuable landbank Sufficient to sustain operations for the next 20 plus years Successful track record in landbank replenishment and growth Growth from a single-project developer to a multi-project company in Indonesia Successfully replicate the core township development business model with Suvarna Sutera project in Pasar Kemis In the period , we have sold 4,114 units of houses and land lots, valued at IDR 4.2 tn Diversifies the Group s revenue and customer base Allow access to the high-growth mid-end residential property market segment with strong end-user demand that s driven by Indonesia s sound economic fundamentals Further geographic diversification by making strategic investments in Jakarta CBD and Bali Launched Kota Ayodhya project in February 2014 Launched several new clusters from in Pasar Kemis (Suvarna Sutera Project) in In addition, we have started to market commercial area as we launched our first shophouses in Pasar Kemis. Plans to increase recurring income from existing projects Strong financial liquidity profile Prudent approach to fund expansion by maintaining a sound financial profile Access to multiple sources of financing both across banks and global capital markets 2

3 Description Core Business Model The Company s core business model is focused on township development that has high barriers to entry and leverages the Company s core strength and competitive advantages Land Infrastructure Residential Commercial Ancillary Township Large scale, highly accessible urban township developed in phases over several years under a master plan. Wide range of high quality real estate products are offered for sale or lease within the township. Well-developed infrastructure, property management and other value added services enhance the townships long-term value and attractiveness. Unmatched by our competitors and has become our competitive advantage. Well-balanced product mix of residential and commercial properties and land lots Landed house clusters Commercial land lots High-rise apartments Office Towers Shop Houses Retail Cluster of 150 to 500 landed houses in gated residential enclaves of 4 to 23 ha Customer can purchase ready-built houses or land lots (on which they may construct homes of their own design and at their own expense) Commercial land lots are sold to customers who would develop commercial properties and facilities Increase the attractiveness of the township as a residential and commercial destination, promotes its long term growth and enhances its values High-rise apartment towers, with communal and recreational facilities Apartment saleable area is typically between 38 to 80 sqm High-rise office properties to cater to the demand from local and international companies seeking to establish an office presence in greater Jakarta Cluster/rows of low-rise shop houses, located along main roads, and typically used for commercial purposes Each shop house is typically 2-3 storeys high with an average GFA of 220 sqm. Wide range of retail properties, including food malls, shopping centers, and markets Target customers include residents of the Alam Sutera township and surrounding areas 3

4 The New Management BOC BOD Harjanto Tirtohadiguno President Commissioner Joseph Sanusi Tjong President Director Angeline Sutedja Commissioner Lilia Setiprawarti Sukotjo Director Pingki Elka Pangestu Independent Commissioner Prasasto Sudyatmiko Independent Commissioner The Nicholas Commissioner RM Frangky AD Director Andrew Charles Walker Non-Affiliated Director 4

5 Consolidated Marketing Sales Monthly sales has become more fluctuative due to our wholesale property business in IDR mm Jan - Feb 30,220 25, , , , , , , ,577 Mar - Apr 42, , , , , , , , ,563 May - Jun 175, , , , ,374 1,428,167 1,551, ,005 Jul - Aug 58, , , , , , , ,956 Sept - Oct 143, , , , ,310 1,143, , ,537 Nov - Dec 42, , , , , , , ,783 Total 492,224 1,022,822 1,607,829 2,811,501 3,647,871 4,821,364 4,255,633 1,925, ,140 5

6 2016 Marketing Sales In IDR bn Type of Product 2016 Marketing Sales Target Serpong - Commercial 1,100 - Residential 450 Pasar Kemis - Commercial Residential 1,000 High Rise - Apartments Offices 1,700 GWK - Hospitality 50 Total 5,000 Note The above numbers do not include potential transactions as per below: ha Superblock development in Alam Sutera including an International Exhibition and Convention Center 6

7 2016 Marketing Sales 1 Strong Pipelines 2 Product Launches High Rises Pipeline: ± 50,000 sqm Estimated at IDR 50mm psm Commercial Lots Pipeline: ± 130,000 sqm Estimated at IDR 20+ mm psm New Clusters to be launched in Pasar Kemis. Cluster to be launched in Alam Sutera. Potential new tower from Kota Ayodhya project. 3 Potential JV with International Developers 4 Potential One-Off Transactions Currently exploring JV opportunities with international developers Focused on Asian-based developers. The aims To accelerate township development as a whole. Risk sharing. Capital sharing. 20 ha Superblock Development MoU to form a Joint Venture and co-develop a 20-ha parcel of land located at Alam Sutera, which includes an International Exhibition and Congress Center. MoU with China Fortune Land Development MoU to form a Joint Venture to co-develop Suvarna Sutera, Pasar Kemis. 7

8 Consolidated Marketing Sales Breakdown Marketing Sales Breakdown by Area FY2015 Marketing Sales Breakdown by Product FY % 37% Alam Sutera 14% 14% 32% Commercial Residential (Houses and land lots) Suvarna Sutera Apartments 42% Others 40% Office Tower Payment Profile - FY2015 Hard Cash Cash Installment Mortgage Alam Sutera Township 9% 75% 17% Suvarna Sutera Township 12% 41% 47% Consolidated 10% 60% 30% 8

9 Recurring Income Significant Improvement Expected in 2017 When Our GWK Statue Is Completed And Sutera Contract Renewal Takes Place IDR bn E Town management Recreation and sports Rent Other Hospitality Tourism / GWK 9

10 Overall Capital Spending Plan Slowdown on Landbank Purchase and Reduce Capital Spending Capital Spending Revised Downward IDR bn Historical and Planned Land Acquisition Expenditure in IDR bn 4,000 Description FY2016 Target 3,500 3,000 2,500 2,000 2,354 3,377 Land acquisition 500 Construction - High Rise 500 Construction - Low Rise 1,000 1,500 1, , E The Company has sufficient landbank at more than 20 yrs lifetime catering to all market spectrums through land located at Pasar Kemis and Serpong. Acquisition phase is completed and no further major acquisition is expected Total Capex 2,000 Land acquisition: North Serpong Construction - High Rise: Prominence The Tower Paddington Heights Kota Ayodhya GWK Construction - Low Rise: Serpong Pasar Kemis 10

11 Balance Sheet Update Debt Maturity Profile Remaining Bond Details USD mm Fully Paid 2020 Bond 2019 Bond Insignificant repayment schedule in the next 3 years IDR 300 bn CIMB Bank Facility for GWK project (IDR 13,500/USD) IDR 500 bn Hana Bank Facility. Assumed full drawdown (IDR 13,500/USD) IDR 790 bn Bank ICBC Indonesia Facility. Assumed full drawdown (IDR 13,500/USD) Description 2020 Bond 2019 Bond Notes Rating Interest Payment USD 235 mm 6.95% interest p.a. Senior Notes due 2020 We have fully redeemed our 2017 Bond in April Flexibility to call the remaining USD bonds in USD 225 mm 9% interest p.a. Senior Notes due 2019 B2 Stable/ B Stable/ B+ Negative (Moody s/ S&P / Fitch) Mar 27 and Sept 27 of each year, commencing Sept 27, 2013 Key Highlights Jan 29 and Jul 29 of each year, commencing Jul 29, 2014 Target: achieve lower gearing by improving cash position through slower capex spending and initiative to accelerate asset monetization. Safety Measures: existing bonds are substantially hedged (up to IDR 14,500). All hedges mature in line with the outstanding Bonds. Entered into an IDR 500 bn construction loan agreement with Hana Bank in July Total drawdown as of Mar 31 st 2016 is IDR 331 bn. Entered into an IDR 790 bn construction loan agreement with Bank ICBC Indonesia in October 2015 for our Kota Ayodhya, The Prominence and Paddington Heights high-rise projects. Total drawdown as of Mar 1 st 2016 is IDR 713 bn. 11

12 Financial Highlights Income Statement Balance Sheet and Financial Ratios Description (in IDR bn) % Change Description (in IDR bn) Revenue 3,631 2,784-23% Cash and Time Deposit 1, Gross Profit 2,307 2,056-11% Total Debt 6,606 7,368 % of Rev 64% 74% Debt/ EBITDA Operating Income 1,908 1,628-15% Net Debt/ EBITDA % of Rev 53% 58% EBITDA 1,984 1,729-13% Debt to Equity 104% 112% % of Rev 55% 62% Net Debt to Equity 90% 102% Net Income % of Rev 1,177 32% % -42% EBITDA/Interest

13 Our Portfolio Map Summary of Our Current Developments JAKARTA CAPITAL REGION The Tower Office Building Wisma Argo Manunggal Office Building BALI Garuda Wisnu Kencana ( GWK ) Cultural Park Direct Exit Toll To Alam Sutera GWK Alam Sutera Township The Prominence TANGERANG AREA Alam Sutera - Township - Sutera - The Prominence - Office Tower - Paddington Heights - Apartment Suvarna Sutera - Township Kota Ayodhya Apartment Silkwood Residence Paddington Heights Kota Ayodhya Sutera 13

14 Alam Sutera and Suvarna Sutera Township Current JORR-II Toll Road currently being developed will create direct access from Alam Sutera to Soekarno- Hatta Airport, positioning Alam Sutera at a very strategic location. This Toll Road Will be Completed in 2019 This section will connect Alam Sutera to the Airport and is a construction priority Jakarta Merak Toll Road Future JORR II Toll Road JORR I Toll Road Future JORR II Toll Road Future BSD-Balaraja Toll Road Key Highlights of Tangerang Area Legend: Under construction Completed a. Tangerang is one of the fastest growing regions (total population in 2012: 7.8 mm) within Greater Jakarta and a popular residential and business district. b. Economic growth of the region is driven by urbanization, decentralization and infrastructure development c. Expected improvements to infrastructure will enhance the region s accessibility and attractiveness. Some parts of JORR II has already completed (Cinere-Jagorawi Toll Road 14

15 Alam Sutera Township Masterplan Mapping Key Highlights Phase 3 Acquiring Land Phase 2 Commercial Land Lots Located 15 km to the west of Jakarta. Total development of ± 800 ha, divided into two phases. Phase one: ± 450 ha (mostly residential and shop houses). Phase two: ± 350 ha (mostly commercial and high rise buildings). Additional Expansion for Phase three: ± 300 ha expansion to north Alam Sutera in the next 2-3 years. Direct access to toll road Adjacent to the new toll road to the Airport (JORR2). Expected to be completed in 2019 Low Rise Clusters: 34 Landed Houses: 7,500 Development Statistics Phase 1 Residentials Fully Sold Out High Rise Apartments: 1 completed, 3 under construction, 3 recently launched, and 7 planned to be launched Office Buildings: 3 completed, 2 under construction, and 6 upcoming Hotels and Others: 3 upcoming Commercial & Other Supporting Facilities 2 Shopping malls, sport club, school, university, traditional market, supermarkets, gas station, water treatment plant, F&B centre, home furnishing centre, electronic centre, automobile showrooms, etc. 15

16 Alam Sutera Township Average Selling Price Average Selling Price Commercial Lots Average Selling Price Residential Lots IDR mm psm IDR mm psm Attractive location continue to drive robust price increase. Commercial land to drive sales and price increase going forward 16

17 Suvarna Sutera Township Suvarna Sutera Master Plan Project Overview G 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. Planned phase one development is 900 ha. E Master Plan by Sasaki, Walker & Associates (SWA Group), a reputable US-based landscape architect, urban designer, and planner. C Since 2011, the Company has launched four residential super clusters with 17 sub-clusters. (per March 2015) D B H Progress Timeline A Infrastructure Development F Legend A Suvarna Padi Residential Cluster (2011) E Suvarna Padma Residential Cluster (2014) B C D Suvarna Jati Residential Cluster (2013) Phase 1: Most of the land has been acquired Phase 2: Land to be acquired over next few years F G H Location of future toll road access Potential future toll road connecting Suvarna Sutera to the international airport Suvarna Sari Residential Cluster (2015) 17

18 Suvarna Sutera Township Average Selling Price Sustainable ASP Increase Replicating Historical Alam Sutera Township Growth Path Average Selling Price Land in Suvarna Padi Average Selling Price Land in Suvarna Jati IDR mm psm IDR mm psm * 5.2 * * Indicative secondary market pricing 18

19 High Rise Projects x The Prominence Tower Paddington Heights Artist Impression of The Completed Project Progress Progress The Prominence Construction Tower as of as Jan 15 of Mar 15 Sept 15 The Prominence Tower Land Site Area : 13,981 sqm Building GFA : 53,762 sqm (excl parking) Semigross Area : 50,853 sqm No of floor : 30 Launch date : Feb-13 Construction start : Jun-13 Target completion date : Completed Selling price : IDR mm psm Est. construction cost : IDR 415 bn Marketing sales : IDR 299 bn* Construction progress : On time Note: * As of April 2016 Artist Impression of The Completed Project Progress Construction as of as as of Jan 15 of Feb 16 Jun 15 Mar 15 Paddington Heights Apartment Land Site Area : 9,000 sqm Building GFA : 36,653 sqm (excl parking) Semigross Area : 33,090 sqm No of floor : 30 Launch date : May-13 Construction start : Q Target completion date : 2Q16 Selling price : IDR mm psm Est. construction cost : IDR 350 bn Marketing sales : IDR 346 bn* Construction progress : On time 19

20 High Rise Projects xx Kota Ayodhya is an apartment that is located at the heart of Tangerang City, only 6.2 km away from Alam Sutera Township. In 2014, The Company has successfully marketed 4 towers (phase 1). Artist Impression of The Completed Product Kota Ayodhya Land site area Apartment Mall and shophouses No of floor : 24 Note: * As of April 2016 : 21,230 sqm : 137,947 sqm : 12,154 sqm Launch date : Feb 2014 Construction start date : July 2014 Target completion date Selling price Est. construction cost Marketing sales (Apartment) Construction Progress Towers : 3Q16 : IDR mm psm : IDR 755 bn : IDR 836 bn* : On time : 4 Towers Artist Impression of The Completed Project Progress Progress Construction Construction Progress Construction as of Sept 15 as of Mar 15 as of Feb 16 20

21 High Rise Projects xx The Tower is a 50-storey strata title office building strategically located in the golden triangle at the CBD Jakarta. Artist Impression of The Completed Product The Tower Location : Jl. Gatot Subroto Kav. 12 Land site area Building GFA No of floor : 50 Semigross Area Construction start Target completion date Est cost of construction Marketing sales Construction Progress : 9,522 sqm : 69,837 sqm : 56,492 sqm : Sep-13 : 3Q16 : IDR 680 bn : IDR 333 bn* : On time Selling price : IDR mm psm Note: * As of April 2016 Artist Impression of The Completed Project Progress Construction Progress Construction Progress Construction as of Feb 16 as of Jun 15 as as of of Jan 15 Mar 15 21

22 GWK Project Overview of Bali Tourism Number of Tourists Visiting Bali Number of Foreign Tourists Visiting Bali Total Number of Tourists Visiting Bali Source: BPS Bali, Number of Domestic Tourists Visiting Bali Why Bali? Named as Asia s best island by Travel and Leisure Magazine in With a CAGR of 15.2%, the total number of tourists visiting Bali (both foreign and domestic tourists) has reached more than 10mm people in 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 Source: Bali Provincial Tourism Agency,

23 GWK Project (cont d) A Must Go To Destination In Bali Starting 2017 Overview 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 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 Number of visitors: estimated at 3,000 people daily Multi Role Sites: Past Events Held at GWK Recently become popular for a prestigious wedding venue and has been chosen as a venue of many international events. For example: What We are Currently Developing 1. Garuda Wisnu Kencana Statue We are completing the 75m Wisnu Statue, which will be the largest statue in the world and a major tourist attraction to the park 2. Commercial Area With In-House Operation We are also developing commercial area and supporting facilities operated by us. This includes: entrance gate, parking area, estate office, ticketing, toilets, and kitchens 3. Commercial Area for Hospitality Miss World, Sept visitors Dreamfields Festival, Aug ,000 visitors Additionally, we have 30 ha land plots within GWK allocated for hospitalities with a variety of tiers such as 3 5 star hotels, boutique hotels, and other hospitality functions Iron Maiden Concert, Feb 2011 Dreamfields Festival, Aug ,000 visitors Soundrenaline, Sept ,000 visitors Land Zoning Commercial Area Land for Hospitality Cultural Park and Facilities 23

24 GWK Project (cont d) The Statue The statue is designed by Nyoman Nuarta, a world renowned Balinese s artist with many experience worldwide in making large scale statues. The statue will be made of copper and built on the hill at 130m altitude above the sea level, standing on 50 meter pedestal. It will reach 75m high ( >250m above sea level). The statue will be the only high structure that exceeds 15 meter limit set by the local Bali government. There will be 25,000 sqm retail space area, which consists of gallery and MICE, inside the statue. The statue s fragments Pedestal s Progress Pedestal s Progress Artist Impression as of Feb 16 GWK Will Represent a Significant Recurring Income in 2017 Onwards 24

25 Property Investment Sutera Wisma Argo Manunggal (WAM) Customer Traffic A verag e V isit o rs per day Weekdays 8,000 9,400 9,800 Sutera Night View Weekends 19,000 23,000 22,000 Wisma Argo Manunggal Front View Sutera GFA Leasable area Height Parking capacity Land area : sqm : ± sqm (extendable to sqm) : 5 floors (3 retail floors, 2 parking floors) : cars : 7.8 ha Grand opening : 12 December 2012 Anchor tenants Occupancy rate Average rental rate Average service : Sogo Department Store ( m2, 27%) Food Hall, Fun World : 90% (as of Nov 15) : IDR psm /mo.(as of Feb 16) : IDR psm /mo. (as of Feb 16) Wisma Argo Manunggal Location : Jl. Jend. Gatot Subroto Kav. 22 Acquired from Land area Building GFA Leasable Area Occupancy : 90% Average rental & service rate Potential redevelopment : PT Daya Sakti Perdika : 8,434 sqm : 18,165 sqm : 13,809 sqm : IDR 60,000 psm / mo. : Demolish the existing building and build a new storey grade A office. 25

26 Awards and previous years IFLA APR Awards FIABCI Prix d Excellence Awards Best Township Sub Category: Sustainable Development Best Township Sub Category: Green Development Nomination of Best Share Issuer Market Cap up to Rp 10 trillion Merit Awards Landscape Category Top Ten Developers Platinum Brand Champion Top Performing Listed Companies Top Performing Listed Companies Outstanding Master Plan Kota Ayodhya - Best Urban Living Apartment The well implemented township project Asia s Best Companies 2014 Silver Champion of Indonesia WOW Brand 2014 Residential Property Developer Category Top First Rank Among Region s 200 Small and Mid-size Companies Top 50 Best Companies Developer with Asset < 15 T Top Ten Developers Top 50 Best Companies Top Ten Developers 2015 Bronze Champion of Indonesia Wow Brand 2015 Top 10 Developers Indonesia 2014 The Best Innovation in sustainable development Indocement Awards Winning Three Years In A Row Property Marketer Of The Year Best Listed Companies Best Share Issuer Market Cap up to Rp 10 trillion Top Performing Listed Companies Most Influentional Property Professional Mrs Lilia Suktojo (Marketing Director ASRI) Best Township Development Project (Alam Sutera) Top 40 Best Emerging Companies 26

27 Disclaimer 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 of real estate properties, competition from other 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 obligation or undertaking to release publicly any update of or revision to any forwardlooking 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. 27

28 THANK YOU 28