VGi Global Media PCL. General and Business Update Presentation May 2014

Transcription

1 VGi Global Media PCL General and Business Update Presentation May 2014

2 IR Contacts IR Department: Ms. Tisakorn Youngmod Ms. Napat Buchasuk Ms. Chama Savetbodi Telephone: +66(0) (0) Fax: +66(0) Website: Disclaimer Investment involves risk. Prospective should understand the characteristics of Securities and study information about VGI Global Media Public Company Limited ( VGI or the Company ) before making a decision to invest in Securities. This Presentation is not intended to provide the basis for any investment decision, nor to substitute your own analysis and investigation, and should not be considered as a recommendation to any recipient of this Presentation. Some statements made in this presentation are forward-looking statements, which are subject to various risks and uncertainties. These include statements with respect to the Company s corporate plans, strategies and beliefs and other statement that are not historical facts. These statement can be identified by the use of forward-looking terminology such as may, will, expect, intend, estimate, continue, plan or other similar words. The statements are based on the assumptions and beliefs of the Company s management in light of the information currently available to the Company. These assumptions involve risks and uncertainties which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forwardlooking statements. Nothing in this Presentation is, or should be, relied on as promise or representation of the Company as to the future.

3 Agenda SECTION 1 SECTION 2 SECTION 3 SECTION 4 VGI in Brief Advertising Industry VGI by Business Units Key Success Factors & Competitive Advantage SECTION 5 4Q & FY 13/14 Performance and Business Update SECTION 6 SECTION 7 Acquisition/Investment Policy FY 14/15 Target APPENDICES

4 Key Milestones Granted initial License to Manage Marketing Services Agreement from BTSC Exclusive license to manage the advertising spaces and merchandising areas of 23 stations and all trains for a period of 10 years Granted initial Advertisement Display Concession Agreement from Tesco Lotus (non-sales floor) Granted Advertisement Display Concession Agreement from Carrefour BTSC becomes major shareholder of VGI VGI acquired POV Amended License to Manage Marketing Services Agreement with BTSC Listed on SET in Oct / / / /14 Granted initial Advertisement Display Concession Agreement from Watsons Granted initial Advertisement Display Concession Agreement from Big C (non-sales floor) Granted Advertisement Display Concession Agreement in Sales floor from Tesco Lotus and Big C Included as a constituent member of SET100 Index in Jul 2013 Included as a constituent member of SET50 Index in Jan 2014 Formed a JV with Deelight Multimedia Co., Ltd. Section 1: VGI in Brief 4

5 VGI Overview BTS Media HISTORICAL REVENUE* (THB mn) ,143 1,422 1,679 REVENUE CONTRIBUTION** 53% GROSS PROFIT MARGIN** 81% Modern Trade Media FY09/10 FY10/11 FY11/12 FY12/13 FY13/ ,250 1,295 41% 25% Office Building & Other Media FY09/10 FY10/11 FY11/12 FY12/13 FY13/ % 69% FY09/10 FY10/11 FY11/12 FY12/13 FY13/14 *Excludes other income ** as of FY 2013/14 Section 1: VGI in Brief 5

6 VGI at a Glance KEY FIGURES (FY 13/14) THB (mn) USD (mn)* Revenue 3, EBITDA 1, Net Profit 1, Total Assets 2, SHARE INFORMATION (AS OF APR 2014) Stock Code VGI Outstanding Shares (mn) 3,432 Market Capitalisation (THB mn) 39,468 Market Capitalisation (USD mn) 1,220 Average Daily Traded Value (THB mn) 81 Average Daily Traded Value (USD mn) 3 DIVIDEND INFORMATION TOP TEN SHAREHOLDERS (as of 31 Mar 2014) Name (%) BANGKOK MASS TRANSIT SYSTEM PCL 51.0 BTS GROUP HOLDINGS PCL 10.8 MR. PRACHA DUMRONGSUTHIPONG 2.7 THAI NVDR CO., LTD. 2.5 HSBC (SINGAPORE) NOMINEES PTE LTD 1.9 STATE STREET BANK EUROPE LIMITED 1.9 KRUNGSRI LONG-TERM DIVIDEND FUND 1.6 MR. NARES NGAMAPICHON 1.5 NORTRUST NOMINEES LIMITED-NTO SEC LENDING THAILAND 1.3 KRUNGSRI DIVIDEND FUND 0.9 SHARE PRICE MOVEMENT THB VGI Turnover (RHS) VGI TB SET Index (rebased) THB mn Nov: 2,500 Jul: Listed in Bangkok Political SET100 Demonstration 2,000 VGI First Day Trade Jun: MSCI Effective Sep: Par Split Jan: Listed in SET50 1,500 1,000 Dividend Policy Not less than 50% of net profit 2013/14 Payout Ratio* 93.4% Remarks: - Exchange rate based on USD 1 = THB /14 final dividend is subject to shareholders approval at the AGM on 3 Jul Section 1: VGI in Brief

7 Agenda SECTION 1 SECTION 2 SECTION 3 SECTION 4 VGI in Brief Advertising Industry VGI by Business Units Key Success Factors & Competitive Advantage SECTION 5 4Q & FY 13/14 Performance and Business Update SECTION 6 SECTION 7 Acquisition/Investment Policy FY 14/15 Target APPENDICES

8 Media Industry Overview 13/14 THAI MEDIA INDUSTRY MARKET SHARE In-Store, 2% Transit, 3% Outdoor, 4% Magazine, 5% Radio, 5% Cinema, 7% Newspaper, 13% Internet, 1% TV, 60% THAI MEDIA INDUSTRY ADSPEND (THB BN) INDUSTRY, 5% CAGR TV, 6% CAGR TRANSIT, 19% CAGR IN-STORE, 24% CAGR Source: The Nielsen Company (Thailand) Limited Excludes classified and house ads 2008/ / / / / /14 QUATERLY 4Q 12/13 3Q 13/14 4Q 13/14 QoQ (%) YoY (%) TV % -6.9% Outdoor % -1.3% Transit % -0.8% In-Store % -33.2% Industry % -6.8% YEARLY 2012/ /14 YoY (%) TV % Outdoor % Transit % In-Store % Industry % Section 2: Advertising Industry 8

9 Media Industry Overview Top 5 AdSpend by Business Segment (1Q 12/13 4Q 13/14) THAI ADSPEND VALUE BY BUSINESS SEGMENTS (THB bn) FMCG 4Q 13/14 OVERALL MEDIA INDUSTRY 1 FMCG 42% 2 MOTOR VEHICLES 8% 3 GOVERNMENT RELATED 6% 4 COMMUNICATIONS 6% 5 LEISURE 4% TOP 5 66% OTHERS 34% Q 12/13 2Q 12/13 3Q 12/13 4Q 12/13 1Q 13/14 2Q 13/14 3Q 13/14 4Q 13/14 Source: The Nielsen Company (Thailand) Limited Section 2: Advertising Industry Motor Vehicles Government Related Communications Leisure 4Q 13/14 VGI MASS TRANSIT 1 FMCG 39% 2 COMMUNICATIONS 11% 3 TRAVEL & TOURS 7% 4 LEISURE 5% 5 FOOD OUTLETS & RESTAURANTS 4% TOP 5 66% OTHERS 34% 4Q 13/14 VGI IN-STORE 1 FMCG 88% 2 MOTOR VEHICLE ACCESSORIES 5% 3 MOTOR VEHICLES 4% 4 FOOD OUTLETS & RESTAURANTS 1% 5 PHARMACEUTICALS 0.8% TOP 5 98% OTHERS 2% 9

10 Agenda SECTION 1 VGI in Brief SECTION 2 SECTION 3 SECTION 4 Advertising Industry VGI by Business Units Key Success Factors & Competitive Advantage SECTION 5 4Q & FY 13/14 Performance and Business Update SECTION 6 SECTION 7 Acquisition/Investment Policy FY 14/15 Target APPENDICES

11 BTS Related Media KEY CONCESSION TERMS DIGITAL MEDIA RIGHTS Exclusive rights for 23 stations & all BTS trains In Trains & On-Stations Merchandising Area Additional areas First right to renew contract and extend space on additional mass transit projects that BTSC is granted the rights to operate media space EFFECTIVE PERIOD 18 May December 2029 Platform Truss LED & Platform Screen Door Digital Screen inside the train STATIC MEDIA (ON BTS SKYTRAIN & PLATFORMS) CONCESSION FEE (PAYABLE TO BTSC) 5% - 20% of total revenues/year (an incremental increase of 5% every 5 years) PAST SUCCESS CAGR 18% BTS MEDIA REVENUE (THB mn) ,143 1,679 1,422 Train Body Wrap MERCHANDISING Cladding Merchandising Shop Merchandising Shop Section 3: VGI by Business Units 11

12 BTS Related Media BTS MEDIA NETWORK (exclusive rights for 23 stations & all trains) TRAIN CAPACITY Total Current Train Capacity: 52 trains/208 carriages 16% additional train capacity in FY 14/15 Full year effect of 35 c car trains Full year effect of 5x4 car trains 13% additional train capacity in FY 19/20 Expected full year effect of 7X4 car trains 2014/15 BTS RIDERSHIP GROWTH TARGET 5-8% ridership growth Section 3: VGI by Business Units 12

13 Modern Trade Media KEY CONCESSION TERMS RIGHTS Exclusive rights for existing and upcoming branches Tesco Lotus Big C (including former Carrefour) Watsons (digital media) LENGTH OF CONTRACT 3-5 years on average LICENSE FEE Mainly based on percentage of revenue sharing and minimum guarantee DIGITAL MEDIA Health and Beauty Zone Radio Media in Tesco Lotus & Big C STATIC MEDIA (SALES FLOOR AREA) PAST SUCCESS Acquired exclusive rights to manage all advertising areas from Tesco Lotus and Big C, the top 2 players in the Modern Trade Retailer industry Shelf Divider Shelf Frame & Floor Sticker STATIC MEDIA (NON-SALES FLOOR AREA) Big surge in revenue (93% growth in FY 2011/12) mainly from sales floor areas, which account for over 70% of total Modern Trade Media revenue Entrance Lightbox Sensormatic Section 3: VGI by Business Units 13

14 Modern Trade Media VGI MEDIA COVERAGE OF MODERN TRADE OUTLETS IN THAILAND* BRANCHES: LARGE MEDIUM SMALL TOTAL NORTH TESCO ,409 1,756 BIG C CENTRAL BKK EAST NORTHEAST SAMPLE OF SALES FLOOR PLAN SOUTH * Data includes only large and medium formats as of 31 Mar 2014 Source: Tesco Lotus, Big C, and Bohdi Tree Knowledge Co., Ltd. Chemical & Houseware Processed food, cooking, Toys & Stationery and confectionery Section 3: VGI by Business Units 14

15 Office Building & Other Media KEY CONCESSION TERMS RIGHTS AND LENGTH OF CONTRACT Office Buildings 75 buildings in CBD, 3-5 years contract (avg.) Outdoor LED (Selling Agent) 4 locations in Bangkok 1 year contract with renewable rights Chulalongkorn University (CU) Bus 15 buses and 15 bus-stops 1 year contract with renewable rights LICENSE FEE Revenue sharing and fixed rates OFFICE BUILDING MEDIA Digital Screen in Elevators OUTDOOR LED SCREENS Lift Wrap PAST SUCCESS Changed to integrated network across all office buildings, increasing sales by 50% Rama 9 Junction Victory Monument CHULALONGKORN UNIVERSITY BUS Bundled Office Building Media with the Company s other media and sold as a package, increasing occupancy and driving sales by 100% Bus Body Wrap Bus Shelter Section 3: VGI by Business Units 15

16 Office Building & Other Media TOTAL GRADE A OFFICE BUILDINGS IN BANGKOK TOTAL BANGKOK GRADE A OFFICE BUILDINGS IN VGI PORTFOLIO approximately 120 buildings 75 buildings 655 Screens Section 3: VGI by Business Units 16

17 Agenda SECTION 1 VGI in Brief SECTION 2 SECTION 3 SECTION 4 SECTION 5 Advertising Industry VGI by Business Units Key Success Factors & Competitive Advantage 4Q & FY 13/14 Performance and Business Update SECTION 6 SECTION 7 Acquisition/Investment Policy FY 14/15 Target APPENDICES

18 Key Success Factors & Competitive Advantages Right Place, Right Timing, and Right Targeted Viewers COST EFFECTIVENESS VGI s cost per thousand viewers is 15-20% cheaper than TV ABILITY TO REACH AUDIENCE BTS SkyTrain and Office Buildings Captive media (No remote control) High frequency Strong impact BUSINESS STRATEGY Source : 1 Well-Classified Target Viewers Office building BTS Modern Trade The Nielsen Company (Thailand) Limited White collar workers (age 24-45) Working people and younger generation (age 15-35) Product Advantage Women, housewives and families Nationwide Media Network Modern Trade Final Point of Sales Media, which is the last mile to purchase Prominent locations Nationwide viewer base 2 Strong ability to reach viewers 3 Product Variety 4 Product Bundling Section 4: Key Success Factors & Key Competitive Advantage 18

19 Key Success Factors & Competitive Advantages Resilience & Growth Unit : THB mn BTS Ridership Trend Non-BTS Revenue* VGI Revenue CAGR (12 years) = 27% 2,838 3,149 BTS Revenue* 2, ,046 1,138 1, / / / / /14 Note: *Includes other income Jan - Dec Apr - Mar Coup d Etat Global financial crisis Bangkok Floods Political Demonstration Political Turmoil Uninterrupted revenue growth in every single year despite various disruptions and decline in BTS ridership, demonstrating resilience against crisis. Section 4: Key Success Factors & Key Competitive Advantage 19

20 Agenda SECTION 1 VGI in Brief SECTION 2 SECTION 3 SECTION 4 SECTION 5 SECTION 6 SECTION 7 Advertising Industry VGI by Business Units Key Success Factors & Competitive Advantage 4Q & FY 13/14 Performance and Business Update Acquisition/Investment Policy FY 14/15 Target APPENDICES

21 4Q & FY 13/14 Overview P&L SNAPSHOT 4Q & FY 13/14 (THB MN) (THB MN) 4Q 13/14 4Q 12/13 %YOY 3Q 13/14 % QOQ FY 13/14 FY 12/13 %YOY Operating Revenue % % 3,149 2,838 11% Cost of sales % 315 0% 1,342 1,289 4% Gross profit % % 1,807 1,548 17% EBITDA % % 1,510 1,289 17% Net profit * -14% % 1, * 27% Gross profit margin 51% 55% 61% 57% 55% EBITDA margin 40% 46% 52% 48% 45% Net profit margin 30% 32% 39% 36% 32% FY 13/14 REVENUE BREAKDOWN FY 13/14 GROSS PROFIT BREAKDOWN Office Building & Other Media 6% BTS-related Media 53% Modern Trade Media 41% BTS-related Media 75% Modern Trade Media 18% Office Building & Other Media 7% * The Company was required to restate the prior year s financial statement for comparison purposes in order to comply with the new accounting standard on deferred tax which became effective since January Section 5: 4Q & FY 13/14 Performance and Business Update 21

22 BTS-related Media REVENUE (THB MN) REVENUE BREAKDOWN (THB MN) 1,422 1, Q 12/13 3Q 13/14 4Q 13/14 50% 45% 48% % 31% 28% 23% 24% 24% 4Q12/13 3Q13/14 4Q13/14 FY 12/13 FY 13/14 MARGINS (%) Quarterly Gross Profit (%) Train Station Merchandising and Others Annual Gross Profit (%) 4Q 13/14 77% FY 13/14 81% 3Q 13/14 82% 4Q 12/13 82% FY 12/13 78% Section 5: 4Q & FY 13/14 Performance and Business Update 22

23 Modern Trade Media REVENUE (THB MN) REVENUE BREAKDOWN (THB MN) 4Q 12/13 1,250 1, Q 13/14 4Q 13/ % 76% 76% % 22% 24% 24% 4Q12/13 3Q13/14 4Q13/14 FY 12/13 FY 13/14 Static Digital MARGINS (%) Quarterly Gross Profit (%) Annual Gross Profit (%) 4Q 13/14 3% FY 13/14 25% 3Q 13/14 30% 4Q 12/13 21% FY 12/13 26% Section 5: 4Q & FY 13/14 Performance and Business Update 23

24 Office Building & Other Media REVENUE (THB MN) REVENUE BREAKDOWN (THB MN) Q 12/13 3Q 13/14 4Q 13/14 97% 74% 100% % 1 3% 4Q12/13 3Q13/14 4Q13/14 FY 12/13 FY 13/14 Office Buildings Others MARGINS (%) Quarterly Gross Profit (%) Annual Gross Profit (%) 13% 0 4Q 13/14 56% FY 13/14 69% 3Q 13/14 73% 4Q 12/13 63% FY 12/13 72% Section 5: 4Q & FY 13/14 Performance and Business Update 24

25 Cash Flow & CapEx CASH FLOW MOVEMENT (31 Dec Mar 14) CFI (150) (THB mn) , Beginning cash (31/12/13) CFO Joint Venture CapEx Interest Income Ending Cash (31/3/14) FY 13/14 CAPEX (THB MN) FY 13/14 Platform Screen Door 176 BTS (Platform Truss LEDs and E-Poster) 299 Modern Trade and Others 85 Total 560 Section 5: 4Q & FY 13/14 Performance and Business Update 25

26 Balance Sheet ASSETS BREAKDOWN (THB MN) 2,579 2,741 LIABILITIES AND EQUITY BREAKDOWN (THB MN) 2,579 2,741 Current assets 1,995 77% 1,630 59% Current liabilities Non-current liabilities % 1% % 1% Non-current Assets % 1,111 41% Equity 1,821 71% 1,953 71% 31-Mar Mar Mar Mar-14 KEY FINANCIAL RATIOS DEBT TO EQUITY LIABILITY TO EQUITY CURRENT RATIO FY 13/14: 0.0x FY 12/13: 0.0x FY 13/14: 0.4x FY 12/13: 0.4x FY 13/14: 2.1x FY 12/13: 2.7x Section 5: 4Q & FY 13/14 Performance and Business Update 26

27 Business Update Dividend Payments & Phar Partnership DIVIDEND PAYMENTS PHAR PARTNERSHIP Interim cash dividend of THB 0.18 per share and stock dividend of 25:1 paid on 27 Dec 2013 Final cash dividend of THB 0.13 per share (subject to AGM on 3 July 2014) 2013/14 dividend payout ratio is 93.4% VGI Dividend Record Partner Rights Contract Length Phar Partnership, Thailand (exclusive media sales agency of Air Asia) Sale agent for AirAsia planes 1 st year: 30 planes 2 nd year: 38 planes 3 rd year: 42 planes 3 years 0.13** 1.1% 1.50* 1.0% % 0.184* 1.5% 2012/ /14 Interim dividend Final dividend Dividend yield Note Dividend yield is calculated using VGI closing share price one day before the date of Board of Directors meeting approving the relevant dividend *2012/13 final dividend and 2013/14 interim dividend included stock dividend of 10:1 and 25:1, respectively. **2013/14 final dividend per share is subject to shareholders approval at the AGM on 3 July 2014 Section 5: 4Q & FY 13/14 Performance and Business Update 27

28 Business Update Strategic Investment: 24.43% in MACO MACO OVERVIEW Share information (as of 9 May 2014) Stock code: MACO Market capitalisation (THB mn): 2,903.6 Outstanding shares (mn shares): Major shareholder post transaction (% out of all shares) 1. VGI Pcl % 2. Tansalarak Group 10.05% 3. Maneerattanporn Group 8.40% 4. Meeprasertsakul Group 6.51% Total major shareholder 49.93% Product Description Location/Area 1. Billboard Static billboard Bangkok & vicinity / 170 billboard / 74,635 sqm 2. Street Furniture Tri vision media on 20 BTS columns/ Siam square billboard Bangkok / 2,217 sqm 3. Transit Light box at toll booths / tri vision, light-box & poster City grip light express, BTS walkway & Mochit station / 419 sqm 4. Made to order & Event Produce and provide advertising media services n/a Section 5: 4Q & FY 13/14 Performance and Business Update 28

29 Business Update Strategic Investment: 24.43% in MACO MACO S FINANCIAL PERFORMANCE Revenue structure 2013 Total operating revenue : THB 724.6mn Proven Track Record of Revenue and Net profit 2013 Dividend Yield* of 5.6% Event, 1.7% Other services, 2.9% Made to order, 6.9% Transit, 13.0% Street furniture, 27.5% Billboard, 53.5% Operating revenue (THB mn) Net Profit (THB mn) MACO space: Billboard, Street furniture and Transit *based on share price of THB 9.00 Non MACO space: Made to order and Production/Printing Section 5: 4Q & FY 13/14 Performance and Business Update 29

30 Business Update Strategic Investment: 24.43% in MACO INVESTMENT HIGHLIGHTS BENEFITS TO VGI VGI invested 24.43% in MACO (73.5mn shares, at THB 9.00 Total investment value of THB 661.5mn 3 BOD representative from VGI from total of 9 Directors Accounted as equity method of consolidation. Investment income from MACO in 1Q 14/15 will be recorded proportionately according to VGI shareholding in MACO between 12 May to 30 June 2014 as follows: BALANCE SHEET Current assets Cash and cash equivalents Non-current assets Investment in associates P&L Revenues Share of profit (loss) from investment in associates THB xxmn THB xxmn THB xxmn Expand media network and market reach Further expansion in outdoor segment Increase long-term revenue and net profit Steady dividend payout Future growth Increase product varieties Broader client s portfolio SYNERGY In short term, sale synergies can be created by bundling media packages from VGI and MACO. Knowledge sharing and transfer among highly experienced management team Section 5: 4Q & FY 13/14 Performance and Business Update 30

31 Business Update Warrant Issuance KEY TERMS AND CONDITIONS OF WARRANT TICKER TERMS VGI-W1 4 Years EX-RIGHTS DATE 9 July 2014 EXERCISE PERIOD Quarterly basis WARRANT PRICE ALLOCATION NO. OF WARRANTS EXERCISE RATIO Free EXERCISE PRICE THB To existing shareholders at the ratio of 4 VGI existing shares : 1 VGI-W1 Up to 857,993,407 Units 1 VGI-W1 to 1 ordinary share of VGI RATIONALE Free warrants Preferential right to existing shareholders Funding to be used for potential acquisitions/ CaPex Expected maximum proceeds THB 12,011,067,698 Matter is subject to shareholder approval of AGM on 3 July 2014 Section 5: 4Q & FY 13/14 Performance and Business Update 31

32 Agenda SECTION 1 VGI in Brief SECTION 2 SECTION 3 SECTION 4 Advertising Industry VGI by Business Units Key Success Factors & Competitive Advantage SECTION 5 SECTION 6 SECTION 7 4Q & FY 13/14 Performance and Business Update Acquisition/Investment Policy FY 14/15 Target APPENDICES

33 Acquisition/Investment Policy Investment policy SECTOR: STAKE: GEOGRAPHY: RETURN CRITERIA: Out-of-Home media sector Influential or controlling Thailand focus, selective ASEAN (overseas require strong local partner) Minimum IRR or payback period RATIONALE: Increase market share in Out-of-Home media segment (to be the leader in OHM) Revenue and cost synergies Section 6: Acquisition/Investment Policy 33

34 Agenda SECTION 1 VGI in Brief SECTION 2 SECTION 3 SECTION 4 Advertising Industry VGI by Business Units Key Success Factors & Competitive Advantage SECTION 5 4Q & FY 13/14 Performance and Business Update SECTION 6 SECTION 7 Acquisition/Investment Policy FY 14/15 Target APPENDICES

35 2014/15 Target: Overall Business EXPECTED REVENUE GROWTH 22-24% BTS 7-10% Off. Bldg & Others % Modern Trade -17% YoY revenue growth EXPECTED CAPEX 2014/15 BTS Related Media Platform Screen Door Modern Trade Media Office Building & Other Media THB 230 mn THB 290 mn THB 50 mn THB 30 mn Total 2014/15 CapEx of THB 600mn Section 7: FY 14/15 Target 35

36 APPENDICES

37 Update on Green and Pink Line Extension Dark Green North Line Saphan Mai Kukod 7.0 km; completed by 2017 Dark Green North Line Mo Chit Saphan Mai 18.2 km; completed by 2017 Dark Green North Line Kukod Lamlukka 6.5 km; completed by 2019 Pink Line Khae Rai Min Buri 36.0 km; completed by 2017 BTSG is WELL POSITIONED FOR NEW CONTRACTS Relevant expertise Financial strength Green line advantage New contracts are expected to be on a PPP GROSS COST BASIS Operator to invest in civil works and E&M works with repayment from government Operator given operation contract Variations will be considered Light Green Line National Stadium Yodse 1.0 km; completed by 2019 Light Rail Transport (LRT) Bang Na Suvarnabhumi 18.3km; completed by 2017 Dark Green South Line Bearing Samut Prakarn 12.8 km; completed by 2017 Dark Green South Line Samut Prakarn Bang Pu 7.0 km; completed by

38 Key Financial Ratios FY 13/14 FY 12/13 FY 11/12 Profitability Ratios Gross profit (%) 57.4% 54.6% 34.5% EBITDA (%) 47.9% 45.4% 26.6% EBIT (%) 41.9% 21.6% Net profit (%) 36.4% 32.0% 14.1% Return on Equity (%) 60.7% 86.2% 78.8% Liquidity Ratios Current Ratio (times) 2.1x 2.7x 1.0x Quick Ratio (times) 2.1x 2.6x 0.9x Efficiency Ratios Return on Assets (%) 43.1% 46.7% 21.3% Asset turnover (times) 1.2x 1.5x 1.5x Leverage Ratios Liability to Equity (times) 0.4x 0.4x 3.5x Debt to Equity (times) No leverage 38

39 VGI Board of Directors Keeree Kanjanapas (Chairman) One of the most successful business person in Thailand with experiences in various industries. Khun Keeree is the one who introduced the first SkyTrain network to Thailand. He brings along valuable business experiences while providing key strategic directions to VGI Kavin Kanjanapas (Director and Chairman of Executive Committee) Over 10 years of commitment as a role of director and management. He is one of the key persons who has steered the performance of VGI during the last decade Surapong Laoha-Unya (Director) His experience as Chief Operating Officer of Bangkok Mass Transit System Plc. since 2006 provides VGI with insights to BTS-related business Kong Chi Keung (Director) More than 10 years of involvement with VGI as the Director Marut Arthakaivalvatee (Director and Chief Executive Officer) More than 35 years in the advertising & media industry with experience in multinational and domestic companies. He has worked with leading multinational and domestic companies such as McCann-Erickson Thailand, Oglivy & Mather (Thailand) and Grammy Entertainment Chan Kin Tak (Director & Chief Operating Officer) Experiences in the retail business with Watsons in Thailand and Hong Kong Assoc.Prof.Jaruporn Viyanant (Independent Director and Chairman of Audit Committee) Held various well-respected directorship positions in various government-related organizations such as the Bank of Thailand, Office of the Prime Minister, the Securities and Exchange Commission, and the Stock Exchange of Thailand, etc. Maneeporn Siriwatanawong (Independent Director and Audit Committee) Extensive experiences in the field of tax audit with the Revenue Department and Internal Auditor with the Bank of Ayudhya Plc. Mana Jantanayingyong (Independent Director and Audit Committee) Held various management position in international media agencies such as Executive Director of Group M, Managing Director of Mediaedge: CIA and management of McCann-Erickson Thailand 39

40 Shareholding Structure As of 31 Mar 2014 Kanjanapas Family BTSG s Minorities 41.7% 58.3% BTSG BTSC s Minorities 97.5% 2.5% 0.1% 51.0% BTSC Public 39.7% 0.5% Kanjanapas Family 10.8% 40

41 THANK YOU