Second Quarter and First Half 2013 Financial Results. 18 July 2013

Transcription

1 Second Quarter and First Half 2013 Financial Results 18 July

2 Scope of Briefing Address by Chief Executive Officer Group Financial Highlights Business Review & Outlook 2

3 3 Address by Chief Executive Officer

4 Sluggish Global Outlook Subpar growth in the developed economies Slowdown in emerging economies led by China, India and Brazil Brent crude remains around US$100/bbl 4

5 Performance Highlights 1H 2013 net profit decreased 47% year-on-year Annualised ROE was 14.5% EVA decreased from S$1,052m to S$377m year-on-year Interim dividend of 20.8 cts per share The financials exclude revaluation, major impairment and divestments. 5

6 Offshore & Marine Fortifying leadership Secured S$3.5b contracts YTD, including 2 KFELS B Class jackup orders in July Delivered 13 out of 22 rigs scheduled in 2013 With 20 yards worldwide, Keppel O&M continues to entrench its global repute for quality and reliability 6

7 Offshore & Marine Differentiating through technology Jackups 65 KFELS B Class jackups ordered since 2000, including 9 secured YTD Delivered first KFELS Super A Class jackup in 1H13 Semis 9 DSS TM 38 Series semis ordered since 2006 Secured SOCAR DSS TM 38M semi contract in 2Q13 The 45th KFELS B Class jackup was delivered to Arabian Drilling Company 7

8 Infrastructure New district cooling contracts in one-north & Changi Business Park Expanding portfolio of top quality data centres: Almere Data Centre, the Netherlands Keppel Datahub 2, Singapore Embarked on third Chinese integrated port logistics facility: Sanshui Port in Guangdong Keppel DHCS to supply district cooling services to 8

9 Property Acquired 2 residential sites and a commercial development in Singapore & China in 1H13 Over 2,000 homes sold in 1H13 Keppel REIT & Alpha s combined AUM has grown to S$17b to date The Group will continue to seize opportunities for strategic acquisitions such as Life Jinqiao, Shanghai 9

10 Building the future Keppel s next generation of leaders: Keppel Corp CEO-designate, Loh Chin Hua Keppel O&M CEO-designate, Chow Yew Yuen 10

11 11 Group Financial Highlights

12 1H 2013 Financial Performance Net Profit EPS 47% to S$677m 47% to 37.5cts Annualised ROE from 22.4% to 14.5% EVA Cash Outflow from S$1,052m to S$377m from S$20m to S$1,441m Net Gearing from net gearing of 0.23x to 0.33x Interim Dividend to 20.8 cts per share Net profit, EPS, Annualised ROE and EVA exclude revaluation, major impairment and divestments. 12

13 Financial Highlights S$m 1H H 2012 % Change Revenue 5,835 7,747 (25) EBITDA 906 1,656 (45) Operating Profit 793 1,556 (49) Profit Before Tax 989 1,674 (41) Net Profit 677 1,272 (47) EPS (cents) (47) The financials exclude revaluation, major impairment and divestments. 13

14 Revenue by Segments S$m 1H 2013 % 1H 2012 % % Change Offshore & Marine 3, , (13) Infrastructure 1, , Property , (68) Investments (92) Total 5, , (25) 14

15 Pre-tax Profit by Segments S$m 1H 2013 % 1H 2012 % % Change Offshore & Marine (8) Infrastructure Property (65) Investments (77) Total , (41) The financials exclude revaluation, major impairment and divestments. 15

16 Net Profit by Segments S$m 1H 2013 % 1H 2012 % % Change Offshore & Marine (8) Infrastructure Property (74) Investments (86) Total , (47) The financials exclude revaluation, major impairment and divestments. 16

17 Net Profit & EPS (Excluding Revaluation, Major Impairment and Divestments) 1, Net Profit (S$m) 1,190 1, , ,914 4Q: 305 3Q: 337 2Q: 521 1Q: Q: 346 1Q: EPS (Cents) Q: Q: Q: Q: Q: Q:

18 Net Profit & EPS (Including Revaluation, Major Impairment and Divestments) 1, Net Profit (S$m) 1,540 1, , ,237 4Q: 619 3Q: 346 2Q: 521 1Q: Q: 347 1Q: EPS (Cents) Q: Q: Q: Q: Q: Q:

19 ROE & Dividend Dividend in specie ~20.9cts/share Dividend in specie ~28.6cts/share Dividend in specie ~10.8cts/share Plus Plus Plus 21.8% 22.5% 20.8% 20.8% 22.6% % H13 ROE Annualised ROE Interim Dividend Full-Year Dividend ROE and Annualised ROE exclude revaluation, major impairment and divestments. 19

20 Free Cash Flow 1H 2013 S$m 1H 2012 S$m Operating profit 793 1,556 Depreciation & other non-cash items ,672 Working capital changes (1,461) (1,040) Interest & tax paid (354) (160) Net cash (used in)/from operating activities (895) 472 Investments & capex (676) (584) Divestments & dividend income Net cash used in investing activities (546) (492) Cash outflow (1,441) (20) Dividend paid (614) (631) The financials exclude revaluation, major impairment and divestments. 20

21 21 Business Review & Outlook

22 22 OFFSHORE & MARINE

23 Cementing Confidence Keppel FELS is on track to deliver 20 rigs in Q 2013 new orders of S$1.3b including: DSS TM 38M semi for SOCAR KFELS Super B Class jackup for Falcon Energy KFELS B Class jackup for ENSCO Net orderbook of S$13.1b as at 30 Jun 2013 with deliveries into

24 Delivering Value Deliveries in 2Q 2013: 6 Jackup rigs 1 Semi-Submersible Drilling Tender 1 Drillship upgrade 2 FPSO upgrade/modification and 1 FSO conversion The first KFELS Super A Class jackup was delivered to Discovery Offshore 24

25 25 INFRASTRUCTURE

26 Enhancing Presence Keppel DHCS extending foothold at one-north and Changi Business Park S$80m of contracts secured YTD by Keppel DHCS KMC s 800MW expansion is completed and commissioned, ahead of schedule and within budget Keppel Merlimau Cogen Plant 26

27 Strengthening Networks Combined portfolio of 9 data centres with recent acquisitions: Almere Data Centre, the Netherlands Keppel Datahub 2, Singapore Broke ground for Tianjin Eco-City Distribution Centre Almere Data Centre, the Netherlands Tianjin Eco-City Distribution Centre, China 27

28 28 PROPERTY

29 Sustaining Progress Residential Singapore: about 150 homes sold in 2Q13 Overseas: about 1,180 homes sold in 2Q13 Commercial MBFC Towers 1 & 2 are fully committed, while Tower 3 is about 90% committed Corals at Keppel Bay, Singapore OFC is about 98% committed 29

30 Strategising Growth In Singapore Strategic alliance with Vanke to develop Tanah Merah site Secured well-located residential site in Tiong Bahru In China Keppel Land has 9 projects in Shanghai currently, including 8 Park Avenue (in picture) Acquired a landed residential site in Sheshan, Shanghai 30

31 Growing Fee-Based Business Keppel REIT Acquired 50% stake of prime CBD office building in Melbourne Increased liquidity in Keppel REIT Alpha Alpha Asia Macro Trends Fund II closed at US$1.65b Keppel REIT s latest office acquisition: 8 Exhibition Street, Melbourne 31

32 32 Growing sustainable businesses and creating value to shape the future.

33 33 2Q & 1H 2013 Results Q&A

34 34 Additional Information The financials exclude revaluation, major impairment and divestments.

35 Financial Highlights S$m 2Q Q 2012 % Change Revenue 3,076 3,481 (12) EBITDA (27) Operating Profit (31) Profit Before Tax (24) Net Profit (34) The financials exclude revaluation, major impairment and divestments. 35

36 Revenue by Geography 1H 2013 Total S$m Overseas Customers % Singapore Customers % Offshore & Marine 3, Infrastructure 1, Property Investments Total 5, % of total revenue came from overseas customers 36 36

37 EBITDA by Segments S$m 1H 2013 % 1H 2012 % % Change Offshore & Marine (11) Infrastructure Property (74) Investments (87) Total , (45) 37 37

38 Capital/Gearing/ROE S$m 30 Jun Dec 2012 Shareholders Funds 8,996 9,246 Capital Employed 14,284 13,578 Net Debt 4,711 3,153 Net Gearing Ratio 0.33x 0.23x ROE 14.5% 22.6% 38 38

39 39 OFFSHORE & MARINE

40 Financial Highlights Offshore & Marine S$m 1H H 2012 % Change Revenue 3,520 4,028 (13) EBITDA (11) Operating Profit (13) Profit Before Tax (8) Net Profit (8) 40 40

41 Financial Highlights Offshore & Marine S$m 2Q Q 2012 % Change Revenue 1,818 2,034 (11) EBITDA (3) Operating Profit (4) Profit Before Tax (3) Net Profit (5) 41 41

42 Offshore & Marine Review S$1.3 billion contracts secured in 2Q 2013: 2 Jackups, 1 Semi, 1 Jackup Upgrade, 1 Jackup Integration, 1 Semi Upgrade, and 1 FPSO Repair Major contract completions in 2Q 2013: 6 Jackups, 1 Semi-Submersible Drilling Tender, 1 Drillship Upgrade, and 2 FPSO Upgrade/Modification and 1 FSO Conversion 42 42

43 Offshore & Marine Orderbook Order Balance Clients S$m. For delivery in Jack Ups (JUs)/1 TLWP/2 Semi Upgrades/1 JU Upgrade/ Transocean/Ensco/AOD/GDI/ 1 JU Repair/2 FPSO Conversions/2 FPSO Upgrades/ CP Latina/ADC/Discovery Offshore/ 1 Transformer Platform/1 Floating Dock/1 Diving Support Vessel/ Petrobras/Chevron/Diamond Offshore/ 1 AHT/1 Containership/3 Bulk Carriers/2 Tugs Saipem/Rowan/Stena Drilling/SBM/ Bumi Armada/PTSC Asia Pacific/Wetfeet/ 350 Baku Shipyard/Seaways/OK Tedi/Smit Rebras For delivery in JUs/1 Accomodation Semi/2 Semi Upgrades/1 JU Integration/ Maersk/Ensco/GDI/UMW/Star Drilling/ 1 FPSO Repair/1 FPSO Modules Fab. & Integration/ Perforadora Central/Floatel/Diamond Offshore/ 1 Turret Fabrication/1 Floating Crane/ Ezion/BP/Modec/TOYO/SBM/Asian Lift/ 1 Depletion Compression Platform/1 Diving Support Vessel/3 Tugs 1,677 Shell/Bhagwan Marine/Smit Rebras For delivery in JUs/1 Semi/1 Accomodation Semi/1 FPSO Modules Integration/ Maersk/Pemex/KazMunayGas/Grupo R/ 1 Pipelay Vessel Ensco/Falcon Energy/Setebras/ 4,068 Floatel/Modec/TOYO/McDermott For delivery in Semis/2 FPSO Modules Fab. & Integration 6,961 Setebras/SOCAR/Petrobras TOTAL as at 30 June ,

44 44 INFRASTRUCTURE

45 Financial Highlights - Infrastructure S$m 1H H 2012 % Change Revenue 1,607 1, EBITDA Operating Profit Profit Before Tax Net Profit

46 Financial Highlights - Infrastructure S$m 2Q Q 2012 % Change Revenue EBITDA Operating Profit Profit Before Tax Net Profit

47 47 PROPERTY

48 Financial Highlights - Property S$m 1H H 2012 % Change Revenue 698 2,153 (68) EBITDA (74) Operating Profit (76) Profit Before Tax (65) Net Profit (74) 48 48

49 Financial Highlights - Property S$m 2Q Q 2012 % Change Revenue (37) EBITDA (52) Operating Profit (53) Profit Before Tax (42) Net Profit (63) 49 49

50 50 INVESTMENTS

51 Financial Highlights - Investments S$m 1H H 2012 % Change Revenue (92) EBITDA (87) Operating Profit (87) Profit Before Tax (77) Net Profit (86) 51 51

52 Financial Highlights - Investments S$m 2Q Q 2012 % Change Revenue 8 60 (87) EBITDA (1) 53 NM Operating Profit (1) 53 NM Profit Before Tax (84) Net Profit 7 66 (89) 52 52

53 53 This release may contain forward-looking statements which are subject to risks and uncertainties that could cause actual results to differ materially from such statements. Such risks and uncertainties include industry and economic conditions, competition, and legal, governmental and regulatory changes. The forward-looking statements reflect the current views of Management on future trends and developments.