WELCOME TO OUR WORLD OF HOSPITALITY

Transcription

1 WELCOME TO OUR WORLD OF HOSPITALITY M Social Auckland (opening Oct 2017) MILLENNIUM & COPTHORNE HOTELS PLC HALF YEAR 2017 RESULTS PRESENTATION 04 th AUGUST 2017 Millennium Hilton New York One UN Plaza

2 Introduction Kwek Leng Beng, Chairman Hudson Theatre

3 H HIGHLIGHTS m H H % Change Revenue % - at constant rates % Profit before tax % - at constant rates % Net Assets (vs Dec 2016) 3,164 3,170 (0.2%) Basic EPS 12.8p 9.3p 37.6% Interim Ordinary dividend per share 2.08p 2.08p -

4 FINANCIAL REVIEW Kok-Kee Chong, Chief Financial Officer Millennium Hilton New York One UN Plaza

5 TOTAL REVENUE REVENUE GROWTH OF 16.0% m REVENUE H116 to H (2) Revenue H Hotel REIT Property Forex impact Revenue H Revenue at reported rate is up 67m or 16.0%. Revenue at constant rate is up 20m or 4.3%. Hotel revenues have increased 18m at constant currency. Like-for-like hotel revenue is flat in constant currency. REIT revenues are down by 2m. Property revenues are up by 4m at constant currency largely due to contribution of NZ land bank sales. The weakening of the pound sterling is having a positive translation forex impact of 47m on our overseas income streams.

6 HOTEL REVENUE HOTEL REVENUE GROWTH OF 15.5% m Hotel Revenue H116 to H (3) Hotel revenue H GM Auckland One UN Middle East Underlying Forex impact Hotel revenue H Grand Millennium Auckland was added to the Australasian hotel portfolio in Sep One UN New York has been closed for refurbishment during 2016 (Nov15 to Sep16). Full six months trading in Underlying revenues at constant rates are up 4m. The weaker pound sterling had a positive translation forex impact on overseas income streams. Excluding forex impact, hotel revenues are up 18m (4.5%). Middle East hotels management agreement changed to a franchise agreement with effect from 01 st Jan 2017.

7 OPERATING PROFIT AND PROFIT BEFORE TAX OPERATING PROFIT UP 16.9% PBT UP 12.5% m Operating Profit H116 to H Op Profit H Hotels REIT & Property (7) 10 6 (5) Central costs Other Inc Impairment Forex Op Profit H Operating profit is up 16.9% from 2016 in reported rate. At constant rate it is up 6.1%. The main factors being other income followed by Forex and hotel profit. Hotel operating profit is up 5m, the main factor being Grand Millennium Auckland. Positive property movement of 4m. REIT movement was negative 3m. m PBT H116 to H PBT H Operating Profit Share of JV/Associates (4) Net Finance cost 6 Forex Impact 63 PBT H1 2017

8 OPERATING PROFIT AND PROFIT BEFORE TAX OPERATING PROFIT UP 16.9% m Operating Profit H116 to H Op Profit H Hotels REIT & Property (7) 10 6 (4) Central costs Other Inc Impairment Forex Op Profit H Operating Profit is up 16.9% from 2016 in reported rate. At constant rate it is up 6.8%. The main factors being Other Income followed by Forex impact and Hotel. Hotel operating profit is up 5m, the main factor being Grand Millennium Auckland contributing 6.1m. Positive Property movement of 4m cancels the negative REIT movement m PBT H116 to H PBT H Operating Profit Share of JV/Associates (4) Net Finance cost 6 Forex Impact 63 PBT H1 2017

9 BUSINESS REVIEW Tan Kian Seng, Interim Group CEO Orchard Hotel Singapore Hua Ting (artist illustration)

10 REGIONAL REVPAR TRENDS GROUP REVPAR UP 4.9% AT CONSTANT RATES New York: Excl One UN, the RevPAR increase is only 1.0%. London: All London hotels experienced RevPAR increase. Recently refurbished Bailey s enjoyed double digit growth in RevPAR. 10.7% (0.7%) % Singapore: RevPAR down due to reduced room rates % (1.1%) * Restated at H rates Rest of Asia: RevPAR down in most hotels. Double digit drop in RevPAR at Seoul. (5.9%) H1 2016* H % London Rest of Europe New York Regional US Singapore Rest of Asia Australasia Rest of Europe: RevPAR declined in Paris hotels due ongoing terror alerts affecting visitor numbers. Rome occupancy down. Regional US: RevPAR up in most hotels, especially in recently refurbished properties. Australasia: Excl Grand Millennium Auckland, the RevPAR increase is 8.2%. Growth is driven by increased overseas visitors. * Restated at 2017 rates

11 THANK YOU M Social Auckland (opening Oct 2017) This presentation contains certain statements that are or may be forward-looking with respect to the financial condition, results or operations and business of Millennium & Copthorne Hotels plc. By their nature forward-looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future. There are a number of factors that could cause actual results and developments to differ materially from those expressed or implied by such forward-looking statements. Undue reliance should not be placed on forward looking statements which speak only as of the date of this document. The Group accepts no obligation to publicly revise or update these forward-looking statements or adjust them to future events or developments, whether as a result of new information, future events or otherwise, except to the extent legally required.