2017 Analyst Presentation 06April 2018

Transcription

1 2017 Analyst Presentation 06April 2018

2 AGI Group structure 2

3 Alliance Global Group Inc performance highlights 3

4 4,203 Hotel room keys P181bn Gross debts P561bn Total resources P142bn Consolidated revenues P14.9bn Attributable net income 3% Parent net debt/equity

5 Revenues 22.8 Pre-minority income Attributable profit MEG 6.3 EMP RWM GADC Revenues Profit 5

6 P&L highlights (Pbn) % chg Comments Group revenues % Megaworld % Increased rental; improved project completion. Emperador % Sustained growth in whisky sales; modest brandy sales. Travellers % Lower gaming capacity; hotel/mice operations steady. GADC % 5.8% systemwide SSSG; active store expansion. Others % Group costs/expenses (113.6) (111.0) 2% Megaworld (32.7) (31.6) 3% Steady rise in cost of sales; sharp drop in deferred GP. Emperador (34.8) (31.5) 11% Higher COGS, selling and marketing expenses. Travellers (20.4) (24.1) -15% Drop in casino-related expenses. GADC (23.5) (21.0) 12% Increases in COGS, G&A expenses. Others (2.2) (2.8) 19% Net income to owners % Megaworld % Improving profit mix; higher overall margins. Emperador % Decline in brandy profit, unrealized FX losses. Travellers % Offshoot of 2 June incident; losses from casualty. GADC % Economies of scale. Others Core profit % Net profit margin 10.5% 10.6% -7bps 6

7 P141.8bn 1% P14.9bn 1% 18% 2% 35% 1% 5% 2% 15% 35% 58% 30% MEG EMP RWM GADC Others MEG EMP RWM GADC Others 7

8 E MEG EMP RWM GADC Infracorp AGI continues to allocate heavy capex to invest in the future. This year s planned capex of P80bn will be the highest since 2014, proving its commitment to grow the business. 8

9 MEG EMP (with ELS) RWM GADC Parent & others 12% 10% 8% 6% 4% 2% 0% MEG EMP RWM GADC Parent Group average 2017 group borrowings stood at P181bn, mainly to fund capex across all business segments. 9

10 120 Net debt (cash) (Pbn) Net debt/ equity 0.41x 0.5x x 0.18x 0.34x 0.4x 0.3x 0.2x 0.1x 0.0x x -0.1x x Net debt (cash) Net debt/equity Group net debt/equity in 2017 stood at 0.41x (vs 0.34x in 2016). Parent net debt/equity remained low at 0.03x. 10

11 itownships. Recurring income. Geographical expansion. Diversified product portfolio. Expanding hospitality business. Pursuing infrastructure projects. 11

12 MEG: itownships of the future Uptown Bonifacio McKinley Hill McKinley West ilive. iwork. iplay. iconnect. Mactan Newtown Iloilo Business Park 12

13 E 2019E 2020E E 2019E 2020E MEG: growing the rental segment Office GLA expansion 1,600 (in 000 sqm) 1,400 1,510 1,200 1, , Lifestyle malls GLA expansion 600 (in 000 sqm)

14 MEG: diversifying geographically Real Estate Sales, by location % Provincial 88% Metro Manila % Provincial 73% Metro Manila Residential Project Launches % Provincial 71% Metro Manila 42% Provincial 58% Metro Manila Metro Manila Provincial NCR Batangas Pampanga Iloilo Cavite Bacolod Laguna Cebu Aklan Davao 14

15 GADC: improving QSR penetration Looking to add stores each year 15

16 EMP: increasing share of foreign brands Fundador store at Venice Grand Canal Mall Dalmore flagship store at Uptown Bonifacio 16

17 AGI: expanding hospitality business AGI is the country s largest hotel developer, with the widest selection of wellknown international brands. Target : to bring total hotel room count to 12,000 in the next five years. 17

18 RWM: Launching Grand Wing (Phase 3) 18

19 Infracorp: forays into infrastructure 1.88 km Monorail Project Automated Cable- Propelled Monorail PPP Project with DOTr Connects MRT 3 Guadalupe Station to Uptown Bonifacio

20 Megaworld Corporation 2017 performance highlights

21 townships & integrated lifestyle communities office GLA ( 000 sqm) landbank (has.) lifestyle malls GLA ( 000 sqm) BPO clients 21

22 Total revenues +8% YoY to P50.3bn. Residential revenues +5% to P34.6bn (or 69% of total). Total realised gross profit +12% to P12.7bn, indicating higher completion. Growing share of projects outside of Metro Manila. Rentals +18% to P11.8bn (or 23% of total). Rental income split: office 61% / lifestyle malls 39%. Rental GLA split: office 76% / lifestyle malls 24%. Hotel income +15% to P1.3bn (or 3% of total). Overall margin direction due to improving income mix. Residential gross profit margin at 46%. Rental EBIT margin at 76%. Overall EBIT margin 37% from 35.5%. Attributable net income +13% to P12.8bn. Capex at P49bn, funded through internal cash + debt. Net debt/equity at 0.36x (vs 0.31x in 2016). 22

23 % Q Q Q Q Q Q Q Q Development Rental Hotels Development Rental Hotels % Q Q Q Q Q Q Q Q Development Rental Hotels Development Rental Hotels *Covers residential, rental and hotel operations only. Excludes financial and other income. 16

24 RES, Gross profit (Pbn) Gross profit margin 46% 45% 47% 46% 46% 46% 45% 48% 50% 40% 30% 20% Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 10% Real estate sales Gross profit Gross Profit Margin 0.0 Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 Realised GP - current year Realised GP - prior years Rentals, EBIT (Pbn) 74% 75% 75% 80% EBIT margin 75% 75% 75% 78% Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 Total rentals Rental EBIT EBIT margin 90% 75% 60% 45% 30% 15% 0% Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 Office Commercial 24

25 % Revenue, EBIT (Pbn) 21% 17% 24% 21% 18% EBIT margin 20% 26% 30% 25% 20% 15% 10% 74% 75% 75% 75% 75% 75% 75% 78% 46% 45% 47% 46% 46% 46% 48% 45% 40% 43% 34% 37% 36% 39% 30% 31% 22% 21% 22% 26% 21% 17% 18% 21% 0 Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 Hotel revenues Hotel EBIT EBIT margin 5% Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 Dev't GP margin Rental EBIT margin Hotel EBIT margin Overall EBIT margin x Net debt (cash) (Pbn) -0.08x -0.03x 0.07x 0.22x Net debt/ equity 0.36x 0.31x 0.6x 0.4x 0.2x 0.0x Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q Net debt (cash) Net debt/equity -0.2x 25

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27 Emperador Inc performance highlights

28 Global distribution of in Scotland (4 malt, 1 grain) in the Philippines nationwide in Toledo, Madrid & Jerez 28

29 Consolidated revenues +4% to P42.6bn. Brandy revenues +3% to P30.7bn (or 71% of total). Brandy sales +3% boosted by 7% improvement in sales in Q417. New products Hotshots and Smirnoff Mule continued to gain market acceptance. Whisky revenues +7% to P12.3bn (or 29% of total). Whisky sales +7% driven by 23% jump in Q417 sales. Dalmore, Jura and Shackleton enjoyed brisk sales in Asia, US and Middle East. Higher COGS, selling/marketing expenses pulled overall margin. GP margin to 35% from 37%. Brandy GP margin to 35% from 40%; Whisky GP margin to 30% from 28%. Operating income margin to 21% from 25%. Net profit margin to 15% from 19%. Net income -18% to P6.3bn weighed by hefty unrealized FX losses. Capex stood at P6.6bn, inclusive of acquisition of Mexican assets. Net debt/equity at 0.49x (vs 0.37x in 2016). 29

30 % Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 Brandy Whisky FY16 Brandy FY17 Whisky [VALUE] % Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 Brandy Whisky FY16 Brandy FY17 Whisky 30

31 % Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 Brandy Whisky FY16 Brandy FY17 Whisky % Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 Brandy Whisky FY16 Brandy FY17 Whisky 31

32 % Sales, GP (Pbn) 40% 39% 48% 35% 34% GP margin 38% 31% Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 Brandy sales Gross profit GP margin 50% 45% 40% 35% 30% 25% 20% 15% 10% Sales, GP (Pbn) GP margin 45% 28% 35% 29% 28% 29% 25% 28% 26% 35% 25% 15% 5% -5% Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 Whisky sales Gross profit GP margin 45% 37% 38% 35% 34% 31% 33% 30% 29% 31% 27% 28% 22% 25% 24% 24% 23% 21% 22% 20% 22% 21% 22% 22% 19% 20% 16% 16% 17% 18% 13% 12% Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 GP margin EBITDA margin EBIT margin Net income margin x Net debt (cash), Pbn -0.5x -0.8x -0.1x -0.0x Net debt/ equity 0.5x 0.4x Net debt (cash) Net debt/equity 0.7x 0.4x 0.1x -0.2x -0.5x -0.8x 32

33 First concept store of VENICE GRAND CANAL MALL, MCKINLEY HILL Offers innovative selection of hot,cold, and ice blended beverages, cupcakes, and gelato

34 Travellers International Hotel Group Inc performance highlights 34

35 HOTEL OCCUPANCY TOTAL RESOURCES MGB CAPACITY EBITDA HOTEL ROOMS GROSS REVENUES GAMING TABLES RETAIL OUTLETS SQM RETAIL SPACE SLOTS 35

36 Net revenues -23% to P19.2bn due to the June 2 incident. GGR -28% to P17.1bn but gaming volumes have recovered in Q417. Non-gaming revenues +5% to P4.0bn with steady hotel and MICE operations. Hotel room occupancy rates averaged at 79%. Average daily visitors have picked up to 27k in Q417 from 23k trough in Q317. EBITDA stood at P3.5bn from P6.4bn in Margin direction GP margin 48% from 53% EBITDA margin 16% from 23% EBIT margin 7% from 17% due mainly to lower gaming capacity. Reported profit at P251m; core profit at P682m after adding back P430m in losses from casualty. Net debt/equity at 0.47x vs 0.19x in 2016 as borrowings rose to fund P10.6bn in capex. 36

37 % Q Q Q Q Q Q Q Q Gross gaming Non-gaming Gross gaming Non-gaming % Q Q Q Q Q Q Q Q Mass VIP Mass VIP 37

38 EBITDA (Pbn) Margin 26% 21% 22% 23% 22% 16% 16% 9% Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 30% 25% 20% 15% 10% 5% EBITDA (Pbn) Margin 23% 16% % 20% 15% 10% 5% EBITDA (Pbn) EBITDA margin EBITDA (Pbn) EBITDA margin Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q Net debt (cash) (Pbn) 0.11x -0.24x -0.11x 0.05x Net debt/ equity 0.19x 0.47x x 0.4x 0.2x 0.0x -0.2x -0.4x Old monitoring MGB + Remington Net debt (cash) Net debt/equity 38

39 Manila s Newest Acoustic Hot Spot taking you to a world of live acoustic music as you chill out and enjoy good food and drinks.

40 Golden Arches Development Corporation 2017 performance highlights

41 SYSTEMWIDE SAME- STORE SALES GROWTH STORES COMPANY -OWNED DESSERT CENTERS STORES WITH DRIVE THRU FRANCHISED MCDELIVERY HUBS SALES REVENUES GP MARGIN TOTAL RESOURCES EBITDA 41

42 Sales revenues sustained growth of 13% to P25.5bn. Sales by company-owned stores (90% share): +12% to P23.0bn. Rent, royalty & others (10% share): +18% to P2.5bn. Systemwide same-store sales grew by 5.8% vs 7.4% in Number of stores by year-end: 566 vs 520 in Average sales per store +5% YoY. Margin direction benefitting from economies of scale. GP margin 24%. EBITDA margin 14.7% from 13.5%. EBIT margin 10.1% from 8.6%. Net profit margin 6.5% from 5.5%. Net income +33% to P1.6bn. Net cash position more than doubled. 42

43 % Q Q Q Q Q Q Q Q Sales by co-operated restaurants Rent, royalty & others Sales by co-operated restaurants Rent, royalty & others Revenues, GP (Pbn) 21% 23% 23% 28% Gross profit margin 23% 22% 24% 27% 30% 25% 20% 15% 10% 0% Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 Sales revenues Gross profit Gross profit margin 5% Revenues, GP (Pbn) 24% 24% Gross profit margin 25% 24% 23% 22% 21% 20% Sales revenues Gross profit Gross profit margin 43

44 % 4% EBIT, Net income (Pbn) 8% 9% 5% 6% 11% 7% 8% 8% 5% 5% EBIT, Net margin 10% 6% 14% 9% Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 15% 12% EBIT Net income EBIT margin Net profit margin 9% 6% 3% 0% EBIT, Profit (Pbn) 9% 10% 5% 6% EBIT, Net margin 12% 10% EBIT Net income EBIT margin Net profit margin 8% 6% 4% 2% 0% 28% 27% 23% 23% 23% 22% 24% 21% 19% 15% 13% 14% 13% 13% 13% 14% 11% 11% 8% 9% 8% 8% 10% 9% 6% 5% 6% 7% 4% 5% 5% 6% Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q Net debt (cash) (Pbn) -0.17x -0.08x 0.04x -0.03x -0.19x Net debt/ equity -0.52x x -0.1x -0.3x -0.5x -0.7x Gross profit EBITDA EBIT Net profit Net debt (cash) Net debt/equity 44

45 14% 12% 10% 8% 6% 4% 2% 0% 7.2% 7.2% 12.6% 9.9% 6.8% 7.7% 7.4% 3.5% 5.3% 5.2% 5.3% 5.2% 6.8% 5.9% 5.8% 5.8% Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 SSSG Quarterly SSSG end-of-period Systemwide sales Pbn) Sales per store (Pm) Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417 Systemwide sales (Pbn) 21 Sales per store (Pm) Systemwide sales (Pbn) Number of stores Systemwide sales (Pbn) No. of stores NCR Luzon Visayas Mindanao 45

46 CROWN CLUB HEEL 46

47 Thank you. 47