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Annual Stockholders’ MeetingJune 28, 2019
Began operations
Completion of Gramercy, Knightsbridge, Rio and Santorini n Azure
Completed issuance of stock dividend with stock dividend rate of 20.66%
Opened Century City Mall
Completed maiden offering of PHP 2.7 B Unsecured Fixed Rate Retail Bond
Completion of St. Tropez in Azure
CPGI signed JVA with Mitsubishi Corp. to foray into affordable housing
Completion of Milano, Dettifossand Livingstone in Acqua, and Maui in Azure
CPGI and Mitsubishi Corp launch PhirstPark Hiomes
Completion of Asian Century Center in BGC, Boracay in Azure, OsmeñaEast in Commonwealth, and Iguazu in Acqua
Launched BatulaoArtscapes
Completion of Trump Tower, Roxas East and Quezon North in Commonwealth, and Maldives in Azure
Signed JVA with Mitsubishi Corp. to build Century Diamond Tower
Launched Novotel Suites Manila at Acqua
Completion of Centuria, Niagara and Sutherland in Acqua, and Miami, Positano in Azure and Osmeña West in Commonwealth
Note:(1) Century Properties Management Inc.
(2) East Asia Power Resources Corporation
Completion of Essensa East Forbes
Launched its first large-scale house and lot development
Expanded into large-scale mixed-use developments with Century City
Entered affordable to middle-income segment
CPMI1, the country's first independent real estate property management company, was established
Began development of upscale condominiums
PHP 2.3 B re-IPOselling 1.33 billion shares, increasing free float to 27%
Raised PHP 1.6 B from 800 million shares issued, increasing free float to 33.2%
1986
1989 - 2004
2006 – 2011
2012 – 2013
2018
Completed “backdoor listing” with EAPRC2
2014
2015
20162017
KEY MILESTONES AND DEVELOPMENTS
As of 2018, CPG has completed:
26 out of 37 projects
14,208 out of 23,186 total units
1,303,398 sqm out of 1,788,799 sqm of total
GFA
Issued PHP 1.6 B convertible bond to Dutch pension fund APG 24
3
PHILIPPINE MACROECONOMY
3.00 3.00 3.003.00 3.00 3.003.00 3.00 3.00 3.003.19
3.333.50
4.00
4.50 4.50
4.754.75
2.500
3.000
3.500
4.000
4.500
5.000
Jan
-17
Feb
-17
Ma
r-1
7
Ap
r-1
7
May-…
Jun
-17
Jul-
17
Au
g-17
Sep
-17
Oct
-17
No
v-1
7
De
c-17
Jan
-18
Feb
-18
Ma
r-1
8
Ap
r-1
8
May-…
Jun
-18
Jul-
18
Au
g-18
Sep
-18
Oct
-18
No
v-1
8
De
c-18
BSP Overnight Borrowing Rate (%)
49.750.0
50.3
49.9
49.9
49.9
50.650.9
51.051.3
51.0
50.4
50.5
51.8
52.1 52.1 52.2
53.053.4
53.3
53.9 54.0
52.8
52.8
49
50
51
52
53
54
55
Jan
-17
Feb
-17
Ma
r-1
7
Ap
r-1
7
Ma
y-17
Jun
-17
Jul-
17
Au
g-17
Sep
-17
Oct
-17
No
v-1
7
De
c-17
Jan
-18
Feb
-18
Ma
r-1
8
Ap
r-1
8
Ma
y-18
Jun
-18
Jul-
18
Au
g-18
Sep
-18
Oct
-18
No
v-1
8
De
c-18
Exchage Rate (PHP/USD)
2.5
3.13.13.22.9
2.52.42.6
3.03.13.02.9
3.4
3.8
4.34.54.6
5.2
5.7
6.46.76.7
6.0
5.1
2.0
2.5
3.0
3.5
4.0
4.5
5.0
5.5
6.0
6.5
7.0
Jan
-17
Feb
-17
Ma
r-1
7
Ap
r-1
7
Ma
y-17
Jun
-17
Jul-
17
Au
g-17
Sep
-17
Oct
-17
No
v-1
7
De
c-17
Jan
-18
Feb
-18
Ma
r-1
8
Ap
r-1
8
Ma
y-18
Jun
-18
Jul-
18
Au
g-18
Sep
-18
Oct
-18
No
v-1
8
De
c-18
Inflation Rate (%)
4.4
2.9
3.6
5.0
6.7
4.85.2
6.6
4.2
1.1
7.6
3.7
6.77.1
6.1 6.1
6.96.7
6.2
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
20
00
20
01
20
02
20
03
20
04
20
05
20
06
20
07
20
08
20
09
20
10
20
11
20
12
20
13
20
14
20
15
20
16
20
17
20
18
GDP Growth Rate (%)
4
GROWTH STRATEGY SUPPORTED BY FAVOURABLE MACROECONOMIC ENV’T
UNMET HOUSING NEED AND DEMAND HOUSING BACKLOG BY REGION
CPG’s entry into the affordable housing segment capitalizes on the country’s demand for affordablehousing, which has an estimated backlog of roughly 6.6 million units.
TARGETING HIGH INCOME & HIGH GROWTH
AREAS
535,
546
136,
729
383,
760
314,
163 49
2,30
6
555,
185
251,
041
372,
015
447,
358
435,
939
255,
437
270,
019
278,
906
388,
386
305,
583
219,
221
239,
037
NCR
CAR I II III
IV A
IV B V VI VI
I
VIII IX X XII
XIII
CARA
GA
ARM
M
Housing Backlog by Region
Soc Eco Low Total
Sources: SHDA, HUDCC
Segment
Unmet
Housing
Need,
2001-2015
Estimated
Housing
Demand,
2016-2030
Estimated
Housing
Need by
2030
Can't
Afford 786,984 1,134,986 1,921,970
Socialized 1,275,921 1,369,181 2,645,102
Economic 3,686,429 2,509,718 6,196,147
Low Cost 918,820 611,815 1,530,095
Mid Cost 78,705 78,705
High End 11,767 11,767
Need 6,667,614 5,716,172 12,383,786
Platforms
Products
PRODUCT OFFERINGS
In-City Vertical
Developments
Horizontal
Affordable
Housing
Leisure and
Tourism
Investment
Properties
Mixed-use
development
consisting of
condominium
and
residential
projects
Affordable
high quality
horizontal
projects
Retail mall,
office
buildings,
medical
facilities
Property
management
Exclusive,
specialty
management
and leasing
service
Property
Management
Art park
with
designer
homes and
vacation
amenities
Century Properties Group, Inc. (“CPG”)
5
CPG’s portfolio of product offerings has expanded to other market segments allowing the Companyto diversify its revenue base. This strategic move is now yielding very positive results and we expectto sustain this growth momentum in the coming years
6
VERTICAL DEVELOPMENTS
BUSINESS HIGHLIGHTS
VERTICAL DEVELOPMENTS PORTFOLIO
Century City
• Gramercy
Residences
• Milano Tower
• Trump Tower
• Knightsbridge
Residences
Azure Urban
Residences
• Santorini
• St. Tropez
• Rio
• Positano
• Miami
• Maui
• Maldives
• Boracay
Commonwealth
Acqua Private
Residences
Pampanga
Azure North
• Osmeña West
• Quezon North
• Roxas East
• Osmeña East
• Niagara
• Sutherland
• Dettifoss
• Livingstone
• Iguazu
Makati
Mandaluyong
Quezon City
Parañaque
San Fernando
Completed 3 projects with 77,740 sqm of GFA and 1,185 units in 2018
7
HORIZONTAL AFFORDABLE HOUSING
BUSINESS HIGHLIGHTS
955 housing units
underway
259 Units Completed*
113 units due for
Turn-over
100 homeowners
scheduled for punch
listing
100% Acceptance
on first inspection
* As of December 2018
• JV with Mitsubishi Corporation
• Current Projects:
• Tanza, Cavite
• Townhouse Units and Single
Attach
• Total Planned GLA: 256,514 sq.m
• Lipa, Batangas
• 20 hectare development• 1,867 units valued at ₱2.8 billion
CPG plans to acquire 3-5 sites per year
Affordable segment to contribute at least
30% of Net Income in the next 3 years
8
NEW PROJECTS UNDER AFFORDABLE
HOUSING PLATFORMCapitalizing on the country’s demand for affordable housing, which has an estimated backlog of roughly 6.6 million units, the new joint venture company will pursue the development of projects of scale in key locations outside of Metro Manila under a new brand called PHirst Park Homes.
PHirst Park Homes, Inc* – CPG’s 3rd joint venture project with Mitsubishi Corp
On May 16, 2018, CPG signed of a joint
venture agreement with Mitsubishi
Corporation to establish a new company for
affordable housing called PHirst Park Homes,
Inc.*
Under the terms of the agreement, CPG will
subscribe to 60% and Mitsubishi to 40% of the
authorized capital stock equivalent to P5
billion over the same 5-year horizon.
PHirst Park Homes, Inc. aims to launch about
15 projects within the next 5 years with a
total of roughly 33,000 units. Each site will be
15 to 20 hectares and it is currently in various
stages of land banking. This is equivalent to
around Php 57 B in Project Sales Value, with
capital expenditures estimated at around
Php10 B over the first 5 years.
*The Joint Venture Agreement for PHirst Park Homes, Inc. has secured
clearance from the Philippine Competition Commission.8
9
LEISURE AND TOURISM
BUSINESS HIGHLIGHTS
PORTFOLIO
Eduardo Calma
DESIGNED BY ACCLAIMED LOCAL DESIGNERS
Location: the project is at the southwest portion of
Metro Manila and 17km from Tagaytay City’s
rotunda on the west edge. It is also near the
continuous development along the ridge of Taal
Volcano lake.
Access: The development’s site is lying between
two important roads of the region, namely:
Tagaytay-Nasugbu road and Amuyong Highway.
Elevation: Approximately 550m above sea level.
Climate: Cool mountain weather that drops to 16° C during the cooler months and 24° C during
the warmer months.
Terrain: Highly undulating hills.
CPG launched the first major leisure and tourism
project, Batulao Artscapes. The project will
feature a variety of benefits from water and land
based sports, dining and fine cuisine, beach front
entertainment, dedicated spa areas and
extensive children’s entertainment facilities.
Kenneth Cobonpue
Budji Layug
Budji Layug
10
INVESTMENT PROPERTIES
BUSINESS HIGHLIGHTS
PORTFOLIO
Century City Mall Asian Century Center
133,293
172,796
306,736
2017 2018 2019
CONTINUOUS ROLLOUT
OF LEASING ASSETS
• 32% CAGR on Cumulative Gross Floor Area (sqm) between 2017 and 2019
• Revenues expected to hit ₱2.0 Billion by
2020
Novotel
Suites Manila
2013 2018
Century Diamond
Tower
20192019
Centuria Medical
Makati
2015
Leasing Assets Total GFA
302
353395
92 91
2016 2017 2018 3M 2018 3M 2019
11
PROPERTY MANAGEMENT
NOTABLE PROPERTIES UNDER
MANAGEMENT
BUSINESS HIGHLIGHTS
REVENUES FROM PROPERTY MANAGEMENT
No. of Projects GFA (M sqm)
Residential 21 1,371
Commercial/
Office 25 1,211
TOTAL 46 2,582
CPMI Manages 2.6 Million sqm; 46 Projects
• Pacific Star Building
• Essensa East Forbes
• Trump Tower Manila
• Gramercy Residences
₱ Million
FY 2018 FY 2017 Change % 3M 2019 3M 2018 Change %
TOTAL REVENUES 10,702 6,706 3,996 60% 2,773 2,709 64 2.4%
GROSS PROFIT 4,542 3,391 1,151 34% 1,147 1,150 -4 -0.3%
Gross Margin 42.4% 50.6% -8.1% - 41.4% 42.5% -1.1% -
Operating Expense 3,255 2,964 291 10% 694 846 -152 -18.0%
EBITDA 2,074 1,341 733 55% 620 460 160 34.7%
EBITDA Margin 19.4% 20.0% -0.6% - 22.4% 17.0% 5.4% -
Interest & Financing
Charges594 403 191 47% 107 130 -22 -17.3%
Net Income 1,118 650 468 72% 384 300 84 28.0%
Net Income Margin 10.4% 9.7% 0.8% - 13.9% 11.1% 2.8% -
12
FINANCIAL HIGHLIGHTS
• Full year net income of Php1.1 B, a remarkable 72% growth from Php650 M in 2017• Mainly driven by the completion of 3 residential buildings, an office tower and 259 affordable housing units• NIAT margin improved to 10.4% from 9.7% due to reduction in operating expenses
EPS in 2018 improved to P0.085 from P0.054 in 2017
13
FINANCIAL CONDITION
In ₱ MillionAs of March
2019FY 2018 FY 2017
Total Assets 49,327 49,367 42,556
Total Liabilities 31,089 31,903 26,300
Equity 18,238 17,463 16,256
• Total assets increased by Php6.8 B to Php49.4 B in 2018 • Mainly due to higher cash balance and increase in construction of investment properties
FINANCIAL RATIOS
3M 2019 FY 2018 FY2017
Debt to EBITDA 8.3x 10.0x 12.0x
Return on Equity 8.6% 6.6% 4.1%
BALANCE SHEET
14
SEGMENT REVENUE CONTRIBUTION
Vertical
Development,
93.4%
Investment Properties,
3.4%
Property
Management,
3.2%
FY 2015 FY 2018Horizontal
Affordable
Housing,
10.9%Investment
Properties,
3.8%
Property
Management,
3.7%
Vertical
Development,
81.6%
The goal is to grow CPG’s new allied real estate businesses to have a diversified revenue mix with more sustainable cash flow and recurring income
We are targeting a revenue mix of 1/3 each from Vertical Development, Horizontal Affordable Housing and Leasing Assets
BUSINESS STRATEGY
15
Leverage the Company’s industry leading reputation and
experience in the high rise condominium market to develop
mid-rise condominium projects
Implement expansion outside Metro Manila for affordable
housing projects
Prudent expansion of commercial leasing portfolio to diversify
earnings and generate recurring income
Mixed Use leasing projects in various locations including
Makati City, Quezon City and
Pampanga
Phirst Park Homes Pandi
Phirst Park Homes General Trias
Phirst Park Homes Calamba
Mid-rise residential buildings in the
CBDs and its peripheries in
various locations including Quezon
City, MandaluyongCity and Pampanga
16
NEW PRODUCT LINES FOR GROWTH
Total CAPEX Budget: P30 B in next 3 years
Urban Village
Investment Properties
Horizontal Affordable
Housing
17
LAND BANK
Katipunan, Quezon
City
Novaliches,
Quezon City
San Fernando, Pampanga
Mandaluyong
Batulao
Palawan
Total Land Bank: 250.6 HA*
Calamba, Laguna
Pandi, Bulacan
*This excludes the 2.6 hectares that will be developed in Clark Global City.
CPG is building its land bank to further expand its in-city development projects and its footprint in strategic tourism destinations and provincial growth centers.
Thank You!