Pt Mitra Keluarga Karyasehat Tbk · IDX:MIKA
Pt Mitra Keluarga Karyasehat Tbk — Investor Presentation (April 2016)
50 slides from Pt Mitra Keluarga Karyasehat Tbk's investor presentation, April 2016
Slide 1: Mitra Keluarga Company Presentation April 2016
Mitra Keluarga “PT Mitra Kelualae Karyasehat Tbk Company Presentation April 2016
Slide 2: Forward Looking Statement
Forward Looking Statement This presentation has been prepared for informational purposes only by PT Mitra Keluarga Karyasehat Tbk. (“Mitra Keluarga” or the “Company") and solely for use in connection with the release of March 31, 2016 unaudited results of the Company. The information contained in th
Slide 3: Agenda
Agenda Introduction to Mitra Keluarga Investment Highlights Growth Strategies \ Financial Highlights Conclusion Appendix
Slide 4: Introduction to Mitra Keluarga
Mitra Keluarga life.love.laughter. Section 1 Introduction to Mitra Keluarga
Slide 5: One of the Largest Private Hospital Groups in Indonesia with Strong Track Record
One of the Largest Private Hospital Groups in Indonesia with Strong Track Record Leading Indonesian Hospital Group Strong Track Record of Growth and Profitability (— >) (i 2 + Largest private hospital by patient volume” (DRIED) 2015 2009 — 15 CAGR compared to private multi-specialty hospitals Revenu
Slide 6: Focused on Highly Attractive Population Centres in Greater Jakarta and Surabaya
Focused on Highly Attractive Population Centres in Greater Jakarta and Surabaya Located in Areas with Large, Attractive, Captive Population Catchment Areas and Highest Supply of Medical Graduates in Indonesia , ~ , . “ SS, Tegal vo _ © a _ Java oe. v »s . 5 a *s SS (Population: 10 MM (4% of total po
Slide 7: Strong Track Record of Over Years
Strong Track Record of Over 25 Years + Mitra Keluarga Kenjeran + Mitra Keluarga Cikarang + Mitra Keluarga Depok + Mitra Keluarga Gra) Kelapa Gading + Mitra Keluarga Surabaya 2010 Mitra Keluarga Cibubur + Mitra Keluarga Bekasi Barat + Mitra Keluarga Tegal * Mitra Keluarga Waru + Mitra Keluarga Bekasi
Slide 8: Best-in-Class Business Model with Strong Fundamentals
om MitraKeluarga 2 Best-in-Class Business Model with Strong Fundamentals “Mitra Keluarga” branded community hospitals providing comprehensive services Focused on cities with high demand for healthcare services and high supply of doctors Standardized facility designs, operating processes and branding
Slide 9: Investment Highlights
Section 2 Investment Highlights
Slide 10: The Essential Investment Opportunity in Indonesian Healthcare Services Sector
The Essential Investment Opportunity in Indonesian Healthcare Services Sector Leading Hospital Operator with Proven Operational and Financial Track Record Strong and Well Established in Attractive Greater Jakarta and Surabaya Areas Best-in-Class Community Hospitals with Comprehensive General Hospita
Slide 11: Leading Hospital Operator with Proven Operational Track Record
6 Leading Hospital Operator with Proven Operational Track Record ... Strong Patient Volume Growth and Profitability ( > Inpatient Days per Doctor 2015 Outpatient Visits per Doctor 2015 1794 500 1800 as 1500 400 334 324 1227 300 1200 926 900 200 600 100 300 0 0 MIKA Hospital A Hospital B MIKA Hospita
Slide 12: Profitable Operations with Minimal Concentration Risk
6 Profitable Operations with Minimal Concentration Risk Minimal Concen tion Risk with Largest Hospital C buting Only 17% of Revenue ( >) Total Revenue by Hospital (2015) in IDR Bn % of Total 17.2% 14.0% 13.2% 11.9% 10.4% 8.4% 79% 75% 5.3% 2.1% 1.8% Revenue 367 299 283 254 222 179 170 161 113 || | Ke
Slide 13: Strong and Well-Established in Attractive Greater Jakarta and Surabaya Areas
r 2) Strong and Well-Established in Attractive Greater Jakarta and Surabaya Areas Attractive Economic and Demographic Fundamentals of Greater Jakarta and Surabaya Areas... ctive Regions Accounts for 19% of Indonesia's aa No. of Private Multi-Specialty Hospitals in >) Population (2013)... ~~ and 32%
Slide 14: Best-in-Class Community Hospitals with Comprehensive General Hospital Services
e Best-in-Class Community Hospitals with Comprehensive General Hospital Services and Targeted Specialist Services nis ||| FFT Best-in-Class Community Hospitals... (. Strategically located in attractive population catchment areas with captive patient base — Many patients reside within close proximity
Slide 15: Comprehensive Healthcare Services
e Best-in-Class Community Hospitals with Comprehensive General Hospital Services and Targeted Specialist Services ... With Comprehensive Healthcare Services General Services in All Hospital oe Laboratory Pharmacy Emergency Rooms ICU Rooms Radiology USG 4D / 3D O Mitra Keluarga 15
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Slide 17: Successful Growth Track Record Through Expansion of Existing Hospitals and Building New Hospitals
Successful Growth Track Record Through Expansion of Existing Hospitals and Building New Hospitals Rapid Expansion in Last 12 Years ... Our Double-Pronged Strategy : YF ~ No. of Operational Beds o * Demand-driven expansion strategy based on 45 car: & 1,725 careful assessment of needs to ascertain 200
Slide 18: Proven Track Record of Superior Ramp-up in New Hospitals
ra) Proven Track Record of Superior Ramp-up in New Hospitals Cibubur (Opened in 2011) Cikarang (Opened in 2010) Depok (Opened in 2008) No. of Inpatient Days No. of Inpatient Days (No. of Inpatient Days 23,576 25,352 41155 12,903 7,999 a (1) 2011 2014 J 2011 2014 2008” 2014 >) CO Occupancy Rate (%) O
Slide 19: Highly Recognized Brand and Patient Loyalty
© Highly Recognized Brand and Patient Loyalty Highly Recognized Brand Sf Mitra Keluarga + We believe “Mitra Keluarga” brand is associated with high Frost & Sullivan Gold Award Gold Award quality and cost efficient medical services using modern Excellence Award _Local General Hospital Chain Hospital
Slide 20: Proven Ability to Attract and Retain High Quality Healthcare Professionals
6 Proven Ability to Attract and Retain High Quality Healthcare Professionals Effective Recruitment Efforts Long-standing Relationships with Our Doctors r ° Working environment that is conducive to learning given high patient volumes and commitment to technology- enabled working facilities ° Attracti
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Slide 22: Growth Strategies
Section 3 Growth Strategies 22
Slide 23: Growth Strategies
Growth Strategies Develop Greenfield Hospitals in Focus Geographical Areas Increase Patient Volumes Through Capacity Expansion and Recruitment of Medical Professionals Increase Revenue Intensity by Offering More Sophisticated and Complex Services Continue to Improve Operating Efficiency 23
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Slide 25: Increase Patient Volumes Through Capacity Expansion and Recruitment of Medical Professionals
Increase Patient Volumes Through Capacity Expansion and Recruitment of Medical Professionals Current Plans for Expansion of Current Portfolio Generates Solid and Consistent Growth 2014 Beds (1,647 Cikarang Ml 20 Depok 12 Cibubur ms Waru 4 2015 Beds /«“1.681* Bekasi Timur ME 19 Depok mm 21 (+400 beds
Slide 26: Increase Revenue Intensity via More Sophisticated and Complex Medical Offerings
6 Increase Revenue Intensity via More Sophisticated and Complex Medical Offerings Increase Our Capabilities to Manage Complexity + Operating theatres + ICU beds + Intensivists * Critical care nurses * Creating more specialist centres Track Record of Increasing Complexity of Services (No. of ICU / In
Slide 27: Continue to Improve Operating Efficiency
ra) Continue to Improve Operating Efficiency Integrated IT Platform Standardized Procurement * Continue to develop an integrated end-to-end hospital information management system Integrate various network sub-systems, including data and images, outpatient, laboratory, radiology and others by 2018 Im
Slide 28: Financial Highlights
Section 4 Financial Highlights 28
Slide 29: Value Drivers
Value Drivers Revenue Cost of Sales Operating Costs Profitability Cash Flow Salary and employee Drug and medical Inpatient Seaaiies benefits KPIs Existing sites Capex Security and cleaning Salary and employee SORES Outpatient benefits Procurement New services Working capital Post-employment benefits
Slide 30: Key Performance Indicators
Key Performance Indicators 2011A 2012A 3A* 2014A* 2015A 2012-15 CAGR Inpatient 818 992 1,173 1,281 1,383 17% | 409 Outpatient 385 483 569 665 758 16.2% | 216 Total 1,203 1,475 1,742 1,946 2,141 13.2% | 625 No. of Inpatient Days ('000) 317 351 392 382 367 15% 118 No. of Outpatient Visits (000) 1,314
Slide 31: Revenue by Inpatient and Outpatient Services
Revenue by Inpatient and Outpatient Services Revenue (3M16) Outpatient 35% Inpatient 65% Total : IDR625 Bn Others Operating 12% Rooms 6% Inpatient Accommodation 13% Medical Support Services 22% Total : IDR625 Bn Drugs and Medical Supplies 47% Outpatient: 18.4% Inpa ically Account for Tw ds of Total
Slide 32: ROIC: Highly Attractive Returns and Upside in Real Estate Appreciation
ROIC: Highly Attractive Returns and Upside in Real Estate Appreciation ( Return on Invested Capital > (Value of Land Porfolio >) (%) (IDR Bn) 1,815 62.1%) 58.8%) 55.6% 54.9% 47.7% 1,661 b400 wv. @ 2011 2012 2013* 2014* 2015 Book Value Mark-to-Market ° (Sep-14) Value \ J P y, (1) ROIC calculated as (
Slide 33: Cash Flow: Capital Expenditure
Cash Flow: Capital Expenditure Capital Expenditure ((1DR Bn) ~ 400 350 ' 300 ' 256 ' 250 15 205 H 200 166 ; 78 ' 150 ' 100 80 4 50 ' 15 0 — | 2011 2012 2013 2014 2015 ' 3M16 2016F ) m=Construction in progress = Medical Equipment = Office equipment and furniture mLandrights = Building m Other m Forec
Slide 34: Cash Flow: Efficient Working Capital Management
Cash Flow: Efficient Working Capital Management Trade Receivables Days “ Inventory Days @) ((Days) ») ((Days) ») 27 ! ! 24 23 23 ' 22 ' L | ll a 7 A i: [ | [ 2012 2013 2014 2015 | 3M16 2012 2013 2014 2015 | 3Mi6 XQ S / Trade Payables Days ®) Cash Cycle Days") ( ( >) (Days) ») (Days) 4 9 LJ 2012 2013
Slide 35: Offering Structure and Indicative Timetable
Section 5 Offering Structure and Indicative Timetable 35
Slide 36: The Essential Investment Opportunity in Indonesian Healthcare Services Sector
The Essential Investment Opportunity in Indonesian Healthcare Services Sector Leading Hospital Operator with Proven Operational and Financial Track Record Strong and Well Established in Attractive Greater Jakarta and Surabaya Areas Best-in-Class Community Hospitals with Comprehensive General Hospita
Slide 37: Conclusion and Q&A
Section 6 Conclusion and Q&A 37
Slide 38: Unaudited Financial Statement YTD March 2016
Unaudited Financial Statement YTD March 2016 : 31 March 2016 31 December 2015 | , onsolidated Balance Sheets (Unaudited) (Audited) % Change ASSETS CURRENT ASSETS Cash and cash equivalents Trade receivables Third parties - net of allowance for impairment losses of Rp6,229,656,772 as of March 31, 2016
Slide 39: Unaudited Financial Statement YTD March 2016
Unaudited Financial Statement YTD March 2016 : 31 March 2016 31 December 2015 | , onsolidated Balance Sheets (Unaudited) (Audited) % Change LIABILITIES CURRENT LIABILITIES Trade payables Third parties 55,629,091,393 51,442,786,962 8.1% Related parties 18,194,371,442 14,959,090,108 21.6% Other payabl
Slide 40: Unaudited Financial Statement YTD March 2016
Unaudited Financial Statement YTD March 2016 . 31 March 2016 31 December 2015 PB onsolidated Balance Sheets (Unaudited) (Audited) % Change EQUITY Equity attributable to equity holders of the parent entity Share capital - par value of Rp10 per share as of March 31, 2016 and December 31, 2015 Authoriz
Slide 41: Unaudited Financial Statement YTD March 2016
Unaudited Financial Statement YTD March 2016 onsolidated Statement of Income ea eval ene ei Etreln aot % (Unaudited) (Unaudited) Change REVENUES 625,153,016,778 541,289,375,790 15.5% COST OF REVENUES (328,763,142,198) (293,696,227,335) 11.9% % to Revenues -52.6% -54.3% GROSS PROFIT 296,389,874,580 2
Slide 42: Unaudited Financial Statement YTD March 2016
Unaudited Financial Statement YTD March 2016 : 31 March 2016 31 March 2015 5 onsolidated Statement of Income (Unaudited) (Unaudited) % Change INCOME TAX EXPENSE — NET (47,676,691,763) (42,292,878,989) 12.7% % to Revenues -7.6% -7.8% INCOME FOR THE PERIOD 190,838,578,837 151,011,233,774 26.4% % to Re
Slide 43: Unaudited Financial Statement YTD March 2016
Unaudited Financial Statement YTD March 2016 31 March 2015 (Unaudited) 31 March 2016 (Unaudited) % Change onsolidated Statement of Cash Flows CASH FLOWS FROM OPERATING ACTIVITIES Cash receipts from customers 582,899,889,621 520,522,872,753 12.0% Cash paid to suppliers (218,334,429,172) (204,953,497,
Slide 44: Unaudited Financial Statement YTD March 2016
Unaudited Financial Statement YTD March 2016 : 31 March 2016 31 March 2015 ° onsolidated Statement of Cash Flows (Unaudited) (Unaudited) % Change CASH FLOWS FROM FINANCING ACTIVITIES Cash receipts from of Initial Public Offering = 1,209,824,384,688 N/A Net Cash Provided (Used) in Financing Activitie
Slide 45: Hospital Assets: Network of Community Hospitals
Hospital Assets: Network of 12 Community Hospitals Hospital of Operation Bed Capacity Owned Bekasi Barat 1993 272 272 v Kemayoran 1998 166 166 Rent®) Kelapa Gading 2002 167 163 v Bekasi Timur 2004 290 249 v Depok 2008 204 182 vY Cikarang 2010 162 124 v Cibubur 2011 126 126 vY Kalideres 2015 281 60 v
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Slide 47: Service Offerings: Integrated Patient-Focused Services
Service Offerings: Integrated Patient-Focused Services Integrated Service Offerings Provide Maximize Share of Wallet from Seamless Patient Experience Patients 1) Broaden Scope of Services + Access to entire network of specialist services via any entry Captive Patient Base point — Increase revenue th
Slide 48: Sales and Marketing: Tailored Strategies for Maximum Effectiveness
Sales and Marketing: Tailored Strategies for Maximum Effectiveness OPE Patients Covered Patients * Public health services (community outreach) — Health-related seminars / talks at hospitals or corporate offices — Patient support groups — Radio talk shows or magazine activities * Loyalty program (Mit
Slide 49: Indonesia's National Health Insurance (JKN)
Indonesia's National Health Insurance (JKN) LLL Universal Health Coverage to be Achieved by 2019 Impact on Healthcare Services Industry (— \ >) * Commenced roll-out in January 2014 to provide * JKN is expected to increase both public and universal health coverage by 2019 in several private healthcar
Slide 50: Thank You
Thank You PT Mitra Keluarga Karyasehat Tbk Jl. Bukit Gading Raya Kav. 2 Kelapa Gading Permai Jakarta 14240, Indonesia Phone — : (62 21) 45852700 Fax : (62 21) 45852727 E-mail : [email protected] [email protected] Website : www.mitrakeluarga.com 50
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