Singapore Post Ltd. · SGX:S08
Singapore Post — FY2003/04 Earnings Presentation
27 slides from Singapore Post's earnings presentation, May 4, 2004
Slide 1: Singapore Post Limited FY03/04 Final Results
Singapore Post Limited FY03/04 Final Results 4 May 2004
Slide 2: Disclaimer
Disclaimer The following presentation contains forward looking statements by the management of Singapore Post Limited ("SingPost"), relating to financial trends for future periods, compared to the results for previous periods. Some of the statements contained in this presentation that are not histor
Slide 3: Overview & Outlook
Overview & Outlook William Tan Soo Hock Chief Executive Officer 2
Slide 4: Agenda
Agenda Performance Highlights Financial & Operational Highlights Dividends Outlook Financial Results Presentation by CFO Celine Ho Q&A Session 3
Slide 5: Performance Highlights
Performance Highlights Core business stable after SARS-impacted Q1 Full-year revenue down only 1.3% to $368.2 million Net profit lower by 4% at $104.3 million Strong operating cash flow supports dividend payout 4
Slide 6: Financial Highlights: Profit & Loss
Financial Highlights Profit & Loss Highlights Year-end 31 March ($ million) FY03/04 FY02/03 Change Operating Revenue 368.2 373.0 1.3% Other Operating Income 17.1 21.1 19.1% Operating Expenses (256.3) (259.1) 1.1% Operating Profit 128.9 135.0 4.5% Share of Results from Assoc & JVs 10.5 10.0 5.4% Net
Slide 7: Financial Highlights: Operating Revenue
Financial Highlights Operating Revenue $m 380.9 371.2 373.0 368.2 400 349.6 350 300 250 200 150 100 50 0 FY99/00 FY00/01 FY01/02 FY02/03 FY03/04 6
Slide 8: Financial Highlights: Net Profit
Financial Highlights Net Profit $m 113.2 120 108.7 102.2 101.3 104.3 100 80 60 40 20 0 FY99/00 FY00/01 FY01/02 FY02/03 FY03/04 7
Slide 9: Financial Highlights: Balance Sheet
Financial Highlights Balance Sheet Highlights ($ million) FY03/04 FY02/03 Current Assets 128.6 149.6 Non-Current Assets 643.7 678.7 Total Assets 772.3 828.3 Current Liabilities 144.1 359.4 Non-Current Liabilities 325.2 150.7 Total Liabilities 469.3 510.1 Net Assets 303.0 318.2 8
Slide 10: Financial Indicators
Financial Indicators Key Financial Indicators FY03/04 FY02/03 Basic Earnings per Share (cents) 5.49 5.72 Net Asset per Share (cents) 15.8 16.6 Net Gearing 1 67.1% 1.9% ROE 2 33.8% 23.6% Notes: 1 Total Debt less Cash & Cash Equivalents / Shareholders’ Equity 2 Return on average shareholders’ equity 9
Slide 11: Productivity Indicators
Productivity Indicators Mail Productivity FY03/04 FY02/03 Change Avg. Mail Items Delivered per Postman 2,781 2,736 45 Avg. Mail Items Processed per Processing Officer 5,477 5,397 80 Average No. of Employees 2,234 2,235 - Avg. Mail Items Delivered per Postman* Mail Items Processed per Processing Offi
Slide 12: Dividends
Dividends Interim dividend paid in January 2004 Final net dividend of 2.1 cents – for total of 4.2 cents as intended Strong operating cash flow to support intended dividends Policy – to maintain & potentially increase dividend levels 11
Slide 13: Outlook for FY04/05
Outlook for FY04/05 Core business performance to remain stable Continue to pursue initiatives to grow core business Financial Services to be prudently pursued Actively looking at measures to enhance property yields 12
Slide 14: FY03/04 Financial Results Presentation
FY03/04 Financial Results Presentation Celine Ho Chief Financial Officer 13
Slide 15: Financial Summary
Financial Summary ($ million) FY03/04 FY02/03 Change Operating Revenue 368.2 373.0 1.3% 1) Lower rental yields 2) Crosby House – loss of Other Operating Income 17.1 21.1 19.1% rental income & gain on disposal in previous year Operating Expenses (256.3) (259.1) 1.1% Operating Profit 128.9 135.0 4.5%
Slide 16: Operating Revenue Quarterly Trend
Financial Highlights Operating Revenue Quarterly Trend 3.7% 2.3% 0.7% 1.6% $m 98.1 100 97.4 92.5 92.5 91.4 91.1 89.0 89.2 90 80 FY02/03 FY03/04 70 60 Q1 Q2 Q3 Q4 15
Slide 17: Operating Revenue Overview
Operating Revenue Overview Operating Revenue Breakdown FY02/03 FY03/04 $373.0m $368.2m Others Others Retail $6.8m (1.8% ) Retail $6.7m (1.8% ) $22.6m (6.1% ) $22.7m (6.2% ) Logistics Logistics $48.1m $49.6m (12.9% ) (13.5% ) Mail Mail $295.5m $289.1m (79.2% ) (78.5% ) Note: Excluding inter-segment r
Slide 18: Segmental Overview – Operating Profit
Segmental Overview – Operating Profit Operating Profit Breakdown $m $135.0 m $128.9 m $15.7m (11.6%) 140 $10.2m (7.9%) $6.7m (5.0%) $7.2m (5.6%) 120 $5.9m (4.4%) $5.9m (4.5%) 100 Others 80 $106.7m $105.7m (82.0%) Retail (79.0%) Logistics 60 Mail 40 20 0 FY02/03 FY03/04 17
Slide 19: Segmental Operating Revenue – Mail
Segmental Operating Revenue – Mail Mail Revenue Breakdown $295.6m $289.6m $m $188.4m $187.9m 200 150 $93.7m $89.3m Domestic Mail 100 International Mail Hybrid Mail 50 $13.5m $12.4m 0 FY02/03 FY03/04 18
Slide 20: Domestic Mail Traffic
Domestic Mail Traffic Domestic Mail Volume (Million of items) FY03/04 FY02/03 Change Total Domestic Mail Volume 719.3 701.1 2.6% ♦ Public Mail (stamped & franked) 177.3 181.1 2.1% ♦ Bulk Mail: - 542.1 519.9 4.3 z Government & Business Mail 208.4 216.5 3.7 z Publications & Direct Mail 333.7 303.4 10.
Slide 21: Segmental Operating Revenue – Logistics
Segmental Operating Revenue – Logistics Logistics Revenue Breakdown $m 60 $48.3m $49.9m 50 $45.2m $43.4m 40 30 Speedpost 20 Warehousing, Fulfilment & 10 $4.9m $4.7m Distribution 0 FY02/03 FY03/04 20
Slide 22: Segmental Operating Revenue – Retail
Segmental Operating Revenue – Retail Retail Revenue Breakdown $m $44.1m $43.7m 30 $22.6m $22.7m $21.5m $21.0m 20 Agency Services Inter-segment revenue 10 0 FY02/03 FY03/04 21
Slide 23: Group Operating Expenses
Group Operating Expenses Group Operating Expenses Breakdown ($ million) FY03/04 FY02/03 Change Staff Costs 75.8 74.5 1.8% Depreciation 33.7 37.6 10.4% Traffic and Related Expenses 78.6 81.1 3.0% General Administrative 68.2 66.0 3.4% and Others Total Operating Expenses 256.3 259.1 1.1% FY03/04 Breakd
Slide 24: Profit Margins
Profit Margins Operating and Net Profit Margins 40% 35% 36.2% 35.0% Operating profit margin (incl. Other Operating Income) 34.9% 30.4% 30.7% 31.0% Core operating profit margin (i.e. Mail, Logistics and Retail) 30% 28.3% Net profit margin 29.1% 26.6% 25% FY01/02 FY02/03 FY03/04 Segmental Operating Pr
Slide 25: Capital Expenditure
Capital Expenditure $m 15 $12.2m $7.8m 10 5 0 FY02/03 FY03/04 24
Slide 26: Consolidated Cash Flow
Consolidated Cash Flow ($ million) FY03/04 FY02/03 Net Cash Inflow from Operating Activities 121.7 112.7 Net Cash Inflow from Investing Activities 9.1 23.1 Net Cash Outflow from Financing Activities (146.3) (150.0) Net Decrease in Cash and Cash (15.5) (14.3) Equivalents held Cash and Cash Equivalent
Slide 27: Question & Answer Session
Question & Answer Session ge We make it our business to deliver