Thakral Corporation Ltd · SGX:AWI
Thakral — Investor Presentation (March 2024)
23 slides from Thakral's investor presentation, Mar 6, 2024
Slide 1: FY2023 Corporate Presentation: Blueprint for Sustainable Growth
BLUEPRINT FOR SUSTAINABLE GROWTH FY2023 CORPORATE PRESENTATION 6 March 2024
Slide 2: Disclaimer
DISCLAIMER This is a presentation of general information relating to the current activities of Thakral Corporation Ltd (the “Company”). It is given in summary form and does not purport to be complete. This presentation may contain forward-looking statements which are subject to risks and uncertainti
Slide 3: Thakral at a Glance
THAKRAL AT A GLANCE SGX-listed since 1995 Key Businesses S$0.595 S$76.1m Share Price* Market Cap* Lifestyle Investments Attractive Valuation Greater China 6.7% S$1.17 Beauty, fragrance, and lifestyle Dividend Yield^ NAV/Share# brand management Japan Commercial real estate investment Dual Growth Driv
Slide 4: Investments
THAKRAL CORPORATION LTD. INVESTMENTS
Slide 5: GemLife - A Unique Model
GEMLIFE - A UNIQUE MODEL DEVELOPER AND OPERATOR OF OVER-50s LUXURY RESORTS 31.7% 11 9 1,449 Thakral’s stake Communities Occupied Resorts Occupied Homes* *as of 31 Dec 2023 Benefitting from Two Streams of Revenue Extensive footprint across East Australia Australia’s Manufactured Housing Estate (MHE)/
Slide 6: Pipeline to Reach 6,500 Homes
PIPELINE TO REACH 6,500 HOMES GROWING RECURRING REVENUE BASE FROM WEEKLY SITE FEES Growing number of occupied homes leading to higher recurring weekly site fees Target of Average of 290 new 1,449 6,500 homes per annum homes within the 1,088 decade based on current project 870 pipeline 530 290 Suppor
Slide 7: Japan Commercial Buildings
JAPAN COMMERCIAL BUILDINGS FULL OCCUPANCY IN FIVE OUT OF SIX OFFICES IN JAPAN Business Land Area Effective Occupancy Divestment Plans (sqm) Ownership Yotsubashi East Building 525 50% 100% Disposed Osaka Hotel in Yotsubashi Nakano Building 806 50% 100% August 2023 with gains after tax of S$1.7 millio
Slide 8: Lifestyle
Maison Margiela 20S aad aes LIFESTYLE
Slide 9: Beauty & Fragrance
BEAUTY & FRAGRANCE INCREASING CHANNEL FOOTPRINT IN GREATER CHINA TO CAPITALISE ON THE GROWING MARKET Management of Leading Beauty, Fragrance, and Lifestyle Brands with Multi-channel Sales Strategy Multi-brand beauty retailers and Mono-brand stores and counters E-commerce platforms concept stores Chi
Slide 10: Exposure to Beauty Tech via CurrentBody
EXPOSURE TO BEAUTY TECH VIA CURRENTBODY GLOBAL FOOTPRINT IN THE AT-HOME BEAUTY DEVICES SEGMENT 10% > 20 > 100 Own label products under In-country e-commerce CB Skin brand Thakral’s Stake Third-party brands retail stores Expanded our Role from a China Accelerator to a Global Shareholder Share Swap Ex
Slide 11: Exclusive Distributor of DJI
EXCLUSIVE DISTRIBUTOR OF DJI VENTURING INTO THE ENTERPRISE & AGRICULTURE SECTOR DJI is the World’s Largest Drone Manufacturer with >70% Market Share* Thakral is the exclusive distributor in 7 Expanding our regional and sector footprint via acquisition of countries across South Asia Thakral Innovatio
Slide 12: Financial Results
FINANCIAL RESULTS
Slide 13: Income Statement Highlights
INCOME STATEMENT HIGHLIGHTS Increase in profits on the back of multi-segmental growth FY2023 FY2022 YoY (S$’000) (S$’000) Change Key Drivers Revenue 212,269 160,422 +32.3% Improvement in Lifestyle business which made up over 90% of revenue Gross profit 45,902 39,222 +17.0% Gross margin 21.6% 24.4% (
Slide 14: Restructuring in Australia
RESTRUCTURING IN AUSTRALIA RESTRUCTURING OF THAKRAL CAPITAL HOLDINGS AND ITS GROUP OF COMPANIES Key Benefits Key Impacts One-off S$20.4 million incurred 1 Significant cost savings going forward 1 in FY2023 Greater focus on GemLife as our core 2 growth strategy in Australia 2 GemLife stake now at 31.
Slide 15: Revenue Breakdown by Segment
REVENUE BREAKDOWN BY SEGMENT ~94% of FY2023 revenue was contributed by Lifestyle business 160.4 Total Revenue 212.3 Key Takeaways (FY2023 vs FY2022) Lifestyle • Stronger consumer demand S$ mil • 4 new fragrance stores in HK and Macau 198.7 • Robust sales of drones, gimbals, digital action cameras &
Slide 16: Revenue Breakdown by Geography
REVENUE BREAKDOWN BY GEOGRAPHY Growth in key geographies on the back of stronger consumer demand in FY2023 Total Revenue 160.4 212.3 9.6 4.1 8.4 Key Takeaways (FY2023 vs FY2022) 33.3 12.9 S$ mil 5.8 Greater China 15.7 47.9 • Overall recovery in consumer demand 22.8 • New fragrance products launched
Slide 17: Segmental Results Breakdown
SEGMENTAL RESULTS BREAKDOWN Dual factor: Significant growth in both Investment business and Lifestyle business 41.8 Total Segment Results* 55.3 Key Takeaways (FY2023 vs FY2022) 0.4 LIFE (Group) 12.8 • New products, new stores, and recovery (Greater China) +168% • Robust sales of drones, gimbals, di
Slide 18: Balance Sheet Highlights
BALANCE SHEET HIGHLIGHTS 31 DEC 2023 31 DEC 2022 YoY Selected Items Only Key Drivers (S$’000) (S$’000) Change Decreased due to costs for restructuring, Cash and bank balances 11,257 20,058 (43.9%) dividends, etc Joint ventures - 67,678 N.M. Reclassification of GemLife as an associate post-restructur
Slide 19: Attractive Valuation with Strong Growth
ATTRACTIVE VALUATION WITH STRONG GROWTH Trading at 0.5x Price to Book 40 Increasing ROE with strong growth prospects 20 18 35 14.9* 16 1.18 1.17 30 14 12.7 25 12.1 12 P/B 0.5x 20 10 8 14.4* 0.60 15 5.4 6 19.2 18.6 10 4 5 7.7 8.2 2 0 0 NAV/Share (Dec'22) NAV/Share (Dec'23) Share Price FY2020 FY2021 F
Slide 20: High Dividend Yield
HIGH DIVIDEND YIELD Stable dividend track record and share buyback exercise amounting to S$1 million in FY2023 8.2 7.2 7.5 7.4 6.7 5 10 0.5 cents 0 Special Dividend 4 -10 -20 3 -30 4.5 -40 2 4.0 4.0 4.0 -50 3.0 -60 1 -70 0 -80 FY2019 FY2020 FY2021 FY2022 FY2023 Dividend per Share (cents) Dividend Yi
Slide 21: For IR enquiries, please contact
For IR enquiries, please contact [email protected] [email protected] [email protected] [email protected]
Slide 22: Investment Business - Overview
INVESTMENT BUSINESS - OVERVIEW Businesses Geography Structure Over-50s lifestyle resorts development and operation Australia 31.7% associate Commercial real estate investments Japan Pooled investment vehicles Financial backer for residential real estate developments Australia 100% subsidiary Commerc
Slide 23: Lifestyle Business - Overview
LIFESTYLE BUSINESS - OVERVIEW Businesses Sales Geography Structure Management of leading beauty, fragrance and lifestyle brands across e-commerce and offline retail channels, both direct-to- Greater China, Global 100% subsidiary consumer and via key account retailers E-commerce platform for at-home