Kuwait Projects Company Holding (K.S.C.P.) · KSE:KPROJ
Kuwait Projects Company Holding (K.S.C.P.) — Kuwait Projects Company Holding (KIPCO) — Investor Presentation (June 2020)
21 slides from Kuwait Projects Company Holding (K.S.C.P.)'s investor presentation, June 2020
Slide 1: Investor Presentation June 2020
Investor Presentation June 2020 1
Slide 2: Disclaimer
Disclaimer This presentation is not an offer or invitation to subscribe to or purchase any securities. No warranty is given as to the accuracy or completeness of the information in this presentation. You must make your own independent investigation and appraisal of the business and financial conditi
Slide 3: KIPCO Group
KIPCO Group 3
Slide 4: 2019 results
2019 results In KD mn 2018 2019 Growth REVENUE 774 766 -1% NET PROFIT 28 30 6% 4
Slide 5: Successful completion of rights issue
Successful completion of rights issue 17% US$314mn oversubscription (KD95mn) in equity @210 fils per share 5
Slide 6: Landmark bond transaction
Landmark bond transaction 7 years tenure Largest ever demand Oversubscribed by Lowest ever coupon Interest cost savings Execution speed (annualized) Diversified investor demand spread across Asia, ME, Europe and US offshore 6 * Represents debt maturity as on September 30, 2019 after including the is
Slide 7: Key Group Companies
Key Group Companies 7
Slide 8: Performance highlights
Performance highlights ▪ Net Profit growth of 3% ▪ Issued US$ 500 million in Perpetual Tier 1 Capital Securities with a yield of 5.75% Demand Initiators ▪ Strong capital adequacy: 17%; stable asset quality: 2.1% NPA ▪ Net profit growth of 12%; gross premium written growth of 8% ▪ Afya continues for
Slide 9: Performance highlights cont'd
Performance highlights cont’d ▪ Revenue growth of 10% Demand Initiators ▪ Revaluation losses impacted financial performance ▪ Revenue growth of 13%1 ▪ Acquired 60% stake in Jassim Transport Company in June 2019 Demand Initiators ▪ Moving into petrochemical upstreaming projects with good potential ▪
Slide 10: OSN Update
OSN Update Larger reach ▪ Ability to deliver product to all 25 countries in the region through OTT No one does ▪ Exclusive DTH & OTT content rights in the 1st pay window content like ▪ Original Arabic Production in progress OSN OTT platform ▪ Rebranded OTT now with Disney+ starting April 2020; bette
Slide 11: Looking ahead 2020
Looking ahead 2020 11
Slide 12: Outlook
Outlook Global impact of Corona virus unknown as yet ▪ Significant and Evolving Oil price impact in 2020 ▪ 2020 average forecast: US$391; 2019 average: US$642 ▪ Spot Brent price (3 June 2020): US$392 12 1 Average 2020 forecast as per Bloomberg 2 Per barrel as per Bloomberg
Slide 13: COVID-19 impact management
COVID-19 impact management 1 During crisis: • Business to serve customers & minimize financial impact. 2 After crisis: • Ensure operational readiness to capture market opportunities. 13
Slide 14: Initial observations on 2020 profit
Initial observations on 2020 profit Insurance • Stable picture in core business - Lower claims offset by slower revenue growth • Investment book performance hard to predict due to market volatility Media • Outperforming budget in first 5 months • Increased customer usage and lower churn • New sales
Slide 15: Initial observations on 2020 profit cont'd
Initial observations on 2020 profit cont’d Banking • Uncertainty in loan book quality will remain • Investment book performance hard to predict due to market volatility • Regulatory directives uncertain Real estate and hospitality • Fundamental matters effecting sector such as: • Population size • T
Slide 16: Initial observations on 2020 profit cont'd
Initial observations on 2020 profit cont’d Petrochemicals • Oil price level for rest of the year will impact profitability All businesses • Adapting to working from home - Group staff has risen to the occasion • Execution constraints on new initiatives being faced with vendors 16
Slide 17: Thank you
Thank you ] GL sy iy BURGAN BANK A ons Ayla a aig a LAI ay ‘O) United Gulf Holding Company esc. nail helms, United Industrios Company
Slide 18: Beginning digital journeys
Beginning digital journeys 18
Slide 19: Burgan Bank: New online banking app
Burgan Bank: New online banking app Easy to Use Multiple integrations Quick Pay Latest security features More to follow…. Strong 5 4 App 3 rating* 2 665 total 1 19 *Source: Google Play Store (03 June 2020)
Slide 20: OSN: Streaming App Rebranded; Now with Disney+
OSN: Streaming App Rebranded; Now with Disney+ 4.4, 10.3k Ratings 4.0, 15k Ratings 4.4, 2.5k Ratings 8.7 6.3 9.3 7.0 8.3 8.4 7.8 9.5 Ratings 20 Source: Apple App Store; IMDb Ratings (10 June 2020)
Slide 21: GIG: Investing in digital products & distribution channel
GIG: Investing in digital products & distribution channel Enhanced website (UI / UX); GIG Web Portal Invested in YallaCompare to strengthen digital distribution channels Distribution Claims Assessment Digital TPA Digital Group CRM & Analytics Motor Telematics Operations Products & Employee Services
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