Vinhomes Joint Stock Company · HOSE:VHM
Vinhomes Joint Stock — Vinhomes JSC — H1 2020 Earnings Presentation
32 slides from Vinhomes Joint Stock's earnings presentation, Jul 27, 2020
Slide 1: 1H2020 Earnings Presentation
where happiness lives Vinhomes JSC 27 July 2020 1H2020 Earnings Presentation
Slide 2: Disclaimer
Disclaimer Disclaimer IMPORTANT: The information contained herein is preliminary and subject to change without notice, its accuracy is not guaranteed, has not been independently verified and may not contain all material information concerning Vinhomes Joint Stock Company (the “Company”) and its subs
Slide 3: Key Messages
Key Messages Vietnam on path to normalization with Covid-19 largely contained 1 • Lock-down lifted on April 23 with businesses resuming normal operation • Vietnam’s Manufacturing Purchasing Managers’ Index (PMI) bounced to 51.1 in June from 42.7 in May, reflecting steady recovery in economic activit
Slide 4: 2Q2020 and 1H2020 at a Glance
1H2020 at a Glance 2Q2020 and 1H2020 at a Glance 2Q2020 2Q2019 YoY% 1H2020 1H2019 YoY% New Pre-sold and Deposits 17,219 units 13,666 units 26% 22,045 units 19,118 units 15% Secured (1) New Bookings (2) VND 31.0 tn VND 21.1 tn 47% VND 37.4 tn VND 30.9 tn 21% Unbilled Bookings VND 93.0 tn 61.9
Slide 5: COVID-19: Vietnam's Effective Response
1 COVID–19: Vietnam’s Effective Response Vietnam Community Infection Cases vs PMI – Early Action Mitigated Impact of Infection Vietnam Economic Outlook Remains Positive 2020F GDP growth forecasts Swift economic Community infection reopening post 6.0% ````` cases effectively Zero deaths (2) relativel
Slide 6: Moving into 2H2020
Moving into 2H2020 • Pre-sales on-track to achieve retail sales targets for launched projects, with new project Vinhomes Wonder Park scheduled to launch in 4Q (low-rise units) Strong Pre-sales • Bulk sales expected to sustain its strong momentum given the number of projects that are in various stage
Slide 7: 2Q20 Market Updates
where happiness lives 2Q20 Market Updates
Slide 8: Hanoi – Steady Price Growth Supported A Strong Rebound in Q2
Hanoi – Steady Price Growth Supported A Strong Rebound in Q2 Launched units: 5,569 Sold units: 5,089 Launched Units Sold Units +240 +137% QoQ QoQ 14,391 11,673 11,172 10,493 9,185 9,063 9,535 9,390 8,541 8,350 8,561 7,883 8,242 7,361 6,904 7,080 6,507 6,048 6,073 5,569 5,644 5,917 4,969 4,678 4,808
Slide 9: HCMC – Stable Pricing, Yet Low Volume Due to Late Launches
HCMC – Stable Pricing, Yet Low Volume Due to Late Launches Launched units: 1,644 Launched Units Sold Units Sold units: 1,581 -54% -58% yoy yoy 13,072 13,386 9,880 9,552 9,660 9,575 9,0489,649 8,260 7,787 8,250 7,475 7,909 7,222 6,2556,328 6,274 5,924 5,321 5,532 4,4234,124 4,573 4,576 3,606 3,757 1,
Slide 10: Vinhomes' Continued Dominance in Vietnam's Residential Market
Vinhomes’ Continued Dominance in Vietnam’s Residential Market Disclaimer 22% Residential market share in Vietnam 46% Residential market share in Vietnam in the across ALL segments (2016 – 2Q2020) MID-END segment (2019 – 2Q2020) Vinhomes Vinhomes 39% 22% Developer A Developer A Developer B Developer
Slide 11: 2Q20 Operational Updates
where happiness lives 2Q20 Operational Updates
Slide 12: Vinhomes Online as a Complementary Sales Channel
Vinhomes Online as a Complementary Sales Channel Online Sales and Inventory Management Platform On 9 April 2020, Vinhomes officially launched Vinhomes Online(1) – Vinhomes’ e-commerce platform, and started the direct sales channel as part of its initiative to provide a professional, transparent an
Slide 13: Key Marketing Events
Key Marketing Events Vinhomes Ocean Park Launch Vinhomes Grand Park Manhattan Launch Vinhomes Online Launch Recent launches of condominium towers at Kick-off event of the Manhattan Launch From April 9th (launch) to July 18th, the online Vinhomes Ocean Park yielded positive results attended by
Slide 14: Social events for Vinhomes' residents
Social events for Vinhomes’ residents Key Projects Update Vibrant Communities and Abundance of Activities Forming Within Megacities to Attract More Homebuyers Vinhomes Ocean Park Vinhomes Smart City Vinhomes Grand Park Communities boasting unrivalled vibrancy and vigour, with first-rate amenities an
Slide 15: Overview of Launched Projects
Overview of Launched Projects Project Name Vinhomes Ocean Park Vinhomes Smart City Vinhomes Grand Park Others(4) Total NSA (sqm) (1) 3,500,000 2,601,000 3,241,000 4,160,400 47,300 47,000 45,500 Cumulative Units Sold 38,200 29,500 30,300 and Delivered / To Be 28,600 23,200 1,600 Delivered as of 30 Ju
Slide 16: Unrivalled Land Bank in Strategic Locations Forms Pillar of Growth
Unrivalled Land Bank in Strategic Locations Forms Pillar of Growth Land Bank by Site Area Gross development value (2)(3) (mm sqm) ~60% of GDV is attributable to key cities of Hanoi and HCMC Translates to 164mm sqm of residential GFA(1)(2) Others Hanoi: 14% US$15.6 bn 6 Hanoi 32% Hung Yen 19% Quang N
Slide 17: Overview of Projects
Overview of Projects 1 Real Estate for Sale NSA(1) GDV(2) Cumulative Presold Location Effective Stake Launch Delivery Start Delivery End (‘000 sqm) (US$mn) NSA (%)(3) Hanoi 84% - 100% 2019 2019 - 2020 2020 - 2023 5,680 6,230 68.0% HCMC 90.1% 2019 2020 2020 - 2022 3,310 3,460 76.0% Others 99% - 100%
Slide 18: New Project Launches in 2021
New Project Launches in 2021 Vinhomes Dream City (Ocean Park 2) Vinhomes Vu Yen (Hai Phong) Vinhomes Dream City is conveniently located next to Vinhomes Ocean Surrounded by three large rivers, the integrated resort-style development Park and will create a lively suburban community served by a comple
Slide 19: Transformational Projects in the Pipeline
Transformational Projects in the Pipeline Green Ha Long Project Vinhomes Long Beach Can Gio Strategically located to benefit from infrastructure development and Located in the only coastal district of Ho Chi Minh City, situated neatly in economic expansion driven by industrial production and tourism
Slide 20: Financial Highlights 1H2020
where happiness lives Financial Highlights 1H2020
Slide 21: 1H2020 Highlights
1H2020 Highlights Vinhomes Projects (Consolidated) BCC Projects (Equity Accounting) • Total: VND 21.3 tn • Total amount: VND 1.7 tn Revenue from • Key contributors: • Key contributors: 1 Property Sales − VH Ocean Park: VND 10.0 tn − VH Star City: VND 0.7 tn − VH Marina: VND 5.1 tn − VH The Harmony:
Slide 22: Financial Performance 1H2020 vs 1H2019
Financial Performance 1H2020 vs 1H2019 Figures in VND bn 1H2019(1) 1H2020 (1) Change (%) Key Commentary Sale of Inventory Properties (2) 24,965 21,348 -14% Other Revenue 1,771 1,549 -13% Total Revenue 26,736 22,897 -14% Gross Profit 10,576 9,403 -11% % Margin 40% 41% 151 bps • Profit distribution fr
Slide 23: Financial Performance 1H2020 (Vinhomes Projects & BCC Projects)
Financial Performance 1H2020 (Vinhomes Projects & BCC Projects) Summary BCC Project Performance and Reconciliation The Harmony Imperia Thanh Hoa Skylake Figures in VND bn (Hanoi, low-rise) (Hai Phong, low-rise) (Thanh Hoa, Low-rise) (Hanoi, High-rise) Total BCC projects Revenue 628 311 651 145 1,735
Slide 24: 1H2020 Financial Performance Overview
1H2020 Financial Performance Overview Financial Total Revenue (VND bn) Performance Overview Gross Profit and Gross Profit Margin (VND bn) 51,627 46.0% 50.4% 27,456 2,352 191 40.5% 42.1% 38,664 1,114 603 2,079 26,736 22,897 10,576 9,404 816 1,198 574 1,077 15,297 48,162 472 10,061 206 26,662 171 2,25
Slide 25: 1H2020 Financial Performance Overview (adjusted)
1H2020 Financial Performance Overview (adjusted) Financial (VND bn) Performance Overview (adjusted) Total Adjusted Revenue Adjusted Gross Profit and Gross Profit Margin (VND bn) 50.8% 29.9% 54.1% 46.0% 50.4% 38.9% 31.2% 54.2% 45.4% 51.3% 35,281 74,863 67,084 191 2,079 2,352 36,227 35,610 603 16,107
Slide 26: Balance Sheet Overview
Balance Sheet Overview Balance Total Assets Sheet Overview Inventory VND bn VND bn 225,578 61,529 197,241 60,297 80,769 57,686 119,689 36,858 28,486 51,304 139,555 144,809 17,006 6,883 91,203 44,421 31-Dec-17 31-Dec-18 31-Dec-19 30-Jun-20 31-Dec-17 31-Dec-18 31-Dec-19 30-Jun-20 Current Assets Non-cu
Slide 27: Key Credit Metrics
Key Credit Metrics Net Debt(1) / (Total Assets – Cash & Cash Equivalent(2)) Net Debt(1) / Equity 23.8% 56.9% 38.1% 13.6% 19.8% 7.0% 31-Dec-18 31-Dec-19 30-Jun-20 31-Dec-18 31-Dec-19 30-Jun-20 Total Debt / Total Assets Interest Coverage Ratio(3) Times 26.7% 14.3 12.4 18.3% 13.4% 31-Dec-18 31-Dec-19 3
Slide 28: Appendix
where happiness lives Appendix
Slide 29: Continued Support from Customers and Mortgage Lenders
Continued Support from Customers and Mortgage Lenders Proportion of sold units with a mortgage FOREIGN BUYERS(1) MORTGAGES 8% 64% • Projects with high number of sold units with a mortgage were Percentage of Vinhomes Ocean Vinhomes Smart Vinhomes Grand Project Selling points Park City Park foreign bu
Slide 30: Short Lockdown and Robust Domestic Consumption Sets Vietnam in Swift Recovery
Short Lockdown and Robust Domestic Consumption Sets Vietnam in Swift Recovery Vietnam Experienced The Shortest Lockdown Regionally # of weeks Malaysia 24 weeks Thailand 19 weeks Hong Kong SAR 17 weeks Mainland China 16 weeks Philippines 10 weeks Singapore 8 weeks Indonesia 8 weeks Vietnam 3 weeks Ja
Slide 31: Efficient Model Enjoyed by Vietnamese Developers
Efficient Model Enjoyed by Vietnamese Developers Vietnamese Developers on a Good Spot with More Cash Upfront for Development Cost-effective Land Banking and an Efficient Development Model for Vietnamese Developers Singapore Malaysia Thailand Philippines Indonesia Vietnam Typical Asset churn and land
Slide 32: Investor Relations Department
where happiness lives Investor Relations Department Headquarters: No.7, Bang Lang 1, Vinhomes Riverside, Viet Hung Ward, Long Bien District, Hanoi, Vietnam Tel: +84 (24) 3974 9999 ext. 9179 Website: http://ir.vinhomes.vn/en Fax: +84 (24) 3974 8888 E-mail: [email protected]