PT Mega Manunggal Property Tbk · IDX:MMLP
PT Mega Manunggal Property Tbk — Investor Presentation (September 2015)
46 slides from PT Mega Manunggal Property Tbk's investor presentation, September 2015
Slide 1: PT Mega Manunggal Property Tbk September 2015
PT Mega Manunggal Property Tbk September 2015
Slide 2: Disclaimer
Disclaimer PT Mega Manunggal Property Tbk This document is prepared by PT Mega Manunggal Property Tbk and is for distribution only as may be permitted by law. It is not directed to, or intended for distribution to or use by, any person or entity who is a citizen or resident of or located in any loca
Slide 3: Agenda presentation
Agenda presentation PT Mega Manunggal Property Tbk Section Pages 1 Brief profile of MMP 1 2 Review of MMP business 4 3 Investment thesis 9 4 Industry 15 5 Financial review 21 6 Growth Strategy 27 7 Summary of investment consideration 31 8 Appendix 1 Financial Information 32
Slide 4: Brief Profile of MMP
PT Mega Manunggal Property Tbk Section 1 Brief Profile of MMP
Slide 5: Brief profile of PT Mega Manunggal Property Tbk
Brief profile of PT Mega Manunggal Property Tbk PT Mega Manunggal Property Tbk Company background MMP’s shareholder structure (Post IPO) PT Mega Manunggal Property Tbk. (“MMP” or “Company”) was established in 2010. MMP develops, owns and operates logistic properties, with PT Mega Mandiri Hungkan
Slide 6: Company's management
Company’s management PT Mega Manunggal Property Tbk Board of commissioners Hungkang Sutedja Tri Ramadi Nicholas The Abdul Rahim Tahir Debbie Ana Sumargo President Commissioner Vice President Commissioner Independent Independent Commissioner Commissioner Commissioner Board of directors Fernandus Cham
Slide 7: Track record of MMP
Track record of MMP PT Mega Manunggal Property Tbk August 2010 March 2011 April 2012 October 2012 June 2014 Company’s Strategy: MMP was Construction of Construction of Construction of Construction of Acquiring industrial land in established Intirub Business Unilever Mega Intirub Business Intirub B
Slide 8: Review of MMP Business
PT Mega Manunggal Property Tbk Section 2 Review of MMP Business
Slide 9: Location MMP's logistic properties
Location MMP’s logistic properties PT Mega Manunggal Property Tbk Tanjung Marunda Access to Merak Priok Center port and Soekarno Port Industrial estates Lampung Hatta expansion areas (main Airport transportation Jakarta route to Industrial Sumatera) Estate Modern Growing industrial Heavy Bekasi esta
Slide 10: Logistic property profile – Unilever Mega DC
Logistic property profile – Unilever Mega DC PT Mega Manunggal Property Tbk Location : MM2100 industrial estates, West Cikarang, Bekasi Land area : 194.297 m2 Gross floor area : 156.462 m2 NLA : 90.288 m2 Lease period : 10 years, with an option to extend another 10 years Operator : PT Linfox Logisti
Slide 11: Logistic property profile – Li & Fung
Logistic property profile – Li & Fung PT Mega Manunggal Property Tbk Location : M2100 industrial estates, West Cikarang, Bekasi Land area : 34.637 m2 Gross floor area : 21.702 m2 NLA : 21.612 m2 Lease period : 5 years, with option to extend for another 5 years Floor capacity : 6 ton per m2 Ceiling h
Slide 12: Logistic property profile – Intirub Business Park I & II
Logistic property profile – Intirub Busines Park I & II PT Mega Manunggal Property Tbk Intirub Business Park I Location : Halim, East Jakarta Land area : 28.195 m2 Gross floor area : 30.086 m2 (warehouse) + 5.455 m2 (office) NLA : 23.272 m2 (warehouse) + 4.639 m2 (office) Floor capacity : up to 4,5
Slide 13: Property logistic profile – Selayar
Property logistic profile – Selayar PT Mega Manunggal Property Tbk Location : MM2100 industrial estates, West Cikarang, Bekasi Land area : 9.164 m2 Gross floor area : 5.742 m2 NLA : 5.620 m2 Floor capacity : 4 ton per m2 Ceiling height : 9 m (center 13 m) Special specifications : 6 loading doors wit
Slide 14: Investment Thesis
PT Mega Manunggal Property Tbk Section 3 Investment Thesis
Slide 15: Provider of high quality and international standard logistic properties
Provider of high quality and international standard logistic properties PT Mega Manunggal Property Tbk Typical specification from high-performance logistic Warehouse specification properties MMP’s existing logistic properties surpass main criteria and specification for modern logistic Floor capacity
Slide 16: Proven track record in developing and delivering logistic properties
Proven track record in developing and delivering logistic properties PT Mega Manunggal Property Tbk MMP has proven track record in acquiring land and developing logistic properties, which generally takes around 9 to 18 months to complete construction. Growth in NLA in the past 3 years Consistency in
Slide 17: Solid business model
Solid business model PT Mega Manunggal Property Tbk Competitive advantages Operating assets that provide recurring and stable cash flow MMP focus towards developing warehouse with size of Unilever Mega DC Li & Fung 5.000 to 100.000 m2. (operated by Linfox) Built-to-suit tenants that currently co
Slide 18: MMP's logistic properties are located strategically in Indonesia
MMP’s logistic properties are located strategically in Indonesia PT Mega Manunggal Property Tbk Near centre of production and consumption Easy access towards transportation network Easy supply of labour workforce and convenient transportation for employees Provide benefits to tenants in redu
Slide 19: MMP's logistic properties are located closer to consumers
MMP’s logistic properties are located closer to consumers PT Mega Manunggal Property Tbk Located in Java Island that is the centre for industries with the largest industrial estates in Indonesia 1 to 9 JORR I Laut Jawa 10 to 17 JORR II Tanjung Priok Cengkareng Penjaringan 10 Banten Cilincing 11 1 DK
Slide 20: Creating trust among our clients
Creating trust among our clients PT Mega Manunggal Property Tbk Tenant profile of MMP’s logistic properties as of 30 September 2015 Build to Suit Consumption Logistic Service Trading Training Center Bank Consultant 1% 1% 1% 0% 0% Manufacture 6% Multi Tenant Logistic Logistics 29% Consumer 58% Bank T
Slide 21: Industry
PT Mega Manunggal Property Tbk Section 4 Industry
Slide 22: Growing market to support logistic industry
Growing market to support logistic industry PT Mega Manunggal Property Tbk ASEAN continues to be the focus for multinational companies to grow and Indonesia is one of the countries prioritized in the region. Demand for supporting infrastructure including logistic properties is expected to grow along
Slide 23: Indonesia continues to be an attractive target for FDI
Indonesia continues to be an attractive target for FDI PT Mega Manunggal Property Tbk Competitive wages and large domestic market makes Indonesia to be an attractive target for FDI in ASEAN Resilient economy growth and large domestic market are expected to boost investment in Indonesia Low growth, l
Slide 24: Investment support increases in industry property
Investment support increases in industry property PT Mega Manunggal Property Tbk Demand for industrial estate increase along with the growth in FDI and domestic investment. Such has elevated the increase in land prices which inevitably forces companies to allocate their capital efficiently towards p
Slide 25: Asia logistics, industrial yields and rentals
Asia logistics, industrial yields and rentals PT Mega Manunggal Property Tbk Asia logistics / industrial yields by key centres Asia logistics / industrial rentals by key markets 25 12% 12% 10% 10% 10% 20 Yield (%per annum) 8% 8% 15 5% 5% 5% 6% 6% 10 4% 3% 4% 4% 5 2% 2% 0% 0 0% 0% HongkongSingapore T
Slide 26: Asia Logistics / Industrial Rental
Asia Logistics / Industrial Rental PT Mega Manunggal Property Tbk Capitalization rates for logistic properties in Asia The average industrial capitalization rate in Asia fell to an all-time low of 5.8% in 2Q 2012; but edged up again to 7.1% in 1Q 2013, according to statistics provided by RCA. Th
Slide 27: Riding along with the growing E-commerce
Riding along with the growing E-commerce PT Mega Manunggal Property Tbk Increasing middle class income has helped E-commerce sectors growing at 42% CAGR 2012-15 (5-6% GDP Scenario) (7% GDP Scenario) 45 85 110 135 195 180 170 145 2010 2020 E 2030 E 2030 E Below Global Consuming Class Global Consuming
Slide 28: Financial Review
PT Mega Manunggal Property Tbk Section 5 Financial Review
Slide 29: Solid revenues growth
Solid revenues growth PT Mega Manunggal Property Tbk In the past 2 years, MMP has successfully posted a 51,2% CAGR to Rp141,9bn in 2014 supported by growth in NLA and occupancy rate. As of 1H15, our NLA stood at 163.757m2 Development of NLA and Occupancy Rate Each asset contribution towards revenues
Slide 30: Summary of profit and loss comprehensive
Summary of profit and loss comprehensive PT Mega Manunggal Property Tbk Aside from recurring income from leasing its own logistic properties, MMP also has recurring value creation from recognition over increase in fair value of investment properties. Each investment properties that have been complet
Slide 31: Summary of financial position
Summary of financial position PT Mega Manunggal Property Tbk Investment properties that is measured in the fair value is the largest component of asset in the summary of financial position of MMP. From liability side, MMP is currently sourcing its financing from the equity, debt and bank loan. With
Slide 32: Summary of financial position
Summary of financial position PT Mega Manunggal Property Tbk Revenues, Rp bn EBITDA, Rp bn 142 18% 115 8% 51.3% 119 120 52.8% 106 101 92 85 62 49 2012 2013 2014 9M14 9M15 2012 2013 2014 9M14 9M15 Equity, Rp bn Capital expenditure, Rp bn 1,035 2,442 435 283 1.448 233 868 895 706 5 2012 2013 2014 9M14
Slide 33: Key performance matrix
Key performance matrix PT Mega Manunggal Property Tbk 2012 2013 2014 %CAGR 9M14 9M15 %YoY Net Leasable Area, m2 Built to suit 90,288 111,900 111,900 11% 111,900 111,900 0% Multi tenants 27,911 27,911 51,857 36% 46,237 51,857 12% 118,199 139,811 163,757 18% 158,137 163,757 4% Total, m2 Operational me
Slide 34: Revenues breakdown
Revenues breakdown PT Mega Manunggal Property Tbk Revenues breakdown Net leasable composition area As of Sep 2015 Multi Tenants 32% Built to suit 68% Built to suit warehouses account for two third of total revenues Revenue 141.918 IDR Bn 119.486 42.76 120.19 24.44 43.80 6.75 16.21 62.066 10.20 11.47
Slide 35: Growth Strategy
PT Mega Manunggal Property Tbk Section 6 Growth Strategy
Slide 36: Our growth strategies
Our growth strategies PT Mega Manunggal Property Tbk 1 Constructing new logistics properties in strategic location 2 Focus in built to suit property logistic 3 Continue to improve operating efficiency 27
Slide 37: Constructing logistic properties with international standard
1 Constructing logistic properties with international standard PT Mega Manunggal Property Tbk Land acquired Construction permits Warehouse Site identified Estimate opening (downpayment) secured Site 1 √ √ - 4Q2016-Q12017 Site 2 √ √ - N/A Site 3 √ √ - N/A Site 4 √ √ - N/A Site 5 √ - - N/A Site 6 √ -
Slide 38: Focus in built to suit warehouse
2 Focus in built to suit warehouse PT Mega Manunggal Property Tbk Facts MMP has track record complete complex construction Increase Profitability Our capabilities to build high specification warehouses: Increase Recuring Revenue - Superflat floors - Double decker warehouse Results in highe
Slide 39: Continue to improve operating efficiency
3 Continue to improve operating efficiency PT Mega Manunggal Property Tbk Integrated IT platform Reducing cost Investing in operating system to release some of the Outsourcing to support our services including cleaning service, operational bottleneck and to improve our productivity parking etc.
Slide 40: Investment Consideration
PT Mega Manunggal Property Tbk Section 7 Investment Consideration
Slide 41: Investment consideration
Investment consideration PT Mega Manunggal Property Tbk 1 First mover in provider of modern logistic property 2 Provider of high quality logistic property 3 Portfolio of assets that provide stable and recurring cash flow 4 Proven track record in land acquisition and delivery 5 Strategically located
Slide 42: Appendix 1
PT Mega Manunggal Property Tbk Section 6 Appendix 1
Slide 43: Unaudited balance sheet
Unaudited balance sheet PT Mega Manunggal Property Tbk Year to Dec 31, Rp mn 2012 2013 2014 9M14 9M15 % YoY Cash and Equivalents 6,309 6,368 11,311 28,973 816,595 2,718.5% Trade receivables 381 10,457 13,714 13,733 16,890 23.0% Other current assets 81,964 72,054 57,381 68,366 59,602 -12.8% Property
Slide 44: Unaudited profit and loss
Unaudited profit and loss PT Mega Manunggal Property Tbk Year to Dec 31, Rp mn 2012 2013 2014 9M14 9M15 % YoY Revenue 62,066 119,486 141,918 101,567 120,194 18.3% Cost of revenue 3,886 5,940 13,084 7,796 11,865 52.2% Gross profit 58,180 113,546 128,834 93,771 108,329 15.5% G&A 9,340 7,944 14,584 8,8
Slide 45: Unaudited cashflow
Unaudited cashflow PT Mega Manunggal Property Tbk Rp mn 2014 9M15 %Change Cash flow from operating activities Cash Receipt from Customer 154,744 170,411 10% Interest Received 1,046 15,595 1,392% Cash Paid for Operating Expenses and Employees (12,981) (15,052) 16% Payment to Supplier and Others (14,6
Slide 46: Thank you
PT Mega Manunggal Property Tbk End of presentation Thank you
PT Mega Manunggal Property — Investor Presentation (September 2015) on 6ix