Investor Q U Ar Terly Upd a Te 20 1 9 Report 01
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INVESTOR UPDATE 2019 UPDATE QUARTERLY REPORT 01 1 PPB GROUP BERHAD (8167-W) Investor Update Quarterly Report 01 / 31 March 2019 2 FROM THE DESK OF THE CHAIRMAN DEAR SHAREHOLDERS FINANCIAL SUMMARY FOR THE 1ST QUARTER OF 2019 e are pleased to report that PPB Group’s revenue of RM1.16 billion was 1% GSC also launched its third 4DX theatre at GSC IOI City higher compared to 1Q2018. Mall on 27 March 2019. 4DX is the world’s leading 4D The Group registered a cinematic technology, delivering an immersive experience Wpre-tax profit of RM280 million, up 34% through motion and environmental effects such as snow, compared with 1Q2018. This was due to fog, rain, bubbles, wind, lightning, vibration and scents. the increased contribution from our 18.5% associate, Wilmar International Limited as GSC hosted two film festivals, viz the Thai and French well as better performance from Grains film festivals, held during the quarter under review. Films and Agribusiness and Film Exhibition and produced from the respective countries were screened at Distribution segments. participating GSC International Screens. Profit for the period increased to RM262 million CSR ACTIVITIES from RM196 million and accordingly, earnings per share for 1Q2019 stood at 17.46 sen In conjunction with the Chinese New Year celebrations, compared with 13.32 sen in the first quarter of PPB staff spent time with the senior citizens of Tong Sim last year. Senior Citizens Care Centre at their two locations, and also donated various items to the centre. On a separate HAPPENINGS occasion, Cheras LeisureMall treated 80 senior citizens from several homes to a CNY lunch and organised fun- PPB held its first Press and Analyst Briefing for filled entertainment at the mall. the year on 7 March 2019, to review the 2018 results and provide an update on the latest Cheras LeisureMall collaborated with World Vision to developments in the Group. The briefing was hold a photo exhibition showcasing stories of children, well-attended by analysts, fund managers and aimed at raising awareness on issues affecting children the local press. experiencing extreme poverty and injustice. On 9 March 2019, Golden Screen Cinemas AIDILFITRI GREETINGS (GSC) launched “PlayPlus” at GSC IOI Mall, Puchong, a hall for kids with activity/play areas I wish to take this opportunity to wish our Muslim and facilities for children to learn and play. The shareholders and friends “Salam Aidilfitri”. family-friendly auditorium features customized seats, family couches and beanbags. 1 PPB GROUP BERHAD (8167-W) Investor Update Quarterly Report 01 / 31 March 2019 2 FROM THE DESK OF THE CHAIRMAN 1Q2019 Revenue Tan Sri Datuk Oh Siew Nam Chairman RM1.16 Billion 11 June 2019 1% higher compared with 1Q2018. Pre-tax Profit RM280 Million up 34% compared with 1Q2018. Earnings per share 17.46 Sen compared with 13.32 sen in 1Q2018. 3 PPB GROUP BERHAD (8167-W) Investor Update Quarterly Report 01 / 31 March 2019 4 HAPPENINGS Press and Analyst Briefing On 7 March 2019, PPB held its first Press and Analyst Briefing for the year which was well attended by 60 analysts and fund managers from various local as well as foreign research houses and securities firms. Present at the Briefing were also 16 members of the local and foreign press. The Briefing was held to provide a review of the Group’s financial results for year 2018 as well as an update of the latest developments. PPB’s Managing Director and the respective CEOs from the Group’s business divisions dealt with the questions posed by the attendees at the Q&A session. A press conference took place thereafter, followed by lunch. 3 PPB GROUP BERHAD (8167-W) Investor Update Quarterly Report 01 / 31 March 2019 4 HAPPENINGS 4DX arrives in GSC IOI City Mall, Putrajaya! GSC opened its third 4DX theatre at GSC IOI City Mall, Putrajaya on 27 March 2019, bringing the next- generation cinematic technology to Malaysia’s federal administrative centre. CJ 4DPLEX’s Chief Executive Officer, Mr JongRyul Kim officiated at the launch of the new hall, which can seat up to 112 thrill-seekers and deliver an even more immersive experience powered by motion-synchronized seats, wind, fog, rain, lightning, snow, bubbles, vibration, and scents. An additional 4DX theatre is targeted to open later this year at GSC Mid Valley Southkey in Johor Bahru. 5 PPB GROUP BERHAD (8167-W) Investor Update Quarterly Report 01 / 31 March 2019 6 HAPPENINGS New enriching cinemas come to GSC IOI Mall, Puchong! On 9 March 2019, GSC launched its first kid’s hall, PlayPlus at GSC IOI Mall, Puchong, giving families a new theatre and venue to bring their children to watch their favourite movies. The family-friendly auditorium features a variety of colourful, comfortable, and specially-customised seating including spacious Cuddle Couches that can seat a family of four and plush individual beanbags. There is also an indoor slide and play area, as well as an accompanying lounge, which packs an assortment of visual aids, tools, and games for children to learn and play. Complementing the opening of PlayPlus is a revamped lobby area and unveiling of a Starbucks kiosk, a collaboration with Starbucks Malaysia. The Starbucks kiosk extends food and drink offerings, so customers can now enjoy their favourite handcrafted hot or cold Starbucks beverage at the movies. 5 PPB GROUP BERHAD (8167-W) Investor Update Quarterly Report 01 / 31 March 2019 6 HAPPENINGS GSC kicks off the Thai and French Film Festivals The Thai Film Festival in Malaysia returned to GSC this year with seven recent Thai titles, showcased in 49 public shows at GSC Pavilion, Mid Valley, and 1 Utama in the Klang Valley, and and Gurney Plaza in Penang from 21 to 27 March 2019. The cast of “Bikeman” – one of the films in the festival – specially flew in for a Meet & Greet session and screening with fans at GSC Pavilion KL, hosted by the Ambassador of Thailand to Malaysia, H. E. Mr. Narong Sasitorn. 2019 marks the 18th anniversary of the French Film Festival in the GSC circuit. Over 15 recent films across a wide variety of genres including drama, thriller, adventure, sci-fi, and comedy made the line-up in the festival, giving Malaysian audiences an insightful glimpse into French culture and society. From 4 April to 12 May 2019, these films were screened in GSC’s cinemas in the Klang Valley, Penang, Johor and Kota Kinabalu. This year’s event saw the attendance of Malaysian sweetheart, Ms. Sharifah Amani as a special guest, as well as a gastronomic food presentation with partners and sponsors, G. H. Mumm, Martell, and PAUL. 7 PPB GROUP BERHAD (8167-W) Investor Update Quarterly Report 01 / 31 March 2019 8 CSR ACTIVITIES CHINESE NEW YEAR CELEBRATIONS As part of the Chinese New Year celebration, PPB staff had lunch with 84 senior citizens of Tong Sim Senior Citizens Care Centre (Tong Sim) at their centres in Kg Baru Salak South and Kwong Tong cemetery. Games were also organised for them. PPB donated fans, cabinets, pillows and groceries which were items requested by Tong Sim. On a separate occasion, Cheras LeisureMall hosted a sumptuous “poon choi” lunch for 80 senior citizens from five welfare homes on 15 February 2019. The senior citizens from Bodhi Homecare Cheras, Charis Sheep Pen Shelter, Rumah Charis, Rumah Orang-Orang Tua Seri Setia, and Rumah Orang Tua Ampang, were serenaded by local singers, Jericash Chan, Lim Meng Hui and Whitney Ong with some golden classics. The God of Prosperity also made an appearance. At the end of the event, angpows, mandarin oranges and chicken essence were given out. 7 PPB GROUP BERHAD (8167-W) Investor Update Quarterly Report 01 / 31 March 2019 8 CSR ACTIVITIES WORLD VISION MALAYSIA AWARENESS CAMPAIGN Cheras LeisureMall collaborated with World Vision to raise awareness on issues affecting children from communities experiencing extreme poverty and injustice. The event which was held at the Concourse Area of the Mall from 15 to 17 February 2019 included a photo exhibition of children’s stories, captured by celebrity photographer, Chuan Looi, who has travelled to World Vision’s projects in different countries. There were commemorative coffee table books and postcards for sale. Shoppers were encouraged to pen down Chinese New Year wishes on angpows and have them hung on the Tree of Hope. 9 PPB GROUP BERHAD (8167-W) Investor Update Quarterly Report 01 / 31 March 2019 10 SHARE ANALYSIS The FBM KLCI declined by 2.8% in the first quarter to close at 1,643.6 points as at end-March (end- December 2018: 1,690.6 points). The domestic equity market was affected by a combination of external and domestic factors. In particular, investor sentiments were weighed down by moderating global growth prospects. Domestically, volatile commodity prices and concerns on the outlook for corporate earnings also contributed to the cautious sentiments. [Source: Bank Negara Malaysia website] PPB shares closed at RM18.32 compared with RM17.58 in the preceding quarter and market capitalisation increased to RM26,069 million. The average daily volume of PPB shares traded during the quarter decreased by 16.66% to 786,466 shares. 1Q2019 4Q2018 % change PPB share price (RM) Closing price (high) 18.98 17.90 6.03% Closing price (low) 17.18 16.56 3.74% Month end closing price 18.32 17.58 4.21% Weighted share price 18.03 17.09 5.55% Market capitalisation (RM’ million) 26,069 25,016 4.21% PPB share trading volume (Number of shares) Daily volume (high) 3,100,700 7,932,000 -60.91% Daily volume (low) 146,800 128,700 14.06% Average daily volume 786,466 943,730 -16.66% FBM KLCI FBM KLCI closing (high)