Quick viewing(Text Mode)

Airports of Thailand Plc. Corporate Presentation – Q2 FY08 (January 2008 – March 2008)

Airports of Thailand Plc. Corporate Presentation – Q2 FY08 (January 2008 – March 2008)

Airports of Plc. Corporate Presentation – Q2_FY08 (January 2008 – March 2008)

Investor Relations Center, Email: [email protected], Tel: (662) 535-5900, Fax (662) 535-5909

Disclaimer

This presentation is intended to assist investors to better understanding the company’s business and financial status. This presentation may contain forward looking statements relate to analysis and other information which are based on forecast of future results and estimates of amounts not yet determinable. These statements reflect our current views with respect to future events which relate to our future prospects, developments and business strategies and are not guarantee of future performance. Such forward looking statements involve know and unknown risks and uncertainties. The Actual result may differ materially from information contained in these statements.

1 Agenda

o Business Overview

o Air Traffic Statistics

o Financial Highlights

o Q & A

2

Airports in Thailand

Total of 37 airports INTERNATIONAL AIRPORT INTERNATIONAL 4 Airports of Thailand Public Company Limited * AIRPORT

ƒ 2 in and perimeter Pai Mae Hong Son o (BKK) Nan Lampang o Don Muang International Airport (DMK) Phrae Udon Thani

ƒ 4 international airports at regional sites Sukhothai Nakhon Phanom Tak Loei o Sakon Nakhorn Chiang Rai International Airport (CEI) Phitsanulok Khon Kaen Phetchabun o Chiang Mai International Airport (CNX) Roi Et o International Airport (HKT) DON MUANG Buri Ram o International Airport (HDY) INTERNATIONAL Nakhon Ratchasima Ubon Ratchathani AIRPORT SUVARNABHUMI AIRPORT

AOT Airports 4 Department of Civil Aviation (DCA) U-Tapao Hua Hin DCA Airports o 27 regional airports Trad Airports Chumpon 4 Royal Thai Navy Ranong Royal Thai Navy Airport o U-Tapao Airport Surattani Samui HAT YAI 4 Bangkok Airways Company Nakhon Si Thammarat INTERNATIONAL AIRPORT o Sukhothai Airport Krabi PHUKET o Samui Airport INTERNATIONAL Trang Pattani o Trad Airport AIRPORT Narathiwat

* Note: AOT’s traffics account for more than 90% of Thailand’s air traffics.

3 Business Overview

Fact Sheet Shareholders Information

HSBC Airports of Thailand PLC State Street State Street (Singapore) Goldman Bank and Bank and Nominees Sachs Trust ƒ Listed on 11 March 2004 Trust Pte Ltd. International Company For ƒ Shares outstanding 1,428.57million Nortrust Company 2.31% 1.3% Australia 2.31% ƒ Shareholders Nominees 2.59% Ltd. Thai NDVR •Ministry Of Finance 70% 4.22% 0.94% •Free Float 30% Chase Others ƒ Average Daily Market Cap (Jan – Mar 07) Nominees 11.74% Limited •BHT 79,444.37M 4.59% •US$ 2,503.76M

Ministry of Fiscal EPS Dividend Dividend Dividend Finance Year * (Baht) per share payout Yield 70.84% (Baht) ratio (Year End)

2004 3.85 1.20 37.83% 2.41% As at January 2008

2005 5.19 1.70 37.89 % 3.40% Dividend Policy 2006 7.26 2.75 37.85 % 4.74% Not less than 25% of net profit of the company for 2007 0.77 0.40 51.95% 0.64% each year after deduction of all specified reserves, subject to our investment plans and other *Note: In FY2006 AOT paid dividend twice: considerations that our Board of Directors deems - On 12 Oct 2006 (Baht 0.95 per share) appropriate - On 23 Feb 2007(Baht 1.80 per share)

4

Airport Capacities

Area Capacity Runways Cargo Airports Aircraft Passenger Total Area Terminal Area (Meters) (Acres) (Sq.m.) (Million Metric (Flight/hour) (Million/year) Tons/year)

60 x 3,700 BKK 8,000 563,000 76 45 3.00 2 60 x 4,000

DMK 1,552 391,316 60 36.5 0.91 2 60 x 3,700 45 x 3,500

HKT 47 23,369 20 6.5 0.036 1 45 x 3,000

CNX 642 31,301 24 8 0.035 1 45 x 3,300

HDY 28 14,656 20 1.9 0.013 1 45 x 3,050

CEI 15 16,650 12 1.7 0.005 1 45 x 3,000

Chek Lap Kok 3,101 710,000 55 48 3.00 2 60 x 3,800

Changi 3,212 1,043,020 n/a 68.7 2.00 2 60 x 4,000 60 x 4,000 Incheon 13,880 496,000 n/a 44 2.00 2 60 x 3,750

5 Aircraft Movement Statistics

AOT Traffics LCCs Traffics Major LCCs (Unit: Thousand) % (Unit: Thousand) 11.4 • Domestic 6.0% 390.3 350.3 Thai Air Asia 330.4 .3% 105.2 175.1 34 148.5 One Two Go 136.7 % 32.0 78.3 • International 59.3 78.9 .1% Air Asia 6 % 59.4 7.1 106.6 Tiger Airways 1 215.2 100.5 193.7 201.8 43.5 30.2 44.7 48.5 Jetstar Asia 25.8 19.5 22.8 55.8 58.1 Jetstar Airways 26.3 15.8 18.9 6.3 7.4 Air 2005 2006 2007 Q2_07 Q2_08 2005 2006 2007 Q2_07 Q2_08 International Domestic Firefly International Domestic Mahin Lanka Airlines Q2_FY07 Q2_FY08 YoY% Q2_FY07 Q2_FY08 YoY% BKK 73,005 67,043 Express BKK 15,750 11,553 DMK 5,722 15,530 Indonesia AirAsia DMK 599 7,888 BKK + DMK 78,727 82,573 4.89% BKK + DMK 16,338 19,441 18.91% HKT 10,674 12,126 13.60% Note HKT 3,590 4,051 12.84%

CNX 6,769 7,209 6.50% AOT Average Aircraft CNX 2,884 3,389 17.51% HDY 2,934 2,796 -4.70% Movement Growth Rate HDY 2,248 2,089 -7.07% for the last 6 year is 9.8% CEI 1,393 1,903 36.61% CEI 734 1,286 75.20%

* Note: Fiscal Year starting from October to September 6

Passenger Movement Statistics

AOT Traffics LCCs Traffics (Unit: Million) (Unit: Million) 8.1% .5% 9 56.0 % 12.0 51.8 Major Events 30.4 47.3 20.8 2004 % 18.7 29.5 9.2 17.4 •Bird Flu • Southern Violence 7.1 9.1

.5% 2005 7.0 % 11 21.2 16.5 • Tsunami 5.5 3.7 33.1 35.2 14.8 29.9 3.0 6.2 2006 5.5 2.8 2.3 • Coup D’etat 2.9 9.3 10.3 1.6 2.2 •Southern Violence 0.7 0.9 2005 2006 2007 Q2_07 Q2_08 2005 2006 2007 Q2_07 Q2_08

International Domestic International Domestic Note Q2_FY07 Q2_FY08 YoY% Q2_FY07 Q2_FY08 YoY% BKK 11,665,008 11,368,931 AOT Average BKK 1,833,202 1,402,484 Passenger DMK 125,644 1,692,505 Movement Growth DMK 68,717 955,296 BKK + DMK 11,790,652 13,061,436 10.78% Rate for the last 6 BKK + DMK 1,901,919 2,357,780 23.97% year is 8.4% HKT 1,652,955 1,925,647 16.50% HKT 435,884 504,358 15.71% CNX 879,175 937,718 6.66% CNX 362,537 402,973 11.15% HDY 319,239 375,800 17.72% HDY 242,116 277,076 14.44% CEI 187,767 234,719 25.01% CEI 90,622 134,693 48.63%

7 Airport Revenues

Landing & Parking Charges 20% increased on Jan 1st, 2005

15% increased on Apr 1st, 2007

Aeronautical Passenger Service Charges (PSC) Effective on Feb 1st, 2007

70.06% THB 500 to THB 700 - International PSC

(End of Q2_08) THB 50 to THB 100 - Domestic PSC

Aircraft Service Charges Fees paid by airlines for use of boarding bridges, varies by maximum take off weight of the aircraft and length of time at a gate

Office & State Property Rental Rental tenants include airline, government agencies and concession tenants. Rents are determined based on the tenants’ business use at each of our airports. Non-Aeronautical Service Varies by activities such as Utilities, Check-in Counter Services, Airline Announcement Services, Hydrant 29.94% System Services, etc. Concession Varies by activities such as Duty Free, Souvenirs, (End of Q2_08) Food & Beverage, Airline Catering, Fueling Services, Car Parking, Advertising, Banking, etc.

8

Revenue Breakdown Total Revenue By proportion

(Unit: Million) 7% Q2_FY07 Q2_FY08 20.0 % 19,501.41 9.04 4.83% 18.70% 8.72% 18.06% 16,240.73 14.72% 14.09% 14,894.40

5.91%

7.14% 2.23% 8% 21.8 6,061.66 1.91% 4,973.61 53.61% 50.08%

By Growth (Unit: Million)

2005 2006 2007 Q2_07 Q2_08 FY2006 FY2007 YoY(%) Q2_07 Q2_08 YoY(%)

Landing & Parking charges (LPC) LPC 3,468.48 3,937.40 13.52% 930.19 1,094.80 17.70% Pa sse nge r se rvi ce cha rge s (PSC) PSC 6,459.46 8,781.48 35.95% 2,665.92 3,035.73 13.87% A/C Service charges (ASC) ASC 312.98 427.10 36.46% 110.95 116.01 4.56% Office and state property rents (OPR) OPR 962.72 1,524.61 58.36% 293.91 432.94 47.31% Service revenues (SVR) Concession revenue (CCR) SVR 932.72 2,818.54 202.18% 732.31 853.86 16.60% CCR 4,104.49 2,012.28 (50.97)% 240.33 528.31 119.83%

* Note: Fiscal Year starting from October to September 9 Airport Expenses

Personnel Expenses Consist of employee salaries and bonuses, employee benefits, retirement payments and contributions to employee provident fund Operating Expenses Consist of electricity charges, costs related to outsourced workers, property taxes, consultant fees, telephone, advertising and public relations costs, water, insurance premium costs and etc. Repair and Maintenance Consist of repair and maintenance of runways and taxiways, elevators, escalators and cover walkways, air conditioning systems, conveyor belts, transportation equipment and construction and electrical appliances State Properties Rental Consists of rental payments made to the Ministry of Finance under the airport land leases

Depreciation and Amortization Consist of depreciation charges in respect of the property, plant and equipment as well as amortization in respect of the intangible assets. Calculating on a straight-line basis over the assets’ useful lives (between 5 and 50 years)

10

Expense Breakdown

Total Cost By proportion

(Unit: Million) Q2_FY07 Q2_ FY08 17,996.17 14.69% 15.29% % 4 .0 1 9 45.78% 46.63% % .90 29 9,420.08 29.67% 28.79% 7,251.71 % 3.54 3.78% 4,078.71 4,223.00 3.94% 5.22% 6.20%

By Growth

2005 2006 2007 Q2_07 Q2_08 (Unit: Million) FY2006 FY2007 YoY(%) Q2_07 Q2_08 YoY(%) Personnel expenses Personnel 3,374.57 2,927.84 (13.24)% 599.28 645.75 7.75% Operating expenses Operating 3,626.77 5,730.13 58.00% 1,210.30 1,215.69 0.45% Repair and maintenance (R&M) R&M 278.38 732.38 163.09% 154.31 166.31 7.78% State property rental (SPR) SPR 740.32 846.32 14.32% 212.75 261.94 23.12% Depreciation and amortization (D&M) D&M 1,400.04 7,759.50 454.24% 1,902.08 1,933.32 1.64%

11 Performance Highlight

YoY comparison Margin & Growth

(Unit: Million) 3,771.97 (Unit: Million) 20,000 (62.23%)

18,000 3,157.97 (52.10%) 16,000 Growth

14,000 2,796.98 (56.24%) 6% 12,000 .8 34

10,000 1,838.65 (30.33%) 8,000 % 46 5. 10 6,000 894.90 (17.99%) 4,000 839.33 (16.88%) % 2,000 25 6. 27 0 FY2005 FY2006 FY2007 Q2_07 Q2_08 Q2_FY07 Q2_FY08

Total Revenue EBITDA EBIT Net Profit

Note: Q2_08 Net profit was high because of the compensation from private company as a result of the temporary injunction.

12

Financial Ratios

30 Sep 2005 30 Sep 2006 30 Sep 2007 31 Mar 2008

Par Value (THB) 10.00 10.00 10.00 10.00

Market Price (THB) 50.00 58.00 62.00 57.00

BV/share 45.13 49.81 48.78 50.82

P/BV 1.10 1.16 1.27 1.12

EPS 5.19 7.26 0.77 2.21

P/E 9.63 7.98 80.51 n/a

Dividend Payout 37.89% 37.85% 51.95% n/a

Dividend Yield 3.40% 4.74% 0.64% n/a

Gearing (%) 0.86 0.80 0.78 0.80

Net Gearing (%) 0.55 0.52 0.63 0.69

ROE 11.48% 14.72% 1.57% n/a

ROA 5.5% 6.96% 0.76% n/a

Note: Gearing = Total Debt / Total Equity, Net Gearing = Net Debt / Total Equity Total Debt = Total Interest Baring Debt 13 Appendix A: Consolidated Balance Sheet

Unit: Million Baht

30 Sep 2005 30 Sep 2006 30 Sep 2007 31 Mar 2008

Cash 19,416.86 19,759.67 10,231.38 7,863.69

Other Current Asset 9,282.14 3,779.38 8,911.10 11,255.68

Non Current Asset 105,821.78 126,966.00 124,334.42 123,106.68

Total Assets 134,520.78 150,505.05 143,476.91 142,226.05

Current Liabilities 9,494.91 13,993.23 10,998.39 8,384.65

Long Term Loan 54,299.38 55,942.02 52,840.03 56,459.40

Other Non Current Liabilities 6,244.99 9,406.29 9,951.33 4,780.15

Total Liabilities 70,039.28 79,341.54 73,789.75 69,624.20

Shareholder’s Equity 64,481.49 71,163.52 69,687.16 72,306.58

Total Liabilities & 134,520.78 150,505.05 143,476.91 142,226.06 Shareholder’s Equity

14

Appendix B: Subsidiaries & Associated Companies

Name Percentage of shareholding (%) Business Type

Subsidiaries

Suvarnabhumi Airport Hotel Co., Ltd 60.00 Hotel

Associated Companies Airport Ground Handling Thai Airports Ground Services Co., Ltd 28.50 Services Airport Duty Free Co., Ltd 10.00 Commercial

Phuket Air Catering Co., Ltd. 10.00 Catering

Airport Associated Co., Ltd 10.00 Transportation

Don Muang International Airport Hotel Co., Ltd 9.00 Hotel

King Power Duty Free co., Ltd. 5.00 Commercial

Fuel Pipeline Transportation Co., Ltd. 1.38 Fuel

Trade Siam Co., Ltd. 1.50 EDI Services

Thai Aviation Refueling Co., Ltd 10.00 Fuel

Bangkok Aviation Fuel Services Plc 4.94 Fuel

15 Appendix C: Airlines Market Share (By Aircrafts) – FY2007

AOT Top 10 Airlines Low Cost Carriers

CEBU Firefly Jetstar Pacific Air Others Airways Jetstar Asia Mahin Lanka Airlines Thai Air Asia Air Asia

EVA Air Tiger Airways

Indian Bangkok Airlines Airways One Two Go Airlines JALW ays Cathay Singapore Pacific Airlines Thai Air Asia Airways Nok Air Thai Airways International 33.03% Thai Air Asia 40.74% Thai Air Asia 6.96% Nok Air 26.40% Bangkok Airways 5.57% One Two Go Airlines 19.67% 3.18% Tiger Airways 4.63% Airways 2.98% Air Asia 4.45% China Airlines 2.83% Jetstar Asia 2.48% Emirates 2.12% Jetstar Airways 0.57% JALWays 2.05% CEBU Pacific Air 0.57% Indian Airlines 2.00% Firefly 0.38% EVA Air 1.87% Mahin Lanka Airlines 0.12%

16

Appendix D: Airlines Market Share (By Passengers) – FY2007

AOT Top 10 Airlines Low Cost Carriers

Others Jetstar CEBU Mahin Lanka Airways Pacific Air Jetstar Asia Airlines Firefly Thai Airways Air Asia Korean Airlines Tiger Airways Bangkok Cathay Airways Pacific Airways EVA Air One Two Go Thai Air Asia Airlines JALW ays Thai Air Asia China Emirates Airlines Singapore Airlines Nok Air

Thai Airways International 40.95% Thai Air Asia 38.94% Cathay Pacific Airways 4.02% Nok Air 26.69% Thai Air Asia 3.73% One Two Go Airlines 20.39% Singapore Airlines 3.65% Tiger Airways 4.88% China Airlines 3.30% Air Asia 4.80% Emirates 3.03% Jetstar Asia 2.33% JALWays 2.40% Jetstar Airways 1.18% EVA Air 2.05% CEBU Pacific Air 0.60% Bangkok Airways 2.03% Mahin Lanka Airlines 0.12% Korean Airlines 1.98% Firefly 0.07%

17 Appendix E: King Power Contract

4 On 20 April 04 AOT awarded the exclusive duty free concession to King Power Duty Free Duty Plc. to operate duty free activities at 4 of its airports: Suvarnabhumi, Chiang Mai, Phuket Free and Hat Yai International airports. 4 Duty free concession will have 10 years.

Other 4 On 25 March 05 AOT signed management contract with King Power International Plc. for Commercial retail area at Suvarnabhumi approximately 20,000 m2 Activities 4 Management concession will have 10 years.

Previous Terms Current Terms for Awarded Concessions Min. Min Guarantee Concession Fee Concession Fee Guarantee Additional Bt (mn) (% of gross revenue) (% of gross revenue) Bt (mn) 4,855 16,736 Prepaid Bt2,460 mn (2yrs min. Duty Free 15% 15% - 20% (1) (5 years) (10 years) guarantee) at signing of contract Other Varies by Varies by Prepaid Bt2,000 mn at signing of Commercial 1,431 / year 15% contracts(2) contracts(3) contract Activities

Note: (1) 15% for the first 5 years and increases by an increment of 1% for the following 5 years until it reaches 20% in 2015 (2) Example: Bt 32.12 mn for souvenirs in 2004 (3) Example: 15% for books and magazines