2016 Results
Total Page:16
File Type:pdf, Size:1020Kb
Presentation 2016 Results 3rd March 2017 2016 Review • Underlying profit down 6% • Continued strong contribution from commercial portfolio • Steady residential contribution from mainland China and Singapore • Net assets per share up 9% on higher capital values 1 2016 Results 2016 Results Highlights 2015 2016 US$905m Underlying profit attributable to shareholders US$848m US$1,107m Non-trading items US$2,498m US$2,012m Profit attributable to shareholders US$3,346m US¢38.44 Underlying earnings per share US¢36.03 US¢85.50 Earnings per share US¢142.23 US$12.19 NAV per share US$13.30 US¢13.00 Final dividend per share US¢13.00 US¢19.00 Total dividend per share US¢19.00 2 2016 Results Commercial Property 3 2016 Results Commercial Portfolio (’000 sq. ft NFA) HKL’s Share Office Retail Hotel Total Hong Kong 4,139 572 143 4,854 Macau - 93 151 244 Singapore 1,652 129 - 1,781 Jakarta 664 64 - 728 Hanoi 106 11 - 117 Bangkok 27 61 - 88 Others 71 - 312 383 TOTAL 6,659 930 606 8,195 4 2016 Results Hong Kong 1. One Exchange Square 2. Two Exchange Square 3. Three Exchange Square 4. The Forum 9 5. Jardine House 8 1 2 9a 11 6. Chater House 10 3 7 5 7. Alexandra House 6 8. Gloucester Tower 4 12 9. Edinburgh Tower 9a. The Landmark Mandarin Oriental 10. York House 11. Landmark Atrium 12. Prince’s Building 5 2016 Results Hong Kong Central Grade “A” Office Rental Index Index 180 160 140 120 100 80 2012 2013 2014 2015 2016 Source: Jones Lang LaSalle 6 2016 Results Hong Kong Central Grade “A” Office Market m sq. ft Vacancy % New supply Net take up Vacancy 2.5 15 2 12 1.5 9 1 6 0.5 3 0 0 -0.5 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 Source: Jones Lang LaSalle Disclaimer: The above forecast shall be regarded solely as a general guide. No representation is made nor responsibility accepted by Jones Lang LaSalle for the accuracy of the whole or any part whatsoever. 7 2016 Results Hong Kong Grade “A” Office Market m sq. ft Vacancy % New supply Net take up Vacancy 10 15 8 12 6 9 4 6 2 3 0 0 -2 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 Source: Jones Lang LaSalle Disclaimer: The above forecast shall be regarded solely as a general guide. No representation is made nor responsibility accepted by Jones Lang LaSalle for the accuracy of the whole or any part whatsoever. 8 2016 Results Hongkong Land Central Portfolio: Office 2014 2015 2016 Average Net Rent (HK$ psf/month) 102 101 103 Year-end Vacancy 5.4% 3.4% 2.2% Weighted Average Lease Expiry (years) 3.4 4.1 3.8 9 2016 Results Hong Kong: Office Tenant Profile Others 14% Banks and Property other financial 6% services Trading 39% 2% Governments 1% Accounting 8% Legal 30% 10 2016 Results Hong Kong: Expiration and Interim Rent Revisions 2017 2018 2019 Total lettable office area subject to 1,322 1,330 1,020 expiration/rent revisions (’000 sq. ft) % of area subject to expiration/rent revisions 32% 32% 25% - Expiration 11% 19% 20% - Rent revisions 21% 13% 5% Average expiring net rent (HK$ psf/month) 101.7 103.2 112.8 11 2016 Results Hongkong Land Central Portfolio: Retail 2014 2015 2016 Average Net Rent (HK$ psf/month) 214 221 218 Year-end Vacancy 0% 0% 0% Weighted Average Lease Expiry (years) 2.8 2.4 2.8 Note: Vacancy excludes areas under renovation. 12 2016 Results Singapore One Raffles Link One Raffles Quay Marina Bay Financial Centre (100%-owned) (33%-owned) (33%-owned) 13 2016 Results Singapore CBD Grade “A” Office Market m sq. ft New supply Net take up Vacancy Vacancy % 5 15 4 12 3 9 2 6 1 3 0 0 -1 '02 '03 '04 '05 '06 '07 '08 '09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20 '21 CBD – Raffles Place, Shenton Way, Marina Bay & Marina Centre Source: Jones Lang LaSalle Disclaimer: The above forecast shall be regarded solely as a general guide. No representation is made nor responsibility accepted by Jones Lang LaSalle for the accuracy of the whole or any part whatsoever. 14 2016 Results Singapore Commercial Portfolio (’000 sq. ft NFA) Office Retail Total HKL’s Share One Raffles Link 243 68 311 311 One Raffles Quay 1,327 4 1,331 444 Marina Bay Financial Centre 2,900 179 3,079 1,026 TOTAL 4,470 251 4,721 1,781 15 2016 Results Singapore: Office Tenant Profile Others Natural 11% resources 7% Accounting 3% Legal 6% Banks and other financial services 73% 16 2016 Results Singapore: Office Average Rents and Vacancy 2014 2015 2016 Average Gross Rent (S$ psf/month) 9.2 9.5 9.3 Year-end Vacancy 1.7% 3.0% 0.1% Weighted Average Lease Expiry (years) 5.5 5.1 4.8 Note: According to local market practice, the average office rent includes management charges. 17 2016 Results Singapore: Expiration and Interim Rent Revisions 2017 2018 2019 HKL’s Share: Total lettable office area subject 130 719 320 to expiration/rent revisions (’000 sq. ft) % of area subject to expiration/rent revisions 7.8% 43.5% 19.3% - Expiration 4.4% 5.8% 12.0% - Rent revisions 3.4% 37.7% 7.3% Average expiring rent (S$ psf/month) 8.9 9.0 9.8 Note: According to local market practice, the average office rent includes management charges. 18 2016 Results Jakarta Jakarta Land (50%-owned) • Existing portfolio features 135,000 sq. m. NFA WTC 3 • Average gross rent: US$25.3 psm per month (2015: US$25.3 psm per month) • Occupancy: 90% • WTC 3: Construction has progressed to Level 39 (Completion: 2018) 19 2016 Results Phnom Penh EXCHANGE SQUARE (100%-owned) • Mixed-use complex with 30,000 sq. m. NFA • Heart of Phnom Penh • Tenant handover commenced: December 2016 20 2016 Results Beijing WF CENTRAL (84%-owned) • Prestigious retail centre, which includes an exclusive luxury hotel • 43,000 sq. m. NFA • Open: Q4 2017 21 2016 Results Residential Property 22 2016 Results Mainland China – Completed Projects, Beijing Maple Place Project Project Type • 31 units handed over in 2016 Maple Place (90%) • 2 units available for future sale Central Park Central Park (40%) • 72 apartments 23 2016 Results Mainland China – Development Projects Summary HKL’s Share Developable Under Year of Site Area Constructed Project Interest Area Construction Acquisition (ha) (m sq. m.) (m sq. m.) (m sq. m.) Yorkville South, Chongqing 100% 2010 39 0.88 0.51 0.16 Yorkville North, Chongqing 100% 2011 54 1.09 0.34 0.07 Bamboo Grove, Chongqing 50% 2005 39 0.73 0.64 0.09 New Bamboo Grove, Chongqing 50% 2015 17 0.32 - 0.18 Landmark Riverside, Chongqing 50% 2009 11 0.50 0.15 0.15 Central Avenue, Chongqing 50% 2013 20 0.55 0.03 0.15 WE City, Chengdu 50% 2010 10 0.45 0.15 0.09 Parkville, Shanghai 50% 2015 4 0.11 - 0.11 TOTAL 194 4.63 1.82 1.00 24 2016 Results Mainland China – Revenue Recognised US$m Chongqing Chengdu Beijing 800 $676m $621m 600 $505m 400 200 0 2014 2015 2016 Note: The above chart includes HKL’s share of Joint Ventures & Associates. 25 2016 Results Mainland China – Contracted Sales US$m Chongqing Chengdu Shanghai Beijing 1,200 $1,105m 1,000 $802m 800 $635m 600 400 200 0 2014 2015 2016 Note: The above chart includes HKL’s share of Joint Ventures & Associates. 26 2016 Results Mainland China – Sold but Unrecognised Sales US$m Sales to be recognised next year Sales to be recognised after next year 1,200 $1,083m 1,000 $821m 800 600 $533m 400 200 0 2014 2015 2016 Note: The above chart includes HKL’s share of Joint Ventures & Associates. 27 2016 Results Singapore Sol Acres LakeVille J Gateway Lake Grande Margaret Drive 28 2016 Results Singapore – Projects for Completion from 2017 GFA Estimated Project Units Pre-Sold (’000 sq. ft) Completion Date LakeVille 699 674 2017 99% Sol Acres 1,327 1,240 2018 44% Lake Grande 710 537 2019 77% Not yet Margaret Drive 316 238 2020 launched TOTAL 3,052 2,689 29 2016 Results Indonesia Nava Park, Greater Jakarta (49%-owned) Estimated No. of Pre-Sold GFA % of Units Completion Units % of Units (’000 sq. m.) Construction Date Launched Launched Under development Villas and Landed Housing - Lancewood 223 61 2017 96% 223 88% - Lakewood 130 46 2018 2% 45 36% Mid-rise Apartments - Marigold 589 56 2020 18% 203 84% Sub-total 942 162 Undeveloped 640 2029 Total 802 30 2016 Results Indonesia Anandamaya Residences (40%-owned) • JV with Astra International • Site area: 1.6 ha • GFA: 116,000 sq. m. • 509 luxury apartments; 92% pre-sold • Completion: 2018 31 2016 Results Indonesia Jakarta Garden City (25%-owned) • 50:50 JV between Modernland and Astra Land, of which HKL holds 50% • Site area: 69 ha • GFA: 940,000 sq. m. Jakarta Garden City • East of central Jakarta • Construction start: 2017 Background image from Google Earth 32 2016 Results Philippines Two Roxas Triangle (40%-owned) • JV with Ayala Land • Site area: 0.5 ha • GFA: 98,000 sq. m. • 182 units; 99% pre-sold • Completion: 2018 33 2016 Results Philippines Mandani Bay (40%-owned) • JV with Taft Property • Site area: 20 ha • GFA: 1.2 million sq.