MAJOR CINEPLEX GROUP PLC. 2Q17 Analyst Meeting Paragon Cineplex, 15 th 1 August 2017
MAJOR CINEPLEX GROUP AGENDA FINANCIAL OVERVIEW P.3 FINANCIAL HIGHLIGHT RESULT P.4 REVENUE BREAKDOWN BY SEGMENT P.6 QUARTERLY REVENUE BREAKDOWN P.7 BALANCE SHEET SNAPSHOT P.10 STRATEGIC INVESTMENT P.11 DIVIDEND PAYOUT P.12 GROWTH PROTENTIALS COMING ATTRACTION MOVIE LINE-UP EXPANSION PLAN P.13 P.14 P.15 2
IMAX FINANCIAL OVERVIEW 3
Q17 QUARTERLY BRIEFING Financial Highlights Bt.Million 2Q16 2Q17 Growth Amt. % Revenue 2,787 100% 2,779 100% (8) (0%) Gross Margin 1,118 40% 1,053 38% (65) (6%) EBITDA 956 34% 996 36% 40 4% EBIT 710 25% 726 26% 16 2% Net Profit 544 20% 554 20% 10 2% Total Revenue declined from MPIC Group. EBITDA improved from efficiency SG&A management. 4
H17 HALF YEARLY BRIEFING Financial Highlights Bt.Million 1H16 1H17 Growth Amt. % Revenue 4,723 100% 4,913 100% 190 4% Gross Margin 1,790 38% 1,769 36% (21) (1%) EBITDA 1,598 34% 1,566 32% (33) (2%) EBIT 1,018 22% 1,079 22% 61 6% Net Profit 770 16% 816 17% 46 6% 5
Q17 QUARTERLY BRIEFING Revenue Breakdown by segment Bowling & Karaoke Movie Business Content 4% 1% Rental & Service Business 4% Advertising Business 13% Concession Revenue 20% Admission Revenue 59% Major Group s Revenue Breakdown 2Q17 Margin Cinema 79% 32% Admission Revenue 59% 20% Concession Revenue 20% 70% Advertising Business 13% 87% Bowling & Karaoke Business 4% 35% Rental & Service Business 4% 11% Movie Content (Content Provider & Local Production) 1% (35%) Total Revenue 100% 38% 6
26 110 98 80 123 113 483 345 348 551 2,787 2,779 1,646 1,644 Q17 QUARTERLY BRIEFING Revenue Breakdown Total Revenue (8mb.) Admission Revenue (1mb.) Concession +14% (+68mb.) Advertising +1% (+3mb.) Bowling group (11%) (13mb.) Retails Movie Content (8%) (10mb.) (68%) (54mb.) 2015 2016 2Q16 2Q17 2Q16 2Q17 2Q16 2Q17 2Q16 2Q17 2Q16 2Q17 2Q16 2Q17 2Q16 2Q17 7
170 160 150 140 130 120 110 100 90 80 70 60 50 40 30 20 10 0 Q17 QUARTERLY BRIEFING Revenue : Admissions 50.0 ATP & Guest Counts Guest Counts (Million) ATP (THB) 165 166 172 170 ATP Breakdown (THB) Bangkok & Vicinity Upcountry 45.0 40.0 35.0 30.0 28.5 29.7 148 149 157 150 25.0 20.0 15.0 10.0 10.0 10.6 177 178 186 186 5.0 0.0 2015 2016 2Q16 2Q17 2015 2016 2Q16 2Q17 Guest Counts Breakdown by Regional Box Office Breakdown by Regional Bangkok & Vicinity Upcountry Bangkok & Vicinity Upcountry 41% 41% 44% 45% 37% 37% 40% 40% 59% 59% 56% 55% 63% 63% 60% 60% 2015 2016 2Q16 2Q17 2015 2016 2Q16 2Q17 8
2,100 1,600 1,100 600 100 80% 70% 60% 50% 40% 30% 20% 80.0 70.0 60.0 50.0 40.0 30.0 20.0 10.0 0.0 40% 35% 30% 25% 20% 15% 10% 5% 0% Q17 QUARTERLY BRIEFING Revenue : Concession Concession Revenue & Margin % Con to Box Ratio Concession Revenue (THB) Margin (%) 68% 68% 69% 70% 1,375 1,443 483 551 Admission (Million) % Con to Box 31% 31% 31% 34% 28.5 29.7 10.0 10.6 2015 2016 2Q16 2Q17 2015 2016 2Q16 2Q17 9
ASSETS ASSETS 14,000 12,000 10,000 8,000 6,000 4,000 2,000-0.80 0.70 0.60 0.50 0.40 0.30 0.20 0.10 0.00 Q17 QUARTERLY BRIEFING Balance Sheet Snapshot Bt.million Dec 31,16 Jun 30, 17 %chg Assets 14,725 14,349 (3%) Liabilities 8,007 7,453 (7%) Equity 6,718 6,896 +3% Dec 31,16 Jun 30,17 Good performance result to good liabilities and Equity. 14,725 8,007 EQUITY LIABILITIES 6,718 14,349 7,453 (3%) (7%) EQUITY LIABILITIES 6,896 +3% Equity Net interest-bearing debts Net D/E 0.69 0.70 0.63 0.56 0.56 3,913 4,643 4,708 4,409 3,853 6,938 6,716 6,718 6,976 6,896 2Q16 3Q16 4Q16 1Q17 2Q17 10
ASSETS EQUITY Q17 QUARTERLY BRIEFING Strategic investment and hidden profit Closing price as on 30 June 2017 Investments %Share Cost per Share Investment portfolio as of 30 th June, 2017: 25.19% in Siam Future Development Plc. (SF) 33.00% in Major Cineplex Lifestyle Leasehold Property Fund (MJLF) 92.46% in M Pictures Entertainment Plc. (MPIC) 40.00% in Thai Ticket Major Co., Ltd. 1.05% in PVR Limited (PVRL) 49.00% in PVR blu-o Entertainment Limited 69.97% in Major Platinum Cineplex Co.,ltd. (Cambodia) 59.98% in Major Platinum Cineplex Co.,ltd. (Lao) 99.99% in Cineplex (Lao) Sole Co.,ltd. 49.00% in CJ Major Entertainment Major s Cost Market Value Bt.million Unrealized Gain (Loss) Siam Future 25.19% 2.93 1,313 2,685 1,373 MJLF 33.00% 10.00 1,089 1,416 327 MPIC 92.46% 1.67 2,003 2,344 341 PVRL 1.05% 120.45 59 340 280 Total 4,464 6,785 2,321 11
1300 1100 900 700 500 300 100 80.0% 75.0% 70.0% 65.0% 60.0% 55.0% 50.0% 45.0% 40.0% Q17 QUARTERLY BRIEFING Dividend Payout Net Profit (MB) % Dividend Payout 1H14 1H15 1H16 1H17 Net Profit (MB) 585.93 689.41 770.40 816.26 75.8% % Dividend Payout 75.75% 71.02% 69.65% 71.24% 71.0% 69.7% 71.2% EPS (THB) 0.66 0.77 0.86 0.91 DPS (THB) 0.50 0.55 0.60 0.65 689.4 770.4 816.3 Closed price (THB) as of 30 June 17 18.80 33.75 33.00 33.75 Dividend yield (%) 2.7% 1.6% 1.8% 1.9% 585.9 Share Dividend paid Dividend amount 895 Million share 0.65 Baht per Share 582 MB 1H14 1H15 1H16 1H17 12
GROWTH POTENTIALS 13
*Please note that release dates are subject to change. 14 MAJOR CINEPLEX GROUP 2H17 Coming Highlight Movies 3Q17 Spider-Man: Home Coming War for the Planet of the Apes Dunkirk Valerian and the City Kingsman: The Golden Circle Cars 3 Baby Driver Atomic Blonde Slum Boy - Comedy Som Pak Sian - Comedy Pemika Comedy/Horror The promise - Horror Estimate 12 Thai Movies in 3Q17 4Q17 Thor: Ragnarok Justice League Star War: The Last Jedi Jumanji Blade Runner 2049 Khun Pun 2 - Action Estimate 9 Thai Movies in 4Q17
EXPANSION PLAN MAJOR currently operated 689 screens nationwide and CLMV. Screen Opening in 2017 (Tentative) 18 Locations in upcountry, 3 locations in Bangkok & Vicinity and 2 locations in CLMV. No. Location Screens Location BKK UPC Inter Opening Date 1 Lotus Nakornpathom (Opened 6 Apr) 2 114 P 2 Robinson Phetchaburi (Opened 19 May) 5 115 P 2Q17 - BluO Vientiane Center (Laos) - 8 Bowling Lanes (Opened 5 May) (11 Screens) 3 Big C Korat 2 (Nakornratchasima) 4 116 P 4 Big C Pathumthani 5 117 P 5 Lotus Yasotorn 2 118 P 6 Lotus Sukhothai 1 119 P 7 Big C Udonthani 1 120 P 8 Big C Ubon Ratchathani 1 121 P 9 Big C Wichian Buri (Phetchabun) 1 122 P 10 Lotus Phitsanulok 3 123 P 11 Big C Tah Ta Ko 1 124 P 12 Big C Dan Khun Thot (Nakhonratchasima) 1 125 P 13 Big C Wang Nam Yen 1 126 P 14 Sahathai Nakhonsithammarat 3 127 P 15 Big C Suvarnabhumi 1 128 P 16 Big C Sattahip 3 129 P 17 Robinson Kamphaeng Phet 4 130 P 18 Lotus Phatthalung 3 131 P 19 Lotus Phichit 3 132 P 20 Lotus Trad 2 133 P 21 Phichit 3 135 P 22 Phnom Penh 6 136 P 23 Siem Reap 3 137 P 2H17 (48 Screens) 2Q12 2Q13 15
MAJOR CINEPLEX GROUP PLC. 16