opportunity day presentation 4q11centel.listedcompany.com/misc/presn/20120313... · opportunity day...

Opportunity Day Presentation 4Q11Central Plaza Hotel Public Company LimitedMarch 13, 2012

Centara Grand Resort & Spa, Maldives

Agenda Agenda Agenda Agenda

4Q11/FY11Financial Summary Performance by Business Performance by Business◦ Hotel◦ Food

Summary of Outstanding DebtSummary of Outstanding Debt Medium Term Outlook

CENTEL's Opportunity Day Presentation 4Q11 2

44QQ1111/FY/FY11 11 FINANCIAL SUMMARYFINANCIAL SUMMARY

Centara Grand @ Central World


CENTEL: Consolidated Earnings CENTEL: Consolidated Earnings 44QQ1111CENTEL: Consolidated Earnings CENTEL: Consolidated Earnings 44QQ1111• CENTEL’s 4Q11 revenue was Bt3,042.7mn representing 13.5% growth yoy (or about Bt362.4mn).

• Hotel business contributed about 39% of the revenue whilst food business contributed about 61%Hotel business contributed about 39% of the revenue, whilst food business contributed about 61%.

• In term of EBITDA, hotel business contributed about 49% of total EBITDA, whilst the balance was contributed byfood business.

• 4Q11’s net profit was Bt75.0mn. However, if considering operating profit before guarantee provision of propertyfund of Bt64mn net profit was Bt139mn reflecting 55% growth over 4Q10’s profitfund of Bt64mn, net profit was Bt139mn, reflecting 55% growth over 4Q10 s profit.

4Q11 4Q10 Change % Change

Total Revenues

Hotel 1,183.5 1,180.4 3.2 0.3%

Food 1,859.2 1,500.0 359.2 23.9%

Total Revenues 3,042.7 2,680.4 362.4 13.5%

Total Cost & Expenses (exc. depre) (2,502.1) (2,136.9) (365.2) 17.1%

Equity Gain (Loss) 33.4 12.7 20.7 163.2%

Total EBITDA 574.0 556.1 17.9 3.2%

Total Net Profit - before extra items 114.0 64.2 49.8 77.6%

Extra-items

Amortization of deferred rental income (PFPO) 25.2 25.3 (0.2)

Extra-equity gain in PFPO - from Asset Revaluation 0.0 0.0 0.0

Loss on guarantee provision PFPO (64.1) 0.0 (64.1)

Net Profit - after extra items 75.0 89.5 (14.5)

EPS (Baht per share) 0 06 0 07 0 01


EPS (Baht per share) 0.06 0.07 -0.01

CENTEL: Consolidated Earnings FYCENTEL: Consolidated Earnings FY1111• For 2011, CENTEL’s revenue was Bt11,473.9mn, reflecting Bt2,074.0mn or about 22.1% growth yoy.

o Hotel: represented about 43% of total revenue and contributed about 39% of total revenue growth.o Food: represented about 57% of total revenue and contributed about 61% of total revenue growth.

• In terms of EBITDA, hotel business contributed about 54% of EBITDA, whilst the balance was contributed by foodbusiness.

• 2011 net profit was Bt550.4mn, significantly improved from the reported net loss of Bt56mn in 2010. Withouttaking to consideration of guarantee provision of property fund, net profit was Bt624mn, compared to net loss ofBt43.8mn in 2010.

2011 2010 Change % ChangeTotal Revenues Hotel 4 922 9 4 104 9 818 0 19 9% Hotel 4,922.9 4,104.9 818.0 19.9% Food 6,551.0 5,295.0 1,256.0 23.7%Total Revenues 11,473.9 9,399.9 2,074.0 22.1%Total Cost & Expenses (exc. depre) (9,184.0) (7,724.7) (1,459.4) 18.9%Equity Gain (Loss) 75 6 (7 8) 83 4Equity Gain (Loss) 75.6 (7.8) 83.4Total EBITDA 2,365.4 1,667.4 698.1 41.9%

Total Net Profit - before extra items 521.3 (131.0) 652.3 Extra-items Extra-items Amortization of deferred rental income (PFPO) 100.3 100.3 (0.0) Extra-equity gain in PFPO 2.4 (13.2) 15.6 Loss on guarantee provision PFPO (73.7) (12.0) (61.7)Net Profit - after extra items 550 4 (55 8) 606 2


Net Profit - after extra items 550.4 (55.8) 606.2EPS (Baht per share) 0.41 (0.04) 0.45

HOTEL BUSINESSHOTEL BUSINESS


Centara Karon Beach Resort, Phuket

Our Hotel PortfoliosOur Hotel PortfoliosOur Hotel PortfoliosOur Hotel Portfolios

CHINA

VIETNAM 834 KEYS

CHINA125 KEYS

INDIA 30 KEYS THAILAND

8,408 KEYS

834 KEYS

PHILIPINES96 KEYSSRILANKA

517 KEYS

Total 56 hotels & resorts with 10 884keys

BALI354 KEYSMALDIVES

252 KEYS

o Total 56 hotels & resorts with 10,884keyso 15 owned and JV hotels (1 JV hotel will

operate in 4Q12) and 41 hotels under management contracts (of which 17 hotels are currently in operation and 24 are under

MAURITIUS 268 KEYS

currently in operation and 24 are under construction) As of March 5, 2012


Hotel Portfolios by Brand Hotel Portfolios by Brand Hotel Portfolios by Brand Hotel Portfolios by Brand o CENTEL’s 31 operating hotels included 10 owned properties, 3 JVs, 1 Property Fund and 17

hotels under management contract.Information as at March 5 2012

Key Destinations

Thailand Overseas

S / / C

Information as at March 5, 2012

Phuket Krabi Suranthani Pattaya Hua Hin Tak Trat / Rayong/

Koh Kood

Udon/ KonKaen

Bangkok ChaingMai

Hat Yai Maldives Vietnam Indonesia Philippines

CPBR CSBR CGLB CIRM CPVCGWP(NewQ211)

CKBR CMBR CHBR CGCW (NewQ1-11)

CKR CKT CVP

CAK (New Q411)

BRS CPR CSV

CPY(New Q411)

CMS CCT CRR

CUD

CDC

CHY

CHM (NewQ411)

CHP CTB CHP CTB (New Q411)

WSP(NewQ111)

NVP (New Q411)

ASC KPC


Note: Red letter = Owned hotel, Blue letter = JVs, Green = Property Fund and Black letter = Managed

Hotel: Financial Snapshot Hotel: Financial Snapshot 44QQ11 11 and FYand FY1111

Room F&B Others EBITDA margin (%)

Hotel: Financial Snapshot Hotel: Financial Snapshot 44QQ11 11 and FYand FY1111

Growth 4Q11 4Q10

Revenue by category and EBITDA margin

34.5%

-1 8%5.1%

25.5%37.9%

17.0% 21.2% 24.0% 19.3%26.2%

10 00%

30.00%

50.00%

4,000

5,000

6,000

Room F&B Others EBITDA margin (%) 4Q11 vs. 4Q10

Room +12%F&B -10%Others -14%-1.8%

-50 00%

-30.00%

-10.00%

10.00%

0

1,000

2,000

3,000FY11 vs FY10

Room +26%F&B +15%Others +12% -50.00%0

1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 FY10 FY11

• In 4Q11, EBITDA margin slightly dropped from 25.5% to 24.0% i il d fl di i I f l EBITDA

4Q10 4Q11 Chg

Others +12%

primarily due to flooding impact. In term of value, EBITDA slightly dropped around 5.7% yoy from Bt301mn to Bt284mn. The equity gain in 4Q11 was higher than last period by about Bt21mn.

In FY11 EBITDA margin improved significantly from 19 3% to

# of Available Rooms*

3,285 3,388 +103

FY10 FY11 Chg In FY11, EBITDA margin improved significantly from 19.3% to

26.2% mainly due to the rebound of CGCW (in particular for the first 9 months of 2011) from the riot in 2010, an increase in management fees of about Bt22mn, and increase in equity gain from JVs of approximately Bt83mn.

# of Available Rooms*

3,201 3,385 +184

Note:-* Owned and JV hotels in Thailand only (average no. of

d )


rooms per day)- additional rooms for 4Q11 and FY11 were mainly from from Centra Grand Beach Resort, Phuket (CPBR) , commencing operation in November 2010.

Hotel’s KPI by BrandHotel’s KPI by BrandHotel s KPI by BrandHotel s KPI by Brand4Q11• Occupancy Rate (OCC): Average OCC

i 4Q11 64 3% d 59 5% i

Occupancy by Category 4Q11 4Q10 % Chg 2011 2010 % Chg• Grand 61 2% 58 6% 2 6% 64 6% 57 5% 7 1% in 4Q11 was 64.3% compared to 59.5% in

4Q10. Key improvement were from hotelsin Krabi, HatYai and Phuket.

• Average Room Rate (ARR): the roomrate was fairly flat, 1.4% growth yoy, at

• Grand 61.2% 58.6% 2.6% 64.6% 57.5% 7.1%

• Centara 72.0% 61.4% 10.6% 62.1% 59.3% 2.8%

Average Occ 64.3% 59.5% 4.8% 63.9% 58.1% 5.8% rate was fairly flat, 1.4% growth yoy, atBt3,679mn as result of flooding impact.

• RevPar: growth 9.5% yoy, primarily drivenby growth in occupancy.Average Room Rate by Category

G d 4 284 4 228 1 3% 4 197 4 009 4 7% 2011• Occupancy Rate: increased 5.8% mainly

due to good performance in CentaraGrand Central World (CGCW), CentaraG d Ph k (CPBR) C G d

• Grand 4,284 4,228 1.3% 4,197 4,009 4.7%

• Centara 2,389 2,366 1.0% 2,328 2,174 7.1%

Average ARR 3,679 3,629 1.4% 3,663 3,409 7.4% Grand Phuket (CPBR), Centara GrandMirage (CMBR) and Centara Villas Phuket(CVP).

• Average Room Rate: increased by 7.4%yoy primarily from properties in Pattaya,

Average ARR 3,679 3,629 1.4% 3,663 3,409 7.4%

RevPar by Categoryy y p y p p y ,HatYai and Phuket.

• RevPar: growth significantly by 18.2% yoydue to improvement in both OCC andARR.

• Grand 2,621 2,479 5.8% 2,712 2,304 17.7%

• Centara 1,719 1,452 18.4% 1,447 1,290 12.2%

Average RevPar 2 364 2 159 9 5% 2 340 1 979 18 2%


Average RevPar 2,364 2,159 9.5% 2,340 1,979 18.2%

Hotel: Revenue Contribution by LocationHotel: Revenue Contribution by LocationHotel: Revenue Contribution by LocationHotel: Revenue Contribution by Location• In FY11, about 35% of revenue was from 2 properties in Bangkok, followed by 19% from Pattaya and 13% from

Phuket.• In comparison between quarters, contribution of revenue from Bangkok dropped significantly from about 39.3% in

4Q10 to 32.6% in 4Q11. Flooding impact to two main properties in Bangkok in 4Q11 resulting in the reduction inrevenue of about Bt70mn, together with the growth in revenue of CPBR resulted in the changes in contribution ofrevenue in those locations.

39.3%4Q10 4Q11

Samui

Mae Sot0.6%

32.6%Bangkok35.0%

Phuket13.0%

9.2%

2011FY11

13.2%

2 9%

9.2%

19.2%

6.7%8.7%

11.6%9 4%

19.7% 14.8%

Hua Hin11 3%Krabi

Pattaya19.4%

Bt4,667.9mn

2.9%0.8%

3.9%9.4%

7.4%0.6%

Bangkok Hua Hin Hat Yai Krabi Pattaya Phuket Samui Mae Sot

Note: Excluded other income and revenue from JVs

11.3%

Hat Yai3.5%

Krabi8.1%



Note: Excluded other income and revenue from JVs* Excluding 448 rooms from JVs (2 hotels in Phuket)


International tourist arrivals continue to grow International tourist arrivals continue to grow International tourist arrivals continue to grow International tourist arrivals continue to grow

4Q11: Total tourist arrivals slightly dropped by3 9% yoy to 4 4 million mainly due to flooding

Growth Oct 11 Nov 11 Dec 11

No. of international tourist arrivals

3.9% yoy to 4.4 million mainly due to floodingimpact in November.

2011: Total arrivals grew 20% yoy. Top 3 sourcesof growth were from Russia (57.4%), China(56.9%) and Hong Kong (32.1%).1.32 1.48

1.821.41

1 21

1.77

1.0

1.5

2.02010 2011

yoy +7.0% -17.9% -2.5%

Contribution: East Asia was a major sourcemarket, contributing about 54%, followed byEurope accounting for about 26%

2012: TAT estimates the total number ofinternational tourist arrivals to reach 21 million

1.21

0.0

0.5

1.0

October November December

21.061%39% 47% 54% 65% 50% 57% 56%

72% 48% 53% 60% 71% 58% 63% 64%

0 00%50.00%100.00%

20.00

25.00

international tourist arrivals to reach 21 million,growing about 10% from 2011.

s International Tourist Arrivals by Region

No. of international tourist arrivals and occupancy

19.1.039% 47% 50%

-150.00%-100.00%-50.00%0.00%

10.00

15.00

Mill

ion

Tour

ist

Negative Factors European Debt Problem Volcano Eruption in Iceland Thailand Political Unrest

Severe flood in Central

of Thailand

Americas

South Asia6%

Oceania5%

Middle East3%

Africa1%

4.7 2.9 3.8 4.6 5.4 4.4 4.7 4.4-250.00%-200.00%

-

5.00

1Q10

2Q10

3Q10

4Q10

1Q11

2Q11

3Q11

4Q11

2011

A

2012

E

M

East Asia54%Europe

26%

5%2 2

Tourist Arrivals Tourism OCC Centel OCC

CENTEL's Opportunity Day Presentation 4Q11 12Source: Bank of Thailand, Tourist Authority of Thailand

Centara’sCentara’s Feeder MarketFeeder MarketCentara sCentara s Feeder MarketFeeder Market The proportion of guests mixed is fairy consistent with the pattern of international tourist

arrivals over the past years.p y

The contribution from European guests decreased from 46% to 29% from 2008 to 2011.On the other hand, the contribution from Asian guests increased from 19% to 32%between 2008 and 2011.

In 2011, guests from Asia accounted for 32% of total room nights, followed by Europeanguests (29%) and domestic guests (18%).

Guest mixes by number of room night

15.6% 17.5% 20.5% 18.2%

6.0% 7.3% 7.4% 10.6%3.9% 3.7% 3.2% 2.7%8.5% 7.3% 6.1% 6.3%

70%80%90%

100%

Others

Africa

g

46 2%

19.4% 22.6% 27.1% 32.1%

30%40%50%60% Middle East

Australia

Thailand

N t B b f R Ni ht

46.2% 41.1% 35.1% 29.4%

0%10%20%

2008A 2009A 2010A 2011A

Asia

Europe


Note: By number of Room Nights Russia is included in AsiaOthers such as Latin America, USA, Canada, South America

Overview Key Destination Overview Key Destination Overview Key Destination Overview Key Destination • In January, a robust performance, bolstered by a large last minute demand after flooding fears

subsided.This was especially the case for the first half of the month.

Particularly strong with

Phuketand

Bangkok Samui was better than

SamuiContinues to perform

Pattaya

strong with all units

out-performing

plan.

better than past years but with more than 2000 new

to perform to prospect and attain strong demand th h t rooms

chasing similar airline seats,

throughout this quarter.

access continued to be the biggest challenge challenge and not client demand.


FOOD BUSINESSFOOD BUSINESS


Historical Food Market TrendHistorical Food Market TrendHistorical Food Market TrendHistorical Food Market Trend Over the last 5 years, Suki, Shabu, Chacoal grilled segment has contributed the largest share (over

20%) of food services revenue as presented below. In 2011 market size of key food chain segment was around Bt69 800mn Top 3 contributors were In 2011, market size of key food chain segment was around Bt69,800mn. Top 3 contributors were

Suki/ Shabu/ Chacoal grilled, Japanese restaurant and chicken, respectively accountingapproximately 61%.

80,000

Revenue by food market segment 2006-2011

40,000

60,000

Btm

n

0

20,000

B

0

2006A 2007A 2008A 2009A 2010A 2011E

Bakery Burger Premium Coffee Chicken Ice Cream Japanese restaurant Suki, Shabu, Chacoal grilled Pizza

Central Plaza Hotel Pcl. 16

Source : Euromonitor International Ltd. and Ministry of Commerce

Food: Financial Snapshot Food: Financial Snapshot 44QQ1111Food: Financial Snapshot Food: Financial Snapshot 44QQ1111In 4Q11, total revenue increased significantly by 23.9% yoy or Bt359.2mn to Bt1,859.2mn The growth of Thai economyand successful sales and marketing promotion were key contributors to such growth. Some of our highlights included:

Ootoya generated total revenue of 158mn, accounting for about 44% of incremental revenue in 4Q11;

KFC’s continue its strong performance with total revenue growth of 13% yoy or Bt115mn (accounting for 32% ofincremental revenue in 4Q11); and

Strong growth of Chabuton (CBT) with Bt31mn increase in revenue accounting for 9% of incremental revenue Strong growth of Chabuton (CBT) with Bt31mn increase in revenue, accounting for 9% of incremental revenue.

While total EBITDA increased by 13.7% yoy, EBITDA margin dropped from 17.0% to 15.6% primarily due to the set upcost for new brand “Yoshinoya” and one-time loss of ice-cream factory damaged from flood.

In 2011, total revenue increased by 23.7% to Bt6,551.0mn., while EBITDA margin maintained at 16% as result of costt l ffi i d t f i d b d d i 1H11

15 8% 17.5% 15 6% 17.0% 17.2% 17.3% 14 2% 15 6% 16 5% 16 4% 30.00%8,000

control efficiency and no extra expense from acquired new brand during1H11.

15.8% 17.5% 15.6% 17.0% 17.2% 17.3% 14.2% 15.6% 16.5% 16.4%

30 00%

-10.00%

10.00%

4,000

5,000

6,000

7,000

Totel Revenue EBITDA Margin (%)

Growth 4Q11 vs. 4Q10

Total Revenue 23.9%

-70.00%

-50.00%

-30.00%

0

1,000

2,000

3,000 FY11 vs. FY10Total Revenue 23.7%

1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 FY10 FY11


Note: Excluded depreciation allocated to cost

Food: Revenue by BrandsFood: Revenue by BrandsFood: Revenue by BrandsFood: Revenue by Brands

MDPL BP

RYU1%

FY11: Bt6,495.3mn4Q11 4Q10 %Chg

23%AA8%

PL2%

BP1%

CBT2%

CSC2%

1%TT

0.1%YO0.3%

Other4%

Bt1,842.3mn Bt1,479.4mn 24.5%

Note: Excluded other income

59.5%

21 3%

53.8%

KFC

4Q11 4Q10

KFC

Ottoya3%

4%

6.5%

8.9%

25.1%

16.8%

8.1%

21.3%

Others

Auntie Anne

Mister Donut

• For 4Q11, revenue (excluded other

KFC58%

income) of all brands increased significantly to Bt1,842.3mn.

• In terms of contributions, the three key brands KFC Mister Donut and Auntie 0 4%

0.4%

0.8%

8.5%

The Terrace

Yoshinoya

Ootoya

brands, KFC, Mister Donut and Auntie Anne, contributed about 83% and 89% of total revenue in 4Q11 and FY11, respectively.1.2%

0.8%

2.3%

0.5%

1.2%

2.3%

0.8%

0.4%

Beard Papa

Chabuton

Cold Stone

Ryu Shabu …


Note: Cold Stone included ice-cream factory

1.6% 2.4%Peper Lunch

Food Performance: Food Performance: 44QQ1111Food Performance: Food Performance: 44QQ11114Q11:• Same Store Sale (SSS) grew by about10.6%, with KFC, Auntie Anne’s and Pepper Lunch being the key

drivers of the growth at 13.1% ,30.9% and 13.3% respectively.• Total System Sale (TSS) rose by about 24.5%, largely due to the continuous growth of KFC together

with contribution from new brands, Yoshinoya , Ootoya and the new store opening of The Terrace byCRG. The growth in number of outlets also added to the sales of Chabuton and Pepper Lunch.g pp

Brand

SSS SSS TSS TSS SSS SSS TSS TSS

4Q11 4Q10 Chg 4Q11 4Q10 4Q11 4Q10 FY11 FY10 FY11 FY10

4Q11 /4Q10 revenue growth FY11/FY10 revenue growth # Outlets

4Q11 4Q10 Chg 4Q11 4Q10 4Q11 4Q10 FY11 FY10 FY11 FY10

KFC 168 160 8 13.1% 24.0% 12.6% 25.1% 18.3% 19.9% 18.3% 20.1%

Mister Donut 266 245 21 4.3% 17.9% 5.6% 25.8% 9.0% 3.4% 12.0% 11.1%

Auntie Anne 86 83 3 30.9% 15.0% 14.0% 14.8% 17.5% 13.3% 14.5% 19.1%

Pepper Lunch 13 7 6 13.3% 17.4% 80.7% 70.4% 6.2% 18.0% 70.8% 40.1%

Beard Papa 14 10 4 -25.8% 18.3% 17.3% 259.9% -35.9% N/A 38.6% 317.5%

Chabuton 7 2 5 -30.8% N/A 257.0% N/A N/A N/A 363.8% N/A

Cold Stone 8 4 4 N/A N/A -1.6% 30.5% N/A N/A 151.5% N/A

Ryu Shabu Shabu 1 1 0 -2.0% N/A -2.0% N/A N/A N/A 85.4% N/A

The Terrace 2 0 0 N/A N/A 0.0% N/A N/A N/A N/A N/A

Yoshinoya 3 0 3 N/A N/A 0.0% N/A N/A N/A N/A N/A

Ootoya 35 0 35 N/A N/A 0.0% N/A N/A N/A N/A N/A

Total 603 512 91 10.6% 21.7% 24.5% 27.9% 14.8% 14.5% 23.7% 15.4%


Note: Cold Stone excluded Factory

44QQ1111: Organic Growth : Organic Growth vsvs Total GrowthTotal Growth44QQ1111: Organic Growth : Organic Growth vsvs Total GrowthTotal Growth

KFC, Mister Donut, Auntie Anne’s, Pepper Lunch and Beard Papa were the key growth drivers.KFC, Mister Donut, Auntie Anne s, Pepper Lunch and Beard Papa were the key growth drivers.

In 4Q11, sale from the above brands increased by Bt171.9mn or about 47% of totalincremental sale. While in FY11, the sales of the above brands rose by Bt881.5mn or about71% of total incremental sale.

4Q11 FY11

Organic All Brands Organic All Brands

Incremental Sale (Btmn) 171.9 363.2 881.5 1,245.4

Sale Growth (% yoy) 12.1% 24.5% 17.3% 23.7%

Note: Organic included KFC, Mister Donut , Auntie Anne’s, Pepper Lunch and Beard PapaAll brands included Chabuton, Cold Stone, Ryu Shabu Shabu, Yoshinoya and Ootoya


Food Portfolios: Food Portfolios: 603 603 outlets*, of which, outlets*, of which, 5959% are in Bangkok% are in Bangkok

Light food • 5 brands with 374 outlets,

accounting for 62% of total outlets.

g• International fried

chicken

KFC

• Japanese Food : Quick service steak

Pepper Lunch

• Japanese Food : Premium Ramen

Chabuton

• Thai Food (In-house brand) : casual dining

The Terrace

• Revenue of Bt2,216mn, accounting for 34% of the total food revenue of 2011.

• Japanese food (In-house brand):

• Buffet shabu shabu

Ryu Shabu

• Japanese Food: Rice bowl • Japanese Food: Home made style

Heavy food

Ryu ShabuShabu Yoshinoya Ootoya

• 7 brands with 229 outlets, accounting for 38% of total outlets.

• International donut brand

Mister Donut

• Premium soft pretzel

Auntie Anne’s

• Premium cream puffs

Beard Papa’s

• Premium mix-in ice cream

Cold Stone

y

• Revenue of Bt4,335mn, accounting for 66% of the total food revenue of 2011 (Bt6,551mn)

• Premium donut from Japan

Café’


Andonand

* as at 31 Dec 2011

QSR’s HighlightsQSR’s HighlightsQSRs HighlightsQSRs Highlights

28 New Store Open in Q4/11 28 New Store Open in Q4/11Number of New Store

KFC 6Beard P 3

Cold Stone Creamery, 1

KFC

Pepper Lunch

Ch bKFC, 6

Pepper Lunch 2

Auntie Anne's, 3

Papa, 3 Chabuton

The Terrace

YoshinoyaPepper Lunch, 2Chabuton, 2

Mister Donut, 9

y

Ootoya

Mister Donut

The Terrace, 2

Yoshinoya, 2

Auntie Anne's

Beard Papa

CENTEL's Opportunity Day Presentation 4Q1122

Ootoya, 2 Cold Stone Creamery

22

SUMMARY OF SUMMARY OF SUMMARY OF SUMMARY OF OUTSTANDING DEBTOUTSTANDING DEBT


Centra Taum Seminyak Bali

Debt Structure: Debt Structure: 44QQ1111O/D, 78.9, 1%Current PPF , 62, 1%

Debt Structure: Debt Structure: 44QQ1111

S/T Loan, 1650, 17%

Debenture, 3200, 32%Current Debenture,

1600, 16%

PPF 2, 93, 1%Long Term Loan , 2718, 28%

Current L/T Loan, 408, 4%

Centel’s Ratio Q4/11 (Q3/11)

Gearing Ratio = 1.62X (1.65X)

Total = 9,809.9 MB, Average cost of debt = 4.54%

S‐T LOANS (39.2%) = 3,848.7 MB L‐T LOANS (60.8%) = 5,961.2 MB

FIXED RATE LOAN (40 1%) 3 935 0 MB FLOAT RATE LOAN (59 9%) = 5 874 9 MBFIXED‐RATE LOAN (40.1%) = 3,935.0 MB FLOAT‐RATE LOAN (59.9%) = 5,874.9 MB


Note: Excluded interest bearing debt of JVs

MEDIUM TERM OUTLOOKMEDIUM TERM OUTLOOK

Centara Grand Beach Resort, Phuket


Outlook Outlook 2012 2012 Performance :Performance :

Hotel Business - key drivers:

◦ Centara Grand Central LadpraoHotel 2011 2012E◦ Centara Grand Central Ladprao

Bangkok: 2012 will be its 1st full year ofoperation after renovation period during2009-2011.

OCC (%) 63.9% 66% ‐ 68%

ARR (Bt) 3 663Growth

◦ Centara Grand at Central World:Expecting the rebound from the politicaland flooding impact in 2010 and 2011,respectively. Additionally, recovery MICE

ARR (Bt) 3,6633% ‐ 4%

Revenue (Btmn) 4,667.9Growth 15% ‐20%

market will the key factor to boost upperformance.

◦ Continuous growth of existing hotelsespecially Centara Grand Mirage Pattaya

Food 2011 2012Eespecially Centara Grand Mirage Pattayaand Centara Grand Phuket.

Food Business - key drivers:

SSS (%) 14.8% 6% ‐ 8%

No of Outlets 603 655

◦ New brands: Ootoya and Yoshinoya, willbe the 1st full year operations.

◦ Continuous growth of existing brandsespecially from KFC MD and CBT

Revenue (Btmn) 6,495.3Growth

25% ‐ 27%

N t R l d d th i d f JV


especially from KFC , MD and CBT.Note: Revenue excluded other income and revenue from JVs

CENTEL’s Growth Contribution CENTEL’s Growth Contribution 20122012CENTELs Growth Contribution CENTELs Growth Contribution 20122012Hotel Business: Bangkok will be a key destination to drive revenue growth in year 2012, accountingfor about 50% of incremental revenue While Pattaya is expected continue its robust performancefor about 50% of incremental revenue. While Pattaya is expected continue its robust performancecontributed for approx 13% of incremental revenue.

Food Business: Ootoya and KFC will be the key growth contributors in 2012 accounting around 60%of incremental revenue

Hotel Business* Food Business**

of incremental revenue.

Revenue Incremental Contribution

6,495

Revenue Incremental Contribution

4,668

2011

A

Bang

kok

Hua

Hin

Hat

Yai

Kra

bi

Patt

aya

Phuk

et

Sam

ui

Tak

2012

E

Note: * Excluding other income and revenue from JVs20

11A

KFC MD AA PL BP

CBT

CSC

RY

U TT

Yos

hino

ya

Oot

oya

2012

E

Note:


Note: Excluding other income and revenue from JVs Note: -** Excluding other income- Ryu will be temporary closed in Jun – Dec 2012

Business by SegmentBusiness by SegmentBusiness by SegmentBusiness by Segment Ootoya is expected to contribute a significant growth in food business in 2012. Assuming no new

development for hotel project the proportion of revenue between hotel and food will be arounddevelopment for hotel project, the proportion of revenue between hotel and food will be around36:64 in 2016.

With the strategy of focusing on asset light, more hotels under management will be added. Withthe high margin on management fees, the proportion of NPAT between hotel and food is expected

b b 51 49

Revenue* by Segment

to be about 51:49.

Hotel Food

64%

58%60% 61%

62% 63% 64%

2011A 2012E 2013E 2014E 2015E 2016E

42% 40% 39% 38% 37% 36%


2011A 2012E 2013E 2014E 2015E 2016E

Note: *Revenue exclude other income and revenue from JVs

Hotel in PipelineHotel in PipelineHotel in PipelineHotel in Pipeline Total 25 hotels with 4,951 rooms are in pipeline, scheduled to open between 2012 – 2014.

12 hotels are in Thailand and 13 hotels are in overseas.

JVs ManagedOverseas Thailand Overseas

Maldives Bangkok Trat HuaHin Khonkaen Pattaya Phuket Bali India Mauritius Srilanka Vietnam China

o 240 rmso 120

o 350 rms

o 82 rms

o 85 rms o 196 rms o 125 rms

rms

o 140 rms o 281 rms o157rms

o156 rms

o 196 rms o 364rms

o 98 rms o 166 rmso 125 rmso 226 rmsrms

o 204 rmso 150 rms

o 106 rms

o 182 rms

o 30 rms

o 146 rms

o 85 rms o 530 rms

29

Note: red letters = open in 2012, blue letters = open in 2013, green letters = open in 2014as of March 5, 2012

CENTEL's Opportunity Day Presentation 4Q11

Outlet Expansion PlanOutlet Expansion PlanOutlet Expansion PlanOutlet Expansion Plan Including Ootoya (35 outlets), total no. of outlets at the end of 2011 was 603. 52 outlets will be added in 2012 On average the target expansion plan is approximately 50 52 outlets will be added in 2012. On average, the target expansion plan is approximately 50

outlets and 1 new brand per year. Over 800 outlets are expected by 2015.

Heavy Food Outlets Expansion

Heavy Food Light Food

62

33

30 24 24 24 24

Light Food22 27 26 26 26

2011A 2012E 2013E 2014E 2015E 2016E

No. of outlets 603 655 706 756 806 856


CENTEL’s CAPEX CENTEL’s CAPEX vsvs EBITDAEBITDACENTELs CAPEX CENTELs CAPEX vsvs EBITDAEBITDA In 2011, total CAPEX for annual renovation, food outlet expansion, acquisition Ootoya and

investment new JVs in Maldives was about Bt2,230mn. The new opportunity is under feasibilitystudy, and if feasible, investment is targeted to be made during 2014-2016. The target source offunds would be mainly from cash flow from operation.

5,000 5,000

CAPEX New Opportunity EBITDA

3,000

4,000

3,000

4,000

2,000

3,000

2,000

3,000

-

1,000

-

1,000

CENTEL's Presentation 31

2011A 2012F 2013F 2014F 2015F 2016F

Target Ending Balance of Interest Bearing DebtTarget Ending Balance of Interest Bearing DebtTarget Ending Balance of Interest Bearing DebtTarget Ending Balance of Interest Bearing Debt

• Under assumption of no investment in owned hotel after Centara Grand Phuket (CPBR) in 2010.C ’ 20 4

O/D, P/N, B/E Debenture Long Term Loan Gearing Ratio

CENTEL’s gearing ratio is expected to decrease gradually to be less than 1X in year 2014.

1.621.33

1.110 96

1.50

2.00

10,000

12,000

1.110.96

0.81 0.69

0.50

1.00

6,000

8,000

-0.50

-

2,000

4,000

-1.00 -

2011A 2012E 2013E 2014E 2015E 2016E

32

Note: Gearing Ratio = Interest Bearing Debt/ Equity

CENTEL's Presentation

CENTEL’s MilestoneCENTEL’s MilestoneCENTELs MilestoneCENTELs Milestone

05 11

Hotel 31 hotels 6F

200

Hotel 7 hotels (only 1 managed hotel)

201 (owned & JVs = 14 +

managed = 17)

H t l i Th il d 27

2016 Hotel 87 hotels

(Owned & JVs = 17 + managed = 70)

QSR 5 Brands Hotel in Thailand 27 hotels, Overseas 4 hotels

Hotel in Thailand = 54 hotels, Overseas = 33 hotels

QSR 12 brands, 603 outlets QSR 16 brands, > 800

outlets


Shareholder StructureShareholder StructureShareholder StructureShareholder Structure

On 8 March 2012, Thailand Equity Fund diverted 9.04%, 122.0 mn shares, in CENTEL to local d f i i and foreign investors

Foreigner8 23%8.23%

Free F i Free Folat

19.54% Chirativat Family39.62%

Foreign Funds25.15%

122.0mn Shares

Thailand Equity Fund9.04%Chirathivat

F il

Local Funds27 04%

Private Clients8 19%

Divested to

Shares

Family63.19%

27.04%8.19%

A f D b 2011


As of December 2011

THANK YOUTHANK YOU


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