Singapore Press Holdings

Transcription

1 Singapore Press Holdings 1H FY2009 Financial Results 13 April 2009

2 Group Financial Highlights - 1H FY09 1H FY 2009 S$ 000 1H FY 2008 S$ 000 Change Operating Revenue 627, , % Operating Profit # 221, , % Investment (Loss)/Income (33,781) 14,988 NM Net Profit 160, , % # Recurring earnings of the media and property business, including profits from Sky@eleven development NM: Not meaningful 2

3 Group Financial Highlights - 1H FY09 Group Operating Revenue 2.8% growth to S$627.4m The Group s Newspaper and Magazine s segment, impacted by weakening economic conditions, declined 8.8% to S$454.0m Print advertisement revenue fell 12.7% to $334.1m Property segment rose by S$55.4m (or 56.6%), contributed by both Sky@eleven and Paragon Dividends Interim dividend of 7 cents per share 3

4 Newspaper Advertising Revenue Y-O-Y Growth % 20.0% -21.3% fall in classified revenue 15.0% 10.0% 5.0% 3.6% 5.1% 4.2% 8.4% 1.7% 6.9% 6.0% 6.5% 0.0% -5.0% -10.0% -15.0% -20.0% -25.0% -30.0% -4.0% -6.8% -9.3% -9.6% -14.3% -17.0% -16.0% -20.1% -21.3% -26.1% 3QFY08 4QFY08 FY08 1QFY09 2QFY09 HYFY09 Display Classified* Total * Classified includes Recruitment and Notices 4

5 Circulation Copies Y-O-Y Growth % 20.0% Increase in revenue due to cover price increase 15.0% 10.0% 6.9% 8.1% 5.0% 2.0% 0.0% -5.0% -1.8% -1.3% -0.8% -1.5% -10.0% -15.0% -20.0% -10.3% -14.1% The Straits Times The Sunday Times The Business Times The New Paper Lianhe Zaobao Lianhe Wanbao Shin Min Daily News Berita Harian Tamil Murasu 5

6 Staff Costs - 1H FY09 Reducing staff costs Staff costs decreased S$12.6m (-7.9%) due to lower variable bonus provision More than offset increase in salaries from the expansion of new media and magazines M&A Salary cut of 2% to 10% effective Apr

7 Management Measures during 1H FY09 Advertising rate adjustment Sep 08 Newspaper cover price adjustment Oct 08 Pagination control Sep 08 Pay freeze for senior management Dec 08 Slowed down hiring Dec 08 Pay cuts for 3,000 staff from Apr 2009 Mar 09 Estimated 20% reduction in wage bill for newspaper business 7

8 Average Newsprint Charge-out Price & Monthly Consumption , ,825 11, , ,592 11, ,192 10, , QFY08 4QFY08 1QFY09 2QFY09 8,000 LHS - Prices (US$) RHS - Ave Mthly Consumption (MT) 8

9 Newsprint Outlook Hong Kong newsprint price is trending down to US$550 per tonne Charge-out for FY09 is expected to be below US$800 per tonne US$ per tonne Newsprint Price* SOURCE: RISI 9 * Based on Hong Kong (48.8 gsm) pricing, which is a benchmark indicator for Asia.

10 Property Project on track for TOP in 2010 S$300.6m of revenue recognised to-date < 1% of resale units below launch price 10

11 Property Paragon Rental income increased by S$4.0m in 1H FY09 S$82m facade enhancement completed in Mar 09, adding 40,000 sq ft of space The contemporary and elegant-looking facade further enhanced Paragon s positioning as a premium shopping mall 98% occupancy 11

12 New Media Initiatives 701 Panduan Online directory services in Malaysia Beta launch in Feb 09 AyosDito Online classifieds in The Philippines Beta launch in Feb

13 Achievements in New Media SPH websites continue to earn top spots and grow Top spots in Hitwise Rankings for 4 th quarter of 2008 ST.com s pageviews grew 24.4% month-on-month while unique visitors jumped 48% in Mar 09* AsiaOne and STOMP also recorded all-time highs in both pageviews and unique visitors* Ranked No. 1 # Zaobao.com Health asiaone.com ST701.com AsiaOne Soshiok.com Forums.hardwarezone. com.sg Hardwarezone.com Categories New and Media (Print) Health and Medical Shopping and Classifieds (Classifieds) Food and Beverage (Lifestyle and Reference) Computers and Internet (Hardware), Computers and Internet (Social Networking and Forums) News and Media (IT Media) 13 * Source: NIELSEN Site Census for March 2009 # Based on Hitwise Rankings for 4 th quarter of 2008 (Oct to Dec 2008)

14 Investible Funds - 1H FY09 Investment portfolio recorded a net loss of S$33.8m mainly from externally managed funds Decrease in investible funds from 1Q FY09 was due to distribution of dividends in Dec % Group Investible Fund ($0.9b) 30.6% 12.5% 20.0% Equities Bonds Investment Funds Cash and deposits 14

15 Recurring Earnings # and Operating Margin Margin dipped with recession and new media investments H FY05*^ 1H FY06* 1H FY07* 1H FY08 1H FY % 38.0% 36.0% 34.0% 32.0% 30.0% 28.0% 26.0% 24.0% 22.0% Profit before investment income (S$'m) Operating Margin Operating Margin excluding Sky@eleven # Profit before Investment Income ^ Restated to take into account the retrospective adjustments relating to FRS102 Share-based Payment in FY2006 * Restated to take into account the retrospective adjustments relating to FRS40 Investment Property 15

16 16 THANK YOU