101 booklet nov17 131117 revised1 - singapore press...
TRANSCRIPT
Introduction to Introduction to Singapore Press Holdings Singapore Press Holdings
Introduction to Introduction to Singapore Press Holdings Singapore Press Holdings
1
23 May 07
Frequently Asked QuestionsFrequently Asked QuestionsReference slide no.
1. Why is SPH dominant in the Singapore media industry? 3 – 4
2. Newspaper circulation is falling globally. What is SPH doing about declining circulation?
5 – 6
3. Is SPH’s newspaper business affected by digital and other media?
7 – 8
4. How has SPH’s newspaper ad revenue been performing? 9
2
5. What are the growth areas of the Group? Will SPH expand overseas?
10 – 18
6. What is the Group’s property strategy? 19 – 20
7. Why nursing homes? 21 – 22
8. What are the objectives and returns of the Treasury and Investment business?
23 – 24
9. What is SPH’s operating margin and is it sustainable? 25
10. What is SPH’s dividend policy? 26
A Leading Media Organisation
MediaDominant Newspaper publisher in
Singapore
Leading digital news content provider
3
Leading digital news content provider in Singapore
Top Magazine publisher in Singapore & Malaysia
Digital Classified
Singapore’s leading e-
marketplaces for cars and property
Property-SPH REIT
-The Seletar Mall
Others-Media Fund
- E-Commerce
-Education
- Healthcare
Exhibitions & Events
Consumer, trade conference events
Treasury & Investment
Investible funds exceed $1b
Dominant Newspaper Publisher in SingaporeDominant Newspaper Publisher in Singapore
SPH publishes all 17licensed newspapers
in Singapore
SPH has a spectrum of products including the English flagship daily, The Straits Times (since 1845), and the Chinese daily, Lianhe Zaobao (since 1926)
4
In Singapore, newspapers has the highest share of the
media ad market
On an average day, 2.4 million* people or 56 per
cent of those above 15 years old, read one of SPH's news
publications in print or digitally
Source: Nielsen Media Index 2017, Monday-Sunday, read any SPH newspapers in print or digital format
We continue to invest in new initiatives catering to readers’ and advertisers’ needs
Constant refreshing of our products including The Straits Times, Lianhe Zaobao, Lianhe Wanbao, TheNew Paper and Berita Harian/Minggu. Notable examples include revamp of Zaobao and Straits Times inJuly 2016 and July 2015 respectively
Launch of tablet and mobile phone versions (iPad, iPhone and Android) for The Straits Times, TheBusiness Times, Berita Harian, Lianhe Zaobao, Lianhe Wanbao and Shin Min Daily News
Extending international reach of flagship through digital subscription
The Straits Times is Singapore’s #1 mobile news app
Maintaining Maintaining high readershiphigh readership
Zaobao and Asiaone also rank amongst the most popular news apps in Singapore
Invested in capabilities such as digital, data analytics, and content marketing to meet evolving needs ofreaders and advertisers
5Source: Nielson Media Research, Media Index
SPH newspapers maintain popularity and high readership
despite challenging environment
Maintaining high Maintaining high readership (Cont'd)readership (Cont'd)
News & Infotainment
SPH is committed to developing innovative new media platforms that synergise with our traditional media offerings
www.asiaone.comwww.businesstimes.com.sgwww.straitstimes.com
6
AppsSocial Networking
www.beritaharian.sgwww.tnp.sg www.tamilmurasu.com.sgwww.zaobao.sg
www.stirr.sg
www.kiss92.sg
www.sgsme.sg
www.onefm.sg
In Singapore, newspapers have more than 40% of the media ad market.Digital media has seen rapid growth in recent times.
SPH has transformed its print and digital media strategy over the years
Locals frequently visit international websites, which makes online advertising very long tail
Effectiveness of our print and digital products reaches more than 2.4 million individuals daily
Print Print vsvs digital media digital media in Singaporein Singapore
individuals daily
Our Integrated Marketing Division (IMD) that provides advertisers with a more effective and multi-platform reach to their audiences.
We are improving our regional reach and flagship products beyond Singapore through digital subscriptions
7
Daily Average Newspapers CirculationAugust 2017
Majority of digital subscribers also subscribe for print
88
1 With effect from 1 March 2016, all subscriptions to our All-in-One packages are counted as the sale of one print copy and one digital copy. Prior to 1 March 2016, such subscriptionswere counted as the sale of one print copy and three digital copies, in line with Audit Bureau of Circulation’s (ABC) rules. With the implementation of new cover prices of our newspapersand All-in-One packages on 1 March 2016, we have had to change the basis of our circulation count and have obtained ABC’s endorsement for the new method. For comparativepurposes, copy sales for Aug-15 had been restated accordingly.
Advertising market remained weak
-10.0%
-5.0%
0.0%
5.0%Newspaper Ad Revenue Y-O-Y Change (%)
9
-16.0%
-19.3%
-21.5%
-18.0%-18.6%
-12.5%
-16.6%
-21.6%
-20.2%
-17.9%
-15.0%
-18.5%
-21.5%
-18.7% -18.4%
-25.0%
-20.0%
-15.0%
1Q 2017 2Q 2017 3Q 2017 4Q 2017 FY2017
Display Classified* Newspaper Ad
* Classified includes Recruitment and Notices
Property Events andExhibitions
Magazines Aged CareMagazines
M1
MindChamps
Regional Online
Classifieds
Classifieds
SPH Ventures
10
Magazines
11
Singapore
Men's NetworkMen’s Health
HWMTorque
Luxury CircleThe Peak
The Peak Selections: Gourmet & Travel
ICONICON Moments
Magazines 83 Brands, 30 Websites, 109 Digital Editions across 9
countries
MalaysiaEH!
Female
GLAM
GLAM Deko
GLAM Lelaki
Golf Digest
Her World
Her World Cookbook
Home & Décor
HWM
ICON
IndonesiaFemale
Female Brides
Her World
Her World Brides
HWM
The Peak
Home & Décor
CLEO
Luxury Properties
China & Hong Kong
Women'sNetwork
FemaleHer World
Her World BridesHer World Brides LUXE
NuyouShapeCLEO
The Singapore Women's
Focus Publishing
U-Weekly (UW)Health No. 1
Wellness No.1Yummy Guide
AMK town councilEDB
OnenessPetir
iGombakYuhua
ICON MomentsLuxury Insider
Marie Claire
Nuyou
Shape
The PeakThe Peak Selections:
Timepieces
YTL LifeThe Malaysian Women's
Weekly
CLEO
Harper's BAZAAR
Citta Bella
Cosmopolitan
KongAction Asia
AsiaSpa
Asia-Pacific Boating
China Boating
JET Asia-Pacific
The PeakThailandHer World
VietnamHer World
IndiaAsiaSpa
TurkeyAsiaSpa
Custom Content Solutions
NSMANSavour
SilverKrisSingapore Health
Singapore NautilusWinning PostFraser Cachet
Singapore MagazineFrontline
The Singapore Women's Weekly
Harper's BazaarThe Finder
Home & DecorYoung Parents
Young Parents Pre-school Guide
YuhuaNortheast CDC
PhilippinesHWM
12
Singapore’s leading e-marketplace for cars
13
sgCarMart is the number one carclassified site in Singapore thatoffers car listings, car auctionsand valuations, and a car forum.
It achieved page views of morethan 50 million and 1 millionunique visitors.
14
• Top car classifieds site in Singapore
• Profitable• >50m monthly page views
and 1m unique visitors
• Another popular car classifieds site in Singapore
Singapore’s leading e-marketplace for property
Streetsine offers real time, relevant, and proprietary information and other services for efficiently transacting real estate in Singapore.
It has established strategic partnerships with major real estate agencies in Singapore and sees more than 200,000 listing searches monthly.
15
SRX is the authoritative source for Singapore real estate
16
Events and ExhibitionsEvents and Exhibitions
Since 2008, Sphere expanded rapidly to become a regional leader in events and exhibitions
Our portfolio of more than 30 shows spans across a
variety of themes (consumer, trade and conferences)
wide spectrum of sectors (Baby & Kids, Gourmet & Festivals, Food, Manufacturing and Technology)
17
Expanding regional presence in Malaysia, Myanmar, Indonesia and Thailand, through acquisition and strategic partnerships by bringing homegrown shows to the region.
000
Events and ExhibitionsEvents and Exhibitions
Consumer
• Baby & Kids• Tertiary Education• Events
Management• Food & Beverage• Festival• Gourmet
Trade
• Building Technology• Manufacturing
Solutions• Facilities
Management• Franchising &
Licensing• Gifts & Stationery
Conference
• Banking & Finance• Hospitality
Investment• Civil Aviation• Conference Services
18
• Gourmet• Technology• Roadshows
• Office Equipment• Food & Beverage• Printing, Packaging
& Signage
Build on track record of Paragon in the retail mall sector
Buy and hold attractive infrastructure in Singapore
Property yields and capital appreciation to boost Group’s total
Property strategyProperty strategy
19
Property yields and capital appreciation to boost Group’s total returns
Property projects are opportunistic
Property PortfolioProperty Portfolio
• Net Property Income (NPI) grew 4.9% to S$188.3m.
• All 3 malls continue to provide recurrent income stream.
• Market value for Paragon (freehold), The Clementi Mall and The Seletar Mall at S$2.85b, S$583m and S$490m respectively.
ParagonParagon The Clementi The Clementi MallMall The Seletar The Seletar MallMall
20
Changi120 bedsRetrofitted
Marsiling234 bedsPurpose Built
Top 3 nursing home operator (1)
in Singapore
5 homes with 900 beds (not
including Balestier)
600+ beds located in
optimally sized purpose built
facilities located on 30-year
Orange Valley at a Glance
Simei242 bedsPurpose Built
Clementi267 bedsPurpose Built
Sims46 bedsRetrofitted
leasehold properties
Remaining av. bed tenure >
15 years
Average occupancy of 90%
Only private nursing home fully
run by professional managers
Vertically integrated operations
Employs c.460 people
Balestier116 bedsA&A
(1) By # of beds
21
Enterprise 50 Award
ISO 9001-certified since 2002Successful re-certification of ISO:9001 (Quality Management System) and conversion to 2015 Standard
Singapore Health Quality Service AwardGarnered 8 silver awards in 2016; 23 silver awards in 2017
Intermediate and Long-Term (ILTC) Excellence Awards 2016
Orange Valley has Won a Range of Awards/Certifications in Recognition of its Clinical and Service Quality and
Innovations
22 22
Ranked 4th and 8th in 2015 and 2016
Singapore 1000 AwardPresented with the Singapore 1000 Award in 2016 which recognises the most outstanding business performances in the country
Excellence Awards 2016Awarded “Team Award (Merit) for Clinical Quality Improvement” for the Kampong Project at Sims Avenue.
Group investible fundGroup investible fund
38.5%19.3%
Group Investible Fund(S$1.1b)
• Conservative stance maintained on investment allocation, focused on capital preservation
23
4.6%37.6%
Equities Bonds
Investment Funds Cash and deposits
(As at August 31, 2017)
• Returns are expected to be commensurate with low risk-return profile to mitigate against volatility
Period in years^
Portfolio Investment PerformancePortfolio Investment Performance
4.3%annualised return since
inception
6.5
5.5
1
5
^ As at August 31, 2017
24
Good Operating MarginsGood Operating Margins
25%
30%
35%
40%
45%
250
300
350
400
450
S$'m Recurring Earnings and Operating Margin
25
0%
5%
10%
15%
20%
0
50
100
150
200
FY2013 FY2014 FY2015 FY2016 FY2017
Operating Profit^ Operating Margin^
^ Excluding impairment charges on goodwill and intangibles, and property, plant and equipment
96.2%
107.8%102.1%
109.1%
145.7%
100.0%
120.0%
140.0%
160.0%
20
25
30
(cents)
Dividend Track Record
22 21 2018 15
20.0%
40.0%
60.0%
80.0%
10
15
20
2013^ 2014 2015 2016 2017
Interim & Final Div (LHS) Div Payout Ratio* (RHS)
* Computed based on Group recurring earnings net of non-controlling interests of the Property segment^ Excludes special dividend of 18 cents paid pursuant to the establishment of SPH REIT
2626
Thank you
Please visit www.sph.com.sg
for more information.