bls thailand corporate day

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BLS Thailand Corporate Day8 January 2021

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The information (“Confidential Information”) contained in this presentation is strictly confidential and is provided by Noble Development Public Company Limited (the “Company”) to you solely for your reference. Such information is subject to change without notice, its accuracy is not guaranteed and it may not contain all material information regarding the Company. None of the Company, or any of their respective members, directors, officers, employees or affiliates nor any other person accepts any liability (in negligence, or otherwise) whatsoever for any loss howsoever arising from any use of this presentation or its contents or otherwise arising in connection therewith. By using this presentation, you are agreeing to be bound by the below.

The information in this presentation has not been independently verified. No representation, warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information and opinions in this presentation. It is not the intention to provide, and you may not rely on these materials as providing a complete or comprehensive analysis of the Company or trading position or prospects. The information and opinions contained in these materials are provided as at the date of this presentation and are subject to change without notice. Nothing contained herein or therein is, or shall be relied upon as, a promise or representation, whether as to the past or the future and no reliance, in whole or in part, should be placed on the fairness, accuracy, completeness or correctness of the information contained herein.

This presentation is for information purposes only and does not constitute or form part of any offer or invitation for sale or subscription of or solicitation or invitation of any offer to or recommendation to buy or subscribe for any securities, nor shall it or any part of it form the basis of or be relied on in connection with any contract, commitment or investment decision in relation thereto in Thailand, United States or any other jurisdiction. Any such purchase should be made solely on the basis of the information contained in the announcements to the Stock Exchange of Thailand relating to such securities. No reliance may be placed for any purposes whatsoever on the information set forth in this presentation or on its completeness.

This presentation contains projections and forward‐looking statements that reflect the Company's current views with respect to future events and financial performance. These views are based on a number of estimates and current assumptions which are subject to business, economic and competitive uncertainties and contingencies as well as various risks and these may change over time and in many cases are outside the control of the Company. No assurance can be given that future events will occur, that projections will be achieved, or that the Company's assumptions are correct. The actual results, financial condition, performance or achievements of the Company may differ materially from those forecasted and projected. All forward-looking statement are subject to change and should not be relied upon.

Disclaimer

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Total of 65 Residential Projects

Total of 18 active projects , Inventories approximately 29,000 THB mm

worth more than 149,800 THB mm

Total of11new projects worth more than 45,100 THB mm

Forward Looking 2021

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2020 Achievements

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02

01

04

05

06 08

07 09

10

5

Agenda

1 New Noble - at a glance

Corporate Strategy

News Alert

Operation Performance for 2020

Financial Performance for 3Q’20

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3

4

5

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Key Achievements in 2020

KEY ACHIEVEMENTS IN 2020 KEY RESULTS IN 20201) Total Pre-Sales 2020 stands at THB 6,602

mm

2) Successful Inventory Sale - YTD worthsTHB 3,290 mm - mainly thanks to the series of more aggressive sale campaign from early June till now worth THB 1,600 mm

3) Launch 5 new Projects worth THB 10 billion mainly from Nue Noble Ngmawongwanm Nue Noble Ratchada-Lat Phrao, Nue Noble Fai Chai Wang Lang

Total Revenue

Pre-Sales Backlog Inventory

ROE

TBD TBD

6,602THB mm

12,785THB mm

12,883THB mm

Net Profit

TBD

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New Projects in 2021

High Rise 4 Projects : 25,000 THB mm

Low Rise 7 Projects : 20,100 THB mm

11Projects

Project Value

45,100THB mm

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Target Deliverables

+142% 16,000THB mm

6,602THB mm

Target Growth of Pre-Sales

2020 2021F

Low Rise 34%

High Rise

10%Low Rise

High Rise

50%22%

FORWARD-LOOKING 2020 BEYOND 2021

NOBLE

VS

NUE

High Rise

VS

Low Rise

Remark: low rise consists of horizontal project,8-storey condominium project, and land plot

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2022F

Target Growth of Total Revenue

2020LV 2021F 2023F

10,000++THB mm

11,000THB mm

+10%

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Agenda

New Noble - at a glance

Corporate Strategy

News Alert



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4

2

1

5

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Inventory Concentration by ValueINVENTORY DISTRIBUTION

0.8%

6.4%

41.8%40.2%

10.8%8.6%

6.4%

40.1%

36.1%

8.9%

16.5%20.1%

47.0%

16.3%

0.0%

< 3 THB mm. 3-5 THB mm. 5-10 THB mm 10-20 THB mm > 20 THB mm

2018

2019

2020E

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We plan to develop three separate brands to broaden the Company’s appeal beyond Noble’s traditional customer set.

Developing Brand Pyramid

• ”NUE” brand to develop into Greater Bangkok alongside rail infrastructure expansion

• Establish JVs to get access to strategic land plots

• Develop JV with international developers to target customers with different value proposition

• 2019: JV with Hongkong Land

• Traditional “Noble” brand to continue to address the mid-to-high end segmentHigh End

Mass Market

x

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Rank 2016 2017 2018 2019 2020

1 United States United States Thailand Thailand Thailand

2 Australia Australia Canada United States Australia

3 Canada Thailand Australia Australia Japan

4 United Kingdom Canada United States Canada United States

5 New Zealand United Kingdom United Kingdom New Zealand Canada

6 Thailand New Zealand Malaysia United Kingdom Malaysia

7 Japan Germany Greece Vietnam United Kingdom

8 Germany Japan Japan Malaysia UAE

9 Spain Malaysia New Zealand Japan Vietnam

10 Singapore Spain Singapore Philippines Philippines

Source: Juwai IQ Data

Despite a difficult year globally, Thailand is still the top performing market for property purchases by overseas investors

Overview of Overseas Market 2020

Top Investment Destinations for Chinese Investors

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Noble has emerged as the clear market leader amongst developers in the overseas segment.

Among our competitors, Noble’s conversion rate and drop rate outperform the rest of the market by an order of magnitude margin.

Overseas Market KPIs: Noble Development vs Market

Market Average Noble

Development

Physical Visit in 2020

Total Groups/ Individuals Visited in 2020

Drop Rate

246 groups

29.2%

285 groups

1,824 Groups3,826 Individuals

9.5%

Conversion Rate 4.2% 13.7%

Online Visit in 2020 1,572 groups 1,539 groups

1,818 Groups3,982 Individuals

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F

E

D

C

Noble

B

A

Less Positive

More Positive

Lower Recognition

Higher Recognition

Noble Development’s brand recognition ranks third in the overseas market, and has the highest positive brand perception among Thai developers

Noble Brand Recognition in Overseas Market

Relative Perception of Developer AmongstChinese Consumers

(Distributor Survey Results, n = 210)

Perceived Brand Awareness AmongChinese Consumers

(Distribution Survey Results, n = 205, Top 7 Developers only)

C

F

E

D

A

B

Noble

Source: Distributor survey with sample size = 223, TNS.

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Sales distributionOur regional sales distribution continue to be widespread – sales have come from all across China, which in turn accounted for roughly 76% of sales

Geographic Distribution of Units Sold Total In China Units Sold Total Divided by Country

China

Hong Kong

Taiwan

Singapore

Macau

USA

Japan

Malaysia

France

Philippine

Slovakia

Germany

Others

76%

13%

4%

2%

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Noble’s Overseas Market ShareNoble Development has further built on its overseas presence as the market share leader in the overseas segment

Noble Pre-Sales Y2020 Share of Overseas Market 9M’20

At THB 1,757 mm, Overseas pre-sales accounted for 27% of totalpre-sales of the company in 2020

In 9M20, Noble accounted for 37% of the overseas market forBangkok condominiums.

Local,73%

Overseas, 27%

Noble, 37%

Rest of the market, 63%

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Overseas TransfersOverseas customers have continued to transferred, and we have maintained drop rates

Transfers of Overseas Customers by Quarter

1Q’20 2Q’20 3Q’20

Drop Rate1 5% 7% 3%

As % of BKK Condo Transfer by Overseas 19% 14% 43%

Note : /1 - Drop Rate = Value of Dropped Sales/Value of Transferred Unit within a given period

Unit : THB mm

754

416

2,062

0

500

1,000

1,500

2,000

2,500

1Q20 2Q20 3Q20 4Q20

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Overseas Transfers by nationalityBased on 3Q20 records, there is little evidence that FOREX controls from China have impacted buyers’ ability to transfer

China, 50%

Hong Kong, 29%

Taiwan, 11%

China

Hong Kong

Taiwan

Singapore

USA

Spain

Malaysia

Slovakia

United Kingdom

Japan

Others

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67%

13%

8%

5%2%

1% 1% 1%2%

Thailand

Japan

United Kingdom

Malaysia

Vietnam

Canada

Singapore

Australia

Others

Going forward, distributors are betting on a strong recovery for the Thai market in 2021 and have chosen the country as their key area of focus.

Distributors Sales Focus in 2021

Source: Distributor survey with sample size = 223, TNS.

Key Markets of Focus in 2021(Distribution Survey Results, n = 210, multiple choices)

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Emerging Needs Rationale

Preference over suburban area rather than city center locations

Spacious environment in the neighbourhood, especially outdoor space

Availability of co-working space and essential facilities such as high speed wifi

• Comparative lower entry cost• Rise in remote working

• Enable effective home working without the need of public transport

Centralized management and lettings services

• Overcome travel restrictions• No need to deal with individual tenant on day-to-day

basis, along with other inconveniences of management property from afar

Unit layout with more living space and privacy, for example townhouses and villas

• Enable social distancing• More private and safe environment

• Enable social networking space in the community even during quarantine/lock-down

Coming out of the pandemic, overseas customers have articulated new and emerging needs which will

be critical in the “new normal”.

Emerging Needs 2021: Project requirements

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1 2 3 4 5 6

7 8

Buying a

Condo

Sign

SPA

Create

Bank Account

Settle

Payment

Mortgage

Furniture

Package

Snagging

Title

Transfer

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Letting

Management

10

Resell

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Referral

Customers are increasingly looking for an integrated solution when making condominium purchases.

Emerging Needs 2021: Outsourcing Management

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Agenda


Corporate Strategy

News Alert



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1

3

2

5

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New Projects in 2021

Project Product % EquityTotal ValueTHB mm

Expected LaunchExpected

Completion

1. Noble Form Thonglor Condo High Rise 100% 5,400 1Q’21 1Q’24

2. Nue Noble Centre Bangna Condo Low Rise 100% 700 1Q’21 3Q’22

3. The Embassy at Wireless Condo High Rise 26% 10,700 2Q’21 2Q’24

4. Nue Condo @ Don Mueang Condo Low Rise 100% 1,900 2Q’21 4Q’23

5. Nue Townhouse @ Don Mueang Townhouse 100% 1,300 3Q’21 1Q’22

6. Nue Evo Ari Condo High Rise 100% 3,000 4Q’21 3Q’25

7. Ekkamai-Ram Inthra - Townhouse Townhouse 50% 3,700 4Q’21 1Q’22

8. Ekkamai-Ram Inthra – Land Plot Land Plot 50% 1,300 4Q’21 1Q’22

9. Suksawat Townhouse / Semi-Detach 50% 1,200 4Q’21 1Q’22

10. Khu Khot Condo Low Rise 50% 10,000 4Q’21 4Q’23

11. Rama 9 Condo High Rise 50% 5,900 4Q’21 4Q’24

Total Projects 45,100

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Unilever - Rama 9

New Projects with BTS Group 2021-2023

Khukhod

Launch Timing :P1: 4Q2021P2: 3Q2022

Location : 280 m from Ratburana Station

Project Size :P1: THB 1,200 mmP2: THB 1,400 mm

Product:P1: Townhouse/Semi-DetachP2: Condo High Rise

Expected Transfer

P1: 1Q2022P2: 3Q2024

Suksawad1

New Projects in 2021 New Projects in 2022

2

Launch Timing : 4Q2021

Location :BTS KhukhotStation

Project Size : THB 10,000 mm

Product: Condo Low Rise

Expected Transfer

4Q2023

3

Launch Timing : 3Q2021

Location :350 m from MRT Rama 9 Station

Project Size : THB 5,900 mm

Product: Condo High Rise

Expected Transfer

4Q2024

Ratburana4

Launch Timing : P1: 2Q2022P2: 1Q2023

Location :1.5 m from Rat Burana Station

Project Size : P1: THB 1,900 mmP2: THB 2,700 mm

Product: P1: Townhouse/Semi-DetachP2: Condo High Rise

Expected Transfer

P1: 2Q2022P2: 3Q2025

Thana City Venture Co.,ltd

5Registered Capital: THB 1,000 mm

Location: Bang Na-Trat Road KM. 14

x

50% 50% 40% 41% 19%

New Land Acquisition in 2023

x x

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Agenda


Corporate Strategy

News Alert



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2

5

3

4

27

248 119 267

9,654

5,168 6,335

17,850 17,064

12,785

-

9,729 9,902

5,287 6,602

2018 2019 2020

Horizontal Project Condominium Backlog Extra Items

Pre-Sales Performance of 2020

Note : /1 Total Pre-Sales not included pre-sales from land plots, /2 Extra items consists of land plots and commercial property sales

Unit : THB mm

Pre-Sales/2

Pre-Sales Performance

/1

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2021, 5,501 THB mm,

43%

2022, 2,788 THB mm,

21%

2023, 4,594 THB mm,

36%

2021, 5,182 THB mm,

41%

2022, 2,853 THB mm,

22%

2023, 4,751 THB mm,

37%

Backlog & Inventory Recognition

Note : Inventory Recognition including completed inventory and project under construction

Backlog Recognition (2021-2023) Inventory Recognition* (2021-2023)

12,785 THB mm

12,883THB mm

Note : Figures as of December 2020

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Agenda


Corporate Strategy

News Alert



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1

5

2

4

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Financial Highlight

820 3,315 3,601

7,149 6,768

-

8,451 -

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75

64

263

7,598

3,389

12,116

7,412

3Q'19 3Q'20 9M'19 9M'20

Residential Sale Land & Commercial Properties Sale Others Revenue

TOTAL REVENUE /1 GROSS PROFIT – REAL ESTATE

• Revenue from residential sale for 3Q’20 and 9M’20 was THB 3,315 mm and THB 7,149 mm, respectively, or increased 304% YoY and 99% YoY, respectively. The increase was mainly from higher transfer of condominium and horizontal projects.

• Total Revenue for 3Q’20 and 9M’20 was THB 3,389 mm and THB 7,412 mm, respectively, or decreased 55% YoY and 39% YoY, respectively. The decrease was mainly from no revenue from land & commercial sale in 9M’20

Revenue from Sale – Real Estate

Note : /1 Total Revenue consists of Revenue from Sale-Real Estate, Revenue from Service & Rental, and Other Income/2 Other Revenue consists of Revenue from Service and Rentals, and Other Income

% Gross Profit Margin – Real Estate 3Q’19 3Q’20 9M’19 9M’20

Residential Sales 39.6% 37.8% 37.2% 37.8%

Land & Commercial Property 27.2% - 37.7% -

% Average Gross Profit Margin –Real Estate

28.5% 37.8% 37.6% 37.8%

Quarterly YTD Quarterly YTD

/2

7,587

3,315

12,052

7,149

2,165 1,251

4,530 2,702

3Q'19 3Q'20 9M'19 9M'20

Revenue Gross Profit % Gross Profit % Gross Profit (Residential Sales)

28.5% 37.8% 37.6% 37.8%

39.6%37.8% 37.2% 37.8%

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-132

3,284

4,788

473 1,238

2,019 1,942 1,085

2,387

ANAN AP LH LPN NOBLE ORI PSH SIRI SPALI

5,223

23,945 24,723

4,785 7,412 8,690

19,801 26,881

13,065


Peers Comparison of 9M’20Total Revenue

Net Profit

Unit: THB mm

Unit: THB mm

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-2.5%

13.7%

19.4%

9.9%

16.7%23.2%

9.8%

4.0%

18.3%


8.3%

30.6% 30.1% 31.0%37.3% 40.6%

33.4%

21.8%

36.3%


Peers Comparison of 9M’20Total Gross Profit Margin

Net Profit Margin

Unit: %

Unit: %

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14.6%

54.1%

28.1% 26.8%

47.3%35.2% 31.3% 32.8%

27.0%


-0.1%

15.5% 18.5%

9.0%

32.8%29.4%

4.7% 7.2%12.1%


Peers Comparison of 9M’20Return on Equity (ROE)

Asset Turnover

Unit: %

Unit: %

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1,667 2,653 2,925 2,628

13,123 11,517

899 899

3,016 2,467

10,299 9,316

5,852 5,632

5,479 5,217

21,631 20,165 21,631 20,165

Dec'19 Sep'20

Cash Inventories Real Estate Development Cost

Investment Properties Others Financial Liabilities

Non-Financial Liabilities Equity

BALANCE SHEETUnit: THB mm

• As of 3Q’20, we have cash on hand up to THB 2,653 mm, thanks to sale of inventories

• Financial liabilities decreased by THB 983 mm from from refinance of existing bond (net) of THB 1,017 mm in May’20, and issue new project financing (net) THB 29 mm for project under construction.

Financial PositionNET IBD/E

RETURN ON INVESTMENT

Total Assets Total Liabilities & Equity2019

Total Assets Total Liabilities & Equity

3Q’20

Net IBD/E stands lower than covenant of 2.50x

Note : * Normalized trailing 12 months

1.58x1.28x

2019 Sep'20

45.7%32.8%

12.9% 10.3%

2019 Sep'20

ROE* ROA*

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Debt Profile

Drawn FacilityUndrawn

FacilityFloating

51%Fixed49%

Long-Term Loan

Long-Term Bonds

Debt Breakdown

Weighted Average Cost of Fund

4,533THB mm

9,332THB mm

4,799THB mm

9,332THB mm

10,529THB mm

Bond Maturity Profile

Fixed Vs Floating Credit Facility & Utilization

Unit : THB mm

Amid historically low interest rate environment, the credit facilities from the financial institutions with MLR base currently offer lower cost of funding compared to bond issuance.

4,799THB mm

5,730THB mm

4.49%4.23%

2019 3Q'20

1,050

1,500 1,500

483

2020 2021 2022 2023

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CAPITAL EXPENDITURE (2020LV – 2021F)

Capital expenditure

Unit : THB mm

930 801

3,618 4,864

1,072

3,995 5,619

9,660

2020LV 2021F

Land Development Investment

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Dividend PayoutExpected Strong Dividend Payout From Now On

• Interim Dividend Payment of THB 1.10 per share will pay on 9 September 2020 on a result of first-half performance of 2020.

• With higher liquidity as a result of asset optimization, it is expected that the dividend payout will be passed through shareholders.

Unit : Baht/Share

0.30 0.30 0.30 0.10 0.00 0.00 0.17

6.90

5.20

2.201.10

2012 2013 2014 2015 2016 2017 2018 Mar'19 Oct'19 May'20 Sep'20

Dividend Payment Date 2012 2013 2014 2015 2016 2017 2018 Mar’19 Oct’19 May’20 Sep’20Dividend Payout Ratio (%) 39.6% 42.2% 42.4% 28.0% - - 3.8% 319.1% 110.0% 70.3%

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For more information, please contact:

K.Benjawan MunikornInvestor Relations Noble Development Public Company LimitedNoble Building, 1035 Ploenchit Rd., Lumpini, Pathumwan, Bangkok 10330, Thailand.

[email protected]

+66 2 251 9955

+66 2 251 9977

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