dmci holdings inc. - analystbriefing’ 3q’2016’results … · 2016. 11. 16. · alea...

ANALYST BRIEFING 3Q 2016 Results

Wednesday, 16 November 2016 10.30am DMCI Annex

2015-‐08-‐24 1

Agenda

•  DMCI Holdings’ Share in Net Income •  Business Segment 3Q 2016 Results:

Semirara Mining & Power Corporation

DMCI Homes (Property) Maynilad Holdings DMCI Mining (Nickel) D.M. Consunji, Inc. (Construction) DMCI Power (Off-Grid)

•  Parent Balance Sheet as of 9M 2016

13 May 2016 2

Holdings’ Share in Net Income Unaudited

(In Million Php) 3Q 2016 3Q 2015 Change %

Semirara (56%) 1,795 860 935 109% Property Development 310 1,002 (692) -‐69% Maynilad Holdings (25% effective) 426 561 (135) -‐24% Construction 335 28 307 1096% Off-Grid Power 101 90 11 12% DMCI Mining (75% in BNC) 2 189 (187) -‐99% Parent & Others 16 10 6 60% Core Net Income 2,985 2,740 245 9% One-Time Investment Gains* -‐ 530 (530) -‐100% Non-Recurring Items** 8 3 5 167% Reported Net Income 2,993 3,273 (280) -‐9%

16 November 2016 3

*Gain on sale of 10% interest in Subic Water in 1Q16 & gain on sale of 25% interest in PIDC in 3Q15 **From Maynilad’s gain on re-‐measurement due to Maynilad’s OSD elecRon in 2Q16 (P262M) & FOREX & other one-‐Rme adjustments.

Contribution to Net Income

Construc7on 11%

Nickel 0%

Property 10%

Off-‐Grid Power 4%

Maynilad 14%

Semirara 60%

Parent 1%

One-‐Time Investment Gains 0% Non-‐Recurring

0%

3Q 2016

16 November 2016 4

Construc7on 1%

Nickel 6%

Property 31%


Maynilad 17%

Semirara 26%

Parent & Others 0%

One-‐Time Investment Gains 16%

Non-‐Recurring 0%

3Q 2015

ConstrucRon Nickel Property

Off-‐Grid Power Maynilad Semirara

Parent & Others One-‐Time Investment Gains Non-‐Recurring

Semirara (Consolidated) Unaudited

(In Million Php) 2Q 2016 3Q 2016 3Q 2015 % 3Q16 vs 3Q15

Revenues 9,901 9,208 5,808 59% COS & Operating Expenses (5,486) (4,942) (3,099) 59% EBITDA 4,415 4,266 2,709 57% Depreciation & Amortization (666) (743) (583) 27% Interest Expense (172) (178) (59) 202% Interest Income 19 15 14 7% Other Income (Expense) (57) (7) (120) -‐94% Benefit (Provision) for Income Tax (85) (168) (445) -‐62% Net Income 3,454 3,185 1,516 110% Net Income Non-Controlling (1,508) (1,390) (656) 112% Net Income DMCI Holdings, Inc. 1,946 1,795 860 109%

16 November 2016 5

Semirara (Coal) Unaudited


Coal Revenues 5,077 4,425 2,374 86% COS & Operating Expenses (3,408) (3,053) (2,122) 44% EBITDA 1,669 1,372 252 444% Depreciation & Amortization (147) (232) (324) -‐28% Interest Expense (45) (46) (34) 35% Interest Income 8 7 (2) 450% Other Income (Expense) (61) (18) (170) -‐89% Benefit (Provision) for Income Tax 2 (3) -‐ 100% Net Income 1,426 1,080 (278) 488% Net Income Non-Controlling (623) (471) 121 -‐489% Net Income DMCI Holdings, Inc. 803 609 (157) 488%

16 November 2016 6

Semirara (Power: 2x300MW) Unaudited


Power Revenues 2,866 3,104 3,162 -‐2% COS & Operating Expenses (1,844) (1,468) (907) 62% EBITDA 1,022 1,636 2,255 -‐27% Depreciation & Amortization (295) (278) (259) 7% Interest Expense (20) (27) (23) 17% Interest Income 2 2 4 -‐50% Other Income (Expense) 4 11 47 -‐77% Benefit (Provision) for Income Tax (93) (154) (443) -‐65% Net Income 620 1,190 1,581 -‐25% Net Income Non-Controlling (270) (520) (684) -‐24% Net Income DMCI Holdings, Inc. 350 670 897 -‐25%

16 November 2016 7



Power Revenues 1,958 1,679 272 517% COS & Operating Expenses (234) (421) (70) 501% EBITDA 1,724 1,258 202 523% Depreciation & Amortization (224) (233) -‐ 100% Interest Expense (107) (105) (2) 5150% Interest Income 9 6 12 -‐50% Other Income (Expense) 0 -‐ 3 -‐100% Benefit (Provision) for Income Tax 6 (11) (2) 450% Net Income 1,408 915 213 330% Net Income Non-Controlling (615) (399) (93) 329% Net Income DMCI Holdings, Inc. 793 516 120 330%

14 November 2016 8

Property Development Unaudited (In Million Php) 2Q 2016 3Q 2016 3Q 2015 %

3Q16 vs 3Q15 Real Estate Revenues 2,044 1,717 4,124 -‐58% COS & Operating Expenses (1,782) (1,404) (2,871) -‐51% EBITDA 262 313 1,253 -‐75% Depreciation & Amortization (85) (101) (115) -‐12% Interest Expense (188) 88 91 -‐3% Interest Income 63 58 79 -‐27% Other Income (Expense) 112 128 108 19% Benefit (Provision) for Income Tax (119) (176) (414) -‐57% Reported Net Income 45 310 1,002 -‐69% One-Time Investment Gain -‐ -‐ -‐ NA Core Net Income 45 310 1,002 -‐69% Core Net Income Non-Controlling (2) -‐ -‐ NA Core Net Income DMCI Holdings, Inc. 43 310 1,002 -‐69% 16 November 2016 9

Operating KPIs Sales & Reservations

DM

CI H

OM

ES

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

AO Sep 2016 AO Sep 2015

78% 71%

4% 6%

8% 14%

9% 9%

Sales By Financing Type

Bank Financing In House Cash Forecast

AO Sep 2016

AO Sep 2015

% Chang

e

# of Units 5,842 4,331 35%

# of Parking 3,410 2,588 32%

Php (in millions)

AO Sep 2016

AO Sep 2015

% Chang

e

Units 19,039 13,831 38%

Parking 2,068 1,484 39%

Total 21,107 15,315 38%

Operating KPIs – Project Launches

DM

CI H

OM

ES

2016 Launch Calendar No. of Bldgs. / Type

Apr

ALEA RESIDENCES Brgy Talaba, Bacoor Cavite

4 MRB (7F)

VERDON PARC Davao City

4 HYB (9F / 23F)

May BRIXTON PLACE Pasig City

2 HRB (46F)

Jul CALATHEA PLACE Dr. A santos Ave, Sucat, Parañaque City

2 HRB (12F) 2 MRB (8F)

Sep

OAK HARBOR Asia World, Parañaque City

3 HRB (13/15F)

Oct THE CELANDINE A. Bonifacio Ave, Quezon City

1 HRB (47F)

Nov INFINA TOWERS Aurora Blvd., Quezon City

2HRB (41F)

Total

2015 Launch Calendar No. of Bldgs. / Type

Feb IVORYWOOD Acacia Estate, Taguig

7 MRB (6F)

Jul BRISTLE RIDGE Pacdal, Baguio

3 MRB (6F)

Aug

FAIRWAY TERRACES Pasay City

1 HRB (17F)

LUMIERE RESIDENCES NORTH Pasig Blvd., Pasig

3rd of 3HRB (43F)

Oct MAPLE PLACE Acacia Estate, Taguig

3 MRB (6F)

Total

Maynilad Holdings Unaudited

15 November 2016 12


Revenues 5,185 5,100 4,907 4% COS & Operating Expenses (1,314) (1,404) (1,339) 5% EBITDA 3,871 3,696 3,568 4% Depreciation & Amortization (735) (753) (665) 13% Interest Expense (521) (524) (540) -‐3% Interest Income 23 30 35 -‐14% Other Income (Expense) 262 (157) (157) 0% Benefit (Provision) for Income Tax (150) (574) (8) 7075% Reported Net Income 2,750 1,718 2,233 -‐23% Non-Recurring Items* (897) (33) (11) 200% Core Net Income 1,853 1,685 2,222 -‐24% Core Net Income Non-Controlling (133) (120) (159) -‐25% Core Net Income Maynilad Holdings 1,720 1,565 2,063 -‐24% Core Net Income DMCI Holdings, Inc. 468 426 561 -‐24%

*From Maynilad’s gain on re-‐measurement due to Maynilad’s OSD elecRon in 2Q16 (P262M) & FOREX & other one-‐Rme adjustments.

Construction Unaudited (In Million Php) 2Q 2016 3Q 2016 3Q 2015 %

3Q16 vs 3Q15 Construction Revenues 2,530 2,295 3,967 -‐42% COS and Operating Expenses (2,057) (1,676) (3,568) -‐53% EBITDA 473 619 399 55% Depreciation & Amortization (197) (195) (205) -‐5% Interest Expense (7) (7) (9) -‐22% Interest Income 1 1 1 0% Other Income (Expense) 8 14 1 1300% Benefit (Provision) for Income Tax (71) (95) (137) -‐31% Reported Net income 207 337 50 574% Non-Recurring Items -‐ -‐ (19) -‐100% Core Net Income 207 337 31 987% Core Net Income Non-Controlling Interest (7) (2) (3) -‐33% Core Net Income DMCI Holdings, Inc. 200 335 28 1096% 16 November 2016 13

Construction Order Book as of September 30, 2016 (in PHP million)

16 November 2016 14

Product Line

Contract As of 31 Dec. 2015

Newly Awarded

Booked Revenue

(Jan-Sept)

Total Booked

Revenue

As of 30 Sept. 2016

BLDG 34,017 5,272 6,484 2,162 24,233 9,784

INFRA 33,686 20,707 46 4,479 25915 7,771

POWER 17,661 781 421 951 17072 589

WATER 5,254 2,427 500 957 2883 2,371

90,618 29,187 7,451 8,549 70,103 20,515*

*8.083 of Skyway contract deferred

Nickel Mining Unaudited

(In Million Php) 2Q 2016

3Q 2016 3Q 2015 % 3Q16 vs 3Q15

Nickel Ore Revenues 1,054 421 631 -‐33% COS and Operating Expenses (602) (279) (322) -‐13% EBITDA 452 142 309 -‐54% Depreciation & Amortization (122) (95) (86) 10% Interest Expense (4) (4) (6) -‐33% Interest Income 2 1 -‐ 100% Other Income (Expense) (15) 9 247 -‐96% Benefit (Provision) for Income Tax (86) (36) (205) -‐82% Reported Net Income 227 17 259 -‐93% Core Net Income Non-Controlling (70) (15) (70) -‐79% Core Net Income DMCI Holdings, Inc. 157 2 189 -‐99% 16 November 2016 15

16 November 2016 16

SHIPMENT (PHP) AVE. SELLING PRICE (USD) 2016 BNC ZDMC BNC ZDMC 1Q 109,718 18 2Q 708,653 55,000 31 16 3Q 206,803 40 1,025,174 55,000 32 16

SHIPMENT (PHP) AVE. SELLING PRICE (USD) 2015 BNC ZDMC BNC ZDMC 1Q 271,324 47,850 29 29 2Q 838,803 46 3Q 274,165 53 4Q 218,721 33 1,603,013 47,850 42 29

SHIPMENT AVE. SELLING PRICE 2014 BNC ZDMC BNC ZDMC 1Q 54,704 51 2Q 541,505 106,694 41 42 3Q 360,758 98,200 57 50 4Q 47,329 57 1,004,296 204,894 48 45.57

Nickel Mining

Off-Grid Power Unaudited


Power Revenues 659 597 551 8% COS and Operating Expenses (467) (454) (414) 10% EBITDA 192 143 137 4% Depreciation & Amortization (45) (45) (40) 13% Interest Expense (2) (1) (4) -‐75% Interest Income -‐ -‐ -‐ NA Other Income (Expense) 1 -‐ -‐ NA Benefit (Provision) for Income Tax (3) 4 (3) -‐233% Net Income 143 101 90 12% Net Income Non-Controlling Interest -‐ -‐ -‐ NA Net Income DMCI Holdings, Inc. 143 101 90 12% 16 November 2016 17

Operating KPIs D

MC

I PO

WER

CO

RPO

RAT

ION

RevenuesAO

Sep 2016AO

Sep 2015%

CHANGESales Volume (in GWh) 183.43 154.17 19%

Masbate 70.82 63.44 12%

Palawan 69.96 57.57 22%

Mindoro 40.98 33.16 24%

Sultan Kudarat 1.67 N/A N/A

Averag e Selling Price (in PhP/kWh)* 9.24 10.47 -‐12%

Masbate 11.19 11.74 -‐5%

Palawan 7.95 9.45 -‐16%

Mindoro 8.60 10.22 -‐16%

Sultan Kudarat 22.65 N/A N/A

Gross Generation (in kWh) 184.39 156.04 18%

Masbate 71.71 65.23 10%

Palawan 70.02 57.63 21%

Mindoro 40.98 33.18 24%

Sultan Kudarat 1.68 N/A N/A*exclud ing Sultan Kudarat

Operating KPIs D

MC

I PO

WER

CO

RPO

RAT

ION

Plant CapacityAO Q3 2016

AO Q3 2015

% CHANGE

Availability of Contracted Dependable Capacity (in % )

Masbate 100% 100% 0%

Palawan 100% 100% 0%

Mindoro 100% 100% 0%

Sultan Kudarat 100% N/A N/A

Capacity Factor based on Rated Capacity (in % )MasbateBunker 32% 52% -‐38%

Diesel 24% 29% -‐18%

Palawan 22% 35% -‐37%

Mindoro 40% 32% 24%

Sultan Kudarat 7% N/A N/A

Rated Capacity (in MW)Masbate 29.61 24.40 21%

Palawan 27.52 25.00 10%

Mindoro 15.56 15.56 0%

Sultan Kudarat 3.69 0.00 N/A

TOTAL 76.38 64.96 18%

Valuation + Fundamentals Support Re-Rating for DMCI

Source: Bloomberg. Prices as of 11.14.16

DMCI is cheap on a rela1ve and absolute basis in terms of 2017 P/E Ra1o

21.0x

17.4x 17.1x15.2x

13.4x11.1x

9.8x

0.0x

5.0x

10.0x

15.0x

20.0x

25.0x

SM MPI AYALA JGS GTCAP DMCI AGI

Conglomerates: 2017 Consensus P/E

22.7%

16.5%

11.4% 10.9% 10.8% 10.5% 8.4%

−

5.0%

10.0%

15.0%

20.0%

25.0%

DMCI GTCAP JGS AYALA SM AGI MPI

LTM Return on Equity

130.8% 130.7%

98.8% 90.2%

83.5% 74.1%

65.2%

−

20.0%

40.0%

60.0%

80.0%

100.0%

120.0%

140.0%

GTCAP AYALA SM JGS AGI MPI DMCI

Debt / Equity

While earnings growth is beDer than peers, with upside risk to consensus earnings…

While return on equity & value crea1on – is undoubtedly consistently one of the highest in the Philippines due to its integrated business model…

While DMCI’s gearing also remains the lowest and safest amongst its conglomerate peers at 65%

16.3%

13.0% 11.8%

11.0%

7.4% 6.1%

3.9%

−

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

14.0%

16.0%

18.0%

SM AYALA DMCI GTCAP AGI MPI JGS

Conglomerates: Consensus 2016-‐2018 EPS Growth

16 November 2016 21

KEY TAKEAWAYS: 3Q 2016

DMCI Holdings:

• Overall core earnings growth for the quarter was +9% despite the negaRve news headlines

• Key growth drivers were: Semirara with +109% net income growth, ConstrucRon with

+1,096% growth in 3Q16 against the same period last year.

Semirara:

• Revenue grew by +34% ,EBITDA by +32%, Net Income by +54% and Free Cash Flow by +98%

• Average selling price of coal PHP 1,711/ton (9M16) while extracRon costs/ton conRnue to

trend lower to PHP 760 and

• Power plants conRnue to perform adequately with 70% capacity factor for Units 1+2 and

57% capacity factor for Units 3+4

Property:

• Sales & ReservaRons grew by 38% (9M16) during the period – which is the true indicator of

demand for DMCI’s units

• Due to DMCI’s conservaRve accounRng of completed units, earnings only appear to have

decreased by -‐69%

ConstrucRon: • Costs normalized in 3Q16 against the same period last year

• 2017 should be a key year in terms of infrastructure build out

Water:

• Maynilad conRnues to perform well in terms of volumes and efficiency;

• 2017 net income should grow (once more) as drag resulRng from 2016 expiraRon of Income

Tax Holiday will end

• ArbitraRon is in Singapore in December and ResoluRon expected by April 2017

Nickel: • Both mines remain suspended – no confirmed news yet in terms of reopening the mines.

Off-‐Grid Power: • ConstrucRon of bunker plant in Aborlan (2x4.95MW) Irawan (3x6MW) scheduled for

compleRon end 2016 and 4Q 2017, respecRvely.

Disclaimer

The information contained in this document is strictly confidential. Neither DMCI Holdings, Inc. (DMCI), nor its advisors make any representation regarding, and assumes no responsibility or liability for, the accuracy or completeness of, or any errors or omissions in any information contained herein. Such information is subject to change without notice, its accuracy is not guaranteed and it may not contain all material information concerning DMCI.

In addition, this document contains certain financial information and results of operation, and may also contain certain projections, plans, strategies, and objectives of DMCI, that are not statements of historical fact which would be treated as forward looking statements within the meaning of applicable law. Forward looking statements are subject to risks and uncertainties that may cause actual events and DMCI’s future results to be materially different than expected or indicated by such statements. No assurance can be given that the results anticipated by DMCI, or indicated by any such forward looking statements, will be achieved.

This document is not an offer of securities for sale in the United States. Securities may not be offered or sold in the United States absent registration under the United States Securities Act of 1933, as amended (the “Securities Act”) or an exemption from such registration. This document is not an offer to sell securities or a solicitation of an offer to buy securities in any jurisdiction where such offer or sale is not permitted.

16 November 2016 22

Appendix

9M16 Earnings, Maynilad (stand-‐alone), DMCI Order book 2Q16 & 3Q15 & DMCI Holdings, Inc. B/S

2015-‐08-‐24 23

Holdings’ Share in Net Income Unaudited

(In Million Php) 9M 2016 9M 2015 Change %

Semirara (56%) 5,383 3,530 1,853 52% Property Development 1,018 2,719 (1,701) -‐63% Maynilad Holdings (25% effective) 1,300 1,722 (422) -‐25% Construction 732 361 371 103% Off-Grid Power 342 305 37 12% DMCI Mining (75% BNC & 100% ZDMC) 59 643 (584) -‐91% Parent & Others 58 62 (4) -‐6% Core Net Income 8,892 9,342 (450) -‐5% One-Time Investment Gains* 111 530 (419) -‐79% Non-Recurring Items** 231 (10) 241 NM Reported Net Income 9,234 9,862 (628) -‐6%

16 November 2016 24

*Gain on sale of 10% interest in Subic Water in 1Q16 & gain on sale of 25% interest in PIDC in 3Q15 **From Maynilad’s gain on re-‐measurement due to Maynilad’s OSD elecRon in 2Q16 (P262M) & FOREX & other one-‐Rme adjustments.

Contribution to Net Income

Construc7on 8%

Nickel 1%

Property 11%


Maynilad 14% Semirara

58%

Parent & Others 1%

One-‐Time Investment Gains

1% Non-‐Recurring 2%

9M 2016

16 November 2016 25

Construc7on 4%

Nickel 6%

Property 28%


Maynilad 17%

Semirara 36%

Parent & Others 1%

One-‐Time Investment Gains 5% Non-‐Recurring

0%

9M 2015

ConstrucRon Nickel Property

Off-‐Grid Power Maynilad Semirara

Parent & Others One-‐Time Investment Gains Non-‐Recurring

Semirara (Consolidated) Unaudited

(In Million Php) 9M 2016 9M 2015 %

Revenues* 25,766 19,525 32% COS & Operating Expenses (13,313) (10,145) 31% EBITDA 12,453 9,380 33% Depreciation & Amortization (2,073) (1,690) 23% Interest Expense (422) (210) 101% Interest Income 52 36 44% Other Income (Expense) (5) 62 -‐108% Benefit (Provision) for Income Tax (453) (1,336) -‐66% Net Income 9,552 6,242 53% Net Income for Non-Controlling (4,169) (2,712) 54% Net Income for DMCI Holdings, Inc. 5,383 3,530 52%

16 November 2016 26

*Inclusive of income generated during commissioning of 2x150MW (Units 3 & 4)

Semirara (Coal) Unaudited


Coal Revenues 13,442 8,900 51% COS & Operating Expenses (8,633) (6,704) 29% EBITDA 4,809 2,196 119% Depreciation & Amortization (774) (915) -‐15% Interest Expense (142) (88) 61% Interest Income 23 13 77% Other Income (Expense) (40) (62) -‐35% Benefit (Provision) for Income Tax (3) (2) 50% Net Income 3,873 1,142 239% Net Income for Non-Controlling (1,691) (499) 239% Net Income for DMCI Holdings, Inc. 2,182 643 239%

16 November 2016 27



Power Revenues 7,626 10,353 -‐26% COS & Operating Expenses (3,848) (3,371) 14% EBITDA 3,778 6,982 -‐46% Depreciation & Amortization (842) (775) 9% Interest Expense (68) (120) -‐43% Interest Income 8 11 -‐27% Other Income (Expense) 35 121 -‐71% Benefit (Provision) for Income Tax (411) (1,332) -‐69% Net Income 2,500 4,887 -‐49% Net Income for Non-Controlling (1,090) (2,120) -‐49% Net Income for DMCI Holdings, Inc. 1,410 2,767 -‐49%

16 November 2016 28



Power Revenues 4,698 272 1627% COS & Operating Expenses (832) (70) 1089% EBITDA 3,866 202 1814% Depreciation & Amortization (457) -‐ 100% Interest Expense (212) (2) 10500% Interest Income 21 12 75% Other Income (Expense) -‐ 3 -‐100% Benefit (Provision) for Income Tax (39) (2) 1850% Net Income 3,179 213 1392% Net Income Non-Controlling (1,388) (93) 1392% Net Income DMCI Holdings, Inc. 1,791 120 1392%

16 November 2016 29

*Inclusive of income generated during commissioning of 2x150MW (Units 3 & 4)

Property Development Unaudited (In Million Php) 9M 2016 9M 2015 %

Real Estate Revenues 8,110 11,116 -‐27% COS & Operating Expenses (6,489) (7,428) -‐13% EBITDA 1,621 3,688 -‐56% Depreciation & Amortization (273) (266) 3% Interest Expense (344) (153) 125% Interest Income 194 236 -‐18% Other Income (Expense) 517 364 42% Benefit (Provision) for Income Tax (583) (1,150) -‐49% Reported Net Income 1,132 2,719 -‐58% One-Time Investment Gain* (111) -‐ 100% Core Net Income 1,021 2,719 -‐62% Core Net Income Non-Controlling (3) -‐ 100% Core Net Income DMCI Holdings, Inc. 1,018 2,719 -‐63% 16 November 2016 30

*One-‐Rme gain on parRal sale of Subic Water in 1Q16

Maynilad Holdings Unaudited

15 November 2016 31


Revenues 15,220 14,243 7% COS & Operating Expenses (4,193) (3,723) 13% EBITDA 11,027 10,520 5% Depreciation & Amortization (2,196) (1,950) 13% Interest Expense (1,561) (1,590) -‐2% Interest Income 85 95 -‐11% Other Income (Expense) (21) (442) -‐95% Benefit (Provision) for Income Tax (1,270) 148 -‐958% Reported Net Income 6,064 6,781 -‐11% Non-Recurring Items* (917) 42 -‐2283% Core Net Income 5,147 6,823 -‐25% Core Net Income Non-Controlling (368) (488) -‐25% Core Net Income Maynilad Holdings 4,779 6,335 -‐25% Core Net Income DMCI Holdings, Inc. 1,300 1,722 -‐25%

*From Maynilad’s gain on re-‐measurement due to Maynilad’s OSD elecRon in 2Q16 (P262M) & FOREX & other one-‐Rme adjustments.

Construction Unaudited (In Million Php) 9M 2016 9M 2015 %

Construction Revenues 7,782 10,336 -‐25% COS and Operating Expenses (6,230) (9,116) -‐32% EBITDA 1,552 1,220 27% Depreciation & Amortization (594) (614) -‐3% Interest Expense (20) (32) -‐38% Interest Income 3 3 0% Other Income (Expense) 28 67 -‐58% Benefit (Provision) for Income Tax (225) (253) -‐11% Reported Net Income 744 391 90% One-time Investment Gain* -‐ (19) -‐100% Core Net Income 744 372 100% Core Net Income for Non-Controlling Interest (12) (11) 9% Core Net Income for DMCI Holdings, Inc. 732 361 103% 16 November 2016 32

*DM Consunji, Inc’s share in gain on sale of PIDC in 3Q 2015

Construction Order Book as of September 30, 2015

16 November 2016 33

Product Line


Newly Awarded

Booked Revenue (Jan-Sept)

Total Booked Revenue

As of 30 Sept. 2015

In million PHP

BLDG 10,796 3,535 2,635 2,150 6,096 4,699

INFRA 33,124 9,741 17,493.80 4,345 18918.21 14,206

POWER 4,089 2,566.79 422.78 3,368.15 3750.33 338

WATER 4,216 2,914 651.85 724.8 1236.57 2,980

52,225 18,757 21,203 10,588 30,002 22,223*

*8.083 of Skyway contract deferred

Construction Order Book as of June 30, 2016

16 November 2016 34

Product Line


Newly Awarded

Booked Revenue (Jan-Sept)

Total Booked Revenue

As of 30 June 2016

In million PHP

BLDG 14,231 5,272 3,614 1,302 7,196 7,035

INFRA 34,004 20,707 0 3,252 16455 17,549

POWER 13,289 781 412 809 12624 665

WATER 4,519 2,427 401 505 1831 2,688

66,043 29,187 4,427 5,868 38,106 27,937

Nickel Mining Unaudited


Nickel Ore Revenues 1,565 2,797 -‐44% COS and Operating Expenses (1,026) (1,234) -‐17% EBITDA 539 1,563 -‐66% Depreciation & Amortization (278) (360) -‐23% Interest Expense (12) (6) 100% Interest Income 5 1 400% Other Income (Expense) (7) 195 -‐104% Benefit (Provision) for Income Tax (122) (514) -‐76% Reported Net Income 125 879 -‐86% Core Net Income for Non-Controlling (66) (236) -‐72% Core Net Income for DMCI Holdings, Inc. 59 643 -‐91%

16 November 2016 35

Off-Grid Power Unaudited


Power Revenues 1,738 1,628 7% COS and Operating Expenses (1,259) (1,201) 5% EBITDA 479 427 12% Depreciation & Amortization (131) (101) 30% Interest Expense (5) (9) -‐44% Interest Income -‐ -‐ 0% Other Income (Expense) 1 6 -‐83% Benefit (Provision) for Income Tax (2) (18) -‐89% Net Income 342 305 12% Net Income Non-Controlling Interest -‐ -‐ 0% Net Income DMCI Holdings, Inc. 342 305 12%

16 November 2016 36

Maynilad (stand-alone) Unaudited

16 November 2016 37


Revenues 15,220 14,243 7% COS & Operating Expenses (4,192) (3,723) 13% EBITDA 11,028 10,520 5% Depreciation & Amortization (1,840) (1,608) 14% Interest Expense (1,564) (1,595) -‐2% Interest Income 85 95 -‐11% Other Income (Expense) (79) (489) -‐84% Benefit (Provision) for Income Tax (2,829) 148 -‐2011% Reported Net Income 4,801 7,071 -‐32% Non-Recurring Items 590 89 563% Core Net Income 5,391 7,160 -‐25%

Maynilad (stand-alone) Unaudited

16 November 2016 38


Revenues 5,185 5,100 4,907 4% COS & Operating Expenses (1,313) (1,404) (1,339) 5% EBITDA 3,872 3,696 3,568 4% Depreciation & Amortization (616) (635) (551) 15% Interest Expense (523) (524) (542) -‐3% Interest Income 22 31 35 -‐11% Other Income (Expense) 292 (188) (189) -‐1% Benefit (Provision) for Income Tax (1,676) (589) (8) 7263% Reported Net Income 1,371 1,791 2,313 -‐23% Non-Recurring Items 524 (3) 22 -‐114% Core Net Income 1,895 1,788 2,335 -‐23%

* Re-‐measurement of deferred tax assets in Maynilad's balance sheet because of elecRng opRonal standard deducRon for income tax calculaRon (stand alone) which resulted in a tax expense while re-‐measurement of deferred tax liabiliRes of fair value assets in the balance sheet of maynilad holdings resulted to a reducRon (negaRve) in tax expense.

DMCI Holdings, Inc Parent Balance Sheet

16 November 2016 39

(In Million Php) 30-09-2016 UNAUDITED

31-12-2015 AUDITED

Cash & Cash Equivalents 4,413 3,695

Receivables 2,830 934

Investments in subsidiaries, associates and joint ventures 15,450 20,705

Other assets 108 104

Total assets 22,801 25,438

Accounts payable 24 21

Other liabiliRes 17 17

Total liabili7es 41 38

Capital stock 13,277 13,277

AddiRonal paid in capital 4,672 4,672

Retained earnings 4,800 7,440

Other equity 11 11

Total equity 22,760 25,400

dmci holdings inc. - analystbriefing’ 3q’2016’results … · 2016. 11. 16. · alea...

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