2014 Annual Results Announcement 25 March 2015 ABOUT YUZHOU - PowerPoint PPT Presentation

2014 Annual Results Announcement 25 March 2015

ABOUT YUZHOU PROPERTIES (01628. HK)  A leading property developer in West Strait Economic Zone with footprints in Xiamen, Fuzhou and Quanzhou, the Top 3 largest cities in Fujian Province KEY FOCUS  Successful expansion into Hong Kong, Shanghai, Nanjing, Hefei, Tianjin, Longyan, Bengbu and Zhangzhou  Well-established market leader in Xiamen with nearly 1.82 million sq.m. of saleable land bank as at December 2014  Defensive land cost through smart land acquisitions : weighted average unit cost of CORE STRENGTH land bank is 2,232 RMB/sq.m. , accounting for 22% of FY2014 contracted ASP  Sustainable high profit margin and low gearing compared to peers Total saleable GFA * as at December 2014 : over 8.70million sq.m.  LAND BANK  49% in West Strait Economic Zone, 46% in Yangtze River Delta and 5% in Pan-Bohai Rim  Acquired approx. 2.66m sq.m. of saleable GFA in 2013 and 1.01m sq.m. in 2014 2

ABOUT PRESENTERS Founder, Mr. LAM, Lung On Chairman and Executive Director Mr. CAI Minghui Excecutive President Vice President Mr. Steve CHIU Chief Financial Officer and Company Secretary Head of Ms. Venus Chiu Corporate Finance & Investor Relations 3

TABLE OF CONTENTS I. FINANCIAL HIGHLIGHTS II. BUSINESS REVIEW III. FUTURE PERSPECTIVES IV. APPENDIX 4

FINANCIAL HIGHLIGHTS 5

HIGHLIGHTS OF 2014 ANNUAL RESULTS FINANCIAL HIGHLIGHTS FOR THE 12 MONTHS ENDED 31 DECEMBER 2014 Compared with FY2013 (+RMB366 million or +5%) Recognized revenue: RMB7,837 million  (+RMB526 million or +23%) Gross profit: RMB2,845 million  (-RMB65 million or -6%) Core profit attributable to owners of parent: RMB1,025 million  Compared with the end of Dec 2013 Total equity: RMB9,390 million (+RMB1,918 million or +26%)  Cash on hand: RMB9,785 million (+RMB5,901 milliom or +152%)  Net gearing ratio: 59.85% (-18.13 percentage points)  6

FY2014 KEY PROFIT&LOSS ITEMS Revenue* Gross Profit RMB million RMB million 2,845 7,837 7,471 2,319 1,429 3,913 1,543 3,894 6,439 2H 1,988 2H 1,112 2,939 3,924 1H 1,416 1H 1,032 431 955 331 FY2012 FY2013 FY2014 FY2012 FY2013 FY2014 Profit attributable to shareholder Core Profit RMB million RMB million 1,090 1,471 1,025 1,254 810 539 726 695 2H 1,320 995 2H 649 1H 1H 621 559 486 151 105 161 95 FY2012 FY2013 FY2014 FY2012 FY2013 FY2014 * After 5.55% Business Taxes 7

FY2014 REVENUE BREAKDOWN (RMB’000) FY2014 FY2013 Change 100%=RMB 7,837 million 100%=RMB 7,471 million 100% 0.0% 0.2% Hotel operation 1.0% 16,183 1,390 +1,064% 1.1% income 0.7% 0.7% 98% Property 88,245 71,220 +24% management fees 96% Rental income 51,544 49,163 +5% 98.3% 94% 98.0% Sales of properties 7,680,661 7,348,835 +3% 92% Total 7,836,633 7,470,608 +5% 90% FY2014 FY2013 Sales of properties Rental income Property management fees Hotel operation income 8

ANALYSIS ON FY2014 RECOGNIZED PROPERTY SALES Recognized Property Sales* Recognized GFA & ASP RMB million ASP (RMB/sq.m.) GFA (sq.m.) 1,000,000 12,000 7,681 10,437 7,349 9,247 800,000 9,000 7,544 3,847 600,000 3,784 6,000 2H 6,374 400,000 794,730 735,881 1H 501,618 3,000 2,886 3,834 200,000 975 898 0 0 FY2012 FY2013 FY2014 FY2012 FY2013 FY2014 Recognized Sales by City Recognized GFA by City % % 2 3 18 Xiamen Xiamen 29 Fuzhou Fuzhou 1 Quanzhou Quanzhou 6 Shanghai Shanghai 55 Hefei Hefei 3 1 70 Tianjin Tianjin 11 2 * After 5.55% Business Taxes 9

FY2014 KEY BALANCE SHEET ITEMS Cash Position Total Debt RMB million RMB million 9,785 15,404 3,884 9,710 3,729 11,599 7,509 Long-term Short-term 7,726 5,030 3,805 2,479 1,984 FY2012 FY2013 FY2014 FY2012 FY2013 FY2014 Total Asset Total Equity RMB million RMB million 9,390 39,075 7,472 6,001 27,362 22,278 FY2012 FY2013 FY2014 FY2012 FY2013 FY2014 10

FY2014 STABLE FINANCIAL POSITION Net Gearing Ratio Debt Profile by Maturity % 1 % 100 25 78 80 Within 1 year 64 62 60 60 1 to 2 year 2 to 5 year 40 42 Over 5 year 20 17 12 0 62 2009 2010 2011 2012 2013 2014 Debt Profile by Currency Debt Profile by Type % % 40 34 Fixed US$ interest rate HK$ 49 Floating RMB interest rate 66 11 Total Debt = RMB15,404 million 11

BUSINESS REVIEW 12

SNAPSHOT OF LAND BANK Saleable Average Land % of 8.70 million sq.m. as at Dec 2014* GFA No. of Cost saleable （ RMB/sq.m. ） City (‘000 sq.m.) projects GFA Bohai Rim Tianjin 431 2 1,061 5 Region Shanghai 637 6 3,378 7 Nanjing 113 1 16,657 1 Yangtze River Delta Hefei 2,599 6 2,002 30 Tianjin Bengbu 668 1 660 8 Xiamen 1,824 23 2,972 21 Fuzhou 603 3 3,115 7 Bengbu Nanjing West Strait Shanghai Hefei Econimic Quanzhou 1,256 3 379 14 Zone Longyan 312 1 1,921 4 Fuzhou Longyan Quanzhou Zhangzhou 255 1 2,400 3 Xiamen zhangzhou Offshore Hong Kong 2 1 135,140 0 Hong Kong West Strait TOTAL 8,701 48 2,232 100 Econimic Zone Unit Cost of Land Bank as % Contracted ASP Unit Cost of Land Bank as % FY2014 Contracted ASP % % 50 30.0 22.4 40 35.3 27.4 16.1 22.4 17.3 28.7 17.0 17.7 20.0 16.6 30 24.7 15.3 11.8 18.6 20 10.7 10.0 10 5.6 14.4 13.4 0 0.0 Xiamen Fuzhou Quanzhou Longyan Shanghai Hefei Bengbu Tianjin FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 13

MARKET LEADERSHIP IN XIAMEN, FUJIAN PROVINCE Largest Land Bank* in Xiamen (As at Dec 2014) 6 Million sq.m. 9 2.00 Fuzhou 7 1.82 5 8 1.60 1.53 1.10 1.20 Quanzhou Longyan 0.65 0.80 0.53 Xiamen 0.45 4 0.34 3 2 0.39 0.38 1 0.26 0.40 Zhangzhou - Yuzhou Vanke Shimao BCDC CR Land SCE Longfor MingfaPowerlong COLI Completed Under development Held for development Residential Market Share in Xiamen# Selected projects in Xiamen % 1 Yuzhou World Trade Center 2 Yuzhou Plaza 3 Yuzhou Shoreline 15% 10.0% 9.5% 9.4% 9.3% 9.1% 10% 8.0% 5 6 4 Yuzhou Cloud Top Int’l Yuzhou Central Coast Yuzhou Riverside City Town 7.1% 5% 7 Yuzhou Lucca Town 8 Xiang’an New Project 9 Jimei New Project 0% 2008 2009 2010 2011 2012 2013 2014 * Source : Database from CRIC, as at 31 Dec 2014 Xiamen Municipal Land, Resources & Housing Administrative Bureau # Note: In terms of GFA sold 14

FY2014 CONTRACTED SALES Interest in Contracted Contracted Contracted Contracted Sales # Project Project Sales As of Total GFA ASP (FY2012 vs. FY2013vs. FY2014) City % (RMB mn) (%) (sq.m.) (RMB/sq.m.) 1 Yuzhou Golf Xiamen 100% 196 2% 12,744 15,400 2 Yuzhou Shoreline Xiamen 100% 1,151 10% 58,236 19,764 RMB million 3 Yuzhou Central Coast Phase I Xiamen 80% 208 2% 22,300 9,334 (incl. car parks) 4 Yuzhou Central Coast Phase II Xiamen 80% 201 2% 19,022 10,556 12,001 5 Yuzhou Central Coast Phase III Xiamen 80% 1,300 11% 68,211 19,063 10,959 6 Yuzhou Riverside City Town Xiamen 100% 806 7% 71,628 11,255 7 Yuzhou Cloud Top International Xiamen 100% 815 7% 22,710 35,901 2H 6,691 8 Haicang Dream Town Xiamen 20% 1,416 12% 94,282 15,023 5,260 6,529 9 Yuzhou Gushan No.One Fuzhou 60% 207 2% 10,328 20,061 1H 10 Yuzhou Oriental Venice Phase II Fuzhou 45% 23 0% 1,252 18,347 2,730 11 Yuzhou Oriental Venice Phase III Fuzhou 45% 301 3% 30,436 9,877 5,699 5,310 12 Yuzhou City Plaza Phase I Quanzhou 100% 587 5% 86,822 6,762 3,799 13 Yuzhou Castle above City Longyan 100% 399 3% 73,215 5,445 14 Others Xiamen 100% 92 1% 18,551 4,949 FY2012 FY2013 FY2014 West Strait Economic Zone 7,702 64% 589,736 13,061 15 Land Dream Shanghai 100% 62 1% 7,074 8,733 16 Yuzhou City Plaza Shanghai 100% 58 0% 5,303 11,024 17 Yuzhou Commercial Plaza Shanghai 100% 87 1% 4,407 19,648 FY2012 FY2013 FY2014 18 Yuzhou Skyline Phase I &II Hefei 100% 72 1% 6,152 11,643 (incl. retail shops) 19 Yuzhou Skyline Phase III Hefei 100% 1,143 10% 155,404 7,354 # of Cities 6 7 8 20 Yuzhou Jade lakeshire Hefei 100% 854 7% 116,642 7,325 21 Yuzhou Central Plaza Hefei 65% 1,083 9% 177,009 6,116 22 Yuzhou Town Hefei 100% 206 2% 23,406 8,785 # of Projects 17 20 26 23 Yuzhou Royal Seal Hefei 49% 161 1% 25,485 6,299 24 Yuzhou Prince lakeshire Bengbu 100% 222 2% 45,078 4,932 Yangtze River Delta 3,947 33% 565,959 6,974 ASP 8,951 10,499 9,972 25 Yuzhou Palace Country Tianjin 100% 275 2% 39,083 7,027 (RMB/sq.m.) 26 Yuzhou Royal Lakeshire Tianjin 100% 77 1% 8,781 8,781 Bohai Rim Region 352 3% 47,864 7,348 Total 12,001 1,203,559 9,972 15

MONTHLY CONTRACTED SALES IN 2013 vs. 2014 Monthly Contracted Sales ( Jan 2013 – Dec 2014) Contracted Sales ASP (RMB’million) (RMB/sq.m.) 2,410 2,500 16,000 14,642 13,407 13,799 14,000 1,983 12,655 2,000 13,417 11,501 12,000 10,665 10,531 9,815 10,094 9,604 9,488 1,521 11,108 1,417 10,000 10,458 1,500 8,988 8,432 9,867 9,337 9,302 9,263 1,263 9,486 8,671 8,000 1,113 8,687 8,576 1,036 917 1,000 890 879 6,000 822 819 797 791 716 709 704 685 678 606 599 577 4,000 492 536 500 2,000 0 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Contracted Sales in 2013 Contracted Sales in 2014 ASP in 2013 ASP in 2014 16