Company News
Hemaraj Financial Results of Q3/2013
13/11/2013
- 9 MONTHS 2013 REVENUE OF BAHT 6,320 MILLION UP 36%
- 9 MONTHS 2013 NET INCOME OF BAHT 2,086 MILLION UP 30% (NORMALIZED NET INCOME (NNI) OF BAHT 2,195 MILLION UP 51%)
- INCREASE INDUSTRIAL LAND SALES TARGET TO 2,300 RAI (3RD REVISED)
Hemaraj Land And Development Public Company Limited announced its operating and financial results for the 9 months of 2013 as summarized below.
Net Income
For Quarter 3’2013, Hemaraj reported Total Net Income of Baht 625 million, or increase of 1% compared with the same period of the previous year. Earnings per-share was 0.064 Baht per share, representing an increase of 1%. Normalized Net Income (NNI) for Quarter 3’ 2013 was Baht 675.9 million (excluding unrealized foreign exchange loss of Baht 50.9 million), or an increase of 45%.
For the first 9 months of 2013, Hemaraj reported Total Net Income of Baht 2,085.9 million, and earnings per-share of 0.215 Baht per share, or an increase of 30% with the same period of 2012.
The Increase of Net Income for the first 9 months of 2013 was due to revenue growth from industrial estates, utilities, and rental properties. For the first 9 months of 2013, there was an unrealized foreign exchange translation loss from Power Investment (Gheco-One and GJP NLL) of Baht -109.5 million compared to an unrealized foreign exchange translation gain of Baht 147.3 million in the same period of 2012. Normalized Net Income (NNI) for the first 9 months of 2013 was Baht 2,195.4 million, an increase of 51%.
David Nardone, President and CEO of Hemaraj Land And Development Public Company Limited had the following comments on the company’s performance. “Hemaraj Land And Development Public Company Limited finished the first 9 months of 2013 with record results. Operating Revenue of Baht 6,358.4 million increased 36%. EBITDA of Baht 2,490.6 million, with a 39% margin, increased 49%. Normalized Net Income of Baht 2,195.4 million reflected solid financial results.
Our broadened revenue reflected the Industrial Estate Land sales revenue being up 37%, Industrial Estate Utilities revenue increase of 14%, as well as Ready Built Factory rental revenue increase of 50%, all being in comparison with the prior year.
For the first 9 months of 2013, operating results were Industrial Estate Sales of 1,978 rai (791 acres or 316 hectares),with 82 contracts, 50 new customers and 32 project expansions from existing customers. Foreign Direct Investment in Thailand reflected Baht 798.4 billion approved projects for the first 9 months of 2013 by the Board of Investment, a 14% increase from the same period of 2012. With these operating results reflected, we again increase our 2013 industrial estate sales forecast to 2,300 rai from our original 2013 budget of 1,600 rai. Gheco-One, a 660 MW IPP power project with Hemaraj 35% shareholding as well as the 126 MW SPP power project with Gulf JP are projected to increase contributions to earnings going forward.
Hemaraj investments are progressing with balanced growth in our core business areas - industrial estates, utilities, power, ready-built factories, logistics parks, and properties. This is improving the predictability of the revenue and earnings. Our strategy is focused to provide superior long term returns to shareholders.”
Revenue and Results of Operations for 9 months of 2013
For the 9 months of 2013, Hemaraj’s Total Revenue was Baht 6,320.1 million compared with Baht 4,637 million for the same period of 2012, representing a 36% increase. Total Operating Revenue from core businesses was Baht 6,358.4 million, a 36% increase from the same period of 2012. Industrial Estate Land Sales for first 9 months of 2013 were Baht 4,030.6 million, or a 37% increase, with a gross margin of 50%. There is an additional Baht 4,158 million in deferred revenue, with recognition based on the transfer date, from Industrial Estate land sales not recognized to date representing sales that will be recognized primarily over the next 3 to 24 months.
Industrial estate utilities increased to Baht 1,174 million, or an increase of 14%, reflecting the higher utility volumes and rates. Total Utilities which includes industrial estate utilities, dividend from power utilities associates, and other utilities and services fees increased to Baht 1,204.9 million, an increase of 12%. Total Rental Property and Services Revenue including ready built factory rental, logistics parks rental, pipe-rack rental, and commercial office rental increased to Baht 745.1 million, an increase of 40%. Sale of Property including ready built factory sales, residential sales and other land/property sales increased to Baht 377.8 million, an increase of 249%.
The Gross Profit was Baht 3,039.9 million, a 43% increase from the same period of last year. Earnings Before Interest Tax Depreciation and Amortization (EBITDA) were Baht 2,490.6 million, a 49% increase from the same period of last year. The Gross Profit Margin and EBITDA Margin improved to 48% and 39%, respectively.
Significant Activities for 9 months of 2013
• Industrial Estate Land Sales were 1,978 rai with 82 contracts, 50 new customers and 32 project expansions from existing customers. Hemaraj now has 605 distinct new customers with 914 contracts including 212 automotive customers with 322 automotive contracts.
• Ready Built Factories for Rent increased 48,476 square meters or 21% from 2012 year-end cumulative balance, totaling 284,285 square meters under rent with an additional 11,506 square meters pre-leased.
• Hemaraj Logistics Parks for Rent increased 55,325 square meters from 2012 year-end cumulative balance, totaling 72,145 square meters under rent.
• New Bond in Q1’2013 Baht 2.5 Billion, 10 years with an interest rate of 5.5% fixed.
Activities after Quarter 3, 2013
• The Board of Directors approved the interim dividends from the operating results from 1 January 2013 to 30 June 2013 at Baht 0.06 per share paid on 30 October 2013.
Balance Sheet Highlights for the 9-month period ended 30th September 2013
At 30th September 2013, Hemaraj reported Total Assets of Baht 29,564 million, Total Liabilities of Baht 17,142 million and Total Shareholders’ Equity of Baht 12,422 million. The Net Debt to Equity ratio was 1.27 to 1 with Cash and Deposits on Hand of Baht 1,314 million.
- 9 MONTHS 2013 NET INCOME OF BAHT 2,086 MILLION UP 30% (NORMALIZED NET INCOME (NNI) OF BAHT 2,195 MILLION UP 51%)
- INCREASE INDUSTRIAL LAND SALES TARGET TO 2,300 RAI (3RD REVISED)
Hemaraj Land And Development Public Company Limited announced its operating and financial results for the 9 months of 2013 as summarized below.
Net Income
For Quarter 3’2013, Hemaraj reported Total Net Income of Baht 625 million, or increase of 1% compared with the same period of the previous year. Earnings per-share was 0.064 Baht per share, representing an increase of 1%. Normalized Net Income (NNI) for Quarter 3’ 2013 was Baht 675.9 million (excluding unrealized foreign exchange loss of Baht 50.9 million), or an increase of 45%.
For the first 9 months of 2013, Hemaraj reported Total Net Income of Baht 2,085.9 million, and earnings per-share of 0.215 Baht per share, or an increase of 30% with the same period of 2012.
The Increase of Net Income for the first 9 months of 2013 was due to revenue growth from industrial estates, utilities, and rental properties. For the first 9 months of 2013, there was an unrealized foreign exchange translation loss from Power Investment (Gheco-One and GJP NLL) of Baht -109.5 million compared to an unrealized foreign exchange translation gain of Baht 147.3 million in the same period of 2012. Normalized Net Income (NNI) for the first 9 months of 2013 was Baht 2,195.4 million, an increase of 51%.
David Nardone, President and CEO of Hemaraj Land And Development Public Company Limited had the following comments on the company’s performance. “Hemaraj Land And Development Public Company Limited finished the first 9 months of 2013 with record results. Operating Revenue of Baht 6,358.4 million increased 36%. EBITDA of Baht 2,490.6 million, with a 39% margin, increased 49%. Normalized Net Income of Baht 2,195.4 million reflected solid financial results.
Our broadened revenue reflected the Industrial Estate Land sales revenue being up 37%, Industrial Estate Utilities revenue increase of 14%, as well as Ready Built Factory rental revenue increase of 50%, all being in comparison with the prior year.
For the first 9 months of 2013, operating results were Industrial Estate Sales of 1,978 rai (791 acres or 316 hectares),with 82 contracts, 50 new customers and 32 project expansions from existing customers. Foreign Direct Investment in Thailand reflected Baht 798.4 billion approved projects for the first 9 months of 2013 by the Board of Investment, a 14% increase from the same period of 2012. With these operating results reflected, we again increase our 2013 industrial estate sales forecast to 2,300 rai from our original 2013 budget of 1,600 rai. Gheco-One, a 660 MW IPP power project with Hemaraj 35% shareholding as well as the 126 MW SPP power project with Gulf JP are projected to increase contributions to earnings going forward.
Hemaraj investments are progressing with balanced growth in our core business areas - industrial estates, utilities, power, ready-built factories, logistics parks, and properties. This is improving the predictability of the revenue and earnings. Our strategy is focused to provide superior long term returns to shareholders.”
Revenue and Results of Operations for 9 months of 2013
For the 9 months of 2013, Hemaraj’s Total Revenue was Baht 6,320.1 million compared with Baht 4,637 million for the same period of 2012, representing a 36% increase. Total Operating Revenue from core businesses was Baht 6,358.4 million, a 36% increase from the same period of 2012. Industrial Estate Land Sales for first 9 months of 2013 were Baht 4,030.6 million, or a 37% increase, with a gross margin of 50%. There is an additional Baht 4,158 million in deferred revenue, with recognition based on the transfer date, from Industrial Estate land sales not recognized to date representing sales that will be recognized primarily over the next 3 to 24 months.
Industrial estate utilities increased to Baht 1,174 million, or an increase of 14%, reflecting the higher utility volumes and rates. Total Utilities which includes industrial estate utilities, dividend from power utilities associates, and other utilities and services fees increased to Baht 1,204.9 million, an increase of 12%. Total Rental Property and Services Revenue including ready built factory rental, logistics parks rental, pipe-rack rental, and commercial office rental increased to Baht 745.1 million, an increase of 40%. Sale of Property including ready built factory sales, residential sales and other land/property sales increased to Baht 377.8 million, an increase of 249%.
The Gross Profit was Baht 3,039.9 million, a 43% increase from the same period of last year. Earnings Before Interest Tax Depreciation and Amortization (EBITDA) were Baht 2,490.6 million, a 49% increase from the same period of last year. The Gross Profit Margin and EBITDA Margin improved to 48% and 39%, respectively.
Significant Activities for 9 months of 2013
• Industrial Estate Land Sales were 1,978 rai with 82 contracts, 50 new customers and 32 project expansions from existing customers. Hemaraj now has 605 distinct new customers with 914 contracts including 212 automotive customers with 322 automotive contracts.
• Ready Built Factories for Rent increased 48,476 square meters or 21% from 2012 year-end cumulative balance, totaling 284,285 square meters under rent with an additional 11,506 square meters pre-leased.
• Hemaraj Logistics Parks for Rent increased 55,325 square meters from 2012 year-end cumulative balance, totaling 72,145 square meters under rent.
• New Bond in Q1’2013 Baht 2.5 Billion, 10 years with an interest rate of 5.5% fixed.
Activities after Quarter 3, 2013
• The Board of Directors approved the interim dividends from the operating results from 1 January 2013 to 30 June 2013 at Baht 0.06 per share paid on 30 October 2013.
Balance Sheet Highlights for the 9-month period ended 30th September 2013
At 30th September 2013, Hemaraj reported Total Assets of Baht 29,564 million, Total Liabilities of Baht 17,142 million and Total Shareholders’ Equity of Baht 12,422 million. The Net Debt to Equity ratio was 1.27 to 1 with Cash and Deposits on Hand of Baht 1,314 million.