Yearly Briefing 2014major.listedcompany.com/misc/quarterly/20150218... · Investments Portfolio TS Y S Dec 31,14 Bt.million Investments %Share Cost per Share Market value* Major's

MAJOR CINEPLEX GROUP PLC.

LIFESTYLE entertainment

Analyst Meeting 2015 Paragon Cineplex, Siam Paragon: February 16th, 2015

Yearly Briefing

2014

Amt. %

Revenue 1,796 100% 2,124 100% 328 18%

Gross margin 590 33% 730 34% 140 24%

EBITDA 371 21% 516 24% 144 39%

EBIT 174 10% 293 14% 119 69%

Net Profit 110 6% 207 10% 97 89%

110 6% 179 8% 69 63%

Bt.Million 4Q13 4Q14growth

Net Core Profit (excl.divest. in SF&PVRL)

• Strong performance from movie line-up. • Gross margin and EBIT improved from efficient cost management. • Divestment from PVRL in 4Q14, net amount 29MB. • Political situation in 4Q13.

Financial Highlights 4Q14 QUARTERLY BRIEFING LIFESTYLE

entertainment

1,7

96 2

,12

4

4Q13 4Q14

4Q13 4Q14

4Q14 QUARTERLY BRIEFING LIFESTYLE entertainment

Net profit

Net Profit

+89%

+63% Core profit Excl.gain on divest. in SF &PVRL 110

207

Bt.

mill

ion

Revenue

+18%

4Q13 4Q14

4Q13 4Q14

4Q13 4Q14

179 Margins 4Q13 4Q14 variance

Admissions 15% 20% 4%

Concessions 67% 70% 3%

Advertising services 87% 86% -1%

Bowling group 43% 36% -7%

Rentals & services 16% 23% 7%

Movie Contents -62% -18% 44%

Consol 33% 34% 2%

•Gross margin improved from efficient cost management. • Advertising, Gross margin slightly declined from investment in Digital screens. (Depreciation) • Bowling, Under cost from New locations in 4Q13 (Chiangmai & Hatyai)

13

0

12

9

4Q13 4Q14

926

1,1

25

4Q13 4Q14

27

6

27

4

4Q13 4Q14

12

0 13

6

4Q13 4Q14

76

14

0

4Q13 4Q14

26

7

31

9

4Q13 4Q14 4Q13 4Q14

260

273

4Q13 4Q14

1,7

96 2

,12

4

4Q13 4Q14

4Q14 QUARTERLY BRIEFING LIFESTYLE entertainment

Revenue

+18%

Admissions

+21%

Concession

+20% Advertising

-0.7%

Bowling

group

-0.9% Retails

+13%

Movie

Content

+84%

Bt.

mill

ion

4Q13 4Q14

Revenue Break down

13

0

12

9

4Q13 4Q14

926

1,1

25

4Q13 4Q14

27

6

27

4

4Q13 4Q14

12

0 13

6

4Q13 4Q14

76

14

0

4Q13 4Q14

26

7

31

9

4Q13 4Q14

276 274

* Core Advertising

+5%yoy

Amt. %

Revenue 7,713 100% 8,623 100% 910 12%

Gross margin 2,702 35% 3,148 37% 446 17%

EBITDA 2,161 28% 2,343 27% 182 8%

EBIT 1,450 19% 1,515 18% 65 4%

Net Profit 1,052 14% 1,086 13% 35 3%

830 11% 978 11% 148 18%

Bt.Million FY13 FY14growth

Net Core Profit (excl.divest. in SF&PVRL)

Financial Highlights • Revenue growth from highlight movies, new branches & up price. • Gross margin & EBIT improved from efficiently cost management. • Strong net core profit.

2014 YEARLY BRIEFING LIFESTYLE entertainment

Net profit growth from • 9 branches expansion in cinema business. •Investment in Cambodia. •Cost control is effective improvement and continue.

2013 2014

+3%

+18% Core profit Excl.gain on divest. in SF &PVRL 8

30

97

8

2013 2014

1,052 1,086

Bt.

mill

ion

2013 2014

Margins Y13 Y14 variance

Admissions 19% 20% 1%

Concessions 69% 70% 1%

Advertising services 87% 86% -1%

Bowling group 37% 36% -1%

Rentals & services 17% 21% 4%

Movie Contents -13% 10% 23%

Consol 35% 37% 1%

2013 2014

Revenue

+12%

2013 2014


Net profit

2013 2014

Revenue Break down

Revenue

+12% Admissions

+9% Concession

+11% Advertising

+6%

Bowling

group

+12% Retails

+8%

Movie

Content

+50%

Revenue growth in every business units.

Bt.

mill

ion

2013 2014

42

9 48

1

2013 2014

4,0

90 4,4

75

2013 2014

1,1

75 1,3

10

2013 2014

1,0

63

1,1

27

2013 2014

482

52

0

2013 2014

47

4

71

0

2013 2014


4,0

90 4,4

75

2013 2014

Revenue : Admissions Sale

Admissions sale

+9%

2013 2014 Bt.

mill

ion

307 293

232

149 136 104

-

50

100

150

200

250

300

350

Tra

nsf

orm

er4

I Fin

e t

ha

nk …

Nar

esu

an5

Spid

erm

an2

Cap

tian

Am

eric

a2

Ma

lefi

cen

t

*558

240 213

128 107

-

100

200

300

400

500

600

Pe

eM

ak

Iro

nM

an3

Fast

6

Tho

r2

GI J

oe

2

2013 2014

Varity of movies that gain more than 100mb in 2014


143

147 147

151

134 136 138 140 142 144 146 148 150 152 154 156 158 160

2011 2012 2013 2014

383 413

479 520

-

100

200

300

400

500

600

2011 2012 2013 2014

4,0

90 4,4

75

2013 2014

Revenue : Admissions Sale

Admissions sale

+9%

2013 2014 Bt.

mill

ion

-

Q Q Q Q Q Q Q

Guest Count(million) ATP

In 2014 37 new screens,

9 branches & 7 Screens in Cambodia

(opened in 3Q14)

No.of Screens

24.9 24.1 29.1 30.6

-

5.0

10.0

15.0

20.0

25.0

30.0

35.0

2011 2012 2013 2014

Guest Count & ATP

Excl

.Co

mp

lem

enta

ry

+5%

ATP increased from up price and manage price tiers in each locations.


1,17

5 1,31

0

2013 2014

2013 2014 Bt.

mill

ion

Revenue : Concession

812914

1,1751,310

64% 64%69% 70%

20%

30%

40%

50%

60%

70%

80%

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

2011 2012 2013 2014

812914

1,1751,310

64% 64% 69% 70%

2011 2012 2013 2014

Chart Title

Concession Sales %Concession margins

Concession Sale

+11%

Concession sales and margin improved from cost control, variety of bucket sets, and up price.


-100

100

300

500

700

900

1,100

1,300

1,500

2011 2012 2013 2014

1,06

3

1,12

7

2013 2014

Advertising sale

+6%

2013 2014 Bt.

mill

ion

Revenue : Advertising

Advertising revenue & %margin

•Growth from Movie package and more screens. •Gross margin slightly declined from investment in Digital screens. (Depreciation)


42

9 48

1

2013 2014

Bowling group sale

+12%

2013 2014 Bt.

mill

ion

Revenue : Bowling Group

441 451 429481

29%

33%

37%36%

0%

5%

10%

15%

20%

25%

30%

35%

40%

0

100

200

300

400

500

600

700

2011 2012 2013 2014

Bowling Group revenue & %margin

Revenue growth from new branches and increasing game fee (In 2014,80.2bt. Per game from 73.3bt. Per game)


48

2

52

0

2013 2014

483505

482

520

-

-

-

-

-

300

350

400

450

500

550

600

650

2011 2012 2013 2014

Retails sale

+8%

2013 2014 Bt.

mill

ion

Revenue : Retails

Retails revenue & %margin

Revenue increased from WE Fitness at Sukhumvit location and Center point at Ratchayothin location


474

710

2013 2014

Movie Content sale

+50%

2013 2014 Bt.

mill

ion

Revenue : Movie Content

Revenue growth from;

•Selling movie license to Cable TV. •More revenue from independent films. •Distribution home entertainment (DVD).


0.42 0.40

0.700.62

-0.50

-0.30

-0.10

0.10

0.30

0.50

0.70

0.90

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

2011 2012 2013 2014

Net interest-bearing debts Equity Net D/E

6,099 6,387

7,5307,546

13,63013,932

Dec 31,13 Dec 31,13 Dec 31,14 Dec 31,14

B/S Snapshot

Dec 31,13 Dec 31,14

AS

SET

S

AS

SET

S

EQU

ITY

EQU

ITY

LIA

BIL

ITIE

S

LIA

BIL

ITIE

S

0.60

0.51

0.420.34

-0.50

-0.30

-0.10

0.10

0.30

0.50

0.70

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

18,000

YE09 YE10 YE11 End of 1Q12

Net interest-bearing debts Equity Net D/E

Bt.million Dec 31,13 Dec 31,14 %chg

Assets 13,630 13,932 2%

Liabilities 7,530 7,546 0%

Equity 6,099 6,387 5%


Maintain D/E Ratio

Bt.million

Interest-bearing debts Dec 31'14

Bank OD & ST loans 2,235

CP of LT borrowings 116

LT borrowings 388

Debentures 1,800

Total 4,538

6,099 6,387

7,5307,546

13,63013,932

Dec 31,13 Dec 31,13 Dec 31,14 Dec 31,14

vs. Interest-bearing debts

• Investment portfolio as of 12 Feb 2015: • 24.43% in Siam Future Development Plc. (SF) • 33.00% in Major Cineplex Lifestyle

Leasehold Property Fund (MJLF) • 92.49% in M Pictures Entertainment Plc. (MPIC) • 40.00% in ThaiTicketMajor Co., Ltd. • 5.58% in PVR Limited (PVRL) • 49.00% in PVR blu-O Entertainment Limited • 50.00% in K-ARENA • 70.00% in Major Platinum Cineplex Co.,ltd.(Cambodia)

Investments Portfolio

AS

SET

S

EQU

ITY

LI

AB

ILIT

IES

Dec 31,14

Bt.million

Investments %ShareCost per

Share

Market

value*Major's Cost Gain(Loss)

Siam Future 24.43% 3.06 3,021 1,109 1,912

MJLF 33.00% 10.00 1,361 1,089 272

MPIC 92.49% 1.67 2,368 2,003 365

PVRL 5.58% 120.45 774 277 497

Total 7,524 4,478 3,046

*% Share & Closing price on 12Feb15

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Dividend payout

AS

SET

S

EQU

ITY

2nd Dividend pay of Bt 0.55/share

Dividend payment is Bt 489.5 MB on Apr 30, 2015


FY11 FY12 (before

restate)

FY13 FY14

Net Profit (Bt.Million) 781.67 811.14 1,051.63 1,086.28

% Dividend Payout 91.15% 94.57% 84.75% 86.07%

EPS (Bahts) 0.90 0.92 1.18 1.22

DPS (Bahts) 1st Half 0.43 0.39 0.50 0.50

DPS (Bahts) 2nd

Half 0.39 0.48 0.50 0.55

DPS (Bahts) 0.82 0.87 1.00 1.05

781.7 811.11,051.6 1,086.3

91.15%

94.57%

84.75%86.07%

60.00%

80.00%

100.00%

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

2,200

2,400

2,600

2,800

3,000

FY11 FY12 (before restate)

FY13 FY14

Net Profit (Bt.Million) % Dividend Payout


GROWTH POTENTIALS

GROWTH POTENTIALS

*Please note that release dates are subject to change.


2Q15 Blockbuster Highlight

2Q15

Fast & Furious 7 (Warner)

Avengers: Age of Ultron (Sony)

Tomorrowland (Sony)

Jurassic World (UIP)

Mad Max : Fury Road (Warner)

Spy (Warner)

Chappie (Sony)

Run All Night (Warner)

San Andreas (Warner)

Paul Blart: Mall Cop 2 (Sony)

King Naresuan 6 (Mongkol)

2 Movies from MPIC Group

http://projectc1.projectcasting.netdna-cdn.com/wp-content/uploads/2013/10/fantastic_four_reboot_poster_by_skinnyglasses-d3f6qb6.jpg

http://img2.wikia.nocookie.net/__cb20140316100002/thehungergames/images/5/55/Mockingjay2_Movie_Logo.jpg

http://www.imdb.com/media/rm70108416/tt1964418?ref_=tt_ov_i



http://en.wikipedia.org/wiki/File:KingNaresuanposter.jpeg

http://aggressivecomix.com/2015/01/avengers-age-of-ultron-official-super-bowl-tv-spot/

http://film-book.com/san-anderas-2015-dwayne-johnson-1st-official-image-new-casting

http://film-book.com/san-anderas-2015-dwayne-johnson-1st-official-image-new-casting

http://cdn.film-book.com/wp-content/uploads/2014/03/dwayne-johnson-san-andreas-01-640x364.jpg

GROWTH POTENTIALS

20

“We are the only movie theaters in the world which collected customer database. Also adding value by using social media such as Online E -ticketing, Facebook, Twitter, Line, Mobile application, etc.”


Total 2,500,591 members (As of December 2014)

Ratio M Gen Card

M Generation: Member Card

Mgen Freedom (60Yrs Old) Mgen First (Invitation Only)

Mgen Regular Mgen Student

Mgen Kids Mgen IMAX

41%

55%

4% MGEN Regular

MGEN Student

MGEN Others -MGEN Freedom -MGEN IMAX -MGEN Kids -MGEN First Class

http://www.google.co.th/url?url=http://movie.mthai.com/movie-news/154260.html&rct=j&frm=1&q=&esrc=s&sa=U&ei=vu-7U_XlDMf_8QWl1IC4Bw&ved=0CC0Q9QEwDA&usg=AFQjCNH6ul_E41iPfVXHdrWAnBONtSbQsA

http://www.majorcineplex.com/wp-content/uploads/2013/07/Picture1.jpg?2420b0

GROWTH POTENTIALS

21

Major Friends: 14,500,000 Members

Major Group: 2,350,000 Members

Twitter Major Group: 827,000 Followers

Major is expert in online entertainment and interesting in online media.


Instagram: 117,000 Members

GROWTH POTENTIALS

22

•Customers can book the ticket through many channels like E-Ticketing Machines, Mobile Application (iOS, Android), Major Cineplex’s website, also customers can pick up the tickets by using barcode at kiosks or receive the tickets at 7-11 (Convenience store)

•85% of admission revenue comes from non box office (Data as of Y2014)

•Those technology will come to replace manpower in box office areas.


Online Booking: E-Ticketing, Mobile Application and Online ticketing

Major Movie plus Application 4,300,000 Members E-Ticketing Machine

420 Units in 72 Branches

MAJOR CINEPLEX GROUP LIFESTYLE entertainment

Expansion Plan: Major will reach 600 Screens by year 2015

2Q12 2Q13

1 Emquartier 82 Big C Udonthani 43 Sahathai Suratthani 74 Central Rayong 85 Lotus (Location: TBA) 4

6 Big C (Location: TBA) 27 Central Samui 38 Central West Gate (Bang Yai) 129 Big C (Location: TBA) 4

10 Big C (Location: TBA) 411 Promanade 8

12Central East Ville

(Ekamai - Ramindra)8

13 Lotus (Location: TBA) 2



16 Lotus (Location: TBA) 417 Lotus (Location: TBA) 518 Local Developer 4

2Q15

(37 Screens)

2H15

(41 Screens)

1Q15

(19 Screens)

Item Location Screens Opening Date

(Data as of February 2015)

https://www.facebook.com/Park24condo


INTERNATIONAL PROJECT

International Project India: PVR Cinemas


Currently, PVR cinemas has got 462 Screens in 104 Locations and will be reach by 500 screens by year 2015.

Major hold 5.58% of PVR Cinemas (PVRL)

PVR Cinemas is now India's Largest Multiplex Chain.

International Project India: PVR BluO


Currently, PVR BluO has got 110 Bowling lanes in 5 Locations.

International Project Cambodia


Cambodia: Major is partnering Japan's Aeon Mall to operate a cinema complex in Cambodia's capital with 7 screens and 14 bowling lanes. The investment of 150 million baht will be made through a holding company of Major's international joint venture with a local firm. Major hold 70% of JV. This project opened since 30th June 2014


Thank You


Documents

Yearly Briefing 2014major.listedcompany.com/misc/quarterly/20150218... · Investments Portfolio TS Y S Dec 31,14 Bt.million Investments %Share Cost per Share Market value* Major's