Company PresentationAugust 2012
Anantara Eastern Mangroves
Abu Dhabi, UAE
Statements included or incorporated in these materials that use the words "believe", "anticipate", "estimate", "target", or "hope", or
that otherwise relate to objectives, strategies, plans, intentions, beliefs or expectations or that have been constructed as statements as
to future performance or events, are "forward-looking statements" within the meaning are not guarantees of future performance and
involve risks and uncertainties that could cause actual results to differ materially from historical results or those anticipated at the time
the forward-looking statements are made. MINT undertakes no obligation to publicly update or revise any forward-looking statement,
whether as a result of new information, future events or otherwise. MINT makes no representation whatsoever about the opinion or
statements of any analyst or other third party. MINT does not monitor or control the content of third party opinions or statements and
does not endorse or accept any responsibility for the content or the use of any such opinion or statement.
FORWARD LOOKING STATEMENT Disclaimer
2
AGENDA
2Q12 Results Recap & Progress Update
Appendix
The Path to our 5-Year Aspirations
3Anantara Uluwatu, Indonesia
1H12 Results Recap
44
6,000
8,000
10,000
2Q12 & 1H12 Results1H12 REVENUE INCREASE OF 26%
THB million +20% YoY
6,679
MINT REPORTED 1H12 REVENUE INCREASE OF 26% YoY, ATTRIBUTABLE TO STRONG PERFORMANCE OF HOTEL & MIXED-USE AND
RESTAURANT BUSINESSES, FULL OPERATIONS OF ANANTARA KIHAVAH IN THE MALDIVES AND ST. REGIS HOTEL BANGKOK, TOGETHER WITH
CONSOLIDATION OF OAKS.
6,278
8,030
7,345
8,767*
7,524
-
3,000
6,000
9,000
12,000
15,000
18,000
1H11 1H12
16,292
+26% YoY
12,957
THB million
Restaurant
Hotel & Mixed-Use
Retail Trading
-
2,000
4,000
1Q11 2Q11 3Q11 4Q11 1Q12 2Q12
Restaurant Hotel & Mixed-Use
Retail Trading Gain on Reclassification
5
of Investment in S&P
Restaurant
41%
Hotel &
Mixed-Use
49%
Retail
Trading
10%
* Note: Revenue of Anantara Vacation Club associated with the
inventory unit transfer in 1Q12 of THB 80 million has been adjusted to conform with the figures in this period
1H11 1H12
1,200
1,600
2,000
2,400
1H12 EBITDA INCREASE OF 38%
1H12 EBITDA INCREASED BY 38% YoY AS A RESULT OF THE CONTINUED RECOVERY OF EXISTING HOTEL OCCUPANCY AND ADR, THE
CONSOLIDATION OF OAKS AND NEW INVESTMENTS AND INITIATIVES, INCLUDING ST. REGIS AND ANANTARA KIHAVAH, TOGETHER WITH
ANANTARA VACATION CLUB, STARTING TO BEAR FRUIT THIS YEAR. EBITDA MARGIN IMPROVED AS A RESULT OF OPERATING LEVERAGE OF
BOTH HOTEL AND RESTAURANT BUSINESSES.
THB million
1,506
1,072
+22% YoY
2,254
1,369
2,245
2Q12 & 1H12 Results
1,311
600
1,200
1,800
2,400
3,000
3,600 3,557
2,578
+38% YoY
THB million
Restaurant
Hotel & Mixed-Use
Retail Trading
-400
-
400
800
1,200
1Q11 2Q11 3Q11 4Q11 1Q12 2Q12
Restaurant Hotel & Mixed-Use
Retail Trading Gain on Reclassification6
22.6%EBITDA
Margin
1,072
17.1% 17.2%*
* Excludes gain on reclassification of investments in S&P
of Investment in S&P
18.6% 25.6%
Restaurant
32%Hotel &
Mixed-Use
64%
Retail
Trading
4%
17.4%
-
1H11 1H12
EBITDA
Margin 19.9% 21.8%
800
1,000
1,200
1,400
1H12 NET PROFIT INCREASE OF 49%
THB million
1H12 NET PROFIT ROSE 49% YoY AS A RESULT OF IMPROVED PERFORMANCE OF HOTEL & MIXED USE AND RESTAURANT BUSINESSES,
TOGETHER WITH THE CONSOLIDATION OF OAKS. THE GROWTH RATE OF NET PROFIT EXCEEDED THAT OF REVENUE DUE TO THE IMPROVED
PROFITABILITY OF HOTEL& MIXED-USE AND RESTAURANT BUSINESSES, WITH NET MARGIN EXPANDING TO 10.1%
823
1,306
+30% YoY472
1,276
2Q12 & 1H12 Results
300
600
900
1,200
1,500
1,800
THB million+49% YoY
1,102
1,639
Restaurant
Hotel & Mixed-Use
Retail Trading
-200
-
200
400
600
1Q11 2Q11 3Q11 4Q11 1Q12 2Q12
Restaurant Hotel & Mixed-Use
Retail Trading Gain on Reclassification
7
12.3%Net
Margin
280
4.5% 3.6%*
+30% YoY
* Excludes gain on reclassification of investments in S&P
of Investment in S&P
472
6.4% 14.5%
Restaurant
36% Hotel &
Mixed-Use
59%
Retail
Trading
5%
364
4.8%
-
1H11 1H12
Net
Margin10.1%8.5%
OUR PROGRESS UPDATE – HOTEL & MIXED-USE
AS THE ORGANIC BUSINESS CONTINUES TO SEE IMPROVING PERFORMANCE, MINT CONTINUES TO BUILD ITS FOUNDATION FOR GROWTH
GOING FORWARD TO MEET OUR FIVE-YEAR STRATEGIC TARGETS
Progress Update
• Invested in Bundarika Villa &
Suites in Phuket
• Opened two new managed hotels
– Anantara Eastern Mangroves,
Abu Dhabi
• Invested in Oasis Resort Caloundra,
comprising freehold assets of 158
hotel rooms and 9 apartments,
together with management letting
rights contract in Sunshine Coast
• Anantara Sanya expected to be
Completed in 2Q12 Going into 3Q12
8
Abu Dhabi
– Anantara Uluwatu, Bali
• Closed Hua Hin Marriott Resort and
Spa as the land lease expires
• Acquired 18 units of inventories in
Bali
• Added another three units of
inventories in Bangkok
• Anantara Sanya expected to be
opened towards the end of 3Q12
OUR PROGRESS UPDATE – RESTAURANT
AS THE ORGANIC BUSINESS CONTINUES TO SEE IMPROVING PERFORMANCE, MINT CONTINUES TO BUILD ITS FOUNDATION FOR GROWTH
GOING FORWARD TO MEET OUR FIVE-YEAR STRATEGIC TARGETS
Progress Update
• Opened first two equity-owned
outlets in the Maldives
• Opening the first flagship full-
dining Coffee Club restaurant in
Ekamai, Bangkok in August 2012
• Opened one franchised outlet in
Egypt
Completed in 2Q12 Going into 3Q12
9
• Opened three franchised outlets in
Korea, bringing total number of
outlets in the country to 5 outlets
The Path to our 5-Year Aspirations
10
MINT: 5-Year StrategyMINT’S FIVE-YEAR STRATEGY 2011-2016
MINT’S FIVE-YEAR STRATEGY WAS FORMULATED MAINLY BASED ON THE FOLLOWING THREE KEY PILLARS, WITH THE SUPPORT OF THE
COMPANY’S ROBUST SET OF ORGANIZATIONAL CAPABILITIES, OPERATIONAL EXCELLENCE AND SYNERGY, AS WELL AS LONG-TERM
SUSTAINABILITY PROGRAM
Develop a Profitable
Portfolio of Own
Brands
ROIC > 15%
GOALS
Continually Enhance
Asset Productivity
Expand
Internationally
Through Strategic
Investments &
Acquisitions
Franchising Management Contracts
Mixed-Use
ROIC > 15%
NPAT ~15-20% CAGR
11
2007 2008 2009 2010 2016F2011
GEOGRAPHICAL DIVERSIFICATION
GEOGRAPHICALLY DIVERSIFY THE GROUP’S REVENUE SOURCE AND REDUCE RISK AND THE VOLATILITY OF CASH FLOW STREAM
1,611 1,236 1,892 1,400
-14%
101%11% 1%
114%
-1%
89% 99%
51%
49%
Net Profit (THB million)
2007 2008 2009 2010 2016F2011
19,089
14,029 16,515 17,244
96% 87% 82% 84%
4% 13% 18% 16% 60%
40%
Revenue (THB million)
27,278*
75%
25%
1,919*
85%
15%
MINT: 5-Year Strategy
12Thailand Overseas
2007 2008 2009 2010 2016F2011
Number of Hotel Rooms
4,114
2,3632,700
3,553
87% 84% 71% 72%
13%16%
29%28%
Thailand Overseas
2007 2008 2009 2010 2016F2011
Number of Restaurant Outlets
676
1,148 1,043
1,112
7%
33% 34% 34%
93% 67% 66% 66%
43%
57%
26%
74%
2,762
9,575
33%
67% 1,257
34%
66%
12,687
*Excluding gain from reclassification of S&P investment* Excluding gain from reclassification of investment in S&P and provision
for investment in China
Hotel: 5-Year StrategyHOTEL GROUP - FIVE-YEAR GROWTH DRIVERS
HOTEL GROUP’S REVENUE AND NET PROFIT GROWTH OVER THE NEXT FIVE YEARS WILL BE DELIVERED THROUGH BUILDING MULTI-BRAND
PORTFOLIO WITH THE FOLLOWING GROWTH LEVERS
Other
Mixed Use (e.g. Residential)
Other
Hotel Brands in the Portfolio
2011 2016E
13
FINANCIAL PERFORMANCE – HOTEL & MIXED-USE Hotel Updates
Revenue
THB Million
2,876 2,598
3,308 3,875
4,527
3,480
1,559
1H12 REVENUE AND PROFIT FROM HOTEL & MIXED-USE BUSINESS CONTINUED TO SEE IMPRESSIVE GROWTH YoY WITH IMPROVED
MARGINS.
Overall occupancy & ADR of MINT’s hotel
portfolio continued to improve
significantly YoY, due to relatively stable
political climate in the past year;
The new Anantara Kihavah and St. Regis
Bangkok, which reported losses during
start-up stage, saw considerable increase
in occupancy, helping both top line and
the profitability of the hotel portfolio;
Consolidation of Oaks’ performance since
Key Highlights+34%
YoY
5,474
8,007
1,508
2,285
+36%
+46% YoY
+52% YoY
14
EBITDA
NPAT
EBITDA
Margin
Net
Margin
1Q11
975
533 755
1,050
726
33.9%
586
38 101
433
881
90
20.4%
20.5%
1.5%
2Q11
Consolidation of Oaks’ performance since
June 2011 was another main
contribution, while post-acquisition plan
is on track;
Sales of Anantara Vacation Club is
becoming a meaningful contribution to
MINT’s real estates business;
Excluding one-time fair value adjustment
of the first 20% investment in Oaks from
AUD 0.35 to AUD 0.52 per share, or
revenues of THB 203 million and net
profit of THB 89 million, performance of
MINT’s hotel & mixed use business
improved even more significantly, with
revenue increase of 52% and net profit
increase of 81% YoY.
22.8%
3.0%
3Q11 4Q11
27.1%
11.2%
1Q12
34.4%
19.5%
1,508
624
971
1H11 1H12
20.9%
11.4% 12.1%
+36%
YoY
+134%
YoY
2.6%
2Q12
+56% YoY
27.5% 28.5%
MINT CONTINUED TO SEE IMPROVEMENT IN ITS OCCUPANCY AND REVPAR YoY, ATTRIBUTABLE TO IMPROVEMENT IN ALL CATEGORIES:
THAILAND AND OVERSEAS HOTELS, TOGETHER WITH THE CONSOLIDATION OF OAKS, WHICH COMMANDS RELATIVELY HIGH OCCUPANCY.
MINT’S HOTEL STATISTICS
THB
6,638
5,1124,953
5,483
6,039
5,230
3,981
2,871
3,3853,737
4,417
3,432
60%
56%
68%68%
73%
66%
40%
60%
80%
4,000
6,000
8,000
Hotel Updates
Revpar
+20% YoY THB
5,752 5,659
3,319
3,940
58%
70%
40%
60%
80%
4,000
6,000
8,000
Revpar
+19% YoY
15
RevparADR% Occupancy
* Note: Hotel Statistics include Oaks Hotel & Resort
No of rooms 4,237 9,593 9,596 9,575 9,707 9,838 9,593 9,838
2,871
0%
20%
0
2,000
1Q11 2Q11 3Q11 4Q11 1Q12 2Q12
0%
20%
0
2,000
1H11 1H12
INVESTMENT IN BUNDARIKA
MINT ANNOUNCED ITS SUCCESSFUL INVESTMENT IN BUNDARIKA RESORT AND SUITES IN PHUKET. THE INVESTMENT WILL FURTHER
ENHANCE MINT’S ALREADY STRONG PRESENCE IN PHUKET AND REINFORCE ITS CLUSTERING STRATEGY
Hotel Updates
JW Marriott Phuket(265 Rooms)
Anantara Phuket
Resort & Spa(83 Rooms)
Bundarika
Resort & Suites
(77 Rooms)
MINT’S PORTFOLIO IN PHUKET
HOTEL
16Note: Marriott Vacation Club & Mai Khao Beach Club previously recorded strong combined sales of over THB 6 billion.
Turtle Village Shopping Plaza
(In the process of building 100 villas)
Residential Project
(Planned extension on land
adjacent to BundarikaResort & Suites)
MIXED-USE
Oaks’ Expansion Track Record Post-Acquisition
OAKS’ STRONG PERFORMANCE
WITH SUCCESSFUL POST-ACQUISITION STRATEGY, OAKS’ ORGANIC PERFORMANCE CONTINUED TO EXPAND. MOREOVER, WITH THE
ADDITIONAL CREDIT LINE, OAKS IS SET FOR NEW MLR ACQUISITIONS. WITH ITS SIGNIFICANT CONTRIBUTION TO THE HOTEL & MIXED-USE
BUSINESS, OAKS IS ONE OF THE IMPORTANT GROWTH DRIVERS FOR MINT GOING FORWARD.
Hotel Updates
OAKS’ CONTRIBUTION TO MINT’S HOTEL & MIXED-USE BUSINESS IS QUITE SIGNIFICANT
0%
25%
50%
75%
100%
2011 1H12
Others
Oaks
OAKS’ REVENUE
CONTRIBUTION
TO TOTAL HOTEL & MIXED-USE
OAKS’ EBITDA
CONTRIBUTION
TO TOTAL HOTEL & MIXED-USE
23%
77%
30%
70%
0%
25%
50%
75%
100%
2011 1H12
Others
Oaks
23%
77%
28%
72%
Oaks’ Expansion Track Record Post-Acquisition
17
• Announced acquisition of
Grand Hotel in Gladstone. The
property is to be transformed
from a restaurant, pub and
casino into a 140-room hotel
(to be completed by 2013)
• Acquired additional MLR
contracts in Australia:
Broom (140 rooms) and
Monkomo (56 rooms) in
1Q12
• Acquired 25% of Tidal
Swell, the owner of four
properties currently
managed by Oaks
• Invested 100% stake in Oasis
Resort Caloundra, comprising
158 hotel rooms and 9
apartments, together with
MLR in Sunshine Coast
EXPANSION INTO MARKETS INSIDE AND OUTSIDE THAILAND WILL CONTRIBUTE WELL TO REVENUE & PROFIT IN COMING YEARS.
MINT’S HOTEL EXPANSION PLANS
Investment Hotel
2013
• Xishuangbanna, China (103 Rooms)
• Sanya, China (122 Rooms)
• Uluwatu, Bali (77 Rooms)
• Eastern Mangroves, UAE (222 Rooms)
Management Contract
2012• Masai Mara Camp,
Kenya (16 Rooms)
• Amboseli Camp,
Kenya (16 Rooms)
• Serengeti, Tanzania
(20 Rooms)
• Meru, Kenya
• Grand Hotel,
Gladstone
Australia
• Bundarika,
Phuket
(77 Rooms)
• Al Yamm, UAE (30 Rooms)
• Al Sahel, UAE (30 Rooms)
• Chengdu, China (150 Rooms)
• Broome, Australia (140
Rooms)
• Monkomo Queensland
Australia (56 Rooms)
Hotel Updates
• Oasis Resort
Caloundra,
Queensland,
Australia
(158 rooms)
18
9 Hotels / 796 Rooms
• Al Akhdar, Oman (123 Rooms)
• Al Madina, Oman (120 Rooms)
• Wayanad, India (95 Rooms)
• Mahabalipuram, India (130 Rooms)
• Udaipur, India (70 Rooms)
• Qiandao Lake, China (120 Rooms)
20 Hotels & Properties / 2,279 Rooms
2014
Total
• Meru, Kenya
(16 Rooms)
Australia
(143 Rooms)
(77 Rooms)
• Sri Lanka
Phase 1
(80 Rooms)
• Sri Lanka
Phase 2
(70 Rooms)
• Chengdu, China (150 Rooms)
• Chongqing, China (150 Rooms)
• Baoting, China (130 Rooms)
• Luang Prabang, Laos (115 Rooms)
• La Chaland, Mauritius (160 Rooms)
• Salalah, Oman (136 Rooms)
• Bangkok
(200 Rooms)
MINT’S COMPOSITION OF HOTEL ROOMS ARE EXPECTED TO CHANGE OVER THE NEXT FIVE YEARS. MINT WILL FOCUS ON THE EXPANSION
OF OUR OWN BRANDS, ANANTARA AND OAKS, MORE EXPONENTIALLY THROUGH ASSET LIGHT MODEL (MANAGEMENT CONTRACTS), WITH
GEOGRAPHICAL FOCUS OUTSIDE OF THAILAND.
MINT’S HOTEL PORTFOLIO
No of Rooms
8,000
10,000
12,000
14,000
12,687
8%
45%8,000
10,000
12,000
14,000
No of Rooms
8,000
10,000
12,000
14,000
No of Rooms
By LocationBy OwnershipBy Brand
9,838
7%
Hotel Updates
12,687
9,838
12,687
9,838
-
2,000
4,000
6,000
8,000
2005 1H12 2016F
Others Oaks
Avani Anantara
Four Seasons Marriott
2,169
55% 6% 4%
20%
27%
4%
19%
52%
37%
6%
3%
-
2,000
4,000
6,000
8,000
2005 1H12 2016F
Managed
Joint Venture
Own Equity
92% 25% 25%
8%
7%6%
68% 69%
2,169
-
2,000
4,000
6,000
8,000
2005 1H12 2016F
International
Outside Bangkok
Bangkok
36%15% 14%
56%
16% 12%8%
69% 74%
2,169
19
5%
2%
ANANTARA VACATION CLUB – STRONG BUSINESS MODEL ANANTARA VACATION CLUB’S SOLID BUSINESS MODEL WILL NOT ONLY DRIVE REVENUE AND EARNINGS OF ITSELF BUT WILL ALSO
ENHANCE VALUE PROPOSITION OF THE HOTEL GROUP AS A WHOLE. THE SYNERGISTIC BENEFITS OBTAINED ARE EXPECTED TO BE MUCH
GREATER THAN SUM OF THE PARTS
Experienced
Management
Expansion of Footprint Alongside Anantara Hotels to Help Enhance Value Proposition of the Group as a Whole
Key Success FactorsTo Contribute to Revenue and Earnings Growth
Mixed Use Update
Strong
“Anantara”
Brand
Affordability
for Consumers
vs. Pure
Property
Project
Synergistic
Opportunities
with MINT’s
Hospitality
Business
Return
Enhancement
Thailand
New Zealand
Bali
Sri Lanka
Middle East
Australia
China
Mauritius
Maldives
South Africa
20
Mixed Use UpdateANANTARA VACATION CLUB – STRONGER MOMENTUM EXPECTED IN 2012-16
SALES OF AVC CONTINUED TO GROW REMARKABLY IN 1H12, AND THE STRONG MOMENTUM IS EXPECTED TO CONTINUE INTO 2012 AND
BEYOND, AS MORE INVENTORIES ARE ADDED AND EFFECTIVE MARKETING EFFORTS FOCUSED ON TARGET MARKETS ARE IMPLEMENTED.
SALES ARE EXPECTED TO MORE THAN DOUBLE WITH BOTTOM LINE STARTING TO CONTRIBUTE STRONGLY TO THE GROUP’S PROFITABILITY
IN 2013
Thailand,
21%
Singapore,
21%
Malaysia,
13%
Hong
Kong, 11%
China, 5%
Australia,
India, 2%
USA, 2%
AVC Members
22 2746
360
0
100
200
300
400
Samui
Phuket
Samui
Phuket
Queenstown
10 Destinations
100 villas
being built in
Phuket
No of Units
Inventories is expected to be added with over 10 destinations over the next five years
Bangkok
Samui
Phuket
Bali
Queenstown4%
THB Million
Quarterly sales showed improving momentum
2011 2012E 2013E 2014E 2015E2011
Annual sales growth is expected to pick up exponentially as more inventories in various destinations are coming on stream
USA, 2%Japan, 2%Others,
18%
21
0
100
200
300
400
1Q11 2Q11 3Q11 4Q11 1Q12 2Q12
Note: As at 30 Jun 2012
0
4Q10 1Q12 2Q12 2016E
RESIDENTIAL PROPERTY DEVELOPMENT LEVERAGING ON HOTEL BRANDS
Sold
56%
Inventory
44%
Sold
67%
Inventory
33%
SALES OF ST. REGIS AND THE ESTATES SAMUI ARE EXPECTED TO CONTINUE THEIR IMPETUS IN 2012-13. MINT ALSO PLANS ADDITIONAL
RESIDENTIAL PROJECTS IN THE PIPELINE, THE SELLING ACTIVITIES OF WHICH IS EXPECTED TO TAKE PLACE IN 2014. THE NEW PROJECTS
WILL ALSO LEVERAGE ON STRONG HOTEL BRANDS IN THE PORTFOLIO.
As at 1H12, 56% of the total sellable area has been sold & recognized
MINT plans
As at 1H12, 62% of the total sellable area has been sold & recognized
Mixed Use Update
22
2006 2007 2008 2009 2010 2011 1H12 2012 2012 2012-13
St. Regis
Sold
Pending
Transfer
St. Regis
Potential;
Deposit
Collected
Remaining
Inventory
MINT plans
to launch
additional
residential
projects
between
2014-2016
Restaurant: 5-Year StrategyRESTAURANT - FIVE-YEAR GROWTH DRIVERS
RESTAURANT BUSINESS’ REVENUE AND NET PROFIT GROWTH OVER THE NEXT FIVE YEARS WILL BE DELIVERED THROUGH EXPANDING
BUSINESS INSIDE AND OUTSIDE THAILAND, LEVERAGING EXISTING MULTIPLE BRANDS IN THE PORTFOLIO AND LOOKING OUT FOR
ACQUISITION OPPORTUNITY
Strategic Acquisition
Internationalize
Transform China
2011 2016E
Thailand Business
International Franchise
23
1H12 PERFORMANCE OF THE RESTAURANT BUSINESS CONTINUED TO EXHIBIT STRONG AND STABLE GROWTH, WITH REVENUE GROWTH
OF 14% AND NET PROFIT GROWTH OF 40% YoY
FINANCIAL PERFORMANCE - RESTAURANT
Revenue
THB million
2,963 2,901 2,880
2,954
3,451
3,237
Key Highlights
Most brands, except Thai Express,
continued to exhibit strong and
positive same store sales growth in
1H12, from increases in both revenue
per customer and customer count.
The increase were mainly due to a
combination of robust domestic
consumption and successful
marketing strategies;
Same store sales growth, together
Restaurant Update
+14% YoY
+19% YoY
5,864
6,688
950 1,132
+12%
YoY
+14%
YoY
24
EBITDA
NPAT
EBITDA
Margin
Net
Margin
1Q11
467 483 389
492 583
549
15.8%
205 218
131
225
319 273
6.9%
Same store sales growth, together
with outlet expansion, translated into
total system sales growth of 14.8% in
1H12;
The full consolidation of Thai Express’
performance in 1H12, together with
the 31% share of profit in S&P
Syndicate, helped improve the
restaurant business’s margin;
EBITDA & net profit margin expanded
despite the minimum wage increase
which took effect since October
2011, attributable to improved cost
structure and operating leverage.
16.6%
2Q11
7.5%
13.5%
3Q11
4.5%
4Q11
16.6%
7.6%
1Q12
9.2%
+40% YoY
16.9%
950
423
592 +25%
YoY
17.0%
2Q12
8.4%
16.2% 16.9%
1H11
7.2%
1H12
8.8%
MINT CONTINUED TO SEE STRONG GROWTH MOMENTUM FOR SAME STORE SALES AND TOTAL SYSTEM SALES ACROSS MOST BRANDS IN
1H12. FOR RESTAURANT OUTLETS, MINT EXPECTS TO DOUBLE ITS, BOTH THROUGH FRANCHISED AND EQUITY-OWNED MODEL, AND BOTH
DOMESTICALLY AND OVERSEAS IN FIVE YEARS. THE PROPORTION OF OVERSEAS OUTLETS IS EXPECTED TO INCREASE TO MORE THAN 40%
OVER THE NEXT FIVE YEARS
MINT’S BRAND PERFORMANCE
Overall SSS & TSS
12.3%
9.8%
11.9%
17.4%
14.4%
12.7%
16.0%
13.6%
10%
15%
20%
Restaurant Update
34%
66%
34%
66%7%
93%
43%
57%558
2,762
Restaurant Outlets Breakdown by Geography
International
Thailand
1,257 1,274
25
Same Store Sales Growth Total System Sales Growth
No. of
Outlets1,157 1,169 1,204
7.8%
9.8%
6.5%7.6%
6.5%
0%
5%
10%
1Q11 2Q11 3Q11 4Q11 1Q12 2Q12
1,257 1,264 1,274
2005 2016F
43%
57%14%
86%
53%
47%
1,274
558
2,762
Restaurant Outlets Breakdown by Ownership
Franchised
Owned
2011
2005 2016F2011
2Q12
1,257
44%
56%
2Q12
2Q12 FOOD AND PAPER COSTS AS A PERCENTAGE OF SALES CONTINUED TO COME DOWN TO ITS LOWEST LEVEL AS A RESULT OF
CONTINUED EFFECTIVE COST MANAGEMENT PROGRAM.
EFFECTIVE MANAGEMENT OF FOOD COSTS
35.9%
34.9% 35.2% 35.2%
34.5%35%
36%
% of Food & Paper Costs to Sales
Restaurant Update
26
34.1%
33.3%
33.0%
33.9%
33.2% 33.2%33.0%
34.0%
32.7%
31.8% 31.7%
32.0%
31.5%31%
32%
33%
34%
1Q08 2Q08 3Q08 4Q08 1Q09 2Q09 3Q09 4Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12
Fixed Long-
Term Contract Prices
Menu-Mix Re-Engineering
Supply Chain Management
Maximization of FTA Benefit
Pro-Active
Inventory Management
Strategy
Note: Food and paper costs as a percentage of sales rose in first quarter of every year as a result of “Buy-one-get-one-free” promotional campaign launched in
March of every year to celebrate the anniversary of The Pizza Company
CHINA – IMPROVEMENT SEEN; MORE INITIATIVES TO EXPEDITE TURN-AROUND
CHINA OPERATION HAS SEEN IMPROVEMENT OVER THE PAST FEW YEARS WITH SAME STORE SALES GROWTH CLIMBING INTO POSITIVE TERRITORY
ALONGSIDE IMPROVING BRAND AWARENESS. PROFITABILITY HAS ALSO PICKED UP WITH SIZZLER REACHING BREAK-EVEN POINT AT THE STORE
CONTRIBUTION LEVEL AND THE PIZZA COMPANY ACHIEVING POSITIVE EBITDA AT STORE LEVEL IN 2011. IN 1H12, FINANCIAL PERFORMANCE OF CHINA
OPERATIONS IMPROVED SIGNIFICANTLY. FURTHER IMPROVEMENT WILL BE DRIVEN BY THE FOLLOWING TURN-AROUND LEVERS
Drive Growth of Existing Brands
Contribution from
New Brand Introduction
Acquisition Cost Reduction &
Strong Internal Control
Strengthen
Operational
Excellence &
Human Resource Capability
Growth Drivers Enablers
Restaurant Update
Same-Store Sales Growth of Restaurants in China
-25%
-15%
-5%
5%
15%
25%
Jan
-06
Ma
r-0
6
Ma
y-0
6
Jul-
06
Se
p-0
6
No
v-0
6
Jan
-07
Ma
r-0
7
Ma
y-0
7
Jul-
07
Se
p-0
7
No
v-0
7
Jan
-08
Ma
r-0
8
Ma
y-0
8
Jul-
08
Se
p-0
8
No
v-0
8
Jan
-09
Ma
r-0
9
Ma
y-0
9
Jul-
09
Se
p-0
9
No
v-0
9
Jan
-10
Ma
r-1
0
Ma
y-1
0
Jul-
10
Se
p-1
0
No
v-1
0
Jan
-11
Ma
r-1
1
Ma
y-1
1
Jul-
11
Se
p-1
1
No
v-1
1
Jan
-12
Ma
r-1
2
Ma
y-1
2
27
Retail Trading Update
1H12 REVENUE OF RETAIL TRADING & CONTRACT MANUFACTURING DECREASED BY 1% AS MANUFACTURING BUSINESS HAS NOT YET
RESUMED FULL OPERATIONS, WHILE EBITDA AND NET PROFIT SAW SIGNIFICANT INCREASES ON THE BACK OF THE INSURANCE CLAIM
PARTIALLY RECEIVED IN 1Q12.
FINANCIAL PERFORMANCE – RETAIL TRADING & CONTRACT MANUFACTURING
Revenue
THB million840
779 789
516
789 807
64 57 103
Key Highlights
1H12 revenue from retail trading
increased by 15% YoY, signifying a
gradual rebound from the floods in
4Q11;
However, 1H12 revenue from contract
manufacturing declined by 25% YoY,
despite partial recovery of insurance
-1% YoY
+16% YoY
1,619 1,596
121 139
+4%
YoY
-36%
YoY
28
EBITDA
NPAT
EBITDA
Margin
Net
Margin1Q11
64 57 56
-173
103
36
7.6%
32 23 21
-186
76
1
3.8%
7.3%
2Q11
3.0%
13.1%
9.6%
7.2%
2.6%
3Q11
despite partial recovery of insurance
claim, as the NMT factory has not fully
resumed operations;
As a result of the insurance claims,
retail trading & contract
manufacturing business saw an
expansion of EBITDA and net profit
margins in 1H12;
NMT plant resumed its full operations
in June 2012, with increased order
from global fast moving consumer goods (FMCG) players.
-33.5%
4Q11
-36.2%
1Q12
+39% YoY
55 77
YoY
-95%
YoY
4.5%
0.2%
2Q12
7.5% 8.7%
3.4%
1H11
4.8%
1H12
TOTAL STORE SALES GROWTH INCREASED BY 23% IN 2Q12, ALTHOUGH COMPARABLE SALES GROWTH WAS STILL NEGATIVE, AS
CONSUMPTION SENTIMENT FOR DISCRETIONARY GOODS HAVE NOT FULLY RECOVERED SINCE THE FLOODS IN 4Q11. SALES PER SQ.M.
DECLINED BOTH YoY AND QoQ IN 2Q12 BECAUSE OF THE DISCOUNTED AND CLEARANCE SALES OF FASHION AND COSMETICS BRANDS.
MINT’S RETAIL TRADING STATISTICS Retail Trading Update
THB
17.2%
52.8%
29.4%
21.0%
43.0%
26.0% 23.0%20%
30%
40%
50%
60%
29,984
27,38924,642
23,386
26,31625,067
20,000
30,000
40,000
29
Comparable Sales Growth Total Store Sales Growth
231No. of
Outlets226 231No. of
Outlets226
Fashion & Cosmetic Sales per Sq.m.
239 239246 246
17.2%
-11.5%
-6.8%-4.4%-4.0%
5.0%
-20%
-10%
0%
10%
1Q11 2Q11 3Q11 4Q11 1Q12 2Q12
0
10,000
1Q11 2Q11 3Q11 4Q11 1Q12 2Q12
240 240247 247
4.0
6.0
8.0
4,000
6,000
8,000
FINANCING CAPEX WITH FINANCIAL DISCIPLINE
DISCIPLINED ACQUISITION(S) ON THE BACK OF STRINGENT INVESTMENT POLICY PROVIDES UPSIDE FOR GROWTH
Committed CAPEX & Amount Set Aside for New Acquisition(s)
• Revenue % of Group Revenue
• Profit % of Group Profit
• IRR (WACC + Premium)
• ROIC in % within Certain Year
• Payback Period
Minimum Size
Minimum Return
Investment Criteria – Sample Measurement & Metrics
• Cash Flow % of Group Cash Flow
CAPEX
XTHB million
-
2.0
-
2,000
2011 2012F 2013F 2014F 2015F 2016F
30
• Profit Break-Even Point
• Cash Flow Break-Even Point
• Credit Ratios
• Brand Strength
• Quality of Management
• Potential to Expand Locally & Internationally
• Controlling Stake
Balance Sheet Strength
Performance
Strategic Position
Additional CAPEX (non-committed average per annum) for New Opportunity/Acquisition(s)
Restaurant Hotel & Mixed-use Retail trading
EBITDA coverage on committed CAPEX
0.0
0.2
0.4
0.6
0.8
1.0
1.2
1.4
1Q11 2Q11 3Q11 4Q11 1Q12 2Q12
BALANCE SHEET STRENGTH
LEVERAGE & COST OF CREDITS ARE UNDER CONTROL WHILE BACK-UP FUNDING FACILITIES HAVE BEEN SECURED. IN ADDITION, MINT HAS
MAINTAINED INVESTMENT GRADE CREDIT RATING OF “A” BY TRIS
Borrowing Cost
Internal Policy
Leverage RatiosX
3.0%
4.0%
5.0%
6.0%
7.0%
8.0%
Jan-11 Apr-11 Jul-11 Oct-11 Jan-12 Apr-12
MINT's Effective Interest Rate MLR
Financial Discipline
0
10,000
20,000
30,000
40,000
Outstanding Borrowing &
Equity
Un-Utilized Facility
Interest Bearing Debt to Equity
Net Interest Bearing Debt to Equity
DebtDebt
Shareholders’Equity
Equity*
31* Incremental capital increase from MINT W-4 exercise, assuming 100% MINT-W4 Conversion
Borrowing Structure Back-up Financing
THB million
MINT's Effective Interest Rate MLR
84%
64% 65% 71% 72% 66%
16%
36% 35% 29% 28% 34%
0%
20%
40%
60%
80%
100%
1Q11 2Q11 3Q11 4Q11 1Q12 2Q12
Floating Rate Fixed Rate
GROWTH OF ALL BUSINESS UNITS ARE ON TRACK 5-Year Targets
� 22 hotels
� 676 restaurants
� 316 retail stores (14,524 Sqm)
2007
� > 140 hotels
� + residences
� > 300 timeshare units
� > 2,700 restaurants
� > 300 retail stores (23,877 Sqm)
2007
2016F
32
1H12
2016F� 77 hotels
� 67 residences
� 46 timeshare units
� 1,274 restaurants
� 247 retail stores (20,016 Sqm)
1H12
Appendix
33
S&P OPERATES A CHAIN OF RESTAURANTS AND BAKERY SHOPS WITH OVER 350 OUTLETS IN 7 COUNTRIES PRODUCING AND DISTRIBUTING
FOOD AND BAKERY PRODUCTS UNDER THE S&P BRAND. FROM 3Q11 ONWARDS, S&P’S PERFORMANCE WILL BE RECOGNIZED THROUGH
EQUITY ACCOUNTING METHOD. 1H12 REVENUES INCREASED AS A RESULT OF BOTH DOMESTIC AND INTERNATIONAL EXPANSION, WHILE
MARGINS IMPROVED BECAUSE OF INCREASE IN RETAIL PRICE, EFFICIENT PROCUREMENT AND LOWER MARKETING EXPENSES
CONTINUED & STRENGTHENING PARTNERSHIP WITH S&P
Shareholding Structure
Revenue
THB million
Restaurant Update
4,437 4,764 5,282
5,879
39% 39%
26% 31%
35% 30%
0%
20%
40%
60%
80%
100%
Others
MINT
Sila-on & Riva Families
5%
+11% YoY
+19% YoY
+13% YoY
+44% YoY
2,6793,019
267562 487
683 7511,097
1,097
46
55
(131)
61
1,054
1,054 1,054
4.8%
19.0% 20.8%22.9%
26.3%
31.3% 31.3%
-10%
0%
10%
20%
30%
40%
-500
0
500
1,000
1,500
2,000
2,500
3,000
2006 2007 2008 2009 2010 2011 1Q12
Investment Cost
Unrealized gain (loss)
Gain from investment reclassification
% shareholding
34
MINT’s Investment in S&P
THB million
313
617744
1,805
EBITDA
NPAT
EBITDA
Margin
Net
Margin
2,151
356
617
20102008 2009
583 677
812 963
13.1% 14.2% 15.3%
225
293 384
454
5.1% 6.2% 7.2%
16.3%
7.7%
2011
0%
Pre-Tender Offer Post-Tender Offer
+19% YoY
+18% YoY
+44% YoY
+110% YoY
358
514
137
287
1H11 1H12
17.0%
9.5%
13.4%
5.1%
2,151
0
20,000
40,000
60,000
80,000
100,000
120,000
140,000
160,000
1H11 1H12
MINT’S FEEDER MARKETS
Number of Room Nights
MINT’s 1H12 Feeder Markets
Hotel Updates
China +13%
Hong Kong +25%
Japan +35%
Singapore +47%
Korea +18%
11%
31%
17%
20%
24%25%
MINT’s 1H12 Feeder MarketsUK +3%
Germany +16%
Russia +45%
Australia +23%
28%
18%India +31%
MINT CONTINUES TO SEE IMPROVEMENTS ACROSS ALL OF ITS FEEDER MARKETS, WITH A 21% YoY INCREASE IN 1H12 OVERALL
ROOMNIGHTS COMPARED TO INCREASE IN THAILAND’S TOURIST ARRIVALS OF 8% YoY.
Thailand,
12%
East Asia,
27%
Europe,
33%
The
Americas,
11%
South Asia,
3%
Oceania,
5%
Middle
East, 7%
Africa &
Others, 2%
0
400,000
800,000
1,200,000
China Japan Korea Russia India
1H11 1H12
0
Thailand East Asia Europe The Americas South Asia Oceania Middle East Africa & Others
MINT’s 1H12 Feeder Markets Thailand’s Top 5 Feeder MarketsNumber of
Tourists
* Note: MINT’s feeder market excludes Oaks’
35
29%
11%5%
12%6%
THAILAND HAS BEEN RESILIENT TO SEVERAL GLOBAL CRISIS OVER THE YEARS, AS EVIDENCED BY THE INCREASED EUROPEAN ARRIVALS.
THAILAND HOTEL RATES REMAIN COMPETITIVE COMPARED TO THE REGION.
EUROPE & US TOURISTS Hotel Updates
0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000Europe US
Number of Tourists
Financial Crisis
36* Note: Rate of one night at Four Seasons on Sept 1, 2011 for a standard room
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
0
100
200
300
400
500
600
Hong Kong Tokyo Singapore Mumbai Sydney Shanghai Bangkok Jakarta
USD / Night
Dot com
bubble
911 SARS Tsunami London
bomb
Bangkok
Coup
Bird Flu
Airport
Closure
Pattaya
RiotRatchprasong
Riot
Number of tourists from
Europe still held up during the crisis
Thailand hotel rates
remain competitive in the region
HOTEL INDUSTRY OUTLOOK IS EXPECTED TO GRADUALLY RECOVER ON THE BACK OF INCREASING TOURIST ARRIVAL.
MillionTourists Arrival to Thailand – Yearly Trend
TOURIST ARRIVAL TO THAILAND
-10%
0%
10%
20%
30%
0
5
10
15
20
25
1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012F
Hotel Updates
Source: Tourism Authority of Thailand and Bank of Thailand
Million Tourist Arrival to Thailand – Monthly Trend
37
Tourist Arrival % Change
-40%
-20%
0%
20%
40%
60%
80%
0.0
0.5
1.0
1.5
2.0
2.5
Jan-10 Mar-10 May-10 Jul-10 Sep-10 Nov-10 Jan-11 Mar-11 May-11 Jul-11 Sep-11 Nov-11 Jan-12 Mar-12 May-12
Hotel Updates
BANGKOK HAS SEEN NEW SUPPLY IN RECENT YEARS AND WILL SEE MORE ESPECIALLY IN 2012
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Number of Rooms
LUXURY HOTEL SUPPLY IN BANGKOK
Source: HVS Reseach
2011A No. of Rooms
The Regent Bangkok
Sofitel Bangkok, Sukhumvit 13
Crowne Plaza Sukhumvit
Hotel Okura Bangkok
W Hotel Bangkok
Le Meridien Suvarnabhumi Golf Resort and Spa
Hilton Sukhumvit Bangkok
DoubleTree by Hilton, Sukhumvit Bangkok
327
345
342
242
403
214
287
182
2012F
Aloft Bangkok Sukhumvit 11
Park Plaza Bangkok Asoke
Four Points by Sheraton, Sukhumvit
St Regis Bangkok
297
120
436
227
The Langham Sukhumvit Bangkok 230
No. of Rooms
2013F
38
INTRODUCING THE NEW “AVANI” BRAND
“Avani Bentota Resort & Spa”, Sri Lanka, was a
rebrand of “Serendib”. The resort is located some 64km south of the capital Colombo
“Avani Kalutara Resort”, Sri Lanka, was a rebrand
of “Kani Lanka”. The hotel is at the tip of the KaluGanga river mouth in Kalutara with 105 rooms
MINT expects to grow Avani beyond Sri Lanka and
MINT ANNOUNCED THE LAUNCH OF THE AVANI BRAND, WHICH WILL HELP THE COMPANY PENETRATE INTO ANOTHER MARKET SEGMENT, IN ADDITION TO THE EXISTING FIVE-STAR “ANANTARA” BRAND
Avani in Bangkok will be a part of the extension
of Anantara Bangkok Riverside Resort & Spa
2011
2014
Hotel Updates
MINT expects to grow Avani beyond Sri Lanka and
Bangkok with an aim of having approximately 6 Avani hotels in the next five years
Avani Kalutara, Sri Lanka
39
2011-2016
OAKS IS ONE OF AUSTRALIA’S LARGEST HOTEL AND RESORT OPERATORS Hotel Updates
Serviced Suites Brand Positioning Matrix Major Australian Serviced Suites Operators
OAKS SERVICES THE SHORT-TO-MEDIUM STAY CORPORATE AND LEISURE MARKETS.
40
Source: CBRE Hotels
As of August 2009, based on number of rooms
Revenue Contribution
Source: CBRE Hotels
Customer Mix of Major Australian Serviced Suites Operators
Letting fees
37%
Service
charges
39%
Ancillary guest
services
8%
Other sale
revenue
16%
Source: Oaks’ financial statements; info as at FY2011 (ending June 2011)
International