LIFESTYLE - listed companymajor.listedcompany.com/misc/quarterly/20171115-major-quarterly-3q2017.pdf · Murder on the Orient Express Only the Brave Beyond Skyline Olaf's Frozen Adventure

LIFESTYLEentertainment

3Q17 Analyst MeetingParagon Cineplex, 13th November 2017

MAJOR CINEPLEX GROUP PLC.1

MAJOR CINEPLEX GROUPAGENDA

COMING ATTRACTION MOVIE LINE-UP

FINANCIAL OVERVIEW

FINANCIAL HIGHLIGHT RESULT

EXPANSION PLAN

GROWTH PROTENTIALS

P.3

P.6

STRATEGIC INVESTMENT

P.11

P.13

P.14

P.17

QUARTERLY REVENUE BREAKDOWN P.7

2

REVENUE BREAKDOWN BY SEGMENT

P.4

BALANCE SHEET SNAPSHOT

P.12

LIFESTYLEentertainment

LIFESTYLEentertainment

FINANCIAL OVERVIEW 3

IMAX

Financial Highlights

4

3Q17 QUARTERLY BRIEFING

Bt.Million 3Q16 3Q17Growth

Amt. %

Revenue 2,127 100% 2,200 100% 74 3%

Gross Margin 779 37% 712 32% (67) (9%)

EBITDA 702 33% 674 31% (29) (4%)

EBIT 445 21% 402 18% (43) (10%)

Net Profit 333 16% 302 14% (30) (9%)

LIFESTYLEentertainment

• Revenue growth from Cinema business.• Net Profit decreased from divestment of PVRL (3Q17 : 98mb., 3Q16: 149mb.)

Financial Highlights

5

9M17 HALF YEARLY BRIEFING

Bt.Million 9M16 9M17Growth

Amt. %

Revenue 6,850 100% 7,114 100% 264 4%

Gross Margin 2,569 38% 2,481 35% (88) (3%)

EBITDA 2,215 32% 2,295 32% 80 4%

EBIT 1,463 21% 1,481 21% 17 1%

Net Profit 1,103 16% 1,119 16% 16 1%

LIFESTYLEentertainment

Revenue growth from Core business.

Revenue Breakdown by segment

6

3Q17 QUARTERLY BRIEFING LIFESTYLEentertainment

Major Group’s Revenue Breakdown 9M17 Margin

Cinema 74% 29%

Admission Revenue 56% 15%

Concession Revenue 19% 67%

Advertising Business 15% 87%

Bowling & Karaoke Business 4% 38%

Rental & Service Business 5% 9%

Movie Content(Content Provider & Local Production)

2% (42%)

Total Revenue 100% 35%

Admission Revenue

56%

Movie Content

2%

Bowling & Karaoke Business

4%

Rental & ServiceBusiness

5%

AdvertisingBusiness

15%

Concession Revenue

19%

Revenue Breakdown

7

2015 2016

1,1

31

1,1

42

Admission Revenue

+1%(+11mb.)

Concession

+23%(+76mb.)

Advertising

(5%)(19mb.)

Bowling group

(1%)(1mb.)

Movie Content

+40%(+25mb.)

Total Revenue+3%

(+75mb.)

2,1

27

2,2

00

64

89

36

5

34

5

11

4

11

3

11

9

10

1

33

5

41

1

3Q16 3Q17

3Q17 QUARTERLY BRIEFING

3Q16 3Q17 3Q16 3Q17 3Q16 3Q17 3Q16 3Q17 3Q16 3Q17 3Q16 3Q17

LIFESTYLEentertainment

Retails

(15%)(17mb.)

28.5 29.7

7.0 7.9

165 166 165 160

0

10

20

30

40

50

60

70

80

90

100

110

120

130

140

150

160

170

0.0

5.0

10.0

15.0

20.0

25.0

30.0

35.0

40.0

45.0

50.0

2015 2016 3Q16 3Q17

Guest Counts (Million) ATP (THB)

ATP & Guest Counts

Revenue : Admissions

8

3Q17 QUARTERLY BRIEFING LIFESTYLEentertainment

59% 59% 56% 53%

41% 41% 44% 47%

2015 2016 3Q16 3Q17

Bangkok & Vicinity Upcountry

Guest Counts Breakdown by Regional Box Office Breakdown by Regional

63% 63% 60% 58%

37% 37% 40% 42%

2015 2016 3Q16 3Q17

Bangkok & Vicinity Upcountry

ATP Breakdown (THB)

177 178 178 176

148 149 149 142

2015 2016 3Q16 3Q17

Bangkok & Vicinity Upcountry

Revenue : Concession3Q17 QUARTERLY BRIEFING LIFESTYLE

entertainment

Concession Revenue & Margin

1,375 1,443

335 411

1,143 1,324

68% 68% 69%63%

69% 67%

20%

30%

40%

50%

60%

70%

80%

100

600

1,100

1,600

2,100

2015 2016 3Q16 3Q17 9M16 9M17

Concession Revenue (THB) Margin (%)

% Con to Box Ratio

28.5 29.7

7.0 7.9

23.3 25.9

31% 31% 31%37%

31%35%

0%

5%

10%

15%

20%

25%

30%

35%

40%

0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

2015 2016 3Q16 3Q17 9M16 9M17

Admission (Million) % Con to Box

Revenue : Advertising

10

3Q17 QUARTERLY BRIEFING LIFESTYLEentertainment

• Advertising revenue was temporary declined due to main sponsor reduce advertising budget.

• Consistence high margin.

Suzuki Movie Marathon 2017 Isuzu national anthems press conference

1,224 1,287

365 345

1,005 1,033

86% 86% 86% 87% 86% 87%

0%-

200

400

600

800

1,000

1,200

1,400

2015 2016 3Q16 3Q17 9M16 9M17

Advertising Revenue (Million) Margin (%)

Advertising Revenue

ASS

ETS

EQU

ITY

LIA

BIL

ITIE

S

14,156 7,664

6,4936,716 6,718 6,976 6,896 6,493

3,913 4,643 4,708 4,409 3,853

0.69 0.700.63

0.560.64

0.00

0.10

0.20

0.30

0.40

0.50

0.60

0.70

0.80

-

2,000

4,000

6,000

8,000

10,000

12,000

14,000

3Q16 4Q16 1Q17 2Q17 3Q17

Equity Net interest-bearing debts Net D/E

11

Balance Sheet Snapshot

Dec 31,16 Sep 30,17

Net D/E ratio maintained at low level compare with Y2016 even though Major has continued expansion.

(4%) (4%)

(4%)

ASS

ETS

EQU

ITY

LIA

BIL

ITIE

S

14,725 8,007

6,718

3Q17 QUARTERLY BRIEFING

Bt.million Dec 31,16 Sep 30, 17 %chg

Assets 14,725 14,156 (4%)

Liabilities 8,007 7,664 (4%)

Equity 6,718 6,493 (3%)

LIFESTYLEentertainment

Bt.million Dec 31,16 Sep 30,17 %chg

Assets 14,725 14,156 (4%)

Liabilities 8,007 7,664 (4%)

Equity 6,718 6,493 (3%)

Strategic investment and hidden profit

12AS

SET

S

EQU

ITY

Investment portfolio as of 30th September, 2017:• 25.27% in Siam Future Development Plc. (SF)• 33.00% in Major Cineplex Lifestyle Leasehold Property Fund (MJLF)• 92.46% in M Pictures Entertainment Plc. (MPIC)• 40.00% in Thai Ticket Major Co., Ltd.• 0.62% in PVR Limited (PVRL)• 49.00% in PVR blu-O Entertainment Limited• 69.97% in Major Platinum Cineplex Co.,ltd. (Cambodia)• 59.98% in Major Platinum Cineplex Co.,ltd. (Lao)• 99.99% in Cineplex (Lao) Sole Co.,ltd.• 49.00% in CJ Major Entertainment

3Q17 QUARTERLY BRIEFING

Closing price as on 30 September 2017 Bt.million

Investments %ShareCost per

ShareMajor’s

CostMarket Value

Unrealized Gain (Loss)

Siam Future 25.27% 3.64 1,636 2,874 1,238

MJLF 33.00% 10.00 1,089 1,361 272

MPIC 92.46% 1.67 2,003 2,044 41

PVRL 0.62% 120.45 35 212 177

Total 4,763 6,491 1,728

LIFESTYLEentertainment

LIFESTYLEentertainment

GROWTH POTENTIALS 13

*Please note that release dates are subject to change.

4Q17 Coming Highlight Movies

14

MAJOR CINEPLEX GROUP LIFESTYLEentertainment

4Q17

Thor: Ragnarok

Justice League

Star War: The Last Jedi

Geostorm

Jumanji

Murder on the Orient Express

Only the Brave

Beyond Skyline

Olaf's Frozen Adventure

Coco

The Snowman

Pitch Perfect 3

Ferdinand

Blade Runner 2049

Thai Movies

Jazz the dog - Comedy

Pemika - Comedy/Horror

Realms - Thriller

Total 9 Thai Movies in 4Q17

*Please note that release dates are subject to change.

1Q18 Coming Highlight Movies

15

MAJOR CINEPLEX GROUP LIFESTYLEentertainment

1Q18

Pacific Rim: Uprising

Black Panther

Maze Runner

Tomb Raider

Insidious : Chapter 4

Fifty Shades Freed

Alpha

Cloverfield 2017

Samson

Red Sparrow

Ready Player One

Robin Hood: Origins

Thai Movies

9 Satra - Animation

Khun Pun 2 – Action

Tud Tu Goo Chart – Comedy

3 AM 100 Days – Horror

Sodemacom Killers – Comedy

Estimate 10 Thai Movies in 1Q18

2018 Coming Attraction with many blockbusters and sequel movies.

16

1Q

18

Black PantherPacific Rim: UprisingTomb RaiderMaze RunnerInsidious : Chapter 4Ready Player One

2Q

18

Jurassic World: Fallen Avengers: Infinity WarX-Men: The New MutantsDeadpool 2Star Wars: Han Solo

3Q

18

Ant-Man and the WaspMission Impossible 6The PredatorThe Equalizer 2The Purge 4

4Q

18

Jungle Book 2X-Men: Dark PhoenixVenom (Animated Spider Man)AquamanFantastic Beast 2Bumblebee

16

LIFESTYLEentertainmentMOVIE LINE UP 2018

17

MAJOR currently operated 702 screens nationwide and CLMV.

2Q12 2Q13

EXPANSION PLAN

76% 74% 70% 71% 61% 59% 57% 52% 49%

24% 26% 30% 29% 39% 41% 43% 48% 51%

0%

20%

40%

60%

80%

100%

120%

Y'09 Y'10 Y'11 Y'12 Y'13 Y'14 Y'15 Y'16 Y'17

BKK UPC

N o . L o c a t i o n S c r e e n s L o c a t i o n O p e n i n g D a te

1 L o tu s N a k o r n p a th o m 2 1 1 4

2 R o b i n s o n P h e tc h a b u r i 5 1 1 5

3 L o tu s S u k h o th a i 1 1 1 6

4 B i g C P a th u m th a n i 5 1 1 7

5 B i g C K o r a t 2 (N a k o r n r a tc h a s i m a ) 4 1 1 8

6 U tta r a d i t 4 1 1 9

7 W o r l d T r a d e C e n te r V i a n t i a n - L a o s 7 1 2 0

8 B i g C N a k o r n r a tc h a s i m a 3 1 2 1

9 R o b i n s o n H u a M a r k 4 1 2 2

1 0 B i g C C h o n b u r i 3 1 2 3

1 1 L o tu s P h a t th a l u n g 2 1 2 4

1 2 L o tu s P h i t s a n u l o k 2 1 2 5

1 3 L o tu s P h i c h i t 2 1 2 6

1 4 L o tu s A n g th o n g 2 1 2 7

1 5 O c e a n C h u m p h o n 5 1 2 8

1 6 S a h a th a i N a k h o n s i th a m m a r a t 2 1 2 9

1 7 S i n g b u r i 3 1 3 0

1 8 L o e i 3 1 3 1

Q 1 /1 7

(7 S c re e n s )

2 H 1 7

(4 2 S c re e n s )

Q 2 /1 7

(1 0 S c re e n s )

Screen Opening in 2017 (Tentative) – 16 Locations in upcountry, 2 locations in Bangkok & Vicinity and 2 locations in CLMV.

LIFESTYLEentertainment

No. Location Screens LocationBKK&

Vicinity UPC Inter Opening Date

1 Lotus Nakornpathom (Opened 6 Apr) 2 114 P

2Q17(11 Screens)

2 Robinson Phetchaburi (Opened 19 May) 5 115 P

- BluO Vientiane Center (Laos) - 8 Bowling Lanes (Opened 5 May)

3 Big C Korat 2 (Opened 8 Jun) 4 116 P

4 Big C Pathumthani (Opened 7 Jul) 5 116 P

2H17(39 Screens)

5 Lotus Sukhothai (Opened 1 Sep) 1 117 P

6 Lotus Yasotorn (Opened 8 Sep) 2 118 P

7 Big C Ubon Ratchathani (Opened 22 Sep) 1 119 P

8 Big C Udonthani (Opened 24 Sep) 1 120 P

9 Lotus Phitsanulok (Opened 29 Sep) 3 121 P

10 Big C Dan Khun Thot (Nakhonratchasima) 1 122 P

11 Big C Tah Ta Ko 1 123 P

12 Big C Wang Nam Yen 1 124 P

13 Big C Suvarnabhumi 1 125 P

14 Robinson Kamphaeng Phet 4 126 P

15 Sahathai Nakhonsithammarat 3 127 P

16 Tops Phichit 3 128 P

17 Big C Vichenburi 1 129 P

18 Lotus Phichit 2 130 P

19 Sorya Phnom Penh 6 131 P

20 Platinum Siem Reap 3 132 P

MAJOR CINEPLEX GROUP PLC.

LIFESTYLEentertainment

18