Performance of Q1 2017
Business Overview FPT BAFS was founded in 1983 by the Cabinet Resolution to provide aircraft refueling system services. The scope of services comprises of : I. Aviation fuel storage services II. Aviation fuel transportation services via high pressure pipeline system, Hydrant system, to the aircraft aprons and III. Refuelling services 2
BAFS Group BAFS Storage and Aircraft Refueling Services at Suvarnabhumi, Don Mueang, Samui, Sukhothai and Trat Airports 90.0% 83.3% 75.0% 100.0% Operating aviation fuel services using the Hydrant technology at Suvarnabhumi Airport Refueling services which is hired only for labor. Currently, it provides services at Samui, Sukhothai and Trat Airports Storing and transporting multi-products fuel through pipeline system research and development, the design and improvement, and the production and sales, of innovative products 3
Major Shareholders as of May, 2017 Retail Investors 22.4% THAI 22.6% AOT 4.9% Others Oil Com. 6.9% Chevron 2.5% Institutional Investors 19.5% ESSO (Th) 7.1% SHELL (Th) 7.1% PTT 7.1% 4
Passenger Statistic At BKK & DMK Total passenger of Q1/2017 increased by +6.6%(y-o-y) and +13.2%(q-o-q) Q1/2017 Passenger By Airports (M Passenger) DMK, 37.4% 100 90 80 70 60 50 40 30 20 10 0 91.1 83.2 67.8 68.0 23 22 59.0 17 20 16 20 22 17 16 14 22 20 16 14 15 25.7 15 18 17 21 24 26 2012 2013 2014 2015 2016 2017 Q1 Q2 Q3 Q4 Domestic, 36.6% BKK, 62.6% Q1/2017 Passenger By Categories Source : AOT International, 63.4% 5
Flights Fueling Services by BAFS at BKK & DMK Total flights fueling services of Q1/2017 increased by +3.3% (y-o-y) and +1.6%(q-o-q) (Flights) 300,000 250,000 200,000 150,000 100,000 50,000 0 279,226 256,790 71,410 217,042 205,121 67,492 173,253 59,718 55,948 46,482 63,693 69,807 50,904 50,774 42,508 67,842 62,484 72,518 48,978 51,067 41,400 42,863 49,291 55,483 63,121 70,207 72,518 2012 2013 2014 2015 2016 Q1'17 12% 10% 8% 6% 4% 2% 0% Flights growth (y-o-y) 11.2% 9.6% 8.6% 5.8% 3.3% Q1'16 Q2'16 Q3'16 Q4'16 Q1'17 Q1 Q2 Q3 Q4 Source : BAFS 6
Flights Fueling Services by BAFS at BKK & DMK In Q1/2017 total flights fueling services growth by +3.3%(y-o-y) which were BKK s growth by +2.0%(y-o-y) and +4.0%(q-o-q) DMK s growth by +5.0%(y-o-y) and -1.5%(q-o-q) (Flights) 75,000 60,000 45,000 30,000 15,000 DMK BKK +3.3% 279,266 256,790 40,401 41,225 29,806 31,293 - Q1'16 Q1'17 DMK, 42.5% BKK, 57.5% DMK, 43.2% BKK, 56.8% Source : BAFS 7
Fuel Volume Services At BKK & DMK Aviation volume of Q1/2017 increased by +1.8% (y-o-y) and +2.3%(q-o-q) (M Litres) 6,000 5,657 5,284 4,951 4,855 5,000 4,564 1,454 1,382 1,307 1,290 4,000 1,187 3,000 1,393 1,277 1,215 1,079 1,130 2,000 1,076 1,180 1,139 1,268 1,350 1,487 1,000 1,222 1,249 1,296 1,357 1,461 1,487 0 2012 2013 2014 2015 2016 2017 Q1 Q2 Q3 Q4 10% 8% 6% 4% 2% 0% Aviation volume growth (y-o-y) 9.1% 7.7% 6.5% 5.2% 1.8% Q1'16 Q2'16 Q3'16 Q4'15 Q1'17 Source : BAFS 8
Fuel Volume Services At BKK & DMK In Q1/2017 total Aviation volume growth by 1.8%(y-o-y) which were BKK s growth by +1.1%(y-o-y) and +4.1%(q-o-q) DMK s growth by +4.8%(y-o-y) and -4.6%(q-o-q) BKK DMK (M Litres) 1,800 1,500 1,200 +1.8% 1,461 1,487 266 279 900 600 1,195 1,208 300 - Q1'16 Q1'17 DMK 18.2% BKK, 81.8% DMK, 18.8% BKK, 81.2% Source : BAFS 9
Into-plane Market Share at BKK Into-plane market share at BKK was 87.6% BAFS 87.6% Other 12.4% Source : BAFS 10
Financial Performance 11
Services income and Services volume Q1/2017 Services income increased by +1.4%(y-o-y) of which 80% was the income from Refueling business (Bt m) 4,500 4,000 4,564 3,500 3,664 3,000 2,500 2,349 2,000 1,500 4,951 4,855 4,091 3,919 2,981 2,761 5,657 5,284 4,372 4,509 3,565 3,328 1,461 1,487 1,075 1,217 Q1/2017 s Services income Fuel Transportation, 20% Aviation Refueling Business, 80% 1,000 500 918 931 2012 2013 2014 2015 2016 Q1'16 Q1/17 Services Income (Bt M) Aviation volume (M litres) Fuel transportation volume (M litres) % (y-o-y) growth 2012 1) 2013 2014 2015 2016 CAGR Services income 0.5% 17.5% 8.0% 11.6% 7.1% 11.0% Aviation fuel volume -0.9% 8.5% -1.9% 8.8% 7.1% 5.5% Fuel transportation volume 18.9% 11.7% -4.2% 11.6% 3.1% 5.3% Notes : 1) Y2013, the Group has consoled FPT in its Consolidated financial statement 12
Net profit and net profit margin Q1/2017 s Net profit declined by -11.9%(y-o-y) to Bt305.6m with a net profit margin of 32.2% However, if excluded extra income of Bt63.7m in Q1/2016, Net profit grew by 3.2%(y-o-y) 1,600 1,400 1,200 1,000 800 600 400 200 0 Net Profit and margin 33.6% 29.8% 28.5% 29.6% 25.1% 1,054 1,097 958 61 797 217 758 150 958 1,036 837 758 647 1) 1) 2) 35.0% 32.2% 347 306 51 296 306 2012 2013 2014 2015 2016 Q1'16 Q1'17 35.0% 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% -5.0% Q1/2016 s Net profit Fuel Transportation 16% Aviation Refueling Business, 84% Net Profit - form operation Extra Items Net Profit Margin % YoY Growth 2012 2013 2014 2015 2016 CAGR Net Profit 51.0% 32.3% -28.1% 26.4% 14.6% 8.3% Notes : 1) Y2012 and Y2013, the Group recorded extra revenue around Bt150m and Bt217m from received insurance claims from flood occurred in 2011 and consoled FPT in its Consolidated financial statement 2) In 2016, the Group recorded extra. items of approximately Bt76.4m with net tax of Bt61.1m from the compensation from fuel pipeline damaged and from the reversal of fuel pipeline relocation 13
Statement of Comprehensive Income Unit : Bt m % Change Q1'17 Q1'16 Q4'16 (y-o-y) (q-o-q) Service income 931 918 914 1.4% 1.8% Other income 19 741) 291) (74.5%) (35.0%) Total revenue 950 992 943 (4.3%) 0.7% Cost of services 364 346 461 5.2% (21.0%) Admin. Expenses 136 132 192 3.0% (29.3%) Total expenses 500 478 653 4.6% (23.4%) EBIT 449 514 290 (12.5%) 55.0% Finance cost (39) (20) (39) 95.1% (0.8%) Income tax expenses (83) (120) (19) (30.7%) 336.0% Net Profit 306 347 218 (11.9%) 40.2% Net Profit Exclude Extra income 306 296 215 3.2% 42.4% Depreciation 136 128 136 6.5% (0.3%) EBITDA 585 641 426 (8.7%) 37.3% Earning per share 0.48 0.54 0.34 (11.9%) 40.2% Notes : 1) In Q1 16 the Group recorded extra. items of approximately Bt63.7m from the compensation of fuel pipeline damaged and the reversal of fuel pipeline relocation of FPT and in Q4 16 recorded the extra. Interest income of Bt4.3m from the mentioned compensation of FPT Profitability margin Profitability Ratio Q1'17 Q1'16 Q4'16 Gross Margin 60.9% 62.3% 49.6% EBIT Margin 47.3% 51.8% 30.7% EBITDA Margin 61.6% 64.7% 45.2% Net Profit Margin 32.2% 35.0% 23.1% 14
ROA, ROE and BV/Share ROA and ROE declined due to Total Assets and Total Equity increased by 33.9% and 19.1% from Q1 2016 25% 22.7% ROA and ROE 16.0 (Bt) BV/Share 20% 15% 10% 5% 19.6% 10.8% 14.9% 13.6% 9.3% 17.5% 17.6% 16.8% 11.4% 11.5% 10.6% 14.9% 9.7% 13.0 10.0 7.0 6.73 7.82 8.18 8.89 11.56 10.12 12.05 0% * * * 2012 2013 2014 2015 2016 Q1'16 Q1'17 ROA ROE 4.0 2012 2013 2014 2015 2016 Q1'16 Q1'17 (Unit : %) Q1'16 Q1'17 ROA 11.5% 9.7% ROE 17.5% 14.9% (Unit : bt) Q1'16 Q1'17 BV/Share 10.12 12.05 * Notes : Y2012 and Y2013, the Group recorded extra revenue around Bt150m and Bt217m from received insurance claims from flood occurred in 2011 and consoled FPT in its Consolidated financial statement * Notes : In 2016, the Group recorded gain from the sale of investments in a subsidiary, FPT, in its Equity around Bt557m 15
Capital Structure Equity was 62% of total capital in Q1 17 while D/E ratio was 0.62 : 1 time (Bt m) 12,000 9,000 6,000 3,000 8,106 8,235 8,541 7,391 2,373 2,355 2,176 2,415 754 668 701 688 4,288 4,978 5,212 5,664 12,158 12,456 3,932 3,878 855 897 7,371 7,681 (X) 0.9 0.72 0.7 0.5 0.63 0.58 D/E 0.51 0.65 0.44 0.62 0 2012 2013 2014 2015 2016 Q1'17 0.3 2012 2013 2014 2015 2016 Q1'16 Q1'17 Equity S/T Debts L/T Debts (Unit : X) Q1'16 Q1'17 D/E 0.44 0.62 IBD/E 0.22 0.44 16
Debt Profiles Long term debts was Bt3,353m with have an average cost around 4% per annum (Unit : Mil. Bt.) Credit Facilities Outstanding BAFS-KBANK 800 67 BAFS-BBL 2,000 293 BAFS-TBANK 220 64 BAFS-BBL 700 200 BAFS-TMB 2,250 2,250 TARCO-TMB 550 261 FPT-BBL 90 15 FPT-BBL 230 188 FPT-BCP 38 16 Total 3,353 Principle payment (Bt m) 600 500 501 461 461 400 357 300 326 348 348 331 321 200 161 100 0 TMB TMB (TARCO) BCP (FPT) BBL (FPT) TBANK BBL KBANK * Notes : Outstanding value include current portion to be paid within 1 year 17
BAFS s Price vs SET Index and Resource Index BAFS s price has accreted compared to SET index and Resource index since Jan 1, 2016 Closed Price Jan 1, 16 May 23, 17 Change (%) SET Index 1,263.41 1,564.69 301.28 23.8% RESOURCE Index 127.89 181.62 53.73 42.0% BAFS (Bt) 30.75 39.00 8.25 26.8% 18
Company Update 19
Company Update I. Expected aviation volume growth around 4% (y-o-y) to 5,884 million litres while the Into-plane market share still more than 85%. II. Progression of expansion projects :- Hydrant pipeline network system for BKK phase2 is around 52% and The Northern fuel pipeline expansion project is around 19% 20
Performance of Q1 2017