1% - Garuda Indonesia

PT GARUDA INDONESIA (Persero) Tbk.
(Persero) Tbk.
Analyst Meeting & Presentation
Analyst Meeting & Presentation 2011 Result Announcement
Jakarta, 21 March 2012
0
0
Shareholder List & Share Performance – as of 31 Dec 2011 Number
of
Investor
%
Number of Shares
%
Domestic
Government of Indonesia
1
0.01%
15,653,128,000
69.14%
Angkasa Pura I
1
0.01%
248,496,000
1.10%
Angkasa Pura II
1
0.01%
403,634,000
1.78%
10,016
67.80%
1,618,083,000
7.15%
4 514
4,514
30 56%
30.56%
100 061 775
100,061,775
0 44%
0.44%
4
0.03%
211,000
0.00%
Retail
E
Employee
l
Cooperative
Foundation
7
0.05%
8,966,500
0.04%
Pension Fund
72
0.49%
257,737,000
1.14%
Insurance
23
0.16%
150,906,000
0.67%
Perseroan terbatas (PT)
116
0.79%
3,315,554,225
14.64%
Other PT
-
Reksadana
20
Fund Manager
Total Domestic
-
0.00%
0.14%
0.00%
14,775
99.17%
Retail
51
Instutional
72
123
69,081,500
-
0.31%
-
21,825,859,000
96.40%
0.35%
5,535,000
0.02%
0.49%
809,602,000
3.58%
0.83%
815,137,000
3.60%
International
Total International
TOTAL
1
14,898
100.00%
22,640,996,000
100.00%
C t t
Contents
1. Market & Company Overview
2.
Summaryy Result 2011
3. Outlook 2012
2
C t t
Contents
1. Market & Company Overview
2.
Summaryy Result 2011
3. Outlook 2012
3
Garuda Indonesia Group
Ops Revenue Contribution 2011
Garuda Indonesia (Main brand)
9%
8%
Domestic
International
83%
S b 100
Sub-100
Scheduled Airlines
Non-scheduled Airlines
Others
Key Subsidiaries & Associated Companies
Cargo
Citilink (LCC)
Hajj / Charter
Hospitality
and Tourism
Aerowisata
4
MRO
Services
IT Services
GMF
AeroAsia
A
A i
Aero
Systems
S
t
Global
Distribution
Systems
Abacus
Ground
Handling
Gapura
Angkasa
A
k
Garuda Indonesia at a Glance
17.1 million
IDR 27.1 trillion
Amsterdam
Passengers
Revenue
Beijing
Nagoya
Seoul
Tokyo
Osaka
Shanghai
Jeddah
Guangzhou
Hong Kong
Dubai
Bangkok
229k tonnes
18%
Ops Revenue
CAGR 2007-11
2007 11
Kuala Lumpur
singapore
Makassar
Jakarta
Cargo
g
Denpasar
Perth
Sydney
Melbourne
87 Aircraft
6.5 yrs Fleet Age
18%
EBITDAR Margin
Banda Aceh
Medan
31
Domestic
Destinations
Note:
N t
ƒ Map not drawn to scale
ƒ Figures are as per Dec 2011
5
Pekanbaru
Batam
Pontianak
Padang
Palu
Palangkaraya Balikpapan
Jambi
Pgk.Pinang
Palembang
Banjarmasin
Manado
Ternate
Biak
Gorontalo
Jayapura
Ambon
Kendari
Tjg.Kar
Ujung Pandang
Jakarta
ang
Semarang Surabaya
Solo
Denpasar
Mataram
Yogyakarta
Malang
Kupang
Timika
17
International
Destinations
External Factors 2011
Macro Economic
• Unstable Financial Market, driven by EU economic crisis
• Carbon emission issue
• Asia Pacific as the largest air traffic market and aircraft backlog order for newer aircraft technology
9 200 00
9,200.00
• IDR vs USD relatively strong 8,800.00
8,400.00
Jan 10
Domestic
International
6
6
Jan 11
Des 11
• Robust demand
• Indonesia GDP/Capita consistenly growth
/ p
yg
• MP3EI Implementation 2012‐2025, concern on Airport & transportation Infrastructures
• Competitor fleet renewal
• Indonesian Aviation Law, new domestic airlines is restrained by limits, to ,
y
,
improve safety and reliability
• Operation disruption caused by natural disaster (Mt Lokon, Mt Gamalama, Mt Anak Krakatau, Mt Papandayan)
• High competitor capacity growth into Indonesia, especially LCC airlines
• Strong Outbound and Inbound Traffic from/to Indonesia
• Majority of FSC in Asia report declining in net profit
• AMR Corp bankrupt
• ASEAN open sky policy 2015
Competition Landscape
39%
Revenue Growth
2%
GA
SQ
6%
10%
6%
1%
QF
CX
MH
TG
60%
GA
SQ
‐59%
QF
‐52%
CX
MH
TG
‐61%
Net Profit Growth
Last report:
GA: Jan‐Dec 2010/2011 (FY)
SQ: Apr‐Dec
SQ: Apr
Dec 2010/2011 (9M)
2010/2011 (9M)
QF: Jul‐Dec 2010/2011 (6M)
CX: Jan‐Dec 2010/2011 (FY)
MH: Jan‐Mar 2010/2011 (1Q)
Jul‐Sep
Jul
Sep 2010/2011 (3Q)
2010/2011 (3Q)
TG: Jan‐Dec 2010/2011 (FY)
‐169%
‐241%
Sources: respective company website
7
7
Competition Landscape
32%
26%
ASK Growth
5%
GA
5% 4%
2%
SQ
QF
9%
RPK Growth
5% 6% 3%
1%
CX
MH
TG
‐9%
79%
75%
82%81% 83%80%
77%
79%
76% 75%
72%
68%
GA
SQ
QF
SLF 2010
8
8
CX
MH
SLF 2011
TG
Last Report:
GA: Jan‐Dec 2010/2011 (FY)
SQ: Apr‐Dec 2010/2011 (9M)
QF: Jul‐Dec 2010/2011 (6M)
CX J D 2010/2011 (FY)
CX: Jan‐Dec 2010/2011 (FY)
MH: Jul‐Sep 2010/2011 (3Q)
TG: Jan‐Dec 2010/2011 (FY)
Sources: respective company website
Competition Landscape – Domestic LCC
Growth Indicator
38%
9%
28% 29%
28%
42%
2011 Indicator
28%
24%
13%
ASK
RPK
CASK
Citilink
Indonesia AA
ASK
RPK
SLF
CASK
Pax Carried
Citilink
Indonesia AA
1,778
1,353
76%
6.43
1,626
Pax carried
Sources: respective company website
9
9
8,667
6,664
77%
4.68
5,009
Competition on routes which GA flown
GA Domestic traffic is growth by 37.9
GA Domestic traffic is growth by 37.9% YoY
% YoY
Dom Total
GA Total
Market Share
16,000,000
12,000,000
21.9%
23.5%
GA International traffic is growth by 29.2 %
GA International traffic is growth by 29.2 %
25.8% 24.5% 26.1%
28.8%
28
8% 29.3% 28
28.6%
6%
Intl Total
35.0%
30.0%
25.0%
20.0%
8,000,000
15.0%
10.0%
4,000,000
4,000,000
3,000,000
17.8%
GA Total
20.1%
1% 21.0%
9 % 20
19.7%
Market Share
23.5%
22.2% 22.8% 22.7%
20.0%
15.0%
2,000,000
10.0%
1,000,000
5.0%
5.0%
0.0%
Q1-10
Q2-10
36.4
8.7
27 7
27.7
Q3-10
Q4-10
Q1-11
0
Q2-11 Q3-110 Q4-11
12.0
37.9%
30 3
30.3
9.4%
Jan-Des 2010
Jan-Des 2011
Other Airlines DOM
GA
Sources: Company (direct competition GA routes in/out CGK,DPS,SUB,UPG), exclude Citilink
10
0.0%
Q1-10
Q2-10
Q3-10
Q4-10
Q1-11
Q2-11 Q3-110 Q4-11
42 3
42.3
16.2%
25.0%
13.6
12.1
12.4%
2.4
29.2%
3.1
9.7
8.2%
10.5
Jan-Des 2010
Jan-Des 2011
O h Airlines
Other
Ai li
INTL
GA
GA Progress 2011 at a Glance
Domestic:
Grow and dominate
Grow and dominate
full‐service
International :
Enormous upside
P t ti l
Potential
LCC :
Citilink to address the LCC Opportunity
11
• Profitable network with market share growth consistently
P fit bl
t
k ith
k t h
th
i t tl
• Carried 12.2 million passenger (up 40%), 79% SLF and USc11.8 passenger yield.
• 1,254 corporate account , and consistenly renewal of existing corporate account
• GFF member stongly growth
• 6 new routes (mainly from UPG) to strengthen network coverage
6
t ( i l f
UPG) t t
th
t
k
• UPG as 3rd hub to generate local/feed traffic
• Increase frequency of key routes
• Good connectivity with international network
• Implement non‐stop routing to capture premium yield (UPG‐SIN)
• Carried 3.2 million passenger (up 21%), 72% SLF and USc8.2 passenger yield.
• Integrated network with domestic network to provide good connectivity with domestic main cities • Increase frequency of key routes (JKT‐SHA/SEL/SYD and DPS‐SEL)
• Preparation to become a member of Global Alliance on progress
• Commercial agreement with other Asian and Middle East airlines partners
• Carried 1.6 million passenger (up 42%), 76% SLF and USc5.8 passenger yield.
Carried 1.6 million passenger (up 42%), 76% SLF and USc5.8 passenger yield.
• Ready to expand with A320 fleet LCC configuration
• Maintaining GA High Operating Standard and Safety
• Focus on improved seat density, aircraft utilization and lower distribution costs
• Target
g 2 hour flying radius
y g
• Competitive airfares to others relevant domestic competitor
Fleet Expansion in 2011
12
2010
Dec
2011
Dec
In
Garuda Indonesia
81
78
11
• B737Classic
25
11
• B737NG
42
• B747
Out
Ops
Lease
Fin
Lease
Owned
14
62
6
‐
14
3
51
9
‐
3
3
‐
‐
• A330‐200/300
11
13
2
Citilink
8
9
4
• B737Classic
8
6
• A320
0
TOTAL FLEET
Average Ages
Average Ages
‐
Fleet phasing‐in in 2011: ‐
9 B737‐800NG, 10
‐
2 A330‐200, ‐
8
‐
3 A320‐200 Citilink.
51
‐
‐
1
‐
2
7
6
‐
3
6
‐
3
1
3
3
‐
3
3
3
‐
3
‐
‐
‐
Lower fuel costs
89
87
15
17
68
6
13
‐
Lower maintenance costs
8.1
6.5
‐
Lower operating costs
Lower operating costs
‐
Higher aircraft utilisation rates
‐
‐
Fleet phasing‐out in 2011:
‐
1 B737‐300
‐
15 B737‐400
Fleet Renewal bring significant cost saving:
t
i
12
Routes expansion in 2011
• Makassar as 3rd hub
• Citilink Brand Refresh
SHA SEL
GTO
SIN
TTE
BPN
AMQ
UPG
JKT
JOG
SUB
DPS
Additional domestic routes
Additional Int’l routes
Additi
Additional
l ffreq Int’l
I t’l routes
t become
b
d
daily
il
SYD
13
13
Operating Indicators ‐ Group
2010
2011
∆ % YoY
9:23
9 23
10:40
10 40
1:17
1 17
102.724
130.043
26,59
80,16
85,68
6,89
25 772 196
25.772.196
32 473 738
32.473.738
26 00
26,00
0,66
0,90
36,36
Passenger Carried
12.534.975
17.073.963
36,21
RPK (‘000)
18.465.804
24.434.662
31,36
Seat Load Factor (%)
71,7
75,2
4,26
Passenger Yield (US¢)
8,57
9,62
12,37
207.008
229.378
10,81
CASK (US¢)
6,95
7,83
12,66
CASK‐excl Fuel (US¢)
4,52
4,59
1,55
Aircraft Utilization (Hours)
Aircraft Utilization (Hours)
Frequencies
Operational
On Time Performance (%)
ASK (’000)
ASK (’000)
Average Fuel Price (USD/L)
Passenger
& Cargo
Cargo/Mail Uplifted (Tonnage)
Financial
Notes: All figures include GA & Citilink, except aircraft Utilization and OTP are for GA Main Brand only,
14
Financial & Operating Indicators ‐ Domestic
2010
Frequencies
Operational
94,522 94 522
26.80
26 80
79.89 85.68 7.25
9,943,464 13,340,916 34.17
0 68
0.68 0 93
0.93 36 76
36.76
Passenger Carried
8,734,644 12,220,262 39.91
RPK (‘000)
7,431,873 10,614,847 42.83
Seat Load Factor (%)
74.74 79.57 6.46
Passenger Yield (US¢)
10.93 11.75 7.50
122,963
141,347 14.95
CASK (US¢)
8.32 8.95 7.57
CASK‐excl Fuel (US¢)
5.67 5.52 ‐2.65
On Time Performance (%)
ASK (’000)
Cargo/Mail Uplifted (Tonnage)
Financial
15
∆ % YoY
74,542 74 542
A
Average Fuel Price (USD/L)
F l P i (USD/L)
Passenger
P
& Cargo
2011
Financial & Operating Indicators ‐ International
2010
Frequencies
Operational
21,662 21 662
23.16
23 16
82.00 85.17
3.87
14,442,648
17,354,809 20.16
0 65
0.65 0 87
0.87
33 85
33.85
2,656,928 3,227,570 21.48
10,054,963 12,466,191
23.98
Seat Load Factor (%)
69.62 71.83
3.17
Passenger Yield (US¢)
7.19 8.22
14.33
62,785 60,228 ‐4.07
CASK (US¢)
6.20 7.11
14.68
CASK‐excl Fuel (US¢)
3.94 4.04
2.54
On Time Performance (%)
ASK (’000)
Passenger Carried
RPK (‘000)
Cargo/Mail Uplifted (Tonnage)
Financial
16
∆ % YoY
17,588 17 588
A
Average Fuel Price (USD/L)
F l P i (USD/L)
Passenger
P
& Cargo
2011
Financial & Operating Indicators ‐ Citilink
2010
Number of Aircraft Operational
Passenger
& Cargo
g
Financial
∆ % YoY
8
9
12.50
10,594
13,859 30.82
ASK (’000)
ASK (
000)
1,386,084
1,778,013
28.28
Passenger Carried
1,143,403
1,626,130 42.22
978,967
1,353,624 38.27
Seat Load Factor (%)
Seat Load Factor
70 63
70.63
76 13
76.13
7 79
7.79
Passenger Yield (US¢)
4.88
5.84
19.67
CASK (US¢)
5.19
6.43
23.89
26
2.6
3 03
3.03
16 54
16.54
Frequencies
RPK (‘000)
CASK excl Fuel (US¢)
CASK‐excl Fuel
17
2011
C t t
Contents
1.
Market & Company Overview
2.
Summaryy Result 2011
3. Outlook 2012
18
Income Statement Summary Consolidated
2010
Passenger
Operating Revenue
Operating Operating
Expenses
Income
∆ % YoY
14,641.1 21,079.1 43.97
Cargo
1,185.5 1,442.5 21.68
Hajj
1,847.3 2,036.1 10.22
Others
1,860.4 2,606.9 40.13
Total 19,534.3 27,164.6 39.06
Fuel
6,325.3 9,966.9 57.57
Non Fuel
13,276.2 16,185.9 21.91
Total
19,601.5 26,152.8 33.42
Operating Income
p
g
(67.2)
1,011.7
1,011.7 N/A
Comprehensive Income
222.8
858.8
285.46
3,476.9 4,796.7 38.00
EBITDAR
19
2011
Revenue Trend 2010‐2011
Changes in Operating Revenues
(IDR Billion)
+ 747
+ 6,438
+ 257
+ 189
+ 189
(+45%)
(+22%)
(+10%)
Cargo
19,534 FY‐2010 Operating Revenue
20
Hajj
(+40%)
Others
27,165
(+39%)
Strong revenue growth, driven by 36% growth on passenger carried (additional 4.6 million passenger compare 2010)
Passenger
FY‐2011 Operating Revenue
Passenger Revenue Trend 2010‐2011
ASK
Passenger Revenue
RASK
Business Economy Overall
+ 21%
+26%
+26%
+ 51%
+ 41%
+44%
+ 24%
+17%
+18%
•Focus on high‐end customer which is give higher revenue
contribution
•Increase oveall passenger yield by 12%
•Increase oveall passenger yield by 12%
21
Cost Discipline – FY 2011 Expenses
Operating Revenue increase 39% while Expenses only increase by 33%
FY 2010
FY 2010 FY 2011
FY 2011 PoT
∆%
∆ % Fuel 6,325.3 32%
9,966.9 38%
57.57
Rental & Charter Flight 2,694.5 14%
3,544.9 14%
31.56
Ticketing, Sales,Promo
1,775.7
9%
2,329.7 9%
31.20
General & Admin 1,613.8
8%
1,739.1 7%
7.76
User Charges & Station Expenses 1,519.5
8%
1,954.0 7%
28.60
Passenger Services 1,640.0 8%
2,289.6 9%
39.62
Maintenance / Repair 1,289.8 7%
1,669.0 6%
29.40
Others 2,492.9
13%
2,659.6 10%
6.69
19 601 5
19,601.5 100%
26 152 8
26,152.8 100%
33 42
33.42
T t lE
Total Expenses
22
PoT
22
Cost Discipline
Jet Fuel
(USD/liter)
Fuel Burn
(lit /RTK)
(liter/RTK)
0.66
0.83
0.95
0.90
0.89
Average 0.90
0.43
0.42
0.42
0.40
0.42
Average 0.42
CASK (US¢)
7.0 FY‐2010
FY
2010
76
7.6 1Q‐2011
1Q
2011
8.1 7.8
7.8 7.9 2Q‐2011
2Q
2011
3Q‐2011
3Q
2011
4Q‐2011
4Q
2011
Average 7.8
CASK Excl‐fuel (US¢)
4.7 4.7 4.5 FY‐2010
23
4.7 Average 4.6
4.5 1Q‐2011
2Q‐2011
3Q‐2011
4Q‐2011
Balance Sheet Summary Consolidated
Asset
Liabilities
Equities
2010
2011
∆ % YoY
Current Assets
3,801.4
6,784.1
78.5
Non Curents Assets
9,864.64
11,225.87
13.8
Total Assets
Total Assets
13,666.0 18,010.0
31.8
Current Liabilities
5,241.27
5,866.97
11.9
Non Curent Liabilities
4,955.28
4,595.85
‐6.7
Total Liabilities
10,196.6 10,462.8 2.6
3,469.5 7,547.1
117.5
13,666.0 18,010.0
31.8
Total Equities
Total Liabilities & Equities
24
Cash Flow Summary Consolidated
2010
2011
∆ % YoY
Beginning Cash/Cash Equivalents
1,722.5
1,177.4
‐31,6
•Operating Activities
1,602.1
1,903.3
18.8
•Investing Activities
•Investing Activities
(945 5)
(945.5)
(2 231 7)
(2,231.7)
136 2
136.2
•Financing Activities
(1,137.9)
2,823.4
148.1
Net Increase (Decrease) in Cash/Cash Equivalents
(481.3)
2.495.0
122.4
Effect of Foreign Exchange Rate Changes
(63.8)
111.3
74.5
.
.
1.177.4
3.783.6
3.
83.6
221.4
.
Ending Cash/Cash Equivalents 25
Financial Ratio
2010
Lease Adjusted Net Debt/EBITDAR
EBITDAR Margin
g
Debt/Equity
Net Return on Equity 26
2011
∆ % YoY
4.7 x
4.0 x
‐14%
17.8 %
17.7 %
‐1%
1.2 x
0.6 x
‐54%
14.9 %
10.7 %
‐28%
26
Financial Indicator
Leased Adjusted Debt (IDR Bn)
Leased Adjusted Debt /EBITDAR
4.7 x
19,260
4.0 x
16,281
33x
3.3
12,676
12,095 7,157 5,519 4,186 4,157 FY‐2009
FY‐2010
FY‐2011
Debt
27
15,103 FY‐2009
FY‐2010
FY‐2011
Capitalised Leased
27
C t t
Contents
1.
Market & Company Overview
2.
Summaryy Result 2011
3. Outlook 2012
28
Outlook 2012
Macro Economy
Domestic:
Grow and dominate
Grow and dominate
full‐service
International :
Enormous upside
Potential
LCC :
Citilink to address the LCC Opportunity
29
• Uncertainty in financial market continued
• Uncertainty regarding Jet Fuel Price
• Due to Uncertainty, difficult to provide profit guidance for 2012
• Robust demand continued • Market demand growth still higher than market capacity growth
• Still become our backbone with market share growth consistently
• Continued to expand corporate account domestically and globally
Continued to expand corporate account domestically and globally
• Medan as 4rd hub to generate local/feed traffic
• Continue to increase frequency of key routes
•1Q‐2012 expected to be better than 1Q‐2011
• Limited expansion for International routes (Taipei and Haneda)
• Increase frequency of key routes (Kuala Lumpur)
• IT‐ready for Global Alliance
• Spin‐off in 2H‐2012
• Ready to expand with A320 fleet LCC configuration
• Achieve economic of scale in 2012
29
Our Target in 2012
30
2011
2012
# of Fleet
# of Fleet
87
105
Average fleet age*
6,5
5,8
Passenger Carried (Mio)
17,1
22,0
30
Fleet Expansion Plan in 2012
31
‐
By end of 2012, GA (Main Brand ) will have 85 aircraft and citilink 20 aircraft
and citilink 20 aircraft.
‐
Fleet phasing‐in in 2012: 2011
Dec
2012
Dec
In
Out
Ops
Lease
Fin
Lease
Owned
Garuda Indonesia
78
85
11
3
66
9
10
• B737Classic
11
8
‐
3
‐
‐
8
• B737NG
51
55
4
‐
55
‐
‐
‐
4 B737‐800NG, • CRJ1000NG
0
5
5
‐
2
3
‐
‐
2 A330‐200,
2 A330
200, • B747
3
2
‐
1
‐
‐
2
‐
5 CRJ‐1000NG,
• A330‐200/300
13
15
2
‐
9
6
‐
‐
10 A320‐200 Citilink.
Citilink
9
20
11
‐
17
‐
3
• B737Classic
6
7
1
‐
4
‐
3
‐
1 B737‐300
• A320
3
13
10
‐
13
‐
‐
‐
1 B737‐400
TOTAL FLEET
TOTAL FLEET
87
105
22
4
83
9
13
‐
1 B747‐400
Average Ages
6.5
5.8
‐
p
g
Fleet phasing‐out in 2012:
31
Routes Expansion Plan 2012 ‐ Domestic
Medan
Medan‐Penang
Medan‐Batam
Medan‐Palembang
Medan‐Surabaya
Medan‐Palembang‐Pekanbaru
Balikpapan
Balikpapan‐Yogyakarta
Balikpapan‐Denpasar
Surabaya
Bandung
Denpasar
Denpasar‐Ampenan
Denpasar‐Makasar
Denpasar‐Balikpapan
Denpasar
Balikpapan
32
Makasar
Makasar‐Singapore
Makasar‐Ternate
Makasar‐Balikpapan‐Jogyakarta
Makasar
Balikpapan Jogyakarta
Makasar‐Surabaya
Makasar‐Ambon
Makasar‐Biak, Jayapura, Denpasar, Palu, Timika,
Timika, Gorontalo dan Menado
Gorontalo dan Menado
Routes Expansion Plan 2012 ‐ International
Haneda‐Tokyo
(Apr)
Taipei
(M )
(May)
Kuala Lumpur
(Feb)
Jakarta
33
Denpasar
Corporate Action 2012
34
1.
Q
Quasi Reorganisation
g
2.
Spin‐off Citilink
3.
Medan as 4th hub
4.
Phase‐in new fleet CRJ‐1000NG
5.
Dedicated Terminal in Surabaya
34
PT Garuda Indonesia (Persero) Tbk.
Investor Relations Department
2nd Floor Management Building
Garuda City
Soekarno Hatta International Airport
p
Phone
: 62‐21‐2560 1201
Email
: investor@garuda‐indonesia.com
35
THANK YOU