1 / 21

2011 RESULTS PRESENTATION

2011 RESULTS PRESENTATION. RBA HISTORY. Established 15 years ago Listed on Alt X in 2007 Started building a rental book in 2009 Built more than 7 900 homes to date Commenced housing for mines in 2010 Currently marketing 12 development areas in Gauteng, Polokwane and KwaZulu Natal.

briar
Download Presentation

2011 RESULTS PRESENTATION

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. 2011 RESULTS PRESENTATION

  2. RBA HISTORY • Established 15 years ago • Listed on AltX in 2007 • Started building a rental book in 2009 • Built more than 7 900 homes to date • Commenced housing for mines in 2010 • Currently marketing 12 development areas in Gauteng, Polokwane and KwaZulu Natal

  3. RBA’S BUSINESS • Builder and supplier of affordable homes • Freehold sales and Sectional title rentals • Freehold units funded via traditional home loans • Rental projects funded through NHFC and GPF • Turnkey solution at fixed price • Control construction process from start to finish

  4. RBA’S SUPPLY CHAIN Marketing and sales Credit assessment Managed by IT system Raw land to serviced stands Select plans and extras Construction and retention Procurement of finance Legal admin and project management

  5. LOWER END HOUSING SECTOR

  6. DECEMBER 2011 RESULTS FINANCIAL HIGHLIGHTS FOR 2011 • Revenue up by 62% • Gross profit up by 90% • Group recorded a profit of R3,9 million • Cash generated for the year of R16,5 million • Balance sheet has been restructured

  7. DECEMBER 2011 RESULTS

  8. DECEMBER 2011 RESULTS Operating Stats as at 31 December 2011 * 160 of these deals are in project areas that are currently being serviced and will register in the second six months of 2012.

  9. DECEMBER 2011 RESULTSSegment report

  10. DECEMBER 2011 RESULTS Commentary • Financial recovery has continued • Cash flow remains under pressure due to historic losses • 2011 – 613 equivalent houses completed • Corporate governance improved • Non-exec chairman appointed • 3 non-exec directors appointed • Secured stands • 4629 res 1 and 2657 res 3 • Protea Glen rental project - 148 units under construction

  11. DECEMBER 2011 RESULTS Prospects • Housing shortage remains a problem in SA • Government initiatives • R1bn fund to provide mortgage default insurance • Housing subsidy has increased to income level of R15k • Household indebtedness is slowly improving • RBA has the land, sales, admin and construction capacity to deliver on our targets • Provision of finance (individual and bulk) to our market remains a focal point for the banks • Credit extension set to continue increasing • Intense focus on sales

  12. Private Sector Credit Extension Worst credit squeeze in at least 60 years South African Reserve Bank Data

  13. CURRENT INITIATIVES Intense focus on sales • Currently generating 1000 leads per month • Increased sales resources • 7 new vehicles for sales teams • New marketing exhibition kits • Increased agent training • Introduced new external real estate agencies • Marketing strategies • Branding of Metro buses • Branding of new vehicle fleet • Radio advertising • Flyers at strategic points • Print media i.e Daily Sun

  14. CURRENT INITIATIVES Intense focus on sales • Competitions • Daily Sun win an RBA Home – 400 000 daily circulation • Mageu win a house – 20 mil cartons • Mining of leads • Generally people associate themselves with similar classes • Interview process • Conducted by sales manager • Improve the sales experience for the client • Stringent pre-submission process - Improve quality of deal Objective to increase leads to 1500 leads per month

  15. Daily Sun Competition

  16. Mageu Competition

  17. BUILDING RENTAL PORTFOLIO

  18. BUILDING RENTAL PORTFOLIO PLANNING

  19. TYPICAL RENTAL UNITS

  20. TYPICAL RENTAL UNITS

  21. QUESTIONS?

More Related