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  1. Disclaimer This presentation is being made only to and is directed at (a) persons who have professional experience in matters relating to investments falling within Article 19(1) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2001 (the "Order") or (b) any other persons to whom it may otherwise lawfully be communicated, falling within Article 49(1)of the Order (all such persons being referred to as "relevant persons"). Any person who is not a relevant person should not act or rely on this presentation or any of its comments. The financial information set out in this document does not constitute the Company's statutory accounts. Statutory accounts for 2002, which received an auditors' report that was unqualified and did not contain any statement concerning accounting records or failure to obtain necessary information and explanations, have been filed with the Registrar of Companies.

  2. George Wimpey PlcInterim Resultsfor the half year ended 30 June 2003 Wednesday 30 July 2003

  3. Welcome John Robinson Chairman

  4. Agenda • Introduction Peter Johnson • H1 Financial Review Andrew Carr-Locke • UK Business Review Keith Cushen • US Business Review Peter Johnson • Summary and Outlook Peter Johnson

  5. Introduction Peter Johnson Group Chief Executive

  6. Highlights • A strong set of H1 results in both UK and US. • Operating profit: George Wimpey core business up 26% £12m contribution from Laing in line with expectations Morrison up 64% in dollar terms • Operating margins increased ahead of plan • from 11.4% to 16.5% in George Wimpey UK • from 8.5% to 11.1% in Morrison Homes • Full year outlook around top end of market expectations • strong order books in both UK and US • improved land positions in both UK and US • Confidence reflected in strengthened dividend policy 7

  7. H1 2003 financial review Andrew Carr-Locke Group Finance Director

  8. First half results H1 2003 H1 2002 Change £m Turnover 1,059 1,017 +4% Operating profit 148.0 105.5 +40% Interest charge (25.3) (19.2) +32% Profit before tax 122.7 86.3 +42% Earnings per share 22.5p 15.7p +43% Dividend per share 3.8p 3.2p +19% ROACE* 24.1% 21.2% *Last 12 months, before exceptionals 9

  9. Segmental analysis Turnover Operating profit1 Operating margin1 £m Change £m Change H1 2003 H1 2002 George Wimpey 691 (13)% 114 +26% 16.5% 11.4% Laing Homes 114 - 12 - 10.6% - Morrison Homes2 254 +13% 28 +47% 11.1% 8.5% Group - - (6) - TOTAL 1,059 +4% 148 +40% See appendix: (vii) (viii) (xvi) (xxi) (xxii) 1After fair value items 2Exchange rate in 2002 $/£=1.45, 2003 $/£=1.61 10

  10. First half completions Completions Ave selling price No Change £ / $ Change GW PD 4,125 (22)% £163,000 +16% GW social1 245 (49)% £75,000 +17% Laing PD 310 - £331,000 - Laing social 9 - £102,000 - UK total 4,689 (19)% US total 1,521 +15% $266,000 +9% See appendix: (vii) (xvi) (xxi) GROUP TOTAL 6,210 (13)% 1Includes contract partnership 11

  11. Strengthened dividend policy • Over past two years earnings growth of 40% p.a. has been achieved compared with dividend growth of 10% p.a. • UK restructuring has created a strong business now delivering improved results • A high degree of political and economic uncertainty reduced • UK outlook sound, US outlook good • margins risen to industry levels • strong forward order books • Confidence in continued earnings growth reflected in revised dividend policy enhancing long term value for shareholders • ensuring prudent balance sheet structure • enhancing dividend growth rate to reduce cover over time 12

  12. Cash flow summary H1 2003 H1 2002 £m Operating profit 148 106 Land spend (482) (237) Acquisitions (120) (85) Land realisations 254 243 Other working capital (157) (17) Tax (54) (25) Funding costs (34) (28) CASH OUTFLOW BEFORE FINANCING (445) (43) 13

  13. Balance sheet - net assets June 2003 June 2002 £m Fixed assets 27 23 Land 1,642 1,257 Land creditors (168) (164) Other current assets 491 337 Tax and provisions (66) (43) Deferred consideration (92) (161) TOTAL NET ASSETS 1,834 1,249 See appendix: (iv) 14

  14. Analysis of increase in assets in last 12 months £m 163 George Wimpey McAlpine payments 106 Investment in land1 Investment in WIP 52 Sub-total 321 Laing Homes Acquisition payments 200 Investment in land2 60 Other working capital (23) 237 Sub-total 43 Morrison Homes Investment in land (10) Other mainly exchange Sub-total 33 (6) Corporate Sub-total 585 TOTAL 1Net of creditors 2Net of creditors, since acquisition 15

  15. Balance sheet -financing June 2003 June 2002 Shareholder’s funds £m 1,022 833 Net debt £m 812 416 Capital employed £m 1,834 1,249 Gearing 79% 50% Interest cover* 8.5x 6.6x Underlying interest cover* net of imputed interest 10.5x 9.5x See appendix: (iv) *Last 12 months, before exceptionals 16

  16. GW Laing Morrison June 2003 June 2002 June 2003 June 2002 June 2003 June 2002 Land owned and controlledPD and social housing Total land value £m 1,209 1,133 280 - 153 120 Owned plots 30,605 29,788 3,214 - 12,574 10,636 Controlled plots 11,957 12,515 912 - 2,751 1,900 Short term plots 42,562 42,303 4,126 - 15,325 12,536 Short term landbank in years 3.4 3.3 3.4 - 4.1 4.1 See appendix: (xii) (xiii) (xiv) (xix) (xxiv) 17

  17. Financial summary • Group PBT +42% despite reduction in UK first half volumes • Operating margins H1 2002 to H1 2003: • George Wimpey 11.4% to 16.5% • Morrison Homes 8.5% to 11.1% • Dividend • increase in dividend growth reflects confidence in the future and commitment to reduce dividend cover over time • Increased gearing (debt/equity) to 79% • Improved interest cover, underlying cover increased from 9.5x to 10.5x 18

  18. UK business review Keith Cushen Chief Executive, George Wimpey UK

  19. Financial summary George Wimpey Laing Homes H1 2003 H1 2002 H1 2003 Legal completions 4,370 5,776 319 PD ave selling price £163,000 £140,000 £331,000 Turnover £m 691 793 114 Operating profit £m 114.0 90.5 12.0 Operating margin* 16.5% 11.4% 10.6% See appendix: (vi) (vii) (viii) (xi) * after fair value items 20

  20. Highlights • Restructuring now complete • common approach across all businesses • strong management team in place • continuous improvement the order of the day • Land bought earlier in the year and on better terms • to accommodate lengthier planning process • to deliver 2004/2005 outlets • >90% of 2004 plots now in place • and continuing to buy land at improving margins • Business well in control of costs • both materials and labour costs remain stable • cost lessons of PPG3 learnt and reflected in current practices 21

  21. UK housing market • Short term factors • affordability - interest rates lowest since 1955 • high employment - continued job creation in public sector • Long term factors • demand - population growth, immigration, ageing population • supply - restricted by planning regime  continued housing shortfall, c.40,000 units in 2002 • House price inflation returning to sustainable levels • still experiencing increases in the north • moderate increases in the midlands • levelling off in the south 22

  22. UK Options Revenue per plot Total UK options turnover £21.2 million +24% • Laing Homes only recently introduced - opportunity for the future • First Regional Options Centre in Edinburgh - £9,500 per customer • two new centres to be opened in 2003, a further three in 2004 • Improving services offered to customers making it even easier to buy a George Wimpey home - financial services joint venture established High: GW East London £9,133 George Wimpey £4,860 Average: Laing Homes £3,565 Low: GW Midland £2,865 23

  23. George Wimpey

  24. 2003 a ‘normal’ market H1 2003 H1 2002 H1 2001 • Average weekly visitors above 2002 • very strong in the North • H1 2003 sales per outlet slightly behind H1 2002 • North and Midlands above last year • certain markets in south remain behind 2002 • for whole of core business, sales rates experienced in June and July ahead of 2002 • Incentives remain at ‘normal’ levels • at week 29 use of P/X and APP at lowest levels ytd Visitors per site per week Sales per week Visitors per site per week Sales per week Visitors per site per week Sales per week GW 12.9 0.88 12.6 0.95 10.7 0.85 25

  25. George Wimpey sales rates 1.20 1.00 0.80 0.60 Sales per week per site 0.40 0.20 0.00 1 4 7 10 13 16 19 22 25 28 31 34 37 40 43 46 49 52 Week no 2001 2002 2003 26

  26. Margin reconciliation H1 2003 H1 2002 £m % to sales £m % to sales Gross profit 186.8 27.0% 161.2 20.3% Fair value items 2.0 0.3% 5.7 0.7% Overhead costs (72.8) 10.5% (70.7) 8.9% Operating profit before fair value items 116.0 16.8% 96.2 12.1% Operating profit after fair value items 114.0 16.5% 90.5 11.4% See appendix: (viii) 27

  27. 18% 16% 14% 12% 10% 8% 6% 4% 2% 0% H1 2000 H2 2000 H1 2001 H2 2001 H1 2002 H2 2002 H1 2003 Land purchase margins PBIT% 28

  28. Landbank • Land being bought earlier in the year to allow for extra planning time • time taken to gain planning approval has increased by a third in past two years • George Wimpey have continued to buy land in the right locations at the right price • as promised strategic landbank now delivering land into short term landbank H1 2003 H1 2002 % landbank North 31% 34% Midlands 35% 34% South 34% 32% See appendix: (xii) (xiii) (xiv) 29

  29. SAS Headquarters Hereford • September 2000: Site identified as mixed-use site in local plan LPE drawn up • March 2001: site purchased unconditionally for £5.75 million • 500 plots anticipated • assumed value with planning permission £12 million • July 2002 • outline planning granted for 160 units subject to S106 agreement • S106 agreement expected to be complete by end of August 2003 • September 2003: demolition planned to start, infrastructure construction commencing October 2003 • September 2003 outline consent for remainder of site expected 30

  30. Product mix • Impact of PPG3: increase in apartments, attached and 3 storey products • increase in coverage c.12,000 sqft per acre - 17,000 sqft per acre • changing dynamics of business, different process, build and sales programme • still broad spread • 54% brownfield completions H1 2003 H1 2003 H1 2002 H1 2001 % completions from: Apartments 21% 18% 9% 1 & 2 bed houses 8% 10% 13% 3 bed houses 26% 26% 26% 4 & 5 bed houses 45% 46% 52% See appendix: (ix) 31

  31. Laing Homes

  32. In line with expectations • Laing Homes benefiting from George Wimpey business improvement experiences in benchmarking and sharing best practice • Immediate integration plans complete • removal of centralised functions and overhead • Cost savings analysis now complete - savings being implemented in  homestyle  sales and marketing  procurement  overheads  standard detailing • £10 million on target for 2004 • Increased investment in land, being acquired on improved margins • Experienced management team retained after acquisition 33

  33. Market conditions • All price points selling equally • Visitor rates similar to 2002 • Sales rates down on 2002 • Investors starting to return • June and July ahead of 2002 for both visitors and sales H1 2003 % Nov / Dec 2002 % PD completions £000 <300 181 58 227 61 301 - 500 87 28 105 28 500 + 42 14 39 11 Total 310 100 371 100 See appendix: (xvii) 34

  34. Platform for growth • Programme of land investment since acquisition • 100% of plots for 2004 now owned or controlled • 70% of plots for 2005 now owned or controlled • Land now being purchased at better margins • increased hurdle rates, coming in line with George Wimpey • Potential for increased options revenue • learning from shared experiences with George Wimpey and Morrison • Operating margins targeted to return to historic levels (c.16%) over time • Improving trend in visitor and sales rates 35

  35. UK summary

  36. We have created a strong business • Simple strategy for improvement over past 21/2 years • created the right business structure • introduced strong discipline of cost control • delivered significant sustainable improvement in operating margin ahead of plan • acquired Laing Homes premium brand • improved customer focus to provide opportunities for the future • received 30% of NHBC ‘Pride in the Job’ awards • Combined George Wimpey and Laing Homes order book >£1bn • outlets at June 2003 in line with June 2002 • targeting H2 2002 volumes for H2 2003 37

  37. US business review Peter Johnson

  38. US housing market Positive outlook for US housing and Morrison markets, in particular: Short term factors • continuing low 30-year mortgage rates • job and income growth predicted for H2 2003 • NAHB predicts record new homes sales in 2003, just under 1m units • Florida and California staying strong; Texas, Phoenix picking up Long term factors • demand set to remain high (~1m SF houses) until at least 2020 • record 9 million 1990’s immigrants entering house ownership market • echo baby boomers - 60m births 1979 to 1994 - also entering market • ageing population with record home ownership - up to 68% • continuing job and retirement migration to south and west 39

  39. Immigration and birth rates1940-2000 10,000,000 4,500,000 Echo Boom 9,095,417 9,000,000 4,300,000 Baby Boom 8,000,000 4,100,000 7,338,062 7,000,000 3,900,000 6,000,000 3,700,000 4,493,314 No. immigrants No. births 5,000,000 3,500,000 4,000,000 3,300,000 3,321,677 3,000,000 3,100,000 2,515,479 2,000,000 2,900,000 1,035,039 1,000,000 2,700,000 0 2,500,000 1940's 1950's 1960's 1970's 1980's 1990's 40 Immigrants Birth Rate

  40. Financial summary H1 2003 H1 2002 % change Legal completions 1,521 1,325 +15% Ave selling price $266,000 $245,000 +9% Revenue $m 409 326 +25% Operating profit $m 45.3 27.7 +64% Operating margin % 11.1 8.5 +2.6pp See appendix: (xxi) (xxii) 41

  41. Margin reconciliation H1 2003 H1 2002 $m % to sales $m % to sales Gross profit 93.9 23.0% 69.8 21.4% Selling expenses (23.9) (5.9)% (20.3) (6.2)% Overhead costs (24.7) (6.0)% (21.8) (6.7)% OPERATING PROFIT 45.3 11.1% 27.7 8.5% See appendix: (xxii) 42

  42. Profit growth underpinned • Outlet numbers broadly level, but improved sales rates • H1 volume up 15% • order book c.$440m; >85% of years completions in hand • San Antonio exited; improvement plans in place in Dallas and Atlanta • poor outlets being sold out • new sites at better margins • asset levels reduced until performance is improved • Land acquired at improved margins to meet 2004 volume growth • c.90% of 2004 plots in hand to deliver further volume growth • options and higher asset turn limit cash required to sustain growth 43

  43. Summary and outlook Peter Johnson

  44. Next steps Actions taken provide platform for growth in 2003 and beyond • George Wimpey operating margins at sustainable levels • costs well under control in a low-inflation environment • land programme in place to allow steady growth in UK volumes • longer term profit growth from Laing Homes cost reduction programme and improved land purchase terms • ongoing growth in options and options related income • Morrison well-placed to sustain strong volume and profit growth 45

  45. Outlook • Market conditions remain healthy in both UK and US • Encouraging recent sales rates in both markets • UK • GW order book and current sales at margins similar to H1 • H2 volumes likely to be similar to or slightly ahead of H2 2002 • Laing Homes 2003 full year results expected to be in line with 2002 • Morrison Homes • strong order book and current sales support full year volume growth • order book and current sales at margins similar to H1 The Board is confident of achieving full year results around the top end of market expectations 46

  46. Appendix To interim results presentation for half year to 30 June 2003 30 July 2003

  47. Published results £m H1 2003 H1 2002 Operating profit 148.0 105.5 Interest charge (25.3) (19.2) Profit before tax 122.7 86.3 Interest cover last 12 months 8.5x 6.6x ii

  48. Cash flow summary H1 2003 H1 2002 £m Operating profit 148 106 Land spend (482) (237) Land realisations 254 243 Other working capital (157) (17) Acquisitions and disposals (120) (85) Tax (54) (25) Funding costs (34) (28) CASH OUTFLOW BEFORE FINANCING (445) (43) iii

  49. Balance sheet June 2003 June 2002 £m Shareholders funds 1,022 833 Net debt 812 416 CAPITAL EMPLOYED 1,834 1,249 Fixed assets 27 23 Land 1,642 1,257 Land creditors (168) (164) Other current assets 491 337 Deferred Tax 16 16 Tax and provisions (82) (59) Deferred consideration (92) (161) ASSETS EMPLOYED 1,834 1,249 Gearing 79% 50% Shareholder’s funds 268p 222p iv

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