Disclaimer
This material is exclusively for international and promotional purposes. Its intention is to inform about the
business strategy of the company Tatry mountain resorts, a.s., with its registered office at Demänovská
Dolina 72, Liptovský Mikuláš 031 01, Identifications Number: 31 560 636, registered in the Commercial
Registry of District Court of Žilina, Section: Sa, Insertion No. 62/L (hereinafter referred to as „the TMR
Company“).
TMR Company shares are traded at the parallel market of stock-exchange listed securities. The
company´s eguity consists of 6 707 198 equity shares booked on the bearer with a nominal value of 33 €
per stock. Emission has been allocated ISIN SK11 20010287. In order to make the above emission public
at the parallel market of stock-exchange listed securities, there was an elaborated prospectus for the
securities of share emissions, ISIN SK11 20010287, as of October 10, 2010. The prospect is published at
the following website of the parallel market os stock-exchange listed securities Bratislava: www.bsse.sk
and at website of the TMR Company www.tmr.sk
Information contained in this material is not based on historical data, but contains forecasts for future
performance. Predictions are based on rational expectations supported by objective data. Predictions are
not reliable indicators of future performance and they are not binding. The TMR Company is not liable for
any of the above predictions. Future figures of the TMR Company can differ from predictions given in this
presentation.
This material is owned exclusively by the TMR Company. Any distribution, duplication, publishing, copy or
record of this information, or any part of it contained in this material is forbidden without the prior approval
by the TMR Company. Any distribution of this presentation or any part of it beyond the territory of the
Slovak Republic can be either restricted, or prohibited by law order of the third state.
Our mission is to secure the renaissance of Tatras from the
capital, sports and cultural as well as social point of view.
INVESTMENT HIGHLIGHTS
• Position of TMR as a leader in mountain tourism determines:
• a unique geographical area and market position
• years of experience and unique know how
• a business model elaborated into details
• extensive already realized (EUR 45 mil.) and future investments
Business model based on great growth potential:
• a year-round use of mountain resorts
•
•
•
•
complementarity of offered services
improvement and adjusting of services´ standards
investment development of Tatras
benefits of the Shareholders´ club
HISTORY OF HOLDING
Ski Jasná, a.s. founded
by the National
Property Fund
Shares acquisition of
TLD, a.s.
Increase of equity ratio
to EUR 253 mil. and IPO
on BCPB
Name changed to
JASNÁ Nízke Tatry, a.s.
1992
2003
2005 2006
Acquisition of
Grandhotel Praha
2008
Acquisition of
Grandhotel Starý
Smokovec
2009
Name changed to TMR,
a.s.
All you need to enjoy your holiday, you can find at one place...
Resorts
MOUNTAINS
SKI SCHOOL,
SKI RENTAL,
SHOPS,
RESTAURANTS,
APRES SKI BARS,
ATRACTIONS
HOTELS
GRANDHOTEL PRAHA ****
GRANDHOTEL SMOKOVEC ****
GRANDHOTEL JASNÁ ****
HOTEL TRI STUDNIČKY ****
HOTEL SKI BUNGALOWS **
DEVELOPMENT
T. LOMNICA CENTER
JASNÁ CENTER
GRAND RESIDENCES
TMR´s mountain resorts
•
The High Tatras (Tatranská Lomnica, Štrbské Pleso, Starý Smokovec)
•
•
Luxury year-round touristic resort offers quality complex services during
the summer and winter
The Low Tatras (Jasná, Chopok Juh)
•
biggest winter sport resort in central Europe
The biggest winter sport resort in Slovakia
- 34 km of ski slopes
- 14 km of ski slopes with artificial snow
- transportation capacity is more than 22 000 persons per hour (7 cableways and chairlifts, 18
t-bars)
- biggest ski school for children in Slovakia - 4000 m2 with conveyor belt
- professional service, cloakroom, ski school and rental equipment (600 pieces of Ski)
- 4 sport shopes
- ski in – ski out accomodation
- candidate Alpine FIS World Cup
Skiing and many possibilities for wonderful
summer holiday
- 14 km of ski slopes
- 6,2 km of ski slopes with artificial snow
- transportation capacity is more than 12 600 persons per hour (5 cableways and chairlifts, 10 t-bars )
- ski school for children with conveyor belt
- professional service, ski school and rental equipment (300 pieces of Ski)
- 2 sport shops
- sledding
- Snowbikes, Skifoxes, Snow tubing, Snowshoeing…
- chairlift trip to Lomnický štít 2643 m
- hiking, climbing, summer fun tools
Unique hotels in a first-class location, a unique ambiance, wellness and excelent
Services
Four 4**** and one 2** hotel – 3 of them ski in – ski out
• capacity of beds more than 900
• capacity of restaurants/bars approx. 1100
• capacity of conference rooms approx. 900
Top destination – great growth potential
•
High rate of population around 200km: 7,5 milions people
•
Clients with tradition to visit Tatras – Slovakia, Czech Republic, Poland,
Hungary, previous Democratic Republic of Germany
•
Easy access by plane – all big european cities are situated out of
mountains- London, Copenhagen, Amsterdam, Moscow, St. Petersburg
•
Markets in circuit of 1000 km with minimal offer of peer services Ukraine, Baltic States
Complex cover of client´s needs
TMR is the owner of infrastructure facillities
TMR is the owner of hotels and apartments and provider of accomodation
TMR offers all key services directly
apres ski and gastro on ski slope, ski rental, cloakroom, service and ski
school, fun activity: bike park, tubing, boats etc.
Service of travel agency (central reservation system on the web sites)
Renting the retail rooms
OUR CLIENTS
1. Wealthy client: spends daily more than EUR 200, at present 5% of clientele
• Target: 20% of clientele, 40% of operation profit
• Potential real estate client
2. Mainstream: spends daily more than EUR 100, at present 45% of clientele
• Target: 50% of clientele, 50% of operation profit
• Potential real estate client
3. Low end: spends daily to EUR 35, at present 50% of clientele
• Target: 30% of clientele, 10% of operation profit
Key factors of development during winter
season
1. Guarantee of snow – extension of artificial snowing
2. Reduction of waiting time – increase of transportation capacities
3. Minimalization of atmospheric exposures – gondola´s
4. Better utilisation of the Tatras´ conditions – freeride, natural snow
5. Increase of winter activities variability – sledding, ice-skating etc.
6. Gastro services on ski slope – top quality on ski slope, apres ski
7. Ski school and rental – directly on ski slope, comfort, cloakroom
8. Parking – near to ski slopes
9. Transportation – shuttle transport, Tatras´ railway
10. Support of private subjects´ activities – taxi, bars, restaurants
Key factors of development during summer
season
1. Utilisation of tourism potential:
• Aquaparks approximately 800 thousand of visitors
• Chopok cableway
2. Elimination of atmospheric exposures – gondola´s
3. Increase of summer activities variability – except hiking:
• scooters, cars, mountainbords
• summer tubing, bike park, bob-sled railway, gastro in altitudes
4. Focusing on children – parks with theme (aqua, bike, folk handicrafts)
5. Support of private subjects´ activities – aquaparks, golf, caves etc.
Key factors of hotel segment development
1. Hotels:
• Operation of own hotels in top quality
• High service standard of catering, hotel´s equipment and ambiance
outside hotel
• Extension of spa offer - wellness
• Intensify social and cultural life in hotels
• Offering of congress services apart from main season
2. Apartments:
• Establishment of facility managment after their sale
• Utilization of owners´activities by attracting visitors to Tatras
• Increase of accomodation stake ski in – ski out
• Offering complex services (scatering, wellness, rentals etc.)
Leader in investment
development
Investments corporealize the Tatras´ renaissance and are important for development
Destinations:
- Tatranská Lomnica ( Zermat)
- Jasná / Chopok ( Ischgl )
- Starý Smokovec ( Chamonix)
- Štrbské Pleso ( St. Moritz)
Past investments
• TMR as investment leader in mountain tourism segment:
• capital expenditures in volume EUR 45 mil. already realized during
past 3 years
4 new cableways
6 new snow-ploughs
8 km ski slopes
automatic machine for ski service
hotels´renovation
11 km snowed ski slopes
4 apres ski bars
3 kindergartens
69 new snow machine
tube run
7 restaurants on ski slopes
4 ski rentals - 700 skis
Future investments in volume more than EUR 100 mil. :
• projects in infrastructure (cableways, ski slopes, gastro on ski
slopes, hotels)
• realization of projects to build apartments
We are investing EUR 90 mil. into resorts´infrastructure
Cableways EUR 66 mil.
per./hour
%
Ski slopes and artificial snow
EUR 10 mil.
increase of transportation capacity for 50 thousand
+ 60
extension of ski slopes area to 210 ha
+ 37 %
increase of ski slopes with artificial snow to 109 ha
+113%
Buildings (rstaurants...) EUR 12 mil. increase of seats´capacity to 2 200 seats
+ 82%
Parking places EUR 2 mil.
increase of total parking capacity to 1900 cars + 75%
NEW CITY CENTER IN TATRANSKÁ LOMNICA
- TOP location: a part of zone is departure station to Skalnatá dolina
- Accomodation: 290 apartments in standard of 3* and 4*
- Leisure and relax: wellness, fitness, beauty
- Shopping passage: 2.520 m2 shops and services, complete amenities
- Year-round use: reach sports and cultural utilization
NEW CENTER IN TATRANSKÁ LOMNICA
ADVANTAGES OF THE PROJECTS:
• Unique location compared to competitive projects
• Creation of independent destination in frame of resort
• Addition of missing infrastructure in resort
• Indirect support of resort
PROJECT CENTER I.:
• TOP location in the center of ski resort Jasná Nízke Tatry, next to the station
• Accomodation - 250 apartments in standard of 3* and 4*, 250 garage places
• Leisure and relax - 3 x wellness, fitness, beauty
• Shopping passage - 2.520 m2 shops and services, restaurants, caffes, bars, boutiques, pharmacy,
grocery
• Year-round use: bike park, adrenalin´s park, atractions for children
Advantages of the project
CENTER I.:
• Unique location compared to competitive projects
• Creation of independent destination in frame of resort
• Addition of missing infrastructure in resort
• Creation of relationship between owners of apartments and center
Book values of TMR
Value decomposition - book values
Infrastructure- resorts
61%
20%
160.0
30%
40%
50%
60%
70%
80%
Utilisation of TMR resources
140.0
120.0
CAPEX
81.7
.
10%
100.0
EUR mil.
0%
Developers
´ projects 20%
Hotels 20%
80.0
60.0
CAPEX
1.8
40.0
20.0
aquisition price
47.4
aquisition price
70.2
39,8
0.0
Hotels
Infrastructure
CAPEX
9.1
Developers´
Developers´
projects purchase projects
90%
100%
Key values
Cableways
average 2005/06 - 2008/09
2013/14
Change in %
31 530
50 440
60%
31 530
50 440
8745
15045
KM trails
46
52,6
HA trails
153
209,6
33%
52%
Visit rate
1 197 000
1 786 000
49%
winter
613 000
998 000
63%
% skiers
85%
92%
summer
584 000
788 000
35%
winter
14
19
38%
summer
7
8
17%
26
36
38%
13 267 000
25 490 000
92%
winter
8 333 000
18 686 000
124%
summer
3 988 000
6 315 000
58%
5 763 000
14 224 000
147%
Transportation capacity
winter
summer
% artificial snow (ha)
37%
Average price person/day
Daily ticket price top season winter
TOTAL revenues
EBITDA
- increase of transportation capacity, better cableways adaptation to atmospheric exposures and expansion
of artificial snow will bring 63% increase of visitors during winter
- cableway from both sides of Chopok assures more visitors during summer
- so as ticket price could be higher (80% of price in top Alpine resort) which will bring a significant increase
of revenue and EBITDA
Key values
Ski school, ski rental, shops
2008/09
2013/14
Change in %
970
8 360
762%
0,2%
1%
5 820
16 960
1,1%
1,9%
Tržba obchodov
159 000
467 000
194%
TOTAL revenues
% cableways revenue
700 000
3 863 405
452%
5%
15%
EBITDA
-81 000
2 221 896
average 2005/06 - 2008/09
2013/14
Change in %
1 210
2 100
74%
TOTAL revenues
% cableways revenue
1 287 000
5 180 000
302%
10%
20%
EBITDA
-321 000
1 550 000
Number of rentals
% stake of visit rate
Number of clients – Ski school
% stake of visit rate
191%
Gastro on ski slope - Tatras
Number of seats
- more visitors in resort will bring revenue increase of ski school and catering
- men of substance will assure synergic effects on revenue of services in mountains (more clients with habit to
rent and use ski school)
- investments will bring higher quality of catering – top resorts Chopok, Priehyba – large restaurants in centre of
resort
-Lomnica Center – more shops – shopping center for purchasing mountain equipment
Key values
Hotels
average 2005/06 - 2008/09
2013/14
Change in %
416
438
5%
149 596
153 430
35%
56,4%
61%
Average room price
68
85,6
25,8%
Total revenues / room
101
105
6 254 579
13 883 200
664 351
4 256 628
Number of beds
Number of room/day
Occupancy
Sale
EBITDA
122%
- better quality of resort and increase of visit rate will positively influence increase of occupancy
- so as increase of average price will be in consequence of existence of men of substance in resort and
investments into hotels
- these synergies will mean 122% revenue increase
FINANCIAL RESULTS 2006-2009
25 000 000
20 000 000
15 000 000
10 000 000
5 000 000
0
2005-2006
2006-2007
Operating sales
2007-2008
Operating costs
Operating revenues
2008-2009
View after business segments
2005/2006
2006/2007
2007/2008
2009/2010
I.half of year
(IFRS)
2008/2009
EUR tis.
Mountains
Cableways
Gastronomy
Ski school
Hotels
Developers´ projects
TOTAL REVENUES
Mountains
Cableways
Gastronomy
Ski school
Hotels
Developers´ projects
TOTAL EBITDA
2009/2010
Assumption
14 603
13 828
492
283
14 287
13 025
852
410
15 589
13 742
1 227
621
15 241
12 820
1 606
815
9 289
7 400
1 126
763
13 590
11 115
1 650
825
4 242
7 395
7 351
6 030
3 418
6 273
0
0
0
0
0
0
18 845
21 682
22 940
21 271
12 707
19 862
5 066
5 586
-451
-69
3 993
4 759
-511
-255
4 703
5 041
-312
-26
3 571
3 788
-59
-158
2 332
2 049
171
112
2 426
2 180
219
27
845
1 235
654
-76
629
542
0
0
0
0
0
0
5 911
5 228
5 357
3 495
2 961
2 968
Key efficiency indicators
Transportation capacity and ski slopes
250
50,000
Simultaneous development:
200
40,000
• development capacity
150
• trails
.
30,000
100
20,000
ha
Lyžiarov za hodinu
.
60,000
• snow supply
50
10,000
0
0
2006
2007
2,008
Transport. capacity
2009e
2010p
2011p
Transport.-capacity- summer
2012p
2013p
2014p
trails
snow supply
Numbers of visitors and skiers
1,200,000
40.0
35.0
1,000,000
25.0
600,000
20.0
15.0
400,000
10.0
200,000
5.0
0
0.0
2006
2007
2,008
2009e
Number of visitors - winter
2010p
2011p
2012p
Number of visitors - summer
2013p
Skier / ha
2014p
Skier per hectare
30.0
800,000
• number increase of visitors
• no overpopulation
Key efficiency indicators
• Ticket price could gently increase because of inflation by 3-4% p.a.
• Average ticket price during top season €30-37/day, deeply under Alpine´s
level!
Number of visitors and ticket price
1,200,000
50.0
45.0
1,000,000
40.0
30.0
600,000
25.0
20.0
400,000
15.0
10.0
200,000
5.0
0
0.0
2006
2007
2,008
2009e
2010p
2011p
2012p
number of visitors-winter
number of visitors- summer
ticket price- Jasná/Chopok
ticket price – Vysoké Tatry
2013p
2014p
EUR
35.0
800,000
Revenues and EBITDA according to segments
25,000
20,000
15,000
10,000
5,000
0
2005/2006
2006/2007
2007/2008
Revenues Total
2008/2009
2009/2010
1st half (IFRS)
EBITDA Total
2009/2010
estimate
Views
70,000
60,000
50,000
40,000
30,000
20,000
10,000
0
2005/2006
2006/2007
2007/2008
Výnosy
Revenues
2008/2009
2009/2010p
Náklady
Costs
2010/2011p
EBITDA
2011/2012p
2012/2013p
CAPEX
2013/2014p
Principles´fulfilment of corporate governance
Supervisory board – controls and approves investments – representatives of owners – strong
position
- elects and calls off members of Board of Directors and controls their activity
- approves financial plan
- approves all investments over EUR 300 000
- so far three members – I. Rattaj chairman, P. Reisel, J. Slabý representative of the
employees
Board of Directors – strategic administration and responsibility for key decisions – authorization to
sign
- elects and calls off members of Top managemnetu
- signs all of contracts and companies´bills
- propose investment and financial plan and is responsible for its fulfilment
- so far three members – B. Hlavatý chairman, J.Hodek – financies, A. Devečka - Jasná
- after dissolution of TLD completing of D. Slavkovský – Vysoké Tatry
Top management – manufacture control off mills and back offices
- is responsible for realization of financial and investment plan
- initial of contracts, bills and orders for its sections
Top management
TMR
Operations
Predseda
predstavenstva
Lifts
– Low Tatras
e Tatry
Ján Štetka
Mountain Services
Matej Hulej
Hotels - Low Tatras
Branislav Kackovic
Lifts – High Tatras
Dušan Slavkovský
Hotels – High Tatras & Dining
Michal Krolák
Infrastructure Development
Vladimir Cukan
Real Estate Development
Vladislav Omelina
Corporate services:
• Financial management – CFO – Jozef Hodek
• Sales and marketing – František Šoltis
• Operations – Alena Ondrušová
TMR´s SHAREHOLDERS on August 4, 2010
Following chart shows owner’s structure of Tatry mountain resorts, a.s. to 4.8.. 2010.
Is the global warming a problem?
First Stop, Slovak the High Altitude Ski-Stations
2,500
2,196
2,000
2,004
2,003
2,093
1,500
1,400
1,550
1,480
1,396
1,360
1,236
1,080
1,000
1,209
1,025
915
880
912
805
630
830
770
720
600
500
545
540
510
470
Valčianska dolina
Plejsy
Jasenská dolina
Skipark
Ružomberok
Vrátna Free Time
Zone
SKI PARK
Kubínska hoľa
Park Snow Veľká
Rača
Donovaly
Starý Smokovec
Štrbské Pleso
Tatranská
Lomnica
Chopok Juh
Jasná/Chopok
Sever
0
WHY SHOULD YOU INVEST INTO TMR?
• Position of TMR as a leader in mountain tourism determines:
• a unique geographical area and market position
• years of experience and unique know how
• a business model elaborated into details
• extensive already realized (45 mil. EUR) and future investments
• Business model TMR is based on great growth potential and:
• a year-round use of mountain resorts
• complementarity of offered services
• improvement and adjusting of services´ standards
• investment development of Tatras
• benefits of the Shareholders´ club
BENEFITS OF SHAREHOLDER´S CLUB
Economical:
• Constantly growing share price
• Yearly planned dividend
• Yearly dividend resulting from share ownership ( approx. 10 % of share value )
Number of shares
25
40
80
130
250
500
Benefit
4-day ski pass
7- day ski pass
2 x 7- day ski pass
season ski pass issued by name
2 x season ski pass issued by name
VIP club
Emotional:
• Tatra´s co-ownership
• Participation in Slovakia´s development and personal utilization of benefits from
this development
Thank you for your attention.