Wihlborgs Fastigheter Ab · OMXSTO:WIHL
Wihlborgs Fastigheter Ab — Q4 2023 Earnings Presentation
53 slides from Wihlborgs Fastigheter Ab's earnings presentation, Feb 13, 2024
Slide 1: Year-end report January - December 2023
Year-end report January - December 2023 Ulrika Hallengren, CEO and Arvid Liepe, CFO 13 February 2023
Slide 2: Summary Q4 2023
• Summary Q4 2023 • Record new letting and net letting positive, again • Rental value continues to increase in line with index • Higher financing costs but ICR at 2.8 times • Stable balance sheet • Bond market recovering • Project investments position us for the future • The Board proposes a dividen
Slide 3: Results January-December 2023
Results January- December 2023 • Rental income increased by 16% to SEK 3,881 million (3,335) • Operating surplus increased by 19% to SEK 2,763 million (2,331) • Income from property management amounted to SEK 1,747 million (1,861) • Result for the period amounted to SEK -27 million (2,288), correspo
Slide 4: Rental income development
Rental income development Rental income Jan-Dec 2022, SEKm 3,335 Aquisitions 123 Currency effect 58 Index 229 Additional charges 62 Canteens -33 Completed projects, new leases and renegotiations etc. 107 Rental income Jan-Dec 2023 3,881 4
Slide 5: Net letting
Net letting Jan- Jan- Q4 Q4 SEKm Dec Dec 2023 2022 2023 2022 New leases 146 80 371 282 Terminations 128 48 318 163 Net letting 18 32 53 119 5
Slide 6: New leases Q4 – a selection
New leases Q4 — a selection @® =" AWAKE © sass EY djursjukhus 9 Mercedes-Benz iE Wile /*%THLON at WESAFE “"*** YPHEADS g Telia nowaste LUNDS UNIVERSITET
Slide 7: Net letting quarterly
Net letting quarterly 120 70 20 -30 -80 -130 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 New leases Terminations Net 7
Slide 8: Solid customers
Solid 20% customers Revenues from City of Helsingborg top ten tenants City of Malmö 23% Danish Building and Property Agency Revenues from Danske Bank public tenants Lund University Malmö University Skåne Regional Council Swedish Social Insurance Agency Swedish Tax Agency Trygg Hansa Insurance 8
Slide 9: Rental growth
Rental growth Rental Rubrikgrowthupp entire property stock till 2 rader like-for-like* 01-01-2024 01-01-2023 01-01-2024 01-01-2023 SEK m SEK m Percent SEK m SEK m Percent Rental value 4,408 4,170 +5.7 Rental value 3,348 3,181 +5.2 Rental income 4,043 3,810 +6.1 Rental income 3,093 2,938 +5.3 *Exclud
Slide 10: Changes in market value properties
Changes in market value properties SEK m Carrying amount 1 January 2023 55,179 Acquisitions 134 Investments 1,862 Properties sold -18 Changes in value -1,212 Currency translations -73 Carrying amount 30 December 2023 55,872 10
Slide 11: Increased value in the portfolio
Increased value in the portfolio 60 000 50 000 40 000 30 000 SEK m 20 000 10 000 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 11
Slide 12: Portfolio – the entire property stock
Portfolio – the entire property stock 1 January, 2024 Market value Op. Surplus* Occupancy Running Running yield SEK m SEK m rate, % yield, % fully let, % Total excl. 53,078 3,081 93 5.8 6.4 projects and land Total Wihlborgs 55,872 3,091 92 5.5 6.2 * Excluding property admin 12
Slide 13: Portfolio – Office properties
Portfolio – Office properties 1 January, 2024 Market value Op. Surplus* Occupancy rate, Running Rnning yield SEK m SEK m % yield, % fully let, % Malmö 18,967 1,045 95 5.5 5.8 Helsingborg 8,334 496 92 6.0 6.6 Lund 8,498 498 90 5.9 6.7 Copenhagen 10,297 560 94 5.4 6.0 Total 46,096 2,599 93 5.6 6.2 * E
Slide 14: Portfolio – Logistics/Production
Portfolio – Logistics/Production 1 January, 2024 Market value Op. Surplus* Occupancy Running Running yield SEK m SEK m rate, % yield, % fully let, % Malmö 2,152 146 95 6.8 7.2 Helsingborg 3,678 266 88 7.2 8.5 Lund 272 19 98 7.0 7.1 Copenhagen 881 52 97 5.9 6.2 Total 6,983 483 91 6.9 7.8 * Excluding
Slide 15: Portfolio running yield
Portfolio running yield, excl. property admin. 6,5 6,3 6,3 6,2 6,1 5,9 5,8 5,8 5,7 5,7 Percent 5,5 5,4 5,4 5,4 5,3 5,3 5,1 5,1 5,1 4,9 4,7 4,5 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Excl. project and land 15
Slide 16: Malmö Helsingborg Lund Copenhagen
Malmö Helsingborg Lund Copenhagen 40 % of property value 22 % of property value 16 % of property value 22 % of property value 633,000 m2 666,000 m2 273,000 m2 708,000 m2 102 properties 106 properties 34 properties 63 properties 22,146 SEK m property value 12,490 SEK m property value 9,154 SEK m prop
Slide 17: Financials
Financials 17
Slide 18: Income statement
Income statement SEK m Q4 2023 Q4 2022 Rental income 969 888 +9% Operating surplus 659 602 +9% Income property management 366 436 -16% Change in value of properties -297 -16 Change in value of derivatives -506 -37 Pre-tax profit -437 383 Profit for the period -350 290 18
Slide 19: Consolidated balance sheet
Consolidated balance sheet, SEK m 31-12-2023 31-12-2022 Investment properties 55,872 55,179 Right-of-use assets 136 146 Other fixed assets 438 391 Derivatives 369 696 Current receivables 211 238 Liquid assets 346 159 Total assets 57,372 56,809 Equity 22,391 23,380 Deferred tax liability 5,171 5,180
Slide 20: Key figures
Key figures 31-12-2023 31-12-2022 Equity/assets ratio, percent 39.0 41.2 Leverage properties, percent 50.0 48.6 Interest coverage ratio, multiple 2.8 5.6 Per share, SEK EPRA net disposal value 72.83 76.05 EPRA net reinstatement value 89.17 90.64 Earnings per share -0.09 7.44 EPRA EPS 5.30 5.45 20
Slide 21: Eighteen years of rising dividends
Eighteen years of rising dividends Adjusted for stock splits Dividend, SEK/share Yield, % 7,00 3,10 3,15 3,00 3,00 6,00 2,63 5,00 2,25 2,00 1,88 4,00 1,57 1,44 1,32 3,00 1,19 0,94 1,00 1,07 1,00 0,79 0,82 0,85 0,88 2,00 0,69 0,44 1,00 Dividend, SEK/share, % 0,00 0,00 Yield, % 2005 2006 2007 2008 200
Slide 22: EPRA NRV
EPRA NRV Average annual growth: 16 percent adjusted for dividend Per share 100 90 80 70 60 SEK 50 40 30 20 10 0 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 22
Slide 23: Stable financial position
Stable financial position Financial targets Equity/Assets % 45,0 • Max. loan-to-value 60% 40,0 • Min. equity/assets 30% 35,0 • Min. interest coverage 2.0 multiple 30,0 25,0 Interest cover ratio, rolling 12 months 8,0 7,0 Loan-to-value % 6,0 65,0 5,0 60,0 4,0 55,0 3,0 50,0 2,0 1,0 45,0 0,0 40,0 jul-1
Slide 24: Strong earnings relative to borrowings
Strong earnings relative to borrowings Net debt/EBITDA 12,0 10,0 8,0 Multiple 6,0 4,0 2,0 0,0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 24
Slide 25: Current financing, Dec 2023
Current financing, Dec 2023 Total debt: SEK 27.9 bn 7% 52% 41% Bank loans Danish mortgage loans Bonds 25
Slide 26: Structure of interest and loan maturities
Structure of interest and loan maturities Interest maturity Loan maturity Loan amount Average Credit agreement Utilised Matures year SEK m interest rate % SEK m SEK m 2024 14,170 4.89 5,594 4,994 2025 1,788 1.56 4,338 4,138 2026 1,702 2.33 10,123 8,091 2027 2,245 3.63 592 592 2028 2,645 3.69 610 610
Slide 27: Interest rate sensitivity
Interest rate sensitivity 7,00 Average interest rate, % 6,00 The underlying rate can increase by 2.5 percentage points 5,00 from the level end December and the ICR would still be at our target level of 2.0 times. 4,00 3,00 2,00 The underlying rate can increase by 5.0 percentage points 1,00 from the
Slide 28: Fixed interest period and loan maturity
Fixed interest period and loan maturity Fixed interest period, years Loan maturity, years 7 7 6 6 5 5 4 4 3 3 2 2 1 1 0 0 mar-19 sep-19 mar-20 sep-20 mar-21 sep-21 mar-22 sep-22 mar-23 sep-23 mar-19 sep-19 mar-20 sep-20 mar-21 sep-21 mar-22 sep-22 mar-23 sep-23 28
Slide 29: Bond maturities
700 000 000 600 000 000 500 000 000 400 000 000 300 000 000 200 000 000 100 000 000 ° 2024-02-28 2024-03-11 Bond maturities 2024-09-11 2025-09-08 MMIN-program im SFF 2026-01-19 2026-02-21 2026-03-20 29
Slide 30: Available funds
Available funds Unutilized credit facilities plus liquid funds, SEK mn 4500 4000 3500 3000 2500 2000 1500 1000 500 0 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 30
Slide 31: Sustainability
Sustainability 31
Slide 32: Certified properties Jan-Dec 2023
Certified properties Jan-Dec 2023 Huggjärnet 13 – house 2, Malmö Kranen 2, Malmö Hindbygården 8, Malmö Miljöbyggnad level Silver Miljöbyggnad In-Use level Silver Miljöbyggnad level Gold Huggjärnet 13 – house 3, Malmö Skrovet 6, Malmö Kunskapen 1, Lund Miljöbyggnad level Silver Miljöbyggnad In-Use le
Slide 33: Sustainability results 2023
Sustainability results 2023 • Certified properties 71% (49) • Energy use kWh/sqm -6% • Measures taken in 2023 o Österport, -40% o Sankt Jörgen 21 ,-29% o Skrovet 6, -24% o Muren 5, -23% o Ritaren 1, -21% o Terminalen 1, -19% • Solar power 9% of energy consumtion in our portfolio 33
Slide 34: Energy declaration from E to A
Energy declaration from E to A Nya Vattentornet 3 (Bricks) • - 46% specific energy consumtion • - 25% related to Wihlborgs innovation ”Jannelösningen” • - Halved energy use for restaurant
Slide 35: Global sector leader
Global sector leader • GRESB Sector leader – five stars and 93 out of possible 100 points • A- in CDP-benchmark (Carbon Disclosure Project) – ”Leadership”-group 35
Slide 36: Investments in progress
Investments in progress 36
Slide 37: Projects investments January-December 2023
Projects investments January-December 2023 SEK m Investments 1,862 Projects in progress 3,675 Invested by period end -1,011 Remains to invest 2,664 37
Slide 38: Bläckhornet 1 - VISTA
Bläckhornet 1 - VISTA Hyllie, Malmö Completion Q4 2024 / Q4 2025 15,000 m2 mobility hub SEK 884 M 16,600 m2 office 38
Slide 39: Börshuset 1
Börshuset 1 Malmö, City Completion Q4, 2025 6 000 m2 SEK 289 M 39
Slide 40: Posthornet 1, phase 2
Posthornet 1, phase 2 Lund, City Completion Q1, 2026 9,900 m2 448 Mkr 40
Slide 41: Christianhusvej 11
Christianhusvej 11 Copenhagen, Hörsholm Completion Q4, 2025 NGG 11 600 m2 SEK 390 M 41
Slide 42: Tomaten 1
Tomaten 1 Lund Completion Q2, 2024 Inpac 6,400 m2 137 Mkr 42
Slide 43: Rausgård 21
Rausgård 21 Helsingborg Completion Q3, 2024 Nederman 25,000 m2 420 Mkr 43
Slide 44: Snårskogen 5
Snårskogen 5 Helsingborg Completion Q3, 2024 Rollco 3,600 m2 78 Mkr 44
Slide 45: Sunnanå 12:54
Sunnanå 12:54 Malmö Completion Q3, 2025 17,000 m2 302 Mkr 45
Slide 46: Future projects
Future projects 46
Slide 47: Amphitrite
Amphitrite University of Malmö 47
Slide 48: Future projects: Science Village, Spektra, Ideontorget, Zenit
• Vetskapen 1 Science Village, Spektra Ideontorget, Zenit Polisen 7 Västerbro Lund Lund, Ideon Helsingborg Lund 4,700 m2 GFA 16,000 m2 GFA 6,000 m2 GFA 70,000 m2 GFA TBD TBD TBD TBD TBD TBD TBD TBD 48
Slide 49: Future projects: Smörkajen, Kranen, Dockan, Naboland
• Hamnen 16:xx- Smörkajen Hamnen 16:xx- Smörkajen Kranen 15 Dockan Naboland 3 Malmö, Nyhamnen Malmö, Dockan Malmö, Dockan Malmö, Burlöv 13,000 m2 GFA TBD 13,000 m2 GFA 8,000 m2 GFA TBD TBD TBD TBD Miljöbyggnad Guld Miljöbyggnad Guld Miljöbyggnad Guld Miljöbyggnad Guld 49
Slide 50: Future projects: Tomaten, Örja, Bilrutan, Sunnanå
• Tomaten 1 Tomaten 1 Örja, Pedalen etc. Bilrutan 5 Sunnanå 12.26 Lund Landskrona Landskrona Malmö, Burlöv 2,500 m2 GFA TBD 14,000 m2 GFA 4,000 m2 GFA TBD TBD TBD TBD TBD TBD TBD TBD 50
Slide 51: Future projects: Stenåldern, Benkammen, Spännbucklan
• Stenåldern 7 • Benkammen 16 Stenåldern 7 Benkammen 16 Malmö Malmö 5,000 m2 GFA 5,500 m2 GFA TBD TBD TBD TBD Spännbucklan 9 Hindbygården 9 Malmö Malmö 5,500 m2 GFA 2,500 m2 GFA TBD TBD TBD TBD 51
Slide 52: Summary Q4 2023
• Summary Q4 2023 • Record new letting and net letting positive, again • Rental value continues to increase in line with index • Higher financing costs but ICR at 2.8 times • Stable balance sheet • Bond market recovering • Project investments position us for the future • The Board proposes a dividen
Slide 53: UIAPAAR
UIAPAAR HAN aM
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