Epr Properties · NYSE:EPR
Epr Properties — Q3 2019 Earnings Presentation
19 slides from Epr Properties's earnings presentation, Oct 30, 2019
Slide 1: Q3 2019 Earnings Call
Q3 2019 EARNINGS CALL OCTOBER 30, 2019
Slide 2: Introductory Comments
INTRODUCTORY COMMENTS This information is as of the date indicated and, to our knowledge, was timely and accurate when presented. We are under no obligation to update or remove outdated information other than as required by applicable law or regulation. 2
Slide 3: Headlines
HEADLINES 1. Strong Quarter Anchored by Continued Demand For Experiential Assets 3
Slide 4: Headlines
HEADLINES 1. Strong Quarter Anchored by Continued Demand For Experiential Assets 2. Record Low Bond Yield and Spread 4
Slide 5: Headlines
HEADLINES 1. Strong Quarter Anchored by Continued Demand For Experiential Assets 2. Record Low Bond Yield and Spread 3. Well-Positioned Balance Sheet with Ample Capacity 5
Slide 6: Headlines
HEADLINES 1. Strong Quarter Anchored by Continued Demand For Experiential Assets 2. Record Low Bond Yield and Spread 3. Well Positioned Balance Sheet with Ample Capacity 4. Increasing Earnings and Investment Spending Guidance 6
Slide 7: Portfolio Update
PORTFOLIO UPDATE 7
Slide 8: Portfolio Statistics
PORTFOLIO STATISTICS $7.2B TOTAL INVESTMENTS* 416 PROPERTIES IN SERVICE 99% OCCUPANCY $118.1M Q3 INVESTMENT SPENDING 1.89X RENT ** * See investor supplemental for the applicable period for definitions and calculations of these non-GAAP COVERAGE measures // ** Coverage is weighted average for the seg
Slide 9: Entertainment Segment Highlights
ENTERTAINMENT SEGMENT HIGHLIGHTS UPDATES • Third quarter box office was up ~3% year-over-year* • Fourth quarter opened strong with the Joker’s record-breaking $3.4B opening weekend and year end 2019 box office revenue expected to INVESTED** be near 2018’s all-time high 195 PROPERTIES IN SERVICE 2 PR
Slide 10: Recreation Segment Updates
RECREATION SEGMENT UPDATES HIGHLIGHTS • Attractions portfolio visits up 4% and revenue up 7% through August over the three-year average $2.3B • Financed Margaritaville Nashville Hotel in Nashville’s SoBro district, INVESTED* one of the country’s hottest experiential destinations • Vail Resorts close
Slide 11: Education Segment Updates
EDUCATION SEGMENT UPDATES HIGHLIGHTS • Received $104 million in disposition proceeds Excellent progress on Crème de la Crème transition, 17 completed and $1.3B • * remaining 4 anticipated in fourth quarter INVESTED 137 PROPERTIES IN SERVICE 55 OPERATORS PUBLIC CHARTER SCHOOLS 1.51x RENT COVERAGE PRI
Slide 12: Financial Review
FINANCIAL REVIEW 12
Slide 13: Financial Highlights: Financial Performance
FINANCIAL HIGHLIGHTS FINANCIAL PERFORMANCE Quarter ended September 30, (In millions except per-share data) 2019 2018 $ CHANGE % CHANGE Total Revenue $184.9 $176.4 $8.5 5% Net Income - Common 28.0 85.8 (57.8) (67%) FFO – Common* 59.1 116.5 (57.4) (49%) FFO as adj. – Common* 115.3 119.6 (4.3) (4%) Net
Slide 14: Financial Highlights: Key Ratios
FINANCIAL HIGHLIGHTS KEY RATIOS * Quarter ended September 30, 2019 2018 Net debt to Adjusted EBITDA 5.2x 5.3x Fixed charge coverage 3.3x 3.3x Debt service coverage 3.8x 3.8x Net debt to gross assets (book) 40% 42% Net debt to gross assets (market) 32% 35% FFO as adjusted payout 77% 68% * See investo
Slide 15: Capital Markets Update
CAPITAL MARKETS UPDATE TOTAL DEBT IS $3.1B AT 9/30/19 • All is fixed rate or fixed through int. rate swaps; wtd. avg. = 4.3% • No balance on $1B revolver; $115.8M unrestricted cash DEBT ACTIVITY • Issued $500M of new 3.75% 10-year senior unsecured notes • Redeemed all $350M of 5.75% senior unsecured
Slide 16: 2019 Guidance Update
2019 GUIDANCE UPDATE 2019 GUIDANCE FF0 AS ADJUSTED PER SHARE Revised Guidance $5.44 - $5.52 Prior Guidance $5.32 - $5.48 INVESTMENT SPENDING Revised Guidance $775M - $825M Prior Guidance $700M - $850M DISPOSITION PROCEEDS Guidance $400M - $475M Prior Guidance $300M - $400M 16
Slide 17: Reconciliation of Midpoint of FFOAA/Share Guidance
RECONCILIATION OF MIDPOINT OF FFOAA/SHARE* GUIDANCE FFO as adjusted per share (previous guidance midpoint) $5.40 Increase in termination and prepayment fees - education properties 0.10 Increase in core business performance 0.03 Impact of additional capital raising activities (0.02) Impact of increas
Slide 18: Closing Comments
CLOSING COMMENTS 18
Slide 19: EPR Properties contact details
EPR Properties 909 Walnut Street, Suite 200 Kansas City, MO 64106 www.eprkc.com 816-472-1700 info@eprkc.com