Vgp Nv · EURONEXT:VGP

Vgp Nv — Investor Presentation (March 2022)

24 slides from Vgp Nv's investor presentation, Mar 10, 2022

  1. Slide 1: Company Presentation

    BUILDING Company Presentation TOMORROW TODAY

  2. Slide 2: Introduction to VGP

    Introduction to VGP 2

  3. Slide 3: Fully integrated pure-play logistics real-estate company

    Fully integrated pure-play logistics real-estate company ​ Company at a glance Portfolio KPI’s as of 31-Dec-21 ◼ Pan-European operator, owner and developer of prime logistics 151 and light industrial parks €5.75bn2 16 100 Number of 3.9 years Average Total GAV Countries Parks completed building age ◼

  4. Slide 4: Pan-European expansion and stronghold Germany lead to record leasing and construction activity

    Pan-European expansion and stronghold Germany lead to record leasing- and construction activity, and underpin strong FY2021 financial performance ◼ Record net profit of €650.1 million, an 75.2% YoY increase ◼ Strong business growth across the portfolio ◼ Signed and renewed rental income of €79.7 mil

  5. Slide 5: Key ESG achievements & highlights of VGP in 2021

    Key ESG achievements & highlights of VGP in 2021 Carbon footprint scope 1 and 2 reduction ◼ On track to achieve net carbon neutrality by 2025 and 50% gross reduction by 2030 1 2 ◼ All VGP offices green energy PPA contract as of 1 Jan 20221 Carbon footprint Scope 3 reduction ◼ Engaging with tenants o

  6. Slide 6: Key ESG achievements & highlights of VGP in 2021

    Key ESG achievements & highlights of VGP in 2021 Governance ◼ Implemented principles 3.19 of the Belgian Code on Corporate Governance by appointing Company Secretary ◼ Updating charter and various policies and guidelines to demonstrate highest standards of business conduct and integrity Diversity an

  7. Slide 7: Well diversified and strategically located asset base

    Well diversified and strategically located asset base Investment portfolio breakdown (as of fair value)1 Geographic footprint of the portfolio1 Completed vs Under construction vs Development land Geographic breakdown Germany Development land GAV: €3,233mm Latvia 3% 3% €565mm Parks: 36 GAV: €72mm 10%

  8. Slide 8: Successful and long-standing track record of geographic expansion and continued delivery

    Successful and long-standing track record of geographic expansion and continued delivery across markets… 1998 2007 - 2009 2013 2016 2018 2020 ◼ VGP founded in Czech ◼ Expansion through CEE ◼ Expansion to Germany ◼ Established partnership ◼ Further expansion ◼ Launch of two development JVs Republic a

  9. Slide 9: Supported by continuous cash recycling with Joint Ventures

    …supported by continuous cash recycling with Joint Ventures … Total portfolio – including 100% JV (€ million) 5,746 6.000 Own portfolio ◼ Expected Capital JVs-related1 Expenditure 5.000 (predominantly based on pre-let construction 3,843 projects) for 3.492 4.000 2022 > 2021 ◼ Significant cash balanc

  10. Slide 10: Driven by solid leasing growth

    … driven by solid leasing growth Committed annualised rental income and number of tenancy contracts €300 450 400 €250 Committed annualised rental income 350 Number of tenancy contracts €200 300 250 €150 200 €100 150 100 €50 50 €- 0 2016 2017 2018 2019 2020 2021 Rolling rental income Increase in rent

  11. Slide 11: Portfolio virtually fully-let on a long-term basis

    Portfolio virtually fully-let on a long-term basis Occupancy evolution (%) Weighted average lease term (WALT) of the portfolio Own Portfolio Joint Ventures 100,0% 100,0% 100,0% 100,0% 100,0% 99,8% 99,4% 99,3% 99,3% 98,4% Combined 8.6 years JV 7.4 years Own 10.2 years 0 2 4 6 8 10 12 14 2017 2018 201

  12. Slide 12: Portfolio leased to a diversified and blue-chip customer base

    Portfolio leased to a diversified and blue-chip customer base Blue-chip top 10 Tenants (JVs at 100%) Tenant portfolio breakdown – by industry segment Krauss Maffei 10,9% Amazon 6,1% Other Zalando 5,5% 3.9% Rhenus Logistics 3,8% Logistics E-commerce Drylock Technologies 2,5% 38.6% 25.2% TBU BMW Group

  13. Slide 13: Prudent development strategy with majority pre-let developments

    Prudent development strategy with majority pre-let developments Under construction Development land VGP Park Magdeburg, Germany, Building C1, F 50 1.48mm sqm 10.94mm sqm 4.98mm sqm Buildings under Under Total Development construction construction landbank potential 83.8% €93.9mm3 2.86mm sqm >1.30mm

  14. Slide 14: Rapid derisking and cash recycling through strategic partnership with Allianz Real Estate

    Rapid derisking and cash recycling through long term strategic partnership with Allianz Real Estate VGP European Logistics VGP European Logistics 2 3rd JV: VGP Park München 4th JV: Agreed with Allianz 50% 50% 100% 50% 50% 50% 50% 100% Austria 5.1% 94.9% 100% Czech Germany Italy Republic 100% 100% Sl

  15. Slide 15: Appendix

    Appendix 15

  16. Slide 16: Owned and committed land bank expanded further to support future growth

    Owned and committed land bank expanded further to support future growth Build-up of Land bank (m2) Land bank1 – geographic breakdown 13,797,000 2,859,000 Other 11% 10,938,000 Austria 5% Germany 24% 3,981,000 6,957,000 Romania 7% 5,464,000 Slovakia 9% 4,037,000 Netherlands 20% 2,544,000 Czech Republi

  17. Slide 17: Income Statement

    Income Statement ◼ Operating profit up €279.1mm to €650.0mm Income Statement (€mm) ◼ Increase driven by higher net valuation gain (up €243.9mm) and FY21 FY20 Joint-Venture contribution (up €123.4 mm) compensating higher Revenue 44.3 29.6 admin expenses (up €19.3mm) Gross rental income 17.6 12.1 ◼ On

  18. Slide 18: Income Statement – by segment

    Income Statement – by segment Investment Development Property and Asset Management (€mm) FY21 FY20 (€mm) FY21 FY20 (€mm) FY21 FY20 Gross rental income 17.6 12.1 Gross rental income – – Gross rental income – – Property operating expenses (0.2) (0.4) Property operating expenses (2.0) (3.4) Property op

  19. Slide 19: Balance sheet - assets

    Balance sheet - assets ◼ Investment Properties (own portfolio) incl Disposal group held for sale total Consolidated Balance Sheet – Assets (€mm) €2,354mm (€mm) 31 Dec '21 31 Dec '20 ◼ Completed portfolio €563mm (’20: €166mm) ASSETS ◼ Under Construction €855mm (‘20: €457mm) Investment properties 1,85

  20. Slide 20: Balance sheet – Shareholders' equity and liabilities

    Balance sheet – Shareholders’ equity and liabilities ◼ Shareholders’ equity of €2,176 mm, up €870 mm since Dec ’20 Consolidated Balance Sheet – Shareholders equity and liability (€mm) ◼ Includes effect of the €300 mm capital increase in Nov 2021 (€mm) 31 Dec '21 31 Dec '20 ◼ Total liabilities of €1,

  21. Slide 21: Significant headroom to key covenants

    Significant headroom to key covenants Overview as of December 2021 Gearing ratio (%)1 80 €200mm4 Covenants: <65% €1,384mm €226mm 60 Unutilised 39,4 42,3 Total Debt Cash 34,6 37,2 Credit Facility 25,2 29,8 40 20 0 2.55% 4.61 years 2016 2017 2018 2019 2020 2021 Average Average Cost of Debt Debt Maturi

  22. Slide 22: Income statement – proportionally consolidated

    Income statement – proportionally consolidated 2021 2020 (mm €) Group Joint Ventures Total Group Joint Ventures Total Gross rental income 17.6 62.4 80.0 12.0 52.1 64.1 Property operating expenses (2.2) (7.1) (9.3) (3.8) (5.1) (8.9) Net rental and related income 15.4 55.3 70.7 8.3 46.9 55.2 Joint ven

  23. Slide 23: Balance sheet – proportionally consolidated

    Balance sheet – proportionally consolidated 2021 2020 (mm€) Group Joint Ventures Total Group Joint Ventures Total Investment properties 1,852.5 1,746.8 3,599.3 920.1 1,445.0 2,365.2 Investment properties included in assets held for sale 484.3 - 484.3 102.3 - 102.3 Total investment properties 2,336.9

  24. Slide 24: Disclaimer

    Disclaimer ABOUT VGP VGP is a pan-European developer, manager and owner of high-quality logistics and semi-industrial real estate. VGP operates a fully integrated business model with capabilities and longstanding expertise across the value chain. The company has a development land bank (owned or com

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