Slide 1: Preliminary Results
Preliminary Results 5 June 2013 First Property Group plc The performance of funds managed by First Property Group ranked No.1 vs IPD CEE universe over the three, four, five, six & seven years to 31 December 2008, 2009, 2010, 2011 & 2012 Email jeremy.barkes@fprop.com Phone +44 20 7340 0270
Slide 2: Table of Contents
Prelims 2013 Table of Contents Business Model 3 Outlook 16-19 Fund Raising 17 Highlights 4-7 Investment Markets - Poland 18 Financial Highlights 5 Investment Markets - United Kingdom 19 Operational Highlights 6 Outlook 20 Dividend 7 Contact Details 21 Segmental Analysis: 8-15 Earnings Breakdown 9 AP
Slide 3: Business Model
First Property Group plc Business Model First Property Group plc is a co-investing direct commercial property fund manager with operations in the United Kingdom and Central Europe. Its business model is to: Raise third party funds to invest in income producing commercial property; Co-invest in t
Slide 4: Highlights
Highlights 5 Financial Highlights 6 Operational Highlights 7 Dividend Email jeremy.barkes@fprop.com Phone +44 20 7340 0270 4
Slide 5: Financial Highlights
Highlights Financial Highlights Year to 31-Mar-2013 Year to 31-Mar-2012 Percentage (Unaudited) (Audited) change Profit before tax 1£3.54m 2£3.97m -10.8% Diluted Earnings per share 2.18p 2.73p -20.1% Total Dividend 1.08p 1.08p - Profit before tax by segment: Profit before tax from property fund manag
Slide 6: Operational Highlights
Highlights Operational Highlights Operational Highlights: Assets under management reduced by 3.3%. One property acquired by funds: £4 million. No properties sold by funds. One property sold by Group: £2.3 million. Best performing versus Investment Property Databank (IPD) Central & Eastern
Slide 7: Dividend
Highlights Dividend The Board recommends maintaining the Final Dividend at 0.75p Equates to a Total Dividend for the year of 1.08p (2012: 1.08p). Interim Final Total £1.20 £1.00 Final Dividend: GBP pence XD 28-Aug-2013 £0.80 Record Date 30-Aug-2013 Payment Date 27-Sep-2013 £0.60 £0.40 £0.20 £- 2008
Slide 8: Segmental Analysis
Segmental Analysis 9 Earnings Breakdown 10-11 FPAM: 10 Assets under Management (AUM) 11 AUM Breakdown 12-15 Group Properties: 12 Directly Held Assets 13 Co-investments 14 Profit Before Tax 15 Tenancy Exposure Email jeremy.barkes@fprop.com Phone +44 20 7340 0270 8
Slide 9: Earnings Breakdown
Segmental Analysis Earnings Breakdown Profit before Tax by Segment (2011-2013) 3.50 3.50 3.00 3.00 2.50 2.50 £m 2.00 2.00 1.50 1.50 1.00 1.00 0.50 0.50 0.00 0.00 2011 2012 2013 2011 2012 2013 FPAM Group Properties (incl) FOP Email jeremy.barkes@fprop.com Phone +44 20 7340 0270 9
Slide 10: FPAM: Assets under Management (AUM)
Segmental Analysis - FPAM Assets under Management (AUM) Assets under Management (AUM) at 31 March 2013: Termination Date AUM Fund Established Geography (unless extended) 31-Mar-2013 SAM Property Company Ltd (SAM) Aug-2004 Rolling Not subject to revaluation UK Regional Property Trading (RPT) Aug-2004
Slide 11: FPAM: AUM Breakdown
Segmental Analysis - FPAM AUM Breakdown AUM Breakdown: by Fund, Investor Category and Geography: Pension Poland USS Funds 71% 63% 89% Fund Investor Geographic UK PPP Breakdown 26% Category Breakdown UK 26% FOP Fprop Family Offices 6% 7% 1% HNWs 5PT 3% Romania RPT 3% 3% 2% Email jeremy.barkes@fprop
Slide 12: Group Properties
Segmental Analysis Group Properties Group Properties Comprises: Blue Tower: 1. 28% interest in office building, Blue Tower, located Acquired Dec-2008 for £8.3m. Now valued at in Warsaw’s CBD; and, £12.9m. 2. Co-investments in four of the six funds managed by Contributed £962,000 over period
Slide 13: Group Properties: Co-investments
Segmental Analysis – Group Properties Co-investments Group Properties (cont.) Co-investments in funds managed by FPAM as at 31 March 2013: Group’s Book value Market Value Group’s share Return on Fund shareholding of Group’s Share of Group’s share of Pre-tax Profit Equity Invested3 Interest in associ
Slide 14: Group Properties: Profit before Tax
Segmental Analysis – Group Properties Profit before Tax In monetary terms: In percentage terms: 1.2 2012 1.0 2012 2013 RPT, 5PT & UKPPP 0.8 2013 10% FOP £ Millions 49% 0.6 1x direct property* 0.4 41% 0.2 2012 2013 0.0 1x direct property* RPT, 5PT & UKPPP FOP Lilac bar shows increase in PBT on FOP’s
Slide 15: Group Properties: Tenancy Exposure (Top 10)
Segmental Analysis – Group Properties Tenancy Exposure (Top 10) 1.6 1.4 47.7% 1.2 1 £ Millions p.a. 0.8 0.6 0.4 9.7% 0.2 5.0% 2.9% 2.7% 2.3% 2.3% 2.3% 2.0% 1.8% 0 Carrefour HRK Alex Gross UBM Medica Polska FHU Domex Takko Fashion Gleeds Benefit Systems KRUK Wytwornia Papierow Wartosciowych N.B: Wher
Slide 16: Outlook
Outlook 17 Fund Raising 18 Investment Markets – Poland 19 Investment Markets – UK 20 Outlook Email jeremy.barkes@fprop.com Phone +44 20 7340 0270 16
Slide 17: Fund Raising
Fund Raising The market for fund raising remains challenging. Poland UK Raised additional £3.71 million for FOP since the year We are seeking investors interested in our UK PPP end. FOP now has some £8.5 million of cash. investment strategy - which is returning an ROE of some 6.4% p.a. without t
Slide 18: Investment Markets: Poland
Investment Markets Poland Economy: Commercial Property Market: GDP growth: €2.6 billion turnover in Polish commercial property investment market in 2012. 2012: 2%. Bulk of turnover comprises large property transactions. Forecast to slow to circa 1.2% this year. Forecast to increase in 20
Slide 19: Investment Markets: United Kingdom
Investment Markets United Kingdom Economy:: Commercial Property Market: GDP growth in 2012: 0.2%. Turnover in the UK commercial property investment market in 2012 was £40.8 billion versus £37.8 billion in Signs of a pick up in the UK but very early days. 2011. Of this, some £22.8 billion compr
Slide 20: Outlook
Outlook We have some £12 million of cash which we intend to use to seed new funds and invest in high yielding properties Poland UK USS contract expires in 2015. Will not be renewed. Seeking new investors to pursue same investment strategy as UK PPP. We are confident that the investment of the
Slide 21: Contact Details
Contact Details First Property Group plc Financial PR Redleaf Polhill Website http://www.fprop.com www.redleafpolhill.com Telephone +44 20 7340 0270 George Parrett/ Henry Columbine firstproperty@redleafpolhill.com Address First Property Group plc +44 20 7566 6750 35 Old Queen Street London NOMAD & B
Slide 22: Appendix 1
Appendix 1 23 Shareholders >3% at 31-Mar-2013 24 Share Statistics at 31-Mar-2013 25 Plc Management Team Email jeremy.barkes@fprop.com Phone +44 20 7340 0270 22
Slide 23: Shareholders > 3% at 31-Mar-2013
Appendix 1 Shareholders > 3% at 31-Mar-2013 % held (of issued No of shares and fully paid) Ben Habib (Chief Executive Officer) 16,700,000 14.5% J C Kottler Esq 15,006,783 13.1% Universities Superannuation Scheme Limited 9,550,000 8.3% Alasdair Locke (Non-Executive Chairman) 8,571,990 7.5% Whitehall
Slide 24: Share Statistics at 31-Mar-2013
Appendix 1 Share Statistics at 31-Mar-2013 2013 2012 % change LSE (AIM) Symbol FPO.L Issued & Fully Paid 114,851,115 114,851,115 0% Share price 19.0p Issued (excl Treasury) 111,153,755 111,098,580 +0.05% Market Cap £21.1 million Shares held in Treasury 3,697,360 3,752,535 -1.47% 1.08p Dividend yield
Slide 25: Plc Management Team
Appendix 1 Plc Management Team Non-Executive Chairman — Alasdair Locke, MA (Oxon) Alasdair is the former executive Chairman of Abbot Group plc, an oil services company which he founded in 1992. It was listed on the London Stock Exchange from 1995 until its sale in 2008 for £906 million to Turbo Alph
Slide 26: Appendix 2
Appendix 2 27 FPAM Track Record 28-29 Investment Philosophy and Approach 30 Media Email jeremy.barkes@fprop.com Phone +44 20 7340 0270 26
Slide 27: FPAM Track Record
FPAM Track Record All Funds (excl SAM) to 31 March 2013 Fund performance at 31 March 2013: • FPAM’s three historic funds (all of which were invested in UK commercial property) generated a weighted average IRR of 23.0% p.a. net of fees. • FPAM’s five discretionary active funds (with inception dates r
Slide 28: Investment Philosophy
First Property Asset Management Investment Philosophy Our Investment Approach: Sustainable income is a priority. A fundamental approach to investing: Property is illiquid: Consensus may chase a particular investment This illiquidity can be mitigated by rental income – theme but that does n
Slide 29: Investment Approach
First Property Group Investment Approach We recognise the need to continually monitor macro and micro changes in our markets and to adapt our asset management approach accordingly, exemplified by: Our decision to largely exit the UK commercial property market in 2005 following the increase of UK p
Slide 30: Media
Appendices Media Bloomberg TV – Ben Habib discusses outlook for commercial property Fprop Opportunities plc in 2012 (Dec-2011) – Presentation www.bloomberg.com/video/82576408/ (Dec-2010) www.fprop.com/videos/fop- promotional-video Click on the picture to watch a video Email jeremy.barkes@fprop.com
Slide 31: Disclaimer
Disclaimer These presentation materials (the "Presentation Materials”) are being solely issued to No reliance may be placed for any purpose whatsoever on the information contained and directed at (a) persons having professional experience in matters relating to in this document or on its completenes