Slide 1: FY23 Financial Results
Financial FY23 Results 1 February 2024 Core | Sustainable | Growth
Slide 2: Table of Contents
TABLE OF CONTENTS 1 FY23 Financial Results 2 Portfolio Overview 3 Financial Overview 4 Data Centre Market Information 5 Appendix: Strategically Positioning for the Future FEBRUARY 2024 | 2
Slide 3: Section 1: FY23 Financial Results
SECTION 1 FY23 FINANCIAL RESULTS FEBRUARY 2024 | 3
Slide 4: Key Highlights
KEY HIGHLIGHTS Dedicated Core Data Centre REIT Focused on Driving Sustainable Growth CORE SUSTAINABLE GROWTH 3.70 U.S. cents Sold two Silicon Valley facilities at book value, realizing US$160 million Acquired 10% interest in freehold facility in Osaka, Japan, generating ~3% FY2023 Distribution of gr
Slide 5: Portfolio Update
PORTFOLIO UPDATE AGGREGATE LEVERAGE ↑360 ↓710 bps bps ↑250 bps 34.4% 33.5% As of Osaka Portfolio Pro Forma FY23 (1) 3Q23 Acquisition Revaluation for Asset Sales Pro Forma VALUATIONS BY CORE MARKETS(2) At 31 Dec 2022 At 31 Dec 2023 $591 $544 $422 $401 $158 $125 $149 $139 $111 $93 $55 (3) Northern Vir
Slide 6: Distribution and AGM Details
DISTRIBUTION AND AGM DETAILS Annual General Meeting to be Held in April with Annual Report Published in March DISTRIBUTION DETAILS UPCOMING AGM DETAILS (U.S. cents per Unit) 3.70 • Release full-year 2023 financial results and unaudited financial statements 1.92 1.78 1 February 2024 1H23 2H23 Full-Ye
Slide 7: Core | Sustainable | Growth
CORE | SUSTAINABLE | GROWTH Focused on Delivering Long-Term, Sustainable Value for All Stakeholders Unparalleled Sponsor Pipeline Recent Data Centre Comparable Transactions 2022 - 2023 2024+ Cap Rate North America EMEA APAC $150 mm $15+ Bn 10.0% Sponsor Non-Core Asset Sale in Watford, UK Sponsor Non
Slide 8: Section 2: Portfolio Overview
SECTION 2 PORTFOLIO OVERVIEW FEBRUARY 2024 | 8
Slide 9: Portfolio Highlights
PORTFOLIO HIGHLIGHTS Portfolio of High-Quality, Mission-Critical Data Centres Located in Key Metros across U.S., Canada, Germany and Japan KEY PORTFOLIO METRICS PORTFOLIO PROFILE(2) 5% 6% Northern Virginia 32% Silicon Valley 15% Metro Frankfurt $1.4 Bn 97% 100% 13% Diversification Toronto AUM(1) Occ
Slide 10: Customer Profile
CUSTOMER PROFILE Strategically Important Customers with Numerous Deployments across Digital Realty’s Global Platform CUSTOMER PROFILE TOP 10 CUSTOMERS (in USD thousands) Number of Annualized % of > 40 Customer Trade Sector Credit Rating Locations Rent Total 1. Fortune 50 Software Company Hyperscale
Slide 11: Core Data Centre Portfolio
CORE DATA CENTRE PORTFOLIO PORTFOLIO SUMMARY (As at 31 December 2023) (in USD thousands) At Share (1) (1) (2) Appraised Value Portfolio Value WALE Net Rentable Customer Annualized Occupancy(3) Property Property Type Ownership (%) (at 100%) (at Share) (in Years) Square Feet IT Load (kW) Rent 31-Dec-2
Slide 12: Portfolio Valuation Update
PORTFOLIO VALUATION UPDATE Amid Macroeconomic Challenges, Core Data Centre Valuations Have Remained Resilient (in USD thousands) Asset Values at 100% Asset Value at Share At 31 Dec 2022 (1) At 31 Dec 2023 (2) Ownership At 31 Dec 2022 (1) At 31 Dec 2023 (2) Year-over-Year Change (Value) Change (%) Pr
Slide 13: Section 3: Financial Overview
SECTION 3 FINANCIAL OVERVIEW FEBRUARY 2024 | 13
Slide 14: Stable Earnings Profile
STABLE EARNINGS PROFILE CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (Unaudited) (in USD thousands, except per unit) Full Year Ended Actual FY23 Actual FY22 Variance (%) Actual FY23 Forecast FY23 (1) Variance (%) Revenue $102,591 $107,712 (4.8%) $102,591 $106,694 (3.8%) Property Expenses (39,541)
Slide 15: Initial Scale Positioned for Substantial Growth
INITIAL SCALE POSITIONED FOR SUBSTANTIAL GROWTH CONSOLIDATED STATEMENT OF FINANCIAL POSITION (Unaudited) (in USD thousands, except per unit) As at As at Variance 31-Dec-23 31-Dec-22 % Investment Properties 1,114,887 1,423,796 (21.7) Investment Properties held for sale (1) 178,000 – NM (2) Other inve
Slide 16: Significant Debt Capacity and Flexibility to Grow
SIGNIFICANT DEBT CAPACITY AND FLEXIBILITY TO GROW Healthy Aggregate Leverage and Flexible Capital Structure Positioned to Fuel Growth DEBT MATURITY SCHEDULE DEBT PROFILE (in USD millions) Unsecured Term Loan Unsecured Revolver (Drawn) Unsecured Revolver (Undrawn) Unsecured 2.8 YEARS $550 $146 Undraw
Slide 17: Section 4: Data Centre Market Information
SECTION 4 DATA CENTRE MARKET INFORMATION Provided By: FEBRUARY 2024 | 17
Slide 18: Northern Virginia
NORTHERN VIRGINIA KEY DEVELOPMENTS ABSORPTION AND SUPPLY (1) Southern Sprawl Shifts Focus Towards Richmond in the midst of massive absorption Absorption (MW) New Supply (MW) Northern Virginia continues to see steady market development despite 600MW persistent headwinds, such as the availability to p
Slide 19: Northern California
NORTHERN CALIFORNIA KEY DEVELOPMENTS ABSORPTION AND SUPPLY (1) Green options essential for new power coming to Silicon Valley Absorption (MW) New Supply (MW) Silicon Valley Power Released its 2024 Integrated Resource Plan, intending to meet or exceed clean energy mandates set by the state of 44MW Ca
Slide 20: Toronto
TORONTO KEY DEVELOPMENTS ABSORPTION AND SUPPLY (1) Modest growth in 2023 due Toronto's limited inventory Absorption (MW) New Supply (MW) In 2022, Toronto experienced 70 MW of absorption, with capacity of many projects near completion taken in pre-lease agreements. At the 30MW end of 2023, Toronto ha
Slide 21: Los Angeles
LOS ANGELES KEY DEVELOPMENTS ABSORPTION AND SUPPLY Los Angeles set to benefit from US Department of Energy award (1) Absorption (MW) New Supply (MW) California is named one of the seven recipients of the Hydrogen Hub Grant Program. California will receive up to $1.2 billion to build or 24MW expand o
Slide 22: Frankfurt
FRANKFURT KEY DEVELOPMENTS ABSORPTION AND SUPPLY (1) Energy Efficiency Act implements new sustainability requirements in Frankfurt Absorption (MW) New Supply (MW) The German Parliament has passed the data centre Energy Efficiency aCT 200MW (EnEfg), implementing requirements laid out in the EU Energy
Slide 23: Osaka
OSAKA KEY DEVELOPMENTS ABSORPTION AND SUPPLY • The Tokyo and Osaka data centre markets continue to grow and (1) expand, with hyperscale driving the demand profile and enterprise Absorption (MW) New Supply (MW) still a source of steady demand • The Tokyo market was worth USD $2.3b in 2022 and is proj
Slide 24: Strategically Positioning for the Future
SECTION 5 STRATEGICALLY POSITIONING FOR THE FUTURE FEBRUARY 2024 | 24
Slide 25: Executing Strategic Priorities
EXECUTING STRATEGIC PRIORTIES 4 Seeding Growth 3 Scale and Diversification 2 Portfolio Quality 1 In Core Global Markets FEBRUARY JANUARY 2024 || 25 25
Slide 26: Comprehensive Customer Bankruptcy Resolution
COMPREHENSIVE CUSTOMER BANKRUPTCY RESOLUTION LEASES AMENDED LEASE TERMINATED LEASE ASSUMED DIVESTMENTS 3015 Winona 200 North Nash Wilhelm-Fay Straße 24 1500 Space Park 2401 Walsh 2403 Walsh Location Avenue Street (FRA30) Drive Avenue Avenue Data Centre Type Shell & Core Shell & Core Fully-Fitted She
Slide 27: Recycling Capital Accretively, Entering APAC
RECYCLING CAPITAL ACCRETIVELY, ENTERING APAC Recently Developed, Purpose-Built, High-Quality Data Centres Located in Core Markets in Frankfurt and Osaka Frankfurt Facility: DIGITAL FRANKFURT Osaka Data Centre: DIGITAL OSAKA 2 (KIX11) COMBINED CUSTOMER PROFILE 37 TOTAL CUSTOMERS 12% Investment Grade
Slide 28: Achieving Scale and Diversification
ACHIEVING SCALE AND DIVERSIFICATION IMPROVING CUSTOMER PROFILE ACHIEVING DIVERSIFICATION 87% 32% Investment 78% International Grade(1) Expansion(1) 18% 900bps 1,400bps FY23 FY23 FY23 FY23 As Reported Pro Forma As Reported Pro Forma 72% Hyperscale > 40 > 40 62% Number of Cloud Providers(1) Customers
Slide 29: Enhancing Portfolio Quality
ENHANCING PORTFOLIO QUALITY CURRENT ILLUSTRATIVE PORTFOLIO VALUE (US$)(1) US$1.4 Bn US$1.6 Bn GEOGRAPHY 13% 5% Metros(2) 9% Metros(2) Northern Virginia 32% 23% Northern Virginia 30% Silicon Valley 29% Frankfurt 23% North America 82% Toronto 15% 68% Silicon Valley 19% Europe Frankfurt 13% Toronto 14%
Slide 30: Pro Forma Financial Impact
PRO FORMA FINANCIAL IMPACT Stabilising DPU while Preserving Balance Sheet Flexibility DISTRIBUTION PER UNIT(1) AGGREGATE LEVERAGE(2) 3.98 ↓6% ↑3% ↑3% Interest Rates, 40.5% OpEx & Toronto 3.50 33.5% 2022 Los Angeles + Frankfurt Osaka Asset Sales + Pro Forma 2023 Pro Forma for (3) As Reported Lease Am
Slide 31: Acquisition of Stabilised, Freehold Data Centre
ACQUISITION OF STABILISED, FREEHOLD DATA CENTRE KEY ACQUISITION CHARACTERISTICS GROWING DATA CENTRE MARKET Freehold Asset IN APAC Stabilised Data Centre OSAKA Core Hyperscale Metro in APAC High-Quality, State-of-the Art Facility Diverse Customer Base DPU Accretive(1) 1) Please refer to the
Slide 32: Expanding in Core Global Markets
EXPANDING IN CORE GLOBAL MARKETS LEADING MARKET IN EUROPE GROWING APAC DATA CENTRE MARKET FRANKFURT OSAKA One of the fastest growing data centre EUROPE One of the fastest growing data centre markets in Europe markets in the Asia Pacific region Largest financial hub in continental Europe Serv
Slide 33: Connected Data Centre Campus in Core Market
CONNECTED DATA CENTRE CAMPUS IN CORE MARKET KIX11 Second data centre built on Osaka campus Completed in 2019 Digital Core REIT owns 10% interest KIX13 Fourth data centre built on Osaka campus Completed in 2023 Certified NVIDIA DGX H100-ready Offers high-speed access to support accelera
Slide 34: US$1.6 Bn Portfolio Value, 4.3 Years Average Age
1 High-quality portfolio across leading data centre markets in Europe and Asia-Pacific 2 Purpose built data centres are expected to significantly improve overall portfolio quality 3 Material improvement in geographic and customer diversification, reducing concentration risk and enhancing exposure to
Slide 35: Appendix: Additional Information
APPENDIX ADDITIONAL INFORMATION FEBRUARY 2024 | 35
Slide 36: Important Notice
IMPORTANT NOTICE This presentation is for information purposes only and does not constitute or form part of an offer, invitation or solicitation of any offer to purchase or subscribe for any securities of Digital Core REIT in Singapore or any other jurisdiction nor should it or any part of it form t
Slide 37: Core Sustainable Growth
Core Sustainable Growth