Goodman Group · ASX:GMG
Goodman — Q1 FY17 Earnings Presentation
22 slides from Goodman's earnings presentation, Nov 17, 2016
Slide 1: GMG Quarterly Operational Update Q1 FY17
Carla updating GMG Quarterly presentation Q1 FY17 Q16 2016 May - QuarterlyQuarterly 2015 operational update Operational Update 1
Slide 2: Disclaimer
+ This document has been prepared by Goodman Group (Goodman Limited (ABN 69 000 123 071), Goodman Funds Management Limited (ABN 48 067 796 641; AFSL Number 223621) as the Responsible Entity for Goodman Industrial Trust (ARSN 091 213 839) and Goodman Logistics (HK) Limited (Company Number 1700359; AR
Slide 3: Contents
Contents + Section 1 Quarterly operational highlights + Appendices - Leasing - Development - Management platform - Global platform 3
Slide 4: Section 1 Quarterly Operational Highlights
+ Section 1 Quarterly Operational Highlights Centenary Distribution Centre, Australia
Slide 5: Quarterly operational highlights
Quarterly operational highlights + Key operational highlights for the quarter – $0.9 billion of assets disposed (excluding urban renewal) in the quarter to fund development pipeline – $1.0 billion of development commencements in the quarter – $3.5 billion of development work in progress at 30 Septem
Slide 6: Quarterly operational highlights
Quarterly operational highlights + Urban renewal sales of $280 million contracted with $82 million settled in the quarter – Continued strategy of ensuring returns are optimised for individual properties – Potential pipeline of 35,000 units across the Australian portfolio maintained – Key focus on pl
Slide 7: Total AUM by geography
Total AUM ($bn) Chart to be updated Total AUM by geography Chart to be updated
Slide 8: Strategic objective to reposition the global portfolio for long term growth
+ Strategic objective to reposition the global portfolio for long term growth + Goodman has sold in excess of $5 billion of assets globally over the last 3 years via a clear and structured program + The program has concentrated the ownership of assets in Goodman’s identified gateway cities + Key cha
Slide 9: Assets under management: Australia, New Zealand, Asia
+ 79% of assets in Sydney + 98% of assets in Auckland + 93% of assets in Hong Kong, Shanghai, Beijing, Tokyo and Osaka Australia¹ New Zealand² Asia3 Assets under management A$13.6bn Assets under management A$2.4bn Assets under management A$9.5bn Stabilised properties 188 Stabilised properties 16 Sta
Slide 10: Assets under management: Europe, America, Brazil
+ 83% of assets in Germany, France, Benelux, South East UK and the Midlands + 98% of assets in Los Angeles + 91% of assets in Sao Paulo & Rio de Janeiro Europe¹ America¹ Brazil¹ Assets under management A$7.3bn Assets under management A$1.1bn Assets under management A$0.3bn Stabilised properties 142
Slide 11: Section 1 Quarterly Operational Highlights
+ Section 1 Quarterly Operational Highlights Centenary Distribution Centre, Australia
Slide 12: Snapshot
Snapshot A$34.2 billion A$29.3 billion A$3.5 billion A$4.9 billion + total assets external assets Development work direct property under under in progress investment portfolio management management 0.2%¹ No Change¹ 4.8%¹ 1.7%¹ 1,850 33 1,130 customers cities people globally (approx) worldwide 406 18
Slide 13: Property fundamentals remain sound across all markets
+ Property fundamentals in our portfolio remain sound across all markets, Total assets under management reflecting the quality of assets and customers – Leased 0.9 million sqm across the platform over the quarter equating to $109 million of annual net property income – Maintained occupancy at 96% –
Slide 14: Sale and Leasing transactions
Sale Leasing Goodman Interlink, Hong Kong Mönchengladbach, Amazon, Pforzheim,Germany Germany Northampton Commercial Park, United Kingdom Vatry, Framce Customer Yusen Logistics Customer Esprit Customer Amazon Transaction Transaction Transaction Type Leasing Type Leasing Type Leasing Lettable area 25,
Slide 15: Developments continuing to provide the best risk adjusted returns
+ Developments continuing to provide the best risk adjusted returns at this point Development WIP ($bn) in the cycle in most markets + WIP at $3.5 billion across 80 projects in 15 countries with a forecast yield on cost of 7.7%. Predominantly by the e-commerce, retail and third party logistics secto
Slide 16: Global development business
Global development business Sale Leasing METRO, Marl, Germany Amazon, Amiens, France Stage 2 of Goodman Business Park, Chiba, Japan Estimated end Estimated end Estimated end value $250 million value $100 million Over $300 million value Land area 562,438 sqm Amazon, Land areaPforzheim, Germany 270,41
Slide 17: Major achievements including debt capital market transactions
+ Major achievements completed during the quarter include two debt capital Total AUM ($bn) market transactions – GAIP inaugural issue of US$600m 10-year-bond in the 144A / Reg S market – GEP €650m million euro bond issue in two tranches for 6 and 10 years + Goodman Japan Core Partnership completed a
Slide 18: Appendices
+ Appendices Centenary Distribution Centre, Australia
Slide 19: Leasing across the Group and Partnership platform
Across the Group and Partnership platform: + 0.9 million sqm leased in the quarter representing $109 million of net annual property income + Reversions of 3% on new leasing deals + Occupancy maintained at 96% Region Leasing area (sqm) Net annual rent (A$m) Average lease term (years) Australia 281,39
Slide 20: Q1 FY17 Developments
Q1 FY17 Developments Completions Commencements Work in progress Value ($m) 833 1,042 3,514 Area (m sqm) 684 838 2,632 Yield (%) 7.8 7.3 7.7 Pre-committed (%) 90 60 63 Weighted Average Lease Term (years) 8.2 9.9 10.4 Development for Third Parties or Partnerships (%) 82 56 68 Australia / New Zealand (
Slide 21: Partnership platform overview
GAIP GHKLP GAP GEP GCLP GMT1 GJCP2 GNAP ABPP Total assets $7.1bn $4.6bn $3.9bn $3.8bn $2.6bn $2.4bn $2.1bn $1.1bn $0.8bn GMG co-investment $1.2bn $0.7bn $0.6bn $0.5bn $0.5bn $0.3bn3 $0.2bn $0.6bn $0.2bn GMG co-investment 27.5% 20.0% 19.9% 20.4% 20.0% 20.7%3 17.9% 55% 43.1% Number of properties 107 1
Slide 22: Thank you
thank+you