Catena Ab · OMXSTO:CATE
Catena Ab — Q4 2019 Earnings Presentation
31 slides from Catena Ab's earnings presentation, 2020
Slide 1: The leading property company in logistics
The leading property company in logistics.
Slide 2: Contents
Contents 1. Highlights 2. Results and balance overview 3. Operational review 4. Capitalization 5. Capital deployment 6. Outlook and cases Q&A 2
Slide 3: Highlights
Highlights Solid year and demand remains att high levels • YTD Profit from property management1 of 626,8 msek, up 10% YoY. Total operations • YTD Earnings per share (EPS) of 32,46 sek, up 48% YoY. • Letting ratio maintains solid at 95% with WALE of close to 5 years. • Leased 39 million SEK worth of
Slide 4: Results and balance overview
Results and balance overview 2019, Q4 4
Slide 5: Income statement – Period (YTD)
Income statement – Period (YTD) 651 154 Surplus 16,63 32,46 2019 Q4: SEK M kr/sqm kr/sqm ratio per share per share 1600 866,4 29,3 76% 1400 1182,9 1200 298,7 +49% 1000 +9% 800 280,1 34,1 7,4 +10% 600 1223,8 902,8 234,5 400 626,8 200 0 Rental Property NOI Central Other Financial net Income Value Valu
Slide 6: Statement of financial position
Statement of financial position SEK M 2019 Q4 2018 Q4 Total assets Investment properties 16,270.5 14,721.1 Goodwill 503.0 503.0 Other assets 865.4 400.6 Opening cash and cash equivalents 131.2 281.2 Total assets 17,770.1 15,905.9 Total shareholders’ equity and liabilities Equity 6,618.0 NAV 203 SEK/
Slide 7: Operational review
Operational review CATENA
Slide 8: Rental growth, like-for-like
Rental growth, like-for-like Msek 1400,0 24,7 1182,9 1090,7 27,1 44,4 1200,0 3,9 2019 1000,0 Like-for-like 2,3 % 800,0 Project developments 4,1 % 600,0 Acquisitions 2,5 % 400,0 Divestments - 0,4 % 200,0 Total 8,5 % 0,0 Income Aquisitions Divestments Projects like-for-like Income 2018 2019 8
Slide 9: Solid cash flow
Solid cash flow YTD Profit surplus Msek 53% 1 400 1 200 52% 1 000 800 600 400 200 0 2015 2016 2017 2018 2019 Rental income Profit from property management 1 Profit from property management comprises profit adjusted for value changes (realized and unrealized) related to properties, derivatives marked
Slide 10: Portfolio characteristics (1)
Portfolio characteristics 1 (2) Regions # of Lettable area Fair Value Rental value Economic Contractual Surplus ratio properties tsqm Msek Msek letting ratio annual rent, % % SEK M Gothenburg 15 231.2 2,296.6 173.2 95 164.1 84 Helsingborg 23 391.7 3,019.3 228.0 95 217.0 74 Jönköping 12 209.6 1,266.3
Slide 11: Portfolio characteristics (2)
Portfolio characteristics 2 (2) By value # of tenants per Tenant concentration Asset size breakdown Letteble space types, property by Contractual by area income 14% 10% 12% 7% 41% 43% 43% 19% 55% 52% 45% 47% 30% 42% 8% 16% 15% Terminals Gothenburg Helsingborg 1 tenant 10 biggest tenants < 10k sqm Di
Slide 12: Property value and yield
Property value and yield EPRA NIY Msek 5,8% EPRA NIY 20 000 6,2% 18 000 16 000 14 000 12 000 10 000 8 000 6 000 4 000 2 000 0 2015 2016 2017 2018 2019 Assets IFRS property value 12
Slide 13: Rental market
(Numbers indicate rental value per sqm) Rental market Region Stockholm 709 kr/sqm Stockholm 914 kr/sqm Örebro Msek 551 kr/sqm 1 400 700 1 200 680 1 000 Letting 800 660 ratio Region Gothenburg 749 kr/sqm 600 640 95% 400 620 200 0 600 Region Jönköping 560 kr/sqm 2015 2016 2017 2018 2019 Rental value R
Slide 14: Leasing activity and contract maturity
Leasing activity and contract maturity Net rental by contractual value Maturity - Contractual 120,0 annual rent 100,0 Msek 80,0 400,0 30% 60,0 40,0 350,0 WALE 20,0 300,0 0,0 5y 250,0 -20,0 15% 200,0 14% -40,0 12% 11% -60,0 150,0 9% 9% -80,0 100,0 2017 2017 2017 2017 2018 2018 2018 2018 2019 2019 201
Slide 15: A history of growth
A history of growth Profit from property management EPRA NAV per share Return on equity per share 20 250 30 16 200 25 12 150 20 15 8 100 10 4 50 5 0 0 0 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 Return on equity Average 15
Slide 16: Capitalization
Capitalization CATENA
Slide 17: Capitalization
Capitalization LTV & Cost of debt Capital structure 100,0% 4,0% 20 000 35,6% 3,5% 18 000 33,2% 80,0% 16 000 32,3% 3,0% 14 000 31,6% 60,0% 2,5% 12 000 2,0% 10 000 40,0% 8 000 35,7% 1,5% 6 000 1,0% 20,0% 4 000 0,5% 2 000 0,0% 0,0% 0 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 LTV, % (left) Avg.
Slide 18: Funding structure
Funding structure Year Debt maturity loans Interest maturity incl. derivatives Funding source msek Share% Interest rate msek Share% Interest rate including including 8% Margin% Margin% 0-1 y 3,960 45 1.45 4,263 49 1.08 16% 1-2 y 2,691 31 1.23 756 9 5.01 2-3 y 979 11 1.54 500 6 3.90 3-4 y 1,155 13 1.
Slide 19: Capital deployment
Capital deployment Focus on development 19
Slide 20: Transactions
Capital deployment YTD 82 Asset acquisitions Acquisitions/Divestments Transactions Property Transfer Letteble Region Property area (sqm) value (MSEK) Välingen 2 Q1 2019 3 430 Stockholm 20,4 83 Divestments Sockret 7 Q2 2019 2 707 Malmö 9,2 Muttern 6 Q2 2019 7 800 Gothenburg 52,1 Divestments Mörby 5:2
Slide 21: Development projects in progress
Development projects in progress Rosersberg 11:81, Sthlm Speed logistics Sothönan 3, Katrineholm Postnord Total investment: 65 MSEK Finalized: Q2 2020 Book value, MSEK 680 Total investment: 36 MSEK Finalized: Q3 2020 Plantehuset 3, Helsingborg Nowaste Total investment: 132 MSEK Remaining investments
Slide 22: Outlook and cases
Outlook and cases We develop logistics positions 22
Slide 23: Sustainability trends in Catena
Sustainability trends in Catena Ongoing Target During 2019 decision was taken on: Increased focus on ESG: • Certifying 11 buildings • TCFD reporting on the way to representing 165 000 sqm to improve financial disclosure Miljöbyggnad Silver (89 000 new related to climate. sqm) • EPRA sustainability r
Slide 24: Customer quotes on logistics demand
”Our customers are growing on average by 10 percent each year. We need to grow by another 25 000 sqm every second year to able cover the increasing demand” Håkan Lindberg, Postnord TPL Source: Intelligent Logistik ”While current geopolitical tensions could seriously disrupt global connectedness, thi
Slide 25: Sunnanå logistics position (DHL)
PHASE 6 (201912) Customer: DHL Extension Investment: 32 msek SQM: 1 850 Logistics Position 10 year contract extension DHL FREIGHT Final: Q2 2020 Sunnanå DHL EXPRESS SVENSK CATER CHEFS CULINAR MULTI TENANT Total investment: 1 001 MSEK Total Rental value: 73 MSEK Gross yield: 7,3% Total sqm: 81 250 Ti
Slide 26: Tostarp logistics position (Nowaste)
PHASE 5 (201910) Customer: Nowaste E-commerce warehouse Investment: 132 msek Logistics Position RV: 10 msek Logistikposition SQM: 18 000 Tostarp Tostarp 5 year contract FREJA, NOWASTE, E-COMMERCE TERMINAL WAREHOUSE NOWASTE, AUTOMATED HIGH BAY OMNICHANNEL POSTNORD, TERMINAL Total investment: 753 MSEK
Slide 27: Järna
Acquisition of land - JV setup (50%) Total investment: 100 MSEK Sqm of land: 1 000 000 E lettable sqm: 400 000 Järna Detailed planning process ongoing 27
Slide 28: Acquisition, Denmark
Acquisition, Denmark Acquisition (after period) Three distribution facilities Total investment: 235 MSEK Photo: TrueMarketValue Net yield: 5,4% Total lettable sqm: 12 700 Building rights (sqm): 20 000 Contract: 10 year 28
Slide 29: Potential, future development projects
(The presented landlots represents a selection of our outstanding landbank) Magneten 6 Umeå Potential, future development Sqm: 42’ Investment land: 37 MSEK projects Örebro (JV, 34%) Törsjö Sqm: 700’-900’ Ånsta 1:1 Investment land: 315 MSEK Stockholm Syd Sqm: 450’ Investment land: 315 MSEK Potential
Slide 30: Q&A
Q&A CATENA
Slide 31: The leading property company in logistics
The leading property company in logistics.