Frasers Property Ltd. · SGX:TQ5
Frasers Property — Frasers Commercial Trust — Shareholder Meeting (January 2017)
29 slides from Frasers Property's shareholder meeting presentation, Jan 23, 2017
Slide 1: Frasers Commercial Trust 8th Annual General Meeting
Frasers Commercial Trust 8th Annual General Meeting 23 January 2017 CELEBRATING A DECADE OF ACHIEVEMENTS
Slide 2: Important notice
Important notice Certain statements in this Presentation constitute “forward-looking statements”, including forward-looking financial information. Such forward-looking statement and financial information involve known and unknown risks, uncertainties and other factors which may cause the actual resu
Slide 3: Contents
Contents 3 Year in review Solid fundamentals Looking ahead
Slide 4: Year in review
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Slide 5: Year in review – Financial highlights
Year in review – Financial highlights 55 FY2016 results highlights Year-on-Year Net Property Income S$115.6 million ↑ 13.4% Net Property Income (cash S$113.8 million ↑ 12.8% basis)1 Distributable Income to S$77.6 million ↑ 14.5% Unitholders Distribution Per Unit 9.82 cents ↑ 1.1% Singapore Value o
Slide 6: Year in review - Asset values
Year in review - Asset values 6 Balanced and diversified portfolio of Singapore and Australian properties No one property accounts for more than 29% of portfolio value Good quality and strategically located properties Portfolio value increased 1.8% to S$2.0 billion Asset values as at 30 Se
Slide 7: Year in review - 10th anniversary of FCOT's listing
Year in review - 10th anniversary of FCOT’s listing 7 2016 marked the 10th anniversary of FCOT’s listing on SGX-ST on 30 March 2006 Highest since IPO S$1,989.3 9.8% 7th consecutive million DPU CAGR year of growth portfolio value Increased from Long term growth Distributable income to S$683.9 m
Slide 8: Year in review – Celebrating a Decade of Achievements
8 Year in review – Celebrating a Decade of Achievements 8 Our journey in the past decade – key highlights 30 March 2006 August 2008 FY09 FY11-FY12 FY13-FY16 Listed on the SGX-ST The REIT and Manager Recapitalisation Portftolio Growing and became part of FCL exercise reshaping unlocking value group
Slide 9: Year in review – Sustainability Report received recognition
9 Year in review – Sustainability Report received recognition 9 FCOT’s inaugural Sustainability Report received recognition at the Asia Sustainability Reporting Awards 2016 FCOT’s 2015 Sustainability Report was a finalist for Asia’s Best First Time Sustainability Report at the Asia Sustainabilit
Slide 10: Proactive asset management
Proactive asset management
Slide 11: Year in review – Healthy occupancy rates & WALE
Year in review – Healthy occupancy rates & WALE 11 Healthy average occupancy rate of 93.0% Healthy WALE of 3.8 years1 Geographical occupancy and % of NPI contribution As at 30 September Key portfolio statistics 2016 Ave Occupancy 93.0% Portfolio WALE by gross 3.8 years rental income1 As at 30
Slide 12: Portfolio review – Lease expiry profile
Portfolio review – Lease expiry profile 12 Continuous proactive management of leases No leases expiring for Caroline Chisholm Centre and 357 Collins Street in FY17 Following the early renewal of the Microsoft lease for a further 5 years from FY17 to FY22, the lease expiry in FY17 was reduced t
Slide 13: Portfolio review – Rental reversions
Portfolio review – Rental reversions 13 The portfolio achieved positive rental reversions for new and renewed leases that commenced in FY161 despite the challenging leasing market All Singapore properties achieved positive rental reversions Weighted average rental reversions1 Property FY16 Chi
Slide 14: Portfolio review – On-going rejuvenation of China Square Central
14 Portfolio review – On-going rejuvenation of China Square Central 14 On-going rejuvenation of China Square Central to boost long-term value with the addition of the Hotel1 Construction work for the development of a 16 storey hotel at the former open plaza area and Commercial Project1 are on tr
Slide 15: Portfolio review – Revamped retail arcade at Central Park (Perth)
Portfolio review – Revamped retail arcade at Central Park (Perth) 15 Retail arcade at Central Park has been revamped New identity created for the retail shops with a refreshed and contemporary look Before After Modern outdoor sitting area Full height glass shopfront and improved shop prese
Slide 16: Proactive capital management
Proactive capital management
Slide 17: Capital Management – Debt statistics
17 Capital Management – Debt statistics 17 Healthy gearing of 36% Healthy interest coverage ratio of 4.6 times Low average interest rate of 3.0% Borrowings in AUD provide natural hedge for the Australian properties Statistics Borrowings and assets by currency As at 30 September 2016 Total
Slide 18: Capital Management and debt statistics
18 Capital Management and debt statistics 18 Well spread debt maturity profile No refinancing required until September 2017 and all debts are unsecured 85% of gross borrowings on fixed rate Maiden issuance in August 2016 of S$100.0 million five-year senior unsecured notes at fixed rate of
Slide 19: Creating sustainable growth
Creating sustainable growth
Slide 20: Strong fundamentals – Well spread lease expiry profile
Strong fundamentals – Well spread lease expiry profile 20 20 Well spread lease expiry provides income stability Portfolio lease expiry by gross rental income As at 30 September 2016. Excludes retail turnover rent * New lease is assumed based on the existing space currently occupied by Hamersley
Slide 21: Portfolio review – Stability of income
Portfolio review – Stability of income 21 Top 10 tenants: Established and well diversified across various sectors MNCs, government department or public listed companies Contribute 57% of portfolio gross rental income and have a long WALE of 5.2 years Top 10 tenants by gross rental income % (
Slide 22: Portfolio review – Mid-term rent reviews
Portfolio review – Mid-term rent reviews 22 22 58% of leases have built-in step-up rents or rent reviews1 Portfolio gross rental income with fixed percentage step up rents Excludes retail turnover rent. 1 Note that 55.3% and 2.3% of leases have fixed step up rents and other mid-term rent reviews,
Slide 23: Sustainability Report
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Slide 24: Sustainability report – Key highlights
24 Sustainability report – Key highlights 24 Sustainability Report prepared in accordance with GRI G4 Core requirements Majority of the sustainability performance data improved since last financial year Assessed FCOT’s performance against the Sustainable Development Goals to explore opportun
Slide 25: Sustainability report - Key highlights
25 Sustainability report - Key highlights 25 11.4% and 6.1% improvements in average building energy and water intensities in FY16 respectively 100% BCA Green Mark Gold and NABERS certifications for the office properties in Singapore and Australia respectively1 Average energy intensity (kWh/m2)
Slide 26: Sustainability report - Key highlights
26 Sustainability report - Key highlights 26 OHSAS and ISO certifications Health and safety People 100% OHSAS 18001 and SS506 Zero loss time injuries and Average training of 63.5 hours Part 1: 2009 certifications for workplace fatalities per employee, exceeding the the management of all targ
Slide 27: Looking ahead
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Slide 28: Delivering growth
Delivering growth 28 28 Strategies to deliver stable growth Yield accretive Prudent capital Proactive asset acquisitions/ and risk management capital recycling management Achieve long-term and sustainable growth in distribution income to Unitholders
Slide 29: Thank you
Thank you Frasers Centrepoint Asset Management (Commercial) Limited Level 21 | 438 Alexandra Road | Alexandra Point | Singapore 119958 Tel: +65 6276 4882| Fax: +65 6276 8942| Email: fcot@fraserscentrepoint.com www. fraserscommercialtrust.com
Frasers Commercial Trust — Shareholder Meeting (January 2017) on 6ix