Goodman Group · ASX:GMG
Goodman — Q3 FY2017 Earnings Presentation
19 slides from Goodman's earnings presentation, Jun 7, 2017
Slide 1: Q3 FY17 Quarterly Operational Update
Q3GMG FY17 Q16 2016 - Quarterly Quarterly May 2015 Quarterly presentationOperational Update operational update For personal use only 1
Slide 2: For personal use only
For personal use only + 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 (Comp
Slide 3: Contents
Contents For personal use only + Section 1 Quarterly operational highlights + Section 2 Capital management + Section 3 Quarterly operations + Appendices - Leasing - Development - Management platform 3
Slide 4: Quarterly Operational Highlights
For personal use only + Section 1 Quarterly Operational Highlights Centenary Distribution Centre, Australia
Slide 5: Quarterly operational highlights
Quarterly operational highlights For personal use only + Our business continues to benefit from the urbanisation of cities around the world and the concentration of consumers – Changing consumer spending habits and technology are shaping the location of warehouse and distribution assets globally and
Slide 6: Quarterly operational highlights
Quarterly operational highlights For personal use only + Key highlights for the nine months to 31 March 2017 include – $2.1 billion of assets disposed (excluding urban renewal) to fund development pipeline – $2.1 billion of development commencements – $3.5 billion of development work in progress – $
Slide 7: Snapshot
Snapshot For personal use only A$34.6 billion A$30.0 billion A$3.5 billion A$4.6 billion + total assets external assets Development work direct property under under in progress investment portfolio management management 1.4%¹ 2.4%¹ 3.3%¹ 4.9%¹ 1,750 30 1,135 customers office locations people globall
Slide 8: Capital Management
Section 2 – Capital Management ( COVER Page) For personal use only + Section 1 Quarterly Operational Highlights Centenary Distribution Centre, Australia
Slide 9: Operating EPS
For personal use only Operating EPS Improving operational flexibility, reduced gearing targets and increased Credit Rating + The Group has been actively reducing financial leverage in the business given its desire to run low gearing at this point in the property cycle + Group gearing range reduced t
Slide 10: Quarterly Operations
For personal use only + Section 1 Quarterly Operational Highlights Centenary Distribution Centre, Australia
Slide 11: Underlying property fundamentals remain sound
For personal use only + Underlying property fundamentals in our global portfolio remain sound Total AUM by type – Leased 2.5 million sqm across the platform over the period equating to $296 million of annual net property income – Maintained occupancy at 96% – Retention remains high at 81% – WALE of
Slide 12: Leasing across the Group and Partnership platform
For personal use only Across the Group and Partnership platform: + 2.5 million sqm leased for 9 months to 31 March 2017, representing $296 million of net property income + Positive reversions of 2.7% on new leasing deals + Occupancy maintained at 96% Region Leasing area (sqm) Net annual rent (A$m) A
Slide 13: Leasing transactions
For personal use only Sale Leasing Goodman Jinxi Logistics Centre, Kunshan, China Mönchengladbach, Germany Goodman Interlink, Hong Kong Amazon, Pforzheim, Germany Vatry, Framce Customer Schenker Customer ESPRIT Customer DHL Transaction Transaction Transaction Lease Type Development / Lease Type Leas
Slide 14: Development workbook
For personal use only + Development workbook of $3.5 billion across 75 projects with a Development WIP ($bn) forecast yield on cost of 7.7% – Development WIP of $3.5 billion with 67% pre-committed and 78% pre-sold to Partnerships or third parties at 31 March 2017 – Development completions of $2.0 bi
Slide 15: Development completions, commencements and work in progress
For personal use only Q3 FY17 Developments Completions Commencements Work in progress Value ($m) 2.0 2.1 3.5 Area (m sqm) 1.7 1.7 2.5 Yield (%) 8.0 7.6 7.7 Pre-committed (%) 86 59 67 Weighted Average Lease Term (years) 8.6 9.7 9.9 Development for Third Parties or Partnerships (%) 80 65 78 Australia
Slide 16: Global development business
Global development business For personal use only Sale Leasing Lyons Park, Coventry, West Midlands, UK Moorburger Bogen, Hamburg, Germany Goodman Logistics Centre, Santa fe Springs, USA Lettable area 43,378 sqm Lettable area 34,984 sqm Lettable area 27,451 sqm Amazon, Pforzheim, Germany Vatry, Framc
Slide 17: Management platform: external AUM
For personal use only + External AUM of $30.0 billion Total AUM ($bn) – Development work book and revaluations offsetting asset sales + $2.1 billion of asset rotation completed year to date (excluding urban renewal) enhancing the quality of the portfolios – Primary funding source of developments – A
Slide 18: Partnerships overview
1 For personal use only GAIP GHKLP GEP GAP GCLP GMT GJCP2 GNAP GUKP 1 Total assets $6.8bn $4.7bn $4.0bn $3.8bn $2.8bn $2.3bn $1.9bn $1.3bn $0.3bn3 GMG co-investment $1.2bn $0.7bn $0.5bn $0.6bn $0.4bn $0.3bn $0.2bn1 $0.7bn $0.1bn GMG co-investment 27.5% 20.0% 20.4% 19.9% 20.0% 21.0% 16.7%1 55.0% 33.3
Slide 19: Thank you
For personal use only thank+you