Al Dar Properties · ADX:ALDAR
Al Dar Properties — FY2019 Earnings Presentation
23 slides from Al Dar Properties's earnings presentation, Feb 12, 2020
Slide 1: FY 2019 Results Presentation
FY 2019 RESULTS PRESENTATION YEAR ENDED 31 DEC 2019 12 FEBRUARY 2020 #ALDARFY19 #ALDAR Aldar FY 2019 Results
Slide 2: Disclaimer
This disclaimer governs the use of this presentation. You must not rely on the information in the presentations and alternatively we recommend you seek advice from an appropriately qualified professional. If you have any specific questions about any matter in this presentation you should consult an
Slide 3: In Summary
Strong headline financials Record development sales ▪ Attributable net profit up 7% to AED ▪ Development sales up 53% to AED 2.0 bn 4.0 bn ▪ Revenue up 14% to AED 7.1 bn ▪ Successful “The Perfect 10” event ▪ Gross profit up 5% to AED 2.8 bn ▪ AED 4.4 bn revenue backlog ▪ Net profit up 4% to AED 1.9
Slide 4: Commitment to Shareholders
Aldar has maintained a progressive dividend policy… …supported by an established dividend policy that provides transparency COMMITMENT TO Asset management Development business business SHAREHOLDERS 12 fils 14.0 fils 14.5 fils Policy Pay-out factor Range Distributable free cash flow 65-80% Realised p
Slide 5: Development
AED bn FY 2019 FY 2018 Variance • Successful launches addressing new segment • Strong inventory sales ie. The Development sales 4.0 2.6 +53% Perfect 10 DEVELOPMENT Development revenues 3.1 2.4 +27% Strong progress on projects under construction and commencement of govt Property development 2.7 2.4 +
Slide 6: Development Timeline 2019
DEVELOPMENT TIMELINE 2019 LAUNCHED APRIL 2019 AWARDED JULY 2019 ANNOUNCED SEPTEMBER 2019 ANNOUNCED DECEMBER 2019 Lea AED 5 billion projects The Perfect 10 Land swap Type: Residential land plots Three development projects; a new Aldar announces its first major A move which saw Al Raha Beach Land: Inv
Slide 7: Development Land Swap
▪ Strategic non-cash land swap with Government of Abu Dhabi completed in Dec’19 ▪ Enable Aldar to consolidate development focus on key destinations including Saadiyat Island DEVELOPMENT ▪ Government of Abu Dhabi receives assets that match its long-term strategic objectives ▪ Will support management
Slide 8: Asset Management
AED bn FY 2019 FY 2018 Variance Recurring revenues 3.4 3.2 +7% Asset Management 2.4 2.4 +3% Both revenue and NOI growth driven by expansion across key adjacent businesses Adjacent Businesses 1.0 0.8 +18% and new asset additions (Etihad and Al Jimi Mall extension), offset by weaker LfL MANAGEMENT rat
Slide 9: Asset Management NOI growth of 6%
Asset Management NOI growth of 6% driven by Adjacent Businesses and Hospitality 1,691 1,597 91 22 -17 -30 29 181 MANAGEMENT 90 97 126 Etihad Plaza Al Jimi Mall Etihad Airways Strong Abu Dhabi Aldar Academies addition extension Centre addition events calendar profit growth 446 Etihad Plaza retail Occ
Slide 10: Asset Management Timeline 2019
ANNOUNCED OCTOBER 2019 TIMELINE 2019 SOLD MARCH 2019 $500m 10-year sukuk MANAGEMENT ANNOUNCED FEBRUARY 2019 Khidmah Provis Al Murjan Tower Supported by Aldar Investments’ credit Sale of Al Murjan tower for AED 289 rating, the highest non-government Aldar spins off property management million, achiev
Slide 11: Asset Management Portfolio
MANAGEMENT Retail Residential Commercial Hospitality Number of properties¹ 32 12 15 20 1,236 retail units 5,620 units 236 units 2,930 keys Leasable area (485,060 sqm GLA) (829,282 sqm GLA) (318,074 sqm GLA) (436,313 sqm GLA) 89% Portfolio occupancy¹ 88% 92% 75% (incl. Yas Mall 88%) WAULT¹ 3.7 years
Slide 12: Key Adjacent Businesses
KEY ADJACENT BUSINESSES Aldar Education Khidmah Provis Saadiyat district cooling assets ▪ Aldar Academies is the leading operator and ▪ 40% minority stake acquired in September ▪ Assets acquired as part of TDIC asset provider of private education in Abu Dhabi with 2018 acquisition in Q2 2018 the lar
Slide 13: Balance Sheet
Robust balance sheet position Prudent capital management and governance in place Aldar Properties PJSC AED millions As at 31 Dec19 As at 31 Dec18 BALANCE SHEET Assets Property, plant and equipment 3,504 3,601 Investment properties 16,782 16,408 Asset Development DWIP, land and inventories 8,397 6,74
Slide 14: Key Messages
Market leadership with record development sales driven by focused launches addressing key underserved real estate segments and promotions to activate inventory sales 2020E KEY MESSAGES development sales Resilient asset management occupancy performance supported by high-quality and diverse asset port
Slide 15: Appendix
APPENDIX Aldar FY 2019 Results
Slide 16: Development Summary
Total as at 31 Dec 19 Project Location Launch date Sales value Units % Expected completion Sold units ¹ % sold (AEDm) ¹ launched completion DEVELOPMENT Ansam Yas Island 2014 527 929 547 96% 100% Handed over Hadeel Al Raha Beach 2014 228 484 233 98% 100% Handed over Nareel Abu Dhabi Island 2015 81 1,
Slide 17: Development Pipeline
DEVELOPMENT HANDED OVER COMMENCED HANDOVER HANDED OVER Nareel Island HANDED OVER EXPECTED COMPLETION: 2020 Jawaher Ansam Type: Exclusive land plots for villa West Yas Mayan Type: Golf-view villas and Type: Prime residential apartments development Type: Villa development Type: Prime residential apart
Slide 18: Development Pipeline
DEVELOPMENT EXPECTED COMPLETION: 2020 EXPECTED COMPLETION: 2021 EXPECTED COMPLETION: 2021 EXPECTED COMPLETION: 2021 EXPECTED COMPLETION: 2021 Yas Acres Alghadeer Reflection Alreeman II Saadiyat Reserve Type: Villa and townhouse Type: Residential land plots Type: Mid-market residential Type: Mid-mark
Slide 19: Government Policy Reform
POLICY REFORM Abu Dhabi Government initiatives Energy industry expansion Federal announcements GOVERNMENT ▪ Abu Dhabi approved an AED 50bn development plan ▪ ADNOC capex plans - five-year investment plan of ▪ Launch of “For Abu Dhabi” initiative from Department to enhance the competitiveness of Abu
Slide 20: Financial Statements
Profit and loss Balance sheet AED millions 31-Dec-19 31-Dec-18 AED millions Q4 2019 Q4 2018 FY 2019 FY 2018 Property, plant and equipment 3,505 3,601 Revenue 2,122 1,808 7,148 6,287 Direct costs (1,406) (1,121) (4,378) (3,655) Investment properties 16,782 16,408 STATEMENTS Gross profit 716 687 2,770
Slide 21: Q4 2019 Segmental Analysis
Q4 2019 recurring revenues of AED 924 million (Q4 2018: AED 905 million, Q3 2019: AED 795 million) ¹ 785 Q4 2019 Segmental Revenue Performance 693 603 AED Millions 439 431 432 411 423 406 229 239 258 SEGMENTAL 124 22 40 Investment Properties Hospitality & Leisure Adjacent Businesses Development Mana
Slide 22: FY 2019 Segmental Analysis
FY 2019 recurring revenues of AED 3,381 million (FY 2018: AED 3,172 million) ¹ FY 2019 Segmental Revenue Performance 2,731 2,359 1,728 1,751 1,624 1,481 AED Millions SEGMENTAL 698 614 365 80 Investment Properties Hospitality & Leisure Adjacent Businesses Development Management Property Development A
Slide 23: Contact Us
CONTACT US For any further enquiries please contact: Chris Wilson Mohamed ALMaazmi Head of Investor Relations Investor Relations + 971 2 810 5624 + 971 2 810 5866 cwilson@aldar.com malmaazmi@aldar.com Aldar FY 2019 Results 22