Develia S.a. · GPW:DVL
Develia — Investor Day (April 2024)
25 slides from Develia's investor day presentation, April 2024
Slide 1: Company Strategy 2024-2028
Company Strategy |, 2024-2028 4“ ag 4x 44 DEVELIA
Slide 2: Agenda
2024–2028 Strategy – Agenda Agenda Strategy Components and Objectives Develia and the Market Landscape Strategy 2
Slide 3: Strategy Components and Objectives
2024–2028 Strategy – Strategy Components and Objectives Strategy Components and Objectives The purpose of this document is to highlight Develia’s growth potential based on an analysis of the company, the market and the competition. The presentation shows long-term goals and the potential to build sh
Slide 4: Management Board
2024–2028 Strategy – Management Paweł Ruszczak, Vice-President of the Management Board Management Paweł Ruszczak holds a degree from the Warsaw School of Economics. He specialises in corporate financial management. He has been involved in the property development sector for more than 15 years, havin
Slide 5: 1. Develia and the Market Landscape
2024–2028 Strategy – Develia and the Market Landscape 1. Develia and the Market Landscape 5
Slide 6: Implementation of the 2021–2025 Strategy
2024–2028 Strategy – Develia and the Market Landscape Implementation of the 2021–2025 Strategy ▪ Develia is one of the leading apartment developers in Poland. In line with its TOP 5 Supporting growth through M&A and strategy, it has significantly increased the scale of its operations from around apa
Slide 7: Context
Renewable 2024–2028 Strategy Low quality of housing energy Demand outweighing supply in Poland Continued GDP consistently growth in Poland increases price ahead of the EU pressure in the average market The mortgage market has The role of renting as more room to grow with Sales of nearly 2,700 units
Slide 8: Prospects for the apartment market
2024–2028 Strategy Prospects for the apartment market Volume of annual sales in the markets of 7 Polish cities, pcs. 80 000 60 000 ▪ Scale – the market covering 7 cities and 60,000 apartments per 40 000 year, with extremely high fragmentation in local markets 20 000 ▪ Production volume – 3 million s
Slide 9: Apartment Market Outlook to 2030
2024–2028 Strategy Apartment Market Outlook to 2030 1.5–3 Strong demand Changing Low million household Urbanisation related to family apartment Stimulants storage of model leveraging shortage Strong market fundamentals value ▪ Economics – low-cost apartments in relation to wages/prices in EU, decrea
Slide 10: Segment Dynamics and Attractiveness
Develia’s 2024–2028 Strategy – Develia and the Market Landscape Segment Dynamics and Attractiveness ▪ Apartment segment – demand outweighs supply (housing gap of approx. 1.5 million units), good development prospects up to 2028, continuation of demand support policy will have positive impact on hous
Slide 11: 2. Strategy
2024–2028 Strategy – Strategy 2. Strategy 11
Slide 12: Vision
2024–2028 Strategy – Strategy VISION: EXPANDED VISION: To create space for living. To be a first choice employer To be the leader of the apartment and developer. To deliver attractive returns to our investors. market in Poland. Our priority is to meet the needs of individual customers looking We aim
Slide 13: Objective: We build places where people want to live
2024–2028 Strategy – Strategy OBJECTIVE: We build places where people want to live. We cater for housing needs of customers in the largest cities in Poland by providing apartments for sale and rent to individual buyers and investors. We want to offer compelling products and services to a broader mar
Slide 14: Management and values
2024–2028 Strategy – Strategy Management and values The company’s strategy and management style are geared towards growth of value and achievement of objectives. Our organisational culture that we have been building for several years is a key component of this. ▪ Communication, collaboration and a c
Slide 15: Strategy – Long-Term Goals
2024–2028 Strategy – Strategy Strategy – Long-Term Goals Continue to significantly scale up Development of in-house project execution within in the for-sale apartment segment to sell 4,500 the capital group units in 2028. Systematic replenishment and securing of a land bank ensuring an average of mo
Slide 16: Targets for 2024
2024–2028 Strategy – Strategy Targets for 2024 Developer and Arkady Wrocławskie preliminary agreement sales of The building will be prepared for sale 2,900–3,100 units in 2025. Continuing negotiations Handover of with institutional investors in the living segment – conclusion 2,700–2,900 apartment o
Slide 17: Strategy – Operational Activities
2024–2028 Strategy – Strategy Strategy – Operational Activities ORGANIC GROWTH BASED ON THE CURRENT MODEL ADDITIONAL DEVELOPMENT AND GROWTH OPPORTUNITIES ▪ Malin – initiation of the exit process through development ▪ Successive growth of the land bank Disinvestments ▪ Sale of Arkady Wrocławskie Stre
Slide 18: Key Areas of Operational Activities
2024–2028 Strategy – Strategy Key Areas of Operational Activities Increase in apartment Design, Business diversification, Effectiveness sales and sales / Purchase of new implementation and automation partnerships, platforms, marketing/PR efforts land of processes, ESG M&A ▪ Focusing on strengthening
Slide 19: Assets – Characteristics
2024–2028 Strategy – Assets Assets – Characteristics Most of the apartment development projects operated by the company in terms of standard are in the popular segment. Because of its land holdings, the company also carries out investments in the upscale segment. Key strengths: good quality, functio
Slide 20: Assets – Product Expansion
2024–2028 Strategy – Assets Assets – Product Expansion In an attempt to adapt residential property portfolio to current buyer expectations, the company is developing new products and will strive to take ESG aspects into account and use the following solutions: IN THE E ASPECT IN THE S ASPECT IN THE
Slide 21: Assets – apartment estates
2024–2028 Strategy – Assets Assets – apartment estates The current land bank affords the company the basis to achieve sales of 2,800-3,100 units, and the assumed development plan is to increase sales to 4,500 units, hence the importance of securing and (*) expanding the land bank to around 15,800 un
Slide 22: Assets
2024–2028 Strategy – Assets Assets Investment land Investment land Malin, 169 hectares Wrocław, ul. Kolejowa Commercial facility ▪ A JV agreement was signed in January 2023 regarding ▪ 5,428 m2 of land the intention to jointly develop a logistics park with the required technical and road infrastruct
Slide 23: New Companies
2024–2028 Strategy – New Companies New companies ▪ Land acquisitions will require proactive action focusing on new ▪ Further development of Develia Construction’s activities based on the company’s trends, including converting areas and giving them a new function, investment projects – growth of fina
Slide 24: Main KPIs for 2024–2028
2024–2028 Strategy – Main KPIs The premise of the strategy is to maximise the Main KPIs for 2024–2028 value of the company while providing Develia with a base for further growth. Scaling up from nearly 2,700 to 4,500 (in 2028) Dividend potential of approx. The Malin project – execution in the apartm
Slide 25: Legal Notice (Disclaimer)
Develia S.A. ul. Traugutta 45, 50-416 Wrocław Legal Notice (Disclaimer) This presentation has been made for information purposes only, provides summary information only and is not intended to be exhaustive or the sole and exclusive basis for any analysis or evaluation of Develia S.A. The presentatio