Phoenix Mills Ltd. · NSE:PHOENIXLTD
Phoenix Mills — The Phoenix Mills — Investor Presentation (February 2022)
48 slides from Phoenix Mills's investor presentation, Feb 10, 2022
Slide 1: Exchange filing cover letter for Corporate Presentation
Corp. Office: Shree Laxmi Woolen Mills Estate, 2nd Floor, R.R. Hosiery, Off Dr. E. Moses Rd. Mahalaxmi, Mumbai - 400 011 Tel: (022) 3001 6600 Fax : (022) 3001 6601 CIN No. : L17100MH1905PLC000200 Date: February 10, 2022 To, BSE Limited. National Stock Exchange of India Limited. Phiroze Jeejeebhoy To
Slide 2: The Phoenix Mills Ltd. Corporate Presentation - Feb 2022
The Phoenix Mills Ltd. Corporate Presentation - Feb 2022 Phoenix Palassio, Lucknow
Slide 3: Developer of India's Iconic Mixed Use Developments
Developer of India’s Iconic Mixed Use Developments Phoenix MarketCity, Mumbai + Phoenix Palladium + The St Regis, Phoenix Millennium, Pune + Offices Offices (Centrium, PPP and Art Guild House) Mumbai + Offices + Upcoming Project Rise Phoenix MarketCity, Bangalore + Offices + Phoenix MarketCity, Pune
Slide 4: Diversified portfolio across asset class
Diversified portfolio across asset class Retail Commercial Hospitality Residential Operational Operational The St. Regis, Mumbai Total Saleable + Courtyard by Marriott, Agra Retail Spaces GLA Office Spaces GLA Area ~7 ~2.0 588 ~4 msf msf keys msf Under-development & Under-development & Under-plannin
Slide 5: Gross Leasable Area (GLA mix) in Retail and Commercial
Gross Leasable Area (GLA mix) in Retail and Commercial Segments FY 21 FY 26 Retail 6.9 msf 1.9x 13.0 msf Commercial 1.6 msf 4.1x 6.6 msf Robust growth trajectory to solidify leadership position in mixed use developments in India
Slide 6: Portfolio in India's top cities
Portfolio in India’s top cities Agra Indore Ahmedabad Hospitality Mall Courtyard by Marriott – (193 keys) Phoenix Citadel Mall Bareilly – (~1 msf) Palladium Lucknow – (~0.7 msf) Mall Phoenix United – (~0.34 msf) Mall Mumbai Phoenix United – (~0.37 msf) Phoenix Palassio – (~0.90 msf) Mall Phoenix Pal
Slide 7: Retail Consumption back to pre-Covid levels in Q3FY22
Retail Consumption back to pre-Covid levels in Q3FY22 Consumption Trend (Rs mn) 20,662 20,703 13,875 13,816 14,347 Second wave led to 10,123 restrictions on mall Lockdown impacted operations consumption due to impacting 4,724 restrictions on mall consumption operations 2,589 429 Q3FY20 Q4FY20 Q1FY21
Slide 8: Q3 FY22 Consumption trending towards pre-COVID levels for most malls
Q3 FY22 Consumption trending towards pre-COVID levels for most malls Q3 FY22 Consumption – Rs 20,703 mn • Consumption in Q3 FY22 stood at As % 91% 103% 88% 73% 89% NA 75% 93% of Q3 ~Rs 20,703 mn, and in 9M FY22 FY20 4,702 4,147 stood at ~Rs 33,415 mn 3,292 2,952 2,131 2,271 • Consumption in Q3 FY22
Slide 9: Q3 FY22 Rental Income at 96% of Q3 FY20
Q3 FY22 Rental Income at 96% of Q3 FY20 (pre-Covid quarter) Q3 FY20 (pre- Q3 FY22 Q3 FY21 COVID period) Name of Asset Retail Income % of Q3 FY20 Retail Income Retail Income (pre-COVID (Rs. mn) period) (Rs. mn) (Rs.mn) Phoenix Palladium 725 83% 552 871 Phoenix Marketcity Bangalore 386 97% 238 400 Pho
Slide 10: Q3 FY22 Retail EBITDA at 96% of Q3 FY20
Q3 FY22 Retail EBITDA at 96% of Q3 FY20 (pre-Covid quarter) Q3 FY20 (pre- Q3 FY22 Q3 FY21 COVID period) Name of Asset EBITDA % of Q3 FY20 EBITDA EBITDA (pre-COVID (Rs. mn) period) (Rs. mn) (Rs. mn) Phoenix Palladium 728 90% 526 807 Phoenix Marketcity Bangalore 343 85% 244 402 Phoenix Marketcity Pune
Slide 11: Retail Rental Income for 9M FY22 at 69% of 9M FY20
Retail Rental Income for 9M FY22 at 69% of 9M FY20 9M FY20 (pre- 9M FY22 9M FY21 COVID period) Name of Asset Retail Income % of 9M FY20 Retail Income Retail Income (pre-COVID (Rs. mn) period) (Rs. mn) (Rs. mn) Phoenix Palladium 1,484 60% 1,088 2,492 Phoenix Marketcity Bangalore 849 76% 485 1,119 Pho
Slide 12: Retail EBITDA for 9M FY22 at 70% of 9M FY20
Retail EBITDA for 9M FY22 at 70% of 9M FY22 9M FY20 (pre- 9M FY22 9M FY21 COVID period) Name of Asset EBITDA % of 9M FY20 EBITDA EBITDA (pre-COVID (Rs. mn) period) (Rs. mn) (Rs. mn) Phoenix Palladium 1,431 61% 938 2,354 Phoenix Marketcity Bangalore 848 73% 528 1,160 Phoenix Marketcity Pune 676 51% 4
Slide 13: Consumption in Jan 2022 sees some impact due to Covid 3rd wave
Consumption in Jan 2022 sees some impact due to Covid 3rd wave & local restrictions Jan 2022 Consumption as % of Jan 2020 As % 66% 81% 72% 63% 67% NA 70% 77% of Jan, 2020 1,150 750 800 700 550 600 210 170 Phoenix PMC Bangalore PMC Pune PMC Mumbai PMC & Palladium Phoenix Palassio PU Lucknow PU Bareil
Slide 14: Occupancy and Trading Density trend across major malls
Occupancy and Trading Density (TD) trend across major malls Trading Density Leased Occupancy Trading Occupancy (Rs. Per sq. ft. pm) Q3 FY20 Q3 FY20 Q3 FY20 Q3 FY22 Q3 FY22 (Pre-covid) Q3 FY22 (Pre-covid) (Pre-covid) Phoenix Palladium 100% 97% 94% 86% 3,620 3,306 Phoenix Marketcity Bangalore 99% 96%
Slide 15: Raised equity capital of ~Rs. 4,680 cr in 15 months
Raised equity capital of ~Rs. 4,680 cr in 15 months… Qualified Institutional August 2020 ~Rs. 1,100 cr Placement (QIP) JV with CPPIB for Kolkata May 2021 ~Rs. 384 cr Development 49% stake for CPPIB Equity Infusion in existing retail May 2021 & Dec 2021 ~Rs. 735 cr platform with CPPIB (ISML) CPPIB’s
Slide 16: Optimizing cost of debt and reducing gross debt levels
… while optimizing cost of debt and reducing gross debt levels … Effective cost of debt (%) Gross Debt (Rs. cr) 9.38% 4,573 4,547 9.19% 4,487 4,305 8.17% 7.61% Mar' 19 Mar' 20 Mar' 21 Dec'21 Mar' 19 Mar' 20 Mar' 21 Dec'21 • Average cost of debt reduced from 9.38% in March 2019 to 7.61% in November 2
Slide 17: Capital Autonomy: liquidity and debt
…in order to give us the necessary Capital Autonomy Group Level PML Share Amount Rs. mn Liquidity (Bank balance + 24,946^ 19,334 Investments + DSRA)* Gross Debt 43,058^ 31,974 Net Debt 18,102^ 12,639 9M FY22 EBITDA 5,892^ 4,645 *Note: Does not include funds of Rs. 6,853 mn available in overdraft acc
Slide 18: Delivery timelines for Under Construction Assets on Track
… to keep Delivery timelines for Under Construction Assets on Track Phoenix Phoenix Citadel, Palladium, Phoenix Mall of Asia, Indore Ahmedabad Millennium, Pune Bangalore Proposed Retail Retail GLA – ~1.1 msf Retail GLA – ~1.2 msf GLA Retail GLA – ~1 msf Retail GLA – ~0.7 msf Office GLA – ~0.6 msf Of
Slide 19: Phoenix Citadel Indore
Phoenix Citadel Indore The biggest Retail Destination of Madhya Pradesh Indicative Render 18
Slide 20: Phoenix Citadel Indore
Phoenix Citadel Indore Indicative Render 19
Slide 21: Palladium Ahmedabad
Palladium Ahmedabad The Luxury mall of Gujarat Indicative Render 20
Slide 22: Palladium Ahmedabad
Palladium Ahmedabad Indicative Render 21
Slide 23: Phoenix Millennium Pune
Phoenix Millennium Pune The New Epicentre for West Pune Indicative Render 22
Slide 24: Phoenix Millennium Pune
Phoenix Millennium Pune Indicative Render 23
Slide 25: Mall of Asia, Bangalore
Mall of Asia, Bangalore The Largest Retail led Mixed-use development in Bangalore Indicative Render Concept Architect – Callison 24
Slide 26: Mall of Asia, Bangalore
Mall of Asia, Bangalore Indicative Render Concept Architect – Callison 25
Slide 27: Expansion by densification of mixed use developments
Expansion by densification of mixed use developments Under Development / Planning Offices Location GLA* (msft) Office portfolio to grow Phoenix Millennium, Wakad – Office Pune ~0.6 from ~2 msft to Palladium Chennai – Office Chennai ~0.4 ~6.2 msft in 4 years Phoenix Marketcity Bangalore – Office Beng
Slide 28: Business Performance - Commercial
Business Performance - Commercial Fountainhead Towers, Pune
Slide 29: Office Portfolio seeing improving leasing traction
Office Portfolio seeing improving leasing traction Project Net Leasable Average Rate Location Total Area (msf) Area Sold (msf) Area Leased (msf) Name Area (msf) psf.* Operational Office Portfolio (1.99 MSF) Art Guild House Mumbai 0.80 0.17 0.63 0.51 88 Phoenix Paragon Plaza Mumbai 0.43 0.12 0.31 0.1
Slide 30: 9M FY22 Office Income up 11% yoy
9M FY22 Office Income up 11% yoy Q3 FY22 (in Rs. Mn) 9M FY22 (in Rs. Mn) EBITDA as % of Total Income Operational Portfolio Total Income EBITDA Total Income EBITDA Q3 FY22 9M FY22 Art Guild House* 181 111 598 421 62% 70% Phoenix Paragon Plaza 65 48 199 127 55% 64% Fountainhead – Tower 1 64 40 174 131
Slide 31: Fountainhead Towers – Interior shots
FoutainHead Towers – Interior shots Fountainhead Tower 2 Lobby 30
Slide 32: Fountainhead Towers – Interior shots
FoutainHead Towers – Interior shots Fountainhead Tower 3 Lobby 31
Slide 33: Fountainhead Tower 3 – Interior shots
FoutainHead Tower 3 – Interior shots 32
Slide 34: Business Performance - Hospitality
Business Performance - Hospitality The St. Regis, Mumbai
Slide 35: The St. Regis, Mumbai – Significant Improvement in Room Occupancy
The St. Regis, Mumbai – Significant Improvement in Room Occupancy Room Occupancy (%) 77% 77% 79% 74% 51% 46% 42% 34% 14% Apr-21 May-21 Jun-21 Jul-21 Aug-21 Sep-21 Oct-21 Nov-21 Dec-21 Occupancy levels back at FY20 levels aided by revival in corporate travel and social events. Average room rentals (A
Slide 36: The St. Regis, Mumbai
The St. Regis, Mumbai Q3 FY22 Q3 FY21 YoY% 9M FY22 9M FY21 YoY% Revenue from 232 93 150% 428 202 112% Rooms (Rs. mn) Revenue from F&B and Banqueting 275 108 154% 450 143 215% (Rs. mn) Other Operating 45 29 57% 92 65 41% Income (Rs. mn) Total Income 553 230 140% 970 410 137% (Rs. mn) Operating EBITDA
Slide 37: Courtyard by Marriott, Agra – Significant Improvement in Room Occupancy
Courtyard by Marriott, Agra – Significant Improvement in Room Occupancy Room Occupancy (%) 75% 62% 64% 60% 60% 47% 26% 23% 1% Apr-21 May-21 Jun-21 Jul-21 Aug-21 Sep-21 Oct-21 Nov-21 Dec-21 Occupancy levels back at FY20 levels aided by revival in domestic travel and social events. Average room rental
Slide 38: Courtyard by Marriott, Agra
Courtyard by Marriott, Agra Q3 FY22 Q3 FY21 9M FY22 9M FY21 Revenue from Rooms 50 22 84 25 (Rs. mn) Revenue from F&B and Banqueting 50 27 93 31 (Rs. mn) Other Operating Income 1 0 3 1 (Rs. mn) Total Income 101 50 181 56 (Rs. mn) Occupancy (%) 66% 38% 46% 26% ARR (Rs.) 4,266 3,222 3,481 3,349 37
Slide 39: Business Performance - Residential
Business Performance - Residential Phoenix Marketcity, Bangalore
Slide 40: Residential Portfolio – Steady traction in demand for ready units
Residential Portfolio – Steady traction in demand for ready units Sold and registered agreements for inventory worth ~Rs. 321 mn during Q3 FY22 and ~Rs. 1,301 mn in 9M FY22. Overall sales of Rs. 1,607 mn in 9M FY22 of which Rs. 306 mn worth of sales is pending registration Collections in Q3 FY
Slide 41: Annexure
Annexure Phoenix Marketcity, Bangalore
Slide 42: Target cities of Interest
Target cities of Interest 7.48 acres of land in Feb 2021 Kolkata Chandigarh Gurgaon Surat Hyderabad Mumbai / Navi Mumbai Chennai Jaipur Greenfield/brownfield retail led development opportunities in key catchments of leading cities in India; target to add ~ 1 msf of Retail every year 41
Slide 43: Phoenix Palassio, Lucknow - Case Study
Phoenix Palassio, Lucknow - Case Study Quick turnaround of 21 months from brownfield acquisition to launch 100% funded through PML Balance Sheet All inclusive project cost: ~ Rs. 832 crores Mall 95% leased, MG Rent of ~Rs. 110, Trading Density of ~ Rs. 1,400 psf pm Annualized EBITDA run rate of > Rs
Slide 44: Offices Value Proposition
Offices Value Proposition Photo shot at location Land historically owned by SPV and therefore yields can be very high since no additional land cost Structural costs (foundation and strengthening) were part of existing structure Photo shot at location Expansion / densification at own site City centri
Slide 45: Sustainability Initiatives at Operational Malls
Sustainability Initiatives at Operational Malls Waste Water Energy Emission Management Conservation Conservation Control • Organic waste conversion and • Recycling of wastewater by • Replacement of CFL with LED • Diesel Generator Effluents are wet waste conversion equipment Sewage treatment plant (S
Slide 46: Sustainability Initiatives at Under Construction Malls
Sustainability Initiatives at Under Construction Malls Phoenix No Sustainable Metrics Phoenix Citadel Phoenix Millennium Mall of Asia 1 Pre-Certification LEED Ratings Silver Gold Gold 2 Sustainable Design Approach Adapted Adapted Adapted 3 Fundamental And Enhanced Commissioning Adapted Adapted Adapt
Slide 47: Shareholding Pattern as on 31st December 2021
Shareholding Pattern as on 31st December 2021 Shareholding Pattern Sr. No Top Institutional Investors % Shareholding 4.6% 1 SCHRODER 7.66% 2 GIC 4.32% 18.4% 3 ICICI PRDUENTIAL AMC 3.72% 4 MOTILAL OSWAL AMC 2.24% 45.4% 5 UTI AMC 2.23% 6 BAILLIE GIFFORD 2.15% 7 DSP AMC 2.08% 31.6% 8 SBI AMC 1.90% 9 VA
Slide 48: Thank you
Thank you Advait Phatarfod Rohan Rege Email: advait.p@phoenixmills.com Email: rohan.rege@phoenixmills.com Website: https://www.thephoenixmills.com/investors 47
The Phoenix Mills — Investor Presentation (February 2022) on 6ix