Xior Student Housing N.V. · EURONEXT:XIOR
Xior Student Housing — Q3 2022 Earnings Presentation
47 slides from Xior Student Housing's earnings presentation, 2022
Slide 1: Presentation Q3 results 2022
Presentation Q3 results 2022
Slide 2: Agenda
1. Activity report - Recap 9M 2022 • Track record • Acquisition Basecamp • Main realisations YTD 2022 2. Operational update • Operational update • Basecamp integration • ESG acceleration 2022-2023 3. Portfolio & Pipeline 4. 9M 2022 Results Q&A Appendix Basecamp portfolio Appendix Financials Appendix
Slide 3: Strong results with robust balance sheet, strong kick-off academic year 2022-23
Strong results with robust balance sheet showing strong kick-off academic year 2022-23 1. +19% EPRA earnings and EPS 2022 2.07 EUR confirmed 2. Internal value creation: accelerating digital transformation process enabling efficiency gains & cost control 3. Optimisation and strategic review of portfo
Slide 4: Study, Connect, Relax
STUDY — CONNECT : RELAX
Slide 5: Track record and portfolio growth since 2015
2007 2019 2022 September 2022 - … Founders enter the (BE) March 2019 Entry into Poland – Heading to c. €3.8 bn student housing scene with Warsaw portfolio first asset Entry into & Spain and Portugal Acquisitions: Seraing (BE), c.27,000 units Hasselt (BE), Liège (BE), 43 cities in 8 countries Granada
Slide 6: Acquisition Basecamp
Rationale Acquisition Basecamp PORTFOLIO OVERVIEW • A major step forward in Xior’s international expansion plan • Geographical diversification and regional complementarity • Adding high quality prime PBSA creating incremental value and cross sell • ESG acceleration by adding BREAAM certified buildin
Slide 7: Main realisations YTD 2022: key projects
Name Project Warsaw Odalys Granada Seraing Liège (BE) Hertz Hasselt (BE) #units c. 521 c. 310 c. 300 161 Est. investment 32 26.5 26 c. 17.5 value (€m) (Theoretical) Gross c. 9% c. 7% In line with market yields In line with market yields yield Exp. Delivery Aug 2024 Q3 2025 2024 Q2 2023 Permit Exp. 2
Slide 8: Realised projects in Belgium and Portugal
Namur, BE (206 units) Marivaux, BE (135 units) Voskenslaan, BE (110 units) Odalys Granjo, PT (211 units) 8
Slide 9: Main realisations YTD 2022
✓ June 2022: Financially favourable ruling to apply for SOCIMI status in Spain ✓ June 2022: New Xior Headquarters (Antwerp Frankrijklei) ✓ Sept. 2022: Xior acquired the remaining 10% shares of XL Fund. Fund is now in full ownernship of Xior ✓ Sept. 2022: Xior acquired the remaining 20% shares of Mos
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Slide 11: Unique and resilient business model
Unique and resilient business model... Total Total Total vs. target target target markets markets markets Total 3.3x more number of 2.9m 1.2m 0.4m 0.7m 5.2m 1.6m 1.2m 0.8m 0.5m 0.4m 4.5m 8.5m 2.5m students students PBSA supply Significant 11% 10% 22% 20% ~12% 6% 10% 26% 27% 6% ~13% ~13% 40% rate1 un
Slide 12: Strong demand fuels rentals and rent prices
Strong demand fuels rentals and rent prices Massive search for student rooms in all four countries ✓ Rental season started significantly earlier in all countries ✓ Higher retention (up to 80%) ✓ All cities rented out in record time Short term nature of student contracts enabling rising inflation
Slide 13: Basecamp integration
1. Stabilise & Optimise the Organisation Integration Management Taskforce appointed: Execute zero measurement “as is” + identify business needs + define desired future org design, roles & responsibilities and behavior 2. Continuation to deliver predictable and strong financial results Integrat
Slide 14: Planet: Green Finance Framework
Sustainable buildings & Energy transition Update GFF ongoing with further increase green financing & sustainable buildings in 2022-2023 External certified assets: BREEAM & LEED PLANET Divestment of least sustainable assets Xior Solar: feasibility study to increase installed solar power CO2
Slide 15: People, governance and digital
New HR strategy covering the full employee lifecycle and improved dialogue with students PEOPLE • Second annual employee survey planned Q4 2022 • Focus on onboarding and increasing employee development training hours employees & students • Tenant satisfaction survey and enhanced digital tools • Boar
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Slide 17: Portfolio by country and city
Belgium – 8 cities 6,619 units Germany – 3 cities 1,108 units Antwerp Leuven Potsdam Brussels Liège/Seraing 21% Leipzig 5% Ghent Namur Aachen Hasselt Mechelen Denmark – 3 cities 1,786 units Lyngby The Netherlands – 17 cities 8,993 units Copenhagen 12% Amsterdam Leeuwarden Vaals Aarhus Amstelveen Lei
Slide 18: Continuous increase of lettable units
Continuous increase of lettable units 30.000 26,813 25.000 20.000 17,737 15.000 13,755 13,922 13,922 11,046 10.000 7,932 5,505 5.000 3,678 2,531 0 Dec-16 Dec-17 Dec-18 Dec-19 Dec-20 Dec-21 Mar-22 Jun-22 Sep-22 2026e 18
Slide 19: Portfolio and pipeline review
Portfolio Pipeline Divestment programme of least efficient, least sustainable or Strategic review of projects to be initiated/postponed non-core assets Reported pipeline split into Active pipeline: construction started or already committed Phase 1: sale of 30 MEUR of assets Landbank pipeline: pr
Slide 20: Active pipeline
Estimated Investment Estimated # of units Project Permit Expected delivery Rental income value (c. €m)1 (beds) BELGIUM Felix – Antwerp Est. 17.4 ✓ 2024 203 No Campus 3 Eiken – Antwerp Est. 33.8 Exp. 2022 2024 387 No St. Pietersplein – Ghent Est. 6.0 ✓ 2023 50 No Hertz - Hasselt Est. 17.5 ✓ 2023 161
Slide 21: Landbank pipeline
Estimated Investment Estimated # of units Project Permit Rental income value (c. €m)1 (beds) BELGIUM Roosevelt – Antwerp Est. 18.0 2023 TBD (> 51) Partially Bagatten – Ghent Est. 4.1 Exp. 2022 50 No Brouck’R – Brussels Est. 17.5 Exp. 2023 130 No Dansaert – Brussels Est. 6.0 Exp. 2023 51 No THE NETHE
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Slide 23: 9M 2022 results, 2022 guidance on target
9M 2022 results 2022 guidance on target EPRA NAV/share: € 44.06 (+16%) EPS € 1.451 EPS 2022: € 2.07 (+15%) EPRA NTA/share: € 44.03 (+16%) Fully in line with expectations DPS 20222: € 1.66 (+15%) Fair Value Debt Ratio 49.95% c. € 2.9 billion c. € 3.8 billion including pipeline Strategy to keep debt r
Slide 24: Well diversified credit profile with 19 lenders
Debt maturity profile (September 2022) 300000000 250000000 200000000 150000000 100000000 50000000 0 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q1 Q2 Q4 Q1 Q4 2022 2023 2023 2023 2023 2024 2024 2024 2024 2025 2025 2025 2025 2026 2026 2026 2026 2027 2027 2029 2030 2032 2033 2050 2051
Slide 25: Debt ratio, interest costs and green financing
Debt ratio under 50% • Debt ratio of 49.95% (strategy to keep below 50%) • Total credit lines of €1,644m (€160m undrawn facilities) • Debt maturity: 4.83 years (vs. 4.82 years per 31/12/2021) • Refinancing maturing debt 2023 largely covered Interest costs under control • Average cost of debt: 1.79%
Slide 26: Focus on efficiency gain and cost control
✓ 15.35% of annualized total rental income: LT leased via rental & guarantee contracts ✓ Extra 5.93% of annualized total rental income via partnerships with universities Operational metrics 30/09/2022 30/06/2022 31/03/2022 31/12/2021 30/09/2021 30/06/2021 31/03/2021 31/12/2020 31/12/2019 31/12/2018
Slide 27: EPRA NAV, NTA per share and gross yields
in EUR 30/09/2022 30/06/2022 31/12/2021 31/12/2020 31/12/2019 31/12/2018 31/12/2017 EPRA NAV per share 44.06 43.49 38.63 34.87 35.96 31.45 28.14 EPRA NTA per share 44.03 42.72 37.92 33.99 - - - Gross valuation yields 31/12/2021 31/12/2020 31/12/2019 31/12/2018 31/12/2017 31/12/2016 31/12/2015 Gross
Slide 28: Equity capital raised and dividends paid since IPO
C. €1,211M OF EQUITY CAPITAL RAISED1 / €109M DIVIDENDS PAID OUT2 SINCE IPO December 2015 January 2017 March 2018 December 2018 June 2019 June 2020 Nov 2020 June 2022 Sep 2022 €87.8m €5.1m €18.1m €30.0m €18.1m €7.5m €54.7m €11m €296m Initial public offering CIK as part of CIK as part of CIK as part o
Slide 29: Guidance earnings per share
Guidance earnings per share (€) € 1,20 € 1,15 1. EPS – group share. 29 2. Subject to approval AGM,
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Slide 32: Basecamp portfolio: Germany and Poland
1 Potsdam 5 operational assets + 1 project 4 Łódź I #units/ beds 263/ 263 DE PL #units/ beds 487/ 624 Est. investment Est. investment value (€m) 220.7 109.0 Est. investment 28.3 30.8 value (€m) value (€m) Opening date Oct 2017 Opening date Nov 2017 2 Leipzig 5 Łódź II #units/ beds 385/ 412 #units/ b
Slide 33: Basecamp portfolio: Denmark and Sweden
1 Lyngby Student 3 operational assets + 2 projects 3 Aarhus #units/ beds 639/ 639 DK SE #units/ beds 650/ 650 Est. investment Est. investment value (€m) 455.2 113.7 Est. investment 150.4 149.9 value (€m) value (€m) Opening date Aug 2020 Opening date Aug 2023 1 Lyngby Residential 4 Malmö #units/ beds
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Slide 35: Consolidated results
in KEUR 30/09/2022 30/09/2021 Net rental result 75,635 53,998 +40.07% Real estate result 71,749 52,916 Operating result before result on the portfolio 50,521 38,162 Financial result (excl. variations in the fair value of financial assets and liabilities) -8,414 -6,947 EPRA earnings – group share 39,
Slide 36: Equity, fair value, debt ratio and per share data
In KEUR 30/09/2022 31/12/2021 Equity 1,517,002 1,003,852 Equity – group share 1,516,941 984,436 Fair value of the real estate property1 2,943,884 1,967,056 Debt ratio (Law on Regulated Real Estate Companies)2 49.95% 47.58% in EUR 30/09/2022 30/09/2021 Number of shares 34,752,543 25,255,729 Weighted
Slide 37: University rental contracts
University City Location #units End date RENTAL CONTRACT Saxion Hogescholen Enschede Ariënsplein 113 31/07/2026 Saxion Hogescholen Enschede Ariënsplein 1 (educational facility) 31/08/2027 Saxion Hogescholen Enschede Ariënsplein 1 (educational facility) 28/02/2029 Saxion Hogescholen Enschede Ariënspl
Slide 38: Guarantee contracts and partnerships
University City Location #Units End date GUARANTEE CONTRACT Vrije Universiteit Amsterdam Naritaweg 30 31/08/2022 Hogeschool Zuyd Maastricht Vijverdalseweg 60 31/07/2022 Hogeschool Zuyd Maastricht Annadal 18 31/07/2022 Rotterdam School of Rotterdam Woudestein 21 31/12/2021 Management (RSM) Hogeschool
Slide 39: Te = rae
Te = rae Oe wi 4 i iii ts ey i All i
Slide 40: Management and board
WILFRIED NEVEN CHRISTIAN TEUNISSEN FREDERIK SNAUWAERT Chairman of the Board Executive director & CEO Executive director & CFO Vice-CEO and Chief Customer From 1997 until 2008 mainly active Previously active as a senior auditor Experience Officer at Ethias in the insurance industry at at PwC in finan
Slide 41: Shareholder structure
Free Float Aloxe NV STH2 E2H3 72,16% 14,47% 7,24% 6,13% Xior Student Housing NV 1. As per 10 October 2022. 2. ST Holdings Sàrl, a limited liability company incorporated under the laws of the Grand Duchy of Luxembourg and fully owned subsidiary of ESHF I. 3. ESHF 2 Holdings Sàrl, a limited liability
Slide 42: Student market data by country
Number of ~491,000 ~817,000 ~1,630,000 ~375,000 ~1,204,000 ~2,891,000 ~363,000 ~703,000 students o.w. international 9% 10% 8% 13% 7% 11% 11% 6% students Supply rate PBSA 27% 26% 6% 6% 10% 11% 22% 20% 82 public 14 public 390 universities 8 public 38 public > 350 officially 12 universities 13 universi
Slide 43: Strengths
Student Housing with the factor Strenghts Pure player in student housing Defensive & solid asset class Long term owner & operator Diversified continental BE-REIT Full value chain in house Sustainable growth strategy Young portfolio Focus on earnings per share (EPS) Cooperation with universities & co
Slide 44: Market drivers
Market drivers • Rise in international students • Brexit & affordable education on the continent Existing shortage • International mobility Professionalisation of the market • Increased access to higher education Further consolidation • Increase in ETP’s (English Taught Programs) More regula
Slide 45: Xior Student Housing structure
XIOR STUDENT HOUSING (Public RREC) Limited liability company (“naamloze vennootschap”) Registered office: Frankrijklei 64-68, 2000 Antwerp KBO 0547.972.794 (RPR Antwerp, Antwerp Department) Belgian Public REIT (BE-REIT) STRUCTURE Aloxe NV, the holding company held by the CEO (82%) and CFO
Slide 46: Xior Student Housing NV contact
Xior Student Housing NV +32 3 257 04 89 Frankrijklei 64-68 2000 Antwerp Belgium www.xior.eu ir@xior.be Follow the #xiorfamily 46
Slide 47: Disclaimer
This presentation has been prepared by the management of XIOR STUDENT HOUSING NV (the "Company") and the Company assumes responsibility for the information contained in this presentation. It does not constitute or form part of, and should not be construed as, an offer, solicitation or invitation to