Frasers Centrepoint Trust · SGX:J69U

Frasers Centrepoint Trust — Q2 FY2012 Earnings Presentation

33 slides from Frasers Centrepoint Trust's earnings presentation, Apr 23, 2012

  1. Slide 1: Frasers Centrepoint Trust 2nd Quarter FY12 results

    Frasers Centrepoint Trust 2nd Quarter FY12 results 23 April 2012

  2. Slide 2: Important notice

    Important notice 2 Certain statements in this Presentation constitute “forward-looking statements”, including forward-looking financial information. Such forward-looking statement and financial information involve known and unknown risks, uncertainties and other factors which may cause the actual re

  3. Slide 3: Agenda

     Agenda 3  Results  Forecast versus Actual Results  Balance sheet  Operational performance  Causeway Point AEI (Asset Enhancement Initiative) update  Summary  Outlook

  4. Slide 4: Results

    Results

  5. Slide 5: 2Q12 DPU up 21% to new all-time high

     Results 5 2Q12 DPU up 21% to new all-time high 3 months ended 31 March $’000 2Q12 2Q11 Variance Gross Revenue 36,725 28,830 ▲ 27.4% Property Expenses (10,521) (8,738) ▲ 20.4% Net Property Income 26,204 20,092 ▲ 30.4% Income available for distribution 21,262 16,277 ▲ 30.6% Distribution to Unitholde

  6. Slide 6: Strong results for 1H12

     Results 6 Strong results for 1H12 6 months ended 31 March $’000 1H12 1H11 Variance Gross Revenue 72,610 56,439 ▲ 28.7% Property Expenses (21,540) (17,734) ▲ 21.5% Net Property Income 51,070 38,705 ▲ 31.9% Income available for distribution 40,969 31,291 ▲ 30.9% Distribution to Unitholders 38,699* 3

  7. Slide 7: Consistent DPU growth

     Results 7 Consistent DPU growth Distribution per unit (DPU) 8.20₵ 8.32₵ 7.29₵ 7.51₵ 6.55₵ 4.70₵ FY07 FY08 FY09 FY10 FY11 1H12

  8. Slide 8: Well-balanced growth underpinned by multiple drivers

     Results 8 Well-balanced growth underpinned by multiple drivers Year-on-year revenue growth is driven by: Gross Revenue (S$ m) • Higher revenue contribution from Causeway 2Q12 2Q11 Point following the completion of substantial portion of its asset enhancement work ▲ 27.4% • Full-quarter contributio

  9. Slide 9: Portfolio NPI up 30% on strong uplift from Causeway Point and Bedok Point

     Results 9 Portfolio NPI up 30% on strong uplift from Causeway Point and Bedok Point Net Property Income (NPI) (S$ m) 2Q12 2Q11 ▲ 30.4% 26.20 20.09 ▲ 52.9% ▼ 3.8% 12.26 8.02 8.27 8.59 ▲ 6.9% ▲ 7.0% 2.48 2.32 1.95 1.24 1.16 FCT Portfolio Causeway Point Northpoint YewTee Point Anchor Point Bedok Poin

  10. Slide 10: Forecast versus Actual Results

    Forecast versus Actual Results

  11. Slide 11: 1H12 actual results are better than forecast

     Forecast versus Actual Results 11 1H12 actual results are better than forecast* FCT 1H12 Performance S$ m (except DPU) Actual Forecast +3.4% • Based on 100% payout of 4.98₵ (+16.4%) 72.61 70.21 • Based on actual payout of +8.6% 4.70₵ (+9.8%) 51.07 +16.8% 47.09 40.97 35.20 4.28₵ Gross Revenue Net P

  12. Slide 12: Bedok Point 1H12 performance is better than forecast

     Forecast versus Actual Results 12 Bedok Point 1H12 performance is better than forecast* Bedok Point 1H12 Performance S$ m Actual Forecast +1.2% 5.91 5.85 +7.1% 3.73 3.48 Gross Revenue Net Property Income * As set out in the Profit Forecast in Appendix B of the Circular dated 24 August 2011 issued

  13. Slide 13: Balance sheet

    Balance sheet

  14. Slide 14: Healthy gearing level, lower cost of borrowings

     Balance sheet 14 Healthy gearing level, lower cost of borrowings As at 31 Mar 12 31 Dec 11 30 Sep 11 Gearing ratio1 30.9% 30.8% 31.3% Interest cover2 5.49 times 5.13times 4.62 times Average cost of 3.04% 3.06% 3.01% borrowings Total debt outstanding $554m3 $549m $559m S&P: BBB+/Stable (wef 24.02.0

  15. Slide 15: NAV per unit improves to S$1.42

     Balance sheet 15 NAV per unit improves to S$1.42 As at 31 Mar 2012 30 Sep 2011 Total assets $1,794m $1,787m Net assets $1,166m $1,152m Total units in issue 822,541,6171 819,816,5842 NAV per unit $1.423 $1.404 1. Excludes 347,679 units to be issued in partial payment of 1Q12 management fee. 2. Excl

  16. Slide 16: No major refinancing needs in the near-term

     Balance sheet 16 No major refinancing needs in the near-term FCT’s Debt Maturity Profile as at 31 March 2012 (weight average debt maturity: 3.07 years) Medium Term Note (MTN) $264m Short-term unsecured bank borrowings Secured Term Loan $80m $5m $60m $70m $55m $75m $25m FY2012 FY2013 FY2014 FY2015

  17. Slide 17: Operational performance

    Operational performance

  18. Slide 18: Portfolio occupancy stays healthy

     Operational performance 18 Portfolio occupancy stays healthy Occupancy by Mall as at 31 Mar 11 30 Jun 11 30 Sep 11 31 Dec 11 31 Mar 12 Causeway Point 69.0% 78.3% 92.0% 95.5% 91.3%1 Northpoint 99.1% 98.4% 98.3% 99.7% 92.5%2 YewTee Point 95.8% 95.6% 95.6% 98.7% 97.0% Anchorpoint 97.6% 97.6% 98.6% 10

  19. Slide 19: Higher average rental rates for lease renewals in 2Q12

     Operational performance 19 Higher average rental rates for lease renewals in 2Q12 NLA (sq ft) Change compared to 2Q12 No. of renewals As % Mall’s NLA1 preceding rental rates2 renewed Causeway Point 2 33,693 8.1% ▲ 7.2% Northpoint 9 11,765 5.0% ▲ 12.5% Bedok Point Nil Nil - - YewTee Point 16 27,428

  20. Slide 20: Well-staggered lease expiry profile, improved WALE

     Operational performance 20 Well-staggered lease expiry profile, improved WALE Expiry profile as % of total gross rental income Weighted Average Lease Expiry (WALE) 32.8% By NLA 2.03 years 27.9% (1Q12: 1.86 years) 22.8% By Gross Rent 1.95 years (1Q12: 1.92 years) 10.4% 4.0% 0.9% 1.2% Lease expiry1

  21. Slide 21: Causeway Point AEI (Asset Enhancement Initiative) update

    Causeway Point AEI (Asset Enhancement Initiative) update

  22. Slide 22: AEI on-track for full completion in Dec 2012

     Causeway Point AEI update 22 AEI on-track for full completion in Dec 2012 • On-going AEI at levels 5 and 7 of the mall to create new food precinct and outdoor play area • Occupancy expected to improve to 100% upon completion of AEI Part of Causeway Point before AEI Perspective of new food precinct

  23. Slide 23: Full occupancy projected upon completion of AEI

     Causeway Point AEI update 23 Full occupancy projected upon completion of AEI Average Occupancy at Causeway Point 110% @ 31 Mar 2012: 91% 100% 90% Refurbishment 80% commenced Projection 70% 60% Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec 2010 2011 2012

  24. Slide 24: AEI to add 22% NPI growth to Causeway Point's NPI

     Causeway Point AEI update 24 AEI to add 22% NPI growth to Causeway Point’s NPI Projected Financial Projections Before AEI Change after AEI Through reconfiguring big boxes & Average rent per sq ft $10.2 $12.2 20% improving tenant mix NPI $42.2m $51.5m 22% Incremental NPI of $9.3m Capex - $71.8m - R

  25. Slide 25: Summary

    Summary

  26. Slide 26: Strong 2Q and 1H performance for 2012

     Summary 26 Strong 2Q and 1H performance for 2012 • 2Q12 DPU up 21% to 2.50 cents, a new all-time high • Gross Revenue (+27% YoY) and NPI (+ 30% YoY)  Driven by Causeway Point performance, Bedok Point full-quarter contribution and higher rental rates  These positive factors are expected to sustai

  27. Slide 27: Outlook

    Outlook

  28. Slide 28: Positive outlook for suburban retail market sector

     Outlook 28 Positive outlook for suburban retail market sector • Resilience: Suburban retail sector in Singapore is one of the most resilient sectors through economic cycles. • Positive factors: Low employment rate, growing median household income, among other factor, continue to underpin the secto

  29. Slide 29: Thank you

    Thank you Analyst & media contact: Chen Fung-Leng Frasers Centrepoint Asset Management Ltd Tel: (65) 6277-2657 Email: fungleng.chen@fraserscentrepoint.com Website: www.fct.sg

  30. Slide 30: 2Q12 Distribution details

     Appendix 30 2Q12 Distribution details Distribution period 1 January to 31 March 2012 Distribution per unit 2.50 cents Last Day of Trading on “cum” Basis 27 April 2012, 5.00 pm Ex-date 30 April 2012, 9.00 am Books closure date 3 May 2012 at 5.00 pm Payment date 30 May 2012

  31. Slide 31: 2Q12 year-on-year and quarter-on-quarter comparison

     Appendix 31 2Q12 year-on-year and quarter-on-quarter comparison Year-on-Year Comparison Quarter-on-Quarter Comparison 3 months ended 31 March 2Q12 $’000 2Q11 % Change 1Q12 % Change Gross Revenue 36,725 28,830 ▲ 27.4% 35,884 ▲ 2.3% Property Expenses (10,521) (8,737) ▲ 20.4% (11,018)  4.5% Net Prop

  32. Slide 32: Summary information of portfolio

     Appendix 32 Summary information of portfolio - Total Portfolio value: S$1,697 million - Total NLA: 880,250 sq ft FCT Portfolio Causeway Point Northpoint Bedok Point YewTee Point Anchorpoint as at 31 March 2012 Net Lettable Area 418,543 sq ft 235,584 sq ft 81,393 sq ft 73,120 sq ft 71,610 sq ft Yew

  33. Slide 33: 2Q12 Gross Revenue by Assets

     Appendix 33 2Q12 Gross Revenue by Assets YewTee Point Anchorpoint $2.1m $3.3m 5.7% 9.0% Bedok Point Causeway Point $16.8m $3.0m 45.6% 8.3% Northpoint $11.5m 31.4% 2Q12 total gross revenue of S$36.7 million

Frasers Centrepoint Trust — Q2 FY2012 Earnings Presentation on 6ix