Dar Al Arkan Real Estate Development Co. · TADAWUL:4300
Dar Al Arkan Real Estate Development — Q3 2022 Earnings Presentation
29 slides from Dar Al Arkan Real Estate Development's earnings presentation, 2022
Slide 1: Dar Al Arkan
DAR AL ARKAN uL_GNi jla
Slide 2: Investor Presentation Q3 2022
Investor Presentation Q3 2022 2
Slide 3: Table of Contents
Table of Contents Page No. 1. Macro Economic Overview & KSA Real Estate Market 4 2. Key Business Indicators Overview 9 3. Financial Performance Overview 12 4. Overview of Assets Portfolio 16 5. Appendix 22 3
Slide 4: Macro Economic Overview & KSA Real Estate Market
MACRO ECONOMIC OVERVIEW 1| & KSA REAL ESTATE MARKET 4
Slide 5: 2021 saw a return to growth that has accelerated in 2022
Macroeconomic Overview 2021 saw a return to growth that has accelerated in 2022 GDP Growth to Accelerate Deficit Turns to Surplus Average Brent Oil Prices in 2022 in 2022 100 10.0% 3% 2.3% 88 1.7% 8.0% 8.0% 0.2% 0.5% 80 71 71 0% 64 6.0% 6.0% 2019 2020 2021 2022E 2023P 2024P 2025P 60 54 4.5% 4.0% -3%
Slide 6: The strong long-term fundamentals of the market remain intact
KSA Real Estate Sector Overview The strong long-term fundamentals of the market remain intact Positive Demographic Trends Supply Shortages Government Support KSA Total Population (Age/Gender) Total population 35.8 million Population growth of 1.6% per year. Chronic under supply of residential ho
Slide 7: Residential & Commercial deals rose 14% (YTD) an increase of SAR 19 billion
KSA Real Estate Sector Overview Residential & Commercial deals rose 14% (YTD) an increase of SAR 19 billion 450 410 380 360 321 140.1 122.5 270 110.1 249 224 209 193 180 166 79.7 99.1 166 159 71.1 131 61.1 63.7 270.0 38.9 43.7 257.2 38.0 90 210.7 144.5 149.8 137.6 126.9 131.4 102.1 93.4 115.2 0 2011
Slide 8: The Real Estate Price Index continues its positive momentum YoY in Q3 2022
KSA Real Estate Sector Overview The Real Estate Price Index continues its positive momentum YoY in Q3 2022 KSA Real Estate Price Index (YoY) KSA Real Estate Price Index (QoQ) 1.8% 1.0% 0.9% 1.5% 1.5% 0.5% 0.5% 0.1% 0.3% 0.3% 1.2% 0.9% 0.0% 0.9% 0.7% 0.0% 0.6% 0.5% 0.4% -0.5% -0.6% 0.3% 0.0% -1.0% Q3
Slide 9: Key Business Indicators Overview
KEY BUSINESS INDICATORS 2| OVERVIEW 9
Slide 10: Q3 2022 – Key Business Indicators
Q3 2022 – Key Business Indicators Investment In Revenues (LTM) 72.3% EBITDA (LTM) 56.3% Development Properties (LTM) 8% SAR 3,815 mn SAR 1,264 mn SAR 2,967 mn (Q3 2021 : SAR 2,214 mn) (Q3 2021 : SAR 809 mn) (Q3 2021 : SAR 2,747 mn) Gross Debt/ Cash And Bank Book Value Per Share Capitalization SAR 6,
Slide 11: Dar Al Arkan Real Estate Assets
Dar Al Arkan Real Estate Assets DAAR’s Real Estate assets portfolio at cost is SAR 21.1 bn. DAAR has a strong pipeline of projects across the Kingdom, UAE and Europe totaling 13.0 mn sqm. Real Estate Properties Break up - SAR bn Total Land Area - SQM 57% 33% Project Lands Shams Ar Investments in
Slide 12: Financial Performance Overview
FINANCIAL PERFORMANCE 3| OVERVIEW 12
Slide 13: Financial Performance – Q3 2022 Profitability
Financial Performance – Q3 2022 Profitability 2,000 Quarterly Revenues (SAR mn) 700 41% Gross Profit (SAR mn) & Margin (%) 42% 41% 1,800 1,619 40% 600 563 40% 1,600 1,400 27 500 19 37% 38% 37% 36% 35% 36% 1,200 400 1,000 775 678 743 304 36% 555 568 595 268 35% 496 300 245 800 391 1,592 205 208 217 1
Slide 14: Financial Performance – Q3 2022 Cash Flow
Financial Performance – Q3 2022 Cash Flow Cash Flow – Q3 2022 (SAR mn) Income / Sources of Cash Uses of Cash / Expenses 10,000 81 225 9,000 486 1,947 2 8,000 7,000 3,000 2 6,000 5,000 743 4,000 3,000 6,608 2,000 4,636 1,000 - Starting Cash Revenue New Debt Working Capital Investment in Debt Opex Inv
Slide 15: Financial Performance – Q3 2022 Debt
Financial Performance – Q3 2022 Debt 12,000 Gross Debt Vs Net Debt (SAR mn) 10,742 40% 35% Debt* / Capitalization 10,369 10,304 10,224 10,061 35% 35% 35% 9,980 35% 34% 9,468 33% 33% 9,387 10,000 29% 7,823 30% 8,000 4,932 4,549 4,299 4,393 5,884 4,153 6,608 5,034 6,000 20% 4,636 19% 20% 19% 19% 18% 4
Slide 16: Overview of Assets Portfolio
OVERVIEW OF ASSETS 4| PORTFOLIO 16
Slide 17: Shams Ar Riyadh – Key Facts
Residential & Commercial Development Projects - KSA Shams Ar Riyadh – Key Facts Location - Situated in the Al-Ammariyah district (King Khalid Road), part of the growing northwest corridor of Riyadh, Shams Ar Riyadh is close to the heart of the city and is located just 19 km from KKI Airport and 9 km
Slide 18: Residential & Commercial Development Projects - KSA
Residential & Commercial Development Projects - KSA Parisiana South Jeddah Projects Eastern Province Projects Dar Al Mashaer Buraidah Hills - Located in Riyadh city and - Shams Al Arous is a master- - Juman project is strategically - Located in holy city of Mecca - Located in Buraidah city of Al- ea
Slide 19: Residential & Commercial Development Projects - International (Dubai)
Residential & Commercial Development Projects - International Urban Oasis Tower, Dubai Dar Al Arkan Pagani Tower, Dubai W Residences, Dubai - The Urban Oasis Tower is located in the Business - The Dar Al Arkan Pagani Tower is a - The W Residences is a residential building in one of Bay area of Dubai
Slide 20: Residential & Commercial Development Projects - International (Bosnia, Oman, Qatar)
Residential & Commercial Development Projects - International Bosnia Projects Aida, Oman Les Vagues by Elie Saab, Qatar - The site is situated in Ravne, Vareš, 38 km outside - In Dec 2021, Dar Al Arkan signed an MOU with - Les Vagues by Elie Saab valued at SAR 1 bn, Sarajevo, Capital of Bosnia & Her
Slide 21: Leasing Properties Portfolio
Leasing Properties Portfolio Al-Qasr Mall, Riyadh Land Area 61,949 m² Built up Area 220,202m² Gross Leasable Area 75,823 m² No. of floors 3 Leasable Floors plus two parking Parking 1,579 Parking Spaces Latest Activity: 88% occupancy achieved. Ice-Skating Rink and Ninja Obstacle Course offering u
Slide 22: Appendix
APPENDIX 5| 22
Slide 23: Appendix I – Statement of Financial Position
Appendix I – Statement of Financial Position SAR in 000s FY 2019 FY 2020 FY 2021 Q3 2021 Q3 2022 Investment properties, net 1,651,357 1,519,116 1,110,414 1,122,260 1,083,701 Long-term development properties 16,895,604 18,246,583 19,285,287 19,047,795 19,834,299 Property and equipment, net 79,765 72,
Slide 24: Appendix II – Statement of Profit or Loss
Appendix II – Statement of Profit or Loss YTD Sep YTD Sep SAR in 000s FY 2020 FY 2021 Q3 2021 Q3 2022 2021 2022 Revenue 1,944,854 2,493,078 1,718,014 3,039,831 595,413 742,544 Cost of revenue (1,270,204) (1,596,350) (1,089,222) (1,927,300) (378,890) (438,286) Gross profit 674,650 896,728 628,791 1,1
Slide 25: Appendix III – Statement of Cash Flows
Appendix III – Statement of Cash Flows YTD Sep YTD Sep SAR in 000s FY 2019 FY 2020 FY 2021 2021 2022 Profit before Zakat 312,389 19,379 135,442 78,077 540,362 Adjustments for: Depreciation & Amortization 55,653 56,237 48,905 37,299 34,292 Provision for expected credit losses 2,000 2,516 4,453 4,132
Slide 26: Disclaimer
Disclaimer THIS PRESENTATION IS NOT FOR PUBLICATION, RELEASE OR himself independently based solely on the prospectus in relation to such securities DISTRIBUTION, DIRECTLY OR INDIRECTLY, INTO AUSTRALIA, CANADA, (including any supplement thereto) available when orders are confirmed before taking JAPAN
Slide 27: Our Offices
OUR OFFICES RIYADH, KSA BEIJING, CHINA LONDON, UK MARBELLA, DUBAI, UAE 12622 Makkah Road, 303-309, North Tower, 50 Hans Crescent, Conrad Dubai, Al Wizarat, Beijing Kerry Centre, Knightsbridge, SPAIN Sheikh Zayed Road, Beside Riyadh Marriott Hotel, No.1 Guanghua Road, London, SW1X ONA Marbella’s Gold
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Slide 29: Thank you
Investor Relations Thank you Riyadh – Saudi Arabia Tel: +966 11 206 9888 Ext:1680 ir@alarkan.com 29
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