Deutsche Euroshop Ag · XETR:DEQ

Deutsche Euroshop — Deutsche Euroshop Ag Akt — Q3 2020 Earnings Presentation

21 slides from Deutsche Euroshop's earnings presentation, Nov 13, 2020

1. Slide 1: Conference Call Quarterly Statement 9M 2020

   CONFERENCE CALL Quarterly Statement 9M 2020 13 November 2020

2. Slide 2: Update on Business Activities - Summary

   CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Update on Business Activities - Summary Operations  Footfall numbers: approx. 78% of normal levels (until end of October 2020)  Footfall numbers vary in a range from 70% to 95% for the centers  Tenant turnover (Q3 2020) improved to

3. Slide 3: Update on Business Activities - Summary (Financials & Liquidity)

   CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Update on Business Activities - Summary Financials & Liquidity  Solid cash position DES Group: €213m (30 September 2020)  Signing of credit line facility of €150m (until 2024) in January 2020  Signing of two loan contracts since sta

4. Slide 4: Current Regulations in DES' Markets

   CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Current Regulations in DES’ Markets* Germany  “Soft Lockdown” – until 30 November 2020  Entertainment, fitness and beauty closed  F&B only for take away  Max. 1 customer per 10 m2 shop area Austria  “Soft Lockdown” – until 30 Nove

5. Slide 5: Corona Impact – Footfall

   CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Corona Impact – Footfall Development of the average daily frequency since the beginning of 2020 per month Lockdown I Reopening VAT Reduction avg. daily footfall 2019 78% January February March April May June July August September Octob

6. Slide 6: Corona Impact – Retail Turnover

   CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Corona Impact – Retail Turnover Development of retail turnover in the German centers 2020 compared to the previous year March April May June July August September 0% -12% -10% -11% -18% -33% -20% -48% -69% -40% -60% -80% 6 SHOPPING CEN

7. Slide 7: Corona Impact – Collection Rates 2020

   CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Corona Impact – Collection Rates 2020 Q1: 98% Q2: 55% Q3: 92% 100 % 80 % 60 % 96 % 94 % 92 % 96 % 89 % 40 % 64 % 49 % 54 % 20 % 0% March April May June July August September October 7 SHOPPING CENTERS

8. Slide 8: Revenues – small top line effect from Corona-pandemic

   CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Revenues – small top line effect from Corona-pandemic REVENUE  Recognition of rental income according to lease in € million contracts 167.6  Only slight decrease in revenues to €164.4m 164.4 (- 1.9%)  Mainly influenced by the situat

9. Slide 9: EBIT burdened by the impact of the Corona-pandemic

   CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 EBIT burdened by the impact of the Corona-pandemic EBIT  EBIT decreased to €118.1m (-19.6%) in € million  Decline due to the higher allowances for rent 146,9 receivables due on 30.09.2020 (€ -25.8m) and the Corona-related decline in

10. Slide 10: Financial Result slightly increased

    CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Financial Result1 slightly increased  Financial result slightly increased (€+0.6m). Financial result1 in € million  Interest expenses reduced by €4.6m due to favourable refinancings (Rhein-Neckar-Zentrum Viernheim and A10 Center Wild

11. Slide 11: EBT burdened by the impact of the Corona-pandemic

    CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 EBT1 burdened by the impact of the Corona-pandemic EBT1 in € million 121.6  EBT (excl. valuation) significantly below previous year -23.2% (€-28.2m) due lower operating results -23.2% 93.4  Interest savings with positive impact (€+4.

12. Slide 12: EPRA Earnings

    CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 EPRA Earnings EPRA earnings EPRA EARNINGS 01.01. – 30.09.2020 01.01. – 30.09.2019 in € million (per share in €) in € thousand per share in € thousand per share in € in € 120.5 Consolidated profit -105,533 -1.71 93,340 1.51 (€1.95) Valu

13. Slide 13: Consolidated Result – dominated by negative valuation result

    CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Consolidated Result – dominated by negative valuation result Consolidated result Consolidated result decreased in total by €-198.8m. in € million (per share in €) The following effects are included in that change: 93.3  Valuation resu

14. Slide 14: Funds from Operations (FFO)

    CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Funds from Operations (FFO) FFO  FFO of €90.9m declined to previous years level in € million (per share in €) (€111.7m), mainly influenced by corona-related lower revenues and higher allowances for rent receivables  FFO per share dec

15. Slide 15: Balance Sheet 30 September 2020 – strong as before

    CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Balance Sheet 30 September 2020 – strong as before BALANCE SHEET STRUCTURE  Equity ratio stands at a solid 56.3% in € million  LTV unchanged by 31.5% Assets Liabilities (“look-through”: 34.3%3) 4,558.6 4,558.6  Group cash position:

16. Slide 16: Loan Structure

    CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Loan Structure1,2 PRINCIPLE AMOUNTS SHARE OF AVG. INTEREST LOCKIN DURATION (€ MILLION) TOTAL LOAN INTEREST RATE Up to 1 year 2.6 0.2% 3.37% 1 to 5 years 2.5 550.2 36.5% 3.12% 5 to 10 years 7.3 692.9 46.0% 2.37% Over 10 years 10.5 262.2

17. Slide 17: Loan Maturities until 2026

    CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Loan Maturities until 20261,2 END OF FIXED INTEREST REGULAR PERIODS RESPECTIVELY REDEMPTION IN € MILLION EXPIRING LOANS AVG. INTEREST RATE PAYMENTS TOTAL MATURITIES Already fixed: 2020 134.1 4.52% 2.6 136.7 €139.9m, 1.68%, 10y (01/2020

18. Slide 18: Outlook

    CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Outlook Leasing  stabilisation of situation and arrangements with tenants as well as releasing activities as key tasks for the coming months Digital Mall  now connected to Google‘s „See what‘s in store“ feature (concept)  delivery c

19. Slide 19: Update Digital Mall - Onboarding

    CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Update Digital Mall - Onboarding 76 DIGITAL MALL RETAIL PARTNERS CENTERS LIVE 56 2.8M AVAILABLE 750 SHOPS LIVE PRODUCTS 19 Source: ECE SHOPPING CENTERS

20. Slide 20: Financial Calendar

    CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Financial Calendar 2020 2021 12.11. Quarterly Statement 9M 2020 07.-08.01. Oddo BHF Forum (virtual) 25.11 DZ Bank Equity Conference (virtual) 11.-13.01. Bank of America SMID Cap Conference 2021(virtual) 01.12. Berenberg European Confer

21. Slide 21: Contact

    CONFERENCE CALL - QUARTERLY STATEMENT 9M 2020 - 13 NOVEMBER 2020 Contact Deutsche EuroShop AG instagram.com/deutscheeuroshop Investor & Public Relations Heegbarg 36 ir-mall.com 22391 Hamburg facebook.com/euroshop flickr.com/desag Tel. +49 (40) 41 35 79 – 20/ – 22 Fax +49 (40) 41 35 79 – 29 slideshar

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