Slide 1: FY2020 Financial Results Presentation
FY2020 FINANCIAL RESULTS Presentation 26 February 2021
Slide 2: 1. Highlights 2020
1. Highlights 2020
Slide 3: Record results despite Covid-19 – Strong start into 2021
Record results despite Covid-19 – Strong start into 2021 Highlights FY2020 financial and operating performance Record net profit of €370.9 million, an 80.4% YoY increase Strong business growth across the portfolio Signed and renewed rental income of €45.2mm Total signed rental income of € 18
Slide 4: Ongoing strong financial performance
Ongoing strong financial performance €3,843m Record growth of total portfolio value1 €2,771m +39% 2019 2020 €185.2m Continued strong growth in committed €155.0m annualised rental income1 +20% 2019 2020 €370.9m Record net profit due to development €205.6m and letting activities at record levels
Slide 5: Carbon neutrality by 2025 target introduced as part of enhanced ESG goals for 2021
Carbon neutrality by 2025 target introduced as part of enhanced ESG goals for 2021 VGP Renewable Energy N.V. assisting clients in making their businesses more sustainable Green power generation capacity to 42.5 MWp; target increased to 200MWp 34.9% of the total portfolio has now been environmentally
Slide 6: 2. Operational performance
2. Operational performance
Slide 7: Leasing activity remained robust and broad-based across sectors
Leasing activity remained robust and broad-based across sectors Committed annualised rental income and number of tenancy contracts1 €200 350 A nnualised Rent income - (€ million) €175 300 €150 250 Number of contracts €125 200 €100 150 €75 100 €50 €25 50 €- 0 2015 2016 2017 2018 2019 2020 Rolling ren
Slide 8: …driving resilient portfolio growth …
…driving resilient portfolio growth … Total portfolio – including 100% JV (€ million) 3,843 Own portfolio 4,000 JVs-related1 3,500 2,771 3,000 1,936 2,500 2,923 1,506 2,000 1,978 1,195 1,500 1,360 878 1,000 645 920 500 793 550 628 576 - 2016 2017 2018 2019 2020 Capital expenditure €337.0m €261.0m €3
Slide 9: …which has resulted in a diversified investment portfolio
…which has resulted in a diversified investment portfolio Investment portfolio breakdown 1 Country breakdown Completed vs Under Construction vs Land Bank Hungary Slovakia €93mm – 2% Development land €91mm €399mm 3% Other Romania 10% €140mm €120mm 4% 3% Netherlands Under €276mm – 7% Construction Spai
Slide 10: Portfolio leased on a long-term basis to a diversified and blue-chip customer base
Portfolio leased on a long-term basis to a diversified and blue-chip customer base Weighted average term of the portfolio Blue-chip top 10 Tenants (JVs at 100%) Combined 8.5 years Krauss Maffei 15.0% Amazon 6.2% JV 8.0 years Rhenus Logistics 4.4% Own 9.9 years Drylock Technologies 2.6% BMW Group 2.6
Slide 11: Record delivery of new developments in 2020
Record delivery of new developments in 2020 During FY 2020 a record of 27 buildings were delivered, representing 531,000 m2 Largest share of new developments delivered for tenants active in: - light industrial (43%) VGP Park Halle, Germany VGP Park Valsamoggia, Italy - e-commerce (28%) - logisti
Slide 12: The number of mostly pre-let projects under construction has increased
The number of mostly pre-let projects under construction has increased At Dec 2020, 33 buildings were under construction, representing a record 869,000 m2 This equates to € 55.2 million of new lease contracts The portfolio Under Construction is 79% pre-let Western Europe represents 86% of th
Slide 13: Well advanced land bank to support future growth
Well advanced land bank to support future growth Build-up of Land bank (m2) Land bank1 – geographic breakdown 9,140,000 1,490,000 7,650,000 Other 11% 2,180,000 Spain 5% Germany 21% 5,470,000 Italy 6% 4,410,000 2,570,000 Slovakia 9% 1,510,000 Netherlands 17% Romania 15% Czech Republic 16% Land owned
Slide 14: 2. Financial performance
2. Financial performance
Slide 15: Income Statement
Income Statement Operating profit up €165.3mm to €370.9mm Increase driven by higher net valuation gain (up €178.2mm) and lower financial expense (down €5.6 mm) compensating higher admin expenses (€11.2mm) On a “look-through”- basis 1 net rental is up by € 8.6 mm YoY to € 55.3mm Net valuation
Slide 16: Income Statement – by segment
Income Statement – by segment Investment Development Property and Asset Management € million € million € million Share in result of JVs up €9.4 million Valuation gains/(losses) up €178.9 Revenues include asset YoY corresponds to VGP’s share in million YoY – Positively affected by management, p
Slide 17: Balance sheet - assets
Balance sheet - assets Investment Properties of €920.2mm Completed portfolio €166mm (’19: €94mm) Under Construction €457mm (‘19: €338mm) Development land €297mm (‘19: €361mm) Investment in Joint Ventures and associates increased to €654.8 mm by €267.5 mm, reflecting: JV1: €83.9mm (incl.
Slide 18: Balance sheet – Shareholders’ equity and liabilities
Balance sheet – Shareholders’ equity and liabilities Shareholders’ equity of €1,306mm, up €606mm since Dec ’19 Includes effect of €309 mm of two share placements Total liabilities of €922 mm (2019: €925 mm) Financial debt of €783 mm (2019: €780 mm) Gearing at Dec ‘20 stood at 25.2%1 Well
Slide 19: 3. Summary and Outlook
3. Summary and Outlook
Slide 20: Summary and Outlook
Summary and Outlook Summary Despite Covid-19 challenges proven resilient platform with record results Recent activities have enhanced foundation for further successful development in 2021 Sustainability strategy closely linked to future business development and success Outlook Whilst the out
Slide 21: Appendix
Appendix
Slide 22: Track record of the first two joint ventures: in excess of € 1.3 billion of net cash proceeds
Track record of the first two joint ventures: in excess of € 1.3 billion of net cash proceeds First JV: VGP European Logistics Second JV: VGP European Logistics 2 €176mm €96mm GAV: c.€500mm GAV: c.€175mm Closing I net cash Closing I net cash (May ‘16) 15 parks (28 buildings) in Germany, Czech (Jul ‘
Slide 23: Third Joint Venture is initially focused on the development of VGP Park München
Third Joint Venture is initially focused on the development of VGP Park München In June 2020, VGP and Allianz Real Estate entered into a new 50:50 joint venture for the development of VGP Park München Managerial and governance setup is similar to the first two joint ventures VGP serving the ne
Slide 24: VGP Park München
VGP Park München Building Land plot (m 2 ) Total GLA (m 2 ) Tenant GERMUER - A1 95,148 38,380 BMW GERMUER - A2 37,523 15,136 BMW GERMUER - PHN 4,615 22,213 KMT GERMUER - B 202,165 81,548 KMT GERMUER - E 97,555 39,351 KMT GERMUER - F 18,559 7,486 KMT GERMUER - PHS 4,615 19,418 KMT GERMUER - C 120,162
Slide 25: VGP Park München
VGP Park München 25
Slide 26: VGP Park Laatzen
VGP Park Laatzen LOCATION —Laatzen (Hannover) • All buildings under construction Building Land plot (m 2 ) Total GLA (m 2 ) GERLAA - A 114,212 54,728 GERLAA - B 24,646 11,810 GERLAA - C 97,438 50,770 GERLAA - D 24,346 8,456 GERLAA - Parking 24,346 12,478 Total 284, 988 138,242 26
Slide 27: VGP Park Gießen - Am Alten Flughafen
VGP Park Gießen - Am Alten Flughafen Secured sought after location in ‘transport hub’ city of Gießen, Hesse 27
Slide 28: VGP Park Gießen - Am Alten Flughafen
VGP Park Gießen - Am Alten Flughafen LOCATION —Gießen, Hessen • 316,603 m2 development land acquired in May ‘20 • Construction works expected to start early 2021 28
Slide 29: VGP Park Magdeburg
VGP Park Magdeburg 29
Slide 30: VGP Park Magdeburg
VGP Park Magdeburg LOCATION —Magdeburg (Osterweddingen) Building Land Plot Total GLA GERMAG - A 54,619 m² 26,365 m² • Circa 240,000 inhabitants GERMAG - B 72,715 m² 35,100 m² GERMAG - C 65,522 m² 31,628 m² • Capital city of Saxony-Anhalt GERMAG - D 65,522 m² 31,628 m² GERMAG - E 115,870 m² 55,931 m²
Slide 31: VGP Park Bratislava
VGP Park Bratislava Building Land Plot Total GLA Status SVKBRA-A 52,359 m?* 24,646 m*__ Development SVKBRA - B 59,090 m? 27,814 m?__ Development SVKBRA - C 93,064 m? 43,806 m? _ Development SVKBRA - D 133,992 m2 63,071 m*__ Development SVKBRA - E 146,564 m? 68,989 m?__ Development SVKBRA-G 52,907 m?
Slide 32: VGP Park Moerdijk
VGP Park Moerdijk LOCATION —Moerdijk, The Netherlands • Cooperation with Port of Moerdijk to develop a 140 ha park which has been irrevocably permitted • Location directly adjacent to one of the five deep- sea ports in The Netherlands with excellent hinterland connections by road, water and rail • L
Slide 33: VGP Park Leipzig Flughafen
VGP Park Leipzig Flughafen LOCATION –Leipzig - Schkopau Phase I • Land area: First part acquired – 47,000 m² • Building A to be started up in Q2-21 • Expect to sign lease agreement within next few weeks Phase II • Land area under option • Target 1 to acquire by Dec-21 Building Land plot (m 2 ) Total
Slide 34: VGP Park Heidelberg - Wiesloch
VGP Park Heidelberg - Wiesloch LOCATION –Heidelberg - Wiesloch Building Land plot (m 2 ) Total GLA (m 2 ) GERHDW - A 37,652 21,671 • Brownfield GERHDW - B 23,607 13,587 • Seller: Heidelberg Druckmaschinen AG GERHDW - C 27,610 15,891 • Purchase deed signed GERHDW - D 40,998 23,597 • Start-up fist bui
Slide 35: VGP Park Sevilla – Ciudad de la Imagen
VGP Park Sevilla – Ciudad de la Imagen LOCATION — Sevilla • Last Mile suitable location • Land area: circa 55,000 m² Building Land Plot Total GLA Status ESPVIU - A 30,792 m² 16,128 m² Development ESPCIU - B 24,199 m² 12,675 m² Development TOTAL 54,991 m² 28,803 m² 35
Slide 36: VGP Park Bucharest
VGP Park Bucharest LOCATION — Bucharest (A3/Ring road) • Land area: circa 250,000 m² • Construction works expected to start: Q2 2021 Building Land Plot Total GLA Status ROMBUC - A 37,535 m² 16,340 m² Development ROMBUC - B 28,206 m² 12,279 m² Development ROMBUC - C 88,079 m² 38,343 m² Development RO
Slide 37: Disclaimer
Disclaimer ABOUT VGP VGP is a pan-European developer, manager and owner of high-quality logistics and semi-industrial real estate. VGP operates a fully integrated business model with capabilities and longstanding expertise across the value chain. The company has an owned and committed development la