Singapore Exchange Ltd. · SGX:S68

Singapore Exchange — Soilbuild Business Space REIT — H1 2015 Earnings Presentation

24 slides from Singapore Exchange's earnings presentation, Jul 14, 2015

  1. Slide 1: 2Q & 1H FY2015 Results Presentation

    2Q & 1H FY2015 Results Presentation 14 July 2015

  2. Slide 2: Disclaimer

    Disclaimer This presentation should be read in conjunction with the financial statements of Soilbuild Business Space REIT for the second quarter from 1 April 2015 to 30 June 2015 (hereinafter referred to 2Q FY2015) and half year ended 30 June 2015 (hereinafter referred to 1H FY2015). This presentati

  3. Slide 3: Content

    Content Key Highlights 4 2Q FY2015 & 1H FY2015 Financial Performance 6 Financial Position / Capital Management 11 Portfolio Update 14 Market Update and Outlook 20 3

  4. Slide 4: Key Highlights

    $8 SOILBUILD BUSINESS SPACE REIT Key Highlights

  5. Slide 5: Key Highlights of 2Q FY2015 and 1H FY2015

    Key Highlights of 2Q FY2015 and 1H FY2015 • Gross revenue increased 17.2% year on year (“y-o-y”) to S$19.6 million and net 2Q FY2015 property income (“NPI”) grew 19.0% to S$16.7 million. Results • Distribution per Unit increased by 7.7% y-o-y to SGD 1.615 cents in 2Q FY2015 from SGD 1.500 cents in 2

  6. Slide 6: Financial Performance

    Financial Performance 2Q FY2015 & 1H FY2015

  7. Slide 7: Distribution per Unit

    Distribution per Unit 2Q FY2015 vs 2Q FY2014 2Q FY2015 2Q FY2014 Variance Distributable Income (S$’000) 14,304 12,134 17.9% Distribution per Unit (“DPU”) (cents) 1.615(1) 1.500 7.7% 1H FY2015 vs 1H FY2014 1H FY2015 1H FY2014 Variance Distributable Income (S$’000) 27,629 24,740 11.7% Distribution per

  8. Slide 8: 2Q FY2015 Financial Results

    2Q FY2015 Financial Results For the period from 1 April 2015 to 30 June 2015 2Q FY2015 2Q FY2014 Variance (S$’000) Gross Revenue 19,590 16,708 17.2% Less Property Expenses (2,878) (2,666) (8.0%) Net Property Income 16,712 14,042 19.0% Interest Income 210 - n.m.3 Finance Expenses(1) (3,496) (2,312) (

  9. Slide 9: 1H FY2015 Financial Results

    1H FY2015 Financial Results For the period from 1 January 2015 to 30 June 2015 1H FY2015 1H FY2014 Variance (S$’000) Gross Revenue 38,205 33,547 13.9% Less Property Expenses (5,695) (5,310) (7.3%) Net Property Income 32,510 28,237 15.1% Interest Income 257 - n.m. Finance Expenses(1) (6,489) (4,474)

  10. Slide 10: 2Q FY2015 Distribution

    2Q FY2015 Distribution Distribution Details 2Q FY2015 Distribution Period 5 May 2015 – 30 June 2015 Distribution Amount SGD 0.9871 cents per unit Distribution Timetable 2Q FY2015 Last Day of Trading on “cum” Basis Monday, 20 July 2015 Ex-Date Tuesday, 21 July 2015 Books Closure Date Thursday, 23 Jul

  11. Slide 11: Financial Position / Capital Management

    Financial Position / Capital Management

  12. Slide 12: 2Q FY2015 Financial Results – Balance Sheet

    2Q FY2015 Financial Results – Balance Sheet All figures S$’000 unless otherwise stated Unaudited Actual Audited Actual as at as at 30 June 2015 31 December 2014 Investment Properties 1,186,047 1,030,700 Other Assets 20,337 23,272 Total Assets 1,206,384 1,053,972 Borrowings 399,833 368,924 Other Liab

  13. Slide 13: Prudent Capital Management

    Prudent Capital Management 1) Aggregate leverage allows headroom of S$75 million Total Bank Financing Facilities Available S$190 million Aggregate Leverage(2) 36.3% Total Bank Debt Drawn Down S$185 million Average All-in Interest Cost(3) 3.49% Multicurrency Debt Issuance Programme drawn S$100 millio

  14. Slide 14: Portfolio Update

    $8 SOILBUILD BUSINESS SPACE REIT Portfolio Update

  15. Slide 15: Portfolio Overview

    Portfolio Overview Portfolio Summary Valuation(1) S$1,186.0 million Total NLA 3.53 million sq ft Tellus Marine WALE (by GRI) 4.9 years COS Printers NK Ingredients NLA: 77,162 sq ft (2) NLA: 58,752 sq ft NLA: 312,375 sq ft Valuation: S$15.0 million (2) Occupancy 99.8% Valuation: S$11.2 million Valuat

  16. Slide 16: Leasing Update – 2Q FY2015

    Leasing Update – 2Q FY2015 Avg. Gross Rent Avg. Gross Rent Area Rental No. of Leases before Renewal after Renewal (sqft) Reversion ($ psf) ($ psf) Renewal Leases1 6 56,543 1.81 1.90 5.0% New leases2 6 155,767 1.32 1.34 1.6% 1 Renewal leases includes forward renewals of 12,938 sqft 2 New leases inclu

  17. Slide 17: Well Staggered Lease Expiry Profile

    Well Staggered Lease Expiry Profile Portfolio Lease Expiry Profile By % of NLA & % of Rental Income WALE (by NLA) 4.5 years WALE40% 4.9 years (by Gross Rental Income) 35% 33.1% 33.9% 24.7% 30% 26.3% 25.9% 25% 20% 14.5% 15.0% 15% 13.1% 12.1% 11.5% 10% 5% 11.8% 8.6% 1.3% 1.0% 0% 2015 2016 2017 2018 20

  18. Slide 18: Well-Diversified Portfolio

    Well-Diversified Portfolio 1. Portfolio Income Spread 2. Well-spread Trade Sectors(1) By Property By Gross Rental Income 2% 4% Marine Offshore 5% 12% Eightrium @ Changi Business Park 14.0% 14.0% 2% Oil & Gas 1% Tuas Connection Precision Engineering, Electrical and 1% 2.2% West Park BizCentral Machin

  19. Slide 19: Quality & Diverse Tenant Base

    Quality & Diverse Tenant Base Top 10 Tenants By Gross Rental Income (1) Speedy-Tech 2.3% SB Storage Pte Ltd 2.6% Nestle Singapore (Pte) Ltd 3.2% Mediatek Singapore Pte Ltd 3.3% Autodesk Asia Pte Ltd 3.7% John, Wiley & Sons (Asia) Pte Ltd 4.0% KTL Offshore Pte Ltd 4.2% SPRING Singapore 4.3% NK Ingred

  20. Slide 20: Market Update and Outlook

    $8 SOILBUILD BUSINESS SPACE REIT Market Update and Outlook

  21. Slide 21: Rental Index of Industrial Space

    Rental Index of Industrial Space Rental Index (4Q 2012: 100) 1Q 2015 Year-on-Year growth: 110.0 0.8% 105.0 -1.9% 100.0 -4.6% 95.0 90.0 85.0 80.0 75.0 70.0 Business Park Multi-User Factory (Island-wide) Multi-User Factory (West Region) Source: JTC 21 21

  22. Slide 22: Supply, Demand and Occupancy

    Supply, Demand and Occupancy Business Park (Island-wide) 3-year Average Annual Supply 5-year Average Annual Supply: 1.2 million sq ft (Potential): 1.4 million sq ft (Million sq ft) 5-year Average Annual Demand: 0.9 million sq ft 2.5 100% 2.1 2.2 2.1 2.0 2.0 1.8 90% 1.6 1.4 1.4 80% 1.5 1.2 1.1 70% 1.

  23. Slide 23: Market Update and Outlook

    Market Update and Outlook • Singapore’s economy beat economists’ expectations and advanced 2.6% in 1Q 2015 over the same period a year ago in comparison to 2.1% in 4Q 2014 despite contractions in the Singapore’s manufacturing sector. Economy • According to Ministry of Trade and Industry, Goods Produ

  24. Slide 24: Thank You

    Thank You Key Contacts: Shane Hagan Roy Teo Chief Executive Officer Chief Operating Officer Tel: (65) 6415 5980 Tel: (65) 6415 5983 Email: shane.hagan@soilbuild.com Email: roy.teo@soilbuild.com

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