Mas P.l.c. · JSE:MSP
Mas P.l.c — H1 FY2023 Earnings Presentation
53 slides from Mas P.l.c's earnings presentation, March 2023
Slide 1: Results Presentation and Company Profile
GREEN PROPERTY INVESTOR IN CENTRAL AND EASTERN EUROPE Results Presentation and Company Profile on 31 December 2022
Slide 2: Table of Contents
TABLE OF CONTENTS 3 RESULTS SUMMARY & HIGHLIGHTS 4 CEE FOOTFALL, TENANTS’ SALES & COLLECTION Jul — Dec 22 5 PROGRESS WITH STRATEGIC TARGETS Dec 22 6 EARNINGS GUIDANCE Dec 22 7 EARNINGS Jul — Dec 22 vs. Jan — Jun 22 8 NET ASSET VALUE Dec 22 vs. Jun 22 9 CEE PASSING NET RENTAL INCOME & FAIR VALUE MOVE
Slide 3: Results Summary Highlights
RESULTS SUMMARY HIGHLIGHTS Six-month period to Six-month period to 31 Dec 2022 30 Jun 2022 FINANCIAL RESULTS PER SHARE (eurocents) Tangible NAV ( 9.9% y-o-y) 144 140 4 2.9% Earnings 7.61 11.38 (3.77) Adjusted distributable EPS 14.3% in six months Adjusted distributable earnings ( 43.7% y-o-y) 4.42
Slide 4: CEE Footfall, Tenants' Sales & Collection Jul-Dec 22
CEE FOOTFALL, TENANTS’ SALES & COLLECTION Jul — Dec 22 Strong Central and Eastern European LFL Footfall and Tenants’ Sales. Exceptional Collection Rates. 175% 171% 125% 149% 145% FOOTFALL LFL 2022 vs 2021 133% 122% Open-air malls 124% 116% 112% 109% 107% 107% Enclosed malls 128% 104% 164% 124% 143%
Slide 5: Progress with Strategic Targets Dec 22
PROGRESS WITH STRATEGIC TARGETS Dec 22 OPERATIONAL COMMERCIAL RESIDENTIAL ACQUISITIONS DEVELOPMENTS SALES at least 4% €600m* €200m* Target achieved annualised LFL NRI growth to Jun 2026** completion of developments (at cost) per annum, 20% net after tax Optimal capital allocation continues at a weig
Slide 6: Earnings Guidance Dec 22
EARNINGS GUIDANCE Dec 22 Assumptions for Jun 2023 guidance • WE assets are sold as per management's estimates • Secured financing is accessed as scheduled • Asset management progress in line with long term strategic target • Listed securities investments perform as expected • Residential units are d
Slide 7: Earnings Jul-Dec 22 vs. Jan-Jun 22
EARNINGS Jul — Dec 22 vs. Jan — Jun 22 Adjusted proportionate accounts Adjusted proportionate accounts Six-month period to 31 Dec 2022 Six-month period to 30 Jun 2022 Total CEE DJV WE Co Total CEE DJV WE Co Total CEE DJV WE Co EARNINGS 50,193 49,643 11,113 (15,070) 4,507 76,693 66,384 31,289 (164) (
Slide 8: Net Asset Value Dec 22 vs. Jun 22
NET ASSET VALUE Dec 22 vs. Jun 22 Adjusted proportionate accounts Adjusted proportionate accounts 31 Dec 2022 30 Jun 2022 Total CEE DJV WE Co Total CEE DJV WE Co Total CEE DJV WE Co NET ASSET VALUE 949,270 788,836 281,373 36,142 (157,081) 923,636 757,609 243,332 64,556 (141,861) 25,634 31,227 38,041
Slide 9: CEE Passing Net Rental Income & Fair Value Movements Jul-Dec 22
CEE PASSING NET RENTAL INCOME & FAIR VALUE MOVEMENTS Jul — Dec 22 Developments completed during the period Jul 22 Dec 22 Opening of Baia Mare Value Opening of Roman Value Centre extension Centre extension Sep 22 Dec 22 CEE Passing Net Rental Income Movements Passing NRI on 30 Jun 2022 €62.2m Passing
Slide 10: Debt Capacity and Repayment Profile Dec 22
DEBT CAPACITY AND REPAYMENT PROFILE Dec 22 28.5% 5.6 4.34% LTV ND/NRI WACD Maximum net debt capacity (40% LTV; 7xNRI) €545.3m Net debt (debt-cash) €394.3m Cash €67.7m Debt on 31 Dec 2022 €462.0m Financing costs settled €(6.1)m 2023 repayment €(49.7)m 2024 €(12.6)m 2025 €(30.4)m 2026 €(298.7)m 2027 €
Slide 11: Income Property Schedule Dec 22
INCOME PROPERTY SCHEDULE Dec 22 Destination Asset MAS’ share Location Type Acq/Dev Stake Acquired GLA GLA Occupancy NI BV Cost NI BV Cost NI/BV NI/Cost % year m2 m2 % €m €m €m €m €m €m % % INCOME ASSETS 88.1 1,169.4 940.3 7.5% 9.4% DJV preferred equity and revolving credit facility (60% of the notio
Slide 12: Income Property Held for Sale Schedule Dec 22
INCOME PROPERTY HELD FOR SALE SCHEDULE Dec 22 Owned Asset MAS’ share Location Type Acq/Dev Stake Acquired GLA Occupancy NRI BV Cost NRI BV Cost NRI/BV NRI/Cost % year m2 % €m €m €m €m €m €m % % PROPERTY HELD FOR SALE 24,700 87.8% 2.7 59.6 72.2 2.7 59.6 72.2 4.5% 3.7% Not contracted to be sold as of
Slide 13: Development Property Schedule Dec 22
DEVELOPMENT PROPERTY SCHEDULE Dec 22 Destination Asset MAS’ share Location Type Status Stake Completion GLA GLA/GSA Units ERV Budget Spent ERV Budget Spent Margin ERV/Budget % year m2 m2 # €m €m €m €m €m €m % % DEVELOPMENTS 907.7 119.8 DJV preferred equity and revolving credit facility outstanding c
Slide 14: CEE Development Property Movements Jul-Dec 22
CEE DEVELOPMENT PROPERTY MOVEMENTS Jul — Dec 22 COMMERCIAL RESIDENTIAL Development pipeline on 1 Jul 2022 €312.9m Development pipeline on 1 Jul 2022 €477.9m Developments and extensions completed €(3.9)m Projects removed from pipeline – residential €(89.7)m Projects removed from pipeline – commercial
Slide 15: Property Overview
PROPERTY OVERVIEW Poland Gorzow Baia Mare Romania Zalau Iasi Cluj-Napoca Gheorgheni Roman Bulgaria Barlad Targu Secuiesc Alba Iulia Sfantu Gheorghe Fagaras Arad Focsani Sebes Stara Zagora Burgas Brasov Timisoara Ramnicu Sarat Ploiesti Income Property Targoviste Slobozia Development Property: Retail
Slide 16: Income Property: Galleria Burgas
INCOME PROPERTY PU LS E FI TN ES S GALLERIA BURGAS TEO DOR C O LL EC TI V E GO TO CO TEOD NC OR EPT SK EC H ER www.galleriaburgas.bg S visit 36,700m² Galleria Burgas is the dominant shopping BUZZ GLA centre in Burgas, the regional urban and €7.2m administrative centre of the most popular NRI holiday
Slide 17: Income Property: Nova Park
INCOME PROPERTY NOVA PARK SZNU SPOLROWK KA A I ECHO FASH ION ARGA ENM E A visit www.nova-park.pl 32,400m² Nova Park is the dominant regional shopping GLA centre in central Gorzow, western Poland, HEB E €6.8m and has a diverse mix of high-quality tenants. D A E IN O S O R R K NRI The centre benefits
Slide 18: Income Property: Dambovita Mall
INCOME PROPERTY SP MB M DAMBOVITA MALL D C OV IL A RP I LI C TA O IV N D IN IL AN ES D M SS GA RE LA XP LA AY PL T’S LE US S MO LE FA AFF W I LU SA U CA AND RM GU M ES O PO TA M IA D AB O D O N ER FRUMUSETEA ÎNTÂLNESTE SANATATEA LD GO R EY ’O MON ND LE SP I ST URE RT CA H R ER OU M RT O SA DE visit
Slide 19: Income Property: Atrium Mall
INCOME PROPERTY ATRIUM MALL IS METROPOL AND CITY FAIRYL TE E AR D TABAC CINEMA PO IUL XPRESS SA IC PA RV SE PAPA BON E IA N M O TA YM PO SO IZIO DEL O K O G ES W M N KE 3F AY YD FR O AT C ER M STYLE MEN’S SHOP GIFT visit www.atriummall.ro T ELEFAN D ’S SMARAG ARIANA SALON BEAUTY ERIA ONI ANT N ZEEMA
Slide 20: Income Property: Galleria Stara Zagora
INCOME PROPERTY T IC ATHLE URANT RESTA MA TON BON CINE CITY I YOZZGHURT GALLERIA STARA ZAGORA YO BON MI’S R CAT BMS ONE PIZZIO MR.D RA SUB ET EFB R ENO TEL SILY SES ND GRAPTICS O DOR OO KEYS M TEO ACO VIV EVELIN FLAIR ER SILVOURT C I RIN LAZA visit www.galleriasz.bg NA ZLATRIBKA ESTI L 23,400m² Gall
Slide 21: Income Property: Militari Shopping
INCOME PROPERTY 54,000m² Located in Militari, a densely populated and expanding residential area in MILITARI SHOPPING GLA Bucharest, this centre has excellent visibility and is located on Bucharest’s main €10.3m western artery, which links directly into the E81/A1 highway. The open-air NRI mall bene
Slide 22: Income Property: DN1 Value Centre
INCOME PROPERTY DN1 VALUE CENTRE UNION BRANDS COVER SHOP CAROL TOTAL WASH MAISONETTE BACIUL SIBIAN OPTIC MUMUSO DIGI CADOR PALMIYE TONI GELATO JERRY’S PIZZA SUSHI MASTER LA BUFET GAMES JACK FLOWERS SKIN MED SPA GIOIA ROSSA ING LILA ATELIERUL BURGERI DE TEZAUR BRO BISTRO LAS VEGAS CASINO Outdoor terr
Slide 23: Income Property: Prahova Value Centre
INCOME PROPERTY 21,700m² Prahova Value Centre is located in Ploiesti, the capital of Prahova county, PRAHOVA VALUE CENTRE GLA near the main train, tram and bus stations. The centre has a catchment area €3.5m consisting of 759,000 residents within a 60-minute drive. The open-air mall NRI hosts a mix
Slide 24: Income Property: Zalau Value Centre
INCOME PROPERTY ZALAU VALUE CENTRE LET’S PLAY AVANGARD REFUGIUL GURMANZILOR BUNATATI DONUTERIE DIN SIBIU NEOTTIA BANCA TRANSILVANIA visit www.zalauvaluecentre.ro ARES JOLIDON 19,300m² Located on the city’s main boulevard, next to a GLA densely populated residential area, and within SPLEND’OR KENDRA
Slide 25: Income Property: Roman Value Centre
INCOME PROPERTY ROMAN VALUE CENTRE CU SOS PIZZA 21 DABO COCO DONER RINOO LET’S PLAY DULCINELLA EXCHANGE AVANGARD BIJUTERIA LE PREMIER ROYAL ROBEST NORIEL MESOPOTAMIA EXPRESS KRISTALL CREDIT OPTIC MARCO BOUTIQUE 17 BEBE SUPERSTAR DOPO POCO JUBA CAFFE CORINT SHOES CADOR COVER SHOP LA CIMPOIESU x 700 R
Slide 26: Income Property: Baia Mare Value Centre
INCOME PROPERTY BAIA MARE VALUE CENTRE PIERRE ZEN CUT BARBERSHOP visit www.baiamarevaluecentre.ro Value Centre Extension 21,300m² 4,300m² GLA GLA €2.9m €0.5m NRI NRI €40.8m €6.3m BOOK VALUE BOOK VALUE 97.5% 93.2% KARAFFE OCCUPANCY OCCUPANCY 100% 40% OWNED BY MAS OWNED BY MAS Baia Mare Value Centre h
Slide 27: Income Property: Sepsi Value Centre
INCOME PROPERTY SEPSI VALUE CENTRE NORIEL × 514 visit www.sepsivaluecentre.ro 16,900m² Sepsi Value Centre, with a catchment area NOBILACASA GLA JUBA CAFE JOLIDON CADOR CAPPUCCINO of approximately 216,000 residents within a HYGEA FARM B&B RUFARIE DRPCIV BERTIS KIDDIE RIDES KORALL XPRESS TABAC AVANGAR
Slide 28: Income Property: Barlad Value Centre
INCOME PROPERTY MESOPOTAMIA BARLAD VALUE CENTRE LET’S PLAY ROMAIA TRAVEL LA TUTU PARFUM ROPHARMA NORIEL ALL SPORT AVANGARD visit www.barladvaluecentre.ro 16,400m² Located on the northern side of Barlad, Vaslui GLA county’s second largest city, the centre has a €2.2m prominent position on the E581 Eu
Slide 29: Income Property: Strip Malls
INCOME PROPERTY STRIP MALLS × 203 CASINO MAGIC 27,800m² These properties include seven convenience NORIEL GLA centres with a high density of national and €3.6m international anchors, including Deichmann, NRI Jysk, and Pepco. They are easily accessible €43.2m by car and public transport and are close
Slide 30: Development Property: Mall Moldova Phase II
DEVELOPMENT PROPERTY Permitted MALL MOLDOVA – PHASE II T AN UR STA RE T AN UR STA T RE AN UR STA T RE AN UR STA RE T AN UR T STA AN RE UR STA T RE AN UR STA T RE AN UR STA RE T AN UR STA T RE AN UR STA RE T AN UR STA RE T AN UR STA T RE EN T AN M UR IN T STA AN RE A UR RT STA TE RE EN T T AN AN UR U
Slide 31: Development Property: Arges Mall
DEVELOPMENT PROPERTY Permitted ARGES MALL N IO H S S IE A IT F R O T A U M A R A H RE P RE ST AU ST RA AU NT RE RA ST NT RE AU ST RA AU NT RA NT RE ST AU RA NT RE ST AU RA NT RE ST AU RA NT T N A R U A T NT S E RA R AU ST RE T N A R U A T N T S A E R R U T A N T A S EN E R R U T TE A N T A S RT R E
Slide 32: Development Property: Alba Iulia Mall
DEVELOPMENT PROPERTY WIP REST AURA NT REST AURA NT REST AURA NT REST AURA NT ALBA IULIA MALL REST AURA NT REST AURA NT CAS IN O REST AURA REST NT AURA NT REST KID AURA NT S ENTE RTAI T N NM A R ENT U A T S E T R N A R U A T S E R GY M &F ITN ESS FA SH IO N FA SH FA IO SH N FA IO FA SH N SH IO FA IO
Slide 33: Development Property: Brasov Value Centre
DEVELOPMENT PROPERTY Zoning BRASOV VALUE CENTRE FASHION FASHION FASHION FASHION FASHION FASHION FASHION FASHION 24,400m² Brasov Value Centre is located in north-west × 850 GLA Brasov, adjacent to an existing Hornbach DIY HYPERMARKET €3.0m store and a large area of existing and future ERV residential
Slide 34: Development Property: Spumotim Residential
DEVELOPMENT PROPERTY Zoning SPUMOTIM RESIDENTIAL 181,700m² GSA 2,129 UNITS €179.6m BUDGET 40% OWNED BY MAS The residential project is planned to be developed on a 6.9ha land plot, in south-east Timisoara, comprising approximately 2,100 high quality apartments. The site benefits from excellent public
Slide 35: Development Property: IMGB
DEVELOPMENT PROPERTY Zoning IMGB Residential Retail 242,400m² 28,000m² GSA GLA 3,149 €3.9m UNITS ERV €195.6m €45.1m BUDGET BUDGET 40% 40% OWNED BY MAS OWNED BY MAS The planned residential project is located south of Bucharest on a former 17.8ha industrial platform with a 250 meter opening onto Berce
Slide 36: Development Property: Silk District
DEVELOPMENT PROPERTY WIP SILK DISTRICT Residential Office 113,100m² 104,400m² GSA GLA 1,549 €19.1m UNITS ERV €150.1m €185.8m BUDGET BUDGET 40% 40% OWNED BY MAS OWNED BY MAS The large 10ha mixed-use, urban regeneration project combines several functions increasing efficiency of infrastructure, amenit
Slide 37: Development Property: Elba Residential
DEVELOPMENT PROPERTY Zoning ELBA RESIDENTIAL 104,900m² GSA 1,406 UNITS €149.5m BUDGET 40% OWNED BY MAS The residential project comprising approximately 1,400 high quality apartments and integrated parking in low- and high-rise apartment buildings is planned to be developed in close proximity to down
Slide 38: Development Property: Avalon Estate
DEVELOPMENT PROPERTY WIP AVALON ESTATE 93,300m² GSA 746 UNITS €149.5m BUDGET 40% OWNED BY MAS Avalon Estate is a unique gated community, located in northern Bucharest. The project is being developed on an 8.1ha plot close to the city’s business district, providing a central location for its resident
Slide 39: Development Property: Cluj Urban Regeneration Project
DEVELOPMENT PROPERTY Zoning CLUJ URBAN REGENERATION PROJECT Residential Retail Office 113,500m² 73,300m² 49,200m² GSA GLA GLA 1,461 €12.5m €7.9m UNITS ERV ERV €121.2m €138.8m €76.3m BUDGET BUDGET BUDGET 40% 40% 40% OWNED OWNED OWNED BY MAS BY MAS BY MAS A large mixed-use project incorporating retail
Slide 40: Development Property: Marmura Residence
DEVELOPMENT PROPERTY Completed MARMURA RESIDENCE 36,100m² GSA 458 UNITS €52.0m BUDGET 40% OWNED BY MAS Marmura Residence comprises five high-quality, high-rise apartment buildings above an integrated underground parking, and has several unique features, such as an urban park, vibrant cafes and commu
Slide 41: Development Property: Pleiades Residence
DEVELOPMENT PROPERTY WIP PLEIADES RESIDENCE 41,000m² GSA 498 UNITS €41.2m BUDGET 40% OWNED BY MAS Pleiades Residence is a high quality residential project in Ploiesti, consisting of 498 apartments integrated with Prahova Value Centre's planned large-scale entertainment and leisure hub extension. The
Slide 42: Company Profile
COMPANY PROFILE ANNUAL PASSING NET RENTAL MAS is an internally managed green AND DIVIDEND INCOME property investor and operator 71% CEE direct assets €64.4m focused on retail properties in CEE €90.8m 2% 3% CEE DJV WE direct assets €1.7m €2.7m 14% DJV preferred equity and revolving credit facility €1
Slide 43: Environmental
ENVIRONMENTAL INCOME PROPERTY CERTIFICATION CERTIFICATION YEAR EM-Nova Park BREEAM: Excellent 2022 EM-Galleria Burgas LEED: Gold 2012 MAS’ approach to business is built on a foundational EM-Atrium Mall BREEAM: Very Good 2022 belief that to be successful, businesses must EM-Dambovita Mall EDGE: Advan
Slide 44: Development Joint Venture Structure
DEVELOPMENT JOINT VENTURE STRUCTURE Low-risk access to high-quality development pipeline with pre-eminent CEE retail developer • Prime Kapital employs a vertically integrated development approach that consistently results in high development margins • DJV provides co-investment access to highly lucr
Slide 45: Earnings Jul-Dec 22
EARNINGS Jul — Dec 22 Reconciliation of Proportionate accounts to Adjusted proportionate accounts Proportionate accounts Adjustments Adjusted proportionate accounts Six-month period to 31 Dec 2022 Six-month period to 31 Dec 2022 Six-month period to 31 Dec 2022 Total CEE DJV WE Co Total CEE DJV WE Co
Slide 46: Net Asset Value Dec 22
NET ASSET VALUE Dec 22 Reconciliation of Proportionate accounts to Adjusted proportionate accounts Proportionate accounts Adjustments Adjusted proportionate accounts 31 Dec 2022 31 Dec 2022 31 Dec 2022 Total CEE DJV WE Co Total CEE DJV WE Co Total CEE DJV WE Co NET ASSET VALUE 967,069 768,044 298,63
Slide 47: Group Management
GROUP MANAGEMENT Irina Grigore, CEO Irina has over fourteen years of real estate and finance experience and is MAS’ CEO, appointed on 21 April 2022. Prior to joining Prime Kapital in 2019, and MAS shortly thereafter, she worked as Group Reporting and Management Information Systems Manager at NEPI Ro
Slide 48: Group Management
GROUP MANAGEMENT Gabriel Malanca, Director – Asset Management Gabriel has over seventeen years of real estate experience and is MAS’ head of Asset and Property Management. Prior to joining Prime Kapital in 2017, and MAS in 2019, he held the position of centre manager at NEPI Rockcastle and retail an
Slide 49: Non-Executive Directors
NON-EXECUTIVE DIRECTORS Werner Alberts, Independent Non-Executive Chairman Werner was appointed Chairman of MAS’ Board of Directors in August 2021. He is Deputy Chief Executive Officer of Capital International Group and is a qualified chartered accountant with over 25 years of experience in finance.
Slide 50: Non-Executive Directors
NON-EXECUTIVE DIRECTORS Mihail Vasilescu, Non-Executive Director Mihail has 20 years of real estate and finance industry experience and is an indirect beneficiary of a minority shareholding in Prime Kapital, which he joined since inception. Prior to this, after gaining substantial experience in the
Slide 51: Glossary
GLOSSARY Proportionate accounts Segment results include items directly attributable to a segment as well as those that can be allocated on a reasonable basis. reportable segments CEE direct assets (CEE) Income properties located in CEE fully owned and managed by the Group. CEE development joint vent
Slide 52: Glossary
GLOSSARY Acq/Dev, A/D Acquired / Developed ha Hectare, or 10,000 square meters Adjusted distributable Adjusted distributable earnings divided by the Adjusted number of shares in issue IFRS International Financial Reporting Standards earnings per share IJV Investment joint venture, former joint ventu
Slide 53: www.masrei.com
www.masrei.com