Slide 1: Results Presentation FY 2019
FOR CLIENTS AND SHAREHOLDERS Results Presentation FY 2019 | 19 March 2020 PATRIZIA | © 2020
Slide 2: Stronger for clients and shareholders
Financials FY 2019 Stronger for clients and shareholders Structural growth opportunities and a defensive business model 1 2 3 4 Leading Structural At the forefront Stable & reliable growth market of market partner changes PATRIZIA is a PATRIZIA will Strategy 20231 Predictable Top-10 pan- benefit fro
Slide 3: Real estate investment management market is growing
Financials FY 2019 Real estate investment management market is growing We are benefiting from the structural growth market for real estate investment management Demographic change Our clients’ capital is Aging population threatens conventional pension growing systems Lower for longer Increasing allo
Slide 4: Predictable management fees and diversified client base
Equity Story Predictable management fees and diversified client base 71% of our AUM have a maturitiy of more than 10 years Maturity breakdown of AUM1 Equity commitments by clients2 78% 7% 63% 8% 49% 14% 30% 71% 21% 7% >10 years/unlimited 5–10 years Top 1 Top 5 Top 10 Top 25 Top 50 Top 100 2–5 years
Slide 5: Leading capital raising activity in the market
Financials FY 2019 Leading capital raising activity in the market PATRIZIA has invested significantly in its capital raising capabilities over the past years and is now reaping the rewards 73% New equity entrusted to PATRIZIA | EUR bn of equity raised from existing clients 3.2bn of equity raised 3.2
Slide 6: Highlights
Financials FY 2019 Highlights Financial outperformance 2019 and guidance for 2020 confirm further improved earnings quality FY 2019 Assets under management | EUR bn • Assets under management (AUM) up 8.4%1 to EUR 44.5bn y-o-y increasing management fees to EUR 190.9m (+8.8%) +8.4% 44.5 48.0 – 49.0
Slide 7: Operating income
Financials FY 2019 Operating income Strong operating income of EUR 134.5m with further improved earnings quality Highlights Composition FY 2019 | EUR m • Total service fee income up 8.7% to EUR 348.0m -42.0% +8.1% (FY 2018: EUR 320.2m) due to: -0.7% 23.8 • Strong management fees with 8.8% grow
Slide 8: Total service fee income
Financials FY 2019 Total service fee income PATRIZIA continues to grow while still delivering superior investment performance for clients Highlights Total service fee income | EUR m • Total service fee income up 8.7% to EUR 348.0m driven by: • Organic growth in assets under management and superior
Slide 9: Transaction fees
Financials FY 2019 Transaction fees Strong outperformance of the market confirms unique market access of PATRIZIA platform Highlights Transaction volume (signed/closed) | EUR bn • Strong outperformance of European transaction market – 7.0 – 8.0 +32.6% 9.0 PATRIZIA signed transaction volume of EU
Slide 10: Performance fees
Financials FY 2019 Performance fees Superior returns for clients translate into attractive performance fees Performance fees | EUR m Performance fee pool1 | EUR m -0.7% Dawonia 92.5 91.8 85.0 – 100.0 347.2 (~EUR 60.0m p.a.) Total: EUR 789.1m ~EUR 70.0m p.a. on average (excl. potential 441.9 441.9
Slide 11: Profitability and costs
Financials FY 2019 Profitability and costs Continued efficiency improvements propel profitability and cost ratios AUM vs total cost ratio | EUR bn vs % EBITDAR margin (+/- principal investments) | EUR m, LHS vs % 60 1% 180 50.0% 1.21 45.2% 1.14 48.0 – 49.0 1% 42.9% 45.0% 50 160 38.7% 38.9% 37–39% 0.
Slide 12: Solid financial position
Financials FY 2019 Solid financial position Ample cash position to drive further growth and strategic development • Strong balance sheet ratios and capital structure to facilitate further profitable growth • Total available liquidity as at 31.12.2019 amounts to EUR 607.0m • Net cash amounts to EUR 2
Slide 13: Guidance 2020e
Financials FY 2020 Guidance 2020e Guidance for 2020e implies further improved earnings profile Assumptions 2020e Income composition FY 2020e | EUR m • In 2020 PATRIZIA expects a significantly lower revenue contribution from phase-out sale of principal investments and co-investment income compared to
Slide 14: Appendix
Appendix PATRIZIA | © 2020 14
Slide 15: Capital allocation
Appendix Capital allocation Assets under Invested capital Invested capital Participations management (fair value) (at cost) EUR m EUR m EUR m in % Third-party business 37,956.8 0.0 Co-investments 6,473.7 510.4 124.9 Residential 5,623.1 492.1 108.8 1 Dawonia GmbH 4,647.8 152.0 51.7 5.1 Dawonia perfor
Slide 16: Reconciliation of operating income
Appendix Reconciliation of operating income EUR k 2019 2018 Change EBITDA 136,922 120,781 13.4% Amortisation of other intangible assets¹, software and rights of use, depreciation of property, plant and equipment -55,562 -42,235 31.6% EBIT 81,360 78,546 3.6% Finance income/expenses -4,015 -3,415 17.6
Slide 17: Consolidated income statement
Appendix Consolidated income statement EUR k 2019 2018 Revenues 398,703 350,628 Income from the sale of investment property 252 828 Changes in inventories -50,535 -28,731 Other operating income 14,607 20,698 Income from the deconsolidation of subsidiaries 585 317 Total operating performance 363,611
Slide 18: Consolidated balance sheet | Assets
Appendix Consolidated balance sheet | Assets EUR k 31.12.2019 31.12.2018 A. Non-current assets Goodwill 210,292 201,109 Other intangible assets 131,895 166,562 Software 10,326 11,396 Rights of use 24,988 0 Investment property 1,835 8,308 Equipment 6,056 5,890 Participations in affiliated companies 0
Slide 19: Consolidated balance sheet | Equity and liabilities
Appendix Consolidated balance sheet | Equity and liabilities EUR k 31.12.2019 31.12.2018 A. Equity Share capital 91,060 91,060 Capital reserves 155,222 155,222 Retained earnings Legal reserves 505 505 Currency translation difference -4,818 -15,605 Remeasurements of defined benefit plans according to
Slide 20: Financial calendar
Appendix Financial calendar 2020 March 19 ➢ Annual Report 2019 May 14 ➢ Quarterly Statement for the first quarter of 2020 July 1 ➢ Annual General Meeting 2020 August 6 ➢ Interim Report for the first half of 2020 November 12 ➢ Quarterly Statement for the first nine months of 2020 Invitations and dial
Slide 21: Contact
Appendix Contact KARIM BOHN MARTIN PRAUM Member of the Senior Managing Director Management Board | CFO Head of Investor Relations PATRIZIA AG T +49 821 50910-402 Fuggerstrasse 26 F +49 821 50910-399 86150 Augsburg M +49 151 19685445 Germany investor.relations@patrizia.ag LAURA WALZ MAXIMILIAN GERBER