Aevis Victoria Sa · SIX:AEVS
Aevis Victoria Sa — Debt Investor Presentation (May 2016)
26 slides from Aevis Victoria Sa's debt investor presentation, May 9, 2016
Slide 1: Presentation to bond investors
Presentation to bond investors Zurich, 9 May 2016
Slide 2: Disclaimer
Disclaimer This communication contains statements that constitute “forward-looking statements”. In this communication, such forward-looking statements include, without limitation, statements relating to our financial condition, results of operations and business and certain of our strategic plans an
Slide 3: Today's AEVIS VICTORIA speakers
Today's AEVIS VICTORIA speakers Antoine Hubert Beat Röthlisberger Delegate of the Board of Directors CEO Hospital Segment • Born 1966 • Born 1966 • Founder of Swiss Medical Network and • CAO of Swiss Medical Network from 2006 Swiss Healthcare Properties to May 2010 • Managing Director since 2002 • C
Slide 4: Agenda
Agenda 1. Group overview 2. Financial overview 3. Key reasons to invest in AEVIS VICTORIA 4. Q&A INVESTOR PRESENTATION I 4
Slide 5: AEVIS VICTORIA – Group structure
AEVIS VICTORIA – Group structure AEVIS VICTORIA SA • AEVIS VICTORIA is an investment company investing in services to people, healthcare, hospitality, life sciences and lifestyle • AEVIS VICTORIA is listed on SIX Swiss Exchange since 1999 and has a market capitalisation of CHF 631.5 million (as of 0
Slide 6: AEVIS VICTORIA – Value creation through acquisitions
AEVIS VICTORIA – Value creation through acquisitions 600 Net revenue 80 69.4 EBITDA 65 70 500 60.8 515.1 484.9 60 (CHF million) (CHF million) 400 402.5 50 40.0 300 40 306.8 24.0 30 200 15.1 4.2 10.5 8.8 181.5 188.5 20 0.6 100 7.4 8.9 7.5 128.8 112.9 122.7 119.1 10 53.4 69.1 73.1 0 0 2003 2004 2005 2
Slide 7: Hospital segment (Swiss Medical Network)
Hospital segment (Swiss Medical Network) Key figures hospital segment HOSTPITALS / CLINICS PHYSICIANS 14/1 *Plus one affiliated hospital 2015 2014 2013 2012 863 1'012 1'087 1'177 Privatklinik Bethanien Privatklinik Bethanien 2011 603 CliniqueGénérale Clinique Générale Zurich Zurich Fribourg Fribourg
Slide 8: Strategy – Buy, Invest, Reap on a stable ground
Strategy – “Buy, Invest, Reap” on a stable ground Market analysis & In-depth Investments & Marketing of Continuous optimization Takeover analysis Renovation new clinics Genolier Pyramide Bethanien Montchoisi Obach Générale Ars Medica Value contribution Sant’Anna Reaping benefits Villa im Park Valmon
Slide 9: Clinique Générale in Fribourg is now one of the most profitable hospitals
Clinique Générale in Fribourg is now one of the most profitable and efficient hospital 2006-2008: Total investments The orthopedic competence of CHF 12.0m into the center receives exclusivity infrastructure of Ste-Anne from the canton 45 Acquisition of the Restructuring and Engagement of Joseph 30%
Slide 10: Hospitality segment (hotel operations)
Hospitality segment (hotel operations) Key figures hospitality segment OVERNIGHT STAYS REVENUE (in CHF million)* 169'585 2015 2014 2013 2012 72 72 77 75 Bellevue Palace, Bern Victoria-Jungfrau Grand Palace Luzern, Luzern Eden au Lac, Zurich 2011 75 Hotel & SPA Interlaken *Revenues of hospitality rea
Slide 11: Telemedicine segment
Telemedicine segment Key figures telemedicine segment Employees PHYSICIANS 300 100 77 TELECONSULTATIONS A DAY TELECONSULTATIONS SINCE 2000 5'000 5'000'000 AVAILABILITY AND MOBILITY PARTNERS IN MEDGATE NETWORK • Telemedicine centers in Basle, Abu Dhabi, Australia and the 24/7 >1'850 • Philippines and
Slide 12: Real estate segment (healthcare and hotel properties)
Real estate segment (healthcare and hotel properties) Key figures real estate segment NUMBER PROPERTIES RENTAL INCOME (in CHF million) 40 36.4 RENTAL SPACE (in sqm) LOAN TO VALUE (in %) 172'050 2015 2014 2013 2012 42.9% 41.0% 46.6% 51.6% 1177 2011 74.3% Vacancy Rate PORTOFOLIO VALUE (in CHF million)
Slide 13: Attractive positioning around services to people
Attractive positioning around services to people • Switzerland has a high level of healthcare expenditure* Healthcare Healthcare expenditures in Switzerland in 2013 were 10.9% of GDP market Switzerland therefore ranks #5 in terms of healthcare expenditure / income ratio and #1 in Track record te
Slide 14: Attractive positioning around services to people
Attractive positioning around services to people • Niche 5 star hotels represent a sought after investment sector for international investors that Hotel market has proven resilience against political and financial market turbulences of recent years Strategic • Strategic overlappings on various level
Slide 15: Experienced leadership team
Experienced leadership team (years in (years in industry) industry) • Group Management: Hospital • CEO: Beat Röthlisberger 15 Delegate: Antoine Hubert 1 20 Segment • CFO: Daniel Jandric 2 CFO: Gilles Frachon 40 AEVIS VICTORIA • Board of Directors: Hospitality • CEO: Beat Sigg 36 Christian Weng
Slide 16: Agenda
Agenda 1. Group overview 2. Financial overview 3. Key reasons to invest in AEVIS VICTORIA 4. Q&A INVESTOR PRESENTATION I 16
Slide 17: Historical revenue and EBITDA development
Historical revenue and EBITDA development Consistent track record of profitable growth • Strong topline and EBITDA growth of 28.6% and 30.4%, respectively, over the last 5 years • Positive margin development on a normalized basis • Strong growth phase with both acquisitions and expansion capex over
Slide 18: AEVIS VICTORIA – FY 2015 key financial highlights
AEVIS VICTORIA – FY 2015 key financial highlights Key figures FY 2014 FY 2015 FY 2015 (CHF million) Restated Normalized Highlights 2015 • Revenue growth of 5.2% Profit and loss statement (normalized growth of 6.2% for Tarmed Net revenue 484.9 510.2 515.1 and DRG) Net revenue growth 20.5% 5.2% 6.2% •
Slide 19: AEVIS VICTORIA – EBITDA bridge analysis
AEVIS VICTORIA – EBITDA bridge analysis 90 82.7 13.3 80 3.1 1.8 69.4 70 65.0 64.5 (CHF million) 60 50 40 13.4% 12.6% 13.5% 18.6% 30 20 10 0 EBITDA 2014 EBITDA 2015 Impact from Impact from DRG Normalised Loss contribution Pro forma- Tarmed baserate EBITDA restructuring EBITDA reduction reduction enti
Slide 20: AEVIS VICTORIA – First quarter 2016
AEVIS VICTORIA – First quarter 2016 Promising outlook for 2016 • Strong first quarter with realized net revenue of CHF 125.5 million and an EBITDA of CHF 18.2 million, corresponding to a margin of 14.5% • Swiss Medical Network with ongoing recruitment of additional physicians to bolster the network'
Slide 21: Debt structure and bond covenants
Debt structure and bond covenants Group structure (simplified) Loan to value (CHF million) Group Hubert / Reybier Freefloat* 41.0%** 42.9%** (77.4%) (22.6%) 932 844 Bond issuing AEVIS VICTORIA SA entity (100%) (100%) (100%) (100%) 400 346 Swiss Victoria- Swiss Park Medical Jungfrau Healthcare Réside
Slide 22: Outlook – Mid term financial guidance
Outlook – Mid term financial guidance Financial guidance Organic revenue growth 4% to 5% p.a. Mid-term EBITDA margin target >20% Maintenance CAPEX 4% to 5% of net revenue Mid-term leverage ratio 50% to 55% INVESTOR PRESENTATION I 22
Slide 23: Agenda
Agenda 1. Group overview 2. Financial overview 3. Key reasons to invest in AEVIS VICTORIA 4. Q&A INVESTOR PRESENTATION I 23
Slide 24: Key reasons for bondholders to invest in AEVIS VICTORIA
Key reasons for bondholders to invest in AEVIS VICTORIA • High attractiveness of the healthcare sector Attractive Demographic trends (aging population) sector focus Increasing economic wealth (people have more money) High willingness to pay for healthcare services (high out-of-pocket expenses)
Slide 25: Q&A
Q&A INVESTOR PRESENTATION I 25
Slide 26: A015 VICTORIA
A015 VICTORIA
Aevis Victoria — Debt Investor Presentation (May 2016) on 6ix