Helios Re Socimi, S.a. · BME:SCHLR

Helios Re Socimi — Lar España Real Estate SOCIMI — Q1 2016 Earnings Presentation

54 slides from Helios Re Socimi's earnings presentation, May 2016

  1. Slide 1: Quarterly Results Q1 2016

    QUARTERLY RESULTS Q1 2016

  2. Slide 2: Contents

    2 Contents 1 2 3 EXECUTIVE SUMMARY CONSOLIDATED FINANCIAL EPRA INFORMATION STATEMENTS p. 4 p. 20 p. 34 1.1 2.1 Highlights Company Chart Q1 2016 31.03.26 p. 6 p. 22 1.2 2.2 Main Consolidated Statement of Events Comprehensive Income p. 10 p. 24 1.3 2.3 Portfolio Consolidated Statement of at 31 March 2

  3. Slide 3: Contents (continued)

    3 QUARTERLY RESULTS Q1 2016 4 5 6 SHARE PRICE EVENTS AFTER GLOSSARY PERFORMANCE THE REPORTING PERIOD p. 44 p. 48 p. 52 Megapark Shopping Centre (Bilbao)

  4. Slide 4: Executive Summary

    4 4 Palmas Altas Shopping Centre (Seville) 1 EXECUTIVE SUMMARY Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall prevail.

  5. Slide 5: Highlights Q1 2016

    5 5 QUARTERLY RESULTS Q1 2016 1.1 1.3 1.5 Highlights Portfolio Business Q1 2016 at 31 March 2016 Performance p. 6 p. 12 p. 20 1.2 1.4 Main Key Events Indicators p. 10 p. 18 Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall pr

  6. Slide 6: 1.1 Highlights Q1 2016

    6 1.1 Highlights Q1 2016 GAV Annualized Net Rent 952 53.5 Million € Million € x2 vs Q1 2015 EPRA NIY Assets PORTFOLIO INFORMATION 6.1% 27 EPRA Occupancy Rate +12 acquisitions vs Q1 2015 93.1% GLA Q1 2016 Investment 560,332 sqm 70.6 Million € x2 vs Q1 2015 GAV by asset class (%) Retail Logistics 71 7

  7. Slide 7: Financial information highlights

    7 QUARTERLY RESULTS Q1 2016 EPRA NAV Rental Income 582.8 12.9 Million € Million € (9.8 €/share) x2 vs Q1 2015 Net LTV EBITDA 38% FINANCIAL INFORMATION 15.0 Million € x4 vs Q1 2015 Average Cost of Debt Net Profit 2.3% 8.8 Million € x2 vs Q1 2015 Financial Debt EPRA Earnings 457 Million € 5.9 Million

  8. Slide 8: 1.2 Main Events

    8 1 EXECUTIVE SUMMARY 1.2 Main Events 1. Valuation reports On 21 January 2016, Lar España received the valuation reports for its property portfolio as of 31 of December 2015, carried out by Jones Lang LaSalle España, S.A and Cushman Wakefield Sucursal en España. The total mar- ket value of the compa

  9. Slide 9: Main Events: Palmas Altas and Portal de la Marina acquisitions

    9 QUARTERLY RESULTS Q1 2016 3. Palmas Altas acquisition On 1 March 2016 the Company, through its wholly owned subsidiary LAR ESPAÑA SHOPPING CENTRES VIII, S.L.U. reached an agreement with Inmobiliaria VIAPOL, S.A. for the acquisition of a plot intended for commercial use in Palmas Altas Norte, Sevil

  10. Slide 10: 1.3 Portfolio at 31 March 2016

    10 1 EXECUTIVE SUMMARY 1.3 Portfolio at 31 March 2016 13 1 8 5 16 2 15 11 20 4 26 25 22 23 18 17 19 27 21 14 9 24 7 10 3 12 6 Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall prevail.

  11. Slide 11: Portfolio asset list

    11 QUARTERLY RESULTS Q1 2016 SHOPPING CENTRES OFFICES 1 Megapark (Bilbao) 17 Egeo (Madrid) 2 El Rosal (León) 18 Arturo Soria (Madrid) 19 Marcelo Spinola (Madrid) 3 Portal de la Marina (Alicante) 20 Joan Miró (Barcelona) 4 Anec Blau (Barcelona) 21 Eloy Gonzalo (Madrid) 5 As Termas (Lugo) 6 Palmas Alt

  12. Slide 12: Megapark, El Rosal, Portal de la Marina

    12 1 EXECUTIVE SUMMARY 1 MEGAPARK, BILBAO 2 EL ROSAL, LEÓN 3 Portal de la Marina, Alicante Location Bilbao Location Ponferrada (León) Location Ondara (Alicante) GLA 63,938 sqm GLA 51,022 sqm GLA 30,093 sqm Purchase Date 19 October 2015 Purchase Date 7 July 2015 30 October 2014/ Purchase Date 30 Marc

  13. Slide 13: Albacenter, Txingudi, Cruce de Caminos

    13 QUARTERLY RESULTS Q1 2016 7 Albacenter, Albacete 8 Txingudi, Guipúzcoa 9 CRUCE DE CAMINOS, VALENCIA (2) Location Albacete Location Irún (Guipúzcoa) Location Sagunto (Valencia) GLA 15,428 sqm GLA 9,862 sqm GLA 43,091 sqm Purchase Date 30 July 2014 Purchase Date 24 March 2014 Purchase Date 3 August

  14. Slide 14: Nuevo Alisal, Villaverde, Parque Galaria

    14 1 EXECUTIVE SUMMARY 13 Nuevo Alisal, Santander 14 Villaverde, Madrid 15 PARQUE GALARIA, PAMPLONA Location Santander Location Madrid Location Pamplona GLA 7,649 sqm GLA 4,391sqm GLA 4,108 sqm Purchase Date 17 December 2014 Purchase Date 29 July 2014 Purchase Date 23 July 2015 Acquisition Price EUR

  15. Slide 15: Alovera, Almussafes, Lagasca 99

    15 QUARTERLY RESULTS Q1 2016 22 Alovera II, Guadalajara 23 Alovera I, Guadalajara 24 Almussafes, VALENCIA Location Guadalajara Location Guadalajara Location Valencia GLA 83,952 sqm GLA 35,195 sqm GLA 19,211 sqm Purchase Date 13 October 2014 Purchase Date 7 August 2014 Purchase Date 26 May 2015 Acqui

  16. Slide 16: 1.4 Key Indicators

    16 1 EXECUTIVE SUMMARY 1.4 Key Indicators Economic & Financial Figures In the first quarter of 2016 the Group generated an EBITDA of 15,017 thousand Euros and a net profit of 8,748 thou- sand Euros. Thousands of Euros Q1 2016 Q1 2015 Revenues 12,985 6,471 EBITDA 15,017 3,967 EBIT 15,017 3,967 PBT 8,

  17. Slide 17: El Rosal Shopping Centre (León)

    17 QUARTERLY RESULTS Q1 2016 El Rosal Shopping Centre (León) Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall prevail.

  18. Slide 18: 1.5 Business Performance

    18 1 EXECUTIVE SUMMARY 1.5 Business Performance Income Distribution Rental income reached 12,985 thousand Euros in the Group’s acquiring and launching new real estate invest- first quarter of 2016 (versus 6,471 thousand Euros in the ments during said period (six shopping centres, an office same peri

  19. Slide 19: Top ten tenants by revenue

    19 QUARTERLY RESULTS Q1 2016 Below are the ten tenants that have generated the most revenue during the first quarter of 2016 and their main characteristics: % of total rental % Ranking Tenant Project income Accumulated Lease End Sector 1 Alovera II/El Rosal 8.43% 8.43% 2017-2028 Distribution Anec Bl

  20. Slide 20: Consolidated Financial Statements

    20 20 Lagasca 99 Residential (Madrid) 2 CONSOLIDATED FINANCIAL STATEMENTS Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall prevail.

  21. Slide 21: Consolidated financial statements contents

    21 21 QUARTERLY RESULTS Q1 2016 2.1 2.3 Company Chart Consolidated Statement of 31.03.16 Financial Position p. 22 p. 26 2.2 2.4 Consolidated Statement of Consolidated Statement Comprehensive Income of Cash Flows p. 24 p. 32 Translation of information originally prepared in Spanish. In the event of a

  22. Slide 22: 2.1 Company Chart 31.03.16

    22 1 EXECUTIVE SUMMARY 2.1 Company Chart 31.03.16 At 31 March 2016, the consolidated financial statements of the Lar España consolidated Lar España Group (hereinafter the “Group”) were Real Estate presented in accordance with the accounting principles estab- SOCIMI, S.A. lished in the International

  23. Slide 23: Company Chart (continued)

    23 QUARTERLY RESULTS Q1 2016 For comparative purposes, the balances of the Consolidated Comprehensive Income Statement are shown together with those for the same period the year before, whilst for the Consol- idated Statement of Financial Position they are shown together with those corresponding to

  24. Slide 24: 2.2 Consolidated Statement of Comprehensive Income

    24 2 CONSOLIDATED FINANCIAL STATEMENTS 2.2 Consolidated Statement of Comprehensive Income (Thousands of Euros) Q1 2016 Q1 2015 Revenues 12,985 6,471 Other income 7,297 130 Personnel expenses (75) (93) Other expenses (5,190) (2,541) RESULTS FROM OPERATIONS 15,017 3,967 Financial income 974 198 Financ

  25. Slide 25: Net Financial Result

    25 QUARTERLY RESULTS Q1 2016 Net Financial Result The financial result was a negative balance of 5,633 • Because of the control gained over the subsidiary thousand Euros at 31 March 2016 (negative balance of company Puerta Marítima Ondara, S.L., and conse- 626 thousand Euros at 31 March 2015). quent

  26. Slide 26: 2.3 Consolidated Statement of Financial Position

    26 2 CONSOLIDATED FINANCIAL STATEMENTS 2.3 Consolidated Statement of Financial Position Assets (Thousands of Euros) 31/03/2016 31/12/2015 Intangible assets 1 1 Investment properties 896,557 776,375 Financial assets with associates 19,557 16,774 Equity-accounted investees 7,847 43,217 Non-current fin

  27. Slide 27: Non-current assets: investment properties

    27 QUARTERLY RESULTS Q1 2016 Non-current assets Investments properties At 31 March 2016, investments properties are classi- fied under non-current assets, at a fair value of 896,557 thousand Euros (776,375 thousand Euros at 31 Decem- ber 2015). The Group´s investment properties consist of ten shoppi

  28. Slide 28: GLA, fair value and initial yield per asset

    28 2 CONSOLIDATED FINANCIAL STATEMENTS The GLA, the fair value and the initial yield per asset is as follows: Shopping Centres Las Albacenter Nuevo Txingudi Huertas Albacenter Anec Blau Villaverde Hypermarket Alisal Total gross leasable area (GLA) (sqm) 9,862 6,225 15,428 28,603 4,391 12,462 7,649 F

  29. Slide 29: Current assets

    29 QUARTERLY RESULTS Q1 2016 Current assets Financial assets with associates Financial assets with associates The amount recognised under this item at 31 March At 31 March 2016 and 31 December 2015, the amount of 2016 and 31 December 2015 reflects loans extended to this item mainly reflects the loan

  30. Slide 30: Financial liabilities: Loans & Borrowings

    30 2 CONSOLIDATED FINANCIAL STATEMENTS Financial liabilities Loans & Borrowings The characteristics of the Loans & Borrowings at 31 March 2016 are as follows: Type Project Entity Interest rate Maturity date Nominal Current Non-current amount (Thousands (Thousands (Thousands of of Euros) of Euros) Eu

  31. Slide 31: Equity

    31 QUARTERLY RESULTS Q1 2016 Equity At 31 March 2016, the Company’s share capital consist- • On 6 August, the process of increasing Lar España’s ed of 59,997,756 registered shares represented by book capital by 39,935,512 Euros was completed through entries with a par value of 2 Euros each, fully su

  32. Slide 32: 2.4 Consolidated Statement of Cash Flows

    32 2 CONSOLIDATED FINANCIAL STATEMENTS 2.4 Consolidated Statement of Cash Flows (Thousands of Euros) 31/03/2016 (*) 31/03/2015 (*) A) CASH FLOWS FROM (USED IN) OPERATING ACTIVITIES 360 (722) 1. Profit/(loss) for the period before tax 8,748 3,818 2. Adjustments for: (633) 31 Profit / (loss) from adju

  33. Slide 33: Arturo Soria Office Building (Madrid)

    33 QUARTERLY RESULTS Q1 2016 Arturo Soria Office Building (Madrid) Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall prevail.

  34. Slide 34: Megapark Shopping Centre (Bilbao)

    34 34 Megapark Shopping Centre (Bilbao) Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall prevail.

  35. Slide 35: EPRA Information

    35 35 QUARTERLY RESULTS Q1 2016 3 EPRA INFORMATION Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall prevail.

  36. Slide 36: EPRA Information introduction

    36 3 EPRA INFORMATION • In December 2014, the Reporting & Accounting Com- • On September 24, 2015. Lar España, the listed real mittee of EPRA (European Public Real Estate Associ- estate investment company, has received the ‘Gold ation1) updated a Best Practices Recommendations2 Award’ from the Europ

  37. Slide 37: EPRA key performance indicators

    37 QUARTERLY RESULTS Q1 2016 Key performance indicators described in the Best Practices Recomendations developed by EPRA are shown as follows: 31/03/2016 31/03/2016 EPRA Indicator (Thousands of Euros) / % (Euro per share) EPRA Earnings 5,872 0.10 EPRA NAV 582,780 9.80 EPRA NNNAV 578,782 9.73 EPRA Ne

  38. Slide 38: EPRA Earnings

    38 3 EPRA INFORMATION EPRA EARNINGS (Thousands of Euros) 31/03/2016 31/03/2015 Earnings per IFRS income statement 8,748 3,819 Change in value of investment properties - - Negative goodwill (1) (2,876) - Change in value of investment properties in associates - - Change in fair value of financial inst

  39. Slide 39: EPRA NAV and EPRA NNNAV

    39 QUARTERLY RESULTS Q1 2016 EPRA NAV (Thousands of Euros) 31/03/2016 31/12/2015 Net Asset Value per the Financial Statements 573,122 570,566 Revaluation of other non current investments 5,660 5,660 Fair value of financial instruments 3,998 1,560 Deferred tax - - Fair value of financial instruments

  40. Slide 40: EPRA NIY and topped-up NIY

    40 3 EPRA INFORMATION EPRA NIY and EPRA “topped-up” NIY RETAIL TOTAL Shopping centres retail warehouses RETAIL (1) Portal de la Portal As Termas Albacenter Anec Las As Marina de la Petrol Parque Nuevo Albacenter Hypermarket Blau Huertas Txingudi Termas El Rosal Megapark Hypermarket Marina Villaverde

  41. Slide 41: EPRA NIY: offices and logistics

    41 QUARTERLY RESULTS Q1 2016 offices Logistics TOTAL TOTAL OFficeS Logistics TOTAL (2) (3) Arturo Eloy Marcelo Alovera III Alovera IV Soria Egeo Gonzalo Joan Miró Spínola Alovera I Alovera II (C2) (C5-C6) Almussafes 25,600 69,210 13,000 20,475 23,708 151,993 14,300 36,840 3,250 7,500 8,500 70,390 85

  42. Slide 42: EPRA Vacancy Rate

    42 3 EPRA INFORMATION EPRA VACANCY RATE Asset Class ERV EPRA ERV Vacancy Vacancy Rate (Thousands of Euros) (Thousands of Euros) % Retail 47,696 3,409 7.15% Shopping Centres 45,046 3,409 7.56% Albacenter 2,851 291 (1) 10.21% Albacenter Hypermarket 870 0 0.00% As Termas 5,412 588 10.87% Anec Blau 6,08

  43. Slide 43: EPRA Cost Ratios

    43 QUARTERLY RESULTS Q1 2016 epra Cost Ratios (Thousands of Euros) 31/03/2016 31/03/2015 Administrative expenses (75) (93) Operating expenses (including net service charges) (5,409) (2,541) Administrative/operating expenses in associates (248) (268) EPRA Cost (including direct vacancy costs) (A) (5,

  44. Slide 44: Anec Blau Shopping Centre (Barcelona)

    44 44 Anec Blau Shopping Centre (Barcelona) Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall prevail.

  45. Slide 45: Share Price Performance

    45 45 QUARTERLY RESULTS Q1 2016 4 SHARE PRICE PERFORMANCE Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall prevail.

  46. Slide 46: 4. Share Price Performance

    46 4 SHARE PRICE PERFORMANCE 4. SHARE PRICE PERFORMANCE Details of shares (Euros) Q1 2016 Price at the beginning of the period 9.46 Price at the end of the period 8.33 Performance during the period (%) -11.95 Maximum price for the period 9.74 Minimum for the period 7.96 Average price for the period

  47. Slide 47: Analyst Recommendations

    47 QUARTERLY RESULTS Q1 2016 Analyst Recommendations Broker Recommendation Analysis Date Target Price (Euros) Buy 05/10/2015 11.44 Buy 21/01/2016 10.70 Buy 03/02/2016 11.50 Buy 03/03/2016 12.15 Overweight 22/03/2016 11.50 Buy 04/04/2016 11.60 Buy 05/04/2016 11.20 Buy 05/04/2016 10.15 Neutral 18/04/2

  48. Slide 48: As Termas Shopping Centre (Lugo)

    48 48 As Termas Shopping Centre (Lugo) Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall prevail.

  49. Slide 49: Events after the reporting period

    49 49 QUARTERLY RESULTS Q1 2016 5 Events after the reporting period Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall prevail.

  50. Slide 50: 5. Events after the reporting period

    50 5 EVENTS AFTER THE REPORTING PERIOD 5. Events after the reporting period • On 21 April 2016, the Ordinary Shareholders’ Meet- • Lar España hereby informs that, in compliance with ing of Lar España, approved with the majorities es- article 7.2 of the Investment Manager Agreement tablished by law a

  51. Slide 51: Translation of information originally prepared in Spanish

    51 Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall prevail.

  52. Slide 52: 6. Glossary

    52 6 GLOSSARY 6. GLOSSARY PBT EPRA NAV Profit Before Tax. Net Asset Value adjusted to include properties and other investment EBIT interests at fair value and to exclude Earnings Before Interest and Tax. certain items not expected to crystallise in a long-term investment EBITDA property business mod

  53. Slide 53: Egeo Office Building (Madrid)

    QUARTERLY RESULTS Q1 2016 Egeo Office Building (Madrid) Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall prevail.

  54. Slide 54: Lar España Real Estate SOCIMI, S.A.

    54 4 SHARE PRICE PERFORMANCE Lar España Real Estate SOCIMI, S.A. C/ Rosario Pino 14-16 8th Floor. 28020 Madrid, Spain +34 91 436 04 37 www.larespana.com info@larespana.com Translation of information originally prepared in Spanish. In the event of a discrepancy, the Spanish-language version shall pre

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