Eph European Property Holdings Plc · SIX:EPH.EUR
Eph European Property — H1 2020 Earnings Presentation
17 slides from Eph European Property's earnings presentation, Sep 30, 2020
Slide 1: Financial Results for Six Months Ended 30 June 2020
FINANCIAL RESULTS FOR SIX MONTHS ENDED 30 JUNE 2020 EPH 30 September 2020 Page 1
Slide 2: Agenda
AGENDA 1. Introduction 2. 1HY 2020 – Operational Highlights 3. 1HY 2020 – Financial Results 4. Q&A EPH 30 September 2020 Page 2
Slide 3: HY 2020 Operational Highlights: Key Events
HY 2020 OPERATIONAL HIGHLIGHTS Key Events ▪ During the first 6 months of 2020 the Company continued its expansion in Europe and strengthened its real estate portfolio through further acquisitions in Germany and Austria. ▪ In April 2020 the Company acquired 89.9% interest in the hotel property in Ber
Slide 4: HY 2020 Operational Highlights: Subsequent Events
HY 2020 OPERATIONAL HIGHLIGHTS Subsequent Events ▪ After the end of the reporting period, the Company acquired its second hotel property in Western Europe, in Dresden. The property (SALZ 4) is wholly rented out to Meliá Hotels International, one of the largest operators in Spain with a strong global
Slide 5: EPH Portfolio at Glance
HY 2020 OPERATIONAL HIGHLIGHTS EPH Portfolio at Glance ▪ 12 investment properties (+1 acquired in July 2020) ▪ With the total value of US$ 1,138.3 million ▪ With the total of 186,000 sqm ▪ With the average vacancy of 3.6%* ▪ Dedicated to office, retail and hotel use ▪ Located in large cities in Russ
Slide 6: HY 2020 Financial Results
HY 2020 FINANCIAL RESULTS ▪ NAV of US$ 36.82 per share – decreased from US$ 40.73 at YE2019 ▪ Net profit attributable to the shareholders is US$ 9.85 million vs US$ 27.41 million in HY2019 ▪ The main factors influencing NAV and the financial result are: • Net rental income declined from US$ 37.77 mi
Slide 7: Key Performance Indicators
HY 2020 FINANCIAL RESULTS KEY PERFORMANCE INDICATORS EPH 30 September 2020 Page 7
Slide 8: Investment Properties
HY 2020 FINANCIAL RESULTS INVESTMENT PROPERTIES in US$ 30.06.2020 31.12.2019 Russia 559,047,834 651,129,451 Berlin House 151,431,014 152,229,774 Geneva House 145,202,000 147,198,000 Polar Lights 99,720,000 111,737,000 Hermitag Plaza 185,002,000 209,869,000 Arbat 10,140,000 21,499,000 Magistral'naya
Slide 9: Investment Properties: New Acquisitions
HY 2020 FINANCIAL RESULTS INVESTMENT PROPERTIES in US$ 30.06.2020 31.12.2019 Russia 559,047,834 651,129,451 Berlin House 151,431,014 152,229,774 Geneva House 145,202,000 147,198,000 Polar Lights 99,720,000 111,737,000 Hermitag Plaza 185,002,000 209,869,000 Arbat 10,140,000 21,499,000 Magistral'naya
Slide 10: Inventory
HY 2020 FINANCIAL RESULTS INVENTORY WHAT CHANGED? ▪ Inventory is carried at cost and tested against appraised values for impairment at each balance sheet date. As appraised value is higher than cost, apartments are treated at cost ▪ Change in value is caused by the following: • Decrease due to sale
Slide 11: Accounts Receivable
HY 2020 FINANCIAL RESULTS ACCOUNTS RECEIVABLE WHAT CHANGED? ▪ Increase in rental receivables is mainly due to temporary problems with liquidity that some significant Group’s tenants had at period end. Most of the balance is already repaid subsequently and receivable level returned to normal. ▪ Recei
Slide 12: Cash & Cash Equivalents
HY 2020 FINANCIAL RESULTS CASH & CASH EQUIVALENTS WHAT CHANGED? Main Inflows ▪ Net rental income from Rental Properties ▪ Proceeds from the sale of Arbat apartments and parking lots (cash from sale of office area in Arbat 24 was received in July 2020) ▪ Proceeds from issuance of subordinated bonds t
Slide 13: Borrowings
HY 2020 FINANCIAL RESULTS BORROWINGS WHAT CHANGED? ▪ Issuance of new debt notes to the shareholders ▪ Loan from non-controlling party of STRAL 3, AVM Invest EPH 30 September 2020 Page 13
Slide 14: Rental Income
HY 2020 FINANCIAL RESULTS RENTAL INCOME Net Rental Income (in US$) 30.06.2020 30.06.2019 Berlin House 5,804,034 6,873,209 Geneva House 5,667,262 7,412,548 Polar Lights 4,362,897 4,347,361 Hermitag Plaza 6,534,201 14,241,911 Arbat 61,895 52,722 Magistral'naya 312,957 324,383 City Gate 2,115,679 2,067
Slide 15: Sales of Inventory
HY 2020 FINANCIAL RESULTS SALES OF INVENTORY WHAT CHANGED? ▪ Profit from sale of investment property - commercial office area in Arbat 24 was recognised (US$ 11.6 million) ▪ Profit from sale several apartments and parking lots has been recognized (US$ 0.85 million). This amount includes profit on sa
Slide 16: Gain/(Loss) from Fair Value Adjustment on Investment Property
HY 2020 FINANCIAL RESULTS GAIN/(LOSS) FROM FAIR VALUE ADJUSTMENT ON INVESTMENT PROPERTY in US$ 30.06.2020 30.06.2019 Russia 42,636,824 30,816,744 Berlin House 759,507 6,670,866 Geneva House 1,996,000 2,972,820 Polar Lights 11,445,959 13,264,465 Hermitag Plaza 25,311,382 5,305,593 Arbat 2,536,930 1,7
Slide 17: Finance Costs
HY 2020 FINANCIAL RESULTS FINANCE COSTS WHAT CHANGED? ▪ Interest for bonds almost did not change ▪ New issue of notes payable in HY 2020 resulting in increased interest expense. The Group capitalised in the cost of LASS 1 related borrowing costs of US$ 0.71 million. EPH 30 September 2020 Page 17
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