Immobiliare Grande Distribuzione Siiq S.p.a. · MIL:IGD
Immobiliare Grande Distribuzione Siiq — Q1 2014 Earnings Presentation
31 slides from Immobiliare Grande Distribuzione Siiq's earnings presentation, May 9, 2014
Slide 1: Results Presentation at 31/03/2014
Conference call 9 May 2014 10.00 a.m. CET Results Presentation at 31/03/2014
Slide 2: Disclaimer
DISCLAIMER This presentation does not constitute an offer or an invitation to subscribe for or purchase any securities. The securities referred to herein have not been registered and will not be registered in the United States under the U.S. Securities Act of 1933, as amended (the “Securities Act”),
Slide 3: Highlights
3 Highlights REVENUES € 31.0 mn •Total revenues (+1.9% vs 31/03/2013) € 29.7 mn •Core business revenues (-2.4% vs 31/03/2013) EBITDA € 20.1 mn •EBITDA (core business) (-5.5% vs 31/03/2013) •EBITDA margin (core business) 67.8% ( -2.3 percentage points) •EBITDA margin Freehold 78.3% (-1 percentage poi
Slide 4: Significant transactions in the first months of 2014
4 Significant transactions in the first months of 2014 26 February 2014 – Sale of the mall in “FONTI DEL CORALLO” shopping center in Livorno to a private real estate fund managed by BNP Paribas Reim. The sale of the property took place for consideration of €47 million. 5 March 2014 – Sale of the tre
Slide 5: Economic Context
ECONOMIC CONTEXT
Slide 6: The Italian economic context in 1Q2014
6 The Italian economic context in 1Q2014 GDP trend (change%) Consumption trend (change%) Real Estate investments in Italy 2.0% 300,000,000 2.0% 250,000,000 1.5% 1.3% 1.5% 200,000,000 1.0% 1.1% 1.0% 1.0% 150,000,000 0.6% 0.7% 1Q 2013 100,000,000 0.5% 0.5% 1Q 2014 50,000,000 0.0% 0.0% 0.0% 0 2014 2015
Slide 7: The Romanian economic context in 1Q2014
7 The Romanian economic context in 1Q2014 GDP trend (change%) Consumption trend (change%) 4.0% 4.0% 3.5% 2.9% 3.5% 3.0% 2.6% 2.9% 2.9% 2.4% 3.0% 2.5% 2.1% 2.5% 2.0% 2.0% 1.5% 1.5% 1.0% 1.0% 0.5% 0.5% 0.0% 0.0% 2014 2015 2016 2014 2015 2016 Data source: sample averages institutes and researches Data
Slide 8: Economic and Financial Results
ECONOMIC AND FINANCIAL RESULTS
Slide 9: Consolidated Income Statement
9 Consolidated Income Statement CONSOLIDATED CORE BUSINESS "PORTA A MARE" PROJECT €/000 31/03/2013 31/03/2014 % 31/03/2013 31/03/2014 % 31/03/2013 31/03/2014 % Revenues from freehold properties 26,626 25,643 (3.7)% 26,607 25,579 (3.9)% 19 64 n.a. Revenues from leasehold properties 2,564 2,843 10.9%
Slide 10: Margins from activities
10 Margins from activities CONSOLIDATED CORE BUSINESS "PORTA A MARE" PROJECT €/000 31/03/2013 31/03/2014 % 31/03/2013 31/03/2014 % 31/03/2013 31/03/2014 % Margin from freehold properties 23,179 22,206 (4.2)% 23,159 22,157 (4.3)% 19 49 n.a. Margin from leasehold properties 299 242 (19.0)% 299 242 (19
Slide 11: Core business revenues: -2.4%
11 Core business revenues: -2.4% TOTAL REVENUES (€/000) BREAKDOWN OF TOTAL REVENUES BY TYPE OF ASSET 30,440 Total 31,031 7.2% 0.2% revenues +1.9% 1,278 1.5% 1,250 1,266 Revenues from 0.3% Core trading business Revenues from Core -2.4 % services business Revenues from rental activity 31.4% 29,190 28,
Slide 12: Direct costs and G&A expenses Core Business
12 Directs costs and G&A expenses Core Business DIRECT COSTS CORE BUSINESS (€ 000) 7,104 6,808 +4.9% Increase in Direct Costs mainly due to: OTHER DIRECT COSTS PROVISIONS • OTHER DIRECT COSTS + 0.3 € mn IMU property tax (+15.3%) due to the increase in the item 4,495 4,772 rents and payable leases (m
Slide 13: Total consolidated Ebitda: € 20.1 mn
Total consolidated Ebitda: € 20.1 mn Ebitda (core business): € 20.1 mn (-5.5%) 13 CONSOLIDATED EBITDA (€ 000) 591 1,262 294 121 21,216 20,131 Ebitda 31/03/2013 Change in Change in Change in direct Change in G&A Ebitda 31/03/2014 operating increases, cost of costs expenses revenues sale and other EBI
Slide 14: Group net profit: € 6.2 mn
14 Group net profit: € 6.2 mn GOUP NET PROFIT (€ 000) NET PROFIT EVOLUTION (€ 000) 1,170 85 193 131 676 -24.8 % 220 8,237 6,194 8,237 6,194 Group net Change in Change in Change in Change in Change in Change in Group net 31/03/2013 31/03/2014 profit Ebitda core Ebitda 'Porta a provisions, financial a
Slide 15: Core business Funds From Operations
15 Core business Funds From Operations FFO (€/000) 31/12/2013 31/03/2014 D D% Of which: Pre-tax profit 9,141 7,923 -1,218 -13.3% • –1.1 mn€ due to decreased Ebitda Depreciation and other provisions 357 372 14 4.1% (decreased net Change in FV and devaluations 275 453 179 64.9% revenues, increased Ext
Slide 16: Operating Performance
FY 2009 RESULTS OPERATING Bologna PERFORMANCE November 11, 2011
Slide 17: Commercial Highlights
17 Commercial Highlights Footfalls in Italian IGD Shopping Malls* * Footfalls data for February and March do not consider Centro +0.8% progressive change d’Abruzzo and Gran Rondò for problems at visitor counter Tenant sales in Italian IGD Shopping Malls +0.9% progressive change Hypermarket Sales -5.
Slide 18: The performance of our shopping malls in 1Q2014
18 The performance of our shopping malls in 1Q2014 TENANT SALES AND FOOTFALLS IN OUR SHOPPING CENTERS progressive progressive in absolute change March change March value ITALY +0.9% +0.8% 15 million ROMANIA n.p* 7.3 million *not all our tenants have a cash register ITALY • The quarter ended positive
Slide 19: Tenants in Italy
19 Tenants in Italy Turnover TOP 10 Tenants Product category Contracts TOTAL CONTRACTS impact Miroglio Group Malls 1,011 clothing 3.7% 34 Hypermarkets 19 clothing 3.0% 10 Total 1,030 clothing 1.9% 7 clothing 1.8% 20 BRAND BREAKDOWN IN MALLS footwear 1.6% 4 By turnover electronics 1.5% 1 16% 17% BBC
Slide 20: Tenants in Romania
20 Tenants in Romania TOTAL CONTRACTS 551 BRAND BREAKDOWN IN MALLS By turnover 31% 45% 24% International brands National brands Local brands 9 May 2014 1Q2014 Results Presentation
Slide 21: Contracts in Italy and Romania
21 Contracts in Italy and Romania EXPIRY DATE OF CONTRACTS OF HYPERMARKETS EXPIRY DATE OF CONTRACTS OF HYPERMARKETS AND AND MALLS IN ITALY (% no. Of contracts) MALLS IN ITALY ( % of value) N 19 120% 120% 100.0% 100.0% 100% 100% N 573 80% 80% 53.7% 58.3% 60% 60% N 183 N 136 N 119 40% 40% 21.0% 20% 13
Slide 22: The sustainability process continues
22 The sustainability process continues…. Since 16 April 2014 The fourth Sustainability Report is online 2014 TARGET Carry out the actions related to sustainability included in 2014 business plan
Slide 23: In the logic of integration with business planning
23 … in the logic of integration with business planning TARGETS SOME RESULTS ACHIEVED IN 2013 Increase in quality and • ISO14001 environmental certification for the fifth Shopping Center (in line with the roll efficiency of Centers out plan) • Decrease in power consumption ( -7.8% in Italy and -22.2
Slide 24: Financial Structure
FINANCIAL STRUCTURE
Slide 25: Financial Highlights 1/2
25 Financial Highlights 1/2 31/12/2013 31/03/2014 GEARING RATIO 1.38 1.27 LOAN TO VALUE 57.4% 55.5% COST OF DEBT 3.94% 4.12% INTEREST COVER RATIO 1.91X 1.73X AVERAGE LENGTH OF LONG TERM DEBT 8.6 years 8.3 years (bond excluded) MID/LONG TERM DEBT RATE 75.3% 75.6% 9 May 2014 1Q2014 Results Presentatio
Slide 26: Financial Highlights 2/2
26 Financial Highlights 2/2 31/12/2013 31/03/2014 HEDGING ON LONG TERM DEBT + BOND 79.3% 79.5% HEDGING ON LONG TERM DEBT 75.3% 75.5% BANKING CONFIDENCE € 273.5 mn € 273.5 mn BANKING CONFIDENCE AVAILABLE € 86.6 mn € 132.5 mn MKT VALUE OF MORTGAGE FREE ASSETS/LANDS € 347.7 mn € 349.3 mn 9 May 2014 1Q2
Slide 27: Financial structure
27 Financial structure Market/Banks NET DEBT COMPOSITION (€ 000) breakdown 4,670 16,165 27.2% 827,351 1,022,430 72.8% 67,518 BANKS MARKET 139,055 Short term debt Current share of long term Long term debt Potential mall and business Cash&cash equivalents Net debt debt division fees The market portion
Slide 28: Net Debt
28 Net Debt NET DEBT CHANGE € 000) 6,194 4,780 5,040 795 36,631 9,018 1,084,887 1,022,430 Net debt 31/12/13 Profit for the period Depreciation/ Change in NWC (net of Change in other non- Change in fixed/ non- Change in shareholders' Net debt 31/03/14 attributable to Parent Devaluation/ Change in PM
Slide 29: Reclassified balance sheet
29 Reclassified balance sheet SOURCES/USE OF FUNDS (€ 000) 31/03/2013 31/03/2014 D D% Fixed assets 1,879,129 1,842,961 -36,167 -1.9% NWC 71,271 66,490 -4,781 -6.7% Other long term liabilities -68,518 -70,313 -1,795 2.6% TOTAL USE OF FUNDS 1,881,881 1,839,140 -42,741 -2.3% Net debt 1,084,887 1,022,43
Slide 30: Final remarks
30 Final remarks In what is still a critical macroeconomic environment, albeit with signs of a slight recovery which have yet to stabilize in the first few months of 2014 IGD took the steps needed to achieve the targets outlined in the 2014-2016 Business Plan confirming the validity of the business
Slide 31: www.gruppoigd.it
www.gruppoigd.it Claudia Contarini, IR T. +39. 051 509213 M. +39 3357878101 claudia.contarini@gruppoigd.it Elisa Zanicheli T. +39. 051 509242 elisa.zanicheli@gruppoigd.it
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