Slide 1: Good growth in a strong hotel market
Q2 2023 presentation Good growth in a strong hotel market Liia Nõu, CEO Anneli Lindblom, CFO Anders Berg, Head of IR 14 July 2023
Slide 2: Continued value creation
Quarter in brief Continued value creation Solid demand in the hotel market ― Germany strongest relative improvement Good underlying growth and profitability ― Cash earnings growth of +4 percent (y/y) adjusted for government grants in 2022 Large refinancings completed and stable financial position ―
Slide 3: A well-diversified portfolio
Strategic position A well-diversified portfolio Pandox Property Operator Group Management Activities 158 138 20 Hotel properties Leased properties Operated properties 35,648 30,201 5,447 Rooms Rooms Rooms SEK 72.2 bn 83% 17% Property market value Property market value Property market value Interim r
Slide 4: A strong network of partners and brands
Strategic position A strong network of partners and brands Pandox cooperates with more than 30 business partners and brands Interim report Q2 2023 14 July 2023 4
Slide 5: Good growth
Quarter in brief Good growth +12% +16% +12% 46.7% Return on equity 1) LFL growth in NOI LFL growth in NOI Loan-to-value, net total 2) Property management 3) R12M Apr-Jun 2023 Apr-Jun 2023 Per 3o June 2023 1) Measured as growth in EPRA NRV, including dividend and excluding proceeds from directed shar
Slide 6: RevPAR above 2019
Pandox Property Management RevPAR RevPAR above 2019 1200 981 1000 932 768 800 752 654 526 600 400 200 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2019 2020 2021 2022 2023 Interim report Q2 2023 14 July 2023 6
Slide 7: ADR drives continued RevPAR recovery
Hotel market development (vs 2019) ADR drives continued RevPAR recovery 45% 45% ADR ADR *Edinburgh 40% March YTD June YTD Norway Regional 25% 35% 35% Norway Regional 25% Oslo 15% *London 23% Oslo 2% London 14% Edinburgh 27% *UK Regional 25% 25% 25% *Manchester 16% *Hamburg 6% Brussels 3% Finland Reg
Slide 8: Scandic Go to open second half of 2024
New lease after the period Scandic Go to open second half of 2024 Source: Scandic (concept image) Property Management | 221 rooms | City center Revenue-based lease with minimum guaranteed rent Interim report Q2 2023 14 July 2023 8
Slide 9: Good underlying growth and profitability
Financial summary Good underlying growth and profitability Good LFL growth Revenue and result (MSEK) 23Q2 22Q2 YoY LFL1) Pandox Group revenue2) 1,774 1,482 20% 18% Seasonally strong quarter and continued recovery Pandox Group NOI2,3) 1,025 999 3% 16% Total revenue-based rents of MSEK 353 (258) Prope
Slide 10: Higher yields and higher cash flows
Property portfolio YTD Higher yields and higher cash flows MSEK Total property value of MSEK 72,164 (69,231) end-of-period Changes in value Investment Properties Average yield Investment Properties 5.88 (5.58) percent and Operating Properties 6.80 (6.50) percent end-of-period Negative (unrealised) c
Slide 11: Higher yields balanced by strong cash flows
Property portfolio Higher yields balanced by strong cash flows Property Management H1 2023 22Q2 22Q3 22Q4 23Q1 23Q2 Property Management ― Yield (+0.30%) SEK -2.6bn Unrealised changes in value, MSEK 388 585 -67 -410 -468 ― Cash flow SEK +1.8bn Average yield 5.41% 5.45% 5.58% 5.62% 5.88% Property Mana
Slide 12: Well-proven financing strategy
Financial summary Well-proven financing strategy Well-proven financing strategy built on long-term Capital structure, per 30 June 2023 relationships with banks and shareholders Equity and mortgage-backed bank loans are Pandox’s sources of financing Net interest-bearing debt, MSEK 33,718 No market fi
Slide 13: Large refinancings completed
Financial summary Large refinancings completed Refinancings in the corresponding amount of FY Key metrics (at end of period) 23Q2 22Q2 YoY approx. MSEK 14,146 completed in 23Q2 2022 Net interest-bearing debt, MSEK 33,718 31,472 +3% 32,334 MSEK 5,593 of debt maturing within one year, EPRA NRV, MSEK 3
Slide 14: New interest rate swaps added
Average fixed rate period New interest rate swaps added What we did? ― Bought interest rate swaps where we pay fixed and receive floating, with maturities between 7 – 10 years ― Four major currencies corresponding to a total nominal amount of approximately SEK 6 billion What was the effect? ― Averag
Slide 15: Multiple factors support the hotel market
Market outlook Multiple factors support the hotel market A global economy with strong legs Household demand for experiences is high with travel prioritised over other consumption Surplus household savings remain high in many of our markets Further potential for business travel in the autumn Well-fil
Slide 16: Q&A
Q&A Interim report Q2 2023 14 July 2023 16
Slide 17: Pandox AB (publ) contact and forward-looking statements
Pandox AB (publ) Box 15 Tel: +46 8 506 205 50 Forward-looking statements. This presentation contains forward-looking statements. Such statements are subject SE-101 20 Stockholm www.pandox.se to risks and uncertainties as various factors, many of which are beyond the control of Pandox AB (publ), may