Helios Re Socimi, S.a. · BME:SCHLR
Helios Re Socimi — Lar España Real Estate SOCIMI — H1 2021 Earnings Presentation
34 slides from Helios Re Socimi's earnings presentation, Sep 30, 2021
Slide 1: 1H 2021 Results Presentation
1H 2021 RESULTS PRESENTATION 30th September 2021 www.larespana.com
Slide 2: Presenting Team
Presenting Team Miguel Pereda José Manuel Llovet Jon Armentia Hernán San Pedro Lar España Board Director Chief Executive Officer of Corporate Director and Head of I.R. and Corporate & Chairman of Grupo Lar Commercial Real Estate of CFO of Lar España Communication Director of Grupo Lar Lar España 2
Slide 3: Index
Index 1 2 3 4 Framework & 1H 2021 1H 2021 Results Closing remarks global Operating situation performance & COVID-19 update
Slide 4: Framework & global situation
Framework & global situation Miguel Pereda Lar España Board Director & Chairman of Grupo Lar 1
Slide 5: 2020 a complicated year worldwide, 2021 the recovery starts
Framework & global situation Global recoveries after recessions 2020 a complicated year worldwide, 2021 the recovery starts Source: World Bank´s Outlook Lines show global recessions, with “t” as their final year. Data for 2021-23 used in the “2020” episode are forecasts. For Covid-19 crisis, t=2020
Slide 6: Recovery with inflation in the short term but controlled in the medium term
Framework & global situation Recovery with inflation in Annual inflation rate % the short term but controlled in the medium term. World economic growth is sustained. Source: JP Morgan Source: IMF 6
Slide 7: Real Estate experts agree on the analysis of the sector: recovery phase
Framework & global situation The monthly synthetic indicator is built upon aggregating all the indicators considered in each of the three different groups of the Recovery Indicators: 1) Real Estate Indicators, 2) Economic Indicators and 3) Mobility Indicators Real Estate experts agree on the analysi
Slide 8: Spain pandemic evolution and vaccine programme: room for more improvement
Framework & global situation Spain pandemic evolution and vaccine programme1: room for more improvement In process Dec 2020 In process Feb 2021 Sep 2021 STAGE 0 STAGE 1 STAGE 2 STAGE 3 Development, First doses available Number of doses growing Widely available vaccine authorization, evaluation. Prio
Slide 9: Lar España improvement hand in hand with our strategy
Framework & global situation Lar España improvement hand in hand with our strategy Our main Decisions Our main Achivements Keep highest health standards. SGS Successful disposal of supermarkets COVID-19 Safety Certification portfolio in Feb. 21. Capex halted and any new investments on stand-by. All
Slide 10: A strategy to follow, the key stone to overcome crisis
Framework & global situation 1H 21 Market Comparison A strategy to follow, Lar España Market Average1 The key stone to overcome crisis: Occupancy rate 95% 94.7% • Dominant assets with excellent locations and Asset Valuation vs Dec20 -0.4% -2.1% acquisition prices • Appropiate mix of assets and retai
Slide 11: 1H 2021 Operating performance & COVID-19 update
1H 2021 Operating performance & COVID-19 update José Manuel Llovet Chief Executive Officer of Commercial Real Estate of Grupo Lar 2
Slide 12: Current situation: 99% GLA opened
1H 2021 Operating performance & COVID-19 update Current situation: 99% GLA opened % GLA Opened over area occupied At June 30th Today Lagoh 100% 100% Megapark 100% 100% Gran Vía de Vigo 97% 97% P. Marina 100% 100% CC: El Rosal 100% 100% Ànec Blau 100% 100% As Termas 100% 100% Albacenter 100% 100% Txi
Slide 13: Footfall and Sales numbers recovery vs 2019
1H 2021 Operating performance & COVID-19 update Footfall and Sales numbers recovery vs 2019 100% GLA opened Footfall recovery Sales recovery 112% 99% 105% 106% 103% 97% 99% 100% 109% 95% 94% 96% 96% 94% 104% 91% 86% 94% 96% 95% 92% 93% 76% 93% 92% 93% 74% 90% 89% 91% 86% 84% 67% 74% 69% 49% 61% 49%
Slide 14: On the way to recovering pre COVID levels
1H 2021 Operating performance & COVID-19 update On the way to Agreements and conversations with tenants recovering pre COVID levels One-on-one agreements reached Contracts >2024 Collected rents at 30th June 2021 Collected rents as today c.100 % GLA +65 % 85% c.90% Sales & Footfall c. -16%1 vs 1H19 L
Slide 15: Leasing activity in 1H 2021
1H 2021 Operating performance & COVID-19 update Leasing activity in 1H 2021 >65% 2.6 y contracts WAULT >2024 7,700 sqm 3% Rotated Annualised rotation rate 9.9% 35 1.8 Mn Effort rate expenses included Operations in 1H 2021 Negotiated rent 95% >1,000 Occupancy1 Existing contracts 1Ratio calculated acc
Slide 16: Resilient Portfolio
1H 2021 Operating performance & COVID-19 update Resilient Portfolio Multiproduct offer Capacity to assume this Balanced portfolio that has been key to react better and sooner than others. c. 20 % Essential activities scenario High percentage 67 % 33 % of food & health tenants Shopping Retail parks c
Slide 17: 1H 2021 Results
1H 2021 Results Jon Armentia Corporate Director and CFO of Lar España 3
Slide 18: Operating Results in 1H 2021
1H 2021 Results Results Assets Operating Results in € 40.0 Mn Outperforming the Spanish and European 1H 2021 GRI 1H 2021 market 5.8% € 32.6 Mn EPRA “topped-up” NIY NOI 1H 2021 95% € 7.7 Mn vs €(28.7) Mn 1H20 Occupancy2 30th June 2021 Net Profit 1H 2021 2.6 years WAULT €1,411 Mn GAV 85% Collected ren
Slide 19: Corporate Results in 1H 2021
1H 2021 Results Corporate Corporate Results 6.7 % c.€167 Mn €27.5 Mn Liquidity in 1H 2021 Dividend Dividend Yield Expenses covered over €0.31 p.s. paid dividend Over market cap1 the next 4 years Net LTV 41% €400 Mn 1.75% Closing 1H 21 Green Bond issuance Interest rate 2015 2016 2017 2018 2019 2020 2
Slide 20: ESG Results
1H 2021 Results ESG ESG Results BBB ● Energy Efficiency Plan Reducing our energy consumption and costs. MSCI ESG Rating ● Waste Management Plan to optimize the collection and transport of waste. Carbon Footprint Registration 2018, 2019 & 2020 ● Commitment to the UN Global Compact Adhesion and SDG go
Slide 21: ESG KPIs
1H 2021 Results Data automation in shopping malls already launched. Greater periodicity, ESG KPIs greater data homogenization and time savings. It has allow us to have figures for the 1H21 asset´s performance. Consumption & emissions Consumption performance vs H1 2019 vs H1 2020 Electricity -12.5% 3
Slide 22: Debt structure & EPRA figures
1H 2021 Results Corporate Debt structure & EPRA figures 752.6Mn €585.2 Mn 41% Net LTV Gross Financial debt Net financial debt 1H 2021 Fixed rate Covenants Debt Maturity 84% 100% 2.6 Years Avg. cost of debt complied 5 years after Green Bond issuance 2.2 % 1.9% after Green Bond issuance €853.7 Mn €10.
Slide 23: Successful Green Bond offering
1H 2021 Results Succesful Green Bond offering Amount: € 400 Mn (the maximum pre-determined amount) The placement closed four times oversubscribed with an annual coupon of 1.75% Unsecured and with a maturity in July 2026. The issue was placed with qualified investors and will list on the Euro MTF mar
Slide 24: New maturity profile
1H 2021 Results New maturity profile Maturity Profile - Pre-Refinancing Maturity Profile - Pro-Forma Transaction Debt (€MM) Debt (€MM) Avg. Debt Maturity: Avg. Debt Maturity: 2.6 years 4.9 years 428 284 400 140 174 30 105 105 80 75 80 75 174 40 115 105 46 105 46 10 80 28 10 11 80 30 10 25 4 30 10 11
Slide 25: Investment grade rating BBB
1H 2021 Results Investment grade rating Leading Retail Platform in Spain: Largest Player by Owned GLA with a Diversified Portfolio of Multiproduct Retail Offer Iconic Collection of Modern, Flagship Assets Dominant in their Catchment Area Blue-Chip Tenant Base with Long Lease Duration Providing Cash
Slide 26: ISS-ESG Second Party Opinion on Green Bond Framework
1H 2021 Results ISS-ESG has provided a Second 81.3 % Party Opinion on this Framework Use of proceeds Aligned with those recognized by the Green Bond Principles 2021 Project Evaluation / Selection In line with market practice Management of Proceeds In line with market practice Reporting In line with
Slide 27: Asset appraisal June 2021
1H 2021 Results Asset appraisal June 2021 30th June 2021 Valuation €1,411.1 Mn Including Capex Invested • A resilient portfolio of dominant shopping centres and retail parks in attractive 47.5% catchment areas. • Cherry-picked portfolio, assets carefully analysed and selected without buying portfoli
Slide 28: P&L 1H 2021
1H 2021 Results P&L 1H 2021 1H 2021 1H 2020 Consolidated Income Statement 1H 2021 (€ Thousands) Total Total Rental Income 38,752 47,943 Other Income 1,226 1,107 Personnel expenses (276) (223) Other expenses (17,185) (11,669) Changes in the Fair Value of investment properties (7,564) (55,877) Results
Slide 29: Closing remarks
Closing remarks Miguel Pereda Lar España Board Director & Chairman of Grupo Lar 4
Slide 30: 1H 2021 Highlights
Closing remarks 1H 2021 Highlights Good operating Occupancy rate Successful Asset values results keeps stable refinance keep stable process and low LTV More value for Environmental shareholders: Fully alligned best practices Leaders at SBB with digital and continuous Corporate amortization retail im
Slide 31: Attractive dividend maintained despite Covid-19
Closing remarks Attractive dividend maintained despite Covid-19 8.9% Div Yield over Market Cap 1 Committed to profitability € 0.63 ps € 0.54 ps €55.0 Mn • Prudent cash position control with a € 0.49 ps 6.7% Div detailed liquidity analysis. Yield over €50.0 Mn Market Cap • >90% cashflow generated in
Slide 32: 10 reasons to rely on Lar España
Closing remarks 1 6 Retail sector, an opportunity to Strong operating results over the enter at attractive yields. years, outperforming the Spanish 10 reasons to rely on Lar and European market. España 2 7 Strong value creation over the Quick capability to recover footfall years not reflected in sha
Slide 33: Disclaimer
Disclaimer This document has been prepared by Lar España Real Estate SOCIMI, S.A. (the “Company”) for information purposes only and the information included in this document is not regulated information or information which has been subject to prior registration with, or control by, the Spanish Nati
Slide 34: www.larespana.com
—_— lar www.larespana.com
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