Slide 1: Properties for the logistics of the future
Q2 2023 Presentation July 2023 Properties for the logistics of the future Presentation Q2 2023 1
Slide 2: Q2 2023 Presentation
Q2 2023 Presentation July 2023 Q2 2023 Presentation Jörgen Eriksson Sofie Bennsten David Silvesjö CEO Chief Financial Officer Chief Treasury Officer 2
Slide 3: Agenda
Q2 2023 Presentation July 2023 Agenda 1. Summary, last quarter 5. Financial update 2. Business overview 6. Take-away from today 3. Business update 7. Q&A 4. Sustainability 3
Slide 4: Q2 2023 summary: We grow with our customers
Q2 2023 Presentation July 2023 Q2 2023 summary: We grow with our customers • Rental income continues to increase due to indexation and acquisitions • IFPM per share increased to SEK 11,65 (10,97) Profit from Property Management SEK M 954 + 23% • Published credit rating BBB- from Fitch Ratings 824 71
Slide 5: Business overview
Business overview Sector-leading portfolio and prime customer base.
Slide 6: Market update
Q2 2023 Presentation July 2023 Market update • Trying macro environment, strong players stand out • Continued challenging market for Swedish e-commerce. Fashion and Pharmacy continues to grow. • Market leading 3PL players in DHL, Postnord and challengers such as Nowaste advancing their positions • S
Slide 7: Portfolio
Q2 2023 Presentation July 2023 Portfolio Regions Number of Lettable Fair Value, Rental Economic Contractual Surplus properties area, Tsqm SEK M value, SEK letting ratio, annual rent, ratio, %2 M % SEK M1 Göteborg 21 366 5,059 305 97 296 87 Helsingborg 26 501 5,106 354 98 342 77 Jönköping 11 147 1,73
Slide 8: Customer base
Q2 2023 Presentation July 2023 Customer base Public sector Others Customers Share of contractual value Industry Packaging 2% 6% 3% 2% DHL 11% Healthcare ICA 8% 4% Martin &Servera 6% Construction and Postnord 5% Furnishing Logistics and 3% Boozt 3% transport Nowaste Logistics 3% Durable goods 39% 18%
Slide 9: Business update
Business update Attractive growth enabled by our long- standing customer relationships, unique landbank and strong financial position.
Slide 10: Current development
Q2 2023 Presentation July 2023 Current development Stenvreten 8:33, Tenant: COOP Sqm: 5,800 1,324 SEK M Enköping Investment: 124 SEK M Finalized: Q1 2024 Carrying value Statorn 31, Tenant: SGD Sqm: 8,400 Norrköping Investment: 115 SEK M Finalized: Q3 2023 2,524 SEK M Remaining Hyltena 1:98, Tenant:
Slide 11: Logistics position Ramlösa
Q2 2023 Presentation July 2023 Case Logisitics position Ramlösa Property: Vevaxeln 1 and Vipparmen 1, Helsingborg Tentant: Nowaste Logistics (LOI) Expected GLA (sqm): 75 000 sqm Expected Investment: 950 SEK M including land acquisition Expected Net Operating Income: 67 SEK M Certification: BREEAM Ex
Slide 12: Future development
Q2 2023 Presentation July 2023 Future development Örebro South (JV, 51%), Land, Sqm: 920,000 Törsjö Pending zoning plan Stockholm South, Land, Sqm: 450,000 4,600 Ksqm Nykvarn/Södertälje Zoning plan approved Land bank Logistics Position Järna Land Sqm: 1,000 000 Södertälje Pending zoning plan 1,700 K
Slide 13: Bocksjö acquisition
Q2 2023 Presentation July 2023 Bocksjö acquisition Strengthening our capacity for future growth Company: Bocksjö AB, a leading Swedish logistics property developer. Extensive track record and network Purchase price: Net effect of 125 SEK M in issued Catena shares Finalized: October 2023 Rationale: •
Slide 14: Leasing update
Q2 2023 Presentation July 2023 Leasing update Net leasing Maturity profile – WALE development Letting ratio contractual annual rent SEK M 45% 98,0% 5,5 5,5 150 40% 97,5% 35% 100 5,3 97,0% 96,7% 30% 50 25% 96,5% 5,1 20% 96,0% 0 5 15% 95,5% -50 4,9 10% 95,0% -100 5% 2018 2019 2020 2021 2022 2023 94,5%
Slide 15: Sustainability
Sustainability We are taking long-term responsibility.
Slide 16: Sustainability
Q2 2023 Presentation July 2023 Sustainability Continued progress towards 2030 targets Sustainability targets Q2 2023 2022 2021 Trend • 33 percent of lettable area is environmentally Net-zero greenhouse gas emissions by 2023 certified -Scope 1-2 (location based) 1.533 2,814 2,632 -Scope 3 (locations
Slide 17: Financial update
Financial update Strong cashflows and balance sheet provides flexibility and opportunity.
Slide 18: Income
Q2 2023 Presentation July 2023 Income Rental income Net operating surplus Profit from property management SEK M SEK M SEK M 1 544 +17% 1 220 +19% +23% 1 387 1 095 954 1 264 1 004 824 1 183 903 1 091 828 719 892 723 627 571 583 760 605 474 2018 2019 2020 2021 2022 H1 H1 2018 2019 2020 2021 2022 H1 H1
Slide 19: Rental development
Q2 2023 Presentation July 2023 Rental development H1 2023 YoY Like-for-like1 11,9 % Project development 3,1 % Acquisitions 6,4 % Divestments -4,2 % Total 17,2 % • Strong LFL driven by CPI increase • Vanda and Fröträdet main drivers within divestments • The acquisitions of Halmslätten and DKI assets
Slide 20: Capital structure management
Q2 2023 Presentation July 2023 Capital structure management Acting proactively to stay head SEK M • During the quarter, financial markets have been 35 000 60% surrounded by tighter credit conditions but also a 30 000 50% somewhat more stable interest environment. 25 000 • Equity ratio of 52% enables
Slide 21: Financial position
Q2 2023 Presentation July 2023 Financial position Financial metrics supports our strategy 12 6 10 5 • Strong operation mitigating the new interest rate 8 4 environment 6 3 4 2 • Avg. cost of debt increased to 3.5 percent (3.0 2 1 percent Q4 2022) 0 0 2018 2019 2020 2021 2022 H1 2023 • ICR of 4.5x we
Slide 22: Debt and money management
Q2 2023 Presentation July 2023 Debt and money management Catena has built a resilient financial position SEK M Debt management 4 000 Debt maturity 3 000 • Refinanced over 1.6 SEK Bn in second quarter. Mostly bank debt with 3- and 4-years duration. 2 000 • 130 DKK M in new debt with 15 years of durat
Slide 23: Interest sensitivity
Q2 2023 Presentation July 2023 Interest sensitivity Hedging position complies with our long term view SEK M • Significant hedge against rising interest rates 5 000 Interest maturity profile • 68 percent hedge ratio, including fixed interest 4 000 loans and swaps with total average interest maturity
Slide 24: Transactions
Q2 2023 Presentation July 2023 Capital deployment 1,106 Acquisitions (SEK M) Transactions 4 500 4 000 3 500 -9 Divestments (SEK M) 3 000 2 500 2 000 1 500 1 000 500 Development CAPEX 0 977 2018 2019 2020 2021 2022 H1 2023 Capex (SEK M) -500 Acquisition CAPEX (net) Development CAPEX 24
Slide 25: Property valuation
Q2 2023 Presentation July 2023 Property valuation 5.3% EPRA Higher yields mitigated by higher rent levels 35 000 NIY 7,0% • Value changes H1 2023 30 000 6,0% • -558 SEK M of unrealized value change 25 000 5,0% • Driven by higher yields, mitigated by higher rent levels 20 000 4,0% • Value changes Q2
Slide 26: Takeaway from today
Takeaway from today CATENA
Slide 27: Takeaways: strong fundamentals and attractive pipeline
Q2 2023 Presentation July 2023 1. Strong fundamentals capitalized by land bank and ascertained by credit rating 2. Attractive pipeline of best- in-class assets under construction 27
Slide 28: Q&A
Q2 2023 Presentation July 2023 Q&A Jörgen Eriksson Sofie Bennsten David Silvesjö CEO Chief Financial Officer Chief Treasury Officer 28
Slide 29: Q2 2023 Presentation July 2023
Q2 2023 Presentation July 2023 29