Dar Al Arkan Real Estate Development Co. · TADAWUL:4300
Dar Al Arkan Real Estate Development — Q1 2023 Earnings Presentation
33 slides from Dar Al Arkan Real Estate Development's earnings presentation, 2023
Slide 1: Dar Al Arkan
DAR AL ARKAN uL_GNi jla
Slide 2: Investor Presentation Q1 2023
Investor Presentation Q1 2023 2
Slide 3: Table of Contents
Table of Contents Page No. 1. Macro Economic Overview & KSA Real Estate Market 4 2. Key Business Indicators Overview 9 3. Financial Performance Overview 12 4. Overview of Assets Portfolio 16 5. Notable Changes During The Reporting Period 21 6. Appendix 26 3
Slide 4: Macro Economic Overview & KSA Real Estate Market
MACRO ECONOMIC OVERVIEW 1| & KSA REAL ESTATE MARKET 4
Slide 5: Macroeconomic Overview
Macroeconomic Overview 2022 saw an accelerated growth and forecasted to maintain growth in 2023 and forward GDP Growth Accelerated Deficit Turns to Surplus Average Brent Oil Prices in 2022 in 2022 120 10.0% 6% 101 8.7% 100 8.0% 3% 2.6% 1.7% 76 5.7% 80 71 71 6.0% 0.4% 0.5% 64 4.5% 0% 60 4.0% 2019 202
Slide 6: KSA Real Estate Sector Overview
KSA Real Estate Sector Overview The strong long-term fundamentals of the market remain intact Positive Demographic Trends Supply Shortages Government Support KSA Total Population (Age/Gender) Total population projection of 36.2 million for 2022 Population growth of around 2% per year. Chronic un
Slide 7: KSA Real Estate Sector Overview: Transaction Values
KSA Real Estate Sector Overview * Residential & Commercial deals rose 6% (YoY) an increase of SAR 12 billion 450 410 380 360 321 140.1 122.5 270 110.1 249 224 209 205 193 180 79.7 99.1 166 159 71.1 131 61.1 78.8 270.0 38.9 43.7 257.2 38.0 90 210.7 144.5 149.8 137.6 126.9 131.4 126.5 93.4 115.2 0 201
Slide 8: KSA Real Estate Price Index
KSA Real Estate Sector Overview The Real Estate Price Index slowed down YoY and declined QoQ in Q1 2023 KSA Real Estate Price Index (YoY) KSA Real Estate Price Index (QoQ) 1.8% 1.6% 1.5% 1.0% 0.9% 1.5% 0.6% 0.5% 0.5% 0.3% 0.3% 1.2% 1.0% 0.0% 0.7% 0.9% -0.1% 0.0% 0.6% 0.4% -0.5% 0.3% 0.0% -1.0% Q1-22
Slide 9: Key Business Indicators Overview
KEY BUSINESS INDICATORS 2| OVERVIEW 9
Slide 10: Q1 2023 – Key Business Indicators
Q1 2023 – Key Business Indicators Investment In Revenues (LTM) -13.7% EBITDA (LTM) -4.2% Development Properties (LTM) 44.3% SAR 3,070 mn SAR 1,117 mn SAR 3,247 mn (Q1 2022 : SAR 3,558 mn) (Q1 2022 : SAR 1,166 mn) (Q1 2022 : SAR 2,250 mn) Gross Debt/ Cash And Bank Book Value Per Share Capitalization
Slide 11: Dar Al Arkan Real Estate Assets
Dar Al Arkan Real Estate Assets DAAR’s Real Estate assets portfolio at cost is SAR 20.4 bn. DAAR has a strong pipeline of projects across the Kingdom totaling 12.9 mn sqm. Real Estate Properties Break up - SAR bn Total Land Area – SQM mn 57% 33% Investments in Project Lands & Lands, 14.9 Propert
Slide 12: Financial Performance Overview
FINANCIAL PERFORMANCE 3| OVERVIEW 12
Slide 13: Financial Performance – Q1 2023 Profitability
Financial Performance – Q1 2023 Profitability 1,800 Quarterly Revenues (SAR mn) 600 Gross Profit (SAR mn) & Margin (%) 42% 41% 1,619 563 1,600 27 500 19 39% 40% 1,400 39% 1,200 400 37% 345 38% 886 37% 36% 36% 304 301 1,000 775 764 268 678 743 300 24 36% 800 555 568 595 217 35% 544 1,592 33 205 208 2
Slide 14: Financial Performance – Q1 2023 Cash Flow
Financial Performance – Q1 2023 Cash Flow Cash Flow – Q1 2023 (SAR mn) Income / Sources of Cash Uses of Cash / Expenses 10,000 9,000 8,000 7,000 188 18 - 764 2,650 6,000 5,000 4,000 3,000 5,929 194 2,000 17 5 131 3,866 1,000 - Starting Cash Revenue New Debt Working Capital Investment in Debt Opex In
Slide 15: Financial Performance – Q1 2023 Debt
Financial Performance – Q1 2023 Debt 12,000 Gross Debt Vs Net Debt (SAR mn) 40% 35% Debt* / Capitalization 10,840 35% 34% 35% 36% 10,224 10,061 9,980 10,742 33% 33% 9,468 9,387 10,000 30% 8,378 29% 7,823 30% 8,000 4,549 4,299 4,393 5,929 4,153 6,608 5,034 3,866 6,000 20% 4,636 19% 20% 19% 19% 4,000
Slide 16: Overview of Assets Portfolio
OVERVIEW OF ASSETS 4| PORTFOLIO 16
Slide 17: Shams Ar Riyadh – Key Facts
Residential & Commercial Development Projects - KSA Shams Ar Riyadh – Key Facts Location - Situated in the Al-Ammariyah district (King Khalid Road), part of the growing northwest corridor of Riyadh, Shams Ar Riyadh is close to the heart of the city and is located just 19 km from KKI Airport and 9 km
Slide 18: Residential & Commercial Development Projects - KSA
Residential & Commercial Development Projects - KSA Parisiana South Jeddah Projects Eastern Province Projects Dar Al Mashaer - Located in Riyadh city and easily - Shams Al Arous is a master-planned, - Juman project is strategically located - Located in holy city of Mecca on the Al accessed through K
Slide 19: Residential & Commercial Development Projects - KSA
Residential & Commercial Development Projects - KSA Commendatore Tower- Jeddah ROSHN Sedra Project - Riyadh Buraidah Hills - The Commendatore Tower is to be built on a - Dar Al Arkan had won a contract to develop - Located in Buraidah city of Al-Qassim total land area of 11,928 sqm, comprised of 48
Slide 20: Leasing Properties Portfolio
Leasing Properties Portfolio Al-Qasr Mall, Riyadh Land Area 61,949 m² Built up Area 235,288 m² Gross Leasable Area 75,983 m² No. of floors 3 Leasable Floors plus two parking Parking 1,579 Parking Spaces Latest Activity: 87% occupancy achieved by the end of Q1 2023. Al-Qasr Apartments, Riyadh GLA 1
Slide 21: Notable Changes During The Reporting Period
NOTABLE CHANGES DURING 5| THE REPORTING PERIOD 21
Slide 22: Notable Changes During The Reporting Period
Notable Changes During The Reporting Period Dar Global Accounting and Project Update (Reference to note 29 of interim consolidated financial statements) - On 28 February 2023, Dar Global PLC, an indirectly wholly owned subsidiary of the Group, had listed its shares on the London Stock Exchange’s mai
Slide 23: International Projects Developed by Dar Global PLC
International Projects Developed by Dar Global PLC Urban Oasis Tower, Dubai Da Vinci Tower, Dubai W Residences, Dubai - The Urban Oasis Tower is located in the Business - The Da Vinci Tower is a residential building in - The W Residences is a residential building in one of Bay area of Dubai, with a
Slide 24: Residential & Commercial Development Projects - International
Residential & Commercial Development Projects - International Bosnia Projects Aida, Oman Les Vagues, Qatar - The site is situated in Ravne, Vareš, 38 km outside - In Dec 2021, Dar Al Arkan signed an MOU with - Les Vagues by Elie Saab with an estimated Sarajevo, Capital of Bosnia & Herzegovina. Omran
Slide 25: Residential & Commercial Development Projects - International
Residential & Commercial Development Projects - International Fourth Floor Flat of 149 Old Park Benahavis, Spain Finca Cortesin, Spain Tabano, Spain Lane, UK - Group signed a purchase contract - Dar Benahavis acquired a plot of land - Dar Tabano acquired six plots of land - Dar Al Arkan Global UK Ho
Slide 26: Appendix
6| APPENDIX 26
Slide 27: Appendix I – Statement of Financial Position
Appendix I – Statement of Financial Position SAR in 000s FY 2020 FY 2021 FY 2022 Q1 2022 Q1 2023 Investment properties, net 1,519,116 1,110,414 1,077,808 1,098,361 1,057,839 Long-term development properties 18,246,583 19,285,287 20,563,563 18,628,574 19,186,003 Property and equipment, net 72,180 77,
Slide 28: Appendix II – Statement of Profit or Loss
Appendix II – Statement of Profit or Loss SAR in 000s FY 2019 FY 2020 FY 2021 FY 2022 Q1 2022 Q1 2023 Revenue 3,491,856 1,944,854 2,493,078 3,925,499 1,619,339 764,323 Cost of revenue (2,667,416) (1,270,204) (1,596,350) (2,467,912) (1,056,560) (463,483) Gross profit 824,440 674,650 896,728 1,457,587
Slide 29: Appendix III – Statement of Cash Flows
Appendix III – Statement of Cash Flows SAR in 000s FY 2020 FY 2021 FY 2022 Q1 2022 Q1 2023 Profit before Zakat 19,379 135,442 588,386 363,957 120,641 Adjustments for: Depreciation & Amortization 56,237 48,905 50,182 11,337 11,382 Provision for expected credit losses 2,516 4,453 0 0 0 Donations 0 0 1
Slide 30: Disclaimer
Disclaimer THIS PRESENTATION IS NOT FOR PUBLICATION, RELEASE OR himself independently based solely on the prospectus in relation to such securities DISTRIBUTION, DIRECTLY OR INDIRECTLY, INTO AUSTRALIA, CANADA, (including any supplement thereto) available when orders are confirmed before taking JAPAN
Slide 31: Our Offices
OUR OFFICES RIYADH, KSA BEIJING, CHINA LONDON, UK MARBELLA, DUBAI, UAE 12622 Makkah Road, 303-309, North Tower, 50 Hans Crescent, Conrad Dubai, Al Wizarat, Beijing Kerry Centre, Knightsbridge, SPAIN Sheikh Zayed Road, Beside Riyadh Marriott Hotel, No.1 Guanghua Road, London, SW1X ONA Marbella’s Gold
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Slide 33: Thank you
Investor Relations Thank you Riyadh – Saudi Arabia Tel: +966 11 206 9888 Ext:1680 ir@alarkan.com 33
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