Banimmo SA · EURONEXT:BANI
Banimmo SA — H1 2017 Earnings Presentation
45 slides from Banimmo SA's earnings presentation, Aug 8, 2017
Slide 1: 1st Half 2017 Figures, context and perspectives
AUGUST 4, 2017 1st Half 2017 Figures, context and perspectives Analysts Meeting dated August 8, 2017 www.banimmo.be
Slide 2: Executive Summary
Executive Summary 2
Slide 3: Executive Summary
Executive Summary • Losses divided almost by 2: from -8,4 to -4,4M • One sale (Desguin) for 13,25M revenue with no margin • Decrease of rents, as expected after sales in 2016 & 2017 • Strong costs reduction with -30% • Fair value adjustments for -1,6M • MtoM hedging portfolio valuation: +2,7M • Mark
Slide 4: Commercial and rental activities
Commercial and rental activities 4
Slide 5: Commercial activities
Commercial activities • Banimmo back on the market since begin 2017 • Strong commercial activity during the semester with 81 commercial proposals submitted • For Built-to-Suits • For sales • For rentals 5
Slide 6: Commercial activities: status of short listed assets
Commercial activities • Status of short listed assets as end of June: • Land Ans for 2 potential sales in next months (circa 2,50 ha) • Land AES for a 10 000 m² BTS for Telenet : we are in the final run of 2; formal decision end August but it seems that we are not chosen. • Da Vinci H2 and Quentris
Slide 7: Rental activities
Rental activities • Based on real vacant spaces and not the premises under redevelopment • Stability versus end 2016 at 83% • Departure in Diamond (Unilever, contractual) compensated by new signatures in La Hulpe (B14). • Empty spaces ready for new tenants: mainly 5150 m² in Diamond 7
Slide 8: Rental activities
Rental activities ™ ABC Groenloo @ La Hulpe (hors Hétel) @ Raket Electrolux North Plaza ™ Da Vinci H5 Electrabel ™ Diamond/Hartog Da Vinci H3 O1B Quentris 1 Rocquencourt m Vaugirard = Verpantin ™ Halle Secrétan = Anglet Taux d'occupation sur espaces disponibles
Slide 9: Development activities
Development activities 9
Slide 10: Development activities: Athena Business Park Groenloo
Development activities • Athena Business Park Groenloo residential development in Vilvoorde • Still in the process of getting the RUP – expected before year-end • Recourses from the neighbours but managed with the communal authorities • Small decrease in the size of the development expected 10
Slide 11: Development activities: North Plaza
Development activities • North Plaza: vertical split of the building in 2 • Permit under progress • As a result of this split in 5000 + 9000 m², 2 entrances + larger flexibility in the spaces proposed for rental: from 400 to 900 m² 11
Slide 12: Development activities: Conferinvest and Dolce hotels
Development activities • Conferinvest and the Dolce hotels: • Renewal with Deloitte University for a new period of 3 years starting June 2018. Extension also to Chantilly. Better conditions in terms of occupancy and revenue • Offices in the B14: the new concept of WIP (on 2 levels) is a success – al
Slide 13: Development activities: Land AES and Built-to-Suit for Telenet
Development activities • Land AES and Built-to-Suit for Telenet • 10 000m² for the new headquarters of Telenet • Intense competition • We reached the highest position for final choice • But based on latest information, we have not been chosen 13
Slide 14: Development activities: La Défense in Paris
Development activities • La Défense in Paris • We signed the “Convention d’Occupation Temporaire” for 55 years and the contract for the building phase. • As of today, we already signed 2 rental agreements for the food court 14
Slide 15: Investment activities
Investment activities 15
Slide 16: Investment activities
Investment activities • Total amount invested over the period: limited to 1,5M • Mainly in France • New project won in Nice • Halle de la Gare des Sud • Long term lease for 45 years • In order to develop a food and vintage court on 2700 m² 16
Slide 17: Divestment activities
Divestment activities 17
Slide 18: Divestment activities: Desguin sale
Divestment activities • Signed in February 2017 • Sale of the company Tervueren Invest, owner of the Offices Building “Desguin” in Antwerpen • Asset valued at 13,250 MEUR • Sold at its book value 18
Slide 19: Divestment activities: Halles Secrétan and Cauchy C
Divestment activities • Under progress • Les Halles Secrétan in Paris: sold on July 27th, 2017 • Asset valued at 27,8MEUR (yield of 4%) • Solid margin • Cauchy C, offices rented to the SPW (Service Public de Wallonie) • long term lease of 27 years signed and asset accepted sale of the future flows
Slide 20: Portfolio as of June 30, 2017
Portfolio as of June 30, 2017 20
Slide 21: Portfolio
Portfolio • Existing assets • 18 buildings/assets • From which 5 are hold in partnerships • For a total of 148 000 m² • Lands or assets to be developed • 12 assets/projects • From which 4 in partnership • For a total to be developed of 304 000 m² (our part) 21
Slide 22: List of Belgian assets
LIST OF ASSETS to DEVELOP List of Belgian assets Rocquencourt (managed by The Loop, Field 05,03 & 12 Belgium even if in France) Hartog building & Lot 3 Bonne Fortune Ghent (131,318 sqm) Rocquencourt (21,389 sqm) Forest - Brussels (4,200 sqm) Ans (84,500 sqm) Groenloo North Plaza Vilvoorde (50,392 sq
Slide 23: List of Belgian assets
LIST OF NOI ASSETS List of Belgian assets Da Vinci - Quentris Da Vinci – Raket Invest Brussels (2,450 sqm) Brussels (8,242 sqm) To let or Hartog building to be developed Brussels (4,200 sqm) Dolce B14 – B09 – B10 – Athena Business Centre B11 To let Vilvoorde (18,181 sqm) La Hulpe (5,519 sqm) waiting
Slide 24: List of French retail operations
LIST OF ASSETS List of French retail operations Falguière Vaugirard Verpantin Paris (2,132 sqm) Pantin (4,768 sqm) La Défense Secrétan Table Square (4,682 sqm) Paris (4,139 sqm) Anglet Montpellier Anglet (5,134 sqm) Nv. Saint-Roch (6,335 sqm) Nice Halle Gare du Sud (2, 680sqm) 24
Slide 25: Consolidated P&L and Balance Sheet
Consolidated P&L and Balance Sheet 25
Slide 26: Consolidated P&L
Consolidated P&L CONSOLIDATED RESULTS K€ K€ 30/06/2017 30/06/2016 Recurrent income 15.728 4.713 of which net rental income from investment buildings 2.305 4.218 Gross rental income 3.857 5.468 Rental costs -1.552 -1.250 of which Income from sales of inventories 13.250 0 of which management fees and
Slide 27: Consolidated P&L (in K EUR)
Consolidated P&L (in K EUR) 27
Slide 28: Consolidated Balance Sheet (in KEUR)
Consolidated Balance Sheet (in KEUR) 28
Slide 29: Operational and administrative costs
Operational and administrative costs 29
Slide 30: Operational and Administrative Costs
Operational and Evolution Administrative Costs • Costs 1H 2017: at 3,3 MEUR versus 4,7 last year decrease by -30% • Costs anticipated on full year basis at 7,6 MEUR being 2,2 MEUR less than 2016 and our 2017 target (8,7); already below our 2018 target (7,8). 30
Slide 31: NAV and adjusted NAV
NAV and adjusted NAV 31
Slide 32: NAV Evolution
From end 2015 to mid NAV Evolution 2017 30/06/2016 31/12/2016 30/06/2017 Equity in 64 754 57 743 53 339 KEUR NAV/share in 5,7 5,1 4,7 EUR * Based on 11,356,544 total shares 32
Slide 33: Adjusted NAV Evolution
Adjusted NAV Evolution 31/12/2016 30/06/2017 Equity after 82 675 77 684 reevaluation in KEUR Adjusted 7,3 6,8 NAV/share -0,44 € per share mainly explained by Result of H1 2017 -0,49 € Based on 11,356,544 total shares 33
Slide 34: Use of the Cash during 1st Half 2017
Use of the Cash during 1st Half 2017 34
Slide 35: Use of the cash from end 2016 to mid 2017
From end 2016 to mid Use of the cash 2017 35
Slide 36: Financing
Financing 36
Slide 37: LTV Evolution
Financing LTV Evolution (values in KEUR) 450 120% 400 357 351 354 100% 350 340 300 273 80% 243 252 250 71,2% 224 69,3% 60% 195,0 194 200 64,1% 57,2% 54,7% 135 143 150 40% 49,5% 100 20% 50 0 0% 2013 2014 2015 H1 2016 2016 H1 2017 Value (in € Mio) Net fin. Debt end of Period (€ Mio) LTV* (%) 37 (*) Ex
Slide 38: Financial Debt in average
Financial Debt in average (values in Financing KEUR) Financial debt in average 300 246 243 250 230 227 228 217 200 153 150 100 50 0 2011 2012 2013 2014 2015 2016 H1 2017 38
Slide 39: Debt maturities as of June 30, 2017
Debt maturities. As of Financing June 30, 2017 31 October 2017 30 June 2020 Syndicated Loan Financing Raket KBC ING Triodos bank Still 37,4 MEUR For 6,25 MEUR as of June 30, 2016 30 May 2018 19 Feb 2020 15 September 2020 Bond 2013 2018 Bond 2015 2020 Financing Anglet KBC ING KBC ING Banque Palatine
Slide 40: Hedging
Financing 80000 70000 60000 50000 40000 30000 20000 10000 0 juil.-17 oct.-17 janv.-18 1,79% Swap at avr.-18 juil.-18 oct.-18 janv.-19 avr.-19 juil.-19 0,69% Swap at oct.-19 janv.-20 avr.-20 juil.-20 1,19% Swap at oct.-20 janv.-21 avr.-21 juil.-21 Hedging (values in KEUR) oct.-21 janv.-22 avr.-22 40
Slide 41: Financial Covenants
Financial Covenants We comply with all the financial covenants associated to the syndicated loan and the bonds 2018 & 2020. 41
Slide 42: Strategy and Perspectives
Strategy and Perspectives 42
Slide 43: Strategy
Strategy Our strategy is « back to basics » • In Belgium, priority is given to the Built-to-Suit projects to be developed on Banimmo’s wide land reserve at Ghent, Ans, Charleroi, Namur and Brussels. • Banimmo is convinced of the existing potential for Offices of 3-5000 m² on these locations. • Also
Slide 44: Strategy
Strategy • In France, the team pursues the dynamic management of the existing retail assets (being or not under refurbishment) and the further evolutions on the recently won projects such Paris La Défense, Montpellier and Nice. • We also work on the simplification of our portfolio by selling assets
Slide 45: Perspectives
Perspectives The executive committee and the teams work actively on the management of the assets and on the sale and refinancing program set up mid 2016. These actions should allow the Company to reimburse end October 2017 the Syndicated Loan (still 26,7M as of end July) and the Bond maturing in May