Tag Immobilien Ag · XETR:TEG
Tag Immobilien — Q1 2022 Earnings Presentation
37 slides from Tag Immobilien's earnings presentation, May 2022
Slide 1: Conference call presentation Q1 2022
Conference call presentation Q1 2022
Slide 2: Content
Germany Poland Content I. TAG highlights Q1 2022 3 II. TAG financials Q1 2022 6 III. TAG German portfolio Q1 2022 11 IV. TAG Poland portfolio Q1 2022 15 V. TAG guidance FY 2022 18 VI. Appendix 20 – 37 Income Statement Germany and Poland Balance sheet EPRA NTA calculations Cost of debt, LTV,
Slide 3: TAG highlights Q1 2022
Germany Poland 3 TAG highlights Q1 2022 TAG Immobilien AG | May 2022 | 3
Slide 4: TAG highlights Q1 2022 Germany
Germany TAG highlights Q1 2022 Germany 44 Q1 2022 Q4 2021 FY 2021 Vacancy (residential units) 5.7% 5.4% 5.5%*/5.4% Vacancy (total portfolio) 6.0% 5.7% 5.7% Operational performance l-f-l rental growth y-o-y 1.4% 1.5% 1.5% German portfolio l-f-l rental growth y-o-y (incl. vacancy reduction) 1.
Slide 5: TAG highlights Q1 2022 Poland
Poland TAG highlights Q1 2022 Poland 55 Q1 2022 Q1 2022* Total Q1 2022 Q4 2021 FY 2021 Revenues from sale of properties (EURm) 7.6 --- 7.6 19.2 63.4 FFO II (EURm) --- --- 45.8 44.7 188.8 FFO II (EUR/share) --- --- 0.31 0.31 1.29 Operational performance Units handed over 61 --- 61 54 575 Poland Units
Slide 6: TAG financials Q1 2022
Germany Poland 6 TAG financials Q1 2022 TAG Immobilien AG | May 2022 | 6
Slide 7: TAG income statement
Germany Poland TAG income statement* Germany Poland Total Germany Poland Total 1 Slight increase in net actual rent q-o-q by EUR 0.5m mainly as a result of ongoing rental growth. (in EURm) Q1 2022 Q1 2022 Q1 2022 Q4 2021 Q4 2021 Q4 2021 Net actual rent** 1 83.8 0.5 84.3 83.4 0.4 83.8 2 Improved net
Slide 8: EBITDA, FFO and AFFO calculation
Germany Poland TAG EBITDA, FFO and AFFO calculation 1 Improved EBITDA adjusted (Germany) q-o-q by EUR 4.5m mainly as a result (in EURm) Q1 2022 Q4 2021 FY 2021 of higher net rental income (EUR 1.7m), higher net income from services (EUR Consolidated net profit 32.3 223.2 585.6 0.6m) and lower person
Slide 9: EPRA NTA calculation
Germany Poland TAG EPRA NTA calculation EPRA Net Tangible Assets EPRA NTA bridge in EUR/share +0.24 (in EURm) 31 Mar-2022 31 Dec-2021 +0.71 0.0 0.0 -1.65 Equity (without minorities) 3,066.0 3,039.7 +3.76 + Deferred taxes on investment properties and financial 667.0 653.8 derivatives -0,88 + Fair val
Slide 10: TAG financing structure
Germany Poland TAG financing structure Debt structure as of 31 Mar-2022 Key financial KPIs as of 31 Mar-2022 Debt volume Ø interest rate % fixed rates Ø Maturity total financial debt 5.2 years 3% Ø Maturity bank loans 7.3 years 14% EUR 2,142m 1.68% 99% Ø Interest rate total financial debt 1.45% EUR
Slide 11: TAG German portfolio Q1 2022
Germany 11 TAG German portfolio Q1 2022 TAG Immobilien AG | May 2022 | 11
Slide 12: TAG portfolio at a glance
Germany TAG portfolio at a glance Leading company in the affordable housing sector in Northern and Eastern Germany Strategy TAG is a specialist for affordable housing in Eastern and Northern Germany and among the largest owners of residential properties in Eastern Germany Fully integrated platfo
Slide 13: TAG German portfolio rental growth and capex allocation
Germany TAG German portfolio rental growth and capex allocation Rental growth achieved with moderate capex investments due to strong underlying fundamentals Rental growth achieved with moderate investments Maintenance & capex development (in EUR/sqm/year) 20.4 21.6 20.9 19.4 14.6 13.6 13.3 TAG cre
Slide 14: TAG German portfolio vacancy reduction residential units
Germany TAG German portfolio vacancy reduction residential units 14 14 Strong track record of vacancy reduction; temporary increases in H1 2020 and H1 2021 as a result of the Covid-19-pandemic Acquisitions Acquisitions Acquisitions +0.8% +0.1% +0.3 5.9% Acquisitions 5.8% 5.7% 5.7% +0.1% 5.4% 5.5% 5.
Slide 15: TAG Poland portfolio Q1 2022
Poland 15 TAG Poland portfolio Q1 2022 TAG Immobilien AG | May 2022 | 15
Slide 16: TAG Poland portfolio delivers strong value
Poland TAG Poland portfolio delivers strong value Addition of ROBYG – the leading player in Polish residential market - enhances TAG’s presence in Poland and adds the Warsaw market with an established local portfolio Strategy Key portfolio metrics 31 Mar-2022 Building a portfolio of residential pr
Slide 17: TAG Poland portfolio rental units on offer
Poland TAG Poland portfolio rental units on offer 17 17 First build-to-hold projects in Poland finished in Wroclaw in 2021 and Poznan in 2022 (www.vantagerent.pl) Build-to-hold projects on offer Dorzecze Legnickiej IV Buforowa 89 III Legnicka 33 Hawelanska 2 Total (Wroclaw) (Wroclaw) (Wroclaw) (Pozn
Slide 18: TAG guidance FY 2022
Germany 18 TAG guidance FY 2022 TAG Immobilien AG | May 2022 | 18
Slide 19: FFO and dividend guidance FY 2022 (unchanged)
Germany Poland TAG FFO and dividend guidance FY 2022 (unchanged) FFO I* +5% FFO I/s** +5% (EUR) 188-192m 1.30 vs. 2021 (EUR) vs. 2021 DPS*** +5% (EUR) 0.98 vs. 2021 FFO II +32% FFO II/s +32% 247-253m 1.71 (EUR) vs. 2021 (EUR) NEW vs. 2021 *For purpose of the guidance no further acquisitions/disposal
Slide 20: Appendix
20 APPENDIX TAG Immobilien AG | May 2022 | 20
Slide 21: Income statement details Germany and Poland
Germany Poland TAG income statement details Germany and Poland Germany Poland Total Germany Poland Total Germany Poland Total APPENDIX (in EURm) Q1 2022 Q1 2022 Q1 2022 Q4 2021 Q4 2021 Q4 2021 FY 2021 FY 2021 FY 2021 Net actual rent* 83.8 0.5 84.3 83.4 0.4 83.8 332.5 0.5 333.1 Expenses from property
Slide 22: Balance sheet
Germany Poland TAG balance sheet (in EURm) 31 Mar-2022 31 Dec-2021 1 Increase in book value of investment property by EUR 154.9m, mainly due to investments in Germany (EUR 15.0m) and investments in build-to-hold projects in Poland. In addition, the book Non-current assets 7,089.0 6,659.8 value of th
Slide 23: EPRA NAV calculations
Germany Poland TAG EPRA NAV calculations EPRA NRV EPRA NTA EPRA NDV APPENDIX Net reinstatement value Net tangible assets Net disposal value (in EURm) 31 Mar-2022 31 Mar-2022 31 Mar-2022 Equity (before minorities) 3,066.0 3,066.0 3,066.0 Effect from conversion of convertible bonds 2017/2022 0.0 0.0 0
Slide 24: Cost of debt and LTV
Germany Poland TAG cost of debt and LTV Cost of debt Ø in % LTV in % APPENDIX 47.3% 45.1% 47.3% 44.8% 43.2% 1.92% 1.73% 1.49% 1.39% 1.45% 2018 2019 2020 2021 Q1 2022 31 Dec-2018 31 Dec-2019 31 Dec-2020 31 Dec-2021 31 Mar-2022 LTV reduction over the last years, acquisition of ROBYG temporarily lead
Slide 25: Strong development of financing metrics
Germany Poland TAG strong development of financing metrics ICR Net financial debt/ EBITDA adjusted Net financial debt in EUR/ sqm APPENDIX 587 14.2 479 504 6.1 12.7 449 460 5.2 5.6 4.2 11.6 3.8 11.2 10.9 2018 2019 2020 2021 Q1 2022 2018 2019 2020 2021 Q1 2022 2018 2019 2020 2021 Q1 2022 Strong imp
Slide 26: LTV calculation
Germany Poland TAG LTV calculation (in EURm) 31 Mar 2022 31 Dec-2021 31 Dec-2020 APPENDIX Non-current and current liabilities to banks 2,669.5 2,066.5 1,977.9 Non-current and current liabilities from corporate bonds and other loans 678.4 546.3 495.9 Non-current and current liabilities from convertib
Slide 27: Interest coverage ratio (ICR) calculation
Germany Poland TAG interest coverage ratio (ICR) calculation (in EURm) Q1 2022 FY 2021 FY 2020 Q4 2021 APPENDIX + Interest income 0.4 4.3 10.2 3.7 - Interest expenses -11.7 -50.7 -116.6 -8.0 + Other financial result -0.1 3.1 -0.7 1.4 = Net financial result -11.5 -43.3 -107.0 -2.9 + Financial result
Slide 28: TAG German portfolio details by region
Germany TAG German portfolio details by region Region Units Rentable IFRS BV Gross Vacancy Vacancy Net actual Re-letting l-f-l rental l-f-l rental growth Mainte- Capex # area EURm yield Mar- Dec- rent rent growth y-o-y incl. nance EUR/sqm sqm Mar- 2022 2021* EUR/ EUR/ y-o-y vacancy EUR/sqm APPENDIX
Slide 29: TAG German portfolio vacancy reduction and rental growth
Germany TAG German portfolio vacancy reduction and rental growth Vacancy development 3M 2022* l-f-l rental growth (y-o-y) 3M 2022 APPENDIX Berlin 2.6% 2.1% Gera from 6.9% to 6.4% -0.5% Dresden 2.6% 2.3% Dresden from 1.8% to 1.9% +0.1% 2.1% Leipzig 1.4% Berlin from 3.7% to 3.8% +0.1% 1.5% Hamburg 2.1
Slide 30: TAG portfolio valuation overview Germany
Germany TAG portfolio valuation overview Germany Portfolio valuation result Development of gross yield FY 2021 vs. FY 2020 FY 2021 FY 2020 7.1% 525.0* 327.0** 6.7% in EUR m 6.5% 6.3% annual valuation uplift (w/o capex) 9.0% 6.2% 6.1% 5.9% thereof from yield compression 80% 85% 5.7% 5.5% 5.3% the
Slide 31: TAG German portfolio valuation details
Germany TAG German portfolio valuation details APPENDIX Mar-2022 Mar-2022 Share of operational Dec-2021 Dec-2021 Dec-2021 Region Mar-2022 YTD 2022 Share of yield Fair value Implied performance/ other Fair value Fair value Implied (in EURm) Fair value (IFRS) Valuation result compression (EUR/sqm) mul
Slide 32: TAG ESG strategy and core axes
Germany TAG ESG strategy and core axes Sustainability is an essential part of TAG’s corporate vision Sustainability principles and guidelines at TAG APPENDIX Improving energy efficiency and reducing emissions Environment Best possible cost-benefit ratio Business principles Anti-discrimination Anti-
Slide 33: TAG Decarbonization strategy German portfolio
Germany TAG Decarbonization strategy German portfolio APPENDIX Target CO2 emission Full commitment to reach CO2 emission level in line with 1.5oC climate goal Conducted study to define measures required to achieve goal Current emission of 31.5kg/sqm (based on last available data for 2020) 35 3
Slide 34: Projected development of TAG's decarbonization strategy
Germany Projected development of TAG’s decarbonization strategy Together with EWUS Energy consultants, TAG has developed a scenario for TAG’s decarbonization TAG scenario APPENDIX Investment volume c. EUR 690m CO2 emission development (kg/sqm p.a.) 40 Green district heating, green electricity <28 kg
Slide 35: ESG ratings
Germany Poland TAG ESG ratings TAG ranks among the top ratings in the real estate sector ESG rating and award improvements TAG’s ESG disclosure improvement APPENDIX In 2020 and 2021, we have placed particular emphasis on improving our ESG performance and reporting in order to better meet the expec
Slide 36: Share data
Germany Poland TAG share data Shareholder structure as of 31 Mar-2022 Share information as of 31 Mar-2022 APPENDIX 9.9% MFS (Massachusetts Financial Services Company), USA Market cap EUR 3.0bn 9.9% NOSH issued 146.5m 7.7% The Capital Group Companies Inc., USA 7.7% NOSH outstanding 146.4m 7.5% BlackR
Slide 37: TAG contacts
TAG contacts Martin Thiel Dominique Mann TAG Immobilien AG CFO Head of Investor & Public Relations Steckelhörn 5 Phone: +49 40 380 32-305 Phone: +49 40 380 32-305 20457 Hamburg Fax: +49 40 380 32-388 Fax: +49 40 380 32-388 Phone: +49 40 380 32-0 Fax: +49 40 380 32-388 ir@tag-ag.com ir@tag-ag.com www