Dar Al Arkan Real Estate Development Co. · TADAWUL:4300
Dar Al Arkan Real Estate Development — Q4 2018 Earnings Presentation
24 slides from Dar Al Arkan Real Estate Development's earnings presentation, 2019
Slide 1: Investor Presentation Q4 2018
Investor Presentation Q4 2018 www.daralarkan.com
Slide 2: Table of Contents
Table of Contents Content Page No. 1. Macro Economic Overview & KSA Real Estate Market 3 2. Overview of Dar Al Arkan 6 3. Financial Performance Overview 10 4. Overview of Assets Portfolio 15 5. Appendix 19 2
Slide 3: Macro Economic Overview & KSA Real Estate Market
Divider Page 1. Macro Economic Divider Page& KSA Overview Real Estate Market 3
Slide 4: Macroeconomic Overview
Macroeconomic Overview Announcement of 2019 budget (SAR 1 trillion) is expansionary and largest ever in Kingdom’s history which shows government’s commitment to drive economic growth in line with Vision 2030's objectives. Increase in government spending & opening KSA further for foreign business wil
Slide 5: KSA Real Estate Sector Overview
KSA Real Estate Sector Overview Value of Real Estate Transactions in KSA (SAR bn) KSA Real Estate Price Index (QoQ) 1.0% 80 0.0% -0.3% 27.1 -0.6% -0.6% -0.5% 60 -0.7% -1.0% -1.6% 24.3 19.5 -2.3% 40 13.4 13.9 17.4 -2.0% -2.4% -2.3% 11.6 8.9 50.6 7.3 -3.5% 20 36.4 35.2 33.4 31.9 -3.0% 26.5 27.1 23.4 1
Slide 6: Overview of Dar Al Arkan
2. Overview of DarDivider Page Al Arkan Divider Page
Slide 7: Company Overview
Company Overview Prudent Real Estate Acquisition Strong Financial Position Diversification Strategies Paying Off In challenging market conditions, DAAR maintains a strong balance sheet with Key purpose of the strategy is to deliver management’s rigorous acquisition policies, SAR 8.9 bn in cash and r
Slide 8: 2018 – Key Business Indicators
2018 – Key Business Indicators Investment In Revenues (+35%) EBITDA (+2%) Development Properties SAR 6,412 mn SAR 1,112 mn SAR 3,382 mn (2017 : SAR 4,734 mn) (2017 : SAR 1,086 mn) (2017 : SAR 1,322 m) Gross Debt/ Cash And Bank (+55%) Book Value Per Share Capitalization SAR 4,903 mn 26.0% SAR 17.32 (
Slide 9: Dar Al Arkan Real Estate Assets
Dar Al Arkan Real Estate Assets Real Estate Properties Break up - SAR bn Projects Lands Break up (Sqm) Al Tilal Shams Al Investments in Project Lands & Shams Ar Riyadh 0.2 mn Arous Lands Properties 3.1 mn 0.9 mn 9.20 5.30 57% 33% 59% 20% 10% Investment Properties 1.69 * Project Lands & Properties al
Slide 10: Financial Performance Overview
Divider Page 3. Financial DividerPerformance Page Overview 10
Slide 11: Financial Performance – 2018 Profitability
Financial Performance – 2018 Profitability Yearly Revenues (SAR mn) Gross Profit (SAR mn) & Margin (%) 6,600 1600 43% 45% 50% 39% 42% 6,412 1,299 5,500 1,153 1,114 40% 1200 4,400 983 4,735 792 24% 1,057 30% 3,300 800 16% 20% 2,931 3,056 2,200 2,211 400 1,100 1,870 10% - 0 0% 2013 2014 2015 2016 2017
Slide 12: Financial Performance – Q4 2018 Profitability
Financial Performance – Q4 2018 Profitability Quarterly Revenues (SAR mn) Gross Profit (SAR mn) & Margin (%) 3,000 2,794 465 475 500 50% 2,435 42% 2,500 38% 400 35% 353 40% 2,000 1,785 1,483 300 24% 266 30% 1,500 19% 18% 988 170 17% 15% 165 200 160 20% 1,000 136 410 360 456 846 17% 500 100 152 10% -
Slide 13: Financial Performance – 2018 Cash Flow
Financial Performance – 2018 Cash Flow Cash Flow – 2018 (SAR mn) Income / Sources of Cash Uses of Cash / Expenses 12,000 405 505 1,875 10,000 3,381 8,000 21 6,000 6,412 1,691 540 4,000 4,903 2,000 3,160 - Starting Cash Revenue New Debt Working Capital Opex Investment in Maintenance Debt Dividend End
Slide 14: Financial Performance – 2018 Debt
Financial Performance – 2018 Debt Gross Debt Vs Net Debt (SAR mn) Debt* / Capitalization 8,000 7,607 6,663 40% 6,293 6,480 5,904 2,310 30% 6,000 5,280 1,001 30% 26% 26% 25% 26% 2,279 582 3,160 22% 4,000 4,903 20% 21% 22% 21% 5,296 5,292 4,698 2,000 3,624 3,320 10% 16% 14% 1,760 0 7% 0% 2013 2014 201
Slide 15: Overview of Assets Portfolio
Divider Page Divider Pageof 4. Overview Assets Portfolio
Slide 16: Residential & Commercial Development Projects
Residential & Commercial Development Projects Riyadh Projects Jeddah Projects Eastern Province Projects I Love Florence, Dubai - Situated in the Al-Ammariyah district - The site is situated 12 kms from - The project is located in the - The I Love Florence Tower project is (King Khalid Road), part of
Slide 17: Portfolio Summary – Completed Residential Properties
Portfolio Summary – Completed Residential Properties Parisiana South Parisiana Living Naeem Eljiwar - Located in Riyadh city and easily - Located in Riyadh city and easily - Located within the boundary of the accessed through King Fahad Road and accessed through King Fahad Road, Prophet’s Mosque fea
Slide 18: Leasing Properties Portfolio
Leasing Properties Portfolio Al-Qasr Mall, Riyadh Land Area 61,949 m² Built up Area 220,202 m² Gross Leasable Area 78,958 m² No. of floors 3 Leasable Floors plus two parking Latest Activity: 16 screen multiplex cinema to be operational from first week of March 2019. 6,000 sq.m. leased to Apparel Dub
Slide 19: Appendix
Divider Page Divider 5. Page Appendix
Slide 20: Appendix I – Statement of Profit or Loss
Appendix I – Statement of Profit or Loss SAR in 000s FY 2016 FY 2017 Q4 - 2017 Q4 - 2018 FY 2018 Revenue 1,870,229 4,734,687 2,435,123 846,094 6,412,265 Cost of revenue (1,078,286) (3,620,675) (1,969,752) (694,231) (5,355,114) Gross profit 791,943 1,114,012 465,371 151,863 1,057,151 % 42.3% 23.5% 19
Slide 21: Appendix II – Statement of Financial Position
Appendix II – Statement of Financial Position SAR in 000s FY 2016 FY 2017 FY 2018 Investment properties, net 3,424,778 3,290,010 1,693,141 Long-term development properties 16,721,061 14,751,565 14,148,262 Property and equipment, net 66,131 70,925 83,085 Investment in associates and joint ventures 79
Slide 22: Appendix III – Statement of Cash Flows
Appendix III – Statement of Cash Flows SAR in 000s FY 2016 FY 2017 FY 2018 Profit before Zakat 258,777 567,811 521,855 Adjustments for: Depreciation 77,500 76,775 78,355 End of service indemnities 6,317 5,129 4,122 Provision for doubtful debts 1,000 0 0 Finance costs 385,984 441,523 511,652 Share of
Slide 23: Disclaimer
Disclaimer THIS PRESENTATION IS NOT FOR PUBLICATION, RELEASE OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, INTO AUSTRALIA, CANADA, JAPAN OR THE UNITED STATES. THIS PRESENTATION IS NOT AN OFFER OR SOLICITATION OF AN OFFER TO BUY OR SELL SECURITIES. IT IS SOLELY FOR USE AT AN INVESTOR PRESENTATION AND IS P
Slide 24: Thank you
Investor Relations Riyadh – Saudi Arabia Thank you Tel: +966 11 206 9888 Ext:1670 ir@alarkan.com
Dar Al Arkan Real Estate Development — Q4 2018 Earnings Presentation on 6ix