Singapore Exchange Ltd. · SGX:S68
Singapore Exchange — Parkway Life REIT — Shareholder Meeting (June 2020)
21 slides from Singapore Exchange's shareholder meeting presentation, Jun 19, 2020
Slide 1: 11th Annual General Meeting
(“PLife REIT”) 11th Annual Growth Beyond General Seasons Meeting 19 June 2020
Slide 2: Disclaimer
DISCLAIMER This Presentation is focused on comparing actual results for the period from 1 January 2019 to 31 December 2019 (“2019”) versus the period from 1 January 2018 to 31 December 2018 (“2018”). This shall be read in conjunction with PLife REIT Annual Report 2019. This Presentation may contain
Slide 3: Agenda
AGENDA 1. Financial Performance 2. Investment & Asset Management 3. Capital Management 4. Overall Portfolio Review Bon Sejour Yokohama Shin‐Yamashita 3
Slide 4: Financial Performance
FINANCIAL PERFORMANCE
Slide 5: Financial Performance
FINANCIAL PERFORMANCE (S$‘000) Gross Revenue Net Property Income 2018 2019 115,222 2019 108,225 2017 2018 112,838 2018 105,404 2.7% 2.1% Distributable Income to Unitholders 2019 79,822 2017 2019 2018 77,897 2.5% 2016 2018 Key income contributors: • Revenue from 1 Japan property acquired in Feb 2018
Slide 6: Financial Performance: DPU
FINANCIAL PERFORMANCE DPU (cents) 2017 2019 13.19 2016 2018 12.87 2.5% 6
Slide 7: Un-interrupted Recurring DPU Growth Since IPO
UN-INTERRUPTED RECURRING DPU GROWTH SINCE IPO DPU (cents) 14 +108.7% 12.463 12.87 13.19 11.792 12.12 11.52 12 10.75 10.311 9.60 10 8.79 7.74 8 6.83 6.32 6 4 2 (annualised) 0 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 • Steady DPU growth of 108.7% since
Slide 8: Strong Total Return Since IPO
STRONG TOTAL RETURN SINCE IPO Total DPU received since IPO Total return since IPO: $1.3595 276% Unit price as at 16 June 2020 $3.45 IPO unit price $1.28 At Listing As at 16 June 2020 The total return of 276% on invested equity was contributed by: • appreciation of unit price since IPO; and • total d
Slide 9: Investment and Asset Management
INVESTMENT AND ASSET MANAGEMENT
Slide 10: Deepened Footprint in Japan
DEEPENED FOOTPRINT IN JAPAN (Dec’19) Acquired three nursing rehabilitation facilities Gifu Prefecture: Hodaka no Niwa in Japan DPU yield-accretive 6.8% Yamaguchi Prefecture: acquisition with net property Haru no Sato yield of 6.8% 7.0% Discount to Valuation Wakayama Prefecture: Orange no Sato Japan
Slide 11: Organic Growth in Singapore Portfolio
ORGANIC GROWTH IN SINGAPORE PORTFOLIO Rent Increase for Singapore Properties 1.61% 13th year minimum guaranteed rent for the Singapore Properties to increase by 1.61% Commencing 23 August 2019 to 22 August 2020 under CPI + 1% rent revision formula Mount Elizabeth Hospital Parkway East Hospital Glene
Slide 12: Annual Portfolio Revaluation
ANNUAL PORTFOLIO REVALUATION (as at 31 December 2019) 48 nursing homes & 3 Hospitals Strata-titled units 1 pharmaceutical facility in GMCKL Valued Valued Valued S$1,210.7m S$746.5m S$6.8m (+4.3% / S$50.3m) (+0.7% / S$5.2m) (-8.4% / -S$623,000) Total valuation 53 S$1.96b (+2.2% / S$43.0m1 gain) prope
Slide 13: Capital Management
CAPITAL MANAGEMENT
Slide 14: Strengthened Financial Management
STRENGTHENED FINANCIAL MANAGEMENT Achieved diversified funding sources and well-spread out debt maturity stretching beyond 2025 S$Mil Debt Maturity Profile (as at 31 December 2019) 250 • Lowest all-in-cost of debt amongst S-REITs at 0.80% p.a., and further reduced to 0.63% p.a. 205.5 200 (as at 31 M
Slide 15: Enhanced Interest and FX Risks Management
ENHANCED INTEREST AND FX RISKS MANAGEMENT • Adopts natural hedge strategy to match assets and liabilities denominated in JPY • Extended JPY net income hedges till 2Q 20251 to mitigate against JPY currency volatility • About 89%1 interest rate exposure is hedged for next few years • Enhances stabilit
Slide 16: Ample Debt Headroom
AMPLE DEBT HEADROOM Debt headroom of $286.3 million and $515.3 million before reaching 45.0% and 50.0% gearing respectively 1,200 515.3 286.3 Asset 600 (S$’M) 743.9 743.9 743.9 0 37.1% 45.0% 50.0% Gearing Gearing Gearing Debt Balance as at 31 December 2019 16
Slide 17: Overall Portfolio Review
OVERALL PORTFOLIO REVIEW
Slide 18: Performance Review of PLife REIT
PERFORMANCE REVIEW OF PLIFE REIT (as at 31 December 2019) SUSTAINABLE RETURNS 01 / Diversified Portfolio 02 / Strong Balance Sheet Gross revenue by geography1: 58.5% Singapore 0.8% Low all-in debt cost 41.3% Japan 37.1% Gearing 0.2% Malaysia 14.1 times Interest cover Gross revenue by asset class1: 2
Slide 19: Performance Review of PLife REIT
PERFORMANCE REVIEW OF PLIFE REIT (as at 31 December 2019) SUSTAINABLE RETURNS 03 / Quality Assets 04 / Robust Financial Position 100% committed occupancy for No long term debt refinancing needs till June 2021, post successful Singapore and Japan assets refinancing in 1Q 2020 Weighted average lease t
Slide 20: Strong Portfolio Growth
STRONG PORTFOLIO GROWTH Since listing, we remain committed to cultivating an optimal portfolio for sustained growth One of Asia’s largest listed healthcare REITs by asset 53 1.96b 31 size 50 1.86b 28 49 44 1.73b 1.66b 27 23 53 diversified assets 47 1.64b 25 Post acquisitions in 41 1.50b 21 December
Slide 21: Thank You
THANK YOU