Prestige Estates Projects Limited · NSE:PRESTIGE
Prestige Estates Projects — Investor Day (February 2023)
37 slides from Prestige Estates Projects's investor day presentation, Feb 21, 2023
Slide 1: Analyst Meet
PRESTIGE ESTATES PROJECTS LTD Analyst Meet Mumbai 21st Feb 2023 www.prestigeconstructions.com
Slide 2: Agenda
Agenda ANALYST MEET - MUMBAI FEB 2023 1 The Prestige Story 2 The Growth Trajectory 3 Business Segments & Analysis 4 Mumbai Presence 5 Outlook, Opportunities & Strategy
Slide 3: The Prestige Story
THE PRESTIGE STORY 36 Years 12+ Cities CRISIL DA1+ ICRA A+ 165 mn sft 168 mn sft DEVELOPER GRADING CREDIT RATING DELIVERED ONGOING + UPCOMING
Slide 4: The Prestige Values
Trust The Transparency Prestige Values Customer Centricity Inclusiveness Credibility Credibility
Slide 5: The Growth Trajectory
THE GROWTH TRAJECTORY LAST 5 YEARS
Slide 6: Sales, collections and launches growth
SALES GROWTH Cr COLLECTIONS Cr LAUNCHES mn sft CAGR: ~27% CAGR: ~22% 12,000 9,750 30 12,500 10,000 21 10,382 7,466 10,000 7,500 20 17.12 7,500 5,075 4,676 11.85 16.77 5,461 4,409 4,557 4,561 5,000 5,000 10 2,500 6.63 2,500 0 0 0 FY19 FY20 FY21 FY22 FY23 (E) FY19 FY20 FY21 FY22 FY23 (E) FY19 FY20 FY2
Slide 7: Steady completions and timely deliveries
INDUSTRY ISSUES IN THE LAST STEADY COMPLETIONS and timely deliveries, despite market FEW YEARS challenges mn sft DEMONETISATION 200 165 150 84 RERA 100 ~80 MNSFT COMPLETED IN LAST 6 YEARS 50 0 GST FY18 FY23 (9M) COMPLETIONS – NO. OF UNITS COVID & LOCKDOWNS FY19 9,078 FY20 ~26,000+ 7,176 Units FY21 6
Slide 8: Revenue / EBITDA / PAT, debt equity, net worth
REVENUE / EBITDA / PAT Cr DEBT EQUITY 10,000 8,241 7,500 7,502 FY19 DEC22 6,600 5,567 5,287 1.75 0.42 5,000 2,475 2,210 2,500 1,566 1,552 1,744 1,162 1,215 424 442 549 0 7,682 Cr NET DEBT 4,169 Cr NET DEBT FY18 FY19 FY20 FY21 FY22 10,000 NET WORTH Cr 9,547 7,500 7,095 ~18,000 + MARKET CAPITALISATION
Slide 9: Business Segments & Analysis
BUSINESS SEGMENTS RESIDENTIAL COMMERCIAL & ANALYSIS ONGOING 44 mn sft UPCOMING ONGOING 26 mn sft UPCOMING 73 mn sft 15 mn sft ONGOING: 75 MN SFT RETAIL HOSPITALITY UPCOMING: 93 MN SFT ONGOING ONGOING 2 mn sft 3 mn sft (1217 keys) TOTAL: 168 MN SFT UPCOMING 5 mn sft UPCOMING 1 mn sf (350 keys)
Slide 10: Market Overview
MARKET OVERVIEW RESIDENTIAL New Launches (Units `000) Absorption (Units `000) 369 457 324 354 245 278 New Launches Growth YOY 14% Absorption Growth YOY 29% CY 2020 CY 2 0 2 1 CY2 0 2 2 CY 2020 CY 2021 CY 2022 COMMERCIAL Supply (Mn sft) Absorption (Mn Sft) 64 61 50 46 34 New Supply Growth YOY 28% 28
Slide 11: Residential
RESIDENTIAL 40,027 20,525 FREE 10,723 9,648 8,319 153 Estimated Balance to Value Collect Stock Refundable Deposit Total Inflow Balance to Free Cash Spend Flow CASHFLOWS ONGOING: 35 PROJECTS | 44 MN SFT | ~ 21,000 UNITS (12,206) 8,319 Cr UPCOMING: 27 PROJECTS | 73 MN SFT ONGOING 44,002 14,609 Free Ca
Slide 12: Diverse Mix - Residential
DIVERSE MIX Ongoing Residential Upcoming Residential RESIDENTIAL 35 Projects 44 mn sft 27 Projects 73 mn sft ONGOING + UPCOMING % Mn Sft No. Of Projects Mn Sft Distribution Bengaluru 35 64 55% Mumbai 9 18 15% Hyderabad 7 22 19% Chennai 2 5 5% Noida 1 3 3% Kochi 3 1 1% Calicut 1 2 1% Others* 4 2 1% T
Slide 13: Commercial
ANNUITY PG SHARE – STEP UP 2,476 COMMERCIAL 2,500 2,000 1,549 1,500 ONGOING: 13 PROJECTS | 26 MN SFT 893 1,000 701 UPCOMING: 10 PROJECTS | 15 MN SFT 585 500 ~2,500 cr 243 0 Annuity PG SHARE FY23 FY24 FY25 FY26 FY27 FY28 OFFICE 2.0 BALANCE TO SPEND PG SHARE – STEP UP Urban Experiences & Social 4,000
Slide 14: Diverse Mix - Commercial
DIVERSE MIX Ongoing Commercial Upcoming Commercial COMMERICAL 13 Projects 26 mn sft 10 Projects 15 mn sft ONGOING + UPCOMING % Mn Sft No. Of Projects Mn Sft Distribution Bengaluru 15 24 60% Mumbai 3 10 24% Hyderabad 1 3 9% Pune 1 1 3% Delhi 1 1 2% Kochi 2 1 2% Total 23 40 100%
Slide 15: Retail
ANNUITY PG SHARE – STEP UP RETAIL 600 Urban experiences & social hubs 535 410 400 ONGOING: 2 PROJECTS | 2 MN SFT 222 222 222 200 UPCOMING: 4 PROJECTS | 5 MN SFT 0 FY23 FY24 FY25 FY26 FY27 ~536 cr Annuity PG SHARE RETAIL BALANCE TO SPEND PG SHARE – STEP UP 708 ~2,355 cr 750 Relaunch of Forum Brand 56
Slide 16: Diverse Mix - Retail
DIVERSE MIX Ongoing Retail Upcoming Retail RETAIL 2 Projects 2 mn sft 4 Projects 5 mn sft ONGOING + UPCOMING % Mn Sft No. Of Projects Mn Sft Distribution Bengaluru 2 2.3 33% Kochi 2 1.8 25% Hyderabad 1 1.0 14% Chennai 1 2.0 28% Total 6 7.1 100%
Slide 17: Hospitality
REVENUE STEP UP - PG SHARE HOSPITALITY 2,000 1,852 1,553 1,500 1,307 OPERATING: 9 HOTELS | 1368 KEYS 956 1,000 ONGOING: 5 PROJECTS | 1217 KEYS 758 UPCOMING: 2 PROJECTS | 350 KEYS 500 ~1,852 cr* 0 FY23 FY24 FY25 FY26 FY27 Revenue PG SHARE CAPEX STEP UP - PG SHARE 600 ~2,744 cr 502 Total Cost of Const
Slide 18: Diverse Mix - Hospitality
DIVERSE MIX Ongoing Hospitality Upcoming Hospitality HOSPITALITY 5 Projects 1217 Keys 2 Projects 350 Keys ONGOING + UPCOMING % Keys No. Of Projects Keys Distribution Bengaluru 2 406 26% Delhi 2 779 49% Mumbai 1 200 13% Chennai 1 150 10% Kochi 1 32 2% Total 7 1567 100%
Slide 19: Allied Businesses & Future Opportunities
ALLIED BUSINESSES & FUTURE OPPORTUNITIES BACKWARD INTEGRATION PROPERTY MANAGEMENT CONTRACTING ARM ( K2K INFRASTRUCTURE - ORDERBOOK – RS 1300 CR) 1,250 1,100 DOOR MANUFACTURING, INTERIORS, FURNITURE 1,000 850 700 750 GLAZING WORKS 550 480 500 250 NEW BUSINESS OPPORTUNITIES 0 WAREHOUSING & LOGISTICS D
Slide 20: Mumbai Presence
A THE PRESTIGE CITY MULUND Mulund B PRESTIGE DAFFODILS Pali Hill A C JIJAMATA NAGAR Worli D PRESTIGE JASDAN CLASSIC Mahalaxmi E PRESTIGE OCEAN TOWERS B G Marine Lines F PRESTIGE NAUTILUS Worli F C G PRESTIGE 1O1 BKC H D Residential BKC H THE PRESTIGE (LIBERTY TOWERS) E Commercial Mahalaxmi MUMBAI PR
Slide 21: The Prestige City Mulund
THE PRESTIGE CITY MULUND Land area Launch Date 32.7 acres Siesta- Dec-22 Bellanza- May-22 Estimated completion Siesta - FY 25 Carpet area Bellanza - FY 28 4 mn sft (Launched 2.1 mn sft) Current status GDV Siesta Bellanza ~9700 Cr 36 Lvl Completed (of 54) Tower A - Podium 4 in progress Tower B,C - Po
Slide 22: Prestige Jasdan Classic
PRESTIGE JASDAN CLASSIC Land area Launch Date 2.1 acres Jan-22 Estimated completion FY 26 Carpet area 0.33 mn sft Current status East Tower (L) GDV Lvl-15 in progress of 45 floors ~1500 Cr West Tower (C) Lvl-19 in progress of 45 floors EWS Tower (R) 90% Completed 22
Slide 23: Prestige Daffodils
PRESTIGE DAFFODILS Land area 1 acre Launch Date Jul-22 Carpet area 0.12 mn sft Estimated completion FY 27 GDV ~1200 cr Current status Shore piling work in progress 23 PRESTIGE DAFFODILS- Artist's impression
Slide 24: Prestige Ocean Towers
PRESTIGE OCEAN TOWERS Land area 2.3 acres Launch Date FY 24 Carpet area 0.45 mn sft Estimated completion FY 28 GDV ~3400 cr Current status Approvals under progress Piling works to commence 24
Slide 25: Prestige Nautilus
PRESTIGE NAUTILUS Land area 3.6 acres Launch timeline PRESTIGE NAUTILUS Artist's impression Carpet area FY 24 0.9 mn sft Estimated completion FY 28 GDV ~5900 cr Current status Development Agreement signed 25
Slide 26: Prestige BKC 101
PRESTIGE BKC 1o1- Artist's impression PRESTIGE BKC 101 Land area Launch timeline 8.9 acres FY 24 Total Leasable Estimated completion Area FY 28 4.45 mn sft GDV** Current status ~20,500 cr Shore piling and excavation in progress ** Rental assumed at ₹325 psf and Cap rate as 8.5% BKC 101 - Artist's im
Slide 27: The Prestige (Liberty Towers)
THE PRESTIGE (LIBERTY TOWERS) Land area Launch timeline 5.5 acres FY 24 Total Leasable Area Estimated completion 2.7 mn sft FY 28 GDV** Current status Tower A & C- Excavation in progress ~12,600 cr Tower D – 9th level completed ** Rental assumed at ₹325 psf and Cap rate as 8.5% The Prestige (Liberty
Slide 28: Mumbai Gross GDV
GDV (INR cr) THE PRESTIGE CITY MULUND ~9700 MUMBAI NCLT PRESTIGE JASDAN CLASSIC ~1500 GROSS GDV HDFC & NCCCL PRESTIGE DAFFODILS ~1200 REDEVELOPMENT PRESTIGE OCEAN TOWERS ~3400 EDELWEISS ARC PRESTIGE NAUTILUS ~5900 REDEVELOPMENT & BANKS GDV ~75,000 Cr PRESTIGE BKC 101 ~20,500 IN ASSOCIATION WITH DB (
Slide 29: Mumbai GDV Calculation
Mumbai GDV Calculation Carpet Area / Total Sale Leasable area Sale Value # Project value Mn sf Psf In Cr 1 Prestige Jasdan Classic 0.33 45,100 1,488 2 The Prestige City Mulund 3.99 24,400 9,736 3 Prestige Daffodils 0.12 105,500 1,266 4 Prestige Ocean Towers 0.45 75,000 3,375 5 Prestige Nautilus 0.9
Slide 30: Outlook, Opportunity & Strategy
OUTLOOK OPPORTUNITY OUTLOOK, CAPEX OUTLOOK BUSINESS EXPANSION OPPORTUNITY P&L OUTLOOK PAN INDIA PRESENCE MARKET COMPARISON & STRATEGY KEY TAKEAWAYS
Slide 31: Capex Outlook
CAPEX OUTLOOK Total FY23 FY24 FY25 FY26 FY27 FY28 Capex Commitment (PG Share) Total 17,074* 2,323 2,870 4,355 4,078 3,197 251 40% Residential FCF for CAPEX 8,083 1,527 1,516 1,835 2,135 1,069 Lease Deposit from Tenants 1,506 233 171 59 190 391 464 Shortfall 7,486 564 1,183 2,462 1,753 1,738 -213 Pea
Slide 32: P&L Outlook
P&L OUTLOOK Total Office Retail Hosp PMS Residential Projected revenue 30,963 2,476 535 1,852 1,100 25,000 EBITDA 9,770 2,105 455 741 220 6,250 EBITDA (%) 32% 85% 85% 40% 20% 25% Interest 1,049 Depreciation 2,394 PBT 6,328 Tax @ 25% 1,582 PAT 4,746 Amounts in INR Cr
Slide 33: Market Comparison
MARKET COMPARISON Operational Performance Company Name M Cap(Cr) TTM PE P/B ROE(%) Sales FY22 Sales FY23 (Cr) 9M (Cr) Prestige Estates 17,367 12 1.82 12.64 10,382 9,042 Macrotech Dev 43,377 536 3.56 9.29 9,024 9,039 Godrej Prop 32,363 77 3.73 4.06 7,861 8,181 DLF 90,237 48 2.48 4.12 7,273 6,599 Ober
Slide 34: Business Expansion
BUSINESS EXPANSION 25,000 CR 11,500 CR GEOGRAPHICAL SALES ~25,000 CR 3,500 CR CONSTRUCTION COST ~11,500 CR LAND ACQUISITION ~3,500 CR
Slide 35: Pan India Presence
PAN INDIA PRESENCE New Project Timeline ~25,000 CR BENGALURU MUMBAI HYDERABAD NCR PUNE CHENNAI OTHERS OTHERS INCUDE KOCHI, CALICUT, GOA, MANGALURU, OOTY Amounts in INR Cr
Slide 36: Takeaways
TAKEAWAYS 22,000 CR RESIDENTIAL FREE PRESTIGE CASHFLOWS ~ 3,000 Cr CAPEX FUNDING VALUES + ANNUITY BUSINESS STRATEGY 10,000 CR LAND BANK POTENTIAL ~ 75,000 CR MUMBAI GDV PRESTIGE CITY EXPANSION INTO ~ 25,000 CR ANNUAL SALES + FORMAT TO NEW NCR AND PUNE POTENTIAL GEOGRAPHIES 4 NEW PROJECTS IN MMR
Slide 37: Thank You
Thank You 21st Feb 2023 - Mumbai www.prestigeconstructions.com PRESTIGE ESTATES PROJECTS LTD
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