Vgp Nv · EURONEXT:VGP
Vgp Nv — H1 2022 Earnings Presentation
35 slides from Vgp Nv's earnings presentation, Aug 26, 2022
Slide 1: Financial Results 1H 2022
BUILDING TOMORROW Ss ———- ee ‘Financial Results \ 2 26 August 2022
Slide 2: Highlights 1H 2022
Highlights 1H 2022 fa} G) 9
Slide 3: Closings with Joint Ventures deliver strong gains; further closings expected in 2H 2022
• Signed and renewed rental income of € 35.4 million • Total signed rental income of € 281.1 million (+9.7% YTD) • 1,346,000 m² under construction representing 40 projects and € 88.1 million in additional annual rent once fully built and let (87.4% pre-let) • Land bank of 11.3 million m² (+ 3.3% YTD
Slide 4: NEXT
NEXT 4
Slide 5: Steady growth of portfolio value and rental income
1 2 3 4 STEADY GROWTH OF CONTINUED STRONG GROWTH IN OPERATING PROFIT - HIGHER NET EARNINGS PER SHARE TOTAL PORTFOLIO COMMITTED ANNUALISED RENTAL INCOME MITIGATED BY DECREASED - AFFECTED VALUE1 RENTAL INCOME1 DECREASE IN NET VALUATION GAIN BY SHARE ISSUANCE (6%) NET RENTAL INCOME AT SHARE ON STANDING
Slide 6: ESG: Achievements and highlights
ESG Achievements and highlights Our sustainability targets 1 H 2022 Our Commitment NEXT
Slide 7: Green Building Certification and VGP Renewable Energy
Green Building Certification • All buildings started after 2020 received green certifications and this represents 61.2% of the portfolio as of June 2022 VGP Renewable Energy • 120.9 MWp installed or under construction and 53.7 MWp in pipeline On track to achieve carbon neutrality by 2025 and 50% gro
Slide 8: Operational Performance 1H 2022
Operational Performance 1H 2022 fa) ?) a
Slide 9: Committed annualised rental income
Increase in rental income Rolling rental income Number of contracts € 300 450 400 • € 250 350 € 200 300 Committed annualised rental income Number of tenancy contracts 250 • € 150 200 € 100 150 100 € 50 50 €- 0 2016 2017 2018 2019 2020 2021 H1 2022 1 9
Slide 10: Capital expenditure: own portfolio and JVs-related
• 6,534 7.000 Own portfolio JVs-related1 • 5,746 6.000 5.000 4.109 3,843 3.492 4.000 2,771 3.000 1,936 2.923 2.000 1.978 1.360 2.424 2.254 1.000 793 920 576 - 2018 2019 2020 2021 H1 2022 Capital expenditure €352.7m €539.5m €479.8m €743.2m €503.1m €2,618m Net cash inflow from €438.4m €339.0m €405.6m
Slide 11: Portfolio by country and development status
1 1 Romania Austria €180mm – 3% €146mm – 2% Italy Development land Hungary €127mm – 2% € 0.7 bn €197mm – 3% 11% Other Slovakia €159mm – 2% €247mm – 4% Netherlands Under €493mm – 8% Construction €1.5 bn Germany Spain 24% Completed €3,601mm €571mm – 9% 55% €4.3 bn 65% Czech Republic €803mm 12% • • 11
Slide 12: Occupancy, WALT and green certifications
1 Own Portfolio Joint Ventures 100,0% 100,0% 100,0% 100,0% 100,0% 99,8% 99,4% 99,4% 99,3% 99,3% 98,4% 97,0% Combined 8.3 years JVs 7.1 years Own 10.1 years 0 2 4 6 8 10 12 14 2017 2018 2019 2020 2021 H1 2022 First Break WALT • 0,8% • 33,4% • 38,8% • 27,0% Leed BREEAM DGNB Not Certified 12
Slide 13: Top tenants and tenant sector mix
Krauss Maffei 9,92% Other 3.9% Amazon 5,57% Logistics Zalando 5,02% 38.6% E-commerce Rhenus Logistics 3,73% 25.2% Drylock Technologies 2,31% Siemens 1,77% BMW 1,71% MediaMarktSaturn 1,64% Light industrial CATL 1,38% 32.3% 4PX 1,21% 0,00% 2,00% 4,00% 6,00% 8,00% 10,00% 12,00% 13
Slide 14: VGP Park Fuenlabrada, České Budějovice, Halle
VGP Park Fuenlabrada, Spain VGP Park České Budějovice, Czech Republic VGP Park Halle, Germany 14
Slide 15: VGP Park Nijmegen, Leipzig, Magdeburg
Other 1% E-commerce 17% • • Logistics 38.6% Light industrial 62% VGP Park Nijmegen, The Netherlands VGP Park Leipzig, Germany VGP Park Magdeburg, Germany VGP Park Nijmegen, The Netherlands 15
Slide 16: VGP Park München, Zaragoza, Halle
• • • 1 VGP Park München, Germany VGP Park Zaragoza, Spain VGP Park Halle, Germany 16
Slide 17: VGP Park Giessen, Halle, Erfurt
• Slovakia 2% Italy 0,6% Austria 4% • The Netherlands 4% Spain 5% • 1 Latvia 5% VGP Park Giessen Am Alten Flughafen, Germany 1 Hungary 6% Romania 6% Germany 61% Czech Republic 7% VGP Park Halle, Germany VGP Park Erfurt 2, Germany 17
Slide 18: Total land bank of 11.3 million m2
11,908 11,307 601 Other 19% Germany 24% 3,248 Romania 5% 8,059 6,957 1,547 (445) Slovakia 7% Austria 8% The Netherlands 20% Land owned Deployed Acquired 2022 Committed Letters of Dec 2021 2022 intent Spain 15% 1 Geographical breakdown of development potential (based on € Owned and committed land ban
Slide 19: Financial Performance 1H 2022
Financial Performance fa) ?) U
Slide 20: Income Statement
Income Statement (€mm) 1H22 1H21 • Higher net rental income mitigated by decrease in net valuation gain (€ 7.3 mm YoY) and Revenue 35.1 18.1 Joint-Venture contribution (down € 53 mm) Gross rental income 19.1 7.1 Property operating expenses (2.0) (1.1) Net rental income 17.1 6.0 • Increase from € 31.
Slide 21: Investment, Development, and Property and Asset Management results
Investment Development Property and Asset Management (€mm) 1H ‘22 1H ‘21 (€mm) 1H ‘22 1H ‘21 (€mm) 1H ‘22 1H ‘22 Gross rental income 19.1 7.1 Gross rental income – – Gross rental income – – Property operating expenses (0.2) (0.3) Property operating expenses (1.8) (2.4) Property operating expenses –
Slide 22: Consolidated Balance Sheet – Assets
Consolidated Balance Sheet – Assets (€mm) • Completed portfolio € 1.078 mm (1H’21: €195mm) • Under Construction € 1.042 mm (1H’21 : €709mm) (€mm) 30 Jun ‘22 31 Dec '21 • Development land € 569 mm (1H’21 : €359mm) ASSETS Investment properties 2,403.2 1,852.5 Investment in joint ventures and • JV1: €
Slide 23: Consolidated Balance Sheet – Shareholders equity and liability
Consolidated Balance Sheet – Shareholders equity and liability (€mm) • Dividend pay-out of € 149.6 mm (€mm) 30 Jun ‘22 31 Dec '21 • Profit contribution of € 153.1 mm SHAREHOLDERS’ EQUITY AND LIABILITIES Shareholders’ equity 2,179.1 2,175.6 Non-current financial debt 2,183.8 1,340.6 • Increase of non
Slide 24: Debt overview, gearing and maturity profile
Overview as of 1H 2022 Gearing ratio (%)1 80 €300mm4 Covenants: <65% €2,362mm €649mm 60 Unutilised 39,4 42,3 Total Debt Cash 34,6 37,2 Credit Facility 25,2 29,8 35,2 40 20 0 2.29% 5.00 years 100% 2016 2017 2018 2019 2020 2021 H1 2022 Average Average Unencumbered Assets Cost of Debt Debt Maturity Deb
Slide 25: Project Update
Project Update fa} ) 9
Slide 26: Rouen France
Rouen France • First acquisition in France • Land size: 321.000 m² • Potential gross lettable area: 154.490 m² Rouen 26
Slide 27: München set to be handed over in Q4 2022
München set to be handed over in Q4 2022 • Expected completion in H2 2022 • 314,000 m² of gross lettable area1 27
Slide 28: Giessen am Alten Flughafen - Germany
Giessen am Alten Flughafen - Germany • 316,603 m2 development land • 212,333 m2 of gross lettable area • Construction started in ‘21 28
Slide 29: Demolishment at La Naval well on its way
Demolishment at La Naval well on its way •Demolition works well on its way in La Naval •Expected construction start Q4 2023 29
Slide 30: Summary and Outlook
Summary and Outlook fa) ) a
Slide 31: Strong financial and operating result over 1H 2022
Strong financial and operating result over 1H 2022 ¢ Robust growth with€35 million of new or renewed lease agreement Signed * Significant,rental growth,in most countries * More prudent approach towards land acquisitions in 1H:2022 Volatility on energy markets Significant boost to our renewable energ
Slide 32: Appendix
Appendix fal G) 9
Slide 33: Overview of VGP Parks
Overview of VGP Parks GERMANY HUNGARY FRANCE 01 VGP Park Frankenthal 55 VGP Park Győr 103 VGP Park Rouen 02 VGP Park Bobenheim-Roxheim 56 VGP Park Alsónémedi 03 VGP Park Leipzig 57 VGP Park Kecskemét 04 VGP Park Leipzig-Borna 58 VGP Park Hatvan 05 VGP Park Berlin 59 VGP Park Budapest 06 VGP Park Höc
Slide 34: Joint venture closings
First JV: VGP European Logistics Second JV: VGP European Logistics 2 Third JV: VGP Park München Fourth JV: Agreed with Allianz Germany Austria Germany Czech Republic Italy Czech Republic Hungary Netherlands Hungary Slovakia Portugal Slovakia Romania Spain Closing I GAV: c.€500mm Closing I GAV: c.€17
Slide 35: Disclaimer
Disclaimer ABOUT VGP VGP is a pan-European developer, manager and owner of high-quality logistics and semi-industrial real estate. VGP operates a fully integrated business model with capabilities and longstanding expertise across the value chain. The company has a development land bank (owned or com