Oberoi Realty Limited · NSE:OBEROIRLTY
Oberoi Realty — Investor Presentation (December 2013)
24 slides from Oberoi Realty's investor presentation, December 2013
Slide 1: Corporate Presentation December 2013
CORPORATE PRESENTATION December 2013
Slide 2: Disclaimer
Disclaimer This presentation does not constitute a prospectus, offering circular or offering memorandum or an offer, or a solicitation of any offer, to purchase or sell any securities. This presentation should not be considered as a recommendation that any investor should subscribe for or purchase a
Slide 3: Oberoi Realty: Key Investment Highlights
1 Oberoi Realty: Key Investment Highlights 1 Established Premium Brand Positioning with “Destination Developments” Across Mumbai 2 Scalable Business Model With Proven Execution Capabilities 3 Strong Pipeline Of Ongoing / Planned Projects Across Segments 4 Financial Strength With Zero Leverage Lend S
Slide 4: Established Premium Brand Positioning with Destination Developments Across Mumbai
1 Established Premium Brand Positioning with “Destination Developments” Across Mumbai Central Suburbs Mulund (W) Goregaon (E) Western Suburbs South Mumbai Andheri (W) Andheri (E) Worli Juhu Leading real estate developer in India Focussed on Mumbai, a premium real estate market in India 5.5 mn
Slide 5: Integrated Development for Better Pricing–Oberoi Garden City, Goregaon
1 Integrated Development for Better Pricing–Oberoi Garden City, Goregaon Office Space and Hospitality: Residential: Oberoi Woods & Oberoi Exquisite Commerz I, II & The Westin Mumbai–Garden City 598,200 sq ft (May-08) Estimated area –1,535,670 sq ft 805,606 sq ft (Apr-10)1 725,769 sq ft (Dec-13) Reta
Slide 6: Virtuous Cycle Delivering Superior Sales
1 Virtuous Cycle Delivering Superior Sales… Average Rate of Area Sold (INR / Sq ft) 1 Established Brand and Reputation 19,882 17,501 13,691 13,116 12,122 Contemporary Architecture, Strong Destination Project Execution Developments and Quality Construction FY10 FY11 FY12 FY13 * 9M FY14 1 Average rate
Slide 7: Scalable Business Model
2 Scalable Business Model Land Identificatio Regulatory Design & Sales & Execution Maintenance n& Approvals Architecture Marketing Purchase In-House Execution Outsourced Activities Land Identification and Purchase Regulatory Approvals Substantial land acquired between 2002–05, when land prices wer
Slide 8: Proven Execution Capability Across Verticals
2 Proven Execution Capability Across Verticals Commerz I, Goregaon The Westin Mumbai–Garden City, Oberoi Woods, Goregaon (Residential) (Office Space) Goregaon (Hospitality) 598,200 sq. ft (May-08) 423,786 sq. ft (Mar-08) 1 381,820 sq. ft (Apr-10) Oberoi International School, Goregaon Oberoi Springs,
Slide 9: Proven Execution Capability Across Verticals (cont’d)
2 Proven Execution Capability Across Verticals (cont’d) Oberoi Splendor Grande Oberoi Splendor - I 1 (Sep-13) (Jul-11) * Dates in brackets indicate dates of completion 8
Slide 10: Strong Pipeline of Ongoing / Planned Projects Across Segments
3 Strong Pipeline of Ongoing / Planned Projects Across Segments Ongoing Projects Planned Projects Hospitality Social Infra 4.7% 16.1% Office space 23.4% Hospitality 12.4% Retail Residential 2.7% 65.2% Residential Office space 71.9% 3.6% Total Estimated Area: 7.1 mn Sq ft Total Estimated Area: 10.4 m
Slide 11: A Well Defined Portfolio of Projects to be Monetized in the Near Term
3 A Well Defined Portfolio of Projects to be Monetized in the Near Term (Estimated area in sq ft) Projects Under the Sale Model (Residential) Area sold/booked for sale as of Dec Project Location Ongoing Planned Total 31, 2013 Oberoi Garden City Goregaon East 3,040,485 2,205,455 5,245,940 1,996,565 O
Slide 12: Oberoi Splendor, Andheri, Mumbai
3 Oberoi Splendor, Andheri, Mumbai Oberoi Splendor-I (Jul-11) Oberoi Splendor Grande (Sep-13) Oberoi Splendor Aarey Colony (no development zone) S.No Projects Estimated Area (mn sq ft) 2 Residential 1 Oberoi Splendor-I 1.3 2 Oberoi Splendor Grande 0.3 4 6 3 Oberoi Splendor-III 0.3 1 4 Oberoi Splendo
Slide 13: Exotica, Mulund, Mumbai
3 Exotica, Mulund, Mumbai Oberoi Exotica S.No Projects Estimated Area (mn sq ft) 2 Residential 1 Exotica – I 1.6 2 Exotica – II 1.6 1 Planned projects 18.81 acres of total area acquired from GlaxoSmithKline in 2005 Residential development in central Mumbai suburb Located on LBS Marg, a key roa
Slide 14: Oasis Realty, Worli, Mumbai
3 Oasis Realty, Worli, Mumbai Oasis Realty S.No Projects Estimated Area (mn sq ft) Residential 3 2 1 Oasis Residential 1.5 2 Oasis Residential 2 0.2 Hospitality 1 3 Oasis Hotel 0.3 Ongoing projects Joint Venture to develop mixed-use project of ~2.1mn sq ft Artist impression in Worli Conveniently
Slide 15: I-Ven Realty Ltd. Worli, Mumbai
3 I-Ven Realty Ltd. Worli, Mumbai I-Ven Realty Ltd. Conveniently located on the arterial Annie Besant Road, Worli Estimated area 0.5 mn sq.ft. (Planned residential project) 14
Slide 16: Strong Financial Performance
4 Strong Financial Performance Revenue EBITDA 6,336 7,120 11,475 6,398 65.0% 10,588 9,748 4,891 8,055 62.1% 6,270 60.7% 60.4% 3,585 57.2% FY10 FY11 FY12 FY13 9M FY14 FY10 FY11 FY12 FY13 9M FY14 Revenue (INR mn) EBITDA (INR mn) EBITDA Margin% PAT Amount Collected 4,582 5,172 9,036 8,871 5,049 56.9% 4
Slide 17: Zero Leverage Lending Strategic Flexibility
4 Zero Leverage Lending Strategic Flexibility Significant opportunity to increase 43,963 leverage in order to tap growth 41,621 opportunities through: 37,341 ‒ Prudent land acquisition strategy 33,476 ‒ Conservative deployment of cash to replenish land bank ‒ Raise debt on large equity base 18,639
Slide 18: Cash Flow Stability from Lease & Hospitality Properties
5 Cash Flow Stability from Lease & Hospitality Properties Lease & Hospitality Project Areas (Sq ft) Rental & Hospitality Income Project Completed Ongoing 3 Planned 3 2,354 Office space 1 11,49,555 1,661,650 0 2,187 32% Retail 552,893 0 0 2,021 Social 305,309 0 1,672,602 1,791 956 Infrastructure 897
Slide 19: Experienced Board of Directors
6 Experienced Board of Directors Vikas Oberoi On the Board since inception and has more than two decades of experience in the real estate sector Chairman and MD Formulation of corporate strategy and planning, overall execution and management of the Company Bindu Oberoi Member of the Board sinc
Slide 20: Stable and Experienced Management Team
6 Stable and Experienced Management Team Board Of Directors Vikas Oberoi Chairman and MD Head, finance and accounts, legal and secretarial and IT initiatives; Joined in October 2002 Saumil Daru Vice President, Residential Sales Over 18 years of experience in tax, accounts and Rochelle Chatterjee Gro
Slide 21: Prudent Corporate Governance and Processes
6 Prudent Corporate Governance and Processes Board Driven Decision Making System and Processes Independent directors on board since 2007 SOPs for all functions documented by a Big 4 Firm 60% of the Board of Directors are independent Internal Audit conducted by another Big 4 Firm members Am
Slide 22: Best-in-Class Partners
6 Best-in-Class Partners Strategic Relationship with Best-in-class Partners One of the world’s most distinguished Adjudged as the world’s best construction ) Samsung C&T architectural firm company International planning, design and Largest construction company in India & consulting firm also ranks 2
Slide 23: The Way Forward
The Way Forward Continue to Focus on Large Mixed Use Established Premium Brand Positioning Developments in Mumbai with “Destination Developments” Across Mumbai Scalable Business Model with Proven Continue to Acquire Land Through Execution Capabilities Various Modes Strong Pipeline of Ongoing / Plann
Slide 24: Thank You
Thank You OBEROI 23 REALTY
Oberoi Realty — Investor Presentation (December 2013) on 6ix