Slide 1: Results for the nine months ended 30 September 2015
Results for the nine months ended 30 September 2015 18 November 2015
Slide 2: Agenda
Agenda SECTION 1 Company Overview SECTION 2 Financial Highlights SECTION 3 Operational Highlights 2
Slide 3: Company Overview
Company Overview Plaza Centers is a leading emerging markets property developer, focusing on western-style shopping and entertainment centers Business Description Real Estate Portfolio • 19-year track record of developing shopping & entertainment Plaza Centers N.V. centers in CEE - Plaza Centers has
Slide 4: Portfolio Summary – by Country
Portfolio Summary – by Country Total portfolio of 23 assets in nine countries 3 4 1 3 1 2 2 2 1 1 1 1 1 Poland Serbia India Romania Hungary Czech Bulgaria Greece Latvia Republic Completed & Active (5) Offices (1) For Development (5) Plots Pipeline (12) 4
Slide 5: Plaza Centers - Operating Assets
Plaza Centers - Operating Assets Poland Location Torun, Poland • Operating shopping and entertainment centre Shopping and entertainment • Located in Central Poland Concept centre • Opened to the public in November 2011 GLA (sqm) 40,000 • External Valuation 12/2014: €96.3M Torun Plaza Occupancy 94% •
Slide 6: Plaza Centers - Operating Assets
Plaza Centers - Operating Assets Latvia Location Riga, Latvia • Operating shopping and entertainment centre Shopping and entertainment • Located in the capital of Latvia Concept • Opened to the public in March 2009 centre GLA (sqm) 49,000 • Plaza Centers’ share: 50% • External Valuation 12/2014: €90
Slide 7: Company Overview - Competitive Strengths
Company Overview Plaza has the ability to identify new growth opportunities, constantly targeting attractive returns in fast growing emerging markets Competitive Strengths • Flexibility and ability to anticipate and adapt to market • Strong brand name — Plaza Centers has become a trends — Plaza is w
Slide 8: Company Overview - Capital Markets Milestones
Company Overview - Capital Markets Milestones Plaza’s shares are traded on the Main Board of the London Stock Exchange (LSE), listed on the Warsaw Stock Exchange (WSE) and on Tel-Aviv Stock Exchange (TASE) Capital Markets Shareholding Structure • On 1 November 2006, Plaza raised ₤166m (€247m) from i
Slide 9: Historical Business Cycle (1996-2015)
Company Overview - Historical Business Cycle (1996-2015) 19 year track record of developing shopping & entertainment centers in CEE — Plaza Centers has been active in the region since 1996 and was the first to develop western-style shopping and entertainment centres in Hungary 1996 First investment
Slide 10: Historical Business Cycle (1996-2015) – cont.
Company Overview - Historical Business Cycle (1996-2015) – cont. 19 year track record of developing shopping & entertainment centers in CEE — Plaza Centers has been active in the region since 1996 and was the first to develop western-style shopping and entertainment centres in Hungary 2012 Opening o
Slide 11: Latest Transactions (2013-2015)
Latest Transactions (2013-2015) India May 2013: Completed the sale of Plaza’s 50% interest in a vehicle which mainly holds interests in an office complex project located in Pune, India, generating gross cash proceeds of circa €16.7 million May 2015: Sold Koregaon Park Plaza Shopping and Entertainmen
Slide 12: Latest Transactions (2013-2015)
Latest Transactions (2013-2015) Romania September 2014: Completed the sale of a 31,500 sqm plot in Targu Mures, Romania, generating cash proceeds of €3.5 million. December 2014: Completed the sale of a 41,000 sqm plot in Hunedoara, Romania generating cash proceeds of €1.2 million. May 2015: Complete
Slide 13: Company Overview – Company's Debt
Company Overview – Company’s Debt Debt Structure of the Group Debt Structure – September 30, 2015 € million Debentures(1) 198 CEE - operating malls(3) 125 Debt Bank Loans CEE - projects under development and others(4) 8 Total Debt 331 Liquid balances - Consolidated 16 Resources Financial Instruments
Slide 14: Company Overview – Company's Debt
Company Overview – Company’s Debt Debentures repayment schedule before and after restructuring Original Debentures Repayment Schedule – Debentures Repayment Schedule post restructuring* – Principal & Interest (€ M) Principal & Interest (€ M) 90.0 120.0 80.0 112.6 82.5 78.5 100.0 70.0 60.0 80.0 80.1
Slide 15: Company Overview – Company's Debt
Company Overview – Company’s Debt Following the debt restructuring program approval to date, Plaza paid to its bondholders circa NIS 201 Million (€44 million) and allocated 13.21% of its shares Upside: Interest payments 2015: The bondholders (excluding the subsidiary holding As of today the company
Slide 16: Financial Highlights
Financial Highlights Decrease in total assets to €403 million (31 December 2014: €466 million) primarily due to the sale of Koregaon Park Plaza Shopping Center. Book value of the Company’s trading property decreased by 11.5% (€43 million) over the period, primarily due to the abovementioned reas
Slide 17: Financial Highlights cont.
Financial Highlights cont. Loss for the first nine months of 2015 of €26.6 million (first half of 2014: loss of €99.8 million), stemming vastly from a non-cash €18.4 million of finance costs (Forex and Bonds discount amortization), as well as impairments and losses in connection with sale of Koreg
Slide 18: Financial Overview Results (€ 000) cont.
Financial Overview Results (€ 000) cont. Nine months ended September 30, 2015 2014 Continuing operations Revenue from disposal of Trading Property 34,684 38,600 Rental income 14,202 17,270 Revenues from entertainment centres 504 1,295 49,390 57,165 Cost of Trading Property disposed (34,684) (38,600)
Slide 19: Financial Overview Results (€ 000) cont.
Financial Overview Results (€ 000) cont. Nine months ended September 30, 2015 2014 Write-down of Trading Property (1) (8,495) (69,716) Loss from disposal of equity accounted investees - (4,048) Loss from disposal of trading property - (621) Share in profit of equity-accounted investees (―EAI‖), net
Slide 20: Financial Overview Results (€ 000) cont.
Financial Overview Results (€ 000) cont. Nine months ended September 30, 2015 2014 Finance income(1) 20,423 374 Finance costs(2) (39,920) (30,579) Net finance costs (19,497) (30,205) Loss before income tax (26,227) (100,212) Tax benefit (income tax) (352) 368 Loss from continuing operations (26,579)
Slide 21: Financial Overview (Cont.) - Notes to the Results
Financial Overview (Cont.) NOTES TO THE RESULTS (1) Finance income increased to €20.4 million from €0.4 in 2014 mainly due to 2015 third quarter NIS weakening vs. EUR (€6.5 million), as well as €13.3 million gain due to two waiver agreement of a bank facilities in the Czech Republic and Romania; (2)
Slide 22: Company's Shopping Centers Net Operating Income (NOI)
Company’s Shopping Centers Net Operating Income (“NOI”) The following table presents the NOI performance of shopping centres for first nine months of 2015: Shopping centre NOI 9M 2015 (€M) NOI 9M 2014 (€M) Remarks name Torun 5.6 5.0 TK Maxx major tenant opening in late March 2014. Kragujevac - 2.6 T
Slide 23: Trading property breakdown
Company Trading property breakdown Asset name Value September 30, 2015 (€M) Remarks Casa Radio (Romania) 116.3 Torun (Poland) 68.7 Suwalki (Poland) 39.5 Visnjicka- Sport Star (Serbia) 23.1 Zgorzelec (Poland) 13.5 Belgrade MUP (Serbia) 13.6 Liberec (Czech Republic) 9.5 Subtotal 284.2 Other plots, agg
Slide 24: Operational Highlights
Operational Highlights As announced on 29 September 2015, a wholly owned subsidiary of the Company was successful in a tender to buy the loan to the wholly owned holding and operating company for Liberec Plaza shopping and entertainment centre in the Czech Republic and the relevant agreement was s
Slide 25: Operational Highlights (cont.)
Operational Highlights (cont.) Portfolio occupancy remained stable at 93.25% as of 30 September 2015, compared to 92% in Q3 2014. – Over 3,000 sqm of GLA is currently under final negotiations, which when completed is expected to bring total portfolio occupancy to 95.5%. – At Torun Plaza, Poland, o