Ram Essential Services Property Fund · ASX:REP
Ram Essential Services Property Fund — FY2025 Earnings Presentation
37 slides from Ram Essential Services Property Fund's earnings presentation, Aug 27, 2025
Slide 1: FY25 Operating Results & Update
RAM ESSENTIAL SERVICES PROPERTY FUND FY25 Operating Results & Update 27 August 2025
Slide 2: Agenda
AGENDA 1. Overview………………………………………………………………. P3-4 2. Strategic Healthcare Transition……………………..……… P5-8 3. Portfolio Performance………………………………………….. P9-13 4. Financial Performance……………………………………......... P14-17 5. Capital Recycling…………………………………….……………. P18-21 6. Unlocking Value – Driving Growth Forward……
Slide 3: Overview
01 OVERVIEW Cairns Surgical Centre (QLD)
Slide 4: FY25 Highlights
FY25 HIGHLIGHTS Strong portfolio growth and strategic capital management driving sustainable returns. PORTFOLIO OPERATIONS FINANCIAL PERFORMANCE CAPITAL MANAGEMENT Capital Recycling Embedded Portfolio Growth Portfolio Continues to Perform ~$120m of assets divested at an Strong leasing spreads of 3.8
Slide 5: Strategic Healthcare Transition
02 STRATEGIC HEALTHCARE TRANSITION North West Private Hospital (TAS)
Slide 6: Healthcare Transition Execution – Positive Valuation Outlook
HEALTHCARE TRANSITION EXECUTION – POSITIVE VALUATION OUTLOOK Advancing towards a pure play healthcare REIT offering clarity and a concentrated healthcare exposure. Progress on the significant sale of further retail assets which will provide the pathway for accretive healthcare acquisitions. Cyclical
Slide 7: Depth in Deal Flow Pipeline Across Medical Uses and Formats
DEPTH IN DEAL FLOW PIPELINE ACROSS MEDICAL USES AND FORMATS Source opportunities across the risk spectrum as capital market fundamentals improve, targeting an increased range of healthcare schemes. Combined pursuit of core assets Private and N4P Hospital Anchored Schemes and value-add with assets th
Slide 8: Cap Rate Comparison Chart
CAP RATE COMPARISON CHART Recent normalisation in the healthcare market presents a rare entry point to acquire prime assets at relative value. Our house view highlights an attractive near-term (6–12 month) acquisition window before pricing begins to stabilise. Neighbourhood retail cap rates are expe
Slide 9: Portfolio Performance
03 PORTFOLIO PERFORMANCE The Gold Coast Surgery Centre (QLD)
Slide 10: Portfolio Summary
PORTFOLIO SUMMARY Diversified portfolio focused on delivering consistent, secure and long-term stable returns. Key Metrics 30 June 25 Geographical Diversification2 Income Exposure3 NT WA Formula 3.5% Number of Properties 26 10.9% NSW 12% CPI+1% 1% 30.4% Formula TAS Turnover Total Property Value $671
Slide 11: Strategic Tenant Base and Geographic Diversification
STRATEGIC TENANT BASE AND GEOGRAPHIC DIVERSIFICATION Casuarina Medical Precinct Rosebery Convenience & Medical Centre Medical North Ward Medical Centre Essential Retail Cairns Surgical Centre Willetts Health Precinct Keppel Bay Plaza Springfield Fair The Banyans Health and Wellness Centre Coomera Sq
Slide 12: Steadfast Portfolio Resilience
STEADFAST PORTFOLIO RESILIENCE Strong leasing performance driving income growth. Comparable NOI Growth1 3.2% Leasing spreads of +3.8% average across 34 deals continue to outpace inflation Stable Occupancy2 C. 62%3 net leases providing hedge against increase in operational 98% 98% 98% expenditures 30
Slide 13: Stabilising Valuations in the Final Phase of the Cycle
STABILISING VALUATIONS IN THE FINAL PHASE OF THE CYCLE 74%1 of the portfolio has been externally Medical Essential Retail Total valued within last 12 months Number of Properties2 19 7 26 Three assets settled at approximately 5% 2 discount to book value since December 2024 30 June 2025 Book Value $33
Slide 14: Financial Performance
04 FINANCIAL PERFORMANCE Mayo Private Hospital (NSW)
Slide 15: Funds From Operations (FFO)
FUNDS FROM OPERATIONS (FFO) FFO performance highlights the impact of strategic portfolio recycling and active asset management. Funds from Operations FY251 FY242 (FFO net of adjustments) Year-on-year comparisons are impacted by ongoing divestments and acquisition $m $m Like for like NOI growth of 3.
Slide 16: Balance Sheet and Capital Management Overview
BALANCE SHEET AND CAPITAL MANAGEMENT OVERVIEW Disciplined capital management ensuring flexibility and strength to drive sustainable growth. Gearing of 38.8%1, reflecting balance sheet strength during portfolio transition 10.4m shares acquired in share buyback program during FY2025, enhancing securit
Slide 17: Capital Strength and Strategic Risk Management
CAPITAL STRENGTH AND STRATEGIC RISK MANAGEMENT Robust balance sheet and strategic hedging ensures resilience and stability amidst evolving market. 2025 2024 Debt Debt $72m 1.6 yrs 3 $100m 2.0 yrs Headroom Debt Maturity Headroom Debt Maturity Hedge Hedge 88% 1.5 yrs 76% 2.0 yrs Hedge Hedge Hedged4 He
Slide 18: Capital Recycling
05 CAPITAL RECYCLING The Banyans Health and Wellness Centre (QLD)
Slide 19: Capital Recycling Structure
CAPITAL RECYCLING STRUCTURE A prudent approach with sale proceeds to provide immediate access to accretive opportunities. Capital Uses and Activities Prudent Leverage Management 1 Gearing to be maintained within the target range of 30-40% Share Buy-Back 2 Concluded on 31 March 2025 Priority Accretiv
Slide 20: Capital Recycling Update
CAPITAL RECYCLING UPDATE Driving value through strategic capital transactions and recycling initiatives. FY25 Settled Assets ~$120m settled since commencement of the capital recycling programme closely in line with book value Bowen Hills Day Surgery (QLD) Parkwood Medical Centre (QLD) Highlands Heal
Slide 21: Capital Recycling Program Continued
CAPITAL RECYCLING PROGRAM CONTINUED Leveraging the liquidity edge from the portfolio. Acquisitions: Evolving high-quality healthcare pipeline targeting 7%+ yield Cairns Surgical Centre Sector tailwinds underpinned by increasing healthcare demand Over 7%1 yields on Healthcare valuations at a low poin
Slide 22: Unlocking Value – Driving Growth Forward
06 UNLOCKING VALUE – DRIVING GROWTH FORWARD Wembley Day Surgery (WA)
Slide 23: Completed Project
COMPLETED PROJECT Successfully executed development project, expanding the fund’s portfolio and generating increased returns. North-West Private Hospital (TAS) – Stage 1 – Completed Cardiac catheterisation lab expansion ~$7m Total Development Cost Practical completion achieved 30-year lease reset wh
Slide 24: Strategic Value-Add Initiatives – 7%+ Targeted Yield
STRATEGIC VALUE-ADD INITIATIVES – 7%+ TARGETED YIELD Highly engaged relationships with major tenants – prudent balance sheet utilisation. Project Overview Development Update Phase 1 – Phase 2 – Phase 3 – Property Name Sector Income Pre-commitment & Masterplanning Construction^ DA Approval Delivered
Slide 25: Key Project Attributes
KEY PROJECT ATTRIBUTES Key development attributes for a value-add project. Willets Health Precinct Tenant-led strategies targeting high return yield on cost outcomes Tenant-Led Location: Mackay, QLD | Approx Value : $10m Expansion and reinvestment into our key tenants such as Healthcare Value at Dub
Slide 26: Outlook & Summary
07 OUTLOOK & SUMMARY Miami Private Hospital (QLD)
Slide 27: Summary
SUMMARY A consistent track record since listing in challenging conditions. Underlying Strong leasing outcomes with circa 3.8% average spreads on renewals and new deals growth Stable comparable NOI growth of circa 3.2%1 97%2 of Fund income from secure essential service tenants 98%3 occupancy and an i
Slide 28: FY2026 Guidance
FY2026 GUIDANCE Subject to the successful execution of strategy, the DPS is expected to be in the following range, which equates to an attractive yield based on current price. 5.00 – 5.20c 1 8% 2 ~90% 95% – 100% In line with consensus Distribution Per Forecast Forecast Distribution Target FFO Payout
Slide 29: Other Information
08 OTHER INFORMATION Bay Plaza Shopping Centre (QLD)
Slide 30: FFO Reconciliation
FFO RECONCILIATION FY251 FY24 Statutory net (loss)/profit $m (14.7) (24.5) Adjusted for: Reversal of unrealised fair value (gain) on investment properties $m 22.5 34.0 Reversal of unrealised fair value (gain) on derivatives $m 4.1 3.3 Reversal of realised fair value (gain) on investment properties $
Slide 31: Income Statement
INCOME STATEMENT Revenue FY251 FY24 Rent from investment properties $m 57.9 55.7 Interest revenue $m 0.2 - Total revenue $m 58.0 55.7 Expenses Direct property expenses $m (21.3) (18.3) Fund management fees $m (4.2) (5.1) Net realised losses on revaluation of investment properties $m (4.3) (3.2) Net
Slide 32: Consolidated Balance Sheet
CONSOLIDATED BALANCE SHEET FY251 FY24 Cash and cash equivalents $m 4.4 9.4 Investment properties $m 671.5 683.4 Other assets $m 14.7 16.4 Non current assets held for sale $m - 42.3 Total assets $m 690.6 751.5 Borrowings $m (267.7) (284.5) Trade and other payables $m (24.9) (22.5) Total liabilities $
Slide 33: Our ESG Approach
OUR ESG APPROACH We understand that sustainable growth goes beyond environmental considerations – it also requires a focus on people: ensuring fair treatment, equal opportunities and a positive societal impact. This is why we prioritise social initiatives that promote diversity, employee wellbeing,
Slide 34: Strengthening REP's ESG Foundations
STRENGTHENING REP’S ESG FOUNDATIONS Sustainability is central to RAM’s investment approach. We were among the first asset managers to integrate solar power into property assets and remain committed to reducing our carbon footprint. Building on this foundation, we are now establishing an FY25 emissio
Slide 35: Healthcare Real Estate Team
HEALTHCARE REAL ESTATE TEAM Highly experienced and specialised team with a proven track record in developing value-add opportunities to secure superior outcomes for investors. Scott Wehl Founder, Executive Chairman Matthew Strotton Executive Director, Head of Real Estate Scott Kelly Managing Directo
Slide 36: Selected Biographies and Individual Experience
SELECTED BIOGRAPHIES AND INDIVIDUAL EXPERIENCE Matthew Strotton – Executive Director, Head of Real Estate Peter Granato – Director, Fund Manager REP Matthew has over 29 years of experience in global real estate markets across real estate Peter has over 25 years of experience as a Finance and Propert
Slide 37: Important Information
IMPORTANT INFORMATION GENERAL ADVICE WARNING: The information contained herein does not have any regard to the specific investment objectives, financial situation or the particular needs of any person. The information in this presentation is not intended to be personal financial advice. This materia
Ram Essential Services Property Fund — FY2025 Earnings Presentation on 6ix