Helios Re Socimi, S.a. · BME:SCHLR
Helios Re Socimi — Lar España Real Estate SOCIMI — Q1 2019 Earnings Presentation
29 slides from Helios Re Socimi's earnings presentation, May 13, 2019
Slide 1: Q1 2019 Results
—— lor Real Estate Q1 2019 Results 13% May 2019 JRETAIL a oe action, /
Slide 2: Agenda
AGENDA 01 02 03 04 Q1 2019 Q1 2019 Business Closing Highlights Financial Performance Remarks Results
Slide 3: Q1 2019 Highlights
01 Q1 2019 Highlights 3
Slide 4: Lar España improves its solid operative results in Q1 2019
Lar España improves its solid operative results in Q1 2019 +15% +18% 25% €11.38 in results Lagoh revaluation RESULTS in net profit EPRA NAV p.s.1 from operations since Dec 2018 Lagoh Lagasca99 €37.0 Mn €40.0 Mn Marcelo Spínola divestment Eloy Gonzalo divestment ASSETS c.95% 2 >90%2 in January 2019 i
Slide 5: Lar España performance: A story of growth
Lar España performance A story of growth Dividend (€ Mn) EPRA NAV (€ Mn) Dividend EPRA NAV 75 GAV Revaluation since acquisition 952 1,037 1,041 830 45 578 30 40% 29% 12 16% 1 6% 2014 2015 2016 2017 2018 2015 2016 2017 2018 Mar 2019 Retail EPRA NIY Net Debt & Net LTV Retail EPRA NIY Net Debt (€ Mn) N
Slide 6: Major corporate milestones in 2018 & Q1 2019
Major corporate milestones in 2018 & Q1 2019 FEB APR JUN AUG OCT DEC APR Rivas Futura AGM +34% Galaria Investor Day +40% AGM Acquisition Asset Revaluation Retail Park Asset Revaluation since Acq. €0.49 p.s. since Acq. Divestment EIB €0.80 p.s. Abadía Commercial Joan Miró Dividend Financing Dividend
Slide 7: Continuation of the fulfillment of the Business Plan with the sale of Eloy Gonzalo
Continuation of the fulfillment of the Business Plan with the sale of Eloy Gonzalo office building 2018-2021 Business Plan 5.2% Execution Avg. Exit Yield 67%1 divestments realized Arturo Soria Sale Egeo Sale Villaverde & Alisal Sale Logistics Portfolio & Galaria Sale Joan Miró Marcelo Spínola Eloy G
Slide 8: Divestment of the last office in the portfolio, Eloy Gonzalo
Divestment of the last office in the portfolio, Eloy Gonzalo 214.2% premium over the acquisition price Last office building in the portfolio Main tenant “Very good” Fully Full Universal Wework Accessibility refurbished occupancy 70% GLA Location GLA Madrid 6,295 sqm Acquisition Price Acquisition Dat
Slide 9: Lagoh to become an additional source of value creation
Lagoh to become an additional source of value creation 137 19 30 00 days hours minutes seconds In process c.95%1 30%1 GLA signed and units already committed delivered c.15 Mn c.200 Exp. Annual Rent2 Tenants 1.5 Mn inhabitants 14 Mn/year Great catchment area Exp. Visits 9 1. As of May 2019 2. Stabili
Slide 10: Lagoh: Strong revaluation quarter on quarter
Lagoh Strong revaluation quarter on quarter 180 €165 Mn1 160 140 120 307% 100 Revaluation 25% since acq. Revaluation 80 since Dec’18 60 40 20 0 Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar 2016 2016 2016 2016 2017 2017 2017 2017 2018 2018 2018 2018 2019 Acquisition 10 1. Valuation as of 31st
Slide 11: Lagoh construction works are progressing according to plan
Lagoh construction works are progressing according to plan 100% 85% 78% STRUCTURES COVERING EXECUTION OF CONCLUDED EXECUTED INSTALLATIONS €151.6 Mn Estimated construction cost 11
Slide 12: Q1 2019 Financial Results
02 Q1 2019 Financial Results 12
Slide 13: Successful & strong financial key figures delivered in Q1 19
Successful & strong financial key figures delivered in Q1 2019 17 €22.4 Mn +18% Assets Results from Operations vs Q1 2018 €1,481 Mn €17.6 Mn +15% €1,041 Mn 13.4% GAV Net Profit vs Q1 2018 EPRA NAV ROE 587,882 €624.7 Mn 2.2% €11.38 8.0% GLA sqm Financial Debt Cost of Debt EPRA NAV per share1 ROA €19.
Slide 14: Solid retail performance driven by robust operating results in Q1 2019
Solid retail performance driven by robust operating results in Q1 2019 95% 5% 99% 1% Retail Rest of the portfolio Retail Rest of the portfolio GAV Rental Income Retail yields Operating results Commercial activity Potential 6.3% +2.4% growth LfL GRI1 €2.3 Mn 14,299 sqm Negotiated rent Rotated area 5.
Slide 15: Strong valuation performance throughout the years
Strong valuation performance throughout the years € Mn Portfolio Value 1,538 1,536 91 36 1,481 1,275 899 406 2014 2015 2016 2017 2018 Divestments Revaluation Mar 2019 1 Q1 2019 1. Marcelo Spínola office building divestment and Lagasca99 units delivered. 15
Slide 16: Consolidated Income Statement (€ Millions)
Consolidated Income Statement (€ Millions) P&L Chg% FY Q1 2019/18 Q1 2019 Q1 2018 Revenues 19.4 19.6 Other income 0.5 0.4 Personnel expenses (0.1) (0.1) Other expenses (7.8) (25.7) Change in the fair value of investment properties 10.4 21.4 Results of disposals of investment properties - 3.3 RESULTS
Slide 17: Solid financial pillars
Solid financial pillars Debt Structure and Amortization Profile As at 31.03.2019 €140 Mn €484.7 Mn Gross Net Senior Bank financial debt financial debt € Mn Secured Bond Debt €624.7 Mn €422.6 Mn 254.8 268.2 Average debt Average maturity cost of debt 140.0 4.5y 2.2% 86.2 114.8 Fixed rate Net LTV 5.0 1
Slide 18: Dividend approved by the AGM to be paid on May 24th
Dividend approved by the AGM to be paid on May 24th highest dividend to date €0.80 ps2 €75 Mn €0.80 p.s. 2018 Dividend2 2018 Dividend2 +122% €75.0 Mn2 CAGR1 €0.49 ps +67% VS 2017 7.5% 10.8% Dividend Yield Dividend Yield €0.33 ps on NAV3 on Market Cap4 €45.0 Mn €0.20 ps €30.0 Mn IBEX €0.033 ps TOP DV
Slide 19: New share buy-back programme of up to 5%
New share buy-back programme of up to 5% Maximizing value for our shareholders The purpose of the Buy-Back Program during the next 9 months is the further reduction of Lar España’s share capital through the amortization of shares 1st 2nd Share Buy-Back Programme Share Buy-Back Programme 3.1 Mn 3.31%
Slide 20: Business Performance
03 Business Performance f RETAIL 20
Slide 21: Footfall above Spanish market despite shopping centres under refurbishment
Footfall above Spanish market despite 5 shopping centres under refurbishment Footfall Q1 2019 15.5 Mn visits 87 min Vs Q1 2018 AVG. STAY c.245,000 -2.2% sqm GLA affected by refurbishments during the quarter Negative calendar effect -3.8%1 In Q1 2019 as Easter was in April this year (vs March in 2018
Slide 22: Sales also beating the Spanish market driven by strong letting activity
Sales also beating the Spanish market driven by a strong letting activity in our shopping centres Letting activity at the core of the strategy Sales1 Q1 2019 €160.6 Mn +13.5% Vs Q1 2018 RENTAL GROWTH 14,299 sqm 12% +0.2%2 ROTATED ROTATION RATE 25 €2.3 Mn OPERATIONS NEGOTIATED -0.2%3 IN Q1 2019 RENT
Slide 23: Trends and new concepts increase the value of our platform
Trends and new concepts increase the value of our platform The rise of pop-ups Retailers continue to invest in flagship stores 40% Shopping centres of visitors choose are becoming which shopping omnichannel spaces centre to visit based offering multiple on its experiences F&B offering The value of p
Slide 24: Capex: A tool to create value
Capex: A tool to create value Every investment is decided based on ROI, to generate revenues Accumulated Capex till Mar 31st, 2019 Refurbishment pipeline Est. Capex % Execution 10% Megapark €6.5 Mn Phase 2 in works tender Extension/ 100% executed Phase 1 renovation Capex Portal de la Marina €3.8 Mn
Slide 25: Retail Portfolio's potential
Retail Portfolio’s potential +5.8% +c.8% >6% +51% Retail Expected Expected Estimated Rental Topped-Up NIY NIY NIY Increase Potential Future Investments Ongoing Development Existing Income Generating Assets 15 110 15 3 4 95 80 73 Annualised Topped Up Reversionary Potential – Reversionary Potential –
Slide 26: Closing Remarks
04 Closing Remarks
Slide 27: Closing remarks: Q1 2019 results, assets and corporate
RESULTS ASSETS CORPORATE +15% Net Profit in Q1 2019 vs €75 Mn 2018 dividend Q1 2018 Lagoh reached c.95%1 of GLA leased and committed and 10.8%2 Dividend yield over 30%1 of the units delivered market cap +18% Results from Operations in Q1 2019 vs Q1 2018 New Share Buy-Back Programme Lagasca99 reaches
Slide 28: Disclaimer
DISCLAIMER This document has been prepared by Lar España Real Estate SOCIMI, S.A. (the “Company”) for information purposes only and it is not a regulated information or information which has been subject to prior registration or control by the Spanish Securities Market Commission. This document neit
Slide 29: Follow us
Follow us www.larespana.com info@laespana.com Lar España Real Estate SOCIMI Lar España App
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