Cibus Real Estate Ab (publ) · OMXSTO:CIBUS
Cibus Real Estate Ab (publ) — Cibus Nordic Real Estate — Q3 2024 Earnings Presentation
39 slides from Cibus Real Estate Ab (publ)'s earnings presentation, Nov 5, 2024
Slide 1: Interim Report January 2024 – September 2024
Interim Report 1 January 2024 – 30 September 2024
Slide 2: Speakers and Agenda
Speakers Agenda 1. Business Update 2. Financial Update 3. Future 4. Q&A Christian Fredrixon Pia-Lena Olofsson Chief Financial Officer Chief Executive Officer 2
Slide 3: Key Events Q3 2024
Key Events Q3 2024 Directed Acquisitions Increased Refinancing Dividend share issue made Earnings and hedging Paid-Out creates for about Capacity Hedging of EUR to shareholders opportunities SEK SEK 500 million, 84 million carried EUR 0.22 per share EUR 0.99 per share during Q3 927 million, approx.
Slide 4: Key events & Financial Summary Q3 2024
Key events & Financial Summary Q3 2024 Rental income amounted to EUR 30,407 thousand (29,765). Net operating income totalled EUR 29,219 thousand (30,953, excluding non-recurring income items 28,253). (compared with Q3 2023) Profit from property management was EUR 13,191 thousand (16,810, excluding n
Slide 5: Cibus – Converting food into yield
Cibus Converting food into yield
Slide 6: This is Cibus Nordic
This is Cibus Nordic — “Converting Food into Yield” — Real estate company focused purely on daily-goods properties. — Aim to create stable cash flows. — Listed since March 2018. Listed on Nasdaq Stockholm MidCap since June 2021. — Market cap of approx. EUR 1 billion. — Sole listed pure daily-goods r
Slide 7: Pan-Nordic expansion timeline
Pan-Nordic expansion timeline Q3 2024 Property value 1,764 MEUR Q1 2018 Property value 735 MEUR 2018 2019 2020 2021 2022 2023 2024 3/2018 Establishment 3/2020 Entry to 10/2021 Entry 4/2022 Entry Back in and IPO Sweden to Norway to Denmark acquisition mode 7
Slide 8: Finland – Examples
Finland – Examples 8
Slide 9: Denmark - Examples
Denmark - Examples 9
Slide 10: Sweden - Examples
Sweden - Examples 10
Slide 11: Norway - Examples
Norway - Examples 7 ) Panama
Slide 12: Properties acquired in H2 (possession in Q4)
Properties acquired in H2 (possession in Q4) — Total acquisitions in 2024: — Approx. 43 MEUR, approx. 500 MSEK — Cash earnings per share accretive transactions — 15 assets — WAULT approx. 9 years — Total area 32,100 sqm — Average price 1,353 EUR/sqm
Slide 13: Acquisitions in Denmark: Properties acquired in Q3
Acquisitions in Denmark: Properties acquired in Q3 (possession in Q4) — 107.7 MDKK, approx. 14.5 MEUR — Sale and Leaseback from grocery chain Dagrofa — 5 previous ALDI stores — 6,400 sqm, average size 1,280 sqm SPAR Risskov SPAR Esbjerg SPAR Helsingör Kamma Klitgårds gade 47, Risskov Strandby Kirkev
Slide 14: Acquisitions in Finland: Properties acquired in Q4
Acquisitions in Finland: Properties acquired in Q4 (possession in Q4) Finland: — 14,8 MEUR — 3 modern assets in urban locations — 5,500 sqm, average size 1,830 sqm — WAULT 12.9 years — 100% daily-goods Illustrative picture K-market Nihti S-market Herralahti — Acquisition price approx. 2,700 Nihdinra
Slide 15: Acquisition in Sweden: Property acquired in Q4
Acquisition in Sweden: Property acquired in Q4 (possession in Q4) Sweden: — 75 MSEK, approx. 6.5 MEUR — Modernised City Gross on long lease. City Gross recently acquired by Axfood — 11,300 sqm and large land plot — WAULT 5.9 years including termination clauses among the non- grocery tenants — Acquis
Slide 16: Our properties Q3 2024
Our properties Q3 2024 452 1,764 Tenants share of NOI Properties MEUR property value 115.1 979 MEUR NOI Thousand SQM Current earnings capacity 16
Slide 17: What do we mean by stable cash flows?
What do we mean by stable cash flows? Stable cash flows: — Focused purely on daily-goods properties. — Non-cyclical daily-goods business. — 84% of rental income is from daily-goods tenants. — 97% of our 452 properties are anchored by daily-goods tenants. — 99% of rents linked to CPI-development. Sta
Slide 18: Earnings capacity in focus
Earnings capacity in focus — Cibus has historically delivered value to shareholders through dividend yields, EPS growth and total returns. Earnings capacity per share* and — Historic operational stability and historic noticeable yield spread. dividend per share — Main growth driver 2024 is increasin
Slide 19: Cibus share price performance
Cibus share price performance Average daily volume total SEK 51 million of which Nasdaq daily volume is SEK 29 million with about 2,500 transactions per day 30 September 2024: Share price SEK 176.10 19
Slide 20: Shareholders as of 30th of September 2024
Shareholders as of 30th of September 2024 Cibus Nordic Real Estate Name No. of shares Percentage 30 September 2024: Länsförsäkringar Fonder 4,530,361 7.2 Fjärde AP-fonden 3,916,893 6.2 Vanguard 2,603,939 4.1 Cibus has 54,000 Avanza Pension BlackRock 2,379,844 1,921,655 3.8 3.1 shareholders Nordnet P
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Slide 22: Significant events during the period
Significant events during the period 22 Jul – Cibus updated MTN programme Significant events after the period 13 Aug – Cibus announced redemption of 23 Oct – Cibus acquired three grocery its 2022/2025 SEK green bonds stores in Finland EUR 14.8 million 10 Sep – Cibus completed direct share 29 Oct – C
Slide 23: Q3 2024 in brief
Q3 2024 in brief EUR THOUSAND Q3 2024 Q3 2023 Jan-Sep 2024 Jan-Sep 2023 Rental income 30,407 29,765 91,373 89,065 Net operating income 29,219 30,9532) 87,790 86,603 Net financial items -13,8381) -12,209 -43,925 -40,218 Profit from property 13,1913) 16,8102) 35,744 40,144 management 1) Interest cost
Slide 24: P&L Highlights Q3 2024
P&L Highlights Q3 2024 EUR, Thousands Q3 2024 Q3 2023 — The comparable figure Q3 2023 included non-recurring income of EUR 2,700 attributable to compensation from project developers in Net Operating income 29,219 30,953 Denmark, as well as compensation in connection with a cancelled acquisition in F
Slide 25: Current earnings capacity
Current earnings capacity As of 1 October 2024, the earnings capacity regarding profit from property management excl non-cash items + expenses for hybrid bond per share for the ensuing 12 months was 0.99 EUR per share, an increased with 0.02 EUR per share since last quarter. 25
Slide 26: Net operating income in a comparable portfolio (Earnings capacity)
Net operating income in a comparable portfolio (Earnings capacity) The effect of indexation and other rent increases amounted to 3.7% annually. Indexation increases going forward will increase NOI and cash flow while financial expenses are 97% capped. 26
Slide 27: Segments Q3 2024
Segments Q3 2024 NOI Q3 2024 68% 14% 4% 14% 27
Slide 28: Balance sheet (NRV & LTV)
Balance sheet (NRV & LTV) €’m Balance sheet (30 September 2024) (unless otherwise LTV, % stated) Property value 1,763 Secured debt (-) -886 50.2 Unsecured bond (-) (1) -212 Net LTV 54.6% Other net assets(+)/liabilities(-)(2) 114 Hybrid bond -30 EPRA NRV 749 EPRA NRV / Share (€) 11.9 1) As of 30 Sept
Slide 29: WAULT likely to be sustained around 5 years
WAULT likely to be sustained around 5 years — An even number of leases up for renewal each year — Typically leases renew at same terms for 5 years — WAULT likely to remain at around 5 years over time 29
Slide 30: Funding
Funding Bank loan Funding As of 30 September 2024, the Group has bank loans of EUR sources 886,006 thousand (923,451) with a weighted average floating credit margin of 1.6% and an average weighted capital maturity of 1.4 years. All current bank loans with a remaining term of less than 12 months are
Slide 31: Funding: interest rate sensitivity and hedging
Funding Interest rate sensitivity analysis Based on reported earnings capacity and taking into account existing loans maturing at fixed interest, as well as other interest-rate hedges, the effect on profit when market interest rates rise by about 1 percentage point is roughly EUR -660 thousand on an
Slide 32: Key credit metrics
Key credit metrics Net LTV ratio (%) Net debt/EBITDA ratio (x) 65% Net LTV ratio 15,0 14,1 63% 61,3 % policy between 55-65% 14,0 61% 58,7 % 59,1 % 58,7 % 58,9 % 12,4 57,8 % 13,0 11,8 12,0 59% 57,5 % Net LTV ratio has been brought 12,0 57% down after the directed share issue 54,6 % 11,0 9,9 9,9 9,8 5
Slide 33: Strategy: strong monthly dividends to shareholders
Cibus’ strategy is to give its Shareholders strong dividends on a monthly basis Upcoming payments 5.8% Dividend yield share price* * Based on 0.90 EUR per share and share price 176,10 SEK The 2024 Annual General Meeting decided that an unchanged dividend of EUR 0.90 (0.90) per share be paid, divided
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Slide 35: Major Players and the Nordic Market Opportunity
Major Players and the Nordic Market Opportunity Grocery Market Shares in 2023 — The markets are dominated by a handful of large Sweden Finland daily-goods chains with bargaining power towards suppliers, strong store networks and efficient logistics chains — High competition on a local store level —
Slide 36: Outlook ESG – Focus on E and S
Outlook ESG – Focus on ”E” and ”S” Investments — Within daily-goods sustainability is high on the agenda for consumers, retailers and Cibus. — Working towards CO2 neutral in 2030 target. — Energy consumption in focus. — Net-leases – working side-by-side with our tenants for energy efficiency and sol
Slide 37: Moving forward
Moving forward Overall: Grow EPS • Continue to grow earnings capacity per share by measures in all parts of the business • Carry out CEPS accretive transactions • Interesting opportunities in our existing markets • Actively evaluating new markets in Continental Europe • Continued balance sheet optim
Slide 38: Primary reasons to invest in the Cibus share
Primary reasons to invest in the Cibus share 1 3 High and stable yield Monthly dividends Cibus strives to earn a high and stable yield for Since October 2020, Cibus pays dividends monthly shareholders. 2 4 Potential for favourable value growth A segment with long-term resilience and 99% of Cibus’ re
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Cibus Nordic Real Estate — Q3 2024 Earnings Presentation on 6ix