Frasers Centrepoint Trust · SGX:J69U
Frasers Centrepoint Trust — 1H2023 Earnings Presentation
32 slides from Frasers Centrepoint Trust's earnings presentation, Apr 26, 2023
Slide 1: Results Presentation for the First Half Financial Year 2023 ended 31 March 2023
Results Presentation for the First Half Financial Year 2023 ended 31 March 2023 26 April 2023 Inspiring experiences, creating places for good.
Slide 2: Important Notice
Important Notice • Certain statements in this Presentation constitute “forward-looking statements”, including forward-looking financial information. Such forward-looking statement and financial information involve known and unknown risks, uncertainties and other factors which may cause the actual re
Slide 3: Contents
Contents Sections 1. 1H2023 highlights page 4 2. Financial highlights page 11 3. Portfolio highlights page 16 4. Summary page 25 5. Appendix page 27 We are Frasers Property 3
Slide 4: 1H2023 highlights
1H2023 highlights Improved 1H2023 financial performance Improved 1H2023 operational performance ▪ All portfolio properties achieved higher ▪ Retail Portfolio committed occupancy hit a revenue and NPI, supported by higher high of 99.2% on healthy leasing demand. atrium income and rent growth. ▪ Retai
Slide 5: Financial highlights of 1H2023 results: Gross revenue and net property income
Financial highlights of 1H2023 results Gross revenue +6.5% y-o-y and net property income +5.7% y-o-y Gross Revenue Net Property Income S$ million S$ million 187.59 ▲6.5% 137.96 176.19 ▲5.7% 130.48 1H2022 1H2023 1H2022 1H2023 We are Frasers Property 5
Slide 6: Financial highlights of 1H2023 results: DPU of 6.130 S cents
Financial highlights of 1H2023 results 1H23 DPU of 6.130 S cents Distribution to Unitholders Distribution per Unit S$ million S cents (2) 104.68 (2) 6.130 (1) ▲0.3% (1) 104.41 6.136 ▼0.1% 1H2022 1H2023 1H2022 1H2023 (1) In 1H2022, FCT had retained $4.8 million of its taxable income available for Dis
Slide 7: Improving retail market environment
Improving retail market environment Overall retail rent to remain on the path of recovery in 2023 (CBRE) ▪ Singapore retail sales index (excluding motor sales) for February Prime retail rents by submarkets (CBRE) 20231 was ▲11.7% y-o-y2, sales of F&B services was ▲21.6% y-o-y. ▪ CBRE3: S$ psf per mo
Slide 8: Recap of key events in 1H2023
Recap of key events in 1H2023 Acquisition of interest in NEX Acquisition of additional interest in Waterway AEI at Tampines 1 (announced on 26 January 2023) Point ▪ FCT together with FPL announced on 26 ▪ Approximately 8% ROI, with value generation from January 2023 the acquisition of 50.0% ▪ FCT an
Slide 9: Share of suburban shopping centre floorspace by owner
Share of suburban shopping centre floorspace by owner 10.5% 9.6% 7.2% 6.8% 5.5% 4.6% 3.7% 3.6% 3.3% 2.8% Frasers CapitaLand HDB Lendlease Mapletree Changi Airport Link REIT NTUC Far East CapitaLand Centrepoint Integrated Commercial Group Enterprise Organisation Trust Commercial Trust Trust Source: C
Slide 10: Pureplay Singapore suburban retail REIT
Pureplay Singapore suburban retail REIT High quality suburban retail assets that are well-located with excellent accessibility Serving FCT’s 10 retail malls are well-connected to the MRT network and are located in 2.6 populous residential precincts in Singapore million catchment population1 Connecte
Slide 11: Financial highlights
Financial highlights
Slide 12: 1H2023 results versus 1H2022
S$’000 1H2023 1H2022 Fav / (Unfav) Gross revenue 187,592 176,187 6.5% Property expenses (49,629) (45,708) (8.6%) Net property income 137,963 130,479 5.7% Distributable Income 89,032 97,991 (9.1%) (before distributions from associate and joint ventures) Distributions from associate and joint ventures
Slide 13: Balance sheet as at 31 March 2023
S$’000 31 March 2023 30 September 2022 Non-current assets 6,301,936(a) 5,891,015 Current assets 45,626 50,353 Total assets 6,347,562 5,941,368 Current liabilities 902,397(b) 507,361 Non-current liabilities 1,480,952(c) 1,469,930 Total liabilities 2,383,349 1,977,291 Net assets 3,964,213 3,964,077 Ne
Slide 14: Credit rating and debt maturity profile
31 Mar 31 Dec Debt Maturity Profile as at 31 March 2023 2023 2022 Total gross borrowing: S$2,211.8 million5,6 Aggregate leverage1 39.6% 33.9% Figures in parentheses denote the debt amount MTN of that FY as a percentage of total borrowings Secured bank borrowings Adjusted ICR /ICR (times)2 4.39 4.73
Slide 15: Distribution for 1 October 2022 to 31 March 2023
Distribution for 1 October 2022 to 31 March 2023 Distribution per Unit 6.130 S cents Ex date 9.00 a.m. on 4 May 2023 (Thursday) Books closure date 5.00 p.m. on 5 May 2023 (Friday) Payment date 30 May 2023 (Tuesday) We are Frasers Property 15
Slide 16: Portfolio highlights
Portfolio highlights Changi City Point, Singapore
Slide 17: Improved committed occupancy
Improved committed occupancy Retail Portfolio committed occupancy hit a high of 99.2% ▪ 1 1. Tampines 1’s committed occupancy of 98.8% includes the lease area of a unit (3.0% of NLA) which is on holdover. Any discrepancies between individual amount and the aggregate is due to rounding. We are Fraser
Slide 18: Improved income performance
Improved income performance Overall circa 6% y-o-y increase in 1H2023 revenue and NPI 1. Excludes NEX. Any discrepancies between individual amount and the aggregate is due to rounding. We are Frasers Property 18
Slide 19: Strong recovery in shopper traffic; robust tenants' sales growth
Strong recovery in shopper traffic; robust tenants’ sales growth ▪ 1H2023 tenants’ sales is 9.2% higher y-o-y and shopper traffic is 35.3% higher y-o-y. 1. Excludes NEX. We are Frasers Property 19
Slide 20: Improving rental reversions with healthy leasing demand
Improving rental reversions with healthy leasing demand Better rental reversions compared to FY20221 ▪ Retail Portfolio rental reversions in 1H2023 were +1.9% (income vs outgoing) and +4.3% (average vs average). No. of NLA Incoming vs Average vs average Property Renewals / outgoing rental Area (sq f
Slide 21: Well-spread lease maturity profile
Well-spread lease maturity profile No concentration risk in FY2023 Lease expiry profile of FCT Retail Portfolio as % of total GRI WALE @ 31 March 2023 • 1.93 years by NLA (1Q23: 1.99 years) • 1.84 years by GRI (1Q23: 1.88 years) 32.5% 32.8% 26.4% 26.8% 21.4% Lease expiry as at 31 Dec 2022 18.3% 16.1
Slide 22: Lease expiry by property
Lease expiry by property 11.4% of leases (by GRI) expiring in FY2023 Lease Expiries1,2 in FY2023 Number of expiring Leased area of expiring as % of leased area of as % of total GRI of (As at 31 March 2023) leases leases (sq ft) property property Causeway Point 32 33,553 8.0% 13.4% Waterway Point 18
Slide 23: New and exciting tenancies in FY2023
New and exciting tenancies in FY2023 Continuous leasing effort to curate and refresh retail offerings Changi City Point – Upcoming Coach store is an exciting addition Rebecca Lim to the extensive range of premium/ Mediacorp Artiste & Goldheart Ambassador sports outlet brands. Goldheart – Northpoint
Slide 24: Tampines 1 AEI showing strong leasing traction
Tampines 1 AEI showing strong leasing traction Achieved more than 90%1 pre-commitment prior to works commencement ▪ AEI works on schedule to commence in 2Q 2023 with completion slated for 3Q 2024. ▪ Enhanced retail experience with curated mix of F&B, Fashion & Beauty offering. Expanded F&B Offering
Slide 25: Summary
Summary
Slide 26: Positioned for growth
Positioned for growth Improving performance and continue to thrive in the endemic new normal ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ Causeway Point, Singapore We are Frasers Property 26
Slide 27: Appendix
2 GH Rint TRUST Appendix
Slide 28: Definition of terms used in this presentation
Definition of terms used in this presentation ▪ %-pt: percentage-point ▪ NAV: Net Asset Value ▪ 1H2022: Six months ended 31 March 2022 ▪ NLA: Net Lettable Area ▪ 1H2023: Six months ended 31 March 2023 ▪ NPI: Net Property Income ▪ Adjusted ICR: Adjusted Interest Coverage Ratio ▪ p.a.: per annum ▪ AEI
Slide 29: Top 10 tenants for Retail Portfolio
For Retail Portfolio (excluding CSFS area) No. Tenants As % of total GRI As % of total NLA 1 NTUC Fairprice1 4.1% 6.7% 2 2 Breadtalk Group 3.2% 2.8% 3 Dairy Farm Group3 1.9% 1.7% 4 Hanbaobao Pte. Ltd. 4 1.8% 1.1% 5 5 Kopitiam 1.4% 1.6% 6 Courts (Singapore) Pte. Ltd. 1.4% 1.8% 7 Metro (Private) Limit
Slide 30: Trade classifications for Retail Portfolio
For Retail Portfolio Trade Classifications As % of total NLA As % of total GRI (by order of decreasing % of total GRI) Food & Beverage 29.6% 36.9% Beauty & Healthcare 11.8% 15.4% Fashion & Accessories 11.9% 12.1% Sundry & Services 5.7% 8.0% Supermarket & Grocers 10.7% 6.2% Homeware & Furnishing
Slide 31: Trade mix continue to focus on essential services
Trade mix continue to focus on essential services Underpins FCT’s portfolio resilience and stability ✓ 52.5% of FCT’s retail portfolio gross rental income is derived from essential trades and services. Trade mix focuses on essential services Essential services 52.5%1 F&B Non-Essential, Don Don Donki
Slide 32: Inspiring experiences, creating places for good.
Inspiring experiences, creating places for good.
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