Phoenix Mills Ltd. · NSE:PHOENIXLTD
Phoenix Mills — The Phoenix Mills — Q3 FY21 Earnings Presentation
67 slides from Phoenix Mills's earnings presentation, Feb 12, 2021
Slide 1: Cover letter: revised investor presentation filing
�t.i THE PHOENIX Y" MILLS LIMITEQ Corp. Office : Shree Laxmi Woolen Mills Estate, 2nd Floor, R.R. Hosiery, Off Dr. E. Moses Rd. Mahalaxmi, Mumbai - 400 011 Tel : (022) 3001 6600 Fax : (022) 3001 6601 GIN No.: L 17100MH1905PLC000200 February 12, 2021 BSE Limited National Stock Exchange oflndia Limite
Slide 2: The Phoenix Mills Ltd. Investor Presentation – Q3 & 9M FY21
The Phoenix Mills Ltd. Investor Presentation – Q3 & 9M FY21 1 Phoenix Palladium, Mumbai
Slide 3: Dynamic and diverse leading developer of mixed-use project
Dynamic and diverse leading developer of mixed-use project Retail Commercial Hospitality Residential Operational Operational The St. Regis, Mumbai Total Saleable + Courtyard by Marriott, Agra Retail Spaces GLA Office Spaces GLA Area ~7 ~1.6 588 ~4 msft msft keys msft Under-development & Under-develo
Slide 4: India’s largest mall owner showing >13% rental CAGR FY13 through FY20
India’s largest mall owner showing >13% rental CAGR FY13 through FY20 Total of ~13 msft mall GLA expected to be operational by FY25 GLA of GLA across 9 operational ~7 msft RETAIL malls in 6 cities under-development & ~6 msft under-planning RETAIL Leased occupancy EBITDA margin >100% in Retail Malls
Slide 5: Portfolio in India’s top cities
Portfolio in India’s top cities Agra Indore Hospitality Ahmedabad Mall Courtyard by Marriott – (193 keys) Phoenix Citadel Mall Bareilly – (~1 msft) Palladium Lucknow – (~0.7 msft) Mall Phoenix United – (0.34 msft) Mall Mumbai Phoenix United – (0.37 msft) Phoenix Palassio – (0.90 msft) Mall Phoenix P
Slide 6: Developer of India’s Iconic Mixed-use Developments
Developer of India’s Iconic Mixed-use Developments Phoenix MarketCity, Pune Phoenix MarketCity, Mumbai Phoenix MarketCity, Bangalore Phoenix MarketCity, Chennai
Slide 7: Business Update
Business Update Business Performance Financial Results Annexure Phoenix Marketcity, Bangalore
Slide 8: Consumption in January 2021 at 83% of Last year
Consumption in January 2021 at 83% of Last year January - 2021 Consumption (% of LYSM) 80% 76% 73% 74% 74% • Strong Consumption trends sustained across the mall portfolio in the month of Jan 2021. • Consumption remained strong and grew 5% MoM at Rs. 5.3 bn in Jan 2021 and stood at ~83% of last year
Slide 9: Q3 FY21 – Consumption Trajectory across major malls
Q3 FY21 – Consumption Trajectory across major malls Figures in Rs. Mn. Q3 FY21 Consumption (% of Q3 FY20) 66% 64% 61% 54% 54% • We have seen sustained recovery in the consumption at the malls since reopening. • Consumption across our retail portfolio came in at Rs 13.8 billion in Q3 FY21, up 195% Qo
Slide 10: Phoenix Palladium – Consumption & Trading Density Trajectory
Phoenix Palladium – Consumption & Trading Density Trajectory 80% % of LYSM Consumption at 80% in Jan 2021 and 97% of average monthly consumption of FY20. Monthly Trading Density (Rs psf) Trading Density in Dec 2,743 2,720 2020 is at 86% of FY20 2,095 level 1,653 1,564 Trading Occupancy stood a
Slide 11: Phoenix Marketcity Bangalore – Consumption & Trading Density Trajectory
Phoenix Marketcity Bangalore – Consumption & Trading Density Trajectory 76% % of LYSM Consumption is at 76% in Jan 2021 and 79% of average monthly consumption of FY20. Trading Density in Dec 2020 is at 86% of FY20 level Trading Occupancy in December 2020 stood at 95% Please note Above nos are
Slide 12: Phoenix Marketcity Pune – Consumption & Trading Density Trajectory
Phoenix Marketcity Pune – Consumption & Trading Density Trajectory % of LYSM 73% Consumption is at 73% in Jan 2021 and 77% of average monthly consumption of FY20. Trading Density in Dec 2020 is at 81% of FY20 level Trading Occupancy stood at 86% in December 2020 Please note Above nos are indic
Slide 13: Phoenix Marketcity Mumbai – Consumption & Trading Density Trajectory
Phoenix Marketcity Mumbai – Consumption & Trading Density Trajectory 74% % of LYSM Consumption is at 74% in Jan 2021 and 80% of average monthly consumption of FY20. Trading Density in Dec 2020 is at 73% of FY20 level Trading Occupancy stood at 86% in Decembem 2020 Please note Above nos are ind
Slide 14: Phoenix Marketcity & Palladium Chennai – Consumption & Trading Density
Phoenix Marketcity & Palladium Chennai – Consumption & Trading Density Trajectory 74% % of LYSM Consumption is at 74% in Jan 2021 and 80% of average monthly consumption of FY20 Trading Density in Dec 2020 is at 75% of FY20 level Trading Occupancy stood at 87% in December 2020 Please note Above
Slide 15: Phoenix Palassio Lucknow – Consumption & Trading Density Trajectory
Phoenix Palassio Lucknow – Consumption & Trading Density Trajectory Since launch, there are 168 Brands that have opened stores in Phoenix Palassio; currently 29 additional stores are under fit out. Trading Density at Phoenix Palassio has shown marked improvement since its launch. Within six mo
Slide 16: Business Performance - Retail
Business Update Business Performance - Retail Financial Results Annexure Phoenix Marketcity, Bangalore
Slide 17: Phoenix Palladium, Mumbai
Phoenix Palladium, Mumbai % of Q3 % of 9M (Rs Mn) Q3 FY21 Q3 FY20 9M FY21 9M FY20 FY20 FY20 Rental 621 946 66% 1,299 2,706 48% CAM & 185 253 73% 357 757 47% Others Total Income 806 1,199 67% 1,657 3,562 48% Asset EBITDA 526 807 65% 938 2,354 40% EBIDTA Margin as % 85% 85% 72% 87% of Rental SPV EBITD
Slide 18: Income Split for PML (Standalone Entity)
Income Split for PML (Standalone Entity) PML (Standalone entity) owns the following assets: • Retail – High Street Phoenix & Palladium: Leasable area of 0.77 msf • Phoenix House: Leasable area of 0.10 msf • Centrium: Leasable area of 0.12 msf • Art Guild House: Leasable area of 0.16 msf (Rs Mn) Proj
Slide 19: Phoenix Marketcity Bangalore
Phoenix Marketcity Bangalore % of Q3 % of 9M (Rs Mn) Q3 FY21 Q3 FY20 9M FY21 9M FY20 FY20 FY20 Rental 238 400 59% 485 1,119 43% CAM & 134 179 75% 313 546 57% Others Total Income 372 579 64% 798 1,665 48% EBIDTA ^ 244 402 61% 528 1,160 45% EBIDTA Margin as % 103% 101% 109% 104% of Rental ^ EBITDA is
Slide 20: Phoenix Marketcity Pune
Phoenix Marketcity Pune % of Q3 % of 9M (Rs Mn) Q3 FY21 Q3 FY20 9M FY21 9M FY20 FY20 FY20 Rental 250 458 55% 512 1,317 39% CAM & 147 198 74% 293 605 48% Others Total Income 397 656 61% 804 1,921 42% EBIDTA 239 445 54% 495 1,321 37% EBIDTA Margin as % 95% 97% 97% 100% of Rental 19
Slide 21: Phoenix Marketcity Mumbai
Phoenix Marketcity Mumbai % of Q3 % of 9M (Rs Mn) Q3 FY21 Q3 FY20 9M FY21 9M FY20 FY20 FY20 Rental 186 339 55% 360 987 36% CAM & 131 181 73% 282 538 52% Others Total Income 317 519 61% 641 1,525 42% EBIDTA 189 332 57% 363 997 36% EBIDTA Margin as % 102% 98% 101% 101% of Rental 20
Slide 22: Phoenix Marketcity & Palladium Chennai
Phoenix Marketcity & Palladium Chennai % of Q3 % of 9M (Rs Mn) Q3 FY21 Q3 FY20 9M FY21 9M FY20 FY20 FY20 Rental 236 482 49% 444 1,424 31% CAM & 166 284 59% 311 739 42% Others Total Income 403 766 53% 755 2,163 35% EBIDTA 263 510 52% 452 1,447 31% EBIDTA Margin as % 111% 106% 102% 102% of Rental 21
Slide 23: Phoenix Palassio, Lucknow
Phoenix Palassio, Lucknow (Rs Mn) Q2 FY21 Q3FY21 9M FY21 Rental 37 123 160 CAM & Others 60 79 139 Total Income 97 201 299 EBIDTA 37 119 156 EBIDTA Margin 100% 97% 98% as % of Rental Phoenix Palassio became operational on 8th of July 2020. Hence, prior period numbers are not applicable 22
Slide 24: Phoenix United, Lucknow
Phoenix United, Lucknow % of Q3 % of 9M (Rs Mn) Q3 FY21 Q3 FY20 9M FY21 9M FY20 FY20 FY20 Rental 59 90 66% 117 246 48% CAM & 40 54 73% 98 157 63% Others Total Income 99 144 68% 215 402 54% EBIDTA 57 71 81% 109 217 50% EBIDTA Margin as % 97% 79% 93% 88% of Rental 23
Slide 25: Phoenix United, Bareilly
Phoenix United, Bareilly % of Q3 % of 9M (Rs Mn) Q3 FY21 Q3 FY20 9M FY21 9M FY20 FY20 FY20 Rental 48 62 78% 89 173 51% CAM & 28 43 64% 87 131 67% Others Total Income 76 105 72% 175 304 58% EBIDTA 46 46 100% 96 153 63% EBIDTA Margin as % 95% 74% 109% 88% of Rental 24
Slide 26: Retail Rental Income for Q3 and 9M FY21
Retail Rental Income for Q3 and 9M FY21 Q3 FY21 9M FY21 Name of Asset Rental Income Rental Income % of Q3 FY20 % of 9M FY20 (Rs. Mn) (Rs. Mn) Phoenix Palladium 621 66% 1,299 48% Phoenix Marketcity Bangalore 238 59% 485 43% Phoenix Marketcity Pune 250 55% 512 39% Phoenix Marketcity Mumbai 186 55% 360
Slide 27: Retail EBITDA for Q3 and 9M FY21
Retail EBITDA for Q3 and 9M FY21 Q3 FY21 9M FY21 Name of Asset EBITDA EBITDA % of Q3 FY20 % of 9M FY20 (Rs. Mn) (Rs. Mn) Phoenix Palladium 526 61% 938 39% Phoenix Marketcity Bangalore 244 61% 528 45% Phoenix Marketcity Pune 229 51% 485 37% Phoenix Marketcity Mumbai 189 57% 363 36% Phoenix Marketcity
Slide 28: Update on under-construction Assets
Update on under-construction Assets Phoenix Phoenix Phoenix Citadel, Palladium, Mall of Asia, Millennium, Pune Indore Ahmedabad Bangalore Proposed Retail GLA Retail GLA - 1.1 msf Retail GLA - 1.2 msf Retail GLA – 1 msf Retail GLA – 0.7 msf Office GLA – 0.6 msf Office GLA – 1.2 msf Amount Spent till
Slide 29: Phoenix Palassio
tas 30% : PALASSIO
Slide 30: Brownfield Acquisition – Phoenix Palassio
Brownfield Acquisition Phoenix Palassio • Possession in August 2018 • Completed construction and opened to public in less than 24 months 29
Slide 31: Phoenix Palassio, Lucknow
Phoenix Palassio, Lucknow 0.90 msft Total Leasable Area 30
Slide 32: Expansive Spaces…Opulent Interiors…breathtaking Chandeliers
Expansive Spaces…Opulent Interiors…breathtaking Chandeliers 31
Slide 33: Phoenix Palassio - Festive Decor
Phoenix Palassio - Festive Decor 32
Slide 34: State of Art Multiplex now operational
State of Art Multiplex now operational 33
Slide 35: Palladium Ahmedabad – The Luxury mall of Gujarat
Palladium Ahmedabad The Luxury mall of Gujarat Indicative Render 34
Slide 36: Phoenix Millennium Pune – The New Epicentre for West Pune
Phoenix Millennium Pune The New Epicentre for West Pune Indicative Render 35
Slide 37: Mall of Asia, Bangalore
Mall of Asia, Bangalore The Largest Retail led Mixed-use development in Indicative Render Bangalore Concept Architect – Callison 36
Slide 38: Phoenix Citadel Indore
Phoenix Citadel Indore The biggest Retail Destination of Madhya Pradesh Indicative Render 37
Slide 39: Business Performance - Commercial
Business Update Business Performance - Commercial Financial Results Annexure Phoenix Marketcity, Pune
Slide 40: Our Annuity Income Generating Commercial Portfolio
Our Annuity Income Generating Commercial Portfolio OPERATIONAL OFFICE PORTFOLIO OFFICE PORTFOLIO UNDER DEVELOPMENT (1.58 MSF) (0.83 MSF) Project Total Area Area Sold Net Leasable Area Leased OFFICE PORTFOLIO ( 0.83 MSF) Name (msf) (msf) Area (msf) (msf) Phoenix House 0.09 - 0.09 0.08 Fountainhead –
Slide 41: Operational Update – Art Guild House
Operational Update – Art Guild House Net Total Area Average Area Sold Leasable Area Leased Rate (msf) Area (msf) (msf) (Rs./sq.ft) (msf) Art Guild @ @ 0.80 0.17 0.63 0.54 88 House Q3 FY21 Q3 FY20 9M FY21 9M FY20 Total Income 135 164 425 468 (Rs. mn) EBITDA 89 79 308 246 (Rs. mn) EBITDA as % of 66% 4
Slide 42: Operational Update – Phoenix Paragon Plaza
Operational Update – Phoenix Paragon Plaza Net Total Area Area Average Leasable Area Sold Leased Rate Area (msf) (msf) (msf) (Rs./sq.ft) (msf) Phoenix Paragon 0.43 0.12 0.31 0.16 102 Plaza Q3 FY21 Q3 FY20 9M FY21 9M FY20 Total Income 72 118 239 261 (Rs. mn) EBITDA 48 44 180 129 (Rs. mn) EBITDA as %
Slide 43: Growth by Densification
Growth by Densification Offices Fountainhead Tower 1 ~0.17 msft Offices Fountainhead Tower 3 ~0.40 msft Offices Fountainhead Tower 2 ~0.25 msft Existing Mall (LG + G + 3)
Slide 44: Fountainhead Pune – Premium Office Spaces
Fountainhead Pune – Premium Office Spaces Fountainhead Pune Remarks Tower 1 95% area leased and operational Tower 2 OC received on 6th October 2020 Tower 3 2 months away from completion 43
Slide 45: Fountainhead Pune – Tower 2 and Tower 3 Construction Status
Fountainhead Pune – Tower 2 and Tower 3 Construction Status Tower 2 – Construction Completed, Tower 3 – East Side Façade WIP OC Received 44
Slide 46: Operational Update – Fountainhead Towers 1, 2 & 3
Operational Update – Fountainhead Towers 1, 2 & 3 Average Total Area Area Leased Rate (msf) (msf) (Rs./sq.ft) Fountainhead – 0.17 0.16 88 Tower 1 Fountainhead – 0.25 0.05^ 71 Tower 2 Fountainhead – 0.41 Under Development Tower 3 Q3 FY21 Q3 FY20 9M FY21 9M FY20 Total Income 44 47 127 111 (Rs. mn) EBI
Slide 47: Business Performance - Hospitality
Business Update Business Performance - Hospitality Financial Results Annexure Phoenix Marketcity, Mumbai
Slide 48: The St. Regis, Mumbai
The St. Regis, Mumbai % of Q3 % of 9M Q3 FY21 Q3 FY20 9M FY21 9M FY20 FY20 FY20 Revenue from 93 422 22% 202 1,044 19% Rooms (Rs. mn) Revenue from F&B and Banqueting 108 468 23% 143 1,093 13% (Rs. mn) Other Operating 29 74 39% 65 198 33% Income (Rs. mn) Total Income 230 962 24% 410 2,335 18% (Rs. mn)
Slide 49: Courtyard by Marriott, Agra
Courtyard by Marriott, Agra Q3 FY21 Q3 FY20 9M FY21 9M FY20 Revenue from Rooms 22 66 25 138 (Rs. mn) Revenue from F&B and 27 53 31 115 Banqueting (Rs. mn) Other Operating Income 0 6 1 14 (Rs.mn) Total Income (Rs. mn) 50 124 56 266 Occupancy (%) 38% 77% 26% 67% ARR (Rs.) 3,222 4,919 3,349 3,861 Hotel
Slide 50: Business Performance - Residential
Business Update Business Performance - Residential Financial Results Annexure Phoenix Marketcity, Bangalore
Slide 51: Operational Update – Residential Portfolio
Operational Update – Residential Portfolio Revenue recognized Saleable area (msf) Cumulative Cumulative Collections in Project Name (Rs. mn) Area Sold Sales Value Q3 FY21 (operational) Total Area Balance (msf)^ (Rs. mn) (Rs. mn) in Q3 FY21 Cumulative Area launched Area One Bangalore West, 2.41 1.80
Slide 52: One Bangalore West, Bangalore
One Bangalore West, Bangalore Actual Site Picture 51
Slide 53: Kessaku – Grand Arrival Experience
Kessaku – Grand Arrival Experience Actual Site Picture Actual Site Picture 52
Slide 54: Kessaku – Zen Court & Pool Side Garden
Kessaku – Zen Court & Pool Side Garden Actual Site Picture 53
Slide 55: Kessaku, Bangalore
Kessaku, Bangalore Actual Site Picture Actual Site Picture 54
Slide 56: Kessaku, Bangalore – Living Spaces Crafted in Luxury & Style
Kessaku, Bangalore – Living Spaces Crafted in Luxury & Style Actual Site Picture Actual Site Picture 55
Slide 57: Financial Results
Business Update Business Performance Financial Results Annexure Phoenix Marketcity, Bangalore
Slide 58: Q3 & 9M FY21 Standalone P&L
Q3 & 9M FY21 Standalone P&L % of Q3 % of 9M (Rs. mn) Q3 FY21 Q3 FY20 9M FY21 9M FY20 FY2020 FY20 FY20 Income from operations 806 1,199 67% 1,657 3,462 48% 4,444 EBITDA 462 663 70% 935 2,028 46% 2,592 EBITDA Margin (%) 57% 55% 56% 59% 58% Profit Before Tax and exceptional item 2,926 413 2,944 1,530 1
Slide 59: Q3 & 9M FY21 Consolidated P&L
Q3 & 9M FY21 Consolidated P&L % of Q3 % of 9M (Rs. mn) Q3 FY21 Q3 FY20 9M FY21 9M FY20 FY2020 FY20 FY20 Income from operations 3,379 5,118 66% 6,875 15,419 45% 19,411 Retail 2,230 3,218 69% 4,617 9,288 50% 11,993 Residential 556 481 116% 1,003 2,664 38% 2,794 Commercial 315 334 94% 788 848 93% 1,138
Slide 60: Annexure
Business Update Business Performance Financial Results Annexure Palladium Chennai
Slide 61: Acquisition of Land Parcel in Alipore, Kolkata
Acquisition of Land Parcel in Alipore, Kolkata Location Diamond Harbour Road, Alipore, Kolkata Land Size Price 7.48 acres Rs. 3,000 mn Development Potential Phase I – ~1.00 msf of Retail Phase II - ~0.20 msf of balance development potential PML has acquired 7.48 acres of prime land in the affluent a
Slide 62: Project Enterprise – Shareholder Approval Obtained
Project Enterprise – Shareholder Approval Obtained Current Shareholding Post Scheme Shareholding Promoters: Promoters: 45.56% 47.48%* Ruia Ruia International International 28.74% 31.25% Public Other Promoter Other Promoter Public 52.52% Entities Entities 54.44% 16.22% 16.81% • Post amalgamation, Pro
Slide 63: PHCPL Shareholding
PHCPL Shareholding Current & Final Ownership Structure Current Structure Proposed Transaction Steps Promoter Group Public Step 2: PML to allot its Promoter Group Public shares to RIHCPL in lieu 45.56% of the holding in PHCPL 54.44% RIHCPL 43.08% Phoenix Hospitality Co. Pvt. 56.92% Phoenix Hospitalit
Slide 64: Debt Profile as on 31st December 2020
Debt Profile as on 31st December 2020 Average cost of debt down to 8.46% in Q3 FY21 from 8.88% in Q2 FY21, down by 42 bps QoQ Effective cost of debt (%) Lowest rate on borrowing stands at 7.5% Cost of Borrowing on 31st Jan 2021 further down to 8.31% Status Asset Class Amount (Rs. mn) Retail 35
Slide 65: Q3 FY21 Debt Across Subsidiaries
Q3 FY21 Debt Across Subsidiaries Asset Type SPV Asset Name PML Ownership Q2 FY21 (Rs. Mn) Q3 FY21 (Rs. Mn.) PML Standalone High Street Phoenix, Mumbai 100% 6,835 6,498 Phoenix MarketCity, Chennai Classic Mall Development 50% 7,567 7,230 The Crest C (Residential) Phoenix MarketCity, Pune Vamona Devel
Slide 66: Shareholding Pattern as on 31st Dec 2020
Shareholding Pattern as on 31st Dec 2020 Shareholding Pattern Sr. No Top Institutional Investors % Shareholding 1 SCHRODER 6.67% 2 GIC 4.33% 3 ICICI PRUDENTIAL AMC 2.68% 4 TT FUNDS 2.56% 5 ADITYA BIRLA SUNLIFE MF 1.91% 6 UTI 1.79% 7 MOTILAL OSWAL 1.58% 8 DSP MF 1.52% 9 VANGUARD 1.49% 10 INVESCO MF 1
Slide 67: Thank you
Thank you Deepak Purswani, CFA Advait Phatarfod Rohan Rege Email: Email: Email: deepak.purswani@phoenixmarketcity.in advait.p@phoenixmarketcity.in rohan.rege@phoenixmarketcity.in Bijay Sharma Contact: +91 22 6169 5988 Email: pml@churchgatepartners.com Website: https://www.thephoenixmills.com/investo