EC World REIT · SGX:BWCU
EC World REIT — EC World Real Estate Investment Trust — Q2 2017 Earnings Presentation
18 slides from EC World REIT's earnings presentation, Aug 3, 2017
Slide 1: 2Q2017 Results Presentation
2Q2017 Results Presentation 3 August 2017
Slide 2: Disclaimer
Disclaimer This presentation may contain forward-looking statements that involve assumptions, risks and uncertainties. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumpti
Slide 3: Agenda
Agenda Section A 2Q2017 Key Highlights Section B Financial Review Section C Portfolio Review 2
Slide 4: Section A: 2Q2017 Key Highlights
Section A: 2Q2017 Key Highlights 8/1/2017 3
Slide 5: 2Q2017 Results Highlights
2Q2017 Results Highlights 1 Strong operating and financial results outperforming IPO forecasts again Gross Revenue of S$23.2 million 2.4% higher than IPO forecast Net Property Income of S$21.0 million 2.8% higher than IPO forecast Distribution Per Unit of 1.54 cents 4.1% higher than both the IPO for
Slide 6: Outperforming Forecasts for the Third Consecutive Quarter
Outperforming Forecasts for the Third Consecutive Quarter Gross Revenue Net Property Income Distributable Income SGD’000 SGD’000 SGD’000 7.5% 4.6% 2.4% 24,739 23,663 4.1% 5.4% 23,004 23,161 2.8% 22,613 22,613 21,774 21,601 20,909 21,072 20,500 20,500 0.9% 16,435 1.2% 16,290 14,986 14,807 3.5% 3.3% 2
Slide 7: Significant Growth Potential
Significant Growth Potential Rapid growth of the industry is driving strong demand for e-commerce facilities in China China’s e-commerce market is expected to grow to Market size of Chinese retail e-commerce is expected 3 times the size of the U.S. market by 2017 to exceed RMB 9.4 trillion in 2020 T
Slide 8: Symbiotic Relationship between an Asset Owner and An Asset Operator
Symbiotic Relationship between an Asset Owner and An Asset Operator Operator Asset Owner Asset “Skull” – physical structure “Brain” – operations and management Ownership of physical asset that houses Manage the business processes, systems and the operations operations Collect rental and pays o
Slide 9: Section B: Financial Review
Section B: Financial Review 8/1/2017 8
Slide 10: Summary Results
Summary Results Strong 2Q17 operating and financial results outperforming forecast For the period For the period Variance Variance 1 Apr 2017 to 30 Actual Forecast # 1 Jan 2017 to 30 Jun Actual Forecast # (%) (%) Jun 2017 2017 Gross revenue Gross revenue 23,161 22,613 +2.4% 46,824 45,226 +3.5% (S$’0
Slide 11: Review of 2Q 2017 Performance between Actual and Forecast Results
Review of 2Q 2017 Performance between Actual and Forecast Results Net Property Income S$ m • Higher gross revenue primarily due to additional 21.1 rental income from the asset enhancement initiative at Chongxian Port Investment (construction of a 20.5 sheltered warehouse) • NPI also benefited from l
Slide 12: Prudent Capital Management
Prudent Capital Management Annualised all-in interest rate of 5.4% 100% of offshore SGD facilities on fixed rate Entered into FX forward contracts to lock in SGDRMB for 2Q17 and 3Q17 distributions at at SGD/RMB 4.94 and 4.996 respectively Key Debt Figures Aggregate Leverage Ratio • RMB 998.9 m
Slide 13: Healthy Balance Sheet
Healthy Balance Sheet As at As at As at As at S$’000 30 Jun 2017 31 Mar 2017 31 Dec 2016 Listing Date Cash and cash equivalents(1) 110,077 109,148 103,665 91,417 Investment Properties(2) 1,305,448 1,299,594 1,333,297 1,303,443 Total Assets 1,461,731 1,448,569 1,482,343 1,404,934 Borrowings 419,237 4
Slide 14: Section C: Portfolio Overview
Section C: Portfolio Overview 8/1/2017 13
Slide 15: Portfolio Overview
Portfolio Overview Balanced and well-structured portfolio offering both income stability and growth potential Remaining Type of Lease Independent NLA Land Property Type / No. of Valuation (sq m) Lease Tenure Tenants(1) (RMB m)(2) (years)(1) North Park Chongxian Port Port Master 2 1 112,726 39 2,124.
Slide 16: Summary Assets Performance
Summary Assets Performance 2Q17 Breakdown by Gross Revenue and NPI (SGD m) Annualized NPI Yield (1) Portfolio : 6.6% 23.2 21.1 8.3% 7.9% 2.3 2.4 7.0% 7.0% 6.4 4.5 5.4% 3.7 4.7% 3.7 0.4 0.4 2.7 2.6 7.7 7.5 Gross revenue NPI Chongxian Port Investment Chongxian Port Logistics Chongxian Chongxian Fu Zhu
Slide 17: High Quality and Diversified Asset Portfolio
High Quality and Diversified Asset Portfolio Breakdown of IPO Portfolio Gross Rental Income Breakdown by NLA Diversification by asset type (1) Trading Others 2% 1% Industrial Delivery, 16.4% 17% 34.1% 35.2% logistics and Total: distribution 698,478 46.5% 40% sq m 37.1% Ecommerce services Port Logi
Slide 18: Thank You
Thank You 8/1/2017 17
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