Varia Us Properties Ag · SIX:VARN
Varia Us Properties — FY2023 Earnings Presentation
25 slides from Varia Us Properties's earnings presentation, Mar 28, 2024
Slide 1: 2023 Annual Results and 2024 Outlook
2023 ANNUAL RESULTS AND 2024 OUTLOOK Media & Analyst Presentation March 28, 2024
Slide 2: Important Notice (Disclaimer)
Important Notice (Disclaimer) This presentation includes forward-looking information and statements, including statements concerning the outlook for our business. These statements are based on current expectations, estimates and projections about the factors that may affect our future performance, i
Slide 3: Agenda
Agenda 1. Key Achievements 2023 2. Financials 3. Portfolio Development 4. ESG 5. Outlook 2024 6. Q&A 3
Slide 4: Today's Speakers
Today’s Speakers MANUEL LEUTHOLD PATRICK RICHARD ■ Chairman, ■ Executive Member of the Board of Varia US Properties AG Directors,Varia US Properties AG ■ Founder and CEO of Stoneweg US, LLC 4
Slide 5: Key Achievements 2023
Y VARIA US PROPERTIES Key Achievements 2023 . susvceo av sTonEWes GA)
Slide 6: 2023 Key Achievements (1/2)
2023 Key Achievements (1/2) Progress • Corporate activities and operations • Solid operating results despite challenging market development (increase of rental income (like for like) by 6.1%) • Operating margin (operating profit divided by total income) excluding the (loss)/gain on revaluation of pr
Slide 7: 2023 Key Achievements (2/2)
2023 Key Achievements (2/2) Financials • Key Figures • Total income less the net (loss)/gain from fair value adjustment: USD 151.0 million (2022: USD 144.1 million) • Total operating expenses: USD 102.2 million (2022: USD 100.2 million) • Total finance costs: USD 55.1 million (2022: USD 45.6 million
Slide 8: Financials
Y VARIA US PROPERTIES Financials . susvceo av sTonEWes GA)
Slide 9: Consolidated Statement of Profit and Loss
Consolidated Statement of Profit and Loss In USD million As of December 31, 2023 As of December 31, 2022 Rental income 123,988,576 126,548,336 Other income 20,205,011 16,912,347 Insurance proceeds 6,801,990 592,519 Net (Loss) Gain on revaluation of properties (174,258,265) 153,693,947 Total income (
Slide 10: Consolidated Statement of Financial Position (1/2)
Consolidated Statement of Financial Position (1/2) 10
Slide 11: Consolidated Statement of Financial Position (2/2)
Consolidated Statement of Financial Position (2/2) 11
Slide 12: Financials 5-Year-Comparison (1/2)
Financials 5-Year-Comparison (1/2) Rental Income in Mio. Total Income in Mio. Rental Income Like for Like in Mio* Rental Income in Mio 1 320.0 297.7 350 140 126.5 124.0 300 120 107.9 98.4 250 100 88.9 200 80 139.5 152.4 150 60 100 40 83.8 89.0 50 20 -23.3 0 0 -50 2019 2020 2021 2022 2023 2019 2020 2
Slide 13: Financials 5-Year-Comparison (2/2)
Financials 5-Year-Comparison (2/2) Debt in Mio. Portfolio Value Portfolio Value Like for Like Portfolio Value Mortages Balance of interest bearing loans and borrowings LTV Debt Ratio 1200 1’043 70% 1,704 944 1,412 1000 869 877.2 1’300 818 60% 760 800 928 1’438 601 50% 915 600 516 567 545 40% 400 200
Slide 14: Portfolio Development
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Slide 15: Portfolio Development
Portfolio Development Overview • Portfolio value of USD 1,300 billion (2022: USD 1,703 billion) • 31 properties (2022: 41) • 8,518 units/apartments (2022: 11,042) • 13 different States in the US (2022: 14) • Locations regionally well balanced – not only supporting Varia US’ business during economic
Slide 16: 2023 Portfolio Key Figures
2023 Portfolio Key Figures AVERAGE GROSS EFFECTIVE MONTHLY RENT POTENTIAL GROSS PER UNIT INCOME1 INCOME1 2022: USD USD 1,134 2022: USD 169.2 million 2022: USD 158.1 million 1,223 USD million 141.8 USD million 132.7 AVERAGE OCCUPANCY LOAN-TO- MARKET VALUE RATE VALUE 2022: 93.1 % PER UNIT 2022: 55.41
Slide 17: Portfolio 5-Year-Comparison
Portfolio 5-Year-Comparison Number of Units Number of Assets 11’887 53 10’896 11’042 44 43 10’269 41 8’518 31 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 Occupancy Rate Average market value and monthly rent per unit 98% Effective Market value per unit * Monthly rent per unit Like for Like 200’
Slide 18: Portfolio Development (1/2)
Portfolio Development (1/2) • In 2023, the Company sold ten properties with a total of 2,524 units for total proceeds of USD 266.3 million. The average gross internal rate of return (IRR) was 17.6% and the average gross multiple was 1.8. * All deals were recapitalized in January 2018, when the Compa
Slide 19: Portfolio Development (2/2)
Portfolio Development (2/2) All numbers are based on the performance of the assets after January 2018. 19
Slide 20: ESG
Y VARIA US PROPERTIES ESG . susvceo av sTonEWes GA)
Slide 21: ESG Achievements
ESG Achievements • Varia US again submitted its portfolio to GRESB. Compared to the initial rating in 2022, there was a 30% improvement, 4 stars and 83 points achieved. • 21 additional properties were awarded with ENERGY STAR® Performance Certifications and 4 received Green Globes Certificates. • St
Slide 22: Outlook 2024
Y VARIA US PROPERTIES Outlook 2024 . susvceo av sTonEWes GA)
Slide 23: Outlook 2024: Transition Year
Outlook 2024 Transition Year • Operating results to remain strong throughout the portfolio, despite further pressure on rents. • Property valuations are still expected to go down, at least in the first two or three quarters of 2024. So far, the market started very slow in terms of activities and tra
Slide 24: Information
Information Investor Information Contact Information Listing: SIX Swiss Exchange Juerg Staehelin, IRF Reputation Currency: USD Investor Relations / Corporate Ticker symbol: VARN Communications ISIN: CH 030 528 529 5 Phone: +41 43 244 81 51 Listing date: December 8, 2016 E-mail: investors@variausprop
Slide 25: Q&A
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