Fideicomiso Irrevocable F/2061 · BIVA:FHIPO/14
Fideicomiso Irrevocable F/2061 — Fideicomiso Hipotecario (FHipo) — Q2 2017 Earnings Presentation
35 slides from Fideicomiso Irrevocable F/2061's earnings presentation, July 2017
Slide 1: 2nd Quarter 2017 Results
Investment that Transforms 2nd Quarter 2017 Results INVESTOR RELATIONS Ignacio Gutiérrez / CFO ig@fhipo.com Xavier Martínez / IRO xm@fhipo.com inverstorrelations@fhipo.com Ph: +52 (55) 4744-1100 www.fhipo.com [ENGLISH TRANSLATION FOR INFORMATION PURPOSES ONLY, IN THE EVENT OF ANY CONFLICT, THE SPANI
Slide 2: Index
Index Performance and achievements during the quarter Mexican mortgage market Mortgage origination programs Portfolio composition - 2Q17 Performance of our CBFIs - 2Q17 Leverage strategy Financial results & key metrics Risk assessment Our outlook Financial statements - 2Q17 2
Slide 3: 1. Performance and achievements during the quarter
1. Performance and achievements during the quarter
Slide 4: Performance and Achievements during the 2Q17
Performance and Achievements during the 2Q17… These were FHipo’s achievements during the 2nd quarter of 2017… Successful auction of the “Infonavit Más Crédito” (“IMC”) Program Favorable development of our ROE in a challenging economic environment Follow-on Amount Assigned to Equity Offering FHipo (1
Slide 5: 2. Mexican mortgage market
CT1Ip© Hipotecario 2. Mexican mortgage market
Slide 6: Occupation, Employment and Mortgage Rates in Mexico
Occupation, Employment and Mortgage Rates in Mexico The population contributing to the Mexican Social Security Institute (IMSS) has increased steadily in recent years, while unemployment rate has remained low and continues its positive trend. Progressive increase in the formal economy and downward u
Slide 7: Infonavit's Mortgage Loan Origination
Infonavit’s Mortgage Loan Origination Infonavit expects to originate ~376 thousand loans per year for the next five years (2017 to 2021), which translates in a CAGR (’16 – ’21) of 7.0% Infonavit’s mortgage loan origination 2016 - 2021 Infonavit’s projected mortgage portfolio registered within its ba
Slide 8: Fovissste's Mortgage Loan Origination
Fovissste’s Mortgage Loan Origination Fovissste expects to originate ~40 billion pesos worth of mortgages annually Distribution of Fovissste’s originated portfolio (amounts in billions of pesos) Fovissste Loans: Projected Total Origination 42 19.6% 0.5% During 2015, 58.6% of the loans 40 5.6% origin
Slide 9: 3. Mortgage origination programs
3. Mortgage origination programs
Slide 10: FHipo currently participates in the following mortgage origination programs
FHipo currently participates in the following mortgage origination programs: Program Characteristics Income Level 4.5 VSM onwards 3.5 VSM to 5.0 VSM 1.0 VSM onwards Target Destination Home acquisition (guaranteed by a valid mortgage) Borrower’s Age 18 - 64 years Maximum Loan ~ USD $101,740 (1) ~ USD
Slide 11: 4. Portfolio composition - 2Q17
4. Portfolio composition - 2Q17 As of June 30th, 2017
Slide 12: Consolidated Portfolio Composition as of 2Q17
Consolidated Portfolio Composition as of 2Q17 Summary of FHipo’s consolidated portfolio characteristics (Infonavit and Fovissste(1)) (loan balance as of June 30th, 2017) FHipo - Consolidated Portafolio (Infonavit and Fovissste (1) ) Total Balance (FHipo's Participation) Ps. $24,481 million (2) Total
Slide 13: Infonavit's and Fovissste's mortgage portfolio characteristics
Infonavit’s and Fovissste’s mortgage portfolio characteristics Infonavit’s mortgage portfolio characteristics (Infonavit Total and Más Crédito) Distribution by borrower’s salary in VSM at loan origination date Distribution by interest rate in VSM (1) (as % of total loans within Infonavit’s portfolio
Slide 14: Consolidated mortgage portfolio characteristics
Consolidated mortgage portfolio characteristics (as % of total loans within consolidated portfolio) Distribution by Loan-to-Value (LTV) at loan Distribution by borrower’s salary in VSM at loan origination date origination date Distribution by origination program 21.0% < 4.5 36.5% 37.3% 32.4% 29.0% 2
Slide 15: 5. Performance of our CBFIs - 2Q17
5. Performance of our CBFIs - 2Q17
Slide 16: Performance of FHipo's CBFIs during the 2Q17 and Analysts Coverage
Performance of FHipo’s CBFIs during the 2Q17 and Analysts Coverage FHipo´s Certificados Bursátiles Fiduciarios Inmobiliarios (CBFIs) performance during the 2Q17 # of CBFIs Average Price $ 22.81 MXN $ FHipo announces the allocation of Ps. Average Volume 1,737,876 $6,000 million though the “Infonavi
Slide 17: 6. Leverage strategy
LH | FIDEICOMISO | Hipotecario 6. Leverage strategy
Slide 18: Diversified Sources of Funding
Diversified Sources of Funding FHipo has achieved financing through different types of leverage structures, through private institutions and the local debt market. Below we display the main factors of these financial structures. Diversified Funding Competitive Funding rates Long-Term Funding Short-T
Slide 19: Funding Structure as of 2Q17
Funding Structure as of 2Q17 Funding Structure (figures in million of pesos) Maximum Sources of Funding Type of Funding Benchmark Rate Margin Amount Withdrawn Maturity Date / Duration amount CDVITOT 15U Securitization UDIBONO 2019 (1.80%) +100 bps - $1,892 (1) Financial Duration: 2019 CDVITOT 15-2U
Slide 20: Methodology and calculation of leverage and liquidity ratios (CNBV)
Methodology and calculation of leverage and liquidity ratios (CNBV) for mortgage REITs Leverage limit methodology and calculation (CNBV) for Mortgage REITs in Mexico Regulation applicable for Development or Real Estate Trust Certificates (CBFIs) in which the trust assets are mainly intended to gra
Slide 21: Exceptional Asset Quality
Exceptional Asset Quality In this slide we illustrate the development of our non-performing loans, along with the allowance for loan losses ratio compared to our portfolio’s expected loss. Stable levels of Non-Performing Loans (NPLs) with conservative allowance for loan losses 1.20% 1.14% 1.15% 1.07
Slide 22: Attractive risk-return profile
Attractive risk-return profile FHipo’s Estimated Financial Margin (Asset Yield vs. Debt Cost) as of the 2Q17 Having considered the recent increases of the Mexican benchmark interest rate and our liabilities at fixed rates, we continue to have an attractive margin. Our assets continue to have com
Slide 23: 7. Financial results & key metrics
7. Financial results & key metrics
Slide 24: Solid financial results in 2Q17
Solid financial results in 2Q17 P&L Summary 2Q17 Income from assets on balance… which include the collection rights on P&L Fovissste’s portfolio, reached Ps. $612.7 million, an increase of 57.8% in figures in Ps. 000s, except the Net Income per CBFI 2Q17 2Q16 comparison with the same period of the p
Slide 25: Yield of our CBFIs and Invested Capital
Yield of our CBFIs and Invested Capital The following charts illustrate the yield per CBFI for the 2Q17 and the yield of the invested capital since November 2016. FHipo’s Distribution and Yield Return on Invested Capital (calculation of accumulated yield since November 2016) Distribution and yield o
Slide 26: Our Key Metrics and Relevant Financial Information in 2Q17
Our Key Metrics and Relevant Financial Information in 2Q17 Main Financial Metrics Quarter to Quarter Year to date Figures are presented according to each metric (%, $) 2Q17 2Q16 2Q17 2Q16 We closed the 2Q17 with a Financial Margin and Interest Revenues Financial Margin of 58.9%… Financial Margin - "
Slide 27: 8. Risk assessment
oo i) ce) 2 = 12) oO ir) a x Hipotecario 8. Risk assessment
Slide 28: Risk Assessment
Risk Assessment 1. Credit Risk As of 2015, FHipo determines the allowance for loan losses based on the expected loss methodology in accordance with the International Financial Reporting Standards (IFRS). In accordance with the internal methodology for the calculation of probability of default, con
Slide 29: Risk Assessment (Cont.)
Risk Assessment (Cont.) 2. Market Risk As of June 30st, 2017, the VaR is of Ps. $0.00 pesos (since there were no investments in securities). We determined the VaR considering: 1. The use of historical method. 2. We considered a 99% confidence level for 10 days. 3. Our Market VaR limit is establish
Slide 30: 9. Our outlook
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Slide 31: Guidance - Outlook
Guidance - Outlook 1 FHipo has been delivering on all goals and objectives established since its IPO: Equity deployment, FHipo mortgage diversification, profitability, credit quality and efficient leverage strategy… we plan to continue with such positive trend during 2017. 2 FHipo will continue grow
Slide 32: 10. Financial Statements - 2Q17
10. Financial Statements - 2Q17
Slide 33: Financial Statements – Balance Sheet
Financial Statements – Balance Sheet Balance Sheet 2Q17 (figures in 000s of MXN pesos) 2Q17 2Q16 Variation % Var ASSETS Cash and cash equivalents $977,985 $1,241,148 ($263,163) (21.2%) Debt securities 115 0 115 N/A Current mortgage loans 18,969,219 12,258,720 6,710,499 54.7% Past due mortgage loans
Slide 34: Financial Statements – P&L
Financial Statements – P&L Income Statement (figures in 000s of MXN pesos, except Net Income per CBFI) Quarter to Quarter Year to date 2Q17 2Q16 Variation % Var 2Q17 2Q16 REVENUES Interests on mortgage loans $612,682 $388,163 $224,519 57.8% $1,169,661 $687,508 Investment income 16,639 4,392 12,247 2
Slide 35: Disclaimer
Disclaimer This document was produced for information purposes only, for the exclusive use of the recipient. It should be understand as informative and should not be considered as a basis for any investment or financial transaction, therefore FIDEICOMISO HIPOTECARIO F/2061 (“FHipo”, the “Company” or
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