Hektar Real Estate Investment Trust · MYX:HEKTAR

Hektar Real Estate Investment Trust — Q1 2010 Earnings Presentation

22 slides from Hektar Real Estate Investment Trust's earnings presentation, May 5, 2010

  1. Slide 1: First Quarter 2010 Financial Results Presentation

    FIRST QUARTER 2010 FINANCIAL RESULTS PRESENTATION HEKTAR ASSET MANAGEMENT SDN BHD 5 MAY 2010

  2. Slide 2: Disclaimer

    PRIVATE & CONFIDENTIAL 2 Disclaimer The material that follows is a presentation of general background information about the activities of the Hektar Group (including Hektar REIT and any other affiliates) as at the date of this Presentation. Presentation The information contained herein is given in s

  3. Slide 3: Financial Summary First Quarter 2010 (1Q10)

    PRIVATE & CONFIDENTIAL 3 Financial Summary First Quarter 2010 (1Q10) 1 January 2010 – 31 March 2010 Three (3) months Commentary ƒ Implementing I l ti FRS 117 117, FRS 139 iin financial fi i l statements t t t ƒ Portion of Subang Parade land acquired by government for LRT extension project ƒ Hektar R

  4. Slide 4: Hektar REIT Annual DPU Growth Positive Since IPO

    PRIVATE & CONFIDENTIAL 4 Distribution Details Hektar REIT Annual DPU Growth Positive Since IPO Current Dividend Distribution Details First Quarter 2010 ƒ Distribution Period: 1 January – 31 March 2010 ƒ Quarterly DPU: 2.50 sen ƒ Notice of Entitlement: 5 May 2010 ƒ Ex-Dividend Date: 19 May 2010 ƒ Boo

  5. Slide 5: Hektar REIT DPU Dividend Yield at annualised 8.1%

    PRIVATE & CONFIDENTIAL 5 Comparative Yields - Malaysia Hektar REIT DPU Dividend Yield at annualised 8.1% ƒ Traded at a 390 bps spread over MGS 10-year Hektar REIT Unit Price Change H kt REIT Comparative Hektar C ti Yields Yi ld FY2010 YTD (3 months) Unit Price RM 1.23 31 Mar 2010 9% 8.1% 8% 7% 390 b

  6. Slide 6: Portfolio Performance

    PRIVATE & CONFIDENTIAL 6 Portfolio Performance Overall Occupancy at ~97.3% ► Rental Reversions down 7% for 1Q10 ► Tenancy Expiry Profile by Property ► 22% of Portfolio Tenancy Rental Income Expires in 2010 ►

  7. Slide 7: Overall Portfolio Occupancy at ~97.3%

    PRIVATE & CONFIDENTIAL 7 Hektar REIT Portfolio - Occupancy Overall Portfolio Occupancy at ~97.3% 97.3% Hektar REIT Portfolio Occupancy As at 31 As at 31 As at 30 As at 31 As at 31 As at 31 As at 31 December December September S December December December March Property 2004 2005 2006 2007 2008 2009

  8. Slide 8: Rental Reversions down 7% for the quarter

    PRIVATE & CONFIDENTIAL 8 Hektar REIT Portfolio – Rental Reversions Rental Reversions down 7% for the quarter ƒ 1Q 10: 20 new tenancies / renewals at an average 7% lower rental rate ƒ Mahkota Parade rental reversions impacted by refurbishment exercise ƒ Suba Subang g Parade a ade rental e ta reversio

  9. Slide 9: Hektar REIT Tenancy Expiry Profile by Property

    PRIVATE & CONFIDENTIAL 9 Hektar REIT Portfolio – Tenancy Expiry Profile Hektar REIT Tenancy Expiry Profile by Property Hektar REIT Tenancy Expiry Profile by Property As At 31 March 2010 Subang Parade No. of NLA of Tenancies NLA of Tenancies % of Total For Year Ending Tenancies Expiring Expiring as %

  10. Slide 10: Tenancy Portfolio Expiry Profile 2010 – 2013

    PRIVATE & CONFIDENTIAL 10 Hektar REIT Portfolio – Tenancy Expiry Profile Tenancy Portfolio Expiry Profile 2010 – 2013 ƒ FY2010 tenancy expiries account for approximately 22% of monthly rental income* Hektar REIT Tenancy Expiry Profile – Overall Portfolio As At 31 March 2010 Portfolio No. of NLA of T

  11. Slide 11: Subang Parade Land Acquisition by Government for LRT

    PRIVATE & CONFIDENTIAL 11 Hektar REIT Portfolio – Subang Parade Land Acquisition Subang Parade Land Acquisition by Government for LRT ƒ Compulsory Land Acquisition of part of Subang Parade land near Parkson ƒ Land is for proposed extension of Kelana Jaya Light Rail Transit Phase 2 ƒ Parcel of land m

  12. Slide 12: Financial Results

    PRIVATE & CONFIDENTIAL 12 Financial Results Gross Revenue up 5.7% over 1Q09 ► First Quarter 2010 Net Income up 10% from previous quarter ► Hektar REIT trading at a 3.6% discount to NAV as at end FY09 ► Debt Profile Stable for 2010 ►

  13. Slide 13: Gross Revenue up 5.7% over 1Q09

    PRIVATE & CONFIDENTIAL 13 Revenues & Expenses Gross Revenue up p 5.7% over 1Q09 For First Quarter Period 1 January – 31 March 2010 Revenue & Expense 1Q10 1Q09 Variance First Quarter 2010 (Unaudited) (RM '000) 000) (RM '000) 000) (%) Rental Income Revenue from Tenancy 21,113 19,991 + 5.6% Car Park 1

  14. Slide 14: First Quarter '10 Net Income up 10% vs previous quarter

    PRIVATE & CONFIDENTIAL 14 Income Statement – Quarter Comparative First Quarter ‘10 10 Net Income up 10% vs previous quarter For Period 1 January – 31 March 2010 (versus previous comparable period) Income Statement 1Q10 1Q09 Variance First Quarter 2010 (Unaudited) (RM '000) (RM '000) (%) Revenue 23,0

  15. Slide 15: Hektar REIT trading at a 3.6% discount to NAV

    PRIVATE & CONFIDENTIAL 15 Balance Sheet Hektar REIT trading g at a 3.6% discount to NAV as at end 1Q10 Balance Sheet As at 31.3.2010 As at 31.12.2009 Unit Price Statistics in RM '000 (Unaudited) (Audited) As at 31 March 2010 Non-Current Assets No. of Units Outstanding Investment Properties 715,973 7

  16. Slide 16: Debt Profile for FY2010

    PRIVATE & CONFIDENTIAL 16 Hektar REIT Debt Profile Debt Profile for FY2010 Debt Information Debt Expiry Profile As at 1 May 2010 As at 1 May 2010 ƒ Total Debt: RM334 million (RM million) ƒ Weighted Cost of Debt: 3.27% ƒ Gearing Ratio1: 43% ƒ Unencumbered Asset: Wetex Parade 1 Gearing G i ratio ti ca

  17. Slide 17: Mahkota Parade Refurbishment

    PRIVATE & CONFIDENTIAL 17 Mahkota Parade Refurbishment Refurbishment Pictures ► Mahkota Parade Relaunched ►

  18. Slide 18: Mahkota Parade Refurbishment Completed

    PRIVATE & CONFIDENTIAL 18 Mahkota Parade Refurbishment Mahkota Parade Refurbishment Completed External te a Entrance t a ce Full Details of the Refurbishment published in Hektar REIT 2Q 2009 Financial Results Presentation.

  19. Slide 19: Improved Ambience & Amenities

    PRIVATE & CONFIDENTIAL 19 Mahkota Parade Refurbishment Improved Ambience & Amenities ƒ Complete Refurbishment: Flooring, Ceiling, Lighting ƒ Improved Amenities: Guest Services, Car Park ƒ Improved Ambience: Brighter, Cleaner Look ƒ RM30 million refurbishment completed on time Guest Services Counter

  20. Slide 20: Complete Refurbishment of Shopping Centre

    PRIVATE & CONFIDENTIAL 20 Mahkota Parade Refurbishment Complete Refurbishment of Shopping Centre East Wing Central Area Concert East Wing

  21. Slide 21: Mahkota Parade Celebrated a Re-Launch on 1 May

    PRIVATE & CONFIDENTIAL 21 Mahkota Parade Re-Launch Mahkota Parade Celebrated a Re Re-Launch Launch on 1 May ƒ Comprehensive programme graced by TYT Yang di-Pertua Negeri Melaka ƒ Fashion Show with Ford Models, Live Performances, Contests & Give-Aways Hektar Asset Management CFO Zalila Mohd Toon ‘ss

  22. Slide 22: Contact

    PRIVATE & CONFIDENTIAL 22 Contact “C “Creating i ThThe Pl Places Wh Where P People l LLove T To Shop” Sh ” Investor Relations Hektar Asset Management Sdn Bhd C 0 5 Plaza Damas Block C-0-5, 60 Jalan Sri Hartamas 1 Sri Hartamas 50480 Kuala Lumpur MALAYSIA ℡Tel: +6 03 6201 1011 Fax: +6 03 6201 0012 Web

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