Hektar Real Estate Investment Trust · MYX:HEKTAR
Hektar Real Estate Investment Trust — Hektar REIT — Q3 2008 Earnings Presentation
23 slides from Hektar Real Estate Investment Trust's earnings presentation, Nov 4, 2008
Slide 1: Third Quarter 2008 Financial Results Presentation
HEKTAR REIT HEKTAR REIT THIRD QUARTER 2008 FINANCIAL RESULTS PRESENTATION HEKTAR ASSET MANAGEMENT SDN BHD 4 NOVEMBER 2008 PRIVATE & CONFIDENTIAL
Slide 2: Disclaimers
PRIVATE & CONFIDENTIAL 2 Disclaimers 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. The information contained herein is given in summary form
Slide 3: Financial Summary
PRIVATE & CONFIDENTIAL 3 Financial Summaryy
Slide 4: Financial Summary – Third Quarter 2008
PRIVATE & CONFIDENTIAL 4 Financial Summary – Third Quarter 2008 Second Quarter 1 July 2008 – 30 September 2008 2008 3 Months Portfolio Occupancy: ~96.8% Rent Reversions: +6% (Y-T-D) Operational Net Income per Unit: 3.00 sen Performance Net Income +7.6% over previous comparable quarter an
Slide 5: Distribution Details
PRIVATE & CONFIDENTIAL 5 Distribution Details Hektar REIT Quarterly Dividend Distributions Current Dividend Distribution Details: 3rd Quarter 2008 Distribution Period 1 July 2008 – 30 September 2008 Quarterly DPU 2.40 sen Notice of Entitlement 5 November 2008 Ex-Dividend Date 14 November 2008 Book
Slide 6: Comparative Yields - Malaysia
PRIVATE & CONFIDENTIAL 6 Comparative Yields - Malaysia Hektar REIT Dividend Yield Spread (FY2008) Traded at a 457 bps p spread p over MGS 10-year y 457 bps spread Sources: Bloomberg (MGS: September 2008) , The Star. Hektar REIT yield based on closing price of RM1.05 on 30 September 2008 and annual
Slide 7: Portfolio Performance
PRIVATE & CONFIDENTIAL 7 Portfolio Performance
Slide 8: Hektar Portfolio - Occupancy
PRIVATE & CONFIDENTIAL 8 Hektar Portfolio - Occupancy Portfolio Occupancy reached 96.8% in 3Q 2008 *Approximate average weighted by Net Lettable Area.
Slide 9: Hektar Portfolio – Tenant Mix
PRIVATE & CONFIDENTIAL 9 Hektar Portfolio – Tenant Mix Diversified Portfolio Tenant Mix Hektar e ta Portfolio oto o Key / Legend By Rental Income* By NLA Subang Parade Mahkota Parade Wetex Parade By Rental Income* By Rental Income* By Rental Income* * Based on monthly rental income for September 200
Slide 10: Hektar Portfolio – Tenant Diversity
PRIVATE & CONFIDENTIAL 10 Hektar Portfolio – Tenant Diversity Hektar Top Ten Tenants by Rental Income Top p 10 Tenants Contribute 26.9% of REIT’s Monthly y Rental Income • Retailer Dependency: only Parkson contributes ~10.7% of total monthly rental income to REIT, no other tenant contributes more
Slide 11: Hektar Portfolio – Rental Reversions
PRIVATE & CONFIDENTIAL 11 Hektar Portfolio – Rental Reversions Third Quarter 2008 – Rental Reversions up 5% 30 new tenancies / renewals at an average 5% higher rental rate Trend continues to remain positive currently *Average Weighted by NLA. Figures as of 30 September 2008. Outstanding tenancie
Slide 12: Hektar’s Portfolio – Tenancy Expiry Profile
PRIVATE & CONFIDENTIAL 12 Hektar’s Portfolio – Tenancy Expiry Profile Hektar’s Tenancy Expiry Profile 2008 – 2012 By y Property p y ((as at 30 September p 2008)) * Based on monthly rental income for September 2008.
Slide 13: Hektar’s Portfolio – Tenancy Expiry Profile
PRIVATE & CONFIDENTIAL 13 Hektar’s Portfolio – Tenancy Expiry Profile Portfolio Tenancy Expiry Profile 2008 – 2012 Relatively Distributed Expiry Portfolio as at 30 September 2008 • No expires accounting for more than 29% of monthly rental income in any year * Based on monthly rental income for Sep
Slide 14: Hektar’s Portfolio – Step-Up & Turnover
PRIVATE & CONFIDENTIAL 14 Hektar’s Portfolio – Step-Up & Turnover Hektar Portfolio Tenancy Provisions Turnover Rent Provisions: Portfolio average g of 71% of tenancies Step-Up Rent Provisions: Portfolio average 63% of tenancies Wetex Parade: implementing provisions for new tenancies / renewals
Slide 15: Financial Results
PRIVATE & CONFIDENTIAL 15 Financial Results
Slide 16: Revenues & Expenses
PRIVATE & CONFIDENTIAL 16 Revenues & Expenses Gross Revenue up 26.5% over Budget For Period 1 July 2008 – 30 September 2008 Budget based on FY2008 figures from Hektar REIT Initial Public Offering Prospectus dated 15 November 2006.
Slide 17: Income Statement – Quarter
PRIVATE & CONFIDENTIAL 17 Income Statement – Quarter Third Quarter 2008 Net Income exceeds Budget by 34.4% For Period 1 July 2008 – 30 September 2008 (versus Budget) Budget based on FY2008 figures from Hektar REIT Initial Public Offering Prospectus dated 15 November 2006.
Slide 18: Income Statement – Quarter Comparative
PRIVATE & CONFIDENTIAL 18 Income Statement – Quarter Comparative Third Quarter 2008 Net Income exceeds 3Q07 by 7.6% For Period 1 July 2008 – 30 September 2008 (versus Previous Comparable Quarter)
Slide 19: Income Statement – Year-To-Date
PRIVATE & CONFIDENTIAL 19 Income Statement – Year-To-Date YTD 2008 (9 Months) Net Income is 30.4% over Budget For period 1 January – 30 September 2008 (9 months) Attributed to Higher Rentals at Subang & Mahkota Parade Inclusion of Wetex Parade’s five-months’ operations (acquisition completed in
Slide 20: Income Statement – Year-To-Date Comparative
PRIVATE & CONFIDENTIAL 20 Income Statement – Year-To-Date Comparative YTD Comparative: 9M08 v 10M07 Different comparative period: 9 months v 10 months 10MFY2007 from 1 December 2006 – 30 September 2007 (10-months) due to IPO Excluding December 2006, cumulative net income is 7% higher
Slide 21: Balance Sheet
PRIVATE & CONFIDENTIAL 21 Balance Sheet No. of Units 320,001,000 Net Asset Value Per Unit 1.185 Unit Price, 30 Sep 2008 1.05 Premium / (Discount) NAV (11%) Debt Structure Al-Murabahah / OD Gearing (Debt/GAV)* 42 3% 42.3% Interest Expense 4.95% (2008) *Gearing Limited for Malaysian REITs: 50% of GAV
Slide 22: Slide 22
Slide 23: Contact Us
PRIVATE & CONFIDENTIAL 23 Contact Us Investor Relations H kt A Hektar Assett M Managementt Sd Sdn Bhd Block C-0-5, Plaza Damas 60 Jalan Sri Hartamas 1 Sri Hartamas 50480 Kuala Lumpur MALAYSIA ℡ +6 03 6201 1011 +6 6 03 6201 0012 www.HektarREIT.com “CREATING THE PLACES WHERE PEOPLE LOVE TO SHOP”