Americold Realty Trust, Inc. · NYSE:COLD

Americold Realty Trust — Investor Presentation (March 2020)

33 slides from Americold Realty Trust's investor presentation, Mar 2, 2020

  1. Slide 1: Investor Presentation Spring 2020

    Exhibit 99.1 INVESTOR PRESENTATION Spring 2020Exhibit 99.1 INVESTOR PRESENTATION Spring 2020

  2. Slide 2: Disclaimer

    Disclaimer This presentation contains statements about future events and expectations that constitute forward-looking statements. Forward-looking statements are based on our beliefs, assumptions and expectations of our future financial and operating performance and growth plans, taking into account

  3. Slide 3: Key Investment Highlights

    Key Investment Highlights Important First Mover Global Market Leader Infrastructure Supported Strong and Stable Food Advantage as the Only with Integrated Network by Best-in-Class IT and Industry Fundamentals Publicly Traded REIT of Strategically-Located, Operating Platforms Drive Growing Demand Foc

  4. Slide 4: Company Snapshot

    Company Snapshot World’s largest publicly traded REIT focused on the ownership, operation, development and acquisition of temperature-controlled warehouses Portfolio Overview Warehouses Ownership Total Average Countries of Estimate of U.S. Number of Number of Type Capacity Facility Size Operation Ma

  5. Slide 5: Largest Fully Integrated Network of Temperature-Controlled Warehouses

    Largest Fully Integrated Network of Temperature-Controlled Warehouses An indispensable component of food infrastructure from “farm to fork e-Commerce Fulfillment Delhi, LA LaPorte, TX Atlanta, GA Phoenix, AZ Farm Fork Production Public Distribution Retail Distribution Advantaged Warehouse Center Cen

  6. Slide 6: Integrated Operations Overview

    Integrated Operations Overview Real estate value is driven by the critical nature of our infrastructure, strategic locations and integrated, full-service strategy (1) Segment Overview Select Customers % of Contribution § Mission-critical, temperature-controlled real estate infrastructure generates r

  7. Slide 7: Strategically Located, Mission-Critical Temperature-Controlled Warehouses

    AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK AK Strategically Located, “Mission-Critical” Temperature-Controlled Warehouses Strategic locations and extensive geographic presence provide an integrated w

  8. Slide 8: A Global Market Leader in Temperature-Controlled Warehousing

    A Global Market Leader in Temperature-Controlled Warehousing Our position as a global market leader allows us to realize economies of scale, reduce operating costs and lower our overall cost of capital. Ideally positioned to compete for customers and external growth opportunities (2) (1) Global Mark

  9. Slide 9: Highly Diversified Business Model Produces Stable Cash Flows

    Highly Diversified Business Model Produces Stable Cash Flows Diversification helps reduce revenue volatility associated with seasonality and changing commodity trends (1) (1) Pro Forma Commodity Pro Forma Global Geographic Diversity Global Warehouse U.S. Warehouse United Dairy Argentina Southeast Po

  10. Slide 10: Long Standing Relationships with Top Customers

    Long Standing Relationships with Top 25 Customers Scope and scale of network coupled with long-standing relationships position us to grow market share organically and through acquisitions Representative Food Producers / CPG Companies Top 25 Customers Have been with Americold for an average of 30+ ye

  11. Slide 11: Economic Occupancy Driving Improved Returns

    Economic Occupancy Driving Improved Returns Implementation of our standard underwriting procedures has contributed to consistent occupancy growth over the last three years Economic Occupancy Network Average Economic & Physical Occupancy Trend § Significantly increased fixed commitment contracts in o

  12. Slide 12: Growing Committed Revenue in Warehouse Portfolio

    Growing Committed Revenue in Warehouse Portfolio Significant improvement transitioning from as-utilized, on demand contracts to fixed storage committed contracts and leases Rent & Storage Warehouse Revenue § Fixed storage committed contracts and leases currently represent: $0.62bn $0.60bn $0.61bn $0

  13. Slide 13: Warehouse Financial Summary

    Warehouse Financial Summary Warehouse Revenue ($mm) 2015A – 2019A CAGR $1,377 Constant (1) $1,177 Actual $ Currency $1,146 $1,081 $1,057 $795 Warehouse $662 7.8% 8.6% $644 $604 $588 Services Rent & 5.6% 6.6% $583 $515 $502 $469 $477 Storage 2015A 2016A 2017A 2018A 2019A Total 6.8% 7.7% Rent & Storag

  14. Slide 14: Substantially All Warehouse NOI Driven by Rental & Storage Revenue

    Substantially All Warehouse NOI Driven by Rental & Storage Revenue + = Rent & Storage Warehouse Services Total Warehouse Commentary REIT: Rent & Storage $0.42 $0.58 $1.00 TRS: Warehouse Services Power and utilities Power ($0.06) -- ($0.06) Other Real Estate Related Costs: facility Facility maintenan

  15. Slide 15: Positioned for Multiple Avenues of Growth

    Positioned for Multiple Avenues of Growth Global warehouse network, operating systems, scalable information technology platform and economies of scale provide a significant advantage over competitors with respect to organic and external growth opportunities Development and External Growth and Expans

  16. Slide 16: Organic Growth Initiatives Have Driven Same Store Growth

    Organic Growth Initiatives Have Driven Same Store Growth Same store performance is the culmination of replacing legacy customer agreements with new contracts implementing our Commercial Business Rules, active asset management and leveraging integrated network, scale and market position Same Store Wa

  17. Slide 17: Same Store Seasonality Trend

    Same Store Seasonality Trend Same store metrics show consistent seasonal trends (1) Key Quarterly Drivers Quarterly Same Store Revenue (% of Annual) 26% 26% 25% 25% 25% 25% First / Second Quarter 24% 24% § Timing of Easter moves between Q1 and Q2 § On average Q1 and Q2 are relatively consistent Thir

  18. Slide 18: Growth Strategy – Expansion and Development

    Growth Strategy – Expansion and Development Middleboro, MA Chesapeake, VA Incurred Cost 35.1mm Cu Ft Completed Rochelle, IL North Little Rock, AR $192mm Since 2017 ~131,000 Pallets Clearfield, UT Columbus, OH (1) Expansion and Development Opportunities Estimated Costs ⁽²⁾ Auckland, New Zealand 37.7m

  19. Slide 19: Acquisition of Nova Cold Logistics

    Acquisition of Nova Cold Logistics With the addition of facilities located in Toronto, Calgary and Halifax, the acquisition of Nova Cold Logistics establishes Americold’s platform in Canada Transaction Overview § In January 2020, COLD closed on the acquisition of Nova Cold Logistics from Brookfield

  20. Slide 20: Acquisition of Newport-St. Paul Cold Storage

    Acquisition of Newport-St. Paul Cold Storage The acquisition of Newport Cold Storage strengthens Americold’s presence in the St. Paul – Minneapolis region Transaction Overview § In January 2020, COLD announced the acquisition of Newport-St. Paul Cold Storage for ~$56mm – Site offers three acres of a

  21. Slide 21: Acquisition of Two Cold Storage Facilities from MHW Group

    Acquisition of Two Cold Storage Facilities from MHW Group Both facilities are rail-served sites and strengthen Americold’s presence in the Mid-Atlantic region Transaction Overview § In November 2019, COLD announced the acquisition of two cold storage facilities from MHW Group for ~$54mm – Rail serve

  22. Slide 22: Brazil Joint Venture

    Brazil Joint Venture Transaction Overview § COLD is purchasing a 15% stake in SuperFrio, the second largest (1) cold storage operator in Brazil, with ~10% market share , for ~28mm (based on current exchange rate) – Expected to close in the first quarter of 2020 § SuperFrio has a professional managem

  23. Slide 23: Flexible Balance Sheet Positioned for Growth

    Flexible Balance Sheet Positioned for Growth Capitalization Debt Profile Pro Forma 12/31/19 ⁽¹⁾ ($ in millions) ü Investment grade ratings: Baa3 (Moody’s), BBB (Fitch / Morningstar) Share Price (as of 2/25/2020) $33.23 (4) Fully Diluted Shares Outstanding 204.546 Debt Type Rate Type Equity Market Ca

  24. Slide 24: Strategic Investment Approach to Maintain a High-Quality Portfolio

    Strategic Investment Approach to Maintain a High-Quality Portfolio Capital expenditures ensure that our temperature-controlled warehouses meet the “mission-critical” role they serve in the cold chain As a % of Total Warehouse NOI before R&M Expense 2017A 2018A 2019A Total Spend Total Spend Total Spe

  25. Slide 25: Strong Approach to Environmental, Social and Governance Initiatives

    Strong Approach to Environmental, Social and Governance Initiatives Awards & Recognition Commitment to energy excellence and efficiency P Recognized under the Global Cold Chain Alliance’s (GCCA) new Energy Excellence Recognition Program with Gold and Silver certifications at 132 facilities P Complet

  26. Slide 26: Conclusion

    Conclusion Important First Mover Global Market Leader Infrastructure Supported Strong and Stable Food Advantage as the Only with Integrated Network by Best-in-Class IT and Industry Fundamentals Publicly Traded REIT of Strategically-Located, Operating Platforms Drive Growing Demand Focused on Tempera

  27. Slide 27: Appendix

    Appendix 25Appendix 25

  28. Slide 28: Industry-Leading, Integrated IT & Operating Platforms

    Industry-Leading, Integrated IT & Operating Platforms Proprietary IT and Operating Systems have revolutionized how we interface with our customers, make business decisions and manage our warehouses Integrated IT Platform Americold Operating System ü Customer-Facing IT Systems – Proprietary system pr

  29. Slide 29: Commercial Business Rules Framework

    Commercial Business Rules Framework Formal Contract Underwriting Rules § Minimum space requirements (fixed) – Preserves minimum revenues for space reserved Fixed / Variable Pricing § Variable pricing for additional services (variable) – Ensures payment for services rendered Amortize Capital § Amorti

  30. Slide 30: Atlanta Major Market (Atlanta MM) Expansion

    Atlanta Major Market (Atlanta MM) Expansion Transaction Overview § Americold’s Atlanta MM campus includes several facilities in the market’s core distribution hub § ~$126mm-$136mm total capital required § Strong market demand is driving the need to expand our Atlanta footprint to meet our customers’

  31. Slide 31: PortFresh Acquisition (Savannah, GA)

    PortFresh Acquisition (Savannah, GA) § In January 2019, COLD acquired privately-held PortFresh for ~$35mm – $20mm of the purchase price was allocated to the existing business / current facility on 20 acres of land Transaction – $15mm allocated to an additional 163 contiguous acres of zoned and entit

  32. Slide 32: Cloverleaf Cold Storage Acquisition

    Cloverleaf Cold Storage Acquisition Cloverleaf acquisition enhances the Company’s integrated warehouse network while expanding relationships with overlapping customers, with additional synergy opportunities available through integration § Fifth largest temperature-controlled warehouse (1) company in

  33. Slide 33: Lanier Cold Storage Acquisition (Gainesville, GA)

    Lanier Cold Storage Acquisition (Gainesville, GA) Lanier Cold Storage acquisition further strengthens our position as the leading global owner and operator of temperature-controlled infrastructure Transaction Overview § In May 2019, COLD announced the acquisition of privately-held Lanier Cold Storag

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