Dar Al Arkan Real Estate Development Co. · TADAWUL:4300
Dar Al Arkan Real Estate Development — FY2022 Earnings Presentation
34 slides from Dar Al Arkan Real Estate Development's earnings presentation, 2023
Slide 1: Dar Al Arkan
DAR AL ARKAN uL_GNi jla
Slide 2: Investor Presentation FY 2022
Investor Presentation FY 2022 2
Slide 3: Table of Contents
Table of Contents Page No. 1. Macro Economic Overview & KSA Real Estate Market 4 2. Key Business Indicators Overview 9 3. Financial Performance Overview 12 4. Overview of Assets Portfolio 17 5. Notable Changes After the Reporting Period 25 6. Appendix 27 3
Slide 4: Macro Economic Overview & KSA Real Estate Market
MACRO ECONOMIC OVERVIEW 1| & KSA REAL ESTATE MARKET 4
Slide 5: Macroeconomic Overview
Macroeconomic Overview 2022 saw an accelerated growth and forecasted to maintain growth in 2023 and forward GDP Growth Accelerated Deficit Turns to Surplus Average Brent Oil Prices in 2022 in 2022 120 10.0% 6% 101 8.7% 100 8.0% 3% 2.6% 1.7% 5.7% 80 71 71 6.0% 0.4% 0.5% 64 4.5% 0% 60 54 4.0% 2019 202
Slide 6: KSA Real Estate Sector Overview: Strong Long-Term Fundamentals
KSA Real Estate Sector Overview The strong long-term fundamentals of the market remain intact Positive Demographic Trends Supply Shortages Government Support KSA Total Population (Age/Gender) Total population projection of 36.2 million for 2022 Population growth of around 2% per year. Chronic un
Slide 7: Residential & Commercial deals rose 6% YoY
KSA Real Estate Sector Overview Residential & Commercial deals rose 6% (YoY) an increase of SAR 12 billion 450 410 380 360 321 140.1 122.5 270 110.1 249 224 209 205 193 180 79.7 99.1 166 159 71.1 131 61.1 78.8 270.0 38.9 43.7 257.2 38.0 90 210.7 144.5 149.8 137.6 126.9 131.4 126.5 93.4 115.2 0 2012
Slide 8: Real Estate Price Index Continues Positive Momentum
KSA Real Estate Sector Overview The Real Estate Price Index continues its positive momentum YoY and QoQ KSA Real Estate Price Index (YoY) KSA Real Estate Price Index (QoQ) 1.8% 0.9% 1.6% 1.0% 1.5% 1.5% 0.6% 0.5% 0.5% 0.3% 0.3% 1.2% 0.9% 0.1% 0.9% 0.7% 0.0% 0.0% 0.4% -0.5% 0.6% 0.3% 0.0% -1.0% Q4-21
Slide 9: Key Business Indicators Overview
KEY BUSINESS INDICATORS 2| OVERVIEW 9
Slide 10: FY 2022 – Key Business Indicators
FY 2022 – Key Business Indicators Investment In Revenues 57.5% EBITDA 55.9% Development Properties 54.1% SAR 3,925 mn SAR 1,320 mn SAR 3,473 mn (2021 : SAR 2,493 mn) (2021 : SAR 847 mn) (2021 : SAR 2,254 mn) Gross Debt/ Cash And Bank Book Value Per Share Capitalization SAR 5,929 mn 36% SAR 18.2 (202
Slide 11: Dar Al Arkan Real Estate Assets
Dar Al Arkan Real Estate Assets DAAR’s Real Estate assets portfolio at cost is SAR 21.8 bn. DAAR has a strong pipeline of projects across the Middle East and Europe totaling 17.8 mn sqm. Real Estate Properties Break up - SAR bn Total Land Area – SQM mn 57% 33% Shams Al Arous, 0.9 Project Lands &
Slide 12: Financial Performance Overview
FINANCIAL PERFORMANCE 3| OVERVIEW 12
Slide 13: Financial Performance – FY 2022 Profitability
Financial Performance – FY 2022 Profitability 7,000 Yearly Revenues (SAR mn) 1,600 Gross Profit (SAR mn) & Margin (%) 37% 40% 6,412 36% 1,458 35% 6,000 136 1,400 35% 82 1,200 1,114 30% 5,000 4,735 1,057 3,925 24% 897 150 1,000 78 25% 4,000 3,492 24% 66 824 116 800 16% 675 77 20% 3,000 6,276 2,493 97
Slide 14: Financial Performance – Q4 2022 Profitability
Financial Performance – Q4 2022 Profitability 1,800 Quarterly Revenues (SAR mn) 600 Gross Profit (SAR mn) & Margin (%) 41% 42% 1,619 563 1,600 500 40% 19 40% 27 1,400 39% 1,200 400 37% 37% 345 38% 775 36% 36% 304 1,000 678 742 886 300 268 568 595 35% 245 24 36% 800 496 555 1,592 208 217 33 197 205 2
Slide 15: Financial Performance – FY 2022 Cash Flow
Financial Performance – FY 2022 Cash Flow Cash Flow – FY 2022 (SAR mn) Income / Sources of Cash Uses of Cash / Expenses 14,000 847 2,339 12,000 840 10,000 3,711 3,473 8,000 27 6,000 3,925 29 4,000 5,929 2,000 4,153 - Starting Cash Revenue New Debt Working Capital Investment in Debt Opex Investment i
Slide 16: Financial Performance – FY 2022 Debt
Financial Performance – FY 2022 Debt 12,000 Gross Debt Vs Net Debt (SAR mn) 10,840 40% Debt* / Capitalization 10,304 35% 36% 10,500 35% 33% 9,468 29% 9,000 30% 26% 7,832 26% 7,500 6,480 6,663 4,932 5,929 25% 4,153 6,000 3,950 20% 4,500 3,160 15% 18% 19% 4,903 16% 3,000 10% 14% 15% 5,372 5,315 4,911
Slide 17: Overview of Assets Portfolio
OVERVIEW OF ASSETS 4| PORTFOLIO 17
Slide 18: Shams Ar Riyadh – Key Facts
Residential & Commercial Development Projects - KSA Shams Ar Riyadh – Key Facts Location - Situated in the Al-Ammariyah district (King Khalid Road), part of the growing northwest corridor of Riyadh, Shams Ar Riyadh is close to the heart of the city and is located just 19 km from KKI Airport and 9 km
Slide 19: Residential & Commercial Development Projects - KSA
Residential & Commercial Development Projects - KSA Parisiana South Jeddah Projects Eastern Province Projects Dar Al Mashaer - Located in Riyadh city and easily - Shams Al Arous is a master-planned, - Juman project is strategically located - Located in holy city of Mecca on the Al accessed through K
Slide 20: Commendatore Tower, ROSHN Sedra, Buraidah Hills
Residential & Commercial Development Projects - KSA Commendatore Tower- Jeddah ROSHN Sedra Project - Riyadh Buraidah Hills - The Commendatore Tower is to be built on a - Dar Al Arkan had won a contract to develop - Located in Buraidah city of Al-Qassim total land area of 11,928 sqm, comprised of 48
Slide 21: Development Projects - International (Dubai)
Residential & Commercial Development Projects - International Urban Oasis Tower, Dubai Da Vinci Tower, Dubai W Residences, Dubai - The Urban Oasis Tower is located in the Business - The Da Vinci Tower is a residential building in - The W Residences is a residential building in one of Bay area of Dub
Slide 22: Bosnia, Oman and Qatar Projects
Residential & Commercial Development Projects - International Bosnia Projects Aida, Oman Les Vagues, Qatar - The site is situated in Ravne, Vareš, 38 km outside - In Dec 2021, Dar Al Arkan signed an MOU with - Les Vagues by Elie Saab with an estimated Sarajevo, Capital of Bosnia & Herzegovina. Omran
Slide 23: Spain and UK Projects
Residential & Commercial Development Projects - International Fourth Floor Flat of 149 Old Park Benahavis, Spain Finca Cortesin, Spain Tabano, Spain Lane, UK - Group signed a purchase contract - Dar Benahavis acquired a plot of land - Dar Tabano acquired six plots of land - Dar Al Arkan Global UK Ho
Slide 24: Leasing Properties Portfolio
Leasing Properties Portfolio Al-Qasr Mall, Riyadh Land Area 61,949 m² Built up Area 235,288 m² Gross Leasable Area 76,028 m² No. of floors 3 Leasable Floors plus two parking Parking 1,579 Parking Spaces Latest Activity: 87% occupancy achieved by the end of 2022. Ice-Skating Rink and Ninja Obstac
Slide 25: Notable Changes After the Reporting Period
NOTABLE CHANGES AFTER 5| THE REPORTING PERIOD 25
Slide 26: Successful Listing of Dar Global PLC
Notable Changes After the Reporting Period Successful Listing of Dar Global PLC - Subsequent to the FY ended 31 December 2022, on 28 February 2023, Dar Global PLC, an indirectly wholly owned subsidiary of the Group, had direct listing to the London Stock Exchange’s main market for listed securities.
Slide 27: Appendix
6| APPENDIX 27
Slide 28: Appendix I – Statement of Financial Position
Appendix I – Statement of Financial Position SAR in 000s FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 Investment properties, net 1,693,141 1,651,357 1,519,116 1,110,414 1,077,808 Long-term development properties 14,148,262 16,895,604 18,246,583 19,285,287 20,563,563 Property and equipment, net 83,085 79,
Slide 29: Appendix II – Statement of Profit or Loss
Appendix II – Statement of Profit or Loss SAR in 000s FY 2019 FY 2020 FY 2021 FY 2022 Q4 2021 Q4 2022 Revenue 3,491,856 1,944,854 2,493,078 3,925,499 775,065 885,668 Cost of revenue (2,667,416) (1,270,204) (1,596,350) (2,467,912) (507,128) (540,612) Gross profit 824,440 674,650 896,728 1,457,587 267
Slide 30: Appendix III – Statement of Cash Flows
Appendix III – Statement of Cash Flows SAR in 000s FY 2018 FY 2019 FY 2020 FY 2021 FY 2022 Profit before Zakat 521,855 312,389 19,379 135,442 588,386 Adjustments for: Depreciation & Amortization 78,355 55,653 56,237 48,905 50,182 Provision for expected credit losses 0 2,000 2,516 4,453 0 Donations 0
Slide 31: Disclaimer
Disclaimer THIS PRESENTATION IS NOT FOR PUBLICATION, RELEASE OR himself independently based solely on the prospectus in relation to such securities DISTRIBUTION, DIRECTLY OR INDIRECTLY, INTO AUSTRALIA, CANADA, (including any supplement thereto) available when orders are confirmed before taking JAPAN
Slide 32: Our Offices
OUR OFFICES RIYADH, KSA BEIJING, CHINA LONDON, UK MARBELLA, DUBAI, UAE 12622 Makkah Road, 303-309, North Tower, 50 Hans Crescent, Conrad Dubai, Al Wizarat, Beijing Kerry Centre, Knightsbridge, SPAIN Sheikh Zayed Road, Beside Riyadh Marriott Hotel, No.1 Guanghua Road, London, SW1X ONA Marbella’s Gold
Slide 33: 33
33
Slide 34: Thank you
Investor Relations Thank you Riyadh – Saudi Arabia Tel: +966 11 206 9888 Ext:1680 ir@alarkan.com 34
Dar Al Arkan Real Estate Development — FY2022 Earnings Presentation on 6ix