Digital Core Reit · SGX:DCRU
Digital Core Reit — H1 2023 Earnings Presentation
21 slides from Digital Core Reit's earnings presentation, Jul 27, 2023
Slide 1: Digital Core REIT 1H23 Financial Results
IGITA CORE L Financial 1H23 RESULTS 27 July 2023 Core | Sustainable | Growth *\ DIGITAL REALTY Data Center Solutions
Slide 2: Key Highlights
KEY HIGHLIGHTS Dedicated Core Data Centre REIT Focused on Driving Sustainable Growth CORE SUSTAINABLE GROWTH 1.92 U.S. Cents Artificial AI expected to contribute $15+ Bn Unparalleled acquisition to continued growth in 1H23 Distribution Intelligence digital spending as a Sponsor pipeline poised to su
Slide 3: Customer Bankruptcy Situation Overview
CUSTOMER BANKRUPTCY SITUATION OVERVIEW CUSTOMER FOOTPRINT MITIGANTS STATUS UPDATE LOS ANGELES SILICON VALLEY FRANKFURT 3015 Winona 200 North Nash 2401 Walsh 2403 Walsh 1500 Space Park Wilhelm-Fay- Avenue Street Avenue Avenue Drive Strasse 24(4) Core Markets Status of Rent Payments Assets concentrate
Slide 4: Core | Sustainable | Growth
CORE | SUSTAINABLE | GROWTH Focused on Delivering Long-Term, Sustainable Value for All Stakeholders 2022 2023+ Recent Data Centre Comparable Transactions North America EMEA APAC $150 million $15+ Bn Cap Rate 8.0% Fully-Fitted Sponsor Sale of Majority Stake Joint Venture in in Northern Virginia Elk G
Slide 5: Portfolio Overview
PORTFOLIO OVERVIEW JULY 2023 | 5
Slide 6: Portfolio Highlights
PORTFOLIO HIGHLIGHTS Portfolio of 11 High-Quality, Mission-Critical Data Centres Located in Key Metros across the United States, Canada and Germany KEY PORTFOLIO METRICS PORTFOLIO PROFILE(3) 6% Northern Virginia 16% 33% Silicon Valley Metro $1.59 Bn 97% 100% 14% Diversification Frankfurt Toronto AUM
Slide 7: Customer Profile
CUSTOMER PROFILE Strategically Important Customers with Numerous Deployments across Digital Realty’s Global Platform CUSTOMER PROFILE TOP 10 CUSTOMERS (in USD thousands) Number of Annualized % of 25 Customer 1. Fortune 50 Software Company Trade Sector Hyperscale CSP Credit Rating AAA/Aaa Locations 3
Slide 8: Core Data Centre Portfolio
CORE DATA CENTRE PORTFOLIO PORTFOLIO SUMMARY (As of 30 June 2023) (i n USD thous a nds ) At Share Appraised Value (1) Portfolio Value (1) WALE (2) Net Rentable Customer Annualized Occupancy(3) Property Property Type Ownership (%) (at 100%) (at Share) (in Years) Square Feet IT Load (kW) Rent 30-Jun-2
Slide 9: Financial Overview
FINANCIAL OVERVIEW JULY 2023 | 9
Slide 10: Stable Earnings Profile
STABLE EARNINGS PROFILE CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (Unaudited) (in USD thousands, except per unit) Half Year Ended Actual 1H23 Forecast 1H23 Variance (%) Actual 1H23 Actual 1H22 Variance (%) Revenue $53,388 $53,347 0.1% $53,388 $52,819 1.1% Property Expenses (18,236) (20,091) (9.
Slide 11: Initial Scale Positioned for Substantial Growth
INITIAL SCALE POSITIONED FOR SUBSTANTIAL GROWTH CONSOLIDATED STATEMENT OF FINANCIAL POSITION (Unaudited) (in USD thousands, except per unit) As at As at Variance 30-Jun-23 31-Dec-22 % Investment Properties 1,430,757 1,423,796 0.5 Other Assets 192,156 188,768 1.8 Total Assets $1,622,913 $1,612,564 0.
Slide 12: Significant Debt Capacity and Flexibility to Grow
SIGNIFICANT DEBT CAPACITY AND FLEXIBILITY TO GROW Healthy Aggregate Leverage and Flexible Capital Structure Positioned to Fuel Growth DEBT MATURITY SCHEDULE DEBT PROFILE (in USD millions) Unsecured Term Loan Unsecured Revolver (Drawn) Unsecured Revolver (Undrawn) $550 Unsecured 3.4 YEARS Undrawn $19
Slide 13: Data Centre Market Information
DATA CENTRE MARKET INFORMATION JULY 2023 | 13
Slide 14: Northern Virginia
NORTHERN VIRGINIA KEY DEVELOPMENTS ABSORPTION AND SUPPLY Million SF mega-campuses becoming the primary form of new Absorption (MW) New Supply (MW) (1) data center development in Northern Virginia 300MW Northern Virginia’s supply of vacant data center capacity is limited and there are few options for
Slide 15: Northern California
NORTHERN CALIFORNIA KEY DEVELOPMENTS ABSORPTION AND SUPPLY (1) Providers see more commissioned power on the horizon Absorption (MW) New Supply (MW) despite challenges 44MW Northern California faces many challenges in data center development including high real estate prices and power 32MW delivery.
Slide 16: Toronto
TORONTO KEY DEVELOPMENTS ABSORPTION AND SUPPLY (1) Slower leasing after cloud groups pre-leasing future Absorption (MW) New Supply (MW) capacity 30MW In 2022, Toronto had a milestone year of absorption with just under 70 MW leased. Most of this absorption is pre- leased capacity taken by cloud hyper
Slide 17: Los Angeles
LOS ANGELES KEY DEVELOPMENTS ABSORPTION AND SUPPLY (1) Digital Realty moves to initiate development of higher- Absorption (MW) New Supply (MW) powered, larger data centers in LA 24MW Large-scale data center development has been limited in Los Angeles due to government regulations, limited land, 16MW
Slide 18: Frankfurt
FRANKFURT KEY DEVELOPMENTS ABSORPTION AND SUPPLY (1) Energy regulations create new obstacles for development Absorption (MW) New Supply (MW) and operation of data centers in Germany 150MW The short transition period for new energy regulations is a cause for concern amongst operators. All companies w
Slide 19: Appendix: Additional Information
APPENDIX ADDITIONAL INFORMATION JULY 2023 | 19
Slide 20: Important Notice
IMPORTANT NOTICE This presentation is for information purposes only and does not constitute or form part of an offer, invitation or solicitation of any offer to purchase or subscribe for any securities of Digital Core REIT in Singapore or any other jurisdiction nor should it or any part of it form t
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