Aedas Homes Sa · BME:AEDAS
Aedas Homes Sa — FY2020-21 Earnings Presentation
38 slides from Aedas Homes Sa's earnings presentation, May 10, 2021
Slide 1: FY 2020-21 Results Presentation
FY 2020-21 Results Presentation 1 April 2020 – 31 March 2021 10 May 2021
Slide 2: Disclaimer
Disclaimer By attending this presentation and/or by accepting this presentation you will be taken to have represented, warranted and undertaken that you have read and agree to comply with the contents of this disclaimer. This presentation (the “Presentation”) has been prepared by AEDAS Homes, S.A. (
Slide 3: 01 Highlights
Eliza Alicante 01 Highlights
Slide 4: Overview
Overview I 1,963 units delivered in 2020-21, beating business plan target despite a difficult context II €133m in EBITDA (19.8% margin) and €85m net income, significantly above market consensus III Attractive shareholder remuneration: €1.40 per share (40% higher than initially announced) and amortis
Slide 5: Executive Summary FY 2020-21
Executive Summary FY 2020-21 • BTS sales in March and April 2021 now at run-rate levels (3,000 annually) Sales • 3,428 units in Order Book, valued at €1bn, 63% in private contract • Upward sales trend continued in April (274 net sales) • 4,586 units under construction, 827 completed (of which 350 al
Slide 6: 02 Business update
Bremond Son Moix Palma de Mallorca 02 Business update
Slide 7: BTS: Sales and Operating Activity
BTS: Sales and Operating Activity BTS Sales BTS Construction and Operations • 1,537 net BTS sales in 2020-21 • Company requested 1,862 building permits and • 253 net sales in March 2021, now at monthly was granted 1,943 in 2020-21 sales threshold to meet 3,000 units/year • Broke ground on 2,002 BTS
Slide 8: BTS: Absorption rates 2020-21
BTS: Absorption rates 2020-21 BTS Quarterly Absorption Rates (Net units sold / Stock of units in the market) 19,1% 13,3% 11,8% 4,5% Apr-Jun 2020 Jul-Sep 2020 Oct-Dec 2020 Jan-Mar 2021 BTS demand shot up in Q4 2020-21 AEDAS Homes Results 2020-21 8
Slide 9: BTR: Sales and Operating Activity
BTR: Sales and Operating Activity BTR Sales activity BTR Construction and Operations • 943 BTR units sold in Q4 2020-21 • Broke ground on 597 BTR units (5 • AEDAS will continue to maintain an projects) in 2020-21, including 184 opportunistic approach to BTR units in March 2021 Expected Schedule
Slide 10: Activity update (BTS+BTR)
Activity update (BTS+BTR) As of 31 March 2021 Launches Sales Under construction as of March 2021 Scheduled to break ground in Q1 2021-22 Completed Launches1 Sales1 Construction1 30% 13% 3% 100% 100% 72% 70% 75% 40% 12% 24% 13% 14% 2021-22 2022-23 2023-24 2021-22 2022-23 2023-24 2021-22 2022-23 2023-
Slide 11: 03 Investment and Landbank Valuation
Cook L'Hospitalet de Llobregat Barcelona 03 Investment and Landbank Valuation
Slide 12: Landbank: 15,484 units
Landbank: 15,484 units The AEDAS Homes Catalonia 12% Barcelona – 1,497 units landbank has an implicit Tarragona - 221 units net development margin Zaragoza - 198 units above 20%. Centre 30% Madrid – 4,034 units Valladolid - 270 units Navarra (Pamplona) - 200 units Pontevedra (Vigo) - 105 units East
Slide 13: Acquired land for 1,945 additional units in 2020-21
Acquired land for 1,945 additional units in 2020-21 AEDAS Homes continued replenishing its landbank in 2020-21, acquiring land for REGION QUARTER UNITS 1,945 additional units Centre Q1 40 • The company closed a total of 24 land acquisition Centre Q2 252 transactions, including 14 (1,167 units) in Q4
Slide 14: NAV: €33.68 per share as of end of March 2021
NAV: €33.68 per share1 as of end of March 2021 GAV NAV per share1 €2,158m €1,962m +10% -11% €1,907m €34.78 -3% €33.73 -0.1% €33.68 Dec 2019 Sep 2020 Mar 2021 Dec 2019 Sep 2020 Mar 2021 • GAV is 11% lower than in September 2020 due to the volume of homes delivered to customers in H2 2020-21 (1,792 ou
Slide 15: 04 Financial Results 2020-21
Etheria (Offsite development) El Cañaveral Madrid 04 Financial Results 2020-21
Slide 16: P&L FY 2020-21 (1 April 2020 – 31 March 2021)
P&L FY 2020-21 (1 April 2020 – 31 March 2021) Change Change (€m) 2020-21 2019-20 (€m) (%) €133m EBITDA, well above market REVENUE 671.9 367.5 304.4 82% consensus. Increase in operating Cost of goods sold (483.0) (249.7) (233.2) 93% leverage is reflected in a 166 bps GROSS MARGIN 189.0 117.8 71.3 60%
Slide 17: Balance Sheet Summary as of 31 March 2021
Balance Sheet Summary as of 31 March 2021 31 March 31 March Change Comments 2021 2020 Inventories €51m • Land €1,395m €1,344m Significant number of completed €582m €617m €-35m units, in line with continuous • Works in progress increase in deliveries in Business • Completed €581m €627m €-46m Plan pro
Slide 18: Cash Flow FY 2020-21
Cash Flow FY 2020-21 31 March 2021 (€m) 31 March 2021 Adjustments (adjusted) EBITDA 133.2 - 133.2 (-) Other adjustments to profit (22.5) - (22.5) (+/-) Change in Working Capital (exc. land acquisition) (88.4) 132.8 44.4 (+/-) Change in inventories 42.4 - 42.4 (+) Book Value Sold 479.4 - 479.4 (-) Co
Slide 19: Evolution of net financial debt
Evolution of net financial debt (€m) 31 March 2021 31 March 2020 Change (A) Secured debt 169,4 139,1 30.3 (B) Corporate debt 182,9 211,7 (28.8) Syndicated facility 100,0 150,0 (50.0) Commercial paper programme (MARF-listed) 56,7 62,1 (5.4) Other corporate debt 31,5 4,3 27.2 Amortised cost-IFRS -5,3
Slide 20: Financial leverage
Financial leverage 31 March 2021 31 March 2020 LTC1 16.4% 19.7% LTV2 12.0% 13.2% Net financial debt / EBITDA (LTM) 1.7x 4.0x Average cost of debt 2.83% 2.87% Interest coverage 9.4x 5.4x • The significant reduction in debt, along with the tremendous improvement in results, translates into a significa
Slide 21: 05 ESG
05 ESG
Slide 22: New ESG Strategic Plan 2021-2023
New ESG Strategic Plan 2021-2023 VISION LEVERS COMMITMENTS FOR 2030 Over 75% of our stakeholders will consider AEDAS Homes to be the By 2030 AEDAS Homes Differentiating business benchmark ESG developer in Spain. will lead the residential development sector in Spain in ESG through its We will neutral
Slide 23: Strategic ESG Plan: Areas of Focus
Strategic ESG Plan: Areas of Focus ESG Dimension Areas of Focus Actions Aligned with SDGs1 ESG corporate governance and value generation 4 actions Corporate Governance Transparency and brand 4 actions Climate change 1 action Environment Healthy and sustainable residential developments 5 actions Eco-
Slide 24: Highlights of the ESG Strategic Plan (by 2023)
Highlights of the ESG Strategic Plan (by 2023) • Carry out Life Cycle Assessment on 100% of developments • 60%+ of developments will achieve an “A” energy rating • 100% of developments will be certified by AEDAS Homes “Green Book” or another recognised external certification • By 2023 at least 25% o
Slide 25: 06 Outlook and Announcements
Merian (built offsite) Torrejón de Ardoz Madrid 06 Outlook and Announcements
Slide 26: Outlook
Outlook 1 Steadily improving context and undersupply of new-build homes in areas of demand driving sharp increase in monthly BTS sales 2 Sustained investor interest in turnkey BTR projects, allowing AEDAS Homes to maintain its opportunistic strategy while protecting margins 3 AEDAS Homes planning to
Slide 27: Shareholder Remuneration
Shareholder Remuneration Proposals to the AGM in June 2021 • The Board of Directors proposes to the AGM the distribution of €1.40 per share as a dividend payable out of 2020-21 results. This is 40% higher than what was initially announced, thanks to the strong business performance in 2020-21. • This
Slide 28: Corporate Calendar
Corporate Calendar 18 June Annual General Meeting 2021 Save the date 29 June Trading Update 2021 “Virtual Trading Update” 1-5 July Dividend Distribution 2021 Tuesday, 29 June 2021 11:00-13:00 CET 22 July Q1 2021-22 Results 2021 24 November H1 2021-22 Results 2021 9 February 9M 2021-22 Results 2022 A
Slide 29: 07 Appendix
Orpi El Masnou, Barcelona 07 Appendix
Slide 30: P&L: 1 April 2020 - 31 March 2021
P&L: 1 April 2020 - 31 March 2021 (€m) 2020-21 2019-20 Change Change (Apr-Mar) (Apr-Mar) (€m) (%) Revenue from the sale of housing units 667.6 351.5 316.1 90% Revenue from land sales 4.3 15.9 (11.6) - REVENUE 671.9 367.5 304.4 82% Cost of goods sold (482.9) (249.7) (233.2) 93% GROSS MARGIN 189.0 117
Slide 31: Balance sheet
Balance sheet (€m) March 2021 March 2020 Change (€m) Change(%) Other assets 19.0 15.2 3.7 24% Deferred tax assets 13.8 23.0 (9.2) (40%) NON-CURRENT ASSETS 32.8 38.3 (5.5) (14%) Inventories 1,394.5 1,343.9 50.6 4% Trade and Other Receivables 46.1 39.6 6.5 16% Other Current Assets 27.5 27.1 0.4 1% Ava
Slide 32: Cash Flow
Cash Flow 2020-21 (€m) (April-March) Group profit before tax 113.5 Adjustments for finance income/costs 14.2 Net finance cost 27.1 Borrowing costs capitalized in inventories (12.5) Change in fair value of financial instruments and exchange differences (0.4) Share of profit/(loss) of associates 0.4 A
Slide 33: 6,693 units on the market
6,693 units on the market1 As of 31 March 2021 3,031 units3 3,210 units 6,693 200 units2 units 2,635 units 2,265 units 1,772 units 2017 2018 2019 2020 2020-21 Accumulated On the market deliveries as of 31 March 2021 (1) A project is considered to be on the market when marketing kicks off. (2) 2020 r
Slide 34: Order Book: 3,428 units (€990m)
Order Book: 3,428 units (€990m) As of 31 March 2021 655 BTR units sold €692m €1,101m to Lar/Primonial and 2,480 units 3,210 units 288 BTR units sold €279K/unit €343K/unit to Lazora. (Total: 943 units for €165m, €175k/unit) €109m €532m 340 units €990m 1,663 units €321K/unit €320K/unit 3,428 units €28
Slide 35: Construction Starts and Building Permits
Construction Starts and Building Permits As of 31 March 2021 Units under construction (BTR+BTS) Scheduled to break ground ≈ 800 units 2,599 units 2,640 units In Q1 2021-22 4,627 units 4,586 units As of 31 March 2020 Construction starts 2020-21 Completed units Under construction as of 31 March 2021 B
Slide 36: Regional Breakdown
Regional Breakdown As of 31 March 2021 On the Market Order Book Permits granted 2020-21 Andalusia Andalusia 301 units 980 units Centre Centre Andalusia 9% 15% 1,298 units 562 units Centre 2,031 units Catalonia 38% 25% 658 units 30% 660 units 29% 19% Catalonia 1,281 units 6,693 units 3,428 units 19%
Slide 37: Active Units Breakdown and Permit Request Status
Active Units Breakdown and Permit Request Status As of 31 March 2021 Active units1 Permit Request Status Completed Design phase product <4 months2 2,716 units 827 units 831 units >12 months3 28% 8% 37% 707 units 31% 9,746 2,265 active units units Marketing 1,617 units 17% Under construction 5-8 mont
Slide 38: Tovar Mairena de Aljarafe Seville
Tovar Mairena de Aljarafe Seville