Swiss Prime Site Ag · SIX:SPSN
Swiss Prime Site — FY2024 Earnings Presentation
46 slides from Swiss Prime Site's earnings presentation, Feb 6, 2025
Slide 1: Annual Results 2024
ANNUAL ANNUALRESULTS RESULTS2024 2024 The four completed new builds at Stücki Park, Basel, dubbed «fingers» for their attachment to the existing ZURICH, 6 FEBRUARY 2025 structure, offer attractive ZURICH, 6 FEBRUARY 2025 spaces for life sciences companies. The four completed new builds at Stücki Par
Slide 2: Agenda
Agenda 1. KEY MESSAGES 2. FINANCE 3. REAL ESTATE 4. ASSET MANAGEMENT 5. OUTLOOK Annual Results 2024 2
Slide 3: 25 years Swiss Prime Site
KEY MESSAGES 25 years Swiss Prime Site Incorporation as a Diversification of business model Inception Focus on the core real estate company with addtional services Asset Management Sales of Tertianum (2020) / Wincasa (2023) Closure Jelmoli (2025) 13.3 7.7 8.4 5.9 3.0 2.2 1.6 1.4 1.1 0.5 12.3 12.8 13
Slide 4: Successful strategy transformation
KEY MESSAGES Successful strategy transformation Swiss Prime Site has evolved to a pure play real estate company. More agile, growing faster and more profitable 2019 2024 P r o-for ma ex Jelmol i 0% 13% 34% Earnings profile 45% 87% 10% 10% 1% Rental Income & Development Asset Management Property Reta
Slide 5: Momentum in the transaction market, higher valuation through lettings
KEY MESSAGES Momentum in the transaction market, higher valuation through lettings Transactions Lettings Valuations ▪ High level of activity, trending upwards, ▪ Continued strong demand for high-quality, ▪ Discount rates remain unchanged on especially in H2 due to falling interest rates flexible com
Slide 6: Overview 2024 financial year (1/2)
KEY MESSAGES Overview 2024 financial year (1/2) Strategic Development Portfolio & Sustainability ▪ Clear real estate strategy with focus on Swiss real estate ▪ Value of property portfolio at CHF 13.1 billion (unchanged) market – prime commercial in portfolio and residential in Asset despite sales, r
Slide 7: Overview 2024 financial year (2/2)
KEY MESSAGES Overview 2024 financial year (2/2) Operating Performance Financing & Capital ▪ Significant increase in rental income of 5.7% (LfL 3.3%) to ▪ LTV at 38.3% (39.8% in 2023), in particular due to profitable record high of CHF 464 million sales ▪ Vacancy at 3.8% down 0.2%-pts year on year ▪
Slide 8: Key figures – 2024 financial year
KEY MESSAGES Key figures – 2024 financial year Absolute Per share RENTAL INCOME AUM EBITDA¹ PROFIT¹ FFO I FFO II 2 REAL ESTA TE A SSE T M A NA GE MENT in CHF million in CHF million in CHF in CHF in CHF million in CHF billion 463.5 13.3 415.1 438.3 313.5 389.7 308.0 4.05 4.22 4.01 3.93 8.4 FY 2023 FY
Slide 9: We create living spaces
WE CREATE LIVING WE CREATE LIVING SPACES SPACES
Slide 10: Agenda
Agenda 1. KEY MESSAGES 2. FINANCE 3. REAL ESTATE 4. ASSET MANAGEMENT 5. OUTLOOK Annual Results 2024 10
Slide 11: Income: record rental yield despite sales
FINANCE Income: record rental yield despite sales Consolidated operating income in CHF million FY 2023 FY 2024 ∆ y-o-y ▪ Increase in rental income of CHF 25.2 million to record high despite sales under capital recycling (effect: CHF 10 million in Rental Income 438.3 463.5 +5.7% rent); main drivers h
Slide 12: Portfolio and operational optimisation reduce cost ratio
FINANCE Portfolio and operational optimisation reduce cost ratio Consolidated operating expenses in CHF million FY 2023 FY 2024 ∆ y-o-y ▪ Increase in real estate costs (+2.3%) associated with significantly higher rental income (+5.7%), higher profitability through Real estate costs -64.6 -66.1 +2.3%
Slide 13: Further growth in operating profit
FINANCE Further growth in operating profit Group profitability in CHF million FY 2023 FY 2024 ∆ y-o-y ▪ Revaluations of CHF +113.7 million (+0.9% of the portfolio of CHF 13.1 billion) across the portfolio Total operating income 658.6 663.4 − Revaluation gain mainly due to improved new lettings and R
Slide 14: Operating profit driving FFO growth
FINANCE Operating profit driving FFO growth Funds from operations I (FFO I)¹ Intrinsic value per share in CHF per shar e in CHF FFO I bridge in CHF million FY 2023 FY 2024 ∆ y-o-y 4.22 Adjusted EBITDA 389.7 415.1 +6.5% 101.52 103.10 (excl. revaluations & sales) 4.05 Cash effective interest expenses
Slide 15: Real Estate: pipeline realisation boosts rental income
FINANCE Real Estate: pipeline realisation boosts rental income Rental Income Bridge¹ EPRA like-for-like (LfL) growth in CHF million Completion New builds 482.8 3.3% 0.4% Vacancy reduction / Other 16.4 Acquisitions Re- 1.5% Indexations Capital developments 456.8 Recycling Δ Existing 6.5 properties 6.
Slide 16: Asset Management: earnings growth with Fundamenta and transactions
ASSET MANAGEMENT Asset Management: earnings growth with Fundamenta and transactions Asset Management performance in CHF million FY 2023 FY 2024 ∆ y-o-y Management fees 23.6 33.8 +43% ▪ 2024 including Fundamenta (pro rata for 9 months) 14.8 19.2 +30% ▪ Increase in recurring management fees with the l
Slide 17: Stable asset base despite sales
FINANCE Stable asset base despite sales Property portfolio growth (fair value) ▪ Total of 139 properties (2023: 159) in CHF million − Increased efficiency through portfolio consolidation (portfolio clusters, larger individual buildings) Valuation Effects from − Sales to finance development pipeline;
Slide 18: Broad financing base, LTV at 38%
FINANCE Broad financing base, LTV at 38% Financing parameters A3 Rating – Moody’s in CHF million stable 2023 2024 Consolidated financing structure Investment properties 13 075 13 053 88% unsecured of which unencumbered 86% 87% Financial liabilities Secured 5 304 5 025 Unsecured (Real Estate segment)
Slide 19: Continuous rollover of maturities, high liquidity reserve
FINANCE Continuous rollover of maturities, high liquidity reserve Liquidity Debt maturity profile Cash and cash Nominal values in CHF million as at 31 Dec. 2024 equiva l en t s and Each credit line successfully extended by committ e d cr edit lines in CHF million one year 1 480 In the course of 2024
Slide 20: We create living spaces
WE WECREATE CREATELIVING LIVING WESPACES CREATE LIVING SPACES SPACES
Slide 21: Agenda
Agenda 1. KEY MESSAGES 2. FINANCE 3. REAL ESTATE 4. ASSET MANAGEMENT 5. OUTLOOK Annual Results 2024 21
Slide 22: Portfolio focus on business centres and larger properties
PORTFOLIO Portfolio focus on business centres and larger properties 13% Northwestern 55% Zurich and Central Switzerland Switzerland 9% CHF 13.1 bn Berne Property portfolio ( FY 2023: CHF 13.1 bn) 20% Lake Geneva 139 Number of properties ( FY 2023: 159) 1.6 million m 2 Rental space ( FY 2023: 1.7 mil
Slide 23: Focus on offices and broad tenant diversification in services segment
PORTFOLIO Focus on offices and broad tenant diversification in services segment Portfolio split by type of use¹ Diversification of tenants as at 31.12.2 0 24 as at 31.12.2 0 24 Other 100% Total approx. 2 000 tenants Parking Residential 1% 3% 5% Assisted living 6% Office 45% Hotel / gastronomy 52% 7%
Slide 24: Active portfolio management consistently pursued
PORTFOLIO Active portfolio management consistently pursued Portfolio market matrix New/repositioned properties Wüest Par tner as of 01.01. 2 0 2 5 typical l y in quadr an t I high › Paradiso-Lugano, assisted living (development) <1% 86% (2% in previous year) (84%) › Zurich-Schlieren, JED new build,
Slide 25: Successful extensions and new rental contracts
PORTFOLIO Successful extensions and new rental contracts Vacancy rate › Major new tenants in % › Major contract extensions 6.7% 6.4% 6.1% 5.5% 5.2% 5.4% 5.1% 4.7% 4.8% 4.7% 4.7% 4.7% 4.6% 4.4% 4.3% 3.8% 4.1% 4.0% 1.2% Strategic for developments 2.6% Operational 2015 2016 2017 2018 2019 2020 2021 202
Slide 26: Long-term contracts, new lettings with high reversionary potential
PORTFOLIO Long-term contracts, new lettings with high reversionary potential Lease expiry of rental contracts per Febr uar y 2025 14% 14% 11% 10% 9% 8% 8% 7% 7% 6% 5% 1% <1 year >1 >2 >3 >4 >5 >6 >7 >8 >9 >10 Open-ended Note: Expiries taking into account agreed extensions; does not include leases th
Slide 27: Successful continuation of our capital recycling strategy
PIPELINE Successful continuation of our capital recycling strategy 1 2 3 Funding pipeline Optimising mix¹ Enhancing of location & sustainability Sales in CHF m 2020 2021 2022 2023 2024 Office − Non-core Sales 126 Retail Office − Low 230 259 Retail BREEAM rating 317 345 CHF 1.3 billion Logistics/Infr
Slide 28: Developments offering considerable planning flexibility
PIPELINE Developments offering considerable planning flexibility Project pipeline ¹ › Pipeline: in CHF billion − High densification potential and reserves of usable space within existing portfolio by by status flexibility › Projects under construction: − Construction under way or imminent; new proje
Slide 29: Projects completed and projects under construction/with start in 2025
PIPELINE Projects completed and projects under construction/with start in 2025 First tenants moved in JED Neubau BERN 131 Destination Jelmoli YOND Campus Zurich-Schlieren Bern Zurich Zurich Ongoing tenant fit-out To schedule Start in Q2 2025 Start in H1 2025 Construction status Pre-letting rate 100%
Slide 30: Selection of planned projects – central locations with attractive use
PIPELINE Selection of planned projects – central locations with attractive use Vulkanstrasse 126 Grand Passage Steinenvorstadt Maaglive Zurich Geneva Basel Zurich Legally valid Building regulations Standard Standard Standard district plan Construction Building permit Architectural Building permit La
Slide 31: Snapshot: Destination Jelmoli Zurich
PIPELINE Snapshot: Destination Jelmoli Zurich Construction project and concept ∙ Iconic Jelmoli building will be re-developed into a mixed-use building complex ∙ Two original atriums will be reactivated, and the rooftop terrace will be redesigned for public use ∙ Rental space of 34 000 m², split int
Slide 32: Continuous progress in our sustainability strategy
SUSTAINABILITY Continuous progress in our sustainability strategy 1 2 3 4 Certification strategy Climate neutrality 2040 Circular economy Green Finance Framework 97% -13% emissions Milestone project 435 million certifiable area¹ vs previous year JED new build, Schlieren CHF 2023: 94% Reduction of pr
Slide 33: Reduction pathway outperforms target – 2040 net zero goal
SUSTAINABILITY Reduction pathway outperforms target – 2040 net zero goal CO 2 -Reduction path 1 Major initiatives in k g CO 2 / m 2 ▪ Heating replacement 20 ▪ Improvement of energy mix Roadmap: kg CO2 / m² (e.g. higher proportion of biogas and better district heating mix) 18 Actual: kg CO2 / m² ▪ Mo
Slide 34: We create living spaces
WE CREATE LIVING WE CREATE SPACES LIVING SPACES
Slide 35: Agenda
Agenda 1. KEY MESSAGES 2. FINANCE 3. REAL ESTATE 4. ASSET MANAGEMENT 5. OUTLOOK Annual Results 2024 35
Slide 36: AuM development and New Money
ASSET MANAGEMENT AuM development and New Money Strong market momentum with numerous capital raises by Swiss Prime Site Solutions Assets under management Capital development¹ in CHF billion in CHF million – without leverage – 13.3 New Money Contributions in kind 595 612 50 508 8.4 7.7 241 5.9 562 508
Slide 37: Earnings and cost development
ASSET MANAGEMENT Earnings and cost development Strong and solid earnings performance with increasing economies of scale and cost advantages Earnings development Cost development in CHF million in CHF million Costs ² Cost ratio 80 80 70.8 53.8% 70 70 41.2% 42.4% 40.7% 60 17.8 60 52.0 49.7 50 50 19.6
Slide 38: Growth especially in residential products
ASSET MANAGEMENT Growth especially in residential products Fund Management Asset Management Real Estate Advisory – Discretionary – – Fiduciary – +1.0 +2.4 +1.5 vs. FY 2023 vs. FY 2023 vs. FY 2023 CHF 4.2 bn AuM CHF 6.4 bn AuM CHF 2.7 bn AuM Regulated collective investment products Real estate invest
Slide 39: Complementary focus on residential and smaller properties
ASSET MANAGEMENT Complementary focus on residential and smaller properties Total Fund Management Asset Management Real Estate Advisory – Discretionary – – Fiduciary – AuM 13.3 4.2 6.4 2.7 (CHF bn) Rental income 449 158 225 66 (CHF million p.a., per 31.12.2024) 7% Residential 8% Residential 10% Resid
Slide 40: Investment product benchmarking
ASSET MANAGEMENT Investment product benchmarking Investment products with attractive performance compared to the competition; conservative investor base with a focus on minim ising risk Performance of investment products in 2023 1 Fund performance in 2023 1 Legend Focus on residential (peer group KG
Slide 41: We create living spaces
WE CREATE LIVING SPACES
Slide 42: Agenda
Agenda 1. KEY MESSAGES 2. FINANCE 3. REAL ESTATE 4. ASSET MANAGEMENT 5. OUTLOOK Annual Results 2024 42
Slide 43: Guidance 2025: further profitable growth
OUTLOOK Guidance 2025: further profitable growth Financial targets FFO I CHF 4.10–4.15 LTV < 39% per share Real Estate Operational targets Vacancy < 3.8% AuM >14 bn Asset Management Annual Results 2024 43
Slide 44: Q&A
Q&A
Slide 45: Analyst and investor contact
Analyst and investor contact Media contact Florian Hauber Patrick Djizmedjian Head Treasury and Investor Relations Head Corporate Communications Business: +41 58 317 17 64 Business: +41 58 317 17 42 Mobile: +41 78 600 81 40 Mobile: +41 79 642 88 60 florian.hauber@sps.swiss patrick.djizmedjian@sps.sw
Slide 46: Disclaimer
Disclaimer Details published in this presentation are for information purposes only and should not form the basis for any investment decisions or recommendations to purchase Swiss Prime Site AG securities. The content of this presentation was diligently researched and compiled. However, Swiss Prime