Mapletree Industrial Trust · SGX:ME8U

Mapletree Industrial Trust — Q1 FY2024/25 Earnings Presentation

31 slides from Mapletree Industrial Trust's earnings presentation, Jul 25, 2024

  1. Slide 1: 1QFY24/25 Financial Results

    1QFY24/25 Financial Results 25 July 2024

  2. Slide 2: Important Notice

    Important Notice This presentation shall be read in conjunction with Mapletree Industrial Trust’s (“MIT”) financial results for First Quarter Financial Year 2024/2025 in the SGXNET announcement dated 25 July 2024. This presentation is for information only and does not constitute an offer or solicita

  3. Slide 3: Contents

    Contents 01 Key Highlights – 1 Apr 2024 to 30 Jun 2024 02 1QFY24/25 Financial Performance 03 Portfolio Update 04 Investment Update 05 Outlook and Strategy 3

  4. Slide 4: Key Highlights 1 Apr 2024 to 30 Jun 2024

    KEY HIGHLIGHTS 1 APR 2024 TO 30 JUN 2024 Data Centres, 13831 Katy Freeway, Houston

  5. Slide 5: Key Highlights

    Key Highlights  Performance primarily driven by revenue contribution from Osaka Data Centre, new leases and renewals and higher distribution declared by joint venture • 1QFY24/25 Net Property Income: S$132.5 million ( 1.3% y-o-y) • 1QFY24/25 Distribution to Unitholders: S$97.3 million ( 3.7% y-o-y)

  6. Slide 6: Sustainable and Growing Returns

    Sustainable and Growing Returns Amount Available for DPU Distribution to Unitholders (cents) (S$ million) 3.47 3.49 3.49 3.49 3.43 120 3.35 3.39 3.39 3.36 3.33 3.363.36 3.50 3.30 3.32 3.28 110 3.13 3.16 3.10 3.10 2.85 2.87 97.9 3.00 100 95.6 94.395.3 92.1 90.3 89.9 90 88.489.5 89.088.4 87.2 81.1 82.

  7. Slide 7: 1QFY24/25 Financial Performance

    1QFY24/25 FINANCIAL PERFORMANCE Hi-Tech Buildings, build-to-suit project for HP

  8. Slide 8: Comparison of 1QFY24/25 and 1QFY23/24

    Comparison of 1QFY24/25 and 1QFY23/24 1QFY24/25 1QFY23/24  Net property income increased due to Year-on-Year  / () (S$’000) (S$’000) • revenue contributions from Osaka Data Centre acquired in Sep 2023, new leases Gross revenue 175,279 170,628 2.7% and renewals; • partially offset by loss of incom

  9. Slide 9: Comparison of 1QFY24/25 and 4QFY23/24

    Comparison of 1QFY24/25 and 4QFY23/24 1QFY24/25 4QFY23/24  Net property income increased due to Quarter-on-Quarter  / () (S$’000) (S$’000) • lower property maintenance expenses from Singapore Portfolio; Gross revenue 175,279 178,700 (1.9%) • partially offset by loss of income from divestment of T

  10. Slide 10: Statement of Financial Position

    Statement of Financial Position 30 Jun 2024 31 Mar 2024  / () Total assets (S$’000) 8,763,590 8,664,366 1.1% Total liabilities (S$’000) 3,486,414 3,375,634 3.3% Net assets attributable to Unitholders 4,975,489 4,984,582 (0.2%) (S$’000) Net asset value per Unit (S$)1 1.75 1.76 (0.6%) 1 Net tangible

  11. Slide 11: Strong Balance Sheet

    Strong Balance Sheet 30 Jun 2024 31 Mar 2024 DEBT CURRENCY PROFILE As at 30 June 2024 Total debt S$3,062.0 million S$2,984.4 million 13.8% Weighted average 3.6 years 3.8 years tenor of debt Aggregate leverage 39.1% 38.7% ratio1 21.7% Strong balance sheet to pursue growth opportunities 64.5%  ‘BBB+’

  12. Slide 12: Well Diversified Debt Maturity Profile

    Well Diversified Debt Maturity Profile1 As at 30 June 2024 25% 22% 51 18% 17% 192 112 858 606 8% 542 399 6% 280 2% 2% 203 125 86 60 50 ∕∕ ∕∕ 56 ∕∕ FY24/25 FY25/26 FY26/27 FY27/28 FY28/29 FY30/31 FY35/36 FY38/39 MTN Bank Loans 50% Share of JV Bank Loans Amounts in S$ million 1 Includes proportionate

  13. Slide 13: Risk Management

    Risk Management 30 Jun 2024 31 Mar 2024 Fixed as a % of total debt 82.1% 84.6% Weighted average hedge tenor 3.6 years 3.7 years Average borrowing cost for the 3.2% 3.1% quarter Interest coverage ratio (“ICR”) 4.7 times 4.6 times for the trailing 12 months1 Adjusted ICR for the trailing 12 4.3 times

  14. Slide 14: Portfolio Update

    PORTFOLIO UPDATE Hi-Tech Buildings, Mapletree Hi-Tech Park @ Kallang Way

  15. Slide 15: 140 Properties Across 6 Property Segments

    140 Properties Across 6 Property Segments S$9.0 billion1 24.8 million2 >2,000 tenants AUM NLA (sq ft) Tenant Base Light Industrial Buildings Data Centres: 55.2% 0.7% North America: 46.9% Japan: 5.1% Stack-up/Ramp-up Buildings 5.8% Singapore: 3.2% Flatted Factories 15.5% Flatted Factories Data Cen

  16. Slide 16: Portfolio Growth since IPO

    Portfolio Growth since IPO FY23/24 3 Asset Enhancement FY21/22 FY22/23 S$8.8b S$8.9b S$8.8b Initiatives (“AEI”) 5 Build-to-Suit (“BTS”) Projects FY20/21 S$6.8b 10 Acquisitions FY19/20 S$5.9b FY18/19 Acquisition Acquisition S$4.8b FY17/18 29 US DCs DC in US$1.32b Japan 4 FY16/17 S$4.3b JPY52b FY14/15

  17. Slide 17: Portfolio Overview

    Portfolio Overview Singapore North American Osaka Overall Portfolio Portfolio Data Centre Portfolio Number of properties 83 56 1 140 NLA (million sq ft) 16.4 8.31 0.1 24.81 Occupancy (%) 1QFY24/25 93.6 87.8 100.0 91.92 4QFY23/24 93.6 86.2 100.0 91.42 SEGMENTAL OCCUPANCY RATES1 2 2 98.5% 98.0% 96.4%

  18. Slide 18: Lease Expiry Profile

    Lease Expiry Profile EXPIRING LEASES BY GROSS RENTAL INCOME1 As at 30 June 2024 WALE based on date of commencement of leases (years)2 North American Portfolio 6.1 Singapore Portfolio 2.9 Osaka Data Centre 18.4 Overall Portfolio1 4.6 30.5% 17.3% 17.3% 17.4% 11.4% 6.1% FY24/25 FY25/26 FY26/27 FY27/28

  19. Slide 19: Large and Diversified Tenant Base

    Large and Diversified Tenant Base TOP 10 TENANTS BY GROSS RENTAL INCOME1 As at 30 June 2024  Over 2,000 tenants 5.9%  Largest tenant contributes 5.9% of Portfolio’s Gross Rental Income 5.2%  Top 10 tenants forms about 30.4% of Portfolio’s Gross Rental Income 3.7% 3.0% 3.0% 2.4% 2.3% 1.8% 1.7% 1.4

  20. Slide 20: Tenant Diversification Across Trade Sectors

    Tenant Diversification Across Trade Sectors1 No single trade sector accounted >17% of Portfolio’s Gross Rental Income By Gross Rental Income As of 30 Jun 2024 1 Based on MIT’s 50% interest of the joint venture with MIPL in three fitted data centres and 10 powered shell data centres in North America

  21. Slide 21: Singapore Portfolio Performance

    Singapore Portfolio Performance Occupancy Gross Rental Rate S$ psf/mth 100% $2.50 93.7% 93.4% 93.8% 93.6% 93.6% 90% $2.26 80% $2.21 $2.22 $2.18 $2.19 70% $2.00 60% 50% 40% $1.50 30% 20% 10% 0% $1.00 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q FY19/20 FY20/21 FY21/22 FY22/23 FY23/2

  22. Slide 22: Rental Revisions (Singapore)

    Rental Revisions (Singapore) GROSS RENTAL RATE (S$ PSF/MTH)1 For Period 1QFY24/25 Before Renewal $4.18 After Renewal $4.02 $3.87 $3.67 $3.77 New Leases $3.47 $3.73 Passing Rent $3.34 $1.92 $1.98 $1.71 $1.40 $1.51 $1.45 $1.84 $1.58 $1.38 Hi-Tech Buildings Business Park Buildings Flatted Factories Sta

  23. Slide 23: Healthy Tenant Retention (Singapore)

    Healthy Tenant Retention (Singapore) LONG STAYING TENANTS RETENTION RATE FOR 1QFY24/25 Up to 1 yr 5.8% >1 to 2 yrs 100.0% >10 yrs 6.3% 45.6% 84.3% > 2 to 3 yrs 70.7% 9.3% 64.6% 4 yrs or less More than 27.4% 4 yrs 37.0% >3 to 4 yrs 72.6% 6.0% 15.9% >4 to 5 yrs 5.3% N.A. Data Hi-Tech Business Flatted

  24. Slide 24: Sustainability Highlights

    Sustainability Highlights Environment 22.6% and 26.1% reduction in 3,492 kWp total solar 4 recertifications of 1.8 million kWh annual average building electricity generating capacity BCA Green Mark Gold energy savings from LED intensity and Scope 2 greenhouse installed across 10 Awards lighting upgr

  25. Slide 25: Investment Update

    INVESTMENT UPDATE Data Centres, 44490 Chilum Place, Ashburn

  26. Slide 26: Completed Phase 3 of Fit Out Works for Osaka Data Centre

    Completed Phase 3 of Fit Out Works for Osaka Data Centre Completed Phase 3 of fit out works for Osaka Data Centre on 25 Jun 2024 Description for JPY5.2 billion1 Purchase Consideration1 High-quality, multi-storey fully- Japan fitted Data Centre in downtown 3rd largest data centre market in APAC4 JPY5

  27. Slide 27: Outlook and Strategy

    OUTLOOK AND Data Centres, 2601 West Broadway Road, Tempe STRATEGY

  28. Slide 28: Outlook

    Outlook Challenging operating environment in view of global uncertainties  Global growth is projected at 2.6% in 2024, holding steady for the first time in three years despite geopolitical tensions and high interest rates1. Numerous risks such as geopolitical tensions, trade fragmentation and persi

  29. Slide 29: Outlook

    Outlook North America • According to CBRE4, data centre fundamentals in North America remain strong, with record tenant demand, historically low supply and continued rental growth. • Despite power supply issues, data centre inventory in major markets in North America grew by 24.4% y-o-y in 1Q20245.

  30. Slide 30: Diversified and Resilient

    Diversified and Resilient  Anchored by large and diversified tenant base with low dependence Stable and on any single tenant or trade sector Resilient Portfolio  Focus on tenant retention to maintain a stable portfolio occupancy Enhanced  Hedged borrowings of 82.1% and weighted average hedge teno

  31. Slide 31: End of Presentation

    End of Presentation For enquiries, please contact Ms Melissa Tan, Director, Investor Relations and Sustainability, DID: (65) 6377 6113, Email: melissa.tanhl@mapletree.com.sg

Mapletree Industrial Trust — Q1 FY2024/25 Earnings Presentation on 6ix