Emaar, The Economic City · TADAWUL:4220
Emaar, The Economic City — Q2 2016 Earnings Presentation
32 slides from Emaar, The Economic City's earnings presentation, 2016
Slide 1: EEC Q2 Investor Presentation
EEC Q2 Investor Presentation
Slide 2: Disclaimer
DISCLAIMER • This presentation (Presentation) has been prepared by Emaar the Economic City (EEC) and/or its subsidiaries based on information available to it internally and third party sources. This Presentation does not purport to contain all the information that a prospective investor may require
Slide 3: Our Vision: A New Global Hub
Our Vision A New Global Hub Establish King Abdullah Economic City (KAEC) as a strong enabler of socio-economic development in the Kingdom of Saudi Arabia.
Slide 4: KAEC Master Plan
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Slide 5: KAEC Master Plan: Project Overview
Project Overview KAEC is a greenfield city development roughly the size of Washington DC. Its objective is to help with Saudi Arabia’s Acute housing demand and support economic diversification. KAEC’s Strategic location on the Red Sea puts it close to international maritime routes and provides insta
Slide 6: KAEC Business Model
CITY DRIVERS • Port • Industrial Valley • Haramain Station Economic Funding • Bonded Zone Impact • Land Bridge Sources • Babson College Realization of CITY DEVELOPMENT Economic city vision Shareholders & ECONOMIC GROWTH Job Creation INFRA-STRUCTURE HOUSING NEEDS Equity • Roads Network • Jobs Creatio
Slide 7: KAEC Developments
KAEC Developments
Slide 8: Nie #8 a8!
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Slide 9: Prince Mohammad Bin Salman College
Holl als ULloLu ty 2020 loc II dalyg djl Prince Mohammad Bin Salman College Business & Entrepreneurship
Slide 10: Family Medical Center
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Slide 11: Juman Park
Slide 12: The World Academy
Slide 13: Haramain Station: Current and On Completion
Curren t On Completion
Slide 14: Saudi Railways Organization station
Slide 15: King Abdullah Port
Current On Completion King Abdullah Port
Slide 16: KAEC Financials and Segment Breakdown
KAEC Financials and Segment Breakdown
Slide 17: EEC's Financial Growth
(SARS M) Net Income of 79.6.2 M SAR for Q2 2016 Q2 2015 Q3 2015 Q 4 2015 Q1 2016 Q2 2016 169 236 230 386 147 132 132 85 99.8 176 158 79.6 50 52 52 8.1 Revenue Gross Profit -31 -31 Net Income % Breakdown of EEC’s Presales and Revenue Segment Breakdown YTD Revenue YTD Financial Presales Revenue RD 49%
Slide 18: EEC's Segment Breakdown
Residential Financial Industrial Valley Commercial Development 158 Revenue 117 28 72.9 EEC’s GP Segment 104 -10 Breakdown 47 YTD JUNE EBITDA 94.7 2016 60 -15.9 Net Profit 195 -18.1
Slide 19: Sales Breakdown PJTD vs. YTD
Total Area (M2 ‘000) Number of Units (Full Value) PJTD YTD PJTD YTD 4,245 22,516 2,730 11,609 1,466 8,711 1761 35 363 227 39 55 113 - 208 20 48 2 2 Vertical Land IV Land Sales PDC Land Total Area Vertical Land IV Land PDC Land Total Sales Units SALES Sales Value (SAR M) Revenue (SAR M) PJTD YTD PJTD
Slide 20: KAEC Master Plan Residential Development
KAEC Master Plan Residential Development
Slide 21: Residential Development Sales & Lease
RE Vertical Land (SARS) 124 Sales 212 103 55 Revenue Residential Development 54 Sales & Lease GP 35 Breakdown Gross YTD JUNE 98% Margin 34% 2016 NLA 77,385 SQM 459,445 SQM *60 months of installments for land and vertical with a down payment of 10% for land and 20% for vertical.
Slide 22: Residential Development Game Changers
Residential Development Game Changers Strong sales growth at 79.95% CAGR from 2012-2015 driven by: • Competitive prices offering investment upside • Good infrastructure relative to other major cities regionally • Strong demand for affordable housing in Saudi Arabia. Saudi Arabia has a demand of over
Slide 23: Residential Sales Product
Product 2012 2013 2014 2015 Net Order Intake SAR M 21 9 272 369 Vertical Units 12 6 178 641 Net Order Intake SAR M 167 673 655 776 Land Units 136 403 819 912 Net Order Intake SAR M 188 682 927 1,149 Totals Units 148 409 997 1,767 Bench Mark Analysis Jeddah vs. KAEC* Residential KAEC Jeddah Sales Pro
Slide 24: Residential Sales Summary
% Presales % Unsold % Lease Residential Vertical Sales Summary Residential Land Sales Summary Al Waha 24% 76% 143 TH4 98% 2% 253 Al Talah 1.3 81% 19% 179 Al Talah 5 82% 18% 504 GC2 18% 82% 147 Al Talah 4 89% 11% 410 GC1 Villa 100% 0% 12 Al Talah 3 87% 13% 505 BC1 Villa 100% 0% 5 Al Waha 47% 53% 76 A
Slide 25: Residential Development Project Breakdown YTD 2016
RESIDENTIAL DEVELOPMENT PROJECT BREAKDOWN YTD 2016
Slide 26: Our Vision: A New Global Hub
Our Vision A New Global Hub Establish King Abdullah Economic City (KAEC) as a strong enabler of socio-economic development in the Kingdom of Saudi Arabia.
Slide 27: Major Developments Industrial Valley
%IV Breakdown 8% 3%5% IV IA 17% IV IB IV Phase 2 IV Phase 3 16% 51% IV Phase 4 Bonded Zone MAJOR Land Use GLA NLA IV IA 1,500,000 1,316,000 DEVELOPMENTS IV IB 2,100,000 1,816,200 IV Phase 2 22,000,000 17,855,000 INDUSTRIAL IV Phase 3 IV Phase 4 7,000,000 6,440,000* 6,101,000 3,398,000 VALLEY Bonded
Slide 28: Industrial Valley Sales and Lease
Industrial Leased Sold NLA Valley Phase IV IA 85% 1,316,000 Industrial Phase IV IB 66% 1,862,000 Valley Sales 99% and Lease Phase IV 2 29% 7,000,000S and Segment 6,500,000L Breakdown 100% Phase IV 3 YTD JUNE E&F 1,214,000 2016 Phase IV 3 B 44% 900,000 *Rent is collected 1 year in advance and prorate
Slide 29: Industrial Valley Game Changers
Industrial Valley Game Changers • Reoccurring revenue represents roughly 40% of IV revenues for Q1 2016 • 98% Growth in Tenants from 2013-2014 driven by increased Port Activity. RORO hub launch is expected in Q4 2016 giving the Port a capacity of 800,000 cars per annum. • IV has started re-defining
Slide 30: IV Lease and Sales Summary
SqM ‘M IV Lease and Sales Summary
Slide 31: KAEC Tenants
More Than 110 Global & Local Tenants in KAEC KAEC Tenants
Slide 32: Slide 32
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