Wereldhave N.v. · EURONEXT:WHA
Wereldhave — Shareholder Meeting (April 2016)
59 slides from Wereldhave's shareholder meeting presentation, Apr 22, 2016
Slide 1: Algemene Vergadering van Aandeelhouders
ALGEMENE VERGADERING VAN AANDEELHOUDERS 1 April 22, 2016 Amsterdam
Slide 2: Agendapunt 1: Opening
AGENDAPUNT 1 2 Opening 2
Slide 3: Agendapunt 2: Verslag van de Directie
AGENDAPUNT 2 3 Verslag van de Directie 3
Slide 4: Highlights FY 2015
HIGHLIGHTS FY 2015 CONTINUED STRONG OPERATIONAL PERFORMANCE; TRANSFORMATION PHASE COMPLETED Solid operations despite challenging retail environment Positive L-f-L rental growth in all countries: +140 bps above indexation Occupancy trending up in Q4, +1.1% for acquisitions in France and the Nethe
Slide 5: Highlights FY 2015
HIGHLIGHTS FY 2015 timef at we cal a) S 2015 12 JAN 11 FEB 24 MAR 24 APR 7 MAY 17 JUN Completion Public Offering Start construction AGM Payment dividend USPP € 211m acquisition Kortrijk Wereldhave retail park Tournai Wereldhave NV 2014 Ring Shopping Belgium Noord A ze A 4 aia af 2 SEP 26 AUG 31 JUL
Slide 6: Highlights FY 2015
HIGHLIGHTS FY 2015 Financial performance FY 2015 FY 2014 Direct result per share €3.23 €2.97 Indirect result per share €(0.88) €(2.38) of which transaction costs €(1.11) €(1.74) EPRA NAV per share €52.10 €54.35 Dividend per share €3.01 €2.87 LTV 37.5% 35.4% Operations LFL growth shopping
Slide 7: Strategy
STRATEGY 7
Slide 8: Targets reached in 2015
TARGETS REACHED IN 2015 CONTINUE STRONG OPERATIONAL LfL rental growth > 100bps above index 2015: 140bps PERFORMANCE Occupancy 1% up per year (base: 93.5% after acquisitions) +0.5% increase in Q4 2015 INTEGRATE NRI French retail stabilise at €46m in 2015 2015: €45.7m ACQUISITIONS LfL Fr
Slide 9: Strategy 2016 onwards
STRATEGY 2016 ONWARDS TRANSFORMATION COMPLETED De-risk, Regroup, Growth strategy executed 2013 - 2015 Integration new portfolios in France and the Netherlands completed 2015 operational targets reached FOCUS ON OPERATIONS Occupancy, occupancy, occupancy Strengthen organisation 9 Optim
Slide 10: 2016: Focus on operations
2016: FOCUS ON OPERATIONS Execute business plan per centre Leveraging key-account relationships OCCUPANCY, OCCUPANCY, OCCUPANCY Bring key-functions in-house and decrease service charges Add amenities and facilities to meet Wereldhave standards Adding COO to board of management CEO Wereld
Slide 11: Capital recycling in 2016
CAPITAL RECYCLING IN 2016 REVIEW STRATEGIC OPTIONS ITIS Hold/sell analysis Sell Belgian offices and smaller Dutch centres (non-core) gradually ACQUISITIONS DEPENDENT ON Buy convenience shopping centres in core countries only DISPOSALS No new countries at least until 2017 11 LTV maintained
Slide 12: Key success factors Wereldhave
KEY SUCCESS FACTORS WERELDHAVE I. DOMINANT LOCATION II. DEMOGRAPHICS I. FOOD ANCHORED TYPE II. CONVENIENCE III. DIVERSIFIED TENANT BASE I. LEASING ORIENTED ORGANISATION 12 II. RETAIL BASED I. ANNUAL RENT / 10 YEARS INVEST II. RETAIL FOLLOWS REAL ESTATE 12
Slide 13: Dominant convenience shopping centres
DOMINANT CONVENIENCE SHOPPING CENTRES LOCATION I: DOMINANT 1. 2. 3. 4. BETWEEN 20,000 AND DOMINANT IN ITS TAILORED TO THE MICRO FOOD ANCHORED 50,000M² CATCHMENT ENVIRONMENT m² GLA per shopping centre Average GLA split1 Catchment area >100,000 Socio-demographic adaptation inhabitants within 20min dri
Slide 14: Wereldhave focuses on growth areas
WERELDHAVE FOCUSES ON GROWTH AREAS LOCATION II: DEMOGRAPHICS DEMOGRAPHIC TREND SUPPORTS WH CENTRES FORECASTED POPULATION GROWTH 2016-2029 14.6% 10.9% 10.7% 11.8% 10.7% 6.2% WH 5.3% 5.7% average 5.0% 5.2% 3.6% NL average 2.3% 3.8% 14 1.5% 2.1% 1.4% 0.4% -1.0% -1.3% Wereldhave target area Roosendaal Z
Slide 15: Increase of % food has improved resilience
The Netherlands INCREASE OF % FOOD HAS IMPROVED RESILIENCE TYPE I: FOOD ANCHORED FOOD EXPENDITURES AS SALES DRIVER FOR RETAIL M² FOOD IN WERELDHAVE PORTFOLIO NETHERLANDS Food 28.000 19% Total expenditures within the Netherlands in €m +27,23% 24.000 Food 20.000 15% 16.000 12.000 Limited growth 8.000
Slide 16: Structurally outperform our market
STRUCTURALLY OUTPERFORM OUR MARKET TYPE II: CONVENIENCE OCCUPANCY IN THE DUTCH RETAIL SECTOR AVERAGE SHOPPING CENTRE SIZE4 44.176 Netherlands Wereldhave NL 31million m² retail GLA 432,600 m² 26.687 26.871 6 19.788 16.625 9% 30% 16% 45% 100% 14.879 Big box 12.602 City Solitary Retail Shopping 16 Shop
Slide 17: Top tenants: 21% of total
TOP 10 TENANTS: 21% OF TOTAL TYPE III: DIVERSIFIED TENANT BASE # Tenant Branche % of GRI 1 AHOLD-DELHAIZE* FOOD/GROCERIES 3.9% 2 HENNES & MAURITZ FASHION 3.2% 3 BLOKKER HOUSEHOLD GOODS 2.8% 4 C&A FASHION 1.8% 5 AS WATSON GROUP DRUGSTRORE 1.8% 6 STOCKMANN DEPARTMENT STORE 1.8% 17 7 EXCELLENT RETAIL B
Slide 18: Quick recovery from bankruptcies
QUICK RECOVERY FROM BANKRUPTCIES ORGANISATION I: LEASING ORIENTED YEAR 2011 2012 2013 2014 2015 2016 OCCUPANCY 96.0% 96.5% 97.1% 97.0% 98.0% 97.9%* 1/1 BANKRUPTIES (0.2%) (3.2%) (3.5%) (2.0%) (2.8%) > (4.0%) LEASING +0.7% +3.8% 18 +3.4% +3.0% +2.7% OCCUPANCY 96.5% 97.1% 97.0% 98.0% 97.9% 31/12 Bankr
Slide 19: Retail operations & skills
RETAIL OPERATIONS & SKILLS ORGANISATION II: RETAIL BASED OPENING COSTES HOOFDDORP OPENING BALTHAZAR POP-UP STORE 19 Opening in Hoofddorp Opening in Cityplaza 19
Slide 20: Shopping centre management model
SHOPPING CENTRE MANAGEMENT MODEL INVEST I: ANNUAL RENT / 10 YEARS 20 20
Slide 21: New, refreshed and refurbished portfolio
NEW, REFRESHED AND REFURBISHED PORTFOLIO* INVEST I: ANNUAL RENT / 10 YEARS Dutch refurbishment program (2013 – 2018) 98% Refurbishment of Kronenburg, Eggert, Etten-Leur, De Roselaar and Koningshoek completed or in final stages 85% Winkelhof and De Koperwiek to be upgraded 2016-17 Redevelopment o
Slide 22: Refurbishment example: De Eggert
REFURBISHMENT EXAMPLE: DE EGGERT PREVIOUS FLOOR PLAN* 100% ROUTING PRE POST Renewed entry 22 * Ground floor 22
Slide 23: Refurbishment example: De Eggert
REFURBISHMENT EXAMPLE: DE EGGERT 23 PRE WORK IN PROGRESS Pre refurbishment: SC entry in De Eggert* Post refurbishment: Renewed entry Original SC entry from the 1970s Large glass entry doors with a lot of natural light Limited (natural) lighting due to small entry doors and New look & feel: e
Slide 24: Refurbishment examples
REFURBISHMENT EXAMPLES ENHANCED & FAMILY ORIENTED FACILITIES Public Public square, square, Roselaar Eggert 24 Family Public parking, restroom, Vier Meren Eggert 24
Slide 25: New store openings 2015
NEW STORE OPENINGS 2015 INVEST II: RETAIL FOLLOWS REAL ESTATE Mango, Bagels & Rivétoile Beans, Roselaar 25 Brice, Starbucks, Nivelles Itis* * Starbucks lease was signed in 2015, but the actual store will only open in Q2-2016 25
Slide 26: Retailers must be customer-centric
& real estate RETAILERS MUST BE CUSTOMER-CENTRIC “ There is only one boss: the customer. And he can fire everybody in the company from the chairman on down, simply by spending his money 26 somewhere else” Sam Walton, Founder of Wal-Mart Stores Inc. 26
Slide 27: Operations
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Slide 28: Visitors 2015
VISITORS 2015 2015 2014 Growth Market (In #m) (In #m) (In %) (In %) Belgium 14.3 14.2 1.1% (1.4%) Finland 16.9 16.3 3.6% 0.4% France 40.8 41.3 (1.1%) (1.0%) Netherlands 81.5 79.0 3.1% (0.1%) Total 153.5 150.8 1.8% Belgium: footfall up 1.1% vs a decrease of 1.4% in the market (top 15 shopping centr
Slide 29: Occupancy 2015
OCCUPANCY 2015 Portfolio value* Q4 2015 Q3 2015 Q4 2014 Q4 2015 (In %) (In %) (In %) (In €m) (In %) Belgium 94.9% 94.4% 94.6% 608 17% Finland 92.5% 93.2% 92.1% 616 17% France 91.1% 90.0% 91.2% 852 23% Netherlands 95.3% 94.7% 98.0% 1,458 40% Shopping centres 93.8% 93.3% 93.9% 3,534 97% Belgium 93.4%
Slide 30: L-f-L rent shopping centres 2015
L-F-L RENT SHOPPING CENTRES 2015 140 BPS ABOVE INDEXATION 2.3% 1.8% 1.3% 1.8% Above 0,7% 1,4% Indexation 2,3% 1,3% 30 Indexation 0,0% 0,5% 0,6% 0,4% Finland Belgium Netherlands Total 30
Slide 31: The Netherlands: Performance
THE NETHERLANDS: PERFORMANCE SHOPPING CENTRE OPERATIONS 31 31
Slide 32: Belgium: Performance
BELGIUM: PERFORMANCE SHOPPING CENTRE OPERATIONS 32 32
Slide 33: Finland: Performance
FINLAND: PERFORMANCE SHOPPING CENTRE OPERATIONS 33 33
Slide 34: France: Performance
FRANCE: PERFORMANCE SHOPPING CENTRE OPERATIONS 34 34
Slide 35: Sustainability dashboard 2015
SUSTAINABILITY DASHBOARD 2015 RESULTS 35 Targets achieved in 2015 35
Slide 36: CSR 2015
CSR 2015 FIRST INTEGRATED REPORT 2nd consecutive GRESB Green Star First Integrated financial and sustainability report over FY2015 Inclusion into the DJSI in September 2015 36 EPRA Awards for 2014 annual reporting Financial (Gold) & Sustainability (Silver) Feb. 2016: Baa1 rating; stable outlook AMX
Slide 37: Conclusion
CONCLUSION RESILIENT STABLE SOLID AND RETAIL PREDICTABLE & GROWING & GROWING MODERN ORGANISATION CASH FLOWS EPS DIVIDEND PRODUCT 37 37
Slide 38: Financials
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Slide 39: Direct result (in € per share)
DIRECT RESULT (IN € PER SHARE) 1.70 -0.15 0.11 0.08 -0.06 -0.38 -1.04 3.23 2.97 2014 Acquisitions Disposals From Standing General costs Interest costs Other 2015 development portfolio Acquisitions: 2014: shopping centre Vier Meren (Jan), part of sh. centre Koperwiek (March), C&A unit Roosendaal (A
Slide 40: Indirect result (in € per share)
INDIRECT RESULT (IN € PER SHARE) Valuation results + Other income and Accrued interest Fair value adjustments Recycling FX and results on disposals expenses convertible derivatives Taxes/other revaluation reserve Total indirect result -0,22 -0,08 -0,03 -0,15 -0,06 -0,34 -0,88 40 Fair value adjustm
Slide 41: EPRA NAV (in € per share)
EPRA NAV (IN € PER SHARE) 54.35 -2.87 52.10 -0.88 0.14 3.23 -1.5 -0.37 Q4 2014 Dividend 2014 Interim € 250m Direct Indirect Other Q4 2015 dividend 2015 share issue result result 41 IFRS NAV* EPRA NNNAV* Dec 2015: € 50.05 Dec 2015: € 50.38 Dec 2014: € 52.07 Dec 2014: € 52.19 * Reconciliation
Slide 42: Valuation
VALUATION Valuation* Revaluation** Revaluation NIY*** EPRA NIY**** ∆ ∆ 2015 2014 H2 H1 2015 2015 2015 (In €m) (In €m) (€m) (€m) (In %) (In %) (In %) Belgium 641 616 (6.6) (In €m) 16.4 (In €m) 1.6 5.9 5.6 Finland 616 605 (16.8) 3.6 -2.1 4.7 4.7 France 852 832 6.6 8.4 1.8 5.4 5.0 Netherlands 1,483 715
Slide 43: FY 2015 income statement
FY 2015 INCOME STATEMENT FY 2015 FY 2014 Direct Indirect Direct Indirect (In €m) 2015 2015 2014 2014 Gross rental income 207.3 - 131.6 - Service costs charged 37.3 - 22.7 - Total revenue 244.6 - 154.3 - Service costs paid (42.2) - (25.1) - Property expenses (17.8) - (10.4) - Total expenses (59.9) -
Slide 44: Debt profile
DEBT PROFILE Key parameters Q4-15 Q3-15 Covenants Interest bearing debt * € 1,515m € 1,928m Decrease in interest bearing debt due to the sale of the French offices Noda and Le Cap Average cost of debt 2.2% 2.2% In Q4 new financing was realised: a five-year € 75m bank loan at 1% Borrowing capacit
Slide 45: Earnings outlook 2015-2016
EARNINGS OUTLOOK 2015-2016 CAGR 7% - 10% CAGR 4-6% Direct result p/s growth 2016 3.23 between 6-9% 3.01 2.97 2.87 Dividend p/s growth 2016 between 4-6% Based on current portfolio 45 2014 2015 2016 Direct result per share Dividend per share 45
Slide 46: Agendapunt 3: Remuneratierapport 2015
AGENDAPUNT 3 46 Remuneratierapport 2015 uitvoering van het remuneratiebeleid 46
Slide 47: Agendapunt 4: Vragen aan de accountant
AGENDAPUNT 4 47 Mogelijkheid tot het stellen van vragen aan de accountant 47
Slide 48: Agendapunt 5: Dividend- en reserveringsbeleid
AGENDAPUNT 5 48 Dividend- en reserveringsbeleid 48
Slide 49: Agendapunt 6.A: Vaststelling jaarrekening 2015
AGENDAPUNT 6.A 49 Voorstel tot vaststelling van de jaarrekening 2015 49
Slide 50: Agendapunt 6.B: Dividend 2015 van € 3,01
AGENDAPUNT 6.B 50 Voorstel van een dividend voor 2015 per gewoon aandeel van € 3,01 in contanten 50
Slide 51: Agendapunt 7: Kwijting aan de Directie
AGENDAPUNT 7 51 Voorstel tot het verlenen van kwijting aan de Directie 51
Slide 52: Agendapunt 8: Kwijting aan de Raad van Commissarissen
AGENDAPUNT 8 52 Voorstel tot het verlenen van kwijting aan de Raad van Commissarissen 52
Slide 53: Agendapunt 9: Benoeming G. van de Weerdhof
AGENDAPUNT 9 53 Voorstel tot benoeming van de heer G. van de Weerdhof als commissaris 53
Slide 54: Agendapunt 10: Benoeming L. Geirnaerdt
AGENDAPUNT 10 54 Voorstel tot benoeming van mevrouw L. Geirnaerdt als commissaris 54
Slide 55: Agendapunt 11.A: Bevoegdheid tot uitgeven aandelen
AGENDAPUNT 11.A 55 Voorstel tot vernieuwing van de bevoegdheid van de Directie tot het uitgeven van aandelen en/of het verlenen van rechten tot het nemen van die aandelen 55
Slide 56: Agendapunt 11.B: Beperken voorkeursrechten
AGENDAPUNT 11.B 56 Voorstel tot vernieuwing van de bevoegdheid van de Directie tot het beperken of uitsluiten van voorkeursrechten 56
Slide 57: Agendapunt 12: Inkoop eigen aandelen
AGENDAPUNT 12 57 Voorstel tot machtiging van de Directie om eigen aandelen in te kopen 57
Slide 58: Agendapunt 13: Rondvraag
AGENDAPUNT 13 58 Rondvraag 58
Slide 59: Agendapunt 14: Sluiting
AGENDAPUNT 14 59 Sluiting 59