Slide 1: FY24 Results Presentation
Image placeholder – new filtered photos to be inserted FY24 RESULTS PRESENTATION 13 AUGUST 2024 StorageKing Storage KingEllenbrook, Mitcham, VIC WA Artist’s Impression: Storage King Carlton, NSW Australia
Slide 2: Agenda
ABACUS STORAGE KING FY24 RESULTS Agenda 01 FY24 highlights & growth drivers 02 Finance metrics & capital structure 03 Investment portfolio performance 04 Platform initiatives 05 Outlook & guidance Steven Sewell, Evan Goodridge, Nikki Lawson, Nikki Lawson, Steven Sewell, Managing Director CFO GGM Sel
Slide 3: FY24 Business Metrics
FY24 BUSINESS METRICS Resilient operating metrics underpin performance TOTAL ASSETS WACR1 GEARING2 NET TANGIBLE ASSETS NET ZERO3 $3.2bn 5.55% 27.5% $1.58ps 2030 2bps on FY23 130bps on FY23 pro forma ESTABLISHED4 ESTABLISHED4 FUNDS FROM FFO PER SECURITY DISTRIBUTION PER OCCUPANCY REVPAM OPERATION
Slide 4: FY24 Highlights
Storage King Brookvale, NSW Australia FY24 HIGHLIGHTS Multi-pronged growth strategy with an irreplaceable portfolio of assets, in a fragmented sector Operating performance1 Strong balance Developments sheet supports 4.6% RevPAM growth, to $327 psm strategic priorities Delivered 3 new operating store
Slide 5: Portfolio Growth Drivers
PORTFOLIO GROWTH DRIVERS Uniquely positioned for continued industry leadership, innovation and growth PORTFOLIO 126 trading stores and 22 development sites with 86% located in metropolitan locations1 Established Stabilising Acquisitions Developments2 Emerging category well positioned Next generation
Slide 6: Financial Metrics & Capital Structure
Image placeholder – new filtered photos to be inserted FINANCIAL METRICS & CAPITAL STRUCTURE EVAN GOODRIDGE Storage King Avondale, QLD Storage King Prestons, NSW Australia
Slide 7: Operating Profit – FFO Waterfall
OPERATING PROFIT – FFO WATERFALL ASK operating earnings experienced strong growth in FY24, with all store segments growing YoY1 Leased FY23 FY24 Established Acquisition Stabilising tenancy and Operating Net interest Operating Operating Other G&A Tax expense FY24 FFO Revenue Revenue Revenue fee reven
Slide 8: Balance Sheet Overview
Storage King Dee Why, NSW Australia BALANCE SHEET OVERVIEW Positioned to support multi-pronged, disciplined growth strategy 30 June 30 June Pro forma Key metrics ($m) 2024 Comments 2024 adjustments¹ Pro forma Investment Properties $2,878.1 $47.0 $2,925.1 Settlement of five properties post year end I
Slide 9: Capital Management
CAPITAL MANAGEMENT Successfully obtained credit approved underwriting commitment for a new $1.25 billion unsecured syndicated loan facility Underwritten debt term NTA ASK total assets Funding capacity1,2 FY24 avg. cost of debt3 Gearing2,4 to maturity2 $1.58ps $3.2bn >$350m 3.5% 27.5% 3.1yrs Underwri
Slide 10: Valuation Update
Storage King New Artist’s Lynn, Auckland Impression: NewMascot, Storage King Zealand NSW Australia VALUATION UPDATE Resilient property values supported by income growth and structural sector drivers $10m $2,878m $50m $72m $131m $2,615m 30 June 2023 Acquisitions Capex & other Market income Cap rate t
Slide 11: Investment Portfolio Performance
Image placeholder – new filtered photos to be inserted INVESTMENT PORTFOLIO PERFORMANCE NIKKI LAWSON Storage King Avondale, QLD Artist’s Impression: Storage King Mascot, NSW Australia
Slide 12: FY24 Portfolio Snapshot
FY24 PORTFOLIO SNAPSHOT Stabilising portfolio and development sites account for 16% of total property asset value Operating / Trading Stores Segment Established portfolio Acquisition portfolio Stabilising portfolio Development sites Mature stores open at 1 July Mature stores acquired post Trading st
Slide 13: Store Operating Trends by Region
STORE OPERATING TRENDS BY REGION WA and NSW fastest growing regions in the established portfolio % NLA Breakdown by State 1 FY23 RevPAM $ FY24 RevPAM $ NSW 29% VIC 19% QLD 18% NZ 13% 361 348 348 WA 11% 334 330 327 324 320 314 313 312 301 ACT 8% 290 276 249 SA 2% 237 % Value Breakdown by State NSW 36
Slide 14: FY24 Acquisitions
FY24 ACQUISITIONS Acquisition opportunities in a fragmented sector support portfolio growth Operating store acquisition source1 $3,232m Self Storage Portfolio Value ex. Acquisitions $3,072m $137m Storage King Acquisitions $189m Network 55% $2,592m Storage King $480m network Independent $1,756m vendo
Slide 15: New Stores in Prime Locations
NEW STORES IN PRIME LOCATIONS Since 2019, 14 newly created next generation stores delivering ~20% development margin upon completion Storage King Brendale, QLD Australia Newly created stores in FY24 NLA Capital Store Open Date (sqm) Invested Brendale (QLD) Dec-23 7,700 $18.9m QLD 5 (1) Currumbin Feb
Slide 16: Development Pipeline
DEVELOPMENT PIPELINE Set to deliver 181 developments (103,000 NLA) and 6 expansions (16,000 NLA) in the short to medium term New store projects Expansion of existing stores Spend to date Cost to complete2 Est. completion value NLA Cost to complete NLA $181m $305m $578m 103,000 sqm $43m 16,000 sqm NL
Slide 17: Platform Initiatives
Image placeholder – new filtered photos to be inserted PLATFORM INITIATIVES NIKKI LAWSON Storage StorageKing KingClayton, Epping, VIC Storage King Yarraville,VIC Australia
Slide 18: Self Storage – Positive Drivers
SELF STORAGE – POSITIVE DRIVERS A range of demand drivers support sector resilience Structural Cyclical Population Emerging category Rise of Housing Housing Discretionary growth e-commerce density turnover spending Sustained population growth 0.21 sqm1 Self Storage per Supply chain challenges, Risin
Slide 19: Storage King – Leading Platform
STORAGE KING – LEADING PLATFORM Focused approach to long term brand management CUSTOMER TOTAL BRANDED TOTAL AVERAGE CUSTOMER AGREEMENTS1 UNITS2 SEARCH3 ENQUIRIES4 NPS5 73,000+ 103,000+ #1 maintained +7% 65 #1 in FY23 on FY23 3 points vs. FY23 rated most recognised Self Storage brand in Australia 2
Slide 20: Platform Enhancements
PLATFORM ENHANCEMENTS Various revenue enhancing initiatives and operating efficiencies expected to deliver long term substantial value appreciation PLATFORM Long term operating margin upside from current levels of 65%1 Margin expansion opportunities Dynamic pricing Customer data Economies of scale T
Slide 21: Sustainability Highlights & Initiatives
SUSTAINABILITY HIGHLIGHTS & INITIATIVES Net zero by 2030 Scope 1 and 2 GHG1: Board approved target for company owned stores Emission intensity: 6.2% reduction in scope 1 and 2 GHG emissions intensity (compared to FY23) Installed solar: 76 stores 1,900kW (FY23: 70 stores, 1,619 kW) Board independence
Slide 22: Outlook & Guidance
OUTLOOK & GUIDANCE STEVEN SEWELL Storage King Epping, VIC Australia
Slide 23: Outlook & Guidance
Storage King Prestons, NSW Australia OUTLOOK & GUIDANCE Outlook Underpinned by our multi-pronged growth strategy, namely: • Organic – positive sector drivers, supported by sector leading Storage King operating platform • Acquisitions – fragmented sector provides acquisition opportunities • Developme
Slide 24: Appendices
APPENDICES STATUTORY EARNINGS RECONCILIATION SLIDE 25 FFO RECONCILIATION SLIDE 26 BALANCE SHEET ALLOCATION SLIDE 27 CAPITAL METRICS SLIDE 28 STORAGE KING NETWORK SLIDE 29 GLOSSARY SLIDE 30 Storage King St Lukes, Auckland New Zealand
Slide 25: Statutory Earnings Reconciliation
STATUTORY EARNINGS RECONCILIATION Performance metrics ($m) FY24 TERM DEFINITION Net profit attributable to ASK securityholders 138.2 Fair value adjustments (45.3) FFO is in line with the PCA’s definition and comprises net profit/loss after tax attributable to stapled security holders, calculated in
Slide 26: Operating Profit and FFO Reconciliation
OPERATING PROFIT AND FFO RECONCILIATION Performance metrics ($m)1 FY24 FY232 Comments Storage revenue 197.9 178.7 $8.5m from established, $6.7m from acquisitions & $4.0m stabilising assets Leased tenancy $4.9m, net fee revenue from 763 third party stores $7.9m (FY23: $7.5m from 83 third Leased tenan
Slide 27: FY24 Balance Sheet Allocation
FY24 BALANCE SHEET ALLOCATION $ 3.2bn 85% Established stores Total Assets1 Pro forma $1,947m OPERATING STORES Acquisition stores $513m $2.7bn Stabilising stores $274m Un-zoned council land $143m 8% DEVELOPMENT STORES Council approved $26m $0.2bn Under construction $72m 7% Cash and cash equivalents $
Slide 28: Capital Metrics
CAPITAL METRICS FY24 Debt expiry profile1 Capital management metrics Comments Pro forma1 Obtained credit approved underwriting Total bank debt facilities $1,250m commitments for a new $1.25 billion unsecured syndicated loan facility 450 Total bank debt drawn $943m 400 400 Term to maturity 3.1yrs 360
Slide 29: Storage King Network
STORAGE KING NETWORK 201 operating stores across Australia & New Zealand 126 75 1.2 million Total land area (sqm) on REGIONAL QLD Abacus Storage King stores LICENSED 148 3 QLD WA 23 22 SUNSHINE COAST 1 BRISBANE 14 14 13 5 GOLD COAST 8 5 Assets owned by Abacus Storage King SA 126 trading stores 1 NSW
Slide 30: Glossary
GLOSSARY TERM DEFINITION TERM DEFINITION ABG Abacus Group LHS Left hand side AIFRS Australian equivalents to International Financial Reporting Standards NLA Net lettable area ASK Abacus Storage King NTA Net tangible assets ASX Australian Securities Exchange NPS Net promoter score BP Basis point PCA
Slide 31: Important Information
IMPORTANT INFORMATION The information provided in this document is general, and may not be suitable for the specific purpose of any user of this document. It is not financial advice or a recommendation to acquire Abacus Storage King securities (ASX:ASK). Abacus Storage King believes that the informa