Helios Re Socimi, S.a. · BME:SCHLR

Helios Re Socimi — Lar España Real Estate SOCIMI — FY2023 Earnings Presentation

36 slides from Helios Re Socimi's earnings presentation, Feb 29, 2024

  1. Slide 1: FY 2023 Results Presentation

    FY 2023 Results Presentation 29th February 2024 larespana.com

  2. Slide 2: Presenting Team

    Presenting Team Jose Luis del Valle Miguel Pereda Jon Armentia Hernán San Pedro Chairman of Lar España Vice- Chairman of Lar España & Corporate Director and CFO Investor Relations and Corporate Board of Directors Chairman of Grupo Lar of Lar España Communication Director of Lar España 2 FY 2023 Resu

  3. Slide 3: Index

    Index 1 2 FY 2023 FY 2023 Company Key milestones situation FY 2023 3 4 Operating, financial and ESG Closing results remarks 3 FY 2023 Results Presentation

  4. Slide 4: FY 2023 Key milestones

    1 FY 2023 Key milestones José Luis del Valle Chairman of Lar España Board of Directors

  5. Slide 5: We are pleased to celebrate our tenth anniversary

    FY 2023 Key Milestones We are pleased to celebrate our tenth anniversary After a decade of significant activity… IPO of 2 capital 1 issuance of a 2 green bond 3 share 1 bond buyback buyback 30 asset 18 divestments €400 Mn increases secured bond in issuances in programmes programme acquisitions of as

  6. Slide 6: Our strategy continues to deliver strong results

    FY 2023 Key Milestones Our strategy continues to deliver strong results OPTIMAL MIX OF 12 DOMINANT EXCELLENT ACTIVE RETAILERS ASSETS MANAGEMENT 90% TIER 1 RENTS GROWING NET PROFIT OUR HIGHEST €1,058 Mn SALES1 GRI c.+14% +91.6%3 ORDINARY +7.9%2 vs FY 22 vs FY 22 vs FY 22 DIVIDEND 1 Declared sales 2 L

  7. Slide 7: With another year of relevant milestones

    FY 2023 Key Milestones With another year of relevant milestones 1 2 3 Dividend Bonds buy-back Fitch confirms our distribution in 2023 investment grade €50 Mn +€20 Mn Fitch confirms again Lar 14.2% dividend yield over in the P&L España’s BBB investment market cap grade rating and stable outlook 4 ESG

  8. Slide 8: FY 2023 Company situation

    2 Miguel Pereda FY 2023 Company situation Vice Chairman of Lar España & Chairman of Grupo Lar

  9. Slide 9: Our metrics continue improving GRI c. +14%

    FY 2023 Company situation Our metrics continue improving GRI GRI LfL1 OCCUPANCY c. +14% +16.3% 97.1% 1 LfL excluding Rivas Futura and Vistahermosa retail Parks after its divestment in July 2023 9 FY 2023 Results Presentation

  10. Slide 10: More than 1 billion in sales and a strong level of footfall

    FY 2023 Company situation More than 1 billion in sales and a strong level of footfall Average Evolution of declared sales vs same period of the previous year growth by Sales FY 20231: €1,057.8 Mn quarter +17.2% 40% 38.0% 29.2% 30% 24.3% 24.1% 21.3% 20% 16.0% 13.9% 10% 7.2% 7.9% 7.5% 8.7% 7.9% 0% Q1

  11. Slide 11: Outperforming European peers

    FY 2023 Company situation Outperforming European peers LAR ESPAÑA MARKET AVERAGE1 GRI vs FY 2022 +13.5% +4.7% NOI vs FY 2022 +16.5% +4.1% Occupancy 97.1% 96.1% NTA per share vs Dec 22 +3.8% +1.6% LTV 31.0% 41.0% 1 According to FY 2023 results published by European peers 11 FY 2023 Results Presentati

  12. Slide 12: Active asset management as company driver

    FY 2023 Company situation Active asset management as company driver VERY DOMINANT SHOPPING EXCELLENT MIX OF CHERRY PICKED CENTRES IN ATTRACTIVE SHOPPING CENTERS ASSETS CATCHMENT AREAS AND RETAIL PARKS 100% ownership +85% 71%1 Shopping Centers of the portfolio is 29%1 Retail Parks classified as large

  13. Slide 13: Leasing activity has performed successfully

    FY 2023 Operating, financial and ESG results Leasing activity has perfomed successfully EXISTING GLA ROTATED NEGOTIATED RENT UPLIFT ANNUALIZED CONTRACTS RENTS ROTATION RATE > 1,000 42,326 sqm €11.4 Mn +8.1%1 8.1% 179 19 50 110 Operations New lettings Relettings Renewals 1 Above CPI/indexation adjust

  14. Slide 14: Operating performance close to being a virtuous circle

    FY 2023 Company situation Operating performance close to being a virtuous circle RENTS FINAL CUSTOMERS CONFORTABLE LEVEL EXCELLENT AVERAGE OF OF EFFORT RATE TIME PER VISIT 10.2%1 Annual increase in average stay per visit in our assets RETAILERS UNBEATABLE LEVEL OF +12.8% COLLECTION RATE +8.9% 99%2 2

  15. Slide 15: Relevant operating sales performance in every segment

    FY 2023 Company situation Additionally, relevant operating sales performance in every segment Sales FY 20231: €1,057.8 Mn +7.9% vs FY 2022 FOOD CULTURE, TECH LEISURE AND HOME FASHION AND MULTIMEDIA ENTERTEINMENT +8.7% vs FY 2022 +10.1% vs FY 2022 +10.4% vs FY 2022 +0.3% vs FY 2022 +5.9% vs FY 2022 D

  16. Slide 16: Since our beginning, we have delivered a successful asset rotation policy

    FY 2023 Company situation Since our beginning, we have delivered a successful asset rotation policy ALBACENTER DIVESTMENTS ÁNECBLAU 5.5% Average VILLAVERDE EGEO Exit Yield TXINGUDI MARCELO ALOVERA I&II NUEVO ALISAL AS TERMAS PARQUE PALMAS CHESTE ESPINOLA GUADALAJARA GALARIA ALTAS LOGÍSTICA NORTE MAR

  17. Slide 17: Last two new disposals completed in July 2023

    FY 2023 Company situation … that we confirmed again with the last two new disposals completed in July 2023 GLA 33,763 sqm WAULT 2.8 years €129.1 6.3% +24.0% Mn Exit Yield1 Revaluation since acquisition Occupancy Sale Price 97.9% VISTAHERMOSA GLA The operation 50% of the net 36,447 sqm was carried ga

  18. Slide 18: We continue maintaining a best-in-class portfolio

    FY 2023 Company situation We continue maintaining a best-in-class portfolio >300K Shopping GLA >40K Occuppancy Leader in Refurbished/ > 4 Inditex Asset class inhabitants >4 Million visits Food anchored BREEAM centers sqm >90% catchment area developed last 5y flags catchment area Lagoh Dominant Gran

  19. Slide 19: With innovation as a strategic driver

    FY 2023 Company situation With innovation as a strategic driver Lar España is the key link between Tier 1 retailers and their final clients offering a Club de los Disfrutones best-in-class environment Retailer Customer Experience The club offers the possibility of Research programme focused on acces

  20. Slide 20: FY 2023 Operating, financial and ESG results

    3 Jon Armentia FY 2023 Operating, financial and ESG results Corporate Director and CFO of Lar España

  21. Slide 21: We have achieved sound financial results

    FY 2023 Operating, financial and ESG results We have achieved sound financial results GRI NOI NET PROFIT +13.5% vs FY 2022 +16.5% vs FY 2022 €77.2 Mn2 +16.3%1 vs FY 2022 +19.5%1 vs FY 2022 +91.6% vs FY 2022 COLLECTION GAV WAULT OCCUPANCY RATE €1,313 Mn 2.5 years 97.1% 99%3 1 Lfl excluding Rivas Futu

  22. Slide 22: And we have shown resiliency over the years

    FY 2023 Operating, financial and ESG results And we have shown resiliency over the years Evolution of Net Profit quarter by quarter1 Net profit FY 2023: €77.2 Mn Million Euros 35 32 30 25 20 15 15 15 15 13 13 10 7 8 7 7 7 5 5 0 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023

  23. Slide 23: EPRA figures

    FY 2023 Operating, financial and ESG results EPRA figures €898.5 €76.4 Mn €56.0 Mn 6.5% 3.0% EPRA NTA1 EPRA Earnings Ordinary EPRA EPRA vacancy EPRA NIY Earnings rate €10.74 €0.91 €0.67 6.8% 14.7% EPRA NTA per EPRA Earnings Ordinary EPRA EPRA “topped- EPRA cost share per share earnings per share up”

  24. Slide 24: P&L FY 2023: strong set of results

    FY 2023 Operating, financial and ESG results P&L FY 2023: strong set of results FY 2022 FY 2023 Consolidated Income Statement FY 2023 (€ Millions) Total Total % Growth Revenues 80.2 91.4 +14.0% Other Income 3.4 3.6 Total Income 83.6 95.0 +13.5% +16.3% LfL1 Personnel expenses (0.9) (0.8) Other expens

  25. Slide 25: Debt profile: optimal leverage, cost and maturity

    FY 2023 Operating, financial and ESG results Debt profile: optimal leverage, cost and maturity BBB 1 NET FINANCIAL DEBT 2 NET LTV 3 AVERAGE COST OF DEBT €406.6 Mn 31.0% 1.78% 4 AVERAGE DEBT MATURITY 5 GREEN, FIXED RATE AND UNENCUMBERED 6 SOLID CASH POSITION 3.8 years 100% c. €245 Mn 25 FY 2023 Resul

  26. Slide 26: Maintaining a good level of valuation

    FY 2023 Operating, financial and ESG results Maintaining a good level of valuation 31st December 2023 Valuation €1,313 Mn Asset appraisal variations Retail sector comparison December 2023 vs December 2022 +54.0% Lar España -2.4% Average of European retail peers1 -3.7% Spanish Retail Sector2 -5.1% -1

  27. Slide 27: We propose the highest ordinary dividend in our history + extraordinary dividend

    FY 2023 Operating, financial and ESG results We propose the highest ordinary dividend in our history + extraordinary dividend Since our foundation, we have distributed 12.9% a total of Div Yield1 >€391.2 Mn2 € 0.80 ps € 0.79 ps € 0.49 ps €75.0 Mn € 0.63 ps €66.2 Mn € 0.60 ps € 0.33 ps €55.0 Mn € 0.3

  28. Slide 28: Even the share's appreciation, the dividend yield remains very strong

    FY 2023 Operating, financial and ESG results Even the share's appreciation, the dividend yield remains very strong Revaluation of the Lar España share during the year 2023 Dividend yield over market cap 14.2% 12.9% 4.0% 4.1% +45.6% 2022 2023 Lar España Spanish Stock Market 1 Spanish stock market ave

  29. Slide 29: Profitability: dividends + others

    FY 2023 Operating, financial and ESG results Profitability maintains in the corner of our strategy: dividends + others One of the most profitable options for One of the largest capital reductions in the A new way to improve profitability: investors in the Spanish market Spanish stock market during l

  30. Slide 30: We continue applying the best practices in environment

    FY 2023 Operating, financial and ESG results We continue applying the best practices in environment Decarbonisation strategy aligned with SBTi Updating our decarbonisation pathway to address our short, medium, and long-term climate commitments, in line with science-based methodologies and recognised

  31. Slide 31: And the best-in-class practices in S & G

    FY 2023 Operating, financial and ESG results And the best-in-class practices in S & G Best corporate Accessibility Sustainable Mobility governance practices MSCI/Green bond 4 additional assets awarded in 2023 with Universal Accessibility Tender launched for the selection of the company's new A Exter

  32. Slide 32: Closing remarks

    4 Closing remarks José Luis del Valle Chairman of Lar España´s Board of Directors

  33. Slide 33: In summary: we have achieved strong results

    Closing remarks In summary: we have achieved strong results GROWING SOLID MAJOR RENTS OPERATING INCREASE IN RESULTS PROFIT GRI c.+14% vs FY 2022 NOI +16.5% vs FY 2022 Net profit +91.6%2 GRI +16.3%1 vs FY 2022 NOI +19.5%1 vs FY 2022 vs FY 2022 MODERATE OUR HIGHEST DEBT ORDINARY LEVEL DIVIDEND Net LTV

  34. Slide 34: …thanks to our focus on…

    Closing remarks …thanks to our focus on… STRONG ACTIVE ASSET OPTIMAL TOP IN CLASS ESG EXCELLENT PORTFOLIO MANAGEMENT OMNICHANNEL PRACTICES SHAREHOLDER STRATEGY PROFITABILITY 34 FY 2023 Results Presentation

  35. Slide 35: Disclaimer

    Disclaimer This document has been prepared by Lar España Real Estate SOCIMI, S.A. (the “Company”) for information purposes only and the information included in this document is not regulated information or information which has been subject to prior registration with, or control by, the Spanish Nati

  36. Slide 36: www.larespana.com

    NN The REIT for the 1 @ la a... new retail w@rld © www.larespana.com

Lar España Real Estate SOCIMI — FY2023 Earnings Presentation on 6ix