Four Corners Property Trust, Inc. · NYSE:FCPT
Four Corners Property Trust — Investor Presentation (May 2020)
22 slides from Four Corners Property Trust's investor presentation, May 29, 2020
Slide 1: Four Corners Property Trust Investor Presentation June 2020
FOUR CORNERS PROPERTY TRUST NYSE: FCPT INVESTOR PRESENTATION | JUNE 2020 www.fcpt.com 1 | FCPT | JUNE 2020
Slide 2: Forward Looking Statements and Disclaimers
FORWARD LOOKING STATEMENTS AND DISCLAIMERS Cautionary Note Regarding Forward-Looking Statements: This presentation contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements include all statements that are not historical statements of fact and t
Slide 3: Agenda
AGENDA Company Overview and COVID-19 Update Page 3 Appendix Page 12 3 | FCPT | JUNE 2020
Slide 4: Executive Summary
EXECUTIVE SUMMARY Overview FCPT is a public net-lease REIT focused primarily on the acquisition and ownership of high-quality restaurant and other retail properties FCPT owns a portfolio of 722 net-leased properties across 66 restaurant and other retail brands 71% of Portfolio tenants are invest
Slide 5: Executive Summary (Cont.)
EXECUTIVE SUMMARY (CONT.) Liquidity and Capital Markets FCPT announced its $125 million senior unsecured notes issuance on March 31 of which $75 million funded on April 8 and the remaining $50 million is expected to fund on June 9 The company has over $225 million of liquidity, not including the
Slide 6: Restaurant Executive Survey: Sales Trends by Subsector
RESTAURANT EXECUTIVE SURVEY: SALES TRENDS BY SUBSECTOR Restaurant Industry comps point to broad improvement across different segments . Baird’s most recent weekly survey of restaurant executives (ending on or near May 24) showed overall restaurant comps down -9% vs. the prior year. This is a 31 perc
Slide 7: Reopening Dining Rooms: FCPT Geographic Exposure
REOPENING DINING ROOMS: FCPT GEOGRAPHIC EXPOSURE % of Est. % of U.S. Expected Party Size • FCPT’s portfolio is geographically diversified across FCPT ABR Population Reopen Date Capacity Limit Restriction 46 states, but weighted to the Midwest and 1) TX 12.2% 8.8% May 1 50% Not Specified Southeast US
Slide 8: Kerrow Longhorn Steakhouse COVID-19 Initiatives & Performance
KERROW LONGHORN STEAKHOUSE COVID-19 INITIATIVES & PERFORMANCE Year-over-year revenue 20% Cruise passengers brought After Memorial Day weekend, Kerrow to base in San Antonio State of emergency declared is approaching break-even margin Cruise passengers levels test positive 0% Anticipating dining room
Slide 9: Darden Update
DARDEN UPDATE • As of May 17, Olive Garden and LongHorn respective same store restaurant sales have recovered by 33 and 31 percentage points to -38% and -44% vs. trough levels • This marks a strong rebound powered by off-premises sales which is expected to garner further momentum as dining rooms con
Slide 10: Summary Capitalization and Financials
SUMMARY CAPITALIZATION AND FINANCIALS Capitalization Current Trading Metrics ($ million, except per share) Annual base rent3 ($ million) $142.0 Share price (5/28/2020) $21.47 Implied Cap Rate 6.3% 4 Shares and OP units outstanding (millions) 70.5 Price / AFFO Multiple 14.5x 5 Equity value $1,514 Ann
Slide 11: FCPT Balance Sheet and Portfolio Create a Strong Platform for Growth
FCPT BALANCE SHEET AND PORTFOLIO CREATE A STRONG PLATFORM FOR GROWTH High quality portfolio of 722 properties diversified geographically and by concept across 46 states and 66 tenant brands Stable rental stream with 71%1 of annualized base rent investment grade tenancy, long-term leases, and str
Slide 12: Agenda
AGENDA Company Overview and COVID-19 Update Page 3 Appendix Page 12 12 | FCPT | JUNE 2020
Slide 13: Company Momentum Since Inception in November 2015
COM PAN Y M OM ENTUM SINCE INCEPTI ON I N NOV E MBER 2015 Casual, Family & At Inception As of 3/31/2020 Fine Dining Team Members 4 +15 19 +$47.6 million / Annual Base Rent1 $94.4 million $142.0 million +50.4% Properties 418 +304 / +72.7% 722 Brands 5 +61 66 Tenant EBITDAR to 4.2x +0.5x 4.7x Rent Cov
Slide 14: Acquisition Growth
14 | FCPT | OCTOBER 2019 ACQUISITION GROWTH Annualized Cash Base Rent ($ million)1 139.4 142.0 +10% CAGR 126.8 129.7 130.9 120.9 125.6 108.0 109.4 109.6 101.0 102.1 105.2 105.3 94.4 94.4 94.4 95.9 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 Number of Pro
Slide 15: FCPT Evolution Since Spin-Off: Tenant Diversification
FCPT EVOLUTION SINCE SPIN- OFF: SIGNIFICANT PROGRESS ON TENANT DIVERSIFICATION Brand Exposure by Annualized Base Rent (ABR) 15% Other Darden2 110 leases 3% 20% 13 leases 104 leases Other Darden 9% 6% 14 leases 64 leases 74% 300 leases 52% Other Restaurants 305 leases 20% 215 leases 43 brands +50.4%
Slide 16: Geographic Diversification
GEOGRAPHIC DIVERSIFICATION ND WA MT MN ME 722 Properties SD WI ID MI VT NH OR WY NY IA MA NE CT RI PA OH NV IL IN NJ UT CO MD 46 States DE KS MO WV KY VA Annualized CA TN 1 OK NC Base Rent (%) AR ≥10.0% 66 Brands AZ NM SC MS AL 5.0%–10.0% GA LA 3.0%–5.0% TX 2.0%–3.0% 4.8 mm sq ft 1.0 %–2.0% FL <1.0%
Slide 17: Brand Diversification
BRAND DIVERSIFICATION FCPT Portfolio Brands Square Feet % of Square Feet % of (1) (1) Rank Brand Name Number (000s) ABR Rank Brand Name Number (000s) ABR 1 Olive Garden 305 2,599 52.4% 16 McDonald's 5 23 0.5% 2 Longhorn Steakhouse 110 614 14.5% 17 McAlister's Deli 4 15 0.4% 3 Chili's 64 352 9.0% 18
Slide 18: Lease Maturity Schedule
LEASE MATURITY SCHEDULE Long Term and Staggered Lease Maturities1 99.6% occupied2 as of 3/31/2020 Weighted average lease term of 10.8 years remaining 16.0% 14.0% Less than 6.1% of rental income 12.8% matures prior to 2027 11.4% 11.3% 10.4% 7.4% 3.2% 2.5% 2.9% 1.3% 0.7% 1.2% 0.9% 1.1% 0.8% 1.0% 0.0%
Slide 19: FCPT Debt Maturity Schedule
FCPT DEBT MATURITY SCHEDULE Predominantly Fixed Rate Debt with Staggered Maturities Undrawn Revolver Capacity(1) Drawn revolver Unsecured Term Loan Unsecured Notes (2) New Unsecured Notes $250 $150 $150 $150 $100 $75 $75 $50 $50 $50 $98 $50 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 % of
Slide 20: Glossary and Non-GAAP Definitions
GLOSSARY AND NON-GAAP DEFINITIONS Non-GAAP Definitions and Cautionary Note Regarding Forward-Looking Statements: This document includes certain non-GAAP financial measures that employed by other REITs. condition and results from operations, the utility of FFO as a measure management believes are hel
Slide 21: Reconciliation of Net Income to Adjusted EBITDAre
RECONCILIATION OF NET INCOME TO ADJUSTED EBITDARE ($000s, except shares and per share data) Three Months Ended March 31, Unaudited 2020 2019 Net Income $ 19,336 $ 17,601 Adjustments: Interest expense 7,003 6,747 Income tax expense 61 68 Depreciation and amortization 7,054 6,361 EBITDA(1) 33,454 30,7
Slide 22: Four Corners Property Trust
FOUR CORNERS PROPERTY TRUST NYSE: FCPT INVESTOR PRESENTATION | JUNE 2020 www.fcpt.com 22 | FCPT | JUNE 2020
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