Hektar Real Estate Investment Trust · MYX:HEKTAR

Hektar Real Estate Investment Trust — Q3 2018 Earnings Presentation

17 slides from Hektar Real Estate Investment Trust's earnings presentation, Nov 27, 2018

  1. Slide 1: Third Quarter 2018 Financial Results Presentation

    THIRD QUARTER 2018 FINANCIAL RESULTS PRESENTATION 27 NOVEMBER 2018 HEKTAR ASSET MANAGEMENT SDN BHD

  2. Slide 2: Disclaimer

    PRIVATE & CONFIDENTIAL 2 Disclaimer The material that follows is a presentation of general background information about the activities of Hektar REIT (including Hektar REIT’s any other affiliates) as at the date of this Presentation. The information contained herein is given in summary form solely t

  3. Slide 3: Financial Summary

    PRIVATE & CONFIDENTIAL 3 Financial Summary Third Quarter FY 2018 1st July 2018 – 30th Sept 2018 Commentary ▪ 3Q 2018 Dividend per unit (DPU) of 2.10sen ▪ 3Q 2018 Gross revenue +9.7%, NPI +14.1%, Realised Income +10.8% from preceding year ▪ Realised Net Income per Unit for the period fell 1.9% on enl

  4. Slide 4: Distribution Details

    PRIVATE & CONFIDENTIAL 4 Distribution Details Current Distribution Details for FY 2018 Hektar REIT Third Quarter 2018 Distribution Policy Barring unforeseen circumstances, Hektar ▪Distribution Period: 1 July 2018 – 30 September 2018 REIT will pay distributions equivalent to at ▪Quarterly DPU: 2.10 s

  5. Slide 5: Portfolio Performance

    PRIVATE & CONFIDENTIAL 5 Portfolio Performance Overall Occupancy at ~91.6% ► Rental Reversions 7.9% for 3Q18 ► Tenancy Expiry Profile ►

  6. Slide 6: Hektar REIT Portfolio - Occupancy

    PRIVATE & CONFIDENTIAL 6 Hektar REIT Portfolio - Occupancy Overall occupancy level still healthy • Temporary decline in Segamat Central due to change in main anchor tenant and in Subang Parade due to the planning of Asset Enhancement Initiatives. Hektar REIT Portfolio Occupancy As at As at As at As

  7. Slide 7: Hektar REIT Portfolio – Occupancy (Continued)

    PRIVATE & CONFIDENTIAL 7 Hektar REIT Portfolio – Occupancy (Continued) Hektar REIT Portfolio Occupancy Central Square Occupancy (%) Kulim Central Occupancy (%) Segamat Central Occupancy (%) 100% 100% 100% 90% 90% 90% 80% 80% 80% Portfolio Occupancy (%) 100.0% 95.0% 90.0% 85.0% 80.0% '04 '05 '06 '07

  8. Slide 8: Rental Reversions 7.9% for 3Q 2018

    PRIVATE & CONFIDENTIAL 8 Hektar REIT Portfolio – Rental Reversions Rental Reversions 7.9% for 3Q 2018 Subang Parade: ▪ Positive reversion were recorded at all the properties from Subang Parade, 1) 8 tenants were renewed and 1 new Mahkota Parade, Wetex Parade, Central Square, Kulim Central to Segamat

  9. Slide 9: Hektar REIT Portfolio – Tenancy Expiry Profile

    PRIVATE & CONFIDENTIAL 9 Hektar REIT Portfolio – Tenancy Expiry Profile Hektar REIT Tenancy Expiry Profile by Property as at 30 Sep 2018 Subang Parade No. of NLA NLA of Tenancies % of Total Subang Parade Period Ending Tenancies ofTenancies Expiring as % of Monthly 30% 30 Sep Expiring Expiring Total

  10. Slide 10: Hektar REIT Portfolio – Tenancy Expiry Profile

    PRIVATE & CONFIDENTIAL 10 Hektar REIT Portfolio – Tenancy Expiry Profile Hektar REIT Tenancy Expiry Profile by Property as at 30 Sep 2018 Central Square No. of NLA of Tenancies NLA of Tenancies % of Total Central Square 57% Period Ending Tenancies Expiring Expiring as % of Monthly Rental 30 Sep 47%

  11. Slide 11: Tenancy Portfolio Expiry Profile 2018 – 2021

    PRIVATE & CONFIDENTIAL 11 Hektar REIT Portfolio – Tenancy Expiry Profile Tenancy Portfolio Expiry Profile 2018 – 2021 ▪ FY2018 – 134 tenancy expiries account for approximately 29% of monthly rental income* Reduced from 60% as at 1 Jan 2018 Hektar REIT Tenancy Expiry Profile – Overall Portfolio As at

  12. Slide 12: Financial Results

    PRIVATE & CONFIDENTIAL 12 Financial Results 3Q2018 Gross Revenue up 9.7%; NPI up 14.1% from preceding year ► 3Q2018 Realised Income higher 10.8% from preceding year ►

  13. Slide 13: Income Statement – Quarter Comparative

    PRIVATE & CONFIDENTIAL 13 Income Statement – Quarter Comparative 3Q2018 Revenue up 9.7%, NPI up 14.1%, Realised Income increased 10.8% vs corresponding quarter 3Q2017 Income Statement 3Q18 3Q17 Variance Third Quarter 2018 (Unaudited) (RM '000) (RM '000) (%) Revenue 33,419 30,458 +9.7% Direct Cost &

  14. Slide 14: Income Statement – Year-To-Date Comparative

    PRIVATE & CONFIDENTIAL 14 Income Statement – Year-To-Date Comparative For Period 1 Jan – 30 Sep 2018 (versus previous comparable period) Income Statement FY18 FY17 Variance Year-To-Date (Unaudited) (RM '000) (RM '000) (%) Revenue 101,226 92,102 +9.9% Direct Cost & Property Expenses (42,777) (39,277)

  15. Slide 15: Balance Sheet

    PRIVATE & CONFIDENTIAL 15 Balance Sheet Hektar REIT’s Balance Sheet for 3Q 2018 Balance Sheet As at 30.9.2018 As at 31.12.2017 (Unaudited) (RM '000) (RM '000) Non-Current Assets Investment Properties 1,194,569 1,194,569 Plant & Equipment 22 94 Unit Price Statistics Capital Work in Progress 30,312 15

  16. Slide 16: Debt Profile

    PRIVATE & CONFIDENTIAL 16 Debt Profile Debt Profile for 3Q 2018 Financing Details Al-Murabahah / OD Debt Information Fixed Term Loan, Floating Rate with Partial Hedging As at 30 Sep 2018 Structure: Cost of Funds + 0.70% Tranche 3 ▪ Total Debt: RM563 million Tranche 1 Tranche 2 ▪ Term: 5 Years, Expir

  17. Slide 17: Creating The Places Where People Love To Shop

    PRIVATE & CONFIDENTIAL 17 Contact “Creating The Places Where People Love To Shop” Investor Relations Hektar Asset Management Sdn Bhd D1-U3-10, Solaris Dutamas No.1, Jalan Dutamas 1 50480 Kuala Lumpur MALAYSIA Tel: +6 03 6205 5570  Fax: +6 03 6205 5571  Web: www.HektarREIT.com Please visit our web

Hektar Real Estate Investment Trust — Q3 2018 Earnings Presentation on 6ix