Suntec Real Estate Investment Trust · SGX:T82U

Suntec Real Estate Investment Trust — Q4 2011 Earnings Presentation

15 slides from Suntec Real Estate Investment Trust's earnings presentation, January 2012

  1. Slide 1: Financial Results for the Fourth Quarter and Financial Year ended 31 Dec 2011

    Trust Management Financial Results (Suntec) for the Fourth Limited Quarter and Financial Year ended 31 Dec 2011 Agenda  Key Highlights  Financial Performance  Portfolio Performance  Growth G h SStrategies i  Unit Performance Source: ARA Trust Management (Suntec) Limited (“ARATMS”) 2

  2. Slide 2: Key Highlights

    Key Highlights 3 Highlights of FY11 FY11 distributable income +20.9% Y‐O‐Y (+14.5% against Forecast1) FY11 DPU +0.7% Y‐O‐Y (+14.2% against Forecast1) Portfolio occupancy of 99.2% (Office) and 97.5% (Retail) Acquired additional 40.8% interest in Suntec Singapore Divested Chijmes at $177 mil (23.2% (2

  3. Slide 3: Financial Performance: 4Q FY11

    Financial Performance 5 Financial Performance: 4Q FY11 Distributable Income 23.1% higher year‐on‐year 1 October – 31 December 2011 4Q FY11 4Q FY10 Change Gross Revenue S$80.0 mil S$61.4 mil 30.4% Net Property Income S$52.0 mil S$47.2 mil 10.1% Distributable Income S$55.3 mil S$44.9 mil 23.1% Distrib

  4. Slide 4: Financial Performance: 4Q FY11 Comparison Against Forecast

    Financial Performance: 4Q FY11 Comparison Against Forecast1 Quarterly DPU outperformed Forecast1 by 19.9% 1 October – 31 December 2011 4Q FY11 4Q FY11F1 Change Gross Revenue S$80.0 mil S$60.0 mil 33.5% Net Property Income S$52.0 mil S$43.9 mil 18.4% Distribution income S$55.3 mil S$45.8 mil 20.7% Di

  5. Slide 5: Financial Performance: FY11 Comparison Against Forecast

    Financial Performance: FY11 Comparison Against Forecast1 FY11 DPU 14.2% above Forecast1 1 January – 31 December 2011 FY11 FY11F1 Change Gross Revenue S$270.3 mil S$243.6mil 10.9% Net Property Income S$193.4 mil S$181.7mil 6.4% Distribution income S$220.7 mil S$192.8mil 14.5% Distribution per unit2 9

  6. Slide 6: Debt-to-Asset Ratio Improved to 37.3%

    Debt‐to‐Asset Ratio Improved to 37.3% Debt Metrics 31 Dec 2011 TTotal t l Debt D bt Outstanding O t t di S$2 822 bil S$2.822 (consolidated) Debt‐to‐Asset Ratio1 37.3% A Average All All‐in i Fi Financing i C Cost 2 81% 2.81% Interest Coverage Ratio 4.4 Corporate Family Rating “Baa2” Note: 1. Suntec R

  7. Slide 7: $4.35 billion of Financing Since June 2008

    $4.35 billion of Financing Since June 2008 Financing Track Record 1,200 1,105 1,000 870 825 800 700 S$ mil 600 429 400 270 200 153 - Jun 2008 Apr 2009 Dec 2009 Oct 2010 Dec 2010 Aug 2011 Debt Equity Global Financial Crisis  Raised S$3.77 bil of debt financing  Raised S$582 mil of equity financing

  8. Slide 8: Distribution Timetable / Portfolio Performance

    Distribution Timetable Distribution Payment Distribution Period 1 October 2011 – 31 December 2011 Amount ((cents/unit)) 2.479 Ex‐date 31 January 2012 Books k closure l date d 2 February b 2012 Payment date 28 February 2012 Source: ARATMS 15 Portfolio Performance 16

  9. Slide 9: Strong Portfolio Committed Occupancy

    Strong Portfolio Committed Occupancy Property As at As at As at As at As at Dec 10 Mar 11 Jun 11 Sep 11 Dec 11 Suntec City: ‐ Office 99.1% 99.5% 99.5% 98.0% 99.2% ‐ Retail 97.9% 97.9% 97.1% 96.5% 96.7% Park Mall: ‐ Office 100% 100% 100% 100% 100% ‐ Retail 100% 100% 100% 100% 100% Chijmes 99.5% 97.8%

  10. Slide 10: Office Leases Expiring in FY 2012 Down to 10.1%

    Office Leases Expiring in FY 2012 Down to 10.1% Lease Expiry as % of Total Office NLA1 (sq ft) Expiry Profile Net Lettable Area1 40.0% 35 9% 35.9% As at 31 Dec 2011 Sq ft % of Total 35.0% 30.0% FY 2012 243,619 10.1% 25.0% 22.6% 19 8% 19.8% FY 2013 544 616 544,616 22 6% 22.6% 20.0% 15.0% FY 2014 478,

  11. Slide 11: Committed Retail Passing Rents Remained Stable

    Committed Retail Passing Rents Remained Stable $12.00 $10.92 $10.99 $10.95 $10.89 $10.71 $10.67 $10.63 $10.73 $10.79 $10.74 $10.79 $10.75 $10.70 $10.48 $10.27 $10.16 $10.10 $10.09 $10.00 $8.00 $7.47 $7.48 $7.51 $7.70 $7.46 $7.45 $7.44 $7.44 $7.45 $psf pm m Parkk Mallll $6.00 Chijmes Suntec City $4.0

  12. Slide 12: Growth Strategies: AUM increased to S$7.7 Billion

    Growth Strategies 23 AUM increased to S$ 7.7 Billion AUM (S$b) 7.7 7.0 7.3 5.4 5.2 4.6 3.2 2.2 2.3 Dec 04 Sep-05 Sep-06 Sep-07 Dec-08 Dec-09 Dec-10 Sep-11 Dec-11  Singapore’s 2nd largest REIT by AUM with a strong portfolio of strategically‐located prime assets  Office portfolio of 2 2.4 4 mil sq f

  13. Slide 13: Well-positioned in S-REIT Sector

    Well‐positioned in S‐REIT Sector  Cautiously optimistic on the economic outlook and the office sector Outlook recovery  Proven track record in enhancing the performance of our property portfolio Track Record  Strong credit standing and debt financing record  Delivered 65.3 cents of DPU since IPO

  14. Slide 14: Inherent Value in Suntec REIT

    Inherent Value in Suntec REIT  FY 2011 DPU of 9.932 cents  Total DPU of 65.3 cents for the last 7 years since IPO  Discount to NAV of 45.9%1  Strong 12‐month forward yield of 8.37%1,2 (based on consensus DPU)  Market Capitalisation of S$2.4 billion, with high daily average traded volume of 5.2

  15. Slide 15: Thank You / Disclaimer

    Thank You 29 Disclaimer This presentation Thi t ti is i focused f d on the th comparison i off actual t l results lt for f the th twelve t l months th ended d d 31 December D b 2011 versus resultslt achieved hi d in the twelve months ended 31 December 2011 and the Forecast as set out in Suntec REIT’

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