Mapletree Industrial Trust · SGX:ME8U

Mapletree Industrial Trust — 1QFY22/23 Earnings Presentation

29 slides from Mapletree Industrial Trust's earnings presentation, Jul 25, 2022

  1. Slide 1: 1QFY22/23 Financial Results

    1QFY22/23 Financial Results 25 July 2022

  2. Slide 2: Important Notice

    Important Notice This presentation shall be read in conjunction with Mapletree Industrial Trust’s (“MIT”) financial results for First Quarter Financial Year 2022/2023 in the SGXNET announcement dated 25 July 2022. This presentation is for information only and does not constitute an offer or solicita

  3. Slide 3: Contents

    Contents 01 Key Highlights – 1 Apr 2022 to 30 Jun 2022 02 1QFY22/23 Financial Performance 03 Portfolio Update 04 Investment Update 05 Outlook and Strategy 3

  4. Slide 4: Key Highlights 1 Apr 2022 to 30 Jun 2022

    KEY HIGHLIGHTS 1 APR 2022 TO 30 JUN 2022 Data Centres, 13831 Katy Freeway, Houston

  5. Slide 5: Key Highlights

    Key Highlights  Growth driven by contribution from the 29 data centres acquired in the United States • 1QFY22/23 Distributable Income: S$92.1 million ( 11.4% y-o-y) • 1QFY22/23 DPU: 3.49 cents ( 4.2% y-o-y)  Portfolio and investment updates • Average Overall Portfolio occupancy increased q-o-q fro

  6. Slide 6: Sustainable and Growing Returns

    Sustainable and Growing Returns Distributable Income DPU (S$ million) (cents) 3.49 3.47 3.49 3.49 100 3.30 3.35 3.50 3.28 92.1 3.13 3.16 90.3 90 3.10 3.10 88.4 89.5 2.87 81.1 82.7 3.00 2.85 80 72.9 70.6 70.7 70 69.4 69.2 2.50 63.5 63.2 60 2.00 50 1.50 40 30 1.00 20 0.50 10 0 0.00 3Q¹ 4Q 1Q 2Q 3Q 4Q

  7. Slide 7: 1QFY22/23 Financial Performance

    1QFY22/23 FINANCIAL PERFORMANCE Hi-Tech Buildings, build-to-suit project for HP

  8. Slide 8: Statement of Profit or Loss (Year-on-Year)

    Statement of Profit or Loss (Year-on-Year) 1QFY22/23 1QFY21/22  / () (S$’000) (S$’000) Gross revenue 167,805 128,059 31.0% Property operating expenses (37,902) (23,340) 62.4% Net property income 129,903 104,719 24.0% Borrowing costs (19,947) (15,238) 30.9% Trust expenses (16,558) (12,943) 27.9% Ga

  9. Slide 9: Statement of Profit or Loss (Qtr-on-Qtr)

    Statement of Profit or Loss (Qtr-on-Qtr) 1QFY22/23 4QFY21/22  / () (S$’000) (S$’000) Gross revenue 167,805 164,092 2.3% Property operating expenses (37,902) (39,885) (5.0%) Net property income 129,903 124,207 4.6% Borrowing costs (19,947) (18,979) 5.1% Trust expenses1 (16,558) (20,913) (20.8%) Gai

  10. Slide 10: Statement of Financial Position

    Statement of Financial Position 30 Jun 2022 31 Mar 2022  / () Total assets (S$’000) 8,581,859 8,479,971 1.2% Total liabilities (S$’000) 3,225,858 3,201,113 0.8% Net assets attributable to Unitholders 5,056,529 4,977,056 1.6% (S$’000) Net asset value per Unit (S$)1 1.88 1.86 1.1% 1 Net tangible ass

  11. Slide 11: Strong Balance Sheet

    Strong Balance Sheet 30 Jun 2022 31 Mar 2022 DEBT CURRENCY PROFILE As at 30 June 2022 Total debt S$2,940.7 million S$2,904.1 million 20.8% Weighted average 3.7 years 3.8 years tenor of debt Aggregate leverage 38.4% 38.4% ratio1 Strong balance sheet to pursue growth opportunities  ‘BBB+’ rating with

  12. Slide 12: Well Diversified Debt Maturity Profile

    Well Diversified Debt Maturity Profile DEBT MATURITY PROFILE As at 30 June 2022 29.6% 23.4% 20.9% 13.2% 869.8 553.6 688.8 5.9% 343.5 4.3% 2.7% 175.0 125.0 45.0 80.0 60.0 - - - FY22/23 FY23/24 FY24/25 FY25/26 FY26/27 FY27/28 FY28/29 MTN Bank Loans Amounts in S$ million Weighted Average Tenor of Debt

  13. Slide 13: Risk Management

    Risk Management 30 Jun 2022 31 Mar 2022 Fixed as a % of total debt 72.3% 70.5% Weighted average hedge tenor 4.2 years 3.6 years Weighted average all-in funding 2.5% 2.4% cost for the quarter Interest coverage ratio (“ICR”) 6.0 times 5.7 times for the quarter ICR for the trailing 12 months1 6.2 times

  14. Slide 14: Portfolio Update

    PORTFOLIO UPDATE Business Park Buildings, The Strategy and The Synergy

  15. Slide 15: 141 Properties Across 6 Property Segments

    141 Properties Across 6 Property Segments S$8.8 billion1 24.1 million2 >2,000 tenants AUM NLA (sq ft) Tenant Base Light Industrial Buildings Stack-up/Ramp-up 0.6% Data Centres: 54.3% Buildings North America: 50.9% 5.6% Singapore: 3.4% Flatted Factories 16.7% Data Centres Flatted Factories AUM1 Bus

  16. Slide 16: Portfolio Overview

    Portfolio Overview Singapore North American Overall Portfolio Portfolio Portfolio Number of properties 85 56 141 NLA (million sq ft) 15.8 8.31 24.11 Occupancy (%) 1QFY22/23 96.0 94.0 95.32 4QFY21/22 94.4 93.3 94.02 SEGMENTAL OCCUPANCY RATES1 2 2 98.6% 98.8% 97.0% 97.7% 93.9% 94.5% 93.6% 95.5% 92.6%

  17. Slide 17: Lease Expiry Profile

    Lease Expiry Profile EXPIRING LEASES BY GROSS RENTAL INCOME1 As at 30 June 2022 WALE based on date of commencement of leases (years)2 North American Portfolio 6.2 Singapore Portfolio 2.7 Overall Portfolio1 4.1 36.1% 18.3% 16.4% 13.3% 10.6% 5.3% FY22/23 FY23/24 FY24/25 FY25/26 FY26/27 FY27/28 & Beyon

  18. Slide 18: Large and Diversified Tenant Base

    Large and Diversified Tenant Base TOP 10 TENANTS BY GROSS RENTAL INCOME1 As at 30 June 2022 6.1%  Over 2,000 tenants  Largest tenant contributes 6.1% of Portfolio’s Gross Rental Income 5.4%  Top 10 tenants forms about 29.8% of Portfolio’s Gross Rental Income Hi-Tech Buildings Data Centres 3.1% 3.

  19. Slide 19: Tenant Diversification Across Trade Sectors

    Tenant Diversification Across Trade Sectors1 No single trade sector accounted >17% of Portfolio’s Gross Rental Income By Gross Rental Income As at 30 Jun 2022 1 Based on MIT’s 50% interest of the joint venture with MIPL in three fully fitted hyperscale data centres and 10 powered shell data centres

  20. Slide 20: Singapore Portfolio Performance

    Singapore Portfolio Performance Occupancy Gross Rental Rate S$ psf/mth 100% $2.50 96.0% 92.9% 93.6% 94.4% 92.2% 93.4% 93.7% 90.2% 90.7% 91.5% 90.5% 90.5% 90.2% 90% $2.13 $2.13 $2.13 $2.10 $2.12 $2.08 80% $2.13 $2.13 $2.11 $2.11 $2.10 $2.05 $2.00 $2.03 70% 60% 50% $1.50 40% 30% $1.00 20% 10% 0% $0.50

  21. Slide 21: Rental Revisions (Singapore)

    Rental Revisions (Singapore) GROSS RENTAL RATE (S$ PSF/MTH)1 For Period 1QFY22/23 Before Renewal $4.16 $3.91 After Renewal $3.70 New Leases $3.48 $3.55 $3.17 Passing Rent $3.56 $3.23 $1.80 $1.84 $1.71 $1.28 $1.29 $1.30 $1.75 $1.28 Hi-Tech Buildings Business Park Buildings Flatted Factories Stack-Up/

  22. Slide 22: Healthy Tenant Retention (Singapore)

    Healthy Tenant Retention (Singapore) LONG STAYING TENANTS RETENTION RATE FOR 1QFY22/23 Up to 1 yr 12.4% >10 yrs 88.0% 87.2% 89.7% 32.6% 86.2% >1 to 2 yrs 9.8% 4 yrs or 58.0% less More than 38.7% 4 yrs > 2 to 3 yrs 61.3% 7.4% >3 to 4 yrs N.A. N.A. 9.1% Data Hi-Tech Business Flatted Stack-up / Light S

  23. Slide 23: Investment Update

    INVESTMENT UPDATE Data Centres, 44490 Chilum Place (ACC2), Northern Virginia

  24. Slide 24: Redevelopment – Kolam Ayer 2

    Redevelopment – Kolam Ayer 21 161, 163 & 165 Kallang Way1 GFA Plot Ratio Kolam Ayer 2 Cluster Two Flatted Factories and an amenity centre 506,720 sq ft 1.5 Three New Hi-Tech Buildings, including a After Redevelopment 865,600 sq ft 2.5 seven-storey BTS Facility for Anchor Tenant Artist’s impression o

  25. Slide 25: Divestments

    Divestments 19 Changi South Street 1, 19675 West Ten Mile Road, Singapore Southfield, Michigan Two-storey Light Industrial Building Description Four-storey Data Centre with a four-storey extension block Sale Price S$13.0 million US$10.0 million Valuation S$11.9 million1 US$6.9 million3 Purchase Pric

  26. Slide 26: Outlook and Strategy

    OUTLOOK AND Data Centres, 7337 Trade Street, San Diego STRATEGY

  27. Slide 27: Outlook

    Outlook Challenging operating environment in view of global uncertainties  Rising energy prices continue to pose a risk of increased property operating expenses amid volatile utility tariffs. Interest expenses are expected to increase in tandem with interest rate hikes as central banks tightened th

  28. Slide 28: Diversified and Resilient

    Diversified and Resilient  Anchored by large and diversified tenant base with low dependence Stable and on any single tenant or trade sector Resilient Portfolio  Focus on tenant retention to maintain a stable portfolio occupancy  Hedged borrowings of 72.3% and weighted average hedge tenor of 4.2

  29. Slide 29: End of Presentation

    End of Presentation For enquiries, please contact Ms Melissa Tan, Director, Investor Relations, DID: (65) 6377 6113, Email: melissa.tanhl@mapletree.com.sg

Mapletree Industrial Trust — 1QFY22/23 Earnings Presentation on 6ix