Emirates REIT (CEIC) PLC · NASDAQDUBAI:REIT
Emirates REIT (CEIC) — Q3 2022 Earnings Presentation
21 slides from Emirates REIT (CEIC)'s earnings presentation, November 2022
Slide 1: 3Q 2022 Results Presentation
3Q 2022 RESULTS PRESENTATION NOVEMBER 2022
Slide 2: Disclaimer
INTRODUCTION DISCLAIMER PAGE 2 This presentation has been prepared by Equitativa Such statements reflect current views on, among Neither Equitativa nor Emirates REIT intend or among other things, general business and (Dubai) Limited (“Equitativa” or the “Manager”), other things, markets, activities
Slide 3: Key Highlights
KEY HIGHLIGHTS INTRODUCTION PAGE 3 SUSTAINED IMPROVEMENT IN OPERATIONS AND NET ASSET VALUE Y-O-Y OCCUPANCY (1) INVESTMENT PROPERTY NET ASSET VALUE 81.9% USD 766.3m USD 359.7m +13.6 p.p. +5.9% +30.5% NET PROPERTY INCOME (2) NET PROFIT EARNINGS PER SHARE USD 41.1m USD 69.0m USD 0.216 -3.4% +39.9% +33.
Slide 4: Market Overview
MARKET OVERVIEW
Slide 5: Macroeconomic Overview
MARKET OVERVIEW MACROECONOMIC OVERVIEW PAGE 5 • The UAE economy continued its recovery into 2022 on the back of an increase • The UAE and Dubai continued to exhibit positive momentum into 3Q 2022, with the non-oil in tourism, higher energy prices and a rebounding services sector. private sector Purc
Slide 6: Dubai Office Market Update
MARKET OVERVIEW DUBAI OFFICE MARKET UPDATE PAGE 6 OFFICE OCCUPANCY 3Q 2021 VS 3Q 2022 • As per research, city-wide occupancy levels have risen to 83% in 3Q 2022 and are at their highest since the 2014 peak, notably as a result of an absorption of over 500,000 sq.m. of office space over the last 12 m
Slide 7: Dubai Retail Market Update
MARKET OVERVIEW DUBAI RETAIL MARKET UPDATE PAGE 7 • There were no new retail completions in Dubai in 2Q 2022 and the total stock remains unchanged at 4.6 million sq.m. DUBAI RETAIL MARKET: TOTAL STOCK, EXPECTED DELIVERIES & RENTAL RATES • In 2H 2022, approximately 333,000 sq.m. of retail space is sc
Slide 8: Operational Highlights
OPERATIONAL HIGHLIGHTS
Slide 9: Operational Highlights
OPERATIONAL HIGHLIGHTS OPERATIONAL HIGHLIGHTS PAGE 9 • Occupancy across the portfolio was stable during 3Q 2022 at 81.9%. • Occupancy at Index Tower increased by 1.2 p.p. during 3Q 2022 to 80.9% with a blended rental rate increase of 1.3%. • Rental rates across the commercial portfolio increased by
Slide 10: Office Portfolio
OFFICE PORTFOLIO OPERATIONAL HIGHLIGHTS OPERATIONAL HIGHLIGHTS PAGE 10 PAGE 10 INDEX TOWER • Occupancy: 87.0%, an increase in occupancy by 1 p.p. during 3Q 2022. • Leasing enquiries largely driven by premium fully fitted and furnished offices. OFFICE PARK • Occupancy stable at 79.8%. • Good level of
Slide 11: Office Portfolio
OFFICE PORTFOLIO OPERATIONAL HIGHLIGHTS OPERATIONAL HIGHLIGHTS PAGE 11 PAGE 11 EUROPEAN BUSINESS CENTRE • Occupancy: 65.9%, decreased by 2.8 p.p. during 3Q 2022. • Premium building with high visibility and direct access to the metro station. • Ongoing property improvements: • Access and road works c
Slide 12: Retail Portfolio
RETAIL PORTFOLIO OPERATIONAL HIGHLIGHTS PAGE 12 INDEX MALL • Occupancy: 48.0%, an increase of 2 p.p. during 3Q 2022. • Opening of Smart Salem Medical Fitness Centre, driving increased traffic and attractiveness of retail area. • Increased footfall at Index Mall (GF level now 75.0% occupied). • An in
Slide 13: Education Portfolio
EDUCATION PORTFOLIO OPERATIONAL HIGHLIGHTS PAGE 13 GEMS WORLD ACADEMY • Continued property improvements by GEMS, keeping state of the art facilities for one of their flagship schools LYCEE FRANCAIS JEAN MERMOZ • On-going construction works for phase 3, with completion expected by 1H 2023. • Strong S
Slide 14: Y-O-Y Occupancy Change +13.6p.p.
Y-O-Y OCCUPANCY CHANGE OPERATIONAL HIGHLIGHTS PAGE 14 3Q 2021 +13.6p.p. 3Q 2022 (1) 68.3% 81.9% (1)On a like-for-like basis, excluding Jebel Ali School
Slide 15: Financial Highlights
TITLE01 FINANCIAL TITLE02 HIGHLIGHTS 15
Slide 16: Consolidated Statement of Comprehensive Income
CONSOLIDATED STATEMENT FINANCIAL HIGHLIGHTS PAGE 16 OF COMPREHENSIVE INCOME FOR THE 9 MONTH PERIOD ENDED • Rental, fee & other income for the 9 month period ended IN USD ‘000 SEP 30, 2022 SEP 30, 2021 CHANGE Y-O-Y Sept 30, 2022 amounted to USD 51.7m compared to USD 45.7m in same period last year (up
Slide 17: Consolidated Statement of Financial Position
CONSOLIDATED STATEMENT FINANCIAL HIGHLIGHTS PAGE 17 OF FINANCIAL POSITION AS AT • Driven by continued improvement in asset performance, IN USD ‘000 SEP 30, 2022 SEP 30, 2021 CHANGE Y-O-Y the value of the investment property portfolio recorded a 5.9% increase y-o-y. Disregarding the effect of asset d
Slide 18: Consolidated Statement of Comprehensive Income (Quarter)
CONSOLIDATED STATEMENT FINANCIAL HIGHLIGHTS PAGE 18 OF COMPREHENSIVE INCOME FOR THE QUARTER ENDED IN USD ‘000 SEP 30, 2022 JUN 30, 2022 CHANGE Q-O-Q • Total Property Income for 3Q 2022 amounted to USD 17.3m, up 9.7% q-o-q. Disregarding the impact of the RENTAL, FEE & OTHER INCOME 17,312 17,243 0.4%
Slide 19: Net Property Income
NET PROPERTY INCOME FINANCIAL HIGHLIGHTS PAGE 19 USD M -3.4% +18.1% One-off gain resulting One-off loss resulting 50.0 20.0 fl 1.5 (1.5) 6.5 37.5 15.0 6.5 (1.5) 1.5 25.0 10.0 42.5 41.1 42.6 36.0 14.1 14.3 14.1 13.5 11.7 12.0 12.3 11.4 12.5 5.0 0.0 0.0 YTD 2021 YTD 2022 YTD 2021 YTD 2022 4Q 2020 1Q 2
Slide 20: Operating Profit
OPERATING PROFIT FINANCIAL HIGHLIGHTS PAGE 20 +23.9% USD M 40.0 Impact of the voluntary 1.2 6.4 One-off gain resulting 1.5 (1.5) One-off loss 30.0 One-off gain resulting 6.5 fl 20.0 29.6 23.9 10.0 0.0 YTD 2021 YTD 2022 38.0 28.1 Y-O-Y OPERATING PROFIT DOWN BY -26.0% DISREGARDING ONE-OFFS (1) THE OPE
Slide 21: Thank You
Jee Emirates REIT THANK YOU EQUITATIVA