Hektar Real Estate Investment Trust · MYX:HEKTAR
Hektar Real Estate Investment Trust — Q3 2022 Earnings Presentation
22 slides from Hektar Real Estate Investment Trust's earnings presentation, Nov 15, 2022
Slide 1: Hektar REIT 3Q 2022 Results Presentation
Creating The Places People Love HEKTAR REAL ESTATE INVESTMENT TRUST 3Q 2022 RESULTS PRESENTATION 15 November 2022
Slide 2: Hektar REIT: Malaysia's First Retail-Focused REIT
Hektar REIT: Malaysia’s First Retail-Focused REIT 2 ORGANISATION DIVERSIFICATION STRATEGIC PARTNER UNITHOLDERS Frasers Centrepoint Strategic Partner MANAGER TRUSTEE Hektar Asset MTrustee Bhd Management Sdn Bhd PROPERTY MANAGER Hektar Property HEKTAR PORTFOLIO Services Sdn Bhd DISCLAIMER: The materia
Slide 3: Table of Contents
Table of Contents 01 Key Highlights 02 Financial Performance 03 Portfolio Updates 04 Sustainability 05 Key Takeaways
Slide 4: Key Highlights 3Q 2022
KEY HIGHLIGHTS 3Q 2022 POSITIVE OUTLOOK WITH IMPROVEMENT IN OVERALL PERFORMANCE & RECOGNITION FOR ENHANCED ESG PRACTICES FINANCIAL • Revenue is higher by 62% • NPI up by 77%. • Realized Income up by 862%. • Annualised dividend yield of 6.79%. ESG OPERATIONAL • Upgraded ESG 4-star rating by FTSE Russ
Slide 5: Financial Performance
5 Financial Performance Subang Parade, Subang, Selangor
Slide 6: Financial Highlights
Financial Highlights 6 Third Quarter 2022 (3Q22) YTD September 2022 (9M22) July-September 2022 | 3 Months Jan-September 2022 | 9 Months RM '000 ▲ 25.0% RM '000 ▲ 62.4% 9M22 100,000 35,000 3Q22 89,554 31,066 90,000 9M21 30,000 80,000 71,620 ▲ 77.2% EPU: 2.87 sen 70,000 ▲ 40.4% EPU: 7.18 sen 25,000 3Q
Slide 7: Debt Profile
Debt Profile 7 EXPIRY PROFILE 2022-2026 DEBT SUMMARY September 2022 RM million RM556.2 million 83.2% Total Debt 500.0 462.6 [FY2021: RM581.1 million] 400.0 300.0 3.49% Effective Cost 200.0 [FY2021: 3.27%] 9.0% 100.0 2.7% 5.1% 50.0 15.0 28.6 0.0 46.4% 2022 2024 2025 2026 Gearing Ratio1 [FY2021: 47.2%
Slide 8: Comparative 9-Months Price Performance Trend
Comparative 9-Months Price Performance Trend 8 40.00% Discount to NAV: 55.2% NAV per unit (as at 30 September): RM1.182 30.00% 20.00% FBM KLCI 10.00% REIT Index 0.00% Hektar REIT -10.00% -20.00% Jan-22 Feb-22 Mar-22 Apr-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 PERFORMANCE STATISTICS TOTAL RETURN Openin
Slide 9: Portfolio Updates
9 Portfolio Updates
Slide 10: Portfolio Highlights
Portfolio Highlights 10 OCCUPANCY RATE 82.3% in 3Q 2022 • Occupancy rate maintained at above 80% as at 85.6% September 2022. • Occupancy rate is expected to recover in tandem with the growth in economy and ongoing strategies such as tenant remixing. 82.3% 3Q21 3Q22 TENANT SALES ▲ 142% in 3Q 2022 (‘0
Slide 11: Portfolio Highlights
Portfolio Highlights 11 ▲ 269% in 3Q 2022 FOOTFALL ('000) • Higher footfall y-o-y of 269% ▲ 6,000 5,560 • Gradual improvement in footfall i.e. 69% in 3Q 5,000 2022 towards pre-pandemic levels. 4,000 • To enhance mall activities to attract more visitor 3,000 footfall moving forward. 2,000 1,506 1,000
Slide 12: Tenancies expiry well distributed
Tenancies expiry well distributed 12 • 447,373 sq. ft. or about 22% of total NLA expiring in 2022. • Overall, a total of 120 tenancies covering 282,648 sq. ft. have been renewed as of 30 September 2022, representing 13.8% of total NLA. • A remaining of 8.1% of total NLA to be renewed for the year 20
Slide 13: Classic Hotel: Significant Improvements in Occupancy & ARR
Classic Hotel: Significant Improvements 13 in Overall Occupancy & Average Room Rate (ARR) • Overall Occupancy Rate in September 2022 increased to 46% from 17% in 2021. • ARR increased by about 9% to RM136.47 from RM125.61. 60% 150.00 145.00 50% 140.00 40% Occupancy Rate (%) 135.00 ARR (RM) 30% 130.0
Slide 14: Refreshed retail offerings at Hektar Malls
Refreshed retail offerings at Hektar Malls 14 Lazo Diamond, Wetex Parade Big Apple, Wetex Parade Kenny Rogers, Kulim Central Tealive, Central Square Wonderlab, Mahkota Parade CHK, Segamat Central McDonalds, Central Square Samsung, Kulim Central Zone Mobility, Kulim Central Honor, Segamat Central Fel
Slide 15: Marketing campaigns and initiatives
Marketing campaigns and initiatives 15 Malaysia Day, Kulim Central Merdeka Fashion Show, Subang Parade Ethnic Dance Competition, Segamat Central Abang Long Fadil 3 Meet & Greet, Mahkota Parade Art Exhibition by Pei Hwa High School, Wetex Parade Kejohanan Karate-Do, Central Square
Slide 16: Sustainability
Sustainability Walk & Clean @ Gunung Jerai, Kedah
Slide 17: Sustainability Initiatives by some of our Tenants
Sustainability Initiatives by some of our Tenants 17 Village Grocer: Zero Waste Refill Station Watsons: Bring Your Own Bag (BYOB) Body Shop: Refill Scheme to save plastic Coffee Bean & Tea Leaf: #SaveOurOceans with Popular Bookstore: 10% sales donated biodegradable, edible, and 100% turtle-friendly
Slide 18: CSR Activities 3Q 2022
CSR Activities 3Q 2022 18 Malaysia Day CSR Program ‘Walk & Clean’ In conjunction with Malaysia Day, 17 staffs from Central Square were involved in a walking activity at Gunung Jerai and the repainting of the recreation area at the Geotapak Telaga Tok Sheikh of Gunung Jerai. Breast Cancer Awareness T
Slide 19: Environmental YTD 2022
Environmental YTD 2022 19 ENERGY MANAGEMENT 20192 YTD 2022 Indirect Energy Consumption, MWh 43,375 28,793 Building Energy Intensity (BEI) 9.46 6.19 WATER MANAGEMENT Water Usage, m3 701,190 477,662 Water Use Intensity (WUI) 0.153 0.103 WASTE MANAGEMENT Waste Disposal (tonnes) 1,741 1,644 CLIMATE CHAN
Slide 20: Key Takeaways
20 Key Takeaways Wetex Parade, Muar, Johor
Slide 21: Key Takeaways: Summary and Moving Forward
Key Takeaways 21 MOVING FORWARD SUMMARY Adopting prudent financial management, cost optimization Asset • 3Q22 Revenue & NPI increased by 62.4% initiatives, and enhancing our asset relevancy & efficiencies Enhancement to ensure sustainability and 77.2% y-o-y respectively. • 3Q22 Realised Net Income h
Slide 22: Investor Communications
Creating The Places People Love Investor Communications 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 Email: ir@HektarREIT.com
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