Aedas Homes Sa · BME:AEDAS

Aedas Homes Sa — FY2023/24 Earnings Presentation

40 slides from Aedas Homes Sa's earnings presentation, May 29, 2024

  1. Slide 1: FY 2023/24 Results Presentation

    FY 2023/24 Results 1 April 2023 — 31 March 2024 Presentation 29 May 2024 Guiomar (Bormujos, Sevilla) AEDAS Homes | FY 2023/24 Results presentation 1

  2. Slide 2: Legal Disclaimer

    Legal Disclaimer By attending this presentation (the “Presentation”) and/or by accepting this Presentation you will be taken to have represented, warranted and undertaken that you have read and agree to comply with the contents of this disclaimer. This presentation has been prepared by AEDAS Homes,

  3. Slide 3: Positive outlook in a context marked by volatility

    Positive outlook in a context marked by volatility Positive trend in the Spanish economy Spanish households: good solvency Resilience in the residential market Positive growth outlook for Spain… Progressive reduction in outstanding mortgage balance… Supply of new-build housing still below 90,000 (IM

  4. Slide 4: Focusing on sustained growth and efficiency in our residential development business

    Focusing on sustained growth and efficiency in our residential development business Activity Product Capital & Returns Residential ▪ Complete real estate ▪ Market-rate housing for ▪ 100% equity from AEDAS development cycle private customers (BTS) ▪ Revenue from deliveries SCALABILITY development and

  5. Slide 5: Diversified, liquid land bank with potential to generate ~€6.0 billion in future revenues

    Diversified, liquid land bank with potential to generate ~€6.0 billion in future revenues Landbank with significant capacity to develop 14,200+ units1, estimated to generate c.€6.0 billion2 in attributable revenue3 PRESENT IN SPAIN’S MOST DYNAMIC MARKETS North Units: 4% Catalonia & Aragon GDV2: 5% U

  6. Slide 6: Cementing our leadership position in FY 2023 and respecting our commitment to long-term value creation

    Cementing our leadership position in FY 2023 and respecting our commitment to long-term value creation 2,839 €950m 24.3% Units delivered land1 Revenues from Gross development Residential residential development margin (BTS) development €222m €290m €233m Real Estate Services Capital invested Equity f

  7. Slide 7: Business performance

    01 Business performance Middel AEDAS Homes ViewsResults | FY 2023/24 III (Fuengirola, presentation Málaga) 7

  8. Slide 8: Net sales up 16% in FY 2023: €962m in new revenues

    Net sales up 16% in FY 2023: €962m in new revenues Dynamic sales activity: 2,503 units pre-sold (+15%) Absorption rating increasing, climbing to above 5% Half-year sales evolution in units (BTS y BTR1) and Average Sales Price (ASP) BTS absorption rate (rolling quarterly average)2 for BTS product 10%

  9. Slide 9: €950m in revenues from BTS+BTR deliveries, up +7.3%

    €950m in revenues from BTS+BTR deliveries, up +7.3% Revenues (€m) Units (#) ASP (€k) Customers with solvent credit profile… … with capacity (expressed as house price / gross 950 household income) +7,3% +4.0% to access housing +7.3% +3.2% 2,839 2.839 well above the 7,4 7.4 años years 885 2.730 2,730

  10. Slide 10: Quality Order Book valued at €1.24 billion

    Quality Order Book valued at €1.24 billion Order Book1 (€m) Units1 (#) ASP1 (€k) High-quality, diversified Order Book +2% 1,153 3,136 3.136 404 1.153 (9%) 70%+ of Order BTS 1,129 1.129 +12% 2.856 2,856 360 Book under 29% private sales Pre-sales contract – in line 3,367 with FY 2022 units Private (73

  11. Slide 11: Operational efficiency driven by optimized use of resources

    Operational efficiency driven by optimized use of resources Evolution of active units over full-year period Under Completed Total active 1▪ Stability in BTS operating (expressed in units) In design Marketing construction product units volumes ▪ 9,888 active units Start of period: 2,366 2,187 5,7403

  12. Slide 12: Elevated visibility on the next two years

    Elevated visibility on the next two years Year-end pre-sales levels and progress on construction in line with March 2023 coverage ratios On the market Net sales levels Construction progress (calculated based on the total number of BTS + BTR units slated for delivery) (calculated based on the total n

  13. Slide 13: Selectively invested over €220 million in new land, under optimal conditions

    Selectively invested over €220 million in new land, under optimal conditions Total investment volume Proven capacity to identify new Focused on optimizing the up 12% in FY 2023 investment opportunities use of capital ▪ €222M1 IN NEW INVESTMENT LIQUID PLOTS OF LAND COMMITTED INVESTMENTS ▪ Estimated d

  14. Slide 14: Committed to sustainable development and facilitating access to affordable housing

    Committed to sustainable development and facilitating access to affordable housing Strong sustainability criteria focused Commitment to affordable New ESG Strategic on reducing our carbon footprint housing access Plan 2024-2026 ▪ 100% of projects finalized in FY 2023 were developed according ▪ ~ 3,6

  15. Slide 15: Financial Results

    Sunset, Soul Marbella (Málaga) 02 Financial Results AEDAS Homes | FY 2023/24 Results presentation 15

  16. Slide 16: Solid financial results with EPS of €2.53 (+4.5%)

    Solid financial results with EPS of €2.53 (+4.5%) TOTAL REVENUE GROSS MARGIN EBITDA ATTRIBUTABLE NET PROFIT (expressed in millions of euros) (expressed in millions of euros and margin %) (expressed in millions of euros and margin %) (expressed in millions of euros and €/share 1,145 1.145 +24% +6% 25

  17. Slide 17: BTS revenues up +14%, with potential for further growth

    Residential Development Real Estate Services Land development and sales BTS revenues up +14%, with potential for further growth 1 KPI FY 2022 FY 2023 Change FY23 on balance Details 1▪ Increase in revenue due to higher number of deliveries Revenues (€m) 1 773 879 +13.8% 879 ▪ Slight fall in ASP due t

  18. Slide 18: Uptick in BTR sales activity

    Residential Development Real Estate Services Land development and sales Uptick in BTR sales activity KPI FY 2022 FY 2023 Change Details Revenues (€m) 2 112 71 (37.0%) 1▪ Sale of two BTR projects to two institutional investors for a total of €57 million for the development of 327 homes in Madrid and

  19. Slide 19: Access to new capital sourcing driving business growth, with improvement in ROE

    Residential Development Real Estate Services Land development and sales Access to new capital sourcing driving business growth, with improvement in ROE KPI FY 2022 FY 2023 Change Details Revenues (€m) 1 5.1 9.4 +84.9% 1▪ Significant increase in revenue from two new co-investment projects closed in Q

  20. Slide 20: Boosting divestment of non-core assets, with improved margins

    Residential development Real Estate Services Land development and sales Boosting divestment of non-core assets, with improved margins KPI FY 2022 FY 2023 Change Details Revenues (€m) 30.2 58.1 +92.6% 1 Non-core assets: Planned rotation according to forecasts + moving up Non-core assets land sales sl

  21. Slide 21: Balance sheet at March 2024

    Balance sheet at 31 March 2024 ▪ Optimizing use of capital through a 31 March 2024 31 March 2023 Change reduction in value of land and of works in progress through rotation of non-core INVENTORIES1 €1,487m €1,611m (€124m) assets and transfer of assets to co- investment vehicles ▪ Land €479m €567m (€

  22. Slide 22: Solvent financial position underpinned by efficient treasury management

    Solvent financial position underpinned by efficient treasury management and long-term financing under optimal conditions €487m1 in gross PF financial debt at 31 March 2024… … and €286m in availability PF liquidity with potential to reach ~ €730m Diversified capital sources Average nominal cost of de

  23. Slide 23: Solid cash generation, enhanced by co-investment

    Solid cash generation, enhanced by co-investment… (€m) FY 2023 FY 2022 1 The increase is attributed to a rise in corporate tax payments for FY 2022 EBITDA 172.9 164.21 2 Capex (capital expenditure) increased by 12%, Adjustments (4.5) 1.5 reaching €635 million, with a 15% increase in the activation o

  24. Slide 24: Net debt below 20% LTV and 2x EBITDA

    …with an impact on net debt, which was at year-end was below 20% LTV and 2x EBITDA Solvent credit profile with solid debt ratios Net financial debt trend in FY 2023 (€m) 31/03/24 31/03/23 31/03/22 (expresado (expressed en millonesofdeeuro) in millions euros) 6 4 Gross financial 147 1 549.1 495.3 459

  25. Slide 25: Shareholder Remuneration

    Eida (Córdoba) 03 Shareholder Remuneration AEDAS Homes | FY 2023/24 Results presentation 25

  26. Slide 26: Committed to attractive shareholder remuneration: ~€194m in dividends to distribute

    Committed to attractive shareholder remuneration: ~€194m in dividends to distribute ▪ The Board of Directors has agreed to propose the distribution of a Upward trend in ROE (%) total dividend against the FY 2023/24 profit of €107m1 (€2.49 per share1) at the upcoming Annual General Meeting in July. 1

  27. Slide 27: Takeaways

    Pignatelli (Zaragoza) 04 Takeaways AEDAS Homes | FY 2023/24 Results presentation 27

  28. Slide 28: Consolidating our leading position: targeting annual revenues over €1 billion and EBITDA above €160m

    Consolidating our leading position: targeting annual revenues over €1 billion and EBITDA above €160m Sales pace Operational Dynamic Financial acceleration progress investment stability activity ✓ +16% in net pre-sales ✓ 77% of landbank is active ✓ €222m of new investment ✓ +7% in development (€962m

  29. Slide 29: Appendices

    05 Appendices Nerva (Denia, Alicante) AEDAS Homes | FY 2023/24 Results presentation 29

  30. Slide 30: FY 2023 Consolidated P&L

    FY 2023 Consolidated P&L (€m) FY 2023 FY 2022 Δ (€m) Δ (%) Revenue derived from housing units delivered 949.5 884.6 65.0 7.3% 1 Significant increase in revenue: higher volume of BTS deliveries (+16%), increased rotation of non-core Revenue derived from land sales 185.7 30.2 155.6 515.4% assets, and

  31. Slide 31: Consolidated balance sheet at March 2024

    Consolidated balance sheet at 31 March 2024 (€m) 31 March 2024 31 March 2023 Δ (€m) Δ (%) Other fixed assets 121.7 37.4 84.3 225.5% Deferred tax assets 6.9 5.3 1.6 30.5% NON-CURRENT ASSETS 128.6 42.7 85.9 201.3% Inventories 1,487.0 1,610.7 (123.7) (7.7%) Trade receivables 60.9 42.9 18.1 42.2% Other

  32. Slide 32: Financial leverage at March 2024

    Financial leverage at at 31 March 2024 Financial debt in line with the operational activity of FY2023 AEDAS Homes debt ratios Bond covenants Ratio 31 Mar-2024 31 Mar-2023 31 Mar-2022 Ratio 31 Mar-2024 31 Mar-2023 31 Mar-2022 LTC1 20.8% 18.4% 18.0% Net total LTV 17.6% 15.1% 13.8% Net secured total LT

  33. Slide 33: Valuation metrics performance

    Valuation metrics performance GDV (€m) GAV (€m) 5,810 5,594 2,075 2,088 5,075 5,024 1,907 1,895 FY2020 FY2021 FY2022 FY20231 FY2020 FY2021 FY2022 FY2023 NAV (€m) NAV per share2 (€/share) 33.68 34.64 33.48 1,503 1,527 32.63 1,456 1,407 FY2020 FY2021 FY2022 FY2023 FY2020 FY2021 FY2022 FY2023 Notes: (1

  34. Slide 34: Accumulated operating data, including 100% of co-investment projects

    At 31 March 2024 Accumulated operating data, including 100% of co-investment projects Order Book: 3,367 units with a total value of €1,242 million 7,574 units on the market1 (expressed in units, #) (expressed in units, #) €3,960m 11,900 units (11,036) €333k/unit 16,820 €3,679m 11,036 units €333k/uni

  35. Slide 35: Accumulated construction data

    At 31 March 2024 Accumulated construction data, including 100% of co-investment projects ~ 5,000 units under construction 893 units ready to break ground (expressed in units, #) (expressed in units, #) 2,357 (3,059) (2,357) 2,633 5,740 5,038 893 617 As of March 2023 Broken ground Construction As of

  36. Slide 36: Accumulated permit data, including 100% of co-investment projects

    At 31 March 2024 Accumulated permit data, including 100% of co-investment projects Status of pending permits (expressed in units, #) Requested permit status 1,665 (2,633) 2,792 35% 38% 1,824 12% 15% < 4 meses 5-8 meses < 4 months 5-8 months 9-12 meses 9-12 months meses > 12> 12 months Permits pendin

  37. Slide 37: Regional breakdown, including 100% of co-investment projects

    At 31 March 2024 Regional breakdown, including 100% of co-investment projects Active units at March 2024 Units on the market at March 2024 Order Book at March 2024 4% 3% 2% 12% 13% 13% 24% 24% 29% 9,888 7,574 15% 3,367 19% 17% units units units 14% 16% 12% 27% 27% 29% Building permits secured in FY

  38. Slide 38: Regional breakdown of co-investment portfolio

    At 31 March 2024 Regional breakdown of co-investment portfolio Active units at March 2024 Units on the market at March 2024 Order Book at March 2024 8% 12% 15% 14% 17% 16% 17% 18% 14% 880 756 350 units 27% units units 27% 31% 24% 31% 28% Sales FY 2023 GAV1 at March 2024 GDV1 at March 2024 8% 13% 16%

  39. Slide 39: Key dates on our corporate calendar

    Fioresta (San Juan de Alicante) At 30 May 2024 Key dates on our corporate calendar 23 July 2024 Q1 2024/25 Results Confirmed 24 July 2024 Annual General Meeting Confirmed Post AGM Dividend distribution TBC 6 November 2024 H1 2024/25 Results TBC AEDAS Homes | FY 2023/24 Results presentation 39

  40. Slide 40: Back cover

    Nerva (Denia) Back cover AEDAS Homes | FY 2023/24 Results presentation 40

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