Polski Holding Nieruchomosci Sa · GPW:PHN

Polski Holding Nieruchomosci Sa — Q3 2016 Earnings Presentation

28 slides from Polski Holding Nieruchomosci Sa's earnings presentation, Nov 15, 2016

  1. Slide 1: Consolidated financial results for Q3 2016

    Consolidated financial results for Q3 2016 Presentation Warsaw, November 15, 2016

  2. Slide 2: Agenda

    AGENDA 1) PHN GROUP IN Q3 2016 1. KEY ACHIEVEMENTS IN Q3 2016 2. KEY EVENTS IN Q3 2016 AND POST THE BALANCE SHEET DATE 2) PHN GROUP’S REAL ESTATE PORTFOLIO – CAPITAL RECYCLING 1. PROPERTIES REMAINING IN THE PORTFOLIO 2. PHN GROUP’S CONSTRUCTION PROJECTS 3) PHN GROUP’S FINANCIAL RESULTS 4) ADDITIONAL

  3. Slide 3: PHN Group in Q3 2016

    Presentation of consolidated financial results for Q3 2016: 1) PHN GROUP IN Q3 2016

  4. Slide 4: Key achievements in Q3 2016

    KEY ACHIEVEMENTS IN Q3 2016 BUILDING VALUE IMPROVING ECONOMIC EFFICIENCY RENTAL REVENUE [PLN million]: 113.6 30.09.2015: 92.9 22.3% EBITDA [PLN million]: 38.8 30.09.2015: 33.3 16.5% GROUP ASSETS [PLN million]: 2,651.5 30.09.2015: 2,497.7 6.1% ADJUSTED EBITDA [PLN million]: 38.9 30.09.2015: 22.5 72.9

  5. Slide 5: Key events in Q3 2016 and after the balance sheet date

    KEY EVENTS IN Q3 2016 AND AFTER THE BALANCE SHEET DATE 1. 09.2016 2. 10.2016 Consent of Office of Competition and Consumer Protection for establishing a joint entrepreneur Entering into cooperation with ENEA implementing a project in Wrocław The Office of Competition and Consumer Protection issued a

  6. Slide 6: PHN Group's real estate portfolio – capital recycling

    Presentation of consolidated financial results for Q3 2016: 2) PHN GROUP’S REAL ESTATE PORTFOLIO – CAPITAL RECYCLING

  7. Slide 7: PHN Group's real estate portfolio – capital recycling, 30.09.2016

    1) PHN GROUP’S REAL ESTATE PORTFOLIO – CAPITAL RECYCLING, 30.09.2016 REMAINING IN THE PORTFOLIO OPTIMIZATION • TOTAL VALUE: PLN 1,282.1m • TOTAL VALUE: PLN 271.0m • NUMBER OF PROPERTIES: 35 • NUMBER OF PROPERTIES: 30 • NOI Q3 2016: PLN 48,753m (YIELD: 5.6%) • NOI Q3 2016: PLN 4,366m (YIELD: 2.1%) •

  8. Slide 8: Construction projects – key information

    CONSTRUCTION PROJECTS – KEY INFORMATION ITEM PROJECT FUNCTION TARGET AREA [sq.m.] START COMPLETION CAPEX [PLN million] PROJECTS – COMPLETED AND IN PROGRESS 1. DOMANIEWSKA OFFICE HUB A-class office building GLA: 26,200 Q1 2014 Q3 2015 177 2. WROCŁAW INDUSTRIAL PARK Warehouse complex GLA: 40,000 Q1 20

  9. Slide 9: Key progress in implementing most important projects

    KEY PROGRESS IN IMPLEMENTING MOST IMPORTANT PROJECTS 1 DOMANIEWSKA OFFICE HUB 22 YACHT PARK I COMPLETED PROJECT PROJECT IN PROGRESS ul. RODZINY HISZPAŃSKICH 8 ul. HRYNIEWICKIEGO 10, GDYNIA KEY BENEFITS: STATUS OF WORKS: KEY BENEFITS: STATUS OF WORKS: Attractive location As of the end of Q3 2016, Dom

  10. Slide 10: Key progress in implementing most important projects

    KEY PROGRESS IN IMPLEMENTING MOST IMPORTANT PROJECTS 3 PRYMASA TYSIĄCLECIA I PROJECT IN PROGRESS 24 INTRACO CITY PROJECT UNDER PREPARATION al. PRYMASA TYSIĄCLECIA 83 ul. STAWKI 2 KEY BENEFITS: STATUS OF WORKS: KEY BENEFITS: STATUS OF WORKS: Attractive location The project includes the construction o

  11. Slide 11: Key progress in implementing most important projects

    KEY PROGRESS IN IMPLEMENTING MOST IMPORTANT PROJECTS 5 PHN TOWER PROJECT UNDER PREPARATION 26 HOTEL PROJECT (WILANOWSKA 372) PROJECT UNDER PREPARATION ul. ŚWIĘTOKRZYSKA 36 al. WILANOWSKA 372 KEY BENEFITS: STATUS OF WORKS: KEY BENEFITS: STATUS OF WORKS: Attractive location PHN plans to build a state-

  12. Slide 12: Key progress in implementing most important projects

    KEY PROGRESS IN IMPLEMENTING MOST IMPORTANT PROJECTS 7 LEWANDÓW – COMMERCIAL PROJECT 8 LEWANDÓW I PROJECT UNDER PREPARATION PROJECT UNDER PREPARATION LEWANDÓW LEWANDÓW KEY BENEFITS: STATUS OF WORKS: KEY BENEFITS: STATUS OF WORKS: Attractive location On some parts of land with the total area Attracti

  13. Slide 13: PHN Group's financial results

    Presentation of consolidated financial results for Q3 2016: 3) PHN GROUP’S FINANCIAL RESULTS

  14. Slide 14: Selected profit and loss statement items

    SELECTED PROFIT AND LOSS STATEMENT ITEMS [PLN million] 21.1 21.8 Q3 2016 13.9 13.1 13.4 3.3 4.6 0.3 0.4 1.3 -1.8 -0.8 -2.0 -7.9 -6.0 35.6 31.6 Q2 2016 21.7 20.9 23.4 16.0 15.7 16.0 1.1 0.6 3.5 -0.3 -3.9 -4.5 -7.4 Rental Development Other Adjusted Valuation 3) Other adjusted One-off 5) Financial Inco

  15. Slide 15: Cash flows

    CASH FLOWS [PLN million] Cash flows from operating activities: +72.6 Cash flows from investment Cash flows from financial activities: -7.2 activities: -73.3 +64.1 +2.7 +1.7 +0.1 -1.7 -3.9 -3.7 -7.3 +13.4 -53.7 63.7 -19.6 55.8 30.06.2016 Adjusted VAT Settlement Claim for Working capital Change in Inc

  16. Slide 16: Properties

    PROPERTIES [PLN million] INVESTMENT PROPERTIES, PROPERTIES HELD FOR SALE (IFRS 5) AND PROPERTIES UNDER TANGIBLE FIXED ASSETS Properties: -PLN 9.3m (-0.4%) PLN 0.4m in expenses related to completing the implementation of a Investment properties: -PLN 6.9m (-0.3%) commercial development project (Doman

  17. Slide 17: Equity and debt

    EQUITY AND DEBT [PLN million] Equity Total equity: +PLN 4.8m (0.2%) Equity allocated to parent entity shareholders: +PLN 5.8m (0.3%) Non-controlling interests: -PLN 1.0m (3.2%) Increase in equity allocated to parent entity shareholders as a result of net profit earned (PLN +13.4 4.6m), hedging instr

  18. Slide 18: Structure of assets and liabilities

    STRUCTURE OF ASSETS AND LIABILITIES [PLN million] ASSETS LIABILITIES Other (125.1m): 2,729.1 2,651.4 provisions: for benefits from 2,729.1 2,651.4 leased properties and their non- Other (109.2m): 4.9% Other (130.4m): contractual use (31.4m), warranty 4.6% 4.1% provisions: for benefits from 7.2% 2.1%

  19. Slide 19: Thank you

    Thank you Polski Holding Nieruchomości S.A. 00-124 Warszawa, al. Jana Pawła II 12 phone +48 22 850 91 00, fax +48 22 850 91 01 www.phnsa.pl NIP 525-250-49-78, KRS 0000383595, REGON 142900541

  20. Slide 20: Additional information

    Presentation of consolidated financial results for Q3 2016: 4) ADDITIONAL INFORMATION

  21. Slide 21: Warsaw office market – outlook

    WARSAW OFFICE MARKET – OUTLOOK* WARSAW OFFICE MARKET ABSORPTION OF NEW SPACE AND THE VACANCY RATIO [thousands of Supply (sq.m.) Absorption (sq.m.) Vacancies (%) sq.m.] ABSORPTION Q3 2016 [sq.m.]: 64,100 Q2 2016: 141,200 450 20,00% 17,50% 400 350 15,00% 300 12,50% 250 10,00% NEW SPACE Q3 2016 [sq.m.]

  22. Slide 22: Polish office market

    POLISH OFFICE MARKET OFFICE SPACE RESOURCES SPACE UNDER CONSTRUCTION DEMAND RENTAL RATES [EUR/sq.m./month] CITY [sq.m.] [sq.m.] [sq.m.] (asking/effective) WARSAW 5,017,100 593,800 173,000 14.5–23.0 / 11.0–18.0 KRAKÓW 867,500 298,200 149,700 14.0 / 12.0 WROCŁAW 770,700 131,300 78,800 12.5 / 10 TRI-CI

  23. Slide 23: Real estate portfolio structure as at September 30, 2016

    REAL ESTATE PORTFOLIO STRUCTURE AS AT SEPTEMBER 30, 2016 GEOGRAPHIC STRUCTURE OF THE REAL ESTATE PORTFOLIO GEOGRAPHIC STRUCTURE OF SEGMENTS: REMAINING AND PROJECTS [% of fair value] [% of fair value] 13% 13% Warsaw and its Warsaw and its 5% surroundings 4% surroundings Tri-City Tri-City 17% 22% Wroc

  24. Slide 24: Continued operations – result

    CONTINUED OPERATIONS – RESULT [PLN million] Q3 2016 Q2 2016 Sales revenue 43.0 48.0 Operating expenses (21.6) (24.6) Gross profit /(loss) on sales 21.4 23.4 Provision for guarantee repairs and damages in property development 0.4 - Adjusted gross profit /(loss) on sales 21.8 23.4 Administrative and s

  25. Slide 25: Rental – segment result

    RENTAL – SEGMENT RESULT [PLN million] Q3 2016 Q2 2016 Sales revenue 39.6 40.4 Operating expenses (18.5) (18.7) Gross profit /(loss) on sales 21.1 21.7 Administrative and selling expenses (5.9) (6.4) One-off costs (Group restructuring) - 0.6 Adjusted administrative and selling expenses (5.9) (5.8) Ne

  26. Slide 26: Development – segment result

    DEVELOPMENT – SEGMENT RESULT [PLN million] Q3 2016 Q2 2016 Sales revenue 1.3 5.3 Operating expenses (1.4) (4.2) Gross profit /(loss) on sales (0.1) 1.1 Provision for guarantee repairs and damages in property development 0.4 - Adjusted gross profit /(loss) on sales 0.3 1.1 Administrative and selling

  27. Slide 27: Other operations and unallocated items – result

    OTHER OPERATIONS AND UNALLOCATED ITEMS – RESULT [PLN million] OTHER OPERATIONS – RESULT Q3 2016 Q2 2016 Sales revenue 2.1 2.3 Operating expenses (1.7) (1.7) Gross profit /(loss) on sales 0.4 0.6 Net profit/(loss) on sales 0.4 0.6 Operating profit/ (loss) 0.4 0.6 Amortization and depreciation 0.1 0.1

  28. Slide 28: Polski Holding Nieruchomości S.A.

    Polski Holding Nieruchomości S.A. 00-124 Warszawa, al. Jana Pawła II 12 phone +48 22 850 91 00, fax +48 22 850 91 01 www.phnsa.pl NIP 525-250-49-78, KRS 0000383595, REGON 142900541

Polski Holding Nieruchomości — Q3 2016 Earnings Presentation on 6ix