Wihlborgs Fastigheter Ab · OMXSTO:WIHL
Wihlborgs Fastigheter Ab — Q3 2023 Earnings Presentation
54 slides from Wihlborgs Fastigheter Ab's earnings presentation, Oct 24, 2023
Slide 1: Interim report January - September 2023
Interim report January - September 2023 Ulrika Hallengren, CEO and Arvid Liepe, CFO 24 October 2023
Slide 2: Summary Q3 2023
• Summary Q3 2023 • Rental income +19% • Operating surplus +22% • Higher financing costs but 12 month ICR at 3.1 • Positive net letting, good tenant activity level • Stable balance sheet • Access to liquid funds • Continuing to invest for the future 2
Slide 3: Results January-September 2023
Results January- September 2023 • Rental income increased by 19% to SEK 2,912 million (2,447) • Operating surplus increased by 22% to SEK 2,104 million (1,729) • Income from property management amounted to SEK 1,381 million (1,425) • Result for the period amounted to SEK 323 million (1,998), corresp
Slide 4: Rental income development
Rental income development Rental income Jan-Sep 2022, SEKm 2,447 Aquisitions 119 Currency effect 47 Index 176 Additional charges 53 Canteens -21 Completed projects, new leases and renegotiations etc. 91 Rental income Jan-Sep 2023 2,912 4
Slide 5: Net letting
Net letting Q3 Q3 Jan-Sep Jan-Sep SEKm 2023 2022 2023 2022 New leases 62 40 216 202 Terminations 47 22 181 115 Net letting 15 18 35 87 5
Slide 6: New leases Q3 – a selection
FE ee |. oe New leases Q3 — a selection kakel _ & experten g : 8) OH) VY Nady ZTAFARI SALJPITCH.. NEXER mazars Wt (Y) MORTENSEN MEDIA
Slide 7: Net letting quarterly
Net letting quarterly 150 100 50 0 -50 -100 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 New leases Terminations Net 7
Slide 8: Solid customers
Solid 20% customers Revenues from City of Helsingborg top ten tenants City of Malmö 24% Danish Building and Property Agency Revenues from Danske Bank public tenants Ericsson Lund University Malmö University Skåne Regional Council Swedish Social Insurance Agency Trygg Hansa Insurance 8
Slide 9: Rental growth
Rental growth Rental Rubrikgrowthupp entire property stock till 2 rader like-for-like* 01-10-2023 01-10-2022 01-10-2023 01-10-2022 SEK m SEK m Percent SEK m SEK m Percent Rental value 4,272 3,757 +13.7 Rental value 4,016 3,684 +9.0 Rental income 3,920 3,451 +13.6 Rental income 3,754 3,408 +10.2 *Exc
Slide 10: Changes in market value properties
Changes in market value properties SEK m Carrying amount 1 January 2023 55,179 Acquisitions 134 Investments 1,298 Properties sold -18 Changes in value -915 Currency translations 358 Carrying amount 30 September 2023 56,036 10
Slide 11: Increased value in the portfolio
Increased value in the portfolio 60 000 50 000 40 000 30 000 SEK m 20 000 10 000 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Q3 11
Slide 12: Portfolio – the entire property stock
Portfolio – the entire property stock 1 October, 2023 Market value Op. Surplus* Occupancy Running Running yield SEK m SEK m rate, % yield, % fully let, % Total excl. 53,171 2,993 93 5.6 6.2 projects and land Total Wihlborgs 56,036 3,002 92 5.4 6.0 * Excluding property admin 12
Slide 13: Portfolio – Office properties
Portfolio – Office properties 1 October, 2023 Market value Op. Surplus* Occupancy rate, Running Rnning yield SEK m SEK m % yield, % fully let, % Malmö 19,041 1,006 96 5.3 5.6 Helsingborg 8,385 462 91 5.5 6.2 Lund 8,428 487 91 5.8 6.5 Copenhagen 10,621 581 94 5.5 6.0 Total 46,475 2,536 93 5.5 6.0 * E
Slide 14: Portfolio – Logistics/Production
Portfolio – Logistics/Production 1 October, 2023 Market value Op. Surplus* Occupancy Running Running yield SEK m SEK m rate, % yield, % fully let, % Malmö 2,112 141 96 6.7 7.0 Helsingborg 3,402 243 89 7.2 8.3 Lund 262 18 98 6.9 7.0 Copenhagen 920 54 96 5.9 6.2 Total 6,696 456 92 6.8 7.5 * Excluding
Slide 15: Malmö Helsingborg Lund Copenhagen
Malmö Helsingborg Lund Copenhagen 40 % of property value 22 % of property value 16 % of property value 22 % of property value 634,000 m2 654,000 m2 273,000 m2 707,000 m2 102 properties 106 properties 34 properties 63 properties 22,136 SEK m property value 12,396 SEK m property value 9,025 SEK m prop
Slide 16: Acquisitions
Acquisitions 16
Slide 17: Klædemålet, Copenhagen July 2023
Klædemålet Copenhagen July 4 2023 Total property value 3 900 m2 DKK 71,5 million 17
Slide 18: Financials
Financials 18
Slide 19: Income statement
Income statement SEK m Q3 2023 Q3 2022 Rental income 977 848 +15% Operating surplus 715 594 +20% Income property management 433 475 -9% Change in value of properties -828 40 Change in value of derivatives 11 59 Pre-tax profit -384 574 Profit for the period -302 449 19
Slide 20: Consolidated balance sheet
Consolidated balance sheet, SEK m 30-09-2023 30-09-2022 Investment properties 56,036 54,488 Right-of-use assets 137 146 Other fixed assets 433 387 Derivatives 657 730 Current receivables 313 248 Liquid assets 162 343 Total assets 57,738 56,342 Equity 22,771 23,077 Deferred tax liability 5,264 5,100
Slide 21: Key figures
Key figures 30-09-2023 30-09-2022 Equity/assets ratio, percent 39.4 41.0 Leverage properties, percent 50.5 49.2 Interest coverage ratio, multiple 3.0 6.6 Per share, SEK EPRA net disposal value 74.07 75.06 EPRA net reinstatement value 89.07 89.28 Earnings per share 1.05 6.50 EPRA EPS 4.19 4.19 21
Slide 22: EPRA NRV
EPRA NRV Average annual growth: 16 percent adjusted for dividend Per share 100 90 80 70 60 SEK 50 40 30 20 10 0 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Q3 22
Slide 23: Stable financial position
Stable financial position Financial targets Equity/Assets % 45,0 • Max. loan-to-value 60% 40,0 • Min. equity/assets 30% 35,0 • Min. interest coverage 2.0 multiple 30,0 25,0 Interest cover ratio, rolling 12 months 8,0 7,0 Loan-to-value % 6,0 65,0 5,0 60,0 4,0 55,0 3,0 50,0 2,0 1,0 45,0 0,0 40,0 jun-1
Slide 24: Strong earnings relative to borrowings
Strong earnings relative to borrowings Net debt/EBITDA 12,0 10,0 8,0 Multiple 6,0 4,0 2,0 0,0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Q3 24
Slide 25: Current financing, Sep 2023
Current financing, Sep 2023 Total debt: SEK 28.3 bn 7% 52% 41% Bank loans Danish mortgage loans Bonds 25
Slide 26: Structure of interest and loan maturities
Structure of interest and loan maturities Interest maturity Loan maturity Loan amount Average Credit agreement Utilised Matures year SEK m interest rate % SEK m SEK m 2023 13,313 5.27 350 350 2024 3,052 2.90 5,594 5,594 2025 2,188 2.13 7,493 5,614 2026 1,252 1.62 6,045 5,611 2027 2,277 3.52 613 613
Slide 27: Interest rate sensitivity
Interest rate sensitivity 7,00 Average interest rate, % 6,00 The underlying rate can increase by 2.0 percentage points 5,00 from the level end September and the ICR would still be at our target level of 2.0 times. 4,00 3,00 2,00 1,00 The underlying rate can increase by 5.0 percentage points 0,00 fro
Slide 28: Fixed interest period and loan maturity
Fixed interest period and loan maturity Fixed interest period, years Loan maturity, years 7 7,0 6 6,0 5 5,0 4 4,0 3 3,0 2 2,0 1 1,0 0 0,0 dec-18 jun-19 dec-19 jun-20 dec-20 jun-21 dec-21 jun-22 dec-22 jun-23 dec-18 jun-19 dec-19 jun-20 dec-20 jun-21 dec-21 jun-22 dec-22 jun-23 28
Slide 29: Available funds
Available funds Unutilized credit facilities plus liquid funds, SEK mn 4500 4000 3500 3000 2500 2000 1500 1000 500 0 Q4 2018 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 29
Slide 30: Sustainability
Sustainability 30
Slide 31: Certified properties Jan-Sept 2023
Certified properties Jan-Sept 2023 Karin 13, Malmö Huggjärnet 13 – house 2, Malmö Miljöbyggnad In-Use level Silver Hindbygården 8, Malmö Miljöbyggnad level Silver Miljöbyggnad level Gold Karin 14, Malmö Huggjärnet 13 – house 3, Malmö Miljöbyggnad In-Use level Silver Kunskapen 1, Lund Miljöbyggnad le
Slide 32: Sustainability results 2023
Sustainability results 2023 • Energy use kWh/sqm -13% • Measures taken in Q3 o Nya Vattentornet 4 o Huggjärnet 13 o Plåtförädlingen 15 o Snårskogen 5 o Ametisten 5 o Rubinen 1 • Solar power 5% of energy consumtion in our portfolio (Q3) 32
Slide 33: Energy savings Mileparken
Energy savings Mileparken 22 Operational optimization • Adjustment of operational hours (ventilation and air condition) • Adjustment in illumination (hours and number of light sources) Power consumtion - Mileparken 22 30 kWh 25 kWh 20 kWh 2020 15 kWh 2021 2022 10 kWh 2023 5 kWh 0 kWh
Slide 34: The Alpha project
The ”Alpha Digital market place project DC network between Alfa 1 (office) at Ideon and student housing In partnership with IT contractor Jonas Birgersson Office building Balance between power needs, more robust energy Residential building Office building system and lower electricity prices Office b
Slide 35: Certifierad
Certifierad SEP 2023-SEP 2024 De Certificeret OKT 2023-OKT 2024 DANMARK
Slide 36: Investments in progress
Investments in progress 36
Slide 37: Projects investments January-September 2023
Projects investments January-September 2023 SEK m Investments 1,298 Projects in progress 3,328 Invested by period end -1,136 Remains to invest 2,192 37
Slide 38: Bläckhornet - VISTA
Bläckhornet 1 - VISTA Hyllie, Malmö Completion Q4 2024 / Q4 2025 15,000 m2 mobility hub SEK 884 M 16,600 m2 office 38
Slide 39: Kunskapen - SPACE
Kunskapen 1 - SPACE Science Village, Lund Completion Q4, 2023 6,000 m2 244 Mkr 39
Slide 40: Posthornet 1, phase 2
Posthornet 1, fas 2 Lund, City Completion Q4, 2025 9,900 m2 448 Mkr 40
Slide 41: Tomaten 1
Tomaten 1 Lund Completion Q2, 2024 Inpac 6,400 m2 137 Mkr 41
Slide 42: Rausgård 21
Rausgård 21 Helsingborg Completion Q3, 2024 Nederman 25,000 m2 420 Mkr 42
Slide 43: Plåtförädlingen 15
Plåtförädlingen 15 Helsingborg Completion Q4, 2023 Springhill 8,700 m2 141 Mkr 43
Slide 44: Snårskogen 5
Snårskogen 5 Helsingborg Completion Q3, 2024 Rollco 3,600 m2 78 Mkr 44
Slide 45: Sunnanå 12:54
Sunnanå 12:54 Malmö Completion Q2, 2025 17,000 m2 302 Mkr 45
Slide 46: Future projects
Future projects 46
Slide 47: Börshuset 1
Börshuset 1 Malmö, City Completion TBD (Q3, 2025) 5,500 m2 TBD 47
Slide 48: Amphitrite, University of Malmö
Amphitrite University of Malmö 48
Slide 49: Science Village, Spektra, Ideontorget, Zenit, Polisen 7
• Vetskapen 1 Science Village, Spektra Ideontorget, Zenit Polisen 7 Västerbro Lund Lund, Ideon Helsingborg Lund 4,700 m2 GFA 16,000 m2 GFA 6,000 m2 GFA 70,000 m2 GFA TBD TBD TBD TBD TBD TBD TBD TBD 49
Slide 50: Hamnen 16, Smörkajen, Kranen 15
• Hamnen 16:xx- Smörkajen Hamnen 16:xx- Smörkajen Kranen 15 Dockan Naboland 3 Malmö, Nyhamnen Malmö, Dockan Malmö, Dockan Malmö, Burlöv 13,000 m2 GFA TBD 13,000 m2 GFA 8,000 m2 GFA TBD TBD TBD TBD Miljöbyggnad Guld Miljöbyggnad Guld Miljöbyggnad Guld Miljöbyggnad Guld 50
Slide 51: Tomaten 1, Örja, Pedalen, Bilrutan 5
• Tomaten 1 Tomaten 1 Örja, Pedalen etc. Bilrutan 5 Sunnanå 12.26 Lund Landskrona Landskrona Malmö, Burlöv 2,500 m2 GFA TBD 14,000 m2 GFA 4,000 m2 GFA TBD TBD TBD TBD TBD TBD TBD TBD 51
Slide 52: Stenåldern 7, Benkammen 16, Spännbucklan 9
• Stenåldern 7 • Benkammen 16 Stenåldern 7 Benkammen 16 Malmö Malmö 5,000 m2 GFA 5,500 m2 GFA TBD TBD TBD TBD Spännbucklan 9 Hindbygården 9 Malmö Malmö 5,500 m2 GFA 2,500 m2 GFA TBD TBD TBD TBD 52
Slide 53: Summary Q3 2023
• Summary Q3 2023 • Rental income +19% • Operating surplus +22% • Higher financing costs but 12 month ICR at 3.1 • Positive net letting, good tenant activity level • Stable balance sheet • Access to liquid funds • Continuing to invest for the future 53
Slide 54: Fa ANT.
Fa ANT.
Wihlborgs Fastigheter — Q3 2023 Earnings Presentation on 6ix