Vonovia Se · XETR:VNA
Vonovia — Investor Day (June 2016)
16 slides from Vonovia's investor day presentation, Jun 6, 2016
Slide 1: Capital Markets Day 2016 Management Presentation
Capital Markets Day 2016 Management Presentation
Slide 2: Capital Markets Day 2016
Capital Markets Day 2016 3rd Capital Markets Day of Vonovia after Düsseldorf in 2014 and Berlin in 2015 Prior years‘ CMDs already focused largely on what makes Vonovia special This year is exclusively dedicated to Vonovia‘s innovative strength Main objectives 1. Give a view into Vonovia‘s “machine r
Slide 3: Agenda
Agenda Monday (June 6) Tuesday (June 7) noon – 13:00 Lunch buffet Please check out prior to 9:00 13:00 – 14:00 Management presentation 09:00 – 10:00 Presentation on Eltingviertel 14:00 – 15:00 Round Table 10:15 Transfer to Eltingviertel 15:00 – 16:00 Round Table 10:45 – 13:00 Property Tour of Elting
Slide 4: Essen – Host City for 2016 CMD
Essen – Host City for 2016 CMD Population of more than 570k, which is equal to Denver, Manchester or Lyon 5 of the 50 largest German companies have their headquarter in Essen Largest corporates are RWE, thyssenkrupp, Aldi Nord, Hochtief and E.ON More than 40k students enrolled in Duisburg-Essen Univ
Slide 5: Strategy since IPO Unchanged and Proven
Strategy since IPO Unchanged and Proven… Reputation & Customer Satisfaction Systematic optimization of operating Traditional performance and core business productivity Property Mgmt. through leveraging scaling effects 1 Strategy High degree of standardization and industrialization throughout the ent
Slide 6: Resulting in Positive Development of KPIs
…Resulting in Positive Development of KPIs Vonovia strategy Delivered results 1 3.9% 3.5% 3.4% 2.7% ~2.7% Property 850 830 754 644 616 82,2% 84,8% ~86% management 77,4% 79,6% strategy 2012A 2013A 2014A 2015A 2016E EBITDA margin (excl. R&M) Cost per unit(€) Vacancy rate 2 3.1% ~ 5.4 years 2.1% ~ 8.0
Slide 7: Strong Track Record Across All KPIs
Strong Track Record Across All KPIs In-place rent (€/sqm) | Vacancy rate (%) Adjusted EBITDA Operations (€/unit) | Cost per unit (€) 881 2.879 +5.6% 5,84 850 +3.0% 5,75 810 830 2.709 4,8 +3.3% 5,58 5,53 754 4,1 3,9 5,40 2.468 3,5 3,4 644 5,28 2.378 2.372 5,17 2,7 5,05 2.244 2010 2011 2012 2013 2014
Slide 8: 1. Property Management Strategy
1. Property Management Strategy Economies of scale evident in cost per unit Incremental cost per unit for new acquisitions tend to be substantially lower Cost per unit (€/year) 1.100 1.058(2013) 997(2014) 1.000 1.000 (2012) 980(2013) 980 (2015) 936 (2012) 900 881(2014) 836 (2014) 871(2012) 850 (2013
Slide 9: 2. Financing Strategy
2. Financing Strategy Debt maturity profile as of March 31, 2016 (€ m) Debt structure as of March 31, 2016 5.000 4.500 CMBS 4.000 23% 3.500 3.000 2.500 Bonds 2.000 45% Structured 1.500 Loans 1.000 13% 500 0 Mortgages 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 from 8% 2027 Hybrid Mortgage
Slide 10: 3. Portfolio Management Strategy - Total Return Matrix
3. Portfolio Management Strategy - Total Return Matrix Clear view of the individual local markets 2013 2016E Tool for acquisition, investment and disposal decisions Vacancy rate (%) 3.5 ~2.7 In-place rent (€/sqm) 5.40 5.841 Fair value (€/sqm) 901 1,0751 No. of 533 673 cities/municipalities Expected
Slide 11: 3. Portfolio Management Strategy - Investments
3. Portfolio Management Strategy - Investments Growing investments at a minimum 7% yield (unlevered) New initiatives and space creation with increasing significance Earnings impact mostly one year following the investment Yield* 7.2% 7.4% ~7.6% ~7% ~7% €m 430-500 ≥500 356 84 32 104 108 172 4 44 220
Slide 12: 4. Extension Strategy - Innovation as Growth Driver
4. Extension Strategy - Innovation as Growth Driver Continuous flow of innovative projects that are all immediately linked to the apartment or customer/rental contract BUILDING Portfolio Management APARTMENT SERVICES Extension Condo- minium Mgmt. Capital Markets Day 2016 page 12
Slide 13: 5. Acquisition Strategy
5. Acquisition Strategy Acquisition Pipeline as per March 31, 2016; number of units 60 k 50k 50 k 40 k 34k 33k 30 k 20 k 10 k 1k 0k 0k 0k Examined Analysed in more Due Diligence, Bids Signed Closed detail partly ongoing Fragmented Continuous ownership trend structure of migration of the ~24 to the m
Slide 14: Overview of Round Tables
Overview of Round Tables Extension • Extension describes Vonovia‘s approach to think outside the box Services • Comprehensive approach to maximizing sustainable cash flows directly linked to the customer and/or apartment Konstantina • Similar approach to all projects: extensive testing on a small sc
Slide 15: Preview of Property Tour in the Eltingviertel
Preview of Property Tour in the Eltingviertel • Located between the university and city center • Home to 8,200 people who live in 4,600 flats, of which Eltingviertel 1,400 are owned and operated by Vonovia. • Vonovia’s first project of comprehensive neighborhood development 1. Establish Vonovia as s
Slide 16: Disclaimer
Disclaimer This presentation has been specifically prepared by Vonovia SE and/or its affiliates (together, “Vonovia”) for internal use. Consequently, it may not be sufficient or appropriate for the purpose for which a third party might use it. This presentation has been provided for information purp