D.m. Wenceslao & Associates, Inc. · PSE:DMW
D.m. Wenceslao & Associates — 9M 2020 Earnings Presentation
28 slides from D.m. Wenceslao & Associates's earnings presentation, Nov 18, 2020
Slide 1: 9M 2020 Analyst Briefing
9M 2020 Analyst Briefing 18 November 2020
Slide 2: Disclaimer
Disclaimer The information in this document has been prepared by D.M. Wenceslao & Associates, Incorporated (“DMW”) and does not constitute a recommendation regarding the securities of DMW. The statements contained in this document speak only as at the date as of which they are made, and DMW expressl
Slide 3: Points of Focus, Development Pipeline, Operating and Financial Highlights
Parqal, a word play on “Park” and “Kalye”, is a five-hectare development with leasable gross floor area of 70,000 sq.m. It is composed of nine independent four-story buildings that will occupy two blocks of Macapagal Boulevard. Its architectural expression has a modernized approach towards form, cha
Slide 4: Updated summary of land holdings in Aseana City
Updated summary of land holdings in Aseana City Remaining Land Reserves (299,484 sq.m.) Land Used/Allocated for Development Land Allocated (269,875 sq.m.) for Future Sales (7,798 sq.m.) Completed Land Allocated for Properties Future Leases (38,420 sq.m.) (20,103 sq.m.) Land Holdings Land Leased (569
Slide 5: Value of properties in Aseana City rises to P209.8 billion, up 30% YoY
Value of properties in Aseana City Rises to P209.8 billion, up 30% YoY Owned Land Holdings Completed Properties(1) Pipeline Properties Land area (sq.m.) Total leasable/saleable floor area (sq.m.) Leasable/saleable floor area (sq.m.) Roads and Pixel Parkside right of way Residences Place 2 Land curre
Slide 6: Well situated in both office and residential segments (1/2)
Well situated in both office and residential segments (1/2) Metro Manila Office Supply Forecast, end 2019 and 2024 (1) Manila Bay Future Office Supply Among Highest from 2020-2022 (1) end of end of change in % % to new 13,623,300 sq.m. 2020 – 2022 supply Location 2019 2024 sq.m. change supply 300K a
Slide 7: Well situated in both office and residential segments (2/2)
Well situated in both office and residential segments (2/2) Metro Manila Residential Supply Forecast, end 2019 and 2022 (1) Bay Area to Account for 67% of New Supply from 2020-2022 (1) end of end of change % % to new Location 2019 2022 in units change supply 2020 – 2022 supply average: 7,230 151,780
Slide 8: Points of Focus, Development Pipeline, Operating and Financial Highlights
2 Points of Focus 8 Development Pipeline 12 Operating and Financial Highlights 20 Summary 7
Slide 9: Pipeline of premier assets under construction inside Aseana City
Pipeline of premier assets under construction inside Aseana City Aseana Plaza (formerly Aseana Five and Six) Parqal MidPark Towers 8912 Asean Ave. 8
Slide 10: Construction Progress
Pipeline Milestones SEPTEMBER 30, 2020 Construction Progress 71.06% 9
Slide 11: Pipeline Milestones September 30, 2020
Pipeline Milestones SEPTEMBER 30, 2020 10
Slide 12: Construction Progress
Pipeline Milestones SEPTEMBER 30, 2020 Construction Progress 26.04% 11
Slide 13: Completion 99% Turnover 89%
Pipeline Milestones SEPTEMBER 30, 2020 Completion 99% Turnover 89% 12
Slide 14: Construction Progress
Pipeline Milestones SEPTEMBER 30, 2020 Construction Progress 11% 13 13
Slide 15: Points of Focus, Development Pipeline, Operating and Financial Highlights
Aseana Plaza (formerly Aseana Five and Six) 2 Points of Focus 9 Development Pipeline 13 Operating and Financial Highlights 20 Summary 14
Slide 16: Stable recurring income sources and growing residential segment
Stable recurring income sources and growing residential segment PHP 9M 2020 9M 2019 Change (%) Rentals Land P 733,236,103 P 736,750,507 0% Building 610,960,611 594,339,433 3% Other revenues 124,056,344 142,175,967 -13% 1,468,253,058 1,473,265,907 0% Construction contracts 24,802,115 49,052,530 -49%
Slide 17: In focus: Leasing
In focus: Leasing P1,468.3M Land We pay particular attention to recurring income sources to provide us our lease withAyala with higher earnings visibility. We primarily target traditional Land provides for a companies, including logistics, BPOs, and gaming and tourism-related minimum guaranteed rent
Slide 18: Robust leasing activity reflects high level of sustainability
Robust leasing activity reflects high level of sustainability Recurring Income Contribution(1) (67%) Total Leasable Floor Area(2) (sq.m.) Total recurring revenues 89,914 89,914 89,914 45% 28% 59,000 32% 35% 23% 26% 8% 5% 5% 2018 2019 2020 % to Total Revenues 88% 56% 67% Land (PHP mm) 965 979 733 Bui
Slide 19: In focus: Residential
In focus: Residential Revenue contribution P707.3M Residential sales % to total revenues 32% from 16% in 2019 on We are complementing the speed of development in the area with increased accounts that 2017 2% residential offerings in the mid-income and upscale categories, met 20% threshold for rangin
Slide 20: Superior profitability scorecard consistent with resilient portfolio
Superior profitability scorecard consistent with resilient portfolio Gross Profit (PHP mm) Operating Profit (PHP mm) 84% 84% 80% 78% 72% 64% 65% 59% 2,339 1,80 2,815 1,595 2,158 1,372 2,271 1,308 6 2017 2018 2019 9M 2020 2017 2018 2019 9M 2020 Gross Profit Gross Profit Margin Operating Profit Operat
Slide 21: Financial strength supports growth aspirations
Financial strength supports growth aspirations Debt To Equity(1) (%) Return on Equity(2) (%) 20% 29% 14% 12% 12% 11% 3% 2% 2017 2018 2019 9M 2020 2017 2018 2019 9M 2020 Current Ratio(3) (x) Asset to Equity(4) (x) 2.35x 1.61x 1.61x 1.63x 1.64x 1.56x 1.49x 0.75x 2017 2018 2019 9M 2020 2017 2018 2019 9
Slide 22: Progress Report on Use of proceeds
Progress Report on Use of proceeds Pixel Residences P256M 8912 Asean Ave. P1.5B Parqal P1.1B MidPark Towers P486M Aseana Plaza P217M Total applied offering proceeds as of Dec 31, 2019 21
Slide 23: Points of Focus, Development Pipeline, Operating and Financial Highlights
Aseana Plaza (formerly Aseana Five and Six) 2 Points of Focus 9 Development Pipeline 12 Operating and Financial Highlights 23 Summary 22
Slide 24: Summary: FY 2020 highlights
Summary: FY 2020 highlights 9M 2020 Summary 2020 Outlook • Sustained top-line growth of 13% to P2,200.36 million • Continued upsurge in revenue led by the residential from P1,945.06 million year-on-year. segment: • 67% increase in residential sales, up to P707.3 million • Pixel Residences: Ongoing t
Slide 25: Q&A
Q&A www.dmwai.com www.aseanacity.com 24 iro@dmwai.com 2 4
Slide 26: Event after reporting period: Building acquisition in Makati
Event after reporting period: Building acquisition in Makati Lot area 770 sqm 25
Slide 27: Appendix: Consolidated Statements of Profit or Loss
Appendix: Consolidated Statements of Profit or Loss PHP 9M 2020 9M 2019 Change (%) Rentals Land P 733,236,103 P 736,750,507 0% Building 610,960,611 594,339,432 3% Other revenues 124,056,344 142,175,969 -13% 1,468,253,058 1,473,265,907 0% Construction contracts 24,802,115 49,052,530 -49% Sale of cond
Slide 28: Appendix: Consolidated Statements of Financial Position
Appendix: Consolidated Statements of Financial Position PHP 30 Sept 2020 31 Dec 2019 Current Assets 12,118,821,980 13,509,277,300 Non-current Assets 19,788,620,417 17,757,520,909 Total Assets P 31,907,442,395 P 31,266,798,209 Current Liabilities 7,437,201,156 8,400,854,268 Non-current Liabilities 2,
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