Slide 1: Leading in Pan-European Real Estate
LEADING IN PAN-EUROPEAN REAL ESTATE Results Presentation | 9M 2019 | 14 November 2019 PATRIZIA | © 2019
Slide 2: Highlights
Financials 9M 2019 Highlights On track to deliver full-year guidance with improved earnings quality 9M 2019 Assets under management | EUR bn • Assets under management (AUM) increased by 3.8%1 to EUR 42.6bn y-t-d +3.8% 44.0 – 45.0 41.0 42.6 • PATRIZIA clearly outperformed the transaction market as
Slide 3: Operating income
Financials 9M 2019 Operating income Strong operating income of EUR 97.7m with improved earnings quality Highlights Composition 9M 2019 | EUR m • Total service fee income up 11.5% to EUR 233.7m (9M 2018: EUR 209.7m) due to: • Strong management fees with 10.9% growth y-o-y -49.8% +4.1% due to or
Slide 4: Total service fee income
Financials 9M 2019 Total service fee income PATRIZIA continues to grow while still delivering superior investment performance for clients Highlights Total service fee income | EUR m • Total service fee income up 11.5% to EUR 233.7m driven by: • Organic growth in assets under management and 307.0 – 3
Slide 5: Transaction fees
Financials 9M 2019 Transaction fees Transaction activity picked up in Q3 2019 and further acceleration is expected in Q4 2019 Highlights Transaction volume (signed/closed) | EUR bn • Strong acceleration of signed transaction volume q-o-q, 6.0 – 8.0 e.g. residential in Germany and Dublin, logisti
Slide 6: Performance fees
Financials 9M 2019 Performance fees Superior returns for clients translate into attractive performance fees Performance fees | EUR m Highlights 72.0 – 80.0 • Performance fees of EUR 68.6m in 9M 2019, up 37.3%, 68.6 emphasise PATRIZIA’s active asset management capabilities and investment track reco
Slide 7: Profitability and costs
Financials 9M 2019 Profitability and costs Continued efficiency improvements propel profitability and cost ratios AUM vs total cost ratio | EUR bn vs % EBITDAR margin (+/- principal investments) | EUR m, LHS vs % 50 1% 44.0 – 45.0 180 50.0% 1.21% 45.2% 45 42.9% 1.14% 1% 160 41.8% 45.0% 40 42.6 38.7%
Slide 8: Solid financial position
Financials 9M 2019 Solid financial position Ample cash position to drive further growth and strategic development • Strong balance sheet ratios and capital structure to facilitate further profitable growth • Total available liquidity as at 30.09.2019 amounts to EUR 261.2m or EUR 547.9m adjusted • Th
Slide 9: Guidance 2019e
Financials 9M 2019 Guidance 2019e Full-year operating income guidance of between EUR 120.0m and EUR 130.0m confirmed Assumptions 2019e Income composition FY 2019e | EUR m • Total service fee income: EUR 307.0 – 330.0m 64% 69% • Management fees: EUR 180.0 – 185.0m 90% based on increased assets under
Slide 10: Compelling equity story
Financials 9M 2019 Compelling equity story 1 2 3 Leading position Reputable pan- Strong development in the structural growth European platform with potential due to ample market for real estate outstanding track record liquidity and focus on investment management in real estate innovation • Strong g
Slide 11: Appendix
Appendix PATRIZIA | © 2019 11
Slide 12: Capital allocation
Appendix Capital allocation Assets under Invested capital Invested capital Participations 30.09.2019 Management (fair value) (at cost) EUR m EUR m EUR m in % Third-party business 35.928.7 0.0 Co-investments 6.572.7 527.4 152.6 Residential 5.560.1 507.4 135.7 Dawonia GmbH 4.503.1 149.0 1 52.2 5.1 1 D
Slide 13: Excursus | Living Cities
Appendix Excursus | Living Cities PATRIZIA Living Cities Residential Fund Temporary consolidation of assets and liabilities on PATRIZIA’s balance sheet • Open-ended institutional real estate fund with a pan-European • As at November 2019 Living Cities holds a portfolio of EUR 650m in core strategy a
Slide 14: Reconciliation of operating income
Appendix Reconciliation of operating income EUR k 9M 2019 9M 2018 Change EBITDA 95.104 83.904 13.3% Amortisation of other intangible¹ assets, software and -31.473 -6.954 352.6% rights of use, depreciation of property, plant and equipment EBIT 63.631 76.950 -17.3% Finance income/expenses -2.965 -3.25
Slide 15: Consolidated income statement
Appendix Consolidated income statement EUR k Q3 2019 Q3 2018 9M 2019 9M 2018 Revenues 63.096 79.889 242.920 239.995 Income from the sale of investment property 25 71 273 662 Changes in inventories -2.708 -4.355 -23.130 -26.058 Other operating income 3.469 3.943 9.514 12.140 Income from the deconsoli
Slide 16: Consolidated balance sheet | Assets
Appendix Consolidated balance sheet | Assets 30.09.2019 30.09.2019 31.12.2018 EUR k ⚫ adjusted A. Non-current assets Goodwill 201.714 201.714 201.109 Other intangible assets1 147.179 147.179 166.562 Software 10.286 10.286 11.396 Rights of use 23.113 23.113 0 Investment property 3.241 3.241 8.308 Equ
Slide 17: Consolidated balance sheet | Equity and liabilities
Appendix Consolidated balance sheet | Equity and liabilities 30.09.2019 30.09.2019 31.12.2018 EUR k ⚫ adjusted A. Equity Share capital 91.060 91.060 91.060 Capital reserves 155.222 155.222 155.222 Retained earnings Legal reserves 505 505 505 Currency translation difference -12.376 -12.376 -15.605 Re
Slide 18: Financial calendar
Appendix Financial calendar 2019 November 14 ➢ Quarterly Statement for the first nine months of 2019 November 14 ➢ Capital Markets Day 2019 (for institutional investors and equity analysts) 2020 February 18 ➢ Preliminary results 2019 March 19 ➢ Annual Report 2019 May 14 ➢ Quarterly Statement for the
Slide 19: Contact
Appendix Contact KARIM BOHN MARTIN PRAUM Member of the Senior Managing Director Management Board | CFO Head of Investor Relations PATRIZIA AG T +49 821 50910-402 Fuggerstrasse 26 F +49 821 50910-399 86150 Augsburg M +49 151 19685445 Germany investor.relations@patrizia.ag LAURA WALZ MAXIMILIAN GERBER