Filinvest Land Incorporated · PSE:FLI
Filinvest Land — FY2020 Earnings Presentation
16 slides from Filinvest Land's earnings presentation, Mar 31, 2021
Slide 1: FY2020 Analysts Briefing
FY2020 Analysts Briefing March 31, 2021 1
Slide 2: FY2020 Key Messages
FY2020 Key Messages • 4Q20 Real estate revenues increased 50% vs 3Q20 • Office Rentals grew 8% in FY2020. • 4Q20 Retail rentals grew 55% vs. 3Q20 • Full year Total Revenues are down resulting from delayed completion of residential projects, rental waivers and deferred customer collections resulting
Slide 3: 4Q 2020 Real Estate Revenues
4Q 2020 Real Estate Revenues • Significant recovery in 4Q20 compared to 3Q20 4Q20 vs 3Q20 (Php B) +50% 3.17 2.12 3Q20 vs 2Q20: +45% 3Q20 4Q20 3
Slide 4: FY 2020 Real Estate Revenues
FY 2020 Real Estate Revenues • 2020 real estate revenues reduced by the Bayanihan1 deferment of customer payments and construction restrictions during the quarantine period. FY20 vs FY19 4Q20 vs 3Q20 (Php B) (Php B) 17.01 -42% 9.84 +50% 3.17 2.12 2019 2020 3Q20 4Q20 4
Slide 5: FY2020 Office Rental Revenues
FY2020 Office Rental Revenues (Php B) +8% 5.56 5.17 2019 2020 5
Slide 6: FY 2020 Rental Services Revenues
FY 2020 Rental Services Revenues (Php B) 8% growth in office -9% leasing tipped by 7.01 lower retail mall 6.39 revenues due to rent Retail waiver for closed Retail stores during the Quarantine period. Office Office Quarantine Period 2019 2020 ECQ : March 16 to May 17 MECQ : May 18 to May 31 (in Php
Slide 7: FY2020 Total Revenues
FY2020 Total Revenues (Php B) 25.67 -32% 17.48 2019 2020 Quarantine Period ECQ : March 16 to May 17 MECQ : May 18 to May 31 GCQ : June – July MECQ: August GCQ: September 7
Slide 8: FY 2020 Net income declined 39%
FY 2020 Net income declined 39% Php M 2019 2020 Revenues 25,673 17,485 • 32% drop in total Real estate 17,013 9,837 revenues partially Rental revenues 7,009 6,386 offset by 42% Interest and other income 1,250 745 Equity in net earnings 401 516 decline in direct costs. Costs 10,982 6,595 Cost of real
Slide 9: Stable Margins
Stable Margins 2019 2020 GPM of real estate sales 42.1% 43.2% GPM of rental services 83.9% 84.2% % of G&A to Revenues 9.6% 12.8% % of S&M to Revenues 5.6% 6.2% Tax rate 21.2% 9.6% Net income margin 25.4% 22.6% • Improved GPM of rental services due to higher office leasing share vs. retail. • Higher
Slide 10: FY 2020 Option Sales take-up
FY 2020 Option Sales take-up Php Billion Breakdown of 2019 2020 Sales Take Up -21% Socialized 1% 1% Affordable/Middle 19.41 Income 94% 93% 15.27 High-End / Others 5% 6% 2019 2020 OFW Share of Sales 31% 20% Take Up 2019 2020 Decline in sales take-up due to: • Taal volcano eruption • COVID19 pandemic
Slide 11: FY 2020 Php 3.7B worth of New Launches
FY 2020 Php 3.7B worth of New Launches Project Type Location Est. Sales Value (Php M) Tropics 4 Phase Horizontal Rizal 260 1 Futura Vinta MRB Zamboanga 785 Studio N HRB Alabang 1,031 (Block 50) Sorrento Bldg. P MRB Pasig 1,579 TOTAL 3,655 11
Slide 12: Strong and Stable Financial Position
Strong and Stable Financial Position Dec. 31, 2019 Dec. 31, 2020 Change (%) (Php M) (Php M) Total Assets 173,696 181,005 +4% Total 63,413 69,769 +10% Borrowings Net Debt 58,639 63,075 +8% Stockholders’ 72,164 74,379 +3% Equity D/E Ratio 0.88x 0.94x Net D/E Ratio 0.81x 0.85x • 97% fixed rate and 3% f
Slide 13: CAPEX spent for 2020: Php 11.3 B
CAPEX spent for 2020: Php 11.3 B Retail leasing 6% Office leasing 45% Residential 36% Land Acquisition 18% Land Acquisition: mostly remaining payables of past acquisitions 13
Slide 14: Filinvest REIT
Filinvest REIT • 17 Buildings: 16 buildings in Northgate Cyberzone in Filinvest City and 1 building in Cebu Cyberzone • Land lease term of Northgate properties at 75 years. • Total GLA of 301,362 square meters 14
Slide 15: Filinvest REIT
Filinvest REIT • Secondary Offer of up to 1,634,187,850 shares or 33.4% • With an over-allotment option of up to 163,418,785 shares or 10% of firm offer • Total maximum float of 36.74% • Offer price of up to P8.30 15
Slide 16: Key Takeaways
Key Takeaways • More emphasis on office development provided a cushion to the adverse effects of the COVID19 pandemic. • REIT will accelerate growth in the Company’s recurring income business, will unlock the value of the Company’s assets and reduce dependence on leverage for growth in investment as