Frasers Centrepoint Trust · SGX:J69U

Frasers Centrepoint Trust — Q3 FY2013 Earnings Presentation

34 slides from Frasers Centrepoint Trust's earnings presentation, Jul 23, 2013

  1. Slide 1: Frasers Centrepoint Trust 3rd Quarter FY13 Financial Results Presentation

    Frasers Centrepoint Trust 3rd Quarter FY13 Financial Results Presentation (Financial quarter ended 30 June 2013) 23 July 2013

  2. Slide 2: Important notice

    Important notice 2 Certain statements in this Presentation constitute “forward-looking statements”, including forward-looking financial information. Such forward-looking statement and financial information involve known and unknown risks, uncertainties and other factors which may cause the actual re

  3. Slide 3: Contents

     Contents 3  Results slide 4  Balance sheet slide 12  Operational performance slide 16  Outlook slide 23  Appendix slide 26

  4. Slide 4: Results

    Results

  5. Slide 5: 3QFY13 Results Highlights

     Results 5 3QFY13 Results Highlights Financial performance • Distribution per unit of 2.85 cents, up 9.6% • Gross revenue of $40.0m, up 12.4% • Net property income of $28.5m, up 15.4% • Gearing level remained stable at 30.4% Operational performance • 98.4% portfolio occupancy, up from 98.2% in 2QFY

  6. Slide 6: Strong 3QY13 performance with record-high gross revenue and DPU

     Results 6 Strong 3QY13 performance with record-high gross revenue and DPU 3 months ended 30 Jun $’000 3Q13 3Q12 Y-o-Y change Gross Revenue 39,974 35,549 ▲ 12.4% Property Expenses (11,522) (10,902) ▲ 5.7% Net Property Income 28,452 24,647 ▲ 15.4% Income Available for Distribution 23,107 20,231 ▲ 14

  7. Slide 7: 9MFY13 DPU of 7.95 cents, up 8.9% compared to 9MFY12

     Results 7 9MFY13 DPU of 7.95 cents, up 8.9% compared to 9MFY12 9 months ended 30 Jun YTD Oct 12 to YTD Oct 11 to Change $’000 Jun 13 Jun 12 Gross Revenue 117,759 108,158 ▲ 8.9% Property Expenses (33,440) (32,441) ▲ 3.1% Net Property Income 84,319 75,717 ▲ 11.4% Income Available for Distribution 68

  8. Slide 8: FCT delivers steady and regular DPU

     Results 8 FCT delivers steady and regular DPU Record-high FCT Quarterly DPU DPU DPU (¢) 2.85 2.71 2.70 2.60 +9.6% YoY 2.50 +8.0% YoY 2.40 2.20 +9.1% YoY 1QFY12 2QFY12 3QFY12 4QFY12 1QFY13 2QFY13 3QFY13 FY2012 DPU: 10.01¢ FY2013 YTD DPU: 7.95¢

  9. Slide 9: 3Q13 performance bolstered by higher contributions from Causeway Point and Northpoint

     Results 9 3Q13 performance bolstered by higher contributions from Causeway Point and Northpoint Revenue comparison between 3Q13 Gross Revenue and 3Q12 by property: S$ m • Causeway Point: Revenue growth was attributed to higher average occupancy; 3Q13 3Q12 rental growth; higher turnover rent and ▲

  10. Slide 10: Property expenses up 5.7% due mainly to higher property tax and manager's fees

     Results 10 Property expenses up 5.7% due mainly to higher property tax and higher property manager’s fees corresponding to higher revenue and NPI Property Expenses comparison between Property Expenses 3Q13 and 3Q12 by property S$ m • Causeway Point: higher property tax; property manager (PM)’s fee

  11. Slide 11: 3Q13 Portfolio NPI up 15.4% to $28.5 million

     Results 11 3Q13 Portfolio NPI up 15.4% to $28.5 million, driven mainly by higher contributions from Causeway Point and Northpoint Net Property Income (NPI) S$ m ▲ 15.4% 28.45 3Q13 3Q12 24.65 ▲ 30.3 % 14.25 ▲ 7.9% 10.94 8.93 8.27 ▼5.8% ▲ 2.9% ▼2.9% 2.18 2.32 1.95 2.01 1.14 1.11 FCT Portfolio Causew

  12. Slide 12: Balance sheet

    Balance sheet

  13. Slide 13: NAV per unit stable at $1.54

     Balance sheet 13 NAV per unit stable at $1.54 30 Jun 2013 30 Sep 2012 As at S$’000 S$’000 Non-current assets 1,896,386 1,887,948 Current assets 39,437 29,171 Total assets 1,935,823 1,917,119 Current liabilities (113,212) (112,419) Non-current liabilities (550,932) (541,670) Total liabilities (664,

  14. Slide 14: Stable gearing level with substantial portion of borrowings fixed or hedged

     Balance sheet 14 Stable gearing level with substantial portion of borrowings on fixed interest rates / hedged via interest rate swaps As at 30 June 13 30 September 12 Gearing ratio1 30.4% 30.1% Interest cover2 6.25 times 6.49 times Total borrowings $589m $577m % of borrowing on fixed rates or 94%

  15. Slide 15: No significant refinancing needs in the near-term

     Balance sheet 15 No significant refinancing needs in the near-term Weighted average debt maturity @ 30 June 2013 : 3.10 years $264m Aggregate amount Medium Term Note: S$255 million Secured borrowings: S$334 million Total Borrowings: S$589 million $95m $100m $60m $70m $70m Nil $30m FY2013 FY2014 FY

  16. Slide 16: Operational performance

    Operational performance

  17. Slide 17: Portfolio occupancy improved to 98.4% in 3QFY13

     Operational performance 17 Portfolio occupancy improved to 98.4% in 3QFY13 Occupancy by Mall as at 30 Jun 12 30 Sep 12 31 Dec 12 31 Mar 13 30 Jun 13 Causeway Point 87.7% 87.7% 96.4% 99.6% 99.6% Northpoint 99.7% 99.7% 99.5% 99.7% 98.9% YewTee Point 97.2% 96.3% 96.6% 91.5% 92.2% Anchorpoint 100.0% 9

  18. Slide 18: 9.4% average rental reversion for renewals in 3QFY13

     Operational performance 18 9.4% average rental reversion for renewals in 3QFY13 NLA (sq ft) Change compared to 3QFY13 No. of renewals As % Mall’s NLA preceding rental rates1 Renewed Causeway Point 14 4,463 1.1% 6.0% Northpoint 10 5,465 2.3% 14.1% Bedok Point 1 138 0.2% 0.7% YewTee Point 14 9,804 1

  19. Slide 19: 7.5% average rental reversion for 9MFY13

     Operational performance 19 7.5% average rental reversion for 9MFY13 % Increase in average rental rates over preceding rates for lease renewals 15.0% 14.0% 12.8% 12.1% 8.6% 7.2% 7.5% FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 9MFY13

  20. Slide 20: Well-staggered lease renewal schedule over the next three years

     Operational performance 20 Well-staggered lease renewal schedule over the next three years Weighted Average Lease Expiry (WALE) Expiry profile as % of total gross rental income By NLA 1.70 years 38.5% (2Q13: 1.84 years) 32.2% By Gross Rent 1.61 years 18.3% (2Q13: 1.71 years) 4.5% 4.9% 1.7% Lease e

  21. Slide 21: Causeway Point and Northpoint account for substantial portion of upcoming renewals

     Operational performance 21 Causeway Point and Northpoint account for substantial portion of upcoming renewals in the next 2 years 76% of total Number of Nett Lettable Area as % of total NLA as % of total gross rent gross rental FY2014 Leases Expiring (NLA) Expiring (sq ft) expiring in FY2014 expir

  22. Slide 22: 3Q13 Portfolio Shopper Traffic grew 5.0% year-on-year

     Operational performance 22 3Q13 Portfolio Shopper Traffic grew 5.0% year-on-year Shopper Traffic (millions)* 25.0 ▲2.2% YoY ▲5.7% YoY ▲5.0% YoY 22.0 22.5 22.1 20.0 21.7 21.5 20.9 20.6 15.0 10.0 5.0 0.0 Oct-Dec Jan-Mar Apr-Jun Jul-Sep FY2012 FY2013 • Total Shopper Traffic in FY2012: 85.0 million •

  23. Slide 23: Outlook

    Outlook

  24. Slide 24: Suburban retail sector supported by positive trends

     Summary 24 Suburban retail sector supported by positive trends • The Singapore suburban retail sector supported by positive trends including: a) growing median household income; b) low unemployment rate; c) stable supply/demand of retail space; d) growing residential population in the suburban are

  25. Slide 25: Thank you

    Thank you Analyst & media contact: Chen Fung-Leng Frasers Centrepoint Asset Management Ltd Tel: (65) 6277-2657 Email: fungleng.chen@fraserscentrepoint.com Website: www.fct.sg

  26. Slide 26: Distribution details

     Appendix 26 Distribution details Distribution period 1 April 2013 to 30 June 2013 Distribution per unit 2.85 cents 29 July 2013 Ex-date (Monday) at 9.00 am 31 July 2013 Books closure date (Wednesday) at 5.00 pm 29 August 2013 Payment date (Thursday)

  27. Slide 27: 3Q13 year-on-year and quarter-on-quarter comparison

     Appendix 27 3Q13 year-on-year and quarter-on-quarter comparison Year-on-Year Comparison Quarter-on-Quarter Comparison 3Q13 $’000 (unless otherwise indicated) 3Q12 % Change 2Q13 % Change Gross Revenue 39,974 35,549 ▲ 12.4% 39,808 ▲ 0.4% Property Expenses -11,522 -10,902 ▲ 5.7% -11,063 ▲ 4.1% Net Pr

  28. Slide 28: Appendix: Portfolio Information as at 30 June 2013

     Appendix: Portfolio Information as at 30 June 2013 28 FRASERS CENTREPOINT TRUST PORTFOLIO INFORMATION AS AT 30 June 2013 Portfolio NLA (sq ft) Causeway Point (CWP) 416,310 Northpoint (NP1 and NP2) 236,019 Anchorpoint (ACP) 71,610 YewTee Point (YTP) 73,669 Bedok Point (BPT) 81,393 Total NLA of FCT'

  29. Slide 29: Appendix: Portfolio Lease expiry profile

     Appendix: Portfolio Lease expiry profile 29 Lease expiry profile (FYE Sep 30) FY13 FY14 FY15 FY16 FY17 FY18 FCT Portfolio No of leases 43 216 227 95 20 2 Expiries as % Total NLA 4.0% 30.6% 37.1% 19.0% 4.5% 4.8% NLA (sq ft) Expiring 34,880 264,635 320,696 164,102 38,857 41,646 Expiries as % Total G

  30. Slide 30: Appendix: Trade mix as at 30 June 2013

     Appendix: Trade mix as at 30 June 2013 30 % of portfolio % of portfolio Trade Classifications NLA gross rents 1 Fashion 15.2% 23.3% 2 Household 8.7% 7.6% 3 Services/Education 9.1% 8.6% 4 Beauty, Hair, Cosmetics, Personal Care 6.2% 8.2% 5 Food & Restaurants 28.4% 32.1% 6 Books, Music, Art & Craft,

  31. Slide 31: Appendix: Top 10 tenants by gross rental as at 30 June 2013

     Appendix: Top 10 tenants by gross rental as at 30 June 2013 31 % of portfolio % of portfolio Tenants NLA gross rents 1 Cold Storage Singapore 7.2% 4.7% 2 Metro 6.9% 3.3% 3 Courts 4.0% 3.0% 4 Kopitiam 2.0% 2.0% 5 Food Republic 2.0% 1.9% 6 Watson's Personal store 1.2% 1.5% 7 NTUC Fairprice 2.0% 1.5%

  32. Slide 32: Appendix: Historical portfolio information by quarter

     Appendix: Historical portfolio information by quarter 32 FRASERS CENTREPOINT TRUST FINANCIAL & OPERATIONAL METRICS Note: Yel l ow cel l s mea ns property i s undergoi ng AEI Quarterly historical data 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 Gross rent ($ '000) CWP 14,476 13,791 16,293 15,537 16,752 16,922 NP

  33. Slide 33: Appendix: Historical profit and loss statement by quarter

     Appendix: Historical profit and loss statement by quarter 33 FRASERS CENTREPOINT TRUST PROFIT AND LOSS STATEMENT $'000 Quarter Quarter Quarter Quarter Quarter Quarter 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 REVENUE Gross rent 32,278 31,757 35,237 34,033 35,188 35,306 Other revenue 4,447 3,792 3,808 3,943 4,

  34. Slide 34: Appendix: Historical portfolio information by financial year

     Appendix: Historical portfolio information by financial year 34 FRASERS CENTREPOINT TRUST FINANCIAL & OPERATIONAL METRICS Yearly historical data (FYE Sep) FY07 FY08 FY09 FY10 FY11 FY12 Note: Yellow cells means property is undergoing AEI Gross Rent ($ '000) CWP 45,674 48,805 50,669 50,633 44,993 59

Frasers Centrepoint Trust — Q3 FY2013 Earnings Presentation on 6ix