Hiag Immobilien Holding Ag · SIX:HIAG
Hiag Immobilien — FY2023 Earnings Presentation
47 slides from Hiag Immobilien's earnings presentation, Mar 4, 2024
Slide 1: Annual Results 2023 HIAG Immobilien Holding AG
Annual Results 2023 HIAG Immobilien Holding AG Marco Feusi Stefan Hilber CEO CFO 4 March 2024
Slide 2: Agenda
Agenda 1 Key Highlights 2 Key Financials 3 Portfolio figures 4 Financing 5 Portfolio / Asset Management 6 Site Development 7 Transactions 8 Sustainability 9 Market assessment by HIAG 10 Outlook 2024 11 Q&A 12 Appendix HIAG Annual Results 2023 2
Slide 3: Key Highlights
Key Highlights Convincing business model in a challenging environment Net income excl. revaluation Property income CHFm 70.3 Net profit from CHFm 48.6 (+3.9%) sale of condominiums and (+26.7%) divestments Vacancy rate CHFm 23.4 Revaluation from 6.4% to 4.0% CHFm -1.9 Financing security High equity
Slide 4: Key Financials
Key Financials HIAG
Slide 5: Financial figures 2023
Financial figures 2023 Net income excl. revaluation increased by 27% Income Statement / ROE / EPS In CHFm 2023 2022 Δ CHFm Δ% ROE RoE Property income 70.3 67.7 2.6 3.9 RoE excl. revaluation 11.1% 10.4% Revaluation of properties -1.9 64.3 -66.2 <-100 7.7% Income from sale of properties 40.9 13.8 27.1
Slide 6: Portfolio figures
Portfolio figures HIAG Annual Results 2023 6
Slide 7: Property income
Property income Increase by 3.9% mainly due to new lettings and project completions Property income Comments Main effects: Property income (in CHFm) New lettings (2022): +3.9% – Flaschenpost Klingnau (CHFm +0.7 p.a.) 1.4 0.1 0.7 -2.3 70.3 2.3 -0.8 New lettings (2023): -0.5 67.7 1.8 – Smyths Toys AG
Slide 8: Vacancy rate / Yields
Vacancy rate / Yields Further remarkable vacancy rate decrease by 2.4%p to 4.0% Vacancy rate / Potential property income (at full occupancy) / Yields Vacancy rate 2019 to 2023 16.2% 13.2% 10.7% 6.4% 4.0% 01.01.2020 01.01.2021 01.01.2022 01.01.2023 01.01.2024 Potential property income 2019 to 2023 (i
Slide 9: Tenants: WAULT / Lease expiry profile
Tenants: WAULT / Lease expiry profile Stable WAULT at almost 7 years WAULT1 / Lease expiries WAULT (in years) WAULT – Top 15 tenants (in years) -3.8% -14.4% 7.0 6.7 10.6 9.0 01.01.2023 01.01.2024 01.01.2023 01.01.2024 Lease expiry profile 37.4% Thereof Residentials (48%) 20.0% 9.0% 9.0% 7.9% 7.9% 4.
Slide 10: Portfolio value
Portfolio value CHFm c. 300 portfolio growth within 4 years Portfolio value Development portfolio Development 2019 to 2023 (in CHFm) Yielding portfolio 1,926 1,898 1,784 1,571 1,638 703 782 647 518 612 1,138 1,223 1,115 1,053 1,026 31.12.2019 31.12.2020 31.12.2021 31.12.2022 31.12.2023 Change in per
Slide 11: Revaluations
Revaluations Developments offset trend of discount rate increase Revaluations Yielding Portfolio (in CHFm) Development Portfolio (in CHFm) 30.06. 30.06. 46.7 31.12. 31.12. 33.5 25.4 22.6 22.6 (+3.4%) 19.6 19.1 15.7 14.2 16.4 7.8 6.8 9.8 (+1.1%) 1.9 -6.0 -2.9 -14.8 -13.9 (-1.3%) -20.0 -27.4 (-2.4%) 2
Slide 12: Discount rates
Discount rates Increase of discount rates according to expectations Discount rate development 2019 - 2023 Weighted average discount rate (real) Highest discount rate Weighted average discount rate 6.00% Lowest disount rate 5.50% 5.40% 5.30% 5.30% 3.78% 3.55% 3.43% 3.22% 3.33% 1.95% 2.00% 2.00% 2.00%
Slide 13: Financing
Financing HIAG Annual Results 2023 13
Slide 14: Capital Structure
Capital Structure Strong balance sheet as foundation for further growth Equity Ratio / LTV Ratio (gross and net) in % Equity Ratio 53.9% 53.1% 52.0% 45.0% 41.3% 31.12.2019 31.12.2020 31.12.2021 31.12.2022 31.12.2023 LTV Ratio 52.9% 49.9% 51.4% 48.7% 44.5% 42.6% 41.1% LTV Ratio net LTV Ratio gross 40
Slide 15: Financial liabilities
Financial liabilities Interest rates increased along market environment Average interest rate, duration and financial liabilities 2023 / 2022 31 Dec 2023 / 31 Dec 2022 Average Duration interest rate in Years Interest rate fixation Capital commitment 1.6% 3.2 yrs. 3.4 yrs. +0.6%p +0.4 yrs. +0.6 yrs.
Slide 16: Financial liabilities
Financial liabilities Revolving credit facility leads to high financing security Due dates of financial liabilities and credit line – as at 31 December 2023 Comments Key Facts: Revolving Credit line for 5 years (in CHFm) – Committed value of CHFm 500 – 2x increase options of total max. CHFm 200 150
Slide 17: Financing project pipeline
Financing project pipeline Sale of condominiums supports financing flexibility Financing of mid-term pipeline (in CHFm) -150 500 187 -138 -191 140 75 -266 217 Projects under Projects Other mid- Total CF sale of Total CF Sale of Cash Flow from mid- Total revolving Already used Financing surplus const
Slide 18: Portfolio / Asset Management
Portfolio / Asset Management HIAG
Slide 19: Inflation and rental income
Inflation and rental income Inflation protection through CPI and reference rate linked leases Annualised income by type of lease indexation Actual reference interest rates Rental income increase 4; 1% Additional rental income expected in 2024 due to: 3; 3% 5; 14% 1 CPI linked leases 1; 1.25% 2 Non-C
Slide 20: Site Development
Site Development HIAG
Slide 21: Projects short-and mid-term
Projects short-and mid-term High visibility of additional rent and development gains Usable Market Expec. Total Remaining Open Est. Est. Pre-let Lease Project status 2024 2025 2026 2027 area Value MV after investment investment developer Rental sales Ratio Duration in m2 (MV) compl. volume in in CHF
Slide 22: Selected projects
Selected projects Significant milestones were achieved Chama, 2nd stage Yielding and Promotion Schönau site Cham ZG Wetzikon ZH Residential use development Residential use development – Building permission will be granted in 03.2024 – c. 90 apartments/detached houses (c. 55% promotion), 700 m2 comme
Slide 23: Development Performance
Development Performance Outperforming in average during the last 4 years Segments since 2020 without valuation change from market 2020 2021 2022 2023 Yieldi In CHFm Develop. Yielding Develop. Yielding Develop. Yielding Develop. ng Reported EBITDA 47.6 23.5 74.4 19.9 59.1 54.6 17.5 42.5 6.6% Valuatio
Slide 24: Transactions
Transactions HIAG
Slide 25: Divestments and Acquisitions 2023
Divestments and Acquisitions 2023 Profit of CHFm 16.7 (>15% gross, >10% net) Divestments Address Property Type Portfolio Closing-Date Fair value Annual rent Gross- CHFm CHFm p.a. Profit Cham, Lorzenpark Office, Residential Yielding 01.05.2023 Meyrin, Chemin du Grand-Puits 28 Industrial Development 1
Slide 26: Sustainability
Sustainability HIAG
Slide 27: Sustainability Update
Sustainability Update Important milestones achieved within sustainability strategy Highlights 2023 Increased dialogue Sustainability in the Embedding New sustainability with tenant and operational process: sustainability report with integrated employees – Green lease in financing TCFD report and agr
Slide 28: Market assessment by HIAG
Market assessment by HIAG HIAG
Slide 29: Market assessment by HIAG
Market assessment by HIAG Overall solid market environment with challenging submarkets Economic environment Real estate segments KPI Forecast Forecast Impact real Commercial 2013-2022 2023 2024 2025 estate – Industry / Light industrial: Stable demand, longer commercialization times for large (p.a.)
Slide 30: Outlook 2024
Outlook 2024 HIAG
Slide 31: Outlook 2024
Outlook 2024 Promising, particularly in the letting and development business Business topic Ambitions Actions Portfolio / Asset – Increase collected income by c. 6% vs. 2023 – Additional rental income from completed project developments Management – Vacancy rate YE 2024 <4% – Consequent CPI and refe
Slide 32: Q&A
Q&A HIAG
Slide 33: Thank you !
Office Basel Aeschenplatz 7 4052 Basel T +41 61 606 55 00 Office Zurich Thank you ! Löwenstrasse 51 8001 Zürich T +41 44 404 10 30 Office Geneva Rue François-Bonivard 10 1201 Genf T +41 22 304 10 30 hiag.com
Slide 34: Company Calendar
Company Calendar 18 April 2024 2024 General Meeting 26 August 2024 Publication Half-year Report 2024 24 September 2024 Capital Market Day 03 March 2025 Publication Annual Report 2024 17 April 2025 2025 General Meeting 18 August 2025 Publication Half-year Report 2025 investor.relations@hiag.com www.h
Slide 35: Appendix
Appendix HIAG
Slide 36: KPI Overview
KPI Overview Strong performance of business model offset increased interest rates Net income Net income excl. Earnings NAV per share Return on Equity Equity ratio LTV (in CHFm) Revaluation per share excl. (incl. deferred tax) (in %) (in %) gross / net (in CHFm) revaluation (in CHF) (in %) (in CHF) -
Slide 37: Portfolio overview
Portfolio overview Highly diversified portfolio Actual Annualised income by type of use Actual annualised income by sector Investment properties by canton 8-11; 6% 1 Industry/Commercial 12-17; 4% 1 Manufacturing industry / 8; 6% 1 ZH 11; 2% Production 7; 4% 2 Office 10; 2% 7; 3% 2 AG 2 Transport / L
Slide 38: Tenants – Top 15
Tenants –Top 15 Strong tenant structure with high credibility Top 15 tenants (Group) based on annualised property income – 1 January 2024 Share of annualised property income 43.0% Share of annualised property income 34.1% Cumulative share of annualised property income 31.5% 28.8% 25.9% 22.8% 19.6% 1
Slide 39: Pipeline
Pipeline Mid-term to long-term Usable Total Remaining Open Est. Est. Pre-let Lease Project status 2024 2025 2026 2027 area investment investment developer Rental sales Ratio Duration in m2 volume in in CHFm, gain Value in rev. in Com- in CHFm 2024 ff. 2024 ff. CHFm CHFm mercial years Projects in pla
Slide 40: NAV per share
NAV per share Increasing NAV in the last 5 years NAV per share / share price – as at 31 December 2023 NAV per share excl. deferred tax (in CHF) NAV per share incl. deferred tax (in CHF) +1.3% +1.7% 4.4 -2.9 115.2 -2.9 113.7 4.6 107.0 105.2 NAV per share 2022 Result Dividend per share NAV per share 2
Slide 41: Share price performance
Share price performance Overview Development of share price performance – 31 December 2023 Share price (in CHF) 2023 2022 High 85.60 107.00 Low 73.40 78.00 End of period 79.80 82.00 Market capitalisation (in CHFm) High 865.27 1,080.27 Low 741.95 787.49 End of period 806.64 827.87 Number of shares Is
Slide 42: Company information
Company information HIAG
Slide 43: Investment Case HIAG
Investment Case HIAG Why to invest? Financing & Risk Status quo & Potential Organisation & Experience – Solid balance sheet structure – Diversified mixed use real estate – Strong in house real estate throughout internal planning period portfolio of CHFb 1.9 with rental development know-how with prov
Slide 44: HIAG «at a Glance»
HIAG «at a Glance» Long-term view to realise profitable growth based on solid financing Long-term oriented business view Strong market positioning Performance / finance structure Long-term Real Estate Diversified Portfolio for Enormous value increase business supported by the challenging market and
Slide 45: Integrated Business Model / Sites and offices
Integrated Business Model / Sites and offices At a glance Integrated business model (incl. 3 segments) HIAG sites and offices HIAG Annual Results 2023 45
Slide 46: Shareholder structure
Shareholder structure No significant change of shareholder structure Shareholder structure – 31 December 2023 Major shareholders 2023 2022 1 Anchor shareholders 54.6% 54.6% 2 Free Float 45.4% 45.4% Shareholder structure A SFAG Holding AG 20.0% 20.0% B Grisgros Beteiligungs AG 17.8% 17.7% C BraCHe Be
Slide 47: Disclaimer
Disclaimer This presentation does not constitute or form part of any advertising, offer, recommendation or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, any securities, nor shall part, or all, of this presentation or their distribution form the basis of,
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