Keppel Dc Reit · SGX:AJBU
Keppel Dc Reit — 1Q 2023 Earnings Presentation
22 slides from Keppel Dc Reit's earnings presentation, May 2023
Slide 1: Investor Presentation May 2023
Investor Presentation May 2023
Slide 2: Outline
Outline Key Highlights 3 Portfolio Updates 5 Capital Management 9 Additional Information 13 Constituent of: Awards and Certifications: FTSE Straits FTSE EPRA Nareit Global MSCI Singapore GPR 250 Times Index Developed Index Small Cap Index Index Series 1 2 1. The use by Keppel DC REIT of any MSCI ESG
Slide 3: 1Q 2023 Key Highlights
1Q 2023 Key Highlights Resilient financial performance underpinned by quality portfolio • Distributable income and DPU for 1Q 2023 increased by 4.1% and 3.0% year-on-year respectively, mainly due to contributions from acquisitions and proactive asset management • Majority of rental income is derived
Slide 4: Higher Distributable Income and DPU
Higher Distributable Income and DPU 1Q 2023 vs 1Q 2022 Distributable Income ($’000)1 Distribution Per Unit (cents)2 • Higher distributable income and DPU were mainly due to: +4.1% +3.0% 2.541 o Increase in gross revenue from the acquisitions of 46,344 Guangdong Data Centre 2 & building shell of Guan
Slide 5: Portfolio Updates
Portfolio Updates [Keppel peat Ew
Slide 6: Diversified Portfolio of Quality Data Centres
Diversified Portfolio of Quality Data Centres • Maintained high portfolio occupancy of 98.5% as at 31 Mar 2023 • Healthy WALE of 8.2 years as at 31 Mar 2023 • Built-in income and rental escalations based on Consumer Price Index or similar indexation, or fixed rate mechanisms embedded in more than ha
Slide 7: High-quality Global Client Base
High-quality Global Client Base • Majority of rental income is derived from clients with investment grade or equivalent credit profiles Rental Income by Trade Sector Rental Income by Type of Contracts Top 10 Clients by Rental Income (for the month of Mar 2023)1 (for the month of Mar 2023)1 (for the
Slide 8: Demand Underpinned by Strong Market Fundamentals
Demand Underpinned by Strong Market Fundamentals • Data centre demand continues to be driven by long-term trends including adoption of cloud computing, digital transformation initiatives; and artificial intelligence (AI) & machine learning (e.g. generative AI including ChatGPT) • Worldwide cloud mar
Slide 9: Capital Management
Capital Management [Keppel peat of
Slide 10: Favourable Debt Profile
Favourable Debt Profile • Debt is diversified across five currencies, with the bulk of debt expiring from 2026 and beyond. By Apr 2023, completed the refinancing of all loans due in 2023 • Healthy aggregate leverage provides debt headroom for growth opportunities Debt Maturity Profile As at Change f
Slide 11: Prudent Management of Borrowing Costs and Impact of Currency Fluctuations
Prudent Management of Borrowing Costs and Impact of Currency Fluctuations Majority of loans fixed through interest rate Debt currency breakdown Investment properties breakdown2 swaps (as at 31 Mar 2023) (as at 31 Mar 2023) Floating Italy Ireland Fixed 27% 8.1% 1.5% Debt EUR 73% Netherlands 39.0% 6.6
Slide 12: Thank You
Thank You Important Notice: The past performance of Keppel DC REIT is not necessarily indicative of its future performance. Certain statements made in this presentation may not be based on historical information or facts and may be “forward-looking” statements due to a number of risks, uncertainties
Slide 13: Additional Information
Additional Information [CAS De REIT Bg
Slide 14: Focused on Growing Data Centre Portfolio
Focused on Growing Data Centre Portfolio Keppel DC REIT Assets under Management $3.7b 1 9 1 Singapore • Keppel DC Singapore 1 2 Australia • Gore Hill Data Centre, 23 data centres across 9 countries • Keppel DC Sydney 8 3 Singapore 2 • Intellicentre as at 31 Mar 2023 • Keppel DC Campus, 5 Singapore 3
Slide 15: Portfolio Overview (as at 31 Mar 2023)
Portfolio Overview (as at 31 Mar 2023) Attributable Land lease No. of Occupancy WALE Interest lettable area Valuation2 Lease type Land lease title remaining Clients1 rate (%) (years)3 (sq ft) (years) Asia Pacific Leasehold Keppel DC Singapore 1, Keppel lease / 100% 109,721 24 89.14 S$339.3m 2.0 (Exp
Slide 16: Portfolio Overview (as at 31 Mar 2023)
Portfolio Overview (as at 31 Mar 2023) Attributable Land lease lettable No. of Occupancy WALE Interest Valuation2 Lease type Land lease title remaining area clients1 rate (%) (years)3 (years) (sq ft) Europe Kelsterbach Data Centre, €75.1m Triple-net 100% 540,869 1 100.0 2.8 Freehold - Kelsterbach, G
Slide 17: Overview of Contractual Arrangements
Overview of Contractual Arrangements Responsibilities of Owner Insurance Maintena Property Contractual Building Refresh Asia Pacific Description Capex Arrangement Opex Tax nce Keppel lease1 / ◼ Client: Pays rent Keppel DC Singapore 1 ✓ ✓ ✓ ✓ Colocation2 ◼ Owner: Bears all expenses; responsible for f
Slide 18: Overview of Contractual Arrangements
Overview of Contractual Arrangements Responsibilities of Owner Insurance Maintena Contractual Property Building Refresh Europe Description Capex Arrangement Opex Tax nce Kelsterbach Data Centre Triple-net lease ◼ Client: Pays rent and all outgoings; responsible for facilities management - - - - main
Slide 19: ESG Targets and Commitments
ESG Targets and Commitments Environmental Stewardship Responsible Business People & Community Align reporting with the Obtain and maintain green certification for all Engage with local communities and recommendations of the Taskforce Singapore colocation assets by 2025 and obtain contribute to Keppe
Slide 20: ESG Highlights
ESG Highlights Environmental Stewardship • Progressive implementation of Taskforce on Climate-related Financial Disclosures Responsible Business (TCFD) recommendations • Dedicated Board ESG Committee • Renewable electricity procured for both Dublin assets; Supportive of initiatives to Environmental
Slide 21: Creating Long-term Stakeholder Value
Creating Long-term Stakeholder Value Diversified global portfolio with a strong Asia Pacific presence Diversified global portfolio • Strong operational expertise and proven growth track record with strong Asia Pacific • Proactive asset management to optimise portfolio returns presence • Large and st
Slide 22: Keppel DC REIT Structure (as at 31 Mar 2023)
Keppel DC REIT Structure (as at 31 Mar 2023) Keppel Keppel Capital Telecommunications & Transportation The REIT Manager can Institutional and The REIT Manager can leverage leverage the Sponsor‘s expertise and Public Investors the scale and resources of a track record in this industry larger asset ma