Nexity Sa · EURONEXT:NXI
Nexity Sa — ESG Presentation (November 2020)
60 slides from Nexity Sa's sustainability presentation, November 2020
Slide 1: CSR Presentation November 2020
CSR PRESENTATION NOVEMBER 2020
Slide 2: Disclaimer
DISCLAIMER The information contained in this document has not been independently verified. No representation, warranty or undertaking, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained
Slide 3: Sommaire
SOMMAIRE 1. NEXITY AT A GLANCE 2. CSR STRATEGY 3. GOVERNANCE 4. APPENDIX Nexity / CSR Presentation – November 2020 3
Slide 4: Nexity at a glance
1. NEXITY AT A GLANCE
Slide 5: Nexity well-placed to respond to and benefit from macro trends
NEXITY WELL-PLACED TO RESPOND TO AND BENEFIT FROM MACRO TRENDS HELP MEET DEMOGRAPHIC SEIZE OPPORTUNITIES INCORPORATE NEW USES CONSERVE RESOURCES AND SOCIAL PRIORITIES ARISING FROM CONTINUING AND THINK ABOUT FUTURE URBANISATION USES # Structural growth in demand for # Nexity, leading position in # In
Slide 6: Our real estate services platform
OUR REAL ESTATE SERVICES PLATFORM Two complementary business lines assisting our clients as their real estate needs evolve • No. 1 integrated real estate operator in France • Combination of real estate development and real estate services • A unique model 16% of 2019 revenue generated by integrated
Slide 7: Our CSR actions in the Covid-19 health crisis context
OUR CSR ACTIONS IN THE COVID-19 HEALTH CRISIS CONTEXT The Covid-19 health crisis rose immediate needs : And reinforced trends already at place : re-solvency, crisis management… Aspiration to live more healthily, more ecologycally, In 2020, Nexity put in place : importance of local services, digitali
Slide 8: 9M 2020 business activity and revenue
9M 2020 BUSINESS ACTIVITY AND REVENUE Residential Real New home reservations in France • 13,635 units (-3% compared to 9M 2019) Estate • €2,948m (+4% compared to 9M 2019) Property Management for individuals Services to • Low churn rate: -0.7% Serviced residences individuals • Seniors (Domitys): 10 o
Slide 9: CSR strategy
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Slide 10: Corporate social responsibility
CORPORATE SOCIAL RESPONSIBILITY 2019 KEY CSR INDICATORS MEDIUM-TERM TARGETS ▪ Women make up 34% of the Club 1797 ▪ Reduce Greenhouse gas emissions by 2030 by: ▪ Integration into the Bloomberg Gender-Equality index > 30% per new home delivered, ▪ 15% decrease in carbon footprint per employee relative
Slide 11: A constantly improving CSR performance
A CONSTANTLY IMPROVING CSR PERFORMANCE 2019: Overall rating progress France’s #1 low-carbon developer 4th place overall (230 companies) compared to 12th place in 2018 2019: C rating, which places Nexity 2019: A- rating, which ranks Nexity in the in the top 25% for its sector top 6% of the disclosing
Slide 12: The main CSR risks
THE MAIN CSR RISKS Nexity maps all of the risks that may impact its business activities, image, reputation and financial results. This risk mapping, updated in 2019, allows for these risks to be categorised, summarised and assessed. Nexity / CSR Presentation – November 2020 12
Slide 13: Our CSR strategy built through a dialogue with stakeholders
OUR CSR STRATEGY BUILT THROUGH A DIALOGUE WITH STAKEHOLDERS Stakeholders expectations Stakeholders Commitee Nexity ensures that it is in constant discussion with its various In 2018, Nexity set up a Stakeholders Commitee stakeholders in order to better understand their expectations comprising around
Slide 14: The four pillars of CSR policy
THE FOUR PILLARS OF CSR POLICY… Nexity / CSR Presentation – November 2020 14
Slide 15: Solutions for sustainable cities
…INTEGRATED INTO THE OVERALL OF NEXITY’S OFFERS FROM DESIGNING TO MANAGING OPERATIONS… # INTEGRATED REAL ESTATE SERVICES PLATFORM Planning Development Property Management Brokerage # SOLUTIONS FOR SUSTAINABLE CITIES Climate Biodiversity Bien-être Empreinte et QVT Socio-éco Circular economy Mobility
Slide 16: Creating social and environmental value through engagements
…TO CREATE SOCIAL AND ENVIRONMENTAL VALUE THROUGH 5 ENGAGEMENTS Being recognised as a preferred employer Designing sustainable, responsible cities Promoting a better access to housing and higher-quality neighbourhoods Offering better building practises for higher quality of life at work Upholding hi
Slide 17: Being recognised as a preferred employer
CSR strategy Being recognised as a preferred employer
Slide 18: Employee shareholding, a retention factor
EMPLOYEE SHAREHOLDING, A RETENTION FACTOR # Group employee savings plans # Free allocation of shares 70% of the workforce owned Nexity shares at 31 December 2019 (excluding Ægide-Domitys employees) At least 15% of the share capital belonging to employees and executives Performance in 2019: 18% Nexit
Slide 19: Diversity and integration
DIVERSITY AND INTEGRATION, FOSTERING REWARDS AND GREATER COMMITMENT # Promoting the employment of workers with disabilites # Developing social and cultural diversity # Strengthening gender equality 35% women within the Nexity Club 1797 Performance in 2019: 34% Nexity / CSR Presentation – November 20
Slide 20: Quality of life at work
QUALITY OF LIFE AT WORK, MAJOR ATTRACTIVENESS ISSUE # Continous improvement plan Nexity certified Great Place to Work® # Balance between personal and professional life # Mobile working Voluntary turnover rate < 10% Performance in 2019: 9.8% Solstys - Paris Nexity / CSR Presentation – November 2020 2
Slide 21: Inclusion and solidarity in the city
INCLUSION AND SOLIDARITY IN THE CITY # Educational projects, initiatives to get people into work and outreach programmes # Fighting against poor housing 2,000 employees committed to solidarity Performance in 2019: 515 employees Nexity / CSR Presentation – November 2020 21
Slide 22: Designing sustainable, responsible cities
CSR strategy Designing sustainable, responsible cities
Slide 23: The Group's climate strategy
THE GROUP’S CLIMATE STRATEGY > THE CARBON TRAJECTORY, A NEW LONG-TERM TARGET IMPLEMENTED ON 3 SCOPES Residentiel Real Estate 869,294 tCO2e • In the wake of COP 21 and 22, Nexity 81% developed a climate trajectory that builds on the commitments made by France as part of Corporate the Paris Agreement
Slide 24: Our GHG emission reduction targets
OUR GHG EMISSION REDUCTION TARGETS RESIDENTIEL REAL ESTATE COMMERCIAL REAL ESTATE ADMINISTRATIVE SITES 30% 21% 35% reduction of CO2 reduction in CO2 reduction in CO2 per emissions per new emissions per square employee home delivered metre of office floor (2014 basis) (2015 basis) space delivered (20
Slide 25: Our expertise in sustainable cities
OUR EXPERTISE IN SUSTAINABLE CITIES La Garenne-Colombes (Hauts-de-Seine) Porte de Montreuil (Paris) Bruneseau (Paris and Val-de-Marne) # 5-hectares urban campus # Creation of a carbon-neutral area # First carbon-free district in France # Partnering with excellence # Consortium selected as a winner o
Slide 26: Our initiatives in terms of circular economy
OUR INITIATIVES IN TERMS OF CIRCULAR ECONOMY # Ovation Magellan – Colombes • Conversion of a 14 hectares industrial wasteland • 16.000 sq.m to disconstruct -> Pilot study aiming to implement a deconstruction methodology # Campus Engie – La Garenne Colombes • Construction of a 136.000 sq.m urban camp
Slide 27: Social inclusion serving professionalisation
SOCIAL INCLUSION SERVING PROFESSIONALISATION # Integration of social inclusion clauses 11% of the construction sites launched or validated by the Land Purchasing Committee are affected by such clauses in 2019 51.830 hours of social inclusion support carried out in 2019 Les Docks Libres - Marseille N
Slide 28: Development of alternative mobility solutions
DEVELOPMENT OF ALTERNATIVE MOBILITY SOLUTIONS PROMOTING ALTERNATIVE MOBILITY SOLUTIONS IN URBAN AREAS # Extending and converting bicycle shelters : secured access, battery charging, maintenance, cleaning station # Developing new services : maintenance, electric bike sharing, electric car sharing (wi
Slide 29: Better access to housing and higher-quality neighbourhoods
CSR Strategy Better access to housing and higher-quality neighbourhoods
Slide 30: Nexity Non Profit, housing solutions for those most in need
NEXITY NON PROFIT, HOUSING SOLUTIONS FOR THOSE MOST IN NEED Produce 1,000 housing units in family shelters per year Performance 2019: 777 committed housing units Nexity / CSR Presentation – November 2020 30
Slide 31: Wood products, a major lever to reduce carbon footprint
WOOD PRODUCTS, A MAJOR LEVER TO REDUCE CARBON FOOTPRINT # Access Design products : ▪ Collective housing ▪ Single-family houses ▪ Student residences Photo opération Double the production of housing in wood and the use of other bio-sourced or low-carbon materials (2015 basis) Performance in 2019: +239
Slide 32: Our approach to better integrate nature and biodiversity
OUR APPROACH TO BETTER INTEGRATE NATURE AND BIODIVERSITY # Our objective : every occupant has access to biodiversity- friendly gardens or planted areas for a better quality of life 100% of projetcs delivered with planted area Performance in 2019 : 68% › Torough approach put in place with the Cerema
Slide 33: Eugenie, the mobile application connecting the housing
EUGENIE, THE MOBILE APPLICATION CONNECTING… … the housing Roller blinds, heating system, lights, smoke detector Alarm / telesurveillance Electric consumption monitoring Services and emergency breakdown service 1 application 8 functionnalities In 2019: 814 connected housings Nexity / CSR Presentation
Slide 34: Nexity, a leading player in energy transition
NEXITY, A LEADING PLAYER IN ENERGY TRANSITION # 2015 : signature of the official French charter on the energy-efficient renovation of condominiums, launched in line with the recommendations of the Plan Bâtiment Durable # 2018: signature of a Green Deal with the Plan Bâtiment Durable # 2020 : optimiz
Slide 35: Better building practises for higher quality of life at work
CSR Strategy Better building practises for higher quality of life at work
Slide 36: Our expertise in wooden frame offices and retail property
OUR EXPERTISE IN WOODEN FRAME OFFICES AND RETAIL PROPERTY # Two products : Ywood and Térénéo # 120,000 sq.m of timber-frame office space delivered since 2011 of whom nearly 35,000 sq.m delivered in 2019 33% of office building floor space using wood frame Ywood Palazzo Méridia – Nice 1st office build
Slide 37: Biodiversity in our commercial projects
BIODIVERSITY IN OUR COMMERCIAL PROJECTS # Promoting biodiversity as a well-being factor 100% of new, renovated/redeveloped commercial projects including planted areas with news requirements Performance in 2019: 84% Les Magasins Généraux – Pantin Nexity / CSR Presentation – November 2020 37
Slide 38: Modular and healthy office spaces
MODULAR AND HEALTHY OFFICE SPACES Nexity Immobilier d’entreprise Partnership with The Boson Project A full range of healthy, durable, modular and flexibles Consulting in real estate transformation office designs Corpoworking Morning developed a service of customizable offices for companies >> Soluti
Slide 39: Design efficient offices and ensure sustainable use of office
DESIGN EFFICIENT OFFICES AND ENSURE SUSTAINLABLE USE OF OFFICE # Occupancy cost guarantee # Monitoring environmental annexes Increase in the number of turnkey projects offering cost guarantee Performance in 2019: 3.4% Le Nuovo – Clichy-la-Garenne Nexity / CSR Presentation – November 2020 39
Slide 40: Governance
3. GOVERNANCE
Slide 41: Upholding high standards in corporate governance and business ethics
CSR Strategy Upholding high standards in corporate governance and business ethics
Slide 42: Board of Directors key figures
BOARD OF DIRECTORS KEY FIGURES DIVERSITY REMUNERATION 44% women in accordance with Article L 225-18-1 of the French Commercial Code €280k in total** Unchanged since 2005 Average age: 59 Fees based uniquely on attendance at meetings of the Board and its Committees, without any allowance Statutory age
Slide 43: Boards of Directors composition
BOARDS OF DIRECTORS COMPOSITION Audit and Accounts Remuneration, Appointments Strategic and Investment Chairman Board of Directors Independent Committee and CSR Committee Committee Alain Dinin Chairman Deputy Chairman Luce Gendry Senior Independent Director ✓ Jean-Pierre Denis Director Cha
Slide 44: The Board of Director's areas of expertise
THE BOARD OF DIRECTOR’S AREAS OF EXPERTISE Nexity / CSR Presentation – November 2020 44
Slide 45: Nexity's governance
NEXITY’S GOVERNANCE BOARD OF DIRECTORS EXECUTIVE COMMITTEE OTHER GOVERNANCE BODIES THE OPERATIONAL MANAGEMENT 12 Directors o/w 13 members o/w COMMITTEE Alain DININ This Committee brings together 24 3 Directors representing the employees Chairman and CEO 2 Deputy CEOs executives representing the main
Slide 46: Business ethics
BUSINESS ETHICS # UN Global Compact : « GC Active » status in 2019 # Contribution to the UN’s Sustainable Development Goals (SDG) # Code of Conduct – available on Nexity’s website # Code of Ethics for suppliers Nexity / CSR Presentation – November 2020 46
Slide 47: Appendix
4. APPENDIX
Slide 48: Being recognised as a preferred employer
BEING RECOGNISED AS A PREFERRED EMPLOYER Objectives – Internal Clients Maturity 2019 Performance 35% reduction of CO2 per employee (2014 basis) 2030 -15% 90% of employees have an annual interview with their manager 2020 91% At least 15% of the share capital belonging to employees and executives 2020
Slide 49: Better access to housing and higher-quality neighbourhoods
BETTER ACCESS TO HOUSING AND HIGHER-QUALITY NEIGHBOURHOODS Objecitves – Individual Clients Maturity 2019 Performance 30% reduction of CO2 emissions per new home (2015 basis) 2030 -5.2% Continue to lead the market (> 20% market share) in reduced VAT zones and remain the number-one partner of 2020 18.
Slide 50: Better building practices for higher quality of life at work
BETTER BUILDING PRACTICES FOR HIGHER QUALITY OF LIFE AT WORK Objectives – Commercial Clients Maturity 2019 Performance 21% reduction in CO2 emissions per square metre of office floor space delivered (2015 basis) 2030 -5.6% 50% of projects launched bear the E+C- 2020 29% 33% of office building floor
Slide 51: Designing sustainable, responsible cities
«DESIGNING SUSTAINABLE, RESPONSIBLE CITIES Cross-functional objectives Echéance Performance en 2019 30% of developpement and services based on a circular economy approach 2025 3.6% 30% of purchased including at least one CSR aspects (local sourcing, social inclusion, ESAT 2020 - [hiring the disabled
Slide 52: Other CSR indicators (1/2)
OTHER CSR INDICATORS (1/2) Employee Data 2019 2019 Breakdown of employees by gender Average lenght of service of Group 5.4 years employees Number of women 7,288 66% Management-level 6.4 ans Management-level Non-management staff 2,279 4.7 ans Non-management staff 5,009 Turnover rate (excluding Aegide
Slide 53: Other CSR indicators (2/2)
OTHER CSR INDICATORS (2/2) Environnemental data 2019 Climate Trajectory Share of homes passing before the Acquisition Committee (CA) including thermal solar energy or solar panel systems 13% Share of homes delivered including thermal solar energy or solar panel systems 15% Impact of construction sit
Slide 54: Nexity in 2019: targets exceeded
NEXITY IN 2019 : TARGETS EXCEEDED INDIVIDUAL CLIENTS COMMERCIAL CLIENTS REVENUE €4,499m 21,837 new home reservation in France €521m (excl. VAT) Commercial Real Commercial 14% Individual 86% +9% ✓ 14.2% estimated market share ✓ Estate order intake ✓ o/w 36% wood-frame projects EBITDA 17 openings in s
Slide 55: Nexity's ownership structure
NEXITY’S OWNERSHIP STRUCTURE 30 SEPTEMBER 2020 56,129,724 shares(1) Crédit Mutuel Arkéa 5.3% 5.3% Concert 14.7% A. Dinin, New Port (2) and other Nexity’s group managers belonging to the concert group 14.7% 20.0% 3.4% 6.4% FCPE and other employees(3) 3.4% Crédit Agricole Assurances 6.4% Free float 68
Slide 56: 2020 Remuneration policy for Alain Dinin
2020 Remuneration policy for Alain Dinin - Chairman and CEO (since 25 April 2020 > Non-cumulative holding of a corporate office with an employment contract: since the Company’s establishment > No supplementary pension plan since the Company’s establishment > No performance shares since 2006 > No Dir
Slide 57: 2020 Remuneration policy for Julien Carmona
2020 Remuneration policy for M. Julien Carmona Deputy CEO > Unchanged since 2017, global 2020 package decreasing > Remuneration breakdown: fixed (€500k) / variable (€250k) if targets reached at 100% — Fixed component (€500k) / variable (€250k) if targets reached based on quantitative goals (7 %) and
Slide 58: 2020 Remuneration policy for Julien Carmona Deputy CEO
2020 Remuneration policy for Julien Carmona Deputy CEO Annual variable remuneration criteria Common quantitative goals (75%) 45% based on meeting the EBITDA target 10% based on meeting Group’s Backlog target 20% based on meeting the CSR target (sustainable development and social impact) - 10% accord
Slide 59: Free performance share awards
FREE PERFORMANCE SHARE AWARDS > Authorised amount: 1% of the share capital > Target: developing employee shareholding, aligning the interests of management and employees with those of shareholders and introducing long- term incentive systems Authorisations Awards Percentage (number of shares rounded
Slide 60: 19, rue de Vienne 75 008 Paris Tél. : +33 (0)1 85 55 12
19, rue de Vienne 75 008 Paris Tél. : +33 (0)1 85 55 12 12