Singapore Exchange Ltd. · SGX:S68
Singapore Exchange — ARA LOGOS Logistics Trust — Non-Deal Roadshow (July 2020)
37 slides from Singapore Exchange's roadshow presentation, Jul 30, 2020
Slide 1: ARA LOGOS Logistics Trust Non Deal Roadshow Presentation
ARA LOGOS Logistics Trust Non Deal Roadshow Presentation 30 July 2020
Slide 2: Agenda
Agenda 1 ALOG Overview 2 1H FY20 Snapshot 3 Key Financials & Portfolio Update 4 Key Conclusions 5 Additional Information 2
Slide 3: ALOG Overview
ALOG Overview 41 – 51 Mills Road, Braeside, Victoria, AUS
Slide 4: Backed by ARA and Strong Sponsor, LOGOS
ARA LOGOS Logistics Trust Backed by ARA and Strong Sponsor, LOGOS ARA LOGOS Logistics Trust, “ALOG”, (previously Cache Logistics Trust (1)) is Portfolio Statistics a leading Asian logistics REIT with a 27 Properties across Singapore and Australia S$1.26 billion(2) portfolio across Singapore and Aust
Slide 5: Vision & Strategy
Vision & Strategy Provide High Quality, Best-in-Class Logistics Real Estate Solutions to Our Customers Acquisitions Environmental, Social, and Asset Governance Management (ESG) Focused Development OUR MISSION: Long-term sustainable growth in DPU and NAV per unit to Unitholders 5
Slide 6: Strong Sponsorship
Strong Sponsorship Cementing Position for a Transformative Growth Outlook Demonstrates Strong Commitment from ARA and LOGOS Access New Growth Markets, Alignment of Expansion and Interest with Providing Asset, Leading APAC Real Development Unitholders Investment and Opportunities Development Assets F
Slide 7: ARA Overview
ARA Overview Leading APAC Real Assets Fund Manager with Global Reach Consistent, disciplined business expansion and 2002 launch of new products…. Founded in 2002 with a strong APAC focus Co-founded by Group CEO, John Lim with CK Asset Holdings Expanding global reach with Japan, Europe and US Global
Slide 8: LOGOS Overview
LOGOS Overview Leading Logistics Developer and Real Estate Specialist in APAC Strong Regional Presence Vertically Integrated Platform with a Wide Offering • >US$1.5bil transacted in industrial and commercial real estate across the Transaction Group in last 12 months India GLA: 0.4mil sqm sourcing •
Slide 9: 1H FY20 Snapshot
1H FY20 Snapshot Pandan Logistics Hub, Singapore
Slide 10: 1H FY20 Snapshot
1H FY20 Snapshot Improved Performance Underpinned by Strong Portfolio Fundamentals Financial Performance Prudent Capital Management Strong Portfolio Performance Gross Revenue Aggregate Leverage Strong Portfolio Occupancy S$57.8 mil 40.4% 97.0% committed NPI All-in Financing Cost WALE (by NLA) S$43.9
Slide 11: Key Financials
Key Financials ALOG Changi DistriCentre 1, Singapore
Slide 12: 2Q FY20 vs 2Q FY19 Performance (Y-o-Y)
2Q FY20 vs 2Q FY19 Performance (Y-o-Y) Delivered Improved Overall Performance Gross Revenue and Net Property Income Distributable Income (S$ million) (S$ million) 29.0 27.8 21.9 14.5 20.5 14.3 0.5(2) 3.1(1) 14.0(3) 11.2(3) 2Q FY19 2Q FY20 2Q FY19 2Q FY20 2Q FY19 2Q FY20 Gross Revenue NPI Adjusted Di
Slide 13: 2Q FY20 vs 2Q FY19 Distribution (Y-o-Y)
2Q FY20 vs 2Q FY19 Distribution (Y-o-Y) Delivered Improved Overall Performance DPU Adjusted DPU(1) (Cents) (Cents) 1.326 1.321 1.280(3) 1.033(2) 0.4% 2Q FY19 2Q FY20 2Q FY19 2Q FY20 Notes: (1) Excluding capital and one-off distribution for purpose of like-for-like comparisons. (2) Excluding S$2.7 mi
Slide 14: 2Q FY20 vs 1Q FY20 Performance (Q-o-Q)
2Q FY20 vs 1Q FY20 Performance (Q-o-Q) Achieved Robust Performance in 2Q FY20 Gross Revenue and Net Property Income Distributable Income (S$ million) (S$ million) 28.8 29.0 22.0 21.9 0.5(2) 2.5(1) 0.8% 14.5 10.9 1Q FY20 2Q FY20 1Q FY20 2Q FY20 1Q FY20 2Q FY20 Gross Revenue NPI Distributable Income O
Slide 15: 2Q FY20 vs 1Q FY20 Distribution (Q-o-Q)
2Q FY20 vs 1Q FY20 Distribution (Q-o-Q) Achieved Robust Performance in 2Q FY20 DPU Adjusted DPU(1) (Cents) (Cents) 1.326 1.280(3) 0.997 1.226(2) 1Q FY20 2Q FY20 1Q FY20 2Q FY20 Notes: (1) Excludes capital and one-off distribution for the purpose of a like-for-like comparison. (2) Including the S$2.5
Slide 16: Prudent Capital Management
Prudent Capital Management Well-Balanced Debt Maturity Profile Extending Into Future Years Debt Maturity Profile Interest Rate Hedging (S$ million) 300 Floating Rate 31.5% 250 225.9 Fixed Rate 200 68.5% 150 134.5 110.0 ◼ 68.5% of total debt hedged. 100 ◼ 83.6% of SGD debt and 28.6% of onshore AUD bo
Slide 17: Portfolio Update
Portfolio Update ALOG Commodity Hub, Singapore
Slide 18: Portfolio Performance
Portfolio Performance Strong Fundamentals High Occupancy High Committed Portfolio Occupancy Achieved 97.0% Significant leases secured in 1H FY20(1) 1,453,500 sq ft 1H FY20(1) Area (sq ft) Leases Secured in 1H FY20 Renewals 965,300 488,200 New Leases 488,200 Total 1,453,500 965,300 Rental Reversion(2
Slide 19: Portfolio Expiry Profile
Portfolio Expiry Profile Well-Balanced Lease Expiry Profile WALE by NLA 2.8 years 32.9% 32.8% WALE by GRI 2.8 years 25.4% 25.2% 19.1% 19.3% 14.2% 13.9% 5.2% 4.6% 3.8% 3.6% FY2020 FY2021 FY2022 FY2023 FY2024 FY2025 and beyond By NLA By GRI ◼ Only 5.2% lease expiries remaining for FY2020 (by GRI). ◼ M
Slide 20: Portfolio Rebalancing & Growth
Portfolio Rebalancing & Growth Performance Driven by Diversified and Balanced Portfolio Portfolio NLA Gross Revenue Australia Australia 41% 26% Singapore Singapore 74% 59% Portfolio Valuation WALE (by NLA) Australia Singapore 2.6 years 32% Australia 3.0 years Singapore 68% Portfolio 2.8 years 20
Slide 21: Portfolio Diversification
Portfolio Diversification – Strong and Diversified Portfolio Supported by Quality Tenants 1 Greater Balance of 2 Geographical Diversification Multi-Tenanted and Single-User Lease Structures Single-User Australia, 29% 26% Gross Gross Revenue Revenue Singapore, Multi- 74% Tenanted 71% Credit Quality:
Slide 22: Diversified Tenant Base
Diversified Tenant Base High Quality Tenants ◼ Top 10 tenants make up approximately 54.5% of ALOG’s GRI. ◼ Tenants comprise mainly high quality multinational businesses in the logistics / supply chain and other diverse sectors including FMCG, transportation and construction. Top 10 Tenants by % of G
Slide 23: COVID-19 Update
COVID-19 Update • Commenced passing on the property tax rebates from the Singapore Government’s Resilience Budget to its tenants. • ALOG’s tenants have been operating in SG and AUS • Approximately 20 SMEs in SG have throughout the course of the written in so far to enquire about pandemic. the SG Gov
Slide 24: ESG Efforts
ESG Efforts Ongoing Efforts to Integrate Sustainability in ALOG’s Business ALOG has been awarded “Singapore Corporate Renewable Energy Company of the Year” by Frost & Sullivan. Rooftop Solar Farms atop ALOG Commodity Hub 24
Slide 25: Key Conclusions
Key Conclusions DHL Supply Chain Advanced Regional Centre, Singapore
Slide 26: Key Conclusions
Key Conclusions Well-Positioned for a Transformative Outlook Ahead Defensive Portfolio 1 Stable and Resilient Logistics Market Fundamentals Improved Growth Outlook Access New Growth Markets, Expansion and Development Transformative Change Ahead Opportunities 2 LOGOS on Board as Sponsor and Strong Co
Slide 27: Contact Information
Contact Information For enquiries: Cassandra Seet ARA LOGOS Logistics Trust Manager, Investor Relations Management Limited cassandraseet@ara- 5 Temasek Boulevard #12-01 group.com Suntec Tower Five Singapore 038985 Tel: +65 6835 9232 Website: www.aralogos-reit.com 27
Slide 28: Disclaimer
Disclaimer This presentation has been prepared by ARA LOGOS Logistics Trust Management Limited, in its capacity as the manager of ALOG (the “Manager”) and includes market and industry data and forecast that have been obtained from internal survey, reports and studies, where appropriate, as well as m
Slide 29: Additional Information
Additional Information 223 Viking Drive, Wacol, Queensland ,AUS
Slide 30: 1H FY20 vs 1H FY19 Performance
1H FY20 vs 1H FY19 Performance Stable Operating Metrics Gross Revenue and Net Property Income Distributable Income (S$ million) (S$ million) 58.6 57.8 44.2 43.9 3.8(1) 2.0(2) -0.7% 30.6 25.3 1H FY19 1H FY20 1H FY19 1H FY20 1H FY19 1H FY20 Gross Revenue NPI Distributable Income Capital and One-off Di
Slide 31: 1H FY20 vs 1H FY19 Distribution
1H FY20 vs 1H FY19 Distribution Stable Operating Metrics DPU Adjusted DPU(1) Cents) (Cents) 2.834 2.506(3) 2.461(2) 2.323 1H FY19 1H FY20 1H FY19 1H FY20 Notes: (1) Excludes capital and one-off distribution for the purpose of a like-for-like comparison. (2) Excluding S$0.7 mil tax-exempt distributio
Slide 32: Portfolio Statistics
Portfolio Statistics (as at 30 Jun 2020) 27 Logistics Warehouse Properties Singapore - 10 Australia - 17 Total Valuation(1) S$1.26 bil Gross Floor Area (GFA, approx.) 9.0 million sq ft Committed Occupancy Portfolio – 97.0% Singapore – 98.6% Australia – 94.7% Average Building Age 16.0 years Weighted
Slide 33: ALOG's Portfolio Overview - Singapore
ALOG’s Portfolio Overview Singapore Changi North / Loyang Airport Logistics Park Sembawang Pan Asia Logistics Centre Air Market Logistics Wharves Schenker Megahub 8 9 5 21 Changi North Way Centre 22 Loyang Lane Johor 51 Alps Avenue Causeway Link Changi South Tampines LogisPark Pulau Ubin Second link
Slide 34: ALOG's Portfolio Overview - Australia
ALOG’s Portfolio Overview Australia Brisbane, Queensland Sydney, New South Wales Adelaide, South Australia 51 Musgrave Road, 203 Viking Drive, 223 Viking Drive, 127 Orchard Road, 3 Sanitarium Drive, 404 – 450 Findon 11 Coopers Plains 12 13 16 Chester Hill 17 Berkeley Drive 26 Road, Kidman Park Wacol
Slide 35: Market Outlook – Singapore
Market Outlook – Singapore Stable Logistics Market Fundamentals with High Growth Potential Moderated Supply Pipeline Singapore Warehouse Annual Net Completion, Absorption and Vacancy Rate (%) 1,000 16.0 900 2Q 2020 Warehouse 14.0 800 Vacancy: 11.7% 12.0 700 10.0 600 Grey bars refer to supply space 5
Slide 36: Market Outlook - Singapore
Market Outlook - Singapore Stable Logistics Market Fundamentals with High Growth Potential ▪ Leasing volume in 1Q 2020 increased at a moderate pace of 0.7% as compared to 1Q 2019. ▪ Even though some firms held back on expansion or relocation plans as orders and revenue lowered in tandem with the COV
Slide 37: Market Outlook - Australia
Market Outlook - Australia Stable and Resilient Logistics Market Fundamentals ▪ Deloitte’s forecasted a 5.2% contraction in GDP growth in 2020. ▪ Improved outlook is however expected to be underpinned by: ➢ Sizable fiscal stimulus packages amounting to 16.4% of GDP, designed to help businesses and w
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