Emaar Properties (P.J.S.C) · DFM:EMAAR
Emaar Properties (P.J.S.C) — Emaar Properties — Q1 2018 Earnings Presentation
51 slides from Emaar Properties (P.J.S.C)'s earnings presentation, May 2018
Slide 1: Emaar Properties Q1 2018 Results
Emaar Properties Q1 2018 Results May 2018
Slide 2: Disclaimer
Disclaimer Emaar Properties PJSC, for themselves and for Emaar Group, give notice that: The particulars of this presentation do not constitute any part of an offer or a contract. Given that the presentation contains information based on forecasts and roll outs, all statements contained in this prese
Slide 3: Table of Contents
Table of Contents KEY HIGHLIGHTS INCOME STATEMENT BALANCE SHEET OPERATIONAL OVERVIEW APPENDIX Q1 2018 Results Presentation 26 June 2018 Page 2
Slide 4: Emaar Properties at a Glance
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Emaar Properties at a Glance #1 1.8Bn c. 89,000 listed developer SQFT of land units sold since by market cap bank in key inception(3) in MENA(1) countries c. 59,000 in UAE +46,700 residential units c.50Bn c.43,000 delivered
Slide 5: Key Financial Highlights for the Group
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Key Financial Highlights for the Group AED MM Q1 2018 Q1 2017 % Change Group Property Sales 4,772 6,421 (26%) Revenue 5,586 4,072 37% Gross Profit 2,891 2,039 42% Margin (%) 52% 50% 4% EBITDA 2,404 1,674 44% Margin (%) 43% 4
Slide 6: Results by Segment
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Results by Segment Revenues Breakdown of Results AED billion Revenues 37% 94% (38%) 25% 25% 33% 7% 5.6 8% 4.1 3.3 1.7 0.5 0.8 1.0 0.8 0.5 0.4 0.4 0.3 18% 58% Emaar UAE International Emaar Malls Emaar Entertainment Properties
Slide 7: Balance Sheet Overview at 31 Mar 2018
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Balance Sheet Overview at 31 Mar 2018 Emaar Group Balance Sheet Overview Change in Cash & Cash Equivalents % AED million Total: AED 112,962 MM Bank Balances & Trade & Other Cash 16 15 Payables Advances from 12 Customers Trad
Slide 8: Credit Ratios as of 31 Mar 2018
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Credit Ratios as of 31 Mar 2018 EBITDA / Interest Net Debt / EBITDA 0.46x 10.9x 10.8x * 10.52x 0.06x 0.01x 2016 2017 Q1-2018 * 2016 2017 Q1-2018 * Net Debt / Equity Debt / GAV 19.0% 19.0% 7.2% 18.0% 0.8% 0.2% 2016 2017 Q1-20
Slide 9: UAE Development
UAE Development
Slide 10: UAE Development - Q1 2018 Launches
Key Highlights Income Statement Balance Sheet Operational Overview Appendix UAE Development Overview Successfully launched 7 new projects (+2,500 units) in Dubai during Q1 2018 with a total value of AED 5.5 Bn AED 3.9 Bn of sales booked and Beach Vista Sunrise Bay 1,720 units sold across all project
Slide 11: UAE Development - at a glance
Key Highlights Income Statement Balance Sheet Operational Overview Appendix UAE Development - at a glance Overview of UAE Development Master plans Downtown Dubai Emaar spearheaded the development of freehold master planned lifestyle communities in Dubai 100% Arabian Ranches Owned Developments Be
Slide 12: UAE Development - The strategy going forward
Key Highlights Income Statement Balance Sheet Operational Overview Appendix UAE Development - The strategy going forward Emaar Properties Emaar Development Holding company with diversified portfolio Focus on being a pure UAE developer of comprising leasing and operating projects for build-to-sel
Slide 13: UAE Development - Overview
Key Highlights Income Statement Balance Sheet Operational Overview Appendix UAE Development - Overview 100% Land bank 100% Owned Developments Consolidated JVs/JDA with 50% Share (100% owned) JV Downtown Arabian Dubai Emirates Dubai Emaar Zabeel Ras Al Emaar(6) Dubai Hills Lusaily(5) Total Dubai Ranc
Slide 14: Emaar Development - Financial Performance
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Emaar Development - Financial Performance AED Million CAGR CAGR +41% +27% 8,863 3,761 +95% Gross +136% Revenue 6,899 2,861 5,253 Profit 2,395 1,841 3,140 3,265 1,408 1,673 596 2014 2015 2016 2017 Q1-2018 Q1-2017 2014 2015 20
Slide 15: Emaar Development - Balance Sheet Overview
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Emaar Development - Balance Sheet Overview (at 31 Mar 2018) Balance Sheet Overview Change in Cash & Cash Equivalents % AED million Total: AED 25,817 Mn Trade & Other Bank Balances & Payables Cash 26 36 Advances from 28 Custo
Slide 16: International Development
International Development
Slide 17: International Development Overview
Key Highlights Income Statement Balance Sheet Operational Overview Appendix International Development Overview International Sales Units Released 133% 866 AED Mn Egy pt 93 7 12,130 Sales growth in properties sold Q1 2018 YoY in Q1 2018 Turk 65 35 1,185 ey Indi 81 19 22,712 a 9.3 AED Bn 1st Subsidiar
Slide 18: Emaar Misr for Development
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Emaar Misr for Development(1) AED EGP Key Highlights Q1 2018 Q1 2017 Change % Q1 2018 Q1 2017 Change % Delivered 237 units in Q1 2018 Units Launched 320 231 39% 320 231 39% Achieved sales of EGP 1.4 Bn during Q1 2018 Uni
Slide 19: Emaar Malls
Emaar Malls Q1 2018 Results Presentation 26 June 2018 Page 18
Slide 20: Emaar Malls – Key Highlights
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Emaar Malls – Key Highlights CONSOLIDATED FINANCIAL RESULTS +24% +4% Revenue EBITDA Q1-18: 1,038 MM Q1-18: 702MM Q1-17: 836 MM Q1-17: 678 MM EMAAR MALLS NAMSHI 3% 95%(1) +22% Footfall Occupancy Revenue Q1-18: 35 MM Q1-18 : G
Slide 21: Emaar Malls - Performance
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Emaar Malls - Performance Key Highlights Q1 2018 Q1 2017 % Change GLA Emaar Malls records 3% growth in footfall 6.4 5.8 10% YoY to 35 million visitors (MM SQFT) Fashion Avenue welcomed shoppers in Occupancy Rate March 20
Slide 22: Hospitality Group
Hospitality Group
Slide 23: Hospitality Segment
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Hospitality Segment Q1 2018 Q1 2017 % Change Key Highlights Occupancy Rate Address Downtown to reopen in 89% 89% 0% (%)* H1-2018 RevPar 1,109 1,215 (9%) Rove Dubai Marina welcomed first (AED)* guest in April 2018 Room Re
Slide 24: Emaar Hospitality Group: Asset Performance Breakdown
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Emaar Hospitality Group: Asset Performance Breakdown Address Boulevard (1) The Palace Downtown Address Dubai Mall Q1 2018 Q1 2017 Q1 2018 Q1 2017 Q1 2018 Q1 2017 Available Room Nights 17,640 6,076 21,780 21,780 21,960 21,960
Slide 25: Summary
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Summary Financial Total group sales at AED 4.8 Bn in Q1 2018 with the total backlog of AED 50 Bn, Performance Emaar is on track to boost profitability in the coming years Emaar Strong sales of AED 3.9 Bn in Q1 2017 acros
Slide 26: Appendix
NW end Appendix
Slide 27: Appendix A – Overview of Divisions and Strategy
Appendix A – Overview of Divisions and Strategy
Slide 28: Overview of Divisions of Emaar Properties
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Overview of Divisions of Emaar Properties Property UAE Emaar Hospitality Entertainment & Development Emaar Malls PJSC Development Group Leasing International • Leading master plan • Active in 10 targeted • Listed on DFM sinc
Slide 29: Strategy
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Strategy Consolidate Emaar’s position as of the largest developer of iconic projects in Dubai. UAE Enter into joint ventures in UAE to get access to significant land bank, limiting need for immediate cash outlays for lan
Slide 30: Appendix B – Overview of UAE Development
Appendix B – Overview of UAE Development
Slide 31: Projects overview
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Projects overview at 31 Mar 2018 Wholly-owned projects Downtown Dubai Arabian Ranches Dubai Marina Emirates Living All under-construction projects Expansion of the current Arabian Two waterfront Green-focused development (in
Slide 32: Projects overview (cont’d)
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Projects overview (cont’d) at 31 Mar 2018 100% consolidated JV JVs/JDAs with 50% share Dubai Hills Estate Dubai Creek Harbour Emaar South Zabeel Square Joint Venture between Emaar and Joint Venture between Emaar and Joint Ve
Slide 33: Projects overview (cont’d)
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Projects overview (cont’d) at 31 Mar 2018 Land bank (100% owned) (100% owned) Al Marjan - Ras Al Khaimah Emaar Beachfront * A project of c.1m sqft of land located at the top of Al Marjan Island Launched in 2018 ideal to bu
Slide 34: Overview of projects under development
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Overview of projects under development at 31 March 2018 Amount Area Expected % Unit % Value % Collected of % Completion % Gross Margin Project (100% Owned) Units (1) Launched Period (2) (AED) (SQF) Completion Date Sold Sold
Slide 35: Overview of projects under development (Cont’d)
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Overview of projects under development (Cont’d) at 31 March 2018 Amount Area Expected % Unit % Value % Collected of % Completion % Gross Margin Project (Joint Ventures) Units (1) Launched Period (AED) (SQF) Completion Date S
Slide 36: Location of Development Projects
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Location of Development Projects Al Marjan, Ras Al Khaimah Emaar Beachfront(1) Zabeel Square Zaabeel Lusaily 2 Q1 2018 Results Presentation 26 June 2018 Page 35 1) Emaar Beachfront partial acquisition completed and launched
Slide 37: Location of Development Projects: Downtown Dubai
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Location of Development Projects: Downtown Dubai 1 The Address Sky View 2 The Address Fountain Views 3 The Address The BLVD 4 Burj Vista 6 5 The Address Residences Dubai Opera 6 Rove Hotel (Downtown) 14 55 7 Il Primo 8 Opera
Slide 38: Location of Development Projects: Arabian Ranches
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Location of Development Projects: Arabian Ranches 1 Al Reem 1 2 Al Reem 2 3 Al Reem 3 4 Saheel 5 Golf Homes 1 6 Dubai Polo Club 3 7 Mirrador La Coleccion 1 8 Mirrador La Coleccion 2 27 26 9 Hattan 2 25 10 Alvorada 1 21 22 20
Slide 39: Location of Development Projects: Dubai Hills
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Location of Development Projects: Dubai Hills (JV with Meeras) Q1 2018 Results Presentation 26 June 2018 Page 38
Slide 40: Location of Development Projects: Dubai Creek
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Location of Development Projects: Dubai Creek (JV with Dubai Holding) Q1 2018 Results Presentation 26 June 2018 Page 39
Slide 41: Overview of Expected UAE Delivery Schedule
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Overview of Expected UAE Delivery Schedule (based on project launched till 31 Mar 2018) UAE Delivery Schedule Under # of Units Completed Cumulative Development 2018 2019 2020 2021 2022 till 2017 - A - Emaar Development (full
Slide 42: Overview of Land Bank in UAE
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Overview of Land Bank in UAE (as at 31 Mar 2018) 350 322 323 324 Robust 6X growth 300 Sqft (millions) 250 in land bank through 250 200 189 investments and 150 strategic partnerships 100 57 73 50 0 2011 2012 2013 2014 2015 20
Slide 43: Accounting Treatment
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Accounting Treatment Emaar Development Dubai Hills Dubai Creek Emaar South & Full revenue and Fully consolidated Joint Development Zabeel Square cash flow from by Emaar under Agreement Equity accounted 100% owned IFR
Slide 44: Appendix C – Overview of International Development
Appendix C – Overview of International Development
Slide 45: Overview of International Expected Delivery Schedule
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Overview of International Expected Delivery Schedule as of Mar 2018 Under To be Cumulative Country Entity Completed 2018 2019 2020 2021 2022 Development Developed till Mar 2018 Subsidiaries Emaar Misr 5,000 6,710 7,902 4,963
Slide 46: Overview of International Land Bank
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Overview of International Land Bank International Land Bank Gross Land Area (Million SQF) Saudi Arabia (Emaar Economic City) 1,161.15 Saudi Arabia (Emaar Middle East) 34.99 India (Emaar MGF) 299.35 Egypt 54.28 Pakistan 16.49
Slide 47: Appendix D – Overview of Emaar Hospitality Group
Appendix D – Overview of Emaar Hospitality Group
Slide 48: Emaar Hospitality Group Portfolio
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Emaar Hospitality Group Portfolio Residences in Hotel Hotel Management Company Classification Keys Operational Pool (6) Emaar Hospitality Group Hotel Portfolio Dubai Armani Hotel at Burj Khalifa Armani Hotel - Dubai 5 Star 1
Slide 49: Hotels / Apartments Under Development
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Emaar Hospitality Group: Overview of Hotels / Apartments Under Development Serviced Estimated Hotel Location Launch Keys (1) Apartments Completion Address Sky View Downtown 2013 169 551 2018 Address Fountain Views Downtown 2
Slide 50: Appendix E – Group Structure
Appendix E – Group Structure
Slide 51: Emaar Properties PJSC Group Structure
Key Highlights Income Statement Balance Sheet Operational Overview Appendix Emaar Properties PJSC Domestic Real Leisure & International Malls Hospitality Others Estate Entertainment Emaar Emaar Emaar Malls PJSC Emaar Hospitality Emaar Hotel & District Cooling Development PJSC Turkey (100%) Egypt (88