LDR Capital Property Fund · ASX:LED
LDR Capital Property Fund — Elanor Investors Group — FY2016 Earnings Presentation
30 slides from LDR Capital Property Fund's earnings presentation, Aug 24, 2016
Slide 1: Elanor Investors Group FY16 Results Presentation
Elanor Investors Group FY16 Results Presentation 24 August 2016
Slide 2: Agenda
Agenda Section Page no. 1 FY16 Results Overview 3 2 Business Overview 8 3 Financial Results 11 4 Segment Performance 15 5 Strategy and Outlook 22 6 Appendices 24 [2]
Slide 3: FY16 Results Overview
ON not FY16 Results Overview
Slide 4: Highlights for the year ended 30 June 2016
Highlights for the year ended 30 June 2016 Financial Results • Statutory net profit after tax for the period of $4.13m. Adjusted net profit after tax of $6.81m on the basis that Elanor Hospitality and Accommodation Fund is equity accounted not consolidated • Core Earnings for the year of $11.65m, or
Slide 5: Key Metrics
Key Metrics Core Earnings $11.56m + 23.7% Distributions per security 14.7c + 23.1% Net asset value per security $1.37 No Change Funds under management $485m + 40.0% Decreased from Gearing 1,2 7.5% 18.3% Security price $1.88 + 10.6% 1. Based on equity accounting Elanor Hospitality and Accommodation F
Slide 6: Total Securityholder Return
Total Securityholder Return • Since its listing in 2014, ENN has achieved materially greater returns to securityholders than the S&P/ASX300 A-REIT Accumulation Index TOTAL SECURITYHOLDER RETURN SINCE IPO 210 100.9% 190 170 50.4% 150 130 13.1% 110 11.6% 90 Jul 14 Dec 14 May 15 Oct 15 Mar 16 Aug 16 EN
Slide 7: Growth in Funds Management
Growth in Funds Management • ENN’s key strategic objective is to grow its funds management business by identifying and originating investments that deliver strong performance for both ENN and its capital partners • Since 30 June 2015, ENN has increased funds under management by $138m to $485m • Tota
Slide 8: Business Overview
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Slide 9: Business Overview
Business Overview Elanor Investors Group Funds Management ($485m FUM) Investments ($107m) Managed Funds Investment Portfolio and Co-investments • 193 Clarence Hotel Syndicate • John Cootes Diversified • Featherdale Wildlife Park • Co-investments in 193 Property Syndicate Clarence Hotel, Bell City an
Slide 10: Assets and funds under management
Assets and funds under management MANAGED FUNDS - $485m1 INVESTMENTS - $107m Featherdale Wildlife Park 193 Clarence Hotel Hotel Ibis Styles Syndicate Canberra Eaglehawk 21 24 Auburn Central 1 Hotel Ibis Styles Albany 37 Syndicate 16 20 11 75 John Cootes Furniture Bell City Syndicates (4) Merrylands
Slide 11: Financial Results
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Slide 12: Adjusted Profit and Loss for year ended 30 June 2016
Adjusted Profit and Loss for year ended 30 June 20161 Segment Revenue and EBITDA Revenue ($’000) EBITDA ($’000) • Net profit after tax of $6.8m on the basis that the Funds Management 9,345 7,918 co-investment in Elanor Hospitality and Accommodation fund is equity accounted, not Hotels, Tourism and L
Slide 13: Adjusted Balance Sheet as at 30 June 2016
Adjusted Balance Sheet as at 30 June 20161 Balance Sheet as at 30 June 2016 ($’000) Assets • Net asset value per security of $1.37 at 30 June Cash 5,962 2016, materially the same as at 30 June 2015 Receivables 4,573 • Hotels, Tourism and Leisure properties are Inventories 5,112 accounted for in Prop
Slide 14: Property valuations
Property valuations • ENN’s Board of Directors determined not to obtain updated external independent valuations for the Hotels, Tourism and Leisure properties as at 30 June 2016 given that external independent valuations were prepared for Ibis Styles Canberra Eaglehawk Hotel and Ibis Styles Albany H
Slide 15: Segment Performance
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Slide 16: Funds Management
Funds Management Overview Performance • Management of investment funds for third party FY16 ($m) FY15 ($m) Variance (%) investors ― Approximately $485m in funds under management Revenue ($m) 9.3 4.9 + 90.6% • ENN earns acquisition fees, ongoing base management Expenses ($m) 1.4 0.4 + 236.6% fees and
Slide 17: New Funds Management Initiatives
New Funds Management Initiatives • ENN announced the following new funds management initiatives on 28 July 2016: • Establishment of Elanor Commercial Property Fund. ENN is currently in due diligence on 3 commercial assets to seed the fund. The fund is targeting an initial portfolio size of $125-$150
Slide 18: Hotels, Tourism and Leisure
Hotels, Tourism and Leisure Overview Performance excluding equity accounted results from co-investments • Portfolio of hotels, tourism and leisure assets FY16 ($m) FY15 ($m) Variance (%) ― Direct operating exposure ― High yielding Revenue ($m) 32.2 32.8 - 1.8% ― Real estate backed Expenses ($m) 23.7
Slide 19: Hotels, Tourism and Leisure Co-investments
Hotels, Tourism and Leisure Co-investments Overview Performance • Co-investment in key hotel based funds managed by FY16 ($m) FY15 ($m) Variance (%) ENN Equity accounted • Provides participation in the returns generated by (1.7) 0.1 n/a result ($m) the funds Distributions • Provides alignment with E
Slide 20: Real Estate
Real Estate Overview Performance • Co-investment in key real estate based funds FY16 ($m) FY15 ($m) Variance (%) managed by ENN Equity accounted • Provides participation in the returns generated by 0.3 0.0 n/a result ($m) the funds Distributions • Provides alignment with ENN’s capital partners recei
Slide 21: Special Situations Investments
Special Situations Investments Overview Performance • Target investment opportunities which demonstrate FY16 ($m) FY15 ($m) Variance (%) attractive operating cashflows with a high level of Revenue ($m) 28.3 19.7 +43.9% real estate asset backing Expenses ($m) 25.9 17.9 +45.3% • Seek to create value b
Slide 22: Merrylands Property - update
Merrylands Property - update • In June 2016 the NSW Department of Planning and Environment issued its Gateway Determination on ENN’s planning proposal in respect of its 26,135 square metre property on Woodville Road, Merrylands. The Gateway Determination confirmed: • rezoning the site to B4 mixed us
Slide 23: Strategy and Outlook
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Slide 24: Strategy and outlook
Strategy and outlook • ENN is well positioned to continue to grow earnings and value for its securityholders • ENN’s core strategy is focused on: ― Growing its funds management business ― Increase income from funds management ― Seed new managed funds with ENN owned investments ― Co-invest with exter
Slide 25: Appendices
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Slide 26: Hotels, Tourism and Leisure assets summary
Hotels, Tourism and Leisure assets summary Featherdale Hotel Ibis Styles Hotel Ibis Styles Wildlife Park Canberra Eagle Hawk Albany Asset Type • Wildlife park • Hotel • Hotel Location • Doonside, Western Sydney, NSW • Sutton, NSW • Albany, WA • 3.1 hectare site, parking facilities • 151 rooms, resta
Slide 27: Managed Funds summary
Managed Funds summary 193 Clarence Hotel Elanor Hospitality and Auburn Central Syndicate Bell City Syndicates (4) Syndicate Accommodation Fund Asset type • Sub-regional shopping • Hotels and commercial • Hotel • Hotels centre complex • 193-195 Clarence St, • Cnr Harrow Road and • 215 Bell Street, Pr
Slide 28: Managed Funds summary
Managed Funds summary John Cootes Diversified Limestone Street Centre Elanor Retail Property Fund Super A-Mart Auburn Property Syndicate Syndicate Asset type • Sub-regional shopping • Two retail showrooms • Commercial building • Retail warehouse centres • 81 Manning Street, Taree, Location • Penrith
Slide 29: Special Situations & Managed Co-Investments
Special Situations & Managed Co-Investments Special Situations Investments Carrying Value Asset Location Type of business ($m) Operates from 10 sites; Merrylands, Penrith, Tuggerah, Campbelltown, Bathurst, Taree, Fyshwick, Warners John Cootes Furniture Furniture retailer 10.1 Bay, Wagga Wagga and Si
Slide 30: Disclaimer
Disclaimer This presentation has been prepared by Elanor Investors Limited (ACN 169 308 187) and Elanor Funds Management Limited (ACN 125 903 031, AFSL 398196), as responsible entity of Elanor Investment Fund, and their controlled entities (collectively, ‘Elanor Investors Group’, ‘the Group’ or ‘ENN
Elanor Investors Group — FY2016 Earnings Presentation on 6ix