Mapletree Industrial Trust · SGX:ME8U

Mapletree Industrial Trust — FY2012/13 Earnings Presentation

30 slides from Mapletree Industrial Trust's earnings presentation, Apr 23, 2013

  1. Slide 1: 4Q & FY12/13 Financial Results

    4Q & FY12/13 Financial Results 23 April 2013

  2. Slide 2: Agenda

    AGENDA 1 Key Highlights 2 4QFY12/13 & FY12/13 Financial Performance 3 Portfolio Update 4 Asset Enhancement & Development Updates 5 Outlook & Strategy

  3. Slide 3: Key Highlights

    KEY HIGHLIGHTS  Strong performance for FY12/13 driven by increased rental revenue and higher occupancies  FY12/13 Distributable Income rose by 14.6% y-o-y to S$151.0 million  DPU for FY12/13 increased by 9.9% y-o-y to 9.24 cents with DPU for 4QFY12/13 at 2.37 cents  Higher 4QFY12/13 average rent

  4. Slide 4: Scorecard Since IPO

    SCORECARD SINCE IPO 60 3.00 50 2.32 2.37 2.50 2.26 2.29 2.22 2.16 Distributable Income (S$ million) 2.05 1.93 1.98 40 38.9 2.00 36.9 37.5 37.7 35.2 35.8 DPU (cents) 1.52 31.6 28.3 29.0 30 1.50 22.3 20 1.00 10 0.50 0 0.00 21 Oct 10* 4QFY10/11 1QFY11/12 2QFY11/12 3QFY11/12 4QFY11/12 1QFY12/13 2QFY12/1

  5. Slide 5: 4QFY12/13 & FY12/13 Financial Performance

    4QFY12/13 & FY12/13 Financial Performance

  6. Slide 6: Statement of Total Returns (Year-on-Year) 4Q

    STATEMENT OF TOTAL RETURNS (YEAR-ON-YEAR) 4QFY12/13 4QFY11/12  / () (S$’000) (S$’000) Gross revenue 72,121 66,292 8.8% Property operating expenses (22,543) (20,316) 11.0% Net Property Income 49,578 45,976 7.8% Interest on borrowings (6,586) (6,652) (1.0)% Trust expenses (5,796) (5,546) 4.5% Net in

  7. Slide 7: Statement of Total Returns (Year-on-Year) FY

    STATEMENT OF TOTAL RETURNS (YEAR-ON-YEAR) FY12/13 FY11/12  / () (S$’000) (S$’000) Gross revenue 276,433 246,371 12.2% Property operating expenses (80,997) (75,051) 7.9% Net Property Income 195,436 171,320 14.1% Interest on borrowings (27,129) (23,573) 15.1% Trust expenses (22,747) (21,410) 6.2% Ne

  8. Slide 8: Statement of Total Returns (Qtr-on-Qtr)

    STATEMENT OF TOTAL RETURNS (QTR-ON-QTR) 4QFY12/13 3QFY12/13  / () (S$’000) (S$’000) Gross revenue 72,121 69,230 4.2% Property operating expenses (22,543) (20,130) 12.0% Net Property Income 49,578 49,100 1.0% Interest on borrowings (6,586) (6,773) (2.8%) Trust expenses (5,660) (5,660) (1.3%) Net in

  9. Slide 9: Healthy Balance Sheet

    HEALTHY BALANCE SHEET 31 Mar 2013 31 Dec 2012 Total Assets (S$’000) 2,967,608 2,818,486 Total Liabilities (S$’000) 1,163,918 1,163,475 Net Assets Attributable to Unitholders 1,803,690 1,655,011 (S$’000) Net Asset Value per Unit (S$) 1.10 1.02 8

  10. Slide 10: Stronger Balance Sheet

    STRONGER BALANCE SHEET As at 31 As at 31 Stronger balance sheet to pursue Mar 2013 Dec 2012 growth opportunities Total Debt S$1,035.0 S$1,048.5  Lower aggregate leverage ratio due to million million revaluation gain  higher headroom for Aggregate Leverage Ratio 34.8% 37.1% acquisitions/BTS opportu

  11. Slide 11: Debt Maturity Profile

    DEBT MATURITY PROFILE 400 Weighted average debt tenor of 2.7 years 350 300 Gross Debt (S$ million) 250 200 344 150 100 206 139 126 125 50 50 45 20% 33% 12% 14% 5% 12% 4% 0 13/14 14/15 15/16 16/17 17/18 18/19 19/20 20/21 21/22 22/23 Financial Year Bank Borrowings MTN 10 As at 31 March 2013

  12. Slide 12: Distribution Details

    DISTRIBUTION DETAILS Distribution Period Distribution per Unit (cents) 1 January 2013 to 31 March 2013 2.37 Distribution Timetable Dates Last day of trading on “cum” basis 26 April 2013, 5:00pm Ex-date 29 April 2013, 9:00am Book closure date 2 May 2013, 5:00pm Distribution payment date/ Credit of DR

  13. Slide 13: Portfolio Update

    Portfolio Update

  14. Slide 14: 83 Properties Across 4 Key Property Types

    83 PROPERTIES ACROSS 4 KEY PROPERTY TYPES  One of the largest industrial landlords in Singapore  Total property assets of approx. S$2.9 billion  Total GFA of approx. 19.1 million sq ft  Total NLA of approx. 14.2 million sq ft  Tenant base of more than 2,000 MNCs, listed companies & local enterp

  15. Slide 15: Resilient Portfolio Performance

    RESILIENT PORTFOLIO PERFORMANCE Gross Rental Rate Occupancy S$ psf/mth 100% $2.00 94.3% 94.5% 95.1% 94.9% 94.9% 95.0% 95.2% 95.4% 91.0% 91.0% 90.7% 90.3% 91.2% 92.3% 93.2% 89.0% 89.0% 89.7% 90.3% $1.68 $1.80 $1.59 $1.61 $1.55 $1.56 80% $1.52 $1.54 $1.53 $1.60 $1.49 $1.44 $1.45 $1.40 $1.35 $1.29 $1.3

  16. Slide 16: Stable Occupancy Levels

    STABLE OCCUPANCY LEVELS Breakdown of Occupancy Levels by Property Segments 98.5% 98.8% 100.0% 100.0% 95.2% 95.4% 94.5% 94.6% 92.1% 92.5% 85.3% 80.8% Flatted Factories Business Park Stack-Up/Ramp-Up Light Industrial Warehouse MIT Buildings Buildings Buildings Portfolio Left Bar Right Bar (3QFY12/13)

  17. Slide 17: Positive Rental Revisions

    POSITIVE RENTAL REVISIONS Gross Rental Rate S$ psf/mth $4.50 $4.00 $3.99 $3.86 $3.56 $3.50 $3.16 $3.00 $2.50 $2.00 $1.78 $1.68 $1.57 $1.37 $1.42 $1.50 $1.29 $1.29 $1.01 $1.09 $1.00 $0.50 N.A. N.A. N.A. $- Flatted Factories Business Park Stack-Up / Ramp-Up Warehouse Buildings Buildings Before Renewal

  18. Slide 18: Strong Tenant Retention

    STRONG TENANT RETENTION Long Staying Tenants Retention Rate for 4QFY12/13 >10 yrs Up to 1 yr, Average Retention Rate 11.0% 11.7% 100% 83.9% 80% 75.6% >1 to 2 yrs 14.2% 60.8% 60% 47.6% >5 to 10 yrs 42.6% 28.5% 40% 20% > 2 to 3 yrs 17.4% 0.0% N.A. 0% Flatted Business Stack-Up / Light Warehouse Portfol

  19. Slide 19: Stable Rental Revenue

    STABLE RENTAL REVENUE 27.7% of Leases Remain Due for Renewal in FY13/14 30% 27.7% 26.8% 25% 21.9% by Gross Rental Income % Expiring Leases 20% 18.2% 15% 10% 5.4% 5% 0% FY13/14 FY14/15 FY15/16 FY16/17 FY17/18 & Beyond Flatted Factories Business Park Stack-up / Ramp-up Light Industrial Warehouse Build

  20. Slide 20: Large and Diverse Tenant Base

    LARGE AND DIVERSE TENANT BASE Percentage of Gross Rental Income 5% • Over 2,000 tenants 4.5% • Largest tenant contributes <5% of Portfolio’s Gross Rental Income • Top 10 Tenants forms only 19.6% of Portfolio’s Gross Rental Income 4% 3.5% 3% 2.2% 2% 1.8% 1.7% 1.5% 1.3% 1.2% 1.0% 0.9% 1% 0% By Gross R

  21. Slide 21: Diversity of Tenant Trade Sector

    DIVERSITY OF TENANT TRADE SECTOR By Revenue As at 31 March 13 20

  22. Slide 22: Asset Enhancement and Development Updates

    Asset Enhancement and Development Updates

  23. Slide 23: Build-to-Suit – Equinix

    BUILD-TO-SUIT – EQUINIX  2nd data centre development after Tata Communications Exchange  2nd BTS project in FY12/13  Quality tenant in a growing industry  Groundbreaking ceremony on 18 April Artist’s Impression of completed development  New 7-storey data center for Equinix.  100% of space comm

  24. Slide 24: Build-to-Suit – Kulicke & Soffa

    BUILD-TO-SUIT – KULICKE & SOFFA  Construction on track for completion  New 5-storey high-tech industrial building for Kulicke and Soffa (K&S)  69% of space committed by K&S  10-year lease with the option to renew additional 10 + 10 years 5th storey structural works in-progress  Land lease of 30

  25. Slide 25: AEI – Woodlands Central

    AEI – WOODLANDS CENTRAL  Asset enhancement initiative (AEI) on track for completion  Reposition cluster as a high-tech industrial space for biomedical and medical technology companies  Extension of 6-storey wing, multi-storey car park and canteen  Secured additional 10% commitment for Completed

  26. Slide 26: AEI – Toa Payoh North 1

    AEI – TOA PAYOH NORTH 1  Construction on track for completion  Development of new high-tech industrial building and amenity block with canteen, multi-storey car park and showrooms  Central location with convenient access to various amenities Formwork and rebar installation on level 2  Well-conne

  27. Slide 27: Outlook & Strategy

    Outlook & Strategy

  28. Slide 28: Market Outlook

    MARKET OUTLOOK  The economy contracted by 0.6% for the quarter ended 31 March 2013 on a quarter-on-quarter seasonally-adjusted annualised basis, as compared to the 1.5% expansion in the preceding quarter1  Average rents for industrial real estate for 4QFY12/132 :  Business Park Space : S$4.04 psf

  29. Slide 29: Resilient and Well-Positioned for Growth

    RESILIENT AND WELL-POSITIONED FOR GROWTH  Higher Portfolio occupancy and rental rates  Achieved positive rental revisions across key RESILIENT AND segments STABLE PORTFOLIO  Lower aggregate leverage ratio ENHANCED FINANCIAL  Ready access to diverse sources of funding FLEXIBILITY  Application of

  30. Slide 30: Thank You

    Thank You

Mapletree Industrial Trust — FY2012/13 Earnings Presentation on 6ix