Plaza Centers N.v. · LSE:PLAZ
Plaza Centers — FY2013 Earnings Presentation
37 slides from Plaza Centers's earnings presentation, Mar 13, 2014
Slide 1: Full Year Results for the year ended 31 December 2013
Full Year Results for the year ended 31 December 2013 13 March 2014
Slide 2: Disclaimer
Disclaimer The information contained in this presentation has not been independently verified and no representation or warranty, express or implied, is made by the Plaza Centers N.V. (the “Company”) or any of their respective agents or affiliates as to, and no reliance should be placed on, the fairn
Slide 3: Agenda
Agenda SECTION 1 Financial Highlights SECTION 2 Operational Highlights SECTION 3 Summary and Outlook APPENDIX A Forecasted Cash Flow APPENDIX B Projects Overview
Slide 4: Financial Highlights
Financial Highlights Reduction in total assets to €586 million (31 December 2012: €886 million restated – as a result of changes in the accounting presentation of joint venture Special Purpose Vehicles (‘SPVs’) (due to changes in IFRS)), and primarily due to impairment of trading properties and eq
Slide 5: Financial Highlights contd.
Financial Highlights contd. Loss for the year of €218 million (31 December 2012: Loss of €86 million), stemming from a non- cash €186 million impairment of trading properties, equity accounted investees, investment property and pre-payments (31 December 2012: €83.7 million of impairments), and an
Slide 6: Financial Overview
Financial Overview Results (in Thousand EUR) 2013 2012 (*) Continuing operations Rental income 23,678 23,112 Revenues from entertainment centers(1) 3,345 6,911 27,023 30,023 Cost of operations(2) -9,408 -9,384 Cost of operations – entertainment centers(1) -4,025 -8,267 Gross profit 13,590 12,372 (1)
Slide 7: Financial Overview
Financial Overview Results (in Thousand EUR) cont. 2013 2012 (*) Loss from disposal of undeveloped Trading Property -346 -65 Write-down of Trading Properties(1) -117,913 -60,293 Write-down of equity-accounted investees(2) -56,417 -23,443 Loss from disposal of equity accounted investees (holding unde
Slide 8: Financial Overview
Financial Overview Results (in Thousand EUR) cont. 2013 2012 (*) Finance income(1) 1,288 20,358 Finance costs(2) -40,632 -37,531 Net finance costs -39,344 -17,173 Loss before income tax -224,394 -90,711 Tax benefit(3) 6,256 6,592 Loss from continuing operations -218,138 -84,119 Discontinued operatio
Slide 9: Financial Overview (Cont.)
Financial Overview (Cont.) NOTES TO THE RESULTS (1) Finance income decreased to €1.3 million from €20.4 million in 2012 mainly due to no income being recorded in connection to its buyback programme (2012: €4.3 million income) as the Company ceased this activity in order to preserve short term liquid
Slide 10: Current consolidated cash balance – €35 million
Financial Overview (Cont.) Balance sheet and cash flow Net Asset Value decreased by 40% to €274 million (31 December 2012: €459 million) primarily through impairment of assets, mainly in Serbia, Romania and India. Consolidated cash position at year end (including restricted bank deposits, short
Slide 11: Company NAV
Company NAV Net Asset Value per share of £0.79 (31 December 2011: £1.26), a decline of 37%, attributable mainly to the impairments in Serbia, Romania and India. ― Serbia (€37 million), Romania (€27 million), India (€76 million), Czech Republic (€20 million), Greece (€12 million), Poland (€11 milli
Slide 12: Key Highlights 2013 – Operational
Key Highlights 2013 – Operational On 31 October 2013, a consortium of shareholders of Dream Island, in which Plaza holds a 43.5% stake, completed the sale of its Dream Island project land holding to the Hungarian State for circa €16.5 million (HUF 5 billion). The proceeds of the transaction were u
Slide 13: Key Highlights 2013 – Operational (cont.)
Key Highlights 2013 – Operational (cont.) Plaza’s 70% subsidiary reached an agreement in December 2013 to sell its 50% equity stake (together with the other 50% Joint Venture partner) in the Uj Udvar shopping mall in Budapest, Hungary. As a result of the transaction, proceeds of €2.35 million in c
Slide 14: Markets of Operation - Active shopping and entertainment centres
Markets of Operation - Active shopping and entertainment centres Poland Latvia • Population – 38.4 million •Population – 2.2 million • 2013 Inflation Rate – 1% • 2013 Inflation Rate – 0.2% • 2013 GDP per capita –US$ 21,100 • 2013 GDP per capita – US$ 19,100 Operating Malls - 3 Operating Malls - 1 Cu
Slide 15: Active shopping and entertainment centres
Active shopping and entertainment centres Liberec Plaza, Czech Republic Riga Plaza, Latvia GLA – 17,000 sqm GLA - 49,000 sqm Occupancy – 86% Occupancy – 97% Zgorzelec Plaza, Poland Suwalki Plaza, Poland GLA – 13,000 sqm GLA - 20,000 sqm Occupancy – 91% Occupancy – 91%
Slide 16: Active shopping and entertainment centres
Active shopping and entertainment centres Torun Plaza, Poland Kragujevac Plaza, Serbia GLA - 40,000 sqm GLA - 22,000 sqm Occupancy – 89% Occupancy – 100%
Slide 17: Proven business model
Proven business model 18-year track record of developing , constructing, operating, maintaining , letting and selling shopping and entertainment centres in CEE ― Plaza has been active in the region since 1996 and was the first to develop western-style shopping and entertainment centre in Hungary.
Slide 18: Outlook
Outlook Plaza continues to believe in long-term fundamentals of CEE, supported by the signs of recovery the region is experiencing. ― Poland and the Czech Republic both reported increased investment activity in 2013. However, there are marked differences between the countries north of the region,
Slide 19: Outlook
Outlook Management of the restructuring process, which continues to make good progress, is a key priority for Plaza. The programme was initiated in order to resolve the liquidity situation, safeguard the continuity of the business and thereby protect the long term interest of the Company’s investo
Slide 20: Outlook
Outlook “Plaza’s clear priority is to conclude our restructuring process whilst continuing to leverage the ability and expertise of its management team and the quality of our income generating assets to achieve success in the Company’s day-to-day operations.”
Slide 21: Appendix A: Liquidity Structure & Bond Repayment Schedule
Appendix A: Liquidity Sturcure & Bond Repayment Schedule
Slide 22: Debt & Liquidity Structure as at 31 December 2013
Debt & Liquidity Structure as at 31 December 2013 Debt Structure – 31 December 2013 € million Debentures(1) 202 CEE - operating malls(3) 182 Debt Bank Loans CEE - projects under development and others (4) 9 India (5) 22 Total Debt 415 Liquid balances -Consolidated 26 Resources Financial Instruments
Slide 23: Debentures Repayment Schedule
Debentures Repayment Schedule 120.0 Principal and interest repayment in € million 100.0 98.7 80.0 80.1 60.0 54.0 40.0 20.0 14.3 13.6 0.0 2014 2015 2016 2017 2018 According to the plan the next three years scheduled principle payments will be postponed in three years with an additional interest of 1.
Slide 24: Appendix B: Current Projects
Appendix B: Current Projects
Slide 25: Portfolio Summary – by Country
Portfolio Summary – by Country Total portfolio of 29 assets in 9 countries 10 9 Offices 8 Under development/ planning 7 Active 6 5 4 3 2 1 0 Romania India Poland Hungary Serbia Czech Republic Bulgaria Greece Latvia
Slide 26: Projects overview – Completed Projects
Projects overview – Completed Projects Torun Plaza (Poland) Kragujevac Plaza (Serbia) City: Torun, Poland City: Kragujevac (Serbia) Type: Shopping & entertainment centre Type: Shopping & entertainment centre Size: 40,000 (GLA) Size: 22,000 (GLA) Plaza Share: 100% Plaza Share: 100%
Slide 27: Projects overview – Completed Projects
Projects overview – Completed Projects Liberec Plaza (Czech Republic) Riga Plaza (Latvia) City: Liberec, Czech Republic City: Riga, Latvia Type: Shopping & entertainment centre Type: Shopping & entertainment centre Size: 17,000 (GLA) Size: 49,000 (GLA) Plaza Share: 100% Plaza Share:
Slide 28: Projects overview - Poland
Projects overview - Poland Lodz Plaza City: Lodz Type: Shopping & entertainment centre Size: 35,000 (GLA) Plaza Share: 100% Expected Completion Date: 2017 Status: Planning and permits stage Leszno Plaza Kielce Plaza City: Leszno City: Kielce Plot size: 17,000 sqm Plot size: 30,00
Slide 29: Projects overview – Serbia
Projects overview – Serbia Belgrade Plaza Visnjicka Plaza City: Belgrade City: Belgrade Type: Mixed use (offices, Hotel & retail) Type: Shopping & entertainment centre Size: 63,000 (GBA) Size: 32,000 (GLA) Plaza Share: 100% Plaza Share: 100% Expected Completion Date: 2017 Expecte
Slide 30: Projects overview – India
Projects overview – India Bangalore Chennai City: Bangalore City: Chennai Type: Residential Type: Residential Size: 310,000 (GBA) Size: 230,000 (for sale) Plaza Share: 25% Plaza Share: 40% Status: Planning and permits stage Expected Completion Date: 2015-2019 Status: Planning a
Slide 31: Projects overview - Romania
Projects overview - Romania Casa Radio Timisoara Plaza City: Bucharest City: Timisoara Type: Mixed use Type: Shopping & entertainment centre Size: 550,000 (GBA) Size: 38,000 (GLA) Plaza Share: 75% Plaza Share: 100% Expected Completion Date Phase 1: 2017 Expected Completion Date:
Slide 32: Projects overview - Romania
Projects overview - Romania Csiki Plaza Targu Mures Plaza City: Targu Mures City: Miercurea Ciuc Type: Shopping & entertainment centre Type: Shopping & entertainment centre Size: 31,500 Size: 36,500 Plaza Share: 100% Hunedoara Plaza Constanta Plaza City: Hunedoara City: Constanta
Slide 33: Projects overview - Hungary
Projects overview - Hungary Arena Extension City: Budapest Type: Office Size: 22,000 Plaza Share: 100%
Slide 34: Projects overview – Bulgaria
Projects overview – Bulgaria Shumen Plaza City: Shumen Type: Shopping & entertainment centre Size: 26,000 Plaza Share: 100%
Slide 35: Projects overview – Greece
Projects overview – Greece Pireas Plaza City: Athens (Greece) Type: Shopping & entertainment centre Size: 15,000 Plaza Share: 100%
Slide 36: Projects overview – Residential Projects
Projects overview – Residential Projects Lodz Residential (Poland) Plaza Centers City: Lodz, Poland Type: Residential Size: 33,000 Plaza Share: 100% Status: Planning stage
Slide 37: Projects overview – Office buildings
Projects overview – Office buildings David House (Hungary) Palazzo Ducale (Romania) City: Budapest, Hungary City: Bucharest, Romania Type: Office Type: Office Size: 2,000 (GLA) Size: 700 (GLA) Plaza Share: 100% Plaza Share: 100% Status: Operating Status: Operating