Slide 1: FY17 Annual Results Summary & Development Update
OCTOBER 2017 FY17 Annual Results Summary & Development Update
Slide 2: Agenda
Agenda finbar developing better Hester For personal use only Financials Investment Properties Development Activity Update Completed Projects with Stock For Sale Projects Under Construction Committed Commencement for Construction Imminent Pre-sales Launch Development Approvals Received In Planning an
Slide 3: Financials
For personal use only Agenda Page Title 8
Slide 4: FY17 Highlights
FY17 Highlights Finbar continues to cement its position as Western Australia’ s largest apartment developer, with the total number of completed units reaching 5,305. While enduring difficult local market conditions, Finbar has achieved its 215 year of consecutive profit. Completed Western Australia’
Slide 5: Net Profit
Net Profit NPAT > $9.6m operating profit. 40 > $5.1m net profit. 35 > 38% reduction of NPAT in FY17 after investment property 30 impairments totalling $4.5 million. 25 > 21 consecutive years of profitability. 20 i= a 15 10 5 0+ SSESSSESSSESSSSSELeseLE 5 Pa St call allt count coal CUE aul raul un cau
Slide 6: Operating Profits and Revaluations
Operating Profits and Revaluations Operating Profit ™Revaluations = finbar < o) és0 5 a $40 = 7 $30 © = « $20 (©) & Gp) $10 _ i @ [| i ) ¢- or FY10 FY" FY12 FY13 FY14, FYI. K -$10 Oo LL, -$20 a
Slide 7: Earnings Per Share & Dividends
Earnings Per Share & Dividends 18 > Fully franked dividend of $0.06 16 per share attributable to the year. 14 > 15" consecutive year of dividends. ow 12 2 oO xo wn i. o a 2 Cc o 1s) nN oS > a FY05 FY06 FYo7 FYo8 FYo9 FY10 FY11 FY12 FY15 FY16 FY17 ross finbar developing better Hess Retained = Final =
Slide 8: Cash Position
Cash Position > Strong year end cash position of $69m. > Well positioned to fund working capital requirements and equity contributions for project commencements. > No debt on residual stock with settlement cashflow to bolster working capital for redeployment into core development activity. $80 $70 $
Slide 9: Sources of Earning FY17
Sources of Earning FY17 ros finbar developing better Hester Other, 1% Subi > Core business of property Concerto, Strand, 1% development generated 92% of Source of 51% Ling, 9% earnings. Development Earnings , > Concerto, Motive, Unison on —_ Tenth and Ling projects were 92% Moti . lotive, largest co
Slide 10: Segment Contributions FY17
Segment Contributions FY17 ros Development Activity A A A 1 cr f it j Rental Property Interest Revaluations Admin Profit $m 10.00 0.00 T T T T T T , T T C ° % o ° o G o oe % £ £ + OS CP SK SF SF CF SS PF MS CK KF YS SS SK KM FF SMP SK SK ST FT ew F a & SP ~ as ow? s se & Ss e x o & 2 Ss OS 2 ee ¥ ss
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Slide 12: Project Return on Cost & Sales
Project Return on Cost & Sales rots nbar developing better Hester Average Return On Completed Development Projects 9 » The 5 year average return on 35% cost is 28.3%. 30% aN > 5 year average return on gross 25% targeted return on cost salesis 19.6%. D5 20% 15% 10% 5% 0% T T T 1 at a awe a —Return on
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For personal use only ➢ ➢ ➢ ➢ ➢ ➢ REPAID $102m REPAID 18
Slide 14: Investment Properties
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Slide 16: Investment Property Leasing
Investment Property Leasing bad inDar developing better Hester 9,000 > Fairlanes 96% leased. 8,000 > Pelago Commercial 69% leased. 7,000 > Pelago Residential 93% leased. 6,000 35,000 Source of £,,000 All Earnings n - 3,000 2,000 6% other 1,000 Rental Source of cd 0 : : - Rental Earnings Fairlanes Of
Slide 17: Pelago Residential
Pelago Residential rots finbar developing better Hester Average Leasing Rate Per Week: $1,600 90% > Studio $569. $1,400 Sov > 1Bed $699. $1,200 70% 60% > 2Bed $855. $1,000 : 50% > 3Bed $920. $800 40% Total Vacancy Rate 6.9% $600 30% $400 20% $200 10% $- 0% tess rsrteeweeeree eee ve 2e22RFrRPEResr TT
Slide 18: Investment Property Values & Gearing Profile
Investment Property Values & Gearing Profile > Loan to Value Ratio across investment property is 48.6% $100 > Facilities with Australian Major $90 Banks (CBA & NAB). $80 $70 $60 & $50 $40 $30 $20 $10 $0 Fairlanes m Equity m= Debt 48.6% LVR 23
Slide 19: Completed Projects with Stock For Sale
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Slide 21: Projects Under Construction
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Slide 26: Committed Commencement for Construction
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Slide 30: Imminent Pre-sales Launch
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Slide 32: Development Approvals Received
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Slide 36: In Planning and Design
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Slide 41: In Planning and Design
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Slide 43: Mends Street, South Perth
1 Mends Street (2/2) 1 Mends Street, South Perth Proposed scheme amendment - massing diagram 48
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Slide 50: Sales Activity
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Slide 51: Off-the-Plan Unsold Stock
From Jun-17 to Oct-YTD: Off-the-Plan Unsold Stock (Currently being Marketed) - Reduced Off-the-Plan stock by 18.0%. rots Total Unsold Off-the-Plan Stock: finbar - $192.2m - Bolster supply with Palmyra, Sabina, and Circa Apartments in FY18 $450 $350 $300 $250 $200 $150 $100 $50 * eevee eeeveeveseseve
Slide 52: Completed Unsold Stock
developing better Hester finbar Reduced Completed stock by 20.3% From Jun-17 to Oct-YTD: Total Unsold Completed Stock: Completed Unsold Stock $109 million E $160 $ $140 $120 $100 JV Proportion of Unsold Completed Stock = Finbar Proportion of Unsold Completed Stock 57
Slide 53: Residential Sales Contracts Activity
Residential Sales Contracts Activity > FY17 244 sales worth $171m in financial year to date being an average of 0.67 sales / $0.47m per day average > 154 sales worth $70.05m in financial year to date being average of 1.39 sales / $0.63m per day average. ros finbar $120 Subi Lini 120 Norwood a Concer
Slide 54: Residential Pre-sales Contracts Activity
Residential Pre-sales Contracts Activity was inDar St Marks & Pelat East Motive e $600 A $500 Concerto Spring View Towers Knightsgate $400 $300 $288.88 IN ACCRUED PRE-SALES $200 $100 Se RN NN . o o . o ~ . o Ro’ a ys we ys & we ys we yt ZX we ys —$m / | Project Completions & Settlements fl Civic Red
Slide 55: Proportion of Repeat Buyers
Proportion of Repeat Buyers Finbar Loyalty Club Opening Oct-15 20.60% FY2013 FY2014 FY2015 FY2016 FY2017 Finbar Loyalty Club 60
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For personal use only Total $1,916.7 $1,064.6 61
Slide 57: Cumulative Units Sold
Cumulative Units Sold ros nbar developing better Hester 6000 5000 4000 3000 2000 1000 5305 units developed to date. Additional 3255 units in the pipeline to bring forward as the market dictates. 62
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