Helios Re Socimi, S.a. · BME:SCHLR
Helios Re Socimi — Lar España Real Estate SOCIMI — H1 2019 Earnings Presentation
31 slides from Helios Re Socimi's earnings presentation, Jul 29, 2019
Slide 1: H1 2019 Results
H1 2019 Results 29th July 2019
Slide 2: Agenda
AGENDA 01 02 03 04 H1 2019 H1 2019 Business Closing Highlights Financial Performance Remarks Results
Slide 3: H1 2019 Highlights
01 1 2019 Telalitelaies
Slide 4: Strong operational results in H1 2019
Strong operational results in H1 2019 13.6% 59.1% Portfolio revaluation LfL Lagoh revaluation €10.78 +168% since June 2018 since Dec 2018 EPRA NAV p.s.1 EBITDA RESULTS vs H1 2018 44.6% 445.5% +2% Portfolio revaluation LfL Lagoh revaluation vs Q1 2019 since acquisition since Acquisition Lagoh c.50% r
Slide 5: Lar España performance: A story of growth
Lar España performance A story of growth Retail Occupancy Rate RETAIL GAV (€ Mn) Retail GAV 96.0% 95.0% 94.8% 95.0% Total GAV Revaluation since acquisition 1,199 1,376 1,451 93.7% 94.0% 962 92.1% 40% 45% 92.0% 614 237 24% 90.0% 4% 14% Q4 2015 Q4 2016 Q4 2017 Q4 2018 H1 2019 2014 2015 2016 2017 2018
Slide 6: Strong and recurrent retail rental growth in all periods
Strong and recurrent retail rental growth in all periods LfL GRI %growth New rent uplift 13.0% 3.4% 12.4% 3.2% 10.6% 2.1% Accumulated Accumulated Accumulated Accumulated Accumulated Accumulated FY 2017 FY 2018 H1 2019 FY 2017 FY 2018 H1 2019 6
Slide 7: Non-core assets divestment plan completed with the sale of Eloy Gonzalo office building
Non-core assets divestment plan completed with the sale of Eloy Gonzalo office building 5.2% 87.5% Average Avg. Exit revaluation Yield over acq price Arturo Soria Sale Egeo Sale Villaverde & Alisal Sale Logistics Portfolio & Galaria Sale Joan Miró Marcelo Spínola Eloy Gonzalo Office Building Office
Slide 8: Divestment of the last office in the portfolio, Eloy Gonzalo
Divestment of the last office in the portfolio, Eloy Gonzalo 214.2% premium over the acquisition price Last office building in the portfolio Main tenant “Very good” Fully Full Universal Wework Accessibility refurbished occupancy 70% GLA Location GLA Madrid 6,295 sqm Acquisition Price Acquisition Dat
Slide 9: Lagoh: 98% GLA already leased
Lagoh 98% GLA already leased c.15 Mn 98% Exp. Annual GLA signed and Rent2 committed1 95% GLA already delivered1 EXPERIENCE F&B RETAIL 9 1. As of July 2019 2. Stabilized gross rent.
Slide 10: Lagoh: a new concept of retail complex
Lagoh: a new concept of retail complex with the best family leisure and entertainment offering 3,360 sqm 2,800 sqm 10,300 sqm 460 sqm With its new Digital Store Developing the first new All of its brands are coming First Full Store Concept Concept store in Iberia to Lagoh in Spain MULTIADVENTURE PIE
Slide 11: Lagoh: Strong revaluation quarter on quarter
Lagoh Strong revaluation quarter on quarter 250 €210 Mn1 200 446% 150 Revaluation since acq. 59% 27% 100 Revaluation Revaluation since Dec’18 since Mar’19 50 0 Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun Sep Dec Mar Jun 2016 2016 2016 2016 2017 2017 2017 2017 2018 2018 2018 2018 2019 2019 Acquisition 11
Slide 12: H1 2019 Financial Results
02 H1 2019 Financial Results 12
Slide 13: Successful & strong financial key figures delivered in H1 19
Successful & strong financial key figures delivered in H1 2019 16 €38.5 Mn +2.1% LfL1 Assets GRI vs H1 2018 €1,462 Mn €23.2 Mn +168% €968.5 Mn 11.7% GAV EBITDA vs H1 2018 EPRA NAV ROE 580,235 €646 Mn 2.2% €10.782 6.9% GLA sqm Financial Debt Cost of Debt EPRA NAV per share ROA €75 Mn €488 Mn 33% 6.0%
Slide 14: Solid retail performance driven by robust operating results in H1 2019
Solid retail performance driven by robust operating results in H1 2019 Retail yields Operating results Commercial activity 6.5% Potential +2.1% +2.4% growth LfL GRI1 LfL NOI1 €4.1 Mn 23,337 sqm Negotiated rent Rotated area 6.0% +40.4% -18.7% 5.8% Lease incentives1 Turnover rent1 66 10.6% 95.0% Opera
Slide 15: H1 2019 Lar España Asset Appraisal
H1 2019 Lar España Asset Appraisal Total Portfolio H1 2019 Valuation €1,462 Mn 44.6% 13.6% 5.5% Since FY 2018 LfL H1 2019/18 Since Acquisition Including Capex Invested 15
Slide 16: Consolidated Income Statement
Consolidated Income Statement (€ Millions) P&L Due to the change in the perimeter, H1 2019 H1 2018 P&L H1 2018 and H1 2019 are not comparable Revenues 38.5 39.8 Asset Typology Divestment Date Other income 1.2 2.5 Personnel expenses (0.2) (0.3) Divested in H2 2018 Other expenses (16.4) (36.7) Joan Mi
Slide 17: Consolidated Income Statement Pro-forma Retail Portfolio
Consolidated Income Statement Pro-forma Retail Portfolio Consolidated Income Statement (€ Millions) (€ Millions) Chg% P&L Retail portfolio P&L H1 2019/18 H1 2019 H1 2018 H1 2019 H1 2018 Revenues 38.5 39.8 Revenues 38.3 35.9 +6.7% Other income 1.2 2.5 Other income 1.1 2.5 Personnel expenses (0.2) (0.
Slide 18: Solid financial pillars
Solid financial pillars Debt Structure and Amortization Profile As at 30.06.2019 €140 Mn €506 Mn Gross Net Senior Bank financial debt financial debt € Mn Secured Bond Debt €646 Mn €488 Mn 292.7 253.9 140.0 Average debt Average maturity cost of debt 4.3y 2.2% 85.0 113.9 Fixed rate Net LTV 5.0 9.4 90%
Slide 19: New share buy-back programme of up to 5%
New share buy-back programme of up to 5% Maximizing value for our shareholders The purpose of the Buy-Back Program during the next 9 months is the further reduction of Lar España’s share capital through the amortization of shares 1st 2nd Share Buy-Back Programme Share Buy-Back Programme 100% 3,091,1
Slide 20: Business Performance
03 Business Performance f RETAIL 20
Slide 21: Footfall above Spanish market despite shopping centres under refurbishment
Footfall above Spanish market despite 7 shopping centres under refurbishment Footfall H1 2019 32.1 Mn visits 86 min Vs H1 2018 AVG. STAY 289,486 +0.5%1 sqm GLA affected by refurbishments during the quarter (2.1%2) 21 1. Anec Blau´s data has not been taken into account because the asset is going thro
Slide 22: Sales also beating the Spanish market driven by strong letting activity
Sales also beating the Spanish market driven by a strong letting activity in our shopping centres Letting activity at the core of the strategy Sales2 H1 2019 €338.5 Mn +10.6% Vs H1 2018 RENTAL GROWTH1 23,337 sqm 10% +1.3%3 ROTATED ROTATION RATE 66 €4.1 Mn OPERATIONS NEGOTIATED +1.1%4 IN H1 2019 RENT
Slide 23: Key openings in H1 2019 increase the value of our platform
Key openings in H1 2019 increase the value of our platform 1,238 sqm 3,150 sqm 250 sqm store opening in June store extension new store opening after refurbishment Footfall Largest +30.7% shopping High façades y-o-y centre and wide-front 1st week of store in entrances opening Catalonia 23
Slide 24: Capex: A tool to create value
Capex: A tool to create value Every investment is decided based on ROI, to generate revenues Accumulated Capex till June 30th, 2019 Refurbishment pipeline Est. Capex % Execution 9% Megapark €7.3 Mn 50% executed Extension/ renovation Capex Portal de la Marina €3.8 Mn >50% executed Gran Vía de Vigo €1
Slide 25: AnecBlau: Full refurbishment
AnecBlau Full refurbishment NEW F&B AND LEISURE AREA NEW FASHION SQUARE FULLY REFURBISHED Inditex 20 new restaurants Expanding and renewing the image of with varied gastronomic offering almost all its stores Largest shopping centre store in Catalonia (>3,150 sqm) New Yelmo Premium cinema screens, la
Slide 26: c.50% of rental growth potential in our retail portfolio
c.50% of rental growth potential in our retail portfolio +6.0% +c.8% >6% +48% Retail Expected Expected Estimated Rental Topped-Up NIY NIY NIY Increase Potential Future Investments Ongoing Development Existing Income Generating Assets 15 15 111 6 96 81 75 Annualised Topped Up Net Reversionary Potenti
Slide 27: Closing Remarks
04 Closing Remarks
Slide 28: Closing remarks: Summary of key figures
Closing remarks Summary of key figures RESULTS ASSETS CORPORATE +168% €75 Mn 2018 dividend 14 quarters EBITDA in paid on May 24th H1 2019 vs H1 018 outperforming the Spanish market 11.7%2 Dividend yield in sales and footfall +44.6% over market cap portfolio revaluation since acquisition 57% of 2nd S
Slide 29: Summary of investment highlights
Summary of investment highlights Income generation as the main driver Retail dominant 14 Quarters +168% assets outperforming 1 100% owned 3 EBITDA 5 the market Positive Focused and Best-in class operational trends unique offering manager driving growth Omnichannel c.50% €15 Mn strategy rental growth
Slide 30: Disclaimer
DISCLAIMER This document has been prepared by Lar España Real Estate SOCIMI, S.A. (the “Company”) for information purposes only and it is not a regulated information or information which has been subject to prior registration or control by the Spanish Securities Market Commission. This document neit
Slide 31: Follow us
Follow us www.larespana.com info@laespana.com Lar España Real Estate SOCIMI Lar España App
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