Frasers Centrepoint Trust · SGX:J69U
Frasers Centrepoint Trust — Q3 FY2015 Earnings Presentation
38 slides from Frasers Centrepoint Trust's earnings presentation, Jul 22, 2015
Slide 1: Financial Results Presentation for 3rd Quarter FY2015
Frasers Centrepoint Trust Financial Results Presentation for 3rd Quarter FY2015 ended 30 June 2015 22 July 2015 Causeway Point Northpoint Changi City Point Bedok Point YewTee Point Anchorpoint
Slide 2: Important notice
Important notice 2 Certain statements in this Presentation constitute “forward-looking statements”, including forward-looking financial information. Such forward-looking statement and financial information involve known and unknown risks, uncertainties and other factors which may cause the actual re
Slide 3: Contents
Contents 3 Results slide 4 Balance sheet slide 12 Operational performance slide 16 Outlook slide 23 Appendix slide 25
Slide 4: Results
Results
Slide 5: Results Highlights 3Q15
Results 5 Results Highlights For the financial period 1 April to 30 June 2015 (“3Q15”) Financial performance • 3Q15 DPU of 3.036 cents, a new-high • Gross revenue of $47.1 million, up 14% year-on-year • Net property income of $32.9 million, up 13% year-on-year • Gearing level at 28.7% • Net Asset
Slide 6: 3Q15 DPU at 3.036 cents, a record-high
Results 6 3Q15 DPU at 3.036 cents, a record-high 3 months ended 30 June year-on-year 3Q15 3Q14 $’000 change Gross Revenue 47,097 41,222 ▲14.3% Property Expenses (14,222) (12,090) ▲17.6% Net Property Income 32,875 29,132 ▲12.8% Income Available for Distribution 26,921 23,416 ▲15.0% Distribution to
Slide 7: 9M15 DPU at 8.749 cents, up 4.1% year-on-year
Results 7 9M15 DPU at 8.749 cents, up 4.1% year-on-year 9 months ended 30 June year-on-year 9M15 9M14 $’000 change Gross Revenue 141,763 122,077 ▲16.1% Property Expenses (42,443) (35,315) ▲20.2% Net Property Income 99,320 86,762 ▲14.5% Income Available for Distribution 80,675 69,936 ▲15.4% Distrib
Slide 8: Revenue growth driven by the addition of Changi City Point
Results 8 Revenue growth driven by the addition of Changi City Point and higher rental income from current malls in the portfolio Gross Revenue S$ m 3Q15 3Q14 ▲ 14.3% ▲ 1.7% (ex CCP) Higher revenue due to step-up rents of running 47.10 leases and higher rental 41.22 achieved for new and renewed le
Slide 9: Higher expenses due mainly to the addition of Changi City Point
Results 9 Higher expenses due mainly to the addition of Changi City Point Property Expenses S$ m ▲ 17.6% ▲ 1.5% (ex CCP) 3Q15 3Q14 14.22 Increase was due to Increase due mainly higher 12.10 servicing of air con MCST contribution compared chillers, increase in staff to year ago period; and cost and
Slide 10: 3Q15 NPI up 12.8% to $32.9 million
Results 10 3Q15 NPI up 12.8% to $32.9 million Net Property Income (NPI) S$ m 3Q15 3Q14 ▲ 12.8% ▲ 1.7% (ex CCP) 32.88 29.13 ▲ 3.6% 14.98 14.46 ▲ 0.1% 9.16 9.15 ▼ 5.8% ▼ 4.0% ▲ 11.4% 3.92 1.20 1.27 2.42 2.52 1.20 0.66 1.08 FCT Portfolio Causeway Point Northpoint Changi City Point Bedok Point YewTee
Slide 11: The bigger malls drive 85% of portfolio NPI
Results 11 The 3 bigger malls drive 85% of portfolio NPI Percentage of Net Property Income Percentage of Net Property Income contribution by mall in 3Q15 contribution by mall in 3Q14 Bedok Point Bedok Point Anchorpoint Anchorpoint 3.6% 4.4% 3.7% 3.7% YewTee YewTee Point Point 8.6% 7.4% Changi City
Slide 12: Balance sheet
Balance sheet
Slide 13: NAV per unit stable at $1.85
Balance sheet 13 NAV per unit stable at $1.85 30 Jun 2015 30 Sep 2014 As at S$’000 S$’000 Non-current assets 2,469,603 2,474,709 Current assets 23,305 47,077 Total assets 2,492,908 2,521,786 Current liabilities (64,235) (153,207) Non-current liabilities (730,440) (669,902) Total liabilities (794,6
Slide 14: Gearing level remains low with 66% of borrowings hedged
Balance sheet 14 Gearing level remains low with 66% of borrowings hedged to fixed interest rates As at 30 June 15 30 September 14 Gearing ratio1 28.7% 29.3% Interest cover for the quarter2 6.92 times 6.17 times Total borrowings $716 million# $739 million % of borrowing on fixed rates or 66% 75% he
Slide 15: Weighted average debt maturity: 2.15 years
Balance sheet 15 Weighted average debt maturity @ 30 June 2015: 2.15 years Type of borrowings Aggregate amount $264m Secured bank borrowings: S$334 million (46.7%) (36.9% of total Unsecured bank borrowings: S$162 million (22.6%) borrowing) Medium Term Note: S$220 million (30.7%) $190m Total Borrow
Slide 16: Operational performance
Operational performance
Slide 17: Portfolio occupancy steady at 96.5%
Operational performance 17 Portfolio occupancy steady at 96.5% • Occupancy at Causeway Point and Northpoint stable at 99% level • Occupancy at Changi City Point improved following the opening of a large fashion retailer in May 2015 • Bedok Point: Discussions on-going with prospective tenants Mall
Slide 18: 3Q15 average rental reversion at 5.3%
Operational performance 18 3Q15 average rental reversion at 5.3% 3Q15 NLA (sq ft) Change compared to (1 Apr – 30 Jun 2015) No. of renewals As % Mall’s NLA preceding rental rates1 Renewed Causeway Point 21 15,928 3.8% 1.0% Northpoint 11 23,342 9.9% 7.7% Changi City Point 3 1,927 0.9% 6.6% Bedok Poi
Slide 19: 9 months year-to-date average rental reversion at 6.2%
Operational performance 19 9 months year-to-date average rental reversion at 6.2% % Increase in average rental rates over preceding rates for lease renewals 12.1% 8.6% 7.2% 7.7% 6.5% 6.2% FY2010 FY2011 FY2012 FY2013 FY2014 9MFY2015 Oct 2014 – Jun 2015
Slide 20: Portfolio Lease Expiry Profile as at 30 June 2015
Operational performance 20 Portfolio Lease Expiry Profile as at 30 June 2015 Expiry profile as % of total gross rental income Weighted Average Lease Expiry (WALE) By NLA 1.60 years 34.8% 28.0% 24.8% (2Q15: 1.62 years) By Gross Rental 1.61 years 7.1% 4.8% (2Q15: 1.59 years) 0.4% Lease expiry1 as at
Slide 21: Portfolio Lease Expiry Profile for FY2015
Operational performance 21 Portfolio Lease Expiry Profile for FY2015 • Remaining lease renewals mainly at Causeway Point, Northpoint and Anchorpoint As at 30 June 2015 For 3 months remaining Number of Nett Lettable Area as % of leased as % of total gross in FY2015 Leases Expiring (NLA) Expiring (s
Slide 22: 3Q15 shopper traffic up 3.6% Y-o-Y
Operational performance 22 3Q15 shopper traffic (excluding Changi City Point) up 3.6% Y-o-Y • Shopper traffic growth driven mainly by Causeway Point (+4.4%) and Northpoint (+6.2%) Shopper Traffic (millions)# 26 24.4 24.6 FCT portfolio including CCP* 24 23.2 23.2 21.7 21.9 FCT portfolio, excluding
Slide 23: Outlook
Outlook
Slide 24: FCT's performance expected to remain sustainable
Outlook 24 FCT’s performance expected to remain sustainable The Ministry of Trade and Industry reported that Singapore’s economy contracted 4.6% in the second quarter. Given the tight labour market, the retail scene continues to remain challenging. Rental and occupancy at FCT’s well located subu
Slide 25: Thank you
Thank you Analyst & media contact: Chen Fung-Leng Frasers Centrepoint Asset Management Ltd Tel: (65) 6277-2657 Email: fungleng.chen@fraserscentrepoint.com Website: www.fct.sg
Slide 26: Distribution details
Appendix: Distribution details 26 Distribution details Distribution period 1 April 2015 to 30 June 2015 Distribution per unit 3.036 cents Ex-date 28 July 2015 (Tuesday) Books closure date 30 July 2015 (Thursday) at 5.00 pm Payment date 28 August 2015 (Friday)
Slide 27: 3Q15 year-on-year and quarter-on-quarter comparison
Appendix: Year-on-year and quarter-on-quarter comparison 27 3Q15 year-on-year and quarter-on-quarter comparison Year-on-Year Comparison Quarter-on-Quarter Comparison 3Q15 Change Change 3Q14 2Q15 $’000 (unless otherwise indicated) Inc/(Dec) Inc/(Dec) Gross Revenue 47,097 41,222 14.3% 47,487 (0.8)% P
Slide 28: FCT Quarterly DPU
Appendix: FCT Quarterly DPU 28 FCT Quarterly DPU DPU (¢) 3.022 3.036 2.98 2.963 2.85 2.88 2.875 2.70 2.75 2.50 2.40 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15
Slide 29: Portfolio Information as at 30 June 2015
Appendix: Portfolio Information as at 30 June 2015 29 FRASERS CENTREPOINT TRUST PORTFOLIO INFORMATION AS AT 30 June 2015 Portfolio NLA (sq ft) Causeway Point (CWP) 416,581 Northpoint (NP1 and NP2) 235,850 Anchorpoint (ACP) 70,989 YewTee Point (YTP) 73,670 Bedok Point (BPT) 82,713 Changi City Point
Slide 30: Portfolio Lease expiry profile as at 30 June 2015
Appendix: Portfolio Lease expiry profile as at 30 June 2015 30 Lease expiry profile (FYE Sep 30) FY15 FY16 FY17 FY18 FY19 FY20 FCT Portfolio No of leases 50 218 237 182 8 1 Expiries as % Total NLA 6.6% 28.2% 34.3% 25.3% 4.7% 0.8% NLA (sq ft) Expiring 69,375 295,812 359,763 265,010 48,990 8,461 Expi
Slide 31: Trade mix as at 30 June 2015
Appendix: Trade mix as at 30 June 2015 31 Trade Classifications % NLA % Rents 1 Fashion 15.4% 22.0% 2 Household 8.8% 7.6% 3 Services/Education 8.7% 8.7% 4 Beauty, Hair, Cosmetics, Personal Care 5.3% 7.6% 5 Food & Restaurants 30.4% 34.4% 6 Books, Music, Art & Craft, Hobbies 3.7% 3.2% 7 Sports Appare
Slide 32: Top 10 tenants by gross rental as at 30 June 2015
Appendix: Top 10 tenants by gross rental as at 30 June 2015 32 No. Tenant % NLA % Rents 1 Cold Storage Singapore (1983) Pte Ltd1 7.6% 5.2% 2 Metro (Private) Limited2 5.6% 3.2% 3 Copitiam Pte Ltd3 3.0% 2.9% 4 Courts (Singapore) Limited 3.3% 2.7% 5 Koufu Pte Ltd 2.8% 2.2% 6 Food Republic Pte Ltd 1.6%
Slide 33: Historical portfolio information by quarter
Appendix: Historical portfolio information by quarter 33 FRASERS CENTREPOINT TRUST FINANCIAL & OPERATIONAL METRICS Note: Yel l ow cel l s mea ns property i s undergoi ng AEI Quarterly historical data 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 Gross rent ($ '000) CWP 16,864 17,732 17,509 16,426 17,727 17,90
Slide 34: Historical profit and loss statement by quarter
Appendix: Historical profit and loss statement by quarter 34 FRASERS CENTREPOINT TRUST PROFIT AND LOSS STATEMENT Note: $'000 1. Quarter 4Q06 refers to the period 5 July 2006 to 30 September Quarter Quarter Quarter Quarter Quarter Quarter Quarter 2006 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 2. Being net
Slide 35: Historical portfolio information by financial year
Appendix: Historical portfolio information by financial year 35 FRASERS CENTREPOINT TRUST FINANCIAL & OPERATIONAL METRICS Yearly historical data (FYE Sep) FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 Note: Yellow cells means property is undergoing AEI Gross Rent ($ '000) CWP 45,674 48,805 50,669 50,633
Slide 36: Location of FCT's Malls
Appendix: Location of FCT’s Malls 36 Anchorpoint YewTee Point Causeway Point Northpoint Bedok Point Changi City Point Woodlands Yishun BUS BUS YewTee Legend : FCT’s properties : Sponsor’s pipeline asset Expo Bedok Queenstown BUS The Centrepoint
Slide 37: Valuation of Properties
Appendix: Valuation of Properties 37 FCT Portfolio as at 30 September 2014 Property Valuation Capitalisation Rate as indicated @30.09.2014 by property valuers (b) ($ million) Causeway Point 1058.0 5.35% Northpoint 655.0 5.25% Bedok Point 120.0 5.50% YewTee Point 168.0 5.50% Anchorpoint 93.0 5.50% C
Slide 38: Sponsor's retail assets in Singapore
Appendix: Sponsor’s retail assets 38 Sponsor’s retail assets in Singapore 13 retail malls in Singapore managed by Frasers Centrepoint Limited, including 6 malls in FCT (1): FCL owns 1/3 proportionate (1) share of Waterway Point, the commercial component of a mixed development in Punggol. (2) (3)
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