Tag Immobilien Ag · XETR:TEG
Tag Immobilien — Q2 2015 Earnings Presentation
29 slides from Tag Immobilien's earnings presentation, Jun 8, 2015
Slide 1: Company presentation Q2 2015 Figures
Company presentation Q2 2015 Figures
Slide 2: Content
Content 22 CONTENT I. TAG highlights Q2 2015 3 II. TAG financials Q2 2015 5 III. TAG portfolio and platform 11 IV. TAG acquisitions and disposals 14 V. TAG outlook 18 VI. Appendix 20 Strategy Capex and maintenance Valuation Capital markets heads-up Bonds and convertibles Management Board
Slide 3: TAG highlights Q2 2015
3 TAG highlights Q2 2015
Slide 4: TAG highlights Q2 2015
TAG highlights Q2 2015 44 Overview of financial metrics Sales residential (Berlin, signed April 2015, HIGHLIGHTS closing June 2015) Rental income: EUR 64.8m (EUR 64.1m in Q1 2015) Units: 972 Net rental income: EUR 51.5m (EUR 52.7m in Q1 2015) Sales price: EUR 59.8m FFO I: EUR 18.6m (EU
Slide 5: TAG financials Q2 2015
5 TAG financials Q2 2015
Slide 6: TAG income statement (IFRS)
TAG income statement (IFRS) 66 Rental income in Q2 increased due to portfolio (in EUR millions) Q2 2015 Q1 2015 H1 2015 H1 2014 FY 2014 acquisitions (2,850 units) effective as of Feb. 2015 2INCOME STATEMENT Rental income 64.8 64.1 128.9 130.5 257.4 Expenses from property -13.3 -11.4 -24.7 -23.2
Slide 7: TAG FFO calculation
TAG FFO calculation 77 (in EUR millions) Q2 2015 Q1 2015 H1 2015 H1 2014 FY 2014 Net income 20.3 28.0 48.3 14.2 29.0 FFO development Q2 2015 compared to Q1 2015: FFO + Taxes 3.8 6.3 10.1 9.3 54.1 + Net financial result 23.8 24.7 48.5 58.1 118.0 EBIT 47.9 59.0 106.9 81.6 201.1 FFO I increased by EU
Slide 8: TAG balance sheet (IFRS)
TAG balance sheet (IFRS) 88 (in EUR millions) 30-Jun-2015 31-Dec-2014 BALANCE SHEET (historical) Non-current assets 3,517.2 3,421.6 Change 30 June 2015 vs. 31 Dec 2014 refers to acquisitions (EUR 139.2m), Capex Investment property 3,429.8 3,331.6 (EUR 16.7m) and sales (EUR -57.7m) Deferred tax
Slide 9: TAG NAV calculation
TAG NAV calculation 99 31-Dec-2014 (in EUR millions) 30-Jun-2015 (historical) NAV per share development 30 June 2015 NAV compared to 31 Dec. 2014: Equity (without minorities) 973.9 979.5 + Deferred taxes on investment properties and financial derivatives 221.8 211.3 Approx. EUR 0.39 increase due t
Slide 10: TAG debt financing structure
TAG debt financing structure 10 10 Debt maturity profile as of 30-Jun-2015 in EUR millions Interest rates and maturities Current Average Maturity/ Average amount interest Refinancing interest rate FINANCING STRUCTURE rate possibilities (refinancing in the next in the next (in EUR millions) 3 years 3
Slide 11: TAG portfolio and platform
11 TAG portfolio and platform
Slide 12: TAG portfolio in total as of 30-June-2015
TAG portfolio in total as of 30-June-2015 12 12 Geographic regions in accordance with decentralized PORTFOLIO / PLATFORM management clusters and strategic relevance Acquisitions May, June and July 2015 (1,174 units) not included as of 30 June 2015 due to closing in Q3 2015 Portfolio as of 30-Jun
Slide 13: TAG portfolio in total – H1 2015 by region
TAG portfolio in total – H1 2015 by region 13 13 Region Units Rentable IFRS BV In-place Vacancy Vacancy Actual Re- L-f-l rental L-f-l rental Mainte- Capex Comments area yield net cold letting growth growth nance rent rent y-o-y y-o-y incl. PORTFOLIO / PLATFORM Q2 2015 2014 EUR/ EUR / vacancy EUR / E
Slide 14: TAG acquisitions and disposals
14 TAG acquisitions and disposals
Slide 15: TAG acquisitions 2014 and 2015
TAG acquisitions 2014 and 2015 15 15 Signing Thuringia Saxony North/East Others Total Saxony/ Branden- Rügen Feb. 2014 Sep. 2014 Germany Aug./Nov. 2014 Saxony- burg July 2015 Nov. 2014 2014 Anhalt June 2015 May 2015 DISPOSALS & ACQUISITIONS Units 4,000 1,500 2,300 1,100 8,900 860 134 180 Thuringia,
Slide 16: TAG disposals 2014 and 2015
TAG disposals 2014 and 2015 16 16 Signing Berlin Berlin Others Total Berlin (Marzahn) (Staaken et al.) 2014 2014 (Marzahn/ DISPOSALS & ACQUISITIONS Nov. 2014 Dec. 2014 Hellersdorf) Apr. 2015 Units 2,600 900 600 4,100 972 Actual net cold rent 4.89 4.97-7.53 --- --- 5.26 EUR/sqm/month Actual net cold
Slide 17: TAG capital recycling strategy in 2015
TAG capital recycling strategy in 2015 17 17 TAG constantly analyzes regional markets and its portfolio to determine the best point in time to realize highest value by targeted disposals DISPOSALS & ACQUISITIONS Sales Acquisitions Sales of residential properties Units: 972 Units: 1,174 Re-invest
Slide 18: TAG outlook
18 TAG outlook
Slide 19: TAG outlook
TAG outlook 19 19 GUIDANCE (in EUR) 2014 2015E FFO I per share (based on outstanding shares as of 12/31/2014, i.e. without conversions) 0.63 0.67 - 0.69 Dividend per share 0.50 0.55 FFO I per share in EUR Dividend per share in EUR TAG Immobilien AG | Q2 2015
Slide 20: Appendix
20 APPENDIX
Slide 21: TAG strategy
TAG strategy 21 21 The three pillar TAG investment case and strategy framework APPENDIX “High Yield” investment profile Highest FFO and dividend yield profile amongst peer group Total return focus on distributions to shareholders rather than un-crystalized NAV growth Anti-cyclical investment
Slide 22: TAG capex and maintenance
TAG capex and maintenance 22 22 APPENDIX 2014 2015 in EUR millions Q1 Q2 Q3 Q4 Total Q1 Q2 Total Maintenance Residential 5.75 5.89 6.05 6.23 23.92 6.45 7.09 13.54 Commercial 0.59 0.53 0.06 0.15 1.33 0.14 0.03 0.17 Capex Residential 7.73 6.55 6.98 9.83 31.09 6.80 9.88 16.68 Commercial 0.13 0.28 0.06
Slide 23: TAG portfolio valuation 30-Sep./31-Dec-2014
TAG portfolio valuation 30-Sep./ 31-Dec-2014 23 23 Region 2014 Fair 2014 Fair 2014 Implied Revaluation Capex Net 2013 Fair 2013 Fair 2013 Implied Value (IFRS) Value / sqm multiple gain / loss acquisitions Value (IFRS) Value / sqm multiple (in EUR millions) and other APPENDIX movements Berlin 464.9 8
Slide 24: TAG annual valuation by CBRE 30-Sept-2014
TAG annual valuation by CBRE 30-Sept-2014 24 24 Details on asset vs. share deals APPENDIX 30- Sep. 30- Sep. For valuation purposes TAG divides its regions in two Assumptions / drivers 2014 2013 markets: assets deal markets and share deal markets, Cap rate (%) 5.56 5.52 determined on public avail
Slide 25: TAG capital markets heads-up
TAG capital markets heads-up 25 25 Institution Analyst Recommen- Target price Date dation in EUR High/Low (H1 2015) EUR 13.05/EUR 9.56 Oddo Seydler Manuel Martin Buy 13.70 05-Aug-15 APPENDIX Number of shares (issued) 133.9m Bankhaus Lampe Georg Kanders Buy 13.50 31-July-15 Commerzbank Thomas Rot
Slide 26: TAG bonds and convertibles
TAG bonds and convertibles 26 26 Two corporate bonds outstanding (issued in 2013 and 2014) Two convertibles remaining after conversions in 2012 and 2015 and (partly) APPENDIX buy back of convertibles in 2013, both convertibles trade in the money Clean up call of 6.5% convertible bond 2010/2015
Slide 27: TAG Management Board
TAG Management Board 27 27 APPENDIX Claudia Hoyer Martin Thiel Dr. Harboe Vaagt COO CFO CLO Key responsibilities: Property and Key responsibilities: Controlling, Key responsibilities: Legal, Human Asset Management, Acquisitions and Accounting, Financing, Taxes, Resources and Transactions Dispo
Slide 28: TAG de-centralized management structure
TAG de-centralized management structure 28 28 Strategic Portfolio Acquisitions / Central Shared Service centralized functions APPENDIX FM Services Management / Sales Procurement Center Marketing Definition of portfolio, location and property management concepts and standards Support of LIMs on a
Slide 29: TAG Contacts
29 29 TAG Contacts Martin Thiel Dominique Mann TAG Immobilien AG CFO Head of Investor & Public Relations Steckelhörn 5 Fon: +49 40 380 32-222 Fon: +49 40 380 32-305 20457 Hamburg Fax: +49 40 380 32-388 Fax: +49 40 380 32-388 Fon: +49 40 380 32-0 ir@tag-ag.com ir@tag-ag.com Fax: +49 40 380 32-388 www