Park Street A/s Class A · OMXCOP:PARKST_A
Park Street A/s Class A — Investor Presentation (January 2021)
18 slides from Park Street A/s Class A's investor presentation, January 2021
Slide 1: Strategy Presentation
STRATEGY PRESENTATION JANUARY 2021
Slide 2: 2020, its impact
2020, its impact 2020 has been testing one for the company, key impacts and learnings: • Diverse portfolio of the company, and the blessing of the portfolio being concentrated in Denmark, which has managed the 2020 crisis better than most other countries helped us tide through the year strongly. The
Slide 3: Estimates 2020
Estimates 2020 PROFIT AND LOSS Actuals Estimates - not audited Amounts in DKK 1000s 2017 2018 2019 2020 Rental Income 167,657 175,444 179,454 165,111 Operating Expenses -35,551 -29,291 -40,702 -36,449 Gross Profit 132,106 146,153 138,752 128,662 Other Non Operating Expenses, Depreciation -32,807 -28
Slide 4: Highlights 2020
Highlights 2020 • Debt Reduction by 228M DKK: of which 78M correspond to sale of assets • Stronger balance sheet with 39% of Equity Ratio, well above our long-term 13 of 35% target • Estimated EBVAT of DKK 80m is inline with previous years, despite the challenges of 2020 in view of tighter operation
Slide 5: Rental income and delinquencies
Rental income and delinquencies Insights into 2020 • Diversified rental income across over 300 tenants with 90% deemed to be low or medium risk. • Delinquencies in 2020 of 4 million with mainly focus in hotels and restaurants. Total yearly rent and contribution charge Delinquencies accumulated by sp
Slide 6: 2021, Target best.. Prepare for extended challenges
2021, Target best.. Prepare for extended challenges 2021 is year for us targeting significant steps, yet preparing for extended COVID-19 related impacts: • Improve the Rental Income with closing new leases for vacancies, targeting DKK 17m of new leases • Fully transition the operating systems away f
Slide 7: Budget and targets
Budget and targets For the period 2021-2022 PROFIT AND LOSS Estimates - not audited Amounts in DKK 1000s 2020 2021 (Base Scenario) 2021 (Downside Scenario) Target 2022 Rental Income 165,111 165,365 152,827 182,365 Operating Expenses -36,449 -40,539 -44,652 -40,539 Gross Profit 128,662 124,825 108,17
Slide 8: Budget and targets
Budget and targets For the period 2021-2022 Assumptions on Budget • Rental Income: Income from new leases of DKK 17M in the base case scenario and DKK 10M in the downside scenario • Future vacancies: Assumption of 20% of tenants in Retail – Consumer goods and F&B in the downside scenario • Delinquen
Slide 9: Focus of 2021…
Focus of 2021… 13 • Vacancy Reduction • Operation Focus: Cost Reduction 27 • Overhead Optimization • Debt And Financial Optimization 6 • Selective Projects 6
Slide 10: Vacancy reduction
Vacancy reduction Expectations for 2021 • Targeted Increase in Rent Revenue from Leasing: 1. Base Scenario: 17M DKK Increase in Leasing Revenue 2. Low Scenario: 10M DKK Increase in Leasing Revenue • Key Drivers and Sectors: Residential DKK 5.5M and Offices DKK 5M. • LOIs for 5M DKK of new leases hav
Slide 11: Operation focus: cost reduction
Operation focus: cost reduction Expectations for 2021 Cost optimization in assets with high vacancy: 1. Direct PSN responsible property expenses: 1.5M DKK: − 5 properties targeted for DKK 1.5M reduction 2. Operating expenses for properties: − 6 assets targeted for DKK 5M reduction. These 6 assets ha
Slide 12: Overhead optimisation
Overhead optimisation Expectations for 2021 1. Systems and Operations to be structured for a long-term target of 40% Cost Reduction. 1. Legacy systems are expected to be fully transitioned out by end of Q1 2. Systems and technology specific costs to be reduced in view of transition 3. Explore altern
Slide 13: Debt and financing optimization
Debt and financing optimization Focus for 2021 and 2022 1. Overall debt reduction of DKK 378M since 2017 2.000 1.800 1.600 1.400 Thousand/DKK 1.200 1.000 800 600 400 200 0 2017 2018 2019 2020 Bank Debt Mortgage Debt 2. Focus on Refinancing: Increase focus on refinancing existing assets maintaining a
Slide 14: Selective projects
Selective projects Pulse is our youth housing concept, which we are in the process of implementing in 3 of our buildings. Significant expected synergies of having common design and operating practices.
Slide 15: Pulse N, Pulse O, Pulse T
Pulse N COPENHAGEN NV Conversion of a 7-storey office property into a retail ground floor and youth housing with Pulse concept. With a sustainable approach to the project, maintaining the building’s exterior, and refurbishing the interior into 144 youth apartments and 13 larger family apartments. Th
Slide 16: Pulse N, Pulse O
Pulse N COPENHAGEN NV Pulse O COPENHAGEN Ø
Slide 17: Pulse O, Pulse N
Pulse O COPENHAGEN Ø PULSE O (POST COMPLETION) CURRENT Annual rent Annual rent Annual Rent p.a. Rental Income Units / Beds Rent per month Area Annual Rent p.a. (DKK) Rental Income Units / Beds Rent per month Area (DKK per sqm p.a.) (DKK per sqm p.a.) (DKK) Apartments 5 15.000 852 1.056 900.000 Resid
Slide 18: Wish you a successful 2021
Wish you a successful 2021