Mapletree Logistics Trust · SGX:M44U

Mapletree Logistics Trust — H1 FY14/15 Earnings Presentation

36 slides from Mapletree Logistics Trust's earnings presentation, Oct 20, 2014

  1. Slide 1: 2Q & 1H FY14/15 Financial Results

    2Q & 1H FY14/15 Financial Results 20 October 2014

  2. Slide 2: Disclaimer

    Disclaimer This Presentation is focused on comparing results for the three months ended 30 Sep 2014 versus results achieved in the three months ended 30 Sep 2013 and versus results achieved in the previous quarter ended 30 Jun 2014. This shall be read in conjunction with Mapletree Logistics Trust’s

  3. Slide 3: Agenda

    Agenda  Key Highlights  Financial Review  Capital Management  Business Review  Outlook 2

  4. Slide 4: Key Highlights

    Key Highlights

  5. Slide 5: Key Highlights

    Key Highlights  2Q FY14/15 DPU rose 3% y-o-y to 1.88 cents − Gross revenue increased 6% y-o-y to S$81.5m and NPI grew 3% to S$68.7m − Growth mainly driven by contributions from MBLH, acquisitions and higher revenue from existing assets  Healthy portfolio occupancy of 97.2%  Prudent capital manage

  6. Slide 6: Financial Review

    Financial Review

  7. Slide 7: 2Q FY14/15 vs. 2Q FY13/14 (Year-on-Year)

    2Q FY14/15 vs. 2Q FY13/14 (Year-on-Year)  Increase in gross revenue mainly 2Q FY14/151 2Q FY13/142 due to: y-o-y S$’000 (3 mths ended (3 mths ended − MBLH contribution change 30 Sep 2014) 30 Sep 2013) − higher revenue from existing assets (Singapore, Hong Gross Revenue 81,513 77,051 6% Kong and Mal

  8. Slide 8: 1H FY14/15 vs. 1H FY13/14 (Year-on-Year)

    1H FY14/15 vs. 1H FY13/14 (Year-on-Year)  Increase in gross revenue mainly 1H FY14/151 1H FY13/142 y-o-y due to: S$’000 (6 mths ended (6 mths ended − MBLH contribution change 30 Sep 2014) 30 Sep 2013) − higher revenue from existing assets (Singapore, Hong Kong Gross Revenue 162,511 152,461 7% and M

  9. Slide 9: 2Q FY14/15 vs. 1Q FY14/15 (Quarter-on-Quarter)

    2Q FY14/15 vs. 1Q FY14/15 (Quarter-on-Quarter) 2Q FY14/151 1Q FY14/152  Increase in gross revenue q-o-q mainly due to: S$’000 (3 mths ended (3 mths ended change − 2 recent acquisitions in 30 Sep 2014) 30 Jun 2014) Malaysia and South Korea Gross Revenue 81,513 80,998 1% − higher revenue from existin

  10. Slide 10: Healthy Balance Sheet

    Healthy Balance Sheet As at As at S$’000 30 Sep 2014 30 Jun 2014 Investment Properties 4,279,854 4,271,439 Total Assets 4,440,321 4,433,774 Total Liabilities 1,695,196 1,698,019 Net Assets Attributable to Unitholders 2,394,993 2,380,921 NAV Per Unit S$0.971 S$0.972 1) Included net derivative financi

  11. Slide 11: 2Q FY14/15 Distribution

    2Q FY14/15 Distribution Distribution Details SGX Stock Code M44U Distribution Period 1 Jul 2014 - 30 Sep 2014 Distribution Amount 1.88 cents per unit Distribution Timetable Last day of trading on "cum" basis 24 Oct 2014, 5:00 pm Ex-Date 27 Oct 2014, 9:00 am Books Closure Date 29 Oct 2014, 5:00 pm Di

  12. Slide 12: Capital Management

    Capital Management

  13. Slide 13: Prudent Capital Management

    Prudent Capital Management  Slight decline in aggregate As at As at leverage ratio despite 30 Sep 2014 30 Jun 2014 additional loans drawn for acquisition of Daehwa Aggregate Leverage Ratio 33.3%1 33.4% Logistics Centre, mainly due to lower translated JPY debt Total Debt (S$ million) 1,473 1,475 ari

  14. Slide 14: Debt Maturity Profile (By Currency) as at 30 Sep 2014

    Debt Maturity Profile (By Currency) as at 30 Sep 2014  Maintained healthy balance sheet with a well staggered debt maturity profile  Refinanced certain loans due in FY14/15 through issuance of a 6-year US$40mil (~S$50mil) floating rate note  Additional loan of ~S$35mil drawn from existing committ

  15. Slide 15: Interest Rate Risk Management

    Interest Rate Risk Management  Approximately 76% of total debt is hedged or drawn in fixed rates  Every potential 25bps increase in base rates1 may result in a ~S$0.22mil decrease in distributable income or 0.009 cents in DPU2 per quarter (~0.5% of DPU) JPY 16% MYR 3% USD 3% SGD 2% 1) Base rate de

  16. Slide 16: Forex Risk Management

    Forex Risk Management  About 90% of amount distributable in FY14/15 is hedged into / derived in SGD Unhedged 10% SGD 48% Hedged (HKD, JPY, CNY, KRW, MYR) 42% 15

  17. Slide 17: Business Review

    Business Review

  18. Slide 18: Portfolio Highlights

    Portfolio Highlights  Active asset and lease management − Renewed/replaced 51% of leases (by NLA) due for expiry in FY14/15 − Positive average rental reversions of 9% mainly from Hong Kong, Singapore and Malaysia − Singapore portfolio’s occupancy impacted by downtime due to the conversion of SUAs t

  19. Slide 19: Investment Highlights

    Investment Highlights YTD, completed 4 accretive acquisitions valued at approx S$149m, including 2 acquisitions from the Sponsor 1 2 Flex Hub, Iskandar Malaysia Daehwa Logistics Centre, South Korea • 7 blocks of single and double-storey • Newly completed, modern 3-storey industrial warehouses and on

  20. Slide 20: Investment Highlights (cont’d)

    Investment Highlights (cont’d) 2 acquisitions from the Sponsor’s development pipeline 3 4 Mapletree Zhengzhou Logistics Park, China Mapletree Yangshan Bonded Logistics Park, China • 4 blocks of single-storey warehouses with • 2 blocks of single-storey warehouses with mezzanine offices mezzanine offi

  21. Slide 21: Country Breakdown of Occupancy Levels

    Country Breakdown of Occupancy Levels  Singapore portfolio’s occupancy was impacted by downtime due to the conversion of SUAs to MTBs 1 2 1) Excludes 5B Toh Guan which is currently undergoing redevelopment. 2) Excludes Xi’an Distribution Centre which is temporarily non-operational due to a fire inc

  22. Slide 22: Successful Lease Renewals in FY14/15

    Successful Lease Renewals in FY14/15  18% of MLT’s leases (by NLA) are due for expiry in FY14/15  Approximately 51% of these have been successfully renewed/replaced NLA renewed Space % of space Balance / replaced in Total renewed / renewed / Total Renewable in FY14/15 (%) space FY14/15 renewable1

  23. Slide 23: Top 10 Customer Profile (by Gross Revenue)

    Top 10 Customer Profile (by Gross Revenue)  398 customers; none accounts for >5% of total gross revenue  Top 10 customers account for ~23% of total gross revenue 22

  24. Slide 24: Diversified Customer Mix Provides Portfolio Stability

    Diversified Customer Mix Provides Portfolio Stability Sep 2014 Revenue Contribution (By Distribution Channel) 23

  25. Slide 25: Geographical Diversification

    Geographical Diversification Property Value Revenue Breakdown as at Breakdown for 2Q 30 Sep 2014 FY14/15 Property Value: S$4,280 million Revenue: S$81.5 million 24

  26. Slide 26: Multi-Tenanted Buildings vs. Single-User Assets

    Multi-Tenanted Buildings vs. Single-User Assets Sep 2014 SUA Revenue Sep 2014 MTB Revenue Contribution by Country Contribution by Country 25

  27. Slide 27: Lease Expiry Profile as at 30 Sep 2014 (by NLA)

    Lease Expiry Profile as at 30 Sep 2014 (by NLA)  Weighted average lease term to expiry (by NLA) is 4.6 years  Well-staggered lease expiry profile 38.5% 21.5% 19.7% 11.7% 7.0% 1.6% 1 1) Includes 2.9% of leases which have been renewed/replaced. 26

  28. Slide 28: Country Breakdown of Lease Expiry Profile as at 30 Sep 2014

    Country Breakdown of Lease Expiry Profile as at 30 Sep 2014 (by NLA) 27

  29. Slide 29: Remaining years to expiry of underlying land lease (by NLA)

    Remaining years to expiry of underlying land lease (by NLA)  Weighted average lease term to expiry of underlying leasehold land (excluding freehold land): 43 years ≤30 yrs 13.7% (17 assets) 31-60 yrs 53.9% (52 assets) >60 yrs 4.6% (7 assets) Freehold 27.8% (37 assets) 28

  30. Slide 30: Portfolio at a Glance

    Portfolio at a Glance As at 30 Jun 2014 As at 30 Sep 2014 Investment Properties (S$ million) 4,271 4,280 WALE (by NLA) (years) 4.7 4.6 Net Lettable Area (million sqm) 3.0 3.0 Occupancy Rate (%) 97.6 97.2 No. of Tenants 392 398 No. of Properties 112 1131 No. of Properties – By Country Singapore 52 52

  31. Slide 31: Outlook

    Outlook

  32. Slide 32: Outlook

    Outlook  Steady leasing activities in most of MLT’s markets  Challenging leasing environment in Singapore − Manage transition of SUA conversions to MTBs − Tighter regulatory restrictions on the use of industrial space  Proactive lease & asset management − For the rest of FY14/15, about 8.8% of le

  33. Slide 33: Thank You

    Thank You

  34. Slide 34: Appendix

    Appendix

  35. Slide 35: MIPL’s Logistics Development Projects in Asia

    MIPL’s Logistics Development Projects in Asia No. Project GFA (sqm) Status 1 Mapletree Tianjin Airport Logistics Park 66,500 Completed with leasing underway 2 Mapletree Tianjin Port HaiFeng Bonded Logistics Park 194,100 Completed with leasing underway 3 Mapletree Wuxi New District Logistics Park 124

  36. Slide 36: MIPL’s Logistics Development Projects in China

    MIPL’s Logistics Development Projects in China 35

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