Postal Realty Trust, Inc. · NYSE:PSTL
Postal Realty Trust — Q2 2020 Earnings Presentation
19 slides from Postal Realty Trust's earnings presentation, Aug 12, 2020
Slide 1: Postal Realty Trust, Inc. Q2 2020 Supplemental
POSTAL REALTY TRUST, INC. NYSE: PSTL Q2 2020 Supplemental
Slide 2: Forward-Looking Cautionary Statements
Forward-Looking Cautionary Statements This presentation contains “forward-looking statements.” Forward-looking statements include statements regarding the proposed public offering and other statements identified by words such as “could,” “may,” “might,” “will,” “likely,” “anticipates,” “intends,” “p
Slide 3: Corporate Information & Analyst Coverage
Corporate Information & Analyst Coverage Key Management & Board of Directors Key Management Andrew Spodek Chief Executive Officer Jeremy Garber President, Treasurer & Secretary Matt Brandwein Chief Accounting Officer Board of Directors Board Responsibilities Patrick Donahoe Chairman of the Board, Me
Slide 4: Company Overview
Company Overview Postal Realty Trust, Inc. (NYSE: PSTL) is an internally managed real estate corporation that owns properties leased to the United States Postal Service, or the USPS. Postal Realty Trust is focused on acquiring the network of USPS properties, which provide a critical element of the n
Slide 5: Executive Summary
Executive Summary (Figures in actuals; amounts during the quarter ending June 30, 2020) Price of Common Shares Earnings for the Quarter Ended 6/30/2020 High closing price during period $17.21 Net income (loss) attributable to PSTL $(150,550) Low closing price during period $14.82 Net income (loss) a
Slide 6: Balance Sheet
Balance Sheet Balance Sheet ($ in actuals) Q2 2020 Q1 2020 Q4 2019 Q3 2019 Q2 2019 ASSETS Real estate Land $32,528,667 $29,971,741 $25,147,732 $16,827,724 $14,208,005 Building and improvements 125,168,945 117,541,035 92,873,637 57,177,951 48,796,854 Tenant improvements 2,910,913 2,850,042 2,562,293
Slide 7: Income Statement
Income Statement Statement of Operations ($ in actuals) Q2 2020 Q1 2020 Q4 2019 Q3 2019 Q2 2019 (1) REVENUE Rental income $4,640,403 $4,300,771 $3,129,972 $2,387,082 $1,099,459 Tenant reimbursements 652,748 601,346 458,617 342,419 162,010 Fee and other income 311,786 295,519 270,270 278,846 135,292
Slide 8: FFO & AFFO Reconciliation
FFO & AFFO Reconciliation FFO & AFFO (1) ($ in actuals, except per share data) Q2 2020 Q1 2020 Q4 2019 Q3 2019 Q2 2019 Net loss $(229,627) $(1,029,826) $(1,069,396) $(392,317) $(498,468) Depreciation and amortization 2,161,782 2,034,868 1,485,506 1,066,338 522,459 Funds from operations (FFO) $1,932,
Slide 9: NOI Reconciliation
NOI Reconciliation Net Operating Income (1) ($ in actuals) Q2 2020 Q1 2020 Q4 2019 Q3 2019 Q2 2019 REVENUE Rental income $4,640,403 $4,300,771 $3,129,972 $2,387,082 $1,099,459 Tenant reimbursements 652,748 601,346 458,617 342,419 162,010 Total revenues $5,293,151 $4,902,117 $3,588,589 $2,729,501 $1,
Slide 10: EBITDA Reconciliation
EBITDA Reconciliation EBITDA (1) ($ in actuals) Q2 2020 Q1 2020 Q4 2019 Q3 2019 Q2 2019 Net loss $(229,627) $(1,029,826) $(1,069,396) $(392,317) $(498,468) Contractual interest expense 544,915 728,226 463,365 48,916 15,688 Amortization of deferred financing costs 115,399 104,462 233,205 4,523 1,854
Slide 11: Debt Summary
Debt Summary Debt Breakdown Interest Rate Lender Outstanding Fixed Variable Fixed Rate Debt 4.32% N/A $16,866,052 Variable Rate N/A LIBOR + 170 BPS $67,469,056 Total Principal $84,335,108 Deferred Financing Costs, Net (242,506) Total Debt: 4.32% LIBOR + 170 BPS $84,092,602 ▪ On September 27, 2019, w
Slide 12: Debt Statistics
Debt Statistics Debt Statistics ($ in actuals) Q2 2020 Market Capitalization Debt Principal $84,335,108 Cash 4,895,427 Maintenance Reserve 644,825 Net Debt 78,794,856 Market Value of Common Equity 132,857,008 Total Enterprise Value 211,651,864 Net Debt to Enterprise Value 37.2% Leverage Net Debt $78
Slide 13: Acquisition Summary by Region
Acquisition Summary by Region 2020 Acquisition Summary as of 8/11/2020 2020 Acquisition Summary Interior Acquisitions Property Purchase Annualized Square Region Count Price Rent Feet Q1 2020 Acquisitions Midwest 52 Properties $12,339,020 133,552 $1,172,583 Northeast 4 Properties 3,838,191 37,796 344
Slide 14: Portfolio Fundamentals
Portfolio Fundamentals Diversified Portfolio with High Historic Lease Retention HISTORIC LEASE RETENTION RATE SINCE IPO PORTFOLIO BY % OF AGGREGATE INTERIOR SQ FT 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% 100.0% Region Sq Ft % Sq Ft West 9% Midwest 746,367 37% Midwest 37% Northeast 354,036 18% South
Slide 15: Lease Rollover Drives Significant Upside
Lease Rollover Drives Significant Upside Upcoming Lease Expirations Provide Organic Growth Opportunity Year Number of Leases Square Feet Annual Rent 2020(1) 90 268,536 $3,097,176 2021 68 144,902 $1,382,133 2022 230(2) 559,812 $4,637,455 2023 76 286,866 $3,239,250 Thereafter 202 756,982 $7,559,281 To
Slide 16: Property Breakdown by State
Property Breakdown by State Property Breakdown by State Property % Property Square % Square State Gross Rent % Gross Rent Occupany Count Count Footage Footage Pennsylvania 59 8.86% 173,379 8.60% 1,718,404 8.63% 100.00% Wisconsin 54 8.11% 194,126 9.62% 1,636,125 8.22% 100.00% Texas 41 6.16% 127,421 6
Slide 17: Property Breakdown by State (continued)
Property Breakdown by State (continued) Property Breakdown by State Property % Property Square % Square State Gross Rent % Gross Rent Occupany Count Count Footage Footage Alabama 8 1.20% 28,318 1.40% 240,886 1.21% 100.00% South Carolina 7 1.05% 23,081 1.14% 239,641 1.20% 100.00% Kansas 8 1.20% 16,88
Slide 18: Definitions
Definitions Non-GAAP Financial Measures Funds from Operation (FFO) The Company calculates FFO in accordance with the current National Association of Real Estate Investment Trusts (“NAREIT”) definition. NAREIT currently defines FFO as follows: net income (loss) (computed in accordance with GAAP) excl
Slide 19: Definitions (continued)
Definitions (continued) Non-GAAP Financial Measures Net Debt The Company calculates its net debt as gross debt (defined as total debt plus net deferred financing costs on its secured borrowings) less cash and cash equivalents and restricted cash deposits held for the benefit of lenders. The Company