Dar Al Arkan Real Estate Development Co. · TADAWUL:4300
Dar Al Arkan Real Estate Development — FY2023 Earnings Presentation
35 slides from Dar Al Arkan Real Estate Development's earnings presentation, 2024
Slide 1: Dar Al Arkan
DAR AL ARKAN UL _<jXI jlo
Slide 2: Investor Presentation FY 2023
Investor Presentation FY 2023 2
Slide 3: Table of Contents
Table of Contents Page No. 1. Macro Economic Overview & KSA Real Estate Market 4 2. Key Business Indicators Overview 9 3. Financial Performance Overview 12 4. Overview of Assets Portfolio 17 5. International Projects Developed by Dar Global PLC 22 6. Appendix 28 3
Slide 4: Macro Economic Overview & KSA Real Estate Market
MACRO ECONOMIC OVERVIEW 1| & KSA REAL ESTATE MARKET 4
Slide 5: Macroeconomic Overview
Macroeconomic Overview Growth was slowed down in 2023 after an accelerated growth in 2022 Average Brent Oil Prices GDP Growth dipped in 2023 2022 Surplus transformed to Deficit in 2023 120 101 10.0% 5% 100 2.6% 82 8.7% 3% 8.0% 80 71 71 1% 64 6.0% 5.7% 5.1% 60 -1%2020 2021 2022 2023 2024P 2025P 2026P
Slide 6: KSA Real Estate Sector Overview
KSA Real Estate Sector Overview The strong long-term fundamentals of the market remain intact Positive Demographic Trends Widening Supply Deficit Government Support KSA Total Population (Age/Gender) Male Female 3 Millions 3 2 2 1 1 0 65-69 70-74 75-79 80+ 10 - 14 15 - 19 20 - 24 25 - 29 30 - 34 35 -
Slide 7: Residential & Commercial deals slightly increased QoQ and YoY in Q4 2023
KSA Real Estate Sector Overview Residential & Commercial deals slightly increased QoQ and YoY in Q4 2023 450 410 380 360 321 140.1 122.5 270 110.1 249 209 207 194 189 99.1 166 159 180 71.1 77.5 131 38.9 60.1 75.3 257.2 270.0 43.7 210.7 38.0 90 149.8 137.6 126.9 115.2 128.4 129.8 118.5 93.4 0 2013 20
Slide 8: The Real Estate Price Index slightly decreased QoQ in Q4 2023
KSA Real Estate Sector Overview The Real Estate Price Index slightly decreased QoQ in Q4 2023 KSA Real Estate Price Index (YoY) KSA Real Estate Price Index (QoQ) 1.8% 1.6% 1.0% 1.5% 0.5% 0.6% 1.0% 0.5% 0.3% 1.2% 0.3% 0.2% 0.1% 0.0% 0.9% 0.8% -0.1% 0.7% 0.0% 0.6% 0.3% 0.2% 0.0% -1.0% Q4-22 Q1-23 Q2-2
Slide 9: Key Business Indicators Overview
KEY BUSINESS INDICATORS 2| OVERVIEW 9
Slide 10: FY 2023 – Key Business Indicators
FY 2023 – Key Business Indicators Investment In Revenues (LTM) -31.0% EBITDA (LTM) 9.2% Development Properties (LTM) -36.1% SAR 2,707 mn SAR 1,442 mn SAR 2,220 mn (2022 : SAR 3,925 mn) (2022 : SAR 1,320 mn) (2022 : SAR 3,473 mn) Gross Debt/ Cash And Bank Book Value Per Share Capitalization SAR 5,450
Slide 11: Dar Al Arkan Real Estate Assets
Dar Al Arkan Real Estate Assets ▪ DAAR’s Real Estate assets portfolio at cost is SAR 21.4 bn. ▪ DAAR has a strong pipeline of projects across the Kingdom totaling 12.9 mn sqm. Real Estate Properties Break up - SAR bn Total Land Area – SQM mn 57% 33% Investments in Project Lands & Lands, 15.8 Propert
Slide 12: Financial Performance Overview
FINANCIAL PERFORMANCE 3| OVERVIEW 12
Slide 13: Financial Performance – FY 2023 Profitability
Financial Performance – FY 2023 Profitability Yearly Revenues (SAR mn) 1,600 Gross Profit (SAR mn) & Margin (%) 50% 7,000 6,412 1,458 42% 82 45% 1,400 40% 6,000 136 40% 4,735 1,114 36% 37% 1,070 1,200 1,057 35% 5,000 35% 78 66 3,925 1,000 99 150 3,492 792 824 897 30% 4,000 24% 77 116 2,707 800 97 67
Slide 14: Financial Performance – Q4 2023 Profitability
Financial Performance – Q4 2023 Profitability 1,800 1,619 Quarterly Revenues (SAR mn) Gross Profit (SAR mn) & Margin (%) 1,600 600 563 50% 27 45% 1,400 19 41% 40% 42% 500 36% 39% 39% 38% 40% 1,200 35% 35% 35% 886 764 826 400 345 1,000 716 304 316 30% 775 268 301 285 800 1,592 743 300 245 24 25% 678
Slide 15: Financial Performance – FY 2023 Cash Flow
Financial Performance – FY 2023 Cash Flow Cash Flow – FY 2023 (SAR mn) Income / Sources of Cash Uses of Cash / Expenses 14,000 12,000 43 616 10,000 2,588 3,265 8,000 2,707 6,000 2,220 712 4,000 5,929 5,450 2,000 19 131 - Starting Cash Revenue New Debt Working Investment in Debt Opex Investment in Ma
Slide 16: Financial Performance – FY 2023 Debt
Financial Performance – FY 2023 Debt Gross Debt Vs Net Debt (SAR mn) 40% Debt* / Capitalization 36% 35% 12,000 10,840 33% 33% 10,304 10,163 35% 10,500 9,468 29% 30% 26% 26% 9,000 7,832 25% 23% 7,500 6,480 6,663 4,932 5,929 4,153 5,450 5,280 20% 6,000 3,950 21% 582 3,160 15% 18% 19% 4,500 4,903 16% 1
Slide 17: Overview of Assets Portfolio
OVERVIEW OF ASSETS 4| PORTFOLIO 17
Slide 18: Shams Ar Riyadh – Key Facts
Residential & Commercial Development Projects - KSA Shams Ar Riyadh – Key Facts Location - Situated in the Al-Ammariyah district (King Khalid Road), part of the growing northwest corridor of Riyadh, Shams Ar Riyadh is close to the heart of the city and is located just 19 km from KKI Airport and 9 km
Slide 19: Residential & Commercial Development Projects - KSA
Residential & Commercial Development Projects - KSA Parisiana South Shams Al Arous Juman Project Dar Al Mashaer - Located in Riyadh city and easily - Shams Al Arous is a master-planned, - Juman project is strategically located - Located in holy city of Mecca on the Al accessed through King Fahad bes
Slide 20: Residential & Commercial Development Projects - KSA
Residential & Commercial Development Projects - KSA Commendatore Tower- Jeddah Etoile Villas, Sedra- Riyadh Buraidah Hills, Qassim - The Commendatore Tower is to be built on a - Dar Al Arkan had won a contract to develop - Located in Buraidah city of Al-Qassim total land area of 11,928 sqm, comprise
Slide 21: Leasing Properties Portfolio
Leasing Properties Portfolio Al-Qasr Mall, Riyadh Land Area 61,949 m² Built up Area 234,147 m² Gross Leasable Area 75,045 m² No. of floors 3 Leasable Floors plus two parking Parking 1,579 Parking Spaces Latest Activity: ▪ 88% occupancy achieved by the end of 2023. ▪ Total footfall for 2023 exceeded
Slide 22: International Projects Developed by Dar Global PLC
INTERNATIONAL PROJECTS 5| DEVELOPED BY DAR GLOBAL PLC 22
Slide 23: Notable Changes During The Reporting Period
Notable Changes During The Reporting Period Dar Global Accounting and Project Update (Reference to note 29 of consolidated financial statements) - On 28 February 2023, Dar Global PLC, an indirectly wholly owned subsidiary of the Group, had listed its shares on the London Stock Exchange’s main market
Slide 24: International Projects Developed by Dar Global PLC
International Projects Developed by Dar Global PLC Urban Oasis Tower, Dubai Da Vinci Tower, Dubai W Residences, Dubai DG 1, Dubai - The Urban Oasis Tower is located in - Da Vinci Tower is a residential - The W Residences is a residential - DG 1 (Dar Global 1) Tower is located in the the Business Bay
Slide 25: International Projects Developed by Dar Global PLC
International Projects Developed by Dar Global PLC Sidra Project Aida, Oman Les Vagues, Qatar - The Sidra project site is situated in Ravne, Vareš, - In Dec 2021, Dar Al Arkan signed an MOU with - Les Vagues by Elie Saab sets new standards of 38 km outside Sarajevo, Capital of Bosnia & Omran to deve
Slide 26: International Projects Developed by Dar Global PLC
International Projects Developed by Dar Global PLC Tierra Viva, Spain Marea, Finca Cortesin, Spain Tabano, Spain - Tierra Viva in Behanavís – Costa del Sol is an - Marea, our second project in Spain was unveiled - Dar Tabano acquired six plots of land in exclusive residential community of 53 in Augu
Slide 27: International Projects Developed by Dar Global PLC
International Projects Developed by Dar Global PLC 8min-to-Central, London Oh So Close, London Old Park Lane, London - Experience the finest in contemporary living in - Oh So Close offers an extraordinary residential - Dar Al Arkan Global UK Holdings Ltd and FCP the exclusive 8min-to-Central residen
Slide 28: Appendix
6| APPENDIX 28
Slide 29: Appendix I – Statement of Financial Position
Appendix I – Statement of Financial Position SAR in 000s FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 Investment properties, net 1,651,357 1,519,116 1,110,414 1,077,808 1,028,213 Long-term development properties 16,895,604 18,246,583 19,285,287 20,563,563 20,261,809 Property and equipment, net 79,765 72,
Slide 30: Appendix II – Statement of Profit or Loss
Appendix II – Statement of Profit or Loss SAR in 000s FY 2020 FY 2021 FY 2022 FY 2023 Q4 2022 Q4 2023 Revenue 1,944,854 2,493,078 3,925,499 2,707,100 885,668 400,847 Cost of revenue (1,270,204) (1,596,350) (2,467,912) (1,636,694) (540,612) (232,225) Gross profit 674,650 896,728 1,457,587 1,070,406 3
Slide 31: Appendix III – Statement of Cash Flows
Appendix III – Statement of Cash Flows SAR in 000s FY 2019 FY 2020 FY 2021 FY 2022 FY 2023 Profit before Zakat 312,389 19,379 135,442 588,386 626,418 Adjustments for: Depreciation & Amortization 55,653 56,237 48,905 50,182 50,247 Provision for expected credit losses 2,000 2,516 4,453 0 0 Donations 0
Slide 32: Disclaimer
Disclaimer THIS PRESENTATION IS NOT FOR PUBLICATION, RELEASE OR himself independently based solely on the prospectus in relation to such securities DISTRIBUTION, DIRECTLY OR INDIRECTLY, INTO AUSTRALIA, CANADA, (including any supplement thereto) available when orders are confirmed before taking JAPAN
Slide 33: Our Offices
OUR OFFICES RIYADH, KSA BEIJING, CHINA LONDON, UK MARBELLA, DUBAI, UAE 12622 Makkah Road, 303-309, North Tower, 50 Hans Crescent, Conrad Dubai, Al Wizarat, Beijing Kerry Centre, Knightsbridge, SPAIN Sheikh Zayed Road, Beside Riyadh Marriott Hotel, No.1 Guanghua Road, London, SW1X ONA Marbella’s Gold
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Slide 35: Thank you
Investor Relations Thank you Riyadh – Saudi Arabia Tel: +966 11 206 9888 Ext:1680 ir@alarkan.com 35
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