Carmila Sa · EURONEXT:CARM
Carmila Sa — Investor Presentation (May 2023)
25 slides from Carmila Sa's investor presentation, May 2023
Slide 1: Carmila Investor Presentation
Carmila Investor Presentation May 2023 1
Slide 2: Presentation of Carmila; Activity Overview and Financial Performance; Conclusion
1 Presentation of Carmila 2 Activity Overview and Financial Performance 3 Conclusion 2
Slide 3: Owns and manages 203 shopping centres in France, Spain and Italy
owns and manages 203 shopping centres in France, Spain and Italy France 120 centres Complete national coverage, LEADING CENTRES IN medium-sized cities THEIR AREA Spain 75 centres CARREFOUR Major cities (Madrid, Barcelona, etc.) and tourist Carmila centres are attached destinations (Malaga, Majorca,
Slide 4: History of Carmila and Outlook 2023-2026
History of Carmila Outlook 2023-2026 Successful first phase of growth (2014-2019) Sustainable level of rents Post-COVID rebound, recurring Growth generated by incubator Created EPS +26% and new business lines in 2014 2017 IPO (2022) Resilient operational Dynamic capital allocation performance during
Slide 5: Key Figures
Key Figures €6.2bn €1.56 35.8% Gross Asset Value recurring EPS in 2022 LTV1 at end-2022 end-2022 €1.17 €25.26 / share 7.7x Dividend per share in EPRA NTA end-2022 Net debt/EBITDA 2022 2023 1. EPRA LTV including RETTS (Real estate transfer taxes) 5
Slide 6: The key strengths of Carmila's portfolio of shopping centres
The key strengths of Carmila’s portfolio of shopping centres • The right assets for their catchment areas (~30 stores on average) Local leaders in • z are local leaders or co/leaders ~90% of sites mid sized cities • Benefiting from the renaissance of mid-sized cities • Hypermarkets: the “first” disc
Slide 7: Carmila 2022-2026 Roadmap
Carmila 2022-2026 Roadmap An incubator A leader in the Breaking new and an sustainable ground omnichannel transformation Digital infrastructure investment platform for of local regions with Next Tower retailers Minority venture investments with Carmila Retail Development Building sustainable growth
Slide 8: Pivoting the mix-merch and providing services to retailers
Incubator Pivoting the mix-merch and providing services to retailers More health and beauty, less fashion % of Carmila tenants by share of rental base (end-2022) Incubating DNVB* and new concepts, pop-up stores, specialty leasing, events 37% 31% Healthcare: 15% of gross rental income by 2026 17% 19%
Slide 9: A leader in the sustainable transformation of local regions
Sustainability A leader in the sustainable transformation of local regions Exemplary non-financial Net zero climate commitment reporting Target: Net zero scope 1 and 2 emissions Target: 100% of assets BREEAM certified by 2030 by 2025, 100% very good by 2030 Accelerating on net zero:z On track with B
Slide 10: Always investing and transforming our centres
Sustainability Always investing and transforming our centres HEALTH AND MID- RESTRUCTURING DEVELOPMENT SIZED STORES Laval in France Holly’s Puget Diner in Langueux Normal in Pau Lescar Puget-sur-Argens food court Vertuo in Athis-Mons • Transformation of centre and • New food courts, mainly on • New
Slide 11: A long-term pipeline of major projects and mixed-use development
Sustainability A long-term pipeline of major projects and mixed-use development Montesson Sartrouville FIVE MAJOR PROJECTS Nantes Orléans €200M CAPEX (vs. €550M previously) Beaujoire • No building work currently underway Toulouse Labège • First projects in pipeline to begin in 2025 • Redesigned proj
Slide 12: Growth from new business lines
New business Growth from new business lines Omnichannel incubator Income from services to retailers A mobile tower company with €180M of assets by 2026 A portfolio of minority RETAIL investments in innovative DEVELOPMENT new retail concepts €30M annual contribution to recurring earnings by 2026 12
Slide 13: Presentation of Carmila; Activity Overview and Financial Performance; Conclusion
1 Presentation of Carmila 2 Activity Overview and Financial Performance 3 Conclusion 13
Slide 14: Retailer sales higher than in 2019
Retailer sales higher than in 2019 2022 retailer sales : Invasion 102% of 2019 level of Concerns around Ukraine energy situation 2022 footfall : 93% 110% of 2019 level 105% 105% 106% 104% 104% 102% 103% 99% 99% 97% 98% 96% 93% 95% 94% 91% 91% 92% 91% 91% 94% 93% 88% January February March April May
Slide 15: Strong commercial momentum in 2022
Strong commercial momentum in 2022 Positive reversion Good level of new business signed in Positive reversion High level of 2022 occupancy 854 +1.5% 96.5% Long-term leases signed Above previous Financial occupancy rate in 2022 passing rents (+20 bps vs. end-2021) No change in policy on lease terms,
Slide 16: The right mix of retailers for each Carmila centre
The right mix of retailers for each Carmila centre Healthcare Purchasing Power Restaurants Clothing, Sportwear Beauty Gifts The pivot to a new mix-merch has helped Carmila centres to outperform1 1. footfall vs. sector +4pts in France (% of 2019 footfall); and +1pts in Spain (% of 2019 footfall). Sou
Slide 17: Increase in the like-for-like valuation of assets
Increase in the like-for-like valuation of assets Valuation of portfolio as of 31 December 2022 Like-for-like 31 Dec. 2022 change €6,166M (vs 31 Dec. 2021) (vs 31 Dec. 2021) Market value -0.8% +1.0% Total (reported) Total (like-for-like) Reasonable appraisal assumptions Average capitalisation rate (
Slide 18: Recurring Earnings Per Share: rebound in 2022
Recurring Earnings Per Share: rebound in 2022 Recurring Earnings Per Share 2022 Performance Recurring EPS +26% vs. 2021 at €1.56 2021 €1.24 Faster normalisation of rent collection than expected +26% Organic rental growth +4.2%, of which indexation +3.2% Of which €0.06 of income from COVID rent colle
Slide 19: 2022 Dividend and Outlook for 2023
2022 Dividend and Outlook for 2023 DIVIDEND 2023 OUTLOOK €1.17 per share in €1.57 recurring EPS 2023 (+17% vs. expected in 2023 previous dividend) v v effect on rents Positive indexation (+4% from Q1 2023) Dividend Policy: Confident on rent collection 75% payout of Impact from disposals recurring ea
Slide 20: Strong Balance Sheet
Strong Balance Sheet End-2021 End-2022 Committed to BBB S&P rating Net debt (€M) 2,323 2,204 GAV1 (€M) 6,214 6,166 High level of confidence on portfolio valuation EPRA LTV 37.4% 35.8% (including RETTS) assumptions Significant headroom vs. bank EPRA LTV 39.2% 37.6% covenants Net debt/EBITDA 9.7x 7.7x
Slide 21: Strengthened liquidity position and funding structure
Strengthened liquidity position and funding structure Carmila Maturity Profile*: End-April 2023 Term loan signed in July 2022: €550M sustainability linked term loan (5 year maturity, 2 year extension option), E3M+180bps Secured loan signed in April 2023: €276M sustainability linked secured loan (7 y
Slide 22: Asset rotation and development: More active management of the portfolio
Asset rotation and development: More active management of the portfolio for greater flexibility SUCCESSFUL FIRST PHASE USE OF PROCEEDS OF DISPOSALS €240 million of disposals agreed or Development closed as of today €24 million acquisition of Rosaleda Shareholder return in 2022 €30 million share buyb
Slide 23: Financial performance: first-quarter 2023
Financial performance: first-quarter 2023 +10% +5% +5.5% Retailer Sales Footfall Net rental income vs Q1 (vs. Q1 2022) (vs. Q1 2022) 2022 96.0% 94% 176 Financial occupancy Collection rate New leases signed (+20bp vs. Q1 22) Confirmation of expected recurring earnings per share of €1.57 in 2023 23
Slide 24: Presentation of Carmila; Activity Overview and Financial Performance; Conclusion
1 Presentation of Carmila 2 Activity Overview and Financial Performance 3 Conclusion 24
Slide 25: A successful first year of the plan: Building Sustainable Growth
A successful first year of the plan: “Building Sustainable Growth” Record performance and operational excellence Rebound in retailer sales post COVID, high occupancy, commercial activity supported by transformed assets, pivot to new retailers and ecosystem of services Ahead of schedule on first mile