Emaar Properties (p.j.s.c) · DFM:EMAAR

Emaar Properties (p.j.s.c) — Investor Presentation (September 2013)

45 slides from Emaar Properties (p.j.s.c)'s investor presentation, Sep 22, 2013

Slide 1: Emaar Properties PJSC Corporate Presentation
Emaar Properties PJSC Corporate Presentation September 22nd, 2013 © Emaar 2013
Slide 3: EMAAR at a Glance
EMAAR at a Glance Emaar Properties is the largest publicly-listed property developer in the MENA region Market Cap(1): AED 36.67 bn (US $9.98 bn) Revenues: FY 2010 AED 12.15 bn (US $ 3.31 bn) FY 2011 AED 8.11 bn (US $ 2.21 bn) FY 2012 AED 8.24 bn (US $ 2.24 bn) H1 2013 AED 5.22 bn (US $ 1.42 bn) Net
Slide 4: EMAAR's Strategy & Goals
EMAAR‘s Strategy & Goals Business Strategy: To replicate our Dubai business model and practices in international markets, leveraging our execution capabilities and competencies in design, project management and distribution/sales Our international land bank includes approx 232* million sqm across In
Slide 5: EMAAR's Business Strategy – Mid Term
EMAAR‘s Business Strategy – Mid Term • Take advantage of the recent buoyancy in Dubai‘s Real Estate market by developing new iconic projects • Enter into Joint ventures in Dubai to get access to significant land bank with no commitment for land cost • Develop Rental / Mall assets in other countries
Slide 6: EMAAR Group H1 2013 Performance Highlights
EMAAR Group H1 2013 Performance Highlights • Dubai and International RE: Handover of 1303 residential units in Dubai and International during H1-2013. In Dubai, 1087 residential units were handed over and more than 62,000 sq ft of commercial space were delivered during the period. Currently, more th
Slide 7: H1-2013 Performance Highlights Cont'd
EMAAR Group H1-2013 Performance Highlights Cont‘d Profitability for the period ended 30th June 2013 | • Revenues for H1-2013 were AED 5.22 bn (versus H1-2012 AED 3.92 bn) • Net Operating Profit of H1-2013 was AED 1.23 bn (versus H1-2012 AED 1.22 bn) Balance Sheet as at 30th June 2013 | remains robus
Slide 8: EMAAR Key Group Divisions
EMAAR Key Group Divisions Property Property Malls Hotels Development Development and Resorts & UAE International Retail Hospitality •Market leading • Active in 10 • Current retail • Developer, owner developer in Dubai targeted high space of over and manager of Developer of the growth countries 690,0
Slide 9: Strong Record of Execution
Strong Record of Execution 40,000 36,582 33,500 35,279 32,673 35,000 29,454 30,000 26,378 25,000 21,402 19,791 20,898 17,794 18,289 16,192 14,686 20,000 12,152 12,918 8,217 15,000 5,965 10,000 4,870 14,226 14,736 14,879 15,211 15,488 15,684 13,185 5,000 8,048 10,227 - 2005 2006 2007 2008 2009 2010 2
Slide 11: Shareholder's Value – NAV Computation
Shareholder‘s Value – NAV Computation (AED million) 2012 2011 Book value Fair value Book value Fair value Cash and bank balances 3,711 3,711 2,865 2,865 Trade and other receivables 3,559 3,559 3,535 3,535 Development properties 26,998 43,181 26,611 37,726 Investment in associates 6,428 6,351 6,684 6
Slide 12: Shareholder's Value – NAV Computation
Shareholder‘s Value – NAV Computation (AED million) 2012 2011 Net Asset Value as per consolidated balance sheet 32,534 31,308 Add: Fair value in excess of book value for Development properties 15,547 10,591 Add: Fair value of assets in excess of book value for Investment 8,281 6,506 Properties Add:
Slide 13: Evolution of Emaar Group Revenue
Evolution of Emaar Group Revenue Segment-wise Revenue 5,000 4,096 4,000 3,265 3,036 2,880 AED m illions 3,000 2,367 2,326 1,811 2,000 41% 50% 1,136 37% 22% 36% 526 1,000 14% 45% 45% 10% - 2011 2012 YTD 2013 Dubai Operations Leasing & Hospitality International © Emaar 2013 13
Slide 14: Fair Value of Development Properties
Fair Value of Development Properties (AED million) 2012 2011 Book value Fair value Book value Fair value UAE 13,653 19,195 14,097 17,254 Egypt 5,700 13,553 5,126 10,382 India 77 77 79 79 Turkey 3,160 3,848 2,811 3,670 KSA 1,574 2,527 1,638 1,911 Pakistan 757 1,341 634 1,427 Canada & USA 898 898 938
Slide 15: Fair Value of Investment Properties
Fair Value of Investment Properties (AED million) 2012 2011 Book value Fair value Book value Fair value Dubai Mall & Marina Mall 6,399 13,429 6,586 11,986 Burj Dubai (Souk Al Bahar and other 478 817 456 766 retail locations) Burj Dubai Business Square 153 349 159 394 Gold & Diamond Park 173 337 176
Slide 16: Fair Value of Fixed Assets
Fair Value of Fixed Assets (AED million) 2012 2011 Book value Fair value Book value Fair value Hotels, Convention centre & Service Appartments 4,186 6,424 4,370 6,244 Emaar Business Park 47 119 50 116 District Cooling Plant 347 347 371 371 At The Top 122 122 132 132 Leisure and Entertainment & Medic
Slide 17: Shareholders' Value
Shareholders‘ Value 70 18 16 60 59 14 50 54 Shareholders' equity as per 52 12 AED per share 50 audited financial statements AED billions 40 9.61 8.58 10 8.79 Net asset value (including FV of 8.23 DP, Assets and market value of 30 33 8 listed securites) 31 31 29 Net asset value per share 6 20 4 10 2
Slide 19: Property Development: UAE
Property Development: UAE • Government Support: Historic land grants and 32% shareholding • Partnership with Quality Arabtec, Nasa Multiplex, Samsung, Al Futtaim Developers: Carillion • Established Reputation: Timely deliveries of high quality properties • Track Record:(1) 32,333 residential propert
Slide 20: Dubai RE – Key Strengths
Dubai RE – Key Strengths • All Dubai RE projects currently under construction have been substantially sold. Recoveries remain strong as evident from increased revenues. • Pre-sales model utilised, with cash inflows from customers‘ instalments financing the bulk of constructions costs. • Conservative
Slide 21: Regional Business Highlights
Regional Business Highlights Projects Completed Units under Deliveries till Deliveries Deliveries Deliveries Deliveries Deliveries development 2011 2012 2013 2014 2015 2016 Downtown Development 9,880 2,263 7,853 1,278 749 - 533 1,730 Downtown Commercial spaces (sq ft) 2,860,476 - 2,560,476 300,000 -
Slide 23: Key International RE Markets–Unit Sales to Date
Key International RE Markets–Unit Sales to Date Emaar has achieved an overall sales level of 85% in its key International markets Units Unit Sale % sales Country Entity Released achieved achieved Egypt Emaar Misr for Development S.A.E. 4,395 3,763 86% KSA Emaar Middle East 631 536 85% Subsidiaries S
Slide 24: Key International Markets - Business Highlights
Key International Markets - Business Highlights Units To be Actual Units Currently Developed Deliveries Deliveries Deliveries Deliveries Country Entity Deliveries till Completed Under (During 2013 - 2012 2013 2014 2015 2011 Development 2015) Subsidiaries Egypt Emaar Misr 857 1,987 3,923 319 284 797
Slide 25: International RE – Key Strengths
International RE – Key Strengths • Successful expansion of Emaar‘s RE development model to several International locations. This has enabled Emaar to grow simultaneously while limiting concentration risk on the Dubai real estate market. • For the International RE developments, Emaar has acquired its
Slide 27: Malls – Key Strengths
Malls – Key Strengths • Significant Gross Leasable Area (“GLA”) – All Dubai-based Mall assets are now open (5.8 m Sq Ft of GLA), with Total GLA Occupancy at 94% (H1-2013). • The Dubai Mall - Opened in Nov-08 and is one of the largest malls in the world (3.7m sq ft GLA). GLA occupancy at 99% (H1-2013
Slide 28: Malls – Key Strengths (Cont'd)
Malls – Key Strengths (Cont‘d) • Exclusive Tenants - Several exclusive tenants who do not have retail outlets anywhere else in the UAE / GCC including Bloomingdales and Galleries Lafayette • Retail Attractions - Below retail attractions provide impetus in terms of both footfall and revenues: - Reel
Slide 29: Dubai Mall Footfall Trend
Dubai Mall Footfall Trend Dubai Mall Average Quarterly Footfall Dubai Mall Footfall 8 65 70 7 6.73 60 54 No. of Visitors (Millions) 5.62 6.08 No. of Visitors (Millions) 6 6.00 47 5.16 50 5 5.02 4.85 4.15 4.17 38 40 4 4.47 4.26 4.2 3.42 3.75 31 3 3.57 30 2.78 2.27 20 2 1.74 1 10 3 0 0 Q1 Q2 Q3 Q4 Q1
Slide 30: At The Top Footfall Trend
At The Top Footfall Trend At The Top Footfall 600 531 539 No. of Visitors (Thousands) 500 438 440 400 390 383 300 348 384 315 307 219 242 200 246 100 97 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2010 2011 2012 2013 © Emaar 2013 30
Slide 31: Emaar Hospitality Group
Emaar Hospitality Group Management Capacity Current Projects Category Operational Company Rooms Milan Armani Hotel Milan at Via Manzoni AHM(1) 5 Star 95 2011 Dubai Armani Hotel Dubai at Burj Khalifa AHM(1) 5 Star 160 2010 The Address Downtown Dubai TAH&R(2) 5 Star 196 2008 Al Manzil Hotel Emaar Hosp
Slide 32: Emaar Hospitality Group
Emaar Hospitality Group YTD June 30, 2013 The Address The Palace The Address The Address VIDA Al Manzil Downtown Downtown Dubai Mall Dubai Marina Downtown* Avail. room nights 35,476 43,802 44,164 36,200 35,657 2,340 Occupancy % 91% 89% 89% 89% 91% 45% ADR (AED) 1,784 1,442 1,555 988 901 730 Revpar (
Slide 33: Emaar Hospitality – Key Strengths
Emaar Hospitality – Key Strengths Portfolio of Hospitality Brands: The Hospitality Division has successfully developed recognisable brands for the different categories of assets which have driven the creation of brand equity. It has also the license rights of the ―Armani‖ brand for development of a
Slide 34: Emaar Hospitality – Key Strengths (Cont'd)
Emaar Hospitality – Key Strengths (Cont‘d) High Margin Lease Income: The operations of Nuran Serviced Apartments have generated regular, high margin annuity income from low maintenance prime assets in Dubai. Though Nuran Marina has been sold to a 3rd party in June 2012, it continues to be operated b
Slide 36: Financial Performance – AED millions
Financial Performance – AED millions Q2-13 Q1-13 % Q2-13 Q2-12 % 2013 2012 % Revenue 3,109 2,110 47% 3,109 2,100 48% 5,219 3,921 33% Gross Profit 1,367 1,117 22% 1,367 1,135 20% 2,484 2,198 13% SGA (577) (531) 9% (577) (438) 32% (1,108) (860) 29% Other (expense)/income (34) (19) 79% (34) (23) 48% (5
Slide 37: Balance Sheet and Ratio Analysis
Balance Sheet and Ratio Analysis AED million 2009 2010 2011 2012 June -2013 Current Assets 5,915 8,014 5,823 7,017 9,097 Fixed Assets and Investment properties 15,368 16,649 16,299 16,040 15,976 Other Assets 42,883 37,841 37,932 38,094 36,944 Total Assets 64,166 62,504 60,054 61,151 62,017 Interest
Slide 39: Land Bank in Key Markets (including associates)
Land Bank in Key Markets (including associates) Gross land Country area in millions sqm Kingdom of Saudi Arabia 171.7 India 43.0 Egypt 14.6 Jordan 0.6 Turkey 1.2 Lebanon 0.5 Syria 0.2 KEY INTERNATIONAL MARKET 231.8 Gross Floor Area to be developed in UAE* - 12.25 millions sqm + 11 million sqm of Dub
Slide 40: Strong and Influential Strategic Partners
Strong and Influential Strategic Partners Country Partner Background SAGIA Government authority Saudi Arabia Al Oula Leading real estate company in Saudi Arabia India One of India's largest real estate developers MGF with influential shareholders Haji Rafiq Principal of a large construction co. (Gig
Slide 41: Experienced & Highly Qualified Management Team
Experienced & Highly Qualified Management Team Board of Directors Chairman: Mohamed Ali Alabbar Vice Chairman: Hussain Al Qemzi Managing Director: Ahmad Al Matrooshi Low Ping Ayman Hamdy Group CEO Company Secretary & Executive Director Legal Amit Jain Robert Booth Frederick Durie Other Group CFO CEO
Slide 42: Group Structure
Group Structure EMAAR PROPERTIES PJSC EMAAR DUBAI HOTELS & EMAAR EMAAR MALLS HOSPITALITY Property RESORTS Development INTERNATIONAL INVESTMENTS 100% 100% Projects - 100% 100% Emrill Services MGF-India KSA - EEC Turner Int‘l ME Dubai Mall Giorgio Armani Nuran LLC 33.33% 48.86% 30.59% 50% 100% Hotels
Slide 44: Disclaimer
Disclaimer Emaar Properties PJSC, for themselves and for Emaar Group, give notice that: The particulars of this presentation do not constitute any part of an offer or a contract. Given that the presentation contains information based on forecasts and roll outs, all statements contained in this prese

Emaar Properties PJSC — Investor Presentation (September 2013) on 6ix

Emaar Properties (p.j.s.c) — Investor Presentation (September 2013)

Slide 1: Emaar Properties PJSC Corporate Presentation

Slide 2: Emaar Overview

Slide 3: EMAAR at a Glance

Slide 4: EMAAR's Strategy & Goals

Slide 5: EMAAR's Business Strategy – Mid Term

Slide 6: EMAAR Group H1 2013 Performance Highlights

Slide 7: H1-2013 Performance Highlights Cont'd

Slide 8: EMAAR Key Group Divisions

Slide 9: Strong Record of Execution

Slide 10: Investment Highlights

Slide 11: Shareholder's Value – NAV Computation

Slide 12: Shareholder's Value – NAV Computation

Slide 13: Evolution of Emaar Group Revenue

Slide 14: Fair Value of Development Properties

Slide 15: Fair Value of Investment Properties

Slide 16: Fair Value of Fixed Assets

Slide 17: Shareholders' Value

Slide 18: Regional Operations

Slide 19: Property Development: UAE

Slide 20: Dubai RE – Key Strengths

Slide 21: Regional Business Highlights

Slide 22: International Operations

Slide 23: Key International RE Markets–Unit Sales to Date

Slide 24: Key International Markets - Business Highlights

Slide 25: International RE – Key Strengths

Slide 26: Segments

Slide 27: Malls – Key Strengths

Slide 28: Malls – Key Strengths (Cont'd)

Slide 29: Dubai Mall Footfall Trend

Slide 30: At The Top Footfall Trend

Slide 31: Emaar Hospitality Group

Slide 32: Emaar Hospitality Group

Slide 33: Emaar Hospitality – Key Strengths

Slide 34: Emaar Hospitality – Key Strengths (Cont'd)

Slide 35: Financial Highlights

Slide 36: Financial Performance – AED millions

Slide 37: Balance Sheet and Ratio Analysis

Slide 38: Thank You

Slide 39: Land Bank in Key Markets (including associates)

Slide 40: Strong and Influential Strategic Partners

Slide 41: Experienced & Highly Qualified Management Team

Slide 42: Group Structure

Slide 43: Appendix

Slide 44: Disclaimer

Slide 45: Thank You