Megaworld Corp. · PSE:MEG
Megaworld — FY2021 Earnings Presentation
36 slides from Megaworld's earnings presentation, Mar 9, 2022
Slide 1: Full Year 2021 Results Analyst Presentation
FULL YEAR 2021 RESULTS ANALYST PRESENTATION (09 MARCH 2022)
Slide 2: Performance Update
PERFORMANCE UPDATE QUARTERLY ANNUAL In PHP Billions Remarks 3Q21 4Q21 %Chg 4Q20 %Chg FY21 FY20 %Chg REVENUES 14.5 13.9 -4% 10.1 37% 50.8 43.5 17% Improved performance due to lower restrictions COSTS & EXPENSES 11.2 8.1 -28% 7.6 6% 36.6 33.0 11% FX Loss – P1.3bn GROSS PROFIT 4.4 3.6 -19% 2.6 38% 14.3
Slide 3: Revenue Breakdown
REVENUE BREAKDOWN P50.8 BILLION REAL ESTATE SALES (↑ 25% YoY) TOTAL REVENUES -Improved construction activity P31.1bn REAL ESTATE SALES OFFICE RENTALS (↑6% YoY) -Stable occupancy rate at 90% P11.1bn OFFICE RENTALS P4.4bn MALL RENTALS OTHER INCOME (↓ 10% YoY) -Increase in foot traffic as quarantine re
Slide 4: Strong Balance Sheet
STRONG BALANCE SHEET P93.6 BILLION GROSS DEBT Floating USD 37% 37% Bond 45% TYPE OF INTEREST CURRENCY Loans DEBT 55% Fixed RATE PHP 63% 63% 22 % P49.8B P38.2B NET DEBT /EQUITY NET DEBT CAPEX SPENDING 4
Slide 5: Township Update
TOWNSHIP UPDATE Commercial Lots 85 HECTARES P98bn 23% Open Space 40% TOTAL AREA 15-20 YR CAPEX Mixed-use Development 37% 5
Slide 6: Township Update
TOWNSHIP UPDATE 462 HECTARES TOTAL AREA P40bn 10-15 YR CAPEX Commercial Lots 12% Open Space 40% Mixed-use Development 48% 6
Slide 7: Real Estate Sales, Reservation Sales, Project Launches
P31bn REAL ESTATE SALES (25%↑ YoY) P80bn RESERVATION SALES (vs P70bn Target) P28bn PROJECT LAUNCHES (vs P17.8bn Target) 7
Slide 8: Real Estate Sales
REAL ESTATE SALES St. Mark Residences McKinley Hill P31.1 BILLION REAL ESTATE SALES By Classification 80% 11% 4% 5% RESIDENTIAL RESIDENTIAL COMMERCIAL CONDOTELS UNITS LOTS LOTS By Location Taguig City 5.9 105% Metro Manila (ex- 14.0 2% Taguig) Luzon (ex-MM) 5.9 46% Visayas-Mindanao 5.3 58% 8
Slide 9: Reservation Sales
RESERVATION SALES P80.0 BILLION RESERVATION SALES 68% VERTICAL DEVELOPMENT 87% LOCAL BUYERS 56% METRO MANILA PROJECTS 9
Slide 10: Project Launches
PROJECT LAUNCHES P1.4 BILLION PROJECT VALUE P172,000 CURRENT SELLING PRICE PER SQM 87% PERCENTAGE SOLD JAN 2021 LAUNCH DATE 10
Slide 11: Project Launches
PROJECT LAUNCHES P590 MILLION PROJECT VALUE P22,000 CURRENT SELLING PRICE PER SQM 100% PERCENTAGE SOLD JAN 2021 LAUNCH DATE 11
Slide 12: Project Launches
PROJECT LAUNCHES P2.6 BILLION PROJECT VALUE P68,000 (↑ 5%) CURRENT SELLING PRICE PER SQM 65% PERCENTAGE SOLD MAR 2021 LAUNCH DATE 12
Slide 13: Project Launches
PROJECT LAUNCHES P2.3 BILLION PROJECT VALUE P33,000 CURRENT SELLING PRICE PER SQM 89% PERCENTAGE SOLD MAY 2021 LAUNCH DATE 13
Slide 14: Project Launches
PROJECT LAUNCHES Commercial Lots (Rodeo Drive) P580 MILLION PROJECT VALUE P190,000 (↑6%) CURRENT SELLING PRICE PER SQM 100% PERCENTAGE SOLD AUG 2021 LAUNCH DATE 14
Slide 15: Project Launches
PROJECT LAUNCHES P670 MILLION EXPANSION PROJECT VALUE P80,000 CURRENT SELLING PRICE PER SQM 97% PERCENTAGE SOLD AUG 2021 LAUNCH DATE 15
Slide 16: Project Launches
PROJECT LAUNCHES TOWER D P8.1 BILLION PROJECT VALUE P290,000 CURRENT SELLING PRICE PER SQM 38% PERCENTAGE SOLD SEP 2021 LAUNCH DATE 16
Slide 17: Project Launches
PROJECT LAUNCHES P2.2 BILLION PROJECT VALUE P121,000 CURRENT SELLING PRICE PER SQM 76% PERCENTAGE SOLD NOV 2021 LAUNCH DATE Northwin Main Street Commercial Lots 17
Slide 18: Project Launches
PROJECT LAUNCHES Northwin Main Street P4.0 BILLION Shophouse Lots PROJECT VALUE P107,000 CURRENT SELLING PRICE PER SQM 33% PERCENTAGE SOLD NOV 2021 LAUNCH DATE 18
Slide 19: Project Launches
PROJECT LAUNCHES P1.7 BILLION Porto Hotel District PROJECT VALUE P53,000 CURRENT SELLING PRICE PER SQM 12% PERCENTAGE SOLD DEC 2021 LAUNCH DATE 19
Slide 20: Project Launches
PROJECT LAUNCHES Mercato P3.3 BILLION Shophouse District PROJECT VALUE P42,000 CURRENT SELLING PRICE PER SQM 85% PERCENTAGE SOLD DEC 2021 LAUNCH DATE 20
Slide 21: Office Rentals
P11.1bn OFFICE RENTALS 1.4m OFFICE GLA (sqm) 90% OCCUPANCY RATE 21
Slide 22: Office Portfolio
OFFICE PORTFOLIO New Leases (FY 2021) and Occupancy Rate 236K sqm total transactions 108K sqm new leases 24% of total new leases in the market 67% of new leases are from expansion 22 Source: Brokers’ Report for 4Q2021
Slide 23: Office Pipeline: No. 1 Upper East Avenue
OFFICE PIPELINE NO. 1 UPPER EAST AVENUE THE UPPER EAST│ BACOLOD CITY 2022 COMPLETION YEAR 8,600 SQM GROSS LEASABLE AREA 23
Slide 24: Office Pipeline: International Finance Center
OFFICE PIPELINE INTERNATIONAL FINANCE CENTER UPTOWN BONIFACIO│ TAGUIG CITY 2024 COMPLETION YEAR 69,000 SQM GROSS LEASABLE AREA 28% PRE-LEASING COMMITMENT 24
Slide 25: Office Pipeline: Enterprise 1 & 2
OFFICE PIPELINE ENTERPRISE 1 & 2 ILOILO BUSINESS PARK│ ILOILO CITY 2024-2025 COMPLETION YEAR 66,000 SQM GROSS LEASABLE AREA 25
Slide 26: Offices Under Planning Phase
OFFICES UNDER PLANNING PHASE 26
Slide 27: Mall Rentals
P2.3bn MALL RENTALS 462k MALL GLA (sqm) 87% OCCUPANCY RATE 27
Slide 28: Improving Retail Performance
IMPROVING RETAIL PERFORMANCE 706 649 307 335 58% AVERAGE DAILY FOOT TRAFFIC (vs PRE-PANDEMIC) 14% AVERAGE DAILY SALES (vs PRE-PANDEMIC) 2019 2020 2021 2022 Average Daily Sales Average Daily Foot Traffic Average Spend per Person Note: Covers historical data for 2019 to 2022 (Jan-Feb only) 28
Slide 29: Government Off-Site Offices
GOVERNMENT OFF-SITE OFFICES 29
Slide 30: Government Off-Site Offices
GOVERNMENT OFF-SITE OFFICES 30
Slide 31: New Store Opening
NEW STORE OPENING Nik] MEGAWORLD L LANDERS SUPERSTORE =| T PAU AZ ZO ere ee
Slide 32: Hotel Revenues
P1.9bn HOTEL REVENUES 4,163 HOTEL ROOM KEYS 84% OCCUPANCY RATE (METRO MANILA) 32
Slide 33: Improving Hotel Margins
IMPROVING HOTEL MARGINS Hotel Revenues (Pm) vs EBITDA Margin 21% 18% 13% 15% 7% 8% -13% -18% 652 551 552 367 336 389 314 250 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 Hotel Revenues Hotel EBITDA Margin 33
Slide 34: Hotels Pipeline
HOTELS PIPELINE 551 554 1,530 ROOMS ROOMS ROOMS BELMONT HOTEL CHANCELLOR HOTEL GRAND WESTSIDE MACTAN BORACAY NEWCOAST HOTEL 2022 2022 2023 34
Slide 35: Key Takeaways
KEY TAKEAWAYS REAL ESTATE • The Group expects the continued improvement of real estate revenues on the back of the increase in construction activities. OFFICE • Office rentals breached P11bn for the first time on the back of continued implementation of rent escalation. MALLS • Lower restrictions res
Slide 36: Full Year 2021 Results Analyst Presentation
FULL YEAR 2021 RESULTS ANALYST PRESENTATION (09 MARCH 2022)