IRSA Inversiones y Representaciones SA · BCBA:IRSA.CI
IRSA Inversiones y Representaciones SA — Investor Presentation (August 2024)
26 slides from IRSA Inversiones y Representaciones SA's investor presentation, August 2024
Slide 1: Institutional Presentation FY 2022
INSTITUTIONAL PRESENTATION FY 2022
Slide 2: Leading Real Estate Company in Argentina
LEADING REAL ESTATE COMPANY IN ARGENTINA Shopping malls 15 335,000 sqm ✓ 30 years acquiring, RENTAL developing and operating real SEGMENT 6 Office buildings 84,000 sqm estate Hotels ✓ Rental portfolio of approx. 500,000 sqm of GLA 3 79,000 sqm across Argentina ✓ 25 years listed on the A simplified v
Slide 3: Our Strategy
OUR STRATEGY OPERATING PROFITABILITY INNOVATION AND GROWTH SUSTAINABILITY Our premium locations and our Pioneers in innovative real estate We are part of the communities where leadership position in Argentina, developments in Argentina due to their our business units operate. We plan for together wi
Slide 4: Premium Portfolio
PREMIUM PORTFOLIO BEST LOCATIONS BA City SHOPPING OFFICE Dot Building MALLS BUILDINGS Philips Argentina Zetta BA City 200 Della Paolera Suipacha Intercontinental High income Area Mid Income Area Low Income Area 67% Expanding Corporate North Area Business Center BA Malls AAA Location market share HOT
Slide 5: Best Quality Assets
BEST QUALITY ASSETS 2022 Llao Llao Hotel (Bariloche - Patagonia) 2022 (under process) 200 Della Paolera (BA City) Zetta Building (BA City) 200 Della Paolera (BA City) 5
Slide 6: Best Tenants
BEST TENANTS SHOPPING MALLS OFFICE BUILDINGS DIVERSE, ATOMIZED AND NON-DEPENDANT ON ANCOR STORES PREMIUM, MOSTLY INTERNATIONAL GROWING COMPANIES Services Others Others Oil & Gas 4% 13% Oil & Gas 18% Bank Bank 5% Services 4% Electro 5% 7% 1% Tech/e-commerce 4% Electro Tech/e-commerce Health Health 61
Slide 7: Resilient Revenue Model
RESILIENT REVENUE MODEL ARS Variable SHOPPING MALLS Rental revenues 3-year ARS LINKED 74% average term Base Rent 50% Fixed TO The company collects the highest between a % of tenant monthly sales and a minimum rent (base ARS based (inflation linked) Base Rent rent) Fixed I N F L AT I O N Other revenu
Slide 8: Shopping Malls Recovery Since COVID-19
SHOPPING MALLS RECOVERY SINCE COVID-19 SAME SHOPPING MALLS SALES IN REAL TERMS OCCUPANCY (ARS MM – Information compared with pre-pandemic figures) (Information compared with pre-pandemic figures) +9.5% -1.6pp Mainly explained 254,631 by big vacant 232,601 surfaces 94.7% 93.1% 89.9% 93.1% 172,316 124
Slide 9: Office Performance Since COVID-19
OFFICE PERFORMANCE SINCE COVID-19 OCCUPANCY BY CLASS 12M REVENUES EVOLUTION -7.5pp (USD MM) A & A+ 93.0% 85.5% 80.1% 3.1 2.6 2.8 0.1 B 52.4% 48.5% Impact of Suipacha building 35.5% (empty) IVQ 20 IVQ 21 IVQ 22 23.5 20.3 RENT PRICE/sqm -7.9% (USD) 26.6 25.7 24.5 FY 21 Sold sqm New sqm Vacancy Rent pr
Slide 10: Recent Office Buildings Sales
RECENT OFFICE BUILDINGS SALES Bouchard 710 12 Floors 11 Floors* 200 Della Paolera July 2020 June 2020, June & Oct. 2021, 15,014 GLA sqm 13,147 GLA sqm March 2022 87.2 USD MM 110.1 USD MM 5,800 USD/sqm 8,370 USD/sqm ~16% USD IRR ~18,180 remaining GLA TOTAL *Does not include 4 floors sold to Globant i
Slide 11: Office Buildings – Active Portfolio Management
OFFICE BUILDINGS – ACTIVE PORTFOLIO MANAGEMENT CAPITAL CONTROLS CAPITAL CONTROLS Intercontinental Della Paolera Boston 200 Della Paolera 261 Tower 5000 5000 200 Della Paolera Acquisitions 4900 4200 Sales A+ Offices prices Maipú 3800 República Bouchard 710 USD/sqm Rulero Intercontinental Boston Tower
Slide 12: Costa Urbana Project Approval
COSTA URBANA PROJECT APPROVAL December 2021 70 ~900,000 Total Hectares Buildable sqm 70% Mixed-uses OBELISC For public uses Potential 30% 15 – 20 years NATIONAL PUERTO To develop Project GOVERNMENT MADERO CONTRIBUTIONS TO THE CITY: ▪ 50.8 hectares for public use (71% of the total area of the propert
Slide 13: Preliminary render for illustrative purposes
13 Preliminary render for illustrative purposes 13
Slide 14: Properties for Mixed Use Developments
Caballito (BA city) PROPERTIES FOR MIXED U S E D E V E LO P M E N T S San Martin (BA province) 16.0 Polo Dot (BA city) 18 Total surface (mm sqm) # Land Reserves 6.7 Buildable surface (mm sqm) Capacity to almost double current rental portfolio Malls expansions (BA City) Montevideo (Uruguay) La Plata
Slide 15: ESG Progress During FY2022
ESG PROGRESS DURING FY2022 200 Della Paolera E S Focus on education, health & G Merger between IRSA and IRCP Under LEED certification process gender diversity • Simplifies corporate structure +60% LEED Office portfolio 40 Group Social Actions • Increases Company’s float • Brings synergies and cost e
Slide 16: Financials
FINANCIALS niplalsirto
Slide 17: Rental Assets Valuation
RENTAL ASSETS VALUATION SHOPPING MALLS EVOLUTION OFFICES EVOLUTION (USD MILLION – OFFICIAL FX) (USD MILLION – BLUE CHIP SWAP) 807 720 669 580 532 459 421 279 FY19 FY 20 FY 21 FY 22 FY19 FY 20 FY 21 FY 22 SHOPPING MALLS - SQM EVOLUTION OFFICES – SQM EVOLUTION (USD/SQM) (USD/SQM) 6.401 6.648 5.757 OFF
Slide 18: Net Asset Value
NET ASSET VALUE 1 USD MILLION (AT OFFICIAL FX) LTV 13% 77 111 321 COSTA URBANA 713 1.052 33 2.466 2.144 495 698 2 Shopping Malls Offices Hotels Land reserves & Prop. Banco Hipotecario JV, Investees & Others Gross Asset Value Net Debt Net Asset Value Under development 1- Assets and liabilities adjust
Slide 19: Rental EBITDA Post COVID Recovery
RENTAL EBITDA POST COVID RECOVERY USD MILLION 200 85 Sales & 162 Developments + Others 2 19 131 138.5 Shopping Malls 12 94.5 115 Offices 26 95 8 18 9 Hotels 141 28 93 44 89 58 25 19 FY18 FY19 FY20 FY21 FY22 COVID-19 19
Slide 20: Financial Management Since 2020
FINANCIAL MANAGEMENT SINCE 2020 USD MILLION CAPITAL & DEBT ISSUANCES 940 ASSETS SALES USD MM 275.7 BOSTON TOWER BOUCHARD 710 REPÚBLICA BUILDING 122.7 171.2 370.2 SERIES XIV (IRCP 23 NOTES EXCHANGE) 200 DELLA PAOLERA FY 22 & SUBSEQUENT USD MM (12 FLOORS) ASSET SALES 210.9 DEBT ISSUANCES 229.3 TOTAL 4
Slide 21: Deleverage Process Since 2020
DELEVERAGE PROCESS SINCE 2020 NET DEBT EVOLUTION (USD MILLION) -57% 755 640 566 574 345 306 231 273 MERGED COMPANY 323 410 335 334 301 FY18 FY19 FY20 FY21 FY22 CONSOLIDATED NET DEBT/RENTAL EBITDA 3.5x 4.9x 8.0x 13.0x 2,8x NET DEBT / TOTAL 1,6x EBITDA COVID-19 21
Slide 22: Subsequent Event: IRCP23 Notes Exchange Result
SUBSEQUENT EVENT: IRCP23 NOTES EXCHANGE RESULT USD 360mm - 8.75% - March 2023 New issuance - Series XIV 360 - Amount: USD 171.2 mm - Rate: 8.75% - Maturity: 17.5% from 2024 to 121.0 2027 & 30% 2028 (33.6%) 239 Series XIV Option B 93.6 +2.8 premium (39.2%) (26.0%) 66.38% 73.7 Series XIV (50.7%) accep
Slide 23: Debt Amortization Schedule
DEBT AMORTIZATION SCHEDULE* PRE-EXCHANGE OFFER AFTER EXCHANGE (JUNE 30, 2022 - USD MILLION) (AUGUST 19, 2022 - USD MILLION) GROSS DEBT 453.7 473.2 CASH & EQUIVALENTS 152.5 NET DEBT 301.2 350.7 198.4 Cash: 111.8 83.8 190.0 27.3 152.5 46.8 122.5 42,1 27.3 27.3 14.8 84.5 27.3 8,5 FY 23 FY 24 FY 25 FY 2
Slide 24: Shares Repurchase Plan
SHARES REPURCHASE PLAN ✓ Maximum amount to invest up to ARS 1,000 million ✓ Payable Price: up to ARS 140 per share and up to USD 7 per ADS ✓ Period: from March until July 2022 (120 days) extended to November 2022 (+120 days) ✓ Number of shares repurchased as of today: 8,495,623 ordinary shares (87.7
Slide 25: Group Capital Markets Track Record
GROUP CAPITAL MARKETS TRACK RECORD NUMBER OF CAPITAL AMOUNT ISSUED GROUP LISTED VEHICLES NON-DEFAULT HISTORY MARKETS TRANSACTIONS +200 +USD 18bn 4 New York, Buenos Aires, & Sao Paulo Even in the worst Argentinean crisis (2001) & COVID-19 IRSA IPO APSA IPO (now IRCP) CRESUD FOLLOW LIABILITY LOCAL MAR
Slide 26: Contact Us
CONTACT US OUR ADRESS OUR EMAIL OUR PHONE OUR WEBSITE TWITTER Della Paolera 261 9th floor [email protected] (+54) 911 4323-7449 www.irsa.com.ar @IRSAIR 26
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