Al Dar Properties · ADX:ALDAR
Al Dar Properties — Aldar Properties PJSC — 11th Annual EFG Hermes One-on-One Conference 2015
31 slides from Al Dar Properties's conference presentation, Mar 4, 2015
Slide 1: 11th Annual EFG Hermes One-on-One Conference
Aldar Properties PJSC 11th Annual EFG Hermes One-on-One Conference 2-4 March 2015
Slide 2: Table of Contents
Table of Contents Aldar Financial Results Q4 and FY 2014 Aldar at a Glance Business Overview Financial Overview 1
Slide 3: Full Year Highlights - Operational
Full Year Highlights - Operational Summary of Operational Results ■ Significant delivery of units into the market - 7,000 residential units delivered to customers and our asset management portfolio during 2014 ■ First off-plan sales into the market for 4 years with Ansam and Hadeel ■ Opening of our
Slide 4: Full Year Highlights - Financial
Full Year Highlights - Financial Summary of Financial Results * Recommended subsequent to AGM approval 3
Slide 5: Clear strategy – delivering on our promises
Clear strategy – delivering on our promises ■ Execution of our strategy ■ Delivering a growth in our recurring revenue assets Maximize with the launch of Yas Mall and leasing of Gate and value al rayyana residential assets of our recurring ■ Further deleveraging and refinancing of the business reven
Slide 6: Development update
Development update ■ Opened up Abu Dhabi off-plan market with successful sales of Al Hadeel and Ansam Phase 1 ■ Development plan of ~7,300 units principally across our existing destinations ■ Yas Island ■ Al Raha Beach ■ Shams Al Reem Island ■ 2015 focus ■ Launch of new projects in line with develop
Slide 7: Financial Commentary
Financial Commentary ■ Q4 commentary ■ Net profit of AED718 million for the quarter, up 77% (Q4 2013: AED406 million), boosted by growth in profitability of recurring revenue assets and fair value gains on investment properties ■ Recurring revenues of AED701 milllion in Q4 2014, up 19% compared to Q
Slide 8: Profit and Loss
Profit and Loss Net profit up 41%; EPS of 7 fils per share
Slide 9: Segmental Performance
Segmental Performance 1,400 1,305 Segmental Revenue Performance 3,797 4,000 3,377 1,200 3,000 AED Millions AED Millions 1,000 898 2014FY 2013FY 800 589 2,000 600 504 505 400 1,000 203 172 224 172 200 119 34 32 0 0 Investment Properties Hotels Schools Operative Villages Leisure Construction Property
Slide 10: Balance Sheet
Balance Sheet Continued strengthening of our balance sheet As at 31 Dec As at 31 Dec AED millions Remarks 2014 2013 Property, plant and equipment 3,200 3,257 Depreciation charge, offset by impairment reversals Key movements include capex related to Yas Mall, transfer of leased Gate units from Invest
Slide 11: Debt strategy well on track
Debt strategy well on track ■ AED6.1 billion refinancing completed in 2014, supporting weighted average interest rate of debt falling to 2.7% as at 31 December 2014 from 5.9% as at 31 December 2013 ■ Moody’s and S&P upgrades to ‘investment grade’ in November and December respectively ■ Clear and def
Slide 12: Government transaction cash flows
Government transaction cash flows ALDAR Government Deals AED millions Total Date Particulars (AED in millions) 2015 2016 2017 Q4 2014 - 2017 December 2009 Sale of F1 Race Track 348 348 348 1,044 January 2011 Sale of Al Raha Beach Land and Yas Island Assets* - 950 - 950 December 2011 Sale of Central
Slide 13: Q4 and FY 2014 Operational Highlights
Q4 and FY 2014 Operational Highlights Development Projects Investment Properties Residential: • 1,975 units handed across The Gate and other key developments during 2014 Residential: • The Gate: 72 units handed over during Q4 2014. 169 units remaining to be handed over. 260 units • al rayanna and Th
Slide 14: Table of Contents
Table of Contents Aldar Financial Results Q4 and FY 2014 Aldar at a Glance Business Overview Financial Overview 13
Slide 15: Aldar at a Glance
Aldar at a Glance Overview of Aldar Ownership Overview Aldar Properties PJSC (“Aldar” or the “Group”), established in 2005, is the The Government of Abu Dhabi and its related entities are the Group’s leading listed property developer in Abu Dhabi (in terms of total assets and largest shareholders,
Slide 16: Corporate Governance
Corporate Governance Board of Directors The Board of Directors is responsible for providing strategic guidance for the Group and effective oversight of its management and operations H.E. Abubaker Seddiq Al Khoori – Chairman Picture • Executive Director at the office of the Vice Chairman (Executive C
Slide 17: Table of Contents
Table of Contents Aldar Financial Results Q3 2014 Aldar at a Glance Business Overview Financial Overview 16
Slide 18: Relationship with the Government of Abu Dhabi
Relationship with the Government of Abu Dhabi Strategic Relationship with the Government of Abu Dhabi History of Financial Government Interaction Aldar was founded in 2005 and has enjoyed a strong relationship with the Aldar has a long history of interaction with the Government of Abu Dhabi, Governm
Slide 19: Business Segments Snapshot
Business Segments Snapshot Aldar’s Business Overview Aldar’s business comprises three core activities and seven reporting segments that provide a diversity of income streams – the Group’s focus is on growing its recurring revenue base 1. Asset Management 2. Real Estate Development 3. Adjacent Busine
Slide 20: Overview of Aldar’s Operating Assets
Overview of Aldar’s Operating Assets Recurring Revenue Streams The Group’s income generating Operating Assets comprise residential, commercial and retail units as well as hotels, schools, operative villages and leisure facilities that generated in aggregate AED 2,249 mn in 2014 Revenue Split of Oper
Slide 21: Aldar’s Strong Track Record
Aldar’s Strong Track Record Aldar’s Proven Track Record Across the Real Estate Spectrum Aldar is the leading listed property development company in Abu Dhabi, having delivered a number of residential units, office & retail space as well as strategic projects (including infrastructure) for the Govern
Slide 22: Business Segments Snapshot
Business Segments Snapshot Aldar’s Business Overview Aldar’s business comprises three core activities and seven reporting segments that provide a diversity of income streams – the Group’s focus is on growing its recurring revenue base 1. Asset Management 2. Real Estate Development 3. Adjacent Busine
Slide 23: Overview of Aldar’s Operating Assets
Overview of Aldar’s Operating Assets Recurring Revenue Streams The Group’s income generating Operating Assets comprise residential, commercial and retail units as well as hotels, schools, operative villages and leisure facilities that generated in aggregate AED 2,249 mn in 2014 Revenue Split of Oper
Slide 24: Summary of Key Operating Assets
Summary of Key Operating Assets Overview of Future Operating Assets The Group has three key developments that are near completion with a considerable portion of these developments having been pre-sold or pre-let Yas Mall The Gate Towers al rayyana Yas Mall is a destination mall with a High rise deve
Slide 25: Summary of New Developments
Summary of New Developments Overview of Aldar’s New Developments In line with the Group’s business strategy of selective development, Aldar recently announced three new projects Al Hadeel Ansam (Phase 1) Nareel Island 233 units comprising a mix of studio, Residential cluster comprising 4 1-bed, 2-be
Slide 26: Overview of the Group’s Land Bank
Overview of the Group’s Land Bank Aldar’s Land Bank The Group’s extensive undeveloped land bank covers 77 mn sqm in Abu Dhabi – the majority of land was granted by the Government and 90% is classified as “investment zones” 1 which permits GCC nationals to purchase property – we provide an overview o
Slide 27: Table of Contents
Table of Contents Aldar Financial Results Q4 and FY 2014 Aldar at a Glance Business Overview Financial Overview
Slide 28: Income & Cash Generation
Income & Cash Generation Revenue Overview (AED mn) Revenue Breakdown Aldar Sorouh Aldar (combined entity) X Group Total Aldar expects the contribution of recurring revenue to increase 14,435 FY2012 FY2014 3,032 10,530 88% 66% 34% 3,788 6,551 12% 5,082 5,380 11,403 2,996 3,103 6,743 1,205 1,979 1,791
Slide 29: Balance Sheet Overview
Balance Sheet Overview Asset Breakdown (FY2014) Overview of Key Balance Sheet Items (FY2014) Development Work Investment in Progress Properties AED 8.8 bn AED 9.2 bn 7% 37% Others Cash Balance 3% 4.6 Property, Plant & Total Debt Trade & Other Equipment Receivables 8% Government 25% Cash and Bank 9.2
Slide 30: Leverage Overview
Leverage Overview Debt & Assets Overview (AED bn)1 Capitalization Overview Total Debt Total Assets Total Debt to Total Assets Total Equity (AED bn) Total Debt to Total Equity (x) 49.0% 2.9x 45.6% 1.6x 1.5x 33.7% 37.3% 31.3% 1.0x 0.8x 0.5x 23.9% 38.5 36.5 80.0 29.9 61.0 20.2 54.3 15.6 46.3 13.7 43.7
Slide 31: Capital Expenditure & Funding Strategy
Capital Expenditure & Funding Strategy Capital Commitments & Refinancing Capital Commitments (AED mn) Debt Maturity Profile (AED bn) 10 Debt Securities Bank Borrowings The below capital commitments are expected to be incurred over a five year period 9 7.6 8 7 Project under Developments 420 6 5 4.9 R
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