Xior Student Housing N.V. · EURONEXT:XIOR
Xior Student Housing — Q1 2023 Earnings Presentation
42 slides from Xior Student Housing's earnings presentation, 2023
Slide 1: Presentation Q1 2023 results
Presentation Q1 2023 results
Slide 2: Agenda
1. Highlights Q1 2023 & outlook 2. Activity report – Recap Q1 2023 • Track record • Main realisations Q1 2023 2. Operational update • Operational update • Integration 3. ESG update 4. Portfolio & Pipeline 5. Q1 2023 Results Q&A Appendix Financials Appendix Organisation 2
Slide 3: Strong Q1 2023 results with increased LfL rental growth
+5.6% Strong Q1 2023 results with increased LfL rental growth YoY LfL Increased LfL rental growth and stable valuations Epra earnings (group share) increase by 13% to €0.53/share (after IFRIC adj.) Consistent high occupancy (97.8%) Strong start of rental season for the upcoming academic year
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Slide 5: Track record
2007 2019 2022 Q1 2023 Founders enter the (BE) March 2019 2022 c. 1bn EUR investments Update student housing scene with Basecamp acquisition divestmentprogramme first asset Entry into Entry into GE, PL, DK, SE First phase of c. 60 MEUR Spain and Portugal realised Other acquisitions: Liège, Second ph
Slide 6: Main realisations Q1 2023
+ 4 additional countries Germany, Poland, Denmark, Sweden Malmö & Aarhus Development on track, to open Q3 2023 High quality PBSA assets Sustainable BREAAM & LEED certified building Termination of agreement of intent Aachen Bluegate • Intention to acquire Aachen Bluegate project terminated in mutual
Slide 7: Continuous increase of lettable units
Continuous increase of lettable units 30,000 26,141 City Lofts, NL St Pieterspl, BE +c. 2000 Boschdijk, NL (part of 240 units) (183 units) (50 units) 25,000 20,000 20,000 18,002 18,208 15,000 13,755 11,046 10,000 7,932 Hertz Hasselt, BE (161 units) Zaragoza, ES (c. 150/388 units) 5,505 5,000 3,678 2
Slide 8: April 2023 highlights
April 2023: April 2023: April 2023: Publication Annual Report Announcement Phase 2 of Submission CO2 reduction & ESG report divestment programme targets to SBTi 8
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Slide 10: Unique and resilient business model
Unique and resilient business model... Total Total Total vs. target target target markets markets markets Total 3.3x more number of 2.9m 1.2m 0.4m 0.7m 5.2m 1.6m 1.2m 0.8m 0.5m 0.4m 4.5m 8.5m 2.5m students students PBSA supply Significant 11% 10% 22% 20% ~12% 6% 10% 26% 27% 6% ~13% ~13% 40% rate1 un
Slide 11: 2022-2023 academic year: strong demand fuels rentals and rent prices
2022-2023 Academic year: Strong demand fuels rentals and rent prices Proof of resilient business model, high occupancy & accelerated LfL Search for rooms started earlier with high retention Business model with resilient pricing power Inflation protection in all 8 countries: short term contract
Slide 12: Governance, alignment of teams, integration and digital transformation
GOVERNANCE INTEGRATION AND New governance structure driving STANDARDISATION efficiency in a larger & wider Identifying key capabilities and best geographical spread business AND ways of working to build and integrate making it possible to accelerate people, system and tools into the internal value c
Slide 13: Transformation & Integration
Transformation & Integration Organisational transformation Netherlands Fully executed - decentralisation to 4 regions: North – Randstad – Central – South Start phase 2 digital transformation with Yardi as partner A US based SaaS provider of (i) PMS, (ii) Booking and lease engine, (iii) Student h
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Slide 15: Submission of CO2 reduction targets to SBTi; new Sustainable Finance Framework
CO2 reduction plan submitted to SBTi Submission of CO2 This plan maps Xior’s road to net zero carbon by 2050 reduction targets to SBTi By 2030 Xior will have reduced her CO2 footprint by 42% (compared to 2020) Targets are being revised by SBTi Updated Sustainable Finance Framework now incl
Slide 16: Planet, People, Governance
Sustainable buildings & Energy transition Increase external certified assets: BREAAM in use (Woudest.), Zaragoza, Lyngby PLANET Energy monitoring started up in Q1 2023 in NL Divestment of least sustainable assets ongoing Xior Solar: feasibility study to increase installed solar power HR stra
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Slide 18: Portfolio optimisation and pipeline review
Portfolio optimisation Pipeline review Divestment programme of least efficient, least sustainable or non- Strategic review of projects to be initiated/postponed core assets continues Reported pipeline split into First phase of c. 60 MEUR realised Active pipeline: construction started or already co
Slide 19: Total cost to come of c. €142m to execute the active pipeline
Estimated Investment Estimated # of units Project Permit Expected delivery Rental income value (c. €m)1 (beds) BELGIUM Felix – Antwerp Est. 17.4 2024 203 No Campus 3 Eiken – Antwerp Est. 33.8 2025 387 No St. Pietersplein – Ghent Est. 6.0 2023 50 No Hertz - Hasselt Est. 17.5 2023 161 No THE N
Slide 20: Landbank pipeline
Estimated Estimated # of units Project Investment value Permit Rental income (beds) (c. €m)1 BELGIUM Roosevelt – Antwerp Est. 18.0 Exp. 2023 TBD (> 51) Partially Bagatten – Ghent Est. 4.1 Exp. 2023 50 No Dansaert – Brussels Est. 6.0 Exp. 2023 51 No Place Neujean - Liège TBD TBD TBD Yes Trasenster -
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Slide 22: Q1 2023 key results and guidance
Guidance for 2023 Strong pricing power Unique business model EPS € 2.20 (+6.3%) DPS € 1.671 (+6.0%) 97.8% high occupancy rate LFL: 5.6% Q1 2023 (YoY) Net rental result +37% (€34,096k) (Lfl: 3.13% FY’22) Succesful investment strategy Divestment & optimization € 60 million sales realized Fair value: c
Slide 23: Well diversified credit profile with 19 different lenders
well diversified credit profile with 19 different lenders… Financing 2023 = fully covered 300,000,000 Financing 2024 = negotiations ongoing - strong relationships with banks who indicate clear interest to extend and increase financing vdk Sparkasse Leipzig 250,000,000 Pricoa Pensio B Nagelmacker
Slide 24: Focus on bringing leverage down & maintaining shareholder value
Focus on bringing leverage down & maintaining SH value • Loan-to-value of 52.64% (vs. 51.39% per 31/12/2022) • Total credit lines of €1,704 m (€92 m undrawn facilities) • Debt maturity: 4.79 years (vs. 5.02 at 31/12/2022) • Divestment program accelerated & further strategic options • Maturing debt 2
Slide 25: Focus on efficiency gain and cost control
c. 9.1% of annualized total rental income: LT leased via rental & guarantee contracts Extra c. 2.7% of annualized total rental income via partnerships with universities Operational metrics 03/2023 12/2022 12/2021 12/2020 12/2019 12/2018 Operational margin % (property operating result/net 80.25%
Slide 26: EPRA NAV and NTA per share; gross valuation yields
in EUR 31/03/2023 31/12/2022 31/12/2021 31/12/2020 31/12/2019 31/12/2018 31/12/2017 EPRA NAV per share 43.03 43.01 38.63 34.87 35.96 31.45 28.14 EPRA NTA per share 42.97 42.96 37.92 33.99 - - - Gross valuation yields 31/12/2022 31/12/2021 31/12/2020 31/12/2019 31/12/2018 31/12/2017 31/12/2016 31/12/
Slide 27: Guidance earnings per share: 2023 guidance confirmed
Guidance earnings per share (€) +6.3% +15% € 1,20 € 1,15 2016 2017 2018 2019 2020 2021 2022 2023E EPRA results per share Gross dividend per share 2023 guidance confirmed EPS 2023: € 2.20 (+6.3%) DPS 20232: € 1.76 (+6%) 1. EPS – group share. 2. Subject to approval AGM 27 27
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Slide 30: Portfolio by country and city
Belgium – 8 cities 6,407 units Germany – 2 cities 648 units Antwerp Leuven Potsdam Brussels Liège/Seraing 22% Leipzig 2% Ghent Namur Hasselt Mechelen Denmark – 3 cities 1,786 units Lyngby The Netherlands – 17 cities 8,993 units Copenhagen 12% Amsterdam Leeuwarden Vaals Aarhus Amstelveen Leiden Venlo
Slide 31: Consolidated results
in KEUR 31/03/2023 31/03/2022 Net rental result 34,096 24,817 +37% Real estate result 33,693 23,261 Operating result before result on the portfolio 19,702 14,424 Financial result (excl. variations in the fair value of financial assets and liabilities) -4,490 -3,316 EPRA earnings 14,482 10,517 EPRA e
Slide 32: Equity, fair value, LTV and per share data
In KEUR 31/03/2023 31/12/2022 Equity 1,478,798 1,486,461 Equity – group share 1,478,483 1,486,268 Fair value of the real estate property1 3,062,367 3,026,885 Loan to Value (LTV) 52.64% 51.39% Debt ratio (Act on Regulated Real Estate Companies)2 52.85% 52.02% in EUR 31/03/2023 31/03/2022 Number of sh
Slide 33: University contracts: rental contracts
University City Location #units End date RENTAL CONTRACT Saxion Hogescholen Enschede Ariënsplein 113 31/07/2026 Saxion Hogescholen Enschede Ariënsplein 1 (educational facility), 1 31/08/2027 Saxion Hogescholen Enschede Ariënsplein 1 (educational facility) 28/02/2029 Saxion Hogescholen Enschede Ariën
Slide 34: University guarantee contracts and partnerships
University City Location #Units End date GUARANTEE CONTRACT Vrije Universiteit Amsterdam Naritaweg 10 31/07/2023 Hogeschool Zuyd Maastricht Vijverdalseweg 40 31/07/2023 Hogeschool Zuyd Maastricht Annadal 18 31/07/2023 Rotterdam School of Rotterdam Woudestein 21 31/12/2023 Management (RSM) Hogeschool
Slide 35: Te = rae
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Slide 36: Board and management
WILFRIED NEVEN CHRISTIAN TEUNISSEN FREDERIK SNAUWAERT Chairman of the Board Executive director & CEO Executive director & CFO Vice-CEO and Chief Customer From 1997 until 2008 mainly active Previously active as a senior auditor Experience Officer at Ethias in the insurance industry at at PwC in finan
Slide 37: Shareholder structure
Free Float Aloxe NV STH2 E2H3 75.% 14.13% 7.06% 2.89% Xior Student Housing NV 1. As per 25 April 2023. 2. ST Holdings Sàrl, a limited liability company incorporated under the laws of the Grand Duchy of Luxembourg and fully owned subsidiary of ESHF I. 3. ESHF 2 Holdings Sàrl, a limited liability comp
Slide 38: Strengths
Student Housing with the factor Strenghts Pure player in student housing Defensive & solid asset class Pricing power Long term owner & operator Diversified continental BE-REIT Full value chain in house Sustainable growth strategy Young portfolio Focus on earnings per share (EPS) Cooperation with uni
Slide 39: Market drivers
Market drivers • Rise in international students • Brexit & affordable education on the continent Existing shortage • International mobility Professionalisation of the market • Increased access to higher education Further consolidation • Increase in ETP’s (English Taught Programs) More regula
Slide 40: Xior Student Housing (Public RREC) structure
XIOR STUDENT HOUSING (Public RREC) Limited liability company (“naamloze vennootschap”) Registered office: Frankrijklei 64-68, 2000 Antwerp KBO 0547.972.794 (RPR Antwerp, Antwerp Department) Belgian Public REIT (BE-REIT) STRUCTURE Aloxe NV, the holding company held by the CEO (82%) and CFO
Slide 41: Disclaimer
This presentation has been prepared by the management of XIOR STUDENT HOUSING NV (the "Company") and the Company assumes responsibility for the information contained in this presentation. It does not constitute or form part of, and should not be construed as, an offer, solicitation or invitation to
Slide 42: Xior Student Housing NV
Xior Student Housing NV +32 3 257 04 89 Frankrijklei 64-68 2000 Antwerp Belgium www.xior.eu [email protected] Follow the #xiorfamily 42