Dar Al Arkan Real Estate Development Co. · TADAWUL:4300
Dar Al Arkan Real Estate Development — Q2 2024 Earnings Presentation
34 slides from Dar Al Arkan Real Estate Development's earnings presentation, 2024
Slide 1: Dar Al Arkan
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Slide 2: Investor Presentation Q2 2024
Investor Presentation Q2 2024 2
Slide 3: Table of Contents
Table of Contents Page No. 1. Macro Economic Overview & KSA Real Estate Market 4 2. Key Business Indicators Overview 9 3. Financial Performance Overview 12 4. Overview of Assets Portfolio 16 5. International Projects Developed by Dar Global PLC 21 6. Appendix 27 3
Slide 4: Macro Economic Overview & KSA Real Estate Market
MACRO ECONOMIC OVERVIEW 1| & KSA REAL ESTATE MARKET 4
Slide 5: Growth rebounded in H1-2024 after a slower phase in 2023
Macroeconomic Overview Growth rebounded in H1-2024 after a slower phase in 2023 Budget deficit in Q1 2024 lower than Average Brent Oil Prices GDP fall moderated in Q1 2024 anticipated 110 101 85 10.0% 5% 90 82 71 3% 2.6% 64 8.0% 8.7% 70 1% 50 42 6.0% 5.7% 5.1% -1%2020 2021 2022 2023 2024P 2025P 2026
Slide 6: KSA Real Estate Sector Overview
KSA Real Estate Sector Overview The strong long-term fundamentals of the market remain intact Positive Demographic Trends Widening Supply Deficit Government Support KSA Total Population (Age/Gender) Male Female 3 Millions 3 2 2 1 1 0 65-69 70-74 75-79 80+ 10 - 14 15 - 19 20 - 24 25 - 29 30 - 34 35 -
Slide 7: Residential & Commercial deals rose 17% (YoY), an increase of SAR 7 billion
KSA Real Estate Sector Overview Residential & Commercial deals rose 17% (YoY), an increase of SAR 7 billion 44 450 410 380 360 321 140.1 122.5 270 110.1 249 209 207 194 189 99.1 166 159 180 71.1 77.5 131 38.9 60.1 75.3 257.2 270.0 43.7 210.7 38.0 90 149.8 137.6 126.9 115.2 128.4 129.8 118.5 93.4 0 2
Slide 8: The Real Estate Price Index increased immensely for QoQ and YoY
KSA Real Estate Sector Overview The Real Estate Price Index increased immensely for QoQ and YoY KSA Real Estate Price Index (YoY) KSA Real Estate Price Index (QoQ) 2.1% 2.0% 1.7% 1.8% 1.1% 1.5% 1.0% 0.6% 1.2% 0.7% 0.3% 0.3% 0.3% 0.8% 0.2% 0.1% 0.9% 0.6% -0.1% 0.0% 0.6% 0.0% 0.2% 0.3% 0.0% -1.0% Q2-2
Slide 9: Key Business Indicators Overview
KEY BUSINESS INDICATORS 2| OVERVIEW 9
Slide 10: Q2 2024 – Key Business Indicators
Q2 2024 – Key Business Indicators Investment In Revenues (LTM) -8.6% EBITDA (LTM) 30.4% Development Properties (LTM) -24.2% SAR 2,943 mn SAR 1,575 mn SAR 3,054 mn (Q2 2023 : SAR 3,219 mn) (Q2 2023 : SAR 1,208 mn) (Q2 2023 : SAR 4,031 mn) Gross Debt/ Cash And Bank Book Value Per Share Capitalization
Slide 11: Dar Al Arkan Real Estate Assets
Dar Al Arkan Real Estate Assets ▪ DAAR’s Real Estate assets portfolio at cost is SAR 22.0 bn. ▪ DAAR has a strong pipeline of projects across the Kingdom totaling 13.0 mn sqm. Real Estate Properties Break up - SAR bn Total Land Area – SQM mn 57% 33% Investments in Project Lands & Lands, 16.0 Propert
Slide 12: Financial Performance Overview
FINANCIAL PERFORMANCE 3| OVERVIEW 12
Slide 13: Financial Performance – Q2 2024 Profitability
Financial Performance – Q2 2024 Profitability 1,100 Quarterly Revenues (SAR mn) 600 Gross Profit (SAR mn) & Margin (%) 50% 962 1,000 41% 42% 41% 45% 886 865 39% 40% 900 53 500 39% 826 1 38% 40% 40% 800 33 764 35 743 31 716 34 384 35% 700 30 32 400 345 356 35 316 0 15 30% 600 304 301 27 24 285 26 500
Slide 14: Financial Performance – Q2 2024 Cash Flow
Financial Performance – Q2 2024 Cash Flow Cash Flow – Q2 2024 (SAR mn) Income / Sources of Cash Uses of Cash / Expenses 14,000 12,000 10,000 8,000 250 77 - 297 883 6,000 962 239 1 4,000 5,659 5,527 2,000 - Starting Cash Revenue New Debt Working Capital Acquisition of a Debt Opex Investment in Mainte
Slide 15: Financial Performance – Q2 2024 Debt
Financial Performance – Q2 2024 Debt 12,000 Gross Debt Vs Net Debt (SAR mn) 40% Debt* / Capitalization 10,650 35% 36% 34% 10,742 10,840 10,290 10,163 10,697 34% 33% 34% 10,000 29% 30% 30% 8,378 8,367 30% 7,823 8,000 5,929 5,659 5,527 6,608 5,710 5,450 3,866 4,168 6,000 20% 4,636 4,000 16% 16% 16% 16
Slide 16: Overview of Assets Portfolio
OVERVIEW OF ASSETS 4| PORTFOLIO 16
Slide 17: Shams Ar Riyadh – Key Facts
Residential & Commercial Development Projects - KSA Shams Ar Riyadh – Key Facts Location - Situated in the Al-Ammariyah district (King Khalid Road), part of the growing northwest corridor of Riyadh, Shams Ar Riyadh is close to the heart of the city and is located just 19 km from KKI Airport and 9 km
Slide 18: Residential & Commercial Development Projects - KSA
Residential & Commercial Development Projects - KSA Parisiana South Shams Al Arous Juman Project Dar Al Mashaer - Located in Riyadh city and easily - Shams Al Arous is a master-planned, - Juman project is strategically located - Located in holy city of Mecca on the Al accessed through King Fahad bes
Slide 19: Commendatore Tower, Etoile Villas, Buraidah Hills
Residential & Commercial Development Projects - KSA Commendatore Tower- Jeddah Etoile Villas, Sedra- Riyadh Buraidah Hills, Qassim - The Commendatore Tower is to be built on a - Dar Al Arkan had won a contract to develop - Located in Buraidah city of Al-Qassim total land area of 11,928 sqm, comprise
Slide 20: Leasing Properties Portfolio
Leasing Properties Portfolio Al-Qasr Mall, Riyadh Land Area 61,949 m² Built up Area 234,147 m² Gross Leasable Area 75,142 m² No. of floors 3 Leasable Floors plus two parking Parking 1,579 Parking Spaces Latest Activity: ▪ 92% occupancy achieved by the end of Q2 2024. ▪ Total footfall for 2023 exceed
Slide 21: International Projects Developed by Dar Global PLC
INTERNATIONAL PROJECTS 5| DEVELOPED BY DAR GLOBAL PLC 21
Slide 22: Notable Changes During The Reporting Period
Notable Changes During The Reporting Period Dar Global Accounting and Project Update (Reference to note 29 of interim consolidated financial statements) - On 28 February 2023, Dar Global PLC, an indirectly wholly owned subsidiary of the Group, had listed its shares on the London Stock Exchange’s mai
Slide 23: International Projects Developed by Dar Global PLC – Dubai
International Projects Developed by Dar Global PLC Urban Oasis Tower, Dubai Da Vinci Tower, Dubai W Residences, Dubai DG 1, Dubai - The Urban Oasis Tower is located in - Da Vinci Tower is a residential - The W Residences is a residential - DG 1 (Dar Global 1) Tower is located in the the Business Bay
Slide 24: International Projects Developed by Dar Global PLC – Spain, UAE
International Projects Developed by Dar Global PLC Tierra Viva, Spain Marea, Finca Cortesin, Spain The Astera, Al Marjan Islands, UAE - Tierra Viva in Behanavís – Costa del Sol is an - Marea, our second project in Spain was unveiled - The Astera, Interiors by Aston Martin is exclusive residential co
Slide 25: International Projects Developed by Dar Global PLC – Qatar, Oman
International Projects Developed by Dar Global PLC Les Vagues, Qatar The Weekend, Qatar Aida, Oman - Les Vagues by Elie Saab sets new standards of - The Weekend embodies the essence of island - AIDA sits in the heart of Muscat, 130m above the luxury living in Qatar with an architectural living, offe
Slide 26: International Projects Developed by Dar Global PLC – London
International Projects Developed by Dar Global PLC 8min-to-Central, London Oh So Close, London The Mulliner, London - Experience the finest in contemporary living in - Oh So Close offers an extraordinary residential - Originally known as Gloucestor House, Nº149 the exclusive 8min-to-Central resident
Slide 27: Appendix
6| APPENDIX 27
Slide 28: Appendix I – Statement of Financial Position
Appendix I – Statement of Financial Position SAR in 000s FY 2021 FY 2022 FY 2023 Q2 2023 Q2 2024 Investment properties, net 1,110,414 1,077,808 1,028,213 1,048,960 1,003,951 Long-term development properties 19,285,287 20,563,563 20,261,809 19,521,785 20,909,351 Property and equipment, net 77,653 86,
Slide 29: Appendix II – Statement of Profit or Loss
Appendix II – Statement of Profit or Loss SAR in 000s FY 2022 FY 2023 H1 2023 H1 2024 Q2 2023 Q2 2024 Revenue 3,925,499 2,707,100 1,590,556 1,826,483 826,233 961,563 Cost of revenue (2,467,912) (1,636,694) (974,126) (1,086,950) (510,643) (577,827) Gross profit 1,457,587 1,070,406 616,430 739,533 315
Slide 30: Appendix III – Statement of Cash Flows
Appendix III – Statement of Cash Flows SAR in 000s FY 2021 FY 2022 FY 2023 H1 2023 H1 2024 Profit before Zakat 135,442 588,386 626,418 270,874 327,313 Adjustments for: Depreciation & Amortization 48,905 50,182 50,247 23,453 26,941 Provision for expected credit losses 4,453 0 0 0 0 Donations 0 1,637
Slide 31: Disclaimer
Disclaimer THIS PRESENTATION IS NOT FOR PUBLICATION, RELEASE OR himself independently based solely on the prospectus in relation to such securities DISTRIBUTION, DIRECTLY OR INDIRECTLY, INTO AUSTRALIA, CANADA, (including any supplement thereto) available when orders are confirmed before taking JAPAN
Slide 32: Our Offices
OUR OFFICES RIYADH, KSA BEIJING, CHINA LONDON, UK MARBELLA, DUBAI, UAE 12622 Makkah Road, 303-309, North Tower, 50 Hans Crescent, Conrad Dubai, Al Wizarat, Beijing Kerry Centre, Knightsbridge, SPAIN Sheikh Zayed Road, Beside Riyadh Marriott Hotel, No.1 Guanghua Road, London, SW1X ONA Marbella’s Gold
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Slide 34: Thank you
Investor Relations Thank you Riyadh – Saudi Arabia Tel: +966 11 206 9888 Ext:1680 [email protected] 34
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