Al Dar Properties · ADX:ALDAR
Al Dar Properties — Aldar Properties PJSC — HSBC EEMEA Investor Forum (March 2016)
18 slides from Al Dar Properties's conference presentation, March 2016
Slide 1: Aldar Properties PJSC HSBC EEMEA Investor Forum
Aldar Properties PJSC HSBC EEMEA Investor Forum March 2016
Slide 2: Disclaimer
DISCLAIMER This disclaimer governs the use of this presentation. You must not rely on the information in the presentations and alternatively we recommend you to seek advice from an appropriately qualified professional. If you have any specific questions about any matter in this presentation you shou
Slide 3: Aldar at a Glance
ALDAR AT A GLANCE • Leading Abu Dhabi real estate developer and asset manager Key metrics • Listed on the Abu Dhabi Stock exchange since 2005 c.23,000 AED19.3bn Residential units • Market capitalisation of AED19.3bn¹ ($5.3bn) Market cap1 delivered² • Sizeable land bank • Large and diverse recurring
Slide 4: Business Overview
BUSINESS OVERVIEW Property development Asset management Adjacent Businesses management Property Development Retail Schools • Current projects – Ansam, Hadeel, • 470,000 sqm GLA across 27 assets • Aldar Academies – 100% owned Nareel, Merief, Meera and Mayan • Yas Mall: 96% trading occupancy • 5,500 s
Slide 5: Significant Land Bank
SIGNIFICANT LAND BANK 75 million sqm of land development across Emirate of Abu Dhabi 5
Slide 6: Development Focus - Destinations
DEVELOPMENT FOCUS - DESTINATIONS Development strategy focused on enhancing destinations 6
Slide 7: Current Development Project Overview
CURRENT DEVELOPMENT PROJECT OVERVIEW Project Location Launch Details Expected completion Ansam Yas Island 2014 Prime apartments and villas 2017 Hadeel Al Raha Beach 2014 Prime apartments and villas 2017 Nareel Abu Dhabi Island 2015 High-end villa plots 2017 Merief Khalifa City 2015 Villa plots 2017
Slide 8: Recurring Revenue Asset Operational Performance
RECURRING REVENUE ASSET OPERATIONAL PERFORMANCE Retail – Yas Mall Residential Office Hotels 18m footfall in 2015, 98% occupancy, ahead 95% leased occupancy 79% average occupancy ahead of projections of market average up 5% as at 31 Dec 15 during 2015 in line with 361 units trading today Continued de
Slide 9: Growth in Recurring Revenue NOI Set to Continue
GROWTH IN RECURRING REVENUE NOI SET TO CONTINUE 2,200 1,505 1,600 +40% 1,010 700 2013FY 2014FY 2015FY 2016E 2020E • 49% increase in gross profit from recurring revenues in 2015 to AED 1.5 billion • 2016 guidance remains at AED 1.6 billion • Target over 40% growth in NOI by 2020 through asset maturit
Slide 10: Gross Debt Target Achieved
GROSS DEBT TARGET ACHIEVED 13.8 9.1 6.0 31/12/13 31/12/14 31/12/15 Interest expense (AEDm) 727 382 240 Average interest rate 5.9% 2.7% 3.2% Debt LTV ¹ 35% • Significant refinancing and deleveraging efforts over last two years • Gross debt now in line with debt policy, no further pay down expected ¹
Slide 11: Focus on Shareholder Return
FOCUS ON SHAREHOLDER RETURN 10 fils 9 fils 7 fils 6 fils Introduce formal Dividend policy 2012 2013 2014 2015 2016 • 2015 dividend recommendation of 10 fils per share, up 11% • Progressive dividend over last four years, supported by growth and stabilization of recurring revenues • From 2016, a forma
Slide 12: Outlook
OUTLOOK • Recurring revenue assets now fully in place • Further growth ahead – 2020 NOI target of AED 2.2 billion set and under way • Untapped development opportunities exist – focus on destinations Yas Island, Al Raha Beach and Shams Abu Dhabi • Strong balance sheet position today – no further pay
Slide 13: Appendix
APPENDIX 13
Slide 14: Development Summary Table - 31 Dec 15
DEVELOPMENT SUMMARY TABLE – 31 DEC 15 Project Location Recognition Launch 2015 Total Revenue Expected date Sold Sold unit sales Sold Sold unit sales Units % sold as at recognition % completion units ¹ value (AEDm) ² units ¹ value (AEDm) ² 31 Dec 2015 Ansam Yas Island Over-time 2014 28 52 483 796 547
Slide 15: Full Year Segmental Analysis
FULL YEAR SEGMENTAL ANALYSIS 2015FY recurring revenues of AED2,865 million (2014FY: AED2,250 million) ¹ 2,000 2015 FY Segmental Revenue Performance 3,733 1,750 1,621 AED Millions 1,500 2015 FY 2014 FY 1,250 1,088 1,015 1,000 931 750 635 623 589 500 399 255 250 128 119 0 Investment Properties Hospita
Slide 16: Profit & Loss
PROFIT & LOSS AED millions Q4 2015 Q4 2014 2015 FY 2014 FY Revenues 1,125 1,270 4,586 6,551 Direct costs (558) (778) (2,380) (5,033) Gross profit 567 492 2,206 1,518 Gross profit Margin 50% 39% 48% 23% SG&A expenses (118) (153) (380) (454) Depreciation and Amortization (57) (58) (210) (228) Gain on
Slide 17: Balance Sheet
BALANCE SHEET As at As at AED millions Remarks 31 Dec 2015 31 Dec 2014 Property, plant and equipment 2,936 3,200 Movement reflects the net fair value gains on investment properties, Investment properties 15,570 14,401 transfer of leased units from inventory and Daman House acquisition Development wo
Slide 18: Government Transactions
GOVERNMENT TRANSACTIONS AED millions Total Transaction (AED in millions) 2016 2017 H2 2014 - 2017 Sale of F1 Race Track 348 348 696 Sale of Al Raha Beach Land and Yas Island Assets¹ 950 - 950 Shams Infrastructure Reimbursement & Sale of Gate units ¹ 300 - 300 1,598 348 1,946 ¹ Cash flow timing depen
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