Al Dar Properties · ADX:ALDAR
Al Dar Properties — Q1 2024 Earnings Presentation
36 slides from Al Dar Properties's earnings presentation, Apr 29, 2024
Slide 1: Q1 2024 Results Presentation
Q1 2024 RESULTS PRESENTATION Aldar Properties 29 April 2024
Slide 2: Q1 2024 Highlights
Q1 2024 HIGHLIGHTS Q1 2024 Results Presentation 29 April 2024
Slide 3: Q1 2024 Executive Summary
Q1 2024 EXECUTIVE SUMMARY Group ▪ Cross-platform growth driven by ongoing recognition of development revenue backlog, record development sales, contributions from recurring income portfolio Revenue EBITDA Net Profit1 both from organic and recent acquisitions contributions AED 5.6bn AED 1.8bn AED 1.6
Slide 4: Aldar Development
ALDAR DEVELOPMENT Strong Q1 24 EBITDA growth through effective development against sizeable backlog Group Sales (AED bn) Revenue (AED bn) EBITDA (AED bn) 27.9 2.5 3.6 +39% 8.3 +103% 0.2 7.0 +113% 14.4 6.3 1.3 3.9 1.5 1.2 4.5 0.2 5.0 5.0 1.4 0.4 0.03 3.4 0.3 7.2 24.3 0.6 0.3 1.9 2.2 3.6 6.1 7.0 0.2 0
Slide 5: Aldar Investment (1/2)
ALDAR INVESTMENT (1/2) Strong Q1 24 Adj. EBITDA growth driven by organic operational performance, expansion of Aldar Estates and prior year acquisitions Revenue1 (AED mn) Q1 2024 - Key Highlights • Al Maryah Tower operational and leasing +31% • AED 1bn – Logistics investment – Abu Dhabi & Dubai 7 1,
Slide 6: Aldar Investment (2/2)
ALDAR INVESTMENT (2/2) 2023 acquisitions contributing towards portfolio growth Investment Properties Hospitality & Leisure Education Aldar Estates1 Occupancy 93% Occupancy 79% 30 Schools Property Management Commercial 93% 11 Operated schools Facilities Management Residential 94% ADR AED 622 (+2% YoY
Slide 7: Robust Group Balance Sheet Supporting Growth
ROBUST GROUP BALANCE SHEET SUPPORTING GROWTH (AED mn) Q1 24 Debt and Facilities (AED bn) Available Liquidity (AED bn) Debt 12,841 1 Free Cash Sukuk Cash 12,083 5.5 4.0 Total Equity 38,031 Q1 24 Q1 24 Debt to Total Equity 34% Facilites drawn Facilities undrawn 7.3 6.0 Debt to Total Assets 17% Debt Ma
Slide 8: Q1 2024 Sustainability & Community Outreach Highlights
Q1 2024 SUSTAINABILITY & COMMUNITY OUTREACH HIGHLIGHTS CREATING SUSTAINABLE PLACES ▪ Achieved 33% improvement in Energy Use Index (EUI) on average by design for new development projects ▪ 100% of new development projects in Q1 2024 achieved Fitwell rating ▪ Signed MoU with Tadweer (leader waste mana
Slide 9: 2024 Guidance
2024 GUIDANCE Q1 2024 FY 2024 2FY 2024 (Actual) (Guidance) (Updated Guidance)) Aldar Group Adj. EBITDA AED 1.8bn AED 6.0 to 6.3bn AED 6.2 to 6.5bn Sales AED 6.3bn AED 29 to 31bn No change Aldar Development EBITDA AED 1.2bn AED 3.9 to 4.1bn AED 4.1 to 4.3bn o/w Project Management Services AED 0.10bn
Slide 10: Q&A
Q&A Q1 2024 Results Presentation 29 April 2024
Slide 11: Group
GROUP Q1 2024 Results Presentation 29 April 2024
Slide 12: Q1 2024 Group Financial Highlights
Q1 2024 GROUP FINANCIAL HIGHLIGHTS Sustained growth driven by ongoing execution of development revenue backlog, record development sales and contributions from recurring income portfolio Revenue (AED mn) Q1 24 Q1 23 Var (AED mn) 14,161 Revenue 5,616 3,066 83% 11,200 1 Gross profit 2,026 1,254 61% 8,
Slide 13: Q1 2024 Group Balance Sheet
Q1 2024 GROUP BALANCE SHEET Strong balance sheet position supported by prudent capital management and robust governance Balance Sheet Leverage (AED mn) 31 Mar 2024 31 Dec 2023 Property, plant and equipment 6,633 6,513 Investment properties 26,647 26,218 Aldar Development Aldar Investment LHFS, DWIP
Slide 14: Aldar Development
ALDAR DEVELOPMENT Q1 2024 Results Presentation 29 April 2024
Slide 15: Aldar Development Q1 2024 Financial Performance
ALDAR DEVELOPMENT Q1 2024 FINANCIAL PERFORMANCE AED mn Q1 24 Q1 23 Var Group Sales 6,313 4,549 39% AED mn Q1 24 Q1 23 Var UAE 6,115 4,202 46% International 198 346 -43% Gross Profit 1,287 704 83% Egypt 97 346 -72% UK 101 Margin (%) 33% 37% -358bps Revenue 3,887 1,917 103% Due to EGP Property Dev. &
Slide 16: UAE Landbank Overview
UAE LANDBANK OVERVIEW Landbank is spread across key investment zones in Abu Dhabi, Dubai and Ras Al Khaimah Landbank1 Locations Destinations Saadiyat Island Land Area 0.7 mn sqm Abu Dhabi GFA 1.8mn sqm 65mn sqm Land Area 62.8mn sqm GFA 9.5mn sqm2 Yas Island Land Area 1.7 mn sqm GFA 1.7mn sqm ▪ Large
Slide 17: UAE Development Projects Pipeline
UAE DEVELOPMENT PROJECTS PIPELINE Projects under construction, as at 31 March 20241 Launch Total Launched Sold % Net Sales value NSA Area sold Avg sale Revenue Backlog % Highlights Project Location Year Units Units Units Sold (AED mn) (sqm) (sqm) price/sqm2 (AED '000) completion • 88% of launched pi
Slide 18: Aldar Projects
ALDAR PROJECTS1 Aldar Projects backlog of AED 79.4bn Project Management Backlog Progression (AED bn) 26 82 79 0 65 (3) 62 61 2 2 59 (3) 50 (3) (3) 51 31 27 26 28 (4) 80 80 55 55 34 35 35 31 32 29 31-Dec-22 Work New 31-Mar-23 Work New 30-Jun-23 Work New 30-Sep-23 Work New 31-Dec-23 Work New 31-Mar-23
Slide 19: Aldar Investment
ALDAR INVESTMENT Q1 2024 Results Presentation 29 April 2024
Slide 20: Aldar Investment Q1 2024 Financial Performance
ALDAR INVESTMENT Q1 2024 FINANCIAL PERFORMANCE AED mn Q1 24 Q1 23 Var Recurring Revenue1 1,630 1,247 31% AED mn Q1 24 Q1 23 Var Investment Properties2 (IP) 556 532 4% Hospitality & Leisure 298 283 6% Adj. EBITDA1,2 693 536 29% Education 199 154 30% Aldar Estates 553 262 111% Investment Properties 44
Slide 21: D-Hold & Logistics Investment
D – HOLD & LOGISTICS INVESTMENT AED 5bn D-Hold Pipeline & AED 1bn Logistics Investment AED 5bn D-Hold Pipeline AED 1bn Logistics Investment New commercial, retail and hospitality assets in Abu Dhabi, includes: Expansion of logistics business in Abu Dhabi & Dubai, includes: Leveraging Aldar’s Develop
Slide 22: Investment Properties Overview
INVESTMENT PROPERTIES OVERVIEW1 93% occupancy across the portfolio Commercial Residential Retail Logistics Asset No. of assets 14 disposal 13 36 3 Leasable area (‘000 sqm) 465 820 522 216 97% Occupancy Excluding AMT 93% (95% FY 23) 94%(94% FY 23) 89%(91% FY 23) 93%(93% FY 23) WAULT (yrs) 3.7 2.6 3.9
Slide 23: Hospitality & Leisure
HOSPITALITY & LEISURE 3rd largest hospitality owner in the UAE by number of keys HOTELS Hotel portfolio consists of assets from 3 to 5 stars, in Q1 24 Q1 23 Var addition to hotel apartments Key assets: Revenue (AED mn) 298 283 6% ▪ W Yas Island ▪ Radisson Blu Adj. EBITDA1 (AED mn) 107 116 -7% ▪ Crow
Slide 24: Aldar Education
ALDAR EDUCATION 2nd largest private school operator in the UAE Investments announced in 2022 (AED 1bn) & 2023 (AED 350mn) to achieve ambitious growth; through greenfield, brownfield and acquisitions Operated Schools Schools1 Students (k) • +27% enrolment growth YoY driven by acquisition of Kent Coll
Slide 25: Aldar Estates
ALDAR ESTATES1 A leading regional Property & Facility Management Company Facility Management Revenue (AED mn) AED 945mn+ Total Orderbook +111% +76% 553 Property Management 262 168k+ Residential Units 1,762k sqm Commercial GLA Q1 23 Q1 24 918k sqm Retail GLA Integrated Community Services Adj. EBITDA
Slide 26: Segmental Breakdown
SEGMENTAL BREAKDOWN Q1 2024 Results Presentation 29 April 2024
Slide 27: Segmental Breakdown: Q1 2024 vs Q1 2023
SEGMENTAL BREAKDOWN Q1 2024 vs Q1 2023 Revenue (AED mn) 3,245 1,451 532 556 553 389 283 298 154 199 262 289 253 177 16 23 Investment Properties Hospitality & Leisure Education Estates Others Property Dev. Project Mgmt. Services International & Sales Q1 23 Q1 24 EBITDA (AED mn) 1,045 440 426 361 116
Slide 28: Contact Us
ALDAR INVESTOR PRESENTATION CONTACT US For any further enquiries please contact: Pamela Chahine Head of Investor Relations Tel: +971 (0)2 810 6585 Email: [email protected] 28
Slide 29: Disclaimer
DISCLAIMER This presentation is intended for information purposes only and does not constitute or form part of an offer for sale or subscription or an invitation or solicitation of an offer to subscribe for or purchase securities of any kind and neither this document nor anything contained herein sh
Slide 30: Appendix
APPENDIX Q1 2024 Results Presentation 29 April 2024
Slide 31: Aldar Properties Diversified Business Model
ALDAR PROPERTIES DIVERSIFIED BUSINESS MODEL1 (31 DEC 2023) Leading real estate developer, operator and asset manager with two core businesses: Aldar Development & Aldar Investment Revenue AED 14.2bn MSCI Index BBB Market Cap AED 42.1bn EBITDA AED 5.1bn DJSI 47 Moody’s Credit Rating Baa2 Net Profit A
Slide 32: Market Value 30-40% Discounted to Fair Value (Estimate)
MARKET VALUE 30-40% DISCOUNTED TO FAIR VALUE (ESTIMATE) At AED 5.25 share price, implied valuation of c 4.5x (Aldar Properties excluding Investment Properties) Whereas a 9x valuation would imply a share price above AED 8.00 Valuation (AED bn) FY 24 Adj. EBITDA (guided) AED 6.2 to 6.5bn AED 4.0 to 4.
Slide 33: Core Business Growth Drivers
CORE BUSINESS GROWTH DRIVERS Strongly positioned to capitalize on Growth & Expansion Strategy Aldar Development Aldar Investment ▪ Become leading destination builder providing exceptional ▪ Grow recurring income portfolio through “Develop-to- experiences Hold” strategy ▪ Diversify product and custom
Slide 34: International Expansion Supports Diversification Strategy
INTERNATIONAL EXPANSION SUPPORTS DIVERSIFICATION STRATEGY Deploying capital and investing into “growth” real state sectors to address relevant long-term trends Long Term Trends “Growth” Real Estate Sectors Benefits to Aldar Winning Cities Homebuilding ▪ Enlarged sales network & client synergies Citi
Slide 35: 2023 Capital Committed
2023 CAPITAL COMMITTED c. AED 9bn of capital deployed or committed Aldar Development (c. AED 5.9bn) Aldar Investment (c. AED 3.1bn) Transaction Value (AED mn) Transaction Value (AED mn) Al Fahid land acquisition of 3.4m sqm island between Yas Residential: RAK Staff Accommodation acquisition, Ras Al
Slide 36: 2022 Capital Deployment
2022 CAPITAL DEPLOYMENT c. AED 11.5bn of capital deployed or committed Aldar Development (c. AED 4.1bn) Aldar Investment (c. AED 7.4bn) Transaction Value (AED mn) Transaction Value (AED mn) Acquisition of 6.2m sqm prime land located on 3,6801 Commercial the east side of Saadiyat Island 4 Grade-A com