Megaworld Corp. · PSE:MEG
Megaworld — Q1 2022 Earnings Presentation
23 slides from Megaworld's earnings presentation, May 16, 2022
Slide 1: First Quarter 2022 Results Analyst Presentation
FIRST QUARTER 2022 RESULTS ANALYST PRESENTATION (16 MAY 2022)
Slide 2: Performance Update
PERFORMANCE UPDATE In PHP Billions 4Q21 1Q22 %Chg 1Q21 %Chg REVENUES 13.9 13.1 -5% 10.2 29% All business segments posted COSTS & EXPENSES 8.1 9.6 19% 7.7 25% double digit improvements in performance. GROSS PROFIT 3.6 3.9 10% 2.8 41% EBITDA 5.7 5.9 2% 4.4 32% NET PROFIT 5.8 3.5 -39% 2.5 41% Increase
Slide 3: Revenue Breakdown
REVENUE BREAKDOWN P13.1 BILLION TOTAL REVENUES 36% REAL ESTATE SALES -Improved construction activity OFFICE RENTALS -Higher rental rate from new leases and rent P8.1B 16% escalations REAL ESTATE 3% SALES MALL RENTALS -Increased operational occupancy, higher rent 40% HOTEL OPERATIONS P875M P3.0B -Reb
Slide 4: Strong Balance Sheet
STRONG BALANCE SHEET P91.4 BILLION GROSS DEBT Floating USD 37% Bond 38% 46% TYPE OF Loans INTEREST CURRENCY DEBT 54% Fixed RATE PHP 63% 62% 22% P50.3B P9.8B NET DEBT /EQUITY NET DEBT CAPEX SPENDING 4
Slide 5: Real Estate Sales, Reservation Sales and Project Launches
P8.1B REAL ESTATE SALES ↑36 YoY P23.2B RESERVATION SALES vs P90 billion Target PROJECT LAUNCHES P1.9B vs P30 billion Target 5
Slide 6: Real Estate Sales
REAL ESTATE SALES P8.1 BILLION REAL ESTATE SALES By Classification 73% 14% 4% 9% RESIDENTIAL RESIDENTIAL COMMERCIAL CONDOTELS UNITS LOTS LOTS By Location (Pbn) Taguig City 1.5 40% Metro Manila (ex- 3.9 35% Taguig) 1.5 38% PARK MCKINLEY WEST Luzon (ex-MM) McKinley West Visayas-Mindanao 1.2 35% 6
Slide 7: Reservation Sales
RESERVATION SALES P23.2 BILLION RESERVATION SALES 65% VERTICAL DEVELOPMENT 85% LOCAL BUYERS 55% METRO MANILA PROJECTS BORACAY NEWCOAST 7
Slide 8: 1Q2022 Project Launch: The Pinnacle
1Q2022 PROJECT LAUNCH THE PINNACLE -SOUTH WING Iloilo Business Park P1.9 BILLION PROJECT VALUE P189,000 CURRENT SELLING PRICE PER SQM 10% PERCENTAGE SOLD FEB 2022 DATE LAUNCHED
Slide 9: Office Rentals
P3.0B OFFICE RENTALS 1.4M OFFICE GLA (sqm) 91% OCCUPANCY RATE 9
Slide 10: Office Traffic
OFFICE TRAFFIC March 2020 March 2021 March 2022 Significant increase in operating tempo in Megaworld Premier Offices across various townships
Slide 11: Office Pipeline: No. 1 Upper East Avenue
OFFICE PIPELINE NO. 1 UPPER EAST AVENUE THE UPPER EAST│ BACOLOD CITY 2022 COMPLETION YEAR 8,600 SQM GROSS LEASABLE AREA 11
Slide 12: Office Pipeline: International Finance Center
OFFICE PIPELINE INTERNATIONAL FINANCE CENTER UPTOWN BONIFACIO│ TAGUIG CITY 2024 COMPLETION YEAR 69,000 SQM GROSS LEASABLE AREA 28% PRE-LEASING COMMITMENT 12
Slide 13: Office Pipeline: Enterprise 1 & 2
OFFICE PIPELINE ENTERPRISE 1 & 2 ILOILO BUSINESS PARK│ ILOILO CITY 2024-2025 COMPLETION YEAR 66,000 SQM GROSS LEASABLE AREA 13
Slide 14: Offices Under Planning Phase
OFFICES UNDER PLANNING PHASE 14
Slide 15: Mall Rentals
P717M MALL RENTALS 462K MALL GLA (sqm) 88% OCCUPANCY RATE 15
Slide 16: Improving Retail Performance
IMPROVING RETAIL PERFORMANCE 751 633 Operational occupancy rate 423 expected to further increase by the 329 end of the year Mall rentals to improve as fixed rent is escalated gradually taking into account tenant performance; normalization expected by end of 2019 2020 2021 2022 the year Average Daily
Slide 17: Hotel Revenues and Room Keys
P503M HOTEL REVENUES 4,163 HOTEL ROOM KEYS OCCUPANCY RATE 63% (METRO MANILA) 17
Slide 18: Hotel Performance
HOTEL PERFORMANCE Hotel Revenues (Pm) vs EBITDA Margin 21% 18% 13% 15% 12% 7% 8% -13% -18% 652 551 552 503 367 389 314 336 250 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q22 Hotel Revenues Hotel EBITDA Margin 18
Slide 19: Hotels Pipeline
HOTELS PIPELINE 551 554 1,530 ROOMS ROOMS ROOMS BELMONT HOTEL CHANCELLOR HOTEL GRAND WESTSIDE MACTAN BORACAY NEWCOAST HOTEL 2022 2022 2023 19
Slide 20: 2022 Targets
2022 TARGETS MEGAWORLD bi { FIVE TOWNSHIPS
Slide 21: 2022 Targets
2022 TARGETS P90B RESERVATION SALES P30B PROJECT LAUNCHES ACROSS 14 PROJECTS P50B CAPEX BUDGET
Slide 22: Key Takeaways
KEY TAKEAWAYS REAL ESTATE • Continued improvement of real estate revenues is expected on the back of the increase in construction activities. OFFICE • Improvement in occupancy affirms our outlook on office demand. MALLS • Surge in rental income driven by increase in operational tenants, fixed rent c
Slide 23: First Quarter 2022 Results Analyst Presentation
FIRST QUARTER 2022 RESULTS ANALYST PRESENTATION (16 MAY 2022)