Al Dar Properties · ADX:ALDAR
Al Dar Properties — Investor Presentation (March 2024)
53 slides from Al Dar Properties's investor presentation, March 2024
Slide 1: Investor Presentation
INVESTOR PRESENTATION Aldar Properties March 2024
Slide 2: Aldar Group Overview
ALDAR GROUP OVERVIEW Aldar Investor Presentation March 2024
Slide 3: Diversified Business Model
DIVERSIFIED BUSINESS MODEL1 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 AED 4.4bn Sustainalytics Index 1
Slide 4: Strong Execution on Growth & Expansion Strategy
STRONG EXECUTION ON GROWTH & EXPANSION STRATEGY An Abu Dhabi based company, leveraging the strengths of its 2020 operating model, delivering an elevated platform in terms of scale, efficiencies and diversification in 2023 AED bn 2020 2023 3 -yr CAGR Market Cap 24.8 42.1 19% 3-yr TSR 88% Revenue 8.4
Slide 5: Strong Group Financial Performance
CONFIDENTIAL STRONG GROUP FINANCIAL PERFORMANCE Poised for growth through strategic deployment of surplus capital into new asset classes and geographies ▪ Cross-platform growth driven by ongoing execution of development Revenue (AED bn) revenue backlog, record development sales and contributions fro
Slide 6: Aldar Development 2023 Highlights
CONFIDENTIAL ALDAR DEVELOPMENT 2023 Highlights Key Highlights of 2023 Capital Committed in 2023 (c. AED 5.9bn) ▪ Record FY 23 sales at AED 27.9bn & revenue backlog at AED 36.8bn Transaction Value (AED mn) ▪ UAE sales at AED 24.3bn & revenue backlog at AED 29.1bn Al Fahid land acquisition of 3.4m sqm
Slide 7: Leading Development Franchise in Abu Dhabi and Egypt
CONFIDENTIAL LEADING DEVELOPMENT FRANCHISE IN ABU DHABI AND EGYPT Development segment has demonstrated consistent growth on the back of strong demand from international and expat buyers driven by Abu Dhabi’s appeal as a premier lifestyle and business destination and expansion into Dubai, RAK & UK Gr
Slide 8: Aldar Investment 2023 Highlights
CONFIDENTIAL ALDAR INVESTMENT 2023 Highlights Key Highlights of 2023 Capital Committed in 2023 (c. AED 3.1bn) Transaction Value (AED mn) ▪ Commercial: JV with Mubadala; Initial office tower 37 floors with total net leasable area (NLA) of 63,000sqm Residential: RAK Staff Accommodation acquisition, Ra
Slide 9: Aldar Investment (1/2)
ALDAR INVESTMENT (1/2) Strong underlying portfolio performance & strong growth driven by capital deployment in 2022 & 2023 ▪ Strong performance driven by solid contributions from 2022 & 2023 acquisitions Revenue1 (AED mn) as well as strong performance across core real estate portfolio +40% ▪ Commerc
Slide 10: Aldar Investment (2/2)
ALDAR INVESTMENT (2/2) 2022 acquisitions performing above expectations with strong performance contribution Investment Properties Hospitality & Leisure Education Aldar Estates3 Occupancy 93% Occupancy 70% 31 Schools Property Management Commercial 95% 11 Operated schools Facilities Management Residen
Slide 11: Apollo Transaction
APOLLO TRANSACTION Aldar completed long-term US$ 1.4bn investment transaction with Apollo in 2022 US$ 1.4BN OF LONG-TERM INVESTMENT Land Joint Venture 1 US$ 500mn investment into a joint venture Diversifies funding sources LAND JOINT between Aldar Properties PJSC and Apollo Closed 30th and unlocks d
Slide 12: Aldar Group Guidance, Liquidity, Dividend & ESG
ALDAR GROUP GUIDANCE, LIQUIDITY, DIVIDEND & ESG Aldar Investor Presentation March 2024
Slide 13: Core Business Growth Drivers
CORE BUSINESS GROWTH DRIVERS Strongly positioned to capitalize on sector diversification and geographic expansion Aldar Development Aldar Investment ▪ Become leading destination builder providing exceptional ▪ Grow recurring income portfolio through “Develop-to- experiences Hold” strategy ▪ Diversif
Slide 14: 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 15: 2024 Guidance
2024 GUIDANCE FY 2024 Aldar Group Adj. EBITDA AED 6.0 to 6.3bn Sales AED 29 to 31bn Aldar Development EBITDA AED 3.9 to 4.1bn o/w Project Management Services AED 0.50 to 0.55bn Aldar Investment Adj. EBITDA1,2 AED 2.3 to 2.5bn1,2 1 Excludes Pivot 2 Adjusted for fair value movements (excluding amortiz
Slide 16: Robust Group Balance Sheet Supporting Growth
ROBUST GROUP BALANCE SHEET SUPPORTING GROWTH (AED mn) FY 23 Debt and Facilities (AED bn) Available Liquidity (AED bn) Debt 12,079 Free Cash 1 Sukuk 5.5 2.9 Cash 11,718 Total Equity 38,183 FY 23 FY 23 Debt to Total Equity 32% Facilites drawn Committed undrawn facilities Debt to Total Assets 17% 6.6 7
Slide 17: Transparent Dividend and Leverage Policies
TRANSPARENT DIVIDEND AND LEVERAGE POLICIES Consistently applied dividend and leverage policies demonstrate strong governance and financial discipline Shareholder Returns Balance Sheet • 1yr & 3yr TSRs of 31% and 88%, respectively1 • Robust balance sheet with debt well within stipulated LTV policies
Slide 18: FY 2023 Sustainability Highlights
FY 2023 SUSTAINABILITY HIGHLIGHTS Protecting The Environment ▪ Launched Aldar Net Zero Plan, outlining our pathway to achieve Net Zero emissions by 2050 ▪ Launched and signed Real Estate Climate Pledge with Ministry of Climate Change and Environment (MOCCAE), with 64 signatories of peers, suppliers
Slide 19: Delivering Positive Impact to Our Communities
DELIVERING POSITIVE IMPACT TO OUR COMMUNITIES Our aim is to shape lives for the better by creating positive and tangible impact that enrich inclusive, happy & healthy, and resilient communities through strategic partnerships Our Impact Journey & 2023 Impact Highlights Launched the 2nd Annual Continu
Slide 20: Appendix 1: FY 2023 Results
APPENDIX 1 FY 2023 RESULTS Aldar Properties March 2024
Slide 21: Aldar Group FY 2023 Results
ALDAR GROUP FY 2023 Results March 2024
Slide 22: FY 2023 Group Financial Highlights
FY 2023 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) (AED mn) Q4 23 Q4 22 Var FY 23 FY 22 Var Revenue 4,398 3,134 40% 14,161 11,200 26% 14,161 11,200
Slide 23: FY 2023 Group Balance Sheet
FY 2023 GROUP BALANCE SHEET Strong balance sheet position supported by prudent capital management and robust governance Balance Sheet Leverage (AED mn) 31 Dec 2023 31 Dec 2022 Property, plant and equipment 6,513 5,607 Investment properties 26,218 23,933 Aldar Development Aldar Investment LHFS, DWIP
Slide 24: Aldar Development
ALDAR DEVELOPMENT FY 2023 Results March 2024
Slide 25: Aldar Development FY 2023 Financial Performance
ALDAR DEVELOPMENT FY 2023 FINANCIAL PERFORMANCE AED mn Q4 23 Q4 22 Var FY 23 FY 22 Var FY 2023 Property Dev. & Sales (UAE only) Group Sales 8,536 5,175 65% 27,931 14,414 94% • Sales +121% YoY to AED 24bn UAE 7,241 3,790 91% 24,281 10,989 121% • Revenue +31% YoY, driven by ongoing execution of Intern
Slide 26: UAE Landbank Overview
UAE LANDBANK OVERVIEW Landbank is spread across key investment zones in Abu Dhabi and Dubai Landbank1 Locations Destinations Abu Dhabi Saadiyat Island GFA 2.0mn sqm 65.4mn sqm Land Area 62.8mn sqm GFA 9.6mn sqm2 Yas Island GFA 1.7mn sqm ▪ Large & highly accretive landbank Al Fahid Island GFA 1.6mn s
Slide 27: UAE Development Projects Pipeline
UAE DEVELOPMENT PROJECTS PIPELINE Projects under construction, as at 31 December 20231 Highlights Net Sales Value Revenue Backlog GSA Avg sale Project Location Launch Year Sold Units (AED mn) Units Launched % Sold % Completion ('000) (sqm) price/sqm1 Noya Viva Yas Island 2021 479 1,009 479 100% 74%
Slide 28: Aldar Projects
ALDAR PROJECTS1 Aldar Projects awarded AED 30.3bn new project in 2023 Aldar Projects Backlog Progression (AED bn) Aldar Projects Backlog AED 81.9bn 26 82 65 62 61 2 2 59 (3) Aldar Projects 50 (3) (3) 2023 New Awards 31 27 26 28 (4) AED 30.3bn 55 55 34 35 35 31 32 Project Management Services 31-Dec-2
Slide 29: Aldar Investment
ALDAR INVESTMENT FY 2023 Results March 2024
Slide 30: Aldar Investment FY 2023 Financial Performance
ALDAR INVESTMENT FY 2023 FINANCIAL PERFORMANCE AED mn Q4 23 Q4 22 Var FY 23 FY 22 Var FY 2023 Investment Properties • Commercial: +73% YoY Adj. EBITDA2 to AED 582mn Recurring Revenue1 1,754 1,320 33% 5,759 4,120 40% driven by stronger performance across the portfolio Investment Properties3 (IP) 530
Slide 31: Investment Properties Overview
INVESTMENT PROPERTIES OVERVIEW1 Commercial Residential Retail Logistics No. of assets 15 13 36 3 Leasable area (‘000 sqm) 504 826 521 216 Occupancy 95% 94% 91% 93% WAULT (yrs) 3.9 2.8 3.9 4.6 FY 2023 Revenue (AEDmn) 780 (+42% YoY) 578(-3% YoY) strata unit 718 (flat YoY) AJM & AHM 63 (+32% YoY) sales
Slide 32: 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 FY 23 FY 22 addition to hotel apartments Key assets: Revenue (AED mn) 1,116 828 ▪ W Yas Island ▪ Radisson Blu Adj. EBITDA1 (AED mn) 383 208 ▪ Crowne Plaza
Slide 33: 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) • +25% enrolment growth YoY driven by acquisition of Kent Coll
Slide 34: Aldar Estates
ALDAR ESTATES1 A leading regional Property & Facility Management Company Facility Management Revenue (AED mn) AED 1.1bn+ Total Orderbook +133% +76% 1,741 Property Management 748 150k+ Residential Units 681k sqm Commercial GLA FY 22 FY 23 604k sqm Retail GLA Integrated Community Services EBITDA (AED
Slide 35: Segmental Breakdown
SEGMENTAL BREAKDOWN FY 2023 Results March 2024
Slide 36: Segmental Breakdown Q4 2023 vs Q4 2022
SEGMENTAL BREAKDOWN Q4 2023 vs Q4 2022 Revenue (AED mn) 1,455 1,055 629 698 531 530 491 368 372 199 253 238 287 156 12 24 Investment Properties Hospitality & Leisure Education Estates Others Property Dev. Project Mgmt. Services International & Sales Q4 22 Q4 23 EBITDA (AED mn) 714 603 445 319 163 10
Slide 37: Segmental Breakdown FY 2023 vs FY 2022
SEGMENTAL BREAKDOWN FY 2023 vs FY 2022 Revenue (AED mn) 5,790 4,414 1,908 2,139 1,741 1,135 1,208 1,414 1,263 828 1,116 592 687 748 44 77 Investment Properties Hospitality & Leisure Education Estates Others Property Dev. Project Mgmt. Services International & Sales FY 22 FY 23 EBITDA (AED mn) 2,133
Slide 38: Appendix 2: 2022 Capital Deployment
APPENDIX 2 2022 CAPITAL DEPLOYMENT Aldar Investor Presentation March 2024
Slide 39: 2022 Capital Deployment
2022 CAPITAL DEPLOYMENT Significant activity in 2022 across existing and new markets: c. AED 11.5bn of capital deployed or committed, 7-8% stabilized NOI yield on investments Aldar Development (c. AED 4.1bn) Aldar Investment (c. AED 7.4bn) Transaction Value (AED mn) Transaction Value (AED mn) Acquis
Slide 40: Appendix 3: 2023 Announcements
APPENDIX 3 2023 ANNOUNCEMENTS Aldar Investor Presentation March 2024
Slide 41: UAE – Abu Dhabi (1/3)
UAE – ABU DHABI (1/3) Aldar Development Aldar Projects Al Fahid Island Acquisition in Abu Dhabi Balghaiylam Residential Development, Abu Dhabi ▪ Introduction of unique beachfront offering in Abu Dhabi ▪ Developed in collaboration with Abu Dhabi Housing Government ▪ 3.4mn sqm island between Yas Islan
Slide 42: UAE – Abu Dhabi (2/3)
UAE – ABU DHABI (2/3) Aldar Investment Investment Properties - Commercial Aldar Education ▪ JV with Mubadala ▪ AED 350mn additional investment ▪ Develop new commercial assets on Al Maryah Island (Abu Dhabi) within − AED 120mn; Kent College acquisition in Dubai; ADGM − AED 210mn; Virginia Internation
Slide 43: UAE – Abu Dhabi (3/3)
UAE – ABU DHABI (3/3) Aldar Investment Eltizam merger with Aldar Estates FAB Properties acquisition ▪ Aldar Estates merges with Eltizam Asset Management Group owned by ▪ Aldar Estates acquisition IHC & ADNEC Group (~58k units under management) − FAB Properties – UAE based provider of property manage
Slide 44: UAE - Dubai
UAE - DUBAI Aldar Development Aldar Investment JV with Dubai Holding, Dubai Aldar Education ▪ 3 communities across 3.6mn sqm of land along E311 & E611 corridors ▪ AED 350mn additional investment ▪ 9,000 residential units with a GDV of AED 20bn+ − AED 120mn; Kent College acquisition in Dubai; ▪ 1st m
Slide 45: UAE – Ras Al Khaimah
UAE – RAS AL KHAIMAH Aldar Development Aldar Investment Nikki Beach Residences Hospitality ▪ Partnership between Aldar & Nikki Beach Group ▪ Rixos Bab Al Bahr –acquired in 2022 ▪ Develop 3 branded residential buildings on Al Marjan Island ▪ DoubleTree by Hilton Resort Marjan Island –acquired in 2022
Slide 46: UAE - Develop to Hold & Logistics Investment
UAE - DEVELOP TO HOLD & LOGISTICS INVESTMENT AED 5bn D-Hold Pipeline & AED 1bn Logistics Investment AED 5bn D-Hold Pipeline AED 1bn Logistics Investment ▪ Develop-and-hold approach for long-term income and capital ▪ AED 1bn investment plan to expand logistics business in Dubai appreciation. and Abu
Slide 47: UK - London Square (1/3) - Overview
UK - LONDON SQUARE ( 1/3) - OVERVIEW Premier and leading residential developer in the UK 100% Acquisition (closing date 30 November 2023) Core ‘build-to-sell’, higher margin offering, developing homes across Greater London (and Equity Value Enterprise Value EV/TGAV the Southeast) for sale to private
Slide 48: UK - London Square (2/3) - Strategic Rationale
UK - LONDON SQUARE ( 2/3)- STRATEGIC RATIONALE Establishing a foothold in the UK market UK market entry aligns with ▪ International expansion strategy aims to boost scale, broaden market reach Current cyclical market provides Aldar’s international and diversify revenue streams beyond home markets ri
Slide 49: UK - London Square (3/3) - Compatibilities & Synergies
UK - LONDON SQUARE ( 3/3)- COMPATIBILITIES & SYNERGIES Leveraging Aldar & LSQ strengths to drive scale and performance Governance, Brand Reputation & Employees & Culture ESG & Sustainability Management Team ▪ Leading developers with strong track records ▪ ESG deeply embedded in operating models ▪ Ma
Slide 50: Europe - Investment in European Private Real Estate Credit
EUROPE - INVESTMENT IN EUROPEAN PRIVATE REAL ESTATE CREDIT Strategic partners form a USD 1 billion private credit platform, which will invest in senior secured debt across diverse real estate segments in the UK and European Union. Platform Summary Strategic Partners Capital Deployment Security Inv.
Slide 51: 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] 51
Slide 52: 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 53: Thank You
THANK YOU Aldar Investor Presentation March 2024
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