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2023 ReportGlobalworth: CEE’s Leading Office Landlord 2019 Annual Results & 2020 April Covid-19 Update Disclaimer This presentation is published solely for information purposes, and it may not be reproduced or redistributed or republished, in whole or in part, for any purpose by any person other than Globalworth Real Estate Investments Limited (the “Company”) . By accessing this presentation, you are agreeing to be bound by the following limitations. The information contained in this presentation has been prepared by the Company and has not been independently verified and will not be updated. No representation, warranty or undertaking, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained herein and nothing in this Presentation is, or shall be relied upon as, a promise or representation. 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This presentation is not an “offer to the public” (as defined in the Companies Act, No. 71 of 2008 (as amended) (the “South African Companies Act”) in South Africa, provided that the offer is made in the circumstances specified in section 96 of the South African Companies Act and this presentation does not, nor is it intended to, constitute a prospectus (as such term is defined in the South African Companies Act). 1 Highlights & Strategy Green Court Complex, Bucharest 2 FY 2019 – HIGHLIGHTS Expanded Our Real Estate Platform Strong Operating Performance Improved Key Performance Measures Conservative Credit Profile Portfolio Value €3.0bn +23.7% Leasing Activity 179.5k sqm +47.4% Total Investment €645.4m +19.9% Occupancy Rate(1) 94.7% -0.4% Portfolio Value LfL €2.6bn +7.2% Occupancy Rate LfL(1) 95.5% +0.3% Increase in GLA Footprint 171.7k sqm +16.5% Contracted Rent €191.0m +19.8% Contracted Rent LfL €166.0m +4.1% Rental Income €151.5m +10.1% LTV 34.7% 2018: 43.9% Adjusted normalised EBITDA €134.8m +34.3% EPRA Earnings / Share €44 cents -4.3% Financing Cost 2.83% 2018: 2.91% Cash & Cash Equivalents €291.7m +27.1% (1) Occupancy of standing commercial properties, and in the case of Poland, including office rental guarantees. Group’s credit rating further improved, now received investment grade rating by all three major rating agencies Raised or secured c.€1.0bn from the equity and debt capital markets in 2019 3 Our Strategy in Motion During 2019 Strengthen our position as the leading investor and landlord in our core markets Enhance value of existing investments Maintain an efficient and flexible capital structure Corporate Activity: • Became the sole shareholder of our subsidiary Globalworth Poland at a cost of €216.1m • Formed a partnership in Romania to develop two new high-quality projects in the country Direct Investment in Real Estate: • Invested €429.3m in real estate acquisitions and developments • Completed a new industrial facility in Timisoara • Progressed with our development program, with 7 projects under development in Romania and Poland at year-end • Increased our standing footprint by 171.7k sqm to +1.2 million sqm • Signed and/or extended 179.5k sqm of GLA and improved like-for-like occupancy, while maintaining an overall high level across our portfolio of 94.7% (95.0% incl. options) • Invested €22.2m as part of our renovation and upgrade programme for selected properties • Continued to internalise property management, with c.92.0% of our office properties in Romania and 73.2% of our properties in Poland now managed in-house • Further improved our credit rating, with the Group’s Eurobonds recognised as investment grade by all three major rating agencies ‒ Moody’s: upgrading our rating to Baa3 (from Ba2 in 2018) ▪ In April 2020 Moody’s affirmed Globalworth's Baa3 ratings and changed its outlook to negative ‒ S&P: upgrading our rating to BBB- (from BB+ stable in 2018) ‒ Fitch: assigned investment grade rating of BBB- in 2018 (remained stable in 2019) • Completed our largest equity issue to date, raising a total of €793m including €501m in April • Maintained flexibility of available, committed capital at an attractive interest rate through a €200m 4.5-year unsecured revolving credit facility, with an additional €50m uncommitted accordion option 4 Our Strategy in Motion During 2019 (cont’d) De-risk our Portfolio • Reduced exposure to developments by limiting their weighting to no more than 10% of GAV, and improved occupancy through active management during the development phase • Diversified locations to reduce reliance to any single sub-market ‒ Bucharest remains the market with the highest concentration with 41.0% of total portfolio value (2016: 94.8%) ‒ Warsaw accounts for 24.1% of the portfolio with 14 standing properties and 210.8k sqm of GLA • Increased presence in the fast- growing office and industrial sector ‒ €2.5bn in offices (standing, developments and future developments), with 897.0k sqm of standing GLA ‒ €117m in industrial properties with 189.7k sqm of high-quality standing GLA, 44.3k under construction and 786.9k sqm that can be developed in the future • The Globalworth Foundation is now fully active in Romania and the first initiatives have been launched in Poland • Actively supported more than 10 causes, investing both our personal time and resources ‒ Donations of c.€1.0m • Continued to invest in ideas that promote the sense of community through the Globalworth Art & Tech District and other initiatives • Made further progress on our environmentally friendly portfolio, with 43 properties at YE-19 (30 at YE-18) and 81.3% of our standing commercial portfolio by value being classified as green ‒ First BREEAM Outstanding certified property added to the portfolio in Podium Park in Krakow ‒ BREEAM Very Good or higher accredited properties account for 76.7% of total ‒ Remaining properties with LEED Gold or Platinum and EDGE certifications Investment in sustainable environment & communities 5 Six Years of Progress Portfolio Value (€m) GLA Standing (‘000s sqm) GLA Commercial Standing (‘000s sqm) GLA Commercial Standing Occupied (000’s sqm and %) 3,500 3,000 2,500 2,000 1,500 1,000 500 - 1,400 1,200 1,000 800 600 400 200 - 1,400 1,200 1,000 800 600 400 200 - 1,200 1,000 77% 85% 83% 800 600 400 200 - 93% 95% 95% 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 2014 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 2019 Romania Poland Romania Poland Romania Poland Romania Poland % Portfolio Concentration (€m) Green Portfolio (€m) Green Certified Properties (Number of Properties) Contracted Rent (€m) 3,500 3,000 2,500 2,000 1,500 1,000 500 - 2,500 2,000 1,500 1,000 500 - 50 45 40 35 30 25 20 15 10 5 - 250 200 150 100 50 - 2014 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 2019 2014 2015 2016 2017 2018 2019 Bucharest New CBD Regional Romania Regional Poland Bucharest Other Warsaw Romania Poland Romania Poland Romania Poland 6 Globalworth’s Leading CEE Platform As of 31 Dec 2019 Standing Investments(2) Globalworth Poland(1) Globalworth Romania(1) Globalworth Group(1) 22 15 37 GAV(3) / Standing GAV €1,647m / €1,619m €1,398m / €1,225m €3,045m / €2,845m Occupancy(4) WALL Standing GLA sqm(5) Contracted Rent(6) GAV Split by Asset Usage(1) GAV Split by City(1) 94.1% 3.7 years 586.3k sqm €107.8m 95.3% (95.9% including tenant options) 94.7% (95.0% including tenant options) 5.8 years 627.4k sqm €83.2m 4.6 years 1,213.7k sqm €191.0m Mix Use (Office / Retail) 18% Other 10% Industrial 9% Lodz 5% Katowice 11% Krakow 20% Office 82% Gdansk 4% Warsaw 44% Wroclaw 16% Office 81% Constanta, 1% Pitesti, 4% Timisoara 6% Industrial 4% Mix Use (Office / Retail) 10% Other 4% Office 82% Gdansk 2% Lodz 2% Katowice 6% Wroclaw 9% Krakow 11% Bucharest 89% Poland 54% Warsaw 24% Bucharest 41% Romania 46% Timisoara 2% Pitesti 2% Constanta 1% (1) Assets owned under JV are presented at 100% (e.g. Chitila Logistics Hub and Constanta Business Park), to (2) reflect “Combined Portfolio”. Standing Investments representing income producing properties. 1 investment can comprise multiple buildings. e.g. Green Court Complex comprises 3 buildings or 1 investment . Includes all property assets, land and development projects at 31 Dec 2019 valuation. (3) (4) Occupancy of standing commercial properties, and in the case of Poland, including office rental (5) (6) Including 33.7k sqm of residential units in Romania. Total contracted rent comprises rent from commercial and residential standing properties (€183.3m & €1.1m respectively) as of 31 Dec 2019, which includes contracted rent under master lease agreements, and €6.5m development pre-lets. guarantees. 7 Investment & Operational Performance Skylight & Lumen, Warsaw 8 New Investments: Corporate Activity: • Globalworth Poland (now 100% owned): ‒ Acquired the remaining 30.9% of Globalworth Poland for €216.1m (c.85% in GWI shares) • Formed JV’s for the development of two high-quality projects in Romania Asset Level Activity: • Acquired 5 standing class-A offices for €321.8million in Poland ‒ 139.2k sqm of Class “A” office space ‒ Occupancy: 88.3% (31 Dec. 19) ‒ €22.0 million of contracted rent / average WALL of 4.1 years ‒ NIY / 100% Rent Yield: 7.0% / 7.7% • Other acquisitions: ‒ The remaining 50% in RBC in Romania ‒ 2 offices under development in Poland ‒ 5ha in Timisoara for further expansion of our industrial platform Asset Level Activity Summary Standing Properties Acquired City Acq. Price (€m) GLA (K sqm) Initial Yield (%) Warsaw Trade Tower Retro Office House Silesia Star Rondo Business Park Podium Park I (*) RBC (50%) Total Standing Properties Acquired Warsaw Wroclaw Katowice Krakow Krakow Bucharest 132.9 58.8 54.4 37.0 38.7 73.0 394.8 46.8 23.2 30.2 20.3 18.9 42.3 181.5 6.8% 6.6% 8.8% 8.2% 4.4% 7.8% 7.1% 100% Occ. Yield (%) 7.6% 6.7% 8.8% 8.9% 7.2% / 6.9% 7.8% 7.7% / 7.7% Investment in Developments City Acq. Price (€m) Dev. Cost (€m) GLA (K sqm) 100% Occ. Yield (%) Podium II & III Expansion Land (5h) Krakow Timisoara Chitila Logistics Hub (JV) Bucharest Constanta Business Park (JV) Constanta Total Developments Acquired 19.5 0.9 4.8 12.5 37.7 67.8 11.3 28.9 230.0 338.0 36.5 33.6 76.1 570.9 717.1 Note: The total amount and timing of capital to be invested in Developments as presented above in the “Development Cost” column will be assessed based on tenant demand and market conditions. For the latest update on Globalworth’s status on projects under construction, refer to the “Projects Under Construction” section of the presentation. (*) Final acquisition price for Podium I may increase up to €46.7 million, subject to Vendor’s ability to lease the available space in the property in H1-2020. 7.4% 10.0% 10.2% 12.2% 10.9% 9 H1-2019 Acquisitions in Poland: Warsaw Trade Tower, Warsaw • In April 2019, we acquired WTT, one of the tallest office towers in Warsaw, for €132.9m • Attractive entry yield and effective price of sub - €3.0k / sqm, with the property offering a range of asset management opportunities. • Shortly after acquisition, Globalworth agreed a 11.9k sqm lease renewal with anchor tenant AXA for a term of 10 years Rondo Business Park, Krakow • In March 2019, we acquired Rondo Business Park in Krakow, for €37.0m, Rondo sits adjacent to our Quattro Business Park • Combined with Quattro BP, our footprint presents a contiguous campus of 86.6k sqm offering strong scope for asset management synergies. • Krakow is the largest business process centre in Poland, and one of the largest in Europe. Quattro BP Rondo BP Location: Value (Dec-19) GLA: Occupancy: WALL: Warsaw – Wola district / extended CBD Location: €142.3m 46.8k sqm 88% 4.5 years Value (Dec-19) GLA: Occupancy: WALL: Krakow €37.1m 20.3k sqm 90% c.3.7 years Contracted Rent/100% occupancy rent: €8.6m / €10.0m Contracted Rent/100% occupancy rent: €3.0m / €3.3m Key tenants: Data as of 31 Dec 2019 Key tenants: 10 H2-2019 Acquisitions in Poland: Retro Office House, Wroclaw • Retro Office House, was acquired in In July 2019 for €58.8m, in a transaction Silesia Star, Katowice • Silesia Star office property, was acquired in July 2019, for €54.4m, in a which included also Silesia Star. transaction which included also Retro Office House. • Retro is a newly completed office development located in central Wroclaw benefitting from excellent connectivity to all parts of the city and a range of public transport options. • Silesia is an office complex with two interconnecting buildings developed in 2014 and 2016 at the heart of Katowice, located in the immediate vicinity of the city centre, it is close to two universities and various transport options. Location: Value (Dec-19) GLA: Occupancy: WALL (Dec-19): Wroclaw €64.7m 23.2k sqm 100% 4.4 years Location: Value (Dec-19) GLA: Occupancy: WALL (Dec-19): Katowice €61.5m 30.2k sqm 100% 3.0 years Contracted Rent/100% occupancy rent: €3.9m Contracted Rent/100% occupancy rent: €4.8m Key tenants: Key tenants: Data as of 31 Dec 2019 11 H2-2019 Acquisitions in Poland (cont’d): Podium Park, Krakow • Podium Park comprises of three interconnected office. Podium Park I was completed in Q3 2018, while Podium Park II and III are currently under development. • Globalworth has signed a development management agreement with the vendor in relation to the construction and completion of the respective properties. Overview Summary City Total Acq. & Investment Cost Value (Dec-19) Podium Park I Status: Value (Dec-19) GLA (k sqm): Occupancy: WALL (Dec-19): Krakow € 134.0m €69.3m Completed Q3-2018 €41.3m 18.9k sqm 53.9% 5.1 years Contracted Rent/100% occupancy rent: €1.7m / €3.2m Podium Park II & III Status: Value (Dec-19) GLA (k sqm): Occupancy: WALL (Dec-19): Under Development (2020/ -) €28.0m 36.5k sqm Podium II: 82.6% / Podium III: - Podium II: 5 years / Podium III: - Key tenants: Contracted Rent/100% occupancy rent: €2.8m / €6.5m For Podium Park III, the future pace of will be assessed based on tenant demand and market conditions. 12 Standing Portfolio: • Standing Portfolio: € 2.8bn ‒ +19.5% (€2.4m in 2018) • New Additions: ‒ 5 office acquisitions (8 properties) in Poland with 139.2k sqm ‒ 1 logistics facility in the Timisoara Industrial Park II in Romania with 17.8k sqm • • 37 investments with 61 standing properties offering 1.2m sqm LfL Occupancy Rate: 95.5% ‒ +0.4% (95.1% in 2018) • Overall Occupancy Rate: 94.7% ‒ -0.4% (95.1% in 2018) ‒ Improvement in LfL occupancy and positive impact of Silesia Star and Retro House (avg occupancy of 99.8%) offset by Rondo BP, WTT and Podium Park I (avg occupancy of 81.2%) 1,633 852 781 Key Metrics Standing GAV1 (€ m) 2,845 2,381 1,217 1,619 Standing GLA1 (k sqm) Contracted Rent1(€ m) 1,214 586 1,042 429 159 82 77 184 105 79 1,164 1,225 613 627 2018 Romania 2019 Poland 2018 Romania 2019 Poland 2018 Romania 2019 Poland Green Portfolio (€ m) Occupancy GLA (%)* WALL (years)* 2.262 1,226 95.1% 94.7% 95.4% 94.1% 1,036 94.9% 95.3% 5.0 3.9 6.1 4.5 3.7 5.6 2018 Romania 2019 Poland 2018 Romania 2019 Poland 2018 Romania 2019 Poland (1) Includes c.37.2k sqm and c.33.7k sqm of residential space in 31 December 2018 and 2019 respectively. * Refers to commercial 13 Developments: • • Projects Delivered in 2019: 17.8k sqm ‒ 1st Facility in TIP II delivered increasing our industrial footprint in Timisoara to 121.2k sqm ‒ Total GLA delivered by the Group in the past 5 years of c.260k sqm Projects Delivered in Q1-2020: 33.6k sqm ‒ Globalworth Campus T3 was delivered in January 2020, with remaining fitout works performed for its 760-seat conference centre • Under Construction: • ‒ Four projects under construction in Romania (3) and Poland (1) ‒ Estimated Avg Development Yield: 8.9% Future Developments: ‒ Additional 880.6k sqm can be developed in phases in 7 projects in Romania and Poland in the future ‒ GAV of future developments accounting for 2.3% of total portfolio ‒ Estimated Avg Development Yield: 11.2% Developments Update: Post Covid-19 Globalworth Initiatives Number of Properties GAV (€m) GLA (K sqm) Est. Rent (100%) (€m) Capex Invested (€m) Remaining Capex (€m) Est. Yield on Cost (%) Romania Q1-2020 Deliveries Poland Romania Under Construction Poland Romania Future Developments Total 1 1 1 3 4 1 6 7 71.1 71.1 19.1 31.5 50.6 8.9 61.8 70.7 33.6 33.6 18.8 72.7 91.5 17.7 862.9 880.6 5.9 5.9 3.4 7.6 11.0 3.1 52.3 55.4 51.2 51.2 12.7 31.6 44.3 7.5 36.8 44.3 6.9 6.9 33.0 45.2 78.2 34.1 414.4 448.5 10.1% 10.1% 7.4% 9.9% 8.9% 7.5% 11.6% 11.2% 12 192.4 1,005.7 72.2 139.8 533.6 10.7% (1) Figures presented as at 31 December 2019, with status of developments updated for April 2020. The future pace of our developments, considering the Covid-19 pandemic, will be assessed based on tenant demand and market conditions. 14 Best In Class Office & Mix-Use Portfolio in Poland … Gdansk 54.1% of our portfolio by value is in 6 cities in Poland Wroclaw WARSAW Lodz Katowice Krakow Warsaw GAV Standing Properties Standing GLA Standing Occupancy Standing Contracted Rent: Standing 100% Potential Rent Regional Poland GAV Standing Properties Standing GLA Standing Occupancy Standing Contracted Rent: Standing 100% Potential Rent Future GLA Future ERV €733.2m 14 210.8k sqm 92.4% €45.3m €49.3m €914.2m 24 375.5k sqm 95.1% €59.7m €63.1m 36.5k sqm (15.5k sqm let) €6.5m (€2.8m let) Tryton Business House (Gdansk) Nokia Campus (Wroclaw) Quattro Business Park (Krakow) Skylight & Lumen (Warsaw) Hala Koszyki (Warsaw) 15 … and Best In Class Office & Industrial Portfolio in Romania 627k of high-quality standing space, and a further 830k sqm that can be developed in the future, in 4 cities Timisoara Pitesti BUCHAREST Bucharest’s new CBD although has the highest concentration by value this has decreased from 73.4% in 2016 to 30.5% in 2019 Constanta Bucharest GAV Standing Properties Standing GLA Standing Occupancy Standing Contracted Rent Standing 100% Potential Rent Future GLA Future ERV Regional Romania GAV Standing Properties Standing GLA Standing Occupancy Standing Contracted Rent Standing 100% Potential Rent Future GLA Future ERV €1,247.1m 17 437.8k sqm 90.9% (91.7% incl. options) €69.7m €74.8m 214.1k sqm (25.8k sqm let) €28.6m (€3.7m let) €150.6m 6 189.6k sqm 100% €9.8m €9.8m 615.4k sqm €18.6m GW Tower, Green Court & GW Plaza (Bucharest) Globalworth Campus (Bucharest) Unicredit Tower (Bucharest) Renault Bucharest Connected (Bucharest) Pitesti Industrial Park (Pitesti) 16 Projects Under Construction: 63% leased as of today (83% including options) 30% leased as of today (44% including signed HoTs and tenant option) HoTs signed for 29% of the GLA 82.6% leased Secured Projects Globalworth Campus T3 Chitila Logistics Hub (Phase A)(2) Constanta Business Park (Phase A)(2) Globalworth Square Status Type Delivery Est. GLA (k sqm) Cost / Capex to 2019YE (€m) GAV (€m) Est. Remaining Capex (€m) Est. Rental Income (100%) Est. Yield on Cost Est. Yield on GAV + Capex Completed Under Construction Under Construction Office, Bucharest Q1-20A 33.6 51.2 71.1 6.9 5.9 10.1% 7.5% Industrial, Bucharest Mix-Use, Constanta 2020E 23.1 3.5(3) 3.1 7.3 1.1 10.2% 10.6% 2020E 21.3 2.9 3.3 7.3 1.1 10.4% 10.0% Under construction Office, Bucharest 2021E 28.4 25.2(3) 25.1 30.6 5.4 9.7% 9.7% Podium II Under Construction Office, Krakow 2020E 18.8 12.7 19.1 33.0 3.4 7.4% 6.5% Globalworth Campus Tower 3 (Bucharest) Constanta Business Park (Constanta) Chitila Logistics Hub (Bucharest) Podium Park II (Krakow) Globalworth Square (Bucharest) (1) (2) (3) Calculated as Est. Rental Income/ (GAV (Dec 19) + Est. Remaining Capex) 50:50 Joint Venture; figures shown on 100% basis Includes advances paid * Office component completed in January 2020 with remaining works to be performed in the Conference centre 17 Asset Management / Leasing Review: • Record year in Leasing Key Metrics ‒ +179.5k sqm successfully negotiated in take- up (including expansions) or extension Leasing Activity by Type (k sqm) Leasing Activity by Country (k sqm) ‒ Average WALL of 5.5 years New Leases: 85.1k sqm • Negotiated headline rent level remained stable to portfolio average ‒ Avg office rent of €14.19 /sqm/m Vs portfolio overall average of €14.15 /sqm/m ‒ Our overall commercial GLA agreed at an Avg rent of €12.8 /sqm/m ▪ ▪ Industrial spaces: €3.3 /sqm/m Commercial spaces: €14.6 /sqm/m 4.6 yrs 94.4 47.4% 52.6% 85.1 94.4 7.5 yrs 66.9 4.8 yrs 18.2 New Leases Expansions Extensions Romania Poland Notable Leases Poland • AXA: 13.1k sqm in WTT / Extension & Expansion Google: 13.0k sqm in Quattro BP / Extension & Expansion IBM: 9.6k sqm in A4 BP / Extension International Paper: 7.9k sqm in CB Lubicz / Extension 152 Other Tenants: 50.7k sqm in 25 properties • • • • Romania • NDB Logistica: 11.8k sqm in TIP II / New Lease UniCredit Services: 9.7k sqm in GW Campus T3 / New Lease Allianz: 9.2k sqm in GW Campus T3 / New Lease • • • Mega Image (Delhaize Group): 4.5k • sqm in CLP / New Lease 49 Other Tenants: 49.9k sqm in 18 properties 18 Asset Management / Sustainable Rental Income: Total contracted rent increased to €191.0 ‒ +99% from commercial spaces ‒ 94.7% from active leases • • Total commercial contracted GLA: +1.1m sqm 13.9 19.3 Commercial Rent: Lease Expiration Profile (€m) Commercial Rent: Commencement Period (€m) 36.4 31.1 23.3 19.0 21.3 11.2 9.0 179.8 3.6 3.1 2.3 0.5 0.3 0.3 189.9 ‒ +87.0% in standing properties • +715 tenants in our portfolio ‒ majority of portfolio let to national and multinational corporates that are well- recognised names in their respective markets • WALL: 4.6 years ‒ 4.5 years for standing commercial properties 7% 10% 16% 12% 19% 10% 6% 5% 5.4 3% 11% 95% 7% 10% 16% 12% 19% 10% 6% 5% 3% 11% 5% 100% 2020 2021 2022 2023 2024 2025 2026 2027 2028 ≥2029 Lease Agreements Master Lease Active H1-20 H2-20 H1-21 H2-21 H1-22 H2-22 H1-23 Total Standing Properties Developments Standing Commercial Rent: Tenant Origin (€m) Commercial Rent: Tenant Concertation State Owned, 1.6% Master Lease, 0.3% • • • Largest Tenant 5.3%, Top 3 Tenants 10.9% Top 10 Tenants 26.1% 100.0% 88.9 National, 22.7% 73.5 38.5% 46.6% 15.5 52.8% 11.9 Multinational, 75.4% 1-20 21-30 31-40 41-718 Rent (€m /yr) Cumulative % of total 19 Asset Management / Other Initiatives: • Constantly improving the quality of our property services Selected Initiatives ‒ Added 47 professionals mainly to our asset and property management teams on the ground ‒ Almost all office and mix-use properties owned in 2019 are now internally managed ‒ Overall 76.9%(1) of total standing commercial portfolio internally managed ▪ 80.5%(1) of office and mix-use properties • Renovation & Upgrade Programme with €22.2m invested in 2019 ‒ Improvement works on selected properties was focused predominantly on 14 standing properties • Further investment (directly and indirectly) in technology ‒ Investment in various technology applications including smart applications and the Globalworth App. ‒ €2.4m commitment in a second venture capital fund in GapMinder (1) Figures represent percentage of value Globalworth Tower: Kinetic Floor Globalworth Tower: Natural Green Wall 40sqm kinetic floor generating energy which is stored and re-used 158 sqm wall using recycled water, nutritionally improved and treated through a process of osmosis Globalworth Portfolio: Pepper Globalworth Square: Ice Storage Pepper is our humanoid robot which improves the visit experience at our properties Ice storage unit which allows the use of ice produced at night hours to be used at daytime 20 Creating a Sustainable Environment where Business can Flourish: Creating Communities Sustainability • We create vibrancy and communities across our assets. New initiatives include special events and LED illuminations, that promote our brand and bring a greater sense of place to our buildings Globalworth District is our latest concept that brings together visual arts, fashion and music, through the backdrop of technological innovation Such events not only promote Globalworth, but enable us to create new revenue streams to sustain such initiatives • • • • • Globalworth published it inaugural Sustainable Development Report in October 2019, formalising its activities to date, and marking a commitment to further its efforts in the future Prepared in accordance with the Global Reporting Initiative (GRI) Standards - core option, and in accordance with the EPRA’s Sustainability Best Practice Reporting Recommendations (EPRA sBPR) Report available at: www.globalworth.com/sustainability 21 Covid-19: Initiatives To Ensure Health, Safety And Business Continuity • • • The safety and wellbeing of our people, partners, communities, and other stakeholders and shareholders, are and will continue to be our top priority as we focus on safeguarding our business, protecting our assets and minimising our exposure to the impact of Covid-19. Commitment to help fight Covid-19 in Romania and Poland. €600k donated to assist hospitals and related staff in Romania and Poland. Close Monitoring of the Covid -19 Virus Outbreak Actions For Our People • Dedicated teams at Group and country levels set up to monitor and implement our Covid-19 related strategy • Evolving strategy respecting measures and guidelines set out in relation to the virus at a European level, by the World Health Organisation, and at country and local levels Preventive Measures For Our Tenants And Buildings: Installation of hand disinfection stations in all our buildings’ lobbies and other public areas (with instructions for use) • • Our number one priority is to keep our teams safe and healthy: • Daily communication with our team members updating them on the latest Covid-19 news • Communicating using technology (phone, videoconferencing etc.), limiting internal and third party meetings • Provisional self-quarantine for team members who have been travelling in affected areas, as well as employees showing flu or any other associated symptoms (fever, blocked nose etc.) who are requested to stay at home and seek medical advice Frequent disinfections (every 2-4 hours) with specialised products in areas of high traffic • Flexible working programme implemented for our employees, including working remotely • Continuous communication and monitoring of all suppliers • Additional hygiene measures implemented within our regarding best practice procedures when entering and using our buildings • Detailed communication with tenants, explaining measures taken by Globalworth and providing links to important authority/government information relating to Covid-19 • Detailed action plan in place should a case of Covid-19 case be detected in one of our buildings Additional Communication Available To The Public And Tenants • Produced two sets of video materials, informing visitors and tenants on how to prevent contamination and demonstrating how we clean common spaces overnight (lobbies, stairs, elevators etc.) • All events held at our buildings, including Globalworth District events, have been cancelled until we have greater clarity on Covid-19 • Adapted the editorial messaging on our social media platforms to be more informative on Covid-19 • Commitment to help fund medical supplies as well as logistical, human and material support to aid in the response to the threat of Covid-19 in Romania and Poland workplaces, including installation of disinfectant dispensers in multiple locations in our offices and more frequent disinfection of areas which are most commonly used Measures Affecting Our Development Projects • Additional health and safety measure are being taken at our construction sites, in close cooperation with our general contractors and other suppliers, including: ‒ Covid-19 related updates and instructions for those who visit and work at our sites ‒ Installation of disinfection points at entrances and other selected locations ‒ Professional and periodical disinfection of site offices and worker stations • Information panels regarding hygiene practices and emergency contacts are installed at site entrances and in various visible areas inside the construction areas • Detailed action plan in place should a case of Covid-19 case be detected in one of our developments 22 Covid-19: 2020-YTD Initiatives to Mitigate Economic Impact Globalworth as a result of the Covid-19 pandemic has been implementing several significant measures aiming at safeguarding continuity of business, preserving cash flow and protecting its income and assets. Asset & Property Management Building Capex • Action: Termination, and/or suspensions, or renegotiation of supplier contracts • Benefit: Achieve significant savings, promoting sustainability of our business and operations, with tenants benefiting directly as leases are 3Net, thus reducing the cost of service charges ‒ Currently in the process of identifying the most efficient way to pass on the SC savings to our tenants, until the final 2020 SC reconciliation takes place early next year Human Resources & Administration • Action (1): Reduction of overheads and other costs, including employee- related costs • Action (2): Adjustment of the new Group annual remuneration policy, so that all 2019 bonuses will now be paid in shares (Vs 50% cash and 50% shares) ‒ Senior employees: 100% paid in shares in 2 tranches ‒ 50% on 31/3/2021, and 50% on 31/3/2022 ‒ Other employees: 100% paid on 31/3/2021 ‒ Shares will be transferred upon vesting at the fixed value of €7.00 / share and with no further vesting period or lock up • Action (3): Continued review of our entire cost base, and are already achieving significant savings thanks to our longstanding relationships with a number of suppliers • Action: Substantially reduced our Renovation & Upgrade Capex for our standing properties, focusing on the absolute essential requirements relating to health and safety, and maintenance. • Benefit: Suspension of +€12m of planned standing building capex works for 2020. ‒ Works suspended exclude tenant fitout works which continue as normal, but at renegotiated prices with suppliers and/or contractors. Projects Under Development • Action: Significantly scaling back of our development programme, focusing only to those projects which have significant pre-lets or construction is substantially completed or very advanced. • Benefit: Expect to invest c.€54m over the next 12 months in developments ‒ Investment reduced by €36m (original estimate was for +€90m investment during the period) ‒ Reductions, achieved through renegotiations with contractors, value-add engineering, scope reduction and works postponement New Investments • Action: New investment activity is currently suspended. ‒ We continue to monitor the investment market for potential investment opportunities ‒ In the future should an investment opportunity with particularly attractive potential returns arise we my consider pursuing it 23 Covid-19: Our Preliminary Take-Aways on Sustainability of Our Business Consideration Countries of Focus Consideration • Covid-19 has spread across the Globe with some countries and regions more affected than other Where we Stand • Poland and Romania as at the end of April 2020, had 12.6k and 12.0k confirmed Covid-19 cases, ranking 15 and 16th in Europe, and accounting for less than 1.0% of total confirmed cases in the continent respectively Government Intervention on Real Sectors • Government measures directed at fighting • Governments in Poland and Romania have established a number of such measures Covid-19 have had a direct impact on certain real estate sectors including rent reductions and/or suspensions for non-essential retail businesses during the state of emergency period • Non-essential retail premises have been ordered to close, whereas certain types of restaurants were only allowed to operate a take-away or delivery service ‒ Globalwortth has only limited exposure to the retail sector (see below) • No government measures forcing the closure of offices, logistics/light-industrial properties or essential retail businesses in Poland and Romania Occupancy / Rent Sustainability • Covid-19 has or is expected to impact a number businesses with quality of tenant base and type of operation becoming increasingly important • Globlaworth has +715 tenants in its portfolio, with 75.1% of rental income generated by multinational groups and the majority of the remaining rent from well known and established national corporates (23.0%) and state owned entities (1.6%) Liquidity & Debt Risk • Increasing importance on available resources as availability of funding is becoming more difficult or expensive • Almost all of our Top-20 tenants, accounting for 38.5% of our contracted rent, are multinational corporates covering a number of international markets • Globalworth has only limited exposure to the retail sector, with 9.1% of contracted rent derived from retail ‒ Less than 50% of retail rent from tenants which have been closed down or materially affected by the emergency legislation ‒ Retail is located in 3 mixed-use properties in Poland and (typically) on the ground floors of our office properties • Coworking accounts for less that 3.0% of contracted rents • +€550m liquidity (April 2020), increased from €292m at year-end 2019, as a result of drawdown of existing committed (RCF) and new facilities, and aforementioned cost cutting measures • Net LTV of 34.7% as at YE2019, with limited debt maturities until June 2022 24 Covid-19: Impact from Government Covid-19 Related Measures Contracted Rent Overview: 86% Contracted Rent: €191.3m Automotive 8% l a t o t f o % 100% 80% 60% 40% 20% - 9% 5% Office Retail Industrial 1% Other Closed or Severily Affected by Covid-19 measures 49% • Retail Shops • Restaurants • Fitness Centers • Kindergartens • Other Note : Data as per April 2020 Open or Less Affected by Covid-19 measures 51% Supermarket • • Convenience Stores • Pharmacies • Bank branches • Other Financial 12% IT 15% Other 27% Medical / Pharmaceutical 7% Services 7% Telecom 7% Technology 5% Insurance 5% Industrial 4% Other 37% Restaurant 23% Clothing 21% Grocery 11% Fitness 11% • Retail comprising of +17 different sub-categories 25 2019 Capital Markets Performance 26 Capital Market Performance / Equity: • • • • • €793m of total new equity raised in 2019 2019 Share Price Performance ‒ €612m of new equity placed with new and existing shareholders (€348 million in April and €264 million in October) ‒ €181m of new shares in January and April to certain shareholders of Globalworth Poland in exchange for its shareholding in our subsidiary 2019 Total share price performance for the year: +14.4% 2019 Total shareholder return (including dividends) for 2019: 21.7% Significant movement in shareholding base ‒ Aroundtown entered the shareholding in 2019 and the CPI Property Group becoming the Groups largest shareholder in February 2020 The Covid-19 pandemic has impacted Goldworth's 2020 share price performance: ‒ -33% (based on 30 April 2020 share price) 125.0% 120.0% 115.0% 110.0% 105.0% 100.0% 95.0% 125.0% 120.0% 115.0% 110.0% 105.0% 100.0% 95.0% 8 1 - c e D - 1 3 9 1 - n a J - 4 1 9 1 - n a J - 8 2 9 1 - b e F - 1 1 9 1 - b e F - 5 2 9 1 - r a M - 1 1 9 1 - r a M - 5 2 9 1 - r p A - 8 9 1 - r p A - 2 2 9 1 - y a M - 6 9 1 - y a M - 0 2 9 1 - n u J - 3 9 1 - n u J - 7 1 9 1 - l u J - 1 9 1 - l u J - 5 1 9 1 - l u J - 9 2 9 1 - g u A - 2 1 9 1 - g u A - 6 2 9 1 - p e S - 9 9 1 - p e S - 3 2 9 1 - t c O - 7 9 1 - t c O - 1 2 9 1 - v o N - 4 9 1 - v o N - 8 1 9 1 - c e D - 2 9 1 - c e D - 6 1 9 1 - c e D - 0 3 Globalworth Share Price FTSE/EPRA Developed Europe (ex UK) FTSE/EPRA Global Shareholding Structure 31 December 2019 Other, 24.5% Growthpoint Properties, 29.3% EBRD, 5.0% Altsuler Group, 6.2% I. Papalekas, 13.1% Aroundtown, 21.9% 25 March 2020 Other, 14.3% EBRD, 5.0% CPI Property Group, 29.4% Aroundtown, 21.9% Growthpoint Properties, 29.4% 27 Capital Market Performance / Eurobonds: • • • • €1.1bn in two Eurobonds maturing in 2022 and 2024 €1.5bm EMTN program in place ‒ €550m raised as part of the program and an additional €950m available to be issued in the future Eurobonds rated at Investment Grade by all 3 agencies ‒ Moody’s: upgrading to Baa3 (from Ba2 in 2018) ▪ in April 2020 Moody’s affirmed Globalworth's Baa3 ratings and changed its outlook to negative ‒ S&P: upgrading to BBB- (from BB+ stable in 2018) ‒ Fitch: assigned investment grade rating of BBB- in 2018 (remained stable in 2019) Signed a €200 million, 4.5-year unsecured revolving credit facility in 2019 ‒ additional €50 million uncommitted accordion option in place ‒ On 18 March 2020, €200.0 million were drawn from the facility 2019 Eurobond Performance 3.98% 2.85% 5.0% 4.5% 4.0% 3.5% 3.0% 2.5% 2.0% 1.5% 1.0% 0.5% - GWI bond 17/22 GWI bond 18/25 Selected Metrics Performance of the Globalworth Bonds GWI bond 17/22 Year-end closing price Yield to maturity at year-end closing price GWI bond 18/25 (*) Year-end closing price Yield to maturity at year-end closing price (*) 2018 performance from time of issue 2018 100.1% 2.854% 94.7% 3.976% 1.44% 0.67% 2019 105.4% 0.671% 107.8% 1.440% 28 2019 Financial Results 29 FY 2019 – FINANCIAL HIGHLIGHTS • Strong growth in financial metrics following ongoing portfolio expansion in 2019 • Successful capital markets activities funding growth Portfolio Value1 €3.0bn +23.7% EPRA Net Asset Value €2.1bn +72.4% EPRA NAV / share €9.30 +2.9% LTV 34.7% YE-2018: 43.9% Av. Debt Interest Rate 2.83% YE-2018: 2.91% Rental Income €151.5m +10.1% Adj EBITDA2 €240.1m +59.2% IFRS Earnings €170.2m +112.0% EPRA Earnings €80.9m +32.8% Dividend €124.7m* FY-2018: €71.5m NOI €147.7m +10.7% Adj Normalised EBITDA3 €134.8m +34.3% IFRS EPS €0.93 +52.5% EPRA EPS €0.44 -4.3% Dividend / Share €0.60* 2018: €0.54 Please refer to the published Audited 2019 Financial Statements for full disclosures. (1) Combined real estate portfolio includes the Group’s Investment Property - Freehold as at 31 December 2019, plus investment properties held as Joint Ventures presented at 100%. Earnings Before Interest (finance cost), Tax, Depreciation, Amortisation of other non-current assets and purchase gain on acquisition of subsidiaries. This includes the share of minority interests. (2) (3) Earnings Before Interest (finance cost), Tax, Depreciation, Amortisation of other non-current assets, purchase gain on acquisition of subsidiaries, fair value movement, and other non-operational and/or non-recurring income and expense items. This includes the share of minority interests. * Dividend related to the year ended 31 December 2019. 30 Financial Highlights: P&L Condensed Income Statement €m Rental Income Net Operating Expenses Net operating income Administrative expenses Fair value movement in investment property Other net expenses/income Profit before net financing cost Net financing cost – Finance cost – Finance income Share of profit of joint venture Profit before tax Income tax expense Deferred tax expense Profit for the year – Equity holders of the Company – Non-controlling interests IFRS Earnings per share (diluted) Wtd Average Shares (diluted) - ('000) Adjusted EBITDA Metrics Profit before Net financing cost Gain on Subsidiary acquisition Depreciation on other long-term assets Adjusted EBITDA (100% GW Poland) Less: FV gains on property & financial instruments Less: Other income Add-back: Acquisition Costs Add-back: Non Recurring Admin & Other Expenses Rental guarantees adjustment Adjusted Normalised EBITDA (100% GW Poland) 1 2 3 4 5 6 7 2019 151.5 -3.8 147.7 -19.3 117.7 -3.5 242.6 -42.6 -45.1 2.4 7.8 207.7 -6.8 -24.8 176.2 170.2 6.0 2018 137.6 -4.2 133.4 -15.3 34.1 -1.6 150.7 -38.4 -41.7 3.3 3.1 115.3 -8.0 -7.4 99.9 80.3 19.6 Variance 13.9 0.4 14.3 -4.0 83.6 -1.9 91.9 -4.2 -3.3 -0.9 4.7 92.4 1.3 -17.4 76.3 89.9 -13.6 € 0.93 182,823 € 0.61 132,518 € 0.32 50,305 2019 242.6 -2.9 0.4 240.1 -119.6 -0.9 0.2 9.2 5.7 2018 150.7 -0.3 0.4 150.8 -39.6 -0.3 1.2 6.9 -18.6 100.4 Variance 91.9 -2.6 0.0 89.3 -80.1 -0.6 -0.9 2.3 24.3 34.3 % Chg 10% -10% 11% 27% 245% 122% 61% 11% 8% -27% 150% 80% -16% 235% 76% 112% -69% 52% 38% % Chg 61% 1,041% 2% 59% 202% 182% -80% 34% -131% 34% Comments 1. Increase in Rental Income of 10%: • New acquisitions in Poland added rental income of €12.1m • Successful leasing activity resulting in LfL portfolio rental income increasing by 21.9% or €24.9m ‒ Polish and Romanian properties rental income up by 37.5% and 6.8% ‒ Negative impact of the one-off rental guarantee income encashed in Dec-2018 for future periods (€18.6m) • New deliveries and other income added another €0.6m 2. Fair value gains of €117.7m, resulting from • €72.6m valuation uplift of LfL standing properties and LfL lands • €38.0m from investments completed in 2019 • €7.1m from properties under development on LfL basis 3. Finance costs increase mainly as a result of full annual interest cost of the €550m Eurobond (18/25) in 2019 (vs 9-months of interest in 2018) 4. Joint Venture profits includes the €2.4m share of rental income from the RBC property (100% owned as at Q4-19), plus the share of revaluation gains of €1.8m from the Group’s two other JVs 5. Deferred tax expense Mainly due to fair value gain on investment property. 6. Non-controlling interests reduced due to the increase in ownership in Globalworth Poland from 69.7% at 31 Dec 18 to 100% at 31 Dec 19 7. Adjusted EBITDA shown as 100% of Globalworth Poland, without elimination of share of minority interest, which was decreased to zero in Q4-19 8. Adjusted normalised EBITDA removes certain items, including fair value gains on property and non-recurring income and expenses. 31 Please refer to published audited 2019 Financial Statements for full disclosure. Note that numbers may not add correctly due to rounding 8 134.8 Financial Highlights: Balance Sheet Condensed Balance Sheet Comments €m Investment property Investment in joint ventures Equity investments Other non-current assets Financial Assets (ROFOs) Non-current assets Financial Assets (ROFOs) Other current assets Cash and cash equivalents Current assets Total assets Share capital & related reserves Retained earnings Equity attributable to equity holders Non-controlling interest Total equity Interest-bearing loans and borrowings Deferred tax liability Lease liabilities Other non-current liabilities Non-current liabilities Interest-bearing loans and borrowings Current portion of lease liabilities Other current liabilities Current liabilities Total equity and liabilities 1 2 3 4 5 6 2019 3,049 18 10 50 3 3,130 20 40 292 352 3,482 1,702 213 1,915 - 1,915 1,300 134 30 6 1,470 24 2 71 97 3,482 2018 2,391 38 9 19 3 2,460 13 35 230 277 2,737 899 186 1,085 212 1,297 1,235 107 - 16 1,358 24 - 58 82 2,737 Variance 658 -20 1 31 0 669 8 5 62 75 745 803 27 830 -212 617 65 27 30 -10 112 0 2 13 15 745 IFRS Book Value per share (basic) EPRA Net Asset Value per share (diluted) Shares Outstanding (diluted) - ('000) € 8.64 € 9.30 222,410 € 8.19 € 9.04 132,699 € 0.45 € 0.26 89,711 % Chg 28% -53% 11% 161% 10% 27% 59% 16% 27% 27% 27% 89% 14% 76% -100% 48% 5% 26% 100% -63% 8% 1% 100% 23% 19% 27% 5% 3% 68% 1. Growth in investment property by €0.7bn split to: • New acquisitions of €423.7m in Poland (€335.1m) and Romania (€ 88.6m) • CAPEX of €55.6m from our development projects in Romania and €35.1m on standing properties (mainly in Poland) • Addition of €32.1m on adoption of IFRS 16 for right of perpetual usufruct of the land in Poland • Revaluation of portfolio of €117.7m 2. Investments in Joint-Ventures • Investment in two new JVs (€14.3m) and share of results (€3.5m) • Transfer of €38m on consolidation following the acquisition of the remaining 50% in our RBC investment 3. Cash and Cash Equivalent of €292m at 31 December 2019 increased as a result of: • Net cash inflow from Operations of €80.3m • Cash outflow for Investing Activities of €375.0m • Net Cash inflows from Financing Activities of €359.2m 4. Share Capital change due to: • €599m net proceeds from equity capital raises • €179.4m from share exchange with Globalworth Poland minority holders • New share capital issued (€29.2m) as part of the incentive plan termination 5. Retained Earnings up by €27m • FY-19 profits (+€170.2m) and the gain on acquisition of non-controlling interest in GPRE (+€5.5m), partially offset by dividend payments (-€93.9m) and incentive plan termination (-€55.0m) 6. Non-Controlling Interests • Decrease due to acquisition of 100% of Globalworth Poland Please refer to published audited 2019 Financial Statements for full disclosure. Note that numbers may not add correctly due to rounding 32 EPRA NAV and Earnings Metrics €m Earnings Attributable to Equity Holders (IFRS) Adjustments per EPRA Guidelines: Fair Value gain on investment property Chg. in FV of financial instruments & resp. close-out costs Losses on disposal of investment properties Chg. in value of financial assets through P&L Acquisition costs Gain on acquisition of subsidiaries Tax credit relating to losses on disposals Deferred tax charge in respect to above Adjustments in respect of JVs and other items Non-controlling interests in respect of the above EPRA Earnings EPRA Earnings per share (basic) €m Equity Attributable to Equity Holders (IFRS) Adjustments per EPRA Guidelines: 2019 170.2 2018 80.3 -117.7 -34.1 0.5 1.6 -1.9 0.2 - (0.0) 29.7 -4.4 2.7 80.9 0.3 2.7 -5.5 1.2 -0.3 (0.0) 17.5 -4.1 2.9 60.9 € 0.44 € 0.46 2019 2018 1,914.7 1,084.9 Deferred tax liability in respect to property revaluations 157.6 128.6 FV of interest rate swap Goodwill as a result of deferred tax Adjustments in respect of JV for above items Non-controlling interests in respect of the above EPRA Net Asset Value EPRA NAV per share (diluted) 1.5 -5.7 1.3 0.0 2.1 -5.7 1.3 -11.1 2,069.4 1,200.2 € 9.30 € 9.04 IFRS to EPRA Earnings Bridge (€m) Change in EPRA NAV (€m) (1) “Other” includes the costs associated with the change in the arrangements for the long-term incentive plan for the Group’ Executives (cash payment of €25.8 million and transfer of 3.2 million shares), as well as other movements within equity. 33 Financing Metrics Key Balance Sheet Metrics ■ 34.7% LTV ■ 2.83% weighted average interest rate ■ 83.3% debt via unsecured, public debt markets ■ 4.3 years average maturity of debt Debt Instruments ■ €550m 5 yr Eurobond in Jun-17 with 2.875% coupon ■ €550m 7yr EMTN issue in Mar-18 with 3.0% coupon ■ Selective use of secured financing facilities ■ €200m 4.5 yr unsecured RCF (drawn in Mar-2020) Financing Strategy ■ Long-term LTV target of below 40% ■ Largely unsecured debt structure, but seeks to optimise flexibility around portfolio and financing management ■ Target diversification across debt maturities Investment Grade Credit Rating ■ Fitch: BBB-, stable outlook ■ S&P: BBB-, stable outlook ■ Moody’s: Baa3, negative outlook(1) (April update) Consolidated Loan to Value Ratio Extended Debt Maturity Profile – Dec-19 (€m) €m 31-Dec-19 31-Dec-18 Balance Sheet Debt (at Face Value) Less: Cash/Cash Equivalents Net Debt Add: 50% Share of JV Debt Less: 50% Share of JV Cash Combined Net Debt Investment Property* Less: Other operating lease commitment Group Open Market Value Add: 50% share of JV Property OMV Group Share of Total Open Market Value Loan-to-value ratio (“LTV”) 1,342 (292) 1,050 - (0) 1,282 (230) 1,052 14 (2) 1,050 1,065 3,017 (1) 3,016 15 3,030 34.7% 2,391 (2) 2,389 36 2,426 43.9% 700 600 500 400 300 200 100 0 2020 2021 2022 2023 2024 2025 >2025 * As the carrying value of lease liability equals with the investment property – leasehold at 31 December 2019, both related asset and liability of €32m are excluded from the LTV calculation above. (1) Moody’s in April 2020 affirmed Globalworth's Baa3 ratings and changed its outlook to negative. 34 Other Supporting Material 35 Future Developments: Globalworth has a number of developments to be developed in the future in phases, mainly office and industrial projects, in Bucharest and other principal regional cities in Romania, and on completion will offer c.880.6k sqm of high-quality real estate space, providing an expected blended yield on investment cost of 11.2%. Secured Projects Podium III Globalworth West Chitila Logistics Hub (Other Phases)(2) Constanta Business Park (Other Phases)(2) Timisoara Industrial Park (I & II) (Other Phases) The Luterana Development Green Court D Status Type Future Development Future Development Future Development Future Development Future Development Future Development Future Development Office, Krakow Office, Bucharest Industrial, Bucharest Mix-Use, Constanta Industrial, Timisoara Office, Bucharest Office, Bucharest Est. GLA (k sqm) Cost / Capex to 2019YE (€m) GAV (€m) Est. Remaining Capex (€m) Est. Rental Income (100%) Est. Yield on Cost Est. Yield on GAV + Capex 17.7 7.5 8.9 34.1 3.1 7.5% 7.3% 33.4 4.4 7.5 41.1 5.1 11.1% 10.4% Note: Figures presented as at 31 December 2019, with status of developments updated for April 2020. (1) (2) Calculated as Est. Rental Income/ (GAV (Dec 19) + Est. Remaining Capex) 50:50 Joint Venture; figures shown on 100% basis 53.0 3.3(3) 3.8 19.6 2.3 10.2% 10.0% 549.6 12.0 19.3 220.3 28.6 12.3% 11.9% 184.2 7.0 10.9 67.9 7.5 10.0% 9.5% 26.4 7.2 14.4 40.4 5.8 12.2% 10.6% 16.2 2.9 5.9 25.1 3.0 10.7% 9.7% 36 Combined Standing Commercial Portfolio Snapshot: (data as of 31 December 2019) Number of Investments (#) Properties (#) Value GAV (€m) Area GLA (k sqm) Occupancy Rate by GLA (%) Rent Contracted Rent (€m) WALL 100% Rent (€m) Years Contracted Headline Rent / Sqm or Unit Office (€/sqm/m) Industrial (€/sqm/m) Commercial (€/sqm/m) Office Portfolio Bucharest New CBD Bucharest Other Romania: Office Warsaw Krakow Wroclaw Lodz Katowice Gdansk Poland: Office Total Office Portfolio Mix-Use Portfolio Warsaw Wroclaw Katowice Total Mix-Use Portfolio Industrial Timisoara Pitesti Constanta Bucharest Total Industrial Portfolio Other Portfolio Bucharest New CBD Upground Complex - Residential Bucharest New CBD Upground Complex - Commercial Total Other Portfolio Total Standing Commercial Portfolio Of which Romania Of which Poland 7 4 11 8 4 3 1 2 1 19 30 1 1 1 3 2 1 -- -- 3 1 -- 36 14 22 10 6 16 9 11 3 2 5 1 31 47 5 1 1 7 5 1 -- -- 6 1 -- 755.6 281.0 1,036.6 602.8 304.1 148.6 74.0 131.0 59.3 1,319.6 281.8 116.3 398.1 188.5 129.3 56.6 35.5 63.3 25.6 498.8 2,356.2 897.0 130.5 114.4 54.9 299.7 67.6 49.5 -- -- 22.3 40.9 24.3 87.5 121.2 68.4 -- -- 117.1 189.7 61.6 10.0 33.7 6.0 71.6 39.6 60 22 38 2,783.1 1,163.7 1,619.4 1,180.1 593.8 586.3 93.2% 92.3% 93.0% 92.0% 90.8% 99.7% 98.9% 99.8% 100.0% 94.4% 93.8% 95.8% 87.5% 96.3% 92.1% 100.0% 100.0% - - 100.0% nm 99.6% nm 94.7% 95.3% 94.1% 49.0 18.8 67.8 38.3 20.4 9.4 5.3 10.0 4.1 87.5 155.4 7.0 6.5 3.9 17.4 5.5 4.3 -- -- 9.8 1.1 0.7 1.9 183.3 78.3 105.0 5.1 6.4 5.5 3.7 3.3 5.0 4.0 2.9 2.3 3.6 4.4 4.9 3.4 3.5 4.0 7.4 5.5 -- -- 6.6 1.2 8.8 4.2 4.5 5.6 3.7 52.1 20.9 72.9 42.1 22.6 9.4 5.4 10.0 4.2 93.6 166.6 7.2 7.5 4.2 18.8 5.5 4.3 -- -- 9.8 1.1 0.7 1.9 195.9 83.5 112.4 14.2 13.7 14.1 16.8 13.2 13.0 11.7 12.5 12.3 14.3 14.2 22.4 12.4 13.6 17.2 6.2 5.3 -- -- 6.0 -- -- -- 14.2 13.8 14.5 -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- 3.5 5.3 -- -- 4.1 -- -- -- 4.1 4.1 -- 14.2 13.6 14.0 16.7 13.2 13.0 11.9 12.3 12.2 14.2 14.1 24.6 13.7 13.1 16.4 3.7 5.3 -- -- 4.3 -- 9.2 9.2 12.6 10.7 14.5 37 For more information, please see www.globalworth.com or contact ir@globalworth.com 38
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