28
. Aug. 2017 – report on the first half of 2017
.
!Aug. 2017 – report on the first half of 2017
2
• Acquisition of land next to and below Hotel Chopin in H1
2013
• Lease of land next to AIRPORTCITY St. Petersburg for car
park in 2014target: freehold
• Acquisition of land in Łódź (2015)
• Zeppelin tower, AIRPORTCITY St.
Petersburg completed and fully let to Gazprom
(June 15)
• New tenant for ErzsébetOffice in Budapest
(Sept. 2015)
• Office buildings under construction in Łódź and
Krakow
• Further developments in St. Petersburg, Krakow
and Budapest
Hotels &Investment Properties
Ongoing Income
Development
Long-term Value Creation
Acquisition
Growth Potential
Warimpex snapshot – business model
2
Warimpex Finanz- und Beteiligungs AG, Vienna
Core Assets Non - Core Assets
Saleü andel’s Berlin
(July 15)
ü angelo + Liner Ekaterinburg (Sept 15)
ü Parkur Tower Warsaw(June 16)
ü angelo Prague (Oct. 16)
ü Chopin Krakow,andel’s Krakow, andel’s Łódź, angeloKatowice, Amber Baltic Miedzyzdroje, Diplomat Prague, angelo Plzen, angeloBucharest (May 17)
3
Operational highlights
• 5/2017 Handover of multi-use parking/office at AIRPORTCITY St. Petersburg
• 5/2017 Warimpex sells 8 hotels (1,800 rooms) in 3 countries (PL, CZ, RO)
• 7/2017 Start of construction of Mogilska office (12,000 sqm) in Krakow
• 7/2017 Warimpex pays back outstanding bonds of around EUR 27 mn. early
3
4
Transaction highlights
Warimpex Finanz- und Beteiligungs AG, Vienna sells 8 hotel (1,800 rooms) in 3 countries
§ Closed 31. May 2017
§ Transaction value of approx. EUR 180 mn. (excluding the stakes of UBM)
§ Positive earnings contribution of EUR 21.4 mn in Q2 2017
plus: Diplomat, Prague; angelo, Plzen; Chopin, Krakow; Amber Baltic, Miedzyzdroje
5
Total liabilities (at equity) have declined by EUR 121.1 mn. in 12 months
€ 271.1 mn.
Total debt as of June 30, 2016
Decline of project financing
Decline of bank overdrafts
Decline of bonds / convertible bonds
Increase of other
debt/liabilities
Total debt as of June 30,
2017
€ 100.0 mn.€ 6.6 mn.
€ 16.3 mn.
€ 150.0 mn.€ 1.8 mn.
§ Total liabilities (incl. liabilities of non-controlling interests, excluding joint ventures) have declined fromEUR 271.1 mn. as of June 30, 2016 to EUR 150.0 mn. as of 30.06.2017
Source: Company Financial Report as of June 2017, note 7.8. After balance sheet date EUR 27mn bonds were paid back, not considered in chart
6
Company overview – stake adjusted – as of 30.06.2017
Strong DiversificationReal estate held by sector
(share of GAV)Real estate assets by country
(share of GAV)Total GAV
approx. 171 mn.
hotels34%
offices43%
development23%
PL18%
HU15%
RU40%
F26%
7
Portfolio overview
Development: AIRPORTCITY St. Petersburg offices incl. land reserve
Development:3 offices1 land reserve
2 hotels1 hotel
1 Hotel
1 hotel2 offices1 multi-use parking
2 officesland reserve
1 leased hotel1 leased hotel
8
Hotel portfolio at a glance
Hotel portfolio after disposal: 1,800 rooms in total (stake adjusted 900 rooms)Note: ** recognized as financial asset
100%Hotels (as of 30.06.2017) City Country Rooms Stake
Dvořák**** Karlovy Vary CZ 126 100 % operating lease
InterContinental**** Warsaw PL 404 50 % operating lease
Crowne Plaza**** St. Petersburg Airport RU 294 55 %
Dream Castle**** Paris FR 397 50 %
Magic Circus**** Paris FR 396 50 %
Palais Hansen Kempinski***** Vienna AT 152 9,88 %**
9
Office portfolio at a glance100%
Offices (as of 30.06.2017) City Country Area Stake Occupancyrate (approx.) Tenant
Zeppelin St. Petersburg RU 15,600 sqm. 55% 100% Gazprom
Jupiter St. Petersburg RU 17,000 sqm. 24% 100% Gazprom
Multifunctional parking/office St. Petersburg RU6,000 sqm.450 parking
spaces 55% 100% Gazprom
Erzsébet Office Budapest HU 15,000 sqm. 100% 97%GroupamaGaranciaInsurance
Sajka Office Budapest HU 600 sqm. 100% 40%
54,000 sqm. office in total (stake adjusted 31,000 sqm.)
Zeppelin, AIRPORTCITY St. Petersburg
10
AIRPORTCITY St. Petersburg, multi-use parking/office – handover May 2017
§ AIRPORTCITY Office / Parking
- 4,700 m2 office
- 2,500 m2 archive/storage area
- 3 car parking decks (2 heated decks)
- 450 car parking spaces
- car wash station
- car service station
- bus parking spaces
11
AIRPORTCITY St. Petersburg, Zeppelin tower – completed June 2015
AIRPORTCITY St. Petersburg
•Phase II: Zeppelin
- 15,600m2 offices, fully let since 6/2015
12
Pipeline overview
Ogrodowa 8 office, Łódź
Mogilska Office, Krakow
Development Projects Expected opening
Total area /no. of rooms Stake (%)
Ogrodowa Office, Łódź (under construction) Q1 2018 approx. 26,000 m2 100
Mogilska Office, Krakow (under construction) Q4 2018 approx. 12,000 m2 100
Planning phase:
Chopin Office, Krakow 2019 approx. 21,000 m2 100
Hotel, Budapest 2019 approx. 165 rooms 100
AIRPORTCITY St. Petersburg Phase III Offices 2021 approx. 40,000 m2 55
AIRPORTCITY St. Petersburg Phase IV up to 110,000 m2 2025 - 55
Land reserves in Bialystok - - 100
13
Development pipeline – Ogrodowa Office, Łódź• New office buildings to be built near to andel‘s hotel Łódź• One of the best office locations in the city, near Manufaktura and Piotrkowska Street
(perfect acces to the public transportation and within 10 minutes walk from Fabryczna railway station)• Total of approx. 26,000 m2 of leasable office area• Underground Parking is provided• Construction started Q4/2016 • Planned opening Q1 2018• 30% of office space pre leased
14
Development pipeline – Mogilska Office, Krakow
• Prime location in the commercial district of Krakow
• Direct connection to public transportation at Rondo Mogilskie
• Vicinity of courts and public offices• Total of approx. 12,000 m2 leasable office
space• Underground parking is provided• Building permit received, demolition of old
buildings completed• Construction started Q3/2017• Planned opening Q4/2018• LOIs received for 60% of office space
15
Development pipeline – Chopin Office, Krakow
• New office buildings to be built near to Chopin hotel Krakow• One of the best office locations in the city at Mogilskie roundabout
(one of the main public transport hubs, 10 min from railway station and city centre)• Total of approx. 26,000 m2 (approx. 21,000 m2 of leasable office area)• Underground parking is provided• Planning phase• Planned opening 2019
16
Development pipeline – Hotel & Residential Project, Budapest
• 3*-hotel with approx. 165 rooms• Approx. total area 16,000 m2
• 67 apartments (3,200 m2) for sale• 3 underground parking floors• Planning phase• Construction permit received• Planned opening 2019
17
AIRPORTCITY St. Petersburg
ü Hotel Crowne Plaza ****, 294 rooms 2011
ü Phase I: Jupiter 1 and Jupiter 2
opened 2011 and 2012 / sold 2015
- 17,000 m2 office, fully leased to Gazprom
ü Phase II: Zeppelin
opened mid 2015
- 15,600 m2 leasable office area, fully leased to Gazprom
ü Multifunctional office and parking – opened mid 2017
fully leased to Gazprom
§ Phase III offices
- 60,000 m2 leasable office area (2021 planned)
§ Phase IV offices
- up to 110,000 m2 leasable office area (2025 planned)
18
§ Improve the financial and operational performance of our assets
Ø Improve substantially recurring revenues and earnings
§ Take advantage of recovery on transaction markets and further strengthen the capital structure and efficiency of the Group’s balance sheetØ Recycle assets (Sale of Gross Asset Value p.a. in 2015: > 25 %, in 2016 approx. 7 %, in 2017 approx. 50 %)
§ Long-term leverage target of adjusted equity ratio* of 40 % - 50 % (31.12.16: 18 %, as of 06/2017 approx. 35 %)
§ Development and land bank of Gross Asset Value (as of 31.12.16 approx. 12 %, as of 06/2017 approx. 23 %)
Ø Monetize the land bank through selective development or divestment
Ø Acquire land plots in secondary cities in Poland for future developments
Ø Continue hotel and office (re-)developments in CEE and Russia
Targets and strategy
18
• Assuming that all the real estate assets are recognized at their fair value
19
Income statement – H1 2017
19
EUR (in thousand) 1-6 2017 1-6 2016 +/-
Revenues from Hotels 20,786 24,188 - 14 %
Revenues from Investment Properties 6,053 3,983 52 %
Revenues from Development & Services 665 789 - 16 %
Total revenues 27,505 28,959 - 5 %
Expenses directly attributable to the revenues - 15,406 - 16,906 - 9 %
Gross income from revenues 12,099 12,054 -
Income from the disposal of properties 23,624 147 -
EBITDA 29,452 6,289 368 %
Depreciation, amortization and revaluation 13,901 3,918 255 %
EBIT 43,353 10,207 325 %
Financial result - 9,216 3,867 -
Loss/Profit for the period 33,547 12,300 173 %
Loss/Profit for the shareholder of the parent 28,716 7,127 303 %
20
Balance sheet – 6 2017
EUR (in thousand) 30 6 2017 31 12 2016 +/-
Non-Current Assets 191,566 174,185 10%
Current Assets 64,369 183,701 - 65%
Total Assets 255,935 357,886 - 28%
Equity attributable to shareholders of the parent 100,649 70,188 43%
Equity 78,004 43,074 81%
Long-term Debt 129,727 169,371 -23%
Short-term Debt 48,204 145,457 -67%
Total Equity and Liabilities 255,935 357,886 - 28%
21
Cash flow statement
EUR (in thousand) 1-6 2017 1-6 2016 +/-
Inflow from operating activities 28,117 29,217 - 4%
Outflow from operating activities -23,665 -22,835 4%
Cash flow from operating activities 4,452 6,382 - 31%
Inflow from investing activities 73,895 5,468 1,251%
Outflow from investing activities -9,138 -3,214 184%
Cash flow from investing activities -64,702 2,254 -
Cash flow from financing activities -27,844 -9,982 179%
Cash and cash equivalents at the end of period 45,997 6,477 610%
22
Segment reporting *
22Note: * including Joint Ventures on a proportionate basis
EUR (in thousand) 1-6 2017 1-6 2016 +/-
HOTELS
Revenues 35,637 37,575 - 5 %
Net operating profit (NOP) 10,509 10,824 - 3 %
Rooms available 2,354 2,787 - 16 %
NOP per available room in EUR 4,464 3,884 15 %
Occupancy Rate in % 69% 64% 5pp
RevPAR in EUR 54,2 48,6 12 %
INVESTMENT PROPERTIES – OFFICES
Revenues 8,161 4,351 88 %
EBITDA Investment Properties 6,647 3,287 102 %
Development & Services
Revenues 1,389 1,075 29 %
Losses/Gains on property disposals 23,624 147 -
EBITDA D&S 20,201 -2,368 -
23
Appendix
24
Experienced Management Team
§ Warimpex’s principal shareholders, Franz Jurkowitsch (Chairman) and Georg Folian (Deputy Chairman), haveeach more than 25 years of experience in developing, operating and owning real estate assets in CEE
§ Strong team of senior country managers in place with significant local experience
§ The management team has a proven track record in the region in developing or acquiring and redevelopingnumerous real estate projects
Management Board of Warimpex
Alexander Jurkowitsch Franz Jurkowitsch Georg Folian Florian PetrowskyMember Chairman Deputy Chairman Member
25
Warimpex on the stock exchange
Key Exchange Data
Number of shares 54,000,000
Vienna Stock Exchange ATX Prime, Immobilien-ATX
Warsaw Stock Exchange Market Main 50 Plus, WIG SWIG80
Ticker symbolsStock Exchanges WXF Reuters WXFB.VI
Franz Jurkowitsch14%
Georg Folian15%
Amber Privatstiftung11%
Bocca Privatstiftung11%
Free Float44%
Shareholder structure
MetLife PTE> 5%
26
NNNAV per share
Comparison of NNNAV per share and the Company’s share price on the VSE
Source: Company Financial Reports
0
1
2
3
4
5
6
7
8
9
10
11
12
Dec-06 Jun-07 Dec-07 Jun-08 Dec-08 Jun-09 Dec-09 Jun-10 Dec-10 Jun-11 Dec-11 Jun-12 Dec-12 Jun-13 Dec-13 Jun-14 Dec-14 Jun-15 Dec-15 Jun-16 Dec-16 Jun-17
EUR
share price NNNAV/share
27
§ IPO in Vienna and Warsaw§ Hotel Andels‘s, Krakow§ Hotel Liner, Ekaterinburg§ Hotel Angelo, Munich§ Hotel Angelo Pilsen
Company history
Impressive History
27
1980 § Warimpex enters real estate market
1982 - 1988 § Novotel, first Warimpex hotel opened in Hungary§ Penta Hotel Budapest, Forum Hotel Prague
1988-1989 § Holiday Inn, Warsaw§ Hotel Palace, Prague
1994 -1996 § Hotel Savoy, Prague§ Hotel Sheraton, Warsaw
1999 § Warsaw Towers (20,000sqm office building)
2001-2003§ Shopping and Entertainment Gallery, Brno§ Hotel Andel’s, Prague § Hotel Le Palais, Prague§ Hotel InterContinental, Warsaw
2004-2006
§ Andel’s Suites, long stay apartments, Prague § Leaders Club guests recognition Award for Le Palais§ Hotel Angelo, Prague§ Hotel Chopin, Krakow§ Hotel Sobieski, Warsaw
2007-2008
2009-2014
§ Hotel Andel’s, Lodz§ Hotel Angelo, Kattowice§ Hotel Andel`s, Berlin§ Hotel Angelo, Bucharest§ Hotel Angelo, Ekaterinburg§ Hotel Crowne Plaza, AirportCity St. Petersburg§ Le Palais office, Warsaw§ Jupiter towers, AirportCity St. Petersburg§ Palais Hansen Kempinski Vienna
2015-2017
§ Zeppelin tower, St. Petersburg§ Erzsebet office, Budapest§ Multi-Use office/parking, St.Petersburg
28
§ 30 November 2017 Publication of the results for the first three quarters
Contact detailsFranz Jurkowitsch Daniel Folian Christoph Salzer
CEO Investor Relations Press RelationsTel.: +43 1 310 55 00 – 125 Tel.: +43 1 310 55 00 – 156 Tel.: +43 1 310 55 00 – [email protected] [email protected] [email protected]
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