Hansteen Interim Results. Heads of the Valley, Rhymney

Transcription

1 2018 Interim Results Heads of the Valley, Rhymney Investor and Analyst Presentation 22 August 2018

2 Introduction Urban industrial / logistics specialist Seven regional UK offices High yielding built portfolio 7.4% on passing rent 7.9% on contracted rent 9.0% on ERV Property portfolio of million Predominantly UK urban multi-let industrial property Contracted rent roll of 48.8 million Passing rent 45.6 million 2,361 tenants ERV 55.4 million High and realised returns 2 H dividend of 2.4p per share

3 Introduction June 2018 highlights - financial IFRS profit of 29.2 million (H1 2017: 13.3 million) Mountain Ash, Wales H1 NIP of 13.6 million (H1 2017: 15.5 million) Gloucester H1 NTP of 20.2 million (H1 2017: 16.8 million) Return of capital to shareholders of 35p per share Keynsham EPRA NAV of 100p (31 Dec 2017: 131p) Increased interim dividend 2.4p per share 3

4 Introduction June 2018 highlights - property Disposal of IMPT ( 116 million) Saltley CPO (downpayment of 37 million) Playsport, East Kilbride Growth in rents Growth in values Chippenham August 2018 Purchase of 34 assets for 57.3 million (including costs) Tameside 4

5 5 H Results

6 Results Income statement million HY 2018 HY 2017 Rent Cost of sales (1.9) (1.5) Administration (6.8) (6.9) Interest (3.9) (4.9) Normalised Income Profit Profit on sales Other Normalised Total Profit Property valuation gains Other valuation and currency gains (15.0) (17.8) IFRS profit before tax Tax (0.1) 0.7 IFRS profit after tax NIP per share 3.3p 2.1p NTP per share 4.9p 2.2p EPS (adjusted) 3.2p 2.0p Dividends 2.4p 2.3p All results from continuing operations 6 NTP of 20.2 million 20% IFRS profit of 29.2 million 219% HY 2018 dividend of 2.4p 4.3%

7 Results Balance sheet million 30 June Dec 2017 Property Cash Other assets Debt (263.7) (299.6) Other liabilities (43.8) (52.9) (307.5) (352.5) IFRS NAV Deferred tax and other adjustments EPRA NAV Number of shares for IFRS Number of shares for EPRA NAV per share 106p 135p EPRA NAV per share 100p 131p 7

8 Results EPRA NAV bridge 131p 4.7p 5.6p (3.8p) (35.0p) (2.5p) 100p Dec 2017 EPRA NAV NTP net of tax Property revaluation Dividend Return of capital LTIP June 2018 EPRA NAV 8

9 Results Balance sheet analysis million 30 June Dec 2017 Average all-in cost of debt 2.9% Bank borrowings Capitalised fees (2.4) (3.0) Finance lease Debt million swapped 0.53% Cash (38.5) (71.2) Net debt million capped 0.75% Properties Loan to value 39.7% 36.6% 330 million UK facility 3 years remaining Net debt to value 33.6% 27.9% 9

10 Property

11 Property Portfolio summary at 30 June 2018 No. of properties Acres of land Built Area million sq ft Vacant Area Passing m Rent Value Yield on Contracted m m Passing rent Contracted rent ERV UK built portfolio % % 7.9% 9.0% Belgium & France % % 8.1% 8.8% Total built portfolio % % 7.9% 9.0% UK Land Total portfolio % % 7.3% 8.3% ERV 55.4 million Reversionary yield 9.0% EPRA net initial yield 5.9% EPRA topped up net initial yield 6.5% 11

12 Property Statistics at 30 June 2018 Capital value (UK) per sq ft Average rent 19,325 pa 362 UK lettings/renewals in H % ahead of ERV Like-for-like uplift in values 24.1 m or 3.7% Number of tenants 2,361 Clarendon Court, Warrington 12

13 Property UK built portfolio Sales Purchase 116 million IMPT sale 6.1 million profit 9.9 million of other sales 0.3 million profit 34 assets purchased in Aug 2018: 57.3 million (after costs which are expected to be recovered) 5.25 million passing rent 9.15% yield Sheffield 13

14 Property UK Land 21 development sites throughout the UK totalling 183 hectares or 452 acres. 31 Dec 2017 valuation of 51.7 million Largest site by acreage: Gilston near Edinburgh acres with mixed-use consent for industrial / commercial / ancillary retail. Future draft local plan identifies a significant residential component. Recent application submitted for a residential led mixed-use development Largest site by value: Darnley near Glasgow - 36 acres with mixed use consent for a variety of uses including residential and retail 12 acres sold in July 2018 to a national housebuilder for 4.75 million. 50% paid on completion and 50% in a year Further 17.4 acres contract exchanged to same national housebuilder for 6.8 million payable in stages, conditional on planning consent Further two sites comprising 15 acres of residential land under offer to residential developers. Expected to produce c. 4.9 million over the next 24 months 14

15 Phoenix Road Industrial Estate, Washington Outlook

16 Outlook Ongoing discussions with HS2 regarding Saltley valuation Ongoing discussions with Warehouse REIT plc Strong occupier and investment demand 16 Bradford Euroway Trading Estate