2023 RESULTS PRESENTATION
March 7, 2024
DISCLAIMER
This document has been prepared by VBARE Iberian Properties SOCIMI, S.A. (the "Company") and its subsidiaries (the "Group").
This Presentation does not constitute or form part of, and should not be construed as, any offer to sell or issue or invitation to purchase or subscribe for, or any solicitation of any offer to purchase or subscribe for, any securities of the Company in any jurisdiction, nor shall it or any part of it nor the fact of its distribution form the basis of, or be relied on in connection with, any contract or investment decision. Any purchase of or subscription for securities of the Company should be based solely on each investor's own analysis of all public information, the assessment of risk involved and its own determination of the suitability of any such investment. No reliance should be placed and no decision should be based on this Presentation.
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The information contained in this Presentation does not purport to be comprehensive or to include all information that may be required to fully analyze the issues referred to therein. Accordingly, no representation or warranty, express or implied, is made as to the truth, accuracy or completeness of the information in this Presentation. None of the Company, any of its subsidiaries, or any of their respective directors, officers or employees accepts any responsibility or liability whatsoever for any loss howsoever arising from any use of this Presentation or otherwise arising in connection therewith.
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INDEX
- 2023 Operating Performance
- 2023 Financial Performance
- Annex: Portfolio Overview
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2023 HIGHLIGHTS
PORTFOLIO SUCCESSFULLY REFURBISHED AND LEASED
COMMERCIAL ACTIVITY WITH 72 LEASES SIGNED IN 2023 AND AN ANNUALIZED RELETTING SPREAD1 OF +8.24%
(79 LEASES SIGNED IN 2022 WITH AN ANNUALIZED RELETTING SPREAD OF +4.56%)
NET OCCUPANCY ABOVE 95% FOR THE LAST 8 CONSECUTIVE QUARTERS
+27% LIKE-FOR-LIKE GROSS RENTAL INCOME vs 2022
+16% LIKE-FOR-LIKERENTS SIGNED AT DECEMBER 31, 2023 vs 2022
5.2% LIKE-FOR-LIKE PORTFOLIO REVALUATION (2.2% NET OF CAPEX INVESTED)
€1.95mn NET CONSOLIDATED GAIN EXPLAINED BY GRI IMPROVEMENT, PORTFOLIO REVALUATION AND COST REDUCTION
100% FINANCIAL DEBT FORMALIZED AT FIX INTEREST RATE2
4 UNITS SOLD IN 2023 FOR A TOTAL AMOUNT OF APPROXIMATELY €0.7 MILLION AND APPROXIMATE WEIGHTED LEVERAGED RETURNS OF AN IRR OF 13.36% AND A MULTIPLE OF 1.92x³
- The reletting spread is calculated considering only units that have been leased at least 2 times by VBARE and excluding the buildings operated by 3rd parties
- The Group has: 1) Mortgage loan with a pending principal as of December 31,2023 of €8 mn with 1.8% fix rate until 2030 and variable until maturity (2039). 2) Mortgage loan with a pending principal as of December 31,2023 of €4.7 mn with 1.8% fix rate until 2027 when
€3.4 mn became variable until maturity in 2039. €0.8 mn became variable in 2031 until 2034. | 4 |
3. IRR and Multiple calculated at asset level
1. 2023 OPERATING PERFORMANCE
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1. 2023 Operating Performance
LEASING PERFORMANCE
Quarterly Leases Signed 1 | Annualized Quarterly Reletting Spread 2 | |||
32 | 33 | |||
2022 | ||||
4.6% | 10.02% |
8.34% | 9.10% |
2023
8.2%
16 | 18 | 18 |
13 | 13 | |
8 |
6.81%
4.10% 4.50%
2.90%
6.06%
Q1 2022 | Q2 2022 | Q3 2022 | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 |
Stable seasonal number of contracts signed
Quarterly Net Occupancy 3
97.86% | 98.44% | 97.41% | 95.20% | 99.12% | 98.68% |
Q3 2022 | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 |
Stable Net occupancy over 98%
Q1 2022 | Q2 2022 | Q3 2022 | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 |
Reletting spread remains positive and significantly higher than 2022
Time to Lease over Total Portfolio (Days) 4
160150
140125
120 107
100 | 89 | 73 | ||||||||||||||
80 | 70 | 58 | 54 | |||||||||||||
60 | 52 | 48 | ||||||||||||||
43 | 43 | |||||||||||||||
37 | ||||||||||||||||
30 | ||||||||||||||||
40 | 28 | |||||||||||||||
20 | 9 | |||||||||||||||
0 | ||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | |
2020 2020 2020 2020 2021 2021 2021 2021 2022 2022 2022 2022 2023 2023 2023 2023
- It doesn't take into account residential units leased or operated to/by operators
- The reletting spread is calculated considering only units that have been leased at least 2 times by VBARE
- Occupancy calculated on the last day of the quarter over each period stabilized investments. From Q2 2023 the whole portfolio is considered stabilized
- Calculated over Published Days (Only Residential and Loft Units taking into consideration). Residential units leased or operated to/by operators not considered in calculations
Time to Lease at minimum levels
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1. 2023 Operating Performance
OPERATING PERFORMANCE
Like-for-Like GRI Evolution (€ k) | Annualized Rents Potential Growth (€ k) 2 |
Rents net of temporary rebates ¹ | Total Rents | |||||
2,889 | 2,905 | 3,063 | +16% | |||
2,651 |
3,071
3,070 |
+10% | 3,385 |
2,599
1,9932,018
3,061
3,070
Dec. 31, 22 | Mar. 31, 23 | Jun. 30, 23 | Sept. 30, 23 | Dec. 31, 23 |
Strong annualized GRI evolution (+16% vs Q4 2022, thanks to strong commercial
strategy and full portfolio stabilization)
Current Rents | Temporary Rebates | Rents | Vacant | Under | Reversionary |
December. 2023 | December. 2023 | Below ERV | Units | Refurbishment | ERV |
Yield3-6 on Invested Capital 4
Yield3-6 on GAV 5
Gross Yield | Net Yield | ||||
5.9% | 5.8% | 6.2% | |||
4,2% | 5.4% | 5.7% | |||
3.7%
+50%
6.3%
5.7%
Gross Yield | Net Yield | |
4.3% | 4.2% | 4.5% |
3,1% | 4.2% |
3.9% | |
2.7% |
+55%
4.5%
4.1%
Dec. 31, 22 | Mar. 31, 23 | Jun. 30, 23 | Sept. 30, 23 | Dec. 31, 23 |
Net Yield vs Q4 2022 +50%
- Rent including discounts equal to rent free periods in place
- Potential Growth based on the Company´s estimated ERV (Estimated Rental Value) as of December 31, 2023
- Current yields calculated over annualized rents as of December 31, 2023, and considering discounts granted
- Total Invested Capital includes Total Acquisition Price, Total Transaction Costs and Total Accumulated CAPEX
- GAV is based on external independent appraisal
- Yield on invested capital and on GAV calculated over the whole portfolio in all periods to make it comparative as the whole portfolio is considered stabilized from Q2 2023
Dec. 31, 22 | Mar. 31, 23 | Jun. 30, 23 | Sept. 30, 23 | Dec. 31, 23 |
Stabilized Net Yield on GAV (+55% vs Q4 2022)
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2. 2023 FINANCIAL PERFORMANCE
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2. 2023 Financial Performance
IFRS 2023 PROFIT & LOSS ACCOUNT
Profit & Loss Account (€ k)
31 December 2023 | 31 December 2022 | Variation | |
Gross Rental income (Like-for-Like Assets) | 2,268 | 1,785 | 27.1% |
Gross Rental income (Units sold) | 12 | 135 | -91.1% |
Gross Rental Income | 2,280 | 1,920 | 18.8% |
Other operating income | 23 | 36 | -36.1% |
Personal expenses | -525 | -503 | 4.4% |
General and administrative expenses | -1,747 | -1,945 | -10.2% |
Realized gain (Loss) and change of fair value on investment properties | 2,384 | 1,615 | 47.6% |
Operating result | 2,415 | 1,123 | |
Finance result | -467 | -475 | -1.7% |
Profit for the period | 1,948 | 648 | |
Corporate income tax | - | - | |
Profit for the period attributable to the shareholders | 1,948 | 648 | |
Basic and diluted earnings per share (Euro) | 0.55 | 0.18 | |
Consolidated Profit & Loss account according to International Financial Reporting Standards as adopted by the European Union (IFRS-EU)
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2. 2023 Financial Performance
DECEMBER 31, 2023 CONSOLIDATED BALANCE SHEET
Assets (€ k) | Liabilities (€ k) |
December 31, 2023 | December 31, 2022 | Variation | |
Non- Current Assets | 69,024 | 66,295 | 4.1% |
Property, plant and equipment | 9 | 29 | -70.2% |
Investment properties | 68,827 | 66,060 | 4.2% |
Non - Current financial assets | 189 | 207 | -8.8% |
Current Assets | 2,548 | 3,967 | -35.8% |
Advance to suppliers | 28 | 41 | -30.9% |
Trade and other receivables | 1,691 | 781 | 116.5% |
Trade debtors | 88 | 122 | -28.2% |
Other receivables from Public Administrations | 1,603 | 659 | 143.3% |
Short term accruals | 37 | 60 | -39.2% |
Cash and cash equivalents | 792 | 3,085 | -74.3% |
Total Assets | 71,572 | 70,263 | 1.9% |
December 31, 2023 | December 31, 2022 | Variation | |
Net Equity | 46,309 | 44,405 | 4.3% |
Share capital | 18,049 | 18,049 | 0.0% |
Share Premium | 15,259 | 15,259 | 0.0% |
Treasury shares | -475 | -533 | -11.0% |
Retained earnings | 13,476 | 11,630 | 15.9% |
Non-current Liabilities | 23,439 | 23,542 | -0.4% |
Non-current financial liabilities | 23,439 | 23,542 | -0.4% |
Bank Borrowings | 22,852 | 23,216 | -1.6% |
Other financial liabilities | 587 | 326 | 80.3% |
Current Liabilities | 1,823 | 2,316 | -21.3% |
Current financial liabilities | 1,070 | 936 | 14.3% |
Bank Borrowings | 1,070 | 936 | 14.3% |
Trading creditors and other accounts payable | 753 | 1,380 | -45.4% |
Trade Payables | 500 | 958 | -47.8% |
Trade payables, group companies and associates | - | 232 | -100.0% |
Accruals, wages and salaries | 28 | 59 | -53.0% |
Other payables with Tax Administration | 70 | 101 | -30.7% |
Advance to suppliers | 156 | 30 | 414.3% |
Equity and Liabilities | 71,572 | 70,263 | 1.9% |
Consolidated Balance Sheet according to International Financial Reporting Standards as adopted by the European Union (IFRS-EU)
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VBARE Iberian Properties SOCIMI SA published this content on 07 March 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 07 March 2024 18:56:09 UTC.