Özak rei financial results presentation...6m’ 9 –financial results presentation –august 09,...
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6M’ 2019 – Financial Results Presentation – August 09, 2019
6M’ 2019 – August 09, 2019
Özak REICFinancial Results Presentation
6M’ 2019 – Financial Results Presentation – August 09, 2019
Certain statements contained herein should be construed solely as "forward-looking” manifestations. Such expressions most often than not are denoted via words such as "estimate," "project, "predict," "believe," "expect," "anticipate," "potential," "plan," "goal," “will” or any other explicit term implying uncertainty and ambiguity of future events. Hence, such vocabulary pertaining to an imprecise point in time-horizon are based on our current expectations, estimates and assumptions, and are inherently exposed to specific risks and improbabilities.
Although ÖZAK REIT purports that the evaluation inputs incorporated into such proclamations are deemed reasonable at this time, actual results could differ materially from those originally projected or assumed. Except to the extent required by law, ÖZAK REIT assumes no obligations to update the forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements
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ÖZAK REIC DISCLAIMER
6M’ 2019 – Financial Results Presentation – August 09, 2019
Our total assetsize increasedby %11 andreached to TL 3,97 billion.
Total Asset Value Net Asset Value (*)
%88
3,57
3,97
2018 6M'2019
TL 3,97 BN6M’2019
TL 2,04 BN 6M’2019
TL 2,05 BN2018
EBITDA
TL 15,3 MN6M’2019
TL 15,3 MN6M’2018
EBITDA Margin
% 21,96M’2018
% 19,36M’2019
Rental Portfolio Occupancy Rate
ÖZAK REIC 6M’2019 CONSOLIDATED KEY PORTFOLIO HIGHLIGHTS
3* Non -Consolidated Financial Table Data
6M’ 2019 – Financial Results Presentation – August 09, 2019
Our total salesrevenue grew%14 andreachedTL 79 mn.
Net Profit / Loss Total Revenue
(34,86)
6M'2018 6M'2019
TL -34,86 MN6M’2019
TL 79,32 MN6M’2019
TL 69,63 MN 6M’2018
Net Debt
TL 563,93 MN
6M’2019
TL 483,84 MN 2018
Net FX Position
TL -97,92 MN 2018
TL -24,03 MN 6M’2019
Rental Revenue (*)
ÖZAK REIC 6M’2019 CONSOLIDATED KEY PORTFOLIO HIGHLIGHTS
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6M’2019
TL 51,95 MN 6M’2018
TL 37,5 MN 6M’2018
* Non -Consolidated Financial Table Data
6M’ 2019 – Financial Results Presentation – August 09, 2019
60,852,7
109,1
31,618,5
2Q'18 3Q'18 4Q'18 1Q'19 2Q'19
Total Revenues (Quarterly) (TL MN) Total Revenues (6M’2018 & 6M’2019) (TL MN)
TL 8,1 MN 2Q’19 – 2Q’18
TL 42,3 MN 2Q’19 – 1Q’19
69,6
79,3
6M'2018 6M'2019
ÖZAK REIC CONSOLIDATED REVENUES
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Özak REIC’stotal salesincreased %14 year-over-yeardue to growthin tourismrevenues.
6M’ 2019 – Financial Results Presentation – August 09, 2019
28,0
20,4
32,5
25,2 24,0
2Q'18 3Q'18 4Q'18 1Q'19 2Q'19
Rental Revenues (Quarterly) (TL MN) Rental Revenues (6M’2018 & 6M’2019) (TL Mn)
TL 7,6 MN 2Q’19- 2Q’18
TL 4,0 MN 2Q’19 – 1Q’19
37,5
52,0
6M'2018 6M'2019
ÖZAK REIC RENTAL REVENUES (*)
6* Non -Consolidated Financial Table Data
6M’ 2019 – Financial Results Presentation – August 09, 2019
17,817,3
67,5
6,9 -2,5
2Q'18 3Q'18 4Q'18 1Q'19 2Q'19
%29,3
EBITDA (Quarterly) (TL MN) EBITDA (6M’2018 & 6M’2019) (TL Mn)
TL 0,5 MN 2Q’19 – 2Q’18
TL 20,3 MN 2Q’19 – 1Q’19
15,3
15,3
6M'2018 6M'2019
%61,9
%32,8
%21,9
%21,9
%19,3
EBITDA Margin
ÖZAK REIC CONSOLIDATED EBITDA
7
%-13,7
6M’ 2019 – Financial Results Presentation – August 09, 2019
Summary of Consolidated Income Statement (TL MN)
TL Mn
Year to Date Quarterly
6M'2018 6M'2019%∆ (6M'19/6M'18) 2Q’18 1Q'19 2Q'19 %∆ (2Q’19/2Q’18) %∆ (2Q’19/1Q’19)
Revenues 69,6 79,3 13,9% 52,7 18,5 60,8 15,2% 227,6%
Rental Revenue (*) 37,5 52,0 38,5% 20,4 24,0 28,0 37,2% 16,7%
Hotel 13,6 26,8 97,0% 8,0 10,8 16,0 100,5% 48,5%
Office 13,9 13,9 0,2% 7,1 7,0 6,9 -2,9% -1,5%
Retail 10,0 11,2 12,3% 5,2 6,2 5,1 -2,6% -18,3%
Gross Profit 24,3 31,3 28,5% 22,1 3,8 27,5 24,5% 618,6%
Gross Margin 34,9% 39,4% 4,5 bp 41,8% 20,6% 45,2% 3,4 bp 24,6 bp
EBIT 7,7 5,4 -30,4% 13,4 -6,9 12,2 -9,0% -278,0%
EBIT Margin 11,1% 6,8% - 4,3 bp 25,5% -37,1% 20,1% -5,4 bp 57,2 bp
EBITDA 15,3 15,3 0,2% 17,3 -2,5 17,8 3,0% -802,4%
EBITDA Margin 21,9% 19,3% - 2,6 bp 32,8% -13,7% 29,3% -3,5 bp 43,0 bp
Net Financial Income / Expense -55,7 -69,7 25,0% -30,7 -29,7 -39,9 29,9% 34,2%
Net Income 0,5 -34,9 -7060,2% 24,6 -24,5 -10,4 -142,3% -57,6%
Net Income Margin 0,7% -44,0% -45,1 bp 46,6% -132,0% -17,1% -63,7 bp 114,9 bp
ÖZAK REIC SUMMARY OF CONSOLIDATED INCOME STATAMENT
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(*)Non -Consolidated Financial Table Data
6M’ 2019 – Financial Results Presentation – August 09, 2019
Net P&L Bridge 6M’ 2019 (TL Mn)
79.3 67.5
(48.0)
(25.9)
(38.1)
(69.7) (34.9)
Revenue COGS OPEX Other Incomes Other Expenses Net Financial Expenses Tax Income Net Loss
0,0
TL (18,7) mn Net Interest Expense,
TL (51,0) mn CreditFX Loss Expense
TL (34,7) mnFX Loss,
TL (3,4) mnOther Expense
TL 63,8 mn FX Income,
TL 3,7 mnOther Income
ÖZAK REIC CONSOLIDATED NET PROFIT / LOSS
9
6M’ 2019 – Financial Results Presentation – August 09, 2019
Total Credit Debt Split (TL MN)
957,3
563,9
Total Debt Reel Credit Debt
Cash & Cash Equivalents (*)
-393,4
%30,8REEL CREDIT DEBT / EQUITY
%14,2REEL CREDIT DEBT / TOTAL ASSETS
TL 563,9 MN REEL CREDIT DEBT
Summary of Consolidated Balance Sheet
ÖZAK REIC SUMMARY OF CONSOLIDATED BALANCE SHEET
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TL Mn 2018 6M’2019%∆
(6M’19/2018)
Current Assets 753,4 951,5 26,3%
Non Current Assets 2.818,9 3.021,5 7,2%
Total Assets 3.572,3 3.973,0 11,2%
S.T. Liabilities 1.001,6 1.292,7 29,1%
L.T. Liabilities 710,3 851,5 19,9%
Total Liabilities 1.711,8 2.144,2 25,3%
Shareholder’s Equity 1.860,5 1.828,8 -1,7%
Total Liabilities & Equity 3.572,3 3.973,0 11,2%
S.T Financial Debt 698,0 731,6 4,8%
L.T. Financial Debt 213,4 225,7 5,8%
Total Financial Debt 911,5 957,3 5,0%
Cash & Cash Equivalents 635,2 705,0 11,0%
Net Debt 276,3 252,3 -8,7%
Net Debt/Equity 14,9% 13,8% - 1,1 bp
Net Debt/Total Assets 7,7% 6,4% - 1,3 bp
(*) Reel Credit Debt calculated by deducting TL 393,4 mn from Cash & Cash Equivalents due to shareholders debt, as of 30.06.2019.
6M’ 2019 – Financial Results Presentation – August 09, 2019
Net Debt 6M’2019 (TL Mn)
Change in Net Debt – 6M’2019 / 2018 (TL Mn)
731,6
225,7
(393,4)
563,9
S.T. Financial Debt L.T. Financial Debt Cash & Cash Equivalents Net Debt 6M'2019
483,8 563,9
33,6 12,3
(34,2)
Net Debt 2018 ∆ S.T. Financial Debts ∆ L.T. Financial Debts ∆ Cash & Cash Equivalents Net Debt 6M'2019
ÖZAK REIC CONSOLIDATED NET DEBT DYNAMICS
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6M’ 2019 – Financial Results Presentation – August 09, 2019
Özak REIC’s Total Real Estate Portfolio Value reached TL 2.912,5 MN as of 30.06.2019.
Solo Net Asset Value Bridge (TL MN)
ASSETS LIABIL ITIES
482,5
622,9
579,9
456,9
770,4
153,1
605,0
264,0
(1034,7)
(855,1)
2.044,8
Land Office Hotel Retail Project Subsidiaries Cash Other Assets OtherLiabilities
Debts 6M'2019NAV
2.912,5 TL MN REAL ESTATE PORTFOLIO VALUE
ÖZAK REIC SOLO NET ASSET VALUE BRIDGE
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EQUITY
6M’ 2019 – Financial Results Presentation – August 09, 2019
Özak REIC, which trades at a 73% discount on the Istanbul Stock Exchange, offers investors a strong opportunity for the future.
Net Asset Value Table Portfolio Breakdown by NAV %
%73DISCOUNT RATE
TL 546,0 MN MCAP as of 08.08.2019
ÖZAK REIC NET ASSET VALUE
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(TL Mn) 2018 6M’2019
Lands
Mahmutbey, İstanbul 48,6 48,6
Balmumcu, İstanbul 155,1 155,1
Göktürk 1, İstanbul 84,6 84,6
Göktürk 2, İstanbul 185,6 185,6
Göktürk (PPI)*, İstanbul 8,7 8,7
(+) Total Lands 482,5 482,5
Buildings
Office - 34 Portall Plaza, İstanbul 417,5 417,5
Office- İş İstanbul 34, İstanbul 205,3 205,3
Retail - MetroGrossMarket, İstanbul 143,3 143,3
Retail - Bulvar 216, İstanbul 313,6 313,6
Hotel - Ela Quality Resort Quality Otel 579,9 579,9
(+) Total Buildings 1.659,6 1.659,6
Projects
Completed Projects - Hayat Tepe 13,9 13,9
Continuing Projects – Büyükyalı 562,6 756,5
Continuing Projects – Göktürk 2 - -
(+) Total Stock 576,5 770,4
Subsidiaries (Tourism)
Aktay Otel İşletmeleri A.Ş 152,7 152,7
Büyükyalı Otel İşletmeciliği 0,0 0,0
Betuyap - Detuyap 0,4 0,4
(+) Total Subsidiaries 153,1 153,1
(+) Cash 576,1 605,0
(+) Other Assets 206,2 264,0
(-) Other Liabilities 786,2 1034,7
(-) Debts 817,6 855,1
NET ASSET VALUE 2.050,3 2.044,8
As of 30.06.2019; MCAP TL 553,3 MNDISCOUNT RATE %73
Land; 16%
Office; 20%
Retail; 15%
Tourism; 24%
Project; 25%
(*) Public Partnership Interest
6M’ 2019 – Financial Results Presentation – August 09, 2019
ÖZAK REIC PROSPECT OF UPCOMING PROJECTS
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In Büyükyalı Project total 97.238 m2 of 547 units’ pre-sales realized as of 30.06 2019. TL 1,65 bn revenue realized.
• Mixed-use project sited on one of the most valuable and largest plots currently available on the coastline
• One of the largest tenders of Emlak Konut REIT (EKGYO) via RSM*
• 60% Özak REIC ownership
• TL 5,40 BN Total Project Revenues• TL 3,70 BN Total Project Cost
(Land&Constraction)
• TL 1,70 BN Constraction Cost• TL 1,70 BN Profit• 60% OZAK REIC profit share (TL 1,02 BN)
• Start Date; 2016• Expected Completion Date;
Construction 2019, Sales 2021
Büyükyalı Project
• 300 units of High-end housing Project located in the hearth of Göktürkwhich Dominated with white-collar professionals.
• 100% Özak REIC ownership
• TL 778,4 mn Total Project Revenues• TL 533,6 mn Total Project Cost• TL 244,8 mn Profit
• Start Date; 2019• Expected Completion Date; 2022
Göktürk Project
6M’ 2019 – Financial Results Presentation – August 09, 2019
ÖZAK REIC 2019 FORECASTS
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Total Revenue
2019Revenue Forecast
TL 1.069,6 MN
EBITDA
2019EBITDA Forecast
TL 519,9 MN
Rents
2019Total Rent Forecast
TL 114,6 MN*
* Non -Consolidated Financial Table Data
6M’ 2019 – Financial Results Presentation – August 09, 2019
Thank You …
For further information:
ÖZAK REIC Investor Relations
+90 212 486 3650