4. real estate experience
Real estate assets
in EUR m 2,013 1,969
1,901 1,934
1,808
1,528
1,172
707
Sparkassen
Immobilien Anlagen
446
AG was founded in 313 337
282
Austria in 1986/1987 152
203
136 145
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Q1
2012
4
5. Our markets
CEE
Forecasts 2012 HU: GDP growth: -0.5
Data in % Debts: 76.3
SK: GDP growth: 1.4
Debts: 47.1
CZ: GDP growth: 0.5 SEE
Germany RO: GDP growth: 1.2
Debts: 43.0
GDP growth: 1.9 Germany Debts: 34.4
Debts: 81.1 BG: GDP growth: 3.7
Debts: 18.6
Czech Republic HR: GDP growth: -1.0
Slovakia Debts: 66.7
Austria
Hungary
Romania
Austria Croatia
GDP growth: 0.9
Debts: 74.8
Bulgaria
Sources: Erste Group, European Commission
5
6. Property portfolio
Floor space 1,355,797 m²
Portfolio rental yield 6.8%
Occupancy rate 93.1%
6
10. Sales | AUSTRIA AND GERMANY
Five residential properties in Berlin, one
office building in Munich, one residential
property in Vienna
Gains on property disposals came to
EUR 0.7m. Compared to the estimated
values as at 30 September 2011, gains on
property disposals amounted to EUR 4.2m.
10
12. Highlights key figures Q1 2012
In EUR ’000
- 0.6%
30,291 30,103 - 1.9%
24,053 23,609
+ 65.2% + 18.2%
5,929 6,404
5,416
3,590
Rental income EBITDA FFO Net income
01-03/2011 01-03/2012
12
13. Income statement
In EUR ’000 31 March 2012 31 March 2011
Revenues 46,911 48,251
of which rental income 30,103 30,291
of which revenues from operating costs 9,066 9,539
of which revenues from hotel operations 7,742 8,421
Other operating income 3,075 3,614
Expenses directly attributable to properties -16,281 -16,939
Hotel operating expenses -7,008 -7,194
Gross profit 26,697 27,732
Gains on property sales 652 577
Management expenses -3,740 -4,256
EBITDA 23,609 24,053
13
14. Income statement
In EUR ’000 31 March 2012 31 March 2011
EBITDA 23,609 24,053
Depreciation and amortisation -2,346 -2,441
Gains / losses on property valuation 3,850 5,000
Operating result (EBIT) 25,113 26,612
Financing costs -16,274 -17,634
Participating certificates result -3,193 -3,450
Net income before tax (EBT) 5,646 5,528
Taxes on income 758 -112
Consolidated net income for the period 6,404 5,416
14
15. Funds From Operations (FFO)
• S IMMO’s FFO increased by an impressive 65.2% to EUR 5.9m (Q1 2011: EUR 3.6m).
• In calculating FFO, the results for the period are adjusted for non-cash items such as
depreciation and amortisation, valuation gains and losses on interest rate hedges and
exchange rate differences.
15
16. Net Asset Value
• As at 31 March 2012, balance sheet NAV stood at EUR 7.06 per share
(31 December 2011: EUR 6.96 per share).
• The EPRA NAV, the inner value of the share calculated in accordance with the guidelines
of the European Public Real Estate Association, was EUR 8.88 per share
(31 December 2011: EUR 8.70 per share).
• EPRA NAV represents the value of equity minus the effects that do not have a long-term
impact on the business activities of the Group, such as valuations of derivatives and
deferred taxes.
16
17. Consolidated statement of financial position
In EUR m
2.500 2,084.4 2,084.4
2.000
506.6
1.500 234.0
198.0
1,957.7
1.000
1,145.8
500
126.7
0
Assets Equities and liabilities
Non-current assets Equity
Current assets Subordinated participating certificate
Current liabilities
Non-current liabilities
17
18. Bank debt and LTV
In EUR ’000 31 March 2012
Long-term bank debt and financial liabilities 1,068,701
thereof negative fair value of derivatives 81,582
Short-term bank debt and financial liabilities 152,821
Total bank debt and financial liabilities 1,221,522
Cash and cash equivalents -60,483
Net financing debts 1,161,039
Total portfolio value 1,934,381
Loan to value ratio (including derivative valuation) 60%
Loan to value ratio (excluding derivative valuation) 56%
18
19. Terms of financial liabilities
In EUR ’000 31 March 2012
Less than 1 year 152,821
1 to 2 years 37,830
2 to 3 years 185,925
3 to 4 years 32,947
4 to 5 years 45,451
More than 5 years 766,547
19
20. Solid finance structure
Financing costs Financial institutions
• Cost of funding: 4.66% Erste Group Bank 24%
Immorent / Sparkassen 17%
• Variable interest loans are hedged
with swaps, caps und collars Other Austrian financial 52%
institutions
German banks 7%
20
21. Property portfolio
In EUR ’000 31 March 2012 31 December 2011
Investment properties 1,718,694 1,716,899
Properties under development and undeveloped land 56,005 55,480
Properties held for sale 27,195 62,800
Owner-operated properties 132,487 134,321
Total portfolio value 1,934,381 1,969,500
21
24. S IMMO Share
PERFORMANCE (as at 31 March 2012) KEY FIGURES as at 31 March 2012
Year-to-date: -11.06%
Shares 68,118,718
Share price (EUR) 4.488
Market cap share (EUR m) 305.7
Trading volume shares (100 days Ø) 60,600
Trading volume EUR (100 days Ø) 303,000
Market cap participating certificate (EUR m) 210.7
Earnings per share (EUR) 0.09
EPRA NAV per share (EUR) 8.88
Share price discount from EPRA NAV 49%
Balance sheet NAV per share (EUR) 7.06
Share price discount from balance sheet NAV 36%
Reuters Ticker SIAG.VI
Bloomberg Ticker SPI:AV
24
25. Capital Market | MEASURES
S IMMO Share repurchase programme
(so far 483,998 shares repurchased)
S IMMO INVEST repurchase programme until
20 June 2012 (in total approx. 12% of all
participating certificates repurchased)
Propose of dividend distribution to the Annual
General Meeting: EUR 0.10 per share
(Dividend payment planned for 15 June 2012)
Furthermore, the Management Board will
propose to the Annual General Meeting new
authorisation rights for the Management Board
to repurchase further own shares.
25
27. Outlook
Profitability increase by
• Sales: approx. 5% of portfolio in 2012
(EUR 100m minimum)
• Further letting increases in SEE
• Completion of refurbishment
programme in Germany: cost decrease
and corresponding an increase in
property value
27
28. Outlook
Use of funds to
• Repurchase S IMMO Shares
• Repurchase S IMMO INVEST
participating certificates
• Payment of dividend
• Reduction of loan to value ratio to
under 55%
28
29. Development project | QUARTIER BELVEDERE CENTRAL
District at the future Vienna Central Station
Planned gross floor space: around 130,000 m²
Zoning rights given in January 2012
Mixed use types: offices, hotels, retail space
Development in several phases
29
30. Q1 Results 2012
Thanks for
your attention!
Holger Schmidtmayr | Ernst Vejdovszky | Friedrich Wachernig
32. Consolidated statement of financial position | ASSETS
In EUR ’000 31 March 2012 31 March 2011
Properties held as financial investments 1,774,699 1,772,379
Owner-operated properties 132,487 134,321
Other plant and equipment 7,227 7,472
Other non-current assets 43,299 42,703
Properties held for sale 27,195 62,800
Inventories 7,017 7,097
Other current assets 31,988 33,346
Cash and cash equivalents 60,483 115,260
2,084,395 2,175,378
32
33. Consolidated statement of financial position |
EQUITIES AND LIABILITIES
In EUR ’000 31 March 2012 31 March 2011
Shareholders’ equity 506,598 503,130
Share capital 245,875 246,341
Capital reserves 73,329 73,416
Other reserves 158,796 154,285
Non-controlling interest 28,598 29,088
Liabilities 1,577,797 1,672,248
Subordinated participating certificate capital 233,990 230,797
Non-current financial liabilities 1,068,701 1,103,371
Other non-current liabilities 77,105 80,209
Current liabilities 198,001 257,871
2,084,395 2,175,378
33
34. Appendix | COVERAGE
RESEARCH HOUSE FAIR VALUE RECOMMENDATION
Edge Capital EUR 5.30 Outperform
Erste Group EUR 5.20 Accumulate
HSBC Global Research EUR 5.20 Overweight
KBC Securities EUR 4.04 Hold
Raiffeisen Centrobank EUR 4.80 Hold
SRC Research EUR 7.00 Buy
34
35. Appendix | MEMBERS OF THE BOARD
Friedrich Wachernig MBA
Project development, Asset Management in CEE/SEE, Acquisition and Sales
of development land and projects, Organisation, IT, HR
With S IMMO AG as Management Board since November 2007
17 years of experience in managing property development projects in CEE
Studied economics
Ernst Vejdovszky
Finance, Asset Management Austria and Germany, Risk Management
Co-founder of Sparkassen Immobilien Anlagen AG
Ten years in Management Board of Immorent. 23 years in Management Board of
S IMMO AG
Holger Schmidtmayr MRICS
Acquisition/sale of standing properties, Investor Relations & Corporate
Communications, Legal, Compliance
With the Company for ten years, Member of the Manage Board for seven years
Four years experience in CEE trading finance
Friedrich Ernst Holger
Wachernig Vejdovszky Schmidtmayr
35
37. Appendix | NEW WEBSITE
From now on we offer following services on www.simmoag.at:
• Advanced real estate data base
• Newsletter subscription
• Ad hoc releases and share price via SMS
• RSS-Feeds
37
38. Appendix | FINANCIAL CALENDER 2012
24 May 2012 Results for the first quarter 2012
01 June 2012 Annual General Meeting
23 August 2012 Results for the first half year 2012
22 November 2012 Results for the first three quarters 2012
38
39. Disclaimer
These materials have been prepared by S IMMO AG (the "Company") solely for informational purposes, is intended for
your use only and does not constitute an offer or commitment, a solicitation of an offer or commitment, or any advice or
recommendation to enter into or conclude and transaction.
These materials contain forward-looking statements based on the currently held beliefs and assumptions of the
management of the Company, which are determined and expressed in good faith and, in their opinion, reasonable. The
assumptions and parameters used are not the only ones that might reasonably have been selected and therefore no
guarantee is given as to the accuracy, completeness or reasonableness of any such information, disclosure or analysis.
Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the
actual results, financial condition, performance, or achievements of the Company, or results of the real estate industry
generally, to differ materially from the results, financial condition, performance or achievements expressed or implied by
such forward-looking statements. Given these risks, uncertainties and other factors, recipients of this document are
cautioned not to place undue reliance on these forward-looking statements. This material does not purport to contain all
the information that an interested party may desire. In any event, each person receiving these materials should make
an independent assessment of the merits of pursuing a transaction. The Company disclaims any obligation
to update these forward-looking statements to reflect future events or developments options and estimates may be
changed without notice.
The materials contained in this presentation have not been subject to independent verification. No representation,
warranty or undertaking, expressed 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. None of the Company,
its affiliates or its advisors, nor any representatives of such persons, shall have any liability whatsoever
(in negligence or otherwise) for any loss arising from any use of this document or its contents or otherwise arising
in connection with this document.
39
