First quarter of 2015 Mastertitelformat bearbeiten May 28 2015!
Company Highlights Warimpex Finanz- und Beteiligungs AG, Vienna is one of the largest investors in commercial property development, operation and sale in the CEE region with 18 Hotels (4,600 rooms) and 5 office buildings (43.100 sqm) in 8 countries Superior locations and upper-end quality of hotels provide good customer value Intercontinetal****, Warsaw Andel s****, Lodz Kempinski*****, Vienna Crowne Plaza****, St.Petersburg Growth and value creation through active management of undervalued assets in emerging markets EUR 78 mn. (i.e. EUR 1.4/share) hidden reserves as of 31.12.14 Listed in Vienna and Warsaw and traded at discount to NNNAV Proven strong track record of professional, high-experienced management team and high transparency 2
Portfolio Overview 3 Hotels Development AIRPORTCITY St. Petersburg Offices incl. land reserve 1 Hotel Development: conference centre commercial project 4 Hotels 6 Hotels 1 Office Building Development: 2 offices 1 land reserve 2 Hotels 1 Hotel 3 Office Buildings 1 Hotel land reserve 3
Hotel Portfolio at a Glance Hotels (as of 31.12.2014) City 100% Country Rooms Stake Occupancy Rate RevPAR 2014 2013 2014 68 % 67 % EUR 53 Angelo**** Prague CZ 168 100 % Diplomat**** Prague CZ 398 100 % Dvořák**** Karlovy Vary CZ 126 100 % Angelo**** Plzeň CZ 144 50 % Angelo**** Katowice PL 203 50 % InterContinental**** Warsaw PL 404 50 % operational lease Chopin*** Krakow PL 220 100 % Amber Baltic**** Międzyzdroje PL 191 100 % Andel s**** Krakow PL 159 100 % operational lease Andel s**** Łódź PL 278 100 % Angelo Airporthotel**** Bucharest RO 177 100 % Angelo Airporthotel**** Ekaterinburg RU 211 60 % Liner*** Ekaterinburg RU 151 60 % Crowne Plaza**** St. Petersburg Airport RU 294 55 % Andel s**** Berlin DE 557 50 % Dream Castle**** Paris FR 397 50 % Magic Circus**** Paris FR 396 50 % Andel s****, Lodz Palais Hansen Kempinski***** Vienna AT 152 9,88 %** 4,636 rooms in total (stake adjusted 3,169 rooms) Note: ** recognized as financial instrument 4
Operational Update 02/2015 AIRPORTCITY St. Petersburg: Sale of Jupiter tower closed 12/2014 PLN 14 mn. (ca. EUR 3.3 mn.) corporate bonds placed 11/2014 AIRPORTCITY St. Petersburg: Signing for the sale of Jupiter tower 6/2014 EUR 5 mn. convertible bonds placed 6/2014 Warimpex sells Hotel Savoy in Prague 5/2014 Florian Petrowsky new member of the board 3/2014 New tenant for Erzsébet Office in Budapest for 12,250 m² 2/2014 PLN 9 mn. (ca. EUR 2.15 mn.) corporate bonds placed 2/2014 AIRPORTCITY St. Petersburg: Term sheet signed for Jupiter Tower 12/2013 Warimpex sells five-star Le Palais Hotel in Prague 5 5
Hotel market 1-3 / 2015 Occupancy, Room Rate, Room RevPAR and Total Gross Operating Profit Occupancy is the proportion of the bedrooms available during the period which are occupied during the period Room Rate in EUR is the total bedroom revenue for the period divided by the total bedrooms occupied during the period 80% Occ. 1-3/2014 Occ. 1-3/2015 140 ARR 1-3/2014 ARR 1-3/2015 70% 120 60% 100 80 50% EUR 60 40% 40 30% 20 20% Berlin Bucharest Prague St. Petersburg Warsaw 0 Berlin Bucharest Prague St. Petersburg Warsaw Room RevPAR is the total bedroom revenue for the period divided by the total available rooms during the period GOP PAR is the Total Gross Operating Profit for the period divided by the total available rooms during the period 100 RevPAR 1-3/2014 RevPAR 1-3/2015 45 GOP PAR 1-3/2014 GOP PAR 1-3/2015 90 40 80 35 70 30 60 EUR 50 EUR 25 40 20 30 15 20 10 10 5 0 Berlin Bucharest Prague St. Petersburg Warsaw 0 Berlin Bucharest Prague St. Petersburg Warsaw Source: www.trihospitality.com 6
Strong Operating Cash Flow from Hotel Portfolio Net Operating Profit (EUR) per available room Difficult years in hotel industry Solid recovery Impact of adverse development in Russia 12.131 11.837-52 % 54 % 12 % 8.088 6.890 7.375 8.031 8.031 8.796 8.954 5.853-17 % 1.359 1.094 2006 Y 2007 Y 2008 Y 2009 Y 2010 Y 2011 Y 2012 Y 2012 Y 2013 Y 2014 Y Q 1 2014 Q 1 2015 Source: Annual Reports 2006-2014 7 7
Office Portfolio at a Glance 100% 43,100 sqm office in total (stake adjusted 30,600 sqm) Offices (as of 31.12.2014) City Country Area Stake Occupancy rate Tenant Parkur Tower Warsaw PL 9,700 sqm 50% 90% Sodexo, etc. AIRPORTCITY, Jupiter St. Petersburg Airport RU 17,000 sqm 55% 100% Gazprom Erzsebet Office Budapest HU 15,000 sqm 100% 79% Dioszegi Office Budapest HU 800 sqm 100% 100% Sajka Office Budapest HU 600 sqm 100% 100% Groupama Garancia Insurance Zeppelin, AIRPORTCITY St. Petersburg AIRPORTCITY, St.Petersburg Parkur Tower, Warsaw Erszebet Office, Budapest 8
Pipeline Overview Development Projects Expected opening Total area / no. of rooms Beneficial ownership (%) Under construction: Offices AIRPORTCITY St. Petersburg Phase II (Zeppelin) Q2-Q3 2015 16,500 m 2 55 Erzsebet Office Tower 2, Budapest Planning phase: Q2-Q3 2015 8,000 m 2 100 Zeppelin, AIRPORTCITY St. Petersburg Airport Car Park, AIRPORTCITY St. Petersburg Retail & Conference Centre, Berlin Prenzlauer Berg approx 20,000 m 2 55 2016/17 up to 18,000 m 2 50 Mogilska Office, Krakow 2016/17 up to 20,000 m 2 100 Chopin Office, Krakow 2016/17 app. 20,000 m 2 100 AIRPORTCITY St. Petersburg Phase III Offices Land reserves in Budapest, Bialystok, St. Petersburg (Phase IV up to 110,000 m 2 ) after 2016 approx. 40,000 m 2 55 - - - Erszebet Office Tower 2, Budapest 9
Under Construction - AIRPORTCITY St. Petersburg, Zeppelin tower AIRPORTCITY St. Petersburg Offices Phase II: Zeppelin, expected opening mid 2015-16,500m 2 office, fully pre-leased 2014 Fully pre-leased Financing in place as of Aug. 2013 as of Oct. 2014 10
Under Construction - AIRPORTCITY St. Petersburg Hotel Crowne Plaza ****, 294 rooms Phase I: Jupiter 1 and Jupiter 2 opened 2011 and 2012 / sold 2015-17,000 m 2 office, fully leased to Gazprom Phase II: Zeppelin expected opening mid 2015-16,500 m 2 leasable office area Phase III Offices - 60,000 m 2 leasable office area Phase IV Offices - up to 110,000 m 2 leasable office area 11
Pipeline - AIRPORTCITY St. Petersburg, Phase III and Phase IV Phase III Offices - 60,000 m 2 total leasable office area - 5 office towers à 13 floors - internally connected stylobat area - retail, conference and restaurant zones - 4 underground car parking levels Phase IV Offices - 110,000 m2 leasable office area 12
Pipeline - AIRPORTCITY St. Petersburg, parking AIRPORTCITY Car Park - 19,500 m 2 total leasable area - 560 car parking spaces - 3 car parking decks (2 heated decks) - 1,600 m 2 archive/storage area - 500 m 2 retail zone - car wash station - car service station - bus parking spaces 13
Under Construction - Erzsébet Office Building, Budapest The project consists of 2 separate office buildings located on one plot of land with a total of 13,149 sqm. of net leasable office area Parking is provided for about 153 cars on the surface Total leasable area 15,764 sqm. (incl. storage and common area) Office B Lease signed for 12,250 sqm. in March 2014 Office A Office A 14
Erzsébet Offices 15
Erzsébet Offices 16
Targets and Strategy Improve the financial and operational performance of our assets Ø Improve substantially recurring revenues and earnings Ø Generate stable cash flows from existing hotels Ø Increase NOP per available room and NAV per share Take advantage of recovery on transaction markets and further improve the capital structure and efficiency of the Group`s balance sheet Ø Recycle 5 % - 8 % of Gross Asset Value p.a. (in 2014: 2%, incl. Jupiter sale closed in Feb. 15: 9%) Target development and land bank to 10 % - 15 % of Gross Asset Value (currently approx. 10%) Ø Monetize the land bank through selective development or divestment Long-term leverage target of adjusted equity ratio* of 40 % - 50 % (31.12.14: 24 %, incl. Jupiter sale > 25%) Assuming that the real estate assets are recognized at their fair value 17 17
Segment Reporting * EUR (in thousand) 1-3 2015 1-3 2014 +/- restated HOTELS Revenues 19,383 21,521-10% Net operating profit (NOP) 3,712 4,606-19% Rooms available 3,394 3,482-3% NOP per available room in EUR 1,094 1,323-17% Occupancy Rate in % 53% 55% 2pp RevPAR in EUR 39 40-3% INVESTMENT PROPERTIES OFFICES Revenues 559 2,524-78% EBITDA Investment Properties 266 1,343-80% Development & Services Revenues 660 458 44% Losses/Gains on property disposals -1,376 - - EBITDA D&S 492 (893) - Note: * including Joint Ventures on a proportionate basis 18 18
Income Statement EUR (in thousand) 1-3 2015 1-3 2014 +/- restated Revenues from Hotels 10,069 12,745-21% Revenues from Investment Properties 371 2,344-84% Revenues from Development & Services 527 153 41% Total revenues 10,966 15,463-29% Expense directly attributable to the revenues -8,533-10,869 - Gross income from revenues 2,433 4,594-47% Income from the disposal of properties -1,376 - - Other operating income 3,065 296 - EBITDA 1,629 1,938-16% Depreciation, amortization and revaluation -2,158-2,462 - EBIT -529-524 -1% Financial result -3,893-7,994 - Loss/Profit for the period -5,337-8,828 - Improvement of result for the period mainly deriving from Rubel exchange rate gains Jupiter sale transaction closed, income from disposals of properties comprises transaction costs Decline in revenues and gross income influenced by downturn of Russian economy compared to the first quarter 2014 19 19
Balance Sheet EUR (in thousand) 31 03 2015 31 12 2014 +/- Non-Current Assets 422,580 389,247 +9% Current Assets 33,499 104,157-68% Total Assets 456,079 493,404-8% Total Equity 54,004 57,676-6% Long-term Debt 314,620 352,447-11% Short-term Debt 87,455 83,280 5% Total Liabilities 402,075 435,727-8% Sources: Financial Statements H1 2014 20
Cash Flow Statement EUR (in thousand) 1-3 2015 1-3 2014 +/- Restated Inflow 13,683 17,296-21% Outflow (11,669) (14,488) - Cash flow from operating activities 2,014 2,808-28% Inflow 41,671 3,164 - Outflow (6,294) (1,499) - Cash flow from investing activities 35,377 1.665 - Cash flow from financing activities (35,291) (5,252) - Cash and cash equivalents at the end of period 12,542 5,614-21
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Experienced Management Team Warimpex s principal shareholders, Franz Jurkowitsch (Chairman) and Georg Folian (Deputy Chairman), have each 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 redeveloping numerous real estate projects Management Board of Warimpex Alexander Jurkowitsch Franz Jurkowitsch Georg Folian Florian Petrowsky Member Chairman Deputy Chairman Member 23
Warimpex Snapshot Business Model Warimpex Finanz- und Beteiligungs AG, Vienna Acquisition Growth Potential Development Long-term Value Creation Hotels Investment Properties Ongoing Income Acquisition of land next to and below Hotel Chopin in H1 2013 Lease of land next to AIRPORTCITY St. Petersburg for car park in 2014 Gazprom new tenant at AIRPORTCITY St. Petersburg New tenant for Erzsébet Office in Budapest Further developments in St. Petersburg, Krakow, Berlin and Budapest Core Assets Non Core Assets Sale 50% stake in angelo Hotel Munich (Jan 2013) Palace Hotel Prague (July 2013) Le Palais office Warsaw, (Oct 2013) Le Palais Hotel, Prague (Dec. 2013) Savoy Hotel, Prague (June 2014) Jupiter office, St. Petersburg (Feb. 2015) 24 24
Stable NNNAV per share compared to June 2009 despite higher number of shares following capital increase in 2010 Comparison of NNNAV per share and the Company s share price on the VSE EUR 12 11 10 9 8 7 6 5 4 3 2 1 0 Juni.07 Juni.08 Juni.09 Juni.10 Juni.11 Juni.12 Juni.13 31.06.2014 share price NNNAV/share Source: Company Annual Reports 25
Appraisers Valuation of Warimpex Assets as of 31 Dec. 2014 Gross Asset Value vs. Book Value (EUR mn.)*- Gross Asset Value Structure (EUR mn.)* hidden reserves 600 500 400 300 200 498,0 382,6 60,6 54,7 520 500 480 460 440 420 498,0 419,7 78.3 Hidden reserves 100 400 0 Gross Asset Value Existing hotel assets Existing office building assets Projects under development 380 Gross Asset Value Book Value Total GAV*: EUR 498.0 mn. Book Value: EUR 419.7 mn. REVALUATION POLICY: The company does not revalue its HOTEL properties each financial year All gains from the appreciation in value of a property are recognized at the time the property is sold 26
Over 30 Years Experience in Real Estate Asset Management HOTELS Number of rooms In Portfolio from Sale Palace Hotel Prague 5-star, 124 rooms Purchased 2001 2013 angelo Hotel Munich 4-star, 146 rooms Opened 2008 2013 Intercont Warsaw 5-star, 414 rooms Opened 2003 2012 Sobieski Hotel Warsaw 4-star, 435 rooms Purchased 2006 2011 andel s Krakow 4-star, 159 rooms Opened 2007 2009 andel s Hotel & Suites Prague 4-star, 239 rooms + 51 studios Opened 2002 2005 Sheraton Hotel Warsaw 5-star, 350 rooms Opened 1996 1996 Pruhonice Sport Hotel, Prague 4-star, 100 rooms Opened 1990 1990 Holiday Inn, Warsaw 4-star, 172 rooms Developed 1989 Forum Hotel, Prague 4-star, 560 rooms Developed 1989 Jelina Gora Hotel 4-star, 172 rooms Developed 1989 Panorama Hotel, Prague 4-star, 456 rooms Developed 1983 Novotel Hotel, Budapest 4-star, 324 rooms Developed 1982 Penta Hotel, Budapest 4-star, 400 rooms Developed 1982 OFFICES Area (sqm) In Portfolio from Sale Jupiter Towers 1+2, St. Petersburg 17,000 sqm Opened in 2011/2012 2015 Csalogany office, Budapest 2,600 sqm Purchased 2003 2009 Pauler office, Budapest 3,000 sqm Purchased 2006 2008 andel s City SO 11, Prague 4,000 sqm Opened 2007 2007 Warsaw Towers, Warsaw 20,000 sqm Opened 1999 2000 27
Long-Term Positive Global Trends Warimpex business stands at the intersection of three powerful global trends 1 2 EXPANDING MIDDLE CLASS STRONG GROWTH IN GLOBAL TOURISM 1 bn. Middle Class Population 1990 2010 2030 Global Tourist Arrivals (in mn.) 435 4% CAGR +500 million 2 bn. 940 5% CAGR +870 million 5 bn. 1809 1990 2010 2030 Global Tourism Receipts in CEE (in bn.usd) 3 STRONG GROWTH IN RECEIPTS 48 +16.9% +6.6% 56 56 60 2010 2011 2012 2013 Source: UNWTO, 2014 28
Asset Valuation by External Appraisers Real estate assets held by sector (share of GAV*) Triple Net Asset Value calculation Development Assets 11% Office buildings 12% in EUR mn. 12/2014 12/2013 angepasst Equity before minority interests 72.1 90.1 Goodwill -0.9-0.9 Deferred tax assets - - Deferred tax liabilities 10.6 10.6 12.7 12.7 Hotel Assets 77% Book value of existing hotel assets 242.1 279.6 Fair value of existing hotel assets 291.5 49.4 321.0 41.5 Real estate assets by country (share of GAV*) FR 9% RO 3% Book value of development projects 75.8 64.9 Fair value of development projects 76.5 0.7 66.5 1.6 Book value of joint ventures 36.2 36.8 Fair value of joint ventures 64.4 28.2 61.2 24.4 DE 11% CZ 23% Triple Net Asset Value 160.1 169.4 RU 23% Number of shares 54,000,000 54,000,000 NNNAV per share in EUR 3.0 3.1 HU 4% PL 27% * as of 30 June 2014, ownership adjusted 29
Warimpex on the Stock Exchange Shareholder structure Free Float 36% Franz Jurkowitsch 14% Georg Folian 14% 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 ING OFE 4% Amplico PTE > 5% Aviva OFE > 5% Amber Privatstiftung 11% Bocca Privatstiftung 11% Ticker symbols Equity Ratio (31.12.2014) Stock Exchanges WXF Reuters WXFB.VI 12% (24% adjusted)* *) assuming fair value of real estate assets according to latest external valuations 30
Company History Impressive History 1980 Warimpex enters real estate market Novotel, first Warimpex hotel opened in Hungary 1982-1988 Penta Hotel Budapest, Forum Hotel Prague 1988-1989 1994-1996 Holiday Inn, Warsaw Hotel Palace, Prague 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 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 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 IPO in Vienna and Warsaw Hotel Andels s, Krakow Hotel Liner, Ekaterinburg Hotel Angelo, Munich Hotel Angelo Pilsen 31 31
Corporate calendar 28 May 2015 Publication of the results for the first quarter of 2015 8 June 2015 Annual General Meeting 27 Aug 2015 Publication of the results for the first half of 2015 30 Nov 2015 Publication of the results for the third quarter 2015 Contact details Franz Jurkowitsch Daniel Folian Christoph Salzer CEO Investor Relations Press Tel.: +43 1 310 55 00 125 Tel.: +43 1 310 55 00 156 Tel.: +43 1 310 55 00 143 franz.jurkowitsch@warimpex.com daniel.folian@warimpex.com presse@warimpex.com 32