Santander Conference
Group Latest Events
January 2021
1
CORPORATE STRUCTURE
100% | 100% | 33.6% | 33.6% | 62.4% |
Farms in | Farms in | Farms in | Farms in | ||||||||||||||
ARGENTINA | BOLIVIA | BRASIL | PARAGUAY | ||||||||||||||
A través de | |||||||||||||||||
HOTELS | |||||||||||||||||
100% | 50.1% | 22.3% | 79.9% | LANDBANK | 29.9% | 18.9% |
BRASILAGRO owns | CRESUD owns 3,36% of |
1,9% of Agrofy | |
IRSA CP | |
COVID-19
Agribusiness operating normally in the region as it is
an essential activity.
2
CROP BREAKDOWN
(FY 21E)
13%
10% 48%
24%
GOOD FARMING RESULTS EXPECTED FOR 2021
Soybean | RECORD PLANTED AREA | ||||
Th. Ha | |||||
248 | |||||
Corn | |||||
Sugarcane | 202 | 212 | 213 | 205 | |
200 | 199 |
HISTORICAL
RECORD
264 | 262 | |
10 | Paraguay | |
11 | ||
14 | 13 | Bolivia |
Others | 183 | 179 |
142 | 141 |
101 105
Brazil
82
49
Argentina | |
139 | 133 |
FY 07 | FY 08 | FY 09 | FY 10 | FY 11 | FY 12 | FY 13 | FY 14 | FY 15 | FY 16 | FY 17 | FY 18 | FY 19 | FY 20 | FY 21E |
CROP PRODUCTION | SUGARCANE PRODUCTION | MEAT PRODUCTION | ||||||||||
Th. tn | +2.0% | Tn/ha | Th. Tn & Th units | |||||||||
Argentina | +12.1% | 94 | 99 | |||||||||
Brazil | ||||||||||||
Brazil | 812 | 828 | 74 | |||||||||
Bolivia | 2.411 | |||||||||||
Bolivia | ||||||||||||
2412 | ||||||||||||
Paraguay | 24 | 2.150 | 172 | |||||||||
29 | 1.898 | |||||||||||
536 | 203 | 310 | 146 | 11,783 | ||||||||
67 | ||||||||||||
2321 | 2,485 | |||||||||||
116 | 2.239 | |||||||||||
557 | 1.831 | 2.004 | ||||||||||
482 | 10,566 | 11,173 | ||||||||||
9,298 | ||||||||||||
376 | ||||||||||||
Recent
~20% cattle 59 stock sale in
Argentina
11
4
FY18 | FY19 | FY20 | FY18 | FY19 | FY20 | FY18 | FY19 | FY20 | 3 |
FARMING: COMMODITY PRICES AND GLOBAL STOCKS
SOYBEAN & CORN PRICES (CBOT) | FOB SOYBEAN PRICE |
450
400
350
US, BRAZIL & ARGENTINA
Current regional hedge position | 580 | ||
Soybean: 67% | 430 | +33% | 530 |
Corn: 55% | (since Jun 30, 2020) | ||
480 |
300 | 430 | ||||||||||||||||||||
250 | 165 | +26% | 380 | ||||||||||||||||||
200 | 330 | ||||||||||||||||||||
(since Jun 30, 2020) | |||||||||||||||||||||
150 | |||||||||||||||||||||
100 | 280 | ||||||||||||||||||||
may/2019 | ago/2019 | may/2020 | ago/2020 | ||||||||||||||||||
nov/2018 | feb/2019 | nov/2019 | feb/2020 | nov/2020 | |||||||||||||||||
Maíz CBOT disponible en US$/tt | Soja CBOT disponible en US$/tt | FOB EEUU Golfo 362 | FOB Brasil 371 | FOB Argentina 343 | |||||||||||||||||
SOYBEAN STOCK / CONSUMPTION RATIO
35%
30%
25% | 23,9% | |||||||||
20% | ||||||||||
15% | ||||||||||
10% | 6,4% | |||||||||
5% | ||||||||||
0% | ||||||||||
07/08 | 08/09 | 09/10 | 10/11 | 11/12 | 12/13 | 14/15 | 16/17 | 18/19 | 20/21 | 20/21 |
ant | Act. | |||||||||
EE.UU | Mundo | Prom Mundo | Prom EEUU |
CORN STOCK / CONSUMPTION RATIO | ||||||||||||||
35% | ||||||||||||||
30% | 25,8% | |||||||||||||
25% | ||||||||||||||
20% | 14,9% | |||||||||||||
15% | ||||||||||||||
10% | ||||||||||||||
5% | ||||||||||||||
0% | ||||||||||||||
07/08 | 08/09 | 09/10 | 10/11 | 11/12 | 12/13 | 13/14 | 14/15 | 15/16 | 16/17 | 17/18 | 18/19 | 19/20 | 20/21 | 20/21 |
Ant | Act |
EE.EE | Mundo | Prom EEUU | Prom Mundo |
4
FARMLAND SALES TRACK RECORD
U S D M I L L I O N
Jatobá Partial Sales | Alto Taquarí Partial Sales | ||||||||||||||||||||||||||||||||||
25 YEARS AVERAGE | |||||||||||||||||||||||||||||||||||
Date of sale | IQ20 (Sep 19) | IV20 (Jun 20) | IIQ20 (Oct 19) | IVQ20 (Jun 20) | |||||||||||||||||||||||||||||||
Farms sold | 2.4 | ||||||||||||||||||||||||||||||||||
Area (hectares) | Total: 1,134 ha | Total: 1,875 ha | Total: 85 ha | Total: 105 ha | |||||||||||||||||||||||||||||||
Productive: 893 ha | Productive: 1,500 ha | Productive: 65 ha | Productive: 105 ha | ||||||||||||||||||||||||||||||||
Has sold | 17 th. | ||||||||||||||||||||||||||||||||||
Acquisition Price + | BRL 1.7 MM | BRL 3.5 MM | BRL 1.2 MM | BRL 1.3 MM | |||||||||||||||||||||||||||||||
CAPEX | |||||||||||||||||||||||||||||||||||
% Portfolio sold | 3% | ||||||||||||||||||||||||||||||||||
Nominal Sale Price | 302 bags/ha | 300 bags/ha | 1,100 bags/ha | 1,100 bags/ha | |||||||||||||||||||||||||||||||
Argentina USD IRR | 16% | BRL 22.7 MM | BRL 45.0 MM | BRL 5.5 MM | BRL 11.0 MM | ||||||||||||||||||||||||||||||
IRR (BRL - USD) | 14.7% - 7.0% | 14.3% - 5.0% | 21.4% - 13.0% | 21.1% - 14.4% | |||||||||||||||||||||||||||||||
Brazil BRL IRR | 22% | 134 | |||||||||||||||||||||||||||||||||
Bolivia USD IRR | 15% | ||||||||||||||||||||||||||||||||||
72 | |||||||||||||||||||||||||||||||||||
PROFIT | 62 | 67 | |||||||||||||||||||||||||||||||||
(USD MM) | |||||||||||||||||||||||||||||||||||
46 | |||||||||||||||||||||||||||||||||||
BOOK VALUE | 28 | 34 | |||||||||||||||||||||||||||||||||
(USD MM) | |||||||||||||||||||||||||||||||||||
21 | 26 | 21 | 62 | 60 | |||||||||||||||||||||||||||||||
39 | 19 | ||||||||||||||||||||||||||||||||||
20 | |||||||||||||||||||||||||||||||||||
14 | |||||||||||||||||||||||||||||||||||
34 | |||||||||||||||||||||||||||||||||||
5 | 13 | 13 | 17 | ||||||||||||||||||||||||||||||||
12 | 14 | ||||||||||||||||||||||||||||||||||
8 | |||||||||||||||||||||||||||||||||||
3 | 7 | 7 | 7 | ||||||||||||||||||||||||||||||||
1 | - | 2 | |||||||||||||||||||||||||||||||||
FY10 | FY11 | FY12 | FY13 | FY14 | FY15 | FY16 | FY17 | FY18 | FY19 | FY20 | |||||||||||||||||||||||||
Farms sold | 1 | 2 | 3 | 4 | 2 | 4 | 0 | 6 | 3 | 3 | 4 | ||||||||||||||||||||||||
5
COVID-19 IN ARGENTINA
SHOPPING MALLS
IM PACT IN OUR BUSIN ESS
Operations closed since March 20th. The company decided to waive billing | |
and collection of base rent and commercial fund from April to September | |
30, 2020, supporting tenants and prioritizing long-term relationship. We | |
only charged common expenses. As of October, 100% of the portfolio is | GUARANTEED BY |
operating under strict protocols. | CONTRACT |
Common Expenses;
20%
Commercial fund; 8%
Parking y Otros; 9%
Key money ; 9%
Variable rent; 21%
Base rent; 33%
OFFICE BUILDINGS
Situation pre Covid-19 | |
Normal revenues collection during | (6M FY20) |
lockdown period. |
ENTERTAINMENT & CONVENTION CENTERS
EXPENSES
CAPEX
Operations closed since March 20th. Convention Centers,
Fairs and Events cancelled or postponed. There is no certainty about the reactivation of the sector.
Cut of nonessential expenses and services.
Cut of social security taxes and other taxes.
Payroll cost reduction (~20% staff reduction).
Construction works in Catalinas ("200 Della Paolera") and Alto Palermo expansion suspended during lockdown. As of October, works were reestablished under certain protocols.
Working together with our tenants giving them all our support and help in this unprecedented
situation
6
SHOPPING MALLS
OP E RAT IN G FIGURES
GLA & OCCUPANCY
(GLA: sqm)
Pre COVID-19 | |
98.7% | 95.0% |
94.3% | |
92.8% |
end of
345,929 concession
332,277333,345
SAME SHOPPING MALLS SALES | Pre COVID-19 |
(% Var i.a.) |
60,5% | |||||||||||||||||||||||||||||
46,2% | |||||||||||||||||||||||||||||
35,1% | |||||||||||||||||||||||||||||
29,6% | |||||||||||||||||||||||||||||
24,4% | 24,7% | ||||||||||||||||||||||||||||
5,6% | |||||||||||||||||||||||||||||
-5,1% | |||||||||||||||||||||||||||||
-8,1% | |||||||||||||||||||||||||||||
-15,5% | -13,5% | ||||||||||||||||||||||||||||
-14,7% | |||||||||||||||||||||||||||||
COVID-19
IQ21 slight recovery
(44% of malls opened). Since October 2020, all the shopping malls are operating under strict protocols.
32,5%
-11,9%
-71,2%
IQ19 | IQ20 | IQ21 |
Nominal terms Real terms
-90,4%
-93,3%
-79,4%
IQ 19 | IIQ 19 | IIIQ 19 | IVQ 19 | IQ 20 | IIQ 20 |
IIIQ 20 | IVQ 20 | IQ 21 |
7
SHOPPING MALLS' 20 YEARS OPERATIONAL PERFORMANCE
CRISIS | 99% | CRISIS |
98%
99% | CRISIS… |
97%
97%
95%
Occupancy | 92% | 93% | |||
43% | 43% | ||||
38% | 40% | ||||
36% | |||||
36% | 34% | ||||
31% | |||||
31% | 33% | ||||
Tenant sales ARS/sqm | 24% | ||||
(annual ∆) | 20% | ||||
15% | 21% | ||||
15% | 17% | ||||
11% | 7% | ||||
7% |
CPI + GDP
-5%
(annual ∆)
-18%
1999 | 2000 | 2001 | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 |
COVID-19 MALLS´ REOPENING
ACCORD IN G TO IRSA COM M E RCIAL P ROP E RT IES' P ROTOCOL
May | June | July | August | September | October | November |
44% | 100% |
PROTOCOL
STRICT SAFETY AND HYGIENE | REDUCED HOURS AND | SOCIAL DISTANCE |
COMMUNICATION, TRAINING | ||
MEASURES | TRAFFIC | AND INCENTIVES |
9
OFFICE BUILDINGS
OP E RAT IN G FIGURES
STOCK | OCCUPANCY |
(GLA: sqm) | BY CLASS |
A+ & A
200 Della Paolera
+22.4%
B
Pre COVID-19 | COVID-19 | |||||||
96,6% | 97,1% | |||||||
93,9% | ||||||||
93,0% | 91,6% | |||||||
46,2% | 47,5% | 53,2% | 52,4% | 53,6% |
113,986 | IQ 20 | IIQ 20 | IIIQ 20 | IVQ 20 | IQ 21 |
28,000
Bouchard
710
LEASES | Pre COVID-19 | COVID-19 |
(USD/sqm/month) |
115,640 | |||||||||
83,213 | Zetta | 93,144 | Boston | 85,986 | |||||
Building | 26,9 | ||||||||
Tower | 26,6 | 26,6 | 26,6 | ||||||
26,0 | |||||||||
Boston | |||||||||
Tower | |||||||||
IQ19 | IQ20 | IQ21 | IIQ21E | IQ20 | IIQ 20 | IIIQ20 | IVQ 20 | IQ21 |
10
July 2020
BOUCHARD 710
Entire building - 12 floors
15,0145,800
GLA sqm | USD/sqm |
USD 87.2 mm | 16% |
IQ 2021 AND SUBSEQUENT SALES
OFFICE BUILDINGS
BOSTON TOWER
July and August 2020 | November 2020 |
6 floors | 7 floors |
7,482 | 7,158 |
GLA sqm | GLA sqm |
USD 41.4 mm | USD 42.0 mm |
Price | Price (including retail store) |
5,530 | 5,710 |
USD/sqm | USD/sqm |
IRCP has no remaining floors in the building
AVERAGE CAP RATE ~6.0%
Price | USD IRR | 11 |
ACTIVE PORTFOLIO MANAGEMENT
CAPITAL CONTROLS | CAPITAL CONTROLS | |||
Intercontinental | 200 Della | Boston | ||
5,000 | ||||
Paolera | ||||
Acquisitions | 200 Della Paolera | Tower | ||
Sales | 4,500 |
A+ Offices prices | Maipú | ||||||||||||||||||||||
USD/sqm | Rulero | Bouchard 710 | |||||||||||||||||||||
Intercontinental | |||||||||||||||||||||||
Boston Tower | |||||||||||||||||||||||
2,450 | Bouchard Plaza | Bouchard Plaza | Dique IV | ||||||||||||||||||||
Rulero | |||||||||||||||||||||||
Bouchard 710 | Flight to quality | ||||||||||||||||||||||
Yacht V & VI | |||||||||||||||||||||||
Maipú | República | ||||||||||||||||||||||
710 | Zetta Building | 200 Della Paolera | |||||||||||||||||||||
Opened in May 2019 | Currently under development | ||||||||||||||||||||||
1997 | 1998 | 1999 | 2000 | 2001 | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 |
Fuente: L.J. Ramos - Colliers | 12 |
PROJECTS
UNDER
DEVELOPMENT
200
DELLA
PAOLERA
ALTO PALERMO
EXPANSION | 3,900 | |
GLA sqm | ||
66% | ||
Works Progress | ||
FY21 | ||
Est. Opening date | ||
USD 28.5mm | ||
Est. Investment | ||
~USD 8.2mm | ||
CAPEX deployment pending | ||
200 DELLA PAOLERA | ||
35,000 | 97% | 61% |
Total GLA | Works Progress | Commercialization Progress |
28,000 | IIQ 21 | ~USD 7.7mm |
IRCP GLA | Est. Opening date | CAPEX deployment pending |
~USD 90mm | Construction works suspended during |
Est. Investment | COVID-19 lockdown. On October 18, |
~USD 10mm | 2020, construction activity has been |
Est. Stabilized Revenues | reestablished with protocols. |
13
Financial
Performance
14
GROUP LIQUIDITY INCREASE
CALE N DAR Y EAR 2 0 2 0 - USD M ILLION
LOCAL NOTES ISSUANCES | SALE OF REAL ESTATE ASSETS |
Jan-20 USD 51.4 MM
- ARS BADLAR + 6.5%
- USD linked 7.45%
- USD 5%
Jun-20 USD 83.0 MM | Nov-20 USD 35.6 MM | • | Entire "Bouchard 710" building for USD 87.2 MM |
• USD linked 3.5% | • USD 9% | ||
• | 2 floors of "200 Della Paolera" for USD 16.9 MM | ||
Aug-20 USD 25.0 MM | |||
• | 13 floors of "Boston Tower" for USD 83.4 MM | ||
• USD linked 2.0% | |||
615.9 | ||
15.6 | USD MM | |
195.0 | 187.5 | |
217.8 | ||
SALE OF 6% STAKE OF
BRASILAGRO
LOCAL NOTES ISSUANCES
May-20 USD 67 MM
- ARS BADLAR + 6%
- USD linked 12m 5.0%
- USD linked 24m 7.5%
Jul-20 USD 38.4 MM | Nov-20 USD 112.4 MM | |
• | ARS BADLAR + 4% | • USD 10% |
• | USD linked 4% |
FINANCIAL METRICS
SE P T E MBE R 3 0 , 2 0 2 0 - USD M ILLION
132.1 | Adj. Total EBITDA | 150.6 | Net Operating Income | 97.4 | Adjusted FFO | ||
LTM4 | LTM4 | LTM4 | |||||
NAV1 | +59% | |||||||||
15 | 85 | 218 | VALUATION RATIOS | September 2020 | ||||||
203 | ||||||||||
CAP RATE (NOI/EV) | 28% | |||||||||
802 | ||||||||||
1.767 | EV/EBITDA | 4.1x | ||||||||
1.549 | ||||||||||
974 | P/FFO | 2.5x | ||||||||
661 | ||||||||||
Shopping Malls | Offices5 | Land reserves | Others 2 | JV & Investees 3 | Gross Asset | Net Debt | Net Asset | Net Asset | P/NAV | 0.2x |
& Prop. Under | Value | Value | Value IQ FY | |||||||
development | 2020 |
1- Assets and liabilities adjusted by IRCP ownership | |
2- Includes trading properties and barters registered under intangible assets. These two items are recorded at historical cost in the financial statements | |
3- Includes Quality and Nuevo Puerto Santa Fe as JV and La Rural, Convention Center & TGLT as Investees. | |
4- LTM as of September 30, 2020 Adjusted Avg. FX: ARS 74.15 | |
5- Includes 200 Della Paolera | 16 |
DEBT PROFILE
SE P T E MBE R 3 0 , 2 0 2 0 - USD M ILLION
220.5 Consolidated Net Debt2
Description | Amount | Maturity |
Short-term debt | 72.7 | <360 days |
PAMSA loan | 27.0 | Feb 2023 |
2023 Series II | 360.0 | Mar 2023 |
(international) | ||
GROSS DEBT | 459.7 | |
Cash & Equivalents1 | 134.7 | |
Intercompany Credit | 104.5 | |
NET DEBT2 | 220.5 | |
1.7x | Net Debt/ EBITDA 12.5% | Loan to Value3 |
AMORTIZATION SCHEDULE
368.1
80.8
10.8
FY 2021 | FY 2022 | FY 2023 |
- Cash & Cash Equivalents + Investments in Financial Currents Assets + Intercompany Notes Holdings
- Gross Financial Debt less cash & equivalents, short-term financial current investments & Intercompany Credit with parent IRSA
- Net Financial Debt over Gross Assets Value
17
IRSA - NET ASSET VALUE
SE P T E MBE R 3 0 , 2 0 2 0 - USD M ILLION
1,786 GAV | 1,358 NAV | 24.0% LTV | ||
NAV | ||
461 | 429 | |
25 | 51 | |
1,786 | ||
1,249 | 1,358 |
IRCP NAV | Hotels | Banco Hipotecario1 | Landbank & Others 2 | Gross Asset Value | Net Debt | Net Asset Value |
- Book value as of September 30, 2020
- Book value as of September 30, 2020. "Others" includes properties for sale and investment in Condor Hospitality Trust
18
IRSA DEBT PROFILE
BY CALE NDAR Y EAR AS OF SE P T EMBER 3 0 , 2 0 2 0 - USD M ILLION
Description | Amount | Maturity |
Short term debt | 22.0 | <360 days |
Series I | 181.5 | Nov 2020 |
Series III | 4.6 | Feb 2021 |
Series IV | 51.4 | May 2021 |
Series V | 9.2 | May 2022 |
Series VI | 4.4 | Jul 2021 |
Series VII | 33.7 | Jan 2022 |
Intercompany Debt | 104.5 | Mar 2022 |
Other Debt | 17.6 | Feb 2022 |
GROSS DEBT | 428.9 | |
During IQ 21 IRSA cancelled Series II (USD & CLP) | ||
CURRENT SCHEME | 207.8 | for USD 110 mm with local issuances |
DOES NOT INCLUDE INTERCOMPANY | ||
LOAN WITH IRCP |
SERIES I USD 181.5 | 70.7 | |||||
Exchanged accepted for | 45.9 | |||||
USD 178,5 | ||||||
2020 | 2021 | 2022 | ||||
PROFORMA SCHEME | New SERIES VIII & IX issued for USD 112.5 | |||||
DOES NOT INCLUDE INTERCOMPANY | ||||||
LOAN WITH IRCP | 94.3 | |||||
85.2 | ||||||
56.5 | ||||||
23 | ||||||
2020 | 2021 | 2022 | 2023 |
DIVIDEND TO BE COLLECTED FROM IRCP | DIVIDEND DISTRIBUTION | • 0.002613 IRCP share per IRSA share | |
ARS 484 MM | |||
~USD 95 MM | • 0.02613 IRCP share per IRSA ADR | ||
• Record date: Nov 16, 2020 | |||
IN IRCP SHARES | |||
• Payment date: Nov 17, 2020 | |||
~1.2% OF THE STOCK CAPITAL | |||
19 | |||
CRESUD STAND ALONE
BY FISCAL Y EAR AS OF SE P T E MBER 3 0 , 2 0 2 0 - USD M ILLION
Description | Amount | Maturity |
Banking Debt | 101.4 | |
Series XXIV | 73.6 | Nov 2020 |
Series XXVI | 13.1 | Jan 2021 |
Series XXVIII | 27.5 | Apr 2021 |
Series XXV | 59.6 | Jul 2021 |
Series XXVII | 5.7 | Jul 2021 |
Series XIX | 83.0 | Dec 2021 |
Series XXIII | 113.0 | Feb 2023 |
Series XXX | 25.0 | Ago 2023 |
GROSS DEBT | 501.9 | |
Cash & Equivalents1 | 71.9 | |
NET DEBT | 430.0 | |
CURRENT SCHEME | 200.9 |
163 |
SERIES XXIV | 113 | ||||
exchanged for | 25 | ||||
USD 73.6 | |||||
2021 | 2022 | 2023 | 2024 |
PROFORMA SCHEME
New SERIES XXXI & XXXII | ||
issued for USD 35.6 | 163,4 | 147,7 |
127,3 | ||
25,4
2021 | 2022 | 2023 | 2024 |
1 Cash & Cash Equivalents + Investments in Financial Currents Assets | 20 |
Thanks!
21
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Disclaimer
IRSA - Inversiones y Representaciones SA published this content on 19 January 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 28 January 2021 14:53:06 UTC.