Pandox developments. Anders Nissen, CEO Pandox Capital Market Day November 21, Excellence in Hotel Ownership and Operations

Transcription

1 Excellence in Hotel Ownership and Operations Pandox developments Anders Nissen, CEO Pandox Capital Market Day 2017 November 21, 2017 This presentation may contain forward-looking statements. Such statements are subject to risks and uncertainties that could negatively affect our business and results. Please read our most recent annual report and interim report for a better understanding of these risks and uncertainties.

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7 The world is changing

8 fast

9 Digitalisation Automation Robotisation

10 New skills

11 The 4th industrial revolution

12 New consumer behaviour

13 Strategic implications for Pandox

14 Guests Acquisitions Partners Investments Productivity Co-workers

15 Scary?

16 Exciting!

17 Welcome to the Pandox Hotel Market Day 2017

18 Hospitality is a major economic engine Source: World Travel & Tourism Council (WTTC)

19 10 percent of global GDP Source: World Travel & Tourism Council (WTTC) World Summary

20 10 percent of global GDP 4 th largest industry in the world Source: World Travel & Tourism Council (WTTC) World Summary

21 Film(er): dynamik!

22 +4.0% Source: World Travel & Tourism Council (WTTC) Global Travel & Tourism GDP growth (CAGR)

23 +4.0% Expected yearly growth Source: World Travel & Tourism Council (WTTC) Global Travel & Tourism GDP growth (CAGR)

24 Challenges and opportunities

25 Digitalisation 1 Digitalisation Major force of change Rapid expansion of third-party platforms

26 New distribution channels 2 New distribution forms New ways to find, choose and book hotel rooms

27 New business model 3 New business models Brands focus on brand management with reduced interest for operations and risk sharing

28 Challenges and opportunities

29 Digitalisation 1 Digitalisation New players driving demand One-click-booking

30 New distribution channels 2 New distribution forms Reduced brand power creates direct contact with guests for active owners

31 New business model 3 New business models Have opened the door to operations for active owners which makes it easier for vertical integration and to actively influence the value creation

32 Conclusion

33 Digitalisation and new forms of distribution have created good conditions for Pandox to be active across the value-chain

34 Pandox s business

35 Pandox has always been a driver of change

36 The first listed hotel property company in Europe A first mover in dynamic lease agreements One of few with a broad geographical exposure Dynamic business model, active across the value chain

37 High business tempo since listing

38 1. Completed acquisitions for SEK 9.5bn, corresponding to 28 new hotel properties 2. Streamlining of portfolio with divestment of 9 non-core hotel properties 3. More than 40 new and extended lease agreements 4. Active ownership with hotels taken over, re-developed and leased out 5. Cash flow generating investments together with partners 6. High financial flexibility Based on the period Q Q3 2017

39 A new and stronger business platform has been created

40 Pandox s strategic position Larger portfolio

41 Pandox s strategic position Larger portfolio Higher profitability

42 Pandox s strategic position Larger portfolio Higher profitability Bigger markets

43 Pandox s strategic position Larger portfolio Higher profitability Bigger markets Unchanged risk profile

44 Pandox s strategic position Larger portfolio Higher profitability Bigger markets Unchanged risk profile The same business model

45 Film: förvärv o ny position

46 Cash flow driving investments an important part of Pandox s strategy

47 SEK 1.25bn invested in existing hotels From listing until September 30, 2017 Based on the period Q Q3 2017

48 SEK 1.25bn invested in existing hotels 8-12% return From listing until September 30, 2017 Based on the period Q Q3 2017

49 SEK 0.7bn in pipeline As of September 30, 2017 Per September 30, 2017

50 SEK 0.7bn in pipeline Shared value and capex As of September 30, 2017 Per September 30, 2017

51 Elite Park Avenue Gothenburg, 333 rooms More rooms, F&B and meeting Investment MSEK 125 Pandox s share MSEK 65

52 Hyatt Regency Montreal, 596 rooms Rooms upgraded > access to a higher price segment Investment MCAD 20

53 Shark (1) 2 with Scandic 19 hotels, 4 countries 3,437 rooms MSEK 435 Pandox s share MSEK 230

54 Leonardo Wolfsburg City Centre, 343 rooms Extension with more hotel rooms and larger meeting center Investment MEUR 14

55 Business snapshot

56 Portfolio overview Well-diversified portfolio dominated by leases Pandox Group 122 hotel properties Property Management 107 Leased Property Management 15 Operated SEK 41.0bn Property market value 83% Property market value 5.6% Valuation yield 17% Property market value 7.2% Valuation yield Per 30 September,

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59 Key strategic question

60 How to replace our corporate dog Mr. Harry

61 Film om urvalsprocess och intro av ny Corp. dog

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63 People

64 Bildspel som Danielsson startar

65 For presentations