Professional Documents
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Conference Call
BH Shopping, Belo Horizonte
Presentation
1Q17
Disclaimer
This document may contain prospective statements, which are subject to risks and uncertainties as they are based on expectations
of the companys management and on available information. The company is under no obligation to update these statements.
The words "anticipate, wish, "expect, foresee, intend, "plan, "predict, forecast, aim" and similar words are intended to
identify these statements.
Forward-looking statements refer to future events which may or may not occur. Our future financial situation, operating results,
market share and competitive position may differ substantially from those expressed or suggested by these forward-looking
statements. Many factors and values that may impact these results are beyond the companys ability to control. The reader/investor
should not make a decision to invest in Multiplan shares based exclusively on the data disclosed on this presentation.
This document also contains information on future projects which could differ materially due to market conditions, changes in laws or
government policies, changes in operational conditions and costs, changes in project schedules, operating performance, demands
by tenants and consumers, commercial negotiations or other technical and economic factors. These projects may be altered in part
or totally by the company with no prior warning.
External auditors have not reviewed non-accounting information.
In this presentation the company has chosen to present the consolidated data from a managerial perspective, in line with the
accounting practices in use until December 31, 2012, as disclosed on the next page.
For more detailed information, please check our Financial Statements, Reference Form (Formulrio de Referncia) and other
relevant information on our investor relations website ir.multiplan.com.br.
2
1Q17
Managerial Report
Multiplan is presenting its quarterly results in a managerial format to provide the reader with a more complete perspective on
operational data. Please refer to the companys website ri.multiplan.com.br to access the Financial Statements in compliance with
the Brazilian Accounting Pronouncements Committee CPC.
During fiscal year 2012, the Accounting Pronouncements Committee (CPC) issued the following pronouncements that impact the
companys activities and its subsidiaries, among others: (i) CPC 18 (R2) Investment in affiliated companies, subsidiaries and in
joint control developments; (ii) CPC 19 (R2) Combined business. These pronouncements required their implementation for fiscal
years starting January 1st, 2013. Such pronouncements determine, among other issues, that developments controlled jointly be
recorded in Financial Statements via equity pick-up. In this case the company no longer consolidates proportionally the 50% interest
in Manati Empreendimentos e Participaes S.A., a company that owns a 75% interest in Shopping Santa rsula, and a 50% stake
in Parque Shopping Macei S.A., a company that owns a 100% interest in the shopping center of the same name. This presentation
adopted the managerial format and, for this reason, does not consider the requirements of CPCs 18 (R2) and 19 (R2). In this
manner, the information and/or performance analyses presented herein include the proportional consolidation of Manati
Empreendimentos e Participaes S.A. and Parque Shopping Macei S.A. For additional information, please refer to note 8.4 of the
Financial Statements dated March 31, 2017.
3
1Q17
Shopping Centers Sales
Evolution of Evolution of Same Area and Same Breakdown of Same
tenants sales (R$) Store Sales growth (%) Store Sales per segment in 1Q17
5.1% 5.1%
4.8% 4.9% 2.6%
4.3% 2.3%
35,438 36,491
34,001 34,941
1.4%
30,727
1.0%
0.7%
2013 2014 2015 2016 Mar-17 1Q13 1Q14 1Q15 1Q16 1Q17
(LTM)
SAS and SSS Spread (%)
Source: Multiplan 4
1Q17
Selected Operating Data
Evolution of occupancy cost Evolution of delinquency rate and rent loss
6.0% 5.7%
5.8% 13.1%
12.7% 13.1% 5.4%
5.9% 13.1% 13.0% 13.0%5.8% 4.5%
3.0%
5.4% 5.3% 5.4% 5.6% 5.6% 5.3% 1.8%
2.2% 1.9% 1.8% 3.6% 1.1%
8.1% 7.8% 8.1% 8.1% 8.2% 8.1% 2.7%
98.5% 98.6%
97.5% 97.9% 97.4%
99.0%
98.8%
98.6%
98.4%
98.4%
98.1%
98.1%
98.0%
97.6%
97.6%
97.4%
97.3%
1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17
Source: Multiplan 5
1Q17
Gross Revenue Analysis
Gross revenue breakdown 1Q17 Rental revenue breakdown (R$) and occupancy rate (%)
Key
money Others
0.7% 2.6% 97.5% 98.5% 98.6% 97.9% 97.4%
Services
8.1%
228.5 M
194.2 M 207.2 M
Parking 167.9 M
154.4 M
14.8%
90.6% 91.5%
Rent 90.2%
89.9% 89.5%
73.8%
Others include real estate for sale, straight-line effect and other revenues.
6
Source: Multiplan
1Q17
Rental Revenue Analysis
Rental revenue growth breakdown (R$) Evolution of Morumbi Corporates rental revenue (R$) - LTM
+16.2%
Rental Base rent Overage Merchand. Rental Mar-16 Jun-16 Sep-16 Dec-16 Mar-17
revenue 1Q16 revenue 1Q17
Rental revenue (LTM) Occupancy rate
4.3% 0.6% 3.5% 1.2% 0.9% 4.1% 2.7% 3.4% 4.1% 2.4% 2.4% 0.3% -1.7% -3.3% -2.2% -2.4% -1.0%
11.4% 11.4%
10.1% 8.8% 9.5%
8.0% 8.0% 9.2% 10.8% 10.7% 9.8%
6.8% 7.0% 6.8% 6.2% 9.3%
6.8% 7.4% 7.6% 7.5% 8.7%
6.7% 5.9% 5.9% 5.9% 8.4% 8.1%
5.8% 5.6% 5.2% 4.5% 4.4% 5.8% 6.0%
1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17
Same Store Rent (SSR) growth (y/y) x% IGP-DI inflation adjustment on contracts (y/y) x% SSR real growth/decline (y/y)
SSR IGP-DI Adjustment Effect
Source: Multiplan 7
1Q17
Net Operating Income (NOI)
Evolution of shopping center expenses (R$) and as % of shopping center revenues
-3.6%
32.1 M 35000.1
31.0 M
30000.1
24.9 M 25.5 M
23.0 M 25000.1
20000.1
5000.1
0.1
1Q13 1Q14 1Q15 1Q16 1Q17
986.5 M
944.9 M
+9.5% 879.6 M
251.2 M
229.3 M 707.8 M
644.0 M
527.4 M
88.1% 88.8%
88.6% 86.8%
87.1%
88.8% 88.7% 84.6%
1Q16 1Q17 Mar-12 (LTM) Mar-13 (LTM) Mar-14 (LTM) Mar-15 (LTM) Mar-16 (LTM) Mar-17 (LTM)
Considers shopping center rental and parking revenues. NOI NOI Margin
Source: Multiplan 8
1Q17
Financial Results
26
0. 0M
EBITDA (R$) Net Income (R$) FFO (R$)
+5.3%
24
0. 0M
18
0. 0M 198.8 M 70.1 M
198.8 M 198.8
114.6 M M
-19.2%
26
0. 0M
26
0. 0M
24
0. 0M
-22.5% 187.3 M 24
0. 0M
187.3 M
187.3 M 54.3
26.1MM
22
0. 0M 22
0. 0M
24
0. 0M
26.1 M
16
0. 0M
20
0. 0M 20
0. 0M
22
0. 0M
20
0. 0M
71.3% 26.1 M 18
0. 0M
71.3% 67.2%
18
0. 0M
204,112 213.5 M
14
0. 0M 12
0. 0M
12
0. 0M
12
0. 0M 10
0. 0M
10
0. 0M
12
0. 0M
10
0. 0M
10
0. 0M
Net income Net revenue Operating Share-based Financial results Depreciation Income tax and Minority interest Net income
1Q16 expenses compensations and amortization social 1Q17
contribution
Lowest Debt
4.00x Covenant Lim it Mar-17 Status
covenant Volum e
(4.00x) Net Debt/EBITDA <= 4.00x 2.39x 1,578.4 M Comply
3.00x EBITDA/Net Financial Expenses >= 2.00x 3.62x 730.4 M Comply
3.04x
Total Debt/Total Asset <= 0.50x 0.35x 69.3 M Comply
2.00x 2.44x 2.43x 2.40x 2.39x
2.33x EBITDA Margin >=20.0% 67.2% 69.3 M Comply
Total Debt/Shareholders Equity <= 1.00x 0.60x 38.2 M Comply
1.00x
Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Total debt w ith financial covenants 1,647.7 M
EBITDA and Net Financial Expenses are the sum of the last 12 months.
11
Source: Multiplan
1Q17
Greenfield Under Construction
Multiplans Stake: 80% CAPEX(1): R$359.3 M
48,000 Opening: Nov-17
Key Money(1): R$26.5 M
3rd year NOI(2): R$36.0 M
sq.m. of GLA Leased GLA: 80% 3rd year NOI yield(2): 10.8%
NOI
CAGR 2007/17:
17.0%
(+381.8%)
Share price
CAGR 2007/17:
10.2%
(+165.2%)
100
Jul-07 Apr-08 Jan-09 Oct-09 Jul-10 Apr-11 Jan-12 Sep-12 Jun-13 Mar-14 Dec-14 Sep-15 Jun-16 Mar-17
809,890 813,250
714,464
640,868
492,683 52.4 M
38.6 M 39.5 M
31.7 M
26.5 M
Evolution of MULT3 since inception in Bovespa Index1 Evolution of MULT3 since inception in IBrX 50 Index2
MULT3 / IBOV: R$
140
Multiplan +25.1% MULT3 / IBrX50: R$
145 Multiplan +39.8% +981 b.p. +1,155 b.p.
80.0 M 140 IBrX50 +13.5% 80.0 M
145 IBOV +29.9% 120
130 Traded Volume (15 day average) Multiplan
Traded Volume (15 day average) Multiplan 70.0 M Ibovespa 70.0 M
130 120
115 180 100 60.0 M
60.0 M 70.0 M
170
115
100 50.0
160 M 100
80 60.0 M 50.0 M
100 150 40.0 M
85 40.0 M 50.0 M
140 80
60
85 30.0
130 M Apr-15 Aug-15 40.0Nov-15
M Feb-16 Jun-16 Sep-16 Dec-1630.0 M
70
Dec-14 Jun-15 Dec-15 Jun-16 Dec-16120 30.0 M
70 20.0 M 60 20.0 M
Dec-14 Jul-15 Feb-16 Aug-16 Mar-17 110 Apr-15 Dec-15 Aug-16 Mar-17
20.0 M
Base Date: December 31, 2014 100
2 Base Date: April 30, 2015 90 10.0 M
Source: Bloomberg 80
15
0.0 M
1Q17
Fair Value Analysis
Evolution of Fair Value (R$) Fair Value 1 and Enterprise Value2 (R$)
5.0 B
1.79x 1.75x
1.20x 1.29x 1.47x 1.20x
2.5 B 1.13x
0.0 B
2011 2012 2013 2014 2015 2016 Mar-17 2011 2012 2013 2014 2015 2016 Mar-17 (LTM)
(LTM)
Fair Value1 per share (R$) Market Cap3 vs. Enterprise Value2 (EV) vs. Growth of Fair Value1, NOI and owned GLA
Fair Value1 - March 31, 2017 (Base 100: 2011)
Fair Value - properties in operation
NOI - properties in operation
Owned GLA - properties in operation
186 186
180
+13.3%
87.80 86.58 17.2 B 164
84.99 85.30 15.2 B 152 153 153
82.45 150
78.06 13.3 B 144
135
73.21 127
146 150 150
119 144
131
125
100
2011 2012 2013 2014 2015 2016 Mar-17 Market Value Enterprise Fair Value 2011 2012 2013 2014 2015 2016 Mar-17
(LTM) Value (EV) (LTM)
1 Calculated according to CPC 28. Details are available in the March 31 2017 Financial Statements and 1Q17 Earnings Report.
2 The sum of Market Cap and Net Debt.
3 Based on stock price on March 31, 2017.
16
Source: Multiplan
1Q17
IR Contact
Armando dAlmeida Neto
CFO and IRO
Hans Melchers
Investor Relations and Planning Director
Franco Carrion
Investor Relations Manager
Leandro Vignero
Investor Relations Analyst
Daniela Mostaert
Investor Relations Analyst
ir.multiplan.com.br