2Q15

2Q15 Conference Call

www.multiplan.com.br/ir
[email protected]

2Q15
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
qualify 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 report.
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.
Non-accounting information has not been reviewed by the external auditors.
In this release 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 www.multiplan.com.br/ir.

2Q15
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 financial statements on its website www.multiplan.com.br/ir to access the Financial
Statements in compliance with the Brazilian Accounting Standards 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 report
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 9.4 of the
Financial Statements datedJune 30, 2015.

2Q15
Shopping Centers Sales
Shopping centers total sales (R$)

+15.2%
+16.0% 3.0 B
+14.6%
+14.7%

+4.8%

Same Store Sales

Anchor Satellite

2.6 B

2.3 B

Apparel

2Q13

2.3%

2.3%

2.5%

1.8%

2.0%

2Q14

Miscellaneous

1.4%

5.1%

4.0%

Services

7.9%

8.7%

8.4%

Total

1.0%

2.0%

1.2%

+15.7%

2Q13

2Q15

1,512/m

1,307/m

18.6% 10.6% 13.7%

Home & Office

2Q12

+48/m
+157/m

Total

Food Court & Gourmet Area

2.0 B

2Q11

2Q15 x 2Q14

3.2 B

1.7 B

2Q10

Evolution of Same Area Sales

(R$/month)

Same Store Sales breakdown

2Q14

2Q15

2Q15

Same Store and Same Area Sales growth (YoY)

Same Area Sales

Same Store Sales

12.0%

10.3%

9.5%

9.4%

7.7%

7.0%
6.6%

10.0% 9.7%

7.4%

8.8%

7.7%

8.0%

9.3%

8.8%
6.7%

5.7%
9.4%

7.5%

8.3%

8.2%

8.1%

8.5%

6.8%

8.1%

5.8%

8.4%

7.6%

8.3%

9.4%
6.1%

5.7%
2.8%

7.9%
4.3%

1.2%

1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15

Using 2Q13 as the base

Source: Multiplan

2Q15
Selected Operational Data
Evolution of occupancy cost
12.9%

12.8%

13.1%

13.7%

5.3%

5.5%

6.0%

12.7%

Evolution of delinquency rate and rent loss

Delinquency Rate

Rent Loss

12.6%
4.0%

5.6%

5.5%

5.2%
1.9%

7.3%

2Q10

7.5%

2Q11

7.6%

2Q12

Rent as % of Sales

7.7%

2Q13

7.2%

2Q14

0.8%

7.4%

2Q10

2Q15

Other as % of Sales

1.7%

2.0%

1.5%

1.0%

2Q11

2.1%

0.3%

0.2%

2Q12

2Q13

Delinquency Rate

0.6%

0.3%

2Q14

2Q15

Rent Loss

3.2%

Evolution of occupancy rate and total GLA

2.1%
98.1%

98.1%

97.8%

1.7%
98.4%

699
552

0.6%

592

1Q10
2Q10

2Q11

2Q12

Total Shopping Center GLA ('000 m)

Source: Multiplan

1.9%

98.4%

1.8%

97.6%
762

533

2.2%

2Q13

768

0.4%

0.3%

0.2%

1Q11

1Q12

1Q13

2Q14

0.5%

1Q14

0.5%

1Q15

2Q15

Average Occupancy Rate

2Q15
Historical Growth
A 15-Year Snapshot
(2Q01 = Base 100)
2,377

1,696

860

86
2Q01 2Q02 2Q03 2Q04 2Q05 2Q06 2Q07 2Q08 2Q09 2Q10 2Q11 2Q12 2Q13 2Q14 2Q15
Sales

Multiplans stake
Source: Multiplan

Rental Revenue

Owned GLA

Occupancy Cost

2Q15
Gross Revenue Analysis

Gross revenue growth (R$)

298.3 M

-3.8%
-3.8%

298.3
28.5
MM
28.5 M
298.3 M
28.5 M
269.7 M

269.7 M
269.7 M
2Q14

Gross revenue breakdown: 2Q15

287.0 M

1.7 M

-3.8%
-94.2%

+5.8%
-94.2%
+5.8%

1.7 M
287.0 M
285.3 M
1.7 M M
285.3
285.3 M

+5.8%

Others
0,3%

287.0 M

2Q15

Gross Revenue (subtotal)

2Q14
2Q15
2Q14
2Q15
Real Estate for Sale Revenues

Real Estate for Sale

0,6%
Parking
15,0%
Key Money
2,0%
Services
9,0%
Straight Line Effect
3,0%

Base
87.9%
Rental Revenue
70.1%

Merchandising
7.7%

Overage
4.4%

Gross Revenue (subtotal)

Real Estate
for Sale
Revenues
Gross
Revenue
(subtotal)

Gross
Revenue
Real
Estate
for (subtotal)
Sale Revenues

Source: Multiplan

2Q15
Rental Revenue Analysis
Rental revenue growth (R$)
+18

Morumbi Corporate
rental revenue evolution (R$)

.0%
801

201.1 M
.2%
+8.0%
+21

.3 M

12M: 54.4 M

.0 M

2014: 40.2 M

679
262

186.2 M
.7
216

.7 M
14 M
205.6

2Q14

10.3%

4.9%

16.0%
5.8%

2Q15

8.8%

11.9%
4.8%

3.9%
9.6%

67.9%

13.4 M 14.5 M 15.0 M

71/m

14
4Q

4Q13

1Q14

2Q14

3Q14

4Q14

1Q15

2Q15

Portfolio

New Shopping
Centers

Consolidated
Shopping
Centers

Evolution of Same Store Rent

14.5%

2.8%
7.3%

10.1 M 11.1 M

120/m

108/m

1.33 M
201

13
4Q

14.1%

Evolution of montly rent

in 2Q15 (R$)

9.3%

7.7%

3.9%
6.3%

11.4%

11.4%

10.4%
7.7%

8.6%

1.8%

2.6%

5.7%

5.9%

4.3%
6.8%

8.0%
0.6%

3.5%

7.4%

7.6%

10.1%
8.0%
1.2%

6.8%
0.9%

6.7%

5.9%

8.8%

9.2%

9.5%

4.1%

2.7%

3.4%

4.1%

5.8%

5.9%

5.6%

5.2%

7.0%

Average Real SSR

2.4%

5 years: 3.2%

4.5%

Since IPO: 3.6%

1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 4Q14 1Q15 2Q15

IGP-DI Adjustment Effect

Shopping centers in operation for 5 years or less
Shopping centers in operation over 5 years.
Source: Multiplan

Real SSR

2Q15
Expenses Analysis
Evolution of shopping center expenses (R$)
and as a % of shopping center revenues

Evolution of G&A expenses (R$)

-11.2%

+4.0%
+4.0%

-11.2%

31.6 M

2Q14

29.5 M

3Q14

32.8 M

31.3 M
25.7 M

4Q14

1Q15

2Q15

24.8 M

26.9 M

29.3 M

11.2%

12.0%

2Q14

3Q14

23.0 M

22.0 M

10.7%

10.0%

9.3%

4Q14

1Q15

2Q15

New projects expenses (R$)

6.7 M
4.8 M
2.3 M

1.3 M

4.4 M
2.0 M

2.8 M

2.4 M

0.8 M
2.5 M

2.4 M

1.9 M

0.7 M
1.8 M

2Q14

3Q14

4Q14

1Q15

5.4 M

2Q15

New projects for lease expenses

New projects for sale expenses
Consideres mall and parking revenues
Source: Multiplan

2Q15
Evolution of Margins
2Q margins since IPO

87.0%

86.7%

88.1%

88.6%

87.7%

90.1%

83.4%

79.9%
77.7%

75.3%

76.4%

69.2%

75.7%

68.6%

67.5%

57.7%
56.0%
52.7%

56.8%
55.9%

62.8%

61.4%

55.4%

72.0%

70.3%

65.0%

76.1%

62.7%

59.3%
56.6%
51.7%

50.9%

52.8%

53.6%

2Q14

2Q15

49.0%
46.1%

2Q07

2Q08

NOI + Key Money Margin

Source: Multiplan

2Q09

2Q10

EBITDA Margin

2Q11

2Q12

2Q13

Property EBITDA Margin

FFO Margin

10

2Q15
NOI and EBITDA
Net Operating Income (NOI) + Key Money (R$)
+9.2%

213.6 M

NOI + Key Money per share (R$)

NOI + Key Money per share (1Q)
NOI + Key Money per share (1Q)
NOI + Key Money per share (LTM)
NOI + Key Money per share (LTM) 4.25
3.76
4.25
3.29
3.76
2.78
3.29
2.78

+16.9%
233.1 M

933.6 M
798.8 M
2.44
2.44

90.1%

88.6%

2Q14

2Q15

87.9%

89.9%

Jun -14 (12M) Jun -15 (12M)

0.71
0.71

0.83
0.83

0.92
0.92

1.14
1.14

1.24
1.24

2Q10 /
Jun-10/
2Q10
(12M)
Jun-10
(12M)

2Q11 /
Jun-11/
2Q11
(12M)
Jun-11
(12M)

2Q12 /
Jun-12/
2Q12
(12M)
Jun-12
(12M)

2Q13 /
Jun-13/
2Q13
(12M)
Jun-13
(12M)

2Q14 /
Jun-14/
2Q14
(12M)
Jun-14
(12M)

2Q15 /
Jun-15/
2Q15
(12M)
Jun-15
(12M)

+15.1%

72.0%

2Q14

2Q15

797.1 M

789.8 M

65.5%

+14.8%

+4.8%

686.1 M

68.6%

CAGR:
15.8%
CAGR:
15.8%

Property EBITDA (R$)

-0.6%

186.0 M

CAGR:
15.2%
CAGR:
15.2%

0.59
0.59

Consolidated EBITDA (R$)

187.1 M

4.95
4.95

70.3%

Jun -14 (12M) Jun -15 (12M)

186.6 M

195.6 M

694.3 M

75.7%

76.1%

73.4%

2Q14

2Q15

75.5%

Jun -14 (12M) Jun -15 (12M)

Shares outstanding at the end of each period, adjusted for shares held in treasury
Property EBITDA: EBITDA considers Multiplans core business, leasing activities. The metric excludes real estate for sale activity and future developments expenses.
Source: Multiplan

11

2Q15
FFO and Net Income
FFO (R$)
143.9 M
21.4 M

Net Income (R$)

138.4 M 790.9 M
+22.1%
-3.8%
648.0 M
21.4 M

122.5 M +13.0%
626.6 M

FFO per share (R$)

+3.2%

2.72

96.3 M

93.4 M
21.4 M

2.83
2.50

2.59

CAGR:
+8.2%

2.10

1.91

+33.8%

+26.2%
72.0 M

March-15 (LTM)
2Q14March-14 (LTM)
2Q15

2Q14

2Q15

0.49

0.45

0.53

0.58

2Q10

2Q11

2Q12

2Q13

FFO per share

EBITDA
Non-recurring
items
RecurringRecurring
FFO
Non-recurring
items *

0.77

0.73
CAGR:
+8.4%

2Q14

2Q15

FFO per share (LTM)

Evolution of Net Income (R$)

Evolution of FFO (R$)

CAGR: +15.8%

CAGR: +9.3%

+12.2%

+9.5%

485.7 M 472.9 M 487.2 M

361.0 M 341.2 M
358.3 M
319.5 M

533.6 M

342.2 M 373.9 M

243.5 M
171.8 M

Jun/10
(12M)

Jun/11
(12M)

Jun/12
(12M)

Jun/13
(12M)

Jun/14
(12M)

Jun/15
(12M)

Impact on taxes not considered

Shares outstanding at the end of each period, adjusted for shares held in treasury
Source: Multiplan

Jun/10
(12M)

Jun/11
(12M)

Jun/12
(12M)

Jun/13
(12M)

Jun/14
(12M)

Jun/15
(12M)

12

2Q15
Debt and Cash
Cash generation and debt position (R$)
as of June 30, 2015

Multiplan debt indices

on June 30, 2015
Other
IGP-M
2.9%
1.5%
TJLP
5.8%

2,204.7M
1,928.9M
Net Debt
= 2.44x
EBITDA (LTM)

Financial Position Analysis

TR
41.1%

789.8M
533.6M

Jun. 30, 2015 Mar. 31,

Net Debt/EBITDA (LTM)

2.44x

Gross Debt/EBITDA (LTM)

2.79x

EBITDA/Financial Expenses (LTM)

CDI
48.7%

275.8M

Financial position analysis

June 30, 2015

3.57x
11.8%

Net Debt/Equity

46.4%

Net Debt/Market Cap

21.6%

Weighted Average Maturity (Months)

Cash

Gross Net Debt EBITDA

Debt
(LTM)

Net Debt/Fair Value

49

FFO
(LTM)

Weighted average cost of funding vs. Selic rate (% p.a.)

10.52%

9.75%

9.98%

9.48%

8.95%

8.50%
7.50%

Mar-12

9.08%

Jun-12

Sep-12

7.25%
Dec-12

7.25%
Mar-13

9.20%

9.34%

8.00%

9.00%

Jun-13

Sep-13

Multiplan Cost of Funding (gross debt)

EBITDA and Financial Expenses are the sum of the last 12 months
Source: Multiplan and BCB (Banco Central do Brasil)

9.87%

10.75%

10.00%

10.41%

Dec-13

Mar-14

11.00%

11.00%

10.50%

10.54%

Jun-14

Sep-14

11.75%

10.96%

Dec-14

12.75%
11.53%

Mar-15

13.75%

12.29%

Jun-15

Selic Rate

13

2Q15
Fair Value Analysis
Evolution of Fair Value (R$)
Future projects (not disclosed)
Properties under development (disclosed)
Properties in operation

Fair
Value

Fair Value

17.5 B

Enterprise Value (EV)

Spread Enterprise Value (EV) / Fair Value

16.3 B

15.0 B

14.7 B

12.5 B

13.0 B

12.3 B

12.3 B

10.0 B

16.3 B

16.0 B

14.6 B
11.3 B

10.9 B

11.0 B

7.3 B

7.5 B

6.4 B

5.0 B

78.6%

93.0%

2.5 B
2010

2011

2012

2013

2014

Jun-15

2010

2011

19.6%

29.2%

2012

2013

Market Cap vs. Enterprise Value (EV)

vs. Fair Value on June 30, 2015

Fair Value per share (R$)

46.9%

48.1%

2014

Jun-15

Growth of Fair Value, NOI and owned

GLA (Base 100: 2010)
Fair Value - properties in operation
NOI - properties in operation
Owned GLA - properties in operation

84.99

82.45

197

86.85

48%

16.3 B
163

78.06

73.21

11.0 B

68.87

143

9.1 B
120

100

2010

2011

2012

2013

2014

Jun-15

210

Market Value

Enterprise
Value (EV)

Fair Value

Calculated according to CPC 28. Details are available in the June 30, 2015 Financial Statements and 2Q15 Earnings Report.
Based on stock price in June 30, 2015.
The sum of Market Cap and Net Debt.
Source: Multiplan

2010

111
111
2011

140

160

166

167

162

164

2014

jun/15

145

138

2012

2013

14

2Q15
New Projects Sum 255,606 m of GLA
10,228 m of expansions being developed,
in 6 malls, including a 3,515 m
Medical Center in BarraShopping

ParkShoppingCanoas
Opening

April/2017

Total GLA

48,000 m

Leasing Status

155,378 m of potential GLA

for future expansions in 10 malls

CAPEX (R$)

65%
359.3 M

3rd Year NOI (R$)

36.0 M

3rd Year NOI Yield

10.8%

Two real estate for sale projects summing a

PSV of R$267.9M
820,519 m of land area with
potential area for sale of 1,057,790 m

ParkShoppingCanoas project illustration

This information are merely informative for the better understanding of the Companys growth potential and should not be considered as a commitment to develop the aforementioned projects, which
may be changed or cancelled without prior notice.
Source: Multiplan

15

2Q15

IR Contact
Armando dAlmeida Neto
CFO and IRO

Hans Melchers
Investor Relations and Planning Director
Franco Carrion
Investor Relations Manager
Carolina Weil
Investor Relations Analyst
Ricardo Gaspar
Planning Manager
Tel.: +55 (21) 3031-5224
Fax: +55 (21) 3031-5322
E-mail: [email protected]
http://www.multiplan.com.br/ri