Welcome to JM s Capital Market Day

Transcription

1 Welcome to JM s Capital Market Day Dalénum, November 27, 2009

2 Agenda Good prospects moving forward Johan Skoglund, President and CEO Structured project development and environmental initiative Lennart Henriz, Head of Operations Development (Quality, Environment & IT) Strategic purchasing Sören Bergström, Head of JM Residential Sweden business unit and Director of Purchasing Stockholm operation Zdravko Markovski, Head of JM Residential Stockholm, JM Property Development and JM Production business unit Foreign operation Sten Hamberg, Head of JM Norway and JM Denmark, Finland and Belgium business unit Continued prioritization of balance sheet and cash flow Claes Magnus Åkesson, Chief Financial Officer JM Johan Skoglund, President and CEO Capital Market JS 2

3 Good prospects moving forward Johan Skoglund, President and CEO

4 Dalénum Capital Market JS 4

5 Group Income, SEK m 6,239 12,229 12,731 Operating profit, SEK m 339 1,083 2,301 Operating margin, % Return on equity, % Earnings per share, SEK Balance sheet total, SEK m 9,723 10,055 9,916 1) 1) 12-month period Capital Market JS 5

6 Project developer of residential units in the Nordic countries Established: Sweden Norway Denmark Finland % 86 % Norway Sweden Finland 2 % Denmark Belgium 1 % Capital Market JS 6

7 Global trends Decreasing world population after 2050 Europe's population is already dropping; 20% decrease by 2050 Poor East harder hit than affluent west US population increasing Experts agree on: Climate change Demography Integration Source: Stein Brothers AB Capital Market JS 7

8 Forecast, number of children per woman 2010 US 2.02 Irland 1.96 Norway 1.86 Sweden 1.85 Denmark 1.85 UK 1.85 Finland 1.85 France 1.85 Estonia 1.79 Latvia 1.48 Lithuania 1.43 Germany 1.34 Poland 1.29 China 1.79 Brazil 1.70 India 2.52 Source: Stein Brothers AB Capital Market JS 8

9 Forecast. 65+ percent of total population Japan Spain Italy Germany Poland France Finland UK Ireland Sweden Denmark Norway The Netherlands US China Source: Stein Brothers AB Capital Market JS 9

10 Strategic focus Growth markets in the Nordic countries JM shall be the leading project developer of high quality residential units in the Nordic countries Greater customer and market focus Expanded customer base for high-quality residential units in attractive locations housing type and price segment increased focus on single-family homes and senior housing Building rights portfolio optimized for residential units development properties, about four years of production Limited development of commercial projects Structured planning and strategic purchasing Capital Market JS 10

11 Improved home sales 2009 Group Number Jan-sept 2009 Q1-Q3 Q Capital Market JS 11

12 Stable housing starts 2009 Group Number Jan-sep 2009 Q1-Q3 Q Capital Market JS 12

13 Decreased business risk 2009 Percentage sold and reserved residential units in current production Group 100% 90% 80% 70% 60% 50% 40% 30% Jan 2003 Jul Jan 2004 Jul Jan 2005 Jul Jan 2006 Jul Jan 2007 Jul Jan 2008 Jul Jan 2009 Jul Capital Market JS 13

14 SEK,NOK,DKK/m Q Q3 Source: Tyréns Temaplan AB JM s Nordic markets Price development tenant-owned apartments (Sweden), Freehold apartments (Copenhagen, Oslo) second-hand market Q Q Q3 Q Stockholm Inner city Greater Stockholm Q3 Q Q3 Q Q3 Q Malmö municipality Q3 Gothenburg municipality Q Q3 Q Q3 Q Copenhagen (DKK) Oslo (NOK) Q3 Q Q3 Q Q3 EURO/m Capital city region Helsinki, EURO Capital Market JS 14

15 Number Housing starts Sweden Single-family homes Apartment blocks Source: SCB, BI Capital Market JS 15

16 Housing costs percentage of disposable income Sweden Percent Excluding energy costs Energy costs Source: SCB, KI Capital Market JS 16

17 Increased debt ratio, but low interest ratio Capital Market JS 17

18 Real house prices Sweden, UK and US Source: Riksbanken Capital Market JS 18

19 Good customer relations Housing for different phases in life Personal and convenient housing Customer requests drive development Capital Market JS 19

20 Customer Satisfaction Index (NKI) Sweden 4,6 4,4 4,2 4,24 4,25 4,24 4 3,8 3,6 3,4 3,2 3 JM Sweden Stockholm Business segment Sweden Business segment Capital Market JS 20

21 New behaviors Decisions are made faster than ever about the most important transaction in life Increased demand for total solution Interest in form and design Increased interest in environmentally friendly homes Good storage and dream bathrooms Reduction Capital Market JS 21

22 Young adults Large social power Experience-driven Personal history is status symbol Friends among the most important Café generation becomes home generation Not overgrown young people; just want a different adult lifestyle. Source: Opinonbengal Capital Market JS 22

23 Modern family with children Sweden's most attractive target group Reproduction of own childhood Weekends are sacred Include children in old life Large desire to spend on experiences Telecom pioneers. Source: Opinonbengal Capital Market JS 23

24 Seniors don t feed the pigeons Good life - health and harmony Underestimated target group Redifined identity; roll reversals occur Spend nothing left for the children Dreams for travel, experiences, housing Source: Opinonbengal Capital Market JS 24

25 Demographic developments vs. housing production Stockholm Number Increased population Completed homes Increased population covered by newly produced housing Source: SCB, Compiled by Prognoscentret Aug Capital Market JS 25

26 Population growth Stockholm County Number ) 1) Including: net population growth 6,608 Source: SCB net domestic migration, rest of Sweden 3,231 abroad 7, Capital Market JS 26

27 New construction starts vs. population increase Stockholm County No. units Population growth Number of housing starts Number of people calculated at 1.8 persons/home Source: SCB F Capital Market JS 27

28 Demographic developments vs. housing production Gothenburg Number Population growth Completed homes Increased population covered by newly produced housing Source: SCB, Compiled by Prognoscentret Aug Capital Market JS 28

29 Demographic developments vs. housing production Malmö Number Population growth Completed homes Increased population covered by newly produced housing Source: SCB, Compiled by Prognoscenter aug Capital Market JS 29

30 Demographic developments vs. housing production Oslo Number Pupulation growth Completed homes Increased population covered by newly produced housing Source: SSB, Compilted by Prognoscentret aug Capital Market JS 30

31 Demographic developments vs. housing Antal production Copenhagen Befolkningsökning Färdigställda bostäder Befolkningsökning som täcks av de nyproducerade bostäderna Med Köpenhamn avses områdena Köpenhamn och Fredriksberg definierade enligt Danmarks Statistik. Trots de nytillkomna bostäderna har det totala antalet bostäder inom området knappt ökat sedan Detta beror på att många (små) lägenheter samtidigt försvunnit genom sammanslagningar (och ev. av rivningar). Befolkningsökningen i området har varit betydligt lägre än vad det varit i de andra större städerna i Norden. Befolkningen har ökat med omkring 5.5% under de senaste 10 åren medan övriga nordiska länder har en ökning på över 10 %. Prognosen för befolkningsutvecklingen för området de kommande 8 åren är mellan 0.4 och 0.6 % enligt Danmarks Statistik. Källa: Prognoscentret aug Capital Market JS 31

32 Demographic developments vs. housing production Helsinki Antal Befolkningsökning Färdigställda bostäder Befolkningsökning som täcks av de nyproducerade bostäderna Soucre: Statistics Finland, sammanställt av Prognoscentret aug Capital Market JS 32

33 Constantly improving efficiency Industrialize our process Cost-consciousness Structured planning Strategic procurement agreements Capital Market JS 33