1Q14

1Q14 Conference Call

www.multiplan.com.br/ir

ir@multiplan.com.br

1

1Q14
Disclaimer
This document may contain prospective statements, which are subject to risks and uncertainties as they were based on expectations of

the Company’s management and on the information available. The Company has no obligation to update said statements.
The words "anticipate“, “wish“, "expect“, “foresee“, “intend“, "plan“, "predict“, “forecast“, “aim" and similar words are intended to identify
statements.
Forward-looking statements refer to future events which may or may not occur. Our future financial situation, operating results, market
share and competitive positioning may differ substantially from those expressed or suggested by said forward-looking statements. Many
factors and values that can establish these results are outside the Company’s control or expectation. The reader/investor should not
make the 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, demand 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 previous warning.
Non-accounting information has not been reviewed by the external auditors.
In this document the company has chosen to present the consolidated data from a managerial perspective, in line with the accounting
practices in use until December 31st, 2012, as disclosed in the next page.
For more detailed information, please check our Financial Statements, Reference Form (Formulário de Referência) and other relevant
information on our investor relations website www.multiplan.com.br/ir.
Note: All financial figures presented are in Brazilian Reais (R$).

2

1Q14
Managerial Report
Multiplan is presenting its quarterly results in a managerial format to provide the reader with a more complete operational data.
Please refer to the Company´s financial statements on its website www.multiplan.com.br/ir to access its Financial Statements in
compliance with the Brazilian Accounting Pronouncements Committee – CPC.

The following pages present a brief description of the changes determined by Technical Pronouncement CPC19 (R2), and the
conciliation between the accounting and managerial numbers.
During fiscal year 2012, the Accounting Pronouncements Committee (CPC) issued the following pronouncements that impact the
company´s 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 Participações S.A., a company that owns a 75% interest in Shopping Santa Úrsula, and a 50% stake
in Parque Shopping Maceió 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 Participações S.A. and Parque Shopping Maceió S.A. For additional information, please refer to note 9.4 of the
Quarterly Financial Report dated March 31st, 2014.

3

1Q14
Shopping Center Sales
Sales growth: Multiplan¹ vs.
National retail² (1Q14/1Q13)

Portfolio sales ¹
(Last twelve months) - 1Q14

Same Store Sales - Anchor and Satellite stores
Anchor stores

Satellite stores

+35.2%
13.7%

27,756/m²

24,348/m²
17,916/m²

8.7%

8.0%

6.8%

7.2%

3Q13

4Q13

8.7%

6.3%

+11.2%

+7.4%

6.1%

National retail
sales²

Multiplan
Malls opened in
tenants' sales
4Q12³

Sales (Anchors &
Satellites)

Sales Sales stores under stores under
1,000m²
200m²

1Q13

5.4%

2Q13

5.8%

1Q14

Same Store and Same Area Sales growth (YoY)

Same Area Sales (SAS)

16.5%
13.3%

15.1%

13.8%

12.7%

12.9%
7.7%
12.1% 12.5%
7.0%
14.9%
12.6% 9.4%
11.9% 13.7%
8.4% 8.5%
9.4% 7.5%
6.6% 7.2%
11.4%

1Q10

9.9%

2Q10

3Q10
7.9% 4Q10
5.1%

9.8%

1Q11

2Q11
5.6%

SSS

16.5%
15.1%
10.0%13.3%
9.7% 9.5%13.8%
9.4%

10.3%

14.0%

Same Store Sales (SSS)

SAS

10.6%

3Q11

8.3%

8.2%

14.9%
11.9%

4Q11

1Q12

8.1%

13.7%

9.3%
8.8%
7.7% 8.0%
7.4%
5.7%
10.3%
10.0% 9.7% 9.5% 9.4%
7.7%
8.5%
8.4% 7.6% 8.3% 7.4%
7.0% 6.8% 8.1%
5.8%

12.6%

2Q12

8.5%
8.3% 3Q13
3Q126.6%
4Q129.4%1Q13
8.2% 4Q13
8.1% 1Q14
7.5%2Q13

¹ Considering 100% of shopping center sales.
² National retail sales: January and February 2014 compared to the same period in 2013. ³ Malls opened in 4Q12: ParkShoppingCampoGrande, JundiaíShopping and VillageMall.

6.8%

4

1Q14
Selected Operational Data
Historical turnover
and occupancy cost: 1Q10-1Q14
Occupancy cost
13.5%

13.7%

14.0%

Historical delinquency rate
and rent loss: 1Q10-1Q14
Delinquency rate

Turnover
14.2%

Rent loss

3.2%

13.7%

2.1%

1.7%

0.6%
1.1%

0.8%

0.9%

1.1%

1Q10

1Q11

1Q12

1Q13

1Q10

1.9%

0.4%

0.3%

0.2%

0.5%

1Q11

1Q12

1Q13

1Q14

0.7%
1Q14

1.8%

Total shopping center GLA (‘000 m²) and occupancy rate evolution: 1Q10 – 1Q14
Total GLA ('000)
850

97.2%

98.4%

97.9%

Occupancy rate
98.5%

97.5%

100.0%

800

757

750

Total GLA CAGR 1Q10-1Q14:
9.2%

700

84.0%

650
600
550

592

76.0%

551

533

92.0%

699

68.0%

500
450

60.0%
1Q10

2Q10

3Q10

4Q10

1Q11

2Q11

3Q11

4Q11

1Q12

2Q12

3Q12

4Q12

1Q13

2Q13

3Q13

4Q13

1Q14

5

1Q14
Gross Revenue Analysis
Gross revenue breakdown – 1Q14
Real estate
for sale
9.1%
Base rent
89.6%

Parking
12.5%
Key money
3.6%

Rental Revenue
59.1%

Services
11.3%

Merchandising Overage
3.6%
6.8%

Straight line effect
4.0%

Gross revenue growth breakdown (YoY)
+8.7%

245.9 M

13.5 M

+19.3%

1.8 M

+29.6%

7.4 M

-19.9%

(2.5 M)

+17.3%

5.2 M

+83.2%
11.7 M

N.A.
0.9 M

284.0 M

Other

Gross Revenue
1Q14

15.5%

Gross Revenue
1Q13

Rental revenue

Straight line
effect

Services

Key money

Parking revenue

Real estate for
sale

6

1Q14
Rental Revenue Analysis
Rental revenue growth breakdown (YoY)
+8.3%

+4.7%

+17.4%

+1.9 M

179.3 M

Straight line
effect

Rental Revenue
1Q14

+1.7 M

+0.3 M

+11.5 M

+19.3%

9.4%
164.0 M

Rental Revenue
1Q13

Base rent

Overage

Merchand.

Same Store Rent (SSR) breakdown - Nominal and real growth
IGP-DI Adjustment Effect
16.0%

14.1%
12.0%
6.6%
3.9%
3.7%
0.2%
1Q10

4.4%
4.8%
-0.3%
2Q10

6.0%

7.7%

10.3%

4.9%

5.8%

14.5%
11.9%
4.8%
3.9%

2.8%

7.3%

8.8%

9.6%

1Q11

2Q11

3Q11

Real SSR

9.3%

3.9%

11.4%

11.4%

10.4%

7.7%

8.6%

1.8%

2.6%

4.3%

8.0%
0.6%

3.5%

8.0%
1.1%

6.8%
0.9%

7.7%

6.3%

5.7%

5.9%

6.8%

7.4%

7.6%

6.8%

5.9%

1Q12

2Q12

3Q12

4Q12

1Q13

2Q13

3Q13

4Q13

1Q14

4.0%

0.6%
3Q10

4Q10

4Q11

7

1Q14
Net Operating Income (NOI)
Shopping center expenses evolution
and as % of shopping center net revenue ¹

NOI + Key money and margin
10.0%

2.6%

7.7%

38.4 M

34.4 M

182.1 M

24.9 M

26.8 M

12.4%

16.8%

2.21
12.9%

2.34
14.2%

1Q13

2Q13

3Q13
0.54

4Q13
1Q14
0.79
0.70
0.62

1Q09

3.85

25.5 M
3.18

1Q10

4.03

2.66

196.0 M

685.7 M

754.6 M

CAGR:
12.7%

88.0%

87.1%

89.4%

1Q13

1Q14

1Q13 (LTM)

85.1%

11.5%

1.05

1.02

CAGR:
14.0%

1Q14 (LTM)

NOI + Key money per share² evolution
1Q11

1Q12

1Q13

1Q14

NOI + Key money per share
NOI + Key money per share (LTM)

3.85

4.03

1.02

1.05

1Q13

1Q14

3.18
2.66

2.21

2.34

0.54

0.62

0.70

0.79

1Q09

1Q10

1Q11

1Q12

¹ Excluding real estate for sale revenue and taxes, and straight-line effect

CAGR:
12.7%

CAGR:
14.0%

² Shares
outstanding
at the endper
of each
period, adjusted by shares held in treasury
NOI
+ Key money
share

8

1Q14
EBITDA Analysis
G&A expenses and
G&A/Net revenues (%)

Services revenue / G&A ratio

23.3%

2.00 x
1.80 x
1.60 x
1.40 x
1.20 x
1.00 x
0.80 x
0.60 x
0.40 x
0.20 x
-

40.0%

50.0 M

35.0%
30.0%

40.0 M

32.1 M
30.0 M

27.8 M

28.2 M

24.5 M

19.9 M
20.0 M

10.0 M

25.0%
20.0%

13.5%
8.9%

11.2%

10.5%

9.5%

15.0%
10.0%
5.0%

-

1Q13

2Q13

3Q13

Consolidated EBITDA

4Q13

0.94 x

2007

1Q14

Shopping Center EBITDA

23.4%

1.31 x

0.84 x 0.83 x 0.78 x

2008

2009

2010

1.00 x
0.93 x 0.98 x 0.97 x

2011

2012

2013

1Q14

1Q14 Consolidated EBITDA
and Margins (%)

12.4%

196.6 M

182.7 M

196.6 M

162.5 M

182.7 M

189.0 M

90.0%

88.0%

159.3 M

86.0%

82.6%
79.9%

84.0%

82.0%

80.0%

76.4%

71.3%

76.4%

77.1%

78.0%

79.9%

76.0%

74.0%

72.0%

70.0%

1Q13

1Q14

1Q13

1Q14

Consolidated
EBITDA

Shopping Center
EBITDA

Shopping Center
EBITDA before
New Projects for
Lease Expenses

9

1Q14
Debt and Cash
Cash Generation and Debt Position ¹

Weighted Average Maturity (Months)

Multiplan Debt Indices ¹

Net Debt = 2.94x
EBITDA (LTM)

IGP-M
3.7%
TJLP
8.5%

2,158.3M
1,904.5M

55

53

Other
3.2%

50

TR
42.2%

48
648.0M
253.8M
Cash

Gross

11.08% Debt

Net Debt EBITDA
(LTM)

10.52%

45

452.7M

CDI
42.4%

FFO
(LTM)

9.98%

1Q13

9.48%

11.00%

9.08%

2Q13

3Q13

4Q13

1Q14

Weighted Average Maturity
9.20%

8.95%

9.34%

8.00%

7.50%

10.75%
10.41%

9.75%

8.50%

10.00%

9.00%

9.87%

7.25%of funding
7.25%
Weighted average cost
(% p.a.) vs. Selic Rate
4Q11

1Q12

2Q12

3Q12

4Q12

1Q13

2Q13

Multiplan Cost of Funding
11.08%

10.52%

9.98%

9.48%

11.00%

9.08%

3Q13

4Q11

1Q12

2Q12

8.95%

7.50%

7.25%

7.25%

3Q12

4Q12

1Q13

Multiplan Cost of Funding
¹ As of March 31st, 2014

1Q14

Selic Rate

9.20%

9.34%

8.00%
2Q13

10.00%

10.75%
10.41%

9.75%

8.50%

4Q13

9.00%

3Q13

9.87%

4Q13

1Q14

Selic Rate

10

1Q14
Net Income and FFO per Share
FFO and margin

Net income and margin
16.8%

26.1%
128.6 M

82.3 M
70.4 M

102.0 M

50.0%
31.5%

32.0%

1Q13

1Q14

45.6%
1Q13

1Q14

FFO per share evolution
2.57
2.22

2.42

CAGR:
27.4%

1.32
0.72

0.93

0.90
0.36
1Q09

0.51

0.58

1Q10

1Q11

FFO per share

1Q12

0.57

0.69

1Q13

1Q14

CAGR:
13.8%

FFO per share (LTM)

11

1Q14
Multiplan’s Margin Evolution
NOI Margin

EBITDA Margin

Shopping Center EBITDA Margin

89.8%
85.3%
76.3%
66.7%

86.6%

89.0%
84.7%

74.3%
68.4%
59.3%

63.0%

52.1%
57.7%

86.5%
79.9%

78.0%

60.1%

56.5%

61.0%
60.9%

57.9%

67.3%

61.4%

71.7%

70.9%
76.4%

64.0%

62.6%

53.6%
50.0%
43.6%

51.8%

2007

FFO Margin

2008

2009

2010

2011

2012

2013

1Q14

12

1Q14
Expansion VII

Construction site (April 2014)

Illustration

Construction site (April 2014)

13

1Q14
Diamond Tower and Résidence du Lac

Illustration
Construction site
(April 2014)

Construction site
(April 2014)

14

1Q14
IR Contact
Armando d’Almeida Neto
CFO and Investors Relation Director
Rodrigo Krause
Investor Relations Superintendent
Franco Carrion
Investor Relations Analyst
Ricardo Gaspar
Investor Relations Analyst
Hans Melchers
Planning Manager
Tel.: +55 (21) 3031-5224
Fax: +55 (21) 3031-5322
E-mail: ri@multiplan.com.br
http://www.multiplan.com.br/ri

15