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Presented by: Duncan Sinclair, Chairman Marie Bray, Finance Director 15 August 2012
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LSE: MTVW Mountview Estates P.L.C. 2 Mountview Estates – FYE March 2012 in review Overview Our business model Portfolio Performing in a turbulent market Financing FY12 Financial highlights Strong market performance Year in review Strategy for 2013 onwards 2013 Outlook
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LSE: MTVW Mountview Estates P.L.C. 3 Overview A leading UK residential property trading company Effective and successful business model London and South East focused residential portfolio comprising: Regulated tenanted units Investment properties Louise Goodwin & ALG Life tenancy units Ground rent units Long established reputation provides access to new market opportunities Consistently profitable with a well covered dividend
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LSE: MTVW Mountview Estates P.L.C. 4 Our business model Property Categories Regulated tenancies / Assured tenancies Below market rental returns with high margin on sale Proactive management to ensure properties are maintained to obtain full fair rent Investment portfolio Derive rental income in the short to medium term and capital value through sales when units become vacant Refurbish to maximise value for sale by private treaty Delivers strong cash flow from disposals Life tenancies Properties bought at a greater discount to vacant possession value Nominal rental income with a higher margin on sale Maintained by life tenant so limited cost to Mountview Ground rent Long term secure income Extensive market knowledge Buy and sell well Strong focus on London & South East Well maintained portfolio
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LSE: MTVW Mountview Estates P.L.C. 5 Portfolio Property CategoriesUnits at 31 March 2012Units at 31 March 2011 Regulated tenancies2,5912,250 Investment portfolio4355 Life tenancies351364 Ground rents1,1091,096 Geographical locations% of portfolio London51.1554.9 South East28.4629.9 Rest of England / Wales20.4915.2 Acquisitions Trading companies: invested £47.6 million on new acquisitions 450 regulated tenancies, 2 life tenancies and 26 ground rents Disposals Trading companies: disposals achieved £27.8 million Investment portfolio: achieved premium prices and sold 12 properties for £8.89 million
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LSE: MTVW Mountview Estates P.L.C. 6 Performing well in a turbulent market Mountview has delivered a robust and consistent performance despite challenging market conditions £47.6 million of new investment in the year in our core portfolio of regulated and life tenancies and ground rents Strong start to 2013 with an additional £20 million of new investment in regulated tenancies in London & South East Conservatively geared at 28.9% Portfolio performing well with upside on EPS and NAV Dividend maintained with good cover
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LSE: MTVW Mountview Estates P.L.C. 7 Financing FYE 31 Mar 2012FYE 31 Mar 2011 Loans / bank overdrafts£93.1m£63.5m Interest cover6.7 x8.0 x Final maturity 2 – 3 years3 – 4 years Headroom£26.9m£53.5m
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LSE: MTVW Mountview Estates P.L.C. 8 FY12 – Financial highlights £m pence £m *Excluding investment properties revaluation Good earnings performance Dividend yield of 3.9% Strong NAV growth Conservative gearing Consistent shareholder return
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LSE: MTVW Mountview Estates P.L.C. 9 Strong market performance Source: Datastream
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LSE: MTVW Mountview Estates P.L.C. 10 Year in review Our objective for 2012 was to build the portfolio through acquisition, which we successfully achieved with £47.6 million of acquisitions and a further £20 million in Q1 2013 Maintained a low level of gearing Achieved strong shareholder returns despite extremely challenging market conditions Continued to outperform FTSE Real Estate sector
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LSE: MTVW Mountview Estates P.L.C. 11 Strategy for 2013 onwards In progressFuture potential AcquisitionsIdentify strategic selected acquisitions - Q1 £20m completed Review when opportunities fit within our considered criteria Financing optionsStrong and established banking relationships Potential for additional borrowing capacity as required RecruitmentNon-executive appointment: candidates under review Recruitment of talented personnel to provide the potential for succession in the business
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LSE: MTVW Mountview Estates P.L.C. 12 Disclaimer This presentation contains certain forward-looking statements. Any statement in this presentation that is not a statement of historical fact including, without limitation, those regarding Mountview Estates P.L.C’s future financial condition, business, operations, financial performance and other future expectations, is a forward- looking statement. By their nature, forward-looking statements involve risk and uncertainty as they relate to events which occur in the future. Actual outcomes or results may differ materially from the outcomes or results expressed or implied by these forward-looking statements. Factors which may give rise to such differences include (but are not limited to) changing economic, financial, business, regulatory, legal or other market conditions. These and other factors could adversely affect the outcome and financial effects of the events specified in this presentation. The forward-looking statements reflect knowledge and information available at the date they are made and Mountview Estates P.L.C. does not intend to update the forward-looking statements contained in this presentation. This presentation is for information purposes only and no reliance may be placed upon it. No representation of warranty, either expressed or implied, is provided in relation to the accuracy, completeness or reliability of the information contained in this presentation. Past performance of securities in Mountview Estates P.L.C. cannot be relied upon as a guide to the future performance of such securities. This presentation does not constitute an offer for sale or subscription of, or solicitation of any offer to buy or subscribe for any securities in Mountview Estates P.L.C.
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15 August 2012
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