Santander Conference

Group Latest Events

January 2021

1

CORPORATE STRUCTURE

100%

100%

33.6%

33.6%

62.4%

Farms in

Farms in

Farms in

Farms in

ARGENTINA

BOLIVIA

BRASIL

PARAGUAY

A través de

HOTELS

100%

50.1%

22.3%

79.9%

LANDBANK

29.9%

18.9%

BRASILAGRO owns

CRESUD owns 3,36% of

1,9% of Agrofy

IRSA CP

COVID-19

Agribusiness operating normally in the region as it is

an essential activity.

2

CROP BREAKDOWN

(FY 21E)

13%

10% 48%

24%

GOOD FARMING RESULTS EXPECTED FOR 2021

Soybean

RECORD PLANTED AREA

Th. Ha

248

Corn

Sugarcane

202

212

213

205

200

199

HISTORICAL

RECORD

264

262

10

Paraguay

11

14

13

Bolivia

Others

183

179

142

141

101 105

Brazil

82

49

Argentina

139

133

FY 07

FY 08

FY 09

FY 10

FY 11

FY 12

FY 13

FY 14

FY 15

FY 16

FY 17

FY 18

FY 19

FY 20

FY 21E

CROP PRODUCTION

SUGARCANE PRODUCTION

MEAT PRODUCTION

Th. tn

+2.0%

Tn/ha

Th. Tn & Th units

Argentina

+12.1%

94

99

Brazil

Brazil

812

828

74

Bolivia

2.411

Bolivia

2412

Paraguay

24

2.150

172

29

1.898

536

203

310

146

11,783

67

2321

2,485

116

2.239

557

1.831

2.004

482

10,566

11,173

9,298

376

Recent

~20% cattle 59 stock sale in

Argentina

11

4

FY18

FY19

FY20

FY18

FY19

FY20

FY18

FY19

FY20

3

FARMING: COMMODITY PRICES AND GLOBAL STOCKS

SOYBEAN & CORN PRICES (CBOT)

FOB SOYBEAN PRICE

450

400

350

US, BRAZIL & ARGENTINA

Current regional hedge position

580

Soybean: 67%

430

+33%

530

Corn: 55%

(since Jun 30, 2020)

480

300

430

250

165

+26%

380

200

330

(since Jun 30, 2020)

150

100

280

may/2019

ago/2019

may/2020

ago/2020

nov/2018

feb/2019

nov/2019

feb/2020

nov/2020

Maíz CBOT disponible en US$/tt

Soja CBOT disponible en US$/tt

FOB EEUU Golfo 362

FOB Brasil 371

FOB Argentina 343

SOYBEAN STOCK / CONSUMPTION RATIO

35%

30%

25%

23,9%

20%

15%

10%

6,4%

5%

0%

07/08

08/09

09/10

10/11

11/12

12/13

14/15

16/17

18/19

20/21

20/21

ant

Act.

EE.UU

Mundo

Prom Mundo

Prom EEUU

CORN STOCK / CONSUMPTION RATIO

35%

30%

25,8%

25%

20%

14,9%

15%

10%

5%

0%

07/08

08/09

09/10

10/11

11/12

12/13

13/14

14/15

15/16

16/17

17/18

18/19

19/20

20/21

20/21

Ant

Act

EE.EE

Mundo

Prom EEUU

Prom Mundo

4

FARMLAND SALES TRACK RECORD

U S D M I L L I O N

Jatobá Partial Sales

Alto Taquarí Partial Sales

25 YEARS AVERAGE

Date of sale

IQ20 (Sep 19)

IV20 (Jun 20)

IIQ20 (Oct 19)

IVQ20 (Jun 20)

Farms sold

2.4

Area (hectares)

Total: 1,134 ha

Total: 1,875 ha

Total: 85 ha

Total: 105 ha

Productive: 893 ha

Productive: 1,500 ha

Productive: 65 ha

Productive: 105 ha

Has sold

17 th.

Acquisition Price +

BRL 1.7 MM

BRL 3.5 MM

BRL 1.2 MM

BRL 1.3 MM

CAPEX

% Portfolio sold

3%

Nominal Sale Price

302 bags/ha

300 bags/ha

1,100 bags/ha

1,100 bags/ha

Argentina USD IRR

16%

BRL 22.7 MM

BRL 45.0 MM

BRL 5.5 MM

BRL 11.0 MM

IRR (BRL - USD)

14.7% - 7.0%

14.3% - 5.0%

21.4% - 13.0%

21.1% - 14.4%

Brazil BRL IRR

22%

134

Bolivia USD IRR

15%

72

PROFIT

62

67

(USD MM)

46

BOOK VALUE

28

34

(USD MM)

21

26

21

62

60

39

19

20

14

34

5

13

13

17

12

14

8

3

7

7

7

1

-

2

FY10

FY11

FY12

FY13

FY14

FY15

FY16

FY17

FY18

FY19

FY20

Farms sold

1

2

3

4

2

4

0

6

3

3

4

5

COVID-19 IN ARGENTINA

SHOPPING MALLS

IM PACT IN OUR BUSIN ESS

Operations closed since March 20th. The company decided to waive billing

and collection of base rent and commercial fund from April to September

30, 2020, supporting tenants and prioritizing long-term relationship. We

only charged common expenses. As of October, 100% of the portfolio is

GUARANTEED BY

operating under strict protocols.

CONTRACT

Common Expenses;

20%

Commercial fund; 8%

Parking y Otros; 9%

Key money ; 9%

Variable rent; 21%

Base rent; 33%

OFFICE BUILDINGS

Situation pre Covid-19

Normal revenues collection during

(6M FY20)

lockdown period.

ENTERTAINMENT & CONVENTION CENTERS

EXPENSES

CAPEX

Operations closed since March 20th. Convention Centers,

Fairs and Events cancelled or postponed. There is no certainty about the reactivation of the sector.

Cut of nonessential expenses and services.

Cut of social security taxes and other taxes.

Payroll cost reduction (~20% staff reduction).

Construction works in Catalinas ("200 Della Paolera") and Alto Palermo expansion suspended during lockdown. As of October, works were reestablished under certain protocols.

Working together with our tenants giving them all our support and help in this unprecedented

situation

6

SHOPPING MALLS

OP E RAT IN G FIGURES

GLA & OCCUPANCY

(GLA: sqm)

Pre COVID-19

98.7%

95.0%

94.3%

92.8%

end of

345,929 concession

332,277333,345

SAME SHOPPING MALLS SALES

Pre COVID-19

(% Var i.a.)

60,5%

46,2%

35,1%

29,6%

24,4%

24,7%

5,6%

-5,1%

-8,1%

-15,5%

-13,5%

-14,7%

COVID-19

IQ21 slight recovery

(44% of malls opened). Since October 2020, all the shopping malls are operating under strict protocols.

32,5%

-11,9%

-71,2%

IQ19

IQ20

IQ21

Nominal terms Real terms

-90,4%

-93,3%

-79,4%

IQ 19

IIQ 19

IIIQ 19

IVQ 19

IQ 20

IIQ 20

IIIQ 20

IVQ 20

IQ 21

7

SHOPPING MALLS' 20 YEARS OPERATIONAL PERFORMANCE

CRISIS

99%

CRISIS

98%

99%

CRISIS…

97%

97%

95%

Occupancy

92%

93%

43%

43%

38%

40%

36%

36%

34%

31%

31%

33%

Tenant sales ARS/sqm

24%

(annual ∆)

20%

15%

21%

15%

17%

11%

7%

7%

CPI + GDP

-5%

(annual ∆)

-18%

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

COVID-19 MALLS´ REOPENING

ACCORD IN G TO IRSA COM M E RCIAL P ROP E RT IES' P ROTOCOL

May

June

July

August

September

October

November

44%

100%

PROTOCOL

STRICT SAFETY AND HYGIENE

REDUCED HOURS AND

SOCIAL DISTANCE

COMMUNICATION, TRAINING

MEASURES

TRAFFIC

AND INCENTIVES

9

OFFICE BUILDINGS

OP E RAT IN G FIGURES

STOCK

OCCUPANCY

(GLA: sqm)

BY CLASS

A+ & A

200 Della Paolera

+22.4%

B

Pre COVID-19

COVID-19

96,6%

97,1%

93,9%

93,0%

91,6%

46,2%

47,5%

53,2%

52,4%

53,6%

113,986

IQ 20

IIQ 20

IIIQ 20

IVQ 20

IQ 21

28,000

Bouchard

710

LEASES

Pre COVID-19

COVID-19

(USD/sqm/month)

115,640

83,213

Zetta

93,144

Boston

85,986

Building

26,9

Tower

26,6

26,6

26,6

26,0

Boston

Tower

IQ19

IQ20

IQ21

IIQ21E

IQ20

IIQ 20

IIIQ20

IVQ 20

IQ21

10

July 2020

BOUCHARD 710

Entire building - 12 floors

15,0145,800

GLA sqm

USD/sqm

USD 87.2 mm

16%

IQ 2021 AND SUBSEQUENT SALES

OFFICE BUILDINGS

BOSTON TOWER

July and August 2020

November 2020

6 floors

7 floors

7,482

7,158

GLA sqm

GLA sqm

USD 41.4 mm

USD 42.0 mm

Price

Price (including retail store)

5,530

5,710

USD/sqm

USD/sqm

IRCP has no remaining floors in the building

AVERAGE CAP RATE ~6.0%

Price

USD IRR

11

ACTIVE PORTFOLIO MANAGEMENT

CAPITAL CONTROLS

CAPITAL CONTROLS

Intercontinental

200 Della

Boston

5,000

Paolera

Acquisitions

200 Della Paolera

Tower

Sales

4,500

A+ Offices prices

Maipú

USD/sqm

Rulero

Bouchard 710

Intercontinental

Boston Tower

2,450

Bouchard Plaza

Bouchard Plaza

Dique IV

Rulero

Bouchard 710

Flight to quality

Yacht V & VI

Maipú

República

710

Zetta Building

200 Della Paolera

Opened in May 2019

Currently under development

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2020

Fuente: L.J. Ramos - Colliers

12

PROJECTS

UNDER

DEVELOPMENT

200

DELLA

PAOLERA

ALTO PALERMO

EXPANSION

3,900

GLA sqm

66%

Works Progress

FY21

Est. Opening date

USD 28.5mm

Est. Investment

~USD 8.2mm

CAPEX deployment pending

200 DELLA PAOLERA

35,000

97%

61%

Total GLA

Works Progress

Commercialization Progress

28,000

IIQ 21

~USD 7.7mm

IRCP GLA

Est. Opening date

CAPEX deployment pending

~USD 90mm

Construction works suspended during

Est. Investment

COVID-19 lockdown. On October 18,

~USD 10mm

2020, construction activity has been

Est. Stabilized Revenues

reestablished with protocols.

13

Financial

Performance

14

GROUP LIQUIDITY INCREASE

CALE N DAR Y EAR 2 0 2 0 - USD M ILLION

LOCAL NOTES ISSUANCES

SALE OF REAL ESTATE ASSETS

Jan-20 USD 51.4 MM

  • ARS BADLAR + 6.5%
  • USD linked 7.45%
  • USD 5%

Jun-20 USD 83.0 MM

Nov-20 USD 35.6 MM

•

Entire "Bouchard 710" building for USD 87.2 MM

• USD linked 3.5%

• USD 9%

•

2 floors of "200 Della Paolera" for USD 16.9 MM

Aug-20 USD 25.0 MM

•

13 floors of "Boston Tower" for USD 83.4 MM

• USD linked 2.0%

615.9

15.6

USD MM

195.0

187.5

217.8

SALE OF 6% STAKE OF

BRASILAGRO

LOCAL NOTES ISSUANCES

May-20 USD 67 MM

  • ARS BADLAR + 6%
  • USD linked 12m 5.0%
  • USD linked 24m 7.5%

Jul-20 USD 38.4 MM

Nov-20 USD 112.4 MM

•

ARS BADLAR + 4%

• USD 10%

•

USD linked 4%

FINANCIAL METRICS

SE P T E MBE R 3 0 , 2 0 2 0 - USD M ILLION

132.1

Adj. Total EBITDA

150.6

Net Operating Income

97.4

Adjusted FFO

LTM4

LTM4

LTM4

NAV1

+59%

15

85

218

VALUATION RATIOS

September 2020

203

CAP RATE (NOI/EV)

28%

802

1.767

EV/EBITDA

4.1x

1.549

974

P/FFO

2.5x

661

Shopping Malls

Offices5

Land reserves

Others 2

JV & Investees 3

Gross Asset

Net Debt

Net Asset

Net Asset

P/NAV

0.2x

& Prop. Under

Value

Value

Value IQ FY

development

2020

1- Assets and liabilities adjusted by IRCP ownership

2- Includes trading properties and barters registered under intangible assets. These two items are recorded at historical cost in the financial statements

3- Includes Quality and Nuevo Puerto Santa Fe as JV and La Rural, Convention Center & TGLT as Investees.

4- LTM as of September 30, 2020 Adjusted Avg. FX: ARS 74.15

5- Includes 200 Della Paolera

16

DEBT PROFILE

SE P T E MBE R 3 0 , 2 0 2 0 - USD M ILLION

220.5 Consolidated Net Debt2

Description

Amount

Maturity

Short-term debt

72.7

<360 days

PAMSA loan

27.0

Feb 2023

2023 Series II

360.0

Mar 2023

(international)

GROSS DEBT

459.7

Cash & Equivalents1

134.7

Intercompany Credit

104.5

NET DEBT2

220.5

1.7x

Net Debt/ EBITDA 12.5%

Loan to Value3

AMORTIZATION SCHEDULE

368.1

80.8

10.8

FY 2021

FY 2022

FY 2023

  1. Cash & Cash Equivalents + Investments in Financial Currents Assets + Intercompany Notes Holdings
  2. Gross Financial Debt less cash & equivalents, short-term financial current investments & Intercompany Credit with parent IRSA
  3. Net Financial Debt over Gross Assets Value

17

IRSA - NET ASSET VALUE

SE P T E MBE R 3 0 , 2 0 2 0 - USD M ILLION

1,786 GAV

1,358 NAV

24.0% LTV

NAV

461

429

25

51

1,786

1,249

1,358

IRCP NAV

Hotels

Banco Hipotecario1

Landbank & Others 2

Gross Asset Value

Net Debt

Net Asset Value

  1. Book value as of September 30, 2020
  2. Book value as of September 30, 2020. "Others" includes properties for sale and investment in Condor Hospitality Trust

18

IRSA DEBT PROFILE

BY CALE NDAR Y EAR AS OF SE P T EMBER 3 0 , 2 0 2 0 - USD M ILLION

Description

Amount

Maturity

Short term debt

22.0

<360 days

Series I

181.5

Nov 2020

Series III

4.6

Feb 2021

Series IV

51.4

May 2021

Series V

9.2

May 2022

Series VI

4.4

Jul 2021

Series VII

33.7

Jan 2022

Intercompany Debt

104.5

Mar 2022

Other Debt

17.6

Feb 2022

GROSS DEBT

428.9

During IQ 21 IRSA cancelled Series II (USD & CLP)

CURRENT SCHEME

207.8

for USD 110 mm with local issuances

DOES NOT INCLUDE INTERCOMPANY

LOAN WITH IRCP

SERIES I USD 181.5

70.7

Exchanged accepted for

45.9

USD 178,5

2020

2021

2022

PROFORMA SCHEME

New SERIES VIII & IX issued for USD 112.5

DOES NOT INCLUDE INTERCOMPANY

LOAN WITH IRCP

94.3

85.2

56.5

23

2020

2021

2022

2023

DIVIDEND TO BE COLLECTED FROM IRCP

DIVIDEND DISTRIBUTION

• 0.002613 IRCP share per IRSA share

ARS 484 MM

~USD 95 MM

• 0.02613 IRCP share per IRSA ADR

• Record date: Nov 16, 2020

IN IRCP SHARES

• Payment date: Nov 17, 2020

~1.2% OF THE STOCK CAPITAL

19

CRESUD STAND ALONE

BY FISCAL Y EAR AS OF SE P T E MBER 3 0 , 2 0 2 0 - USD M ILLION

Description

Amount

Maturity

Banking Debt

101.4

Series XXIV

73.6

Nov 2020

Series XXVI

13.1

Jan 2021

Series XXVIII

27.5

Apr 2021

Series XXV

59.6

Jul 2021

Series XXVII

5.7

Jul 2021

Series XIX

83.0

Dec 2021

Series XXIII

113.0

Feb 2023

Series XXX

25.0

Ago 2023

GROSS DEBT

501.9

Cash & Equivalents1

71.9

NET DEBT

430.0

CURRENT SCHEME

200.9

163

SERIES XXIV

113

exchanged for

25

USD 73.6

2021

2022

2023

2024

PROFORMA SCHEME

New SERIES XXXI & XXXII

issued for USD 35.6

163,4

147,7

127,3

25,4

2021

2022

2023

2024

1 Cash & Cash Equivalents + Investments in Financial Currents Assets

20

Thanks!

21

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Disclaimer

IRSA - Inversiones y Representaciones SA published this content on 19 January 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 28 January 2021 14:53:06 UTC.