PowerPoint Presentation.pdf

## Embassy Office Parks REIT 2Q FY2021 Earnings Summary

Key Takeaways:

Strong Financial Performance: Embassy REIT reported a 10% year-over-year (YoY) increase in Net Operating Income (NOI) to ₹4,814 million for 2Q FY2021, and a 5% cumulative growth to ₹9,383 million for the first half (1H) of FY2021.
Solid Distributions: The REIT declared quarterly distributions of ₹4,244 million (₹5.50 per unit), maintaining a 100% payout ratio for both 2Q and 1H FY2021.
Healthy Balance Sheet: Embassy REIT maintains strong liquidity with ₹12.2 billion in cash and undrawn commitments, and low leverage of 16% Net Debt to Total Enterprise Value (TEV).
Rental Collection & Occupancy: Rental collections from office occupiers remained robust at 99.5% for 2Q FY2021, with portfolio occupancy standing at 91.7%. Same-store occupancy was slightly higher at 93.4%.
Acquisitions and Expansion: The REIT acquired Embassy Manyata in Bengaluru and continued development on existing campuses.
Business Continuity: Embassy REIT has implemented robust health and safety measures, achieving global certifications, and ensuring operations continue smoothly during the pandemic.

Key Drivers of Success:

Global Occupier Base: Multinational technology companies and global captive tenants demonstrate strong demand for their services, providing a stable revenue stream.
Focus on Growth: The REIT is actively pursuing accretive acquisitions and development opportunities to expand its portfolio.
Strong Management Team: Experienced leadership under Michael Holland continues to navigate the challenges of the pandemic while delivering solid financial results.

Challenges:

COVID-19 Impact: While occupancy remains strong, ongoing economic uncertainty due to the pandemic poses risks to future revenue and leasing activity.