2Q11
ResultsAugust 12, 2011
Maayan
Rio de Janeiro - RJ
Launched in June/2011
2Q11 Results
Introduction Elie Horn
Luis Largman and
José Florêncio
Rodrigues
Ubirajara Freitas
Antonio Guedes
Cyrela - Operating Results
Living - Operating Results
Cyrela - Financial Results
Anita Garibaldi – Libero Badaro
Porto Alegre - RS
Launched in June/11
3
Cyrela’s Highlights
Launches totaled R$ 2,806.6 million in 1H11, representing 35% of the guidance midpoint for 2011.
Pre-Sales totaled R$ 2,666.7 million in 1H11, reaching 37% of the guidance midpoint for 2011.
Living's launches totaled de R$ 1,027.8 million accounting for 37% of the total PSV launched in
the period.
Net Revenue of R$ 1,382.9 million, up 15.2% from the 1Q11.
Gross Margin of 27.7%, 0.3 p.p. expansion from the 1Q11.
Backlog Margin of 31.7%, 0.7p.p. expansion from the 1Q11.
Adjusted Gross Margin of 30.7%, 0.1 p.p. expansion from the 1Q11.
Cash burn ex-dividends of R$ 48 million (R$ 288 million on 2Q10)
Universe Empresarial
Rio de Janeiro - RJ
Launched in May/2011
Operating
Results
5
23 projects launched on the 2Q11 and 38 on the 1H11
Average Price: R$ 261.5 thd /unit, growth of 24.4% compared to 2Q10
Price/ sq.m. : R$ 4.5 thd/sq.m. , 34.7% higher than 2Q10
Cyrela and Living Launches
Launches Breakdown by Region 2Q11
794
62.8%
46.7%
1H11
2,807
590
2,217
1H10
1,724
448
1,276
2Q11
1,654
345
1,310
2Q10
1,127
333
PartnersCyrela
6%
10%
35%
37%
Mid West
6%North
6%Northeast
South
RJ
SP
(R$ million) By PSV
6
41.8 % of 2Q11 sales were from launches
5.6 thd units sold in 2Q11
Inventories on June 30, 2011: R$ 5.3 bn (100%) and R$ 4.1 bn (%CBR) 8.6 months of sales*
Cyrela and Living Pre-Sales
* Considering the sales monthly average according to 2011 guidance
Sales Sales Speed (VSO)
1,108 1,275
1,977 2,113
2.3%
8.3%
393
1H10
432
2Q11
2,606
1,668
2Q10
629
1,540
2,667
1H11
553
PartnersCyrela
53.8% 55.4%
1Q11 (12M) 2Q11 (12M)2Q11
24.3%
1Q11
16.5%
(R$ million)
7
PSV of R$ 45.8 bn (100%) and R$ 39.4 bn (%CBR)
78% of landbank acquired through swaps
245 projects with 183,000 units
Landbank
Cyrela’s Landbank – 100%
(R$ billion)
15.7
30.1
45.8
Other StatesRio de JaneiroTotal
Launched
To be Launched
After 2013
~23
2013
~6
2012
~9
2011e
~8
3
5
Landbank Aging – 100%
(R$ billion)
Strategic Landbank in Rio de Janeiro totals R$ 15
billion and has mature in medium term
Cyrela already has the lands for launches in 2011 e 2012, and
currently is focused on land purchase for launches in 2013
8
14.3 thd units delivered in 1H11 in 51 projects
Living delivered 7.7 thousand units in 19 projects
97% of delivered units have already been sold
189 construction sites at the end of June/2011, of which 91 are Living's projects.
Delivered Units
7,510
2,096
5,414
2011e
20,000 a 25,000
1H11
14,254
7,728
6,526
2010
15,400
7,053
8,347
2009
LivingMid-high end
9
54
89
173153 139
333
+195%
2Q11
601
268
1Q11
433
294
4Q10
461
308
3Q10
445
272
2Q10
204
115
1Q10
120
66
LivingMid-high end
375
643
603
491
971
+29%
2Q11
3,562
2,591
1Q11
2,792
2,301
4Q10
4,229
3,626
3Q10
3,504
2,861
2Q10
2,762
2,387
1Q10
2,176
2,013
163
In the quarter, transferred volume in PSV is 195% higher than in 2010
Number of units volume is 29% higher than 2010
R$ 1.0 billion or 6,4 thousand units transferred in the semester
Volume is equivalent to 84% of 2010 FY
Transferred Units
Transferred UnitsTransferred Volume
(R$ million)
Vita Home Club
São Paulo - SP
Launched in June/2011
Living
Operating
Results
11
13 projects launched on the 2Q11, totalling 20 launches in 2011
R$ 1.0 billion launched in 1H11, reaching 36.6% of Cyrela’s launches in 2011
4.1 thd units launched in the 2Q11 38.4% within the “MCMV” Program
Living’s Sales: 29.3% of PSV sold in 1H11
5.6 thd units sold in the 1H11 with an average price of R$ 146.4 thd/unit
Living’s Launches and Pre-Sales
Pre-SalesLaunches
534500
757
263
42.7%
71.8%
1H11
1,028
271
1H10
720
221
2Q11
681
147
2Q10
396
133
PartnersLiving
301 358
608627
-3.5%
12.5%
1H11
816
189
1H10
846
238
2Q11
489
131
2Q10
434
133
(R$ million) (R$ million)
12
Potential PSV of R$ 12.1 bn (100%) and of R$ 10.6 bn (% Living)
9 plots of land acquired in 2Q11 PSV of R$ 727.3 million
69% of landbank paid through swaps
Average price per unit R$ 109.4 thd
Living’s Landbank
Living’s Landbank – 100% Breakdown by Region
(R$ billion)
5.2
6.6
0.3
Super EconomicEconomicMiddle
12%
5%
24%
33%
North
8%
Mid
West
15%
Northeast
South
Southeast
Others
3%
RJ
SP
Maayan
Rio de Janeiro - RJ
Launched in June/2011
Financial
Highlights
14
Net Revenue
2,584
2,338
1,2061,383
1,201
2Q11 2Q10 1H111H10
10.5%
15.2% 14.7%
1Q11
Financial Results
(R$ million)
15
Gross Profit and Gross Margin
711
788
393382
329
27.4%
16.4%
32.6%
1H112Q11
27.5%
1H10
33.7%
27.7%
2Q101Q11
-2.7%
-9.7%
Gross ProfitGross Margin
Financial Results
(R$ million)
Adjusted Gross Margin
30.6% 30.7%34.0%
34.8% 30.7%
16
Adjusted EBITDA and Adjusted EBITDA Margin
375
489
248
190185
2.7%
1H11
14.5%
-23.4%
-23.3%
1H10
20.9%
2Q10
20.6%
2Q11
13.7%
1Q11
15.4%
Adjusted EBITDAAdjusted EBITDA Margin
Financial Results
(R$ million)
17
Accounts Receivable
Units under construction
Constructed units
Construction costs to be incurred – sold units
Finished units: IGP-M + 12%
Under Construction: INCC
Receivables ScheduleAccounts Receivable x
Cost to be incurred
Schedule of Cost to be incurred
3.4
2.1
2.9
3.8
After 2013
2013
2012
2011
1.6
1.810.7
Custos a Incorrer
5.9
4.2
Recebíveis
12.3
(R$ billion)
Further years 1.71.2 0.5
2012 2.51.7 0.7
2011 1.81.2 0.5
Sold Units Inventory Units
Construction costs to incurred – inventory units
(R$ billion)
(R$ billion)
18
Liquidity and Debt
198
610
48
288
-67%
-83%
1H111H102Q112Q10Net Debt
2,596
Without SFH
171
With SFH
2,425
Cash and Cash
Equivalents
1,568
Gross Debt
4,165
SFH Debt
2,425
Other Debts
1,740
With SFH = 4.05Net Debt
EBITDA LTM Without SFH = 0.27
With SFH = 0.54Net Debt
Equity Without SFH = 0.04
Cash Burn of R$ 48 million in 2Q11
and R$ 198 million in 1H11
Higher cash generation tendency
Indebtness Cash Burn (ex-dividend)
(R$ million) (R$ million)
19
Cyrela Brazil Realty S.A. Empreendimentos e ParticipaçõesAv. Presidente Juscelino Kubitschek, 1.455, 3rd floor
São Paulo - SP – Brasil
CEP 04543-011
Investor Relations
Phone: (55 11) 4502-3153
www.cyrela.com.br/ir
Statements contained in this presentation may contain information which is forward-looking and reflects management's
current view and estimates of future economic circumstances. industry conditions. company performance and the
financial results of Cyrela Brazil Realty. These are just projections and. as such. exclusively based on management's
expectations of Cyrela Brazil Realty regarding future business and continuous access to capital to finance the
Company's business plan. Such future considerations rely substantially on changes in market conditions. government
rules. competitor's pressure. segment performance and the Brazilian economy. among other factors. in addition to the
risks presented on the released documents filed by Cyrela Brazil Realty. and therefore can be modified without prior
notice.
Contact IR
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