Cyrela Presentation

Thera Faria Lima
São Paulo - SP
Launched in December/2011
Cyrela
Presentation
April 2012
Disclaimer
This material that follows is a presentation of general background information about Cyrela Brazil Realty as of the date
of the presentation. It is information in summary form and does not purport to be complete. It is not intended to be
relied upon as advice to potential investors. This presentation is strictly confidential and may not be disclosed to any
other person. No representation or warranty, express or implied, is made concerning, and no reliance should be placed
on, the accuracy, fairness, or completeness of the information presented herein.
This presentation contains statements that are forward-looking within the meaning of Section 27A of the Securities Act
of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements are only predictions
and are not guarantees of future performance. Investors are cautioned that any such forward-looking statements are
and will be, as the case may be, subject to many risks, uncertainties and factors relating to the operations and
business environments of Cyrela Brazil Realty and its subsidiaries that may cause the actual results of the companies
to be materially different from any future results expressed or implied in such forward-looking statements.
Although Cyrela Brazil Realty believes that the expectations and assumptions reflected in the forward-looking
statements are reasonable based on information currently available to Cyrela Brazil Realty management, Cyrela Brazil
Realty cannot guarantee future results or events. Cyrela Brazil Realty expressly disclaims a duty to update any of the
forward-looking statement.
Securities may not be offered or sold in the United States unless they are registered or exempt from registration under
the Securities Act of 1933. Any offering of securities to be made in the United States will be made by means of an
offering circular that may be obtained from the underwriters.
This presentation does not constitute an offer, or invitation, or solicitation of an offer, to subscribe for or
purchase any securities. Neither this presentation nor anything contained herein shall form the basis of any
contract or commitment whatsoever.
2
Agenda
Cyrela at a glance
Brazilian Real Estate
Cyrela Recent Activities
Operating and Financial Indicators
Cyrela’s history
’06-’10
‘00-‘05
90’s
Beginning of Cyrela and
RJZ partnership
Cyrela’s IPO (R$ 784
mm)
Merger of Brazil Realty
into Cyrela
Creation of Cyrela
Brazil Realty
Merge of Goldsztein
Participações into Cyrela
1st Follow-on (R$ 728 mm)
1st debenture (R$ 500 mm)
Spin-off of Commercial
Properties (CCP)
2nd debenture (R$ 499.5 mm)
3rd debenture (RS 350 mm)
2nd Follow-on (R$ 1,041 mm)
4th debenture (R$ 300 mm)
5th debenture (R$ 400 mm)
Brazil Realty’s IPO
Creation of Selling
80’s
60’s
Cyrela Construtora
is founded and
Seller (own sales
team) is created
Cyrela is founded in
São Paulo
4
Cyrela highlights
Leadership position in the industry and key markets
Large scale + nationwide footprint
1
2
Fully integrated real estate company
(from land acquisition to construction)
3
Exposure to all customer segments
4
Fully professionalized management team
with deep industry knowledge
Solid balance sheet and relationship with key banks
Expertise in design and innovative projects
Strong Brand:Top Imobiliário 2011 (Developer), Brazil´s 50 most
valuable brands (Brand Analytics; Millward Brown)
5
6
7
8
5
Cyrela at a Glance
Solid group with extensive experience in the industry
Committed shareholder base focused on value-creation
Cyrela Shareholder Base
50 years of history
Around 15,000 employees
34% Founders
More than 200,000 clients
Free-float
66%
Valuable brand
Solid financial position
Receivables
10.9
1.7
12.5
Finished units
Cyrela is the only
Brazilian
homebuilder
company among the
top 25 most valuable
brands (according
to Interbrand
ranking)
Corporate Debt
Indebtness
2.8
1.8
4.6
Project-level debt (SFH)
Cash
1.8
6
Recognized brands and recent awards
Recognized brands
Development and
Construction
Recent awards
Joint Ventures and
Partnerships
The “Most Admired Company in Brazil” in
“Construction and Real Estate Development
Companies” category for the ninth year consecutive;
One of the 25th most valuable brands in Brazil
The best developer in Latin America
The best developer and the 3rd homebuilder in Brazil
One of the 50h most valuable companies in Brazil
One of the 250h biggest holdings in Brazil
The biggest homebuilder in Latin America and USA
Sales
Services
Recognition by sustainability projects
7
Sustainability practices
Objectives
Examples of initiatives
Eliminate illiteracy among Cyrela
workers
Internal
Improvement of wellbeing of Cyrela
workers and their
families
Social
External
Positive impact in
local communities
Increase family income through
professional training for worker’s wives
Professional training for young
relatives of workers
Cyrela institute (vehicle for
working with NGOs and
developing programs)
First professional experience for
young adults from low income
communities
Sustainable Production
Environmental
Minimize impact in
eco-system
Environmental policy for suppliers
Benchmark in waste management
Recycling Program
8
Agenda
Cyrela at a glance
Brazilian Real Estate
Cyrela Recent Activities
Operating and Financial Indicators
9
Real Estate has experienced a cycle of continuous growth…
Total launches per year (R$ billion)
1
48.8
42.3
36.7
31.8
28.5
11.4
5.6
2005
2006
2007
2008
2009
2010
2011
IPOs
Follow-on
Debt issuance
1) Comprises only listed companies
10
… driven by macroeconomic developments and
improvements legal framework
Before 90’s
Hyperinflation
Hyperinflation
From 90’s to 00’s
Fundamental changes
Increasing purchasing power
Expansion of credit availability
and longer terms
Limitedaccess
access to
to credit
credit
Limited
Current days (2011)
Economic stability
Strong expansion of the
middle class
Low interest rates
High purchasing power
Regulatory hurdles
hurdles
Regulatory
Capitalization of companies
Economic stability
Favorable regulatory
environment
Low pace of economic
growth
Creation of the Real plan
High unemployment rate
Regulatory changes
- SFH Consolidated
- Regulation of the fiduciary alienation
High economic growth
Low unemployment rate
11
Changes in income distribution have fueled real estate
consumption
Creation of a strong middle class
Evolution of Income Distribution in Brazil (%)
(millions of individuals)
Segment A/B
Segment C
13 (8%)
66 (37%)
+7 million individuals
20 (11%)
+27 million individuals
+11 million individuals
31 (16%)
(2003-14E)
+20 million individuals
93 (49%)
113 (56%)
Segment D
+18 mm
+47 mm
(2003-14E)
47 (27%)
46 (24%)
Segment E
40 (20%)
49 (28%)
2003
30 (16%)
2008
16 (8%)
2014E
12
Segment A/B: monthly wage above R$4,808 | Segment C: from R$1,115 to R$4,408 | Segment D: from R$768 to R$1,115 | Segment E: below R$768
Source: IBGE, FGV
Lower interest rates and longer terms included a large
portion of population in the housing demand
2005
2011
R$ 120,000
+ 50%
R$ 180,000
Real Interest Rate
12% p.a.
- 6 p.p.
6% p.a.
Loan Term
10 years
+ 20y
30 years
Monthly installment
R$ 1,377
- 37%
R$ 863
Monthly income
R$ 5,000
+ 30%
R$ 6,500
Monthly average revenue in Brazil
27.5%
- 14.2 p.p.
13.3%
Minimum Wages required
15
- 66%
5
Unit Value
Assumptions: Loan-to-Value: 80%, Max Mortgage as % of Total Income: 30%; Minimum wage: R$ 300 (2005), R$ 545 (2011)
13
Looking forward, there are key drivers for real
estate demand
Persisting
housing deficit
Strong
organic demand
Current deficit estimated at 6 million households
• Resilient in last year in spite of government incentives
• Focused on low income
Young population today translate into plenty potential
homebuyers for next years
Shrinking family sizes increase demand for housing
Low penetration of mortgages
Credit availability
Decreasing interest rates
Organic demand should be around 1,2 to 1,5 million new households per year
14
There is a persisting housing deficit of around 6 million
households in Brazil
Housing deficit has proven resilient in spite of government programs and incentives
Housing deficit evolution
(in thousand of units)
5.995
5.800
Housing deficit per region
(in millions of units)
5.808
5.751
4.0
0.9
14.9
61%
Inadequacy
2.0
4.3
25.2
0.3
39%
2.2
Household sharing
Permanent homes
Housing deficit
8.9
0.4
2007
Source: IBGE
2008
2009
2010E
15
Strong organic demand driven by shift in demographics
Young population comprise potential home buyers
Family sizes are shrinking, driving demand for housing
Age distribution in Brazil (%)
Family sizes mix (%)
5.2
Older than 60 years
10.8%
4.2
3.3
Average people
per household
19%
15.9%
38%
45 - 49 years
22.3%
52%
30 - 44 years
21%
5 people
4 people
21%
25%
3 people
16%
15 - 29 years
26.9%
19%
15%
24.1%
0 - 14 years
2 people
22%
12%
5%
15%
7%
12%
1970
1991
2010
1 people
Population and household increase
Population and households growth (%)
3.3%
3.1%
3.1%
2.8%
2.5%
1.9%
Population and households increase (2010-2030)
+12%
191
1.6%
214
1981-1991
Population (CAGR)
1992-2000
2001-2010
New houses (CAGR)
Source: Exame Magazine – May 2011 and Censo IBGE 2010 and MCM Consultores
-18%
81
3.3
2030
2010
57
1.2%
1970-1980
+42%
2010
2030
Population
2010
Households
2.7
2030
Persons per
household
16
Credit availability increased significantly over last years
but the penetration is low compared to GDP
Real estate credit increased dramatically in last years…
… but there is still much room for growth
Total Real Estate financing as % of GDP
Mortagage contracts (R$ billion)
114.1
75%
+49%
68%
83.7
79.9
45%
45%
49.7 56.0
40.5
+12%
5.8 5.0 5.5 6.0 6.9
1.9 1.9 1.8 2.2 3.0
3.9 3.1 3.7 3.8 3.9
33.9
25.2
30.0
10.3 16.3
34.2
18.3
4.8
27.7
9.3
15.8
5.5 7.0 6.9 10.5
28%
17%
11%
6%
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
SBPE
FGTS
Source: Central Bank of Brazil, Abecip and Company research.
17
Agenda
Cyrela at a glance
Brazilian Real Estate
Cyrela Recent Activities
Operating and Financial Indicators
Growth History
Launches – PSV (billion)
+37%
5.4
5.5
7.6
Launched units
+47%
7.9
5.7
26.4
27.6
26.8
2009
2010
2011
20.1
16.9
2.9
5.8
1.2
2005
2.7
2006
2007
2008
2009
2010
2011
2005
2006
Pre-Sales – PSV(billlion)
+37%
6.2
4.4
5.1
2007
2008
Direct employees
6.5
1.512
+43%
5.2
1.728
946
1.9
1.0
2005
202
2006
2007
2008
2009
2010
2011
2005
327
2006
529
514
2007
2008
2009
2010
2011
19
Redesign of growth model towards a more organic strategy
20
Cyrela expects to grow in a sustainable pace going forward
2012
Sales (R$ billion)
6.9 to 8.0
Living´s stake in launches
34% to 42%
Gross Margin
30% to 34%
21
Shift in strategy has already translated into
more organic operations
Company should keep working with partners on
development
Cyrela has been focusing on using own engineering
Cyrela’s share in projects (%)
Cyrela’s share in construction site management (%)
2012e
>80%
2011
79%
2010
78%
2009
79%
2011
81%
2010
60%
2009
47%
2008
2008
34%
69%
2007
2007
28%
64%
2006
2006
66%
2005
2005
83%
0%
20%
40%
60%
80%
44%
100%
74%
0%
20%
40%
60%
80%
100%
22
Focus for 2012
 Strategy: in-house engineering
Focus on
Engineering
 Empowerment of business units
 Standardization of processes / best practices
 Close and transparent monitoring
 G&A rationalization
Cost Discipline
 Selling expenses optimization
 Securitization
Adjustment of
Capital Structure
 Buyback
 Improvement of debt profile
 Lengthening of debt maturity
 Lowering interest rates
23
Cost Control
Structure: planning on Corporate, Execution on BU
Corporate Level
Policy definition (leverage, credit
policies, etc)
Key Drivers and initiatives
G&A Expenses
Optimization after closure of JVs
Structure to desired growth
Implementation of centralized
activities (cash management,
premises, etc
Business unit
Local implementation of policies
CEO
Increased efficiency in back-office operations
(centralization of key processes)
Adjustment in the Structure of the Company:
empowerment of Business Units.
Streamline process to eliminate redundancies
between corporate center and regionals
CFO
Selling Expenses
Development
Engineering
Sales
Land
Top-down budget reduction implemented in
Aug’11
Prioritization of most efficient innitiatives
24
Cash Generation
Cash Generation drivers
Delivered Units
(Units thd)
+26%
In 2011, the volume transferred in VGV
25.0– 30.0
+105%
was 47% higher when compared to
23.8
15.4
2010
In units, the volume increased 10% in
relation to 2010
R$ 557,5 million of transfers in 4T11
with 3,5 thd units transfered
7.5
2.1
5.4
2009
High-End
10.6
Living
8.3
13.2
7.1
2010
2011
2012E
Units Transfered
+10%
12,669.0
1,782.0
13,950.0
3,406.0
High End
10,887.0
10,544.0
2010
2011
Living
25
Cash burn
Cash Generation* of R$ 130 million in 4Q11 and cash burn of R$ 7 million in 2011
Cash Burn (ex-dividend)
(R$ million)
1. Cash generation of R$ 130 mn in
4Q11 and Cash Burn of R$ 7 mn in
2011
130
-7
2. Securitization of R$ 47 mn in 2011
-492
-1.124
4T10
4T11
(1)
2010
2011
26
*
Excludes shares buyback and Acquisition
Agenda
Cyrela at a glance
Brazilian Real Estate
Cyrela Recent Activities
Operating and Financial Indicators
Cyrela and Living Operating Results
41 projects launched in the 4Q11 and 98 in 2011
8.1 thd units sold in 4Q11, totaling 21.2 thd units sold in 2011
38% of 2011 pre sales were from launches of other years
Launches - (R$ million)
7.6
1.7
5.4
5.5
Pre-Sales - (R$ million)
7.9
6.2
1.6
5.1
5.7
4.4
1.7
6.0
3.3
3.8
6.3
1.9
4.5
0.5
1.9
2006
1.2
1.6
2.9
1.0
1.3
1.4
1.7
1.2
2.1
5.2
6.5
2.8
3.5
4.1
4.8
5.2
1.4
2007
2008
2009
2010
2011
Partners
2006
2007
2008
2009
2010
2011
Cyrela
28
Sales Speed Cyrela (VSO)
Inventories on Dec 31, 2011: R$ 6.5 bn (100%) and R$ 5.2 bn (%CBR)
Sales Over Supply (VSO)
Sales Speed of Launches
4Q10
55.6%
10.5 months of sales*
44%
10% 7%
6% 71%
4%
50.8%
1Q11
2Q11
21%
25%
6% 6% 57%
42%
16%
10% 68%
26.2%
20.7%
3Q11
34%
4Q11
3Q11
4Q11
3Q11 (12M)
20%
54%
40%
4Q11 (12M)
In 3 months
In 6 months
In 9 months
In 12 months
In 15 months
* Considering the sales monthly average according to 2011 guidance
29
Landbank
PSV of R$ 48.9 bn (100%) and R$ 42.7 bn (%CBR)
78% of landbank acquired through swaps
222 projects with 166,000 units
Landbank Aging – 100%
Cyrela – Landbank (100%)
(R$ billion)
(R$ billion)
~31.9
48.9
16.9
15.9
~10.0
3.4
~7.0
12.6
Total
In December/2011
Rio de
Janeiro
São Paulo
Sul
Other
States
2012
2013
After 2013
30
Delivered Units
(1)
25,0 – 30,0
23,8
(units thd)
10,6
15,4
7,5
5,4
8,3
13,2
7,1
2,1
2009
2010
MAP
2011
2012E
Living
23.8 thd units delivered in 2011 in 88 projects
Living delivered 13.2 thousand units in 33 projects
96% of delivered units have already been sold
205 construction sites at the end of 2011, of which 97 are Living's projects
(1) Estimate
31
Way Penha
São Paulo - São Paulo State
Launched in December 2011
Living
Economic and
Supereconomic segments
Living’s Launches and Pre Sales
Pre-Sales
Launches
(R$ million)
+8%
(R$ million)
+20%
1,957
2,688
1,726
1,804
2,231
1,351
1,807
1,499
883
1,039
1,324
1,689
641
2,009
2008
1,332
1,446
2009
2010
2011
443
602
2007
1,250
920
2009
2010
2007
2011
Parceiros
2008
Living
R$ 2.6 billion launched in 2011, reaching 34.0% of Cyrela’s launches in 2011
Living’s Sales: 30.0% of total PSV sold by Cyrela in 2011
7.4 thd units launched in the 4Q11
16.7 thd units launched in 2011
33
Living’s Landbank*
Potential PSV of R$ 13.2 bn (100%) and of R$ 11.6 bn (% Living)
3 plots of land acquired in 4Q11
PSV of R$ 378 million
68% of landbank paid through swaps
Average price per unit R$ 158 thd
Living’s Landbank 100%
(R$ billion)
Breakdown by Region
Mid
West
(PSV)
7,8
8%
5,2
North
13%
37%
SP
Northeast 5%
South 8%
2%
0,2
Southeast Others
Middle
Economic
Super
Economic
27%
RJ
34
*In December 2011
Vega Luxury Design Offices
Brasília – Federal District
Launched in December 2011
Financial Results
Financial Results
EBITDA and EBITDA Margin
Net Revenue
25%
(R$ million)
(R$ million)
1%
17.3%
17.0%
6,127
14.8%
13.9%
4,890
11.0%
27%
1,560
43%
46%
120%
4Q11
4Q10
2010
2011
2010
2011
337
153
3Q11
Backlog
4Q11
4Q10
Net Income and Net Margin
(R$ million)
+34.4%
852
1,389
231
3Q11
846
1,984
(R$ million)
+31.1%
-17%
+33.8%
24%
5,920
6,170
9.4%
5,033
12.3%
120%
9.1%
8.1%
5.9%
600
2009
2010
2011
147
181
3Q11
4Q11
498
36
83
4Q10
2010
2011
Financial Results
Net Revenue
25%
(R$ million)
6,127
4,890
27%
43%
1,984
1,560
3Q11
1,389
4Q11
4Q10
2010
2011
37
Financial Results
Net Income and Net Margin
-17%
12.3%
9.4%
9.1%
8.1%
5.9%
600
24%
498
120%
147
181
3Q11
4Q11
83
4Q10
Net Margin
Net Income
2010
2011
38
Accounts Receivable
Accounts Receivable x Cost to be incurred
(R$ billion)
Managerial Receivable Schedule
12.5
(R$ billion)
1.7
12 months
5.9
24 months
5.8
10.9
2.3
36 months
2.1
1.8
After 36 months
2.2
4.1
Schedule of Cost to be incurred
Receivables
Cost to be incurred
(R$ billion)
12 months
1.9
0.8
2.8
Finished units: IGP-M + 12%
Under Construction: INCC
Constructed units
24 months
1.3
0.6
1.9
Units under construction
Construction costs to be incurred – sold units
After 24 months
0.8
0.4
1.2
Construction costs to incurred – inventory units
Sold Units
Inventory Units
(1) Receivables schedule according to economic criterion (considers integral and immediate payment at the end of construction of unit)
39
Liquidity and Debt
Indebtness
(R$ million)
4.6
4.6
1.8
Corporate
Debt
1.8
Total
Debt
Debt w/out
SFH
Net Debt /
EBITDA LTM
3.19x
-0.04x
Net Debt /
Equity
55,2%
-0,7%
Average Cost
106% CDI
109,5% CDI
Duration
2.8 years
1.9 years
Metric
3.5
Long Term
2.8
2.7
With SFH
2.8
SFH
Debt
1.1
Short Term
Gross Debt
Term
Cash
Net Debt
40
Mandara Kauai
Aquiraz – Ceará State
Launched in December 2011
Appendix
Growth History
2005
2006
2007
2008
2009
2010
2011
CAGR
*
Launches (billion)
R$ 1.2
R$ 2.9
R$ 5.4
R$ 5.5
R$ 5.7
R$ 7.6
R$ 7.9
45%
Pre-sales (billion)
R$ 1.0
R$ 1.9
R$ 4.4
R$ 5.1
R$ 5.2
R$ 6.2
R$ 6.5
44%
Landbank (mm sq.m)
3.0
4.9
8.8
11.2
12.6
13.7
12.9
35%
Total Launched Units
2.7
thd
5.8 thd
16.9 thd
20.1 thd
26.4 thd
27.6 thd
26.1 thd
59%
0
720
6.7 thd
11.1 thd
16.1 thd
15.3 thd
16.7 thd
115%
Gross Margin
48.5%
42.2%
41.2%
38.0%
34.5%
31.4%
28.3%
-
EBITDA Margin
27.1%
22.3%
22.9%
16.5%
22.3%
16.5%
13.9%
-
Net Margin
22.3%
21.7%
24.7%
9.8%
17.8%
12.3%
8.1%
-
3
8
47
55
66
67
67
86%
Employees
202
327
529
514
946
1,512
1,728
50%
Seller number of
Brokers
100
200
743
637
1,265
1,425
1,469
70%
Living’s Launched
units
Number of cities
* 2005 to 2011 except for
launched units for Living. For margins, please refer to Earnings Releases.
42
Focus on Engineering: examples of Monitoring
Instant assessment of all projects
Main indicators: Timeline, Cost,
Quality, Job Safety, Process
Compliance, Environment
Flags indicate where
action plans must be
drawn and followed
closely
43
Behavior of inflation in Real Estate Sector
INCC Components: Materials vs. Labor
Labor Component vs Wage in Construction Sector
1600
1500
15,2%
1400
1300
11,9%
10,4%
10,4%
8,2%
7,7%
7,8%
7,5%
5,4%
7,5%
4,7%
1200
10,7%
4,7%
8,2%
6,6%
5,0%
3,2%
1100
1000
900
800
700
600
2008
2009
2010
2011
2012E
2013E
-0,5%
INCC
Material
Nominal average income
Labor
Accrued by INCC Labor
Labor comprises half of real estate inflation
INCC Components (%)
Services
11%
Equipments
4%
49% Labor
37%
Materials
Source: IBGE, FGV and MCM Consultores
44
Funding Structure
From 2007 to February 2011, over 3 million mortgages were granted in Brazil via savings
deposit and the FGTS systems
Home Price
Lender
Funding Source
Loan Type
Interest Rate
Low-income
< R$ 170,000
CEF
FGTS1
Regulated
TR + 4.00% to
8.16%
Mid-income
R$ 170,000 to R$
500,000
CEF and commercial
banks
Saving Deposits /
Mortgage lending
Regulated
(SFH)
TR + 8.50% to
12.00%
High-income
> R$ 500,000
Commercial banks
Saving Deposit, Mortage Market Terms
Lending
(non-SFH)
Other Instruments
LH, LCI, CRI
Mark Terms
Free rates, above
regulated
Free rates, above
regulated
78%
1,400
68%
58%
1,200
45%
1,000
800
32%
(R$ million)
15%
15%
18%
21%
40%
24%
622
518
600
432
400
360
200
0
215
254
300
484
135
20
150
23
188
33
45
61
96
162
2005
2006
2007
2008
2009
2010
2011
Mortgage Portfolio
Source: Central Bank of Brazil
Saving SBPE
249
354
-60%
2012
2013
2014
Mortgage Portfolio / Saving Balance
45
Securitization
Besides covered bonds, Securitization is presenting itself as a funding option for the
near future
Advantages of a CRI security:
Long term application yielding above fixed income investments net of taxes for ordinary holders
Issuances of CRIs in Brazil
First Securitization Operation of Cyrela
(R$ million)
Terms and conditions of the Offer
7,592
4,809
4,561
Volume
R$ 270 million
Term
12 years with repactuation in 3
years
Rate
107% CDI
Guarantee
Fiduciary Assignment of
unfinished units
3,242
2,102
1,071
223
142
288
1,520
403
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Source: CVM, ANBIMA, 2011 until June
46
Pre-Sales to be Recognized (R$ million)
(R$ million)
2008
2009
2010
2011
Sales to be recognized at the beginning of the period
4,081
5,124
5,224
6,136
Net sales recorded in the period
3,974
4,324
5,945
6,617
(2,930)
(4,192)
(5,976)
(6,267)
(187)
(190)
(216)
(223)
4,937
5,033
6,136
6,393
(3,217)
(3,300)
(4,079.0)
(4,085)
(37)
(14)
(23)
(29)
Gross profit to be recognized
1,719
1,733
1,818
2,056
Percentage of gross profit
34.8%
34.4%
31.1%
33.8%
Revenues recognized in the period
Taxes (3.65%)
Net Sales to be recognized at the end of the period
Cost of units sold to be recognized
Selling Expenses
47
2016 Olympic Games
Strategically positioned landbank in Rio de Janeiro
Barra da Tijuca - RJ
R$ 15bn of PSV in Rio de Janeiro, of which almost
Cidade
Jardim
90% is located in Barra da Tijuca
Centro
Metropolitano
Barra da Tijuca was chosen as the location for the
new Olympic Games facilities, such as the Olympic
Training Center and the Olympic Village. Such
Gleba F
facilities and their benefiting to the region will endure
for long after the Olympic Games
Future facilities of
Olympic Games
2016
Until 2016, more than R$100 billion of investments
Península
expected for the project
►
The civil construction sector is expected to
account for approximately 10% of the
investments
►
The local government announced R$ 11.4 bn
investment in transportation infrastructure to
facilitate access to the region
Cyrela is the best positioned real estate company to profit from the 2016 Olympic Games
Source: Rio 2016 official Olympic project
48
Sustainability practices
Cyrela moves forward in defining integrated eco-efficient actions
Distinctive environmentally-friendly practices
Eco-efficiency guidelines for projects:
Sustainable Production
Environmental policy for suppliers
Selective waste collection
Benchmark in waste management
Water-saving devices
Recycling Program
Collection of used batteries
CarboboNeutro® Program
Individual water and gas meters
Power-saving devices
Oil collection for recycling
Optimization of resources
Sustainability and acessibility handbook
Acessibility
Bicycle parking lot
Waste management
Technological development
Nature-friendly construction
49
Contact IR
Cyrela Brazil Realty S.A. Empreendimentos e Participações
Av. Presidente Juscelino Kubitschek, 1455, 3rd floor
São Paulo - SP – Brasil
CEP 04543-011
Investor Relations
Phone: (55 11) 4502-3153
ri@cyrela.com.br
www.cyrela.com.br/ir
Statements contained in this press release 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.
50