Manila Water Co. Inc. · PSE:MWC
Manila Water — Q1 2017 Earnings Presentation
27 slides from Manila Water's earnings presentation, May 8, 2017
Slide 1: 1Q 2017 Analysts' Briefing
mrt a) MANILA WATER CARE IN EVERY DROP 1Q 2017 ANALYSTS’ BRIEFING May 8, 2017 The Blue Room, 25F Tower One & Exchange Plaza
Slide 2: Key Messages
KEY MESSAGES aN base in the first quarter of 2016 a Bio Net income from continuing operations of non-Manila » . Concession businesses reaches P280 million, accounting for _ . 19% of consolidated net income 7 ¢ Aggressive business-building continues;with new wins by Manila Water Philippine Ventures i
Slide 3: Consolidated
~~ CONSOLIDATED — ~~ be (in Million Php) 1Q 2017 1Q 2016 % Change|nes Revenues 4.356 4,210 3% ‘ . ICOS and Operating Expenses 1492 1,379 8% EBITDA = Other Income (Expenses) - net 91 99 (9% growth of 1% ——|_smae eae / Others 4 Tl (66% with an EBITDA~~fairo, 2,954 2.931 19% ma rgin of 68%: EBITDA marg
Slide 4: Group Operating Results
‘ _ GROUP OPERATING RESULTS - 1Q 2017 ~“e 1Q 2016 % Change ae Total Billed Volume 177.2 172.0 3% Billed volume Manila Concession 115.9 11511 1% growth of 3% Boracay Water 13 1.2 6% with continued Clark Water 3.5 3.3 6% | expansion Cebu Water 32 23.190 across almost : : cae : L W. 11 J 22% all subsid
Slide 5: Consolidated Costs and Expenses
“CONSOLIDATED ——— ‘ COSTS AND EXPENSES _ i — ) ee. ae 7 (in Million Php) 1Q 2017 1Q 2016 % Change Costs and - COS and Operating ° Expenses Operating ——— ——| Direct 693 614 139%. Expenses up by 8% due to - ~—---| Personnel 482 417 16% higher direct Premises 7 677% and personnel Overhead 136 184 (26%
Slide 6: Consolidated Liquidity and Gearing Ratios
Total ‘Resets -— 1Q 2017 vs. FY 2016 “CONSOLIDATED LIQUIDITY AN Q GC EARI NG RAHOS, Total Tenis: & Equity 7 1Q > b FY 2016 : = AEE — i ee t T 4 ; = \ “a 1Q 2017 FY 2016 1 1Q 2017 “J >a > 0.8ox | Mee) 0.77x le * Strong Ratios 102017. +=FY2016 Ba lance Current Ratio 0.91x Sheet th at i S Bank Debt to
Slide 7: Concession
MANILA CONCESSION
Slide 8: Concession Highlights
MANILA CONCESSION cy, = a HIGHLIGHTS a ~~ Sar —e — by Area Type os Sob ~~ Volume by | Customer _ Sr = - 1Q 2016 e Z 88 1Q 2016 Billed volume > e = increased by | | ra | | 1% d es p i te Domestic/Semi-Commercial | Commercial/industrial Platform Expansion ° f 1Q 2017 1Q 2016 % ChangeF com Ng rom Bille
Slide 9: Monthly temperature chart
35.27 35.1 33.97 33.12 33.32 32.52 32.48 32.13 32.03 31.6 31.39 31 31.29 30.32 30 Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec 2016 2017 Source: accuweather.com 9 9
Slide 10: Concession Highlights
MANILA CONCESSION £2 Sea HIGHLIGHTS (in Million Php) 1Q 2017 1Q 2016 %Change Net income Revenues 3564 3,588 (1% down by 3% to COS and Operating a. Expenses 957 951 1% Phpl.31 billion [*° but capex EBITDA 2,611 2,653 (2% continues to Net Income 1,314 1,354 (3% - lal * grow CAPEX 1,611 1,322 22%
Slide 11: Concession
MANILA CONCESSION Marikina North Sewage Ilugin Sewage Treatment Plant Treatment Plant —
Slide 12: Manila Concession
. MANILA CONCESSION " 3 Pa ge DEVELOEMa ee 2 Nae = = = _— ~ if : ~ Rizal Province Water Supply Improvement Project (RPWSIP)
Slide 13: Water Philippine Ventures
MANILA WATER PHILIPPINE VENTURES
Slide 14: Water Philippine Ventures
MANILA WATER PHILIPPINE VENTURES CONSOLIDATED (in Million Php) 1Q2017 1Q2016 % Change Revenues 710 492 44% e COS and Operating Net Income Expenses 360-238 51% (attributable = esimpa 350 254 3894 to MWPV) up set Income 175 «134 3194 ° by 36% to Nerncome 145 107 36% attributable to MWPV Php145 JBilled
Slide 15: Water Philippine Ventures Operating Highlights
MANILA WATER PHILIPPINE VENTURES OPERATING HIGHLIGHTS 1Q 2017 1Q2016 % Change Boracay Water Billed Volume (mcm) 13 1.2 6% Billed Connections 6,551 6,396 2% NRW. 18% 18% O ppt. Capex (in Million Ph 22 68 (68%) e e Higher Billed Billed Volume (mcm) 3.5 3.2 6% Billed Connections 1,996 1,974 1% Volume G
Slide 16: Water Philippine Ventures Financial Highlights
MANILA WATER PHILIPPINE VENTURES FINANCIAL HIGHLIGHTS (in Million Php) 1Q 2017 1Q 2016 % Change Boracay Water Revenues 134 126 6% COS and Operating Expenses 64 56 12% EBITDA zo = 2% Revenues up Net Income (26% Revenues 108 100 7% across a ll COS and Operating Expenses 60 46 29% e EBITDA < = (12% ope
Slide 17: Water Philippine Ventures Current Developments
MANILA WATER PHILIPPINE VENTURES CURRENT DEVELOPMENTS Ber. < ee foe Zamboanga Water's NRW project i y, successfully recovered a volume of Construction of Tagum Water 0.45 mcm of NRW { Treatment Plant
Slide 18: Water Philippine Ventures Current Developments
MANILA WATER PHILIPPINE VENTURES CURRENT DEVELOPMENTS distribution in the municipality — SUPPlying bulk water to Malay B Water started a Laguna Water to start water Oracay Vvater Starte . PP 9 Y. Water District on April 10, 2017 5 of Calauan by December 2017
Slide 19: Manila Water Total Solutions
Slide 20: Water Total Solutions Financial Highlights
MANILA WATER TOTAL SOLUTIONS’ FINANCIAL F HLIGHT ) (in Million Php) 1Q 2017. 1Q2016 % Change. Net income Revenues 236 84% ro) ICOS and Operating , up by 300% to fF oonces 207 /M? 77% Phpl16 million — {esitpa 29 Tl 16496) Net Income
Slide 21: tr if I
tr if I . ! ¢ a , “ 2 Ba Sm
Slide 22: Manila Water Asia Pacific
Slide 23: Manila Water Asia Pacific
Net income up by 14% to . Phpél million MANILA WATER ASIA PACIFIC a Brosienry 92072206 cane Equity Share in Net ,|Income of Associates 87 88 (2%) \Operating Expenses 26 35 (2696) 9% Net Income 61 53 14%p Billed Volume ee (in mcm)
Slide 24: Water Asia Pacific Financial and Operating Highlights
MANILA WATER ASIA PACIFIC FINANCIAL AND OPERATING HIGHLIGHTS (in Million VND) 1Q 2017. 1Q 2016 % Change) Thu Duc _| Revenues 79,199 76,513 4% Operating Expenses 25,143 24,624 2% =: ~ | EBITDA 54,056 51,889 4% _Net Income 26,274 23,512 12% a PFRS (In Million Php) - e 59 54 9% Growth in net =p Net Inc
Slide 25: Water Asia Pacific New Projects
MANILA WATER ASIA PACIFIC NEW PROJECTS | Qpe Ee NHIEP 7 Shes 32 Tan Hiep Water-is a bulk water supplier to SAWACO in Hoc Mon, full water distribution operation Ho Chi Minh City & servicing the Central highlands of Gia Lai Province SIl Ownership: 51% SIl Ownership: 43%
Slide 26: Key Messages
KEY MESSAGES aN base in the first quarter of 2016 a Bio Net income from continuing operations of non-Manila » . Concession businesses reaches P280 million, accounting for _ . 19% of consolidated net income 7 ¢ Aggressive business-building continues;with new wins by Manila Water Philippine Ventures i
Slide 27: Years of Shared Value Enabling Our Vision
a ‘<8 HOW 20 YEARS OF SHARED VALUE IS E N A BL I N G OUR 2020 VISION =), MANILA WATER CARE IN EVERY DROP