Keppel Ltd. · SGX:BN4

Keppel — Keppel Infrastructure Trust — Investor Presentation (November 2024)

43 slides from Keppel's investor presentation, November 2024

1. Slide 1: Investor Presentation

   Investor Presentation November 2024

2. Slide 2: Important Notice

   Important Notice NOT FOR DISTRIBUTION OR PUBLICATION, DIRECTLY OR INDIRECTLY IN OR INTO THE EUROPEAN ECONOMIC AREA, CANADA, JAPAN, MALAYSIA, THAILAND OR AUSTRALIA The information contained in this presentation is for information purposes only and does not constitute or form part of, and should not b

3. Slide 3: Outline

   Outline  Overview 4  Divestment of Philippine Coastal 12  Acquisition of Ventura 14  Acquisition of 45% Stake in German Solar Portfolio 23  KMC CTA Extension and Capital Restructuring 25  3Q 2024 Operational Updates 28 Constituent of: Awards and Accreditations1: MSCI Singapore FTSE ST Large Sm

4. Slide 4: Overview

   Overview European Onshore Wind Platform

5. Slide 5: Largest SGX-listed Infrastructure Business Trust

   Largest SGX-listed Infrastructure Business Trust1 Providing exposure to the resilient and growing global infrastructure sector S$8.7b AUM Essential >10 mature economies Portfolio of scale providing global businesses and assets Focused on investment grade jurisdictions with well-developed regulatory

6. Slide 6: Leveraging on the Sustainable Infrastructure Theme

   Leveraging on the Sustainable Infrastructure Theme Secular growth trends driving investment in KIT’s key business segments Secular Growth Trends KIT’s Business Segments Energy Transition Energy Rapid Digitalisation Transition and Urbanisation Climate Change Digital Distribution Sustainable & Storage

7. Slide 7: Driving Portfolio Growth through Acquisitions and Value Creation

   Driving Portfolio Growth through Acquisitions and Value Creation Well-positioned for growth Expanded into transportation infrastructure 2023-2024 milestones Acquisition of Ventura Made 1st solar investment German Solar Portfolio Jun 2024 Jan 2024 Concession and CTA extended Dec 2023 Dec 2022 Senoko

8. Slide 8: Optimising Portfolio Through Value Creation

   Optimising Portfolio Through Value Creation Unlocking value of evergreen portfolio by asset recycling 1 Acquisition Leveraged to secular growth trends 1 1 Growth and 2 and/or aligned with sponsor Value Creation Keppel’s operational expertise Driving portfolio performance with Acquisition Value Expec

9. Slide 9: Value Creation a Key Differentiation for KIT

   Value Creation a Key Differentiation for KIT Driving growth of businesses through focused portfolio optimisation plans

10. Slide 10: Drawing on Keppel's Deep Engineering and Operating Capabilities

    Drawing on Keppel’s Deep Engineering and Operating Capabilities Operator-oriented DNA: Strong emphasis on value-adding and active management Energy Infrastructure Environmental Infrastructure Global  Developer of Singapore’s 1st independent power project, Keppel Merlimau Cogen (1.3GW)  Keppel's In

11. Slide 11: Market Outlook

    Market Outlook Infrastructure: Driving Sustainable Development Resilient sector amid market turmoil.. … powered by the Energy Transition sector .. and transit towards the circular economy  Investor appetite for infrastructure  US$4.8 trillion in global energy transition  Continued demand for wast

12. Slide 12: Divestment of Philippine Coastal

    Divestment of Philippine Coastal Philippine Coastal Storage & Pipeline Corporation

13. Slide 13: Divestment of Philippine Coastal

    Divestment of Philippine Coastal  Entered into a sale and purchase agreement for the sale of KIT’s entire equity interest of 50% in Philippine Coastal Storage & Pipeline Corporation (PSCPC) on 23 Oct 2024; expected completion by early 2025.  Divestment of Philippine Coastal for an enterprise value

14. Slide 14: Acquisition of Ventura

    Acquisition of Ventura Ventura

15. Slide 15: Ventura: The Largest Bus Operator in Victoria

    Ventura: The Largest Bus Operator in Victoria An Essential Infrastructure and Public Service that supports Melbourne’s population growth  KIT completed the acquisition of 97.7%1 interest in Ventura Motors Pty Ltd (Ventura) on 3 Jun 2024  Largest share of commuter bus services market and fast-growi

16. Slide 16: Ventura: A Century of Service

    Ventura: A Century of Service History Victoria’s largest bus operator, providing essential transport services in Melbourne 100 years ~900 bus fleet ~37% A$290m3 Operations (since 1924) including 27 ZEBs1 Market share2 FY2023 revenue >42m p.a. 12 depots ~100% A$84m3 Passengers transported Serving ~53

17. Slide 17: Largest Bus Operator in Victoria with best-in-class performance

    Largest Bus Operator in Victoria with best-in-class performance Core pillar of Melbourne’s transportation landscape  Largest share of commuter bus services market in Victoria  Fast-growing private bus charterer in Victoria, serving numerous schools and supporting tourism and general charter  Cons

18. Slide 18: Defensive cash flows with cost indexation and capital reimbursement

    Defensive cash flows with cost indexation and capital reimbursement > 80% of revenues derived from long-term inflation-protected government contracts Government Private Mass Transit Public Schools Private Charter Private Schools High frequency services Bus services contracted to Bus services contrac

19. Slide 19: Defensive Cash Flows with Cost Indexation and Capital Reimbursement

    Defensive Cash Flows with Cost Indexation and Capital Reimbursement Majority of revenues derived from long-term, inflation-protected government contracts with no farebox risk  Fixed payments; inflation-protected > 80% of revenues − No farebox and patronage risk from MBSCs1 − Stable revenue based on

20. Slide 20: Platform of Scale to Capture Growth Opportunities

    Platform of Scale to Capture Growth Opportunities Accelerate growth within existing business and adjacent verticals Capture upsides within key regions Leveraging technology for vertical and horizontal growth 1 Increase service kilometres 3 Grow new revenue streams Differentiating on technology 4 Unl

21. Slide 21: Accretive Acquisition that Strengthens Portfolio Resilience

    Accretive Acquisition that Strengthens Portfolio Resilience 1H 2024 pro forma DPU to increase by 4.1%1 Post Acquisition, Issuance of Perpetual Securities and Placement AUM increased by ~8% to S$8.8b2 post-acquisition Funds from Operations Assets under Management (AUM) 4.6% By Business and Assets Aus

22. Slide 22: Electrification Thematic Supporting KIT's ESG Targets

    Electrification Thematic Supporting KIT's ESG Targets Ventura is the first mover for energy transition in Victoria’s public transportation sector KIT’s carbon emissions intensity Carbon emissions (‘000tCO2) / Distributable Income (S$m) Owns and operates Victoria’s first fully electric bus depot 9.1%

23. Slide 23: Acquisition of 45% Stake in German Solar Portfolio

    Acquisition of 45% Stake in German Solar Portfolio German Solar Portfolio

24. Slide 24: Deepen Renewables Exposure with First Solar Portfolio Investment

    Deepen Renewables Exposure with First Solar Portfolio Investment Attractive de-risked portfolio backed by 20-year lease contracts with German households  Acquisition of 45% stake in a German solar portfolio projected to comprise >60,000 bundled solar photovoltaic (PV) systems, including battery sto

25. Slide 25: KMC CTA Extension and Capital Restructuring

    KMC CTA Extension and Capital Restructuring Keppel Merlimau Cogen Plant

26. Slide 26: Overview

    Overview Keppel Merlimau Cogen Plant (KMC)  Located on Jurong Island, and connected to Singapore’s electricity transmission network, KMC is well positioned to support the surrounding industries with their electricity, steam supply and demineralised water requirements  Under the terms of the Capaci

27. Slide 27: KMC CTA Extension and Capital Restructuring

    KMC CTA Extension and Capital Restructuring Allow KMC to resume Distributable Income contributions to KIT Extension of CTA and OMSA by 10 years Resume Distributable Income  KMC continues to receive Capacity Fees of up to S$108m p.a. contributions to KIT from 2030 to 20401  Extension of operations

28. Slide 28: 3Q 2024 Operational Updates

    ICEPPEL I< | | INFRASTRUCTURE TRUST 3Q 2024 Operational Updates

29. Slide 29: 3Q 2024 Highlights

    3Q 2024 Highlights Underpinned by contributions from new acquisitions and KMC Defensive cash flows supported by portfolio of critical assets and businesses  9M 2024 Distributable Income (DI) was $106.1m versus 9M 2023 DI of $266.1m which Operating included a special distribution of $131.2m performa

30. Slide 30: Business Updates: Energy Transition

    Business Updates: Energy Transition Supports the transition to a low-carbon economy and furthers KIT’s decarbonisation roadmap City Energy: Building new growth engines Continued performance of investments Renewables German German Solar Portfolio European Offshore Wind Portfolio Onshore Wind Platform

31. Slide 31: Business Updates: Environmental Services

    Business Updates: Environmental Services Provides the essential services that protect human health and safeguard the environment EMK: Driving business performance Stable contributions from concession assets Singapore waste and water assets Senoko Waste- Keppel Seghers to-Energy (WTE) Tuas WTE Plant

32. Slide 32: Business Updates: Distribution & Storage

    Business Updates: Distribution & Storage Supporting and driving economic growth Ventura: Platform of scale to capture growth  Secured early extension of bus service contracts to 20281 on achievement of key performance targets  Availability-based revenue that does not fluctuate with passenger volum

33. Slide 33: Business Updates: Distribution & Storage

    Business Updates: Distribution & Storage Supporting and driving economic growth Ixom: Sharpen business for growth Philippine Coastal: Capacity expansion completed  Strong performance by Australia and New Zealand Water segments, supported by Mining and Bitumen segments.  High tank utilisation rate

34. Slide 34: 9M 2024 Distributable Income (DI) (1/2)

    9M 2024 Distributable Income (DI) (1/2) Contribution from new acquisitions and resumption of KMC DI S$’000 9M 2024 9M 2023 +/(-) % Remarks Energy Transition 109,933 106,998 2.7 - City Energy 34,585 44,245 (21.8) Lower fuel cost over-recovery due to timing of fuel cost passthrough ($9.3m). Resumption

35. Slide 35: 9M 2024 Distributable Income (DI) (2/2)

    9M 2024 Distributable Income (DI) (2/2) Contribution from new acquisitions and resumption of KMC DI S$’000 9M 2024 9M 2023 +/(-) % Remarks Energy Transition 109,933 106,998 2.7 Please refer to slide 14 for the variance analysis. Environmental Services 48,209 57,661 (16.4) Please refer to slide 14 fo

36. Slide 36: Balance Sheet

    Balance Sheet Building a strong balance sheet to support growth Undrawn committed credit facilities Balance Sheet (S$’m) 30 Sep 2024 31 Dec 2023 $611m Cash 459.8 482.6 Interest Coverage Ratio Borrowings 2,945.8 2,717.0 11.9x Net debt 2,486.0 2,234.4 Weighted average interest rate 4.57% Total assets

37. Slide 37: Capital Management

    Capital Management Well-spread debt maturity profile with healthy capital management metrics  Successfully raised $200m from placement to new and existing investors.  Optimised KIT’s capital structure with issuance of $200m 4.90% perpetual securities.  Fully repaid the term loan drawn to acquire

38. Slide 38: Voluntary Independent Portfolio Valuation

    Voluntary Independent Portfolio Valuation Portfolio AUM of $8.7b with new acquisitions and value creation initiatives  Improve transparency and better reflect asset values which are largely recognised at cost in statutory reports  Higher y-o-y AUM of $8.7b driven by new acquisitions and growth in

39. Slide 39: Energy Transition

    Portfolio Overview as at 30 Sep 2024 Total Assets1 Description Customer Revenue model (S$’m) Sole producer and retailer of piped town gas; expanded Fixed margin per unit of gas sold, > 900,000 commercial and residential City Energy into LPG business, as well as with fuel and electricity costs custom

40. Slide 40: Environmental Services

    Portfolio Overview as at 30 Sep 2024 Total Assets1 Description Customer Revenue model (S$’m) NEA, Singapore government agency - Waste-to-energy plant with 2,310 Senoko WTE concession until 2027 with option for Fixed payments for availability of tonnes/day waste incineration Plant up to 1-year extens

41. Slide 41: Distribution & Storage

    Portfolio Overview as at 30 Sep 2024 Total Assets1 Description Customer Revenue model (S$’m) Manufacturer and distributor of Over 17,000 business and municipal Payments from customers for Distribution & Storage water treatment chemicals, Ixom customers, and over 35,000 retail delivery of products an

42. Slide 42: Building the Infrastructural Foundation for a Sustainable Future

    Building the Infrastructural Foundation for a Sustainable Future Supports energy transition, safeguards the environment and drives economic growth Critical role in Singapore’s water security 299,180 m3/day water processing capacity 486 1 Ventura The largest bus operator in Victoria, Australia, provi

43. Slide 43: Thank You

    Thank You www.kepinfratrust.com Connect with us on: Borkum Riffgrund 2

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