Slide 1: 2H & FY22 Financial Results
2H & FY22 Financial Results 2 February 2023
Slide 2: Content
Content Address by CEO Financial highlights Appendices
Slide 3: Address by CEO
| Address by CEO CG] Corporation
Slide 4: Accelerating Vision 2030
Accelerating Vision 2030 Driving Simplifying Executing transformation and focusing asset-light our business strategy 4
Slide 5: Driving business transformation
Driving business transformation In final stages of executing proposed O&M transactions • Proposed combination received Strong order wins by De-risking legacy rig strong support from Keppel’s Keppel O&M assets shareholders; pending approval of Sembcorp Marine’s shareholders S$8.1b • Market conditions
Slide 6: Completion of proposed O&M transactions
Completion of proposed O&M transactions Following the partial writeback of • Had the proposed O&M transactions been completed at end-2022, impairments, total value of Keppel KCL would have booked pro forma disposal gain of S$1.94ii per O&M’s business has increased KCL share on Sembcorp Marine (SCM)
Slide 7: Driving business transformation: a global asset manager & operator
Driving business transformation Post the O&M transactions, Keppel will work towards becoming A GLOBAL ASSET MANAGER & OPERATOR with strong development and operating capabilities in: Energy & Urban 1 2 3 Connectivity Environment Development 7
Slide 8: Robust performance in FY22
Robust performance in FY22 Bolstered by stronger results in Asset Management and Energy & Environment Net Free cash Strong financial profit S$927m outflow S$408m position 9% lower than S$1.02b for FY21 Compared to inflow of S$1.76b in FY21 • Borrowings on fixed rates: 67% • Average interest cost: 3.
Slide 9: Growing recurring income
Growing recurring income Pivoting from an orderbook business and lumpy property development profits to focus on growing recurring income Recurring income growth Breakdown of recurring income in FY22 67% of FY22 net profiti from recurring income Others Connectivity S$14m S$560m S$55m REITs & Asset Tr
Slide 10: Strong progress in asset-light strategy
Strong progress Asset monetisation Joint investments in asset-light >S$4.6bi S$2.8b strategy Announced since Oct 2020 Investments across energy & environment and sustainable including S$1.6b in FY22; on track to exceed S$5b target urban renewal undertaken by by end-2023 Keppel with private funds and
Slide 11: Asset management - key focus of Keppel's business
Asset management - key focus of Keppel’s business Asset management’s net profit grew to S$311m in FY22 • Completed more than Asset management feesi AUM S$7.7b in acquisitions and S$267m divestments S$233m • New Keppel Core S$180m Current: Target: Infrastructure Fund and Keppel Sustainable Urban S$50
Slide 12: Scaling up in renewables, clean energy & decarbonisation solutions
Scaling up in • Commenced Singapore’s first renewable energy import On track with 7.0GW renewables target by 2030 renewables, • Developing Singapore’s first Keppel’s renewable energy clean energy & hydrogen-ready power plant assetsii more than doubled decarbonisation • Gearing up for the low-carbon
Slide 13: Asset-light urban space solutions provider
Asset-light urban space solutions provider Pivoting towards Real estate-as-a-Service solutions to enhance relevance in a world characterised by flexible work arrangements, climate action and digitalisation • Asset monetisation remains Sustainable urban Senior living healthy renewal (SUR) • Creditabl
Slide 14: Expanding connectivity solutions
Expanding connectivity solutions M1’s earnings contribution grew 32% to S$75m in FY22 M1’s enterprise revenue • Transformation from a traditional telco to a cloud native connectivity grows steadily platform bearing fruit • Expanding enterprise solutions and 5G business applications to S$1,182m captu
Slide 15: Conclusion
Conclusion Keppel will work towards being a leading global asset manager and operator, focused on harnessing the Group’s different capabilities to create solutions for a sustainable future. Included in Dow Jones Sustainability World and Asia- Pacific Indices and maintained triple A rating in MSCI ES
Slide 16: Financial Highlights
| Financial Highlights CG] Corporation
Slide 17: Group Performance
Group Performance • Net profit was S$927m for FY22 Net Profit by Segment • Excluding Discontinued Operationsi, net profit was S$839m as compared to S$1,248m in FY21 1,500 • All segments were profitable 1,300 309 • ROE was 8.1% in FY22, as compared to 9.1% in FY21 1,100 1,023 927 301 88 900 • Net gea
Slide 18: Multiple Income Streams
Multiple Income Streams Net Profit by Income Type 1,023 As part of Vision 2030, the 61 Group will focus on improving 600 315 1,400 927 earnings quality with more 550 88 recurring income. 500 317 58 900 S$m 282 450 152 591 400 400 560 350 262 0 300 (45) (100) (298) (168) 250 (225) 200 (600) FY21 FY22
Slide 19: Energy & Environment
Energy & Environment • Net profit was S$260m, compared to net loss of S$414m in FY21 Energy & Environment Net Profit • Continuing Operations net profit was S$172m, compared to net loss of S$189miii in FY21 260 88 • Keppel Infrastructure’s earnings more than doubled yoy to S$241m S$m 241 • Driven by
Slide 20: Urban Development
Urban Development • Net profit was lower yoy at S$282m for FY22 Urban Development Net Profit • Lower contributions from China trading projects, and lower fair value gains on investment propertiesi 763 32 • Lower enbloc sales gains in FY22 14 • SSTEC’s profit contribution was lower yoy, mainly due to
Slide 21: Connectivity
Connectivity Connectivity Net Profit • Net profit was lower yoy at S$37m for FY22, mainly due to absence of gains from disposal of interests in Keppel Logistics (Foshan) & 64 Wuhu Sanshan Port Company Limited in FY21 37 26 • M1 achieved higher net profit S$m 75 • Higher mobile and enterprise revenue
Slide 22: Asset Management
Asset Management • Net profit rose S$10m to S$311m in FY22 Asset Management Net Profit • Higher fee income arising from successful acquisitions by the REITs & Trust 301 311 11 23 • Higher fair value gains on investment properties under Keppel REIT, partly offset by lower fair value gains on data cen
Slide 23: Corporate & Others
Corporate & Others Corporate & Others Net Profit • Net profit was lower yoy at S$37m 309 • Lower fair value gains from investments in new technology & 61 startups such as Envision AESC Global Investment and Fifth Wall • Absence of distribution income from iGlobe Partners Platinum Fund I in FY21 S$m
Slide 24: Questions & Answers
Questions & Answers [ESL Corporation 24
Slide 25: Appendices
Appendices • Operational updates • Additional financial information • Keppel Land’s property portfolio 25
Slide 26: Asset monetisation announced by the Group
Vision 2030 Asset monetisation announced by the Group No Asset Country Value Unlocked (S$m) >S$4.6b of asset monetisation 1 5 Benoi Road Shipyard Singapore 10.0 announced since Oct 2020; on track 2 Asia Airfreight Terminal China 35.8 42% indirect stake in HCMC project to exceed S$5b target by end-20
Slide 27: Realisable value from proposed O&M transactions
Vision 2030 Realisable value from proposed O&M transactions (Updated as at end-2022) Value (S$’m) Value per Share (S$)viii AssetCoiv (Includes S$293m in partial writeback from legacy 4,358 2.49 rigs impairments made in 2020) Shares in Sembcorp Marine after Proposed Transactionv 4,496 2.57 S$500m Cas
Slide 28: Keppel Infrastructure
Energy & Environment Keppel Infrastructure Power & Renewables Environment New Energy • Partnering Swiss-based MET • Acquired stakes in 800 Super in • Partnering Indian renewables Group to pursue Western Singapore and Eco Management major, GreenKo, to jointly explore European renewables Korea in Sout
Slide 29: Keppel O&M
Energy & Environment Keppel O&M Net Orderbooki S$8.1b of order wins in FY22 Project deliveries in FY22 • 2 FPSOs, an FPSO module • A jackup, an FSRU conversion 11.0 0.1 fabrication & integration, 2 FPSO repair, an LNG containership, topside integrations, an LNG carrier repair, 2 TSHDsii, refurbishme
Slide 30: Keppel O&M's Orderbook
Energy & Environment Keppel O&M’s Orderbook Contract Value S$m Gross Net Client For delivery in 2023 Petrobras/Modec/Pasha Hawaii/ 4 FPSO Modules Fabrication & Integration*/1 LNG Containership Boskalis/Borr Drilling/Golar/Van Oord/ /Gas Scrubber and BWTs Retrofit*/Jumboisation of 1 TSHDii Manson Con
Slide 31: Keppel Land
Urban Development Keppel Land • Keppel Land’s home sales were 2,190 units in FY22 Home salesi • Sale of 4,630 overseas units worth S$1.2b to be recognised from Sales value: 2023 - 2024 S$4.0b • Entering China’s senior living market with first assisted-living Sales value: S$1.3b community in Nanjing
Slide 32: Keppel Land's Landbank
Urban Development Keppel Land’s Landbank Residential Portfolio Commercial Portfolio Quality landbank across key cities in Asia ~48% of commercial GFA under development Vietnam Vietnam China 21% 24% China 32% 44% Singapore 1% ~40,000 ~1.7 million sm homes Singapore of GFA 5% Indonesia 18% Other SEA c
Slide 33: Keppel T&T
Connectivity Keppel T&T • Completed acquisition of 3 data Data centre portfolio centre projects in Greater Beijing Owned by Keppel T&T and and Guangdong, China Owned by Keppel DC REIT private funds • Genting Lane data centre Geographical Asia Pacific, Europe Asia Pacific, Europe achieved Singapore’s
Slide 34: M1
Connectivity M1 • M1’s revenue grew 7.9% yoy to Revenue Customers S$1.2b in FY22 • Roaming revenue grew with progressive reopening of 1,182 2,465 1,096 economies 2,157 238 387 334 • ARPUi grew across postpaid and 291 235 221 fibre broadband segments • 2nd largest postpaid customer S$m ‘000 base in S
Slide 35: Keppel Capital
Asset Management Keppel Capital The Keppel Group’s investments in Keppel Capital-managed listed REITs/Trust and private funds Value of listed REITs/ Asset classi Value of private fundsii (S$m) Trustii (S$m) Real estate 1,670 424 Data centres 612 169 Infrastructure 491 102 Alternative assetsiii - 174
Slide 36: Appendices
Appendices • Operational updates • Additional financial information • Keppel Land’s property portfolio 36
Slide 37: Financial Highlights
Financial Highlights S$m 2H22 2H21 % Change FY22 FY21 % Change Revenue 3,264 3,723 (12) 6,620 6,611 - EBITDA 315 1,074 (71) 772 1,420 (46) Operating Profit 210 922 (77) 565 1,129 (50) Profit Before Tax 544 1,046 (48) 1,095 1,611 (32) Profit from Continuing 405 904 (55) 839 1,248 (33) Operations Prof
Slide 38: Revenue by Segment
Revenue by Segment (Continuing Operations) S$m 2H22 2H21 % Change FY22 FY21 % Change Energy & Environment 2,120 2,245 (6) 4,230 3,560 19 Urban Development 372 720 (48) 904 1,629 (45) Connectivity 675 674 - 1,291 1,260 2 Asset Management 97 84 15 195 162 20 Corporate & Others - - - - - - Total 3,264
Slide 39: Pre-tax Profit by Segment
Pre-tax Profit by Segment (Continuing Operations) S$m 2H22 2H21 % Change FY22 FY21 % Change Energy & Environment 156 (65) n.m.f. 215 (193) n.m.f. Urban Development 189 621 (70) 418 1,072 (61) Connectivity 46 48 (4) 70 86 (19) Asset Management 169 192 (12) 340 327 4 Corporate & Others (16) 250 n.m.f.
Slide 40: Net Profit by Segment
Net Profit by Segment S$m 2H22 2H21 % Change FY22 FY21 % Change Energy & Environment 127 (54) n.m.f. 172 (189) n.m.f. Urban Development 114 484 (76) 282 763 (63) Connectivity 27 37 (27) 37 64 (42) Asset Management 156 184 (15) 311 301 3 Corporate & Others (19) 253 n.m.f. 37 309 (88) Continuing Opera
Slide 41: Net Profit by Business Unit
Net Profit by Business Unit S$m 2H22 2H21 % Change FY22 FY21 % Change Keppel Offshore & Marine (42) (213) (80) (21) (106) (80) Keppel Infrastructure 153 60 155 276 137 101 Keppel Landi 160 510 (69) 380 773 (51) Share of SSTEC’s results - 2 (100) (3) 14 n.m.f. Keppel Telecommunications & 27 95 (72) 4
Slide 42: Net Profit by Business Unit
Net Profit by Business Unit KCL, SSTEC, Keppel Offshore Keppel Keppel Keppel S$m Keppel Land M1 Others & & Marine Infrastructure T&T Capital Elimination Net Profit by BU (21) 276 380 43 75 85 89 • Share of - - (3) - - - 3 SSTEC’s results • REITs & Trust - (35) (134) (40) - 211 (2) • Private Funds -
Slide 43: Recurring Income
Recurring Income S$m FY22 FY21i % Change REITs & Trust 152 142 7% Infrastructure services 309 99 212% Asset management 84 81 4% Connectivity 55 35 57% Others 14 8 75% Totalii 560 262 114% i The recurring income in FY21 has been restated as Keppel O&M's income is classified as discontinued operations
Slide 44: Capital/Gearing/ROE
Capital/Gearing/ROE S$m 31 Dec 2022 31 Dec 2021 Shareholders’ Funds 11,178 11,655 Total Equity 11,913 12,441 Net Debti 9,238 8,400 Net Gearing Ratioi 0.78x 0.68x ROE 8.1% 9.1% i Net debt and net gearing ratio included lease liabilities 44
Slide 45: Free Cash Flow
Free Cash Flow S$m FY22 FY21 Operating profit 727 898 Depreciation & other non-cash items (406) (570) Provisions made for stocks, contract assets and doubtful debts 87 246 Working capital changes 339 (509) Interest & tax paid (566) (417) Net cash from/(used in) operating activities 181 (352) Investm
Slide 46: Financial Information by Segment
Financial Information by Segment 46
Slide 47: Energy & Environment
Energy & Environment S$m 2H22 2H21 % Change FY22 FY21 % Change Revenue 2,120 2,245 (6) 4,230 3,560 19 EBITDA 48 (2) n.m.f. 119 (261) n.m.f. Operating Profit/(Loss) 31 (16) n.m.f. 86 (291) n.m.f. Profit/(Loss) Before Tax 156 (65) n.m.f. 215 (193) n.m.f. Net Profit/(Loss) from 127 (54) n.m.f. 172 (189
Slide 48: Urban Development
Urban Development S$m 2H22 2H21 % Change FY22 FY21 % Change Revenue 372 720 (48) 904 1,629 (45) EBITDA 137 625 (78) 319 1,036 (69) Operating Profit 120 598 (80) 288 993 (71) Profit Before Tax 189 621 (70) 418 1,072 (61) Net Profit 114 484 (76) 282 763 (63) 48
Slide 49: Connectivity
Connectivity S$m 2H22 2H21 % Change FY22 FY21 % Change Revenue 675 674 - 1,291 1,260 2 EBITDA 101 146 (31) 187 288 (35) Operating Profit 39 45 (13) 62 86 (28) Profit Before Tax 46 48 (4) 70 86 (19) Net Profit 27 37 (27) 37 64 (42) n.m.f. denotes No Meaningful Figure 49
Slide 50: Asset Management
Asset Management S$m 2H22 2H21 % Change FY22 FY21 % Change Revenue 97 84 15 195 162 20 EBITDA 44 57 (23) 94 116 (19) Operating Profit 43 55 (22) 91 113 (19) Profit Before Tax 169 192 (12) 340 327 4 Net Profit 156 184 (15) 311 301 3 n.m.f. denotes No Meaningful Figure 50
Slide 51: Appendices
Appendices • Operational updates • Additional financial information • Keppel Land’s property portfolio 51
Slide 52: Sales Achieved - Overseas
Keppel Land Sales Achieved - Overseas Units Sold in Sales Value in Latest Key Projects Location FY 2022 FY 2022 Avg. Selling Price China (RMB’m) (RMB’psm) Seasons Residences Wuxi 276 703 ~21,400 North Island Site (UPED) Tianjin 632 640 ~9,000 Total 908 1,343 Vietnam (US$’m) (US$’psm) Celesta Rise 26
Slide 53: Residential Landbank - Singapore
Keppel Land Residential Landbank - Singapore Remaining Remaining Total GFA Total Units Units Stake Tenure Units Area (sf) Units Launched Sold For Sale For Sale (sf) Corals at Keppel Bay* 100% 99-yr 509,998 366 366 346 20 65,511 Reflections at Keppel Bay* 100% 99-yr 2,081,738 1,129 1,129 1,121 8 47,1
Slide 54: Residential Landbank - China
Keppel Land Residential Landbank - China Remaining Remaining Total GFA Total Units Units Location Stake Units Area (sm) Units Launched Sold For Sale For Sale (sm) Waterfront Residences 100% 318,977 1,401 1,347 1,343 58 1,038 Wuxi Seasons Residences 100% 369,540 2,904 2,904 1,884 1,020 123,336 Sereni
Slide 55: Residential Landbank - Other Overseas
Keppel Land Residential Landbank - Other Overseas Remaining Remaining Total GFA Total Units Units Location Stake Units Area (sm) Units Launched Sold For Sale For Sale (sm) Vietnam Saigon Sports City 100% 780,878 4,261 - - 4,261 451,905 Palm City 42% 495,900 3,042 1,586 953 2,089 214,748 Empire City
Slide 56: Residential Launch Readiness – China
Keppel Land Residential Launch Readiness – China Units Ready to Launch Project Location 2023 2024 2025 Waterfront Residences 58 - - Wuxi Seasons Residences 526 494 - Serenity Villas 5 - - North Island Site Tianjin 1,026 2,176 2,925 Waterfront Residences II 47 110 120 Hill Crest Residences Kunming -
Slide 57: Residential Launch Readiness – Other Overseas
Keppel Land Residential Launch Readiness – Other Overseas Units Ready to Launch Project Location 2023 2024 2025 Vietnam Saigon Sports City Velona - 804 330 Natura - - 864 Riviera Point ^ Phase 1A 12 - - The View 23 - - The Infiniti 13 - - Phase 2 359 78 - Empire City HCMC Narra Residences 11 - - Emp
Slide 58: Expected Completion for Launched Projects
Keppel Land Expected Completion for Launched Projects Total Units Launched as Units Sold as Units Remaining Expected Projects/Phases Launched Location Units at end-Dec 2022 at end-Dec 2022 as at end-Dec 2022 Completion China Seasons Residences (Ph 5a) 356 356 177 179 1H2023 Wuxi Seasons Residences (
Slide 59: Expected Completion for Upcoming Projects
Keppel Land Expected Completion for Upcoming Projects No. of Units Expected to be Completed Projects/Phases to be launched Location 2023 2024 2025 China Waterfront Residences Wuxi 54 - - North Island Site Tianjin - - 2,295 Sub-Total 54 - 2,295 Vietnam Celesta Gold HCMC - - 517 Total - - 2,812 59
Slide 60: Commercial Projects - Under Development
Keppel Land Commercial Projects - Under Development Expected Projects under Development Location Stake GFA (sm) Development Cost ^ Completion Singapore Keppel Towers Singapore 100% 60,370 TBC 2024 China Park Avenue Central Shanghai 99% 115,950 RMB 3.8b 2024 Seasons City Tianjin 100% 80,300 TBC TBC V
Slide 61: Commercial Projects - Completed
Keppel Land Commercial Projects - Completed Key Completed Projects Location Stake GFA (sm) Net Lettable Area (sm) Completion Singapore I12 Katong Singapore 100% 27,140 19,720 2011 * China Trinity Tower 30% 70,000 48,600 2015 International Bund Gateway 29.8% 74,130 62,010 2018 Shanghai Keppel Greenla
Slide 62: Notes
Notes The information presented on slides 5, 6, 8 and 27 (“Relevant Information”) is for information only and should not be used or considered as (1) an invitation, solicitation or offer to buy, sell or subscribe for securities or other financial instruments of the Group or (2) advice with respect t
Slide 63: Notes (Cont.)
Notes (Cont.) iii Based on the carrying value of the Identified Asset Co Assets in the unaudited pro forma consolidated financial statements of KOM group for the half year ended 30 June 2022. The Asset Co Consideration will be adjusted as at completion of the Asset Co Transfer based on the pro forma
Slide 64: Disclaimer
Disclaimer NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF THAT JURISDICTION. THIS PRESENTATION SHALL NOT CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO SELL, SUBSCR