National Central Cooling Co. (p.s.c.) (tabreed) · DFM:TABREED
National Central Cooling Co. (p.s.c.) (tabreed) — National Central Cooling Company (Tabreed) — Investor Presentation (May 2025)
50 slides from National Central Cooling Co. (p.s.c.) (tabreed)'s investor presentation, May 2025
Slide 1: National Central Cooling Company Investor Presentation
National Central Cooling Company Investor Presentation May 2025
Slide 2: Contents
Contents 1 Executive Summary 04 2 Strategy 06 3 Financial Highlights 14 4 Business Overview 22 5 Sustainability 28 6 Appendix 34 2|
Slide 3: Executive Summary
—— ff Executive Summary
Slide 4: Key investment highlights
Summary Key investment highlights Leading international district cooling Robust business model providing revenue Track record of delivering continuous growth company with operational excellence visibility with resilient margins UAE core; growing international presence Utility like business model Gro
Slide 5: Key investment highlights (Contd.)
Summary Key investment highlights (Contd.) Leveraging leadership position and Robust balance sheet and cash flows to Commitment to sustainability aligned to partnerships to expand invest in growth and sustain dividend growth national objectives Dominant market position across markets Leverage and Fr
Slide 6: Strategy
— 02 4 Strategy
Slide 7: Strategic Framework
Strategy Strategic Framework Tabreed aims to be the leader in sustainable cooling and associated services in the MENA region and beyond STRATEGIC PILLARS GROWTH EXCELLENCE GOVERNANCE PEOPLE INNOVATION Local & International Business Excellence Governance & Control People Focus R&D and Innovation Grow
Slide 8: Market leadership position in key geographies
Strategy Market leadership position in key geographies United Arab Emirates Bahrain Abu Dhabi Dubai Northern Emirates No other material competitors Egypt Saudi Arabia Oman India No material No material No material No material Powered by Bing © GeoNames, Microsoft, OpenStreetMap, TomTom competitors c
Slide 9: Delivering on our growth strategy
Strategy Delivering on our growth strategy 2019 2024 Capacity1 (000 RTs) 965 1,325 +7% CAGR Demonstrated ability to deliver sustainable growth over long-term – Volumes (bn RTH) 1.53 2.66 +12% CAGR Approx. 77k RT of annual capacity added in the last five years (incl. Revenue (m AED) 1,520 2,434 +10%
Slide 10: New Palm Jebel Ali Concession – Key Highlights
Strategy New Palm Jebel Ali Concession – Key Highlights Signed a concession agreement in partnership with Dubai 51% 49% Holding Investments to exclusively provide district cooling services to one of Dubai’s most ambitious and premier developments ‘Palm Jebel Ali’ Shareholding in SPV One of the large
Slide 11: Strong growth opportunities for district cooling
Strategy Strong growth opportunities for district cooling Rapid Urbanization & Energy Resilience & Government Infrastructure Expansion Decarbonisation Push Regulations District cooling regulations Large-scale urban developments (e.g. Emphasis on reducing energy (developed in UAE, with ongoing high-r
Slide 12: Significant future capacity secured, materialization of pipeline offers upside
Strategy Significant future capacity secured, materialization of pipeline offers upside UAE + International +37% ~80% in UAE 0.37m RT New plants for existing customers, New customers 0.36m RT 1.325m RT connected from existing plants, New concessions, or master agreements and Acquisitions Driven by e
Slide 13: Guidance Reiterated
Strategy Guidance Reiterated Historical Performance Medium-term Guidance (2025 – 2027) Capacity Growth Organic Capex 3.1% Capacity Growth Annualised 1.9% 3-5 200-300 2022-2024 Q1 2025 % p.a. AED m p.a. 58.1% 60.7% 55.7% 52.8% 55.6% 49.6% 51.4% EBITDA Margin EBITDA Margin Leverage 2020 2021 2022 2023
Slide 14: Financial Highlights
03 Financial Highlights
Slide 15: Q1 2025 Highlights
Financial Highlights Q1 2025 Highlights Accelerating Growth Pipeline Milestones Revenue Capacity New Connections Announced a significant new AED 466 m 1,329 k RT 4,599 RT project in partnership with Dubai Holding Investments Flat YoY +2% YoY +2.7x YoY to provide cooling of 250,000 RT to Dubai’s upco
Slide 16: Q1 2025 Operational Performance – capacity and consumption volumes
Financial Highlights Q1 2025 Operational Performance – capacity and consumption volumes Capacity Additions (k RT) and Connected Capacity by Country UAE, 83% KSA, 10% 1,329 k RT Oman, 4% Bahrain, 3% Egypt, 0.3% India, 0.3% Consolidated Consumption Volumes (billion RTh) Chilled Water Revenue Breakdown
Slide 17: Delivered consistent growth and resilient margins
Financial Highlights Delivered consistent growth and resilient margins Group Connected Capacity (k RT) Group Revenue (AED million) 1,174 1,210 1,264 1,303 1,325 1,329 2,415 2,434 2,432 2,216 965 196 218 226 226 1,741 1,955 82 88 88 175 176 1,520 75 73 170 54 64 1,069 1,086 1,099 1,104 2,141 2,333 2,
Slide 18: Continued de-leveraging while maintaining robust liquidity
Financial Highlights Continued de-leveraging while maintaining robust liquidity Balance Sheet Breakdown Debt Profile and Leverage Ratios 14,118 14,168 5,378 6,165 5,536 4,929 4,625 Net Debt Cash & ST Deposits 4,482 Profile 1,023 1,168 699 675 622 626 Receivables & Others 3,981 3,954 2020 2021 2022 2
Slide 19: Update on USD 700 m 5.279% 5-year Green Sukuk Offering
Financial Highlights Update on USD 700 m 5.279% 5-year Green Sukuk Offering USD 700 m 5 year 5.279% 4.3x 2.6x Issue Size Tenor Profit Rate Order Book Oversubscription Credit Ratings Tabreed successfully returned to the international debt capital markets with a USD 700 million 5-year RegS Only Green
Slide 20: Robust cash flows and improving returns
Financial Highlights Robust cash flows and improving returns • Consistently growing cash flows and robust balance sheet • Return on Equity and Return on Capital Employed showing provide a strong foundation to deliver attractive long-term improving trends, reflecting ability to grow business and retu
Slide 21: Highly cash generative business model provides attractive dividend returns
Financial Highlights Highly cash generative business model provides attractive dividend returns • During Annual General Assembly meeting in March 2025, • Dividend payout ratio on normalized net profit2 increased to shareholders approved a dividend of 15.5 fils per share (AED 77% in 2024 from 73% in
Slide 22: Business Overview
04 Business Overview
Slide 23: District Cooling - the big picture
Overview District Cooling - the big picture District cooling Air cooled chillers Water cooled chillers w Chiller Chiller Plate heat exchanger 4.4o c Energy transfer station • District Cooling (DC) is a system that produces cooling energy at a central location and then distributes it to multiple buil
Slide 24: Stable business model
Overview Stable business model CAPACITY CHARGES (FIXED) Revenue and EBITDA split between charges1 Capacity charges are billed monthly on contracted cooling load (RTs) Variable Recover investment in infrastructure over a contract period 25% Variable Cover fixed costs of operations, overheads and
Slide 25: Long term contracts with top tier customers
Overview Long term contracts with top tier customers • Long term contracts of typically 25+ years Key customers Chilled water revenue by ownership • Only construct plants on guaranteed offtake • Tabreed’s first customer contracts with take-or-pay structures • Contract covers multiple facilities Majo
Slide 26: Track record of delivering capacity growth
Overview Track record of delivering capacity growth Connected Capacity Addition Per Year Connected Capacity Addition By Country k RT k RT +7% CAGR +22% +3% +4% +3% +2% 304 16 9 22 4 5 1,325 54 39 21 1,325 209 36 965 965 2019 2020 2021 2022 2023 2024 2024 Total 2019 UAE Saudi Bahrain Oman India Egypt
Slide 27: Proven shareholder support
Overview Proven shareholder support Strong and strategic shareholders benefitting our credit profile Shareholder composition1 Aa2 (M) / AA (SP) / AA (F) Baa1 (M) / BBB+(SP) / BBB+ (F) Retail 6.1% Track record of support and engagement over the years Other Mubadala injects AED 3.1bn in Tabreed issues
Slide 28: Sustainability
05 Sustainability
Slide 29: Sustainability Framework
Sustainability Sustainability Framework Tabreed’s ESG framework is built on three core pillars ESG PILLARS ENVIRONMENT STEWARDSHIP SOCIAL RESPONSIBILITY GOVERNANCE EXCELLENCE Decarbonisation Health & Safety Transparency Pursuing a roadmap to achieve net zero Protect people, contractors & community M
Slide 30: Net Zero commitment and decarbonization principles
Sustainability Net Zero commitment and decarbonization principles Tabreed is actively pursuing a roadmap to achieve net zero emissions by 2050. The decarbonisation philosophy integrates pioneering technology and effective energy strategies and is guided by six core principles Some of the initiatives
Slide 31: Responsible business practices for a positive environmental impact
Sustainability Responsible business practices for a positive environmental impact Our sustainability efforts reflects the company’s commitment to water and waste management to reduce consumption of potable water and other natural resources whilst simultaneously ensuring no harm to marine life Some o
Slide 32: Sustainable, efficient and cost-effective cooling services
Sustainability Sustainable, efficient and cost-effective cooling services Sustainable district cooling solutions enabling significant Key initiatives to reduce operational energy consumption energy savings and prevention of green house gas emissions and integrate renewables sources of energy 2.62 bi
Slide 33: Tabreed's Green Financing Framework
Sustainability Tabreed’s Green Financing Framework Tabreed updated its Green Financing Framework in February 2025 (previously established in March 2022) aligning it to the updated ESG strategy and the latest ICMA and LMA Green Bond and Loan Principles for a best-in-class Framework that follows lates
Slide 34: Appendix
f& Appendix
Slide 35: Connected Capacity and Volumes
Overview Connected Capacity and Volumes Consolidated 2020 2021 2022 2023 2024 Q1 2025 UAE 928 1,025 1,060 1,053 1,066 1,071 Bahrain 32 33 34 37 37 37 Oman 32 33 52 53 55 55 India - - - 1 4 4 Egypt - - - 3 4.5 4.5 Total Consolidated 992 1,091 1,146 1,146 1,166 1,171 Equity Accounted UAE 71 9 9 33 33
Slide 36: Board of directors
Overview Board of directors Nine-member board brings wealth of expertise and strengthens Tabreed’s governance Dr. Bakheet is the Chief Executive Officer, UAE Investments platform and Paulo Almirante is currently Senior Executive Vice President of global energy Investment Committee Member at Mubadala
Slide 37: Senior management
Overview Senior management Khalid Al Marzooqi Adel Salem Al Wahedi Nadia Bardawil Dr. Yousif Al Hammadi Antonio Di Cecca Philippe Coquelle Chief Executive Officer Chief Financial Officer Chief Legal Counsel Chief Asset Management Officer Chief Operating Officer Chief Development Officer Appointed as
Slide 38: Solid operational credentials
Overview Solid operational credentials Tabreed’s in-house team has been successfully designing, building, operating and maintaining some of the biggest district cooling systems across the region for over 27 years O&M STRATEGY Safely operate and maintain the plants and facilities to provide reliable
Slide 39: Financial Summary
Financial Highlights Financial Summary Income Statement Balance Sheet Cash Flows Q1 Q1 Q1 FY Q1 Q1 YoY (%) YTD (%) YoY (%) 2025 2024 2025 2024 2025 2024 Non-current Cash flows 11,992 12,067 (1)% 284 274 4% Revenue 466 468 0% Assets from Oper. Current Changes in 2,176 2,051 6% (76) (30) 155% Gross Pr
Slide 40: Income Statement Highlights
Financial Highlights Income Statement Highlights Revenue Q1 2025 Revenue Movement (YoY) Chilled Water Value Chain Business Chg. YoY 0% +1% -5% +0% 464 468 466 468 2 0 466 420 (4) 358 17 20 20 14 18 406 447 448 446 339 Q1 2021 Q1 2022 Q1 2023 Q1 2024 Q1 2025 Q1 2024 Chilled Water Value Chain Lease In
Slide 41: Income Statement Highlights (cont.)
Financial Highlights Income Statement Highlights (cont.) EBITDA Q1 2025 EBITDA Movement (YoY) Chg. YoY 0% -4% -7% +8% +4% 268 272 283 264 227 272 6 5 2 283 (2) Q1 2024 Revenue Opr. Cost Admin. & Other Fin. Lease Q1 2025 Q1 2021 Q1 2022 Q1 2023 Q1 2024 Q1 2025 excl. D&A Exp. excl. D&A Amortization No
Slide 42: Prudent capital allocation balancing debt reduction with shareholder returns
Financial Highlights Prudent capital allocation balancing debt reduction with shareholder returns Cash Movement Free Cash Flows AED 182 m 284 11 6 (76) 1,168 (25) (30) (24) 1,023 Cash Cash Flows Working Capex - net Interest Finance Debt Repaid Dividend to Cash 31 Dec. 2024 from Operations Capital Re
Slide 43: Key market trends underpin positive district cooling outlook
Strategy Key market trends underpin positive district cooling outlook Urbanization and Mega Projects: Increasing demand driven by large-scale urban developments (e.g. smart cities, mega-events like Expo). Rise in Space GCC Government Regulations: Well-developed in the UAE, with ongoing formulation i
Slide 44: Markets outside UAE poised for growth
Strategy Markets outside UAE poised for growth PIF investment boosts Saudi Tabreed’s market leadership Tabreed Asia aims to grow in underpenetrated markets • PIF acquired 30% stake in Saudi Tabreed in 2023; being part of PIF portfolio • Tabreed India is wholly owned subsidiary of Tabreed Asia signif
Slide 45: Strong macro tailwinds underpin growth outlook (1/2)
Strategy Strong macro tailwinds underpin growth outlook (1/2) District cooling offers remarkable efficiency and support energy resilience Space cooling to put excessive strain on electricity District cooling uses only half the energy of conventional Tabreed expects systems, consumption and carbon em
Slide 46: Strong macro tailwinds underpin growth outlook (2/2)
Strategy Strong macro tailwinds underpin growth outlook (2/2) Tabreed’s key markets expected to see favorable demand drivers and rising district cooling adoption GDP growth expected to accelerate while population Strong growth potential in key markets with sizeable district cooling market size growt
Slide 47: Tabreed's Green Financing Framework: Green Use of Proceeds
Sustainability Tabreed’s Green Financing Framework: Green Use of Proceeds Alignment with the Alignment with the GBP Eligibility Criteria UN SDGs Investment in acquisition, construction, development, upgrading and maintenance of District Cooling (DC) projects powered by the grid including: • New DC p
Slide 48: Tabreed's Investment Proposition
Conclusion Tabreed’s Investment Proposition • Leading market position with 27 years of operational track record Sustainability Market to provide safe, reliable and efficient cooling Enabler Leading Position & • Long-term contracts with creditworthy customers underpin Track Record stability and high
Slide 49: Disclaimer
Disclaimer • These materials have been prepared by and are the sole responsibility of the National Central Cooling Company Securities Act) and may not be offered or sold except under an exemption from, or transaction not subject to, the PJSC, ‘Tabreed’ (the “Company”). These materials have been prep
Slide 50: Contact Us
Contact Us Tabreed Investor Relations Salik Malik Yugesh Suneja Email: ir@tabreed.ae Vice President, Finance Head of Investor Relations For more information, please visit Tel: +971 2 202 0397 Tel: +971 2 202 0479 www.tabreed.ae/investor-relations Email: smalik@tabreed.ae Email: ysuneja@tabreed.ae
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