Slide 1: First Quarter 2017 Financial Results
Keppel Infrastructure Trust First Quarter 2017 Financial Results 17 April 2017
Slide 2: Important Notice
Not for distribution in the United States Important Notice The information contained in this presentation is for information purposes only and does not constitute or form part of, and should not be construed as, any offer or invitation to sell or issue or any solicitation of any offer or invitation
Slide 3: Key Highlights for 1Q FY 2017
Key Highlights for 1Q FY 2017 Distribution per Unit Distribution Yield 0.93 cents ^ ^ 7.3% Steady DPU of 0.93 cents ^ for 1Q 2017 As at 31 March 2017 Distributable Cash Flows Net Asset Value S$34.2 million 32.0 cents Stable distributable cash flows of As at 31 March 2017 S$34.2 million for 1Q 2017 G
Slide 4: Business Updates
Business Updates • Customer base grew by 4.2% from 759,000 as of 1Q 2016 to 791,000 as of 1Q 2017 City Gas • Achieved 100% plant availability for 1Q 2017 • Consist of Senoko WTE, Tuas WTE, SingSpring Desalination and Ulu Pandan NEWater plants in Singapore Concessions • Fulfilled all contractual obli
Slide 5: 1Q 2017 Distributable Cash Flows
1Q 2017 Distributable Cash Flows Delivered distributable cash flows of S$34.2 million in 1Q 2017 1Q FY17 1Q FY16 S$’000 S$’000 Remarks City Gas 8,936 14,132 • Lower mainly due to time lag in the adjustment of gas tariffs to reflect actual fuel cost Concessions 17,368 17,427 • All plants fulfilled co
Slide 6: Diversified Portfolio of Core Infrastructure Assets
Diversified Portfolio of Core Infrastructure Assets Long-term, regular and predictable cash flows generated from a diversified portfolio ranging from Utilities, Power and Telecommunications infrastructure assets 1Q 2017 EBITDA (1) Total Assets as at 31 Mar 2017 (2) Corporate KMC 2% 28% (2) KMC 28% C
Slide 7: Regular and Stable Returns
Regular and Stable Returns DPU (S cents) S cents/unit 2.5 1Q FY17 DPU: 0.93 Singapore cents Book closure date: 25 April 2017 1.98 2 Distribution Payment date: 19 May 2017 1.5 1.05 1 0.93 0.93 0.93 0.93 0.93 0.93 0.93 0.78 0.5 0 (1) (2) (1) Lower DPU in 1Q FY15 as KMC (which was acquired on 30 June 2
Slide 8: Regular and Stable Returns
Regular and Stable Returns Distribution Yield (1) Infrastructure Trusts Singapore Industrial REITs 15.0% Average: Average: 8.9% 8.5% 14.0% Average: 7.3% 14.0% 13.0% 12.0% 11.0% 10.3% 10.0% 9.3% 8.8% 8.8% 9.0% 8.1% 8.0% (2) 8.0% 7.3% 6.7% 6.9% 6.8% 7.0% 7.0% 6.3% 6.4% 6.0% 4.9% 4.7% 5.0% 4.0% 3.0% 2.
Slide 9: Strong Balance Sheet
Strong Balance Sheet As at 31 March 2017 Excluding Sustainable gearing backed by S$’m Total Basslink Long term contracts expiring Cash 255 207 between 2024 and 2046 Borrowings 1,840 1,094 Creditworthy customers and City Gas’ large and stable Net debt 1,585 888 customer base Recurring and stable Tota
Slide 10: Prudent Capital Management
Prudent Capital Management Debt Overview Debt Breakdown • Hedged ~85% of total loans Debt Repayment Profile • Other than KIT corporate loan, rest of the loans are non- > 5 yrs < 1 yr recourse 1.2% 1.5% • Maintain stable interest rate of 4-5% − Singapore average: 3-4% − Australian average: 6-7% • Hea
Slide 11: Well-Positioned to Deliver Long-term Value and Growth
Well-Positioned to Deliver Long-term Value and Growth 1 Largest Singapore infrastructure focused business trust 2 Diversified portfolio of core infrastructure assets 3 Long term contracts with credit worthy customers or large and stable customer base 4 Generate long term, regular and predictable cas
Slide 12: Appendix I: Additional Information
Appendix I: Additional Information 11
Slide 13: 1Q 2017 Results: City Gas
1Q 2017 Results: City Gas 1Q FY17 1Q FY16 Change S#039;000 S#039;000 % Revenue 77,469 70,542 9.8 Other income 300 386 (22.3) Other (losses)/gains - net (661) 204 N/M Expenses Fuel and electricity costs (29,106) (18,837) 54.5 Gas transportation costs (23,198) (21,674) 7.0 Depreciation and amortisation (1,4
Slide 14: 1Q 2017 Results: Concessions
1Q 2017 Results: Concessions 1Q FY17 1Q FY16 Change S#039;000 S#039;000 % Revenue 23,204 27,914 (16.9) Other income 105 188 (44.1) Expenses Fuel and electricity costs (2,266) (2,560) (11.5) Depreciation and amortisation (1,763) (1,763) 0.0 Operation and maintenance costs (12,044) (15,064) (20.0) (1) Finan
Slide 15: 1Q 2017 Results: Basslink
1Q 2017 Results: Basslink 1Q FY17 1Q FY16 Change A#039;000 A#039;000 % Revenue 19,777 1,157 >100 Other income 197 194 1.5 Other losses - net (1,352) (1,327) 1.9 Expenses Fuel and electricity costs (67) (38) 76.3 Depreciation and amortisation (4,441) (4,492) (1.1) Staff costs (566) (669) (15.4) Operation a
Slide 16: 1Q 2017 Results: KMC
1Q 2017 Results: KMC 1Q FY17 1Q FY16 Change S#039;000 S#039;000 % Revenue 32,423 30,596 6.0 Other income 404 1,666 (75.8) Other losses - net (1) (243) (99.6) Expenses Depreciation and amortisation (18,885) (18,927) (0.2) Operation and maintenance costs (4,834) (5,044) (4.2) Finance costs (1) (26,597) (26,
Slide 17: 1Q 2017: Distributable Cash Flows
1Q 2017: Distributable Cash Flows S#039;000 City Gas Concessions Basslink KMC Others Group Profit/(loss) after tax 1,484 114 (355) (18,788) 15,637 (1,908) Add/(less) Reduction in concessions/lease receivables - 13,220 - - - 13,220 Non-cash finance cost 96 6 1,284 158 2,743 4,287 Other non-cash items 65
Slide 18: 1Q 2016: Distributable Cash Flows
1Q 2016: Distributable Cash Flows S#039;000 City Gas Concessions Basslink KMC Others Group Profit/(loss) after tax 4,548 1,249 (15,490) (20,242) 20,418 (9,517) Add/(less) Reduction in concessions/lease receivables - 12,523 - - - 12,523 Non-cash finance cost 95 7 1,223 155 - 1,480 Other non-cash items (
Slide 19: Loan Profile
Loan Profile Entity Amount (S$’m) Loan Maturity Repayment City Gas 178.0 Feb 2019 Bullet* SingSpring 68.4 Dec 2024 Amortising 753.6 Basslink (A$707.0) Nov 2019 Amortising* KMC 700.0 Jun 2020 Bullet* KIT 150.7 Feb 2019 Bullet* * To be refinanced upon maturity 18
Slide 20: Appendix II: Overview of KIT
Appendix II: Overview of KIT 19
Slide 21: KIT's Shareholding Structure
KIT’s Shareholding Structure • Keppel Corporation consolidated its interests in business trust, real estate investment trust and fund management businesses under Keppel Capital in July 2016 • This includes the shareholding interest in Keppel Infrastructure Fund Management (KIFM), the Trustee-Manager
Slide 22: Portfolio Overview
Portfolio Overview Asset Business Customer Contract Terms Cash Flows Senoko WTE Plant 2,310 tonnes/day NEA, Singapore 2024 Principally fixed availability waste incineration concession government agency payment Tuas WTE Plant 800 tonnes/day NEA, Singapore 2034 Principally fixed availability governmen
Slide 23: KIT Investment Criteria
KIT Investment Criteria KIT Investment Criteria Portfolio of highly strategic assets Telecoms KIT aims to provide Unitholders Utilities Infra Power Infra Infra with long-term, regular and predictable distributions by Singapore DataCentre City Gas KMC Basslink Concessions One pursuing investments t
Slide 24: Three-pronged Growth Strategy
Three-pronged Growth Strategy 1 Organic Growth from Existing Portfolio 2 Keppel Synergy 3 Acquisition Strategy KIT New Investments Assets that generate long term Keppel Capital stable cash flows with some growth Singapore and other developed Potential Upsides Co-investment, bridge financing ma
Slide 25: Thank You
Thank You www.kepinfratrust.com 24