Keppel Ltd. · SGX:BN4
Keppel — Keppel REIT — Q1 2025 Earnings Presentation
32 slides from Keppel's earnings presentation, Apr 23, 2025
Slide 1: 1Q 2025 Key Business and Operational Updates
1Q 2025 Key Business and Operational Updates 23 April 2025
Slide 2: Content
Content 1. 1Q 2025 Key Highlights – Pg 3 4. Market Review – Pg 18 2. Financial Highlights 5. Additional Information – Pg 5 – Pg 23 3. Portfolio Review – Pg 9 2 BLUE STREET, SYDNEY 2
Slide 3: 1Q 2025 Key Highlights
1Q 2025 Key Highlights Property Income Net Property Income $68.7m $54.6m +12.1% y-o-y +13.3% y-o-y $54.6m $68.7m $61.3m $48.2m 1Q 2024 1Q 2025 1Q 2024 1Q 2025 % Aggregate Weighted Average Cost Borrowings on Leverage of Debt Fixed Rates 42.1% 3.52% p.a. 65% MARINA BAY FINANCIAL CENTRE, As at 31 Mar 2
Slide 4: 1Q 2025 Key Highlights
1Q 2025 Key Highlights High Portfolio Committed Occupancy 96.0 % vs 97.9% as at 31 Dec 2024 Strong Rental Reversion +10.6 % Long 4.7 years Portfolio WALE(1) vs 4.7 years as at 31 Dec 2024 Top 10 tenants’ WALE at 8.7 years Proactive Leasing Strategy ~586,400 sf of leases committed in 1Q 2025 ONE RAFF
Slide 5: Financial Highlights
02 Financial KEPPEL BAY TOWER, SINGAPORE Highlights 5
Slide 6: Better Performance Driven by Operational Strength and Contribution from 255 George Street
Better Performance Driven by Operational Strength and Contribution from 255 George Street • Property Income and NPI increased due mainly to contributions from 255 George Street and increased occupancy at 2 Blue Street • Share of results of associates increased due mainly to higher rentals • Borrowin
Slide 7: Disciplined Capital Management
Disciplined Capital Management • AUD, KRW and JPY denominated loans formed ~17%, ~3% and ~2% of total portfolio borrowings(1) respectively • Sustainability-focused funding constituted 82% of total borrowings(1) As at 31 Mar 2025 Weighted Average Cost of Debt 3.52% p.a. Aggregate Leverage 42.1% Weigh
Slide 8: Well-Spread Debt Maturity Profile
Well-Spread Debt Maturity Profile • Notwithstanding the increase in weighted average cost of debt caused by higher base rates, S$421m of loans were refinanced at lower margins • Facility agreements of S$475m of loans, maturing in 2Q 2025, are under documentation Debt Maturity Profile (As at 31 Mar 2
Slide 9: Portfolio Review
03 Portfolio OCEAN FINANCIAL CENTRE, SINGAPORE Review 9
Slide 10: Diversified Portfolio of Prime Commercial Assets in Asia Pacific
Diversified Portfolio of Prime Commercial Assets in Asia Pacific $9.5b portfolio of prime quality assets anchored across different markets enhance income stability and long-term growth opportunities T Tower, Seoul 99.4% Interest Japan KR Ginza II, Tokyo South Korea 98.5% Interest Occ: 98.5% 2.9% 0.9
Slide 11: Performance Breakdown by Geography
Performance Breakdown by Geography Singapore Portfolio North Asia Portfolio 1Q 2025 66.4 1Q 2025 3.6 Attributable NPI(1) 3.3% Attributable NPI(1) (S$m) (S$m) 12.6% 1Q 2024 64.3 1Q 2024 3.2 1Q 2025 96.8 1Q 2025 98.7 Committed Occupancy Committed Occupancy (%) (%) 4Q 2024 98.8 4Q 2024 100.0 Australia
Slide 12: 1Q 2025 Portfolio Performance
1Q 2025 Portfolio Performance (By Attributable Committed Gross Rent) Leases Committed by Geography Leases Committed by Type As at 31 Mar 2025 Rent Singapore, Review, 97.0% By Attributable 19.2% By Attributable New, 28.9% 96.0% Committed Committed Portfolio committed Gross Rent Renewal, Gross Rent oc
Slide 13: Well-Staggered Lease Expiry Profile
Well-Staggered Lease Expiry Profile (By Attributable Committed Gross Rent) • Average signing rent for Singapore office leases(1) concluded in 1Q 2025 was $12.93 psf pm, supported by healthy demand from diverse sectors for prime office space • Average rent of expiring leases for Singapore office leas
Slide 14: Established and Diversified Tenant Base
Established and Diversified Tenant Base (By Attributable Committed Gross Rent) • Keppel REIT has a diversified tenant base of 495(1) • Top 10 tenants contribute 30.3% of attributable tenants, many of which are established blue-chip committed gross rent corporations Top 10 Tenants Tenant Business Sec
Slide 15: Completion of Asset Enhancement Initiatives at Building D of Pinnacle Office Park
Completion of Asset Enhancement Initiatives at Building D of Pinnacle Office Park • Achieved practical completion in February 2025 • ~4,000 sm of NLA, previously removed due to the AEI, has been reinstated to the building’s NLA • Heads of Agreement signed with a tenant for ~75% of the space Rejuvena
Slide 16: Completion of Fitted Suites at 255 George Street
Completion of Fitted Suites at 255 George Street • Practical completion achieved for 4 fitted suites • Secured tenant for 1 suite, with Heads of Agreement signed for another • The remaining 2 suites are attracting strong leasing interest © Keppel REIT 16
Slide 17: ESG Activities in 1Q 2025
ESG Activities in 1Q 2025 In conjunction with World Water Day, Ocean Financial Centre Ocean Financial Centre achieved and Keppel Bay Tower the BCA Green Mark Platinum organised tenant engagement Super Low Energy (SLE) activities where participants certification in April 2025. took part in water cons
Slide 18: Market Review
2 BLUE STREET, SYDNEY 04 Market Review 18
Slide 19: Singapore Office Market
Singapore Office Market • Average core CBD Grade A office rents increased to $12.05 psf pm with average occupancy in CBD Core (Grade A) declining slightly to 94.1% in 1Q 2025 Grade A Rent and Core CBD (Grade A) Occupancy Demand and Supply (million sf) 0.7 0.5 0.8 0.8 0.6 0.6 96.2% 95.8% 96.5% 0.2 0.
Slide 20: Australia Office Market
Australia Office Market 1,800 87.5% 88.6% 85.3% 84.1% 83.6% 83.9% 100% 84.0% 83.6% Sydney CBD 1,500 80% North Sydney 1200 75.5% 79.9% 76.7% 82.1% 100% 90% 80% 1,200 1,038 70% 930 919 955 993 60% 900 688 651 670 693 671 675 60% 900 885 50% Prime Grade 600 40% Prime Grade 600 40% 30% 300 20% occupancy
Slide 21: Seoul Office Market
Seoul Office Market • CBD Grade A vacancy remains low with occupancy at 97.0% in 1Q 2025 CBD Grade A Rent and Occupancy 97.0% 98.5% 96.6% 97.0% 200,000 100% 86.7% 89.2% 160,000 145,742 148,574 80% 133,152 121,356 120,000 60% 97,572 98,926 80,000 40% 40,000 20% 0 0% 4Q20 4Q21 4Q22 4Q23 4Q24 1Q25 T TO
Slide 22: Tokyo Office Market
Tokyo Office Market • Occupancy in Tokyo central 5 wards continues to be high in 1Q 2025 for Grade A office at 97.5% and Grade B office at 97.7% Tokyo Central 5 Wards Grade A Rent and Occupancy Tokyo Central 5 Wards Grade B Rent and Occupancy 99.1% 98.7% 100.0% 97.8% 97.4% 97.7% 30,00 .0% 96.5% 97.2
Slide 23: Additional Information
2 BLUE STREET, SYDNEY 04 Additional Information 23
Slide 24: Continued Focus on ESG Excellence to Attract Quality Tenants
Continued Focus on ESG Excellence to Attract Quality Tenants Sustainable ESG Benchmarks and Future Ready Portfolio with • MSCI ESG Rating ESGatExcellence maintained ‘A’ Sustainability • ISS Governance Risk Rating maintained at lowest risk level of “1” and ESG Corporate Rating maintained at “Prime” s
Slide 25: Portfolio Information: Singapore
Portfolio Information: Singapore As at Marina Bay Financial Ocean Financial Centre One Raffles Quay Keppel Bay Tower 31 Mar 2025 Centre(4) Attributable NLA 696,127 sf 1,017,696 sf 442,486 sf 386,224 sf Ownership 79.9% 33.3% 33.3% 100.0% The Executive Centre, DBS Bank, TikTok, Keppel, Principal tenan
Slide 26: Portfolio Information: Australia, South Korea & Japan
Portfolio Information: Australia, South Korea & Japan As at 255 George 8 Chifley Pinnacle Office 8 Exhibition Victoria Police David Malcolm 2 Blue Street, T Tower, KR Ginza II, 31 Mar 2025 Street(3), Square, Park, Street(4), Centre, Justice Centre, Sydney Seoul Tokyo Sydney Sydney Sydney Melbourne M
Slide 27: 1Q 2025 Portfolio Performance
1Q 2025 Portfolio Performance (By Attributable Committed NLA) As at 31 Mar 2025: Leases Committed Leases Committed by Geography Rent Review, by Type 96.0% Singapore, 18.2% 88.5% By By Portfolio committed Attributable Attributable New, occupancy Committed Committed 30.0% Australia, NLA Renewal, NLA 9
Slide 28: Established and Diversified Tenant Base
Established and Diversified Tenant Base (By Attributable Committed NLA) • Keppel REIT has a diversified tenant base of 495(1) • Top 10 tenants contribute 35.7% of attributable tenants, many of which are established blue-chip committed NLA corporations Top 10 Tenants Tenant Business Sector % State of
Slide 29: Committed to Delivering Stable Income & Sustainable Returns
Committed to Delivering Stable Income & Sustainable Returns Portfolio Optimisation • Improve yield by enhancing Keppel REIT’s portfolio of quality assets through strategic acquisitions and divestments Portfolio • Provide income stability and long-term capital appreciation of portfolio, anchored Opti
Slide 30: Well-Executed Portfolio Optimisation Strategy
Well-Executed Portfolio Optimisation Strategy Expanded footprint Expanded footprint to Australia: to Japan: Expanded footprint 77 King Street (100%), Sydney, and KR Ginza II (98.5%), to South Korea: 275 George Street (50%), Brisbane Tokyo Acquired T Tower (99.4%), Seoul - David Acquired Malcolm Acqu
Slide 31: Thank you
Thank you 31
Slide 32: Important Notice
Important Notice IMPORTANT NOTICE: The past performance of Keppel REIT is not necessarily indicative of its future performance. Certain statements made in this presentation may not be based on historical information or facts and may be “forward-looking” statements due to a number of risks, uncertain