Slide 1: 1Q FY2018 Financial Results
Keppel Infrastructure Trust 1Q FY2018 Financial Results 16 April 2018
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 2018
Key Highlights for 1Q 2018 Distribution per Unit Distribution Yield 0.93 cents ^ ^ 7.0% Stable DPU of 0.93 cents ^ for 1Q 2018 As at 31 March 2018 Distributable Cash Flows Net Asset Value S$36.2 million 29.6 cents Distributable cash flows of As at 31 March 2018 S$36.2 million for 1Q 2018 Gearing Hed
Slide 4: Business Updates
Business Updates • Customer base grew by 4% from 791,000 as of 1Q 2017 to 823,000 as of 1Q 2018 City Gas • Achieved 100% availability in 1Q 2018 • Consist of Senoko WTE, Tuas WTE, SingSpring Desalination and Ulu Pandan NEWater plants in Singapore Concessions • Fulfilled all contractual obligations i
Slide 5: Business Updates
Business Updates • Returned to service on 13 June 2016 • Repair costs and revenue loss during the outage are covered by insurance, subject to the relevant terms of the insurance policy • On 5 December 2016, Basslink announced the completion of its investigations into the cause of the outage. Cause o
Slide 6: 1Q 2018 Distributable Cash Flows
1Q 2018 Distributable Cash Flows Delivered distributable cash flows of S$36.2 million in 1Q 2018 1Q FY18 1Q FY17 S$’000 S$’000 Remarks City Gas 10,256 8,936 • Due to time lag in the adjustment of gas tariffs to reflect actual fuel cost Concessions 17,672 17,368 • All plants fulfilled contractual obl
Slide 7: Diversified Portfolio of Core Infrastructure Assets
Diversified Portfolio of Core Infrastructure Assets Long-term, regular and predictable cash flows generated from a diversified portfolio ranging from Utilities, Power and Telecommunications infrastructure assets 1Q 2018 Adjusted EBITDA (1) Total Assets as at 31 Mar 2018 Corporate KMC (2) 2% 23% (2)
Slide 8: Regular and Stable Returns
Regular and Stable Returns DPU (S cents) 1Q FY18 DPU: 0.93 Singapore cents Book closure date: 24 April 2018 Distribution Payment date: 18 May 2018 1 0.93 0.93 0.93 0.93 0.93 0.93 0.93 0.93 0.8 0.6 0.4 0.2 0 2QFY16 3QFY16 4QFY16 1QFY17 2QFY17 3QFY17 4QFY17 1QFY18 7
Slide 9: Regular and Stable Returns
Regular and Stable Returns Distribution Yield (1) Infrastructure Trusts Singapore Industrial REITs 12.3% Average: 7.8% Average: 7.0% 8.9% 8.8% 8.4% 8.1% 7.9% 7.8% 7.6% (2) 7.0% 7.1% 6.1% 6.0% (3) 5.8% 5.4% 5.2% 4.9% (1) Source: Bloomberg’s dividend yield data as at 31 March 2018 (2) Based on market
Slide 10: Strong Balance Sheet
Strong Balance Sheet As at 31 March 2018 Excluding Sustainable gearing backed by S$’m Total Basslink Long term contracts expiring Cash 219 159 between 2024 and 2046 Borrowings 1,799 1,080 Creditworthy customers and City Gas’ large and stable Net debt 1,580 921 customer base Recurring and stable Tota
Slide 11: Prudent Capital Management
Prudent Capital Management Debt Overview Debt Breakdown • Hedged ~91% of total loans Debt Repayment Profile • Other than KIT corporate loan, rest of the loans are non- > 5 yrs recourse 0.8% < 1 yr 19.5% • Maintain stable interest rate of 4-5% − Singapore average: 3-4% − Australian average: 6-7% • We
Slide 12: Well-Positioned to Deliver Long-term Value and Growth
Well-Positioned to Deliver Long-term Value and Growth 1 One of Singapore’s largest infrastructure 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 ca
Slide 13: Appendix I: Additional Information
Appendix I: Additional Information 12
Slide 14: 1Q 2018 Results: City Gas
1Q 2018 Results: City Gas 1Q FY18 1Q FY17 Change S#039;000 S#039;000 % Revenue 82,103 77,469 6.0 Other income 331 300 10.3 Other (losses)/gains - net 128 (661) N/M Expenses Fuel and electricity costs (31,710) (29,106) 8.9 Gas transportation costs (23,310) (23,198) 0.5 Depreciation and amortisation (690) (
Slide 15: 1Q 2018 Results: Concessions
1Q 2018 Results: Concessions 1Q FY18 1Q FY17 Change S#039;000 S#039;000 % Revenue 23,338 23,204 0.6 Other income 136 105 29.5 Expenses Fuel and electricity costs (2,672) (2,266) 17.9 Depreciation and amortisation (1,763) (1,763) 0.0 Operation and maintenance costs (11,380) (12,044) (5.5) (1) Finance costs
Slide 16: 1Q 2018 Results: Basslink
1Q 2018 Results: Basslink 1Q FY18 1Q FY17 Change A#039;000 A#039;000 % Revenue 21,258 19,777 7.5 Other income 242 197 22.8 Other losses - net (7,214) (1,352) >100.0 Expenses Fuel and electricity costs (71) (67) 6.0 Depreciation and amortisation (4,438) (4,441) (0.1) Staff costs (597) (566) 5.5 Operation a
Slide 17: 1Q 2018 Results: KMC
1Q 2018 Results: KMC 1Q FY18 1Q FY17 Change S#039;000 S#039;000 % Revenue 32,604 32,423 0.6 Other income 6 404 (98.5) Other losses - net 2 (1) N/M Expenses Depreciation and amortisation (18,933) (18,885) 0.3 Operation and maintenance costs (4,641) (4,834) (4.0) (1) Finance costs (26,546) (26,597) (0.2) Ot
Slide 18: 1Q 2018: Distributable Cash Flows
1Q 2018: Distributable Cash Flows S#039;000 City Gas Concessions Basslink KMC Others Group Profit/(loss) after tax 3,743 407 (4,968) (18,876) 18,626 (1,068) Add/(less) Reduction in concessions/lease receivables - 13,684 - - - 13,684 Non-cash finance cost 97 6 1,665 160 27 1,955 Other non-cash items (19
Slide 19: 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 20: Loan Profile
Loan Profile Entity Amount (S$’m) Loan Maturity Repayment City Gas 178.0 Feb 2019 Bullet* SingSpring 58.0 Dec 2024 Amortising 723.9 Basslink Nov 2019 Amortising* (A$702.1m) KMC 700.0 Jun 2020 Bullet* KIT 145.6 Feb 2019 Bullet* * To be refinanced upon maturity 19
Slide 21: Appendix II: Overview of KIT
Appendix II: Overview of KIT 20
Slide 22: Keppel Infrastructure Trust Structure
Keppel Infrastructure Trust Structure Keppel Capital Keppel Infrastructure The Trustee-Manager can leverage The Trustee-Manager can the scale and resources of a larger leverage the Sponsor‘s expertise Institutional and asset management platform and track record in this industry Public Investors ~18%
Slide 23: 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 waste inc
Slide 24: 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 25: 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 Co-investment, bridge financing Potential Upsides ma
Slide 26: Thank You
Thank You www.kepinfratrust.com 25