Keppel Infrastructure Trust · SGX:A7RU
Keppel Infrastructure Trust — H1 2019 Earnings Presentation
26 slides from Keppel Infrastructure Trust's earnings presentation, Jul 15, 2019
Slide 1: Second Quarter and Half Year 2019 Financial Results
Second Quarter and Half Year 2019 Financial Results 15 July 2019
Slide 2: Important Notice
Important Notice Not for distribution in the United States 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: Outline
Outline Key Results Highlights 4 Business Updates 6 Finance and Capital Management 10 Looking Ahead 15 3
Slide 4: Key Highlights
Key Highlights Ixom
Slide 5: Key Results Highlights
Key Results Highlights Distribution per Unit Distributable Cash Flows Annualised Yield Gearing 1.86 cents $94.2m 7.4% 34.2% DPU of 0.93 cents for 2Q 2019, DCF of $45.8 million for 2Q Annualised distribution yield As at 30 June 2019, an bringing 1H 2019 DPU 2019, bringing 1H 2019 DCF based on the mar
Slide 6: Business Updates
Business Updates Keppel Merlimau Cogen
Slide 7: Business Sectors
Business Sectors A Diversified Business Trust with a Strategic Portfolio of Infrastructure-Like Assets Distribution & Network Energy Waste & Water Strategic infrastructure assets with Stable and resilient infrastructure assets anchored by potential for long-term growth supported by concession contra
Slide 8: Portfolio Overview
Portfolio Overview Distribution and Network Energy Waste & Water Senoko and Tuas WTE Plants, Ulu Pandan Assets City Gas, Basslink, DataCentre One, Ixom Keppel Merlimau Cogen and SingSpring Water Plants City Gas • Fulfilled all contractual obligations • Fulfilled all contractual obligations in 2Q in
Slide 9: Portfolio Breakdown
Portfolio Breakdown By Assets (%) By Geography (%) 11.4 19.0 0.4 17.9 10.1 $5.2 43.2 $5.2 Billion Billion 56.8 15.9 25.3 City Gas DC One Basslink Ixom KMC Waste & Water Singapore Australia and New Zealand Non-controlling interest 9
Slide 10: Finance & Capital Management
Finance & Capital Management City Gas
Slide 11: Distributable Cash Flows
Distributable Cash Flows +/(-) +/(-) (S$’000) 2Q 2019 2Q 2018 1H 2019 1H 2018 % % Distribution & Network • City Gas 10,421 10,453 (0.3) 26,262 20,709 26.8 • DC One 1,312 1,302 0.8 2,654 2,479 7.1 • Ixom(1) 10,156 - > 100.0 16,034 - > 100.0 Energy • KMC 11,234 10,386 8.2 22,950 21,837 5.1 Waste & Wat
Slide 12: Regular and Stable Distributions
Regular and Stable Distributions Comparative Yields(1) 8.0% 7.4% 6.0% 4.5% 3.8% 4.0% 1.8% 2.0% 2.0% 0.0% 5 Yr SG 10 Yr SG STI FTSE ST KIT Govt bond Govt bond REIT Index DPU (S cents) DPU: 0.93 Singapore cents Book closure date: 23 July 2019 Payment date: 16 August 2019 1. Sources: Bloomberg and
Slide 13: Balance Sheet
Balance Sheet Sustainable gearing supported by: (S$’m) As at 30 June 2019 Long term contracts expiring between Total Excl. Basslink 2024 and 2036 Cash 417 360 Creditworthy customers backed by Borrowings 2,182 1,522 government and government-linked corporations Net debt 1,765 1,162 Total assets 5
Slide 14: Capital Management
Capital Management Hedged ~89% of total loans Debt Repayment Debt Breakdown by All loans non-recourse except KIT corporate loan Profile Currency Stable interest rate of 4-5% Current − Singapore average: 3-4% 62.0% − Australian average: 4-7% A$ Non- 53% Successfully issued $300m Subordinated
Slide 15: Looking Ahead
Looking Ahead Ixom
Slide 16: Driving Sustainable Growth
Driving Sustainable Growth KIT’s long-term strategic goal is to deliver sustainable returns to its Unitholders, through a combination of recurring distributions and steady capital appreciation Anchored By a growing portfolio of strategic infrastructure assets/businesses across a broad range of highl
Slide 17: Three-pronged growth strategy
Three-pronged growth strategy Stable cash flows and Keppel Acquisition organic growth Synergy Strategy The Trustee-Manager actively The Trustee-Manager, as part of the Keppel Group, is able The Trustee-Manager acquires and manages its existing portfolio to drive to draw upon the relationships, netwo
Slide 18: Additional Information
Additional Information Ixom
Slide 19: 2Q 2019: Distributable Cash Flows
2Q 2019: Distributable Cash Flows S$' 000 KMC City G as Basslink Ixom Waste & Water O thers G roup Profit/(loss) after income tax (19,257) 3,686 (112) 5,940 329 17,711 8,297 Add/(less): Reduction in concession / lease receivables - - - - 14,141 - 14,141 Non-cash finance cost 166 25 1,181 913 102 134
Slide 20: 2Q 2018: Distributable Cash Flows
2Q 2018: Distributable Cash Flows S$' 000 KMC City G as Basslink Waste & Water O thers G roup Profit/(loss) after tax (21,189) 3,935 (16,577) 451 19,636 (13,744) Add/(less): Reduction in concessions/lease receivables - - - 13,727 - 13,727 Non-cash finance cost 163 99 1,615 5 27 1,909 O ther non-cash
Slide 21: 1H 2019: Distributable Cash Flows
1H 2019: Distributable Cash Flows S$' 000 KMC City G as Basslink Ixom Waste & Water O thers G roup (4) Profit/(loss) after income tax (38,120) 11,431 (3,419) (4,796) 886 17,556 (16,462) Add/(less): Reduction in concession / lease receivables - - - - 28,238 - 28,238 Non-cash finance cost 329 84 2,365
Slide 22: 1H 2018: Distributable Cash Flows
1H 2018: Distributable Cash Flows S$' 000 KMC City G as Basslink Waste & Water O thers G roup Profit/(loss) after tax (40,065) 7,678 (21,545) 858 38,262 (14,812) Add/(less): Reduction in concessions/lease receivables - - - 27,411 - 27,411 Non-cash finance cost 323 196 3,280 11 54 3,864 O ther non-ca
Slide 23: Keppel Infrastructure Trust Structure
Keppel Infrastructure Trust Structure Keppel Capital Keppel Infrastructure Institutional and Public Investors The Trustee-Manager can leverage the The Trustee-Manager can leverage the scale and resources of a larger asset Sponsor‘s expertise and track record management platform in this industry ~82%
Slide 24: Portfolio Overview
Portfolio Overview Tuas WTE Plant
Slide 25: Distribution & Network
Description Customer and contract terms Primary source of cash flows Fixed margin per unit of gas sold, with Over 840,000 commercial and residential Sole producer and retailer of piped town gas fuel and electricity costs passed through customers Distribution & Network to consumer Basslink subsea int
Slide 26: Thank You
Thank You www.kepinfratrust.com Ulu Pandan Newater Plant
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