Keystone Infra Ltd · TASE:KSTN
Keystone Infra — Q1 2025 Earnings Presentation
27 slides from Keystone Infra's earnings presentation, May 27, 2025
Slide 1: Keystone Infra Ltd. Q1 2025 Financial Report
Keystone Infra Ltd. Q1 2025 Financial Report
Slide 2: Legal Disclaimer
Legal Disclaimer This presentation is an English translation of the Hebrew version of Keystone Infra Ltd.'s presentation for the First Quarter of 2025 that was published on May 27, 2025 (the "Hebrew Version"). The Hebrew Version is the binding version and the only version having legal effect. The En
Slide 3: Keystone by the Numbers
Keystone by the Numbers 1 Hagit Power Plant, Elyakim Junction Approx . $ Total Assets 1 billion Approx. $ 80 million Avg. Annual Cash Inflows Forecast from cash-generating assets until 20322 Approx. $ 54 Cumulative Dividend million % Approx. 6 LTM Cash Yield 3 Approx. 36 LTV A/A+ Rating; Company/Bon
Slide 4: Double-Digit Growth in Equity and Dividends
Double-Digit Growth in Equity and Dividends Doubling Equity by 20301 Equity Development (in $ millions) Cumulative Dividend2 (in $ millions) 9% 2x LTM Return on Equity (Pre-Tax)3 Approx. 6.4% Continued Value Creation Through 581 589 54 Annual Dividend Yield4 (Approx. 1.6% Quarterly Yield) Developmen
Slide 5: Business Segments
Business Asset Value Distribution by Platform Segments Management of Specialized Infrastructure Platforms 66.3% 26.3% 3.6% 3.3% 0.5% in Core Demand Areas Transportation Energy Water Renewables Communication ~1 44.8 % Egged 12.6% IPM VID - Water Sunflower Cinturion 13.0 % Egged Real- 10.1% Ramat Hova
Slide 6: Continued Strategy: Growth, Enhancement & Global Expansion
Continued Strategy: Growth, Enhancement & Global Expansion K Power K Move K Comm K Green IPM refinancing Enabling increased sales Light rail winning the tender for operating the Submitted a proposal for the acquisition Completed acquisition of solar to private customers via bilateral Green and Purpl
Slide 7: 90% of Assets Provide Predictable Expected Annual Cash Inflows
90% of assets Provide Predictable 1 Expected Annual Cash Inflows Cash Inflows from Income-Generating Assets2 Approx. RUN RATE 80 $ millions 27% 116 128 135 Avg. Annual Cash Inflows Total ROI3 85 80 75 Forecast 2 64 65 34 14% 47% 2025 2026 2027 2028 2029 2030 2031 2032 Weighted IRR4 Total Return3 VID
Slide 8: Disciplined Financial Management
Disciplined Financial Debt (in $ millions) 31.3.2025 31.12.2024 Management Series A Bonds Fixed weighted interest rate of approximately 1.3%, 175 174 CPI-linked, Duration 3.75 years Series B Bonds Fixed weighted interest rate of approximately 6.1% 121 80 (non-linked), Duration 5.0 years Maintaining
Slide 9: Key Financial Results
Key Financial Results Income Statement Highlights Q1 2025 Q1 2024 (in $ thousands) Highlights: Cash inflows1 Changes in Fair Value 7,608 15,276 23,932 (4,664) 22,884 19,268 19% Total Revenue Management and operating expenses2 (3,263) (3,774) Growth in Total Revenue, YoY Operating Profit 19,621 15,49
Slide 10: Transportation
Transportation Egged I Eranovum I Drive Group 10
Slide 11: Transportation | Key Assets
Value and returns Transportation | Key Assets of yielding assets1 (in $ millions and % respectively) 17% 13% IRR2 IRR2 134% 35% 599 17 44 443 Egged Group Global Transportation Group and Egged Properties - strategic real-estate assets 19 19 582 443 25 Drive Group Highways and toll roads maintenance a
Slide 12: Keystone Egged Partnership
Keystone Egged Partnership Approx. Post Option Exercise Partnership Structure Keystone Holdings: 63% - Through indirect ownership $270 millions Total Egged distributions to shareholders Approx. $ 158 Keystone's Investment Scope million Keystone Teachers and Educators' Fund of which approx.$169 milli
Slide 13: Egged Group
Egged Group Egged Group Valuation and Returns Global Transportation Group 24% 1.67 $B 270 $M 5 Synergetic and Growing Business Segments 1.3 $B 1.4 $B 55% Public transportation in Israel 2 10/22 03/25 23% Egged Properties (Real Estate) Acquisition Cost / Fair Value Approximately 1.4 Cash Distribution
Slide 14: Egged Group: First Quarter Results
Egged Group: First Quarter Results Consistent growth in revenues and profitability Continued revenue mix optimization through Revenue EBITDA2 (in $ millions) (in $ millions) competitive tender wins 34% 38% 5% 389 7% 23% 23% 372 66% Q1 2024 62% Q1 2025 86 8% 8% 3% 4% 81 3% Q1 24 Q1 25 Q1 24 Q1 25 Pub
Slide 15: Real Estate Platform
Real Estate Platform North Significant potential for value appreciation Haifa and the Krayot Nof Galil $ ~324 million ~380 dunams 23 Jerusalem Fair value of land area Prime location properties Jerusalem Beit Shemesh Including 2 properties purchased and realization of 50% in an Mishmar David addition
Slide 16: Drive Group
Drive Group Operation and Maintenance of Roads, including Highway 6 and the Carmel Tunnels1 Keystone Holdings: 21.3% Revenue1 EBITDA1 Growth Drivers (in $ millions) (in $ millions) 36 Competing in BOT Tenders as Operator or 9 Franchisee 32 7 Winning Bids for Operation, Maintenance, and Mobile Patrol
Slide 17: Eranovum
Eranovum 1 Strategic deployment of charging stations in key locations in Europe Keystone Holdings: 49% ~1,000 Active charging points ~ 961 in Spain and the rest in Belgium and France Growth Drivers Focus on revenue growth in electric vehicle demand areas 1,900 2,100 Charging points under Additional
Slide 18: Energy
Energy IPM I Ramat Hovav I Hagit I Sorek 18
Slide 19: Energy | Key Assets
Energy | Key Assets Value and returns of yielding assets (in $ millions and % respectively) 67% IPM 401 8% IRR3 IPM 450 MW 136 241 Hagit Hagit 660 MW 29% IRR3 Ramat Hovav 1,195 MW 265 Ramat Hovav ~ 900 MW Sorek under construction1 28% IRR3 Cost at 03/25 acquisition date Hagit Power Plant, Elyakim Ju
Slide 20: IPM Power Plant
IPM Power Plant Recent Developments Keystone Holdings: 34.3%1 Revenue EBITDA 3 Quarterly Results (in $ millions) 450 (in $ millions) The increase in revenues and EBITDA MW is driven by higher availability following heavy maintenance Combined cycle conducted in the prior year and revenue growth from
Slide 21: Ramat Hovav and Hagit Power Plants
Ramat Hovav Hagit Recent Developments Quarterly Results: Power Plant Power Plant The decrease in revenues and EBITDA stems from reduced availability due to malfunctions in some units, changes in operating regime, and the impact of the Electricity Authority's decision on supplementary tariff limitati
Slide 22: Renewables
Renewables Sunflower Sunflower, Poland 22
Slide 23: Sunflower - Renewables
Sunflower - Renewables Revenue (in $ millions) 13 A Publicly Traded Company Operating in the Renewable Energy 9 Sector in Poland, Israel, and the U.S. Keystone Holdings: 53.24% Q1 24 Q1 25 EBITDA1 Poland Israel (in $ millions) 5 operational wind farms, with a total 193 rooftop solar systems with a c
Slide 24: Water & Communication
Water & Communication Water desalination VID I Cinturion 24
Slide 25: VID and Cinturion
VID Value and returns Revenue1 (in $ millions) CINTURION of yielding assets Water Desalination Plant in Ashkelon (in $ millions and % respectively) 26.5 27.3 Communication Keystone Holdings: 50% 7% Optic Fiber System Installation IRR 2,3 Project Spanning 20,000 km, in initiation stage3 23% 120 Q1 24
Slide 26: Comprehensive Value Strategy
Comprehensive Value Strategy Balancing growth, stability and Shareholder Returns Cash inflows Unlocking Shareholder Financial Maximization Value Rewards Strength Active asset management Structured Growth Strategy Quarterly Dividend Policy Optimization of debt structure Development of growth Drivers
Slide 27: Thank You!
Thank You! K KEYSTONE