Keppel Infrastructure Trust · SGX:A7RU
Keppel Infrastructure Trust — Nomura ASEAN Virtual Conference 2021
26 slides from Keppel Infrastructure Trust's conference presentation, Mar 2, 2021
Slide 1: Nomura ASEAN Virtual Conference 2021
Nomura ASEAN Virtual Conference 2021 2 March 2021
Slide 2: Outline
Outline 1 Overview 3 2 FY 2020 Financial Results 8 3 Acquisition of Philippine Tank Storage International (Holdings) Inc. 16 4 Additional Information 21 2
Slide 3: Overview
Overview Ixom
Slide 4: Overview of KIT
Overview of KIT • The largest diversified Business Trust listed in Singapore with a portfolio of strategic businesses and assets that provide essential products and services • Assets under management of approx. $5.1b1 • Long-term growth and sustainable cash flows supported by defensive evergreen bus
Slide 5: Geographical Presence
Geographical Presence To use map from AR, waiting for Ariel to share file ENERGY WASTE & WATER 5
Slide 6: Well-Diversified Customer Base and Reputable Off-takers
Well-Diversified Customer Base and Reputable Off-takers Customers & Off-takers Highlights More than 860,000 residential, City Gas ✓ Sole producer and retailer of town gas in Singapore commercial and industrial customers ✓ Sole manufacturer and provider of liquefied chlorine in Australia, as well as
Slide 7: Portfolio Breakdown
Portfolio Breakdown By Businesses and Assets (%) By Geography (%) 20.0 Waste 11.7 & Water 8.4 44.7 55.3 $5.1 billion1 16.7 $5.1 billion1 Distribution 15.1 & Network Energy 3.7 24.4 City Gas Basslink Singapore Ixom Philippine Coastal KMC Waste & Water Australia, New Zealand, Philippines and other cou
Slide 8: FY 2020 Financial Results
FY 2020 Financial Results City Gas
Slide 9: Key Results Highlights
Key Results Highlights Grew FY 2020 Group EBITDA1 by 16.9% YoY and free cash flow to equity (FCFE) 2 by 19.6% YoY Achieved 2H 2020 Group EBITDA of $174.6m1, bringing FY 2020 EBITDA to $376.0m1, up 16.9% YoY. FCFE2 for 2H 2020 was $112.4m, bringing FCFE2 for FY 2020 to $225.7m, up 19.6% YoY. Achieved
Slide 10: Operational Performance
Operational Performance Group EBITDA ($m) Operational Cash Flows ($m)2 17% 376.01 Waste & Water Energy 255.3 DC One City Gas 19% 321.7 Ixom 214.7 35% 23% 11% 16% 129.0 22% 18% 174.61 157.3 110.8 38% 30% 19% 18% 18% 14% 17% 19% 34% 29% 33% 29% 2H 2019 2H 2020 FY 2019 FY 2020 2H 2019 2H 2020 FY 2019 F
Slide 11: Business Updates - Distribution & Network
Business Updates - Distribution & Network Operational Cash Flows (OCF) ($m) City Gas City Gas • Customer base grew 0.8% YoY to 866,000 as at end-Dec 2020 • FY 2020 recorded slightly lower gas demand compared to FY 2019, due mainly to lower consumption 2% 46.0 47.0 from Commercial & Industrial (C&I)
Slide 12: Business Updates - Energy and Waste & Water
Business Updates - Energy and Waste & Water Operational Cash Flows (OCF) ($m) Energy 11% 46.1 Keppel Merlimau Cogen Plant 41.7 • Achieved 98% annual contracted availability • Contracted availability was slightly impacted by unplanned maintenance expenses 31% 24.5 18.7 in 2H 2020 • KMC has no tariff
Slide 13: Finance and Capital Management
Finance and Capital Management Keppel Seghers Ulu Pandan NEWater Plant
Slide 14: Focused on Growing FCFE
Focused on Growing FCFE Free Cash Flow to Equity (FCFE) Stable Distribution (cents)1 and Payout Ratio 3.72 3.72 3.72 3.72 3.72 FCFE Payout ($m) Ratio (%) 1.86 1.86 1.86 1.86 1.86 250 225.7 100 200 188.7 1.86 1.86 1.86 1.86 1.86 80 149.5 144.2 150 141.2 FY 2016 FY 2017 FY 2018 FY 2019 FY 2020 60 1H 2
Slide 15: Balance Sheet and Capital Management
Balance Sheet and Capital Management As at 31 Dec 2020 Debt Repayment Profile Debt Breakdown by Currency Balance Sheet ($m) > 5 yr < 1 yr Cash 581 20.1% 29.7 % Borrowings 2,161 A$53.5% S$46.5% Net debt 1,580 Total assets 4,930 1-5 yrs Total liabilities 3,435 50.2% Group EBITDA1 376 Amount Maturity/
Slide 16: Acquisition of Philippine Tank Storage International (Holdings) Inc.
Acquisition of Philippine Tank Storage International (Holdings) Inc. Philippine Coastal Storage & Pipeline Corporation
Slide 17: Key Highlights of Philippine Coastal Storage & Pipeline Corporation
Key Highlights of Philippine Coastal Storage & Pipeline Corporation Storage Capacity 2019 EBITDA 2014-2019 EBITDA CAGR 6 million barrels ~S$40 million1 5.8% by early-2021 USD-denominated Products Stored Blue Chip Customers “take-or-pay” Contracts • Diesel • Gasoline Government Agency No exposure to
Slide 18: Key Merits
Key Merits Strategically aligned with Key attributes of Philippine Coastal KIT’s investment focus Philippine Coastal is the largest petroleum 1 products storage facility in the Philippines Strengthening Long-term KIT’s stable cash 2 Strategically located in the Subic Bay Freeport ‘Distribution & flo
Slide 19: Three-pronged Growth Strategy
Three-pronged Growth Strategy Value Operational Focused Creation Excellence Acquisition • Generate and grow cash flows • Achieve operational excellence • Seek leading businesses and from KIT’s well-diversified and asset optimisation to extract assets with the following portfolio of businesses and fu
Slide 20: Thank You
Thank You Constituent of: www.kepinfratrust.com MSCI Singapore FTSE ST Large Connect with us on: Small Cap Index & Mid-Cap Index Keppel Merlimau Cogen Plant
Slide 21: Additional Information
Additional Information Keppel Seghers Tuas Waste-to-Energy Plant
Slide 22: Free Cash Flow to Equity
Free Cash Flow to Equity 2H 2020 2H 2019 +/(-) FY 2020 FY 2019 +/(-) S$’000 S$’000 % S$’000 S$’000 % Distribution & 67,572 54,991 22.9 136,009 99,941 36.1 Network City Gas 18,036 19,720 (8.5) 47,047 45,982 2.3 Ixom 49,536 33,247 49.0 88,962 49,2811 80.5 DC One2 - 2,024 (100.0) - 4,678 (100.0) Energy
Slide 23: Driving Growth
Driving Growth Deliver recurring distributions and growth over the long term Anchored By acquiring strategic businesses and assets across a broad range of highly defensive industries Benchmarks High barriers to entry Provider of essential Creditworthy off- Defensive and Jurisdictions with with a dom
Slide 24: Distribution & Network Portfolio Overview
Portfolio Overview (1) Description Customer and contract terms Primary source of cash flows Fixed margin per unit of gas City Gas Sole producer and retailer of Over 860,000 commercial and sold, Singapore piped town gas residential customers with fuel and electricity costs passed through to consumer
Slide 25: Energy Portfolio Overview
Portfolio Overview (2) Description Customer and contract terms Primary source of cash flows Keppel Capacity Tolling Agreement with Energy Merlimau 1,300MW combined cycle gas Keppel Electric until 2030 with option Fixed payments for meeting Cogen turbine power plant for 10-year extension (land lease
Slide 26: Important Notice
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 to purchase or subscribe for any units (“U
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