Shell Pilipinas Corporation · PSE:SHLPH

Shell Pilipinas — Pilipinas Shell Petroleum — Q1 2017 Earnings Presentation

11 slides from Shell Pilipinas's earnings presentation, May 2017

  1. Slide 1: Q1 2017 Analysts and Investors Briefing

    Pilipinas Shell Petroleum Corporation Q1 2017 Analysts and Investors Briefing May 2017 Pilipinas Shell Petroleum Coproration

  2. Slide 2: Disclaimer

    Disclaimer NOT FOR PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES By attending the meeting where this presentation is made, or by reading the presentation slides, you agree to be bound by the following limitations: This document is highly confidential and is being

  3. Slide 3: 1Q16 vs 1Q17: 27% increase in net income

    1Q16 vs 1Q17 27% Increase in Net Income boosted by retail growth, improved refinery reliability and margins, and inventory holding gain Net Incom e & CFFO (PHPm m ) 7.3% 3,500 6.9% 8% Net Incom e Margin (%) 3,000 7% 2,500 3,023 6% 2,892 2,836 5% 2,000 2,274 3.0% 4% 1,500 3% 1,000 1,380 2% 1,172 29%

  4. Slide 4: EBITDA and EBITDA adjusted for COSA

    1Q16 vs 1Q17 EBITDA and EBITDA adjusted for COSA 5,000 4,467  2% retail sales growth EBITDA adjusted for COSA (PHPmn) 4,500 4,000 3,692  Increased premium fuel penetration 3,500  Strong refining margins 3,000  Refinery reliability 2,500 2,000  Overall 12% decrease in sales 1,500 volume 1,000 

  5. Slide 5: ROACE increased to 8.3%; gearing down to 23%

    1Q16 vs 1Q17 ROACE increased by 0.6% to 8.3% due to higher net income in 1Q17; Gearing down to 23% Borrowings and LTD vs Gearing Ratio Ave Capital Employed vs ROACE Borrow ings & LTD (PHPBn) 27% 8.3% 10.0% 25 30% 50 7.7% 23% Employed(PHPBn) 8.0% Gearing Ratio 20 25% 40 Ave Capital ROACE 20% 15 6.0%

  6. Slide 6: Sources and Uses of Cash and Use of IPO Proceeds

    Sources and Uses of Cash and Use of IPO Proceeds PHP’MN Sources and Uses of Cash 800 733 UseofofIPO Use IPOProceeds Proceeds 3,000 2,836 1,002 700 2,372 193 2,500 538 600 Amount in PHP'Mn 2,000 1,834 500 1,500 400 305 1,000 300 540 183 500 200 305 136 - 100 183 136 CFFO CFFI FCF Debt and Increase in

  7. Slide 7: Retail

    1Q16 vs 1Q17 Retail Retail Fuels Volumes Sold Retail fuel offering brands (by volume) 2% 1Q17 Other branded products in 1Q17 vs 1Q16 10% 26% Premium Fuel Penetration 63% 26% from 25% in 1Q16 Retail Sales Volume Retail Stations Sales volume (ML) 995 Retail Stations 453 CODO 542 DODO 756 744 1Q16 1Q17

  8. Slide 8: Non-Fuels Retailing

    1Q16 vs 1Q17 Non-Fuels Retailing Double digit growth 16 new Shell Select Total of 81 Shell Select 6 new Deli2Go Total of 25 Deli2Go 17 new Shell Helix Oil Change+ outlets Total of 130 Shell Helix Oil Change+ outlets Pilipinas Shell Petroleum Corporation 8 Source: Company information

  9. Slide 9: Commercial Manufacturing

    1Q16 vs 1Q17 Commercial Manufacturing Commercial Product Volumes Sold Plant Reliability Decline driven by 11% industry but Shell’s Higher in 1Q17 vs 1Q16 market share continues to grow Plant Reliability Commercial Portfolio Refining Margins 2% 1Q17 2% Higher Refining Margins 12% Key spot and term co

  10. Slide 10: In Summary

    1Q16 vs 1Q17 In Summary 1Q Performance and way forward Growth Areas  27% Increase in Net Income boosted by retail growth, improved refinery reliability and margins, and inventory holding gain  Strong cash flow from operations  Solid returns on capital employed  Double digit growth on NFR Key Pro

  11. Slide 11: Slide 11

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