First Pacific Co. Ltd. · HKEX:142

First Pacific — First Pacific Co Ord — Q2 2022 Earnings Presentation

35 slides from First Pacific's earnings presentation, Aug 31, 2022

  1. Slide 1: First Pacific Company Limited August 2022

    Copyright © First Pacific Company Limited 31 August 2022. All rights reserved.

  2. Slide 2: Consumer Food Products, Infrastructure, Telecommunications, Natural Resources

    Consumer Food Telecommunications Infrastructure Natural Resources Products First Pacific has an First Pacific holds an First Pacific holds an First Pacific has an economic interest of 50.1% economic interest of 25.6% economic interest of economic interest of 31.2% in Indofood, 40.3% in ICBP, in PLDT

  3. Slide 3: Recurring Profit Rises 25% to Record High

    Recurring Profit Rises 25% to Record High Change in Recurring Profit (USD mln) 300 280 263.3  Contribution from operations rose 21% to a record high 9.8 2.9 1.8 1.1 0.5 1.5 260 36.2 $302.5 million vs. $249.2 million on improved performances 240 by all investee companies 7.1 x 11.0 220  PacificLigh

  4. Slide 4: Head Office Balance Sheet as of end-June 2022

    Head Office Balance Sheet as of end-June 2022 Outstanding Bonds  Investment-grade issuer credit ratings from S&P and Moody’s Principal Coupon Price 4.0 x 12.0 Term Maturity  S&P rating: BBB- with Stable outlook  Moody’s rating: Baa3 with Stable outlook US$350.0 mln 4⅜% 12.1 x 3.7 US$357.8 mln 4½%

  5. Slide 5: Investment Criteria & Strategies

    Investment Criteria & Strategies Investment Objectives  Geographic focus on emerging Asian economies  Create shareholder value by growing First Pacific’s  Industry focus on consumer foods, infrastructure, recurring earnings and dividends and increasing natural resource, and telecommunications the

  6. Slide 6: Diversified Investments, Strong Returns

    Roxas Holdings Diversified Investments, Strong Returns $19 mln (0.4%) Philex  Balanced weighting of mature and growth Group* $288 investments mln  Balanced weighting of different sectors (6%)  18 years of growth: Gross Asset Value grew at a compound annual growth rate of 9% from end-2003 to end-2

  7. Slide 7: 2021 ESG Report Extended to Include Indofood

    2021 ESG Report Extended to Include Indofood Proxy Advisor Ratings  With the publication of Indofood’s first Sustainability Report at end- May 2022 for fiscal 2021, First Pacific published its first-ever ESG Report ( for 2021) containing details from Indofood HS Sustainability Benchmark Index A+ 1s

  8. Slide 8: Indofood 1H 2022 Financial Highlights

    1H 2022 Financial Highlights Net Sales & Core Profit (USD mln) 8,000  Net sales rose 12% to record high IDR52.8 trillion vs. IDR47.3 6,926 trillion on sales growth led by Consumer Branded Products 7,000 division 6,000 5,237 5,136 5,414 5,583  Core profit rose 2% to record high IDR4.0 trillion vs.

  9. Slide 9: ICBP 1H 2022 Financial Highlights

    1H 2022 Financial Highlights Net Sales & Core Profit (USD mln) 4,500  Net sales rose 16% in Rupiah terms to a record high 4,000 3,960 IDR32.6 trillion vs. IDR28.2 trillion on growth led by 3,500 Noodles 3,186 2,990 3,000 2,657 2,688  EBITDA fell 6% to IDR6.7 trillion vs. IDR7.2 trillion on 25% hig

  10. Slide 10: PLDT 1H 2022 Financial Highlights

    1H 2022 Financial Highlights Service Revenues# & Telco Core Profit (USD mln) 4,000 3,508 3,763  Service revenues# rose 6% to record high ₱97.1 3,129 billion led by higher fixed line data and 3,000 2,892 broadband revenues 6.1 x 12.9 1,896 1,858  EBITDA* rose 8% to ₱50.5 billion on stronger 2,000 s

  11. Slide 11: Home Business Continues to Expand

    Home Business Continues to Expand Fixed Wireless Revenue Sources (PHP bln)  1H 2022 Home service revenues rose 24% to ₱28.1 billion on surging new home broadband installations  Gross fiber installations up 668,000 in 1H from end-2021, net fiber additions of 401,000 connections Data and Broadband D

  12. Slide 12: PLDT Network Is the Country's Best, Say Observers

    PLDT Network Is the Country’s Best, Say Observers Integrated Fixed & Wireless Network Architecture  Independent industry observers agree PLDT’s customer  Demand-driven 2022 capex budget of ₱85 billion (vs. earlier experience is the market’s best in both fixed and wireless guidance of at least ₱76-

  13. Slide 13: Sale and Leaseback of Towers for ₱77 billion

    Sale and Leaseback of Towers for ₱77 billion Sale and Leaseback of 5,907 Cell Towers Costs, Debt Reduced; Special Div to Shareholders  2,934 towers to be sold to a unit of EdgePoint for ₱35 billion  Tower portfolios sold for attractive EV/EBITDA multiple of 20x  2,973 towers to be sold to a unit

  14. Slide 14: Metro Pacific Investments

    14 FIRST METRO PACIFIC PACIFIC INVESTMENTS 47.5% MERALCO 100% MERALCO GEN POWER GENERATION 58% Water Hospitals -100% stakes 20% stake L Cc METRO LichT paw 53% 36% MP 7 “% Gy PACIFIC 2 waa METRO PACIFIC TOLLWAYS way HOSPITALS SCTEX NLEX Maynilad 19 Hospitals 100% —M ppp eof CAVITEX “= a 6 Radiotherap

  15. Slide 15: MPIC 1H 2022 Financial Highlights

    1H 2022 Financial Highlights Earnings Growth, Buybacks, and Sustainability  Contribution from investee companies rose 15% to ₱9.8  FY 2022 earnings growth from continuing economic billion vs. ₱8.5 billion on contribution growth led by the recovery driving higher demand for the services provided to

  16. Slide 16: 1H 2022 Financial Highlights & Outlook: Meralco

    1H 2022 Financial Highlights & Outlook: Meralco Distribution Revenues & Core Profit (USD mln) 1,600  Electric revenues rose 34% to ₱193.7 billion vs. ₱144.8 1,400 1,278 1,284 billion driven largely by 39% increase in generation, 1,177 1,223 1,200 transmission and other revenues to ₱150.4 billion vs

  17. Slide 17: 1H 2022 Financial Highlights & Outlook: Toll Roads

    Revenues & Core Profit (USD mln) 400 359 354 300 294 274 202 200 173 100 84 6.1 x 11.1 102 54 79 39 48 0 13.0 x 3.8 2018 2019 2020 2021 1H21 1H22 Revenues Core Profit 1H 2022 Financial Highlights & Outlook: Toll Roads  Revenues rose 26% to ₱10.5 billion on eased quarantine restrictions and higher t

  18. Slide 18: 1H 2022 Financial Highlights & Outlook: Water

    1H 2022 Financial Highlights & Outlook: Water Revenues & Core Profit (USD mln) 500 465 463  Maynilad revenues were flat at ₱11.2 billion as a result of 450 445 418 lower billed volume offset by higher effective tariffs as 400 commercial and industrial demand returned to growth 350  Core profit fel

  19. Slide 19: PacificLight Power 1H 2022 Financial Highlights

    1H 2022 Financial Highlights Recent P&L (USD mln) 1,000  Revenues doubled to S$1.2 billion versus S$550.8 million on the strength 863.7 of higher sales volume and electricity prices 800  EBITDA rose five-fold to S$177.3 million versus S$29.5 million 600  Core profit rose 100-fold to S$130.7 milli

  20. Slide 20: Philex 1H 2022 Financial Highlights

    1H 2022 Financial Highlights Operating Revenues & Core Profit (USD mln) 250  Operating revenue rose 7% to ₽5.4 billion vs. ₽5.1 200 171 212 158 billion on higher gold and copper prices, offset in 143 part by lower metal production  Cash production costs rose 7% to ₱592/ton vs. 150 100 4.8 x 11.9 1

  21. Slide 21: Earnings Outlook for Indofood and PLDT

    Indofood Earnings Seen Continuing Strong PLDT Sees Home Leading Growth  Earnings growth seen steady in 2022 and beyond on  Continuing strong demand growth for residential demand growth in Pinehill markets supported by fiber broadband leads to the Home business growing appetite for Indofood product

  22. Slide 22: Appendix

    Appendix Shareholder Information Selected Financial Data 21

  23. Slide 23: Valuation of First Pacific holdings

    At At 30 June 31 December 2022 2021 US$ millions Basis Indofood (i) 2,087.3 1,948.7 PLDT (i) 1,688.1 1,962.8 MPIC (i) 849.0 1,011.2 Philex (i) 142.3 243.8 PXP Energy (i) 53.6 67.0 FP Natural Resources (ii) 18.9 14.6 Head Office - Other assets (iii) 91.7 98.8 - Net debt (1,318.8) (1,322.2) Total valu

  24. Slide 24: Contribution to Group profit and Turnover

    Contribution to Turnover Group profit(i) For the six months ended 30 June 2021 2022 2021 2022 US$ millions Indofood 3,293.4 3,639.8 122.9 124.4 PLDT(ii) - - 71.2 73.0 MPIC 448.5 464.8 49.9 59.7 FPM Power 412.9 863.7 2.8 39.0 Philex(ii) - - 6.9 9.8 FP Natural Resources 71.2 103.6 (4.5) (3.4) Contribu

  25. Slide 25: Head Office Net Debt and Cash Flow

    Cash and cash US$ millions Borrowings equivalents Net debt At 1 January 2022 1,435.2 (113.0) 1,322.2 Movement 22.2 (25.6) (3.4) At 30 June 2022 1,457.4 (138.6) 1,318.8 Head Office cash flow For the six months ended 30 June 2021 2022 US$ millions Dividend and fee income 68.0 66.3 Head Office overhead

  26. Slide 26: Consolidated Net Debt and Gearing

    Consolidated At 31 December 2021 At 30 June 2022 Net Total Gearing(ii) Net Total Gearing(ii) US$ millions Debt(i) Equity (times) Debt(i) Equity (times) Head Office 1,322.2 1,336.5 0.99x 1,318.8 1,213.1 1.09x Indofood 2,263.2 5,998.2 0.38x 2,736.0 6,040.2 0.45x MPIC 3,819.5 4,547.2 0.84x 3,904.5 4,31

  27. Slide 27: Turnover by Geography

    US$ millions 2018 2019 2020 2021 1H21 1H22 Indonesia 4,691.5 4,859.2 4,770.2 5,450.2 2,608.7 2,896.1 Philippines 1,367.6 1,439.2 965.2 922.4 509.1 553.5 Singapore 780.3 765.3 622.7 1,398.8 519.7 911.2 ME, Africa & Others 353.5 477.3 772.4 1,331.8 588.5 711.1 Australasia 40.4 44.0 - - - - Total 7,233

  28. Slide 28: Over a Decade of Strong Market Performance

    $152 mln bond tender $215 mln Bond ($69 mln of 2010 7-yr) Redemption Over a Decade of Strong Market Performance ($83 mln of 2010 10-yr) (2012 7-yr)  First Pacific has issued a total of six bonds totaling over $2 billion in the decade from 2010 $220 mln bond tender $252 mln Bond  Four of those issu

  29. Slide 29: Board of Directors and Management

    John W. Ryan Joseph H.P. Ng Manuel V. Pangilinan Christopher H. Young Ray C. Espinosa Associate Director Assoc. Director & CFO Managing Director & CEO Executive Director Associate Director Richard P.C. Chan Peter T.H. Lin Stanley H. Yang Marilyn A. Victorico P. Vargas Exec. Vice President, Exec. Vic

  30. Slide 30: Shareholder Breakdown

    Shareholder Breakdown Minority Shareholders Mln Shares % Stake 1 Brandes Investment Partners 276 6.5% 2 Lazard Asset Management 141 3.3% 3 Capital International 107 2.5% 4 Letko, Brosseau & Associates 81 1.9% All 5 Dimensional Fund Advisors 75 1.7% Others 6 Seafarer Capital Partners 72 1.7% 16.7% 7

  31. Slide 31: Concentration, Directors' Interests and Investor Profile

    Concentration Directors’ Interests Options Unvested (vested & Shares The Share Awards unvested) Rest Anthoni Salim NED, Chairman 1,925,474,957 - - 13% Top 10 Manuel Pangilinan ED, CEO 70,493,078 - - 6.5 x45% Next 25 6.5 of all shares Chris Young ED, CFO 6.5 8,385,189 x 16 - - 13% Axton Salim NED - -

  32. Slide 32: First Pacific Group Structure and Economic Interests

    FPC’s FPC’s Economic Economic 25.6% 25.6% Interest Interest 45.1% (%) (%) 50.1% 20.0% 40.3% 20.5% 40.3% Pinehill 53.9% 45.1% 36.1% 23.8% 29.9% 20.1% 17.9% 45.0% 13.1% 34.3% 50.8% 9.0% 16.1% 46.2% 42.4% 46.2% 32 Data as at 30 June 2021.

  33. Slide 33: Notes

    Notes

  34. Slide 34: Disclaimer

    This presentation is provided for information purposes only. It does not constitute an offer or invitation to purchase or subscribe for any securities of First Pacific or any of its subsidiaries or other companies it is invested in, and no part of this presentation shall form the basis of or be reli

  35. Slide 35: First Pacific Company Limited contact details

    First Pacific Company Limited (Incorporated with limited liability under the laws of Bermuda) 24th Floor, Two Exchange Square 8 Connaught Place, Central Hong Kong Tel: +852 2842 4306 Email us at info@firstpacific.com firstpacific.com

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