Annual General Meeting Presentation by CFO Mr Chan Hon Chew 23 - PowerPoint PPT Presentation

Annual General Meeting Presentation by CFO Mr Chan Hon Chew 23 April 2019

Transforming for Growth  Cleane ner energy gy & renewabl bles Energy Urban living Offshore & Marine  Smart t citi ties & quality real estate  Senior living Connectivity Property Keppel Solutions Opportunities  Floating infr frastructure & Infrastructure data centr ntre parks Clean Asset  M1 trans nsfor formation environ onments nts manageme ment Investments nts 2

Financial Performance Key ey high ghlights Net profit • ROE was 8.3% 944 S$9 S$944m • Free cash inflow of S$515m in 815 FY 2018 vs S$1,802m in FY 2017 S$m FY 2018 net profit up 382% from S$196m for 619 i 944 • Net gearing was 0.48x at FY 2017 end-2018 vs 0.46x at end-2017 196 0 15.0 cts 15. cts/share re FY 2017 FY 2018 S$m FY 2017 FY 2018 Proposed final cash dividend will bring total Offshore & Marine (826) (109) FY 2018 dividends to 30.0 cts/share Property 650 938 Infrastructure 134 169 Investments 238 (54) Total 196 944 i One-off global resolution & related costs 3

Offshore & Marine LNG vessels at Keppel Shipyard, Singapore

Offshore & Marine Key ey high ghlights Net profit • FY 2018 net loss including RIDs down 47% ii yoy S$39m S$3 FY 2017 FY 2018 • Made S$167m additional 8 provision for losses on semis for 0 (117) 4Q 2018 net profit excluding RIDs (205) Sete and S$32m impairments on (109) (2) other assets in 4Q S$m S$6m S$6 • Wrote back S$96m of provisions (619) for claims in 4Q FY 2018 net profit excluding RIDs (826) ii Comparison excludes one-off global resolution I Includes contributions from Floatel, Seafox, Dyna- Mac, etc. & related costs in 2017 5

Offshore & Marine Net orderbook i 4.3 3.9 0.3 0.1 0.9 Secured new contracts of LNG and scrubber projects 0.7 ~S$1.7b in 2018 worth over S$600m secured in 2018 S$b 2.1 2.2 • Received LNTP iii to commence • Net orderbook of S$4.3b as at 0.2 0.5 end-2018 early conversion works for Gimi 0.7 0.5 FLNG 0 End-2017 End-2018 • Won 65 scrubber retrofitting jobs Newbuild jackups Newbuild semis FPSOs/FLNGs Specialised vessels ii Others i Excludes semis for Sete iii Limited Notice to Proceed ii Includes modification, upgrading, fabrication and rig repairs 6

Property Estella Place, Ho Chi Minh City, Vietnam 7

Property • Completed 7 acquisitions totalling Net profit ~S$0.8b in 2018 • Including residential sites 938 67 in China & Indonesia, and increased stakes in Saigon 650 278 Sports City and a Singapore 67 1 retail mall Property FY 2018 net profit up 44% yoy 213 S$m 611 Supported by en bloc sales and divestment gain • Completed 10 divestments/en bloc 369 from Beijing project sales totalling ~S$1.7b in 2018 0 (18) • Including residential projects FY 2017 FY 2018 and a commercial project in China, and a stake in a Property trading Property investment Vietnam company Hotels/Resorts REIT 8 8

Property Home sales 5,480 - 265 Residential landbank of about Commercial portfolio with total 380 4,440 50,000 units GFA of 1.5 million sm 1,110 780 350 • Sold 4,440 units in 2018, with total • 60% of commercial GFA under 160 Units sales value of ~S$1.8b development 910 • Sold 5 development projects • Acquired a completed commercial 3,725 equivalent to ~11,500 units sold property in Haidian District, Beijing, 2,240 en bloc in 2018 China’s IT hub 0 • Sale of 8,410 overseas units worth FY 2017 FY 2018 ~S$2.7b recognisable from 2019-21 China Vietnam Singapore Indonesia India • ~19,000 units launch-ready from 2019-21 9

Capturing Opportunities in China Focused on long-term growth Acq cquir uired sites es in n markets with h robus ust sup upply ply-demand nd dynam amics ics 3 regio ions + + 1 city y absorption rate i (end Home supply nd-2018) Estimated Jing-Jin-Ji City absorption rate Population: 90 million (months) GDP: US$1,100b Nanjing 5.2 Yangtze River Delta Population: 140 million Chengdu 5.1 GDP: US$3,080b Sino-Singapore 5.6 Chengdu Tianjin Eco-City Greater Bay Area Population: 16 million Population: 70 million GDP: US$210b i Based on home supply with pre-sales permit vs average GDP: US$1,470b monthly demand over the past 5 years Sources: China Real Estate Index System, REALLYDT & Kaicheng Real Estate 10

Infrastructure Artist’s impression of IndoKeppel Data Centre 1 in Bogor, Indonesia

Infrastructure Net Profit • Secured S$180m contracts in 2018 for energy & environmental infrastructure 169 • KMEDP i over 80% completed; 76 134 HKIWMF ii design & engineering 10 on track 15 S$m FY 2018 net profit up 26% yoy • Keppel Electric growing clientele 109 117 across commercial, industrial & Supported by higher contributions from data centre, environmental infrastructure and infrastructure household sectors 0 service businesses (24) • Keppel Logistics expanding FY 2017 FY 2018 omnichannel logistics business Keppel Infrastructure Data centres i Keppel Marina East Desalination Plant Logistics & others ii Hong Kong Integrated Waste Management Facility 12 12

Infrastructure Ex Expan andin ing data a cent centre portfolio lio Net lettable area (sq ft) 22 data cen 22 entre res 1.7 mil Spanning 14 cities in Asia-Pacific & Europe 1.4 mil 1.4 mil 0.9 mil ~S$2 ~S $2.7 .7b 0.6 mil Combined portfolio value i of data centres completed and under development 2014 2015 2016 2017 2018 i Includes estimated development costs for 3 projects currently under development Floating data centre parks High-rise green data centres 13

Investments Maitland Promenade I office property in Orlando, Florida, U.S.

Investments • Keppel Capital announced Net profit acquisitions of over S$2.0b and 238 closed AAMTF ii III at US$1.1b 97 • Keppel Urban Solutions entered 46 S$m MOU to develop smart IoT city in 120 Wuxi, China 48 21 22 FY 2018 net loss due mainly to share of 73 56 0 • Tianjin Eco-City master developer losses from KrisEnergy and impairment (80) (119) sold three land plots iii for RMB3.4b of investment in an associated (53) company (47) (54) FY 2017 FY 2018 i Share of associated companies’ results Asset management KrisEnergy i ii Alpha Asia Macro Trends Fund M1 i SSTEC i iii Profit from land plot sold to Keppel Land will be Others Write-back/(impairment) of recognised when units are sold and completed by Keppel an associated company Land 15

Pursuing Growth Opportunities LNG solutions Connectivity Renewable energy Smart sustainable cities Senior living 16

This presentation may contain forward-looking statements which are subject to risks and uncertainties that could cause actual results to differ materially from such statements. Such risks and uncertainties include industry and economic conditions, competition, and legal, governmental and regulatory changes. The forward-looking statements reflect the current views of Management on future trends and developments. 17