Keppel Infra Tr New Unit

Good morning, everyone. Welcome to the FY25 Results Audio Webcast for Keppel Infrastructure Trust, or KIT. I'm Marilyn from the Keppel IR and Sustainability Team. Let me introduce the KIT Management Team. We have with us this morning, CEO, Mr. Kevin Niu, CFO, Mr. Raymond Bay, and Director of Portfolio Management, Mr. Kan Chun Sa, They will be making a presentation that will cover KIT's FY25 highlights and business strategy, followed by the FY25 business and financial update. Please leave your questions for the Q&A session at the end of the presentation. For analysts who are joining us on the MS Teams platform, please check now that you're on mute before we start the presentation. I will now hand the time over to Kevin. for the presentation. Kevin, please.

All right. Thanks, Madeleine. Good morning, everyone, and thank you for joining us today. 2025 marks the 10th year of KIE's trading commencement as an enlarged trust, and we are glad to report a strong KIE unit order return of 36% in the last 10 years. With more than 18 years of infrastructure investment and management experience, KIE has built a strong track record and continues to grow through acquisitions and veteran relations. We have accumulated a portfolio of very attractive assets that are essential to our daily lives. We are the sole producer and retailer of pipe town gas in Singapore. We supply 13% of commercial power in Singapore. We produce more than 20% of the drinking water in Singapore as well. of global subsea cables by length. As at 31st December 2035, KID's AUM stood at approximately 9.1 billion. This is anchored by essential businesses and assets in developed markets across four segments, namely energy transition, environmental services, distribution and storage, and digital infrastructure. The next slide. TID's portfolio is well-positioned to capture tailwinds driven by long-term structural trends of energy transition, digitalization, and real-time urbanization. Our strategy is focused on essential infrastructure that provides stable cash flows and has long-term growth potential. Our assets are located in developed markets of Asia Pacific and Europe, where there are strong legal and regulatory frameworks in place. And last but not least, there are in sectors where we have full regional expertise, either in TAPL or in partnering for experienced local teams on the ground. Overall, 2025 was a good year for KIT unit holders. We reported DI of $249.5 million for the year, which is an increase of 24% year-on-year. We achieved total unit holder return of over 17% for the year. We continue to add value to the trust, having unlocked over $300 million in net proceeds from capital recycling and deployed $120 million to acquire GMG, marking our first foray into the digital infrastructure segment. We have the financing flexibility to utilize the remaining proceeds of about $180 million and have the debt headroom for further cooperative acquisitions. As at the end of 2025, the giving levels and ICR for KIT remain strong at 39% and 7.6 times respectively. KIT received two industry awards last year, and our appreciation goes out to the Edge Singapore and AusChamp Singapore for these accolades. KIT was named the overall sector winner and recognized as a top performer in shareholder returns over the past few years at the Edge Singapore Billion Dollar Club Awards 2025. This achievement reflects our sustained focus on long-term value creation for our union holders. At the AusChem Singapore-Australia Business Alliance Award 2025, KIT was recognized as a We are declaring a DPU of 1.97 cents for the second half of 2025, and this will be paid on 20th February 2026. This aggregates to the full year 2025 DPU of 3.94 cents, which gives an implied yield of 8% based on the year and closing unit price of 49 cents for 2025. Looking back on the track record here, this The chart on the left shows illustratively the income profile for the DI from initial portfolio without acquisition versus the charts on the right that shows the actual report of the DI to unit orders. The green bars represent We have also grown our Evergreen businesses within the initial portfolio. For instance, City Energy accounts for 22% of DI in FY 2018 but contributes more than 60% of the initial portfolio DI in FY 2025. Our focus is to deliver resilient cash flows to union holders through active portfolio management to strengthen portfolio constitutions anchored by essential businesses bearing cash flows that are very defensive against market disruptions. This is how we managed to maintain our DTU through COVID-19, which is one of the most significant market disruptions in the last 10 years. Next slide. KIT's portfolio of essential businesses and assets provides products and solutions for which demand remains steady because of economic cycles. These are business strategies that we look to drive the next stage of value creation for KIT. First, portfolio cash flow stability remains a key priority, and we will continue with our proven capital recycling approach of we will employ active capital management to support sustainable distributions and continued growth in unit holder returns. With these strategies in mind, we have online specific objectives and areas to share with our unit holders. As an active manager, we will continue to evaluate our portfolio on a of concession assets. The focus on new acquisition is expected to be on energy transition, digital infrastructure and environmental solutions. This is in line with the recent Currently, we have 180 million of divestment proceeds remaining from the sale of living coastal and ventura for immediate redeployment. In addition, KIT's net gearing of 39% is healthy. Therefore, we could make use of that harem to acquire. Concurrently, As far as active capital management, we have been monitoring the market for opportunities to undertake early refinancing amidst the conducive interest rate environment. We expect to complete and execute on KIG's FY2026 refinancing needs well ahead of maturity. Raymond, our CFO, will cover this in greater details. Financial flexibility is key as we pursue various options including utilizing recycled capital, reinvested cash, Our main goal is to achieve DEI and DPU continuity into the long run, and we are working to achieve this through the successful execution of our planned creative acquisitions and value creation initiatives. With that, let me hand over to Jin Da for the FY2025 Business Updates.

Thanks Kevin. Hello everyone, I'm Jin Da and I've joined the team as Director of Portfolio Management since November. I'll take you through the KIT Portfolio Business Updates in the next few slides. Going to slide 12, FY25 saw stable operations for our assets and businesses in the energy transition segment. City Energy achieved higher FFO of $62 million for the year, mainly through its core operations. We tracked total gas and water heater sales, and the increase in market share in the residential market has been meaningful, with potential for future growth. Group opportunities are also present in the commercial and industrial market, in new developments, and in retrofit projects for existing properties. The FFO for the transition assets was an aggregate $124 million for FY25, which included a cash surplus from capital management of AGPC for Q25. For AGPC, we had higher volumes in FY25 compared to the prior year, underpinned by stronger demand. The FFO for the wind farms portfolio came in lower year on year, mainly due to BKR2. However, wind resources in the second half of 25 have recovered compared to the same period last year. The European onshore wind platform saw stable production levels in FY25 at lower power prices. The FFO for the German solar portfolio was $10.46 million for FY25, up 18% year-on-year underpinned by stable performance. For the environmental services segment, the Singapore concession assets contributed an aggregate $52 million for FY25. We maintained stable operations and met all contractual obligations with the regulators, such as NEA and PUP in the financial year. we continue to pursue potential opportunities for concession extensions following sing springs extension to 2028 noting that the land lease is only due in 2033 moving on to emk pricing in the private landfill business is expected to remain largely sideways we continue to stay disciplined on pricing and focus on optimizing the nad of our asset For the incineration business, starting 1st of Jan this year, the Seoul Metropolitan Area implemented a direct landfilling ban for municipal solid waste. With this in place, we see pricing upside for private incineration facilities. Public incineration facilities are running near full utilization and this ban is expected to drive higher demand for private incineration facilities such as EMK, which are located near the SMA. Therefore, EMK plans to grow its incineration capacity, which is also running at full utilization to capture this tailwind and increase FFO. For the distribution and storage segment, The FFO for Exxon was $71 million for FY25, an increase of 42% year-on-year, underpinned by strong operating earnings. The proton acquisition of the Hilditch-based oils import and distribution business in 4Q25 is expected to drive continued revenue and capital growth in 2026. Hilditch earns a stable margin per unit volume and is expected to benefit from near-term tailwinds from Australia's new fuel emission standards, supporting demand for refined and cleaner base oils. The FFO for Ventura was $23 million for FY25 and was higher year-on-year on a 100% basis, underpinned by higher EBITDA. For the year, it achieved 100% service reliability and on-time performance, exceeding 90%, and secured new charter contracts. Ventura's maintenance capex is mainly debt-funded, and for FY25, the maintenance capex of $21 million was added back to ERIDI. Ventura's business model requires ongoing maintenance capex, and the company will debt-fund this capex in the near term. We completed the acquisition of GMG on 23 November 2025. Hence, the income contribution to KIT of about a month of about S$1 million is in line with our due underwriting. Since completion, the team has successfully extended a long-term charter through 2028 and a maintenance zone contract to 2030. Similar to Ventura, GMG is a business which requires ongoing maintenance capex for vessel upkeep, such as dry docking, and we expect to be debt funding this in the near future. In the next two slides, we will outline the strategic priorities for our evergreen businesses. We continue to work closely with the respective operating teams on the ground to execute these strategies and drive future operating earnings. These essential businesses have established strong local brands and local market solutions in markets with high barriers to entry. They are long-term platforms focused on delivering customer-led solutions and creating sustainable value over time. For City Energy, our focus is on driving further market share gains in residential water heaters from the current 20%, increasing commercial and industrial gas usage, and raising consumer awareness of the benefits of gas water heaters to support broader adoption. For EXIM, the key priority is to strengthen our market leading positions across the core manufactured and traded product segments, supported by deep long standing relationships with key customers in the water utilities, manufacturing and resources segments. Other initiatives include continued growth in the bitumen business supported by disciplined growth capex and unlocking revenue and cost synergies from the recently acquired fieldage business. For Ventura, we aim to maintain our strong track record in service delivery and standards, grow market share in the charter business for both public and public runs, and position ourselves in a public bus service contract renewals coming up in 2028. EMK has the potential to further strengthen its position as one of the largest private incinerators in South Korea. The key catalyst ahead is the scaling up of incineration capacity to capture demand tailwinds driven by favorable policy changes. For GMG, as one of the leading independent providers of subsea fiber optic maintenance, installation and support vessels, the focus is on maintaining strong operational reliability and the track record of vessels. At the same time, we aim to grow our fleet of specialized cable installation and maintenance vessels, underpinned by strong global demand for subsea cable connectivity. Moving on to the ESG slide, we met our ESG targets for the year across the three pillars of our sustainability framework, environmental stewardship, responsible business, and people and community. In addition, we achieved a rating of A in MSCI ESG Ratings Assessment in recognition of the strong management of financial and industry-relevant ESG risks and opportunities. I will now hand the presentation to Raymond for the financial and capital management of KIT.