Tenaga Nasional Berhad

and correspondingly load utilization has accelerated substantially rising from 845 MW in March 2035 to 1054 MW in March 2036 indicating a steady, robust and highly predictable ramp-up of operational capacity In terms of sales contribution shopping malls, businesses and accommodation services accounted for 18% of total units sold, while other sub-sectors contributed 15%. Data centers currently accounted for 6% of our total sales in the first quarter of 2026. And we are honored to have received the Partnership and Ecosystem Collaboration Team Award at the Data Center Thought Infrastructure Summit 2026. Defaulting our role as a key enabler of Malaysia's digital and data center ecosystem through our Green Lane pathway initiative. Ladies and gentlemen, turning to our technical performance, our sustained operational execution throughout the quarter continues to underpin our earnings resilience, providing a robust foundation for the group's overall performance on generation side, DEF factor, Equivalent plant availability factor has improved significantly to 91.4% versus 82% last year, reflecting stronger plant reliability and operational performance across our generation portfolio. Our network performance continued to remain at world-class level. Our transmission system needs to remain at zero, demonstrating sustained grid reliability and uninterrupted network performance throughout the quarter. For distribution, the System Average Interruption Duration Index, or SAIDI, recorded 11.72 minutes, well within our internal threshold of 47 minutes, reflecting the continuous strength and reliability of our distribution network. Overall, the group's strong technical and operational performance continues to reinforce our earnings, operational stability, and readiness to support growing electricity demand while advancing the nation's Energy Transition Agenda. Moving on to our recent achievement, we continue to strengthen TMB's renewable energy ecosystem through the new BEST deployment, Renewable Energy Expansion and Initiative Supporting Long-Term System Reliability. We successfully completed and commenced operation of the first 100 megawatt 400 MWh Best Santong Project in April 2026. And this marks Malaysia's first grid-connected, full grid-forming best project and was completed ahead of schedule. Demonstrating our execution capabilities while enhancing grid flexibility to support increasing renewable energy penetration and intermittency management. Secondly, our Kenya Hydro Power Station PPA has been extended from 14th of September to 31st of August 2030. This extension further strengthens our system reliability, particularly in the eastern region of Peninsular Malaysia. In addition, under the CRUS program, we completed the execution of bilateral Energy Supply Contract or BAERC with day one in March 2026 for two major renewable energy projects, Centralized Solar Park and Hybrid Hydro-Protecting Solar Projects in Kenya. And lastly, two CGPP projects, namely Setia Kawan Energy and Selarung Pertama Energy, in which we hold 30% equity stake, have successfully achieved their commercial operation date in March and April 2026 respectively. Overall, this initiative further strengthens renewable energy portfolio and supports growing demand for green energy solutions while preserving grid reliability and energy security. Building on TMB's recent operational and strategic achievement, we continue to strengthen our growth momentum through strategic partnerships across digital infrastructure, smart city development and green mobility. Our collaboration with Telecom Malaysia focuses on accelerating green energy and digital infrastructure solutions, while partnership with PKNS supports sustainable urban development through district cooling system initiative in Nusa Alam. Meanwhile, our collaboration with Maybank marks TNB Electron's first partnership with a financial institution, further expanding the EV charging ecosystem and supporting Malaysia's green mobility agenda. And overall, these partnerships reinforce TMB's long-term growth aspirations while supporting Malaysia's broader energy transition agenda. I will now pass to CFO to provide a detailed overview of the first quarter financial performance.

Thank you, Dato'. Well, I hope most of you have seen our numbers last night. so I've seen some reports so the rest of you guys waiting for today I've seen Hazmi and all has smile so I hope the number is satisfactory so we do believe that for our first quarter number we have delivered a stable first quarter profit which is actually driven by overall improvement of our businesses across all division so that's why you have been able to see year on year improvement across revenue EBITDA as well as of the company. So if you look at the revenue line, that's increased almost $1.1 billion to $17 billion. This is, of course, as a result of the increase in sale of electricity, as mentioned by Dato earlier, and volume actually surged by 7% year-on-year in the first quarter, and this was underpinned by data center demand, which continues to be healthy, growing very fast. Of course, it's a small contribution of our sales still, but is growing very fast, doubling the energy usage in one year and demand now already at 1,000 megawatt already. But most importantly, if you look at the malls and businesses just now, which makes up a larger portion of our revenue, continue to grow healthily as well. This is also indication of the overall growth of the economy. And on top of that, of course, we would not deny the fact that the implementation of more cost-reflective RP4 tariffs has actually pushed the revenue so that we are able to recover all the investments that we are doing. So if we move on to EBITDA, you'll see that there is a $335 million increase equivalent to 6.5% to $5.5 billion. So to us, this is important and we're tracking this very closely across the globe because this reflects improve efficiency of the company. So EBITDA margin last year was 32.7%, now it's gone up to 34%. So this is something that is very close to the management where we need to make sure that costs continue to be contained despite scale-up delivery of the CAPEX which is much higher last year and this year. So this additional revenue together with a much more efficient cost control have enabled us to deliver the adjusted core PAP, adjusted for CORREX and MR5S16 of $1.242.5 billion. So that's a 6.5% increase and to us this is a reflection of the fact that most of these earnings are underpinned by the stability of our regulated business. So all in all, I hope you have seen that we have a good start to the year and we will continue to focus on delivery this year together with Prudence Financial Management to deliver the expected financial performance for this year. so moving along if you look at into capital management of the company you should have been able to see as well that we are recording a much lower receivable and actually we are taking a lot of time to make sure that we deploy capital proactively but of course trying to source the most efficient cost of funding as well so this investment are obviously needed for us to continue growing but gearing is a major source of this funding So if you look at our trade receivables compared to March last year, despite a much higher revenue, it's actually lower at $4.1 billion against $4.4 billion that we recorded last year. So this is important because you have seen that this is the success of APA framework, which continue to drive collection efficiencies and obviously giving us a much lower receivable collection as well. So obviously as far as trend is concerned, we are continuing to be very stable below 30 days collection period and that is a major focus for us as well this year. If you look into the second parameter on regulatory receivables, as of December last year, we had 1.9 billion receivables. That has gone significantly down to 0.7 billion only as of March 2026. During the year, we actually received $1.3 billion, which is part of the ICPT payment for April to June last year. If you will recall, RP4 implemented started from January, but we were still on the previous tariff up until June. These are the differences that have been recovered through ICPT. This is obviously a very important payment for us because not only we wanted to reduce the receivables, this is also a reflection of the fact that government continue to honour what is the framework of the IBR so whatever that is due to TMB is recovered through QE funds accordingly so this should give you more confidence that the framework continues to be honoured by government so if we move to the third pillar of strategic fundraising and discipline capital allocation you would notice that in 2025 we actually reduce our cash holdings and pay down a lot of debt to strengthen our balance sheet in 2025. But we know and acknowledge the fact that there is massive investment that needs to be made in 26 and 27. So this year, we are embarking on a lot of fundraising, but we want to make sure that we deploy this capital properly. But this is important for us to spend both regulated and non-regulated capex to fuel the growth of the company going forward. So far, the first issuance we actually did, third issuance of Janko IMTN Sukup program, which was a $10 billion program. We issued another $1.5 billion in March, tenure between 10 to 25 years, and we have been able to sustain quite a good uptake from the investors. So this was actually corporate Sukuk at Genco level but it's being used exclusively for our Nenggiri hydro project as well as Tunai Perak hydro life extension project. So it is green and all the level that is needed for FRI. So that was quite successful. And then in the second program we had our TNB renewable which issued another 1.05 billion ASEAN green FRI Sukuk Wakala This is to fund our LSS-5 development So with the project being actually pure grain sukuk and off-take against TMB's long-term PPA we actually issued multiple tranches of serial maturity from 3, 4, 5 all the way up to 19 years So we got a very good take-up as well This is a project financing at the project level related AA without TMB's corporate guarantee but we actually delivered the funding cost which is equivalent to AAA of PMB's rated category. So this is because we really got a very good demand and we have been able to push everybody into a much lower title margin under a book building process. So with that two programs already done, you would notice as well in April, we established another IMP and Sukup program of RM10 billion. This would be to finance a TMB's regulated business for this year and next year. So we are targeting the first issuance of around RM4 billion, which will be over the next few days. So we do foresee a good take-up as well, and we believe that this is a reflection of the fact that as far as cap tax requirements are concerned, We have a very good demand for the market. The depth of the capital market is there. And despite a little bit of geopolitical tension everywhere else in the world, we still have our favorable condition for fundraising this year. And we should be able to optimize our cost of debt further. So on that note, as far as the cost of debt for the company, 2025 was 4.63. So because of the lower cost of borrowing that we have raised over the last three months or so, that's gone down slightly to 4.62. This is, of course, despite the fact that, of course, 95% of our debt are actually fixed rate. So for us, you will see much higher, improved, higher level of gearing this year. But these are all funding required to execute our capital for growth. either RAB or the non-regulated business on the generation side. So if we dive in further into our CAPEX program for the year, yes, as far as the group is concerned, regulated is 2.5 billion, but there is also 0.8 billion that we have already deployed for our non-regulated CAPEX, giving us a total of 3.3 billion. For regulated CAPEX, yes, that's actually spread out across the normal three pillars. A lot of it is going to security of supply. Demand growth as well, actually, same amount, with a little bit more going to energy transition. So yes, even in the last quarters, we talked about the split between base and contingent CAPEX. But I think as we guided earlier, for us now, it doesn't really matter anymore whether it's base or contingent, because both carry the same impact on the P&L. as far as the recognition of the income where the base tariff is recovered, base capex is recovered through the base tariff and the contingent capex will be recovered either through QE or through RP5 in the future but with time value of money. So we should be indifferent in that sense. So if you talk about what we have done this year, obviously we are optimising the reliability of the system. So some of the projects that we have delivered in the first quarter include the PMU 500 KV Sardinat West, which is around 29% completed already. That's key to deliver some of the supply to our data center. For ECRL feeder station, 10 of them, we are already on testing stage. Smart meter, which is a key component of us to enable TOU for all the consumers. That is continued to progress quite healthily. We installed close to 200,000 already this year. A target close to 1 million for the full year. That brings up the total cumulative today of already 5.8 million of smart meters enabled consumers. That's more than half of our consumer base today. So that's what Sam talked about just now about our very good system minutes as well as SID minutes that continue to be enabled by continuous investment into distribution automation, which is key to us to enable continuous uninterrupted supply to the consumers. So that's already been deployed in 800 substations today, this year, and cumulatively we have installed to more than 39,000 of our substations nationwide. So that's obviously unregulated CAPEX which continue to be on track as per our earlier guidance last year that we spent 12 billion CAPEX in regulated CAPEX for 2025 and we guided for 12 to 13 billion numbers for 2026 So we are on track to deliver that For non-regulated CAPEX this is two main projects that we are currently doing Nigeri project which is as of March already 73% completed and is on track to COD by second quarter next year. And the other one, Sungai Perak Hydro Life Extension Project, where key refurbishment and enhancement activities are ongoing. And we expect the first unit at Cenderung to start operating by fourth quarter this year. So that is a three, four year program where we are progressively refurbishment and replacing the units across Sungai Perak and they will progressively coming into operation over the next 3-4 years under a new PPA. So overall, I think this is a reflection of the fact that yes, last year we scaled up our CAPEX from 2024 regulated 9 billion to 12 billion and we continue to deliver on that momentum. So yes, there is a much stricter So ladies and gentlemen,

So ladies and gentlemen, moving forward, we remain highly encouraged by the positive demand outlook and will continue to execute our strategic priorities with absolute discipline and focus. We have revised our electricity demand growth projection upward between 4.5% to 5.5% in line with Malaysia's projected GDP growth of between 4% to 5%. In tandem with this growth trajectory, we are maintaining our group capacity of around 18 billion for the year, with approximately 18 billion allocated to the regulated business and 5 billion to the non-regulated business. These investments remain aligned with the national priorities to strengthen trade resilience, support rising electricity demand, and accelerate Malaysia's energy transition agenda. As we continue to expand and modernize our infrastructure, our focus remains on delivering projects that create long-term value and sustainable returns. We will continue to uphold prudent capital management and optimize our capital structure through disciplined funding strategies. To our shareholders, we remain committed in honoring our dividend policy while remaining steadfast in delivering long-term shareholder value aligned with the group's performance and financial position. Ultimately, our priority is to ensure sustainable business growth while supporting Malaysia's NETR aspiration and strengthening TNB's position as a leading provider of sustainable energy solutions. And also pleased to share that we have published TNB's sustainability statement within the integrated annual report agenda 5, highlighting the group's continued progress, commitments, and achievements across our ESG agenda. With that, I will conclude my presentation. Thank you for your attention. So, Azim, I'll pass it back to you.