Sembcorp Industries Ltd

Ladies and gentlemen, good morning and welcome to SEMCorp Industries' full year 2023 results presentation. A warm welcome too to viewers tuning in via the webcast. I'm Xinjin from Group Corporate Communications and Investor Relations. Before we begin, we would like to request for all mobile phones to be turned off or switched to the silent mode please. If you feel unwell, do approach our staff for assistance. The members of the panel for today's presentation are Group President and CEO, Mr Wong Kim In, and Group CFO, Mr Eugene Ching. There will be a question and answer session after the presentation. For viewers of the webcast, please key in your questions in the Q&A box by clicking on the raise hand icon on the webcast page. Without further delay, I will now hand over the time to Kim In to begin the presentation. Kim In, please.

Thanks, Jean. Good morning and wishing all of you happy and prosperous Lunar New Year. Welcome to SEMCorp Industries' full year 2023 results briefing. For 2023, the group delivered a strong performance. Turnover was $7 billion. This is 10% lower year-on-year. while the EBITDA was $1.8 billion, 37% higher than 2022. Adjusted EBITDA was $2.1 billion, an increase of 32%. Net profit before exceptional items was $1 billion, representing a year-on-year increase of 38%. Exceptional items, EI for short, was $2 million for 2023. Earnings per share before EI was $0.571 and EPS itself was $0.572. Group ROE before EI and Group ROE were both 23.8%. So in light of the group's strong results, the board is proposing a final dividend of $0.08 per ordinary share for 2023. So together with the interim dividend of $0.05 paid in August, total dividend for the year will be $0.13 per ordinary share, an increase from the $0.12 of last year. Let me go through the key business updates. In 2023, we achieved cash flow certainty for the gas and related services segment. We are the first in the market to secure multiple long-term PPAs with our customers in Singapore. These power purchase agreements contracted with quality customers represent contracted capacity of up to 668 MW. With these long-term PPAs, 74% of our generation capacity is contracted for a period of between 8 to 18 years. And this enhances earnings predictability. So in total, these contracts have an average tenure of 12 years. That transforms our merchant-centric portfolio into one that yields a stable recurring income. As a group, contracted capacity accounted for 97% of the group's gas-fired power portfolio as at the end of 2023. For Singapore, our gas-fired portfolio was 99% contracted as at the end of 2023. And during the year, we continued to diversify our gas sources to support the energy needs of Singapore. We signed a gas sales agreement with Medco E&P Natuna to import pipe natural gas from West Natuna gas fields in Indonesia. The agreement is valued at approximately $1.9 billion, and gas deliveries are expected to commence in the later part of 2024, with a tenure of four years. We have also started the construction of our new multi-utility centre at Jurong Island. This facility will include a new 600 MW hydrogen-ready combined cycle power plant and it is expected to be fully operational by 2026. Now to renewables. We achieved significant progress and very strong momentum in renewables growth. Since the end of 2022, we have added a total of 4,000 MW of capacity through acquisitions and organic growth across our key markets of China, India, and Southeast Asia. This brings the Group's total gross renewables capacity to 13.8 GW. In China, we grew organically by leveraging our partnership platforms. We also acquired brownfield projects to deepen our presence in the market. Year-on-year capacity increased 3,000 MW in 2023. In India, portfolio expansion was driven by both greenfield and brownfield project additions. The acquisition of LEED Green Energy 228 MW operational wind assets portfolio was completed earlier this month. We also secured 750 MW of green fuel projects from competitive bidding in December and January. Our Southeast Asia renewables portfolio has surpassed the 1,000 MW capacity mark. Notably, we were awarded Singapore's largest solar project of 117 MW peak by JTC. We also signed an agreement to acquire a 245 MW portfolio of operational wind, solar and hydro assets from Gilex Group in Vietnam. The transaction is expected to close within the first half of this year. In 2023, the urban business registered higher land sales at 248 ha compared to 172 ha in 2022. The increase mainly came from industrial land sales in Indonesia and Vietnam. However, earnings declined year-on-year as commercial and residential land sales and handover of residential units in Vietnam were lower. Commercial and residential sales typically command higher margins compared to industrial land sales. During the year, we continued to build up our land bank with the award of three new investment licenses in Vietnam, adding a total of 1,290 hectares to our land bank. We believe strong market potential remains in Vietnam and Indonesia from the expansion of regional supply chains. The volume of water treated in our water business remains stable. Excluding the one-off termination fee received from a customer of the water business in China in 2022, 2023 earnings of our water business improved on cost savings. The waste management business in Singapore saw a 25% increase in its collection of recyclables in 2023. This is a result of our strategic partnerships and initiatives which are aimed at promoting more recycling. and during our investor day 2023 in November, we shared our refreshed strategy and targets. So this is a snapshot of our progress against those targets. With multiple long-term power purchase agreements secured, our guest portfolio is now significantly contracted. This deliberate strategy on our part is aimed at ensuring a robust earnings and cash flow to support our renewables growth moving forward. In May 2021, we set a target to achieve 10 GW of gross in-stock renewables capacity by 2025. So, gross in-stock renewables. And we are very close to this target with 9.8 GW of gross in-stock. Renewables capacity as of this point in time. We currently see strong momentum in our renewables growth, as mentioned just now, and will focus our effort on achieving our refreshed target of 25 GW by 2028. We have achieved also our 2025 emissions intensity target of 0.4 tonnes of CO2 equivalent per MWh and we are working towards our new target of 0.15 tonnes of CO2 equivalent per MWh to be achieved by 2028. To drive growth beyond 2028, we must continue to advance our decarbonisation pathways. These are some of the new initiatives that has a longer-term horizon. This includes the origination of low-carbon electricity through regional power imports, low-carbon feedstock, and low-carbon technologies. During the year, we received conditional approval to import 1.2 GW of low-carbon electricity from Vietnam to Singapore. This is the largest import license issued by the Energy Market Authority. We are also in exclusive discussions to import 1,000 MW of low-carbon electricity from Sarawak. These imports will enable our customers to have greater access to green energy in the long run. We have also signed agreements with strategic partners to pursue opportunities in the production of low-carbon feedstock. We are collaborating with Sojit Corporation and Kyushu Electric Power, both from Japan, to pursue potential opportunities for the production of green ammonia in India for export into Japan. In Singapore, we have been shortlisted as one of six candidates by the Energy Market Authority to submit proposals for low or zero carbon ammonia solution for power generation and bunkering on Jurong Island. In addition, we have signed a joint development study agreement with PTPLN Persero to assess the feasibility of green hydrogen production in Indonesia for export to Singapore as well as an MOU with Gentari of Malaysia to export the development of hydrogen production facilities and transportation of hydrogen from Malaysia to Singapore. As we continue to operate our gas-fired plants efficiently to support the energy transition, we are also exploring low-carbon technologies to decarbonise our assets. In October 2023, we signed an MOU with IHI Corporation and GE Phenova's gas power business to jointly explore the retrofitting of our existing Sacra power plant in Singapore with ammonia firing capabilities. And finally, GoNet Zero, our carbon management business, has secured over 40 multinational clients across various industries, and these include OCBC, Razor, and UBS. During the year, it sold more than 2 million tonnes of carbon credits and registered a nine-fold increase in renewable energy certificate sales to 1.8 million units. So overall, 2023 was marked by continued strong momentum in the renewables business and good progress against targets that we have set out. We are encouraged by the strong performance in 2023 and we believe SEMCorp is well positioned to navigate the energy transition and sustainable development. Eugene will now take us through the details of our financial review. Thank you.

Thank you, Kimmy. And I just want to wish everyone indeed a very happy new year. And it's my privilege to be sharing more details in relation to our financial performance for the financial year ended 2023. From a performance standpoint, this is a little bit of a watershed year for SEMCorp Industries for indeed we have achieved a net profit before exceptional items that could be seen as the highest that we have ever achieved in the operating history of SEMCorp Industries. So when we go into a little more details in relation to the numbers, as Akiman has mentioned earlier on, our turnover declined approximately 10%, largely as a result of lower gas as well as power prices in the gas and related services segment. Now, I think one of these key elements of turnover is that some of our gas sales, particularly in Singapore, is indexed to HSFO. And the HSFO index has come off in 2023, and we have saw that phenomena take place in the first half of 2023. But you've also heard me mention that in our gas contracts, the margins are actually locked in, in an absolute dollar standpoint. So the earnings and the margins that comes forth from the gas sales are essentially not as impacted. So what you have seen is actually overall still a growth in our EBITDA, realising higher margins. So from an EBITDA standpoint, we grew 37% from $1.3 billion in FY 2022 to close to $1.8 billion this current year. And it's really driven by improvements in the gas and related services as well as in the renewable segment as we continue to see new operating capacity come into the portfolio as we complete our acquisitions as well as our projects. Now, share of results of associates and JV's net of tax increased by about 6%, from $248 million to $264 million. From a renewable standpoint, we did see a meaningful contribution coming through from the China portfolio, an annualized contribution from acquisitions that was completed in 2022, as well as seeing the Hunan Singling as well as the Jingnan portfolio contributing. Now this has been offset by a decline in performance in the urban portfolio, in the integrated urban solution segment, where as Kim Min has mentioned, although we have seen higher land sales in Indonesia, but we did see a slower CNI and RSI sales and also deferral of some of the land sales into the first quarter of this year. So while Indonesia has seen higher land sales, but from average selling price perspective, Indonesia still has a slightly lower average selling price. So all in all, taking into account those impacts, our share of results of associates and JVs increased by about 6% to 264%. All in, our adjusted EBITDA grew by 32% from about $1.6 billion in FY2022 to just above $2 billion in FY23. That translates down to our net profit before exceptional items of just over $1 billion for FY2023, representing a 38% increase over a similar number from a continuing operations standpoint from last year. Now, in a discontinued operation in FY 2023, we did book a loss of disposal of SCIL of $78 million, which was guided at the end of 2022. And this is a result of the movement in our foreign currency translation reserve between signing of the transaction and the closing of the transaction in January of 2023 that saw the $78 million loss come through. So all in, you know, when we look at our earnings per share before extraordinary items, it turned in 57.1 cents and ROE before extraordinary items is 23.8% for FY2023. Moving on to the next slide. Now, I will just touch on this very quickly because from a turnover perspective, I probably laid the ground earlier on. The gas and related services saw a decline, again, as a result of lower gas sales prices in Singapore and power prices in the UK. For the renewable segment, it grew 40% and as expected. We saw the annualized contribution from acquisitions completed in 2022, as well as the new projects and acquisitions that came through in 2023. Integrated urban solutions, revenue is largely flattish or down slightly. In integrated urban solutions, the revenues are more contributed by the waste as well as the water segments. The slight decline is a result of us losing a public waste collection contract in our waste management business, which was guided towards the end of 2022. And decarbonisation solutions, you would see that revenues grew from $3 million in FY 2022 to $16 million. Revenue increased by 37% from $328 million to $448 million. Now, in other businesses, it comprises largely two businesses. Our Singapore Mint business, which is a flattish in revenue and earnings performance, and the other business in our other businesses segment is our specialised construction business that deals with construction in relation to government contracts. So what has happened is that over the past year, the order book for the business have grown somewhat, resulting in higher revenues and earnings achieved in the other businesses segment. So all in, that resulted in our total turnover for FY2023 at $7 billion, a slight decline from FY2022. More importantly, from a net profit, which is a contribution to the bottom line standpoint, right, Our gas and related services business turned in $809 million for FY2023, which is 30% higher than what we have achieved in FY2022 of $622 million. So to characterise the gas and related services, if you have recalled, in the first half of FY2023, the gas and related services segment turned in up $435 million in terms of a net profit. Though at that point in time, I did guide it that as we go into the second half of FY2023, what's going to happen is that our portfolio will be increasingly comprising of contracted and very long-term contracted positions for our CCGTs. and you have also heard me guided that approximately we do expect that the kind of peak-ish pool gains that we achieved in the second quarter of FY2023 to be roughly in a $60 million region. So I guess if you compare the two halves and do the math, that was essentially how it turned out. For the renewable segment, group net profit grew from $140 million in FY2022 by 42% to $200 million in FY2023, again, in line with our completion of our acquisitions and also continued growth in our operating capacity in that segment. The integrated urban solutions segment, also as highlighted earlier on, declined by about 19% from $150 million that was achieved in FY2022 to $121 million in FY2023. There was a decline in earnings of the urban division. that was driven, as mentioned earlier on, C&I resi sales that were slower in Vietnam, as well as a delay of land sales into the first quarter of 2024. And in addition to that, you also saw the loss of, although it's not a very big earnings impact, one public cleaning division contract in the waste management business. Now, also to mention, If you recall in FY2022, under the integrated urban solutions, there was a one-off income close to the tune of about $20 million that resulted in the settlement of our NKGC litigation. That $20 million obviously is also not in the current year's FY2023 earnings as well. So that overall contributed to the roughly $30 million in decline in the integrated urban solutions segment. For decarbonisation solutions, this is the new segment that we've called out after our November investor day, where this will be the segment that focuses on originating power imports as well as low carbon energy into Singapore. FY2023 Cost Investment As you can see, GoNet Zero contributed part of it as a result of building up the necessary platform and you can see that coming through in a significant growth in sales. The other aspect of it is also a continued development cost that is invested in our power import projects as well as in our green hydrogen projects. So as guided in Investor Day, you would expect this segment to have near-term cost investments, but we do still expect this segment to turn positive in net profit contribution by 2028. And in the other business segment, we did see a growth in net profit, and as mentioned earlier on, driven by higher revenues as well as order book growth realized in our specialized construction segment. From a corporate cost perspective, we took efforts to split between interest costs as well as others, which represents more the gross corporate cost that is incurred, so that you would really be able to see the difference. So, interest costs, which is in relation to corporate funding for... The acquisitions and projects that came through in 2022, annualised for 2023, as well as for the projects and acquisitions that were completed in 2023, resulted in a roughly 93% increase in the interest costs. Embedded in that also is a slight increase as a result of base rates as we manage the roughly 25% to 30% portion of the floating rate exposure of the portfolio. Now under the others which represents the gross corporate cost, it looks like it has declined by 16% from $103 million to $87 million. One of the reasons for that is because when we review our tax provisions, we had to release tax provisions that was held as we are out of the time bar period of seven years, which is typically the low back period for IRIS. So that right back of a tax provision is approximately about close to $20 million. So when you adjust for that, our gross corporate cost did increase slightly to between $110 to $114 million, and a lot of it is driven by continued investment in capabilities carried in the corporate level. For the DPN income, we turned it into $133 million, but this is really split into two portions. The actual interest income that is recognised for the year was $179 million, but we did book a $46 million of FX revaluation loss as a result of depreciation of the Indian rupee. Now just to be clear, this $46 million of FX revaluation loss that was put is non-cash in nature and it really depends at the end of 31st December where the Indian Rupee rests versus the Indian Rupee as of 31st December of 2023. It is non-cash in nature and movements of that would largely be in accordance to how the rupee fluctuates. But I guess when we look back in FY2023, the movement of a 46% loss implied a depreciation of the rupee of about 2.5%. And if you have heard me mention, it does cost in terms of forward points, when we take a two-year forward view, close to 4% to 4.5% to hedge the India rupee. So all in all, on a net basis, it was probably a better outcome that the actual hedge cost was not incurred. So looking forward this year, we do, while it's anybody's guess on how the rupee will perform, but as we continue to monitor expected forecasts of the rupee's performance in FY20-24, it ranges from maximum downside of between 2% to 2.5%. Though we know that in long-term devaluation terms, it probably trend towards a 4%, so that's probably the maximum downside. And there were forecasts that suggest that the rupee could appreciate by 0.5% against the sink dollar. So when we look at that and against the continued forward hedging costs about 4% to 4.5%, we think it is probably more sensible to continue to monitor the FX rates in relation to the DPN note. So taking all of that into account, net profit before exceptional items is just over $1 billion as highlighted earlier on. Now this slide is basically a waterfall of bridging the earnings from 2022 to 2023. So I probably won't touch on it because a lot of it I have went through in detail in the previous slide. So we move on to the next slide. So looking at our group ROE, strong ROE performance in FY2023, the gas and related services ROE, we turned in 40.7%. Of course, in Investor Day, I did guide it that we will be reinvesting in new hydrogen-ready machines that are coming through. And so you would expect the longer-term ROE of this segment to normalize. For renewables, we continue to see strong and healthy ROEs, realizing 11% in terms of ROE performance for FY2023. Now, for the ROE of the renewable segment, we did see a couple of Chinese acquisitions completed in December, which was the 100MW Envision portfolio and also a slightly smaller portfolio from SunGrowth. So if we analyze that performance on a full year basis, ROEs for before exceptional items for the renewables would be closer to 11.7%. So all in all, a good performance in the renewable segment. For the integrated urban solutions, ROEs that we turn out for FY2033 is 6.7%, decline from FY2022, and as I highlighted earlier on, essentially for all the business reasons that contributed to the decline in the net profit before exceptional items of the integrated urban solutions segment. Now if we move on to the next slide. So when we look at our investments and CAPEX that took place in FY2023, so we had seen about just over $200 million of investments in our gas and related services and the meaningful increment from FY2022 and years before. And as you know, we are starting the construction of the 600 MW hydrogen-ready combined cycle power plant in Jurong Island as we have announced earlier in 2023. So, of course, we have started incurring the capital expenditure related to that hydrogen-ready CCGT investment in Singapore. And for the renewable segment, we did see about $595 million of capital expenditure investments, basically to build, as we continue to build out the contracted portion of our portfolio under construction. And we saw $710 million of equity-related investments in our acquisitions activities. And we saw a small $40 million investment in the integrated urban solutions. Group Free Cash Flow because in FY2022, the changes in working capital captures a lot of a one-time effect where our India receivables got converted into the equal monthly installment payments. But in any case, FY2023, cash flow from operating activities was still strong at $1.5 billion. Now, what is different between FY23 and FY22 is that the DPN receipts of $355 million came through. So this $355 million could largely be broken into about $179 million for the interest repayment and the remaining for principal repayment. We would expect another tranche of principal repayment to come through sometime towards the end of this month. and the reason why that wasn't captured in the 31st December because we understand that there was a certain upstreaming of cash that has to take place after the 31st December quarter end for the coal plant in operation in India. So all in all, we are quite pleased to see that we are seeing strong cash receipts from the deferred payment note. So all in, before we move on, so all in, when we adjust back our expansionary CAPEX and equity investments, our free cash flow for FY2023 is close to $2 billion, which is available for expansionary CAPEX, as well as shareholder distributions and capital management activities. In terms of our group borrowings, our gross debt as of 31st of December increased slightly to the tune of about $200 million over 31st of December of 2022. Actually, 2023 was a year in which we were very focused on capital management. where we were focused on releasing track cash, particularly across India as well as China, and we used the freed up cash for the purpose of investment and also managing debt. And the reason, if you ever recall what I've mentioned in our half-year earnings announcement, is because given the higher interest rate environment, the cost of holding cash on balance sheet is expensive. So essentially what you would see, although the gross debt appeared to have increased by $200 million, what really happened was we actually had about $416 million of debt pay down, net debt pay down, okay, if you look in the cash flow statement. But the increment of $200 million was simply because this was offset by consolidating close to $616 million of debt as a result of our acquisitions of Bacta Green, as well as the two Chinese portfolios that was acquired towards the end of December. You can find that in the SGX net, and if you want specific pages, I'm happy to point out to you later on. So as a result of that, what I want to point out is that we are quite focused on managing our capital and actually we have been using excess cash to manage down our existing debt. It looks like it has increased simply because of consolidation of debt from the acquisitions that we have made. But in any case, our total equity also increased to $4.8 billion. And our net debt, taking into account our cash and equivalents, increased to about $6.5 billion relative to $5.8 billion in 31st December of 2022. But taking into account also our increasingly strong as well as contracted EBITDA positions, our leverage ratio, which is essentially our balance sheet position, has improved quite drastically. In essence, net debt to EBITDA has declined by 4.4 times as of 31st December 2022 to 3.6 times, and our net debt to adjusted EBITDA has declined from 3.7 times to 3.2 times. and from a coverage ratio standpoint, our EBITDA to interest coverage ratios improved from 4.2 to 4.4 and our adjusted EBITDA to interest ratio still remains fairly healthy at five times. So signifying that our financial position has improved remarkably even in the past financial year. So on this particular slide, it shows the debt maturity profile. I think over the past three years, we have taken quite a lot of efforts to term out our debt and also making sure that we are reducing reliance on more expensive and cash-restrictive project finance loans to corporate and more green and sustainability-linked borrowings. So essentially, that is the debt maturity profile. Now, I just want to point out the refinancing that we are targeting to do within the next one year. Looks like there is a $1.3 billion of debt. Essentially, out of that $1.3 billion, about $260 million of debt is really project finance loans and working capital at the project finance level. So that will ultimately be taken care of by cash flows at the project level. So approximately $1 billion of debt facilities have remained to be refinanced. Now of that $1 billion of facilities, $700 million of that has already been secured. Credit approved term sheets have been secured from my very supportive banking partners on this side of the room, so thank you. You know who you are. And in various stages of documentation. Now just I had a question in relation to, oh, you know, this refinancing will it drive, result in a 50 basis points increase in our weighted average debt, cost of debt. I mean, just to give you a sense on how, where we think that the refinancing costs for this $700 million would turn out. I mean, right now, from a margins perspective, you know, they are probably going to be just under 100 basis points. and given that Sora is in approximately 3.5, 3.6% now, you would see that the expected all-in cost of refinancing is actually around 4.4, 4.5%. So it's unlikely that just from this refinancing, it's going to drive a 50 basis points increase in our weighted average cost of debt. Of course, that will be balanced against a continued debt financing that we will manage for the purpose of our growth activities. Of the $1 billion, I managed $700 million of secured term facilities. The remaining $300 million we will be monitoring because we will have cash flows coming through. So the remaining $300 million we will be managing between a cash that is going to be coming in as well as our revolving credit facilities of which we have very ample secured RCF facilities to deal with it. So in short, the $1.3 billion refinancing is essentially already taken care of prior to the end of the year. So the next slide, moving on. This is basically our group liquidity positions. So I guess the key point to highlight is that as of 31st December 2023, our unutilised committed RCF still stands at approximately 2.5 billion, which is basically essentially an ample ready-to-be-drawn-on-demand liquidity that we have. So basically a good position to underpin our continued growth, particularly in the renewables segment. So second last slide, which is the outlook statement that we will be putting out in relation to our view of prospects in 2024. Essentially, the group has performed well in 2023, and we all know that it is underpinned by the strong contribution of the gas and related services segment, which is achieved on the back of better performance in the Singapore power market, as well as seeing earnings growth in the renewables segment as the projects and operating capacities come online. The earnings of the gas and related segment are expected to remain robust throughout 2024 and that's really underpinned by our significantly contracted position as Kemin has mentioned. One thing to note is that because we are contracted very long now, 74% of that is more than 5 years, actually 18 years. In 2024, we will be planning a fairly major maintenance in one of the units in Singapore so that we can ensure that there is continued efficiency and high reliability of our asset given the fact that we are contracted so long. And of course, as always guided, the income contribution from our Fumi 3 power plant in Vietnam will also cease at the end of February. The renewable segment is also expected to continue to perform well as more greenfield projects commissioned and brownfield acquisitions are completed progressively in the course of the year. And the outlook of the integrated urban solutions segment is expected to remain stable. Now we do also want to highlight that macroeconomic uncertainty still remains and there could be potential policy changes that could affect the global economies and also the markets that we're in and this could result in a risk that comes through from further escalations in geopolitical tensions and that could ultimately impact our business performance. All in all, we continue to remain well-positioned to navigate the path of energy transition and to grow our renewables portfolio and the execution of our brown-to-energy transition strategy as highlighted in Investor Day last year. Moving on to the last slide, I just want to give a little more guidance in relation to the two developments that I highlighted earlier on. Essentially, the Fumi 3 BOT power plant will come to the end of its operations in February 2024. I mean, just to give you a sense, historically, this plant has generated a stable earnings of about S$10 million to us. So, clearly, with this plant reaching the end of its operations, you would expect that that would be the quantum of earnings that will impact us this year. Now in terms of the major maintenance for the Singapore co-gen plants, we expect it to be approximately two months or 60 days in the first half of 2024. Now this is how I would think about it in terms of how it will potentially impact the gas and related services segment. In the second half of 2023, we achieved about $374 million, and as you have always certainly guided, that is off the back of a highly contracted position that will carry through into 2024 and beyond. Now, of that $374 million achieved in the second half, the Singapore gas and related business comprises between 80% to 85% of that, okay? Now, essentially, the cogeneration plants that will be impacted in this major maintenance is roughly two-thirds of the capacity in the two months. It's roughly a two-thirds capacity or roughly two months of that Singapore earnings. So if you think through that and you work through the math of that, then you would be able to come to an approximate number of the impact on our earnings this year. Okay? So again, to repeat, we did about $374 million in the second half of 2023. We do expect that to carry through. Approximately 80% to 85% of that in Singapore. The cogeneration plants that would be shut down for about two months comprises about two-thirds of the generation capacity. So I think that ends my discussion on the financial results, and I think we are open for any Q&As.