Keppel Ltd. 1Q 2025 Business Update Presentation Slides

Keppel Ltd. 1Q 2025 Business Update Presentation Slides

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  1Q 2025 Business Update 24April 2025
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  © Keppel 2 Globalasset manager & operator • Net profit improved strongly yoy • Steady progress in asset monetisation, despite challenging environment • Stronger recurring income • Asset management earnings and fees continued to expand • Encouraging fund raising momentum for data centre and real estate flagship funds • FUM has grown, closer to targets of $100b by end-2026 and $200b by end-2030 • New Keppel well placed to navigate the volatility ahead
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  3 © Keppel • Netprofit was >25% higher yoy, excluding legacy O&M assetsi • Steady infrastructure earnings coupled with improved performance in real estate • Stronger asset management performance, includes a full quarter of contributions from Aermont Capital • Net profit including legacy O&M assets more than doubled yoy with lower losses from the legacy assets i Legacy offshore and marine (O&M) assets comprise Seatrium shares, the legacy rigs, Floatel, KrisEnergy and Dyna-Mac (which was divested in 2024). >80% of net profit, excluding legacy O&M assets, was recurring Higher net profit Stronger recurring income Robust performance in 1Q 2025
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  © Keppel 4 $347m Announcedin YTD 2025, mainly from China & Vietnam real estate projects about $550m Potential real estate monetisations expected to be finalised in next few months Good progress in asset monetisation programme: Termination of segregated account: i Figures were as at 31 Mar 2025. Unlocking value with an asset-light strategy Keppel is in a strong position, with the financial flexibility to fund growth, reduce debt and reward shareholders. Released $291m in cash and 63.36 million Seatrium shares for deploymenti Deals in advanced stages of negotiations
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  Asset management feesi ©Keppel 5 i Includes 100% fees from subsidiary managers, joint ventures and associated entities, annualised fees for platform/asset acquired during the year, as well as share of fees based on shareholding stake in associate with which Keppel has strategic alliance. Also includes asset management, transaction and advisory fees on sponsor stakes and co-investments. ii Excludes Aermont. iii Includes another $400m raised for Keppel Data Centre Fund III in late 2024. Note: Gross asset value of investments and uninvested capital commitments on a leveraged basis is used to project fully-invested Funds under Management (FUM). $1.6b in YTD 2025 3.5x higher, compared to $436m in the same period last year Equity raisedii 37 18 40 66 11 12 1Q24 1Q25 Infrastructure Real Estate Connectivity $96m $88m +9% $2.7b in YTD 2025 Acquisitions & divestmentsii 2.5x higher, compared to $1.1b in the same period last year Robust momentum in asset management Secured $2.0biii total capital commitments for new private funds with $4.9b FUM: • Substantial capital commitment for SUR strategy • First closings for Education Asset Fund II and Data Centre Fund III
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  © Keppel 6 KeppelSakra Cogen Plant: achieved commissioning readiness, on track to commence commercial operations in 1H 2026 Keppel South Central: construction completed, and major financial institution secured as first anchor tenant Subsea Cable Systems: Bifrost’s cable laying operations was 92% completed as at end-Mar 2025, on track to be ready for service in 2H 2025 Strong progress across operating divisions Infrastructure Keppel’s position as a connectivity ecosystem partner boosted by private fund and listed trust’s joint investment in leading subsea cable solutions provider, Global Marine Group Keppel Merlimau Cogen Plant: 39% stake seeded to Keppel Core Infrastructure Fund Decarbonisation & Sustainability Solutions: grew long-term contract revenue by 31% yoy to $6.3b; expected to contribute >$100m EBITDA p.a. from 2025 onwards Real Estate Connectivity
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  © Keppel 7 Onthe recent US tariffs • Limited direct impact from the US tariffs expected, as Keppel is not involved in the manufacturing or export sectors • Keppel provides many essential services, as seen during the COVID-19 pandemic, generate stable recurring income • Meeting demand for alternative real assets supported by macrotrends such as climate change, energy transition, increasing digitalisation and the AI wave • Nevertheless, a trade war would be highly detrimental to the international economy and business environment • Various possible indirect impacts on Keppel include rising supply chain costs, market confidence, exchange rates, asset monetisation, etc. • Highly volatile situation, which continues to evolve rapidly. We will continue to monitor the developments closely Whilst it is still too early to know the full impact on the global economy and business outlook, the New Keppel is well placed to navigate the volatility ahead.
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  © Keppel 8 Improvednet profit Stronger recurring income Steady progress in asset monetisation Expanding asset management earnings and fees • Flagship funds gaining momentum • Advancing towards FUM targets The New Keppel We are meeting demand for alternative real assets anchored to resilient macrotrends.​
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  Appendix 9
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  End-Mar 2024 End-Mar2025 $4.8b $6.3b 10 Integrated Power Business Decarbonisation & Sustainability Solutions Strong earnings growth • $6.3b of long term contract revenue to be delivered over 10-15 years, building up recurring cashflows • >$100m p.a. EBITDA expected to be contributed from 2025 onwards © Keppel Resilient recurring earnings • 66% of power capacityi contracted for three years & above, with diversified customer base Projects 16% 9% 24% 25% 37% 48% 23% 18% End-Mar 2024 End-Mar 2025 >10 years 3-10 years 1-3 years <1 year Infrastructure Division updates i Based on Keppel’s existing generation capacity. ii IWMF stands for integrated waste management facility. • Keppel Sakra Cogen Plant achieved commissioning readiness, on track to commence commercial operations in 1H 2026 • Hong Kong IWMFii and Tuas Nexus IWMF were 91% and 69% completed respectively as at end-Mar 2025 Japan Bank for International Cooperation • MOU to advance the energy transition and promote sustainable digitalisation in Asia • Collaborating across areas such as renewable energy, data centres and subsea cables +31%
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  11 © Keppel i Assetvalues as of end-Mar 2025. ii ~40% of commercial GFA is under development. Real Estate Division updates Residential landbank Units % Singapore 112 1% China 15,001 45% Vietnam 6,984 21% Indonesia 7,067 21% India 4,190 12% TOTAL 33,354 100% Commercial portfolioii GFA (sm) % Singapore 87,510 5% China 536,340 32% Vietnam 401,210 25% India 346,400 21% Indonesia 153,800 9% Other SEA countries 103,100 6% South Korea 39,770 2% TOTAL 1,668,130 100% As of end-Mar 2025 Keppel South Central • Completed construction and welcomed leading financial services group as anchor tenant • ~50% of office space and retail units committed or in active negotiation Asset monetisation • $3.9b of real estate assets made up 54% of Keppel’s $7.2b cumulative asset monetisation as at YTD 2025 Sustainable urban renewal • Implementing SUR solutions across five projects with a combined asset value of $1.7bi Keppel South Central is a BCA Green Mark Platinum Super Low Energy certified building
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  Data centre portfolio Owned byKeppel DC REIT Owned/Developed by Keppel & private funds Geographical presence Asia Pacific, Europe Asia Pacific, Europe No of assets 24 10 Attributable lettable area 2,642,322 sq ft 1,622,878 sq ft Valuation ~$4.9bi $1.1bii 12 © Keppel M1’s customers (‘000) 31 Mar 2024 31 Mar 2025 Postpaid 1,943 1,815 Prepaid 326 261 Fibre broadband 241 224 TOTAL 2,510 2,300 i Refers to assets under management. ii Based on the latest independent valuations and ownership stakes in the respective projects. Connectivity Division updates As of end-Mar 2025 Data centres • Developing three AI-ready hyperscale data centres in Singapore, Taiwan and Tokyo with Keppel’s private funds Networks • Bifrost awarded subsea cable landing license by the United States Federal Communications Commission in Jan 2025 • Bifrost cable laying operations was 92% completed as of end-Mar 2025, main trunk on track to be RFS by 2H25 • Pursuing two more cable systems with over 30 fibre pairs connecting Southeast Asia to the rest of Asia and beyond M1 • Higher EBITDA yoy • Decommissioning of legacy tech stack on track to be completed in 2025
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  © Keppel 13 PeriodValue ($m) 2020 1,238 2021 1,666 2022 1,515 2023 947 2024 1,525 YTD 2025 347 TOTAL 7,238 Asset Country Value ($m) 22.6% stake in Saigon Centre Phase 3 Vietnam 98 42% stake in Palm City Vietnam 141 29.52% stake in Keppel Philippines Holdings Inc Philippines 11 30% stake in Tianjin Fulong China 93 Othersi - 4 YTD 2025 347 Announced since the start of asset monetisation programme in Oct 2020 Vision 2030 asset monetisation i Includes non-core investments in Australia and Thailand.
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  © Keppel 14 Disclaimer NOTFOR RELEASE, PUBLICATION OR DISTRIBUTION, IN WHOLE OR IN PART, IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF THAT JURISDICTION. THIS PRESENTATION SHALL NOT CONSTITUTE AN OFFER TO SELL OR A SOLICITATION OF AN OFFER TO SELL, SUBSCRIBE FOR OR BUY SECURITIES IN ANY JURISDICTION, INCLUDING IN THE UNITED STATES. This presentation is for information purposes only and does not have regard to your specific investment objectives, financial situation or your particular needs. Any information in this presentation is not to be construed as investment or financial advice and does not constitute an invitation, offer or solicitation of any offer to acquire, purchase or subscribe for securities or other financial instruments in Keppel Ltd. (“Keppel”). The past performance of Keppel is not indicative of the future performance of Keppel. You should exercise judgment in your own financial decisions. If in doubt, please consult with your professional advisers. Unless explicitly indicated otherwise, all monetary values denoted as ‘$’ within this presentation are to be interpreted as referring to Singapore dollars.