BTS GROUP HOLDINGS PCL

Transcription

1 BTS GROUP HOLDINGS PCL INVESTOR PRESENTATION FEBRUARY 2019

2 IR Contact Address: IR Department 15 th Floor, TST Tower, 21 Soi Choei Phuang, Viphavadi-Rangsit Rd. Chomphon, Chatuchak, Bangkok, Thailand Telephone: +66(0) Fax: +66(0) Website: Disclaimer This document has been prepared and distributed by the Investor Relations Department of ( BTSG ) solely for information purposes. It does not represent or constitute an offer, invitation, recommendation or solicitation to trade shares in BTSG and should not be relied on as such. Some of the information in this document has not been independently verified, and also includes information made available from public sources and other third party opinion or analyst. BTSG does not monitor or control the content of third party opinion or statements and does not endorse or accept any responsibility for the content or the use of any such opinion or statements. Thus, BTSG assumes no responsibility and makes no representations with respect to the accuracy and/or completeness of the information described herein. None of BTSG or any of its agents, or all of their respective affiliates, or representatives shall have any liability (in negligence or otherwise) for any loss howsoever arising from any use of this document or its contents or otherwise arising in connection with this document. All information contained in this document is presented as of the date indicated within, and BTSG assumes no duty to confirm, revise or update the information. Certain statements in this document may be deemed to contain forward-looking statements, including the statements included or incorporated with the words "believe", "anticipate", "estimate", "target", or "hope", or that otherwise relate to objectives, strategies, plans, intentions, beliefs or expectations or that have been constructed as statements as to future performance or events. These forward-looking statements are not guarantees of future performance and involve risks and uncertainties that could cause actual results to differ materially from historical results or those anticipated at the time the forward-looking statements are made. Thus, BTSG assumes no responsibility and makes no representations with respect to the accuracy and/or completeness of the forward-looking statements. BTSG undertakes no obligation to publicly update or revise any forwardlooking statements, whether as a result of new information, future events or otherwise. 2

3 Contents Section 1 Section 2 Section 2.1 Section 2.2 Section 2.3 Section 2.4 Section 3 BTS Group in Brief Business Segment Profiles Mass Transit Business Media Business Property Business Services Business Financial Summary Appendices 3

4 BTS Group History APR 2013 MAR 2018 Company established as Tanayong Co., Ltd. (TYONG) to operate in property development field TYONG established a wholly-owned subsidiary, Bangkok Transit System Corporation Ltd. (BTSC), which won the SkyTrain concession bid BTSC exit court supervised rehabilitation procedure TYONG acquired 94.6% of BTSC, returning Mass Transit operations to be the primary business of the Company. The Company also changed its name to BTS Group Holdings PCL (BTSG) BTSC sold the future Net Fare-box Revenue under its Concession Agreement to BTS Rail Mass Transit Infrastructure Fund (BTSGIF) BTSG completed the entire business transfer of Unicorn Enterprise Company Limited, our former subsidiary, to U City Public Company Limited, our associate TYONG listed on the Stock Exchange of Thailand under Property Development sector 1991 Commercial operation of the BTS SkyTrain commenced 1999 BTSC expanded into Media business through the acquisition of 100% of VGI Global Media Co., Ltd. (VGI) 2009 BTSC signed a 30-year operating & maintenance (O&M) contract covering Green Line extensions (Saphan Taksin - Wongwian Yai - Bang Wa and Onnut - Bearing) under the purview of the Bangkok Metropolitan Administration (BMA) MAY 2012 VGI Global Media PCL, the Group s Media subsidiary, listed on the Stock Exchange of Thailand OCT 2012 BTSC signed the operating & maintenance (O&M) contract with KT; a wholly owned subsidiary of the BMA. The contract covers 30.8km of Green Line Northern and Southern extensions (Mo Chit Saphan Mai Khu Khot and Bearing Samut Prakarn) MAR 2017 Concession Contracts of the Pink (Khae Rai to Min Buri) and the Yellow Line (Lad Prao to Sam Rong), a total length of 64.9km were awarded JUN 2017 Section 1: BTS Group in Brief 4

5 Business Organisation and Shareholding Structure as of 30 September Information based on book closure date on 14 Jun 18 with total issued shares = 11,845.5mn shares 2 BTSG holds 69.69% of VGI indirectly and directly as of 30 September Revenue from the Company recorded under Services BU 41% Kanjanapas Family 1 34% Institutional Investors 1 25% Individual Investors 1 LEGEND Listed entities Subsidiaries Associates JVs MASS TRANSIT BUSINESS 97.48% Bangkok Mass Transit System PCL (BTSC) BTS Infrastructure Services Co., Ltd 33.33% 100% 100% BTS Infrastructure Development Co., Ltd 75% Northern Bangkok Monorail Co., Ltd. 75% Eastern Bangkok Monorail Co., Ltd. BTS Rail Mass Transit Growth Infrastructure Fund (BTSGIF) 45.04% MEDIA BUSINESS VGI Advertising Media Co., Ltd. 888 Media Co., Ltd. Master Ad PCL Aero Media Group Co., Ltd % VGI Global Media PCL (VGI) 2 Point of View (POV) Media Group Co., Ltd. VGI Global Media (Malaysia) Sdn Bhd BV Media Ads Limited Demo Power (Thailand) Co., Ltd. The ICON VGI Co., Ltd. Supremo Media Co., Ltd Kerry Express (Thailand) Ltd Group Work Co., Ltd. 100% 100% 100% 100% 50% 40% 31.65% 18.09% 30% 25% 25% 23% 20% PROPERTY BUSINESS U City PCL Kingkaew Assets Co., Ltd. The Community One Co., Ltd. The Community Two Co., Ltd. Yongsu Co., Ltd. DNAL Co., Ltd. Bayswater Co., Ltd % 100% 100% 100% 100% 100% 50% 51% 90% 41.18% 80% SERVICES BUSINESS 100% Turtle 23 Co., Ltd. 100% RB Services Co., Ltd. 100% 60% BSS Holdings Co., Ltd. Rabbit Rewards Co., Ltd. Bangkok Payment Solutions Co., Ltd. Man Food Holdings Co., Ltd. 100% 100% 51% Man Food Products Co., Ltd. Primary Kitchen Co., Ltd. 100% Man Kitchen Co., Ltd. 69% Little Corner Co., Ltd. KMJ 2016 Co., Ltd. HHT Construction Co., Ltd. 3 RabbitPay System Co., Ltd % Rabbit-Line Pay Co., Ltd. 51% ATS Rabbit Special Purpose Vehicle Co., Ltd. 51% ASK Direct Group Co., Ltd. 51% Rabbit Insurance Broker Co., Ltd. 30% Rabbit Internet Co., Ltd. 90% Bangkok Smartcard System Co., Ltd. 49% 49% Section 1: BTS Group in Brief 5

6 BTS Group Overview 4 Business Units with Mass Transit as our Core MASS TRANSIT Historical operating revenues (1) Mass Transit Revenue (THB mn) 2,274 2,574 4,237 9,112 FY 17/18 Operating revenue contribution FY 14/15 FY 15/16 FY 16/17 FY 17/18 *FY 2017/18:- Services revenue from provision of E&M works & train: THB 5,795mn, O&M Revenue: THB 1,865mn, net profit from investment in BTSGIF: THB 949mn, interest income from E&M and train procurement: THB 503mn MEDIA PROPERTY 1, FY 14/15 FY 15/16 FY 16/17 FY 17/18 * FY 2017/18:- Commercial Property revenue : THB 616mn, Residential Property revenue: THB 23mn SERVICES 2,926 *FY 2017/18:- OOH Media revenue: THB 3,558mn, Digital Services business: THB 344mn Media Revenue (THB mn) 2,318 3, ,902 FY 14/15 FY 15/16 FY 16/17 FY 17/18 Property Revenue (THB mn) Services Revenue (THB mn) % THB 14,102mn 28% 4% 3% Mass Transit Media Property Services EMPLOYEES (as of 31 Mar 2018) Mass Transit 2,372 Media 495 Property 548 Services 955 BTS Group 148 Total 4,518 Section 1: BTS Group in Brief FY 14/15 FY 15/16 FY 16/17 FY 17/18 * FY 2017/18:- ChefMan revenue:- THB 128mn, HHT revenue : THB 180mn, BPS and Rabbit Rewards: THB 141mn (1) FY ended 31 March 6

7 Strategy and 5-Year Growth Targets Target Average Operating Revenue & Recurring Net Profit Growth of ~30% p.a. from FY 16/17 to FY 21/22 As a mass transit led conglomerate, the company s key focus is on securing new mass transit lines which are authorised or set by the government at both municipal and national levels. After securing additional lines, we capture further value from opportunities which cascade down to our other independently operating business units in Media, Property and Services. We actively pursue capital market opportunities that allow us to unlock further uplift from our assets or to allow us to recycle capital to finance future expansion sustainably. BU Mass transit Media Property STRATEGY 5-YEAR GROWTH DRIVERS Organic growth: 4-5% CAGR ridership growth, inflationary fare increase on Core Network (23.5km): pre-agreed O&M fee increase to Green Line extensions (12.8km) New contracts: 97.4km (Pink, Yellow, Dark Green North & South extensions and Gold Line phase 1) already secured taking total to 133.7km Target contracts for an additional 81.2km (Green West, Orange, LRT, Grey and HSR) Out-of-Home (Organic growth) Transit: mass transit line expansion Office: increased building supply Outdoor: billboard and street portfolio expansion through new licensing agreements Airport: increasing popularity of low cost airlines Payment & Data: expansion of our payment network through our subsidiary, Rabbit Group, and partnerships with its strategic alliances New products and synergies: new stream of revenue resulting from the full integration of 3 platforms this can create new synergies such as optimal O2O solutions for our clients Commercial: 4-5% revenue CAGR growth U City: Targets revenue and net profit of THB 9,400mn and 1,360mn, respectively by YEAR OPERATING REVENUE* OUTLOOK THB 8.2BN 37% 52% 5Y CAGR 31% FY16/17 FY17/18 FY21/22 5-YEAR RECURRING NET PROFIT (AFTER MI) OUTLOOK THB 1.4BN 49% 107% THB 13.9BN 28% 65% THB 31.8BN * Operating revenue includes share of net profit (loss) from associated companies and JVs THB 2.5BN 38% 84% 25% 70% 5Y CAGR 29% FY16/17 FY17/18 FY21/22 Services Property Media Mass Transit THB 5.1BN Services Property 27% Media 73% Mass Transit Others Section 1: BTS Group in Brief 7

8 Contents Section 1 Section 2 Section 2.1 Section 2.2 Section 2.3 Section 2.4 Section 3 BTS Group in Brief Business Segment Profiles Mass Transit Business Media Business Property Business Services Business Financial Summary Appendices 8

9 Bangkok Rail Mass Transit Network At 121.6km Bangkok s Network is Immature MASTER PLAN: 515.2KM IN 2029, 24% MARKET SHARE IN 2037 *Includes MRTA and BMA projects Sources: Office of Transport and Traffic Policy and Planning, Bangkok Metropolitan Administration OPERATING LINES: 121.6KM 121.6km 85 stations by 3 operators BTS: 48.9km (SkyTrain Green Line) BEM: 44.2km (Blue Subway & Purple) RAIL MASS TRANSIT MARKET SHARE Seoul 51% Hong Kong 49% Tokyo 48% Singapore 46% Guangzhou 17% Bangkok 6% Source: OTP, Singapore s Land Transport Authority, Hong Kong s Transport Department, MTR Corporation Limited, SMRT Corporation Limited, Japan Statistic Bureau RAIL TRACK LENGTH PERVASION (per million population) Tokyo 42.0 Singapore 39.4 Hong Kong 34.9 Bangkok 10.2 Source: United Nations Statistics Division, BTSC, BMCL, MTR Corporation Limited, SMRT Corporation Limited, official websites of rail mass transit system in major cities SRT: 28.5km (Airport Rail Link) WEEKDAY RIDERSHIP MARKET SHARE IN 2017 (JAN-DEC) BTS 743,223 62% BEM* 378,167 32% ARL 70,000 6% *BEM ridership excludes purple line, BTS and BEM based on company s ridership report website as of 2017, whilst ARL is based on information as of DEC 17. Total Average Weekday Ridership of 1,191,390 trips Section 2.1: Mass Transit Business 9

10 BTS Lines 4 Lines, covering a total of 133.7km are under BTS Contracts BTS NETWORK: 133.7KM (115 STATIONS) EXT. ZONE 2 NORTHERN GREEN LINE MO CHIT - KHU KHOT 18.2KM* PINK KHAE RAI MIN BURI 34.5KM UNIT: KM SECURED DISTANCE OPERATING DISTANCE GREEN CORE NETWORK MO CHIT ON NUT 17.0KM YELLOW LAD PRAO SAM RONG 30.4KM PINK KM: CORE NETWORK 12.8KM: EXT. ZONE KM: EXT. ZONE 2 NATIONAL STADIUM SAPHAN TAKSIN 6.3KM EXT. ZONE 1 YELLOW 30.4 EXT. ZONE 1 SAPHAN TAKSIN BANG WA 7.5KM ONNUT BEARING 5.3KM EXT. ZONE 2 GOLD 1.7 GOLD PHASE 1 KRUNG THONBURI BTS STATION KHLONG SAN 1.7KM SOUTHERN GREEN LINE BEARING SAMUT PRAKARN 12.6KM TOTAL *Northern Green Line Extension is currently under construction. It s first station is expected to be opened in mid 2019 and its full operation in Section 2.1: Mass Transit Business 10

11 16/17 17/18 18/19 19/20 20/21 21/22 22/23 23/24 24/25 25/26 26/27 27/28 28/29 29/30 30/31 31/32 32/33 33/34 34/35 35/36 36/37 37/38 38/39 39/40 40/41 41/42 42/ BTS Network 23.5km Core Network and 12.8km Green Line Extension CORE NETWORK: 23.5KM ZONE 1: 12.8KM EXTENSIONS 23 stations, 23.5km located at CBD of Bangkok Inaugural Mass Transit route, operated since Dec 1999 No revenue sharing to BMA Under 30 years concession contract (net cost model) from In Apr 2013, BTSC sold the rights to net farebox revenue under its concession agreement for the BTS Skytrain Core Network until Dec 2029 to BTSGIF BTS Group used the proceeds to invest 1/3 units in BTSGIF (10 years lock-up) CORE NETWORK MO CHIT ON NUT 17.0KM NATIONAL STADIUM SAPHAN TAKSIN 6.3KM EXT. ZONE 1 ONNUT BEARING 5.3KM SAPHAN TAKSIN BANG WA 7.5KM RESILIENCE RIDERSHIP SINCE INCEPTION (CAGR: 9.1%) Y Farebox Revenue CAGR: 9.7% 16Y Ridership CAGR: 8.6% Farebox revenue (THB bn) Ridership (mn) DISTANCE-BASED FARE (AVG = THB 28.3/TRIP) AUTHORISED FARE (APR 13) NEW EFFECTIVE FARE (OCT 17) PREVIOUS EFFECTIVE FARE (JUN 13) POTENTIAL FARE UPSIDE NO. OF STATIONS BTSC has operated & maintained the extensions since 2009 Pre agreed fee income with no ridership risk 30-Year O&M Contract signed in May 2012: 1. Current extensions (zone 1) of 11 stations, 12.8km 2. Core Network of 23 stations, 23.5km post concession expiry (Dec 2029 May 2042) Core Line Zone 1 Zone 1: CAGR (FY16/17-FY41/42) = 3.9% Core Line: CAGR (FY30/31-FY41/42) = 3.1% (unit: THB bn) PPP NET COST CONTRACT O&M CONTRACT Section 2.1: Mass Transit Business 11

12 PROJECT CAPEX & FINANCING EXPECTED RIDERSHIP AND REVENUE PROJECT DETAILS BTS Network 30.8km New Extension and 64.9km Pink & Yellow Monorail Lines ZONE 2: 30.8KM NEW EXTENSIONS 64.9KM PINK AND YELLOW LINE (MONORAIL) EXT. ZONE 2 NORTHERN GREEN LINE MO CHIT - KHU KHOT 18.2KM YELLOW PINK KHAE RAI MIN BURI 34.5KM Route PINK Kae Rai Min Buri YELLOW Lad Prao Sam Rong Distance / no. of stations 34.5km / km / 23 Required trains 42; 4-car train (168 cars ) 30; 4-car train (120 cars ) SOUTHERN GREEN LINE BEARING SAMUT PRAKARN 12.6KM YELLOW LAD PRAO SAM RONG 30.4KM Contract length 30yr operation 30yr operation Daily ridership in Y1 199k trips 195k trips Ridership CAGR (30Y) 5.2% 4.5% EXT. ZONE 2 BTSC has the operated & maintained of the additional 30.8km of Green Line extensions on 31 Mar 17 Pre agreed fee income with no ridership risk 25-year O&M contract covers 30.8km of Northern and Southern Green Line Extensions (Apr 17 May 42) SOUTHERN: Bearing Samut Prakarn (12.6km/ 9 stations) NORTHERN: Mo Chit Saphan Mai Khu Khot (18.2km/ 16 stations) OWNERSHIP STRUCTURE BTS STEC 15% 75% RATCH NORTHERN BANGKOK MONORAIL COMPANY LIMITED PINK LINE PROJECT (INCLUDE EXTENSIONS) 10% EASTERN BANGKOK MONORAIL COMPANY LIMITED YELLOW LINE PROJECT (INCLUDE EXTENSIONS) Average fare in Y1 THB 34.7/ trip THB 30.0/ trip EBITDA margin (%) Commercial revenue 26% at early stages rising to 69% at Y30 10% of farebox revenue 34% at early stages rising to 64% at Y30 15% of farebox revenue Total Project Cost THB 49.4bn THB 46.7bn Civil Subsidy Amount THB 22.5bn THB 25.05bn Civil Subsidy Term Equal payment at 2.25bn p.a. for 10 years from beginning of operation Equal payment at 2.505bn p.a. for 10 years from beginning of operation Sharing to MRTA THB 250mn THB 250mn Funding (D/E) 2.5x 2.5x O&M CONTRACT Section 2.1: Mass Transit Business PPP NET COST CONTRACT WITH SUBSIDY 12

13 BTS Targeted Lines Interested in an additional 81.2km WESTERN ORANGE LINE TALING CHAN - THAILAND CULTURAL CENTER 17.0km EASTERN ORANGE LINE THAILAND CULTURAL CENTER - MIN BURI 22.6km 81.2KM FUTURE LINES IN THE NEXT 5 YEARS BTS TARGET ROUTE AUTHORITY DISTANCE (KM) GREEN EXT. (WESTERN) BANG WA - TALING CHAN NO. OF STATION EXPECTED OPERATING BMA LRT BANG NA - SUVARNABHUMI BMA GREY PHASE 1 WATCHARAPHON THONG LO BMA ORANGE (E) ORANGE (W) THAILAND CULTURAL CENTER - MIN BURI TALING CHAN - THAILAND CULTURAL CENTER MRTA MRTA OTHER ROUTE AUTHORITY DISTANCE (KM) NO. OF STATION EXPECTED OPERATING BLUE HUA LAMPHONG - BANG KHAE MRTA BLUE BANG SUE - THA PRA MRTA BLUE BANG KHAE BHUDHAMONTHON 4 MRTA DARK RED BANG SUE - RANGSIT SRT WESTERN GREEN LINE EXT. BANG WA - TALING CHAN 7.0km GREY LINE (PHASE 1) WATCHARAPHON THONG LO 16.3km LRT BANG NA SUVARNABHUMI 18.3Km DARK RED BANG SUE HUA LUM HONG SRT LIGHT RED BANG SUE PHAYATHAI MAKKASAN HUAMAK SRT LIGHT RED BANG SUE TALING CHAN SRT PURPLE (SOUTHERN) TAO POON RAT BURANA MRTA TOTAL overground stations Under construction (including Northern Green Line Extension Zone 2,Gold Line, Pink and Yellow lines, totaling 175.7km under construction) Section 2.1: Mass Transit Business 13

14 81.2KM BTS TARGETED LINES 84.8KM AWARDED LINES Timeline of Upcoming Lines and CAPEX Significant Upcoming Revenue Expected in the Next 5 years GREEN LINE EXTENSION ZONE 2: NORTHERN 18.2KM 1 PINK LINE: 34.5KM YELLOW LINE: 30.4KM 9.8 EXPECTED CAPEX (THB BN) TRAINS CAPEX INCL. SOUTHERN AND NORTHERN PARTS E&M WORKS CIVIL + TRAINS + E&M CIVIL + TRAINS + E&M JUL 18 EXPECTED TIMELINE FY 17/18 FY 18/19 FY 19/20 FY 20/21 FY 21/22 FY 22/23 OCT 2021 FY 23/24 FY ended 31 March FY 24/ /42 JUL 18 OCT / /52 EXPECTED REVENUE (THB BN P.A.) FAREBOX REVENUE (Y1) O&M REVENUE (Y1) GOLD LINE PHASE 1: 1.7KM MAR 2018 SEP /50 WESTERN GREEN LINE EXTENSION: 7.0KM 2.1 BY 2019 BY 2022 LRT: 18.3KM BY 2019 BY 2022 GREY LINE PHASE 1: 16.3KM ORANGE LINE: 39.6KM 12.9 TRAINS + E&M 33.3 TRAINS + E&M BY 2019 MID 2017 BY 2019 BY 2022 BY 2023 TOTAL CAPEX/FINANCING THB 152.1bn START CIVIL WORKS CONSTRUCTION CONSTRUCTION PERIOD START FULL OPERATION OPERATION YEAR, UP UNTIL EXPECTED OPEN BID/ AWARD BIDDING & CONSTRUCTION PERIOD NOTE: 1 In total of 30.8km, divided into Southern Green which has already commenced on 6 Dec 18 (12.6km),and Northern Green (18.2km). 2 Under the terms of the contract signed on 28 June 2016 with Krungthep Thanakom (KT) - a wholly owned subsidiary of the BMA (Bangkok Metropolitan Administration). BTSC is pre-financing E&M provision and installation. KT will repay the costs of E&M works in a lump sum amount after four years after contract signing date. 3 Project cost (excluding interest expenses) for the Pink and Yellow based on MRTA submission and BTS owns 75% equity stake in JV Cos. Calculation based on D/E ratio at 2.2x (equity required of THB 21bn). The JV Cos will receive civil work subsidy from the MRTA of THB 22.5bn (for the Pink Line) and THB 25.05bn (for the Yellow Line) for 10 years from beginning of operation. 4 Assume O&M revenue of THB 140mn/km p.a. BTS Group Earnings Presentation Section 2.1: Mass Transit Business 14

15 BTS s 5-year Target of Network Expansion Quadruple Growth from 48.9km in 2018 to 215km in km Total network in 2023 from 121.6km currently 215km Targeted BTS network in 2023 from 48.9km currently Distance (km) No. of stations Full operation Partial operation FY 17/18 FY 18/19 FY 19/20 FY 20/21 FY 21/22 FY 22/ km Lines under construction Samrong (1.8km) began operation South ext. (12.6km) 1 st station of North ext. (1.8km) North ext. (18.2km) Gold line (1.7km) Pink line (34.5km) Yellow line (30.4km) Western Green ext. (7km) LRT (18.3km) Grey line phase1 (16.3km) Orange line (39.6km) Section 2.1: Mass Transit Business 15

16 Contents Section 1 Section 2 Section 2.1 Section 2.2 Section 2.3 Section 2.4 Section 3 BTS Group in Brief Business Segment Profiles Mass Transit Business Media Business Property Business Services Business Financial Summary Appendices 16

17 Focusing on the Highest Growth Media Segments OOH and Online 5 YRS HISTORICAL ADVERTISING SPENDING (THB bn) Rising in infrastructure, urbanisation and increasing number of people who spend time outdoor were driven the growth of Thailand OOH Media. 127bn 128bn 118bn 5.6% 5.6% 116bn 4.3% 3.5% 3.5% 112bn 4.6% 7.7% 7.7% 9.6% 12.4% ON LINE* 8.7% 5.0% 18.5% 18.5% 10.4% 6.2% 22.4% 11.8% OOH MEDIA 14.7% 11.9% 60.0% 64.7% 57.7% 2013/ / / / /18 TV Traditional media OOH media Cinema Online* Shutdown BKK Section 2.2: Media Business 64.2% Coup d etat 60.3% Mourning effect * Online includes 2 sources (i) online adspend which consists of banner ad on 50 websites and 10 mobile sites and (ii) digital adspend which is from ad on Facebook, YouTube, Display, Search, Social, Creative, Online Video, LINE and others (based on Dec year-end) Sources: The Nielsen (Thailand) Co., Ltd. and Digital Advertising Association Thailand (DAAT) ONE OF THE MOST HIGHEST EBITDA MARGIN MEDIA COMPANY The top 3 profitable OOH media company globally. 56.0% 44.0% 43.6% 28.4% Focus Media Note: VGI Lamar Outfront media EBITDA margin as of 2017 VGI EBITDA margin as of 2017/ % 22.9% 15.4% APG Stroeer JCDecaux ADVERTISING MARKET 5 YRS CAGR (2011/ /17) The accelerated growth of online and OOH media fueled by migration to mobile devices and increased consumer media exposure as people spend more time out of home. VGI s Focus Traditional media** Online 32.3%* OOH Cinema Total industry Analogue TV In-store VGI GROUP S FOCUS -13.1% -19.7% -10.8% -0.7% -2.7% 9.9% REMARKS: *Online sources include; (i) ) online adspend which consists of banner ad on 50 websites and 10 mobile sites from Nielson and (ii) Digital adspend includes ad on Facebook, YouTube, Display, Search, Social, Creative, Online Video, LINE and others (based on Dec year-end) reported by DAAT ** Traditional media includes Radio, Newspapers, Magazines Our focus has proven to be the fastest growth media sector OOH (Out-of-Home) Thailand s no. 1 transit media with 60% of market share The sole player in office building media with 162 Grade A&B buildings under management Strong nationwide footprint in outdoor media with >2,200 billboards Thailand s no. 2 aviation media with 20% market share Online Thailand s no. 1 activation operator with 70% market share The first mover in Thailand who established the integrated online and offline media platform 17

18 Expanding Our Business Around Data-driven Segment TECHNOLOGY AMPLIFIES E-PAYMENT LANDSCAPE Rapid growth in the number of smartphones, internet and innovative payment products, has driven the e-money market to evolve and experience high growth. VALUE & VOLUME CAGR (6 YRS): 30% Sweden , % OF THAI E-COMMERCE PAYMENTS MADE IN CASH Opportunity to convert cash on deliver to e-payment method. 70% = CASH 30% = ALL OTHER PAYMENT TYPES THAILAND HAS A LOW E-PAYMENT USAGE PER CAPITA 150 E-PAYMENT TRANSACTIONS PER CAPITA IN , Value of e-money transaction (bn) Volume of e-money transaction (mn txn) Source: Payment systems statistics, Bank of Thailand 126 Source: Ecommerce IQ 9x increased 150 Thailand 49 South Korea 413 United Kingdom 314 Singapore 716 Malaysia E 49 Source: Payment Systems Report (2016), Bank of Thailand Source: Payment Systems Report (2016), Bank of Thailand 18

19 Well-Diversified Media Portfolios Advertising, Payment and Logistics Platforms VGI GROUP COMPANY SEGMENT 100.0% 30.4% 30.0% 40.0% 90.0% 90.0% VGI MACO AERO MEDIA DEMO POWER BSS & BSSH TRANSIT OFFICE OUTDOOR AVIATION ACTIVATION PAYMENT SERVICES 23.0% KERRY EXPRESS LOGISTICS GEOGRAPHICAL ACTIVITY BKK, Thailand KL, Malaysia BKK, Thailand Nationwide, Thailand KL, Malaysia Nationwide, Thailand Yangon, Myanmar Nationwide, Thailand Nationwide, Thailand Nationwide, Thailand BKK and nationwide, Thailand LEADING POSITION & NETWORK No. 1 in Transit media 31.0km, BKK 51.0km, Malaysia No. 1 in Office media 174 office building 281 condominium No. 2 in Outdoor media >2,000 billboards No. 2 in Aviation media 15 airports The largest Activation services >1,000 stores The largest micro payment platform 9.3mn Rabbit cards 3.5mn Active cards 3.4mn LINE pay users >1,300mn outstanding loan No. 1 in Parcel Delivery Services > 1mn parcels per day AUDIENCE REACH 40mn potential reach 16mn users 1mn interaction KEY GROWTH AREA Additional inventory from BTS s new line extensions Grade B&C and upcountry market To convert 10% of static billboards to digital screens Rabbit s data Expand to airports in South East Asia Potential expansion in BTS stations and office buildings Expand Rabbit card & Rabbit Line Pay network Expand insurance and micro loan network Delivering letters and parcels from online retailers to individual consumers 2017/18 REVENUE 1 THB 3,559mn THB 378mn SEGMENT Advertising Payment Logistics 1 Excluding revenue from Titanium Compass, Aero Media and Demo Power of which are recognised as equity method Section 2.2: Media Business 19

20 Solid Growth Opportunities Upside from BTS Rail Mass Transit Expansion and Monetisation of Rabbit s Data TOTAL OF 836 TRAINS CAPACITY Section 2.2: Media Business 2017/ /23E CORE + EXTENSION GREEN (SOUTHERN) NONE 60 GREEN (NORTHERN) NONE 84 PINK NONE 168 YELLOW NONE 120 GREEN (WESTERN) NONE 32 LRT NONE 64 GREY (PHASE I) NONE 72 TOTAL Revenue of THB 10,000mn (37% 2-Year CAGR) TOTAL OF 147 STATIONS CAPACITY 2017/ /23E CORE + EXTENSION GREEN (SOUTHERN) NONE 9 GREEN (NORTHERN) NONE 16 PINK NONE 30 YELLOW NONE 23 GREEN (WESTERN) NONE 6 LRT NONE 14 GREY (PHASE I) NONE 15 TOTAL X EXPECTED INCREASE IN BTS TRAIN CAPACITY 4.9X EXPECTED INCREASE IN BTS STATION CAPACITY x /18 (A) 18/19 (E) 19/20 (E) 20/21 (E) 21/22 (E) 22/23 (E) Under Negotiation 168 carriages Secured 668 carriages Current Green South Green North Pink Yellow LRT Grey (Phase I) Green West 2020/21 GOALS NPAT 42% 2-Year CAGR +4.9x /18 (A) 18/19 (E) 19/20 (E) 20/21 (E) 21/22 (E) 22/23 (E) Under Negotiation 39 stations Secured 108 stations 20

21 Payment: Synergy between VGI and Rabbit Rabbit Platform s Database OFFLINE PAYMENT: RABBIT CARD The E-money service provider with a common ticketing system supporting BTS and BRT. BSS system also encompass other forms of public transportation as well as retail, service and tourism sectors. Use on BTS SkyTrain & BRT Current 2020 Rabbit Cards 9.8mn > 15.0mn ONLINE PAYMENT: RABBIT LINE PAY A mobile e-wallet solution embedded in the leading chat messenger application Current 2020 Line Users 45.0mn >55.0mn Use in retail stores Active Cards 3.5mn > 8.0mn Retailer Points > 6,400 >10,000 Rabbit Line Pay Users Online Merchants 4.5mn >10.0mn > 1,000 >1,500 LARGE PARTNERS NETWORK BUILT SERVICES BUSINESS JV with AEON: THB 1.3bn outstanding loans Micro loan through the joint venture with AEON Rabbit Insurance Broker: More than THB 16mn gross written premiums per month Insurance aggregator services on Rabbit Finance website and also a licensed broker for insurance products. Rabbit Daily: 3mn monthly visits Online lifestyle publisher, providing social news and entertainment content and advertorials Co-branded Card: BBL co-branded card & AIS-Rabbit card Issued by financial institutions or corporations that wish to add Rabbit functionality to credit card, debit card, or other card types or devices Section 2.2: Media Business 21

22 Logistics: Parcel Delivery Services DELIVERY SERVICES PORTFOLIO Kerry is the No. 1 parcel delivery services in Thailand, delivering more than 1,000,000 parcels per day and has more than 4,000 retail service points nationwide. INVESTMENT & ACCOUNTING METHOD Investment: 23% in Kerry Express Accounting Method: Equity Sharing SERVICES PRODUCTS SERVICES CHANNEL B2B B2C C2C delivering parcels from company to various places such as financial institutions, law firm, retail shops and etc. delivering parcels from e-market place to the individual shoppers delivering letters and parcels from online retailers to individual consumers NETWORK Deliver more than 1,000,000 parcels per day 900 distribution centers 700 parcel shops in Bangkok, Central and East 4,000 retail service points at alliance shops such as Section 2.2: Media Business 22

23 One-Stop Shop Solutions Combining offline out-of-home (OOH) media with online and data ONE-STOP SHOP SOLUTIONS OFFLINE/ OOH O2O SOLUTIONS ONLINE/ DATA Full service OOH media platform No. 1 Transit media in Bangkok No. 1 Office media in CBD Bangkok No. 2 Outdoor media nationwide No. 2 Aviation media No. 1 Activation media Integrating Offline and Online world Creating awareness through offline OOH platform Bridging with our database, creating engagement opportunity for targeted audience Activating conversion at last mile touch point Completing the customer journey Over 40mn data points Partnership with No. 1 market leaders >1mn BTS daily commuters >45mn LINE users >40mn AIS users >5mn Kerry customers Transit Office Outdoor Aviation Activation Section 2.2: Media Business 23

24 Contents Section 1 Section 2 Section 2.1 Section 2.2 Section 2.3 Section 2.4 Section 3 BTS Group in Brief Business Segment Profiles Mass Transit Business Media Business Property Business Services Business Financial Summary Appendices 24

25 Property Business Industry Overview BANGKOK CONDO LAUNCHES AVG. PRICES AND TAKE-UP RATES BY DISTANCE TO BTS Units 50,105 34,666 39,046 58,424 25,000 56% 61% 60% 57% 20,000 15,000 10,000 5, Q 2Q 3Q 4Q Average Take-up Rate (RHS) Source: Colliers International (Thailand) INTERNATIONAL TOURIST ARRIVALS IN THAILAND Baht/sqm 300, , , , ,000 50,000 75% 76% 70% 65% 64% 46% 58% 75% 47% 63% 60% 60% m m 501-1,000m (CAGR +22.4%) (CAGR +10.7%) (CAGR +19.7%) Source: Colliers International Thailand GLOBAL INTERNATIONAL TOURIST ARRIVALS 78% 65% 48% 48% Over 1,000m (CAGR +6.0%) Millions of Persons ,040 1,088 1,134 1,184 1,235 1, Source: Department of Tourism, Ministry of Sports and Tourism Section 2.3: Property Business Source: UNWTO 25

26 Property Portfolio and Business Strategy U City is the Dedicated Vehicle for Property Development PROPERTY BOOK VALUE BREAKDOWN * Adjusted for equity stake U City THB 20.2bn 70% Section 2.3: Property Business 15% Total Book Value as of 30 Jun 18: THB 29.0bn 2% 11% 3% OUR HOTEL PORTFOLIO UNDER U CITY Under No. of Hotels No. of Keys U City s Stake Directly-held 8 1, % Owned* 6 1, % Operating Leased % Vienna House 39 7, % Owned 19 3, % Operating Leased 9 2, % Managed 11 2, % AHS 49 17,153 50% Managed 49 17,153 50% Grand Total 96 26,305 *Includes financial lease hotels and hotels currently under construction Bayswater JV THB 4.3bn Residential THB 0.5bn Commercial THB 3.3bn Land Bank THB 0.8bn LAND: OVER 670,000M² OF OPPORTUNITY IN BANGKOK ALONE Projects and Properties a. The LINE Jatujak Mochit b. The LINE Sukhumvit 71 c. The LINE Ratchathewi d. The LINE Asoke-Ratchada e. The BASE Garden Rama 9 f. The LINE Pradipat g. The LINE Sukhumvit 101 h. KHUN BY YOO i. The BASE Petkasem 29 j. The LINE Sathorn k. The LINE Wongsawang l. TST Tower Office Building m. U Sathorn Hotel n. Eastin Grand Sathorn Hotel o. Eastin Thana City p. The Unicorn q. The Grand r. The Royal Place II i s. Thana City Golf & Sports Club t. Verso International School Land Bank Projects and Properties BTS Group Land Bank U City Residential Bayswater JV Land Bank U City Recurring Income U City Land Bank ATTRACTIVE LAND BANK BTS Residential BTS Commercial Bayswater JV 48.8 rai (7.8 ha) Owners Total Area (Rai) Total Area (sq.m) BTS Group Plc ,966.0 Bayswater JV ,051.2 U City Plc ,450,635.6 Total 1, ,311,652.8 Includes Upcountry, BKK & Vicinities land bank, not equity stake adjusted k Kukot 51.7 rai (8.3 ha) l Mochit 11.1 rai (1.8 ha) a f d p e c h q r b j m g n Ratburana & Suksawad 44.1 rai (7.6 ha) o s t Thana City rai (49.4 ha) Data as of 30 Jun 18 26

27 U City s Business Overview Recurring Income Segment Overview RECURRING INCOME PROPERTY (as of June 2018) Currently Over 26,300 Hotel Keys and 27,000 sqm of Office Space U Chiang Mai Hotel HOSPITALITY Vienna House Hotels Interests in 10 European Countries Austria Belarus Czech Republic France Germany Poland Romania Russia Slovakia United Kingdom Interests in 5 Asian & Middle Eastern Countries Thailand Vietnam Indonesia India Oman U Sathorn Hotel Eastin Grand Sathorn Hotel OFFICE MIXED USE EDUCATION 33 Gracechurch Street 6-14 Underwood Street TST Tower The Unicorn Verso International School Section 2.3: Property Business 27

28 U City s Business Overview Residential Segment Overview - BTS-Sansiri JV PARTNERSHIP ROADMAP 14 Residential Projects with total project costs of THB 55mn have been launched since inception 50:50 JV to develop a targeted THB 100bn worth of condominiums along current and future mass transit lines through the JV with Sansiri with an expected NPAT margin 10% and equity IRR 14% on a blended basis 2015 (3 projects, THB 10.8bn) The LINE Jatulak Mo Chit Project value: THB 5,815mn No. of units: 841 The LINE Sukhumvit 71 Project value: THB 1,967mn No. of units: 291 The LINE Ratchathewi Project value: THB 3,014mn No. of units: 231 The LINE Jatujak-Mo Chit The LINE Sukhumvit (3 projects, THB 12.2bn) The BASE Phetkasem 29 Project value: THB 2,010mn No. of units: 640 The MONUMENT Thonglor Project value: THB 6,242mn No. of units: 127 The LINE Sathorn Project value: THB 3,910mn No. of units: 327 The LINE Wongsawang The LINE Sukhumvit 101 Fully transferred KHUN BY YOO 2016 (5 projects, THB 20.0bn) The LINE Asoke-Ratchada Project value: THB 3,026mn No. of units: 473 The BASE Garden Rama 9 Project value: THB 2,339mn No. of units: 639 The LINE Pradipat Project value: THB 5,893mn No. of units: 981 The LINE Sukhumvit 101 Project value: THB 4,652mn No. of units: 778 KHUN BY YOO Thonglor 12 Project value: THB 4,065mn No. of units: (3 projects, THB 12.3bn) The LINE Wongsawang Project value: THB 4,687mn No. of units: 1,288 The BASE Sapanmai Project value: THB 2,697mn No. of units: 820 The LINE Pahonyothin Park Project value: THB 4,913mn No. of units: 880 Section 2.3: Property Business 28

29 Contents Section 1 Section 2 Section 2.1 Section 2.2 Section 2.3 Section 2.4 Section 3 BTS Group in Brief Business Segment Profiles Mass Transit Business Media Business Property Business Services Business Financial Summary Appendices 29

30 Services Business Strategic Support and Business Incubator CHEFMAN RESTAURANTS Premium Chinese restaurant chain managed by Man Kitchen As of 31 Mar 2018, 8 existing branches: 3 dine-in branches, 1 take-away branch, 2 Chairman by Chef Man (Hong Kong Café concept), 1 private dining concept under M Krub restaurant and 1 Man Kitchen buffet Eastin Grand Sathorn Branch Thana City Branch BANGKOK PAYMENT SOLUTIONS (BPS) Joint venture between BTSG and VIX Group, a leading technology development for Central Clearing House (CCH) and Automatic Fare Collection (AFC) services Served as a vehicle for developing software and providing technology services for an integrated mass transit and payment systems for Thailand In FY 2017/18, BPS recognised revenue from sales of fully-equipped EDC machines and revenue from software development services. RABBIT REWARDS PROGRAMME Managed a loyalty and benefits programme for consumers who transact with the In June 2017, Chef Man added a new strategic JV partner Bangkok Ranch (BR), a listed and leading purveyor of duck meat through a capital increase. BR s extensive food processing expertise will enable Chef Man to scale-up its business domestically and internationally. Rabbit Card and/or Rabbit Line Pay The Rabbit Points can be redeemed for vouchers across our retail partner network and additional Rabbit Rewards partners. In FY 2017/18, the programme had 3.2million registered members. BTS Group Bangkok Ranch Chef Man 41% 41% 18% HHT CONSTRUCTION Section 2.4: Services Business Man Food Holdings BTSG and BR have an option to increase stake up to 42.5% in Man Food Holdings. Expected final shareholding in Man Food Holdings of 42.5% : 42.5% : 15% between BTS Group : BR : Chef Man Joint venture between BTSG and Li Kay Engineering, a Hong Kong based civil and foundation company 30

31 Contents Section 1 Section 2 Section 2.1 Section 2.2 Section 2.3 Section 2.4 Section 3 BTS Group in Brief Business Segment Profiles Mass Transit Business Media Business Property Business Services Business Financial Summary Appendices 31

32 BTS Group Financial Performance FY 17/18 OPERATING REVENUE & EBITDA CONTRIBUTION Revenue Contribution EBITDA Contribution* Note: Revenue and EBITDA excludes equity income from Sansiri JV, U City, Bayswater JV, Keystone JV * Calculated base on EBITDA of THB 4,768mn which excludes selling and Administrative expenses at Head-Office of THB 679mn ** After selling and Administrative expenses at Head-Office of THB 679mn OPERATING REVENUE COMPARISON (YoY) (THB mn) 8, % 3% -0.1% 4% (1) Operating EBITDA excludes non-recurring items but includes share of profit (loss) from BTSGIF (2) Net income attributable to equity holders of the parent (3) Operating EBITDA/finance cost (4) Interim and Final dividends, calculated on annual basis using BTS TB closing share price on the date of the Board of Directors meeting approving the relevant dividend (5) Interest bearing debt - cash and cash equivalent and liquid investment Section 3: Financial Summary 65% 28% 60% 42% Mass Transit Media Property Services 115% 30% 4% 4, (294) (40%) THB 14,102mn THB 4,089mn** 14,102 FY16/17 Mass Transit Media Property Services FY17/18 CONSOLIDATED P&L (THB MN) FY 17/18 FY 16/17 FY 15/16 FY 14/15 Operating revenues 14,102 8,606 6,280 7,102 Accounting revenues 16,987 9,618 10,069 8,126 Operating expenses 8,325 4,143 2,489 3,163 EBITDA 7,571 4,114 6,254 4,937 Operating EBITDA (1) 4,089 2,928 2,693 2,836 Recurring Net Profit 2,889 1,649 2,213 2,820 Net income (2) 4,416 2,003 4,134 2,944 DEBT INFORMATION (THB MN) 31 MAR MAR MAR MAR 15 Interest bearing debt 47,124 38,310 9,283 4,556 Adj. net debt (5) 17,129 6,051 (6,012) (20,755) KEY FINANCIAL RATIOS FY 17/18 FY 16/17 FY 15/16 FY 14/15 Profitability ratios (%) Gross operating profit margin 41.0% 51.9% 60.4% 55.5% SG&A to operating sales ratio 17.3% 24.6% 24.6% 22.0% Accounting EBITDA margin 42.3% 41.2% 59.7% 52.0% Operating EBITDA margin (1) 29.0% 34.0% 42.9% 39.9% Recurring net profit margin (%) 16.0% 15.4% 29.2% 28.2% Liquidity ratio Current ratio (times) 0.93x 1.38x 0.81x 3.96x Leverage (Times) Total liability to total asset 0.56x 0.52x 0.28x 0.22x Total liability to total equity 1.29x 1.07x 0.39x 0.28x Interest bearing debt to equity 1.02x 0.85x 0.20x 0.09x Adj. net debt (5) to equity 0.37x 0.13x (0.13)x (0.40)x Adj. net debt (5) to recurring EBITDA 3.02x 1.72x (1.93)x (7.32)x Interest coverage (3) 3.31x 4.55x 9.30x 7.03x Per share ratios Book value per share (THB) Dividend yield (4) 3.95% 4.00% 7.75% 6.38% 32

33 Financial Position ASSET BREAKDOWN (THB MN) LIABILITIES AND EQUITY BREAKDOWN (THB MN) 93,631 25,722 27% 106,058 21,311 20% Cash 31 Mar 17: THB 15.09bn 31 Mar 18: THB 9.46bn 93, ,058 18,616 20% 22,923 22% Gross Debt 31 Mar 17: THB 38.31bn 31 Mar 18: THB 47.17bn 67,909 73% 84, Mar Mar 18 80% Current Investments 31 Mar 17: THB 6.24bn 31 Mar 18: THB 5.67bn Long-Term Investments 31 Mar 17: THB 13.52bn 31 Mar 18: THB 15.95bn 29,833 32% 36,779 45,182 48% 46, Mar Mar 18 34% 44% Adjusted Net Debt* 31 Mar 17: THB 6.06bn 31 Mar 18: THB 17.13bn ***** Issued Ordinary Shares 31 Mar 17: 11,935.0mn 31 Mar 18: 11,940.4mn Total non-current assets Total current assets Total shareholders' equity Total non-current liabilities Total current liabilities KEY RATIOS Gross Debt to Equity Adjusted Net Debt* to Equity Adjusted Net Debt* to Recurring EBITDA Interest Coverage Current Ratio FY 2017/18: 1.02x FY 2016/17: 0.85x FY 2017/18: 0.37x FY 2016/17: 0.13x FY 2017/18: 3.02x FY 2016/17: 1.72x FY 2017/18: 3.31x FY 2016/17: 4.55x FY 2017/18: 0.93x FY 2016/17: 1.38x *Adjusted Net Debt = Interest Bearing Debt Cash and Cash Equivalent and Liquid Investment Section 3: Financial Summary 33

34 Dividend Policy and Historical Dividend Payment DIVIDEND POLICY No less than 50% of net profit HISTORICAL DIVIDEND PAYMENTS /DIVIDEND YIELD AND PAYOUT FY 13/14 FY 14/15 FY 15/16 FY 16/17 FY 17/18 Actual Dividend Paid (THB mn) 7,073 7,094 8,048 4,026 4,145 Dividend per Share Dividend Yield (1) (%) 7.3% 6.2% 7.8% 4.0% 3.9% Dividend Payout (%) 56% 241% 183% 180% 87% Remarks Committed to pay no less than THB 6bn Committed to pay no less than THB 7bn Committed to pay no less than THB 8bn Following BTSGIF establishment, the Company had committed dividend payment over 3 years, totaling THB 21bn (1) Calculated based on share price one day before the Board of Directors approval date for relevant dividend payment Section 1: BTS Group in Brief 34

35 BTS Group Share Information SHARE INFORMATION (as of 31 Mar 2018) Stock code BTS Outstanding shares (mn shares) 11,940.4 Treasury shares (mn shares) 95.8 Market capitalisation (THB mn) 99,702.3 Market capitalisation (USD mn) 3,197.5 Average daily traded value (THB mn) Average daily traded value (USD mn) 5.0 Credit Rating (by TRIS) A/Stable SHARE PRICE MOVEMENT (as of 31 Mar 2018) SHAREHOLDING STRUCTURE (as of 21 Jan 2019) KK s Group 41% 11,845mn shares Thai Institutions 15% Foreign Institutions 11% NVDR 10% Individuals 22% TOP 10 SHAREHOLDERS (as of 21 Jan 2019) Free Float (as of Jun 18) 58% Foreign Limit 49% THB BTS Daily Traded Value (RHS) BTS TB Equity SET Index Name %* THB mn 1 MR. KEEREE KANJANAPAS S GROUP 41% 2,000 2 THAI NVDR CO., LTD. 10% 1,600 3 BANGKOK BANK PUBLIC COMPANY LIMITED 5% 4 SOCIAL SECURITY OFFICE 3% 1,200 5 SOUTH EAST ASIA UK (TYPE C) NOMINEES LIMITED 2% 6 CREDIT SUISSE FIRST BOSTON (SINGAPORE) LIMITED 2% STATE STREET EUROPE LIMITED 2% 12M ADTV = THB 183mn 8 UOB KAY HIAN PRIVATE LIMITED 1% Mr. Min Tieanworn 1% 0 10 GIC PRIVATE LIMITED 1% TOTAL TOP 10 SHAREHOLDERS 68% *Total of 11,845,369,480 shares Section 1: BTS Group in Brief 35

36 PROPERTY MEDIA MASS TRANSIT 2018/19 BTS Group Targets and CAPEX FY 2018/19 BTS GROUP TARGETS FY 2018/19 CAPEX: THB 27-34BN 1% Core Network ridership growth (revised from 4-5%) 1.5-2% Core Network average fare increase 30% Train O&M revenue growth THB 20-25bn Construction revenue for Pink and Yellow Lines THB 7-9bn Revenue from E&M provision and train procurement for Green Line South and North extensions THB bn Interest income from train procurement for Green Line extensions and construction revenue for Pink and Yellow lines THB 26-32bn (Excludes: BTSGIF CAPEX ) THB 6-7bn E&M and rolling stocks for Green Line South and North extensions THB 20-25bn for Pink and Yellow construction THB 5bn Targeted Media Revenue (revised from THB bn) 40-45% EBITDA margin 20-25% NPAT margin THB 1.1bn THB 350mn Targeted BTS Group Property Revenue THB 6-6.7bn Targeted U City Property Revenue (U City 2018 Revenue: THB 7bn) 25% EBITDA margin (at U City level) (U City 2018 EBTIDA margin: 19%) (more details in U City presentation) THB 0.4bn (Excludes: Real estate development cost) Section 3: Financial Summary 36

37 Contents Section 1 Section 2 Section 2.1 Section 2.2 Section 2.3 Section 2.4 Section 3ction 3 BTS Group in Brief Business Segment Profiles Mass Transit Business Media Business Property Business Services Business Financial Summary Appendices 37

38 Appendix 1: Bangkok Rail Mass Transit Master Plan Network Length Expands to 515.2km in 2029 Appendix 1: Bangkok Rail Mass Transit Master Plan 38

39 Appendix 2: Summary of BTS Mass Transit Contracts CORE NETWORK EXTENSION ZONE 1 EXTENSION ZONE 2 PINK & YELLOW GOLD LINE PHASE 1 ROUTE DISTANCE & NO. OF STATIONS Dark Green Mo Chit Onnut Light Green National Stadium - Saphan Taksin Dark Green Onnut - Bearing Light Green Saphan Taksin - Bang Wa Southern Green Bearing - Samut Prakarn Northern Green Mo Chit - Khu Kot Pink Khae Rai - Min Buri Yellow Lad Prao - Sam Rong Krung Thonburi BTS Station - Khlong San District Office 23.5km, 23 stations 12.8km, 11 stations 30.8km, 25 stations 64.9km, 53 stations 1.7km, 3 stations AUTHORITY BMA BMA BMA MRTA BMA CONTRACT TYPE & CONTRACT LENGTH 30Y Concession Agreement ( ) 13Y O&M Contract ( ) 30Y O&M Contract ( ) 25Y O&M Contract ( ) 30Y Concession Agreement (from 1st operation date) 30Y O&M Contract (from 1st operation date) INVESTMENT SCHEME PPP Net Cost ( ) O&M Contract ( ) O&M Contract O&M Contract PPP Net Cost O&M Contract CAPEX AND FINANCING = BTS INVESTMENT Civil: E&M: Rolling Stock: Project Cost ( THB 49.5bn) Civil: x E&M: x Rolling Stock: ( THB 5.8bn) Civil: x E&M: x Rolling Stock: ( THB 4.9bn) Civil: x E&M: x (hire BTS, pre-financed by BTS THB 17.3bn) Rolling Stock: ( THB 9.8bn) Civil: (subsidised by gov t) E&M: Rolling Stock: Project Cost THB 96bn (gov t subsidy of THB 47bn) Civil: x E&M: x (hire BTS, THB 0.6bn) Rolling Stock: ( THB 0.4bn) REMARKS: Public-Private Partnership (PPP) Net Cost = Private obtains farebox revenue and commercial development O&M Contract = Private receives operation and maintenance fee, while the public benefits from farebox revenues and commercial development of station areas BTS Group General Presentation Appendix 2: Summary of BTS Mass Transit Contracts 39

40 Appendix 3: Core Network Ridership Uninterrupted Revenue Growth and Resilient Under Pressure GROWTH (17 YRS) Farebox revenue CAGR: 9.7% Ridership CAGR: 8.7% Farebox revenue (THB bn) Ridership (mn) Ridership +1.3% YoY Fare +1.4% YoY 00/01 01/02 02/03 03/04 04/05 05/06 06/07 07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 Dec 99: BTS SkyTrain service opening Jul 04: Opening of Bangkok MRT System (Blue line) Mar 07: First fare rate increase May 09: Opening of Silom Line extension May 10: Opening of Bangkok BRT; Thai political protests Aug 10: Opening of Airport Rail Link Aug 11: On Nut Bearing extension opening Oct Nov 11: Floods Jan-Mar 14: Bangkok Shutdown May 14: Martial law Apr 13: Sale of net farebox revenue to BTSGIF Jun 13: Fare increase Nov 13: Thai political protests Dec 13: Wongwian Yai Bang Wa extension opening Aug 16: Opening of Bangkok MRT System (Purple line) Oct 16: The passing of His Majesty King Bhumibol Apr 17: Opening of Samrong Station Aug 17: Opening of Tao Poon Station (Blue line ext.) Oct 17: Fare Increased INITIAL GROWTH (3 YRS RIDERSHIP CAGR: 21%) STABLE GROWTH (5 YRS RIDERSHIP CAGR: 5%) FASTER GROWTH (9 YRS RIDERSHIP CAGR 7%) Appendix 3: Core Network Ridership 40

41 2005/ / / / / / / / / / / / / Appendix 4: Core Network Fare Adjustment Flexibility to Increase Fares FARE ADJUSTMENT MECHANISM EFFECTIVE FARE Can be adjusted no more than once every 18 months by making announcement to BMA and public 30 days in advance Must not exceed the Authorised fare AUTHORISED FARE Normal situation: upon change of Bangkok s CPI >=5%, may adjust up to 7% (No approval required) Special situation: upon change of CPI (>= 9%), USD/THB foreign exchange rate, interest rate or electricity costs (BMA approval required) HISTORICAL AVERAGE FARE CAGR 5 yr (2012/13 to 2017/18) = 2.7% CAGR 12 yr (2005/06 to 2017/18)= 2.4% THB / Trip DISTANCE-BASED FARE (BY NO. OF STATIONS) NO. OF STATIONS 30-DAY PASS (STUDENT)* 6% AVG FARE THB FARE PRICE (THB) 33.0 AUTHORISED FARE (APR 2013) NEW EFFECTIVE FARE (OCT 2017) RIDERSHIP BY TICKET TYPES (FY 2017/18) PREVIOUS EFFECTIVE FARE (JUN 2013) POTENTIAL FARE UPSIDE ONE-DAY PASS 1% AVG FARE THB DAY PASS (ADULT)* 28% AVG FARE THB 27.0 SJT 34% AVG FARE THB 31.5 PURSE (STV)* 31% AVG FARE THB 27.0 * Counted as Rabbit (65%) Appendix 4: Core Network Fare Adjustment 41

42 Appendix 4: Core Network Fare Adjustment Latest Increased from 1 October 2017 Fare of SJT, Rabbit monthly pass and Rabbit senior tickets in the Core Network will be increased from 1 October 2017 onwards For Rabbit Purse Card (Stored Value Card: STV), the promotional prices for the effective fare were in the range of THB starting from 1 April 2018 Expected FY 18/19 average fare increased by 1.5-2% to THB per trip SINGLE JOURNEY TICKET (SJT): 34% OF TICKET TYPES Number of Station Previous Oct RABBIT SENIOR Number of Station Previous Oct RABBIT MONTLY PASS ADULT: 28% OF TICKET TYPES Present THB/Trip 1 Oct 15 Trips Trips Appendix 4: Core Network Fare Adjustment FARE PRICE (THB) AUTHORISED FARE (APR 2013) NEW EFFECTIVE FARE (OCT 2017) PREVIOUS EFFECTIVE FARE (JUN 2013) POTENTIAL FARE UPSIDE NO. OF STATIONS 40 Trips 1, , Trips 1, , RABBIT MONTLY PASS STUDENT: 6% OF TICKET TYPES Present THB/Trip 1 Oct 15 Trips Trips Trips Trips

43 Appendix 5: Rolling Stocks Enlarging Our Fleet for Future Growth 98 4-CAR TRAINS (392 CARRIAGES) FOR GREEN LINE CORE NETWORK AND EXTENSION ZONE 1 & 2 CURRENT FLEET NO. OF TRAINS TOTAL CARRIAGES FROM 1 ST BATCH SIEMENS 2 ND BATCH CRRC 3 RD BATCH 35 SIEMENS 4 TH BATCH 5 20 CRRC TOTAL CAR MONORAIL TRAINS (288 CARRIAGES) FOR PINK AND YELLOW LINES PROJECT REQUIRED TRAINS TOTAL CARRIAGES FROM PINK BOMBARDIER YELLOW BOMBARDIER TOTAL ,000 44,000 PPHPD: SERVICE CAPACITY FLEET EXPANSION NO. OF TRAINS TOTAL CARRIAGES FROM DELIVERED BY FY 18/19 DELIVERED BY FY 19/ SIEMENS CRRC TOTAL ,000 PPHPD: SYSTEM DESIGN CAPACITY (6-CAR TRAINS & 2MIN FREQUENCY) 25,000 PPHPD: CURRENT CAPACITY (4-CAR TRAINS & 2.4MIN FREQUENCY IN SKY LINE) NOTE: PPHPD = Passengers per Hour per Direction Appendix 5: Rolling Stocks 43

44 Appendix 6: Debentures & Syndicated Loan Agreement CAPEX for newly-awarded lines - secured by debt financing THB 22BN BTSC DEBENTURE:NEW GREEN EXTENSIONS Rationale Issuance Date 10 November 2016 Tenor Amount up to Coupon Rate 3-year THB 5.5bn 2.46% 5-year THB 2.2bn 2.85% 7-year THB 4.1bn 3.30% 10-year (NC5) THB 10.2bn 3.87% Total THB 22bn 3.31% (average) THB 7BN BTSG DEBENTURE Rationale Issuance Date 26 December 2017 Purchase new rolling stocks and E&M for the Northern and Southern Green Line extensions Repay existing debts and/or investment and/or financing the working capital of the Company Tenor Amount up to Coupon Rate 3-year THB 1.5bn 2.24% 5-year THB 1.5bn 2.64% 10-year THB 2.0bn 3.65% 12-year (NC5) THB 2.0bn 3.78% Total THB 7.0bn 3.17% (average) THB 63.4BN SYNDICATED LOAN: PINK AND YELLOW LINES 10 October 2017: BSR JV signed the syndicated loan agreement with three banks, at a total value of up to THB 63.36bn. Credit Facilities Syndicate Banks Loan Term Rationale Total of THB 63.36bn THB 31.68bn for Pink Line THB 31.68bn for Yellow Line BBL, KTB, SCB THB 9.5BN BTSG DEBENTURE Rationale 17 years and 3 months, repayments starting from first operation date Financing of both Pink and Yellow lines Issuance Date 7 September 2018 Repay existing debts and/or investment and/or financing the working capital of the Company Tenor Amount up to Coupon Rate 2-year THB 3.55bn 2.58% 5-year THB 1.29bn 3.25% 10-year THB 4.66bn 4.03% Total THB 9.50bn 3.38% (average) Appendix 6: Debentures and Syndicated Loan for the Pink and Yellow Lines 44

45 Appendix 7: Mass Transit Economic profile PPP Net Cost & O&M Contract (PPP Gross Cost) ECONOMIC PROFILE (O&M CONTRACT) Rolling stocks Investment O&M revenue YEAR KEY ASSUMPTIONS 1) 30-year contract from operating date 2) O&M revenue* of approx. THB 140mn/km in FY 16/17 with growth rate of 3.5% p.a. 3) EBITDA margin of 40-50% *O&M revenue includes revenue from provision of operating services and interest income under concession agreement ECONOMIC PROFILE (PPP NET COST WITH SUBSIDY) YEAR E&M works Civil works Repayment of gov't subsidy (civil) Farebox revenue KEY ASSUMPTIONS 1) 3-4 year investment in civil and E&M works (includes rolling stocks) 2) 10-year repayment from gov t for civil works 3) Receive farebox revenue and commercial revenue (30-year contract from operating date) Appendix 7: Mass Transit Economic profile 45

46 Appendix 8: Gold Line Phase 1 Project at a Glance ROUTE KRUNG THON BURI KLONG SAN (PHASE I): 1.7KM 3 STATIONS TIMELINE NO. OF STATIONS 3 OVERGROUND STATIONS (G1 TO G3) G1: KRUNG THON BURI G2: CHAROEN NAKORN G3: KLONG SAN 15 DEC 2017 KT awarded civil contract to ITD GOLD PHASE 1 KRUNG THONBURI BTS STATION KHLONG SAN 1.7KM TYPE TRAINS SYSTEM CAPACITY MONORAIL FEEDER LINE THREE 2-CAR AUTOMATIC PEOPLE MOVER (APM) TRAINS 4,000-12,000 PPHPD (5-6 MIN HEADWAY) 27 FEB 2018 Sale and installation of E&M works Agreement signed 9 MAR 2018 Civil work construction began E&M AND O&M SERVICES PROVIDED BY BTSC SALE AND INSTALLATION OF E&M WORKS AGREEMENT E&M VALUE (INCL.VAT) OF THB MN O&M SERVICES AGREEMENT 30 YEARS FROM 1ST COMMERCIAL OPERATION DATE O&M SERVICES INCLUDE THE OPERATION OF TRAINS, MANAGEMENT, MAINTENANCE OF THE MASS TRANSIT SYSTEM, FARE COLLECTION AND THE PROCUREMENT OF ROLLING STOCK O&M VALUE (INCL.VAT) OF THB 13,520MN 31 JUL 2018 O&M Services Agreement signed 1 AUG 2018 NTP issued for E&M kick-off 1 SEP 2020 Targeted Commercial Operation Date (30 years operation*) Source: *Such term can be terminated earlier if the operation and maintenance services agreement of the Bangkok Mass Transit System, in which BTSC has been engaged by Krungthep Thanakom until 2 May 2042, has not been extended. Appendix 8: Gold Line Phase 1 46

47 Appendix 9: VGI Products BTS-Related Media and Office Building & Residential Media Products TRAIN INSIDE-TRAIN OFFICE BUILDING MERCHANDISING STATION Appendix 9 VGI Products 47

48 Appendix 9: VGI Products Outdoor Media and Aviation Media Products BILLBOARD AIRPORT LED SCREEN STREET FURNITURE CREATIVE PRODUCTION AVIATION: JET BRIDGE Appendix 9: VGI Products 48

49 Appendix 9: MACO Products Expanding OOH Media Internationally TRANSIT MEDIA IN MALAYSIA AVIATION MEDIA IN MALAYSIA Appendix 9: VGI Products 49

50 Appendix 10: VGI & MACO Top20 Customer Profile YTD Customer Type Breakdown VGI: CUSTOMER TYPE (YTD Apr Sep 2018) Agency VGI: TOP BRAND 70% Direct customer 30% MACO: CUSTOMER TYPE (YTD Jan Nov 2018) MACO: TOP BRAND Agency 51% Direct customer 49% Appendix 10: VGI and MACO Top20 Customer Profile 50

51 Appendix 11: Overview of Property Restructuring The Entire Business Transfer (EBT) of UE to U City U CITY S PROPERTY PORTFOLIO CONSIDERATION PRE EBT ASSETS TRANSFERRED FROM UE Loan Novation: THB 5.0bn Loan Repayment: THB 5.1bn THB 10.1bn Hotels: Vienna House & Vienna House Easy and Eastin Grand Sathorn Office buildings: 33 Gracechurch and 6-14 Underwood St. UK Service: Vienna International Hotel Management Under developing: The Unicorn and Mo Chit Complex Roi Chak Sam Land Bank: Sukhumvit, Suksawad, Khukot and Bang Krachao Hotels: U Sathorn, U Chiang Mai and U Kanchanaburi Office Building: TST Tower Services: Absolute Hotel Services, Thana City and Tanayong Property Management International School Land Bank: Khao Yai and Ratburana BTS-Sansiri JVs Total Assets Value: THB 12.2bn Preferred Shares from: PP: 63,882mn shares (@THB 0.034/share) with U-W3 31,941mn units Total Settlement Value NET GAIN OF THB 1.9BN FROM EBT Fair value of U City s preferred shares and warrants and loans to and interest receivable from U City THB 2.2bn THB 12.2bn THB 12.2bn Book value Net assets of the Unicorn Group (THB 9.1bn) REMAINING KEY ASSETS AT BTSG Thana City Golf Course and Sports Club Par 1 (Housing Estate) Land (e.g. Bayswater JV) Deducted deferred gain on the entire business transfer of subsidiary and Transaction costs Net gain on the entire business transfer of subsidiary (THB 1.2bn) THB 1.9bn Appendix 11: Overview of the Entire Business Transfer Transaction 51

52 Appendix 12: U City s Overview & Strategy Globally Developing and Investing in Diversified Property RECURRING INCOME PROPERTY Hospitality 92 Hotels totaling over 19,200 keys includes a portfolio of owned, leased and managed hotels in Europe and Asia. Office 28,500 sqm of lettable space comprising of 2 office buildings in London, UK and 1 office building in Bangkok, Thailand. Operating Revenue (THB mn) 3, , FY 2017 REVENUE CONTRIBUTION Others THB 423mn 9.5% Office THB 162mn 3.6% THB 4,453mn Hospitality THB 3,868mn 86.9% RESIDENTIAL PROPERTY DECEMBER 2017 BOOK VALUE BREAKDOWN Through a 50% stake in the BTS-Sansiri JV, which develops condominiums near mass transit lines and has currently a presold condominium backlog of THB 26.1bn Land bank THB 10.0bn 30.9% THB 32.3bn Hospitality THB 18.4bn 57.0% LANDBANK U City s land bank totals THB 7.4bn or Rai or 1.23mn sqm of land, which is sufficient for over 5 years of development. 67% of land bank value is located adjacent to future or current mass transit lines and is therefore well-positioned to benefit from the mass transit premium Residential THB 0.5bn 1.6% Office THB 3.4bn 10.5% Appendix 12: U City s Overview & Strategy 52

53 Appendix 12: U City s Overview & Strategy Poised for Substantial Growth Ahead 5 PILLARS OF SUSTAINABLE VALUE ACCRETION 1. INVESTMENT 2. EFFICIENT USE OF 3. SUSTAINABILITY 4. PARTNERSHIPS 5. MASS TRANSIT LINK Diversified portfolio CAPITAL Respond to changes in Access to expertise and To benefit from the Grow through project development and acquisition Enhance value through prudent management and value engineering Recycle capital for future investment. Potential for fee-based income. consumer lifestyles, including digital disruption Environmental awareness Benefit to communities Enterprise Value/Return new business opportunities Reduce development and investment risk Increase long-term firm mass transit premium Maximize synergy To Shareholders value and synergies 5-YEAR TARGET Operating Revenue of THB 9,400mn, Recurring Net Profit of 1,360mn Operating Revenue 20% CAGR Recurring Net Profit 15% Margin* 4,030 (127) FY 2017 FY 2022 Operating Revenue Recurring Net Profit (THB mn) 9,400 1,360 Appendix 12: U City s Overview & Strategy Operating Revenue Development (Growth ) ( THB mn) 59% Overseas 41% Thailand 9,410 72% Overseas 28% Thailand 4,030 2, ,204 1,380 FY 2017 Hospitality Office Alternatives Residential FY 2022 * Note: revenue includes share of profit in BTS-Siri JV, Keystone JV and Property management services revenue Key Growth Drivers Hospitality Office Alternatives Residential CAPEX / Investment From 8,648 Keys Operating to 19,244 Owned hotels revenue 5% CAGR Full-year effect of acquisitions and rent reversion Share of profit from international school, The Unicorn mixed-use building Future gross development value of THB 72bn of 12 condominium projects 5-year aggregate of THB 14.6bn 53

54 Appendix 13: BTS-W4 Term Sheet WARRANTS TERMS AND CONDITIONS TICKER TERM BTS-W4 1 YEAR FROM THE ISSUANCE DATE ISSUANCE DATE 30 NOVEMBER 2018 EXPIRY DATE 29 NOVEMBER 2019 WARRANTS PRICE NO. OF WARRANTS ALLOCATION EXERCISE RATIO EXERCISE PRICE EXPECTED MAXIMUM PROCEEDS EXERCISE PERIOD NIL UP TO 1,755,034,187 UNITS TO EXISTING SHAREHOLDERS AT THE RATIO OF 9 EXISTING BTS SHARES : 1 BTS-W4 1 BTS-W4 TO 1 NEW COMMON SHARE OF BTS THB PER SHARE THB 18.4BN QUARTERLY Appendix 13: BTS-W4 Term Sheet 54

55 Appendix 14: 3Q 2018/19 Overview P&L SNAPSHOT INCOME STATEMENT (THB mn) 3Q 2018/19 3Q 2017/18 % YoY 2Q 2018/19 % QoQ 9M 2018/19 9M 2017/18 %YoY Operating Revenue 1 19,035 4, % 15,806 20% 37,894 10, % Gross operating profit 2,305 1,552 49% 1,824 26% 5,603 4,125 36% Operating EBITDA 2 1,858 1,144 62% 1,401 33% 4,391 2,936 50% Recurring net profit after MI % % 2,282 1,700 34% Accounting EBITDA 2,345 1,697 38% 1,681 40% 5,140 4,204 22% Net income (loss) 3 1, % % 2,246 1,946 15% Gross operating profit margin (%) 12.1% 31.8% 11.5% 14.8% 39.2% Accounting EBITDA margin (%) 12.0% 31.1% 10.3% 13.3% 35.3% Recurring net profit margin after MI(%) 5.1% 17.1% 5.1% 5.9% 14.7% Operating EBITDA margin (%) 9.8% 23.5% 8.9% 11.6% 27.9% 1 operating revenue of 4 BUs & share of net profit from BTSGIF 2 excluding non-mass transit interest income 3 to equity holders of the parent 3Q 2018/19 OPERATING REVENUE BREAKDOWN OPERATING REVENUE COMPARISON (YoY) (THB mn) (51)% Media Mass Transit 8% 90% Property 0% Services 2% 4, % 50% 345% 13, (89) ,035 Q3 FY17/18 Mass Transit Media Property Services Q3 FY18/19 Appendix 14: BTSG 3Q 2018/19 Financial Performance 55

56 Appendix 14: 9M 2018/19 Cash Flow Snapshot CFO Profit before tax of THB 1.7bn, deducted by Non-cash reconciling items of THB 0.5bn Changes in net working capital of THB 5.5bn (this includes net investment in mass transit projects of THB 11.4bn) (THB mn) CFI Net investment for construction of the Pink and Yellow lines of THB 9.5bn Net cash paid for purchases of investments in associates of THB 4.6bn, mainly for an investment in Kerry Express Thailand of THB 5.0bn Net cash received of THB 2.9bn from sales of treasury investments Dividend received of THB 0.8bn and Interest income of THB 0.5bn CFF Net cash received of THB 9.5bn from BTS debenture An increase in loans from financial institutions and B/E of THB 6.8bn mainly for the Pink & Yellow lines Cash received of THB 4.4bn from (i) STEC and RATCH (re. Pink and Yellow line projects) of THB 3.7bn and (ii) noncontrolling interests for issuances of MACO s ordinary shares via RO of THB 0.7bn Net cash received from VGI s group of THB 3.1bn from (i) non-controlling interests from the exercise of VGI warrants and (ii) the issuance of addional VGI s ordinary shares to Kerry Express Thailand Dividend payment of THB 2.2bn in August ,458 (12,822)* 20,865 (61) 6,895*** (10,544)** Beginning cash (31/3/18) CFO CFI CFF Others Ending cash (31/12/18) * CFO: After 1. Corporate income tax of THB 0.1bn 2. Net Interest expenses of THB 0.9bn 3. Net investment for construction of the Pink and Yellow Lines of THB 8.4bn 4. Net investment for E&M works and trains procurement for the Southern and Northern Green Line extensions of THB 3.0bn ** CFI: After net investment for construction of the Pink and Yellow Lines of THB 9.5bn *** Excluding liquid investments of THB 17.1bn Appendix 14: BTSG 3Q 2018/19 Financial Performance 56

57 Appendix 14: 3Q 2018/19 Mass Transit OPERATING PERFORMANCE MASS TRANSIT (THB mn) 3Q 2018/19 3Q 2017/18 %YoY 2Q 2018/19 HISTORICAL OPERATING REVENUE (THB mn) %QoQ 9M 2018/19 9M 2017/18 %YoY Revenue 17,120 3, % 14,255 20% 33,188 6, % Costs of revenue 15,750 2, % 13,177 20% 30,047 4, % Gross profit 1, % 1,078 27% 3,140 2,067 52% Operating EBITDA 1, % 1,085 27% 3,165 2,093 51% Gross margin (%) 8.0% 22.9% 7.6% 9.5% 29.7% Operating EBITDA margin (%) Farebox BRT Construction revenue for Pink and Yellow Lines 8.1% 23.1% 7.6% 9.5% 30.1% Services revenue from provision of E&M works & train procurement for Green Line ext. Interest income related to Green Line ext., Pink and Yellow Lines Share of net profit in BTSGIF Services revenue from provision of E&M works for Gold Line O&M 11,777 13,616 2, ,848 1,205 1, Q 17/18 4Q 17/18 1Q 18/19 2Q 18/19 3Q 18/ OPERATING REVENUE BREAKDOWN Construction revenue for Pink and Yellow Lines 80% Farebox BRT 0% Services revenue from provision of E&M works & train procurement for Green Line ext. 13% 3Q 2018/19 Share in BTSGIF 1% Services revenue from provision of E&M works for Gold Line O&M 3% Mass Transit related Interest income KEY FACTORS The YoY revenue growth of 13.5bn or 370% was mainly from Construction revenue for the Pink and Yellow lines of THB 13.6bn Interest income related to Mass Transit rose by 165% or THB 180mn to THB 289mn O&M revenue increased by 29% or THB 180mn to THB 565mn, chiefly as a result of the full opening of Southern Green Line ext. in Dec 18 and the contractually agreed increase in the operating fee of the existing ext. Cost rose by THB 12.9bn to THB 15.8bn largely from the recognition of construction cost for the Pink and Yellow Lines Operating EBITDA margin was 8.1% (23.1% in 3Q 2017/18) 1% 2% Appendix 14: BTSG 3Q 2018/19 Financial Performance 57

58 Appendix 14: 3Q 2018/19 Media OPERATING PERFORMANCE OPERATING REVENUE BREAKDOWN MEDIA (THB mn) 3Q 2018/19 3Q 2017/18 %YoY 2Q 2018/19 %QoQ 9M 2018/19 9M 2017/18 %YoY Operating revenue 1, % 1,205 21% 3,741 2,795 34% Costs of revenue % % 1, % Gross profit % % 2,380 1,882 26% Operating EBITDA % % 1,757 1,448 21% BTS Related Media 39% 3Q 2018/19 Outdoor Media 20% Office Buildings and Others Gross margin (%) 59.2% 68.3% 62.1% 63.6% 67.3% Operating EBITDA margin (%) 43.3% 52.0% 44.6% 47.0% 51.8% 7% Digital 34% HISTORICAL OPERATING REVENUE (THB mn) Digital Services Media OOH , KEY FACTORS Record-breaking quarter revenue THB 1,460mn, an increase of 50% YoY driven by organic growth of all business and the full-quarter consolidation of Trans.Ad Group OOH Media revenue* rose by 8% YoY to THB 965mn largely from robust growth across all business units Digital Services Business rose sharply by 506% YoY to THB 495mn mainly due to the full-quarter consolidation of Trans.Ad Group as well as the increase in project management fees and lead generation of Rabbit Group Costs increased by 92% YoY to THB 596mn primarily due to the full-quarter consolidation of Trans.Ad Group Operating EBITDA margin declined YoY to 43.3% (52.0% in 3Q 2017/18) 3Q 17/18 4Q 17/18 1Q 18/19 2Q 18/19 3Q 18/19 Appendix 14: BTSG 3Q 2018/19 Financial Performance *OOH Media includes Transit, Outdoor and Office Building and Other Media 58

59 Appendix 14: 3Q 2018/19 Property OPERATING PERFORMANCE OPERATING REVENUE BREAKDOWN PROPERTY (THB mn) 3Q 2018/19 3Q 2017/18 %YoY 2Q 2018/19 %QoQ 9M 2018/19 9M 2017/18 %YoY Operating Revenue (51)% 87 (3)% (47)% Costs of revenue (25)% 73 8% (29)% Gross profit 6 68 (91)% 14 (57)% (79)% Operating EBITDA (24) 12 (304)% 6 (522)% % Commercial & Others 100% 3Q 2018/19 Residential 0% Gross margin (%) 7.3% 39.4% 16.3% 14.3% 35.8% Operating EBITDA margin (%) (27.8)% 6.7% 6.4% 1.7% 0.3% HISTORICAL OPERATING REVENUE (THB mn) KEY FACTORS Operating revenue was THB 85mn, from commercial property which decreased by 51% YoY, primarily attributable to the deconsolidation of the majority of BTS property business as a result of the EBT of UE to U City in 4Q 17/18 Share of net profit from investment in U City, our associate, of THB 82mn (THB 29mn loss in 3Q 2017/18) as U City turn profitable in this quarter Operating costs dropped in tandem with the decline in operating revenue, reducing by 25% YoY or THB 27mn to THB 79mn. 3Q 17/18 4Q 17/18 1Q 18/19 2Q 18/19 3Q 18/19 NOTE: Property operating performances exclude share of profit/(loss) from investment in BTS- SIRI JVs, U City and Bayswater. Appendix 14: BTSG 3Q 2018/19 Financial Performance 59

60 Appendix 14: Financial Position as of 31 December 2018 ASSET BREAKDOWN LIABILITIES AND EQUITY BREAKDOWN (THB mn) 106, ,499 21,290 20% 22,640 17% 84, ,859 80% 83% 31 Mar Dec 18 Total current assets Total non-current assets Cash 31 Mar 18: THB 9bn 31 Dec 18: THB 7bn Current Investments 31 Mar 18: THB 6bn 31 Dec 18: THB 9bn Long-Term Investments 31 Mar 18: THB 16bn 31 Dec 18: THB 11bn (THB mn) 106,258 22,923 36,971 21% 35% 136,499 39,079 43,863 46,364 53,557 44% 31 Mar Dec 18 Total current liabilities Total non-current liabilities Total shareholders' equity 29% 32% 39% Gross Debt 31 Mar 18: THB 47bn 31 Dec 18: THB 63bn Adjusted Net Debt* 31 Mar 18: THB 17bn 31 Dec 18: THB 40bn ***** Issued Ordinary Shares 31 Mar 18: 11,940mn 31 Dec 18: 11,845mn KEY RATIOS Gross Debt to Equity Adjusted Net Debt* to Equity Adjusted Net Debt* to Recurring EBITDA Interest Coverage Current Ratio 3Q 2018/19: 1.19x 3Q 2017/18: 1.07x 3Q 2018/19: 0.74x 3Q 2017/18: 0.34x 3Q 2018/19: 5.75x 3Q 2017/18: 3.14x 3Q 2018/19: 4.09x 3Q 2017/18: 3.65x 3Q 2018/19: 0.58x 3Q 2017/18: 1.13x *Adjusted Net Debt = Interest Bearing Debt Cash and Cash Equivalent and Liquid Investment Appendix 14: BTSG 3Q 2018/19 Financial Performance 60

61 % -50.0% Appendix 14: Mass Transit Update 9M YTD 18/19 Core Network Ridership FY 2018/19 Ridership Growth Revised Target YTD Ridership: Actual FY 2018/19 FY 2018/19 +1% Avg Fare Increase % Fare-box Increase % Target YTD YTD -0.6% +3.0% +2.4% Avg. Fare: Actual Revised Target Farebox: Actual Ridership Fare 1.7% 0.2% -1.5% 7.1% 1.3% 3.2% 3.3% 3.9% 3.7% 1.5% -2.2% -1.0% -5.0% -1.5% 0.6% 3.2% 0.4% 0.9% -0.8% 1.0% * * 3Q 2017/18 4Q 2017/18 1Q 2018/19 2Q 2018/19 3Q 2018/19 3Q 2017/18 4Q 2017/18 1Q 2018/19 2Q 2018/19 3Q 2018/19 Ridership (mn trips) Passenger Growth (YoY) Average Fare (THB/trip) Average Fare Growth (YoY) Passenger Growth (QoQ) Average Fare Growth (QoQ) *Excluding the impact of free-trip allowance to passengers from train services disruption Appendix 14: BTSG 3Q 2018/19 Financial Performance 61

62 5.0 % 2.0 % -1.0% -4.0% -7.0% -10.0% 8.0 % 7.5 % 7.0 % 6.5 % 6.0 % 5.5 % 5.0 % 4.5 % 4.0 % 3.5 % 3.0 % 2.5 % 2.0 % 1.5 % 1.0 % 0.5 % 0.0 % -0.5% -1.0% -1.5% -2.0% -2.5% -3.0% -3.5% -4.0% -4.5% -5.0% -5.5% -6.0% Appendix 14: Mass Transit Update January and YTD 10 months Core Network Ridership FY 2018/19 Ridership Growth Target (Revised) YTD Ridership: Actual JAN 19 SUMMARY FY 2018/19 FY 2018/19 +1% Avg Fare Increase Target % Fare-box Increase Target % YTD YTD -0.2% +2.8% +2.5% Avg. Fare: Actual (Revised) Farebox: Actual YTD SUMMARY (APR-JAN, 10 MONTHS) Ridership = 20.8mn trips, +3.0% YoY, +2.2% MoM Ridership = 200.7mn trips, -0.2% YoY Average fare* = THB 28.9 / trip, +0.7% YoY Average fare* = THB 29.0 / trip, +2.8% YoY Farebox revenue* = THB 601.5mn, +3.8% YoY Farebox revenue* = THB 5,816.3mn, +2.5% YoY Average weekday ridership = 744,845 trips, +1.9% YoY Average weekday ridership = 740,573 trips, -0.2% YoY Ridership Fare *Before discount Ridership (mn trips) % YoY ridership growth 3.8% 3.0% -0.1% 0.7% 0.4% -0.1% -1.8% -2.7% -2.2% -3.2% Average fare price (THB) % Change YoY 4.6% 3.2% 3.7% 4.0% 3.3% 3.7% 3.4% 0.7% 0.7% 0.7% Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Jan Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Jan-19 Appendix 14: BTSG 3Q 2018/19 Financial Performance 62

63 Appendix 14: Mass Transit Update Progress of BTS Secured Lines Progress (%)* FY 17/18 FY 18/19 FY 19/20 FY 20/21 FY 21/22 NORTHERN GREEN LINE EXT. (Mochit - Khukot) 18.2km/ 16 stations Civil 93% E&M Construction Period Targeted 1 st station: (Aug 2019) Targeted full Operation (2020) PINK LINE (Khae Rai Min Buri) 34.5km/ 30 stations 21% 7% Contract Signed NTP issued 29 Jun 18 Construction Period Targeted operation (Oct 2021) PINK LINE (EXTENSION) (Sirat Impact 2) 3.0m/ 2 stations Included in Masterplan 17 Oct 18 YELLOW LINE (Ladprao - Samrong) 30.4km/ 23 stations 21% 7% Contract Signed NTP issued 29 Jun 18 Construction Period Targeted operation (Oct 2021) YELLOW LINE (EXTENSION) (Ratchada - Ratchayothin) 2.6km/ 2 stations Included in Masterplan 17 Oct 18 GOLD LINE PHASE 1 (Krung Thon Buri Klong San) 1.7km/ 3 stations 7% 23% O&M contract Signed (31 Jul 18) Construction Period Targeted operation (by Sep 2020) *Sources: Information was from MRTA and the Company s report as of 31 December 2018 Appendix 14: BTSG 3Q 2018/19 Financial Performance 63

64 Appendix 14: Mass Transit Update Progress of BTS Targeted Lines FY 17/18 FY 18/19 FY 19/20 FY 20/21 FY 21/22 FY 22/23 WESTERN GREEN LINE EXT. (Bang Wa Taling Chan) 7.0km/ 6 stations Expected open bid/ award Construction Period Targeted Full operation LRT (Bangna - Suvarnabhumi) 18.3km/ 14 stations Expected open bid/ award Construction Period Targeted Full operation GREY LINE PHASE 1 (Watcharaphon - Thonglo) 16.3km/ 15 stations Expected open bid/ award Construction Period Targeted Full operation ORANGE LINE (Min Buri Taling Chan) 39.6km/ 29 stations Expected open bid/ award Construction Period Targeted Full operation Sources: MRTA, the Company Appendix 14: BTSG 3Q 2018/19 Financial Performance 64

65 Appendix 14: Mass Transit Update Progress of New Trains Delivery 7 trains arrived Another 15 trains will be completely delivered by 2019 First batch expected to arrive by 1H 2019 The remaining will be completely delivered by 2020 Appendix 14: BTSG 3Q 2018/19 Financial Performance 65

66 Appendix 14: Media Update Digital Transformation - Paving the Way for Intelligent OOH Solutions IMMERSIVE DIGITAL MEDIA TARGETING PREMIUM AUDIENCE VISUAL IMPACT EXCLUSIVE AIRTIME ENGAGING CREATIVE Appendix 14: BTSG 3Q 2018/19 Financial Performance 66

67 Appendix 14: Media Update VGI Immerse Drives Avg. 2x Impact and Engagement CONSUMER RESEARCH: PRE VS. POST PILOT STUDY OF BTS PASSENGERS IMPACT / ENGAGEMENT AD RECALL CONVERSION RATE* 110% 50% 118% When asked how often do you look at the media? the response for all the time increased by 110%. The number of brands recalled by the BTS passengers. Conversion rate = total people who look / total people exposed to the advertising *Using visual recognition technology VGI IMMERSE DRIVES AVG. 2X IMPACT AND ENGAGEMENT Appendix 14: BTSG 3Q 2018/19 Financial Performance 67

68 Appendix 14: Media Update Robust Growth Reaffirming the Right Strategy Cashless Platform RABBIT CARD Rabbit Card circulation reached 10.3mn cards. Nearly achieving its full-year target of 10.5mn cards % YTD 10.3 FY Target 10.5 Mar-18 Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Mar-19 RABBIT LINEPAY Rabbit LinePay serves more than 5.1mn users, an increase of 73% YoY. Single e-wallet with BTS and Rabbit Card +72.7% YTD FY Target partnership with AIS Mar-18 Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Mar-19 Appendix 14: BTSG 3Q 2018/19 Financial Performance 68

69 Appendix 14: Media Update Delivering New Marketing Solutions Synergy through Logistics Platform >150,000 SAMPLES DELIVERED IN 5 MONTHS LEAFLET FOR SAMPLING RABBIT REWARDS SURVEY Appendix 14: BTSG 3Q 2018/19 Financial Performance 69

70 Appendix 14: Property Update New Hotel Opening: Eastin Thana City Golf Resort under U City Officially opened on 1 December key freehold hotel WHY THANA CITY? Located 10 mins drive from Suvarnabhumi International Airport at kilometer 14 on Bangna-Trad highway and near a future LRT station. Thana City Country Club offers a range facilities, such as a par 72 Greg Norman-designed golf course, renowned ChefMan Chinese restaurant and spaces to accommodate a range of events i.e. weddings, business meetings, seminars, etc. Appendix 14: BTSG 3Q 2018/19 Financial Performance 70