PT Medikaloka Hermina Tbk 1H 2018 Presentation

July 2018 Hermina – Our Team

#1 Original Brand in Maternity Hospital (2016) - SWA President 34 dr. Hasmoro Director & CEO Years of Experience

Co-Founder and MD, 34 Yulisar Khiat Operational and Years of Experience General Affairs

Co-Founder and MD, dr. Binsar Parasian 32 Medical and Simorangkir Years of Experience Compliance

Hospital Group with MD, Finance and 15 the Most Accredited Aristo Setiawidjaja Strategic Hospitals (2015) Years of Experience - KARS Development

1 1. Company Overview Leading National Hospital Chain, with Robust Growth Trajectory

One of the Largest Groups in a Highly Fragmented Indonesian Hospital Market1

Top 5 Private Operators by Number of Hospitals # of Hospitals Other Selected Top Players, Beyond the Top 5 # of Operational Beds Type of Name No. of Hospitals No. of Beds 3,337 Hospital 2,780 2,700 Permata Group 7 699 Multi-Specialty 1,500 31 Sari Asih 6 858 Multi-Specialty 28 889 19 Ramsey 3 629 Multi-Specialty 10 9 Pondok 3 455 Multi-Specialty

Columbia Asia 3 416 Multi-Specialty 2 Mayapada 2 485 Multi-Specialty Permata Bunda

Total Patient Consistent Growth Year over Year FY15-FY17 CAGR 2x Growth - 14 New Hospitals in 7 Years Inpatient Days: 26% / Outpatient: 27% 28 627K 4 1 523K 4.5M 2 4 395K 3.6M 1 14 2.8M 2

FY2015 FY2016 FY2017 2010 2011 2012 2013 2014 2015 2016 2017 Dec 2017

Source: Frost & Sullivan. 1. As of December 31, 2017. 3 2. Includes Kasih Group (521 beds, 7 hospitals), which Mitra Keluarga acquired in October, 2017. Service Offering Overview Hermina hospitals are a network of general hospitals with a significant strength and wide offering in women and children care Hermina Hospital Facility Type B • 6 Type B general hospitals with fully 6 hospitals advanced center of excellence & sub- 29 specialist care Pharmacy Radiology Laboratory hospitals1 • 23 Type C full service general hospitals with several sub-specialist care Type C Accident & Outpatient Clinics Inpatient 23 hospitals Emergency & Homecare rooms Service Offerings in Women and Children Care2 Internal Medicine Surgical Procedures Market Leader in Number of Sub-specialty Orthopaedics and Traumatology, 2 Service Offerings Oncology – Chemotherapy, Haemodialysis, CAPD, Neuro surgery, Plastic surgery, Obstetrics & Gynaecology Pediatrics Gastrointestinal Endoscopy, Vascular surgery, Digestive Geriatrics Clinic, Oncology - Children's health (Laparoscopy) and Urology Chemotherapy Specializes in women’s health including tertiary care (ESWL & TURP), including Oncology and such as Phacoemulsification Urogynaecology Gastroenterology and Thalassemia Diagnostics / Imaging Cardiovascular Service of Excellence Service of Excellence • Feto-maternal care • Perinatology General X-ray & Ultrasound, Mammography, BMD, MRI, A variety of health screening and • Infertility • Neonatal Intensive Care Units (NICU) treatment such as Cath Lab • Pediatric Intensive Care Units (PICU) CT Scan, C-Arm, ENT Endoscopy, Pathology-Clinic

Medical Rehabilitation Dental Specialists Other Specialties

Service of Excellence Growth and Development Center Service of Excellence Ophthalmology Acupuncture Pulmonology which includes Children Bobath Orthodontics, Conservative Neurology Psychiatry Dermatology & Venereology to treat Cerebral Palsy and care Dentistry, Pediatric Dentistry, Pathology-Anatomic Psychology Otorhinolaryngology for Neuromuscular diseases, and Prosthodontics, Periodontics Anaesthesiology Radiology (ENT) Adult Bobath to treat Stroke and and Oral Surgery Brain Injury

1. As of May 31, 2018. 2. Based on Frost & Sullivan’s analysis that within the top private multi-specialty hospital chains, Hermina has the broadest offerings in women & children segment. 4 Corporate History

Company Milestones

◼ Established 3 new hospitals and ◼ Changed the non-profit ◼ Established the first ◼ Made the first acquired 2 hospitals ◼ 2017: Established 4 new hospitals organization status into a maternity hospital in acquisition of a corporation named ◼ 2005: Pandanaran became the ◼ Company restructured ownership to hospital (Podomoro) Medikaloka Hermina (MH) first Hermina Hospital to receive consolidate 28 hospitals under MH general hospital license

1985 1989 1995 1997 1999 2000–02 2003–08 2009–14 2015–16 2017 2018

◼ Jatinegara was ◼ Established ◼ Established 7 new hospitals ◼ Established 2 new hospitals ◼ Established the upgraded to hospitals in Depok, and acquired 3 hospitals and acquired 1 hospital ◼ Opened 1 new hospital in third hospital in Women & Children Daan Mogot, and Samarinda in April 2018 Bekasi ◼ 2011: Opened first hospital ◼ 2016: Hermina Tower was hospital outside Java in Palembang opened

Evolution on Number of Hospitals Now

# of 2017 hospitals 29 18 Cities, 2016 10 Provinces 1985 2014 28 1997 2008 1 2002 24 3,219 21 3 # of beds 6 11 2,780 2,115 25 1,611 150 441 786

5 Our Nationwide Hospital Network

Our Nationwide Hospital Network

Type B Hospitals Type C Hospitals

• Pasteur • Palembang • Yogya • Pandanaran • Ciputat • Bitung • Malang • Cileungsi • Makassar Jatinegara Kemayoran Bekasi • Sukabumi • Serpong • Balikpapan • • Banyumanik • Medan • Grand Wisata • Solo • Podomoro • Arcamanik • Ciruas • Purwokerto • Galaxy • Samarinda

Depok Daan Mogot Bogor Total Hospitals

29 Hospitals across 18 Cities in

6 2. Financial Update Robust Growth in Revenue and Stable Margin Profile

Total Revenue Gross Profit & Gross Margin (IDR billions) (IDR billions, %)

Growth: 18.2% 44.5% 43.8% 50.0% 1,515.4 1,200.0 40.0% 1,281.8 30.0% 664.2 700.0 569.9 20.0% 10.0% 200.0 0.0% 1H17 1H18 1H17 1H18

Gross Profit Gross Margin

EBITDA & EBITDA Margin1 PAT & PATMI As opposed to PAT in 1H17, PAT in 1H18 (IDR billions, %) (IDR billions) was impacted by interest expense related to purchase of minority interest in 2H17

30.0% 150.0 680.0 20.9% 20.8% 124.7 99.3 20.0%100.0 480.0 70.6 70.0 314.7 267.3 280.0 10.0% 50.0

80.0 0.0% 0.0 1H17 1H18 1H17 1H18 EBITDA EBITDA Margin PAT PATMI

1. EBITDA is calculated by operating income + depreciation and amortization + adjustment for non-operating items (disposal of fixed asset, impairment of fixed asset, and other income (expense)) and adjustment for non-cash items (allowance for impairment of account receivable and post-employment benefit expense) + professional expenses related to IPO (IDR1.5bn), which is recognized 8 as part of general adminitrative expense. Key Balance Sheet Items – Working Capital Turnover Days

Trade Receivable Days1 Net Working Capital (Days) (IDR billions)

63.1 53.6 361.4 355.0 33.7 36.8 205.4

2015 2016 2017 1H18 76.6

Inventory Days (Days) 2015 2016 2017 1H18 13.0 11.8 11.0 9.7

Cash Conversion Cycle Days (Days) 2015 2016 2017 1H18

Trade Payable Days 27.5 (Days) 21.7

42.3 42.9 45.3 38.8 11.1 3.2

2015 2016 2017 1H18 2015 2016 2017 1H18

1. Trade receivable days in 2016 and 2017 are calculated based on average balance of trade receivables. 9 Strong Growth in Patient Visits

Inpatient Days Inpatient Admissions by Payor Type

Growth: 29.0% Non- Non- JKN, 363K JKN, JKN, 33% 281K 47% 53% JKN, 67%

1H17 1H18 1H17 1H18

Outpatient Visit Outpatient Visits by Payor Type Growth: 24.4%

2.6M 2.1M JKN, Non- Non- JKN, 41% JKN, JKN, 49% 51% 59%

1H17 1H18 1H17 1H18

10 EBITDA Calculation Methodology

(IDR billions) 1H17 1H18 YoY Growth

Revenue 1,281.8 1,515.4 18.2%

EBIT 196.6 210.3 7.0%

% Margin 15.3% 13.9%

Depreciation and Amortization (D&A) 64.4 93.0

Adjustment for back non-cash items1 13.0 13.2

Post-employment benefits 11.4 12.2

Allowance for impairment losses 1.6 0.9

Adjustment for non-operational income / (expense) (6.7) (1.8)

Net Loss Disposal of fixed asset 0.6 1.4

Other income (expense) 2 (7.3) (5.1)

IPO related expenses - 1.9

EBITDA (EBIT + D&A + Adjustments) 267.3 314.7 17.7%

% Margin 20.9% 20.8%

1. Methodology is consistent with the EBITDA calculation methodology of the peer group of Siloam and Mitra Keluarga 2. Other income and expenses include items that are non-operational in nature such as sponsorship income, seminar income, patient overpayment, CSR and charitable donation expenses, and 11 other miscellaneous income and expenses. Debt and Leverage Ratio

Total Debt / Net Debt / Leverage Ratio Maturity Profile (June 2018) (IDR billions, x) 1.9 2

2500 <1 yr 1.5 maturity 15%

2000 1 0.8 0.7 1500 1,422.0 0.5 IDR 0.5 865.2 bn 1,099.6 1000 865.2 0

607.7 1-5 yr 500 404.5 maturity 354.1 343.3 -0.5 85% 235.3

0 -1 2015 2016 2017 1H18 Total Debt Net Debt Net Debt/EBITDA

Note: Debt is calculated by short-term bank loans + current portion of long-term liabilities + medium term notes + long-term liabilities net of current portion: bank loans + mandatory convertible notes. 12 Cash Flow and Capital Expenditure

Cash Flow Cash and Cash Equivalents (IDR billions) (IDR billions)

521.9

322.4 1,142.4

203.2 118.8 176.5 170.2 446.3

331.4 393.6 439.7 207.7 2015 2016 2017 1H18 (526.7) (485.7) (454.5)

(1,462.8) Capital Expenditure1 (IDR billions, %) 40.0% 1350 30.9% 29.7% 35.0% 26.7% 30.0% 1150 23.9% 950 25.0% 716.1 20.0% 750 528.9 534.4 15.0% 550 450.3 10.0% 2015 2016 2017 1H18 350 5.0% Cash Flow from Operations Cash Flow from Financing Activities 150 0.0% 2015 2016 2017 1H18 Cash Flow from Investing Activities Capital Expenditure % of Revenue

1. Includes acquisition of fixed assets + acquisition of other assets + advance purchase of fixed assets 13 3. Hospital Development Hospitals Under Development

Hermina Jakabaring

Ground Piled & Finishing Opening Breaking Structure Architecture

Aug Sep-Dec 2017 Jan-Jul 2018 3Q18

2017 PLAN

100% 100% 97% PROGRESS

Hermina Padang

Ground Piled & Finishing Breaking Structure Architecture Opening

Oct Nov 2017 - Jul 2018 Jul-Oct 2018 4Q18

2017 PLAN

100% 93% 10% PROGRESS

15 PT Medikaloka Hermina Tbk www.herminahospitals.com