Logan Property Holdings Company Limited 2019 Interim Results Presentation

August 2019

1 I Results Highlights II Land Bank Contents III Regional Penetration IV Outlook & Urban Renewal

2 I Results Highlights II Land Bank Contents III Regional Penetration IV Outlook & Urban Renewal

3 Key Highlights: Interim Results 2019

1  Core Profit1RMB4.67bn（+59%） 4  Urban Renewal projects with saleable resources  Core Profit RMB1.8bn from Urban Renewal of RMB325bn, Core Profit Margin 15%-20%, Sustained Solid Business Urban Renewal: new driver for continuous earnings growth Core Earning  GP Margin 34.8%，Core Profit Margin 17.3%， New Growth  Urban Renewal business to contribute 10%-20% Growth leading the market sustainably Engine of Core Profit in the future

2  Contract Sales RMB45.3bn（+28%） 5  Completion of 2019 Contract Sales Target will Completed 53%  Achieved 53% of 2019 Contract Sales Target High lock in 80% of our expected revenue in 2020. We Confident to outperform 2019 Contract Sales expect Core Profit to grow steadily in 2020 & Annual Sales  Earnings Target 2021 Target Visibility

 As at 30 Jun 2019, weighted average cost of 6 borrowings 6.1% Diversified Financing Channels including USD 3  Interim Dividend of HK38 cents（+36%） Low-cost,  Stable High  Payout Ratio : 40% of Core Profit attributable Multiple Financing Senior Notes, Offshore Syndicated Loans, Dividend Payout to equity shareholders Channels, Prudent Onshore Corporate Bonds & ABS, etc. Financial Policy  Cash on Hand RMB38.3bn, Net Gearing 65.4%, Continuous optimization of Debt Structure, Early Redemption of USD260mn 7.7% senior notes

Note 1: Core Profit: Excluding changes in fair value of investment properties and derivative financial instruments and the relevant deferred tax

4 Continued Steady Growth in Contract Sales

Contract Sales GFA1 Contract Sales ASP of Contract Sales2

(‘000 sq.m.) (RMB mn) 45,311 (RMB per sq.m.) 3,392 +27.7% 2.1% 9.0% 17,096 +85.9% 16,008 35,471 45.8% 44.4% 44.4% 13,186

1,825 53.2% 17.5% 19,310 1,191 24.2% 29.6% 37.7% 27.8% 11.6% 17.0% 23.1% 22.8% 43.1% 27.6% 12.9% 19.8% 6.8% 8.9% 3.2% 35.4% 2.1% 33.5% 13.0% 0.9% 8.2% 5.9% 2.3% 2.2% 3.9% 1.2% 1.8% 2.9% 1H2017 1H2018 1H2019 1H2017 1H2018 1H2019 Region 138 320 71 Shenzhen Region 5,714 18,879 4,072

GBA (Excluding GBA (excluding 43.6% 275 442 49.7% 1,507 4,404 6,032 20,139 Shenzhen) Shenzhen) Nanning Region 329 786 1,279 Nanning Region 2,490 7,024 12,603 Region 422 237 303 Shantou Region 6,465 2,909 3,059 Yangtze River Yangtze River - - 70 - - 1,439 Delta Delta FY2017 FY2018 1H2019 Singapore - - 31 Singapore - - 2,681 Other Regions 27 40 131 Other Regions 237 627 1,318

Note 1: Contracted GFA excluding the area of car parking portion. Note 2: ASP excluding car parking portion. 5 Note 3: Sources: Shenzhen Home, EH Consulting & Internal Statistical Figures Recognized Sales of Property Development

Recognized GFA1 Recognized Sales2 ASP of Recognized Sales3

(‘000 sq.m.) (RMB mn) 17,776 1,091 0.5% +24.3% ASP of Recognized Sales（RMB） 45.8% 893 14,303 25,000 38.2% 12,794 54.6% 739 22.2% 4.9% 24.1% 21,901 6.9% 20,000 19,655 46.3% 16.2% 27.6%

60.1% 51.8% 8.0% 24.1% 15,000 38.1% 37.9% 11,730

16.4% 36.6% 9.0% 14.5% 10,000 15.7% 12.2% 14.3% 7.0% 0.9% 6.5%0.3% 0.1% 4.2% 0.8% 43.6% 1H2017 1H2018 49.7%1H2019 1H2017 1H2018 1H2019 Shenzhen Region 6 51 198 Shenzhen Region 633 3,449 9,706 5,000 Other Regions in Other Regions in 416 444 246 5,915 7,400 4,284 GBA GBA Nanning Region 177 121 339 Nanning Region 1,028 1,294 2,579 - Shantou Region 416 116 109 Shantou Region 4,678 2,043 1,158 FY2017 FY2018 1H2019 Other Regions 76 7 1 Other Regions 540 117 49 Note 1: Recognized GFA excludes area for car parking spaces. Note 2: Recognized Sales are tax inclusive. 6 Note 3: ASP of Recognized Sales excludes car parking spaces. Industry-leading Profitability; Sustained High Quality Growth

Revenue Profit Margin Core Profit1

（RMB mn） Gross Profit Margin （RMB mn） Core Profit Margin 34.8% 34.4% 33.7% 10,000 48,000 44,137

42,000 30% 8,000 7,654.7 36,000

30,000 27,690 27,022 6,000 20% + 59% 16.7% 17.3% 17.3% 24,000 4,620.0 4,671.5 20,539 4,000 18,000 15,154 2,937.9 12,382 10% 2,552.6 12,000 2,000 6,363 6,000

0 0% 0 2016 2017 2018 2019 2017 2018 1H2019 2017 2018 1H2019

1H FY 1H FY

Note 1: Core Profit: Excluding changes in fair value of investment properties and derivative financial instruments and the relevant deferred tax 7 Attractive & Stable Dividend Pay-out

DPS Dividend Pay-out Ratio1

（HK cents） Interim Dividend Final Dividend Final/Interim Dividend Special Dividend Special Dividend 140 50%

10.0% 120 40% 5.0% 5.0% 100

80 30% 15 60 20% 40.0% 40.0% 33.1% 35.0% 35.0% 40 5 40 25.0% 17 10% 3 20 38 22 19 20 0 0% 2016 2017 2018 2019E 2020E 2021E 2014 2015 2016 2017 2018 1H2019

Note 1: Dividend Payout Ratio = Dividend / Core Profit attributable to equity shareholders

8 Diversified Financing Channels, Prudent Financial Policies Cash on Hand RMB38.3bn, Cash Coverage Ratio>2.0X

Debt Structure Debt Maturity

Offshore Onshore Bank Senior Notes Loans 29% Within One 29% Year 24% Two to Five

Weighted Average Years 43% Cost of Borrowings 6.1%

Offshore Bank One to Two Loans 12% Onshore  Total Borrowings: Years 33% Corporate RMB65.27bn  Onshore:59% Bonds 30%  Offshore:41%

9 Diversified Financing Channels, Prudent Financial Policies

Net Gearing Weighted Average Cost of Borrowings

10% 80% 71.4% 8.8% 65.7% 67.9% 9% 70% 63.2% 65.4% 58.4% 8% 6.8% 60% 7% 6.1% 5.8% 6.1% 6.1% 50% 6% 40% 5% 4% 30% 3% 20% 2% 10% 1% 0% 0%

10 I Results Highlights II Land Bank Contents III Regional Penetration IV Outlook & Urban Renewal

11 Abundant premium land bank in GBA;First mover Advantage

 GBA Land Bank with saleable resources of RMB611.1bn, 81% of total Land Bank  Shenzhen: saleable resources of RMB180.3bn; Shenzhen and Pan-Shenzhen regions : saleable resources of RMB337bn, representing 45% of total Land Bank GBA : Saleable resources of RMB611.1bn (81% of total) Other Regions // Shantou Singapore Yangtze River 13.6bn 13.5bn 11.9bn Delta Region 2% 21.5bn 1.5% 4.4bn 29.7bn 0.5% // 4% Nanning 102.1bn Shenzhen Region 180.3bn 81.3bn Saleable 11% Total Resources Saleable Resources in GBA RMB RMB 752bn 611.1bn 54.69m sq.m.

Zhuhai/ GBA 137.1bn / 611.1bn 156.6bn 81% 12 Optimized Land Development Cycle

Land Bank Geographic Mix Land Bank GFA Regions % % （RMB bn） （mn sq.m.） Shenzhen 87.0 20% 1.9 5% Huizhou/ Dongguan 57.2 13% 5.7 16% Guangzhou/ Foshan/ 71.2 17% 7.0 20% 325bn Zhaoqing Land Bank Total / Zhongshan 50.5 12% 3.7 11% 57% Qingyuan / Yangjiang/ 21.5 5% 3.3 9% Saleable Resources Heyuan RMB 427bn M&A & Urban Hong Kong & 13.5 3% 0.1 0.1% 752bn Renewal GBA - Subtotal 300.9 70% 21.7 61% 54.69m sqm Projects under incubation Shantou Region 29.1 7% 4.2 11% 43% Nanning Region 67.1 16% 8.1 22% Singapore 11.9 3% 0.2 1% Yangtze River Delta 4.4 1% 0.3 1% Other Regions 13.6 3% 1.4 4% Total 427.0 100% 35.9 100%

13 Continuous Expansion of GBA Land Bank through Multi-Channels Newly-acquired Land Bank in 1H2019 : RMB133.0bn, RMB47.8bn from Open Land Market

1H2019 Attributable Land Cost (Open Land Market) Attributable Other Regions Total GFA Unit Cost Yangtze River 1% Land Cost Regions Delta 5% (RMB (sq.m.) (RMB 100 mn) per sq.m.) Shenzhen 200,042 65.85 32,918 Foshan 590,106 27.83 5,979 Nanning Zhuhai 443,718 18.63 8,398 Region 30% Zhongshan 145,921 2.03 2,775 Guangzhou 165,160 21.78 13,188 GBA - Subtotal 1,544,947 136.12 10,630 Nanning Region 2,180,943 63.36 3,872 GBA 64% Yangtze River 199,914 11.22 5,613 Delta Other Regions 240,474 3.13 1,301 Total 4,166,278 213.83 6,313

14 Continued Expansion of GBA Land Bank through Multi-Channels （Urban Renewal）

1H2019 Newly-acquired saleable resources from Urban Renewal: RMB85.2bn

Guangxi 11%

Foshan 7% Zhuhai 33%

Huizhou 6%

Guangzhou 14%

Dongguan 29%

15 I Results Highlights II Land Bank Contents III Regional Penetration IV Outlook & Urban Renewal

16 “Regional Penetration + Urban Renewal”Dual Engines Consistent Earnings Growth Across the Cycles Sustainable High ROE 1、Top 10 in Core Profit in 2、ROE is continued more than 20% since listed in HKEX for 6 years 3、Consistent growth in dividends

1、Regional Penetration in GBA，Sustained Market Urban Leadership; Actively Entry in Renewal Metropolitan Area Regional 2、First-mover Advantage & Penetration Abundant Premium Land 1、Specific opportunity in GBA， Bank Abundant Premium Land Bank from Urban Renewal 3、Benefiting from 2、Sustained industry-leading economic growth of profitability, Urban Renewal Business to Metropolitan Areas， contribute 10%-20% of Core Profit Consistent Earnings Growth annually in the future Across Cycles 17 Continuous Penetration in GBA & Shanghai Metropolitan Areas

Actively Entry in Shanghai Metropolitan Area Shanghai Metropolitan Area （Entered the market in 2018, 6 projects on hand ）

1、Permanent Resident: 160mn 2、GDP: More than RMB18 Trillion 3、Sales of Commercial Housing: RMB3.6 Trillion

Continuous Penetration Strategy in GBA GBA Metropolitan Area Metropolitan Area （Saleable resources in GBA : RMB611.1bn, 81% of total Land Bank）

1、Permanent Resident: 71.16mn 2、GDP: more than RMB10.9 Trillion 3、Sales of Commercial housing: RMB1.7 Trillion

18 Shenzhen: China’s pilot demonstration area; core growth engine; future global benchmark city  First mover advantage, 13 Metro Property Projects in Shenzhen, with saleable resources of RMB180bn  2018: No.1 in Contract sales GFA / Units Sales in Shenzhen

Shenzhen: Mid to Long Term Railway Transit Planning Acesite Castle (玖誉府)

Logan City Acesite Park Baolong 龙光城 Station ( ) (玖龙臺) Guanguang (宝龙站) Station Qiankeng Logan City (观光站) Shangtang Fuyong Project 1 Station Station Station Tangwei 茜坑站 (福永项目1 ) (上塘站) ( ) (龙光城站) Station Longhua Project (塘尾站) Hongshan (龙华项目) Fuyong Project 2 Station (福永项目2 ) (红山站) Baishilong The Masterpiece 玖云著 Logan Carat Station ( ) (白石龙站) Complex (玖钻) Baohua Qiaocheng East Acesite Mansion Station Station (宝华站) 侨城东站 (玖龙玺) ( )

Century Center (世纪大厦) Lixiang Fubao Project Station Fubao (福保项目) Free-Trade (荔香站) Station (福保站) Zone Project Qiaocheng East 蛇口自贸区项目 ( ) Project (侨城东项目) 19 Urban Renewal: to contribute 10%-20% of Core Profit annually in the future

First-mover advantage, with high-margin saleable resources of 1 RMB325bn (average land cost is less than 25% of our estimated ASP)

Valuable locations and short conversion cycle, saleable resources of RMB260bn with independent development power in Shenzhen, Huizhou , 2 Dongguan and Zhuhai.

Solid execution and track records. Conversion of 2 projects in Foshan & Zhuhai in 2018, with saleable resources of RMB18bn. In 2019, Conversion 3 of , 3 projects located in Shenzhen Free-Trade Zone, Huizhou Daya Bay & Shenzhen Qiaocheng East, with saleable resources of RMB70bn. We plan to convert no less than RMB30bn from urban renewal business each year in the future

20 Urban Renewal : saleable resources of RMB325bn; 90% of which located in GBA Metropolitan Area

Urban Renewal: saleable resources distribution（RMB） Other Cities outside GBA, Foshan, 19.3bn Guangzhou, 14.8bn 11.6bn Shenzhen, Zhongshan, 93.3bn No. of Cities （No.） 10 18.2bn

No. of Projects （No.） 62 Zhuhai, 68.4bn

GFA （mn sq.m.） 18.77

Saleable Resources （RMB bn） 325 Huizhou, 58.4bn

Dongguan, 41.0bn

21 Note：Statistical figures as at 30 June 2019 Solid Execution ： Conversion of Urban Renewal Projects in 2018 with saleable resources of RMB18.0bn Foshan Chancheng Green Lake Project Zhuhai Acesite Centrium (珠海-玖龙汇) (佛山-禅城绿岛湖) Zhuhai Free Trade Zone, Junction of Location  Location  , Foshan Baosheng Road and Baohui Road Project Type  Residential & Commercial Project Type  Commercial / Office Site Area  Approximate 82k sq.m. Site Area  Approximate 49k sq.m.  Total Land Cost: Approximate RMB3.26bn  Total Land Cost: Approximate RMB1.5bn Land Cost Land Cost （Including urban renewal land premium）  RMB6,620 per sq.m.  RMB4,702 per sq.m. Total GFA & Value  Approximate 710k sq.m., RMB10bn Total GFA & Value  Approximate 330k sq.m., RMB8bn  Located at the bridgehead of  At the top of the metro line no. 2 at Titan Project Highlight Bridge, the entrance of Hong Kong- Project Highlight Station, and the metro line no.2 is Zhuhai-Macau Bridge expected to be opened in 2020 Acquisition Time  3Q2016 Acquisition Time  1Q2017

22 Saleable Resources from Urban Renewal Projects in 2019: More than RMB70.0bn

Shenzhen Qiaocheng East Project（Incubated） Shenzhen Free-Trade Zone Project（Incubated）

Location  OCT, Nanshan District, Shenzhen Location  Nanshan District, Shenzhen Project Type  Commercial / Office Project Type  Commercial / Office, Innovative Industry Site Area  Approximate 38k sq.m. Site Area  Approximate 16k sq.m.  GFA: Approximate 260k sq.m.  GFA: Approximate 160k sq.m. GFA & Value GFA & Value  Value: Approximate RMB30.8bn  Value: Approximate RMB12.4bn  Located at Shenzhen CBD  Located at , Shenzhen Project Highlight Project Highlight  Metro Property  Metro Property Acquisition Time  4Q2017 Acquisition Time  2Q2016

23

23 Introduction of Innovative Industry to Huizhou Daya Bay Project; Enhancement of regional value

Huizhou Daya Bay Project

Location  Huizhou Daya Bay Industrial Zone Logan, HC Group Inc. and Huizhou’s local Type  Residential & Commercial government entered into Agreement. Site Area  313k sq.m. Industry upgrade based on existing project.  GFA: Approximate 1.8mn sq.m. GFA & Value  Value: Approximate RMB27.3bn Contribution to Huizhou’s electronic and information industry with targeted value of  Near Shenzhen Project Highlight  Spillover effect of Shenzhen population RMB1 trillion, and enhance region’s value.  The first station of industrial transfer Acquisition Time  Feb 2017

24 I Results Highlights II Land Bank Contents III Regional Penetration IV Outlook & Urban Renewal

25 Year 2019 : Stable Growth Across the Cycles

 Saleable Resources of RMB150bn; Confident to outperform 2019 contract sales target

Singapore：Stirling Residences (尚景苑), The Florence Residences (悦湖苑) Singapore Zhuhai / 4% Yangtze River Delta Jiaxing：Glory Bay (玖誉湾), Zhuhai：Acesite Mansion (玖龙玺)、 Zhongshan 3% 18% Acesite Castle (玖龙府), Glory Bay (玖誉湾), etc. ：Glory Bay (玖誉湾) Zhongshan：Acesite Bay (玖龙湾), Nanning Region The Cullinan (天禧), etc. 20% Nanning：Glory City (玖誉城), Grand Riverside Palace(水悦龙湾御江), etc.

Foshan / Saleable Zhaoqing Resources1 Shantou：Celestial Palace (御海天宸), 17% Royal Sea Heaven Palace (御海天韵雅 Foshan：Nanhai Sirius (南海 RMB150bn Other Regions 苑), etc. 天曜), Shunde Sky Win (顺德 天瀛), etc. 2% Shantou Region 5% Shenzhen：Logan Carat Complex (玖钻)、Acesite Mansion (玖龙臺), Other Regions Acesite Castle (玖誉府), etc. GBA in GBA Huizhou：Logan City (龙光城), 2% 66% Shenzhen / Huizhou / Dongguan Acesite Castle (玖龙府), etc. 29% Dongguan：Jiangnan Territory (江 Note 1：Internal Estimated Figures 南大境), Acesite Mansion (玖龙玺), 26 etc. Market Leader in GBA in Next 3 to 5 Years

 2017 to 2021 : Consistent Stable Growth in Attributable Contract Sales  Benefiting from GBA’s economic growth, Sustained Market Leader position in GBA

Contracted Sales from 2017 to 2021

（RMB bn）

85.0

71.8

43.4

2017A 2018A 2019E 2020E 2021E

2017A 2018A 2019E 2020E 2021E 27 Top 10 developer in Core Profit in next 3 to 5 Years

Core Profit: consistent growth in line with revenue from 2017 to 2021

RMB 100mn

76.5

46.2

2017A 2018A 2019E 2020E 2021E

2017A 2018A 2019E 2020E 2021E

28 Income Statement Highlight

% of % of 1H2019 1H2018 YoY Change Revenue Revenue （RMB mn） Revenue 27,022 100.0% 15,154 100.0% 78.3% Gross Profit 9,392 34.8% 5,611 37.0% 67.4% Net Profit for the Period 5,290 19.6% 3,795 25.0% 39.4% Profit Attributable to Equity 5,128 19.0% 3,432 22.6% 49.4% Shareholders of the Company Core Profit1 4,672 17.3% 2,938 19.4% 59.0% Core Profit Attributable to Equity 4,510 16.7% 2,650 17.5% 70.2% Shareholders of the Company Earnings Per Share (EPS) - Basic (RMB cents) 91.87 - 60.99 - - Diluted (RMB cents) 90.45 - 59.96 - Interim Dividend per Share (HK cents) 38 - 20 - Special Dividend per Share (HK cents) - - 8 - Total Dividend per Share (HK cents) 38 - 28 -

Note 1: Core Profit: Excluding changes in fair value of investment properties and derivative financial instruments and the relevant deferred tax 29 Balance Sheet Highlights

As at 30 Jun 2019 As at 31 Dec 2018 Change （RMB mn） Total Asset 191,509 170,095 12.6% Equity Attributable to the Equity Shareholders 31,779 29,249 8.6% Total Equity1 41,249 36,746 12.3% Cash and Bank Balance2 38,312 35,717 7.3% Contract Liability (Receipts in Advance) 20,140 16,785 20.0% Total Borrowing 65,274 58,941 10.7% Net Gearing Ratio 65.4% 63.2% 2.2p.p.

Note 1: Include NCI and PCS Note 2: Include restricted and pledged deposits

30 2019 Project Highlights – Shenzhen

Shenzhen Carat Complex (深圳玖钻) Acesite Park (玖龙台)

 Hongshan Station (红山站) of Metro Lines  Guanguang Station (观光站) of Metro Location Location No. 4 & 6 Lines No. 6 & 13

Type  Complex Type  Residential & Commercial

Site Area  Approximate 87,000 sq.m. Site Area  Approximate 152,000 sq.m.

Total GFA  Approximate 840,000 sq.m. Total GFA  Approximate 720,000 sq.m.

 At the top of dual metro lines (Line No.4 is  At the top of dual metro lines (Lines No. 6 Project Value in operation & Line No.6 is under Project Value & 13 are under construction) at construction) at Hongshan Station (红山站) Guanguang Station (观光站)

31 2019 Project Highlights – Huizhou / Shantou

Logan City – Huizhou (惠州-龙光城) Celestial Palace – Shantou (汕头-御海天宸)

 Daya Bay (大亚湾) & adjacent to Shenzhen Location Location  Xinjin District of East Coast, Shantou border

Type  Residential & Commercial Type  Residential

Site Area  Approximate 1.7mn sq.m. Site Area  Approximate 98k sq.m.

Total GFA  Approximate 5.03mn sq.m. Total GFA  Approximate 370k sqm  Logan’s the biggest and flagship project.  A low-density residential with approximate Adjacent to Shenzhen border and near the  100,000 sq.m. lake landscape garden. Enjoy Project Value metro station under planning. Various Project Value abundant education resources and choices of transportation connecting Logan commercial/public facilities City and Shenzhen CBD

32 2019 Project Highlights – Zhuhai / Singapore

Acesite Mansion – Zhuhai (珠海-玖龙玺) Stirling Residences – Singapore (新加坡-尚景苑）

Location  Hengqing Port Location  Stirling Road of Queenstown

Type  Residential Type  Residential

Site Area  Approximate 50k sq.m. Site Area  Approximate 21k sq.m.

Total GFA  Approximate 160k sq.m. Total GFA  Approximate 89k sq.m.  Adjacent to a commercial complex with area of 1mn sq.m., 400m away from the  300m away from the Queenstown subway Project Value Hengqing light rail station, close to Project Value station, with established facilities, close to Hengqing’s main avenue-- “Hong Kong several large shopping centers and schools Macau Avenue”

33