Ayala Corporation Analysts’ Briefing Full-Year 2017 Financial and Operating Results W a T E R March 12, 2018 Healthcare

Real Estate F i n a n c i a l Infrastructure S e r v i c e s Power Generation Industrial Telecom Technologies Ayala Corporation Analysts’ Briefing Full-year 2017 Financial and Operating Results W a t e r March 12, 2018 Healthcare Social Commitment Education FY 2017 Financial Hig h lig ht s Strong double-digit growth of Ayala Land and AC Energy boosted Ayala’s net earnings in 2017 FY 2017 Financial Results (₱ billions) ₱30.3 billion +16% Net Income • Driven by robust earnings of Ayala Land, AC Energy, and AG Holdings ₱35.8 billion +12% Equity in Net Earnings • Buoyed by double-digit growth primarily of Ayala Land, AC Energy, IMI, and AC Auto 2 FY 2017 Equity Earnings Ayala Land and AC Energy bolstered Ayala’s equity earnings during the year FY 2017 Equity in Net Earnings by Business Unit (In ₱ billions) +21% +2% 11.9 10.8 -3% +30% +1% 4.6 +2% 2.9 3.5 7x 1.2 0.9 Others 3 4Q 2017 Financial Hig h lig ht s Ayala Land and BPI lifted the parent’s fourth-quarter net earnings 4Q 2017 Financial Results (₱ billions) ₱7 billion +10% Net Income • Bolstered by robust earnings from Ayala Land, BPI, and AC Energy – lifted by improved results at parent ₱8.9 billion +7% Equity in Net Earnings • Lifted by broad-based YoY earnings growth from Ayala Land and BPI 4 2017 Parent Capital Expenditure We deployed ~77% of our budgeted capital spend, with a majority invested in AC Energy Parent-level actual capex spent for FY 2017 (In ₱ Billion) 21 Budgeted Spent 16.1 9.5 5.4 4.9 3.2 3.3 2.9 2.7 1.6 2.4 0.3 0.2 0.5 Strategic Total Opportunities 4 2018 Planned Capital Expenditures We continue to be positive about our trajectory, as reflected in higher group-wide planned capex for 2018 Ayala Group Planned Capex Ayala Parent Planned Capex 7% Others 8% 24% 9% 45% ₱249.4B 47% ₱51.8B 6% 13% 8% 7% 18% 3% 6% Strategic Opportunities 4 Financial Management Our balance sheet remains at comfortable levels to finance our expansion initiatives and meet our debt and dividend obligations ClickAs to of edit Dec Master 31, As of Dec 31, Schedule of DebtClick Maturities to edit Master1* 2016 2017 (₱ billions) 20 Audited Audited PHP USD PARENT Gross debt ₱76.0B ₱83.3B 10 Cash ₱16.4B ₱18.6B Net debt ₱59.6B ₱64.7B 0 18 19 20 21 22 23 24 25 25 26 27 Net D/E ratio Total Parent Click to edit0.56 Master 0.59 Debt Profile* Equity YE2016 YE2017 LTV ratio 11.1% 6.4% Debt in ₱ 66% 58.5% Cash flow 2.04x 2.33x Debt with fixed rates 75% 92.6% adequacy ratio Blended cost of debt 4.3% 4.2% CONSOLIDATED Avg. remaining life 4.0 years 15.4 years Net D/E ratio Total Equity 0.63 0.69 *Excludes preferred shares 1Excludes perpetual bonds Summary of Business Unit Performance A resurgence in property sales, combined with the strength of its leasing business, drove Ayala Land’s net earnings for the year FY 2017 Financials KEY HIGHLIGHTS ▪ Property development revenues jumped 23% to ₱101.5 billion* on the back of new bookings and project completions ₱25.3 billion +21% ▪ Reservation sales reached ₱122 billion, up 13% ▪ Commercial leasing revenues grew to ₱31 billion, up 10% Net Income on new mall openings, stabilized occupancy of office spaces, and performance of hotels and resorts ▪ Established estates accounted for 54% of net income mix, while new estates and growth centers accounted for the remaining 46% ▪ Recurring income businesses contributed 35% of net income ▪ Capex spend for 2017 reached ₱91.4 billion ▪ 28 residential projects worth ₱88.8 billion were launched ▪ Five new malls (189,000 GLA) and six new offices (185,000 GLA) were opened ▪ Six new hotel and resort facilities were opened in 2017, Seagrove, Cebu adding 556 rooms to Ayala Land’s portfolio *Includes accretion income 6 Summary of Business Unit Performance The sustained performance of BPI’s core banking business tempered the absence of one-off gains 1Q17FY 2017 Net Financials Income (₱ billions) 1Q 2017 ConsolidatedKEY HIGHLIGHTS Net Income (₱ billions) ▪ Total revenues climbed 7% to ₱71 billion ▪ Net interest income rose 13% to ₱48 billion on asset growth and improvement in net interest margin ₱22.4 billion +1.7% ▪ Non-interest income declined 5% to ₱22.9 billion in the Net Income absence of trading gains registered in 2016 ▪ Achieved 16% growth of fee-based income to ₱19.9 billion driven by cards, trust and investment management, insurance fees, bank commissions, and service charges ▪ Cost-to-income ratio was slightly higher at 54.3% on the bank’s continued digitalization initiatives ▪ Loan book recorded robust 16% growth to ₱1.2 trillion driven by corporate loans (accounting for 81% of total loans) ▪ Gross 90-day NPL ratio stood at 1.29%; ▪ Reserve cover ratio increased from 119 to 129% ▪ BPI created a new client group focused on SMEs ▪ It launched a stock rights offering of up to ₱50 billion in support of strategic initiatives 7 Summary of Business Unit Performance Higher opex and depreciation charges from increased investments in its data network weighed on Globe’s net earnings 1Q17FY 2017 Net Financials Income (₱ billions) KEY HIGHLIGHTS ▪ Gross service revenues reached ₱127.9 billion, up 6% on demand for data-related products ▪ Mobile revenues rose 7% to ₱98.5 billion ₱15.1 billion -5% ▪ Mobile subscriber base stood at 60.7 million, a 3% decline Net Income due to change in prepaid subscriber reporting ▪ Mobile data now accounts for 44% of total mobile revenues ▪ Home broadband revenues were at ₱15.6 billion, up 7% on a 15% increase in its subscriber base for an end-2017 total of 1.3 million subscribers ▪ Corporate data segment increased 4% to ₱10.3 billion ▪ EBITDA grew 7% to ₱53.3 billion ▪ EBITDA margin at 42% ▪ Capex spend reached ₱42.5 billion in support of network infrastructure enhancements ▪ Rolled out digital payment platform through GCash scan- to-pay in malls, major retailers, and convenience stores 8 Summary of Business Unit Performance Higher opex and business development costs tempered Manila Water’s bottomline FY 2017 Financials KEY HIGHLIGHTS ▪ Revenues up 5% to ₱18.5 billion ▪ The contributions of Laguna Water and Boracay Water, as well as higher supervision fees recognized by Estate ₱6.2 billion +1% Water, balanced out flat revenue growth in the Manila Net Income Concession ▪ Operating expenses expanded 19% to ₱7.4 billion ▪ Higher billed volume across all business lines, with non- Manila Concession segments posting 14% growth ▪ Total billed volume at 738.7 mcm, 3% higher y-o-y ▪ 2% increase in Manila Concession billed volume helped offset impact of tariff reduction ▪ 48% increase in capital expenditures for 2017 ▪ Completed Marikina North Sewerage Treatment Plant (100 million liter daily capacity) ▪ Undertaking joint ventures in Ilagan and Leyte, and acquired 18.72% of Thailand’s Eastern Water and 20% of Indonesia’s PT Sarana Tirta Ungaran 9 Summary of Business Unit Performance Fresh equity earnings contribution from its geothermal asset and better performance of wind farms drove AC Energy’s net earnings FY 2017 Financials KEY HIGHLIGHTS ▪ Equity earnings from operating assets up 66% to ₱2.5 billion, propelled by fresh contributions from geothermal asset and strong performance of wind platforms ₱3.5 billion +31% ▪ Services income derived from financial close of a new Net Income power plant also boosted net earnings ▪ To date, AC Energy has an attributable capacity of ~1,300MW of conventional and ~300MW of renewable energy 12 Summary of Business Unit Performance AC Energy made new investments in the Philippines, Indonesia, and Vietnam to support its growth strategy 1Q 2017 ConsolidatedStrategic Net acquisitions Income (₱ and billions) developments Salak & Bronzeoak Development Sidrap Wind Ninh Thuan GNPower Darajat Platform Farm Solar Project Dinginin Geothermal (Indonesia) (Vietnam) Unit 2 (Indonesia) ▪ 19.8% ownership stake ▪ Visayas Renewables ▪ AC Energy DevCO • Located in Sidrap, • Initial phase of 30 MW ▪ Project financing for ▪ Partnership with Star owns equity stakes in provides operations South Sulawesi, solar project broke Unit 2 of GNPD’s 2 x Energy Group, Star the following and management Indonesia ground in January 668 MW coal fired Energy Geothermal renewable energy support to: • Partnership with UPC 2018 power plant in Bataan and EGCO assets: 1. San Carlos Solar Renewables Indonesia • Investment for this achieved financial ▪ ~637MW total Energy Ltd. phase is expected to close in Dec 2017 capacity 1. San Carlos Solar 2. Negros Island Solar • ~75MW total reach 800 billion VND ▪ Unit 2 scheduled for ▪ ~126MW in Energy Energy generating capacity • Partnership with BIM completion by 2020 attributable capacity 2. Negros Island Solar 3. Monte Solar Energy • First utility-scale wind Group of Vietnam to ▪ Approximately 50% Energy 4. San Carlos BioPower farm project in develop over 300 MW ownership stake 3. Monte Solar Energy 5. South Negros Indonesia of solar power projects ▪ Estimated project cost BioPower in Ninh Thuan at US$1.7 billion province 10 Summary of Business Unit Performance AC Energy is restructuring its businesses to enable more focused strategies and greater flexibility GN Power SLTEC Northwind Power North Luzon Montesol Mariveles Renewables Salak and Darajat Small Island Visayas GNPower GNPower Geothermal Power Projects Renewables Kauswagan Dinginin Sidrap Project Ninh Thuan project Summary of Business Unit Performance The improved performance of AC Industrials’ electronics manufacturing and automotive retail units boosted earnings FY2017 Financials 1Q 2017 ConsolidatedIMI Key Highlights Net Income (₱ billions) • Net income jumped 21% to US$34 million on contributions of recent acquisitions,

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