Presentation by Sime Darby Property Berhad 3rd JANUARY 2019 Presentation Outline 1 Sime Darby Property Profile 2 Key Developments 3 Growth Strategies 4 Financial and Operational Highlights 5 Challenges & Market Outlook 6 Appendices 2 1 Sime Darby Property 3 14.1% Shareholdings Foreign Source: Source: Shareholding Structure 56.4% Tricor 13.8% Other Other Domestic Shareholdings and and 2 Jan’ 2019 others As at 4.7% 11.0% Share Price Movement Movement Price Share 30-Nov-17 1.11 Shares (000’)Shares Number of Ordinary 6,800,839 Share Price RM0.96 Market Capitalisation Market RM6.5bn 14-Dec-17 1.78 28-Dec-17 11-Jan-18 25-Jan-18 8-Feb-18 22-Feb-18 8-Mar-18 22-Mar-18 5-Apr-18 19-Apr-18 3-May-18 17-May-18 31-May-18 14-Jun-18 (RM) 28-Jun-18 12-Jul-18 26-Jul-18 9-Aug-18 23-Aug-18 6-Sep-18 20-Sep-18 4-Oct-18 4 18-Oct-18 1-Nov-18 15-Nov-18 29-Nov-18 0.96 13-Dec-18 27-Dec-18 Share Price Performance Movement of Sime Darby Property against the index – Share prices broadly trending downwards within the overall property sector Index (100) 170.0 150.0 At 30 Nov 130.0 At 2 Jan 2017 2019 % Chg Sime Darby Sime Darby Property: 110.0 Property: 20 RM1.20 RM0.96 FBM KLCI: FBM KLCI: 1,717.86 pts 90.0 1,668.11 pts 3 Bursa Prop: Bursa Prop: 1,217.19 pts 862.50 pts 29 70.0 50.0 4 Oct 18Oct4 5 Apr 18 Apr 5 8 Feb188 8 Mar Mar 818 6 Sep 18 Sep 6 9 Aug 18Aug 9 1 Nov 18 Nov 1 12 Jul 18 12 Jul 18 26 Jul 3 May 18May3 11 Jan 18 11 Jan 18 25 Jan 18 Oct 18 18 Oct 14 18 14 Jun 18 28 Jun 19 18 19 Apr 22 Feb 22 18 Feb 22 Mar 18 22 Mar 28 Dec 17 Dec 28 14 14 17 Dec 13 18 Dec 27 18 Dec 20 Sep 18 20 Sep 23 23 Aug 18 30 17 30 Nov 18 15 Nov 18 29 Nov 17 May 18 17 May 18 31 May FTSE Bursa Malaysia KLCI Bursa Malaysia Property Index Sime Darby Property 5 Source: Bloomberg as at 2 January 2019 The Largest Property Developer in Malaysia In terms of land bank size RM480.3mn RM39mn RM28.8mn 1,541 1QFP18 Revenue 1QFP18 PBIT 1QFP18 PATAMI Employees UNITED Property Development KINGDOM Active townships, integrated and THAILAND 23 niche developments KEDAH Acres of remaining developable land bank to be Helensvale, 20,531 developed over 10 -25 years Queensland GEORGETOWN, PENINSULA PENANG Estimated Remaining Gross AUSTRALIA MALAYSIA RM88.8bn Development Value (GDV) Average trading discount to 49% Realised Net Asset Value (RNAV) Property Investment SELANGOR 3,219 acres Sq. ft. of total Net Lettable Area owned in Malaysia and 2,826 acres 1.3mn NEGERI Singapore SEMBILAN Hospitality & Leisure 1,462 acres JOHOR Assets across 3 countries BANDAR UNIVERSITI PAGOH including 2 golf courses 3,262 acres 5 (36-hole & 18-hole Key Developments respectively) and a North-South Expressway Singapore convention center 6 Note: 1QFP2018 – Quarter ended 30 September 2018 Sustainable Growth with Remaining Developable Period of 10 to 25 years By Remaining By Remaining Gross Developable Land Development Value (GDV) 1,462 3,373 8.9 19.8 (12%) (28%) (11%) (25%) O 339 N (3%) G O 12,106 RM80.4 28.1 5.2 I 2,826 (23%) (35%) billion (6%) N acres 828 (7%) G 5.7 12.7 (7%) 3,278 (16%) (27%) 0.1 Legend 0.3 2,031 (1%) F (24%) 3,092 (4%) U (37%) T 8,425 RM8.4 U acres billion R E 3,302 (39%) 8.0 (96%) Notes: 1. Township categorisation: • Guthrie Corridor: (Ongoing) Elmina, Denai Alam, Bukit Subang and Bukit Jelutong, (Future) Kota Elmina & Lagong • Negeri Sembilan: (Ongoing) Nilai, Bandar Ainsdale, Planters’ Haven & Chemara, (Future) MVV and others • Johor: Bandar Universiti Pagoh and Taman Pasir Putih • Greater Klang Valley & Others: • (Ongoing) Ara Damansara, ALYA, Putra Heights, KL East, USJ Heights, Taman Melawati, Saujana Impian, SJCC and SJ7 7 • (Future) Jalan Acob, Victoria Estate and others 2. Future remaining GDV is preliminary and currently includes Kota Elmina, Lagong and Planters’ Haven West 2 Key Developments 8 Key Developments With remaining development period of about 25 years Guthrie Corridor Klang South Selangor Johor Expressway Elmina East and West Bandar Bukit Raja Serenia City Bandar Universiti Pagoh Remaining Acreage 3,075 2,826 1,462 3,262 Remaining GDV RM18bn RM13bn RM9bn RM6bn Total Residential Units 26,809 21,315 13,234 9,542 Residential Units 2,575 8,061 478 383 Launched Total Industrial 177 710 196 261 Components Industrial First launch Acreage Sold 152 265 63 in 1H19 • Along the Guthrie • Klang • Xiamen University, 1st• Pagoh Education Key Corridor • Highly-connected, university branch outside Hub, 1st multi-varsity Catalysts • >3000 acres of close to Port Klang of China education hub (506 green spaces and KLIA • Horizon Village Outlet acres) with ~7200 9 to open in 1Q19 students Developments along the Guthrie Corridor Expressway KEY HIGHLIGHTS Lagong 1,552 acres 10,297 acres Total land bank along Guthrie Corridor Expressway 6,465 acres Remaining developable land bank Kota Elmina • 52% of total land bank are on ongoing 1,540 acres developments • 48% on future developments (Kota Elmina and Lagong) Elmina West RM28 billion 2,661 acres Estimated remaining GDV Forest Elmina East Reserve 1,089 acres > 40,000 Total residential units with over 28,400 Denai Alam & Bukit remaining units to be launched Subang 1,250 acres DASH RRI Good connectivity: GCE, DASH, NKVE, LATAR and NSE Mass Rail Transit-1 (MRT 1) and Bukit Jelutong Keretapi Tanah Melayu Line (KTM) 2,205 acres 10 Elmina East and West - A Wellness Hub Proposed LRT extension OVERVIEW KEY 3,750 acres HIGHLIGHTS (Remaining: 3,075 acres) Elmina City Centre straddles both sides of the 2,575 GCE from Elmina West to Elmina East, Total residential units forming a prime integrated development hub launched since 2013 (FY2018: 470 units) RM17.7bn • 1,861 units from Elmina Estimated Remaining GDV West of RM587k - RM1,453k (RM340 – RM513 26,809 units psf) • 714 units from Elmina East Total estimated residential units priced between RM600k – RM2,308k (RM307 – RM564 300 acres psf) Elmina Central Park • 1,718 residential units have completed to-date 2,700 acres Tasik Subang Dam Forest Reserve 152 Acres of industrial land sold 42 acres (RM89 – RM127psf) Wellness Cluster 853 90 km Delivery of residential units from Elmina Valley 1,2 and 3 Combined jogging and cycling track in FY2018 An Award-Winning Township • Winner in Best Landscape Architectural Design • Highly Commended in Best Township Development 11 • Winner in Best Universal Also a recipient of People’s Choice Award Design Development by iProperty Malaysia 2018 Bandar Bukit Raja - Highly Connected Township OVERVIEW KEY HIGHLIGHTS 4,333 acres (Remaining: 2,826 acres) Close proximity to KLIA and Port Klang 6,183 open market residential RM12.7bn units launched since 2011 Estimated Remaining GDV (FY2018: 388 units) • RM119.8k – RM1,280.3k (RM142 – RM459psf) 21,315 units • 2,193 residential units Total estimated residential units have completed to-date 710 acres 266 Industrial components Acres of industrial land sold (RM42 – RM95psf) High Connectivity via major road infrastructure New North Klang Straits Bypass (Shapadu 84 Highway) and upcoming West Coast Delivery of completed Expressway (WCE) detached factories in FY2018 RECENT INDUSTRIAL DEVELOPMENTS 39 50 Acres of industrial land Acres of industrial across 10 plots for built-to- land sold to Vinda suit industrial facilities. Group, one of the Potential tenants include largest producers food manufacturers and of hygiene global logistics provider products 12 Serenia City - Industrial and High Technology Hub OVERVIEW KEY HIGHLIGHTS 2,370 acres (Remaining: 1,462 acres) Close proximity to Kuala Lumpur, Putrajaya, Cyberjaya and KLIA RM8.9bn 478 Estimated Remaining GDV Total residential 13,234 units launches to date Total estimated residential units • FY2018: 302 DSLH 196 acres units of Serenia Industrial components Amani (RM293- RM404psf) High Connectivity • Oct’ 18: 176 DSLH Accessible via ELITE Highway, Federal Road, units of Adiva ERL & KLIA (RM300-RM367psf) Development Catalysts • Express Rail Link (ERL) 12 minutes to KLIA and 27 minutes to KL 63 Central via the Salak Tinggi Station acres of industrial • Xiamen University land sold to date First Chinese university branch campus in starting from RM60 Malaysia with a total capacity of 10,000 psf students, with 3,300 current student population. Opened in February 2016. • Horizon Village Outlet One-storey retail lots over total net lettable area of 400,000 sqft with 2,000 covered parking bays. Target to be completed by 1Q 2019. • Sunsuria City An integrated development by Sunsuria which commenced in November 2015 13 Bandar Universiti Pagoh – A University Town OVERVIEW KEY HIGHLIGHTS 4,099 acres (Remaining: 3,262 acres) Malaysia’s First Integrated Township with an Education Hub 383 Residential units launched since March 2016 RM5.5bn • Harmoni Vista 1 & 2 (DSLH) Estimated Remaining GDV from RM365,888 – RM502,888 9,542 units (RM270 – RM335psf) Total estimated residential units 261 acres 35 delivery of completed Industrial components commercial units in FY2018 (Sarjana Square) 506 acres Pagoh Education Hub as a key development catalyst Launches to date with total GDV of >RM108mn Harmoni Vista Sarjana Square Sarjana Promenade (2-storey house) (Shop Office) (Shop Office) 383 units 35 units 35 units 14 From RM365,888 From RM888,888 From RM950,000 Pagoh Education Hub (PEH) A strategic decision to retain this Concession Arrangement st 1 integrated multi-varsity education hub in the country, situated within Bandar Universiti Pagoh Key Proposition 1 3 Stable Recurring Education Hub as Cash Flow a Key Catalyst For the Next 19 Years to Bandar Universiti Pagoh township 2 Expansion of 4 Facilities Financial Management Performance