ANALYSTS BRIEFING 02 02 MAY 20 2019 19 1 TABLE OF CONTENTS - - PowerPoint PPT Presentation

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FIR FIRST QU ST QUAR ARTER TER 20 2019 19 FIN FINANCIA ANCIAL L RESUL RESULTS TS ANALYSTS’ BRIEFING

02 02 MAY 20 2019 19

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TABLE OF CONTENTS

Consolidated Financial Highlights Page 3 POWER Financial Highlights 4 Expansion Updates 5 TOLL ROADS Financial Highlights 6 Expansion Updates 7 WATER Financial Highlights 8 Metropac Water 9 HOSPITALS Financial Highlights 10 RAIL, LOGISTICS AND OTHERS Financial Highlights 11 Regulatory Matters 12 Stand-alone Portfolio Company Results and Key Metrics Page 14 POWER MERALCO 1Q 2019 Highlights and Key Metrics 15 GBPC 1Q 2019 Highlights and Key Metrics 16 TOLL ROADS MPTC 1Q 2019 Highlights 17 Key Metrics and Priorities 18 WATER Maynilad 1Q 2019 Highlights and Key Metrics 19 HOSPITALS MPHHI 1Q 2019 Highlights and Key Metrics 20 RAIL LRMC 1Q 2019 Highlights and Key Metrics 21 Quarterly Highlights 22 Statements of Financial Position 25

3 8% increase in Operating Income was driven by:  Substantial Core Income growth from MERALCO  Continuing volume growth coupled with inflation-linked and basic tariff increases in Maynilad  Strong patient census from hospitals 1Q 2018 Head Office Expenses benefitted from the Train Law. Full-year 2019 outlook should be no more than 10% vs 2018 actual head office expense. Increase in interest expense is due to loan drawdowns amounting to P21.4 billion in FY 2018 (proceeds were used to fund various investments of the group). Weighted average interest rate as at 31 March 2019 is 6.6% and weighted average debt maturity is 7.5 years Non-Core Expense amounted to ₱118 million and is largely related to refinancing costs, share issuance costs, various project expenses and the net effect of a weaker peso

CONSOLIDATED FINANCIAL HIGHLIGHTS EARNINGS CONTRIBUTION MIX

In Millions of Pesos 1Q 2019 1Q 2018 % Change MPIC share Power 2,690 2,448 10% Toll Roads 1,113 1,099 1% Water 902 802 12% Hospitals 242 190 27% Light Rail 123 91 35% Others (116) (56) 107% Share of operating income 4,954 4,574 8% Head office expenses (311) (238) 31% Interest expense (983) (690) 42% Core income 3,660 3,646 0% Non-core income (expense) (118) 172

• 169%

Reported income 3,542 3,818

• 7%

In Centavos Diluted EPS on core income 11.60 11.56 0% 1Q 2019 1Q 2018

1Q 2019 CORE INCOME AT PAR WITH 1Q 2018

Strong growth in operating income absorbs rising finance costs from increased investment

YTD

• Power distribution in Luzon

↑ 2%

• Power sold in Visayas

↑ 8%

• Domestic toll road traffic

↑ 8%

• Water sold in West Metro Manila

↑ 2%

• Hospital group census

↑ 10%

Water 18% Power 54% Toll Roads 23% Hospitals and Others 5% Water 18% Power 53% Toll Roads 24% Hospitals and Others 5%

POWER

4

CONTRIB CONTRIBUTIO TION N UP BY UP BY 10 10% T % TO O P2.7B 2.7B

Driv iven by y st strong result sults s at MERAL ERALCO CO

10% increase in contribution from the Power business was driven by: MERALCO  2% growth in energy sales on slightly lower tariffs  Lower interest expense from lower debt balance and a higher yield from cash placements Offset by: GLOBAL BUSINESS POWER CORPORATION  8% decrease in energy sales due to scheduled plant maintenance in 1Q 2019  Start of depreciation and interest costs from Panay Energy Development Corporation’s 150 MW plant from 1 June 2018 In Millions of Pesos CONTRIBUTION TO MPIC 1Q 2019 1Q 2018 % MERALCO (45.5%) 2,545 2,236 14% GBPC (62.4%) 248 443

• 44%

Beacon/FV and accounting adj. (103) (231)

• 55%

2,690 2,448 10% STAND-ALONE PERFORMANCE 1Q 2019 1Q 2018 % Financial Highlights Revenues 75,378 70,807 6% Core EBITDA 8,828 8,688 2% Core income 5,598 4,917 14% Reported income 5,671 5,312 7% Capital expenditure 4,339 3,034 43% Key Performance Indicators Energy sales (in GWh) 10,381 10,145 2% Financial Highlights Revenues 5,774 6,335

• 9%

Core EBITDA 2,043 2,304

• 11%

Core income 398 710

• 44%

Reported income 292 729

• 60%

Capital expenditure 71 230

• 69%

Key Performance Indicators Energy sales (in GWh) 1,061 1,149

• 8%

MERALCO GLOBAL BUSINESS POWER CORPORATION (GBPC)

POWER

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EXP EXPANSIO ANSION N UPD UPDATE TES

Alsons Thermal Energy Corporation

• 105 MW Expansion Plant, Saranggani – expected to

commence operations in 2H 2019 1x455MW (net) San Buenaventura Power, Quezon

• Ongoing construction proceeding as scheduled
• Target completion by 3Q 2019
• Capacity is contracted under ERC-approved power supply

agreement with MERALCO 2x600MW (net) Atimonan One Energy, Quezon

• Committed project with DOE, with Certificate of Energy Project of

National Significance

• Awaiting approval of power supply agreement – necessary for the

issuance of “Notice to Proceed” for the engineering, procurement and construction

• Entire capacity is contracted by MERALCO

MERALCO GLOBAL BUSINESS POWER CORPORATION ENERGY FROM WASTE

Quezon City Waste to Energy Project (P15.3 billion project cost for Phase 1)

• Aims to convert approximately 3,000 tons of waste to 36 MW net of energy
• Granted original proponent status – no comparable proposals were submitted during Swiss

Challenge

• Notice of Award expected to be received in 2H 2019

Biogas – Dole Project (P1.0 billion project cost)

• Aims to derive biogas from the anerobic digestion of fruit waste to supply a portion of the diesel and

power requirements of Dole’s canneries located in South Cotabato

• Target to generate 5.7 MW equivalent of clean energy for Dole and reduce its CO2 emission by

100,000 tons/year

• Target completion of facilities by 2Q 2020

TOLL ROADS

6 1% increase in contribution from the Toll Roads business was driven by:  Revenue growth from strong traffic growth on all domestic roads Offset by:  Higher interest costs from funding for new projects

CON CONTRIB TRIBUTIO TION N UP UP BY BY 1% % TO O P1.1B .1B

Co Continu inuing ing t traffic fic growth in P in Phil ilipp ippine ine t toll ll roads

In Millions of Pesos CONTRIBUTION TO MPIC

1Q 2019 1Q 2018 %

Metro Pacific Tollways (99.9%)

1,120 1,106 1%

Fair value adjustments

(7) (7) 0%

1,113 1,099

1%

STAND-ALONE PERFORMANCE

1Q 2019 1Q 2018 %

Financial Highlights Revenues

4,243 3,587 18%

Core EBITDA

2,866 2,497 15%

Core income

1,121 1,108 1%

Reported income

1,028 1,072

• 4%

Capital expenditure

4,176 831 402%

Key Performance Indicators Average Daily Vehicle Entries NLEX

265,225 250,989 6%

CAVITEX

159,933 146,159 9%

SCTEX

68,805 59,812 15%

DMT / CII / NUS

418,507 445,530

• 6%

METRO PACIFIC TOLLWAYS CORPORATION

• Additional traffic from NLEX Harbor Link

Segment 10 which was opened on 28 February 2019 – has since served over 100,000 vehicles; average of 7,000 daily vehicles

• Increase in CAVITEX traffic driven by growth in

residential communities in Cavite and increasing tourism in Batangas

TOLL ROADS EXP

EXPANSIO ANSION N UPD UPDATE TES

7 PROJECTS UNDER CONSTRUCTION / DEVELOPMENT PROJECTS Length Construction Cost Target Completion Right-of-way Progress Status (In Km) (In P Billions) EXPANSIONS TO EXISTING ROADS NLEX Harbour Link (Radial Road 10) 2.60 6.7 2019 92% Ongoing construction NLEX Lane Widening (Phase 2) N/A 2.1 2020 N/A Ongoing finalization on the procurement of contractor CAVITEX Segment 4 Extension 1.23 1.52 2021 85% Ongoing pre-construction activities CAVITEX - C5 South Link 7.70 12.65 2021 70%

• Seg. 3A Ph.1 - Ongoing construction

NLEX Citi Link 11.50 15.00 2024 0% Ongoing ROW acquisition NEW ROAD PROJECTS AWARDED NLEX-SLEX Connector Road 8.00 23.30 2021 Section 1: 51%; Section 2: 74% Ongoing pre-construction activities and ROW acquisition Cebu Cordova Link Expressway 8.50 26.60 2021 100% Ongoing construction Cavite Laguna Expressway 44.67 16.54 2022 47% Laguna segment - Ongoing construction TOTAL 84.20 104.41 Unsolicited Proposal - Cavite Tagaytay Batangas Expressway (50.4 km, P25.0 billion project cost)

• Granted Original Proponent Status
• Awaiting clearance from NEDA to proceed with

Swiss challenge

PHILIPPINES

WATER

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In Millions of Pesos CONTRIBUTION TO MPIC 1Q 2019 1Q 2018 % Maynilad (52.8%) 961 859

12%

Fair value adjustments (49) (49)

0%

Metropac Water Investments Corp. (10) (8)

25%

902 802 12% STAND-ALONE PERFORMANCE 1Q 2019 1Q 2018 % Financial Highlights Revenues 5,686

5,246

8% Core EBITDA 3,797

3,416

11% Core income 1,821

1,628

12% Reported income 1,819

1,350

35% Capital expenditure 2,401

2,948

• 19%

Key Performance Indicators Billed volume (In MCM) 129 127 2% *Non-revenue water % - average 28.0% 32.5%

• 14%

*Non-revenue water % - period end 26.3% 30.5%

• 14%

MAYNILAD WATER SERVICES INC.

12% increase in contribution from the Water business was driven by: MAYNILAD WATER SERVICES, INC.  2% volume growth  Tariff increases

• Inflation-linked: 5.7% in January 2019
• Basic: 2.7% in October 2018

*Measured at the District Metered Area level

CONTRIB CONTRIBUTIO TION N UP UP BY BY 12 12% T % TO O P90 902M 2M

Volume lume g growth and tarif iff inc increases ses

WATER

9 Industrial Water Municipal Water In Aggregate Bulk Distribution Total

• Max. Potential Volume (mld)

660 305 88 1,053 Installed Capacity (mld) 335 161 53 549 Billed Volume (mld) 82 154 26 262 Regulated Tariff? No No Yes Demand Risk? Yes Mixed No In Aggregate Philippines Vietnam Total

• Max. Potential Volume (mld)

393 660 1,053 Installed Capacity (mld) 214 335 549

OVERVIEW OF EXISTING PORTFOLIO

EXPANSION ▪ Organic growth potential – 287 mld ▪ Investment growth potential – 504 mld UPDATES

• 2018 acquisitions include Phu Ninh (45% in May) and Tuan Loc (49% in June). Phu Ninh to supply water starting 2019
• Signing of the Joint Venture Agreement and the Service Contract Agreement for the Metro Iloilo Distribution project in

November 2018 and February 2019, respectively

HOSPITALS

10 In Millions of Pesos CONTRIBUTION TO MPIC 1Q 2019 1Q 2018 % Metro Pacific Hospital Holdings (60.1%) 275 213 29% Hospital admin and fair value adjustments (33) (23) 46% 242 190 27% STAND-ALONE PERFORMANCE 1Q 2019 1Q 2018 % Financial Highlights Revenues 7,166 6,143 17% Core EBITDA 1,688 1,355 25% Core income 744 583 28% Reported income 745 585 27% Capital expenditure 774 855

• 10%

Key Performance Indicators Total beds available 3,204 3,214 0% Average standard occupancy rate 75.3% 67.3% 12%

• No. of in-patients

50,227 46,834 7%

• No. of out-patients

919,539 832,790 10%

HOSPITALS (AGGREGATE)

CONTRIB CONTRIBUTIO TION N UP BY UP BY 27 27% T % TO O P24 242M 2M St

Strong growth and co continu inuing ing expansi sion

27% increase in contribution from the Hospital business was a function of:  Higher patient census across hospitals driven by increase in high impact cases (pneumonia, upper respiratory tract infection), and the outbreak of measles and flu

11 LIGHT RAIL 35% growth contribution from the Light Rail business was a function of:  1% growth in average daily ridership and more

• perating days in 1Q2019 vs. prior year (timing of

holy week April in 2019 vs. March in 2018).  Higher interest income

In Millions of Pesos LIGHT RAIL CONTRIBUTION TO MPIC 1Q 2019 1Q 2018 % Light Rail Manila (55.0%) 123 90 37% Holding company admin

• 1

0% 123 91 35% STAND-ALONE PERFORMANCE 1Q 2019 1Q 2018 % Financial Highlights Farebox revenues 832 803 4% Core EBITDA 239 234 2% Core income 223 165 35% Reported income 218 167 31% Capital expenditure 1,192 1,379

• 14%

Key Performance Indicators Average daily ridership 463,758 459,417 1% OTHERS CONTRIBUTION TO MPIC 1Q 2019 1Q 2018 % Indra Philippines (25.0%) 13 8 63% Metropac Movers Inc. (99.9%) (119) (61) 95% Others (10) (3) 233% (116) (56) 107% LIGHT RAIL MANILA CORPORATION

LIGH LIGHT T RAIL, RAIL, LOGIST OGISTICS ICS AND AND OTHE THERS RS

Exp Expansi sion and rehabil ilit itation ion to cater to fast st growing ing de dema mand

LOGISTICS  27% growth in Revenues due to new Government accounts Offset by:  Lower utilization of warehouses and trucks  Build up of operating expenses

REGUL REGULATOR ORY MA MATT TTERS ERS

TOLL ROADS  Increase in toll rates for NLEX implemented in March 2019  Awaiting approval/implementation of the following periodic adjustments: ➢ NLEX: 2016 cycle (one-time increase in 2020) and 2018 cycle (staggered increases starting 2021) ➢ SCTEX: 2011 cycle approved in March 2019; target implementation in May 2019 ➢ CAVITEX: 2013, 2014, and 2017 cycles (staggered implementation)  Impact on Revenues based on 2018 actual traffic. Foregone revenues to be settled concession extensions

NORTH LUZON EXPRESSWAY – CLASS 1 TOTAL 2019 2020 2021 2023 Periodic adjustment – 2012 and 2014 Open system (per entry) 6.25 3.57 0.89 0.89 0.89 Closed system (per km) 0.36 0.18 0.06 0.06 0.06 New extension Harbour Link Segment 10 (per entry) 4.49 4.49 0.87

• IMPACT ON REVENUES (In P Million)

2,147 1,021 1,651 1,899 2,147 PENDING INCREASES – CLASS 1 TOTAL 2019 2020 2021 2022 2023 NLEX – 2016 and 2018 Open system (per entry) 8.93

• 2.68

2.68 1.79 1.79 Closed system (per km) 0.50

• 0.14

0.12 0.12 0.12 SCTEX (per km) 0.51 0.51

• CAVITEX (per entry)

R1 7.14 7.14

• R1 Extension

27.68 8.93 6.25 6.25

• 6.25

IMPACT ON REVENUES (In P Million) 3,363 559 1,596 2,278 2,774 3,363

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REGULA REGULATOR ORY MA MATT TTERS ERS

WATER  Rate rebasing:

• ADR 7.39%
• All Corporate Income Tax excluded (cash collection from DOF of P6.7 billion would theoretically reduce tariff)

LIGHT RAIL

 LRTA endorsed application for 16% fare increase to DOTR

P per cubic meter TOTAL 2018 2019 2020 2021 2022 Basic tariff 5.73 0.90

• 1.95

1.95 0.93 CPI 2.86 0.91 1.95

• 20% environmental surcharge

5.51 0.36 0.75 1.14 1.53 1.72 14.10 2.17 2.70 3.09 3.48 2.65 IMPACT ON REVENUES (In P Million) 5,432 718 2,378 3,611 4,844 5,432

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STAND-ALONE PORTFOLIO COMPANY RESULTS AND KEY METRICS

POWER

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MERAL MERALCO CO 1Q Q 2019 HIG HIGHL HLIGH IGHTS TS AND AND KEY KEY ME METRI TRICS CS

7% Increase in Electricity Revenues was a function of: ❑ 2% growth in total energy sales from 10,145 GWh to 10,381 GWh (2.2% ↑ commercial, 0.4% ↑ residential, and 4.4% ↑ industrial sector) ❑ 1% growth in distribution revenues due to increase in volume sold ❑ 8% increase in pass-through revenues driven by the increase in fuel prices in the world market, depreciation of the peso against the U.S. dollar and higher WESM prices

In Millions of Pesos 1Q 2019 1Q 2018 % MERALCO (45.5%) 2,545 2,236 14% GBPC (62.4%) 248 443

• 44%

Beacon/FV and accounting adj. (103) (231)

• 55%

2,690 2,448 10% In Millions of Pesos 1Q 2019 1Q 2018 % Electricity 73,632 69,009 7% Non-Electricity 1,746 1,798

• 3%

Total revenues 75,378 70,807 6% Purchased power (58,743) (54,848) 7% Operating expenses (9,777) (9,225) 6% Other income 578 181 219% Provision for income tax (1,805) (2,003)

• 10%

Non-controlling interests (33) 5

• 760%

Core income 5,598 4,917 14% Non-core income 73 395

• 82%

Reported net income 5,671 5,312 7% Core EBITDA Computation: Core income 5,598 4,917 14% Depreciation and amortization 1,878 1,763 7% Interest income -net (550) 88

• 725%

Provision for income tax 1,805 2,003

• 10%

Others 97 (83)

• 217%

Core EBITDA 8,828 8,688 2%

KEY METRICS 1Q 2019 1Q 2018 Number of customer accounts 6.68M 6.40M Capital Expenditure 4,339 3,034 Energy Sales Residential 3,010 2,999 Commercial 4,124 4,036 Industrial 3,212 3,076 Streetlights 35 34 Total (in GWh) 10,381 10,145

POWER

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GBPC GBPC 1Q Q 2019 HIG HIGHL HLIGH IGHTS TS AND AND KEY KEY ME METRI TRICS CS

Revenue declined due to end of various bilateral and RES contracts; lower sales; and timing of preventive maintenance schedule Core Income slowed further due to PEDC3 recognition of depreciation and interest starting June 2018 Non-Core Expense expense in 1Q 2019 included tax payment for a liquidated entity

In Millions of Pesos 1Q 2019 1Q 2018 % Power billings 5,740 6,238

• 8%

Coal sales 34 97

• 65%

Total revenues 5,774 6,335

• 9%

Power plant costs (2,931) (3,330)

• 12%

Operating expenses (1,521) (1,297) 17% Interest expense - net (545) (460) 18% Other income 14 21

• 33%

Share in earnings of associates 62 61 2% Provision for income tax (253) (350)

• 28%

Non-controlling interests (202) (270)

• 25%

Core income 398 710

• 44%

Non-core income (expense) (106) 19

• 658%

Reported net income 292 729

• 60%

Core EBITDA Computation: Core income 398 710

• 44%

Depreciation and amortization 707 575 23% Interest expense - net 545 460 18% Provision for income tax 253 350

• 28%

Non-controlling interests 202 270

• 25%

Others (62) (61) 2% Core EBITDA 2,043 2,304

• 11%

VOLUME SOLD (In GWh) REVENUES (In Millions of Pesos) 1Q 2019 1Q 2018 1Q 2019 1Q 2018 CEDC (Cebu) 439 453 2,223 2,370 TPC (Toledo) 195 210 858 918 PEDC (Panay) 375 404 2,222 2,313 PPC (Panay) 16 16 144 152 GBH (Mindoro) 10 7 74 60 GESC (RES) 89 119 517 688 GTERC (TCITRC)

• 37

150 Others/Elimination (63) (60) (301) (316) TOTAL 1,061 1,149 5,774 6,335

TOLL ROADS

(a) CII BR includes roads under pre- and on-going construction (b) Traffic affected by ongoing construction in DMT and Nusantara

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MP MPTC C 1Q 1Q 20 2019 19 HIGHL HIGHLIGHTS IGHTS

PHILIPPINES Net Toll Revenues increased due to: ❑ NLEX - Revenues up by 6% from P2.7 billion to P2.9 billion

• 6% increase in average daily vehicle entries (open and closed

systems) from 250,989 to 265,225

• 5% increase in average daily kilometers travelled from 4.9 million to

5.2 million ❑ CAVITEX - Revenues up by 11% from P400 million to P445 million

• 9% increase in average daily vehicle entries from 146,159 to 159,933

❑ SCTEX - Revenues up by 13% from P506 million to P573 million

• 15% increase in average daily vehicle entries from 59,812 to 68,805

Slower growth in Core Income due to higher financing costs and lower contribution of DMT and CII B&R Decline in Reported Income due to refinancing costs & share issuance costs REGIONAL

In Millions of Pesos 1Q 2019 1Q 2018 % Stand-alone Core Income 1,121 1,108 1% MPTC (99.9%) 1,120 1,106 1% Fair Value Adjustments (7) (7) 0% MPIC Share 1,113 1,099 1% In Millions of Pesos 1Q 2019 1Q 2018 % Net toll revenues 4,243 3,587 18% Cost of services (1,602) (1,167) 37% Gross profit 2,641 2,420 9% Operating expenses (660) (414) 59% Other income and expense - net 305 128 138% Share in earnings of associates 130 203

• 36%

Interest expense - net (438) (420) 4% Provision for income tax (418) (478)

• 13%

Non-controlling interest (439) (331) 33% Core income 1,121 1,108 1% Non-core expense (93) (36) 158% Reported net income 1,028 1,072

• 4%

Core EBITDA Computation: Core income 1,121 1,108 1% Depreciation and amortization 580 363 60% Interest expense - net 438 420 4% Provision for income tax 418 478

• 13%

Non-controlling interest 439 331 33% Others (130) (203)

• 36%

Core EBITDA 2,866 2,497 15%

1Q 2019 CII BR(a) DMT(b) NUS(b) Toll Revenues 272 1,217 373 Core Income (17) 546 180 Traffic (In ‘000) 41 98 279 Length (In km)(a) 145.1 21.9 34.5 1Q 2018 CII BR (a) DMT(b) NUS(b) Toll Revenues 216 1,251 396 Core Income 11 591 164 Traffic (In ‘000) 33 102 310 Length (In km)(a) 146.1 21.9 34.5

TOLL ROADS

KEY KEY ME METRI TRICS CS AND AND PRI PRIORITI ORITIES ES

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KEY METRICS 1Q 2019 1Q 2018 NLEX

Class 1 Tariff: Open system - P48.2/entry (2019); P40.6/entry (2018) / Closed system - P2.8/km (2019); P2.6/km (2018)

Average Daily Vehicle Entries (Open & Closed) Class 1 204,859 195,406 Class 2 36,328 34,259 Class 3 24,038 21,325 Total 265,225 250,989 Average Daily Vehicle Entries (Open) Class 1 153,503 149,945 Class 2 29,521 27,576 Class 3 18,564 16,474 Total 201,588 193,995 Average Daily Kilometers Travelled (In 000 km) Class 1 3,880 3,730 Class 2 764 733 Class 3 531 485 Total 5,175 4,948 CAVITEX

Class 1 Tariff/entry: R1 - P21.8 / R1 extension - P58.5)

Average Daily Vehicle Entries Class 1 143,361 130,136 Class 2 10,149 10,355 Class 3 6,423 5,668 Total 159,933 146,159 SCTEX (Class 1 Tariff: P2.7/km) Average Daily Vehicle Entries Class 1 56,088 49,195 Class 2 7,523 6,721 Class 3 5,194 3,896 Total 68,805 59,812

STATUS OF NEW ROADS Ongoing Construction

• NLEX Harbour Link Radial Road 10 – target completion in 2019
• CAVITEX C5 South Link – target completion in 2021
• Cebu-Cordova Link Expressway – target completion in 2021
• Cavite Laguna Expressway – target completion in 2022
• NLEX-SLEX Connector Road – target completion in 2021

WATER

19

MA MAYNILA YNILAD 1Q 1Q 20 2019 19 HIGHL HIGHLIGHTS IGHTS AND AND KEY KEY MET METRICS RICS

MAYNILAD Revenues increased by 8% due to : ❑ 2% growth in billed volume from 126.5 MCM to 128.5 MCM

• 3% increase in billed customers from 1,373,564 to

1,420,580 ❑ Tariff increases

• Inflation-linked: 5.7% in January 2019
• Basic: 2.7% in October 2018

Core EBITDA grew faster than Revenues due to lower contracted services expenses and higher other income Core Income increased further due to higher interest income from placements

In Millions of Pesos 1Q 2019 1Q 2018 % Stand-alone Core Income 1,821 1,628 12% Maynilad (52.8%) 961 859 12% Fair Value Adjustments (49) (49) 0% Metropac Water Investments (10) (8) 25% MPIC Share 902 802 12% In Millions of Pesos 1Q 2019 1Q 2018 % Revenues 5,686 5,246 8% Cost of services (1,587) (1,575) 1% Gross profit 4,099 3,671 12% Operating expenses (1,024) (776) 32% Other income and expense - net (147) (197)

• 25%

Interest expense - net (357) (405)

• 12%

Provision for income tax (750) (665) 13% Core income 1,821 1,628 12% Non-core expense (2) (278)

• 99%

Reported Net Income 1,819 1,350 35% Core EBITDA Computation: Core income 1,821 1,628 12% Depreciation and amortization 869 718 21% Interest expense - net 357 405

• 12%

Provision for income tax 750 665 13% Core EBITDA 3,797 3,416 11%

KEY METRICS 1Q 2019 1Q 2018 NRW Average 28.0% 32.5% Period end 26.3% 30.5% Coverage Total population 10.27M 10.16M Population coverage 9.62M 9.48M 24hr availability 98% 98% Minimum 16 psi 66% 68% Customer Mix Residential 80.0% 80.6% Commercial 20.0% 19.4% Capital Expenditure 2,401 2,948

HOSPITALS

20

MPHHI MPHHI 1Q Q 2019 HIG HIGHL HLIGH IGHTS TS AND AND KEY KEY ME METRI TRICS CS

In Millions of Pesos Stand-alone Core Income MPIC Share 1Q 2019 1Q 2018 1Q 2019 1Q 2018 Asian Hospital 137 125 70 63 Cardinal Santos 86 55 52 33 Riverside 72 55 34 26 Makati Medical 172 128 34 25 Davao Doctors 89 73 27 16 Marikina Valley 35 29 20 16 Manila Doctors 86 58 10 7 Others 67 60 28 27 Total 744 583 275 213 Hospital Admin/FV adjustments (33) (23) MPIC Share 242 190

Growth in Gross Revenues was driven by : ❑ Increase in patient numbers

• Out-patients – 10%
• In-patients – 7%

Stand-alone Core Income and MPIC share breakdown as follows:

In Millions of Pesos 1Q 2019 1Q 2018 % Stand-alone Core Income 744 583 28% Metro Pacific Hospital Holdings (60.1%) 275 213 29% Admin and fair value adjustments (33) (23) 46% MPIC Share 242 190 27% In Millions of Pesos 1Q 2019 1Q 2018 % Gross revenues 7,166 6,143 17% Discounts (722) (608) 19% Net revenues 6,444 5,535 16% Cost of supplies (2,794) (2,397) 17% Gross profit 3,650 3,138 16% Operating expenses (2,655) (2,380) 12% Interest expense (68) (54) 26% Noncontrolling interest (2) (1) 100% Other income 142 127 12% Provision for income tax (323) (247) 31% Core income 744 583 28% Non-core expense (1) (2)

• 50%

Reported net income 745 585 27% Core EBITDA Computation: Core income 744 583 28% Depreciation and amortization 553 471 17% Interest expense 68 54 26% Provision for income tax 323 247 31% Core EBITDA 1,688 1,355 25%

KEY METRICS 1Q 2019 1Q 2018 Total number of beds 3,204 3,214 Number of accredited doctors 8,344 8,194 Number of enrollees 9,056 7,731 Average standard occupancy rate 75.3% 67.3% Number of patients (in thousands) In-patient 50 47 Out-patient 920 833

RAIL

21

LRMC LRMC 1Q 1Q 20 2019 19 HIGHL HIGHLIGHTS IGHTS AND AND KEY KEY ME METRI TRICS CS

Rail Revenues increased due to: ❑ 1% growth in average daily ridership from 459,417 to 463,758 ❑ 45% increase in LRVs from 77 to 112 – successfully restored 35 LRVs thereby reducing waiting time for passengers to 3.45 minutes from more than five minutes when LRMC took over in 2015 Faster growth in Core Income due to higher interest income Non-Core Expense relates to foreign exchange losses

In Millions of Pesos 1Q 2019 1Q 2018 % Rail revenue 832 803 4% Cost of services (477) (469) 2% Gross profit 355 334 6% Operating expenses (175) (158) 11% Other income and expense - net 34 37

• 8%

Interest income (expense) - net 47 (3)

• 1667%

Provision for income tax (38) (45)

• 16%

Core income 223 165 35% Non-core income (expense) (5) 2

• 350%

Reported net income 218 167 31% Core EBITDA Computation: Core income 223 165 35% Depreciation and amortization 25 21 19% Interest expense (income) - net (47) 3

• 1667%

Provision for income tax 38 45

• 16%

Core EBITDA 239 234 2%

22

QUARTERLY HIGHLIGHTS

QU QUAR ARTE TERLY Y HIGHL HIGHLIGHTS IGHTS

23

METRO PACIFIC TOLLWAYS 4Q 2018 1Q 2019 FINANCIAL HIGHLIGHTS (In Millions of Pesos) Net Revenues 4,235 4,243 Core EBITDA 2,696 2,866 Core Income 1,173 1,121 Reported Income 962 1,028 KEY METRICS NLEX Average Daily Vehicle Entries (Open & Closed) Class 1 202,635 202,608 Class 2 36,193 35,929 Class 3 22,420 23,773 Total 261,247 262,310 Average Daily Kilometers Travelled (In thousands of kms) Class 1 3,864 3,838 Class 2 766 755 Class 3 505 525 Total 5,135 5,118 CAVITEX Average Daily Vehicle Entries Class 1 137,303 143,366 Class 2 10,253 10,145 Class 3 5,907 6,422 Total 153,462 159,933 SCTEX Average Daily Vehicle Entries Class 1 54,883 55,471 Class 2 7,469 7,440 Class 3 5,098 5,137 Total 67,451 68,048 MERALCO 4Q 2018 1Q 2019 FINANCIAL HIGHLIGHTS (In Millions of Pesos) Total Revenues 77,043 75,378 Core EBITDA 10,786 8,828 Core Income 5,722 5,598 Reported Income 4,805 5,671 KEY METRICS Number of customers 6.61M 6.40M Energy Sales Residential 3,444 3,010 Commercial 4,525 4,124 Industrial 3,388 3,212 Streetlights 35 35 Total (in gWh) 11,392 10,381

24

MAYNILAD 4Q 2018 1Q 2019 FINANCIAL HIGHLIGHTS (In Millions of Pesos) Revenues 5,471 5,686 Core EBITDA 3,756 3,797 Core Income 1,601 1,821 Reported Income 1,512 1,819 KEY METRICS Billed volume (In MCM) 132.8 128.5 Billed customers 1,407,503 1,420,580 Non-revenue water Average 27.5% 27.9% Period end 27.1% 26.3% Service levels 24-hour coverage 97.6% 98.1% Minimum 16 psi 67.5% 66.4% HOSPITALS - AGGREGATE 4Q 2018 1Q 2019 Revenues 6,724 7,166 Core EBITDA 1,411 1,688 Core Income 586 744 Reported Income 585 745 Total number of beds 3,200 3,204 Number of accredited doctors 8,373 8,344 Number of enrollees 7,506 9,056 FINANCIAL HIGHLIGHTS (In Millions of Pesos) KEY METRICS LIGHT RAIL MANILA 4Q 2018 1Q 2019 FINANCIAL HIGHLIGHTS (In Millions of Pesos) Net Revenues 828 832 Core EBITDA 371 239 Core Income 134 223 Reported Income 135 218 KEY METRIC Average Daily Ridership 446,120 463,758

QU QUAR ARTE TERLY Y HIGHL HIGHLIGHTS IGHTS

25

STATEMENTS OF FINANCIAL POSITION

(Tentative)

26

MET METRO RO PACIFIC PACIFIC INVESTM INVESTMENT ENTS S CORPOR CORPORATIO ATION – PAR PARENT ENT

BALANCE SHEET BALANCE SHEET (continued) In PhP Millions Mar 2019 Dec 2018 In PhP Millions Mar 2019 Dec 2018 ASSETS LIABILITIES AND EQUITY CURRENT ASSETS CURRENT LIABILITIES Cash and short-term investments 9,849 9,048 Accounts payable and other current liabilities 4,708 2,252 Receivables - net 1,314 1,480 Due to related parties 4,429 4,385 Other current assets 397 1,262 Current portion of long-term debt 1,868 1,707 Total Current Assets 11,560 11,790 Total Current Liabilities 11,005 8,344 NONCURRENT ASSETS NONCURRENT LIABILITIES Investments and advances to subs., associates & JVs 196,373 193,193 Noncurrent portion of long-term debt 64,597 65,294 Other noncurrent assets 784 536 Due to related parties 7,492 7,392 Total Noncurrent Assets 197,157 193,729 Other noncurrent liabilities 809 733 Total Noncurrent Liabilities 72,898 73,419 TOTAL ASSETS 208,717 205,519 Total Liabilities 83,903 81,763 EQUITY Capital stock 31,638 31,633 Additional paid-in capital 68,512 68,494 Treasury shares (180) (178) Other reserves 290 289 Retained earnings 24,554 23,518 Total Equity 124,814 123,756 TOTAL LIABILITIES AND EQUITY 208,717 205,519 As of As of

27

MET METRO RO PACIFIC PACIFIC INVESTM INVESTMENT ENTS S CORPOR CORPORATIO ATION – CONSOLIDA CONSOLIDATE TED

BALANCE SHEET BALANCE SHEET (continued) In PhP Millions Mar 2019 Dec 2018 In PhP Millions Mar 2019 Dec 2018 ASSETS NONCURRENT LIABILITIES CURRENT ASSETS Noncurrent portion of concession fees payable Cash and cash equivalents and short term deposits 45,645 47,521 long-term debt and others 237,869 235,948 Receivables 17,470 12,495 Due to related parties 7,492 7,392 Other current assets 16,368 19,563 Deferred tax liabilities 10,357 9,930 Total Current Assets 79,483 79,579 Other noncurrent liabilities 10,800 9,411 Total Noncurrent Liabilities 266,518 262,681 NONCURRENT ASSETS Investments and advances 150,982 152,993 Total Liabilities 324,742 318,943 Service concession assets 213,237 205,992 Property and equipment 72,953 71,926 EQUITY Goodwill 27,909 27,856 Capital stock 31,638 31,633 Other noncurrent assets 22,158 19,600 Additional paid-in capital 68,512 68,494 Total Noncurrent Assets 487,239 478,367 Treasury shares (180) (178) Other equity adjustments and reserves 8,145 8,829 TOTAL ASSETS 566,722 557,946 Retained earnings 65,675 64,533 Total equity attributable to owners of Parent 173,790 173,311 LIABILITIES AND EQUITY Non-controlling interest 68,190 65,692 CURRENT LIABILITIES Total Equity 241,980 239,003 Accounts payable and other current liabilities 36,301 33,484 Due to related parties 4,506 4,462 TOTAL LIABILITIES AND EQUITY 566,722 557,946 Current portion of concession fees payable long-term debt and others 17,417 18,316 Total Current Liabilities 58,224 56,262 As of As of

TOLL ROADS

28

ME METR TRO O PACIFIC CIFIC TOLL OLLWA WAYS S CORPOR CORPORATIO TION N AND AND SUBS SUBSIDIA IDIARIE IES

BALANCE SHEET BALANCE SHEET (continued) In PhP Millions Mar 2019 Dec 2018 In PhP Millions Mar 2019 Dec 2018 ASSETS LIABILITIES AND EQUITY Current Assets Current Liabilities Cash and short-term investments 6,511 7,162 Accounts payable and accrued liabilities 7,271 7,173 Receivables 1,294 1,120 Current portion of long-term debt 2,376 3,013 Other current assets 5,698 5,399 Other current liabilities 1,110 1,058 Total Current Assets 13,503 13,681 Total Current Liabilities 10,757 11,244 Noncurrent Assets Noncurrent Liabilities Service concession assets 90,433 85,557 Long-term debt - net of current portion 48,753 46,026 Goodwill 10,469 10,417 Service concession obligation 21,075 20,784 Investment in associates 14,609 14,214 Deferred tax liabilities 3,531 3,440 Other noncurrent assets 10,056 10,776 Other noncurrent liabilities 1,982 1,637 Total Noncurrent Assets 125,567 120,964 Total Noncurrent Liabilities 75,341 71,887 TOTAL ASSETS 139,070 134,645 Total Liabilities 86,098 83,131 Equity Capital stock 13,150 13,150 Additional paid-in capital 26,217 26,217 Deposit for future stock subscription 907

• Other equity adjustments and reserves

(9,641) (10,035) Retained earnings 12,019 12,165 Total Equity Attributable to Equity Holders

• f Parent

42,652 41,497 Non-controlling interest 10,320 10,017 Total Equity 52,972 51,514 TOTAL LIABILITIES AND EQUITY 139,070 134,645 As of As of

WATER

29

MA MAYNILA YNILAD WA WATE TER R SE SERVICE VICES S INC INC. . AND AND SUBS SUBSIDIA IDIARIE IES

BALANCE SHEET BALANCE SHEET (continued) In PhP Millions Mar 2019 Dec 2018 In PhP Millions Mar 2019 Dec 2018 ASSETS LIABILITIES AND EQUITY Current Assets Current Liabilities Cash and short-term investments 7,113 11,549 Accounts payable and other current liabilities 16,558 16,205 Receivables 2,679 1,674 Current portion of interest-bearing loans 354 354 Other current assets 1,081 2,489 Current portion of service concession obligation 597 1,039 Total Current Assets (1) 10,873 15,712 Total Current Liabilities (1) 17,509 17,598 Non-current Assets Non-current Liabilities Service concession assets 89,901 88,108 Interest-bearing loans - net of current portion 33,974 34,051 Property and equipment 1,694 1,401 Service concession obligation - net of current portion 6,198 6,012 Other noncurrent assets 2,857 2,699 Other noncurrent liabilities 2,547 1,977 Total Noncurrent Assets 94,452 92,208 Total Noncurrent Liabilities 42,719 42,040 TOTAL ASSETS 105,325 107,920 Total Liabilities 60,228 59,638 Equity Capital stock 4,547 4,547 Additional paid-in capital 10,033 10,033 Other equity adjustments and reserves (523) (519) Retained earnings 31,040 34,221 Total Equity 45,097 48,282 TOTAL LIABILITIES AND EQUITY 105,325 107,920 As of As of (1) Current ratio as of March 31, 2019 is less than 1. However, Maynilad has committed undrawn lines of Php7.3 billion.

RAIL

30

LIGH LIGHT T RAIL RAIL MANILA MANILA CORPOR CORPORATIO TION

BALANCE SHEET BALANCE SHEET (continued) In PhP Millions Mar 2019 Dec 2018 In PhP Millions Mar 2019 Dec 2018 ASSETS LIABILITIES AND EQUITY Current Assets Current Liabilities Cash and cash equivalents 4,431 1,561 Accounts payable and other current liabilities 632 715 Receivables 102 132 Income tax payable 37 24 Other current assets 505 530 Current portion of service concession obligation 127 63 Total Current Assets 5,038 2,223 Total Current Liabilities 796 802 Non-current Assets Non-current Liabilities Service concession assets 17,463 15,971 Service concession obligation 3,321 3,333 Property and equipment 265 259 Loans payable 8,481 7,930 Other noncurrent assets 2,687 2,643 Other noncurrent liabilities 276 252 Total Noncurrent Assets 20,415 18,873 Total Noncurrent Liabilities 12,078 11,515 TOTAL ASSETS 25,453 21,096 Total Liabilities 12,874 12,317 Equity Capital stock 6,850 5,050 Additional paid-in capital 3,745 1,963 Other equity adjustments and reserves 24 24 Retained earnings 1,960 1,742 Total Equity 12,579 8,779 TOTAL LIABILITIES AND EQUITY 25,453 21,096 As of As of

CAUTIONARY STATEMENTS This presentation was prepared solely and exclusively for discussion purposes. This presentation and/or any part thereof may not be reproduced, disclosed or used without the prior written consent of Metro Pacific Investments Corporation (the “Company”). This presentation, as well as discussions arising therefrom, may contain statements relating to future expectations and/or projections of the Company by its management team, with respect to the Company and its portfolio companies. These statements are generally identified by forward-looking words such as “believe,” “plan,” “anticipate,” “continue,””estimate,” “expect,” “may,” “will,” or other similar words. These statements are: (i) presented on the basis of current assumptions which the company’s management team believes to be reasonable and presumed correct based on available data at the time these were made, (ii) based on assumptions regarding the Company’s present and future business strategies, and the environment in which it will operate in the future, (iii) a reflection of our current views with respect to future events and not a guarantee of future performance, and (iv) subject to certain factors which may cause some or all of the assumptions not to

• ccur or cause actual results to diverge significantly from those projected. Any and all forward looking

statements made by the Company or any persons acting on its behalf are deemed qualified in their entirety by these cautionary statements. This presentation is solely for informational purposes and should in no way be construed as a solicitation or an

• ffer to buy or sell securities or related financial instruments of the Company and/ or any of its subsidiaries

and/or affiliates.

ABOUT MPIC Metro Pacific Investments Corporation (PSE:MPI) is a Philippine-based, publicly listed investment and management company, focused on infrastructure, with holdings in Manila Electric Company, Maynilad Water Services, Inc., MetroPac Water Investments Corporation, Metro Pacific Tollways Corporation, Metro Pacific Hospital Holdings Inc., Light Rail Manila Corporation and MetroPac Movers Inc.. HEADQUARTERS INVESTOR RELATIONS (investorrelations@mpic.com.ph) 10/F MGO Building, Legazpi corner Dela Rosa Streets, Head, Investor Relations – Maricris C. Aldover - Ysmael (mdaldover@mpic.com.ph) Legazpi Village, Makati 0721 Philippines IR Manager – Owen Kieffer D. Ocampo (odocampo@mpic.com.ph) Phone: (+632) 888-0888 / Facsimile: (+632) 888-0813 IR Specialist – Jana Lyra M. Manlangit (jmmanlangit@mpic.com.ph) Official Website: www.mpic.com.ph Ticker: PSE:MPI American Depositary Receipts ADR Ticker: MPCIY CUSIP: US59164L2007 Ratio: 1 ADR : 100 Ordinary Shares Depositary Bank: Deutsche Bank Trust Company Americas ADR Broker Helpline: +1 212 250 9100 (New York) +44 207 547 6500 (London) E-mail: adr@db.com ADR Website: www.adr.db.com Depositary Bank’s Local Custodian: Deutsche Bank Manila 31