Bangkok Dusit Medical Services (BDMS) Investor Presentation 4Q15 - PowerPoint PPT Presentation

Bangkok Dusit Medical Services (BDMS) Investor Presentation 4Q15 & 2015 Results April 2016 1

Important Notice  The information contained in this presentation is for information purposes only and does not constitute an offer or invitation to sell or the solicitation of an offer or invitation to purchase or subscribe for share in Bangkok Dusit Medical Services Public Company Limited (“BDMS” and shares in BDMS, ”shares”) in any jurisdiction nor should it or any part of it from the basis of , or be relied upon in any connection with, any contract or commitment whatsoever.  This presentation may include information which is forward-looking in nature. Forward-looking information involve known and unknown risks, uncertainties and other factors which may impact on the actual outcomes, including economic conditions in the markets in which BDMS operates and general achievement of BDMS business forecasts, which will cause the actual results, performance or achievements of BDMS to differ, perhaps materially, from the results, performance or achievements expressed or implied in this presentation.  This presentation has been prepared by the BDMS. The information in this presentation has not been independently verified. No representation, warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information and opinions in this presentation. None of the BDMS or any of its agents or advisors or any of their respective affiliates, advisors or representatives, shall have any liability ( in negligence or otherwise) for any loss howsoever arising from any use of this presentation or its contents or otherwise arising in connection with this presentation.  This presentation is made, furnished and distributed for information purposes only. No part of this presentation shall be relied upon directly or indirectly for any investment decision-making or for any other purposes.  This presentation and all other information, materials or documents provided in connection therewith, shall not, either in whole or in part, be reproduced, redistributed or made available to any other person, save in strict compliance with all applicable laws. 2

Contents  Overview  Healthcare Industry  Operational Statistics  Financial Highlights 3

Overview 4

BDMS Overview  Established on February 26, 1972  Largest private hospital operator in Thailand in terms of revenues from patient services and market capitalization  Owns and manages 43 hospitals (with total beds* of 7,669) under 6 hospital brands: No . of Beds* Brand No. of Hospitals 3,136 Bangkok Hospital 20 1,340 Phyathai Hospital 5 1,195 Samitivej Hospital 5 798 Paolo Hospital 4 144 BNH Hospital 1 Royal International 130 Hospital 2 Local Hospital 6 926 * Maximum number of beds according to structure of the hospitals 5

Shareholding Structure As of 29 January 2016 % of Shareholding 1 Mr. Prasert Prasarttong-Osoth, M.D. and family 22.4% 2 Mr. Wichai Thongtang and family 10.7% 3 Bangkok Airways* 7.8% 4 The Viriyah Insurance Co., Ltd. 6.1% 5 Thai NVDR Co., Ltd. 3.4% 6 Mr. Chirotchana Suchato, M.D. and family 2.7% 7 Ladpli family** 2.3% 8 Social Security Office 2.2% 9 Mr. Chuladej Yossundharakul, M.D. and family 1.9% 10 Chase Nominee Limited 1.3% Total 60.7% Source: Summary of the information from Thailand Securities Depository Company Limited (TSD) * Consisted of Bangkok Airways PCL and Bangkok Airways Holding Co., Ltd ** Consisted of Miss Noppamas Ladpli, Mrs. Atinuch Malakul Na Ayudhaya and Mr. Parameth Ladpli 6

Diversification of Patient Mix Target Patients / Purchasing Power Social Security Middle-Income High-Income International Patients Patients Patients Patients Secondary Medical Sophistication Tertiary Super Tertiary 7

‘Hub -and- Spoke‘ Model with Centers of Excellence Network Providing a Proven Patient Referral System and Creating Efficiency Through Scale Northern Hub Bangkok Hospital Chiangmai Bangkok Hospital Udon Northeastern Hub Bangkok Hospital Ratchasima Central and Bangkok Hub BDMS Medical CoE (Phoenix) Bangkok Hospital Headquarter Royal Phnom Penh Samitivej Sukhumvit Hospital Phyathai 2 Hospital Paolo Paholyothin Hospital Eastern Hub Bangkok Hospital Pattaya Southern Hub Bangkok Hospital Phuket Hub Hospitals Centers of Excellence 8

BDMS Centers of Excellence Network Providing a Proven Patient Referral System and Creating Efficiency Through Scale  Brain  Doctor Pool  Heart  Nurse Pool Clinical Pool of  Cancer  Technician Services Services  Bone  Medical Equipment  Co-sponsoring  Bangkok Health Research Research Teaching Teaching and Training Center: facilitating health Publication Training  Medical Student research activities of both  Post-Graduate Fellow clinical and pre-clinical stages  Alliance Training  Bangkok Medical Journal  Learning & Simulation Center 9

‘Hub -and- Spoke‘ Model Effective hub and spoke model within each hospital group or region Strong patient referral system 1 Clinics / Medical within and across each hub Diagnostics Spoke and spoke Referral patients Doctors Enhances synergies and 2 Referral benefits of scale among Hub patients Patients hospitals within the group (Super Tertiary / Tertiary) Shared supporting services among multiple hubs which 3 enhance efficiency and Nurses Referral competitiveness of BDMS patients Spoke Medical Referral Spoke equipment patients Established system provides a 4 platform for future expansion 10

Successful Track Record of Expansion Through M&A and Greenfield Projects Strong Share Price Performance Backed by a Successful Expansion Track Record 2015 Share Price 2011 • Muang Petch 2016 (THB) 2006 • Paolo • Bangkok Hua Hin • Sri-Rayong • Increase in stake of Bangkok 2004 Rangsit • Dibuk • Bangkok Pakchong 25 Pattaya, Bangkok • Bangkok Heart • Samitivej Chonburi • Health Network (8 2012 Chanthaburi and Samitivej • Bangkok Samui • Muangraj 43 Phyathai & Paolo • Bangkok Udon Sriracha (became subsidiaries) 42 20 • Bangkok Phuket hospitals ) • Bangkok Ratchasima • Samitivej Sukhumvit and 31 37 Samitivej Srinakarin 15 2014 2007 • Bangkok Chiangmai 2005 • Royal Phnom Penh • Royal Angkor International 10 29 (Cambodia) • BNH (Cambodia) • Bangkok Chinatown 2013 • Royal Rattanak (Cambodia) * • Wattanosoth 28 • Bangkok Khon Kaen • Samitivej Thonburi 5 18 • Sanamchan and Thepakorn • Bangkok Phitsanulok 16 12 • Phuket International 10 0 Jan-04 Jan-05 Jan-06 Jan-07 Jan-08 Jan-09 Jan-10 Jan-11 Jan-12 Jan-13 Jan-14 Jan-15 Jan-16 Green font indicates Greenfield projects Brown font indicates acquisitions # Number of hospitals in the network post-acquisition * Transfer of business to our new facility, Royal Phnom Penh Solid Revenue Growth Over the Past Decade (2004-2015 CAGR of 24.7%) with Resilient EBITDA margin Total Revenue (THB mm) and EBITDA margin (%) 22.4% 23.4% 23.3% 26% 23.1% 23.1% 23.1% 23.2% 22.1% 22.9% 21.3% 24% 20.6% 22% 18.4% 20% 18% 16% 14% 5,635 10,724 15,981 18,885 21,652 21,974 24,051 37,371 47,862 51,407 56,607 63,655 12% 10% 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Source: Derived from BDMS’ financial statements BDMS has developed 13 new hospitals and acquired a total of 29 hospitals to date 11

Proven Growth Strategy Through Hospital Network Expansion Identification of Opportunities Integration Plan Meet Investment Criteria? Brownfield or Greenfield Projects? Integration and On-Going 1 2 3 Brownfield Projects Clinical supporting functions Strategic Fit & Potential Synergy  Continue existing operation  Strategic location / high with revenue stream and growth rates profit from day 1 Nurse Pool Doctor Pool  Patient base expansion  Existing clinical personnel  Potential to attract both local  Existing facilities and international patients Medical Technicians  Existing patient pool Equipments  Established brand AND OR Financial Returns Centralized supporting services to facilitate hospitals within the Group  IRR / Payback period Greenfield Projects  Investment cost per bed  2 – 3 years before +ve EBITDA  Profit break-even point Finance & IT  Ability to build new hospitals Accounting to meet our requirements and AND to support growth potential  Implementation of existing Impact to balance sheet HR Procurement brand  BDMS’ gearing ratio Strict investment criteria must Pursue greenfield when there Property be met before making are no attractive brownfield Management investment decision opportunities Investment Decision 12