BTS Group Holdings PCL 1Q 15/16 earnings presentation 14 August - - PowerPoint PPT Presentation

prepared by Investor Relations department BTS Group Holdings PCL

BTS Group Holdings PCL

1Q 15/16 earnings presentation

14 August 2015

1Q 15/16 earnings presentation

prepared by Investor Relations department BTS Group Holdings PCL

Disclaimer

Investment involves risk. Prospective should understand the characteristics of Securities and study information about BTS Group Holdings Public Company Limited (the “Company”) before making a decision to invest in Securities. This presentation is for information purposes only and is intended only for the initial direct attendee of the presentation. It may not be reproduced or redistributed to any other person. It shall not and does not constitute either an offer to purchase or buy or a solicitation to purchase or buy or an offer to sell or exchange

• r a solicitation to sell or exchange any securities of BTS Group Holding PCL (the "Company") or any of its subsidiaries in the United States of America or in any other jurisdiction or an

inducement to enter into investment activity. No part of this presentation, nor the fact of its existence, should form the basis of, or be relied on in connection with, any contract or commitment or investment decision whatsoever. No representation, warranty or undertaking, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or the opinions contained herein. This presentation is not to be relied upon in any manner as legal, tax or any other advice and shall not be used in substitution for the exercise of independent judgment and each person made aware of the information set-forth hereof shall be responsible for conducting its own investigation and analysis of the information contained herein. Except where otherwise indicated, the information provided in this presentation is based on matters as they exist as of the date stated or, if no date is stated, as of the date of preparation and not as of any future date, and the information and opinions contained herein are subject to change without notice. None of the Company nor any of its subsidiaries accepts any obligation to update

• r otherwise revise any such information to reflect information that subsequently becomes available or circumstances existing or changes occurring after the date hereof. None of the

Company or any of its subsidiaries or any of their respective directors, officers, employees or agents shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this presentation or its contents or otherwise arising in connection with the presentation and any and all such liability is expressly disclaimed. The information contained herein must be kept strictly confidential and may not be reproduced or redistributed in any format without the express written approval of the Company. Some statements made in this presentation are forward-looking statements, which are subject to various risks and uncertainties. These include statements with respect to the Company’s corporate plans, strategies and beliefs and other statement that are not historical facts. These statement can be identified by the use of forward-looking terminology such as “may”, “will”, “expect” , “intend”, “estimate”, “continue”, “plan” or other similar words. The statements are based on the assumptions and beliefs of the Company’s management in light of the information currently available to the Company. These assumptions involve risks and uncertainties which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Nothing in this Presentation is, or should be relied

• n as promise or representation of the Company as to the future.

2 1Q 15/16 earnings presentation

prepared by Investor Relations department BTS Group Holdings PCL

Agenda

Section

1

BTSG 1Q 15/16 FINANCIAL PERFORMANCE

Section

2

Section

3

BUSINESS UPDATES BTSGIF 1Q 15/16 FINANCIAL PERFORMANCE (separate presentation)

APPENDICES

3 1Q 15/16 earnings presentation

prepared by Investor Relations department BTS Group Holdings PCL

IMPROVED PROFITABILITY

• Improved accounting net profit and net profit margin due

to extraordinary gain from sale of property assets:

• 1Q 15/16: +303.4% YoY to THB 3,075.5mn (NPM 59.1%)
• Although recurring net profit (THB 507.6mn) declined

34.0% due to softened operating results and share of loss in joint ventures

1Q 15/16 Financial Highlights

BTS DAILY TRADED VALUE (LTM) (as of 4 Aug 2015) THB 436.1mn (USD 13.3mn) GAIN (BEFORE TAX) ON SALE OF PROPERTY ASSETS TO U CITY OF THB 3,458.5MN BTS DIVIDEND YIELD (LTM)** 6.21% SET50 DIVIDEND YIELD (LTM)*** 3.13%

>>

4 1Q 15/16 earnings presentation Section 1: BTSG 1Q 15/16 Financial Performance

COMMITTED MINIMUM DIVIDEND OF: THB 8BN IN FY 15/16 (equivalent to 6.7% dividend yield based on share price of THB 9.95 as of 4 Aug 2015)

• THB 23.75bn excess cash and liquid investments*
• Leverage: Net debt / equity at (0.00)x

BALANCE SHEET STRENGTH

* Excess cash and liquid investments exclude sinking fund and include cash balance of THB 4.63bn, current investments of THB 9.64bn, long term investments of THB 8.33bn and restricted deposits of THB 1.15bn

RESILIENT MASS TRANSIT-RELATED REVENUE: Net farebox revenue +8.2% YoY O&M revenue +4.1% YoY

** Dividend yield based on share price as of date prior to Board of Directors’ approval of relevant dividend payment *** Sum of the gross DPS that have gone ex-dividend over the past 12 months, divided by stock price as of 4 Aug 2015

prepared by Investor Relations department BTS Group Holdings PCL

1,744 1,538 57 (215) (86) 38 1Q 14/15 Mass transit Media Property Services 1Q 15/16 11%

• 28%

(THB mn)

• 27%

30%

OPERATING REVENUE COMPARISON (YoY)

1Q 15/16 Overview

Income Statement (THB mn) 1Q 15/16 1Q 14/15 % YoY 4Q 14/15 % QoQ Operating Revenues1 1,538 1,744 (12)% 1,647 (7)% Gross operating profits 888 944 (6)% 952 (7)% Operating EBITDA2 631 690 (9)% 691 (9)% Recurring net profit – before MI 508 769 (34)% 780 (35)% Accounting EBITDA3 4,244 1,039 308% 728 483% Net income (loss)4 3,016 650 364% 680 343% Gross operating profit margin (%) 57.7% 54.2% 57.8% Accounting EBITDA margin (%) 81.6% 44.4% 39.8% Recurring net profit margin (%) 29.5% 33.7% 38.4% Operating EBITDA margin (%) 41.0% 39.5% 41.9%

P&L SNAPSHOT

39% Mass Transit 35% Media 15% Property 11% Services

1Q 15/16 OPERATING REVENUE BREAKDOWN

1 operating revenue of 4 BUs & share of net profit from BTSGIF 2 excluding interest income 3 including profit from discontinued operation 4 to equity holders of the parent

5 1Q 15/16 earnings presentation Section 1: BTSG 1Q 15/16 Financial Performance

prepared by Investor Relations department BTS Group Holdings PCL

10,112 4,626*** 821* (5,413) (962) 68** Beginning cash (31/3/15) CFO CFI CFF OTHERS Ending cash (30/6/15) (THB mn)

3 Months Cash Flow Snapshot

6 1Q 15/16 earnings presentation Section 1: BTSG 1Q 15/16 Financial Performance

Increase in VGI stake Treasury management, loans to related parties

* after tax (THB 32.8mn) and interest expense (THB 50.7mn) ** cash and cash equivalents of BTSA and KKP (presented as discontinued operation at the end of the year) *** excluding BTSC sinking fund and THB 19.1bn liquid investments

prepared by Investor Relations department BTS Group Holdings PCL

258 270 271 322 283 288 308 379 379 392 386 392 394 1,135 1,238 1,259 1,263 208

• 124

174 157 157 166 217 194 147 208

1Q 12/13 2Q 12/13 3Q 12/13 4Q 12/13 1Q 13/14 2Q 13/14 3Q 13/14 4Q 13/14 1Q 14/15 2Q 14/15 3Q 14/15 4Q 14/15 1Q 15/16

O&M (THB mn) Farebox (THB mn) Share of NP in BTSGIF (THB mn)

35% Share in BTSGIF

Mass Transit – As Reported

1Q 15/16 earnings presentation Section 1: BTSG 1Q 15/16 Financial Performance 7

HISTORICAL OPERATING REVENUE (THB mn)

KEY FACTORS OPERATING PERFORMANCE

Mass transit (THB mn) 1Q 15/16 1Q 14/15 YoY 4Q 14/15 QoQ Revenue 602 545 11% 539 12% O&M revenue 394 379 4% 392 0.5% Share in BTSGIF 208 166 25% 147 42% Costs of revenue 209 208 0.1% 170 23% Gross profit 394 336 17% 369 7% Operating EBITDA 398 340 17% 374 6% Gross margin (%) 65.4% 61.7% 68.5% Operating EBITDA margin (%) 66.1% 62.3% 69.4%

• O&M revenue rose by 4.1% YoY to THB 394.0mn mainly from the

contractually agreed increase in operating fee of the Sukhumvit extension and Silom extension

• Share of net profit in BTSGIF increased 25.2% YoY to THB 208.4mn

from the increase in core network performance and revision of amortisation method for fund set-up cost

• Costs remained unchanged YoY (rose 0.1% YoY to THB 208.7mn)
• Operating EBITDA margin improved to 66.1% (62.3% in 1Q 14/15) as

costs remained flat YoY whilst operating revenue increased

OPERATING REVENUE BREAKDOWN

65% O&M

1Q 15/16

prepared by Investor Relations department BTS Group Holdings PCL

Mass Transit – Core Network (Quarter)

1Q 15/16 earnings presentation Section 1: BTSG 1Q 15/16 Financial Performance 8

HISTORICAL AVERAGE FARE & % GROWTH (YOY) HISTORICAL RIDERSHIP & % GROWTH (YOY)

• Quarterly Ridership increased 9.0% YoY to 55.9mn trips
• Average Fare dereased 0.7% YoY to THB 26.9 per trip

51.3 54.6 56.4 56.4 55.9 2.0% 2.1% 4.7%

• 1.2%

9.0%

• 190.0%
• 140.0%
• 90.0%
• 40.0%

1Q 14/15 2Q 14/15 3Q 14/15 4Q 14/15 1Q 15/16 Ridership (mn trips) Passenger Growth (YoY), RHS 27.0 26.6 26.9 26.9 26.9 6.8% 0.5% 0.4%

• 0.7%
• 0.7%

1Q 14/15 2Q 14/15 3Q 14/15 4Q 14/15 1Q 15/16 Average Fare (THB/trip) Average Fare Growth (YoY), RHS

prepared by Investor Relations department BTS Group Holdings PCL

10% Office Buildings & Others 9% Modern Trade 81% BTS - Related

Media

9

OPERATING REVENUE BREAKDOWN OPERATING PERFORMANCE

Media (THB mn) 1Q 15/16 1Q 14/15 YoY 4Q 14/15 QoQ Revenue 539 754 (28)% 605 (11)% Costs of revenue 178 310 (43)% 216 (18)% Gross profit 362 444 (18)% 389 (7)% Operating EBITDA 317 379 (16)% 379 (16)% Gross margin (%) 67.1% 58.8% 64.3% Operating EBITDA margin (%) 58.8% 50.2% 62.7%

HISTORICAL OPERATING REVENUE (THB mn)

KEY FACTORS

1Q 15/16

637 725 749 683 844 847 798 632 754 787 780 605 539 1Q 12/13 2Q 12/13 3Q 12/13 4Q 12/13 1Q 13/14 2Q 13/14 3Q 13/14 4Q 13/14 1Q 14/15 2Q 14/15 3Q 14/15 4Q 14/15 1Q 15/16

• Overall Media revenue fell 28.5% YoY to THB 539.2mn from the

discontinuation of Modern Trade Media

• BTS-related Media

Revenue grew 1.9% YoY to THB 436.2mn from increase in

• ccupancy of on-station (both static and digital) and digital media

in-train

• Modern Trade Media

Revenue decreased 82.4% YoY to THB 50.5mn from the termination

• f Modern Trade Media business

Office Buildings and Other Media Revenue rose 32.2% YoY to THB 52.4mn from additional contracts

• Operating EBITDA margin improved to 58.8% (50.2% in 1Q 14/15)

from lower contribution of lower margin Modern Trade business

1Q 15/16 earnings presentation Section 1: BTSG 1Q 15/16 Financial Performance

prepared by Investor Relations department BTS Group Holdings PCL

155 179 401 710 950 863 686 436 319 331 341 364 233 1,643 1,849 554 1,411 9,469

1Q 12/13 2Q 12/13 3Q 12/13 4Q 12/13 1Q 13/14 2Q 13/14 3Q 13/14 4Q 13/14 1Q 14/15 2Q 14/15 3Q 14/15 4Q 14/15 1Q 15/16

Operating revenue Proceeds from land sale

THB 9,469 Sale of assets to U City

31% Residential Commercial & Others 69%

Property*

10

OPERATING REVENUE* BREAKDOWN OPERATING PERFORMANCE

Property* (THB mn) 1Q 15/16 1Q 14/15 YoY 4Q 14/15 QoQ Operating Revenue 233 319 (27)% 364 (36)% Costs of revenue 140 191 (27)% 193 (28)% Gross profit 93 129 (28)% 170 (45)% Operating EBITDA 14 39 (65)% 43 (68)% Gross margin (%) 39.9% 40.3% 46.8% Operating EBITDA margin (%) 5.9% 12.3% 11.8%

HISTORICAL OPERATING REVENUE* (THB mn)

KEY FACTORS

1Q 15/16

* Transactions related to ChefMan Restaurants were reclassified from Property business to Services business in 4Q 13/14 and applied retrospectively since 2Q 12/13

1Q 15/16 earnings presentation Section 1: BTSG 1Q 15/16 Financial Performance

• Recognised net gain from U City transaction of THB 2,528.5mn
• Operating revenue dropped by 27.1% YoY to THB 233.0mn mainly

from both Residential and Commercial Property

• Residential property revenue decreased by 45.0% YoY to THB

72.9mn mainly from decline in sales of Abstracts Phahonyothin Park

• Commercial property revenue fell 13.3% YoY to THB 160.1mn from

EGS following the disposal of EGS to U City on 20 Apr 2015

• Operating costs decreased by 26.5% YoY to THB 140.1mn from

costs and expenses related to transferred units of Abstracts Phahonyothin Park as well as costs and expenses of EGS

• Operating EBITDA margin contracted to 5.9% (12.3% in 1Q 14/15)

as a result of decrease in sales of Abstracts Phahonyothin Park and the divestment of EGS to U City

THB 1,849 Nana land THB 1,643 Kamala THB 1,411 Mo Chit land THB 554 Sale of non-core land

prepared by Investor Relations department BTS Group Holdings PCL

Carrot 2% Others 11% Rabbit 37% 50% ChefMan

Services*

11

OPERATING REVENUE* BREAKDOWN OPERATING PERFORMANCE

Services* (THB mn) 1Q 15/16 1Q 14/15 YoY 4Q 14/15 QoQ Revenue 164 126 30% 139 17% Costs of revenue 125 90 38% 116 7% Gross profit 39 36 10% 23 70% Operating EBITDA 19 24 (23)% (19) (196)% Gross margin (%) 23.9% 28.2% 16.5% Operating EBITDA margin (%) 11.4% 19.3% N/A

HISTORICAL OPERATING REVENUE* (THB mn)

KEY FACTORS

1Q 15/16

* Transactions related to ChefMan Restaurants were reclassified from Property business to Services business in 4Q 13/14 and applied retrospectively since 2Q 12/13

1Q 15/16 earnings presentation Section 1: BTSG 1Q 15/16 Financial Performance

6 24 45 46 78 104 107 108 126 144 138 139 164

1Q 12/13 2Q 12/13 3Q 12/13 4Q 12/13 1Q 13/14 2Q 13/14 3Q 13/14 4Q 13/14 1Q 14/15 2Q 14/15 3Q 14/15 4Q 14/15 1Q 15/16

• Revenue

Revenue increased by 30.2% YoY to THB 163.7mn from i) increase in revenue from ChefMan Restaurants of 26.6% YoY to THB 82.2mn and ii) revenue growth from BSS of 23.7% YoY to THB 60.1mn primarily from the marketing and co-promotion of Rabbit cards of THB 10.4mn

• Costs & SGA

Costs & SGA increased by 36.7% YoY or THB 45.0mn to THB 167.6mn (cost THB 124.6mn and SG&A THB 43.1mn). Key costs and SG&A items were mainly from staff costs, food & beverage cost at ChefMan Restaurants.

prepared by Investor Relations department BTS Group Holdings PCL

40,808 49,246 26,003 20,555 31-Mar-15 30-Jun-15

Balance Sheet

LIABILITIES AND EQUITY BREAKDOWN (THB MN) ASSET BREAKDOWN (THB MN) KEY RATIOS

Non-current assets Current assets 61% 39% 29% 71% 66,811 69,801 Non-current liabilities Current liabilities Equity 12% 78% 10% 66,811 69,801 78% 10% 12%

1Q 15/16: (0.00)x 1Q 14/15: 0.01x

Net Debt to Equity Net Debt to Operating EBITDA

1Q 15/16: (0.01)x 1Q 14/15: 0.13x 1Q 15/16: 7.87x 1Q 14/15: 5.16x

Interest Coverage

1Q 15/16: 2.40x 1Q 14/15: 4.20x

Current Ratio

12 1Q 15/16 earnings presentation Section 1: BTSG 1Q 15/16 Financial Performance

52,012 54,005 8,004 7,215 6,795 8,581 31-Mar-15 30-Jun-15

prepared by Investor Relations department BTS Group Holdings PCL

Agenda

Section

1

BTSG 1Q 15/16 FINANCIAL PERFORMANCE

Section

2

Section

3

BUSINESS UPDATES BTSGIF 1Q 15/16 FINANCIAL PERFORMANCE (separate presentation)

APPENDICES

13 1Q 15/16 earnings presentation

prepared by Investor Relations department BTS Group Holdings PCL

19.90 17.99 18.46 19.43 20.19 7.4% 7.4% 7.0% 12.4% 11.3%

Mar-15 Apr-15 May-15 Jun-15 Jul-15 Ridership (mn trips) % YoY ridership growth JUL 2015:

• Jul 15 ridership = 20.2mn trips, +11.3% YoY, +3.9% MoM
• Jul 15 avg fare = THB 27.1 / trip, +1.5% YoY
• Avg Jul 15 weekday ridership = 723,543 trips, +11.8% YoY

14 1Q 15/16 earnings presentation Section 2: Business Updates

Mass Transit Update

Jul 15 Ridership Update

JUL 15 RIDERSHIP UPDATE

YTD (Apr – Jul) 15/16:

• YTD fare-box revenue = +9.5% YoY
• YTD ridership = 76.1mn trips, +9.6% YoY
• YTD fare = THB 26.94 / trip, +0.3% YoY*

*compared to THB 26.86 / trip (FY 14/15 avg fare)

prepared by Investor Relations department BTS Group Holdings PCL

Line Distance (km)

• 1. Laem Chabang-Chachoengsao (Red Line)

79

• 2. Chachoengsao-Kaeng Khoi (Blue Line)

106

• 3. Map Kabao-Jira Junction (Purple Line)

132

• 4. Jira Junction-Khon Kaen (Orange Line)

185

Total 502

Mass Transit Update

Dual Track Project

15 1Q 15/16 earnings presentation Section 2: Business Updates

prepared by Investor Relations department BTS Group Holdings PCL

80% 8% 12% BTS Office Building Others THB 2,600mn 86% 9% 5% BTS Office Building Others THB 2,200mn

Media Update

FY 15/16 Target Revision

• 12%

+16%

• 100%

+20% +1,092% Total Revenue BTS-related Media Modern Trade Media - discontinued Office Building Media Other Media +30% Total Revenue (excl. Modern Trade) GROWTH BY SEGMENTS

• 26%

+5%

• 100%

+30% +260% Total Revenue BTS-related Media Modern Trade Media - discontinued Office Building Media Other Media +10% Total Revenue (excl. Modern Trade) GROWTH BY SEGMENTS

16 1Q 15/16 earnings presentation Section 2: Business Updates

FY 15/16 PREVIOUS TARGET GUIDANCE FY 15/16 NEW TARGET GUIDANCE

prepared by Investor Relations department BTS Group Holdings PCL

76.9% 82.9% 85.0% 74.9% 63.0% 81.8% 81.7% 85.1% 78.9% 1Q 13/14 2Q 13/14 3Q 13/14 4Q 13/14 1Q 14/15 2Q 14/15 3Q 14/15 4Q 14/15 1Q 15/16 2,308.5 1,398.7 1,936.8 1,681.6 1,899.9 81.0% 69.9% 80.6% 72.7% 78.9%

U Chiang Mai U Inchantree Eastin Grand Sathorn U Sathorn Blended

RevPar (THB per Night) Occupancy rate

Property Update

RESIDENTIAL PROPERTY COMMERCIAL PROPERTY

Presold (as of 30 Jun 15): 100%

LOCATION: 250M FROM NEW BTS STATION SITE AREA: 33,420 SQM (20-3-55 RAI) LAND TENURE: FREEHOLD AVERAGE SALE PRICE: THB 76,400 PER SQM TDC: THB 2,527MN TRANSFERRED: 92% (as of 30 Jun 15)

ABSTRACTS PROJECT – PHAHONYOTHIN PARK

COMMERCIAL PROPERTY REVENUE BREAKDOWN

1Q 15/16 REVPAR AND OCCUPANCY

17

HISTORICAL HOTEL OCCUPANCY

Others 18% 1Q 15/16 Commercial Property Revenue:

THB 160mn

Eastin Grand Sathorn 23% U-Hotels 29% Thana City Golf 30%

1Q 15/16 earnings presentation Section 2: Business Updates

prepared by Investor Relations department BTS Group Holdings PCL

Pre-sale period: 30-31 May 2015 Foreign participation: 14%

Property Update

THE LINE Presale Update

18 1Q 15/16 earnings presentation Section 2: Business Updates

• Both THE LINE projects at Jatujak – Mochit and Sukhumvit 71 were completely sold out within the pre-sale period
• Foreign participation reached 48% for The Line Sukhumvit 71, a record high for Sansiri and the Thai residential property market
• Both properties sold at significantly higher prices than comparable projects in the respective vicinities

Pre-sale period: 8-9 Aug 2015 Foreign participation: 48%

prepared by Investor Relations department BTS Group Holdings PCL

Property Update

BTS-Sansiri Project Launches in 2015

Project Name THE LINE Jatujak - Mochit THE LINE Sukhumvit 71 THE LINE Ratchathewi THE LINE Wongsawang THE LINE Phahonyothin Park Project #6 Distance from mass transit station 300m from BTS Mo chit 400m from BTS Prakanong 250m from BTS Ratchathewi 50m from Wong Sawang Station 250m from BTS Ha Yak Lad Phrao CBD Project value THB 5.8bn THB 2.0bn THB 2.8bn* THB 5.1bn* THB 3.5bn* THB 5.1 bn*

• No. of units

841 (43 floors) 291 (28 floors) 231 (38 floors) 1,287 (36 floors) 855 (33 floors) 130 (46 floors)

• Avg. selling price

per sqm THB 178.9k THB159.8k; fully furnished THB 255k* THB 120k* THB 120k* THB 231k* Land Area (Rai) 4-2-95.7 1-3-54.4 1-2-12 6-1-97 2-0-36* 2-2-41.7*

• Intl. Roadshow/

Domestic Presales Construction Starts Construction Completion

Aug 2015 May 2015 Nov 2016 Dec 2016 Feb 2017

Transfer Starts Transfer Completion

Oct 2015 Jan 2016 Apr 2018 May 2019 Jul 2019 Feb 2016 Nov 2014 Oct 2017 Nov 2017 Apr 2018 Oct 2015 Mar 2016 Mar 2019 Apr 2019 Jul 2019 Nov 2015 Apr 2016 Mar 2019 Apr 2019 Jun 2019 May 2015 Mar 2015 Jan 2018 Feb 2018 Jun 2018

19

• Target project value revised up to THB 100bn (from THB 25-30bn) to be developed over 5 years under the

“Strategic Alliance Framework Agreement”

• Approximately THB 25bn in project value launched in 2015
• Expected equity IRR ≈ 17% and NPAT margin ≈ 12%

*Approximate figures

1Q 15/16 earnings presentation Section 2: Business Updates

prepared by Investor Relations department BTS Group Holdings PCL

Agenda

Section

1

BTSG 1Q 15/16 FINANCIAL PERFORMANCE

Section

2

Section

3

BUSINESS UPDATES BTSGIF 1Q 15/16 FINANCIAL PERFORMANCE (separate presentation)

APPENDICES

20 1Q 15/16 earnings presentation

prepared by Investor Relations department BTS Group Holdings PCL

World

To become the leading brand in digital lifestyle and payment services in Thailand

The Rabbit Mission

21 1Q 15/16 earnings presentation Appendix 1: The Rabbit Mission

prepared by Investor Relations department BTS Group Holdings PCL

CARD

d

Common Ticketing and Offline Payment

PAY

Online e-Wallet Payment

ONLINE

d

Lifestyle eCommerce Portal

FINANCE

d

Personal Finance Portal

REWARD

Big Data Customer Loyalty

Rabbit World – The 4 Pillars

22 1Q 15/16 earnings presentation Appendix 1: Rabbit World – The 4 Pillars

prepared by Investor Relations department BTS Group Holdings PCL

To become the leader of online and offline payment systems in Thailand

“Offline” “Online”

Pay Card

Market Penetration by 2020

• 15M+ rabbitCard holders
• 3M+ rabbitPay accounts
• 15K+ acceptance points
• 2M+ Transactions/day
• 200M+ settlement value/day

Rabbit Card & Rabbit Pay

23 1Q 15/16 earnings presentation Appendix 1: Rabbit Card & Rabbit Pay

prepared by Investor Relations department BTS Group Holdings PCL

Calssified Food

Market Penetration Target:

• 30+ eCommerce partners
• 20 content categories
• 10M+ visits/month (2016)
• 25M+ visits/month (2020)

Accumulated Portfolio by 2020:

• 4Bn+ insurance premium
• 5Bn+ loan portfolio

LIFESTYLE MEDIA PORTAL & PRODUCTS COMPARISON

Celebrities Money Woman Men Beauty Motor Movie Sport E-Commerce/ Telco Partner DISCOVER PRODUCTS / SERVICES Travel Credit Cards Insurance FINANCIAL PRODUCTS Loans

Rabbit Online & Rabbit Finance

24 1Q 15/16 earnings presentation Appendix 1: Rabbit Card & Rabbit Pay

”To become the largest lifestyle and financial portal in Thailand”

prepared by Investor Relations department BTS Group Holdings PCL

”BIG DATA with 360 DEGREE CUSTOMER DATA PROFILE”

SPENDING DATA SHOPPING DATA FINANCIAL DATA CARD PAY ONLINE FINANCE

TARGETED ADVERTISING PERSONALIZED COMMERCE REWARD SYSTEM

8.8 Million Rabbit members by 2020

Rabbit Reward

25 1Q 15/16 earnings presentation Appendix 1: Rabbit Reward

prepared by Investor Relations department BTS Group Holdings PCL

Capital Gain Calculation

U City Transaction

SEPARATE FS (BTSG ONLY) THB mn Remarks BTSG CONSOL FS THB mn Remarks FV of investment in U City 9,468.8 FV of investment in U City 9,468.8 Less: BV of investments in BTSA & KKP (4,754.1) BTSA & KKP BV (at cost) Less: net assets of BTSA & KK (4,095.2) BTSA & KKP NBV Capital Gain 4,714.8 Capital Gain 5,373.7 Less: tax of capital gain (930.0) 20% on agreed selling price as of 20 Apr 15 Less: Elimination (1,915.2) 35.64% in U City Net capital gain (after tax) 3,784.8 Capital Gain (after elimination) 3,458.5 Less: tax of capital gain (930.0) Tax from separate FS Net capital gain (after tax) 2,528.5

26 1Q 15/16 earnings presentation Appendix 2: Capital Gain Calculation – U City Transaction

prepared by Investor Relations department BTS Group Holdings PCL

1Q 15/16 Effective Tax Rate

BTSG Consolidated FS

BTSG CONSOL FS WITH GAIN FROM U CITY (THB mn) WITHOUT GAIN FROM U CITY (THB mn) REMARKS Earnings before tax (EBT) 4,123.3 664.8 Excluding THB 3,458.5mn capital gain (before tax) from U City Add back: profit from discontinued operation 3.9 3.9 Total earnings before tax (A) 4,127.2 668.7 Income tax expenses (B) 1,051.7 121.7 Excluding THB 930.0mn tax on capital gain from U City Effective tax rate (A) / (B) 25.5% 18.2%

27 1Q 15/16 earnings presentation Appendix 3: 1Q 15/16 Effective Tax Rate

prepared by Investor Relations department BTS Group Holdings PCL

Breakdown Share of Income / (Loss) from Investments

in Joint Ventures & Associates & Subsidiary

Shares on Investments in Joint Ventures % Effective Holding (30 Jun 15) Amount (THB mn) Amount per FS (THB mn) MIDAS 21.59% (5.2) Share of loss from investments in joint ventures (86.9) BTS-SIRI JV projects 50.00% (81.7) Share of income from investments in associates 157.0 Total (86.9) Total share of net income in JV/Asso 70.1 Shares on Investments in Associates % Effective Holding (30 Jun 15) Amount (THB mn) Amount per IR Pack (THB mn)

BTSGIF

33.33% 208.4 Shares of net income in BTSGIF (including in Mass Transit operating revenue) 208.4 MACO 17.96% 4.0 Shares of net loss in Associates/ JV (excluding shares in BTSGIF) (138.3) U CITY 35.64% (57.2) Total share of net income in JV/Asso 70.1 AHS 50.00% 1.7 Total 157.0 Shares on Investments in Subsidiary % Effective Holding (30 Jun 15) Amount (THB mn) VGI 71.97% N.A.

28 1Q 15/16 earnings presentation Appendix 4: Breakdown of Share of Income (Loss) from Investments

prepared by Investor Relations department BTS Group Holdings PCL

IR Contacts

Address: BTS Group Holdings PCL IR Department 15th Floor, TST Tower, 21 Soi Choei Phuang, Viphavadi-Rangsit Rd., Chomphon, Chatuchak, Bangkok, Thailand 10900 Telephone: +66(0) 2273 8611-15 Email: ir@btsgroup.co.th Fax: +66(0) 2273 8610 Website: www.btsgroup.co.th

Thank You

29 1Q 15/16 earnings presentation