BTS Group Holdings PCL 3Q 15/16 earnings presentation 16 February - - PowerPoint PPT Presentation

prepared by Investor Relations department BTS Group Holdings PCL

3Q 15/16 earnings presentation

16 February 2016

BTS Group Holdings PCL

3Q 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 Holdings 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 3Q 15/16 earnings presentation

prepared by Investor Relations department BTS Group Holdings PCL

Agenda

Section

1

BTSG 3Q 15/16 FINANCIAL PERFORMANCE

Section

2

Section

3

BUSINESS UPDATES BTSGIF 3Q 15/16 FINANCIAL PERFORMANCE (separate presentation)

APPENDICES

3 3Q 15/16 earnings presentation

prepared by Investor Relations department BTS Group Holdings PCL

PROFITABILITY IMPROVED FROM TAX IMPACT

• Net recurring profit before MI improved 13.6% YoY to THB

757.4mn from the impact of negative income tax

• However, reported net profit (before MI) and margin declined

YoY:

• Net profit after MI: -38.1% YoY to THB 607.4mn
• Net profit margin after MI: 37.8% (vs 42.0% in 3Q 14/15)

3Q 15/16 Financial Highlights

BTS DAILY TRADED VALUE (LTM) (as of 12 Feb 2016) THB 281.3mn (USD 8.2mn) NEW CORE RIDERSHIP RECORD: 59.1MN TRIPS (increased +4.7% YoY) BTS DIVIDEND YIELD (LTM)** 7.49% SET50 DIVIDEND YIELD (LTM)*** 3.91%

>>

4 3Q 15/16 earnings presentation Section 1: BTSG 3Q 15/16 Financial Performance

• THB 14.66bn excess cash and liquid investments*
• Leverage: Net debt / equity at 0.06x

BALANCE SHEET STRENGTH

* Excess cash and liquid investments exclude sinking fund and include cash balance of THB 1.83bn, current investments of THB 2.88bn, long term investments of THB 8.72bn and restricted deposits of THB 1.24bn

YTD MASS TRANSIT PERFORMANCE AHEAD OF FY 15/16 TARGETS (as of 31 Jan 2016): ACTUAL TARGET Ridership: +6.6% YoY 4 - 6%  Average fare: +2.2% YoY 2% 

** Dividend yield based on share price of THB 8.55 as of 8 Jan 2016 (one day before BOD date) *** Sum of the gross DPS that have gone ex-dividend over the past 12 months, divided by stock price as of 12 Feb 2016

prepared by Investor Relations department BTS Group Holdings PCL

1,839 1,477 34 (268) (180) 51 3Q 14/15 Mass transit Media Property Services 3Q 15/16 6%

• 34%

(THB mn)

• 53%

37%

OPERATING REVENUE COMPARISON (YoY)

3Q 15/16 Overview

Income Statement (THB mn) 3Q 15/16 3Q 14/15 % YoY 2Q 15/16 % QoQ 9M 15/16 9M 14/15 % YoY Operating Revenues1 1,477 1,839 (19.7)% 1,671 (11.6)% 4,686 5,455 (14.1)% Gross operating profits 855 1,000 (14.5)% 969 (11.7)% 2,711 2,990 (9.3)% Operating EBITDA2 626 717 (12.7)% 707 (11.5)% 1,964 2,145 (8.5)% Recurring net profit – before MI 757 667 13.6% 421 79.9% 1,702 2,197 (22.6)% Accounting EBITDA3 807 1,549 (47.9)% 834 (3.3)% 5,954 3,929 51.5% Net income (loss)4 607 981 (38.1)% 474 28.2% 4,098 2,265 80.9% Gross operating profit margin (%) 57.9% 54.4% 58.0% 57.9% 54.8% EBITDA margin (%) 46.5% 57.7% 42.3% 66.8% 53.4% Operating EBITDA margin (%) 42.4% 39.0% 42.3% 41.9% 39.3% Recurring net profit margin (%) 44.1% 29.8% 25.3% 33.3% 32.2%

P&L SNAPSHOT

42% Mass Transit 35% Media 11% Property 12% Services

3Q 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 3Q 15/16 earnings presentation Section 1: BTSG 3Q 15/16 Financial Performance

prepared by Investor Relations department BTS Group Holdings PCL

10,112 1,827*** (293)* (3,202) (4,858) 68** Beginning cash (31/3/15) CFO CFI CFF OTHERS Ending cash (31/12/15)

(THB mn)

9 Months Cash Flow Snapshot

6

• Dividend payment
• 4th tranche of BTSC debenture
• Increase in VGI stake
• Loans to related parties
• Long-term investments
• Cash paid for purchase of land

* after tax (THB 1,997.4mn) and interest expense (THB 128.1mn) ** cash and cash equivalents of BTSA, KKP and Nuvo Line (presented as assets held for sale at beginning and ending of the year) *** excluding BTSC sinking fund and THB 12.8bn of liquid investments

3Q 15/16 earnings presentation Section 1: BTSG 3Q 15/16 Financial Performance

prepared by Investor Relations department BTS Group Holdings PCL

Mass Transit

7

HISTORICAL OPERATING REVENUE (THB mn)

KEY FACTORS

• O&M revenue rose by 2.2% YoY to THB 394.9mn mainly from the

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

• Share of net profit in BTSGIF increased 13.2% YoY to THB 219.1mn

from the increase in core network performance

• Costs rose 2.1% YoY to THB 236.3mn largely due to higher repair and

maintenance expenses and wages

• Operating EBITDA margin improved YoY to 62.4% (60.7% in 3Q

14/15) as operating cost increased at a lower rate than the increase in operating revenue

3Q 15/16 earnings presentation Section 1: BTSG 3Q 15/16 Financial Performance

OPERATING REVENUE BREAKDOWN OPERATING PERFORMANCE

Mass Transit (THB mn) 3Q 15/16 3Q 14/15 % YoY 2Q 15/16 % QoQ 9M 15/16 9M 14/15 % YoY Revenue 614 580 6% 617 (1)% 1,834 1,734 6% O&M revenue 395 386 2% 395 0% 1,184 1,157 2% Share in BTSGIF 219 194 13% 223 (2)% 650 577 13% Costs of revenue 236 231 2% 207 14% 652 645 1% Gross profit 378 348 8% 410 (8)% 1,181 1,089 9% Operating EBITDA 383 352 9% 415 (8)% 1,196 1,099 9% Gross margin (%) 61.5% 60.1% 66.4% 64.4% 62.8% Operating EBITDA margin (%) 62.4% 60.7% 67.2% 65.2% 63.4%

64% O&M Share in BTSGIF 36%

2Q 14/15 3Q 15/16

271 322 283 288 308 379 379 392 386 392 394 395 395 1,259 1,263 208

• 124

174 157 157 166 217 194 147 208 223 219

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 2Q 15/16 3Q 15/16

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

prepared by Investor Relations department BTS Group Holdings PCL

Mass Transit – Core Network (Quarter)

8

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

3Q 15/16 earnings presentation Section 1: BTSG 3Q 15/16 Financial Performance

• Quarterly ridership = 59.1mn trips, +4.7% YoY, +1.0% QoQ
• Quarterly average fare = THB 27.83/trip, +3.5% YoY, +1.6% QoQ
• Quarterly average weekday ridership = 723,83, +6.4% YoY

SUMMARY

• Ridership: increasing 4.7% YoY mainly from organic growth and

increasing 1.0% QoQ

• Fare: increasing 3.5% YoY from the adjustment of promotional

prices for trip-pass since July 2015 and increasing 1.6% QoQ

EXPLANATION

56.4 56.4 55.9 58.5 59.1 4.7%

• 1.2%

9.0% 7.1% 4.7% 3.3%

• 0.1%
• 0.9%

4.7% 1.0%

• 50.0%

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

Ridership (mn trips) Passenger Growth (YoY) Passenger Growth (QoQ)

26.9 26.9 26.9 27.4 27.8 0.4%

• 0.7%
• 0.7%

2.8% 3.5% 1.0%

• 0.1%

0.0% 2.0% 1.6%

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

Average Fare (THB/trip) Average Fare Growth (YoY) Average Fare Growth (QoQ)

prepared by Investor Relations department BTS Group Holdings PCL

749 683 844 847 798 632 754 787 780 605 539 527 512

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 2Q 15/16 3Q 15/16

Media

9

HISTORICAL OPERATING REVENUE (THB mn)

KEY FACTORS

• Overall Media revenue fell 34.4% YoY to THB 511.7mn from the

discontinuation of Modern Trade Media. This dropped 3.0% QoQ.

• BTS-related Media

Revenue down 8.4% YoY and 4.6% QoQ to THB 445.2mn from a decrease in BTS media occupancy as a result of the economic slowdown Modern Trade Media Revenue decreased 100.0% YoY to THB 0.0mn from the termination

• f Modern Trade Media business
• Office Buildings and Other Media

Revenue rose 41.7% YoY to THB 66.2mn from additional contracts

• Operating EBITDA margin improved to 66.6% (49.0% in 3Q 14/15)

from lower contribution of lower margin Modern Trade business

3Q 15/16 earnings presentation Section 1: BTSG 3Q 15/16 Financial Performance

13% Office Buildings & Others 87% BTS - Related

Media (THB mn) 3Q 15/16 3Q 14/15 % YoY 2Q 15/16 % QoQ 9M 15/16 9M 14/15 % YoY Revenue 512 780 (34)% 527 (3)% 1,578 2,321 (32)% Costs of revenue 138 331 (58)% 147 (7)% 462 969 (52)% Gross profit 374 450 (17)% 380 (2)% 1,116 1,352 (17)% Operating EBITDA 341 383 (11)% 333 2% 991 1,151 (14)% Gross margin (%) 73.1% 57.6% 72.1% 70.7% 58.3% Operating EBITDA margin (%) 66.6% 49.0% 63.2% 62.8% 49.6%

3Q 15/16

OPERATING REVENUE BREAKDOWN OPERATING PERFORMANCE

prepared by Investor Relations department BTS Group Holdings PCL

THB 9,469 Sale of assets to U City

401 710 950 863 686 436 319 331 341 364 233 331 161 1,849 554 1,411 9,469

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 2Q 15/16 3Q 15/16

Operating revenue Proceeds from land sale

Property

10

HISTORICAL OPERATING REVENUE (THB mn)

KEY FACTORS

• Operating revenue was THB 161.4mn, decreasing 52.7% YoY from

the reduction in both commercial property (from EGS divestment to U City) and residential property (from divestment of 50% shares in Nuvo Line to SIRI)

• Residential property revenue was THB 11.8mn, down 86.8% YoY

mainly from no revenue recognition of Abstracts Phahonyothin Park

• Commercial property revenue fell 40.2% YoY to THB 149.3mn

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

• Recorded share of losses from U City of THB 34.2mn, BTS-SIRI JVs of

THB 70.1mn and Bayswater of THB 5.0mn in 3Q 15/16

• Operating costs decreased by 47.5% YoY to THB 95.9mn due to no

costs and expenses related to transferred Abstracts Condo units

• Operating EBITDA margin decreased from 15.7% to 5.6%

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

3Q 15/16 earnings presentation Section 1: BTSG 3Q 15/16 Financial Performance

7% Residential Commercial & Others 93%

OPERATING REVENUE BREAKDOWN OPERATING PERFORMANCE

Property (THB mn) 3Q 15/16 3Q 14/15 % YoY 2Q 15/16 % QoQ 9M 15/16 9M 14/15 % YoY Operating Revenue 161 341 (53)% 331 (51)% 725 991 (27)% Costs of revenue 96 183 (48)% 205 (53)% 441 566 (22)% Gross profit 65 158 (59)% 126 (48)% 285 425 (33)% Operating EBITDA 9 53 (83)% 46 (80)% 69 44 57% Gross margin (%) 40.5% 46.4% 38.1% 39.2% 42.9% Operating EBITDA margin (%) 5.6% 15.7% 13.9% 9.5% 4.4%

3Q 15/16

prepared by Investor Relations department BTS Group Holdings PCL

Services

11

HISTORICAL OPERATING REVENUE (THB mn)

KEY FACTORS

• Revenue

Revenue increased by 36.9% YoY to THB 189.5mn from i) increase in revenue from BPS of THB 25.9mn YoY and ii) increase in revenue from ChefMan Restaurants of THB 15.0mn or 18.5% YoY to THB 96.3mn

• Costs & SGA

Costs increased by 60.3% YoY or THB 57.0mn to THB 151.5mn. SG&A rose by 31.5% YoY to THB 69.5mn. Key costs and SG&A items were mainly from staff costs, food & beverage cost at ChefMan Restaurants

3Q 15/16 earnings presentation Section 1: BTSG 3Q 15/16 Financial Performance

BPS 14% 51% ChefMan Rabbit 30% Others 5%

OPERATING REVENUE BREAKDOWN OPERATING PERFORMANCE

Services (THB mn) 3Q 15/16 3Q 14/15 % YoY 2Q 15/16 % QoQ 9M 15/16 9M 14/15 % YoY Revenue 190 138 37% 195 (3)% 548 408 34% Costs of revenue 152 95 60% 143 6% 419 284 48% Gross profit 38 44 (13)% 52 (27)% 129 124 4% Operating EBITDA (7) 12 N.A. 24 N.A. 36 63 (43)% Gross margin (%) 20.0% 31.7% 26.7% 23.6% 30.4% Operating EBITDA margin (%) (3.5)% 8.8% 12.1% 6.5% 15.4%

2Q 14/15 3Q 15/16

45 46 78 104 107 108 126 144 138 139 164 195 190

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 2Q 15/16 3Q 15/16

prepared by Investor Relations department BTS Group Holdings PCL

52,012 49,976 8,004 5,476 6,795 8,329

31-Mar-15 31-Dec-15 Total current liabilities Total non-current liabilities Total shareholders' equity

40,808 54,148 26,003 9,633

31-Mar-15 31-Dec-15 Total current assets Total non-current assets

66,811 63,781 Cash 31 Mar 15: THB 10.18bn 31 Dec 15: THB 1.83bn Current Investments 31 Mar 15: THB 4.77bn 31 Dec 15: THB 2.88bn Long-Term Investments 31 Mar 15: THB 7.99bn 31 Dec 15: THB 8.72bn Restricted Deposits 31 Mar 15: THB 1.15bn 31 Dec 15: THB 1.24bn Gross Debt 31 Mar 15: THB 4.56bn 31 Dec 15: THB 5.06bn Net Debt 31 Mar 15: THB (5.56)bn 31 Dec 15: THB 3.24bn ***** Issued Ordinary Shares 31 Mar 15: 11,919.3mn 31 Dec 15: 11,929.3mn

Balance Sheet

61% 39% 15% 85% 13% 78% 9% 78% 10% 12%

3Q 15/16: 0.10x 3Q 14/15: 0.08x

Gross Debt to Equity

12 3Q 15/16 earnings presentation Section 1: BTSG 3Q 15/16 Financial Performance

66,811 63,781

3Q 15/16: 0.06x 3Q 14/15: (0.05)x

Net Debt to Equity

3Q 15/16: 1.22x 3Q 14/15: (1.09)x

Net Debt to Operating EBITDA

3Q 15/16: 10.63x 3Q 14/15: 9.15x

Interest Coverage

3Q 15/16: 1.16x 3Q 14/15: 4.74x

Current Ratio

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

prepared by Investor Relations department BTS Group Holdings PCL

Agenda

Section

1

BTSG 3Q 15/16 FINANCIAL PERFORMANCE

Section

2

Section

3

BUSINESS UPDATES BTSGIF 3Q 15/16 FINANCIAL PERFORMANCE (separate presentation)

APPENDICES

13 3Q 15/16 earnings presentation

prepared by Investor Relations department BTS Group Holdings PCL 17.99 18.46 19.43 20.19 19.25 19.07 19.75 19.83 19.50 19.38 7.4% 7.0% 12.4% 11.3% 4.6% 5.3% 4.3% 6.0% 3.9% 4.0%

Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15 Jan-16

Ridership (mn trips) % YoY ridership growth

27.20 27.04 26.43 27.09 27.72 27.40 27.70 27.61 28.22 28.09

• 1.3%
• 0.5% -0.2%

1.5% 3.2% 3.9% 3.9% 3.1% 3.2% 4.5%

• 2.0%
• 1.0%

25.50 26.00 26.50 27.00 27.50 28.00 28.50

Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15 Jan-16

Average fare price (THB) % Change YoY

JAN 16 SUMMARY YTD SUMMARY (APRIL – JANUARY, 10MTH)

• YTD ridership = 192.8mn trips, +6.6% YoY
• YTD fare = THB 28.1 / trip, 2.2% YoY
• YTD farebox revenue = THB 5,294.3mn, +8.9% YoY
• Ridership = 19.38mn trips, +4.0% YoY and -0.6% MoM
• Fare (before disc.) = THB 28.09 / trip, +4.5% YoY
• Farebox revenue = THB 544.4mn, +8.7% YoY
• Weekday ridership = 733,048 trips, +6.8% YoY

YTD Ridership Growth Actual 6.6% P FY 15/16 Fare Increase Target 2% YTD Fare Increase Actual

Mass Transit Update

Jan 16 & YTD Ridership Update, FY 16/17 Guidance

14

FY 16/17 Ridership Growth Target: 5% FY 16/17 Avg Fare Increase Target: 1%

2.2% P FY 15/16 Ridership Growth Target 4-6%

3Q 15/16 earnings presentation Section 2: Business Updates

prepared by Investor Relations department BTS Group Holdings PCL

Media Update

Office Building and Residential Media

15 3Q 15/16 earnings presentation Section 2: Business Updates

LARGEST BUILDING PORTFOLIO IN THAILAND

• During 9M 15/16, VGI added 20 new office building

contracts, resulting in a total of 123 office buildings (1,091 digital screens) under management

• Expanded to residential advertising by being a sole sales

agent for Artista Media Limited Partnership (ARTISTA) covering 219 condominiums (549 digital screens) under leading brands such as AP, LPN, U Delight and Grand Unity Development

• Together with ARTISTA, VGI manages 342 buildings with
• ver 1,640 screens

prepared by Investor Relations department BTS Group Holdings PCL

Media Update

Aero Media Products

16 3Q 15/16 earnings presentation Section 2: Business Updates

AERO MEDIA NETWORK EXPANSION

• Aero Media has expanded its media network in airport

from 32 LED screens in 1Q 15/16 to 342 screens in this year

• It also has rights to manage media in 19 Thai Lion Air

airplanes, 6,200 trolleys and 12 buggy buses

• Moreover, it has entered into managing media in gas

stations in Bangkok and other prime provinces

EXISTING AVIATION MEDIA NEW GAS STATION MEDIA

LED Screens & Static media at 20 Gas Stations will be seen by > 1.6 million vehicles

prepared by Investor Relations department BTS Group Holdings PCL

85.0% 74.9% 63.0% 81.8% 81.7% 85.1% 78.9% 86.1% 85.4% 3Q 13/14 4Q 13/14 1Q 14/15 2Q 14/15 3Q 14/15 4Q 14/15 1Q 15/16 2Q 15/16 3Q 15/16

3,413.3 1,751.7 2,502.0 2,022.4 2,458.9

86.0% 84.5% 86.8% 79.0% 85.4%

U Chiang Mai U Inchantree Eastin Grand Sathorn* U Sathorn Blended RevPar (THB per Night) Occupancy rate

Land bank THB 3.0bn Residential THB 0.3bn

Property Update

PROPERTY BOOK VALUE BREAKDOWN COMMERCIAL PROPERTY COMMERCIAL PROPERTY REVENUE BREAKDOWN

3Q 15/16 REVPAR AND OCCUPANCY

17

HISTORICAL HOTEL OCCUPANCY

Others 22% 3Q 15/16 Commercial Property Revenue:

THB 149mn

U-Hotels 43% Thana City Golf 35%

3Q 15/16 earnings presentation Section 2: Business Updates

Total Book Value as of 31 Dec 15:

THB 6.8bn

Commercial THB 3.5bn

* Eastin Grand Hotel Sathorn (EGS) was divested to U City since 20 Apr 2015

4.6% 51.3% 44.2%

prepared by Investor Relations department BTS Group Holdings PCL

Property Update

BTS-Sansiri Projects Launched in 2015

Project Name THE LINE Jatujak - Mochit THE LINE Sukhumvit 71 THE LINE Ratchathewi Distance from mass transit station 300m from BTS Mo Chit 400m from BTS Prakanong 220m from BTS Ratchathewi Project value THB 5.7bn THB 2.0bn THB 2.9bn*

• No. of units

841 (43 floors) 291 (28 floors) 231 (38 floors)

• Avg. selling price per sqm

THB 179k THB169k; fully furnished THB 266k* Land Area (Rai) 4-2-95.7 1-3-54.4 1-2-12

18

• Target project value of THB 100bn to be developed over 5 years under BTS-SIRI partnership
• Approximately THB 11bn in project value launched in 2015
• Expected equity IRR ≈ 17% and NPAT margin ≈ 12%

*Approximate figures

3Q 15/16 earnings presentation Section 2: Business Updates

• Intl. Roadshow / Domestic Presales

Construction Starts Construction Completion

Aug 2015 May 2015 Jan 2017 Nov 2016 Apr 2017

Transfer Starts Transfer Completion

Oct 2015 Jan 2016 May 2018 May 2018 Jul 2018 May 2015 Mar 2015 Jan 2018 Dec 2017 Feb 2018

prepared by Investor Relations department BTS Group Holdings PCL

100% SOLD OUT 100% SOLD OUT 100% SOLD OUT

THE LINE JATUJAK-MO CHIT THE LINE SUKHUMVIT 71 THE LINE RATCHATHEWI

Property Update

BTS-Sansiri Projects 2016 Guidance

19 3Q 15/16 earnings presentation Section 2: Business Updates

1,822 5,895 2,924 Expected Revenue Recognition (THB mn) FY 16/17 FY 17/18 FY 18/19

EXPECTED JV REVENUE RECOGNITION (FY 16/17 - FY 18/19)

NOTE:  Calculated based on 3 launched joint venture projects  Equity method is applied to joint venture transactions  Calculated based on BTS Group’s fiscal year For detailed information on the Joint Venture strategy, please refer to Sansiri’s 2016 Business Plan Conference presentation at: http://www.sansiri.com/pdf/Presentation/sansiri-2016- upwards-and-beyond.pdf

• 6 additional JV projects
• THB 23bn project value

2015 PROJECTS: 100% SOLD OUT 2016 GUIDANCE

prepared by Investor Relations department BTS Group Holdings PCL

Property Update

Property Restructuring

3Q 15/16 earnings presentation Section 2: Business Updates 20

100% 100%

BEFORE PROPERTY RESTRUCTURING

Listed entities Subsidiaries JVs 50% 50% 100% 50% 50% 50% 50% 50% 100% 100% 100% 100% 100% 100% 100% 50% 50% 50% 50% 50% 50% 100% 100% 100%

PROPERTY BTS GROUP

DNAL CO., LTD.

100%

BTS LAND CO., LTD. PRANNAKIRI ASSETS CO., LTD. BAYSWATER CO., LTD. BTS SANSIRI HOLDING ONE LTD.

35.64%

BTS SANSIRI HOLDING TWO LTD. SIAM PAGING AND COMMUNICATION CO., LTD. MUANGTHONG ASSETS CO., LTD. TANAYONG PROPERTY MANAGEMENT CO., LTD. TANAYONG FOOD & BEVERAGE CO., LTD. U CITY PCL YONGSU CO., LTD. MAK8 CO., LTD. THANA CITY GOLF & SPORTS CLUB CO., LTD. BTS SANSIRI HOLDING THREE LTD. BTS SANSIRI HOLDING FOUR LTD. BTS SANSIRI HOLDING FIVE LTD. BTS SANSIRI HOLDING SIX LTD. BTS SANSIRI HOLDING SEVEN LTD. NUVO LINE AGENCY CO., LTD. UNICORN ENTERPRISE CO., LTD. KEYSTONE ESTATE CO., LTD. BTS SANSIRI HOLDING NINE LTD. BTS SANSIRI HOLDING EIGHT LTD.

100%

RATBURANA PROPERTY CO., LTD. KINGKAEW ASSETS CO., LTD. THE COMMUNITY ONE CO., LTD. THE COMMUNITY TWO CO., LTD.

100%

BTS SANSIRI HOLDING ELEVEN LTD. BTS SANSIRI HOLDING TWELVE LTD.

100% 50% 50% 50% 50% 50% 50% 50%

PROPERTY

DNAL CO., LTD.

50%

BTS LAND CO., LTD. PRANNAKIRI ASSETS CO., LTD. BAYSWATER CO., LTD. BTS SANSIRI HOLDING ONE LTD.

35.64%

BTS SANSIRI HOLDING TWO LTD. SIAM PAGING AND COMMUNICATION CO., LTD. MUANGTHONG ASSETS CO., LTD. TANAYONG PROPERTY MANAGEMENT CO., LTD. TANAYONG FOOD & BEVERAGE CO., LTD. U CITY PCL YONGSU CO., LTD. MAK8 CO., LTD. THANA CITY GOLF & SPORTS CLUB CO., LTD. BTS SANSIRI HOLDING THREE LTD. BTS SANSIRI HOLDING FOUR LTD. BTS SANSIRI HOLDING FIVE LTD.

50%

BTS SANSIRI HOLDING SIX LTD.

50%

BTS SANSIRI HOLDING SEVEN LTD. NUVO LINE AGENCY CO., LTD. UNICORN ENTERPRISE CO., LTD. KEYSTONE ESTATE CO., LTD.

50%

BTS SANSIRI HOLDING NINE LTD. BTS SANSIRI HOLDING EIGHT LTD.

BTS GROUP

100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%

Objective: To transfer all investments in property subsidiaries and JVs, land bank and related loans to be under a new holding company, Unicorn Enterprise Co., Ltd. Rationale: To streamline financial reporting and management line

AFTER PROPERTY RESTRUCTURING

prepared by Investor Relations department BTS Group Holdings PCL

Property Update

Property Restructuring (cont’d)

3Q 15/16 earnings presentation Section 2: Business Updates 21

3Q 15/16 Transfer

• Investment in property subsidiaries
• Land at certain locations

Costs

• THB -220mn (corporate income tax)
• THB 45mn (transaction costs; SBT,

stamp duty and land transfer fee) Total costs/(benefits) of THB -175mn Transfer price Sold at BV (below tax cost)

(apply only to investment in subsidiaries)

Timeline Transfer of investment in property subsidiaries/JVs completed in 3Q 15/16 Net cost benefit of THB 175mn NEXT 1-2 QUARTERS Transfer

• The remaining land at Thana

City and other locations Anticipated Costs*

• THB 400mn (corporate income

tax)

• THB 160mn (transaction costs;

SBT and land transfer fee) Total costs of THB 560mn Transfer price At the appraised value Timeline Expected transfer of the remaining land in 4Q 15/16 to 1Q 16/17 Net cost of THB 560mn

• Transferred price
• For investment in property subsidiaries/JVs -> at the book value of the equity
• For land -> at the appraised value by the Department of Land
• Anticipated total cost under property restructuring of THB 385mn

(corporate income tax to be paid of THB 180mn and expenses related to transfer of the property assets of THB 205mn)

* Estimated value, tax and fee are calculated based on the appraised value

• f the land bank as announced for the year 2015 plus 25%

prepared by Investor Relations department BTS Group Holdings PCL

Property Update

Property Restructuring (cont’d)

3Q 15/16 earnings presentation Section 2: Business Updates 22

FS SNAPSHOT

• For separate FS, the property restructuring were transactions ‘under common control’; therefore, gain/loss from the transfers of the

assets are net of transaction costs. These were recorded under “surplus from business restructuring under common control” in shareholders’ equity in the separate B&S (please see in NTFS 6.1.8)

• For consolidated FS, CIT from the restructuring were booked under “corporate income tax” and transaction costs were booked under

“administrative expenses”

Consolidated FS Separate FS Statement of Financial Position Shareholders’ equity Surplus from business restructuring under common control / (gain/loss from assets transfer & transaction costs, net corporate income tax) Statement of Comprehensive Income Administrative expenses / (SBT, stamp duty, land transfer fee) Corporate income tax /

prepared by Investor Relations department BTS Group Holdings PCL

Agenda

Section

1

BTSG 3Q 15/16 FINANCIAL PERFORMANCE

Section

2

Section

3

BUSINESS UPDATES BTSGIF 3Q 15/16 FINANCIAL PERFORMANCE (separate presentation)

APPENDICES

23 3Q 15/16 earnings presentation

prepared by Investor Relations department BTS Group Holdings PCL

Breakdown of Share of Income /(Loss) from Investments

in JVs, Associates & Subsidiary (3Q 15/16)

24 3Q 15/16 earnings presentation Appendix 1: Breakdown of Share of Income (Loss) from Investments

As shown in FS THB mn Share of loss from investments in JVs (71) Share of loss from investments in associates 200 Total 129 As shown in IR Pack THB mn Share of net income in BTSGIF (included in Mass Transit

• perating revenue)

219 Share of net loss in Associates/JVs (excluding shares in BTSGIF) (90) Total share of net income in JVs/Asso. 129 Share on Investments in Joint Ventures % Effective Holding (30 Dec 2015) THB mn ATS (AEON-Rabbit) 51.00% 4 Bayswater 50.00% (5) BTS-SIRI JV projects 50.00% (70) Total (71) Share on Investments in Associates % Effective Holding (30 Dec 2015) THB mn AHS 50.00% 5 BTSGIF 33.33% 219 MACO 18.22% 11 U CITY 35.64% (34) Total 200 Share on Investment in Subsidiary % Effective Holding (30 Dec 2015) THB mn VGI 73.00% N.A.

prepared by Investor Relations department BTS Group Holdings PCL

LINE ROUTE AUTHORISING BODY OPERATE YEAR CONSTRUCTION PROGRESS DISTANCE (KM)

PURPLE BANG YAI - BANG SUE MRTA 2016 UNDER CONSTRUCTION 23.0 BLUE HUA LAMPHONG - BANG KHAE MRTA 2017 UNDER CONSTRUCTION 14.0 BLUE BANG SUE - THA PRA MRTA 2017 UNDER CONSTRUCTION 13.0 DARK RED BANG SUE - RANGSIT SRT 2017 UNDER CONSTRUCTION 26.3 DARK GREEN SOUTH BEARING - SAMUT PRAKARN MRTA 2019 UNDER CONSTRUCTION 12.8 DARK GREEN NORTH MO CHIT – SAPHAN MAI – KHU KHOT MRTA 2020 UNDER CONSTRUCTION 18.4 LIGHT GREEN BANG WA - BOROMMARATCHACHONNANI BMA 2019 7.0 LRT BANG NA - SUVARNABHUMI BMA 2019 18.3 GREY (PHASE I) WATCHARAPHON – THONG LO BMA 2019 16.3 PINK KHAE RAI – PAK GRED – MIN BURI MRTA 2020 – 2021 36.0 DARK GREEN SAMUT PRAKARN - BANGPU MRTA 2018 7.0 YELLOW LAD PRAO – SAM RONG MRTA 2019 30.4 ORANGE TALING CHAN – MIN BURI MRTA 2019 39.8 LIGHT RED BANG SUE - PHAYATHAI – MAKKASAN SRT 2019 9.0 LIGHT RED MAKKASAN – HUA MARK SRT 2019 10.0 DARK RED RANGSIT – THAMMASART UNIVERSITY SRT 2018 10.0 DARK RED BANG SUE - HUA LAMPHONG SRT 2018 6.5

TOTAL (KM) 297.8

297.8KM ONGOING PROJECTS PRIORITISED BY THE GOVERNMENT, 107.5KM UNDER CONSTRUCTION

CORE AND EXTENSIONS TO OUR CURRENT LINES LINES CONNECTING TO OUR LINES

108.8km

BTS Group: Potential DEVELOPER of Mass Transit Extensions

Focused on 6 lines; total length of 108.8km

3Q 15/16 earnings presentation Appendix 2: Target of New Mass Transit Lines 25

Sources: Office of Transport and Traffic Policy and Planning, National Council for Peace and Order, Mass Rapid Transit Authority of Thailand, Bangkok Metropolitan Administration, Ministry of Transport

prepared by Investor Relations department BTS Group Holdings PCL

BTS Group: Potential DEVELOPER of Mass Transit extensions

BTSG well-positioned for new contracts

3Q 15/16 earnings presentation Appendix 2: Target of New Mass Transit Lines 26

• BTSG is WELL-POSITIONED FOR

NEW CONTRACTS

• Relevant expertise
• Financial strength
• Green line advantage
• New contracts are expected to be on a

‘PPP GROSS COST BASIS’

• Operator to invest in E&M

works with repayment from government

• Operator given operation

contract

• Variations will be considered

PINK LINE

• Khae Rai – Min Buri (36.0km)
• Expected turnkey bidding: 2016
• Target operation: 2020 – 2021

DARK GREEN NORTH LINE

• Mo Chit – Saphan Mai – Khu Khot (18.4km)
• Civil works progress: 3.2% (as of Jan 2016)
• Expected O&M award: mid 2016
• Target operation: 2020

GREY LINE

• Watcharaphol – Rama 9 Bridge (26.0km)
• Awaiting EIA approval
• Expected bidding (Phase I): late 2016
• Target operation (Phase I): 2019

Phase I: Watcharaphol – Thong Lo (16.3km)

LIGHT RAIL TRANSIT (LRT)

• Bang Na – Suvarnabhumi (18.3km)
• Expected bidding: 2016
• Target operation: 2019

DARK GREEN SOUTH LINE

• Bearing – Samut Prakarn (12.8km)
• Civil works progress: 77.3% (as of Jan 2016)
• Expected O&M award: mid 2016
• Target operation: late 2019

Sources: Office of Transport and Traffic Policy and Planning, Mass Rapid Transit Authority of Thailand, Bangkok Metropolitan Administration, Ministry of Transport

LIGHT GREEN LINE

• Bang Wa – Borommaratchachonnani (7.0km)
• Expected O&M award: 2017
• Target operation: 2019

prepared by Investor Relations department BTS Group Holdings PCL

Nuvo Line Transaction

Transaction Summary

27 3Q 15/16 earnings presentation Appendix 3: Nuvo Line Transaction Summary

BTS

Nuvo Line Agency Co., Ltd.

100%

Property

i.e. Abstracts Condo

• Land
• Property development

Before

BTS

50%

After

BTS’s wholly owned subsidiary

• On 6 Oct 2015, BTS disposed 50% shares in Nuvo Line to SIRI
• Objective is to turn Nuvo Line into another 50:50 joint venture company under SAFA between company and SIRI
• The selling price as of 25 Sep 2015 of THB 769.1mn is based on the negotiation between BTS and SIRI
• As of December 2015, all remaining units of Abstracts Condominium (Tower A) have been sold under BTS-SIRI JVs.

Nuvo Line Agency Co., Ltd. i.e. Abstracts Condo

• Land
• Property development

BTS’s joint venture

Property SIRI

50%

prepared by Investor Relations department BTS Group Holdings PCL

Bayswater Transaction

Transaction Summary

• Bayswater (50:50 affiliated company of BTS and

GLAND), won the auction for a land plot at Phaholyothin Road.

• This project is excluded from the strategic alliance

framework with SIRI.

3Q 15/16 earnings presentation Appendix 4: Bayswater Transaction Summary

Land Price THB 7,350mn Ownership Freehold Area 48 – 2 – 96.8 Rai (77,987.2sqm) BTS Proximity 200m from N10, future Green Line North station

Land Details

28

prepared by Investor Relations department BTS Group Holdings PCL

Bill of Exchange (B/E) Issuance

3Q 15/16 earnings presentation Appendix 5: Bill of Exchange Issuance Details 29

SEC approved a shelf filing for Bill of Exchange Issuance and Offering with details below: Issuer BTS Group Holdings PCL Product Bill of Exchange Offering Type Private Placement, offering to Institutional Investors or High Net Worth Investors Tenor Not over 270 days Size Not exceeding THB 8,000mn (Revolving Basis)* Collateral Clean Repayment Bullet upon maturity Interest Payment At maturity Objective Working Capital Management Effective Date 8 Feb 16 – 7 Feb 17

*If there is any redemption of the bills of exchange, the redeemed amount can be reissued, provided that the total

• utstanding value of the bills of exchange shall not exceed THB 8,000mn.