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NINE MONTHS 2018 FINANCIAL RESULTS ANALYSTS’ BRIEFING
07 NOVEMBER 2018
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TABLE OF CONTENTS
Consolidated Financial Highlights Page 3
POWER
Financial Highlights 4
Expansion Updates 5
TOLLROADS
Financial Highlights 6
Expansion Updates 7
WATER
Financial Highlights 9
Metropac Water 10
HOSPITALS
Financial Highlights 11
RAIL, LOGISTICS AND OTHERS
Financial Highlights 12
Regulatory Matters 13
Stand-alone Portfolio Company Results and Key
Metrics
Page
14
POWER
MERALCO 9M 2018 Highlights and Key Metrics 15
GBPC 9M 2018 Highlights and Key Metrics 16
TOLLROADS
MPTC 9M 2018 Highlights 17
Key Metrics and Priorities 18
WATER
Maynilad 9M 2018 Highlights and Key Metrics 19
HOSPITALS
MPHHI 9M 2018 Highlights and Key Metrics 20
RAIL
LRMC 9M 2018 Highlights and Key Metrics 21
Quarterly Highlights 22
Balance Sheet 25
3
8% increase in Core Income was driven by:
Expanded Power portfolio through increased investment
in Beacon Electric Asset Holdings Inc. in 2017
Robust traffic growth on all domestic roads
Steady volume growth coupled with inflation-linked tariff
increase in Maynilad
Increase in interest expense is due to a) loan drawdowns
amounting to P15.4 billion in 9M 2018 (proceeds were used to
fund various investments of the group); and b) interest accretion
on payable to PCEV for the additional stake in Beacon
Non-core income in 9M 2018 driven mainly by foreign exchange
gains at MERALCO
3Q18 vs 3Q17 flat on slower volumes and rising finance cost on
new investments
CONSOLIDATED FINANCIAL HIGHLIGHTS
MPIC Group Aggregated Revenues(1) grew by 8% from
P280.3 billion to P302.9 billion
EARNINGS CONTRIBUTION MIX
In Millions of Pesos 9M 2018 9M 2017 % Change
MPIC share
Power 8,503 7,573 12%
Toll Roads 3,256 2,996 9%
Water 3,047 2,801 9%
Hospitals 586 518 13%
Rail 299 210 42%
Others (273) (37) 638%
Share of operating income 15,418 14,061 10%
Head office expenses (839) (860) -2%
Interest expense (2,388) (1,871) 28%
Core income 12,191 11,330 8%
Non-core income (expense) 297 (202) -247%
Reported income 12,488 11,128 12%
In Centavos
Diluted EPS on core income 38.62 35.90 8%
9M 2018 9M 2017
9M 2018 CORE INCOME UP 8% TO P12.2BEarnings driven by strong volume growth across the portfolio and increased investment in the power sector
(1) Aggregated revenues include revenues of equity-accounted investees
Water20%
Power 55%
Toll Roads21%
Hospitals and Others
4% Water20%
Power 54%
Toll Roads21%
Hospitals and Others
5%
YTD 3Q
• Power distribution in Luzon ↑ 5% ↑ 2%
• Power sold in Visayas ↑ 12% ↓ 5%
• Domestic toll road traffic ↑ 7% ↑ 4%
• Water sold in West Metro Manila ↑ 3% ↑ 2%
• Hospital group census ↑ 11% ↑ 9%
POWER
4
CONTRIBUTION UP BY 12% TO P8.5BDeepened participation in the Philippine Power sector
*Effective interest in GBPC as of 27 May 2016 was 48%; stepped-up to 62%
beginning 27 June 2017
**Increased economic interest from 50% to 75% in May 2016, increased further to
100% in June 2017
12% increase in contribution from the Power business was
driven by:
MERALCO
Increase in effective ownership from 41.2% to 45.5%
5% growth in energy sales
GLOBAL BUSINESS POWER CORPORATION
Increase in effective ownership from 47.8% to 62.4%
12% growth in energy sales
Offset by:
o Lower margins
o Planned maintenance shutdown of Unit 2 of PEDC
and Unit 3 of CEDC
o Higher interest and depreciation following full
Commercial Acceptance of PEDC3 on 31 May 2018
In Millions of Pesos
CONTRIBUTION TO MPIC 9M 2018 9M 2017 %
MERALCO (from 41.2% to 45.5%) 7,586 6,559 16%
GBPC (from 47.8% to 62.4%)* 1,184 1,126 5%
Beacon**/FV and accounting adj. (267) (112) 138%
8,503 7,573 12%
STAND-ALONE PERFORMANCE 9M 2018 9M 2017 %
Financial Highlights
Revenues 227,411 214,389 6%
Core EBITDA 26,565 26,268 1%
Core income 16,686 15,370 9%
Reported income 18,212 15,928 14%
Capital expenditure 10,111 8,076 25%
Key Performance Indicators
Energy sales (in GWh) 32,921 31,401 5%
Financial Highlights
Revenues 20,172 17,227 17%
Core EBITDA 6,779 6,979 -3%
Core income 1,899 2,079 -9%
Reported income 1,916 2,034 -6%
Capital expenditure 452 1,141 -60%
Key Performance Indicators
Energy sales (in GWh) 3,656 3,278 12%
MERALCO
GLOBAL BUSINESS POWER CORPORATION (GBPC)
POWER
5
EXPANSION UPDATES
Alsons Thermal Energy Corporation
● 105 MW Expansion Plant, Saranggani – on track to commence operations in 2019
1x455MW (net) San Buenaventura Power, Quezon (Target completion in 2019)
● Ongoing construction proceeding as scheduled – 94% EPC overall work progress as of September
2018
● Commercial operation due in third quarter of 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
● Registered as Preferred Pioneer Enterprise by the Board of Investments (BOI)
● Examining feasibility of 600MW on a merchant basis if no PSA
MERALCO
GLOBAL BUSINESS POWER CORPORATION
METROPAC CLEAN ENERGY
Quezon City Waste to Energy Project (P15.3 billion project cost for Phase 1)
● Aims to convert approximately 2,300 tons of waste to 35 MW of energy
● Granted original proponent status
● Ongoing Swiss Challenge; target bid deadline January 2019
TOLL ROADS
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9% increase in contribution from the Toll Roads
business was driven by:
Strong traffic growth on all domestic roads
11% increase in NLEX Closed System toll rate per
kilometer implemented in November 2017
CONTRIBUTION UP BY 9% TO P3.3B Robust traffic growth
In Millions of Pesos
CONTRIBUTION TO MPIC 9M 2018 9M 2017 %
Metro Pacific Tollways (99.9%) 3,273 3,020 8%
Fair value adjustments (17) (24) -29%
3,256 2,996 9%
STAND-ALONE PERFORMANCE 9M 2018 9M 2017 %
Financial Highlights
Revenues 11,251 9,605 17%
Core EBITDA 7,778 6,259 24%
Core income 3,277 3,024 8%
Reported income 3,312 4,507 -27%
Capital expenditure 6,748 3,988 69%
Key Performance Indicators
Average Daily Vehicle Entries
NLEX 250,992 233,332 8%
CAVITEX 143,907 137,627 5%
SCTEX 61,071 53,407 14%
DMT / CII / NUS 444,535 150,536 195%
METRO PACIFIC TOLLWAYS CORPORATION
o Growth in NLEX and SCTEX was a result of the
integration of these two roads and the opening of
additional lanes in 2017
o Increase in CAVITEX traffic driven by growth in
residential communities in Cavite and tourism in
Batangas
o 55% increase in system-wide average daily vehicles
entries to 916,169 due mainly to the traffic contribution
of PT Nusantara
TOLL ROADS EXPANSION UPDATES
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
(Segment 10)
5.8 10.5 2018 99% Ongoing construction
NLEX Lane Widening
(Phase 2)
N/A 2.1 2020 N/A Ongoing procurement of contractor
NLEX Harbour Link
(Radial Road 10)
2.6 6.7 2019 92% Ongoing construction
CAVITEX Segment 4 Extension 1.2 1.2 2021 85% Ongoing pre-construction activities
CAVITEX - C5 South Link 7.7 12.7 2021 75% Seg. 3A Ph.1 - Ongoing
construction
NEW ROAD PROJECTS AWARDED
NLEX-SLEX Connector Road 8.0 23.3 2021 59% Ongoing ROW acquisition
Cebu Cordova Link
Expressway
8.5 26.6 2021 100% Ongoing construction
Cavite Laguna
Expressway
45.4 16.6 2021 40% Laguna segment - Ongoing
construction
TOTAL 79.2 99.7
Unsolicited Proposal - Cavite Tagaytay Batangas Expressway (50.4 km, P25.0 billion project cost)
o Granted Original Proponent Status by DPWH
PHILIPPINES
TOLL ROADS EXPANSION UPDATES
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REGIONAL INVESTMENTS
INDONESIA – PT NUSANTARA INFRASTRUCTURE
• Increased stake to 77.94% on a fully-diluted basis as a result of General Offer
• Pettarani Toll Road Project (4.4 km)
o Project Cost: P8.4 Billion
o Target completion in 2020
THAILAND – DON MUANG TOLLWAYS
• Seeking new operations and maintenance projects from Thailand Department of
Highways
o Bid submission in 4Q 2018
VIETNAM – CII Bridges & Roads
• Hanoi Highway Expansion (15.7 km)
o Project Cost: P5.4 Billion
o Phase 1 – began operations in 4Q 2018
o Phase 2 – target completion in 2021
• Rach Mieu 2 (22.4 km)
o Project Cost: P3.7 Billion
o Target completion in 2019
WATER
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In Millions of Pesos
CONTRIBUTION TO MPIC 9M 2018 9M 2017 %
Maynilad (52.8%) 3,237 2,943 10%
Fair value adjustments (148) (144) 3%
Metropac Water Investments Corp. (42) 2 -2200%
3,047 2,801 9%
STAND-ALONE PERFORMANCE 9M 2018 9M 2017 %
Financial Highlights
Revenues 16,553 15,578 6%
Core EBITDA 11,698 10,764 9%
Core income 6,130 5,575 10%
Reported income 5,856 5,105 15%
Capital expenditure 9,016 7,693 17%
Key Performance Indicators
Billed volume (In MCM) 394 383 3%
*Non-revenue water % - average 30.5% 32.2% -5%
*Non-revenue water % - period end 29.1% 32.5% -10%
MAYNILAD WATER SERVICES INC.
9% increase in contribution from the Water
business was driven by:
MAYNILAD WATER SERVICES, INC.
3% volume growth
Inflationary tariff increase of 1.9% in April 2017
and 2.8% in January 2018
METROPAC WATER INVESTMENTS CORP.
Lower contracting volume at Ecosystems
Higher interest expense from loan drawdown
*Measured at the District Metered Area level
CONTRIBUTION UP BY 9% TO P3.0B Volume growth and inflationary increase
WATER
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Industrial
Water
Municipal Water
In Aggregate Bulk Distribution Total
Max. Potential Volume (mld) 660 305 88 1,053
Installed Capacity (mld) 335 141 38 514
Billed Volume (mld)* 103 121 26 250
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) 179 335 514
OVERVIEW OF EXISTING PORTFOLIO
EXPANSION
▪ Organic growth potential – 264 mld
▪ Investment growth potential – 539 mld
• 2018 acquisitions include Phu Ninh (45% in May) and Tuan Loc (49% in June). Phu Ninh to supply
water starting January 2019
• Signing of the Joint Venture Agreement for the Metro Iloilo Distribution project in November 2018
HOSPITALS
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In Millions of Pesos
CONTRIBUTION TO MPIC 9M 2018 9M 2017 %
Metro Pacific Hospital Holdings (60.1%) 681 578 18%
Hospital admin and fair value adjustments (95) (60) 58%
586 518 13%
STAND-ALONE PERFORMANCE 9M 2018 9M 2017 %
Financial Highlights
Revenues 18,932 16,522 15%
Core EBITDA 4,148 3,629 14%
Core income 1,771 1,510 17%
Reported income 1,778 1,518 17%
Capital expenditure 2,728 2,478 10%
Key Performance Indicators
Total beds available 3,187 2,967 7%
Average standard occupancy rate 67.4% 66.2% 2%
No. of in-patients 143,579 124,573 15%
No. of out-patients 2,534,985 2,293,042 11%
HOSPITALS (AGGREGATE)
CONTRIBUTION UP BY 13% TO
P586M Strong growth and continuing expansion
13% increase in contribution from the Hospital
business was a function of:
15% growth in revenues
● 12% is attributable to organic growth driven by
increased patient census across all hospitals
● 3% is attributable to contribution from new
hospital acquisition - St. Elizabeth Hospital
Offset by:
Higher head office expenses
Higher start-up costs for new service centers
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RAIL
42% growth contribution from the Rail business was a
function of:
5% growth in average daily ridership
Higher advertising income and lower repairs and
maintenance expenses
Lower provision for income tax due to effectivity of
Income Tax Holiday beginning 01 January 2018
In Millions of Pesos
RAIL
CONTRIBUTION TO MPIC 9M 2018 9M 2017 %
Light Rail Manila (55.0%) 299 209 43%
Holding company admin - 1 -100%
299 210 42%
STAND-ALONE PERFORMANCE 9M 2018 9M 2017 %
Financial Highlights
Farebox revenues 2,440 2,327 5%
Core EBITDA 697 590 18%
Core income 544 380 43%
Reported income 560 372 51%
Capital expenditure 5,087 3,666 39%
Key Performance Indicators
Average daily ridership 452,892 431,464 5%
OTHERS
CONTRIBUTION TO MPIC 9M 2018 9M 2017 %
Indra Philippines (25.0%) 27 31 -13%
AF Payments Inc. (20.0%) - (68) -100%
Metropac Movers Inc.* (296) - -100%
Others (4) - -100%
(273) (37) 638%
LIGHT RAIL MANILA CORPORATION
*Acquired in May 2016; increased effective interest from 76.0% to 100% in 28 February
2018
RAIL, LOGISTICS AND OTHERS Expansion and rehabilitation to cater to fast growing demand
LOGISTICS
19% growth in Revenues due to expanded
warehousing and freight forwarding business
o 7% rise in average warehouse dispatch to over
46.3 million cases
Offset by:
Build-up of operating costs and support services to
sustain future business wins
Losses in the trucking division due to insufficient
drivers and low fleet utilization
REGULATORY MATTERS
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Resolution of our various regulatory challenges is necessary for us to remain on track with our investment program
Accumulated Revenue Losses as of September 30, 2018 at P23.9 billion
WATER
16.2% tariff increase awarded following constructive rate rebasing
Singapore High Court upholds Arbitral Award in favor of Maynilad; dismisses Philippine Republic’s
Setting Aside application
TOLLROADS
Awaiting official notice to publish new toll rates (staggered basis)
RAIL
LRTA endorsed application for fare increase to DOTR
Oct 2018 P0.90
2020 P1.95
2021 P1.95
2022 P0.93
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STAND-ALONE PORTFOLIO COMPANY RESULTS
AND KEY METRICS
POWER
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MERALCO 9M 2018 HIGHLIGHTS
AND KEY METRICS
6% Increase in Electricity Revenues was a function of:
5% growth in total energy sales from 31,401 GWh to 32,921 GWh
(4% ↑ commercial, 3% ↑ residential, and 7% ↑ industrial sector)
3% growth in distribution revenues due to increase in volume sold
7% increase in pass-through revenues driven by the increase in fuel
prices in the world market, weakening of the peso against the U.S.
dollar and higher WESM prices
11% increase in non-electricity revenues was due to growth in Radius
enterprise sales and increased bills payment in Bayad Center
In Millions of Pesos 9M 2018 9M 2017 %
MERALCO (from 41.2% to 45.5%) 7,586 6,559 16%
GBPC (from 47.8% to 62.4%)* 1,184 1,126 5%
Beacon**/FV and accounting adj. (267) (112) 138%
8,503 7,573 12%
In Millions of Pesos 9M 2018 9M 2017 %
Electricity 221,266 208,848 6%
Non-Electricity 6,145 5,541 11%
Total revenues 227,411 214,389 6%
Purchased power (174,461) (162,777) 7%
Operating expenses (32,499) (31,031) 5%
Other income 885 1,019 -13%
Provision for income tax (4,597) (6,140) -25%
Non-controlling interests (53) (90) -41%
Core income 16,686 15,370 9%
Non-core income 1,526 558 173%
Reported net income 18,212 15,928 14%
Core EBITDA Computation:
Core income 16,686 15,370 9%
Depreciation and amortization 5,473 5,231 5%
Interest income -net (545) (486) 12%
Provision for income tax 4,597 6,140 -25%
Others 354 13 2623%
Core EBITDA 26,565 26,268 1%
KEY METRICS 9M 2018 9M 2017
Number of customer
accounts
6.54M 6.25M
Capital Expenditure 10,111 8,076
Energy Sales
Residential 10,111 9,815
Commercial 12,938 12,382
Industrial 9,768 9,102
Streetlights 104 102
Total (in GWh) 32,921 31,401
*Effective interest of GBPC as of 27 May 2016 was 48%; stepped-up to 62%
beginning 27 June 2017
**Increased economic interest from 50% to 75% in May 2016, increased
further to 100% in June 2017
POWER
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GBPC 9M 2018 HIGHLIGHTS
AND KEY METRICS
Revenue growth was driven by higher coal prices and increased
WESM demand
Core Income slowed further due to PEDC3 recognition of interest
and depreciation starting June 2018
In Millions of Pesos 9M 2018 9M 2017 %
Power billings 20,066 17,160 17%
Coal sales 106 67 58%
Total revenues 20,172 17,227 17%
Power plant costs (10,892) (7,941) 37%
Operating expenses (4,494) (4,148) 8%
Interest expense - net (1,602) (1,363) 18%
Other income 120 111 8%
Share in earnings of associates 204 - 100%
Provision for income tax (812) (1,039) -22%
Non-controlling interests (797) (768) 4%
Core income 1,899 2,079 -9%
Non-core income (expense) 17 (45) -138%
Reported net income 1,916 2,034 -6%
Core EBITDA Computation:
Core income 1,899 2,079 -9%
Depreciation and amortization 1,873 1,730 8%
Interest expense - net 1,602 1,363 18%
Provision for income tax 812 1,039 -22%
Non-controlling interests 797 768 4%
Others (204) - -100%
Core EBITDA 6,779 6,979 -3%
VOLUME SOLD
(In GWh)
REVENUES
(In Millions of Pesos)
9M 2018 9M 2017 9M 2018 9M 2017
CEDC (Cebu) 1,398 1,281 7,306 6,518
TPC (Toledo) 651 617 2,897 2,584
PEDC (Panay) 1,366 1,292 7,982 6,884
PPC (Panay) 44 82 463 776
GBH (Mindoro) 24 32 189 203
GESC (RES) 364 285 2,099 1,563
GTERC (TCITRC) - - 171 153
Others/Elimination (191) (311) (935) (1,454)
TOTAL 3,656 3,278 20,172 17,227
TOLL ROADS
(a) CII BR includes roads under pre- and on-going construction(b) Decrease in traffic with end of concession for the Rach Chiec Bridge; Hanoi Highway expected to start operations in 4Q2018
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MPTC 9M 2018 HIGHLIGHTS
PHILIPPINES
Net Toll Revenues increased due to:
NLEX - Revenues up by 13% from P7,116 million to P8,069 million
• 8% increase in average daily vehicle entries (open and closed
systems) from 233,332 to 250,992
• 6% increase in average daily kilometers travelled from 4.6 million to
4.9 million
• 11% increase in closed system toll rate per kilometer implemented in
November 2017
CAVITEX - Revenues up by 8% from P1,121 million to P1,209 million
• 5% increase in average daily vehicle entries from 137,627 to 143,907
SCTEX - Revenues up by 15% from P1,368 million to P1,568 million
• 14% increase in average daily vehicle entries from 53,407 to 61,071
Faster growth in Core EBITDA due to cost savings from synergies with
Tollways Management Corp.
Slower growth in Core Income due to reduced contribution from foreign
investments (net of financing costs)
REGIONAL
In Millions of Pesos 9M 2018 9M 2017 %
Stand-alone Core Income 3,277 3,024 8%
MPTC (99.9%) 3,273 3,020 8%
Fair Value Adjustments (17) (24) -29%
MPIC Share 3,256 2,996 9%
In Millions of Pesos 9M 2018 9M 2017 %
Net toll revenues 11,251 9,605 17%
Cost of services (3,858) (3,420) 13%
Gross profit 7,393 6,185 20%
Operating expenses (1,478) (1,034) 43%
Other income and expense - net 594 186 219%
Share in earnings of associates 606 507 20%
Interest expense - net (1,308) (953) 37%
Provision for income tax (1,377) (998) 38%
Non-controlling interest (1,153) (869) 33%
Core income 3,277 3,024 8%
Non-core income 35 1,483 -98%
Reported net income 3,312 4,507 -27%
Core EBITDA Computation:
Core income 3,277 3,024 8%
Depreciation and amortization 1,306 922 42%
Interest expense - net 1,308 953 37%
Provision for income tax 1,377 998 38%
Non-controlling interest 1,153 869 33%
Others (643) (507) 27%
Core EBITDA 7,778 6,259 24%
9M 2018 CII BR(b) DMT NUS
Toll Revenues 665 3,707 1,188
Core Income (15) 1,765 360
Traffic (In ‘000) 33 100 312
Length (In km)(a) 146.1 21.9 34.5
9M 2017 CII BR (b) DMT NUS
Toll Revenues 544 3,266 1,117
Core Income 89 1,533 201
Traffic (In ‘000) 53 98 305
Length (In km)(a) 144.8 21.9 34.5
% Traffic Growth -38% 2% 2%
TOLL ROADS KEY METRICS AND
PRIORITIES
18
KEY METRICS 9M 2018 9M 2017
NLEXClass 1 Tariff: Open system - P40.6/entry
/ Closed system - P2.6/km
Average Daily Vehicle Entries (Open & Closed)
Class 1 194,668 180,209
Class 2 34,700 33,078
Class 3 21,624 20,045
Total 250,992 233,332
Average Daily Vehicle Entries (Open)
Class 1 148,365 137,958
Class 2 27,980 26,700
Class 3 16,751 15,724
Total 193,096 180,383
Average Daily Kilometers Travelled (In 000 km)
Class 1 3,675 3,431
Class 2 729 702
Class 3 485 465
Total 4,889 4,598
CAVITEX
Class 1 Tariff/entry: R1 - P21.4 / R1 extension - P57.1)
Average Daily Vehicle Entries
Class 1 128,118 122,599
Class 2 10,182 9,986
Class 3 5,607 5,042
Total 143,907 137,627
SCTEX (Class 1 Tariff: P2.7/km)
Average Daily Vehicle Entries
Class 1 49,537 43,621
Class 2 7,068 6,014
Class 3 4,466 3,772
Total 61,071 53,407
STATUS OF NEW ROADS
Ongoing Construction
● Harbour Link Segment 10 – expected to be completed within 2018
● CAVITEX C5 South Link – target completion in 2021
● Cavite Laguna Expressway (Laguna segment)
o Laguna Boulevard to Mamplasan target completion in 2019
o Silang to Laguna Blvd target completion in 2020
o Kawit to Silang target completion in 2021
Ongoing Right-of-Way Acquisition
● NLEX Harbour Link Radial Road 10 – target completion in 2019
● NLEX-SLEX Connector Road – target completion in 2021
● Cavite Laguna Expressway – target completion in 2021 including the Cavite
segment
● Cebu-Cordova Link Expressway – target completion in 2021
WATER
19
MAYNILAD 9M 2018 HIGHLIGHTS
AND KEY METRICS
MAYNILAD
Revenues increased by 6% due to :
3% growth in billed volume from 383.4 MCM to 394.4 MCM
▪ 4% increase in billed customers from 1,347,747 to
1,395,958
Inflationary increase in tariff (1.9% in April 2017 and 2.8% in
January 2018)
Faster growth in Core Income due to lower interest expense
Non-Core Expense comprises of refinancing costs lower than last
year’s one-time separation pay
In Millions of Pesos 9M 2018 9M 2017 %
Stand-alone Core Income 6,130 5,575 10%
Maynilad (52.8%) 3,237 2,943 10%
Fair Value Adjustments (148) (144) 3%
Metropac Water Investments (42) 2 -2200%
MPIC Share 3,047 2,801 9%
In Millions of Pesos 9M 2018 9M 2017 %
Revenues 16,553 15,578 6%
Cost of services (4,772) (4,467) 7%
Gross profit 11,781 11,111 6%
Operating expenses (2,165) (2,017) 7%
Other income and expense - net (119) (306) -61%
Interest expense - net (1,260) (1,276) -1%
Provision for income tax (2,107) (1,937) 9%
Core income 6,130 5,575 10%
Non-core expenses (274) (470) -42%
Reported net income 5,856 5,105 15%
Core EBITDA Computation:
Core income 6,130 5,575 10%
Depreciation and amortization 2,201 1,976 11%
Interest expense - net 1,260 1,276 -1%
Provision for income tax 2,107 1,937 9%
Core EBITDA 11,698 10,764 9%
KEY METRICS 9M 2018 9M 2017
NRW
Average 30.5% 32.2%
Period end 29.1% 32.5%
Coverage
Total population 10.16M 10.06M
Population coverage 9.52M 9.36M
24hr availability 98% 98%
Minimum 16 psi 69% 70%
Customer Mix
Residential 80.7% 81.0%
Commercial 19.3% 19.0%
Capital Expenditure 9,016 7,693
HOSPITALS
20
MPHHI 9M 2018 HIGHLIGHTS
AND KEY METRICS
In Millions of PesosStand-alone Core Income MPIC Share
9M 2018 9M 2017 % 9M 2018 9M 2017
Asian Hospital 365 347 5% 188 179
Cardinal Santos 223 178 25% 134 107
Riverside 153 147 4% 71 69
Makati Medical 377 287 31% 75 57
Davao Doctors 187 160 17% 42 34
Marikina Valley 98 78 26% 55 43
Manila Doctors 187 144 30% 22 17
Others 181 169 7% 94 72
Total 1,771 1,510 17% 681 578
Hospital Admin/FV adjustments (95) (60)
MPIC Share 586 518
Growth in Gross Revenues was driven by :
Increase in patient numbers
o Out-patients – 11%
o In-patients – 15%
Contribution from St. Elizabeth Hospital
Stand-alone Core Income and MPIC share breakdown as follows:
In Millions of Pesos 9M 2018 9M 2017 %
Stand-alone Core Income 1,771 1,510 17%
Metro Pacific Hospital Holdings (60.1%) 681 578 18%
Admin and fair value adjustments (95) (60) 58%
MPIC Share 586 518 13%
In Millions of Pesos 9M 2018 9M 2017 %
Gross revenues 18,932 16,522 15%
Discounts (1,858) (1,536) 21%
Net revenues 17,074 14,986 14%
Cost of supplies (7,484) (6,348) 18%
Gross profit 9,590 8,638 11%
Operating expenses (7,287) (6,663) 9%
Interest expense (167) (159) 5%
Noncontrolling interest (2) (2) 0%
Other income 405 345 17%
Provision for income tax (768) (649) 18%
Core income 1,771 1,510 17%
Non-core income 7 8 -13%
Reported net income 1,778 1,518 17%
Core EBITDA Computation:
Core income 1,771 1,510 17%
Depreciation and amortization 1,442 1,310 10%
Interest expense 167 159 5%
Provision for income tax 768 649 18%
Core EBITDA 4,148 3,629 14%
KEY METRICS 9M 2018 9M 2017
Total number of beds 3,187 2,967
Number of accredited doctors 8,613 7,781
Number of enrollees 6,738 6,236
Average standard occupancy
rate67.4% 66.2%
Number of patients
In-patient 143,579 124,573
Out-patient 2,534,985 2,293,042
RAIL
21
LRMC 9M 2018 HIGHLIGHTS
AND KEY METRICS
Rail Revenues increased due to:
5% growth in average daily ridership from 431,464 to
452,892
7% increase in LRVs from 105 to 112 – successfully
restored 35 LRVs thereby reducing waiting time for
passengers to 3.5 minutes from more than five minutes
when LRMC took over in 2015
Faster growth in Core Income due to lower provision for income
tax due to effectivity of Income Tax Holiday beginning 01
January 2018
In Millions of Pesos 9M 2018 9M 2017 %
Stand-alone Core Income 544 380 43%
LRMC (55%) 299 209 43%
Holding company admin - 1 -100%
MPIC Share 299 210 42%
In Millions of Pesos 9M 2018 9M 2017 %
Rail revenue 2,440 2,327 5%
Cost of services (1,435) (1,378) 4%
Gross profit 1,005 949 6%
Operating expenses (490) (464) 6%
Other income and expense - net 112 59 90%
Interest expense - net (15) (3) 400%
Provision for income tax (68) (161) -58%
Core income 544 380 43%
Non-core income (expenses) 16 (8) -300%
Reported net income 560 372 51%
Core EBITDA Computation:
Core income 544 380 43%
Depreciation and amortization 70 46 52%
Interest expense - net 15 3 400%
Provision for income tax 68 161 -58%
Core EBITDA 697 590 18%
22
QUARTERLY HIGHLIGHTS
QUARTERLY HIGHLIGHTS
23
METRO PACIFIC TOLLWAYS 1Q 2018 2Q 2018 3Q 2018
FINANCIAL HIGHLIGHTS (In Millions of Pesos)
Net Revenues 3,587 3,802 3,862
Core EBITDA 2,497 2,684 2,597
Core Income 1,108 1,188 981
Reported Income 1,072 1,173 1,067
KEY METRICS
NLEX
Average Daily Vehicle Entries (Open & Closed)
Class 1 195,406 201,085 187,528
Class 2 34,259 35,358 34,479
Class 3 21,324 22,034 21,511
Total 250,989 258,477 243,518
Average Daily Kilometers Travelled (In thousands of kms)
Class 1 3,730 3,971 3,326
Class 2 733 752 701
Class 3 485 497 474
Total 4,948 5,220 4,501
CAVITEX
Average Daily Vehicle Entries
Class 1 130,138 130,149 124,133
Class 2 10,354 10,154 10,042
Class 3 5,667 5,706 5,448
Total 146,159 146,009 139,623
SCTEX
Average Daily Vehicle Entries
Class 1 49,195 54,178 45,173
Class 2 6,721 7,497 6,961
Class 3 3,896 4,627 4,909
Total 59,812 66,302 57,043
MERALCO 1Q 2018 2Q 2018 3Q 2018
FINANCIAL HIGHLIGHTS (In Millions of Pesos)
Total Revenues 70,807 79,737 76,867
Core EBITDA 8,688 8,897 8,980
Core Income 4,917 5,934 5,835
Reported Income 5,312 6,661 6,239
KEY METRICS
Number of customers 6.40M 6.47M 6.54M
Energy Sales
Residential 2,999 3,716 3,396
Commercial 4,036 4,466 4,436
Industrial 3,076 3,303 3,389
Streetlights 34 35 35
Total (in gWh) 10,145 11,520 11,256
24
MAYNILAD 1Q 2018 2Q 2018 3Q 2018
FINANCIAL HIGHLIGHTS (In Millions of Pesos)
Revenues 5,246 5,715 5,592
Core EBITDA 3,416 4,499 3,783
Core Income 1,628 2,598 1,904
Reported Income 1,350 2,607 1,899
KEY METRICS
Billed volume (In MCM) 126.5 134.5 133.4
Billed customers 1,373,564 1,386,504 1,395,958
Non-revenue water
Average 32.4% 29.7% 29.4%
Period end 30.5% 28.9% 29.1%
Service levels
24-hour coverage 97.8% 97.6% 97.7%
Minimum 16 psi 67.5% 68.1% 68.7%
HOSPITALS - AGGREGATE 1Q 2018 2Q 2018 3Q 2018
Revenues 6,143 6,045 6,744
Core EBITDA 1,355 1,206 1,591
Core Income 583 462 732
Reported Income 585 465 734
Total number of beds 3,214 3,197 3,187
Number of accredited doctors 8,194 8,243 8,613
Number of enrollees 7,731 5,895 6,738
FINANCIAL HIGHLIGHTS (In Millions of Pesos)
KEY METRICS
LIGHT RAIL MANILA 1Q 2018 2Q 2018 3Q 2018
FINANCIAL HIGHLIGHTS (In Millions of Pesos)
Net Revenues 803 791 846
Core EBITDA 233 223 241
Core Income 164 209 171
Reported Income 166 223 171
KEY METRIC
Average Daily Ridership 459,417 447,432 452,892
QUARTERLY HIGHLIGHTS
25
BALANCE SHEET(Tentative)
26
METRO PACIFIC INVESTMENTS
CORPORATION – PARENT
BALANCE SHEET BALANCE SHEET (continued)
In PhP Millions Sept 2018 Dec 2017 In PhP Millions Sept 2018 Dec 2017
ASSETS LIABILITIES AND EQUITY
CURRENT ASSETS CURRENT LIABILITIES
Cash and short-term investments 5,687 14,545 Accounts payable and other current liabilities 2,439 1,242
Receivables - net 103 102 Due to related parties 4,336 4,165
Other current assets 664 378 Current portion of long-term debt 1,711 971
Total Current Assets (1) 6,454 15,025 Total Current Liabilities (1) 8,486 6,378
NONCURRENT ASSETS NONCURRENT LIABILITIES
Investments and advances to subs., associates & JVs 190,938 173,582 Noncurrent portion of long-term debt 59,608 45,850
Other noncurrent assets 500 715 Due to related parties 7,296 11,767
Total Noncurrent Assets 191,438 174,297 Other noncurrent liabilities 734 1,192
Total Noncurrent Liabilities 67,638 58,809
TOTAL ASSETS 197,892 189,322
Total Liabilities 76,124 65,187
EQUITY
Capital stock 31,631 31,626
Additional paid-in capital 68,487 68,465
Treasury shares (167) (167)
Other reserves 274 249
Retained earnings 21,543 23,962
Total Equity 121,768 124,135
TOTAL LIABILITIES AND EQUITY 197,892 189,322
As of As of
(1) Current ratio as of September 30, 2018 is less than 1.
However, MPIC has committed undrawn lines of Php6.0 billion.
27
METRO PACIFIC INVESTMENTS
CORPORATION – CONSOLIDATED
BALANCE SHEET BALANCE SHEET (continued)
In PhP Millions Sept 2018 Dec 2017 In PhP Millions Sept 2018 Dec 2017
ASSETS NONCURRENT LIABILITIES
CURRENT ASSETS Noncurrent portion of concession fees payable
Cash and short-term investments and short term
deposits 45,509 49,317 long-term debt and others 229,108 204,489
Receivables 13,073 10,899 Due to related parties 7,296 11,767
Other current assets 18,177 14,729 Deferred tax liabilities 8,481 6,836
Total Current Assets 76,759 74,945 Other noncurrent liabilities 9,482 10,103
Total Noncurrent Liabilities 254,367 233,195
NONCURRENT ASSETS
Investments and advances 149,230 150,971 Total Liabilities 308,423 288,072
Service concession assets 195,069 168,783
Property and equipment 72,048 67,606 EQUITY
Goodwill 30,160 25,384 Capital stock 31,631 31,626
Other noncurrent assets 20,282 16,062 Additional paid-in capital 68,487 68,465
Total Noncurrent Assets 466,789 428,806 Treasury shares (167) (167)
Other equity adjustments and reserves 7,246 7,426
TOTAL ASSETS 543,548 503,751 Retained earnings 62,891 53,894
Total equity attributable to owners of Parent 170,088 161,244
LIABILITIES AND EQUITY Non-controlling interest 65,037 54,435
CURRENT LIABILITIES Total Equity 235,125 215,679
Accounts payable and other current liabilities 31,765 28,557
Due to related parties 4,412 3,879 TOTAL LIABILITIES AND EQUITY 543,548 503,751
Current portion of concession fees payable
long-term debt and others 17,879 22,441
Total Current Liabilities 54,056 54,877
As of As of
TOLL ROADS
28
METRO PACIFIC TOLLWAYS CORPORATION AND SUBSIDIARIES
BALANCE SHEET BALANCE SHEET (continued)
In PhP Millions Sept 2018 Dec 2017 In PhP Millions Sept 2018 Dec 2017
ASSETS LIABILITIES AND EQUITY
Current Assets Current Liabilities
Cash and short-term investments 9,865 6,069 Accounts payable and accrued liabilities 6,142 4,898
Receivables 1,196 695 Current portion of long-term debt 2,478 5,317
Other current assets 2,290 1,498 Other current liabilities 1,780 1,706
Total Current Assets 13,351 8,262 Total Current Liabilities 10,400 11,921
Noncurrent Assets Noncurrent Liabilities
Service concession assets 80,219 66,122 Long-term debt - net of current portion 47,257 37,224
Goodwill 12,631 8,597 Service concession obligation 20,490 19,645
Investment in associates 12,865 17,921 Deferred tax liabilities 2,217 1,102
Other noncurrent assets 9,563 3,958 Other noncurrent liabilities 1,379 1,054
Total Noncurrent Assets 115,278 96,598 Total Noncurrent Liabilities 71,343 59,025
TOTAL ASSETS 128,629 104,860 Total Liabilities 81,743 70,946
Equity
Capital stock 13,012 12,786
Additional paid-in capital 23,457 18,945
Deposit for future stock subscription 1,489 -
Other equity adjustments and reserves (9,692) (10,186)
Retained earnings 11,203 9,685
Total Equity Attributable to Equity Holders
of Parent
39,469 31,230
Non-controlling interest 7,417 2,684
Total Equity 46,886 33,914
TOTAL LIABILITIES AND EQUITY 128,629 104,860
As of As of
WATER
29
MAYNILAD WATER SERVICES INC. AND SUBSIDIARIES
BALANCE SHEET BALANCE SHEET (continued)
In PhP Millions Sept 2018 Dec 2017 In PhP Millions Sept 2018 Dec 2017
ASSETS LIABILITIES AND EQUITY
Current Assets Current Liabilities
Cash and short-term investments 9,465 5,019 Accounts payable and other current liabilities 15,584 13,050
Receivables 2,727 2,602 Current portion of interest-bearing loans 176 1,816
Other current assets 2,953 4,075 Current portion of service concession obligation 916 1,217
Total Current Assets (1) 15,145 11,696 Total Current Liabilities (1) 16,676 16,083
Non-current Assets Non-current Liabilities
Service concession assets 85,408 78,392 Interest-bearing loans - net of current portion 32,115 25,281
Deferred tax assets 122 462 Service concession obligation - net of current portion 6,596 6,243
Property and equipment 1,359 1,409 Other noncurrent liabilities 2,253 2,089
Other noncurrent assets 2,276 1,557 Total Noncurrent Liabilities 40,964 33,613
Total Noncurrent Assets 89,165 81,820
Total Liabilities 57,640 49,696
TOTAL ASSETS 104,310 93,516
Equity
Capital stock 4,547 4,547
Additional paid-in capital 10,033 10,021
Other equity adjustments and reserves (620) (602)
Retained earnings 32,710 29,854
Total Equity 46,670 43,820
TOTAL LIABILITIES AND EQUITY 104,310 93,516
As of As of
(1) Current ratio as of September 30, 2018 is less than 1.
However, Maynilad has committed undrawn lines of Php9.8 billion.
RAIL
30
LIGHT RAIL MANILA CORPORATION
BALANCE SHEET BALANCE SHEET (continued)
In PhP Millions Sept 2018 Dec 2017 In PhP Millions Sept 2018 Dec 2017
ASSETS LIABILITIES AND EQUITY
Current Assets Current Liabilities
Cash and cash equivalents 1,535 1,174 Accounts payable and other current liabilities 726 649
Receivables 126 104 Income tax payable 24 94
Other current assets 436 491 Total Current Liabilities 750 743
Total Current Assets 2,097 1,769
Non-current Liabilities
Non-current Assets Service concession obligation 3,344 3,194
Service concession assets 14,389 9,142 Loans payable 6,337 4,566
Property and equipment 276 258 Other noncurrent liabilities 213 188
Other noncurrent assets 2,559 2,649 Total Noncurrent Liabilities 9,894 7,948
Total Noncurrent Assets 17,224 12,049
Total Liabilities 10,644 8,691
TOTAL ASSETS 19,321 13,818
Equity
Capital stock 4,200 4,050
Additional paid-in capital 270 -
Deposit for future stock subscription 2,550 -
Other equity adjustments and reserves - (20)
Retained earnings 1,657 1,097
Total Equity 8,677 5,127
TOTAL LIABILITIES AND EQUITY 19,321 13,818
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
occur 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
offer 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 ([email protected])
10/F MGO Building, Legazpi corner Dela Rosa Streets, Head, Investor Relations – Maricris C. Aldover - Ysmael ([email protected])
Legazpi Village, Makati 0721 Philippines IR Manager – Owen Kieffer D. Ocampo ([email protected])
Phone: (+632) 888-0888 / Facsimile: (+632) 888-0813 IR Specialist – Jana Lyra M. Manlangit ([email protected])
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: [email protected]
ADR Website: www.adr.db.com
Depositary Bank’s Local
Custodian: Deutsche Bank Manila
31