PUNCAK NIAGA HOLDINGS BERHAD

Group Financial Position 31 December 2014

2

Financial Highlights

Financial Statements

Status of Bonds

Stock Performance

Dividend

3

Group Financial Highlights

Revenue

(RM’Bil)

Net Profit

(RM’Mil)

Earnings / Share

(sen)

-7.2

-74.6

255.1 274.4

2014 2013

199.8 247.9

-1.66

-18.05

62.17 67.07

2014 2013

60.51 49.02

Continuing operations Discontinued operations

0.61 0.51

0.56 0.64

2014 2013

1.15 1.17

4

5

Gearing

ratio (%)

Total Assets

(RM’Bil)

Net Assets / Share

(RM)

44 %

49 %

2014 2013

4.86 4.65

2014 2013

5.02

4.34

2014 2013

Group Financial Highlights

6

* Restated (MFRS 5 – Asset/liabilities held for sale)

2014 * 2013

RM’Mil RM’Mil

Continuing operations

Revenue 606 514 + 92

Other Income 36 52 - 16

Construction expenses (112) (75) + 37

Cost of providing oil & gas (362) (380) - 18

Staff cost & other expenses (147) (169) - 22

Depn & amortization (11) (10) + 1

Finance cost (18) (11) + 7

Loss Before tax (8) (79) + 71

Taxation credit 1 5 - 4

Net Loss from continuing (7) (74) + 67

Discontinued operations

Profit after tax 255 274 - 19

Profit for the year 248 200 + 48

Earnings per share (sen) 60.51 49.02 + 11.49

Change

RM’Mil

Group Statement of Profit or Loss

Contribution By Segment

7

* Others - Water and wastewater and Holding Company activities

Discontinued

Oil & Water

Gas Construction Others * Total treatment

RM' Mil RM' Mil RM' Mil RM' Mil RM' Mil

2014

Revenue 477 128 1 606 563

Segment Results 24 9 (24) 9 434

PBT/(LBT) 19 1 (28) (8) 302

2013

Revenue 455 58 1 514 632

Segment Results (30) (17) (21) (68) 442

PBT/(LBT) (37) 1 (43) (79) 316

Continuing

Contribution By Segment

8

2014 2013

RM’Mil RM’Mil

Assets

Property, Plant & Equipment 244 426 - 182

Investment properties 181 - + 181

Operating Financial Assets - 842 - 842

Trade & other receivables 239 2,437 - 2,198

Deposits, Cash & Bank 446 672 - 226

Other Assets 130 269 - 139

Assets held for sale 3,618 - + 3,618

Total Assets 4,858 4,646 + 212

Liabilities

Borrowings 221 2,054 - 1,833

Trade and Other Payables 270 340 - 70

Deferred Tax Liabilities 21 475 - 454

Other Liabilities 1 3 - 2

Liabilities held for sale 2,271 - + 2,271

Total Liabilities 2,784 2,872 - 88

Shareholder’s Equity (RM' Mil) 2,076 1,777 + 299

Net Asset per share (RM) 5.02 4.34 + 0.67

Change

RM’Mil

Group Balance Sheet

9

2014 2013

RM’Mil RM’Mil

Operating activities 163 107 + 56

Investing activities 25 (33) + 58

Financing activities (244) (114) - 130

Net decrease in cash & bank (56) (40) - 16

Opening balances 539 384 + 155

Transfer from DSRA - 191 - 191

Effects of exchange rate 5 4 + 1

Closing balances 488 539 - 51

Cash & bank balances in :

Continuing operations 446 436 + 10

Assets held for sale 168 235 - 67

614 671 - 57

Less: Cash & bank balances

pledged (126) (132) + 6

488 539 - 51

Change

RM’Mil

Group Cash Flows Statement

MFRS 5 – Asset/Liabilities

Held for Sale

10

11

MFRS 5 – Asset/Liabilities Held for Sale

The assets must be available for immediate sale in its present condition and its sale must be highly probable.

Conditions to consider highly probable are as follow:

Commitment to sell;

Has a complete plan to sell at reasonable price;

Expected to be completed within one year from the day of classification; and

Unlikely there will be significant changes or withdrawal to the plan.

PNHB and Air Selangor signed an SPA on 11 November 2014 for a total cash consideration of RM1,555.3 million.

Shareholders’ approval obtained at EGM on 7 January 2015.

Completion is expected in 2015.

MFRS 5 – Asset/Liabilities Held for Sale

12

2014 2013

RM Mil RM Mil

563 632

225 199

(152) (190)

(172) (171)

(15) (15)

(132) (126)

(15) (14)

302 315

(47) (41)

255 274 Profit after tax

Taxation

Revenue

Profit before tax

Staff cost & other expenses

Other income

Raw mat, consumables &

maintenance

Depn & amortization

Finance costs

Share of results of joint

MFRS 5 – Results of Discontinued Operations

13

Balance Sheet 2014

RM Mil

Assets held for sale :

Property, plant & equipment 3

Serv concession assets 14

Operating Fin assets 780

Trade & other receivables 2,567

Inventories 6

Tax recoverable 80

Cash & bank bal 168

3,618

Liabilities held for sale :

Loans & borrowings 1,726

Trade & other payables 54

Deferred tax liabilities 492

2,272

Cash Flow

Net cash used in operation (133)

Cash & bank bal 168

MFRS 5 – Balance Sheet and Cash Flow

14

* Note: After net off allowance for impairment / fair value adjustment

Trade & Other Receivables

PNSB POG Grp PNCGroup

TotalSYABAS

RM Mil RM Mil RM Mil RM Mil RM Mil

Trade receivables

Tariff Compensation - - - - 4,517

Amount due from Serba Tiara 92 - - 92 -

Amount due from SYABAS 2,622 - - 2,622 -

Unbilled revenue - 129 - 129 -

Amount due from contract

customers

- - 14 15 -

Other trade receivables 1 34 45 80 -

Consumers - - - - 251

Less : impairment (152) (152) (451)

2,563 163 59 2,786 4,317

Other receivables 6 7 2 21 34

Total * 2,569 170 61 2,807 4,351

15

2014

RM' mil

Jan to Dec 2009 472

Jan to Dec 2010 481

Jan to Dec 2011 510

Jan to Dec 2012 1,024

Jan to Dec 2013 1,069

Jan to Dec 2014 1,114

Up to year ended 4,670

Jan to Mar 2015 302

Total claims 4,972

Tariff Compensation Claims

16

* Interest @ BLR + 1% to 2%

Principal Interest Total

RM’Mil RM’Mil RM’Mil

SPLASH 2,568 457 3,025

ABASS 772 145 917

PNSB 2,114 465 2,579

KASB 32 2 34

Total 5,486 1,069 6,555

Outstanding as at 31 Dec 2014

Due To Water Treatment Operators

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Book

Value

RM' Mil

PNHB & Others

SUKUK PNHB 139

Revolving credit facility GOM 28

USD 36 million terms loan KGL 35

Others/HP Sino 20

(A) 222

PNSB

Government Support Loan 24

BAIDS 1,017

JNA 230

RSBs 454

(B) 1,725

SYABAS

Government Support Loan 467

BAMTN 2,082

Term Loan & others 668

RCULS 225

Redeemable Preference Shares 737

(C) 4,180

TOTAL (A + B + C) 6,127

Loans & Borrowings

18

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May

Volume ('mil) 12.9 34.0 65.1 111. 72.6 65.9 218. 74.1 95.1 55.2 36.1 34.9 37.9 45.7 53.0 22.4 18.3 67.3 33.0 34.0 18.3 12.2 21.2 35.0 34.3 16.6 24.0 12.9 14.1

Price 1.21 1.29 1.47 1.76 1.79 1.89 2.48 2.66 3.00 3.24 3.37 3.33 3.13 3.22 3.06 2.93 2.96 3.33 3.37 3.37 3.39 3.30 3.41 2.64 2.79 2.70 2.64 2.66 2.58

1.00

1.50

2.00

2.50

3.00

3.50

4.00

1.0

51.0

101.0

151.0

201.0

251.0

RM

Stock Performance

2015 2014 2013

Analysts’ views

19

Research Co Views Target price

1 Affin Hwang Research Buy RM2.90

2 Kenanga Research Buy RM3.99

3 CIMB Research Hold RM2.71

4 Am Research Hold RM2.92

5 RHB Research Neutral RM2.61

Average RM3.03

* RM2.62 (29/5/2015)

EPS : 60.51 sen

PE Ratio : 4.3 times

Proposed Dividend

• YE 2012: Final tax exempt dividend of 5 sen per ordinary share was declared, total RM20.5 million paid on

6 August 2013.

• YE 2013: No dividend was declared for 2013.

• YE 2014: No dividend was declared for 2014, and no interim dividend was proposed for 1st quarter 2015,

except for the Proposed Distribution of a special cash dividend payment of RM1.00 per ordinary share, up to a maximum of RM534.3 million to the entitled shareholders of the Company post-completion of the Proposed Disposal of PNSB and SYABAS

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THANK YOU