FY 2024 Full-Year Results Analyst Presentation

Good morning to everyone here in Jardine House and to those online. Welcome to the Jardine Mathison 2024 full year results presentation. I'm John Witt, Group Managing Director and I'm joined by Graham Baker, our Group Finance Director. Today I'm going to talk about two things. Firstly, Jardine sharpened focus on its role as an investment company and our investment proposition. Secondly, I'll share some strategic updates from across the group. Graham will then take you through the financial performance of the group and our portfolio companies. We'll conclude with the Outlook and the question and answer session. For those of you present in the room today, please hold your questions until the end of the presentation. And for those participating online, you should be able to see a Q&A box at the bottom of your page. You can submit your questions as we go through the presentation, and we'll take them at the

end. Jardine's long-term success has depended on our ability to adapt to the changing environment. As we look to the future of the group, we now see the need for jardines to evolve once again. By sharpening our focus on our role as an engaged long-term investor, we aim to deliver superior returns to our shareholders. We set challenging financial objectives for jardines to match these ambitions. These are set out on the right of the slide, and we believe they are the right metrics to assess our long-term performance. These objectives include delivering superior five-year total shareholder returns, achieving high-quality long-term growth and earnings and cash flows, driving returns on invested capital above the relevant costs of capital,

and delivering growth in net asset value per share and progressive dividends. We will meet our financial objectives in a number of ways through decisive portfolio management, leveraging disciplined capital allocation and investment expertise, by continuing to influence strategy and driving accountability through board representatives at our portfolio companies, by ensuring high caliber leadership teams are in place in our portfolio companies, and incentivizing those teams to build bigger, stronger businesses supported by boards which include extensive industry expertise. Our approach to managing our portfolio is founded on a culture of integrity, of effective risk management, and a sustainable approach to doing business.

This is underpinned by strong balance sheets and excellent access to bank funding and capital markets. Historically, we focused on underlying earnings per share and dividends per share to review our performance over time. We have achieved five-year growth of 3.7% per annum in underlying earnings per share and progressive five-year dividend growth of 5.5% per annum. We're now focusing more on total shareholder returns as we place greater emphasis on capital appreciation. Our five-year TSR performance has been disappointing even as our performance last year stabilized. While this in part reflects wider geopolitical and economic trends. This is very much in focus as I move to outline our strategic priorities, which have

changed to reflect our new approach. Our refreshed strategic priorities start with identifying, developing, and retaining high-caliber leadership for the group and our portfolio companies. Since the beginning of 2024, we've continued to evolve the Jardine Mathison Board. We've welcomed two new independent NEDs, Caillou Jin and Ming Liu. Caillou, who joined the board in 2024, is a renowned economist, a professor at HKUST. Ming Liu, who joined us last month, is senior advisory partner at KKR and previously its chairman, Asia Pacific. Over the past two decades, Ming has done an exceptional job of building the KKR platform in Asia, not just in private equity, but across a number of asset classes.

Both Caillou and Ming bring highly relevant regional and business experience to our board. At the same time, we have made important leadership changes across our portfolio companies. With new CEOs and refresh boards in four of our key companies, they've moved with pace to appoint strong teams and develop new strategies to build shareholder value. In support of this, we have implemented new long-term incentive structures in our listed companies to better align the performance of their leadership teams with shareholder interest. the established principle that JM directors own a significant interest in the group. We have also introduced frameworks for executive management of our portfolio companies, including DFI, Hong Kong Land, and Astra to acquire and retain meaningful shareholdings in their

companies. We have also sharpened our talent planning across the group to focus on senior leadership development, including programs co-designed with IMD and INSEAD. Our next priority includes influencing strategy and driving accountability across our portfolio companies. Jardines, through representation on the various boards of our portfolio companies, has played a role influencing the development and implementation of new company strategies. Let me share some key highlights in this area from the last year. Hong Kong Land's new strategy focuses the business on ultra-premium integrated commercial properties in Asia's gateway cities. As part of this shift, Hong Kong Land has prioritized simplifying its business by ending new investments in the build-to-sell segment and actively focusing on capital recycling.

This has seen positive results, with Hong Kong Land achieving strong one-year TSR and outperforming sector benchmarks in five-year TSR despite the challenging property downcycle. A key element of this new strategy is Hong Kong Land's $1 billion tomorrow's central transformation of the landmark Hong Kong portfolio. The group is also making significant progress on its 43% owned, $8 billion US dollar central development on the West Bund in Shanghai. DFI Retail is streamlining its portfolio, divesting non-core businesses, and focusing even more on strengthening its health and beauty and convenience businesses. In the year, DFI sold Hero Supermarket in Indonesia and its stake in Yongwe Super Stores which completed last month.