Welcome to the 2025 annual results presentation of Singamas Container Holdings Limited. I'd like to introduce to you to our management of the company.

Mr. S.S.

Teo, Chairman and Chief Executive Officer. Ms.

Winnie Chu, Executive Director and Chief Operating Officer. Ms.

Rebecca Chung, Executive Director, Chief Financial Officer and Company Secretary. Mr.

Teo will now present the company's annual results. All the financial figures in the presentation are in US dollars unless otherwise stated.

Mr. Teo, please.

Thank you. Good afternoon friends, ladies and gentlemen.

Thank you for joining us this afternoon. We will go through the presentation by looking into Singamas' corporate profile, industry dynamics, financial and business review.

As an established container manufacturer, leasing, logistic and depot service provider, we currently operate five factories in China. Our total annual capacity is now at about 270,000 TEU of dry freight and ISO specialized container, and a and about combined capacity of 21,000 units of tanks and customized containers.

For leasing business, we currently own a fleet of about 180,000 TEU containers. Singamas is also operating eight container depot across seven major cities in China, and one logistics company in Xiamen.

This slide shows the ongoing upgrade of our Huizhou and Shanghai manufacturing plant designed to enhance capacity and capability of energy storage system, ESS, container orders. At Huizhou plant, the upgrade is aimed at boosting overall production capacity.

The facility have been equipped with advanced robotic and automation application to meet the rising demand for ESS containers. At at our Shanghai plant, we have expanded dedicated production line for high value customized containers including battery energy storage system, BESS, containers and AI data center containers.

This has enable elevated development of our integrated business. In year 2025, annual capacity for customized container at Shanghai plant has increased to 72,000 7,200 units.

The next three slide, slide 7 to 10, cover our product ranging from traditional dry freight and ISO specialized container to innovate to innovate customized container include customer for cast containers for ESS, data center, car racks, housing and more, and we also provide a full range of container solution services. The core product of Singamas' customized container is ESS, energy saving system.

This container facilitate efficient electricity storage and release, benefiting user by allowing electricity consumption at lower period. ESS container ensure stability in new energy power generation and are designed to withstand extreme condition for normal operation in challenging environment.

[QEnergy?] is our wholly-owned subsidiary in Singapore dedicated to both accelerating the journey towards net-zero emission and carbon neutrality.

Through its BESS solution, it form a pivotal element in our commitment to delivering comprehensive green energy solution worldwide. In 2025, [QEnergy?]

partnered with Singapore A*STAR, ARTC to co-develop an analytics-powered energy management system that enhanced battery health, energy efficiency and intelligent sustainability energy solution for BESS. In our collaborator in our collaboration with the Institute of Technical Education to co-develop an ESS training program for the youth in Singapore.

With this program, Singapore Singamas contribute to its ESG goal through fostering new energy talent development, enhancing ESS safety standard, and supporting low carbon economic transition. Next, for our leasing business.

Significant growth was recorded for the business this year. By the end of 2025, we own a fleet of about 180,000 TEU leasing containers, 180,000.

Singamas is a major operator of eight container depot in China. We maintain strong ties with key port operators in the countries and foster relationship with major global shipping and leasing company.

Our logistics service business focused on enhancing warehousing capability, integrating multi-modal transport resources, improving digital operational capabilities for efficiency, and collaborating with service provider to expand network coverage. This slide shows Drewry's analysis of global dry freight container production and pricing trend of January 2026.

For the year 2025, worldwide dry freight container production was 6.5 million TEU, far exceeding the initial market expectation. However, it has led to significant surplus worldwide.

As the market is expected to regulate the surpluses in years to come, Drewry forecast the industry production for the year 2026 will decline sharply to 3.6 million TEU. On pricing, the average price of a 20-foot standard dry freight is expected to reach US$1,710 for the year 2026, a year-on-year increase of 2.6%.

This trend highlight a market transitioning from overproduction to caution rebalancing. According to Drewry, long-term lease rate for all standard dry freight containers dropped sharply during 4Q 2025, and leasing rates are projected to remain subdued in the next few years.

This forecast from Drewry, 1Q 2026, provide a solid baseline for market stabilization. However, they were made before the major disruption from the Middle East war, including rerouting around the Cape of Good Hope, elevated fuel and insurance cost.

These emerging factors, or rather disturbing factors, may affect short-term leasing rates and recovering trajectory in ways not reflected in the current forecast. That means the the the war in Middle East have created many issues and this may affect what we forecasted.

This chart shows Singamas' average selling price trend of 20-foot dry freight container and related steel cost over the years. Despite better than expected global trade volume and ongoing new container vessel order, US tariff and trade policy continue to create market uncertainty, leading to softer container demand in the second half of 2025.

Consequently, the average selling price of 20-foot dry freight container dropped 12% to US$1,752 in 2025. Meanwhile, Corten steel average cost dropped about 11%.

Now let's move on to the financial review section. Revenue decreased by 17% to US$481.5 million, due primarily to soft market demand and overproduction in previous year.

Consolidated net profit attributable to owners of the company decreased by 40% to US$17.4 million. Basic earning per share was US 0.73 cents for the year, compared with 1.43 cents in 2024.

Net asset per share was US$23.30 as the year of 2025, almost the same as previous year. We have decided a final dividend of HK 2 cents per share proposed for the year 2025.

Together with the interim dividend of HK 3 cents, total dividend for this year was HK 5 cents per share, representing a payout of about 88%. Let's move on to business review section.

First, manufacturing. It shows the performance of our manufacturing and leasing business.

This segment achieved revenue of $447.8 million, which accounted for about 93% of our total revenue. Segment profit before tax and non-controlling interest was about US$18.1 million.

This slide show the breakdown of container unit sold under different product categories and accordingly the respective revenue generated. The table on the left show that Singamas sold over 147,000 TEU of dry freight container during the year.

The pie chart on the right shows that the sales of this dry freight container made up of 57% of the segment revenue, compared to 72% in the previous year. For customized container, more than 13,000 unit was sold during this year.

As global interest in solar energy grows, revenue contributed by our ESS container increased drastically from 16% of 2024 to 33% in 2025. Leasing revenue accounted to 8% of the group total revenue during the year.

Finance lease, thank you, finance lease interest income was US$4.1 million, up 47% year-on-year, while operating lease income was about US$15.6 million, up 176% year-on-year. This slide show the performance of our logistics service business.

Its revenue was $33.8 million US and segment profit before tax and non-controlling interest was US$8.7 million. This slide represent our marketing operating synergy strategy in the years to come.

The political and tariff issue between US and other countries, especially following the outbreak of the Middle East war, will impact our operating environment. We believe many carriers will once again choose to avoid the Straits of Hormuz and the Suez Canal.

While this rerouting rerouting could initially stimulate demand in dry freight container market, the current sizable dry freight pool of 55 million TEU is likely to temper the overall impact, leaving demand for dry freight container unpredictable in the first half of 2026. At the same time, the ongoing crude oil crisis is expected to accelerate global transition to new energy infrastructure, which could translate into further growth in market demand for our ESS containers.

Faced with unpredictable demand in dry freight container, we maintain strict cost control and cautious capital expenditure. On the maintenance side, our focus remain on enhancing safety and environmental protection of our plants.

On the growth side, we invest on high-growth customized container project and short payback automation initiative. This balanced strategy keep us agile, cost-disciplined, and well-positioned to capture any new opportunities in this challenging market.

The following appendices that show our income statement and the data of our factory and depot for your further reference. That conclude my presentation.