Good day everyone. Thank you for joining the online briefing to discuss the First Pacific 2025 full-year financial and operating results.

The results presentation is available on First Pacific's website, www.firstpacific.com, under the Investor Relations section, Presentation page. This results briefing is being recorded, and the replay will be available on First Pacific website this evening in the Investor Relations section.

For participants from the media, please note the Q&A session is open for investors and analysts only. If you would like to ask questions, please contact us when the briefing finishes.

Today we have with us our Executive Director, Mr. Chris Young; our CFO, Mr.

Joseph Ng; Associate Director, Mr. John Ryan and Mr.

Stanley Yang; and other senior executives from the head office of First Pacific. Over to you John for the presentation please.

Thank you Sara. I'll just go through very quickly the First Pacific part of this presentation, then we'll move to the Q&A for you folks.

Now let's begin on page 3 with a quick reminder of some of our major investments, all of which have done pretty well in the course of 2025, and we'll discuss this later on. Now on page 4, we've got the shape of our gross asset value on December 31st, 2025.

The GAV was about $5.3 billion, Indofood just over a third, MPIC valued there at $1.3 billion, the US dollar value of the pesos we paid for it when it was privatized back in the autumn of 2023. We own now about 49.9% of MPIC.

You might see there that PLP's valuation has increased to $398 million, and that's because we've put some money into it to help finance the building of a new power plant, which our financial controller Richard Chan might discuss later if that's of interest to you folks. Then of course there's PLDT, our 25% or so owned telephone company, and then there's the Philex group of companies, which make up just over 10% of our gross asset value.

Now let's move on to the earnings for 2025 on page 5. Turnover was up 2%, a little over $10 billion, higher revenue at Indofood and MPIC, decline at PLP, PacificLight Power.

Contribution from operations reached a record high. I believe like the recurring profit, it's been about 7 years in a row we've had increases and the previous 5 have been records.

Indofood, PLDT, MPIC highest ever revenues, and MPIC delivered their highest ever earnings as well. Now recurring profit, as I say, it's up a good double-digit 10% to $740 million, up from about $673 million in 2024.

Net profit was up the similar number, 10%, to another record high $661 million. Now to a matter that is dear to the heart of many shareholders, the directors approved a final distribution of 14 Hong Kong cents a share.

You folks will vote on that at the AGM, and that brings the full-year distribution to 27 Hong Kong cents a share, and that's the highest ever on a per-share basis that we have ever paid out. That of course fits under our progressive dividend policy where we're committed to increasing the per-share amount of money we distribute to shareholders every year, apart from special circumstances.

As you can see on the middle chart here on the right-hand side, the increase in recurring profit was driven mostly by MPIC and Indofood, and there were little declines at PLDT and PLP. Head office cash flow, as you can see, we had about $311 million of dividend income, and there are the distributions gone out to you folks.

That's the biggest amount of money sent out, and then the net cash interest expense follows. If you look deeper into this book or want to discuss it later, you'll see that our interest bill is declining along with the interest amount that we're paying.

Over on page 6, a little bit more detail on our cash flow and balance sheet. As you can see here, at the present day we have no borrowings falling due until September 2027 when our only bond, $350 million, becomes due.

A $200 millions that was due in 2026, as you can see, has been shifted over by 5 years to 2031. Our interest cost is round about 4.6% for the year, and the average maturity is about 3.2 years.

I would guess over the course of the next 12 to 18 months that 3.2 is going to become a bigger number. Our CFO Joseph Ng will discuss that in the Q&A if you like.

Dividend income there on the bottom left shows that we've been consistently over $300 million in recent years. Very important to us is the interest coverage ratio, as you can see, was 4.5 times in 2025, that's up from 4x the previous year, and that is well above our comfort level, though it must be said we don't have any plans for that number changing anytime soon on account of additional borrowing by us.

Now I'll wind up the narrative part of this meeting with a quick look at a reason that many people are invested in First Pacific. As you can see, from 2018 to 2025 we've had over a doubling of our profit at First Pacific.

I think in 2018 it was around $290 million in recurring profit, and we're up to $740 in 2025. As you can see, the exchange rates of the rupiah and the peso were down about 11% and 14% respectively over that time, and what this does is it illustrates quite vividly the hard currency security of putting your money in First Pacific so that you can secure the gains to be had from the fastest-growing economies in the world, which are described by the IMF over in that bottom right-hand chart where you can see there's a doubling over the 10 years to 2030 from 2020.

Let me actually very quickly go through the main companies. Indofood had record sales, as I said.

Core profit was up just 1% to a highest ever level. Many of you may have attended their investor briefing earlier today.

If you haven't, we can discuss some more about their description of their earnings and predictions for the future, many of which we have put into the outlook for 2026. To speak briefly about that, there's an inference you can make that 2026 will be rather better than 2025, but of course, we have that devil in the Middle East conflict, which we don't know how it will affect any of us going forward.

We can discuss this later on if you like, but there's pretty high confidence over at Indofood. Now we're going to flip a few more pages to Metro Pacific, looking at page 14.

Record high earnings, as said before, core profit up 15%, and as you can see in the pie chart, most of it was contributed by the power company Meralco, which is beginning to see a huge contribution from its still fairly new power generation business. They've bought into a very large LNG terminal accompanied by two natural gas-fired power plants in Project Chromite.

Stanley Yang, who worked on that transaction, can help discuss that later on, but it just addresses that generation is going to be a big part of earnings growth at Meralco going forward. The newly listed water company, Maynilad, also was a very big contributor to the earnings there, and then the toll roads.

Their contribution, as you can see, didn't grow so much as illustrated on the bottom left, and in part it's because we owned a little bit less of it than we did earlier. Now let's dash ahead to PLDT, which is the biggest telecommunications firm in the Philippines.

Service revenues record high, EBITDA at a record high, and the EBITDA margin still very strong at 52%. Core profit rose 1%, actually similar number to Indofood's, and it was helped for the first time ever by Maya, which is the 38% owned fintech, it's the only digital bank in the Philippines which is both owned by a telecommunications firm and has a banking license.

It's a very interesting little company, and it moved into profit for the first time during the course of 2025. The falling column chart on the bottom right there shows you the usual story.

It's data that has been driving earnings growth, and fixed line voice too in a kind of funny way, there's a big international element there. Now we'll skip past Maya and over to PLP, which had earnings slightly down.

Sales were a little bit down as well. Market share steady at 9.6%.

As you can see, the monthly average electricity prices are down quite a bit from those powerful period of earnings we had in 2023, and that's really the main driver of how their earnings have gone over the past couple of years. Net debt is absolutely negligible at less than $40 million Singapore dollars.

Now over to page 27 where Philex Mining, which has been operating Padcal for 6 decades I think, and it's still going strong for another few years until 2028 I believe. You can see that after 6 decades the grades of gold and copper there in the blue box they're rather lower than you might want to see, but if you want to see better, turn the page to the Silangan project, which is accelerating towards the opening of commercial operations over the next weeks and months, and you can see that the grades there in the middle box are much, much higher than what we've got going on at Padcal.

We're very excited about the prospects for Silangan, and we think it's going to be a good solid contributor to First Pacific going forward and to its parent Philex. Now I'm going to end the introduction with a quick dash to page 52 where I would like us all to pay attention to the second line, China Securities Depository and Clearing.

They're probably up at this day close towards 150 million shares. We have now a third brokerage about to start equity research coverage of First Pacific for mainland investors, and this has been almost entirely due to the efforts of my colleague Sara Cheung who's here two seats away.

These new mainland investors provide much-valued liquidity to the share trading in First Pacific, and we welcome them with open arms. That's it for the opening narrative.

We can move over to Q&A.

If you have any questions, you can just put your questions in the chat box or just raise your hand.

Jeff, could you unmute and ask your question please?

Thanks John. Thanks for taking my question.

Maybe starting with two from me. It is all about dividends first.

Just want to check the regular final dividends increase 3% year-on-year, which seems to be a little bit muted compared with what we saw in the past, but separately you also pay a special dividend with respect to Maynilad's subscription shares. Just trying to check whether the regular dividend growth this time is a sign of caution on the outlook or whether we are trying to smooth out the total DPS growth down the next few years including the specials.

That's the first one. The second one would be about Indofood payout.

I understand the dividend will be decided in the AGM in the next couple of weeks, just trying to figure out from your perspective, are you seeing any particular resistance for INDF to raise the dividend payout ratio in the future? Thank you.

Jeff, you know our CFO Joseph Ng, he'll deal with the first question and I'll ask our Executive Director Chris Young to deal with the second.

Hi Jeff. It's Joseph here.

I think your 3% is only focused on the final, if I'm guessing your question correctly, cuz last year's final was 13.5 and this year's final was 14, but in aggregate if you aggregate the interim and final, last year was 25.5 cents and this year is altogether 27, cuz we paid 13 cents for the interim. There is a 6% growth, which is not the 3% you mentioned, it's not insignificant.

If you add back the so-called special distribution we make as a result of the Maynilad IPO, we pay another 1.5 cents, adding together I think we have almost 10% growth against last year's 25.5. That's broadly in line with the growth in a so-called recurring line from last year's 7 67 673 million to this year's 740, it's 10% growth in the recurring, which is the key KPI indicator for us.

Broadly in line, the regular dividend growth or distribution growth is 6%, but all in is 10% growth. Now with that 27 cents altogether, I think we are paying altogether about $150 million plus, and that also need to tie to what we disclose in the cash flow that for 2025 you have a $311 million dividend income.

You can see that it's more than half of the so-called gross dividend line that we are returning to the shareholders even without including the so-called special distribution. Then you have the head office overhead and the like.

Remember Jeff, also starting from 2025 and more heavily in 2026, we need to kind of reinvest some of the money that we have from the dividend from the unit and reinvest those money back to PLP to fund this equity requirement for the new gas plant there. We try to kind of strike a balance as to what we returned to shareholders, which not a small ratio, which is quite high ratio.

If you take out the head office expenses and interest, we are returning more than 70% of free cash to the shareholders and keep a little bit for our reinvestment into the PLP gas plant. I think that's the kind of macro thinking behind kind of fixing the final dividend at 14 cents per share and making a total 27 cents regular, and that a 10% growth in aggregate, including the special dividend we paid to the shareholders as part of the Maynilad IPO.

That's on the dividend side. On the Indofood dividend side, maybe Chris could chip in and then give us a bit color on that.

Jeff, as I think you're aware, it's a discussion with the management there at Indofood and generally it's a fairly constructive discussion. I think we would take into account two elements in considering that dividend.

I think if you look at John's presentation or you've seen the Indofood results, the recurring profit growth last year for Indofood was 1%, and the outlook at the moment looks reasonable without too much disruption from what's going on in the Middle East, but obviously there is a bit of uncertainty. That would be the context to the discussion.

What was the underlying growth last year and what is the outlook, but as you yourself noted, that discussion will happen over the next couple of months.

Thank you.

Now we'll ask Timothy Chow to unmute and ask what he's got to ask.

Hello, thank you management for giving me the chance to ask the questions. I have a couple about Middle East first.

First on Indofood. I understand just now management talked about how the Middle East impact seems to be minimal on Indofood, but I'm just wondering if there will be any implications on the raw material cost, because I think over the past year there reportedly some kind of raw material price hike that affected the margin.

I'm just wondering if the Middle East being extended event would that aggravate. The second question also about Middle East would be on PLP, because if I remember correctly, the electricity price in Singapore could actually be moved as long as the gas price is up.

I'm just wondering if there will be any pass-through from Middle East on PLP here.

And I think

Sorry. Yeah.

My last question is on the PLP project, just wondering if there is a finalized budget on the potential capex spend on the project yet, and just now you mentioned about how we have already been investing some in PLP already on that particular project, just wondering the timeline of the entire capex and how it will be in the coming 2 to 3 years. Thank you.

Timothy, I'll take a stab at the first one, then Stan will help you with PLP. Indofood told us in their briefing this morning that as far as wheat goes, they've got 3 or 4 months of supply on hand, and they see that it looks like there's globally going to be a good crop of wheat, better than the previous year, in 2026, they're not too worried about that.

CPO prices are up a bit after rising 10% in 2025 to about 14,100 rupiah, they're around at the end of the first quarter 15,000 rupiah. They are, in sum, not feeling any particular pressure from raw material prices.

As far as the Pinehill businesses in Middle East and North Africa, they have been able to secure their supplies up to now, and there is as of yet no particular concern. PLP, Stanley?

Sure. Hi Timothy.

Just to address your questions on PacificLight, first on the electricity prices and the impact of the Middle East fuel and for PLP, its gas comes from a global supplier, in this case Shell, and there is some impact in terms of some of the flow in terms of the LNG that's supplied into Singapore, some of the disruption. It's a relatively small portion, minority, and I would say that at least for the next month plus there's sufficient supply, but when you get beyond it, there will be some impact in terms of the supply coming in that would typically come from the Middle East.

Alternate arrangements are being made. The company as well as other generators who are affected in the market are also in discussions on solutions that would help, including having some of the gas supplied by EMA and being able to run, but also others in terms of the existing contractual arrangements that they can procure in terms of their global supply.

We think in terms of certainly the near term there will be less impact, but as the months go by and if this crisis continues, then some of these alternatives on how the balance of gas will be filled in light of their retail contracts for the company will need to be covered. When it comes to the project itself, the project itself is looking at starting in 2029, and so the heavy lifting in terms of the construction and so forth is still to come, and so within this year there would be an expectation of the notice to proceed, which basically kicks off the formal development and projects, and from there, the piling works and then subsequently over the next couple of years the balance of the capex.

That capex as we would look at it would be spread across the next few years up until the planned operation date in 2029. Thank you.

Thank you for the color. On PLP, the rise in gas price, if I remember correctly I think back in 2023 when the gas price is up, we actually have a higher profit because of the non-fuel margin being higher, I'm just wondering if this case, given the case is not as bad as the lack of supply in gas in the end, I'm just wondering if there will be any positive through for PLP in this case or are we still cautious about the outlook?

I think it's too early to make the call. I think the next couple of months will be critical.

I think because the company has a strong position with respect to its retail customers for this year, then there's definitely visibility, but the impact of any supply disruption not just for our company PLP, but also for the entire market in Singapore, the question will be the balance of any gas that comes from the affected markets, for instance Qatar, and how that would impact the entire supply. As I mentioned before, that's not the majority of the supply, it's a minority, relatively small percentage, but it is one that we are monitoring because that clearly the supply in aggregate into the market has to balance with what the generation demands will be for running the plants.

Got it. Thank you.

Thank you Stan. Have we more questions here?

I think Jeff has another question. Jeff, please unmute and ask your question.

Thanks John. Maybe switching the gear a little bit to MPI, just trying to figure out how should we think about maybe the water Maynilad business in 2026.

If there's any tariff adjustment, can you remind us over there, but if not, just want to hear your maybe general assessment on MPI's 2026. That's my first question.

The second would be just talking about the FP Natural Resources, which we usually do not really focus on, just trying to understand why the loss contribution diminish in 2025, and is there any one-off events there? Thank you very much.

Stan?

Sure. You talking mostly on the water, was it?

If we can expect some tariff increases in 2026 following the 10% last year.

This year it's going to be more muted than last year's in terms of the tariff impact. There had been following the revised concession agreement a series of adjustments over a few years.

Those have had the benefit in terms of the flow into Maynilad and the system. This year it would be 4% though is the expectation in terms of the tariff adjustment.

The business itself will continue to grow. The supply of water and the management's efforts to improve that, I think they focused heavily on the non-revenue water, which is the losses in the system, and draining that down to levels that the company has not seen ever since our existence in owning the business.

For us, that's a big savings that helps improve the cost of the water supply and efficiency in the system. Then the management themselves still are focused on continuing to improve that, along with the continuation of tariffs as part of their capex program, which was agreed as part of the concession agreement that they revised.

Those would be the key imperatives to continue to build on that business.

Thank you. Second question?

Jeff, will you remind us please?

Oh yeah, the FP Natural Resources, just trying to figure out why did the loss diminish in 2025 compared with 2024, and just trying to check if there's any one-off events driving the narrower losses or anything happened there. That will be helpful.

Thank you.

Chris?

Actually maybe I could take that, it's Joseph here. The sugar operation basically has stopped, and that basically we are laying off all the staff, and then trying to basically sell the residual assets owned by the operation.

Previously the alcohol operation and then we are in discussion of selling this kind of final set of operating asset, the refinery asset, with certain investor, certain buyer. With that, actually the scaled operation basically stopped, so that's the reason why you see the recurring profit line there's actually without any significant amount there.

We do make some impairment provision as a result of selling those refinery asset that I mentioned, because now we have identified buyer, we finally discuss with the buyer, we know that the final selling price of the refinery plant is lower than the book value, there's certain impairment provision make below the line under the so-called non-recurring item. Above the line, there's basically no operation anymore, no significant operation.

That's why you see that there's very little impact to the recurring profit line.

Thanks Joseph and thanks Stanley. I would just want to take the chance to just have one more quick follow-up or just other question.

Just want to hear our plan for refinancing the head office borrowings. John mentioned we have refinanced the repayable loan in 2026, and just trying to figure out how do we think about the current maybe the head office net debt, cash interest coverage ratio, and also our maturity schedule down the next maybe 2 years?

Thank you very much.

As mentioned by John, we finished the refinancing of the January 2026 bank loan. We actually signed up the commitment before the end of last year, we just draw the facility and pay off the bank loan in early January, so that's all done as far as 2026 liability management initiative is concerned.

The next one coming up from this bar chart is the bond, $350 million bond due in September 2027. Now we still have as of today maybe 18 months to go.

It's still early, but as part of our usual prudent financial management, we're actively looking into that and talking to a number of banks. We're getting proposals on, say, refinancing the bond with another bond.

We have received quite a number of proposals with different quotes. Now we are not in a rush per se, because the whole market is so volatile.

You probably would understand from the market that actually both the bond investor side and many issuers are actually waiting on the sideline to see how all this Middle East crisis will turn out and how that would affect the interest rate environment in the next 6 to 9 months. For us, I think the plan is that we have 18 months to go, but we should get ourselves ready probably when we get into the second half of this year.

We'll probably kind of accelerate a little bit on the preparation process and see what is the kind of terms and pricing that we could get from the different banks. In parallel, of course, we will try to explore other alternative like syndicated bank loan if, well, we think that those bank loan terms and pricing are more attractive.

Of course, bank loans will not give you the tenor that we could get from the bond market, the 7 or 10 years. As you can see from the debt maturity profile here, if you get another 5 years, probably you get into the 2020 31, 2032 space, which may be a bit crowded.

Our preference will be still a bond, for one, the tenor; two, is to diversify the credit resources so that we don't 100% rely on the bank financing. That's the initial thinking, cuz we always try to strike a better balance between the bank credit resources and the bond credit resources.

The preference is to go for a bond if the market is there and if the terms and pricing are palatable to us, but we never say never, we'll just wait until the whole market calms down a bit and the whole bond market becomes active again.

Okay.

Thanks Joseph. Maybe can I have a real quick follow-up?

I promise [laughter] this is my real quick.

Just as of the end of 2025, I think you disclose 54% of the debt is on fixed-rate basis at the head office level. Is this split some sort of optimal in your opinion or should we be targeting more fixed-rate borrowings as we think for the next maybe 3 to 5 years given the volatile interest rate environment?

Sometimes we expect rate cuts, sometimes the expectations just bounce around. Just trying to figure out the thinking here.

Jeff, it's a difficult questions because the interest rate environment is actually shifting back and forth, and sometimes they say, there will be, what, one interest rate cut this year and followed by two next year, and now they maybe shifting a little bit, even the Fed will be shifting the procedure, maybe not to rate cuts in 2020 7, maybe one. All these are subject to changes since the whole market is so volatile.

With that sort of volatile situation, it's really difficult to say that, well, we should increase the hedge ratio to a higher level or we reduce it. As of now, I think we are quite comfortable with what we have, with roughly 50% thereabout, cuz you can't win all and you will not lose all.

As of now, that's what I can say for now.

Got it, thank you.

Okay. I believe Timothy, please unmute and ask your question.

Oh yeah, sorry, management, it's me again. Thank you for giving me the chance to ask second round.

Just a really quick one on potential corporate events. I think this year the theme has been capital recycling, unlocking asset values.

I'm just wondering given our very diverse and broad portfolio, do you have similar stuff that the management is looking to maybe divest some kind of non-core or at least partially divest like an IPO, for example, a Maynilad, kind of thinking to really unlock the asset value and maybe pocket some kind of funds as well? Especially I think I've read somewhere in the news about potential IPO or list or private placement for Maya, and back in the days, I think there were also some market chatters about the private placement for MPTC back then to help relieve the financial issues for the toll road assets.

I'm just wondering if there anything regarding corporate events that the company is thinking about now. Thank you.

Certainly as a holding company, we look at a span of initiatives both on the M&A side, which you've seen over the last few years, and also in terms of capital markets. You raised the example of Maynilad's IPO.

When it comes to, as you pointed out, Maya, it's a business that has improved quite a bit and the growth of both the wallet and then subsequently after that taking the leadership both in the merchant acquiring and now in the digital banking side has really pivoted that platform from what was quite small a few years ago to now the leader and continuing to grow rapidly. Whether this is the year that at this time a listing could be done, I think management and the shareholders are always reviewing the strategic options.

I think actually an interesting similar case was there was the Japanese fintech recently, PayPay, that just listed earlier this month, and despite the challenges of the market around and so forth, actually the price has held up quite well. I think it's fair to say that we will continue to monitor if there is an opportunity.

Of course, Maya is much smaller than the one that listed in Japan, but its growth and its trajectory are moving in a very positive direction, and so, we would see this as a potential as it continues to grow. Really the question is in terms of timing, and I would say with respect to other portfolio companies and across the group, I think we continue to evaluate how we can improve the positions of them in their respective sectors, and as and when decisions are undertaken to pursue things more formally, then of course we'll provide more guidance at that point in time.

MPTC?

I think MPTC at the moment the business is continuing to focus on delivering this year its projects. They have quite a number of projects within the Philippines that are looking to complete, and so that's really been the focus, also some of the deleveraging efforts of management because of the acquisitions that they've undertaken in the last few years.

Those are the current principal initiatives looking at partners and some capital into the business to help in terms of the debt reduction of the overall roads, and then with that we continue to also consider whatever strategic opportunities are to further enhance our position as a platform and the shareholders of our roads business.

Thank you very much Stan. As there are no more questions and time is getting on, we'll wind up now beginning with a reminder that we will be visiting fund managers in Europe and North America after Easter holidays.

If you would like to see us, please get in touch with me or Sara or my colleague Fiona Ng at firstpacific.com. These meetings have historically been quite worthwhile for the fund managers who see us because we cannot hide our feelings on our face.

You'll see us coming in and we'll be feeling really, really good, and that will be important to your perspective towards our company. Now to summarize how we feel and where we think we're going, I turn now to Chris Young, Executive Director.

Thank you John, and thank you for joining us on the call today. The results as you've seen for 2025 were good, and a continuation of a trend that we've seen over the last 7 years or so.

However, clearly the outlook in the short to medium term is somewhat uncertain. However, I think we remain cautiously optimistic that given the nature of our businesses, which I think are quite defensive given their consumer-facing nature of them, that we will be able to shelter the group really from these uncertainties over the next few months or so.

We look forward to updating you again on the half-year results, which I think are at the end of August, the 28th, until then, we will keep you informed on a regular basis, and as John and Stan will be visiting Europe and the US, hopefully you will get a chance to meet with them face to face before that. Turn you back to

Sarah. Thanks Chris.

Thanks again for joining today's online briefing. You may disconnect now.

Thank you.