#1803 85B 144 009 26 96 UNGENDOME #0000 A 714 04E2 F AD B 237 93 30 AE D15F2 5 903 IBF COAD B 6 R PT Link Net Tbk Company Presentation March 2018 92 P CE AE 69 8 A A 147 2 Link Net#2Link Net Disclaimer These materials are being made available to you for informational purposes only. It is not intended for potential investors and does not constitute or form part of, and should not be construed as an offer or the solicitation of an offer to subscribe for or purchase securities of PT Link Net Tbk. (the "Company"), and nothing contained therein shall form the basis of or be relied on in connection with any contract or commitment whatsoever. All information herein reflects prevailing conditions as of the date of this presentation or as of the date specified in this presentation, all of which is subject to change. This presentation contains "forward-looking statements", which are based on current expectations and projections about future events, and include statements concerning the Company's future growth, operating and financial results and dividend policy and all statements other than statements of historical facts, including, without limitation, any statements preceded by, followed by or that include the words "targets", "believes", "expects", "aims", "intends", "will", "may", "anticipates", "would", "plans", "could", "should", "predicts", "projects", "estimates", "foresees" and similar words and expressions or the negative thereof, as well as predictions, projections and forecasts of the economy or economic trends of the markets, which are not necessarily indicative of the future or likely performance of the Company, and projections and forecasts of their performance, which are not guaranteed. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, forward-looking statements are based only on current beliefs, assumptions, and expectations of management regarding the Company's future growth, network roll out and other expansion plans, operating and financial results (including its cash flow generation capacity) and dividend payout target. Because forward-looking statements relate to the future, they are inherently subject to significant known and unknown business, economic and competitive uncertainties, risks and contingencies, many of which are beyond the Company's control and difficult to predict, which could cause actual results to differ materially from those suggested by the forward-looking statements. These include competitive pressures in the Indonesia markets for broadband, cable TV and data communications services; changes in broadband technologies; disruptions or outages affecting the Company's network or other information technology infrastructure and systems; the Company's ability to successfully implement its growth strategies; decline in the Company's ARPU or profitability; increases in the Company's operational costs or capital expenditures; the Company's ability to successfully expand its network; physical or electronic security breaches, piracy, hacking or similar occurrences; changes in governmental regulations and increases in regulatory burdens in Indonesia; economic, social and political conditions in Indonesia; changes in the demographic environment in which the Company operates; actions by customers and suppliers; the Company's dependence on skilled personnel and sophisticated equipment; labor unrest and other difficulties; performance of global financial markets; fluctuations in foreign currency exchange rates; and other risks, uncertainties and factors. Therefore, readers of this communication are cautioned not to place undue reliance on forward-looking statements that speak only as of the date hereof. The Company undertakes no obligation to publicly update or release any revisions to these forward-looking statements, except as required by law. No representation, warranty or undertaking, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of these materials or the opinions contained therein. These materials have not been independently verified and will not be updated. These materials, including but not limited to forward-looking statements speak only as at the date of this presentation and is not intended to give any assurances as to future results. The Company expressly disclaims any obligation or undertaking to supplement, amend, update or revise any materials, including any financial data or forward-looking statements, as a result of new information or to reflect future events or circumstances, except as required under applicable laws. Given the abovementioned risks, uncertainties and assumptions, you should not place undue reliance on these forecast and projections. Past performance is not necessarily indicative of future performance. This presentation contains or refers to certain non-GAAP financial measures, including EBITDA, EBITDA margin, EBITDA less cash capital expenditures and return on invested capital, that are not presented in accordance with Indonesian Financial Accounting Standards. The measures have been used by management as a supplemental measure of the Company's performance and liquidity. These measures may not be equivalent to similarly named measures used by other companies, and should not be considered as an alternative to performance or liquidity measures derived in accordance with Indonesian Financial Accounting Standards. This presentation also contains certain statistical data and analyses (the "Statistical Information") which have been prepared in reliance upon information furnished by the Company and/or third party sources for which the Company has either obtained or is in the process of obtaining the necessary consents for use. The Company has not independently verified the accuracy of any Statistical Information herein that has been attributed to third party sources. Numerous assumptions were used in preparing the Statistical Information, which assumptions may or may not appear herein. As such, no assurance can be given as to the Statistical Information's accuracy, appropriateness or completeness in any particular context, nor as to whether the Statistical Information and/or the assumptions upon which they are based reflect present market conditions or future market performance. You should not unduly rely on such information. Statistical Information provided by PT The Nielsen Company Indonesia ("Nielsen") is about demographic trends and not product performance and is aimed at Nielsen clients in the media space. Such information/data reflects estimates of market conditions based on samples, and is prepared primarily as a marketing research tool for media companies, advertising agencies and advertisers. Nielsen's Consumer Confidence information/data measures consumer sentiment and confidence in the future of the economy, expenditure and saving patterns and major concerns. Such information/data reflects the optimism of consumers of the overall economic condition which includes future job prospects, and the indication of how consumers will spend and save their money in the next 12 months. This information/data is for general information and research purposes only and should not be viewed as a basis for investments. Any references to Nielsen should not be considered as Nielsen's opinion or endorsement as to the value of any security or the advisability of investing in the Company. You should not construe any statements and/or information made in this presentation as tax or legal advice. No information set out in this presentation will form the basis of any contract. These materials have been prepared by the Company, and no other party accepts any responsibility whatsoever, or makes any representation or warranty, express or implied, for the contents of these materials, including its accuracy, completeness or verification or for any other statement made or purported to be made in connection with the Company and nothing in these materials or at this presentation shall be relied upon as a promise or representation in this respect, whether as to the past or the future. This presentation is not an offer of securities for sale in the Republic of Indonesia and does not constitute a public offering in Indonesia under the Indonesian Law No. 8 of 1995 on Capital Markets and its implementing regulations. 1#3Table of contents 1. Company overview 2. 3. 4. Key investment highlights Key strategies Financial overview 5. Appendix Link Net 2#4AE 4D15F B85 IBF COAD 00 AE D 3 100 100 0 9264 U NUENDOOME 2 AD 37 2014 59 BF 04E2 F 7 B1ASE2E15 E 8 2 Section 1 Company overview 390 8 147 LA Link Net#5Link Net - The gateway to Indonesian consumer homes Link Net A leading HSBB (a) provider in Indonesia (b) with ~2.0m Homes passed Targets large and fast growing affluent segment(c). Large subscriber base (~570k unique subscribers) with low and stable churn Innovation led premium product offering supporting premium ARPUS with 98% bundling rate Link Net Strong enterprise portfolio offering with certain governmental and financial institutions including IDX as customers Track record of strong growth - 17% revenue CAGR(d) with 59% EBITDA(e) margin along with resilient balance sheet Technology neutral network with abundant capacity Note: Company data as of 30 December 2017 unless otherwise stated a) HSBB refers to High Speed Broadband which is a fixed network capable of providing internet speeds of at least 4Mbps b) Source: 2017 Media Partners Asia. Link Net is a leading HSBB provider in Indonesia in terms of subscriber market share as of 30 June 2017 according to Media Partners Asia c) 7.3m addressable homes - According to, and based on addressable market of Upper 1, Upper 2 and Middle 1 SEC households, as defined by, Nielsen (2Q17 definition of SEC classification) - For Greater Jakarta, Greater Bandung, Greater Surabaya (Includes Malang) and Medan. Nielsen reports based on number of people aged 10 and above. Addressable homes or households is derived by assuming each home or household has 4 people each d) Revenue CAGR over FY2014 to FY2017 e) Refers to 2017. EBITDA is a non-GAAP financial measure of the Company's performance and should not be considered as an alternative to performance measures derived in accordance with IFAS. Other companies may calculate this non-GAAP measure differently which limits its usefulness as a comparative measure. EBITDA margin is defined as EBITDA divided by revenue 4#6Link Net HSBB provider of SCALE, operating in the some of the most attractive metropolitan areas of Indonesia 000 1% Medan Homes passed: ~11.7k Greater Jakarta Homes passed: ~1.515m Batam Roll outs started in June 2017 Total LN homes passed: 2 million Total cable length: 26,040km 18% 5% Bandung Homes passed: ~108k Greater Surabaya & Malang 76% Homes passed: ~366k Note: Company data as of 31 December 2017 unless otherwise stated Bali Focus on hotels City homes passed / Total homes passed 5#7Key corporate milestones 2007 - 2008 Launch of broadband services and bundled packages ⚫ IPO (June) 2014 . Fully marketed secondary placement (Oct) ⚫ Launched FM TV Anywhere (OTT application) 2015 First to provide seamless internet and TV experience (First Media X) 2016 Link Net 2017 1999 Launch of Cable TV services 2000 Launch of Internet services 2002 Sole provider to IDX of remote trading network Jun 2011 ⚫ Link Net acquires and begins operating the network and related assets • CVC invested in Link Net 2010 Launch of HD 1999 2000 2002 2007-2008 2010 Network owned and operated by First Media(b) 2011 2013 2014 2013 1 million homes passed • Expanded network to Greater Surabaya and Bandung First to offer 100 Mbps to the residential sector • 2015 2016 • Reached 1 million RGUS Expanded network to Medan • Introduced FTTH services ⚫ Launched FM Smart Living, My FM app • Offered 1Gbps high speed Internet connectivity Network owned and operated by Link Net 2017 Acquired pan- Java backbone Shareholding(a) (31 Dec 2017): - First Media: 34.8% - CVC: 34.4% - Public: 30.8% Number of homes passed (c) ('000) Jun 2011 2011 2012 2013 2014 2015 2016 2017 553 655 933 1,194 1,433 1,673 1,826 2,000 a) Based on 2,955,537,984 shares outstanding as at 31 December 2017, which excludes 87,111,400 treasury shares b) The Company acquired certain assets, liabilities and rights of use relating to the Network from PT First Media Tbk ("First Media") in June 2011 and commenced its current broadband and cable TV business thereafter. As of 31 December 2017, First Media held 34.8% of the outstanding shares of Link Net c) Number of homes passed are as at the end date for each period 6#8Financial Operational Link Net has delivered since its 2014 re-IPO Link Net Penetration Penetration 27.4% rate 28.5% 2014 commitment (k) Homes passed +568 Homes passed ............>>> 2,000 1,433 2014 ARPU ARPU (IDRk/month) 402 +178 2017 421 >1.8m homes passed by 2016 as per 2014 commitment 570 (k) 392 Subscribers Continued subscriber growth Revenue (IDRbn) 2014 2017 16.8% CAGR 3,400 2,136 2014 EBITDA margin 57.6% EBITDA (IDRbn) 17.6% CAGR 2,001 1,231 2014 2017 2017 58.9% Double digit top-line revenue growth Continued profitability growth; operational efficiencies 7#9AE D 2 100 DOM OM 100 37 2014 59 BF B U NO 04E2 F 7 AD E B1ASE2E15 8 Section 2 Key investment highlights 390 6336 8 147 LI 00 AE 4D15F B85 IBF COAD 3 2 Link Net#10Key investment highlights Link Net 1 Highly attractive long term fundamentals for Indonesia's fixed broadband and pay TV markets(a) 2 HSBB provider of significant scale and operating in some of the most attractive metropolitan areas of Indonesia with high barriers to entry(b) 3 Technologically resilient HSBB network Link Net 4 Compelling product offerings with superior service quality 6 5 Strong track record of profitable growth Strong balance sheet and significant cash flow generation have provided high ROIC and positions Link Net for further expansion 7 Experienced management team with a strong track record a) Indonesia is one of the most underpenetrated and fastest growing broadband and pay TV markets globally in terms of subscribers out of the top 20 largest global economies. Source: 2017 Media Partners Asia b) Source: 2017 Media Partners Asia#111 Indonesia's highly attractive long term fundamentals Rapid GDP and GDP/capita growth (c) Rising population growth Population (m) ~53% of population under 30 years of age Millennials with "internet lifestyle"(a) Population CAGR: 1.3% (b) 259 2016 Annual household disposable income (US$) Increasing disposable income(d) Disposable income CAGR: 5.7% (b) 3,770 2016 Link Net Nominal GDP per capita (US$) GDP/Capita CAGR: 8.1% 3,598 5,312 Nominal GDP (US$bn) GDP CAGR: 9.5% (b) 276 1,466 932 2021F(b) 2016 2021F(b) Increasing urbanization (e) As % of population Urban 54% 66% 4,973 +12%(b) Rural 46% 34% 2021F(b) 2016 2030F (b) Source: 2017 Media Partners Asia unless otherwise stated a) As of December 2015 b) Indicates a forecast, which is inherently subject to various risks and uncertainties. Actual results and future events could differ materially c) Source: IMF Data (GDP refers to nominal GDP) d) Source: OECD Data e) Source: World Bank and IMF 10 10#121 Highly attractive long term fundamentals for Indonesia's fixed broadband markets and pay TV markets Underpenetrated Broadband segment with ADSL being the Link Net Explosive growth in Broadband market driven by HSBB demand dominant technology Broadband penetration (2017) 43.0% 1 ~5.2x 8.3% 3.7% 4.6% ■ ADSL ■ HSBB Underpenetrated Pay TV segment Pay TV penetration (2017) (b) I -6.5x (a) APAC Broadband subscribers Broadband penetration 5.9% 8.3% 9.8% HSBB penetration 0.7% 3.7% 7.5% 6,831 5,606 CAGR (2016-21) 3,826 426 2,562 5,231 26% 3,400 3,080 1,600 (14)% (e) 2014 2017 2021F ■ADSL (k) ■ HSBB (k) Explosive growth in Cable TV & IPTV markets Pay TV penetration 71.0% 9.7% Pay TV subscribers 11.0% 12.4% Cable TV + IPTV penetration 1.3% 4.8% 7.7% 5,796 CAGR 4,605 (2016-21) 3,744 2,225 11.0% 6.2% 4.8% 2,019 3,243 3,571 (5)%(c)) 21% (d) 2,586 502 (a) APAC (e) 2014 2017 2021F ■Cable TV + IPTV ■DTH + DTT ■Cable TV + IPTV (k) ■DTH + DTT (k) Source: 2017 Media Partners Asia unless otherwise stated a) Refers to average APAC Broadband and Pay TV penetration rates respectively b) Pay TV penetration is as a % of TV households c) Refers to DTH and DTT CAGR d) Refers to Cable TV and IPTV CAGR e) Indicates a forecast, which is inherently subject to various risks and uncertainties. Actual results and future events could differ materially 11#132 Link Net Link Net - Leading HSBB provider of scale and operating in some of the most attractive metropolitan areas of Indonesia... Operating in provinces with high GDP contribution... (a) ...and in some of the most densely populated cities (a) % of national 17.5% 15.0% 13.3% 4.2% Total population 10.3 2.7 3.2 2.2 0.9 1.1 259 GDP (millions) 158 Population 2016 GDP(b) (US$ bn) 134 120 density Per km², 2016 15,479 15,345 9,143 8,299 37 6,207 1,538 136 Jakarta East Java (c) West Java (c) Rest of (d) Indonesia Jakarta Bandung Surabaya Medan Malang Batam Indonesia City City Link Net's large and fast growing addressable market(e) Addressable homes (k) Anchor provider to affluent households in Indonesia 7.1% CAGR 7,321 CAGR 6,609 Upper 1 Upper 1 10.4% Upper 2 Upper 2 Others(f) 345k, 11.8% 570k, 19.4% Link Net Subs. market share Middle 1 Middle 1 - 4.5% 2015 Source: 2017 Media Partners Asia unless otherwise stated a) Source: Badan Pusat Statistik ("BPS") b) GDP assumes USD/IDR exchange rate of 13,322 2Q2017 3 Key Metropolitan Cities 2,016k, 68.8% P1 Nationwide coverage >20 Cities (g) c) Key cities in East Java include Gresik, Bangkalan, Mojokerto, Surabaya, Sidoarjo, Lamongan and in West Java includes Bandung d) Rest of Indonesia figure is the average of the remaining top 9 provinces as per BPS excluding Jakarta, East Java and West Java e) According to, and based on addressable market of Upper 1, Upper 2 and Middle 1 SEC households as defined by Nielsen (2Q17 definition of SEC classification) - For Greater Jakarta, Greater Bandung, Greater Surabaya (Includes Malang) and Medan. Nielsen reports based on number of people aged 10 and above. Addressable homes or households is derived by assuming each home or household has 4 people each f) Consists of 4 other key HSBB players in Indonesia which combined have fewer HSBB subscribers compared to Link Net g) Refers to P1's nationwide coverage which covers more than 10 cities on Java island, plus key cities in Sumatra (Medan, Banda Aceh, Bandar Lampung, Bekasi, Palembang, Bengkulu), Kalimantan (Pontianak, Banjarmasin, Balikpapan, Samarinda), Sulawesi (Makassar) and Nusa Tenggara 12#142 ...with high barriers to entry Link Net High barriers to entry from... Access to Existing Subscribers: Existing subscribers reluctant to provide access for new cable laying, which would result in disruptions and a high degree of inconvenience Financial Capability: Able to invest in significant capital expenditure to improve existing network and support future expansion plans Strong Brand and Customer Base: Established position and significant market share results in attractive economies of scale in the long run Link Net Geographic focus Link Net business profiles Urban areas with high population density and GDP concentration (2.00m homes passed) Product focus Superior fixed broadband and pay TV offerings Source: 2017 Media Partners Asia unless otherwise stated a) According to, and based on addressable market of Upper 1, Upper 2 and Middle 1 SEC households as defined by, Nielsen (2Q17 definition of SEC classification) Demographic focus Affluent households Upper 1, Upper 2 & Middle 1(a) 13 13#15Link Net ③ Technologically resilient HSBB network Future proof network with abundant bandwidth capacity and high level of network redundancy Satelitte Dish Headend Fiber Optic Redundant Ring Headend Distribution hubs Distribution hub Node Node Node Node Network Monitoring Power Supply Tap Cluster Coax Distribution hub 26,040 km of cable across Indonesia (a) Has access to a total of 780 Gbps of International bandwidth capacity Substantially self-owned last mile roll-out(b) a) As of 31 December 2017 b) Limited exceptions for certain last mile owned by property developers Subscriber premises Amplifier Drop cable Technologically agnostic approach to future rollout: HFC network in the existing brownfield areas and FTTH network to be rolled out in new areas rolled out within parts of existing coverage areas for enhancement FTTH network to be rolled-out in greenfield areas with market skewed to the fiber-centric infrastructure = Offering a high quality network using HFC and FTTH capable of speeds up to 10 Gbps 14#16Link Net ③ Technologically resilient HSBB network (cont'd)(a) Link Net has already completed most of its end-to-end network infrastructure, assuring network quality and reducing future investment requirement International Gateway Inter-city Connection 2 proprietary international fibre lines/submarine cables providing bandwidth to Singapore + a) Link Net acquired a 15-year right to use the pan-Java backbone 2017 b) Total cable length includes HFC and FTTH c) Limited exceptions for certain last mile owned by property developers Intra-city Connection Vertically Integrated End-to-end Network Infrastructure Pan-Java backbone(a) + Last Mile Roll-out 26,040 km of cable network (b) 100% proprietary intra- city connection in all of the operating cities + Selective Usage of Third Party Network for Quality Substantially self-owned last mile roll-out(c) + 15#17Link Net ④ Compelling product offerings with superior service quality Superior innovation-led product strategy and service quality WB 2012 30 Mbps 2013 100 Mbps • PVR 2012 FM Live You Tube SD 720 x 576 HD 1920 x 1080 • 2013 50 HD channels 2015 200 Mbps 2014 ⚫ First Media Go 4K ULTRA HD 3840 x 2160 my FIRST Multi-Screen Interactive Experience with next generation cable OTT STB Ultra High Definition Resolutions . 2016 1 Gbps 2016 2017 ⚫ OTT Partnership (HOOQ) Anti-DDOS Cleanpipe 2015 SMART STB X1 HD (Android) Speed Booster • First Media X SMART STB X1 4K (Android) • 4G LTE - Wireless Bundle . My FM App FM Smart Living Bringing Convenience to Subscribers via My FM App First Media Go with First Media X X D SMART LIVING Translate to increase upselling transactions per year Smart Living 16#184 IDRK Compelling product offerings with superior service quality (cont'd) Wide range of product offerings to cater to different customer needs (a,b) Link Net 1 Gbps 163 channels (62 HD) 5,100 100 Mbps 163 channels (62 HD) 150 Mbps 163 channels (62 HD) 2,195 250 Mbps 163 channels (62 HD) 3,139 (US$364) 50 Mbps 1,669 30 Mbps 18 Mbps 141 channels 163 channels (62 HD) 6 Mbps 118 channels (US$224) (51 HD) 103 channels (38 HD) 869 (30 HD) (US$157) 589 399 (US$119) 239(c) (US$62) (US$42) (US$17) (US$29) Family 1 D'Lite Elite 2 3 Supreme 4 Maxima 5 Ultimate 6 Infinite Mach 1 (7 8 ■ Entry-level package offering for subscribers with basic internet and TV channel needs ■Basic package offering for subscribers with basic internet and TV channel needs ■Incremental add-on packages which deliver faster internet and more TV channel genres ■ Package targeted for consumers who are looking for full access to high speed internet and all channels ■Designed for heavy users of high speed internet who require full access to all channels ■ Highest tier packages, offering the highest speed available from the Company combined with dedicated premium customer and technical service for users that demand the Company's best service available Profitability margins are similar across all packages from entry-level to most premium tier package Note: As of December 2017 a) All price is including CPE rental, excluding 10% VAT and add-on channels. Total Link Net channel offering are 184 channels including 21 add-on channels (19 SD, 2 HD) b) Wireless Docsis 3.0 Modem (previously Docsis 2.0) and HD STB for FAMILY and D'LITE & Wireless Docsis 3.0 Wi-fi Modem and X1 4K STB (previously X1 HD STB) for ELITE. Prices for all packages include First Media X c) USD/IDR exchange rate of 14,000 17#19Link Net 5 Strong operating and financial track record Decreasing expense as % of revenues as business expands leading to industry leading margins 1,433 1,673 890 755 57.6% 56.5% 2,000 1,826 Homes passed (k) 1,024 1,121 RGUS (k) 58.4% 58.9% EBITDA margin(a) 16.8% Revenue CAGR 17.6% EBITDA CAGR 3,399 Revenue (IDRbn) 2,954 2,564 1,398 2,136 1,227 Operating expenses 1,114 905 2,001 EBITDA 1,727 1,450 1,231 2014 2015 2016 2017 18#206 Link Net ⑥ Strong balance sheet and significant cash flow generation capabilities (IDRbn) Net cash with potential leverage capacity(a)(b) EBITDA less capex(c) (IDRbn) 131 766 635 Total Cash Total Debt Net Cash 243 2014 61.9% CAGR 481 831 1,030 2015 2016 2017 a) Net cash is defined as total debt (current portion of long-term debt and finance lease payables plus non current portion of finance lease payables) less cash and cash equivalents b) Total cash and debt as of 31 December 2017 c) EBITDA less cash capital expenditures (comprising purchases of property, plant and equipment for installation and purchase of intangible assets plus IDR140bn representing the one-time amount spent on acquisition of B2JS subsea cables in 2015) does not take into account the Company's mandatory debt service requirements or other non-discretionary expenditures and should not be relied on as a measure of the Company's residual cash flow available for discretionary expenditures. EBITDA less cash capital expenditure is a non- GAAP financial measure of the Company's liquidity, excludes components that are significant in understanding and assessing the Company's cash flows and should not be considered as an alternative to liquidity measures derived in accordance with IFAS. The Company's cash from operating activities was IDR1,182.6bn, IDR1,181.7bn, IDR1,560.7bn, IDR1,547.2bn for 2014, 2015, 2016 and 2017. The Company's cash used investing activities was IDR1,039.7bn, IDR1,127.6bn, IDR744.6bn, IDR970.6bn for 2014, 2015, 2016 and 2017. Other companies may calculate this non-GAAP measure differently which limits its usefulness as a comparative measure 19#217 Experienced management team with a strong track record Link Net Irwan Djaja, Chief Executive Officer ■ Over 23 years of experience in auditing, consulting and corporate finance in various industries ■ Holds two doctorate degrees in Management and Law ■ Earned numerous accounting professional certifications ■ Has numerous leadership roles in leading successful companies under Lippo's TMT pillar to growth. Prior experiences include: CEO and CFO First Media, Berita Satu CEO and CFO of Link Net Timotius Sulaiman, Chief Financial Officer ■ Over 21 years of experience in auditing, accounting, in big five accounting firms, various leadership experience roles in multimedia and telco companies, including Orange TV, Nokia Siemens Network, and Mobile-8 Telecom Holds a master degree in Management Previously Director and CFO in BOLT 4G LTE Meena Adnani, Content Director ■ Over 23 years of experience in media, content and marketing and legal counsel ■ Previously EVP, Content Development and Business Affairs in PT First Media Tbk Sutrisno Budidharma, Sales Director ■ Over 27 years of extensive experience in leading product sales teams in banking and branch management in the banking sector Previously Business Development and Direct Sales Director in Link Net Desmond Poon, Chief Technology Officer & Product Director ■ Over 22 years of experience in technology, media and networks ■ Prior to joining Link Net, he was the VP/Head, Home Solutions & Architecture (SHINE) in StarHub Ltd, Singapore Liryawati, Chief Marketing Officer ■ Over 23 years of experience in area of marketing, sales and retail FMCG, major electronic company, and telco ■ Previously worked in Philip Morris International, Samsung Electronics and the last position held was CMO for BOLT 4G LTE Agus Setiono, New Roll Out Director ■ Seasoned leader in operations, marketing in major foreign bank with more than 28 years of experience in technology, media and networks. ■ Prior to joining Link Net, he was the VP of Card Marketing in Citibank Indonesia Edward Sanusi, Chief Operation Officer ■ Over 21 years of experience in managing technology related business models for software development, ISP, Cable TV, social media, and system integration ■ Previously Director/CEO in PT Plexis Erakarsa Pirantiniaga (PlasMedia) Ferliana Suminto, Corporate Resource Director ■ Seasoned leader with more than 23 years of experience in finance, business development, information and communication technology, including an exposure in UPH, and PT. Matahari Putra Prima ■ Prior to joining Link Net, she was the Chief Financial Officer in PT. Indonesia Media Televisi Complementary skills and expertise with strong domestic and international track record 20 20#22AE 4D15F B85 IBF COAD 00 AE D 100 100 2 AD 37 2014 59 BF 0 1276 UNUENDOO36 04E2 F 7 B1ASE2E15 E 8 Section 3 Key strategies 147 8 LA 3890 3 2 Link Net#23Description Focus Four strategic growth pillars 1 2 3 4 Maintain expansion momentum through strategic roll-out Maximize capital utilization through intensifications Cementing position as a leading HSBB provider of choice Link Net Continued expansion of enterprise business Extend strategic partnerships & extensions Continue to "Fill in the gaps" in existing cities Explore, utilize and test new technologies Boost penetration rates and increase returns via remarketing initiatives & compelling bundles Upsell with value added services Continuously enhance overall product & network service quality Innovative product offerings Standardized service packages to cater to SMES Experiment different product offerings, technologies and services for large Enterprises Further develop internal resource competencies 22 22#24A B Link Net 1 Maintain expansion momentum through strategic roll-out Management seeks to maintain the expansion momentum to achieve 2.8m homes passed by 2021 Existing cities Potential ■ 2.00m homes passed ■ Further upside in addressable households with economic growth Commentary ■ Focus on premium locations and selected households - Leverage strong execution track record and technical know-how New cities ■ Java intercity fiber backbone acquisition provided instant access to ~43 new cities (a) ■ Selective expansion into key - metropolitan cities in Java Island Employ robust and stringent ROIC analysis in evaluation Strategic partnerships Strategic partnership with reputable real estate developers COLIPPO LIPPO РТ ЦРРО КАЛАМАСІ ТЕК CIKARANG ■ Reduction in upfront capex Provides stronger initial HSBB take-up ■ Sinarmas Land Revenue sharing with real estate developers ModernLand a) Source: 2017 Media Partners Asia 23#25Cementing position as a leading HSBB provider of choice Link Net Product innovation leadership & synergistic bundles Highest range of channels and most advanced OTT platform(a) Innovations: Smart Living, Interactive Smart STB (catch-up TV, Cloud PVR, VOD, etc) Offers attractive bundles, including leveraging on affiliated companies' services (4G Wireless, Data Centre, etc) Dold ND BOLT service Stop provider Superior customer service IT run back office: Node-by-node monitoring to observe and implement preventive actions (Pro-active service & network quality assurance & delivery) Customer service through Omni channels customer arket servi Retention and winback programs Link Net Multi-Screen interactive experience with next generation cable OTT STB BOLT! GTN Optimal subscriber experience with technological advancements Nodes to home ratio among the lowest globally Extensive network peering and caching to provide better surfing experience network quality Superior Redundant submarine and backbone fiber capacity for optimal international connectivity Adherence to international open standards to ensure interoperability and prevent technology obsolescence Upselling initiatives SQ Service Quality Award 2017 Fint Medi PAY FIRST My FM app Marketing strategies and product innovations Portfolio growth strategy Aggressive value added services offers based on segment profiling relevance SD 720x576 HD 1920 x 1080 4K ULTRA HD 1840x2160 X D SMART LIVING Ultra High Definition First Media Go with First Media X Smart Living Resolutions Note: HSBB refer to high-speed broadband (broadband connections of 4 Mbps or faster) a) Source: 2017 Media Partners Asia 24 24#26Continued expansion of enterprise business Strategic roadmap for enterprise business Complementary bandwidth utilization from residential broadband 1 Recent initiatives Increasing customer stickiness, especially for SMEs with end-to-end solutions More competitive product offerings Dedicated internal resource allocation to focus solely on marketing to enterprise customers 2 Link Net " Standardized service packages ■ End to end solution via bundled ☐ offering Value added services and managed services Continued service expansions and improvements ☐ Pre-wiring of office buildings Standardized and automation of work orders to increase efficiency and reduce delivery lead time Allianz IDX(a) Selected enterprise clients BCA Garena Ritz Carlton Grab 3 Sales capability and internal Kompas Gramedia JIS(b) CIMB Niaga WPP(c) NSIAPay Lippo process improvement DBS JW Marriott Orion Cyber Internet a) Indonesia Stock Exchange b) Jakarta International School c) PT Wira Pariwara Pamungkas (Group M Indonesia) " Dedicated sales team Automation of network monitoring and trouble ticketing system 25 25#27AE D 100 100 Section 4 Financial overview 0 9264 U NUENDOOME 8 3890 147 A 2 AD 37 2014 59 BF 04E2 F 7 B1ASE2E15 E 8 00 AE 4D15F B85 IBF COAD 3 2 Link Net#28Our key drivers since 2014 Homes passed / Penetration(a) (k) 27.4% (IDRbn) 1,433 28.5% (k) +568 homes 2,000 2014 Revenue 2,136 2014 16.8% CAGR(e) 2017 RGUS Link Net 755 2014 +366 RGUs (IDRk/month) 1,121 ARPU(b) +IDR19k/month 11 2017 402 2014 421 2017 58.9% (IDRbn) 2,001 EBITDA & margins(c) (IDRbn) 57.6% 3,399 1,231 17.6% CAGR (e) 2017 2014 2017 243 2014 EBITDA less capex(d) 61.9% CAGR (e) 1,030 2017 a) b) c) Broadband penetration based on broadband subscribers divided by homes passed ARPU is calculated by dividing revenue generated during a period by the number of total RGUS at the end of such period, then dividing the quotient by the number of months in such period EBITDA is a non-GAAP financial measure of the Company's performance and should not be considered as an alternative to performance measures derived in accordance with IFAS. Other companies may calculate this non-GAAP measure differently which limits its usefulness as a comparative measure. EBITDA margin is defined as EBITDA divided by revenue d) EBITDA less cash capital expenditures (comprising purchases of property, plant and equipment for installation and purchase of intangible assets plus IDR140bn representing the one-time amount spent on acquisition of B2JS subsea cables in 2015) does not take into account the Company's mandatory debt service requirements or other non-discretionary expenditures and should not be relied on as a measure of the Company's residual cash flow available for discretionary expenditures. EBITDA less cash capital expenditure is a non-GAAP financial measure of the Company's liquidity, excludes components that are significant in understanding and assessing the Company's cash flows and should not be considered as an alternative to liquidity measures derived in accordance with IFAS. The Company's cash from operating activities was IDR1, 182.6bn, IDR1, 181.7bn, IDR1,560.7bn, IDR1,547.2 for 2014, 2015, 2016 and 2017. The Company's cash used in investing activities was IDR1,039.7bn, IDR1,127.6bn, IDR744.6bn, IDR970.6bn for 2014, 2015, 2016 and 2017. Other companies may calculate this non-GAAP measure differently which limits its usefulness as comparative measure 27#29Continued robust revenue growth across segments Revenue by services offered Link Net ARPU (IDRk/month)(a) 402 Penetration rate (%) (E (IDRbn) 27.4% 415 (b) 27.3% 407 421 28.5% 28.5% Continued growth in our subscriber base Double digit growth of subscriber base since 2011 and penetration rate as of FY17 at 28.5 ■ ARPU expansion with premium product offerings and upselling to higher product package ■ARPU for FY17 at record high (c) Broadband ■Cable TV Enterprise Others 3,399 236 2,954 370 199 2,564 370 165 2,136 333 1,243 144 256 1,086 940 795 98% bundling rate (d) 1,920 1,670 1,460 1,197 2014 2015 2016 2017 a) ARPU is calculated by dividing revenue generated during a period by the number of total RGUS at the end of such period, then dividing the quotient by the number of months in such period b) Penetration rate calculated as number of broadband RGUS divided by homes passed c) Others include advertising sales, fees related to payment gateway providers, fees on late payments, installation charges in connection with new service setup, and sales of customer premises equipment d) As at 31 December 2017 28#30Link Net Operational efficiencies continue to drive profitability growth EBITDA & margins(a) Net profit & margins(b) (IDRbn) EBITDA margin (%) (IDRbn) Net profit margin (%) 57.6% 56.5% 58.4% 58.9% 26.1% 24.9% 27.7% 29.6% 2,001 1,007 1,450 1,231 1,727 2014 2015 2016 2017 640 558 819 2014 2015 2016 2017 a) EBITDA is a non-GAAP financial measure of the Company's performance and should not be considered as an alternative to performance measures derived in accordance with IFAS. EBITDA margin is defined as EBITDA divided by revenue b) Net profit margin is defined as net income / total revenue 29#31AE D 100 100 0 1276 2 AD 37 2014 59 BF 04E2 F 7 B1ASE2E15 E 8 00 AE 4D15F B85 IBF COAD 3 Section 5 Appendix 8 147 1 A7 3890 2 Link Net#32SWA SWA Link Net industry accolades and awards of the BEST BEST COMPANIES Best of the Best Companies 2017 2nd place From Forbes Indonesia SQ Service Quality Award 2017 First Media Carro Service Quality Award 2017 Diamond (First Rank) Pay TV Category by Service Excellence Magazine and Carre-CCSL M WOW BRAND 2015 FIRST MEDA INDONESIA WOW AND 2015- Word of Mouth Marketing Award 2015 Top Telco 2014-2016 Top Fixed Internet Category From Itech Magazine MTOP BRAND AWARD FIRST MEDIA/ FASTRET Link Net Indonesia WOW Brand 2015 & 2017 Silver Champion for Pay TV Category, 2015 & 2017 Gold Champion for Fixed ISP Category, 2015 From Markplus Inc INDONESIA MOST INNOVATIVE BUSINESS AWARD 2017 Indonesia Most Innovative Business Award 2017 Advertising, Printing, and Media Category From Warta Ekonomi SWA NET PROMOTER LEADER 2016 Pay TV I I SWA NET PROMOTER LEADER 2016 Broadband/Fixed ISP Customer Loyalty Award Net Promoter Leader Award 2016 Pay TV & Broadband/Fixed ISP category SWA magazine, 2011-2016 STOMER LO NET LEADER Brand Finance plc Brand Rating 2015 Top Brand Award 2012-2014 PEFINDO25 Index (01/08/2015 to 31/01/2016) SWA Net Promoter Leader Award 2011-2014 fontier TEMPO TEMPO PT Link Not fontier Corporate Image Award 2012-2014 INDONESIA 2015 EXCELLENCE AWARDS 2015 Frost & Sullivan Indonesia Excellent Awards 31