#1783F CAT 2 3 GTS B PAND 6 9 00 8 PORSCHE SIME DARBY BERHAD CLSA Investors' Forums (Hong Kong) September 2018 Sime Darby Developing Sustainable Futures#2Disclaimer Sime Darby This document is strictly confidential to the recipient. It is being supplied to you solely for your information and may not be reproduced, redistributed or passed on, directly or indirectly, to any other person or published, in whole or in part, for any purpose. Upon request, you shall promptly return this document all other information made available in connection with this document, without retaining any copies. The distribution of this document in other jurisdictions may be restricted by law, and persons into whose possession this document comes should inform themselves about, and observe, any such restrictions. This document does not constitute and is not an offer or invitation to sell, or any solicitation of any offer to subscribe for or purchase any securities of any company referred to in this document in any jurisdiction. The companies referred to herein have not registered and do not intend to register any securities under the US Securities Act of 1933, as amended (the "Securities Act"), and any securities may not be offered or sold in the United States absent registration under the Securities Act or an exemption from registration under the Securities Act. By attending the presentation you will be deemed to represent, warrant and agree that to the extent that you purchase any securities in any of the companies referred to in the presentation, you either (i) are a "qualified institutional buyer" within the meaning of Rule 144A under the Securities Act, or (ii) you will do so in an "offshore transaction" within the meaning of Regulation S under the Securities Act. By attending this presentation and accepting a copy of this document, you represent and warrant that (i) you have read and agreed to comply with the contents of this notice; (ii) you will maintain absolute confidentiality regarding the information contained in this document including information presented orally or otherwise in accordance with your confidentiality obligation; and (iii) you are lawfully able to receive this document and attend this presentation under the laws of other jurisdiction in which you are subjected and other applicable laws. This document is for the purposes of information only and is not intended to form the basis of any investment decision. This presentation may contain forward- looking statements by Sime Darby Berhad that reflect management's current expectations, beliefs, intentions or strategies regarding the future and assumptions in light of currently available information. These statements are based on various assumptions and made subject to a number of risks, uncertainties and contingencies and accordingly, actual results, performance or achievements may differ materially and significantly from those discussed in the forward-looking statements. Such statements are not and should not be construed as a representation, warranty or undertaking as to the future performance or achievements of Sime Darby Berhad and Sime Darby Berhad assumes no obligation or responsibility to update any such statements. No representation or warranty, express or implied, is given by or on behalf of Sime Darby Berhad or its related corporations (including without limitation, their respective shareholders, directors, officers, employees, agents, partners, associates and advisers) (collectively, the "Parties") as to the quality, accuracy, reliability, fairness or completeness of the information contained in this presentation or its contents or any oral or written communication in connection with the contents contained in this presentation (collectively, the "Information"), or that reasonable care has been taken in compiling or preparing the Information. None of the Parties shall be liable or responsible for any budget, forecast or forward-looking statements or other projections of any nature or any opinion which may have been expressed or otherwise contained or referred to in the Information. The Information is and shall remain the exclusive property of Sime Darby Berhad and nothing herein shall give, or shall be construed as giving, to any recipient(s) or party any right, title, ownership, interest, license or any other right whatsoever in or to the Information herein. The recipient(s) acknowledges and agrees that this presentation and the Information are confidential and shall be held in complete confidence by the recipient(s). All the images, pictures and photos including design drawings in relation to the company's property development projects contained in this document are artist impression only and are subject to variation, modifications and substitution as may be recommended by the company's consultants and/or relevant authorities. Strictly Private & Confidential 1#3Table of Contents Section 1. Sime Darby Berhad 2. Motors Division 3. Industrial Division 4. Logistics Division 5. Others 6. Appendices Strictly Private & Confidential 2 Page 3 14 24 34 37 40 40 Sime Darby#4Company overview Strictly Private & Confidential 3 Sime Darby#5Sime Darby Berhad ■Leading trading company in APAC with strong partnerships with premium brands M W #2 BMW dealer globally CAT #3 Caterpillar dealer globally RAMSAY SIME DARBY HEALTH CARE 4 ports in China 6 hospitals in Malaysia & Indonesia FY18 Financial Snapshot Maldives Revenue RM33,828m $ PBIT RM1,074m $ S9 EBITDA RM1,738m PATAMI RM618m China Sime Darby Motors Industrial Logistics Healthcare South Korea Macau Hong Kong Taiwan Thailand Vietnam Malaysia Singapore Indonesia Christmas Island Brunei Papua New Guinea Solomon Islands New Caledonia Australia Shareholders' Total Assets RM24,857m Funds RM14,370m 18 Countries & Territories(¹) 20,266 Employees (2) New Zealand (1) Geographical footprint defined as locations in which Sime Darby Berhad has assets or employees, and includes JV's operations (i.e. Ramsay Sime Darby Health Care operates in Indonesia); (2) As at 31 May 2018. Excludes employees of Ramsay Sime Darby Healthcare; 4#6Business overview ■Diversified trading and logistics company; valuable healthcare component Motors Industrial Logistics 980K CA M.YB 6466 T Healthcare Sime Darby Retail, distribution and assembly businesses ☐ Presence in 10 countries & territories across APAC, over 40 years experience Represents 31 brands, ranging from luxury brands (e.g. BMW, Porsche, Rolls Royce) to mass market brands (e.g. Ford, Hyundai), as well as trucking names (e.g. Hino and Mack) BMW dealer since 1972 and is the second largest BMW dealer group globally (FY18; RM m) 20,341 Comprehensive range of equipment and services i.e. new and used machine and engine sales, rental and full range of product support services Network of more than 109 branches throughout APAC Balanced sectoral exposure in mining, construction, forestry, marine and energy Also provides comprehensive range of industrial solutions via Allied Brands and Energy Solutions CAT dealer since 1929 and is the third largest CAT dealer globally PBIT Margin 2.7% (FY18; RM m) 13,041 543 Ports & Logistics and Water Management in Shandong, Eastern China Entered Shandong in 2005 and is currently the largest multi- purpose port in Yellow Delta River, Shandong Weifang Port - dry bulk, break bulk, liquid bulk, general cargo & container - Jining Ports (3 ports) - Stevedoring & storage services for coal & coal related products Water treatment plants (2 plants) supplies clean water to residential, commercial and industrial users in the BEDA area(1) [pending disposal] (FY18; RM m) 341 ◉ PBIT Margin 21.7% " 74 PBIT Margin 4.7% 612 Revenue 10,870 PBIT ROAIC (3) 7.9% Revenue 9,242 PBIT ROAIC (3) 9.2% Revenue 2,701 PBIT 2,320 ROAIC (3) 3.2% 7,701 5,896 50:50 JV with Ramsay Healthcare for the management of hospitals and provision of healthcare services (FY18; RM m) 883 PBIT Margin 6.5% 57 Revenue 731 PBIT 731 (3) ROAIC 7.8% Assets Invested Capital (2) Others E&O Sime Darby LOCKTON EASTERN & ORIENTAL BERHAD " TESCO MALAYSIA VISION VALLEY 12% stake in Eastern & Oriental Owns c.8,800 acres of land in the Malaysia Vision Valley region and 4 corporate towers in Ara Damansara 30% stake in Tesco Malaysia Provision of shared services to all Sime Darby pure plays Assets Invested Capital²) Assets Invested Capital (2) Assets Invested Capital (2) " Insurance broking services in " Malaysia, Singapore and Hong Kong Holder of SIME DARBY trademarks Notes: (1) BEDA - Binhai Economic-Technological Development Area (2) Invested capital is total assets (excluding tax assets and intercompany balances) less operating liabilities (i.e. all liabilities except borrowings, intercompany balances, leases and tax liabilities (3) ROAIC is PBIT divided by average invested capital 5#7FY18: Segmental Information ■Diversified exposure across segments and geographies, low gearing for expansion Sime Darby (FYE June; RM mm) Total Revenue By Segment By Geography Logistics 1% Others 0% SEA (excl. Msia) 17% Malaysia 15% Industrial 39% Motors 60% Capital Structure Debt/Equity: 19.6% 14,759 389 14,370 (1) China/HK 38% Australasia 30% Revenue: RM33,828m Total PBIT By Segment Others Logistics -11% 6% Notes: Industrial 44% Motors 39% By Geography PBIT: RM1,074m SEA (excl. Msia) Malaysia 30% 26% (2) (1) China/HK 36% Australasia 8% Equity 2,889 247 2,642 Debt ■Shareholders' Funds ■ NCI ■LT Borrowings ■ST Borrowings Total Borrowings (By maturity) Total borrowings: RM 2,889m 2,642 70 163 14 1,672 Cash ■Cash > 5 years 2-5 years 1-2 years < 1 year (1) China consists of China, Hong Kong, Macau & Taiwan; (2) Australasia consists of Australia, New Caledonia, New Zealand, Papua New Guinea & Solomon Islands#8FY2018 Financial Results ■Reported Profit: 12 Months ended 30 June 2018 In RM Million Revenue PBIT Finance income¹ Finance costs Profit before tax Taxation Profit from continuing operations Non-controlling interests & Perpetual Net profit from continuing operations Net profit from discontinued operations FY2018 FY2017 YoY % 33,828 31,087 8.8 1,074 784 37.0 104 512 (113) (289) 1,065 1,007 5.8 (380) (212) 685 795 (13.8) (67) (180) 618 615 0.5 (Plantation & Property) 1,301 1,823 Net profit attributable to owners of the Company 1,919 2,438 Notes: 1. Includes finance income from discontinued operations of RM48m (FY2018) and RM465m (FY2017) Strictly Private & Confidential 7 Sime Darby#9FY2018 Financial Results Core Net Profit: 12 Months ended 30 June 2018 In RM Million Reported PBIT FY2018 FY2017 YoY % 1,074 784 37.0 Adjustments • Disposal of/compensation from properties (238) (30) • Bucyrus impairment 257 Motors Vietnam 1991 66 . Impairment of equity in E&O 103 • Disposal of E&O shares/warrants (35) • Yayasan Sime Darby - deconsolidated in Q3 852 27 . ONGC Provision 28 • Net corporate forex gain (23) (120) Core PBIT 1,228 949 29.4 Net finance costs Tax expense (56) (137) (282) (140) Non controlling interests (55) (59) Core Net Profit 835 613 36.2 Notes: 1. Includes impairment of distribution rights (RM61m) and write-down of inventories (RM89m) 2. Includes writedown of assets (RM61m), expenses (RM37m) and reversal of accruals (RM13m) Strictly Private & Confidential 8 Sime Darby#10FY2018 Results Announcement ■ Snapshot of borrowings position Long Term vs Short Term Borrowings 2,647 274 2,889 247 Total Borrowings $ ---- +9.1% 2,373 Mar-18 ■ST Borrowings RM14.8bn Total Equity Strictly Private & Confidential 2,642 Jun-18 ■LT Borrowings RM 2.89bn As at 30 June 2018 19.6% Debt/Equity Ratio RM1.67bn Bank balances, deposits and cash 9 Sime Darby#11Segmental Financials ■ Core businesses of Motors and Industrial provide good ROAIC Historical ROAIC (FY18 ROAIC vs 10-year and 5-year average) By Segment Sime Darby 14% Industrial 8% 13% 10% 9% Motors Invested Capital as at 30 June 2018 7,701 5,896 FY18 10-year avg. 5-year avg. 8% 5% 4% 4% 4%83% Logistics Healthcare ☐ By Segment Healthcare, 4% Others, 4% Logistics, 14% 2,320 731 716 Motors 34% Industrial Motors Logistics Healthcare Others Total Invested Capital: RM 17,364m Strictly Private & Confidential 10 Industrial, 44% ■ Core businesses: Motors and Industrial core businesses provide the highest ROAIC for Sime Darby Berhad ☐ Healthcare's ROAIC has improved due to better performance from Malaysian operations Logistics' ROAIC is significantly lower due to its asset heavy structure#12Value Creation Plan ■ Value creation: Delivering returns and growth To be the leading Motors & Industrial multi-national in Asia Pacific OPERATIONAL EXCELLENCE . Optimise cost • . structure via operational excellence Strengthen resilience to down cycles Turnaround of poor performing businesses Strictly Private & Confidential • • • ACCELERATING GROWTH Leverage on mining recovery, infrastructure, new model launches New markets and new brands via M&A Complementary adjacencies (assembly, asset management) . RATIONALISING NON-CORE BUSINESSES Re-deploy capital towards our core businesses and key projects Sime Darby 11 Sime Darby Berhad#13Business characteristics ■High volume, low margin business with significant footprint across Asia; strong partnerships Cyclical business Business dependent on commodity cycle (coal, O&G) for Industrials and model cycle for Motors BMW sales expected to pick up with popular new models Industrial benefiting from pick up in coal prices BMW X3 2018 22% Coal % of world energy consumption by 2040(1) Broad footprint across Asia • Pacific Large network and strong "know how" in the Asia Pacific region Diversified operational footprint with exposure to emerging markets and developed economies Proxy to key macro trends i.e. growing Asian affluence (BMW), demographics (Healthcare) and commodity upcycle (Industrial) Strictly Private & Confidential (1) Source: Wood Mackenzie High volume, low margin business SDB's business is characterized by high unit sales and low trading margins (~3%). However, if working capital is managed well, cash flows are significant and ROIC can be high. ¬ Sime Darby B H Capital requirement not strenuous Undemanding capex requirements which largely revolve around showroom upgrades and warehouses 12 Sime Darby Long-standing partnership with premium brands Partner of choice for MNCs who wish to expand in Asia CAT 1929 . • B M SINCE 1972 Healthcare a hidden gem RAMSAY SIME DARBY HEALTH CARE . Premium hospitals in Indonesia and Malaysia tap into growing affluence in the region Significant expansion opportunities in other Asian markets, leveraging on brand Asian healthcare business supported by strong valuations Low gearing, room for expansion 19.6% Ample debt headroom for strategic Debt to equity ratio expansion and M&As#14Sime Darby: Executive Leadership ■ Qualified & Experienced Management Team Jeffri Salim Davidson Group Chief Executive Officer " Appointed Deputy Group CFO in 2016 and previously Senior Vice President of Industrial Division (China, Singapore & Power Systems) Held various senior leadership positions in Sime Darby Berhad including the Finance Director of Tractors Malaysia Sdn Bhd and Managing Director of China Engineers Limited Holds a BSc in Geology from University College London (United Kingdom), and a Chartered Accountant (ICAEW) by profession Andrew Basham Managing Director, Sime Darby Motors Sime Darby Appointed as Managing Director of Motors Division in March 2018, with over 20 years experience in the motors distribution business. Prior to joining Sime Darby, Andrew was the Managing Director for Lei Shing Hong Automotive in Hong Kong, overseeing the retail and importation of Mercedes-Benz and Porsche vehicles in Korea, Australia, Vietnam, England, Germany and Cambodia. Andrew is a member of the Institute of Chartered Accountants in Australia. Mustamir Mohamad Group Chief Financial Officer ◉ Appointed as Head of Group Finance for Sime Darby Group in 2014 Previously served in various senior positions in Sime Darby, including Head of Strategy & Business Development in Sime Darby Plantation; Head of EVP Office, Sime Darby Plantation; and Senior Manager of Value Management in Group Strategy, Sime Darby Berhad He holds a degree in Accounting and Finance from the London School of Economics and Political Science, is a Fellow of ICAEW and a member of the Malaysian Institute of Accountants (MIA) Datuk Thomas Leong Yew Hong Group Chief Strategy Officer " " Appointed as Head of Strategy and Corporate Finance for Sime Darby Group in 2016 Previously Executive Vice President of Maybank's Group Strategy & Business Development and has held senior positions in Accenture and Deloitte Consulting, based in Australia, Hong Kong and Malaysia Holds a BSc in Software Engineering from Australian National University, and an MBA (International Corporate Finance) from University of Sydney Scott William Cameron Managing Director, Sime Darby Industrial Appointed as Managing Director of Industrial Division in 2007 25 years of experience in the Caterpillar family. Began his career with Price Waterhouse in Brisbane, Sydney and New York before joining Hastings Deering (Australia) Limited as the Finance Director in 1992. Currently the Dealer Principal of the Hastings Deering Group Holds a degree in Commerce from University of Queensland. He is a Fellow of the Institute of Chartered Accountants in Australia and a Fellow of the Australian Institute of Company Directors Timothy Lee Chi Tim Managing Director, Sime Darby Logistics " Appointed as Managing Director of Logistic Division in 2011 Over 20 years of operational experience in the ports and container terminal management industry in Hong Kong Previously the Operations Manager of the Hong Kong Business Unit for Modern Terminals Limited (the second largest port operator in Hong Kong) prior to joining Sime Darby Strictly Private & Confidential 13#15Motors Division Strictly Private & Confidential 14 Sime Darby#161979 1982 1981 History & Key Milestones ■Solid Track Record Across 9 Markets in the Asia Pacific Region 1972 BMW (HK & Macau) Acquired the sole importer and distributor of BMW cars & motorcycles in HK & Macau 1998 New Zealand Acquired 80% of Continental Car Services Ltd i.e. multi-franchise dealership based in Auckland 2010 Malaysia & China Appointed distributor & retailer of Porsche in Malaysia Added the Lamborghini marque to its retail business in China JV with Ford to distribute Ford vehicles in Malaysia Ford Entered hire & drive business through the Hertz franchise for Malaysia and Brunei Hertz BMW (Singapore) Obtained dealership rights of BMW cars & motorcycles in Singapore Strictly Private & Confidential 1997 1987 BMW (Malaysia) Appointed authorised sole importer & distributor of BMW in Malaysia 2001 BMW (Singapore) Won the BMW AG award for achieving the highest BMW sales worldwide 2004 Trucks (New Zealand) Investment in the truck business in New Zealand (Mack, Renault & Hino) Mack Peugeot Motors Appointed ☑ PEUGEOT distributor of Peugeot Motors in Australia & New Zealand 15 TRUCKS RENAULT MINO 2005 2012 Rolls Royce Macau, Porsche Sydney " ■ Rolls Royce Macau dealership commenced operations Acquired Porsche Sydney ROLLS R ROYCE Hyundai Malaysia Acquired Hyundai business and Inokom assembly facility in Malaysia HYUNDAI LAND -ROVER JAGUAR 2014 2017 2013 Vietnam, Taiwan, Malaysia, Australia " ◉ " Acquired official BMW & Mini importer & distributor for Vietnam Appointed sole distributor for Kia in Taiwan Commenced assembly of Mazda vehicles in Inokom for export to Thailand Acquired BMW Brisbane, Australia Fiat & Alfa Romeo (Australia) Addition of Fiat & Alfa Romeo dealerships in Australia FIAT Jaguar & Land Rover (Malaysia), Ferrari (Brisbane) ◉ ◉ Obtained sole distributorship of Jaguar & Land Rover in Malaysia Added Ferrari to Brisbane, Australia Source: Company website Sime Darby#17Sime Darby Motors ■We represent strong luxury and mass market brands across APAC Sime Darby ☆ Malaysia Singapore Thailand Australia New Zealand Hong Kong Macau China Taiwan Distributor & Dealer Distributor Dealer Dealer & Dealer Distributor & Dealer Distributor & Dealer Distributor Dealer & Dealer Mack MINI Ford Ford MINI MINI MINI MINI MINO mazda PEUGEOT JAGUAR Ford LAND ROVER HYUNDAI Assembly (Inokom) BM MINI HYUNDAI mazda Rental Hertz Rental Hertz Strictly Private & Confidential FIAT VOLVO Rental COREFLEET S NISSAN VOLVO ROLLS ROLLS R R ROYCE Distributor & Dealer KIA ROYCE McLaren ROLLS R ROYCE Assembly KIA VOLVO TRUCKS PEUGEOT PEUGEOT LAMBORGHINI RENAULT TRUCKS SUZUKI SUZUKI Dealer MITSUBISHI MITSUBISHI M FUSO FUSO JAC JAC MOTORG MOTORS NISSAN Audi 16 Source: Corporate Presentation, Company website#18Sime Darby Motors ■Focused on Expansion in Asia Pacific SDM represents 31 strong luxury, mass market and trucking brands across 9 markets in Asia Pacific. China ROLLS R ROYCE MINI McLaren LAMBORGHIN • Countries & Achievements #2 BMW dealer globally One of Top Rolls Royce dealers in Asia Pacific A leading Distribution group in Malaysia • A leading Commercial Vehicle Distributor in NZ Key Strategic Partners BMW (44 years) – Eight markets Ford (37 years) - Singapore and Malaysia Porsche (30 years) - Malaysia, Australia and New Zealand Hyundai (14 years) - Malaysia and Taiwan Hong Kong W ROLLS R ROYCE MINI PEUGEOT SUZUKI Malaysia PORECH MITSUBISHI JAC MOTORD FUSO MINI Ford CLAND- -ROVER HYUNDAI JAGUAR MINI B mazda HYUNDAI Australia M MINI VOLVO FIAT New Zealand Strictly Private & Confidential B M PORSCH Berrar Sime Darby Current Presence Distributor & Dealer Dealer Assembly Rental Hertz Thriye Taiwan KIA KIA Thailand Ford mazda Singapore Ford PEUGEOT Hertz Thrifty. NISSAN Audi 17 COREFLEET Mack S NISSAN VOLVO TRUCKS HINO#19Sime Darby Motors ■Focus on new launches, expand assembly, M&A for new territories Objectives II C Operational Excellence Turnaround Loss Makers/ Divestment of non-core III Expand Assembly Levers ☐ Leverage on new model launches ■ Focus on growth and efficiency of used cars and aftersales ■ Ensure facilities are up to standard Divestment of non-core and loss making businesses ■ Set action plans for under achievers ■ Assembly for existing partners (Hyundai and BMW) for ASEAN Region ■ Introduce new marques to assemble for local and export markets Strictly Private & Confidential 18 IV Business Expansion V "Future Proofing" Strategy Sime Darby ☐ Explore new markets (e.g. ☐ ☐ Indonesia and Philippines) to represent existing partners Explore new marques in existing markets Develop and Implement a Digital transformation strategy across the operations Sime Darby Berhad#20Sime Darby Motors Key Financial Highlights Revenue (RM mm) Record sales of the trucking business across all brands in NZ, higher sales volume in China and increased COE quota & timely launches of new BMW models in Singapore 7,926 7,510 10,098 20,602 20,341 17,266 17,745 16,597 18,646 19,155 14,818 Sime Darby PBIT (RM m) Impacted by GST in Malaysia and government policy in China 702 711 633 635 Stronger contributions Malaysia and from China operations 692 633 184 164 386 503 474 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 Invested Capital (2) (RM mm) FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 (1) ROAIC(3) (%) Reduction in working capital inventories, ¦receivables and cash balances 6,431 - 6,086 5,755 5,826 5,896 Increase in working capital and acquisition of BMW Brisbane and Vietnam 4,033 3,738 3,226 2,602 2,720 2,743 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 6.6% 6.9% 14.1% 21.2% 20.2% 18.3% 12.6% 10.9% 9.2% 8.3% 7.6% FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 Notes: (1) Excludes impairments of RM199m relating to Vietnam and gains on property disposal of RM50m (2) Invested capital is calculated as total assets (excluding tax assets and intercompany balances) less operating liabilities (i.e. all liabilities except borrowings, intercompany balances, leases and tax liabilities (3) ROAIC is calculated as PBIT divided by average invested capital Strictly Private & Confidential 19#21SEA (excl. Malaysia) Sime Darby Motors ■■Units Sold, Revenue & PBIT by Region (1/2) FY18 Sales Contribution Marques Malaysia & Units Sold Malaysia Malaysia, 18% Units Sold Sime Darby Reported Revenue & Core PBIT (RM m) M MINI 7.3% 4.7% 2.6% 6.2% 5.9% 333 204 223 210 31,230 Ford LAND ROVER 87 26,607 4,563 4,323 18,571 17,663 16,611 3,385 3,573 3,576 JAGUAR (1) 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 HYUNDAI Units sold: 16,611 Revenue PBIT PBIT Margin SEA (Excl. M'sia) 1.0% 0.8% 4.3% 2.2% 2.3% M W 192 MINI 112 121 34 28 20,310 SEA (excl. 18,693 ° M'sia), 25% 16,396 Ford PEUGEOT 12,623 12,696 5,026 5,196 4,516 3,334 3,353 Units sold: 20,310 mazda Note: (1) Excludes land compensation of RM9m (2) Excludes a goodwill impairment of RM19m and provision on inventories of RM18m in Vietnam (3) Excludes impairment of distribution rights or RM61m and writedown of inventories amounting RM89m in Vietnam Source: Audited accounts, Corporate presentation Strictly Private & Confidential 20 2014 2015 2016 2017 2018 2014 2015 2016 2017 (2) 2018(3) Revenue - PBIT PBIT Margin#22Sime Darby Motors ■■Units Sold, Revenue & PBIT by Region (2/2) FY18 Sales Contribution & Units Sold China / HK / Macau Taiwan M Marques MINI Australia / New Zealand Note: East Asia China/HK/Macau, 41% Units Sold Sime Darby Reported Revenue & Core PBIT (RM m) 3.5% 1.6% 1.7% 2.7% 2.7% 250 231 236 ROLLS LAMBORGHINE 35,601 124 134 R 33,915 34,293 31,596 31,827 McLaren PEUGEOT MITSUBISHI ROYCE KIA 8,549 8,672 7,758 7,984 7,227 2014 2015 2016 2017 2018 2014 2015 2016 Units sold: 35,601 JAC SUZUKI FUSO MOTORS Revenue --PBIT 2017 (1 PBIT Margin 2018 Australia / New Zealand M MINI Australia/ NZ, 17% Audi NISSAN 18,060 16,663 16,266 0.7% 3.7% 2.8% 3.0% 118 90 104 4.3% 125 18 13,325 3,212 3,270 3,454 2,897 2,622 9,219 S VOLVO Mack NISSAN VOLVO TRUCKS 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 FIAT Units sold: 9,219 Revenue --PBIT HINO RENAULT PBIT Margin TRUCKS (1) Excludes land compensation of RM41m Source: Audited accounts, Corporate presentation Strictly Private & Confidential 21 Source: Audited accounts, Corporate presentation#23Sime Darby Motors ■Improved performance in China region -1.3% -14% 20,601 20,341 633 • 543 Sime Darby China, HK, Macau, Taiwan Higher volume from luxury cars in Hong Kong Financial performance in Taiwan improved due to new models being launched and growing dealer network Singapore, Thailand Includes share of loss from associate (Munich Auto) of RM10m Malaysia Higher corporate costs despite higher sales volume due to zero-rated GST in June 2018 Australia, NZ Higher profit after the divestment of loss-making operations and improved light commercial rental business due to mining recovery Vietnam Impairment of distribution rights (RM61m) and write-down of inventories (RM89m) Property Disposal Land/property compensation: China (RM41m) and Malaysia (RM9m) FY2017: Disposal of property in Hong Kong Revenue PBIT Jun-17 Jun-18 In RM Million FY2017 FY2018 China, HK, Macau & Taiwan 8,550 8,672 Singapore & Thailand 4,548 5,127 Malaysia 3,571 3,576 Australia & NZ 3,454 2,897 Vietnam 478 69 Total Revenue 20,601 20,341 China, HK, Macau & Taiwan 201 236 Singapore & Thailand 141 121 Malaysia 223 210 Australia & NZ 104 125 Total Core PBIT 669 692 Vietnam (66) (199) . Property disposal/compensation 30 50 Total PBIT 633 543 PBIT margin 3.1% 2.7% Core PBIT margin 3.2% 3.4% ROIC 10.9% 9.2% Strictly Private & Confidential 22 .#24Sime Darby Motors Upcoming Model launches L255356 Lamborghini Urus August 2018 MHLJ5531 BMW 6 Series GT September 2018 Strictly Private & Confidential 23 23 UBF 255 M EV 8842E Sime Darby BMW i8 Coupe August 2018 Jaguar F-Type September 2018#25Industrial Division Strictly Private & Confidential 24 24 Sime Darby#261929 1964 1910 History & Key Milestones ■Long-standing Partnership with Caterpillar Since 1929 Sime Darby & Co (Kumpulan Sime Darby Bhd) established in Malacca, Malaysia 1957 Tractors dealerships extended to Peninsular Malaysia, Singapore, Brunei and Christmas Island Tractors Singapore was established in Singapore. Tractors Singapore CAT CAT (Malaysia) Sime Darby, through Sarawak Trading Company was appointed as a Caterpillar dealer for Sarawak. Tractors Malaysia CAT Strictly Private & Confidential 1984 Tractors Malaysia began its manufacturing and assembly operations 25 25 1972 China Engineers Ltd became a subsidiary of the group 信易 China Engineers CAT 1992 Hastings Deering Acquired Hastings Deering Group, Caterpillar dealer in Australia (Queensland and Northern Territory), Papua New Guinea and Solomon Islands Hastings Deering CAT 2000 Caltrac Hastings Deering acquired Caltrac, the Caterpillar dealer in New Caledonia Caltrac CAT 2017 2011 USD8.8 bn acquisition of Bucyrus by Caterpillar. Hastings Deering became the first Caterpillar dealer in the world to sell, service and support the new range of Caterpillar underground and surface mining equipment Partnership with ENGIE Partnership agreement with ENGIE to (i) develop solar energy, and (ii) integrated facilities management services in Malaysia. ENGIE Sime Darby#27Sime Darby Industrial ■Strong brands and comprehensive market reach throughout APAC Sime Darby Industrial Sime Darby CAT Dealer Operations Tractors Malaysia CAT Malaysia, Brunei Tractors Singapore CAT Singapore, Maldives, Christmas Island 信局 China Engineers CAT Hong Kong, Macau Allied Brands Group Malaysia (via JV with Sime Kubota FUSHENG Kubota Corp & Marubeni Corp) TERBERG Asia Pacific region TRACTORS MALAYSIA (JV with Terberg Benschop) 佳 ELCO POWER OLYMPIAN GENERATOR SETS Philmac The connection you can trust. POWER TEAM Dwyer Hong Kong & Macau, China Hong Kong & Macau Energy Solutions Group ABB Atlas Copco IDEC Tist Anda kapa telecom PULSAFEEDER Motion Smith Schneider Electric IDIS telelift VIKING PUMP A Unit of IDEX Corporation Sime Darby CAT Southeast China (Province of Guangdong, Guangxi, Hainan, Fujian, Hunan, Jiangxi) and Xinjiang Hastings Deering CAT Australia (Queensland & Northern Territory), PNG & SI Caltrac CAT New Caledonia NEW HOLLAND AGRICULTURE Donaldson FILTRATION SOLUTIONS Malaysia, Christmas Island (Indian Ocean), Singapore CMG OMEGA Parker Racor ALEXANDER DENNIS neary Kubota TECHNOLOGIES SULZER 7 TMB Power TMB FLEXENEHEY Pil Pipeline Solutions C SEM POWER PACK Malaysia Perkins Skopp SULLAIR JLG China DataHowk AUSTCHROME Rail in Focus Engineering NovaPower UPG Australia PAKKA JACKS LIFTING THE GAME IML Mecomb Group: Singapore, Malaysia and Thailand HEXAGON A-SUBS LINCOLN EMERSON. Kawasaki Powering your potential safe Itron MINE ENERGY SOLUTIONS HAYNES Australia, China & Malaysia Engineering & Technical Services: Malaysia Malaysia, Hong Kong, Macau, China, South SITECH Korea IR Ingersoll Rand Allison Vietnam Singapore Atlas Copco RENAULT TRUCKS TOXE DIESEL Australia, Malaysia & Singapore Strictly Private & Confidential 26 Parker Racor Christmas Island (Indian Ocean), Singapore, Maldives#28Regional Presence Across 17 Countries and Territories, Supported by a Network of Branches CHINA/HK Xinjiang ■ Hunan South Korea " Jiangxi " Fujian " Guangdong " Guangxi ■ Hainan MALAYSIA MALDIVES SINGAPORE CHRISTMAS ISLAND AUSTRALIA Macau/HK VIETNAM ■ ■ Principal activities Sale, rental and used equipment of Caterpillar equipment and engine Sale of parts, service maintenance, equipment monitoring system and technology equipment's Regional presence: 14 countries & territories(¹) ■ No. of branches: 109(2) ■ Orderbook: RM2.74 bn (as at 30 June 2018) ■ Total no. of employees: 8,151 (as at 31 May 2018) Sime Darby BRUNEI PAPUA NEW GUINEA SOLOMON ISLANDS Regional industry presence No. of branches Construc- tion Forestry Mining Quarry (1) Power Systems Northern Territory NEW CALEDONIA China & 63 HK, Macau Queensland South East Asia 23 (4 depot & 7 CAT rental stores) LEGEND China HK Macau / South Korea Malaysia South East Asia Australia and Pacific Islands Australasia 23 Note: (1) Regional presence defined as locations in which Sime Darby Industrial has assets or employees; (2) Refers to Caterpillar branches only Strictly Private & Confidential 27#29Sime Darby Industrial ■Key Industry Highlights Metallurgical coal prices have stabilised around USD200/tonne vs. average FOB cost for Queensland producers of USD100/tonne. The return to profitability has sparked renewed capital investment by BHP Billiton Coal will continue to remain relevant as a source of power in the next two decades. Utilisation is projected to remain 20 constant at 10 trillion kilowatt hours, ~30% of fuel requirements. 10 Source: EIA International Energy Outlook 2016 Strictly Private & Confidential 30 40 400 350 300 250 200 150 100 50 0 Q1 2010 Q2 2010 Q3 2010 Q4 2010 Q1 2011 Q2 2011 Q3 2011 Q4 2011 Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q1 2013 world net electricity generation by source trillion kilowatthours Queensland Hard Coking Coal FOB (USD/tonne) Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 0 Liquids 2012 2020 2025 2030 2035 2040 28 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Nuclear Other renewables Hydropower Natural gas Coal Sime Darby#30Sime Darby Industrial ■Leverage on commodity boom, digital is key enabler, enhance recurring income profile Sime Darby Objectives $ || Revenue Enhancement Cost Optimization III IV Divestment/ Restructuring of Non-Core Organic Business Expansion Businesses Levers ■ Enhanced sales from mining recovery and infra spending ■ Customer Experience (CX) - Digital as an Enabler to increase and protect market share ■ Growth in aftersales, parts and services " ▪ Operational excellence via rightsizing exercise, process standardization, robotic process automation, lean six sigma, procurement controls, etc. Expansion into adjacent businesses i.e. MES, Haynes, Pakka, asset mgmt. to counter commodity cyclicality and to increase recurring income profile ■ Reviewing of non performing brand and business units ■ Potential divestment Strictly Private & Confidential 29 29#31Sime Darby Industrial ■Key Financial Highlights Revenue (RM m) 10,637 8,645 8,210 7,629 14,429 13,575 12,073 10,962 9,946 10,127 13,041 PBIT (RM m) 898 793 725 1,106 1,396 1,331 1,039 552 434 341 253 Sime Darby FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 (4) FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2013 FY2018" Invested Capital (¹) (RM m) ROAIC(²) (%) Acquisition of Bucyrus business for c. RM1.2bn 7,908 7,903 7,788 7,670 8,089 7,828 7,701 24.3% 23.9% 20.2% 5,156 4,251 3,601 3,255 25.3% 21.4% 16.8% 13.2% 7.1% 5.5% 4.3% 3.2% FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 Note: FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 (3) FY2018 (4) (1) Invested capital is calculated as total assets (excluding tax assets and intercompany balances) less operating liabilities (i.e. all liabilities except borrowings, intercompany balances, leases and tax liabilities (2) ROAIC is calculated as PBIT divided by invested capital (3) Excludes impairments and provisions of RM257m related to Bucyrus (4) Excludes RM178m gain on property disposal Strictly Private & Confidential 30#32SEA (excl. Malaysia) Sime Darby Industrial ■Revenue & PBIT by Region (1/2) Malaysia FY18 Sales Contribution & YoY Orderbook FY18 Sales Contribution Malaysia, 9% Products / Services CAT New Equipment & Engines Revenue (RM m) 1,423 Excavators Dozers 1,230 1,184 1,099 993 Forest machine Lift trucks Orderbook 408 389 +5% Rental & Used Equipment Parts & Services Allied Solutions T 30-Jun-17 30-Jun-18 Energy Solutions FY18 Sales Contribution SEA (excl. CAT New Equipment & Engines M'sia) 6% Orderbook 188 Core PBIT (RM m) Sime Darby 10.5% 8.5% 5.2% 4.4% 3.9% 150 104 52 48 37 (1) 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 PBIT Margin 1,205 Excavators Wheel loaders 1,146 1,020 737 747 Marine engines +21% Rental & Used Equipment 228 Parts & Services Note: 30-Jun-17 30-Jun-18 (1) Excludes gain on property disposal of RM9m Strictly Private & Confidential 20.7% 12.0% 11.2% 4.6% 3.6% 237 144 114 34 27 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 PBIT Margin 31#33Australia & Pacific Islands Sime Darby Industrial ■Revenue & PBIT by Region (2/2) East Asia FY18 Sales Contribution & YoY Orderbook FY18 Sales Contribution Products / Services CAT New Equipment & Engines China / HK/ Macau 30% Excavators Dozers Wheel loaders Marine engines Orderbook Rental & Used Equipment 408 -24% 309 Parts & Services 30-Jun-17 30-Jun-18 FY18 Sales Contribution Orderbook 430 +319% CAT New Equipment & Engines Australia & New Zealand 55% Large mining trucks Underground mining loaders Revenue (RM m) 2,610 2,605 2,691 2,401 Core PBIT (RM m) Sime Darby 5.4% 4.7% 3.9% 3.5% 4.1% 3,944 142 112 102 93 161 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 PBIT Margin 6,894 6,126 5,600 5,328 7.4% 3.1% 1.4% 1.4% 2.9% 7,166 510 209 1,802 Hydraulic Dozers mining shovels 192 73 78 Rental & Used Equipment Parts & Services (2) 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 PBIT Margin Note: 30-Jun-17 30-Jun-18 (1) Excludes impairments and provisions of RM257m related to Bucyrus (2) Excludes gain on property disposal of RM169m Strictly Private & Confidential 32#34Sime Darby Industrial ■Strong demand in Australia mining and China infrastructure spending Australasia Sime Darby +29% 13,041 10,127 612 +15,400% (4) Revenue PBIT ■Jun-17 Jun-18 In RM Million FY2017 FY2018 Australasia 5,600 7,166 China 2,691 3,944 Malaysia 1,120 1,184 Southeast Asia 715 747 Total Revenue 10,127 13,041 • Australasia 78 209 China 93 161 Malaysia 48 37 South East Asia 34 27 • • Improved contribution from equipment deliveries to both mining and construction sectors Product support business segment (mainly parts) attributed to higher sales from increased mining activities China • Higher deliveries of new equipment and improved contribution from product support in growing construction sector and initiatives in infrastructure developments Malaysia Weaker results mainly from lower product support sales and low milestone billings from ongoing projects South East Asia Total Core PBIT 253 434 • Disposal of Properties 178 Bucyrus Impairment (257) RM20m share of losses from associate (APAC Energy Rental) (FY2017: RM14m) Total PBIT (4) 612 PBIT margin I 4.7% Core PBIT margin 2.5% 3.3% ROIC 8.0% Property Disposal • Gains from disposal of properties amounting to RM169m in Australia and RM9m in Malaysia Strictly Private & Confidential 33#35Logistics Division Strictly Private & Confidential 34 4 Sime Darby#36Business Overview ■Targeted Total Capacity of ~100 million MT by 2020 Sime Darby Sime Darby Logistics is the primary operator of Weifang Port, of which operations cover dry bulk, break bulk, liquid bulk, general cargo and container handling services. ■ The Division also operates three river ports located in Jining, Shandong Province. The Jining Ports provide basic port related services such as stevedoring and storage services primarily for coal and coal-related products ■ The two water treatment plants operated by the Division are located in the Binhai Economic-Technological Development Area ("BEDA") adjacent to Weifang Port and supplies clean water to residential, commercial and industrial users in BEDA [pending disposal] Location of Assets Annual Throughput & Capacity 1 Weifang Port (Sea Port) Llaocheng Dezhou Binzhou Dongying Jinan Welfang Qingdao Zibo Lalwu Talan Jining Heze Strictly Private & Confidential Linyl Zaozhuang Rizhao Yantal Welhal Ports & Logistics Water Management People's Republic of China 35 Shandong - Throughput bulk Throughput container Capacity bulk - Capacity- - container Target Capacity - bulk (FY2020) 2 Jining Ports (River Port) FY2018 21.7 mm MT 240.5 K TEU 20.0 mm MT 463.2 K TEU 40.6 mm MT FY2018 Throughput 10.9 mm MT Capacity 16.4 mm MT Target Capacity (FY2020) 18.7 mm MT 3 Weifang Water [pending disposal] Throughput Capacity FY2018 40.0 mm m³ 51.1 mm m³#37Key Financial and Operational Highlights Revenue (RM m) 250 37 341 303 294 294 99 66 44 43 53 60 275 250 241 243 213 PBIT (RM m) Sime Darby ୮ Lower Jining Port tariffs as ia result of intense 103 competition & tighter environmental controls by Jining authority 77 28 74 70 0 12 6 54 64 65 64 30 23 75 35 41 44 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 Ports | Water Ports Water Invested Capital (1) (RM m) ROAIC(2) (%) 2,294 2,320 2,101 1,898 5.2% 4.7% 4.4% 1,561 2014 Notes: 2015 2016 2017 2018 2014 2015 2016 3.2% 2.9% 2017 2018 (1) Invested capital is calculated as total assets (excluding tax assets and intercompany balances) less operating liabilities (i.e. all liabilities except borrowings, intercompany balances, leases and tax liabilities (2) ROAIC is calculated as PBIT divided by average invested capital Strictly Private & Confidential 36#38Others Strictly Private & Confidential 37 36 Sime Darby#39Ramsay Sime Darby Health Care ■Healthcare in Asia supported by favourable macro trends Sime Darby + 50% RAMSAY HEALTH CARE 50% RAMSAY SIME DARBY HEALTH CARE Asia-focused Portfolio China Active Beds: 1,152 Bed Capacity: 1,541 Sime Darby Assets in Malaysia Subang Jaya Ara Damansara Medical Centre Medical Centre ParkCity Medical Centre MEDIPLEX Wellness Centre RSDH College Assets in Indonesia Myanmar HK Macau Existing presence Target markets Vietnam Thailand Philippines Malaysia Singapore Indonesia Strictly Private & Confidential RS Premier Jatinegara RS Premier Bintaro RS Premier Surabaya Positive Prospects Demographic Trends Organic Growth Fast growing sector in Asian emerging markets due to population growth & increasing life expectancy Rising affluence in Asia Driving cost reduction and attaining operational excellence will also drive profit growth Availability of Opportunities Strategic partnerships in Asia 38#40Malaysia Vision Valley Land ■~8,800 acres of land - Option to sell to SD Property Highlights of MVV MVV is a large scale project announced by the Malaysian Prime Minister during his 2016 Budget speech, and is a component of the Government's 11th Malaysia Plan and the National Transformation Plan. MALAYSIA VISION VALLEY Option to sell ~8,800 acres KAPAS NEW LABU HAMILTON NEW LABU (KIRBY DIV) A North-South Highway CAMPRO Sime Darby Tenure of development 30-year project Total development area 379,000 acres Coverage area Seremban and Port Dickson in Negeri Sembilan Multimedia Super Corridor (MSC) SELANGOR Greater Kuala Lumpur KUALA LUMPUR Malaysia Vision Valley PAHANG Kuala Lumpur Conurbation National growth conurbation population 2020 10.57 million N. SEMBILAN MALACCA The area is intended to focus on 4 key development drivers: High-technology manufacturing ■ Tourism ■ Skill-based education and research ◉ Specialised services MVV development is expected to: ✓ Attract investments of RM290bn by 2045 Create 1.38 million new job opportunities Strictly Private & Confidential 39 Os Line LABU ■ Sime Darby Berhad holds c.8,800 acres of land ■ in MVV area, acquired for RM2.5 bn in FY17 SD Signed 29 option agreements with Property for the potential sale of 29 parcels The options are valid for a 5-year period (plus 3 years extension option) ■ The timing of exercise of the option by Property will be dependent on the MVV development plan which is currently being developed ■ Transfer value will be based on market price at the point of exercise OFFLI#41Appendices Strictly Private & Confidential 40 Sime Darby#42Sime Darby Berhad Proposed Corporate Structure Post-Proposals Motors Industrial Sime Darby (RM million) Sime Darby 30-Jun-18 Motors Industrial Logistics Others Group External Debt Cash Revenue PBIT 1,048 605 20,341 543 1,483 316 42 2,889 480 227 360 1,672 13,041 341 105 33,828 612 74 (155) 1,074 Logistics Healthcare & Others 50% 100% 100% Sime Darby Motors Sdn Bhd Sime Darby Industrial Holdings Sdn Bhd 100% Sime Darby Utilities Sdn Bhd Ramsay Sime Darby Health Care Sdn Bhd Notes: (1) Principal activities - hotel ownership & management, property development and property investment (2) Existing owner of 8,793 acres of land located at Labu, Negeri Sembilan, which are earmarked for the Malaysia Vision Valley Project. Sime Darby Property Bhd ("SD Property") is granted call options to purchase these lands at any time during the option period (5 years with an option to extend for another 3 years) (3) Principal activities - Provision of support services to group companies, including Sime Darby Plantation Bhd ("SD Plantation") and SD Property. Entered into master services agreements with SD Plantation and SD Property to continue to provide shared services for a period of 3 years (4) Principal activities - insurance and reinsurance brokers, insurance advisory and consultancy services. Malaysia - 60% owned Sime Darby Lockton, Singapore and Hong Kong - 100% owned (5) Principal activities - holding of trademarks (SIME DARBY mark, logo and tagline). Entered into trademark and brand license agreement with SD Plantation and SD Property for the licence of the trademarks for a period of 4 years Strictly Private & Confidential 41 12% Eastern & Oriental Berhad (1) 100% Kumpulan Sime Darby Bhd (2) 100% Sime Darby Global Services Centre Sdn Bhd (3) 60% or 100% Insurance Broking business(4) 100% Sime Darby Malaysia Berhad (5)#43SDB Group ■FY2018 Balance Sheet Historical Financials Healthcare (FYE June; RM million) Motors Industrial Logistics Pro Forma & Others Fixed Assets 3,291 2,735 Assocs, JVs & Investments 336 100 1,715 424 23 7,764 979 1,839 Inventories 3,762 3,447 1 7,210 Receivables 2,627 2,319 300 467 5,713 Tax Assets 249 161 34 215 659 Cash 605 480 227 360 Total Assets 10,870 9,242 2,701 2,044 1,672 24,857 Shareholders' Equity 4,462 3,179 708 6,021 14,370 Non Controlling Interests 18 266 103 2 389 Total Equity 4,480 3,445 811 6,023 14,759 Payables 2,924 3,182 347 381 6,834 IG balances 2,178 1,008 1,222 (4,408) Borrowings & Leases 1,048 1,483 316 42 2,889 Tax Liabilities 240 124 5 6 375 Total Liabilities 6,390 5,797 1,890 (3,979) 10,098 Total Equity & Liabilities 10,870 9,242 2,701 2,044 24,857 Invested Capital¹ Debt/Equity (%) Notes: 7,700 5,896 2,320 1,448 17,364 23.4% 43.0% 39.0% 0.7% 19.6% (1) Invested capital is total assets (excluding tax assets and intercompany balances) less operating liabilities (i.e. all liabilities except borrowings, intercompany balances, leases and tax liabilities Strictly Private & Confidential 42 Sime Darby#44Thank You Strictly Private & Confidential 43 Sime Darby