PT PP Presisi Tbk (PPRE) Company Update March 2018

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1 PT PP Presisi Tbk (PPRE) Company Update March 2018

2 TABLE OF CONTENTS 1 Company Overview 3 2 Business Overview 8 3 Corporate Strategy Operational & Financial Update (audited) Guidance 30 2

3 1 Company Overview

4 Company Overview WHO WE ARE Vision To be a leading integrated construction company in Indonesia as well as regional Mission To deliver business lines owned services on an integrated basis to provide value added services to all customers 4

Company Overview SHAREHOLDING AND CORPORATE STRUCTURE Government of Republic

01% PT PP (Persero) Tbk 23.00% 76.99% 64.96% 99.98% 99.00% 99.

Infrastruktur Subsidiaries with shares below 50% 51.

0% PT Lancarjaya Mandiri Abadi (LMA) Note : * OJK No : KEP 54/D.

5 Company Overview SHAREHOLDING AND CORPORATE STRUCTURE Government of Republic Indonesia KKPSPP Public 51.0% 0.08% 48.92% Public YKKPP 0.01% PT PP (Persero) Tbk 23.00% 76.99% 64.96% 99.98% 99.00% 99.98% PT PP Presisi Tbk PT PP Properti Tbk PT PP Urban PT PP Energi PT PP Infrastruktur Subsidiaries with shares below 50% 51.0% PT Lancarjaya Investama Abadi 49.0% PT Lancarjaya Mandiri Abadi (LMA) Note : * OJK No : KEP 54/D.04/2017 **Bloomberg : Rp360/share Listed in the IDX on Nov 24, Main Board Number of shares : with 23% free float Member of Sharia Index* Market Cap 29 March 2018 : Rp3,7 trillion 5

Company Overview MANAGEMENT TEAM Average years of experience

26 years experience in construction sector Ir.

Director since February 2017 Previously served as Head of

(2013-2015) 12 years experience in construction sector Benny

March 2013 Previously served as Head of ASKU Branch VII at

Hasanin Ade Putra (Director) Appointed as Operation Director

Division, PT PP (Persero) Tbk (2011-2016) 30 years experience

Arief Subyandono (Independent Director) Appointed as Director

of PT PP Energi (2016-2017) Board of Commissioners 25 years

Toha Fauzi, MT (President Commissioner) Appointed as President

Director of PT PP (Persero) Tbk since 2016 Previously served

experience in construction sector Ir Nawang Sri Retno Kartiko

2017 Appointed as Head of Supply Chain Management of PT PP

and Bussiness PT PP Persero Tbk (2015-2016) 32 years

6 Company Overview MANAGEMENT TEAM Average years of experience in Indonesia construction sector: 25 years+ Board of Directors 26 years experience in construction sector Ir. Iswanto Amperawan (President Director) Appointed as President Director since February 2017 Previously served as Head of Branch III ( ) and Head of Branch V at Semarang ( ) 12 years experience in construction sector Benny Pidakso, SE (Director) Appointed as Finance Director since March 2013 Previously served as Head of ASKU Branch VII at Bali ( ) 23 years experience in construction sector Ir. Hasanin Ade Putra (Director) Appointed as Operation Director since August 2016 Previously served as Project Manager, EPC Division, PT PP (Persero) Tbk ( ) 30 years experience in construction sector Ir. Arief Subyandono (Independent Director) Appointed as Director of PP Presisi since August 2017 Previously served as Director of PT PP Energi ( ) Board of Commissioners 25 years experience in construction sector Ir. M. Toha Fauzi, MT (President Commissioner) Appointed as President Commissioner since February 2017 Appointed as Infrastructure Director of PT PP (Persero) Tbk since 2016 Previously served as Head of Operation Division II ( ) 28 years experience in construction sector Ir Nawang Sri Retno Kartiko M.Eng (Commissioner) Appointed as Commissioner since February 2017 Appointed as Head of Supply Chain Management of PT PP (Persero) Tbk since 2016 Previously served as Head of Control and Bussiness PT PP Persero Tbk ( ) 32 years experience in construction sector Ir. Ketut Darmawan (Independent Commissioner) Appointed as Commissioner since August 2017 Previously served as Operation Director of PT PP (Persero) Tbk ( ) 6

Company Overview KEY MILESTONES Equipment Rental Business Expand Business

2016 2017 May Established as PT Prima Jasa Aldodua (PT PJA) which provided

renamed as PT PP Alat Konstruksi ( PP Alkon ) July Renamed as PT PP Peralatan

Formwork business line September Entered Ready Mix business September Entered

PT PP Presisi ( PP Presisi ) June Acquired 51% stake of PT Lancarjaya Mandiri

7 Company Overview KEY MILESTONES Equipment Rental Business Expand Business Portfolio Leap forward through organic and inorganic growth May Established as PT Prima Jasa Aldodua (PT PJA) which provided equipment rental service June Acquired by PT PP (Persero) Tbk ( PTPP ) and renamed as PT PP Alat Konstruksi ( PP Alkon ) July Renamed as PT PP Peralatan Konstruksi ( PP Peralatan ) June Started business transformation by entering Formwork business line September Entered Ready Mix business September Entered Civil Works business with focus on Toll Road and Dam projects May Renamed as PT PP Presisi ( PP Presisi ) June Acquired 51% stake of PT Lancarjaya Mandiri Abadi ( LMA ) July PTPP increased capital in PP Presisi 7 November PP Presisi listed in IDX 7

8 2 Business Overview

Business Overview ON POLE POSITION IN INDONESIA S INFRASTRUCTURE DEVELOPMENT As a construction equipment-based contractor, PT PP Presisi is on pole position to seek opportunities in Indonesia s

0 250.0 200.0 150.0 100.0 50.0 1.3 86 1.6 114 1.9 1.9 1.8 145 156 155 256 317 401 409 2.5 2.0 1.5 1.0 0.

9 Business Overview ON POLE POSITION IN INDONESIA S INFRASTRUCTURE DEVELOPMENT As a construction equipment-based contractor, PT PP Presisi is on pole position to seek opportunities in Indonesia s infrastructure development. Government Infrastructure Spending Rptrillion % Integration of Connectivity Infrastructures to Support Priority Zones E 2018E Infra Budget % of GDP - Source: Statistic Bureau Centre, Indonesia State Budget Source: Indonesia State Budget 2017, Statistic Bureau Centre Infrastructure Projects in the Planned State Budget (RAPBN) 2018 Road 856 km Toll Road 25 km Railway 639 km Airport 15 locations Dam 47 units Public Towers 7,062 units Source: Minister of Finance 9

10 Business Overview UNIQUE BUSINESS MODEL integrated Civil Work Ready Mix Foundation Form Work Rental Infrastructure Projects Building Power Plant 10

11 Business Overview TOLL ROAD PROJECT BAKAUHENI - SIDOMULYO Ready Mix Civil Work Foundation 11

12 Business Overview TOLL ROAD PROJECT PANDAAN - MALANG 12

13 Business Overview TOLL ROAD PROJECT MANADO - BITUNG 13

14 Business Overview DAM PROJECTS Way Sekampung Dam Project Leuwi Keris Dam Project 14

15 Business Overview FORMWORK & EQUIPMENT RENTAL Equipment Rental The Verde 2 CBD-H.R. Rasuna Said Sentul AEON Mixed Complex Project 15

16 Business Overview LARGE SCALE FLEET (MOBILE) WITH REPUTABLE BRAND Excavator Dump Truck Bulldozer unit years unit years unit years unit Mixer Truck years unit Vibro Roller years March 2018 Total mobile fleet: 2,288 units Average age: 2.20 years 16

17 Business Overview LARGE SCALE FLEET (NON-MOBILE) WITH REPUTABLE BRAND Tower Crane Crawler Crane Passenger Hoist unit unit unit years years years unit Batching Plant years unit Bore pile years March 2018 Total non-mobile fleet: 151 units Average age: 4.32 years 17

18 Business Overview ISO & OHSAS CERTIFICATION ISO 9001:2015 ISO 14001:2015 OHSAS 18001:

19 Business Overview EXCELLENT OPERATION SYSTEM Equipment & Fleet Management ERP (SAP) Implementation Quick Response Unit Project Management 19

20 Business Overview SAFETY, HEALTH & ENVIRONMENT (SHE) Accurate & Precision 20

21 3 Corporate Strategy

22 Corporate Strategy CORPORATE STRATEGY 1 Expand the Company s heavy equipment capacity in order to meet and anticipate rapid demand for project s contracts 2 Acquire strategically positioned companies that own infrastructure facilities with sizable capacity 3 Continue to increase the number of internally and externally sourced projects 4 Improve innovation to generate higher value added services to the customers Expanding overseas via joint operation (JO) as well as seeking strategic partners with multinational companies Optimize intra-group synergy and allow synergy as the basis for expanding customer base and increasing exposure to third parties Maintain consistency of excellent service delivery in term of time and quality by implementing ISO9001, ISO14001, OHSAS18001 management systems and applying integrated system with ERP-SAP 22

Corporate Strategy ROADMAP FOR THE NEAR-TERM FUTURE 2004-2012 2013 2015 2016 2017 2018 2021 Construction Equipment Rental Small Size Construction Equipment Rental Medium Size Contractor Construction

Contract with main contractors or project owners Heavy Equipment Fleet expansion Ready Mix Concrete business development Acquisition on civil work company Strengthen integrated construction Expanding

23 Corporate Strategy ROADMAP FOR THE NEAR-TERM FUTURE Construction Equipment Rental Small Size Construction Equipment Rental Medium Size Contractor Construction Specialist Large Size Contractor Integrated Construction & Mining Services Focus on Light Equipment & Perancah Focus on Heavy Equipment Ready Mix Concrete Business development HR System Improvement Contract with main contractors or project owners Heavy Equipment Fleet expansion Ready Mix Concrete business development Acquisition on civil work company Strengthen integrated construction Expanding to building & water related borepile, mechanical electrical, power plant erector, dredging, logistic & transportation Mining services SOEs synergy Global Strategic Alliances Explore the South East Asia Market Organic Growth Organic Growth Inorganic Growth 23

Corporate Strategy BUSINESS TRANSFORMATION (PHASE 1) Heavy Equipment

Genuine expertise Started from light equipment rental for building

Started from vertical formwork for building development Entered the full

new technology possibility to improve quality Started on 2016 at

Increasing capacity by acquisition of LMA Started on 2015 under business

Ahmad Yani Airport and construction of Bakauheni- Sidomulyo and

Started at Toll Bakauheni- Sidomulyo & Pandaan Malang Toll Roads Plan to

24 Corporate Strategy BUSINESS TRANSFORMATION (PHASE 1) Heavy Equipment Rental Bekisting (Form Work) Civil Work Ready Mix Foundation (Bore Pile) Genuine expertise Started from light equipment rental for building development i.e. scaffolding Heavy equipment rental for building (TC & PH) Started from vertical formwork for building development Entered the full system formwork (vertical & horizontal) for building development Exploring new technology possibility to improve quality Started on 2016 at Bakauheni- Sidomulyo Toll Road by utilizing our heavy equipment fleet Increasing capacity by acquisition of LMA Started on 2015 under business alliance with Holcim Cement to serve PP Property Independently served the Ahmad Yani Airport and construction of Bakauheni- Sidomulyo and Medan-Kuala Namu-Tebing Tinggi (MKTT) Toll Roads B2B business model Started at Toll Bakauheni- Sidomulyo & Pandaan Malang Toll Roads Plan to enter borepile for building Seek inorganic opportunity to enter sea-borepile business line Our 5 (five) Business Lines 24

Corporate Strategy BUSINESS TRANSFORMATION (PHASE 2) Erector

Seek opportunity for erector work for IPP projects in PTPP and its

part of supporting the Government plans in the electricity sector

and its subsidiaries as well as other SOEs and private business

business Seek to pursue synergy with mining-related SOE companies

to integrate current platform with logistic business in order to

25 Corporate Strategy BUSINESS TRANSFORMATION (PHASE 2) Erector Mechanical Electrical Mining Contractor Transportation & Logistic Seek opportunity for erector work for IPP projects in PTPP and its subsidiaries as well as other SOEs and private business players as part of supporting the Government plans in the electricity sector Seek opportunity for high-rise building and EPC projects in PTPP and its subsidiaries as well as other SOEs and private business players, and Government Explore opportunity in Indonesia mining business Seek to pursue synergy with mining-related SOE companies Explore opportunity in transportation and logistics business Plan to integrate current platform with logistic business in order to improve value added to customers Construction Business Non-Construction Business 25

26 Operational & Financial Update (audited)

27 2017 Operational & Financial Updates (audited) SOLID ORDER BOOK Rp trillion forecast Additional New Contract 27

28 2017 Operational & Financial Updates (audited) 2017 AUDITED FINANCIAL STATEMENTS (Rp billion) Revenue 1,816 (Rp billion) Gross Profit CAGR : 113% 389% CAGR : 89% 369% 18732% % (Rp billion) Net Profit (Rp billion) EBITDA CAGR : 80% 323% CAGR : 114% 498% * *after minority interest : Rp188 billion 28

29 2017 Operational & Financial Updates (audited) 2017 AUDITED FINANCIAL STATEMENTS Total Assets Total Equity (Rp billion) (Rp billion) 381% 1.051% Cash Flow From Operating Order Book (Rp billion) (Rp billion) 10, % 273% 5, ,898 4,900 29

30 Guidance

31 2018 Guidance OPERATIONAL & FINANCIAL 2018 New Contract (Rp trillion) 2017 Awarded 2018 Target % % 2018 Target (Rp billion) *** No Description Target 1 Revenue 4,420-4,910 2 Net Profit* EBITDA 1,335-1,483 4 Capex 1,528-1,697 *Net Profit After Minority Interest 31

32 PT PP Presisi Tbk THANK YOU PT PP Presisi Tbk Plaza PP Jl. TB Simatupang No. 57 Pasar Rebo Jakarta Phone: Fax:

LEAPING FORWARD, DELIVERING VALUE

LEAPING FORWARD, DELIVERING VALUE Company Update PT PP Presisi Tbk (PPRE) February 2018 TABLE OF CONTENTS 1 Company Overview 3 2 Business Overview 8 3 Corporate Strategy 14 4 2017 Operational & Financial