Far East Orchard : Cgsi Value-up Singapore Conference

FAR EAST ORCHARD LIMITED

Investor Presentation

January 2025

1

Far East Orchard Overview

Far East Orchard is today a real estate company with a lodging platform, with global hospitality operations and a growing portfolio of Purpose-built student accommodation assets in the UK.

> 50 years			$183.6 M	$2.6 B	$503.8 M
Expertise in real estate
development, investment and asset		FY2023 Revenue	Total Assets as at	Market Cap as at
management capabilities across our			31 Dec 2023	13 Jan 2025
business.
Business Structure				> 17,000	> 3,700	11 Countries
				Hospitality Rooms	PBSA Beds	> 30 cities globally*
		Property	Property	United
Hospitality	PBSA	Kingdom
Investment	Development
Investment and Asset Management Capabilities
				Denmark		Japan
Hospitality Management	PBSA Operations	Commercial Units	Mixed-used	Germany
			Development	Switzerland
			Austria
				Hungary
					Malaysia
Hospitality Assets	PBSA Assets				Singapore	New
Hospitality Investment	PBSA Investment /				Australia	Zealand
	Fund Management
* Includes cities with Hospitality and PBSA assets.					As at 13 Jan 2025
				3

Strategic Focus FEOR25 Strategy

Adding Scale, Building Resilience

2025 Target

As at January 2025

25,000				Hospitality Portfolio Progress
20,000	90				97	100			97
15,000
10,000					15,900	16,500	18,000	16,500	16,500	17,000
	13,600	14,300	14,800
5,000
0
	2016	2017	2018		2019	2020	2021	2022	2023	2024	2025
											Target

No. of Rooms		No. of Properties

Hospitality PBSAPBSA Portfolio Progress

As at January 2025

5000

Acquisition of Homes for Students (HFS) with >50k beds under management

25,000rooms	5,000beds	4000																																~1,000
		3000
Grow portfolios through a combination of
2000
strategic partnerships, hotel management agreements and																														3,687		3,687
																3,561		3,561			3,561
												3,260
selective acquisitions.	1000
								1,469
			1,174
				612
		0
		2016	2017	2018	2019	2020	2021	2022	2023	2024		2025
																																									Target
										No. of Operational Beds	Pipeline			Beds under management

4

Strategic Focus: Creating Value for Shareholders

1 Conduct Strategic Asset Planning & Optimisation

Creating

Shareholder Value

& Delivering

Sustainable

Returns

4 Grow Recurring Income Streams

2 Pursue PBSA & Hospitality Assets Divestment Opportunities for Capital Recycling

3 Explore New Recurring Income Streams Under the Lodging Platform

5

Positioned for Growth | Purpose-Built Student Accommodation

Our Focus: The UK Advantage

Favourable supply and

2024: Positive Momentum

1	Artist Impression
Mar: Acquire

Central Glasgow site to develop a 273 bed

demand dynamics

Sector resilience

appeals to investors

2

Apr: Acquired a 49%

stake in HFS

3

Aug: First Closing of

a Private Fund

HFS is UK's largest independent	Will boost the Group's
PBSA operator.	recurring income
	stream and strengthen
	its operating
>50,000 beds >50 towns and	management
capabilities in the UK.
cities
To acquire remaining 51% stake, subject to	~3,700
conditions in the sale & purchase agreement
beds

Prior acquisition

Established FE UK Student Accommodation Development Fund (FESAD) in Singapore.

• Completed first closing, securing £70 million of the targeted £100 million in aggregate commitment.

Seed Development: Osborne Street, Glasgow (273 bed)

~60,000

beds

6 6

Gearing up for Growth | Hospitality

Scaling Up our Global Presence

through Strategic JVs

Focus on growth of

asset-light hotel

management contracts

to meet target

1

Hotel Openings

2

Growing Japan

Footprint

2024: Foraging Opportunities

	Opened Vibe Hotel				Opened Quincy House			TFE Hotels and Heritage Hotels
						collaborate to refurbish and
	Melbourne Docklands in Apr				Singapore in Oct
						rebrand 500+ rooms across NZ
	(273 rooms)				(255 rooms)
						under Adina and Rendezvous

Inaugural		Far East Village	Far East Village	Far East Village
Expansion	Jul:	Hotel Ariake,	Hotel, Yokohama	Hotel Asakusa,
into Japan in	Take over	Tokyo		Tokyo
operations
2020		(306 rooms)	(277 rooms)	(134 rooms)

~1,000 rooms in the pipeline beyond 2025

3

Portfolio

Refurbishment

and Enhancement Strategy Updates

4

	Rendezvous Perth		Adina Apartment Hotel Sydney		Adina Apartment Hotel
	Scarborough (337 rooms)		Darling Harbour (114 rooms)
			Frankfurt Neu Oper (134 rooms)
	In progress. Expected		Close for refurbishment in
			Refurbishment from 3Q 2025
	completion: 2H 2028		2Q 2025

Capital Recycling

Completed disposal

in Dec

Rendezvous Hotel Perth

Central (103 rooms)

Aligns with the Group's proactive asset management strategy to realise the value of RHPC and improve capital allocation.

7

Property Development & Property Investments

Maintaining Recurring Rental Income

Property Development		Property Investments

Woods Square

Commercial

Far East Orchard's	33%
effective interest
Total units*	534
Units held as
investment	68
property
Units launched for	414
sale
% of units sold	53%
(as at 31 Dec 24)
TOP	5 Feb 2020

Westminster Fire Station

Residential

Far East Orchard's	100%
effective interest
Total units	17 units
1 restaurant
% of units sold	N.A
(as at 31 Dec 24)
TOP	31 Aug 2021

Novena Medical Center

Total no. of units	44
Units held for sale	7
Units for	37
investments

Novena Specialist Center

Total no. of units	39
Units held for sale	29
Units for	10
investments

* Comprises units held as investment property that generates recurring income and units held for sale.

8

9M FY2024 Financial Highlights

• Achieved net profit of $18.0 million for 9M FY2024
• Operating profit increased 16.4% YoY to $47.6 million

REVENUE OPERATING PROFIT PROFIT AFTER TAX

$140.1 M	$47.6 M	$18.0 M
▲4.5%	▲16.4%	▲>100%
9M FY2023: $134.1 M	9M FY2023: $40.9 M	9M FY2023: $7.0 M

• Hospitality Business Segment
• • Maintained stable contributions.
  • Supported by strong performance in Japan and Europe markets.

PROFIT ATTRIBUTABLE

TO SHAREHOLDERS

$16.9 M

▲>100%

9M FY2023: $7.6 M

• PBSA Business Segment
• • Continued demonstrating strong performance due to rental growth and added contribution from a PBSA in Southampton, Emily Davis.

9

FY2023 Key Financial Highlights

• Higher net profit after tax mainly due to fair value gains on investment properties
• Achieved highest operating profit in 10 years driven by hospitality recovery and robust performance of the PBSA business

Revenue	Operating Profit	Profit after Tax	Profit Attributable to Earnings per share
			Equity Holders

$183.6 M	$57.9 M	$66.1 M1	$65.9 M1	13.7 cents
▲30.3%	▲7.2%	▲>100.0%2 ▼14.9%3	▲>100.0%2 ▼17.3%3	▲>100.0%2 ▼19.4%3
FY2022: $141.0 M	FY2022: $54.0 M	FY2022: $21.5 M	FY2022: $21.9 M	FY2022: 4.7 cents

FY2023 Revenue by Segment (%)

	5.6
25.3		Hospitality
Total Revenue
	$183.6M	PBSA
	69.1	Property Investment

Total Operating Profit/(Loss) by Business Segment (%)

13.4

		Hospitality
7.6
$57.9M	41.7	PBSA
		Property Development
37.1		Property Investment

1. FY2023 included net fair value gains on investment properties (fair value gains of $58.3m, pre-tax). Excluding this, net profit and profit attributable to equity holders would have been $18.3m and

$18.1m respectively, and EPS would have been at 3.77 cents. 2. Compared to FY2022 3. Compared to FY2022 excluding the net fair value gains in FY2023.	10