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Name of Announcer * SINGAPORE POST LIMITED

Company Registration No. 199201623M

Announcement submitted on behalf of SINGAPORE POST LIMITED

Announcement is submitted with respect to *

SINGAPORE POST LIMITED

Announcement is submitted by * Leong Chee Sian (Ms)

Designation * Company Secretary

Date & Time of Broadcast 30-Jan-2007 17:08:59

Announcement No. 00045

>> Announcement DetailsThe details of the announcement start here ...

Announcement Title * Presentation Slides - SingPost Group's unaudited results for the third quarter and nine months ended 31 December 2006

Description Attached for information are the presentation slides for the briefing to analysts on 30 January 2007 on SingPost Group's unaudited results for the third quarter and nine months ended 31 December 2006.

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Q3FY0607PresentationSlides.pdf

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Page 1 of 1MISCELLANEOUS

30/01/2007https://www1.sgxnet.sgx.com/web21/sgxnet/LCAnncSubmission.nsf/vwprint/7967456B79B55DD5...

Singapore Post LimitedSingapore Post Limited

Results PresentationResults PresentationQ3 & 9M FY2006/07 ResultsQ3 & 9M FY2006/07 Results

30 January 200730 January 2007

1

Agenda

♦ Strategic Overview

♦ Q3 FY2006/07 Results

♦ 9M FY2006/07 Results

♦ Segment Results

♦ Cashflow, Dividends

♦ Summary

2

Strategic Overview

3

Strategic Overview

Execution Excellence♦ Well positioned to compete in liberalised basic mail services

market

♦ Continue to execute on strategies, following success in growing traditional business and diversifying

— Implementing initiatives to enhance core business of Mail and Logistics

— Further leveraging Retail network for growth, following success with financial services

♦ Unit trust distribution partnership with Prudential Asset Management

♦ Extension of Care for Life (insurance) services launched in Jan 05 with Prudential Assurance

Launch of Care for Lifeunit trusts

♦ 63 post offices with new outlet in Suntec City♦ SAMPLUS, a “post office in condominiums”, in more than

10 condominiums

New Post Office; rollout of SAMPLUS

♦ New channel for customers to buy, sell and rent properties ♦ Partnership with ERA Realty

Launch of PostREALTY

Recent Business Initiatives/Developments

4

Strategic Overview

♦ Extending core competencies and existing businesses into the region

♦ Continue to explore opportunities for regional expansion

♦ Investing in additional facility in Malaysia ♦ Setting up in two markets in the region

Hybrid mail

♦ Portal introduced in 2 regional countries ♦ Expanded offerings on shopping portal, vpost.com.sg

vPOST

♦ To work together on 4 initiatives – channelling services, remittances, logistics and direct mail

Pos Indonesia collaboration

Regional Expansion Initiatives

5

Q3 FY2006/07 Results

6

Q3 FY06/07 Group Results

♦ Revenue grew 3.5% as all business segments showed improvements in performance

♦ EBITDA rose a slower 3.6%, due to lower contributions by associate and JV companies

♦ Net profit recorded 4.0% growth

EBITDA

50.749.0

$M

Net Profit

$M

34.132.8

4.0%3.6%

Q3 FY05/06 Q3 FY05/06Q3 FY06/07 Q3 FY06/07

111.8108.0

Revenue

$M3.5%

Q3 FY05/06 Q3 FY06/07

7

Quarterly Trends

EBITDA Growth Trend

45.149.0

44.546.042.041.7

43.1

50.748.347.2

49.0

44.5 45.1 46.7

Q1 Q2 Q3 Q4 Q1 Q2 Q3

$M6.7% 7.6% 6.5% 8.3%

Net Profit Growth Trend

30.132.8

26.0 25.8 26.528.0 29.5

34.131.3

27.4 28.130.7

28.930.9

Q1 Q2 Q3 Q4 Q1 Q2 Q3

$M

5.2% 9.0% 10.0%

111.8

108.0103.0

96.894.391.589.4

100.5

106.7105.1105.0108.0

96.8103.0

Q1 Q2 Q3 Q4 Q1 Q2 Q3

Revenue Growth Trend

8.2%$M

12.6% 7.4% 11.3% 3.5%

3.6%

9.0%4.0%

Note: Based on underlying performance

8.5%

6.0%5.0%

3.5%

7.0%3.9%

FY05/06 FY06/07FY05/06 FY06/07

FY05/06 FY06/07

♦ Slower EBITDA growth in Q3 FY06/07 due to lower contributions by associate and joint venture companies

♦ Lower net profit growth in FY06/07 due to higher net finance costs

8

Q3 FY06/07 Segment Results

♦ Improvements in performance achieved by all business segments

2.9 3.2

16.4 16.9

Logistics Revenue and Profit

2.2 2.7

12.914.5

Retail Revenue and Profit

$M $M

3.0% 12.2%

25.3%

Segment Revenue

Segment Operating Profit9.0%

Mail Revenue and Profit

33.3

83.1 86.0

34.4

$M 3.5%

3.4%

Q3 FY05/06

Q3 FY06/07

Q3 FY05/06

Q3 FY06/07

Q3 FY05/06

Q3 FY06/07

Q3 FY05/06

Q3 FY06/07

Q3 FY05/06

Q3 FY06/07

Q3 FY05/06

Q3 FY06/07

9

Q3 FY06/07 Profit & Loss

♦ Operating performance remained firm

(93.6%)(2.4)(1.2)Net finance costs

(2.1%)(74.1)(72.5)Operating expenses

4.0%

8.3%

1.4%

(40.7%)

6.0%

3.7%

3.5%

B/(W)

34.1

(7.7)

42.0

1.0

43.3

5.6

111.8

Q3 FY06/07

41.4Profit before tax

32.8Net profit

1.7Share of assoc & JVs

5.4Other income

(8.4)Income tax expense

40.8Operating profit

108.0Revenue

Q3 FY05/06($M)%

10

Q3 FY06/07 Operating Expenses

18.6

25.628.4 27.9 27.6

18.6

Labour and relatedcosts

Volume related costs Selling, Administrative,Depreciation & Others

$M

Q3 FY06/07

Q3 FY05/06

+2.1%74.172.5Operating expenses

ChangeQ3 FY06/07

Q3 FY05/06($M)

♦ Operating expenses remained under control

♦ Volume related costs rose in tandem with increased business activities; but other costs capped

$2.0M8.0%

$0.5M1.6%

$0.04M0.2%

11

Quarterly Profit Margins

♦ Q3 FY06/07 profit margins showed improvements

— Operating profit margin rose from 37.8% to 38.7%

— EBITDA margin increased slightly from 45.3% to 45.4%

— Net profit margin higher at 30.5% vs 30.4% in previous year

45.4%45.3%44.9%45.3%43.8%

46.0% 44.5%

Q1 Q2 Q3 Q4 Q1 Q2 Q3

Underlying EBITDA Margins

30.5%

29.4%30.4%29.3%30.4% 29.5% 29.4%

Q1 Q2 Q3 Q4 Q1 Q2 Q3

Underlying Net Profit Margins

Note: Excluding gain on sale of property

FY05/06 FY06/07FY05/06 FY06/07

38.7%

37.5%37.8%35.4%

37.4% 36.4%37.1%

Q1 Q2 Q3 Q4 Q1 Q2 Q3

Underlying Operating Profit Margins

FY05/06 FY06/07

12

9M FY2006/07 Results

13

9M FY06/07 Group Results

♦ Revenue growth of 5.1% on good performances by all business segments

♦ Underlying net profit growth of 3.7% for 9M FY06/07

Underlying Net Profit

$M

323.4307.8

Revenue

$M

95.992.4 3.7%

5.1%

9M FY05/06

9M FY05/06

9M FY06/07

9M FY06/07

Underlying EBITDA

138.6145.7

$M

5.1%

9M FY05/06 9M FY06/07

14

9M FY06/07 Segment Results

♦ All business segments achieved improved results in 9M FY06/07

4.8 7.0

36.341.2

Retail Revenue and Profit

Mail Revenue and Profit

95.4

242.1 250.6

99.0

$M

$M

3.5%

3.8%

13.4%

45.7%

Segment Revenue

Segment Operating Profit

9M FY05/06

9M FY06/07

9M FY05/06

9M FY06/07

6.5 7.4

45.6 48.3

Logistics Revenue and Profit $M

5.9%

13.7%

9M FY05/06

9M FY06/07

9M FY05/06

9M FY06/07

9M FY05/06

9M FY06/07

9M FY05/06

9M FY06/07

15

9M FY06/07 Profit & Loss Highlights

♦ Steady underlying performance

9.5%101.292.4Net profit

(88.4%)(7.2)(3.8)Net finance costs

(3.9%)(217.4)(209.2)Operating expenses

3.7%

(1.3%)

7.8%

(17.5%)

11.8%

40.5%

5.1%

B/(W)

95.9

(23.0)

124.6

4.8

127.0

21.0

323.4

9M FY06/07

115.5Profit before tax

92.4Underlying net profit *

5.8Share of assoc & JVs

15.0Other income

(22.7)Income tax expense

113.6Operating profit

307.8Revenue

9M FY05/06($M)

* Excluding gains on sale of properties

16

9M FY06/07 Operating Expenses

+3.9%217.4209.2Operating expenses

Change9M FY06/07

9M FY05/06($M)

♦ Costs remained under control

♦ Total operating expenses increased 3.9%

54.5

72.282.5 84.6 78.2

54.6

Labour and relatedcosts

Volume related costs Selling, Administrative,Depreciation & Others

$6.0M8.3%

$M

$2.2M2.6%

$0.1M0.2%

9M FY06/07

9M FY05/06

17

Segment Results

18

Mail – Q3 FY06/07 Performance

♦ Mail revenue ↑ 3.5% or $2.9M against last year with better performances by all business lines

♦ Mail profit ↑ 3.4% or $1.1M against last year

♦ Mail profit margin slightly lower at 40.0% compared to 40.1% previously

86.083.134.433.3 40.1% 40.0%

$2.9M3.5%

Mail Revenue Mail Operating Profit

$1.1M3.4%

$M $M

Q3 FY05/06 Q3 FY06/07 Q3 FY05/06 Q3 FY06/07 Q3 FY05/06 Q3 FY06/07

Mail Operating Profit Margin

19

Mail – Q3 FY06/07 Revenue Breakdown

3.9 1.5 2.0

28.0

49.7

4.0

28.5

51.6

Domestic mail International mail Hybrid mail Philatelic

Q3 FY05/06Q3 FY06/07

$0.5M1.8%

$0.1M2.7%

$M

$1.8M3.7%

$0.4M29.8%

Growth in direct mail volumes offset continued decline in public mail volumes

Increase in outgoing mail offset continued decline in incoming mail

Higher volumes from new customers and new services

Growth in MyStampand boost from Japan-Singapore joint stamp issue

+3.5%86.083.1Mail Revenue

ChangeQ3 FY06/07

Q3 FY05/06($M)

20

Mail – 9M FY06/07 Performance

♦ Mail revenue ↑ 3.5% or $8.4M against last year

♦ Mail profit ↑ 3.8% or $3.6M against last year

♦ Slight improvement in mail profit margin from 39.4% to 39.5%

250.6242.199.095.4

39.4% 39.5%$8.4M3.5%

Mail Revenue Mail Operating Profit

$3.6M3.8%

$M $M

9M FY05/06 9M FY06/07 9M FY05/06 9M FY06/07 9M FY05/06 9M FY06/07

Mail Operating Profit Margin

21

Mail – 9M FY06/07 Revenue Breakdown

10.7 5.0 5.8

78.7

147.7

11.5

82.2

151.1

Domestic mail International mail Hybrid mail Philatelic

9M FY05/069M FY06/07

$3.4M4.3%

$0.8M7.3%

$M

$3.5M2.3%

$0.8M15.5%

Direct mail push offset continued decline in public mail volumes

Continued efforts to grow outgoing mail to offset incoming mail decline

Growth in MyStamp

+3.5%250.6242.1Mail Revenue

Change9M FY06/07

9M FY05/06($M)

Higher volumes from new customers and new services

22

Logistics – Q3 FY06/07 Performance

♦ Logistics revenue ↑ 3.0% or $0.5M against last year, due to cessation of contracts that were not feasible with increased operating costs

♦ Logistics profit ↑ 9.0% or $0.3M against last year

♦ Logistics profit margin improved from 17.9% to 18.9%

16.4 16.9

Logistics Revenue

2.9 3.2 17.9% 18.9%$0.5M+3.0%

$0.3M+9.0%

Logistics Operating Profit

$M $M

Logistics Operating Profit Margin

Q3 FY05/06 Q3 FY06/07 Q3 FY05/06 Q3 FY06/07 Q3 FY05/06 Q3 FY06/07

23

Logistics – Q3 FY06/07 Revenue Breakdown

14.5 14.7

1.41.5

Speedpost Warehousing, Fulfillment &Distribution

Q3 FY05/06

Q3 FY06/07

$0.3M1.8%

$0.2M10.0%

$M

+3.0%16.916.4Logistics Revenue

ChangeQ3 FY06/07

Q3 FY05/06($M)

Higher Speedpostvolumes

Cessation of contracts not feasible with higher operating costs

24

Logistics – 9M FY06/07 Performance

♦ Logistics revenue ↑ 5.9% or $2.7M

♦ Logistics profit ↑ 13.7% or $0.9M against last year

♦ Profit margin improved from 14.3% to 15.4%

45.6 48.3

Logistics Revenue

6.5 7.4

14.3% 15.4%$2.7M+5.9%

$0.9M+13.7%

Logistics Operating Profit

$M $M

Logistics Operating Profit Margin

9M FY05/06 9M FY06/07 9M FY05/06 9M FY06/07 9M FY05/06 9M FY06/07

25

Logistics – 9M FY06/07 Revenue Breakdown

40.2 41.8

4.34.2

Speedpost Warehousing, Fulfillment &Distribution

9M FY05/06

9M FY06/07

$1.6M4.1%

$0.1M2.0%

$M

Higher Speedpostrevenue contributions

+5.9%48.345.6Logistics Revenue

Change9M FY06/07

9M FY05/06($M)

26

Retail – Q3 FY06/07 Performance

♦ Retail revenue ↑ 12.2% or $1.6M against last year as higher contributions from financial services offset pricing pressure inbill presentment and agency services

♦ Retail profit ↑ 25.3% or $0.6M against last year

♦ Retail profit margin continued to improve

12.914.5

Retail Revenue

2.22.7 17.0%

19.0%$1.6M

+12.2%$0.6M

+25.3%

Retail Operating Profit

$M $M

Retail Operating Profit Margin

Q3 FY05/06 Q3 FY06/07 Q3 FY05/06 Q3 FY06/07 Q3 FY05/06 Q3 FY06/07

27

Retail – Q3 FY06/07 Revenue Breakdown

5.3

2.4

5.2

5.34.2

4.9

Agency & BillPresentment Services,

Retail Products andOthers

Financial Services Inter-segment

Q3 FY05/06

Q3 FY06/07

$1.8M74.5%

$0.02M0.4%

$0.3M4.9%

$M

+12.2%14.512.9Retail Revenue

ChangeQ3 FY06/07

Q3 FY05/06($M)

Higher contributions from Retail products partly offset decline in agency and bill presentment services

Continued growth in financial services

28

Retail – 9M FY06/07 Performance

♦ Retail revenue ↑ 13.4% or $4.9M

♦ Retail profit ↑ 45.7% or $2.2M

♦ Retail profit margin improved from 13.2% to 16.9%

36.341.2

Retail Revenue

4.8

7.0 13.2%

16.9%$4.9M

+13.4%$2.2M

+45.7%

Retail Operating Profit

$M $M

Retail Operating Profit Margin

9M FY05/06 9M FY06/07 9M FY05/06 9M FY06/07 9M FY05/06 9M FY06/07

29

Retail – 9M FY06/07 Revenue Breakdown

15.8

5.3

15.2

15.8

10.7

14.7

Agency & BillPresentment Services,

Retail Products andOthers

Financial Services Inter-segment

9M FY05/06

9M FY06/07

$5.4M100.8%

$0.06M0.4%$0.5M

3.5%

$M

+13.4%41.236.3Retail Revenue

Change9M FY06/07

9M FY05/06($M)

Growth in Retail products partly offset decline in agency and bill presentment services

Increasing contributions from financial services

30

Cashflow, Dividends

31

Cash Flow, Dividends

♦ Robust cashflow generation

— For 9M FY06/07, net cash inflow from operating activities amounted to $122.6M, compared to $104.6M previously

— Outstanding term loan at $30M following repayment of $10M in Q3 FY06/07

♦ Dividend

— Interim quarterly dividend of 1.25 cents per share, based on minimum payout of 5.0 cents per share

— Q3 FY06/07 interim dividend of 1.25 cents payable on 28 February 2007

121.7144.4 149.7

122.6

FY03/04 FY04/05 FY05/06 9MFY06/07

Net Operating Cashflow

$M

1.25 centsQ2 Interim

1.25 centsQ3 Interim

1.25 + x centsQ4 Final

1.25 centsQ1 Interim

DPS Quarterly Dividends

where x = target dividend less 5.0 cents

32

Summary

33

Summary

♦ Continued focus on execution excellence

♦ Sustained improvements in Q3 FY06/07 — Revenue grew 3.5%, with good performances by all business segments— Net profit up 4.0%

♦ 9M FY06/07 results — Revenue rose 5.1%, underpinned by improvements in all business segments— Net profit grew 9.5%; excluding gains from sale of properties, net profit

growth was 3.7%

♦ Strong cashflow generation — 9M net operating cashflow of $122.6M — Further $10M repayment of term loan— Q3 interim dividend of 1.25 cents payable 28 February 2007

34

Thank You