KERRY PROPERTIES LIMITED

嘉里建設有限公司嘉里建設有限公司嘉里建設有限公司嘉里建設有限公司

FY2013 Final Results

Presentation to InvestorsMarch 2014

2

Agenda

1. 2013 Year in Review

2. Hong Kong Property

3. PRC Property

4. 2014 Preview

5. Appendix

3

2013 Year in Review

4

Y2013 Achievements

HONG KONG PROPERTY

Total Contract Sales � HKD 5.5 bn

Total Saleable Area Sold � Approx. 295,000 sf

Key Properties Sold � Lions Rise, Bayview, SOHO 189, Altitude

Land Acquisition � Sheung Lok Street, Homantin

Ongoing Construction

Activities

� Ede Road, LaSalle Road, Kau To Shan, So Kwun Wat, 5-6 Hing Hon Road

PRC PROPERTY

Total Contract Sales � Approx. HKD 5.2 bn

Total GFA Sold � Approx. 266,000 sm

Key Properties Sold � Hangzhou Parkview Residences Ph 2, Chengdu Metropolis-Arcadia Court Ph 1,

Tangshan Arcadia Court Ph 1, Tianjin Arcadia Court, Qinhuangdao Habitat Ph 1,

Shenyang Arcadia Court Ph 1, Shenyang Enterprise Square office, Changsha Arcadia

Court Ph 1, Ningbo The Berylville Ph 1

New Investment Property � Jing An Kerry Centre

� Hotel at Shenyang Kerry Centre

Ongoing Construction

Activities

� Major Investment Properties: Tianjin Kerry Centre Ph 1, Hangzhou Kerry Central,

Nanchang Complex Development Ph 1, Shanghai Kerry Everbright City Ph 3,

Shenyang Ph 1 office, Jinan Complex Development

5

FY2013 Financial Results Overview

(HKD mm) FY 2013 FY 2012 % Change

Turnover * 13,970 15,218 -8%

Gross profit * 6,057 6,103 -1%

Gross profit margin (%) * 43% 40% +3%

Profit attributable to shareholders

- Before taking into account the net increase in fair value of investment properties 4,413 4,696 -6%

and the gain arising from the spin-off of Kerry Logistics Shares

- Increase in fair value of investment properties (net of related tax effects) 4,416 2,265 +95%

- Gain arising from the spin-off of Kerry Logistics Shares 4,325 - n/a

- After taking into account the net increase in fair value of investment properties

and the gain arising from the spin-off of Kerry Logistics Shares 13,154 6,961 +89%

Earnings per share (HK$)

- Before taking into account the net increase in fair value of investment properties 3.06 3.26 -6%

and the gain arising from the spin-off of Kerry Logistics Shares

- After taking into account the net increase in fair value of investment properties 9.13 4.84 +89%

and the gain arising from the spin-off of Kerry Logistics Shares

Final dividend per share (HK$) 0.55 0.55 +0%

Dividend per share (HK$)

- Interim 0.35 0.40 -13%

- Final 0.55 0.55 +0%

- Total 0.90 0.95 -5%

Payout ratio (%) 29.4% 29.1%

* From property business only

6

Turnover Analysis

% %

(HKD mm) FY 2013 Weighting FY 2012 Weighting % Change

Revenue from Property Sales *

- Hong Kong 7,194 52% 11,563 76% -38%

- PRC 4,071 29% 1,541 10% +164%

11,265 81% 13,104 86% -14%

Revenue from Property Rental and others

- Hong Kong 936 7% 845 6% +11%

- PRC 1,211 8% 989 6% +22%

2,147 15% 1,834 12% +17%

Hotel Revenue - PRC 558 4% 280 2% +99%

Total Turnover 13,970 100% 15,218 100% -8%

Recurrent Revenue 2,705 19% 2,114 14% +28%

Non-Recurrent Revenue 11,265 81% 13,104 86% -14%

Total 13,970 100% 15,218 100% -8%

* Exclude sales of investment properties

7

Total Property Sales Proceeds

(HKD mm) FY 2013 FY 2012 % Change

Property sales proceeds

- Hong Kong Property 7,194 11,563 -38%

- PRC Property 4,071 1,541 +164%

11,265 13,104 -14%

Add: Sales proceeds from investment properties

- Hong Kong Property - 19 -100%

- PRC Property 92 127 -28%

92 146 -37%

Total property sales proceeds

- Hong Kong Property 7,194 11,582 -38%

- PRC Property 4,163 1,668 +150%

11,357 13,250 -14%

8

Gross Profit Analysis

% %

(HKD mm) FY 2013 Weighting FY 2012 Weighting % Change

Recurrent Gross Profit

Property Rental and others 1,586 26% 1,360 23% +17%

Hotel Operations (12) 0% 20 0% -160%

Total Recurrent Gross Profit 1,574 26% 1,380 23% +14%

Non-recurrent Gross Profit

Property Sales 4,483 74% 4,723 77% -5%

Total 6,057 100% 6,103 100% -1%

9

Profit Attributable to Shareholders in 2013

Discontinued

Continuing Operation

(HKD mm) Operation (Logistics) Total

Profit attributable to shareholders

- Before taking into account the net increase in fair value of investment properties 3,548 865 4,413

and the gain arising from the spin-off of Kerry Logistics Shares

- Increase in fair value of investment properties (net of related tax effects) 3,828 588 4,416

- Gain arising from the spin-off of Kerry Logistics Shares - 4,325 4,325

- After taking into account the net increase in fair value of investment properties

and the gain arising from the spin-off of Kerry Logistics Shares 7,376 5,778 13,154

10

Balance Sheet as of December 31, 2013

As of As of

(HKD mm) Dec 31, 2013 Dec 31, 2012 % Change

Total Debt (Including convertible bonds) 34,976 31,906 +10%

Less: Net Cash and Bank Balances (11,494) (16,039) -28%

Net Debt 23,482 15,867 +48%

Undrawn bank loan and overdraft facilities 11,181 10,117 +11%

NAV 75,755 70,752 +7%

Gearing Ratio 31.0% 22.4% +8.6%

No. of issued shares at period end (mm) 1,444 1,439 +0.4%

NAV / Share HK$52.45 HK$49.16 +7%

Interest cover (x) (excl. discontinued operation - KLN) FY 2013 FY 2012 % Change

– Before fair value increase of investment properties 5.8 7.0 -17%

– After fair value increase of investment properties 13.4 10.5 +28%

Dividend cover (x)

– Before fair value increase of investment properties & spin-off gain 3.4 3.4 +0%

– After fair value increase of investment properties & spin-off gain 10.1 5.1 +98%

Return on shareholders' equity (%)

– Before fair value increase of investment properties & spin-off gain 5.8% 6.6% -0.8%

– After fair value increase of investment properties & spin-off gain 17.4% 9.8% +7.6%

11

Debt Maturity Profile

11As of Dec 31, 2013

11,283

1,168

3,251

3,965

5,374

8562,154

2,311

4,614

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

Within 1 Year Within 2

Years

Within 3

Years

Within 4

Years

Within 5

Years

Over 5 Years

(HK

D m

m)

Bank Loans Fixed Rate Bonds

42%Total: 14,534

6%

10%Total: 3,479

16%Total: 5,470

11%

Total Debt : HK$34,976 mm

15%

12

Property Portfolio Overview

Total Property Portfolio Attributable GFA: Approx. 59.2 mm s.f.

As of December 31, 2013

Overall – By Type Overall – By Location

PUD – By Location PRC PUD – By Usage Gross Asset Value

Macau

2%

HK Resi

33%

Overseas

Prop

2%

Warehouses

& Log

Centres

1%

PRC Prop

52%

HK Comm

10%

Held for

Sales

3%

Completed

Inv Prop.

18%

Hotel

3%

PUD

76%

Overseas

8%Macau

4%

Hong

Kong

10%

Mainland

China

78%

Macau

5%

Mainland

China

82%

Hong

Kong

6%

Overseas

7%

Residential

65%

Hotel

10%

Commercial

14%

Apts/Ser Apt

1%

Office

10%

13

Hong Kong Property

14

Hong Kong Property Results

(HKD mm) FY 2013 FY 2012 % Change

Turnover

Property sales revenue excluding investment properties 7,194 11,563 -38%

Property rental and others 936 845 +11%

Total turnover 8,130 12,408 -34%

Sales proceeds from investment properties - 19 -100%

Total property revenue 8,130 12,427 -35%

Gross profit

Property sales 2,836 4,317 -34%

Property rental and others 745 673 +11%

Total 3,581 4,990 -28%

G ross profit margin

Property sales 39% 37%

Property rental and others 80% 80%

Overall 44% 40%

15

HK Investment Properties

Attributable GFA (000s s.f.)

Apartment 722

Commercial 1,349

Office 838

Total 2,909

Aigburth

Branksome Crest

Branksome Grande

Tavistock

MegaBox and Enterprise

Square 5, Kowloon Bay

As of Dec 31, 2013

Luxury apartment investment properties in Mid Levels

Hong Kong Key Investment Properties Performance

Occupancy

Kerry Centre, Quarry

Bay

Commercial investment properties

94% 99% 97%93% 97% 98%

0%

25%

50%

75%

100%

Apartment (1) Commercial Office

%

Dec 31, 2012 Dec 31, 2013

(1) Excludes Branksome Grande for the period ended Dec 31, 2013.

Refurbishment works scheduled to commence in Q2 2014

16

Hong Kong Properties Under Development

HK/Macau PUD Buildable GFA ** = 3.2 mm s.f.

R=Residential

* Acquired in 1H 2013

** KPL share

Note: As regards the reclamation project in Macau, according to the Macau SAR Government Notice, a piece of land will be granted in exchange with location and size to be identified and agreed.

Name Location Type Stage of Completion Expected Completion

KPL’s Interest

(%)

Buildable GFA**

(s.f.)

FOR SALE PROPERTIES

1 Ede Road Project Kowloon Tong R Superstructure work in progress 2Q14 100 77,468

2 La Salle Road Project Ho Man Tin R Superstructure work in progress 2Q14 100 60,852

3 Kau To Project Sha Tin R Superstructure work in progress 2Q15 40 412,588

4 Hing Hon Road Project * Sai Ying Pun R Foundation work in progress 1Q16 71 27,357

5 Sha Tin Heights Road Project Sha Tin R Conceptual design in progress 3Q16 71 11,727

6 Shan Kwong Building Redev’t Project Wong Nai Chung R Foundation work in progress 4Q16 100 81,322

7 Sheung Lok Street Project * Ho Man Tin R Schematic design in progress 1Q17 100 1,142,168

8 So Kwun Wat Project Tuen Mun R Site formation and foundation work in progress

1Q17 100 939,600

9 Nam Van Project Macau R Schematic design in progress 3Q17 100 397,190

GRAND TOTAL 3,150,272

17

PRC Property

18

PRC Property Results

(HKD mm) FY 2013 FY 2012 % Change

Turnover

Property sales revenue excluding investment properties 4,071 1,541 +164%

Property rental and others 1,211 989 +22%

Hotel 558 280 +99%

Total turnover 5,840 2,810 +108%

Sales proceeds from investment properties 92 127 -28%

Total property revenue 5,932 2,937 +102%

Gross profit

Property sales 1,647 406 +306%

Property rental and others 841 687 +22%

Hotel (12) 20 -160%

Total 2,476 1,113 +122%

Gross profit margin

Property sales 40% 26%

Property rental and others 69% 69%

Hotel -2% 7%

Overall 42% 40%

PRC Key Investment Properties Performance

19

86%

43%

83%

44%

94%

0%

25%

50%

75%

100%

Office (Ph 1) Office (Ph 2) Retail Apartment (1)

%

As of Dec 31, 2012 As of Dec 31, 2013

PRC Key Investment Properties Performance

99%

54%

97%

81%

0%

25%

50%

75%

100%

Phase 1 Office Phase 2 Office

%

As of Dec 31, 2012 As of Dec 31, 2013

98%

42%

56%

79%

97%

0%

25%

50%

75%

100%

Office Retail BJ Kerry Ctr Hotel (1)

%

As of Dec 31, 2012 As of Dec 31, 2013

(1) Hotel occupancy rates are averages for the periods.

Note: Beijing Kerry Centre’s apartments are under renovation and commercial mall were re-introduced into the market in 2013.

Jing An Kerry Centre Kerry Parkside, Pudong

Beijing Kerry Centre Shenzhen Kerry Plaza

100% 100%83%

89%100%100%

0%

25%

50%

75%

100%

Office Retail Apartment

%

As of Dec 31, 2012 As of Dec 31, 2013(1) Apartments were renovated and re-introduced into the market in 2013.

Note: Shanghai Kerry Centre’s commercial mall has been integrated into the Jing An Kerry Centre.

N/AN/A N/A

N/A

Development Mix

Total GFA 450,000 s.m.

Commercial 66,000 s.m. + 13,000 s.m. existing =

79,000 s.m. (total)

Office 114,000 s.m. + 39,000 s.m. existing

= 153,000 s.m. (total)

Jing An Shangri-La 74,000 s.m. (508 rooms)

Apartments (Renovated) 18,000 s.m. (133 apts)

Below Ground Area 121,000 s.m. +15,000 s.m. existing

Carparks 1,100 + 240 existing = 1,340 lots

Completion 2013

20

Jing An Kerry Centre

Leasing (Committed)

Office Commercial

70% 94%

As of December 31, 2013

Anchor Stores Opened

Hugo Boss

Emporio Armani

Donna Karen / DKNY

Loewe

Marc Jacobs

Paul Smith

Max & CoAs of December 31, 2013

21

Development Mix

Site Area Approx 86,000 s.m.

Phase 1

Total GFA Approx 504,000 s.m.

For-Sale Residential Approx 176,000 s.m. or 1,126 units

Commercial Approx 83,000 s.m.

Hotel Approx 70,000 s.m. or 508 keys

Carparks & Others Approx 175,000 s.m. or 2,500 lots

Completion In phases between 2014 and 2015

Phase 2

Total GFA Approx 203,000 s.m.

Office Approx 120,500 s.m.

Apartments Approx 22,000 s.m.

Commercial Approx 28,000 s.m.

Carparks Approx 32,500 s.m. or 600 lots

TOTAL PROJECT GFA Approx 707,000 s.m.

21

Tianjin Kerry Centre

Office + Apts

Hotel Residential

Retail

22

Key PRC Investment Properties Under Development Target Completion (2014-2017)

2014

Tianjin Kerry Centre Ph 1

(hotel + commercial)

Hangzhou Kerry Central

Tangshan (hotel + commercial)

Nanjing (hotel)

Nanchang Ph 1 (hotel)

Shanghai Kerry Everbright City

Ph 3 (office + commercial)

Jinan (office + hotel+ commercial)

2015

Zhengzhou mixed useKunming (hotel)

Between 2014 and 2015

2016

Yingkou (hotel)

Between 2016 and 2017 2017

23

PRC Properties Under Development

Total PRC PUD Attributable GFA = 37 mm s.f.

Denotation: R=Residential. O=Office. C=Commercial. A=Apartment. H=Hotel

Name Location Type Stage of Completion Expected Completion

KPL’s Interest

(%)

KPL’s Attributable GFA (s.f.)

MIXED USED DEVELOPMENT

1 Tianjin Kerry Centre Tianjin R/C/H/O/A Ph 1 – Completion verification in progress Ph 1 – In phases between 2014 & 2015

49 2,631,906

2 Kerry Central, Hangzhou Hangzhou A/C/H/O Excavation work completed. Basement construction work in progress

2015 75 1,576,544

3 Nanchang Complex Development Nanchang R/H/O/C Ph 1 – Hotel & Residential: Superstructure work in progress

Ph 1 – In phases between 2014 & 2015

80 2,055,395

4 Shenyang Kerry Centre Shenyang R/O/C Ph 1 – Superstructure work completed. Interior decoration and mechanical and engineering work in progress

Ph 2 – Excavation work in progress

In phases between 2014 & 2022

60 8,503,337

5 Zhengzhou Complex Development Zhengzhou R/H/O/C Schematic design in progress In phases between 2016 & 2017

55 1,293,007

SUBTOTAL 16,060,189

OTHER INVESTMENT PROPERTIES

6 Nanjing Hotel Development Nanjing H Superstructure work completed. Mechanical and engineering and external work in progress

2014 45 412,072

7 Kerry Everbright City Phase III Shanghai O/C Piling work completed. Basement construction work in progress

2015 74.25 805,141

8 Jinan Complex Development Jinan O/C/H Excavation work in progress 2016 55 540,237

9 Kunming Complex Development Kunming C/H/A Schematic design in progress 2017 35 281,809

SUBTOTAL 2,039,259

TOTAL FOR MIXED USE DEVELOPMENT AND OTHER INVESTMENT PROPERTIES 18,099,448

24

PRC Properties Under Development (cont’d.)

Denotation: R=Residential. O=Office. C=Commercial. A=Apartment. H=Hotel

Name Location Type Stage of Completion Expected Completion

KPL’s Interest

(%)

KPL’s Attributable GFA (s.f.)

FOR SALE PROPERTIES

10 Tangshan Arcadia Court Phase II and Hotel Development

Tangshan R/H/C Structure topped out, internal and external work in progress

In phases between 2014 & 2015

40 811,196

11 Changsha Xiangjiang Arcadia Court

Changsha R/C Ph 1 – Superstructure work completed. External and internal work in progress

In phases between 2014 & 2017

100 3,206,811

12 The Metropolis – Arcadia Court Phase II

Chengdu R/C Excavation and piling work completed 2017 55 1,004,675

13 Qinhuangdao Habitat Qinhuangdao R/C Ph 1 – Superstructure work in progress In phases between 2015 & 2018

60 2,836,677

14 The Metropolis – Arcadia Court Phase III

Chengdu R/C Excavation work in progress 2019 55 1,447,601

15 The Berylville, Ningbo Ningbo R Ph 1 – Superstructure work in progress In phases to 2017 50 515,752

16 Yingkou Haydes Residence and Hotel Development

Yingkou R/H/C Residential Ph 1 – Superstructure work in progress

Hotel: Excavation and piling work completed

In phases between 2015 & 2023

65 2,957,051

17 Putian Complex Development Putian R/H/C Ph 1 – Superstructure work in progress Phase 1 – 2016 60 2,409,041

18 Nanjing Residential Development Nanjing R/C Schematic design and piling work in progress

2015 100 954,982

19 Hangzhou Zhijiang Residential Project

Hangzhou R/C Schematic design, excavation and piling work in progress

In phases between 2017 & 2018

100 2,524,976

SUBTOTAL 18,668,762

GRAND TOTAL 36,768,210

25

2014 Key PRC Projects For Sale and New Launches

Chengdu Metropolis-Arcadia CourtHangzhou Parkview Residence Ph 2

Tangshan Arcadia Court

Changsha Arcadia Court Ph 1Shenyang Arcadia CourtQinhuangdao HabitatTianjin Arcadia Court

Ningbo Berylville

Existing Projects For Sale

Manzhouli Watch Lake Ph 2

Putian Arcadia Court Ph 1

2014 New Launches

Nanchang Ph 1 resShanghai KECPh 3 office

Hanghou Zhijiang Ph 1 residential

Nanjing residential

26

2014 Preview

27

2014 Preview

HONG KONG PROPERTY

Residential Property Sales

� Continue to sell remaining units of Lions Rise and The Altitude

� Launch The Summa, Ede Road, La Salle Road and Kau To Shan projects

Construction

� Continue construction of Ede Road, La Salle Road, Kau To Shan, So Kwun Wat and 5-6 Hing Hon Road projects

PRC PROPERTY

Investment Properties Commencement of Operation

� 2H 2014: Tianjin Kerry Centre Ph 1 (hotel & commerical), Nanchang Ph 1 hotel and Nanjing hotel

Development of major mixed-use projects in 1 st tier cities to strengthen the premier band position, while creating strong recurring income streams for the Group

� Continue construction of Tianjin Kerry Centre Ph 1, Shenyang Kerry Centre, Hangzhou Kerry Central, Nanchang Complex Development Ph 1 and Shanghai Kerry Everbright City Ph 3

Adopt a proactive and adaptive sales strategy for forthcoming property launches

� Continue to sell Hangzhou Parkview Residence Ph 2, Chengdu Metropolis-Arcadia Court Ph 1, Tangshan Arcadia Court Ph 1, Manzhouli Watch Lake Ph 2, Tianjin Arcadia Court, Changsha Arcadia Court Ph 1, Qinhuangdao Habitat Ph 1, Shenyang Arcadia Court Ph 1 and Ningbo Berylville Ph 1 residential

� Launch Putian Arcadia Court Ph 1, Nanchang Ph 1 residential, Hangzhou Zhijiang residential, Nanjing residential and Shanghai Kerry Everbright City Ph 3 office

LAND BANK

� Continue to screen the market for opportunities to expand its land bank in Hong Kong and the PRC based on timing, location and price considerations