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3BB INTERNET INFRASTRUCTURE FUND Interim / Quarterly Report 2023

May 9, 2023

75066_rns_2023-05-09_279b6468-e026-4ebb-9894-e32721ea136b.pdf

Interim / Quarterly Report

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Jasmine Broadband Internet Infrastructure Fund

9 May 2023

Management Discussion & Analysis for Q1/23

QUARTERLY HIGHLIGHTS

Translation

  • Total income in Q1/23 was THB 2,656.23mn, increased 3.26% YoY and increased 3.11% QoQ.

  • Net investment income in Q1/23 was THB 2,270.00mn, an increase of 2.51% YoY and increase of 2.76% QoQ.

  • As of 31 Mar 2023, Net Asset Value (NAV) was THB 81,876.84mn, equivalent to THB 10.2346 per unit.

FINANCIAL PERFORMANCE

(THB mn) Q1/2023 Q1/2022 % Change
(YoY)
Q4/2022 % Change
(QoQ)
Total income 2,656.23 2,572.38 3.26% 2,576.08 3.11%
Rental income 2,644.17 2,567.15 3.00% 2,567.15 3.00%
Interest income 11.83 5.13 130.60% 8.93 32.47%
Other income 0.23 0.10 130.00% 0.00 N.A.
Total expenses 386.23 357.95 7.90% 367.00 5.24%
Fund management fee and expenses 28.85 30.13 (4.25)% 41.19 (29.96)%
Operating expenses 140.21 135.07 3.81% 113.20 23.86%
Finance costs 215.69 190.11 13.46% 198.88 8.45%
Other expenses 1.48 2.64 (43.94)% 13.73 (89.22)%
Net investment income 2,270.00 2,214.43 2.51% 2,209.08 2.76%
Net realised gains from investments 0.00 0.00 N.A. 0.00 N.A.
Gains (Losses) from changes in fair value of investments (3,700.00) (600.00) (516.67)% (3,000.07) (23.33)%
Increase in net assets from operations (1,430.00) 1,614.43 (188.58)% (790.99) (80.79)%

Q1/23 PERFORMANCE

TOTAL INCOME

Total income for Q1/23 was THB 2,656.23mn, increasing 3.26% YoY and increasing 3.11% QoQ, mainly came from rental income from Optical Fiber Cables of THB 2,644.17mn, increasing 3.00% YoY and QoQ. Interest income was THB 11.83mn, increasing 130.60% YoY and increasing 32.47% QoQ. Other income was THB 0.23mn, increasing 130.00% YoY.

TOTAL EXPENSES

Total expenses in Q1/23 were THB 386.23mn, increasing 7.90% YoY and increasing 5.24% QoQ. Fund management fee and expenses were THB 28.85mn, decreasing 4.25% YoY and decreasing 29.96% QoQ. Operating expenses were THB 140.21mn, increasing 3.81% YoY and increasing 23.86% QoQ (composed of Optical Fiber Cables maintenance expenses THB 106.42mn, right of way expenses THB 31.19mn and insurance expenses THB 2.60mn). Finance Costs were THB 215.69mn, increasing 13.46% YoY and increasing 8.45% QoQ. Other expenses were THB 1.48mn, decreasing 43.94% YoY and decreasing 89.22% QoQ.

NET INVESTMENT INCOME

JASIF recorded net investment income of THB 2,270.00mn in Q1/23, increasing 2.51% YoY and increasing 2.76% QoQ. Losses from changes in fair value of investments was THB 3,700.00mn. (In Mar 2023, the Fund engaged an independent appraiser to appraise the fair value of the investments. The Fund revalued such investments to be new fair value of THB 91,100.00mn, resulting in losses from changes in fair value of investments THB 3,700.00mn from this appraisement). Net assets from operations was decreased THB (1,430.00mn), dropped 188.58% YoY and 80.79% QoQ.

MD&A for Q1/23

1

Jasmine Broadband Internet Infrastructure Fund

9 May 2023

Management Discussion & Analysis for Q1/23

BALANCE SHEET

THB mn 31-Mar-23 31-Dec-22
Investment in OFCs 91,100.00
94,800.00
Investment in securities at fair value and Cash at bank 4,750.47
4,681.35
Other assets 16.19
11.83
Total Asset 95,866.66 99,493.18
Total Liabilities 13,989.82 14,346.34
Net Asset Value 81,876.84 85,146.84
Capital Received from Unitholders 76,683.80

76,683.80
Retain Earnings 5,193.03 8,463.04
NAV per Unit (THB) 10.2346 10.6433

Total assets of JASIF as of 31 Mar 2023 stood at THB 95,866.66mn. The main component was Investment in Optical Fiber Cables (OFCs) of THB 91,100.00mn, Investment in securities at fair value and cash at bank of THB 4,750.47mn and other assets of THB 16.19mn. Total liabilities stood at THB 13,989.82mn. Net Asset Value (NAV) as of 31 Mar 2023 was THB 81,876.84mn, equivalent to THB 10.2346 per unit.

Long-term loan repayment amount detail for the year 2023

(THB mn) Q1/2023
(13th)
Q2/2023
(14th)
Q3/2023
(15th)
Q4/2023
(16th)
Total
2023
Long-term loan repayment amount 287.50 287.50 287.50 287.50 1,150.00

JASIF had long-term loan repayment in amount of THB 287.50mn. for Q1/23.

Other Information

  • At currently, OFCs transferred to JASIF were totally 1,680,500 core kilometers. The assets consist of initial assets with the amount of 980,500 core kilometers and additional assets amount of 700,000 core kilometers.

  • In 2023 rental rate for the Amended and Restated Main Lease Agreement is THB 454.91 per core kilometer per month and rental rate for the Amended and Restated Rental Assurance Agreement is THB 802.76 per core kilometer per month. (The change in the Thailand CPI in 2022 announced by the Ministry of Commerce on 5 January 2023 was +6.08%, therefore the rental rate in 2023 will be increased 3.00%.)

  • OFCs maintenance fee for the period of 2023 is THB 253.35 per core kilometer per year.

MD&A for Q1/23

2