32 YINSON HOLDINGS BERHAD # Order book and net debt related to assets owned through joint venture arrangements are included based on Yinson's ownership interest in those assets. Adjusted Net Debt/Adjusted Core EBITDA (times) FY2026 3.92 FY2025 5.91 FY2024 4.32 FY2023 3.94 FY2022 3.85 Order book to Net Debt# (times) FY2026 5.85 FY2025 5.30 FY2024 8.34 FY2023 12.85 FY2022 11.39 The Group uses Net Gearing – calculated as ‘Total Loans and Borrowings’ less ‘Cash and Bank Balances plus Liquid Investments’ divided by ‘Total Equity’ – as a key indicator to manage our operational funding structure. The ratio decreased to 1.37 times in the current financial year, from 1.69 times in FY2025. This decrease was primarily due to the Group’s strong total equity position of RM9.2 billion bolstered by the completion of the first two tranches of the YPOHL RCPS and Warrants Issue during the current financial year, which was moderated by the Group’s higher leverage on additional loans and borrowings drawn down to fund project execution needs. The construction of our assets is fully funded, with no bullet debt repayments due until FY2029. Ample liquidity generated during the contracted lifecycle of our assets ensures the ability to service our debts. As at 31 January 2026, the Group’s loans and borrowings comprised project financing loans for FPSO John Agyekum Kufuor, FPSO Helang, the Agogo FPSO and Matarani Solar Park totalling RM6.8 billion, and a project bond for FPSO Maria Quitéria of RM4.7 billion. These loans are structured for repayment over the course of the assets’ contracted periods. The project bond for FPSO Anna Nery was deconsolidated from the Group’s balance sheet as at 31 January 2025. The loans for Rising Bhadla 1 & 2 Solar Parks and Nokh Solar Park are classified within the disposal group held for sale as at 31 January 2026. Key features of Yinson’s project financing are as below: • Project financing loans become non-recourse to Yinson once operational, with Yinson’s guarantee released. This reduces the liquidity risk associated with these loans. • Once non-recourse, lenders are entitled to repayments only from cash flows generated by the financed projects, and not from other Yinson assets. • Project financing loans for FPSO John Agyekum Kufuor, FPSO Helang, Rising Bhadla 1 & 2 Solar Parks, Nokh Solar Park, and the project bonds for FPSO Anna Nery and FPSO Maria Quitéria, are non-recourse. To assess the Group’s ability to repay our loans and borrowings, we refer to the Adjusted Net Debt/Adjusted Core EBITDA ratio and Order book to Net Debt ratio: • The Adjusted Net Debt/Adjusted Core EBITDA ratio indicates the number of years’ profits required to cover outstanding loans and borrowings. FY2026’s ratio decreased to 3.92 from 5.91 times in FY2025, mainly because our FPSOs are fully operational and new equity funding was obtained from the completion of the first two tranches of the YPOHL RCPS and Warrants Issue that increased our cash balances in the current financial year. • The Order book to Net Debt ratio indicates the Group’s ability to service our debt using operational cash inflows. The ratio increased to 5.85 times in FY2026, compared to 5.30 times in FY2025, reflecting the Group’s strong cash flow generation from our operational assets. Project financing loan repayments are scheduled to begin only after first oil. As the Group grows, we remain committed to optimising our financing strategy, maintaining a balance of funding from debt and equity markets to support future projects. CLOSING REMARKS As we navigate a challenging macro environment, our long-term contracted cash flows, disciplined balance sheet management and clear investment framework give us a solid platform for 2026 and beyond. We will continue to prioritise earnings quality, maintain disciplined leverage and pursue investments that meet our return and risk thresholds in order to deliver sustainable value for our stakeholders. LEADERSHIP MESSAGES
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