Hiap Teck Venture Bhd. · MYX:HIAPTEK
Hiap Teck Venture Bhd — Q3 FY2022 Earnings Presentation
11 slides from Hiap Teck Venture Bhd's earnings presentation, Jun 30, 2022
Slide 1: Analysts' Briefing 3Q FY2022 Performance Review
ANALYSTS’ BRIEFING 3Q FY2022 PERFORMANCE REVIEW 30 June 2022 1
Slide 2: Corporate Structure
CORPORATE STRUCTURE (30 April 2022) Key Operating Units 2
Slide 3: The Macro Environment
The Macro Environment Malaysia Real GDP Growth 20.00 16.10 15.00 10.00 5.00 Malaysian economy continued 3.60 5.00 0.70 -0.50 its recovery in 1Q 2022 at a 0.00 -2.70 -3.40 -4.50 nominal growth rate of 5.0% -5.00 1Q 2020 2Q 3Q 4Q 1Q 2021 2Q 3Q 4Q 1Q 2022 after posting an expansion of -10.00 3.6% in 4Q
Slide 4: HTVB Group in 3Q FY22: Higher Sales Volumes but Declining ASP
HTVB Group in 3Q FY22 (Feb 2022 – Apr 2022) HIGHER SALES VOLUMES BUT DECLINING AVERAGE SELLING PRICE (ASP) ❑ Sales volumes picked up in the quarter post festival month with more economic activity when the country begun its transition to the endemic phase from 1 April 2022. ❑ Steel prices climbed aft
Slide 5: 3Q FY22 vs 3Q FY21 (corresponding quarter)
Performance Review – 3Q FY22 vs 3Q FY21 (corresponding quarter) The Group’s NPAT is lower at RM32.5m mainly due to higher costs of inventories despite higher volume. (RM’M) 3Q FY21 3Q FY22 Variance Remark Revenue 329.7 457.0 38.6% Higher volume Revenue 38.6% Gross Profit 72.6 50.7 Due to higher cost
Slide 6: 3Q FY22 vs 2Q FY22 (preceding quarter)
Performance Review – 3Q FY22 vs 2Q FY22 (preceding quarter) Higher revenue than preceding quarter due to higher sales volume which translated to higher profit. (RM’M) 2Q FY22 3Q FY22 Variance Remark Revenue 333.3 457.0 37% Higher sales volume Gross Profit 44.5 50.7 Revenue GPM 13.4% 11.1% Lower marg
Slide 7: Eastern Steel Sdn. Bhd.
Eastern Steel Sdn. Bhd. 7
Slide 8: ESSB Performance Review – 3Q FY22 vs 2Q FY22
ESSB Performance Review – 3Q FY22 vs 2Q FY22 (preceding quarter) 2QFY22 3QFY22 (RM’M) Nov 21-Jan 22 Feb 22-Apr 22 Variance Remarks Volume (MT) 226.0 184.2 -18% Lower volume due to festive season Revenue 668.5 575.0 -14% Dropped in sales volume Gross Profit 65.0 54.1 -17% GPM 9.7% 9.4% Lower margin d
Slide 9: ESSB Performance Review – 3Q FY22: Product Mix and Markets
ESSB Performance Review – 3Q FY22 Product Mix Billet, 23% Slab Slab, 77% Billet MARKET DISTRIBUTION YTD2022 Korea Italy 2% 4% Philippines 7% Malaysia China 25% 14% Indonesia 19% Taiwan 8% Thailand 16% Japan 5% 9
Slide 10: Outlook – Cautiously Optimistic
Outlook – CAUTIOUSLY OPTIMISTIC ✓ GROUP RECORDED A REMARKABLE 9 MONTHS PERFORMANCE TO DATE WITH A NPAT OF RM131.8 MILLION A 28% INCREASED OVER THE PRECEDING YEAR CORRESPONDING PERIOD. ✓ OUTLOOK FOR COMING QUARTER REMAINS CAUTIOUSLY OPTIMISTIC WITH MARGINS UNDER PRESSURE FROM THE DECLINE IN STEEL PRI
Slide 11: Thank You
THANK YOU 11