Fountain Set (holdings) Limited · HKEX:420
Fountain Set (holdings) — H1 2024 Earnings Presentation
38 slides from Fountain Set (holdings)'s earnings presentation, 2024
Slide 1: 1H2024 Post-results Investor Presentation
0420.HK 1H2024 Post-results Investor Presentation 1H2024业绩發佈後 投资者簡报
Slide 2: Disclaimer 免责声明
Disclaimer 免责声明 By attending this presentation and subsequent discussion, or by reading this presentation material, you agree to be bound by the following limitations: 在参加本演讲和随后的讨论后，或阅读 本演讲材料后，表示您同意受以下限制约束： • This presentation and subsequent discussion were prepared by Fountain Set (Holdings) Limite
Slide 3: Disclaimer 免责声明
Disclaimer 免责声明 • Although the information contained in this presentation is obtained or compiled from sources believed to be reliable, no representation or warranty is made. The validity, accuracy, completeness, timeliness, or fairness of the information provided in this presentation and subsequent
Slide 4: 1H2024 Financial Information
1H2024 Financial Information 财务信息 4
Slide 5: Shareholding Structure of FSHL
Shareholding Structure of FSHL福田实业集团股權結構 Shareholding Structure of FSHL 福田实业集团股權結構 Shareholding (Note 1) 持股量(附注1) Chinatex Corporation Limited 485,092,000 中国中纺集团有限公司 Chinatex Corporation Limited Huafu Holdings Limited 211,966,000 中国中纺集团有限公司 华孚控股有限公司 35.30% 39.60% Huafu Holdings Limited Mr. C.F. HA 华
Slide 6: 1H2024 – Key Financials
1H2024 – Key Financials 财务概要 (HK$ Mil) (百万港元) Revenue 营业额 2219.4 ▲ 1.2% Profit before Income Tax Expense 25.8 息税折旧及 摊销前利润 125.6 EBITDA ▲ 86.0% 除所得税支出 前利润 ▲ 159.9% Loss Attributable to Owners of the Company 本公司拥有人应占亏损 -9.9 ▲ 87.8%
Slide 7: 1H2024 – Key Financials
1H2024 – Key Financials 财务概要 (HK$ Mil) (百万港元) LPS– Basic (HK cents) 每股基本 亏损(港仙) -0.8 ▲ 5.9 HK cents 港仙 EBITDA Margin (%) 息税折旧及 摊销前利润率 (%) 5.7 ▲ 2.6pp Profit for the period 是期间亏损 4.2 ▲ 106.1%
Slide 8: 1H2024 – Key Financials
1H2024 – Key Financials 财务概要 Changes (HK$ Mil) 1H24 1H23 变动 (百万港元) Revenue 营业额 2,219.4 2,193.9 ▲ 1.2% Gross Profit 毛利 244.8 171.3 ▲ 43.9% GP Margin (%) 毛利率 11.0% 7.8% ▲ 3.2 pp EBITDA 息税折旧及摊销前利润 125.6 67.5 ▲ 86.0% EBITDA Margin (%) 息税折旧及摊销前利润率 5.7% 3.1% ▲ 2.6 pp Profit / (Loss) for the period 是期间盈利 /
Slide 9: 1H2024 Results – Key Financials
1H2024 Results – Key Financials 财务概要 (HK$ Mil) At 30 Jun, 2024 At 31 Dec, 2023 Changes (百万港元) 于2024年6月30日 于2023年12月31日 变动 Non-Current Assets 非流动资产 1,472.6 1,532.0 3.9% ▲ Current Assets 流动资产 3,227.2 3,368.8 4.2% ▲ Current Liabilities 流动负债 1,094.9 1,165.3 6.0% ▲ Net Current Assets 流动资产净值 2,132.3 2,203
Slide 10: Financial Information
Financial Information 财务信息 (HK$ Mil) (百万港元) Financial Ratios 01 财务比率 Net Debt/ EBITDA -8.4 ▲ 4.8pp Ratio (annualised) Current Ratio 3.0 净债務/息税折旧及摊 销前利潤率(年化) ▲ 0.1 流动比率 Bank Balances & Cash (including short term bank deposits) -33.0% 银行结余及现金 (包括短期银行存款) 1,114.4 Net Debt to 3.1pp ▲ Equity Ratio 19.2% 净
Slide 11: Financial Information
Financial Information 财务信息 Turnover Period 02 周转期 79 8 days (日) Inventory (days) 存货 (日) 73 ▲ 3 days (日) Trade and Bills Receivables (days) 營業及票據应收款項 (日)
Slide 12: Financial Information
Financial Information 财务信息 At 30 Jun, 2024 At 31 Dec, 2023 Changes 于2024年6月30日 于2023年12月31日 变动 Bank Borrowings 银行借贷 (HK$ Mil) (百万港元) Total Bank Borrowings 总银行借贷 44.5 108.5 59.0% Net Debt 净债務 1,060.9 1,181.3 10.2% Financial Ratios 财务比率 Net Debt/ EBITDA Ratio (annualised) -8.4 -3.6 4.8 pp 净债務/ 息税折旧及摊销
Slide 13: Cost Analysis (Y-o-Y)
Cost Analysis (Y-o-Y) 成本分析 (HK$ Mil) (百万港元) Distribution & Selling Expenses 分销及销售费用 53.5 2.4% of Revenue 0.7 pp 佔营业额2.4% Admin. Expenses 行政费用 197.1 8.9% of Revenue 0.3 pp 佔营业额8.9% Finance Costs 融資成本 8.0 0.4% of Revenue 0.2 pp 佔营业额0.4%
Slide 14: Cost Analysis (Y-o-Y)
Cost Analysis (Y-o-Y) 成本分析 For the period ended 截至下列日期止期间 Changes 1H24 1H23 变动 HK$ Mil % of Revenue占 HK$ Mil % of Revenue % PP 百万港元 营业额比率 百万港元 占营业额比率 Revenue 营业额 2,219.3 100% 2,193.9 100% 1.2 NA Gross Profit 毛利 244.8 11.1% 171.3 7.8% 42.9 3.3 Distribution & Selling Expenses 53.5 2.4% 37.3 1.7% 43.5
Slide 15: Revenue by Business Segments
Revenue by Business Segments 营业额 – 按业务分类 (HK$ Mil) (百万港元) Production & Sales of Garments制造及销售成衣 14.7% 325.5 (16.3%) 9.1% Production & Sales of Garments 制造及销售成衣 85.3% 1,893.9 (83.7%) 3.2% Production & Sales of Production & Sales of Dyed Fabrics & Yarns Dyed Fabrics & Yarns 制造及销售色布及纱 制造及销售色布及纱 GREEN =
Slide 16: Revenue by Geographical Segments
Revenue by Geographical Segments (Billing addresses of customers) 营业额 – 按地域分类 (按客户账单地址) Europe 0.4% Taiwan 3.2% 欧洲 (1.5%) 台湾 (4.3%) Hong Kong 16.1% 香港 (14.9% ) Mainland China 中国大陸 32.9% ▼ Other countries or (34.9%) regions 其他國家或地區 16.4% (15.6%) America 4.6% 美洲 (5.6%) Korea 5.8% Sri Lanka 20.6% BLUE
Slide 17: Revenue & Profit Margins
Revenue & Profit Margins 营业额及盈利 Y-O-Y H-O-H 10,000 300.0 Revenue 营业额 Revenue (HK$ Mil) 营业额(百万港元) 101.6 Profit (HK$ Mil) 盈利(百万港元) 6,000 151.7 142.3 180 250.0 Profit 盈利 Profit (HK$ Mil) 盈利(百万港元) 150 8,000 4,943 200.0 5,000 120 87.5 Revenue 营业额 6,751 58.4 118.6 90 6,000 150.0 60 6,606 4,000 3,517 4,440
Slide 18: Trade & Bills Receivables and Turnover Period
Trade & Bills Receivables & Trade & Bills Receivables Turnover Period 营业及票据应收款项及营业及票据应收款项周转期 (按年比较) Y-O-Y 90 1,500 1,270 1,130 76 1,027 80 1,000 929 HK$ Mil 百万港元 808 Days (日) 70 62 69 500 66 60 56 0 50 Year FY19 FY20 FY21 FY22 FY23 Trade and Bills Receivables 營業及票據应收款项 Trade and Bills Receivables Tu
Slide 19: Inventory, Bank Borrowings and Net Debt to Equity Ratio
Inventory and Inventory Turnover Period (Y-o-Y) & Total Bank Borrowings and Net Debt to Equity Ratio (Y-o-Y) 存货及存货周转期 (按年比较)及银行借贷总值及淨负债权益比率 (按年比较) Inventory and Inventory Turnover Period (Y-o-Y) 存货及存货周转期 (按年比较) 2,000 150 Days 1,717 (日) 1,500 Inventory 1,218 120 存货 HK$ Mil 百万港元 103 78 930 1,000 784 5
Slide 20: Business Review: Factors affecting 1H2024 Results
Business Review 业务回顾 Factors affecting 1H2024 Results 影响2024上半年财政年度因素 Reduction in fabric dyeing & Operating Efficiency Increased orders from the U.S., finishing capacity in Jiangyin Enhancement Europe, and Japan mill due to land resumption 运营效率提升 美国、欧洲和日本的订单增加 土地征收导致江阴工厂染整产能 减少 Decline in the avera
Slide 21: Business Review: What we have done and will continue to do
Business Review 业务回顾 What we have done and will continue to do 已开始并将继续实施 “Sophistication, Integration of quality, uniqueness” Technology production, supply fabric mills strategic automation and and sales positioning Machinery upgrade 「产供销一体化」 「精、優、特」面料廠 技术自动化及机械升 房策略性定位 级 TPM (Total Fountain Set Cos
Slide 22: Business Review: 2024/25 Sales Drive
Business Review 业务回顾 Business Collaboration 协同效应 Clients in Top 10 end- China and buyer Japan 10大 中国及 最終客户 日本客户 2024/25 Sales Drive 2024/25销售重点 22
Slide 23: Business Outlook
Business Review 业务回顾 Business Outlook 业务前景 Strongly committed to maintaining sales with existing quality customers (mainly top 20) as well as growing new customers 积极致力藉优质客户（主要為20大客戶）以及不断增长的新客户 維持销量 Enhance product R&D 增加产品研发 IT-driven smart production upgrade 資訊化智慧化生產轉型升級 Maintain a prudent and pra
Slide 24: Overview of Production Capacities
OVERVIEW OF PRODUCTION CAPACITIES 生产能力概述 2022 2023 2024 Fabric Dyeing (million lbs./month) 24.5 15 13 染布(百万磅／月) Yarn Dyeing (million lbs./month) 3 2 2 染紗 (百万磅／月) Fabric Printing (million lbs./month) 3.6 4 4 印花布 (百万磅／月)
Slide 25: Overview of Production Capabilities
OVERVIEW OF PRODUCTION CAPABILITIES 生产能力概述 Total million Jiangyin Fuhui Shatin Lake Side Yancheng Fuhui Ocean Lanka lbs./month 江陰福匯 沙田麗海 鹽城福匯 海洋蘭卡 总计 百万磅／月 Knitting 织 4.0 4.5 1.0 1.8 11.3 Dyeing 染 - 5.5 5.0 2.5 13.0 Finishing后整 - 14.0 9.5 3.3 26.8 Printing 印花 - 3.5 - 0.6 4.1 25
Slide 26: Market Distribution
Market Distribution 市场分布 Geographic Locations % of Sales in 2024 Category Major End Buyers of End-buyers 2024年主营业务 销售类型 主要最终买家 最终买家所在国家或地区 收入占比 Walmart U.S.A. Export Polo Ralph Lauren 1. 美国 外销 60% Kohl’s Abercrombie & Fitch Marks & Spencer（英国） Europe Export Next（英国） 2. 欧洲 外销 2% Fred Perry（英国） Tchibo
Slide 27: Production sites and trading offices map
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Slide 28: Supply Chain Integration
SUPPLY CHAIN INTEGRATION 供应链整合 KNITTING YARN-DYEING Knits raw yarn Dyes raw yarn into into greige fabrics specified color 针织 染纱 PIECE-DYED 将色纱染成指定颜色 YARN- 将生线织成胚布作 DYED FABRICS & 进一步处理 FABRICS PRINTED FABRICS KNITTING 色纱布 色布及印花布 Knits yarn into PIECE-DYING striped fabrics for Dyes greige fabrics fur
Slide 29: Established Customer Relationships & Diversified Global Brand Relationships
Established Customer Relationships & Diversified Global Brand Relationships 已建立的客户关系网络和多元化的全球性品牌关系 ▪ Strong business relationships with a broad range of internationally renowned brands ▪ 与众多国际知名品牌建立了稳固的业务关系 ▪ The aggregate revenue attributable to the Group’s five largest customers was less than 30%
Slide 30: Overseas Clients
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Slide 31: China Clients
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Slide 32: Textiles & Apparel Industry Updates
Textiles & Apparel Industry Updates 纺织与服装行业动态 32
Slide 33: Textiles & Apparel Industry Outlook - Cotton and Cotton Yarn
Textiles & Apparel Industry Outlook - Cotton and Cotton Yarn 纺织及服装行业展望 – 棉花及棉纱 (Source: Cotton Incorporated – Monthly Economic Letter (July 2024)) 33
Slide 34: Textiles & Apparel Industry Outlook - Cotton (CT, NYBOT)
Textiles & Apparel Industry Outlook - Cotton (CT, NYBOT) 纺织及服装行业展望 – 棉花 (CT,NYBOT) (Source: Cotton Incorporated – Monthly Economic Letter (July 2024)) 34
Slide 35: Textiles & Apparel Industry Outlook - World Cotton Balance Sheet
Textiles & Apparel Industry Outlook - World Cotton Balance Sheet 纺织及服装行业展望 – 世界棉花供需情况 (Source: Cotton Incorporated – Monthly Economic Letter (July 2024)) 35
Slide 36: Cotlook A Index Price in US cents per pound
(Cotlook A Index) Price in US cents per pound (Cotlook A 棉花格價指數 )每磅美分价格 200 170 140 110 2023 80 2024 50 20 -10 Jan Feb Mar Apr May Jun Year Jan Feb Mar Apr May Jun 2023 100.40 99.35 97.55 93.15 94.15 90.25 2024 93.70 107.00 97.95 88.30 86.60 84.70 (Source: Insee - (Cotlook A Index) Price in US cents
Slide 37: Collaborations Boundless Innovation
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Slide 38: Thank you
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Fountain Set (Holdings) — H1 2024 Earnings Presentation on 6ix