Sime Darby Bhd. · MYX:SIME
Sime Darby Bhd — Shareholder Meeting (November 2023)
55 slides from Sime Darby Bhd's shareholder meeting presentation, November 2023
Slide 1: Sime Darby Berhad 17th Annual General Meeting
SIME DARBY BERHAD 17th Annual GENERAL MEETING
Slide 2: Sime Darby Group Overview
SIME DARBY GROUP OVERVIEW Leading trading company in Asia Pacific with strong partnerships with Premium Brands Total Employees 24,335 Countries & Territories 7 Leven Leading BMW & Rolls-Royce dealerin the world Leading CAT dealer globally FY2023 Financials
Slide 3: Our Brand Universe
“Partner of Choice” for many of the World’s Leading Brands 7COX Seopeider Onsite Kubota ‘Perkins: Note: Brands shown are non-exhaustive SITECH SALMON Omes =m... == telecom Mason e©oe0eo0
Slide 4: Sime Darby: Revenue by Geography
SIME DARBY: REVENUE BY GEOGRAPHY Sime Darby Berhad is a multinational company whereby ~84% of revenue comes from outside Malaysia
Slide 5: Sime Darby: Operations Overview
Sime Darby: Operations Overview
Slide 6: Our Purpose
SIME DARBY: OUR PURPOSE “We bring the best products & solutions to enable Asia Pacific to Move and Develop”
Slide 7: FY2023 Operational Performance
FY2023 Operational PerformancE
Slide 8: Diversified Operations and Strong Fundamentals Enabled the Group to Face Headwinds
DIVERSIFIED OPERATIONS AND STRONG FUNDEMENTALS ENABLED THE GROUP TO FACE ECONOMIC HEADWINDS
Slide 9: Transformation to create value for shareholders
Transformation to create value for shareholders • • • • • • • • • • • • • • • • • • • • • • •
Slide 10: Sime Darby Group: Strategy Masterplan (FY2024 to FY2028)
Sime Darby Group: Strategy Masterplan (FY2024 to FY2028) 1 2 3
Slide 11: Recent Updates
RECENT UPDATES Active in the M&A space to grow our business PROPOSED DISPOSAL OF HEALTHCARE DIVISION Proposed divestment of 100% equity stake in Ramsay Sime Darby Health Care Sdn Bhd - whichis a 50:50 joint venture between Sime Darby and Ramsay Health Care Ltd. SPA signed November 2023 The Cavpower
Slide 12: Total Shareholder Returns & Share Price Movement
TOTAL SHAREHOLDER RETURNS (TSR) & SHARE PRICE MOVEMENT
Slide 13: Executive Leadership
EXECUTIVE LEADERSHIP Qualified & Experienced Management Team DATO" JEFFRI SALIM DAVISON Group Chief Executive Officer MUSTAMIR DATUK THOMAS MOHAMAD LEONG YEW HONG Group Chief ie) Group Chief Strategy © Financial Officer Officer eeu OUR STRATEGY soos Managing Director, ©) ? Managing Director, Industr
Slide 14: Questions Raised by Minority Shareholder Watch Group (MSWG)
THANK YOU Sime Delivering Sustainable Futures 13
Slide 15: Questions Raised by MSWG
Slide 16: Questions from MSWG: EV Sales
1. The Group’s Electric Vehicles (“EVs”) sales increased to 17.8% (FY2022: 4.5%) (page 12 of AR2023). In Malaysia, the Group have partnered with Build Your Dreams (“BYD”) to distribute its EVs in the local Malaysian market. (pages 28&29 of AR2023) a) Of the 17.8% EVs sales, how much were from China
Slide 17: Questions from MSWG: EV Competitiveness
b) How will the Group’s electric vehicle models compete against the likes of Neta V or Chery? What are the competitive advantages of the Group’s EVs? The EV models offered by Sime Darby are mainly in the premium & luxury segments, which are in a different segment from Neta V and Chery. Our cheapest
Slide 18: Questions from MSWG: EV Incentives
c) With Malaysia Government’s announcement on several incentives for EVs, to what extent will there be a significant pick up for the Group’s EVs, going forward? With the Malaysia Government incentives, we have already seen a great pick- up in EVs in Malaysia. From selling almost zero EVs two years a
Slide 19: Questions from MSWG: Indonesia Market Entry
2. The Group made its foray into the Indonesian automotive market through a joint venture company, PT Performance Motors Indonesia (page 13 AR2023) which was established with the Galeon Group to operate two BMW dealerships in Jakarta & Medan (page 112 AR2023). What was PT Performance Motors Indonesi
Slide 20: Thank You
THANK YOU Sime Delivering Sustainable Futures 7
Slide 21: Agenda Item: Audited Financial Statements
AGENDANTEM AUDITED FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 30 JUNE 2023
Slide 22: Resolutions of the 17th Annual General Meeting
Slide 23: Resolution 1: Non-Executive Directors' Fees
To approve the payment of fees to the RESOLUTiON 1 Non-Executive Directors up to an amount of RM4.6m from the 17th AGM until the next AGM of the Company.
Slide 24: Resolution 2: Non-Executive Directors' Benefits
To approve the payment of benefits to RESOLUTiON 2 the Non-Executive Directors up to an amount of RM1.5m from the 17th AGM until the next AGM of the Company.
Slide 25: Resolution 3
To elect Scott William Cameron who RESOLUTiON 3 retires in accordance with Rule 82.2 of the Constitution of the Company.
Slide 26: Scott William Cameron
SCOTT WILLIAM CAMERON Independent Non-Executive Director Australian, Age 65 Date of Appointment: 1 Jan 2023 Areas of Expertise: Finance, mining and infrastructure, resources, marine, and power generation Relevant Experience: Began his career with Price Waterhouse in Brisbane, Sydney and New York bef
Slide 27: Resolution 4
To re-elect Tengku Dato’ Sri Azmil RESOLUTiON 4 Zahruddin Raja Abdul Aziz retires in accordance with Rule 82.2 of the Constitution of the Company.
Slide 28: Tengku Dato' Sri Azmil Zahruddin Raja Abdul Aziz
TENGKU DATO’ SRI AZMIL ZAHRUDDIN RAJA ABDUL AZIZ
Slide 29: Resolution 5
To re-elect Dato’ Jeffri Salim Davidson RESOLUTiON 5 who retires in accordance with Rule 103 of the Constitution of the Company.
Slide 30: Dato' Jeffri Salim Davidson
Non Independent Executive Director Malaysian, Age 59 Date of Appointment: 1 December 2017 Areas of Expertise: Accounting, Finance and Business Administration Began his career with Coopers & Lybrand, London in 1986 before joining the Sime Darby Group in 1992. Has held various senior management positi
Slide 31: Resolution 6
To re-elect Dato’ Dr Nirmala Menon who RESOLUTiON 6 retires in accordance with Rule 103 of the Constitution of the Company.
Slide 32: Dato' Dr Nirmala Menon
Independent Non-Executive Director Malaysian, Age 63 Date of Appointment: 15 November 2019 Areas of Expertise: Insurance, Medical and Healthcare Has vast experience in the insurance and health sectors. Held various leadership positions within the Asian life and health insurance industry and had serv
Slide 33: Resolution 7
To re-elect Tan Sri Ahmad Badri Mohd RESOLUTiON 7 Zahir who retires in accordance with Rule 103 of the Constitution of the Company.
Slide 34: Tan Sri Ahmad Badri Mohd Zahir
Tan Sri Ahmad Badri Mohd Zahir
Slide 35: Resolution 8: Re-appointment of Auditors
To re-appoint Messrs RESOLUTiON 8 PricewaterhouseCoopers PLT as Auditors of the Company and to authorise the Directors to determine their remuneration.
Slide 36: Resolution 9: Related Party Transactions Mandate
To approve Shareholders’ Mandate for RESOLUTiON 9 Recurrent Related Party Transactions of a Revenue or Trading Nature with Related Parties Involving Interest of AmanahRaya Trustees Berhad – Amanah Saham Bumiputera.
Slide 37: Resolution 10: Related Party Transactions Mandate
To approve the Shareholders’ Mandate for RESOLUTiON 10 Recurrent Related Party Transactions of a Revenue or Trading Nature with Related Parties Involving Interest of Bermaz Auto Berhad
Slide 38: Q&A Session
Slide 39: Question: Door Gifts
a) QUESTION 1 O Any door gifts for shareholders?
Slide 40: Question: EV Opportunities and Threats
QUESTION 2 @ EV is the future of motor industry, and it also is featured heavily inthe Annual Report. What are the opportunities and threats to Sime Darby? Considering that charging points are still quite lacking and Sime Darby portfolio of brands are predominantly ICE offerings.
Slide 41: Question: China Presence and Property Crisis
QUESTION 3 @ Sime Darby has quite a big presence in China. However, the recent property market crisis and issues at some large property companies showed that the economy Is slowing down. Does Sime Darby see any impact in term of carsales or issues for car buyers to obtain financing for their vehicle
Slide 42: Question: Shift to Agency Model
QUESTION 4 @ What kind of challenges that the company is expected to face with the shift to agency model? As of now, which market has adopted this model
Slide 43: Question: Australia Resources Boom Risk
QUESTION 5 @ The company has gone on a shopping spree in Australasia acquiring companies in FY2023, however one main risk could be "the end of resources boom in Australia" from 1 government survey released in July 2023. Is the company worried about this?
Slide 44: Question: Physical AGM
QUESTION 6 O When will the company start having physical AGM?
Slide 45: Question: Declining Market Price
QUESTION 7 @ Why is the market price of the company declining? What steps are taken to improve the market price of the company?
Slide 46: Question: Proton Holdings Dispute
QUESTION 8 @ Last weekend edge reported that Proton Holdings and its vendors are in a dispute and the article indicate a unit of Sime Darby is also involved in this. Can the management further clarify and enlighten shareholder about this dispute and the financial impact to the company?
Slide 47: Thank You
THANK YOU Sime Delivering Sustainable Futures 37
Slide 48: Board of Directors
BOARD OF DIRECTORS Tan Sri Samsudin Osman Thayaparan Sangarapillai Tan Sri Ahmad Badri Mohd Zahir Tan Sri Muhammad Non-Independent Senior Independent Non-Independent Shahrul Ikram Yaakob Non-Executive Chairman Non-Executive Director Non-Executive Director Independent Non-Executive Director GAC RMC R
Slide 49: Board of Directors
BOARD OF DIRECTORS Scott William Cameron Moy Pui Yee Dato’ Lee Cheow Hock Lawrence Dato’ Jeffri Salim Davidson Independent Non-Independent Executive Director/ Independent Non-Executive Director Non-Executive Director Group Chief Executive Officer Non-Executive Director GAC IC RMC RMC IC Australian A
Slide 50: Board of Directors
BOARD OF DIRECTORS Mohamad Idros Mosin Edree Ahmad Dato’ Dr Nirmala Menon Tengku Dato’ Sri Azmil Zahruddin Non-Independent Alternate Director to Encik Independent Raja Abdul Aziz Non-Executive Chairman Mohamad Idros Mosin Non-Executive Director Independent Non-Executive Director IC NRC IC NRC RMC GA
Slide 51: Executive Leadership
EXECUTIVE LEADESHIP Dato’ Jeffri Salim Davidson Mustamir Mohamad Datuk Thomas Leong Yew Hong Executive Director/ Group Chief Financial Officer Group Chief Strategy Officer Group Chief Executive Officer Malaysian Age 59 Male Malaysian Age 51 Male Malaysian Age 51 Male Overall responsibility for the C
Slide 52: Executive Leadership
EXECUTIVE LEADESHIP Dean Mehmet Andrew Basham Deny Rahardjo Managing Director, Industrial Division Managing Director, Motors Division Group Chief Information & Digital Officer Australian Age 59 Male Australian Age 57 Male Indonesian Age 53 Male Leads and oversees the Industrial Leads and oversees th
Slide 53: Executive Leadership
EXECUTIVE LEADESHIP Glenn Sheahan Noor Zita Hassan Roselaini Faiz Group Chief Safety & Group Secretary Group Chief Human Resources Officer Sustainability Officer Australian Age 54 Male Malaysian Age 57 Female Malaysian Age 58 Female Leads and oversees the safety Responsible and accountable to Overse
Slide 54: FY 2023 Directors Fee Structure
FY 2023 DIRECTORS FEE STRUCTURE
Slide 55: Thank You
THANK YOU Sime Delivering Sustainable Futures 45
Sime Darby Berhad — Shareholder Meeting (November 2023) on 6ix