Playmates Toys Limited · HKEX:869
Playmates Toys — FY2019 Earnings Presentation
22 slides from Playmates Toys's earnings presentation, Mar 6, 2020
Slide 1: Playmates Toys Limited 2019 Full Year Results Briefing
Playmates Toys Limited 2019 Full Year Results Briefing 6 March 2020
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation and subsequent discussion may contain forward-looking statements with respect to the financial condition, results of operation and business of Playmates Toys Limited. Such forward-looking statements represent expectations or beliefs concerning future even
Slide 3: Content
Content About Playmates Toys Our Mission Our Latest Performance Operating Environment Our 2019 Results Reflected Financial Performance Looking Forward 3
Slide 4: About Playmates Toys
About Playmates Toys Founded: 1966 First Group listing: 1984 HKSE#0869 – Playmates Toys Limited A leading manufacturer of promotional toys Create, design, market & distribute branded products worldwide More information – www.playmatestoys.com 4
Slide 5: Our Mission
Our Mission We strive to create superior shareholder value by selectively investing in proprietary and licensed brands and delivering quality, safe, and innovative toys to the consumers while managing costs prudently to maximize operational leverage. 5
Slide 6: Our Latest Performance
Our Latest Performance 6
Slide 7: Operating Environment
Operating Environment During 2019: Significant uncertainties in the global economic order due to US-China trade dispute and Brexit Challenging retail environment without Toys “R” Us Fewer shopping days between Thanksgiving and Christmas Competition from video games NPD Group reported US toy market c
Slide 8: Our 2019 Results Reflected
Our 2019 Results Reflected Turnover decrease due to contraction in Teenage M utant Ninja Turtles (“TM NT”) and Ben 10 Cartoon Network’s Ben 10 animated TV series continues to be popular in US and many international markets Lower recurring operating expenses: lower marketing, selling & distribution e
Slide 9: Financial Performance: Income Statement Highlights
Financial Performance Income Statement Highlights HK$ Million 2018 2019 +/-% Revenue 474.2 358.7 -24.3% Gross Profit 250.9 184.3 -26.6% Marketing (109.6) (80.6) 26.5% Selling & Distribution (27.1) (19.5) 28.0% Administration (122.2) (119.8) 2.0% Impairment Loss on Trade Receivables (5.3) - N/A Opera
Slide 10: Margin Analysis
Margin Analysis Cost of Sales 100% Marketing 90% Selling & Distribution 80% 47.1% 48.6% Administration 70% Others Income Tax 60% 22.5% 50% 23.1% 40% 5.4% 5.7% 30% 33.4% 20% 25.8% 10% Others 0.8% 5.8% -2.6% Net profit 0.1% Net loss 10.4% Others 0% -5.3% 2018 2019 Revenue: HK$474.2M HK$358.7M 10
Slide 11: Revenue Breakdown by Regions
Revenue Breakdown by Regions 2018 2019 4.1% 0.2% 5.1% 1.0% 1.9% 0.8% 19.8% 29.1% 56.6% 63.9% 8.4% 9.2% HK$474.2M HK$358.7M U.S.A. Other Americas Europe Australasia Asia Others 11
Slide 12: Financial Performance: Balance Sheet Highlights
Financial Performance Balance Sheet Highlights HK$ Million 31/12/2018 31/12/2019 Inventories 24.2 19.5 Trade Receivables 140.0 66.1 Cash & Bank Balances 1,008.1 1,005.6 Net Current Assets 972.6 957.3 Net Assets 1,017.7 985.3 Net Asset per Share (HK$) 0.86 0.83 Gearing Ratio 0.0 0.0 Current Ratio 5.5
Slide 13: Looking Forward
Looking Forward nicnelodeon RISE oF THE TEENAGE MUTANT NINJA 13
Slide 14: Looking Forward
Looking Forward Viral epidemic expected to disrupt supply chain in the first half 2020 Teenage Mutant Ninja Turtles on planned hiatus; next re- imagination in development Ben 10 Season 4 premiered in Spring 2020; product line extensions in active development Power Players toy line launched in early
Slide 15: TMNT will go on a planned hiatus starting in 2020
TMNT will go on a planned hiatus starting in 2020 Work closely with ViacomCBS-Nickelodeon team on the next reimagination of the Turtles Confident in TM NT as evergreen entertainment franchise
Slide 16: Cartoon Network's Ben 10 continues to attract a significant fan base
Cartoon Network’s Ben 10 continues to attract a significant fan base in US and many international markets Season 4 premiered in Spring 2020 Product line extensions for 2020 in active development
Slide 17: Power Players airs on Cartoon Network and soon to debut on Netflix
Power Players airs on Cartoon Network and soon to debut on Netflix Products launched in US in early 2020 then roll out across major markets 17
Slide 18: Monsterverse products: Godzilla vs. Kong
Playmates introduced products created for Legendary Entertainment’s M onsterverse , beginning with Godzilla vs. K ong , highly anticipated film from Legendary and Warner Bros. Pictures scheduled for Fall 2020 Products inspired by Toho’s Classic Monsters launched in Spring 2020
Slide 19: Frozen II Adventure Storytelling Figures
Frozen II Adventure Storytelling Figures have interactive technology that activates multiple phrases, songs and adventure play First wave of figures launched in Spring 2020 includes Elsa, Anna and Olaf 19
Slide 20: Miraculous: Tales of Ladybug & Cat Noir
Miraculous: Tales of Ladybug & Cat Noir has become a global phenomenon, airs in over 120 countries worldwide, with new seasons in production A collection of toys will launch in Fall 2020 in selected international market
Slide 21: Pikwik Pack, new pre-school series
Pikwik P ack , brand new pre- school series, collaborate with Toronto-based Guru Studio Currently under development and slated to air on Disney Junior channel in US and a number of key markets 21
Slide 22: Thank You!
Playmates Toys Limited Thank You!