Slide 1: PAX Global Technology Limited (327.HK) 2023 annual results
PAX Global Technology Limited (327.HK) 2023 annual results
Slide 2: Disclaimer
Disclaimer The information contained in these presentation materials has been prepared by PAX Global Technology Limited ( “Company” or “PAX”) (incorporated in Bermuda with limited liability) solely for use at the presentation to prospective investors for introduction of the Company. By accepting thi
Slide 3: Agenda
Agenda 01 Key development strategies 02 2023 annual results snapshot PAX Global 2023 annual results 3
Slide 4: Key development strategies
Key development strategies PAX Global 2023 annual results 4
Slide 5: PAX key development strategies
Key development strategies PAX key development strategies Strengthens Expands financial POS commercial EPOS leading position business field PAX Global 2023 annual results 5
Slide 6: PAX strengthens financial POS leading position
Key development strategies PAX strengthens financial POS leading position z v A920MAX A33 A50 Mobile SmartPOS PINpad mini SmartPOS v IM30 A6650 Unattended solution Smart PDA PAX Global 2023 annual results 6
Slide 7: PAX expands commercial EPOS business field
Key development strategies PAX expands commercial EPOS business field Market opportunities • Growing demand for Android EPOS PAX strategies • Develop integrated business SaaS solutions o Deepen ties with software developers o Optimise MAXSTORE platform o Expand EPOS product portfolio • Explore more
Slide 8: 2023 annual results snapshot
2023 annual results snapshot PAX Global 2023 annual results 8
Slide 9: Emphasizes on creating more shareholder values
2023 annual results snapshot PAX emphasizes on creating more shareholder values （HK cents） （Payout ratio) Proposed final dividend YoY 21% 25 41% 45% 40% 23 cents 20 31% 35% HK 27% 30% per share 15 25% 21% 18% 20% 10 Repurchases 15% YoY 22% 10% 5 5% HK$ 84 million 0 2019 FY 2020 FY 2021 FY 2022 FY 20
Slide 10: PAX achieved solid profit margins
2023 annual results snapshot PAX achieved solid profit margins 17.4% 16.0% 15.2% 15.7% Net profit 12.7% margin (％) Profit for the year 44.6% 1,165 41.4% 41.0% 39.5% 39.3% Gross profit margin (％) 8,063 HK$ million 7,196 6,709 5,651 4,926 Revenue (HK$ million) 2019 FY 2020 FY 2021 FY 2022 FY 2023 FY P
Slide 11: PAX recorded robust cash inflow from operations
2023 annual results snapshot PAX recorded robust cash inflow from operations 2023 FY key cash flow analysis Operating activities Financing activities Investing activities Net cash generated from Payments in dividends & Expenditures in Shenzhen & operating activities buybacks Huizhou construction pro
Slide 12: PAX pragmatically manages working capital
2023 annual results snapshot PAX pragmatically manages working capital Trade and bills receivables (YoY +14%) • Improved receivables ageing due to strong 2023 Q4 sales (Turnover days: 143) • Prolonged customer repayment influenced by strong US dollar Inventories (YoY -28%) • Normalised global supply
Slide 13: Other financial items analysis
2023 annual results snapshot Other financial items analysis Gross profit margin • Successfully implemented effective cost control strategies (YoY +360 bps) • Impact of RMB depreciation • Change in geographical sales mix Selling expenses • Decrease in sales commission (YoY -18%) • Decrease in freight
Slide 14: PAX new headquarters building marks a new milestone
2023 annual results snapshot PAX new headquarters building marks a new milestone Key financial items (annually) Depreciation HK$ ~15 million Rental saving HK$ ~6 million Total capex HK$ ~360 million (including cost of land use rights) Number of staff* in HQ Approx. 800 New HQ building bolsters inter
Slide 15: PAX diversifies the global footprint
2023 annual results snapshot PAX diversifies the global footprint LACIS EMEA (HK$ 2,328 M) (HK$ 2,244 M) • Robust sales in Argentina, Chile & Mexico • Notable sales in Italy, the UK, Turkey, Spain & • Deployment slowdown in Brazil due to the 35% 33% France drop of 2023 market demand 2023 FY • More o
Slide 16: SaaS ecosystem reached a noteworthy milestone
2023 annual results snapshot PAX SaaS ecosystem reached a noteworthy milestone SaaS solutions revenue MAXSTORE’s connected devices 2023 FY YoY 23% As of 31 Dec 2023 HK$ 106 million 11+ million PAX Global 2023 annual results 16
Slide 17: Investor relations contacts
Investor relations contacts Calvin Pei – Vice President Corporate Finance & Strategy Mina Pang – Senior Investor Relations Manager Email: ir@pax.com.hk Tel: +852 2500 8510 PAX Global 2023 annual results 17
Slide 18: PAX obtains recognition from the global industry standards body
Appendix – PCI SSC recognition PAX obtains recognition from the global industry standards body PAX is the first Asian payment terminal provider to join the Payment Card Industry Security Standards Council (PCI SSC) Advisory Board* As a strategic partner, PAX brings regional & technological insights
Slide 19: PAX is included in the key market indexes
Appendix – market indexes PAX is included in the key market indexes* MSCI Hong Kong Small Cap Index Hang Seng Sub-indexes Market-Cap Composite Industry Index - Composite MidCap & Composite SmallCap weighted Information Technology SmallCap Index Index indexes Sector Information Technology SCHK Inform
Slide 20: Consolidated income statement
Appendix – financial summary Consolidated income statement For the year ended 31 December 2023 2022 HK#039;000 HK#039;000 Revenue 6,709,324 8,062,702 Cost of sales (3,715,323) (4,756,561) Gross profit 2,994,001 3,306,141 Other income 95,126 64,915 Other gains/(loss), net 12,620 (2,178) Selling expenses (6
Slide 21: Consolidated balance sheet
Appendix – financial summary Consolidated balance sheet As at 31 December 2023 2022 HK#039;000 HK#039;000 Total non-current assets 1,522,108 1,317,315 Property, plant and equipment 950,811 769,372 Right-of-use assets 239,374 230,567 Others 331,923 317,376 Total current assets 7,553,221 8,173,014 Cash and
Slide 22: Working capital summary
Appendix – financial summary Working capital summary At 31 Dec 2023 At 31 Dec 2022 HK$ ‘000 HK$ ‘000 Inventories 1,826,091 2,527,293 Trade and bills receivables 2,679,525 2,350,368 Trade payables 888,621 1,699,530 Cash and cash equivalents* 2,863,597 3,160,238 Turnover days Inventories 236 194 Trade