Asia Polymer Corporation · TWSE:1308
Asia Polymer — Legal Person Conference 2021
30 slides from Asia Polymer's conference presentation, May 18, 2021
Slide 1: Asia Polymer Corporation Legal Person Conference
Asia Polymer Corporation (No.：1308) Legal Person Conference 2021.5.18 1/30
Slide 2: Disclaimer
Disclaimer This presentation includes the Company’s current information and any developments or adjustments thereof will be published according to laws, regulations or rulings. The Company is not obligated to update or revise this presentation. The information in this presentation is not for investm
Slide 3: Presentation Outline
Presentation Outline General Status of APC Business Review and Outlook Finance Information Q&A 3/30
Slide 4: General Status of APC
General Status of APC Reported By: Kevin Huang Manager of Sales Dept. 4/30
Slide 5: Company key facts
Established Date : Jan. 25, 1977 Capital NT $5,820M No. of Employees 230 (2021.4.22) Individual ：NT $5,510M Revenue (2020) Consolidated：NT $5,700M 5/30
Slide 6: Production facility, capacity and main products
Production Facility Annual Capacity Main Products • 4 sets of High- • Total at 150KMT • Low Density Polyethylene Resin Pressure autoclave (Lamination/Injection/ production lines Film Grades) • Ethylene-Vinyl Acetate Copolymer Resin(High-Elastic Foaming/Extrusion Coating/PV/W&C Grades) 6/30
Slide 7: Business Review and Outlook
Business Review and Outlook Reported By: Kevin Huang Manager of Sales Dept. 7/30
Slide 8: Crude Oil / Ethylene Monomer
Crude Oil / Ethylene Monomer •The 2020 crude oil price and COVID-19 pandemic significantly effected the ethylene price. The strong demand of downstream has caused spot ethylene price upward during the second half of 2020. 8/30
Slide 9: PE Market Review
PE Market Review LDPE-GP-CFR FEA LDPE Price Trend Ethylene NEA 1700 1500 1300 USD/MT 1100 900 700 500 300 Source: Platts 9/30
Slide 10: EVA Market Review
EVA Market Review EVA 14%~20% CFR CMP EVA Price Trend EVA 22%~30% CFR NEA Ethylene NEA 3000 2700 2400 2100 1800 USD/MT 1500 1200 900 600 300 Source: ICIS, Platts 10/30
Slide 11: Business Review of 2020
Business Review of 2020 * LDPE/EVA Sales Volume Comparison Sales Volume Increase 2019 2020 (KMT) (Decrease) LDPE 43 45 2 EVA 101 88 (13) Total 144 133 (11) 11/30
Slide 12: Sales volume in recent five years
Sales volume in recent five years 150,000 53,780 44,837 100,000 Sales Volume (MT) 72,083 100,647 88,460 50,000 79,835 78,794 56,512 43,293 44,885 0 2016 2017 2018 2019 2020 2016 2017 2018 2019 2020 LDPE 79,835 78,794 56,512 43,293 44,885 EVA 44,837 53,780 72,083 100,647 88,460 TOTAL 124,672 132,574
Slide 13: 2020~2021 Q1 Sales Volume Comparison
2020~2021 Q1 Sales Volume Comparison 40,000 30,000 Sales Volume(MT) 21,934 23,087 23,817 20,000 19,623 21,311 10,000 14,395 9,460 10,414 10,617 7,928 0 1Q2020 2Q2020 3Q2020 4Q2020 1Q2021 1Q2020 2Q2020 3Q2020 4Q2020 1Q2021 LDPE 9,460 14,395 10,414 10,617 7,928 EVA 19,623 21,934 23,087 23,817 21,311 T
Slide 14: Business Review of 2020─LDPE
Business Review of 2020─LDPE The COVID-19 outbreak increased the demands of non woven disposable coveralls and food packaging materials. Considering the weak EVA demand, we switched to produce more LDPE during March ~ May of 2020. In Q4 of 2020 ,the pandemic of COVID-19 caused high ocean-freight
Slide 15: Business Review of 2020 ─EVA
Business Review of 2020 ─EVA Despite the COVID-19 outbreak in Q1 and sluggish EVA demand in export market, the EVA market price was still sustained in Q1. It started to drop sharply in April, down to the bottom and remained steady in June, rebounded slightly during July to September and then rose
Slide 16: Business Review of 2020 ─EVA
Business Review of 2020 ─EVA The PV encapsulant makers in China started to use local EVA since 2019 Q4 and the situation was more extensive in 2020 Q4 due to the shortage of solar grade EVA, that intensified the competition in solar EVA market. The market price of EVA lamination grade was rather
Slide 17: Sales volume of Lami-grade EVA
Sales volume of Lami-grade EVA (MT/yr) 30000 20000 EVA Lami grad 10000 0 2015 2016 2017 2018 2019 2020 17/30
Slide 18: Ratio of LDPE Dom./Exp. Sales
Ratio of LDPE Dom./Exp. Sales 2019 2020 Exp. Exp. 21% 24.5% Dom. Dom. 75.5% 79% Dom.: 33.9MT, Exp.: 9.4KMT Dom.: 33.9KMT, Exp.:11KMT 18/30
Slide 19: Ratio of EVA Dom./Exp. Sales
Ratio of EVA Dom./Exp. Sales 2019 2020 Dom. Dom. 6% 6% Exp. Exp. 94% 94% Exp.: 94.6MT; Dom.: 6KMT Exp.: 83.1KMT; Dom.:5.3KMT 19/30
Slide 20: LDPE Export Sales by Area
LDPE Export Sales by Area 2019 2020 SA 0.4% Japan0.0% Others SEA SA Japan Others 1.6% SEA10.6% 2.4% 10.7% 0.7% 0% China/HK 86.5% China/HK 87% China/HK: 8.1KMT; SEA: 1.0KMT China/HK: 9.6KMT; SEA:1.3KMT 20/30
Slide 21: EVA Export Sales by Area
EVA Export Sales by Area 2019 2020 SA Japan 0.1% Others Japan SA Others 1.4% 0.7% 0.1% 1.7% 2.5% SEA 19.4% SEA 15.4% China/HK China/HK 78.4% 80.3% China/HK: 76.6KMT, SEA: 19.0KMT China/HK: 66.7KMT; SEA:12.8KMT 21/30
Slide 22: Business Outlook of 2021
Business Outlook of 2021 Overview Global economy gains rock-bottom recovery underpinned from the implementation of loose monetary policy, it may create favorable support of petrochemical demand. However, we should pay close attention to the third wave of COVID-19 pandemic would lead to another res
Slide 23: Business Outlook of 2021
Business Outlook of 2021 Sales of LDPE/EVA： Uncertainty of shipping schedule for deep-sea cargoes, tight PE supply in North America caused by abnormal weather event, and Middle East cargoes mainly sold to Europe gave rise to PE supply shortage in Asia, LDPE market price rose sharply after Chinese
Slide 24: Shareholders Developments: Gulei Petrochemical Project
Gulei Petrochemical Project Shareholders • Taiwan and China each holds 50% • Total investment (Taiwan & China)：30.39 Billion RMB . Sales and production of Ethylene, Propylene, Butadiene, Ethylene Vinyl Acetate copolymers (EVA), Ethylene Oxide Items (EO), Ethylene Glycol (EG), etc. • 2016/11 Fujian G
Slide 25: Finance information
Finance information Speaker : Nicolás Chen Manager 25/30
Slide 26: Consolidated Statements of Income
Consolidated Statements of Income (In millions of NTD, except per share data) 2021Q1 2020Q1 QoQ% 2020 2019 YoY% 2018 Sales 1,853 1,314 41% 5,704 6,791 -16% 6,375 Cost of goods sold 1,210 1,078 12% 4,574 5,756 -21% 6,091 Gross profit 643 236 172% 1,129 1,035 9% 284 gross profit ratio 35% 18% 20% 15%
Slide 27: Financial ratio analysis
Financial ratio analysis 2021Q1 2020Q1 2020 2019 2018 Operating income margin(%) 30.9 13.8 16.2 11.8 1.1 Net income margin(%) 30.0 11.1 19.3 12.1 4.5 Debt ratio(%) 26 38 28 40 38 Current ratio(%) 158 167 200 200 177 Quick ratio(%) 130 138 171 179 142 Accounts receivable turnover days 38 47 48 44 43
Slide 28: EPS vs DPS
EPS vs DPS Seem ee 2.00 1.80 1.60 1.40 1.20 1.00 0.80 0.60 0.40 0.20 0.00 mms Cash dividend per share mmm Stock dividend per share Earning per share 1.90 1.48 2019 2020 28/30
Slide 29: Seem ee
PC Seem ee 29/30
Slide 30: Thanks for coming
Thanks for coming and kindly appreciate your support. Company Website：http://www.apc.com.tw 30/30