Hua Eng Wire & Cable Co., Ltd. · TWSE:1608
Hua Eng Wire & Cable — Q3 2024 Earnings Presentation
17 slides from Hua Eng Wire & Cable's earnings presentation, Nov 22, 2024
Slide 1: Hua Eng Wire & Cable Q3 Investor Conference
HUA ENG WIRE & CABLE CO., LTD Q3 Investor Conference November 22, 2024
Slide 2: Disclaimer
Disclaimer ◼ The presentation of information in this briefing is based on the Company's assumption of future operations that are forward-looking and is subject to risks and uncertainties and the results of actual operations may differ materially from those of the above-mentioned forward-looking stat
Slide 3: Company Profile
Company Profile ◼ Hua Eng has been established since the foundation was laid on December 8, 1956, until now. Not only have we grown together with Taiwan for more than a decade, during this period, it also encountered many natural disasters and turbulent political and economic environments at home an
Slide 4: Agenda
Agenda ◼ 2024 Q3 Consolidated Income Statement P5~6 ◼ Copper Price Trend P7 ◼ Sales Market P8~17 4
Slide 5: Consolidated Statements of Comprehensive Income - YoY: 9 Months
Consolidated Statements of Comprehensive Income - YoY: 9 Months Unit： NT$'000 2024 2023 Item Q1~Q3 % Q1~Q3 % Change % Operating revenues 8,654,503 100 7,187,308 100 20 Gross profit 728,851 8 505,690 7 44 Operating income 563,086 6 363,964 5 55 Non-operating income & expenses 311,106 4 391,565 5 (21)
Slide 6: Reportable segment profit
Reportable segment profit Copper wire Income by segment Wire & cable Copper brass (unit：NT$Thousands) Other 533,408 600,000 500,000 400,000 300,000 122,475 116,023 200,000 5,913 100,000 0 Q1~Q3 6
Slide 7: 2022~2024 Sep. LME copper monthly average price and annual average price
2022~2024 SEP. LME copper monthly average price and annual average price curve chart US/T 10500 2022 10000 9500 2023 9000 8500 8000 2024 7500 7000 6500 6000 Jan. Feb. Mar. Apr. May. Jun. Jul. Aug. Sep. Oct. Nov. Dec. AVE. 7
Slide 8: Business Market: Copper Wire
Business Market ◼ Copper Wire Main product 2024 Jan.~Sep. 2023 Jan.~Sep. categories Sales Profit Sales Profit Copper Wire 2,218,579 100,657 1,430,977 54,025 Domestic and Export Sales Ratio Copper Wire 39% 46% 61% 54% 8.0mm above 8.0mm below Domestic Export 8
Slide 9: Sales Market: Copper Rod
Sales Market ◼ Copper Rod LME copper price: The Federal Reserve finally cut interest rates by 0.5 percentage in September, starting a cycle of interest rate cuts and diluting concerns about recession. Copper prices stopped falling and surged to LME: 9,800 US/T, relieving the pressure on inventory
Slide 10: Sales Market: Copper Rod
Sales Market ◼ Copper Rod Looking forward to the electric vehicle and green energy storage industries, the demand for copper is increasing day by day. Therefore, HUA ENG has upgraded its high- quality oxygen-free copper to meet domestic and foreign market demand. 10
Slide 11: Power Cable
◼ Power Cable Main product 2024 Jan.~Sep. 2023 Jan.~Sep. categories Sales Profit Sales Profit Rubber Cable 152,697 29,685 106,912 17,041 Low Voltage 1,662,530 183,594 1,344,114 157,434 Power Cable Medium Voltage 470,596 80,665 465,103 65,276 Power Cable Ultra High Voltage Power 809,645 139,776 1,004
Slide 12: Power Cable
◼ Power Cable Power Cable 5% 26% 15% 54% Rubber Low Vol. Medium Vol. High Vol. 12
Slide 13: Power Cable
◼Power Cable Rubber cable: Thermal coal-fired generating units continue to be constructed. The company received an order of 87 million NTD from Tongxiao Power Plant this quarter, and the current total orders are 130 million NTD. Low-voltage power cables: Manufacturing equipment is continuously u
Slide 14: Power Cable
◼Power Cable Medium-voltage cables: Preparations are made for machine electronic control updates, equipment production capacity is sufficient, and orders for private factory construction cases are strengthened. The total medium-voltage cable contract is NTD 1.197 billion, of which NTD 278 million
Slide 15: Power Cable
◼Power Cable Ultra-high voltage power cable: Accelerate the certification of the second supplier of 345kV high-voltage equipment; the supply of plastic raw materials is unstable and has a long lead time. New materials are being trialed and will be pre-ordered for next year's usage. Ultra-high vo
Slide 16: Communication Copper Cable and Fiber Optic Cable
◼ Communication Copper Cable and Fiber Optic Cable Main product 2024 Jan.~Sep. 2023 Jan.~Sep. categories Sales Profit Sales Profit Fiber Optic Cable 66,522 18,080 90,131 23,355 In recent years, global mobile, fixed-line broadband and AI artificial intelligence have become the competitiveness of the
Slide 17: Various Product Sales Combination
Various Product Sales Combination 2% 9% 35% Copper Rod Med. and high vol. 29% power cable 25% Low vol. power cable Comm. And fiber cable Turn key and others Product Sales Combination 17