Kumpulan Perangsang Selangor Bhd. · MYX:KPS
Kumpulan Perangsang Selangor Bhd — Shareholder Meeting (June 2020)
19 slides from Kumpulan Perangsang Selangor Bhd's shareholder meeting presentation, Jun 30, 2020
Slide 1: Ahmad Fariz Hassan, Managing Director / Group CEO
Ahmad Fariz Hassan Managing Director / Group CEO
Slide 2: 2019 Report Card
01 2019 Report Card Kumpulan Perangsang Selangor Berhad 43rd Annual General Meeting 2
Slide 3: What We Had Promised at the 42nd AGM
What We Had Promised at the 42nd AGM Value Creation through Organic Growth, New Acquisitions & Better Earnings Visibility in 2019 Organic Business Catalysts New Growth Driver Better Earnings Visibility What We Did • Manufacturing Led Growth & • Seized New Investment • Wider Earnings Base Value Creat
Slide 4: Financial Highlights
02 Financial Highlights Kumpulan Perangsang Selangor Berhad 43rd Annual General Meeting 4
Slide 5: Rather Challenging Operating Environment
01. Rather Challenging Operating Environment But Benefitted from Trade Diversion Moderating Growth US-China Trade Tension Trade Diversion How It Impacted or Benefited KPS • Buffered by Geographical • Slower Inventory Movement • New Demand from the and Sector Diversification E&E and Consumer Products
Slide 6: Manufacturing Contributed 79% to Group Revenue in 1Q20
03. Manufacturing Contributed 79% to Group Revenue in 1Q20 All Other Divisions but Infrastructure Steadied Momentum 2018 2019 1Q19 1Q20 2019 Revenue Breakdown by Sector SECTOR (RM m) (RM m) (RM m) (RM m) Infrastructure Property Investment Licensing 6% 1% 4% Manufacturing 357.5 650.9 105.6 185.1 Trad
Slide 7: Better Earnings Visibility
04. Better Earnings Visibility Profit Attributable to the Owner of the Parent Continued to Improve Revenue Operating Profit 49% FY 2019 FY 2019 ▪ Increased manufacturing contribution to 48% ▪ Full 12-months’ results from CPI & KKMW 866.8 75% in 2019 from 61% in 2018 (2018 : CPI, 9 months & KKMW, 6 m
Slide 8: Share Price Performance
03 Share Price Performance Kumpulan Perangsang Selangor Berhad 43rd Annual General Meeting 8
Slide 9: Share Price Performance Reflected Earnings Normalisation & Sentiment
Share Price Performance Reflected Earnings Normalisation & Sentiment Has Rebounded Since March 2020 KPS RM1.60 – RM0.70 KLCI (RM) KPS VS. KLCI 1.800 2000 Earnings Normalisation Post SPLASH Disposal 1.600 1800 1.400 RM0.70 – RM0.50 1.200 1600 1.000 Perceived Intrinsic Value 0.800 1400 12XPE – 14XPE 0
Slide 10: Sustainability
04 Sustainability Kumpulan Perangsang Selangor Berhad 43rd Annual General Meeting 10
Slide 11: Commitment to Sustainability & CSR
01. Commitment to Sustainability & CSR Continuously Engaging the Communities, Promoting Inclusive Growth Economic Environment Social Why We Did It • Economic Value Creation • Energy and Resource • KPS’ Relationships with & Distribution Consumption Stakeholders & Waste Management Kumpulan Perangsang
Slide 12: Awards & Recognition
02. Awards & Recognition Another Testament for the Group’s Excellent Role of Change Agent CSR Malaysia 2019 Organised by Company of the Year CSR Malaysia Silver Award: Silver Award: Asia Responsible 11 July 2019 Publications Employer of Choice Employer of Choice Entrepreneurship (Private Sector) 201
Slide 13: Outlook Amid COVID-19
05 Outlook Amid COVID-19 Kumpulan Perangsang Selangor Berhad 43rd Annual General Meeting 13
Slide 14: Global Supply Chain & Demand Disrupted
01. Global Supply Chain & Demand Disrupted Expected to Impact KPS’ End Customers Globally EU Manufacturing PMI CN Manufacturing PMI Pre-COVID Post 3.0% -3.0% 2.1% -5.9% 1.1% -7.1% US Manufacturing PMI MY Manufacturing PMI 5.8% 1.2% 5/20 PMI: 39.8 4/20 PMI: 36.1 4Q19 GDP: 3.6% 1Q20 GDP: 0.7% Sources:
Slide 15: Impact to the Group Business
02. Impact to the Group Business 2020 Corporate Goals Expected to be Challenged POTENTIAL IMPACT ON GROUP Lower Income to the Group Disruption of Global Supply Chain & Reduced demand for goods and services due to Demand restrictions on mobility Affected Toyoplas, CPI, CBB, KKMW & KKLC Challenged Ear
Slide 16: Our Risk Mitigation Plan
03. Our Risk Mitigation Plan Priority Areas to Weather Impact Ensure Business Continuity & Resilience, 1 2 First at the Operating Companies Management Initiatives at Manufacturing Subsidiaries: • Toyoplas • CPI • CBB Put People Safety First • KKMW • Steady the Ground • Transition People into New Way
Slide 17: The Show Must Go On
06 The Show Must Go On Kumpulan Perangsang Selangor Berhad 43rd Annual General Meeting 17
Slide 18: Driving Business Catalysts
Driving Business Catalysts 2020 CAPEX Prioritised at RM40 million to Continue Supporting Value Creation MANUFACTURING OTHERS TOYOPLAS CPI CENTURY BOND KING KOIL AQUA-FLO SMARTPIPE ▪ Secure new ▪ Explore new sub- ▪ Diversify the carton ▪ Strengthen ▪ Improve market ▪ Engage projects from industries a
Slide 19: Thank You
Thank You Kumpulan Perangsang Selangor Berhad 43rd Annual General Meeting 19
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