Tung Ho Steel Enterprise Corp. · TWSE:2006

Tung Ho Steel Enterprise — H1 2024 Earnings Presentation

24 slides from Tung Ho Steel Enterprise's earnings presentation, Sep 11, 2024

  1. Slide 1: 2024 Investor Conference

    Ticker Symbol ：2006 2024 Investor Conference Sep 11,2024

  2. Slide 2: Disclosure

    Disclosure • The information contained in this presentation and its accompanying announcements, including its business outlook, financial position and business forecasts, is based on internal information and external economic developments as a whole. • The Company’s actual results of operations, fin

  3. Slide 3: Agenda

    Agenda 1. Corporate Profile 2. Financial Performance 3. Key Messages 4. Q&A

  4. Slide 4: Corporate Profile

    Corporate Profile • Date of incorporation ： May 30, 1962 • Date of IPO ：July 13,1988 • Issued common stock ： 730,214 thousand shares • Number of employees： 2,120 • Head Office：6F., No.9, Sec. 1, Chang-an E. Rd., Taipei City, Taiwan • Corporate culture ：Self-discipline. Love of knowledge. Optimism.

  5. Slide 5: Facilities and Products

    Facilities and Products Annual Capacity/ Annual Capacity/ million tons million tons Taoyuan Scrap Steel Rolling(1) 0.75 Works Pig Iron Steel Making Billets 1.4 Re-Bar Steel Rolling(2) 0.75 Bloom Miaoli Scrap Steel Making Beam Blank 1.25 Steel Rolling Section 0.8 Works Pig Iron Slab Kaohsiung Steel R

  6. Slide 6: Agenda

    Agenda 1. Corporate Profile 2. Financial Performance 3. Key Messages 4. Q&A

  7. Slide 7: Consolidated Statements of Comprehensive Income

    Consolidated Statements of Comprehensive Income For the six months ended June. 30 2024 2023 % (Expressed in Millions of New Taiwan Dollars) Operating revenue,net 30,281.01 29,073.04 104.15% Operating costs (26,039.90) (25,020.35) 104.07% Gross profit,net 4,241.11 4,052.69 104.65% Operating expenses,

  8. Slide 8: Consolidated Balance Sheets

    Consolidated Balance Sheets 2024.06.30 2023.12.31 2023.06.30 (Expressed in Millions of New Taiwan Dollars) AMT % AMT % AMT % Current assets 31,426.10 57% 32,267.66 57% 31,005.94 56% Cash and Current financial assets 1,908.68 3% 1,877.29 3% 2,018.23 4% Receivable,net 8,325.86 15% 9,059.42 16% 8,719.1

  9. Slide 9: Consolidated Statements of Cash Flows

    Consolidated Statements of Cash Flows For the six months ended June. 30 (Expressed in Millions of New Taiwan Dollars) 2024 2023 Cash at the beginning of period 1,732.67 2,126.51 Cash flows from operating activities 3,162.52 1,726.07 Cash flows from investing activities (405.44) (249.62) Cash flows f

  10. Slide 10: Historical Operating Results

    (NT$Millions) Historical Operating Results Operating revenue Gross profit 70,000 10,000 9,474 58,795 59,217 60,962 8,648 9,000 60,000 8,000 7,450 50,000 44,864 7,000 6,621 42,866 40,000 6,000 30,281 5,000 4,132 4,241 30,000 4,000 20,000 3,000 2,000 10,000 1,000 0 0 2019 2020 2021 2022 2023 2024/1~6

  11. Slide 11: Historical Dividend

    Historical Dividend (NT$) 7.00 6.40 6.48 5.95 6.00 5.47 5.00 4.2 4.00 3.52 3.50 3.09 3.00 2.00 1.50 1.00 0 0.00 2020 2021 2022 2023 2024/1~6 ■Earnings per share ■ Dividend per share

  12. Slide 12: Agenda

    Agenda 1. Corporate Profile 2. Financial Performance 3. Key Messages 4. Q&A 12

  13. Slide 13: Key Messages

    Key Messages 1. In 2023, Daye Works’ rolling mill production 2. THSVC rolling mill put into production 3. Domestic H-beam demand and production 4. Corporate Governance Performance 13

  14. Slide 14: Tung Ho Steel's annual rebar production

    Tung Ho Steel’ annual rebar production 10K metric tons 147.11 116.02 105.83 108.75 104.73 91.57 92.66 93.89 85.00 88.33 70.85 66.85 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1-8

  15. Slide 15: Improvement of Taoyuan Works' capabilities and efficiency

    Improvement of Taoyuan Works’ capabilities and efficiency Floor area of building permit(Million m2) 45.8 43.4 41.5 39.8 38.6 37.4 35.6 34.0 32.6 29.9 26.2 22.4 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024/1~7 5.79 6.06 5.65 4.77 4.71 5.23 5.49 5.96 6.06 6.22 6.56 Taiwan Annual Steel D

  16. Slide 16: Taiwan Steel & Iron Industries Association data

    ABM LERA RAS TAIWAN STEEL & IRON INDUSTRIES ASSOCIATION ERP ORSAY REA Bat FRR Sat 2023 £12 2022 2023 Bil: aM Sa BI 28 #08 Hos RAARS BRE (%) RHRAS SRE Ft Ewa) Bit AFR Bit zFRB BG at HF IRALE (%) #@ |He 361,942 338,484 28,528 21,107 35,672 28,924 354,798 330,667 102.36 93.20 8 lsaas 6,268,002 | 6,577,

  17. Slide 17: THSVC new rolling mill put into production

    THSVC new rolling mill put into production Annual Demand of long steel products in Vietnam domestic market 10K metric tons 1,011 969 922 900 917 863 810 751 614 565 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1-7 2015~2020 Annual demand for construction steel-Members 2021~2023 Annual demand fo

  18. Slide 18: THSVC new rolling mill put into production

    THSVC new rolling mill put into production THSVC、mt 300,000 263,263 254,197 248,776 250,000 244,959 237,794 230,610 209,619 200,060 200,000 138,864 143,832 150,000 134,273 135,908 100,000 50,000 - 2019 2020 2021 2022 2023 2024 Production Sales 1-8 • 2021/5 Highest Production 45,161mt • 2020/12 Highe

  19. Slide 19: Domestic H-beam demand and production

    Domestic H-beam demand and production TSIIA、000mt 1,206 1,065 1,192 1,036 984 1,062 921 992 936 953 942 905 906 888 879 922 876 908 925 844 804 781 513 453 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 1-6 Demand Production 19

  20. Slide 20: Taiwan Steel & Iron Industries Association data

    ABM LERA RAS TAIWAN STEEL & IRON INDUSTRIES ASSOCIATION ESP EMERY RA AN SR SRR at 2023 12 A Bi: a 2022 2023 AP) 288 iO Hose RHARS ERS (%) RHARS EAM Rit HSM Rat EAM Rat EAM Rat Rat FEMALE (%) Ae | mei 159,106 154,137 6 8 0 16 159,112 154,129 100.01 96.87 CET) 921,207 941,638 52,274 93,508 85,430 43,1

  21. Slide 21: Corporate Governance Performance

    Corporate Governance Performance • First Domestic Steel Manufacturer Obtaining EPD for All Steel Products • Tung Ho Steel is a member of the World Steel Association's Climate Action program • Publishing voluntary "Task Force on Climate-related Financial Disclosures reports" for four consecutive year

  22. Slide 22: Corporate Governance Performance

    Corporate Governance Performance • Ranked in the 5% among the listed companies in the 8th TWSE Corporate Governance Evaluation. • Being continuously included as a constituent stock of the " TWSE Corporate Governance 100 Index" for five consecutive years. • The 2023 CDP survey was awarded the "Leader

  23. Slide 23: Corporate Governance Performance

    Corporate Governance Performance • Our company's sustainability report has adopted the Sustainable Accounting Standards Board (SASB) indicators for the steel manufacturing industry. • Sustainable Fitch Assigns Tung Ho Steel Enterprise Corporation an ESG Entity Rating of ‘2’. 23

  24. Slide 24: www.tunghosteel.com

    4. BR iD ai 221 oe FAS Tr A TUNG HO STEEL ENTERPRISE CORP. www.tunghosteel.com

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