Slide 1: GDEX Berhad 2Q22 Investor Presentation
GDEX BERHAD 2Q22 Investor Presentation 30 August 2022 IR Adviser
Slide 2: Financial Highlights
Building a regional tech-based delivery services ecosystem… cultural excellence at the core Growth Straetgy - M&A Startups - Strategic Investments - Partnerships - Building Ecocystem Financial Highlights 2
Slide 3: Group revenue and EBITDA performance
Implementing sales retention and market share expansion strategies in Malaysia, investing into operating efficiency… healthy outlook for Vietnam and Indonesia units Group Revenue RM (mil) +1.8% qoq • 2Q22 revenue -12.3% yoy 212.5 -12.3% yoy 185.4 • Competitive pricing and lower volume faced by Malay
Slide 4: Express delivery faced challenging Malaysia market in 1H22
Express delivery faced challenging Malaysia market in 1H22… helped by growth in Vietnam operations Express Delivery Revenue RM (mil) -13.3% yoy • 2Q22 express delivery revenue -13.3% yoy 193.1 • Competitive pricing environment in Malaysia 166.2 • Lower express delivery volume for e-commerce 96.7 83.
Slide 5: Logistics services continue to sustain revenue in 1H22
Logistics services continue to sustain revenue in 1H22… temporary volume weakness in Q2 Logistics Revenue RM (mil) -6.4% yoy • 2Q22 logistics revenue -6.4% yoy due to competitive environment in Malaysia 19.3 18.8 10.0 9.3 1H21 1H22 2Q21 2Q22 Segment Profit RM (mil) +22.7% yoy • 2Q22 segment profit i
Slide 6: Vietnam and Indonesia operations seeing revenue growth
Vietnam and Indonesia operations seeing revenue growth on recovering economies… Revenue by 1H21 1H22 2Q21 2Q22 Country 0.5% 0.4% 0.1% 0.3% RM (mil) 13.6% 17.4% 16.1% 18.4% 85.9% 82.2% 83.8% 81.3% Malaysia Vietnam Singapore Revenue by Country 1H21 1H22 YoY 2Q21 2Q22 YoY RM 'mil RM 'mil RM 'mil RM 'mi
Slide 7: Robust balance sheet with net cash position
Robust balance sheet with net cash position… well-positioned for organic and M&A growth strategies in the Asean region 41.2 40.2 30.5 449.7 303.3 479.2 279.7 496.4 267.7 496.3 274.2 496.4 255.5 18.9 16.1 FY18 FY19 FY20* 31.12.21 30.06.22 Shareholders' Equity Gross Borrowings Cash & Equivalents FY18
Slide 8: GDEX 2.0 A New Era of Growth
Building a regional tech-based delivery services ecosystem… cultural excellence at the core Growth Straetgy - M&A Startups - Strategic Investments - Partnerships - Building Ecocystem GDEX 2.0 A New Era of Growth 8
Slide 9: GDEX 2.0 strategy to transform Group into Southeast Asia's preferred logistics ecosystem
Converging forces and rapid technological disruption shaping businesses of the future.. GDEX 2.0 strategy to transform Group into Southeast Asia’s preferred logistics ecosystem GDEX 2.0 Last Mile Convergence Ecosystem • Transformation towards Infrastructure & Logistics Services Technology Services p
Slide 10: Creating GDEX 2.0 – Forward Strategy
Growth strategies include increased digital integration across Southeast Asia operations… Technology and digital solutions the way forward. 1 We invest in technology companies that complement our digital offerings and ecosystem. Expanding GDEX 2.0 ecosystem of converged 2 solutions and services that
Slide 11: Recent Developments
Building a regional tech-based delivery services ecosystem… cultural excellence at the core Growth Straetgy - M&A Startups - Strategic Investments - Partnerships - Building Ecocystem Recent Developments 11
Slide 12: Launching more solutions and services: GDEX COOL
Launching more solutions and services to meet wider range of business and consumer needs… • Launched GDEX COOL – Frozen & Chilled Delivery Service in May 2022 • Store-to-store and direct-to-home deliveries of fresh & climate sensitive foods • Tracking of delivery journey and status to ensure highest
Slide 13: Introduced microinsurance platform Insubee
Introduced microinsurance platform Insubee… offered under GDEX 2.0 insurance services pillar • Launched Insubee in June 2022, an online insurance platform offering bite-sized and customizable insurance for business needs • Collaborating with several major insurance companies • Targeting SME segment
Slide 14: Expanding range of one-stop solutions: advertising campaign
Expanding range of one-stop solutions… helping businesses grow their brand presence • Started GDEX Advertising Campaign in June 2022 • Partnership with brand owner for product advertising and marketing campaign • Increases brand trust and presence of customers as well as GDEX NEW SOLUTIONS 14
Slide 15: Increasing collaboration with strategic partners with ASEAN focus
Increasing collaboration with strategic partners with ASEAN focus… combined experience towards building a more resilient regional ecosystem 2022 Corporate Visits Visit to Yamato Singapore Visit to GDEX Visit to Singpost warehouse and fulfillment centre warehouse by Yamato Singapore fulfillment centr
Slide 16: Investor Relations Contacts
Investor Relations Contacts: Toh Kar Inn, Advisor, Corporate Strategy corpcomm@gdexpress.com Tay Tze Yi, IR Consultant tayty@aquilas.com.my IR Adviser
Slide 17: Appendix
Building a regional tech-based delivery services ecosystem… cultural excellence at the core Growth Straetgy - M&A Startups - Strategic Investments - Partnerships - Building Ecocystem APPENDIX 17
Slide 18: Corporate Profile
Leading home-grown express delivery services provider with growing Southeast Asia presence… Established in 1997, GDEX Berhad is a leading domestic and international express delivery services provider in Malaysia. GDEX also has increasing presence in Southeast Asia, with operations in Singapore, Indo
Slide 19: Regional Presence
GDEX gaining prominence as trusted regional logistics and express services provider… aiming to further expand Group’s Southeast Asian network Malaysia Singapore Vietnam (50% stake in Netco) Extensive network of 1,300 locations Maintain a presence to service our Prominent brand name trusted by leadin
Slide 20: Digitally-Integrated Model
Technology infrastructure the backbone of growth and efficiency… robust platforms enable rapid rollout and scalability of new products and solutions DIGITAL PLATFORMS CONVENIENCE AT FINGERTIPS myGDEX Retail Cash Portal myGDEX Prime Account Portal Mobile Apps for Customers (for both iOS and Android)
Slide 21: Growth History of GDEX 1.0
Proven track record of rapid organic growth and integration of strategic acquisitions… Over 10 years of continuous revenue growth Key milestones/strategic acquisitions 2020 10-YR CAGR: 16.6% 2019 Revenue Trend 430.5 RM (mil) 2016 364.0 2011 Entered B2C market & • Acquired • New developed tech infra
Slide 22: Creating GDEX 2.0 – Core Competencies
Strong core competencies gained over the years to become leader in last-mile deliveries with technology focus… GDEX skillset transferable to converging sectors in era of digital disruption Process Engineering Proven capabilities to streamline operating processes for scale, growth and profitability E