Tingyi (Cayman Islands) Holding Corp. · HKEX:322

Tingyi (Cayman Islands) — Q3 2017 Earnings Presentation

25 slides from Tingyi (Cayman Islands)'s earnings presentation, Nov 13, 2017

  1. Slide 1: Presentation on 2017 Third Quarterly Results

    Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited takes no responsibility for the contents of this announcement, makes no representation as to its accuracy or completeness and expressly disclaims any liability whatsoever for any loss howsoever arising from or in re

  2. Slide 2: Tingyi Holding Corp. 2017 Third Quarterly Results

    单击此处编辑母版标题样式 Tingyi Holding Corp. 2017 Third Quarterly Results 1

  3. Slide 3: Disclaimer

    Disclaimer The information contained in this presentation is intended solely for your personal reference. Such information is subject to change without notice and no representation or warranty express or implied is made as to, and no reliance, should be placed on, the fairness, accuracy, completenes

  4. Slide 4: Contents

    Contents  3Q2017 review  Financial highlights  Market shares  Distribution network  Production summary ©2017 Tingyi(Cayman islands)Holding Corp., All right reserved. 3

  5. Slide 5: 3Q2017 – Sales & Profit

    3Q2017 – Sales & Profit 3Q2016 RMBmn 3Q2017 Change% (Restated) Revenue 19,687 18,147 8.49 Gross Profit 6,397 6,069 5.42 Gross Margin 32.50% 33.44% -0.94ppt. EBITDA 3,419 2,998 14.03 Profit 1,883 1,472 27.93 Profit attributable to owners of the Company 1,238 953 29.98 EPS (RMB cents) 22.09 17.00 5.09

  6. Slide 6: 1-9/2017 – Sales & Profit

    1-9/2017 – Sales & Profit 1-9/2016 RMBmn 1-9/2017 Change% (Restated) Revenue 48,254 45,562 5.91 Gross Profit 14,711 14,741 -0.20 Gross Margin 30.49% 32.35% -1.86ppt. EBITDA 6,762 6,181 9.40 Profit 2,763 2,064 33.87 Profit attributable to owners of the Company 1,938 1,406 37.91 EPS (RMB cents) 34.58

  7. Slide 7: Revenue by Products

    Revenue by Products 3Q2016 RMBmn 3Q2017 Change% (Restated) Instant Noodles 6,707 6,462 3.79 Beverages 12,569 11,310 11.13 Instant Food 231 232 -0.56 Others 180 143 26.21 Total 19,687 18,147 8.49 3Q2016 3Q2017 Instant Instant Food Others Food Others 1% 1% 1% 1% Noodles 36% Beverages Noodles Beverages

  8. Slide 8: Revenue by Products

    Revenue by Products 1-9/2016 RMBmn 1-9/2017 Change% (Restated) Instant Noodles 16,979 16,557 2.55 Beverages 30,105 27,885 7.96 Instant Food 629 643 -2.27 Others 541 477 13.69 Total 48,254 45,562 5.91 1- 9/ 2016 1- 9/ 2017 Instant Instant Others Food Food Others 2% 1% 1% 2% Noodles Noodles Beverages

  9. Slide 9: Instant Noodle Sales by Products

    Instant Noodle Sales by Products 3Q2016 RMBmn 3Q2017 Change% (Restated) Bowl 3,244 3,120 3.98 High end Packet 2,648 2,382 11.15 Mid end Packet 748 853 -12.27 Snack Noodle & Others 67 107 -37.29 Total 6,707 6,462 3.79 3Q2016 3Q2017 Mid end Snack Noodle Mid end Snack Noodle Packet & Others Packet & Ot

  10. Slide 10: Instant Noodle Sales by Products

    Instant Noodle Sales by Products 1-9/2016 RMBmn 1-9/2017 Change% (Restated) Bowl 8,449 8,051 4.94 High end Packet 6,404 5,293 21.00 Mid end Packet 1,924 2,902 -33.72 Snack Noodle & Others 202 311 -35.01 Total 16,979 16,557 2.55 1-9/2017 1-9/2016 Mid end Snack Noodle & Others Mid end Snack Noodle Pac

  11. Slide 11: Beverage Sales by Products

    Beverage Sales by Products 3Q2016 RMBmn 3Q2017 Change% (Restated) Tea 5,487 4,713 16.42 Water 2,179 2,251 -3.17 Juice 1,676 1,494 12.16 Carbonated drinks and Others 3,227 2,852 13.13 Total 12,569 11,310 11.13 3Q2016 3Q2017 CSD & Others CSD & Others 25% 26% Tea 42% Tea Juice 44% 13% Juice Water 13% 2

  12. Slide 12: Beverage Sales by Products

    Beverage Sales by Products 1-9/2016 RMBmn 1-9/2017 Change% (Restated) Tea 13,173 11,965 10.10 Water 5,250 5,038 4.21 Juice 4,148 3,674 12.91 Carbonated drinks and Others 7,534 7,208 4.51 Total 30,105 27,885 7.96 1-9/2016 1-9/2017 CSD & Others CSD & Others 26% 25% Tea Tea 43% 44% Juice Juice 13% 14%

  13. Slide 13: Gross Margin by Products

    Gross Margin by Products % 37.03 3Q2017 40 35.36 35.90 33.45 32.50 33.44 3Q2016 35 30.94 30.37 30 25 20 15 10 5 0 Instant Beverages Instant Overall Noodles Food Change (ppt.) 0.57 -1.91 -1.13 -0.94 ©2017 Tingyi(Cayman islands)Holding Corp., All right reserved. 12

  14. Slide 14: Gross Margin by Products

    Gross Margin by Products % 1-9/2017 40 35.96 34.53 34.85 1-9/2016 32.35 35 31.47 30.49 28.8728.86 30 25 20 15 10 5 0 Instant Beverages Instant Overall Noodles Food Change (ppt.) 0.01 -3.06 -1.11 -1.86 ©2017 Tingyi(Cayman islands)Holding Corp., All right reserved. 13

  15. Slide 15: EBIT by Products

    EBIT by Products 3Q2016 RMB ‘000 3Q2017 Change% (Restated) Instant Noodles 841,644 741,454 13.51 Beverages 1,692,157 1,288,016 31.38 Instant Food 5,403 -6,018 189.78 Others -22,574 26,095 -186.51 Group EBIT 2,516,630 2,049,547 22.79 ©2017 Tingyi(Cayman islands)Holding Corp., All right reserved. 14

  16. Slide 16: EBIT by Products

    EBIT by Products 1-9/2016 RMB ‘000 1-9/2017 Change% (Restated) Instant Noodles 1,484,628 1,200,022 23.72 Beverages 2,379,021 1,952,264 21.86 Instant Food -10,445 -48,583 78.50 Others 161,515 164,904 -2.06 Group EBIT 4,014,719 3,268,607 22.83 ©2017 Tingyi(Cayman islands)Holding Corp., All right reser

  17. Slide 17: Profit

    Profit 3Q2016 RMB ‘000 3Q2017 Change% (Restated) Instant Noodles 626,193 562,220 11.38 Beverages 1,331,166 971,569 37.01 Instant Food 3,763 -7,812 148.17 Others -77,796 -53,787 -44.64 Group Profit 1,883,326 1,472,190 27.93 ©2017 Tingyi(Cayman islands)Holding Corp., All right reserved. 16

  18. Slide 18: Profit

    Profit 1-9/2016 RMB ‘000 1-9/2017 Change% (Restated) Instant Noodles 1,158,473 960,798 20.57 Beverages 1,669,531 1,221,276 36.70 Instant Food -10,912 -49,837 78.10 Others -53,616 -67,965 21.11 Group Profit 2,763,476 2,064,272 33.87 ©2017 Tingyi(Cayman islands)Holding Corp., All right reserved. 17

  19. Slide 19: Financial Position

    Financial Position As at 31/12/2016 As at 30/09/2017 (Restated) *ROA (Annualized) 9.28% 4.86% *ROE (Annualized) 15.33% 6.31% Current Ratio 0.89 0.72 Gearing Ratio -0.18 0.32 A/R Revenue /Days 11.02 10.23 Finished Goods Revenue/Days 10.65 11.58 Cash and cash equivalents RMB 13.752 billion RMB 10.232

  20. Slide 20: Material Price

    Material Price RMB/Ton 4000 Flour 10000 Palm Oil 3,500 3500 8000 3000 6000 2500 6,090 2000 4000 PET Resin 8000 Sugar 14000 6,930 12000 7000 10000 6000 7,880 8000 5000 6000 4000 ©2017 Tingyi(Cayman islands)Holding Corp., All right reserved. 19

  21. Slide 21: Instant Noodle Market Share

    Instant Noodle Market Share-by Volume Instant Noodle Market Share-by Value % % 60.0 60.0 57.1 56.4 Tingyi Holding 56.4 55.9 55.2 Tingyi Holding 55.0 52.4 51.3 57.2 50.5 51.2 50.3 56.0 55.6 50.0 47.4 47.2 46.9 54.4 46.3 46.0 46.3 50.0 43.5 42.4 44.6 44.2 50.6 43.3 50.0 47.7 45.7 46.3 45.0 43.7 40.0 4

  22. Slide 22: RTD Tea Market Share

    RTD Tea Market Share-by Volume RTD Tea Market Share-by Value % 60.0 % 56.0 56.4 56.6 54.2 54.5 54.2 60.0 53.6 51.3 52.2 51.6 51.8 53.9 53.9 53.7 50.0 52.5 49.4 Tingyi Holding Tingyi Holding 50.7 47.8 49.7 50.0 46.8 47.0 45.7 46.0 43.4 48.9 43.3 44.4 44.7 48.5 45.8 41.5 40.0 39.7 40.0 Company A 41.0

  23. Slide 23: RTD Tea (no milk tea) Market Share

    RTD Tea （no milk tea） Market Share-by Volume RTD Tea （no milk tea）Market Share-by Value % % 70.0 Tingyi Holding 70.0 62.3 60.9 61.4 62.4 61.4 Tingyi Holding 60.8 60.4 59.3 60.0 58.0 58.4 56.9 60.0 55.2 55.6 56.5 56.3 55.7 61.4 60.1 55.9 56.1 56.5 59.4 53.8 54.8 53.3 52.5 55.8 56.1 50.9 49.5 50.0 50.

  24. Slide 24: Diluted Juice Drinks and Bottled Water Market Share by Volume

    Diluted Juice Drinks (below39% juice content) Bottle Water Market Share-by Volume Market Share-by Volume % % 40.0 30.0 25.9 35.0 33.8 Tingyi Holding Tingyi Holding 24.4 25.0 31.0 Company A 22.6 21.8 21.9 30.0 26.9 28.3 Company A 21.6 28.4 19.1 20.1 26.2 26.1 25.2 25.8 20.0 21.2 20.3 20.2 18.6 25.0 1

  25. Slide 25: Nation-Wide Distribution Network and Production Lines

    A）Nation-Wide Distribution Network As at 30/09/2017 As at 30/06/2017 As at 31/12/2016 Sales Office 1,376 1,439 598 Warehouse 76 76 69 Wholesaler 35,012 35,291 33,653 Direct Retailer 127,398 124,988 116,222 B） Production Lines Noodles 216 216 227 Beverage 455 481 476 Instant Food 16 16 16 ©2017 Tingy

Tingyi (Cayman Islands) Holding — Q3 2017 Earnings Presentation on 6ix