Solomon Systech (international) Ltd. · HKEX:2878
Solomon Systech (international) — FY2014 Earnings Presentation
20 slides from Solomon Systech (international)'s earnings presentation, Mar 26, 2015
Slide 1: SSIL 2014 Annual Results Announcement
SSIL 2014 Annual Results Announcement 26 Mar 2015 P. 1
Slide 2: Disclaimer
Disclaimer This presentation does not constitute an offer or solicitation to anyone in any jurisdiction in which such offer or solicitation is not authorized or to any person to whom it is unlawful to make such offer or solicitation or is unlawful without compliance with any registration, filing or
Slide 3: Agenda
Agenda Highlights Financial Review Business Review & Outlook SSIL 2014 Annual Results Announcement 26 Mar 2015 P. 3
Slide 4: Highlights
Highlights Financial Review Business Review & Outlook SSIL 2014 Annual Results Announcement 26 Mar 2015 P. 4
Slide 5: Highlights
Highlights Sales amounted to US$60.1 million Gross profit was US$20.8 million Gross margin was 34.6% Net loss was US$3.0 million Loss per share was 0.12 US cent (0.95 HK cent) Book-to-bill ratio for the year was 1.1 The Board resolved not to propose any final dividend for the year ende
Slide 6: Financial Review
Highlights Financial Review Business Review & Outlook SSIL 2014 Annual Results Announcement 26 Mar 2015 P. 6
Slide 7: Financial Review - Profit and Loss
Financial Review - Profit and Loss (US$ million) 2014 2013 Remarks ↓ Sales 60.1 55.2 9% Gross profit 20.8 21.0 ↓ 1% Gross margin 34.6% 38.1% ↓ 3.5pts Net profit/(loss) (3.0) 1.3 (HK cent) Earnings/(loss) per share (0.95) 0.42 Dividends per share Nil Nil Book-to-bill ratio 1.1 0.86 SSIL 2014 Annual R
Slide 8: Financial Review - Financial Remarks
Financial Review - Financial Remarks Key Factors Sales US$60.1m • Unit shipments: up 27% YOY (‘13: US$55.2m) • Blended ASP: down 14% YOY Gross US$20.8m • Gross margin: 34.6% (’13: 38.1%) Profit (’13: US$21.0m) Total US$27.4m • Product R&D costs: US$16.3m (’13: US$13.9m) Operating (‘13: US$25.1m) • S
Slide 9: Financial Review - Balance Sheet
Financial Review - Balance Sheet As at 31 Dec (US$ million) 2014 2013 YoY Total assets 130.1 129.0 Total borrowings 0.4 0.5 Shareholders’ funds 115.3 117.8 -2% Net cash 35.3 32.9 +7% (HK cents) Shareholders’ funds per share 36 37 Net cash per share 11 10 SSIL 2014 Annual Results Announcement 26 Mar
Slide 10: Financial Review - Net Cash Analysis 2014 vs 2013
Financial Review – Net Cash Analysis 2014 vs 2013 Net Cash @31 Dec: Change • US$35.3m (’14) vs US$32.9 (’13) +2.4m Major Cash Inflow US$ Major Cash Outflow US$ • Interest and Dividend +2.7m • Net cash Used in -6.0m Received Operating Activities • Disposal of Treasury +6.2m • Capital Expenditure -0.5
Slide 11: Business Review & Outlook
Highlights Financial Review Business Review & Outlook SSIL 2014 Annual Results Announcement 26 Mar 2015 P. 11
Slide 12: Business Review - Product Shipments
Business Review – Product Shipments Total unit shipments in 2014 ~ 115 million units ( 27% year-on-year) Solid year-on-year and quarter-to-quarter unit shipment increase 2014 Product Shipment (By Quarter) 40 100% 35 80% 30 60% 25 Million Units 40% 20 20% 15 0% 10 5 -20% 0 -40% Q1 Q2 Q3 Q4 2014 P
Slide 13: Business Review & Outlook - Advanced Display Review
Business Review & Outlook Advanced Review Display PMOLED display driver ICs • Scored design wins with global wearable health & fitness devices brands Wearable Bistable display driver ICs Health & Fitness • Apart from ESLs, extended applications of Devices AMEPD products to smart thermostats, hea
Slide 14: Business Review & Outlook - Advanced Display Outlook
Business Review & Outlook Outlook Advanced PMOLED display driver ICs Display • Continue to capitalize on strong growth momentum of wearables to further ramp up shipment • Develop new products for larger size, higher resolution & DPI, curved surface color displays Bistable display driver ICs • Le
Slide 15: Business Review & Outlook - Mobile Display
Business Review & Outlook Review Mobile IGZO TFT LCD display driver ICs Display • Started HD/FHD driver design for mobile applications In-cell Touch TFT LCD display driver ICs • Developed new product and scored design-wins for FWVGA displays Unit shipment reduced Change of product technology
Slide 16: Business Review & Outlook - Mobile System Review
Business Review & Outlook Mobile Review System Touch panel controller ICs • Out-Cell touch products enhanced with value- added features and scored design wins for smartphones and education tablets Smart Watches • New On-Cell and In-Cell touch products ready in Q4 for customer trial run High spee
Slide 17: Business Review & Outlook - Mobile System Outlook
Business Review & Outlook Outlook Mobile Touch panel controller ICs System • Boost up design-wins for In-Cell and On-Cell touch products targeting LCD module makers • Further penetrate Out-Cell market in China with multidrive technology • New product for larger-sized panels ready to boost business
Slide 18: Business Review & Outlook - Large Display
Business Review & Outlook Large Review Large TFT display driver ICs Display • 21.5” Full HD monitors and 18.5” HD monitors completed qualification and started mass 21.5” Monitor production Unit shipment surged • New products adopted by key product lines of 18.5” major customer Monitor Outlook
Slide 19: Summary
Summary Strong growth momentum: solid year-on-year and quarter-to- 2014 Summary quarter growth in shipments Focused on high growth, high volume smart device applications Strengthened technological capability and optimized new product introduction: In-Cell touch display driver ICs, touch panel
Slide 20: Thank You
Thank You Solomon Systech (International) Limited Stock code: 2878 www.solomon-systech.com
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