Slide 1: K Laser Technology Inc. 2024 Q3 & 9M Investor Conference
K Laser Technology Inc.(2461) 2024 Q3 & 9M Investor Conference 2024/11 1
Slide 2: K Laser at a glance
K Laser at a glance Product sales mix • Ticker: 2461 TT Hologram 84% • Founded in 1988 Optical Film & 16% Projector • 2024 9M Revenue: NT$4.15 bn (US$133 m) Hologram sales mix Holographic 43% • Market cap*: NT$3.8bn (US$122 m) paper Holographic film 26% • Employee number **: 1,105+ Hot stamping 24%
Slide 3: About K Laser
About K Laser ► We are the largest fully integrated holographic material supplier in the world, ranking No. 1 in Consumer Packaging and top 3 in Tobacco Security in China. The global market we target is over US$ 3 bn. ► With in-house design and origination capabilities, we are a total solution provi
Slide 4: 2024 Q3 and 9M Results
2024 Q3 and 9M Results 4
Slide 5: 2024 Q3 Highlight
2024 Q3 Highlight •Consolidated: Decreased 4.5% in 3Q24 versus 3Q23 to NT$1,372 mn Revenue •Core(note): Increased 9.3% in 3Q24 versus 3Q23 to NT$ 1,176mn Gross •Consolidated: Increased 1.9% in 3Q24 versus 3Q23 to 24.1% Margin •Core: Decreased 2.6% in 3Q24 versus 3Q23 to 26.0% Operating •Consolidated
Slide 6: 2024 9M Highlight
2024 9M Highlight •Consolidate: Decreased 1.2 % in 9M24 versus 9M23 to NT$ 4,150 mn Revenue •Core(note): Increased 8.1 % in 9M24 versus 9M23 to NT$ 3,480 mn Gross •Consolidated: Increased 0.8 % in 9M24 versus 9M23 to 22.8% Margin •Core: Decreased 2.5 % in 9M24 versus 9M23 to 26.1% Operating •Consoli
Slide 7: Hologram sales mix by customer industry
Hologram sales mix by customer industry Tobacco & Alcohol Consumer Other 23% 26% 26% 35% 35% 34% 26% 20% 20% 17% 20% 22% 51% 54% 54% 48% 45% 44% 2019 2020 2021 2022 2023 9M24 Note: Other includes anti-counterfeit product, decorations, materials…etc 7
Slide 8: 3Q24 Revenues
3Q24 Revenues •Consolidated: decreased 4.5 % in 3Q24 versus 3Q23 to NT$ 1,372 mn •Core: Increased 9.3 % in 3Q24 versus 3Q23 to NT$ 1,176 mn Consolidated Core -4.5% YoY +9.3% YoY 1,437 1,372 1176 1076 3Q23 3Q24 3Q23 3Q24 Revenue NT$ million Revenue NT$ million 8
Slide 9: 9M24 Revenues
9M24 Revenues •Consolidate: decreased 1.2 % in 9M24 versus 9M23 to NT$ 4,150 mn •Core(note): Increased 8.1 % in 9M24 versus 9M23 to NT$ 3,480 mn Consolidated Core -1.2% YoY +8.1% YoY 3,480 3,220 4,200 4,150 9M23 9M24 9M23 9M24 Revenue NT$ million Revenue NT$ million 9
Slide 10: 3Q24 Gross Margin
3Q24 Gross Margin •Consolidated: Increased 1.9 % in 3Q24 versus 3Q23 to 24.1% Core: decreased 2.6 % in 3Q24 versus 3Q23 to 26.0% Gross Margin Consolidated Core % of Consolidated % of Core 28.6% 26.0% 24.1% 22.2% 320 308 331 306 3Q23 3Q24 Gross Margin NT$ mn 10
Slide 11: 9M24 Gross Margin
9M24 Gross Margin •Consolidated: Increased 0.8 % in 9M24 versus 9M23 to 22.8% • Core: Decreased 2.5 % in 9M24 versus 9M23 to 26.1% Gross Margin Consolidated Core % as Consolidated % as Core 28.6% 26.1% 22.0% 22.8% 922 920 948 907 9M23 9M24 Gross Margin NT$ mn 11
Slide 12: 3Q24 Operating Expenses
3Q24 Operating Expenses •Consolidated: Increased 0.1% in 3Q24 versus 3Q23 to 21.1% •Core: Increased 0.8% in 3Q24 versus 3Q23 to 22.5% Consolidated Core Op. Exp. Op. Exp. % Op. Exp. Op. Exp. % 21.0% 21.1% 21.7% 22.5% 301 289 234 265 3Q23 3Q24 3Q23 3Q24 NT$ mn NT$ mn 12
Slide 13: 9M24 Operating Expenses
9M24 Operating Expenses •Consolidated: Increased 1.1% in 9M24 versus 9M23 to 21.9% • Core: Increased 0.6% in 9M24 versus 9M23 to 21.8% Consolidated Core Op. Exp. Op. Exp. % Op. Exp. Op. Exp. % 20.8% 21.9% 21.2% 21.8% 876 908 758 684 9M23 9M24 9M23 9M24 NT$ mn NT$ mn 13
Slide 14: 3Q24 Operating Income
3Q24 Operating Income •Consolidated: Increased 1.7% in 3Q24 versus 3Q23 to 3.0% •Core: decreased 3.4 % in 3Q24 versus 3Q23 to 3.5% Consolidated Core Ope. Inc. Ope. Inc. % Ope. Inc. Ope. Inc. % 6.9% 1.3% 3.0% 3.5% 41 74 18 41 3Q23 3Q24 3Q23 3Q24 NT$ mn NT$ mn 14
Slide 15: 9M24 Operating Income
9M24 Operating Income •Consolidated: decreased 0.2% in 9M24 versus 9M23 to 0.9% Core: decreased 3.0 % in 9M24 versus 9M23 to 4.3% Consolidated Core Ope. Inc. Ope. Inc. % Ope. Inc. Ope. Inc. % 7.3% 4.3% 1.1% 0.9% 236 149 46 39 9M23 9M24 9M23 9M24 NT$ mn NT$ mn 15
Slide 16: 3Q24 Net Income & EPS
3Q24 Net Income & EPS •Net Income of NT$37mn, a 12% decreased versus 3Q23. •EPS of NT$0.22, a NT$ 0.04 decreased versus 3Q23. Net Income EPS -12.0% YoY - $0.04 YoY 42 37 0.26 0.22 3Q23 3Q24 3Q23 3Q24 NT$ mn EPS NT$ 16
Slide 17: 9M24 Net Income & EPS
9M24 Net Income & EPS •Net Income of NT$ 299mn, a 131.3% Increased versus 9M23 •EPS of NT$1.79, a NT$ 0.96 Increased versus 9M23. Net Income EPS +131.3% YoY + $0.96 YoY 299 1.79 129 0.83 9M23 9M24 9M23 9M24 NT$ mn EPS NT$ 17
Slide 18: Q&A
Q&A 18
Slide 19: Appendix
Appendix 19
Slide 20: Certificate of Recyclability
Certificate of Recyclability Transfer paper product was qualified as recyclable product, And received certificate of recyclability issued by interseroh(Germany).
Slide 21: New Product Development & Awards
New Product Development & Awards • Successfully developed recycled material (rPET: recycled PET), which can be used in products like laminate film, transfer film or hot/cold foils. • Keep developing and rolling out thinner plastic films for our various products to help our customers reduce procureme
Slide 22: Income Statement - Consolidated
Income Statement - Consolidated NT$ Million 3Q24 3Q23 YoY (%) 9M24 9M23 YoY (%) Sales Revenue 1,372 1,437 (4.5) 4,155 4,200 (1.1) Gross Profit 331 320 3.5 948 922 2.8 Operating Expenses 289 301 (4.1) 908 876 3.8 Operating Profit 41 18 128.9 39 46 (15.4) Income before Tax 59 31 89.6 294 47 520.7 Net
Slide 23: Balance Sheet - Consolidated
Balance Sheet - Consolidated NT$ Million 2024.09 2023.09 YoY (%) 2024.06 QoQ (%) TOTAL ASSETS 7,331 7,917 (7.4) 7,167 2.3 Cash 1,135 1,549 (26.7) 1,261 (10.0) NR & AR 1,333 1,547 (13.9) 1,362 (2.2) Inventory 1,140 1,378 (17.3) 1,163 (2.0) Fixed Asset 1,760 1,648 6.8 1,535 14.7 TOTAL LIABILITIES 3,24
Slide 24: Income Statement - Core
Income Statement -Core NT$ Million 3Q24 3Q23 YoY (%) 9M24 9M23 YoY (%) Sales Revenue 1,176 1,076 9.3 3,480 3,220 8.1 Gross Profit 306 308 (0.9) 907 920 (1.4) Operating Expenses 265 234 13.1 758 684 10.8 Operating Profit 41 74 (44.7) 149 236 (36.9) Income before Tax 68 62 10.0 373 189 96.8 Net Income
Slide 25: Balance Sheet - Core
Balance Sheet - Core NT$ Million 2024.09 2023.09 YoY (%) 2024.06 QoQ (%) TOTAL ASSETS 7,225 6,975 3.6 7,054 2.4 Cash 1,126 1,395 (19.2) 1,243 (9.4) NR & AR 1,326 1,215 9.2 1,353 (2.0) Inventory 1,106 1,177 (6.1) 1,129 (2.1) Fixed Asset 1,715 1,173 46.2 1,489 15.2 TOTAL LIABILITIES 3,198 3,237 (1.2)
Slide 26: Dividend
Dividend 2017 2018 2019 2020 2021 2022 2023 2024H1 Net Income (NT$ mn) 155 66 -120 144 364 277 104 262 Cash Dividend (NT$ mn) 91 62 0 144 263 276 110 34 Dividend per Share (NT$) 0.56 0.41 0 0.96 1.74 1.8 0.66 0.2 Payout Ratio (%) 59% 94% 0% 100% 72% 99.6% 105.8% 12.8% Cash Yield (%)* 3.5% 2.8% 0.0%
Slide 27: Thank You
Thank You 27