Slide 1: Serial System Ltd FY2021 and 2H2021 Results Presentation
SERIAL SYSTEM LTD FY2021 AND 2H2021 RESULTS PRESENTATION Wednesday, 23 February 2022
Slide 2: Agenda
AGENDA By moving forward and FINANCIAL thinking forward, RESULTS Serial System helps its partners to be more competitive in the OUTLOOK marketplace, today and in the future
Slide 3: Financial Results
FINANCIAL | RESULTS : i
Slide 4: Snapshot Of FY2021 And 2H2021 Performance
Snapshot Of FY2021 And 2H2021 Performance US$’000 2H2021 2H2020 Change (%) FY2021 FY2020 Change (%) Sales 457,605 417,113 10 895,893 731,400 22 Gross Profit 38,042 26,616 43 72,973 45,896 59 Gross Profit Margin (%) 8.3 6.4 1.9 ppt 8.1 6.3 1.8 ppt Net Profit After Tax 5,302 4,744 12 11,139 261 4,168
Slide 5: FY2021 Highlights
FY2021 Highlights ❑ Revenue in FY2021 rose 22% year-on-year to US$895.9M from US$731.4M in FY2020 ▪ Increase in revenue was mainly due to improved performance in the electronic components distribution and consumer products distribution businesses ▪ Sales for the electronic components distribution bu
Slide 6: 2H2021 Highlights
2H2021 Highlights ❑ Revenue in 2H2021 increase by 10% to US$457.6M from US$417.1M in 2H2020 ▪ Sales for the electronic components distribution business increased 9% boosted by higher sales in Hong Kong and China. The Group’s extensive product portfolio and strong presence in Hong Kong and China cont
Slide 7: Revenue Trend
Revenue Trend Revenue (US#039; million) 1,600 1,527 1,492 1,403 1,400 2% 1,222 6% 1,200 1,036 15% 1,000 896 817 18% 792 800 731 27% 658 -48% 616 22% 600 545 24% 7% -8% 417.1 438.3 457.6 354 382 400 315 314.3 13% 228 10% 186 184 183 43% 200 92 44 39% 8% - 7
Slide 8: Profitability: Gross Profit & Gross Profit Margin
Profitability Gross Profit & Gross Profit Margin (US#039; million) 10.0% 9.5% 140.0 9.3% 9.3% 9.0% 8.7% 9.0% 118.6 8.0% 120.0 8.1% 8.0% 7.5% 105.1 8.3% 6.9% 6.8% 7.8% 100.0 7.0% 6.3% 6.4% 90.4 91.5 6.1% 7.0% 97.4 6.0% 13% 80.0 73.5 73.0 5.0% 8% 62.6 -54% 57.5 6% 59% 60.0 4.0% 54.2 50.7 1% 45.9 3.0% 23%
Slide 9: Profitability: Net Profit & Net Profit Margin
Profitability Net Profit & Net Profit Margin (US#039; million) 20.0 2.2% 2.5% 18.0 17.7 16.1 2.0% 1.6% 16.0 1.4% 85% 1.3% 14.0 1.2% 1.2% 1.2% 1.5% 1.6% 12.0 1.1% 12.0 11.2 11.0 1.0% 1.0% 10.1 1.2% 11.1 10.0 9.6 44% 0.9% 0.3% 7.9 8.0 0.5% 8.0 0.6% -31% 41% 5.8 5.3 6.0 -55% 0.0% 0.0% 4.6 4.7 4.0 -21% 110
Slide 10: Profitability: EBITDA
Profitability EBITDA (US#039; million) 50.0 44.8 45.0 40.0 35.0 64% 30.8 30.0 27.4 40% 26.0 24.4 23.7 25.0 22.0 20.2 20.8 19.9 -15% 12% 20.0 18.9 -47% 58% -6% 15.0 17% 13.2 12.7 10.3 10.5 10.0 -5% -44% -17% 5.0 -2% 0.5 1,914% - FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 1H20 2H20 1H21
Slide 11: Financial Position: Maintaining Healthy Current Ratio
Financial Position Maintaining Healthy Current Ratio 1.6 500.0 1.5 1.4 1.4 468.6 1.4 1.5 1.4 458.5 430.6 1.4 1.3 1.2 400.0 1.2 397.5 1.2 372.0 371.5 373.6 1.2 347.8 382.6 1.2 1.2 332.2 340.8 324.1 1.0 295.6 300.0 277.0 258.2 234.0 0.8 230.7 218.3 211.5 218.7 200.0 0.6 173.8 147.5 147.0 120.7 0.4 100
Slide 12: Financial Position: Net Gearing Ratio
Financial Position Net Gearing Ratio 140% 180.0 166.5 116% 161.4 112% 120% 160.0 144.5 155.9 151.7 115% 147.2 98% 138.0 108% 140.0 145.0 133.2 89% 100% 124.8 139.3 122.2 120.2 119.4 120.0 104.5 110.0 83% 98.7 80% 97.9 100.0 86.5 72% 82.3 80.0 54% 72.6 60% 71.2 60.0 56.3 56% 48% 43% 40% 40.0 37.6 20%
Slide 13: Financial Position: Cash Conversion Cycle
Financial Position Cash Conversion Cycle (days) 125 113 115 105 96 95 87 89 85 69 72 75 70 67 62 66 65 58 58 65 56 55 66 54 66 55 61 60 49 61 54 51 53 51 45 51 41 40 42 44 33 38 37 41 38 32 35 40 36 33 30 32 33 35 29 25 31 33 30 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 Trade Recei
Slide 14: Dividend Yield
Dividend Yield 0.22 0.45 6.0% FY21 0.11 1.3% Total DivIdend Payout (In Cent (SGD)) FY20 (Interim & Final) each year 0.22 0.13 4.3% FY19 0.40 1.00 0.46 21.9% FY18 0.29 0.46 4.6% FY17 0.18 0.17 2.4% FY16 0.35 0.50 6.3% FY15 0.30 0.75 8.0% FY14 0.24 0.25 0.30 6.3% FY13 FY12 0.22 0.30 5.0% 0.30 0.16 0.3
Slide 15: Outlook
OUTLOOK
Slide 16: Industry Outlook
Industry Outlook Bright Spots ▪ Demand for semiconductors remains strong amid a continued global shortage ▪ Chips with more processing power and memory storage needed to support adoption of emerging technologies (5G, IoT, Electric and Autonomous Vehicles) ▪ Consumer products distribution business wi
Slide 17: Group Outlook
Group Outlook • The Group will build upon momentum achieved in the last two years to increase revenue and operating efficiency • The Group intends to pursue expansion of customer base and product lines for its key business segments • The Group will continue to maintain its edge as the leading mother
Slide 18: Serial System At A Glance
Serial System At A Glance Electronic Components (91%)* One of FY2021 FY2020 Asia Pacific’s Hong Kong 51% 47% largest electronic China 18% 14% distribution networks South East Asia & India 19% 25% South Korea 6% 5% Taiwan 6% 9% 100% 100% Total Shares: 905 million Free Float: 38% SERIAL Consumer Produ
Slide 19: Forward-looking statements disclaimer
The presentation herein may contain forward-looking statements by the management of Serial System Ltd (“Serial System”) that pertain to expectations for financial performance of future periods versus past periods. Forward–looking statements involve certain risks and uncertainties because they relate
Slide 20: Thank You
Thank You Media and Investor Contact: WeR1 Consultants Pte Ltd 1 Raffles Place #02-01 One Raffles Place Mall Singapore 048616 Tel: (65) 6721 7161 Isaac Tang, serialsystem@wer1.net 20