Bg Container Glass Pcl · SET:BGC
Bg Container Glass Pcl — BG Container Glass Public Company — Q2 2023 Earnings Presentation
18 slides from Bg Container Glass Pcl's earnings presentation, Aug 17, 2023
Slide 1: Opportunity Day 2Q23 Performance
Opportunity Day 2Q23 Performance 17 August 2023 BG Container Glass Public Company Limited Scan for Q&A
Slide 2: Executive Summary
EXECUTIVE SUMMARY Scan for Q&A Top Line Recovery Sales & GPM Recovery Packaging Improvement Strong Position in the Industry ➢ Listed in SETTHSI and SETCLMV Index 2H23 Sales Consolidated : +4.0% YoY ➢ Sales increased: 115 MB (+21.9%YoY) ➢ ESG100 from Thaipat Institute ➢ Glass : -11.9% QoQ / +1.0% YoY
Slide 3: 2Q23 Performance Breakdown
2Q23 Performance Breakdown Scan for Q&A Sales COGS Gross Profit 3,511 MB 3,055 MB 457 MB +4% YoY +2.6% YoY +11% YoY Glass Glass Glass GPM 2,948 MB 2,558 MB +1% YoY 13.2% -17 BPS YoY +1% YoY • Rise in raw materials • Higher selling price, but offset by rising costs of raw materials and energy Packagi
Slide 4: Agenda
AGENDA INDUSTRY UPDATES 1 Industry Outlook BRINGING “GOOD VALUE 2 OPERATIONAL UPDATES Performance and Raw Materials Outlook ” TO EVERYONE EVERYDAY 3 FINANCIAL UPDATES Results and Explanation 4 STRATEGIC DIRECTION Strategy and Outlook 4
Slide 5: Thailand economic conditions in 2Q23
Thailand economic conditions in 2Q23 Scan for Q&A Consumer Confidence Index /1 Beer consumption/2 MN Litre Domestic Beer Export -19.4%YoY MN Litre 60 Export Beer 700 50 50 600 40 500 30 400 20 40 Domestic -3.5%YoY 300 10 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 30 Jan-21 Apr-21 Jul-21 Oct-2
Slide 6: Agenda
AGENDA INDUSTRY UPDATES 1 Industry Outlook BRINGING “GOOD VALUE 2 OPERATIONAL UPDATES Performance and Raw Materials Outlook ” TO EVERYONE EVERYDAY 3 FINANCIAL UPDATES Results and Explanation STRATEGIC DIRECTION 4 Strategy and Outlook 6
Slide 7: Operational Performance
Operational Performance Scan for Q&A Glass Business Packaging Business Overall OEE remains in good conditions BVP (Paper Packaging) Unit: % 89.3% 88.3% 88.2% 90.7% 87.4% 87.2% 87.5% OEE (%) 85.1% 85.0% 81.9% Utilization Efficiency 74.7% 78.2% 77.4% 76.2% 75.8% Quality Continues to improve 2Q22 3Q22
Slide 8: Cost Management Efficiency
Cost Management Efficiency Scan for Q&A Energy Cost ~ 20% of COGS Positive Factors 120 700 ➢ Geopolitical tensions have eased ➢ Weaker demand and higher LNG supply Unit: THB/MMBTU 600 Unit: USD/BBL 100 500 ➢ Lower LNG spot trend in the global market 80 Cost Management 400 60 300 40 200 ➢ Diversified
Slide 9: Agenda
AGENDA INDUSTRY UPDATES 1 Industry Outlook BRINGING “GOOD VALUE 2 OPERATIONAL UPDATES Performance and Raw Materials Outlook ” TO EVERYONE EVERYDAY 3 FINANCIAL UPDATES Results and Explanation 4 STRATEGIC DIRECTION Strategy and Outlook 9
Slide 10: Key Operating Results - Consolidated
Key Operating Results - Consolidated Scan for Q&A Revenue Breakdown by Business Group Sales Volume by Business Group Unit: Million Baht Unit: Tons +3.6% YoY -7.9% QoQ -7.4% YoY -12.2% 3,798 3,814 QoQ 3,511 255,671 3,388 14% 14% 243,021 230,313 5% 3,039 18% Packaging 5% 15% 4% 213,241 198,343 6% 17%
Slide 11: Gross Profit and Net Profit
Gross Profit and Net Profit Scan for Q&A Gross Profit and Gross Profit Margin Net Profit and Net Profit Margin Unit: Million Baht Unit: Million Baht Gross Net Profit 12.1% 13.3% 8.8% 10.3% 13.0% Profit 3.2% 3.2% Margin Margin 2.2% 2.0% 2.0% +11.5% YoY +16.3% QoQ 457 -34.3% YoY 410 405 393 16% Packag
Slide 12: Statement of Financial Position
Statement of Financial Position Scan for Q&A (As of 30 Jun 2023) Total Assets Total Liability and Shareholder Equity Unit: Million Baht, % Unit: Million Baht, % Balance sheet size is risen from FY22 due to investment in assets of Prime Packaging and land revaluation +14% YoY +14% YoY 18,343 18,343 1
Slide 13: Key Financial Ratio
Key Financial Ratio Scan for Q&A We Do Better on Working Capital Management from Better Collection Days Working Capital Current Ratio Debt to Equity Unit: Days Unit: Times Unit: Times 0.85 2.48 47.9 40.6 2.41 34.4 0.55 0.47 2.29 FY21 FY22 2Q23 FY21 FY22 2Q23 FY21 FY22 2Q23 ROA ROE Net Debt to EBITDA
Slide 14: Agenda
AGENDA INDUSTRY UPDATES 1 Industry Outlook “BRINGING 2 OPERATIONAL UPDATES Performance and Raw Materials Outlook GOOD VALUE ” TO EVERYONE EVERYDAY 3 FINANCIAL UPDATES Results and Explanation 4 STRATEGIC DIRECTION Strategy and Outlook 14
Slide 15: Packaging Mega Trends will accelerate
Packaging Mega Trends will accelerate Scan for Q&A Mega Trends/1 BGC ➢ Reduce: Film thickness & layers in flexible packaging. ➢ Recycled: rPET or glass scrap. Sustainability Requirements ➢ Recyclability: mono material flexible packaging. ➢ Studying composable & biodegradable packaging. ➢ Preserve Nu
Slide 16: Ongoing business movement
Ongoing business movement Scan for Q&A Organic growth Prime B ❖ Product : Increase premiumization Diversify business Inorganic growth ❖ Status : Test run till the end of August 2023 ❖ Investment budget : Around 200 MB BGCS New business Key contributions Supply Chain Management and rental New related
Slide 17: Thank You
THANK YOU Please Kindly Provide Feedback 17
Slide 18: Disclaimers
DISCLAIMERS This presentation may contain forward-looking statements which are based on the Company’s current expectations and estimates about the industry, the management’s beliefs and various other assumptions. These forward-looking statements are subject to various risks, uncertainties and other
BG Container Glass Public Company — Q2 2023 Earnings Presentation on 6ix