Federal International (2000) Ltd · SGX:BDU
Federal International (2000) — Investor Presentation (June 2016)
18 slides from Federal International (2000)'s investor presentation, Jun 28, 2016
Slide 1: Federal International (2000) Limited Corporate Presentation
FEDERAL INTERNATIONAL (2000) LIMITED A leading integrated service provider and procurement specialist Corporate Presentation 28th June 2016 ● 1000 hours Financial PR Conference Room, Singapore 1200HP US-made Rig Federal II (FSO) EPCIC Capabilities
Slide 2: Disclaimer
Disclaimer The presentation is prepared by Federal International (2000) Ltd (the “Company”) and is intended solely for your personal reference and is strictly confidential. The information contained in this presentation is subject to change without notice, its accuracy is not guaranteed and it may n
Slide 3: About Federal
About Federal • More than 40 years history and listed on mainboard in 2000 • Leading Engineering, Procurement, Construction, Installation & Commissioning (EPCIC) Specialist1 • Strong local knowledge and network with customers and suppliers • Customers include major oil companies – Petrochina, CNOOC,
Slide 4: Experienced Management
Experienced Management Koh Kian Kiong Executive Chairman & CEO Key Management • > 45 years experience • Loh Chee Meng • Oversees corporate strategy and Group CFO & Company Secretary expansion plans • CA & CIA with > 20 years experience • B. Accountancy (Hons), Master in Business Research Maggie Koh
Slide 5: Key Businesses & Strengths
Key Businesses & Strengths Industry Approved brands Strong local Established Established certifications API & vendors for knowledge and brands and EPCIC track Q1, Spec 6D, ISO major oil network agencies record 9001:2008, PED companies 97/23/EC Procurement (Trading) EPCIC4 Marine Resources (Land Rig)
Slide 6: Organisation Structure
Organisation Structure 28th June 2016 Federal International (2000) Ltd 6
Slide 7: Procurement
Procurement > 16 Leading Products & Agencies: Flowline Systems & Accessories Butterfly, Dual Plate Check Valve Nozzle Check Valve, Non Return And Strainers (UK) Special Valve (Korea) Ball, Gate, Globe, Check, Butterfly, Trunnion Mounted & Floating Ball Valves to Control and Special Valves Pipes API
Slide 8: Procurement
Procurement Close collaboration with key suppliers Exclusive support letter from CNOOC EnerTech-Pipe for US$ 155.1 million EPCIC project 28th June 2016 Federal International (2000) Ltd 8
Slide 9: EPCIC
EPCIC Established EPCIC specialist with more than 50 completed projects Established 1980 US$ > 50 Daman Development Project 140m PT Completed offshore Gunanusa (ONGC), India. Completed 1Q2016 Current Projects projects Utama Fabricators Major oil 18 ha customers: modern CNOOC, waterfront PTTEP, Seism
Slide 10: Key Markets
Key Markets Established presence in fast growing O&G markets in the People’s Republic of China & Southeast Asia 28th June 2016 Federal International (2000) Ltd 10
Slide 11: Key Customers
Key Customers Vietsopetro 28th June 2016 Federal International (2000) Ltd 11
Slide 12: Key Operating Assets
Key Operating Assets 18 ha (270 mu) Bonded Fabrication Yard1 • 15,000 ton capacity • 800 m waterfront (7 m depth) • 2 jetties • About 120 km from Central Jakarta Federal 2 • Converted from oil tanker • 230 m Floating, Storage & Offloading Vessel (FSO) • 800,000 barrel oil storage capacity • Chartere
Slide 13: Key Financials
Key Financials Share Data Balance Sheet1 • EPS: 14.61 cts2 (Historical PE: 2.1x2,3) • Total Assets: S$129m • NTA per share: 57.30 cts1 (P/B: 0.543) • Net assets: S$69m • Dividend: 1.5 cts2 (Yield: 4.8%3) • Debt ratio: 0.5 • Market cap: S$44m3 • Current ratio: 1.2 • Free Float: 67%4 (140.8 m shares)
Slide 14: 1Q2016 Vs 1Q2015
1Q2016 Vs 1Q2015 In S$’m 1Q2016 1Q2015 Change Explanations Revenue 23.1 57.5 -59.8% Decrease due mainly to completion of projects in 1Q2015 and the project based nature of the procurement business. Gross profit 5.8 22.9 -74.5% Lower GP due to lower revenue and change in sales mix. GP margin 25.3% 39
Slide 15: 2015 Vs 2014
2015 Vs 2014 In S$’m 2015 2014 Change Explanations Revenue 128.7 131.6 -2.2% Decrease due mainly to lower revenue from China which was partly offset by higher sales to Indonesia. Gross profit 41.4 25.8 +60.2% Higher GP and margin due to better margins on certain projects. GP margin 32.1% 19.6% Other
Slide 16: Growth Strategies & Drivers
Growth Strategies & Drivers Enhanced Oil Recovery (EOR) EPCIC1 • Established track Electric record Submersible Procurement • Strong EPCIC Pumps (ESP) • Established brands capabilities & • Proven technology modern facilities • Approved vendors • Enhance output of with major oil • Customers include ma
Slide 17: Investment Merits
Investment Merits • Attractive valuation and dividend yield • Earnings visibility with total order book > US$ 150m1 (Procurement: S$90m; EPCIC: USD140m1) • Healthy balance sheet and low gearing • Established track record with major oil companies • Strong partnerships with EPCIC contractors, supplier
Slide 18: Thank you
Thank you Federal International (2000) Ltd Ticker : BDU.SI (SGX); FEDI.SP (Bloomberg); FEDL.SI (Reuters) No 47 / 49 Genting Road Singapore 349489 Tel: (65) 6747 8118 Fax: (65) 6743 0690 Website: www.federal.com.sg Email: admin@fedsin.com.sg
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