China General Plastics Corporation · TWSE:1305
China General Plastics — Q1 2024 Earnings Presentation
20 slides from China General Plastics's earnings presentation, May 13, 2024
Slide 1: Investors Conference
2024 Investors Conference 2024/5/13
Slide 2: Investor Conference
China General Plastics Corp. Investor Conference 2024/5/13 Time Itinerary Reporter 14:00〜14:30 VIP Registration Review for Q1 & Outlook for Q2 J H Wu, Manager 14:30〜15:00 Finance Information for Q1 C C Kuo, Manager 15:00〜15:30 Q&A Otto Hu, President 2
Slide 3: 2024 Q1 Review & Q2 Outlook
China General Plastics Corp. 2024 Q1 Review & Q2 Outlook May 13, 2024 Reporter : J.H. Wu 3
Slide 4: Q1 Review: PVC Feedstocks
2024 Q1 Review: PVC Feedstocks Ethylene Crude prices have risen gradually under the extended production cuts on the supply side and the tense situation in the Middle East. Asian crackers have maintained low operating rates due to poor profitability, and the limited regional spot supply has pushed
Slide 5: Q1 Review: PVC
2024 Q1 Review: PVC The recovery of downstream plastic processing demand in China was still slow. Sales and investment in real estate continued to decline, suppressing domestic PVC demand. PVC producers maintained high operating rates during the Chinese New Year period, leading to a build-up of in
Slide 6: Q1 Review: Consolidated Sales
2024 Q1 Review: Consolidated Sales The consolidated sales in 2024 Q1 was NT$ 2.905B, which decreased by 0.875B YOY(23%↓)。 Sales Quantities(KT) 2024 Q1 2023 Q1 +/- VCM/PVC 83 103 -20 PVC Products 10 12 -2 Alkaline 15 14 1 Total 108 129 -21 6
Slide 7: Crude Oil & Ethylene Price Trend
Crude Oil & Ethylene Price Trend Unit:US$/bbl WTI Unit:US$/MT CFR NEA (Platts) 130 1,500 Crude Oil Ethylene 110 1,300 90 1,100 70 900 50 700 30 500 10 300 Jan-20 Apr-20 Jul-20 Oct-20 Jan-21 Apr-21 Jul-21 Oct-21 Jan-22 Apr-22 Jul-22 Oct-22 Jan-23 Apr-23 Jul-23 Oct-23 Jan-24 Apr-24 7
Slide 8: PVC / VCM / EDC Price Trend
PVC / VCM / EDC Price Trend Unit:US$/MT CFR NEA (Platts) 1,950 1,800 EDC VCM PVC 1,650 1,500 1,350 1,200 1,050 900 750 600 450 300 150 0 Jan-20 Apr-20 Jul-20 Oct-20 Jan-21 Apr-21 Jul-21 Oct-21 Jan-22 Apr-22 Jul-22 Oct-22 Jan-23 Apr-23 Jul-23 Oct-23 Jan-24 Apr-24 8
Slide 9: Q2 Outlook: Ethylene
2024 Q2 Outlook: Ethylene OPEC+ maintains a firm stance on defending crude prices, and market sentiment is still driven by the situation in the Middle East. Crude prices have become more volatile and returned above $90/barrel briefly, a new high for the year. Asian crackers continue to monitor ups
Slide 10: Q2 Outlook: EDC / VCM
2024 Q2 Outlook: EDC / VCM EDC: Both alumina and paper industry have shown signs of recovery, driving caustic soda demand and chlorine output in Q2. Major US Vinyl upstream producer is planning to restart idle C/A capacity, and Middle East producers have supply resuming plan, so the market's spot
Slide 11: Q2 Outlook: PVC Supply
2024 Q2 Outlook: PVC Supply Operating rates of China PVC plants are expected to decrease in April-May due to the annual maintenance. The PVC inventory buildup from Q1 has started to be destocking. Although there are variables in terms of rising export freight rates and the May Day holiday, there a
Slide 12: Q2 Outlook: PVC Demand
2024 Q2 Outlook: PVC Demand China's manufacturing PMI has shown a upward trend, with GDP and industrial production posting year-on-year increases. The government continues to introduce policies to stimulate the property market, relax home purchase limits, and lower the interest rate. The issuance
Slide 13: Q2 Outlook: PVC Products
2024 Q2 Outlook: PVC Products Existing Products: Pipe demand is expected to remain stable and trend upward in the medium term. This is mainly due to a 31.4% year-on-year increase in private housing sales from January to April. Housing project launches in the second quarter are expected to see furt
Slide 14: 2024 Q1 Finance Information
China General Plastics Corp. 2024 Q1 Finance Information May 13, 2024 Reporter : C.C.Kuo Manager 14
Slide 15: Q1 Sales by product
2024 Q1 Sales by product (NT$million) 15
Slide 16: Consolidated Statements of Income
Consolidated Statements of Income (In millions of NTD, except per share data) 2024 2023 2023 2022 2021 YoY% Jan.-Mar. Jan.-Mar. FY FY FY Sales 2,905 3,780 -23.1% 13,707 17,637 20,222 Cost of goods sold 2,732 3,080 -11.3% 12,030 16,959 15,181 Gross profit 173 700 -75.3% 1,677 678 5,040 gross profit r
Slide 17: Financial ratio analysis
Financial ratio analysis 2024 2023 2023 2022 2021 Jan.-Mar. Jan.-Mar. FY FY FY Operating income margin(%) (3.4) 10.0 3.4 (5.6) 16.4 Net income margin(%) (1.5) 6.7 2.9 (1.9) 13.0 Debt ratio(%) 44 40 42 40 30 Current ratio(%) 177 261 204 217 264 Quick ratio(%) 110 155 127 129 152 Accounts receivable t
Slide 18: Disclaimer
Disclaimer This presentation includes the Company’s current information and any development or adjustments thereof will be published according to laws, regulations or rulings. The Company is not obligated to update or revise this presentation. The information in this presentation is not for inve
Slide 19: The End Thank You
China General Plastics Corp. The End Thank You 2024/5/13 Work together to create prosperity 19
Slide 20: Investor Conference Q&A
China General Plastics Corp. Investor Conference Q&A 2024/5/13 Work together to create prosperity 20
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