Sunway Construction Group Bhd. · MYX:SUNCON
Sunway Construction Group Bhd — Shareholder Meeting (August 2021)
50 slides from Sunway Construction Group Bhd's shareholder meeting presentation, Aug 25, 2021
Slide 1: 7th Annual General Meeting
YEARS 1981 - 2021 7th ANNUAL GENERAL MEETING 25 August 2021
Slide 2: Presentation Outline
RE: SHAPE . DEFINE . PURPOSE . FOCUS Presentation Outline 01 Financial Highlights for 2020 02 Project Highlights for 2020 03 Prospects 2021 and beyond 04 Automation & Digitalisation 05 Embracing ESG in Construction
Slide 3: Financial Highlights for 2020
RE: SHAPE . DEFINE . PURPOSE . FOCUS 01 Financial Highlights for 2020
Slide 4: Group's Revenue and PBT Margin FY2016 to FY2020
Financial Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS Group’s Revenue and PBT Margin FY2016 to FY2020 Revenue (RM ’Million) PBT Margin (%) 2,500 10.0% 2,257 8.6% 2,076 8.9% 9.0% 2,000 8.0% 1,789 8.1% 8.1% 1,769 6.5% 7.0% 1,553 1,500 6.0% 5.0% 1,000 4.0% 3.0% 500 2.0% 1.0% - 0.0% 2016 20
Slide 5: Segmental Revenue FY2019 vs FY2020
Financial Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS Segmental Revenue FY 2019 vs FY 2020 CONSTRUCTION PRECAST (RM’ MILLION) (RM’ MILLION) 1,455.2 97.4 2020 10.1% 2019 35.0% (2019: RM149.8 million) (2019: (2019:RM1,618.9 million) RM1,618.9 million) Construction Segment Precast Segment
Slide 6: Segmental Profit Before Tax FY2019 vs FY2020
Financial Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS Segmental Profit Before Tax FY 2019 vs FY 2020 CONSTRUCTION PRECAST (RM’ MILLION) (RM’ MILLION) 98.8 2.7 2020 36.3% 2019 0.9% (2019: RM155.2 million) (2019: RM2.8 million) Construction Segment Precast Segment Lower profit in 2020 is
Slide 7: Balance Sheet Ratios
Financial Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS Balance Sheet Ratios 2016 2017 2018 2019 2020 Average ROE 26% 26% 26% 21% 12% Average ROCE 43% 31% 32% 23% 12% Dividend Per Share 5 sen 7 sen 7 sen 7 sen 4 sen Dividend Payout Ratio 52% 68% 63% 70% 71% Net Gearing Ratio Net Cash Net
Slide 8: Project Highlights for 2020
RE: SHAPE . DEFINE . PURPOSE . FOCUS 02 Project Highlights for 2020
Slide 9: Completed Projects: Civil / Infrastructure
Project Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS Completed Projects : Civil / Infrastructure MRT Putrajaya Line Package V201, Klang Valley • Contract Value : RM1.392 billion • Client : MRT Corp Sdn Bhd • Completion Date : 15 Nov 2020
Slide 10: Completed Projects: Industrial Building
Project Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS Completed Projects : Industrial Building Nippon Express Malaysia New Warehouse, Shah Alam • Contract Value : RM139 million • Client : Nippon Express Malaysia Sdn Bhd • Completion Date : 31 Jan 2020 • JV between Taisei – SunCon
Slide 11: Completed Projects: Precast
Project Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS Completed Projects : Precast Sengkang N4C41, Singapore • Precast Delivery Completion Date : 1 Oct 2020 • Scope of Work : Standard HDB Precast Components and Prefabricated Bathroom Unit (PBU)
Slide 12: Completed Projects: Precast
Project Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS Completed Projects : Precast Sembawang N1C13, Singapore • Precast Delivery Completion Date : 28 Oct 2020 • Scope of Work : Standard HDB Precast Components and Prefabricated Bathroom Unit (PBU)
Slide 13: On-going Projects: Office Buildings (External)
Project Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS On-going Projects : Office Buildings (External) TNB HQ Campus Phase 2, Bangsar • Contract Value : RM781 million • Client : Tenaga Nasional Berhad
Slide 14: On-going Projects: Special Purpose Building (External)
Project Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS On-going Projects : Special Purpose Building (External) Petronas New Leadership Centre, Bangi • Contract Value : RM310 million • Client : Petronas Management Training Sdn Bhd
Slide 15: On-going Projects: Residential (Internal)
Project Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS On-going Projects : Residential (Internal) Sunway Serene, Kelana Jaya • Contract Value : RM342 million • Client : Sunway Dimension Stones Sdn Bhd
Slide 16: On-going Projects: Healthcare Facility (Internal)
Project Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS On-going Projects : Healthcare Facility (Internal) Sunway Medical Centre Phase 4, Sunway City • Contract Value : RM612 million • Client : Sunway Medical Centre Sdn Bhd
Slide 17: On-going Projects: Healthcare Facility (Internal)
Project Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS On-going Projects : Healthcare Facility (Internal) Sunway Medical Centre Seberang Jaya Phase 1, Penang • Contract Value : RM180 million • Client : Alliance Parade Sdn Bhd
Slide 18: On-going Projects: Civil / Infrastructure
Project Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS On-going Projects : Civil / Infrastructure LRT3 Package GS07&08, Klang Valley • Contract Value : RM1.29 billion • Client : MRCB George Kent Sdn Bhd
Slide 19: Order Book: 65 Projects, RM4.8 Billion
Project Highlights for 2020 RE: SHAPE . DEFINE . PURPOSE . FOCUS Outstanding RM 33m 1% RM 401m RM 642m Order Book 8% 13% 65 Projects 9% RM 450m RM 4.8 BILLION Total Outstanding 17% RM 823m Order book RM 2,608m 53% (as of June 2021) Building Infrastructure/Piling India Internal Sustainable Energy Sin
Slide 20: Prospects 2021 and Beyond
RE: SHAPE . DEFINE . PURPOSE . FOCUS 03 Prospects 2021 and beyond 1.0 Navigating Our Operations during COVID-19 Pandemic 2.0 Reinventing Business
Slide 21: Navigating Operations during COVID-19 Pandemic
Prospects 2021 and Beyond RE: SHAPE . DEFINE . PURPOSE . FOCUS 1.0 Navigating Our Operations during COVID-19 Pandemic Social > 1,300 employees are >95 virtual sessions with > 5% random monthly COVID-19 trained on SunCon Business our business partners across test for workers at all worksites Continui
Slide 22: Centralized Labour Quarters
Prospects 2021 and Beyond RE: SHAPE . DEFINE . PURPOSE . FOCUS 1.0 Navigating Our Operations during COVID-19 Pandemic Social Centralized Labour Quarters (CLQ) : 3 Labour Quarters Location Vision Stats CLQ Dengkil, Putrajaya Total Capacity (Workers) ≈ 800 Certificate for Accommodation Compliance to A
Slide 23: External Labour Quarters
Prospects 2021 and Beyond RE: SHAPE . DEFINE . PURPOSE . FOCUS 1.0 Navigating Our Operations during COVID-19 Pandemic Social External Labour Quarters (ELQ) ELQ defined as workers’ quarters at industrial, commercial & residential premises Stage 3 36% Stage 2 118 69% 327 JTK INSPECTION Stage 1 JTK SUB
Slide 24: Workers' Accommodation Facilities
Prospects 2021 and Beyond RE: SHAPE . DEFINE . PURPOSE . FOCUS Cooking area @ CLQ Cobra Camp, CLQ LRT, Klang Johor Workers accommodation @ CLQ LRT Toilet and shower facilities @ CLQ Dengkil
Slide 25: Sustainable Energy: Rooftop Solar
Prospects 2021 and Beyond RE: SHAPE . DEFINE . PURPOSE . FOCUS 2.0 Reinventing Business - Growth through Adjacent Business Environmental Sustainable Energy : Rooftop Solar 8.6MWp 17.0MWp Completed : On-Going : 25.6MWp Total Capacity Sunway Solar Dashboard In-house developed dashboard to present inst
Slide 26: Investment Target for Sustainable Energy
Prospects 2021 and Beyond RE: SHAPE . DEFINE . PURPOSE . FOCUS 2.0 Reinventing Business - Growth through Adjacent Business Environmental Sustainable Energy : Rooftop Solar / Solar Farm Investment Target for Sustainable Energy 2021 2022 2023 2024 Target Target Target 70% from Investment Investment In
Slide 27: Rooftop Solar: Emissions Avoided
Prospects 2021 and Beyond RE: SHAPE . DEFINE . PURPOSE . FOCUS 2.0 Reinventing Business - Growth through Adjacent Business Environmental Sustainable Energy : Rooftop Solar 10,091 tonnes of CO2e emissions avoided RM 30 million from solar consumption Investment pledged in rooftop solar projects for 20
Slide 28: Sustainable Energy: District Cooling System
Prospects 2021 and Beyond RE: SHAPE . DEFINE . PURPOSE . FOCUS 2.0 Reinventing Business - Growth through Adjacent Business Environmental Sustainable Energy : District Cooling System • MoU with ENGIE South East Asia to engineer, finance, construct, develop, operate and maintain district cooling syste
Slide 29: Hybrid Annuity Model (HAM)
Prospects 2021 and Beyond RE: SHAPE . DEFINE . PURPOSE . FOCUS 2.0 Reinventing Business - Growth through New Business Model Hybrid Annuity Model (HAM)
Slide 30: Potential Divestment upon Project Completion
Prospects 2021 and Beyond RE: SHAPE . DEFINE . PURPOSE . FOCUS 2.0 Reinventing Business - Growth through New Business Model Potential divestment upon project completion In India, there are options to divest the 2 HAM projects upon completion as there is market for Infrastructure REITS
Slide 31: Public Private Partnership (PPP)
Prospects 2021 and Beyond RE: SHAPE . DEFINE . PURPOSE . FOCUS 2.0 Reinventing Business - Growth through New Business Model Public Private Partnership (PPP) • Submitted proposal in response to the Request for Information called for by MRT Corp in relation to the hybrid project structure for MRT Line
Slide 32: Growth through Regional Expansion
Prospects 2021 and Beyond RE: SHAPE . DEFINE . PURPOSE . FOCUS 2.0 Reinventing Business - Growth through Regional Expansion
Slide 33: Automation & Digitalisation
RE: SHAPE . DEFINE . PURPOSE . FOCUS 04 Automation & Digitalisation
Slide 34: Fully Automated Robotics Plant
Automation & Digitalisation RE: SHAPE . DEFINE . PURPOSE . FOCUS Fully Automated Robotics Plant Integrated Construction & Prefabrication Hub (ICPH) • 3rd precast plant completing in 2022 • Location : Pulau Punggol Barat, Singapore • Total Land Area : 38,000 m2 • Fully automated precast factory • Exp
Slide 35: SunCon Digital Transformation Roadmap
Automation & Digitalisation SunCon Digital Transformation Roadmap RE: SHAPE . DEFINE . PURPOSE . FOCUS As of Q2 2021 Q3 2021 Onwards 3D BIM PLANNED Q2 2021 For all new projects ü Automation tools ü 3D advance uses ü 4D BIM PLANNED Q2 2021 4D platform ü 4D cloud platform Data Warehouse / Dashboard Im
Slide 36: Sustainable Construction through Digitalisation
Automation & Digitalisation RE: SHAPE . DEFINE . PURPOSE . FOCUS Sustainable Construction through Digitalisation 100% 7% ~RM1.2mil All newly secured projects reduction annual design management from 2020 are delivered in BIM of resources cost saving 28% 90 days Faster drafting time saving for time sa
Slide 37: Embracing ESG in Construction
RE: SHAPE . DEFINE . PURPOSE . FOCUS 05 Embracing ESG in Construction
Slide 38: Embracing ESG as Part of Our Business Strategy
Embracing ESG in Construction RE: SHAPE . DEFINE . PURPOSE . FOCUS Embracing ESG as part of Our Business Strategy Environmental Social Governance Managing Our Equitable Excellence in Environmental Impacts Social Environment Corporate Governance • Safety & Health • Board leadership • Waste management
Slide 39: SunCon Future Value 2030 Goals
Embracing ESG in Construction RE: SHAPE . DEFINE . PURPOSE . FOCUS SunCon Future Value 2030 Goals Our Future Value goalsProgress Legend: are set to align our sustainability agenda with the UN Sustainable Development Goals. tracking Meeting interim target, maintain Falling short of interim target for
Slide 40: SunCon Future Value 2030 Tracking
Embracing ESG in Construction RE: SHAPE . DEFINE . PURPOSE . FOCUS SunCon Future Value Legend: 2030 tracking Progress Goals Our Future Value goals are set to align our sustainability agenda with the UN Sustainable Development Goals. Meeting interim target, maintain Falling short of interim target fo
Slide 41: TCFD Support
Embracing ESG in Construction RE: SHAPE . DEFINE . PURPOSE . FOCUS Environmental “One of the first few Malaysian companies to join over 1,700 organisations worldwide to support the recommendations of the Task Force on Climate- Related Financial Disclosures (TCFD)”. - NST, February 22, 2021 -
Slide 42: Our Footprint in Solar Energy Consumption
Embracing ESG in Construction RE: SHAPE . DEFINE . PURPOSE . FOCUS Environmental Our Footprint in Solar Energy Consumption 98.6 MWh of 57.7 tonnes of CO e2 Equivalent of planting energy consumed emissions avoided from 865 trees from solar generation solar consumption Note: 15 tree seedlings grown fo
Slide 43: Water Recycling Initiative at Sunway Concrete Products
Embracing ESG in Construction RE: SHAPE . DEFINE . PURPOSE . FOCUS Environmental Water Recycling Initiative at Sunway Concrete Products • Water treatment facilities on-site to treat effluent discharge from cement mixing plant • Treated water is used for sanitary purpose • Estimated savings : >RM5,00
Slide 44: Our 1st Sustainable Establishment at Sunway Enterprise Park
Embracing ESG in Construction RE: SHAPE . DEFINE . PURPOSE . FOCUS Environmental Our 1st Sustainable Establishment at Sunway Enterprise Park, Puchong • Completed in 2020 with rooftop solar installed with generation capacity of 287 kWp • Estimate solar generation 330 MWh with approximately 193 tonnes
Slide 45: Managing Our Machinery Fleet and Waste
Embracing ESG in Construction RE: SHAPE . DEFINE . PURPOSE . FOCUS Environmental Managing Our Machinery Fleet and Waste 80% Avg. up to 50% 3R Compliance Machinery are Above market price on Spent hydraulic oil are All waste oil are disposed between 1 - 10 machinery resale value revitalized and reused
Slide 46: Human Capital Development
Embracing ESG in Construction RE: SHAPE . DEFINE . PURPOSE . FOCUS Social Human Capital Development Total Number of Employees 1,550 male 280 female Our ratio of men to women pay equity is > RM 276,000 invested in 0 0.27 EQUAL training & development incidents of human right’s violation Accident Frequ
Slide 47: Community: Enriching Lives for a Better Tomorrow
Embracing ESG in Construction RE: SHAPE . DEFINE . PURPOSE . FOCUS Social Community : Enriching Lives for a Better Tomorrow > RM 594,000 in community projects : • The National Disaster Relief Fund • Jeffrey Cheah Foundation • Orang Asli Community Donation of essentials to 55 families from the Temuan
Slide 48: Awards
Embracing ESG in Construction RE: SHAPE . DEFINE . PURPOSE . FOCUS Awards MSWG-ASEAN Corporate Governance International Annual Report Competition (ARC) Awards 2021 – Award 2020 - Industry Excellence Award Bronze Award Construction Category PDF version of Annual Report – Construction & Building categ
Slide 49: SunCon's ESG Milestones
Embracing ESG in Construction RE: SHAPE . DEFINE . PURPOSE . FOCUS SunCon’s ESG Milestones
Slide 50: Thank You
YEARS CONSTRUCTION 1981 - 2021 Thank You
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