Dksh Holdings (malaysia) Bhd. · MYX:DKSH
Dksh Holdings (malaysia) Bhd — Shareholder Meeting (May 2019)
50 slides from Dksh Holdings (malaysia) Bhd's shareholder meeting presentation, May 29, 2019
Slide 1: DKSH Holdings (Malaysia) Berhad 27th Annual General Meeting
DKSH Holdings (Malaysia) Berhad 27th Annual General Meeting Petaling Jaya, May 29, 2019 Page 1 © DKSH 2018
Slide 2: Business review 2018
DKSH Holdings (Malaysia) Berhad 27th Annual General Meeting Business review 2018 By Nicholas McLaren, Head, Country Management and Vice President, Country Finance Petaling Jaya, May 29, 2019 Page 2 © DKSH 2018
Slide 3: Agenda
Agenda • About DKSH Group • DKSH Malaysia at a glance • FY 2018 performance review • 2018 highlights – strengthening our leading position in the MES industry • Outlook • Resolutions • Outcome of Annual General Meeting (AGM) Page 3 © DKSH 2018
Slide 4: Welcome to DKSH's 27th Annual General Meeting
Welcome to DKSH’s 27th Annual General Meeting Page 4 © DKSH 2018
Slide 5: About DKSH Group
About DKSH Group
Slide 6: Who we are
About DKSH Group Who we are DKSH is the No. 1 in Market Expansion Services We help companies to grow their business in new and existing markets Page 6 © DKSH 2018
Slide 7: DKSH is a successful market leader
DKSH is a successful market leader No. 1 1,700 clients 19 million Market Expansion Services provider with a focus on Asia 1,800 suppliers transactions per year CHF >10 years 825 11.3 billion 4 countries Net sales (2018) average client relationship1) business locations 33,000 More than 150 450,000 sp
Slide 8: We support companies to grow their business in and with Asia
We support companies to grow their business in and with Asia… • Helping companies to grow their business in new and existing markets • Providing business partners with the knowledge, advice, relationships and on- the-ground logistics to reach their individual growth goals • Expanding their access to
Slide 9: A comprehensive, tailor-made portfolio of services
…with a comprehensive, tailor-made portfolio of services Market Expansion Services goes beyond offering individual services – it is about the integration of many different services to meet the needs of business partners Market Marketing Distribution After-sales Sourcing analysis and and sales and lo
Slide 10: We link business partners and add value to businesses
We link business partners and add value to businesses Consumer goods, healthcare products Client Customer B2B/B2C Market insights Market insights Retailer Manufacturer Manufacturer B2B Specialty chemicals and ingredients We support our clients in marketing, We support our customers in getting the se
Slide 11: Clear strategy for sustainable, profitable growth
Clear strategy for sustainable, profitable growth Focus on existing Strengthen service Increase operational Business Units offering efficiency Focus on growing existing Continuously strengthen Successively improve markets and existing and extend our service efficiency and effectiveness Business Unit
Slide 12: Providing companies access and expertise to grow in and with Asia
Providing companies access and expertise to grow in and with Asia With a strategy for growth and deep expertise gathered in specialized Business Units, we consistently deliver results Page 12 © DKSH 2018
Slide 13: DKSH Malaysia at a glance
DKSH Malaysia at a glance
Slide 14: DKSH Malaysia at a glance
DKSH Malaysia at a glance More than 90 years of success in Malaysia Figures as of financial year 2018 Page 14 © DKSH 2018
Slide 15: Three specialized business segments
DKSH Malaysia at a glance Three specialized business segments Marketing & Distribution Logistics Services Others Services • Fast Moving Consumer Goods • Healthcare • Famous Amos • Performance Materials • Telecommunications …leading the Market Expansion Services industry with tailored solutions acros
Slide 16: Serving international clients…
DKSH Malaysia at a glance Serving international clients… Trusted partner for well-known international brands Consumer Goods: Healthcare: Performance Materials: Page 16 © DKSH 2018
Slide 17: …and local brands
DKSH Malaysia at a glance …and local brands Reliable partner for Asian brands In Malaysia for Malaysia Page 17 © DKSH 2018
Slide 18: FY 2018 performance review
FY 2018 performance review
Slide 19: FY 2018 results
FY 2018 results Financials Comments (in RM millions) FY 2018 FY 2017 Change % • Revenue grew 9.1% as a result of underlying organic growth in existing clients, primarily in Net sales 6,010.3 5,509.5 9.1% Logistics segment, as well as new clients, Profit from operations 68.7 77.6 (11.4%) primarily in
Slide 20: Marketing and Distribution Services
FY 2018 results Marketing and Distribution Services Financials Comments (in RM millions) FY 2018 FY 2017 Change % • Net sales increased 7.6% due to organic growth of existing clients and contributed by new Net sales 2,827.3 2,628.8 7.6% clients Result 21.6 45.7 (52.8%) • Operating results declined a
Slide 21: Logistics Services
FY 2018 results Logistics Services Financials Comments (in RM millions) FY 2018 FY 2017 Change % • Increase in net sales of 10.5% was organically driven Net sales 3,122.3 2,825.4 10.5% • Growth in operating results reflects strong Result 48.7 32.8 48.5% revenues supported by improving margin mix, on
Slide 22: Segment – Others
FY 2018 results Segment – Others Financials Comments (in RM millions) FY 2018 FY 2017 Change % • The addition in total outlets and improving consumer demand increased net sales by 9.9% Net sales 61.7 56.2 9.9% • Decrease in operating results reflects rising Result (1.5) (0.8) 72.2% expenses centrall
Slide 23: 2018 highlights – strengthening our leading position in the MES industry
2018 highlights – strengthening our leading position in the MES industry
Slide 24: Winning new clients in 2018
2018 highlights Winning new clients in 2018 Page 24 © DKSH 2018
Slide 25: Acquisition of Auric Pacific: strategic growth initiative
2018 highlights Acquisition of Auric Pacific: strategic growth initiative Increase product portfolio Enhanced scale and synergies • Complementary strengths in • Grow our FMCG business to providing Market Expansion generate positive income Services • Acquisition of Auric’s melange • Synergistic effec
Slide 26: Auric Pacific: entering the high-margin food service business
2018 highlights Auric Pacific: entering the high-margin food service business SCS: • Leading butter brand in Malaysia • Product portfolio includes butter-blocks, spreadable butter, cream cheese and sliced cheese • Retail and food service channels Buttercup: • Leading mélange brand in Malaysia • Prod
Slide 27: Auric Pacific: expanding our presence in the consumer goods industry
2018 highlights Auric Pacific: expanding our presence in the consumer goods industry Dairy and spreads Spices, sauces and condiments Cereals and biscuits Sugar and baking needs Canned foods and ready-to-eat Dried fruits and nuts Edible oils Beverages Frozen Page 27 © DKSH 2018
Slide 28: Auric Pacific: integration timeline
2018 highlights Auric Pacific: integration timeline Integration phase Proposed DKSH Full acquisition of completed integration Auric Pacific acquisition of into DKSH Auric Pacific family Dec 2018 March 2019 Sept 2019 Page 28 © DKSH 2018
Slide 29: Ongoing growth and profitability improvement initiatives
2018 highlights Ongoing growth and profitability improvement initiatives Sales Continued focus on business development Accounts receivable Enhanced focus on efficient management of key accounts Expenses Continuing focus on operational efficiencies and automation Inventory Constantly improving invent
Slide 30: Outlook
Outlook
Slide 31: Two market trends…
Two market trends… Growing middle class in 1 Malaysia 2 Trend towards outsourcing Increasing spending on consumer An increasingly urbanized population continues to boost consumer goods and healthcare products spending. Investments in local infrastructure and industries …boost expansion, consumer/ind
Slide 32: Outlook
Outlook • The Group takes a cautiously optimistic outlook on 2019 • Prospects remain positive for the Logistics and Others segments • The Marketing and Distribution segment is expected to positively benefit from the acquisition of Auric Pacific (M) Sdn. Bhd. as well as an efficiency and profitabilit
Slide 33: Thank you for your continuous support
Thank you for your continuous support Having been truly at home in Asia for more than 150 years, DKSH has unparalleled relationships and networks across Asia and an unmatched depth of knowledge, experience and understanding. Page 33 © DKSH 2018
Slide 34: Resolutions
Resolutions
Slide 35: Audited Financial Statements 2018
Agenda 1 Audited Financial Statements 2018 To receive the Audited Financial Statements of the Company for the financial year ended December 31, 2018 and the reports of the Directors and Auditors thereon. Page 35 © DKSH 2018
Slide 36: Q&A
Q&A
Slide 37: Proposed Final Single Tier Dividend
Agenda 2 Proposed Final Single Tier Dividend Ordinary Resolution 1 To approve the payment of a final single tier dividend of 10.0 sen per share for the financial year ended December 31, 2018. Page 37 © DKSH 2018
Slide 38: Proposed Directors' Fees
Agenda 3 Proposed Directors’ Fees from May 30, 2019 to next AGM in 2020 Ordinary Resolution 2 To approve the payment of Directors’ fees of up to an amount of RM 280,000 from May 30, 2019 until the next Annual General Meeting of the Company to be held in 2020. Page 38 © DKSH 2018
Slide 39: Re-election of Director
Agenda 4 Re-election of Director Ordinary Resolution 3 To re-elect Datuk Haji Abdul Aziz bin Ismail who retires pursuant to Article 105 of the Constitution of the Company. Page 39 © DKSH 2018
Slide 40: Re-election of Director
Agenda 5 Re-election of Director Ordinary Resolution 4 To re-elect Lee Chong Kwee who retires pursuant to Article 105 of the Constitution of the Company. Page 40 © DKSH 2018
Slide 41: Re-appointment of Auditors
Agenda 6 Re-appointment of Auditors Ordinary Resolution 5 To re-appoint Messrs Ernst & Young as Auditors of the Company for the financial year ending December 31, 2019 and to authorize the Directors to fix their remuneration. Page 41 © DKSH 2018
Slide 42: Proposed Mandate for RRPT
Agenda 7 Proposed Mandate for RRPT Ordinary Resolution 6 To approve the renewal of the Proposed Mandate for the Company and/or its subsidiaries (“DKSH Group”) to enter into all arrangements and/or transactions involving the interests of Directors, major shareholders or person connected with the Dire
Slide 43: Recurrent Related Party Transactions (RRPT) Speech
Recurrent Related Party Transactions (RRPT) Speech
Slide 44: Q&A
Q&A
Slide 45: Any other business
Agenda 8 To transact any other business of an Annual General Meeting for which due notice shall have been given. Page 45 © DKSH 2018
Slide 46: Polling procedures
Polling procedures
Slide 47: Outcome of AGM
Outcome of AGM
Slide 48: Chairman's closing and conclusion of the meeting
Chairman’s closing and conclusion of the meeting
Slide 49: Thank you for your attention
Thank you for your attention Page 49 © DKSH 2018
Slide 50: Disclaimer
Disclaimer Due care has been used in preparation of this presentation and DKSH makes every effort to provide accurate and up-to-date information. Nevertheless, this presentation may be subject to technical inaccuracies, information that is not up-to-date or typographical errors. DKSH does not assume
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