Castles Technology Co. Ltd. · TWSE:5258
Castles Technology — Investor Conference 2024
30 slides from Castles Technology's conference presentation, Nov 15, 2024
Slide 1: Castles Technology Investor Conference 2024/11/15
Castles Technology 【5258】 Investor Conference 2024/11/15
Slide 2: Disclaimer
Disclaimer Certain information set forth in this presentation contains “forward-looking information”, including “future-oriented operation and financial information” and “business outlook” based on collections of current Company information and external economic development. Actual future results in
Slide 3: Agenda
Agenda 1. Company Introduction 2. Operation Overview 3. Financial Overview 4. Industry Overview 5. New Products and Applications 6. Operating Strategies & Forecast
Slide 4: Company Introduction
1. Company Introduction 3 / 29
Slide 5: About Castles Technology
About Castles Technology ❖ Operation ✦ Top domestic manufacturer and solution provider of IC card reader and POS ✦ Headquartered in Xindian District, New Taipei City, Castles Technology sells products in more than 50 countries. ❖ Expertise and Market ✦ World leader in payment system technology. ✦ Pr
Slide 6: Global Foot Print
Global Foot Print Castles Technology © 2024 Castles Technology Co, Ltd. 5 / 29
Slide 7: Operation Overview
2. Operation Overview CASTLES” TECHNOLOGY
Slide 8: Business Performance – Consolidated Revenue
Business Performance – Consolidated Revenue ❖ The consolidated revenue is NT$ 5.692 billion for 2024 Jan-Sep, reduced by 2% compared to the same period for 2023. Unit: NT$ million 8,550 8,045 7,600 7,399 2023 Jan-Sep 6,650 5,788 5,692 5,700 4,750 4,455 3,735 3,800 2,850 1,900 950 '- 2020 2021 2022 2
Slide 9: Financial Overview
3. Financial Overview CASTLES” TECHNOLOGY
Slide 10: Consolidated Income Statements
Consolidated Income Statements Unit：NT$ Million (except EPS) Item 2024 Jan-Sep % 2023 Jan-Sep % YoY Revenue 5,692.60 100% 5,788.40 100% -2% Gross profit 1,872.71 33% 1,838.64 32% 2% Operating expenses Selling expenses 385.00 7% 351.25 6% 10% Administrative expenses 380.74 7% 277.30 5% 37% Research a
Slide 11: Industry Overview
4. Industry Overview 10 / 29
Slide 12: Industry Overview
Industry Overview ❖ Industry Overview As Android smart terminals gradually become the mainstream market demand, customers' needs for product diversity are also becoming more apparent. While certain markets still place strong emphasis on price sensitivity, the European and American markets are shif
Slide 13: Industry Overview
Industry Overview ❖ Industry Overview As recruitment becomes more challenging and cashless payments like mobile payments gain widespread adoption, the opportunities for unmanned self-service products are expanding. With the advantage of operating without time restrictions, unmanned stores and self
Slide 14: Industry Competition
Industry Overview ❖ Industry Competition In response to market price competition and industry shifts, Castles Technology continues to focus on developing new product applications, enhancing technical integration, and strengthening supply chain management. Additionally, by differentiating its produ
Slide 15: New Retail Industry and Service
Industry Overview ❖ New Retail Industry and Service As financial payment service companies expand into the SMB market, high-performance Android card machines have become the preferred choice for replacing POS systems. This growing trend challenges leading manufacturers to provide high-performance,
Slide 16: New Opportunities: SMBs and SoftPOS
New Opportunities ❖ New Demands for SMBs As Android devices become more widespread, commercial software developers are investing more in Android business software. Meeting SMB (small and medium-sized business) performance needs requires stricter hardware specifications. To keep up, equipment suppl
Slide 17: New Opportunities: Android Upgrades and New Regions
New Opportunities ❖ The Trend of Upgrading Android Terminals Due to the increasing demand for Android from end customers, the company has invested significant R&D efforts into developing the next generation of products. Various solutions, including handheld and self-service kiosk models, are alrea
Slide 18: Global Presence
Global Presence HQ UK Belgium Subsidiary Canada France Italy Turkey Regional Office Spain USA Portugal Japan Greece Jordan Taiwan Thailand Philippines Singapore Brazil Peru Australia © 2024 Castles Technology Co, Ltd. 17 / 29
Slide 19: New Products & Applications
New Products & 5. Applications 18 / 29
Slide 20: New Products - EFT POS
New Products - EFT POS Android Saturn Series S1F4 PRO S1MINI2 S1U2-M4 Linux Vega Series V1C V1M V1P © 2024 Castles Technology Co, Ltd. 19 / 29
Slide 21: New Products - UPT
New Products - UPT Unattended Self-Service Vending Machine Parking Cooler EV Charger © 2024 Castles Technology Co, Ltd. 20 / 29
Slide 22: New Product Series – Cloud Services Core
New Product Series – Cloud Services Core MultiMS CKIT CasHUB POSGuard APP store E-Rceipt TradEye © 2024 Castles Technology Co, Ltd. 21 / 29
Slide 23: New Product Series – Cloud Services Added Value
New Product Series – Cloud Services Added Value Loyalty Reward Redemption: Use CasHUB to send coupon discount codes to loyal customers, applicable for use on countertop and self-service payment terminals. Consumer Consumer redeem at the Data terminal CRM Coupon Deploy coupon Data Input parameters to
Slide 24: New Product Series – Cloud Services Added Value
New Product Series – Cloud Services Added Value E-Receipt: A value-added service for merchants that reduces paper usage and supports ESG goals. Transaction complete Consumer scan QR code or NFC Consumer receives E-receipt on cellphone NFC to retrieve E-receipt Outputs E-receipt link Scan QR code for
Slide 25: New Product Series – SoftPOS
New Product Series – SoftPOS Software and Cloud Services Transactions will be proceeded safely and fast by reading transaction cards through NFC on mobile phones, which will link transaction data to backend system to complete the transaction. BANK Name Surname 1234 1234 1234 1234 VALID THRU 12/28 ©
Slide 26: Operating Strategies & Prospect
Operating Strategies & 6. Prospect 25 / 29
Slide 27: Operating Execution Focus
Operating Execution Focus ❖ Supply Chain Management The global material shortage has been relieved, potential components cost reduction is expected. Furthermore, through supply chain management optimization, increasing production capacity, and collaborating with strategic partners, costs are expec
Slide 28: Operational Strategies
Operational Strategies ❖ Software and Cloud Services In addition to hardware design and sales, cloud services and customer-centric software development have been areas of focus for the company in recent years. The goal is to increase the revenue share from these services annually. ❖ Global Network
Slide 29: Future Prospect
Future Prospect ❖ Improve the Competitiveness of Enterprises Accelerate the progress of product certification in various regions. Continue to invest in R&D resources, especially the software. Plan for continuously increasing production capacity to meet customer delivery dates. Cost reduction
Slide 30: Thank you
Thank you CASTLES” TECHNOLOGY