Cheng Shin Rubber Ind. Co., Ltd. · TWSE:2105

Cheng Shin Rubber Ind — Investor Conference (April 2017)

32 slides from Cheng Shin Rubber Ind's conference presentation, Apr 7, 2017

  1. Slide 1: Cheng Shin Rubber Ind. Co., Ltd. Investor Conference

    CHENG SHIN RUBBER IND. CO., LTD. Investor Conference We Deliver Performance TM 0 April 07, 2017

  2. Slide 2: Safe Harbor Notice

    Safe Harbor Notice This presentation is based on the information obtained from various sources which the Company believes to be reliable. But at some point in the future, there are a variety of factors which could cause actual results to differ materially from those statements. Therefore, please ref

  3. Slide 3: Participants

    Participants Mr. Liao, Cheng Yao / Vice President Mr. Lo, Yung Li / Assistant Vice President We Deliver Performance TM 2

  4. Slide 4: Operating Results

    Operating Results We Deliver Performance TM 3

  5. Slide 5: Company Introduction

    Company Introduction ：Jan., 1967 Foundation： ：Dec., 1987 IPO： ：Chunghwa, Taiwan Headquarter： ：NT$32.414 billion Capital： ：Lo, Tsai-Jen Chairman： Global top 9 of tire makers ： Number of employees： ；29,905 (Global) 5,739 (Taiwan)； Base Date：2016-12-31 We Deliver Performance TM 4

  6. Slide 6: Revenues of Global Top 10 Tire Makers

    Revenues of Global Top 10 Tire Makers Maxxis We RevenueTM in 2015 : US$ 3.84 Billion Deliver Performance 5

  7. Slide 7: MAXXIS PREMITRA HP5 Recommended by Professional Driver Magazine

    MAXXIS PREMITRA HP5 Recommended by Professional Driver Magazine We Deliver Performance TM 6

  8. Slide 8: Production Plants

    Production Plants XCS CSTF CSTP CSTC CSTS 12 CSTE CST Production Plants CSTZ MIT CSV MRI PTM Note1：CST is the Headquarter Note2：MRI and PTM are under construction We Deliver Performance TM 7

  9. Slide 9: Statements of Comprehensive Income Overview (Consolidated)

    Statements of Comprehensive Income Overview (Consolidated) Unit：NT$ million 2016 2015 Amount % Amount % Net revenus 117,387 100 116,726 100 Cost of good sold (81,098) (69) (81,168) (70) Gross profit 36,289 31 35,558 30 Operating expenses (17,617) (15) (16,937) (14) Operating profit 18,672 16 18,621

  10. Slide 10: Balance Sheet Overview (Consolidated)

    Balance Sheet Overview (Consolidated) Unit：NT$ million 2016 2015 Amount % Amount % Cash and cash equivalents 28,894 17 22,321 14 Inventories 13,850 9 13,213 8 Net property, plant and equipment 103,156 61 106,477 64 Total assets 168,165 100 165,958 100 Current liabilities 39,787 24 37,390 23 Long-ter

  11. Slide 11: Statement of Cash Flow Overview (Consolidated)

    Statement of Cash Flow Overview (Consolidated) Unit：NT$ million 2016 2015 Amount Amount CASH FLOWS FROM OPERATING ACTIVITIES 27,265 27,439 Net income before tax 17,895 17,477 CASH FLOWS FROM INVESTING ACTIVITIES (14,079) (13,170) Acquisitions of property, plant and equipment (14,044) (11,350) CASH F

  12. Slide 12: Revenues (Consolidated)

    Revenues (Consolidated) Unit：NT$ million 116,726 117,387 【 Reasons of revenues increase 0.57%) 】 0.57% YoY： Price & exchange rate effect：-11.25% Quantity effect：10.86% Other effect：0.96% 2015 1 2016 2 資料來源: 正新橡膠合併財報 Source：CSTG Financial Report We Deliver Performance TM 11

  13. Slide 13: YoY Revenues (Consolidated)

    YoY Revenues (Consolidated) Unit：NT$ 100 million 2015 2016 13% 15% 11% 9% 1% 5% -4% -3% -12% 245 247 222 196 166 160 138134 128 115 122 104 75 65 69 60 47 51 CSTC XCS CST MIT CSTP CSTS CSTZ CSV OTHER Source：CSTG Financial Report We Deliver Performance TM 12

  14. Slide 14: YoY Revenues by Region (Consolidated)

    YoY Revenues by Region (Consolidated) Unit：% of sales 2015 2016 56.9% 56.8% 13.5% 14.1% 11.6% 11.8% 6.5% 5.9% 5.4% 5.5% 6.1% 5.9% 中國大陸 China 亞太 Asia Pacific 台灣 Taiwan 美洲 America 歐洲 Europe M. 中東非洲 East & Africa Source：CSTG Non-audited Financial Report We Deliver Performance TM 13

  15. Slide 15: YoY Revenues by Products (Consolidated)

    YoY Revenues by Products (Consolidated) Unit：% of sales 2015 2016 43.5% 44.4% 15.9% 17.0% 13.8% 13.9% 12.0% 12.0% 7.3% 6.8% 7.5% 5.9% PCR PCR TBR TBR MC MC BC BC TUBE TUBE OTHER OTHER Source：CSTG Non-audited Financial Report We Deliver Performance TM 14

  16. Slide 16: YoY Quantities by Products (Consolidated)

    YoY Quantities by Products (Consolidated) Unit：million pcs 2015 2016 417 396 199 215 83 72 42 46 53 63 3 4 16 17 PCR TBR MC BC TUBE OTHER TOTAL Source：CSTG Non-audited Financial Report We Deliver Performance TM 15

  17. Slide 17: Gross Profit Rate (Consolidated)

    Gross Profit Rate (Consolidated) 30.5% 30.9% 【 Reasons of gross profit rate increase 0.4% 】 YoY： Material cost effect：+0.2% 2015 2016 Source：CSTG Financial Report We Deliver Performance TM 16

  18. Slide 18: Material Cost

    Material Cost Unit：% of total material cost 11% Steel & Steel Cord Fabric 25% Natural Rubber 11% Nylon Cord Fabric 12% Carbon 23% Synthetic Rubber 18% Chemicals Source：CSTG Non-audited Financial Report (2016) We Deliver Performance TM 17

  19. Slide 19: Material Price Trend – 2015~2016

    Material Price Trend – 2015~2016 Units： Brent：USD/barrel BR0150：NTD/kg RSS3：THB/kg SBR1502：NTD/kg CBN330：NTD/kg Brant BR0150 RSS3 SBR1502 CBN330 90 83 80 79 70 70 60 55 50 40 30 32 20 10 0 Source：http://cip.chinatimes.com/ We Deliver Performance TM 18

  20. Slide 20: Operating Income Rate (Consolidated)

    Operating Income Rate (Consolidated) 【 Reasons of operating income rate decrease 0.05%) 】 15.95% 15.90% YoY： Operating expense rate effect：-0.50% Gross profit rate effect：+0.45% 2015 1 2016 2 Source：CSTG Financial Report We Deliver Performance TM 19

  21. Slide 21: Net Income Rate – Attributable to shareholders of the parent (Consolidated)

    Net Income Rate – Attributable to shareholders of the parent (Consolidated) 【 Reasons of net income rate increase 0.34%) 】 10.95% 11.29% YoY： Income tax rate effect：+0.10% Non-operating rate effect：+0.29% Operating expense rate effect：-0.50% Gross profit rate effect：+0.45% 2015 1 2016 2 Source：CSTG

  22. Slide 22: EPS (Consolidated)

    EPS (Consolidated) Unit：NT$ 3.94 4.09 4% 12015 22016 Shares：3.2414 billion shares Source：CSTG Financial Report We Deliver Performance TM 21

  23. Slide 23: Revenues by Subsidiary

    Revenues by Subsidiary CSV OTHERS CSTC 4% 11% 21% CSTZ 6% CSTS 6% XCS 17% CSTP 10% MIT CST 11% 14% Source：CSTG Financial Report (2016) We Deliver Performance TM 22

  24. Slide 24: Revenues by Product

    Revenues by Product OTHERS BC 12% PCR 6% 44% TUBE 7% MC 14% TBR 17% Source：CSTG Non-audited Financial Report (2016) We Deliver Performance TM 23

  25. Slide 25: Revenues Analysis

    Revenues Analysis Revenues by Region Revenues by Currency M. East & Africa Europe VND OTHERS THB 3% 3% Taiwan 6% 5% NTD 5% 6% 6% America 12% China RMB 57% USD 14% 57% 26% Asia Pacific Sales more than 180 countries Source：CSTG Non-audited Financial Report (2016) We Deliver Performance TM 24

  26. Slide 26: Revenues by Domestic & Foreign Sales

    Revenues by Domestic & Foreign Sales Domestic Sales 外銷(Foreign Sales) Foreign Sales 內銷(Domestic Sales) 31.9% 32.5% 67.4% 67.9% 79.1% 79.4% 96.0% 100.0% 100.0% 100.0% 69.2% 68.1% 67.5% 30.8% 32.6% 32.1% 20.9% 20.6% 4.0% MIT CST CSV CSTE XCS CSTC CSTP CSTF CSTS CSTZ CSTG Source：CSTG Non-audited Financ

  27. Slide 27: Revenues by OE & RE Customer

    Revenues by OE & RE Customer OE OE RE RE 36.8% 52.9% 62.0% 56.7% 78.9% 79.7% 91.5% 96.8% 100.0% 100.0% 71.8% 63.2% 47.1% 38.0% 43.3% 21.1% 20.3% 28.2% 8.5% 3.2% CSTC CSTZ XCS CSTF CSV CSTS CST MIT CSTP CSTE CSTG Source：CSTG Non-audited Financial Report (2016) We Deliver Performance TM 26

  28. Slide 28: Production Configuration

    Production Configuration CST XCS CSTC CSTP CSTF MIT CSTE CSV CSTS CSTZ PCR ◎ ◎ ◎ ◎ ◎ TBR ◎ ◎ ◎ ◎ MC ◎ ◎ ◎ ◎ ◎ BC ◎ ◎ ◎ ◎ TUBE ◎ ◎ ◎ OTHERS ◎ ◎ ◎ ◎ ◎ ◎ Base Date：2016-12-31 We Deliver Performance TM 27

  29. Slide 29: Production Capacity

    Production Capacity Unit：thousand pcs / day OTHERS：83 TBR：21 PCR：180 TUBE：528 Total：1,447 MC：229 • TUBE：內胎 • BC：自行車外胎 • MC：機車外胎 • PCR：輻射層汽車外胎 • TBR：輻射層卡車外胎 BC：406 • OTHERS：其他 Base Date：2016-12-31 We Deliver Performance TM 28

  30. Slide 30: P.T Maxxis International Indonesia Plant

    P.T Maxxis International Indonesia Plant We Deliver Performance TM 29

  31. Slide 31: Maxxis Rubber India Plant

    Maxxis Rubber India Plant We Deliver Performance TM 30

  32. Slide 32: Thanks for coming and kindly appreciate your support

    Thanks for coming and kindly appreciate your support. CST website：http://www.cst.com.tw/ We Deliver Performance TM 31

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