Pt Inocycle Technology Group Tbk · IDX:INOV
Pt Inocycle Technology Group Tbk — Investor Presentation (June 2021)
40 slides from Pt Inocycle Technology Group Tbk's investor presentation, Jun 17, 2021
Slide 1: Invest for Our Future
INVEST FOR OUR FUTURE PT Inocycle Technology group Tbk (“INOV”) a Clean-Tech Company Investor Presentation FY2020 Performance As of 17th June, 2021
Slide 2: Discussion Points
Discussion Points Background Financial highlights FY2020 Inocycle – Hilon Group Market Opportunities Products Invest in INOV Production Process & Plants ESG Aspect
Slide 3: Background
01 Background
Slide 4: Sustainable Lifestyle Initiative
Sustainable Lifestyle Initiative Background Objectives Indonesia is a second largest plastic polluter in the world 01 Promotes Sustainable 01 Lifestyle which in line with SDGs Lack of awareness of recycling lifestyle in Indonesia 02 02 Increase recycling rate in Indonesia INOV needs more PET Bottles
Slide 5: Why Indonesia Needs INOV?
Why Indonesia Needs INOV? According to Indonesian Ministry of Environment and Forestry (KLHK) Indonesia is the second largest Unethical waste: in 2020, Indonesia produces : producer of plastic waste in the the involvement world yet still imported plastic 186K tons 68 million per year tons waste from
Slide 6: INOV Production Process: From Trash to Re-PSF
INOV Production Process: From Trash to Re-PSF PET bottles Clean bottles as Flaked Recycled Polyester waste raw materials bottles Staple Fiber (Re-PSF) PT Inocycle Technology Group Tbk |6
Slide 7: Inocycle – Hilon Group
02 Inocycle – Hilon Group
Slide 8: Hilon Indonesia Journey
Hilon Indonesia Journey In 1970, Mr. Jung Hyo Choi, the founder of HILON, successfully made Hilon as a well- known brand in the nonwoven industry in Korea and listed on the Korean stock exchange (KOSDAQ). Hilon Indonesia was established in 1989. In 1997, HILON like many other companies, suffered dur
Slide 9: INOV's Journey
INOV’s Journey 2001 2011 2013 2014 2016 Tangerang Karanganyar Palembang & Salatiga Karanganyar Mojokerto non-woven plant Re-PSF plant for Non-Woven & Plant Re-PSF plant & established established Homeware Expansion Bureau Veritas Certification 2018 2019 2020 2021 Mojokerto plant expansion & GRS Certi
Slide 10: Who is INOV?
Inocycle is an Indonesian Clean-Tech company that A global to Who is focuses on processing & recycling PET bottles and other solution to a INOV? plastic waste into Recycled Polyester Staple Fiber. local problem. Turning waste Established in 2001, under the name of PT Hilon Felt (subsidiary of into a
Slide 11: Vision and Mission
VISION “To become the Biggest Sustainable Eco-friendly Recycled Fiber Company that produces world-class quality product.” MISSION • To produce world class eco polyester fiber with industry professionals • To expand business through ‘PlasticPay’ throughout Indonesia on an ongoing basis. • To provide
Slide 12: Management Team
Management Team COMMISSIONERS Jung Hyo Choi Dr. Ir. Widhyawan Prawiraatmadja President Commissioner Independent Commissioner • Also served as Commissioner of PT Hilon Indonesia • Has held several senior positions in the Government, SOEs, • Previously held several important positions in Korean or mul
Slide 13: INOV Business Model
INOV BUSINESS MODEL Collection of waste PET crushed into stretched into Washing Flakes Re-PSF continue to be processed into: Non-Woven Homeware Automotive Geotextile Padding Insulation Pillow Blanket PT Inocycle Technology Group Tbk | 13
Slide 14: Shareholder's Composition
Shareholder’s Composition 99,99% PT Hilon Indonesia PT Samudera Industri Sandiana Soemarko Public 45.54% 20.83% 11.24% 22.39% PT Urecel Indonesia PT Plasticpay Teknologi Daurulang 45.80% 19.96% Number of shares: 1,808,221,900 As of May 2021 PT Inocycle Technology Group Tbk | 14
Slide 15: Company's Associates
Company’s Associates PT Urecel Indonesia PlasticPay: Digital-Based Social Platform PT Urecel Indonesia provides Urecel Quickdry, a PlasticPay is a Digital Based Social Platform Company, remarkable substance with many superior invites Community and Corporation to transform their qualities, technicall
Slide 16: INOV's Products
03 INOV’s Products
Slide 17: Main Product: Eco-friendly Fiber
Main Product: Eco-friendly Fiber The Derivative Products: Recycled Polyester Staple Fiber (Re-PSF), a synthetic ✓ Highest quality Re-PSF fiber from recycled PET similar to virgin grade bottles waste. It is an ✓ Anti-Static effective way to utilize the ✓ Anti-Bacterial ✓ Flame retardant waste since P
Slide 18: Product: Non-Woven
Product: Non-Woven INOV produces various types of Non- Woven products such as Padding, Needle Punch, Geotextile, Thermal bonding, etc. Our products are used as an essential raw materials in various industries such as garment, bedding The product has several types including AR, FA, Hal, HDP, goods, c
Slide 19: Product: Homeware
Product: Homeware INOV also produces several Home Appliances (Homeware) made from Re-PSF. This is the result of INOV's business vertical integration which has included downstream and upstream channels in integrated PSF production. Pillows, Bolsters, Mattresses, Blankets, Bed Covers, Carpets, Quilt,
Slide 20: INOV's Products Application
INOV’s Products Application Consumer products that can be produced Re-PSF Non-woven Homeware As stuffing for your plushies, As geotextile for constructions, car As bedding products like jackets, shoes, etc. paddings, etc. pillows, blankets, etc. Re-PSF plant Non-Woven plant Homeware plant • Tangeran
Slide 21: INOV's Production Process & Plants
04 INOV’s Production Process & Plants
Slide 22: From PET Bottle to Re-PSF
From PET Bottle PET Bottle Recycle Operation to Re-PSF PET (Polyethylene terephthalate) bottles, are plastic bottles that Waste PET Sorting Crushing Washing Bottle Flake are commonly used to store beverages. Staple Fiber Production Drying Spinning Stretching Setting & Cutting Bale Packing PT Inocycl
Slide 23: INOV's Washing Facilities & Plants
INOV’s Washing Facilities & Plants Raw Material KARANGANYAR PALEMBANG TANGERANG MOJOKERTO SALATIGA Plastic flakes PLANT(S) Solo, Central East Java Central Java South Banten Java Sumatra Re-PSF Non-Woven Homeware Capacity 10,200 10,200 13,200 2,000 2,000 Washing facilities (Tons) • Solo, Central Java
Slide 24: ESG (Environmental, Social, Governance)
05 ESG (Environmental, Social, Governance)
Slide 25: INOV received The Sustainability Certification on ESG from The Planet Mark
INOV received The Sustainability Certification on ESG from The Planet MarkTM INOV just received the renewal of The Planet Mark Certification in 2021, valid until March 31, 2022. INOV’s achievements in The Sustainability Certification during 2020: Processing 3 billions of plastic bottles waste into r
Slide 26: Progress Made Towards UN SDGs
Progress Made Towards UN SDGs Sustainability certification which we attained by measuring and reducing our carbon footprint from The Planet Mark, can directly and measurably contribute to up to 7 SDGs addressing 25 SDG. INOV is currently contributing to 9 SDGs and 18 SDG Targets PT Inocycle Technolo
Slide 27: INOV Position
INOV Position A global solution to a local problem. Turning CIRCULAR INOV applies the circular economy waste into a resource. Invest ECONOMY concept, production with caring about the PROVIDER in our future. environment : USER MANUFACTURE MATERIAL PT Inocycle Technology Group Tbk | 27
Slide 28: PlasticPay
PlasticPay Moving The Circular Economy Together PlasticPay creating more sustainable Here are some of PlasticPay’s efforts in community with responsible consumption. moving the circular economy: Moving the circular economy through multi- party collaborations and partnerships. Involving the Raising t
Slide 29: Financial Highlight FY2020
06 Financial Highlight FY2020
Slide 30: Summary of Profit & Loss 2020
Summary of Profit & Loss 2020 Net Sales (IDR bn) Gross Profit (IDR bn) Operating Income (IDR bn) 107 -1.4% +4.8% 519 50 92 91 CAGR: +13.3% 495 72 73 +25.0% 26 27 -53.8% 15 12 396 +20.8% +4.0% 315 327 2016 2017 2018 2019 2020 2016 2017 2018 2019 2020 Net Profit (IDR bn) We attributed the declining pe
Slide 31: Balance Sheet & Key Financial Ratios 2020
Balance Sheet & Key Financial Ratios 2020 Asset (IDR bn) Liabilities (IDR bn) Equity (IDR bn) 797 489 331 308 691 406 573 360 414 240 264 166 375 135 150 2016 2017 2018 2019 2020 2016 2017 2018 2019 2020 2016 2017 2018 2019 2020 Margin Trend Financial Ratios 27.0% Ratio 2018 2019 2020 22.8% 22.2% 18
Slide 32: Revenue by Products & Market
Revenue by Products & Market By Product By Market Segment 0.4% 0.8% 5.7% 10.9% 16% 18% 16.0% 17.7% 2019 2020 2019 2020 70.6% 77.9% 84% 82% Fiber Non-woven Products Homeware Products Others Export Local ▪ Fiber products slightly contracted by 4.9% YoY, due to decrease in Virgin PSF’s price and lockdo
Slide 33: Market Opportunities
07 Market Opportunities
Slide 34: Market Opportunities
Market Opportunities* Estimated Indonesia Non-Woven Automotive Global Polyester Staple Fiber (PSF) Consumption Forecast Consumption (in Kilotons) (in thousands of Kilotons) 23.5 22.4 21.4 20.4 18.7 19.5 17.0 17.8 15.5 16.2 21.4 17.6 14.4 10.6 2012 2015 2018 [E] 2022 [E] 2016 2017 2018 2019 2020 2021
Slide 35: Market Opportunities
Market Opportunities* Polyester Contributed 77% of the Total Non-Woven Upholstery/Beddings Apparel Material Consumption 1.50% Polyester Nylon 8.60% Arcylic Others 12.90% 34.4 27.1 27.9 22.7 77% 2012 2015 2018 [E] 2022 [E] Source : www.fibre2fashion.com, Shinhan Sekuritas Indonesia, Source : Company,
Slide 36: Recycling Trend
Recycling Trend* Big companies move in recycling trend 2030 Global Polyester Staple Demand of Fiber(PSF) Market : recycled PET $ 39.3 B by 2025, 50% recycled CAGR of 6.3% 2025 content 100% renewable and recycled 2020 100% rPET (2024) 100% recyclable, 100% recyclable reusable or compostable or reusab
Slide 37: How Do We Invest for a Better Future?
09 How Do We Invest for a Better Future?
Slide 38: Invest in INOV
INVEST IN INOV 01 02 03 04 05 INOV is The Only Indonesian ESG & GRS Plastic Bottles The Largest Re- Comprehensive Environmental- Certified by Recycling PSF Producer in Business Model Minded Global Companies in Indonesia & Value Chain Company Institutions Indonesia Stock Market The first waste plasti
Slide 39: Disclaimer
DISCLAIMER The information contained in this presentation material has been taken from sources which we deem reliable. However, none of PT Inocycle Technology Group Tbk and/or its affiliated companies and/or their respective employees makes any representation or warranty (express or implied) or acce
Slide 40: Invest for a Better Future
PT INOCYCLE TECHNOLOGY GROUP Tbk Kawasan Industri Pasar Kemis Jl. Putera Utama No. 10, Ds. Suka Asih Kec. Pasar Kemis, Kab. Tangerang 15560 Banten, Indonesia Invest for (021) 590 9629 ir_inov@yahoo.com (investor relations: Kartika/F. Dion) a Better info@inocycle.com www.inocycle.com Future @inocycle
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