Nanofilm Technologies International Ltd. · SGX:MZH
Nanofilm Technologies International — FY2022 Earnings Presentation
19 slides from Nanofilm Technologies International's earnings presentation, February 2023
Slide 1: FY2022 Results Announcement
NANOFILM TECHNOLOGIES INTERNATIONAL FY2022 Results Announcement February 2023
Slide 2: Important Notice
IMPORTANT NOTICE This presentation is for information purposes only and does not constitute or form part of an offer, invitation or solicitation of any offer to purchase or subscribe for any securities of Nanofilm Technologies International Limited (the “Company”) in Singapore or any other jurisdict
Slide 3: FY2022 Overview
1 | FY2022 OVERVIEW
Slide 4: FY2022 At a Glance: Persistent macro challenges in 2H2022
FY2022 At a Glance: Persistent macro challenges in 2H2022 0% FY2022 81 157m 13% S$ m S$ 8% FY2022 -16% YoY as at 31 Dec 2022 S$ m 237 ADJUSTED EBITDA TOTAL CASH BALANCE (1) -4% YoY FY2022 79% S$ m 44 2.2₵ 5.0m per ordinary share ordinary shares AMBU NFBU IEBU Sydrogen -30% YoY 0.8% of total outstand
Slide 5: FY2022 Highlights
2 | FY2022 HIGHLIGHTS
Slide 6: FY2022 Report Card
FY2022 Report Card PERSISTENT MACRO HEADWINDS AFFECTING BUSINESS FY2022 Performance • Geopolitical tensions affected supply chain • Inflationary pressures increased business costs • Rising interest rates affecting consumer sentiments & demand S$ 237m (-4% YoY) Revenue • COVID-19 Impact (1) o Supply
Slide 7: FY2022 Revenue Breakdown
FY2022 Revenue Breakdown (in S$m) ▪ Group revenue declined 4% YoY to S$237m 247 30 0 25 0 237 o Significant drop in external sales of industrial equipment due to customers’ capex shift and REVENUE 150 126 20 0 15 0 (+7% YoY) (-16% YoY) delayed capex spend 10 0 o Slightly lower revenue contribution f
Slide 8: Business Outlook
3 | BUSINESS OUTLOOK
Slide 9: Our Growth Strategy: Recap of our focused key strategic areas
Our Growth Strategy: Recap of our focused key strategic areas GEOGRAPHICAL DIVERSIFICATION & JOINT VENTURES / COVERAGE M&A STRATEGIC AREAS NEW SEGMENTS WITH $ R&D AND ENGINEERING CAPABILITY & PRODUCT PRODUCT DEVELOPMENT EXPANSION Note: Updates will be provided on a periodic basis 8 | CONFIDENTIAL
Slide 10: Our Growth Strategy: Recap of our targets & latest progress
Our Growth Strategy: Recap of our targets & latest progress Geographical New Segments Joint Ventures / R&D and STRATEGIC $ with Capability & Engineering Product Diversification & M&A AREAS Coverage Product Expansion Development TARGETS ▪ Japan: set up coating services facility ▪ Greener solutions to
Slide 11: FY2023 Business Outlook: Focused on executing our strategies
FY2023 Business Outlook: Focused on executing our strategies MACRO ENVIRONMENT • Ongoing geopolitical tensions, inflationary pressures, rising interest rates and recessionary fears • COVID-19 risks are generally receding, Group is cautiously optimistic that operational risks & costs associated with
Slide 12: Supplemental Info
| SUPPLEMENTAL INFO
Slide 13: Investing in Technology & Innovation: Continued R&D spend
Investing in Technology & Innovation: Continued R&D spend R&D and Engineering Expenses (1) (in S$m) 30 7.7% 10 .0% 7.1% 25 5.9% 18 5.0 % 17 20 3 3 15 13 0.0 % 2 10 15 15 -5.0% 5 11 - -10.0 % FY2020 FY2021 FY2022 R&D & Engineering D&A Total R&D & Eng as % of revenue (%) R&D and Engineering expenses,
Slide 14: Operating Expenses Review: Investing for future growth
Operating Expenses Review: Investing for future growth Operating expenses breakdown 17.9% 13.6% 13.2% ▪ Increased in Admin and Sales expenses considered 20 .0% 50 .0 as investments for future growth 15 .0% 10 .0% 40 .0 Admin (3) ▪ Increases in Admin (corp HQ, corp functions) 5.0 % 30 .0 0.0 % 20 .0
Slide 15: Sustainable Cash Flow Generation
Sustainable Cash Flow Generation Strong operating cash flow Net cash balance as at 31 Dec 2022 (in S$m) (in S$m) OCF 25 0 51 before WC, 20 0 interest & taxes 4 97 15 0 5 41 8 10 0 211 16 79 50 110 7 0 0 Total cash & Capex Investment Current Non-current Net cash liquid assets in Associate debt debt (
Slide 16: AMBU: Dampened end-consumer demand affecting 3C
AMBU: Dampened end-consumer demand affecting 3C Financial performance (in S$m) YoY drop 4% 25 0 20 0 Margins Margins 15 0 10 0 194 41% 187 36% 80 68 50 - FY2021 FY2022 Revenue Adjusted EBITDA Key operating data 2021 2022 Coating equipment (no.) (1) 235 243 Inline coating equipment (no.) (2) 4 4 Equi
Slide 17: NFBU: Continued ramp-up of mass production projects
NFBU: Continued ramp-up of mass production projects Financial performance (in S$m) YoY growth 145% 20 18 16 14 Margins 12 19 33% 10 8 Margins 2% 8 6 6 4 0 2 - FY2021 FY2022 Revenue Adjusted EBITDA Source: Company information, numbers may not tie due to rounding (refer to results announcement) 16 | C
Slide 18: IEBU: Macro uncertainties delaying customers' capex spend
IEBU: Macro uncertainties and weak foreign currencies delaying customers’ capex spend Financial performance (in S$m) YoY drop 31% 50 45 40 35 Margins Margins 30 25 45 34% 20 25% 15 31 15 10 8 5 - FY2021 FY2022 Revenue Adjusted EBITDA Key operating data 2021 2022 Equipment produced (no.) (1) 76 20 Eq
Slide 19: Thank You
® NanoFilm THANK YOU al NAR Se
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