Mencast Holdings Ltd. · SGX:5NF
Mencast — Investor Presentation (May 2010)
23 slides from Mencast's investor presentation, May 11, 2010
Slide 1: Corporate Presentation: Delivering Propulsion Solutions
11-May-10 Disclaimer The information in this presentation does not constitute or form any part of an offer, invitation or recommendation to subscribe for, retain, or purchase any securities in Mencast Holdings Ltd. Information in this presentation, or anything contained in it, will not form the basi
Slide 2: Presentation Outline
11-May-10 Disclaimer Presentation Outline This presentation and its contents have been reviewed by the Company’s sponsor, CIMB Bank Berhad, Singapore Branch (“Sponsor”) for compliance with the relevant rules of the Singapore Exchange Securities Trading Limited (“SGX-ST”), this being the SGX-ST Listi
Slide 3: FY2009 Financial Highlights
11-May-10 FY2009 Financial Highlights S$’ 000 FY2009 FY2008 Change Remarks (%) • higher revenue from sterngear services Revenue 26,274 25,063 4.8 FY2009 Financial Review • lower revenue from sterngear manufacturing Gross Profit 12,439 11,285 10.2 • higher GP mainly in sterngear services Gross Profit
Slide 4: Financial Highlights
11-May-10 Financial Highlights Financial Highlights 50.0% 45.9% 47.3% Revenue 45.0% 30,000 25,063 26,274 45.0% 40.0% 25,000 35.0% 35.6% Margins are maintained 18,876 20,000 30.0% 26.8% inspite of the downturn in 13,348 29.0% 25.5% FY2008 as we managed 15,000 11,650 25.0% 20.0% 23.2% our overhead exp
Slide 5: Financial Highlights
11-May-10 $12.0 m Financial Highlights Financial Highlights $14.3 m Healthy Margin Growth • Direct materials in FY2009 and FY2008 accounted for 20.2% of Revenue and Revenue by Segments 54.4% FY2009 45.6% 26.6% of Revenue respectively compared to 38.0% and 30.5% in FY2005 and FY2006 Lower revenue for
Slide 6: Cash Flow
11-May-10 Cash Flow FY2009 FY2008 Change Cash Flow (%) Remarks S$’ 000 S$’ 000 • payment of trade & other payables Net cash generated from operating activities 6,160 6,349 (3.0) • quality of our receivables are good, no provisions required • lower amount of machinery and equipment purchased Net cash
Slide 7: Corporate Profile and Group Organizational Structure
11-May-10 Corporate Profile Group Organizational Structure Listed on SGX-ST Catalist on 25 June 2008 Mencast Holdings Ltd. Engages in two core businesses: • Sterngear Equipment Manufacturing • Sterngear Services 100% 100% 100% 100% 100% Quick Facts: Mencast Marine Mencast Engineering M.B.A. Heavy In
Slide 8: Board of Directors
11-May-10 Board of Directors Sterngear Equipment From left to right: • Ho Chew Thim • Ng Eng Ho • Sunny Wong Fook Choy • Ng Chee Keong • Sim Soon Ngee Glenndle 15 16 8
Slide 9: Sterngear Equipment Manufacturing
11-May-10 Sterngear Equipment Sterngear Equipment Manufacturing • We manufacture and supply a full range of sterngear equipment either as an integrated package or individual components, as required by our customers. • We are the leading local manufacturer in Singapore. 17 18 9
Slide 10: Sterngear Manufacturing
11-May-10 Sterngear Equipment Manufacturing Sterngear Manufacturing Degassing Pouring Melting Copper Aluminum Manganese Zinc Nickel Mixing Fettling Sand Pattern Impellers, Guide Blocks, Bearings CPP hub Assemblies Mixing, Moulding & Assembly Blade Milling Grinding Pattern Making Base Boring & Drilli
Slide 11: Casting
11-May-10 Casting Sterngear Equipment Manufacturing High-lift Rudder Assemblies Rudder Blade 21 Kort Nozzle 22 11
Slide 12: Sterngear Services
11-May-10 Sterngear Services Sterngear Services We recondition sterngear equipment, restore and repair worn out or damaged sterngear equipment to make it sea-worthy. We also refurbish or modify existing equipment to maximize its efficiency and to meet the vessel’s certification requirements. Insitu-
Slide 13: Sterngear Services and Classification Societies
11-May-10 Sterngear Services Final Calibration and Report Classification Societies Balancing of CPP Blades and Propeller • Issue Class Certificate to allow the owner to purchase insurance to sail the ship • Establishes and maintain standards for the construction and classification of ships and offsh
Slide 14: Classification Societies
11-May-10 Classification Societies Classification Societies Name Abbr Date Head office IACS EMSA Lloyd's Register of Shipping LR 1760 London Bureau Veritas BV 1828 Paris American Bureau of Shipping ABS 1862 Houston Det Norske Veritas DNV 1864 Oslo Germanischer Lloyd GL 1867 Hamburg
Slide 15: Business Outlook
11-May-10 Business Outlook Sterngear Equipment Manufacturing • Demand for new shipbuilding orders remains weak • Focus on increasing efficiency and productivity on existing order book deliveries Outlook • Optimistic outlook for longer term, bolstered by positive industry & Business Prospects dynamic
Slide 16: Growth Drivers: Business Strategies and Future Plans
11-May-10 Growth Drivers Growth Drivers Business Strategies and Future Plans Post IPO Up-date Land at Tanjong Penjuru Road (approx. 2 ha, 150m waterfront) During IPO • to establish facilities to manufacture heavy rudder assemblies and high-end • New facility at No. 12 Kwong Min Road operational in s
Slide 17: 11-May-10
11-May-10 33 34 17
Slide 18: Growth Drivers: Strategic Alliance with Becker Marine Systems
11-May-10 Growth Drivers Strategic Alliance with Becker Marine Systems • to capture new customers from Korea, Japan and China • Mencast is the preferred manufacturer of heavy rudder assemblies and high-end sterngear equipment in Asia 35 36 18
Slide 19: Growth Drivers: Strategic Alliance with Becker Marine Systems
11-May-10 Growth Drivers Strategic Alliance with Becker Marine Systems Visit to Hyundai Heavy Industries in Tuas View Circuit on 23/02/2010 Busan, Korea from 15/6/09 to 18/6/09 Include Korea Picture 37 38 19
Slide 20: Growth Drivers: Worldwide Mobile Propeller Services
11-May-10 Growth Drivers Growth Drivers Worldwide Mobile Propeller Services Acquisitions of Recon Propeller and the business of Denfon Engineering • We have a critical and emergency deployment Team • to capture new market opportunities • Ready to serve our customers at short notice for all their ste
Slide 21: Growth Drivers: CPP Propeller
11-May-10 Growth Drivers CPP Propeller Worldwide Mobile Propeller Services 41 42 21
Slide 22: Vision
11-May-10 CPP Propeller Vision Medium Term • Asia’s premium one-stop service hub for sterngear manufacturing and services, headquartered in Singapore with multiple service hubs in the region • Transfer to SGX Mainboard Long Term • One of the leading sterngear service providers for major shipping lin
Slide 23: Thank You!
11-May-10 THANK YOU! Delivering Propulsion Solutions 45 23