Tsc Auto Id Technology Co., Ltd. · TPEX:3611
Tsc Auto Id Technology — Q2 2019 Earnings Presentation
22 slides from Tsc Auto Id Technology's earnings presentation, Aug 16, 2019
Slide 1: Taipei Exchange (TPEx) IR meeting _ TSC (TT 3611)
Taipei Exchange (TPEx) IR meeting _ TSC (TT 3611) TSC AUTO ID TECHNOLOGY CO., LTD. 2019Q2 financial highlight Speaker: TSC CFO & spokesman vivian_chiu@tscprinters.com Date: 2019-Aug-16 TSC Auto ID Technology Co., Ltd is an ISO 9001 registered company. © 2019 TSC Auto ID Technology Co., Ltd.
Slide 2: Company Profile_ TSC (3611)
Company Profile_ TSC (3611) 2 TSC Auto ID Technology Co., Ltd is an ISO 9001 registered company. © 2019 TSC Auto ID Technology Co., Ltd.
Slide 3: About TSC
About TSC INDUSTRY LEADERSHIP ▪25 years of experience building rugged and reliable barcode printers ▪ More than 4 million barcode printers installed worldwide ▪ Acquired Printronix Thermal/AIDC Business in 2016 ▪ Top-5 global barcode printer manufacturer ▪ Significant entry into consumables business
Slide 4: Global Manufacturing Sites
Global Manufacturing Sites Li Ze Plant (TSC) Tianjin Plant (TTSC) US Plant (DLS) Country： Location Location Taiwan China China Employees： Employees： Employees： 297 165 203 Builds： Builds： Builds： Thermal printers & accessories Thermal printers Labels/ Ribbon 4 TSC Auto ID Technology Co., Ltd is an I
Slide 5: TSC's History Milestones
TSC’s History Milestones 1991 Parent company Taiwan Semiconductor (TT 5425) set up Printer Division, Acquisition of for OEM Partnership with Eltron. Plant located in I-lan DLS asset Acquisition of Printronix 2019 Thermal/AIDC Business 2007 Expansion to Russia 2016 Spin-off from parent company & Midd
Slide 6: TSC Acquires Diversified Labeling Solutions, Inc. (DLS)
TSC Acquires Diversified Labeling Solutions, Inc. (DLS) ▪Taipei, Taiwan – January 10, 2019 – TSC Auto ID Technology (TWSE: 3611.TWO), a global leader in the AIDC barcode printer industry, is pleased to announce its acquisition of Diversified Labeling Solutions, Inc. (DLS), a Leading Labeling Solutio
Slide 7: TSC_ Being an Industry solution provider
TSC_ Being an Industry solution provider Transportation Manufacturing Retail & Logistics Hospitality & Healthcare RFID Service 7 TSC Auto ID Technology Co., Ltd is an ISO 9001 registered company. © 2019 TSC Auto ID Technology Co., Ltd.
Slide 8: TSC industry solution _ Manufacturing
TSC industry solution _ Manufacturing Reduce human error, improve production line efficiency From material tracking to production process management and inventory control, bar code management systems can accurately integrate all information, effectively reduce human error, and raise production capac
Slide 9: TSC industry solution _ Warehouse and logistics
TSC industry solution _ Warehouse and logistics Improve logistics control procedures, improve operational performance The barcode management system provides all-around goods management and tracking functions, reduces human error, and improves the efficiency of entry and shipping of warehousing goods
Slide 10: TSC industry solution _ Retail
TSC industry solution _ Retail Improve work flow, increase operational efficiency Whether it's tracking products, managing inventory, printing receipts, changing price tags, or affixing special labels, TSC's sleek line of retail systems is designed to meet every need a customer may have. Application
Slide 11: TSC industry solution _Healthcare
TSC industry solution _Healthcare Greater medical safety through real-time access to correct case information With the bar code identification system you can eliminate human identification errors, and ensure accurate tracking and management of patient medical records. This prevents misdiagnosis and
Slide 12: TSC industry solution _Entertainment & Hospitality
TSC industry solution _Entertainment & Hospitality Simple operation interface streamlines ticketing and order taking TSC barcode label devices have a lightweight body and simple user interfaces, and can be used in any type of business environment. These support a variety of label styles, backgrounds
Slide 13: PRINTRONIX _Thermal and RFID Applications & Markets
PRINTRONIX _Thermal and RFID Applications & Markets Automotive Retail Distribution Manufacturing Food & Beverage • Supports strict compliance • Return labels • “Work-in-Process” tracking • Cold food printing Labeling requirements including AIAG labels • Shelf tags • Pallet Labels • Facilitates food
Slide 14: RFDI application_ Apparel retail
RFDI application_ Apparel retail Except for plain/ pre-printed labels, TSC & PTX also support textile/care Labels TSC Auto ID Technology Co., Ltd is an ISO 9001 registered company. © 2019 TSC Auto ID Technology Co., Ltd.
Slide 15: TSC AUTO ID (TT 3611)_ 2019Q2 Financial Highlight
TSC AUTO ID (TT 3611)_ 2019Q2 Financial Highlight 15 TSC Auto ID Technology Co., Ltd is an ISO 9001 registered company. © 2019 TSC Auto ID Technology Co., Ltd.
Slide 16: TSC Income statement _ (Y2015-Y2018; 2019/Q1 & Q2)
TSC Income statement _ (Y2015-Y2018; 2019/Q1 & Q2) Revenue growth: DLS revenue consolidated into TSC group since Feb. 1, 2019 (only 2 months P&L from DLS in Q1/2019) Gross Margin change: Mixed with DLS’s GM% in Q1 & Q2. DLS still have contribution to TSC’s H1/2019 operating income & EPS The Q2
Slide 17: TSC quarterly income statement _ (2019/Q1 & Q2, Qoq; Yoy)
TSC quarterly income statement _ (2019/Q1 & Q2, Qoq; Yoy) QoQ comparison (Note 1): The GM% QoQ changed due to DLS incorporation: (38.5% -> 37.1%) DLS was 100% incorporated into Q2 (vs. two-thirds recognized in Q1). Gross margin is slightly lower, but consolidated operating income still increases
Slide 18: TSC Opex comparison_ (2019/Q1 & Q2, Qoq)
TSC Opex comparison_ (2019/Q1 & Q2, Qoq) 18 TSC Auto ID Technology Co., Ltd is an ISO 9001 registered company. © 2019 TSC Auto ID Technology Co., Ltd.
Slide 19: TSC Opex comparison_ (2019/H1 & 2018/H1, Yoy)
TSC Opex comparison_ (2019/H1 & 2018/H1, Yoy) 19 TSC Auto ID Technology Co., Ltd is an ISO 9001 registered company. © 2019 TSC Auto ID Technology Co., Ltd.
Slide 20: TSC statement of cash flows _(2019/H1, Yoy)
TSC statement of cash flows _(2019/H1, Yoy) Strong/ positive cash inflow from operation supports consistent dividend payout policy Term loan repayment of NT$ 245M in 2019/H1, for CB repayment and M&A demand in Q1 Cash dividend payment of NT$385M on Aug-16, 2019 is recorded in Q2 B/S 20 TSC Aut
Slide 21: Future strategic opportunities
Future strategic opportunities Consumable (Ribbon/ Label) - Less than 3% of sales before DLS acquisition took place in Jan/ 2019. Now, Consumable sales (from DLS) accounts for nearly 30% of TSC consolidated sales. Barcode Verification - Represents great source of recurring revenue - ODV-2D is the in
Slide 22: TSC Auto ID Technology Co., Ltd is an ISO 9001 registered company. © 2019
22 TSC Auto ID Technology Co., Ltd is an ISO 9001 registered company. © 2019 TSC Auto ID Technology Co., Ltd.
TSC Auto ID Technology — Q2 2019 Earnings Presentation on 6ix