Dksh Holdings (malaysia) Bhd. · MYX:DKSH
Dksh Holdings (malaysia) Bhd — Q3 2022 Earnings Presentation
28 slides from Dksh Holdings (malaysia) Bhd's earnings presentation, Dec 1, 2022
Slide 1: DKSH Q3 2022 Analyst and Investor Presentation
DKSH Q3 2022 Analyst and Investor Presentation Stephen Ferraby, Head Corporate Affairs & Strategic Investments and Non-Independent Non-Executive Chairman, DKSH Malaysia December 1, 2022 Delivering Growth – in Asia and Beyond. Page 1
Slide 2: Agenda
Agenda 1. About DKSH Group 2. DKSH Malaysia at a glance 3. Q3 2022 results 4. Outlook Page 2
Slide 3: About DKSH Group
1 About DKSH Group Page 3
Slide 4: DKSH Is a Successful Market Leader
DKSH Is a Successful Market Leader No. 1 2,100 clients 23 million Market Expansion Services transactions per year provider with a focus on Asia 2,000 suppliers 11.1 billion >10 years 870 Net sales (2021) business locations 4 markets average client relationship1 More than 33,100 530,000 specialists 1
Slide 5: We Support Companies to Grow Their Business In and With Asia
We Support Companies to Grow Their Business In and With Asia… • Helping companies to grow their business in new and existing markets • Providing business partners with the knowledge, advice, relationships, and on-the-ground logistics to reach their individual growth goals • Expanding their access to
Slide 6: With a Comprehensive, Tailor-Made Portfolio of Services
…With a Comprehensive, Tailor-Made Portfolio of Services Market Expansion Services goes beyond offering individual services – it is about the integration of many different services to meet the needs of business partners Distribution Market Marketing After-Sales Sourcing and Insights and Sales Servic
Slide 7: DKSH Malaysia at a Glance
2 DKSH Malaysia at a Glance Page 7
Slide 8: DKSH Malaysia at a Glance
DKSH Malaysia at a Glance More than 95 years of success in Malaysia Page 8
Slide 9: Three Specialized Business Segments
Three Specialized Business Segments Marketing & Distribution Services Logistics Services Others • Fast Moving Consumer Goods • Healthcare • Famous Amos • Food Services • Others – overheads …leading the Market Expansion Services industry with tailored solutions across the value chain Page 9
Slide 10: Marketing & Distribution Segment
Marketing & Distribution Segment Fast Moving Consumer Goods (FMCG) • Food (Nutritional products, snacks, beverages, dairy etc) • Non-food (Personal care, home care, baby and child care, consumer health etc) • Pet care Food Services • Provide customers high quality ingredients and the latest industry
Slide 11: Oatly and DKSH Expand Strategic Partnership to Malaysia
Oatly and DKSH Expand Strategic Partnership to Malaysia Oatly has expanded their partnership with DKSH to provide full-agency market expansion services for Oatly’s line of oat drinks across all trade channels as well as Food Services targeted to the HORECA (hotel, restaurant, and café) industry in M
Slide 12: Logistics Segment
Logistics Segment Healthcare • Pharmaceuticals • OTC & Consumer Health • Medical Devices Page 12
Slide 13: Partnership with LEO Pharma
Partnership with LEO Pharma DKSH and LEO Pharma have entered into an agreement to bring high- quality therapeutic products for dermatology and thrombosis to patients across Asia. Partnering in seven markets, including Malaysia, we seek to solidify brand presence, grow market share, and ultimately im
Slide 14: Acquisition of Two New Brands from Eisai
Acquisition of Two New Brands from Eisai ¹ DKSH has signed an agreement acquired two pharma brands – Myonal (muscle-relaxant) and Merislon (medicine for vertigo and dizziness associated with inner-ear disorders), from Eisai for nine markets in Asia Pacific – including Malaysia ¹ Transaction signed,
Slide 15: Others Segment
Others Segment At the end of Q3’2022, there were a total of 95 outlets located in West and East Malaysia as well as two outlets in Brunei Page 15
Slide 16: Serving International Clients
Serving International Clients… Trusted Partner for Well-Known International Brands Consumer Goods: Healthcare: Page 16
Slide 17: …and Local Brands
…and Local Brands Reliable Partner for Asian Brands In Malaysia for Malaysia Page 17
Slide 18: Q3 2022 Results
3 Q3 2022 Results Page 18
Slide 19: Q3 2022 Results
Q3 2022 Results Financials Comments (in RM millions) Q3 2022 Q3 2021 Change % • Revenue improved by 13.5% mainly due to the timing of the commencement of a major hospital tender in Logistics segment, Revenue 1,829.7 1,612.2 13.5% ongoing growth of existing clients in both Marketing and Distribution
Slide 20: Marketing and Distribution Services
Marketing and Distribution Services Financials Comments (in RM millions) Q3 2022 Q3 2021 Change % • Revenue grew by 7.2% as a result of ongoing growth of existing clients and recovery from the effects of the COVID-19 pandemic in 2021 Revenue 966.5 902.0 7.2% • This is despite short-term pressure on
Slide 21: Logistics Services
Logistics Services Financials Comments (in RM millions) Q3 2022 Q3 2021 Change % • Revenue improved by 21.3% mainly due to the timing of the commencement of a major hospital tender and growth in existing Revenue 851.8 702.4 21.3% clients • Segment profit improved 35.4% due to sales growth and improv
Slide 22: Segment – Others
Segment – Others Financials Comments (in RM millions) Q3 2022 Q3 2021 Change % • Revenue grew by 43.1% mainly due to business operations being affected by movement control order imposed by the government in Revenue 11.3 7.9 43.1% 2021 • Segment result decreased by 2.6% largely due to higher operatin
Slide 23: Cash Flows
Cash Flows Financials Comments (in RM millions) Q3 2022 Q3 2021 • Higher cash flows used in operating activities due to higher receivables from increased sales and increase stock holding in Net cash flows generated from anticipation of early Lunar New Year celebration in 2023 (27.1) 100.6 • Higher c
Slide 24: Outlook
4 Outlook Page 24
Slide 25: Outlook
Outlook • Consumer demand remains stable despite inflationary pressure with some fluctuations in relation to the current phase of recovery • Continue to focus on winning new businesses, cost efficiency improvements, working capital management, and other growth initiatives while closely monitoring th
Slide 26: Two market trends…
Two market trends… 1 Growing middle class in Malaysia 2 Trend towards outsourcing Increased spending on value-for-money consumer goods and healthcare products Investments in local infrastructure and industries …boost expansion, consumer/industrial spending as well as MES industry Page 26
Slide 27: We welcome your questions
We welcome your questions Page 27
Slide 28: Thank you for your attention
Thank you for your attention Delivering Growth – in Asia and Beyond. Page 28
DKSH Holdings (Malaysia) — Q3 2022 Earnings Presentation on 6ix