Hiap Teck Venture Bhd. · MYX:HIAPTEK
Hiap Teck Venture Bhd — Q4 FY2023 Earnings Presentation
11 slides from Hiap Teck Venture Bhd's earnings presentation, Oct 2, 2023
Slide 1: Analysts' Briefing Q4 FY2023 Performance Review
ANALYSTS’ BRIEFING Q4 FY2023 PERFORMANCE REVIEW 2 October 2023
Slide 2: Corporate Structure
CORPORATE STRUCTURE (31 July 2023) Key Operating Units 2
Slide 3: The Macro Environment
THE MACRO ENVIRONMENT MALAYSIA REAL GDP GROWTH 20.00 16.10 14.20 15.00 Ø Malaysia registered slower growth of 8.90 7.00 10.00 5.00 5.60 2.9% in 2Q 2023 after expanding 5.6% 3.60 2.90 5.00 -0.50 in 1Q due to weaker external demand. 0.00 2Q 3Q 4Q 1Q 2021 2Q 3Q 4Q 1Q 2022 2Q 3Q 4Q 1Q 2023 2Q BNM projec
Slide 4: HTVB Group Performance Review - 4Q FY23 vs 4Q FY22
HTVB GROUP PERFORMANCE REVIEW - 4Q FY23 vs 4Q FY22 (corresponding quarter) (RM’M) 4Q FY23 4Q FY22 Variance q 17% revenue growth driven by 49% volume growth Revenue 453.8 386.5 17% partly offset by lower ASP Gross Profit 41.4 17.0 144% GPM 9.1% 4.4% q Improved margins for all key entities and a rever
Slide 5: HTVB Group Performance Review - 4Q FY2023 vs 3Q FY2023
HTVB GROUP PERFORMANCE REVIEW - 4Q FY2023 vs 3Q FY2023 (preceding quarter) (RM’M) 4Q FY23 3Q FY23 Variance q 22% revenue growth driven by 32% volume growth Revenue 453.8 373.0 22% partly offset by lower ASP Gross Profit 41.4 32.4 28% q Improved margins for all key entities and a Reversal GPM 9.1% 8.
Slide 6: Performance Chart – FY2022 to 4Q FY2023
PERFORMANCE CHART – FY2022 to 4Q FY2023 HTVB GROUP : GPM & OPERATING MARGIN q Negative GPM in 1Q FY2023 was due to higher cost of inventory 11.8% and RM27.3m write-down of 10.0% 9.17% inventories to NRV 8.7% 5.2% 6% q Margins for the last 3 quarters 3.5% have since continued to improve and normalize
Slide 7: Eastern Steel Sdn. Bhd.
a Eastern Steel Sdn. Bhd. HTVB
Slide 8: ESSB Performance Review - 4Q FY2023 vs 3Q FY2023
ESSB PERFORMANCE REVIEW - 4Q FY2023 vs 3Q FY2023 (preceding quarter) (RM’M) 4Q FY23 3Q FY23 Varianc q 20% revenue growth driven by 10% volume growth e and higher ASP due to firm demand and higher ASP Volume (kMT) 219.9 200.7 10% from new export markets Revenue 673.4 563.2 20% q GPM improved to 20.2%
Slide 9: ESSB Performance Review – 4Q FY23
ESSB PERFORMANCE REVIEW – 4Q FY23 4th q Product Mix YTD Product Mix Billet, 2% Billet, 40% Slab, 60% Slab, 98% Thailand MARKET DISTRIBUTION 11% FY2023 Mexico 4% India 4% Malaysia 29% Indonesia 23% Philippine s 1% Turkey 26% Korea 3% 9
Slide 10: Outlook – Cautious but Optimistic
OUTLOOK – CAUTIOUS BUT OPTIMISTIC q THE GROUP MAINTAINED POSITIVE OPERATING MARGINS IN 4Q FY2023 TO RECORD A HIGHER PROFIT AFTER TAX OF RM42 MILLION. q ESSB’S PERFORMANCE IMPROVED AND CONTRIBUTED POSITIVELY TO THE GROUP IN THE QUARTER q ESSB ACHIEVED A SIGNIFICANT MILESTONE BY SUCCESSFULLY IGNITING
Slide 11: Thank You
THANK YOU 11