Regina Miracle International (holdings) Limited · HKEX:2199
Regina Miracle International (holdings) — H1 FY2022 Earnings Presentation
27 slides from Regina Miracle International (holdings)'s earnings presentation, Nov 29, 2021
Slide 1: Innovation Design Manufacturer: FY21/22 Interim Results Presentation
HKEX Main Board: 2199.HK The Innovation Design Manufacturer • Innovation • Speed • Quality FY21/22 Interim Results Presentation 29th November 2021
Slide 2: Agenda
Agenda 1 Business Review 2 Production Capability 3 Financial Highlights 4 Future Strategies ➢ Market Trends & Our Core Competitiveness ➢ Five-Year Plan
Slide 3: Business Review
Business Review
Slide 4: Results Highlights in 1HFY22
Results Highlights in 1HFY22 (HK$MM) 62.1% (HK$MM) 101.3% (HK$MM) 125.7% YoY YoY YoY 21.7% 24.0% 19.3% 15.9% 4,080.6 15.4% 3,456.7 980.6 11.5% 2,517.6 750.9 650.7 487.0 532.3 288.3 1HFY21 2HFY21 1HFY22 1HFY21 2HFY21 1HFY22 1HFY21 2HFY21 1HFY22 Revenue GP & GP Margin EBITDA & EBITDA Margin 68.9% (HK$
Slide 5: Results Highlights – Segment Regrouping
Results Highlights – Segment Regrouping Reclassification from 4 major segments to 6 major segments Revenue by segment Fabric Consumer Footwear masks electronics 4.2% 2.7% components 5.7% Pandemic prevention Bra pads and products moulded 10.9% products Functional 4.7% sports products Intimate wear 13
Slide 6: Segment Results
Segment Results Consumer Electronics Intimate Wear Sports Products Product Components Revenue Revenue Revenue (HK$MM) 2,336.0 (HK$MM) (HK$MM) 111.6% 58.6% 104.0 % YoY YoY 1,036.4 YoY 232.7 1,104.0 653.5 114.1 1HFY21 1HFY22 1HFY21 1HFY22 1HFY21 1HFY22 1HFY21 1HFY22 1HFY21 1HFY22 1HFY21 1HFY22 GPM 18.
Slide 7: Segment Results
Segment Results Bra Pads and Moulded Products Footwear Fabric Masks Revenue Revenue Revenue (HK$MM) (HK$MM) (HK$MM) 373.4 63.1% 193.1 170.8 154.2 10.7% 118.4 YoY YoY 111.7 0.0 1HFY21 1HFY22 1HFY21 1HFY22 1HFY21 1HFY22 1HFY21 1HFY22 1HFY21 1HFY22 1HFY21 1HFY22 GPM 20.6% 23.5% GPM 24.6% 23.0% GPM 18.7
Slide 8: Production Capacity
Production Capacity
Slide 9: Strategic Layout of Production Facilities
Strategic Layout of Production Facilities Number of Employees as of 30 September 2021: Vietnam 40,000 / Shenzhen 6,100 Vietnam Shenzhen, China - Hài Phò ng - Vietnam Singapore Industrial Park ⚫ Continue to support China-for-China demands from brand partners Continue to satisfy demand of the export m
Slide 10: China to China: PRC Factory Relocate to Zhaoqing, Greater Bay Area
PRC Factory Relocate to Zhaoqing, Greater Bay Area • The Group has been developing new brand partners and marketing channels in the PRC and these efforts have begun to pay off • To further capture the immense growth potential of the market, the Group plans to relocate its PRC factory to Zhaoqing New
Slide 11: Financial Highlights
Financial Highlights
Slide 12: Financial Highlights
Financial Highlights Summary F1H21 F1H22 Change HK$’m Margin HK$’m Margin Revenue 2,517.6 4,080.6 +62.1% Gross Profit 487.0 19.3% 980.6 24.0% +101.3% Net (Loss)/Profit (32.4) -1.3% 254.3 6.2% NA EBITDA 288.3 11.5% 650.7 15.9% +125.7% Adjusted Net Profit* 12.1 0.5% 275.6 6.8% +2,184.1% Adjusted EBITD
Slide 13: Revenue By Segment
Revenue By Segment HK$’MM 5,000 +62.1% +104.0% +10.7% +63.1% +16.6 +58.6% +118.6 -261.8 4,080.6 +74.7 4,000 111.6 +111.6% +382.9 -70.1% 170.8 232.7 193.1 +1,232.0 3,000 1,036.4 2,517.6 373.4 4,207.2 4,325.8 2,000 154.2 4,132.5 4,064.0 114.1 118.4 3,749.6 653.5 2,517.6 2,336.0 1,000 1,104.0 0 F1H21 I
Slide 14: Gross Profit
Gross Profit F1H21 F1H22 Gross Profit Margin 19.3% 24.0% HK$’MM 1,200 980.6 800 Gross Profit 487.0 400 0 F1H21 F1H22 14
Slide 15: Gross Profit By Segment
Gross Profit By Segment Gross Profit Margin (%) Bra Pads and Intimate Wear Sports Products Moulded Products HK$MM HK$MM HK$MM 900 18.7% 24.4% 600 18.6% 23.5% 150 20.6% 23.5% 600 569.9 400 100 243.4 300 200 50 45.4 206.7 121.5 24.4 0 0 0 F1H21 F1H22 F1H21 F1H22 F1H21 F1H22 CE Components Footwear Fabr
Slide 16: Operating Expenses and Finance Costs
Operating Expenses and Finance Costs Operating Expenses to Total Revenue % of Total Revenue F1H21 F1H22 Distribution and Selling 2.5% 2.2% General and Administrative 11.8% 9.8% Research and Development 3.6% 3.0% F1H22 15.0% Operating Expenses 17.9% 15.0% Finance Costs 2.5% 1.6% F1H21 17.9% One-off R
Slide 17: Turnover Days and Gearing Ratio
Turnover Days and Gearing Ratio As at 30 September 2021 Trade Receivables Trade Payables Turnover Turnover 58 30 Days Days Average trade receivables / Average trade payables / Revenue * 183 days Cost of Sales * 183 days Net Gearing Ratio 110.4% as calculated by net debt divided by total equity. 17
Slide 18: Future Strategies
Future Strategies ➢ Market Trends & Our Core Competitiveness ➢ Five-Year Plan
Slide 19: Insights on Market Trends
Insights on Market Trends Product category opportunities driven Global Market by changing consumer demand Landscape Metaverse Intimate Wear Sport Products Consumer Electronics US and Europe Products Markets Gradually Recovering Functionality Increasing Innovation Market for Demand Comfort Eco-friend
Slide 20: Our Core Competitiveness
Our Core Competitiveness 1 Well-established technological barriers Over900 Brand R&D talents protection Continuous upgrade of our core proprietary technologies Manufacture Innovation Center The driving force of technological advancement Dedicated R&D teams for our major National High-tech brand part
Slide 21: Our Core Competitiveness: Brand matrix
Our Core Competitiveness 2 A fundamentally strong brand matrix with high growth potential Allowing multi-segment business expansion Consumer Intimate Wear Sports Electronics Brand logos redacted Long-established partnerships with top-quality brands 21
Slide 22: Our Core Competitiveness: Strategic win-win partnerships
Our Core Competitiveness 3 Strategic win-win partnerships with strong stickiness INNOVATION SPEED A trusted partner We offer ✓Unique market-leading innovative products ✓Consistent quality and timely delivery QUALITY 22
Slide 23: Our Core Competitiveness: Mature multi-regional production capacity layout
Our Core Competitiveness 4 Mature multi-regional production capacity layout Solid foundation for multi-businesses expansion China-for-China market China Production Base - focuses on China market FY2024 Zhaoqing Industrial Park To support export to support long-term business growth China growth Vietn
Slide 24: The 5-year Plan (FY2022-2026)
The 5-year Plan (FY2022-2026) Revenue: robust double-digit growth in FY22 , continue teens level growth in FY23 and FY24; steady sales growth in FY25 and FY26 Product category drivers: Planned Production Capacity - Existing facilities capacity utilization to continue increasing - Increased automatio
Slide 25: The 5-year Plan: Profitability
The 5-year Plan (FY2022-2026) High-Value Added Product Developments with better margin profile Production Efficiency Improvement • Labor skills and efficiency improvement • Increased automation Profitability • Digitization of production management target profit growth > revenue growth • Lean product
Slide 26: The 5-year Plan: Healthy Cash Flow & Financial Position
The 5-year Plan (FY2022-2026) Healthy Cash Flow & Financial Position: for long-term sustainable growth Well-controlled Improved Capital Expenditure operating cash flow from scale and efficiency gain Lowering Net Gearing Ratio 26
Slide 27: Q&A
Q&A 27
Regina Miracle International (Holdings) — H1 FY2022 Earnings Presentation on 6ix