Slide 1: Powered by Twin Engines: 2Q18 Corporate Update & Financial Results
(Company No.: 7867-P) Powered by Twin Engines Corporate Presentation 2Q18 Corporate Update & Financial Results 22 March 2018 IR Adviser
Slide 2: Operations Review & Growth Plans
Powered by Twin Engines OPERATIONS REVIEW & GROWTH PLANS
Slide 3: Operations Review: Overview
Operations Review Growth Strategies Financial Highlights Investment Merits Appendix Powered by twin-core business model… to benefit from burgeoning regional manufacturing sector and strong demand for affordable property in Malaysia 28%* 72%* Property Manufacturing Development Annual Output Product R
Slide 4: Operations Review: Manufacturing
Operations Review Growth Strategies Financial Highlights Investment Merits Appendix Recording double-digit growth in 1H18 sales performance… rising export contribution as Group continues to secure new customers in the region Manufacturing Segment Revenue (RM ‘m) EBITDA (RM ‘m) • 1H18 revenue grew 16
Slide 5: Growth Plans: Manufacturing
Operations Review Growth Strategies Growth Strategies Financial Highlights Investment Merits Appendix USD25 mil investment in US stretch film plant commenced operations in Jan 2018… Commenced operations of new stretch film manufacturing plant in Phoenix, Arizona, U.S. • First extruder machine with
Slide 6: Growth Plans: Manufacturing (KHPI acquisition)
Operations Review Growth Strategies Growth Strategies Financial Highlights Investment Merits Appendix Recent acquisition of KHPI set to enlarge Scientex’s regional clientele comprising major F&B and FMCG brands… expect to complete transaction in the first half of CY2018 KHPI is one of the leading fl
Slide 7: Operations Review: Property Development
Operations Review Growth Strategies Financial Highlights Investment Merits Appendix Seeing higher revenue recognition from enlarged scale of ongoing developments… unbilled sales of approximately RM500m to be recognized over three years Property Development Segment Revenue (RM ‘m) EBITDA (RM ‘m) • 1H
Slide 8: Growth Plans: Property Development
Operations Review Growth Strategies Financial Highlights Investment Merits Appendix Recent landbanking to sustain future launches for next 10 years… Recent land acquisition announcements Location: Rawang, Selangor Size: 65.3 acres Location: Ipoh (Meru & Klebang), Cost: RM85.4 mil Perak Acquired: 2H
Slide 9: 2Q18 Financial Review
Powered by Twin Engines 2Q18 FINANCIAL REVIEW
Slide 10: 2Q18 Income Statement Summary
Operations Review Growth Strategies Financial Highlights Investment Merits Appendix 2Q18 performance demonstrated sustained uptrend… growth mainly attributed to higher exports and increased sales of affordable properties 2Q18 2Q17 Change RM'mil 1H18 1H17 Change Remarks Revenue growth a ttri buted to
Slide 11: Revenue & EBITDA Segmentation
Operations Review Growth Strategies Financial Highlights Financial Highlights Investment Merits Appendix Seeing all-round growth in Group’s 1H18 performance… 1H17 Group Revenue: RM1,120.9 mil 1H18 Group Revenue: RM1,293.4 mil +11.7% +16.9% 29.4% yoy 28.4% yoy 70.6% 71.6% 1H17 Group EBITDA: RM182.0 m
Slide 12: Financial Review: Manufacturing
Operations Review Growth Strategies Financial Highlights Investment Merits Appendix Enlarging contribution from manufacturing segment as Group continues to fill up newly expanded capacities… Manufacturing Revenue & Gross Margin RM’m 14.6% Manufacturing segment revenue growth driven mainly by 11.0% 1
Slide 13: Financial Review: Property Development
Operations Review Growth Strategies Financial Highlights Investment Merits Appendix Group continues to expand scale of development… delivering consistent growth on the back of strong demand for affordable properties Revenue & Gross Margin RM’m 47.0% 44.4% 44.2% 42.3% 38.5% 39.7% 40.4% 39.5% Property
Slide 14: Balance Sheet (Highlights)
Operations Review Growth Strategies Financial Highlights Investment Merits Appendix Strong operational cashflow to reduce borrowings and fund future plans… As at As at Balance Sheet (RM ‘000) Remarks 31.1.2018 31.7.2017 Property, Pl a nt & Equi pment 1,016,180 1,012,570 Inves tment Property & Other
Slide 15: Investment Merits
Powered by Twin Engines INVESTMENT MERITS
Slide 16: Dividend History
Operations Review Growth Strategies Financial Highlights Investment Merits Appendix Group has dividend policy of minimum 30% net profit payout… RM’mil 74.0% Dividend History 49.2% 48.0% 49.8% 52.1% 36.6% 36.1% 33.4% 35.9% 31.4% 26.6% 28.7% 28.8% 32.1% 31.7% 30.7% 30.2% 5.9 14.2 17.2 10.8 19.4 25.8 3
Slide 17: Thank You
Powered by Twin Engines Thank You • Contacts: • Ms. Jocelyn Ng jocelynbnng@scientex.com.my T: 03-5524 8888 / 03-5519 1325 • Ms. Julia Pong julia@aquilas.com.my T: 03-2711 1391