Bawan Co. · TADAWUL:1302

Bawan — YTD June 2020 Earnings Presentation

23 slides from Bawan's earnings presentation, June 2020

  1. Slide 1: Earnings Presentation YTD June-2020

    EARNINGS PRESENTATION YTD JUNE-2020

  2. Slide 2: Basis of Every Building

    BASIS OF EVERY BUILDING ae =e Q =]

  3. Slide 3: Disclaimer

    DISCLAIMER This presentation has been prepared solely for use as earnings presentation of Bawan Company (or “The Group”). By attending or by reading this presentation, you agree to be bound by the following limitations: • The information contained in this presentation is for background purposes only

  4. Slide 4: COVID-19 Update

    COVID-19 UPDATE • As the COVID19- situation is still fluid and evolving, currently it is difficult to measure the complete extent and duration of the economic impact. Possible effects of the outbreak of COVID-19 may include, but are not limited to, disruption to the Group’s operations, its revenue a

  5. Slide 5: Who We Are

    WHO WE ARE We are serving in five sectors: 1. Metal 2. Wood 3. Electric 4. Plastic 5. Concrete 5 • EARNINGS PRESENTATION • Bawan 2020©

  6. Slide 6: Group Structure

    GROUP STRUCTURE BAWAN COMPANY RIYADH 95% 95% 100% 100% 56.75% 100% Bawan Wood Ind. United Wood and Metal Bawan Metal Ind. KSA Bawan Eng Ind. Bina Holding Arnon Dammam Riyadh Riyadh Riyadh Dammam 95% 5% 100% 100% Inma Pallets Effective Bina Readymix Jubail Ownership Dammam 100% 85.5% 93.20% Al Raya U

  7. Slide 7: Our Operating Factories Locations

    OUR OPERATING FACTORIES LOCATIONS Kuwait Jubail Ras Al-khaymah Dammam Metal Wood Yanbu Electricity Concrete Plastic Jeddah Riyadh 7 • EARNINGS PRESENTATION • Bawan 2020©

  8. Slide 8: Our Major Clients Expect High Standards

    OUR MAJOR CLIENTS EXPECT HIGH STANDARDS 8 • EARNINGS PRESENTATION • Bawan 2020©

  9. Slide 9: Key Highlights

    KEY HIGHLIGHTS On February 11,2020, one of the plastic sector factories caught fire which resulted in damage to assets having a net book value of SR 17.69 million. The plastic sector has insurance coverage of SR 42.36 million against a loss caused by such an incident and to compensate for losses due

  10. Slide 10: Vision, Mission, Business Case

    VISION MISSION Bawan strives to become the leading group in the To enhance Bawan›s customers loyalty by providing market- Kingdom of Saudi Arabia and the Middle East in the leading and innovative products and services, through its existing building materials sector. sectors and new sectors in the fu

  11. Slide 11: Financial Perspective

    FINANCIAL PERSPECTIVE 11 • EARNINGS PRESENTATION • Bawan 2020©

  12. Slide 12: Operation Evolution

    OPERATION EVOLUTION REVENUE GROSS PROFIT 1,200M 140M 139.2 1,163 130.1 1,000M 120M 1,116 988 800M 100M 96.3 600M 80M 0 0 YTD June 2018 YTD June 2019 YTD June 2020 YTD June 2018 YTD June 2019 YTD June 2020 Revenue Gross Profit NET INCOME EBITDA 40M 100M 30M 80M 87.7 30.7 79.9 20M 60M 18.1 56.6 15.6 40

  13. Slide 13: Margins Evolution

    MARGINS EVOLUTION 20% GROSS PROFIT MARGIN EBITDA MARGIN 10% 15% 8% 7.5% 11.7% 12.0% 7.2% 10% 6% 9.7% 5.7% 5% 4% 0 0 YTD June 2018 YTD June 2019 YTD June 2020 YTD June 2018 YTD June 2019 YTD June 2020 4% NET INCOME MARGIN EPS 0.8 3% 0.6 2.6% 0.51 2% 0.4 1.6% 1.6% 0.30 1% 0.2 0.26 0 0 YTD June 2018 YT

  14. Slide 14: Returns and Liquidity

    RETURNS AND LIQUIDITY RETRUN ON EQUITY RETRUN ON ASSETS RETURN ON CAPITAL EMPLOYED 8% 2% 2.5% 1.7% 2.3% 6% 1.5% 2% 6.0% 4% 1% 1.5% 4.3% 1.2% 1.6% 2% 0.5% 1% 0% 0% 0.5% FY 2019 June 30, 2020 * FY 2019 June 30, 2020 * FY 2019 June 30, 2020 * CURRENT RATIO OPERATING CASH FLOWS** 2 100M 96.7 1.5 80M 84.

  15. Slide 15: Assets and Liabilities

    ASSETS AND LIABILITIES TOTAL ASSETS TOTAL LIABILITIES 1,600M 1,000M 719.1 1,400M 750M 698.7 1,383.2 1,418.8 1,200M 500M 382.8 370.8 353.7 314.9 1,000M 250M 155.3 103.8 869.7 845.8 800M 0 December 2019 June 2020 December 2019 June 2020 Current Non Current Account Loans Other Non-liabilities Payable C

  16. Slide 16: Group Segments

    GROUP SEGMENTS SEGMENT REVENUE SEGMENT PROFIT 1,000M 60M 50.8 775.0 801.4 29.6 750M 727.9 40M 24.6 500M 20M 16.6 8.1 0.8 250M 0M 143.7 158.6 134.2 149.8 129.7 69.4 95.4 81.9 (3.4) (5.4) (9.0) 0 (20M) (14.2) (18.6) YTD June 2018 * YTD June 2019 YTD June 2020 YTD June 2018 YTD June 2019 YTD June 2020

  17. Slide 17: Leverage Level

    LEVERAGE LEVEL LIABILITIES BREAKDOWN 13% 17% Loans 25% 20% Account 62% 63% Payable Other DECEMBER 2019 JUNE 2020 LEVERAGE DEBTS TO TOTAL ASSETS 2.3M 45% 2.2M 44% 2.2 2.1M 43% 2.1 43% 43% 2.0M 42% 1.9M 41% December 2019 June 2020 December 2019 June 2020 17 • EARNINGS PRESENTATION • Bawan 2020©

  18. Slide 18: Appendix

    APPENDIX 18 • EARNINGS PRESENTATION • Bawan 2020©

  19. Slide 19: Summarized Cash Flows

    SUMMARIZED CASH FLOWS June 30, 2018 June 30, 2019 June 30, 2020 SR’000 SR’000 SR’000 Operating cash flows* 60,059 84,060 96,748 Investing cash flows (21,016) (224,615) (26,192) Financing cash flows 19,141 36,103 436 * Before working capital changes. 19 • EARNINGS PRESENTATION • Bawan 2020©

  20. Slide 20: Statement of Income

    STATEMENT OF INCOME June 30, 2018 * June 30, 2019 June 30, 2020 SR’000 SR’000 SR’000 Revenue 988,123 1,115,977 1,162,756 Cost of sales )891,796( )985,854( )1,023,598( Gross profit 96,327 130,123 139,158 Selling and distribution expenses )23,641( )40,737( )35,891( Administrative expenses )48,348( )53

  21. Slide 21: Balance Sheet

    BALANCE SHEET December 31, 2019 June 30, 2020 SR’000 SR’000 Property, plant and equipment 827,763 807,252 Right-of-use assets 21,857 20,658 Goodwill and other intangible assets 15,880 14,356 Other non-current assets 4,230 3,554 Total non-current assets 869,730 845,820 Inventories 526,663 540,740 Tra

  22. Slide 22: Q&A

    Q&A 22 • EARNINGS PRESENTATION • Bawan 2020©

  23. Slide 23: Thank You

    THANK YOU ulg Wi oN XZ Ba an

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