New Hoong Fatt Holdings Bhd. · MYX:NHFATT
New Hoong Fatt Holdings Bhd — Q2 2018 Earnings Presentation
33 slides from New Hoong Fatt Holdings Bhd's earnings presentation, August 2018
Slide 1: New Hoong Fatt Holdings Berhad 2Q 2018 Performance Update
NEW HOONG FATT HOLDINGS BERHAD (425709-K) 2Q 2018 Performance Update August 2018
Slide 2: Contents
CONTENTS 1 Corporate Profile 2 Group’s Mission 3 Overview of Corporate Structure 4 Overview of Organization Structure 5 Corporate Information 6 Overview of Corporate Strategy 7 5-Year Group Financial Summary 8 Financial Performance 2Q 2018 9 Market Outlook
Slide 3: Corporate Profile
1. CORPORATE PROFILE
Slide 4: Corporate Profile
Corporate Profile o Date of Incorporation : 2 April 1997 as a Public Company o Stock Exchange Listing : Listed on 8 June 1998 on the Second Board of Bursa Malaysia Securities Berhad (“Bursa Securities”) : Transferred to the Main Board of Bursa Securities on 2 July 2001 (now known as Main Market) o I
Slide 5: Group's Mission
2. GROUP’S MISSION
Slide 6: Mission
MISSION We provide a wide range of quality automotive parts to our customers through an integrated supply chain system
Slide 7: Corporate Structure
3. CORPORATE STRUCTURE
Slide 8: New Hoong Fatt Holdings Berhad
NEW HOONG FATT HOLDINGS BERHAD 100% owned subsidiaries Operating Divisions Investment Holding Marketing / Distribution/ Trading/ Export Manufacturing Auto Global New Hoong Auto Global MJ NJ New Hoong Fatt NHF Jhi Soon International Fatt Auto Parts Manufacturing Manufacturing Industries SB Ventures S
Slide 9: Organization Structure
4. ORGANIZATION STRUCTURE
Slide 10: Group Organization Structure
Group Organization Structure Executive Chairman Managing Director Quality International Human Resource Manufacturing Corporate Trading Assurance Procurement & Planning Domestic Overseas Operations Operations
Slide 11: Corporate Information
5. CORPORATE INFORMATION
Slide 12: Quality Statement
Quality Statement “ We are committed to supply quality automotive parts that fulfill customer satisfaction consistently through continual improvement with the use of process approach and risk-based thinking to achieve Quality Management System results in line with the “ organization strategic direct
Slide 13: Core Activities
Core Activities Automotive Parts for Replacement Market Group Business Metal Plastic Trading / Manufacturing Manufacturing Marketing
Slide 14: NHF distributes in-house and third-party automotive parts
NHF distributes: In-house automotive body parts (more than 3,300 items are manufactured in-house: 1,200 metal items and 2,100 plastic items) Third-parties’ automotive parts (more than 15,000 items from local and overseas manufacturers)
Slide 15: Extensive distribution channel of more than 1,000
Extensive distribution channel of more than 1,000 wholesalers and retailers throughout Malaysia Exports to more than 50 countries in Asia, Central and South America, Europe and Africa
Slide 16: Local and Overseas Trading Branches
Local and Overseas Trading Branches Ampire, Shanghai Headquarters - Klang Kota Kinabalu Branch PT NHF, Jakarta, Indonesia Segambut, KL Branch
Slide 17: Manufacturing Division
Manufacturing Division NHF manufactures automotive replacement body parts for REM (Replacement Equipment Market) i.e. retailers, wholesalers and workshops Grille Hood Lamp Fender Bumper Door
Slide 18: Manufacturing Facilities
Manufacturing Facilities Die Spot Double Booster Press 3D Laser Welding & Cutting Machine Electro Deposition Line Hydraulic Press Line Plastic Chrome Plating
Slide 19: Manufacturing Facilities (cont'd)
Manufacturing Facilities (cont’d) Photo Scanner CAD/CAM Vacuum Coating Milling Machine MIG Robot Injection Machine - Lamp Injection Machine - Bumper Hemming Robot
Slide 20: Corporate Strategy
6. CORPORATE STRATEGY
Slide 21: Strategic Roadmap
Strategic Roadmap FY2015 - 2016 FY2017 - 2018 FY2019 - 2021 Fix the issues and Build New Consolidate and Strengthen the Businesses to Accelerate Core Business Diversify Growth o Drive Sales Execution Excellence in Malaysia Thrust 1: and Indonesia Strengthen and Grow o Explore and penetrate into new
Slide 22: 5-Year Group Financial Summary
7. 5-YEAR GROUP FINANCIAL SUMMARY
Slide 23: 5-Year Group Financial Summary
5-Year Group Financial Summary RM’000 2017 2016 2015 2014 2013 Revenue 250,606 231,894 207,226 200,596 210,604 Profit Before Taxation 24,413 36,810 26,570 17,900 27,357 Profit After Taxation 20,328 29,990 19,250 11,974 20,149 Total Assets 537,195 453,335 397,944 369,332 386,125 Net (Debt) / Cash (31
Slide 24: Financial Performance 2Q 2018
8. FINANCIAL PERFORMANCE 2Q 2018
Slide 25: Financial Performance YTD 2Q 2018 vs. SPLY
Financial Performance YTD 2Q 2018 vs. SPLY RM’000 YTD 2Q 2018 YTD 2Q 2017 Variance Comments • Higher attributed to higher demand Revenue 125,593 124,134 +1.2% but partially mitigated by impact from unfavourable foreign exchange rate Gross Profit 27,410 34,024 -19.4% Gross Profit Margin (%) 21.8% 27.
Slide 26: Financial Performance 2Q 2018 vs. SPLY
Financial Performance 2Q 2018 vs. SPLY RM’000 2Q 2018 2Q 2017 Variance Comments • Higher attributed to higher Revenue 65,494 61,661 +6.2% demand in both local and overseas markets Gross Profit 13,494 15,426 -12.5% Gross Profit Margin (%) 20.6% 25.0% Other Operating 4,420 3,132 +41.1% Income Operatin
Slide 27: Financial Performance 2Q 2018 vs. Preceding Q
Financial Performance 2Q 2018 vs. Preceding Q RM’000 2Q 2018 1Q 2018 Variance Comments • Higher attributed to higher Revenue 65,494 60,099 +9.0% demand in both local and overseas markets Gross Profit 13,494 13,916 -3.0% Gross Profit Margin (%) 20.6% 23.2% Other Operating 4,420 3,257 +35.7% Income Op
Slide 28: Key Financial Information – YTD 2Q 2018
Key Financial Information – YTD 2Q 2018 RM’000 YTD 2Q 2018 YTD 2Q 2017 Variance Profit After Tax 4,701 9,903 -52.5% (* 1 ) Earnings Per Share (Sen) 5.69 11.98 -52.5% Operational Cash Flow (*2 ) 4,842 9,035 -46.4% Shareholders’ Funds 430,768 382,880 +12.5% Net Debt (27,374) (8,810) -210.7% Net Gearin
Slide 29: Market Outlook
9. MARKET OUTLOOK
Slide 30: Local Market: Car population
Local Market o Passenger car population in Malaysia has been growing consistently. o In 2017, the Malaysia’s TIV is 576,635 units. o TIV for 2018 is forecasted at 585,000 units. 14.0 12.0 Car population (mil units) 10.0 8.0 6.0 4.0 2.0 0.0 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12
Slide 31: ASEAN Automotive Market
ASEAN Automotive Market o Tremendous potential from AFTA trade liberalisation: Elimination of all import duties for ASEAN 10 Tapping a large 600 million population base ASEAN will be NHF’s home market o Thailand, Malaysia, Indonesia are the largest automotive markets in ASEAN Country 2013 2014 2015
Slide 32: China Market
China Market o China is the biggest passenger car market in the world and its passenger vehicles sales has grown rapidly since 2008 o Tapping the growing market due to urbanization and macroeconomics *Source: China Association of Automobile Manufacturers (CAAM)
Slide 33: Thank You
THANK YOU www.newhoongfatt.com.my
New Hoong Fatt Holdings Berhad — Q2 2018 Earnings Presentation on 6ix