Tipco Asphalt Public Co. Ltd. · SET:TASCO
Tipco Asphalt Public — Non-Deal Roadshow (June 2015)
21 slides from Tipco Asphalt Public's roadshow presentation, Jun 16, 2015
Slide 1: Tipco Asphalt Roadshow in Hatyai
Tipco Asphalt Public Company Limited Roadshow in Hatyai 16th June 2015 บริ ษทั ทิปโก้แอสฟัลท์ จำกัด (มหำชน) Tipco Asphalt Public Company Limited บริ ษทั ทิปโก้แอสฟัลท์ จำกัด (มหำชน) Tipco Asphalt Public Company Limited 1
Slide 2: Agenda
Agenda 1 Company background 2 Q1/2015 Highlight 3 Performance Highlights 4 Q2/2015 Outlook บริ ษทั ทิปโก้แอสฟัลท์ จำกัด (มหำชน) Tipco Asphalt Public Company Limited 2
Slide 3: Company background: Mission, Vision and Values
Company background: Mission, Vision and Values Mission Core Values A well-recognized leading asphalt focus T - Teamwork company in Asia Pacific I - Integrity Vision P - Prudence To distribute 2 million tons of asphalt products by 2015 and be the key contributor to C - Commitment the success of all s
Slide 4: Company background: Shareholders & Group Structure
Company background: Shareholders & Group Structure (As of 31st May 2015) Colas S.A. Tipco Foods PCL Supsakorn Family Free Float (32%) (24%) (8%) (36%) Tipco Asphalt Public Company Limited 100% 100% 41.4% 20% 50% 100% 100% Kemaman Bitumen Thai Bitumen Raycol Hindustan Colas Asia Bitumen TIPCO Asphalt
Slide 5: Company background: A Complete Value Chain in Asphalt Supply Business
Company background: A Complete Value Chain in Asphalt Supply Business Crude & Product Refining & Bulk Storage & Wholesale & Road Supply Production Transportation Distribution Retail Sales Contractor Construction KBC Refinery Site Delivery Crude & Ocean Going Terminals & Wholesale Product Sourcing Ve
Slide 6: Company background: KBC Refinery
Company background: KBC Refinery Naphtha 1-5% vol. Kerosene 1-5% vol. AGO 10-25% vol. VGO 5-15% vol. Tipco Asphalt Refinery • Asphalt dedicated refinery that produces over 1.4 million tons of asphalt and 0.3 million tons of non- asphalt by-products in 2014 Asphalt Cement (AC) 50-70% vol. • Crude ref
Slide 7: Company background: Our Products
Company background: Our Products Products Asphalt Products • Asphalt Cement • Asphalt Emulsion • Cutback Asphalt • Polymer Modified Asphalt • Natural Rubber Modified Asphalt Cement Special Products • Tipco Premix • Tipco Joint Sealer • Jet Fuel Resistant Joint Sealant • Binder for Tropical Non-Aspha
Slide 8: Company background: Our projects
Company background: Our projects Projects References Premium Grade Asphalt Technique : • Race track surface pavement project at Chang International Circuit, Burirum province • Runway and taxi lane repair and rehabilitation using high performance pavement technique at Suvarnabhumi International Airpo
Slide 9: Company background: Tipco presence
Company background: Tipco presence • Capitalize on our strong logistic capability in over 300 truck fleets and 9 vessels to distribute in domestic market and export product globally Tipco Asphalt Group Network • Kemaman Bitumen Company Sdn. Bhd. (Tipco Asphalt Refinery in Malaysia) • Thai Bitumen Co
Slide 10: Q1/2015 Highlights
Q1/2015 Highlights Crude • Brent price stabilized within the range of USD 53 to 63 per barrel • Benefit from low crude price compared to 2014 when the crude price was above USD 100 per bbl. • Consistent crude supply under long term crude supply agreement Refinery • Almost 100% refining process volum
Slide 11: Q1/2015 Highlights
Q1/2015 Highlights Domestic Market • Strong government budget disbursement in Q1/2015 resulted in almost double in domestic sales volumes. • Shortage of supply of asphalt from local refineries hampered the progress of road construction project. • Tipco responded swiftly in providing solutions in sho
Slide 12: Q1/2015 Highlights: Total sales volumes
Q1/2015 Highlights: Total sales volumes Sales volumes by quarters Sales volumes concentration by market Unit: Mil tons Unit: % Domestic International 2.03 64% 84% 84% 84% 0.52 0.49 0.43 36% 16% 16% 16% Q1/2014 Q4/2014 Q1/2015 2014 Q1/2014 Q4/2014 Q1/2015 2014 • Although Q1/2015 total asphalt volume
Slide 13: Q1/2015 Highlights: International asphalt market selling price vs Ice Brent
Q1/2015 Highlights: International asphalt market selling price vs Ice Brent USD/Barrel 120.0 108 Avg. asphalt selling price 109 108 109 109 112 106 103 Ice Brent 100.0 95 86 80.0 70 67 63 63 60.0 58 55 53 92.3 87.5 86.2 86.7 87.0 86.6 40.0 85.6 85.4 86.9 87.7 87.2 81.6 64.7 57.8 53.2 57.1 62.0 20.0
Slide 14: Performance Highlights: Sales & Services Revenue
Performance Highlights: Sales & Services Revenue (Unit : THB Million) Sales & services Revenue • Sales and services stood at Baht 8,264 million 45,727 reflecting a decrease of almost 31% from the same period last year • This decrease in revenue was mainly attributable to an abruptly drop in selling
Slide 15: Performance Highlights: Operating Gross Profit
Performance Highlights: Operating Gross Profit (Unit : THB Million) Operating Gross Profit • The significantly improvement of overall gross profit margin was mainly due to the increase in asphalt prices arising from strong demand in both 2,005 export and domestic market, and also a stable crude cost
Slide 16: Performance Highlights: EBITDA & Net Profit
Performance Highlights: EBITDA & Net Profit (Unit : THB Million) 2,630 • EBITDA in 1st quarter 2015 stood at Baht 1,346 million EBITDA reflecting another positive increase of almost 104% from the same period last year 1,346 1,169 660 Q1 2014 Q4 2014 Q1 2015 Year 2014 (Unit : THB Million) Net Profit
Slide 17: Performance Highlights: Debt to Equity Ratio
Performance Highlights: Debt to Equity Ratio ST loan vs Current asset Unit: THB million ST loan Current asset • The Group’s consolidated current ratio has improved to 13,862 1.6 due to decrease in crude price and improved “crude to cash conversion cycle” in 1st quarter 2015 as 8,409 compared to 2014
Slide 18: Q2/2015 Operations outlook
Q2/2015 Operations outlook Crude • Expect to see volatility in Brent price but stay within $60-$70 price range in Q2. Nevertheless, we will manage this by effective hedging strategy • Expected to procure more cargoes in addition to the term supply contract to support growth Refinery • With almost 10
Slide 19: Q2/2015 Market outlook
Q2/2015 Market outlook Domestic Market • Expect disbursement of additional Baht 40,000 million of government budget since June 2015 • The shortage supply in Q1/2015 is likely to repeat in Q3/2015 • Substantially increase in usage of natural rubber modified asphalt products International Market • Str
Slide 20: IR webpage
IR webpage http://www.tipcoasphalt.com/investor_contact.aspx Ext 7642 บริ ษทั ทิปโก้แอสฟัลท์ จำกัด (มหำชน) Tipco Asphalt Public Company Limited 20
Slide 21: Q&A
Q&A บริ ษทั ทิปโก้แอสฟัลท์ จำกัด (มหำชน) Tipco Asphalt Public Company Limited 21
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