Nan Pao Resins Chemical Co. Ltd. · TWSE:4766
Nan Pao Resins Chemical — Investor Presentation (December 2018)
32 slides from Nan Pao Resins Chemical's investor presentation, Dec 13, 2018
Slide 1: Nan Pao Resins Chemical Group Investor Presentation
Nan Pao Resins Chemical Group 4766 TT Investor Presentation Integrity Teamwork Innovation Efficiency
Slide 2: Executive Summary
Executive Summary We are a professional manufacturer of adhesives for athletic footwear, and a leading Asian supplier of chemical resins for specialty adhesives, coatings and construction products. We excel at providing a customized total product solution to our clients, including precision resin
Slide 3: Sales Breakdown by BU
南寶的終端客戶 基本概覽 Ticker 4766 TT Revenue NT$14.6bn in 2017 Sales Breakdown by BU Footwear AS Coating Construction & Other 100% 2.3% 15.0% 12.0% 10.5% 13.4% 15.2% 80% 12.8% 12.5% 12.5% 12.7% 35.2% 60% 30.7% 30.6% 30.7% 33.2% 40% 47.3% 41.7% 44.5% 46.4% 20% 40.9% 0% 2013 2014 2015 2016 2017
Slide 4: Agenda
Agenda A World Class Chemical Materials Supplier Health NanPao Rising BOM Financial Performance Core Ownership Values Rich New Product Pipeline 4
Slide 5: NanPao Core Values
NanPao Core Values 5
Slide 6: NanPao Core Values
NanPao Core Values NanPao began its existence as a family-friendly Tainan-based enterprise where management and staff work & spend leisure time together, succeeding with a strong work ethic and a strict eye on cost control. While the above values are still important, NanPao has shifted its managem
Slide 7: A World Class Chemical Materials Supplier
A World Class Chemical Materials Supplier 7
Slide 8: Industry Characteristics
Industry Characteristics High Value Added Chemical Resins are an Attractive Market Segment *Limited Cyclicality – Adhesives and coatings are direct inputs into downstream consumer discretionary and consumer staple products, offering greater opportunity for differentiation and value-add than for midd
Slide 9: Adhesive Fundamentals
Adhesive Fundamentals 2017 & 2018 Average Price $200.00 $180.00 Increase 7.5% $160.00 Increase 15.3% $140.00 $120.00 $100.00 $80.00 $60.00 Increase 21.7% Increase 7.2% Increase 7.6% $40.00 Increase 12.6% Increase 31.1% $20.00 $0.00 MEK Vinyl Acetate Chloroprene rubber Butyl Acrylate Adipic acid HDI
Slide 10: NanPao Competitive Edge
NanPao Competitive Edge Tier One Know-How: We are involved at the design-in stage with Tier 1 athletic shoe producers, producing purpose- engineered resin adhesives, and advising on application, automation and spraying technology. In the fragmented adhesives market, these skills give us an edge ove
Slide 11: Products and Application
Products and Application Resins and Adhesives Coatings Construction Materials New Geographies 11
Slide 12: Company Milestones
Company Milestones 1987 2005 Thai Nan Pao 1999 Nan Pao divided International Expansion into 3 Resins Chemical Established Nan Pao Resins Vietnam business units New Product 1984 Development 1997 2008 Began production of Nan Pao 2004 Formal Entry into waterproofing sealer Resins India Pvt China Expans
Slide 13: Our Geographic Reach
Our Geographic Reach China (Foshan, Hong Kong, Dongguan, Fuqing) New York Spain Italy Los Angeles Mexico MEA Taiwan India Thailand Vietnam Indonesia & Brazil Singapore Peru Chile Australia Distribution Hub SA Factory Sales Office 13
Slide 14: Rising BOM Penetration
Rising BOM Penetration 14
Slide 15: Innovative core technology from 2% shoe rubber to 48% shoe material
提升BOM的滲透率 Innovative core technology from 2% shoe rubber to 48% shoe material Aiming to Claim up to 48% of Athletic Shoe BOM Upper 34% of BOM 鞋面 BOM的34% 12億美金 2% 50% Midsole 9% 48% Glue for shoes 鞋膠 Material Shoe 鞋材(鞋面+中大底) 加工製造費用 ( Upper + Midsole & Outsole ) Manufacture fee 接著劑 2% 大底 5% 6千萬美金 1億6千
Slide 16: Broad, Innovation-Based R&D
Broad, Innovation-Based R&D • ZDHC compliant* Future • Organic-based Lifestyle • Industry 4.0 Several years ago, we shifted our R&D • Lightweight focus to an Consumer • Abrasion resistant integrated, forward- Needs • Moisture-wicking looking approach, from a passive • Automation & approach. Indust
Slide 17: The Future of Footwear
The Future of Footwear Nanpao is working with supply chain players, OEM and Branded Footwear producers to produce compounds for the shoe factories of the future. Materials Requirements Automated & Speed Factories Goal: Reduce # of Shoe Components, Raise Performance Sustainability NanPao Solutions: G
Slide 18: How We Will Reach Our Targets
How We Will Reach Our Targets Organic Innovation Acquisition Growth Extend market reach in Spend 2-3% of sales on Channel or MFG players in GC and SEA for existing R&D targeted areas for Geographic core products Systematic search to apply expansion – US, EMEA & New Geographies: existing co
Slide 19: Rich New Product Pipeline
Rich New Product Pipeline 19
Slide 20: New Product Pipeline
New Product Pipeline Advanced Materials for Water- Footwear Carbon Based Nano Fiber Coating Composites Several products are emerging from our R&D pipeline, with Flexible PSA for strong potential to propel Nan Packaging Adhesives Growth Electronic Film Pao to another period of high growth over the ne
Slide 21: Carbon Fiber Composite
Carbon Fiber Composite Orders and Certification Product Attributes *Certified: Laptop A Cover, *Proprietary formable Global Brand thermoset carbon fiber *Advanced Certification: composite material Handset back cover, 2 Top *High strength, self- 5 Chinese Brands curing, lightweight, fire *Initial Cer
Slide 22: Nano Coating
Nano Coating Certification: Product Attributes *Advanced: Laptop PC back *Water-based and no cover and keyboard frame, heavy metal content Global Brand, scale shipments *Exceeds electro-plating possible in 2019. for hardness, and for *Initial: Plastic handset back resistance to abrasion, salt plate,
Slide 23: Biomaterial Technology
Biomaterial Technology • Our additive provides a cost advantage, enhances support Biomaterial and shock absorption, and is VOC free Attributes • Combines wood and pulp by-product with PU or EVA – up to 20% by volume – to increase organic content • Our client is using the pictured mid-sole to seek ce
Slide 24: High Performance PSA
High Performance PSA • New purpose-built, high performance PSA plant with automated reactor recently completed • Most promising application is use in polarizers. Gross margin Key Points outlook for this application is attractive. • Adhesives for Optically Clear Adhesive films is potentially a bigger
Slide 25: Additional Growth Drivers
Additional Growth Drivers Non-Woven Insulating Glass Construction Adhesives Sealant for Doors Materials Water-Based Flexible & Windows • Have spent last 5 Packaging • US$150m market in Industrial Paints • China Diaper years training sales Adhesives market is the US for IGS and application team • To
Slide 26: Financial Performance
Financial Performance 26
Slide 27: Financial Performance
Financial Performance Year 2015 2016 2017 2018-Q3 Revenue 14,421,835 14,473,785 14,615,008 11,755,738 Gross Profit 4,280,863 4,608,708 3,922,991 2,752,104 Operating 1,620,404 1,856,204 1,192,972 618,395 Profit Income 1,546,897 1,882,358 1,160,753 746,006 before tax Income 1,089,949 1,391,063 917,003
Slide 28: Summary
Summary Advantages Vales Vision • Established more than 50 • Total solution provider • Focus on specialty chemicals years and has established a • Less immune to and materials good reputation and stable economic cycles • Committed to provide high customer base • Core material supplier value-added pro
Slide 29: Appendix
Appendix 29
Slide 30: Glossary of Key Terms / 2013-1H17 Balance Sheet
Glossary of Key Terms 2013-1H17 Balance Sheet HMA – Hot Melt Adhesive: In industrial use, hot melt adhesives provide several advantages over solvent-based adhesives. Volatile organic compounds are reduced or eliminated, and the drying or curing step is eliminated. PSA – Pressure Sensitive Adhesive:
Slide 31: Disclaimer
Disclaimer R&D Focus •The information contained in this confidential document ("Presentation") has been prepared by Nanpao Resins Chemical Group (the "Company"). It has not been fully verified and is subject to material updating, revision and further amendment. While the information contained herein
Slide 32: Thank You!
Thank You! 網站: www.nanpao.com 32
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