Grape King Bio Ltd. · TWSE:1707
Grape King Bio — Investor Presentation (June 2023)
28 slides from Grape King Bio's investor presentation, June 2023
Slide 1: Grape King Bio (1707 TT) Investor Presentation
Grape King Bio (1707 TT) Investor Presentation June 2023
Slide 2: Company Milestones
Company Milestones 2014 2015 2019 2 • Dr. Andrew Tseng Grape King is selected as • 1991 2012 succeeded his Forbes “Asia’s 200 Best Grape King Bio-Tech Research Institute 2021 Bio Engineering Center Pro-Partner’s father to become Under A Billion.” for two was established. Pro-Partner was was establis
Slide 3: Operation Performance
iG! fal selt FIX Operation Performance
Slide 4: Company Overview: Three core business units
Company Overview: Three core business units 4 2023.Q1 Revenue 7% 1. Grape King Taiwan (Parent Co) 13% Taiwan own brand & global OEM & ODM Locus of all key ingredient design, formulation, NT$ and production for the whole Group. 2.22bn 2. Pro-Partner (60%-own) 80% Taiwan Grape King Taiwan direct selli
Slide 5: Financial Overview (2023.Q1)
Financial Overview (2023.Q1) 5 EPS BU Revenue (NT$) (NT$ m) +18.9% 1.95 2,500 2,220 1.89 2,053 1.90 +5.6% 2,000 1,786 1.85 1,691 1.80 1,500 1.75 1.70 1,000 1.65 +24.2% 1.59 500 278 +13.4% 1.60 224 155 137 1.55 0 1.50 1.45 2022.Q1 2023.Q1 1.40 Taiwan Grape King Shanghai Grape King 2022.Q1 2023.Q1 Pro
Slide 6: Dividend Payout and Capex
Dividend Payout and Capex 6 (NT$ m) 2016 2017 2018 2019 2020 2021 2022 Net Profit 1,297 1,352 1,295 1,309 1,272 1,300 1,457 Cash Dividend 862 903 883 884 948 904 1,022 Cash DPS (NT$) 6.4 6.7 6.5 6.5 6.4 6.1 6.9 Payout Ratio 65.2% 66.6% 67.9% 67.4% 68.5% 69.2% 70.1% EPS (NT$) 9.82 10.03 9.57 9.63 9.3
Slide 7: Five-Year Income Statement
Five-Year Income Statement 7 YoY (%) (NT$ m) 2017 2018 2019 2020 2021 2022 2017 2018 2019 2020 2021 2022 Revenue 9,388 9,183 9,239 9,168 9,798 10,391 2.2 (2.2) 0.6 (0.8) 6.9 6.1 Gross Profit 7,865 7,329 7,566 7,537 7,855 8,481 (0.7) (6.8) 3.2 (0.4) 4.2 8.0 Operating Expenses (5,610) (4,979) (5,231)
Slide 8: Five-Year Balance Sheet
Five-Year Balance Sheet 8 YoY (%) (NT$ m) 2017 2018 2019 2020 2021 2022 2017 2018 2019 2020 2021 2022 Total Assets 9,892 10,648 11,359 13,104 14,061 15,053 3.6 7.6 6.7 15.4 7.3 7.1 Cash 1,920 2,050 2,146 2,927 3,635 4,673 1.1 6.8 4.7 36.4 24.2 28.6 AR & NR 160 171 202 202 301 270 (21.5) 6.8 18.0 (0.
Slide 9: 1. Taiwan Grape King
9 1. Taiwan Grape King
Slide 10: Taiwan Grape King – Five-Year Overview
Taiwan Grape King – Five-Year Overview 10 (NT$ m) Taiwan Grape King Sales 1,200 $1,104 $914 1,000 +21% $278 YoY +24% 800 $668 +37% YoY YoY 600 $538 +24% $406 YoY 400 +33% YoY 200 - 2018 2019 2020 2021 2022 2023.Q1
Slide 11: Taiwan Grape King – Five-Year OBM Overview
Taiwan Grape King – Five-Year OBM Overview 11 (NT$ m) Taiwan Grape King OBM Sales 800 $737 $670 700 +10% $195 600 $536 +25% YoY +20% YoY YoY 500 $442 +21% 400 $308 YoY +44% 300 YoY 200 100 0 2018 2019 2020 2021 2022 2023.Q1
Slide 12: Taiwan Grape King – Five-Year ODM Overview
Taiwan Grape King – Five-Year ODM Overview 12 (NT$ m) Taiwan Grape King ODM Sales 400 $367 350 +51% $83 300 $255 YoY +34% YoY 250 +86% 200 YoY $126 $137 150 $98 100 +28% +9% YoY 50 YoY 0 2018 2019 2020 2021 2022 2023.Q1
Slide 13: Taiwan Grape King – 2023.Q1 ODM Sales Comparison
Taiwan Grape King – 2023.Q1 ODM Sales Comparison 13 2023.Q1 34% 2022.Q1 2023.Q1 PICS, PICS, 21% 26% Raw Raw Client P, Material Client P, Material 25% 21% 20% 24% Others, Others, 33% 30% 62 M 83 M
Slide 14: Botanical Drug GKAC Applied to USFDA for Phase II Clinical Trial Review
Grape King’s Botanical Drug “GKAC” Has Applied 14 to the US Food and Drug Administration (USFDA) for a Phase II Clinical Trial Review • Ganoderma lucidum is a unique fungus in Taiwan, known as the "Forest Ruby," and it has significant effects in liver protection and cancer prevention and treatment.
Slide 15: 2. Pro-Partner
iT € 2. Pro-Partner
Slide 16: Pro-Partner – Business Overview
Pro-Partner – Business Overview 16 4 Key Numbers of Pro-Partner Both Revenue and Members Keep Growing Up 220,000 • Taiwan’s No.1 local direct selling company (ranked 1 (+3% YoY) by revenue). # of Members • One of the fastest growing direct selling companies in Taiwan (2008-2020 revenue CAGR: 15%). 2
Slide 17: Pro-Partner – 2022 Revenue Performance
Pro-Partner – 2022 Revenue Performance 17 2022 YOY 9.08% 980,490 995,220 911,796 927,039 733,944 730,294 713,197 878,331 748,130 679,391 683,118 685,598 563,860 729,775 673,467 654,419 650,024 457,891 636,920 621,340 613,892 598,896 466,251 393,562 Year 2021 Year 2022 20.93% -14.05% 8.98% 21.94% 24.
Slide 18: Deeply Cultivating Taiwan and Going International
Deeply Cultivating Taiwan and Going International 18 Pro-Partner • Pro-Partner is ready to open up overseas markets. Considering the vigorous developments of the direct selling industry in Malaysia, where will be chosen as the first preparation location to expand into. • There are 5 products have be
Slide 19: 3. Shanghai Grape King
19 3. Shanghai Grape King
Slide 20: Shanghai Grape King
Shanghai Grape King Plant Size Covers area of 170 hectares GMP plant of 12,500 sqm 100K-level GMP qualified manufacturing site manufacturing plant (Conform to the hygiene (Liquid filling 10K-level) standards of productions for the health care products and food.)
Slide 21: One-stop OEM Service Platform
One-stop OEM Service Platform ODM/OEM One-stop service R&D Formulation design Package design Production Regulation assistance Training assistance Logistics Declaration assistance
Slide 22: Customers of Shanghai Grape King
Customers of Shanghai Grape King 22
Slide 23: Own Brands of Shanghai Grape King
Own Brands of Shanghai Grape King 23
Slide 24: Plan and Strategy
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Slide 25: Taiwan Grape King – Growth Strategies
Taiwan Grape King – Growth Strategies 25 Key Objectives How to Achieve Extending Virtual Channels ✓ Continue to extend Telemarketing team with on Own Brand Business improvements on revenue and profit • Telemarketing Team efficiency. • Membership Management ✓ Keep increasing the number of members and
Slide 26: Own Brand Revenue from Virtual Channels – Actual Results
Own Brand Revenue from Virtual Channels – Actual Results 26 2.9x Total members Virtual channel revenue up Telemarketing team exceeded 150,000 Profit contribution up 4.3X start injecting revenue • Early 2021: Established 160000 150K • Year 2022: Growth by 62% (NT$ m) (NT$ m) 140000 120000 100000 8000
Slide 27: Taiwan Grape King – Diversified Expansion on Products
Taiwan Grape King – Diversified Expansion on Products 27 • Soft Capsule line: Expects to complete trial mass production by July 2023. • Jelly Glue line: Expects to complete trial mass production by August 2023. • Gastric Milk line: Doubles and expands production at the first phase, and expects to pu
Slide 28: Thank You
Thank You For more information, please visit our company website at: www.grapeking.com.tw 28