China Auto Logistics · OTC:CALIQ
China Auto Logistics — Investor Presentation (May 2012)
20 slides from China Auto Logistics's investor presentation, May 23, 2012
Slide 1: China Auto Logistics Inc.
= CHINA AUTO LOGISTICS INC. NasdaqGM: CALI Meeting China’s Strong Demand For Luxury Imported Automobiles With Web-based Solutions and Auto Related Services www.cali.com.cn
Slide 2: Forward-looking statements
Information in this presentation may contain statements about future expectations, plans, prospects or performance of China Auto Logistics Inc. (the “Company”) that constitute forward-looking statements for purposes of the safe harbor provisions under the Private Securities Litigation Reform Act of
Slide 3: Who We Are
Who We Are An established leader in China in imported high-end auto sales. In 2011, CALI sold 4190 autos @ average price of $105K, (+17.35%) with larger than planned volume growth of 50.83%, as compared to 2010 China’s leading ground-breaker in developing auto-related websites and services for domes
Slide 4: Founded in 1995, Public November 2008
Founded in 1995 Public November, 2008 = Based in Tianjin City-China’s leading port for imported cars = 2009 Revenues: $215MM Net Income: 5.54 MM EPS. $0.31 = 2010 Revenues: $258MM Net Income: 8.01 MM EPS. $0.44 = 2011 Revenues: $452MM Net Income: 8.13 MM EPS. $0.39 (one-time write off of goodwill re
Slide 5: CALI: China Auto Living
= CALI: “China Auto Livi = Wide ranging “single stop” portal for foreign and domestic auto dealers and buyers, suppliers and automobile owners July 1, 2011-Raised $5.25MM @ $1.75 per share (20% above market for CALI), from four Asian investors, daily trading volume exceeded 2MM after the closing Jan
Slide 6: Rapid Auto Market Growth in China
Rapid Auto Market Growth in China China has grown to become the world’s #1 auto market and top market for luxury auto sales. In 2011, 18.5M cars sold in China. Even with only 2.5% growth YOY it was up 5.78M units, or 44.8% over US sales China’s auto per capita possession rate is 17.2/per car, much l
Slide 7: Imports
Imports = In 2011, China imported 1.04M cars at a growth rate of 27.69%, much higher than 2.5% growth of domestic manufactured cars. For the first time, imported car volume exceeded one million units = Luxury SUV represents about 42% of the imported car sales = For growing wealthy class, cars are si
Slide 8: Leading Logistics, Imported Cars
Leading Logistics, Imported Cars CALI has the only national website for imported cars in China ,* China Auto Logistics, Inc. The only national website in China devoted to imported cars, www.ati88.com provides real-time auto trading, marketing & (F) Fee Opportunities advertising information. Dealer F
Slide 9: Auto Mall Management
Auto Mall Management $1 million annual fee to manage Tianjin FTZ International Automobile Exhibition and Sales Center since 2010 Utilizes CALI’s auto logistics skills and national network of auto dealers to attract new customers and tenants In 2011, Tianjin Mall was the largest imported auto mall in
Slide 10: Customer Purchasing Process
Customer Purchasing Process _ PTGS Local Dealers - 4S IN: LOGISTIC! Shops* Auto Malls Naeger -Limited choices of Variety of Dealers imported/domestic makes and models “iimited Selection manufacturers -Limited Financing -Allmakes and models -Customized search features -Financing *A 4S shop is a gover
Slide 11: CALI Dealer Solution
= Approximately 20,000 4S dealers nationwide — 16,000 additional licenses issued = Fragmented auxiliary services (insurance, maintenance, parts/service, and Current financing) Environment = Expensive overhead: restocking, inventory, advertising = Taxes, tariffs and transaction costs CALI Dealer Solu
Slide 12: Gross Profit
Gross Profit Fiscal Year 2011-2010 In Millions USD — Fiscal Year 2011-2010 In Millions USD HT 2010 2011 «=VS 2010 Revenue $452MM $258MM Gross Profit $16.14MM $14.06MM
Slide 13: Services and auto sales profit breakdown
}0.54MM. Auto Sales MWeb-based Advertising $1.89MI Financing Services Auto Mall Mgmt $4.38MM Auto Value In Q4, nang ere determined Goodcar membership fee charge was no longer suitable for long-term expansion of website and shifted focus to growing wel based services. Believes open platform will brin
Slide 14: Strategic Shift: Strategy to Produce Recurring Earnings Growth
Strategic Shift: [RGMecwan Strategy to Produce Recurring Earnings Growth: (resus) REVENUES 32% Year over Year to $107.45 MM, 2 a Exit Web-based Advertising Rapidly Grow Luxury Cars and Auto Related Services Luxury Auto Sales +33% (Unit Sales up 44%) alt Financing Services +186% Automobile Value Adde
Slide 15: Q1 2012 services revenue comparison
=Q1 2011: Web-based Advertising + Financing Services + Auto-value added services = $3.3 million ™Qi 2012: Web-based Advertising + Financing Services + Auto Value Added Services =$3.1 Million $200,000 Reduction in Services Revenue (financing up and advertising down) key factor in 24% decline in Net I
Slide 16: Targets: auto sales, financing, luxury units, bank lines
= Auto Sales: Over $100 MM = Financing Services: Over $2 MM = Luxury Autos Sold: Over 1000 Units = Bank Lines: Approximately $150 MM
Slide 17: New Services Being Developed
= Financing Services = Auto Mall Management = Automobile Value Added New Services Being Developed = Auto Insurance = Direct Purchases Abroad = Expanded Retailing System = Consumer Warranties = Others 7
Slide 18: Management team
Auto Industry _ Founder of Company in 1995. Increased business from startup to over $190M annual sales in less than 10 years. Strong IT and auto industry experience. Company honored as a “Top Hundred Enterprises” by The Ministry of Commerce in 2005 under Shiping’s management. Ms. Wang Xinwei- CFO,VP
Slide 19: Strong banking relationships in the PRC
= Strong banking relationships in the PRC ~ Agricultural Bank of China, China Merchants Bank and Pudong Development Bank * Nearly $150 million line of credit (as of 3/31/12) For auto dealer financing and growth needs ~ Anticipates additional credit lines for financing business will be available if r
Slide 20: Contact information
Avenue, Free Trade Zone, Tian | P.R. China 300461 Tel: 86 (22) 2576271 DGI Investor Relations Inc. Tel: 212-425-5700 Fax: 646-381-9727 Marcum LLP 2049 Century Park East, Suite 400 Los Angeles, GA 90067 a cant i bob focusasiapartners.com Corporate Stock Transfer Phi (o73)520-6741 www.corporatestock.c
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