Sporton International Inc. · TPEX:6146
Sporton International — Investor Presentation (December 2012)
46 slides from Sporton International's investor presentation, December 2012
Slide 1: Current Status 2012 and Future Developments of Company in 2013
Description in Current Status 2012 and Future Developments of Company in 2013 Spokesman：Peter Wang Dec. 2012
Slide 2: Contents
Contents I. Corporate Introduction 1.Industry category ------------------------------------------------<3> 2.Industry supply chain -------------------------------------------<3> 3. Product -----------------------------------------------------------<4> 4. History of sales (include revenue, profit, di
Slide 3: Contents
Contents III. 2013 Main business and forecast----------<21> 1. Competitive advantage --------------------------------------<21> 2. The demand of new technology and new products --<22> 3. Increase market share by develop new market -------<42> Iv. Q & A------------------------------------------------
Slide 4: I. Company profile
I. Company profile 1. Industry field：Electronics & others 2. Supply chain and role： End of supply chain for certification，EE products need to do product certificated before mass product to overseas export 3. SPORTON certification will be directly influence ODM/OEM/Brand business opportunities <3>
Slide 5: I. Company profile
I. Company profile 3. Business category When launch EE new product needs to do certification to followed each countries regulatory, standard and certifications then can sell product into each countries. Characteristics： (1). Single certification：Only for single product (2). The amount of revenue and
Slide 6: During financial crisis, sales of testing & certification are thriving
During financial crisis, sales of testing & certification are thriving Before During After 2007/Q4 2008/Q4 YOY 2009/Q4 YOY Sales-T&C 204.3(70.3%) 273.9(83.5%) 34.10% 300.8(70.8%) 9.80% Sales- 86.3(29.7%) 54.3(16.5%) 37.00% 124.3(29.2%) 118.90% Components Total Sales 290.6(100.0%) 328.2(100.0%) 12.90
Slide 7: I. Main Business Items
I. Main Business Items 3-1Testing & Certification(75~85%) 3-1-1Executable services products。 A. There are all relevant information, communications, home appliances, electronic products, which need to use electricity, including mobile phones, tablet PCs, networking products(RF), NB, digital TV, small
Slide 8: Main Business Items
Main Business Items 3-2 Sales of Components(15~25%) - Franchise inhibition of electromagnetic (EM)components trading, with detection, timely provision of customer rejection of electromagnetic waves Solution, Consulting, to achieve the most suitable specifications to suppress electromagnetic (EM) par
Slide 9: I. Main Business item
I. Main Business item 3-3. The Proportion of Revenues & Gross Profit Margin (2006-2011) Gross Margin (%) 2006 2007 2008 2009 2010 2011 Testing & Certification 57% 59% 56% 56.7% 55% 50% Sales of Components 21% 21.6% 21% 23.3% 20.0% 16.7% Total 45.3% 48.01% 47.3% 49.2% 45.9% 41% Sales Weight (%) 2006
Slide 10: Sales and profits showed stable growth (2003~2011)
Understanding the Company 4. Sales and profits showed stable growth(2003~2011) 2000 1807 1858 1800 1600 1600 1400 1340 1205 1200 NT $ Million 1055 1000 914 899 營收 800 740 稅後淨利 600 472 441 Dividend is more than 80% 402 400 243 305 323 of after-tax profit 187 201 211 2008：Cash3.4 Stock0.1 200 2009：Cas
Slide 11: Internationally famous magazines named Sporton one of the best companies
Understanding the Company Internationally famous magazines named Sporton was one of the best companies. Forbes Asia’s 200 Best Under A Billion Publicly Listed Companies. Global View Monthly Magazine named Sporton was one of the 3 stares in 2009/2010. CommonWealth Magazine named Sporton is the mos
Slide 12: Y2011 three years sales and profit analysis
Y2011 three years sales and profit analysis Items Y2011 2010 Y2009 Financial Debt Ratio(%) 19.63 21.71 23.84 Structure Fixed Asset Ratio(%) 188.61 186.34 172.83 Debt- Current Ratio(%) 234.08 213.69 181.12 Paying Quick Ratio(%) 219.30 200.43 171.15 Ability Interest Coverage Ratio(倍) Note1 Note 1 4376
Slide 13: Forbes Asia's 200 Best Under A Billion Publicly Listed Companies
Forbes Asia’s 200 Best Under A Billion Publicly Listed Companies 13 <12>
Slide 14: I. Company introduction: Customers
I. Company introduction 5. Customers Global customers: Apple、Dell、Hewlett-Packard、LG、Motorola、 Nokia、Palm、 Pantech、Samsung、Sony 。 Ericsson、Cingular, and Vodafone 、… Local customers: Arima (華冠）、ASUS (華碩)、 BenQ (明基) 、 Compal (華寶)、Foxconn(鴻海) 、 HTC(宏達電)、 Inventec(英華達)、Quanta (廣達) 、… <13>
Slide 15: I. Company introduction: Service sites
I. Company introduction 6. Service sites 6-1 Domestic Branches: Branches are located in the highway ; near the exit, to provide customers the most convenient service Taipei：Neihu、 Donghu, Linkou, Hsichih Taoyuan: HuaYa, Bade Hsinchu: Jhubei 6-2 Foreign Branches South Korea: Seoul, Gyeonggi China:
Slide 16: II. Y2012 Sales
II、Y2012 Sales 1. Y2011- Y2012 1~3Q sales analysis NT$million Y2011 Y2012 Sales-T&C 101.74(71%) 112.01(83%) Components 42.37(29%) 23.03(17%) Total 144.11(100%) 135.04(100%) Gross Margin 595.58(41%) 616.73(46%) Net Profits 427.66(30%) 404.98(30%) EPS 5.44 / 4.55 4.92/4.12 Capital Stock 790 814 <15>
Slide 17: II. Y2012 Sales plan
II、Y2012 Sales plan 2. 2012 1~3Q Revenue and profit slightly reduce the causes and countermeasures A. Test & Certification revenue： 2011/101.74M → 2012/1~3Q/112.01M increase11% Component sales revenue： 2011(1~3Q)/42.37M→2012(1~3Q)/23.03M decrease 46% B. Profit ratio 41%→46%，did not change the profit
Slide 18: II. Y2012 Sales plan
II、Y2012 Sales plan 2. 2012 1~3Q Revenue and profit slightly reduce the causes and countermeasures C. Reason of profit decrease (a) Component sales decreased -46% (b) Test & Certification revenue increased 11%， but staffs increased from Y2011 450 staffs to 500 staffs, the increase in personnel costs
Slide 19: II. Y2012 Sales plan
II、Y2012 Sales plan 2. 2012 1~3Q Revenue and profit slightly reduce the causes and countermeasures D. Main reason for the decrease in parts sales (a) Original sales mainly NB manufacturers, NB amount and Model number and forecast drop this year, resulting in sales of parts is not ideal (b) The new p
Slide 20: II. Y2012 Sales plan
II、Y2012 Sales plan 2012 1~3Q Revenue and profit slightly reduce the causes and countermeasures E. Reason for increase test engineers (a) The working hours rationalization: the overtime man power changed to two shifts or three shifts (b) Reserve to incumbent mid-level manager: In response to the bus
Slide 21: II. Y2012 Sales plan
II、Y2012 Sales plan 2. 2012 1~3Q Revenue and profit slightly reduce the causes and countermeasures F. Wireless networking products in response to the future development of the technical breakthroughs that recruit the industry‘s outstanding engineering and business talent, and set up a new company in
Slide 22: III. Y2013 operating outlook
III、Y2013 operating outlook (I) The company continues to expand with the industry's competitive threshold, the maintenance of world-class competitiveness 1. Construct a test of new technology the ability to maintain the industry's largest testing energy 2. And to provide wrap-around services - one s
Slide 23: III. Y2013 operating outlook: product demand and business opportunities
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities A. The company business plan layout has been fully completed this year, have significant applications in the new production next year 1. 4G/LTE: The company is the world test platform, Cert. capacity, t
Slide 24: 4G/LTE mobile communication products
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities 1. 4G/LTE mobile communication products. (1) the current 3G compare LTE competitive advantage and need to apply for certification - The LTE product categories increased significantly. - LTE in economies
Slide 25: 4G/LTE mobile devices
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities 1. 4G/LTE Mobile devices (2) LTE phone from 2011, showed multiple of more than a year growth •40 nm CMOS HTC, Samsung, LG, Motorola •150 Mbps throughput (3GPP R9 cat 4) SE, ZTE, Huawei •TDD and FDD •Ult
Slide 26: 4G/LTE mobile communication products
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities 1. 4G/LTE mobile communication products (3) Mobile phone certification has been most international companies specified and approval <25>
Slide 27: 4G/LTE mobile communication products
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities 1. 4G/LTE mobile communication products. (4) LTE phones and 3G mobile phone comparison, the output value is greater than the 3G mobile phone. General 3G mobile phone is about 4 to 5 channels, but the LT
Slide 28: 4G/LTE mobile communication products
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities 1. 4G/LTE mobile communication products Example：For OTA test，PTCRB test hours will increased 50% up Standard Test Item Test hour Total test hour PTCRB(No LTE) 2G/3G 228 228 PCTRB(With LTE) 2G/3G 234 360
Slide 29: 4G/LTE mobile communication products
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities 1. 4G/LTE mobile communication products. (5) In response to the rise of mainland China mobile phone manufacturers, SPORTON have been completed before the end of this year to enhance the test/certificati
Slide 30: Mainland China handset makers outlook
III、Y2013 operating outlook - Mainland China Huawei, ZTE and Lenovo mobile phone shipments Great Leap Forward - According to DIGITIMES Research estimates, the top 10 in 2013 smartphone shipments compared with 2012 ranking still large fluctuation, Samsung Electronics (Samsung Electronics) and Apple (
Slide 31: 4G/LTE mobile communication products
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities 1. 4G/LTE mobile communication products. (6) SPORTON competitiveness is one of the leading worldwide equipment and technical test capacity of the capacity built by OTA, SAR and smart phones, this thresh
Slide 32: RF wireless networking products: 802.11ac
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities 2.RF wireless networking products (1) RF802.11ac Netcom products 802.11ac products through the 5GHz band, with up to 8x8 MIMO antenna technology can achieve higher transmission rate of the wireless netw
Slide 33: RF 802.11ac products
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities 2. RF wireless networking products (1) RF802.11ac Netcom products A.SPORTON perform 802.11ac products take FCC certification of laboratories, only a few peers can perform this test standards; SPORTON ar
Slide 34: RF 802.11ac products
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities 2.RF wireless networking products (1) RF802.11ac Netcom products C.SPORTON evaluate RF wireless networking products next year 802.11ac technology will be more than 40%, the opportunities can be expected
Slide 35: RF products
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities 2.RF wireless networking products (2) RF products A. SPORTON RF product testing worldwide market share of more than 10%. <34>
Slide 36: RF products
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities 2.RF wireless networking products (2) RF products B. Compete on major competitors in the market -Collection of the excellent industry production and sales personnel, the establishment of the new company
Slide 37: Tablet PC and car EMI testing
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities (3) Tablet PC A. Estimated Tablet PC growth rate in 2013. B. Test/Certification of Tablet PC demand is much greater than the NB product. Tablet PC on board 3G or LTE functionality similar test demand an
Slide 38: New product testing needs: NFC, WPC, IA
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities B. Proceed to corporate strategy layout this year, starting next year, research and development of new products - Opportunity to gradually incorporate the following features test/cert. needs. (1) NFC Ne
Slide 39: NFC Near Field Communication
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities (1) NFC Near Field Communication SPORTON assessment NFC future business opportunities, mainly focusing on the requirements for compliance (Conformance) detector similar to the phone-based NFC test/cert.
Slide 40: WPC wireless charging
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities (2) WPC wireless charging SPORTON assessment the WPC future business opportunities and enhance the competitiveness of SPORTON follows: A.WPC wireless charging is the future most convenient and effective
Slide 41: IA certification expanding from 100 to 150 countries
III、Y2013 operating outlook (II) New technology and new product demand and business opportunities (3) IA certification → original 100 countries to 150 countries, and more business opportunities. The IA Services without investment in equipment, but may create a maximum performance test verification p
Slide 42: Developing new markets to increase market share
III、Y2013 operating outlook (III) the development of new markets to increase existing market share (1) Taiwan market: to set up a wireless networking professional testing companies (International Certification Corp), to enhance the competitiveness and market share of wireless networking. (2) Chinese
Slide 43: IV. Q & A
IV. Q&A 1.Description of competitive situation and position in markets, and how does Sporton stay first-class competitive internationally?
Slide 44: IV. Q & A
IV. Q & A 2.Gross profit in testing industry is good, and capital investment and scale is not very large. Why do most of electronics companies not participate in?
Slide 45: IV. Q & A
IV Q & A 3.Reviewing 2011 annual report, gross profit significantly declined. What is the reason and will it recover in the future?
Slide 46: Thank you
() amknaRnea Thank you
Sporton International — Investor Presentation (December 2012) on 6ix