Hung Hing Printing Group Limited · HKEX:450

Hung Hing Printing — H1 2017 Earnings Presentation

18 slides from Hung Hing Printing's earnings presentation, Jun 30, 2017

  1. Slide 1: Interim Results 6 months to 30 June 2017

    Interim Results 6 months to 30 June 2017 ©2017 Hung Hing Printing Group Ltd.

  2. Slide 2: Highlights – Six months ended 30 June, 2017

    Highlights – Six months ended 30 June, 2017 ► Group revenue grew +5.4% vs. LY to HK$1,395 mil. ► Gross profit margin increased by 1.7% pt. to 14.5% ► Profit attributable to the shareholders HK$14 mil. (vs. 22m loss LY) ► Net cash on-hand HK$501 mil. ► Proposed interim dividend HK¢ 2 per share • Econ

  3. Slide 3: Group external revenue in 1H grew +5.4% vs. LY to HK$1,395 mil.

    Group external revenue in 1H grew +5.4% vs. LY to HK$1,395 mil. (HK$ million, Six-month period) 1,600 +5.4% 1,368 1,410 1,395 1,400 1,358 Paper Trading 1,323 123 221 233 (PT) 190 1,200 101 218 84 80 89 66 1,000 358 329 Corrugated 339 278 297 Box (CB) 800 600 Consumer Product 786 740 760 Packaging 40

  4. Slide 4: Group EBITDA as % to Sales in 1st Half increased to 5.1%

    Group EBITDA as % to Sales in 1st Half increased to 5.1% EBITDA performance mainly driven by sales growth, improved product mix at higher capacity utilization, effective pricing & costs control, and RMB exch EBITDA (HK$ million) EBITDA as % of Sales 90 5.6% 6.0% 80 77 72 5.1% 4.7% 5.0% 70 66 60 4.0%

  5. Slide 5: Group Income Statement – 1st Half 2017

    Group Income Statement – 1st Half 2017 • Upgraded workflow efficiency & abilities to offer broader range of customised solutions • Embraced innovations and stay prudent to monitor ext’l environment & order in-take in Q4. Commentary Demand of US & China gaining pace; Business sentiments of Europe imp

  6. Slide 6: Sales and profitability improved across the board for all BUs

    Sales and profitability improved across the board for all BUs Segment revenue & profit contribution% (6-mth period) Books and Package Printing (BPP) Consumer Product Packaging (CPP) Revenue (HK$mil.) Revenue (HK$mil.) 6% 900 1.0% 300 297 760 784 278 5% 0.3% 4% 600 0.0% 200 2% 300 -1.0% 100 0% -1.6%

  7. Slide 7: Financial Position Remains Strong: Net Cash HK$501m as at Jun-17

    Financial Position Remains Strong: Net Cash HK$501m as at Jun-17 *1: Improved liquidity (current ratio 3.7) and maintain a low gearing ratio 10% *2: Regroup 146m SHPSZ under Current Assets: “assets held for sale” as at 30 Jun, 2017 *3: Changes of Equity in 1H/17 are mainly: Interim profits 17mil., e

  8. Slide 8: Earnings / Loss per Share (EPS/LPS): 1st Half 2017

    Earnings / Loss per Share (EPS/LPS): 1st Half 2017 Profits/Loss Basic Attributable to Shareholders EPS / (LPS) 20 16 3 14 11 1.7 10 2 1.6 1.2 1 0 0 (10) (HK$ million) (HK Cents) (1) (20) (2) (22) (3) (2.4) (30) (4) (40) (5) (50) (6) (52) (5.8) (60) (7) 1H2013 1H2014 1H2015 1H2016 1H2017 1H2013 1H201

  9. Slide 9: Proposed Interim Dividend of 2017

    Proposed Interim Dividend of 2017 Commentary (HK¢ per share) Interim Dividend: 8.0 Cautiously optimistic about 7 sustaining a solid business 7.0 performance in 2H, and backed by the strong cash and financial 6.0 position: • the Board resolved to pay an 5.0 interim dividend of HK¢ 2. 5.3 4 4 Special

  10. Slide 10: Appendices

    Appendices ©2017 Hung Hing Printing Group Ltd.

  11. Slide 11: Business Structure

    Business Structure Hung Hing Printing Group Limited Book & package Consumer product Corrugated Paper Beluga printing packaging box trading % 6% 2017 Interim 56% HK$784mm 21% HK$80mm 17% N.A. HK$297mm HK$233mm Market Leader Top 5 in Major player in Leader in Innovative position globally China South C

  12. Slide 12: Our Office and Production Plants

    Our Office and Production Plants Hong Kong Shenzhen Zhongshan Wuxi Heshan • Relocated to Tai Po • Printing and manufacturing of • Printing and • Printing and • Established in 2007 Industrial Estate in folding cartons, children’s book, manufacturing of manufacturing of folding for printing children’s

  13. Slide 13: Our Global Presence

    Our Global Presence Sales Offices: Benelux Scandinavia United Kingdom Germany France USA South America ©2017 Hung Hing Printing Group Ltd. I p. 13 ©2017 Hung Hing Printing Group Ltd. | confidential

  14. Slide 14: Innovation Hub at HH

    Innovation Hub at HH Our team is specialized in creative design and product development for a brand new and exciting category of 'print + digital' products using innovative and patented technologies. Improve Creative De-Spec and cost Creating new re-assessment concepts and formats Problem Solving Ba

  15. Slide 15: Green Manufacturing

    Green Manufacturing Soy ink Clean Energy Soy-based ink is more environmentally Solar energy is used to friendly, might provide provide hot water more accurate colors, supply to our and makes it easier to dormitories. recycle paper. Recycle We recycle all waste Energy Efficiency materials such as Rep

  16. Slide 16: Going forward

    Going forward 1992 1950 Founded as a small printing 1959 1966 1970 1989 Listed on the Stock Diversified into Began operation Expanded into Relocated to Tai shop in Central, Hong Kong, by Exchange of the printing and in corrugated paper trading Po Industrial Mr. Yam Cheong Hung. Hong Kong. manufactur

  17. Slide 17: Disclaimer

    Disclaimer The presentation is prepared by Hung Hing Printing Group Limited (the “Company”) and is solely for the purpose of corporate communication and general reference only. The presentation is not intended as an offer to sell, or to solicit an offer to buy or to form any basis of investment deci

  18. Slide 18: Thank you.

    Thank you. ©2017 Hung Hing Printing Group Ltd. I p. 18

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