Synergetic Auto Performance Public Co. Ltd. · SET:ASAP
Synergetic Auto Performance Public — Q2 2019 Earnings Presentation
31 slides from Synergetic Auto Performance Public's earnings presentation, Sep 3, 2019
Slide 1: Strictly Private & Confidential
Strictly Private & Confidential
Slide 2: Disclaimer
Disclaimer The information contained in this presentation is strictly confidential and is provided by Synergetic Auto Performance Public Company Limited (“asap” or the “Company”) to you solely for your information. Neither this presentation nor any part hereof may be (i) used or relied upon by any o
Slide 3: Agenda: Industry Landscape, Q2/2019 Results, Targets & Strategies 2020
Section 1 Industry Landscape Section 2 Q2/2019 Results Section 3 Financial Target & Strategies 2020
Slide 4: Industry Landscape
INDUSTRY LANDSCAPE
Slide 5: Domestic car sales returning to norm; corporate/rental fleet continues to expand
“Domestic car sales returning to its norm and corporate/rental fleet continue to expand with mix shifted” Fleet market has been growing steadily regardless of effect from economy and fluctuation Numbers of new cars sold in Thailand in cars market (mn cars) • Fleet market has 2 main group of players;
Slide 6: Q2/2019 Quarterly Results
Q2/2019 QUARTERLY RESULTS Page 5
Slide 7: Key Updates: 1H/2019
Key Updates: 1H/2019 1. Going on to 20,000 fleets Other Development in 1H/2019 Total fleet 18,258 of which 1,116 net increase in portfolio (+6.5%) Portfolio Expansion: Expanding portfolio to serve increasing demand in all segments leading asap to be one of the largest fleet operators in Thailand (wi
Slide 8: Revenue by Business Segments
Revenue by Business Segments Q2/2019 Total Revenue : THB 757 mn Car Rental Business (THB 663 mn) Used Car Sales Business (THB 78 mn) Other Revenue (THB 16 mn) 10% 2% 88% • Revenue from property rental • Revenue from insurance Auction House Online Sales • Commission Long-term Short-term asap Auto Par
Slide 9: asap's Portfolio – Car Rental Business
asap’s Portfoilio – Car Rental Business Portfolio by type of cars Revenue by type of Customers for Q2/2019 Corporate – LT 82% 11,722 13,314 14,942 17,142 17,757 18,258 Corporate – Chauffer 2% 9% 8% 8% 8% 8% 7.0% Government 12% THB 663 mn 34% 36% 37% 37% 38.0% Individual – ST & LT 4% 37% 1% 1% 1% 1%
Slide 10: Financial Performance
Financial Performance 92/2018 92/2019 % QoQ Income Statement (THE mn) % of sales (THE mn) % of sales Total revenue 635 100.0% 742 100% 416.9% Revenue from car rental 526 82.8% 663 89.4% 426.0% 2] Revenue from used cars 109 17.2% 78 10.5% (28.4%) Revenue from property rental 0.0% 1 0.1% nla Cost of s
Slide 11: Car Rental Business
Car Rental Business Car rental revenue was THB 663 mn in Q2/2019 +25.9% QoQ 700 100% and with 93% contribution from long-term car rental EBITDA Margin Revenue (THB mn) 600 74.2% 71.8% 72.7% 71.5% 71.0% 70.5% 70.6% 68.4% 68.7% 69.7% 500 75% Margin (%) • Revenue from long-term car rental was at THB 62
Slide 12: Used Car Sales Business
Used Car Sales Business Used cars sales revenue was THB 78 mn in Q2/2019 -28% 150 Gross Profit Margin 20% QoQ 10.6% 12.8% Revenue (THB mn) 110 15% 9.3% • Used cars sold in Q2/2019 were through auction at 44% Margin (%) 6.5% 10% while online and direct sales accounted for 38%, asap 70 5.0% AutoPark 1
Slide 13: Main drivers of unfavorable net profit
Main drivers of unfavorable net profit “Straight-Line Rental Revenue vs Effective Rate of Financial Cost” If the Company increases new car consistently Number of new cars each year, the impact will be mitigated 4,000 cars 6,710 15.00 20.00 3,994 4,194 4.00 -13.00 Yr.1 Yr.2 Yr.3 Yr.4 Yr.5 -16.00 Yr.6
Slide 14: Will be better in Y20 and harvest in Y22
Will be better in Y20 and harvest in Y22 Turn car to cash at the end of rental contract Portfolio as of 30 June 2019 Car-Selling Plan 6,672 5,917 4,383 3,964 4,029 4,156 3,732 2,663 1,761 1,784 1,972 1,813 1,533 1,215 814 349 401 47 547 180 366 2013 2014 2015 2016 2017 2018 1H2019 Y19F 1H19 2H19F Y2
Slide 15: Recent Development 2019
RECENT DEVELOPMENT 2019 Page 14
Slide 16: Key Updates – Upcoming in 2019
Key Updates – Upcoming in 2019 2 3 asap Select 4 asap App. 1 Long-term rental Short-term rental • Net increase of ~3,000 - 4,000 • Expect to breakeven for • Five franchisees contracts • New B2B segment: 400 to 600 cars to the portfolio operations from partnership with signed for 2019 cars with large
Slide 17: Short-term rental – Number of Rented Days
Short – term rental - Number of Rented Day 100,000 In 2019 82,849 80,000 60,000 57,056 50,645 40,000 20,669 20,000 - 2016 2017 1 2018 1H2019 Page 16
Slide 18: asap Select Franchise
fasap SELECT asap Select Franchise
Slide 19: asap Select Franchise
| Asap Select Franchise ¢ 4 Franchisees signed for 2019 * Location for 2019 Operation: ¢ Nakhon Ratchasima - M Open 17 August 2019 ¢ Nonthaburi - S ¢ Ubon Ratchathani — S ¢ Chiang Mai-L Open 12 September 2019 Open 15 October 2019 Open 16 November 2019 Page 18
Slide 20: Nakhon Ratchasima – M Open August 2019
Nakhon Ratchasima – M Open 17 August 2019 Page 19
Slide 21: Nonthaburi – S Open September 2019
Nonthaburi– S Open 12 September 2019 Page 20
Slide 22: Ubon Ratchathani – S Open October 2019
Ubon Ratchathani – S Open 15 October 2019 Page 21
Slide 23: Chiang Mai – L Open November 2019
Chiang Mai – L Open 16 November 2019 Page 22
Slide 24: Strictly Private & Confidential
Strictly Private & Confidential Page 23
Slide 25: asap Go
asap Go Access anytime , park anywhere Allow customers to pick up and return the cars, whenever and wherever they want in our designated area. Quick and convenient From booking to accessing the cars, customers can seamlessly process through our application. Customers are free to choose from rental a
Slide 26: asap Limousine
asap Limousine Experienced and Professional Service Have been operating the Limousine service for over 3 years, we are certain that our experience and professionalism will enable us to expand our customer range. Qualifi ivers Because customer satisfaction is our top priority, all our drivers are wel
Slide 27: asap Short-term Rental
asap Short-term Rental VIRTUAL COUNTER Getting bored of waiting at the counter, doing all the time-consuming paperwork after a long-haul flight? Rental through asap app allows you to upload all the necessary documents before hand, meet our butlers at the designated location to pick up your car and o
Slide 28: 2020 Target & Strategies
2020 TARGET & STRATEGIES
Slide 29: Financial Target
Financial Target “Our journey towards achieving 2020 target” Key Indicators 2017A 2018A 2019F 2020F 2020 Target: ASAP to be … Number of Cars 11,395 17,142 19,842 21,000 1 A leading player in rental cars fleet Total Revenue 2,112 2,634 3,198 3,600-4,000 (THB mn) Gross Margin 2 The largest fleet use
Slide 30: Strategic Roadmap
Strategic Roadmap 2020 GOALs Rental Revenue Proportion : Long-Term vs Others ≈ 80 : 20 % Net Profit Margin ≈ 2 - 4% HOW TO GROW LONG-TERM RENTAL BUSINESS SHORT-TERM RENTAL BUSINESS DE-FLEET BUSINESS “Expanding portfolio to both corporate and “Expanding short-term portfolio towards more “Launch new b
Slide 31: Track Record – Car Rental Business
Track Record – Car Rental Business “More than 10 years of experience in the industry builds a solid track record” No. of rental cars in portfolio CAGR ≈ 33% 18,258 “Key business risks are eliminated through our strong Since 2016 15,679 customer profile and car portfolios” 10,559 7,512 Our customers’
Synergetic Auto Performance Public Company — Q2 2019 Earnings Presentation on 6ix