Slide 1: PAX Global Technology Limited (327.HK) FY 2017 annual results
PAX Global Technology Limited (327.HK) FY 2017 annual results
Slide 2: Disclaimer
Disclaimer The information contained in these presentation materials has been prepared by PAX Global Technology Limited ( “Company” or “PAX”) solely for use at the presentation to prospective investors for introduction of the Company. By accepting this document, you are agreeing to maintain absolute
Slide 3: Agenda
Agenda • Responses to key market concerns • 2017 results snapshot • 2018 full year guidance & future strategies 3 PAX Global Technology Limited (327.HK) – FY 2017 annual results
Slide 4: Responses to key market concerns
Responses to key market concerns 1. 2017 full year guidance has been achieved 2. Trade receivables turnover days of Brazil have been closely monitored and improved - FY2017: dropped approximately 20 days 3. M&A projects with different business strategies were completed in 2017 • Expansion of the Gro
Slide 5: Payment market in China
Payment market in China Interesting Facts Growing POS terminals install baseB Year 2015: Year 2017: 22.8 million 31.2 million Offline payment transaction Year 2016 : Total offline payment market size was RMB 3.5 trillion 58% of it processed by cashA Bank card Number of bank cardB Year 2015 5.4 billi
Slide 6: 2017 results snapshot
2017 results snapshot 6 6 PAX Global Technology Limited (327.HK) – FY 2017 annual results
Slide 7: FY2017 results snapshot
FY2017 results snapshot • Revenue: HKD 3,591M - YoY change: 23.2% - Overseas market, YoY change: 57.1% • Gross profit margin: 40.6% - YoY change: - 270 basis points • R&D expenses: HKD 287M - YoY change: + 56.4% • Net Profit: HKD 337M (excluding one-off impairment: HKD 513M) - YoY change: - 44.2% (e
Slide 8: FY 2017 results snapshot – Revenue by region
FY 2017 results snapshot– Revenue by region LACIS +114.5% EMEA +10.0% Brazil • Significant growth in European countries • Dominant leader in mPOS market • More acquiring banks in Gulf Cooperation Council (GCC) • Strong growth in traditional terminals 41.2% region transition to PAX payment solutions
Slide 9: FY 2017 results snapshot – Operating expenses
FY 2017 results snapshot– Operating expenses FY 2017 FY 2016 +/- HKD ‘000 (Excluding impairment expenses) Selling expenses 426,432 297,396 +43.4% Administrative expenses 501,721 347,098 +44.5% R&D expenses 287,230 183,614 +56.4% (included in administrative expenses) • Selling expenses +43.4% - Incre
Slide 10: FY 2017 results snapshot – Working capital
FY 2017 results snapshot– Working capital HKD ‘000 FY 2017 FY 2016 +/- Trade and bills receivables 1,703,414 1,347,446 +26.4% Inventories 918,452 596,539 +54.0% Trade payables 953,084 662,485 +43.9% Turnover days FY 2017 FY 2016 +/- Trade and bills receivables 158 164 -6 Inventory 138 142 -4 Trade p
Slide 11: 2018 full year guidance & future strategies
2018 full year guidance & future strategies 11 11 PAX Global Technology Limited (327.HK) – FY 2017 annual results
Slide 12: FY 2018 guidance & future strategies
FY 2018 guidance & future strategies • Topline: +15 to 25% • Gross profit margin: 34 to 37% • Operating profit margin: 11 to 13% 12 PAX Global Technology Limited (327.HK) – FY 2017 annual results
Slide 13: Appendix: New products in 2018
Appendix: New products in 2018 E800 E600 A930 • New generation of integrated smart retail terminal • Mobile retail POS • Smart POS • Combines core retail peripherals and payment into a single • Handheld portable wireless mini ECR • Powered by Android technology elegant housing unit with small deskto
Slide 14: Investor relations contacts
Investor relations contacts • Ethan Cheung, Chief Financial Officer • Calvin Pei, Assistant Vice President - Corporate Finance & Strategy • Mina Pang, Investor Relation Manager Email: ir@pax.com.hk TEL: +852 2500 8510 14 PAX Global Technology Limited (327.HK) – FY 2017 annual results