Ch Biotech R&d Co., Ltd. · TWSE:6534
Ch Biotech R&d — Investor Conference 2024
34 slides from Ch Biotech R&d's conference presentation, Jul 26, 2024
Slide 1: Investor Conference
TWSE 6534 INVESTOR CONFERENCE 2024/07/26
Slide 2: Disclaimer
Disclaimer Based on the factors, both subjective and objective, presented in the presentation, our company has summarized and evaluated its past, present, and future operations. It is important to note that the expectations and predictions regarding the current situation include forward-looking st
Slide 3: Table of Contents
目錄 Table of Contents Company Introduction Business Model New Materials and Product Development Financial Information CH BIOTECH R&D CO., LTD.
Slide 4: Company Introduction
& CH Biotech R&D Co., Ltd. Co m pa ny Cir a km ORO OB) Introduction
Slide 5: Company Profile
Innovative Biotech Product & Fertilizers Company Profile Research & Development, Manufacturing and Sales Established Nov/29/2013 Board listed Dec/21/2023 Stock Symbol 6534.TW Chairman Cheng-Pang Wu President Cho-Chun Huang Employees 179 (Jun/30/2024) Consolidated Revenue 2023 NT$ 1,514,829 thousand
Slide 6: Company History
Company History • Formally activated the corporate headquarters and • Translated, printed, and distributed serial books R&D center (Chung Hsing Park, “Recarbonizing Global Soils – A Technical Manual of • Commenced the Central Taiwan Science Park). Recommended Management Practices” published by the c
Slide 7: Business Model
nn Business Model
Slide 8: CH Biotech Creates Advantages and Niches by Using Asymmetric Vertical Strategic Alliance
CH Biotech Creates Advantages and Niches by Using Asymmetric Vertical Strategic Alliance Asymmetric Vertical Strategic Alliance e.g. Nutrien Ag Sotolution The strategic layout of “R&D in Taiwan, Made in U.S., and Global Marketing” Products are sold to more than 2,000 retail sites in the U.S., Austra
Slide 9: Actively Invest in R&D and Continue to Enhance R&D Momentum
Actively Invest in R&D and Continue to Enhance R&D Momentum All employee of the Expand R&D investment year by year parent company R&D department composition 305,235 221,483 272,414 34% 162,308 193,336 46% PhD R&D 88% Master's degree or above (As of 2024.06.30) 2019 2020 2021 2022 2023 (NT$ thousand)
Slide 10: Independently Develop Precise, High-efficiency, and Low-Carbon Agricultural Biotechnology Products
Independently Develop Precise, High-efficiency, and Low-Carbon Agricultural Biotechnology Products through Innovative Core Technologies Cross-Domain Systematic Comprehensive Big Data R&D Field Trials Database Platform CH BIOTECH R&D CO., LTD. 9
Slide 11: Self-Reliant Innovation in a Range of New Agricultural Biotech and Fertilizer Products
Self-Reliant Innovation in a Range of New Agricultural Biotech and Fertilizer Products SUSTAINABILITY PepRichTM series Radiate NEXT is the Winner of the "2023 Taiwan Bio Awards – Innovation of the Year" 19 Product registration certificates from the U.S. EPA 13 Technical-grade PGR registration certif
Slide 12: New Materials and Product Development
New Materials and Product Development CH BIOTECH R&D CO., LTD.
Slide 13: Climate-Smart Crop Production will Address a Wide Range of Agricultural Needs
Climate-Smart Crop Production will Address a Wide Range of Agricultural Needs To respond to complex and highly variable climate challenges, we need: • Reduce carbon emissions in farming processes • Maintain high yield and quality • Increase farmer profits According to a NASA study, average global
Slide 14: Global Net Zero Policies Are a New Market Opportunity
Global Net Zero Policies Are a New Market Opportunity Global action plans for reducing agricultural GHG emissions Nation Agency Content Taiwan Council of Agriculture 50% reduction in chemical pesticide risks by 2027; 50% reduction in domestic chemical fertilizer usage by 2030; net-zero agricultural
Slide 15: CH Biotech's New Raw Material Development Targets
CH Biotech’s New Raw Material Development Targets Develop low-carbon raw materials • Designed for climate-smart crop production Promote circular economy and agricultural (Wide variety of functions designed to be conscious of highly complex sustainability climate challenges) Developing recycling mate
Slide 16: Climate-Smart Solution of CH Biotech: Biostimulants
Climate-Smart Solution of CH Biotech: Biostimulants A “plant biostimulant” means a product stimulating plant nutrition processes independently of the product’s nutrient content with the sole aim of improving one or more of the following characteristics of the plant or the plant rhizosphere (Regulati
Slide 17: Create Innovative Raw Materials Using Agricultural Surplus Materials
Create Innovative Raw Materials Using Agricultural Surplus Materials and Low-Carbon Footprint Processes 01 02 03 CH Biotec create Precision Recycling Green Precision Oriented innovative raw Oriented materials Materials Production Peptides (POPs) Selection Agricultural surplus materials are rich in m
Slide 18: POPs, Precision Oriented Peptides
POPs, Precision Oriented Peptides ↑Stress Tolerance Biotic stress ↑Recovery capability ↑ Expression of transport Uptake ↑ Transportation protein limitation enzyme Assimilation ↑ Stress limited tolerance ↑ Assimilation activity Abiotic Stress ↑ Root ↑Energy ↑ RecoveryVE V4 Root V6 development VT R6 L
Slide 19: To Respond the global climate change and agricultural challenges of carbon reduction
To Respond the global climate change and agricultural challenges of carbon reduction Reducing fertilizer application has become a consensus How to reduce fertilizer application, without compromising the yield and quality? The solution will be the biggest issue and market CH BIOTECH R&D CO., LTD. 18
Slide 20: Reducing Fertilizer Application may Lead to Lower Yield
Evidence from Rice Field Production: Reducing Fertilizer Application may Lead to Lower Yield Comparing yields from different Relationship between yield and fertilizer amount fertilization schemes Recommended Reduce GSP 9% ─20% Yield Yield GSP -20% Fertilizer amount (Fertilizer 100%) (Fertilizer 80%)
Slide 21: The Positive Effect of POPs on Stabilizing and Increasing Yields
The Positive Effect of POPs on Stabilizing and Increasing Yields under Fertilizer Reduction Application Fertilizer reduction trial in rice fields Relationship between yield and fertilizer amount -20%+POPs 100% 99% GSP 91% -20% Yield Yield GSP -20% -20%+POPs (Fertilizer 100%) (Fertilizer 80%) (Fertil
Slide 22: The Application of POPs can also Increase Rice Yields under GSP
The Application of POPs can also Increase Rice Yields under GSP Rice field trial under GSP Relationship between yield and fertilizer amount Increase 11% yield GSP+POPs GSP Yield Yield GSP GSP + POPs (Fertilizer 100%) (Fertilizer 100% + POPs) *GSP, grower standard practice Fertilizer amount Under GSP
Slide 23: Applying POPs Helps to Balance Rice Yield and Quality
Applying POPs Helps to Balance Tice Yield and Quality Improve rice ear quality and seed rate Improve brown rice quality Percentage of damaged grains Chalky grains 40% Panicle weight +5.7% Cracked grains 28% Immature grains 10% Grain fertility +3.6% Grains per panicle +3.5% GSP Reduced fertiliz
Slide 24: POPs have been Developed into CH Biotech New Products – PepRich Series
POPs have been Developed into CH Biotech New Products – PepRichTM Series 富肽-1號 富肽-2號 富肽-3號 富肽-4號 富肽-5號 富肽-6號 富肽-7號 富肽-8號 (水稻專用) (茶葉專用) (咖啡專用) (蔬果專用) (果樹專用) 臺灣肥料登記證字 號：製質1124007 臺灣肥料登記證字 臺灣肥料登記證字 臺灣肥料登記證字 臺灣肥料登記證字 臺灣肥料登記證字 臺灣肥料登記證字 臺灣肥料登記證字 有機農業適用 號：製質1124001 號：製質1124002 號：製質1124003 號：製質1124004 號：製質1
Slide 25: More POPs Technical Achievements and Implementation Plans will be Released soon
More POPs Technical Achievements and Implementation Plans will be Released soon POPs technology was invited to share at the Science & Technical Track Session of the Biostimulants World Congress CH BIOTECH R&D CO., LTD. 24
Slide 26: Financial Information
Financial Information CH BIOTECH R&D CO., LTD.
Slide 27: Consolidated Revenue
CH BIOTECH R&D CO., LTD. and Subsidiaries Consolidated Revenue Unit: NT$ thousand 1,600,000 1,514,829 1,434,115 1,200,000 1,018,505 824,806 800,000 702,189 400,000 0 2020 2021 2022 2023 2024Q1 CH BIOTECH R&D CO., LTD. 26
Slide 28: Main Product Information
Main Product Information 2023 2024Q1 Others Others 0.30% 0.05% Fertilizer Fertilizer 17.28% 18.24% Net operating Net operating revenues revenues 1,514,829 824,806 (2023+5.63%) (2023Q1+2.99%) Plant Growth Regulator Plant Growth Regulator 81.71% 82.43% Unit: NT$ thousand CH BIOTECH R&D CO., LTD. 27
Slide 29: The Global Market Share in 2023
The Global Market Share in 2023 Asia North 0.14% America 93.88% Taiwan 0.56% South America 3.58% Australia 1.84% CH BIOTECH R&D CO., LTD. 28
Slide 30: Profit After Tax & EPS
Profit After Tax & EPS Unit: NT$ thousand EPS Unit: NT$ 500,000 6.00 465,423 463,291 431,328 5.00 400,000 4.00 291,499 300,000 3.00 200,000 2.00 100,162 100,000 1.00 0 0.00 2020 2021 2022 2023 2024Q1 Profit After Tax 100,162 291,499 465,423 463,291 431,328 EPS 1.19 3.45 4.79 4.76 4.08 CH BIOTECH R&D
Slide 31: Financial Analysis: Financial Structure (%)
Financial Analysis：Financial Structure (%) Debt-asset ratio Long-term fund to property, plant and equipment ratio 180 150 129.36 131.49 119.63 123.51 115.50 120 90 60 48.60 43.10 34.66 36.86 30.94 30 0 2020 2021 2022 2023 2024Q1 CH BIOTECH R&D CO., LTD. 30
Slide 32: Financial Analysis: Solvency Analysis (%)
Financial Analysis： Solvency Analysis (%) Current ratio Quick ratio 200 171.90 160 140.02 135.10 123.77 120 131.21 98.32 124.40 121.92 80 98.05 86.16 40 0 2020 2021 2022 2023 2024Q1 CH BIOTECH R&D CO., LTD. 31
Slide 33: Capital Expenditures
Capital Expenditures Unit: NT$ thousand 800,000 600,000 432,349 400,000 200,000 107,677 104,320 105,585 71,819 0 2020 2021 2022 2023 2024Q1 CH BIOTECH R&D CO., LTD. 32
Slide 34: Thank you
Thank you