Sam Engineering & Equipment (m) Bhd · MYX:SAM
Sam Engineering & Equipment (m) Bhd — Corporate Update (February 2024)
20 slides from Sam Engineering & Equipment (m) Bhd's corporate update, Feb 26, 2024
Slide 1: Business Update
Business Update 26th February 2024 Proprietary information of SAM, all rights reserved Proprietary Information of SAM 1
Slide 2: Safe Harbour
Safe Harbour The information contained in this presentation reflect the views and opinions of the management of SAM Engineering & Equipment (M) Berhad (“SAMEE”) with regard to the sources referenced and is part of the group business update. All sources of information are believed to be factual and c
Slide 3: SAMEE at a glance
SAMEE at a glance Full suite of services FY2023 Revenue Vertically integrated Precision machining, sheet- Contract Manufacturer metal fabrication, and surface RM 1.45 Billion Employs > 2000 staff serving Aerospace & treatment to equipment in 3 countries integration and automation (23% Aerospace, Equ
Slide 4: Aerospace business update, Equipment business update, Financials and Priorities
Aerospace business update Equipment business update Financials and Priorities Proprietary Information of SAM 4
Slide 5: Air travel recovered to almost pre-pandemic levels
Air travel recovered to almost pre-pandemic levels WHO Declares End to COVID-19 as Global Health Emergency 10 May 2023 Global air travel recovery (Dec 2023) • Revenue-passenger kilometers (RPKs) recovered to 94.1% of pre-COVID (2019) levels • International – 88.6% • Domestic – 103.9% • Global availa
Slide 6: Record Year for Commercial Aircraft in 2023
Record Year for Commercial Aircraft in 2023 Aircraft deliveries (+ 11%) Net New orders ( + 146%) Order backlog ( + 16%) 1,263 3,432 14,814 2022 2023 Y-o-Y 2022 2023 Y-o-Y Full Year Full Year Growth Full Year Full Year Growth Deliveries 661 735 +11% Deliveries 480 528 +10% Backlog 7,329 8,598 +17% Ba
Slide 7: Production of Commercial Aircraft
Production of Commercial Aircraft Projected Aircraft Production Rate (Source: Forecast International, Oct 2023) 2500 2023 Deliveries surpass Airbus Boeing 2,081 2,088 2019 deliveries 1,989 2,053 2,054 1,983 2,023 2000 1,793 1,606 1,564 1500 1,243 1,263 1,141 951 1000 723 500 0 2018 2019 2020 2021 20
Slide 8: Boeing 737 MAX-9 Incident
Boeing 737 MAX-9 Incident • On 5 Jan 2024, a fuselage section was ripped away from a Boeing 737 Max 9 jet in mid-flight. • B737 Max aircraft has 4 variants; -7, -8, -9 and -10. • Boeing delivered 214 B737 Max 9 aircraft (14% of 1420 active fleet) • As of 5 Feb 2024, 135 out of 144 B737 Max aircraft
Slide 9: Aerospace Business
Aerospace Business Aerospace Manufacturing in Thailand on track ➢ Our Aerospace business has turned the corner ➢ Aircraft manufacturers has announced their plans to increase production rates to clear huge backlog ➢ Supply chain under pressure to catch up Ban Bueng site ➢ Our strategic plan to set up
Slide 10: Aerospace Business: Acquisition of Aviatron (M) Sdn Bhd
Aerospace Business Acquisition of Aviatron (M) Sdn Bhd ➢ Completed on 26th February 2024 ➢ Adds on ➢ New aircraft platforms ➢ New engineering know-how Revenue contribution (Proforma based on YTD Q2’24 Financials) ➢ New competencies in NDT and special processes, assembly ➢ Aerospace contribution proj
Slide 11: Semiconductor Chips Outlook
Semiconductor Chips Outlook Gartner • Worldwide Semiconductor Revenue totaled US$533 Billion in 2023, a decline of 11% from 2022 • Worldwide Semiconductor Chips Revenue expected to grow to US$624 Billion in 2024, an increase of 17% from 2023 • Driven by mega-trends in electrification, connectivity a
Slide 12: Semicon Equipment Outlook
Semicon Equipment Outlook SEMI (13 Dec 2023) Global sales of total semiconductor manufacturing equipment by OEMs forecasted to • Softened to US$100 Billion in 2023 2022F 2023F 2024F 2025F Assembly and Packaging • Projected to reach a new high of equipment 5.78 3.99 4.95 5.95 Test Equipment 7.52 6.32
Slide 13: Semicon Equipment Outlook
Semicon Equipment Outlook Semicon equipment demand will likely remain soft until utilization picks up Proprietary Information of SAM 13
Slide 14: Equipment Business
Equipment Business Rojana (RJ1) • mass production since late 2021 ➢ Our Thai facilities for equipment manufacturing have started mass production in 1Q 2024 Rojana (RJ2) • mass production since 1Q 2024 ➢ We are ready for the return of the equipment business which have softened since 2023 Ban Bueng (B
Slide 15: Financial Highlights
Financial Highlights Revenue Profit Before Tax RM’ mil CAGR = 12% RM’ mil CAGR = 7% 1,445.4 115.0 100.5 109.1 81.8 94.8 99.7 1,147.6 1,123.8 938.7 873.7 49.2 62.3 755.0 1,116.3 112.1 116.9 96.5 104.0 489.1 895.8 811.8 295.4 701.8 45.6 37.4 12.6 459.6 449.6 329.1 -11.6 -1.9 312.0 -22.2 251.8 171.9 FY
Slide 16: Financial Highlights
Financial Highlights Profit For The Year/Period Basic Earnings Per Share Sen Annualised RM’ mil 20.31 88.8 16.41 79.8 82.5 15.23 78.5 14.52 14.76 75.5 13.94 59.7 11.04 FY2019 FY2020 FY2021 FY2022 FY2023 YTD Q3 FY2019 FY2020 FY2021 FY2022 FY2023 YTD Q3 FY2024 FY2024 16 Proprietary Information of SAM
Slide 17: Financial Highlights
Financial Highlights Return On Equity Net Gearing 0.56 15.6% Annualised 13.9% 13.1% 0.45 11.4% 11.8% 9.7% 9.8% 0.26 0.14 0.11 0.12 FY2019 FY2020 FY2021 FY2022 FY2023 YTD Q3 FY2024 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Dec-23 17 Proprietary Information of SAM
Slide 18: Subsequence to Rights Issue Exercise & Acquisition
Subsequence to Rights Issue Exercise & Acquisition Before After Temasek Holdings (Private) Temasek Limited (“Temasek”) 100% 100% Accuron Technologies Accuron Limited (“Accuron”) 100% 100% Singapore Aerospace SAMPL Manufacturing Pte Ltd 65.6% Unsubscribed rights (“SAMPL”) underwritten by SAMPL 62.5%
Slide 19: 2024 Outlook and 2024 Priorities
2024 Outlook 2024 Priorities • Aerospace business is on way to full • Manage utilization of machine capacity recovery. Pace of recovery depends on to support production ramp up in supply chain constraint. Aerospace • Short term softening of demand from • Ready Thai facilities for mass production equ
Slide 20: Thank You
Thank You Proprietary Information of SAM 20
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