Bisalloy Steel Group Ltd · ASX:BIS
Bisalloy Steel — Investor Presentation (March 2020)
30 slides from Bisalloy Steel's investor presentation, Mar 3, 2020
Slide 1: Investor Presentation March 2020
For personal use only Investor Presentation March 2020 Enabling Innovation with Steel
Slide 2: Contents
Contents For personal use only • Our Vision • Company Overview • Brand and Product Portfolio • Our Customers • Our People & Values • Safety • ASX Overview • Bisalloy Group Performance • Our 5-year Strategy • Bisalloy Group Performance Outlook • Our Production Facilities Enabling Innovation with Stee
Slide 3: Our Vision
For personal use only Everything we do, every day, everywhere is directed at enabling people to design, manufacture and deliver innovations and products for the future with steel, that may not have otherwise been possible. Enabling Innovation with Steel 3
Slide 4: Company Overview
Company Overview For personal use only • Australia’s only manufacturer of quench and tempered steel plate products since 1980 in Unanderra, Wollongong Australia. • Market-leading high wear, high strength steel company in Australia. • Australia’s only manufacturer of defence grade armour steels. • In
Slide 5: Company Overview: Production Centres and Distribution
Company Overview For personal use only Production Centres Australia China J.V. International Distribution Network Australia / NZ China China Indonesia Thailand U.A.E. South Africa Raw Material / Product Supply Partners BlueScope (Australia) Shandong Steel (China) Swebor (Sweden) Salzgitter (Germany)
Slide 6: Brand Portfolio
Brand Portfolio For personal use only BISALLOY® WEAR steel Mining, mineral processing, agriculture BISALLOY® STRUCTURAL steel Mining, mineral processing, agriculture BISALLOY® ARMOUR steel Defence, Naval, Ballistics, Vehicles BISALLOY® PROTECTION steel Military, Government and Civilian Enabling Inno
Slide 7: Bisalloy Wear Steel
BISALLOY® Market leader in Australian Mining, Minerals Processing and Quarrying for high-strength wear plates For personal use only WEAR Internationally recognised brand in the Resource sector and used by major OEM’s steel Enabling Innovation with Steel 7
Slide 8: Bisalloy Structural Steel
BISALLOY® Market leader in high-performance structural steel that helps make products stronger, lighter and more sustainable For personal use only STRUCTURAL steel Enabling Innovation with Steel 8
Slide 9: Bisalloy Armour Steel
BISALLOY® For personal use only ARMOUR steel Internationally recognised and certified by major Defence Departments and used by major international prime contractors for land and sea projects Bisalloy® Protection steel used for non- defence civilian applications Enabling Innovation with Steel 9
Slide 10: Bisalloy Australia Customers
Bisalloy Australia Customers For personal use only Coal Mines Iron Ore Mines Hard Rock/Quarry Underground Mines Manufacturers Enabling EnablingInnovation Innovationwith withSteel Steel 10
Slide 11: Bisalloy Shangang (Shandong) Steel Plate Customers
Bisalloy Shangang (Shandong) Steel Plate Customers For personal use only Enabling EnablingInnovation Innovationwith withSteel Steel 11 1
Slide 12: Enabling Sustainability
Enabling For personal use only Sustainability The increasing focus on sustainability generates new types of demands from our customers requesting lighter, stronger and more sustainable steel solutions. 12 Enabling Innovation with Steel
Slide 13: Our People & Values
Our People & Values For personal use only 13
Slide 14: Safety Matters
Safety Matters For personal use only OUR COMMITMENT • We are committed to the wellbeing of our workers, visitors, and the communities associated with our business. OUR SAFETY PRINCIPLES • All injuries are avoidable • If you choose to work at Bisalloy, you chose to work safely • Management is account
Slide 15: Bisalloy ASX Overview
Bisalloy ASX Overview For personal use only Capital Structure 24-month Share Price Performance Share price (BIS.ASX) – 26 February 2020 $0.96 Shares on issue 45.42m Securities not quoted 1.82m Market cap (fully diluted) $43.6m Net Cash (Debt) – 31 December 2019 ($11.9m) Board & Management Shareholde
Slide 16: Bisalloy Group Profitability – HY19 to HY20
Bisalloy Group Profitability – HY19 to HY20 For personal use only • Increased market share and revenue per tonne in Australia. • Second half to be even better as the positive result from the increased anti-dumping measures flow through. • International trading has been affected by weaker demand in C
Slide 17: Bisalloy Group Profitability – HY19 to HY20
Bisalloy Group Profitability – HY19 to HY20 For personal use only 1. The Group’s margin of 18% is consistent with prior period (19%). The increase in gross profit is attributable to the increased sales growth in the Australian business, which grew by $8.5m excluding intercompany sales. 2. The increa
Slide 18: Bisalloy Group Cashflow – HY20
Bisalloy Group Cashflow – HY20 For personal use only Net cash from operating activities of $0.3m (HY19: -$5.5m). Enabling Innovation with Steel 18
Slide 19: Bisalloy Group Performance – years
Bisalloy Group Performance – 5 years For personal use only Bisalloy Group Bisalloy Group Volume by Region Revenue and EBITDA 90,000 $14,000 $140,000 80,000 $12,000 $120,000 70,000 Revenue (AUD $'000) EBITDA (AUD $'000) $10,000 $100,000 Volume (tonnes) 60,000 50,000 $8,000 $80,000 40,000 $6,000 $60,0
Slide 20: Bisalloy Steel 5-Year Strategy
Bisalloy Steel – 5 Year Strategy For personal use only OUR VISION Enabling Innovations with Steel OUR VALUES OUR TARGETS DOMESTIC QT 50,000T TARGET MAINTAIN AND STRENGTHEN ARMOUR QT 10,000T CJV QT 150,000T TARGETED GROWTH AREAS OUR STRATEGIES Home Market Superior Customer Operational Seek Diversify
Slide 21: Roadmap to our Year Targets
Roadmap to our 5 Year Targets 2022-23 STRONG BISALLOY BUSINESS For personal use only • Brand recognition & value • Multiple QT Manufacturing sites • Aust. & International • Multiple Green Feed supply • Long Term Supply agreements • Strong revenue & EBIT results • OEM, Mining, Defence 2020-21 TARGETE
Slide 22: Bisalloy Group Performance – Outlook
Bisalloy Group Performance – Outlook For personal use only Bisalloy Group Volume by Region 250,000 200,000 Volume (tonnes) 150,000 100,000 50,000 - 2020 FC 2019 2021 5YP 2022 5YP 2023 5YP Australia (net of elims) China Indonesia Thailand Achievement of strategic targets would lead to significant fut
Slide 23: Australian Production Facility
Australian Production For personal use only Facility Strategically positioned near our major steel supplier and port facilities Capacity: 60,000 tonnes per annum Enabling Innovation with Steel 23
Slide 24: Production Process Overview
Production Proven Australian Operation • Exceeding Global International Quality and Testing Process For personal use only standards • Trusted by Global Military brands and Armed Forces Overview • International certification for Safety and Environmental Management Enabling Innovation with Steel 24
Slide 25: Technical Accreditation
Technical Accreditation For personal use only ISO 45001 25
Slide 26: Production Breakdown – Australian Manufacture
Production Breakdown – Australian Manufacture For personal use only FY19 invoiced volume breakdown by: Plate Type Industry Application Sales Region (Global market) (Domestic market) (Domestic market) Armour Transport Defence NSW 7% Agriculture 2% 1% Export 14% 4% 24% Manufacturing Structural 1% 6% S
Slide 27: Chinese JV Partner Production Facilities
Two quenched and tempered manufacturing plants in Chinese JV Partner Shandong Province, China. Brand new state of the art plant in Rizhao For personal use only Production Facilities commissioned in 2019 with it’s own port facility. International certification for Safety and Environmental Management
Slide 28: Bisalloy Co-operative Joint Venture
Bisalloy Co-operative Joint Venture For personal use only Bisalloy Shangang (Shandong) Steel Plate Co. Ltd is a 50/50 Co-operative Joint Venture (CJV) established in July 2011 with Shandong Iron & Steel Co. Ltd to manufacture and distribute Bisplate wear and high-strength structural plates. Shandong
Slide 29: Expanding Global Market Presence
Expanding Global Market Presence For personal use only RIZHAO ISRAEL CHINA UAE THAILAND SINGAPORE INDONESIA DISTRIBUTION SUBSIDIARIES/JVS SOUTH AFRICA AUSTRALIA SALES OFFICES/DISTRIBUTION UNANDERRA WAREHOUSES INTERNATIONAL SALES AGENT NEW ZEALAND MANUFACTURING Enabling Innovation with Steel 29
Slide 30: For personal use only
For personal use only Enabling Innovation with Steel
Bisalloy Steel Group — Investor Presentation (March 2020) on 6ix