Pt Steel Pipe Industry Of Indonesia Tbk · IDX:ISSP
Pt Steel Pipe Industry Of Indonesia Tbk — Investor Presentation (March 2018)
42 slides from Pt Steel Pipe Industry Of Indonesia Tbk's investor presentation, Mar 31, 2018
Slide 1: Company Presentation
Company Presentation PT Steel Pipe Industry of Indonesia Tbk Date: As of 31st March 2018 1
Slide 2: Disclaimer
Disclaimer These materials have been prepared by PT Steel Pipe Industry of Indonesia (“SPINDO” or the “Company”) solely for informational purposes, and unless marked otherwise, are strictly confidential and may not be taken away, reproduced or redistributed to any other person. By attending this pre
Slide 3: Financial Overview
Financial Overview Income Statement (IDR bn) 2014 2015 2016 2017 Revenue 3.367 3.584 3.259 3.663 Gross Profit 564 773 699 563 Net Income 214 159 103 9 Balance Sheet (IDR bn) 2014 2015 2016 2017 Current Assets 3.580 2.993 3.278 3.432 Non Current Asset 1.863 2.455 2.764 2.838 Total Asset 5.443 5.448 6
Slide 4: Company Overview
Company Overview 4
Slide 5: Largest Steel Pipe Producer in Indonesia
Largest Steel Pipe Producer in Indonesia · PT Steel Pipe Industry of Indonesia (“Spindo”) was founded by CV Gayantara, C.Itoh & Company Limited and Kawasaki Steel Corporation Sales Channels & Key Customers in 1971 as a foreign investment co and subsequently transformed into a domestic investment com
Slide 6: Company Milestones
Company Milestones 1990s 2000s • 1990: Ibnu Susanto acquired 90% of the shares in • 2005: Established our Karawang facility our Company • 2007: Obtained ISO TS Quality Management • 1991: PT Radjin established our Pasuruan facility, System for automotive pipes in the Karawang which marked the beginni
Slide 7: Our People: Board of Commissioners
Our People Board of Comissioners Mr. Wardana Hudianto Mr. Soesilo Widjaja has held the position as President Commissioner of PT SPINDO, Tbk. Since has held his position as Independent Commissioner of PT 1997. He has also held the position as Commissioner of PT. Cakra Bhakti SPINDO, Tbk. since April
Slide 8: Our People: Board of Directors
Our People Board of Directors Mr. Ibnu Susanto Mr. Anton Subagiyanto has held the position as President Director of PT SPINDO, Tbk. since 1980. He has held the position as Human Resources & General Affair Director and a has also held the position as President Director of PT Sarana Baja since 1973, n
Slide 9: Production Facilities with Direct Distribution Channels
Production Facilities with Direct Distribution Channels No. of Unit Lines Production Type 1 5 HFW (Dia. ¼” – 8”) Samarinda Warehouse 2 HFW (Dia. 5/8” – 3”) 2 5 TIG (Dia. ¼” – 4”) 3 3 HFW (Dia. ½” – 8”) 4 4 SSAW (Dia.6” – 120”) HFW Heavy Gauge Steel 1 Carbon (Dia. 1” – 2.5”) Thickness 2.5mm – 6.5mm)
Slide 10: Company Highlight
72 Meters long - without joint SSAW pipe for use in Jetty Project Development in Kalimantan Company Highlight 10
Slide 11: Key Highlights
Key Highlights 1 Leading Market Position with Long Operating Track Record and High Barriers To Entry Well Diversified End Markets & Product Portfolio with 2 Attractive Industry Fundamentals 3 Strong Long-Term Client and Supplier Relationships with High Stickiness Defensive Margins with Stable Cash F
Slide 12: Leading Market Position with Long Operating Track Record
1 Leading Market Position with Long Operating Track Record… Largest steel pipe producer by production capacity SPINDO’s 2016 Market • More than 45 years of operation share of Domestic Welded Pipes1 • Only capable supplier for larger projects in Indonesia such as construction and infrastructure • Low
Slide 13: Raw Material and Suppliers
Raw Material and Suppliers As of December 2017 and March 2018 Source: Company 13
Slide 14: Trend of Average Sales Price January 2017 – April 2018
Trend of Average Sales Price of January 2017 – April 2018 (kg/IDR) Average Average Average Average Average Average Average Average Average Average Average Average Average Average Average Average Material Group Sales Price Sales Price Sales Price Sales Price Sales Price Sales Price Sales Price Sales
Slide 15: Key End Markets and Uses of Steel Pipe Products
Key End Markets and Uses of Steel Pipe Products Key End % of 2016 Pipe % of 2017 Markets Main Uses Sales Pipe Sales % of Mar 18 • Piling pipes • Structural pipes Construction, • Fire hydrant (sprinklers) Infrastructure • Scaffolding 63 67 65 and Utilities • Electrical poles and conduits % % % • Powe
Slide 16: Well Diversified End Markets and Product Portfolio
2 Well Diversified End Markets and Product Portfolio… Operational flexibility to serve various end markets Revenue breakdown per industry segment by value • Common raw materials are processed into steel pipe products supporting high growth industries • Unique ability to convert inventory stock into
Slide 17: Flexibility to Produce Different Pipes to Serve Different Industries
Flexibility to Produce Different Pipes to Serve Different Industries Product Type Primary Markets Product Type Primary Markets Construction, Spiral Pipes Non API infrastructure and Mechanical Pipes Automotive utilities Spiral Pipes API Oil & Gas Furniture Pipes Furniture Construction, Industrial and
Slide 18: Sales Performance 2014 – March 2018 (Quantity)
Sales Performance (For the Year 2014 – March 2018) As of 31 March As of 31 December Average/month Sales in Quantity (Ton) 2018 2017 2017 2016 2015 2014 2018 2017 2016 2015 2014 (unaudited) (unaudited) (unaudited) (unaudited) Strips and Plate 20.670 11.918 40.332 102.625 85.326 81.794 9.061 3.360 8.5
Slide 19: Sales Performance 2014 – March 2018 (Value)
Sales Performance (For the Year 2014 – March 2018) As of 31 March As of 31 December Average/month Sales in Value (Mio.IDR) 2018 2017 2017 2016 2015 2014 2018 2017 2016 2015 2014 (unaudited) (unaudited) (unaudited) (unaudited) Strips and Plate 199.827 102.500 356.574 670.442 587.630 673.285 85.882 29
Slide 20: Average Sales Price 2015 – March 2018
Average Sales Price (For the Year 2015 – March 2018) As Of 31 March 31 December Sales Price (IDR/kg) 2018 2017 2017 2016 2015 (Unaudited) (Unaudited) Strips and Plate 9.667 8.600 8.843 6.533 6.887 Spiral Pipe Non API 11.724 9.078 9.559 8.328 8.546 Spiral Pipe API - - 14.367 23.524 17.070 Water Pipe
Slide 21: Trend of Monthly Sales Volume 2017 – March 2018
Trend of Sales Volume Monthly ( For the Year 2017 – March 2018) 2017 Sales In Quantity (Ton) JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DES TOTAL Strips and Plate 3.075 3.679 5.165 1.827 829 1.329 3.465 4.396 2.227 998 4.645 8.688 40.332 Spiral Pipe Non API 3.344 2.576 5.430 12.608 7.274 1.809 6.25
Slide 22: Trend of Monthly Sales Value 2017 – March 2018
Trend of Sales Volume Monthly ( For the Year 2017 – March 2018) 2017 Sales In value (mio.IDR) JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DES TOTAL Strips and Plate 26.292 31.060 45.149 16.016 7.088 10.648 28.837 38.124 20.251 9.720 43.396 79.992 356.574 Spiral Pipe Non API 29.613 24.163 49.625 121.
Slide 23: Strong and Diversified Long-Term Client and Supplier Relationships
Strong and Diversified Long-Term Client and Supplier 3 Relationships with High Stickiness Diversified customer profile Diversified supplier profile • Strategically located plants and warehouses to cater to • Ability to easily tweak the proportion of supply from international and customer demands tha
Slide 24: Trend Sales Price and Material Cost 2010 – May 2018
Trend sales price and material cost ( Year 2010 up to May 2018) Source: Company 24
Slide 25: Trend of Sales Pipe Price and Material Cost HRC
Trend of sales pipe price and material cost HRC impor & local ( January 2014 up to May 2018) Source: Company 25
Slide 26: Trend of Material Cost HRC & CRC
Trend of material cost HRC & CRC ( impor & local ) ( January 2014 up to February 2018) 26
Slide 27: Trend of Material Cost HRC & CRC (Data)
Trend of material cost HRC & CRC ( impor & local ) ( January 2014 up to February 2018) 2014 Jan Peb Mar Apr May June July Aug Sept Oct Nov Dec crc lokal 8.802 9.054 9.260 9.048 8.814 8.964 8.722 8.782 8.781 8.666 8.694 8.848 crc impor 8.734 8.734 8.619 8.439 8.579 8.200 8.512 8.436 8.507 8.302 8.865
Slide 28: Capacity Utilization Monthly
Capacity Utilization Monthly ( January 2014 - March 2018) Source: Company 28
Slide 29: Capacity Utilization Monthly
Capacity Utilization Monthly ( January 2014 – March 2018)
Slide 30: Yield Ratio Monthly
Yield Ratio Monthly ( January 2014 - March 2018) Source: Company 30
Slide 31: Yield Ratio Monthly
Yield Ratio Monthly ( January 2014 - March 2018) Source: Company 31
Slide 32: Machine Capacity Expansion 2012 - 2017
Machine Capacity Expansion for the year 2012 - 2017 Source: Company 32
Slide 33: Industry Certifications and Awards
Industry Certifications and Awards API Spec 5L certified Spindo was selected as Best 40 Spindo obtained a Spindo obtained a Certificate of Spindo was selected member of Company according to Association of Certificate of Indonesia Authority to use the Official API Kompas 100 Stock selection – Indones
Slide 34: Regulatory Policies in the Steel Sector
Regulatory Polices in the Steel Sector Below are the specific government policy clauses and initiatives (e.g. trainings on certifications) taken to protect steel pipe industries Policy Overview · Mandatory Implementation of Indonesian National Standards for plumbing steel pipes Peraturan Menteri Per
Slide 35: Business Overview
Business Overview 35
Slide 36: SPINDO Surabaya 1 – Operation Overview
SPINDO Surabaya 1 – Operation Overview Key highlights Production Capacity / Utilisation rate1 ‘000 MT /Percentage (%) • Location : Rungkut Industri I/28-32 Surabaya, East Java • Factory area : 30.131 m² • Facility : Galvanizing, Cut to length shearing machine, slitting, threading, ERW pipe mill, var
Slide 37: SPINDO Surabaya 2 – Operation Overview
SPINDO Surabaya 2 – Operation Overview Key highlights Production Capacity / Utilisation rate1 ‘000 MT /Percentage (%) • Location : Rungkut Industri II/10 Surabaya, East Java • Factory area : 15.280 m² • Facility : SS pipe mill, Stainless steel pipe annealing & pickling, Stainless steel pipe polishin
Slide 38: SPINDO Surabaya 3 – Operation Overview
SPINDO Surabaya 3 – Operation Overview Key highlights Production Capacity / Utilisation rate1 • Location : Jl Mastrip No. 860 Karangpilang Surabaya ‘000 MT /Percentage (%) • Factory area : 29.000 m² • Facility : 3 Line ERW pipe dan 2 Line Galvanize • No of employee : 176 (organic), 196 (Outsourcing)
Slide 39: SPINDO Pasuruan – Operation Overview
SPINDO Pasuruan – Operation Overview Key highlights Production Capacity / Utilisation rate1 ‘000 MT /Percentage (%) • Location : Jl Kabupaten Desa Cangkringmalang Beji-Pasuruan • Factory area : 138.000 m² • Facility : 4 line SAW pipe, 1 line 3LPE coating, 2 line external epoxy, 1 line internal epoxy
Slide 40: SPINDO Karawang – Operation Overview
SPINDO Karawang – Operation Overview Key highlights Production Capacity / Utilisation rate1 • Location : Jl. Mitra Raya blok F2, Desa Parangmulya Karawang ‘000 MT /Percentage (%) 41361 – Jawa Barat • Factory area : 50,000 m² • Facility : Slitting machine, Tubing Mills, Press Cut Cutting Machines, Ci
Slide 41: SPINDO Sidoarjo – Operation Overview
SPINDO Sidoarjo – Operation Overview Key highlights Production Capacity / Utilisation rate1 • Location : Jl Pahlawan, Cemengkalang, Sidoarjo, East Java ‘000 MT /Percentage (%) • Factory area : 40.477 m² • Facility : ERW pipe mill, recutting, Epoxy coating process, slitting machine 44% 55% • No of em
Slide 42: Warehouses – Operation Overview
Warehouses – Operation Overview West Jakarta Warehouse Bandung Warehouse Samarinda Warehouse West Jakarta Warehouse Bandung Warehouse Samarinda Warehouse Size (m2) 2.150 1.746 2.652 42
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