Techcential International Ltd. · TPEX:6616
Techcential International — Investor Presentation (April 2023)
50 slides from Techcential International's investor presentation, Apr 21, 2023
Slide 1: Techcential International Ltd
Line ID：til6616 Updated: 21/04/2023 Stock Code： 6616 TECHCENTIAL INTERNATIONAL LTD www.techcential-international.com
Slide 2: Disclaimer
Disclaimer This briefing report is provided by Techcential International Ltd. We have not reviewed the content by an accountant or an independent and impartial third party. Users should refer to the reported by Techcential International declare to the competent authority while reading the briefing m
Slide 3: Contents
Contents: Company Profile Main business/product introduction Financial Information Market development overview 2023 business development plan Challenges and opportunities faced by enterprises TIL-KY Stock Code：6616
Slide 4: Company Profile
Company Profile Malaysia Johor Muar TIL-KY Stock Code：6616
Slide 5: Company Profile
Company Profile Company Name : Techcential International Ltd. Established : June 14, 2016 Founder : Eng Say Kuang Chairman : Eng Kai Pin (Gavin) General Manager : Eng Kai Jie (Louis) Capital : NT$286 million Main business : Professional manufacturing and sales of American wooden bedroom furniture &
Slide 6: Board of Directors
Board of Directors Title Name Nationality Main Experience Eng Synergy Management Sdn Bhd Malaysia Director CEO of Techcential International Ltd representative: Eng Kai Pin Malaysia Surging Success Sdn Bhd Malaysia Director CEO of EHL Cabinetry Sdn. Bhd representative: Eng Kai Jie Malaysia Director L
Slide 7: Company History
Company History 2001 Established Techcential Sdn Bhd., mainly developing the trading of furniture. Professional manufacturing and sales of American wooden bedroom furniture. 2008 The transformation focuses on customized bedroom furniture. 2013 Introduce the ERP system on the production line. 2015 Th
Slide 8: Company History
Company History 2021 Increase cash capital & the 2nd Non-Guaranteed Convertible Corporate Bond in Taiwan R.O.C. •The 2nd Non-Guaranteed Convertible Corporate Bond in Taiwan R.O.C. was listed on the OTC on November 11,2021. •The increased share capital was listed on the OTC on December 8, 2021. 2022
Slide 9: TIL-KY Stock Code：6616
TIL-KY Stock Code：6616
Slide 10: Group Structure
Group Structure (As of March 31, 2023) Techcential International Ltd (Cayman Islands) Professional 100% 89.20% 100% furniture manufacturing EHL Cabinetry Techcential Sdn. Bhd. TC Home Sdn. Bhd. Sdn. Bhd. (Malaysia) (Malaysia) (Malaysia) 100% Kitchen 100% cabinet ESK Biomass manufacturing Sdn Bhd TC
Slide 11: Main business/product introduction
Main business/ product introduction TIL-KY Stock Code：6616
Slide 12: Techcential - Bedroom furniture Product Introduction
Techcential - Bedroom furniture Product Introduction Mirror Chest Night Stand Dresser Bed TIL-KY Stock Code：6616
Slide 13: Finishing
Finishing TIL-KY Stock Code：6616
Slide 14: PU Product
PU Product TIL-KY Stock Code：6616 TIL-KY Stock Code：6616
Slide 15: ESK WP Product Introduction
Product Introduction ESK WP The related business of rubberwood TIL-KY Stock Code：6616
Slide 16: EHL Cabinetry Product Introduction
EHL Cabinetry Product Introduction Five-piece sets • Doors • Frames • drawer heads • drawer surface • cabinet bodies TIL-KY Stock Code：6616
Slide 17: Product raw materials and main sources
Product raw materials and main sources Rubberwood Main source Malaysia MDF Main source Malaysia CHIPBOARD Main source Malaysia TIL-KY Stock Code：6616
Slide 18: The production process of wooden furniture
TC- The production process of Wooden furniture TIL-KY Stock Code：6616
Slide 19: The production process of kitchen cabinets
EHL -The production process of of kitchen cabinets The products mainly include 5 piece sets of “doors, frames, drawer heads, drawer surfaces, and cabinet bodies”. The raw materials used are mainly solid wood-birch and plywood . The main production process of the company's kitchen cabinet products is
Slide 20: Product safety certification
Product safety certification ➢ Techcential focus on the quality of products: Kitchen cabinets have high requirements for product quality There are special requirements for the humidity of wood (hot and cold tests are required) The allowable error of horizontal calibration shall not exceed 0.1mm ➢ Th
Slide 21: The advantage of core competitive
The advantage of core competitive Raw material Flexible mass direct production purchase R&D design Tariff and Discount customization TIL-KY Stock Code：6616
Slide 22: Financial Information
Financial Information TIL-KY Stock Code：6616
Slide 23: Target customers of TC
Target customers of TC Top 100 U.S. Distributors Importers Furniture Stores (8066.TW) (2936.TW) 特昇-KY 股票代號：6616
Slide 24: TIL Group Sales (Customer) status
TIL Group Sales (Customer) status 2021 2022 Others Others 19% EIG ASHLEY 20% 23% 23% T.CASTLE 3% PRESTIGE.S 4% NEW CLASSIC 3% T.CASTLE 5% GLOBAL 6% GLOBAL 5% EIG 19% SPLENDID COA 6% CMI 22% CMI 10% ASHLEY 19% 13% Operating Income：NT$ 894,227 thousand Operating Income：NT$ 1,154,415 thousand TIL-KY St
Slide 25: Financial data of most recent years
Financial data of most recent years: Unit: NT$ thousand Project/year 2022 % 2021 % Operating revenues 1,154,415 100 894,227 100 Operating costs 950,828 82 768,910 86 Gross profit 203,587 18 125,317 14 Operating expenses 162,918 15 104,000 12 Operating income 40,669 3 21,317 2 Non-operating income an
Slide 26: Company's revenue overview of most recent years
Company's revenue overview of most recent years Turnover Unit：NT$ MIllion 1,600 1,387 1,400 1,260 1,200 1,154 1,083 1,000 894 800 600 400 209 200 - Revenue 2018 2019 2020 2021 2022 2023Q1 TIL-KY Stock Code：6616
Slide 27: Company's quarterly revenue of most recent years
Company's quarterly revenue of most recent years Unit：NT$ MIllion TURNOVER BY QUARTER 450 400 350 300 250 200 150 100 50 Q1 Q2 Q3 Q4 - 2018 2019 2020 2021 2022 2023 TIL-KY Stock Code：6616
Slide 28: Company's quarterly GP% performance in recent years
Company's quarterly GP% performance in recent years GP% BY QUATER 25% 24% 24% 22% 22% 22% 21% 21% 20% 20% 19% 19% 18% 18% 17% 16% 15% 15% 15% 14% 12% 10% 9% 5% 0% Q1 Q2 Q3 -1% Q4 -5% 2018 2019 2020 2021 2022 TIL-KY Stock Code：6616
Slide 29: Company's EPS of most recent years
Company’s EPS of most recent years EPS 5.00 3.90 4.00 3.00 2.60 2.00 1.57 1.09 1.00 - EPS (1.00) -1.08 (2.00) 2018 2019 2020 2021 2022 TIL-KY Stock Code：6616
Slide 30: Dividend distribution over the years
Techcential KY-Dividend distribution over the years Year EPS Cash dividend Surplus total dividend distributed allotment 2018 1.57 NT$1 per share - 1.00 2019 H1 1.80 NT$0.8 per share - 0.80 EPS NT$3.9 in 2019, 2019 H2 2.10 NT$2.2 per share - 2.20 Cash dividend distributed NTD 3 per share 2020 H1 0.44
Slide 31: The company's fundraising situation in recent years
The company's fundraising situation in recent years The funds raised by the Company in the present offering was used in full to enrich working capital in the 2021 Q4, exactly consistent with the planned purpose of use. -Repayment of the principal (including interest compensation) due for the first u
Slide 32: Market development overview
Market development overview TIL-KY Stock Code：6616
Slide 33: Global Major Furniture Importing Country 2016-2022
Global Major Furniture Importing Country 2016-2022 According to CSIL, the World furniture market has resumed in 2021, with furniture consumption level well above the pre-pandemic values, and it is expected to further increase in 2022 and 2023. Over one third of the world furniture consumption is pre
Slide 34: Homebuyer mortgage demand jumps after interest rates drop
Homebuyer mortgage demand jumps after interest rates drop to two-month low CNBC；2023-04-12 ； Diana Olick: Today’s housing market is so pricey that homebuyers are highly sensitive to any distinct moves in mortgage rates. And that’s what happened last week. Rates dropped, and buyers dove in. The avera
Slide 35: U.S. New Home Sales
U.S. New Home Sales Sources：https://www.investing.com/economic-calendar/new-home-sales-222 TIL-KY Stock Code：6616
Slide 36: The sales of U.S. Furniture and Home Furnishing Stores
The sales of U.S. Furniture and Home Furnishing Stores 130 Units：US$ Billion 110 90 70 50 30 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 2019 2020 2021 2022 2023 Sources：U.S. Census Bureau, Monthly and Annual Retail Trade TIL-KY Stock Code：6616
Slide 37: Malaysia furniture exports in 2019-2022
Malaysia furniture exports in 2019-2022（Product） Unit：MYR MIllion 16000 13,864 14000 12,856 12,577 12000 11,138 11,140.70 10,626.6 10412.8 10000 9142.2 8000 6000 4000 2000 841.7 849.7 975.3 621.4 798.6 516.9 670.4 742.1 767 699.6 750 670.1 29.2 29.9 25.7 23.7 22.8 22 29.4 27.1 0 2019 2020 2021 2022
Slide 38: Malaysia's exports of furniture in 2022
Malaysia’s exports of furniture in 2022 Malaysia‘s furniture exports reached MYR 13,863.5 million in 2022, an increase of 10.1% from 2021. The total amount of furniture exports to the United States decreased by 0.5% compared with last year. MALAYSIA’S EXPORTS OF FURNITURE (Top 5 countries) 8,000.00
Slide 39: Opportunities in the Growing Online Furniture Market
Opportunities in the Growing Online (E-commerce) Furniture Market According to online research site Statista, Malaysia's total furniture consumption market is expected to reach US$4.51 billion by 2023,and grow at a CAGR of 8.21% until 2027. TIL-KY Stock Code：6616 Sources：https://2023.miff.com.my/
Slide 40: 2023 Business Development Plan
2023 Business Development Plan TIL-KY Stock Code：6616
Slide 41: 2023 business development plan - Deepen the US market and explore other markets
2023 business development plan -Deepen the US market and explore other markets The Group strengthens research and Will focus on development efforts and The product types participating in major will be mainly focuses on the international exquisite and high- development of product end, high-margin fur
Slide 42: Furniture China 2023 exhibition
FURNI TURE ChINA 20238 A—T/\le Pee inAA Hk Z& _ ) } ) TIL-KY Stock Code : 6616 / SFT)
Slide 43: 2019 China International Furniture Fair post-show report
2019年中國國際家具展_展後資料匯報 TIL-KY Stock Code：6616
Slide 44: Challenges and opportunities in Y2023
Challenges and opportunities in Y2023 TIL-KY Stock Code：6616
Slide 45: Challenges and opportunities faced by enterprises
Challenges and opportunities faced by enterprises Russia-Ukraine war U.S. rate hikes & inflation International trade war US dollar exchange rate trend Global Furniture Consumption Market TIL-KY Stock Code：6616
Slide 46: Shipping rates rise news excerpt
船公司減班油價飆升燃料成本上升運價漲聲響起 航貿周刊；2023-04-12；記者：李錫銘； 節錄段落如下： 消息指出，近期因船公司減班、艙位不足、油價大幅飆升及燃料成本上升等諸 多因素影響，已有多家航商宣佈實施運價調漲，終結大跌一陣子的貨櫃船運價。 其中赫伯羅德宣佈自5月1日起對東亞至美國和加拿大的20’/40’呎櫃(包括乾櫃、 冷藏櫃和特種櫃)分別調高800美元/1000美元。麥司克客戶通知書則從本(四)月 24日起調高亞太至美國和加拿大所有類型貨櫃運費900-1250美元，收費標準調 整如下:20’乾櫃按900美元，40’乾櫃1000美元，40’高櫃1000美元，45’高櫃乾 櫃1250美
Slide 47: MIFF makes impressive recovery
MIFF makes impressive recovery Furniture News；2023-04-18；By Paul Farley： The Malaysian International Furniture Fair (MIFF), South-east Asia’s largest industry trade show, rebounded from the pandemic when it returned on 1st March, reporting a ground-breaking transaction total of US$1.21b. With buyers
Slide 48: Vietnam agrees to drop charges towards Malaysian tables and chairs
Vietnam agrees to drop charges towards Malaysian tables and chairs in final determination Malaysian Furniture Council NewsLetter, Issue 26 & 27, February & March 2023： Since September 1. 2021, Malaysian tables and chairs have been investigated by the Vietnamese authorities on the grounds of anti-dum
Slide 49: Cabinet, Vanity Sales Post February Gains
Cabinet, Vanity Sales Post February Gains Kitchen Bath Design News ；2023-04-03： Sales of kitchen cabinets and bathroom vanities posted solid new gains in February, a month after opening 2023 on a solid note, the Kitchen Cabinet Manufacturers Association reported. According to the KCMA’s latest month
Slide 50: Company Website
Company Website：www.techcential-international.com TIL-KY Stock Code：6616
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