Sincere Navigation Corporation · TWSE:2605
Sincere Navigation — Investor Conference (self-conducted) (August 2023)
30 slides from Sincere Navigation's conference presentation, Aug 18, 2023
Slide 1: Sincere Navigation Corporation
新興航運股份有限公司 Sincere Navigation Corporation 2605.TW 發言人 許志鴻 副總經理 August 18, 2023
Slide 2: 免責聲明 Disclaimer
免責聲明 Disclaimer 本演示文稿包含前瞻性陳述。這些前瞻性陳述受風險、不確定性 This presentation contains forward looking statements. These 和假設的影響，其中一些是我們無法控制的。實際結果可能與這 forward-looking statements are subject to risks, uncertainties, and assumptions, some of which are beyond our control. Actual results 些前瞻性陳述明示或暗示的結果大不相同。由於這些風險、不確 ma
Slide 3: Our Business
業務範圍 Our Business Sincere Navigation Corp 3
Slide 4: 主要業務 Main Business Areas
主要業務Main Business Areas Dry Bulk (11) 散裝 Tanker(3) 油輪 Own and operate 3 Kamsarmax, Own 3 VLCCs and join Tanker International 7 Capesize, and 1 VLOC. operation pool. In June, SNC acquired 1 Kamsarmax and plan to sign MOA and deliver in early Sept 2023. Finance Lease 融資租賃 Vessel Management 船舶管理 SNC pu
Slide 5: 船隊狀態 Fleet Status
船隊狀態 Fleet Status 14 vessels 2.6millions MT • 3 Kamsarmax – mainly carry various kinds of products including Barley (大麥), Sorghum (高粱), Grain(糧食), Soybean, Corn, Coal, Muriate of Potash （氯化鉀）and Woodchips • 7 Capesize (ownership 6.55 vessels) mainly carry coal / iron ore from Australia, Brazil, and
Slide 6: 更新船隊組合 Renew Fleet Portfolio
更新船隊組合Renew Fleet Portfolio • As of June 2023, Average vessel age are 12.4 years. • There are 4 Capesize older than 15 years and Company is seeking to renew fleet through used vessels or new build when prices are reasonable. Sincere Navigation Corp 6
Slide 7: 脫硫器安裝情況 Scrubber Installation Status
脫硫器安裝情況 Scrubber Installation Status • As of Dec 2022, there were 3 vessels installed scrubbers, including 1 VLOC and 2 VLCCs. • In 2023 & 24, SNC plan to install 4 scrubber for 2 Kamsarmax, 1 Capesize and 1 VLCC. • Hence, SNC would have 7 vessels or 50% of vessels installed scrubber, including 2 Ka
Slide 8: 全部滿足碳強度評級 C 以上 All Meet CII Rating C above
全部滿足碳強度評級 C 以上 All Meet CII Rating C above A : major superior B : minor superior C : moderate D : minor inferior E : inferior performance level A vessel rated D for three consecutive years or rated as E, will need to develop a plan of corrective actions. Sincere Navigation Corp 9
Slide 9: 溫室氣體評級E以上 Our GHG Rating E Above
溫室氣體評級E以上 Our GHG Rating E Above Sincere Navigation Corp 10
Slide 10: Market and Financial
市場及財務資訊 Market and Financial Sincere Navigation Corp 11
Slide 11: Market Kamsarmax and Capesize Rates
市場散裝運價 Market Kamsarmax and Capesize Rates Source form Clerksons Shipping Intelligence Weekly Source form Clerksons Shipping Intelligence Weekly Both Kamsarmax and Capesize TCE rates decreased in H2 2022 during China Covid 19 lockdown and remained soft after Covid 19 unlock. Sincere Navigation Corp
Slide 12: Market VLCC Rates
市場油輪運價Market VLCC Rates Source form Clerksons Shipping Intelligence Weekly Source form Clerksons Shipping Intelligence Weekly VLCC rates increased from Q3 in 2022 and remained at high level in H1 2023. This trend expects to continue in FY23 and 24 due to Russia Ukraine War. Sincere Navigation Corp 1
Slide 13: 財務表現 Financial Performance YoY
財務表現 Financial Performance YoY Line Eng Line Chn Unit H1FY23 H1FY22 2023 vs 2022 Revenue 營業收入 (NT$M) 2,030 1,861 +9.1% Gross Margin 毛利 (NT$M) 395 306 +29.1% Gross Margin % 毛利率 19.4% 16.4% +3.0% Profit After Tax 稅後淨利 (NT$M) 282 110 +157.1% PAT% 稅後淨利率 13.9% 5.9% +8.0% EPS 每股盈餘 (NT$ per share) 0.39 0.0
Slide 14: 財務表現 Financial Performance QoQ
財務表現 Financial Performance QoQ Line Eng Line Chn Unit Q2FY23 Q1FY23 Q2 vs Q1 Revenue 營業收入 (NT$M) 1,024 1,007 +1.7% Gross Margin 毛利 (NT$M) 297 98 +202.0% Gross Margin % 毛利率 29.0% 9.8% +19.2% Profit After Tax 稅後淨利 (NT$M) 158 125 +26.4% PAT% 稅後淨利率 15.4% 12.4% +3.0% EPS 每股盈餘 (NT$ per share) 0.21 0.18 +1
Slide 15: 降低負債比 Deleverage
降低負債比 Deleverage Amount Avg Interest Rate in US$M p.a. Cash 57 2.2% Time Deposit 150 5.0% Sub Total 207 4.2% USD loan 68 6.7% NTD loan 76 1.9% Sub Total 144 4.2% As of June 2023, SNC lowered Debt to Asset Ratio to 21% through repayment mortgage loan. Through repayment of loan, SNC reduced intere
Slide 16: Hiring Days vs Avg TCE in Q2 and Q1
運務天數 vs 平均日租金 Hiring Days vs Avg TCE in Q2 and Q1 • Kamsarmax, Capesize and VLOC’s Avg TCE rates improved in Q2 from Q1. • VLCC’s rate slightly decreased in Q2. Sincere Navigation Corp 17
Slide 17: H1 FY23 Bulk Financials
H1 FY23 散裝業務財務表現Bulk Financials US$K Bulk Acct Description H1 FY23 H1 FY22 vs FY22 Var % Hiring Days 2,035 1,922 114 6% Hiring % 98% 97% 1% Avg TCE (US$K / day) 15.6 21.2 (5.6) -26% Revenue 31,788 40,720 (8,933) -22% Operating Costs (29,251) (24,040) (5,211) 22% Gross Margin 2,536 16,680 (14,143) -8
Slide 18: H1 FY23 Tanker Financials
H1 FY23 油輪業務財務表現Tanker Financials US$K Tanker Acct Description H1 FY23 H1 FY22 vs FY22 Var % Hiring Days 496 486 11 2% Hiring % 91% 89% 2% Avg TCE (US$K / day) 46.4 11.9 34.6 292% Revenue 23,046 5,760 17,286 300% Operating Costs (14,441) (13,112) (1,329) 10% Gross Margin 8,605 (7,352) 15,957 -217% N
Slide 19: Market Outlook – Dry Bulk
市場展望 – 散裝 Market Outlook – Dry Bulk Sincere Navigation Corp 20
Slide 20: 散裝船需求 Dry Bulk Demand
散裝船需求 Dry Bulk Demand 1. Global dry bulk trade forecasted at 5,499 Millions MT in FY23, 2.9% growth from prior year, including 28% Iron Ore, 23% Coal and 49% Others. 2. Importation of Iron Ore (20.5%) and Coal (5.2%) to China account for 25.7% total dry bulk trade volume. 3. Exporters of Iron Ore an
Slide 21: 船隊供給 Fleet Supply
船隊供給 Fleet Supply Year 2023 forecasted 1.7% and 1.8% on bulk fleet size in terms of Vessel quantity and total tonnage. Source form Clerksons Shipping Intelligence Weekly Sincere Navigation Corp 22
Slide 22: 影響因素 Influencing Factors
影響因素 Influencing Factors 需求方 Demand Side 供應方 Supply Side China’s economy may enter recession post Covid 19 Fleet supply growth 1.8% in 2023 vs dry bulk and stipulates on economy. demand increase by 2.9%. (supply lower than demand). India factor on investment on infra structure and higher coal
Slide 23: Market Outlook – Tankers
市場展望 – 油輪 Market Outlook – Tankers Sincere Navigation Corp 24
Slide 24: 油輪需求 Tanker Demand
油輪需求 Tanker Demand Source form Clerksons Shipping Intelligence Weekly • FY23 forecasted 2% seaborn crude oil trade increase from FY22. • VLCCs to China accounted for 13% of total seaborn crude oil trade. Sincere Navigation Corp 25
Slide 25: 船隊供給 Fleet Supply
船隊供給Fleet Supply YTD Aug 11, 2023, Tanker Fleet size decreased by 3% in terms of total tonnage. Source form Clerksons Shipping Intelligence Weekly Sincere Navigation Corp 26
Slide 26: 影響因素 Influencing Factors
影響因素 Influencing Factors 需求方 Demand Side 供應方 Supply Side China factor – post covid 19, economy slow down Supply decreased by 3.0% in 2023 Far East demand Lower new order. Europe demand due to Russian Ukraine war Carbon emission requirement led to slowdown of speed (lower supply) World
Slide 27: 策略 Strategy
策略 Strategy Provide stable dividends and return to shareholders at lower risks. Continue deleveraging during interest rate increase cycle or financing lower interest rate loans. Proactively seek to expand fleet size from new building and 2nd hand vessels. Comply with IMO and other authorities’ requi
Slide 28: Q&A
Q&A Sincere Navigation Corp 29
Slide 29: Appendix
附件 Appendix Sincere Navigation Corp 30
Slide 30: 船隊狀態 Fleet Status
船隊狀態 Fleet Status SNC Plan GHG No Ship Delivery Date Age Ship Chinese Bulk / Tanker Type Tonnage Scrubber CII Rating Ownership% Installation Rating 1 Oceana 09/2014 8.8 100% 合盛輪(ONA) Bulk Kamsarmax 81,594 planned 2024 C D+ 2 Palona 11/2014 8.7 100% 寶隆輪(PNA) Bulk Kamsarmax 81,676 planned 2024 C D+ 3
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