PT Sri Rejeki Isman Tbk · IDX:SRIL
PT Sri Rejeki Isman Tbk — FY2017 Earnings Presentation
32 slides from PT Sri Rejeki Isman Tbk's earnings presentation, 2018
Slide 1: Management Presentation Financial Statements FY 2017
MANAGEMENT PRESENTATION FINANCIAL STATEMENTS FY 2017
Slide 2: Table of Contents
2 TABLE OF CONTENTS Company Overview Business Overview Strategy in 2017 & Projection in 2018 Performance FY 2017
Slide 3: Company Overview
3 COMPANY OVERVIEW • A Leader in Southeast Asia’s Textile Industry 1 • Vertically Textile and Garment Company 2 • Strategic Locations 3 • Milestones 4 • Board of Commisioners and Directors 5 • Company Structure 6
Slide 4: A Leader in Southeast Asia's Textile Industry
A LEADER in SOUTHEAST ASIA’s 4 TEXTILE INDUSTRY PT Sri Rejeki Isman Tbk (“Sritex“) is one of the largest vertically integrated textile companies in SE Asia, with operations across Spinning, Weaving, Finishing and Garment Manufacturing, located in Central Java, Indonesia. COMPANY OVERVIEW • One of th
Slide 5: Vertically Textile & Garment Company
VERTICALLY TEXTILE & GARMENT COMPANY 5 UPSTREAM MIDSTREAM DOWNSTREAM RAW MATERIAL YARN GREIGE DYED FABRIC APPAREL RETAIL 60% RAYON SPINNING WEAVING FINISHING GARMENT 20% COTTON 20% WORLDWIDE 20% POLYSTER CAPACITY CAPACITY CAPACITY CAPACITY 180 Mn Meters/Year 240 Mn Yards/Year 27 Mn Pieces/Year 654.0
Slide 6: Strategic Locations
STRATEGIC LOCATIONS 6 SPD: Area~18ha Tanjung Emas International Port, Semarang BItraTex Primayudha Mandiri Jaya Sritex 2: Central Java, Indonesia Area~19ha Total Population: 35 Million peoples Total Area ~ 79ha Sritex 1: Area~42ha Unique competitive advantage through offering its customers integrate
Slide 7: Milestones
MILESTONES 7 Present 2016 “Our company is growing rapidly from • Most Powerfull Companies 2017 Category Textile & Garment from year to year with a strong Fundamental PT Sri Rejeki • Best Liability Warta Ekonomi Isman Tbk Management – Asset Asian • Top Emiten 2017 Sector Garment Award 2016 by Triple
Slide 8: Board of Commissioners and Directors
BOARD OF COMMISIONERS AND DIRECTORS 7 8 BOARD OF COMMISIONERS BOARD OF DIRECTORS
Slide 9: Company Structure After Non Pre-emptive Right and Post Acquisition
COMPANY STRUCTURE AFTER NON PRE-EMPTIVE RIGHT 9 AND POST ACQUISITION FOUNDER PT HUDDLESTON PUBLIC *) SHARES INDONESIA 0.04% 60.06% 39.90% 99.996955% 99.99736% PT SRI REJEKI ISMAN TBK (SRIL-ID) PT BITRATEX PT PRIMAYUDHA INDUSTRIES MANDIRI JAYA 99.90% 0.00264% PT SINAR PANTJA DJAJA 0.003045% Indonesia
Slide 10: Business Overview
10 BUSINESS OVERVIEW • Customers 1 • Competitors 2 • Textile Industry Overview 3
Slide 11: Customers: Yarn and Greige
CUSTOMERS 11 “Sritex has a broad and diversified network of customers both domestic and international level” YARN Sritex is a major supplier of high quality yarn for major textile customers globally. SPINNING GREIGE Sritex greige or raw fabric is renowned for its excellent standard and high quality.
Slide 12: Finishing: Fabric
12 FABRIC Sritex high-quality fabric is both extremely Pan Brothers Tbk comfortable and classy. It is a reputable brand within a competitive fashion industry. FINISHING
Slide 13: Garment: Fashion and Uniform
13 Garment Fashion Uniform - Corporate Uniform - Military Sritex’s flexibility allows penetration into Sritex also manufactures uniforms for Sritex is a leading partner in supplying the international fashion market, with Indonesian companies, for work-wear military uniforms to more than 30 many lead
Slide 14: Competitors
COMPETITORS 14 “Relative to its domestic competitor. Sritex is the market leader with FY 2017 US$ 759 Million” Sritex is in a fairly competitive position within the textile industry in Indonesia. According to the Indonesian Textile Association ("API"), the textile industry in Indonesia is still frag
Slide 15: Textile Industry Overview
TEXTILE INDUSTRY OVERVIEW 15 “With the rising labor cost in China and labor issues in Bangladesh, Indonesia now becoming more favorable place for investment” Textile Export Market Share in 2016 Sales By Geographical Area Sales By Geographical Area FY 2016 FY 2017 Global Market Share Market Share Chi
Slide 16: Strategy in 2017
16 STRATEGY IN 2017 2017 Strategic Focus Quarterly Revenue and EBITDA YoY Growth 221 202 Normalization of New Production 181 180 186 169 172 128 Production and Operational Effeciency 36 42 40 47 47 34 25 29 Inovation for value added product development 1Q 2016 2Q 2016 3Q 2016 4Q 2016 1Q 2017 2Q 2017
Slide 17: Strategy & Projection in 2018
17 STRATEGY & PROJECTION IN 2018 Normalization of New Production Production and Operational Effeciency Inovation for value added product development Development and enhancement for Human Resource Increase market share and economic of scale through opportunity in acquisition Strengthening the Capital
Slide 18: Performance FY 2017
18 PERFORMANCE FY 2017 • Financial Summary 1 • Balance Sheet 2 • Capital Structure 3 • COGS Composition in FY 2017 4 • Sales Segmentation 5
Slide 19: Financial Summary
FINANCIAL SUMMARY 19 The increase in domestic and international sales had a positive impact on the company’s fast-growing profitability with a CAGR of 8% SALES GROSS PROFIT AND GROSS PROFIT MARGIN (USD.Mn) 680 759 (USD.Mn) 171 631 145 133 21% 21% 23% 2015 2016 2017 2015 2016 2017 NET PROFIT AND NET
Slide 20: Balance Sheet
BALANCE SHEET 20 "The composition of the Company's balance sheet is getting stronger every year and this is expected to continue in the future“. TOTAL ASSETS CASH AND EQUIVALENT CASH (USD.Mn) (USD.Mn) 1,193 947 783 127 77 87 2015 2016 2017 2015 2016 2017 TOTAL EQUITY TOTAL INTEREST BEARING DEBT (USD
Slide 21: Capital Structure
CAPITAL STRUCTURE 21 TOTAL INTEREST BEARING DEBT / TOTAL ASSETS 58% 60% 55% 2015 2016 2017 LEVERAGE MULTIPLES Interest Bearing Debt / EBITDA Net Debt / EBITDA 4.2 4.0 3.8 3.6 3.1 3.2 2015 2016 2017 2015 2016 2017
Slide 22: COGS Compositions in FY 2017
COGS COMPOSITIONS IN FY 2017 22 Electricity & Others 4% Depreciation Water 5% 5% Labour 5% Raw Materials 81%
Slide 23: Sales Segmentation
SALES SEGMENTATION 23 GPM by SEGMENT 2013-17 SALES CAGR Total Gross Sales contribution by Segment and EBITDA Margin (2017) 20.0% 21.5% 18.8% 13.5% 14.8% 759 199 Garment 680 Garment 631 +26,79% 174 33% 589 547 136 (26%) 106 77 (25%) 193 Finishing (14%) (19%) (22%) Finishing (15%) 153 153 170 176 +5,9
Slide 24: GP & GPM Segmentation
GP & GPM SEGMENTATION 24 SPINNING (USD Mn) WEAVING (USD Mn) 13% 13% 13% 18% 16% 17% 39 31 26 13 13 10 2015 2016 2017 2015 2016 2017 FINISHING (USD Mn) GARMENT (USD Mn) 26% 25% 27% 33% 33% 32% 45 66 45 30 39 2015 2016 2017 2015 2016 2017
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Slide 26: Inauguration of Factory Expansion by President of Indonesia
INAUGURATION OF FACTORY EXPANSION 26 SUKOHARJO, 21 APRIL 2017 Video : www.sritex.co.id/video-gallery BY PRESIDENT REPUBLIC OF INDONESIA
Slide 27: Recently Acquired Companies
27 Recently Acquired Companies BITRATEX Started since 1979, one of the leading manufacture and exporters of finest quality spurn yarn in Indonesia. Manufacturing plant is located in Semarang, Central Java. The Capacity is 165,000 spindle. 3 different yarn spinning technologies: - Ring Spinning - Ope
Slide 28: Awards
28 Most Powerful Company 2017 Top Emiten 2017 Category Textile and Garment Sector Textile and Garment Warta Ekonomi Top Capital Market 2017 Best Liability Management The Top 50 Company 2016 Rank A Rank-1 Asset Asian Award 2016 by Triple A. Best of the Best Awards Best GCG 2016 Textile and Garment Gr
Slide 29: Recognition & Awards
MUSEUM REKOR DUNIA MUSEUM REKOR DUNIA INDONESIA INDONESIA,
Slide 30: Disclaimer
DISCLAIMER 30 THIS PRESENTATION IS BEING PRESENTED TO YOU SOLELY FOR YOUR INFORMATION AND MAY NOT BE REPRODUCED, REDISTRIBUTED OR PASSED ON, DIRECTLY OR INDIRECTLY, TO ANY OTHER PERSON OR PUBLISHED, IN WHOLE OR IN PART, FOR ANY PURPOSE. This presentation has been prepared by PT Sri Rejeki Isman Tbk
Slide 31: Thank You
31 THANK YOU CLOTHING THE WORLD Integrated Vertical Textiles – Garments Plant an ISO 9001 & ISO 14001 Certified Company JL. KH. Samanhudi 88 Jetis, Sukoharjo 57511, Solo, Central Java, Indonesia (62-271) 593 188 | (62-271) 593 488 (fax)
Slide 32: PT Sri Rejeki Isman Tbk
PT SRI REJEKI ISMAN Tbk JL. KH. Samanhudi 88 Jetis Sukoharjo 57511, Solo Central Java – INDONESIA Tel : +62-271 593188 Fax : +62-271 593488 THE ENERGY BUILDING LT. 20 SCBD Lot 11A Jl. Jenderal Sudirman Kav 52-53 Jakarta Selatan 12190 – INDONESIA Tel : +62-21 2995 1619 Fax : +62-21 2995 1621