Riverstone Holdings Limited · SGX:AP4
Riverstone — 1Q FY2024 Earnings Presentation
32 slides from Riverstone's earnings presentation, 2024
Slide 1: Riverstone Holdings Ltd Corporate Presentation 1Q FY2024
Slide 2: Disclaimer
DISCLAIMER This presentation may contain forward looking statements that involve risks and uncertainties. Actual future performance, outcomes and results may differ materially from those expressed in forward looking statements as a result of a number of risks, uncertainties and assumptions. Represen
Slide 3: Agenda
• Business Overview • Key Milestones • Group Structure • Financial Highlights • Investment Merits • ESG Presentation 3
Slide 4: Manufacturing
Manufacturing High Tech Cleanroom Gloves Premium Healthcare Gloves Cleanroom Consumables 4
Slide 5: Key Milestones
1989 1994 2006 2009 2013 2020/21 5
Slide 6: Group Structure
Riverstone Holdings Limited (Investment Holding) Riverstone Resources Riverstone Cleanroom Riverstone Resources Eco Medi Glove Sdn Protective Technology Sdn Bhd Products Sdn Bhd (Singapore) Pte. Ltd. Bhd Co. Ltd. Cleanroom & (fka Riverstone Industrial Distribution Cleanroom Cleanroom & Cleanroom Glo
Slide 7: Malaysia Operations
MALAYSIA (TAIPING) MALAYSIA (BUKIT BERUNTUNG) RIVERSTONE RESOURCES SDN BHD RIVERSTONE RESOURCES SDN BHD MALAYSIA BUKIT BERUNTUNG) MALAYSIA (TAIPING) RIVERSTONE CLEANROOM PRODUCTS SDN BHD ECO MEDI GLOVE SDN BHD 7 fka RIVERSTONE INDUSTRIAL PRODUCTS SDN BHD
Slide 8: China and Thailand Operations
CHINA THAILAND RIVERSTONE RESOURCES (WUXI) COMPANY LIMITED PROTECTIVE TECHNOLOGY COMPANY LIMITED 8
Slide 9: Business Segment
BUSINESS SEGMENT 01. CLEANROOM BUSINESS 02. HEALTHCARE BUSINESS Hy) Cleanroom gloves VY) Examination gloves Ss) Cleanroom consumables ® Food grade gloves ds) Personal protective equipment
Slide 10: Cleanroom Business
}O1 Introduction Cleanroom gloves: To protect semiconductor products from contamination, corrosion & ESD. 03] Business Model (i) Riverstone is an own-brand manufacturer (OBM), developing high tech cleanroom gloves that’s sold directly to customers via regional offices (ii) Riverstone provides soluti
Slide 11: Healthcare Business
}O1 Introduction Healthcare gloves offer users a protection barrier against biohazards whilst performing general medical practices. 03] Business Model (i) Riverstone develops in-house & produce specialty gloves (ii) Riverstone is an OEM for selected customers HEALTHCARE BUSINESS 02 Product Suite + P
Slide 12: 1Q FY2024 Financial Highlights
1Q FY2024 1Q FY2024 (RM'000) (RM'000) 249,471 249,471 97,469 97,469 91,723 91,723 72,185 72,185 *Totaled figures may have some discrepancy due to rounding 12
Slide 13: Revenue by Quarter
3,500.0 3,082.5 3,000.0 410.2 2,500.0 652.8 2,000.0 1,829.8 Q4 Q3 Q2 Q1 987.2 1,500.0 720.8 1,259.5 235.2 914.8 1,000.0 482.3 270.0 229.8 352.0 222.8 1,032.3 500.0 347.3 224.2 249.5 402.3 279.4 238.0 249.5 0.0 2020 2021 2022 2023 2024 13
Slide 14: Profit Chart by Quarter
2,500.0 1,906.8 2,000.0 154.4 357.2 1,500.0 Q4 Q3 Q2 Q1 686.9 897.6 1,000.0 448.3 450.3 500.0 70.8 295.5 708.3 91.2 251.6 91.0 133.8 77.8 97.5 130.6 154.5 64.8 67.1 61.9 97.5 0.0 2020 2021 2022 2023 2024 14
Slide 15: Financial Chart by Quarter
2,000.0 1,800.0 1,600.0 1,417.9 1,400.0 110.8 1,200.0 266.4 Q4 Q3 1,000.0 Q2 Q1 800.0 518.0 647.2 600.0 331.1 400.0 314.4 42.0 220.4 522.7 63.5 178.6 200.0 67.5 100.2 59.3 72.2 90.9 46.9 108.7 72.2 46.6 46.7 0.0 2020 2021 2022 2023 2024 15
Slide 16: Financial Chart by Quarter
1,569.8 1,600.0 45.9 1,400.0 449.0 1,200.0 Total 1,000.0 Q4 Q3 Q2 800.0 702.7 600.4 Q1 600.0 296.0 378.6 400.0 184.5 97.5 249.1 47.2 474.5 83.0 200.0 125.9 170.5 68.2 46.7 108.0 51.6 51.7 46.3 46.7 0.0 2020 2021 2022 2023 2024 16
Slide 17: Dividend and Payout
Dividend Dividend Payout 60.00 180.0% 160.3% 151.3% 160.0% 50.00 48.00 140.0% 40.00 120.0% RM Sen/Share 34.00 100.0% 30.00 80.0% 24.00 82.1% 22.50 20.00 55.6% 55.0% 60.0% 48.4% 49.3% 50.2% 45.0% 45.2% 45.5% 42.4% 40.0% 40.7% 42.0% 36.0% 37.8% 38.6% 40.0% 28.0% 10.00 7.00 6.75 7.40 6.45 6.49 20.0% 3.
Slide 18: Advantages & Opportunities
ADVANTAGES & OPPORTUNITIES Competitive Advantages ot Extensive R&D @ Leading in-house technology Partnership & collaboration with ww (in terms of Electrostatic customers Discharge properties) Soluti id State-of-the-art product ae High barrier to entry for cleanroom olutions provider testing faciliti
Slide 19: Investment Merits
RESILIENT BALANCE SHEET AT ALLTIMES SINCE 2006 INVESTMENT MERITS CONSISTENT DIVIDEND PAYOUT DISTINCTION FROM PEERS + Net cash position + Sustainable positive operating cash flow EXTENSIVE R&D + Consistent payout since listing FLEXIBLE PRODUCTION FACILITIES + 2 sources of revenue (diversified) + High
Slide 20: Recent Challenges
RECENT CHALLENGES Challenges Solutions & Competition from newcomers & * Diversified into 2 sources 2 Chinese manufacturers 3 (Cleanroom & Medical) Well-established with tr) Increase in gas, utility and labour cost ea greater experience/expertise i (Customer trust) tl © Overcapacity of medical gloves
Slide 21: ESG Presentation 2024
IN Riverstone Holdings Ltd ESG presentation 2024 Social . Corporate Environmental Compliance Governance . Hit 21
Slide 22: Reduce Water Usage
REDUCE WATER USAGE 23%* Using '20 as 19%* baseline 14%* '25 10%* '24 5%* saving target '23 0% '22 '21 '20 *All % water savings are calculated by using '20 as the baseline. Existing Ongoing Future Future REDUCE WATER FREQUENCY OF RAINWATER RECYCLING PROCESS HARVESTING PRODUCT SYSTEM OPTIMISATION COLO
Slide 23: Reduce Electricity Consumption
REDUCE ELECTRICITY CONSUMPTION 10%* Using '20 as 8%* baseline 6%* '25 4%* '24 2%* saving target '23 0% '22 '21 '20 *All % electricity savings are calculated by using '20 as the baseline. Ongoing Ongoing Ongoing Future IMPROVEMENT REDUCE ON PACKING CHILLER FREQUENCY OF IMPLEMENTING AREA FRESH HYBRID
Slide 24: Reduce Wastage
REDUCE WASTAGE Reduce Frequency of Product Colour Changeover Current Colour Options Fewer Colour Options 3 years target Target: reduce waste by 50% '22 '25 "When different product colours are requested, Reduce WASTE is created due to PRODUCT CHANGEOVER" WASTE Reduced Product Colour Options = Fewer C
Slide 25: Environmental: Solar Panel and Biomass
ENVIRONMENTAL + Reduces greenhouse gas emission by over 1,500 tCO,/year. G (i) * Biomass is a renewable energy source from byproducts (sawdust, wood o/ chips & palm kernels). * Continuous Emission Monitoring System (CEMS) has been installed to improve emission observations wi? 25
Slide 26: Workers' Hostel
• Built our own workers' hostel equipped with gymnasium, indoor sports arena, first aid room, barber shops, grocery shops, and laundry services. 26
Slide 27: Employee Benefits and Training
• Provides fair and competitive • Provides technical and soft skills remuneration with comprehensive training, language classes, and local benefits to our employees cultural adaptation classes to all local and foreign employees. • Periodically rewards employees with incentives on top of annual incre
Slide 28: Education Assistance for Employees' Children
• Annual budget allocated to provide our employees' children with payment assistance when school reopens. 28
Slide 29: Board Structure and Committees
BOARD STRUCTURE • COMMITTEES • • • Voluntary Quarterly Financial Reporting • • 29
Slide 30: Management Diversity and ESG Committee
MANAGEMENT DIVERSITY • • ESG COMMITTEE • • • 30
Slide 31: Certifications & Compliances
CERTIFICATIONS & COMPLIANCES @ aniZation ory goon fop rs ES, & IBS &. f : Ex EDA 3 a § 3 So} : ISO) r 2 gf % S — 510(k) eas : 2016 ee 2018 Advancing Sustainability Globally <gpi22t10N fo, so & SEX Iso: Ney’ 9001: 2015 14001:2015 io, yoternar 3]
Slide 32: Thank You
THANK YOU
Riverstone Holdings — 1Q FY2024 Earnings Presentation on 6ix