Synergetic Auto Performance Public Co. Ltd. · SET:ASAP

Synergetic Auto Performance Public — Q2 2018 Earnings Presentation

40 slides from Synergetic Auto Performance Public's earnings presentation, Sep 3, 2018

  1. Slide 1: Opportunity Day for Q2/2018

    Strictly Private & Confidential Strictly Private & Confidential Synergetic Auto Performance Public Company Limited Opportunity Day for Q2/2018 3 September 2018

  2. Slide 2: Disclaimer

    Disclaimer The information contained in this presentation is strictly confidential and is provided by Synergetic Auto Performance Public Company Limited (“asap” or the “Company”) to you solely for your information. Neither this presentation nor any part hereof may be (i) used or relied upon by any o

  3. Slide 3: Agenda

    AGENDA Section 1 Industry Landscape Section 2 Performance Update & Recent Development Section 3 2020 Financial Target & Strategies Section A Appendix

  4. Slide 4: Industry Landscape

    INDUSTRY LANDSCAPE

  5. Slide 5: Industry Landscape

    Industry Landscape “Domestic car sales returning to its norm and corporate/rental fleet continue to expand with mix shifted” Fleet market has been growing steadily regardless of effect from economy and fluctuation Numbers of new cars sold in Thailand in cars market (mn cars) • Fleet market has 2 mai

  6. Slide 6: 2018 Car Rental Market

    2018 Car Rental Market “Steadily growth and favorable outlook with double the GDP growth” • Car rental market size in 2017 was at THB 42.5 bn, growing steadily at the rate of 15% CAGR from 2006-2017 Car Rental • The market can be classified into 2 categories; long-term rental and short-term rental O

  7. Slide 7: Performance Update & Recent Development

    PERFORMANCE UPDATE & RECENT DEVELOPMENT

  8. Slide 8: Key Updates

    Key Updates Recent Development Upcoming in 2H 2018 Continuing Car Rental Portfolio Expansion 1 Long-term rental • Revised portfolio expansion target from 4,000 to > 5,500 cars LT Rental: 12,667 cars: (+14%) Expanding portfolio by retain existing  3,105 new booking in 1H 2018 customers and acquire n

  9. Slide 9: Key Updates – asap Auto Park

    Key Updates – asap Auto Park Note: Jun 2018 Q3 2018 Q4 2018 Early 2019 2H 2019 Company Project Franchise Project 100% Soft Opening Rolling out Grand Opening Franchise Project to Tenants Occupancy (Car Rental & Franchising Program (All Area) Start (1-2 locations) Used Cars) Progress Update Photos Rev

  10. Slide 10: asap Auto Park

    asap Auto Park Strictly Private & Confidential Page 9

  11. Slide 11: asap Auto Park

    asap Auto Park Strictly Private & Confidential Page 10

  12. Slide 12: asap Auto Park

    asap Auto Park Strictly Private & Confidential Page 11

  13. Slide 13: asap Auto Park

    asap Auto Park Strictly Private & Confidential Page 12

  14. Slide 14: asap Auto Park

    asap Auto Park Strictly Private & Confidential Page 13

  15. Slide 15: asap Auto Park

    asap Auto Park Strictly Private & Confidential Page 14

  16. Slide 16: Application: asap Go

    Application : asap Go Strictly Private & Confidential Page 15

  17. Slide 17: asap Go - Interchange21

    asap Go - Interchange21 (Sukhumvit Rd, Khwaeng Khlong Toei Nuea) Strictly Private & Confidential Page 16

  18. Slide 18: asap Go – The Vue

    asap Go – The Vue (Soi Charoeanakorn 13) Strictly Private & Confidential Page 17

  19. Slide 19: asap Go – Foodland Pattaya

    asap Go – Foodland Pattaya Strictly Private & Confidential Page 18

  20. Slide 20: asap Go – Foodland Charansanitwong

    asap Go – Foodland Charansanitwong Strictly Private & Confidential Page 19

  21. Slide 21: asap Go – S.V. City Rama 3

    asap Go – S.V. City Rama 3 Strictly Private & Confidential Page 20

  22. Slide 22: asap Go – Maneeya (Phloen Chit)

    asap Go – Maneeya (Phloen Chit) Strictly Private & Confidential Page 21

  23. Slide 23: asap Go – Foodland Brio

    asap Go – Foodland Brio (Phutthamonthon Sai 4 Rd, Tambon Salaya) Strictly Private & Confidential Page 22

  24. Slide 24: asap Go – Sathorn Thani

    asap Go – Sathorn Thani (Sathon Rd) Strictly Private & Confidential Page 23

  25. Slide 25: Q2/2018 Financial Performance

    Q2/2018 Financial Performance Q2/2017 Q2/2018 % YoY Income Statement (THB mn) % of sales (THB mn) % of sales Total revenue 511 635 +24% 1 Revenue from car rental: Strong revenue growth 1 Revenue from car rental 404 79% 526 83% +30% (+30%) from continuing portfolio expansion mainly in long-term renta

  26. Slide 26: Revenue by Business Segments

    Revenue by Business Segments Q2/2018 Total Revenue : THB 641 mn Car Rental Business Used Car Sales Business Other Revenue 17% 1% 82% • Revenue from insurance • Commission Auction House Online Sales • Fees from early termination Long-term Short-term • Other Revenue asap Auto Park (future channel) Cha

  27. Slide 27: Car Rental Business Revenue

    Car Rental Business Car rental revenue was THB 526 mn in Q2 2018 +8.4% QoQ and 600 EBITDA Margin 100% +30.3% YoY with 94% contribution from long-term car rental 500 74.2% Revenue (THB mn) 71.8% 72.7% 71.5% 71.0% 68.4% 75% • Revenue from long-term car rental was at THB 496mn +10.0% Margin (%) 400 486

  28. Slide 28: Used Car Sales Business Revenue

    Used Car Sales Business Used cars sales revenue was THB 108 mn in Q2 2018 -4.7% 120 Gross Profit Margin 15% QoQ but +1.7% YoY 11.9% 115 Revenue (THB mn) 10.1% 10.6% 10.0% • About 70% of used car sales was through auction in Q2 9.3% Margin (%) 110 8.2% 10% 2018 while online and direct sales accounted

  29. Slide 29: ASAP's 2020 Target & Strategies

    ASAP’S 2020 TARGET & STRATEGIES

  30. Slide 30: 2020 Financial Target

    2020 Financial Target “Our journey towards achieving 2020 target” Key Indicators 2017A 1H 2018 2018F 2020F 2020 Target: ASAP to be … Number of Cars 11,133 14,133 15,500 20,000 1 A leading player in rental cars fleet Total Revenue 2,112 1,249 2,700-2,800 4,500-5,000 (THB mn) Gross Margin 2 The larg

  31. Slide 31: Appendix

    APPENDIX

  32. Slide 32: ASAP Stock Information

    ASAP Stock Information Stock Information Share Price Movement Bloomberg/ Reuters ASAP TB/ ASAP BK Share Price (16 August 2018) THB 6.05 15 300 52-week high THB 12.50 52-week low THB 3.84 12 No. of paid-up shares 726 mn Share price (THB) Vol. (mn shares) 200 Market Capitalization THB 4,392 mn 9 THB 6

  33. Slide 33: 6M 2018 Income Statement

    6M 2018 Income Statement (unit THB mn) 6M 2018 % of 6M 2017 % of % change revenue revenue YoY Revenue 1,234 987 24.9% Cost of goods sold and services (964) (78.1%) (777) (78.7%) 24.1% Gross Profit 269 21.9% 210 21.3% 28.2% Selling Expense (19) (1.5%) (15) (1.5%) 25.1% Administrative Expense (55) (4.

  34. Slide 34: Statement of Financial Position as of 30 June 2018

    Statement of Financial Position as of 30 June 2018 (unit THB ’000) Jun 2018 % of Dec 2017 % of total assets total assets % change Cash & cash equivalents 43 0.4% 40 0.5% 6.8% Accounts receivables 305 2.8% 202 2.3% 51.2% Cars 9,795 89.0% 7,883 90.0% 24.3% Other PPE 136 1.2% 27 0.3% 402.2% Other asset

  35. Slide 35: 6M 2018 Statement of Cash Flow

    6M 2018 Statement of Cash Flow (unit THB mn) 6M 2018 6M 2017 % change YoY Earnings before income tax 60 52 16.1% Adjustment for depreciation and amortization 533 424 25.8% Other adjustment 110 80 36.4% Change in operating assets and liabilities 13 26 (49.6%) Cash flows from operating activities 715

  36. Slide 36: Key Financial Ratios

    Key Financial Ratios Q2/2018 2017 2016 2015 Liquidity Ratios Collection Period (days) 36.96 33.00 32.94 30.99 Days Payable (days) 77.66 41.33 38.33 17.45 Efficiency Ratios Return on Assets (%) 1.40 1.99 1.39 1.77 Return on Equity (%) 9.60 14.60 11.10 11.71 Leverage Ratios Debt to Equity (times) 5.68

  37. Slide 37: asap's Portfolio – Car Rental Business

    asap’s Portfoilio – Car Rental Business Portfolio by type of cars (as of 30 June 2018) Revenue by type of Customers for 6M 2018 Corporate – LT 71% Small 2,000 15.0% Corporate – Chauffer 3% Compact 3,327 25.0% Government 22% THB Mid-Size 1,921 14.4% 1,012 mn Individual – ST & LT 4% Executive 164 1.2%

  38. Slide 38: Track Record – Car Rental Business

    Track Record – Car Rental Business “More than 10 years of experience in the industry builds a solid track record” No. of rental cars in portfolio 13,314 “Key business risks are eliminated through our strong CAGR ≈ 44% 10,559 customer profile and car portfolios” 7,512 4,780 Our customers’ retention r

  39. Slide 39: Our Achievement Stories

    Our Achievement Stories “asap has been continuously developing its business and providing service as superior and satisfied as possible”  K.Songvit & K.Parinda opened Siam Nissan P2M Co., Ltd. as 1995  Change par from THB 1.00 per share to be THB 0.50 per share Nissan’s car dealer (3 branches at p

  40. Slide 40: Good CG Practice for Car Procurement

    Good CG Practice for Car Procurement Strict internal policy for car procurement • Procurement policy set up and approved by the board of directors • Clear pricing structure specified in the policy having MSRP as reference price list • Keep all records of information and documents and report to Audit

Synergetic Auto Performance Public Company — Q2 2018 Earnings Presentation on 6ix