China Petrochemical Development Corporation · TWSE:1314
China Petrochemical Development — Q2 2018 Earnings Presentation
33 slides from China Petrochemical Development's earnings presentation, 2018
Slide 1: China Petrochemical Development Corporation Investor Conference
China Petrochemical Development Corporation 中國石油化學工業開發股份有限公司 Investor Conference Respect．Innovation．Care．Excellence．Green Business
Slide 2: Disclaimer
Disclaimer • This presentation is for informational purposes only, contains preliminary financial and other information about China Petrochemical Development Corporation and is subject to updating, revision, amendment and completion. This presentation does not and is not intended to constitute or co
Slide 3: Agenda
1 2 3 Future 4 Company Operations Financial and Developments Summary Profile Products and Challenges 3
Slide 4: Company Profile
Company Profile Respect．Innovation．Care．Excellence．Green Business Effective integration of the Petrochemical Industry Expand new business in Land Development 2018 中國石油化學工業開發 股份有限公司 China Petrochemical Development Corporation
Slide 5: Core Values
Green Business Respect Innovation Core Values Care Excellence CPDC strongly believes in a market-oriented approach and the search for excellence as a basic principle. Continued improvements in quality and innovation to bring customer satisfaction in products and services, moving towards to “Zero def
Slide 6: Petrochemical Core Business and Land Development
Petrochemical Core Business : To realize a green petrochemical industry To become a leading supplier of CPL, AN, and other high value materials. Land Development : Respect for the natural ecology, combine architecture, arts, humanities, and charity to create a co-existing living environment with the
Slide 7: Market Focused Innovation, Develop Talents, Excellence
Market Focused Innovation Develop Talents Excellence Providing products and Develop new technology, Develop talents, take With forward looking services new products, integrate responsibility, team work, thinking, continue to resources, smart production, and work hard towards the improve, and develop
Slide 8: Market positions in Taiwan and globally
Only CPL manufacturer in Taiwan Taiwan Top 2 AN manufacturer in Taiwan Top 5 CPL manufacturer in the world Global Top 10 AN manufacturer in the world 8
Slide 9: Operations map and production sites
Jiangsu Rudong Shanghai WeiQiang Petrochemical Weiming Jiangsu Petrochem Trading Rudong Weihua Trading CPDC Taipei HQ Jiangsu Kunshan Toufen China HQ CPL Production Dashe 200k tons/yr Nylon Chips Production CPDC HQ 36k tons / yr AN Production Hsiaokang 224k tons/yr CPL Production 200k tons/yr 9
Slide 10: Operations and Land Development
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Slide 11: Company history and milestones
2019 Jiangsu Rudong Weiming Petrochemical PA6 plant on stream 2018 Jiangsu Rudong Weiming Petrochemical cyclohexanone on stream 2015 2016 2017 Tou-Fen plant launched high quality product o-phenylphenol (OPP) Implemented 2nd CPL plant at Tou-Fen plant Implemented phenolone plant at Tou-Fen plant Expa
Slide 12: Organization
10 Operational Management ｜ Organization｜ Project Control Group Vertical Integration Investment Group Strategic Planning Weichu New Material China Investment Weida Corporation Group Division Weida Petrochemical Weiqiang Trading Weiqiang International Trading Weihua Trading Weiming Petrochemical Shar
Slide 13: CSR Committee Structure
CSR Committee Structure The Board of Directors Secretariat of the Board CPDC CSR Committee Chairperson: Chairman CSR Committee Secretariat Secretary-General: President CSR Committee Executive Secretary Workplace Safety Center and Environmental Protection Center/ Business Relations Group Governance T
Slide 14: CSR Performance
2013 CSR Committee Officially established Held Charitable activities (already served 70 groups up to 2018Q2/5700 person) 2014 Award of The eleventh session A+ Evaluation of information disclosure Award of Top 50 Corporate Sustainability Report in Taiwan Silver Award of Traditional manufacturing of l
Slide 15: Operations and Products
Operations and Products Respect．Innovation．Care．Excellence．Green Business Effective integration of the Petrochemical Industry Expand new business in Land Development 2018 中國石油化學工業開發 股份有限公司 China Petrochemical Development Corporation
Slide 16: Nylon Products
Nylon Products Caprolactam(CPL) Nylon Chips Downstream Applications Textile Fiber Engineering plastics Film Fiber Nylon chips Stockings, material for Auto parts, gear Food packaging, Stockings, material for clothing clothing Packaging film medical Umbrella, parachute, air bag Umbrella, parachute, Hi
Slide 17: AN Products
AN Products Acrylonitrile(AN) Downstream Applications Acrylic Fiber ABS/AS Plastic NBR Rubber Acrylamide PC casing Electric wire insulating material Water treatment agent Material for clothing Oil-resistant rubber components Blanket, carpet Automobile Soil absorption agent, for automobile and machin
Slide 18: Specialty Products
Specialty Products O - phenylphenol (OPP) Downstream Applications Bactericidal Preservatives High-end Optical Materials Electronic Materials & Other Bactericidal Preservatives, High Refraction Material, New Medicine Intermediate, Flame Retardant Material New High Poly Monomer Dye Carrier 18
Slide 19: Engineering Plastic Products
Engineering Plastic Products Engineering Plastic Downstream Applications Mechanical Electronic Auto & Locomotive Sporting OA Components Components industries goods furniture 19
Slide 20: 2017 Products Mix
｜ 2017 Products Mix｜ 29% 63% 8% Other Caprolactam(CPL). Nylon Chips (Nylon 6) Acrylonitrile (AN) and Byproducts 20
Slide 21: Production volumes of AN, CPL and Nylon6
Unit：10k Tons 70.0 5 Year Production 60.0 50.0 40.0 38.0 2016-2017 YOY 29.9 30.7 25.1 25.7 AN 4.42% 30.0 CPL 23.57% 20.0 19.3 10.0 19.6 20.4 19.4 19.8 20.7 10.6 AN CPL 0.0 2013 2014 2015 2016 2017 2018 H1 Nylon6 21
Slide 22: Domestic and export sales volumes
5 Year Sales Volumes Domestic 2016 2017 2016 2017 AN/CPL/Nylon6 AN 71.14% 71.57% CPL 98.64% 98.61% AN CPL 28.86% 28.44% 1.36% 1.39% Exports AN/CPL/Nylon6 600,000 Units: Tons 600,000 Units: Tons 500,000 500,000 400,000 400,000 300,000 360,198 300,000 261,708 290,873 243,973 232,210 200,000 200,000 8,
Slide 23: Future Development
Future Development Respect．Innovation．Care．Excellence．Green Business Effective integration of the Petrochemical Industry Expand new business in Land Development 2018 中國石油化學工業開發 股份有限公司 China Petrochemical Development Corporation
Slide 24: Challenges in recent years and strategies
27 Challenges in recent years and strategies Tariff trade Excess capacity barriers in China area Challenges Environmental US-China Trade awareness War rising Close to Advantage Seizing Resolution the market Strategies Reducing Vertical Place Chances in transportation integration of importance on Chi
Slide 25: Dual Focus Development Strategy
Dual Focus Development Strategy CPDC develops Petrochemical Industry and Land development as the main strategy with the goals of sustainable development, creating value for stockholder and accomplished CSR Petrochemical Land Core Business Development 25
Slide 26: Sustainable development
18 Sustainable development Effectively integrated Developing land Petrochemical Industry development business Improving management system and recreating Planning multiple innovative residence design business culture and advocating green building Improve management efficiency through Developing green
Slide 27: Financials Summary
Financials Summary Respect．Innovation．Care．Excellence．Green Business Effective integration of the Petrochemical Industry Expand new business in Land Development 2018 中國石油化學工業開發 股份有限公司 China Petrochemical Development Corporation
Slide 28: Last 6Q Performance
Unit：NT$ million 3,500 Last 6Q Performance 2,990 3,000 稅後淨利 1H YOY 2,500 Op Profit -4.02 % Net Profit -46.21 % 2,000 1,594 1,500 1,324 1,217 1,106 1,151 1,104 1,000 912 690 804 623 500 194 0 2017Q1 2017Q2 2017Q3 2017Q4 2018Q1 2018Q2 Sales 9,017 7,484 7,888 8,947 9,495 9,448 28
Slide 29: Operating Margin
Operating Margin 45 40 39.96 毛利率(%) 35 營業淨利率(%) 30 稅後淨利率(%) 25 22.02 17.68 18.17 20 14.03 13.25 14.68 15 14.68 12.86 8.73 12.88 8.74 10 12.36 11.62 9.66 7.89 8.47 5 2.59 0 2017 2017 2017 2017 2018 2018 Q1 Q2 Q3 Q4 Q1 Q2 29
Slide 30: Financial Ratios
50.00% 46.55% Financial Ratios 45.00% 43.37% 負債比率(%) 40.00% 37.09% 負債權益比(%) 35.00% 31.77% 30.25% 30.51% 30.03% 29.78% 30.00% 27.06% 25.00% 23.37% 23.10% 22.95% 20.00% 15.00% 10.00% 5.00% 0.00% 2017 2017 2017 2017 2018 2018 Q1 Q2 Q3 Q4 Q1 Q2 30
Slide 31: Capex and Cash Flow
Capex and Cash Flow Unit: NT$ 100 million 20 Net Op. Cash Net Op. 營業活動淨現金流入Cash Flow NFlow Capex -資本支出 15.91 15 11.32 9.47 10.33 10 6.69 5 3.54 0 2017Q1 2017Q2 2017Q3 2017Q4 2018Q1 2018Q2 -5 -3.68 -3.06 -4.71 -4.44 -5.94 -10 -10.68 -15 31
Slide 32: EPS
EPS 1.4 1.28 EPS (NT$) EPS(元) 1.2 1 0.8 0.6 0.43 0.41 0.45 0.57 0.4 0.2 0.27 0 2017 2017 2017 2017 2018 2018 Q1 Q2 Q3 Q4 Q1 Q2 32
Slide 33: Q&A
Q&A 中國石油化學工業開發股份有限公司 China Petrochemical Development Corporation 33
China Petrochemical Development — Q2 2018 Earnings Presentation on 6ix