Dynamic Holding Co Ltd · TWSE:3715

Dynamic — Q2 2021 Earnings Presentation

33 slides from Dynamic's earnings presentation, Aug 24, 2021

Slide 2: Content
Content 1. Company Profile 2. Market Trend 3. Overview of operation for Q2, 2021 4. Outlook for Dynamic 5. Major Recent Events 2021 © Dynamic Electronics Co., Ltd. All Rights Reserved.
Slide 3: Disclaimer
Disclaimer  The forward-looking statements in this report contain unknown risks and uncertainties, which may cause actual operating results to be materially different from the forward-looking statements, the statements about historical events are excluded.  The forward-looking statements in this r
Slide 6: Four Goals in 2021
Four Goals in 2021 Transform Sustainability (Smart (ESG) Manufacturing) Upgrade Profit (Precision (Internal Process) Growth) 2021 © Dynamic Electronics Co., Ltd. All Rights Reserved.
Slide 7: Company Snapshot
Company Snapshot Founded in Capital Employee 1988 USD 92.50 M 6,000 Revenues (2020) Global Operations USD 420 M Taiwan, China, America, Europe, Asia 2021 © Dynamic Electronics Co., Ltd. All Rights Reserved.
Slide 10: Prediction of global electronic product demand
Prediction of global electronic product demand  Gartner predicts that the global demand for electronic products will grow at a rate of 16.9% in 2021, and will remain high growth momentum in 2022, with a growth rate of 10.4%. Gartner 2021/05 2021 © Dynamic Electronics Co., Ltd. All Rights Reserved.
Slide 11: Forecast on growth momentum of applications
Forecast on growth momentum of applications  Gartner’s forecast on the growth momentum of global major applications. Gartner 2021/05 2021 © Dynamic Electronics Co., Ltd. All Rights Reserved. 11
Slide 12: Global Light Vehicle Sales (I)
Global Light Vehicle Sales (I) Mar. 2017:95.0 m 87.8 m units units Jul. 2020:77.8 m 82.12 units m units LMC Automotive July 2021 2021 © Dynamic Electronics Co., Ltd. All Rights Reserved. 12
Slide 13: Global Light Vehicle Sales (II)
Global Light Vehicle Sales (II)  The global light vehicle sales in July continued the weaker trend of the previous 3 months.  The US market continued to be impacted by low inventories caused by chip shortage. The imbalance of supply and demand saw average transaction prices soar, meanwhile incenti
Slide 14: Automotive Sales v.s. Inventory Trends-USA
Automotive Sales v.s. Inventory Trends-USA Federal Reserve Economic Data July 30, 2021 • Shaded regions depict recessions (2008/2009; 2020) • Prior to 2008, US sales rates around 17M vehicles before decline in 2008/2009. Did not recover back until 2014. • Compared to 2008/2009 recession, 2020 experi
Slide 15: The Development of EV is Unstoppable
The Development of EV is Unstoppable  The timelines of each country’s policies have become clear, and the development of EV is unstoppable.  Three major driving forces of EV in the world: global warming, carbon emission standard, and favorable policies MIC June 2021 2021 © Dynamic Electronics Co.,
Slide 16: Diesel-Powered Vehicles v.s. New Energy Vehicles
Diesel-Powered Vehicles v.s. New Energy Vehicles After 2025, fuel types of In 2030, new vehicles will face energy vehicles recession and new will account for energy vehicles will more than 30% gradually rise. Deloitte 2021/04/03  It is estimated that the sales of electric vehicles in the next 10 ye
Slide 17: Various players actively enter the EV market
Various players actively enter the EV market Leading Manufacturer Traditional Hilltop Emerging Forces MIC June 2021 2021 © Dynamic Electronics Co., Ltd. All Rights Reserved. 17
Slide 18: Emerging automakers subvert the supply chain
Emerging automakers subvert the supply chain  The traditional automakers come with solid supply chain, and they are responsible for vehicle assembly, specification, and research and development of key technologies. Tier 1 suppliers are responsible for systems, sub-systems, key components with R&D a
Slide 19: LME Copper Price Trend
LME Copper Price Trend LME Copper Price (USD) 12000 10,184 10000 9336 9,599 9005 9,434 8460 7756 7971 8000 7063 6712 6703 6354 6497 6049 5686 5723 6000 5178 5048 5234 4000 2000 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul 2020 2020 2020 2020 2020 2020 2020 2020 2020
Slide 21: 2021 Q2 Revenue by Application
2021 Q2 Revenue by Application Network & Consumer Server 3% Q2 3% PC & Q1 Network & Consumer Server 3% Peripherals 4% Storage PC & Storage 6% Device Peripherals Automotiv Device Automotive 15% 7% e 17% 50% Display 52% Panel Display 19% Panel 21% Automotive Display Panel Storage Device Network & Serv
Slide 22: Consolidated Income Statement
Consolidated Income Statement Accounts Q-o-Q Y-o-Y Q1-Q2 Q1-Q2 Y-o-Y 2Q21 1Q21 2Q20 (TWD 100M) Change% Change% 2021 2020 Change% Sales Revenue 39.16 35.62 9.9 % 27.15 44.3 % 74.78 57.50 30.0 % Gross Profit % 12.6 % 8.6 % 4.0 % 16.5 % (3.9)% 10.7 % 15.7 % (5.0)% ppts Operating expenses 3.05 2.69 13.2
Slide 23: Consolidated BS & Financial Indicator
Consolidated BS & Financial Indicator Accounts 2Q21 1Q21 2Q20 (TWD 100M) Amount % Amount % Amount % Cash and cash equivalents 25.27 15.5% 18.19 12.4% 8.51 7.1% Accounts receivable 41.98 25.7% 39.33 26.8% 30.97 25.8% Inventories 26.99 16.5% 20.33 13.9% 17.15 14.3% Property, plant and equipment 54.02
Slide 24: Consolidated Cash Flow Statement
Consolidated Cash Flow Statement (TWD 100M) 2Q21 1Q21 2Q20 Cash at beginning of period 18.19 9.99 16.45 Cash Flow from Operating 0.76 2.48 2.63 Capital Expenditure (1.48) (3.76) (1.01) Cash Dividends Paid Cash Flow from Financing 8.17 7.46 (9.27) Investment & Other (0.20) 0.11 (0.29) Cash at end of
Slide 25: 2021Q2 Summary
2021Q2 Summary  Q2 revenue was 3.92 billion, with a growth of 9.9% compared with Q1, mainly due to increased customer demand.  The gross profit margin in Q2 was 12.6%, an increase of 4 percentage points compared with Q1, mainly due to customers’ supports for sharing cost pressure and the improveme
Slide 26: Application of New Energy & ADAS
Application of New Energy & ADAS  Application of new energy vehicles: • Charging system • Battery storage system • Power distribution system • Electricity distribution system • Inverter/converter/power filter, etc.  ADAS application (used in both new energy vehicles and fuel types of vehicles): •
Slide 28: Outlook for the 2021H2 and 2022
Outlook for the 2021H2 and 2022  2021Q3 orders are full, but the impact of semiconductor shortages and Covid-19 has led to a slight variation in customer demand. Still facing the pressure of rising raw material prices.  The operation in the second half of 2021 is optimistic and positive.  Product
Slide 30: Winning top 5% for five consecutive years
Winning top 5% for five consecutive years Dynamic is committed: Implement corporate governance, Promote sustainable development, Create sound ESG system, Strengthen international competitiveness! 2021 © Dynamic Electronics Co., Ltd. All Rights Reserved. 30
Slide 31: Awarded Harmonious Labor Relation Enterprise
Awarded Harmonious Labor Relation Enterprise Dynamic (Kunshan) was awarded for the recognition of "Year 2020 Harmonious Labor Relations Enterprise of Kunshan city" by Kunshan City Human Resources, Social Security Bureau and other sectors for its standards-compliant, organized, mutually beneficial, h
Slide 32: Awarded "Outstanding Water-Saving Enterprise"
Awarded "Outstanding Water-Saving Enterprise" After continuous effort on promoting water conservation awareness and action plans throughout the whole Huang-shi plant, Dynamic was awarded the "Year 2020 Huang-Shi City Advanced Water-Saving Collective" and became a local water-saving benchmark. This i

Dynamic Holding — Q2 2021 Earnings Presentation on 6ix

Dynamic — Q2 2021 Earnings Presentation

Slide 1: 2021 Q2 Operating Performance Report

Slide 2: Content

Slide 3: Disclaimer

Slide 4: Company Profile

Slide 5: Company Vision

Slide 6: Four Goals in 2021

Slide 7: Company Snapshot

Slide 8: Global Landscape

Slide 9: Market Trend

Slide 10: Prediction of global electronic product demand

Slide 11: Forecast on growth momentum of applications

Slide 12: Global Light Vehicle Sales (I)

Slide 13: Global Light Vehicle Sales (II)

Slide 14: Automotive Sales v.s. Inventory Trends-USA

Slide 15: The Development of EV is Unstoppable

Slide 16: Diesel-Powered Vehicles v.s. New Energy Vehicles

Slide 17: Various players actively enter the EV market

Slide 18: Emerging automakers subvert the supply chain

Slide 19: LME Copper Price Trend

Slide 20: Overview of operation for Q2, 2021

Slide 21: 2021 Q2 Revenue by Application

Slide 22: Consolidated Income Statement

Slide 23: Consolidated BS & Financial Indicator

Slide 24: Consolidated Cash Flow Statement

Slide 25: 2021Q2 Summary

Slide 26: Application of New Energy & ADAS

Slide 27: Outlook for Dynamic

Slide 28: Outlook for the 2021H2 and 2022

Slide 29: Major Recent Events

Slide 30: Winning top 5% for five consecutive years

Slide 31: Awarded Harmonious Labor Relation Enterprise

Slide 32: Awarded "Outstanding Water-Saving Enterprise"

Slide 33: Thank You!