Siamgas & Petrochemicals Public Co. Ltd. · SET:SGP
Siamgas & Petrochemicals Public — Siamgas and Petrochemicals PCL — Q2 2017 Earnings Presentation
39 slides from Siamgas & Petrochemicals Public's earnings presentation, December 2017
Slide 1: Siamgas and Petrochemicals PCL. Q2|2017 Performance Results
SIAMGAS AND PETROCHEMICALS PCL. Q2|2017 PERFORMANCE RESULTS PRESENTATION FOR INVESTOR & ANALYST
Slide 2: Disclaimer
DISCLAIMER The information contained in this presentation is for information purposes only and does not constitute an offer or invitation to sell or the solicitation of an offer or invitation to purchase or subscribe for share in Siamgas and Petrochemicals Public Company Limited (“SGP” and shares in
Slide 3: Agenda
AGENDA • Business Overview • Thailand Business Model and Highlights • Oversea LPG Market Highlights • Financial Results • Business Outlook • Q&A 3
Slide 4: Shareholding Structure
SHAREHOLDING STRUCTURE 61.3% MANAGEMENT RETAIL 22.9% 15.8% FUND 38.7% PUBLIC Latest closed data : On 10 MAR 2017 4
Slide 5: Milestones
MILESTONES Business acquisition Vietnam | Supergas Business acquisition Founded Founded Singapore | Singgas Vietnam | Citygas N. the company Marine & land logistic China | Sinosiam Malaysia | Mygaz 1 2 2 2 9 0 0 0 7 0 1 1 6 5 0 3 2 2 2 2 0 0 0 0 0 0 1 1 4 8 1 6 Business acquisition Listed in Setup |
Slide 6: Company Structure
COMPANY STRUCTURE SGP | 918.93 MB. THAILAND SIAMGAS AND PETROCHEMICAL PCL. OVERSEA 1.00 Mil.MYR. SGGAS 14.3 Mil.SGD. SINGGAS LCR 70 MB. Ammonia in Malaysia LPG in Singapore 29.99% 95.oo% Road Transportation 99.99% 39.37% 12.00 Mil.MYR. MYGAZ 0.5 Mil.SGD. SGT Wholesale business SLM 447 MB. LPG in Mal
Slide 7: SGP's Presence
SGP’s PRESENCE LPG business OTHER business SHANTOU, SOUTH CHAINA | SOGEL HAIPHONG | CITYGAS NORTH ZHUHAI, SOUTH CHAINA | SINOSIAMGAS MYANMAR, MAWLAMYING | MLIPP POWERPLANT 230 MEGAWATT THAILAND | SIAMGAS & UNIQUEGAS HO CHI MINH | SUPERGAS EAST MALAYSIA | MYGAZ MALAYSIA | MYGAZ SINGAPORE, RETAIL BUSI
Slide 8: Agenda
AGENDA • Business Overview • Thailand Business Model and Highlights • Oversea LPG Market Highlights • Financial Results • Business Outlook • Q&A 8
Slide 9: LPG Retail Price (Baht/kg.)
LPG Retail Price [Baht/kg.] COOKING AUTOMOBILE INDUSTRIAL 20.49 Baht/kg. - 0.67 - - - - - - - - - - - - - - - - 20.29 20.49 22.29 20.29 20.29 20.29 20.29 20.29 20.29 20.29 20.29 20.29 20.96 20.96 20.96 20.49 20.49 20.49 20.29 20.29 (0.47) (2.00) Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-1
Slide 10: Thailand Business Model
THAILAND BUSINESS MODEL SGP COMMERCIAL FILLING USERS PLANTS GAS SEPARATION COOKING LPG REFINERIES RETAILERS PLANTS AGENT & FILLING HOUSEHOLD USERS PLANTS SGP INDUST. TERMINALS INDUSTRIAL & USERS DEPOTS LPG IMPORT SGP AUTO-LPG AUTOMOTIVE SGP STATIONS MOTORISTS AGENT AUTO-LPG STATIONS 10
Slide 11: LPG Import
LPG IMPORT Refrigerated cargo Floating storage 44,000 tons 2,000 ton 1,500 ton 1,200 ton Receive LPG by Pressurize vessels Transportation to SGP terminal 11
Slide 12: SGP's Network in Thailand
SGP’s NETWORK IN THAILAND 23 8 500 vessels terminals roadtankers 5.Lampang 6.Khonkaen 4.Nakornsawan 1.Bangkok Floating Storage 2.Samutprakan 3.Chachoengsao 7.Suratthani FILLING PLANT & AUTOGAS STATION 8.Songkhla Company Filling Plants x 40 Agent Filling Plants x 151 Company Autogas Stations x 45 Age
Slide 13: Thailand LPG Market
THAILAND LPG MARKET LPG Sales Volume (‘000 tons) | ALL SECTORS YoY: Total -1.1% | SGP +2.5% 4,730 -6.8% 4,409 4,177 -5.3% QoQ: Total -2.5% | SGP -2.9% 3,609 3,370 3,171 2,038 -7.3% -3.3% 1,537 1,018 1,032 1,006 1,121 1,039 1,005 777 778 759 501 241 254 247 2014 2015 2016 6M|2017 2Q'16 1Q'17 2Q'17 SG
Slide 14: Cooking Market
COOKING MARKET LPG Sales Volume (‘000 tons) | COOKING SECTORS COOKING PORTION 2,188 2,110 2,094 -4.3% +0.8% YoY: Total +3.5% | SGP +3.6% 1,545 1,484 1,491 QoQ: Total -3.0% | SGP -5.3% 1,054 63% +1.4% 745 501 535 519 -5.1% 643 610 619 356 376 368 309 145 159 151 2014 2015 2016 6M|2017 2Q'16 1Q'17 2Q'
Slide 15: Automotive Market
AUTOMOTIVE MARKET LPG Sales Volume (‘000 tons) | AUTOMOTIVE SECTORS 1,974 AUTOMOTIVE PORTION 1,731 -12.3% YoY: Total -10.0% | SGP -3.5% 1,466 -15.3% 1,624 QoQ: Total -1.7% | SGP +5.6% 1,439 1,221 675 22% -16.5% 372 341 335 -16.3% 559 350 310 284 275 292 245 117 62 57 60 2014 2015 2016 6M|2017 2Q'16
Slide 16: Industry Market
INDUSTRY MARKET LPG Sales Volume (‘000 tons) | INDUSTRY SECTORS 584 600 INDUSTRY PORTION 568 YoY: Total +5.7% | SGP +9.0% +2.8% +2.8% QoQ: Total -2.6% | SGP -5.7% 14% 448 459 309 440 +3.7% 234 144 156 152 +7.0% 111 118 116 128 137 142 75 33 39 36 2014 2015 2016 6M|2017 2Q'16 1Q'17 2Q'17 SGP Group Ot
Slide 17: LPG Market (Volume Sale by SGP)
LPG market (Volume sale by SGP) LPG Sales Volume (‘000 tons) | By SECTORS Cooking Automobile Industrial |----------- 1,121 ------------| |----------- 1,039 ------------| |----------- 1,005 ------------| |------------ 501 -----------| 284 283 282 273 265 265 254 260 260 256 253 254 31 34 33 241 247 3
Slide 18: Agenda
AGENDA • Business Overview • Thailand Business Model and Highlights • Oversea LPG Market Highlights • Financial Results • Business Outlook • Q&A 18
Slide 19: Regional LPG Wholesale Model
REGIONAL LPG WHOLESALE MODEL 19
Slide 20: Huge Storage in China
HUGH STORAGE IN CHINA GROUP jamgas and Petrochemical Public Company Limited
Slide 21: Combined Largest Storage in China
COMBINED LARGEST STORAGE IN CHINA Total : 300,000 Tons Zhuhai : 200,000 Tons Shantou : 100,000 Tons Storage Caverns 21
Slide 22: Saudi Aramco CP vs Crude Oil
Saudi Aramco CP vs Crude oil USD/TON Propane[C3] Butane[C4] 700 600 600 600 495 490 500 470 480 460 470 475 475 460 500 440 425 435 440 420 510 500 400 390 390 390 365 380 365 370 480 365 480 400 450 460 465 345 460 350 425 315 320 320 435 430 420 405 395 310 395 290 390 380 300 365 360 385 385 Q1 +
Slide 23: Historical CP Price Movement
HISTORICAL CP PRICE MOVEMENT 9 3 8 9 5 2005 2006 4 2007 3 2008 7 +112.0 -46.5 +385.0 -535.0 8 4 6 7 7 2009 2010 6 2011 5 2012 5 +387.5 +200.0 -130.0 +185.0 6 6 2 6 6 2013 2014 10 2015 6 2016 6 +182.5 -602.5 -92.5 -67.5 23
Slide 24: Singapore Market (1/2)
SINGAPORE MARKET (1/2) SIAM GAS TRADING PTE. LTD.(100%) - Offshore trading business Sale customer to Macau, Hong Kong, Philippines, Vietnam, South China, Bangladesh, Cambodia, etc. Sales volume : tons 946,394 664,255 663,564 227,826 589,188 600,000 543,452 170,522 162,546 463,104 333,068 56,906 2010
Slide 25: Singapore Market (2/2)
SINGAPORE MARKET (2/2) SINGGAS (LPG) PTE.LTD. (95%) - Retail business Small market with good margin Consumer seeks quality product & service over price concern Sales volume : tons 25,683 24,375 21,401 21,772 22,000 21,041 5,397 17,872 10,502 8,793 5,247 5,255 2010 2011 2012 2013 2014 2015 2016 Outlo
Slide 26: China Market
CHINA MARKET SINOSIAMGAS AND PETROCHEMICALS COMPANY LIMITED (100%) SIAM OCEAN GAS & ENERGY LIMITED (100%) Large import LPG market in South China Advantage over competitors with large cavern storage Large sale volume with continuous growth rate Sales volume : tons 1,250,000 1,200,167 294,561 255,341
Slide 27: Vietnam Market
VIETNAM MARKET SUPERGAS COMPANY LIMITED (100% owned) CITYGAS NORTH COMPANY LIMITED (70% owned) High competition with high growth potential Consumers gradually switch to LPG instead of fire wood Sales volume : tons 185,274 51,396 166,814 150,000 143,628 67,388 12,325 10,527 26,496 22,852 19,972 12,38
Slide 28: Malaysia Market
MALAYSIA MARKET MYGAZ SDN. BHD. (70% owned) Market leader with growth potential in East Malaysia Expand market to West Malaysia Sales volume : tons 128,000 116,790 31,952 95,600 31,505 91,696 63,456 52,592 29,474 - - - 2010 2011 2012 2013 2014 2015 2016 Outlook 6M|2017 2Q16 1Q17 2Q17 2017 +74.4 +4.3
Slide 29: Oversea Market: Sale Volume
OVERSEA MARKET : SALE VOLUME Total 2,150,000 Sales volume : tons 2,025,809 1,782,877 532,548 1,428,978 1,307,220 514,616 979,780 797,880 629,177 465,165 78,079 2010 2011 2012 2013 2014 2015 2016 Outlook 6M|2017 2Q16 1Q17 2Q17 2017 +705.8 +26.8 +79.1 -8.5 +36.4 +13.6 +6.1 45.6 % % % % % % % YoY -3.4%
Slide 30: Agenda
AGENDA • Business Overview • Thailand Business Model and Highlights • Oversea LPG Market Highlights • Financial Results • Business Outlook • Q&A 30
Slide 31: Revenue Portion
REVENUE PORTION Thailand Offshore trading 20.9% Oversea business 36.2% 41.2% Logistic Other (Service&Other) 6M|2016 Thailand 42.1% Oversea 57.9% 0.9% 0.8% 6M|2017 18.2% Thailand 37.9% 40.6% Oversea 62.1% 39.7% 0.5% 1.1% 31
Slide 32: Full Year and Quarterly Revenue
Full year and quarterly Revenue [Bt.m] Q2|2017 Consolidated revenue of Bt.13,527 m shows a 8.4% yoy growth yoy +8.4% yoy -17.1% 65,746 qoq -6.3% 1,438 62,157 980 58,334 752 14,432 48,371 13,947 47,752 230 13,527 Other 678 76 1,124 12,481 251 157 10,300 220 Oversea 23,117 40,822 36,903 34,661 27,902
Slide 33: Full Year and Quarterly EBITDA
Full year and quarterly EBITDA [Bt.m] Q2|2017 Consolidated EBITDA of Bt.450 m a decline of 29.9% yoy 3,500 8% EBITDA EBITDA MARGIN 2,000 EBITDA EBITDA MARGIN 16% 7% 1,800 1,733 3,000 2,860 14% 2,786 2,836 5.91% 1,600 6% 12.01% 12% 2,500 2,311 1,400 1,344 5% 10% 4.84% 4.86% 1,200 9.64% 2,000 4.24% 4%
Slide 34: Gross Profit Margin & Net Profit Margin
Gross profit margin & Net profit margin 3,500 8% 1,800 14% 1,643 1 3,037 3,000 1 2,891 7% 1,600 12% 1,441 11.46% 2 2 1,400 2,500 2,339 6.00%6% 10.32% 10% 2,074 1,143 5.23% 1,200 3 2,000 5% 7.92% 8% 4.38% 1,602 1,000 899 4 1,500 3 4% 6.45% 3.60% 1,119 800 6% 1,116 727 5.83% 1,000 834 3% 817 4 600 2.4
Slide 35: Financial Position
FINANCIAL POSITION ASSET (THB Million) LIABILITIES & EQUITY (THB Million) Cash & Equivalents Inventory Short term loan Current liabilities Other asset PP&E Long term Debt Non current liabilities Interest Bearing Debt (Times) Total Equity 30,119 30,119 28,557 28,557 1.20 1.13 1.10 1,887 4,606 1.07 1.
Slide 36: Agenda
AGENDA • Business Overview • Thailand Business Model and Highlights • Oversea LPG Market Highlights • Financial Results • Business Outlook • Q&A 36
Slide 37: Outlook 2017
OUTLOOK 2017 LPG Sales Volume (Tons) Sales volume (TONs) 2015 2016 Outlook 2017 6M|2017 % Success Malaysia & Singapore SGP - Thailand 1,051,300.48 1,016,965.56 1,050,000.00 547,467.04 52.1% Vietnam SGP Offshore Trading* 589,188.38 543,451.66 600,000.00 333,067.88 55.5% China China 909,874.15 1,200,1
Slide 38: Dividend Payment
DIVIDEND PAYMENT • Dividend Policy The Company has established the policy to pay dividends to the shareholders at the rate of not less than 40% of the net profit after corporate income tax, accumulated loss brought forward (if any)and appropriation of statutory reserve in accordance with the Company
Slide 39: Q&A
Q&A Questions are welcomed ! 39
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