Somboon Advance Technology PCL Growing in Asia automotive, expertise in design and manufacturing with stakeholders and social responsibility

Transcription

1 Somboon Advance Technology PCL Growing in Asia automotive, expertise in design and manufacturing with stakeholders and social responsibility Opportunity Day June 10,

2 AGENDA 2

3 Million Thailand, world top auto assembler, is poised for impressive growth Annual Growth CAGR (2012) ( ) Europe -4.55% 4.15% Great China 5.47% 7.26% N.America 17.41% 2.20% Japan/Korea 11.94% 0.00% S.Asia 20.12% 6.94% S.America -1.04% 6.07% M-East/Africa % 5.43% Global 6.07% 4.49% Source : IHS_Jan 2013 Global assembly rank 2010A China USA Japan Germany India South Korea Brazil France Mexico Thailand Spain Canada Russia Iran United Kingdom Developed Asia-Pacific includes Australia, Japan, South Korea Developing Asia-Pacific includes China, India, Indonesia, Malaysia, Pakistan, Philippines, Taiwan, Thailand, Vietnam Source : Autofacts Global Light Vehicle Assembly Outlook Data Release & Marklines, October 2012 Vehicles per 1, F %CAGR US Japan Brazil China Indonesia India Malaysia Thailand Total World 130 N/A 254 Source : Institute for Transport Studies, University of Leeds, UK 3

4 ASEAN Automotive Production Base in Y2012 Total Production = 4.22 Total Sales = 3.49 Unit = million cars P = 2.45 S = 1.44 Export P = 0.07 S = 0.08 P = 0.07 S = 0.16 S = 0.04 P = 0.57 S = 0.63 S= 0.02 P = 1.06 S = 1.12 Note : P = Production S = Domestic Sales Source : Data of Year 2012 by AAF (ASEAN Automotive Federation ) 4

5 GDP per Capita (USD) Market Opportunity ASEAN Market Vehicles per 1000 people Note : Size of circle refer to the number of population 5

6 2013F 1Q13(F) 1Q13(A) 2Q13(F) 3Q13(F) 4Q13(F) Thailand Automotive Production Million Units Japan Tsunami & Thai Flood Hamburger Crisis (Financial Crisis) % 58 % 48 % 52 % Actual > Forecast = 9% Domestic Export Source : Y (1Q) Actual from TAIA and Y2013F base case by customer long term forecast), December

7 Thousands 3M2013 Automotive Production and Sales Isuzu 11% Ford& Mazda 9% Mitsubi shi 15% Nissan 12% 0.72 m. Honda 12% GM 3% Toyota 30% 382 Other 8% (15%) (30%) (53%) Isuzu 15% Ford& Mazda 9% Nissan 10% Mitsubi shi 10% Honda 16% Toyota 30% GM 4% Other 6% (16%) (37%) (44%) Isuzu 6% Ford& Mazda 9% Mitsub ishi 24% Honda 6% Production Dom Sales Exp Sales Source: TAIA (The Thai Automotive Industry Association), April m m. 0.72m. units 0.44 m. units 0.28 m. units +44% y-y +57% y-y +29%y-y Nissan 16% Toyota 28% (15%) (19%) (66%) ( 5 0 GM 3% Other 8% Other Eco Car Passenger Car Pickup & PPV 7

8 Automotive Export Destinations % 100% 90% 80% 70% 60% 6% 5% 4% 5% 9% 10% 7% 8% 12% 12% 11% 10% 20% 21% 24% 22% 3 Africa Europe C & S America Middle East 50% 40% 23% 21% 20% 25% 2 Aus, NZ & Oceania 30% 20% 10% 30% 32% 33% 30% 1 Asia 0% 1Q13 Source: TAIA (The Thai Automotive Industry Association), April

9 Units Agriculture Machinery Production Actual & Forecast 1Q ,000 60,000 57,744 62,000-65,000 50,000 40,000 30,000 32,964 Tractor Total 20,000 21,130 18,164 14,075 14,123 Actual > Forecast = 0.34% 10, F 1Q13(F) 1Q13(A) Note : Data of Kubota production only Source : Customer (Kubota) + Marketing forecast Jan

10 AGENDA 10

11 Group Structure and Business SAT (Paid Up (424 mb) Somboon Holding 25.49% Kittapanich Family 20.81% Sub-total 46.30%* Others 53.70%* Hot Forging Product (Axle Shaft) 100% 100% 100% 100% 100% ICP (Paid Up 785 mb) SBM (Paid Up 500 mb) BSK (Paid Up 130 mb) SIJ (SBG International (Japan) (Paid Up 10 mb) SFT (Paid Up 100 mb) Casting RM for SBM Tsuchiyoshi Somboon Coated Sand (Paid Up 72 mb) Sales ~264 mb, TA~244 mb, GPM 24.2%, NPM 7.7% Machining Product Spring Product 21.25% 20.00% Casting (Rasin/Sand) 2.90% Sales Representative in Japan Yamada Somboon (Paid Up 150 mb) Sales ~1,867 mb, TA~1,353 mb, GPM 14.3%, NPM 1.6% Nisshinbo Somboon Automotive (Paid Up mb) Sales ~1,800 mb, TA~1,980 mb, GPM 18.6%, NPM 9.9% Steering Column Assembly Water Pump Assembly Oil Pump Brake System General forging RM (Hot & Cold) Note : * as of March 14, % Somboon Somic Manufacturing (Paid Up 300 mb) Sales ~2,239 mb, TA~1,377 mb, GPM 13.2%, NPM 8.8% Ball Jointed Tie Rod End Outer Track Rod Stabilizer Linkage 11

12 Automotive Part Products Exhaust Manifold Camshaft Flywheel Diff. Carrier Yoke Rear Axle Shaft Diff.Box Carrier Rear Stabilizer Bar Timing Cover Front Corner Module Ass y Coil Spring Drum Brake Leaf Spring 12

13 Agriculture Machinery Part Products 13

14 Product Champion of Group SAT SFT Axle Shaft End RR Axle Housing Hub FR Axle Forging & Machining Products General Forging Products (SOP 2015) Stabilizer Bar BSK Front Corner Module Ass y Hub ICP &SBM Leaf Spring Coil Spring Spring Products Disc Brake Drum Brake Flywheel Iron Casting & Machining Products 14

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16 Market Share of Product Year 2013 (1Q13) Rear Axle Shaft Y12 = 83 % Disc Brake Y12= 29% Drum Brake Y12 = 27% SMT &OTHERS 19% SAT 81% OTHERS (AISIN KIRIU etc.) 67% SBM 33% OTHERS (AISIN, KIRIU etc.) 69% SBM 31% Coil Spring Y12 = 42 % Stabilizer Bar Y12 = 38% Leaf Spring Y12 = 15% NHK & OTHERS 59% BSK 41% NHK &OTHERS 59% BSK 41% NHK &OTHERS 86% BSK 14% 16

17 Capacity & Utilization Rate & CAPEX Production Volume 2012A 2013E (Pcs per month) Capacity Utilization Capacity Utilization Investment Working hr. (pcs) (%) (pcs) (%) (MB) (20 hrs x 25 working days) (Y ) Axle Shaft 275, % 320,000 98% 680 Machining (Auto) 481,000 90% 592,000 86% 180 Machining (Non Auto) 139,000 98% 158, % 30 Coil Spring 255, % 280, % - Stabilizer Bar 80, % 180,000 70% 140 Leaf Spring (tons) 1,500 90% 1, % - Average Utilization Rate 105% 100% 1,030 MB 2/ 1/ Note : 1/ Utilization of 1Q13 = 114% 2/Not include SFT Project (370 MB) and others (200 MB) Investment of year 2012 ~ 1,100 MB 17

18 Financial Highlights YoY Unit : MB 1Q12 2Q12 3Q12 4Q12 1Q13 QoQ YoY 6,263 6,421 9,410 47% Sales 2,199 2,234 2,450 2,527 2, % 15.28% 6,447 6,552 9,590 46% Total Revenue 2,253 2,284 2,519 2,534 2, % 14.60% 1, ,495 54% GP % 23.51% % SG&A % 32.17% % FOREX Gain (Loss) % % 1,425 1,173 1,766 51% EBITDA % 9.23% % Net Profit % 14.98% 8,077 8,831 10,103 14% Total Assets 9,554 9,620 10,003 10,103 10, % 9.45% 2,425 3,185 3,156-1% Interest Bearing Debt 3,242 3,270 3,164 3,156 3, % -1.42% 4,004 4,649 5,272 13% Total Liabilities 5,168 5,105 5,334 5,272 5, % 5.51% 4,073 4,182 4,831 16% Equity 4,386 4,515 4,668 4,831 5, % 14.09% 1, , % Cash Flow from Operating % 17.59% % Interest Expense % -2.56% % Depreciation % 5.68% 1,078 1,726 1,108-36% CAPEX % 26.25% 13% 16% 9% Effective Tax Rate 10% 10% 6% 8% 9% Key Financial Ratios 1Q12 2Q12 3Q12 4Q12 1Q % 7.76% 6.81% %SG&A 6.50% 6.98% 6.37% 7.36% 7.46% 19.70% 15.14% 15.89% %GPM 16.05% 14.41% 16.33% 16.63% 17.20% 22.10% 17.90% 18.41% %EBITDAM 19.71% 17.21% 19.61% 17.16% 18.78% 11.77% 6.23% 8.51% %NPM 9.19% 7.05% 10.24% 7.49% 9.22% 10.64% 4.83% 8.62% %ROA 9.00% 6.73% 11.00% 8.02% 9.51% EBITDA/CAPEX (x) % 9.88% 18.10% %ROE 19.32% 14.50% 23.06% 16.84% 20.28% 15.82% 7.65% 12.71% %ROIC 13.50% 10.87% 15.84% 11.94% 13.95% Net I-Debt/Equity (x) Int. Bearing Debt/Equity (x) DER (x) EPS (bt) BVPS (bt)

19 SAT Sales Breakdown Year 2012 Breakdown by Destination Market Ratio (%) Domestic 96% Export 4% Breakdown by Market Market Ratio (%) OEM 97% REM 3% Note : OEM = Original Equipment Manufacturer REM = Replacement Equipment Manufacturer 19

20 Sales Breakdown by Product Bt.mn 100% 1,782 1,495 1,957 1,187 2,199 2,234 2,450 2,527 2,535 Sales by Company 80% 31% 33% 31% 32% 31% 32% 33% 33% 31% Others (i.e. hub, bracket, camshaft, flywheel) SBM 40% 2012 SAT 34% 60% 40% 20% 8% 11% 9% 7% 12% 7% 10% 10% 8% 7% 8% 11% 8% 9% 15% 8% 8% 31% 31% 33% 30% 10% 8% 10% 10% 9% 8% 9% 8% 8% 7% 8% 8% 9% 10% Coil Spring 9% 10% 8% 10% 10% Stabilizer Bar Leaf Spring Disc & Drum Brake 34% 33% 33% 31% 32% Axle Shaft SBM 41% BSK 26% 3M13 SAT 32% 0% BSK 27% 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 20

21 Sales Breakdown by Customer Bt.mn 100% 75% 1,782 1,495 1,957 18% 3% 7% 3% 4% 7% 6% 6% 23% 21% 21% 19% 10% 3% 3% 4% 4% 6% 6% 10% 10% 1,187 2,199 2,234 2,450 2,527 4% 1% 8% 10% 9% 3% 7% 10% 12% 18% 3% 6% 7% 4% 7% 8% 10% 10% 2,535 14% 12% 3% 7% 8% 13% Others (i.e. GM) Nissan Honda Isuzu Kubota 50% 27% 21% 28% 28% 31% 28% 26% 26% 27% Toyota 25% 32% 33% 28% 28% 27% 31% 30% 31% 30% Mitsubishi 0% 1Q11 2Q11 3Q11 3Q11 1Q12 2Q12 3Q12 4Q12 1Q13 21

22 AGENDA 22

23 The Road Ahead CAPEX MB per year in (excl. Oversea Investment project ) Prospect To keep up with market growth (by organic investment and joint venture) To penetrate new markets for expanding customer base & sales growth (including new geographical markets) Focus on cost competitiveness To build sustainable growth by R&D/ Process & Product development Facing shortage of skill labor in the future R&D To be a part of OEM s moving up value chain (productivity, technological advances and innovation) To enhance our competitiveness and expertise in product design and process improvement in area of forging, casting, machining, and spring business to supply new parts, as CKD, or small module in the automotive and agricultural industry 23

24 AWARDS & RECOGNITIONS Quality Awards Quality Improvement Awards from Honda (Zero Claim) Quality Excellence Awards from Thai Honda Cost Reduction Awards from Toyota, Hino, etc. Awards of Quality 2012 : Excellence is Zero Defect from Mitsubishi Management Awards Board of the year 2010/2011 continuous Awards #2 from IOD & SET SET Awards of Honor for the excellence as the outstanding Corporate Governance report for a consecutive period from 2009 to Best Corporate Social Responsibility Awards Best Investor Relations Awards CSR-DIW continuous Awards The National Best Co-operative Education Award 24

25 Questions and Answers Thank You Somboon Advance Technology Public Company Limited Investor Relations Department Tel , Fax , ir@somboon.co.th, 25