2019 investor conference±鋼... · (expressed in millions of new taiwan dollars) amt % amt % amt %...
TRANSCRIPT
2019 Investor Conference
Dec 17,2019
Ticker Symbol :2006
律己.愛智.樂觀律己.愛智.樂觀
Disclosure• The information contained in this presentation and its accompanying announcements,
including its business outlook, financial position and business forecasts, is based oninternal information and external economic developments as a whole.
• The Company’s actual results of operations, financial condition and results ofoperations may differ from the forecasted information, which may be due to variousfactors including but not limited to market demand, changes in various policies andregulations and the overall economic situation, and other factors or risks theCompany can not control.
• The information provided in this presentation reflects the Company’s views about thefuture so far as not expressly or implicitly expressed or warranted as to its correctness,completeness, or reliability. The contents of the presentation, if any changes oradjustments occur in the future, the Company is not responsible for updates oramendments.
• For the convenience of readers, this presentation has been translated into Englishfrom the original Chinese version. If there is any conflict between the English versionand the original Chinese version or any difference in the interpretation of the twoversions, the Chinese-language presentation shall prevail.
Agenda
1. Corporate Profile
2. Financial Performance
3. Key Messages
4. Q&A
Corporate Profile
• Date of incorporation : May 30, 1962
• Date of IPO :July 13,1988
• Issued common stock : 1,004,060 thousand shares
• Number of employees: 1,713
• Head Office:6F., No.9, Sec. 1, Chang-an E. Rd., Taipei City, Taiwan
• Corporate culture :Self-discipline. Love of knowledge. Optimism.
ScrapPig Iron
Billets
Bloom
Beam Blank
Slab
Taoyuan Works
Steel Making
Steel Making
Steel Rolling(1)
Steel Rolling
Steel Rolling
Re-Bar 75萬噸
40萬噸
80萬噸
Annual Capacity/10K metric tons
Steel Rolling(2)
Steel Making Steel RollingSection
Re-Bar60萬噸
75萬噸
140萬噸
125萬噸
100萬噸
Facilities and Products
MiaoliWorks
KaohsiungWorks
Vietnam Works
ScrapPig Iron
ScrapPig Iron Billets
Annual Capacity/10Kk metric tons
Section
Section
Agenda
1. Corporate Profile
2. Financial Performance
3. Key Messages
4. Q&A
2019 2018 %
Operating revenue,net 33,734.73 29,883.58 112.89%
Operating costs (30,826.72) (27,367.49) 112.64%
Gross profit,net 2,908.01 2,516.09 115.58%
Operating expenses,net (1,496.28) (1,478.15) 101.23%
Operating profits 1,411.73 1,037.94 136.01%
Non operating income and expenses 51.68 (22.45) -230.20%
Income tax expense (363.43) (226.99) 160.11%
Net income 1,099.98 788.50 139.50%
attributable to owners of parent 1,100.37 789.51
Non controlling interests (0.39) (1.01)
Earnings per share 1.1 0.79
Gross profit ratio (%) 8.62% 8.42%
Operating profit ratio (%) 4.18% 3.47%
Net profit ratio (%) 3.26% 2.64%
For the nine months ended Sep. 30
(Expressed in Millions of New Taiwan Dollars)
Consolidated Statements of Comprehensive Income
(Expressed in Millions of New Taiwan Dollars) AMT % AMT % AMT %
Current assets 23,996.03 49% 22,968.95 47% 19,235.68 42%
Cash and Current financial assets 1,456.39 3% 1,232.54 2% 1,188.82 3%
Receivable,net 6,510.28 13% 5,042.96 10% 4,801.69 10%
Inventory 14,892.33 31% 15,453.08 32% 12,291.84 27%
other current assets 1,137.03 2% 1,240.37 3% 953.33 2%
Non current assets 24,948.95 51% 25,589.54 53% 26,989.33 58%
Real properties, plants and devices 20,035.03 42% 20,694.94 43% 20,641.87 44%
other non current assets 4,913.92 9% 4,894.60 10% 6,347.46 14%
Total assets 48,944.98 100% 48,558.49 100% 46,225.01 100%
Current liabilities 17,758.92 36% 17,489.73 36% 16,017.81 35%
Short term loans 12,971.82 27% 13,252.10 27% 11,564.81 25%
other current liabilities 4,787.10 9% 4,237.63 9% 4,453.00 10%
Non-current liabilities 7,210.53 15% 7,058.00 15% 6,338.06 13%
Total liabilities 24,969.45 51% 24,547.73 51% 22,355.87 48%
Total equity 23,975.53 49% 24,010.76 49% 23,869.14 52%
Total liabilities & equity 48,944.98 100% 48,558.49 100% 46,225.01 100%
2019.9.30 2018.12.31 2018.9.30
Consolidated Balance Sheets
(Expressed in Millions of New Taiwan Dollars)
2019 2018
Cash at beginning of period 1,097.98 1,020.46
Cash flows from operating activities 1,939.28 (2,416.78)
Cash flows from investing activities (374.73) (1,202.25)
Cash flows from financing activities (1,445.47) 3,735.45
Effect of exchange rate changes 73.88 (117.16)
Cash at beginning of period 1,290.94 1,019.72
Free Cash flows 1,564.55 (3,619.03)
Cash dividends 1,204.87 1,405.69
For the nine months ended Sep. 30
Consolidated Statements of Cash Flows
35,892
31,053
25,209
31,749
39,769
33,735
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
45,000
2014 2015 2016 2017 2018 2019/1~9
Operating revenue
2,888 3,034 2,970
3,802
3,325
2,908
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
2014 2015 2016 2017 2018 2019/1~9
Gross profit
1,355
1,511 1,491
1,842
1,275 1,412
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2014 2015 2016 2017 2018 2019/1~9
Operating income
1,057
1,269
1,485
1,715
888
1,100
0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2014 2015 2016 2017 2018 2019/1~9
Net income attributable to owners of parent
Historical Operating Results(NT$Millions)
■Earnings per share ■ Dividend per share
1.06
1.27
1.49 1.72
0.88
1.3
1.1
1.3 1.4
1.2
0.00
0.20
0.40
0.60
0.80
1.00
1.20
1.40
1.60
1.80
2.00
2014 2015 2016 2017 2018
每股盈餘 每股股利
(NT$)
Historical Dividend
12
Agenda
1. Corporate Profile
2. Financial Performance
3. Key Messages
4. Q&A
13
Key Messages
1. Improvement of Taoyuan Works’ capabilities
and efficiency
2. THSVC new rolling mill put into production
3. Taiwan H-Beam Demand and Production
4. Corporate Governance Performance
Steel Making
Rolling LINE 1
Rolling LINE 2
Improvement of Taoyuan Works’ capabilities and efficiency
130-140萬噸
75-80萬噸
75-80萬噸
Annual Capacity/10K metric tons
63.04
72.93 80.35
89.33 85.00
91.57 88.33
66.85 70.85
92.66
105.00
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019*(估)
10K metric tons
Tung Ho Steel’ annual rebar production
Improvement of Taoyuan Works’ capabilities and efficiency
Floor area of building permit(Million m2)
*Est fromJan-Oct
19.9
31.2
34.132.8
39.838.6
32.6
26.2
29.9
34.0 34.1
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019*
3.90 4.99 5.66 5.73 5.79 6.06 5.65 4.77 4.71 5.23 5.27*RebarAnnualDemand(Mil tons)
Improvement of Taoyuan Works’ capabilities and efficiency
Billet
Steel Making Rebar
Section steel
100萬噸 60萬噸
Wire rod coil
Products
40萬噸
THSVC new rolling mill put into production
Annual Capacity/10K metric tons
Annual Demand of long steel products in Vietnam domestic market
THSVC new rolling mill put into production
422 428
489
614
751
810
863 910
2012 2013 2014 2015 2016 2017 2018 2019(估)
10K metric tons
19
827 874 872 879 922
844 908 804 782
925
1,014 1,014 969
936 1,036
905
984
876 906
946
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019*
Demand Production*Est fromJan-Oct
Taiwan H-Beam Deamand and Production
1K metric tons
20
• Tung Ho Steel Enterprise Corporation was endowed with the honor
to win the “Traditional Manufacturing – Gold Award” of “TCSA
Taiwan Enterprise Sustainability Award ”, in year 2018。
• It’s the fourth year that Tung Ho Steel Enterprise Corporation has
been evaluated for 6% to 20% in corporate governance evaluation
system from TWSE。
• Tung Ho Steel Enterprise Corporation was included in the “ Taiwan
Stock Exchange Corporate Governance Index 100 ” for two
consecutive years.
Corporate Governance Performance
www.tunghosteel.com