Post on 25-Mar-2020
Copyright by AAPICO HITECH PLC 1
Copyright by AAPICO HITECH PLC. Opportunity Day Presentation
May 28th, 2013
The Stock Exchange of Thailand
AAPICO HITECH PLC. [AH]
Financial Performance for the 1st quarter of 2013
Mr. Yeap Swee Chuan
Copyright by AAPICO HITECH PLC 2
Company Profile
Industry Overview
Financial Summary
Events & Activities
Appendices
Agenda
Copyright by AAPICO HITECH PLC 4
“AAPICO Group’s Vision is to become a
“Lean” and “Happy” world-class organization
with 4 fundamental values of
Happy Customers,
Happy Employees,
Happy Shareholders and
Happy Public”
VISION
Copyright by AAPICO HITECH PLC 5
HAPPY CUSTOMERS
D – Delivery
E – Engineering
M – Good Management
S – Safety
Q – Quality
C – Cost
HAPPY PUBLIC HAPPY SHAREHOLDERS
Profitability Corporate Social Responsibility
Teamwork
Look at problems as opportunities
Love Family, Company and Country
HAPPY EMPLOYEES
Loyalty and Honesty
Mutual Respect
Lean & Happy Organization Where we want to go?
How do you want people to
remember us
Manufacturing
Where we are
VISION
Copyright by AAPICO HITECH PLC 6
Main Group Structure
Manufacturing Dealerships Technology
OEM Auto Parts
Steel Fuel Tanks
Chassis Frame
Forged and Machined
Parts
Pressed Parts and
Stamping Parts
Plastic Parts and
Plastic Fuel Tanks
Fuel Lines, Brake
Lines, Engine Parts*
Jigs and Dies
Ford
Honda
Mitsubishi
Hyundai*
Car Navigation
Oracle System
* Associate Companies
Copyright by AAPICO HITECH PLC 9
Recent Joint Ventures
Edscha-AAPICO
Automotive Co., Ltd
Manufacturer of door checks and
door hinges.
Registered capital of Baht
40,000,000
Edscha 51% : AAPICO 49%
AAPICO Lemtech
(Thailand) Co., Ltd
Development, manufacture,
assembly, sales of automotive,
electronic and computer parts in
Thailand and overseas.
Registered capital of Baht
40,000,000
AAPICO 60% : Lemtech 40%
Copyright by AAPICO HITECH PLC 10
Recent Joint Ventures
Edscha-AAPICO
Automotive Co., Ltd
Manufacturer of door checks
and door hinges.
Registered capital of Baht
40,000,000
Edscha 51% : AAPICO 49%
SUMINO AAPICO
(Thailand) Co., Ltd
Manufacture of precision
press welding parts for cars
for original equipment
manufacturers in Thailand.
Registered capital of Baht
200 million.
Expected investment of Baht
600 million.
Sumino 51% : AAPICO 49%
Expected start date: Y2014
Left to Right:
1. Mr. Masahiro Sumino (Director, SUMINO KOGYO),
2. Mr. Takeo Sato (President, SUMINO KOGYO)
3. Mr. Yeap Swee Chuan (President & CEO, AAPICO HITECH)
4. Mrs. Teo Lee Ngo (Executive Director, AAPICO HITECH)
Copyright by AAPICO HITECH PLC 11
Recent Joint Ventures
Edscha-AAPICO
Automotive Co., Ltd
Manufacturer of door checks
and door hinges.
Registered capital of Baht
40,000,000
Edscha 51% : AAPICO 49%
AAPICO – SODECIA
Joint Venture Agreement
Manufacture of chassis
cradles for passenger cars,
car cross beams and welded
assemblies for BIW.
To be located in the Eastern
Seaboard area.
Expected start date: 2Q 2014
Left to Right:
1. Ms. Yeap Xin Rhu (AAPICO HITECH PLC)
2. Mr. Yeap Swee Chuan (President & CEO, AAPICO HITECH PLC)
3. Mr. Rui Monteiro (CEO, SODECIA SGPS SA)
4. Mr. Miguel Lopes Cardoso (Board member, SODECIA SGPS SA)
Copyright by AAPICO HITECH PLC 13
Bangkok
Ayutthaya
Rayong
Chonburi Samutprakan
AH, AHP, AHT, AITS
AP
AA, ASP, AF
AH, AP
Factories in Thailand
Copyright by AAPICO HITECH PLC 14
CHINA
INDIA THAI
MSIA
INDO
PHIL
ASIA JAPAN
EUROPE AMERICA
Business Strategy
Copyright by AAPICO HITECH PLC 16
Thailand Car Industry Source: The Federation of Thai Industry (Automotive Industry Club)
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
Forecast
Others
Passenger Car
Pick up / PPV
Tom Yum
Kung
Hamburger
Flood
Thailand Car Production Trend 1991-2013 Apr
Unit : Million
Copyright by AAPICO HITECH PLC 17
Thailand Car Production Source: The Federation of Thai Industry (Automotive Industry Club)
Unit : Million
0.892
0.645
0.0
0.5
1.0
1.5
2.0
2.5
3.0
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2010 2011 2012 2013
Pick up /
PPV70%
Passenger
Car28%
Others
2%
2012
Pick up / PPV53%
Passenger
Car45%
Others2%
2013
Car production in Jan-Apr
increased from 644,540 units in
2012 to 891,947 units in 2013,
representing 38.4% growth year-
on-year.
Car Production : Jan-Apr
644,540 units
891,947 units
Copyright by AAPICO HITECH PLC 18
Thailand Car Production Source: The Federation of Thai Industry (Automotive Industry Club)
Unit : Million
Trend Car Production by month from 2010 – 2013 Apr
-
50,000
100,000
150,000
200,000
250,000
300,000
Jan
Feb
Mar
Ap
r
May
Jun
Jul
Aug
Sep
Oct
No
v
Dec
Jan
Feb
Mar
Ap
r
May
Jun
Jul
Aug
Sep
Oct
No
v
Dec
Jan
Feb
Mar
Ap
r
May
Jun
Jul
Aug
Sep
Oct
No
v
Dec
Jan
Feb
Mar
Ap
r
Others
Passenger Car
Pick up / PPV
17.4%
62.8%
Copyright by AAPICO HITECH PLC 19
1-Ton Pick up
43%Passenger
Car49%
Others8%
2013
1-Ton Pick
up56%
Passenger
Car37%
Others7%
2012
Thailand Domestic Car Sales Source: The Federation of Thai Industry (Automotive Industry Club)
Unit : Million
Car domestic sales in Jan-Mar
increased from 367,109 units in
2012 to 522,914 units in 2013,
representing 42.4% growth year-
on-year.
Car Domestic Sales: Jan-Apr
367,109 units
522,914 units
0.367
0.523
0.0
0.2
0.4
0.6
0.8
1.0
1.2
1.4
1.6
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
2010 2011 2012 2013
Copyright by AAPICO HITECH PLC 20
Thailand Domestic Car Sales Source: The Federation of Thai Industry (Automotive Industry Club)
Unit : Million
Trend Car Domestic Sales by month from 2010 – 2013 Apr
-
20,000
40,000
60,000
80,000
100,000
120,000
140,000
160,000
180,000
Jan
Feb
Mar
Ap
r
May
Jun
Jul
Aug
Sep
Oct
No
v
Dec
Jan
Feb
Mar
Ap
r
May
Jun
Jul
Aug
Sep
Oct
No
v
Dec
Jan
Feb
Mar
Ap
r
May
Jun
Jul
Aug
Sep
Oct
No
v
Dec
Jan
Feb
Mar
Ap
r
Others
Passenger Car
1-Ton Pick up
24.9%
30.5%
Copyright by AAPICO HITECH PLC 22
Financial Highlights Unit : Million Baht
*Note: 1Q12 and 1Q13 have been restated to reflect changes in accounting policies (TAS12 Income Taxes)
Copyright by AAPICO HITECH PLC 23
Sales & Service Income
2,831 2,602
3,032
1,891
3,003
3,935 4,303
4,880 4,542
Q1 Q2 Q3 Q4
Sales & Service Incomeby quarter
(Unit : Million Baht)
2011Q 2012Q 2013Q
2,831
5,433
8,465
10,356
3,003
6,938
11,241
16,120
4,542
Q1 Q2 Q3 Q4
Sales & Service Incomeyear-to-date trend
(Unit : Million Baht)
2011YTD 2012YTD 2013YTD
Copyright by AAPICO HITECH PLC 24
Sales & Service Income
Thailand81%
Malaysia14%
China5%
1Q13Manufac-
turing
72%
Dealers28%
Navi & Others
0%
1Q13
Sales contribution by countries
(Unit : Million Baht)
Sales contribution by segments
(Unit : Million Baht)
Copyright by AAPICO HITECH PLC 25
Sales & Service Income
1,136
788 716
15
1,552 1,430
800
35
Chassis Dies & Press Parts
Forged & Plastic
Jigs
Sales & Service Incomeby products(Unit : Million Baht)
1Q12 1Q13
134 159
247
328
648
281
Ford Honda Mitsubishi
Sales & Service Incomeby products(Unit : Million Baht)
1Q12 1Q13
Copyright by AAPICO HITECH PLC 26
EBITDA
212 163
247
-373
243
436 478
538 470
Q1 Q2 Q3 Q4
Earnings before interest, tax and depreciation by quarter
(Unit : Million Baht)
2011Q 2012Q 2013Q
212
375
622
249
243
679
1,157
1,695
470
Q1 Q2 Q3 Q4
Earnings before interest, tax and depreciation ytd trend
(Unit : Million Baht)
2011YTD 2012YTD 2013YTD
Insurance
Claim 2012
Insurance
Claim 2012 Flood
2011
Flood
2011
Copyright by AAPICO HITECH PLC 27
Net Profit to equity holders
88 50
136
-666
95
280
168
374 279
Q1 Q2 Q3 Q4
Net Profit attributable to equity holders by quarter
(Unit : Million Baht)
2011Q 2012Q 2013Q
Insurance
Claim 2012
Insurance
Claim 2012 Flood
2011
88 138
274
-392
95
375
543
917
279
Q1 Q2 Q3 Q4
Net Profit attributable to equity holders year-to-date trend
(Unit : Million Baht)
2011YTD 2012YTD 2013YTD
Flood
2011
Copyright by AAPICO HITECH PLC 28
Financial Performance
0
5
10
15
20
25
30
35
40
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Unit : Millions
Sales & Share price trend from 2002 - 2013 Mar
Sales & Service Income Share price
Copyright by AAPICO HITECH PLC 29
AAPICO Hitech Customer profile
AAT19%
NISSAN15%
ISUZU7%
TOYOTA; 5%
SUMMIT; 3%
HONDA; 3%
KYOKUYO; 3%
CALSONIC; 2%
GM; 1%Others42%
1Q13
Press and Stamping Parts
Copyright by AAPICO HITECH PLC 30
AAPICO Forging Customer profile
Forged and Machined Parts
AAT25%
GKN24%
TRTC14%
DANA10%
MAGNA10%
AAM5%
TYM5%
Others7%
1Q13
Copyright by AAPICO HITECH PLC 31
AAPICO Plastics Customer profile
Plastic Parts
AAT39%
TYM13%
FORD9%
JSI7%
TAKAGI5%
HONDA; 5%
TS TECH; 2%
HINO; 2%
Others18%
1Q13
Copyright by AAPICO HITECH PLC 32
Utilization : By Factories
Press parts and Assembly Parts
AH – Ayutthaya 95%
AHP – Ayutthaya 95%
AH – Rayong 90%
Forging Parts
AF 90%
Kunshan 65%
Shanghai 95%
Chassis Frames
AA 95%
ASP 95%
Plastic Parts
AP – Bangplee 70%
AP – Rayong 65%
Copyright by AAPICO HITECH PLC 33
Utilization : By Products
No. Products Utilization
1 Press Parts 95%
2 Fuel Tank (Steel) 25%
3 Fuel Tank (Plastic) 65%
4 Pick Up Frames 95%
5 Forging 85%
6 Washer Tank 70%
7 Door Check 85%
8 Brake/Fuel Line 85%
9 Engine Parts 85%
10 Door Sash 95%
11 Jigs 70%
12 Dies 90%
Copyright by AAPICO HITECH PLC 34
Fluctuation of Steel Price
No significant impact on the Company’s financial results since 80% of our
material costs (steel) is under centralized purchasing scheme.
Labor problems
Labor Strike : good welfare and good communication.
Labor shortage : recruiting non-Thai labors (Cambodian, Burmese).
300 Baht daily minimum salary has been implemented.
Foreign Exchange Rate Risk
No significant impact as more than 90% of sales are in local currencies.
Natural Disasters
Financial impact is taken up by insurance coverage.
For flood protection, dyke has been built around the industrial estate.
Major Risk Factors
Copyright by AAPICO HITECH PLC 36
AGM No.1/2013
Place: Professor Sangvien Indaravijaya Auditorium, SET
Date: April 26th, 2013 / Time: 14:30 – 16:00
Copyright by AAPICO HITECH PLC 37
Factory visit
Place: AAPICO Structural Products, Amata Nakorn, Chonburi
Date: May 9th, 2013 / Time: 12:30 – 18:00
Copyright by AAPICO HITECH PLC 41
Copyright by AAPICO HITECH PLC.
AAPICO Group Facilities
and Products
Copyright by AAPICO HITECH PLC 42
AAPICO Group : Major Subsidiaries
Products Company
Chassis AAPICO Amata
AAPICO Structural
Products
Press Parts AAPICO Hitech
AAPICO Hitech Parts
AAPICO Mitsuike
Forging and
Machining
Parts
AAPICO Forging
Kunshan Chaitai-
Xincheng
AAPICO Shanghai
Plastics Parts AAPICO Plastics
Products Company
Assembly Jigs AAPICO Hitech
Tooling
Dies AH – Die Division
Car Dealership New Era Sales (TH)
Able Motors
New Era Sales (MA)
Tenega Setia
Resources
Car Navigation AAPICO ITS
A Maction
Copyright by AAPICO HITECH PLC 43
Market Share of Single Products
Others
AAPICO
Customer : Isuzu 100%
Customer : Isuzu 100%
Ford B-Car 100%
29%
71%
Others
AAPICO
32%
68%
Copyright by AAPICO HITECH PLC 44
Market Share of Single Products
Others
AAPICO
Others
AAPICO
Customer : Ford & Mazda 100%
Customer : Ford & Mazda 100%
93%
7%
20%
80%
Copyright by AAPICO HITECH PLC.
Copyright by AAPICO HITECH PLC 45
AAPICO Hitech PLC. (AH)
Main Office and Factory
Land/Factory: 48,000 m2 / 10,800 m2
Main products: Dies, Stamping and Assembly Parts
Location: Hitech Industrial Estate, Ayuthaya
AAPICO Group : Subsidiary
Land/Factory: 16,000 m2 / 9,700 m2
Main products: OEM Stamping Parts
Location: Amata City Industrial Estate, Rayong
2nd Factory
Stamping Parts and Dies
Copyright by AAPICO HITECH PLC 46
Dies
Steel Fuel Tanks Door Checks Press Parts
Stamping Parts and Dies
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 47
AAPICO Hitech Parts Co., Ltd.(AHP)
Shareholding %: 100%
Land/Factory: 24,000 m2 / 10,800 m2
Main products: OEM Stamping Parts
Location: Hitech Industrial Estate, Ayuthaya
Stamping and Assembly Parts
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 49
AAPICO Hitech Tooling Co., Ltd.(AHT)
Shareholding %:100%
Factory: 11,592 m2
Main products: Assembly Jigs
Location: Hitech Industrial Estate, Ayuthaya
Assembly Jigs
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 50
AAPICO Amata Co., Ltd. (AA)
AAPICO Structural Products Co., Ltd. (ASP)
Shareholding %: 100%
Land/Factory: 32,000 m2 / 10,400 m2
Main products: Chassis Frames
Location: Amata Nakorn, Chonburi
Shareholding%: 100%
Land/Factory: 64,000 m2 / 16,000 m2
Main products: Chassis Frames
Location: Amata Nakorn, Chonburi
Chassis Frame
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 51
Chassis Frame for
ISUZU D-Max
Chassis Frame
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 52
AAPICO Forging PLC. (AF)
Shareholding% : 100%
Land/Factory: 24,000 m2 / 12,000 m2
Main products: Forged Parts
Location: Amata Nakorn, Chonburi
Forged and Machined Parts
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 53
Kunshan Chaitai-Xincheng Precision Forging Co., Ltd. (AK) : China
AAPICO Shanghai Co., Ltd. (AS) : China
Shareholding%: 100%
Land/Factory: 61,752 m2 / 18,526 m2
Main products: Forged parts
Location: Kunshan, China
Shareholding%: 100%
Main products: Machined parts
Location: Shanghai, China
Forged and Machined Parts
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 54
Transmission Shafts
Connecting Rods
Crank Shafts Copper Forging Parts
Lambda Intermediate
Shafts
Forged and Machined Parts
Wheel Hubs
AS & AK AF
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 55
AAPICO Plastics PLC. (AP)
Main Office and Factory: Holding 100% by AF
2nd Factory
Land/Factory: 35,200 m2 / 24,300 m2
Main products: Automotive Plastic Parts
Location: Bangplee Industrial Estate, Samutprakarn
Land/Factory: 16,000 m2 / 4,440 m2
Main products: Plastic Fuel Tanks/ Washer system
Location: Amata City, Rayong
Plastic Parts
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 56
HVAC Units Interior Trims
Washer Bottles Plastic Fuel Tanks Plastic Parts
Plastic Parts
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 57
AAPICO ITS Co., Ltd. (AITS)
Shareholding%: 60%
Land/Factory: 2,000 m2 / 700 m2
Main products: POWERMAP
Car Navigation: PowerMap
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 58
It is Thailand’s first local car
navigation system to display real-
time 3D landmarks and junction
views.
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 59
Picture-clear display of exit ramps
clearly shows their actual status.
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 60
Able Motors Co., Ltd. (AM)
New Era Sales Co., Ltd. (NESC)
Shareholding%: 100%
Main products: Mitsubishi Cars
Location: Navanakorn,
Lardprao
Shareholding%: 100%
Main products: Ford Cars
Location: Ramintra,
Samutprakarn
Dealership
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 61
New Era Sales (M) Sdn. Bhd. - Malaysia
Tenaga Setia Resources Sdn. Bhd.– Malaysia
Shareholding%: 49%
Main products: Honda Cars
Location: Kajang
(Suburb of Kuala Lumpur)
Shareholding%: 49%
Main products: Honda Cars
Location: Petaling Jaya
(Suburb of Kuala Lumpur)
Dealership
AAPICO Group : Subsidiary
Copyright by AAPICO HITECH PLC 62
Forging and Machining Factory Completed and on-going operations
Operations in China
Machining
Forging
Copyright by AAPICO HITECH PLC 63
Able Sanoh Industries Co., Ltd. (ASICO)
AAPICO Group : Associates
Shareholding%: 46%
Land/Factory: 15,800 m2 / 9,386 m2
Main products: Brake lines, Engine parts
Location: Hitech Industrial Estate, Ayuthaya
Brake Pipes, Fuel Lines Brazing Parts
Fuel and Brake lines
Fuel and Brake Lines
Copyright by AAPICO HITECH PLC 64
Minth AAPICO Co., Ltd. (MA)
Shareholding%: 40%
Land/Factory: 32,000 m2 / 7,000 m2
Main products: Trim, Structural parts
Location: Amata City, Rayong
Door Sash
AAPICO Group : Associates
Copyright by AAPICO HITECH PLC 66
CSR: Internal
World Class Manufacturing (WCM) activities
Quality of Life (QOL) clubs:
Buddhism Club
Sacrifice Club
Health Club
Saving Club
Copyright by AAPICO HITECH PLC 67
CSR: Internal
3 days – 2 nights training session intends to encourage participants to
remember and practice the fundamental of life, understand roots cause
of daily problems such as drugs, overspending in order to help improve
their quality of life.
Quality of Life Training
Copyright by AAPICO HITECH PLC 68
Flood Donation
Blood Donation Tsunami Donation
Quality of Life Clubs
Sacrifice Club
CSR: Internal
Copyright by AAPICO HITECH PLC 69
Drug Free Campaign Launch
Health Club
Quality of Life Clubs
CSR: Internal
Copyright by AAPICO HITECH PLC 71
Help promote household accounting recording in order to
understand the status of their regular income and expenses.
Committed Saving Club
Quality of Life Clubs
CSR: Internal
Copyright by AAPICO HITECH PLC 72
AAPICO continuously give out scholarship for Employees’ children
Educational Scholarship
CSR: Internal
Copyright by AAPICO HITECH PLC 73
CSR : External
Safety Awareness
Promote Thai Culture
Tree Planting