Opportunity Day - Stock Exchange of Thailand
30
Loxley Public Company Limited Opportunity Day 6 Mar 2019 "Inspired Choice for Customers, Business Partners and Investors"
Transcript of Opportunity Day - Stock Exchange of Thailand
Loxley Public Company Limited
Opportunity Day6 Mar 2019
"Inspired Choice for Customers, Business Partners and Investors"
2“Strategic Planning and Investor Relations”
1. Business Structure and Overview
2. Y2018 Highlights
3. Strategies and Sustainable Growth
Agenda
3“Strategic Planning and Investor Relations”
Key Investmentso BP Castrol and NS Bluescope
Business Structure and OverviewThe Transformation to 5 SBGs
o Consumer Products: Cook, Greennut, GoodTime,Abevia,Trachang
etc.o Chemicalso Inter Trade:
- China: Rice: Sinopec- Myanmar: Castrol
o HoReCa:- Products: imported from
Japan with exclusive license
Food Services & Distribution (“FSD”)
o Banking & Financial Solution: ATMs EDC
o SI, HW/SW Solutions: Application development, Outsourcing service, MA
o Computer Network & System
Information Technology (“IT”)
o Telecom Network: DWDM
o Broadcasting: equipment for DTV & Digital radio
o Security Intelligence Network: CCTV, BHS
o Construction: Lysaghtroof & metal sheet, automatic parking system
Network Solutions (“NS”)
o Total Security System: Airports, Airlines, Cargo, Private sector
o Property Management Service: Property management, Construction, RO water
2018 Sales Structure
IT SBG 28%
FSD SBG25%
Energy SBG11%
NS SBG17%
Service SBG19%
Holding Business
o TDS: Transmission line, Power distribution, Power substation
o Renewable Energy: Solar roof EPC
o Electric Vehicles: E-
tuktuk, E-bus
o Environment: water supply system, mobile plants
Strategic BusinessGroups5
Energy Services
5 SBGs
Renew Our Strengths, Reshape Our Future
4“Strategic Planning and Investor Relations”
1. Business Structure and Overview
2. Y2018 Highlights
3. Strategies and Sustainable Growth
Agenda
5“Strategic Planning and Investor Relations”
Y2018 HighlightsKey Achievements
IT SBG
• Achieved higher sales and higher net profit
• Obtained a concrete customer base who will repeatedly drive growth
• Modified the strategic plan to accommodate the rapid change in technology
• Expanded from B2G client base to B2B
Energy SBG
• Achieved higher net profit
• Deployed the renewable energy proficiency to EPC projects
• Built recurring sales and net profit base from water supply business
Services SBG
• Achieved higher sales from strong customer base and continual customer base expansion
• Stepped into a potential business that will generate growth in the future
Network Solutions SBG
• Won mega project worth >3,000 MB
• Maintained strong backlog base of 4,000-5,000 MB
FSD SBG
• Achieved a better profit-oriented business model – focusing on Consumer Products, HoReCa and InterTrade
• Acquired Siam Samut Warin to enlarge the “Value-Added” business in HoReCa
• Attained an improved commercial term for Consumer Product and InterTrade
2016
2017
2018
8,500 MB
10,660 MB
11,300MB
Building Strong Backlog to Support 2019 Growth
The Achievements Y2018 from 5 SBGs Drive the Continual Future Growth
6“Strategic Planning and Investor Relations”
THB:Million FY2017 FY2018
Sales of products & services 15,639 13,188
Cost of sales and services (13,550) (11,296)
Gross profit 2,089 1,892
% Gross profit 13.4% 14.3%
Selling & admin expenses (2,618) (2,300)
% SG&A/Sales 16.7% 17.4%
Fees & other income 289 395
Equity profit from associated 483 355
EBIT 243 342
Financial costs (188) (185)
Net profit 50 92
% Net margin 0.3% 0.7%
15,639
13,188
FY2017 FY2018
• Sales ↓ from completion
of the mega project in 2017
• GPM ↑ from business that
generated value – added service especially IT SBG whose focus shifted from product sales to service sales
Y2018 HighlightsConsolidated Y2017 and Y2018
Sales GPM
Equity Profit
SG&A
Net Profit
13.4%
14.3%
FY2017 FY2018
2,618
2,300
FY2017 FY2018
THB:Million
483
355
FY2017 FY2018
50
92
FY2017 FY2018
• SG&A ↓ due mainly to
• Lower extra expense compared to that of 2017
• Business transformation
• Equity Profit ↓ from associate in steel
industry whose cost had fluctuated and resulted in lower profit
• Net Profit ↑ from higher GPM and Lower
SG&A despite the decrease in sales and equity profit
Efficiency and expense control are main 2 engines to boost profit
7“Strategic Planning and Investor Relations”
Y2018 HighlightsSummary of Financial Position – Consolidated
Statement of Financial Position – Consolidated
KEY RATIOS
Y2017
Y2018
1.58x
1.52x
Debt to Equity
Y2017
Y2018
0.66x
0.67x
Interest Bearing Debt
to Equity
Y2017
Y2018
2.90x
2.14x
Interest Coverage
Y2017
Y2018
1.34x
1.35x
Current Ratio
Current Asset
Non-current Asset
9,383 8,453
6,827 6,644
Y2017 Y2018
16,210 15,
6,997 6,284
2,919 2,813
6,294 6,000
Y2017 Y2018
16,210 15,
Current Liabilities
Non-current Liabilities
Shareholders' equity
Key Leverage Ratios
1.17
1.371.58
1.52
0.540.53 0.66
0.67
3.33
2.652.90
2.14
2015 2016 2017 2018
D/E ratio Interest bearing debt/Equity Interest Coverage
Times
Well-Balanced Liability Obligation and Financial Risk
8“Strategic Planning and Investor Relations”
1. Business Structure and Overview
2. Y2018 Highlights
3. Strategies and Sustainable Growth
Agenda
9“Strategic Planning and Investor Relations”
Strategies and Sustainable GrowthOrder Backlog and High Potential
Security&Intelligent
System2,781 MB
EDC & ADM308 MB HW/SW Solution
1,876 MB
Sub-station and Transmission Line
1,943 MB
Water Supply System55 MB
Ground Handling & Cargo Security
166 MB
Others
Security234 MB
Telecom Solution591 MB
Construction Materials291 MB
Railway
Signaling568 MB
Digital TV & Radio107 MB
ITSBG
2,184 MB
4,858 MBNS
SBG
EnergySBG2,715 MB
1,538 MBServicesSBG
Airport Security836 MB
AlternativeEnergy
718 MB
Others 520 MB
Note: 74% will be recognized in 2019
NHA302 MB
Order Backlog≈ 11,300 MB
Revenue Base from
Order backlog (74% of 11,300)
Revenue Base from Recurring
Revenue(~3,000 – 3,500 MB)
High Potential(~13,000 MB)
Opportunity(~20,000 MB)
Details High Potential• IT - 3,800 MB• Energy - 2,730 MB• NS – 5,740 MB• Services – 1,030 MB
“Building Growth with Concrete Revenue Base”
Strong Revenue Base from Current Backlog and Recurring Revenue
10“Strategic Planning and Investor Relations”
Strategies and Sustainable GrowthLoxley’s 2019 Growth Drivers
Food Services & Distribution (“FSD”)Information Technology (“IT”)
Network Solutions (“NS”)Energy
Services Equity profit from associated
654
Y2016 Y2017 Y2018
26%26%
355483
2,954 3,327
Y2016 Y2017 Y2018
13%
8%
3,6023,804 3,651 3,279
Y2016 Y2017 Y2018
4%10%
1,733 1,668 1,486
Y2016 Y2017 Y2018
11%4%
2,672
4,150
Y2016 Y2017 Y2018
55%48%
,
1,637
Y2016 Y2017 Y2018
21%
25%
,471
1,979
• Up to 400 Certified Professionals (ITIL, ISO, >400 certificates covering all dimensions)
• Excellent bidding track record
• Industry support: Thailand 4.0 and ระบบราชการ 4.0
• IT Solutions
• Strong market value• A key player in the industry, engaging
in MEA, PEA, and EGAT projects• Deploy efficiency for EPC service base
expansion
• A key player in the consistently growing aviation industry
• Expansion to new business with high market growth
• Turnaround plan from Consumer Products
• HoReCa market penetration
• Strong and diversified customer base• A Key player in the market• Increasing trend of government
spending and investment
• BP Castrol – A key investment with growth that generates consistent profit
• NS BlueScope – Steel price show a positive trend in terms of cost
• Divestiture of no-profit investment
Integrate the Power of 5 SBGs and Associates to Achieve Loxley’s Sustainable Growth
Investor RelationsContact Person : Boonlert JaimunTel: 66 (0) 2348-8141 Fax: 66 (0) 2348-8614E-mail: [email protected]
Trinapan MahanavanontTel: 66 (0) 2348-8629 Fax: 66 (0) 2348-8614E-mail: [email protected]
Loxley Public Company Limited102 Na Ranong Road, KlongToeyBangkok 10110, Thailandwww.loxley.co.th
Thank you
Company Presentation 6 March 2019
ASM Security Management Company Limited (ASM) is
now 100 percent owned by Loxley.
ASM was established in August 2006 with registered
capital of 100 million Baht.
ASM provides security services starting from our
expertise in Airport Security and Aviation Security. We
expand our business to General Security, and Facility Management respectively.
About us
Agenda
o AVIATION
OUR BUSINESSES
o NON - AVIATION
o NEW BUSINESSES
o AVIATION SERVICES
o GROUND SUPPORT SECURITY
o AIRPORT SECURITY
o GENERAL SECURITY
o FACILITY MANAGEMENT
REVENUE 2018
CONCLUSION
Airport Security
57%977 MB
Ground Support Security
15%257 MB
Aviation Services
8%145 MB
General Security
20%328 MB
Facility Management
0.001%1 MB
Revenue 2018
REVENUE 2018
913
222
117
318
0
977
257
145
328
1
AIRPORT SECURITY
GROUND SUPPORT SECURITY
AVIATION SERVICES
GENERAL SECURITY
FM
Growth from 2017 to 2018
2017 2018
+7%
N/A
+3%
+24%
+16%
o AVIATION
OUR BUSINESSES
o AVIATION SERVICES
o GROUND SUPPORT SECURITY
o AIRPORT SECURITY
Checkpoint Screening•Cabin baggage•Oversized checked baggage
•Passengers – Body Search
•Staff – Body Search•Duty Free goods
Airport Security Guard• Guarding
• Patrolling
• Traffic Control
• Vehicle Search
• CCTV
• EOD
• K9 handler
Airport Security
o AIRPORT SECURITY
OUR CLIENTS
Ground Support Security
Screening Cargo by X-Ray
• Explosives detection
• Physical search
OUR CLIENTS
o GROUND SUPPORT SECURITY
Aviation Services
Aircraft Search
• Ramp Safety
• Porter and Reduce Mobility Passenger Service
• Flight Escort Inadmissible Passenger
• Documentation
OUR CLIENTS
o AVIATION SERVICES
o AVIATION
TRAINING QUALITY CONTROL & AUDIT
Qualified Trainers from CAAT
including Screener
(the highest level of Airport Security Trainer)
Frequently Audited by International Aviation Auditors and
International Airlines
QC staff are trained according to high level standard of aviation safety
Increasing passengers
• From 60 million in 2018 to 90 million
passenger at Suvarnabhumi Airport
in 2020
• 200 million passenger at 3 major
airports: Suvarnabhumi, Don Muangand U-Tapao Airport in 2024.
Expanding airports capacity
• including security facility
• Suvarnabhumi Phase 2, 3, 4 and 5
• All three airports (SVB, DMK, UTP) will be
connected by a high-speed rail link,
making them one air transport ecosystem.
• More growth possibilities and potentials in
Aviation Business
OUR PRESENT AND FUTURE
OUR STRENGTHS
Market share of
ASM Airport Security
• 60% of AOT Airports
• 55% of All Commercial Thailand Airports
OUR BUSINESSES
o NON - AVIATION
o GENERAL SECURITY
o FACILITY MANAGEMENT
General Security
o GENERAL SECURITY
Energy Group
Industrials Group
Buildings and Shops
Bank
Hospitality
OUR CLIENTS
Facility Management
o FACILITY MANAGEMENT
JURISTIC
CORPORATE CONSUMER
Source : DBD 2017
GROWTH IN FM
Growth in FM
Market Share Trend of Facility Management
Corporate
• Increased appetite for outsourcing
• Increased service integration
• Market demand for value-added services
Consumer
• “Hyper Convenience” Consumer
• Vertical Living Lifestyle
o NEW BUSINESSES
Security Training
Team Building
Soft Skill Training
ASM Training Co., Ltd. ASM Professional Manpower
Co., Ltd.
Recruitment
Bangkok Healthcare Management
Co., Ltd
Day Care Service Provider
- Emerging of Aging Society and Market Demand in
Aging Day Care
- Joint venture with professional and experienced
healthcare management company
- A place for seniors to join activities during day time
- Taken care by professional medical personnel
- All activities are instructional designed to slow down
the degeneration of the body and brain
What is Day Care? Why do we do this business?
CONCLUSION
Airport Security837 MB
Ground Support Security130 MB
Aviation Services64 MB
General Security95 MB
Backlog1,126 MB
High Potential 813 MB
SUSTAINABLE GROWTH 2019 KEY HIGHLIGHT
Growth driven from
New Businesso Market demand
for aging society
o Growth of Day
Care
Facility
Managemento Increased appetite
for outsourcing
o Increased service
integration
o Market demand for value-added
Aviationo Increasing
passenger
o Expanding
Airports
o Growth of Airline
Industry
Q & A
Thank you
