halcyon technology plc. · fdm technology co., ltd. (fdm) since 2002 htech holds 60% (2012) halcyon...
TRANSCRIPT
Halcyon Technology PLC. “HTECH”
Q4’17 & YE’17
March’18
Halcyon Timeline
1993 2002 2005 2009
HM established for manufacturing of metal fabricated products – jigs & fixtures, etc.
HT established for new segment of PCD cutting tools
Came out with PCD hollow tools – changed the HDD world
HT went public; IPO under symbol “HTECH”
2
Halcyon Timeline
2010 2012 - 2014
2nd factory established in Philippines (HP)
Continue to expand by setting up subsidiaries in SE Asia
HTECH invests in new factory building & machines for BOI 2
Set up 3rd factory in Hanoi
2016
3
Halcyon in ASEAN Market Halcyon Technology
Public Co., Ltd. (HTECH)
since 2002
Halcyon Metal Co., Ltd. (HM)
since 1993 HTECH holds 100%
FDM Technology Co., Ltd. (FDM)
since 2002 HTECH holds 60% (2012)
Halcyon Tools and Engineering Co., td. (Heng)
since 2016 FDM holds 90%
Halcyon Technology Vietnam Co., Ltd. (HV)
since 2014 HTECH holds 85%
Halcyon Technology
(Philippines) Inc. (HP) since 2010
HTECH holds 65%
ATEK Precision Tools (ATEK)
since 2011 HP holds 100%
Halcyon Technology (M) Sdn. Bhd. (HY)
since 2013 HTECH holds 60%
Halcyon Technology (Singapore) Pte. Ltd. (HS)
since 2013 HTECH holds 70%
PT HTECH Tools Indonesia (HI) since 2012
FDM holds 60%
Factory Distributor
4
Halcyon Customers
5
Halcyon Products
Cutting Tool Types PCD (Polycrystalline Diamond)
MCD (Monocrystalline Diamond)
Applications: super-finishing and critical applications
Materials: brass, copper, aluminum, acrylic
Industry: Lens, Jewelry, Watch, Automotive
PCBN (Polycrystalline-Cubic Boron Nitride)
Applications: cutting super-hard materials
Materials: cast iron, hardened mat. (>50 HRc), sintered mat.
Industry: Automotive, machinery parts
Carbide
Applications: General purpose cutting
Materials: Steel, aluminum, plastic, wood, etc.
Industry: Used in most industries
Applications: cutting non-ferrous materials
Materials: aluminum, brass, copper, abrasive materials, wood, acrylic, etc.
Industry: HDD, Aerospace, Automotive, medical, jewelry, etc.
7
High-end Products Veined PCD Endmills
(V-Tec) Features: Veined PCD cutting edge reduces cycle time and extends tool life
Applications: suitable for composite materials such as CFRP used in Aerospace industry and other vehicles
Solid-headed PCD Tools
(S-Tec) Features: Solid PCD tip allows for more flexible helix angle, better chip evacuation, and longer tool life; can be regrinded multiple times
Helix PCD Tools
(H-Tec) Features:
• Better tool life, better finishing, reducing cycle time by 35-50%
• Market Leader in SE Asia
• Can reduce more cost than normal Solid PCD tools
• More flexibilities in designs
8
Q4’17 Performance & Financial Highlights
Consolidated HTECH Group Performance
Consolidated Performance (Q) * Net Profit of HTECH
shareholders only
** Conso. Total Revenue
238 247 259 260
42% 41% 41% 38%
16% 16% 16% 11%
-
50
100
150
200
250
300
Q1'15 Q2'15 Q3'15 Q4'15 Q1'16 Q2'16 Q3'16 Q4'16 Q1'17 Q2'17 Q3'17 Q4'17
HT HM FDM HENG HP HS HYK HI HV Gross Profit Net Profit*
10
Consolidated Performance (Y)
701 724
826
1,004
39.0% 40.7%
14.3% 14.7%
-
200
400
600
800
1,000
1,200
2014 2015 2016 2017
HT HM FDM Heng HP HS HY HI HV Gross Profit Net Profit*
* Net Profit of HTECH
shareholders only
** Conso. Total Revenue
11
12
Revenue Breakdown (related eliminated)
HT 35%
HM 6%
FDM 14%
HENG 4%
HP+ATEK 16%
HS 9%
HY 9%
HI 5%
HV 2% 2017
HT 34%
HM 7% FDM 15%
HENG 0.3%
HP+ATEK 17%
HS 9%
HY 9%
HI 6%
HV 2% 2016
12
HT Performance (Q)
106
123 122
113
42% 42% 40%
34%
21%
30% 28%
19%
-
20
40
60
80
100
120
140
Q1'15 Q2'15 Q3'15 Q4'15 Q1'16 Q2'16 Q3'16 Q4'16 Q1'17 Q2'17 Q3'17 Q4'17
Sale
s (T
HB
Mill
ion
)
Sales Gross Profit Net Profit Dividend
13
HT Performance (Y)
353
464
37%
39%
24%
27%
0
50
100
150
200
250
300
350
400
450
500
2014 2015 2016 2017
Sale
s (T
HB
Mill
ion
)
Sales Gross Profit Net Profit Dividend
14
HT New Factory Building
• Fully operating since Dec’17
• Increased capacity by 30-40% of existing capacity (HT only)
• 6 years corporate tax exemption privilege from BOI
15
Financial Highlights
Consolidated as of 31/12/17
Capital Structure
-
200
400
600
800
1,000
1,200
1,400
1,600
2014 2015 2016 2017
966 1,023
1,277
1,595
258 259 253
492
633
764
1,023 1,104
TH
B m
illi
on
Assets Liabilities Shareholder's Equity
17
Debt to Equity Ratio
143 141 95
294
0.37 0.34
0.28
0.50
0
0.1
0.2
0.3
0.4
0.5
0.6
0.7
0.8
0
50
100
150
200
250
300
350
400
2014 2015 2016 2017
D/E
Ra
tio
(ti
me
s)
TH
B M
illi
on
Interest-bearing Debt D/E Ratio
18
Current Ratio
0
0.5
1
1.5
2
2.5
3
2014 2015 2016 2017
1.88
2.12
2.87
1.73
Tim
es
19
Profitability
242 249
322
409
68 63
118
148
35% 35%
39% 41%
10% 9%
14% 15%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
0
50
100
150
200
250
300
350
400
450
2014 2015 2016 2017
% M
arg
in
TH
B m
illi
on
Gross Profit Net Profit (HTECH) Gross Margin Net Margin (HTECH)
20
Dividend Payouts
HTECH Dividend Policy: payout no less than 40% of net margin
Performance Period Payout Date Dividend per Share (THB)
Jan. – June 2014 9/9/14 0.045
July – Dec. 2014 8/5/14 0.065
Jan. – June 2015 9/9/15 0.045
July – Dec. 2015 10/5/16 0.055
Jan. – June 2016 9/9/16 0.065
July – Dec. 2016 23/5/17 0.11
Jan. – June 2017 11/9/17 0.11
July – Dec. 2017 25/5/18 0.10
21
Thank You
Q&A
Contact Us
HALCYON HEAD OFFICE
41 Moo 14 Bangchan Industrial Est. Soi 6, Serithai 58, Minburi, Bangkok 10510
GPS Coordinates: 13.799211,100.707114
Tel: +66(0)2 906 3242-50 / Fax: +66(0)2 906 3251
e-mail: [email protected]
www.halcyon.co.th