Mencast Holdings Ltd. · SGX:5NF
Mencast — FY2010 Earnings Presentation
47 slides from Mencast's earnings presentation, Mar 7, 2011
Slide 1: FY2010 Presentation, 7 March 2011
slogan PowerPoint Template FY2010 PRESENTATION 7 MARCH 2011 Acoolsoft software
Slide 2: Disclaimer
Disclaimer The information in this presentation does not constitute or form any part of an offer, invitation or recommendation to subscribe for, retain, or purchase any securities in Mencast Holdings Ltd. Information in this presentation, or anything contained in it, will not form the basis of any c
Slide 3: Presentation Outline
Presentation Outline Group Overview Financial Review (FY2010) Business Overview
Slide 4: Group Overview
ve MENCAST INNOVATIVE. DEDICATED. PROFESSIONAL Group Overview
Slide 5: Share Information
Share Information 52--week range 52 • S$0.290 - 0.425 • S$ 63.1m Market Capitalization • Price@ 2/3/11 : S$0.37 P/E 2010 • 6.9 x (FD: 7.4x) P/B • 1.6 x Dividend yield • 3.0% No. of Shares • 170,572,600 • Sim Family (57.5%) Major Shareholders • Gay Chee Cheong (5.23%)
Slide 6: Group Profile
Group Profile Established in 1981, Mencast is a marine service company and the MENCAST leading sterngear manufacturer and repair company in Singapore. 9,944 sqm of built-up area for 100% Existing facilities repair, manufacturing and staff accommodation. 100% 35,466 sqm of built-up area for high Wate
Slide 7: Milestones ($'000 Revenue)
Milestones ($’000 Revenue) Acquired Penjuru Waterfront Land Acquired Recon Propeller and Engineering Pte Ltd
Slide 8: Another Record Year
Another Record Year FY2010 NPAT increased 21% over FY2009 FY2010 Revenue increased 22% over FY2009 Dividend (recommended) increase of 10% to 1.1 cents per share FY2010 ROE of 21%
Slide 9: Business Highlights for 2010
Business Highlights for 2010 Services Manfacturing Corporate • Star performer with • Weathered slowdown • Successfully strong revenue in industry integrated Recon growth (M&A) • Expanded product • Margins remained range (eg. new range • Construction began robust of sterngear on new waterfront
Slide 10: Financial Review: FY2010
Group Overview Financial Review: FY2010
Slide 11: FY2010: Income Statement
FY2010: Income Statement S$’ 000 2010 2009 Change Remarks (%) •Higher revenue from sterngear services with contributions from subsidiary, Recon Propeller & Engineering Pte Ltd. Revenue 32,031 26,274 21.9 •Lower revenue from sterngear manufacturing due to slow down in shipbuilding industry. •Strong g
Slide 12: FY2010: Financial Position
FY2010: Financial Position S$’ 000 2010 2009 Cash and bank balances 11,604 12,706 Non-current assets 32,150 27,164 Total assets 62,141 48,548 Total debt 10,732 10,753 Total Equity 40,517 28,136 Net gearing ratio Net Cash Net Cash NAV per share (cents) 23.8 18.1
Slide 13: Consistent Revenue Growth
Consistent Revenue Growth (all in S$’000) FY2006 - FY2010: 19% CAGR
Slide 14: Consistent Profit Growth
Consistent Profit Growth FY2006 - FY2010: 27% CAGR FY2006 - FY2010: 31% CAGR
Slide 15: Business Overview
vie MENCAST INNOVATIVE. DEDICATED. PROFESSIONAL Business Overview
Slide 16: MMRO: Marine Maintenance Repair Overhaul
MMRO : Marine Maintenance Repair Overhaul Strong Niche Excellent track Barriers to entry record • Market leader in • Services are time segments served • 2006-2010 CAGR sensitive, high Revenue : 27% precision and mission • No significant new NPAT : 31% critical competitors in last decade • Repe
Slide 17: Triple Play Strategy
Triple Play Strategy Announced Strategy Progress To-date • Increase from 10,000sqm in 2008 to Capacity Expansion 40,000sqm in 2011 • Worldwide propeller services New Business Streams • Fleet maintenance program • Expanded product range • Acquisition of 100% of Recon Propeller • Strategic Alliance wi
Slide 18: M&A Strategy
M&A Strategy Exploring M&A meeting the following criteria: 1) Earnings accretive 2) Well managed with good track record 3) Complementary to our business strategy 4) High Margins and ROE
Slide 19: Sterngear Equipment
Sterngear Equipment EE cs
Slide 20: Sterngear Equipment
Sterngear Equipment
Slide 21: Foundry Operation
Foundry Operation
Slide 22: Sterngear Services
Sterngear Services • We recondition sterngear equipment, restore and repair worn out or damaged sterngear equipment to return to optimum efficiency • We also refurbish or modify existing equipment to maximize its efficiency and to meet the vessel’s certification requirements.
Slide 23: Sterngear Services
Sterngear Services = 7) O z uw =
Slide 24: Sterngear Services
Sterngear Services = 7) O z uw =
Slide 25: Sterngear Services
Sterngear Services
Slide 26: Strategic Alliance with Becker Marine
Strategic Alliance with Becker Marine Preferred Manufacturer of Becker Marine Systems • Becker is the global market leader for high-end performance rudder and manoeuvring solutions •To capture new customers from Korea, Japan and China • Mencast is the preferred manufacturer of heavy rudder assemblie
Slide 27: Strategic Alliance with Becker Marine
Strategic Alliance with Becker Marine
Slide 28: Strategic Alliance with Becker Marine
Strategic Alliance with Becker Marine
Slide 29: Becker Marine's Mewis Duct
Becker Marine’s Mewis Duct
Slide 30: Strategic Alliance with Becker Marine
Strategic Alliance with Becker Marine
Slide 31: Strategic Alliance with Becker Marine
Strategic Alliance with Becker Marine
Slide 32: Waterfront Facility: Update
Waterfront Facility: Update Loading Of Mewis Duct ( Waterfront @ Mencast) on 20/11/2010
Slide 33: Waterfront Facility: Update
Waterfront Facility: Update Loading Of Mewis Duct ( Waterfront @ Mencast) on 20/11/2010
Slide 34: Expanding Capabilities
Expanding Capabilities
Slide 35: Sterngear Services Expansion
Sterngear Services Expansion
Slide 36: Sterngear Services Expansion
Sterngear Services Expansion
Slide 37: Sterngear Services Expansion
Sterngear Services Expansion
Slide 38: Sterngear Services Expansion
Sterngear Services Expansion
Slide 39: Fleet Maintenance Programme
Fleet Maintenance Programme Customers Nature 1. PSA Marine Pte Ltd Supply and delivery of propellers and propeller shafts 2. Swissco Offshore Pte Ltd Servicing of sterngear and propulsion systems for its fleet of offshore support vessels, OPL (Out- of port limit) boats, and tugs and barges. 3. Ajang
Slide 40: Waterfront Facility: Update
Waterfront Facility: Update
Slide 41: Waterfront Facility: Update
Waterfront Facility: Update
Slide 42: Waterfront Facility: Update
Waterfront Facility: Update
Slide 43: Waterfront Facility: Update
Waterfront Facility: Update
Slide 44: 2011 Outlook
2011 Outlook Manufacturing Services Corporate Returning market Growing momentum Waterfront facility confidence in 2011 phased in from 2H 2011 S$8.0 million order New initiatives like book fleet maintenance Exploring other M&A program provide Becker Alliance could steady source of Succes
Slide 45: Investment Merits
Investment Merits • 6th year of sustained profit growth • Well positioned to capture future growth opportunities • Waterfront land is prized asset to begin contributing in 2011 • ROE of 21% in FY2010 • Dividend yield of 3.0% MENCAST GROWTH OPPORTUNITY DIVIDEND
Slide 46: Board of Directors
Board of Directors • Glenndle Sim (Executive Chairman and Chief Executive Officer) Glenndle is responsible for the overall management, strategic planning, operations and marketing of the Group. He graduated from the National University of Singapore with a Bachelor in Business Administration and late
Slide 47: Investor Relations Contact
MENCAST HOLDINGS LTD. No. 7, Tuas View Circuit, Singapore 637642 www.mencast.com.sg Investor Relations Contact Financial PR Pte Ltd Romil Singh / Kathy Zhang 6438 2990/ [email protected]