Solomon Systech (International) Ltd. · HKEX:2878
Solomon Systech (International) — FY2010 Earnings Presentation
19 slides from Solomon Systech (International)'s earnings presentation, Mar 24, 2011
Slide 1: 2010 Annual Results Announcement
Solomon Systech (International) Limited 2010 Annual Results Announcement 24 March 2011 Hong Kong
Slide 2: Table of contents
Table of contents ` Summary ` Financial Review ` Business Review ` Outlook SSIL 2010 Annual Results Announcement 24Mar2011 P. 2
Slide 3: Summary
Summary SSIL 2010 Annual Results Announcement 24Mar2011 P. 3
Slide 4: Results summary
Results summary ` Unit shipment up 53% to 142 million units ` Sales grew by 37% to US$84.7 million ` Gross profit grew by 25% to US$25.6 million ` Net profit US$1.0 million ` Book to bill ratio for the year was 1.0 ` Basic earnings per share 0.33 HK cent ` The Board recommended no final dividend SSI
Slide 5: Financial Review
Financial Review SSIL 2010 Annual Results Announcement 24Mar2011 P. 5
Slide 6: Profit and loss
Profit and loss Twelve months ended 31 Dec YoY (US$ million) 2010 2009 Change Sales 84.7 61.8 +37% Gross profit 25.6 20.4 +25% Gross profit margin 30% 33% Net profit 1.0 0.7 +52% Net margin 1.2% 1.1% (HK cent) Earnings per share 0.33 0.22 +51% Dividend per share Nil 1.0 Book to Bill ratio 1.0 1.0 `
Slide 7: Financial Remark
Financial Remark Key Factors Sales 37% Unit shipment 53% YoY Blended ASP 11% YoY Net profit Gross profit $25.6m 25% up YoY • US$1.0m • Gross profit margin 30% (‘09: 33%) Operating expenses $28.6m 10% up YoY • SG&A up 15% YoY and R&D up 6% YoY Other financial income • US$1.6m Gain (’09: US$3.4m Gain)
Slide 8: Balance sheet
Balance sheet As at 31 As at 31 YoY (US$ million) Dec 2010 Dec 2009 Change Total assets 154.2 150.2 3% Total borrowings 0.8 0.8 (2%) Shareholders’ funds 135.0 135.8 (1%) Net cash 79.6 92.9 (14%) (HK cents) Shareholders’ funds per share 43 43 Net cash per share 25 29 SSIL 2010 Annual Results Announce
Slide 9: Net cash delta analysis '10 vs '09
Net cash delta analysis ’10 vs ‘09 ` Net Cash @ 31st Dec: ` US$79.6m (’10) vs $92.8m (‘09) - US$13.2m ` Major Cash Outflow ` Business Operating Activities - US$ 2.7m ` Plant, Property & Equipment - US$ 4.1m ` Financial Assets Net Increase - US$ 5.0m ` Dividend Payout - US$ 3.2m ` Major Cash Inflow `
Slide 10: Business Review
Business Review SSIL 2010 Annual Results Announcement 24Mar2011 P. 10
Slide 11: Blended average selling price
Blended average selling price ` 2010 blended ASP = US$0.60, down 11% YoY 0.90 HoH YoY 0.81 0.80 20% 0.70 0.67 Blended Unit ASP (US$) 0.60 0.60 10% Blended ASP Change 0.50 0% 0.40 1H08 2H08 1H09 2H09 1H10 2H10 0.30 -10% 0.20 0.10 -20% 0.00 2008 2009 2010 -30% SSIL 2010 Annual Results Announcement 24M
Slide 12: Unit shipment by product line
Unit shipment by product line ` Total unit shipment 142 million units Green Power Green Power Display System Solution Display System Solution Large Display Large Display Advanced Display Advanced Display Mobile Display Mobile Display 160 100% Unit Shipmment Distribution 140 80% IC unit shipment (mu)
Slide 13: Examples of 2010 design-wins
Examples of 2010 design-wins New Customers, New Products, New Applications Mobile Display IC Touch Panel IC Advanced Display IC USB Bank Key Personal Navigation Android Mobile Internet Electronic Smartphone Device Phone Device Guitar MP3 Players Price Tag Display System Solution Green Power LED Ligh
Slide 14: Outlook
Outlook SSIL 2010 Annual Results Announcement 24Mar2011 P. 14
Slide 15: 2011 Outlook
2011 Outlook ` Sales ` Expect new market applications and demand created by the latest electronics advancement in smartphones and tablet PCs with touch sensing function, and green energy ` Anticipate growth in diversified business ` Gain new business through synergies with China based customers ` Gr
Slide 16: Business Plan
Business Plan ` Display IC Mobile Display ` Driver IC Tablet PCs ` Address high growth market segment like smartphones and tablet PCs of high Smartphone resolution, medium size display. ` Touch Panel IC (Capacitive Touch) ` Volume shipment of multi-touch IC started from 1Q 2011 for smartphone. Dimme
Slide 17: Business Plan
Business Plan ` Display IC (cont’d) Advanced Display ` Continue PMOLED leadership and expand applications from consumer electronics to industrial appliances such as power meter OLED Power Meter ` Extend volume shipment of e-Paper IC from electronic shelf labels to health care product and storage dev
Slide 18: Business Plan
Business Plan ` System Solutions Display System Solution ` Increase sales of multimedia ICs (MagusCoreTM) via pico-projector and Android mobile internet device design-wins ` Extend mobile system solution shipment in vertical market segments to include senior mobile, GPS Android Mobile Internet Devic
Slide 19: Thank You
Thank You Solomon Systech (International) Limited Stock code: 2878 www.solomon-systech.com SSIL 2010 Annual Results Announcement 24Mar2011 P. 19
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