Asia File Corporation Bhd. · MYX:ASIAFLE
Asia File Corporation Bhd — Shareholder Meeting (2023)
17 slides from Asia File Corporation Bhd's shareholder meeting presentation, Oct 26, 2023
Slide 1: 29th Annual General Meeting Q&A with MSWG and shareholders
Questions from the Minority Shareholders Watch Group (“MSWG”) and shareholders together with response 29th Annual General Meeting Asia File Corporation Bhd. Registration No. 199401027510 (313192-P) (Incorporated in Malaysia) 1
Slide 2: MSWG Q&A – Operational & Financial Matters: New products
MSWG Q&A – Operational & Financial Matters Question 1. Revenue contribution from the recyclable consumer and food ware division stood at 15.6% of total revenue in FY2023. With the addition of new products and market expansion, the Group expects the percentage contribution by this division to increas
Slide 3: MSWG Q&A – Operational & Financial Matters: SKUs
MSWG Q&A – Operational & Financial Matters Question b) How many stock keeping units (SKUs) do you have at the end of FY2023 compared to a year ago? Response Number of SKUs does not represent the range of products we offered as similar products may be packed differently in various combinations ( i.e.
Slide 4: MSWG Q&A – Operational & Financial Matters: FY2024 launches
MSWG Q&A – Operational & Financial Matters Question c) How many new products do you plan to launch in FY2024? Response We will be launching new categories such as cabinet storage and foldable storage. 4
Slide 5: MSWG Q&A – Operational & Financial Matters: New markets
MSWG Q&A – Operational & Financial Matters Question d) Which new markets have the Group entered into FY2023? Response In FY2023, our focus was in local market and product penetration on online platforms such as Shopee and Lazada. 5
Slide 6: MSWG Q&A – Operational & Financial Matters: Market trends
MSWG Q&A – Operational & Financial Matters Question e) Are there any specific market trends or consumer preferences that the Group is capitalizing on? Response We are unable to share the information publicly at this moment due to trade sensitivity. 6
Slide 7: MSWG Q&A – Operational & Financial Matters: Growth rate
MSWG Q&A – Operational & Financial Matters Question 2. In reply to MSWG’s question 3 (c) at last year’s AGM, the Group said that it targeted revenue growth of 20%+ per annum for the recyclable food ware business (i.e. ABBAware), subject to prevailing market conditions. a) Revenue contribution from r
Slide 8: MSWG Q&A – Operational & Financial Matters: Sales strategies
MSWG Q&A – Operational & Financial Matters b) What are your strategies to improve sales of consumer and food ware products? Response We need to study and understand the market well, manufacture the products in the most cost competitive way and strategize our marketing approach in order to capture a
Slide 9: MSWG Q&A – Operational & Financial Matters: Supportive Technology
MSWG Q&A – Operational & Financial Matters Question c) How much was the revenue and profit before tax contribution from Supportive Technology Sdn Bhd in FY2023? Response Revenue and loss before tax for Supportive Technology Sdn Bhd for FY2023 were RM10.1 million and RM281k respectively, an improveme
Slide 10: MSWG Q&A – Operational & Financial Matters: FY2024 capex
MSWG Q&A – Operational & Financial Matters Question d) What is the budgeted capex for FY2024? Response It should be in the range of RM 5m to RM 10 m. 10
Slide 11: MSWG Q&A – Operational & Financial Matters: Q1 FY2024 revenue decline
MSWG Q&A – Operational & Financial Matters Question 3. For the first quarter of FY2024, consumer and food ware segment saw a 30% year-on-year decline in revenue to RM10.2 million. (page 9 of Q1FY2024 report) a) What are the reasons for the significant fall in revenue for the first quarter of FY2024?
Slide 12: MSWG Q&A – Operational & Financial Matters: FY2024 outlook
MSWG Q&A – Operational & Financial Matters Question b) What is the outlook for the remaining of FY2024? Response We believe that the economy condition will remain challenging as evidenced by the release of all recent economic data. Being the manufacturer of consumer products, this will have a negati
Slide 13: MSWG Q&A – Corporate Governance
MSWG Q&A – Corporate Governance Question 4. Practice 1.3 of the Malaysian Code of Corporate Governance stipulates that the positions of Chairman and CEO should be held by different individuals. For FY2023, the Company did not apply Practice 1.3. Both the positions of the Board Chairman and the CEO a
Slide 14: MSWG Q&A – Corporate Governance (cont'd)
MSWG Q&A – Corporate Governance Question 4. Practice 1.3 of the Malaysian Code of Corporate Governance stipulates that the positions of Chairman and CEO should be held by different individuals. For FY2023, the Company did not apply Practice 1.3. Both the positions of the Board Chairman and the CEO a
Slide 15: Shareholder Q&A – Tan Ching Yuew: Administrative expenses
Shareholder Q&A – Tan Ching Yuew Question 1. Noted a year-on-year 40% decline in administrative expenses compared to financial year ended 31 March 2022 (“FY2022”). Please elaborate on the huge decline. Response Freight transport was RM60,000 a container in FY2022. The freight cost has shrunk to 10%
Slide 16: Shareholder Q&A – Tan Ching Yuew: Freight costs
Shareholder Q&A – Tan Ching Yuew Question 2. Is it correct that management categorised freight costs under administrative expenses rather than as sales and distribution costs? Response Yes, that is correct. 16
Slide 17: Shareholder Q&A – Tan Ching Yuew: Manufacturing
Shareholder Q&A – Tan Ching Yuew Question 3. Are most of the products sold manufactured in Malaysia? Response There is a mix. The primary manufacturing plant in Malaysia produces products on knock-down / component basis for onward assembly and sale in UK and Europe. 17