China Industrial Steel — Investor Presentation (December 2012)
22 slides from China Industrial Steel's investor presentation, Dec 18, 2012
Slide 1: China Industrial Steel
Cane CHINA INDt L
Slide 2: Forward Looking Statements
FORWARD EOOKING STATEMENT) Except for statements of historical fact, the information presented herein constitutes forward-looking statements within the meaning of the Private Securities Litigation Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other f
Slide 3: Introduction
HINT TRXO) DUET TO) N} China Industrial Steel Inc., ("The Company” , “CIS”) is a holding company incorporated in the State of Maryland in 2010. Through a WFOE and VIE structure, CIS controls Handan Hongri Metallurgy Co. Ltd., (“Hongri”), a PRC operating company that produces and sells steel products
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Slide 5: Steel Making
STEEL MAKING Con e
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Slide 8: Steel Rolling
STEEL ROLLING Steel Billet Steel Billet ‘ Sales Rolling Process I Bar Works Plate Works T&Il Steel Wires Steel Bars Steel Plates
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Slide 11: Sales of Major Products
SALES OF MAJOR PRODUGETS! STEEL BILLET A semi-finished product, which is sold to third parties as raw material, or is used by the Company to manufacturer steel plate and steel wires internally through a rolling process. STEEL PLATE AND STEEL WIRE/BAR These products are primarily used by equipment ma
Slide 12: Major Products
MAJOR’ PRODUETS Nine Months Encdecd Septamber 30, 2012 aie 202, 2012 2011 Products Revenue Quantity (Ton) __Revenue __Quantity (Ton) Steel plates $ 234,481,468 443,065 $ 439,293,501 708,731 Steel wires / bars 184,161,945 345,902 38,583,974 57,325 Steel billets 64,758,880 121,559 137,666,819 235,696
Slide 13: Competitive Environment
COMPETITIVE ENVIRONMENT Excessive production capacity of steel production, the recent downturn in the demand for steel products and higher iron ore, coking coal and material costs have been major challenges that the Chinese steel industry has encountered this year. But, the Chinese government stimul
Slide 14: Competitive Advantages
Scie ES) COMPETITIVE ADVAN, The Company has both steel making and steel rolling capacity to produce various steel products. Purchase molten iron from a related Company, secured the raw material supply and lowered the iron transportation and processing cost. Lower overhead cost. Close to rail line, a
Slide 15: China steel price index
GHINES Chinese comprehensive price index of steel products (“CSPI”), an index combined various price of steel products commenced in 1994, an economic indicator of market demand for steel products, was decreasing continuously from the beginning of 2012. At September 30, 2012, CSPI was 102.45, which w
Slide 16: Growth Strategy
GROW Th STRATEGY, To continue to adjust its products mix based on changes in customer demands, with the objective of maximizing the profit. To introduce new “value added” steel products for consumer products manufacturers, by either extending current production facilities or adding a new production
Slide 17: Selected Financial Data
SELECTED FINANEIAL DATA Selected Consolidated Income Statements Data ‘Year Ended December 31, 2011 2010 2009 2008 jet Revenues $ 823,107,042 $ 573,666,684] $ 556,754,960, $ 359,057,857 ss profit $ 61,461,008 $ 37,812,187] $ 62,136,779 $ 33,217,202 Income from operations S$ 58,960,631] $ 35,279,924 $
Slide 18: Three and Nine Months Ended September 30 Results
‘Three Months EndedSeptember 30, Nine Months Ended September 30, 2012 2011 2012 $ 162,539,814 $ 222,596,275 $ 475,334,300 7,010,402 3,359,561 16,816,933 Cost of Revenue - non-related parties 72,622,372 (24,541,195 ‘197,528,829 73,293,963 Cost of Revenue - related parties 99,305,592 177,943,910 283,7
Slide 19: Corporate Snapshot
GOR Q Price (December 12, 2012) Q Market Cap (December 12, 2012) Q Shares Outstanding Q EPS YTD 09/30/2012 / FY 2011 Q Stockholder Equity - 09/30/2011 PORATE SNAPSEHOM $1.01 $74.36 million 73.62 million $0.04 /$0.62 $192 million
Slide 20: Professional Partners
PROF China Counsel The Global Law Office, Beijing, China TONAL PARTNER'S) U.S. Securities Counsel Sichenzia Ross Friedman LLP, New York, New York CHINA INDUSTRIAL STEEL News Distribution PR Newswire - NX Auditor Friedman LLP
Slide 21: Investor Contacts
INVESTOR CONTAGTS) www.chinaindustrialsteel.com Delong Zhou - Chief Financial Officer [email protected] Frank Pena - Director [email protected]
Slide 22: Thank You!
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