Eurocharm Holdings Co Ltd · TWSE:5288
Eurocharm — Investor Presentation (2014)
36 slides from Eurocharm's investor presentation, 2014
Slide 1: Eurocharm Holdings Co., Ltd.
www.eurocharm.com.tw Eurocharm Holdings Co., Ltd. ~Become a global leading supplier in automotive, motorcycle, and medical equipment industries Jerry Kao Financial Manager 1
Slide 2: Company Profile
Company Profile Founded ： 2011/7/18 Chairman： Min-Hui Yu GM ： Jack Chao Capital ： NTD$639,841,530 Employee： Total 3,500 Precision Metal Parts( Motorcycle、Automotive Product ： 、Medical、RV and heavy motorcycle) Factory ： Vietnam、Taiwan HONDA、YAMAHA、Piaggio、Suzuki TW / Sym、Exedy、Kyoei、Nissin、KYB VN Mai
Slide 3: Organization Overview
Organization Overview Eurocharm Holdings Co., Ltd. 100% Eurocharm 100% Eurocharm 100% Vietnam Precision Innovation Co., Innovation Co., Industrial No.1 Co., Ltd. Ltd.(BVI) Ltd. 8.17% 45% 20% Vietnam Precision Hsieh Yuan Exedy Vietnam Co., Industrial Joint Stock Technology Co., Ltd. Ltd. Company 3
Slide 4: Board of Directors
Board of Directors title Name Directors’ Biographies Min‐Hui Yu, Representative of New Eurocharm Innovation Co., Ltd., Director General Limited Shen Yuan Metal Co., Ltd., Chairman of the Board Song Fong Development Co., Ltd., Supervisor Taiwan Techno State Co., Ltd., Director Eurocharm Holdings Co.,
Slide 5: Board of Directors
Board of Directors title Name Directors’ Biographies The CID Group, Chairman of the Board Taiflex Scientific Co., Ltd., Director Quanta Computer lnc., Supervisor Director Jin-Yi Chang Quanta Storage Inc., Supervisor 25 years of Investment Bank and VC experience Lin Wei-Min CPA Firm, Certified Accoun
Slide 6: Vietnam Factory
Fa 5th (P ctor la y n) Fa 2 nd ct or y Fa 4 th cto ry Fa 3 rd cto ry 2W pa rki ng Fa 1 st cto ry Vietnam Factory 6
Slide 7: Group History
Group History 1974 Eurocharm Taiwan was established and became a professional manufacturer of motorcycle parts introduced and utilized an automated welding robot 1983 production line started production of healthcare equipment parts 1988 and products 1994 started production of walkers and rollators V
Slide 8: Group History (continued)
Group History (continue) 2006 jointed venture with EXEDY Japan to establish EXEDY Vietnam, whose main products are motorcycle clutch 2007 passed ISO/TS16949 and ISO14001 certification introduced hydraulic stamping production line up to 2009 1,200-ton jointed venture to establish Hsieh Yuan Technolog
Slide 9: Company Organization Structure
Company Organization Structure Shareholder's Meeting Compensation Audit Committee Board of Directors Committee Chairman Internal Audit General Manager Financial & Taiwan Vietnam Sales Office R&D Office Administratio Manufacturin Manufacturin n Office g Office g Office 9
Slide 10: Sales by Product
Sales by Product Motorcycle Parts Medical Parts NTD$2900 Million(84%) NTD$440 Million(13%) Others NTD$120 Million (3%) 2013 total revenue： NTD$3,470 Million 10
Slide 11: Product Structure
Product Structure 2012 sales by product 2013 sales by product 3% 4% 13% 13% 9% 15% 68% 75% Motorcycle iron parts Medical & Healthcare parts Motorcycle aluminum parts others 11
Slide 12: Client Structure
Client Structure Client 2011 2012 2013 2014.1H 1 A 42% 39% 50% 49% 2 B 26% 24% 16% 11% 3 C 5% 6% 5% 5% 4 D 4% 5% 4% 4% 5 E 7% 8% 7% 5% Others 16% 18% 18% 26% 合計 100% 100% 100% 100% Regions 2011 2012 2013 2014.1H 1 Vietnam 89% 85% 83% 74% 2 Taiwan 1% 1% 1% 1% 3 others 10% 14% 16% 25% 12
Slide 13: Competitive advantages: Close Partnership with Global Leading Brands
Competitive advantages: Close Partnership with Global Leading Brands Reliable Reliable quality quality enables enables us us to to partner partner with with global global leading leading brands brands around around the the world. world. reduce time for product launch exceptional quality reliability
Slide 14: Competitive advantages: Quality Certification
Competitive advantages: Quality Certification ISO ISO ISO ISO/TS 13485 14001 9001:2008 16949:2009 TOYOTA 2010 YAMAHA 2009 HONDA 2013 FORD 2014 14
Slide 15: Competitive advantages: Vertical and Horizontal Production Integration
Competitive advantages: Vertical and Horizontal Production Integration Provide One‐Stop‐Shopping for Customers 15
Slide 16: Competitive advantages: Production Expansion Strength
Competitive advantages: Production Expansion Strength Continuous Improvement in Satellite Enterprise Production Efficiency System of Culture Central based on Just In Time Production Manufacturer Team Work Planning to Meet Customers’ Market Sales Target Export Business in the Stable Flexible ASEAN re
Slide 17: Future Outlook
Team up with motorcycle companies’ market globalization to expand Future Outlook more into export markets. A Developing Strengthen relationship with healthcare Profitable equipment customers to Markets face higher demands of aging society. Develop stronger ties with B Upgrading automotive cust
Slide 18: Revenue and Profitability
Revenue and Profitability In NTD Millions, NT$,% 4,000 21.00% 3,474 3,500 18.00% 3,069 16.59% 3,000 15.00% 2,500 12.00% 2,000 1,787 9.44% 9.00% 1,500 6.00% 1,000 570 543 421 417 296 222 3.00% 500 ‐ 0.00% 2012 2013 2014.1H Sales Gross Margin Pre-tax Income Gross Margin(%) Pre-tax Income(%) 18
Slide 19: Cash Flow and Dividend Payout Ratio
Cash Flow and Dividend Payout Ratio In NTD Thousands, NT$,% 2011 2012 2013 2014, 1H Net Income 202,902 380,575 318,675 337,468 Equities 1,070,015 1,309,381 1,483,364 1,464,716 ROE 19% 29% 21% 23% EPS(NT$) 3.84 6.79 5.57 2.96 Cash 2.69 3 3 - Dividend(NT$) Dividend Pay- 70% 44% 54% - Out(%)
Slide 20: Operating Performance
Operating Performance Days sales outstanding Average inventory ROE 180 turnover days 35.00% 160 200 30.00% 29.07% 140 120 150 25.00% 23.04% 20.00% 21.48% 100 18.96% 80 100 15.00% 60 55 45 45 47 10.00% 40 50 45 54 38 34 5.00% 20 0 0 0.00% Eurocharm Kian Shen Turvo FINE BLANKING & TOOL
Slide 21: Global motorcycle market scale and trend analysis
Global motorcycle market scale and trend analysis Unit : 10,000 8,100 7,600 7,600 7,200 7,100 6,800 6,600 6,600 6,300 6,100 5,600 2012 2013(e) 2014(f) 2015(f) 2016(f) Source: IEK(2013/05) 21
Slide 22: Vietnam motorcycle's FDI statistics
Vietnam motorcycle's FDI statistics Source: Eurocharm Unit : PCS 22
Slide 23: Global healthcare equipment market distribution forecast
Global healthcare equipment market distribution forecast In USD 100 million; % 2012 2017 GAGR 5000 15.8% 4500 4000 3500 10.4% 3000 8.7% 2500 7.1% 2000 6.3% 5.2% 1500 1000 500 0 Western Europe Middle/Eastern Europe North American Middle East/Africa Asia Global Source: IEK(2013/05)
Slide 24: Iron Parts Process
KX Eurocharm Group KFS 24
Slide 25: Aluminum Parts Process
aN f= Eurocharm Group Mts MSHS — y - 25
Slide 26: Medical Parts Process
KX Eurocharm Group Mia MSHS 26
Slide 27: Motorcycle Parts (1)
Motorcycle Parts (1) LEFT RIGHT HAND BODY SIDE HEAD PIPE COMP Rear internal WIN SHIELD reinforcement with IP BODYWORK LEFT CHASSIS SPOILER 27
Slide 28: Motorcycle Parts (2)
Motorcycle Parts (2) STAY FR COVER PIPE SUB COMP PIPE R.L COMP PLATE,RR CROSS COMP MOTORCYCLE FRAME MAIN PIPE COMP PIPE, LOWER CROSS COMP PLATE COMP,PIVOT COMP-1 PIPE RR CROSS COMP
Slide 29: Motorcycle Parts (3)
Motorcycle Parts (3) HANDLE COMP METAL FUEL FILLER HINGE FUEL LID HINGE ASSY SEAT SEAT CATCH COMP RAIL RR GRAB STEERING COLUMN SWING ARM ASSY GEAR, FINE BLANKING CAM RR BRAKE RETAINER,KICK SPRING STAND SIDE STAND COMP MAIN LINK ASSY ENG HANGER STEP ASSY, PILLION ARM RR BRAKE
Slide 30: Heavy Motorcycle Parts
Heavy Motorcycle Parts HANDLE Upper COMP Triple Clamp COVER-WIRE, FRONT, N HOUSING - SPEEDOMNT,IND Lower Triple Clamp FOOT CONTROL Stand side SWING ARM
Slide 31: Snowmobile Parts
Snowmobile Parts HANDLE COMP SEAT RAIL WELD-FTA UPPER ARM Bumper LOWER ARM WELD-FTA 31
Slide 32: Recreational Vehicle Parts
Recreational Vehicle Parts-- ATV.SXS.. WELD-SKID, FRONT, BOLTED SUPPORT-STEERING BRKT-POD MOUNTING BRKT AXLE BRACE BRKT-FUSE BLOCK PLATE-MOUNT, PIN BRKT CAST SWAY BAR
Slide 33: Recreational Vehicle Parts - others
Recreational Vehicle Parts-- others HOOP-ROLL TRIM-RADIO DISPLAY BEZEL CENTER HEAD LIGHT BRACKET-IGNITION 33
Slide 34: Automobile Parts
Automobile Parts CHASSIS FRAME ASSY PANEL RR FRAME FR SEAT BACK SEAT CUSHION SIDE NO 1 SIDE STEP HINGER SEAT ASSY FRAME SUB ASSY FR SEAT CUSHION SIDE STEP 34
Slide 35: Medical & Healthcare Parts
Medical & Healthcare Parts MEDICAL BED PATIENT LIFTER SHOWER CHAIR 35
Slide 36: Thanks for your kind attention
Eurocharm Holdings Co., Ltd. www.eurocharm.com.tw Thanks for your kind attention ~ Q&A 36