Union Steel Holdings Limited · SGX:ZB9
Union Steel — Investor Presentation (April 2011)
21 slides from Union Steel's investor presentation, Apr 18, 2011
Slide 1: Union Steel Holdings Limited Corporate Presentation
Union Steel Holdings Limited Company Registration Number: 200410181W Corporate Presentation 1
Slide 2: To Be Part Of The Environment
To Be Part Of The Environment Each and everyone of us is a part of the world we live in. It is up to us to protect the environment. Investing in advanced metal recycling equipment and machinery will help maximise the recycling of scrap metals, thereby saving precious natural resources. 2
Slide 3: Contents
Contents • Business Overview • Competitive Strengths • Financial Review • Future Plans & Outlook • Questions & Answers 3
Slide 4: About Union Steel
ABOUT UNION STEEL We are principally engaged in the recycling of ferrous and non-ferrous scrap metals, and are one of the largest metals recyclers in Singapore in terms of volume of metals recycled. We are a one-stop supply centre for recycled metals, steel products and other services. 4
Slide 5: Business Overview
BUSINESS OVERVIEW 5
Slide 6: Core Business
CORE BUSINESS • RECYCLING of ferrous and non-ferrous scrap metals • TRADING of steel products and • Provision of other SERVICES: – Waste Collection & Management – Demolition Works – Rental of Steel Plates – Others 6
Slide 7: Group Structure
GROUP STRUCTURE Union Steel Holdings Group Union Steel YLS Steel Yew Lee Seng Lim Asia Pte Ltd Pte Ltd Metal Pte Ltd Steel Pte Ltd 100% 100% 100% 100% Recycling of Recycling of scrap Demolition of Investment non-ferrous metals, trading of buildings and holding metals and steel products, trading of c
Slide 8: Our Recycling Operations
OUR RECYCLING OPERATIONS Procurement & Collections Purchase scrap metal from local & overseas sources Sorting & Segregation Separated according to its type & grade Ferrous Scrap Metals Non-Ferrous Scrap Metals Shearing & Cutting Baling & Briquetting Cut scrap metals to obtain denser Compress scrap i
Slide 9: Our Recycling Operations: Procurement and Sorting
OUR RECYCLING OPERATIONS Procurement and Collection Sorting and Segregation 9
Slide 10: Our Recycling Operations: Shearing and Baling
OUR RECYCLING OPERATIONS Shearing and Cutting Baling and Briquetting 10
Slide 11: Our Recycling Operations: Quality Control and Packing
OUR RECYCLING OPERATIONS Quality Control, Packing and Storage 0 11
Slide 12: Competitive Strengths
COMPETITIVE STRENGTHS 12 12
Slide 13: Competitive Strengths
COMPETITIVE STRENGTHS • Experienced management team (over 20 years of experience), and our dedication to operational excellence • One-stop supplier of a wide range of processed metals • Vertically-integrated business – from direct sourcing (eg. collection and demolition work) to processing and tradi
Slide 14: Financial Highlights
FINANCIAL HIGHLIGHTS 14 14
Slide 15: Group Revenue
GROUP REVENUE S$ Million 400 337.8 302.6 317.5 2.6 5.7 6.1 50.4 300 59.4 76.1 200 136.0 130.1 2.3 284.8 5.2 20.7 252.0 220.8 31.4 100 113.0 93.5 0 FY2006 FY2007 FY2008 FY2009 FY2010 Recycling Trading Others 15
Slide 16: Gross Profit & Gross Profit Margin
GROSS PROFIT & GROSS PROFIT MARGIN S$ Million 40 20% 31.5 30 15% 13.2% 22.0 20 18.0 10.4% 10% 8.6% 12.1 11.2 6.5% 10 5% 3.8% 0 0% FY2006 FY2007 FY2008 FY2009 FY2010 16
Slide 17: Group Net Profit
GROUP NET PROFIT S$ Million 30.0 25.1 20.0 6.3 8.1 10.0 4.0 -6.0 0.0 FY2006 FY2007 FY2008 FY2009 FY2010 -10.0 17
Slide 18: Financial Snapshot
FINANCIAL SNAPSHOT S$ Million As at 31 Dec 2010 As at 30 Jun 2010 Total Assets 119.8 121.5 Current Assets 97.0 96.2 Non-current Assets 22.8 25.2 Total Liabilities 53.6 62.4 Total Borrowings 38.8 46.6 Cash & Cash Equivalents 28.5 20.1 Shareholders’ Equity 66.2 59.1 Net Working Capital 81.6 54.2 18
Slide 19: Future Plans & Outlook
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Slide 20: Future Plans & Outlook
FUTURE PLANS & OUTLOOK • Challenging operating environment – Volatile international metals’ prices – Moderating global economic outlook – Intense competition among local steel stockists despite expectations that construction demand will grow • Seize opportunities to preserve profitability • Seek out
Slide 21: Thank You
Thank You www.unionsteel.com.sg 21
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