Computime Group Limited · HKEX:320

Computime — H1 FY2018/19 Earnings Presentation

15 slides from Computime's earnings presentation, November 2018

  1. Slide 1: Computime FY18/19 Interim Results Presentation

    Computime FY18/19 Interim Results Presentation

  2. Slide 2: Disclaimer

    By attending this presentation, or by reading the presentation materials, you agree to be bound by the following limitations: The information in this presentation has been prepared by representatives of Computime Group Ltd. (the “Company”) for use at investor presentations by the Company. No represe

  3. Slide 3: 1H FY18/19 Results Highlights

    1H FY18/19 Results Highlights Sales momentum slowdown Targeted action plan and due to: stabilization of component market  • Increasing volatility of the global macro-economic environment Sales momentum and profitability • US tariff uncertainties gradually accelerated in the later part • Escalating

  4. Slide 4: Realigned business into segments to best leverage core competencies and resources

    Realigned business into 2 segments to best leverage core competencies and resources Smart Solutions (SS) Contract Manufacturing Services (CMS) • Focus: Products and total solutions within • Focus: Driving profitability, key account IoT space management, factory operational efficiencies and cost savi

  5. Slide 5: Financial & Business Review

    Financial & Business Review

  6. Slide 6: Income Statement Summary

    Income Statement Summary (HK$ m) 1H 1H Change Positive impact FY18/19 FY17/18 • Re-negotiated rebates & discounts • Enhancement in Revenue 1,532.4 1,911.8 -19.8% manufacturing productivity • Favorable product mix Gross profit 224.4 280.0 -19.9% • RMB depreciation Gross profit margin 14.6% 14.6% Flat

  7. Slide 7: Smart Solutions (SS)

    Smart Solutions (SS) SALUS Segment Performance (Branded) 12.2% 8.3% 748.7 -25.0% 561.6 36.6% 1H FY17/18 1H FY18/19 Connected Solutions Revenue Contribution Revenue (HK$ m) Segment Margin (1H FY18/19) (Non-branded) Segment Highlights • Reasons for revenue decline: A key customer has slowed down its i

  8. Slide 8: Smart Solutions (SS) – SALUS

    Smart Solutions (SS) – SALUS Business Performance • Revenue grew 36% in 1H FY18/19  Across-the-board growth in all European and North American regions, driven by successful business strategies to expand sales channels and new product launches • Europe  Continued to secure orders from wholesalers a

  9. Slide 9: Contract Manufacturing Services (CMS)

    Contract Manufacturing Services (CMS) Segment Performance 3.2% 3.0% -16.5% 1,163.1 970.8 63.4% 1H FY17/18 1H FY18/19 Revenue Contribution Revenue (HK$ m) Segment Margin (1H FY18/19) Segment Highlights • Reasons for revenue decline: Phase out of low margin customers and slowdown in sales in some cust

  10. Slide 10: Financial Position

    Financial Position Cash and Cash Equivalents (HK$ m) Debt (HK$ m) 40.8% 772 20.1% 754 730 Net cash position 632 640 HK$40.3m 582 (30 Sep 2018) 544 517 307 334 273 36.4% 276 288 267 263 265 251 232 15.4% FY14/15 FY15/16 FY16/17 FY17/18 FY18/19 FY14/15 FY15/16 FY16/17 FY17/18 FY18/19 1H (as at 30 Sep)

  11. Slide 11: Outlook

    Outlook

  12. Slide 12: Outlook – Businesses

    Outlook – Businesses Connected Solutions • Actively rolling out initiatives to mitigate trade dispute impact to re-accelerate sales momentum • Won some strategic accounts recently, including a large constructor for multinational hotel chains • Evaluating opportunities and new product lines in wider

  13. Slide 13: Outlook – Strategies

    Outlook – Strategies Targeted action plan • Macro environment not expected to meaningfully improve within this financial year • To step up targeted action plan  Sales – proactively expedite sell-through; further rationalize trading terms  Operations – become more agile and competitive Clear strate

  14. Slide 14: Q&A

    Q&A

  15. Slide 15: Thank You

    Thank You

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