Asia Pacific Wire & Cable Corporation Limited · NASDAQ:APWC
Asia Pacific Wire & Cable — Investor Presentation (May 2013)
25 slides from Asia Pacific Wire & Cable's investor presentation, May 2013
Slide 1: Asia Pacific Wire & Cable Corp. LTD Investor Presentation
Asia Pacific Wire & Cable Corp. LTD APWC Investor Presentation May 2013 1
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation may contain forward-looking statements concerning Asia Pacific Wire & Cable Corporation. The actual results may differ materially depending on a number of risk factors including, but not limited to, the following: general economic and business conditions, deve
Slide 3: Equity Snapshot and Key Metrics
Equity Snapshot and Key fn Metrics APWC Price (5/1/13): $3.95 Market capitalization: ~$55 M Diluted shares outstanding: 13.8 M TTM P/E: 4.8x FY 2012 Revenues: $462.3 M ▼ 2.1% FY 2012 Gross Profit: $51.8 M ▲ 18.0% FY 2012 Net income: $10.9 M ▲ 301% FY 2012 Diluted EPS: $0.79 ▲ 302% Fiscal year ends:
Slide 4: Investment Highlights
Investment Highlights • Nasdaq-Listed since April 29, 2011 • Taiwan-based leader wire and cable manufacturer with sales in several Asian-Pacific markets • Growing underlying market demand in the region and for APWCC products particularly for power and telecommunication cable • Broad geographic cover
Slide 5: Global Industry Overview
Global Industry Overview Wire & cable growth industry growth drivers include: • Energy-related infrastructure spending • Telecom-related infrastructure spending • Construction cycles • Industrial activity Local presence required to succeed: • High transportation costs • Products need to meet regiona
Slide 6: Company Overview
Company Overview • Founded in 1996 • Headquartered in Taipei, Taiwan with subsidiaries in China, Thailand, Singapore and Australia • Core business includes the manufacturing and distribution of wire and cable products throughout Asia Pacific including Australia • Additional services: distribution of
Slide 7: Products and Services Portfolio
Products and Services Portfolio Revenue ($ millions) Gross Margin Products 2009 2010 2011 2012 2011 2012 Telecom Cable $26.0 $45.0 $28.5 $22.5 22.8% 26.2% Power Cable 103.0 148.3 200.7 206.3 13.2% 16.6% Enameled Wire 135.1 202.8 200.2 172.2 4.9% 2.6% Distributed 28.1 26.9 25.5 54.8 11.6% 6.1% Produc
Slide 8: Regional Locations and Facilities
Regional Locations and Facilities As of December 31, 2012 • Pacific Electric Wire & Cable CHINA (Shenzhen) Co., Ltd. 360 • Shanghai Yayang Electric Co., Ltd. 25.0 % • Shandong Pacific Rubber Cable Co., Ltd. Headquarters • Shangdong HuaYu Fibre Optics Cable 15 • CCH (Crown Century Holding) Hong Kong
Slide 9: APWC Subsidiaries' Operations
APWC Subsidiaries’ Operations China • Shanghai Yayang is a joint venture in Shanghai incorporated in June 1998, now 100% owned by APWC. • Pacific Electric Wire & Cable (Shenzhen) was established in Shenzhen in Dec. 1995. • Ningbo Pacific Cable Co., Ltd. (PEWNC) re-constructed July , 2011, and began
Slide 10: APWC in China
APWC in China High Quality Enameled Wire Supply to Eastern and Southern China Top Customers • Toolmakers and appliances makers • Mining companies Products • Enameled wire • Rubber cable • Electronic wire 10
Slide 11: APWC in Thailand
APWC in Thailand One of the Top-5 Cable Producers in Thailand Top Customers • Local electric utilities companies • Engineering companies • Contractors • Telecom carriers Products • Telecom cable • Power cable (Al, Cu, LV, HV) • Enameled wire • Fiber-optic cable 11
Slide 12: APWC in Singapore
APWC in Singapore Leading Provider of Power Cable in Singapore Top Customers • Electrical contractors • Distributors • Public utilities Board Products • Power cable • SDI project engineering • Distributed products 12
Slide 13: APWC in Australia
APWC in Australia Leading provider of power and construction cables New opportunities for distribution due to free trade agreement of south east Asian countries Top Customers • Contractors • Distribution Centers Products • Low-voltage power cables • Construction cables 13
Slide 14: Growth and Expansion Strategies by Market
Growth and Expansion Strategies by Market China • Top growth opportunity for APWC over the next 10 to 15 years • Increase capacity to meet market demand and maximize economy scale • Drive marketing penetration into Shandong, Henan, Guangxi Sichuan, and Chongqing city, etc. • Develop new products suc
Slide 15: Competitive Advantages
Competitive Advantages Competitive Advantages •Reliable product supply and distribution •Superior product quality and performance •Excellent customer service and knowledgeable sales and technical team •Historical long presence in key local markets Competitive Landscape •Competitors include both inde
Slide 16: History of Revenue Growth
History of Revenue Growth $600 CAGR =8% $511 $501 $500 $468 $472 $462 $447 se 1 $400 Pha USDmillion w th Gro $337 $327 e2 has $294 wth P $300 Gro $241 $211 $192 $197 $200 $100 $0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 16
Slide 17: Changes in Gross Profit
Changes in Gross Profit $70 $57.3 $64.6 $57.0 14% $60 $36.6 $51.8 $45.7 12% $50 $43.9 10% $35.9 USDMillion $40 8% $30 6% $20 4% $10 $0 2% 2005 2006 2007 2008 2009 2010 2011 2012 -$10 0% GrossProfit InventoryAdjustment GrossMargin 17
Slide 18: Changes in Net Income
Changes in Net Income $15 $13.0 $14.1 4% $10.1 $10.9 $10 3% $4.8 $5 2% USDMillion $0 1% ($5) 0% ($5.0) ($5.4) ($10) (1%) ($15) (2%) ($20) ($13.6) (3%) 2005 2006 2007 2008 2009 2010 2011 2012 Net Income Net Margin 18
Slide 19: Summary Income Statement
Summary Income Statement Year 12/31 (USD '000) 2010 2011 2012 Total Sales $446,594a $471,946a $462,265 Cost of Sales (389,571) (428,051) (410,450) Gross Profit 57,023 43,895 51,815 Income from Operations 28,652 1,884 23,593b Income Before Tax 31,832 636 27,293 Income (Loss) before taxes 20,024 (2,44
Slide 20: Summary Balance Sheet
Summary Balance Sheet As of (USD ‘000) 12/31/2010 12/31/2011 12/31/2012 Cash and Cash Equivalents $63,217 $76,672 $72,816 Current Assets 329,461 288,697 330,208 Other Assets 57,462 48,592 59,176 TOTAL ASSETS 386,923 337,289 389,384 Bank Loans and Trust Receipts 67,351 52,813 57,845 Current Liabiliti
Slide 21: Country Revenue and GP Analysis
Country Revenue and GP Analysis Revenue($Mil.) $200 $25 GrossProfit($Mil.) $186.0 $180.9 $21.5 $21.6 $180 $160 $20 $140 $132.2 $115.5 $15 $13.7 $120 $11.0 $100 $10 $80 $54.8 $5.0 $5.8 $60 $58.9$60.0 $5 $4.5 $4.5 $3.4 $52.4$44.6 $3.0 $40 $0.0 -$0.1 $25.5 $6.4 $20 $17.0 $0 Thailand Singapore Australia
Slide 22: Summary Cash Flow
Summary Cash Flow As of (USD ‘000) 2010 2011 2012 Operating Activities (2,636) 22,624 11,648 Investing Activities (6,448) (13,904) (15,755) Financing Activities 26,413 5,621 (62) Net Cash Flow 21,683 13,455 (3,856) 22
Slide 23: CAPEX Summary
CAPEX Summary As of (USD 2010 2011 2012 ‘000) Capital $3.7M $8.9M $10.1M Expenditure CAPEX Purpose: Production machinery and equipment for the CTW group in Thailand and for Ningbo Pacific Cable Co., Ltd. (“NPC”) in Ningbo, China, as well as the addition of a new plant at Shenzhen for the Chinese dom
Slide 24: Management Team
Management Team Andy C.C. CHENG – Chairman of the Board Mr. Andy C.C. CHENG was a member of the company’s Board of Directors from 2004 to 2005 and was re-elected in 2007. From 1987 to 2003, Mr. Cheng was the Vice President of procurement and later Executive Vice President and Chairman of the Inves
Slide 25: Contact Us
Contact Us Contact Us Investor Relations Company John Mattio, SVP – MZ Group Frank Tseng, CFO Main: 212-301-7130 Phone: +886 (2) 2712 2558 Direct: 212-301-7131 x66 [email protected] [email protected] www.mzgroup.us www.apwcc.com Legal Auditor Fox Horan & Camerini Ernst&Young Taiwan Michael
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