AAPICO HITECH PLC [AH] Presentation for Q1 2019 financial statements - PowerPoint PPT Presentation

AAPICO HITECH PLC [AH] Presentation for Q1 2019 financial statements Opportunity Day 29 May 2019

Disclaimer The information contained in this material has been prepared by AAPICO Hitech PLC (“AH” or “AAPICO”) solely for information purpose and does not constitute an offer or invitation to sell or the solicitation of an offer or invitation to purchase or subscribe for shares in AAPICO. Some statements made in this material are forward-looking statements. These statements typically contain words such as “expects” and “anticipates” and words of similar import. Any statement in these materials that are not a statement of historical fact is a forward-looking statement that involves various risks and uncertainties. These include statements with respect to our corporate plans, strategies, and beliefs. These statements are based on our management assumptions and beliefs in light of the information currently available to us. These assumptions involve risks and uncertainties which may cause the actual results, performance, or achievements to be materially different from any future results, performance, or achievements expressed or implied by such forward-looking statements. None of the future projections, expectations, estimates or prospects in this presentation should be taken as forecasts or promises nor should they be taken as implying any indication, assurance or guarantee that the assumptions on which such future projections, expectations, estimates or prospects have been prepared are correct and exhaustive or, in the case of the assumptions, fully stated in the presentation. We assume no obligations to update the forward-looking statements contained herein to reflect actual results, changes in assumptions or changes in factors affecting these statements. Accordingly, no representation or warranty, express or implied, is made or given by or on behalf of AAPICO or any of its shareholders, directors, officers or employees or any other person as to the accuracy, completeness or fairness of the information or opinions contained in this presentation. None of AAPICO nor any of its shareholders, directors, officers or employees accepts any liability (in negligence or otherwise) whatsoever for any loss howsoever arising from any use of this presentation or its contents or otherwise arising in connection therewith. Individual situations and local practices and standards may vary, so viewers and others utilizing information contained within a presentation are free to adopt differing standards and approaches as they see fit. Products and names mentioned in materials or presentations are the property of their respective owners and the mention of them does not constitute an endorsement by AAPICO. The information contained in this presentation is only current as of the date its date. In giving this presentation, neither AAPICO nor its respective advisers and/or agents undertake any obligation to provide the recipient with access to any additional information or to update this presentation or any additional information or to correct any inaccuracies in any such information which may become apparent. You must make your own assessment of the relevance, accuracy, and adequacy of the information contained in this presentation and must make such independent investigation as you may consider necessary or appropriate for such purpose. The presentation should not be construed as legal, tax, investment or other advise. ir@aapico.com | +66-(0)-2613-1504 2

Agenda 1. Company Information 2. Automotive Industry Updates 3. Financial Performance 4. Strategy & Direction 3

AAPICO Hitech PLC

AAPICO HITECH PLC [AH] AAPICO HITECH PUBLIC COMPANY LIMITED A leading OEM automotive parts manufacturer in • Thailand with global operations through strategic partnerships in India, Portugal, USA, and China. Core businesses : OEM Auto Parts, Jigs and Dies, • Car Dealerships and IoT Connectivity & Mobility. Index : SET / THSI Industry/Sector : Auto Main locations : Thailand, Malaysia and China. • Current price : Baht 19.10* Market Cap : Baht 6,161 million* P/E (YTD) : 4.65* Registered and paid-up capital of Baht 322.58 • P/BV : 0.79* million, comprising of 322,583,844 ordinary shares Dividend yield** : 6.81%* at par value of Baht 1 each. TRIS / CG Rating : BBB+ / Major shareholders are Yeap Swee Chuan and • Family holding 39.32% of total capital. * Data as of May 14, 2019 ** Dividend yield is calculated based on current share price 5

AAPICO’s Vision Where do we want to go? How do we want people to remember us? TO BECOME A MANUFACTURING LEAN , GREEN, HAPPY , DIGITAL RESEARCH & DEVELOPMENT WORLD-CLASS CORPORATION CAR RETAILING AAPICO Key Fundamental Values Happy Shareholders Happy Customers Happy Employees Happy Public • S : Safety • Teamwork • Profitability • Corporate Social • Q : Quality • Look at problems as • Reasonable Dividend Responsibility • C : Cost opportunities • D : Delivery • Love Family, Company • E : Engineering and Country • M : Management • Loyalty and Honesty • Mutual Respect (Focus Digital) 6

Core Pillars of AAPICO Business Auto Part Car IoT Manufacture Dealerships Connectivity & Mobility 7

Business Segments Car Dealerships Manufacture of Auto Parts IoT Connectivity (Thailand & Malaysia) (Thailand) (Thailand & China) Stamping & Thailand Assemblies Forging & Machining Malaysia Plastic Jigs and Dies <1% of total ~64% of total revenue ~36% of total revenue revenue 8

Countries of Operations THAILAND Sales by Country Ayutthaya, Chonburi, Rayong, Samutprakarn Amata City Industrial Estate CHINA Chonburi Kunshan Hitech Industrial Estate Production: Stamping & Chassis Frames Production: Stamping parts Production: Connecting rods and Forging & Machining Parts and Stamping Dies & Jigs and Copper Forging China 4% Malaysia Bangpli Industrial Estate 23% Production: Plastic Parts 2018 Amata City Industrial Estate Rayong Thailand Production: Stamping Parts 73% Plastic Washers & Fuel Tanks Mitsubishi Dealers Navanakorn & Ramindra MALAYSIA Ford Dealers Kajang & Petaling Jaya Samutprakarn & Ladprao Car dealers: Honda car 9

Major OEM Customers 10

Our Partners Joint Venture Strategic Partner Technical Partner 11

Awards and Achievements AAPICO Group has been widely recognized for its excellence in product quality, efficiency in its production processes, and continuous improvements over the years. The Company has repeatedly received awards from its customers and partners in recognition for excellent quality and delivery and contribution to growth. 12

Automotive Industry Updates

Thailand Car Production Volume Total Car Production by Quarter Jan-Mar Car Production Pick-Up/PPV Passenger Others Domestic Sales Export Sales +4.0% ‘ 000 Units yoy 700 564 561 548 540 540 600 527 517 511 486 465 500 221 223 224 220 220 214 400 212 213 200 192 300 200 332 328 310 313 310 302 295 288 276 264 100 - 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 Q1 2018 Q1 2019 Source: The Federation of Thai Industry (Automotive Industry) 14

Thailand Domestic Car Sales Volume Domestic Car Sales by Quarter Jan-Mar Domestic Sales 1-Ton Pick-Up/PPV Passenger cars Other vehicles +11.2% ‘ 000 Units yoy 400 295 264 300 257 252 251 237 237 35 210 211 28 199 34 28 33 29 29 109 200 23 25 24 103 101 102 100 90 90 80 83 81 100 151 133 121 123 118 119 118 107 102 94 - 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 Q1 2018 Q1 2019 Source: The Federation of Thai Industry (Automotive Industry) 15

Thailand Export Volume Export Volume by Quarter Jan-Mar Export Volume Export Volume +1.6% ‘ 000 Units yoy 400 314 300 295 297 295 290 284 282 300 267 252 200 100 - 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 Q1 2018 Q1 2019 Source: The Federation of Thai Industry (Automotive Industry) 16

Thailand Total Industry Volume January – March # Maker 2018 2019 % 1 Toyota 64,094 86,131 +34.4% 2 Isuzu 44,316 44,922 +1.4% 3 Honda 28,435 30,004 +5.5% 4 Mitsubishi 20,696 23,991 +15.9% 5 Nissan 16,965 18,958 +11.7% 6 Mazda 16,586 16,579 0.0% 7 Ford 17,235 14,330 -16.9% 14 Hyundai 1,245 1,409 +13.2% Others 27,521 27,225 -1.1% Total 237,093 263,549 +11.2% Source: Toyota 17

Malaysia Total Industry Volume January – March # Maker 2018 2019 % 1 Perodua 55,568 60,659 +9.2% Honda 2 24,182 22,190 -8.2% 3 Proton 12,843 18,281 +42.3% 4 Toyota 12,683 13,722 +8.2% 5 Nissan 5,310 5,166 -2.7% 6 Mazda 3,439 3,311 -3.7% 7 Mercedes 3,395 3,018 -11.1% 14 BMW 2,520 2,565 +1.8% Others 15,200 14,152 -6.9% Total 135,140 143,064 +5.9% Source: MAA 18

Financial Performance Q1 2019