CEC — Interim / Quarterly Report 2014

Sep 15, 2014

CHINA ECOTEK CORPORATION

The Overview for CEC

Speaker：Ho, Tsan Ying

2014/9/17

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Table of Content

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1.Company Overviews 2.Finanical Overviews 3.Outlook 4.Summary

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1.The introduction to CEC

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Company Overview

Chairman Lin, Horng Nan President Ho, Tsan Ying Startup 1993/3 Capital 1.23 Billion Address 8F No.8 MingChuan 2[nd] Rd, Kaohsiung, ROC

1. Environmental Engineering 2. Mechanical＆Electrical Engineering Business 3. Incineration Plant O＆M and Mechanical＆ Electrical Maintenance Employee 1,172 (2014/3/31)

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Performance Outline

Class： Project forwarders Ranking No 9

Taiwan Top 500 Services Company 《CommonWealth Investigation 》in May, 2014 Ranked No.138， Industry Ranking：Project forwarders No.9

Class： Engineering and Technical Services Ranking No 3

Large-scale enterprises in Taiwan ranked TOP5000《China Credit Information Service 2013》Randed No.448， 「Mixing business performance」Ranked No.303， 「Engineering services」Ranked No.3

High Quality Drinking Water Top experts in Industrial Recycle Water environmental engineering Post-industrial and livelihood sewage purification emissions Water.

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新台幣：億元

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120.0
102.6
98.9
100.0
84.9
74.9
80.0
58.7
60.0 51.0
40.0
20.0
0.0
2009 2010 2011 2012 2013 Jun-14
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Stable growth in last 5 years

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Unit：TWD

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6.00
5.06
4.90 4.84
5.00
4.44
3.71
4.00
3.00
2.17
2.00
1.00
-
2009 2010 2011 2012 2013 Jun-14
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Stable growth in last 5 years

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Return on Equity

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25.00% 24.23%
23.60%
24.00%
23.00%
21.64%
21.52%
22.00%
20.58%
21.00%
20.00%
19.00%
18.00%
98 99 100 101 102
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Last 5 years ROE>20%

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2.Financial Overviews

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Consoliated：Balance sheet

Unit：TWD’000

Items	2014Q2	2013Q2	Items	2014Q2	2013Q2
Current Assets	6,479,806	6,033,959	Current Liabilities	4,387,320	4,061,374
Cash & Cash Equivent	3,289,726	2,827,676	Construction Contracts Payable	3,214,698	2,732,501
Account Recieveable	755,475	1,079,865	Other current Liabilities	1,172,622	1,328,873
Construction Contracts Receivable	225,058	865,949	Non-current Liabilities	341,799	416,465
Other Current Assets	2,209,547	1,260,469	Total Liabilities	4,729,119	4,477,839
Noncurrent Assets	1,370,928	1,307,635	Total Equity	3,121,615	2,863,755
Total Assets	7,850,734	7,341,594	Total Liability & Equity	7,850,734	7,341,594

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Consoliated：Income Statement

Unit：TWD’000	Unit：TWD’000	Unit：TWD’000	Unit：TWD’000	Unit：TWD’000	Unit：TWD’000
Items	2014Q2	%	2014Q2	%	Change
Turnover	5,101,570	100.00%	5,134,884	100.00%	-0.65%
Gross Margin	427,513	8.38%	519,911	10.13%	-17.77%
Expenses	215,233	4.22%	225,341	4.39%	-4.49%
Operating Income	212,280	4.16%	294,570	5.74%	-27.94%
Financial Income	130,996	2.57%	98,039	1.91%	33.62%
Income before Tax	343,276	6.73%	392,609	7.65%	-12.57%
Tax	74,806	1.47%	71,762	1.40%	4.24%
Income After Tax	268,470	5.26%	320,847	6.25%	-16.32%
EPS	2.17	-	2.72	-	-20.22%

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Component of Sales(2014Q2)
Items
TWD’000
3%
15%
21% 157,081
774,025
1,943,622 Environmental
Engineering
Mechanical＆Electrical
Engineering
Incineration Plant O＆M
6,164,497 and Mechanical＆
Electrical Maintenance
61% Others
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Component of Sales(2014Q2)：
Location
8%
1%
18%
Taiwan
VN
India
74%
Others
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Contract to be accomplished in future

Unit：TWD ’00,000,000

0.0 20.0 40.0 60.0 80.0 100.0 120.0 140.0 160.0
	142.7 141.3 137.4
	1151
	.
	2011 2012 2013 Jun-14 Source：Annual Financial Report

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3.Outlooks

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Strategic Target
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Main Stategy

• Development of six core engineering fields, towards the trend of internationalization

• EPC projects to enhance the competitive ability and create sustainable business happiness enterprise

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Market Outlook

Domestic Fields

• Biotech Plant Facilities Engineering

• Mechanical＆Electrical Engineering,

• Sales of Water Treatment Chemicals

• Foreign Fields

• Vietnam, the Philippines, Indonesia, Myanmar, Mainland China

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Foreign Market(1)

To Implement “Going global" development strategy, combined with the experience and resources of the

company,

To develop and expand business in Southeast Asia project;

Actions are as follows:

• To establish the relationship between Taiwan and Overseas Chinese Chamber of Commerce

• To collect and share information to grasp the Group

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Foreign Market(2)

• With the international division of labor between the

relevant specialist

• Established in the third and supplier teams to strengthen

the competitiveness

• Training in the business and engineering talents, laying

the foundation of sustainable development

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3.Summary

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Summary

• CEC is an Environmentally friendly, Customers

reliable engineering company

• Last 5 years ROE>20%

• EPS(2014Q2)=TWD2.17

• Contract to be accomplished is13.7billion

• With the support of shareholders, we expected a breakthrough record

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Thank you!

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