GPPC — Interim / Quarterly Report 2019

Nov 25, 2019

	established 1973 capital NT 9.27 billion revenue NT 15.6 billion (2019Q1-Q3) employee 380 (2019Q3)

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Disclaimer

The forward-looking statements contained in this presentation are subject to risks and uncertainties and actual results may differ materially from those expressed or implied in these forward-looking statements.

Grand Pacific Petrochemical Corporation makes no representation or warranty as to the accuracy or completeness of these forward-looking statements and nor does Grand Pacific Petrochemical Corporation undertake any obligation to update any forwardlooking statements, whether as a result of new information or future events.

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Outline

 Upstream and downstream products

 Market review and prospect

 Financial results

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Upstream and downstream products

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Sales volume(MT)

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Cogen products and hydrogen excluded

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Asian price trend - styrene

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Asian price trend - ABS

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Asian price trend – PA66

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Imp/Exp Change after China’s ADD on styrene

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Asian styrene: capacity addition

Company	Location	Capacity kTA	Timing	Timing	Timing
			A	B	C
CSPC	惠州	640	2020	2H2020
恆力	大連	720	'21-22	'19-20
浙江石化	舟山	1,200	2021	'19-20
中信國安瑞華	荷澤	200		1H2020	2019
萬華	煙台	650	2020	2020	2022
中化	泉州	450	2021	'20-21
古雷	古雷	600	2022	'20-21
浙江石化	舟山	600	2023	'22~
渤化	天津	450	2020	2020
阿貝爾II	泰興	500		'22~
山東利華益	利津	720			2021
山東齊旺達	淄博	500			2020
山東榮華	濱州	200			2020
寶萊	盤錦	360			2020
華泰盛富	寧波	300	2021
……	……	……			……
Ineos Styrolution	US Gulf	850-900?		'22~

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Styrene balance in China

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Financial results

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Consolidated Statements of Income

(NT$ BN)

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Period
FY16 FY17 FY18 9M18 9M19
Item
Net Revenue 19,918 23,351 24,741 19,019 15,575
Cost of Rvenue 16,494 19,557 20,686 15,571 13,337
Gross Profit 3,424 3,794 4,055 3,448 2,238
gross profit ratio 17% 16% 16% 18% 14%
Operating Expenses 1,257 1,310 1,316 1,018 954
Income from Operations 2,167 2,484 2,739 2,430 1,284
operating income ratio 11% 11% 11% 13% 8%
Non-operating Income and Expenses 917 1,699 1,318 1,286 1,080
Income Before Income Tax 3,084 4,183 4,057 3,716 2,364
Income Tax Expenses 505 735 906 843 518
Net Income 2,579 3,448 3,151 2,873 1,846
net income ratio 13% 15% 13% 15% 12%
Net Income Attributable to :
-Shareholders of the Parent 2,400 3,289 2,960 2,726 1,775
-Noncontrolling Interests 179 159 191 147 71
Earnings per Share (NT$) 2.65 3.64 3.26 3.00 1.95
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Revenue structure

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9M19

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Financial Analysis

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Period
2016 2017 2018 9M19
Item
Debt ratio (%) 16.63 16.13 14.20 13.52
Current ratio (%) 269.18 302.59 377.19 456.86
Quick ratio (%) 210.47 236.61 306.21 384.96
A/R turnover (times) 7.68 7.39 7.87 7.41
A R turnover da s 47 49 46 49
/ ( y )
Inventor turnover times 9.98 10.65 10.33 9.68
y ( )
Da s sales outstandin 36 34 35 38
y g
Return on e uit % 12.97 15.55 12.83 9.37
q y ( )
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