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SYNCMOLD — Investor Presentation 2021
Apr 23, 2021
51868_rns_2021-04-23_75e23330-8917-42e9-80fd-a54ec77e0515.pdf
Investor Presentation
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International Professional Excellent
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Syncmold Enterprise Corp
2021/3
A Leading Monitor Stand Provider
-
❖20% market share in monitor stand -
❖Continue a stable operating performance over one decade Deliver average 22% Pre-Tax ROE and 13% Pre-Tax Income Margin -
❖Diversify manufacturing sites Deploy factories in Taiwan, China, Southern-Asia -
❖Drivers of Y2021 business growth (1) Worldwide gaming monitor stand uptrend (2) Consolidate Leohab (3) Revenue of Gatetech growth -
❖Clear cash dividend policy Cash dividend with annual growth rate 6% at least -
ESG: https://reurl.cc/3NmxYX
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- CSR: https://reurl.cc/5oa1OV
Manufacturing Sites
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Thailand:TPV Leohab-Thailand(70%):stamping
Suzhou: Qisda、Pegatron、Compal、Quanta Kunshan: self-made Gatetech-Suzhou(73%): die-casting Leohab-Suzhou(70%): stamping Chongqing: Foxconn、Quanta、Inventec
Fuzhou: TPV、L&T Fujian: TPV、L&T、self-made Fuqing: self-made DongGuang: self-made 、Funai Zhongshan: Wistron、SONY
Taoyuan: assembly、automation Gatetech-Taoyuan(73%): die-casting Leohab-Taichung(70%): stamping Highgrade(38%): TV wall bracket, medical cart Vietnam:Qisda、Wistron
Revenue Breakdown
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Y2019 Y2020
8%
8% 8% [8%]
11% 11%
49%
60%
8%
13%
17%
Computer Gaming AIO TV Gatetech Others
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Gatetech & Leohab Introduction
| Gatetech (Joined in Dec, 2019) | Leohab (Joined in Dec, 2020) | ||
|---|---|---|---|
| Capital | NT$575M | NT$237M | |
| Established year | 1988 | 1990 | |
| Factories | Taoyuan, Taiwan; Suzhou, China | Taichung, Taiwan; Suzhou, China; Thailand | |
| Shares and price | Acquired 72.8% shares with NT$550M, and recorded a negative goodwill of NT$64M |
Acquired 70% shares with NT$230M, and recorded a negative goodwill of NT$19M |
|
| Past Performance | Revenue:NT$600~700M, Net Profit Margin:3~5% | Revenue:NT$600~700M, Net Profit Margin:3~5% | |
| Products | Aluminum and Magnesium die-casting | Metal stamping | |
| Applications | SSD case rugged NB case automotive motor case bike fork steering wheel, column |
keyboard brackets power supply shell 3C、360° small hinge thermal products |
Vert ~~i~~ ca ~~l~~ & Hor ~~i~~ zonta ~~l i~~ on Bene ~~fi~~ ts Integrat for Syncmold+Gatetech+Leohab
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Gatetech Leohab
• •
SSD NB hinge
• •
Rugged NB thermal products
• •
Automotive keyboard brackets Foldable
parts
E-Car
Server Upstream:
NB Hinge
Die-Casting & Stamping
Vertical integration
Downstream: assembling
5G
Exercise
Household
Horizontal integration
5G
Syncmold
Extension Smart Device
•
Monitor Stand:
Computer, Gaming,
AIO, TV, Exercise
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Stable Revenue and EPS
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Revenue(NT$B)EPS(NT$)
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Revenue EPS
7.81
7.61
7.19
6.07
5.71
5.28 5.28 5.32
4.37
10.1
3.85 9.5 9.7
3.70 9.1 9.1
8.9 8.8
8.6
8.4 8.4
6.7
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
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Note: EPS is calculated by net income/year-end capital
Deliver Higher ROE
2010-2019 Avg. pre tax ROE( income before tax/equity)
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22.3 %
14.1%
12.3%
11.3%
Syncmold Hinge Electronics component TWSE
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Note: given only pre-tax profit data disclosed from TWSE, we use pre tax ROE to be benchmark
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Clear Cash Dividend Policy
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Dividend/NT$
Actual: NT$5.0
Promised: NT$4.8
NT$4.5
Y2020 Y2021 Y2025
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Competitive Advantage
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Business
Advantage
Strong
management ability
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One-stop solution Service Provide customers for a one-stop solution of a full range service of R&D, design, manufacturing and reliable supply Stable relationship with customers Long-term cooperation with clients, leading to a high Customer Switching Cost Strong management ability Deliver higher ROE than peers as well as sufficient and stable free cash flow
Strategy and Prospect
Focus on high-growth industry and extend product applications
- Through acquiring Gatetech & Leohab to drive revenue and profits growth
Maintain monitor leading position
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Maintain stable profit in a mature industry
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Instead of guaranteeing the cash dividend growth rate, the dividend payout is based on operating performance
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Integrate resources to expand product and customer portfolio
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Develop new end-applications
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Guarantee annual cash dividend growth rate of at least 6%
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Growing penertration rate
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Gaming stand growth
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Exercise equipment shipment growth
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Include NB hinge to group
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5G related application
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E-Car
Syncmold Enterprise Corp
Q & A
Thank You for Listening
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