Op Oppo portuni tunity ty Da Day 25 March 2019 FY FY20 2018 - - PowerPoint PPT Presentation

Op Oppo portuni tunity ty Da Day

25 March 2019 Construction A to Z

1

FY FY20 2018 18

Introduction

About

Construction A to Z Financial Performance Scope of Services CAZ Strategy

2

Outlook

Introduction

About

Construction A to Z Financial Performance Scope of Services CAZ Strategy

3

Outlook

Structure & Management

CAZ (Thail ailand) nd) PLC

EPC service for customer in energy business

JKEC C Co., Ltd. .

Civil Construction service

Taku kuni ni (Thailand) and) Co., Ltd.

LPG system construction

36.6% 27.3% 38.1%

73.2%

4

St Strategi gic c Sharehold eholders s (Manageme nagement) nt)

Company Structure

Mino nor r Shareho ehold lders (CAZ staffs s 8%)

Introduction

Background and Vision

Vision

A most competitive construction contractor who creates sustainable prosperity in Thailand.

Mission

• Excellent construction capability, competitive

fabricator.

• Set engineering capability, entered into oversea

market.

• Strong EPC player in Asia Pacific Region.

Proje

• jects

cts

As of February 2014, CAZ has established from executives and managerial staffs who has extensive experiences and has completed numerous project as a well recognized EPC contractor in Oil & Gas, Petrochemical, Chemical, Energy, Power plants segments. CAZ‘s major business range is Construction Total Service & Management System (Procurement, Construction, and Shop Fabrication) to provide clients with the best possible service in all phases of project from A to Z including Civil & Architectural, Structural, Tank & Vessel, and Heaters Fabrication work, Piping & Mechanical erection, Electrical, Instrument work regardless of project amount.

15 40

5

2,516

As of 28 February 2019

Finished On-going Backlog

Introduction

Milestone

2014

Es Establi blish shed d in Febru ebruar ary

• Paid up capital 23 MB
• Integrated Production

Control System program to improve project cost management

2015

Stron

• ng

g Par Partne nersh ship

• Partnering with TAKUNI,

listed company in MAI stock market

• Paid up capital 54.5 MB
• Our first EPC project, PTT

ASAHI SAR

• Integrated Welding Control

System & Spool Tracking Management System to improve our quality

2016

New w office ice and d Worksh kshop

• p
• Paid up capital 58.5

MB

• Acquired 51% of JKEC

Co., Ltd as subsidiary

• Purchase 108 Rai of

Land and Factory

• Thailand’s biggest

Spherical Tank project, PTT Tank’s Propylene tank, 332 MB as EPC

2018

Solid id Growth wth

• Paid up capital 100 MB
• PTT LNG Cold Water

Project, 643 MB as EPC project

• Certified ASME Stamp

for Pressure Vessel, Tank Fabrication

2017

Sus ustai ainabi nability lity

• Additionally acquired

JKEC to be 73% of total shares

• Highest Backlog of 2,472

MB

• Awarded Bangchak

Enclosure Ground Flare Project, 272 MB as EPC project

• Awarded PTT GC ORP

SMP Project 1,570 MB and PTT GC PO Civil Project 451 MB

6

2019

IPO O & & First st Trading ding

• Offered 80 million
• rdinary shares to

the public for the first time at a price

• f Bath 3.90 per
• Share. Trading in

mai on Jan 22nd , 19

Quality Standards and Certificates

7

Safe Man Hours on PTTGC Aromatics Debottlenecking Project Safe Man Hours on TOP SPP Project

ASME Certificate of Authorization

ISO 9001:2015 Certificate

Introduction

Introduction

About

Construction A to Z Financial Performance Scope of Services CAZ Strategy

8

Outlook

Scope of Services

Business Unit

• 9-

EP EPC

Engineer neering ing Pro rocureme rement nt Cons nstruc truction tion

SMP P & E& & E&I Civ ivil il Other ers

St Steel Str Structu ture re Mechanical nical Piping ing Electrical rical & & Instru rument ment

Cylindrical Tank (CRT, DRT, FRT) Spherical Tank

Civil vil and nd Bu Building ding Sho hop Fabri rication ation Tank nk Fabri rication ation Pressur ssure e Vessel sel Fabricat atio ion

E P C

• P&ID
• 3D Modeling
• Detail DWG
• Buying
• Expediting & Inspection
• Logistics

En Enginee ineeri ring ng Pro rocure curemen ent

Exec ecuti ution

• Civil & Arch
• STR Fab. / Equip. Erection / Piping
• Electrical & Instrument
• Scaffolding / Painting
• Pre-commissioning / Commissioning

Const stru ruct ction ion

Scope of Services

EPC Work

PTT Tank Terminal

4,000 Tons Spherical Tank, Transfer Pump, Ground Flare & Etc.

Contract Amount : 345 MB December 2016 – October 2018

BCP EGF

Enclosed Ground Flare

Contract Amount : 272 MB April 2018 – June 2019

• 10-

EPC Eng ngin inee eerin ing Procureme rocurement nt Cons nstruction truction

40.7%

PTT LNG Cold Water

NG Vaporizer, NG Heater, Tanks, Pumps & etc.

Contract Amount : 733 MB July 2017– July 2018

Scope of Services

SMP / E&I

PTT Midline Compressor Station

800 tons for Equip, Compressor 4 sets

Contract Amount : 508 MB April 2016 – April 2017

PTT LPG Terminal Khao Bo Ya PJT E&I Work

E&I : 310,000 M

Contract Amount : 200 MB September 2014 – January 2016

PTT LNG Receiving Terminal Expansion

Process Structure. Equip. Foundation, Pipe Rack Pre-casting

Contract Amount : 382 MB November 2014 – March 2016

• 11-

St Stee eel l St Structure ructure Mechanica ical Piping ping Elect ectrical ical & Ins nstrum ument nt

• Cable

e Tray & C Condui uit, t, Cabling, ng, Electr tric Equipm pment nt Instal

• all. SWGR/M

/MCC CC

• Platf

tform m & La Ladde der

• Shelter

er

• Equipment

pment Erection n fo for C Compr press essor, , Pump mp, Column mn, Vessel, sel, et etc.

• Shop Fabricat

rication n & F Field d Erecti tion

• n fo

for Gener eral al, , Dissimilar milar, special al

Exec ecuti ution

• Equipment

pment St Structur cture

24.8%

• Instr

trum ument nt Calibr brat ation

• n, Loop Test and Function

ction Test

SMP P / E&I

Scope of Services

Civil & Arch. Work

IRPC PPE

Civil and Electric Work

Contract Amount : 83 MB February 2016 – December 2016

Samsung TSE ATV

Civil and Structure Work

Contract Amount : 113 MB February 2016 – April 2016

PTT PO Civil

Civil Work & quip. Foundation

Contract Amount : 452 MB January 2018 – January 2020

• 12-

Civil vil & & Build ilding ing. Civil vil

iling ng (Bored d / Drive iven n / N Non-Pollution tion Pil ile)

nk Foundat dation

• n (Conc

ncrete Type)

asting ng Concrete Pip ipe Rack

al Control Buil ilding

ssor Buil ilding ng

Build ilding ing Exec ecuti ution

pment nt Foundat dation

• n

nk Foundat dation

• n (Ear

Earth h Type)

ire Proofin ing

lletizi zing ng Buil ilding ng

ation

• n Buil

ilding

24.7%

Scope of Services

Shop Fabrication Capability

Vessel/Heat Exchanger/SKID Tank Stack/Fired Heater

• 13-

Shop p Fabricat rication ion

Structure Fabrication Production Capability : 1,500 Tons / Month Pipe rack, Equipment & Shelter Structure Work Furnace & Heater Fabrication Work Platform & Ladder Fabrication Work Flare Stack Fabrication Work

Tank nk Fabrica icati tion

Tank Fabrication FRT Tank DRT / CRT Tank Spherical Tank Vessel Fabrication Thickness : Max. 75 m/m Handling Weight : Max. 120 Ton/unit Handling Length : Max. 50 m Max Capability : 200 Tons / Month (Pressure Vessel)

Pressu ssure re Vessel sel Fabri ricatio ation

9.9%

Office and Fabrication shops

Scope of Services

14

CAZ

Maptaphud U-Tapao Laem m Chabang ng 10 KM

Introduction

About

Construction A to Z Financial Performance Scope of Services CAZ Strategy

15

Outlook

Cost t Control

• l

CAZ Strategy

Operation Strategy

• 16-

 Quality of service – No subcontract  Tight control of budget by Risk Management Gate and set procurement policy  Develop IT System and maximize automation for shop fabrication to increase productivities  Participate the bidding with partner and/or Main Contractor  Award project as Main Contractor  Expand new client and projects

Main Contractor

40.2

59.8 Subcontractor

Customer

• mer

Rel elat ation ionship ship

CAZ Strategy

Risk Management Gate

Bidding ing Price Decis ision ion Altern ernati ative Propos

• sal

al Cost Estimati tion

• n

Risk Analy alysis is

• 6. Proje

ject Close

• se-out
• 5. Proje

ject Exec ecution tion

• 4. Proje

ject Prepar aratio ation

• 3. Contr

tract Negotia iatio ion

Final al Decision ision for Bidding ing Eva valuat luation ion for Bidding ing or not

• t

Projec ect Inform

• rmati

ation

• n
• 1. Proje

ject Biddin dding Decisio ision

Site Survey

• 2. Proposal

sal Developm lopment

Review of Contrac ract t Doc. Result t of Negoti tiati ation

• n

Preparat aration ion of Negoti tiati ation

• n

Analy alysis is For Bidding ding Result Early ly Start Projec ect ITC Projec ect Executio ution n Plan Internal rnal Kick-of

• ff

Meeti ting ng Projec ect t Launch nch Meeti ting ng ITC of Changed ged Plan Early ly Construct ruction ion Exclus lusiv ive Contrac ract Reque uest Urgen gent Money Ove verr rrun un Report Monthly hly Pe Perfor

• rmanc

ance e Review Report t of Projec ect t Comple letion ion Review Contrac ract t Condit ition ion Internal rnal Kick-of

• ff

Meeti ting ng 17

6 Steps

IT Man anag agem emen ent System em

System is based on Bar-Code & GPS System

St Structure ucture Producti

• duction
• n Cont

Control

• l Sy

Syst stem em (SPCM (SPCM) and nd Spoo Spool Tracki acking ng Man anageme agement nt Sy Syst stem(S em(STM TMS) S)

STMS 3D Map STMS Google Map Tracking by PDA with GPS PDA 18

Log-In Screen Daily Welding Inspection Report Shop & Field Welding Progress Report Spool Fabrication Status Report List

• Progress Report : 5
• Inspection Report : 3
• Spool Report : 3
• NDE Report : 9
• Welder Report : 5

Welding ing Contr trol

• l System

em (CWCS) - System is based on Web Version

IT Manage gemen ent System em

Test Package Report Status for Welder Efficiency NDE Request Report RT Shooting Status Report

19

Tools, s, Asset & Consu nsuma mable Management agement System em (TCM CMS) S)

Base on Bar-Code System

IT Management System m

20

Introduction

About

Construction A to Z Financial Performance Scope of Services CAZ Strategy

21

Outlook

Financial Performance

Overall Highlight

22

272 742 651 1,019

2017 2016 2015 2014 2018

1,387

Revenue enue

(Million Baht)

2015 2016 2017

Pro rofit fitabilit bility

(Percentage)

2018 11.1 8.3 53.0 22.9 2015 2016 2017 2018 10.11 11.55 9.98 10.52 1.12 1.69 2.24 3.81

Gross Profit Net Profit Net et Pro rofit fit

(Million Baht)

Financial Performance

Revenue Breakdown

23

53.0% 61.4% 35.3% 24.8% 37.1% 25.4% 8.5% 24.6% 54.0% 40.7% 9.9% 13.1% 2.2% 9.9%

200 400 600 800 1,000 1,200 1,400 1,600 2015 2016 2017 2018

SMP and E&I Service Civil & Building Service EPC Service Fabrication and Other Service

1,019 MB 651 MB 742 MB 1,387 MB

Assets ts

Financial Position

19.41% 1% Cash 13% Account Receivable 23% Unbilled Income PPE 43% 9% 9% 12% 12% Account Receivable 18% Unbilled Income 24%

PPE 32%

Inventory 12% Other assets 14%

729.1 1 MB (Dec’17) 1, 1,149 49.8 .8 MB (Dec’18)

• Increased in Unbilled income
• Increased in equipment purchase during the

period.

• Increased in inventories for new projects
• Decreased in cash as dividend payment 34.87 Mil.

Baht

• Increased in Account Payable and Unearned Income
• Decreased in Loan from bank as repayment during the

period.

• Dividend payment in May’18

Liab abili ilities ties and d Equity ity

729.1 1 MB (Dec’17)

Account Payable 24% Unearned Income 23% Bank Loan 30% Equity 19%

1, 1,149 49.8 .8 MB (Dec’18)

Account Payable 25% Unearned Income 37%

Bank Loan 21%

Equity 14% 24

Financial Performance

Leverage erage Ratio io

2.59 4.73 4.15 6.11 0.64 3.48 1.58 1.52

• 2.00

4.00 6.00 8.00 FY2 FY2015 FY2 FY2016 FY2 FY2017 FY2 FY2018

Debt to Equity Interest Bearing Debt

Efficiency iciency Ratio tio

14.6 .63 12.9 .94 19.7 .78 35.8 .88 7.38 6.94 7.11 8.80

• 5.00

10.00 15.00 20.00 25.00 30.00 35.00 40.00 FY2 FY2015 FY2 FY2016 FY2 FY2017 FY2 FY2018

Return on Equity Return on Asset

Financial Performance

Financial Ratio

25 * After IPO, Interest bearing debt to equity will reduce to be 0.60

Introduction

About

Construction A to Z Financial Performance Scope of Services CAZ Strategy

26

Outlook

Business Outlook

Eastern Economic Corridor Development

27

Source: Ministry of Industry’s presentation of “Eastern Economic Corridor Development Project” Driving Forward, 15 February 2017

Combined Public and Private Investments at least

1.5 Trillion baht ($43Billion USD) in the first 5 years

U-Tapao international airport New Cities / Hospitals

200,000 mil baht ($5.7 Bill USD) 400,000 mil baht ($11.5 Bill USD)

Tourism

200,000 mil baht ($5.7 Bill USD)

Industry

500,000 mil baht ($14 Bill USD)

Motorway

350,300 mil baht ($1 Bill USD)

Dual-track railway

640,300 mil baht ($1.8 Bill USD)

High-speed train

158,000 mil baht ($4.5 Bill USD)

Laem Chabang port

88,000 mil baht ($2.5 Bill USD)

Map Ta Phut port

10,150 mil baht ($0.3 Bill USD)

Target

Note : Estimated investment amount shown

* As PTT Group

up (PTT LNG, Thai Oil, , PTT GC, IRPC) invest ested ed for MEGA Project, ct, Down Stre ream m project ct also shall ll be c conti tinuous nuously ly invest sted d (HM HMC PP, B BST, Dow Chemica cal & et etc)

PTT TTGC C – Awar

ward d 2,021 1 M. Baht t fro rom 53,600 00 M. Baht t (3.8%)

2018 Propylene Oxide Project (11,200 M.Baht) 2018 Polyols Project (20,000 M.Baht) 2018 Olefins Reconfiguration Project (22,400 M.Baht)

IRPC

2019 Paraxylene Plant Project (30,000 M.Baht) 2019 Olefins Expansion Project (20,000 M.Baht)

Business Outlook

Customer Investment

28

2018 Terminal 27.5 MTPA (30,000 M.Baht) 2020 EGAT 5 MTPA 2026 Terminal 35 MTPA 2031 Terminal 45 MTPA

Term rminal inal

LNG Inf nfrast rastru ructure cture Thai ai Oi Oil

2019 Clean Fuel Project (140,000 M.Baht) 2019 Improvement (4,000 M.Baht) *Annual Maintenance (1,320 M.Baht)

BCP – Awa

ward rd 314 14 M. Baht ht fro rom 8,400 0 M. Baht t (3.7%) %)

2018 Continuous Catalyst Regeneration Unit (8,400 M.Baht)

Key Success Factor

• 29-

CAZ Highlight

1 2 5 4 3

Solid backlog secured Cost management Experienced management team Good relationship with renowned owners and main contractors Strong financial status

Q & A

30