TBSP Opportunity Day Public Company Limited 6 September 2019 The - - PowerPoint PPT Presentation

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TBSP Opportunity Day Public Company Limited 6 September 2019 The - - PowerPoint PPT Presentation

Oct 13, 2022 328 likes •645 views

2Q19 Results TBSP Opportunity Day Public Company Limited 6 September 2019 The Stock Exchange of Thailand AGENDA AGENDA 01 Corporate Overview 02 Business Update 03 2Q19 Financial Performance 04 Forward Looking 2 www.tbsp.co.th

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TBSP

Public Company Limited

2Q19 Results

Opportunity Day

6 September 2019 The Stock Exchange of Thailand

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AGENDA AGENDA Corporate Overview

2Q19 Financial Performance Forward Looking

01 03 04

www.tbsp.co.th

Moving towards Technology-based Company

Business Update

02

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www.tbsp.co.th

Corporate Overview

TBSP is the well-known leading manufacturer in security printing business. With more than 40

years expertise in security techniques, we have a keen focus to develop a variety of innovative solutions to bring the greatest total security solutions into your security environment. We have been recognized and trusted by both domestic and international standard.

First Security Printing Company More than 40 years experience Trusted in International Standard

With 40th years experience in security printing industry, TBSP has been developed into highly professional company,

  • perating on the basis of

quality, accuracy, sincerity and professional service, with attention to human resources and technical development. TBSP was established in 1978 as joint-venture between the British Printing and Communication Corporation (BPCC) and four Thai Banks, aim to prevent losses causes by document fraud and counterfeit as effective as possible. TBSP is leading in security printing,

  • ffering customized services to meet

all customers’ requirement, Quality and Production technique together with services are widely accepted in the world market.

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www.tbsp.co.th

More than 40 years in security printing

1978 First Security Printing

Establish by JV of four Thai banks and BPCC of British

1989 Enter to Thai Passport

Started the production of Thai passport

1996 1995 Enter to Stamp& Postcard

Thailand’s first printer awarded to print Thai stamp locally

2002 2007 TBDP

JV with Data Post (Singapore) to establish Thai British Dpost Co., Ltd for data printing business

2013 Infozafe

Entered Infozafe business for document shredding and storage

2016 SCG Paper - Major Shareholders

Change of major shareholder to SCG Paper*

1992 Enter to Plastic Card

Started the production of plastic card; ATM, Credit, Smart card

2015 TBSP Overseas

Establish Thai British Security Printing Overseas for

  • verseas business

SCG Paper sold share to Ms. Sutida M.

Myanmar Operation

JV with Myanmar Partner to establish ‘Myanmar Deco- TBSP Special Products Co., Ltd. ‘ for security printing plant in Myanmar

2017 T.K.S – Major Shareholder 2018

changed from Suthida Mongkolsuthee to T.K.S. Technologies Public Company Limited

Listed

TBSP Start trading in the Stock Exchange of Thailand

  • Brand Protection

Label

  • Digital Solution

Develop New Business

BPCC : The British Printing and Communication Corporation SCG Paper : Currently changed the name to SCG Packaging Public Company Limited

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www.tbsp.co.th

Shareholding Structure

Mongkolsuthree Holding

35.68% 79.74% TBSP Public Company Limited Thai British Dpost Co., Ltd Thai British Security Printing Overseas Co., Ltd Myanmar Deco-TBSP Special Products Co., Ltd. (Myanmar) 100% 100% 40%

*January 2018 : TBSP increased its shareholding ratio in TBDP from the 51% to 100% from DataPost Pte. Ltd (Singapore)

Since 2017

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www.tbsp.co.th

Our Certification

ISO 27001:2013

The first printing company in Thailand certified total Organization for Information security management

Visa & Master Card JCB & China Union pay TIS 18001:2011 OHSAS 18001:2007 ISO 9001:2015

Quality Certification

ISO 14001:2015

The first printing company in Thailand certified environmental control

Card Quality Management (CQM)

Healthy & Safety standard

GMP Certification UN Global Compact

The first printing company to join Since 2002

Award and certificate recognized our company for the acceptance of international standard Trusted with International Standard

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www.tbsp.co.th

Locations Head Office

Poochao Samingprai Factory 41/1 Moo 10, Soi WatSuansom, Poochao Samingprai Road, Samrongtai, Phrapradaeng, Samutprakarn

1st Branch

Bangpoo Factory Thai British Dpost Co.,Ltd 837 Moo 4, Soi 12 Pattana1 Road, Praksa, Muang, Samutprakarn

2nd Branch

Sales Office 406/1 Moo 9 Thepharak, Muang, Samutprakarn

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AGENDA AGENDA Corporate Overview

2Q19 Financial Performance Forward Looking

01 03 04

www.tbsp.co.th

Moving towards Technology-based Company

Business Update

02

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www.tbsp.co.th

Thai British Security Printing Public Company Limited

TBSP

Public Company Limited

“To become a smart solution provider with technology integration”

VISION

Change company name

Rebranding  Change of company Name

Moving towards Transformation

Focus on authentication and traceability

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www.tbsp.co.th

Rebranding  Mission

Moving towards Transformation

MISSION

Develop HVA

To develop high value added products & services beyond customer’s expectation.

Overseas Market

To expand products to overseas market.

Expand New Business

To expand new business to meet future market trend.

People Development

To focus on people development to fit with TBSP’s strategy and direction

CSR and Green

To support social and enviormental responsibilities.

Strengthen SCM

To strenghthen

  • verall

supply chain management.

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Restructuring business  Sales of Assets Sales of assets of Document Storage and Information Shredding service (InfoZafe) which is a business that is not in line with the future growth of Company direction

www.tbsp.co.th

Moving towards Transformation

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www.tbsp.co.th

5 Business Units : 2 Current + 3 New business Smart Factory & IoT

  • Efficiency Improvement

Solution

  • Asset Tracking Solution
  • Engineer & Machinery

Security Printing

  • Cheque
  • Passbook
  • Stamp/Post Card
  • Business form
  • Gift Voucher
  • Examination Paper
  • Etc.

Label Solutions

  • CommercialLabel
  • Brand Protection Label/SecurityLabel
  • AuthenticationSolutions
  • Track & Trace Solutions

Plastic Card

  • Member card
  • EMV Card
  • Credit/Debit card
  • Transportation card
  • Smart card
  • ID card
  • Personalization Service

Digital Solution

  • Biometric Authentication System
  • iSii Bluetooth Smart Card Reader
  • Warehouse Management Service
  • System Integrated
  • Document Management Solution
  • Data & Information Management

Solution

Cost Efficiency Business Development & Expansion

Current Business New Business (Since 2017)

Moving towards Transformation

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www.tbsp.co.th

Business Update : Moving toward Transformation

Digital Solutions

E-Tax / E- Invoice Security Management Solutions Document Management Solution

Transform your document into the digital files

 Scanning service (Outsource, Insource)  Document Management System (DMS): Retrieve document via center network (share & integrate)

E-Registration Security Management Solution with Biometrics Authentication

 Data pooling and sharing – (Big data)  Real-time update  Activity log and report  Fully integrate electronic transactions  Increased confidence and safety in accordance with international standards  Reduce operation cost / save time

E-Tax/E-Invoice

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www.tbsp.co.th

Label Solutions

Track & Trace Authentication System Could Service Blockchain Augmented Reality (AR)

Key focus strategies Commercial Label Security Label with Our Solution

 Intelligent labelling techniques make your brand sparkle.  Commercial label printing for your product with high quality.  High techniques label printing with cost effective solutions.  Commercial Label is a popular type of product label.  Brand security, Innovation solution and consumer engagement. with smart Label.  Genuine Authentication system with our solution.  Deliver the greatest solutions to your business by using Track & Trace , Authentication, Augmented Reality (AR).

Cloud Mobile Blockchain RFID

Moving towards Transformation

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www.tbsp.co.th

Label Solutions TBSP partnership with Bitkub to develop & implement on… “Blockchain for Authentication and Traceability”

  • TBSP gave a speech on panel discussion

sharing on business solution for traceability in agricultural products, pharmaceutical & cosmetic and academic certification.

TBSP join “PROPAK ASIA 2019” presenting innovative products on Smart Label & Solutions

Moving towards Transformation

  • TBSP presented smart label solution using

advanced printing techniques combined with various anti-counterfeiting technologies such as track & trace solution, authentication solution, CRM solutions 12-15 June 2019 4 Sept 2019

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www.tbsp.co.th

Label Solutions

Moving towards Transformation

TBSP join China Henan International Investment & Trade Fair 2019

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www.tbsp.co.th

Moving towards Transformation

Smart Factory & IoT

 Increase output by predicting machine failure  Manage machine remotely  Production line status and able to re-engineer product for better performance  Identify the right resources Asset Tracking Project

Application

Partnership Expertise/R&D Official Dealer

Key Driven

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www.tbsp.co.th

Market Situation

115 116 123 121 119 120 119 114 111

2010 2011 2012 2013 2014 2015 2016 2017 2018

Cheque

271 313 364 400 433 463 518 599 695

2010 2011 2012 2013 2014 2015 2016 2017 2018

Card Payment

Source: https://www.khaosocial.net Source: BOT Source: BOT

  • Banks continue closing

branches; estimated at almost 200 more branch to be closed in 2019.

  • Demand for cheque drop at

average 2% consecutively

  • Card Payment still grow by

double digit, supported by both bank and government policy

  • Trend of migration to Dual

Interface cards boost up Card demand

Volume of Transaction (million)

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H1/19 Our Product Portfolio

www.tbsp.co.th

Printing business & Plastic card still a major business portion; however the new business expansion gradually growth in portion

42% 35% 8% 15%

54% 25% 9% 12%

H1 2019

H1 2018 Security Printing Plastic Card Digital Solution Label

  • Bank card
  • Transportation Card
  • Member Card
  • Other Card
  • Security document
  • Cheque
  • Business form
  • Commercial printing
  • Data printing& mailing
  • Label: security & commercial
  • Authentication solution
  • Track & trace solution
  • Digital Solutions
  • Smart Factory & IoT

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H1/19 Global Presence

North America Europe ASEAN 74% Asia 10% 9% 6%

Growth

+13% YOY

Export portion = 16% South Asia 1%

Overseas revenue mainly supported by new business expansion while current business faced with aggressive price competition

www.tbsp.co.th

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H1/19 Expansion in New Business

www.tbsp.co.th

Increase in new business proportion through aggressive continuous development and expansion; however some projects take longer time of development

Current Business

  • Increased revenue from postpone

projects from last year; plastic card

  • Awarded of special stamp projects
  • Challenged from intense

competition in overseas market New Business

  • Achieved in label business

expansion

  • Smart platform development and

implement take longer process than expected which cannot generate much revenue within this quarter

1H18 1H19

14% Quarterly review 18%

H1/19

Recognize increased of new business expansion from a continuous order with both current and new customers Half year review

17% 17% 15% 17%

18%

2Q18 3Q18 4Q18 1Q19 2Q19 Current Business New Business

New Business Portion

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AGENDA AGENDA Corporate Overview

2Q19 Financial Performance Forward Looking

01 03 04

www.tbsp.co.th

Moving towards Technology-based Company

Business Update

02

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www.tbsp.co.th

1H19 & 2Q19: Recognized revenue from the projects postponed from last year while increase of label business expansion

Revenue

Unit: Million Baht

530 1,023 1,026 1,106 1,242 1,333 1,052 560 278 267 254 284 276

Y2013 Y2014 Y2015 Y2016 Y2017 1H18 1H19 2Q18 3Q18 4Q18 1Q19 2Q19

  • 1% YOY
  • 3% QOQ
  • Achieved in projects postponed from last year especially on plastic card products in align with customers plan
  • Achieved in increase of label business expansion (new business) growth 27% YoY driven by strong continuous order

from existing customers and new approaching

  • Declined in special projects in security printing products from customers direction and policy; i.e. Football World cup

post card 2018

Remark 2017: KTB Welfare card project

+6% YOY

Moving towards Technology-based Company

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www.tbsp.co.th

Gross Profit

Unit: Million Baht, %

96 85 234 242 223 261 320 179 51 43 41 61 23

23% 24% 20% 21% 24% 17% 15% 18% 16% 16% 21% 8% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

50 100 150 200 250 300 350

Y2013 Y2014 Y2015 Y2016 Y2017 1H18 1H19 2Q18 3Q18 4Q18 1Q19 2Q19

%GP Margin

  • 55% YOY
  • 62% QOQ
  • Special expense affect margin; according to the new Labor Protection Act., increase of employee benefit obligation
  • Other expenses affect margin; R&D for new business development
  • However, in the part of operation, we are able to maintain the same level of gross profit despite the challenged of price

competition

1H19 & 2Q19: Gross profit declined affect from special expense of labor benefit provision

Moving towards Technology-based Company

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77 94 59 85 100 9 113 10

  • 5

14 99

8% 9% 5% 7% 8% 1% 20%

  • 20%

0% 20% 40% 60% 80% 100%

  • 30
  • 10

10 30 50 70 90 110 130 150

Y2013 Y2014 Y2015 Y2016 Y2017 1H18 1H19 2Q18 3Q18 4Q18 1Q19 2Q19

%NP Margin

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www.tbsp.co.th

Net Profit

Unit: Million Baht, %

+890% YOY +607% QOQ Remark:

1 Y2014: High profit from selling the CTI bldg. 2 1H19: High profit from sales of assets

1H19 & 2Q19: Net profit increased from the non-recurring sold fixed assets

Moving towards Technology-based Company

1 2

  • Recognize gains in non-recurring on the sales of assets of Document Storage and Information Shredding service

(InfoZafe) which is a business that is not in line with the future growth of Company direction

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www.tbsp.co.th

Moving towards Technology-based Company

Balance Sheet1

Unit: Million Baht

0.21 0.36 0.26 0.36 0.54 1.07 0.87

0% 0.2% 0.2% 0.2% 0.4% 1% 1%

0% 1% 2% 3% 4% 5% 0.00 0.20 0.40 0.60 0.80 1.00 1.20

Y2013 Y2014 Y2015 Y2016 Y2017 Y2018 1H19

%Financial cost Cash Equivalent

D/E Ratio & Financial cost

Unit: times, %

  • Decreased D/E ratio resulted from debt reduction from repayment

Assets , 1284

19

Total Equity , 696 Other Liabili ties, 468 Total Borrowing, 139

Total Assets Total Liabilities and Shareholder Equity

1H19 & 2Q19: D/E ratio and Financial cost

Remark:

1 Balance sheet: Information as of June 30, 2019 2 1H19 D/E ration & Financial cost: Information as of June 30, 2019 2

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AGENDA AGENDA Corporate Overview

2Q19 Financial Performance Forward Looking

01 03 04

www.tbsp.co.th

Moving towards Technology-based Company

Business Update

02

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www.tbsp.co.th

Moving towards Technology-based Company

Key takeaways for 1H19 & 2Q19

and Outlook 2019 Top line challenged Increasing of expenses items

  • Provisions for employee benefits - Non recurring item, affecting margin
  • Cont. of R&D expenses for supporting new business

Outlook 2019

  • Revenue increased by 6 % YOY driven by project postponement from 2018 and new

business expansion. However, some current products continue to drop.

  • New business development and implement take longer process than expected
  • Economic situation including trade war also affect our customer purchasing decision

Increasing of bottom line

  • Gain from non-recurring on the sales of assets which is not related to the Company

future direction for agility in management and expanding toward the new opportunity

  • Challenged affect margin from the overseas operation due to unrecovered performance

driven by the external constraints

  • Business restructuring with a keen focus on authentication and tracking platform
  • Expand of new business opportunity; label solution to become outstanding business
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www.tbsp.co.th

Moving Forward

Rebuilding Foundation

  • Restructuring business

model and organization

  • Rebranding company

position and brand towards solution-based with technology integration

  • Developing resources

readiness --> Reskill

  • Rebalancing portfolio

and customer segment

New Business Expansion Sustainable Business

  • Focus developing and

expanding new business according to 3 new business units

  • In-organic growth

strategy to foster development

Medium-term plan

Long-term plan

  • Regional trusted

company

  • Technology-driven

business

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Q&A

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www.tbsp.co.th

Moving towards Technology-based Company

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Thank you

For more information TBSP Public Company Limited 41/1 Moo 10, Soi Wat Suansom, Poochao Samingprai Road, Samrongtai, Phrapradaeng, Samutprakarn Tel : 02-754-2650 www.tbsp.co.th

www.tbsp.co.th

Moving towards Technology-based Company