annual results 2010 - todayir · 2011-03-17 · annual results 2010. stock code: 569.hk 1 market...
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March 2011March 2011Annual Results 2010Annual Results 2010
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Stock Code: 569Stock Code: 569..HKHK
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Market Leading Position
Pls. make it polished.One of the largest solution providers of railway signaling systems in China
The largest integrated solutions provider of safety and critical control systems in the petrochemical industry in China
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Stock Code: 569Stock Code: 569..HKHK
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Agenda
Key Achievements in 2010
Business Review
Financial Highlights
Market Opportunities
Future Strategy
Open Forum
Appendix
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Stock Code: 569Stock Code: 569..HKHK
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Key Achievements in 2010
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Stock Code: 569Stock Code: 569..HKHK
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Key achievements in 2010
Results continued to be escalated; Profitability on the riseTurnover increased 41.7% to RMB1,595 million (2009: RMB1,125 million)
Overall gross profit increased 36.6% to RMB668 million (2009: RMB489 million)
Profit for the year increased by 31.4% to RMB320 million (2009: RMB244 million)
Profit attributable to equity holders rose 34.7% to RMB286 million (2009: RMB212 million)
Basic earnings per share increased 28.3% to RMB28.11 cents (2009: RMB21.91 cents)
Outstanding results
Strong organic growth
Turnover of railway business increased 45.8% year on year to RMB801 million (2009: RMB550 million)
Turnover of petrochemical business rose by 37.8% year on year toRMB794 million (2009: RMB576 million)
Stellar performance in capital market
In August 2010, selected as a constituent of the Hang Seng Composite Index and its sub-divided indexes, namely the Hang Seng Composite Industry Indexes –Information Technology and the Hang Seng Composite Small Cap Index. Effective on 6 September 2010
In November 2010, awarded again the “200 Best Under A Billion” by Forbes Magazine
In December 2010, granted a USD50 million equivalent Multi-Currency Transferable Term Loan lead-arranged by Hang Seng Bank, including the first-ever renminbi syndicated loan facility in Hong Kong
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Stock Code: 569Stock Code: 569..HKHK
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Business Review
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Stock Code: 569Stock Code: 569..HKHK
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Strong organic growth
Railway BusinessFurther consolidated its market leading position The proportion of railway business to the Group’s revenue rose to 50.2% (2009: 48.8%) Turnover of railway business grew 45.8% year on year to RMB801 million (2009: RMB550 million) Proactively participated in the bidding of railway signaling projects and won a number of new contracts during the year:
Phase II of Chongqing Monorail Line Number 3 project Jingshiwu Passenger Dedicated Rail line signaling system project Ningqi Railway control center system project Tonghuo Railway signaling system project Taiyuan Railway Junction Terminal Project Shenyang North station signaling system project
Consistent increase in product coverage Completed the installation of 251 sets of signaling system in 2010(Cumulative installation of 1,251 sets of signaling systems as at 31 Dec 2010) Completed projects in the year included:
Strengthened R&D in new products Newly developed system including Automatic Train Supervision (ATS) and Train Control Center (TCC) were well-received
by the market with revenue contribution Accelerated the R&D of on-board signaling systems including Automatic Train Protection (ATP), Automatic Train
Operation (ATO) and Communication Based Train Control (CBTC) to complete the signaling product lineEnlarged the Group’s scale to meet market demands Recruited more than 130 engineering and technical employees, while enhancing the recruitment and training of talent Improved team involved in urban rail transit business
Completed projects in the year
First section of Phase I of Beijing Subway Line No.15
Phase I of Chongqing Monorail Line No. 3 project (A part of it)
Taiyuan Railway Bureau Revamping project
Fu-Xia Line project
Jing-Guang Line (Zheng Zhou) project
Jing’Ha Line project (Qinhuangdao to Shenyang section)
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Stock Code: 569Stock Code: 569..HKHK
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Strong organic growth
Petrochemical Business
Maintained leading position in the petrochemical industry as the largest safety and critical control system solution provider
Turnover grew 37.8% year on year to RMB794 million (2009: RMB576 million) Completed the installation of 258 sets of systems in 2010 (Cumulative installation of 1,858
sets of systems as at 31 December 2010) Completed projects in 2010 included:
Strengthened market expansion Enhanced the leading position in the industry and
became one of the major players for setting industry benchmark Awarded as the top ten China Automation Enterprise Became a qualified supplier for 12 international major compressor manufacturers Participated in international petrochemical equipment expo
R&D and technology innovation Successful development of iMEC (Intelligent Machinery Expert Control), iSOM (Intelligent
Safety Operation Management), and ITCC-OTS (Operator Training System), exploring new markets through new technologies and starting to generate revenue in the year
Number of Group’s nationwide software copyrights increased to 24 as at the end of 2010
Completed projects in the year
Tianjin Oil-refining ethylene project
Guangxi Oil-refining projectQingyang Oil-refining project
Zhenhai Ethylene projectPanjin Oil-refining ethylene
project
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Stock Code: 569Stock Code: 569..HKHK
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M&A: a prudent approach
M&AWuzhong Instrument
Completed the formation of a JV with Wuzhong Instrument and commenced operations independently in August 2010
Expanded the Group’s business from safety and critical control system to industrial automation control valve
Effective equity interest in Wuzhong Instrument increased to 50% in January 2011 Possible acquisition of further stake of 30% equity interest in 2011
Zhongjing Corporation Limited Acquired 70% of the equity interest of Zhongjing Corporation Limited Extended the business reach from petrochemical safety and critical control systems to the whole
package of petrochemical automation systems as well as the petrochemical engineering design, in order to expand the product and service types and diversify profit streams
ABB Microunion Established a JV with ABB (China) Limited, a global leader in power and automation technologies,
namely ABB Microunion, which commenced operations in the first half of 2010 Dedicated to providing advanced metro and light rail traction equipment solution for China market,
as well as all-round professional support covering R&D, manufacture and engineering service Successfully delivered the first set of systems to Shenzhen Metro Line No. 4 project
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Stock Code: 569Stock Code: 569..HKHK
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Financial Highlights
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Stock Code: 569Stock Code: 569..HKHK
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Strong Business Growth
* Profit Attributable to Equity Holders deducting non-cash expenses of:(i) Share–based payment of RMB4 million (2009: RMB10 million)(ii) Amortization of intangible assets of RMB4 million (2009: RMB5.2 million)(iii) Net exchange loss of RMB8.2 million (2009: RMB0.42 million) was not related to operation but mainly resulted from the fact that the
functional currency of the Group is in RMB
2010 2009 Change
RMB million For the year ended Dec 31
Turnover 1,594.8 1,125.4 +41.7%
Gross profit 667.9 488.9 +36.6%
EBITDA 410.7 303.6 +35.3%
Net profit after tax but before minority interests
320.1 243.8 +31.3%
Profit attributable to equity holders*
285.6 212.1 +34.7%
Basic earnings per share(RMB cents)
28.11 21.91 +28.3%
Final dividend per share(RMB cents)
6.0 4.4 +36.4%
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Stock Code: 569Stock Code: 569..HKHK
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Strong Business Growth
Segment Revenue GP Margin2010 2009 Change 2010 2009
RMB Million For the year ended 31 December For the year ended 31 December
RMB million
% (To revenue)
RMB million
% (To revenue)
System SalesPetrochemicalRailway Signaling
587.8588.9
36.936.7
452.6424.6
40.237.7
+29.9%+38.7%
45.5%43.5%
43.6%45.9%
Sub-total 1,176.7 73.8 877.2 77.9 +34.1% 44.5% 44.7%
Provision of engineering & maintenance services
145.7 9.1 97.9 8.7 +48.8% 68.0% 72.3%
Distribution of equipment 272.4 17.1 150.3 13.7 +81.2% 17.0% 17.2%
Total 1,594.8 100.0 1,125.4 100.0 +42.7% 41.9% 43.4%
Railway business contributed 50.2% to the Group’s revenue (2009:48.8%)* Overall turnover of petrochemical business increased by 38.5%;whereas railway business increased by 45.8%
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Stock Code: 569Stock Code: 569..HKHK
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Overall Margin Analysis
(RMB million)
Gross Profit & Gross Profit MarginGP Margin (RMB million)
Net Profit & Net Profit MarginNP Margin
Overall gross profit surged 36.6% to RMB667.9 millionThe drop in gross profit margin was mainly due to the increase in proportion of revenue generated from distribution of equipment , which had a lower marginNet profit increased by 31.3% to RMB320.1 million, whereas net profit margin decreased slightly by 1.6% points to 20.1%
36.6%31.3%
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Stock Code: 569Stock Code: 569..HKHK
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Turnover and GP margin analysis
(RMB million)
Petrochemical System SalesGP Margin (RMB million)
Provision of engineering & maintenance servicesGP Margin
Turnover of petrochemical system increased by 29.9% to RMB587.8 millionThe GP margin rose by 1.9%, mainly because
Change in product mix with increase in proportion of higher margin ITCC product Revenue contribution by higher-margin new systems including iMEC, iSOM, ITCC-OTS which involve a higher level of software works
Turnover of provision of engineering & maintenance services surged by 48.8% to RMB145.7 millionThe drop of GP margin by 4.3% was mainly due to the increase in the revenue of the proportion of hardware renewal and spare parts replacement businesses which have lower GP marginLarge and expanding installation client base, expected to become a significant and stable source of recurring revenue.
29.9%48.8%
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Stock Code: 569Stock Code: 569..HKHK
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Turnover and GP Margin Analysis (Cont’d)
(RMB million)
Railway Signaling System SalesGP Margin (RMB million)
Distribution of EquipmentGP Margin
Turnover of railway system increased by 38.7% to RMB588.9 millionNewly developed systems such as ATS and TCC started generating revenueSlight drop of GP margin to 43.5% was mainly due to the lower-margin revenue generated from railway signaling products in local railway industries, notably metallurgy and iron & steel as well as the appreciation of the Japanese Yen
Turnover of distribution of equipment increased significantly by 81.2% to RMB272.4 millionGP margin dropped slightly by 0.2% to 17.0%
38.7%81.2%
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Stock Code: 569Stock Code: 569..HKHK
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Solid Balance Sheet
Net Cash Position
2010 2009 Change
RMB million As at 31 December
Non-current Assets* 666.6 490.3 +36.0%
Current AssetsInventoriesTrade & Bills ReceivablesBank Balances & Cash(including bank deposits under conditions)**
2,064.9403.6842.9695.9
1,588.6318.6590.5623.1
+30.0%+26.7%+42.7%+11.7%
Current LiabilitiesTrade PayablesBorrowingsLong Term Debenture***
692.8255.3439.249.3
538.3204.7233.9
--
+28.7%+24.7%+87.8%
--
Net Assets 1704.1 1402.2 +21.5%* Non-current assets include primarily the intangible assets (license, brand and goodwill) from Beijing Jiaoda Microunion Tech. Co. Ltd** Bank deposits under conditions amounted to RMB96.3 million as at 31 December 2010(RMB86.5 million, as at 31 Dec 2009)*** Issued by BJM which is unsecured and repayable within six years
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Stock Code: 569Stock Code: 569..HKHK
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Key Financial Indicators
Return on owner’s equity upliftedInventory turnover days significantly improved
2010 2009 Change
As at 31 December
Return on equity (ROE)* 18.3% 16.5% +1.8%
Gearing ratio (RMB million)** 207.4 (Net Cash) 389.2 (Net Cash) -
Trade receivables turnover (days) 193 days 195 days -2 days
Inventory turnover (days) 159 days 186 days -27 days
Trade & bills payables turnover (days) 101 days 120 days -19 days
Net cash from operating activities (RMB million) 90.2 103.5 -13.3
*Profit attributable to owners of the Company/ Equity attributable to owners of the Company**(Total bank borrowing – bank balances & cash – bank deposits under conditions)/ Equity
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Stock Code: 569Stock Code: 569..HKHK
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Market Opportunities
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Stock Code: 569Stock Code: 569..HKHK
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Market Opportunities –Railway Industry
National Railway Investment On the Rise
The development of railway will continue to be propelled according to the “Medium to Long Term Railway Network Plan” and “12th Five-Year Plan”The investment in railway infrastructure amounted to RMB700 billion in 2011According to the Medium to Long Term Plan, the operating length of railway will exceed 120,000km in 2015 (2010: 91,000km)During the “12th Five-Year Plan” period, the focus will be to construct high standard conventional railway in the regional arterial line with average speed below 200km/hr, covering both freight and passenger railway, also to moderately develop high-speed railway in densely populated and economic-developed areaThe network of Express Rail will reach 45,000km, while railway with speed over 200km/hr will reach 13,000km (2010: 8,358km)During the “12th Five-Year Plan” period, investment in railway construction will remains steady at RMB700 billion each year, totaling to RMB3.5 trillion
Operating length of railway 2010-2015
Railway fixed asset investment 2008-2015
(Unit: ‘000 km)
(RMB billion)
*Express Rail refers to high-speed rail with average speed above 200km/hr and regional arterial line with average speed below 200km/hr
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Stock Code: 569Stock Code: 569..HKHK
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Market Opportunities –Railway Industry (Cont’d)
Urban rail transit investment will continue to increase
During the “12th Five-Year Plan” period, the urbanization rate will increase from 47.5% to 51.5%As at the end of 2010, a total of 29 cities across the country have been approved to develop urban rail transit lines (50 cities in China fulfilled the State Council’s requirements to develop urban rail transit)Pursuant to the “12th Five-Year Plan” , 93 urban rail transit lines will be newly built as at the end of the plan with total construction length reaching 2,700km and investment scale amounting to RMB1.07 trillionIn 2020, the cumulative operating length of urban rail transit lines will be over 6,000km (Operating length in 12 cities in the PRC in 2010: 1,300km)In the next ten years, Yangtze River Delta, Pan-Bohai Rim, and Pearl River Delta will account for over 60% of the newly added operating length of the urban rail transit lines; The remaining includes Changsha-Zhuzhou-Xiangtan, Chengdu-Chongqing town group, Central Plain town group, Wuhan town group, Central Shaanxi town group and West Coast of the Taiwan Strait town group
No. of urban rail transit lines 2009-2050
Operating length of urban rail transit
(Unit: line)
(Unit: km)
*Source:China Civil Engineering Society
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Stock Code: 569Stock Code: 569..HKHK
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Market Opportunities –Petrochemical Industry
Macro-economic recovery & domestic demand growth
In 2011, the petrochemical industry will maintain a stable yet rapid growth momentum“Petrochemical Industry Modification and Revitalization Plan” is beneficial to the growth of the industry“National Petroleum and Chemical Industry - 12th Five-Year Plan” will propel the growth of the industryThe growth of investment in the industry will be around 13% with investment amounting to RMB1.3 trillion in 2011In the next five years, three to four large-scale refinery production bases with capacity of 20 million tons of oil refinery yearly and 2 million tons of ethylene yearly will be constructed in the area of Yangtze River Delta, Pan-Bohai Rim, and Pearl River Delta, to further boost refinery industryCapacity of oil refinery will reach 720million tons yearly in 2015
Petrochemical Industry in China
USD10 billion
CAGR: 15.5%
*
* Frost & Sullivan
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Stock Code: 569Stock Code: 569..HKHK
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Market Opportunities –Petrochemical Industry (Cont’d)
Transformation of coal chemical industry
Oil and gas pipelineCNPC will construct oil and gas pipelines with a total length of 54,000km during the “12th Five-Year Plan” period (Double that in the “11th Five-Year Plan” period)Length of oil and gas pipeline will grow annually by 13.9% on average in the next five yearsTotal length of long-transmission oil and gas pipeline will exceed 100,000km
Coal chemical International oil prices remain high while the PRC is short of crude oil resources and relatively rich in coal resourcesUrbanization boosted the need of coal chemical productsDiversification of energy and chemical raw materials“Development Strategy for Coal Chemical Industry” and “Medium to Long Term Development Plan for Coal Chemical Industry” guided the orderly development of the industryCoal Chemical industry is fundamental to the extension of industry chain and economic transformation in provinces which are rich in resources including Shanxi, Inner Mongolia, Xinjiang and Ningxia
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Stock Code: 569Stock Code: 569..HKHK
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Future Strategy
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Stock Code: 569Stock Code: 569..HKHK
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Overall Future Development Strategy
Pls. make it polished.
CAG will strive to maintain its strong growth and consolidate its market leading position by:
Focusing on the Group’s core business in railway and petrochemical industriesCommitting to strong organic growth together with prudent M&ADedicating itself to developing into an advanced solution provider with full range of signaling products for urban rail transit as a general contractor and national railway as a equipment supplier Leveraging on the Group’s newly acquired engineering design company and its EPC certificates to develop into a whole package provider of automation system for petrochemical industry with integrated business of safety and critical controlsystems for downstream refinery and upstream oil & gas, as well as control valves
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Stock Code: 569Stock Code: 569..HKHK
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Development Strategy –Railway Business
Strive to acquire more national railway of conventional and high-speed projects , as well as urban rail transit projectsContinue to develop and expand the Group’s market share of existing railway signaling products with the emphases on CTC and TCCAccelerate on-board signaling product development, such as ATP, ATO, and CBTC, to capture key growth opportunities of urban rail transit and high-speed railCooperate with overseas partners to enhance the Group’s competences for urban rail transit project
Railway business
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Stock Code: 569Stock Code: 569..HKHK
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Development Strategy -Petrochemical Business
Pursue large-scale petrochemical engineering design projects with the objective of being a whole package provider of automation systemExtend business scope of safety and critical control systems from downstream refinery to upstream oil & gas, and expand product range from controllers to control valvesLeverage on its expertise in automation control in petrochemical industry to expand its addressable market into other industriesContinue to deploy resources in R&D to enhance the development of the hardware and software of productsExpand revenue contribution from recurring after-sales engineering and maintenance services through ongoing enlarged coverage of installed baseExpand overseas sales and marketing operations in order to capture opportunities outside of China
Petrochemical business
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Investment and M&A
Seek M&A targets in a prudent manner in order to generate synergies with the Group’s core businesses in railway and petrochemical industriesSeek cooperation partners with competitive edge in terms of self-developed intellectual property right, core technology, marketing, sales and engineering resourcesDevelop urban rail transit and high-speed railway related products through JV, investment and M&A
Investment and M&A
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Stock Code: 569Stock Code: 569..HKHK
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Open Forum
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Disclaimer
This document does not constitute, or form part of any offer for subscription or sale of, or solicitation of any offer to subscribe for or buy of any securities of China Automation Group Limited ("the Company“, together with its subsidiaries, the “Group”), nor shall it be construed as calculated to invite any such offer, nor shall this document or any part of it form the basis of, nor can it be relied upon in connection with, or act as an inducement to enter into any contract or commitment whatsoever. Accordingly, any decision in connection with the subscription or acquisition of securities of the Company pursuant to or in connection with any offering must be made solely on the basis of the information to be contained in the prospectus or other offering circular that may be issued by the Company in connection with such offering. The information of this document should not be relied upon as representation of the Company.
FORWARD-LOOKING STATEMENTSThis presentation contains certain forward-looking statements with respect to the financial condition, results of operations and business of the Group and certain of the plans and objectives of the management of the Company. Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results or performance of the Company to be materially different from any future results or performance expressed or implied by such forward-looking statements. Such forward-looking statements were based on assumptions regarding the Company's present and future business strategies and the political and economic environment in which the Group and its subsidiaries will operate in the future. Reliance should not be placed on these forward-looking statements, which reflect the view of the Company's management as of the date of this presentation only. There can be no assurance that future results or events will be consistent with any such forward-looking statements.
CONFIDENTIALITYThis document is given to you on a confidential basis and must not be passed, distributed or transmitted to, or their contents be disclosed to, any other person and no copy shall be taken hereof.
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Stock Code: 569Stock Code: 569..HKHK
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Appendix
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Stock Code: 569Stock Code: 569..HKHK
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Investment Highlights– Strong Company Fundamentals
Established in 1999Listed on the main board of the Stock Exchange of Hong Kong on 12 July 2007Business sectors with high entry barrier Petrochemical industry: Segmented market Railway industry: Recognized by authorized railway authorities
Market leading position Market share of safety and critical control systems in the petrochemical industry:
72%* Market share of interlocking systems in the railway industry: >30%
Business Model: integrated solution provider Software and hardware of high quality Strong and customized technology and engineering service Comprehensive after-sale service
Sizeable and reputable clientele: PetroChina, Sinopec Corp., MOR, China Railway, China Railway Construction, Sinopec Engineering Inc., Shenhua Group, China Datang Corp., Yanzhou Coal Mining Co. Ltd., Ma Anshan Iron and Steel Co. & MTR etc.
*Source: Market research by Frost & Sullivan 2007
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Stock Code: 569Stock Code: 569..HKHK
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Investment Highlights– Steady & Rapid Development
Exponential growth in market capitalization Market Cap was HK$1.2 billion when listed in 2007, historical high
was HK$7.1 billion*
Turnover grew by 5 times in past 4 years From RMB289 million in 2006 to RMB1.6 billion in 2010
Gross profit increased five-fold in past 4 years From RMB124 million in 2006 to RMB668 million in 2010
Net profit increased 4 times in past 4 years From RMB68.5 million in 2006 to RMB320 million in 2010
Expansion in company scale Number of staff increased to 1,236 in 2010 from 249 in 2006
Continuous business extension & development Railway business: from signaling system to traction converter Petrochemical business:
Capitalizing on its core technology, the Group will extend its value chain from the downstream business to the upstream business of oil & gas transmission pipelines
From control system to actuation system of the automation process
Gradually expanded from China to overseas markets *As at 9 March 2011
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Stock Code: 569Stock Code: 569..HKHK
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Turnover(RMB million)
Gross profit(RMB million)
Profit attributable to equity holders(RMB million)
Basic earnings per share(RMB cents)
Exponential Growth from 2006 to 2010
Issued share capital increased from 800 million on 12 July 2007 to 1,019 million in June 2010
CAGR: 43%CAGR: 43%
CAGR: 52%
CAGR: 52%
CAGR: 23%CAGR: 23%
CAGR: 53%
CAGR: 53%
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Visionary Management Team
Mr. Xuan Rui Guo宣 瑞 國
ChairmanResponsible for the Group’soverall strategic and financialplanning, and its long termdevelopment
Mr. Huang Zhi Yong黃 志 勇
Executive Director & PresidentResponsible for overseeingthe Group’s internal operations including R&D, engineering and customerservices
Responsible for the Group’sinvestment, mergers and acquisitions strategy; and daily operation of the Group
Responsible for overseeingthe Group’s financial planning, accounting andfinancial affairs
Mr. Cui Da Chao崔 大 潮
CFO
Mr. Kuang Jian Ping匡 建 平
Executive Director & CEO
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Stock Code: 569Stock Code: 569..HKHK
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Business Structure
China Automation Group (Hong KongChina Automation Group (Hong Kong--Listed)Listed)(Cayman Islands)(Cayman Islands)
Petrochemical Business Railway Business
Safety & Critical Control
InternationalBusiness
Oil & Gas PipelineAutomationControl Valve Local
RailwayUrban Rail
TransitState-owned
Railway
Shareholding structure as at 9 March 2011
AutomationInstrument
44.8% 47.1%
PublicConsen Group(BVI) FMR LLC
8.1%
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Company Milestones
Jan 2011 Effective equity interest in Wuzhong Instrument increased to 50% in January 2011
August 2010 Selected as a constituent of the Hang Seng Composite Index and its sub-divided indexes, namely the Hang Seng Composite Industry Indexes – Information Technology and the Hang Seng Composite Small Cap Index. Effective on 6 September 2010
July 2010 Signed agreement to acquire 70% equity interests of Zhongjing Corporation LimitedJan 2010 Formed a joint venture with NingXia YinXing Energy Co., Ltd (“YinXing Energy”), holding 25% equityDec 2009 BJM formed a joint venture with ABB (China) Company Limited, holding 50% equityNov 2009 Set up a wholly-subsidiary, Innovex Japan Corporation in Japan
Oct 2009 Mr. Richard Xuan, Chairman and Executive Director of the Group, was awarded the Ernst & Young Entrepreneur of The Year 2009 China in Technology Sector
May 2009 Added to the MSCI China Index (MSCI Global Small Cap Index)
2008 Acquired approximately 46.97%, 11.04% and 18.69% of equity interests of Beijing Jiaoda Microunion in March, June and August respectively, totaling 76.7%
Dec 2007 Set up Innovex Corporation and Trisen Systems Corporation in Houston, USJuly 12 2007 Listed on the main board of the Stock Exchange of Hong Kong
July 2006 Won the ESD, FGS, ITCC project of the whole factory of Fujian Petrochemical Company Limited, amounting to US20million, the largest joint-ventured petrochemical project in PRC
Jan 2006 Completed an ESD, FGS software development project for the oil refinery and the ethylene factory of Qataran QGAS and YANBU, both are subcontracted from Invensys Singapore
2004 Established business relationships with Mitsubishi Corporation of Japan and MAN-TURBO Corporation of Germany and won a contract in respect of the first stage of a major liquefied coal project for Shenhua Group
Sept 2003 Set up Beijing Transportation, started entering into the field of railway system RIS
Jun 2003 Participated in a petrochemical engineering project for a sino-foreign joint venture of Shell Nanhai B.V. and CNOOC Petrochemicals Investment Company Limited in South China Sea
2002 Started partnership with Invensys Singapore, an automation system provider
2000 Started cooperation with China Academy of Railway Sciences and finished the Wuguang rail line (from Wuhan to Guangzhou) project, the first RIS system project of the Group
Jun 1999 Started cooperation with Shenyang Blower Works Automation Control System Engineering Company and completed an ITCC system development project
Apr 1999 Started providing safety and critical control systems in China
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Major Railway Signaling Products
Railway Interlocking System(“RIS”)
Used in railroad switch in railway stations to direct trains along the right tracks and prevent collision, so as to protect life and property safety
Centralized Traffic Control System(“CTC”)
Long-distance integrated monitoring towards signaling systems and train operation and carry out centralized controls over train traffic in all stations
Train Control Centre System(“TCC”)
An integrated control panel mainly used in high-speed railway and utilized with operation monitoring, data sharing and emergency control function. Capable of the real-time monitoring and management of data like railway network video, train operation, daily traffic as well as disaster information
Automated Train Supervision (ATS”)
Compulsory automated traffic control system of the Metro business. Through the automatic management of facilities and traffic data, monitor and control traffic and assist traffic control technician to manage operation of the train
Traction Converter Assembled in a power car and used to convert power between direct current and alternating current. To control and adjust different traction motors and control the train traffic
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Major Railway Signaling Products (Cont’d)
Automatic Train Protection(“ATP”)
ATP system is a compulsory signaling device in urban rail transit. As the time interval between trains of urban rail transit is short, ground signal is no longer guarantee for train safety given its short time interval and the train must be equipped with automation system which provides train speed monitor and speeding protection and that equals ATP system. The ATP system transmits signals affecting the safety operation of the train from the ground onto the train and hence allowing the train to be aware of it safety speed and attains the speed supervision and management of the train
Automatic Train Operation System(“ATO”)
The ATO system allows an unattended train to navigate, stop, open and close train door automatically. When a driver is available, he can press the operation button and allows the train to navigate itself according to instruction in the signaling system and stops automatically when it arrives at destination, while the driver only takes care of door opening and closing. ATO system can work on instructions from signaling systems like ATP and accelerates or decelerates accordingly. The use of ATO system can reduce the time required for acceleration and deceleration and shorten s train interval, thus increasing the train schedule. ATO can also improve the travel experience and good for energy saving
Communication Based Train Control(“CBTC”)
As the time interval between trains have been shortened in urban rail transit, the information that affects the safe operation of the train has to be transmitted to the ATP system on train more swiftly and more informatively. CBTC is a wireless two-way communication between the train and ground so as to increase the train density, minimize time interval and largely improves the ability for circuit transmission. The upside of CBTC is that it provides train-ground two way communication with massive information transmission at high speed, it also reduces the use of electric cable, one-off investment and maintenance. Not only can CBTC control the operation of train, it can also integrate the management of train operation and provide more services during the journey.
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Integrated Turbine & Compressor Control System (“ITCC”)
Used in compressor machinery, flow, anti-surge control etc. Other functions include logic control, turbine speed regulation and emergency shutdown
Integrated Turbine & Compressor Controls – Operation Training System] (“ITCC-OTS”)
OTS is an ITCC-based simulation system for operation training that we have developed on the basis of our summary of over a decade of successful experiences in applying ITCC. OTS may enhance the safety and reliability of equipment operation to a maximum extent through the improvement of operators' skill and contingency ability.
Emergency Shutdown Devices (“ESD”)
A control system which will override and interfere the petrochemical production systems when it is at risk, assuring the safety during the production as well as preventing it from significant harm
Fire and Gas Systems (“FGS”)
A significant component of petrochemical system which ensures safety production. It covers gas (flammable gas and toxic gas) detection and fire alarm systems
Major Petrochemical Products
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Intelligent Machinery Expert Control Systems (“iMEC”)
With mature ITCC technology, iMEC system is able to continuously collect, monitor and manage various forms of compressor data, lower the rate of faults and reduce equipment maintenance quantity and operation cost.
Intelligent Safety Operation Management(“iSOM”)
ISOM system is aimed at completely resolving such problems as generator set alarm and shutdown messages for our clients, sharing our experiences in generator set control parameter, parameter adjustment, generator set operation parameter monitoring, etc so as for our clients to better understand the generator set, find out faults and clear them in the set.
Control Valves Based on control signal of automation system, the control valves will adjust the flow, pressure, temperature and pressure relief etc. during the automation control process
Major Petrochemical Products (Cont’d)
HMI
TS3000
i SOMSOE
服务器数据库
HMIHMI
TS3000TS3000
i SOMSOE
i SOMSOE
服务器数据库
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Extensive Sales & Service Network
Houston
ShanghaiHuizhou
Chengdu
Guangzhou
Xi’an
Shenyang
Wuhan
Urumqi
Nanjing
Singapore
Enable the Group to cover a wide range of customers and Enable the Group to cover a wide range of customers and maintain a good relationship with customersmaintain a good relationship with customers
Beijing(Headquarter)
9 sales offices and 13 servicesupport offices in China
National
Operating in Southeast Asia, North America and Europe
International
United States
Japan
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Introduction – part of subsidiaries
Beijing Consen
Founded in 1999, the Group’s wholly-owned subsidiaryMainly engaged in the provision of safety and critical control system and related maintenance and engineering services for petrochemical industry
Beijing Jiaoda Microunion
A subsidiary of which the Group owns 76.70% equity interests through acquisitionOne of the four licensees granted license by the Ministry of Railways to provide RIS, system integration service and related services in China with a market share of over 30%
Founded in 2003, a wholly-owned subsidiary of the GroupMainly engaged in the provision of railway signaling system and related maintenance and engineering services for local railway industry
Beijing Transportation
Founded in 2010, a joint subsidiary of the GroupMainly engaged in the provision of instrument products like control valves and other related engineering and after-sales service in the field of industrial automation
Wuzhong Instrument
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Investor RelationsBenson Chow
Financial Controller & Company [email protected]
Tel: +852 2598 0088
Annabel WanInvestor Relations Manager
[email protected]: +86 10 5825 7778