Palram Industries Company Presentation

Transcription

1 Palram Industries Company Presentation 2018

2 Legal Disclaimer The following presentation was prepared by Palram Industries (1990) Ltd (the "Company") and does not constitute an offer to purchase or sell Company's securities, or an invitation to receive said offers, and does not constitute a basis for investment decisions, a recommendation or review and does not substitute a potential investor discretion. The sole intention of said presentation is for the expressed purpose of providing information within the framework of providing information re Company. This presentation was edited for the sole purpose of convenience and to provide a summary, based on the data and information which were provided in the Company's financial reports and/or in immediate reports publications, or which can be calculated or derived from the data included in the Company's reports, and does not include any new material information. The supporting facts and data which provided the basis for said information are the facts and data relating to the current state of the Company and its business, as well as facts, data and assessments relating to the Company's field of activity, as known to the Company at the time the preparation of this said presentation. Note that the presentation provides a different visual representation of the data and information, including the editing, processing and presentation, from the format the Company presented them within its publications & reports to the public, as such it is stated that this presentation cannot and should not substitute reviewing the Company's reports and publications to the ISA, including its annual, quarterly and immediate reports. In the unlikely case of contradiction or discrepancy between the condensed and summarized information contained in this presentation and the detailed information of the annual, quarterly or immediate reports the information presented in the latter shall prevail. A clarification is in order as this presentation might include some predictive information, as defined by the Israeli Securities Act, 1968; the term "information" aforementioned, may include, forecasts, targets, assessments and estimates and any form of information relating to events and/or future issues, where the level of realization, or not being realized, is uncertain and not within the control of the Company. By definition such information does not constitute or represent proven facts and is uncertain, information which cannot be accurately assessed in advance, while the realization or non-realization will be affected, among other factors, from the realization of risk factors attributed to the Company's activities as well as developments in the economic environment and other external factors which might affect the Company's activities. As such, said information which is included in this presentation is based solely on the subjective assessments of the Company, based on facts and data relating to the current status of its business activities and macro-economic facts and data as were known to the company at the time of preparation of this presentation. Additionally, the presentation might include data and statistical or public domain information published by third parties, of whom their content was not independently validated by the Company, therefore the Company is not responsible for their accuracy. 2

3 About Palram Palram is a leading multinational manufacturer of extruded thermoplastic sheets and panel systems from polycarbonate, PVC and other materials. The Company also manufactures self assembled finished products ("Do It Your Self"). The company was established in 1963 in Ramat Yohanan, Israel. Palram operates 9 production sites and dozens of sales offices and distribution warehouses worldwide

4 Core Values A leading player in its field Dynamic company Innovation PALRAM Stability for over 5 decades Creative solution provider 4

5 Continuous Growth for Over 55 Years The widest product range in the sector Technological leadership with tailor made products. Worldwide logistic deployment 5

6 Innovation & Development Palram invests heavily in development and improvement of production and material technologies. These efforts yield high flexibility in designating semi-finished products for unique applications and allowing quick response and custom made solutions to customers' specific and unique needs. 6

7 Global Operations & Regions Polycarbonate Sheets Plant PVC Sheets Plant Sales Office Representative Office Warehouse 7

8 Global Sales Activity Europe Rest of World North America CIS Far East IL, NE Asia Central America Africa SEA South America Oceania 8

9 Sales ($US M, K ton*) Over 4% growth per anum. 273$ 308$ 67K ton 307$ 71K ton 308$ 68K ton 319$ 71K ton 323$ 74K ton 331$ 77K ton 367$ 84K ton 258$ 66K ton 60K ton 235$ 60K ton * Including Palram's sheets sold integrated into Applications division products. 9

10 Human Resource - Updated Employees by Operational Region Israel Employees Palram Applications 208 Rest of the World 94 Employees by Department Americas 300 DIY 47 Europe 286 Production 58% Logistics & Sales 12% Technology and R&D 3% Administration 14% Marketing 13% 10

11 Business & Legal Structure as of July 31, 2017 Kibbutz Ramat Yohanan The Public (Israel) Strategic partnership ~72% ~28% Palram Industries (1990) Ltd. Covestro AG (Germany) 75% 25% Palram USA Inc. Palram South-Africa PTY Ltd. Palram Europe Ltd. Palram Israel Ltd. Palram PVC Ltd. Palram Applications (1995) Ltd. Paltough Industries (1998) Ltd. (Israel) 98% Palram Americas Inc. Palram Panels Inc. Palram France Ltd. Palram DPL Ltd. (UK) Palram Applications UK Palram Polycarb Ltd. (UK) Palram 2000 Inc. (USA) Palram Mexico Inc. Palram Australia PTY Ltd. Palram RUS LLC (Russia & CIS) Century Ltd. (UK) 51% Palram 4U Ltd. Palram Germany GmbH Legend Palram DIY Europe GmbH Shareholders Holding PVC Manufacturing Hobby Products Manufacturing Sales & Distribution SARL Palram DIY France 81% Palram Beijing Ltd. Palram India Ltd. D.R.E Ltd. (BVI) P.R.E USA Polycarbonate Manufacturing Real Estate 11

12 Management Structure Headquarters Management CEO CFO Americas President VP Marketing Europe VP Supply Israel & R.O.W Chief Legal P. Applications VP HR VP R&D VP IT MD Chain MD Counsel CEO Finance Department Americas Management Marketing Department HR Department Europe Management Supply Chain Department Israel & R.O.W Management R&D and Tech. Department Legal Department P. Applications Management IT Department VP Sales & Marketing Europe Sales Sales Sales & Biz. Dev. CFO UK Sales Israel & Middle East Mgr CFO Director of HR CFO CFO & Insurance Mgr HR Director of Manufacturing UK & Europe HR HR Development Director of Supply Chain Polycarb Plant Israel Area Operations Mgr US General Legend CEO / MD CFO R&D Sales / Marketing Supply Chain Other DPL Plant Polycarb Germany MD Purchasing Security & EHS Logistics Purchasing UK General Operations HR Manufacturing / Operations Logistics 12

13 Palram Milestones 2018 Acquisition of 51% of Linerolight Ltd., POS & POP solutions 2016 Expansion of PVC Production in USA. Polycarbonate production expansion in Israel 2015 "Palram DIY Europe" establishment and distribution to European DIY retailers 2013 Increase in PVC capacity in Israel 2013 Additional polycarbonate production site in Ramat Yohanan, Israel "Palram India" was establishment as a Palram marketing and distribution company 2010 "Palram Russia" establishment as a marketing and distribution company 2009 Establishment of PVC Deck board production line, substitute for wooden deck in the US in addition to "Trimboard" products 2008 "Palram South Africa" establishment as a marketing and distribution company 2008 Polycarbonate manufacturing plant establishment in Germany 2007 "Palram Panels Inc." establishment, for manufacturing PVC products in the US 2006 "Bayer AG" increases by 5% its holdings in Palram's polycarbonate manufacturing to a total of 25% 2005 "Palram Beijing" (JV) for marketing and distribution in China was established with Chinese partner 2004 "Palram Applications" establishment, manufacturing finished and DYI products 2004 Capital raising Second investment round for Institutional investors in Israel 2003 "Palram Australia" establishment as a marketing and distribution company 2000 "Palram 2000" First Palram polycarbonate USA plant founded 1998 "Bayer-AG" becomes a strategic partner, with 20% of Palram's polycarbonate production activities 1997 Exclusive supply contract with "Home Depot", US based and International DIY retail outlet chain 1996 Polycarbonate "Polycarb" plant founded in the UK 1994 Initial Public Offering (IPO) & transformation from private to public co "Palram Americas" founded (previously named "SUNTUF Inc" as the Americas marketing and distribution company 1992 First International PVC manufacturing plant "DPL" in the UK 1985 Polycarbonate production initiated at Palram's Ramat Yohanan plant 1963 PVC production initiated at Palram 13

14 Business Strategy A Multinational Company and a Leader in its Field The third largest polycarbonate sheet extruder in terms of production capacity Among the top 10 PVC sheet extruders A leading innovator in the field of home gardening and products for self assembly Business Model Expand marketing presence through the following: Establishment of subsidiaries and marketing offices in target markets Maintaining proximity to the marketplace and a high level of service Production Develop a wide variety of unique products and constantly strive for operational excellence Constantly expand production sites and develop new production technologies Research and Development High commitment to R&D through significant annual resource allocation for this field Develop new products and technologies in state-of-the-art facilities Develop environmentally aware products that promote sustainability 14

15 Product Divisions PVC Products Excellent chemical resistance Excellent fire resistance Inherently resistant to microbes Ideal for applications in harsh chemical environments Polycarbonate Products Extremely high impact resistance Complete UV blocking Withstands extreme weather High light transmission High optical quality Consumer Products for D.I.Y Synergetic products for self assembly that incorporate Palram sheets: Hobby greenhouses Residential canopies, carports and more Residential sheds 15

16 Market Segments AGRICULTURE CONSTRUCTION ARCHITECTURE DIY SIGN & DISPLAY FABRICATION 16

17 Product Applications: Architecture Aviva Stadium, Ireland - Corrugated Polycarbonate Sheet Eastlink Road System, Australia - Flat Acrylic Sheet FunCity Mall, India - Multiwall Polycarbonate Sheet Victoria Australia - Curtain Wall at Whitten Oval Stadium 17

18 Product Applications: Construction Warehouse Sidelights, USA - Corrugated Polycarbonate Coca Cola Warehouse, SA - Corrugated PVC & Polycarbonate Sheets Hinckley Sports Club, UK - PVC Wall Cladding Gaby Mine, Chile - Corrugated PVC Sheet 18

19 Product Applications: Agriculture Dairy Hall, Canada - Corrugated PVC Sheet Commercial Greenhouse Cover, USA - Corrugated Polycarbonate Livestock Farm, Uruguay - Corrugated PVC Sheet Cattle Shed, Israel - Corrugated PVC Sheet Cattle Shed Skylight/Roof - New York, USA 19

20 Product Applications: Sign & Display Illuminated Street Sign, Colombia - Flat Polycarbonate 3D Sign, Israel - Flat Polycarbonate Display system - Foamed PVC Sheet Decorative Display, Israel - Foamed PVC Sheet Direct Digital Printing on PALIGHT Foamed PVC Sheet - Germany 20

21 Product Applications: Fabrication Printed PALIGHT Sheet in CNC Machine - UK Diffused Light Boxes in Cosmetics P.O.P - Israel P.O.P Stand, Israel - Flat PVC Sheet P.O.P Stand, Israel - Multilayered PVC Sheet P.O.S, Russia - Flat Acrylic Sheet Product Display, Israel - Flat Acrylic Sheet 21

22 Product Applications: DIY & Residential Residential Conservatory Roof - UK Residential Pergola Roofing - Adelaide, Australia Residential Pergola, Australia - Poltcarbonate System Residential Skylight, USA - Corrugated Polycarbonate Private Pool House, USA - Corrugated Polycarbonate 22

23 Product Applications: Decking & Trimboard Residential Porch Trim, USA - Foamed PVC Trimboard Residential Porch, USA - Outdoor Flooring 'Trask Banquet Hall' Deck and Walls, Israel - PVC Decking Board Rooftop Lounge, Israel - PVC Decking Board 23

24 Palram Applications: Consumer Products for Self Assembly Palram Applications, established in 2004, incorporates Palram sheets into finished products. Product lines include hobby greenhouses, canopies, carports, Residential sheds and specialty thermoformed items. In recent years Palram Applications has become a leading market player. Products are marketed directly to world leading DIY chains: B&Q, OBI, Home Depot and other leading Internet chains. Business activity is characterized with a high profitability rate in comparison with the Palram sheet business. The subsidiary's high potential is a major growth engine for the mother company. 24

25 Product Applications: Consumer Products Vitoria 5000 Residential Carport Palermo 3600 Gazebo Cover 6'x5' Skylight Shed Victory Hobby Greenhouse Calisto Twin-Line Door Canopy 25

26 PALRAM H.Q. Tel: Fax: palram@palram.com PALRAM EUROPE LTD. Tel: Fax: sales.europe@palram.com PALRAM AMERICAS Tel: Fax: palramamericas@palram.com