Wan Hai Lines Q1 Update. Laura Su HSBC Taiwan Executive Forum May. 24, 2017

Transcription

1 Wan Hai Lines 2017 Q1 Update Laura Su HSBC Taiwan Executive Forum May. 24, 2017

2 General Overview

3 Global Service Network 86 Operated Vessels Total Capacity of 224,177 TEUs 3

4 Intra-Asia Services 28 Dedicated Service Routes #1 in Service coverage and frequency 15% of Intra-Asia Market Share 73% of Lifting Volume 4

5 Strategic Intra-Asia Highlights Services Low cost operator Low fixed cost structure Competitive handling costs driven by significant cargo volumes in key terminal hubs Comprehensive service network Intra-Asia network leverages high-growth, multi-directional cargo volumes Long-haul volumes fueled by China exports and regional feeder network Yield Management Well diversified customer base Direct sales distribution network Organic volume growth limited to Port-to-Port cargoes 5

6 Low Intra-Asia Fixed Costs Services Large owned vessel percentage (83%) Vessel types consistent with high volume trades Average age years Majority owned container fleet (65%) Asia-sourced crews 6

7 Key Intra-Asia Terminal Services Holdings 1987 Opened Pier 63 terminal in Kaohsiung 1996 Opened Pier 31 terminal in Taichung Taipei Port Taichung Kaohsiung Caimep Opened Ohi-5 Terminal in Tokyo, Japan 2009 Opened Taipei Port project with JV partners, Evergreen and Yang Ming Lines Opened Caimep, Vietnam Port project with JV partners, SNP, MOL and Hanjin Transportation 7

8 Well-Diversified Intra-Asia Services Customer Base More than 300,000 clients that are diversified by geography and industry In 2017, no single customers accounted for more than 1% of WHL s volume or consolidated operating revenues WHL s customers include retailers, manufacturers of automobiles, automotive parts, chemicals, machinery and electronic products as well as freight forwarders and agents Both Taiwan- based enterprises as well as companies with multinational operations 8

9 Carrier Intra-Asia on-time Services Performance in 2016 WAN HAI LINES ranked No. 1 in schedule reliability 9

10 Main Intra-Asia Carrier Services Operating Margins FY2016 * Source: Alphaliner Newsletter No

11 Carriers Intra-Asia Net Services Debt-Equity Ratio (2016) *Source:Alphaliner Newsletter No

12 Quarterly Update

13 Operating Intra-Asia Volume Services & O/F Revenue Growth Million O/F Revenue (USD) Volume (teu) 13

14 Operating Intra-Asia Revenue Services USD$ M Remark: operating revenue includes O/F, DET/DEM, slottage, DOC 14

15 Fleet Intra-Asia Details Services Currently operates a fleet of 86 full- container vessels, with a total vessel capacity of 224,177 TEUs 15

16 Lifting Intra-Asia Summary Services 16

17 Volume Intra-Asia and Services Revenue Breakdown 17

18 Freight Intra-Asia Rate Services (Intra-Asia/Non-Asia) 18

19 Freight Intra-Asia Rate Services (TP/EU/SA) 19

20 Capital Intra-Asia Expenditure Services Details Containers Remark: Capital Expense Plan of

21 Capital Intra-Asia Expenditures Services Schedule USD$M 21

22 Bunker Intra-Asia Costs Services Oil price/per Tonne Bunker Cost(USD $M) 22

23 Cost Intra-Asia Structure Services 2016Q1 2017Q1 Remark: Others includes items such as WHL terminal, vessel repair, crew expenses, slottage and commission 23

24 Q & A

25 Appendix

26 Overview Intra-Asia of Services Wan Hai Lines Ltd One of Asia s largest container freight liners 86 vessels (71 owned; 15 chartered) Capacity of 224,177 TEUs 4 global trade routes - Asia, U.S. West Coast, Middle East, South America - 42 service routes Intra- Asia market specialist #1 coverage and sailing frequencies in Intra Asia sector 15% market share of Intra- Asia TEUs 73% of Wan Hai s total lifting volume 28 Dedicated service routes Market Cap as of Mar 31: NT$36.93 billion (US$1.22 billion) 26

27 Business Intra-Asia History Services Started container liner services with Taiwan - Japan Trade in 1976; Expanded Intra-Asia services to include the entire East Asian market by 1993, establishing itself as the largest container liner operator in the region Launched East Asia- Middle East/India Service in 1998 Launched Trans-Pacific service in 2000 via slot purchase followed by the launch of own service the following year; Launched Far East-Europe service in 2004 Launched Black Sea service in 2007 Launched East Africa service in 2010 Launched S. Africa/East Coast S. America Service in 2010 Launched West Coast S. America Service in

28 Financial Highlights

29 Income Intra-Asia Statement Services Highlights 2017Q1 & 2016Q1 29

30 Balance Intra-Asia Sheet Services Highlights 30

31 Total Intra-Asia Liquid Services Assets 31

32 Cash Intra-Asia Flow Statement Services Highlights 32

33 NTD Intra-Asia Debt Issuance Services 33

34 Earnings Intra-Asia Per Services Share (EPS) 34

35 Dividend Intra-Asia Policy Services Dividend Yield 35