Corporate Presentation

Transcription

1 Corporate Presentation September

2 Contents Overview Business Operation Review Financial Highlights Dividend Policy 2

3 Overview Present Established in 1975 Famous Household Name 1975 Listed on Bursa Malaysia 2 nd Board in st Local Integrated Traditional Healthcare & Wellness Company Listed on Bursa. Transferred to Main Board on 8 th Oct 2007 Principal business Wholesale, Multi Level Marketing (MLM), Retail, Pharmaceutical Manufacturing, Modern TCM clinics Product Focus : Wellness and Beauty, Traditional, Complementary and Alternative Medicine products & services 3

4 Overview Mission We are committed to promoting healthcare culture and improving human's wellbeing. Vision We aim to become the premier healthcare company in Malaysia and thereby bringing the greatest value and pride to our customers, business partners, employees and shareholders. Corporate Values Social Responsibility Excellent Services Attitude Growing Unity Loyalty Learning 4

5 Business Operations Review Multi Level Marketing ( MLM ) Wholesale Retail Manufacturing & Others 5

6 MLM Segment 6

7 One of the leading Home-grown MLM companies in Malaysia HQ in Klang, Selangor Wawasan Hai-O; Regional offices / branches in Jakarta - Indonesia, Brunei & Singapore; >150,000 active members (FYE30/4/2017 : 140,000); Over 36 stockists & branches nationwide; About 80% members are Bumiputra & majority are female; 7

8 Core Drivers MLM Offering Fair and Attractive Commission Scheme, up to 67% payout ratio; Offering Quality and wide range of products; Offering Attractive Overseas Incentive Trip annually; Strong corporate branding Sahajidah Hai-O clearly differentiate MLM business model with other divisions; Effective training; Resilient Distributors Force & Focused Management Team; Leverage on IT to improve efficiency and CRM; E-commerce, Digitalisation & Social Selling. SHOM is committed to fostering entrepreneurship skills in Bumiputra and encourage dealers make this business as a career of choice. 8

9 MLM Members Growth IT & Digitalisation Core Drivers Dynamic Marketing Activities Corporate Image & Branding Quality & Wide Range of Products 9

10 Members Growth Our strategies to Recruit, Retain & Reward members contributed to the overall success of the growth in membership. 10

11 Dynamic Marketing Activities Overseas incentive trip campaign (Italy) FY2017 > 400 pax; Incentive Trip campaign (Gold Coast, Australia) FY pax; Incentive Trip campaign (Korea) FY2018 1,000 pax; Incentive Trip campaign (Switzerland & Paris) FY pax. 11

12 MLM Products & Sales Strategies Continue to collaborate with well known local designer to roll out more fashion wear and related products, and other trendy lifestyle range of products (R&R, DJC, Fazura); Continue to focus on health, wellness and lifestyle range of products. 12

13 QUALITY & WIDE RANGE OF PRODUCTS 13

14 Food & Beverages 14

15 Food & Beverages 15

16 Health supplements & Nutrition Food 16

17 Wellness Products 17

18 Beauty, Skin Care & Personal Care 18

19 MLM Product Development & Extension of Products Range Establish New Brand: Beauty and Lifestyle infinence Kids and Infants 19

20 20

21 FOOTWEAR BAG HIJAB SKIN CARE CLOTHING ACCESSORIES 21

22 NEW PRODUCTS 22

23 infinence Footwear & Bags 23

24 infinence Footwear 24

25 infinence Bags 25

26 infinence Bags 26

27 New Product (May 2018): infinence X RR Hijab 27

28 New Product (July 2018): BB + Glo 28

29 New Product (Aug 2018): i) Nurich M-Gingko ii) Face Scrub & Treatment Mask 29

30 Corporate Image & Branding 30

31 Koleksi Raya at Publika 31

32 Koleksi Raya at Publika 32

33 to Wear 2018 at Pavillion 33

34 IT & Digitalisation 34

35 Social Media Platform To increase Facebook likers To increase Instagram followers 35

36 What is Bizumer? Business + Consumer = Bizumer; A whole new style of consumerlike business digital platform; A platform where distributors can own an individual e-store and build consumer s market respectively; Encourages consumer to start business online through a simple steps. 36

37 BUSINESS ACTIVITIES UPDATE 37

38 Jakarta Business Summit Trip 38

39 Incentive Trip campaign (Sept 18 Dec 18) to Kunming, China 39

40 Set-up new Branches Group continue to enhance its web-based CRM System and software to facilitate the members to build its business nationwide, anywhere, anytime through online store; Added / upgraded 4 regional Distribution Centre (Johor, Sabah, Penang and Kuantan) during FY2017 improved physical presence; FY Added a new branch in Penampang, Sabah; In Sept 18, added a new branch in Sandakan, Sabah. 40

41 Set up New Branches: i) Sandakan opened in Sept 18 ii) Tawau targeted in Oct 18 41

42 Wholesale 42

43 Wholesale 100 wholesalers and 2,000 retailers including Chinese Medical Halls, Restaurants, Pharmacies and Modern Trade Channels; Exclusive Distribution Rights for over 50 renowned brands of Chinese Medicines, health tonic, tea and healthcare products. Centralised purchasing support for the MLM & Retail Segment. 43

44 Wholesale Strategies 44

45 Cooking Wine, Health Tonic, Tea & Wine 45

46 Cooking Recipes with Hai-O products 46

47 Retail 47

48 Retail A leading herbs & healthcare products chain stores in Malaysia; 55 outlets, including 7 franchise; Carry an extensive range of Traditional Chinese Medicines (TCMs), teas, health tonic, wines, gift packs or hampers and other healthcare products; As part of quality service, also provide TCMs advice to customers. Chinese physician at selected retail outlets to provide value added services in the form of general medical consultation and product knowledge. 48

49 Retail Strategies Improve product mix to focus on high margin house brands, either manufacturing by In-house GMP factory or external OEM; House-brand products contributes >40% of retail sales; 1-2 new outlets annually depends on availability of strategic location and resources; Provision of Chinese Physician TCM consultation as value-added services; Upgrading CRM Program for membership management and setting A&P strategies. 49

50 Manufacturing & Others 50

51 Manufacturing 1 st Company awarded with GMP TCM factory status in Malaysia; Maintained 2 GMP plants cater for Halal and Non-Halal products; Produce quality traditional pharmaceutical products and food supplements; Supply to in-house and OEM customers. Services include product MAL registration and in-house product QC; ISO 9001:2015, GMP certified, FDA registered, HACCP certified, MS ISO/EIC SAMM accredited. 51

52 Manufacturing The new GMP plant in Jalan Kapar Klang fully commissioned in 2015 and has obtained HALAL certification for most of the products; Support the products development for MLM & Retail Segments. Expect higher contribution in near future. 52

53 JV TCM Clinic Tong Ren Tang (3 outlets) Established since Qing Dynasty (Year 1669); Listed in HK and Shanghai; GMP status awarded; Provide qualified medical practitioners from China; Sole distributor of Tong Ren Tang products. 53

54 Awards & Accolades Forbes Asia Best Under A Billion for 4 consecutive years ( ) Anugerah CSR Perdana Menteri 2009 (Honourable Mention for Outstanding Work in Empowerment of Women Asean Corporate Governance Transparency Index, Findings & Recognition Merit Award for AGM Conduct & Minutes Disclosure by MSWG Best Under Billion Awards Best in Transparency by Focus Malaysia AREA (Asia Responsible Entrepreneurship Award) under Social Empowerment Category 2016 by Enterprise Asia 54

55 Awards & Accolades 55

56 Dividend Policy Dividend policy to distribute at least 50% of the profit for the year as dividend remains unchanged; FY2015 Higher dividend payout (100%) (15 sen) - to reward our shareholders commemorating Hai-O s 40 th anniversary; FY % payout ratio (15 sen); FY % payout ratio (16 sen); and FY % payout ratio (20 sen). 56

57 57

58 Q&A Thank You Wisma Hai-O, Lot Batu 2, Jalan Kapar Klang, Selangor D.E. T : F :