CORPORATE PRESENTATION
March, 2016
UMW Holdings Berhad
2
1917 1960s 1970 1980s 1990s 2000s 2010s
- Chia Yee Soh
founded a
small family
business in
Singapore
- Awarded Komatsu
heavy equipment
distributorship in
‟65
- Secured the
Toyota Forklift
franchise in ‟67
- United Motor
Works (Malaysia)
Holdings Berhad
listed on stock
exchange
- Awarded Toyota
vehicle franchise
in ‟82
- Permodalan
Nasional Berhad
became major
shareholder in
‟87
- Largest
shareholder in
the 2nd national
car project,
Perodua,
with Daihatsu
Motor Co. Ltd. as
the technology
provider in ‟93
- Oil & Gas
Division
established as
UMW‟s 4th core
business in „02;
- UMW is the official
Lexus distributor
in ‟06
- Rebranding of
UMW in „08
- UMW Oil &
Gas
Corporation
Berhad listed
on Bursa
Malaysia in
„13
UMW MILESTONES
UMW Holdings Berhad
3
ENHANCING CAPABILITIES Laying Building Blocks for Excellence
AUTOMOTIVE ASSEMBLY
33 years partner with Toyota
22 years partner with Daihatsu
BICYCLE REPAIR
SHOP
Founded in 1917
FAN CASE
MANUFACTURER
Tier-1 supplier to
Rolls-Royce
UMW Holdings Berhad
4
Shareholding Structure (As of 31/03/2016)
UMW AT A GLANCE
Key Business Facts
Headquarters:
Number of Employees (February 2016):
Sales (2015):
PBT (2015):
Market Capitalisation (31/03/2016):
Total Number of Shares Outstanding:
Component of:
Bursa Malaysia Listing Sector:
Corporate Credit Rating by RAM Rating
Services Berhad (RAM):
Shah Alam, Malaysia
12,481
US$ 3.71 billion
US$ 0.684 million
US$ 2.07 billion
1,168,293,932
FTSE Bursa Malaysia
KLCI (FBMKLCI)
Main Market,
Consumer Products
AAA
Rate as of 31/03/2016 : 1 USD = MYR 3.883
Permodalan Nasional Berhad (PNB)/
PNB Managed Unit Trust Funds, 56.13%
Employees Provident
Fund Board, 17.47%
* PNB and EPF shareholdings are based on direct interest and deemed interest
Other Local
Shareholders, 13.68%
Foreign
Shareholders, 12.72%
UMW Holdings Berhad
BUSINESS STRUCTURE
UMW TOYOTA
MOTOR
• Lexus
• Toyota
PERUSAHAAN
OTOMOBIL
KEDUA
• Perodua
Automotive
AEROSPACE
COMPONENT
• Fan case
LUBRICANTS &
FLUIDS
• Pennzoil
• Repsol
• Grantt
• GEP Fluids & Coolants
SHOCK
ABSORBERS/HYDRAULI
C POWER STEERING
PUMPS & SYSTEMS
• KYB
AUTO COMPONENTS
• Filtration Products
• Plastic Injection
• Metal Stamping
• DENSO Spark Plugs &
Wiper Blades
• GEP Filters & Brake
Pads
Manufacturing
& Engineering
HEAVY EQUIPMENT
• Komatsu
• Bomag
• Rosenbauer
• LS
INDUSTRIAL
EQUIPMENT
• Toyota
• Raymond
• Aichi
• Tokai
• Tennant
• GS Yuasa
• BT
• Trelleborg
MARINE & POWER
EQUIPMENT
• CompAir
• Honda
• Mitsubishi
• Cameron
• Desmi
Equipment
OFFSHORE DRILLING
OPERATIONS
• Semi-Submersible Rig
• Jack-Up Rigs
• Workover Rigs
OILFIELD
SERVICES
• Pipe Inspection, Repair
& Threading
Oil & Gas
(Listed Company)
MANUFACTURE OF
PIPES
• Seamless OCTG
• SSAW Line Pipes
• LSAW Line Pipes
ONSHORE RIGS
FABRICATION OF OIL &
GAS AND OTHER
STRUCTURES
SUPPLY OF OILFIELD
PRODUCTS
Others – O&G Related
Assets
6
DOMESTIC & INTERNATIONAL PRESENCE Extensive Network – 13 countries
China
Malaysia
Thailand
Indonesia
Myanmar
India
Papua
New Guinea
Singapore
Turkmenistan
Australia
Oman
Automotive
Equipment
Manufacturing & Engineering
Oil & Gas
Malaysia Branches Dealerships
UMW Toyota Motor
Sdn. Bhd. 39 66
Topmark
(Division of UMW Toyota) 6 -
Perusahaan Otomobil
Kedua Sdn. Bhd.
(Associate)
40 141
UMW Industries (1985)
Sdn. Bhd. 16 -
UMW Industrial Power
Sdn. Bhd. 8 -
UMW (East Malaysia)
Sdn. Bhd. (Sabah &
Sarawak)
9 -
UMW Equipment
Sdn. Bhd. 5 -
Toyota Capital Malaysia
Sdn. Bhd. (Associate) 5 -
Total 128 207
Vietnam
Taiwan
UMW Holdings Berhad
AUTOMOTIVE
Operations
8
UMW AUTOMOTIVE DIVISION
UMW Toyota Motor
Sdn. Bhd. Perusahaan Otomobil Kedua
Sdn. Bhd.
39%
10%
51% 38%
Toyota Motor Corporation
Toyota Tsusho
Corporation
Daihatsu Motor Co., Ltd
MBM Resources Bhd
PNB Equity Resource
Corporation Sdn Bhd
Mitsui & Co., Ltd
Daihatsu (Malaysia) Sdn Bhd
Mitsui & Co., ( Asia Pacific) Pte Ltd
20%
20%
10%
4.2%
5%
2.8%
UMW Holdings Berhad
9
UMW AUTOMOTIVE DIVISION
Toyota Boshoku
UMW Sdn. Bhd.
Automotive Industries
Sdn. Bhd. Assembly Services
Sdn. Bhd.
UMW Toyotsu Motors
Sdn. Bhd. Perodua Engine
Manufacturing Sdn. Bhd.
Perodua Manufacturing
Sdn. Bhd.
Perodua Sales
Sdn. Bhd.
Ingress Technologies
Sdn. Bhd.
Marketing and distribution of
motor vehicles, related spare
parts and other related activities
Assembler of vehicles Manufacturer and supplier of
exhaust systems
Manufacturer of car seats
Sales and service of Toyota and
Lexus vehicles and parts
Manufacturer and assembler of
motor vehicles
Manufacture complete door
assemblies and press parts
Manufacturer and dealer in
component parts including
engines, couplings and
transmission components
UMW Holdings Berhad
10
TOTAL INDUSTRY VOLUME (TIV)
• The original target for 2015 was 680,000 units. It was later revised to 670,000 units.
• Target for 2016 is 650,000 units (-2.5% growth).
• Lower sales in 2011 was due to the supply-chain disruption caused by the earthquake
and tsunami in Japan and the floods in Thailand.
TIV % Change Over Previous Year RHS
Total Industry Volume – Unit Sales LHS
405,745
487,605
552,316490,768 487,176
548,115 536,905
605,156 600,123627,753
655,793 666,465 666,674
-6.7%
20.2%13.3%
-11.1%-0.7%
12.5%
-2.0%
12.7%
-0.8%4.6% 4.5% 1.6% 0.03%
-100%
-80%
-60%
-40%
-20%
0%
20%
40%
0
200,000
400,000
600,000
800,000
1,000,000
1,200,000
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
UMW Holdings Berhad
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LEXUS & TOYOTA
• Vios was our top selling model in 2015 with 36% of total Toyota sales. Hilux was
second with 30%.
• The new Camry and Camry Hybrid was launched on 2 April 2015.
• Lexus achieved a new record in 2015 with 2,101 units sold.
• Target for 2016 is 87,000 units (Toyota – 85,000 units & Lexus – 2,000 units)
40,23951,700
91,00381,808 82,188
101,839
82,08991,990 88,662
106,622
92,521
103,63695,8619.9%
10.6%
16.5% 16.7% 16.9%
18.6%
15.3% 15.2% 14.8%
17.0%
14.1%
15.6%
14.4%
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
20%
0
50,000
100,000
150,000
200,000
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
UMW Toyota Motor Market Share Of TIV RHS
UMW Toyota Motor Unit Sales LHS
UMW Holdings Berhad
12
PERODUA
• Perodua maintained the No. 1 position in overall market share since 2006
• Currently exporting to six countries, namely, Indonesia, Singapore, Mauritius, Fiji and
Sri Lanka.
• Malaysia‟s first energy-efficient vehicle, Perodua Axia, was launched on 15 September
2014. It was Perodua‟s top-selling model in 2015.
• Target for 2016 is 216,000 units.
124,008121,804139,680
155,419162,152167,393166,736
188,641179,989
189,137196,071195,579213,307
30.6%
25.0% 25.3%
31.7%33.3%
30.5% 31.1% 31.2%30.0% 30.1%30.1% 29.3%
32.0%
0%
10%
20%
30%
40%
0
50,000
100,000
150,000
200,000
250,000
300,000
350,000
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Perodua Market Share Of TIV RHS
Perodua Unit Sales LHS
UMW Holdings Berhad
13
• UMW companies sold 309,168 units in 2015 with a market share of 46%.
UMW Toyota95,86114.4%
Perodua213,30732.0%
Others357,50653.6%
UMW GROUP’S MARKET SHARE Units & Market Share (%) In 2015
Brand 2015 2014
Market
Share %
Units Market
Share %
Units
Proton
Honda
Nissan
Hyundai, Kia
Volkswagen
Others
15.3
14.2
7.1
1.6
1.0
14.4
102,175
94,902
47,235
10,960
6,405
95,829
17.4
11.6
7.0
2.5
1.3
15.3
115,783
77,495
46,352
16,886
8,916
101,818
Total 53.6 357,506 55.1 367,250
2014
195,579
29.3%
2014
103,636
15.6% 2014
367,250
55.1%
UMW Holdings Berhad
14
200
300 400 500 600 700 800 900 1,000 1,100
RM
„000
60 80 100 120 140 160 180
20 40 60 80
AUTOMOTIVE DIVISION
Models and Price Range
9 models
RM242k-1.09m
11 models
RM65k-393k
3 models
RM24.6k-65k
Toyota
Avanza Toyota Alphard
Perodua
Axia
Perodua
Alza
Top Selling Models
Perodua - Axia
Toyota - Vios
Lexus LS 600hL
UMW Holdings Berhad
EQUIPMENT
Operations
16
UMW represents all of the above principals for some of the world‟s most
recognised products in:-
• Agriculture
• Construction
• Forestry
• Mining
• Industrial and manufacturing
• Industrial cleaning – food and beverages, material handling and logistics
EQUIPMENT DIVISION
UMW Holdings Berhad
17
• Komatsu franchise in Malaysia, Singapore, Myanmar and Papua New Guinea
• Market share range from 20% to 43%.
• Has strong presence in Myanmar, supplying equipment to the jade mining and resource mining
sectors.
Malaysia
Papua New Guinea
Myanmar
Singapore
Since 1979 Since 1996
Since 1965
HEAVY EQUIPMENT
UMW Holdings Berhad
18
• Strong market leadership position
• No. 1 position in Malaysia since 1972. Toyota forklift maintained its 50% market share in
Malaysia‟s material handling equipment business.
• Toyota Forklifts – UMW is one of the Top 5 Distributors in the world.
• Globally, UMW is the only Diamond member (the highest elite tier) in the Premier Club
Recognition Programme, awarded by Toyota Material Handling International (TMHI).
• Also awarded the Undisputed Performance Award by Toyota Material Handling
International for outstanding performance.
• Have ventured into leasing of Toyota forklifts.
INDUSTRIAL EQUIPMENT
TOYOTA FORKLIFT FRANCHISE
Malaysia
Singapore
Brunei
Vietnam
China
Shanghai,
Zhejiang
UMW Holdings Berhad
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CompAir
Gas Compressor
Mitsubishi & GE
Marine Engines
Honda
Power
Products
Cameron
Centrifugal
Compressor
Cameron
Reciprocating
Compressor
MARINE AND POWER EQUIPMENT
UMW Holdings Berhad
20
OIL & GAS
Operations
21
1 Semi-submersible – NAGA 1
7 Jack-ups – UMW NAGA 2, UMW NAGA 3, UMW NAGA 4,
UMW NAGA 5, UMW NAGA 6, UMW NAGA 7, UMW NAGA 8
UMW OIL & GAS CORPORATION BERHAD Listed On Bursa Malaysia (55.72% subsidiary)
A Malaysian-based multinational oil & gas (“O&G”) player focused on providing drilling and
oilfield services for the upstream sector of the O&G industry.
Drilling
services
96%
Oilfield
services
4%
Oilfield Services
Drilling Services
1 West Plant & 1 East Plant in Labuan, Malaysia
1 Sattahip & 1 Songkhla, Thailand
1 Tianjin, China
1 Turkmenbash, Turkmenistan
Segmental revenue breakdown
for FY2015
Offshore Rigs 8
6 Plants
5 Hydraulic
Workover
Units
UMW GAIT I, UMW GAIT II, UMW GAIT III, UMW GAIT V,
UMW GAIT VI
UMW Holdings Berhad
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DRILLING SERVICES – SEMI-SUBMERSIBLE DRILLING RIG
Asset
• UMW co-owns a semi-submersible drilling rig, NAGA 1, on
50:50 venture with Japan Drilling Company; since 2005.
• Drilling depth of 30,000 feet
• Operating water depth of 985 feet
Customer
• PETRONAS Carigali Sdn. Bhd. since 2005.
Status
• The current contract duration is for five (5) years ending in
August 2016.
• PETRONAS Carigali has awarded a contract extension for
a further period of two (2) years commencing August
2016.
NAGA 1
UMW Holdings Berhad
23
JACK-UP
DRILLING RIG
CUSTOMER CONTRACT DURATION
CONTRACT
AWARDED
UMW NAGA 2 Bidding for contracts
UMW NAGA 3 Bidding for contracts
UMW NAGA 4 PETRONAS Carigali Sdn. Bhd. 3 years April 2013
2-year option for renewal.
UMW NAGA 5 Bidding for contracts
UMW NAGA 6 Bidding for contracts
UMW NAGA 7 PETRONAS Carigali Sdn. Bhd. 7 firm wells; 1+1 option well
for renewal
15 October 2015
UMW NAGA 8 SapuraKencana Petroleum Bhd.
18 firm wells; 3 option wells
for renewal
28 September 2015
UMW Holdings Berhad
DRILLING SERVICES – JACK-UP DRILLING RIGS - Malaysia’s only owner-operator of premium jack-up drilling rigs.
24
DRILLING SERVICES – HYDRAULIC WORKOVER UNIT
UMW GAIT I
UMW-OG offers a range of workover operations include maintenance and services for existing wells in connection with
Restoring and reworking a well to increase production and prolonging a well‟s productive life
Stimulating a well to achieve planned and enhanced productivity
Repairing a well‟s mechanical problems to restore and sustain production
Plugging and abandonment of a depleted well
UMW GAIT II
UMW GAIT III UMW GAIT V
Maximum pulling
capacity
340,000 lbs
Maximum snubbing
capacity
150,000 lbs
Maximum pulling
capacity
460,000 lbs
Maximum snubbing
capacity
225,000 lbs
Maximum pulling
capacity
460,000 lbs
Maximum snubbing
capacity
225,000 lbs
Maximum pulling
capacity
460,000 lbs
Maximum snubbing
capacity
225,000 lbs
Our HWUs are modular, lightweight, mobile and configurable
Owner and operator of HWUs and a PETRONAS-licensed provider of HWU services
UMW GAIT VI
Maximum pulling
capacity
460,000 lbs
Maximum snubbing
capacity
225,000 lbs
UMW Holdings Berhad
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UMW Oilpipe Services Sdn Bhd
UMW-OG‟s OCTG threading, inspection and repair service facilities in Malaysia, Thailand, China and Turkmenistan focus on premium connections.
2 plants located in Labuan offering premium
OCTG threading, inspection and repair
services
Owner of quality oilfield services assets,
including a threading facility in Malaysia with
22 CNC lathe machines
Was the first threading plant in Malaysia to
be approved in API Q1 and API 5CT
specifications
UMW Oilpipe Services (Turkmenistan) Ltd UMW Oilfield Services (Tianjin) Co Ltd
Located in Tianjian, China „One-stop shop‟ multi premium connection
threading base, inspection and related workshop services
Received appreciation letter from Schlumberger China and awarded one of the „best supplier‟ under Schlumberger‟s global supplier system in 2012
UOT (Thailand) Limited
Located in Songkhla and Sattahip, Thailand
Focus on repair of damaged threaded pipes and the threading of OCTG and accessories
Located in Turkmenbashy, Turkmenistan Provides machine shop services for repair
and threading of casing, tubing and oilfield accessories, tubular inspection and hardbanding of drill pipes and collars
Mainly supports PETRONAS‟ subsidiary in Turkmenistan‟s offshore fields in the Caspian Sea.
UMW-OG‟s operations are pan-Asian, with high quality assets characterised by high precision and accuracy capabilities
OILFIELD SERVICES - OCTG THREADING, INSPECTION & REPAIR SERVICES
UMW Holdings Berhad
MANUFACTURING & ENGINEERING
Operations
27
KEY PRODUCTS
Automotive
Components
Lubricants &
Fluids
Shock
Absorbers
& Power
Steering
Fluids &
Chemicals
Lubricants &
Fluids
(China)
LUBRICANTS AUTO COMPONENTS AEROSPACE
COMPONENT
Fan
Case
UMW Holdings Berhad
28
MANUFACTURE OF AERO ENGINE FAN CASES UMW M&E SDN BHD
• The project is for the manufacture of fan cases for
the Trent 1000 aero engines for 25 years (Trent
7000 engines-later) for Rolls-Royce‟s (“RR”)
supply chain.
• Both Trent engines are the most advanced in
aero engine technology, with increased fuel
efficiency and noise reduction.
• UMW will be the only supplier („single-source
supplier‟) for fan cases for both the engines.
• The manufacturing plant will be located in
Serendah, Selangor.
• The first delivery is targeted for October 2017.
Component Part Manufacturing for RR‟s Most
Advanced Passenger Aircraft Engines
Be Part of Asian Supply Chain Development
Single Source Final Assembly of the Trent 1000
and Trent 7000 engines in Singapore
UMW as the 1st Malaysian Tier 1 Supplier to
Rolls Royce
UMW Holdings Berhad
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UMW ADVANTECH SDN BHD
Manufacturing of automotive components in Selangor
Shock Absorbers for
2-wheelers
Shock Absorbers for
4-wheelers
Power Steering Pump Power Steering System
Manufacturing of Automotive shock absorbers in Selangor
KYB-UMW MALAYSIA SDN BHD
KYB-UMW STEERING MALAYSIA SDN BHD
Manufacturing and distribution in Selangor
* Full capability at TBA
American oil
company
Spain's largest integrated
oil & gas company In-house brand
Manufacturing and distribution in Guangdong
* Full capability at 50 mil/liters p.a.
LUBETECH SDN BHD (MALAYSIA)
UMW LUBRICANT INTERNATIONAL SDN BHD
(MALAYSIA)
LUBRITECH LIMITED (CHINA)
UMW Holdings Berhad
FINANCIAL HIGHLIGHTS
31
754
856
1,277
847
1,3131,365
2,020
1,436
1,621
270
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
AUTOMOTIVE EQUIPMENT M & E OIL & GAS
10-YEAR GROUP FINANCIAL HIGHLIGHTS
Profit Before Taxation
(RM million)
9,950 9,976
12,770
10,721
12,82013,536
15,817
13,952
14,93214,442
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Revenue
(RM million)
32
AUTOMOTIVE EQUIPMENT M & E OIL & GAS
10-YEAR GROUP FINANCIAL HIGHLIGHTS
Shareholders‟ Funds
(RM million)
5,103
6,491
7,828
8,826
10,02410,541
11,491
14,595
16,520
18,225
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Total Assets
(RM million)
2,560
3,130
3,5223,774
4,0274,249
4,848
6,2906,581 6,584
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
UMW Holdings Berhad
33
Key Performance Indicators – Dividend Policy
ANNUAL DIVIDEND PAYOUT, 50% OF PROFIT NET OF UNREALISED
GAINS
48.8 50.3 50.857.7 59.0
75.8 75.258.8
78.7 76.1
>100.0
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Payout Ratio (%)
19.0 20.530.0
37.0
20.030.0 31.0
50.044.0 41.0
20.0
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Gross Dividend
Per Share Of
RM0.50 Each (sen)
Target 50%
March 08
Share Split from
RM1.00 to RM0.50
each
UMW Holdings Berhad
Corporate Portal www.umw.com.my
This material is proprietary and is prepared specifically for the recipient‟s reference. The information contained herein is not to be distributed without the consent of UMW Holdings Berhad. Any recommendation or views contained in this document do not have regard to specific investment objectives, financial situation and the particular needs of any specific audience. The content furthermore is believed to be correct at the time of the issue of this document, and is not and should not be construed as an offer or a solicitation of any offer to buy or sell any securities. Nor does this document purport to contain all the information a prospective investor may require.
S. Vikneshwaran
Head, Investor, Media Relations & Sustainability
Email: [email protected]
Telephone: +603 5163 5000
THANK YOU
Roza Shahnaz Omar
Director, Group Strategy
UMW Corporation Sdn. Bhd.