SAMART GROUP. October SAMART Corporation Plc. (SAMART) Our key strengths. Well-diversified investment portfolio. High caliber management team

Transcription

1 SAMART GROUP October 214 SAMART Corporation Plc. (SAMART) Our key strengths 1 2 Well-diversified investment portfolio High caliber management team 6 Compelling financial returns for investors + 5% div. payout policy 3 Solid relationships with key clients and suppliers + Strong track record 5 In the growth stage of; Smartphone boom New digital TV broadcasting Utilities and Transportation business Etc. 4 Robust growth in recurring revenues 1

2 SAMART Corporation Plc. (SAMART) At A Glance Today 195 Started as a radio repair shop in Saraburi province, North of Bangkok Manufacture of TV & satellite antenna. Provide system integration services. Started handset & pager business. SAMART was listed in SET. SAMTEL was listed in SET Entered Paging & GSM18 services (divested later in 2) Started call center business. Awarded 32 yrs. concession to operate air traffic service in Cambodia. SIM was listed in SET. Launched i-mobile brand to the market. Being bestowed the Royal Garuda by H.M. The King. Entered security solution business. 26 Awarded 1 yrs. contract to supply 16 MWe to subsidiary of Siam Cement Group in Cambodia. Won 1 yrs. waste management contract at BKK airport Received Type III operator license, to operate the cellular service without having our own network (MVNO). Awarded the Baht 16 billion total contract value to install TOT s 3G cellular network. Acquired Portal Net Company. Group profit exceeds a billion Baht. Turnaround of i-mobile handset business. Acquired TEDA to expand Utilities and Transportation Business. OTO was listed in MAI. 2 SAMART Corporation Plc. (SAMART) Current Business Structure LISTED Listed in ,7 mill shares (par THB 1/share) Market cap = Approx. THB Billion Free float = 55.51% LISTED 7% LISTED 7% LISTED 7% NON-LISTED BUSINESSES ICT Solutions & Services Listed in mill shares (par THB 1/share) Market cap = THB 1.57 Billion Free float = 28.3% Mobile Multimedia Listed in 23 4,4 mill shares (par THB.1/share) Market cap = THB Billion Free float = 3.% Call center Listed in May mill shares (par THB 1/share) Market cap = THB 2. Billion Technology Related Services 7% 7% Security solutions Utilities & Transportations 1% Air Traffic Mgt 1% TV/Satellite antenna manufacturer 1% Power plant 23 MW 9% Waste new airport 1% Utilities & Transportations 8% TEDA CO.,LTD. Remark: Market cap based on price of stocks as of 8 th August 214 3

3 SAMART Corporation Plc. (SAMART) Variety of clients in our portfolio LISTED LISTED 7% LISTED 7% LISTED 7% Related Business ICT Solutions & Services Private Clients Mobile Multimedia Call center Utility & Transportation Utility Related Services Vision KPP Etc. TEDA State Enterprise Clients Etc. Transportation Samart Engineering Etc. CATS Etc. U-Trans SAMART Corporation Plc. (SAMART) Shareholding Structure and Trading Summary Shareholding Structure SAMART Trading Summary Total Number of Shares 1,6,53,91 shares Current Share Price THB 23.2 Local Institutions, 3% Foreign Institutions, 1% Par Value THB 1. Current PER 15.38x Vilailuck Family, 45% Others, 25% Market / Industry SET / Technology Sector PER 23.31x Sector ICT Avg. Daily Trading Value (211) THB 99 Million Member of Index FTSE SET Mid Cap Index SET1 Index SET3 High Dividend Index Current Market Cap THB 23.35billion (USD 73 million) Note: Data as of August 8 th 214 5

4 SAMART Corporation Plc. (SAMART) Group Revenue & NP Breakdown by Businesses Revenues Contribution 28A 29A 21A 211A 212A 213A 1Q/214 2Q/214 3Q/214 Total Revenues 16,286 17,35 16,266 19,964 17,1 22,434 6,364 6,562 5,556 Contributed by: 7% 52% 5% 34% 41% 46% 51% 53% 5% 18% 36% 35% 5% 45% 42% 33% 25% 28% OTO+Non-listed Businesses 12% 12% 15% 16% 14% 12% 16% 22% 22% Profit Contribution 28A 29A 21A 211A 212A 213A 1Q/214 2Q/214 3Q/214 Total Profit ,71 1, Contributed by: 26% 15% 13% 6% 9% 33% 29% 4% 3% 3% 47% 46% 66% 53% 38% 37% 3% 29% OTO+Non-listed Businesses 44% 38% 41% 28% 38% 29% 34% 3% 41% 6 Mobile Multimedia 7 7

5 SAMART i-mobile Plc. (SIM) Shareholding Structure and Trading Summary Shareholding Structure SAMART Trading Summary Total Number of Shares 4,4,25, shares Current Share Price THB 3.56 Par Value THB.1 Current PER 18.22x Others, 3% SAMART Corp., 7% Market / Industry SET / Technology Sector PER 23.31x Sector ICT Avg. Daily Trading Value (211) THB 1.35 Million Member of Index - Current Market Cap THB 15.66billion (USD 49 million) Note: Data as of August 8 th SAMART i-mobile Plc. (SIM) Business Structure Handset Business Content Business MVNO Business Business Design and manufacture of our ownedbrand i-mobile handset which distributed countrywide through our strong distribution network. One of the leading content aggregators in Thailand. Our products and services include lifestyle information (directory), sport, horoscope and game etc. available across channels A new cellular service provider under brand i-mobile 3GX. Our cellular service runs on TOT s 21 network under 12-yr MVNO agreement with TOT. Market Position Market share ranked # 2 (in term of number of handsets) Over 4 million unit sold per year Leader in lifestyle, sport and horoscope contents in Thailand The 4th Service Provider (currently) Strengthen in superior data usage speed Revenues Contribution 92% of 2Q/214 Revenues 6% of 2Q/214 Revenues 2% of 2Q/214 Revenues Key Strengths No. 1 local mobile handset brand Strong distribution network (>1, point of sales throughout Thailand) Value-to-money Service center nationwide Varieties of content Available through various medias Mobile-related services available across all cellular service providers Superior data speed downloaded Most competitive service package Bundle with various i-mobile contents Have no network related costs * MVNO = Mobile Virtual Network Operator = Mobile operator that does not own its own spectrum and network infrastructure. 9

6 SAMART i-mobile Plc. (SIM) Handset Business HANDSET CONTENT MVNO 1 SAMART i-mobile Plc. (SIM) Handset Business: Market Scan Feature + Smart Phone 9M 213 VS 9M 214 Market i-mobile % units 15, 12, 9, 6, -4.6% 13,979 13, % 6,464 8, % 7,515 4,897 units 3,5, 3,, 2,5, 2,, 1,5, 1,, 2,78,95 3,368, % 1,173,64 2,299, % 1,67,31 1,69,444 3, 5, Total Smart Feature Total Smart Feature Outperform the market

7 SAMART i-mobile Plc. (SIM) Handset Business: Market Scan Feature + Smart Phone Rising popularity of Smart Phone sales in Thailand 12 SAMART i-mobile Plc. (SIM) Handset Business: Market Scan Smart Phone Over 7% of Smart Phone sales were priced below 1, Baht Y212 Y % Sales Th. Units 13

8 SAMART i-mobile Plc. (SIM) Handset Business: Our key strengths High Quality of Components Country s Largest Service Center Network Camera Chip Set Screen Service Center Value to Money (Price below 1K Baht) 1, 6,xxx-9,xxx Service HUBS 5 Central Area - SW Park - BKK-Nonthaburi Northern Area - Chiengmai North-Eastern Area 1 - Ubonratchathani North-Eastern Area 2 - Khonkaen + New HUB : Phitsanulok by Q3 Southern Area Hat-Yai 8, 6, 4, 2, 3,xxx-5,xxx Below 1,xxx Featured Phone i-style IQ Price Range Service Centers 72 BKK & Vicinity - 12 Central Area 15 Northern Area 13 North-Eastern Area 22 Southern Area 1 Drop-Off Points 89 BKK & Vicinity - 1 Central Area 17 Northern Area 23 North-Eastern Area 2 Southern Area SAMART i-mobile Plc. (SIM) Handset Business: Our key strengths Strong i-mobile Mobile Brand Recognition Partner with Mobile Operators Launched package between i-mobile handset & Mobile Operators Nationwide Distribution Channel More than 1, points of sales throughout Thailand i-mobile shop Modern Trade Specialty Stores Dealers 15

9 SAMART i-mobile Plc. (SIM) Handset Business: Product Highlights in 3Q/ models were launched in 3Q Models were smart phone 5 Models were smart phone with DTV IQ 51 DTV Android HD Quad Core 1.3 GHz Font Cam 2 MP Back Cam 12 MP Bat 2,mAh Download 21 Mbps IQ 511 Android HD Quad Core 1.3 GHz Front Cam 2 MP Back Cam 12 MP Download 21 Mbps IQ 1.3 DTV Android QHD Quad Core 1.3GHz Front Cam 5 MP Back Cam 8 MP Download 21 Mbps 5,29 4,99 4,99 I-Style 8.3 DTV I-Style 71 I-Style 21 4,99 Android FWVGA 16.7M Quad Core 1.2 GHz Front Cam 2 MP Back Cam 8 MP Bat 2,9 mah Download 21 Mbps 3,99 Android FWVGA IPS Quad Core 1.3 GHz Front Cam 5 MP Back Cam 8 MP 2,99 Android FWVGA IPS Dual Core 1 GHz Front Cam 2 MP Back Cam 5 MP Full Colour 16 SAMART i-mobile Plc. (SIM) Handset Business: Product Highlights in 1H/ 214 Octa-Core CPU Smartphone 8-Core 1.7 GHz 5 FHD ROM 32 GB (13) 18 MP Main Cam (5) 8 MP Front Cam RAM 2 GB 8-Core 2. GHz 5 FHD ROM 32 GB 17

10 SAMART i-mobile Plc. (SIM) Handset Business: Product Highlights in 1H/ 214 Waterproof Smart Phone + KEN 4-Core 2.2 GHz 5 FHD ROM 32 GB/RAM 2GB 13 MP Main Cam 1.2 MP Front Cam Smart Sonic Receiver 18 SAMART i-mobile Plc. (SIM) Handset Business: Product Highlights in 1H/ 214 Digital TV Handset + Tablet

11 SAMART i-mobile Plc. (SIM) Handset Business: DTV Handset Unit Sold DTV Handset Unit Sold Launched on April 214 2Q 214: 216,43 units 3Q 214: 38,276 units SAMART i-mobile Plc. (SIM) Handset Business: i-mobile Handset Sales i-mobile Handset Sales in 212, 213 & 1H214 1,29,324 1,87,45 1,7, , ,564 1,15, ,12 1,6,323 1,77,18 1,294, ,13 Units 2,72 2,641 1,64,981 2,515 1,27,486 Baht 3, 2,937 2,888 1,2, 2,711 2,413 1,, 2, , ,914 8, 729,778 1,53 6, 1, ,17 631,33 615,27 1,231 2, 56,294 1, 512, , ,296 4, 384,81 446,29 47,687 34,352 44, ,24 281, ,422 2, 1,838 22,424-1, 1Q212 2Q212 3Q212 4Q212 Fea ture Phone 1Q213 Sma rt Phone 2Q213 3Q213 4Q213 1Q214 2Q214 3Q214 Bl ended Avera ge Sel li ng Pri ce 21

12 SAMART i-mobile Plc. (SIM) Handset Business: i-mobile Handset Sales i-mobile Unit Sold in each categories Estimated i-mobile i Handset Sales Units 65, 631,33 Units 4,79,444 3,786,418 4,, 4,2, Baht 4,5, 3,5 4,, 2,9 2,95 5, 512, , ,29 485,148 44,271444,298 3,5, 3,, 3,542,48 2,616 2,8, 3,24, 2,5 35, 2, 147, , ,831 5, -1, 195, , ,545 34, ,391 24, ,24 329,7 323, ,293 45,98 45,72 18,751 15,63 14,466 6,76 281, ,796 1Q213 2Q213 3Q213 4Q213 1Q214 2Q214 3Q214 i-note i-style IQ Featured Phone 2,5, 2,, 1,5, 1,, 5, 1,55 2,53,6 1,5 1,733,358 1,2, 1,176, 5 537, Feature Phone Smart Phone Estimated Feature Phone Estimated Smart Phone Average Selling Price 22 SAMART i-mobile Plc. (SIM) Handset Business: i-mobile Handset Sales i-mobile Average Selling Price in each categories Baht 5,284 5,52 5,752 5,976 6,15 6,24 6,96 5,918 5,814 5,718 5,632 5,84 5,449 5,675 5,571 5,2 4,964 4,886 4,958 4,984 5,1 IQ Series 3,928 2,98 2,44 4,152 3,746 2,825 4,54 3,822 2,398 4,45 3,43 2,262 4,6 3,991 3,328 2,934 3,228 2,282 3,865 3,499 3,17 2,982 2,954 2,368 3,693 3,614 2,753 3,382 3,22 3,36 3,246 3,95 3,83 3,3 2,714 3,165 2,616 2,835 2,5632,648 2,7 2,526 4,122 3,895 3,938 3,52 2,924 2,899 3,15 2,792 2,969 2,574 2,873 2,84 2,452 2,34 2,419 4,28 3,48 i-note 2,617 2,714 Blended 2,56 2,646 ASP i-style 1, , , Feature Phone Jan'13 Feb'13 Mar'13 Apr'13 May'13 Jun'13 Jul'13 Aug'13 Sep'13 Oct'13 Nov'13 Dec'13 Jan'14 Feb'14 Mar'14 Apr'14 May'14 Jun'14 Jul'14 Aug'14 Sep'14 i-note i-style IQ Feature Phone Blended ASP 23

13 SAMART i-mobile Plc. (SIM) Handset Business: 2H/ 214 Strategy Export i-mobile DTV smart phone to oversea markets 24 SAMART i-mobile Plc. (SIM) Handset Business: 2H/ 214 Strategy New Opportunity: DVB-T2 Worldwide 35 countries have adopted & deployed DVB-T2 System Asia (7 + 1) Azerbaijan, Brunei Darussalam, Malaysia, Myanmar, Singapore, Vietnam, Kazakhstan + Thailand Africa (6) Ghana, Kenya, Nigeria, Uganda, Namibia, Mauritius, Middle East (2) Saudi Arabia, Qatar Ocean Pacific (1) New Zealand, Europe (19) Ukraine, United Kingdom, Belarus, Turkey, Switzerland, Spain, Slovenia, Russia, Poland, Italy, Greece, Austria, Belgium, Czech Republic, Denmark, Estonia, Finland, France, Germany 25

14 SAMART i-mobile Plc. (SIM) Content Business HANDSET CONTENT MVNO 26 SAMART i-mobile Plc. (SIM) Content Business: One of the leader content aggregators in Thailand HORO + SPORT + ENTERTAINMENT+ EDT (Eat / Drink / Travel) 27

15 SAMART i-mobile Plc. (SIM) Content Business: One of the leader content aggregators in Thailand Web Content Aggregator Mobile Application Content Owner Publishing Channel Media TV 28 SAMART i-mobile Plc. (SIM) Content Business: Example of our Content No.1 Website EDTguide.com Horoworld.com 29

16 SAMART i-mobile Plc. (SIM) Content Business: Example of our Content Web Guidebook Mobile App 3 SAMART i-mobile Plc. (SIM) Content Business: Example of our Content Free Copy 31

17 SAMART i-mobile Plc. (SIM) Content Business: Example of our Content EDT Privilege Management SAMART i-mobile Plc. (SIM) Content Business: Example of our Content The launch of Digital TV has opened the new era of opportunities to the content market 33

18 SAMART i-mobile Plc. (SIM) Content Business: Example of our Content Lifestyle Sim Card 34 SAMART i-mobile Plc. (SIM) Content Business: Revenue breakdown Content Revenue Breakdown Content Revenue (MB) , Horoscope 38.7% 42.6% 32.7% 27.3% 33.7% 32.6% Information (Travel, Lotto, News) 21.2% 21.4% 17.7% 23.7% 26.9% 3.7% Sport 22.1% 17.8% 22.1% 31.8% 21.2% 16.1% Game 8.3% 5.5% 8.7% 7.1% 5.4% 4.7% Other (DL, Vote) 9.7% 12.8% 18.7% 1.2% 12.8% 15.9% 1.% 1.% 1.% 1.% 1.% 1.% 35

19 SAMART i-mobile Plc. (SIM) MVNO Business HANDSET CONTENT MVNO 36 SAMART i-mobile Plc. (SIM) MVNO Business: The new source of recurring revenues MVNO ( Mobile Virtual Network Operator) = Provide cellular service without having our own network 4% Capacity Provided Services Share 46% of Service Fee Service Fee Customers / Reseller State-owned enterprise Owner of 2.1/ 2.3 GHz Investment in network installation & maintenance Strategic MVNO Acquire subscribers Marketing & Advertising CRM Service License Obtained License Type 1 (MVNO) from NBTC since 29 which allows the company to provide the cellular service without having their own network. New MVNO Contract Obtained a renewed MVNO contract with TOT which last long until 225 Being a strategic partner obtains at least 4% of the TOT total network s capacity Able to resell the capacity to other players in the market under the MVNO service platform 37

20 SAMART i-mobile Plc. (SIM) MVNO Business: Key Strategies Key Strategies 1. Acquisition 2. Distribution 3. Retention 1.1 Bundled with i-mobile 1.2 Segment SIM 2.1 Direct sales 2.2 Sales retail store 3.1 ARPU Generation 3.2 Customer retention 1.3 Partnership program 2.3 3GX Kiosk 3.3 BUG Synergy Target: 1.5 million active subscribers by 214 Number of Subscribers > 2,5, 1,5, 4, 38 SAMART i-mobile Plc. (SIM) MVNO Business: Business Direction Focus on Bundling Model with i-mobile Smart Phone Q1 Y14 9 Models / 545 k units IQ 1.2 IQ 5.7 IQ k 1 k 5 k Q2 - Q4 Y Million Units IQ k IQ X OCTO IQ X OKU 15 k 1 k IQ X OCHO IQ X KEN i-tab Fun Total Y14 ~ 2 Million Units 7 k 1 k 4 k 39

21 SAMART i-mobile Plc. (SIM) MVNO Business: Active Subscribers Active Subs & Top up Performance for 213 & 9M214 Subscribers Baht 7, 6, 5, 4, 3, 286, , , ,482 2, 276, ,52 164, ,61 141, , , ,439 17, , ,548 1, 88,67 95,72 67,384 85, ,516 78, ,81 671,95 68,613 59,37 661, , , ,21 589, ,76 434, , ,98 349, ,95 467, ,33 431,331 45, , ,64 374,73 345, , ,82 886,97 533, , ,11 98,34 911,9 66, ,74 593, , , , , , , ,673 1,, 9, 8, 591,95 7, 6, 5, 4, 3, 2, 1, 21,223 22,737 21,15 2,646 2,449 19,821 17,836 16,37 21,956 21,97 2,979 21,145 2,248 19,621 16,56 15,886 16,18 16,66 16,45 16,67 15,539 Jan'13 Feb'13 Mar'13 Apr'13 May'13 Jun'13 Jul'13 Aug'13 Sep'13 Oct'13 Nov'13 Dec'13 Jan'14 Feb'14 Mar'14 Apr'14 May'14 T otal subs T otal post-paid subs A verage daily top up (Baht) Jun'14 Jul'14 Aug'14 Sep'14 4 SAMART i-mobile Plc. (SIM) Financial Highlights Profitability Revenue Breakdown by Segment 16, 4% 16, 15,434 9.% 12, 14, 12, 1, 8, 6, 4, 2, 8.3% 7.8% 11,398 1,3 9,39 6.1% 8, % 7,2 7,42 3,244 3, % 2, % 1.7% 1.3% 1.2% % Q2142Q2143Q214 Revenue Profit NPM 8.% 7.% 6.% 5.% 4.% 3.% 2.% 1.%.% 8, 4, Baht % % Handset Content MVNO 169% 7% 93% Dividend Payout 75% 9% 91% 65% 11% 2% 14% 89% 84% 1% 15% 84% 51% 65% 59% 54% H214 2% 9% 89% 2% 16% 12% 8% 4% % * 1H 213: interim dividend 41

22 SAMART i-mobile Plc. (SIM) Capital Management Capital Structure Gearing Ratio (D/E) Times (x) 5, ,116 2,481 2,845 2,42 2,43 2,592 2,29 2,364 2,182 2,352 2,387 1,814 2,373 3,188 3, M M214 Cash Interest-bearing Debts Equity Interest-bearing Debts Composition Interest Coverage Ratio 5,526 Times (x) ,182 1% 3,116 2,845.9%.2% 99.1% 99.8% 2,352 2,387.4%.7% 99.6% 99.3% 1,814.8% 99.2% 2,373.5% 99.5%.1% 99.9% M214 Short-term loan Long-term loan M ICT Solutions 43

23 SAMART Telcoms Plc. (SAMTEL) Shareholding Structure and Trading Summary Shareholding Structure SAMART Trading Summary Total Number of Shares 618,, shares Current Share Price THB 17.1 Local Institutions, 13% Par Value THB 1. Current PER 12.94x SAMART Corp, 7% Others, 17% Market / Industry SET / Technology Sector PER 23.31x Sector ICT* Avg. Daily Trading Value (211) THB 41 Million Member of Index MSCI Small Cap Index SET1 Index SET3 High Dividend Index Current Market Cap THB 1.57 billion (USD 33 million) *ICT = Information Communications and Technology Note: Data as of August 8 th SAMART Telcoms Plc. (SAMTEL) We are the country s largest IT contractor Install and Maintenance IT System for every organization Set up trunked radio network for CAT and Department of Provincial Administration Largest IT Contractor in Thailand Install 3G Network for TOT Install, Operate and Maintenance check-in Suvarnabhumi Airport Install CCTV for Bangkok Metropolitan Administration The largest ERP system provider in Thailand 45

24 SAMART Telcoms Plc. (SAMTEL) We provides the full ranges of IT services & products Matching customers needs with products, include designing customized solution, and linking different subsystem together into a whole Supplier *Key Suppliers Client *Key Clients Public Sector State-Owned Enterprise Private Sector Bangkok Metropolitan Administration (BMA) Airport of Thailand Pcl. (AOT) Telephone of Thailand (TOT) Central Retail Corporation Limited Department of Land (DOL) Provincial Electricity Authority (PEA) PTT Public Company Limited (PTT) Bangkok Bank Public Company Limited (BBL) 46 SAMART Telcoms Plc. (SAMTEL) Project Categorized by Revenue Types of Revenue Project Based Revenue (Turnkey) Sales of equipment including designation and installation Length of time normally less than 2 yrs Cash inflow depends on percentage of completion (Unequal cash inflow in each period) Service Revenue (Recurring Revenue) Provide fully services (Design, Installation, Operation and Maintenance) Length of time normally more than 2 years A constant cash inflow every month Period 1 Period 2 Period 3 Period 4 Period N Period 1 Period 2 Period 3 Period 4 Period N Example of Turnkey Project TOT s 3G Network Installation Phase 1, total project value of THB 1,4 million IT System for Ministry of Justice, total project value of THB 1,131 million Automatic Meter Reading phase2 for PEA, total project value of THB 1,45 million Example of Recurring Project Enterprise Resource Planning (ERP) for PEA, provides THB 53.3 million per month SchoolNet for TOT, provides THB 38 million per month Common Use Terminal Equipment System for AOT, provide THB 35.7 million per month 47

25 SAMART Telcoms Plc. (SAMTEL) Leading ICT Company in Thailand Key Success Factors Solid relationships with key clients and suppliers Simple approach of introducing existing clients to new products and services and signing up new clients to existing products Ability to provide a one stop solution for customers from design, implementation to after sales support Large on the ground presence with over 1,1 staff and [5] engineers providing dedicate local support and execution Track record of completing projects on time and within budget >9% of projects in the past 3 years have been completed on time and within budget Any delays mainly due to external conditions such as government delays. Prevent project delay by closely monitor and coordinate with customers (progress report every 2 weeks), and informing customers suddenly, if delay happened. Track record of winning contracts >9% of projects in the past 3 years tendered for and awarded successfully to SAMTEL Able to continue winning government related contracts despite numerous changes in the government One of Leaders In The Industry Revenue (THB million) 12, 1,226 1,241 9,367 9,365 8,856 7,744 8, 6,23 5,726 5,382 4,535 4,579 4,525 4,188 4, 3,49 3,584 2,647 1,917 1,423 1, SAMTEL Loxley AIT Forth JTS Geographical Coverage 38 teleports country wide facilitating unrivalled nationwide implementation and maintenance service 4 on the ground Airport Operations Teams providing 24/7 support Largest ERP project in SE Asia with more than 16 Million customers and 4, SAP users 48 SAMART Telcoms Plc. (SAMTEL) Key Project Highlights CUTE (Common Use Terminal Equipment System) AIMS (Airport Information Management System) Installation Phase Project Owner: Project Value: Airport Authority of Thailand PCL (AOT) for Suvarnnabhumi International Airport Bt 2,133 million Project Duration: 5 years (29-213) Scope of work: Shared facility that allows the airlines staff accession to check-in, transfer and gate counter applications on a common use basis Project Owner: Project Value: Samtel s Portion: Airport Authority of Thailand PCL (AOT) for Suvarnnabhumi International Airport Bt 2,225 million Bt 775 million Project Duration: 2 years (23-25) Scope of work: Maintenance Phase Contract Value: Install AIMS infrastructure Bt 539 million (25% of installation value) Project Duration: 6 years (28-214) Scope of work: Operate and maintenance computer server and equipment Operate and maintenance AIMS network system 49

26 SAMART Telcoms Plc. (SAMTEL) Key Project Highlights SchoolNet Extension (ipstar( Internet) TOT s 3G Network Installation Phase 1 Project Owner: TOT Public Co, Ltd Total Project Value: Bt. 15,999.5 million SAMTEL s Portion: Bt 1,4 million Project Duration: 2. yrs. Project Details; Provide system integration and equipment Install 4,772 base stations nationwide, catering 7 million users Estimate Revenue Recognition; Project Owner: TOT Public Co, Ltd Project Value: Bt 2,292 million Project Duration: 6 months (Mar 211-Feb 216) Scope of work: Link ipstar to 1, secondary schools nationwide Provide voice & internet access 211 Rev. 5,687 MB 212 Rev. 2,712 MB 213 Rev. 1,629 MB 214 Rev. 372 MB 3G Related Potential Projects 3G Core MB / Project (signed) 3G Extension 375 MB / Project (signed) MA works for 3G Roll-out out Phase 1: 52 MB / Year (start 215) 5 SAMART Telcoms Plc. (SAMTEL) Key Project Highlights Automatic Meter Reading (AMR Phase I) Automatic Meter Reading (AMR Phase II) Project Owner: Provincial Electricity Authority of Thailand (PEA) Project Value: Bt 1,45 million Project Duration: 5 years ( ) Scope of work: Install and implement 5, units of wireless meter system Automatic Meter Reading Phase 1 MA Project Owner: Provincial Electricity Authority of Thailand (PEA) Project Value: Bt 889 million Project Duration: 5 years (27-212) Scope of work: Install and implement 3, units of wireless meter system Project Owner: Provincial Electricity Authority of Thailand (PEA) Project Value: Bt 399 million Project Duration: 3 years ( ) Scope of work: Maintenance Agreement for Automatic Meter Reading Phase 1 AMR I add units 162 MB / Project (signed) 51

27 SAMART Telcoms Plc. (SAMTEL) Potential Project in 214 CUTE II (Common Use Terminal Equipment System) APPS (Advance Passenger Processing System) Signed!! Project Owner: Airport Authority of Thailand PCL (AOT) Project Owner: Project Value: Project Duration: 5 years Signed: October 214 Scope of work: Airport Authority of Thailand PCL (AOT) Bt 2,5 million Shared facility that allows the airlines staff accession to check-in, transfer and gate counter applications on a common use basis at Suvarnnabhumi International Airport Project Value: Bt 7,8 million Samtel s Portion: Bt 3,4 million Project Duration: 5 years Bid: April 21, 214 Expected Sign: Scope of work: 1Q215 Process information checking of travelers in advance of their arrival into and departure out of the country 52 SAMART Telcoms Plc. (SAMTEL) The Catalyst: Healthy backlog & robust growth potential 3Q 214 Project Signed: Total value of THB 1,113 million (exc. CUTE 2,13 MB) Projects on hand: Backlog as end of 3Q 214 THB 5,65 million (exc. CUTE) 25, 214: Potential Projects APPS (AOT) 3, MB CUTE outsource 2,5 MB (Signed) 2, TOT 3G Phase I Potential Digital TV Trunk Radio/ 2, MB 1,6 MB 15, GIS Map (BMA) 1,4 Smartgrid Pattaya 1,4 MB 1, 2, (PEA) Cash Receipt system 1, MB 5, 4,98 7, 7,68 7,96 (RD) Land & Map Info II 1, MB E 214F Project Mega Project (DOL) Others 53

28 SAMART Telcoms Plc. (SAMTEL) Focus on Long Term Projects % Recurring Revenue 48% 42% 22% 35% 19% 29% 32% 33% 34% 15, Recurring Revenue Project-based Revenue 13, 12, 9, 6, 3, 11, 1,226 9,367 7,738 8,618 6,217 5,726 7,371 8,252 6,358 5,482 2,9 2,177 4,847 3,713 1,691 4,382 1,43 1,29 1,37 2,13 1,974 2, ,9 3,629 1, F 214F 215F SchoolNet CUTE PortalNet AMR Maintenance APPS 3G Maintenance Revenue Department RFID 54 SAMART Telcoms Plc. (SAMTEL) Financial Highlights Profitability Revenue Breakdown by Type of Customer 12, 16, 14.% 1, 4% 14, 12, 1, 8, 6, 4, 2, 11.5% 12.% 1.1% 1.% 1.7% 1.% 9.1% 1,226 9,367 8.% 7.7% 7,738 7.% 6,217 6.% 5, % 4.9% 4.% 2,9 3.8% 2,177 2,77 1,629 1,579 2.% % Q214 2Q214 3Q214 Revenue Profit NPM Remark: Thailand had a coup d etat in September 26 resulted in the limited projects released. 8, 6, 4, 2, Baht % 15% 7% 96% 13% 85% 93% 96% 87% Government Corporate Dividend Payout 55% 6% 55% 51% 51% 53% 54% 6% % 4% % % H214 * 1H 213: interim dividend 55

29 SAMART Telcoms Plc. (SAMTEL) Capital Management Capital Structure Gearing Ratio 6,575 5,859 Times (x) D/E LT D/E 4,242 4, ,144 2,235 1,684 1,723 1,389 1,815 1,274 1,356 1, ,177 3,35 2, M214 Cash Interest-bearing Debts Equity M214 Interest-bearing Debts Composition Interest Coverage Ratio Times (x) 8, 4, 8% 92% 3% 97% 2% 98% 1% 99% 14% 86% 16% 84% 1% 9% M214 Long-term loan Short-term loan 3% 97% M Contact Center Business 57

30 One to One Contacts Plc. (OTO) Trading Summary SAMART Trading Summary One to One Contact First day trade on 15 May 214 IPO Price THB 5.4 Total Number of Shares 28,, shares Current Share Price THB 7.15 Par Value THB 1. Current PER 22.17x Market / Industry MAI Sector PER 68.61x Member of Index - Current Market Cap THB 2. million (USD 63 million) Note: Data as of August 8 th One to One Contacts Plc. (OTO) Listed in May 214 At a Glance Customer Base Established in August 2. Registered Capital = THB 28 mm Paid-up Capital = THB 21 mm Offer the total customer management solutions with customized services. Number of seat = more than 2, seats Call handled in 213 = 28 million calls Service hour = 24 x 7 Owned CC sites = 3 sites Outsource service center = 4 5 centers Retail Others Gov. Customer Segment State -owned Enterprise Bank Alliance with Global Partners Research Insurance Airline 59

31 One to One Contacts Plc. (OTO) Offering Products and Services Aspect Cisco Turnkey (Products & Services) Customer Relationship Management (CRM) Knowledge Base Quality Monitoring Contact Center System Hosted Contact Center Cloud Contact Center Outsource (services) Customer Care Order Taking Tele-survey Consultant Solution Design Maintenance OTO is the market pioneer offer both total Turnkey Solutions and fully-integrated outsourced service. Outsourced service includes fully-integrated contact center outsourced service, CSR outsourced service, and facility outsourced service. OTO has its own staff training center to ensure the capability of its CSR personnel. 6 One to One Contacts Plc. (OTO) Revenues Analysis Sales and Services Revenues Services Revenues Breakdown MB 1, % 2.6% 3.5% 9.2% 1.4% 8.4% % 2.4% 8.1% % 66.6% 8.1% Sales Revenue (TK) Services Revenue (OS&MA) Fully Outsource Facility Outsource Service Representatiove Maintainance Service 61

32 One to One Contacts Plc. (OTO) Profitability Revenue Net Profit and Net Profit Margin MB 1, % 12.5% 11.8% 14% % 2.6% 2.4% % % % % Q214 2Q214 3Q214 Revenue Net Profit Net Profit Ma rgin 62 One to One Contacts Plc. (OTO) Capital Structure Debt and Equity Components Debt to Equity Ratio MB Liabilities Shareholder Equities Debt to Equity Ratio D/E ratio decreased significantly as a result of the loan repayment during As of 31 December 213, OTO has no loan and leasing so IBD/E ratio equal to zero. Therefore, OTO has ample room to gear up for future investment.

33 Non-listed Business 64 SAMART Corporation Plc. (SAMART) Business Structure Listed in ,7 mill shares (par THB 1/share) Market cap = Approx. THB 2.73 Billion Free float = 55.51% 7% 7% 7% NON-LISTED BUSINESSES Call center Related Services Utilities & Transportations Listed 7% 7% 1% Security solutions Air Traffic Mgt 1% TV/Satellite antenna manufacturer 1% Power plant 23 MW 9% Waste new airport 1% Utilities & Transportations 8% TEDA CO.,LTD. Remark: Market cap based on price of stocks as of 31 st March

34 Non-listed Business Utilities & Transportations Business 66 Non-listed Businesses Utilities & Transportations Business Group Air Traffic Management Electricity Generation Power Substation Contractor Transportations-related related Contractor Current Business Operation Manage nationwide air traffic service in Cambodia. Concession until 233 (with extension option). Manage and operate 23 MWe power plant in Cambodia. One of the leading contractors for power substation/ distribution & transmission lines. Key Clients: PEA/ MEA/ EGAT Contractor in transportationrelated works; for example, air traffic system, locomotive system etc. Potential Business Expand the air traffic and related businesses in Laos and Myanmar. Looking for the new opportunity in power generation in Thailand and Cambodia. Over Baht 1 billion in budget for building new power substation, distribution & transmission lines from PEA/ MEA/ EGAT in the next 5 years Expansion in country s infrastructure basic 67

35 Non-listed Businesses Utilities & Transportations: Cambodia Air Traffic Services Revenues Quarterly Flight Information No. of flight 25, 2, 15, 14,785 14,661 13,963 9% CAGR for the past 1 years 15,146 15,594 14,99 13,995 18,68 16,33 17,12 2,159 19,865 18,57 17,749 18,97 1 1, 5, Q1- Q2- Q3- Q4- Q1- Q2- Q3- Q4-1Q- 2Q- 3Q- 4Q- 1Q- 2Q- 3Q Q1- Q2- Q3- Q4- Q1- Q2- Q3- Q4-1Q- 2Q- 3Q- 4Q- 1Q- 2Q- 3Q- 214 Highlights Monopoly concession to manage nationwide air traffic under revenue sharing scheme (sharing 3% on over flight & 5% on landing) The concession duration is until year 233 with the extendable agreement (1 years) subject to further investment. Tariff collection from airlines (domestic / international / over flight); ETC. The fully integration of ASEAN Economic Community (AEC) in 215 widen the opportunity of SAMART Group to expand the air traffic and related businesses in Laos and Myanmar. 68 Non-listed Businesses Utilities & Transportations: Kampot Power Plant Revenues Highlight Q1- Q2- Q3- Q4- Q1- Q2- Q3- Q4- Q1- Q2- Q3- Q4- Q1- Q2- Q Client Profile: Kampot Cement The largest cement producer in Cambodia JV between Siam Cement Group (93%) and Khaou Chuly Group (7%), Cambodia's top construction and engineering firm Electricity generating supply to Kampot Cement Min. 16 MWe contracted capacity from 27 to 217 Upside potential with 23 MWe full capacity USD 6 million a year revenue guaranteed Cambodia needs huge infrastructure investment in the near future. Explore opportunity in alternative energy in Southeast Asia. 69

36 Non-listed Businesses Utilities & Transportations: SAMART U-Trans SAMART U-Trans Project: Air Traffic Management (Thailand Modernization CNS/ATM System) Owner: Value: Type: Duration: Aeronautical Radio of Thailand 1,629 MB Turnkey Project 2 years + 3 Years warranty Status: Contract signed on November 8, 213 Revenue Recognition Schedule Project Total Value 4Q/213 1Q/214 2Q/214 3Q/214 4Q/ TMCS 1,629 MB Non-listed Businesses Utilities & Transportations: SAMART U-Trans SAMART U-TRANSU Project: Owner: Value: Duration: Upgrade the Air Traffic Management System Aeronautical Radio of Thailand 465 MB (Turnkey Upgrade System) 45 days Status: Contract Signed on September 19, 214 Revenue Recognition Schedule; Project Total Value 2Q/15 3Q/15 4Q/15 1Q/16 Upgrade System 465 MB

37 Non-listed Businesses Utilities & Transportations: SAMART U-Trans SAMART U-Trans Project: Owner: Total Value: Duration: 3 Contracts to improve the ATM System in Myanmar Department of Civil Aviation of Republic of the Union of Myanmar 3,92,46 US Dollars 1-24 months Status: Contract Signed on September 214 Revenue Recognition Schedule; Million USD Project Total Value 1Q/15 2Q/15 3Q/15 4Q/15 Myanmar 3.92 M.USD Non-listed Businesses Utilities & Transportations: TEDA TEDA Group 1,14 o Established in 1975 o Acquired by SUT in 1Q/213 o Backlog (end of 3Q/14) = 1,895 MB Revenues Highlights o Potential Project value over 1, MB from EGAT, PEA and MEA F Remark: SUT acquired TEDA in 1Q/

38 Non-listed Business Related Business 74 Non-listed Businesses Related Business: Samart Engineering Revenues 664 Business Highlight Over 5 years experience in Thailand s TV broadcasting equipment. Pioneer in manufacture of TV antennas and satellite dishes Owned the fully-equipped factory in Pratumthani province M

39 Non-listed Businesses Related Business: Samart Engineering NEW BUSINESS OPPORTUNITY The transition to the digital terrestrial TV system (DTTV) 76 Non-listed Businesses Related Business: Samart Engineering The Digital switch will be the new catalyst 41 million televisions in Thailand 23 million households 1.8x x Average TV/ = household Source: AC Nielsen 41 million TVs in Thailand 23 million subsidy coupons by NBTC Coupon price 69 Baht Can be used to buy either digital TV Set-Top-Box or a TV set with digital TV tuner. 69 Baht 77

40 Non-listed Businesses Related Business: Samart Engineering Digital TV Set Top Box 78 Non-listed Businesses Related Business: Samart Engineering Indoor & Outdoor Antenna Outdoor Indoor On vehicle 79

41 Non-listed Businesses Related Business: Samart Engineering Our Strong Distribution Kiosk in i-mobile Shop & Dealers Modern Trade Direct Sales 8 Non-listed Businesses Related Business: Samart Engineering Our Strengths Expertise (> 5 years experience) Assured Product Quality Product Varieties User Friendly Strong Distribution Network 81

42 Non-listed Businesses Related Businesses: Vision and Security System Revenues Highlight Expert in providing various and different communication and security design of the integrated solution Solid growth over the last 3 years. Backlog as of Dec 212 4MB Customers Bangkok Metropolitan Authority Ministry of Defense Government Center F Potential Projects (214) Bangkok Metro Author.: Chiengmai Province: Yala 6 Amphurs: AOT: Value > 1,4 MB 82 SAMART Corporation Plc. (SAMART) Consolidated Performance: Strong Profit Growth Profitability Revenues Breakdown by Segment 25, 19,649 2, 15, 1, 5, - 17,35 16,286 16, % 1.6% 2.6% 3.8% 19, % 7.% 6.3% 22, % 6.3% 6.3% 17,97 4.2% 6,364 6,562 5, ,83 1, Q2142Q2143Q214 Revenues Profit NPM 6.% 5.% 4.% 3.% 2.% 1.%.% 24, 12% 18, 12% 16% 11% 12% 14% 15% 15% 42% 12, 17% 36% 5% 35% 45% 77% 6, 46% 68% 52% 5% 34% 41% Mobile Multimedia (SIM) ICT Solutions (SAMTEL) Non-listed Businesses Dividend Payout Baht 1 74% 8% 61%.8 53% 61% 61% 56% 54% 52% 6%.6 4% % % H214 * 1H 213: interim dividend 83

43 SAMART Corporation Plc. (SAMART) Group Capital Management Capital Structure Gearing Ratio 5,969 5,67 6,916 4,677 8,5 4,967 5,669 5,526 8,574 5,995 9,533 9,64 6,911 8,293 11,95 7,82 Times (x) D/E 1.3 L-T Debt/Equity , ,69 1,118 1,677 1, M M214 Cash Interest-bearing Debts Equity Interest-bearing Debts Composition Interest Coverage Ratio Times (x) 5,969 29% 71% 6,916 21% 79% 8,5 1% 9% 5,669 1% 9% 8,574 18% 83% 9,532 17% 83% 9,63 11% 89% 11,95 1% 99% M M214 Long-term loan Short-term loan 84 SAMART Corporation Plc. (SAMART) Group Recurring Revenues: Supporting the sustainable growth % Recurring to Total Revenues 17% 18% 24% 21% 28% 26% 1, 9,739 8, 7,248 2,367 6, 4, 2, - 5,747 2,171 4,835 4,253 1,992 3,836 1,448 1,861 2,83 3,2 1,296 1, , ,31 3, ,9 2,13 1,974 2,256 1,29 1, F 2,99 4, F SAMTEL SIM Non-listed Businesses 85

44 SAMART Corporation Plc. (SAMART) Net Capital Expenditure 2, ,171 1,57 1, , SAMTEL SIM Non-listed Businesses Key Investments SAMTEL AMR I (PEA) CUTE Suvarnnabhumi (AOT) CUTE Suvarnnabhumi / CUTE Makkasan (AOT) School Net II (TOT) / CUTE Chiang Mai (AOT) / AMR (PEA) Acquisition of Portal Net Co., Ltd (PEA) CUTE Phuket (AOT) SIM Content Business MVNO / Content Business Non-listed Businesses KPP (Cambodia) OTO (SSO) Acquired TEDA Group Outlook

45 Group Direction The mission possible Maintain healthy backlog of ICT project Maintain revenue stream by focusing on recurring revenue works NON-LISTED BUSINESSES Concentrate on high value /long term project Transform from trading business to service based business Maintain No. 1 MVNO Provider in Thailand Capture new business opportunity in utilities and transportation sectors Aim to be the market leader in handset business Leveraging MVNO & 3G + 4G opportunity to capture the business growth Strengthen fundamental by building the recurring business model Regional leading players with industry outperforming returns Strong synergy among all businesses Creative diverted portfolio resulting in the resilient to the external forces Consistent revenue stream Sustainable development and create long-term value Towards the sustainable growth Unlock the hidden value by listed in the stock exchange 88 Business Expansion Strategy To grow business profitably Expansion Objectives Non-listed Businesses Continually invest in sustainability business Provide a superior capabilities return to all stakeholders Acquisitions Strategic Alliances (JV) Allied with Business Partners Strategic Options Expand to the new business area with high growth potential Penetrate the markets with secured technology access and/or specialty market Allied with strong local and global players to share the competitive advantages Etc. Investment Criteria Low capital cost Continuing cost competitiveness Strong synergy with core business and consistency with SAMART model

46 SAMART GROUP: Targets 35, 31, 3, 25, 22,434 2, 15, 19,649 15,434 16,286 17,35 16,266 19,964 17,1 13, 1, 11,398 9,39 8,125 6,217 5,726 7,2 1,226 7,744 7,42 1,3 9,367 11, 5, 2,177 2, F 9 Disclaimer This presentation contains some information from other sources, that SAMART, SIM and SAMTEL do not make any representations regarding the use, validity, accuracy, or reliability of, or the results of the use of information, data but not limited to, all text, and images ( the Content ) on this presentation. Some content may contain forward looking statements, that based on management s view upon the information currently available to us. These statement are subject to certain risks and uncertainties that could cause the actual results materially differed from what had been previously stated. 91

47 Lists of Abbreviation Company / Organization Technical Term Abbreviation Company / Organization Abbreviation Technical Term AOT Airport of Thailand Public Company Limited AIMS Airport Information Management System BMA Bangkok Mass Transit Authority AMR Automatic Meter Reading CAT CAT Telecom Public Company Limited ARPU Average Revenue Per User CM City Chiang Mai City CUTE Common Use Terminal Equipment System DOL Department of Land ERP Enterprise Resource Planning EGAT Electricity Generating Authority of Thailand IR International Roaming IEAT Industrial Estate Authority of Thailand MVNO Mobile Virtual Network Operator MEA Metropolitan Electricity Authority POS/EFT Point of Sale/ Electronic Fund Transfer MOD Ministry of Defense SNS Social Networking Service MOL Ministry of Labour VAS Value Added Service MOI Ministry of Interior VSAT Very Small Aperture Terminal PEA Provincial Electricity Authority SRT State Railway of Thailand TOT TOT Public Company Limited 92