1

Somboon Advance Technology PCL

Opportunity Day

1Q2021June 10, 2021

Automotive Industry Overview

2

Tractor Industry Overview

Sale and Financial Highlights

2021 Capex and Guidance

Company Overview

3

Company Overview

4

SAT

Paid up 425 million Baht

ICP SBM BSKSFT

Tsuchiyoshi Somboon

Coated Sand Yamada Somboon

Nisshinbo Somboon Automotive

Somboon Somic Manufacturing

21.25%

20.00%

2.90%

1.80%

1. Somboon Holding Co.,Ltd. & Kitaphanich

Family (44%)

2. Others (56%)

As of March 4, 2021

99.99% 99.99% 99.99% 99.99%

MubeaSomboon

Automotive(MSA)

50.00%

Nippon Kikai Engineering (NKE)

50.00%

SomboonSiasun Tech

(SST)

51.00%

5

Samutprakan

(Head Office)

Rayong

• Thailand Sustainability Investment 2019-2020

(THIS) from SET

• SET Award of Honor -Excellence in Investor

Relations 2017-2020 from SET

• The Best Quality Award : Gold Award (Truck

Business) from Hino - SAT

• The Best Operation Award : Gold Award (Truck

Business) from Hino – SBM

• Overall Award : Silver Award from Hino –SAT

• THCC Safety Activity from Hino : Rank A –SFT

• QCD Awards : silver Award from Kubota - SAT

6

Robot &

Automation (<1%)Automotive Industry(~70-75%) Tractor Industry (~20-25%)

Customers

SAT/SFT

Process: Forging/ Machining

ICP/SBM

Process: Casting/ Machining

MSA

Process: Bending & Coiling

Product: Axle Shaft, Hub

Product: Disc & Drum Brake,

Exhaust Manifold, Fly Wheel, Bracket

Product: Spring Products

Intelligent Logistics

SMART Factory

Robot

NKE/ SST

v v

SAT SFT MSA

SBM/ICP

Bar Hinge Torsion

Engine part related 3-5%

7

Tractor Combine Harvester Implement

Axle Shaft

Axle Assy Rear

Case Rear Axle

Case Front Axle

Rear Diff Assy

Holder Bearing

Case Bevel Gear

Differential Assy

Frame Tension

Roller 275

Case Drive

Rotary Blade

Assy Cutting Blade8

9

Automotive Industry Overview

273

96

216

277288

84

35

64

94 86

89

19

70

83 829

3

7

10 9

0

50

100

150

200

250

300

350

400

450

500

1Q20 2Q20 3Q20 4Q20 1Q21

Pickup Car Passenger Car Eco Car Commercial

10

88

103

8692 94

102

25

33

3630

2828

33

33

18 23 3028

3

4

33

3

4

0

20

40

60

80

100

120

140

160

180

200

Oct-20 Nov-20 Dec-20 Jan-21 Feb-21 Mar-21

Unit: Thousand cars

• QoQ ( 0%) : Changes in Pick up, Passenger and Eco car are +4%, -8% and -2%

• YoY (+3%) : Changes in Pickup, Passenger and Eco car are +6%, +3% and -8%

11

106

28

111

141

104

38

21

44

59

42

47

8

35

57

40

8

3

7

10

9

0

50

100

150

200

250

300

1Q20 2Q20 3Q20 4Q20 1Q21

Pickup Car Passenger Car Eco Car Commercial

42

5147

37 3532

18

18 23

13 14 15

19

23 16

10 15 15

3

4

3

3

3 4

0

20

40

60

80

100

120

Oct-20 Nov-20 Dec-20 Jan-21 Feb-21 Mar-21

Unit: Thousand cars

• QoQ (-27%) : Changes in Pickup, Passenger and Eco car are -26%, -28% and -31%

• YoY (-2%) : Changes in Pickup, Passenger and Eco car are -2%, +12% and -16%

12

167

68

104

137

185

46

14

20

35

44

41

11

35

26

42

0

50

100

150

200

250

300

1Q20 2Q20 3Q20 4Q20 1Q21

Pickup Car Passenger Car Eco Car Commercial

45

52

39

5659

70

8

15

13

1714

13

1

10

2

13 16

14

0

20

40

60

80

100

120

Oct-20 Nov-20 Dec-20 Jan-21 Feb-21 Mar-21

Unit: Thousand cars

• QoQ (+37%) : Changes in Pickup, Passenger and Eco car are +35%, +24% and +63%

• YoY (+7%) : Changes in Pickup, Passenger and Eco car are +11%, -4% and +2%

13

• QoQ : Car export increased +20% mainly from export to Europe, Central & South America and

Australia.

• YoY : Car export increased +3% mainly from export to Asia, Australia and Europe.

• Thailand top 3 car export market are Asia, Australia and Middle East.

70 75 89 87 84 74 86 75 64

2860

82 84

101 8889 79 89

83 72

5864

30

57

63 73

2824

2828

33

2639

35 40

23

23

2631

3627

3030

37

3425

21 27

7

12

15

28

28

21

2619

24

1318

1724

6

5

6

19

24

21

2431

27

22 15

1921

4

11

18

16

8

11

108

6

8 7

910

2

4

5

8

0

50

100

150

200

250

300

350

1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21

Africa

North America

Central & South

America

Europe

Middle East

Australia

Asia

Unit: Thousand cars

0.5

0.3

0.1

0.2

0.3

0.3

0.4

0.5

0.6

0.7

0.7

0.6

0.6

0.5

0.8

0.8

1.4

1.3

0.8

0.7

0.8

0.9

1.0

2

0.9

8

0.7

2

0.0

0.0

0.1

0.1

0.2

0.2

0.2

0.2

0.3

0.4

0.5

0.7

0.8

0.5

0.9

0.7

1.0

1.1

1.1

1.2

1.2

1.1

1.1

4

1.0

4

0.7

0

0.6

0.4

0.2

0.3 0.4 0.5

0.6

0.8

0.9

1.1 1.2

1.3 1.4

1.0

1.6

1.5

2.5 2.5

1.9 1.9 1.9 2.0

2.2

2.01

1.43

-

0.5

1.0

1.5

2.0

2.5

3.0

Export

Domestic

Total Production

Covid-19 Pandemic

14

Asian Financial Crisis

Global Financial Crisis

Thailand Floods & Tsunami in Japan

CAGR =1%CAGR =9%

First car scheme

1.25

1.18

0.86

0.49

0.44

0.28

0.39

0.35

0.26

0.0 0.5 1.0 1.5 2.0

2018

2019

2020

Pickup&PPV Passenger Eco CV

Un

it : M

illio

n c

ars

Unit : Million cars

(60%) (18%)(20%)

15

Tractor Industry Overview

1517

15 16

21

18 17 1715

9

1819

23

33 5 3

1

2 42

2

2

5

5

4

1819

2019

23

2021

19

18

11

22

24

27

0

5

10

15

20

25

30

1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21

Tractor Combine Total

16

Source : Customer

Unit: in Thousand

• QoQ : Increased +11%

• YoY : Increased +54%

2117

30

52 55 5954

4453

63

74

61

01

3

56

712

15

14

14

10

14

21 18

33

57

61

6566

59

66

77

83

75

0

10

20

30

40

50

60

70

80

90

100

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021F

Tractor Combine Total

Drought

17

Unit: in Thousand

Flood

Drought

Source : SBG’s Forecast

Covid-19 Pandemic

1818

Sale and Financial Highlights

4%

26%

24%

16%

30%

4%

20%

23%

23%

30%

Hub/Big Hub

Disc Brake &

Drum Brake

Casting/Machining

(Automotive)

Casting/Machining

(non- Auto)

Axle Shaft

20202021

12%

24%

72%

13%

23%

75%

19

Market ShareSales Contribution

20

15%

8%

23%

16%

38%

18%

8%

21%

23%

30%

Others*

Isuzu

Toyota/Hino

Kubota

Mitsubishi

2021 2020

Note : *Other : Other customer and REM customer.

2020 1Q2020 4Q2020 1Q2021

Production line Capacity

pcs /month

Utilization

(%)

Capacity

pcs/month

Utilization(%)

Capacity

pcs /month

Utilization

(%)

Capacity

pcs /month

Utilization

(%)

Axle Shaft 365,500 51% 365,500 61% 365,500 67% 365,500 74%

Machining (Auto) 437,000 42% 437,000 63% 437,000 50% 420,000 70%

Machining (non-Auto)

229,000 65% 229,000 55% 229,000 85% 229,000 95%

General Forging 280,500 35% 280,500 34% 280,500 46% 280,500 53%

Total (SBG) 50% 58% 64% 76%

21

Note : 1. Capacity is calculated based on 500 hours per month (20 hours x 25 days) except Axle Shaft & General Forging: 550 hours per month

22

433 330 391 340 335-41 231 367 466

1,7691,592 1,604 1,547 1,496

795

1,2981,402

1,741

2,2021,922 1,995 1,887 1,831

754

1,5291,769

2,207

1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21

Gross Profit COGs SalesUnit: Million Baht

367 466

1,4021,741

20.7%21.1%

4Q20 1Q21

Gross Profit COGs %GP

• Although car production in Thailand unchanged, sale

revenue increased by 24.8% mainly from customer mix,

increase in the agricultural machinery industry and direct

export order.

• GP amount increased by 27% mainly from increase in sale

revenue.

Sale 24.8%

GP (amount) 27.0%

%GP 0.4%335 466

1,4961,741

18.3%

21.1%

1Q20 1Q21

Gross Profit COGs %GP

• Sale increased by 20.5% mainly from increase in the

automotive industry, agricultural machinery industry and

direct export order.

• GP amount increased by 29.1% mainly from increase in sale

revenue, production volume and cost reduction program

Sale 20.5%

GP (amount) 29.1%

%GP 2.8%

23

287

170227 211 193

-143

81

240321

13.0%

8.8%11.4% 11.2% 10.5%

-19.0%

5.3%

13.6% 14.5%

-25%

-20%

-15%

-10%

-5%

0%

5%

10%

15%

20%

-200

-100

0

100

200

300

400

1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21

Net Profit % Net ProfitUnit: Million Baht

240

99 26 28 1 21

321

-

50

100

150

200

250

300

350

400

4Q20 Net

Profit

Gross

Margin

SG&A Others Interest

expense

Tax 1Q21 Net

Profit

193

131 36 41 2 10 321

-

50

100

150

200

250

300

350

1Q20

Net Profit

Gross

Margin

SG&A Others Interest

expense

Tax 1Q21

Net Profit

24

0.31 0.30

0.34

0.29 0.28

0.20

0.250.26

0.30

0

0

0

0

0

0

0

0

0

1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21

Unit: time

478

354413 407 377

3

250

410

503

21.7%

18.4%

20.7%21.6%

20.6%

0.3%

16.4%

23.2%22.8%

0

100

200

300

400

500

1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21

EBITDA % EBITDA

Unit: Million Baht

1.4

8

1.4

8

1.9

7 2.1

2

1.0

5

2.2

7

1.1

9

2.4

0

2.0

0

1.5

3

1.5

1

1.4

3

1.9

1

2.1

5

2.1

1

0.8

7

0.4

5

0.5

0 0.7

0

0.3

0

0.0

0

0.9

0

0.4

5

0.9

7

0.7

5

0.6

0

0.6

0

0.6

0

0.9

0

1.3

5

1.3

5

0.6

0

30%34%

36%

14%

0%

40%38%

40%38%39% 40%

42%

47%

63%64%

69%

0%

10%

20%

30%

40%

50%

60%

70%

80%

0.00

0.50

1.00

1.50

2.00

2.50

3.00

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

EPS DPS %Dividend Payout

25

Unit: Baht per Share Unit: % Payout

Note: Dividend policy at a minimum rate of 30% of net profit after tax and legal reserve

• Y2020’s dividend payment is 0.60 Baht per share:

- Interim dividend of 0.12 Baht per share was paid on September 3, 2020

- The remaining dividend of 0.48 Baht per share was paid on May 7, 2021

2626

2021 Capex and Guidance

Support approved

new sale order,

4%

Maintain

Operation /

Overhaul, 66%

Cost

Improvement,

11%

Quality

improvement, 2%

Safety/Enviroment

/Welfare, 6%

Others, 11%

400 Million Baht

27

Action for COVID-19

• Ensure healthy lives and well-beings of Somboon Group’s employees

and their families.

• Ensure sufficient liquidity during COVID-19 pandemic and economic

crisis: Sufficient cash level

Industry

• Monitor closely on both export market and domestic market of

Thailand car production

Strategy

• Strengthen core competency and competiveness: cost leadership,

efficiency and technology improvement

• Diversify to related industry: Robot and Automation industry and

Agricultural Machinery Industry

28

29

Unit : Million Baht 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 QoQ YoY Y2019 Y2020 YoY

Sales 2,202 1,922 1,995 1,887 1,831 754 1,529 1,769 2,207 24.8% 20.5% 8,006 5,883 -26.5%

Total Revenue 2,235 1,955 2,027 1,982 1,864 781 1,576 1,806 2,248 24.5% 20.6% 8,199 6,027 -26.5%

Gross Margin 433 330 391 340 335 41- 231 367 466 27.0% 39.1% 1,494 892 -40.3%

SG&A 184 181 183 188 161 120 163 171 197 15.2% 22.4% 736 615 -16.4%

FOREX Gain (Loss) 0 -3 1 2 -1 3 -1 -2 6 484.8% 1080.6% 0 0 -85.0%

Interest Expense 3 3 2 3 3 2 1 2 1 -35.1% -54.0% 11 8 -27.3%

Net Profit 287 170 227 211 193 143- 81 240 321 33.8% 66.3% 895 371 -58.5%

Net Profit excluding fx 287 173 226 209 194 146- 82 242 315 30.4% 62.6% 895 371 -58.5%

EBITDA 478 354 413 407 377 3 250 410 503 22.6% 33.3% 1,652 1,039 -37.1%

Cash Flow from Operating 359 350 372 216 439 86 152 351 411 17.1% -6.4% 1,297 1,028 -20.7%

Depreciation 161 161 160 161 156 155 154 155 146 -5.8% -6.4% 643 620 -3.6%

CAPEX 52 96 84 119 68 119 109 123 82 -33.3% 20.6% 351 419 19.4%

Effective Tax Rate 9% 11% 10% 12% 11% 7% 14% 5% 10% 4.5% -1.8% 10% 11% 0.8%

Total Assets 9,401 8,984 9,430 9,311 9,480 8,188 8,553 8,955 9,637 7.6% 1.7% 9,311 8,955 -3.8%

Interest Bearing Debt 281 252 372 322 194 180 144 155 157 1.3% -19.1% 322 155 -51.9%

Total Liabilities 2,228 2,065 2,391 2,108 2,086 1,367 1,696 1,865 2,209 18.4% 5.9% 2,108 1,865 -11.5%

Equity 7,174 6,919 7,038 7,203 7,394 6,821 6,856 7,091 7,428 4.8% 0.5% 7,203 7,091 -1.6%

Key Financial Ratios 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 QoQ YoY Y2019 Y2020 YoY

%GP 19.7% 17.2% 19.6% 18.0% 18.3% -5.4% 15.1% 20.7% 21.1% 0.4% 2.8% 18.7% 15.2% -3.5%

%SG&A 8.4% 9.4% 9.2% 10.0% 8.8% 15.9% 10.7% 9.7% 8.9% -0.7% 0.1% 9.2% 10.5% 1.3%

%NP 13.0% 8.8% 11.4% 11.2% 10.5% -19.0% 5.3% 13.6% 14.5% 1.0% 4.0% 11.2% 6.3% -4.9%

%NP excluding fx 13.0% 9.0% 11.3% 11.1% 10.6% -19.4% 5.4% 13.7% 14.3% 0.6% 3.7% 10.9% 6.2% -4.8%

%EBITDA 21.7% 18.4% 20.7% 21.6% 20.6% 0.3% 16.4% 23.2% 22.8% -0.4% 2.2% 20.6% 17.7% -3.0%

%ROA 12.4% 7.7% 9.9% 9.4% 8.1% -6.7% 3.6% 10.5% 13.4% 2.9% 5.3% 9.6% 4.1% -5.5%

EBITDA/CAPEX 9.20 3.68 4.92 3.42 5.54 0.02 2.29 3.33 6.13 2.80 0.58 4.71 2.48 -2.2

%ROE 16.6% 10.1% 13.3% 12.2% 10.5% -8.3% 4.7% 13.4% 17.3% 3.9% 6.8% 12.4% 5.2% -7.2%

%ROIC 15.6% 9.8% 12.7% 11.8% 10.3% -8.0% 4.6% 13.1% 17.0% 3.9% 6.7% 9.8% 3.6% -6.2%

Interest bearing Debt/Equity 0.04 0.04 0.05 0.04 0.03 0.03 0.02 0.02 0.02 0.00 -0.01 0.04 0.02 -0.02

D/E 0.31 0.30 0.34 0.29 0.28 0.20 0.25 0.26 0.30 0.03 0.02 0.29 0.26 -0.03

EPS (Baht) 0.68 0.40 0.53 0.50 0.45 0.34- 0.19 0.56 0.76 33.8% 66.3% 2.12 0.87 -58.7%

BVPS (Baht) 16.88 16.28 16.56 16.95 17.40 16.05 16.13 16.68 17.48 4.8% 0.5% 16.95 16.68 -1.6%

30

Somboon Advance Technology Public Company Limited – Investor Relations Department

Tel. +66 2 080 8197, Fax. +66 2 080 8198 , Email : ir@somboon.co.th, Website : http://www.satpcl.co.th