ATEN International
17
TWSE 6277 ATEN International 2021 Q2 Investor Conference September 7, 2021
Transcript of ATEN International
TWSE 6277
ATEN International
2021 Q2 Investor Conference
September 7, 2021
Financial Performance
Consolidated Statements of Comprehensive Income – 2Q21 (YoY)
Note : Taiwan Consolidated Basis 3
In NT million
Amount % Amount % Amount %
Net Sales 1,221 100.0 1,083 100.0 138 13
Gross Profit 711 58.3 649 59.9 63 10
Operating Expenses 532 43.5 593 54.8 -62 -10
Sales Expenses 295 24.2 305 28.2 -10 -3
Admin. Expenses 119 9.8 149 13.7 -30 -20
RD Expenses 117 9.6 139 12.8 -22 -16
Operating Profit 180 14.7 56 5.1 124 223
Non-Operating Income and Expenses -2 -0.1 875 80.9 -877 -100
Net Income before Tax 178 14.6 931 86.0 -753 -81
Tax 45 3.7 20 1.9 25 122
Net Income 133 10.9 911 84.1 -778 -85
EPS(NT$) (After Tax) 1.10 7.62
2Q21 2Q20 YoY
Consolidated Statements of Comprehensive Income – 2Q21 (YoY)
Note : Taiwan Consolidated Basis 4
In NT Million 2Q20
Disposal
Effect
Amount % Amount % Amount % Amount
Net Sales 1,221 100.0 1,083 100.0 138 13
Gross Profit 711 58.3 656 60.6 55 8 -7
Operating Expenses 532 43.5 510 47.1 21 4 83
Sales Expenses 295 24.2 286 26.5 9 3 19
Admin. Expenses 119 9.8 116 10.7 3 3 33
RD Expenses 117 9.6 108 10.0 9 9 31
Operating Profit 180 14.7 146 13.5 34 23 -90
Non-Operating Income and Expenses -2 -0.1 8 0.7 -9 -121 867
Net Income before Tax 178 14.6 154 14.2 24 16 777
Tax 45 3.7 28 2.6 17 62 -8
Net Income 133 10.9 126 11.6 7 6 785
EPS(NT$) (After Tax) 1.10 1.05 6.57
2Q21 2Q20
(Without Disposal Effect)
YoY
Consolidated Statements of Comprehensive Income – Jan.~ Jun. 2021 (YoY)
Note : Taiwan Consolidated Basis 5
In NT million
Amount % Amount % Amount %
Net Sales 2,452 100.0 2,236 100.0 216 10
Gross Profit 1,438 58.6 1,347 60.2 91 7
Operating Expenses 1,059 43.2 1,159 51.9 -100 -9
Sales Expenses 580 23.6 614 27.4 -34 -6
Admin. Expenses 232 9.4 274 12.3 -42 -15
RD Expenses 248 10.1 272 12.2 -24 -9
Operating Profit 379 15.4 187 8.4 192 102
Non-Operating Income and Expenses 28 1.1 1,080 48.3 -1052 -97
Net Income before Tax 406 16.6 1,267 56.7 -861 -68
Tax 101 4.1 56 2.5 45 81
Net Income 306 12.5 1,212 54.2 -906 -75
EPS(NT$) (After Tax) 2.52 10.15
Jan. ~ Jun. '21 Jan. ~ Jun. '20 YoY
Consolidated Statements of Comprehensive Income – Jan.~ Jun. 2021 (YoY)
Note : Taiwan Consolidated Basis 6
In NT Million H120
Disposal
Effect
Amount % Amount % Amount % Amount
Net Sales 2,452 100.0 2,236 100.0 216 10
Gross Profit 1,438 58.6 1,356 60.6 82 6 -10
Operating Expenses 1,059 43.2 1,050 47.0 9 1 109
Sales Expenses 580 23.6 588 26.3 -8 -1 25
Admin. Expenses 232 9.4 231 10.3 1 0 43
RD Expenses 248 10.1 231 10.3 17 7 41
Operating Profit 379 15.4 306 13.7 73 24 -119
Non-Operating Income and Expenses 28 1.1 18 0.8 10 53 1,062
Net Income before Tax 406 16.6 324 14.5 82 25 943
Tax 101 4.1 67 3.0 34 50 -11
Net Income 306 12.5 257 11.5 49 19 954
EPS(NT$) (After Tax) 2.52 2.16 7.99
Jan. ~ Jun. '21 Jan. ~ Jun. '20
(Without Disposal Effect)
YoY
Balance Sheets – Jun. 2021 YoY
Note : Taiwan Consolidated Basis 7
In NT MillionAmount % Amount % Amount %
Cash and Financial Assets 2,843 38 3,693 46 -850 -23
Accounts Receivable 731 10 577 7 154 27
Inventory 997 13 1,068 13 -71 -7
Other Current Assets 127 2 126 2 1 1
Total Current Assets 4,698 62 5,464 68 -766 -14
Property, Plant, and Equipment 2,292 30 2,039 25 253 12
Other Non-Current Assets 551 7 538 7 13 2
Total Non-Current Assets 2,844 38 2,578 32 266 10
Total Assets 7,542 100 8,042 100 -500 -6
Short-term Borrowings 511 7 756 9 -245 -32
Accounts Payable 392 5 375 5 17 5
Other Accounts Payable 575 8 618 8 -43 -7
Other Current Liabilities 746 10 889 11 -144 -16
Total Current Liabilities 2,223 29 2,638 33 -415 -16
Long-term Borrowings 39 1 57 1 -18 -31
Other Non-Current Liabilities 548 7 506 6 42 8
Total Non-Current Liabilities 587 8 563 7 24 4
Total Liabilities 2,810 37 3,201 40 -391 -12
Total Equity 4,732 63 4,841 60 -109 -2
Receivable turnover days 56 6.54 49 7.42Inventory turnover days 181 2.02 211 1.73Payable turnover days 67 5.45 78 4.70
Jun. ’21 Jun. ‘20 YoY
Cash Flow – From Jan.- Jun. 2021 YoY
In NT Million Jan.~ Jun. ’21 Jan.~ Jun. ‘20 Cash and cash equivalents at beginning of period 942 742 From Operating 495 -967
Net Profit before Tax 406 1,267 Non cash adjustments to reconcile profit and loss 79 -979 Financial assets at fair value through profit or loss, mandatorily measured 19 -1,295 Inventory 17 -83 Account Receivable 37 51 Account Payable 39 -7 Other Operation Sources / (Uses) -102 79
From Investing -167 1,026 Disposal of Investment income under equity method 0 206 Disposal of financial assets designated at fair value through profit or loss 0 918 Property, plant and equipment -164 -91 Other Investing Sources / (Uses) -3 -7
From Financing -307 7 Short-Term and Long-Term Borrowings -249 71 Other Financing Sources / (Uses) -58 -64
Effect of exchange rate changes on cash and cash equivalents -39 -6 Cash and cash equivalents at end of period 923 802 Free Cash Flow 328 59
Note : Taiwan
Consolidated
Basis
8
Without Trading
Financial Assets
+476
Without Trading
Financial Assets
+328
Including Trading
Financial Assets
-148
Including Trading
Financial Assets
-269
Sales by Product Categories YoY
292 353 132 146 224 232
510 553
711 687
861 939
325 384
0
500
1000
1500
2000
2500
3000
3500
2020 01-08 2021 01-08 NT Million
IT架構管理解決方案
-Enterprise
IT架構管理解決方案
-SOHO/SMB
IT架構管理解決方案
-Enterprise
IT
Infrastructur
e Access
Management
-Enterprise
(Over-IP)
11.7%
IT
Infrastructure
Access
Management
-Enterprise
(Non Over-IP)
28.5%
IT
Infrastructure
Access
Management
-SMB 20.8%
Pro-AV 16.8%
USB 7.0%
Accessories
4.4%
Others 10.7%
2021 01-08
9
Total YoY 7.8%
YoY 18.2%
YoY -3.5%
YoY 8.3%
YoY 3.8% YoY 10.7%
YoY 21.1%
YoY 9.1%
Cabinet business
accounted for 4.3%
of total revenue
Sales by Product Region YoY
674 721
784 815
1,543 1,694
0
500
1000
1500
2000
2500
3000
3500
2020 01-08 2021 01-08
Asia 51%
America 25%
Europe 22%
2021 01-08 NT Million
10
Total YoY 7.8%
YoY 9.8%
YoY 3.9%
YoY 6.9%
Dividend Policy
6.60 6.08
13.19
6.05
12.55
2.52 5.8 5.5
8.0
5.3 5.5
2.3
2016 2017 2018 2019 2020 2021H1
EPS
Cash Dividend
90% payout ratio from operational
profit remains unchanged
11
Q2 2.5
Q4 3.0
ATEN Smart
Manufacturing Solution
• Provide remote control
and monitoring
management solutions
and decrease the
necessity of entry into
the clean room
• Improve production
efficiency and increase
man-machine ratio and
utilization rate.
Cabinet Product Line
• Provide cabinet, KVM,
UPS, and PDU products
in the data with total
solution.
• One-time shopping
experience to fulfill
customers’ demand.
Thailand Manufacturing
Factory
• Lower the tariff and
shipment cost.
• Compensate the
shortfall of product
capacity at China
factory.
• Scatter the production
risk.
Operational Highlight
12
Q&A
We have made forward-looking statements in the presentation. Our forward-looking statements contain information regarding, among other things, our financial conditions, future expansion
plans and business strategies. We have based these forward-looking statements on our current expectations and projections about future events. Although we believe that these
expectations and projections are reasonable, such forward-looking statements are inherently subject to risks, uncertainties, and assumptions about us.
We undertake no obligation to publicly update or revise any forward-looking statements whether as a result of new information, future events or otherwise. In light of these risk,
uncertainties and assumptions, the forward-looking events in the conference might not occur and our actual results could differ materially from those anticipated in these forward-looking
statements.
13
Appendix
Sales by Product Categories YoY
121 135 43 53 68 87 151
210
261
242
330
362
108
131
0
325
650
975
1300
2020 Q2 2021 Q2 NT Million
IT架構管理解決方案
-Enterprise
IT架構管理解決方案
-SOHO/SMB
IT架構管理解決方案
-Enterprise
IT
Infrastructur
e Access
Management
-Enterprise
(Over-IP)
10.7%
IT
Infrastructure
Access
Management
-Enterprise
(Non Over-IP)
29.7%
IT
Infrastructure
Access
Management
-SMB 19.8%
Pro-AV 17.2%
USB 7.2%
Accessories
4.3%
Others 11.1%
2021 Q2
16
Total YoY 12.8%
YoY 21.2%
YoY -7.4%
YoY 38.9%
YoY 27.9%
YoY 22.8%
YoY 11.9%
YoY 9.9%
Cabinet business
accounted for 4.7%
of total revenue
Sales by Product Region YoY
213 265
268 308
572
620
0
325
650
975
1300
2020 Q2 2021 Q2
Asia 51%
America 25%
Europe 22%
2021 Q2 NT Million
17
Total YoY 12.8%
YoY 8.5%
YoY 14.9%
YoY 24.4%
