1

Strive for sustainable growth in automotive industry through advanced technology and partnership

Opportunity Day

1Q2020 June 4, 2020

Automotive Industry Overview

2

Tractor Industry Overview

Sale Performance

Financial Highlights

Company Overview

3

Company Overview

4

SAT

Paid up 425 million Baht

ICP SBM BSK SFT

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. 29.99%

2. Thai NVDR 12.87%

3. Nortrust Nominees Ltd-Cl Ac. 6.10%

4. BBHISL NOMINEES LIMITED 4.42%

5. NORTRUST NOMINEES LIMITED- 1.75%

THE NORTHERN TRUST COMPANY RE 6. Others 44.87%

As of March 5, 2020

99.99% 99.99% 99.99% 99.99%

Note: Somboon Holding & Kitaphanich Family owns approximately 44%

Mubea Somboon

Automotive

50.00%

Nippon Kikai Engineering

51.00%

5

Process: Forging/ Machining

Product: Axle Shaft,

Hub

Process: Casting/ Machining

Product: Disc & Drum Brake,

Exhaust Manifold,

Fly Wheel, Bracket, Hub

Process : Bending & Coiling Product: Spring Product

Customers :

Amata Industrial Estate

4 Plants

+ MSA 1Plant

Samutprakarn

Rayong

Eastern Seaboard

Industrial Estate

1 Plant

Bangna

Head Office

3 Plants

+MSA 1 Plant

6

7

8

Automotive Industry Overview

258

251

249

219

200

304

254

257

222 254

561

504

507

441

454

0

100

200

300

400

500

600

1Q19 2Q19 3Q19 4Q19 1Q20

Domestic Export Total

9

• QoQ : Car production increased +3% as export increased +14% but domestic declined -9%

• YoY : Car production declined -19% as export declined -16% and domestic declined -23%

69

82

68

71

67

61

84

72

67

85

83

85

153

154

134

156

151

147

0

20

40

60

80

100

120

140

160

180

Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20

Unit: Thousand cars

328

294 296

259 273

119

110 117

98 84

104

91 83

74 89

10

9 12

9 9

0

100

200

300

400

500

600

1Q19 2Q19 3Q19 4Q19 1Q20

Pickup Car Passenger Car Eco Car Commercial

10

• QoQ (+3%) : Changes in Pick up, Passenger and Eco car are +5%, -15% and +19%

• YoY (-19%) : Changes in Pickup, Passenger and Eco car are -17%, -30% and -14%

89 91

80

95 89 89

35 34

29

28 27 28

26 26

23

31 32

27

3 3

3

3 3

3

0

20

40

60

80

100

120

140

160

180

Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20

Unit: Thousand cars

11

• QoQ (-9%) : Changes in Pickup, Passenger and Eco car are -1%, -36% and +12%

• YoY (-23%): Changes in Pickup, Passenger and Eco car are -20%, -41% and -7%

132 126 122

107 106

64 61 70

60

38

51 54 46

42

47

10 9 12

9

8

0

50

100

150

200

250

300

1Q19 2Q19 3Q19 4Q19 1Q20

Pickup Car Passenger Car Eco Car Commercial

31

41

36 38

36 33

22

20

18 13

11 14

13

18

11 18

17

12

3

3

3 3

3

3

0

10

20

30

40

50

60

70

80

90

Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20

Unit: Thousand cars

12

• QoQ (+14%) : Changes in Pickup, Passenger and Eco car are +10%, +20% and +29%

• YoY (-16%) : Changes in Pickup, Passenger and Eco car are -15%, -17% and -21%

196

168 173

152 167

55

49 47

38

46

53

37 37

32

41

0

50

100

150

200

250

300

350

1Q19 2Q19 3Q19 4Q19 1Q20

Pickup Car Passenger Car Eco Car Commercial

58

50

44

57 53

56

14

14

11

15 15

15

12

8

11

13 15

14

0

10

20

30

40

50

60

70

80

90

Oct-19 Nov-19 Dec-19 Jan-20 Feb-20 Mar-20

Unit: Thousand cars

13

• QoQ: Car export increased +7% mainly from export to Central & South America, Australia and Europe.

• YoY : Car export declined -17% mainly from export to Australia, Asia and Europe.

84 84 102

85 101 88 89 79 89 83 72

58 64

76 71

77 80

70 75

89 87

84 74 86

75 64

23 25

29 35 28

24 28

28 33

26 39

35 40

39 31

37 37 36

27

30 30

37

34 25

21 27

29 19

25 21 28

21

26 19

24

13 18

17 24

27

17

37

25 24

21

24 31

27

22 15

19 21

8

5

7

7 8

11

10 8

6

8 7

9 10

0

50

100

150

200

250

300

350

1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20

Africa

North America

Central & South

America

Europe

Middle East

Asia

Australia

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

0.0

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

0.6

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

2.0

-

0.5

1.0

1.5

2.0

2.5

3.0

Export

Domestic

Total Production

14

Asian Financial Crisis

Global Financial Crisis

Thailand Floods & Tsunami in Japan

CAGR = 1% CAGR =9%

First car scheme

1.13

1.25

1.18

0.45

0.49

0.44

0.36

0.39

0.35

0.0 0.5 1.0 1.5 2.0

2017

2018

2019

Pickup&PPV Passenger Eco CV

Un

it : M

illio

n c

ars

Unit : Million cars

15

Tractor Industry Overview

16

Source : Customer

Unit: in Thousand

• QoQ: Declined -8%

• YoY : Declined -20%

11

15 14 12

15 17

15 16

21

18 17 17 16

3

2 6

2

3 3 5 3

1

2 4 2

2 15

17

20

15

18 19

20

19

23

20

21

19

18

0

5

10

15

20

25

1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20

Tractor Combine Total

21 17

30

52 55 59 54

44 53

63

74

0 1

3

5 6

7 12

15

14

14

10

21 18

33

57

61

65 66

59

66

77

83

0

10

20

30

40

50

60

70

80

90

2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 F2020

Tractor Combine Total

Drought

17

Unit: in Thousand

Flood

Drought

Source : SBG’s Forecast

18

Sale Performance

29%

23%

24%

19%

5%

30%

26%

24%

16%

4%

0% 10% 20% 30% 40%

Axle Shaft

Disc Brake &

Drum Brake

Casting/Machining

(Automotive)

Casting/Machining

(Kubota)

Hub/Big Hub

2019 2020

76%

25%

12%

74%

28%

11%

0% 20% 40% 60% 80%

19

Market Share Sales Contribution

20

33%

25%

20%

6%

4%

2%

2%

1%

4%

3%

38%

23%

16%

8%

4%

2%

1%

1%

3%

4%

0% 5% 10% 15% 20% 25% 30% 35% 40%

Mitsubishi

Toyota/Hino

Kubota

Isuzu

Honda

GM

Nissan

Ford & Mazda

Direct Export

Others*

2020 2019

Note : *Other : Other customer and REM customer.

2019 1Q2019 4Q2019

1Q20

Production line Capacity pcs /month

Utilization (%)

Capacity pcs /month

Utilization (%)

Capacity pcs /month

Utilization (%)

Capacity pcs /month

Utilization (%)

Axle Shaft 365,500 65% 365,500 75% 365,500 54% 365,500 61%

Machining (Auto) 437,000 64% 437,000 72% 437,000 64% 437,000 63%

Machining (non-Auto)

229,000 77% 229,000 80% 229,000 77% 229,000 55%

General Forging 280,500 37% 280,500 44% 280,500 29% 280,500 34%

Total (SBG) 65% 73% 59% 58%

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

Financial Highlights

23

362 327 391 430 433 330 391 340 335

1,629 1,593

1,698 1,764 1,769

1,592 1,604

1,547 1,496

1,991 1,920

2,089

2,194 2,202

1,922 1,995

1,887 1,831

0

500

1,000

1,500

2,000

2,500

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

Gross Profit COGs SalesUnit: Million Baht

24

340 335

1,547 1,496

18.0% 18.3%

0%

5%

10%

15%

20%

25%

0

500

1,000

1,500

2,000

4Q19 1Q20

Gross Profit COGs %GP

QoQ Comparison Sale 3.0%

COGS 3.3%

GP (amount) 1.5%

%GP 0.3%

• Sale declined by 3.0% mainly

from the decline in agricultural

industry.

• GP amount declined by 1.5%

mainly from decrease in sale

revenue.

Unit: Million Baht %GP

25

433 335

1,769

1,496

19.7%

18.3%

0%

5%

10%

15%

20%

25%

0

500

1,000

1,500

2,000

2,500

1Q19 1Q20

Gross Profit COGs %GP

YoY Comparison Sale 16.8%

COGS 15.4%

GP (amount) 22.6%

%GP 1.4%

• Sale declined by 16.8% mainly

from the decline in the

automotive industry and the

agricultural industry.

• GP amount declined by 22.6%

mainly from decrease in sale

revenue.

Unit: Million Baht %GP

26

235

183

243 254

287

170

227 215

191

11.9%

9.5%

11.6% 11.6%

13.0%

8.8%

11.4% 11.4%

10.4%

0%

2%

4%

6%

8%

10%

12%

14%

0

50

100

150

200

250

300

350

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

Net Profit % Net Profit %NP Unit: Million Baht

27

Note: 1 Others include gain/loss on fx , other incomes, and other expenses

1

28

Note: 1 Others include gain/loss on fx , other incomes, and other expenses

1

29

435

371

439 448 478

354

413 407 375

21.8%

19.3%

21.0% 20.5%

21.7%

18.4%

20.7% 21.6%

20.5%

0%

5%

10%

15%

20%

25%

0

100

200

300

400

500

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

EBITDA % EBITDAUnit: 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

.15

2.1

1

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

30% 34% 36%

14%

0%

40% 38%

40% 38% 39% 40%

42%

47%

63% 64%

0%

10%

20%

30%

40%

50%

60%

70%

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

EPS DPS %Dividend Payout

30

Unit: Baht per Share Unit: % Payout

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

• Dividends from operation of the year 2019 at the rate of 1.35 Baht per share:

- 0.35 Baht per share for interim dividends paid on September 6, 2019

- 1.00 Baht per share paid on April 28, 2020.

31

Awards from customer

TCC HRD Activity 2017 from Toyota

The Winner TPS Award 2017 from Toyota

MCC QCC Activity 2017 from Mitsubishi

Quality Award and Delivery 2017 from

Kubota

SKC Delivery Skill Contest 2017 from Kubota

RUNNER UP SKC Delivery Kaizen Award 2017

from Kubota

Gold Award QCD 2017 from Kubota

Quality Award and Delivery 2017 from Isuzu

Awards from various agencies

Sustainability Awards of Honor 2019 from SET

Thailand Sustainability Investment 2019 (THIS)

from SET

SET Award of Honor -Excellence in Investor

Relations 2017-2019 from SET

Best IR Awards 2015-2016 from IAA

Gold Level Thailand HR Innovation Award

2017, the highest award from the National

Institute for Productivity in collaboration with

the PMAT & NIDA

CSR-DIW Continuous Award 2017 from DIW

32

Unit : Million Baht 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 QoQ YoY Y2018 Y2019 YoY

Sales 1,991 1,920 2,089 2,194 2,202 1,922 1,995 1,887 1,831 -3.0% -16.8% 8,194 8,006 -2.3%

Total Revenue 2,020 1,952 2,118 2,218 2,235 1,955 2,027 1,982 1,864 -6.0% -16.6% 8,308 8,199 -1.3%

Gross Margin 362 327 391 430 433 330 391 340 335 -1.5% -22.6% 1,510 1,494 -1.1%

SG&A 151 170 168 194 184 181 183 188 161 -14.4% -12.5% 683 736 7.8%

FOREX Gain (Loss) 2 1 2 -1 0 -3 1 2 -1 -131.2% -487.5% 4 0 -94.7%

Interest Expense 10 6 4 3 3 3 2 3 3 -7.4% -2.1% 23 11 -53.3%

Net Profit 235 183 243 255 287 170 227 215 191 -11.2% -33.4% 916 899 -1.9%

Net Profit excluding fx 233 182 241 256 287 173 226 213 192 -10.0% -33.2% 912 899 -1.5%

EBITDA 435 371 439 449 478 354 413 407 375 -8.1% -21.7% 1,694 1,652 -2.4%

Cash Flow from Operating 165 410 509 369 359 350 372 216 439 103.2% 22.3% 1,453 1,297 -10.7%

Depreciation 166 165 167 165 161 161 160 161 156 -3.1% -3.1% 663 643 -3.0%

CAPEX 56 105 87 109 52 96 84 119 68 -42.9% 30.8% 357 351 -1.7%

Effective Tax Rate 9% 9% 9% 9% 9% 11% 10% 12% 11% -0.2% 2.8% 9% 10% 0.7%

Total Assets 9,128 8,787 8,953 9,065 9,401 8,984 9,430 9,311 9,480 1.8% 0.8% 9,065 9,311 2.7%

Interest Bearing Debt 747 422 390 309 281 252 372 317 194 -38.8% -31.0% 309 317 2.6%

Total Liabilities 2,473 2,225 2,299 2,178 2,228 2,065 2,391 2,108 2,086 -1.0% -6.4% 2,178 2,108 -3.2%

Equity 6,656 6,562 6,654 6,887 7,174 6,919 7,038 7,203 7,394 2.7% 3.1% 6,887 7,203 4.6%

Key Financial Ratios 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 QoQ YoY Y2018 Y2019 YoY

%GP 18.2% 17.0% 18.7% 19.6% 19.7% 17.2% 19.6% 18.0% 18.3% 0.3% -1.4% 18.4% 18.7% 0.2%

%SG&A 7.6% 8.9% 8.0% 8.8% 8.4% 9.4% 9.2% 10.0% 8.8% -1.2% 0.4% 8.3% 9.2% 0.9%

%NP 11.8% 9.5% 11.6% 11.6% 13.0% 8.8% 11.4% 11.4% 10.4% -1.0% -2.6% 11.0% 11.0% -0.1%

%NP excluding fx 11.7% 9.5% 11.6% 11.6% 13.0% 9.0% 11.3% 11.3% 10.5% -0.8% -2.6% 11.0% 11.0% 0.0%

%EBITDA 21.8% 19.3% 21.0% 20.5% 21.7% 18.4% 20.7% 21.6% 20.5% -1.1% -1.3% 20.4% 20.2% -0.2%

%ROA 10.1% 8.1% 10.6% 10.9% 12.4% 7.7% 9.9% 9.4% 8.1% -1.3% -4.3% 10.1% 9.7% -0.4%

EBITDA/CAPEX 7.76 3.53 5.05 4.12 9.20 3.68 4.92 3.42 5.51 2.08 -3.69 4.74 4.71 0.0

%ROE 14.8% 11.6% 15.2% 15.3% 16.6% 10.1% 13.3% 12.2% 10.5% -1.7% -6.1% 13.3% 12.5% -0.8%

%ROIC 15.3% 10.5% 13.7% 13.9% 15.6% 9.8% 12.7% 11.8% 10.3% -1.5% -5.3% 10.4% 9.8% -0.6%

Interest bearing Debt/Equity 0.11 0.06 0.06 0.04 0.04 0.04 0.05 0.04 0.03 -0.02 -0.01 0.04 0.04 0.00

D/E 0.37 0.34 0.35 0.32 0.31 0.30 0.34 0.29 0.28 -0.01 -0.03 0.32 0.29 -0.02

EPS (Baht) 0.55 0.43 0.57 0.60 0.68 0.40 0.53 0.51 0.45 -11.2% -33.4% 2.15 2.12 -1.6%

BVPS (Baht) 15.66 15.44 15.66 16.20 16.88 16.28 16.56 16.95 17.40 2.7% 3.1% 16.20 16.95 4.6%

33

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

34

Thank You