Company ProfileTW.4807
www.regaljewelrygroup.com
Thailand Production Site
2
◊Area: 65,896 square meter◊3,700 employees◊ Three gold jewelry factory buildings◊One jewelry plating factory building
www.regaljewelrygroup.com
•Number of shares issued•Capital
Main Operational Country
2014.10.16
Lin Chih Chien PHACHARAPONPHAIBOONSUNTORN
38,160,000 sharesNTD 381,600 thousand
Thailand
Company Incorporation
Stock Code: 4807
Employee Number
Around 3,700 people
www.regaljewelrygroup.com
President
Company Overview
• Metal mining and production
• Raw stone mining and production
• Gem Cutting and Polishing
• Gemstone Wholesale
• Jewelry Design and Brand Marketer
• Processing equipment and materials supply
• Gold Jewelry Manufacture
• Jewelry Plating
• Jewelry accessory processing
•Jewelry Brand Store•Department Store•Discount Mall•E-Commerce(Catalogue and B2C platform)•Social Network group buying
Upstream Midstream-1 Midstream-2
Industry Value Chain
www.regaljewelrygroup.com
Downstream
Customer & Jewelry Matrix
5
InternationalJewelry Brand
Regional national
jewelry brand
Trader/department retailer
B2C e-commerce
Local jewelry retailer
OEM/ODM /Affordable luxury jewelry
ODM/ODM/Affordable luxury jewelry
ODM /Costume Jewelry
ODM/Costume Jewelry
OBM/AgentBrand/Costume Jewelry and Affordable fine jewelry
www.regaljewelrygroup.com
Imitation Jewelry• Costume jewelry• Fake jewelry • Fallalery jewelry
Jewelry Market Segment
www.regaljewelrygroup.com
Fine Jewelry• High-end jewelry• Luxury jewelry• Affordable luxury
jewelry
Costume Jewelry • semi-precious stone
with Base metal gold plated )
• HS code 711719• 12% of RH’s revenue
Regal ‘s Target Market
www.regaljewelrygroup.com
88%
12%
AffordableLuxury
Costume
Affordable luxury jewelry • semi-precious stone
with precious metal and gold plated
• HS code 711311+711390
• 88% of RH’s revenue
Jewelry Export - ThailandThailand is the top three exporter of jewelry in Asia HS#7113 (except Hong Kong)
11.211.1
10.39.8
76.2
54.7
4.34.1
3.72.6
2.22
1.7
0 2 4 6 8 10 12
1. Switzerland2. China
3. United States4. India5. Italy
6. Hong Kong7. France
8. United Kingdom9. United Arab Emirates
10. Turkey11. Thailand
12. Indonesia13. Singapore14. Germany
15. Japan
2017 Global Jewelry Major Exporting Countries ($1 Billion)
www.regaljewelrygroup.com
Jewelry Export Growth…Thailand(USD Billion)
Thailand's 2018 Jewelry (7113) exports are flatBut COSTUME (7117) increased 26%
3.62 3.57 3.67 3.74
0.38 0.41 0.34 0.43
-
0.50
1.00
1.50
2.00
2.50
3.00
3.50
4.00
2015 2016 2017 2018 F
7113
7117
多項式(7113)
多項式(7117)
www.regaljewelrygroup.com
2018 Thailand HS 7113 main export destination
0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0%
UNITED STATES
GERMANY
HONG KONG
CHINA
UNITED ARAB EMIRATES
AUSTRALIA
UNITED KINGDOM
SWITZERLAND
JAPAN
ITALY
2018 Thailand HS 7113 main export destination
www.regaljewelrygroup.com
2018 Thailand HS 7117 main export destination
0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0% 45.0%
LIECHTENSTEIN
SINGAPORE
UNITED STATES
FRANCE
GERMANY
HONG KONG
UNITED KINGDOM
SPAIN
SWITZERLAND
JAPAN
2018 Thailand HS 7117 main export destination
www.regaljewelrygroup.com
Thailand Jewelry Export Growth ..... FlatRegal’ piece in Sterling Jewelry Export …..Bigger
99% of Regal jewelry products are directly exported or indirectly exported,Regal's 2017 silver and gold-plated jewelry production accounted for 3.4% of Thailand's exports.In August 2018, it jumped to 7.1% (why? mainly from the large increase in Customer P plating parts
www.regaljewelrygroup.com
60.9
2.10
10
20
30
40
50
60
70
Thailand Silver + JewelryPlating Exports
Regal Production
2017 Bn Baht
38.33
2.7305
1015202530354045
Thailand Silver + JewelryPlating Exports
Regal Production
First 8 Months Year 2018 Bn Baht
Thailand Jewelry Export Growth…FlatRegal’ piece in Costume Export …..Bigger
99% of Regal costume jewelry products are directly exportedRegal's 2017 costume jewelry output accounted for 2.5% of Thailand's exports.Jumped to 4.2% in August 2018
www.regaljewelrygroup.com
11.55
0.29
0 5 10 15
Thailand Costume JewelryExports
Regal Production
2017 Bn Baht
8.93
0.37
0 2 4 6 8 10
Thailand costume JewelryExports
Regal Production
First 8 Months year 2018 Bn Baht
Jewelry processing revenue breakdown
0
200,000,000
400,000,000
600,000,000
800,000,000
1,000,000,000
1,200,000,000
2017Q1 2017Q2 2017Q3 2017Q4 2018Q1 2018Q2 2018Q3
www.regaljewelrygroup.com
■ Jewelry Processing Revenue ■ Gold Manufacturing Revenue■ Plating Processing Revenue
Metalworking and electroplating processing income tends to 50%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
2017Q1 2017Q2 2017Q3 2017Q4 2018Q1 2018Q2 2018Q3
www.regaljewelrygroup.com
■ Gold Manufacturing Revenue contribution■ Plating Processing Revenue contribution
Plating gross profit slowed down... large amount leads to bargaining and cost structure changes. Gold manufacturing gross profit increased slightly... Due to price of complicated skilled work
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
50.0%
2017Q1 2017Q2 2017Q3 2017Q4 2018Q1 2018Q2 2018Q3
www.regaljewelrygroup.com
■ Gold Manufacturing Gross Profit■ Plating Processing Gross Profit
Plating earns from technologyGold Manufacturing earns from management
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
2017Q1 2017Q2 2017Q3 2017Q4 2018Q1 2018Q2 2018Q3
www.regaljewelrygroup.com
■ Gold Manufacturing Revenue before tax■ Plating Processing Revenue before tax
When REGAL OEM transfer out plating process, minority shareholders took 49% of the plating profit.... However, the plating factory made REGAL 51% profit when it
received orders from third party.
0%
5%
10%
15%
20%
25%
2017Q1 2017Q2 2017Q3 2017Q4 2018Q1 2018Q2 2018Q3
www.regaljewelrygroup.com
■ Gold Manufacturing Revenue before tax■ Plating Processing Revenue before tax (51% Parent Company)
Proportion of plating processing from external customers
0%
10%
20%
30%
40%
50%
60%
70%
2017Q1 2017Q2 2017Q3 2017Q4 2018Q1 2018Q2 2018Q3
www.regaljewelrygroup.com
Quarterly Revenue
684
495
728
597499
689
0
200
400
600
800
1000
2016 2017 2018
Q1Q2Q3Q4多項式(Q1)
www.regaljewelrygroup.com
Due to the before-tax profit rate of the parent company... Gold Manufacturing > Plating Revenue Contribution... Gold Manufacturing > Plating
so 2018Q3 EPS will be.....P/E will also be...
1.84
2.17
0.46
1.33
1.06
0.57
1.14
0.74
1.09
1.42
0
0.5
1
1.5
2
2.5
16Q1 16Q2 16Q3 16Q4 17Q1 17Q2 17Q3 17Q4 18Q1 18Q2 18Q3
EPS
EPS
多項式(EPS)
www.regaljewelrygroup.com
Here we are…..
Material vsSeries
Classic Essence Reflection
Silver Products
Rose Gold Products ▬
Shine Products ▬
www.regaljewelrygroup.com
Quick solution & response to fashion trendsGold manufacturing and plating form a complementary order to provide hot-selling gold-plated parts for international brands Plan downstream platform for own brand products and other regional brandsExpand midstream control in jewelry industry value chain
Current Competitive Advantage
Professional jewelry ODM / OEM / OBM one-stop supplier
www.regaljewelrygroup.com
Thank YouStock ID:4807
www.regaljewelrygroup.com