Welcomes You to Sarawak
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WELCOMES YOU TO SARAWAK Cahya Mata Sarawak • One of Sarawak’s largest listed companies, with over 2,000 employees plus 1,562 in its 2 listed associate companies. • Incorporated in 1974; Listed on KLSE in 1989. • Our portfolio spans over 35 companies involved in cement manufacturing, construction materials, trading, construction, road maintenance, property development, financial services, education and other services. • Has nearly 50 offices across the State of Sarawak 2 Group Key Financials 2009 to 2013 1600 350 PBT & PBT Margin 25.0% 20.3% Revenue 300 18.9% 1400 17.6% 20.0% 1200 250 12.6% 15.0% 1000 200 11.3% 800 1,417 150 295 10.0% RM million RM million 600 1,203 227 943 1,013 100 178 400 875 5.0% 50 99 119 200 0 0.0% 0 2009 2010 2011 2012 2013 2009 2010 2011 2012 2013 PBT PBT Margin Revenue ’09 - ’13 CAGR = 12.8% PBT ’09 - ’13 CAGR = 31.4% 11.17% 60 9.37% 12% 1,800 0.45 0.42 50 8.80% 10% 1,600 Balance Sheet 0.4 1,400 0.35 40 8% 0.3 1,200 0.3 30 5.08% 6% sen 52.56 1,000 0.25 3.24% RM 41.39 20 36.43 4% 800 1,416 1,654 0.2 1,480 1,313 10 19.97 2% 600 1,278 0.15 0.15 12.44 mes 0 0% RM million 400 773 0.06 0.06 0.1 534 650 614 2009 2010 2011 2012 2013 200 438 395 0.05 EPS ROE 216 524 90 100 0 0 EPS ’09 - ’13 CAGR = 43.4% 2009 2010 2011 2012 2013 S/holders’ funds Cash Borrowing Gearings 3 Key Business Segments ConstrucEon Materials ConstrucEon & Road Property Strategic Cement Samalaju Development & Trading Maintenance Development Investments q Sole cement and q Combined quarries q Involved in wide q Workers q Owns 2 large land banks Listed clinker manufacturer annual capacity of range of construcRon accommodaon & in Kuching. 3.15m MT, commands & road maintenance related services. q 25.07% stake in in Sarawak. q 2 major assets: 30% market share for projects across K&N Kenanga q Planned new township q Installed capacity of stone aggregates sold Sarawak. § 3,911-acre land bank Holdings. 1.75m MTpa vs. 2014 & service centre. in Sarawak. in Petra Jaya being q q Maintains 20% stake in KKB projected demand of q 20% investment in OMS developed into a q Supply 60% of approximately: Engineering Bhd. 1.71m MT. focuses on developing a riverine township Sarawak’s market for called Bandar Baru q Clinker capacity of § 680 km of Federal manganese and ferro high quality premix & Samariang. roads. alloy smelter. 0.88m Mtpa. bitumen emulsion. Unlisted § 199-acre land bank in § 5,400 km of State q 40% investment in MPA q ConstrucRng a new q Manufactures steel Muara Tebas being q CMS Opus roads. Sarawak focuses on 1m MTpa cement drawn wires & wire developed into developing an q Tunku Putra School grinding plant at mesh. Kuching‘s new CBD, integrated Phosphate Mambong. called The Isthmus. complex. Strong growth Hidden gem to be Core divisions set to grow in tandem with Sarawak’s growth story Future growth driver potenal with value unlocked added by CMS Profitable businesses focus on SARAWAK & SCORE development 4 CMS Strengths • Sustainable and profitable core businesses • High barriers to entry into CMS’ cement business • Strong balance sheet, cash position & low gearing • Experienced and proven management team • Employer of choice in Sarawak with loyal staff • Strong Corporate Governance, Internal Business Management Processes/Controls • CMS is seen as a proven ally and infrastructure facilitator in the State’s development plans 5 CMS Strengths (Cont’d) • Strong Governmental links and understanding of Governmental procedures and of the State generally • Long Established profitable JV with State Government agencies through Bintulu Development Authority and Sarawak Economic Development Corporation • Accustomed to working with international JV partners in large projects • Substantial land bank across the State • Shariah compliant stock • CMS’ focus is on Malaysia’s most exciting growth corridor SCORE and the Malaysian State with the most potential for sustainable industrial based growth 6 CMS’ PerspecEve on the Appeal of SCORE & Sarawak to Overseas Investors • A politically stable and harmonious multi cultural Malaysian State • Strategic Location on the Asia Pacific trade routes • English speaking • Common Law based legal system • Approachable, responsive and business friendly State Government with the financial resources and will to drive private sector investment • Attractive tax and investment incentives • SCORE in Samalaju is already operational & not just a political dream • Infrastructure is in place with more under way 7 CMS’ PerspecEve on the Appeal of SCORE & Sarawak to Overseas Investors (Cont’d) • Ample power available for investors at attractive prices • Plenty of land and resources available for investors • Trainable, loyal and competent local workforce becoming available • Equator Principles compliant power generation facilitates international financing • Focus is on quality investors • Strong Japanese investor involvement already • SCORE is a long term and sustainable growth driver due to its ability to attract manufacturers attracted by the energy available • Multi faceted nature of SCORE provides both wider primary investment opportunities and many downstream secondary investment opportunities 8 CMS’ Future Strategy To ride the acceleraEng Sarawak Growth Story through current & future investments in: Energy Intensive Industries e.g. OM Sarawak & Malaysian Phosphate AddiRves Consequenal Infrastructure & related services required across the State e.g. Cement and other construcRon materials, township development, road maintenance, construcRon & other asset management services 9 CMS Invites Members Of MAJECA To Be Part Of East Asia’s Most Exciting Investment Destination 10 Samalaju Industrial Park THANK YOU 1/5/15 11 .