A Sparkle of Jubilee
Importance Notice •
The information contained in this presentation is for information purposes only and does not constitute an offer or invitation to sell or the solicitation of an offer or invitation to purchase or subscribe for share in Jubilee Enterprise Public Company Limited (“Jubile” and shares in Jubile, “shares”) in any jurisdiction nor should it or any part of it form the basis of, or be relied upon in any connection with, any contract or commitment whatsoever.
•
This presentation may include information which is forward-looking in nature. Forward-looking information involve known and unknown risks, uncertainties and other factors which may impact on the actual outcomes, including economic conditions in the markets in which Jubile operates and general achievement of Jubile business forecasts, which will cause the actual results, performance or achievements of Jubile to differ, perhaps materially, from the results, performance or achievements expressed or implied in this presentation.
•
This presentation has been prepared by the Jubile. The information in this presentation has not been independently verified.
•
No representation, warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information and opinions in this presentation. None of the Jubile or any of its agents or advisers, or any of their respective affiliates, advisers or representatives, shall have any liability (in negligence or otherwise) for any loss howsoever arising from any use of this presentation or its contents or otherwise arising in connection with this presentation.
•
This presentation is made, furnished and distributed for information purposes only. No part of this presentation shall be relied upon directly or indirectly for any investment decision-making or for any other purposes.
•
This presentation and all other information, materials or documents provided in connection therewith, shall not, either in whole or in part, be reproduced, redistributed or made available to any other person, save in strict compliance with all applicable laws.
Contents Highlights
About Us
Key Financial Summary
The Growth Strategy 2010
2009 HIGHLIGHTS
www.jubileediamond.co.th
Business Highlight: 2009 •Jan : Ocean Chumporn, Big C Prae, Central Festival Pattaya Beach •Feb : Robinson Rangsit •Mar: Market Village Huahin, Central Plaza (Bangna) •April : Carrefour Hatyai •May: Tesco Lotus Kadkamtieng, Central Chonburi •August : Tesco Lotus Payao •September: Tesco Lotus Samui •October : Tesco Lotus Rama IV, Tesco Lotus Amata Nakorn •November & December: Lotus Phuket / Saraburi / Salaya / Rayong
•Jubilee Heart Collection with “Magic of Love” Pendant •Diamond line collection starting with rings and bangles •New Gen collection with 3 new design rings •Carat collection, attraction in Pink and Yellow gold ring under classic solitaire design concept.
New Branches
New Products
Business Highlight: 2009 •Mid-Year Sales at Bangkok and Thank you sales at HatYai •Jubilee Sparkling Bonus •Hot Deals 2009 •Gift of the Season 2009
Marketing & Promotion
•CRM Program >> Currently Jubilee owns more than 80,000 customer database
74% growth in new customers (from 2008 to 2009)
•Q4 2009 total revenue grew by 20% y-o-y to 162.04 MB, from successful new product launched, “diamond line collection”, Gift of the Season promotional campaign and 6 new branches opened. •Q4 2009 net profit increased by 51% y-o-y to 19 MB, primarily from increase in total revenue and effectively managing cost of goods sold and selling & administrative expenses which positively increase in net profit to 11% of 4Q 2009.
Financial
ABOUT JUBILEE
www.jubileediamond.co.th
Key Milestones Listed company
Opened first branch
Added sale channel: Key Account
Direct mail by credit card
Super Brand / Added Reached 50 Branches sale channel: Hyper Mart
2540
2551 2550
Registered capital 10 Mil. Baht
2536 2537
Leasing/ carat diamond shop
2544
2546
2549
In-house design Imported polished diamonds from Belgium
Internal QC Team Have own product
Have own sale distribution channels
Distribution Channels
Diamond Store
Diamond Counter
Leasing Company
The Fuel of Our Growth
Offer finest quality products
Internationally accepted certificates
Continuously improvement in Channel Innovation
Pioneer in Diamond Counter
Pioneer in Certified Carat Diamond Shop
Trade in nonstore format
Craftsmanship and hitechnology in manufacturing
Variety product collections for many specific segments
Share of Retail Outlet Space – Branded Diamond Retail Retail Space Outlet for Retail Diamond Perfect Diamond Princess 5% Diamond 6% Diamond Today 9% D-Flawless 10%
Other Jubilee 12% Diamond 37%
Regent Diamond and Oriental Diamond 10%
Diamond Lover and James Diamond 11%
New outlets in 2009 Number of Branches
50
57
60
73
New outlets in 2009
2006
2007
2008
2009
• At the end of year 2009, Jubilee currently have 73 outlets • Over 200% more than other brands
• • • • • • •
Ocean Chumporn Big C Prae Central Festival Pattaya Beach, Central Plaza (Bangna) , Central Chonburi Robinson Rangsit Market Village HuaHin Carrefour Hatyai Tesco Lotus Kadkamtieng / Payao/ Samui/Rama IV/ Amata Nakorn/ Phuket / Saraburi / Salaya / Rayong
Jubilee’s Outlets: 73 Outlets Northern: 8
North Eastern: 8
Central & Eastern: 8
Southern: 20
BKK: 29
THE FINANCIAL OF JUBILEE www.jubileediamond.co.th
Financial Performance 2009 •
•
•
Total Revenue
Net Income
0.10%
15.2%
Total revenue of Q3 and Q4 generates 325 MB which 46% increase from that of Q1 and Q2. The proportion of BKK sales to upcountry sales from 60:40 in 2008 changes to 50:50 in 2009. Sales in Jewelry increase by 6% in 2009 which represent 87% of 2009 total revenue while carat diamonds 'sales decrease by 50% which represent 6% of 2009 total revenue
•
•
Efficiency in managing cost of goods sold as well as product mix was made 7.4% increase in Gross Profit Apart from increase in gross margin, selling and administrative expenses have been decreased by 2% from well-managing of various expenditures.
Total Asset 25.05% •
•
Very Strong cash flow and decrease in inventory level by 65.41 MB comparing the beginning and year end. While Debt-Equity ratio is as low as 0.49 time in 2009 from 0.74 time in 2008
Total Revenue Total revenue
Million Baht
฿600 ฿500
547.76
548.23
457.79
฿400
268.97
฿300
325.36
฿200 ฿100
฿0 yr2007
yr2008
yr2009
yr2008 (Q3,Q4)
yr2009 (Q3,Q4)
Revenue Contribution Sales 2008 Loose Diamond 4%
Service Fees 5%
Sales 2009 Loose Diamond 6%
Service Fees 1%
Carat 6% Carat 13%
Diamond Jewelry 78%
Diamond Jewelry 87%
Total Expenditures Total expenditures
Million Baht
฿600 ฿500
504.07
489.94
417.42
฿400 249.02
฿300
286.54
฿200 ฿100
฿0 yr2007
yr2008
yr2009
yr2008 (Q3,Q4)
yr2009 (Q3,Q4)
Total Expenditures (%) Expenditures 2008
Expenditures 2009
Interests & Taxes 5%
Interests & Taxes 6%
Sales & Admin 28%
Sales & Admin 28%
COGS 67%
COGS 66%
Net Profit
Million Baht
Net Profit ฿70 ฿60 ฿50 ฿40 ฿30 ฿20 ฿10 ฿0
60.24 49.33
52.3
40.62 25.15 16.78
yr2006
yr2007
yr2008
yr2009
yr2008 (Q3,Q4)
yr2009 (Q3,Q4)
Profit Margin Profit margin 45% 40% 35% 30% 25% 20% 15% 10% 5% 0%
37.84%
38.12%
40.92%
27.86% Gross Profit
Net Profit 10.78%
9.55%
10.99%
4.62% yr2006
yr2007
yr2008
yr2009
Total Assets Total Assets 2009 (Million Baht) 225.58 160.24
52.79
Cash & Bank
A/R -Net
Inventory-Net
19.51
32
PP&E-Net
Others
Total Liabilities & Equity Liabilities&Equity 2009 (Million Baht) 329.24
90.83 31.52
14.81 Short-term loan
Account Payable
Accrued Expense
10.50
13.22
Long-term loan Other liabilities
Equity
Debt-Equity Ratio Debt-Equity Ratio 7 6
6.09
Times
5 4 3 2
1.82
1
0.74
0 yr2006
yr2007
yr2008
0.49 yr2009
Key Ratios Corporate Performance Key ratios Gross profit margin (%) Operating profit margin (%) Net profit margin (%)
Y2008 38.10% 13.80% 9.50%
Y2009 40.90% 16.10% 11.00%
ROA (%)
13.44%
12.30%
ROE (%)
23.18%
18.30%
Change
*Increase in assets (i.e. cash, inventory, etc.) *Increase in registered capital (IPO)
THE GROWTH STRATEGY 2010
www.jubileediamond.co.th
The Growth Strategy 2010 Product Innovation • Managing Fast Moving Items to have higher sales turnover per item • Launching Promotional Items (HiLight) periodically • Focusing on high purchasing power segment with Carat Diamonds
Distribution Channels • Increase number of sales outlets to be 80 branches within 2010 • Branch expansion is mainly in hypermarket 2010 2009
80 branches
73 branches
2007 55 branches
2008
60 branches
Marketing Tools
Developments
• Branding • Above the line marketing Strategies • Activation • Membership program
• Flagship Stores and Sales Counters •Major Developments • Minor Developments: Positioning
The information contained in this presentation is for information purposes only and does not constitute an offer or invitation to sell or the solicitation of an offer or invitation to purchase or subscribe for share in Jubilee Enterprise Public Company Limited (“Jubile” and shares in Jubile, “shares”) in any jurisdiction nor should it or any part of it form the basis of, or be relied upon in any connection with, any contract or commitment whatsoever.
•
This presentation may include information which is forward-looking in nature. Forward-looking information involve known and unknown risks, uncertainties and other factors which may impact on the actual outcomes, including economic conditions in the markets in which Jubile operates and general achievement of Jubile business forecasts, which will cause the actual results, performance or achievements of Jubile to differ, perhaps materially, from the results, performance or achievements expressed or implied in this presentation.
•
This presentation has been prepared by the Jubile. The information in this presentation has not been independently verified.
•
No representation, warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information and opinions in this presentation. None of the Jubile or any of its agents or advisers, or any of their respective affiliates, advisers or representatives, shall have any liability (in negligence or otherwise) for any loss howsoever arising from any use of this presentation or its contents or otherwise arising in connection with this presentation.
•
This presentation is made, furnished and distributed for information purposes only. No part of this presentation shall be relied upon directly or indirectly for any investment decision-making or for any other purposes.
•
This presentation and all other information, materials or documents provided in connection therewith, shall not, either in whole or in part, be reproduced, redistributed or made available to any other person, save in strict compliance with all applicable laws.
Contents Highlights
About Us
Key Financial Summary
The Growth Strategy 2010
2009 HIGHLIGHTS
www.jubileediamond.co.th
Business Highlight: 2009 •Jan : Ocean Chumporn, Big C Prae, Central Festival Pattaya Beach •Feb : Robinson Rangsit •Mar: Market Village Huahin, Central Plaza (Bangna) •April : Carrefour Hatyai •May: Tesco Lotus Kadkamtieng, Central Chonburi •August : Tesco Lotus Payao •September: Tesco Lotus Samui •October : Tesco Lotus Rama IV, Tesco Lotus Amata Nakorn •November & December: Lotus Phuket / Saraburi / Salaya / Rayong
•Jubilee Heart Collection with “Magic of Love” Pendant •Diamond line collection starting with rings and bangles •New Gen collection with 3 new design rings •Carat collection, attraction in Pink and Yellow gold ring under classic solitaire design concept.
New Branches
New Products
Business Highlight: 2009 •Mid-Year Sales at Bangkok and Thank you sales at HatYai •Jubilee Sparkling Bonus •Hot Deals 2009 •Gift of the Season 2009
Marketing & Promotion
•CRM Program >> Currently Jubilee owns more than 80,000 customer database
74% growth in new customers (from 2008 to 2009)
•Q4 2009 total revenue grew by 20% y-o-y to 162.04 MB, from successful new product launched, “diamond line collection”, Gift of the Season promotional campaign and 6 new branches opened. •Q4 2009 net profit increased by 51% y-o-y to 19 MB, primarily from increase in total revenue and effectively managing cost of goods sold and selling & administrative expenses which positively increase in net profit to 11% of 4Q 2009.
Financial
ABOUT JUBILEE
www.jubileediamond.co.th
Key Milestones Listed company
Opened first branch
Added sale channel: Key Account
Direct mail by credit card
Super Brand / Added Reached 50 Branches sale channel: Hyper Mart
2540
2551 2550
Registered capital 10 Mil. Baht
2536 2537
Leasing/ carat diamond shop
2544
2546
2549
In-house design Imported polished diamonds from Belgium
Internal QC Team Have own product
Have own sale distribution channels
Distribution Channels
Diamond Store
Diamond Counter
Leasing Company
The Fuel of Our Growth
Offer finest quality products
Internationally accepted certificates
Continuously improvement in Channel Innovation
Pioneer in Diamond Counter
Pioneer in Certified Carat Diamond Shop
Trade in nonstore format
Craftsmanship and hitechnology in manufacturing
Variety product collections for many specific segments
Share of Retail Outlet Space – Branded Diamond Retail Retail Space Outlet for Retail Diamond Perfect Diamond Princess 5% Diamond 6% Diamond Today 9% D-Flawless 10%
Other Jubilee 12% Diamond 37%
Regent Diamond and Oriental Diamond 10%
Diamond Lover and James Diamond 11%
New outlets in 2009 Number of Branches
50
57
60
73
New outlets in 2009
2006
2007
2008
2009
• At the end of year 2009, Jubilee currently have 73 outlets • Over 200% more than other brands
• • • • • • •
Ocean Chumporn Big C Prae Central Festival Pattaya Beach, Central Plaza (Bangna) , Central Chonburi Robinson Rangsit Market Village HuaHin Carrefour Hatyai Tesco Lotus Kadkamtieng / Payao/ Samui/Rama IV/ Amata Nakorn/ Phuket / Saraburi / Salaya / Rayong
Jubilee’s Outlets: 73 Outlets Northern: 8
North Eastern: 8
Central & Eastern: 8
Southern: 20
BKK: 29
THE FINANCIAL OF JUBILEE www.jubileediamond.co.th
Financial Performance 2009 •
•
•
Total Revenue
Net Income
0.10%
15.2%
Total revenue of Q3 and Q4 generates 325 MB which 46% increase from that of Q1 and Q2. The proportion of BKK sales to upcountry sales from 60:40 in 2008 changes to 50:50 in 2009. Sales in Jewelry increase by 6% in 2009 which represent 87% of 2009 total revenue while carat diamonds 'sales decrease by 50% which represent 6% of 2009 total revenue
•
•
Efficiency in managing cost of goods sold as well as product mix was made 7.4% increase in Gross Profit Apart from increase in gross margin, selling and administrative expenses have been decreased by 2% from well-managing of various expenditures.
Total Asset 25.05% •
•
Very Strong cash flow and decrease in inventory level by 65.41 MB comparing the beginning and year end. While Debt-Equity ratio is as low as 0.49 time in 2009 from 0.74 time in 2008
Total Revenue Total revenue
Million Baht
฿600 ฿500
547.76
548.23
457.79
฿400
268.97
฿300
325.36
฿200 ฿100
฿0 yr2007
yr2008
yr2009
yr2008 (Q3,Q4)
yr2009 (Q3,Q4)
Revenue Contribution Sales 2008 Loose Diamond 4%
Service Fees 5%
Sales 2009 Loose Diamond 6%
Service Fees 1%
Carat 6% Carat 13%
Diamond Jewelry 78%
Diamond Jewelry 87%
Total Expenditures Total expenditures
Million Baht
฿600 ฿500
504.07
489.94
417.42
฿400 249.02
฿300
286.54
฿200 ฿100
฿0 yr2007
yr2008
yr2009
yr2008 (Q3,Q4)
yr2009 (Q3,Q4)
Total Expenditures (%) Expenditures 2008
Expenditures 2009
Interests & Taxes 5%
Interests & Taxes 6%
Sales & Admin 28%
Sales & Admin 28%
COGS 67%
COGS 66%
Net Profit
Million Baht
Net Profit ฿70 ฿60 ฿50 ฿40 ฿30 ฿20 ฿10 ฿0
60.24 49.33
52.3
40.62 25.15 16.78
yr2006
yr2007
yr2008
yr2009
yr2008 (Q3,Q4)
yr2009 (Q3,Q4)
Profit Margin Profit margin 45% 40% 35% 30% 25% 20% 15% 10% 5% 0%
37.84%
38.12%
40.92%
27.86% Gross Profit
Net Profit 10.78%
9.55%
10.99%
4.62% yr2006
yr2007
yr2008
yr2009
Total Assets Total Assets 2009 (Million Baht) 225.58 160.24
52.79
Cash & Bank
A/R -Net
Inventory-Net
19.51
32
PP&E-Net
Others
Total Liabilities & Equity Liabilities&Equity 2009 (Million Baht) 329.24
90.83 31.52
14.81 Short-term loan
Account Payable
Accrued Expense
10.50
13.22
Long-term loan Other liabilities
Equity
Debt-Equity Ratio Debt-Equity Ratio 7 6
6.09
Times
5 4 3 2
1.82
1
0.74
0 yr2006
yr2007
yr2008
0.49 yr2009
Key Ratios Corporate Performance Key ratios Gross profit margin (%) Operating profit margin (%) Net profit margin (%)
Y2008 38.10% 13.80% 9.50%
Y2009 40.90% 16.10% 11.00%
ROA (%)
13.44%
12.30%
ROE (%)
23.18%
18.30%
Change
*Increase in assets (i.e. cash, inventory, etc.) *Increase in registered capital (IPO)
THE GROWTH STRATEGY 2010
www.jubileediamond.co.th
The Growth Strategy 2010 Product Innovation • Managing Fast Moving Items to have higher sales turnover per item • Launching Promotional Items (HiLight) periodically • Focusing on high purchasing power segment with Carat Diamonds
Distribution Channels • Increase number of sales outlets to be 80 branches within 2010 • Branch expansion is mainly in hypermarket 2010 2009
80 branches
73 branches
2007 55 branches
2008
60 branches
Marketing Tools
Developments
• Branding • Above the line marketing Strategies • Activation • Membership program
• Flagship Stores and Sales Counters •Major Developments • Minor Developments: Positioning
