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T - Transparency, Ethics & Integrity - ซอสตย โปรงใส ใสใจจรยธรรม
R - Respect & Trust - เคารพกนและกน เชอมนไวใจ
C - Commitment - มงมนสคณภาพ ปลอดภยทกเวลา รกษาสงแวดลอม รบผดชอบตอสงคม
TRC Corporate Presentation
The 1st Quarter 2018 Operating Performance
8 June 2018
2
Disclaimers
IR Contact: Investor Relations Department
Email: ir_trc@trc-con.com/ ounruen@trc-con.com
Tel. +66 2022 7777-87 Ext. 3201 and 3213
Fax +66 2022 7778
Information disclosed on this presentation includes forward looking information of TRC
determined by TRC based on information available at the time, as well as information about
risks and factors of uncertainty related to economic trends, intensified competition in the
industry, market demand, exchange rates, applicable laws and regulations. Operating
results and other information published in the future may vary due to these factors. TRC is
in no way responsible for any damage incurred due to the use of information disclosed on
this presentation. Further, no obligation to revise and/or publish forward-looking information
on this presentation based on new information and/or future events.
The information disclosed on 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 securities in TRC 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.
Content
Key Financial Highlights 27
Future Developments 23
Backlog and New Project Acquisition 12
Significant Events 4
3
To develop an investment in
energy and petrochemical businesses
To deliver the works with
quality with recognition of
safety within defined timeframe
for customers’ highest
satisfaction
To run the business under the
corporate governance principle
focusing on safety,
environment, society and
community for stable and
sustainable growth
To operate the construction
business as an EPC contractor (Engineering, Procurement
and Construction) for natural
gas and crude oil pipeline
projects, petrochemical plants
and basic infrastructure
Mission To become an excellent
contractor in design,
construction of a total solution in energy and
infrastructure industries
with sustainable growth
Vision
To acquire the National Total
Quality Class (TQC) Award
To continually develop the
investment project at least 4
projects
To reach 20% target increase
of the yearly construction
services income with total
services income of Baht
10,000 million within 2019
(consolidated financial
statements)
2019 Target
Vision & Mission & Target
4 Approved by the 6/2014 BOD Meeting in November 2014 and latest reviewed by the 6/2017 BOD Meeting in November 2017
At present 2 projects are invested:
- APOT - SAO Tasit- Water Supply System
TRC Group Structure as at 1 June 2018
TRC Construction Public Company Limited (Thailand)
Paid-up Capital 770 MB
30%
70%
Sinopec-TRC Joint Venture (Thailand)
PPT’s Provincial Gas Transmission Pipeline
Saraburi to Nakorn Ratchasima Project (Year 2013-2016)
Sinopec International Petroleum Service
Corporation (China)
99.99%
Sahakarn Wisavakorn Co., Ltd. (Thailand)
Paid-up Capital 500 MB
Hydrotek Sahakarn Joint Venture*
(Thailand) Construction, Improvement and
Expansion of Waterworks at Koh Samui (855 MB)
49% Hydrotek Public Company Limited
(Thailand)
51%
5
TRC Utility Co., Ltd. (Thailand)
Paid-up Capital 1 MB Tap Water Concession of
SAO Tasit Project
100%
2.67%
100%
100%
25.13%
22.46% TRC Investment Limited (Mauritius)
TRC International Limited (Hong Kong)
ASEAN Potash Chaiyaphum Public Company Limited
(Thailand) Paid-up Capital 2,806 MB
Project completed
SH Crossings Co., Ltd. (Thailand)
Paid-up Capital 40 MB
Huayuan Innovative Development (Hong Kong)
Company Limited (China)
51% 49%
1st Investment Project
2nd Investment Project
* Sahakarn will be responsible for project execution of Hydrotek Sahakarn Joint Venture whereas HYDRO will not share any gain and loss as well as damage may be arisen from this project.
6
New subsidiary,TRC Utility Co., Ltd., has started COD since March 2018
Project Name: Tap Water Concession of SAO Tasit
Location: Tasit sub-district, Pluak-Daeng District, Rayong
Plant Capacity: Phase 1 – total 2,400 cu.m. per day
Phase 2 – total 4,800 cu.m. per day
Source of Raw Water: Klong Kram (priority), Klong Rawoeng,
and Nong Pla Lai Reservoir
Initial Investment: Baht 31 million for Phase 1 and
additional Baht 6.5 million for Phase 2
Tap Water Concession Agreement: 24 July 2017
Commercial Operating Date: 17 March 2018
Concession Period: 3 years + 3 years +… [extendable every 3 years]
7
VS
Date Agreement Signed: 28 March 2018
Investment Portion: 51% 49%
Objective: To be the EPCC contractor for Surface Processing Plant & Facilities of
ASEAN Potash Mining Project in Bamnet Narong District, Chaiyaphum Province,
Thailand owned by ASEAN Potash Chaiyaphum Public Company Limited
Establishment Date: JV will be undertaken as soon as APOT’s financial close completion
TRC-SINOHYDRO Joint Venture Agreement Signing in March 2018
Completion of Srinakarin to Romklao Road, Phase 1 Project by SKW
8
Project Owner: Department of Public Work, Bangkok Metropolitan Administration
Metropolitan Electricity Authority
Metropolitan Waterworks Authority
TOT Public Company Limited
CAT Telecom Public Company Limited
Project Value: Baht 1,097,402,592
Project Period: 954 days (27 Jul 2015 – 28 Feb 2018)
9
Issuance of 180 MB Debentures in March 2018
Issuance Date
Maturity Date
Issuance Amount
(MB)
Outstanding Amount
(MB)
Debenture Holders
Interest Rate (Per Year)
8 Jul 2015 8 Jul 2017 (2 years)
100 - (Expired)
10 persons 4.68%
10 Mar 2016 10 Mar 2018 (2 Years)
200 - (Expired)
10 persons 4.40%
12 Jul 2017 12 Jul 2018 (1 year)
100 100 10 persons 4.50%
15 Mar 2018 17 Mar 2020 (2 years&2 days)
180 180 9 persons 4.80%
Outstanding Debentures 280
I) Debentures Baht 500 million
II) Debentures Baht 2,000 million Still not issue
SKW obtained special class contractor from Department of Highways
on 18 May 2018
10
Class
Rights to buy bidding
Road Bridge Value of project (Baht)
Special Class
All All No limit
1st Class
1-5, special
- <=500 Million
SKW’s Reputable Clients
Content
Key Financial Highlights 27
Future Developments 23
Backlog & New Project Acquisition 12
Significant Events 4
11
12
TRC Group Backlog
3,487 3,786
2,480
4,635 5,230
124
2,616
1,200
2,077
2,272
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
10,000
2014 2015 2016 2017 31-Mar-18
TRC SKW
3,611
6,402
(MB)
3,680
7,502
6,712
30,476
Including
remaining works of
1st and 2nd LNTP of
APOT (2,541)
Backlog as at 31 Mar 2018
Backlog by Scope of Works
Scope of Works No. of Projects Remaining Value
(MB)
Pipeline System 7 2,215
Processing Plant 4* 2,764
Civil Work 8* 2,523
Total 18* 7,502
Backlog by Company
Company No. of Projects Remaining Value
(MB)
TRC 10 5,230
SKW 8 2,272
Total 18 7,502
TRC
SKW
13
* APOT Project consists of both processing plant and civil work.
Processing
Plant 37%
Pipeline
System 29%
Civil Work
34%
Processing
Plant
37%
14
Turnkey Delivery of APOT’s Package 2 Surface Processing and Facilities – Obtained LOA in Feb 2016
Project Owner: ASEAN Potash Chaiyaphum Public
Company Limited (“APOT”)
TRC’s Work Value*: USD 245.46 million and Baht
25,789.33 million or approximately Baht 33,498 million
Scope of Works: Mineral processing plant, office building,
power supply and facilities utilities
1. 26 km. water pipe line with associated facilities
2. Infrastructure and early works
3. Biomass Power Plant
4. Process building
5. Crystallization Plant
6. 7 km. pipe conveyor, tailing pond with
associated facilities
7. E&I, Interface & Commissioning
* Work Value:
Early Works (1st & 2nd LNTP) 3,022 MB
Remaining EPCC Contract 30,476 MB
Total 33,498 MB
2,541 MB Remaining, Including in backlog
EPCC Contract between APOT and
TRC-Sino Hydro JV is tentatively to be signed within 2018
15
TRC : Baht 911.2 million
Project Owner: PTT Public Company Limited
Project Contractor Sinopec International Petroleum
Service Corporation
Scope of Works: EPCC and Start-up of the 14 block
valve & facility stations under the Fifth
Transmission Pipeline Project Phase 1
Project Value: Baht 755.23 million
Project Period: 33 months
The 14 block valve & facility stations under the Fifth Transmission Pipeline Project, Phase 1
BCM Naphtha and Pygas Pipeline (2 Projects)
Project Owner: SCG Chemicals Company Limited
Scope of Works: Option 1 RTC Area: Baht 74.5 million &
Option 2 Interconnecting Pipeline:
Baht 80 million
Project Value: Baht 155 million
Project Period: 8 months
The 1st Quarter of 2018: 4 New Project Acquisition (1,259 MB)
16
SKW : Baht 347.4 million
The Construction of Highway Route No. 4 A. Takua Pa – A. Thai Mueang
Project Owner: Bureau of road construction 1
(The Department of Highways)
Scope of Works: The Construction of Highway Route
No. 4 A. Takua Pa – A. Thai Mueang
between Km.803+000.00 to
Km.813+300.00
Project Value: Baht 347.38 million
Project Period: 600 days
The 1st Quarter of 2018: 4 New Project Acquisition (1,259 MB)
17
New Project acquired by Sahahydro JV* in May 2018
Project Owner: Provincial Waterworks Authority
Project Value: Baht 522 million
Scope of Works: Improvement Waterworks for
Chaiyaphum - Ban Khwao,
Chaiyaphum Province
Project Period: 420 days
EPC Conract
Signing Date: within June 2018
Improvement Waterworks for Chaiyaphum – Ban Khwao Project
* Shareholders consist of Hydrotek 51% and SKW 49%
Completed 97.5%
Remaining 2.5%
Significant Ongoing Projects
PTT’s 1st Transmission Pipeline Life Extension (3,725 MB) by TRC
Provincial Waterworks Authority’s Construction, Improvement and Expansion of Waterworks, Koh Samui
(855 MB) by Hydrotek Sahakarn JV
Pipeline
18
Completed 70.6%
Remaining 29.4%
Project period: Feb 15 - Oct 18
Project period: Aug15 - Apr 18
PTT’s Revamp LPG Transfer Pump to Domestic BRP (209 MB) by TRC
Completed 83.5%
Remaining 16.5%
Project period: Apr 17 - Aug 18
Significant Ongoing Projects
Processing Plant
Thailand Tobacco Monopoly’s EPC for Dry Ice Expanded Tobacco Process, DIET Process (834 MB) by SKW
Completed 96.0%
Remaining 2.4%
19
Project period: Dec 15 - Jun 18
APOT’s Package 2 – 2nd LNTP Early Works for Long Lead Equipment for
Processing Plant (2,311 MB) by TRC
Completion 0.0%
Remaining 100.0%
Project period: Mar 17 - Oct 19
Completion 13.7%
Remaining 86.3%
Project period: Sep 17 - Jun 19
RDCC Catalyst Cooler Project Part 2 Back Pressure Steam Turbine and
Utilities System (492 MB) by TRC
20
Civil Work
Significant Ongoing Projects
Department of Highway’s Extension Kalapapruek Road (850 MB) by SKW C ompleted
6.6%
Remaining 93.4%
Project period: Mar 17 - Aug 19
Improvement of Pracharuamjai Road – Mitmaitri Road (991 MB) by SKW
Project period: Sep 17 - Sep 19
Completion 0.0%
Remaining 100.0%
Project period: Feb 18 - Oct 19
Highway Route No. 4 A. Takua Pa – A. Thai Mueang between
Km.803+000.00 to Km.813+300.00 (347 MB) by SKW
C ompleted
0.9%
Remaining 99.1%
21
Civil Work
Significant Ongoing Projects
Project period: May 16 - Dec 19
APOT’s Preparation & Refurbishment of Existing Decline (162 MB) by TRC
Completed 61.2%
Remaining 38.8%
Project period: Jan 16 - Dec 19
APOT’s Package 2 – 1st Limited Notice to Proceed Early Works of
Surface Processing Plant & Facilities Project (711 MB) by TRC
Completed 67.6%
Remaining 32.4%
Content
Key Financial Highlights 27
Future Developments 23
Backlog and New Project Acquisition 12
Significant Events during 2017 4
22
List of Potential Bidding Projects
Project Name
Approximate
TRC Group’s Work Value
(Million Baht)
Estimated
Bidding Period
A. Pipeline
A.1 Pipeline for Floating Storage and Regasification
Unit (FSRU) Project from EGAT 3,500 End of 2018 – 2019
A.2 The 5th Transmission Pipeline Phase 3 from PTT 1,500 Q4 2018
A.3 PTTLNG Nong Fab Receiving Terminal Project
(As a subcontractor) 1,000
Submitted bid
end of 2017
A.4 New Distribution Pipeline and Modify/ Reroute
Pipeline from PTT 260 2018
B. Processing Plant
B. 1Thai Oil Clean Fuel Project
(As a subcontractor) 2,000
Submitted bid
Q1 2018
B.2 Plant Modification Projects from PTT 1,750 2018
C. Infrastructure
Infrastructure Government Projects
(I.e. Double Track Railway Projects) n/a 2018
Total 10,010 23
24
Business 2018 2019 2020 2021 2022 Total %
Natural gas 3,854 2,463 1,759 1,676 1,040 10,792 3%
Natural gas transmission
pipeline
26,049 17,841 5,819 6,437 755 56,901 17%
Oil and international trading 14,169 71 6 6 6 12,258 3%
Infrastructure 21,033 4 4 4 5 21,050 7%
Head office and others 7,038 3,532 4,142 4,259 3,789 22,760 6%
Joint investment and
investment in PTT wholly-
owned entities
176,470 21,969 10,771 8,987 4 218,201 64%
Total 246,613 45,880 22,501 21,369 5,599 341,962 100%
PTT’s 5-year Investment Plan (2018 – 2022)
(Unit: Million Baht)
Source: PTT’s news reported to the Stock Exchange of Thailand on 22 December 2017
Content
Key Financial Highlights 27
Future Developments 23
Backlog and New Project Acquisition 12
Significant Events 4
26
27
The 1St Qtr Operating Performance
(Unit : Million Baht)
the 4th
Qtr the 1st
Qtr the 1st
Qtr
2017 2018 2017 Amount Percentage
Construction services income 529.95 464.73 952.14 -487.41 -51.19
Cost of construction services -365.74 -347.87 -856.15 -508.28 -59.37
Other service income 0.21 0.21 N/A
Cost of other services -0.25 0.25 N/A
Gross profit 164.21 116.82 95.99 20.83 21.70
Interest and other income 10.96 6.52 2.05 4.47 218.05
Administrative expenses -66.49 -86.64 -126.85 -40.21 -31.70
Doubtful debt (+reversal) 0.13
Loss on change in shareholders' equity of associate -34.99
Profit (Loss) before share of loss from investments in
associate and joint venture, finance cost and income tax
expenses
73.82 36.70 -28.81 65.51 227.39
Share of loss from investments in associate -7.37 -12.44 -10.25 2.19 21.37
Share of loss from investments in joint venture -0.11 -0.06 0.06 N/A
Finance cost -4.19 -3.85 -3.68 0.17 4.62
Income tax income (expenses) -22.96 -11.76 1.74 13.50 775.86
Profit (Loss) for the period 39.19 8.59 -41.00 49.59 120.95
Non-controlling interests of the subsidiaries 0.71 0.45 0.56 -0.11 -19.64
Profit (loss) attribute to equity holders of the Company 39.90 9.04 -40.44 49.48 122.35
Earnings (Loss) per Share (Baht) 0.0015 -0.0066
Gross Profit Margin 30.99% 25.13% 10.08%
Net Profit (Loss) Margin 7.38% 1.92% -4.24%
Debt to Equity (Time) 0.63 0.86
Change
(the 1st
Qtr 2018 - the 1st
Qtr 2017)
28
Construction Services Income & Net Profit
1,796
1,075
528 330
1,159
345
167
47
742
950
257
87
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
1st Qtr 2017 1st Qtr 2018
Civil Work
Processing Plant
Pipeline System
3,697
2,370
952
464
290
93
-40
9
-33 -34
-10
-12
-35
-100
-50
0
50
100
150
200
250
300
350
1st Qtr 20171st Qtr 2018
(MB)
(MB) Construction services income Profit attribute to equity holders
of the Company
Loss on change in shareholders' equity of associate
Share of loss from investment in associate
10%
71%
19%
* *
*
*
**
*
**
728 780 1,113 954
471
696 955 439
440
801
905 1,173
501
902
1,315 1,012
541
-
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
1Q 2018
Q4
Q3
Q2
Q1
(MB)
29
Total Revenue by Quarter
3,127
3,955 3,737
2,436
-50.6%
-34.8%
-5.5% +26.5%
30
Gross Profit Margin & Net Profit Margin
16.4
20.321.5
10.1
25.1
7.7 7.8
3.8
-4.2
1.9
-10.0
-5.0
0.0
5.0
10.0
15.0
20.0
25.0
30.0
1st Qtr 2017 1st Qtr 2018
Gross Profit Margin Net Profit (Loss) Margin
%
31
726 685 666
1,331 1,266 1,254
72 48 48
2,874 2,599 2,535
-
1,000
2,000
3,000
4,000
5,000
31 Dec 16 31 Dec 17 31 Mar 18
Assets
Current assets
Other non-current assets
Investment in associate and Investment in joint ventures
Property, plant and equipment
5,003
4,598 4,503
(MB)
Financial Position
2,684 2,756 2,766
1,838 1,367 1,323
404
400 339
77
5 75
-
1,000
2,000
3,000
4,000
5,000
31 Dec 16 31 Dec 17 31 Mar 18
Liabilities and Shareholders' Equity
Non-current liabilities
Loans and debentures
Current liabilities
Shareholders' equity
5,003
4,5984,503
(MB)
(APOT: 1,259) (APOT: 1,246) (APOT: 1,328)
TRC Group Industry Group (Construction Services)
0.89 0.860.67
0.860.63
2.462.34
2.47 2 2.47
0.00
0.50
1.00
1.50
2.00
2.50
3.00
31 Mar 17 31 Mar 18
15.99
11.28
3.38
7.095.21
12.26
7.09
2.56
8.58
2.170.00
5.00
10.00
15.00
20.00
Q1 17 Q1 18
(%)
Financial Ratio & Covenant to Bond Holders
Time(s) Return on Equity Debt to Equity Ratio
32
0.06
0.160.15
0.13
0.00
0.05
0.10
0.15
0.20
31 Dec 15 31 Dec 16 31 Dec 17 31 Mar 18
Time(s)
104.12
26.8816.28 17.70
0.00
20.00
40.00
60.00
80.00
100.00
120.00
Q1 2018
EBITDA to Interest Time(s)
TRC TRC
Interest Bearing Debt to Equity Covenant: > = 4 times Covenant: < = 2 times
33
If you have any question please feel fee to contact Investor Relations Department
Email: ir_trc@trc-con.com or ounruen@trc-con.com
Tel. +66 2022 7777-87 Ext. 3201, 3207, 3212, 3213
Fax +66 2022 7778
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