First Investors Conference of CTCI in 2017

CTCI held its first investors conference at the International Convention Center of National Taiwan University Hospital on March 29th. 2017. Three companies under CTCI group, CTCI Corporation, CTCI Advanced Systems Inc. (CTCI ASI), and KD Holding Corporation, reported the signed new projects and financial highlights in 2016, market review, business outlook and operation strategies in every region. The conference drew almost one hundred participants, including the institutional investors, bankers, and journalists.

The accumulated new contracts of CTCI amounted to NTD 85.6 billion, while the backlog of contract was NTD 203.2 billion and the consolidated sales revenues stood at NTD 70.5 billion by December 31st, 2016; the three achieved record highs. The gross profit margin was 8.8%, while the net income after tax amount was NTD 3.01 billion and the EPS after tax was NTD 2.92; all were better than the previous year. Major projects awarded in 2016 were Chung Li Sewerage System BOT Project, Feng Shan Shi Wastewater Reclamation BTO Project, Dah-Tam Gas-Fired Simple Cycle Generators Emergency EPC Project (except for the generators and HV equipment), FPC USA Offsite Pipe Rack Modularization & Erection EPC Project, FPC USA Utility-3 Power Plant Basic Design Project, Saudi Kayan Ethylene Cracking Furnace and Ethylene Plant Expansion EPC Project, Petronet Dahej LNG Terminal Expansion Regasification Facilities EPC Project, and SafPet LLC PTA/ PET Basic Engineering Design Project. Looking into the future, the business strategies of CTCI are to continuously cultivate the relationship with the existing clients and actively develop the new markets; hire the local management team and build up comprehensive EPC capability in order to expand the market scope in USA; cooperate with China Export & Credit Insurance Corporation to make it easier for the owner to receive finance guarantees, which is beneficial for CTCI to win EPC projects.

For CTCI ASI, the backlog of contract amounted to NTD 1.37 billion by December 31st, 2016, while it is up to NTD 1.89 billion until now, an even brighter performance than the previous year would surely be expected. As of December 31st, 2016, the consolidated sales revenues amounted to NTD 1.14 billion, while the gross profit margin was 17.4%; the net income after tax was NTD 70 million and the EPS after tax was NTD 3.08. Major projects awarded in 2016 included the areas of main automation contract (MAC), transportation and electro-mechanical, intelligent manufacturing, and energy saving, emission reduction, and industrial safety. Looking into the future, the business strategy is to extend the application from DCS/PLC to IIoT, and combine the IIoT platform with BIM Lifetime developed by CTCI ASI, in order to fulfill the purpose of intelligent industry in the future and bring continuous revenues for the company.

For KD Holding, as of December 31st, 2016, the consolidated sales revenues amounted to NTD 5 billion, while the gross profit margin was 36.3%; the net income after tax was NTD 1.43 billion, and the EPS after tax was NTD 12.8; all were much better than the previous year. Major projects awarded in 2016 included the areas of EfW (including maintenance of mechatronics system) and waste management, solar power, and circular economy. Looking into the future, the business strategy will focus on the resources recycling, and take EfW and waste management, solar power and circular economy as core business, to maximize the existing business and develop the new markets.