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UMW Holdings Berhad CORPORATE PRESENTATION FEBRUARY 2014
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CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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Page 1: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

UMW Holdings Berhad

CORPORATE PRESENTATION

FEBRUARY 2014

Page 2: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

2

1917 1960s 1970 1980s 1990s 2000s 2010s

- Chia Yee Soh

founded a

small family

business in

Singapore

- Awarded Komatsu

heavy equipment

distributorship in

‟65

- Secured the

Toyota Forklift

franchise in ‟67

- United Motor

Works (Malaysia)

Holdings Berhad

listed on stock

exchange

- Awarded Toyota

vehicle franchise

in ‟82

- Permodalan

Nasional Berhad

became major

shareholder in

‟87

- Largest

shareholder in

the 2nd national

car project,

Perodua,

with Daihatsu

Motor Co. Ltd. as

the technology

provider in ‟93

- Oil & Gas

Division

established as

UMW‟s 4th core

business in „02;

- UMW is the official

Lexus distributor

in ‟06

- Rebranding of

UMW in „08

- UMW Oil &

Gas

Corporation

Berhad listed

on Bursa

Malaysia in

„13

UMW MILESTONES

Page 3: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

3

SHAREHOLDING STRUCTURE As At 28 February 2014

Market Capitalisation at RM11.80 per share (as at 28 Feb 2014) RM13.8 billion

Total Number Of Shares

Component Of

Bursa Malaysia Listing Sector

Bloomberg code UMWH:MK

1,168,293,932

FTSE Bursa Malaysia KLCI (FBMKLCI)

Main Market, Consumer Products

Permodalan Nasional Berhad (PNB)/

PNB Managed Unit Trust Funds, 54.30%

Employees

Provident Fund

Board, 16.64% PNB and EPF shareholdings are based on direct interest and deemed interest *

Other Local

Shareholders, 12.66%

Foreign

Shareholders, 16.40%

Page 4: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

BUSINESS STRUCTURE

UMW TOYOTA MOTOR

• Lexus

• Toyota

PERUSAHAAN OTOMOBIL

KEDUA

• Perodua

Automotive

LUBRICANTS & FLUIDS

• Pennzoil

• Repsol

• Grantt

• GEP Fluids & Coolants

SHOCK ABSORBERS

/POWER STEERING

• KYB

AUTO COMPONENTS

• Filtration Products

• Plastic Injection

• Metal Stamping

• DENSO Spark Plugs &

Wiper Blades

• GEP Filters & Brake

Pads

Manufacturing

& Engineering

HEAVY EQUIPMENT

• Construction

• Mining

• Agriculture

• Forestry

• Industrial

• Fire Fighting & Oil Spill

INDUSTRIAL EQUIPMENT

• Material-Handling

Equipment

• Industrial Cleaning

Equipment

• Tyres & Batteries

MARINE & POWER

EQUIPMENT

• Industrial Compressors

• Marine Engines

• Industrial Standby

Generators

• Power Products

Equipment

Drilling Operations

• Offshore Drilling

• Workover Services

• Agency services for

specialised equipment.

Oilfield Services

• OCTG Inspection,

Repair & Threading

UMW OIL & GAS

CORPORATION

BERHAD

Page 5: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

5

DOMESTIC & INTERNATIONAL PRESENCE Extensive Network – 13 countries

China

Malaysia

Thailand

Indonesia

Vietnam

Myanmar

India

Papua

New Guinea

Singapore

Turkmenistan

Taiwan

Australia

Oman

Automotive

Equipment

Manufacturing & Engineering

Oil & Gas

Malaysia Branches Dealerships

UMW Toyota Motor

Sdn. Bhd. 37 60

Topmark

(Division of UMW Toyota) 5 -

Perusahaan Otomobil

Kedua Sdn. Bhd.

(Associate)

41 142

UMW Industries (1985)

Sdn. Bhd. 16 -

UMW Industrial Power

Sdn. Bhd. 8 -

UMW (East Malaysia)

Sdn. Bhd. (Sabah &

Sarawak)

9 -

UMW Equipment

Sdn. Bhd. 5 -

Toyota Capital Malaysia

Sdn. Bhd. (Associate) 5 -

Total 126 202

Total Staff Strength (as of February 2014) 13,174

Page 6: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

AUTOMOTIVE

Operations

Page 7: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

UMW AUTOMOTIVE DIVISION

UMW Toyota Motor

Sdn. Bhd.*

Manufacturer and dealer in component

parts including engines, couplings and

transmission components Perodua Engine

Manufacturing Sdn. Bhd.

Perodua Manufacturing

Sdn. Bhd.

Perodua Auto

Corporation Sdn. Bhd.

Perodua Sales

Sdn. Bhd.

30%

Toyota Boshoku

UMW Sdn. Bhd.

Automotive Industries

Sdn. Bhd.

Assembly Services

Sdn. Bhd.

Perusahaan Otomobil Kedua

Sdn. Bhd.**

Manufacturer and assembler

of motor vehicles

Investment holding

Marketing and distribution of motor

vehicles, related spare parts and

other related activities

Manufacturer

of car seats

Manufacturer and

supplier of exhaust

systems

Assembler of

vehicles

Ingress Technologies

Sdn. Bhd.

Manufacture complete door

assemblies and press parts

UMW Toyotsu Motors

Sdn. Bhd.

Sales and service of

Toyota and Lexus

vehicles and parts

65%

100%

100%

49%

49%

49%

100%

30%

Investment holding,

importation and distribution

of Toyota vehicles and

related parts

Investment holding and

management services

39% Toyota Motor Corporation

10% Toyota Tsusho Corporation

20% Daihatsu Motor Co., Ltd 20% MBM Resources Bhd 10% PNB Equity Resource Corporation Sdn Bhd 4.2% Mitsui & Co., Ltd 2.8% Mitsui & Co., ( Asia Pacific) Pte Ltd 5% Daihatsu (Malaysia) Sdn Bhd

30% Toyota Capital Malaysia

Sdn. Bhd.

Hire purchase

financing of Toyota

customers

* **

51% 38%

51%

51%

Page 8: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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TOTAL INDUSTRY VOLUME (TIV)

• The TIV for 2013 closed at 655,793 units. MAA‟s earlier forecast TIV for 2013 was

640,000 units.

• Target for 2014 is 670,000 units, (+2.2%).

• Lower sales in 2011 was due to the supply-chain disruption caused by the earthquake

and tsunami in Japan and the floods in Thailand.

TIV % Change Over Previous Year RHS

Total Industry Volume – Unit Sales LHS

434,954405,745

487,605

552,316

490,768 487,176

548,115 536,905

605,156 600,123627,753

655,793

9.7%

-6.7%

20.2%13.3%

-11.1%-0.7%

12.5%

-2.0%

12.7%

-0.8%4.6% 4.5%

-100%

-80%

-60%

-40%

-20%

0%

20%

40%

0

200,000

400,000

600,000

800,000

1,000,000

1,200,000

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Page 9: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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LEXUS & TOYOTA

• Toyota has maintained No. 1 position in non-national segment for 24 consecutive years.

Official Lexus distributor in Malaysia.

• Target for 2014 is 98,400 units (+6.4%).

• All-New Toyota Vios was launched on 2 October 2013.

• All-New Toyota Corolla Altis was launched on 20 January 2014.

27,350

40,23951,700

91,00381,808 82,188

101,839

82,08991,990 88,662

106,622

92,5216.3%

9.9% 10.6%

16.5% 16.7% 16.9%18.6%

15.3% 15.2% 14.8%17.0%

14.1%

-10%

-5%

0%

5%

10%

15%

20%

25%

0

50,000

100,000

150,000

200,000

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Toyota Market Share Of TIV RHS

Toyota Unit Sales LHS

Page 10: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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PERODUA

• Perodua maintained the No. 1 position in overall market share since 2006

• Currently exporting to seven countries, namely, Singapore, Brunei, Mauritius, Fiji, Sri

Lanka, the United Kingdom and Nepal.

• Target for 2014 is 197,000 units (+0.5%)

• Second plant in Rawang will be completed by the second half of 2014.

127,478 124,008 121,804139,680

155,419 162,152 167,393 166,736

188,641179,989

189,137 196,071

29.3%30.6%

25.0% 25.3%

31.7%33.3%

30.5% 31.1% 31.2% 30.0% 30.1% 29.9%

-10%

0%

10%

20%

30%

40%

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Perodua Market Share Of TIV RHS

Perodua Unit Sales LHS

Page 11: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

11

• UMW companies sold 288,592 units in 2013 with a market share of 44%.

• We hope to at least maintain our market share in 2014.

UMW Toyota92,52114.1%

Perodua196,07129.9%

Others367,20156.0%

UMW GROUP’S MARKET SHARE Units & Market Share (%) In 2013 Brand 2013 2012

Market

Share

%

Units Market

Share

%

Units

Proton

Nissan

Honda

Hyundai, Kia

Volkswagen

Others

21.2

8.1

7.9

2.5

1.5

14.9

138,753

53,156

51,544

16,537

9,619

97,592

22.5

5.8

5.6

2.1

2.1

14.9

141,121

36,271

34,950

13,168

13,019

93,465

Total 56.0 367,201 52.9 331,994 (2012)

Perodua

189,137

30.1%

(2012)

UMW Toyota

106,622

17.0% (2012)

Others

331,994

52.9%

Page 12: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

200

300 400 500 600 700 800 900 1,000 1,100

RM

‘000

60 80 100 120 140 160 180

20 40 60 80

AUTOMOTIVE DIVISION

Model Range

6 models

RM168k-1.0m

12 models

RM66k-249k

3 models

RM24.9k-64k

Toyota

Avanza

Toyota 86

Perodua

Viva Perodua

Alza

Top Selling Models

Perodua - Myvi

Toyota - Vios

Lexus LS 600hL

Page 13: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

OIL & GAS

Operations

Page 14: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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UMW OIL & GAS CORPORATION BERHAD (55.15% subsidiary)

Upstream Exploration & Production

Drilling Operations

- Offshore Drilling

- Workover Services

- Agency services for specialised

equipment.

Oilfield Services

- OCTG Inspection, Repair & Threading

Listing Update

• Prospectus was launched on 3 October

2013 with an offer price of RM2.80

• Listed on the Main Market of Bursa

Malaysia on 1 November 2013

• Bloomberg code UMWOG:MK

Page 15: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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Drilling Operations

UMW DRILLING CO/UMW JDC DRILLING

Company

• UMW Drilling co-owns semi-submersible drilling rig, NAGA

1, on 50:50 venture with Japan Drilling Company; since

2005.

• Drilling depth of 30,000 feet

• Operating water depth of 985 feet

Customer

• Petronas Carigali Sdn. Bhd. since 2005.

Status

• The current contract duration is for five (5) years which

commenced on 13th November 2010 and ends on 12th

November 2015, valued at USD250 million.

• During the period, rig upgrading works were carried out for

a duration of 281 days from 13th April 2012 until 18th

January 2013. In view of this, the current contract expiry

date is therefore extended to 19th August 2016, which

represents an additional 281 days, as per the duration of

the rig upgrading works. The terms and conditions of the

contract however remained the same.

• In addition, Petronas Carigali has awarded a contract

extension for a further period of two (2) years commencing

20th August 2016, valued at USD130 million.

NAGA 1

Page 16: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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Drilling Operations

UMW STANDARD 1/UMW STANDARD DRILLING

Company

• UMW Standard 1 owns ultra premium jack-up

drilling rig, NAGA 2

• Drilling depth of 30,000 feet

• Operating water depth of 350 feet

Customers

• HESS (Indonesia - Pangkah) Limited.

• PetroVietnam Drilling & Well Services Corp (PV

Drilling)

Status

• Commenced drilling operations in September 2010

after being awarded a contract for the provision of

drilling services with an estimated value of USD183

million by HESS (Indonesia - Pangkah) Limited for

3.7 years

• UMW Standard Drilling Sdn Bhd has secured a

contract from PetroVietnam Drilling & Well Services

Corp (PV Drilling) for the provision of a jack-up

drilling rig and services, valued at USD31 million.

• The contract secured is for six months with an

option for another six months, starting from June

2013. The option has now been confirmed.

NAGA 2

Page 17: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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Drilling Operations

UMW STANDARD 3/UMW STANDARD DRILLING

NAGA 3 Company

• UMW Standard 3 owns ultra premium jack-up

drilling rig, NAGA 3

• Drilling depth of 30,000 feet

• Operating water depth of 350 feet

Customer

• Petronas Carigali Sdn. Bhd.

Status

• Started working for Petronas Carigali in March

2011.

• The contract was extended by Petronas Carigali

Sdn Bhd (PCSB) for a 2-year period, worth

USD105m in March 2012

• Secured a contract from Japan Vietnam Petroleum

Company (JVPC) to drill two wells, offshore

Vietnam.

• The new contract will start upon conclusion of the

current contract with Petronas Carigali.

• The contract value is USD24 million.

Page 18: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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Drilling Operations

UMW DRILLING 4 (L) LTD

Company

• Signed an agreement with SD Drilling Pte. Ltd. to

purchase an ultra premium jack-up drilling rig on

26th June 2012.

• It costs USD214 million.

• Drilling depth of 30,000 feet

• Operating water depth of up to 400 feet

Customer

• Petronas Carigali Sdn. Bhd.

Status

• We took delivery of UMW NAGA 4 on 16 February

2013 in Singapore.

• Entered into a contract with Petronas Carigali Sdn

Bhd (“PCSB”), valued at approximately USD157.68

million in April 2013.

• The contract is for a duration of three (3) years,

with an additional two-year option for renewal.

UMW NAGA 4

Page 19: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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Drilling Operations

UMW NAGA 5

Company

• Signed a Share Purchase Agreement today with S.D. Standard Drilling PLC., to acquire a premium jack-up drilling

rig through the acquisition of the entire equity interest in Offshore Driller 4 Ltd.

• It costs USD223 million.

• Drilling depth of 30,000 feet

• Operating water depth of up to 400 feet

Status

• The completion and delivery of the premium jack-up drilling rig is expected to be in May 2014.

• Entered into a contract on 9 December 2013 with Nido Petroleum Philippines Pty Ltd (“NIDO”) for the provision of

a jack-up drilling rig to drill the Baragatan prospect on behalf of the SC 63 Joint Venture.

• The work is expected to commence in June 2014, for a duration of approximately six (6) weeks with a contract

valued at approximately USD7 million.

Customer

• Nido Petroleum Philippines Pty Ltd (“NIDO”)

Page 20: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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Drilling Operations

LATEST UPDATE

UMW NAGA 6 – Purchased for USD217 million. Expected delivery by September 2014.

UMW NAGA 7 – Purchased for USD217 million. Expected delivery by December 2014.

Both the above jack-up drilling rigs are being built by Tianjin Haiheng Shipbuilding & Offshore Engineering Service

Co. Ltd., China.

The announcement on the purchase of the above rigs was made on 12 February 2014.

UMW NAGA 8 – Purchased for USD218 million. Expected delivery by 3Q2015.

This jack-up drilling rig is being built by Keppel FELS Limited, Singapore.

The announcement on the purchase was made on 6 February 2014.

Page 21: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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Drilling Operations

UMW PETRODRIL (MALAYSIA) SDN BHD

Company

• Sole Malaysian owner and operator of HWUs and a

PETRONAS licensed provider of HWU services.

• Provides drilling and workover related services with

4 hydraulic workover rigs

• Petronas-licensed workover service provider.

Customer

• Petronas Carigali Sdn. Bhd.

Status

• Currently, 4 HWUs are in operations in Malaysia,

Indonesia, Thailand and Vietnam.

• Received a letter of intent to award a US$10 million

contract from PTTEP Int Ltd Yangon Branch to

provide hydraulic workover unit and related

services for M9 drilling campaign in Myanmar in

Feb 2014. The contract is for 11 firm wells with

options for additional wells. Expected to start

operations at Zawtika Field in Martaban Gulf by

June.

• Won a RM148 million contract to provide hydraulic

workover unit rig for the Petronas Carigali Sdn

Bhd‟s workover programme plus a provision of an

accommodation work barge and a portable crane.

The deal is for two years with the option of an

extension of one year.

Page 22: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

UMW Oilpipe Services Sdn Bhd

UMW-OG‟s OCTG threading, inspection and repair service facilities in Malaysia, Thailand, China and Turkmenistan focus on premium connections.

2 plants located in Labuan offering premium

OCTG threading, inspection and repair

services

Owner of quality oilfield services assets,

including a threading facility in Malaysia with

22 CNC lathe machines

Was the first threading plant in Malaysia to

be approved in API Q1 and API 5CT

specifications

Number of threaded joints from 2010 to

2012:

UMW Oilpipe Services (Turkmenistan) Ltd UMW Oilfield Services (Tianjin) Co Ltd

Located in Tianjian, China „One-stop shop‟ multi premium connection

threading base, inspection and related workshop services

Received appreciation letter from Schlumberger China and awarded one of the „best supplier‟ under Schlumberger‟s global supplier system in 2012

Unit threaded (connections) from 2010 to 2012

UOT (Thailand) Limited

Located in Songkhla and Sattahip, Thailand Focus on repair of damaged threaded pipes

and the threading of OCTG and accessories Number of threaded joints from 2010 to 2012

Located in Turkmenbashy, Turkmenistan Provides machine shop services for repair

and threading of casing, tubing and oilfield accessories, tubular inspection and hardbanding of drill pipes and collars

Mainly supports PETRONAS‟ subsidiary in Turkmenistan‟s offshore fields in the Caspian Sea.

UMW-OG’s operations are pan-Asian, with high quality assets characterised by high precision and accuracy capabilities

13,672 20,942 21,000

2010 2011 2012

17,208 17,024

16,505

2010 2011 2012

9,622 11,696 17,299

2010 2011 2012

Oilfield Services

OCTG Threading, Inspection & Repair Services

Page 23: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

EQUIPMENT

Operations

Page 24: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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UMW represents all of the above principals for some of the world’s most

recognised products in:-

• Agriculture

• Construction

• Forestry

• Mining

• Industrial and manufacturing

• Industrial cleaning – food and beverages, material handling and logistics

EQUIPMENT DIVISION

Page 25: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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Heavy Equipment

KOMATSU FRANCHISE

• Komatsu franchise in Malaysia, Singapore, Myanmar and Papua New

Guinea

• Market share of more than 30% in Malaysia

• Has strong presence in Myanmar since 2003, supplying equipment to the

jade mining industry.

Malaysia

Papua New Guinea

Myanmar

Singapore

Page 26: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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• Strong market leadership position

• Globally, UMW is the only Diamond member (the highest elite tier) in the Premier Club

Recognition Programme, awarded by Toyota Material Handling International (TMHI).

• Also awarded the Undisputed Performance Award by Toyota Material Handling

International for outstanding performance.

• Toyota Forklifts – UMW is one of the Top 5 Distributors in the world.

• Toyota forklift maintained its 50% market share in Malaysia‟s material handling

equipment business.

• No. 1 position in Malaysia since 1972.

• Have ventured into leasing of Toyota forklifts.

Industrial Equipment

TOYOTA FORKLIFT FRANCHISE

Malaysia

Singapore

Brunei

Vietnam

China

Shanghai,

Zhejiang

Page 27: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

MANUFACTURING & ENGINEERING

Operations

Page 28: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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Manufacturing & Engineering

OEM & REM SEGMENTS

• Blend, package and distribute Pennzoil lubricants.

• UMW has signed a principal agency agreement with Repsol to distribute the

Repsol brand of lubricants throughout Asia (China, Malaysia, Singapore,

Brunei, Papua New Guinea and Myanmar).

• Launched premium Repsol product range in Malaysia on 19 October 2011.

• Manufacture KYB shock absorbers for OEM and REM segments

• Shock absorbers and power steering pumps are also exported overseas.

• Design and manufacture automotive components

• Custom-moulded plastic injection parts.

• Filtration products for national and non-national cars.

• OEM and REM segments.

• Contract manufacture for international Private Label brands.

• Trading of Specialty Fluid Products

Page 29: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

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KEY PRODUCTS

Auto

Components

Lubricants

& Fluids

Shock

Absorbers

& Power

Steering

Auto

Components

(India)

Fluids &

Chemicals

Lubricants

& Fluids

(China)

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30

Auto Components In India

MANUFACTURE OF COMPONENTS

India

Pune

(Maharashtra)

Chennai

(Tamil Nadu)

• UMW Dongshin Motech is a major original

equipment manufacturer (OEM) for stamped

automotive body parts for car manufacturers in India.

• Sathya Auto manufactures mechanical jacks,

radiator caps and sheet metal components.

• Castwel Autoparts manufactures aluminium gravity

die castings, aluminium alloys, water pump body,

cover and brackets.

• Our customers in India include General Motors,

Volkswagen, Tata, Hyundai.

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31

Fluid & Chemicals In China

LUBRICANT BLENDING PLANT

• JV with Dah Chong Hong (Motor Service Centre)

Limited to develop the business of

manufacturing/processing of lubricants (the wholly-

owned subsidiary of Dah Chong Hong Holdings

Ltd, a company listed on the HKEx, and principally

involved in the motor and motor-related business,

foods and consumer products, as well as logistics

services)

• Plant is in Xinhui, Guangdong Province

• Investment cost of USD18.6 million

• Production capacity of 30,000 tonnes (1 shift)

and 50,000 tonnes (2 shifts)

• Started operations in January 2011

• Received ISO 9001:2008 and ISO14001:2004

certifications from TUV Germany, after 3

months of operations

• Current customers – Repsol, Shell, Petronas,

Citgo, GEP and MM Lube

China 中国

Guangdong

Province

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32

OIL & GAS

• Generator Packages

- Customised equipment packager and total solution provider for power generators and other

equipment.

- Specialised engineering products for the oil and gas market, public utility, telecommunication

and government services market; and marine sector.

• Onshore Drilling Services

- We have 3 onshore drilling rigs in Assam, India – SHER 1, 2 and 3.

- We own and operate 4 American-made super-single onshore drilling rigs, GHAZAL I, III, IV and

V in Oman.

• Manufacture of OCTG & Line Pipes

• Anti-abrasion and specialised coating & sandblasting services

• Repair and fabrication of steel structures

• Trading, Stocking, Marketing and Distribution of Oilfield Products

OTHER BUSINESSES

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FINANCIAL HIGHLIGHTS

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34

AUTOMOTIVE EQUIPMENT M & E OIL & GAS

6,244

9,869 9,950 9,976

12,770

10,721

12,82013,536

15,817

14,207*

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

10-YEAR GROUP FINANCIAL HIGHLIGHTS

Record Year

Revenue

(RM million)

350

658

754

856

1,277

847

1,3131,365

2,020

1,455*

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

*Unaudited figures

Profit Before Taxation

(RM million)

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35

3,931

5,7215,103

6,491

7,828

8,826

10,02410,541

11,792

14,807*

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

10-YEAR GROUP FINANCIAL HIGHLIGHTS

2,1312,342

2,560

3,130

3,5223,774

4,0274,249

4,848

6,363*

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Shareholders’ Funds

(RM million)

Total Assets

(RM million)

. . . AUTOMOTIVE EQUIPMENT M & E OIL & GAS

UMW Holdings Berhad

*Unaudited figures

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36

Key Performance Indicators – Dividend Policy

ANNUAL DIVIDEND PAYOUT, 50% OF PROFIT NET OF UNREALISED

GAINS

45.0 48.8 50.3 50.857.7 59.0

75.8 75.2

58.8

75.0

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

% Of Group’s Net

Profit

12.0 10.519.0 20.5

30.037.0

20.030.0 31.0

50.044.0

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Gross Dividend Per

Share Of RM0.50 Each

(sen)

Target 50%

March 08

Share Split from

RM1.00 to

RM0.50 each

October 03

2-for-3 Bonus

Issue

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Key Performance Indicators – Target ROSF

RETURN ON SHAREHOLDERS’ FUNDS

• Exceeded minimum annual return on shareholders‟ funds

• In 2008, target was 14%. Achieved 17.0%

• In 2009, target was 10%. Achieved 10.5%

• In 2010, target was 10%. Achieved 13.5%

• In 2011, target was 10%. Achieved 11.7%

• In 2012, target was 10%. Achieved 21.9%

• In 2013, target was 10%, Achieved 12.1%

8.1%

12.7% 12.5%

16.5% 17.0%

10.5%

13.5%

11.7%

21.9%

12.1%

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

14%

13%

10% 10% 10% 10% 10%

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38

‘AAA’ CORPORATE CREDIT RATING

• UMW is rated AAA (Corporate Credit Rating) by RAM Rating Services Berhad

(RAM)

Page 39: CORPORATE PRESENTATION FEBRUARY 2014ir.chartnexus.com/umw/doc/Corporate Presentation_feb2014.pdf · CORPORATE PRESENTATION FEBRUARY 2014 . 2 1917 1960s 1970 1980s 1990s 2000s 2010s

Corporate Portal www.umw.com.my

This material is proprietary and is prepared specifically for the recipient‟s reference. The information contained herein is not to be distributed without the consent of UMW Holdings Berhad. Any recommendation or views contained in this document do not have regard to specific investment objectives, financial situation and the particular needs of any specific audience. The content furthermore is believed to be correct at the time of the issue of this document, and is not and should not be construed as an offer or a solicitation of any offer to buy or sell any securities. Nor does this document purport to contain all the information a prospective investor may require.

S. Vikneshwaran

Head, Investor & Media Relations

Email: [email protected]

Telephone: +603 5163 5000

THANK YOU

Dr Wafi Nazrin Abdul Hamid

Executive Director, UMW Corporation

Head of Group Management Services

Email: [email protected]