1
By accepting this document, & in consideration for it being made available to such recipient, each recipient agrees to keep strictly confidential the information contained in it & any information otherwise made available by Macromac Plc (the "Company"), whether orally or in writing. In the case of a corporate recipient, this presentation may only be disclosed to such of its directors, officers or employees who are required to review it for the purpose of deciding whether to make an investment in the Company. This document has been provided to each recipient at their request, solely for their information, & may not be reproduced, copied, published, distributed or circulated, to any third party, in whole or in part, or published in whole or in part for any purpose, without the express prior consent of the
Company. The purpose of this document is solely to provide information to persons who have expressed an interest in investigating the possibility of investing in the Company.
The information contained in this confidential document (the “Presentation”) has been prepared & distributed by the Company. It has not been fully verified & is subject to material updating, completion, revision, verification & further amendment. This Presentation has not been approved by an authorised person in accordance with Section 21 of the Financial Services & Markets Act 2000, as amended (“FSMA”). This Presentation does not constitute, & the Company is not making, an offer of transferable securities to the public within the meaning of sections 85B & 102B of FSMA & it is being delivered for information purposes only to a very limited number of persons & companies who are persons who have professional experience in matters relating to investments & who fall within the category of persons set out in Article 19 of the Financial Services & Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”) or are high net worth companies within the meaning set out in Article 49 of the Order or are otherwise permitted to receive it (together, the
"Relevant Persons"). This Presentation is directed only at Relevant Persons & must not be acted on or relied upon by persons who are not Relevant Persons. Any other person who receives this Presentation should not rely or act upon it. By accepting this Presentation & not immediately returning it, the recipient is deemed to represent & warrant that: (i) they are a person who falls within the above description of persons entitled to receive the Presentation; & (ii) they have read, agree & will comply with the contents of this notice.
Prospective investors must rely on their own examination of the legal, taxation, financial & other consequences of an investment in the Company, including the merits of investing & the risks involved. Prospective investors should not treat the contents of this
Presentation as advice relating to legal, taxation or investment matters & are advised to consult their own professional advisers concerning any acquisition of shares in the Company. Certain of the information contained in this Presentation has been obtained from published sources prepared by other parties. Certain other information has been extracted from unpublished sources prepared by other parties which have been made available to the Company. The Company has not carried out an independent investigation to verify the accuracy & completeness of such third party information. No responsibility is accepted by the Company or any of its directors, officers, employees or agents for the accuracy or completeness of such information.
All statements of opinion and/or belief contained in this Presentation & all views expressed represent the directors’ own current assessment & interpretation of information available to them as at the date of this Presentation. In addition, this Presentation contains certain "forward-looking statements", including but not limited to, the statements regarding the Company’s overall objectives & strategic plans, future commercial production, production targets, timetables, capital expenditures, work programs, budgets & targets, reserve & resource estimates & outlook, & safety & sustainability initiatives. Forward-looking statements express, as at the date of this Presentation, the Company’s plans, estimates, forecasts, projections, opinions, expectations or beliefs as to future events, results or performance. Forward-looking statements involve a number of risks & uncertainties, many of which are beyond the Company’s control, & there can be no assurance that such statements will prove to be accurate. Therefore, actual results & future events could differ materially from those anticipated in such statements. Risks & uncertainties that could cause results of future events to differ materially from current expectations expressed or implied by the forward-looking statements include, but are not limited to, factors associated with fluctuations in the market price of materials, industry risks & hazards, uncertainty as to estimation of reserves & resources, requirements of additional financing risk, risks of delays in construction, production, obtaining permits, competitive pressures, changes in the regulatory framework & prevailing macroeconomic conditions & other risks. No representation is made or assurance given that such statements or views are correct or that the objectives of the Company will be achieved. The reader is cautioned not to place reliance on these statements or views & no responsibility is accepted by the Company or any of its directors, officers, employees or agents in respect thereof. The Company does not undertake to update any forward-looking statement or other information that is contained in this
Presentation. Neither the Company nor any of its shareholders, directors, officers, agents, employees or advisers take any responsibility for, or will accept any liability whether direct or indirect, express or implied, contractual, tortious, statutory or otherwise, in respect of, the accuracy or completeness of the information contained in this Presentation or for any of the opinions contained herein or for any errors, omissions or misstatements or for any loss, howsoever arising, from the use of this Presentation. Allenby Capital Limited
(“Allenby Capital”) which is authorised & regulated in the United Kingdom by the United Kingdom Financial Conduct Authority Allenby Capital is acting exclusively for the Company as its nominated adviser & for no-one else in relation to the matters described in this
Presentation & is not acting for any recipient of this Presentation & will not be responsible to anyone other than the Company for providing the protections afforded to clients of Allenby Capital nor for providing advice to any person other than the Company in relation to the contents of this Presentation. Allenby Capital has not authorised the contents of, or any part of, this Presentation. Neither the issue of this Presentation nor any part of its contents is to be taken as any form of contract, commitment or recommendation on the part of the Company or the directors of the Company to proceed with any transaction or accept any offer & the right is reserved to terminate any discussions or negotiations with any prospective investors. The Company reserves the right without any notice or liability to the recipient of this Presentation or its advisers to: (i) change any of the procedures, timetable or requirements or terminate negotiations at any time prior to the signing of any binding agreement with investors; (ii) provide different information or access to information to different persons; (iii) agree variations to the property, rights & liabilities comprised in the Company; & (iv) to negotiate at the same time with more than one person. In no circumstances will the Company be responsible for any costs, losses or expenses incurred in connection with any appraisal or investigation of the Company. This Presentation should not be considered a recommendation by the Company or Allenby Capital or any of their respective affiliates in relation to any prospective acquisition of shares in the Company. No undertaking, representation, warranty or other assurance, express or implied, is made or given by or on behalf of the Company, Allenby Capital or any of their respective affiliates, any of their respective directors, officers or employees or any other person as to the accuracy, completeness or fairness of the information or opinions contained in this Presentation & no responsibility or liability is accepted for any such information or opinions or for any errors or omissions.
2
Lew Shau Kong (Michael)
Aged 37
Executive President
(Founding Director)
Executive Director
Khoo Tiong Keat (Andrew)
Aged 37
Chief Executive Director
(Founding Director)
Executive Director
Ho Wei Lih (Alvin)
Aged 31
Chief Business Officer
Executive director
Oh Hong Lian (Joseph), aged 31
Executive director
Chief Technical Officer
David Mathewson
Aged 65
Independent Non-Executive Chairman
David Sherick
Aged 70
Independent Non-Executive Director
KC Chong
Aged 45
Finance Director
Executive Director
3
Marketing & Sales for
Messaging Services
Mobile Content Creation,
Aggregation & Messaging Services
Software Solutions
(Proprietary & Customized)
Research & Development
Enterprise Web Development
& SEO Services
Web / Mobile Apps Development
1 MSC & Pioneer Status Companies
4
• Act as mobile content aggregator , mediating SMS & MMS -based transactions between parties & Content
Providers / Brand Owners & Mobile
Telcos to reach mobile end-users .
• Producing proprietary mobile contents for mobile end-users.
• Develop in-house proprietary software solutions. (eg. I-track, Volkout)
• Develop client-&-purpose-specific software solutions. (eg. e-IC, D’Sign &
Geolocation)
• Website Development
• Social Media Integration
• E-commerce Solutions integration
• Search Engine Marketing & Optimisation
5
PARTICIPANT ESTIMATED NUMBER OF
PARTICIPANTS
DESCRIPTION
Mobile Network Operators More than 10
Aggregators
Content Developers /
Providers
More than 50
More than 300
Mobile network operators & mobile virtual network operators (“MVNOs”) which purchase airtime at wholesale rates from mobile network operators & resell wireless subscription to customer through its own branding & other valueadded services.
There are 3 major operators in Malaysia: Maxis, Celcom & Digi , with the rest being smaller network operators & MVNOs.
Participants which provide mobile messaging platforms to the content developers/providers .
They act as the bridge between content providers & mobile network operators. Some aggregators are involved in the development
& provision of contents.
Involved in the development & provision of content.
Content providers typically depend on the messaging platform of aggregators to access operator’s networks as a means of disseminating contents to mobile users.
Market share of MACROMAC in the mobile content services industry in Malaysia for the year 2012 is estimated to be 0.5 percent .
Source: Protégé Associates Malaysia 2012 6
SMS & MMS SERVICES HAS
A STRONG ESTABLISHED
DEMAND IN MALAYSIA 1
MOBILE
LIFESTYLE
1 Refer Appendix (Slide 27)
2 Refer Appendix (Slide 27)
3
3 Refer Appendix (Slide 27 & 29)
4
4 Refer Appendix (Slide 30)
7
8
REVENUE (MYR)
GROSS PROFIT (MYR)
GP MARGIN (%)
EBITDA (MYR)
EBITDA MARGIN (%)
NET PROFIT (MYR)
NP MARGIN (%)
34,921,564
8,781,488
25.1%
6,742,919
19.3%
6,111,722
17.5%
28,059,469
11,154,028
39.8%
9,369,192
33.4%
8,436,710
30.1%
19,966,020
9,977,584
10,640,316 4,456,558
53.3%
9,027,231
45.2%
8,060,760
40.4%
44.7%
3,249,270
32.6%
2,936,629
29.4%
9
1,2
PRODUCTS &
SERVICES
1
Mobile Content
Creation,
0,8
Aggregation &
Messaging Services
Gross Margin
(2012)
Gross Margin
(2011)
Gross Margin
(2010)
Group Margin
(2009)
Gross Profit
CAGR
Group contribution
(2012)
Group contribution
(2009)
100,0%
93,2%
83.7% 100%
0,6 54,7%
Software Solutions
0,4
45,6%
53.4% 39.5% 25.1% 22.3% 34.14%
25,1%
Web Development
& Search Engine
0
Optimisation
Services
MMP & Bulk credit
2010 Gross profit margin
0,0%
7,8%
15%
Software development
2011 Gross profit margin 2012 Gross profit margin
Website development
2013 Gross profit margin
As at 30 June 2013 (Unaudited)
0%
0%
10
PROPERTY, PLANT & EQUIPMENT
CURRENT ASSETS
Trade receivables
Other receivables
Cash in h& & at bank
CURRENT LIABILITIES
Trade payables
Other payables & accruals
Provision for taxation
Term loan
Hire purchase payables
NET CURRENT ASSETS
FINANCED BY
Share capital
Inappropriate profit
SHAREHOLDERS' EQUITY
LONG TERM & DEFERRED LIABILITIES
Term loan
Hire purchase payables
Deferred taxation
As at FYE 31 Dec 2010 (Audited)
MYR
819,378
As at FYE 31 Dec 2011
(Audited)
MYR
9,325,462
1,760,157
2,417,226
5,173,258
9,350,641
305,427
547,435
212,897
-
153,001
1,218,760
8,131,881
8,951,259
210,000
8,257,723
8,467,723
-
483,536
8,951,259
-
5,530,502
2,009,647
5,886,520
13,426,668
2,969,562
1,174,723
136,834
309,751
224,430
4,815,300
8,611,368
17,936,830
210,000
11,742,115
11,952,115
5,199,322
723,393
62,000
17,936,830
As at FYE 31 Dec 2012
(Audited)
MYR
As at 30 June 2013 (Unaudited)
MYR
7,380,033 7,315,722
8,320,168
1,477,053
4,509,434
14,306,655
2,360,477
1,990,857
194,602
344,700
164,551
5,055,187
9,251,468
16,631,501
210,000
10,716,785
10,926,785
5,493,804
202,865
8,047
16,631,501
7,930,743
1,937,246
5,501.976
15,369,965
1,425,204
862,055
95,406
344,700
164,551
3,294,716
12,075,249
19,390,971
210,000
13,663,416
13,873,416
5,789,653
122,655
8,047
19,390,971
11
NET PROFIT BEFORE TAXATION (A)
ADJUSTMENT FOR ITEMS NOT REQUIRING OUTFLOW OF FUNDS (B)
As at
FYE 31 Dec 2010
(Audited)
MYR
As at
FYE 31 Dec 2011
(Audited)
MYR
As at
FYE 31 Dec 2012
(Audited)
MYR
As at
30 June 2013
(Unaudited)
MYR
6,441,539 8,764,578 8,260,760 2,936,629
104,901 134,979 24,755 78,209
OPERATING PROFIT BEFORE WORKING CAPITAL CHANGES (C=A+B)
CHANGES IN WORKING CAPITAL (D)
NET CASH GENERATED FROM OPERATING ACTIVITIES (E= C-D)
CASH FLOW FROM INVESTING ACTIVITES (F)
CASH FLOW FROM FINANCING ACTIVITIES (G)
NET (DECREASE)/INCREASE IN CASH & CASH EQUIVALENTS
CASH & CASH EQUIVALENTS B/F
CASH & CASH EQUIVALENTS C/F (K=H+J)
6,546,440
(1,924,464)
4,621,976
(193,576)
(53,002)
4,375,398
797,860
5,173,258
8,899,557
(233,659)
8,665,898
(2,973,920)
(4,978,716)
713,262
5,173,258
5,886,520
8,285,515
(2,286,513)
5,999,002
1,600,330
(8,976,419)
(1,377,087)
5,886,520
4,509,433
3,014,838
(2,134,843)
879,995
(103,091)
(215,639)
992,543
4,509,433
5,501,976
12
AS AT 30 JUN 2013
REVENUES
(MYR’000)
AS AT 30 JUN 2013
REVENUES
(%)
AS AT 30 JUN 2013
GROSS
MARGIN
(%)
KEY PRODUCTS &
SERVICES
MOBILE CONTENT
CREATION,
AGGREGATION
& MESSAGING SERVICES
7,268 72.8% 44.0%
• PREMIUM MESSAGING
• BULK MESSAGING
SOFTWARE SOLUTIONS
WEB DEVELOPMENT &
SEARCH ENGINE
OPTIMISATION (SEO)
SERVICES
2,641 26.5% 45.6%
• I-TRACK
• VOLKOUT
• E-IC
• GEOLOCATION
• D’SIGN
68 0.7% 81.5%
• WEBSITE DEVELOPMENT
• SOCIAL MEDIA
INTEGRATION
• E-COMMERCE SOLUTIONS
• SEARCH ENGINE
MARKETING &
OPTIMISATION
9,977 100.0%
13
2012
REVENUES
(MYR’000)
2012
REVENUES
(%)
2012
GROSS
MARGIN
(%)
KEY PRODUCTS &
SERVICES
MOBILE CONTENT CREATION,
AGGREGATION
& MESSAGING SERVICES
SOFTWARE SOLUTIONS
WEB DEVELOPMENT & SEARCH
ENGINE OPTIMISATION (SEO)
SERVICES
16,685 83.6% 55% • PREMIUM MESSAGING
• BULK MESSAGING
3,022 15.1% 43%
• I-TRACK
• VOLKOUT
• E-IC
• GEOLOCATION
• D’SIGN
258 1.3% 93%
• WEBSITE
DEVELOPMENT
• SOCIAL MEDIA
INTEGRATION
• E-COMMERCE
SOLUTIONS
• SEARCH ENGINE
MARKETING &
OPTIMISATION
19,965 100.0%
14
15
16
LEVERAGE ON AIM LISTING
TO GAIN REPUTATION &
FINANCIAL SUPPORT IN
ORDER TO EXPAND THE
GROUP’S BUSINESS
WORLDWIDE.
LONDON
THE GROUP INITIALLY
LAUNCHED IN DECEMBER
2012 & THE GROUP IS
DELIVERING LOCALISED
CONTENT TO LOCAL
MOBILE USERS IN
THAILAND.
THE GROUP INTENDS
TO EXPAND ITS
CONTENT
AGGREGATION &
MOBILE MESSAGING
SERVICES IN 2014 .
INDONESIA
PLANNING HONG KONG
STOCK EXCHANGE LISTING
AS EFFECTIVE APPROACH
FOR COMPANY’S GROWTH
& EXPANSION
Hong Kong
THAILAND
MALAYSIA (HQ)
CONTINUOUS
ORGANIC GROWTH AS
A SPECIFIC
MESSAGING
PLATFORM PROVIDER
& CONTINUALLY
EXPAND OUR
BUSINESS IN ASIAN
COUNTRIES.
17
17
UNAUDITED
AS AT 31 JUNE 2013
(HALF YEAR RESULT)
RM
7,602,248
(3,279,027)
4,323,221
27,793
(1,404,321)
2,946,693
(143,400)
2,803,293
(89,194)
2,714,099
31 JULY 2013
(MONTHLY RESULT)
RM
1,627,408
(1,641,843)
(14,435)
(24,351)
(238,751)
(250,250)
31 AUGUST 2013
(MONTHLY RESULT)
RM
1,377,831
(1,094,570)
283,261
2,742
(203,291)
82,712
(23,900)
58,812
(30,591)
28,221
18
AS AT 31 JUNE 2013
(HALF YEAR RESULT)
RM
2,375,336
(2,241,999)
133,337
133,337
133,337
133,337
31 JULY 2013
(MONTHLY RESULT)
RM
271,737
271,737
271,737
31 AUGUST 2013
(MONTHLY RESULT)
RM
231,924
-
231,924
231,924
231,924
231,924
19
ONLINE COMMUNITY-BASED
FORMING GAME WITH A
SERIES OF FUN & EXCITING
MINI-GAME . THIS WILL BE
RELEASE ON DESKTOP
(FACEBOOK) & MOBILE
PLATFORM (INCL. ANDROID,
& IOS).
FOOTBALL
MANAGEMENT GAME
•
•
•
20
•
•
•
•
•
M&A GROWTH
•
•
•
•
•
•
PLAN FOR HONG KONG LISTING
• GATEWAY TO MAINLAND
CHINA & THE REST OF ASIA
•
•
•
•
•
•
MAINLAND CHINA’S GROWTH
RESPECTED & WELL ESTABLISHED LEGAL SYSTEM
INTERNATIONAL ACCOUNTING STANDARDS
REGULATORY FRAMEWORK
FREE FLOW OF CAPITAL
ADVANCED CLEARING & SETTLEMENT
INFRASTRUCTURE & FINANCIAL SERVICES
BETTER ACCESS TO CAPITAL FOR GROWTH
HIGHER PROFILE & VISIBILITY
INCREASED CORPORATE TRANSPARENCY
IMPROVED CORPORATE GOVERNANCE
GREATER EMPLOYEE COMMITMENT
LOCK IN THE GREAT CHINA MARKET
21
FYE 2013
Group
RM
23,554,645
FYE 2014
Group
RM
25,910,109.50
FYE 2015
Group
RM
27,723,817.17
FYE 2016
Group
RM
30,218,960.71
(12,732,322) (13,368,938.10) (13,903,695.62) (14,737,917.36)
12,541,171.40 13,820,121.54 15,481,043.35
27,793
(3,100,440) (3,501,110.00) (3,759,448.00) (3,872,231.44)
(3,000,000)
4,749,677
(277,673)
9,040,061.40
(251,374.00)
8,788,687.40
10,060,673.54
(229,906.00)
9,830,767.54
11,608,811.91
(211,513.52)
11,397,298.39
(89,194)
(134,285.00)
8,654,402.40
(16,900.00)
9,813,867.54
(16,900.00)
11,380,398.39
22
1
1
23
24
Lew Shau Kong (known as Michael), Executive Director, Executive President aged 37
Lew Shau Kong is the Executive President of the Company & the Macromac Group. He is responsible for indentifying, developing & implementing the
Group’s business strategy & direction.
After graduating from high school, Mr Lew obtained a certification from the Malaysian Insurance Institute to enable him to legally act as an insurance agent in Malaysia. In 1995, he joined Lean Giap Ent Sdn Bhd, a building materials company as a sales executive, where he was involved in distributing roofing materials to a number of major state government construction projects in Pahang, Malaysia. After a short period of time, he joined Elken Sdn Bhd, a direct selling company later in the same year, where he enjoyed considerable success due to his sales capabilities. In 1996, he set up ML Construction as a sole proprietor offering sub-contractor services for construction projects. In 1999, he set up Micro Magna Marketing in partnership with Macromac’s CEO Khoo
Tiong Keat. The company was primarily involved in the provision of stationery supplies & office equipment to Government departments. In 2000, he cofounded Macromac Corporation (M) Sdn Bhd, which was principally involved in the photocopy & office equipment leasing business, where he was put in charge of overseeing overall operations & marketing tasks. In 2006, under the Macromac umbrella, he became part of the founding team of MTSB as its
Executive President. Under his supervision, the Group successfully established a profitable product/service offering & a sustainable business model to ensure continued growth for the Group moving forward.
Khoo Tiong Keat (known as Andrew), Executive Director, Chief Executive Officer, aged 37
Khoo Tiong Keat is the Chief Executive Officer of Macromac. As CEO, he is primarily involved in Group’s key management & day-to-day operations, ensuring the successful execution of the Group’s plans.
Mr Khoo qualified with a Diploma from the Chartered Institute of Marketing (Sunway College, Malaysia) in 1999. He commenced his career as a Sales
Executive with Lean Giap Ent Sdn Bhd, a building materials distributor in 1995. In 1997, he joined L&M Corporation Bhd, another building materials company as a Sales executive. In 1999, he set up Micro Magna Marketing in partnership with Macromac Group’s Executive President, Lew Shau Kong. The company was primarily involved in the provision of stationery supplies & office equipment to government departments. In 2000, he co-founded Macromac
Corporation (M) Sdn Bhd. In 2006, under the Macromac Group umbrella, he became part of the founding team of MTSB as its CEO. Mr Khoo’s vision & leadership thus far have been key factors to the Group’s success, & continues to be a driver of growth for the Group moving forward.
25
KC Chong, Executive Director, Finance Director aged 45
Mr. KC Chong is a Certified Practicing Accountant (Australia) & a Chartered member of the Malaysia Institute of Accountants.
Mr Chong has over 25 years’ experience working in accounting & financial industries. He has been involved in the management of private &public companies since 1991. His notable experiences include functioning as Head of reputable stock broking companies, as well as CFO of publicly quoted companies listed on AIM, Malaysia, Singapore & Hong Kong.
Mr Chong is currently sitting on the board of Borneo Aqua Harvest Bhd as its Independent Non-Executive Director & Audit Committee Chairman.
Ho Wei Lih (known as Alvin), Executive director , Chief Business Officer ,aged 31
Ho Wei Lih is the Chief Business Officer of the Company. He is responsible for overseeing the Group’s business development & sales functions, & is responsible for developing new revenue sources for the Group.
In April 2004 Mr Ho joined Ho Trading, a family business involved in the provision of truck hire & logistics services for transportation of goods. In 2006, he became part of MTSB’s founding team, & has since been involved in heading the Group’s business development markets. Among his achievements in his current role include increasing the Group’s profits from below RM1million in 2006 to over RM6 million in 2012, achieving a consistent profit growth of over
20 percent per year, facilitating MTASB’s acquisition of the MSC status, & now, expanding the Group’s business reach beyond Malaysia to the Thai market.
Oh Hong Lian (known as Joseph), Executive director , Chief Technical Officer ,aged 31
Mr. Oh Hong Lian is the Chief Technical Officer of the Company. He is responsible for executing the technological direction of the Group’s proprietary mobile content aggregation & messaging platform, the MMP. His tasks include planning the development & design of the Group’s flagship product, as well as managing the overall operations of its technology division. Mr Oh graduated with a Diploma in Creative Multimedia from Saito Academy, Malaysia in 2004. In 2004, he commenced his career as a designer at Bluedale Media Sdn Bhd, where he developed print & interactive web advertising content. He also began developing mobile content such as wallpapers & animations. In 2005, he moved to MCOM Media Technology Sdn Bhd, where as a web designer, he was involved in website design, maintenance & programming.
In 2006, he became a part of MTSB’s founding team as its chief programmer. Here, he planned, designed & developed the MMP platform for easy content aggregation & distribution from content providers to mobile users. The MMP platform was launched for operation in 2007.
26
David Sherick , Independent Non-Executive Director, Aged 70
Mr. David Sherick is a Fellow of the Institute of Chartered Accountants in England & Wales (ICAEW) & has held posts at various academic institutions in both the UK & Hong Kong. He is member of the Institute of Internal Auditors for which he was the North Pacific Regional Director & also served on its Advanced Technology Committee & the International Relations Committee. Mr Sherick was the first chairman & founder member of the Forum for
International Irregular Network Access, a member of the Association of Certified Fraud Examiners & a member of Hong Kong Chapter of American
Society for Industrial Security. He is a Non-Executive Director of Resource Holding Management, an AIM listed media business based in Malaysia, & was, until 31 st July 2008, the director of risk management & legal services of Thus Group PLC (listed on the main market of London Stock Exchange).
He has over 30 years’ experience working with the telecommunications industry, with tenures at Hong Kong Telecom PLC, Cable &Wireless PLC (Hong
Kong), & providing consultancy services to PCCW PLC (Hong Kong) & Maxis Bhd (Malaysia). Mr Sherick also has over 30 years’ experience working in financial capacities, with key expertise in revenue assurance, internal audit & risk management.
David Mathewson, Independent Non-Executive Chairman, Aged 65
Mr. David Mathewson is an experienced non-executive director & a member of the Institute of Chartered Accountants of Scotland having qualified in
1972. He has sat on the board of a number of publicly listed companies including investment trusts over the past 20 years as Non-Executive Director or Chairman. Mr Mathewson has had an international career in finance& merchant banking up to 2001, with significant banking& advisory experience having been a director of Corporate Finance at Noble Grossart Limited & a Non-Executive Director of Noble & Company.
He was previously Non-Executive Chairman of Sportech PLC, a software, gaming & lottery company listed on the London Stock Exchange Main market, & Non-Executive Chairman of Asian Growth Properties, a Hong Kong property company listed on AIM. He has been a Non-Executive
Director of Robertson Group Ltd (UK), Edinburgh UK Tracker Trust PLC & Playtech Ltd (FTSE 250). He retired as Finance Director of Playtech Ltd in
December 2012.
David is a member of the audit committee & the remuneration committee.
27
28
The Growth of Cellular Telephone Subscriptions in Malaysia, 2001- 2012
•
•
cellular telephone subscriptions
36 million
2011
•
cellular telephone subscriptions
2000
5,122,000
•
2012
41,074,000 subscriptions
12 percent
2011
29
The Growth of Cellular Telephone Subscriptions in Malaysia, 2001 - 2012
The Cellular Telephone Penetration Rate in Malaysia, 2001- 2012
Notes:
• The cellular telephone penetration rate refers to the total subscriptions divided by the total population
& multiplied by 100
• A cellular telephone penetration rate over 100 percent can occur because of multiple subscriptions
•
The subscription data also includes Third Generation (“3G”) subscriptions
Growth of cellular telephone subscriptions in
Malaysia
• has remained strong moving into 2012.
• prepaid subscriptions dominate the cellular telephone market in Malaysia with 29,595,000 subscriptions recorded in 2011
• prepaid subscriptions account for 80.7 percent of the total cellular telephone subscriptions in 2011
• Prepaid subscription expanded 13.8 percent to
33,673,000 subscriptions
• Post-paid subscription improved 4.7 percent to
7,401,000 subscription respectively from 2011 to
2012
• Cellular telephone penetration rate in Malaysia had surpassed 100.0 per 100 inhabitants for 2011
& stood at 141.6 per 100 inhabitants in 2012
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The Estimated & Forecast Size of the Mobile Content Services Industry in Malaysia, 2012-2017.
Mobile Content Services Industry in Malaysia
• Valued at RM 3.09 billion in 2012
• Projected to continue growing between 2013 to 2017 at a CAGR of 6.6 percent .
• Expected to be valued at RM 4.24 billion in 2017 .
Positive Outlook on the Demand for Mobile Content
Services in Malaysia.
• Growing (and diversifying) usage of mobile content services
• Increasing cellular telephones subscription & penetration
• Increasing desire to personalise by mobile users.
• Government support towards E-payment .
• Smartphone penetration is escalating & mobile users gradually switching their preference from paid mobile content to unlimited media content & supply.
• Despite that, the mobile content services industry is expected to remain sustainable due to the medium used to channel content.
• SMS & MMS services has a strong established demand in Malaysia.
• Its ubiquitous availability as a fundamental application in all types of cellular telephones is envisaged to drive the usage of mobile content services in mobile banking, mobile advertising & text voting sectors.
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MOBILE PHONE
PERSONALISATION
Ring tones
(Monophonic,
Polyphonic, True Tone)
Graphics
Logo, Picture Message,
Colour Wallpaper,
Animation, Theme)
Java Games
Strategy, Puzzle, Action,
Racing
.
INFOTAINMENT
Sports News;
Gaming Results;
Updates; Gossip;
Feng Shui Tips; and
Advice
INFORMATION
World & Financial
News; Weather
Forecast; Stock
Alert; & Prayers
Information
BANKING &
FINANCIAL SERVICES
Transaction Authorization
Code; Alert & Notification; and E-Commerce
COMMUNICATION
Chat; Find a Friend, &
Share a Joke, Stories etc
OTHERS
Text
Donation;
Text Voting
Mobile content services in Malaysia are offered via SMS, MMS & WAP.
Mobile content services in Malaysia can be segregated into four main facets as follows:-
• The provision of content to any person, including but not limited to information, news update, data, joke, greeting message, ringtone, wallpaper etc for which charges may or may not be imposed to customer;
• The provision of service to any person, including but not limited to chat service, participation in contest, fundraising & voting ;
• A combination of provision of content & service ; and
• SMS broadcast or bulk SMS which can be channelled via SMS, MMS & WAP
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2011
2012
2013
2014
2015
2016
2017
2.90
3.09
3.29
3.50
3.73
3.98
4.24
The Historical, Estimated & Growth Forecast for the Mobile Content Services Industry, 2011-2017
CAGR (2012-2017) = 6.6 percent
Note: All figures are rounded; the base year is 2012
6.4
6.7
6.5
6.6
-
6.5
6.6
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POTENTIAL MARKET IN THAILAND
• STARTED TO ENTER THAILAND MARKET IN DECEMBER 2012
• OVER 80 MILLION MOBILE SUBSCRIPTIONS IN THAILAND, WITH A MOBILE PENETRATION RATE EXCEEDING 120% IN 2012 .
MOBILE PHONE USAGE IS HIGHLY POPULAR IN THAILAND
• SMARTPHONE PENETRATION & 3G SUBSCRIPTION REMAIN MODERATE, THUS LIMITING CONSUMPTION OF RICH MOBILE
CONTENT
• SMARTPHONE PENETRATION WAS BELOW 40% IN 2012, WHILE THE FULL COMMERCIAL ROLLOUT OF 3G SERVICES
NATIONWIDE HAS YET TO BE ACCOMPLISHED
• SMS & MMS REMAINED AN ESSENTIAL COMMUNICATION APPLICATION FOR MOBILE USERS IN THAILAND. IT WAS
ESTIMATED THAT THE REVENUE FROM SMS & MMS SWELL MORE THAN 40 % FROM 2011 & VALUE AT MORE THAN 40
BILLION BAHT IN 2012 .
POTENTIAL MARKET IN INDONESIA
• INDONESIA REGISTERED MORE THAN 260 MILLION IN MOBILE SUBSCRIPTION , WITH MOBILE PENETRATION EXCEEDING 100
PERCENT IN EARLY 2012.
• SMARTPHONE PENETRATION IMPROVED FROM ITS PRECEDING YEAR & ATTRIBUTED BY HIGHER DISPOSAL INCOME
AMONG THE NATIONS WHICH ENABLE THEM TO SPEND ON SECONDARY NEEDS, SUCH AS SMART PHONES.
• SMS AS A FUNDAMENTAL COMMUNICATION APPLICATION IS STILL WIDELY USED BY MOBILE USERS, PROVEN BY HIGHER
SMS REVENUE REGISTERED BY MAJOR TELECOMMUNICATION CARRIERS IN THE COUNTRY. INDONESIA’S LARGEST
TELECOMMUNICATION CARRIER , PT TELEKOMUNIKASI SELULAR, OR TELKOMSEL, SAW A 13 PERCENT IMPROVEMENT IN ITS
SMS TRAFFIC IN 2012 , WHILE REVENUE PER SMS INCREASED 4 PERCENT IN THE SAME YEAR.
• BESIDES THAT, SMS REVENUE OF PT INDOSET TBK & PT XL AXIATA TBK ESCALATED 66 PERCENT & 16 PERCENT
RESPECTIVELY FROM 2011 TO 2012.
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Software As A Service (Saas) Global Market (& Billion)
5
0
15
10
35
30
25
20
US$
Billion
45
40
8.1
10.8
14.3
19.1
25.4
33.8
2010 2011 2012 2013 2014 2015 2016
45.0
Source: * The Future of Virtualization, Cloud Computing & Green IT Global Technologies &
Markets Outlook* by Market Info Group’s new research report. (http://www.marketinfogroup.com/)
Software as a Service
(SaaS) Global Market is going to
33.1% CAGR over 2010
- 2016 period with an aggregate grow by
$156 Billion over the same period
100
80
60
40
20
Global Video Games Sector Revenue ($ Billion)
CONSOLE GAMES
ONLINE GAMES
MOBILE GAMES
PC GAMES
IN-GAME ADVERTISING
It means the Global
Software Development
Market has a strong increasing trend that will be optimistic in the next 5 years.
0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Source: *Global Games Investment review 2012* by Digi - Capital
Mobile gaming is actually gaining ground in the portable game category against handled consoles, Nintendo DS & Play Station Portable.
The share of revenue generated for mobile gaming has risen from a 19% in 2009 to 58% of the share in 2011 . That means a growth of almost
70% each years.
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APEJ Business Analytics Software Market Size & Forecast (US$ Mil)
US$ Million
5000
4000
3000
2000
1000
0 2008 2009 2010 2011 2012 2013 2014 2015 2016
Software Revenue
Annual Growth
Source: IDC Semi-annual Business
Analytics Software, 2H20101
25%
20%
15%
10%
5%
0%
Software as a Service (SaaS) market in the Asia/Pacific excluding Japan (APEJ) region has grown by 20.1% to be worth US$2,479.1 million in 2011 . Overall, the market is forecasted to grow at a 5-year CAGR of 12.3% to reach
US$4,432.7 million in 2016
Regional Market Game Market Revenue ($ ‘000 Mil)
US$ ‘000 Mil
100
90
80
70
60
50
40
30
20
10
0
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
NORTH AMERICA
EMEA
ASIA PACIFIC
LATIN AMERICA
Source: “Global Games
Investment Review 2012” by
Digi - Capital
The video games online & mobile region markets. market is going
, with Asia &
Pacific is the largest part of those
36
Contact Personal
Andrew Khoo
Address
43 & 45, JLN PJS 1/48, TMN PETALING UTAMA, 46150 PETALING JAYA,
SELANGOR, MALAYSIA.
Contact No.
+603-7785 9488
Fax No.
+603-7781 7593
Email Address andrew@macromacgroup.com
Website Address www.macromacgroup.com
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