ILINK Oppday 58Q2 21/8/2558

INTERLINK COMMUNICATION PUBLIC COMPANY LIMITED17 August 2015

THE INTERLINK GROUP

Agenda

Today Agenda

• Interlink Communication Business Overview

• Q2’2015 Operating Summary

• 5 Years Aspiration and Plan

THE INTERLINK GROUP

THE INTERLINK GROUP

2015

Divine Businesses into 1. Interlink

Communication PCL2. Interlink Telecom Co.,

Ltd3. Interlink Power and

Energy Co., Ltd

Our History in Depth

Establishment of Interlink Communication as a limited company

Becoming “LINK” proprietary distributor in Thailand and SEA

1998 1999 2000

Set-up Engineering Department to focus in engineering business such as Installation, Testing and Commissioning

2004

Announce 3 Company’s Promises• Quality Products• Better Price• Exceptional

Customer Service

Listed in MAI with IPO 4.25 baht per share

2007

Establishment of Interlink Telecom as a limited company

Expand service offering to include Submarine Cable Project Turnkey

2009 2011

Obtain land of 9,057 Sq.m to support the business growth

Business REFORMATION

2012 2013

• Interlink Communication PLC: Increased share capital to 145MB

• Interlink Telecom Co.,Ltd: Increased paid-up share capital to 300MB.

• Establishment of Interlink Data Center Limited

2014

THE INTERLINK GROUP

Interlink Communication PLC increase its registered share capital to appx. 289.98 million shares and has paid-up share capital of 259.99 million shares

• Interlink Communication PLC: Increased share capital to 362.45MB

• Interlink Telecom Co.,Ltd: transformed into Public Limited Company as “Interlink Telecom Public Company Limited” on 11 May 2015

1995

Accounting

Finance

Legal

Marketing

Business Process : Distribution

THE INTERLINK GROUP

Flagship Products

UTP

Fiber Optic

Co-Axial

Germany Rack

Unshielded Twisted Pair: A cabling that primary used in data network for short and medium length connection.

A Cabling technology that use glass threads to transmit data which provide much greater bandwidth than metal cable.

Type of wire that consists of a center wire surrounded by insulation and grounded shield. Heavily used by cable television industry and computer network.

An equipment that used to hold network and electronic equipment such as Server.

THE INTERLINK GROUP

Eduzones.com

Customer (Proj> 100MB)

Bidding on the project

Implementation and Service

Business Process : Engineering

THE INTERLINK GROUP

Flagship Projects

Ban

gkoksco

op

.com

Fiber Optic Project Contractor

Suvarnabhumi AirportTurnkey Project

Submarine CableTurnkey Project

THE INTERLINK GROUP

Interlink Power and Energy

THE INTERLINK GROUP

Credit: http://www.marinerthai.net/

Credit: http://www.t-pageant.com/

Interlink Telecom

THE INTERLINK GROUP

Interlink Data Center

THE INTERLINK GROUP

Agenda

Today Agenda

• Interlink Communication Business Overview



THE INTERLINK GROUP

Financial Summary

Million Baht

Year / Period

Consolidated Income Statements

INTERLINK GROUP

%YOY

Growth

HY'15 vs

HY'14

Total revenues 42.13%

EBITDA 105.01%

Net profit 89.34%51.46%

Q1'15

vs Q1'14

27.19%

68.16%

Financial Summary

Million Baht

Year / Period


INTERLINK GROUP

Q2’15

Q2’14


INTERLINK GROUP

%YOY Growth Q2'14 vs Q2'15

Distribution 20.30%

Engineering 18.77%

Telecom 186.84%

Others -92.71%

Revenue Breakdown by Business Units – Q2 Performance

Revenue Breakdown by Business Units – HY PerformanceHY15

HY14


INTERLINK GROUP

%YOY Growth HY15 vs HY14

Distribution 16.29%

Engineering 63.61%

Telecom 281.31%

Others -18.40%

Revenues / Overall Gross Profit Margin – Q2 Performance


INTERLINK GROUP

Overall

Telecom

Distribution

Engineering

Revenues / Overall Gross Profit Margin - HY Performance


INTERLINK GROUP

Overall

Telecom

Distribution

Engineering

Net Profit / Gross Profit Margin / Net Profit Margin – Q2 Performance

15.27%

16.14%


INTERLINK GROUP

Net Profit / Gross Profit Margin / Net Profit Margin – HY Performance


INTERLINK GROUP

13.50%

13.50%

Overview

Consolidated Statement of Fin. Position

INTERLINK GROUP

Current

Assets

Non-Current

Assets Equities

Non-Current

Liabilities

Current

Liabilities

31 December 2014 30 June 2015

Statements of Financial Position Structure

Total Assets 3,311.20Total Assets 3,214.18

Unit: Million Baht

-2.93%

Consolidated Statement of Fin. Position

INTERLINK GROUP

Liquidity Ratio

Financial Ratio

INTERLINK GROUP

31.12.14 30.06.15

Current Ratio (times) 1.08 1.17

Quick Ratio (times) 0.85 0.79

Accounts Receivable Turnover (times per year) FY'14 HY'15

- Distribution 8.02 12.86

- Engineering 34.15 7.97

- Telecom 3.62 6.56

- Average 9.19 8.18

Inventories Turnover (times per year) - Distribution 6.21 5.87

Accounts Payable Turnover (times per year)



- Telecom N/A-30 Days N/A-30 Days

- Average 6.44 6.68

Liquidity Ratio

Financial Ratio

INTERLINK GROUP

FY'14 HY'15

Days Collection Period (days)



- Telecom 99.40 54.90

- Average 39.17 44.03

Days Inventories Holding Period (days) - Distribution 58.00 61.34

Days Payment Period (days)



- Telecom N/A-30 Days N/A-30 Days

- Average 55.92 53.93

Cash Cycles (days)


- Engineering (113.41) (10.82)

- Telecom 69.40 24.90

- Average 41.25 51.44

Profitability Ratio

Efficiency Ratio

Financial Policy Ratio

Financial Ratio

INTERLINK GROUP

HY'14 HY'15

Gross Profit Margin (%)

- Distribution 22.49% 23.51%

- Telecom 37.14% 38.76%

- Engineering 17.28% 20.36%

- Average 21.35% 23.96%

Net Profit Margin (%) 7.85% 10.46%

Earning per Share 0.27 0.51

HY'14 HY'15

Return on Equity (%) 16.28% 21.54%

Return on Assets (%) 8.19% 10.50%

Return on Fixed Assets (%) 75.77% 19.28%

31.12.14 30.06.15

Debt to Equity Ratio (times) 1.22 0.91

P/E Ratio

Date: 11.08.15

Financial Ratio

INTERLINK GROUP

* According to the resolution of the 2015 AGM held on 29 April 2015, the dividend were paid at Baht 0.27778 each on 26 May

2015 (Note: X(D) on 6 May 2015).

Significant events1. The resolutions of the 2015 AGM, held on 29 April 2015: Dividend Payment

Significant Subsequent Events

Interlink Communication PLC Opportunity Day Date: 28 Feb 2013

Before adjustment of rights After adjustment of rights

Exercise price Baht 10 per share Baht 8 per share

Exercise ratio 1 unit per 2 share 1 unit per 2.5 share

Significant events2. The resolutions of the 2015 AGM, held on 29 April 2015: Adjustment of

Exercise Price and Exercise Ratio of ILINK-W1



To increase shares from Baht 289,983,558 (ordinary shares 289,983,558 shares at

par value of Baht 1 each) to be Baht 362,479,447 (ordinary shares 362,479,447

shares at par value of Baht 1 each)

The increased share capitals of Baht 65,262,310 are reserved for stock dividend

and Baht 7,233,579 are reserved for ILINK-W1 due to the adjusted exercise ratio.

Significant events3. The resolutions of the 2015 AGM, held on 29 April 2015 : Increase Registered

Share Capital



Agenda

Today Agenda

• Interlink Communication Business overview



THE INTERLINK GROUP

Trend

Cabling Market Trend

INTERLINK GROUP

“Interlink Cabling YoY Growth at 12.91%”

“ Key to watch: A changing of Technology leading to More Fiber Optic”

“ Key to watch: LINK Brand can capture more market over AMP over time”

STRATEGY: Capture and Ride Above the TREND

Source: Nectec

Market Brand

Dominant

Analysis

Q22015 Q22015 2014

LINK over AMP

Ratio5.48 5.39 4.32

Fiber Growth

TrendQ22015 Q12015 2014 Increase

Fiber 16.94 14.78 13.04 29.93%

UTP 48.49 50.75 52.13 -6.98%

% Sale to Revenue

Asian Economic Community (AEC)

2015 598.5 Million in population

INTERLINK GROUP

Already Establish Partnering program

Already Establish Partnering program

Market that Interlink Capture is not yet mature therefore, the sale exposure is still related to Project Base

International

Sale Growth

Q2 2015

YoY

Q2 2015

QoQ

Q1 2015

Yoy

Lao P.D.R 27.33% -8.68% -1.30%

Myanmar 4.32% -46.91% -46.91%

Overall

International15.82% -30.23% -30.23%

Emphasize more on CLMV

• Cambodia

• Laos

• Myanmar

• Vietnam

Access into another cabling focus area

• Expand new product line to

• Data Center Facilities

Focus More on Regional Growth

• Focus on Education Program

• Focus more on regional marketing campaign

5 Years Strategy: Distribution

INTERLINK GROUP

“ Key to watch: More Data Center will be build over next 10 Years”

LINK Rack Q22015 Q12015 2014

Link Rack Sale

Growth (YoY)77.08% 64.44% N/A

Link Rack % of

Revenue2.92% 1.24% 0.895%

5 Years Strategy: Interlink Power and Energy

High CapEx with High and Fluctuate OpEx

Source: edfenergy

INTERLINK GROUP

High CapEx BUT Control or Low OpEx


INTERLINK GROUP

• Gulf of Thailand : 374 Islands• Andaman Sea : 56 IslandsTop 4 Island1. Koh Samui2. Koh Chang3. KohTarutao4. Koh Phangan5. Koh Kood

INTERLINK GROUP


Submarine Cable Project Listล ำดบั โครงกำร ระยะทำง

(กม.)ระบบ (เควี)

ขนำดสำย (ต.มม.)

มลูค่ำงำน(ล้ำนบำท)

ควำมคืบหน้ำ

1 โครงการก่อสรา้งSubmarineCable ไปยงัเกาะเต่า จ.สุราษฎรฯ์

45 33 185 1,686.00 รอเขา้ครม อนุมตัแิละเปิดประมูล

2 โครงการก่อสรา้งSubmarineCable ไปยงัเกาะสมุย Phase 4

26 115 500 2,130.00 ผา่น กกพ แลว้ รอเขา้ครมอนุมตัิและเปิดประมูล

We are partnering with Submarine World Class“ Key to watch: The Process of Bidding should be release both project by 2015”

Submarine

Cable

Subscribe Residential Industry

Samui 28,382.00 8,285.00

Pgan

TaoTotal

7,881.00

2,753.00

47,301.00

INTERLINK GROUP


Submarine Cable Project List

“ Key to watch: In the same area still have more project need for more than 8 billion for the next 30 Years

INTERLINK GROUP


Submarine Cable Project List

TOT already got CEO while waiting the strategy to push on the Submarine Cable project from TOT side.

“ Key to watch: Interlink already submit proposal to Project owner (Tyco Electronic) to have an evaluation on The company”

Approve to the Consortium

Under discussion

Provide the best Reliability Network and One of the Kind

Customer Service

Expand Network to provide International

Service

3 Years Strategy: Interlink Telecom PLC.

Catching the trend by providing service to

support 3G and Digital TV and all other new trends came across



2015• Expand on International Business• Provide Core Backbone for more than one main providers• More Revenue from ISP and Enterprise• Expand to cover more Banking Financial and Insurance • Maintain Digital TV customer and provider value added

service + Expand to Thaicom Customers• Maintain and Upgrade for Higher Reliability (Standard at

99.90% Interlink Target at 99.99% Currently at 99.997% (Average Q2 2015))


Data Center Business

Interlink Communication PLC

“Current Occupacy @ 80% and Plan to Obtain 95% in Q3 2015”

Data Center Business

Interlink Communication PLC

Q&A

THE INTERLINK GROUP

For Your Attention

Thank You

THE INTERLINK GROUP