on time logistics (6123 hk) china puti express delivery · indonesia, japan, korea, malaysia,...
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Page 1 of 1
22 September 2014
Kenneth Li
(852) 2235 7619
Trading data
52-Week Range (HK$)
3 Mth Avg Daily Vol (m)
No of Shares (m)
Market Cap (HK$m)
Major Shareholders (%)
Auditors
Result Due
1.14/2.22
-
415
905
S Lam (46.3%)
E&Y
FY14: March Company description
On Time Logistics “OT” is a newly listed growing
freight forwarding service provider with its
headquarter in Hong Kong. OT Currently has 55
sales offices worldwide, spreading across 16 key
trading countries in Asia. It has over 29,000
clients with top brands such as Tommy Hilfiger,
Tom Tailor, Witt Weiden and WT
Microelectronics.
Price chart
Express delivery
Rating Buy New initiation
Target price HKD 2.75
Current price
HKD 2.10 Upside +31%
A growing freight forwarding service provider
On Time Logistics “OT” is a newly listed growing air and ocean
freight forwarding service provider with its headquarter in Hong
Kong. OT currently has 55 sales offices worldwide, spreading across
16 key trading countries in Asia. It has diversified client base with
over 29,000 clients including top brands such as Tommy Hilfiger,
Tom Tailor, Witt Weiden and WT Microelectronics with top 5 clients
only accounted for less than 20% of its total revenue. We forecast
adjusted net profit growth of 53%/25.8% for FY14/FY15 due to
strong demand for freight forwarding service and operating leverage.
Exploring E-commerce opportunities
OT is currently exploring opportunities in three different ways
including 1) Exploring opportunities in providing air freight forwarding
services to E-commerce businesses for their overseas expansion, 2)
it has recently launched its 60%-owned retail website, and 3)
providing logistics service for foreign brands that wish to enter the
China market through E-commerce. Given its already built logistic
and IT network, we believe any success in the E-commerce side will
present large upside risk to its core business of freight forwarding.
Global logistics industry growth on the rise
The total revenue of global logistics industry is forecasted to grow by
CAGR of 11.6% during 2013-2016 from CAGR of 8.4% during
2008-2013. Global freight forwarding industry is forecasted to grow
by CAGR of 8.7% during 2013-2016 from 4.3% CAGR during
2008-2013 due to stronger international trade as a result of recovery
in global economy. Uptrend in the logistics/freight forwarding
industry is expected to provide tailwind to OT’s operation.
Initiate at BUY with target price HK$2.75
We believe OT is interesting as it will benefit from global economic
recovery and rising E-commerce freight forwarding/logistic needs.
We initiate OT with BUY and target price of HK$2.75, based on 10x
FY15 PE which is discount to Sinotran due to short listing history
and small market cap. We believe our earnings forecast will have
upside when OT starts E-commerce related business by providing
air freight forwarding service.
HK$ m (Dec-end) FY11A FY12A FY13A FY14E FY15E
Revenue 2,320 2,634 3,161 3,673 4,611
Operating profit 67 61 78 120 169
Net Profit 51 38 46 81 114
Adjusted NP 53 53 59 91 114
EPS (HK$) - - - 0.22 0.27
Adjusted P/E (x) - - - 10.0 7.9
Div yield (%) - - - 1.8 2.5
Sources: Company, CIRL estimates
On Time Logistics (6123 HK)
China Puti
China Puti
Page 2 of 2
A growing freight forwarding service provider
Established in 1995, OT is a growing freight forwarding service provider with its
headquarter in Hong Kong. OT Currently has 55 sales offices worldwide, spreading
across 16 key trading countries in Asia including Hong Kong, China, Cambodia, India,
Indonesia, Japan, Korea, Malaysia, Myanmar, Pakistan, Singapore, Taiwan, Thailand,
the UAE and Vietnam. and has sales offices in the Netherland which is a logistic hub for
Europe as well as in the US which covers the whole American continent. OT’s air and
ocean freight business mainly involves providing export freight forwarding services
through obtaining cargo space from major airlines and other carriers, consolidating
goods from different customers to maximize the “yield per kilo” of cargo space and to
deliver the consigned shipments to the destinations required by the customers.
Exhibit 1:Revenue forecast of OT Exhibit 2: Composition of OT revenue in 1H14
2,320 2,634
3,161
3,734
4,585
1,000
1,500
2,000
2,500
3,000
3,500
4,000
4,500
5,000
HK$ m
FY11-FY13 CAGR 16.7%
FY13-FY15 CAGR 20.4%
Air freight, 69.7%
Ocean freight, 26.7%
GSA, 0.1%
Logistics, 1.2% Others, 2.4%
Source: Company, CIRL estimates Source: Company, CIRL
Since establishment, OT has accumulated a broad range of client base with more than
29,000 clients. Its top clients including Tommy Hilfiger, Tom Tailor, WT Microelectronics,
and Witt Weiden. However, OT does not overly rely on particular client, as it enjoys low
customer concentration level with its top 5 clients accounted for less than 20% of its total
revenue during FY11-FY13.
Exhibit 3: Revenue breakdown by sector in 1H14 Exhibit 4: OT’s total client number
Garment/textile, 65%
Electronics, 35%
25,000
28,000
29,000
20,000
22,000
24,000
26,000
28,000
30,000
Source: Company, CIRL Source: Company, CIRL
Page 3 of 3
In terms of sector breakdown, OT derives around 40% of its revenue from the
textile/garment/fashion sector with around 25-30% coming from the electronic sector.
Management believes revenue contribution from electronics will be gradually higher in
the future as China exports more electronic goods.
OT derives 70% of its revenue from air freight forwarding business in 1H14, 28% of its
revenue from ocean freight forwarding. OT also provides other logistics services such
as warehousing, distribution, customs clearance, contract and ancillary logistics
services as well as general sales agency for the wholesale of cargo spaces. In terms of
revenue by destination, OT derives 54% of its revenue from Europe, 31% from North
America, 12% from Asia. OT maintains strong business relationship with key freighter
airlines globally, its largest suppliers of air cargo space including Cathay Pacific,
Emirates, British Airline, Cargolux, Malaysia Airline, China Southern and KLM.
Exhibit 5: Revenue by destination in FY13 Exhibit 6: OT’s cost of sales in FY13
Europe, 54%
North America, 31%
Asia, 12%
Other, 4%
Freight charges, 61.0%Local charges,
11.7%
Surcharges, 12.4%
Others, 14.9%
Source: Company, CIRL Source: Company, CIRL
OT has made substantial investment in IT systems using SAP software and related
equipment and developed its own freight operation IT system. The system includes an
electronic data interchange which facilitates convenient and direct data exchange
among its clients and cargo space suppliers. Given the IT system can monitor and
coordinate the forwarding processes on real-time basis, it allows OT to make informed
decisions on cargo space management based on real-time data.
OT has so far established 16 electronic data interchanges with its customers and other
logistics industry players. This has forged a solid foundation for OT to scale up its
business and ramp up the e-commerce related business in the future.
Page 4 of 4
Exhibit 7: Business model of freight forwarding service to customers
Source: Company, CIRL
Exhibit 8: Business model of general sales agency service
Source: Company, CIRL
Exhibit 9: Business model of general sales agency service
Source: Company, CIRL
Page 5 of 5
Exploring E-commerce opportunities
As freight forwarding and logistics is vital to E-commerce, OT is currently exploring
opportunities in three different ways including 1) Exploring opportunities in providing air
freight forwarding services to E-commerce businesses for their overseas expansion, 2)
Selling goods through its own retail website, and 3) providing logistics service for foreign
brands that wish to enter the China market through E-commerce.
Providing air freight forwarding services to E-commerce businesses
As E-commerce businesses in China reach certain scale, these companies will actively
eyeing the global opportunities in online commerce. They aspire to become leading
players in E-commerce globally by leveraging China’s low-cost manufacturing base and
their expertise in building out a full-service E-commerce platform to build an unfair
competitive advantage in other regions in the world.
OT is an exclusive partner in air freight forwarding with the Post Office of Finland and
enjoys strong relationship them for many years. We believe such exclusive partner
relationship is valuable to E-commerce businesses that wish to expand their
E-commerce business in Europe, in particularly Eastern Europe. The reasons are:1)
Finland has geographical advantage as it has the shortest flight route from China to
Europe. 2) For E-commerce businesses that wish to channel their goods into Eastern
Europe in particular Russia, Finland represents a gateway to eastern European
countries due to close proximity. 3) Finland is more politically stable and better public
securities.
Exhibit 10: Finland has geographical advantage in distributing goods to rest of Eastern Europe countries
Source: GOOGLE.COM, CIRL
Page 6 of 6
Currently, there are two shipping methods that E-commerce business provides to their
customers abroad. For example, the shipping period from a customer in Russia ordering
goods online to delivery takes about 60-70days using China Post, which is the cheapest
method, or the customer can pay a premium shipment price using foreign courier such
as DHL, which can be delivered in a few days. However, OT aims to provide air freight
forwarding service which enables the goods to be delivered to the customer in Russia
within 2 weeks without charging a premium price on shipping. In addition, OT’s vast
freight forwarding network with 55 offices in different cities globally would also be
valuable to E-commerce businesses that wish to expand abroad.
In fact, e-commerce giants in China are actively seeking ways to expand their overseas
sales. As reported by Financial Times, Daphne Lee, head of Taobao International, says
Taobao has been taking international strategies step by step and has been trying to
forge logistics and payment partnerships1. On the other hand, JD.com Global, the
international website of JD.com, a leading Chinese B2C e-commerce company, has
launched a free international delivery service in December 2013, for orders over $49.
Over the time, we believe there will be lots of opportunities in e-commerce that OT can
apply its logistics solution in.
Selling goods through its own retail website
OT has recently launched its own retail website http://www.holicbuy.com. The website is
60% owned by OT and 40% owned by employees who had rich experience working in
one of the e-commerce giants in China. The website mainly sells small foreign brand
fashion goods, cosmetic products and Korean products, initially targets Malaysian and
Singaporean Chinese customers. As the website is at its infancy stage, management
targets to bring more 2nd
line brands onto the website. However, OT management will
not heavily invest on this website and but aims to provide the air freight and logistics
services to suppliers which could boost OT’s core freight forward business.
Exhibit 11: OT’s HolicBuy website
1 http://www.ft.com/cms/s/0/6ac8a246-bac2-11e2-b289-00144feab7de.html#axzz3E0TU42Pz
Page 7 of 7
Source: HOLICBUY.COM, CIRL
Page 8 of 8
Providing logistics service for small foreign brands that wish to enter the China
market through E-commerce
Due to rise in consumer spending in China, in particular foreign goods which are
perceived as better quality, many small foreign brands wish to enter the Chinese market
through E-commerce which has minimal setup costs for them. However, they have
difficulty that prevents them from entering given the language barriers and lack of
experience.
OT is exploring opportunities in terms of providing logistics service for these small
foreign brands. OT aims to partners with established Chinese companies that are
currently providing advisory services to suppliers in Tmall and other E-commerce
platforms. Over the years, OT has accumulated large client base with over 29,000
clients. Through such business models, OT can provide logistics services for these
brands for their inbound goods into China. In addition, OT wishes to acquire a courier
company in China that has import custom clearance license, so their inbound operation
in the future can be more vertically integrated.
Page 9 of 9
Global logistics industry growth on the rise
The total revenue of global logistics industry grew by CAGR of 8.4% from US$6,868b in
2008 to US$10,279b in 2013. Total revenue declined in 2009 as a result of the global
financial crisis, but gradually recovered from 2010 onwards. According to Ipsos, the total
revenues of global logistic industry will grow at CAGR 11.6% during 2013-2016 due to
recover of global economy. In addition, OT’s main business regions, that is China,
Southeast Asia, North America and Europe will grow at CAGR of
12.9%/9.3%/8.0%/8.9% during 2013-2016 respectively, which are all higher than
11.7%/6.9%5.9%/5.5% growth recorded in 2013 in the respective regions.
Exhibit 12: Total revenue of logistics industry Exhibit 13: Revenue of global logistics industry by regions in 2013
68686253
7079
85099451
1027911544
12944
14305
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
US$ b
2008-2013 CAGR 8.4%
2014-2016 CAGR 11.3%
North America, 36.6%
Europe , 21.6%
China, 16.2%
Southeast Asia, 9.0%
Asia Pacific, 7.7%
Hong Kong, 0.6%Others, 8.3%
Source: Ipsos, CIRL Source: Ipsos, CIRL
The global freight forwarding industry accounted for 26.7% of the total revenue in global
logistic industry in 2013. Global freight forwarding industry revenue grew at CAGR 4.3%
during 2008-2013 to US$2,746b in 2013. With the just-in-time management concept
being increasingly adopted in recent years, global manufacturers, distributors, and
retailers rely on frequent shipments to sustain production flows and inventory, instead of
accumulating inventory. This has led to the increase in the demand for freight forwarding
services and sustained the growth in the total revenue of the global freight forwarding
industry in the past years. Global freight forwarding revenue is forecast to grow by
CAGR of 8.7% during 2013-2016 driven by recovery in global economy.
Exhibit 14: Total revenue of global freight forwarding industry Exhibit 15: Freight forwarding as % of global logistics industry
2227
18932173
24352619 2746
30153273
3525
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
US$ b
2008-2013 CAGR 4.3%
2013-2016 CAGR 8.7%
Freight forwarding,
26.7%
Others, 73.3%
Source: Ipsos, CIRL Source: Ipsos, CIRL
Page 10 of 10
The logistics industry includes freight transport, freight forwarding, warehousing and
storage, ports and terminals operations and other logistic services such as custom
clearance, logistics services include inbound and outbound transportation management,
fleet management, warehousing, materials handling, order fulfillment, logistics network
design, inventory management, supply and demand planning, third-party logistics
management and other support services. Logistics services are involved at all stages of
the planning and execution of the movement of goods.
Exhibit 16: Logistics service flow
Source: Ipsos, CIRL
Source: CCID, CIRL
As part of the logistic industry, the core business of a freight forwarder is to move a
shipper’s consignment to the consignee within the designated time, in the required order
and at the most competitive price. Freight forwarding services involve combining
shipments of different customers in order to secure cargo space from carriers on
favourable terms.
The global freight forwarding industry is becoming more demanding as customers
demand much more than traditional transportation and warehousing services from
Exhibit 17: Comparison of main modes of transportation
Freight rates
Speed
Weight
Size
Time criticalness
Sea
Medium
Low
High
Large
Low
Land
Low
Medium
Medium
Medium
Medium
0
Air
High
High
Low
Small
High
Page 11 of 11
freight forwarders. As the supply chain management is also increasingly important to
customers, freight forwarders also provide other value added services such as
warehousing, distribution and total logistic solutions, which involve tracking and
monitoring of freight being transported, and applying electronic data interchange (EDI)
technology to facilitate just-in-time based supply chain management.
Exhibit 18: Logistics service flow
Source: Ipsos, CIRL
Page 12 of 12
Financial analysis and valuation
We forecast revenue growth to be driven by air/ocean volume growth as well as
ASP. We forecast total revenue growth of 16% yoy in FY14 and 26% yoy in FY15. In
particular, we forecast air freight forwarding service to enjoy faster growth of 19%/22%
for FY14/FY15 as the global economy continues to recover, there will be greater
demand for air freight as clients prefer faster delivery. We forecast ocean freight service
to grow by 17%/35% in FY13/FY14 driven by organic demand growth as well as new JV
in Europe.
Gross margin to be stable. We forecast both air freight and ocean freight segment
gross margin to remain at the similar level of 1H14 at 15% for FY14/FY15.
EBIT margin on the uptrend due to operating leverage. We forecast EBIT margin
to trend up from 2.5% in FY13 to 3.3% in FY14 and 3.7% in FY15 due to operating
leverage.
Rise in adjusted net profits, conservative if OT can cooperate with E-commerce
giants. We expect adjusted net profit which excludes listing expense to reach
HK$91m in FY14, representing adjusted net profit growth of 53% yoy. We forecast net
profit to grow by 26% yoy to HK$114m in FY15. We believe our estimate is conservative
if OT can cooperate with E-commerce giants.
We initiate OT with BUY at 10x FY15 PE, target price HK$2.75. We initiate OT with
BUY and target price of HK$2.75, based on 10x FY15 PE which is discount to Sinotran
due to short listing history and small market cap.
Page 13 of 13
APPENDIX
Exhibit 19: Company history
Year Major events
1995 - Founded in Hong Kong
1999 - Established a representative office in Shanghai
2001 - Accredited with the International Air Transportation Association Membership
2002 - First block-space agreement for securing cargo space
- Began setting up its own offices in other countries in Asia
2004 - Commenced contract logistics business
2007 - Obtained the China Civil Air Transport Sales Agency Services Certificate necessary to
deal directly with PRC airlines
- Started GSA business
2010 - Set up its first office in India
2011 - Acquired 75% equity interest in OTX Logistics Holland
- Expansion and establishment of its office in Canada and the US
2012 - Expansion and establishment of its office in Dubai
2013 - Set up 7 offices in the US
2014 - Listed on Hong Kong Stock Exchange
Source: Company, CIRL
Exhibit 20: Management Profile
Name Position Experience
Mr. Spencer Lam Founder / Chairman Mr. Lam is responsible for overall strategic and business development of OT. MR. Lam
has over 28 years of experience in the operation and management of the freight
forwarding and logistics industry. Mr. Lam started off his career in Freight Express back in
1984 and founded OT in 1995.
Mr. Hartmut Haenisch Executive Director Mr. Haenisch is responsible for OT’s overall sales and business development. He joined
OT in 1998 as managing director. Before that, he was the sales manager in Freight
Express and has accumulated over18 years of experience in the freight forwarding and
logistics industry.
Ms. Tiffany Wong Executive Director Ms. Wong is the CFO and company secretary. Joined in 2006 as accounting manager
and became financial controller since 2006. Ms. Wong has over 15 years of accounting
experience and is a certified accountant.
Source: Company, CIRL
Page 14 of 14
Exhibit 21: Peers comparison
Exhibit 1:
Pork
products
sold in
supermark
et counters
Source: Bloomberg, CIRL
Exhibit 22: Financial summary
Exhibit 1:
Pork
products
sold in
supermark
et counters
Source: Bloomberg, CIRL estimates
Bloomberg Mkt Cap PER (x) P/B (x)
code (HKD mn) FY13A FY14E FY15E FY13A FY14E FY15E
HK FF/LOGISTIC PEERS
ASR LOGISTICS 1803 HK 600 6.4 12.3 10.7 2.5 1.9 2.9
KERRY LOGISTICS 636 HK 21,304 9.0 20.2 18.6 - 1.6 1.5
SINOTRANS LTD-H 598 HK 25,290 21.8 16.3 13.7 1.8 1.6 1.5
Average 15,731 12.4 16.3 14.3 1.4 1.7 1.9
On Time Logis tics 6123 HK 905 - 10.0 7.9 - 1.9 1.5
OVERSEAS FF/LOGISTIC PEERS
DSV A/S DSV DC 41,720 19.1 17.0 15.1 5.7 4.8 4.6
EXPEDITORS INTL EXPD US 64,046 25.0 22.9 20.4 4.3 4.1 4.5
KINTETSU WORLD 9375 JP 10,884 14.9 15.8 14.8 1.5 1.7 1.4
NIPPON EXPRESS 9062 JP 35,593 16.9 17.4 15.3 0.8 0.9 0.9
Average 38,061 19.0 18.3 16.4 3.1 2.9 2.9
Income statement Cash flow
Year to Dec (HK$ mn) FY11A FY12A FY13A FY14E FY15E Year to Dec (HK$ mn) FY11A FY12A FY13A FY14E FY15E
Revenue 2,320 2,634 3,161 3,673 4,611 Pre-tax profit 64 58 74 116 163
Gross profit (reported) 327 382 465 554 694 Taxes paid (8) (15) (14) (29) (41)
EBITDA 75 71 88 132 184 Depreciation 8 9 10 12 15
Depreciation (8) (9) (10) (12) (15) Associates 2 3 4 5 6
EBIT 67 61 78 120 169 CFO bef. WC change 75 70 88 133 184
Net interest income (exp.) 0 0 0 0 0 Change in working cap 8 (26) (84) (15) (47)
Associates 0 (0) (0) (0) (0) Cashflow from operation 83 45 5 117 137
Exceptionals/others 0 0 0 0 0 CAPEX (13) (7) (13) (25) (25)
Profit before tax 64 58 74 116 163 Free cash flow 70 37 (8) 92 112
Tax expenses (10) (14) (19) (29) (41) Dividends 0 0 (25) (16) (23)
Minority interest (3) (6) (9) (6) (9) Balance sheet adj. 2 3 4 5 6
Adjusted net profit 53 53 59 91 114 Sharse issued 0 0 0 136 0
Dividends 0 0 25 16 23 Others 2 3 4 5 6
Net cash flow 25 21 3 178 42
Balance sheet Net cash (debt) start 113 138 160 164 342
Year to Dec (HK$ mn) FY11A FY12A FY13A FY14E FY15E Net cash (debt) at year-end 137 159 163 342 385
Cash & equiv 140 162 168 346 388
Trade receivables 312 438 550 624 784 Ratios
Other receivables 34 53 70 70 70 Year to Dec (HK$ mn) FY11A FY12A FY13A FY14E FY15E
Inventories 0 0 0 0 0 Growth rate (%)
Other current assets 19 32 26 26 26 Revenue 13.5 20.0 16.2 25.5
Fixed assets 44 45 51 64 74 EBITDA (5.2) 24.9 49.9 38.9
Intangible assets 26 24 22 22 22 EBIT (8.1) 28.1 53.2 40.6
Investment, associates etc 32 32 35 35 35 Adjusted net profit 0.1 12.6 52.9 25.8
Total assets 607 785 921 1,187 1,399 Fully diluted EPS 0.1 12.6 52.9 25.8
Margins (%)
Account payables 216 339 379 438 550 Gross margin (reported) 14.1 14.5 14.7 15.1 15.0
Other payables 0 2 1 1 1 EBITDA 3.2 2.7 2.8 3.6 4.0
Short-term debt 97 109 165 165 165 EBIT 2.9 2.3 2.5 3.3 3.7
Other current liabs 18 9 13 13 13 Net margin 2.2 1.4 1.5 2.2 2.5
Long-term debts 14 14 16 16 16 Other ratios
Deferred tax and others 11 11 13 13 13 ROE (%) 20.4 12.9 14.5 15.3 18.2
Other long-term liabs (11) (11) (13) (13) (13) ROA (%) 8.4 4.8 5.0 6.8 8.1
Total liabilities 345 473 574 634 746 Net gearing (%) (16.2) (17.4) 0.5 (33.6) (35.0)
Interest coverage (x) 21.6 17.4 16.5 24.0 28.2
Share capital 21 21 21 16 158 Receivables days 31.3 52.0 57.0 58.3 55.7
Reserves 230 273 299 374 467 Payables days 22.8 45.0 48.6 47.8 46.1
Shareholders' equity 250 293 320 526 626 Inventory days 1.8 0.0 0.0 0.0 0.0
Minorities 11 18 27 27 27 Effective tax rate (%) 16.0 23.7 25.8 25.0 25.0
Total equity 262 312 347 553 653
Net cash (debt) 41 51 (2) 177 219
Page 15 of 15
Risk factors
Slowdown in global economy or outbreak of war
Slowdown in global economy will affect the demand of global trade and thus the
demand for freight forwarding service.
Foreign exchange risk
OT has foreign exchange risk as some transactions are settled in foreign currencies
such as USD and EUR and while most of its costs are HKD and CNY.
Risk of passing through increase in freight costs to customers
OT purchased a minimum amount of air cargo space at pre-determined price. Clients
may not accept the amount charged by OT which could result in lower margins by OT.
Page 16 of 16
Rating Policy
Rating Definition
Stock Rating Buy Outperform HSI by 15%
Neutral Between -15% ~ 15% of the HSI
Sell Underperform HSI by -15%
Sector Rating Accumulate Outperform HSI by 10%
Neutral Between -10% ~ 10% of the HSI
Reduce Underperform HSI by -10%
Analysts List
Antony Cheng Research Director (852) 2235 7127 [email protected]
Hayman Chiu Senior Research Analyst (852) 2235 7677 [email protected]
Kenneth Li Senior Research Analyst (852) 2235 7619 [email protected]
Lewis Pang Senior Research Analyst (852) 2235 7847 [email protected]
Susanna Chui Research Analyst (852) 2235 7131 [email protected]
Analyst Certification
I, Kenneth Li hereby certify that all of the views expressed in this report accurately reflect my personal views about the
subject company or companies and its or their securities. I also certify that no part of my compensation was / were, is /
are or will be directly or indirectly, related to the specific recommendations or views expressed in this report / note.
Disclaimer
This report has been prepared by the Cinda International Research Limited. Although the information and opinions
contained in this report have been compiled or arrived at from sources believed to be reliable, Cinda International
cannot and does not warrant the accuracy or completeness of any such information and analysis. The report should not
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