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Company profile ABCD GROUP CO., LTD.

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Presentation on theme: "Company profile ABCD GROUP CO., LTD."— Presentation transcript:

1 Company profile ABCD GROUP CO., LTD

2 Agenda Ι Company Profile ΙΙ Customer Base & Product Range
ΙΙΙ Sector Data IV Strategy

3 Ι. Company Profile : History milestones Group Premises Group Structure
Shareholders

4 History – Milestones 2001: SIDMA acquires the majority of AABC CO S.A., a manufacturer of polyurethane steel sandwich panels. 2005: AABC enters the Athens Stock Exchange. Subsidiaries in Bulgaria and Romania are founded. : AABC establishes its leading position as a steel trader in the Greek market 2012: Total production of the company moves to Salonica : One merger and one acquisition in the sector. 1931: AABC (Steel Trading of Macedonia) is founded in Thessaloniki by the Amariglio brothers. 1950: The headquarters move to Athens. 2004: Export activity to the Balkans begins. 2007: Construction of three new Steel Service Centers (Inofyta, Bucharest and Sofia) is completed. 1991: SIDMA begins its transformation to a Steel Service Center. The first processing lines are installed. 1999: AABC enters VIOHALCO group. 2002: ISO 9001:2000 Certificated 2006: ISO 14001:2004 Certificated

5 ISO CERTIFICATED ISO 14001:2004 ISO 9001:2000

6 Group Premises Aspropyrgos (Athens Area) Inofyta (Athens Area)
Oreokastro (Thessaloniki Area) PANELCO S.A. (Lamia) SIDMA Bulgaria (Sofia) SIDMA Romania (Bucharest)

7 SIDMA S.A. at a glance Producer SIDMA S.A. Customer
Products: Flat, Long, Wire Products & Panels. Construction: Building and civil engineering Services: Cutting & Slitting , Shot blasting & Painting, Polishing, Plasma & Oxygen cutting. Merchants: Retail Manufacturing : Machinery White Appliances Mechanical Engineering Leading steel distributor in the Greek and Balkan markets combined. Distribution network with 5 warehouses in Greece and the Balkans. 212 employees. Key financials FY 2008 Sales: € 300 million FY 2013 Sales: € 128 million FY 2014 Sales: € 129 million Others: Public Sector Metal products Shipbuilding

8 ΙI. Customer Base & Product Range

9 Customer Base Manufacturers and industries, utilizing steel products as raw material for their production. Traders of steel and related materials. Constructors of metallic parts and mechanical industry. Construction companies and joint ventures for public and private projects. More than 1,400 active customers No customer represents more than 2% of the total annual turnover

10 Product Range Flat Long Products Products Wire Panels Products
Hot Rolled Cold Rolled Pickled & Oiled Galvanized Corrugated &Trapezoidal Prepainted Stainless Steel Merchant Bars Profiles Hollow Sections Construction Tubes Flat Products (Coils & Sheets) Long Products Wire Products Panels Galvanized Wire Galvanized Fencing Mesh Black Wire Metal sandwich panels mainly used as a composite cladding in roofing and walling of industrial, commercial and residential buildings, as well as industrial refrigeration chambers.

11 Typical Product & Services
Flat Products Oxygen and plasma cutting Corrugated Products Long products Profile Steel/ Hollow Profiles/ Tubes Cutting to Length Bending Blasting/ Coating Galvanized

12 III. Sector Information 1
III. Sector Information 1. Steel Cycle and EBITDA / cash flow relationship 2. EU - Apparent Consumption

13 SINCE 2007 ABOUT 50m MTONS HAVE DISAPPEARED FROM EU MARKET SUPPLY
Apparent Consumption SINCE 2007 ABOUT 50m MTONS HAVE DISAPPEARED FROM EU MARKET SUPPLY 184 184 175 7% 163 170 152 137 145 146 32% 6% 9% 132 140 4,0% 19% 6% 115 F E2014 SOURCE: EUROMETAL, World Steel Association

14 ΙV. Strategy 1. Risk Management 2. Crisis Management

15 65% receivables is presently covered
Risk Management Effective risk management is central to SIDMA’s success and growth. Sources of risk: Source Action Client Default Credit Insurance 65% receivables is presently covered Market Cyclicality Keep low inventories Long term relationship with suppliers More value added products Market Leadership challenge Broad sales network Diversified customer base Focus on sales volume in order to maintain high purchasing power Liquidity Improve DSO and DPO Enough funds to weather the storm Keep adequate cash reserves

16 with increased WC needs
Crisis Management COSTS CAPEX DEBT / LIQUIDITY BUSINESS PORTFOLIO Cut Costs/ Operational Restructuring Limit CAPEX Reduce Working Capital (WC) needs Adapt Product & Service Portfolio 40% Cost reduction compared to 2008 or € 6 million. Invest only to improve Production processes i.e. Bar Code DSOs reduced from 155 in 2007 to 100 in 2014 resulting in € 16,5 million less WC Remove products with increased WC needs and low Marginal Contribution NEEDED TIME & EFFORT


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