Disclaimer The following information is provided by Excelsior Medical Co., Ltd. and may contain forward-looking statements based on current situation. Excelsior makes no guarantee or warranties as for the accuracy or correctness of such statements. Actual results may differ materially from those expressed or implied by such statements due to known and unknown risks and uncertainties. Except as required by law, we are not responsible to update or revise those forward-looking statements to reflect subsequent circumstances. Financial information in this presentation is reviewed by CPA. 2
The Most professional total healthcare solution provider among Asia with exceptional investing and operating team Excelsior Healthcare Group,, founded in 1980, beginning with the sales of hemodialysis equipment and channel operation, the company expanded ed its horizon into diversified medical services incorporating long-term medical care, logistics, information technology, consumer appliance and medical aesthetic. With its success in integration and diversification, EHG reached the milestone of being the public listed company on the TSE market in 2007. In light of the magnetic effect of China and global trend, combining the corporate strength, EHG move full stream ahead in exploring the Chinese market and the possibility of future biotech. Together with its strategic alliance partners, EHG expect to construct an exceptional investing ing and operating team in the Asian healthcare industry. 3
Vision & Values Dedication Discipline Innovation Proactive Dedication, Discipline, Innovation, Proactive are the core values of Excelsior Group. Human Care is the basis of medical service. Therefore, Dedication to our service target is what matters the most. We focus on public healthcare, using innovative management model, providing the most suitable product and service to the market. And achieve our vision of becoming the most professional total healthcare solution provider among Asia. 4
Our Core Competency- Partnership PARTNERSHIP JOINT VENTURE ALLIANCE MINORITY INTEREST PRODUCT COMMITMENT 5
Value Chain Integration (1) Products & Services Innovation Reduce procurement cost Reaction of market needs (2) Integrated Service Provider Economic Scale Customer loyalty Channel Product Trading/ Services Provider/ Partner Consumer (3) Strategy & Execution Organization innovation Business model Information system solution 6
Excelsior s Smiling s Smiling Curve Curve Selected Selected Competitive Arenas Sectors for Excelsior of Group Relative Profitability High Medium Volume Business - Chronic Disease - Dialysis Long Term Care Medical Equipment Trading & Maintenance Logistics Rehabilitation Value Business - Elective Surgery - Medical Skincare Hair Transplant Anti-aging Preventive Medicine Ophthalmology Low Repetitive RT Characteristics of Selected Chronic Disease Relative lower profit Repeat use margin High loyalty to Vast patient volume Institute Stable patient source High brand value ENT Obstetrics and Gynecology Pediatrics Patronization Pattern Ad-hoc Characteristics of Elective Disease Higher profit margin Lower patient volume High revenue growth High Loyalty to Practitioner and Institute Shorter lifecycle High brand value Relative lower entry barrier 7
Trading Business Hemodialysis Home Appliance Medical Aesthetic Medical Consumables Service Provider Hemodialysis Center Ophthalmic/ Dental Clinic Medical Aesthetic Clinic Long-term Care/ Rehabilitation Product Planning Information Analysis Market Management Creative Development Sales Facilitation Supporting Medical Information System Professional Maintenance Pharmaceutical Marketing & Logistic Warehouse Management 8
Trading Business - Brand Agency Hemodialysis Surgery Preventive Ventilator Home Appliances 9
Product Structure 10
2010 Revenue Structure Home Appliances Blood Bag Ostomy Ventilator Surgery Others Hemodialysis In thousands NTD 1,823,518,447 61.05% 656,428,374 21.98% 110,583,304 3.70% 206,499,292 6.91% 75,101,392 2.51% 28,680,504 0.96% 85,941,386 2.88% 11
Milestones Tony Medical founded to commence the hemodialysis industry. Established long-term care service. Investing in E-Young Corp. for equipment maintenance. 1980 1993 1997 2000 2001 2003 Establish hospital management. Bestchain Healthtaiwan founded providing healthcare e-commerce solution. Sales contract with Tyco & Surgical. Investing in Visionfront Corp. for Ophthalmology. Investing in Excelsior Healthcare. EG Healthcare founded in Philippines. 12
Milestones (Con.) Investing in Dynamic Medical Technologies, entering medical aesthetic industry. Establishing Asia Best Healthcare allied with Lung Yen Life Service for the long-term care market in China. Pao-Ai Holding Corp. founded establishing Pao-Ai ophthalmology clinic in China. Strategic alliance with Arich Pharma Group in pharmaceutical logistics. Investing in Hidens Dental. Distribute GlamSmile. 2004 2007 2008 2009 2010 2011 Investing in Bestsmile Corp. for dentistry. Incorporating cosmetheuticals into Dynamic Medical Technologies. Investing in Perfection Healthcare. Start Excelsior HK Co., Ltd. JV with SinoPharm (1099.hk). 13
Related Cooperate and Oversea Business Units ARICH Enterprise Co., Ltd. Bestsmile Co., Ltd. RTS Excelsior Inc. E-Young Tech Co., Ltd. Bestchain Healthtaiwan Co., Ltd. Animation Medical Technologies Ltd. Visionfront Corporation Co., Ltd. Sunrise Health Care Company. Dynamic Medical Technologies Inc. SinoExcelsior Healthcare Incorporation. Excelsior Medical (HK) Co., Ltd. Hong Kong Pacific Bo Ai Investment Ltd. Excelsior Healthcare (ShangHai) Corporation. Great China Technology Development Ltd. EG Healthcare, Inc. Excelsior Renal Service Co., Ltd. Asia Best Healthcare Co., Ltd. 14
Related Cooperate RTS (Dialysis) Market Share: 41 : 8 Keelang 8 : 2 Taipei 64 : 7 19 : 3 Taoyuan Taoyuan Taoyuan Taoyuan 65 : 8 Hsinchu 2 : 0 15 : 3 Miaoli Yilan 10: 1 Penghu 38 : 19 Taichung Jinmen 32 : 10 29 : 9 Changha Nantou Hualin 17: 8 1 : 0 18 : 3 17 : 5 31 : 8 27 : 1 28 : 2 Yunlin Chiayi Tainan Kaohsiung Pingtung Pingtung Pingtung Pingtung Taitung 10 : 0 5 : 0 Taiwan Jiate Market(%) 99Q4 99Q4 North 197 29 14.7% Central 166 56 33.7% South 155 20 12.9% East 25 1 4% Total 543 106 19.5% 48 : 5 Data due: Jan. 2011 21 : 2 15
Related Cooperate DMT (Aesthetic) Brand Agency: 1. RF 2. Laser 3. Body Contouring 4. Dermal Filler 5. Cosmeceuticals 6. Skin Imagining System 7. Others Business Locations:Taiwan Taiwan HongKong GuangZhou ShangHai 16
Related Cooperate Asia Best Healthcare (Long-Term Care) Flagship Center in XiZhi 17
Related Cooperate ARICH (Logistic) Logistic Center: Executive Building (Administration Office) Extension Area (ARICH Second Warehouse) C Building (ARICH: 3&4 Floors) Brand Agency: B Building (Receiving / Departure) Global Bonded Area (Main Entrance) A Building (Warehouse without A/C) 18
Medical Service Provider Business Units Hemodialysis Dentistry Medical Aesthetic Rehabilitation Hospitals Ophthalmology Long-Term Care 19
Medical Service Provider Hemodialysis Centers 20
Medical Service Provider Medical Aesthetic Clinics 21
Medical Service Provider Dentistry Clinics 22
Medical Service Provider Ophthalmology Clinics 23
Medical Service Provider Long-Term Care 24
本 業 及 重 要 轉 投 資 近 五 年 淨 利 圖 In thousands NTD 25
本 業 及 重 要 轉 投 資 2010 年 收 入 毛 利 In million NTD Hemodialysis Dentistry Long-Term Care Aesthetic Ophthalmology Philippine Oversea business Logistic 26
Excelsior(4104.tw) & SinoPharm(1099.hk) JV Registered capital:500 million RMB SinoPharm (ShangHai) 51% SinoExcelsior (ShangHai) 49% 1. Operating and management know-how in medical industry. 2. Wide distribution channels experiences covering hospitals and clinics. 3. Equipment and consumables agency. Excelsior (Taiwan) Excelsior (HongKong) Excelsior and Sinopharm had conduct a strategy alliance to establish a service providing platform in China s medical industry, with the combination of operating know-how and nation-wide distributing channels. Hemodialysis Medical Aesthetic Ophthalmology Dentistry Rehabilitation Long-Term Care 1. Taiwan successful experience roll-out. 2. Expend channels as service provider. 3. Acquire related product agency. 4. Resource integration to IPO. 27
Income Statements (Standalone) In thousands NTD 2011Q3 2010Q3 2010 2009 % % % % Revenues 2,345,544 100.00 2,212,293 100.00 2,986,752 100.00 2,862,880 100.00 Costs 1,911,132 81.48 1,779,684 80.45 2,376,754 79.58 2,293,813 80.12 Unrealized Gain on Inter- Affiliate Accounts 69,361 2.96 56,997 2.58 77,274 2.59 64,382 2.25 Realized Gain on Inter- Affiliate Accounts 70,991 3.03 56,945 2.57 77,207 2.58 65,257 2.28 Gross Margin 436,042 18.59 432,557 19.54 609,931 20.42 569,942 19.91 Operating Expenses 292,044 12.45 275,239 12.44 395,285 13.23 438,061 15.30 Net Margin 143,998 6.14 157,318 7.11 214,646 7.19 131,881 4.61 Other Income 188,444 8.03 181,683 8.21 238,107 7.97 224,641 7.85 Other Expenses 23,598 1.01 25,308 1.14 48,711 1.63 7,341 0.26 Income Before TAX 308,844 13.17 313,693 14.18 404,042 13.53 349,181 12.20 TAX 39,427 1.68 43,043 1.95 48,350 1.62 69,560 2.43 Extraordinary Profits 32,329 1.13 Net Income 269,417 11.49 270,650 12.23 355,692 11.91 311,950 10.90 EPS 2.62 2.86 3.72 3.60 28
Income Statements (Consolidated) In thousands NTD 2011Q3 2010Q3 2010 2009 % % % % Revenues 13,404,453 100.00 11,304,264 100.00 15,355,606 100.00 14,300,782 100.00 Costs 12,211,792 91.10 10,196,966 90.20 13,828,407 90.05 13,031,716 91.13 Unrealized Gain on Inter- Affiliate Accounts 60,550 0.45 56,997 0.50 69,416 0.45 64,382 0.45 Realized Gain on Inter- Affiliate Accounts 61,525 0.46 56,945 0.50 69,763 0.45 65,257 0.46 Gross Margin 1,193,636 8.91 1,107,246 9.80 1,527,546 9.95 1,269,941 8.88 Operating Expenses 802,313 5.99 721,329 6.38 1,052,197 6.85 927,491 6.49 Net Margin 391,323 2.92 385,917 3.41 475,349 3.10 342,450 2.39 Other Income 109,096 0.81 106,030 0.94 147,756 0.96 163,667 1.14 Other Expenses 63,476 0.47 63,438 0.56 86,647 0.56 47,628 0.33 Income Before TAX 436,943 3.26 428,509 3.79 536,458 3.49 458,489 3.21 TAX 77,937 0.58 88,050 0.78 101,724 0.66 131,856 0.92 Extraordinary Profits 32,329 0.23 Consolidated Net Income 359,006 2.68 340,459 3.01 434,734 2.83 358,962 2.51 Shareholders of Holding Company 269,417 2.01 270,650 2.39 355,692 2.32 311,950 2.18 Minor Equity 89,589 0.67 69,809 0.62 79,042 0.51 47,012 0.33 EPS 2.62 0.00 2.86 0.00 3.72 3.60 29
Balance Sheet In thousands NTD 2011.09.30 2010.09.30 2010.12.31 2009.12.31 Assets Current Assets 1,973,315 29.75 2,057,564 39.75 3,001,163 46.88 2,368,516 47.74 Cash and Cash Equivalents 346,511 5.22 668,730 12.92 1,599,440 24.98 992,573 20.01 Receivables 798,813 12.03 776,990 15.01 778,360 12.16 739,307 14.90 Inventories 675,115 10.18 550,487 10.63 553,097 8.64 581,698 11.73 Other Current Assets 46,300 0.70 33,340 0.64 70,266 1.10 54,938 1.11 Funds and Investments 3,922,360 59.12 2,362,596 45.64 2,637,998 41.20 1,978,325 39.88 Fixed Assets 676,716 10.20 704,407 13.61 703,708 10.99 584,453 11.78 Intangible Assets 20,619 0.31 21,992 0.42 21,273 0.33 4,324 0.09 Other Assets 41,219 0.62 29,851 0.58 38,078 0.59 25,378 0.51 Total Assets 6,634,229 100.00 5,176,410 100.00 6,402,220 100.00 4,960,996 100.00 Liabilities Current Liabilities 1,010,509 15.23 709,830 13.71 716,358 11.19 609,774 12.29 Short-Term Loan 180,000 2.71 104,000 2.01 146,000 2.28 Payables 677,859 10.22 449,664 8.69 427,606 6.68 478,404 9.64 Other Current Liabilities 6,147 0.09 30,823 0.60 142,752 2.23 131,370 2.65 Long-Term Liabilities 390,588 5.89 0 0.00 384,118 6.00 98,509 1.99 Other Liabilities 43,972 0.66 38,975 0.75 42,424 0.66 34,823 0.70 Total Liabilities 1,445,069 21.78 748,805 14.47 1,142,900 17.85 743,106 14.98 Stockholders Equity Capital 1,029,840 15.52 952,340 18.40 1,029,840 16.09 891,085 17.96 Common Stock to be issuedfrom CB 38,828 0.78 Capital surplus 2,224,236 33.53 1,480,379 28.60 2,186,219 34.15 1,392,425 28.07 Retained Earnings 2,000,899 30.16 1,903,900 36.78 1,988,942 31.07 1,821,618 36.72 Other Stockholders Equity (65,815) (0.99) 90,986 1.76 54,319 0.85 73,934 1.49 Total Equity 5,189,160 78.22 4,427,605 85.53 5,259,320 82.15 4,217,890 85.02 Total Liabilities & Equity 6,634,229 100.00 5,176,410 100.00 6,402,220 100.00 4,960,996 100.00 30