PASSION INNOVATION DISTINCTION

A PROMINENT SECURITY-
RELATED ICT SOLUTION
PROVIDER IN MALAYSIA WITH
EXCELLENT TRACK RECORD IN
MISSION CRITICAL PROJECTS

QUARTERLY PRESENTATION
Q4FY23 UPDATE
29 May 2023
 LATEST FINANCIAL HIGHLIGHTS

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 Q4FY23 HIGHLIGHTS (RM’MIL)
104.9 YoY: +93.1%
93.6 QoQ: +27.8%
82.1
YoY: +69.8%
64.1
54.3 QoQ: +35.7%

24.9 22.7
13.4 12.0 16.7

4QFY22 1QFY23 2QFY23 3QFY23 4QFY23

Revenue Net Profit

YoY & QoQ:

• Top- and bottom-line performance driven by higher supply of passports, smart cards and personalization services.
• Highest-ever quarterly revenue in Datasonic’s history and exceeded the RM100 mil mark for the first time.

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 HIGHLIGHTS OF FY23 RESULTS (RM’MIL)
Revenue Net Profit
+152.7% YoY +7.5x
344.7 76.4

138.4 136.4

7.3 10.2

FY21 FY22 FY23 FY21 FY22 FY23

• FY23 surged to an all-time high on the back of higher supply of passports, smart cards and personalization services.
• Surpassed previous record of RM318.4 million achieved in FY17.
• Net profit jumped in tandem with the top-line performance; This was the second highest-ever bottom-line
performance in our history (FY13 net profit: RM81.9 mil).

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 DIVIDEND PAYOUT EVERY YEAR SINCE OUR LISTING IN 2012
10. 0

9.5 56.7 60. 0

54.0 54.0
9.0

50. 0

8.0

7.0
40.5 40.2
40. 0

6.0 33.8
5.0
5.0

27.0 30. 0

23.6 4.0 4.0

4.0

21.2
3.0 3.0 17.2 20. 0

3.0

2.5
2.0 2.0
2.0

1.1
10. 0

1.0
4.5 0.6
0.0 0.0

FY12 FY13 FY15* FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23
Dividend per Share (sen) Dividend (RM mil)

*changed FYE from 31 Dec to 31 Mar. ^estimation as actual dividend (RM in mln) to be paid out is dependent on the share base on book closure date 5
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 SUPPLY OF E-ID & E-PASSPORTS (QUANTITY)
MyKad Passport Polycarbonate
MyKad Consumables Passport Chips Passport Booklets
(Raw Card & Chips) Data Pages

FYE 31 MARCH
OCTOBER 20222020
Approval to start production for in-house manufactured polycarbonate data page by JIM
1,700,000 2,100,000 1,854,184 1,890,000 1,890,000

FYE 31 MARCH
OCTOBER 20222021
Approval to start production for in-house manufactured polycarbonate data page by JIM
2,000,000 2,849,999 241,428 200,000 200,000

FYE 31 MARCH
OCTOBER 20222022
Approval to start production for in-house manufactured polycarbonate data page by JIM
500,000 - 593,946 740,000 740,000

FYEOCTOBER
31 MAR2022
2023
Approval to start production for in-house manufactured polycarbonate data page by JIM
1,011,000 2,856,261 3,217,586 2,800,000 2,800,000

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 HEALTHY AND STRONG BALANCE SHEET WITH NET CASH POSITION
RM mil (FYE Mar) FY19 FY20 FY21 FY22 FY23

Total Assets 447.3 388.1 320.5 400.8 463.8

Total Liabilities 184.7 131.5 94.2 58.3 103.4

Shareholders’ Equity 263.2 256.3 226.0 342.2 360.1

Cash Holdings 37.1 46.4 48.3 120.9 157.6

Total Borrowings 136.6 98.9 59.9 41.3 24.1

Net Assets/Share (sen)* 19.5 19.4 8.6 11.9 12.7

Net Gearing (x) 0.38 0.20 0.05 Net Cash Net Cash

ROA 8.1% 15.6% 2.3% 2.6% 16.5%

ROE 13.8% 23.6% 3.2% 3.0% 21.2%

*Completed for 1-for-1 bonus issue in Oct 2020.
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 LATEST UPDATES

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 MYKAD PROJECT
DEMAND FOR MYKAD GAINING STRONG TRACTION
✓ Brief shortage of chips issue resolved in January 2023
and production has been ramping up.
✓ Historical annual demand is around 2.0 to 2.5 mil units.
MYKAD EXTENSION CONTRACT
✓ Supply of 2.34 mil MyKad, MyTentera,
MyPOCA raw cards and 2.856 mil MyKad
consumables for 12 months.
✓ Received additional ordering worth
RM12.43mil for supply of MyKad and
MyKad consumables commencing 1QFY24.

PROPOSED EXTENSION OF PROPOSED EXTENSION OF PROPOSED NEW PROPOSED NEW MYKAD

MYKAD CONTRACT MYKAD MAINTENANCE GENERATION OF MYKAD PRINTING SYSTEM
CONTRACT (MYKAD GEN 2)

Additional MyKad & Extension of Mykad New generation of MyKad Pilot testing for new
consumables maintenance contract with new design and printing system completed
commencing 1 June 2023 security features to at UTC Penang and
eliminate fake MyKads successfully deployed in
JPN Putrajaya

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 DEMAND FOR PASSPORTS CONTINUES TO BE ROBUST
• Demand for passports remains strong since the reopening of Demand From Passport Project (units ‘000)
borders in April 2022.
• Prior to the pandemic, annual demand is around 2.2 mil units of
passports.
• As of February 2023, there are estimated more than 4.0 mil 2,800
units of passports that have already expired / with less
than 6 months validity from expiration.
2,800
• Passport issuance hit new high close to 900,000 units in
Q4FY23, surpassing the previous quarter figures in Q2FY23.
• Production has been running and ramping up at a high pace to 740
3,217
meet the target monthly output of 350K of PMA per month. 740
594
FY22 FY23 FY24
Polycarbonate Data Pages Chips Booklets

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 PASSPORT PROJECT

PROPOSED INCREASE OF PASSPORT CHIP PROPOSED EXTENSION OF PASSPORT CONTRACT

CEILING QUANTITY (POLYCARBONATE, CHIP, BOOKLET
PKI & PKD & AUTOGATES MAINTENANCE)
To increase ceiling quantity for passport chip
for an additional 1.5 mil units to ensure Current contract due in November 2023.
smooth and uninterrupted delivery to the
Proposed extension for 12.5 mil units of passport
public in view of the high demand.
polycarbonate, chip and booklet and extension of
PKI & PKD and Autogates Maintenance.

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 100% LOCALLY PRODUCE PASSPORT
NEW MILESTONE FOR PASSPORT PROJECT

First-ever Malaysia Passport that is 100% made in Malaysia

A NEW STANDARD IN THE INDUSTRY

OCTOBER 2022
OCTOBER 2022 NOVEMBER 2022 MAY 2023 Latest Status
Approval to move into
Approval to start Personalization 3,000 LIVE issuance to public
Pilot sites to be
production for in-house specimen for international implemented
manufactured circulation
polycarbonate data page Delivered 10,000 units commencing today
by JIM together with complete 29 May 2023
booklet to JIM

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Minimum savings of RM2.00 / booklet with a minimum savings of RM5.0 – RM6.0 mil per annum

PRIVATE & CONFIDENTIAL

 E-ID & E-PASSPORT MANUFACTURING PLANT
ID & e-Passport Manufacturing • Certified with:
Plant in Petaling Jaya

ISO 14000 ISO 27001 ISO 9001 ISO 9001 ISO 9001 ISO 9001
Officially certified with
Government Gazetted International Security
Highly Secured Area Printing Intergraf Cert
on 16 May 2023
110 CCTVs
Directly linked to Police Station
e-ID & e-Passport Manufacturing
Plant in Petaling Jaya & Immigration Dept.

Built-Up Area:
Intaglio Printer ISO 14298
• Government 30,000 sq. ft.
Controlled Item Fulfilling all major
(Only 2 approval overseas tender
requirement
issued License in 8 mil & 4 mil Ready for
M’sia for Passport
issuance)
ID e-Passport Overseas Market
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 AUTO GATE PROJECTS – COMPLETED DSONIC NEW
GENERATION E-GATES
MALAYSIA AUTOMATIC CLEARANCE SYSTEM (MACS) PROJECT
✓ Completed the delivery of 16 units of auto gates with facial recognition system in September
2021 with a contract value of RM7.0 mil.
✓ Completed the delivery of additional 6 units of auto gates with facial recognition system in
December 2021 with a contract value of RM8.7 mil.
✓ Completed the delivery of additional 20 units of auto gates with facial recognition system at
the Immigration Office of Bangunan Sultan Iskandar (BSI), Johor in December 2022 with a
contract value of RM5.8 mil.

DESARU COAST AUTO GATES PROJECT

✓ Completed the delivery of 4 units of bi-directional auto gates with facial recognition system at
Immigration, Custom Quarantine (ICQ) Desaru Coast, Johor in September 2021 with a
contract value of RM1.5 mil.

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 AUTO GATE PROJECTS – COMPLETED
DESARU COAST AUTO GATES PROJECT MALAYSIA AUTOMATIC CLEARANCE SYSTEM (MACS) PROJECT

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 GOVERNMENT OPENED UP AUTO GATE FOR FOREIGNERS

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 AUTO GATE PROJECTS

MALAYSIA AUTOMATIC CLEARANCE INDONESIA AUTO GATES

SYSTEM (MACS) PROJECT EXPANSION PROJECT

• Proposed additional 36+4 units of auto • Proposed 42 auto gates in Indonesia for
gates for MACS project at BSI, Sultan Batam Centre (10 lanes), Citra Tri Tunas
Abu Bakar Complex (KSAB) & Woodland (8 lanes), Sekupang (6 lanes), Nongsa (6
checkpoints. lanes), Marina (6 lanes) and Tanjung
Pinang (6 lanes).
• Proposed 3-year maintenance support
services of MACS auto gate at BSI, KSAB • With 1 year warranty excluding technical
& Woodland checkpoints. maintenance support.
• Proposed extension contract for
maintenance support services of 140
auto gates nationwide including PKI/PKD
system.

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 ✓ Secured RM140.0 million contract for the supply of 10.0 mil foreign worker card (I-Kad)
in November 2022.
✓ 36 months contract commencing from 1 November 2022 to 31 October 2025.
✓ New I-Kad is made of polycarbonate material with highly secured chip, latest printing
system & security features.
NEW FOREIGN ✓ Old I-Kad is made of PVC material using normal printing system with long waiting
WORKER CARD period.
(I-KAD) ✓ Incorporate the I-Kad with our multi-modal biometric system including AFIS & DSONIC
Dface Facial Recognition system.
PROJECT ✓ Allow the authentication of the I-Kad holder and assist our country to improve the
enforcement & monitoring of foreign workers.

LATEST UPDATES:
• Final card artwork & design signed off by JIM in early May 2023.
• Machines and raw materials are all ready for pilot and mass production by June 2023.
• Printers on sites ready for deployment in Menara Ikhlas (JIM Putrajaya) & other 6 sites.
• App development of Digital Foreign Worker Apps for JIM enforcement completed.
• Scheduled deployment in July 2023 to cater to the high backlog & anticipated demand.
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 eLAND MANAGEMENT SOLUTIONS FOR REPUBLIC OF GUINEA
Entered into a Memorandum of Agreement (“MOA”) with the Ministry of Urban Planning, Housing and
Territorial Development (“MUHAT”) of the Republic of Guinea in December 2022.
✓ Co-operate and collaborate on issues relating to the printing of secure documents, digitization and
improvement of land management solutions and services (“eLand Project”)
✓ Implement new computerized citizen data in land matters and incorporate biometric authentication of
land data.
✓ Manufacture, supply and customization of high security documents for the land title.
✓ Implement new secure procedures with an emphasis on transparency and efficiency in the processing
of land title applications and authorizations.

• Profit-sharing: 60% MUHAT ; 40% Datasonic. Project Duration: 10 years (plus 5 years extension)
• Project Feasibility Study completed. Finalizing the detailed scope of works, solutions services, pricing and major
terms and conditions with Private Public Partnership (PPP) unit of Prime Minsters Office of Republic of Guinea.
• Expect to conclude the final contract for signing in coming Q1FY24.
• Target for system deployment within 6-9 months.
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 KEY TAKEAWAYS
• CONTINUOUS INNOVATION IN MYKAD AND PASSPORT
RELATED PROJECTS
• MyKad - Proposed new generation of MyKad with
enhanced design and safety features. New printing
system fully deployed in JPN Putrajaya.
• Passport – Passport now 100% made in Malaysia with
approval secured to manufacture polycarbonate data
page in-house.
• Confident of securing extensions to continually supply
rakyat.
• NEW CONTRACTS TO SUPPORT FINANCIAL GROWTH
• New foreign worker card (I-Kad) project – Project/supply
will start in July 2023 (RM140 mil over 3 years).
• Tendering for additional auto-gate projects in Malaysia
and Indonesia.
• DEVELOPMENT OF A PLATFORM BUSINESS RELATED
TO DIGITAL ID AND FOREIGN WORKERS
• Offering seamless digital verification on foreign worker
(digital i-Kad app).
• Monetization opportunities include i-Kad distribution,
e-remittance, e-wallet, etc.
• STRATEGIC EXPANSION OVERSEAS
• With proven track record and technical excellence, we
are now taking our expertise globally.
• Exploring opportunities in e-ID and passport space in
other countries.
• Republic of Guinea – 10-year e-Land management
solutions.

LEVERAGING ON OUR INDUSTRY-LEADING POSITION TO DRIVE INNOVATIONS

LOCALLY AND GLOBALLY IN SECURE IDENTIFICATION DOCUMENTS AND SOLUTIONS
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 PASSION INNOVATION DISTINCTION

THANK YOU

For queries, please contact Kai at kai@capitalfront.biz

PRIVATE & CONFIDENTIAL
 DISCLAIMER
• This presentation may contain forward-looking statements. All statements other than statements of historical facts contained in this
presentation including, without limitation, those regarding our financial position, business strategies, plans and objectives of our Group for
future operations, are forward looking statements.
• Such forward-looking statements (if any) involve known and unknown risks, uncertainties, contingencies and other factors which may cause
our actual results, performance or achievements, or industry results, to be materially different from any future results, performance or
achievements expressed or implied by such forward-looking statements. Such forward-looking statements (if any) are based on numerous
assumptions regarding our present and future business strategies and the environment in which we will operate in the future. Such forward-
looking statements (if any) reflect our current view with respect to future events and are not a guarantee of future performance.
• Our actual results may differ materially from the information contained in such forward-looking statements (if any) as a result of numerous
external factors beyond our control.
• Due to rounding, numbers presented throughout this corporate presentation may not add up precisely to the totals provided and percentages
may not precisely reflect the absolute figures.
• Subject to any applicable laws, rules, regulations and guidelines having the force of law, we expressly disclaim any obligation or undertaking to
release any update or revision to any forward-looking statement contained in this presentation to reflect any change in our expectations with
regard thereto or any change in events, conditions or circumstances on which any such statement is based.
• Information in this presentation shall not be taken as a recommendation, advice or an offer by Datasonic Group Berhad (“Group”), the advisers,
or their affiliates, representatives, partners, directors, officers, employees, advisers or agents (collectively “The Relevant Parties”) or any person
to enter into any transaction or an invitation to you or any other person to undertake any potential transaction. You should conduct your own
due diligence on the Group. You should make your own independent appraisal of the financial condition, creditworthiness, affairs and status of
the Group as the basis of any investment decision. You should be aware that any investment activity may expose them to a risk of losing the
property invested. The Relevant Parties are not liable for any investment decision you make.

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