Ricegrowers Ltd. Class B · ASX:SGLLV
Ricegrowers Ltd. Class B — Shareholder Meeting (August 2021)
57 slides from Ricegrowers Ltd. Class B's shareholder meeting presentation, Aug 25, 2021
Slide 1: SunRice Group 2021 AGM – Chairman and Group CEO addresses and presentations
ASX ANNOUNCEMENT 25 August 2021 SunRice Group 2021 Annual General Meeting – Chairman and Group CEO addresses and presentations Please find attached the following documents to be presented at the SunRice Group’s 2021 Annual General Meeting, both of which are being held virtually today: 1. Chairman’s
Slide 2: Group Chairman's Address – Laurie Arthur
1. GROUP CHAIRMAN’S ADDRESS – LAURIE ARTHUR After a difficult period for the business with consecutive years of low rice production in the Riverina driven by drought, low water availability, high water prices and the impacts of water reform – it is good to be here today able to focus on recovery. De
Slide 3: Chairman's address: drought mitigation strategies
our B Class Investors while paying record high rice prices of $750 to our Riverina growers in Financial Year 2021. While profitability was impacted, it is a credit to the Management team that they have been able to navigate the challenges of the agricultural production cycle, foreign exchange fluctu
Slide 4: Proposed A Class Share criteria amendments
Keeping a strong connection with our growers and A Class Shareholders, while ensuring that we continue to maintain alignment with and create value for our B Class Shareholders, is fundamental to the ongoing success of SunRice. That is why we are putting forward a resolution today to make amendments
Slide 5: Chairman's closing thanks
the Ricegrowers’ Association on behalf of their grower members. A core principle for our company is to continue supplying growth and returns to our investors, while at the same time providing a strong paddy price for our Australian growers. I am confident as I reflect on the past few years and look
Slide 6: Group CEO's Address – Rob Gordon
2. GROUP CEO’S ADDRESS – ROB GORDON, GROUP CEO Thank you Laurie and good morning to everyone who has joined us today. When we held our AGM virtually last year for the first time ever due to the impact of the COVID- 19 pandemic, I did not believe that in 12 months’ time we would be here again. And ye
Slide 7: FY2021 results
Highlighting the recovery in Riverina rice production, and our plans for the Australian Rice Pool Business; and Commenting on our outlook for Financial Year 2022 and beyond. FY2021 results Our focus over the past year allowed us to continue creating value for both classes of shareholders, and ha
Slide 8: International supply capability
And, pleasingly, we have now started processing the 2021 Australian rice crop of 417,000 paddy tonnes into branded products for sale into our most premium markets. While we are now returning Australian rice to our key markets, we won’t just switch off our international supply capability. In fact, we
Slide 9: Shipping impacts
Shipping slide I mentioned the impact on shipping lines earlier, but I wanted to delve a little deeper as this is a significant impact on our business. We are in the midst of what I believe are unprecedented sector-wide impacts to global shipping lines, with COVID-related demand increases and supply
Slide 10: Leadership appointments and Growth Strategy
Snacks with Kellogg’s. Prior to this, she was Managing Director of Kellogg’s in Australia and New Zealand, and has lived and worked in Australia, the United States, New Zealand and Singapore. And as we move from strategy to execution in CopRice, we are also delighted to have attracted the services o
Slide 11: Growth initiatives, product launches and sustainability
During the year we continued to progress a range of other strategic and organic growth initiatives, including continued investment in our facilities, like the $4.5 million upgrade of our microwave rice facility in Leeton, and the signing of a significant agreement to guarantee a three-year supply of
Slide 12: Pool factors and Riverina operations
World rice prices; Conditions in end markets; Ongoing disruption and volatility in global shipping supply chains; Overhead recovery in the Riverina; Milling yields; and On-farm production yields and crop size. However, we will provide an update to growers on the estimated range for the 2
Slide 13: Outlook and closing remarks
SunRice will focus on accelerating delivery of its 2024 Growth Strategy throughout FY2022, and is looking to continue leveraging its strong balance sheet to explore value-accretive acquisition opportunities. However, there are a number of factors weighing on this improved earnings performance, inclu
Slide 14: Annual General Meeting August 2021
Annual General Meeting 25 August 2021
Slide 15: Important notice and disclaimer
Important notice and disclaimer This presentation is for information purposes only. This information is given in summary form and does not purport to be complete. It should be Any person who receives this presentation must seek advice on and observe any such restrictions. This presentation should be
Slide 16: Chairman's Welcome
Rice Chairman’s —__ Welcome 25 August 2021
Slide 17: Directors joining via video
Directors joining via video 4
Slide 18: Directors joining online
Directors joining online & Mr. John Bradford Ms. Luisa Catanzaro Mrs. Gillian Kirkup Mr. lan Mason D> Mr. Jeremy Morton Dr. Leigh Vial Mr. Julian Zanatta
Slide 19: Joining by phone
Joining by phone > Mark Dow, Partner PricewaterhouseCoopers a | pwe “! Quentin Digby, Partner Herbert Smith Freehills NZ HERBERT ZS FREEHILLS
Slide 20: Agenda
Agenda Procedural matters Chairman’s address CEO’s presentation Questions and answers AGM resolutions General business Meeting close 77
Slide 21: Procedural matters
1800 990 363 Voting will be by way of poll Ordinary resolutions require a 50% majority of votes cast to proceed Procedural Special resolutions require a 75% matters majority of votes cast to proceed Proxy and direct voting results already received will be displayed for each resolution Voting will cl
Slide 22: Lodging your votes
Lodging your votes 1800 990 363 Click “Get a Voting Card” (top and bottom of platform) Enter your SRN/HIN or Proxy Number and postcode Click “Submit Details and Vote” Fill out your voting card for each item of business Click “Submit Vote” 9
Slide 23: Asking questions online
Asking questions online 1800 990 363 Only A and B Class Shareholders are able to ask questions Click on “Ask a Question” Select “General Business” or a specific resolution Type in your question and click “Submit” Comments on resolutions can also be submitted through ‘Ask a Question’ 10
Slide 24: Asking questions by phone
Asking on questions by phone 1800 416 511 A and B Shareholders must “register for a unique PIN” to ask live questions during Enter your **** the AGM Dial 1 If you don’t have a PIN call * on your keypad to ask a question Link’s 1800 990 363 Help A teleconference moderator will Line now introduce you
Slide 25: Additional documents
Additional documents 1800 990 363 Click on “Downloads” to access the Notice of Meeting, SunRice Annual Report or Online Meeting Guide Link Market Services support staff are on standby to provide assistance 12
Slide 26: Chairman's Address
/.i6 Chairman’s / Address— 25 August 2021
Slide 27: CEO's Presentation
CEO’s Presentation
Slide 28: FY2021 results snapshot
FY2021* results snapshot In a year marked by continuing critically low Riverina Fully franked dividend production and COVID-19, $49.1 million 33 cents per B Class Share SunRice remained focused on EBITDA 5% Dividend yield optimising returns for our shareholders. $18.3 million $66 million Capital inv
Slide 29: SunRice Group Segment Performance
SunRice Group Segment Performance Businesses FY21 FY20 FY21 FY20 Revenue Revenue NPBT* NPBT ($M) ($M) ($M) ($M) A Class 114.8 223.2 (22.1) (4.1) B Class 548.5 531.4 22.6 (1.4) 96.1 99.6 (1.9) 4.6 148.4 136.6 9.2 8.1 114.5 139.9 (4.5) 3.6 - - 14.6 18.3 * ‘NPBT’ refers to Net Profit Before Tax in this
Slide 30: Supply source countries of origin
Supply source countries of origin 1 million+ In Financial Year 2021 we sourced rice from 12 countries including Australia to meet global demand of more than 1 million paddy tonnes. paddy tonnes This strategy has maintained positions for Australian rice to return to our most premium markets, which is
Slide 31: Impacts of COVID-19
Impacts of COVID-19 Key COVID-19 impacts COVID-19 continued to present a myriad of challenges for the business, many of which are still present as we work through Financial Year 2022. , including , with differing regulatory made it difficult for teams to , particularly increasing freight rates, shor
Slide 32: Passenger arrival numbers
Impacts of COVID-19 International arrivals to Hawaii Visitation to Hawaii, and across other key Pacific markets, has continued to Passenger arrival numbers be severely impacted by COVID-19. 01/01/2019 to 18/08/2021 Source: State of Hawaii Department of Business, Economic Development and Tourism 19
Slide 33: World Container Index
Impacts of World Container Index COVID-19 $10,000 COVID-19 has led to unprecedented sector-wide $9,000 impacts to global shipping. $8,000 $USD per 40ft container $7,000 Shipping rates have increased from $1500 USD $6,000 per 40-foot container to $5,000 more than $9000. $4,000 $3,000 $2,000 $1,000 So
Slide 34: Our strategy
Our strategy Our 2024 Growth Strategy is designed to cement the SunRice Group’s position as a truly global, multi-origin, multi-market FMCG business. Importantly, we are proudly Australian-owned and our business is designed to benefit our investors, our growers, our employees and the communities in
Slide 35: New Corporate Management Team
New Corporate Management Team Dimitri Courtelis Kate Cooper Changes have recently been made to the Group organisational and leadership structure to deliver the 2024 Growth Strategy. A new business unit has been Rob Gordon created, Global Rice, which Ganesh Kashyap Belinda Tumbers encompasses all fac
Slide 36: SunRice has continued to execute against its 2024 Growth Strategy
SunRice has continued to execute against its 2024 Growth Strategy A core focus of the strategy has been leveraging the Group’s strong balance sheet to make strategic investments that grow and diversify earnings, particularly in the CopRice and Riviana Foods segments. 23
Slide 37: Our strategy in action
Our strategy in action SunRice invested $66 million in FY2021 in acquisitions – the highest in recent history. In December 2020, In September 2020, In March 2021, made the acquired the dairy and beef expanded into transformative acquisition of business of following the acquisition of branded food im
Slide 38: Our strategy in action
New product innovation in Our strategy Australia, including the launch of the in action and range Despite challenging strategic sachets. SolRice’s launch of operating conditions, agreement with the , which the Group retained a sharp underpinned the focus on executing SunRice’s business’s market lead
Slide 39: Our Sustainability Strategy
Our Sustainability Strategy by Towards the most water-efficient rice Building roadmaps to 2024 – the focus in Financial Year 2022 products in the world Delivers on key drivers Making a Difference to of the 2024 Growth Our Environment Minimise the environmental impact Net zero emissions from our Stra
Slide 40: Riverina rice resurgence
Riverina rice resurgence The Group has built its international supply capability to meet growing demand despite fluctuations in Australian production Conditions in the Riverina are continuing to improve as we look ahead to the 1,161 October 2021 planting window. 953 800 826 800 690 623 ? 417 205 244
Slide 41: Riverina rice resurgence
Riverina rice • SunRice offered contracts to growers for the 2022 season on • Given ongoing volatility in the factors that influence pool resurgence 18 August, which resulted in strong uptake and a substantial performance, the Group is unable to provide an estimated SunRice had very strong volume of
Slide 42: Consistency of Riverina supply needed
Consistency of Riverina supply There is a limit of the amount of Australian rice needed that can be sold at a premium We undertook work in Return planning to optimise our Australian Riverina production base for low- cost, efficient production in Financial Year 2021. Paddy price per tonne Paddy tonne
Slide 43: Outlook for FY2022 and beyond
• The Australian Rice Pool Business will not record a loss, and will recover its Outlook for fair share of overheads while supporting earnings improvement in FY2022 across other segments that use Riverina rice as an input in their FY2022 and production cycle. beyond • Notwithstanding the improved pr
Slide 44: Thank you
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Slide 45: Questions & Answers
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Slide 46: Annual General Meeting
Annual General Meeting 25 August 2021 33
Slide 47: Agenda Item 1: Financial Reporting
Agenda Item 1 Financial Reporting Consideration of the Financial Report, Directors’ Report and Independent Audit Report for the year ended 30 April 2021. 34
Slide 48: Resolution 1: Remuneration Report
Resolution 1 Remuneration Report “That the Remuneration Report for the year ended 30 April 2021 be adopted.” 35
Slide 49: Resolution 1: Remuneration Report votes
Resolution 1 Remuneration Report “That the Remuneration Report for the year ended 30 April 2021 be adopted.” Votes Received For 116 Against 22 Open 7 Abstain 3 36
Slide 50: Resolution 2: Re-election of Dr. Andrew Crane
Resolution 2 Re-election of Dr. Andrew Crane “That Dr. Andrew Crane, being eligible, be re-elected as a director of the Company for a period of three years.” 37
Slide 51: Resolution 2 votes
Resolution 2 Re-election of Dr. Andrew Crane “That Dr. Andrew Crane, being eligible, be re-elected as a director of the Company for a period of three years.” Votes Received For 138 Against 9 Open 7 Abstain 1 38
Slide 52: Resolution 3: Changes to the Constitution – Board structure
Changes to the Constitution – Board Resolution 3 structure “That the changes to the Company’s constitution described in the Explanatory Note to this resolution be made with effect from the close of the Annual General Meeting.” 39
Slide 53: Resolution 3 votes
Changes to the Constitution – Board Resolution 3 structure “That the changes to the Company’s constitution described in the Explanatory Note to this resolution be made with effect from the close of the Annual General Meeting.” Votes Received For 129 Against 19 Open 7 Abstain 1 40
Slide 54: Resolution 4: Changes to the Constitution – A Class Share Criteria
Changes to the Constitution – A Class Resolution 4 Share Criteria “That the changes to the Company’s constitution described in the Explanatory Note to this resolution and as tabled at the Annual General Meeting and signed by the Chairman of the Annual General Meeting for identification purposes be m
Slide 55: Resolution 4 votes
Changes to the Constitution – A Class Share Criteria “That the changes to the Company’s constitution described in Resolution 4 the Explanatory Note to this resolution and as tabled at the Annual General Meeting and signed by the Chairman of the Annual General Meeting for identification purposes be m
Slide 56: General Business
Annual General Meeting General Business 43
Slide 57: AGM Close
AGM Close AGM voting will close in five minutes AGM results will be posted on the ASX and SunRice website Thank you for your attendance 1800 990 363 44