Camellia Plc · LSE:CAM
Camellia — H1 2019 Earnings Presentation
13 slides from Camellia's earnings presentation, August 2019
Slide 1: Camellia Plc - August 2019
AUGUST 2019 &) CAMELLIA PLC
Slide 2: A global group with a focus on agriculture
A GLOBAL GROUP WITH A FOCUS ON OPERATING AGRICULTURE LARGEST ACROSS 11 PRODUCER OF COUNTRIES AVOCADOS IN KENYA LARGEST PRIVATE PRODUCER OF TEA GLOBALLY WITH 59 TEA FACTORIES ACROSS 4 COUNTRIES LARGEST PRODUCER 78,000 EMPLOYEES OF MACADAMIA IN WORLDWIDE MALAWI 2
Slide 3: Overview
OVERVIEW Diversified international group Focus on long term perennial crop production Additional activities in engineering, food service and investments World’s largest private producer of tea Strong ESG commitment operationally and through majority shareholder (Camellia Foundation) Subs
Slide 4: H1 2019 Strategic Highlights
H1 2019 STRATEGIC HIGHLIGHTS Completed the acquisition of two tea estates in Assam Signed an agreement to acquire a 466Ha farm in SA Further investments in Agriculture: Trial of blueberries at Kakuzi in Kenya is progressing well The Simpson dam wall and spillway project at our Mambedi esta
Slide 5: H1 2019 Financial Highlights
H1 2019 FINANCIAL HIGHLIGHTS The oversupply of tea at the end of 2018 has had a direct impact on global tea prices and hence on the revenues and profitability of our tea operations in the first half Sales from continuing operations £117m (6 months to June 2018: £128m) Results benefited from si
Slide 6: Operational Divisional Summary
OPERATIONAL DIVISIONAL SUMMARY AGRICULTURE FOOD SERVICE ENGINEERING SALES £91m SALES £16m SALES £11m 6% 25% 8% TRADING TRADING TRADING PROFIT PROFIT LOSS £2m* £1m £0.3m 64% - 67% * Including £8m provision release 6
Slide 7: Agriculture Division: Tea
AGRICULTURE DIVISION TEA KAKUZI & EASTERN PRODUCE KENYA GOODRICKE GROUP Production (including Production was 23% ahead of smallholder & managed client INDIA last year, helped by good KENYA volumes) was 25% below that rainfall and a significant of last year as a result of the increase in Bought L
Slide 8: Agriculture Division: Macadamia
AGRICULTURE DIVISION MACADAMIA EASTERN PRODUCE MALAWI EASTERN PRODUCE SOUTH MALAWI 2018 volumes of 472 tonnes SOUTH AFRICA AFRICA Immature hectares of 212 Ha 2018 volumes of 429 tonnes (14% as % of total) Immature hectares of 301 Ha (26% as % of total) H1 2019 VOLUMES & PRICING KAKUZI Our
Slide 9: Agriculture Division: Avocado & Blueberries
AGRICULTURE DIVISION AVOCADO & BLUEBERRIES KAKUZI Production volumes from our own avocado orchards were 8% below last year but average prices have been higher KAKUZI KENYA As we now move into our main Hass cropping season, we have KENYA Our 10Ha trial of is progressing seen the market rise wel
Slide 10: Agriculture Division: Speciality Crops
AGRICULTURE DIVISION SPECIALITY CROPS USA In California, our Murcott PISTACHIOS, volumes were more than twice BANGLADESH those of last year and volumes NATURAL ALMONDS & of Navels were up 15% Our average citrus prices have RUBBER Prices for natural rubber have CITRUS been 40% lower declined in
Slide 11: Non-Agriculture Divisions
NON-AGRICULTURE DIVISIONS AJT AJT Engineering continues to improve with the recovery of the oil ACS&T sector and the development of the In the first half ACS&T traded in Site Services division line with expectations but has seen Revenue was up 21% on the same weaker trading since period last y
Slide 12: The Future
THE FUTURE H2 2019 Given that the majority of our agricultural production and sales take place in the second half of the year and the difficulty in predicting tea prices in the current market, it is not possible to give meaningful guidance for the full year Longer term Focus on achieving efficie
Slide 13: Summary
SUMMARY Significant strategic and financial progress Successful focus on long term perennial crop production The world’s largest private producer of tea Capitalising on increasing demand from an urbanising, longer living, more health conscious population Business portfolio realignment larg