Clover Corporation Limited · ASX:CLV
Clover — H1 FY2020 Earnings Presentation
12 slides from Clover's earnings presentation, Mar 25, 2020
Slide 1: Managing Director Report 6 Months to 31 Jan 2020
Managing Director Report 6 Months to 31 Jan 2020 25 March 2020
Slide 2: Vision and Mission Statement
Vision and Mission Statement Vision To optimise the health and development of adults, infants and children. Mission To deliver science based bioactives which provide health benefits to adults, infants and children. 1
Slide 3: COVID-19 Update
COVID-19 Update No disruption to customer Minimal disruption to sea order patterns freight High inventory position can Clover has implemented satisfy short and medium HR policy of split shifts and term demand working from home to separate staff No disruption to ingredient sourcing or spray dryi
Slide 4: Half Year Performance Highlights
Half Year Performance Highlights Net Profit $4.6m up Preserving cash; no interim dividend 3.4% on half year 2019 Operating Revenue New products and $37.6m up 9.8% on customers delivering growth in USA, Europe, half year 2019 ANZ Operating expenses of Strategic increase in $5.5m up 20% due Inve
Slide 5: Half Year 2020 Results
Half Year 2020 Results AUD million 31 Jan 2020 31 Jan 2019 • 9.8% half year on half year revenue growth Revenue $37.6 $34.3 • Australia/NZ, USA & EU sales NPBT $6.4 $6.2 growth Tax ($1.7) ($1.7) NPAT $4.6 $4.5 • NPAT result $4.6m (PCP $4.5m) EPS 2.79 cps 2.71 cps ROE 20% 23% (annualised) 3
Slide 6: Balance Sheet 31 January 2020
Balance Sheet 31 January 2020 AUD million Reported Reported Movement 31 Jan 2020 31 Jul 2019 Cash ($0.1) $8.3 ($8.4) Trade $13.7 $18.4 ($4.7) Receivables • Strategic increase Inventories $36.6 $27.7 $8.9 in Inventories to Total Current $50.7 $55.4 ($4.7) increase flexibility Assets Fixed Assets $23.
Slide 7: An Update on Growth Platforms
An Update on Growth Platforms Focus on Infant Formula New New Product Market Development Development 5
Slide 8: Growth Platform: Focus on Infant Formula
Focus on Infant Formula Growth Platform Focus on the infant formula market Additional infant formula customers added in the half year and growth of existing business European customers prepare for the new EU regulation to include a minimum 20mg/100Kcal of DHA in infant formula from late February
Slide 9: Growth Platform: Creating new opportunities
Growth Platform Creating new opportunities New products delivering sales across a range of applications in gummies, pressed tablets and health bars Sales in the USA up 57% v 1HFY19 New products are gaining attention across the fortified food market as companies look to deliver Omega 3’s in foo
Slide 10: Growth Platform: Expanding our market reach
Growth Platform Expanding our market reach Strong 1H 20 on 1H19 growth in Aust/NZ 21%, USA 57% and Europe 31% with a decline in Asia (17%) driven by transfer of production from Asian to Aust/NZ facilities (up 21%) Strengthening face to face selling teams in EU, Asia & China with training and CRM
Slide 11: 2HFY2020 Outlook & Priorities
2HFY2020 Outlook & Priorities • Continue to develop opportunities in the EU • Complete build and qualification of Melody Dairies NZ spray dryer • Establish additional raw material sources • Further develop Chinese infant formula relationships to prepare for the proposed new manufacturing standard re
Slide 12: Disclaimer
Disclaimer The release, publication or distribution of this presentation in certain jurisdictions may be restricted by law and therefore persons in such jurisdictions into which this presentation is released, published or distributed should inform themselves about and observe such restrictions. This