Rural Funds Group · ASX:RFF

Rural Funds — RFM Poultry — FY2017 Earnings Presentation

16 slides from Rural Funds's earnings presentation, Aug 29, 2017

  1. Slide 1: Financial results presentation

    Financial results presentation Financial year ended 30 June 2017 Managed by: 29 August 2017

  2. Slide 2: Disclaimer

    Managed by: Disclaimer This presentation has been prepared by Rural Funds Management Limited (ACN 077 492 838) (“RFM”) as the responsible entity of RFM Poultry (ARSN 164 851 218) (“RFP”). The information contained in this presentation is not investment or financial product advice and is not intended

  3. Slide 3: Agenda

    Managed by: Agenda RFM attendees 1. Results and outlook Stuart Waight Chief Operating Officer 2. Fund and operational update Daniel Yap Financial Controller 3. Appendices James Powell Investor Relations & Distribution Manager 3

  4. Slide 4: Results and outlook

    Managed by: 1 Results and outlook Chickens accessing water at ‘drinkers’, Griffith, Dec 2016

  5. Slide 5: Results summary

    Managed by: Results summary Metrics as at 30 June 2017 • Profit result of $0.82m after tax Income Revenue 24,188,653 • NAV per unit $1.13 Net profit after income tax 821,911 • Nil interest bearing liabilities Earnings per unit (cents) 11.94 Portfolio • Distributions remain fully franked, Net assets

  6. Slide 6: FY17 results

    Managed by: FY17 results Summarised Statement of Comprehensive Income • Higher revenue in FY16 due to Year ended Year ended reimbursement for increased energy 30 June 2017 30 June 2016 costs in FY15 Revenue 24,188,653 24,324,125 • Direct grower expenses increased Other income 108,402 124,581 mainly

  7. Slide 7: FY17 results: Summarised Balance Sheet

    Managed by: FY17 results Summarised Balance Sheet • Net assets $7.8m As at As at • NAV per unit $1.13 30 June 2017 30 June 2016 Cash and cash equivalents 6,230,162 6,384,706 • $2.5m of cash held in term deposits Trade and other receivables 2,048,277 2,048,855 Other current assets 345,405 289,385 • I

  8. Slide 8: Outlook

    Managed by: Outlook FY18 forecast distributions (inc. franking) • Higher budgeted electricity and gas prices have Record date cpu resulted in forecast profit for FY18 between: 30 September 2017 3.59 – $0.87m to $1.18m before tax; and – $0.61m to $0.83m after tax 30 December 2017 3.59 31 March 2018 3

  9. Slide 9: Fund and operational update

    Managed by: 2 Fund and operational update Chicken ration assessment, Griffith, Dec 2016

  10. Slide 10: Operational update – water sanitation

    Managed by: Operational update – water sanitation Water sanitation program Water Sanitation equipment • RFP is upgrading the Griffith water sanitation system with the aim of: – improving the ability to control and monitor water quality – further improving bird health – improving earnings from grower

  11. Slide 11: Operational update – renewable energy

    Managed by: Operational update – renewable energy Lethbridge farm Assessment of renewable energy options • RFM is assessing the viability of renewable energy (solar) at the poultry sheds at Lethbridge, Victoria • Solar energy is becoming more viable due to: higher electricity costs, lower capital co

  12. Slide 12: Fund performance and strategy

    Managed by: Fund performance and strategy Market capitalisation and liquidity • RFM’s stated strategy for RFP is to build awareness to increase fair valuation and $9m $0.90 liquidity Value Traded (millions) $8m $0.80 $7m $0.70 • Fair valuation: $6m $0.60 Market Cap $5m $0.50 – since June 2016 RFP ha

  13. Slide 13: Appendices

    Managed by: 3 Appendices Poultry sheds, Griffith, Dec 2016

  14. Slide 14: Trading RFP units

    Managed by: Trading RFP units Fig 1: Step-by-step guide  RFM previously advised it would prepare communication on trading RFP units on the NSX with the aim of improving liquidity  Taylor Collison provides a broking service at a cost of 1%, with a $100 min (plus GST)  A detailed guide to trading R

  15. Slide 15: Rural Funds Management

    Managed by: Rural Funds Management RFM is a fund and farm manager with 20 years experience in Australian agriculture Key information Board and management team contacts and tenure Established 1997 Total $641m Assets under Rural Funds Group: $588m management RFM Poultry: $9m Guy Paynter David Bryant M

  16. Slide 16: Corporate information

    Managed by: Corporate information ACN 077 492 838 AFSL 226701 Canberra Office Level 2, 2 King Street Deakin ACT 2600 Telephone: +61 2 6203 9700 Facsimile: +61 2 6281 5077 managing good assets with good people Website: www.ruralfunds.com.au For further information: For media enquiries: Investor relat

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