Mgp Ingredients, Inc. · NASDAQ:MGPI
Mgp Ingredients — Shareholder Meeting (May 2014)
23 slides from Mgp Ingredients's shareholder meeting presentation, May 22, 2014
Slide 1: MGP Ingredients, Inc. Annual Stockholders' Meeting May 22, 2014
MGP Ingredients, Inc. Annual Stockholders’ Meeting May 22, 2014
Slide 2: Certain Forward-Looking Statements
Certain Forward-Looking Statements Certain of the comments made in this presentation and in the question and answer session that follows may contain forward-looking statements relation to operations, financial condition and operating results of MGP Ingredients, Inc. and such statements involve a num
Slide 3: Governance, Growth, Operations
Governance • New Board & CEO Growth • Value & Scale Operations • Cost Reduction
Slide 4: Governance
Governance
Slide 5: A Stronger Foundation Supports our Future
A Stronger Foundation Supports our Future We acknowledge the difficulties we faced in 2013, both with the business and in the boardroom. Source: Chairman Cloud. L. “Bud” Cray, MGP 2013 Annual Report Board Changes CEO Search Incentive Comp.
Slide 6: Growth
Growth
Slide 7: Value
Slide 8: Growth in U.S. Craft Distillers
249 338 401 471 500 2009 2010 2011 2012 2013E Growth in U.S. Craft Distillers Growth has been driven by a booming craft distilling industry. This segment has increased by 122 percent since 2009. Source: TTB 2013 Annual Report
Slide 9: New Products, Sensory Lab, Quality Control
New Products Sensory Lab Quality Control
Slide 10: Growth in Brown Goods Since LDI Acquisition
6 x Number of custom mash bills Number of distinct whiskey blends from 6 to12 Growth in Brown Goods Since LDI Acquisition from 1 to12
Slide 11: Increasing High Value Distillery Sales
18% 29% 51% 2014E Continued success in growing beverage portfolio 2012 Greater beverage customer access via Lawrenceburg acquisition 2010 More than four of five alcohol sales dollars were for industrial products Increasing High Value Distillery Sales
Slide 12: New corn oil extraction process creates higher value by-product
MGP’s new corn oil extraction process creates a higher value by-product with better margins.
Slide 13: Double-digit sales growth in nutritional bars and beverages
Double-digit sales growth in nutritional bars and beverages creates opportunity for MGP’s protein products.
Slide 14: Scale
Slide 15: Growing Scale in MGP Beverage Alcohol
3-year growth in number of beverage customers Increase in production with LDI Growing Scale in MGP Beverage Alcohol 130% 175%
Slide 16: Operations
Operations
Slide 17: Cost
Slide 18: Direct costs: grain and utilities savings opportunities
78.5% 13.0% 8.5% Note: Figures are approximates and derived from the 2012 fiscal year Grain Utilities Other Among our direct costs, grain and utilities represent the biggest opportunities for savings. Under MGP, the amount of natural gas used per gallon at Indiana has been reduced by 7%.
Slide 19: MGP's presence in the corn belt
MGP’s presence in the corn belt is enhanced with access to major transportation networks. Atchison, KS MGP Pekin, IL ICP MGP Lawrenceburg, IN
Slide 20: Improving Plant Efficiencies & Safety
6 x In 3 years output of proof gallons at Indiana grew by 10-year safety: lost time recorded in Atchison was reduced by In 3 years alcohol conversion cost was reduced by 24% Improving Plant Efficiencies & Safety 88% 88%
Slide 21: Growth, Operations, Governance summary
Growth Profitable Scale Operations Greater Cost Control Governance New Insights & Leadership
Slide 22: Setting the Stage for an Exciting Future
Setting the Stage for an Exciting Future
Slide 23: Questions & Answers
Questions & Answers