Quantum Foods Holdings Ltd · JSE:QFH
Quantum Foods — H1 2024 Earnings Presentation
18 slides from Quantum Foods's earnings presentation, Mar 31, 2024
Slide 1: Results Presentation for the six months ended 31 March 2024
Results Presentation for the six months ended 31 March 2024 Quantum Foods Interim Results Presentation 2024
Slide 2: Business overview
Business overview A van der Merwe A G Financial overview E A Muller N Operational overview D A van der Merwe A Management focus A van der Merwe Quantum Foods Interim Results Presentation 2024 2
Slide 3: Business overview
Business overview A van der Merwe Quantum Foods Interim Results Presentation 2024 3
Slide 4: Salient features
Salient features • Continued Avian Influenza (HPAI) Revenue outbreaks 13% • Lower feed raw material costs HEPS • Reduction in volumes 21.7c • Progress in rebuilding of layer Cash flow from breeder flock operating activities 2024 R102 million • Cost under-recovery on empty farms Interim dividend per
Slide 5: HPAI outbreak
HPAI outbreak • Biological asset write-off of R37m • SA layer flock forecasted at 19.1m hens in June 2024 • Imported broiler and layer hatching eggs • Layer breeders placed on own and contracted farms • Layer hens placed on contracted farms • Facilities mothballed • Lay-off agreements and retrenchme
Slide 6: Financial overview
Financial overview A Muller Quantum Foods Interim Results Presentation 2024 6
Slide 7: Statement of income
Statement of income 2024 2023 For the six months ended 31 March Rm Rm Revenue 3 009.9 3 449.9 Operating profit* 62.4 14.6 Income from associate 0.7 0.4 Net finance cost (7.7) (9.5) Profit before tax 55.4 5.5 Tax (expense)/credit (11.3) 0.3 Profit for the year 44.2 5.8 * Operating profit includes cap
Slide 8: External revenue analysis
External revenue analysis Layer and broiler Other African farming countries Animal Feeds Eggs Animal feeds Farming Eggs Other African countries R1 500m R884m R404m R222m 50% 29% 13% 7% 2023: R1 679m | 49% 2023: R885m | 26% 2023: R670m | 19% 2023: R216m | 6% Quantum Foods Interim Results Presentation
Slide 9: Segment results
Segment results Adjusted operating profit* for the six months ended 2024 2023 31 March Rm Rm Eggs 57.0 (78.5) Farming (66.7) 58.2 Animal feeds 54.5 48.7 Other African countries 24.1 (5.2) Head office costs (7.4) (8.7) Profit for the period 61.5 14.6 * Adjusted operating profit excludes items of a ca
Slide 10: Statement of financial position
Statement of financial position 31 Mar 2024 30 Sep 2023 As at Rm Rm Non-current assets 1 419.3 1 420.3 Net working capital (excluding lease liabilities) 808.1 811.2 Non-current liabilities (excluding borrowings and lease liabilities) (247.1) (243.7) Net cash 185.9 71.4 Total net assets 2 166.2 2 059
Slide 11: Statement of cash flows
Statement of cash flows 2024 2023 For the six months ended 31 March Rm Rm Cash operating profit 165.6 82.6 Working capital changes (61.5) 93.8 Cash effect of hedging activities 0.1 (59.4) Income tax paid (2.2) (1.4) Cash flow from operating activities 102.0 115.6 Capital expenditure (65.3) (77.5) Pr
Slide 12: Capital expenditure
Capital expenditure YTD Mar 2024 Future Rm Rm RSA Expansion/efficiency 13.2 188.1 – Feed mills 8.9 184.3 – Broiler hatcheries 1.7 3.1 – Farms 2.1 – – Generators 0.2 0.7 – Energy 0.4 – Replacement/compliance 40.1 53.0 Africa Expansion/efficiency 5.1 4.6 – Lusaka feed mill 5.1 4.6 Replacement/complian
Slide 13: Operational overview
Operational overview A van der Merwe Quantum Foods Interim Results Presentation 2024 13
Slide 14: Operational overview
Operational overview • Feeds business efficiencies at a satisfactory level • Migration to Ross 308 genetics complete • Significant improvement in Western Cape broiler breeder and broiler farming efficiencies • Recovery in layer breeder flock • Significant reduction in egg volumes but at much higher
Slide 15: Management focus
Management focus A van der Merwe Quantum Foods Interim Results Presentation 2024 15
Slide 16: Focus areas for the remainder of 2024
Focus areas for the remainder of 2024 • Prudent raw material procurement • Commence with construction at Malmesbury feed factory • Continue with farm efficiency improvements • Rebuild the broiler breeder and commercial layer flock • Focus on managing costs of dormant facilities • HPAI risk monitorin
Slide 17: Thank you
Thank you from: rr BERGVLE| Lh eS CHICKS < Y setievue Chix wii ont Quantum’ NEST EGGS & q POULTRY /
Slide 18: Quantum Foods Interim Results Presentation 2024
Quantum Foods Interim Results Presentation 2024
Quantum Foods Holdings — H1 2024 Earnings Presentation on 6ix