Sanford Limited · NZX:SAN
Sanford — Investor Presentation (November 2012)
12 slides from Sanford's investor presentation, November 2012
Slide 1: Investor Presentation | November 2012
Eric Barratt Managing Director Investor Presentation | November 2012
Slide 2: Forward-looking statements disclaimer
This presentation contains not only a review of operations, but also some forward looking statements about Sanford Limited and the environment in which the company operates. Because these statements are forward looking, Sanford Limited’s actual results could differ materially. Media releases, manage
Slide 3: 2012 result was flat on 2011
2012 result was flat on 2011 EBITDA up 4% to $51.2m Earnings after tax down 6.5% to $20.9m Most prices and volumes were steady or rising, but result impacted by one- off costs totalling $14.6-16.6m Australian impairment / Kaeo oysters closure - $2.6m Tuna fleet lost time impacts - $7.0-9.0m San Niku
Slide 4: NZ$'000 12 months to 30 Sep
NZ$’000 12 months 6 months 6 months 12 months to 30 Sep to 30 Sep to 31 Mar to 30 Sep 2012 2012 2012 2011 Sales revenue 459,957 229,654 230,303 463,954 EBITDA 51,239 21,340 29,899 49,244 Depreciation, amortisation & impairment (18,320) (8,351) (9,969) (16,255) Net interest (10,196) (4,881) (5,315) (
Slide 5: 2012 revenue of $460m down 1% from $464m in 2011
2012 revenue of $460m down 1% Sales by Customer Location 2012 (2011) from $464m in 2011 Other New Zealand 13% (13) Australia 17% (18) Pacific 1% (1) 2% (2) Revenue down 2.7% in the second Middle East 4% (6) Europe six months of the year Africa 5% (3) 11% (13) High NZD remained a challenge Other Asia
Slide 6: Hoki, Orange Roughy and Mussel price indices
Hoki Fillet prices remained stable Orange Roughy prices declined over the throughout the year, continuing the year by about 25% from historically high previous trend levels Hoki Block prices were also stable, Half Shell Mussel prices remained lifting slightly throughout the year relatively stable de
Slide 7: Ling, Smooth Dory and Skipjack Tuna price indices
Ling Fillet prices remained stable Skipjack Tuna prices firmed about 30% throughout the period and maintained over the year to reach records highs, the increases achieved in 2011 with prices easing over the last few Smooth Dory Fillet prices declined months as catches improved in the slightly in the
Slide 8: Substantially improved inshore profitability
Substantially improved inshore profitability Local and export markets for most inshore species were firmer than in previous years, although exchange rate continued to be a challenge Higher catches and increased prices for the pelagic mackerel species and skipjack tuna Firm prices for jack and blue m
Slide 9: A challenging but successful year
A challenging but successful year Exited Pacific oyster business Restructured mussel business in the Coromandel into a 50/50 JV with Sealord called North Island Mussels Limited (NIML) Commenced 1 October 2012 Refocused on collective farming and processing interests Mussel farming in Marlborough, Gol
Slide 10: Disappointing result from Pacific Tuna operation despite record high prices
Disappointing result from Pacific Tuna operation despite record high prices Lack of vessel fishing time for two of the three vessels: San Nikunau: detained in Pago Pago for the first four months of the year, then underwent a significant capital upgrade which will increase life of the vessel and numb
Slide 11: Australian Seafood, joint ventures and profit improvement projects
Australian Seafood – Vessel catches reasonable but impairment charge of NZ$2.0m taken as results were not up to expectations Weihai Dong Won Food Company Ltd (50% share) continues to be profitable Pure NZ Greenshell Mussels – Now in third year of operation and volumes to date have increased 40% p.a.
Slide 12: We continue to be positive about the prospects for the coming year
We continue to be positive about the prospects for the coming year Variability in catches of pelagic species continues to be a key driver of success, as are market conditions and the exchange rate Inshore and Deepwater operations are expected to continue to improve their contributions Improved contr