19 slides from First Resources Ltd. (singapore)'s earnings presentation, Aug 13, 2015
Slide 1: First Resources Limited Second Quarter 2015 Results Presentation
First Resources Limited Second Quarter 2015 Results Presentation 13 August 2015 I Singapore Delivering Growth and Returns
Slide 2: Table of Contents
Table of Contents Executive Summary 3 Financial Performance 4 Operational Performance 10 Group Updates 15 2
Slide 3: Executive Summary – 6M2015
Executive Summary – 6M2015 Modest Financial Performance Net profit came in at US$56.3 million, a decrease of 20.8% EBITDA came in at US$108.1 million, a decrease of 14.0% Overall results were impacted by weak selling prices of palm oil products Continued Production Growth Fresh fruit bun
Slide 4: Financial Performance
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Slide 5: Income Statement Highlights
Income Statement Highlights US$’ million 6M2015 6M2014 Change 2Q2015 2Q2014 Change Sales 215.1 290.1 (25.9%) 118.8 112.2 5.9% Cost of sales (97.0) (154.4) (37.2%) (58.8) (51.2) 14.7% Gross profit 118.1 135.7 (13.0%) 60.0 60.9 (1.5%) EBITDA(1) 108.1 125.7 (14.0%) 54.7 58.3 (6.2%) Net profit attributa
Slide 6: Segmental Results
Segmental Results US$’ million 6M2015 6M2014 Change 2Q2015 2Q2014 Change Sales Plantations and Palm Oil Mills 226.3 244.5 (7.4%) 118.6 108.8 9.0% • Crude Palm Oil 193.9 215.0 (9.8%) 101.0 92.9 8.7% • Palm Kernel 28.7 27.3 5.2% 15.8 13.7 15.2% • Fresh Fruit Bunches 3.7 2.2 68.5% 1.8 2.2 (18.9%) Refin
Slide 7: Segmental Sales and EBITDA – 6M2015
Segmental Sales and EBITDA – 6M2015 Sales EBITDA Refinery and Processing – 30.7% Refinery and Processing – 2.0% Plantations and Palm Oil Mills – 69.3% Plantations and Palm Oil Mills – 98.0% The Group’s Plantations and Palm Oil Mills segment remains the main contributor to EBITDA. Note : Sales and
Slide 8: Segmental Sales Volume
Segmental Sales Volume 6M2015 6M2014 Change 2Q2015 2Q2014 Change Sales Volume (tonnes) Plantations and Palm Oil Mills(1) • Crude Palm Oil 317,871 297,288 6.9% 170,304 132,417 28.6% • Palm Kernel 73,521 61,494 19.6% 39,929 27,663 44.3% Refinery and Processing 165,529 226,814 (27.0%) 123,681 98,444 25
Slide 9: Balance Sheet Highlights
Balance Sheet Highlights US$’ million 30 June 2015 31 Dec 2014 Total Assets 1,913.1 1,997.9 Cash and bank balances 291.2 350.9 Total Liabilities 856.2 882.1 Borrowings and debt securities(1) 530.6 583.1 Total Equity 1,056.9 1,115.8 Net Debt 239.4 232.2 Net Debt(2)/Total Equity 0.23x 0.21x Net Debt(2
Slide 10: Operational Performance
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Slide 11: Production Highlights
Production Highlights 6M2015 6M2014 Change 2Q2015 2Q2014 Change Production FFB harvested (tonnes) 1,212,833 1,026,287 18.2% 632,270 525,213 20.4% • Nucleus 1,090,631 923,110 18.1% 571,381 476,659 19.9% • Plasma 122,202 103,177 18.4% 60,889 48,554 25.4% FFB purchased (tonnes) 156,794 163,627 (4.2%) 8
Slide 12: Production Trends
Production Trends FFB Production ‘000 tonnes 800 695 700 616 591 594 571 600 519 448 446 477 500 395 400 300 200 49 62 64 54 49 81 73 61 61 100 42 0 1Q2013 2Q2013 3Q2013 4Q2013 1Q2014 2Q2014 3Q2014 4Q2014 1Q2015 2Q2015 FFB Nucleus FFB Plasma ‘000 tonnes CPO Production 225 195 200 174 173 170 175 159
Slide 13: Oil Palm Plantation Area
Oil Palm Plantation Area As at 30 June 2015 As at 30 June 2014 As at 31 Dec 2014 Area (ha) % of Total Area (ha) % of Total Area (ha) Planted Nucleus 169,752 85% 157,045 85% 165,936 - Mature 124,938 63% 114,143 62% 114,377 - Immature 44,814 22% 42,902 23% 51,559 Planted Plasma 28,942 15% 26,876 15% 2
Slide 14: Plantation Age Profile
Plantation Age Profile As at 30 June 2015 Age Profile Age Area (ha) % of Total Old 22% 0-3 years (Immature) 53,954 27% Immature 27% 4-7 years (Young) 52,690 26% Prime 8-17 years (Prime) 48,966 25% 25% ≥ 18 years (Old) 43,084 22% Young 26% Total 198,694 100% Weighted average age of 9 years 14
Slide 15: Group Updates
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Slide 16: Updates
Updates Outlook In the near term, palm oil prices will continue to be impacted by subdued demand as well as low prices of crude oil and other edible oils. Long-term outlook of the palm oil industry remains positive, supported by underlying demand growth from emerging markets and higher biodies
Slide 17: Sustainability Updates
Sustainability Updates On 1 July 2015 – Introduced the Sustainable Palm Oil Policy No development on High Carbon Stock forest and High Conservation Value areas No development on peat areas (regardless of depth) No exploitation of people and local communities Observe a strict zero-burning p
Slide 18: Disclaimer
Disclaimer This presentation has been prepared by First Resources Limited (“Company”) for informational purposes, and may contain projections and forward-looking statements that reflect the Company’s current views with respect to future events and financial performance. These views are based on curr
Slide 19: Contact Information
Contact Information If you need further information, please contact: Investor Relations investor@first-resources.com First Resources Limited 8 Temasek Boulevard #36-02 Suntec Tower Three Singapore 038988 Tel: +65 6602 0200 Fax: +65 6333 6711 Website: www.first-resources.com 19