Slide 1: Welcome to Grindrod Interim Results Presentation
PORT AND TERMINALS + LOGISTICS + BANK www.grindrod.com WELCOME TO GRINDROD INTERIM RESULTS PRESENTATION Commencement time 9am Once the presentation commences, you may type your questions in the Q & A section All questions will be answered at the end of the presentation Alternatively questions can be
Slide 2: Grindrod Limited Unaudited Interim Results
PORT AND TERMINALS + LOGISTICS + BANK www.grindrod.com GRINDROD LIMITED UNAUDITED INTERIM RESULTS for the six months ended 30 June 2020
Slide 3: Overview and Highlights
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 OVERVIEW AND HIGHLIGHTS 2020 Marine Technology and Servicing I CAPE TOWN Andrew Waller PORT AND TERMINALS + LOGISTICS + BANK
Slide 4: Overall Operating Environment
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 OVERALL OPERATING ENVIRONMENT PRO ACT I VE M EASURES I M PL EM ENT ED I N L I G HT O F CHAL L ENG I NG T RADI NG CO NDI T I O NS Strong trading in the first quarter of the year COVID-19 lockdowns impacted significantl
Slide 5: Group Highlights
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 GROUP HIGHLIGHTS DEL I VERI NG O N ST RAT EG Y Volumes remained resilient at Maputo Port recording a marginal decline on prior period Matola terminal volumes up on prior period Intermodal volumes strong on increased p
Slide 6: Finance Presentation 2020 H1 Results
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 FINANCE PRESENTATION 2020 H1 RESULTS Intermodal Terminal I NACALA Xolani Mbambo PORT AND TERMINALS + LOGISTICS + BANK
Slide 7: Consolidated H1 2020 Results
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 CONSOLIDATED H1 2020 RESULTS F I NANCI AL PERF O RM ANCE – L EG AL ( Co n t in u in g o p e r a t io n s) Revenue 1 Trading profit 1 Headline Net profit 1 earnings 1 (5%) 10% R36.2 R1 767.0 million R458.6 million R23.
Slide 8: Consolidated H1 2020 Results: Headline Earnings by Segment
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 CONSOLIDATED H1 2020 RESULTS HEADL I NE EARNI NG S BY SEG M ENT S ( Co n t in u in g o p e r a t io n s ) Rmillion Group Port and Terminals Logistics Bank H1 2020 (151) 97 44 33 23 H1 2019 (38) 102 47 55 166 PORT AND
Slide 9: Consolidated Financial Performance: Adjusted Headline Earnings
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 CONSOLIDATED FINANCIAL PERFORMANCE ADJ UST ED HEADL I NE EARNI NG S Rmillion 19 164 150 32 90 23 HE 2020 Shipping Withholding Foreign Adjusted Adjusted shares tax exchange HE 2020 HE 2019 FV loss loss on lease liabili
Slide 10: Divisional Financial Performance: Port and Terminals
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL FINANCIAL PERFORMANCE F I NANCI AL PERF O RM ANCE – M ANAG EM ENT BASI S Port and Terminals Continuing 2020 2019 Revenue Rmillion 483.1 512.8 EBITDA Rmillion 207.3 214.6 EBITDA margin % 43 42 Net profit Rmi
Slide 11: Divisional Financial Performance: Logistics
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL FINANCIAL PERFORMANCE F I NANCI AL PERF O RM ANCE – M ANAG EM ENT BASI S Logistics Continuing 2020 2019 Revenue Rmillion 1 498.2 1 586.5 EBITDA Rmillion 428.6 377.3 EBITDA margin % 29 24 Net profit Rmillion
Slide 12: Divisional Financial Performance: Bank
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL FINANCIAL PERFORMANCE F I NANCI AL PERF O RM ANCE – M ANAG EM ENT BASI S Bank Continuing 2020 2019 Revenue Rmillion 214.2 211.5 EBITDA Rmillion 59.7 91.4 Net profit Rmillion 32.9 54.8 Net asset value Rmilli
Slide 13: Divisional Financial Performance: Discontinued Operations
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL FINANCIAL PERFORMANCE F I NANCI AL PERF O RM ANCE – M ANAG EM ENT BASI S Discontinued Operations 2020 2019 Revenue Rmillion 49.1 9 053.0 Fair value losses / impairments Rmillion (270.2) (359.6) Net loss Rmi
Slide 14: Group Net Debt Analysis
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 GROUP NET DEBT ANALYSIS NET ( DEBT ) / CASH RECO NCI L I AT I O N Item Group Excl. Bank Net debt (451) (2 779) Net cash / (debt) 778 (1 561) Rmillion excl. IFRS 16 507 (195) (256) (69) (63) (375) (451) Net debt Cash I
Slide 15: Divisional Overview: Port
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL OVERVIEW PORT MPDC I MAPUTO Andrew Waller PORT AND TERMINALS + LOGISTICS + BANK
Slide 16: Divisional Overview: Port
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL OVERVIEW PO RT Operational highlights 2020 H2 focus Port handled volumes maintained at >9mt Completion of infrastructure development plans Infrastructure development plans delayed during Commencement of the
Slide 17: Divisional Overview: Terminals
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL OVERVIEW TERMINALS TCM I MAPUTO PORT AND TERMINALS + LOGISTICS + BANK
Slide 18: Divisional Overview: Terminals
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL OVERVIEW T ERM I NAL S Operational highlights 2020 H2 focus Strong performance during first quarter resulted in resilient Focus on ramping up volumes overall volumes for H1 Conclusion on acquisition of mino
Slide 19: Port and Terminals Capacity and Utilisation
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 PORT AND TERMINALS CAPACITY AND UTILISATION RESI L I ENT PERF O RM ANCE H1 H1 Change Annual Terminals 2020 2019 % 2019 capacity 4 385 674 4 416 107 (1%) 10 882 575 15 150 000 Drybulk (tonnes) Matola Terminal 1 2 622 1
Slide 20: Divisional Overview: Logistics
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL OVERVIEW LOGISTICS Grindrod Intermodal I CAPE TOWN PORT AND TERMINALS + LOGISTICS + BANK
Slide 21: Divisional Overview: Seafreight, Intermodal, Clearing & Forwarding and Agency
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL OVERVIEW SEAF REI G HT, I NT ERM O DAL , CL EARI NG & F O RWARDI NG AND AG ENCY Operational highlights 2020 H2 focus Container volumes delivered peak performance during Further alignment of the service offe
Slide 22: Divisional Overview: Northern Mozambique
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL OVERVIEW NO RT HERN M O Z AM BI Q UE Operational highlights 2020 H2 focus Strong delivery of freight solutions included Expanding the service offering through the development of the Palma intermodal depot •
Slide 23: Divisional Overview: North-South Corridor
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL OVERVIEW NO RT H- SO UT H CO RRI DO R Operational highlights 2020 H2 focus Operations impacted by closure of borders and force Completion of the rail merger with African Rolling Stock majeure called on some
Slide 24: Divisional Overview: Bank
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL OVERVIEW BANK David Polkinghorne PORT AND TERMINALS + LOGISTICS + BANK
Slide 25: Divisional Overview: Bank
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL OVERVIEW BANK Operational highlights COVID-19 impact on advances Marginal increase in Advances of 2.76% to R7.6 billion Limited impairments due to: (December 2019: R7.4 billion) • Quality and nature of prop
Slide 26: Divisional Overview: Bank H2 Focus
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL OVERVIEW BANK 2020 H2 focus Introduction of strategic partners to support growth Continue focused lending SME banking growth Positioning of “platform banking” offering Managing impact of COVID-19 across our
Slide 27: Divisional Overview: Non-Core
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL OVERVIEW NON-CORE Marine Fuels Andrew Waller PORT AND TERMINALS + LOGISTICS + BANK
Slide 28: Divisional Overview: Non-Core Disposals
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DIVISIONAL OVERVIEW Disposals in progress and expected to be concluded in the short term: • Senwes • Private equity divestment • Marine Fuels PORT AND TERMINALS + LOGISTICS + BANK
Slide 29: Outlook Grindrod
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 OUTLOOK GRINDROD OACL I DURBAN PORT AND TERMINALS + LOGISTICS + BANK
Slide 30: Delivering a Strategy in a Dynamic World
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 DELIVERING A STRATEGY IN A DYNAMIC WORLD RESTO RI NG SHAREHO L DER VAL UE Operating Strong Health Ramp-up / efficiency balance Management and + development + + + > Confidence and sheet and and B-BBEE Safety assets div
Slide 31: Thank You
Grindrod Limited I Unaudited interim results for the six months ended 30 June 2020 THANK YOU Due to time constraints, we may not have answered all questions. We will email you a detailed response If you have any further questions, please email your questions to fathima.ally@grindrod.com Thank you fo