Fraser & Neave Ltd. · SGX:F99
Fraser & Neave — H1 2021 Earnings Presentation
17 slides from Fraser & Neave's earnings presentation, May 2021
Slide 1: 1H2021 Financial Highlights
1H2021 FINANCIAL HIGHLIGHTS (Unaudited) Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands
Slide 2: Important notice
Slide 2 Important notice Certain statements in this Presentation constitute “forward-looking statements”, including forward-looking financial information. Such forward-looking statements and financial information involve known and unknown risks, uncertainties and other factors which may cause the ac
Slide 3: Financial Highlights
Slide 3 FINANCIAL HIGHLIGHTS 1H2021 Financial Report $988.6M $153.3M 15.5% + 2.0% + 8.0% + 87BPS REVENUE PBIT PBIT MARGIN $117.7M $83.4M 5.8 CTS + 11.5% + 16.1% + 16.0% ATTRIBUTABLE EARNINGS PER PAT PROFIT1 SHARE1 (CENTS) Half-year ended 31 March 2021 1. Before exceptional items
Slide 4: Financial Analysis: Revenue by Business
Slide 4 FINANCIAL ANALYSIS : Revenue 1H2021 Revenue | BY BUSINESS KEY TAKEAWAYS • F&B fueled Group 1H21 revenue +1% NM $988.6m growth; Dairies remained the $969.4m +7% largest revenue contributor -9% • Beverages growth was lifted by F&B higher Soft Drinks and Beer (+3%) volumes • Beer revenue double
Slide 5: Financial Analysis: Revenue by Geography
Slide 5 FINANCIAL ANALYSIS : Revenue 1H2021 Revenue | BY GEOGRAPHY KEY TAKEAWAYS • Core markets of Malaysia and Thailand recorded growth • In Malaysia, strong domestic and 1H21 1H20 export of canned milk volumes $988.6M $969.4M lifted revenue, offset by weaker Soft Drinks volumes due to Singapore 22
Slide 6: Financial Analysis: PBIT by Business
Slide 6 FINANCIAL ANALYSIS : PBIT 1H2021 PBIT | BY BUSINESS KEY TAKEAWAYS + 187% + 75% $153.3m • Beverages earnings increased $141.9m - 1% over twofold, driven by maiden - 8% profit contribution from Emerald Brewery, favourable sales mix, F&B savings from cost cutting (+ 2%) measures and lower A&P •
Slide 7: Financial Analysis: PBIT by Geography
Slide 7 FINANCIAL ANALYSIS : PBIT 1H2021 PBIT | BY GEOGRAPHY KEY TAKEAWAYS • Thailand and Vietnam remained 1H2021 1H2020 top profit contributors $153.3M $141.9M • Contribution from Vinamilk decreased to $48.9m due to Singapore 7% 0% lower sales and unfavourable Malaysia 14% 16% currency translation
Slide 8: Financial Analysis: Profit After Tax
Slide 8 FINANCIAL ANALYSIS : Profit After Tax 1H2021 PROFIT AFTER TAX KEY TAKEAWAYS • Higher finance cost arose from + 8% + 11% $117.7m borrowings to finance investments in Starbucks Thailand $105.6m - 9% NM and Vinamilk • The lower tax was mainly due to lower effective tax rate (“ETR”) of 16.3% in
Slide 9: Financial Highlights: Balance Sheet
Slide 9 FINANCIAL HIGHLIGHTS : Balance Sheet 1H2021 BALANCE SHEET TOTAL LIABILITIES $1,403.1M Borrowings $839.6M TOTAL ASSETS $4,797.0M Other Current Liabilities $463.7M Other Non-Current Liabilities $ 99.7M Cash and Bank Balances $354.4M Other Current Assets $633.7M TOTAL EQUITY $3,394.0M Non-Curre
Slide 10: Strong Capital Structure
Slide 10 STRONG CAPITAL STRUCTURE Maturity Profile of Group Debt Generous debt headroom for acquisitions 1H2021 FY2020 $636.1m Cash 354.4M 285.5M Fixed Floating Rates Rates Borrowings 839.6M 838.6M $203.5m 6% 94% Gearing1 14.3% 16.3% MATURING < 1YR MATURING > 1YR Dividend In line with dividend polic
Slide 11: Corporate Development 1H2021
Corporate Development 1H2021
Slide 12: Strengthening Halal Position
Slide 12 Strengthening Halal Position • Acquired Sri Nona Group of Companies — Sri Nona Food Industries Sdn Bhd, Sri Nona Industries Sdn Bhd and Lee Shun Hing Sauce Industries Sdn Bhd — for cash consideration of up to RM60 million ($19 million) • Complements F&N’s current product offering to consume
Slide 13: About Sri Nona Group
Slide 13 About Sri Nona Group Sri Nona Group, based in Malaysia, manufactures, distributes and sells rice cakes (ketupat), condiments (oyster sauce and paste), beverages (ginger tea powder), desserts (pudding and jelly powder), and jams and spreads. It is best known for its flagship product, the NON
Slide 14: New Products
Slide 14 New Products F&N SPARKLING Healthier Choice Logo (Apple Barley and Espresso) Available in Malaysia PET 350ml APPLE BARLEY HONEY LEMON ESPRESSO
Slide 15: New Products
Slide 15 New Products New Flavour New Packaging Healthier Choice Logo EST F&N Cola Brown Sugar Ice Mountain Water F&N Zero Sugar (Recyclable Cans)
Slide 16: Thank You
Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands Power of our Enduring Brands Power of o
Slide 17: 1H2021 Group Financial Highlights (Unaudited)
Slide 17 1H2021 Group Financial Highlights (Unaudited) Half-Year Ended 31 March 2021 Change 1H2021 1H2020 ($ million) (%) Revenue 988.6 969.4 2.0 Gross Profit 319.4 319.1 0.1 Profit before interest and tax 153.3 141.9 8.0 PBIT margin (%) 15.5% 14.6% 87bps Profit after tax 117.7 105.6 11.5 Profit att