Dangote Sugar Refinery Plc · NSENG:DANGSUGAR
Dangote Sugar Refinery — H1 2024 Earnings Presentation
21 slides from Dangote Sugar Refinery's earnings presentation, Aug 2, 2024
Slide 1: H1 2024 Results
H1 2024 Results UNAUDITED RESULTS FOR SIX MONTHS ENDED 30th JUNE 2024 2nd August 2024 www.suagr.dangote.com www.sugar.dangote.com
Slide 2: Market leader in sugar manufacturing
Market leader in sugar manufacturing The largest sugar refinery in Sub-Saharan Africa with an established blueprint to be a leading global integrated sugar company Current combined installed refining capacity Targets additional 1.5MMT of refined of 1.49MMT across Apapa and Numan. sugar from locally
Slide 3: Key products
Key products Dangote Sugar refines Vitamin A fortified granulated white sugar for direct consumption as well as the unfortified white sugar for industrial use Vitamin A fortified Sugar Dangote vitamin A fortified refined granulated fine white sugar, is produced to the highest quality packaged in 50k
Slide 4: Domestic macroeconomic environment
Domestic macroeconomic environment Real GDP Growth (%) Interest Rate (%) Movement in Oil Prices ($) 120 35 3.4% MPR 1-yr Tbills Interbank 3.1% 3.0% 2.7% 3.3% 100 89 2.3% 25 1.9% 80 0.8% 15 60 5 Feb-23 Feb-24 Dec-22 Jan-23 Jun-23 Sep-23 Nov-23 Dec-23 Jan-24 Jun-24 Aug-23 Mar-23 Oct-23 Apr-23 Mar-24 J
Slide 5: H1 2024 Snapshot
H1 2024 Snapshot Commendable results despite difficult operating conditions Aims to enhance its existing refinery operations (Numan) as well as develop greenfield sites at Nasarawa, amongst others OPERATIONAL FINANCIAL BACKWARD INTEGRATION Expansion of Numan factory to 9,800TCD to be Revenue up 45.8
Slide 6: Backward Integration Project
Backward Integration Project www.sugar.dangote.com
Slide 7: Sugar for Nigeria Master Plan
Sugar for Nigeria Master Plan Our goal is to produce 1.5Mta of refined sugar from locally grown sugarcane within the next ten years Dangote Sugar Backward Integration Project Numan Operations 32,000ha brownfield Sugar Lau/Tau Sugar Backward Integration estate in Project • Dangote Sugar is an integra
Slide 8: Brownfield Project – Numan Operations
Brownfield Project – Numan Operations Dangote Sugar Refinery backward integration project located at Numan, Adamawa State is a sugar production operation on 32,000 hectares of land, with a milling capacity of 50,000 tonnes of sugar per annum. Numan Operations • DSR Numan produces refined sugar from
Slide 9: Greenfield Backward Integration Projects
Greenfield Backward Integration Projects Nasarawa and Tau/Lau project 01 Nasarawa Sugar Company: 68,000ha greenfield project, located in Tunga • Commenced installation of phase 1 of the 6,000ha of commercial development • Completed bush clearing for phase 1 of commercial development • Commenced desi
Slide 10: Financial Overview
Financial Overview www.sugar.dangote.com
Slide 11: Income statement
Income statement Financial Income Statement • Group revenues up 45.8%, due to better price realisation to offset Six months ended June H1 2024 ₦m H1 2023 ₦m rising cost Revenue 295,624 202,784 • Group EBITDA down at ₦23.6B, owing to heighten inflation and Cost of sales (277,486) (144,595) the FX dev
Slide 12: Balance sheet
Balance sheet Balance Sheet As at 30/6/24 As at 31/12/23 ₦m ₦m Property, plant and equipment 175,093 167,083 Other non-current assets 102,509 33,145 Current Assets 253,922 195,799 Cash and Cash Equivalents 183,129 204,763 Total Assets 714,654 600,790 Non-current liabilities 2,141 84 Current liabilit
Slide 13: Cash flow movement
Cash flow movement Cash flow analysis Robust liquidity profile Net debt ₦’B Cash ₦m Cash balance of ₦183.1B 600 As at 31st December 2023 204,763 500 473 183 Cash from operations after working capital changes (167,501) 400 Income tax paid (4,060) 300 Gratuity paid (1) 290 200 Additions to fixed asset
Slide 14: Debt profile
Debt profile Commercial paper programme Bond programme 160 140 120 Established ₦200bn Multi-Instrument Programme. Undrawn balance of gramme 100 ₦8.2B 80 141.8 150 60 40 Bond proceeds to support DSR Backward Integration Plan 8.2 20 and refinance maturing debt obligations 0 Commercial paper Draw down
Slide 15: 6-Year Historical Financials
6-Year Historical Financials Revenue (NGN’bn) EBITDA (NGN’bn) Profit After Tax (NGN’bn) 6-year CAGR: 24% 441.5 6-year CAGR: 16.9% 92.1 6-year CAGR: -2.3% 403.2 82.9 54.7 276.1 22 22.4 29.8 22.1 58 214.3 48.5 150.4 161.1 37.9 35.9 2018 2019 2020 2021 2022 2023 2018 2019 2020 2021 2022 2023 2018 2019
Slide 16: Sustainability
Sustainability www.sugar.dangote.com Investor Presentation
Slide 17: A Sustainable Growth Culture
A Sustainable Growth Culture Dangote Sugar is passionate about building a sustainable future for its organisation and key stakeholders ▪ Dangote Sugar Refinery released its 2022 Sustainability Report in accordance with the Global Reporting Initiatives (GRI) standards as its framework for disclosing
Slide 18: Priority Strategic Sustainable Development Goals
Priority Strategic Sustainable Development Goals Dangote Sugar is passionate about building a sustainable future for its organization and key stakeholders Clean Water and 2 Zero Hunger 4 Quality Education 6 Sanitation Ensure inclusive and equitable quality education and promote lifelong learning Ens
Slide 19: Select Quality Certification and Awards
Select Quality Certification and Awards Duly certified and acknowledged for outstanding achievements in the manufacturing sector, particularly in the consistent production and maintenance of high-quality refined granulated white sugar Quality Certification Food Safety Management System Occupational
Slide 20: Outlook
Outlook Cost reduction strategies Enhance the effectiveness of our supply chain management processes through cost optimisation, inventory management and technology advancement. Ultimately reducing overall expenses and maintaining competitiveness in the market. Nigerian Sugar Master Plan Dangote Suga
Slide 21: For further information contact:
For further information contact: Investor Relations Dangote Sugar Refinery Plc ir@dangote.com www.sugar.dangote.com
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