Synlait Milk Ltd. · NZX:SML

Synlait Milk — Shareholder Meeting (December 2013)

27 slides from Synlait Milk's shareholder meeting presentation, Dec 3, 2013

  1. Slide 1: Synlait Milk Limited Annual Meeting of Shareholders

    Synlait Milk Limited Annual Meeting of Shareholders 3 December 2013

  2. Slide 2: Welcome

    WELCOME FY13 Annual Report. Released 24.09.2013 Digital Edition. synlait.com/investors © Synlait 2013

  3. Slide 3: Agenda

    AGENDA — Welcome and Introductions — Chairman's Message — Managing Director's Message — Chief Financial Officer Message — Formal Resolutions — Auditor's Remuneration — Re-election of Directors Graeme Milne / John Penno / Sam Knowles — Other Business — Close. © Synlait 2013

  4. Slide 4: Chairman's Message

    CHAIRMAN'S MESSAGE © Synlait 2013

  5. Slide 5: The Board of Directors

    THE BOARD OF DIRECTORS © Synlait 2013

  6. Slide 6: Key Messages

    KEY MESSAGES Operating -— FY13 delivered on prospective forecast. - Significant improvement in financial performance over FY12. - On-going focus on improving operational performance. Growth - FY14 performance is on target to achieve FY14 forecast. - Our focus in FY14 will be on the execution of grow

  7. Slide 7: Growth Focus

    GROWTH FOCUS - Operational improvement. -— Market development. - Capital spend of approximately $180 million to support volume and value growth. - Enjoying strong support from milk suppliers and customers. © Synlait 2013

  8. Slide 8: Managing Director's Message

    MANAGING DIRECTOR'S MESSAGE © Synlait 2013

  9. Slide 9: Becoming the trusted supplier of choice to the world's leading milk-based health and nutrition companies

    BECOMING THE TRUSTED SUPPLIER OF CHOICE TO THE WORLD'S LEADING MILK-BASED HEALTH AND NUTRITION COMPANIES © Synlait 2013

  10. Slide 10: Margin Growth Key to Success

    MARGIN GROWTH KEY TO SUCCESS Gross Profit per MT (NZD) 800 600 T }600 bo 300 200 100 FY09 FY10 FY11 FY12 FY13 © Synlait 2013

  11. Slide 11: Two Key Strategies

    TWO KEY STRATEGIES - Migrating milk powder and cream to higher value products, customers and markets. - Building our infant formula and nutritional product volumes. © Synlait 2013

  12. Slide 12: Strategic Growth Initiatives

    STRATEGIC GROWTH INITIATIVES © Synlait 2013 LACTOFERRIN PLANT January 2014 22,500M* DRYSTORE March 2014 BLENDING & CANNING June 2014 QUALITY TESTING LABORATORY November/December 2014 One building including admin facilities. BUTTER PLANT May 2015 DRYER 3 August 2015

  13. Slide 13: © Synlait 2013

    © Synlait 2013

  14. Slide 14: Growth Initiatives Progress

    GROWTH INITIATIVES PROGRESS Drystore Lactoferrin Canning & Blending © Synlait 2013

  15. Slide 15: Total Milk Volume

    TOTAL MILK VOLUME 50000 Total Milk Volume (Kg MS) by Year 40000 10000 FY09 FY10 FY11 FY12 FY13 =Contracted ™ Other © Synlait 2013

  16. Slide 16: Lead With Pride

    LEAD WITH PRIDE CERTIFIED BEST PRACTICE DAIRY FARMING

  17. Slide 17: FY14 Outlook

    FY14 OUTLOOK — First half sales of infant nutritionals likely to be affected by announcement of new Chinese regulations and NZ food safety issues. — However we still expect to achieve forecast sales of infant nutritionals this year. — Now forecasting to take a significant allocation of DIRA milk. —

  18. Slide 18: Chief Financial Officer's Message

    CHIEF FINANCIAL OFFICER'S MESSAGE © Synlait 2013

  19. Slide 19: Results Overview

    RESULTS OVERVIEW Revenue Gross Profit $420 million t 11.5% $65.1 million t 39.6% Gross Profit per MT EBITDA $751 439.6% $38.5 milliont 74% Net Profit After Tax Shareholders Funds $11.5 million 4 161% $164 million 90% © Synlait 2013

  20. Slide 20: Capital Raise and Refinancing

    CAPITAL RAISE AND REFINANCING Completion of IPO 23 July 2013 - Raised $68.9 million. - Initial share price of $2.20 per share and market capitalisation $322 million. - Bright Dairy shareholding decreased to 39.12%. - Friesland Campina shareholding of 7.5% interest. - Completed refinance of bank faci

  21. Slide 21: © Synlait 2013 © Synlait 2013

    © Synlait 2013 © Synlait 2013 21

  22. Slide 22: © Synlait 2013 Synlait 2013

    © Synlait 2013 Synlait 2013 22

  23. Slide 23: Formal Resolutions

    FORMAL RESOLUTIONS

  24. Slide 24: Formal Resolutions: Auditors Remuneration

    FORMAL RESOLUTIONS Auditors Remuneration: - Resolution 1: “That the Board be authorised to determine the auditor's fees and expenses for the 2014 financial year.” © Synlait 2013

  25. Slide 25: Formal Resolutions: Re-election of Directors

    FORMAL RESOLUTIONS Re-election of Directors - Resolution 2: “That Graeme Milne be re-elected as a Director.” - Resolution 3: “That John Penno be re-elected as a Director.” - Resolution 4: “That Sam Knowles be re-elected as a Director.” © Synlait 2013

  26. Slide 26: Any Other Business

    ANY OTHER BUSINESS © Synlait 2013

  27. Slide 27: Thank You

    THANK YOU Media or investor queries can be directed to: Michael Wan Marketing & Communications Manager Synlait Milk Limited P: +64 3 373 3084 E: michael.wan@synlait.com © Synlait 2013

Synlait Milk — Shareholder Meeting (December 2013) on 6ix