Astarta Holding Plc · GPW:AST
Astarta — FY2020 Earnings Presentation
28 slides from Astarta's earnings presentation, Apr 12, 2021
Slide 1: 2020 operating and financial results
2020 operating and financial results
Slide 2: Disclaimer
DISCLAIMER This presentation is being provided to you solely for your information and may not be reproduced or further distributed to any other person or published, in whole or in part, for any purpose. This presentation comprises the written materials/slides for a presentation concerning ASTARTA Ho
Slide 3: 2020 Highlights
2020 HIGHLIGHTS Summary P&L EURk 2019 2020 • ASTARTA’s consolidated revenues amounted to EUR416m in 2020, Revenues, including 448 006 415 630 7% down y-o-y, on lower sales volumes of grains and soybean Agriculture 205 712 175 137 products Sugar production 116 893 126 973 • Revenues in the Agricultur
Slide 4: 2020 Highlights
2020 HIGHLIGHTS Summary Сash Flows Summary Balance Sheet EURk 2019 2020 EURk YE19 YE20 Pre-tax income 822 9 209 Right-of-use asset (mainly land) 142 035 94 178 D&A 62 571 55 510 Biological assets (non-current) 30 011 23 917 Financial interest expenses, net 16 940 10 433 PP&E and other 300 193 199 05
Slide 5: Agriculture
AGRICULTURE Sales volumes of key crops Financial results kt 2018 2019 2020 EURk 2018 2019 2020 Corn 358 714 630 Revenues, including 126 765 205 712 175 137 Wheat 270 266 265 Corn 52 846 109 973 94 439 Sunseeds 78 103 83 Wheat 43 942 40 250 44 726 Sunseeds 22 535 30 221 26 913 Realized prices Cost of
Slide 6: Agriculture
AGRICULTURE Output of key crops* Key operational highlights kt 2018 2019 2020 • Grain and oilseeds harvest was severely hit by unfavourable weather Corn 622 581 418 in 2020. The prolonged drought in the Eastern and Central regions of Wheat 242 256 230 Ukraine and spring frosts in the West resulted i
Slide 7: Global Agricultural Market Fundamentals
GLOBAL AGRICULTURAL MARKET FUNDAMENTALS Corn global ending stocks vs stock to use Wheat global ending stocks vs stock to use 400 Ending stocks Stock to use 35% 350 Ending stocks Stock to use 50% 350 30% 300 300 25% 40% 250 250 20% 30% 200 200 15% 150 150 20% 100 10% 100 50 5% 10% 50 0 0% 0 0% 90/91
Slide 8: Agriculture Achievements
AGRICULTURE • ASTARTA is ranked among Ukraine’s Top 5 agricultural businesses with a total farmland used for grain and oilseeds growing as well as cattle farming of c. 220kha • The largest sugar beet grower with 1.5mt harvest in 2020 • Large-scale row crop grower (corn, wheat, sunflower and Achievem
Slide 9: Sugar Production
SUGAR PRODUCTION Financial results Key financial highlights EURk 2018 2019 2020 • Revenues increased by 9% y-o-y to EUR127m on back of 2% y-o-y Revenues 119 436 116 893 126 973 higher price and 9% y-o-y higher sugar sales volumes in 2020 Cost of sales (103 779) (107 637) (98 728) • Exports declined
Slide 10: Sugar Production: Ukraine market
SUGAR PRODUCTION Sugar production, consumption and exports, Ukraine 2.5 2.3 2 000.0 • According to the National Association of Sugar Producers there 2.2 2.1 2.1 2.1 were 1.15mt of sugar produced in Ukraine (down by 22% y-o-y) 1 800.0 2.0 1.8 1.7 1.7 1.8 1 600.0 with 33 sugar plants running in the 20
Slide 11: Sugar Production: Key achievements
SUGAR PRODUCTION • ASTARTA preserved leadership position locally with a market Key achievements share of 20% in 2020 according to Ukrsugar • The Company managed to sustain high quality of sugar despite adverse weather conditions and suboptimal sugar beet harvest: high quality sugar production at 99%
Slide 12: Soybean Processing
SOYBEAN PROCESSING Production Financial results kt 2018 2019 2020 EURk 2018 2019 2020 Soybean processed 215 231 208 Revenues, including 74 290 82 718 75 157 Soybean meal 158 169 152 Soybean meal 48 082 54 025 47 872 Soybean oil 41 44 40 Soybean oil 25 377 27 444 25 999 Sales volumes Cost of sales (6
Slide 13: Cattle Farming
CATTLE FARMING Milk production, herd and productivity Financial results 2018 2019 2020 EURk 2018 2019 2020 Milk production, kt 106 96 93 Revenues 29 309 34 603 33 167 Herd, k heads 27 24 22 Cost of sales (24 852) (27 692) (25 015) Milk yield, kg/day 19.3 20.1 21.4 BA revaluation (8 989) 8 949 1 363
Slide 14: Strategy and Outlook
STRATEGY AND OUTLOOK Financial goals • Active working capital management and capex at maintenance levels while weather poses challenges for agricultural activities • Maintaining low financial leverage • Wide ranging cost cutting measures to reduce fixed and variable costs across the board • Retain N
Slide 15: Land bank and Land reform
Land bank and Land reform Key crops planting area – 2020 vs 2021, kha Land reform – key stages 62 60 Market July 1, 2021 – December From January 1, 2024 48 47 participants 31, 2023 40 34 33 31 28 27 Individuals • Right to purchase up to • Right to purchase up with 100 ha to 10 000 ha 7 Ukrainian • C
Slide 16: Sustainability Framework
SUSTAINABILITY FRAMEWORK In 2020 ASTARTA was rated by Sustainalytics, a global leader in environmental, social and governance (ESG) research and Sustainalytics ESG risk rating ratings. According to the results of the assessment, ASTARTA score - 32.6 obtained the ESG risk rating score of 32.6 which
Slide 17: Summary Financials
SUMMARY FINANCIALS 17
Slide 18: Last Three Years Highlights
LAST THREE YEARS HIGHLIGHTS Revenues, EURm Investments, EURm ∑448 60 ∑51 16% ∑372 ∑416 8 14% 14% 35 5 50 7 23 33 12% 83 75 40 29 10% 74 30 ∑24 8% 206 175 34 127 20 2 5% 6% ∑13 1 3% 4% 127 10 21 119 117 10 10 2% 0 1 2 0% 2018 2019 2020 2018 2019 2020 Sugar Agriculture Sugar Agriculture Other СAPEX as
Slide 19: Consolidated Statement of Profit and Loss
CONSOLIDATED STATEMENT OF PROFIT AND LOSS EURm 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Revenues 68 88 123 128 219 304 353 327 352 314 369 459 372 448 416 Cost of sales (55) (67) (96) (83) (128) (193) (286) (293) (268) (219) (257) (355) (324) (400) (348) Changes in
Slide 20: Consolidated Balance Sheet
CONSOLIDATED BALANCE SHEET EURm 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Right-of-use asset (mainly land) - - - - - - - - - - - - 110 142 94 Biological assets 4 6 5 13 15 20 44 45 30 19 15 22 17 30 24 PP&E and other 33 79 79 111 148 231 244 321 237 232 265 244 277 3
Slide 21: Consolidated Cash Flows
CONSOLIDATED CASH FLOWS EURm 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 PBIT 6 23 (11) 30 80 90 45 21 (67) 14 85 63 (16) 1 9 Depreciation and amortization 4 5 9 8 13 17 25 27 25 22 29 37 46 63 56 Gain on acquisition of subsidiaries (4) (5) (9) (0) (4) (13) (2) (12) -
Slide 22: Appendix
APPENDIX 22
Slide 23: ASTARTA – Value Chain
ASTARTA – VALUE CHAIN Crop growing Storage, Handling & Logistics Processing Primary agriculture Storage & Handling Sugar • Among Ukraine’s Top 5 agriproducers by land • 7 grain and oilseeds silos with storage • 20%-25% share of the local sugar bank and production capacity – 550kt market by consumpti
Slide 24: Valuation and Capital Structure
VALUATION AND CAPITAL STRUCTURE EV 2018-2020 7 6.7 134 6 4.8 94 5 4.7 104 4 3.5 143 139 2.4 3 220 2 136 98 1.1 1 31 2018 2019 2020 0 Net financial debt Lease liabilities MCAP Net debt/EBITDA EV/EBITDA Equity Coverage Top 10 shareholders Board of Directors Name Share Director Position Background IPOP
Slide 25: Debt Profile
DEBT PROFILE Debt breakdown by currency Debt breakdown by maturity as of 31 December 2020 as of 31 December 2020 IFRS data Less than USD More than 1 year; denominated 2 years; 34% loan 100% 46% EUR53m EUR53m 1-2 years; 20% Debt breakdown by lenders Working Capital Lines as of 31 December 2020 Other
Slide 26: Key ESG Facts
KEY ESG FACTS Energy consumption Emissions, kt of CO² equivalent Water consumption, m³/t of s.b.** Gas, m³/t of s.b.* Disel, kg/ha Ecological 378 0.82 0.85 293 0.85 238 75 74 72 23 23 24 2018 2019 2020 2018 2019 2020* 2018 2019 2020 Employees by gender Lost day rate CSR budget, EURm Female Male 1.6
Slide 27: ASTARTA IT Solutions
ASTARTA IT SOLUTIONS • AgriChain is a proprietary integrated multi-module IT solution for agribusiness management. The core of AgriChain is a WEB-portal, consisting of eight modules Launched • AgriChain Land is the farmland management module covering land mapping, lease agreements, leaseholders’ and
Slide 28: FV of Biological Assets
FV OF BIOLOGICAL ASSETS Crops’ calendar Mar Apr May Jun Jul Aug Sept Oct Nov Dec Assets in agriculture Sugar beets Biological assets Agricultural produce Winter crops* Corn Agriculture Agriculture Non-current Current produce Sunflower seeds produce at Livestock unharvested subsequent the point crops