Cobram Estate Olives Ltd. · ASX:CBO
Cobram Estate Olives — H1 2025 Earnings Presentation
35 slides from Cobram Estate Olives's earnings presentation, Feb 21, 2025
Slide 1: Half-Year FY2025 Results Presentation and Webinar
ABN: 32 115 131 667 ASX: CBO ASX Announcement – 21st February 2025 Half-Year FY2025 Results Presentation and Webinar Cobram Estate Olives Limited (“CBO” or “the Company”) is pleased to present its Half-Year FY2025 Results Presentation for today’s investor and analyst webinar briefing commencing at 1
Slide 2: Half-Year FY2025 Results Presentation
Half-Year FY2025 Results Presentation 21 February 2025 Cobram Estate Olives Limited ABN: 32 115 131 667
Slide 3: Presenters
Presenters Sam Beaton Leandro Ravetti Executive Director and Joint-CEO Executive Director and Joint-CEO Estate
Slide 4: Disclaimer
Disclaimer The material in this presentation is general background information about Cobram Estate Olives Limited (“Cobram Estate Olives” or “CBO” or “the Company” or “the Group”) and is current at the date of the presentation. The information in the presentation is provided for information purposes
Slide 5: Agenda
Agenda 1. Welcome & Key Messages 2. 1HFY25 Results & Commercial Update – Sam Beaton 3. Business Operations & Growth Strategy Update – Leandro Ravetti 4. Questions 5. Close Cobram Estate Olives Limited
Slide 6: Welcome and Key Messages
Welcome and Key Messages • Sustained demand for CBO’s extra virgin olive oil, together with the Company’s marketing initiatives, led to robust sales growth and improved trading results in 1HFY25. The Company anticipates continued growth in olive oil sales in the second half of FY2025. • CBO’s olive
Slide 7: 1HFY25 Results & Commercial Update
1HFY25 Results & Commercial Update Sam Beaton Joint-CEO (Finance & Commercial) Cobram Estate Olives Limited
Slide 8: Half-Year FY2025 – Financial Results Summary
Half-Year FY2025 – Financial Results Summary Financial results for the six months to 31 December 2024 GROUP OLIVE OIL SALES REVENUE EBITDA* PROFIT $123.5m $14.5m ↑ 75.4% (vs 1HFY24) ↑13.5% (vs 1HFY24) GLOBAL PACKAGED GOODS SALES NET LOSS AFTER TAX $110.3m $4.5m loss (COBRAM ESTATE® + RED ISLAND® + P
Slide 9: Group Profit (Statutory)
Group Profit (Statutory) 75.4% EBITDA* growth driven by improvement in product mix and the flow-through of price increases Income Statement 6 mths to 6 mths to 31-Dec 31-Dec Key points: $'million 2024 2023 Change • Group EBITDA* of $14.5m in 1HFY25 (1HFY24: $8.2m), up 75.4%. Revenue and other Income
Slide 10: Group Cash Flow Statement
Group Cash Flow Statement Operating cash flows continue to grow, driven by improved product mix and pricing supported by customer demand Cash Flow Statement 6 mths to 6 mths to 31-Dec 31-Dec Key points: $'million 2024 2023 Change • 36.2% increase in cashflow from operations of $43.6m in 1HFY25 (1HFY
Slide 11: Group Balance Sheet
Group Balance Sheet Net Assets of $316.6m; value of brands, olive trees, and irrigation infrastructure are carried at written down cost Balance Sheet 31-Dec 30-Jun $'million 2024 2024 Change Key points: • Increase in Total Assets mainly driven by land acquisitions in the USA Cash 9.7 11.3 (1.7) and
Slide 12: Real Asset Backing
Real Asset Backing Adjusted asset value (excluding cash) of $890.9m, against net borrowings of $249.0m CBO’s Assets vs Borrowings 1,000 $'million 31-Dec-24 30-Jun-24 Olive trees and irrigation valuation Olive trees and irrigation Assets 900 (as at 30 June 2024) not included on valuation not included
Slide 13: Group Olive Oil Sales
Group Olive Oil Sales Branded product sales continue to drive olive oil sales growth Group olive oil sales by product type / country Key points: • CBO’s olive oil sales increased 13.5% to $123.5m in Packaged Goods - AU Packaged Goods - USA 1HFY25 (1HFY24: $108.9m). The Company's sales growth Bulk Oi
Slide 14: Continued Sales Growth for Australian Olive Oil Operations
Continued Sales Growth for Australian Olive Oil Operations Australian branded product sales up 23.2% in 1HFY25 (vs 1HFY24) Australian olive oil operations packaged goods sales ($) Key points: Branded (Cobram Estate® and Red Island®) Private label • Sustained growth in olive oil sales from CBO’s 100
Slide 15: Branded Product Sales Lead Strong Growth for USA Olive Oil Operations
Branded Product Sales Lead Strong Growth for USA Olive Oil Operations Cobram Estate® branded product sales up 103.4% in 1HFY25 (vs 1HFY24) USA olive oil operations Key points: packaged goods sales (A$) • Significant growth in USA packaged good sales in Branded (Cobram Estate® and Red Island®) Privat
Slide 16: External Costs Stable / Australian Water WAP Lower
External Costs Stable / Australian Water WAP Lower Business costs are generally stable; Australian water WAP per ML remains well below CBO’s long-term average CBO’s Australian temporary water purchases and price Key points: per megalitre - FY14 to FYTD* • Grove input costs and general operating cost
Slide 17: Business Update
Business Update Positive trading conditions have continued in January and February 2025 Key points: • Trading conditions have remained positive in January and February 2025, with both sales and costs in line with expectations. • The supply of Australian olive oil will remain very tight through to th
Slide 18: Financial Outlook
Financial Outlook Outlook is positive, with FY2025’s reported EBITDA* expected to be materially higher than FY2024 Key points: • CBO's sales, profitability, and operating cashflow are expected to remain strong in the second half of FY2025, driven by continued robust consumer demand for our locally g
Slide 19: Business Operations & Growth Strategy Update
Business Operations & Growth Strategy Update Leandro Ravetti Joint-CEO (Technical & Production) Cobram Estate Olives Limited
Slide 20: FY2025 California Harvest
FY2025 California Harvest Total production of 3.0 million litres will support continued USA sales growth Key points: • As previously announced, CBO’s FY2025 ‘off’ year Californian olive harvest was completed in December 2024*. • Total production was 3.0m litres of olive oil, 6.4% lower than FY2024 (
Slide 21: FY2025 Australian Crop Outlook
FY2025 Australian Crop Outlook Normal flowering and growing conditions to date; FY2025 crop expected to be significantly higher than FY2024 Key points: • Flowering commenced in late-October on CBO’s Australian groves, with the timing of full bloom at Boort and Boundary Bend occurring in line with lo
Slide 22: Global Olive Oil Operations Update
Global Olive Oil Operations Update Normal weather conditions; focus on preparation for harvest in Australia and the start of the growing season in USA Australia USA • Normal weather conditions during the FY2025 growing season. • Normal weather conditions since the end of harvest. • Water usage to da
Slide 23: Growth Strategy
Growth Strategy Four core pillars to drive future growth Increasing olive oil supply on our Australian groves to deliver material sales growth from 1. Australian operations. CBO’s maturing Australian olive grove area will increase by 53% over the next 8-years. Currently* 35% of the company’s total A
Slide 24: CBO’s Maturing Australian Groves
CBO’s Maturing Australian Groves CBO’s mature grove area will increase by 53% over the next 8-years, delivering material growth in oil supply Key points*: • Currently only 65% of CBO’s Australian groves are mature, 25% are immature, and 10% are not yet productive. • CBO’s mature grove area in Austra
Slide 25: Australia Growth Project: Capacity Increase for Boort Olive Mill
Australia Growth Project: Capacity Increase for Boort Olive Mill Olive mill processing capacity increase from 50 to 100 tonnes per hour Boort Olive Mill Capacity Expansion Boort olive mill - Equipment Installation Work in Progress processing capacity expansion • CBO’s Boort olive mill upgrade, commi
Slide 26: Only 20% of CBO’s 1,025 Hectares of Californian Groves are Mature
Only 20% of CBO’s 1,025 Hectares of Californian Groves are Mature* CBO’s mature USA grove area will increase from 208 hectares to 1,025 hectares over the next 8-years** Key points: CBO’s Californian olive oil operations and locations • CBO’s Californian olive grove portfolio totals 1,025 hectares, i
Slide 27: USA Growth Project: Grove Expansion
USA Growth Project: Grove Expansion CBO is continuing its material grove developments to meet strong demand for Californian olive oil California grove developments FY2025 developments • 164 hectares planted in October-November 2024. Additional land and groves • The Company is in the process of purch
Slide 28: USA Growth Project: Woodland California Site Expansion
USA Growth Project: Woodland California Site Expansion Expansion of CBO’s Woodland bottling and warehousing capacity to meet growing demand Woodland Site Expansion Woodland site Milling and oil storage complete; bottling and warehouse in progress expansion • The first phase of the Woodland site expa
Slide 29: Sustainability
Sustainability New sustainability section on CBO’s updated corporate website Key points: • The Company continues to focus on short and long-term sustainability objectives and targets, in line with its 2030 Sustainability Strategy. • CBO’s corporate website has recently been updated and now includes
Slide 30: Questions?
Questions? Cobram Estate Olives Limited
Slide 31: Appendix
Appendix Cobram Estate Olives Limited
Slide 32: About Cobram Estate Olives Limited
About Cobram Estate Olives Limited One of the world’s leading vertically integrated producers and marketers of premium quality extra virgin olive oil Company snapshot • Established in 1998, Cobram Estate Olives Limited (ASX: CBO) is Australia’s largest vertically integrated producer and marketer of
Slide 33: CBO’s Strategic Advantages
CBO’s Strategic Advantages CBO’s strategic olive assets deliver significant competitive advantages and strong barriers to entry Vertically integrated operations with Proprietary Oliv.iQ® Premium market-leading Industry-leading strategically located, Integrated Olive brands Cobram Estate® sustainabil
Slide 34: CBO’s Olive Growing, Milling, and Bottling Operations in Australia and USA
CBO’s Olive Growing, Milling, and Bottling Operations in Australia and USA Large-scale olive groves and olive mills, delivering efficiencies in olive growing, harvesting, milling, bottling, and distribution Olive groves, harvesters and Olive mills and olive oil storage Bottling, warehouse, and labor
Slide 35: Thank you for your support!
Thank you for your support! Cobram Estate Olives Limited