Slide 1: Presentation of the results for 2016
Presentation of the results for 2016 May 12, 2017
Slide 2: Representatives
Representatives Daniel Janusz president of the board Piotr Wielesik member of the Board 2
Slide 3: The most important events of 2016
The most important events of 2016 Investment program under implementation 2016 financial results Directions of sales development Project Tanzania Strategy Summary 3
Slide 4: The most important events of 2016
The most important events of 2016 2016 fully used to optimize processes in the company, streamlining operations, both at the level of construction, design of storage and drying facilities, as well as production and logistics. Currently, thanks to the investment outlays incurred in the years 2013-2
Slide 5: Investment program under implementation
The most important events of 2016 Investment program under implementation 2016 financial results Directions of sales development Project Tanzania Strategy Summary 5
Slide 6: Investments in progress - Program 2016-2019
Investments in progress - Program 2016-2019 Advanced lightweight orthotropic constructions of steel coils of flat bottom silos Strengthening the production potential Research and development The subject of the project is to carry out advanced R & D works in order Expansion of the existing machinery
Slide 7: Investments in progress - Program 2016-2019
Investments in progress - Program 2016-2019 1 Research and development 2 Strengthening the production potential Orthotropic constructions of silos purchase of machinery and equipment Modernizacja hali modernization ofprodukcyjnej the production hall Other R&D works mln PLN planned 3,0 expenditures 3
Slide 8: Production
Production A new layout of machines in connection with the expansion of the production plant Improving the production planning system - organizational changes 8
Slide 9: Purchasing department
Purchasing depar Developing a procurementand logistics strategy relatedto the implementation of contracts in Tanzaniaalongwith the selection ofthe main logistics operator to servicethe contract. Development of a full strategy for building construction and executive facilities for five investments in
Slide 10: 2016 financial results
The most important events of 2016 Investment program under implementation 2016 financial results Directions of sales development Project Tanzania Strategy Summary 10
Slide 11: Sales revenues
Sales revenues (thous. PLN) The drop in sales revenues was 120 000 mainly due to the shift in the period 109 281 of granting EU subsidies from the Agency for Restructuring and 100 000 Modernization of Agriculture for 63,1% key clients. 80 000 60 000 40 271 40 000 20 000 0 2015 2016 Source: Consolida
Slide 12: The revenue structure by sales directions
The revenue structure by sales directions Geographical structure of revenues Przychody (mln PLN) thous. PLN 2016 2015 Poland 29 794 92 687 Export 10 477 16 594 Total 40 271 109 281 2016 2015 26% 15% Eksport Eksport Polska Polska 74% 85% Source: Consolidated annual report for the period from January
Slide 13: Basic financial results for 2016
Basic financial results for 2016 Thous. PLN 2016 2015 Sales revenues 40 271 109 281 Gross profit on sales 2 769 19 107 Gross margin on sales 6,9% 17,5% EBITDA 4 343 16 502 Profitablity EBITDA 10,8% 15,1% Operational profit (EBIT) - 5 147 9 444 Profitability on operating activity - 12,8% 8,6% Gross p
Slide 14: The structure of the balance sheet as at December 2016
The structure of the balance sheet as at 31 December 2016 Assets Liabilities Main items: Main items: Commitment Short-term liabilities Financial stocks – 46,3 mln Rotary due to delivers and 56,3 mln PLN 60,5 mln PLN Receivables– 8,4 mln service – 6,0 mln Cash flow – 0,8 mln (35,3%) (38,0%)
Slide 15: Directions of sales development
The most important events of 2016 Investment program under implementation 2016 financial results Directions of sales development Project Tanzania Strategy Summary 15
Slide 16: Assessment of the current situation in the most important markets
Assessment of the current situation in the most important markets • The company observes constant demand for elevators, both on the domestic and foreign markets, • The current order portfolio includes 29 contracts with completion dates in 2017/2018 with a value of approximately PLN 194.1 million. •
Slide 17: Project Tanzania
The most important events of 2016 Investment program under implementation 2016 financial results Directions of sales development Project Tanzania Strategy Summary 17
Slide 18: Project Tanzania - contract with NFRA
Project Tanzania - contract with NFRA On December 22, 2016, the Company signed a contract with the National Food Reserve Agency based in Dar es Salaam (United Republic of Tanzania) for the construction of five grain silos and storage facilities on the territory of the United Republic of Tanzania a
Slide 19: Project Tanzania – stages of implementation
Project Tanzania – stages of implementation FEERUM S.A. DESIGN PRODUCTION SHIPMENT FEERUM TANZANIA BRANCH INSTALLATION STARTING THE OBJECT HANDING OVER THE OBJECT 19
Slide 20: Tanzania – corn production
Tanzania – corn production 20
Slide 21: Tanzania – corn production
Tanzania – corn production The map below shows the production of corn in specific regions of Tanzania Source: USDA, Tanzania Ministry of Agriculture 21
Slide 22: African market - perspective area
African market - perspective area The African continent is increasingly counting on the international arena as a large market and potential investment market. Sub-Saharan Africa (49 countries out of 54 located on the continent) is not only an area of poverty and poverty, but also a huge potential
Slide 23: Africa - total cereal production
Africa - total cereal production The map shows cereal production in Africa in individual countries (MT) 23
Slide 24: Strategy
The most important events of 2016 Investment program under implementation 2016 financial results Directions of sales development Project Tanzania Strategy Summary 24
Slide 25: Strategy
Strategy Obtaining an important player position on the international arena Dynamic increase in the scale of operations Modern technologies and Sales on the domestic and expansion of the foreign market production base Strengthening Intensification of Investments in Expansion of the sales network and
Slide 26: Summary
The most important events of 2016 Investment program under implementation 2016 financial results Directions of sales development Project Tanzania Strategy Summary 26
Slide 27: FEERUM in 2016 year
FEERUM in 2016 year High contracted and potential portfolio for the period 2017/2018 Significant production Prestigious awards potential of the confirming the company and high innovation of the production efficiency business Innovative products on the Received EU global scale in the subsidies with a
Slide 28: Thank you for your attention
Thank you for your attention 6 Okrzei Street 59-225 Chojnów www.feerum.pl 28
Slide 29: Legal disclaimer
Legal disclaimer This study has been prepared solely for information purposes. It does not constitute advertising or offering securities in public trading. The study uses information sources that FEERUM S.A. considers it credible and accurate, but there is no guarantee that it is comprehensive and f