Nwf Group Plc · LSE:NWF
Nwf — FY2009 Earnings Presentation
26 slides from Nwf's earnings presentation, August 2009
Slide 1: Preliminary results year to 31 May 2009
NWF Group plc Preliminary results year to 31 May 2009
Slide 2: Contents
NWF Group plc 2 contents Preliminary results year to 31 May 2009 Contents page Who are we? 3 Group overview 4 Business highlights 5 Financial review 8 Development outlook 12 Summary 15 Appendices 16 Business backgrounds Locations Group organisation Wardle site photo Five year financial performance A
Slide 3: Who are we?
NWF Group plc 3 Who are we? Preliminary results year to 31 May 2009 Who are we? NWF Group plc is a focused specialist distributor of food, feed and fuel Revenue £381 million Operating profit £8.9 million Operating net assets £55.4 million Food Food Fuel 10% 23% 17% Feed Fuel Fuel Food 28% 46% Feed 6
Slide 4: Group overview
NWF Group plc 4 Group overview Preliminary results year to 31 May 2009 Group overview Delivered the strategy to focus as a specialist distributor of food, feed and fuel Record performance for NWF Revenue increased by 5.4% to £380.6 million (2008: £361.2 million) Operating profit up 53.4% to £8.9 mil
Slide 5: Business highlights – food distribution
NWF Group plc 5 Business highlights Preliminary results year to 31 May 2009 – food distribution Business highlights – food distribution 2009 2008 £m £m % Revenue 39.6 33.4 +18.6 Operating profit 2.0 0.5 +300.0 Pallet spaces stored 104,000 91,000 +14.3 Storage capacity full from August to January Won
Slide 6: Business highlights – feeds
NWF Group plc 6 Business highlights Preliminary results year to 31 May 2009 – feeds Business highlights – feeds 2009 2008 £m £m % Revenue 104.7 100.1 +4.6 Operating profit 2.8 3.1 -9.7 Tonnes 462,000 517,000 -10.6 Ruminant market compound volumes down 5.1% (milk output down 1.9%) Raw material volati
Slide 7: Business highlights – fuels
NWF Group plc 7 Business highlights Preliminary results year to 31 May 2009 – fuels Business highlights – fuels 2009 2008 £m £m % Revenue 236.7 228.2 +3.7 Operating profit 4.1 2.2 +86.4 Million litres 355 347 +2.3 Outstanding result, record for the division Excellent market conditions Record falls a
Slide 8: Financial review – income statement summary
NWF Group plc 8 Financial review Preliminary results year to 31 May 2009 – income statement Financial review – income statement summary 2009 2008 £m £m % Revenue Food Distribution 39.2 32.9 19.1% Feeds 104.7 100.1 4.6% Fuels 236.7 228.2 3.7% Total revenue 380.6 361.2 5.4% Operating profit Food Distr
Slide 9: Financial review – balance sheet summary
NWF Group plc 9 Financial review Preliminary results year to 31 May 2009 – balance sheet Financial review – balance sheet summary 2009 2008 £m £m Fixed assets 42.1 43.1 Net Working Capital 12.3 19.5 Assets Employed 54.4 62.6 Assets held for sale - 25.4 Pension deficit (6.7) (4.4) Tax provisions (4.5
Slide 10: Financial review – net debt summary
NWF Group plc 10 Financial review Preliminary results year to 31 May 2009 – net debt summary Financial review – net debt summary Debt Summary Movement in net debt Total committed facilities of £41.6m with RBS until May 50.0 2011. In addition £7m of HP finance is available. 40.0 23.7 £m Facility Draw
Slide 11: Financial review – cash flow
NWF Group plc 11 Financial review Preliminary results year to 31 May 2009 – cash flow Financial review – cash flow 2009 2008 £m £m Operating profit 8.8 6.8 Depreciation & amortisation 3.5 4.0 Working capital 5.6 (6.7) Other (0.2) (0.1) Operating cash flow 17.7 4.0 Interest (3.0) (3.5) Tax (0.2) (1.3
Slide 12: Development outlook – food distribution
NWF Group plc 12 Development outlook Preliminary results year to 31 May 2009 – food distribution Development outlook – food distribution NWF distribution destinations Robust demand for ambient groceries % case shipped Tesco Boughey has a leading position in North West Sainsbury Morrisons Competitive
Slide 13: Development outlook – feeds
NWF Group plc 13 Development outlook Preliminary results year to 31 May 2009 – feeds Development outlook – feeds Ruminant Feed Market – tonnage ‘000s Strong national sales team 5,000 Strategy to build direct business with farmers, continue 4,500 4,000 development in the South 3,500 3,000 Volatile ra
Slide 14: Development outlook – fuels
NWF Group plc 14 Development outlook Preliminary results year to 31 May 2009 – fuels Development outlook – fuels Oil Prices - Brent crude $/ barrel Oil Market Journal - 12 months to May '09 Proven performance in volatile markets 160 150 140 130 Proven track record – successful depot based operating
Slide 15: Summary
NWF Group plc 15 Summary Preliminary results year to 31 May 2009 Summary Delivered strategy to focus as a specialist distributor of food, feed and fuel Delivered record profitability for NWF Debt reduced by over 60% Markets large and robust Experienced, capable management team Good organic developme
Slide 16: Appendix
NWF Group plc 16 Appendix Preliminary results year to 31 May 2009 Appendix Business backgrounds Locations Organisation Main site, Wardle Five year financial performance
Slide 17: Business background – food distribution
NWF Group plc 17 Business background Preliminary results year to 31 May 2009 – food distribution Business background – food distribution Market Consolidation of ambient grocery products to UK supermarkets Our business 115,000 pallet spaces 900,000 ft2 of warehousing in Wardle and Deeside (North West
Slide 18: Business background – feeds
NWF Group plc 18 Business background Preliminary results year to 31 May 2009 – feeds Business background – feeds Markets Supply of feed to ruminants in the UK – principally dairy Market split into compound & blends Our business National player – 14% market share 460,000 tonnes produced in 2008/9 168
Slide 19: Business background – fuels
NWF Group plc 19 Business background Preliminary results year to 31 May 2009 – fuels Business background – fuels Markets 1.5 m homes use oil fired heating Commercial customers Service stations Fuel cards Our business 146 people 56 tankers 13 depots across the UK Supply 80 retail petrol stations Fuel
Slide 20: Locations
NWF Group plc 20 Locations Preliminary results year to 31 May 2009 Locations Locations: Food Distribution Wardle Deeside Locations: Feeds Ayr Penrith Wixland Exeter Wardle Locations: Fuels Bangor Dyserth Burnley Ammanford Yate Burwell Kingsbury Leaton Nottingham Stoke Boston Acle Wardle
Slide 21: Group organisation
NWF Group plc 21 Group organisation Preliminary results year to 31 May 2009 Group organisation Chief Executive Non-Executive Directors Richard Whiting Mark Hudson (Chairman) John Acornley David Southworth Finance Director Company Secretary Johnathan Ford Rob Andrew Distribution Feeds Fuels Managing
Slide 22: Wardle site
NWF Group plc 22 Wardle site Preliminary results year to 31 May 2009 Wardle site
Slide 23: Five year financial performance
NWF Group plc 23 Five year Preliminary results year to 31 May 2009 - financial performance Five year financial performance Revenue Operating Profit 400 10.0 9.0 350 8.0 300 7.0 250 6.0 £m £m 200 5.0 150 4.0 3.0 100 2.0 50 1.0 0 0.0 2005 2006 2007 2008 2009 2005 2006 2007 2008 2009 PBT DPS 7 5 6 4 5
Slide 24: Food Distribution – additional market data
NWF Group plc 24 Additional market data Preliminary results year to 31 May 2009 - food distribution Food Distribution – additional market data UK Produced Ambient Grocery Market Boughey UK pallets 42,000 Total UK pallets 1,160,000 Boughey volume Imported Ambient Grocery Market Regional total Boughey
Slide 25: Feeds – additional market data
Price per tonne £ 100 110 120 130 140 150 160 170 50 60 70 80 90 02/06/2008 NWF Group plc 16/06/2008 30/06/2008 14/07/2008 28/07/2008 11/08/2008 Pence per litre 25/08/2008 10 12 14 16 18 20 22 24 26 28 Preliminary results year to 31 May 2009 08/09/2008 22/09/2008 06/10/2008 20/10/2008 03/11/2008 17/
Slide 26: Fuels – additional market data
Tonnes '000s 35,000 37,500 40,000 42,500 45,000 47,500 50,000 52,500 25,000 27,500 30,000 32,500 Quarter 4 1998 NWF Group plc Quarter 1 Quarter 2 1999 Quarter 3 Quarter 4 Quarter 1 Quarter 2 2000 Quarter 3 Quarter 4 Quarter 1 Quarter 2 Preliminary results year to 31 May 2009 2001 Quarter 3 Quarter 4