Slide 1: Bega Cheese Limited Results Presentation 2012
For personal use only Bega Cheese Limited Results Presentation 2012 Co-Manager
Slide 2: Successful listing of Bega Cheese
For personal use only Successful listing of Bega Cheese Tatura Milk merger completed Long term supply partnership with Coles for the Australian origin cheese products Creation of new management team o Maintaining existing knowledge and experience o Adding new skills and approach Solid financial outc
Slide 3: 2012 Results Highlights
2012 Results Highlights* For personal use only EBITDA increase 9% to $57m PBT increase 23% to $27m EPS down 18% - reflects issues of new share capital and changed tax status of TMI Final dividend of 3.5 cents per share fully franked (Total dividend attributable to 2012 6.5cps) Milk intake increase 2
Slide 4: Group Business Performance
Group Business Performance For personal use only 2012 2011 $m $m Sales Revenue 926.8 931.7 EBITDA 56.8 52.2 EBIT 35.9 31.1 PBT 27.1 22.1 PAT 20.4 21.7 Small decrease in revenue reflecting lower international dairy prices and change in sales mix Healthy growth in underlying profitability, improved ma
Slide 5: Group Balance Sheet Extract
Group Balance Sheet Extract For personal use only 2012 2011 $m $m Trade and other receivables 95.8 83.3 Inventories 162.7 104.6 Investments 30.9 37.0 Property, plant & equipment 204.6 197.9 Total Assets 516.0 462.1 Trade and other payables 130.9 117.8 Borrowings * 114.8 116.3 Total Liabilities 269.5
Slide 6: Group Cash Flows
Group Cash Flows For personal use only 2012 2011 $m $m Receipts from customers 945.6 980.2 Payments to suppliers (944.3) (893.9) 1.3 86.3 Interest and other costs of financing paid (8.8) (8.9) Income taxes paid (3.0) (3.6) Operating activities (10.5) (73.8) Investing activities (30.1) (46.2) Financi
Slide 7: Milk Intake
Milk Intake For personal use only 2011/2012 2010/2011 Direct supplier intake million litres million litres Bega 181 156 Coburg 100 69 Tatura 357 295 Total 638 520 23% increase in direct milk intake Increased production from existing suppliers New suppliers BEGA CHEESE LIMITED 2012 ANNUAL REPORT | PA
Slide 8: Total Australian Milk Production
Total Australian Milk Production (4% increase to 9.45 billion) For personal use only South Australia 7% QLD 6.5% Western Australia 3.5% NSW 8% Victoria 67% Tasmania 8% BEGA CHEESE LIMITED 2012 ANNUAL REPORT | PAGE 8
Slide 9: Production
Production For personal use only Tonnes 250,000 200,000 150,000 100,000 50,000 0 2010/2011 2011/2012 Core Manufacture FMCG Nutritional Total production 203,765 tonnes increase of 9% BEGA CHEESE LIMITED 2012 ANNUAL REPORT | PAGE 9
Slide 10: Segments Volume & EBITDA
Segments Volume & EBITDA Tatura Bega For personal use only 60,000 100,000 90,000 50,000 80,000 40,000 70,000 Tonnes/$’000 Tonnes/$’000 60,000 30,000 2011 2011 50,000 2012 2012 40,000 20,000 30,000 10,000 20,000 10,000 0 0 Core (t) Nutritional (t) EBITDA (#039;000) Core (t) FMCG (t) EBITDA (#039;000) Core
Slide 11: Tatura Milk and Bega Cheese
For personal use only Tatura Milk o Increased milk volumes – greater plant efficiencies o Increase in cream cheese & nutritional sales and margin Bega Cheese o Increased milk intake – improved plant utilisation o Established required inventory profile for new customers o Cutting & packaging plants i
Slide 12: Infrastructure
Infrastructure For personal use only Map of facilities Capital expenditure $27m Investment in capacities Investment in automation and process improvement Integrated infrastructure Risk management capability Bega Tatura Strathmerton Coburg BEGA CHEESE LIMITED 2012 ANNUAL REPORT | PAGE 12
Slide 13: High Quality Value Added Product Range
High Quality Value Added Product Range For personal use only Cheddar & Processed Cheese Mozzarella Cream Cheese Nutritional Powders Milk Protein Concentrate Milk Powders BEGA CHEESE LIMITED 2012 ANNUAL REPORT | PAGE 13
Slide 14: Sales Revenue by Destination
Sales Revenue by Destination For personal use only Bega Cheese Sales 2011 Bega Cheese Sales 2012 28% 27% 4% 5% 1% 1% 66% 68% Asia Middle East Asia Middle East Other Domestic Other Domestic BEGA CHEESE LIMITED 2012 ANNUAL REPORT | PAGE 14
Slide 15: Market Profile
Market Profile For personal use only Asian infant formula demand Asian cream cheese demand (tonnes) Tonnes Tonnes 19% CAGR 36% CAGR 1,000,000 105,000 800,000 100,000 600,000 95,000 400,000 90,000 200,000 0 85,000 2008 2009 2010 2011 2008 2009 2010 2011 Source: Euromonitor International 2011 Source:
Slide 16: Strategic Focus Areas
Strategic Focus Areas For personal use only BEGA CHEESE LIMITED 2012 ANNUAL REPORT | PAGE 16
Slide 17: Strategic Focus Areas
For personal use only Maximise utilisation of current asset base and customer opportunity Optimise value of milk components Protect and improve pre-eminent position in packaging of Australian retail cheese Increase global presence in cream cheese and dairy nutritionals Continue to be positioned to p
Slide 18: Business refinement opportunities progressing to plan
For personal use only Business refinement opportunities progressing to plan Stable domestic business with long term customers; Fonterra, Kraft, Coles, etc. Significant Asian growth in, dairy nutritional cream cheese and mozzarella Food service opportunities, Asian, Middle East, Oceania Global dairy
Slide 19: Forward looking statements
For personal use only Bega Cheese Limited advises that these presentation slides contain forward looking statements which may be subject to significant uncertainties outside of Bega Cheese and its related entities. No representation is made as to the accuracy or reliability of forward looking statem
Slide 20: Thank you
For personal use only Thank you