Agrana Beteiligungs-ag · VIE:AGR
Agrana Beteiligungs-ag — Q1-3 2014|15 Earnings Presentation
33 slides from Agrana Beteiligungs-ag's earnings presentation, Jan 13, 2015
Slide 1: Results for the first three quarters of 2014|15
AGRANA Beteiligungs-AG Results for the first three quarters of 2014|15 1 March – 30 November 2014 Vienna, 13 January 2015 Results for the first three quarters of 2014|15, 13 January 2015
Slide 2: Overview Q1-3 2014|15
Overview Q1-3 2014|15 • Price pressure in the Sugar segment and non-recurring structural effects in Fruit (streamlining of fruit preparations production in Austria) led to EBIT reduction €m 900 9% 800.0 765.6 800 8% 693.8 700 647.2 638.0 629.2 7% 582.3 EBIT-margin 600 6% Revenue 500 5% 400 4% 300 3%
Slide 3: Challenges for the SUGAR segment ahead
Challenges for the SUGAR segment ahead • The price situation in the Sugar segment will continue to be tense in the months ahead • From September to October 2014 alone, the EU report on sugar prices showed a drastic fall from € 508 to € 453 per tonne • Even a reduction of beet prices to the EU minimu
Slide 4: Special activities in the FRUIT segment
“Special activities” in the FRUIT segment Optimising the organisational structure in Austria • The fruit preparations plant in Kröllendorf, Austria, which had been operating below capacity, is being relocated to the larger fruit preparations facility in Gleisdorf, Austria • Intention to complete the
Slide 5: Overview Q1-3 2014|15 results
Overview Q1-3 2014|15 results €m Q1-3 Q1-3 Q3 Q3 2014|15 2013|14* % 2014|15 2013|14* % Revenue 1,914.4 2,259.3 -15.3 629.2 693.7 -9.3 Exceptional items (3.7) 0.0 n/a 0.4 0.0 n/a EBIT 124.4 152.6 -18.5 37.4 48.4 -22.7 EBIT margin (%) 6.5 6.8 -0.3pp 5.9 7.0 -1.1pp PAT 82.0 102.6 -20.1 21.1 33.4 -3
Slide 6: Revenue by segment
Revenue by segment Q1-3 2014|15 €m Q1-3 2014|15 2,259.3 -15.3% 1,914.4 29.4% 906.1 -10.0% 42.6% 815.6 28.0% -2.3% 547.8 535.4 Q1-3 2013|14* 805.4 -30.1% 563.4 35.6% 40.1% Q1-3 2013|14* Q1-3 2014|15 Sugar Starch Fruit 24.3% 6 | Results for the first three quarters of 2014|15, 13 January 2015 * Restat
Slide 7: EBIT by segment
EBIT* by segment Q1-3 2014|15 Q1-3 2014|15 €m 5.2% 6.1% 23.3% 152.6 -18.5% 40.1% 124.4 58.8 -15.1% 36.6% 49.9 8.5% 42.5 EBIT margin +7.1% Q1-3 2013|14** 45.5 51.3 -43.5% 29.0 6.4% Q1-3 2013|14** Q1-3 2014|15 38.5% 33.6% Sugar Starch Fruit 6.5% 27.9% 7.8% * Operating profit after exc. items and resul
Slide 8: Investment overview
Investment overview Q1-3 2014|15 €m --- Depreciation Most important projects in the 100 93 ~ 95 Group: 90 • Expansion of molasses desugaring 80 plant in Tulln, Austria (SUGAR) 70 • Erection of packaging centre in 63 Kaposvar, Hungary (SUGAR) 60 • Capacity expansion of waxy corn 50 derivative product
Slide 9: SUGAR
SUGAR 9 | Results for the first three quarters of 2014|15, 13 January 2015
Slide 10: SUGAR segment: financial results Q1-3 2014|15
Share of total revenue SUGAR segment 29.4% Financial results Q1-3 2014|15 Revenue -30.1% €m Revenue fell to € 563.4 million 805.4 • The reasons were 563.4 – a reduction in sales prices – and a decrease in quantities sold into the sugar-using industry and to resellers • Revenues from by-products rose
Slide 11: SUGAR segment: market environment
SUGAR segment Market environment Q1-3 2014|15 • World sugar balance: for the first time since SMY 2009|10, supply will be less than demand, which could lead to a stabilisation in prices • Frequent changes in crop forecasts, particularly for the main Brazilian production regions, generated substantia
Slide 12: Quotation: raw sugar and white sugar
Quotation Raw sugar & white sugar January 2006 – January 2015 (USD) 2014|15 FY White sugar (LSE) 12 Jan. 2015: 393.0 USD/to = 331.8 EUR/to Raw sugar (NYSE) 12 Jan. 2015: 329.6 USD/to = 278.3 EUR/to 12 | Results for the first three quarters of 2014|15, 13 January 2015
Slide 13: STARCH
STARCH 13 | Results for the first three quarters of 2014|15, 13 January 2015
Slide 14: STARCH segment: financial results Q1-3 2014|15
Share of total revenue STARCH segment 28.0% Financial results Q1-3 2014|15 Revenue -2.3% Revenue slightly down to € 535.4 million €m 547.8 535.4 • The decline was caused primarily by lower selling prices for bioethanol, native corn starch and starch saccharification products • The positive effect of
Slide 15: STARCH segment: market environment
STARCH segment Market environment Q1-3 2014|15 • Potato Starch: volumes at a high level; prices stable • Sweeteners: significant price drop for new contracts due to dependence on sugar market STARCH Segment • Bioethanol: prices continuously at a low level • Feed/by-products: high mycotoxin contamina
Slide 16: Price development of cereals
Price development of cereals Wheat & corn (Paris) January 2006 – January 2015 (EUR) 2014|15 FY WHEAT Quotation (Paris) 12 Jan. 2015: 195.3 EUR/to CORN Quotation (Paris) 12 Jan. 2015: 162.5 EUR/to 16 | Results for the first three quarters of 2014|15, 13 January 2015
Slide 17: Development of ethanol prices
Development of ethanol prices 1 July 2012 – 6 January 2015 EUR 2014 800 750 700 Ethanol: 455.0 €/m3 650 Petrol: 304.4 €/m3 600 550 500 500 € 450 400 350 300 Average daily ethanol price in EUR/m³ (Ethanol T2 FOB Rdam EUR/cm Platts) Average daily petrol price in EUR/m³ (PREM UNL-10ppm/FOB RDAM BARG Pl
Slide 18: FRUIT
FRUIT 18 | Results for the first three quarters of 2014|15, 13 January 2015
Slide 19: FRUIT segment: financial results Q1-3 2014|15
Share of total revenue FRUIT segment 42.6% Financial results Q1-3 2014|15 Revenue Revenue down to € 815.6 million -10.0% €m 906.1 • In fruit preparations (FP), sales quantities were at 815.6 the py level, but especially FX effects caused FP revenue to ease by about 3% • A revenue reduction of about
Slide 20: FRUIT segment: market environment
FRUIT segment Market environment Q1-3 2014|15 Fruit preparations: • For fruit preparations there is slight growth in the non-European markets and a continuing mild demand decline within the EU • Specifically, current data for the yoghurt market show a 2% decrease in Europe, while Russia still saw gr
Slide 21: Consolidated financial statements
CONSOLIDATED FINANCIAL STATEMENTS Q1-3 2014|15 21 | Results for the first three quarters of 2014|15, 13 January 2015
Slide 22: Changes resulting from use of equity accounting from 2014|15 FY
Changes resulting from use of equity accounting from 2014|15 FY A quick reminder… The application of IFRS 11 (Joint Arrangements) is mandatory from the new 2014|15 financial year As a result, the companies of the HUNGRANA group (in the Starch segment) and of the West Balkans group (in the Sugar
Slide 23: Changes resulting from equity accounting for Q1-3 2013|14
Changes resulting from use of equity accounting for Q1-3 2013|14 The table below give the values published in the first three quarters of the prior year (2013|14), the amount of their restatement for the transition to the equity method, and the values after the transition: AGRANA Group Q1-3 2013|14
Slide 24: Consolidated income statement
Consolidated income statement €m (condensed) Q1-3 Q1-3 Q3 Q3 2014|15 2013|14* 2014|15 2013|14* Revenue 1,914.4 2,259.3 629.2 693.7 Operating profit before exc. items & JV 108.0 129.8 29.8 39.2 Exceptional items (3.7) 0.0 0.4 0.0 Share of results of equity-accounted JV 20.1 22.8 7.2 9.2 EBIT 124.4 15
Slide 25: Analysis of net financial items
Analysis of net financial items €m Q1-3 Q1-3 2014|15 2013|14* Net interest expense (10.0) (11.9) Currency translation differences 1.8 (8.4) Other financial items (3.4) (1.4) Total of net financial items (11.6) (21.7) * Restated according to IAS 8 (-> IFRS 11) 25 | Results for the first three quarter
Slide 26: Consolidated cash flow statement
Consolidated cash flow statement €m (condensed) Q1-3 Q1-3 2014|15 2013|14* Operating cash flow before change in working capital 137.4 141.6 (Gains) on disposal of non-current assets (0.4) (1.2) Change in working capital 109.9 37.4 Net cash from operating activities 246.9 177.8 Net cash (used in) inv
Slide 27: Consolidated balance sheet
Consolidated balance sheet €m (condensed) 30 November 28 February 2014 2014* Non-current assets 1,119.1 1,103.9 Current assets 1,422.7 1,287.7 Total assets 2,541.8 2,391.6 Equity 1,209.1 1,192.7 Non-current liabilities 415.8 411.0 Current liabilities 916.9 787.9 Total equity and liabilities 2,541.8
Slide 28: Outlook
Sugar. Starch. Fruit. OUTLOOK 28 | Results for the first three quarters of 2014|15, 13 January 2015
Slide 29: Segment outlook 2014|15 FY
Segment outlook 2014|15 FY On the basis of using equity accounting to restate the 2013|14 comparative data • In the Sugar segment, AGRANA predicts a significant revenue reduction (2013|14: € 962.9 million) as a consequence of the decline in SUGAR Revenue sugar selling prices experienced especiall
Slide 30: Outlook AGRANA Group for 2014|15 FY
Outlook AGRANA Group for 2014|15 FY On the basis of using equity accounting to restate the 2013|14 comparative data AGRANA Group Revenue 2014|15 FY EBIT 2014|15 FY • For the 2014|15 financial year as a whole, AGRANA continues to expect a significant decrease in Group revenue (2013|14: € 2,841.
Slide 31: Appendix I: Financial calendar 2015
APPENDIX I Financial calendar for CY 2015 13 May 2015 Annual results for 2014|15 (Press conference) 3 July 2015 Annual General Meeting for 2014|15 8 July 2015 Ex-dividend date and dividend payment 9 July 2015 Results for the first quarter of 2015|16 31 | Results for the first three quarters of 2014|
Slide 32: Appendix II: Definitions of modifying words
APPENDIX II As a reminder: Quantitative definitions of selected common modifying words used To help ensure that our financial communications are clear and easy to understand: Modifier Visualisation Numerical rate of change Steady 0% up to 1%, or 0% to -1% Slight(ly) or More than 1% and up to 5
Slide 33: 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 AGRANA Bet
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