Golden Agri-resources Ltd · SGX:E5H
Golden Agri-resources — Q1 2018 Earnings Presentation
20 slides from Golden Agri-resources's earnings presentation, May 15, 2018
Slide 1: Golden Agri-Resources Ltd Interim Performance Presentation
Golden Agri-Resources Ltd Golden Agri-Resources Ltd Interim Performance Presentation Full Year 2017 Three-month Results period Performance ended 31st March 2018 27 February 2018 15 May 2018
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Golden Agri-Resources Ltd. (“GAR” or “Company”) for informational purposes, and may contain projections and forward looking statements that reflect the Company’s current views with respect to future events and financial performance. These views are b
Slide 3: Contents
Contents 1 Executive Summary 4 2 Financial Highlights 6 3 Segmental Performance 9 4 Strategy and Outlook 14 5 Appendix 18 slide 3
Slide 4: Executive Summary
Executive Summary slide 4
Slide 5: Executive Summary
Executive Summary 1Q 2018 performance impacted by moderation in plantation output and palm oil prices EBITDA (US$ million) 150 141 1Q 2018 vs 1Q 2017 results 121 Revenue US$1,816 mn 11% 100 95 EBITDA US$121 mn 34% Underlying Profit1 US$25 mn 70% Palm product output 612,000 MT 12% 50 39 36 25 CPO FOB
Slide 6: Financial Highlights
Financial Highlights slide 6
Slide 7: Consolidated Financial Performance
Consolidated Financial Performance US$ million 1Q 2018 1Q 2017 YoY 4Q 2017 QoQ Revenue 1,816 2,046 -11% 1,923 -6% Gross Profit 248 291 -15% 261 -5% EBITDA 121 183 -34% 156 -23% Underlying Profit1 25 84 -70% 37 -34% Net loss from changes in fair value of biological assets2 -0.3 -1 -51% -6 -94% Deprec
Slide 8: Financial Position
Financial Position Prudent balance sheet with healthy gearing ratios US$ million 31-Mar-18 31-Dec-17 Change Total Assets 8,367 8,138 3% Cash and short-term investments 368 394 -6% Fixed Assets1 3,671 3,692 -1% Total Liabilities 4,246 4,029 5% Adjusted Net Debt2 1,744 1,684 4% Net Debt3 2,742 2,598 6
Slide 9: Segmental Performance
Segmental Performance slide 9
Slide 10: Segmental Results Plantations and Palm Oil Mills
Segmental Results Plantations and Palm Oil Mills Resilient EBITDA margin despite lower output and prices 1Q 2018 1Q 2017 YoY 4Q 2017 QoQ Revenue (US$ million) 343 475 -28% 421 -19% EBITDA (US$ million) 95 141 -33% 121 -21% EBITDA margin 28% 30% -2% 29% -1% FFB Production (‘000 tonnes) 2,125 2,449 -1
Slide 11: Plantation Area
Plantation Area GAR’s oil palm plantations continue to be leading in scale and operational excellence Mature Area - ha Planted Area - ha Age Profile as of 31 Mar 2018 14% 5% 6% 478,388 476,965 500,345 502,847 21,957 71,301 101,580 101,214 103,071 102,852 30,813 376,808 375,751 397,274 399,995 34% 17
Slide 12: Segmental Results Palm and Lauric
Segmental Results Palm and Lauric Resilient EBITDA margin amidst competitive market environment 1Q 2018 1Q 2017 YoY 4Q 2017 QoQ Revenue (US$ million) 1,610 1,855 -13% 1,666 -3% Sales Volume (‘000 tonnes) 2,162 2,455 -12% 2,222 -3% EBITDA (US$ million) 25 39 -35% 36 -30% EBITDA margin 1.6% 2.1% -0.5%
Slide 13: Segmental Results Oilseeds and Others
Segmental Results Oilseeds and Others Oilseed business maintains its positive contribution supported by prudent management 1Q 2018 1Q 2017 YoY 4Q 2017 QoQ Oilseeds Revenue (US$ million) 144 187 -23% 190 -24% Sales Volume (‘000 tonnes) 228 324 -30% 382 -40% EBITDA (US$ million) 2.30 2.32 -0.7% 0.5 40
Slide 14: Strategy and Outlook
Strategy and Outlook slide 14
Slide 15: Responsible Growth through Innovation
Responsible Growth through Innovation Driving operational transformation for responsible growth and long-term shareholders return Focus TECHNOLOGY CUSTOMER SUSTAINABILITY Goals Digital leapfrog to achieve Sustainable profit growth Responsible palm oil leadership in productivity from high margin prod
Slide 16: Growth Strategy and Outlook
Growth Strategy and Outlook Capitalising on the robust fundamentals of the industry, GAR continues to enhance its integrated operation capabilities to optimise profit opportunities across the value chain Upstream • Focus on replanting with higher-yielding seeds to sustain production growth • Continu
Slide 17: Towards Responsible Palm Oil Production
Towards Responsible Palm Oil Production Full Traceability to the Plantation for GAR-owned mills • 100% Traceability to the Plantation (TTP) achieved for GAR-owned mills - 39% of our total supply chain fully traceable • Engagement with suppliers: with full TTP, GAR can now reach an additional 72 deal
Slide 18: Appendix
Al gar agribusiness and food
Slide 19: Age Profile
Age Profile Immature and younger estates use newer-generation higher-yielding planting materials that will further boost production growth in the future Immature Young Prime 1 Prime 2 Old Total hectares (0-3 years) (4-6 years) (7-18 years) (19-25 years) (>25 years) 31 March 2018 Nucleus 20,466 26,96
Slide 20: Contact Us
Contact Us If you need further information, please contact: Golden Agri-Resources Ltd c/o 108 Pasir Panjang Road #06-00 Golden Agri Plaza Singapore 118535 Telephone : +65 65900800 Facsimile : +65 65900887 www.goldenagri.com.sg Contact Person : Richard Fung richard@goldenagri.com.sg slide 20
Golden Agri-Resources — Q1 2018 Earnings Presentation on 6ix