UAC of Nigeria PLC · NSENG:UACN
UAC of Nigeria — FY2014 Earnings Presentation
29 slides from UAC of Nigeria's earnings presentation, 2015
Slide 1: FY 2014 Results Presentation
FY 2014 Results Presentation
Slide 2: Important Notice
Important Notice This presentation contains or will contain forward-looking statements which reflect management's expectations regarding the Company's future growth, results of operations, performance, business prospects and opportunities. Wherever possible, words such as "anticipate", "believe", "e
Slide 3: Contents
Contents Larry Ettah 1 Overview of the business in FY 2014 GMD/CEO 22 Financial Performance review Abdul Bello CFO 3 Larry Ettah 3 Summary & outlook GMD/CEO 3
Slide 4: Contents
Contents Larry Ettah 1 Overview of the business in FY 2014 GMD/CEO 22 FINANCIAL Performance review Abdul Bello CFO 3 Larry Ettah 3 Summary & outlook GMD/CEO 4
Slide 5: Presentation Overview
Presentation Overview “The macro-economic and socio political environment has presented significant challenges for business across all categories. The consumer is facing trying times; a phenomenon that has shrunk average spending power. We remain resolute in the face of these headwinds as we con
Slide 6: Vision, Mission and Values
VISION MISSION To be number one in our chosen To grow our top-line at twice the markets, providing exceptional rate of GDP growth in Nigeria at a value to our customers blended EBIT profitability of 15% OUR VALUES 1. Our Customers are our Focus 2. We act with Respect for the Individual 3. We act wit
Slide 7: Group Structure
Group Structure Snacks/Beverages QSR Animal Feed/Edible Oil/Maize Meal Animal Feed UAC Grand Cereals Livestock UAC Foods Restaurants LTD Feeds PLC LTD (51%) LTD (51%) (64.9%) (51%) Foods Pension Paints Real Estate Logistics Administrator Portland Paints MDS Logistics CAP PLC and Products UPDC PLC UN
Slide 8: Operations Review
Operations Review Vital fish feed now the market leader at 16% share Insurgency affecting agricultural activities and prices of oilseeds (up 40%) Insecurity impacted volumes New products – Kingsway Beef Roll, Gala Chicken Sausage, Gala Tinkies receiving support Launch of new, trendy packag
Slide 9: Operations Review
Operations Review New 12 MT/Hour Ikeja mill commissioned June 2014 Greater collaboration with Grand Cereals Portfolio expansion- addition of Fish Feed in May 2014 Cost optimization initiatives Opened new Dulux Colour Centre and 11 Dulux Colour Shops Launched new product packaging Succe
Slide 10: Operations Review
Operations Review First REIT distribution in Dec. 2014; next distribution in April 2015 to Unit holders Completion of Vintage Gardens Phase 1 Pinnacle Abuja, Olive Court Ibadan, Pineville Asaba, Golf Estate Calabar, Festac Residences, Metro City Abuja and Festival Mall projects progressing S
Slide 11: Performance of Key Subsidiaries
Performance of Key Subsidiaries UAC Foods (N’Million) UAC Restaurants (N’Million) 15,126 15,143 2013 2014 1,534 2013 2014 1,221 1,935 292 1,463 108 Turnover PBT Turnover PBT Grand Cereals (N’Million) Livestock Feeds (N’Million) 7,914 34,394 35,813 2013 2014 2013 2014 6,114 2,727 2,925 283 402 11 Tur
Slide 12: Performance of Key Subsidiaries
Performance of Key Subsidiaries CAP (N’Million) Portland Paints (N’Million) 6,988 2,771 2,798 6,196 2013 2014 2013 2014 2,087 2,442 73 194 Turnover PBT Turnover PBT UPDC (N’Million) MDS (N’Million) 11,299 11,701 2013 2014 4,836 2013 2014 4,427 3,707 3,541 1,501 1,303 12 Turnover PBT Turnover PBT
Slide 13: Sandtex Paints Experience Centres advertisement
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Slide 14: Outline
Outline Larry Ettah 1 Overview of the business in FY 2014 GMD/CEO 22 FINANCIAL Performance review Abdul Bello CFO 3 Larry Ettah 3 Summary & outlook GMD/CEO 14
Slide 15: Truly Filling Truly Delicious
Truly Filing Truly Delicious RESHAPED TOYOUR SATISFACTION Your deliciously tasty Kingsway Chili Beef Sausage Roll now has a new shape. It’s truly filling, a bit peppery, and every bite is truly satisfying. How about experiencing the taste today? Sausage Roll. XXL DElicicusintaste! Truly filling. Tru
Slide 16: Statement of Comprehensive Income
Statement of Comprehensive Income 2014 2013 N'M N'M % Comments Continuing Operations Revenue growth largely due to Revenue 85,654 78,714 9% increased volumes particularly in Cost of sales (66,472) (59,878) 11% the animal feeds category Gross profit 19,183 18,836 2% Selling and distribution expense
Slide 17: Details of Other Gains & Share of Profit of Associate
Details of Other Gains & Share of Profit of Associate 31 Dec 2014 31 Dec 2013 N'000 N'000 LSF piece-meal acquisition gain - 61,745 Gain on disposal of UAC Registrars - 424,465 Profit on sale of PPE 34,801 9,684 (Loss)/profit on sale of Investment Property (71,124) 604,502 REIT Income* 2,978,959 2,18
Slide 18: Turnover by Segment
Turnover by Segment FY 2014 FY 2013 Logistics Real Logistics Real 6% Estate 6% Estate 14% 14% Paints Paints 10% 10% Food & Food & Bev 70% Bev. 70% Turnover contribution across all categories remained stable for the two years 18
Slide 19: Trend Analysis
Trend Analysis Turnover (N’M) Gross Profit (N’M) 85,654 78,714 69,632 19,050 18,836 19,183 59,638 15,861 2011 2012 2013 2014 2011 2012 2013 2014 Gross Profit trend since 2012 reflects the challenge of the consumer and inability of business to fully recover cost increases from pricing 19
Slide 20: PBT by Segment
PBT by Segment FY 2014 FY 2013 Others Others 1% 1% Real Real Estate Food & Estate 28% Food & Bev 31% Bev 39% 40% Logistics 12% Logistics 11% Paints Paints 20% 17% Paints contribution to PBT now 20% 20
Slide 21: Trend Analysis
Trend Analysis PBT (N’M) 13,935 14,097 10,745 6,995 2011 2012 2013 2014 PBT has risen by a CAGR of 26% between 2011 and 2014 21
Slide 22: Statement of Financial Position
Statement of Financial Position Underlying in N'M 2014 2013 % Comments PPE 36,613 37,265 -2% Intangible assets and goodwill 1,842 1,528 21% Intangible assets and goodwill up Investments in associates on account of SAP ERP costs and 19,101 17,991 6% fair valuation of intangible assets in Cash and s
Slide 23: Solvency and Liquidity
Solvency and Liquidity Net Debt (N’M) Solvency Ratios (x) 1.47 20,338 1.22 1.21 18,632 1.16 16,868 17,302 0.59 0.50 0.36 0.38 2011 2012 2013 2014 Current Ratio Gearing 2011 2012 2013 2014 Slight movement in gearing mainly on account of UPDC leverage 23
Slide 24: Statement of Cash Flows
Statement of Cash Flows 31 Dec 14 31 Dec 13 N'000 N'000 Net cash flow generated from/(used in) operating activities 2,339,700 7,130,194 Cash flows from investing activities Interest received 1,745,060 1,738,261 Purchase of Intangible assets (278,487) (229,522) Purchase of property, plant and equipme
Slide 25: Key Performance Highlights
Key Performance Highlights 2014 2013 Turnover (N'm) 85,654 78,714 Gross Profit (N'm) 19,183 18,836 Financial Other Income (N'm) 3,391 5,669 Performance PBT (N'm) 14,097 13,935 EPS (kobo) 340 291 DPS (proposed) 175k 175k 2014 2013 Cash (N'm) 7,957 8,894 Financial Borrowings (N'm) 28,295 26,196 Positi
Slide 26: Supreme Ice Cream
yy = Supreme Ice Cream ...oh my goodness!
Slide 27: Outline
Outline Larry Ettah 1 Overview of the business in FY 2014 GMD/CEO 22 FINANCIAL Performance review Abdul Bello CFO 3 Larry Ettah 3 Summary & outlook GMD/CEO 27
Slide 28: 2015 Priorities
2015 Priorities 1 Innovation Fast-track innovation in manufacturing units Introduce new products in key categories Talent 2 Competency and Human Capacity building Management Resource Asset and yield optimisation 3 Drive for efficiency especially in supply chain Optimisation Improve on co
Slide 29: Satisfying | Wholesome
— Satisfying | | Wholesome I 1 Trusted Heritage = - | Great Taste