Clover Corporation Limited · ASX:CLV
Clover — 2008 Rising Stars Micro Cap Conference
31 slides from Clover's conference presentation, Jun 12, 2008
Slide 1: 2008 Rising Stars Micro Cap Conference
For personal use only 2008 Rising Stars Micro Cap Conference CLOVER CORPORATION ASX :CLV Presented by Dr. Ian Brown (CEO) SYDNEY HILTON, 12th of June 2008
Slide 2: For personal use only
For personal use only
Slide 3: What does Clover do?
For personal use only What does Clover do? Clover provides nutritional and functional ingredients for use in foods and specialty applications. The current primary activities of the company are involved with the provision of HiDHA omega-3 fish oils/powders and debittered soy ingredients.
Slide 4: Clover's business structure
For personal use only Clover’s business structure Future Food Ingredients (100%) (50%)
Slide 5: Group overview
Group overview For personal use only • Clover was founded by Hamish Drummond in 1988. • Publicly listed in 1999. • To identify, develop & commercialise specialty functional and nutritional ingredients. • Initial focus on HiDHA marine oils. • Nu-Mega Ingredients was founded as a JV in 2003. • Clover
Slide 6: Nu-Mega Ingredients Pty Ltd
For personal use only Nu-Mega Ingredients Pty Ltd • Primary interest is the provision of HiDHA omega-3 tuna oils/powders. • Refine crude tuna oil obtained from American Samoa. • Prepare high quality marine oils and powders. • Microencapsulation technology developed in association with Food Science A
Slide 7: Nu-Mega Offices and Agents
Nu-Mega Offices and Agents For personal use only Sales Office Manufacturing Site Agents Sales Office Manufacturing Site Agents Production – Victoria. Sales & Marketing – Victoria, NSW, Queensland, USA & UK.
Slide 8: Where does Nu-Mega sell its omega-3 ingredients
For personal use only Where does Nu-Mega sell its omega-3 ingredients. Market applications: » Infant formula 76% » Food 18% » Supplement 5% » Animal feed <1% Sales by region: » Australasia 75% » Europe 20% » USA 5% As at 29.11.07
Slide 9: A World of Omega-3 Foods for Kids+
For personal use only A World of Omega-3 Foods for Kids+
Slide 10: Nu-Mega HiDHA omega-3 oils & powders in many infant formulas, foods & supplements
Nu-Mega HiDHA omega-3 oils & For personal use only powders are in many infant formulas, foods & supplements
Slide 11: Identify New Product Opportunities
Identify New Product Opportunities NCEFF “Foods for healthy ageing” For personal use only Consumer Key Consumption Attributes Occasions • Time poor • Out of home – Food on the run • Needs motivation to convert • In home – Breakfast (eg Mueslis) intention into behaviour • In home – additives / ingred
Slide 12: Omega-3 Centre
Omega-3 Centre For personal use only • Mission of the Omega-3 Centre; – Improved health is the goal – Communication is the focus – Sound science is the basis • Increase omega-3 consumption • Coordinate general messages on the nutritional importance of omega-3 oils. – Seminars. – Consensus technical
Slide 13: Nutritional & clinical research supported by Clover & Nu-Mega
Some examples of the nutritional & clinical research For personal use only supported by Clover & Nu-Mega Health Parameter Heart Atrial fibrillation Hypertrophy Cholesterol Platelet aggregation Dose-response index Inflammation Periodontitis Exercise Weight Control In relation to Type II diabetes Eye
Slide 14: Nu-Mega Altona Refinery
Nu-Mega Altona Refinery For personal use only
Slide 15: Focus of activities at Nu-Mega
For personal use only Focus of activities at Nu-Mega • Improve oil quality & increase capacity. • Expand our technology & develop new products. • Identify new complementary bioactive opportunities. • Increase our sales & market presence. • Conduct targeted market research. • Regulatory focus. • Nutr
Slide 16: Overview of FFI
Overview of FFI For personal use only – Manufacturing facility located in Moree, NSW. • Plant commissioned in December 2005. • CEO Warren Hannam – Plant Manager, QA & Production staff. – Nu-Soya technology exclusively licensed worldwide from Byron Australia. • Preparation of soy ingredients without
Slide 17: Nu-Mega has a State of the Art Mill
For personal use only Nu-Mega has a State of the Art Mill – Modern new equipment. • Purpose built and dedicated to Soy beans • Low manufacturing costs • Continuous and batch throughput – Assembled for flexibility. • Built in modules to allow for expansion • Module 1 is 30,000 mt per annum capacity •
Slide 18: Modern Soy Processing Mill (Moree, NSW)
Modern Soy Processing Mill For personal use only (Moree, NSW)
Slide 19: FFI Product range
For personal use only FFI Product range – Full Range of Enzyme Active Soy ingredients • Flours, Grits, Splits & Flakes – Full Range of Nu- Soya™. • Using a propriety process to produce whole bean, bland flavoured Soy Ingredients – World-wide manufacturing & marketing rights. • Flours, Grits, Flakes
Slide 20: FFI Sales Revenue increased +140% 1H08
FFI Sales Revenue increased For personal use only +140% 1H08 Millions (AUD) 1,4 1,2 1 0,8 0,6 0,4 0,2 0 FY07 1H08 Sales Revenue
Slide 21: Focus on Future Food Ingredients Pty Ltd
Focus on Future Food For personal use only Ingredients Pty Ltd – Move the business to profitability in FY09. – Continue to increase Nu-Soya™ sales, particularly in Asia. – Increase product range to maximize utilization of the plant. – Identify specialty nutritional &/or functional applications. – De
Slide 22: Clover's Historical Financial Performance
Clover’s Historical Financial For personal use only Performance Million AUD 18 16 14 12 10 8 6 4 2 0 FY03 FY04 FY05 FY06 FY07 Sales revenue Loss from FFI, Write-off obsolete equipment, R&D expenses, Nu-Mega performance.
Slide 23: Clover's Historical Financial Performance
Clover’s Historical Financial For personal use only Performance Million AUD 1,4 1,2 1 0,8 0,6 0,4 0,2 0 FY03 FY04 FY05 FY06 FY07 Net Profit Loss from FFI, Write-off obsolete equipment, R&D expenses, Nu-Mega performance.
Slide 24: Summary of Financial Performance
For personal use only Summary of Financial Performance • Shares on issue • 165.18 million • Total contributed equity • $32.92 million • Market capitalization • $17.34 million (10.5 cents/share) • Cash total (FY07) • $10.960 million • Sales Revenue (FY07) • $16.469 million • Total Revenue (FY07) • $1
Slide 25: FY08 Key Milestones
For personal use only FY08 Key Milestones • Improvements to the production facility & increased production capacity. • Commercial launch of new ThermoMAX microencapsulation technology developed in conjunction with Food Science Australia. • Secured 5 year contract with Mead Johnston & Company to supp
Slide 26: Summary Interim Results
Summary Interim Results For personal use only Clover 1H08 HY’08 HY’07 Variance (%) Revenue $9.989M $8.201M Up 21.8% EBIT $1.169M $0.423 Up 276% NPAT $0.685M $0.080 Up 756%
Slide 27: Outlook for Clover 2H08
For personal use only Outlook for Clover 2H08 • Capitalise on improved sales performance. • Full impact from acquisition of Nu-Mega. • Complete the integration of Nu-Mega. • Establish new Applications and Sales office at the Brisbane Tech Centre. • Recruitment of additional personnel to facilitate g
Slide 28: Outlook for FY09
For personal use only Outlook for FY09 • Consolidate improved sales opportunities in infant formula applications. • Increase opportunities in food applications. • Increase sales and distribution network. • Selectively recruit for growth. • Move FFI to profitability. • Identify new bioactive ingredie
Slide 29: Summary / Investment Case
Summary / Investment For personal use only Case • Profitable with improving sales performance. • Sales to major multinationals. • Involved in the strongly growing nutraceutical market segment for HiDHA oils/powders. • Continued development of new products, applications data & clinical information. •
Slide 30: Questions / Enquiries
Questions / Enquiries For personal use only Dr Ian Brown CEO/MD 02 9526 7893 ( ian.brown@clovercorp.com.au ) Peter Robinson Chairman 02 9232 7166 Ian Bloodworth Company 02 9232 7166 Secretary www.clovercorp.com.au www.nu-mega.com www.dha-in-mind.com www.omega-3centre.com www.goedomega3.com
Slide 31: Disclaimer Statement
Disclaimer Statement For personal use only The release, publication or distribution of this presentation in certain jurisdictions may be restricted by law and therefore persons in such jurisdictions into which this presentation is released, published or distributed should inform themselves about and