Elders Limited · ASX:ELD

Elders — ExchangeSA 2017 Listed Companies Conference

19 slides from Elders's conference presentation, Jun 8, 2017

1. Slide 1: Presentation to the ExchangeSA 2017 Listed Companies Conference

   For personal use only 8 June 2017 Presentation to the ExchangeSA 2017 Listed Companies Conference Attached is a presentation to be delivered today by Elders’ CEO, Mark Allison, to the ExchangeSA 2017 Listed Companies Conference. Peter Hastings Company Secretary 1

2. Slide 2: Mark Allison, CEO, Elders Limited

   For personal use only Mark Allison, CEO Elders Limited 8 June 2017

3. Slide 3: Agenda

   Agenda For personal use only  The Elders journey  Financial performance  Key growth activities to FY17  Summary 2

4. Slide 4: Elders transformation

   Elders transformation For personal use only  Elders has transitioned from a complex and highly geared conglomerate to an agribusiness focused company with lower costs and substantially lower debt  Elders is an Australian agribusiness that seeks to create real value for all its stakeholders in Aust

5. Slide 5: Our journey

   Our journey For personal use only FY08 to FY13 – Survival FY13 to FY15 – Turnaround FY16 to FY20 – Growth 4

6. Slide 6: Elders today

   Elders today For personal use only Iconic Australian agribusiness company 178 years old 1,900 employees 440 points of presence in Australia, Indonesia, Vietnam and China Servicing over 40,000 primary producers across Australia and international markets 5

7. Slide 7: Our business model

   Our business model For personal use only Agency Digital & Feed & Retail Real Estate Financial Services Technical Processing Products Services Services Services Services ` Auctions Plus (50%) Elders Indonesia Elders Weather Fee for Service Farm Supplies Killara Feedlot Management Elders China Agri Fi

8. Slide 8: Points of presence

   Points of presence For personal use only  Over 440 points of presence in Australia and overseas including full service branches, real estate and insurance franchises  Key produce areas covered through our footprint  Focus on improving reach into horticulture and sugar segments 7

9. Slide 9: Eight point plan

   Eight point plan For personal use only Our strategic vision for becoming an efficient user of capital and a business that generates returns for its stakeholders 8

10. Slide 10: Elders financial progress

    Elders financial progress For personal use only EBIT* ($ Million) 56 Forecast 41 28 2H 1H 23 22 41 11 28 17 11 -7 -9 -16 FY13 FY14 FY15 FY16 FY17e *Note: Excluding live export 9

11. Slide 11: Performance by product

    Performance by product Margin improvement across product range For personal use only Underlying profit movement $ million Product margin (0.2) 4.7 (3.8) 0.6 (1.2) 5.8 6.5 34.9 22.6 1H FY16 Retail Agency Real Estate Financial Feed and Costs Interest, 1H FY17 Underlying Products Services Services Serv

12. Slide 12: Strengthened iconic brand and company culture

    Strengthened iconic brand and company culture For personal use only  Launched Elders Live it campaign  Developed Elders Insiders – our online community platform  Increased strategic sponsorship of community events and associations  Launched Stand Up Speak Up – recording a 29% increase in safety

13. Slide 13: Increased geographical coverage with strategic growth

    Increased geographical coverage with strategic growth across our retail, agency and real estate portfolios For personal use only Identified strategic gaps across the portfolio Retail Agency Toowoomba real estate Real Estate  Franchise real estate acquisition Financial Services  Residential and rur

14. Slide 14: Invested in our Financial Services business

    Invested in our Financial Services business For personal use only Buying back into Insurance  150 insurance franchisees  Between 2009 and 2014 Elders sold its ownership interests in Elders Insurance Underwriting Agency (EIUA) to QBE  Elders re-acquired an initial 10% equity from QBE in July 2014,

15. Slide 15: An efficient user of capital, generating higher returns on investment

    An efficient user of capital, generating higher returns on investment For personal use only  Implemented a disciplined and Underlying Return on Capital* methodical approach to capital allocation and management  Generating a return on capital in 22.0% 28.4% 30.2% excess of 20% 12.1%  Underlying re

16. Slide 16: Balanced growth plan to FY20

    Balanced growth plan to FY20 For personal use only Organic Acquisition Cost 40% 40% 20%  Drive continuous business  Continue to evaluate  Efficiency gains through active improvement strategically aligned cost management opportunities to expand our  Capture growth opportunities business  Realloc

17. Slide 17: Summary

    Summary For personal use only  On track to complete Eight Point Plan FY17 commitments  Zero term debt  $60m EBIT (through the cycles)  20% ROC (through the cycles)  Capital structure simplified (preference share resolution)  Investor grade and dividend paying by FY17  Established stable platf

18. Slide 18: For personal use only

    For personal use only

19. Slide 19: Disclaimer and important information

    Disclaimer and important information For personal use only Forward looking statements Non-IFRS information This presentation is prepared for informational purposes only. It contains This presentation refers to and discusses underlying profit to enable analysis forward looking statements that are sub

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