Olam Group Limited · SGX:VC2
Olam — Olam International — Shareholder Meeting (April 2019)
16 slides from Olam's shareholder meeting presentation, Apr 24, 2019
Slide 1: 24th Annual General Meeting
24th Annual General Meeting April 24, 2019 | Singapore
Slide 2: Cautionary note on forward-looking statements
Cautionary note on forward-looking statements This presentation may contain statements regarding the business of Olam International Limited and its subsidiaries (‘Group’) that are of a forward-looking nature and are therefore based on management’s assumptions about future developments. Such forward
Slide 3: Agenda
Agenda • Financial performance • 2019-2024 Strategic Plan Olam International Limited 24th Annual General Meeting April 24, 2019 3
Slide 4: Financial performance
Financial performance
Slide 5: 2018 results: At a glance
2018 results At a glance Volume EBITDA PATMI 32.9 M MT S$1,236 M S$348 M +45.9% -6.9% -40.1% Operational Free Cash Flow Gearing PATMI S$347 M FCFE fromS$466 1.46x to M -19.7% +S$1,066 M 1.32x +28.1% Olam International Limited 24th Annual General Meeting April 24, 2019 5
Slide 6: 2018 results: Financial and strategic highlights
2018 results Financial and strategic highlights Results below expectations amid tougher Dividends maintained market conditions Continued top line growth in Board of Directors recommends final volume, revenue dividend of 4.0 cents per share Strong, positive FCFF and FCFE Total dividend of 7.5 cents p
Slide 7: 2018 results: Diversified across products and regions
2018 results Diversified across products and regions 2018 Sales revenue by segment 2018 Sales revenue by region 2018 Sourcing volume by (S$’000) (S$’000) region (S$’000) Balanced portfolio across >85% of the portfolio is related Strong focus on emerging countries and both to food and food products m
Slide 8: 2018 results: Reduction in invested capital and working capital
2018 results 6.4% reduction in invested capital, 11.2% reduction in working capital S$ Million • Reduced Fixed Capital with -6.4% 16,649 disciplined and targeted Capex, while 15,832 14,375 14,812 executing planned divestments 11,561 8,853 7,705 6,844 • Working Capital reduction of 11.2% 7,653 despit
Slide 9: 2018 results: Strong, positive Free Cash Flow to Equity
2018 results Strong, positive Free Cash Flow to Equity on reduced Capex, working capital Free Cash Flow to Equity, S$ million +46 +46 220 1,066 1,020 0 96 -56 -215 2017 Operating Cash Changes in Tax Paid Capex / Net Interest Paid 2018 Flow (before Working Capital Investments Interest & Tax) FCFF (S$
Slide 10: 2019-2024 Strategic Plan
2019-2024 Strategic Plan
Slide 11: Our Aspiration Goals
Our Aspiration Goals Vision To be the most differentiated and ROE EBITDA/IC valuable global Governing food and agri- Objective business ≥ 12% ≥ 13% To maximise (by 2040) long-term intrinsic Purpose value for our FCFE D/E continuing Re-imagine shareholders Global Agriculture & Food Systems (+) < 2.0
Slide 12: Four key trends informed our choices
Four key trends informed our choices Olam International Limited Investor Presentation April 2019 12
Slide 13: Strategic Priorities & Roadmap: 4 Pathways
Strategic Priorities & Roadmap Explore investments 4 Pathways in new engines for growth Strengthen, Streamline 4 & Focus our Portfolio Offer differentiated A Differentiated 1 offerings products/ services in B New customer Improve margins segments/ existing & new channels channels 2 3 13
Slide 14: Strategic Priorities & Roadmap: Enablers
Strategic Priorities & Roadmap Enablers OPERATIONAL SUSTAINABILITY EXCELLENCE DIGITAL LEADERSHIP / TALENT 14 14
Slide 15: Our strategy is fully aligned with Olam priorities
Our strategy is fully aligned with Olam priorities Focus Put Build Lead industry’s Further Strengthen on drivers of Sustainability Operational Digital enhance alignment & long term at the heart of Excellence Disruption & our Culture, organisational Value our business as a core Transformation Values
Slide 16: 24th Annual General Meeting Presentation
24th Annual General Meeting Presentation April 24, 2019 olamgroup.com/investors.html ir@olamnet.com
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