Golden Agri-resources Ltd · SGX:E5H
Golden Agri-resources — FY2009 Earnings Presentation
21 slides from Golden Agri-resources's earnings presentation, Feb 25, 2010
Slide 1: Full Year Performance Presentation
Full Year Performance Presentation FY 2009: year ended 31st December 2009 25 February 2010 0
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: Table of Contents
Table of Contents Section 1 Executive Summary 3 Section 2 FY 2009 and 4Q 2009 Financial Performance 5 Section 3 FY 2009 and 4Q 2009 Operational Performance 12 Section 4 Growth Strategy and Outlook 16 2
Slide 4: Executive Summary
li ar IJ ZF Gal ec and food Section 1 Executive Summary
Slide 5: Executive Summary
Executive Summary Recovery in 2009 sustained with strong 4Q results, supported by production and CPO price improvements Price (US$/MT) EBITDA (US$ million) Production (‘000 MT) • Continued strong results in 4Q 2009 with 9% 160 800 increase in Revenue, EBITDA more than tripling and a 64% increase in
Slide 6: FY 2009 and 4Q 2009 Financial Performance
Section 2 FY 2009 and 4Q 2009 Financial Performance
Slide 7: Financial Summary – FY 2009
Financial Summary – FY 2009 US$ million FY 2009 FY 2008 Change Revenue 2,294 2,986 -23% Gross Profit 509 876 -42% EBITDA 401 597 -33% Net Profit attributable to equity holders 607 1,383 -56% Comprising: Net gain from changes in fair value of biological assets (Net of tax and minority interests)1 406
Slide 8: Financial Summary – 4Q 2009
Financial Summary – 4Q 2009 US$ million 4Q 2009 4Q 20081 YoY 3Q 2009 QoQ Change Change Revenue 643 591 9% 673 -4% Gross Profit 159 90 78% 156 2% EBITDA 129 38 236% 124 4% Net Profit attributable to equity holders 473 1,018 -54% 71 566% Comprising: • Net gain from changes in fair value of biological
Slide 9: Segmental Results
Segmental Results Strong contribution from our Indonesia operations supported by China operations (in US$ million) Indonesia Operations China Operations FY 2009 FY 2008 Change FY 2009 FY 2008 Change Revenue 1,680 2,328 -28% 614 658 -7% Gross Profit 487 859 -43% 23 17 29% Gross Profit Margin 29% 37%
Slide 10: Revenue By Product and Geographical Location
Revenue By Product and Geographical Location FY 2009 revenues of US$2,294 million mainly from CPO and refined palm oil based products Revenue - By Product Revenue – By Country Others PK 4% 2% Soybean Oil Indo Local 6% China Local 22% Soybean Meal CPO 27% 13% 43% Branded Products 10% Unbranded Indo E
Slide 11: Financial Position
Financial Position Strong balance sheet with low gearing, well supported by previous equity capital raising exercise (in US$ million) 31-Dec-09 31-Dec-08 Change Total Assets 7,900 6,826 16% Cash and Short-Term Investments 353 138 156% Receivables and Inventories 912 757 20% Fixed Assets1 6,460 5,766
Slide 12: Dividend
Dividend The Company’s dividend policy is to distribute up to 30% of underlying profit 2005 2006 2007 2008 2009 Cash Dividend Dividend per share (in S$ cents) 0.2401 0.5151,2 0.9621 0.7691 0.495 Total Dividend (in S$ million) 21.69 53.422 99.76 79.81 60.09 % to underlying earnings 15% 28% 21% 15% 22
Slide 13: FY 2009 and 4Q 2009 Operational Performance
Section 3 FY 2009 and 4Q 2009 Operational Performance
Slide 14: Plantation Area
Plantation Area GAR has retained its leadership position as the largest Indonesian oil palm plantation group (in ha) FY 2009 FY 2008 Change Planted Area 427,253 391,642 9.1% Nucleus 339,818 307,604 10.5% Plasma 87,435 84,038 4.0% Mature Area 333,957 308,821 8.1% Nucleus 252,586 228,266 10.7% Plasma
Slide 15: Age Profile
Age Profile GAR’s long-term growth is supported by favourable age profile of planted area underpinned by large immature and young plantations Immature Young Prime Old Total (in ha) (0-3 years) (4-6 years) (7-18 years) (>18 Years) FY 2009 Nucleus 87,232 43,879 165,921 42,786 339,818 Plasma 6,064 3,40
Slide 16: Production Highlights
Production Highlights Another record production of more than 2.3 million tonnes of palm products or a 13% increase compared to last year, driven by best-in-class estate management and favourable weather conditions FY 2009 FY 2008 Change 4Q 2009 4Q 2008 Change FFB Production (‘000 tonne) 7,707 6,924
Slide 17: Growth Strategy and Outlook
Section 4 Growth Strategy and Outlook
Slide 18: Strategic Priorities
Strategic Priorities Build on core competitive strengths to maximise long-term shareholder returns Expand high-margin • Target additional planted area of 50,000 ha per annum upstream business • Split between green field vs acquisition to be assessed based on opportunities • Increase downstream produ
Slide 19: Growth Strategy
Growth Strategy Growth Achievement in FY 2009 FY 2008 Growth FY 2009 Change Planted area hectare 391,642 35,611 427,253 9.1% Milling capacity tonne per annum 8,670,000 200,000 8,870,000 2.3% Kernel crushing capacity tonne per annum 369,000 90,000 459,000 24.4% Growth Strategy in FY 2010 • Expanding
Slide 20: Outlook
Outlook Optimistic Outlook for 2010 • Resilient growth in edible oil demand, especially for palm oil Growing popularity as edible oil in developed and emerging markets Increasing demand for substitute and alternative uses such as oleochemicals and biodiesel • The Company is benefiting from the solid
Slide 21: 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 : Rafael B. Concepcion, Jr. (rafaelc@goldenagri.com.sg) Su