Agthia Group · ADX:AGTHIA
Agthia — Agthia Group PJSC — H1 2020 Earnings Presentation
13 slides from Agthia's earnings presentation, Jul 29, 2020
Slide 1: Agthia Group PJSC H1 2020 Analyst & Investor Earnings Call
Agthia Group PJSC H1 2020 Analyst & Investor Earnings Call Abu Dhabi, 29 July 2020 1
Slide 2: Disclaimer – Forward Looking Statements
DISCLAIMER – FORWARD LOOKING STATEMENTS Agthia Group PJSC and its management may make certain statements that constitute “forward-looking statements” with respect to the financial condition, results of operations and business of the Group. These statements can be identified by the fact that they do
Slide 3: Highlights
HIGHLIGHTS • COVID-19: Agthia’s Resilience and Agility: ✓ Reprioritized our resource allocation to ensure business continuity and products availability ✓ Accelerated our e-commerce presence and doubled number of delivery trucks ✓ Sustained our leading market position across core categories despite h
Slide 4: Bottled Water Market Shares
BOTTLED WATER MARKET SHARES1 Volume share % Value share % Total Agthia Al Ain Comp 1 Comp 2 Comp 3 Bayan Alpin MAT'19 MAT'20 MAT'19 MAT'20 • Defensive market share- total Agthia, 29.1% volume and 26.1% value (MAT’20) • Al Ain Water leadership position sustains at 26.9% volume and 24.2% value (MAT’20
Slide 5: Water | Sold Volumes
WATER | SOLD VOLUMES • Growth in HOD volume on higher demand from homes and retail channels Sold volume H1 2020 y/y overcompensating drop in corporates channel HOD* (million bottles) 13.4 +7% • Lower UAE bottled water volume on Bottled Water (million cases) restrained tourism and reduced demand UAE
Slide 6: Food
FOOD Top-line growth drivers: Trading items (CSD) and TP/FV (UAE & Egypt) AED M H1 2020 H1 2019 y/y Revenue contribution as of H1 2020 Segment Revenues 172 136 +27% Segment Profit 12.9 4.8 +165% • Trading Items: 52% of segment Dairy Bakery 7% • Revenues +25% y/y TP / FV 4% • Net Profit +65% y/y TP /
Slide 7: Agri
AGRI Top-line growth and Enhanced overall profitability Segment Revenues and Profits: FLOUR Revenue: + Strong domestic volumes with expanded retail penetration AED 265 million + Expansion in exports (including an order to World Food Program) Net Profit: + Wheat trading AED 34 million FEED + Favourab
Slide 8: Financial Performance
dao isi bay ygojilo Committed to healthier living FANANCIAL PERFORMANCE
Slide 9: Revenue Y-o-Y Growth
REVENUE Y-O-Y GROWTH AED 1.09 B AED 506 M AED 584 M Agthia Agri Consumer 28.7% Agri-business -7.2% Flour Feed 8.7% 2.6% 26.9% -2.2% Consumer business W&B Food -10.7% 9
Slide 10: Gross Profit Margin
GROSS PROFIT MARGIN Quarterly Gross Profit Margin, % Q1'19 Q2'19 Q3'19 Q4'19 Q1'20 Q2'20 32.8% 33.0% 31.4% 31.8% 31.4% 29.9% Improved GPM of HOD (Supply Chain cost efficiencies) + Bakery & TP/FV (higher volumes) Unfavourable sales mix with higher contribution from the Food segment 10
Slide 11: Group Net Profit
GROUP NET PROFIT Group net profits (AED M) 84 -50% 42 79 -25% 60 59 59 68 68 62 58 30 13 -37 -39 -37 -39 H1 2019 H1 2020 H1 2019* H1 2020* Consumer Agri Unallocated *Excluding one-offs: H1 2020 excluding Bad debt provision and H1 2019 excluding Turkey tax credit Unallocated = Head Office charges 11
Slide 12: Top and Bottom Line Reconciliation
TOP AND BOTTOM LINE RECONCILIATION Group revenues (AED M) Group net profits (AED M) 84 -20 Lower UAE BW sales +31 + cost optimisation -14 initiatives +19 -30 -5 +39 1,090 -5 +10 42 -23 -17 -8 1,062 +9 H1 2019 WFP flour Grain Organic UAE Lower Lower H1 2020 H1 2019 UAE Bottled Lower KSA Lower Turkey
Slide 13: Q&A
Q&A Agthia Group PJSC H1 2020 Analyst & Investor Earnings Call 13 Abu Dhabi, 29 July 2020