Elders Limited · ASX:ELD
Elders — Austock Sustainable Productivity Conference - Energy, Agriculture and Chemicals (March 2010)
14 slides from Elders's conference presentation, Mar 11, 2010
Slide 1: Elders Rural Services Operations and Short, Medium and Long Term Growth Opportunities
For personal use only Presentation to Austock Sustainable Productivity Conference - Energy, Agriculture and Chemicals Elders Rural Services Operations and Short, Medium and Long Term Growth opportunities 11 March 2010 Mark Hosking Chief Financial Officer The New Elders ASX ASXSmall SmalltotoMid MidC
Slide 2: Elders is a leading Australian agribusiness
Elders is a leading Australian agribusiness For personal use only offering exposure to: Australian farmers via the premium distribution and agency brand supply of food and fibre to Asian and global markets value accretion arising from business renewal and transformation programs. 2 The New Eld
Slide 3: Elders' Rural Services operations
Elders’ Rural Services operations Network distributing farm inputs, financial services and providing marketing, technical and advisory services For personal use only Unique banking capability: – only combination of full range rural services business with specialist agri-bank committed to rural A
Slide 4: Setting the foundations
Setting the foundations Elders is now able to concentrate its resources on the Transformation project initiated in June 2008 to For personal use only reform its Rural Services business as a sustainable performing and best-in-class enterprise. The New Elders ASX Small to Mid Cap Conference Hong Kong
Slide 5: Growth drivers from near to long term
Growth drivers from near to long term Elders’ strategy and management agenda is for the delivery of earnings growth across investment time horizons through leveraging existing assets For personal use only and operations. The initiatives to achieve this are already in train. The New Elders ASX Small
Slide 6: Current term growth
Current Current term growth Elders’ focus in 2010 is on recovery in its For personal use only existing business and executing the transformation initiatives that will deliver organic earnings from 2011 onwards. Underlying EBIT ($m) Elders’ forecast profit growth in 2010 is driven by recovery in its
Slide 7: 2010 market & seasonal conditions
2010 market & seasonal conditions Markets & seasonal conditions now trending positively For personal use only 7
Slide 8: Medium term Rural Services margin growth targets
Medium Medium term Rural Services term margin growth targets For personal use only 2008 Jun - 2009 Sept - 2010 Medium term ~ 2.2% ~ 5.0% to to ~ 3.2% ~ 6.0% The New Elders ASX Small to Mid Cap Conference Hong Kong October 29 2009 Cost Trading FY2009 Cost Expected Margin Medium FY2008 FY2010f initiat
Slide 9: Medium term margin and performance improvement
Medium term margin and performance improvement Improved financial performance in the medium term is the For personal use only focus of 4 separate programs within Phase 2 of the Business Transformation project Cost Better sales Buying & moving Implementing improvement & performance stock in the most
Slide 10: Business Transformation update
Business Transformation update Progress is being made on each of the four separate programs to improve sales, financial and operating and margin performance For personal use only Go to Market Better planning, buying & Implementing Cost improvement logistics 9Reform of management regions operational
Slide 11: Longer term growth drivers
Long term Longer term growth drivers Growth over the longer term is underpinned by the outlook for the Australian and New Zealand farm sectors as suppliers to the strong regional demand for For personal use only food and fibre. Elders has an unmatched potential to capitalise on this opportunity and
Slide 12: Situation summary
For personal use only Situation summary • Structured whole of business program in place for improved sales, margin and financial performance Medium • Initiatives being completed will benefit earnings and term performance from 2011 on • Supply chain, KAM, Go to market delivering gains now • ABARE for
Slide 13: The trends are now positive
The trends are now positive. Transformation work is poised to For personal use only deliver gains in improving markets. Markets on the up after a tough start – momentum has swung to the positive and strengthening with each month Seasonal Conditions improving with recent rainfall – the best at th
Slide 14: For personal use only
For personal use only The New Elders ASX ASXSmall SmalltotoMid MidCap CapConference ConferenceHong HongKong KongOctober October29292009 2009