Synlait Milk Ltd. · NZX:SML
Synlait Milk — Shareholder Meeting (November 2019)
28 slides from Synlait Milk's shareholder meeting presentation, Nov 27, 2019
Slide 1: Welcome to Synlait's Annual Meeting
WELCOME TO SYNLAIT’S ANNUAL MEETING Wednesday 27 November 2019
Slide 2: Address from Chair
ADDRESS FROM CHAIR Graeme Milne ONZM 2
Slide 3: Today's Agenda
TODAY’S AGENDA • Chair address • CEO address • Resolutions • Other business • Refreshments with Synlait team 3 Rakaia Gorge, Canterbury, New Zealand
Slide 4: Your Board
YOUR BOARD Graeme Milne ONZM Bill Roest Dr. John Penno Min Ben Qikai (Albert) Lu Hon. Ruth Richardson Sam Knowles Sihang Yang Independent director, Chair Independent director Board appointed director Bright Dairy appointed director Bright Dairy appointed director Bright Dairy appointed director Inde
Slide 5: Synlait's Year in Review
SYNLAIT’S YEAR IN REVIEW 5 Mt Hutt, Canterbury, New Zealand
Slide 6: Delivering Results
DELIVERING RESULTS Summary of Synlait’s financial results for the 12 months ended 31 July 2019: • Revenue exceeded $1 billion for the first time, increasing 17% to $1,024.3 million • Net profit increased 10% to $82.2 million • Operating cashflow increased 39% to $136.7 million • Sales volumes increa
Slide 7: Investing in Our Future
INVESTING IN OUR FUTURE $18.9 million expansion $260 million infant $134 million advanced Talbot Forest Cheese $32 million investment Dairyworks acquisition to Dunsandel’s capable manufacturing liquid dairy packaging acquisition completed to build Dry Store 4 announced in October lactoferrin facilit
Slide 8: Doing Milk Differently for a Healthier World
DOING MILK DIFFERENTLY FOR A HEALTHIER WORLD 8
Slide 9: Synlait, Dunsandel
9 Synlait, Dunsandel
Slide 10: Address from CEO
ADDRESS FROM CEO Leon Clement 10
Slide 11: Today You Will Hear About…
TODAY YOU WILL HEAR ABOUT… • Our refreshed purpose, ambition and strategy • Our progress to date • Challenges we are working on and how we are approaching them 11 Mt Hutt, Canterbury, New Zealand
Slide 12: Clarifying Synlait's Direction
CLARIFYING SYNLAIT’S DIRECTION Heart, Head and Hands 12
Slide 13: We Continue to Deliver on Our Growth Strategy
WE CONTINUE TO DELIVER ON OUR GROWTH STRATEGY DOING MILK Foodservice DIFFERENTLY Sports Everyday Infant Foodservice Next Big Nutrition Dairy Nutrition Thing OUR GROWTH STRATEGY STRATEGY PROGRESSED DELIVERY ON TRACK STRATEGY DEVELOPING FY19 • Advanced liquid dairy packaging • 21% growth in consumer •
Slide 14: Infant Nutrition
INFANT NUTRITION We continue to invest for the future • We are focused our partnership with The a2 Milk CompanyTM. The contract extension announced last week: • reinforces our long-term partnership with The a2 Milk CompanyTM and reaffirms that infant nutrition is a core focus for both companies; • g
Slide 15: Everyday Dairy
EVERYDAY DAIRY We are delivering on the opportunities in front of us – and chasing new ones Liquid milk • We have developed a strong partnership with Foodstuffs South Island and continue to see opportunities which will support our growth story • We will do this by: • leveraging our modern value chai
Slide 16: We Are Delivering on Our Enabling Strategy Too
WE ARE DELIVERING ON OUR ENABLING STRATEGY TOO DOING MILK DIFFERENTLY Sports Everyday Infant Foodservice Next Big Nutrition Dairy Nutrition Thing OUR GROWTH STRATEGY FOR A HEALTHIER WORLD Net Positive for the Planet Build a Healthier Synlait World Class Value Chain OUR ENABLING STRATEGY FY19 • Publi
Slide 17: Net Positive for the Planet
NET POSITIVE FOR THE PLANET This represents the stand we are taking for the planet Our aim is to have a net positive impact on the planet and reimagine all aspects of our business for a low-emissions future. We want to be instrumental in agriculture’s response to climate change, eliminate water degr
Slide 18: Build a Healthier Synlait
BUILD A HEALTHIER SYNLAIT This is about strengthening our company Our aim is to build systems that support our people, making sure that we are all safe and establishing a culture of kotahitanga or unity, strengthening our capabilities and continuing to manage our risks OUR FY20 PROGRESS • Focus on d
Slide 19: World Class Value Chain
WORLD CLASS VALUE CHAIN This is what creates value for our customers Our aim is to ensure we have healthier farming practices, safe food and market access, manufacturing excellence, build a sustainable supply chain, and transparency. Our teams are doing great work in this space because we are consta
Slide 20: How We Are Front Footing Our Challenges
HOW WE ARE FRONT FOOTING OUR CHALLENGES Challenges presented at our FY19 results and how we are approaching them CHALLENGES APPROACH Uncertainly remains regarding land at Synlait Pokeno • Supreme Court hearing set for April 2020 • Maintain discussions with all parties Uncertainty remains regarding S
Slide 21: Resolutions
RESOLUTIONS 21 Mt Hutt, Canterbury, New Zealand
Slide 22: Ordinary Resolution 1
ORDINARY RESOLUTION 1 To consider and, if thought fit, pass the following resolution as an ordinary resolution: That the board be authorised to determine the auditors’ fees and expenses for the 2020 financial year 22
Slide 23: Ordinary Resolution 2
ORDINARY RESOLUTION 2 To consider and, if thought fit, pass the following resolution as an ordinary resolution: That Sam Knowles be re-elected as a director 23
Slide 24: Ordinary Resolution 3
ORDINARY RESOLUTION 3 To consider and, if thought fit, pass the following resolution as an ordinary resolution: That the annual fee for each director be $88,900, except for the annual fee of the Chair of the Audit and Risk Committee which will be $104,150, the fee of the Chair of the People Environm
Slide 25: Special Resolution: Resolution 4
SPECIAL RESOLUTION: RESOLUTION 4 To consider and, if thought fit, pass the following as a special resolution: That Synlait Milk Limited’s Constitution be amended, with effect from the close of the annual meeting, as described in the Explanatory Note in the Notice of Meeting and set out in detail in
Slide 26: Other Business
OTHER BUSINESS 26
Slide 27: Thank You
THANK YOU PLEASE JOIN THE SYNLAIT TEAM FOR REFRESHMENTS 27 Mt Hutt, Canterbury, New Zealand
Slide 28: Investors and Media Contacts
INVESTORS MEDIA Hannah Lynch Linda Chalmers Corporate Affairs Manager Senior Communications Advisor – External +64 21 252 8990 +64 21 951 347 hannah.lynch@Synlait.com linda.chalmers@synlait.com 28 Mt Hutt, Canterbury, New Zealand