Spc Global Holdings Ltd · ASX:SPG
Spc Global — Investor Presentation (March 2019)
22 slides from Spc Global's investor presentation, Mar 21, 2019
Slide 1: Investor Site Visit March 2019
INVESTOR SITE VISIT M A R C H 2 0 1 9
Slide 2: Introduction: Servicing the global functional food, beverages & Better for you markets
Introduction Servicing the global functional food, beverages & “Better for you” markets PROVEN EXPANDING HUGE SECURITY PRODUCTS INTO CHINA MARKET OF SUPPLY Our range of Better for Distribution Functional food & High-quality you functional agreements with beverage markets are supply chain: 80% bevera
Slide 3: H1 2019 Highlights
H1 2019 Highlights FOD welcomed Norman Li as its new major shareholder and Chairman greatly increasing the Company’s financial strength and international distribution capabilities The Company is well funded - Norman Li has committed to invest $20.25 million in equity funding, $3.5 million settled in
Slide 4: The Functional Food & Beverage Market: A rapidly growing sector
The Functional Food & Beverage Market A rapidly growing sector KEY MARKET OUR MARKETING & OBSERVATIONS STRATEGIES TO BRANDING DELIVER VALUE • Functional food & Beverage • Closely following consumer • Focus on functional is growing. trends, Global and Domestic. beverage & food • Sugar is not wanted.
Slide 5: Value Proposition
Value Proposition WHOLESALE THIRSTY SALES INTO PRODUCT INGREDIENTS BROTHERS CHINA INNOVATION BEVERAGES • Contract juicing and • 30 branded product • Leverage • Constantly bottling services. launched in 2000+ distribution partners. developing new outlets. • Heinz Co-Pack and innovative products. PSA.
Slide 6: Vertically Integrated Model
Vertically Integrated Model Increased production capacity to support growth MILL PARK NEW REVENUE TO RUNNING AT DISTRIBUTION GROW TO $100M- ONLY 44% DEALS TO BOOST $500M AT 100% CAPACITY DEMAND CAPACITY MILL PARK PROCESSING CAPABILITIES • Juice Squeezing and processing. • Operational leverage over f
Slide 7: Security of Supply
Security of Supply 80% of annual volume is under contract to our growers RAW MATERIALS TRANSPORT & GROWERS PACKAGING TECHNOLOGY • Fruit and vegetable • Packaging inputs • Aus Chilli • Reliable and efficient products source from sourced from quality transport contractors leading industry manufacturer
Slide 8: Key Customers
Key Customers We supply major supermarkets and retailers EXISTING 01 CUSTOMERS DOMESTIC 02 GROWTH: PETROL & CONVENIENCE NEW GROWTH Plant-based Functional Ambient Oils CATEGORIES milks beverages market AWESOME NAME
Slide 9: Entering the Next Phase of Growth
Entering the Next Phase of Growth PRODUCT DOMESTIC & PIPELINE OF DEVELOPMENT CHINA OPPORTUNITIES New products and Leverage existing and Significant pipeline continued innovation opening new distribution of opportunities in to drive sales channels to grow orders China
Slide 10: Product Innovation
Product Innovation INNOVATION BETTER FOR YOU Proactive product ‘Better for you’ health and development to drive sales beauty products including and improve margins Gels & Powder sachets Entrepreneurial activities differ substantially NEW PRODUCTS LEADING TRENDS Pea proteins, Hemp, Bush Tucker and co
Slide 11: Strategy on Product Range
Strategy on Product Range FOCUS ON PRODUCTS FOR DOMESTIC AND CHINA MARKETS • Serve size • Flavors • Volume • Recipe COMMERCIALISE OIL PRODUCTS • Canola oil (high-priority) Citrus oil FOOD SUPPLEMENTS IN SACHETS • Skin care • Sleep • Gut health • Probiotic • Women’s health • Protein • Men health • En
Slide 12: Brands and Innovation
Brands and Innovation New products are being developed continuously AMBIENT JUICE CARBONATES HEALTHY HYDRATION COFFEE & TEA SPORTS DRINKS KOMBUCHA Key Domestic Brands THE BUCHA SHOP REPLENISH JUICE LAB THIRSTY BROTHERS Kombucha (in market) Pops – Carbonated probiotics Premium Juices 2lt Thirsty Bros
Slide 13: Brands and Innovation
Brands and Innovation New and improved JUICE LAB Key China initiatives and innovation THIRSTY BROTHERS ILLUME/AURORA OIL OTHER FRUIT FARM Sinopec 1lt & 2lt Apple & OJ Sachets – Powder and Gels HIFI with Vitamins • Australia’s Garden (2L & 4L) Super food drinks Immunity & Beauty Drinks - Collagen Cit
Slide 14: Advancing Key Domestic & Chinese Partnerships
Advancing Key Domestic & Chinese Partnerships Significant growth expected in H2 2019 and beyond as key partnerships continue to develop 01 CARELINE AUSTRALIA Careline distribution agreement signed for all products with a minimum $20m sales p.a. 02 JJ GLOBAL FINE FOODS Distribution agreement to suppl
Slide 15: Significant Opportunities in the Pipeline
Significant Opportunities in the Pipeline SINOPEC CARELINE NETWORK Commercialise and grow Careline to distribute new sachets, beyond Canola Oil. Powders, juice cleanser packs, Fruit juice and Citrus oils range ONLINE SHOPPING DIRECT TO CHINA JD and T-mall shops to be established In discussions with
Slide 16: Outlook
Outlook NEAR-TERM MATERIAL GROWTH Expand capacity at its state-of-the-art beverage plant New product development will drive sales and and solid funding position underpin the Company’s margin facilitated by continued innovation at the positive growth outlook in 2019 and beyond plant upgrade The Compa
Slide 17: The Financial Summary
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Slide 18: Profit & Loss Summary
Profit & Loss Summary Commentary FINANCIAL INFORMATION H1 2019 H1 2018 • Net sales lower than due to drop in co-packing Figures shown in A$000’s sales, logistics and services fees. • Branded sales 1% higher year on year despite the restructure of Juice Lab contract in one of the Net Sales 15,053 17,
Slide 19: Sales & Cost Summary
Sales & Cost Summary Commentary NET SALES H1 2019 H1 2018 Branded sales Figures shown in A$000’s • New products launched have driven sales. • Uplift expected in H2 FY19 through newly-signed domestic Branded Sales 7,041 6,947 branded product distribution deals, with newly-won business with major supe
Slide 20: Balance Sheet Summary
Balance Sheet Summary FINANCIAL INFORMATION H1 2019 FY 2018 Figures shown in A$000’s Commentary Current Assets 8,284 10,350 • Balance sheet significantly strengthened Non-Current Assets 30,666 29,684 • Net assets increased to $20.2M • Total Debt reduced by $1.6M since June 2018 Total Assets 38,950 4
Slide 21: Careline/Norman Li Investment and Performance Shares
Careline/Norman Li Investment and Performance Shares $20.25m Strategic Performance Investment Summary Shares Summary Tranche 1 – 18.5 million ordinary shares, an investment of A$1,000,000, on or before 28 September 2018. Performance Milestone Shares Tranche 2 – 46.5 million ordinary shares, an inves
Slide 22: Revolution
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