Australian Vintage Ltd · ASX:AVG
Australian Vintage — Shareholder Meeting (November 2017)
37 slides from Australian Vintage's shareholder meeting presentation, Nov 20, 2017
Slide 1: Australian Vintage Limited Annual General Meeting 20th November 2017
Australian Vintage Limited Annual General Meeting 20th November 2017 For personal use only
Slide 2: Disclaimer
Australian Vintage Limited Annual General Meeting Annual General Meeting 20th November 2017 For personal use only Disclaimer The presentation has been prepared by Australian Vintage Limited the industry, countries and markets in which AVG operate. They also (ACN 052 179 932) (“AVG”) (including its s
Slide 3: Australian Vintage Limited Annual General Meeting
Australian Vintage Limited Annual General Meeting 20th November 2017 For personal use only
Slide 4: Agenda
Agenda Annual General Meeting 20th November 2017 For personal use only Performance Summary Richard Davis Business Update Neil McGuigan Formal Proceedings Richard Davis 4
Slide 5: Performance Summary
Annual General Meeting Annual General Meeting 20th November 2017 For personal use only Performance Summary Richard Davis 5
Slide 6: Your company
Your company Annual General Meeting 20th November 2017 For personal use only One of Australia’s largest wine producers Crushes up to 120,000 tonnes a year. Sells 80 million litres of wine. 2,000 planted hectares in 11 vineyards that we either own or lease. Production facilities capable of pr
Slide 7: Key Points
Key Points Annual General Meeting 20th November 2017 For personal use only • Net profit after tax $4.3 million compared to after tax loss of $2.2 million prior year (after one off items). • Net profit after tax and before one off items $4.3 million compared to $7.0 million prior period. • Cash flow
Slide 8: Key Points (cont.)
Key Points (cont.) Annual General Meeting 20th November 2017 For personal use only • AVL strategies remain unchanged: Grow export business Increase branded sales Focus on cost control • 1.0 cent fully franked dividend declared, payable 10 November 2017. Dividend Reinvestment Plan (DRP) remains
Slide 9: Business Results & Summary: Branded Sales
Business Results & Summary Annual General Meeting 20th November 2017 For personal use only 1. Branded Sales McGuigan sales volumes increased by 3%, but due to unfavourable currency movements and our long term strategy to protect the price position of this brand, sales value declined. During the 12 m
Slide 10: Business Results & Summary: Australasia / North America Packaged
Business Results & Summary (cont.) Annual General Meeting 20th November 2017 For personal use only 2. Australasia / North America Packaged Sales were slightly less than prior period at $106.0 million. Contribution was $6.3 million, slightly up on last year. Australian domestic sales were down by $1.
Slide 11: Business Results & Summary: UK / Europe
Business Results & Summary (cont.) Annual General Meeting 20th November 2017 For personal use only 3. UK / Europe The UK/Europe segment has been significantly impacted by the unfavourable exchange rate. The FX impact when compared to prior period is: Sales value down by $17.3m EBIT down by $4.7m Ove
Slide 12: Business Results & Summary: Other Segments
Business Results & Summary (cont.) Annual General Meeting 20th November 2017 For personal use only 4. Other Segments Cellar Door sales declined by 4% to $7.8 million and contribution is down by $0.1 million due mainly to reduced sales at our Hunter Valley cellar door. The negative contribution of $1
Slide 13: Business Results & Summary: Capital Expenditure
Business Results & Summary (cont.) Annual General Meeting 20th November 2017 For personal use only 6. Capital Expenditure Capital expenditure increased to $12.1 million as a result of a $8.0 million dollar investment in storage at our Buronga Hill Winery. This additional storage reduces our reliance
Slide 14: Australian Wine Industry
Australian Wine Industry Annual General Meeting 20th November 2017 For personal use only In the 12 months to September 2017 the value of Australian wine exports increased by 13% to $2.4 billion and volume increased by 9% to 799 million litres. The average value of exports grew by 4% to $3.06 per lit
Slide 15: Australian Wine Industry (cont.)
Australian Wine Industry (cont.) Annual General Meeting 20th November 2017 For personal use only The 2017 Vintage crush was 1.93 million tonnes, a 5% increase on last year’s crush (WFA National Vintage Report July 2017). This is the biggest crush in the last 10 years. The increased crush has come fr
Slide 16: Outlook
Outlook Annual General Meeting 20th November 2017 For personal use only The Company continues to focus on growing its three key During financial year 2017, the McGuigan brand has grown brands, McGuigan, Tempus Two and Nepenthe and whilst by 6% in the UK against a total UK wine market decline of the
Slide 17: Outlook (cont.)
Outlook (cont.) Annual General Meeting 20th November 2017 For personal use only In the 6 month period to 30 June 2017, our sales into Asia have increased by 60% and contribution increased by 241% when compared to the same 6 months in the prior period. Whilst some of this is due to the timing of orde
Slide 18: Outlook (cont.)
Outlook (cont.) Annual General Meeting 20th November 2017 For personal use only For the next 12 months the company will be undertaking major capital projects to further improve our efficiencies and our quality of wine. It is expected that our total capital spend for the next 12 months will be approx
Slide 19: Business Review
Annual General Meeting Annual General Meeting 20th November 2017 For personal use only Business Review Neil McGuigan 19
Slide 20: Overview
Overview Annual General Meeting 20th November 2017 For personal use only * Wine Show Performance * Corporate Update * Vision and Values * Launches 20
Slide 21: A Few Trophies of Note
A Few Trophies of Note Annual General Meeting 20th November 2017 For personal use only 1. International Winemaker of the Year 2016 – IWSC 2016 2. Tempus Two Poppy’s Block Chardonnay 2015 – Champion Wine & Champion White Wine in Show at Cairns Wine Show 2016 3. Nepenthe Ithaca Chardonnay 2015 – Troph
Slide 22: Wine Show Performance for FY17
Wine Show Performance for FY17 Annual General Meeting 20th November 2017 For personal use only • Wine Quality The Show results for the three key brands have been very pleasing again this year. Here are some of the highlights: McGuigan Tempus Two Nepenthe Trophies 27 6 6 Gold 73 14 15 Silver 121 39 3
Slide 23: Corporate
Corporate Annual General Meeting 20th November 2017 For personal use only * FY17 Hurdles * Financials * Distribution Agreements * Placement & Capex 23
Slide 24: Capital
Capital Annual General Meeting 20th November 2017 For personal use only Solar Plant - Buronga Hill Winery Sparkling Line Filler - Merbein 24
Slide 25: Vision & Values
Vision & Values Annual General Meeting 20th November 2017 For personal use only 25
Slide 26: Launches
Launches Annual General Meeting 20th November 2017 For personal use only McGuigan Wines - Nepenthe - * The Borders (Coles) * The Luminary (Woolworths) * The Heist (Coles) * The Pioneers (Coles) * The Plan (USA) Innovation - Tempus Two – “Off the Grid” * Silver Series (Waitrose / Australia) * Platinu
Slide 27: McGuigan The Borders
McGuigan The Borders Annual General Meeting 20th November 2017 For personal use only 27
Slide 28: McGuigan The Heist
McGuigan The Heist Annual General Meeting 20th November 2017 For personal use only 28
Slide 29: McGuigan The Pioneers
McGuigan The Pioneers Annual General Meeting 20th November 2017 For personal use only 29
Slide 30: McGuigan The Plan
McGuigan The Plan Annual General Meeting 20th November 2017 For personal use only 30
Slide 31: Nepenthe The Luminary
Nepenthe The Luminary Annual General Meeting 20th November 2017 For personal use only 31
Slide 32: Off The Grid
Off The Grid Annual General Meeting 20th November 2017 For personal use only 32
Slide 33: Tempus Two Silver Series
Tempus Two Silver Series Annual General Meeting 20th November 2017 For personal use only 33
Slide 34: Tempus Two Platinum Series
Tempus Two Platinum Series Annual General Meeting 20th November 2017 For personal use only 34
Slide 35: July / August 2017 Cabernet Sauvignon & Blends
Annual General Meeting 20th November 2017 For personal use only July / August 2017 CABERNET SAUVIGNON & BLENDS 35
Slide 36: July/August 2017 Cabernet Sauvignon & Blends
July/August 2017 Annual General Meeting 20th November 2017 Cabernet Sauvignon & Blends For personal use only $130 $150 $150 $1270 $1560 36
Slide 37: FY18 Results so far ...
FY18 Results so far ... Annual General Meeting 20th November 2017 For personal use only * International Wine Challenge UK McGuigan - Trophy for Best Hunter Valley Chardonnay - Shortlisted for White Winemaker of the Year * New York International Wine Show McGuigan - Trophy for the Australian Producer
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