Golden Agri-Resources Ltd · SGX:E5H
Golden Agri-Resources — Q1 2020 Earnings Presentation
21 slides from Golden Agri-Resources's earnings presentation, May 2020
Slide 1: Company Presentation May 2020
www.goldenagri.com.sg Company Presentation May 2020
Slide 2: Disclaimer
DISCLAIMER This presentation has been prepared by Golden Agri-Resources Ltd. (“GAR” or “Company”) for informational purposes, and may contain projections and forward looking statements that reflect the Company’s current views with respect to future events and financial performance. These views are b
Slide 3: Contents
CONTENTS 1 Corporate Overview 4 2 Key Competitive Strengths 7 3 Growth Strategy 14 4 Financial Performance 17 3
Slide 4: Corporate Overview
a\ Gar gar and food | CORPORATE OVERVIEW /
Slide 5: Overview of GAR
OVERVIEW OF GAR • Listed on SGX since 1999 • A leading Indonesian plantation group with integrated operations for the production of a wide range of value added palm-based products • Broad presence in destination markets with refining facilities in China and India, sales representative offices and ex
Slide 6: Leading Indonesian Plantation Group with Integrated Operations
LEADING INDONESIAN PLANTATION GROUP WITH INTEGRATED OPERATIONS Research & Plantation & Basic Processed Development Harvesting CPO Milling Processing Products Products Collaboration Planted area1,2 No of mills with CIRAD Total 499k ha CPO Refining Branded & 46 Nucleus 395k ha Production No of plants
Slide 7: Key Competitive Strengths
a\ Gar gar and food | KEY COMPETITIVE STRENGHTS /
Slide 8: Core Palm Plantation Business Leading in Scale
CORE PALM PLANTATION BUSINESS LEADING IN SCALE Largest plantation group in Indonesia and second largest globally in planted area ‘000 ha Indonesia Malaysia 600 600 499 400 338 339 287 268 212 188 177 213 200 0 GAR Astra Agro Wilmar Indofood First Bumitama Sime Darby IOI KLK Felda Agri Resources Note
Slide 9: Management Expertise Delivers High Production Yields
MANAGEMENT EXPERTISE DELIVERS HIGH PRODUCTION YIELDS GAR is one of the lowest cost producers with industry-leading efficiencies GAR’s plantation yield is amongst the highest Indonesia Malaysia 4,9 4,9 24,0 4,6 5,0 CPO yield - MT/ha FFB yield - MT/ha 4,3 4,3 4,3 4,5 21,0 3,9 3,9 4,0 18,0 3,4 3,5 3,5
Slide 10: Unrivalled Technology Platform Enhancing Competitiveness
UNRIVALLED TECHNOLOGY PLANTFORM ENHANCING COMPETITIVENESS Efficiency and productivity through precision agriculture • Monitor and manage widely spread operations efficiently through War Room, a state‐of‐the‐art proprietary information technology system • Block‐by‐block Performance Analysis (@30 ha)
Slide 11: Strong Position Across the Downstream Value Chain
STRONG POSITION ACROSS THE DOWNSTREAM VALUE CHAIN WITH GLOBAL DESTINATION PRESENCE Our end‐to‐end ability in managing across the downstream value chain will enable us to better respond to supply chain disruption and monetise production Origination of Processing & Logistic Destination Raw Materials P
Slide 12: Towards Responsible Palm Oil Production
TOWARDS RESPONSIBLE PALM OIL PRODUCTION We continued to make progress on our Traceability to the Plantation (TTP) initiative • Full TTP for 82% of palm supply chain in first quarter 2020 • While we continue to aim for full TTP by the end of this year, we note that the timeline may be impacted by the
Slide 13: Empowering Communities
EMPOWERING COMMUNITIES The palm oil industry is effective in creating jobs and alleviating poverty Employment and Infrastructure • GAR provides employment for about 171,100 people in Indonesia • 70,200 permanent employees, 30,600 fixed-term employees and 70,300 smallholders • We promote small and mi
Slide 14: Growth Strategy
a\ Gar gar and food | GROWTH STRATEGY /
Slide 15: Strategic Priorities
STRATEGIC PRIORITIES Build on core competitive strengths and leverage scale to maximise long-term shareholder returns Breakthrough competitive edge with cutting edge technology To strengthen our position as the world’s leading palm oil plantation company Be the best, Operational Yield Cost fully- Ex
Slide 16: Growth Strategy and Outlook
GROWTH STRATEGY AND OUTLOOK GAR continues to enhance its integrated operation capabilities to optimise profit opportunities and cash flow generation across the value chain Accelerated replanting Extending product and with higher-yielding services portfolio, global seeds to sustain market reach and p
Slide 17: Financial Performance
a\ Gar gar and food | FI NANCI AL PERFORMANCE /
Slide 18: Financial Performance
FINANCIAL PERFORMANCE (in US$ million) 1Q 2020 1Q 2019 2019 2018 Revenue 1,657 1,617 6,432 7,167 Gross Profit 198 193 831 1,007 Gross Profit Margin 12% 12% 13% 14% EBITDA1 84 121 697 573 EBITDA margin 5% 7% 11% 8% Underlying Profit or Loss2 (25) 12 272 181 Foreign Exchange Gain/(Loss) (35) 18 37 (20
Slide 19: Segmental Results
SEGMENTAL RESULTS US$ million 2019 2018 2017 Revenue Plantations and palm oil mills 1,324 1,451 1,673 Palm, laurics and others1 6,392 7,102 7,433 Inter‐segment eliminations (1,284) (1,385) (1,598) Consolidated Revenue 6,432 7,167 7,508 EBITDA2 Plantations and palm oil mills 299 391 499 23% 27% 30% P
Slide 20: Financial Position
FINANCIAL POSITION US$ million 31-Mar-20 31-Dec-19 Change Total Assets 8,562 8,779 -2% Cash and short-term investments 756 784 -4% Fixed assets1 3,673 3,720 -1% Total Liabilities 4,169 4,274 -2% Net Debt2 1,673 1,573 6% Total debt3 3,204 3,144 2% Cash, short-term investments and liquid working capit
Slide 21: Contact Information
If you need further information, please contact: Golden Agri-Resources Ltd c/o 108 Pasir Panjang Road #06-00 Golden Agri Plaza Singapore 118535 Telephone : +65 65900800 Facsimile : +65 65900887 www.goldenagri.com.sg Contact Person : Richard Fung richard@goldenagri.com.sg Golden-agri-resources-ltd @G
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