Noumi Limited · ASX:NOU
Noumi — Shareholder Meeting (November 2018)
54 slides from Noumi's shareholder meeting presentation, Nov 29, 2018
Slide 1: Freedom Foods Group Annual General Meeting Presentation
Freedom Foods Group Annual General Meeting Presentation Rory J F Macleod, Managing Director & CEO 29th November 2018
Slide 2: Important Information
Important Information This presentation is provided for information purposes only. The information contained in this presentation is not intended to be relied upon as advice to investors and does not take into account the investment objectives, financial situation or needs of any particular investor
Slide 3: 3 Key Pillars to our Strategy
3 Key Pillars to our Strategy We have been focused on leveraging our strengths Capability Innovation Markets 2 3
Slide 4: Sales Performance
Sales Performance FY 2018 FY 2018 $353 MILLION SALES BY SALES CHANNEL NET SALES BY BUSINESS GROUP Dairy Export 160 Beverages, 15% 139.2 140 Industrial 7% Retail 120 Cereal & Contract Grocery 11% Plant Snacks, 103.3 (Australia) Food Service 59% 100 Beverages, 8% 81.2 80 60 GROWTH RATES FY 18 % VS FY
Slide 5: Driven by a focus on our brands & innovation
Driven by a focus on our brands & innovation With NPD will representing Branded sales now 60% of sales over 20% of total sales Source: Current FYTD 2019 gross sales growth vs FYTD 2018 5
Slide 6: Plant Based
PLANT = /\= —" BASED 4 ( ee =
Slide 7: Disrupting Categories and Channels
DISRUPTING CATEGORIES AND CHANNELS 7
Slide 8: Key Markets
Key Markets China North America SE Asia Middle East Core Markets Exploratory Markets Aust / NZ 8
Slide 9: Changing demographics, health focus and retail dynamics
• Changing demographics • More health focused consumers • Changing retail dynamics and different shopping and lifestyle experiences 9
Slide 10: World Middle Class and dietary preferences
• 65% Worlds Middle Class by 2030 • Strong dietary preferences for Dairy Proteins and Grains • Australia origin and quality has strong trust and reputation 10
Slide 11: Investment in New Facilities
Investment Investment in New 132 125.8 Facilities and 72.6 Capabilities 63.1 49.6 39.4 19.9 19.1 8.4 7.2 10.2 5.2 2.46 5.1 2.8 0.189 0.1291.8 2.2 1.1 1 0.315 0.8 2.1 0.5 2010 2006 2007 2008 2009 2011 2012 2013 2014 2015 2016 2017 2018 capex inv Acq 11
Slide 12: Shepparton - Significant Transformation since June 2013
Shepparton - Significant Transformation since June 2013 12
Slide 13: Shepparton Dairy Processing and UHT
Shepparton Dairy Processing and UHT Will be the 4th Largest Dairy Site in Australia 13
Slide 14: UHT Processing Capacity
UHT Processing Processing Capacity 525,000 Capacity 500,000 Increase on 475,000 Track 425,000 375,000 360,000 325,000 275,000 240,000 225,000 175,000 Today Feb-19 Jun-19 14
Slide 15: Shepparton Nutritionals
Shepparton Nutritionals 15
Slide 16: Ingleburn
Ingleburn (Plant & Value Added Dairy) 16
Slide 17: Brands Accelerating our Growth
Brands Accelerating our Growth Leveraging current and emerging trends in consumption 17
Slide 18: Led by our two master brands
Led by our two master brands 18
Slide 19: We are the fastest growing food & beverage company in Australian retail
th We are the 5 fastest growing food & beverage company in Australian retail +20% Vs. YA (FY18) Source: IRI Big Picture Data to MAT 01/07/18
Slide 20: We are outpacing the market across our core categories
We are outpacing the market across our core categories Source: IRI Data Financial YTD to 28/10/18 Australian Grocery Scan Data *Total UHT Milk = UHT Dairy + UHT Plant Based 20
Slide 21: Share captured within 5 months of UHT Dairy category
Manufacturer Value Share (RSV) of White Milk – Australian Weighted Grocery FYT 11.4% share captured within 5 months of UHT Dairy category Source: IRI Data Financial YTD to 28/10/18 21
Slide 22: Share captured within 5 months of Breakfast Cluster & Muesli
Branded Value Share (RSV) of Clusters & Muesli – Coles Group Scan FYTD** 16.2% share captured within 5 months of Breakfast Cluster & Muesli category in Coles Source: Nielsen Direct Data Explorer Web Financial YTD to 13/11/18 22
Slide 23: Our innovation & communication efforts are continuing to build our brands
Messy Monkey Bites RSV $(000) – Australian Grocery Our innovation & communication efforts are continuing to build our brands Source: IRI Data to 28/10/18
Slide 24: Domestic parents focus, building momentum to earn trust
Domestic parents focus, building momentum to earn trust via consumer & HCP communication Total AO Diamond pro+ rolling Social Soup - consumer survey of 95 respondents , October, 2018 4weeks scan data Source: IRI Data to 28/10/18 24
Slide 25: MILKLAB
MILKLAB • Ongoing strong growth in sales in out of Home Channels • Almond the primary driver • Increasing usage of Coconut, Soy and Lactose Free Variants • New Macadamia launched in September 18 25
Slide 26: #7 selling food brand & #5 most pre-ordered brand
#7 selling food brand & #5 most pre-ordered brand on Singles Day on TMall Global JV announced at CIIE to further accelerate Arnold’s Farm offline 26
Slide 27: #8 selling imported milk brand
#8 selling imported milk brand on Singles Day on JD.com A2 Protein & Yoghurt Big bets in short term in China On track to sell 60M packs across n & Yoghurt Big bets in short term+3,000 in China retail outlets & e-commerce Kid's Milk A2 Protein Milk Yoghurt AO A2 AO ambient Launch of A2 Protein Kid’s
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Slide 30: Distribution and JV Announcement with TheLand
Distribution and JV Announcement with TheLand 30
Slide 31: Building Partnerships – Lyfen Snacking China
Building Partnerships – Lyfen Snacking China 31
Slide 32: Milklab in SE Asia
Milklab in SE Asia United Arab Emirates Myanmar Malaysia Jordan Philippines Brunei Singapore Vietnam Indonesia
Slide 33: Plant based and Dairy Milks in SE Asia
Plant based and Dairy Milks in SE Asia
Slide 34: Cereals and Snacks in SE Asia
Cereals and Snacks in SE Asia MAKING FOOD BETTER
Slide 35: Infant Formula and Protein Range in SE Asia
Infant Formula and Protein Range in SE Asia
Slide 36: More Branded Innovation into 2019
More Branded Innovation into 2019 36
Slide 37: Value Added Dairy Platform
Value Added Dairy Platform 37
Slide 38: Accelerated Dairy Demand
Accelerated Dairy Demand Dairy Litres – All Sites 400 350 300 Million Litres 250 200 150 100 50 0 FY 2017 FY 2018 FY 2019 FY 2020 FY 2017 Plan 85 110 150 180 Accelerated Plan 85 145 250 350 • Growth from category demand, new product development and impacts of structural change in Australia • Categor
Slide 39: Sourcing Dairy from Great Quality Farm Partnerships
Sourcing Dairy from Great Quality Farm Partnerships Moxey Farms, part of AFMH Group 39
Slide 40: Value Added Dairy Platform
Value Added Dairy Platform 40
Slide 41: Today in Dairy
Today in Dairy freedam exov i>" Ge MAKING FOOD BETTER
Slide 42: Tomorrow - Valuing Adding Dairy Ingredients
Tomorrow - Valuing Adding Dairy Ingredients High Value Ingredients Sports Nutrition Infant + Adult Nutrition Drinking On-the-go Sports Packed Yoghurt Nutrition Cream Whey Protein $200 Protein Isolate Lactoferrin & $50 Value added Whey Protein -lactalbumin Isolate $25-$35 Using Fat milk / fat $12 $4
Slide 43: Extracting more Value from Cream and Protein
Extracting more Value from Cream and Protein Standard Product Composition Standardise any excess Composition Standard protein and fat in raw milk Protein 3.3% above consumer standard Fat 3.4% to create value added Lactose 5.0% products Minerals 0.7% Water 87.6% Total 100.0% Based on FFG Standard 43
Slide 44: Value Added Dairy Platform
Value Added Dairy Platform Value Added Cream From this (Bulk Cream) 44
Slide 45: Our Nutritional Ingredients
st Our 1 Nutritional Ingredients 45
Slide 46: New Protein Based Ingredients
New Protein Based Ingredients Freedom Foods Ultra Premium Native Whey Protein Isolate (nWPI) Native Whey Protein Isolate High quality protein intakes are needed to optimise muscle protein synthesis and exercise recovery. Due to its superior leucine content, Native Whey Protein Isolate represents the
Slide 47: New Protein Based Ingredients
New Protein Based Ingredients Freedom Foods Ultra Premium Micellar Casein Micellar Casein Concentrate The 2 major groups of cow’s milk proteins include whey proteins and casein proteins. Casein micelles are structures that contain the casein proteins together, linked by calcium and phosphorus minera
Slide 48: Nutritionals - Product Capabilities
Nutritionals - Product Capabilities Timeline for Commercial Product Availability (Calendar Year) 2021 IgG 2020 (Immunoglobulin) Alpha Lactalbumin 2019 Osteopontin Native Whey Protein Isolate Micellar Casein Lactoferrin 48
Slide 49: Building Protein Ingredients into Our Brands
Building Protein Ingredients into Our Brands 49
Slide 50: Outlook
Outlook • The Group is increasingly well positioned to strategically build into a major global food and beverage business with scale in key food and beverage platforms from key markets and channels in Australia / New Zealand, China, SE Asia and North America. 50
Slide 51: Outlook
Outlook A2 Protein & Yoghurt Big bets in short term • The Group continues to experience strong demand across its business activities in Australia, China and SE Asia • As outlined in August 2018, the Group expects net sales revenue from Kid's Milk current business A2 Protein Milkactivities in FY 2019
Slide 52: Outlook
Outlook • New product revenue streams from major capital expenditure projects are expected to materially positively impact sales and earnings into FY 2020 and beyond. 52
Slide 53: Recognising Our People
Recognising Our People ~ _ THE BEST COFFEE DESFRVES 4 BETTER MILK |, MAKING FOOD BETTER
Slide 54: Freedom Foods Group
‘oon beter tee GROUP