Apetit Oyj · OMXHEX:APETIT
Apetit Oyj — H1 2019 Earnings Presentation
20 slides from Apetit Oyj's earnings presentation, Aug 16, 2019
Slide 1: Half-Year Financial Report 2019
Half-Year Financial Report 2019 Juha Vanhainen, CEO, Apetit Oyj APETIT PLC | Half-Year Financial Report 2019 16.8.2019 1
Slide 2: Key topics after the period
Key topics after the period Restructuring of the Food Solutions business is proceeding APETIT PLC | Half-Year Financial Report 2019 16.8.2019 2
Slide 3: Apetit Plc has agreed on selling its fresh cut products business to Greenfood AB
Apetit Plc has agreed on selling its fresh cut products business to the Swedish company Greenfood AB • Restructuring of Food Solutions business is proceeding as a result of the agreed sales of the fresh cut products business • The sale of the fresh cut products business to Swedish Greenfood AB has b
Slide 4: Greenfood AB and Salico Oy
Greenfood AB and Salico Oy • Greenfood is a Swedish, one of the leading groups focusing on health food in the Nordics • In 2018, the net sales of the company was EUR 470 million and amount of the personnel 1,300 • In Finland, Greenfood AB is a owner of Salico Oy, Satotukku Oy, Picadeli Oy ja Snackpo
Slide 5: Key events
Key events APETIT PLC | Half-Year Financial Report 2019 16.8.2019 5
Slide 6: The early part of the year was heavily loss-making due to the old harvest
The early part of the year was heavily loss-making due to the old harvest, the outlook for the rest of the year is encouraging based on good harvest forecasts • Key factors for poor performance in the first half of the year • Harvest was the smallest in the millennium • Lack of opportunities to expo
Slide 7: In addition to restructuring, the Food Solutions business has several growth paths
In addition to restructuring, the Food Solutions business has several growth paths More organic • Demand for organic food is growing strongly in Finland, and organic food has also significant export opportunities • Apetit’s product range will be complemented by several new organic products during th
Slide 8: The availability of domestic raw material is limited - the share of foreign rape will increase
The availability of domestic raw material is limited - the share of foreign rape will increase • Domestic oilseed crops have fallen significantly for the current harvest season • The smallest sowing area in 40 years and at the same time it is about a third lower than last year • The abundance of pes
Slide 9: Business review
Business review APETIT PLC | Half-Year Financial Report 2019 16.8.2019 9
Slide 10: Net sales and profit
Net sales and profit Continuing operations April-June 2019 January-June 2019 • Net sales EUR 64.5 (66.7) million • Net sales EUR 135.5 (120.5) million • Operational EBITDA EUR -1.2 (1.1) million • Operational EBITDA EUR 0.9 (2.0) million • Operational profit EUR -2.5 (0.1) million • Operational prof
Slide 11: Implemented adjustment measures improved profitability
Food Solutions 1-6 2019 Implemented adjustment measures improved profitability • The divestment of the service sales decreased net sales Net sales, EUR million • The last service sale operations were divested at the end of April 1-6 2018 1-6 2019 • The divestment of service sales was implemented as
Slide 12: Challenges in the availability of raw materials weakened profitability
Oilseed Products 1-6 2019 Challenges in the availability of raw materials weakened profitability • Net sales declined from the comparison period due to deliveries being Net sales, EUR million postponed to the second half of the year • Challenges in raw material availability in Finland and its neighb
Slide 13: Significantly decreased price level in the new harvest season further burdened grain trading
Grain Trade 1-6 2019 Significantly decreased price level in the new harvest season further burdened grain trading • Net sales increased due to increased delivery volumes on the Net sales, EUR million comparison period 1-6 2018 1-6 2019 • In early 2019, exceptionally high grain stocks that had been b
Slide 14: Operational EBIT of Fresh Cut Products improved by implemented adjustment and efficiency measures
Discontinued operations (Fresh Cut Products, Seafood) 1-6 2019 Operational EBIT of Fresh Cut Products improved by implemented adjustment and efficiency measures Net sales, EUR million • Net sales of the Fresh Cut Products business decreased on 1-6 2018 1-6 2019 the comparison period due to the disco
Slide 15: Strong financial position
Strong financial position EUR million 30.6.2019 30.6.2018 Working capital, continuing operations 27,2 28,4 Group’s net cash flow from operating activities 29,8 -0,1 Group’s total equity 94,8 104,0 Group’s net debt 8,4 -4,9 Group’s Equity ratio, % 71,6 % 76,1 % Group’s Gearing, % 8,9 % -4,7 % Group’s
Slide 16: Näkymät vuoteen 2019 ja tulosohjeistus / Profit guidance unchanged
Näkymät vuoteen 2019 ja tulosohjeistus Profit guidance unchanged APETIT PLC | Half-Year Financial Report 2019 16.8.2019 16
Slide 17: Profit guidance for 2019
Profit guidance for 2019 • The Group’s full-year operational EBIT is expected to improve year-on-year (EUR -1.0 million in 2018). The profit outlook for early 2019 was burdened by the weak grain crop of 2018. Opportunities to export Finnish grain were limited, and an imbalance of supply and demand p
Slide 18: Strategy implementation
Strategy implementation APETIT PLC | Half-Year Financial Report 2019 16.8.2019 18
Slide 19: Strategic focus areas: renewal, internationalisation and efficiency improvement
Strategic focus areas RENEWAL, INTERNATIONALISATION and EFFICIENCY IMPROVEMENT Investment in a patty Investment of the Significant invests in Shareholding in the and ball production bioenergy plant in product development – development company line at the Säkylä plant Kirkkonummi new products Foodwes
Slide 20: Apetit continues renewal of plant-based eating - Tasty novelties of fall 2019
Apetit continues renewal of plant-based eating - Tasty novelties of fall 2019 #Domestic freshwater fish #Healthy snacks # Vegetables for a treat # The organic family is expanding APETIT PLC | Half-Year Financial Report 2019 16.8.2019 20