Wilmar International Limited · SGX:F34

Wilmar International — Q1 2017 Earnings Presentation

18 slides from Wilmar International's earnings presentation, May 11, 2017

  1. Slide 1: Wilmar International Limited 1Q2017 Results Highlights

    WILMAR INTERNATIONAL LIMITED 1Q2017 Results Highlights May 11, 2017

  2. Slide 2: Important Notice

    IMPORTANT NOTICE Information in this presentation 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 based on current assumptions which are subject to various risks and which may cha

  3. Slide 3: Content

    Content 1 1Q2017 Financial Performance – Key Takeaways 2 Business Outlook 3 Appendix 2

  4. Slide 4: 1Q2017 Financial Performance – Key Takeaways

    1Q2017 Financial Performance – Key Takeaways

  5. Slide 5: Earnings Highlights

    Earnings Highlights vs 1Q16 1Q17 (US$m)  Revenue 10,570 17% EBITDA 691 24% Net profit 362 51% Core profit after tax 313 40% Earnings per share 5.7 50% in US cents (fully diluted) 4

  6. Slide 6: Earnings Highlights – Segment Results (PBT US$m)

    Earnings Highlights – Segment Results (PBT US$m) 1Q17 1Q16 ∆ Tropical Oils 178.6 149.3 20% (Plantation, Manufacturing & Merchandising) Oilseeds and Grains 213.7 168.8 27% (Manufacturing & Consumer Products) Sugar (Milling, Merchandising, Refining & Consumer (34.5) (18.1) -90% Products) Others 69.5 1

  7. Slide 7: Cash Flow Highlights

    Cash Flow Highlights US$ million 1Q17 1Q16 FY16 Operating cash flow before working capital changes 473 860 2,021 Net cash flow from operating activities (22) 1,331 1,124 Less: Acquisitions of subsidiaries, joint ventures and (10) 0 (145) associates Capital expenditure (175) (165) (777) Net increase/

  8. Slide 8: Gearing

    Gearing US$ million As at As at Mar 31, 2017 Dec 31, 2016 Debt/Equity (x) 0.79 0.81 - Net Debt * 11,883 11,692 - Shareholders' funds 15,038 14,435 Adjusted Debt/Equity (x) 0.33 0.35 - Liquid working capital ** 6,979 6,706 - Adjusted Net Debt 4,904 4,986 Net debt/EBITDA (x) *** 5.00 5.21 Adjusted Net

  9. Slide 9: Business Outlook

    Business Outlook • The Group has shown strong results in the first quarter, particularly from our Tropical Oils and Oilseeds and Grains segments. We expect our Flour business to continue its growth, while volume for consumer products is expected to recover from the seasonal reduction in 1Q2017. Alth

  10. Slide 10: Appendix

    Appendix

  11. Slide 11: Business Segment results: Tropical Oils

    Business Segment results: Tropical Oils (Plantation, Manufacturing and Merchandising) 1Q17 1Q16 ∆ Revenue (US$ million) 4,642.9 3,511.6 32%  Plantation 18.1 11.0 63%  Manufacturing & Merchandising 4,624.8 3,500.6 32% Sales volume (‘000 MT) 5,650 5,557 2%  Manufacturing & Merchandising Profit befo

  12. Slide 12: Business Segment results: Tropical Oils

    Business Segment results: Tropical Oils (Plantation, Manufacturing and Merchandising) 1Q17 1Q16 ∆ Planted area (ha) 241,197 240,408 0% Mature area harvested (ha) 210,928 211,468 0% FFB production (MT) 938,771 902,035 4% FFB Yield (MT/ha) 4.6 4.3 8% Mill Production  Crude Palm Oil (MT) 393,696 375,9

  13. Slide 13: Business Segment results: Oilseeds and Grains

    Business Segment results: Oilseeds and Grains (Manufacturing and Consumer Products) 1Q17 1Q16 ∆ Revenue (US$ million) 4,464.5 4,496.8 -1%  Manufacturing 2,788.3 2,436.0 14%  Consumer Products 1,676.2 2,060.8 -19% Sales volume (‘000 MT) 7,118 7,185 -1%  Manufacturing 5,696 5,462 4%  Consumer Prod

  14. Slide 14: Business Segment results: Sugar

    Business Segment results: Sugar (Milling, Merchandising, Refining and Consumer Products) 1Q17 1Q16 ∆ Revenue (US$ million) 1,236.5 770.5 60%  Milling 42.9 29.3 47%  Merchandising, Refining & Consumer Products 1,193.6 741.2 61% Sales volume (‘000 MT) 2,488 1,955 27%  Milling 203 88 >100%  Merchan

  15. Slide 15: Cash Flow

    Cash Flow US$ million 1Q17 1Q16 FY16 Operating cash flow before working capital changes 473 860 2,021 Net cash flow from operating activities (22) 1,331 1,124 Less : Acquisitions of subsidiaries, joint ventures and (10) 0 (145) associates Capital expenditure (175) (165) (777) Net increase/(decrease)

  16. Slide 16: Cash Flow

    Cash Flow • Inventories decreased 1.1% to US$6.9 billion as at 31 March 2017 due to lower stockholding of consumer products in China after the festive season. Average turnover days remained comparable at 70 days in 1Q2017. • Trade receivables decreased by US$312.8 million to US$3.8 billion in 1Q2017

  17. Slide 17: Funding and Liquidity

    Funding and Liquidity As at Mar 31, 2017 US$ million Available Utilised Balance Credit facilities : Committed 9,935 7,261 2,674 Trade finance 21,318 9,887 11,431 Short term 897 282 615 Total credit facilities 32,150 17,430 14,720 • 57% of utilised facilities were trade financing lines, backed by inv

  18. Slide 18: Key Indicators

    Key Indicators As at As at Mar 31, 2017 Dec 31, 2016 Return on Average Equity* 7.4% 6.7% Return on Average Capital Employed* 4.8% 4.5% Return on Invested Capital* 5.1% 4.6% in US cents EPS (fully diluted) 5.7 15.4 NTA per share 168.7 159.4 NAV per share 237.9 228.5 * Mar 17 returns based on LTM perf

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