Slide 1: COMMENCEMENT 9am
COMMENCEMENT 9am GRINDROD >
Slide 2: 2022 Interim Financial Results
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Slide 3: Grindrod Limited interim results - Andrew Waller
GRINDROD LIMITED Unaudited interim results for the six months ended 30 June 2022 Drybulk terminal I MATOLA ANDREW WALLER
Slide 4: Overall environment
B U S IN E S S O V E R V IE W Overall environment Global § Global geopolitical conflicts and pandemic causing supply chain disruptions § Generally strong commodity markets, volatile iron ore prices § Buoyant agri markets remained § High oil price environment § Increasing inflation and interest rates
Slide 5: Highlights
O V E R V IE W A N D H IG H L IG H T S Highlights Drybulk terminal volumes Port volumes Earnings grew 52% 30% 88% 7.5 million tonnes 12.3 million tonnes for coastal 2021 H1: 2021 H1: shipping and container 5.0 million tonnes 9.4 million tonnes depot business Port capacity Impact of KZN LTIFR upgrade
Slide 6: Highlights
O V E R V IE W A N D H IG H L IG H T S Highlights Revenue Trading profit Headline earnings Net debt from core operations * from core operations * from core operations * 27% 31% 37% 53% R1.6 billion R3.1 billion R1.1 billion R529.1 million 2021 December: 2021 H1: R2.4 billion 2021 H1: R0.8 billion 20
Slide 7: Divisional overview
DIVISIONAL OVERVIEW GRINDROD LIMITED Unaudited interim results for the six months ended 30 June 2022 Stevedores I RICHARDS BAY XOLANI MBAMBO
Slide 8: Freight Services - financial highlights
D IV IS IO N A L O V E R V IE W Freight Services - financial highlights Port and Terminals Logistics Core 2022 H1 2021 H1 2022 H1 2021 H1 SHERQ Fatality (target: nil) nil nil nil nil LTI (target: nil) 3 3 5 8 LTIFR (target: <=0.5) 0.33 0.44 0.37 0.51 FINANCIAL Revenue (Rm) 1 182 495 1 664 1 640 EBIT
Slide 9: Divisional overview
DIVISIONAL OVERVIEW GRINDROD LIMITED Unaudited interim results for the six months ended 30 June 2022 Port I MAPUTO XOLANI MBAMBO
Slide 10: Port and Terminals - H1 2022 highlights
D IV IS IO N A L O V E R V IE W Port and Terminals - H1 2022 highlights § Maputo port volumes grew 30% to 12.3 million tonnes § Maputo port successfully commissioned its 6 berths § Grindrod drybulk terminals volumes handled increased 52% § Expansion of Maputo terminals facility in response to global
Slide 11: Port and Terminals - operational highlights
D IV IS IO N A L O V E R V IE W Port and Terminals - operational highlights Maputo Port Development Company (MPDC) million tonnes H1 H2 6.50 5.40 +16% +3% +17% +12% 3,50 3.50 Capacity 4.70 2,90 2.90 3,50 3,93 3.93 3,93 3.93 2,90 3,00 3.50 2,50 3,00 2,50 2.50 2.90 3.00 2.50 3.00 H1 2020 H2 2020 H1 20
Slide 12: Port and Terminals - growth opportunities
D IV IS IO N A L O V E R V IE W Port and Terminals - growth opportunities Additional Facility capacity Commodity Timing Matola drybulk terminal 4.7 mtpa Iron ore / Coal Medium term Richards Bay drybulk terminal * 1.0 mtpa Coal Medium term Manganese handling facility 0.6 mtpa Manganese Short term Ngq
Slide 13: Market outlook Port and Terminals
D IV IS IO N A L O V E R V IE W Market outlook Port and Terminals Current Short term Long term Market exposure fundamentals fundamentals Iron ore 7.3 mtpa Chrome ore / ferrochrome 9.3 mtpa Manganese 0.3 mtpa Coal 4.2 mtpa GRINDROD LIMITED Unaudited interim results for the six months ended 30 June 20
Slide 14: Divisional overview
DIVISIONAL OVERVIEW GRINDROD LIMITED Unaudited interim results for the six months ended 30 June 2022 Clearing and Forwarding I JOHANNESBURG XOLANI MBAMBO
Slide 15: Logistics - H1 2022 highlights
D IV IS IO N A L O V E R V IE W Logistics - H1 2022 highlights § Strong recovery in coastal shipping and container depot business - Depot facilities were impacted by severe floods during April - Damages to the infrastructure as well as clean-up costs covered by insurance § Delivering on container de
Slide 16: Logistics solutions - growth opportunities
D IV IS IO N A L O V E R V IE W Logistics solutions - growth opportunities Facility Probability Impact Timing Container - Maersk / Grindrod JV High High Short term - Terminal (PSP) High High Medium term Rail (deployment / open access) Medium High Long term East Africa footprint High High Medium term
Slide 17: Market outlook Logistics solutions
D IV IS IO N A L O V E R V IE W Market outlook Logistics solutions Current Short term Long term Market exposure fundamentals fundamentals Container 300 000m2 Graphite 360 000 tpa 56 locomotives Rail (owned) Agriculture N/A East Africa N/A GRINDROD LIMITED Unaudited interim results for the six months
Slide 18: Divisional overview - David Polkinghorne
DIVISIONAL OVERVIEW GRINDROD LIMITED Unaudited interim results for the six months ended 30 June 2022 DAVID POLKINGHORNE
Slide 19: Financial performance - segmental basis
D IV IS IO N A L F IN A N C IA L P E R F O R M A N C E Financial performance - segmental basis Bank Core 2022 H1 2021 H1 Rm Rm Revenue 258 223 Headline earnings 74 45 Net asset value 1 745 1 650 Deposits 11 712 11 420 Loans and advances 8 337 8 636 GRINDROD LIMITED Unaudited interim results for the
Slide 20: Bank
D IV IS IO N A L O V E R V IE W Bank Operational highlights § Strong growth in comparative period earnings of 63% § Advances of R8.3 billion (December 2021: R8.3 billion) § Strong deposit funding base at R11.7 billion (December 2021: H2 2022 key focus areas R11.2 billion) § Growth in loans and advan
Slide 21: Finance presentation
FINANCE PRESENTATION GRINDROD LIMITED Unaudited interim results for the six months ended 30 June 2022 Multi-purpose terminal I DURBAN FATHIMA ALLY
Slide 22: Segmental income statement
R E S U LT S 2 0 2 2 Segmental income statement Rmillion H1 2022 H1 2021 VAR (%) Comments Revenue Core operations 3 134 2 389 31 Volumes Non-core operations 8 096 5 886 38 Oil price increase Trading profit Core operations 1 066 779 37 Non-core operations (78) (269) 71 Lower private equity impairment
Slide 23: Core businesses headline earnings
R E S U LT S 2 0 2 2 Core businesses headline earnings Port and Terminals Logistics Bank Group Total Rmillion 2022 2021 2022 2021 2022 2021 2022 2021 2022 2021 Earnings from core businesses 296 112 226 (223) 74 45 (86) 130 510 64 Headline earnings adjustments 4 (1) 35 269 - - (20) 13 19 281 Headline
Slide 24: Segmental balance sheet
R E S U LT S 2 0 2 2 Segmental balance sheet Jun Dec VAR Rmillion 2022 2021 % Comments Property, plant and equipment 3 169 3 144 1 Capex and exchange rate offset by disposals and depreciation Right of use asset 1 387 1 441 (4) Depreciation and disposals offset by additions Intangible assets 995 976
Slide 25: Group legal net cash reconciliation
G R O U P L E G A L N E T C A S H R E C O N C IL IAT IO N Rmillion (57) (57,0) (230,0) (230) (155,0) (155) 387,0 387 803,0 803 (249,0) (249) 950,0 950 451,0 451 December Operating Working Interest / Investments Proceeds on Non-cash June 2021 cashflow capital and dividends / and capital disposal and
Slide 26: Legal net debt analysis (excluding Bank)
L E G A L N E T D E B T A N A LY S IS (E X C L U D IN G B A N K ) Jun Dec Total debt analysis Rmillion 2022 2021 Rmillion Total debt 2 925 3 164 3 164 Less: cash (1 277) (952) 2 925 Net debt excluding Bank 1 648 2 212 540 574 % 2022 2021 Net debt to equity ratio 18 26 1 040 Net cash to equity ratio
Slide 27: Financial performance - segmental basis
D IV IS IO N A L O V E R V IE W Financial performance - segmental basis Headline 2022 2021 Non-core 0,82 0.82 2.26 2,26 0,38 0.38 NAV earnings Return Return operations (Rand / (Rand / on on Division share) share) equity equity 2.19 2,19 Freight and 7.04 1.35 19% 13% Group * NAV Bank 2.19 0.19 9% 7%
Slide 28: Non-core - Andrew Waller
GRINDROD LIMITED Unaudited interim results for the six months ended 30 June 2022 North Coast properties I DURBAN ANDREW WALLER
Slide 29: Non-core
Non-core Private equity The private equity portfolio exit is largely complete with only one significant asset remaining with a carrying value of R306.7 million. Disposal proceeds of R152.1 million realised during this period were applied to settle private equity debt. Land Management continues to ex
Slide 30: Outlook - Andrew Waller
GRINDROD LIMITED Unaudited interim results for the six months ended 30 June 2022 Logistics I JOHANNESBURG ANDREW WALLER
Slide 31: Delivering our strategy
OUTLOOK Delivering our strategy § Global markets are showing low growth through to 2023 with inflation impacting heavily in the short term § Minerals and agricultural commodity segments forecast to be resilient § Grindrod’s strategy of separating the three businesses and focusing on the core is almo
Slide 32: For more information contact
For more information contact PORT Fathima Ally TERMINALS LOGISTICS BANK P +27 31 302 7575 E fathima.ally@grindrod.com www.grindrod.com - GRINDROD
Slide 33: Appendix
PORT TERMINALS LOGISTICS BANK ‘ew GRINDROD
Slide 34: Port
D IV IS IO N A L O V E R V IE W Port H1 H1 Change H1 FY FY Tonnes 2022 2021 % 2021 2021 2020 Chrome / ferrochrome 3 934 328 3 039 076 29 3 499 269 6 538 345 5 320 112 Sub-concession and other 8 322 155 6 396 834 30 9 329 496 15 726 330 13 063 032 Port of Maputo 12 256 483 9 435 910 30 12 828 765 22
Slide 35: Port and Terminals capacity and utilisation
P O R T A N D T E R M IN A L S C A PA C IT Y A N D U T IL IS AT IO N Terminals H1 Change H1 H2 H2 FY Template 2022 % 2021 2021 2021 2020 capacity Drybulk (tonnes) 7 543 444 52 4 971 399 8 010 117 12 981 516 9 396 223 15 150 000 Matola terminal 1 3 848 198 24 3 104 117 5 168 919 8 273 036 5 501 651 7