Slide 1: Interim results to 30 November 2012
NWF Group plc Interim results to 30 November 2012
Slide 2: Group overview: Key highlights
Group overview Key highlights ¤ Robust performance in line with expectations ¤ Strong performance from Feeds, managing volatility ¤ Food slightly behind expectations, driving efficiencies ¤ Solid performance from Fuels, good recovery ¤ Effective cash management, debt better than anticipated at
Slide 3: Feeds operational highlights
¤ ¤ ¤ ¤ ¤ ¤ ¤ 2011 2012 Feeds Revenue £66.2m Operational highlights £60.1m £66.2m +10.1% Strong performance Overall volumes stable Focus on direct business with farmers 27% increase in protected proteins sales 2011 2012 Milk output falling and milk price rises anticipated Overall market growt
Slide 4: Operational highlights: Food
Operational highlights Food ¤ Take-on of new customers slower than anticipated ¤ Market conditions challenging and competitive ¤ Improved operating efficiencies: ¤ Restructured business - reduced workforce by 16% ¤ New systems delivering improved efficiencies ¤ Focus moved to new business deve
Slide 5: Operational highlights: Fuels
Operational highlights Fuels ¤ Recovery from prior year ¤ Improved margins ¤ Lower overheads and smaller tanker fleet ¤ Increased demand for heating oil compared to prior year ¤ Kerosene volumes up over 25% ¤ Improved working capital management ¤ Business streamlined to be an effective, low c
Slide 6: Financial review - income statement summary
Financial review Financial review - income statement summary Nov 2012 Nov 2011 Growth May 2012 £m £m % £m Revenue Food 18.9 22.9 -17.5% 42.4 Feeds 66.2 60.1 10.1% 133.9 Fuels 171.4 180.7 -5.1% 363.9 Total revenue 256.5 263.7 -2.7% 540.2 Operating profit Food 0.8 1.8 -55.6% 3.0 Feeds 1.6 0.6 166.7% 2
Slide 7: Financial review - balance sheet summary
Financial review Financial review - balance sheet summary Nov 2012 Nov 2011 May 2012 £m £m £m Fixed assets 49.6 51.2 50.5 Net Working Capital 10.1 20.8 9.5 Assets Employed 59.7 72.0 60.0 Pension deficit (16.9) (15.1) (17.3) Tax provisions (1.8) (2.0) (1.5) Net Debt (13.7) (29.3) (15.5) Net Assets 27
Slide 8: Financial review - net debt summary
Financial review Net debt summary Debt summary Movement#in#Net#Debt# ¤ Committed facilities of £55.0m with RBS until Oct 2015. 18.0$ In addition £7m of HP finance is available 16.0$ 14.0$ 4.7$ 0.8$ Facility Facility Drawn 0.9$ 12.0$ Invoice Discounting £44.0m £13.1m 1.2$ 10.0$ Revolving Credit Faci
Slide 9: Financial review - cash flow summary
Financial review Financial review - cash flow summary Nov 2012 Nov 2011 £m £m Cashflows from operating activities Operating profit 2.9 2.4 Depreciation and amortisation 1.8 1.9 Working capital (0.6) (12.3) Other (0.6) (0.5) Operating cash flow 3.5 (8.5) Interest paid (0.4) (0.5) Tax paid (0.3) (1.5)
Slide 10: Development outlook: Fuels
Development outlook Fuels ¤ Third largest fuel distributor in the UK ¤ Low cost depot operating model for competitive advantage ¤ Network built by acquisition with good record of integration ¤ Good track record ¤ Low ROS, high ROCE >20% Development strategy ¤ Develop organic growth from existi
Slide 11: Development outlook: Food
Development outlook Food ¤ Market for ambient groceries remains stable ¤ Competitive market working with large food manufacturers and supermarkets ¤ Key value delivered to customers ¤ High levels of service ¤ Low cost ¤ Boughey has a significant market share in North West ¤ Significant invest
Slide 12: Development outlook: Feeds
Customer locations 2012 Development outlook Feeds ¤ Agriculture is an attractive market for the Group – Population growth & food security gives stable, growing markets ¤ Represents the heritage of NWF and a good base has been established to date ¤ NWF now No. 2 ruminant feed producer in the UK an
Slide 13: Summary & outlook
Group overview Summary & outlook ¤ Performance in line with expectations, lower debt than anticipated ¤ Strong performances from Feeds and Fuels ¤ Experienced operational management teams across the Group ¤ Group has defensive characteristics, is cash generative and has a recognised dividend pol
Slide 14: Additional information on NWF Group plc
Group overview Additional information on NWF Group plc ¤ Business backgrounds ¤ Locations ¤ Organisation ¤ Main site photo ¤ Five year financial performance ¤ Ten year divisional track record ¤ Additional market data NWF Group plc Interim results to 30 November 2012 14
Slide 15: Business background: Feeds
Business background Feeds Feeds Feed Supply of feed to ruminants in the UK – principally dairy Our business ¤ National player – feed one in seven dairy cows in the UK, number two in the market ¤ 486,000 tonnes produced ¤ Feed dairy, beef and sheep ¤ Sell added value products including minerals,
Slide 16: Business background: Food
Business background Food Food Food Consolidation of ambient grocery products to UK supermarkets Our business ¤ 115,000 pallet spaces ¤ 900,000ft2 of warehousing in Wardle and Deeside (North West) ¤ Market leader in the North West ¤ 494 people ¤ 114 trucks, 240 trailers ¤ 99.6% service level ¤
Slide 17: Business background: Fuels
Business background Fuels Fuels Fuel Supply of fuels and fuel cards to commercial, domestic and retail customers across the UK Our business ¤ Third largest distributor in the UK ¤ 38,000 customers ¤ 191 people ¤ 17 depots across the UK ¤ 82 tankers ¤ Supply 76 retail petrol stations ¤ Fuel ca
Slide 18: Locations
Group overview Locations Feeds Ayr Penrith Wardle* Wixland Food Deeside Wardle* Fuels Acle Ammanford Babbinswood Bangor Boston Burnley Burwell Droitwich Dyserth Kenilworth Kingsbury Long Marston Nottingham Southampton Stoke Wardle* Yate * Group head office and main operating site. NWF Group plc Inte
Slide 19: Group organisation
Group overview Group organisation Chief Executive Non-Executive Directors Richard Whiting Mark Hudson (Chairman) John Acornley David Southworth Finance Director Company Secretary Brendon Banner Rob Andrew Food Feeds Fuels Managing Director Managing Director Managing Director Keith Forster Kevin Kenn
Slide 20: Wardle: Group head office and main operating site
Group overview Wardle: Group head office and main operating site NWF Group plc Interim results to 30 November 2012 20
Slide 21: Five year financial performance
Group overview Five year financial performance Revenue Headline EPS 600 14 500 12 10 400 £m 8 p 300 6 200 4 100 2 0 0 2008 2009 2010 2011 2012 2008 2009 2010 2011 2012 PBT DPS 5 8 7 4 6 5 3 £m 4 p 2 3 2 1 1 0 0 2008 2009 2010 2011 2012 2008 2009 2010 2011 2012 NWF Group plc Interim results to 30 Nov
Slide 22: Divisional track records
Group overview Divisional track records Feeds 160 4.0 140 3.5 120 3.0 100 Revenue £m 2.5 PBIT £m 80 2.0 60 1.5 40 1.0 20 0.5 0 0.0 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Fuels 400 4.5 350 4.0 3.5 300 3.0 250 Revenue £m PBIT £m 2.5 200 2.0 150 1.5 100 1.0 50 0.5 0 0.0 2003 2004 2005 2006 2
Slide 23: Fuels: additional market data
$ 0 10 20 30 40 50 60 70 80 90 100 110 120 130 140 01/06/2011 15/06/2011 Group overview 29/06/2011 13/07/2011 27/07/2011 10/08/2011 24/08/2011 Fuels: additional market data 07/09/2011 21/09/2011 05/10/2011 19/10/2011 02/11/2011 16/11/2011 30/11/2011 14/12/2011 28/12/2011 11/01/2012 25/01/2012 08/02/
Slide 24: Feeds: additional market data
Group overview Feeds: additional market data NWF Group plc Interim results to 30 November 2012 24