Bunge Limited · NYSE:BG
Bunge — Shareholder Meeting (May 2019)
22 slides from Bunge's shareholder meeting presentation, May 23, 2019
Slide 1: Annual General Meeting
Annual General Meeting MAY 23, 2019 1 ANNUAL GENERAL MEETING
Slide 2: Forward-Looking Statements
Forward-Looking Statements • Today’s presentation includes forward-looking statements that reflect Bunge’s current views with respect to future events, financial performance and industry conditions. • These forward-looking statements are subject to various risks and uncertainties. Bunge has provided
Slide 3: Today's Agenda
Today’s Agenda • 2018 Highlights • Strategic Priorities • Global Scale & Business Drivers • Progress on Sustainability • Q&A 3 ANNUAL GENERAL MEETING
Slide 4: We connect farmers and consumers, ensuring food and feed move safely and efficiently
We connect farmers and consumers, ensuring that food and feed products move safely and efficiently from where they’re grown to where they’re needed. 4 ANNUAL GENERAL MEETING
Slide 5: Bunge Has a Powerful Global Franchise
Bunge Has a Powerful Global Franchise • Leader across the entire value chain: sourcing, processing and supplying oilseed and grain products and ingredients. • Founded in 1818, Bunge creates sustainable products and opportunities for more than 70,000 farmers and consumers in over 60 countries. • 31,0
Slide 6: Committed to Zero Incident Safety Culture
Committed to Zero Incident Safety Culture When we put safety first, production, profit and a leading cost position will follow Safety involves all Bunge employees and Global Safety Awards: contractors, no matter where they work. We • Global Best Large Facility – Dongguan, China use multiple methods
Slide 7: 2018 Financial Highlights
2018 Financial Highlights Revenue EPS Continuing EPS Continuing Net Income Total Segment Operations Operations, adj. (1) Attributable to Bunge EBIT, adj.(1) $46B $1.57 $2.72 $267M $881M flat vs PY +76% vs PY +40% vs PY +53% vs PY +67% vs PY GCP SG&A ROIC(2) Dividends to Capex Savings Shareholders $2
Slide 8: Focused on 3 Strategic Priorities for the Future
Focused on 3 Strategic Priorities for the Future Refocusing to position Bunge for success Drive Operational Strengthen Financial Optimize Portfolio Performance Discipline • Streamline decision • Focus on businesses where we • Deploy working capital for making can win highest return opportunities • C
Slide 9: Largest Oilseed Crushing Footprint with Leading Positions in Key Geographies
Largest Oilseed Crushing Footprint with Leading Positions in Key Geographies Globally diversified network NET SALES EMPLOYEES $46 B ~31,000 FACILITIES COUNTRIES ~360 ~40+ AGRIBUSINESS FOOD & INGREDIENTS SUGAR & BIOENERGY FERTILIZER • A global leader in oilseed • Global B2B oils leader with full line
Slide 10: #1 Agribusiness and Food Footprint in South America
#1 Agribusiness and Food Footprint in South America YEARS EMPLOYEES COUNTRIES 134 ~16,000 5 FACILITIES EXPORTER ~150 3rd largest AGRIBUSINESS FOOD & INGREDIENTS SUGAR & BIOENERGY FERTILIZER • #1 agribusiness company • #1 edible oils & wheat miller in • 22 mmt sugarcane milling • #1 phosphate (SSP) &
Slide 11: Bunge Loders Croklaan: A Strong Global Platform for Innovation
Bunge Loders Croklaan: A Strong Global Platform for Innovation Winning new customers and growing with existing accounts Leading global producer and supplier of sustainable premium quality vegetable oils and fats for the food industry 11 ANNUAL GENERAL MEETING
Slide 12: Integrated Value Chain Maximizes Results
Integrated Value Chain Maximizes Results “where we start” ✓ efficiency Supply chain ✓ Reduces costs Grain Oilseed Transportation Marketing Oil Refining Wheat, Corn ✓ Partner of choice Farmers Origination Processing & Logistics & Distribution Food & & Packaging & Rice Milling Customer ✓ Market insigh
Slide 13: Global Competitiveness Program Savings Ahead of Plan
Global Competitiveness Program Savings Ahead of Plan $200 million annual savings, exceeding 2018 target by $100 million 1,450 100 107 1,423 1,350 9 200 106 51 1,150 2017 Unadressable 2017 Savings 2017 Actual Adj. Notable Perimeter Other Unadressable 2018 SG&A SG&A Addressable Addressable Charges Cha
Slide 14: Building a Sustainable Platform to Deliver for Customers
Building a Sustainable Platform to Deliver for Customers Tangible Impact (UN SDGs) Verified Sustainable (measured, discrete, certified) Supply Chain Transparency (where, how, governance) find new ways to reduce our collaborate with other value chain Move, even when the path is not footprint. . . par
Slide 15: Measurable Progress on Sustainability Goals
Measurable Progress on Sustainability Goals Continuing to pursue long-term CO2, water, waste, emissions and energy reduction goals 15 ANNUAL GENERAL MEETING bunge.com/sustainability
Slide 16: Bunge is Moving Forward
Bunge is Moving Forward Drive Operational Strengthen Financial Optimize Portfolio Performance Discipline • Strategic priorities are clear; management is working to reposition the business • Focused on revenue growth and cost control, to drive earnings and returns • Prioritizing capital deployment to
Slide 17: Q&A
Q&A MAY 23, 2019 17 ANNUAL GENERAL MEETING
Slide 18: Non-GAAP reconciliation notes
Non-GAAP reconciliation notes Non-GAAP measures • Bunge uses total segment earnings before interest and taxes (“Total Segment EBIT”) and Total Segment EBIT, adjusted to evaluate Bunge’s operating performance. Total Segment EBIT, excludes EBIT attributable to noncontrolling interest and is the aggreg
Slide 19: Non-GAAP reconciliation notes
Non-GAAP reconciliation notes Below is a reconciliation of Net income (loss) attributable to Bunge to Total Segment EBIT, adjusted: Year Ended December 31, (US$ in millions) #2 2018 2017 Net income (loss) attributable to Bunge $ 267 $ 160 Interest income (31) (38) Interest expense 339 263 Income tax
Slide 20: Non-GAAP reconciliation notes
Non-GAAP reconciliation notes Below is a reconciliation of Net income (loss) attributable to Bunge to Net income (loss), adjusted (excluding certain gains & charges and discontinued operations): Year Ended December 31, (US$ in millions, except per share data) 2018 2017 Net Income (loss) attributable
Slide 21: Non-GAAP reconciliation notes
Non-GAAP reconciliation notes Return on Invested Capital excluding certain gains and charges Trailing 4 Trailing 4 Quarter Average Quarter Average December 31, December 31, (US$ in millions) 2018 2017 Total Segment EBIT $ 737 $ 436 EBIT attributable to noncontrolling interest 27 19 #2 Interest incom
Slide 22: Non-GAAP reconciliation notes
Non-GAAP reconciliation notes Income before income tax utilized for ROIC calculation Below is a reconciliation of Income from continuing operations before income tax to Return before income tax, adjusted: #2 Trailing 4 Trailing 4 Quarter Average Quarter Average (US$ in millions) December 31, 2018 De