Agthia Group · ADX:AGTHIA
Agthia — FY2024 Earnings Presentation
41 slides from Agthia's earnings presentation, Feb 27, 2025
Slide 1: Investor Presentation FY'24 Results
Investor Presentation FY’24 Results 27 February 2025
Slide 2: Disclaimer
Disclaimer Agthia Group PJSC and its management may make 7. expected financial results; 8. sensitivity to changes in 4. various events which could disrupt operations, certain statements that constitute “forward-looking product prices; 9. sensitivity to key input prices; 10. including natural events
Slide 3: Agenda
Agenda 01 Strategic Update 04 Dividends 02 Key Financials 05 Q&A 03 Segment Performance 3
Slide 4: Recap: Our Strategic Vision to Become a Regional F&B Leader by 2025
Recap: Our Strategic Vision to Become a Regional F&B Leader by 2025 From… To… UAE centric Footprint MENA+ & beyond Commoditized portfolio Value-add F&B brands Becoming a Regional F&B Stable financial performance Strong shareholder returns Leader by 2025 Local organization mindset Consumer-centric &
Slide 5: FY 2024: Progress on Strategic Vision – To Date
FY 2024: Progress on Strategic Vision – To Date Delivering Growth Driving Efficiency Expanding Capabilities • Reported revenue growth +7.7% YoY; 9.6% • Focus on productivity enhancement: • Investing in innovation: from volume offset by 1.8% decline in pricing AED 113MN in FY’24 • Snacking: Instant c
Slide 6: Key Financials
Y Key Financials agthia @ a)2.ci
Slide 7: FY'24: Group Headlines
FY’24: Group Headlines Group Revenue Group EBITDA Group Reported Net Profit AED MN AED MN AED MN +7.7% -1.5% +7.4% 4,915 689 679 322 4,561 300 FY'23 FY'24 FY'23 FY'24 FY'23 FY'24 +9.7%, assuming an average USD / EGP EBITDA Margin 13.8% Net Profit Margin 6.5% exchange rate of 40 7
Slide 8: Step Up in EPS and Improved Working Capital
Step Up in EPS and Improved Working Capital Reported EPS Optimization of WC1 Cash Conversion Cycle AED WC as % of Sales CCC days +7.9% -160bps 68 45 0.356 DSO 0.330 81 79 8.9% 7.3% DIH 101 98 -132 DPO -115 FY'23 FY'24 FY'23 FY'24 FY’23 FY’24 1 WC is calculated based on the closing numbers for the pe
Slide 9: Cash Flow Analysis
Cash Flow Analysis Impact of change in NWC1 on FCF CAPEX2 FCF3 NWC as of eop, AED MN AED MN AED MN -13% -42% -374 216 -423 829 849 187 496 -49 406 406 357 FY'22 FY'23 FY'23 FY'24 FY'23 FY'24 FY'23 FY'24 1 WC is calculated based on the closing numbers for the period divided by annualized sales. Worki
Slide 10: Robust Balance Sheet with Low Leverage
Robust Balance Sheet with Low Leverage Net Debt / EBITDA1 Interest Coverage2 1.5x FY Dec’23 - 1.3x 9.4x FY Dec’23 – 7.6x High Borrowing Capacity Avg Dividend Yield3 1.7bn FY Dec’23 – 1.8bn 3.0% FY’23 DPS = AED 0.235 1 Net debt as on 31 Dec 2024 divided by FY’24 EBITDA. 2 EBITDA for FY’24 divided by
Slide 11: Strong Topline Growth in Snacking, Agri-Business, and Water & Food
Strong Topline Growth in Snacking, Agri-Business, and Water & Food FY’24 revenue +7.7% YoY, driven by 9.6% volume growth offset by 1.8% decline in pricing FY’24 revenue +16.7% YoY, excluding EGP devaluation impact Group Revenue (AED MN) 74 105 4,915 192 4,561 -18 after absorbing EGP after absorbing
Slide 12: EBITDA Growth Impacted by Operational Challenges in Dates
EBITDA Growth Impacted by Operational Challenges in Dates FY’24 EBITDA -1.5% YoY, +11.0% pre devaluation Group EBITDA (AED MN) 58 689 679 26 5 -38 -60 after absorbing after absorbing after absorbing EGP devaluation EGP devaluation Dairy assets write- of AED 48.6MN of AED 37.5MN off of AED 10MN FY'23
Slide 13: Net Profit Performance Impacted by Operational Setbacks in Dates
Net Profit Performance Impacted by Operational Setbacks in Dates FY’24 reported net profit growth +7.4% YoY, +24.5% pre devaluation Group net profit1 (AED MN) 41 322 300 43 21 4 -86 after absorbing after absorbing after absorbing EGP devaluation EGP devaluation Dairy assets write- of AED 28MN of AED
Slide 14: Segmental Performance
Segmental Performance
Slide 15: Diversified Growing Portfolio in Large Scalable Markets
Diversified Growing Portfolio in Large Scalable Markets Diversified revenue by geography... …and segments 9% 25% 21% 25% 53% 23% 31% 13% UAE Other Arab Countries Protein & Frozen Water & Food GCC excl. UAE RoW Snacking Agri-Business *FY’24 sales, excluding one-off wheat trading in Q1’24 15
Slide 16: Snacking: Strong Abu Auf Growth Offset by Operational Challenges in Dates
Snacking: Strong Abu Auf Growth Offset by Operational Challenges in Dates Revenue, AED MN EBITDA1, AED MN Key Highlights EBITDA Margin 12.3% (-645 bps) Revenue • Strong revenue mainly led by coffee and dates +14.7% -24.7% notable performance during the period. o Abu Auf continued to deliver strong g
Slide 17: Protein & Frozen: Strong Focus on Profitability Protection
Protein & Frozen: Strong Focus on Profitability Protection Revenue, AED MN EBITDA1, AED MN Key Highlights EBITDA Margin 11.7% (+65bps) Revenue • Revenue -1.7% YoY (+20.1% YoY excluding EGP -1.7% +4.1% devaluation impact). o In Egypt, robust pricing and favorable mix, amidst 1,026 1,009 the challengi
Slide 18: Water & Food: EBITDA Outpacing Consistent Revenue Growth
Water & Food: EBITDA Outpacing Consistent Revenue Growth, Driven by Step Up in Efficiency Revenue, AED MN EBITDA1, AED MN Key Highlights EBITDA Margin 15.9% (+137bps) Revenue • +7.4% YoY on positive growth across local (UAE +7.4% +17.5% water +9.6%) and international channels (Oman +9.0%, Kuwait +4.
Slide 19: Agri-Business: Strong Volume Growth and Margin Expansion
Agri-Business: Strong Volume Growth and Margin Expansion Revenue, AED MN EBITDA1, AED MN Key Highlights EBITDA Margin 16.7% (+327bps) Revenue +8.6% +35.0% • +8.6% YoY reported growth • Animal feed +5.2% YoY, driven by effective sales execution, strong performance in ADAFSA program, 1,332 223 and inc
Slide 20: Egypt: Turning into a Competitive Advantage
Egypt: Turning into a Competitive Advantage Strong Revenue Growth and Profitability Improvement Revenue, AED MN EBITDA (AED MN) & EBITDA Margin (%) “Export Hub” Strategy +8.1% 15.3% +454bps +40.2% 19.8% AED 105 MN Exports from Egypt in FY’24 919 182 850 • 31.0% EGP revenue growth 130 • EBITDA Margin
Slide 21: Increasing Shareholder Returns Through Dividend Growth
Increasing Shareholder Returns Through Dividend Growth Consistent cash dividend payout ratio of 50-60% +5% bonus shares 32% 35% 44% 43% 66% 85%1 58% 53% 56% 60% Dividend payout % +14% 0.2103 0.185 0.165 0.165 0.165 0.150 0.150 0.150 0.150 0.125 Dividends per share (AED) 2015 2016 2017 2018 2019 2020
Slide 22: A Forward-Looking Company
A Forward-Looking Company Market leading position across key categories and geographies Growing portfolio of consumer-centric brands in large, scalable markets Growth-oriented mindset focused on leveraging synergies, innovation and digitization Attractive economics with clear strategy for continued
Slide 23: Q&A
Q&A
Slide 24: Appendix
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Slide 25: Q4'24 Group Headlines
Q4’24 Group Headlines Group Revenue Group EBITDA Group Net Profit1 AED MN AED MN AED MN +1.3% -28.8% -37.0% 1,290 1,307 94 224 67 141 Q4'23 Q4'24 Q4'23 Q4'24 Q4'23 Q4'24 +12.3% excluding EGP devaluation EBITDA Margin 10.8% Net Profit Margin 5.1% 1Net profit including minority interests 25
Slide 26: Q4'24 Segment Performance
Q4’24 Segment Performance Snacking Protein & Frozen Revenue, AED MN EBITDA1, AED MN Revenue, AED MN EBITDA1, AED MN +15.9% y-o-y -93.5% y-o-y, EBITDA margin -2,280bps -10.0% y-o-y -24.2% y-o-y, EBITDA margin -172bps 495 103 260 427 234 29 22 7 Q4'23 Q4'24 Q4'23 Q4'24 Q4'23 Q4'24 Q4'23 Q4'24 Water &
Slide 27: FY'24: Over AED 159MN in Revenue Generated from Strategic Product Innovation
FY’24: Over AED 159MN in Revenue Generated from Strategic Product Innovation Snacking Protein & Frozen Veg Dates: Chocolate-coated Jordan: Launched new range of nuts chicken strip products under Nabil Abu Auf: Instant coffee jars brand for both local and export and espresso beans, savory markets, as
Slide 28: Investing in Growth: Protein Expansion in KSA
Investing in Growth: Protein Expansion in KSA Project overview ▪ Location: Jeddah, KSA ▪ Category: Protein ▪ Capex c. AED 90MN (Phase 1) ▪ Available land 9,436 sqm; Built-up area 6,600 sqm ▪ Capacity ≈ 6,500- 8,700 tons/annum ▪ ≈ 50 SKUs Rationale ▪ Strengthen footprint in KSA ▪ Strong local demand;
Slide 29: Snacking: Innovation Led growth in Dates and Healthy Snacks
Snacking: Innovation Led growth in Dates and Healthy Snacks, Combined with Excellent Execution and Agility in Abu Auf Innovations Drive Market Share Growth Agility and Execution Excellence in Auf Innovation Strong Results in FY’24 • Launched new Date Crown chocolate-coated nuts, and other • AED Reve
Slide 30: Protein & Frozen: Expanding Capabilities and Gain on Innovations
Protein & Frozen: Expanding Capabilities and Gain on Innovations Nabil: Portfolio Premiumization Atyab: Marketing Activation New Investment Updates Nabil launched actively promoted new premium Effective coordination between on-ground KSA: New Protein facility in Jeddah officially line category that
Slide 31: Water: Broad-based strong Performance with Improved Business Fundamentals
Water: Broad-based strong Performance with Improved Business Fundamentals Delivering Our Water Strategy Across GCC & Turkey Winning with Communications Al Ain bottled water retaining its market leadership position Continue to strengthen brand loyalty through: Notable profitability growth • Al Ain Wa
Slide 32: Agri-Business: Growing Together with our Customers
Agri-Business: Growing Together with our Customers Growth and Innovation Focus on Brand Equity Building Flour: Grand Mills: 2 new products: Shandar and Asad • Building customer loyalty flour, to meet the needs of our • Branding distribution vehicles customers • Enhance brand recall Agrivita: New Dai
Slide 33: 5-year Digital Roadmap with Clear Priorities
5-year Digital Roadmap with Clear Priorities Priority #1 Priority #2 Best Customer / Consumer Experience Empower Employees in a Collaborative Environment • Seamless omnichannel experience with optimized • Integrated business planning and cross-domain online and in-store execution collaboration • Str
Slide 34: Progress on Digital Agenda
Progress on Digital Agenda Key Achievements in FY’24 Accelerate Digital Transformation by Adopting AI Launched new B2B Customer Portal, which We have partnered with the biggest players in AI to: further streamlines how our HORECA customers can order our products • Predict customer inquiries, resulti
Slide 35: Agthia Sustainability Strategy Pillars
Agthia Sustainability Strategy Pillars Environmental Integrity Scaling Health and Wellness • 6.3% reduction in CO2 emissions FY’24 vs FY’23 • Continued Growth in our Water Sustainable Portfolio: • RECAPP Sponsorship: 898.2 tons CO2 reduced; 451.4 tons collected. • 10% growth in Plant based water bot
Slide 36: Board of Directors
Board of Directors Chairman / Vice Chairman Board Member Khalifa Sultan Salmeen Khamis Mohamed Svet Ms. Mariam Maurizio Gil Adotevi Ms. Caitlin Ms. Sharmila Al Suwaidi Alameri Buharoon Al Varadzhakov Ahmed Patarnello Nguyen Murat Chairman Vice Chairman Shamsi Al Remeithi Head of Digital Advisor & Bo
Slide 37: Strong Leadership Team with Track Record of Value Creation
Strong Leadership Team with Track Record of Value Creation Group Functions Business Units Hala Alan Ramy Vandy Dos Rafik Abdulla Mahammad Rafik Ahmad Ahmed Nizar Hobeiche Smith Merdan Santos Lawendy Al Marzooqi Amro Lawendy Yahya Farrag Kayali Katounas Acting Chief Interim President - President – Ch
Slide 38: Summary Profit & Loss Statement
Summary Profit & Loss Statement AED'000 FY’23 FY’23 y-o-y Revenue 4,914,644 4,561,210 7.7% Cost of sales -3,448,429 -3,200,212 7.8% Gross profit 1,466,215 1,360,998 7.7% Selling and distribution expenses -611,930 -577,499 6.0% General and administrative expenses -449,223 -352,081 27.6% Research and
Slide 39: Summary Balance Sheet Statement
Summary Balance Sheet Statement AED'000 FY'24 FY’23 FY’22 Property, plant and equipment 1,428,985 1,460,821 1,446,027 Intangible assets & Goodwill 2,394,815 2,408,106 2,421,885 Others 138,154 128,038 104,521 Total non-current assets 3,961,954 3,996,965 3,972,433 Inventories 925,505 926,834 847,275 T
Slide 40: Summary Cash Flow Statement
Summary Cash Flow Statement AED'000 FY'24 FY'23 YoY Profit for the period 321,834 299,576 7.4% Adjustments for: Depreciation & Amortization 223,151 228,585 -2.4% Provisions & Allowances 143,324 26,724 436.3% Others 126,392 153,948 -17.9% Change in: 814,701 708,833 14.9% Inventories Trade and other r
Slide 41: Thank You
Thank You 27 February 2025