Clover Corporation Limited · ASX:CLV
Clover — Shareholder Meeting (November 2023)
36 slides from Clover's shareholder meeting presentation, Nov 23, 2023
Slide 1: 2023 Annual General Meeting
CLOVER CORPORATION LIMITED 2023 Annual General Meeting 23 November 2023
Slide 2: Welcome
OS CLOVER CORPORATION Welcome 23 November 2023
Slide 3: Board Members
Board Rupert Harrington Members Graeme Billings Ian Glasson Peter Davey Toni Brendish Simon Green
Slide 4: Agenda
Agenda • Welcome • Introductions • How to ask Questions • How to Vote • Chairman’s Address • Managing Directors Report Formal Business • Item 1 Adoption of the Annual Accounts • Item 2 – Resolution 1 Adoption of the Remuneration Report • Item 3 – Resolution 2 Re-election of • Item 4 – Resolution 3 R
Slide 5: How to ask a question
How to ask a question • To ask a written question select the Q & A icon • Select the topic your question relates to from the drop-down list • Type your question in the text box and press the send button • To ask a verbal question follow the instructions below the broadcast window.
Slide 6: How to vote
How to vote • When the poll is open, select the vote icon at the top of the screen Items of Business • To vote, select either For, Against or 2A Re-elect Mr Sam Sample as a Director Abstain FOR AGAINST ABSTAIN • You will see a vote confirmation 2B Re-elect Ms Jane Citizen as a Director • To change o
Slide 7: Chairman's Address
Chairman’s Address 23 November 2023
Slide 8: Managing Director's Report 12 Months to July 2023
Managing Director’s Report 12 Months to 31 July 2023 23 November 2023
Slide 9: Vision, Values and Purpose Statement
Vision, Values and Purpose Statement Vision To optimise the health and development of adults, infants and children. Values Respect, Response, Responsibility Purpose In collaboration with key market participants, Clover develops customised high value nutritional ingredients that enhance the wellbeing
Slide 10: Full Year Performance Highlights
Full Year Performance Highlights ♣ Total full year Revenue ♣ New customers and $79.9m up 13.0% on products continue to diversify revenue base FY22 $70.7m driven by increased demand and prebuild GB China approvals ♣ Inventory at $36.9m increased $0.9m on FY22 full year ♣ Net Profit after tax $6.2m do
Slide 11: FY23 Update
FY23 Update ♣ Throughout FY23, Clover prioritized maintaining a COVID-free environment and enhancing our health and safety protocols. ♣ The first half of the year witnessed record-breaking revenue of $44.4 million, although orders slowed during the second half to $35.5 million. ♣ Our inventory posit
Slide 12: Sales by Geography
Sales by Geography EU Sales A$000 Europe/ME ♣ Customers in Europe were less impacted by 27,000 22,000 17,000 the China GB positioning and new 12,000 customers added to revenue. 7,000 ♣ Middle Eastern customers grew through 2,000 2018 2019 2020 2021 2022 2023 new brands and market growth. EU Sales As
Slide 13: Full Year 2023 Results
Full Year 2023 Results ♣ 13% year on year revenue increase. Middle East growth AUD million 4E Reported 4E Reported 31 Jul 2023 31 Jul 2022 offset traditional customer base slowing. Revenue $79.9 $70.7 ♣ Price increases / cost reduction EBITDA $10.0 $11.0 and mix of the customer base sales has offset
Slide 14: Balance Sheet 31 July 2023
Balance Sheet 31 July 2023 AUD Reported Reported ♣ Cash management 31 Jul 2023 31 Jul 2022 Movement continues to be a $M $M $M focus with the Cash 9.4 10.1 (0.7) volatility around revenue Trade Receivables 12.0 19.4 (7.4) Inventories 36.9 36.0 0.9 ♣ Trade receivables Total Current Assets 60.0 66.9 (
Slide 15: Melody Dairies - New Zealand
Melody Dairies - New Zealand Melody Dairies change in Shareholding ♣ Clover Corporation and Landcorp have increased their shareholding buying out Food Ingredients Waikato (FIW), who have ceased to be a shareholder, Clover increased its shareholding by 2% to 43.9% ♣ FIW held the management rights ove
Slide 16: An Update on Growth Platforms
An Update on Growth Platforms Focus on Infant Formula New New Product Market Development Development 8
Slide 17: Growth Platform: Premneo
Growth Platform New products driving future growth ♣ Premneo ♣ Regulatory approval work has commenced across multiple countries. It is expected to take 12-24 months. ♣ Trial product has been successfully packaged in India in preparation for launch upon regulatory approval. ♣ We are actively seeking
Slide 18: Growth Platform: New products
Growth Platform New products driving future growth ♣ New products ♣ Clover has launched 4 new products during the year and recognised sales in Food and Nutraceutical applications ♣ Gelphorm ♣ A DHA emulsion for the fortification of UHT & ESL drinks ♣ Multiple customers across the USA & Asia have the
Slide 19: Growth Platform: Infant formula opportunities
Growth Platform Focus on Infant Infant formula provides new opportunities Formula ♣ The China GB license requires infant formula (IF) manufacturers to include a minimum of 15mg of DHA in stage 1 & 2 products sold through the retail channel ♣ Clover’s microencapsulated DHA powder helps IF manufacture
Slide 20: Growth Platform: New market development
Growth Platform New market development ♣ Clover continues to work with EU manufacturers to achieve improved sensory outcomes for their infant formula following the EU’s regulatory increase of DHA to 20mg/kcal ♣ The Company has commissioned a spray dryer in its R&D facility in Brisbane accelerating n
Slide 21: 1HFY24 Priorities
1HFY24 Priorities ♣ Assisting infant formula manufacturers to meet the new GB standard will grow our revenue ♣ Progressing commercialisation of the Premneo, GelPhorm and other new products ♣ One of Clover’s competitors, BASF, has informed the market they will cease selling powdered fish oil products
Slide 22: FY24 Trading Update
FY24 Trading Update Global Demand ♣ Demand for Clovers products remains robust ♣ The legislated increase in DHA & ARA inclusion in infant formula (IF) provides a significant opportunity for further growth Globally ♣ The 2020 EU regulation to increase the level of DHA in IF has benefited Clover with
Slide 23: FY24 Outlook
FY24 Outlook Previous Outlook statement FY23 results ♣ As we look ahead to FY24 two factors will lead to a normalised growth pattern, a reduction of customers’ infant formula inventory is crucial to boosting revenue in this segment and the market acceptance of our key projects in the general food an
Slide 24: Disclaimer
Disclaimer The release, publication or distribution of this presentation in certain jurisdictions may be restricted by law and therefore persons in such jurisdictions into which this presentation is released, published or distributed should inform themselves about and observe such restrictions. This
Slide 25: Formal Business
Formal Business Item 1 Adoption of the Annual Accounts Item 2 – Resolution 1 Adoption of the Remuneration Report Item 3 – Resolution 2 Re-election of Mr Ian Glasson Item 4 – Resolution 3 Re-election of Ms Toni Brendish Item 5 – Resolution 4 Issue of FY24 Performance Rights Questions Voting Close
Slide 26: Item 1: Adoption of Annual Report
Item 1 Annual Report Adoption of Annual Report
Slide 27: Item 2 - Resolution 1: Remuneration Report
Item 2 - Resolution 1 Remuneration Report Adoption of remuneration report That the remuneration report that forms part of the director’s report for the financial year ended 31 July 2023, be adopted
Slide 28: Item 2 - Resolution 1: Proxy Votes
Item 2 - Resolution 1 Remuneration Report Proxy Votes Votes % Voted For 65,358,015 39.1 Against 1,054,371 0.6 Abstain 112,202 0.1
Slide 29: Item 3 - Resolution 2: Re-election of Mr. Ian Glasson
Item 3 - Resolution 2 Re-election of Mr. Ian Glasson Re-election of Mr. Ian Glasson To consider and if thought fit pass the following resolution as an ordinary resolution That Mr. Ian Glasson who retires in accordance with article 16 of the Company’s constitution and, being eligible, stands for re-e
Slide 30: Item 3 - Resolution 2: Proxy Votes
Item 3 - Resolution 2 Re-election of Mr. Ian Glasson Proxy Votes Votes % Voted For 65,970,188 39.5 Against 597,710 0.4 Abstain 102,924 0.1
Slide 31: Item 4 - Resolution 3: Re-election of Ms. Toni Brendish
Item 4 - Resolution 3 Re-election of Ms. Toni Brendish Re-election of Ms. Toni Brendish To consider and if thought fit pass the following resolution as an ordinary resolution That Ms. Toni Brendish, who retires in accordance with article 16 of the Company’s constitution and, being eligible, stands f
Slide 32: Item 4 - Resolution 3: Proxy Votes
Item 4 - Resolution 3 Re-election of Ms. Toni Brendish Proxy Votes Votes % Voted For 65,946,088 39.5 Against 617,810 0.4 Abstain 106,924 0.1
Slide 33: Item 5 - Resolution 4: Issue of FY24 Performance Rights
Item 5 - Resolution 4 Issue of FY24 Performance Rights Approval of FY24 Performance Rights to be issued to the Managing Director To consider and if thought fit pass the following resolution as an ordinary resolution That for the purposes of Listing Rule 10.14, and for all other purposes, shareholder
Slide 34: Item 5 - Resolution 4: Proxy Votes
Item 5 - Resolution 4 Issue of FY24 Performance Rights Proxy Votes Votes % Voted For 65,236,592 39.1 Against 1,321,715 0.8 Abstain 112,515 0.1
Slide 35: Voting Close
Voting Close • Voting Close • Formal business concluded
Slide 36: Questions
Questions 8 CLOVER CORPORATION Questions