Apetit Oyj · OMXHEX:APETIT
Apetit Oyj — H1 2018 Earnings Presentation
21 slides from Apetit Oyj's earnings presentation, Aug 16, 2018
Slide 1: Half-Year Review January–June 2018
Apetit Oyj Half-Year Review January–June 2018 Juha Vanhainen, CEO 16.8.2018 APETIT OYJ | Half-year review January – June 2018 16.8.2018 1
Slide 2: Key events of January–June 2018
Key events of January–June 2018 Nearly EUR 10 Investment in a Shareholding in the Avena Nordic Grain As expected, the million investment bioenergy plant in food business and Viljelijän Berner weak harvest of in a new patty and conjunction with the development joined their 2017 continued in ball prod
Slide 3: Especially grain trade affected by two substantially weaker harvest seasons than average
Especially grain trade affected by two substantially weaker harvest seasons than average • Sales volumes and the profit outlook for first half of 2018 were burdened by the weak harvest of 2017 • In addition, sales volumes and the profit outlook for 2018 are burdened by the poor harvest outlook of th
Slide 4: Continuing operations 1-6 2018
Continuing operations* 1-6 2018 April-June 2018 (Q2) January-June 2018 (H1) • Net sales EUR 72.8 (76.8) million • Net sales EUR 132.5 (150.8) million • Operational EBITDA EUR 0.1 (0.8) million • Operational EBITDA EUR 0.1 (1.2) million • Operational EBIT EUR -1.4 (-0.5) million • Operational EBIT -2
Slide 5: Solid financial position
Solid financial position EUR million 30.6.2018 30.6.2017 Working capital, continuing operations 28.5 25.3 Group’s net cash flow from operating activities H1/2018 -0.1 23.1 Group’s total equity 104.0 109.0 Group’s net debt -4.9 -3.6 Group’s Equity ratio, % 76.1 % 71.1 % Group’s Gearing, % -4.7 % -1.5
Slide 6: Measures to improve profitability
Measures to improve profitability • During the spring Apetit has implemented adjustment measures to improve profitability • Personnel reductions • Cost cuttings • Other cost saving measures • Combined impact of measures in 2018 will be EUR 1.0 million and the annual total impact will be EUR 1.8 mill
Slide 7: New profit guidance for 2018
New profit guidance for 2018 • The Group’s full-year operational EBIT from continuing operations is expected to be lower year- on-year (2017: EUR 1.3 million). Due to the seasonal nature of the Group’s operations, most of the annual profit is accrued in the second half of the year. Sales volumes and
Slide 8: Business segments reviews
Business segments reviews APETIT OYJ | Half-year review January – June 2018 16.8.2018 8
Slide 9: Food Solutions: Frozen and fresh products groups increased faster than the market
Food Solutions Frozen and fresh products groups increased faster than the general growth of the market • Faster increase in frozen and fresh products group than the general Net sales, EUR million, H1 2017 / H1 2018 growth of the market 1-6 2017 1-6 2018 • The reduction in the service sales network h
Slide 10: Nearly EUR 10 million investment in a new production line will double capacity
Nearly EUR 10 million investment in a new production line will double the production capacity • Vegetable and fish based patties and balls as well as other new vegetable-based value-added products will be produced in the production line • The product group’s annual growth has been about 20% on the a
Slide 11: Oilseed Products: Net sales and delivery volumes increased slightly
Oilseed Products Net sales and delivery volumes in tonnes increased slightly • Net sales and delivery volumes in tonnes increased slightly Net sales, EUR million, H1 2017 / H1 2018 year-on-year in January–June 1-6 2017 1-6 2018 • Apetit will build a bioenergy plant in conjunction with the Avena 33,8
Slide 12: Bioenergy plant will significantly reduce the carbon dioxide emissions of the Group
Bioenergy plant will significantly reduce the carbon dioxide emissions of the entire Group • Apetit will build a bioenergy plant in conjunction with the Avena Kantvik Oy rapeseed oil milling plant in Kirkkonummi, Finland • Bioenergy plant will replace the current energy solution that uses non- renew
Slide 13: Increasing value of oilseeds with added value products as a strategic goal
Increasing value of oilseeds with added value products as a strategic goal • Securing the continuity of Finnish oilseed production and increasing its added value • Apetit is developing a rapeseed ingredient with high nutritional content for the international food market • The ingredient has a unique
Slide 14: Grain Trade: The weak harvest of 2017 lowered volumes substantially
Grain Trade The weak harvest of 2017 lowered grain trade volumes substantially • Net sales and delivery volumes in tonnes decreased Net sales, EUR million, H1 2017 / H1 2018 substantially from the comparison period 1-6 2017 1-6 2018 • Harvest was weak by quantity and partly by quality: sales 72,4 gr
Slide 15: The price of wheat is at its highest in four years
The price of wheat is at its highest in four years 350 • Wheat price on the international markets has been on the rise in last months and 300 is at its highest in four years • The changes in wheat prices 250 reflect to other food and feed grain prices EUR / tonne 200 • Market volatility has been rel
Slide 16: Viljelijän Avena Berner – new Finnish partnership for grain and oil crops trade
Viljelijän Avena Berner – new Finnish partnership for grain and oil crops trade and in the use and purchase of agricultural inputs • Apetit Group’s Avena Nordic Grain Ltd and Farmer’s Berner merged their purchase and sales organisations on input and grain trade • The new operating model combines str
Slide 17: Implementation of strategy
Implementation of strategy APETIT OYJ | Half-year review January – June 2018 16.8.2018 17
Slide 18: APETIT OYJ | Half-year review January – June 2018
APETIT OYJ | Half-year review January – June 2018 16.8.2018 18
Slide 19: Operating environment backed up by strategic choices – consumption of vegetables still increasing
Operating environment backed up by strategic choices – consumption of vegetables still increasing • Consumption of vegetables is increasing • Many have added up vegetables and different vegetable options to their diet • Taste is still crucial factor in decision of purchasing and in repeating the pur
Slide 20: Strategic actions build foundation for future
Strategic actions build foundation for future • Apetit has continued actions in its focus areas in internationalisation, renewing and efficiency improvement based on strategy published in March 2018 • Investment of new patty and ball production line at Säkylä • Building a bioenergy plant in Kirkkonu
Slide 21: #convenience Apetit continues to develop and innovate
#convenience Apetit continues to develop and innovate vegetable-based eating with new products in 2018 #veggie #morevegetables #sustainability APETIT OYJ | Half-year review January – June 2018 16.8.2018 21