Slide 1: Half Year ending 31 December 2015 - Results Presentation
For personal use only Select Harvests Limited (“SHV”) Half Year ending 31 December 2015 - Results Presentation 25 February 2016
Slide 2: Disclaimer & Basis of Preparation
Disclaimer & Basis of Preparation For personal use only This presentation is provided for information purposes only and has been prepared using information provided by the company. The information contained in this presentation is not intended to be relied upon as advice to investors and does not ta
Slide 3: Agenda
Agenda For personal use only Overview Financial Results & Analysis Business Update Outlook Appendices 3 3
Slide 4: Overview
Overview For personal use only 1H16 Reported Net Profit after Tax (“NPAT”) of $23.9m, compared to Restated 1H15 NPAT of $17.0m - up 41% 1H16 Underlying NPAT of $21.1m (excluding the impact of non-recurring items), compared to 1H15 NPAT of $19.6m - up 8% Operating cash flow of $80.8m, compared
Slide 5: Financial Results - Income Statement
Financial Results - Income Statement For personal use only Financial Result ($m) 1H15 1H16 Underlying EBIT $28.8m (1H15 $30.6m) - down 6% ($m) ($m) Almond Div. $25.0m (1H15 $29.7m) down 16% Revenue 100.6 166.4 Food Div. $6.7m (1H15 $4.1m) EBITDA - Underlying 36.6 33.7 Depreciation (6.0) (4.9
Slide 6: Financial Results - Balance Sheet
Financial Results - Balance Sheet For personal use only ($m) Period 31/12/2014 31/12/2015 ending Current Assets excl. Cash 144.0 163.2 Net Debt (inc. lease liabilities) $52.6m Cash 3.3 12.7 Excluding lease liabilities $15.6m Non Current Assets 279.5 276.3 Gearing (Net Debt to Equity) of 17.8%
Slide 7: Financial Results - Cash Flow
Financial Results - Cash Flow For personal use only ($m) 1H15 1H16 Operating cash flow $80.8m – up 339% Working capital decrease of $54.2m EBITDA 36.6 28.8 Proceeds from 2015 crop in 1H16 Change in Working Capital (15.9) 54.2 More than funding higher input hort. program Investing cash flow
Slide 8: Business Status
Business Status For personal use only Almond Division Focussed on delivering low cost position by delivering improved yield, lower cost and improve quality Funded orchard expansion plan in place to increase production to 20,000MT by 2022/3 Food Division Business now well positioned in growth c
Slide 9: Global Market Update
Global Market Update For personal use only Demand Higher prices, softening demand, increased supply and credit squeeze have had an impact Demand is re-emerging in some markets as credit/stock begins to move through the system US Domestic consumption is down 7.9% vs last year Supply US 2015 C
Slide 10: Summary – US (California) Status
Summary – US (California) Status For personal use only Californian Drought (Ref: Californian Government Department of Water Resources) Snowpack - Below Average Snowpack 96% of normal - as at 19 Feb Water Storage - Below Average Storage at 63% of average and 43% of capacity Californian Temp
Slide 11: Select Harvests 2016 Crop Estimate
Select Harvests 2016 Crop Estimate For personal use only Harvest has commenced in all states Good harvest conditions experienced to date Weather outlook for harvest period is clear at this stage 2016 Crop estimate 13,700 tonnes 2015 crop 14,500: this year impacted by tree removal and biannual
Slide 12: Almond Division
Almond Division For personal use only Underlying EBIT ($m) 1H15 1H16 Variance Almond Division 29.7 25.1 -16% FY15 Fully processed, largely sold and contracted $4m positive impact on the 1H16 EBIT due to improved mix Activities Sale & Leaseback completed with First State Super. Greenfield dev
Slide 13: Food Division
Food Division For personal use only Reported EBIT ($m) 1H15 1H16 Variance Food Division 4.1 6.7 64% FY15 Revenue of A$91.7m was up 30.0 % (A$70.6 million 1H15) Strong industrial and Branded sales (Domestic & Export) Lucky Market share remains strong Activities Difficult market due to custome
Slide 14: NuVitality Brand Relaunch
NuVitality Brand Relaunch For personal use only Brand reinvestment continuing 14 14
Slide 15: SHV - Strategy towards 2018
SHV - Strategy towards 2018 For personal use only 1. CONTROL CRITICAL MASS Secure the critical mass of nuts needed to maximize OF ALMONDS profitability and leverage the global almond opportunity. 2. IMPROVE YIELD & CROP Improve yield and overall crop value by perfecting on-farm VALUE and farm to fac
Slide 16: Key Projects Status
Key Projects Status For personal use only Parboil - Value Added Almond Production Initial foundations have been laid and machinery in factory. November commissioning and budget track H2E - Biomass Electricity Cogeneration Plant Equipment is being manufactured. November commissioning and budget t
Slide 17: Almond Growth
Almond Growth For personal use only Mid term growth is assured 17 17
Slide 18: SHV 2016 Business Objectives
SHV 2016 Business Objectives For personal use only 1. Roll out Zero Harm OH&S strategy 2. Improve average mature tree yield equal to or greater than 3.2 tonnes/ha (1.3 tonnes/acre) • Select Harvests FY15 average yield over 3.0 tonnes/ha (1.2 tonnes/acre) 3. Acquire orchards at the right price 4. Imp
Slide 19: Thank you
For personal use only Thank you Please direct any queries to: Paul Thompson Paul Chambers Andrew Angus Managing Director Chief Financial Officer Investor Relations +61 3 9474 3544 +61 3 9474 3544 +61 402 823 757 Please note that background material/data regarding the global almond industry can be fo
Slide 20: Appendix
For personal use only Appendix 20 20
Slide 21: Select Harvests - Financial History
Select Harvests - Financial History For personal use only Source: Company Data 21 21
Slide 22: Select Harvests – Orchard Summary
Select Harvests – Orchard Summary For personal use only Select Harvests Planted Under development Total Almond orchard portfolio Acres Hectares Acres Hectares Acres Hectares Central region Company Owned 4,169 1,688 - - 4,169 1,688 Leased 1,481 600 1,400 567 2,881 1,166 Total 5,650 2,287 1,400 567 7,