Rusagro Group · RUS:RAGR
Rusagro — Ros Agro — 1H 2018 Earnings Presentation
26 slides from Rusagro's earnings presentation, Aug 13, 2018
Slide 1: Investors Presentation 1H 2018 and Q2 2018
ROS AGRO PLC Investors Presentation 1H 2018 and Q2 2018 13 August 2018
Slide 2: Table of Contents
Table of Contents 1 Summary Key Indicators (IFRS) 3 Business Overview by division (IFRS) 2 10 1H 2018 and Q2 2018 (IFRS) Summary 3 Additional information 21 2
Slide 3: Section 1: Summary Key Indicators (IFRS)
Section 1 Summary Key Indicators (IFRS) 1H 2018 and Q2 2018 vs 1H 2017 and Q2 2017
Slide 4: Net revenue, Adjusted EBITDA Q2 2018
Net revenue, Adjusted EBITDA: Actual Q2 2018 vs Actual Q2 2017 Comments Net revenue (IFRS) Actual Q2 2018 vs Actual Q2 2017 Net Revenue decreased by RR 1,431 million (-8%): 25,000 • Sugar sales decreased by RR 1,734 million (-24%) as a result of a decrease in sales prices of sugar and buckwheat and
Slide 5: Net revenue, Adjusted EBITDA 1H 2018
Net revenue, Adjusted EBITDA: Actual 1H 2018 vs Actual 1H 2017 Comments Net revenue (IFRS) Actual 1H 2018 vs Actual 1H 2017 50,000 Net Revenue decreased by RR 4,943 million (-13%): • Sugar sales decreased by RR 3,931 million (-27%) as a result of a decrease in sales prices of sugar and buckwheat and
Slide 6: Statement of Comprehensive income (IFRS)
Statement of Comprehensive income (IFRS) ROS AGRO PLC RR m illion Varianсes Varianсes Description Actual 1H 2018 Actual 1H 2017 Actual 2Q 2018 Actual 2Q 2017 Units % Units % Sales 32,815 37,758 (4,943) (13) 17,547 18,978 (1,431) (8) Net gain/ (loss) on revaluation of biological assets and (900) (3,3
Slide 7: Debt profile (as of 30 June 2018)
Debt profile (as of 30 June 2018) Comments Debt position and liquidity management Variance • Gross debt increased by RR 477 million (+1%) up to RR 47,128 million in RR million 30 June 2018 31 December 2017 • Net debt increased by RR 4,728 million (72%) to RR 11,331 million Units % • Major banks and
Slide 8: Statement of financial position: key changes
Statement of financial position: Key changes 30 June 2018 vs 31 December 2017 Comments ASSETS 170,000 Assets as of 30 June 2018 vs 31 December 2017 • PPE & LT biological assets* increased by RR 4,887 million (RR +4,535 million in Meat, RR +405 million in Oil, RR -317 million in Agriculture). Higher
Slide 9: Cash Flows: Actual 1H 2018 vs Actual 1H 2017
Cash Flows: Actual 1H 2018 vs Actual 1H 2017 Cash Flows according to Management view (Not IFRS presentation)*RR m illion Actual Actual Variances 1H 2018 1H 2017 Units % Comments Cash flow s from operating activities Profit / (loss) before incom e tax 2,733 107 2,626 2,450 In 1H 2018 cash and cash eq
Slide 10: Section 2: Business Overview by division (IFRS)
Section 2 Business Overview by division (IFRS) 1H 2018 and Q2 2018 vs 1H 2017 and Q2 2017
Slide 11: Meat Q2
Meat Key indicators Actual Q2 2018 vs Actual Q2 2017 (IFRS) Comments Meat: sales, Adjusted EBITDA and Adjusted EBITDA margin 40% Sales (RR -215 million, -4%): 6,000 33% • a decrease in sales volume of livestock pigs by 7 ths tn or 49%, that was partly compensated by 5,305 an increase in sales volume
Slide 12: Meat 1H
Meat Key indicators Actual 1H 2018 vs Actual 1H 2017 (IFRS) Comments Meat: sales, Adjusted EBITDA and Adjusted EBITDA margin 60% Sales (RR -620 million, -6%): 10,037 • a decrease in sales volume of livestock pigs by 22 ths tn or 61%, that was partly compensated by 10,000 9,417 an increase in sales v
Slide 13: Sugar Q2
Sugar Key indicators Actual Q2 2018 vs Actual Q2 2017 (IFRS) Comments Sugar: sales, Adjusted EBITDA and Adjusted EBITDA margin 10,000 Sales decreased (RR -1,734 million, -24%): • Sugar sales revenue decreased by RR 1,734 million due to sales price decreased by 10% and sales volume decreased by 17% (
Slide 14: Sugar 1H
Sugar Key indicators Actual 1H 2018 vs Actual 1H 2017 (IFRS) Comments Sugar: sales, Adjusted EBITDA and Adjusted EBITDA margin 40% Sales decreased(RR -3,931 million, -27%): 14,601 • Sugar sales revenue decreased by RR 3,629 million due to sales price decreased by 13% and 15,000 sales volume decrease
Slide 15: Agriculture Q2
Agriculture Key indicators Actual Q2 2018 vs Actual Q2 2017 (IFRS) Comments Agriculture: sales, Adjusted EBITDA and Adjusted EBITDA margin 2,500 Sales (RR +409 million, +31%): • Sales increased thanks to higher sales volume of all crops (except for sunflower and soybean) 9% 1,745 5% and increase in
Slide 16: Agriculture 1H
Agriculture Key indicators Actual 1H 2018 vs Actual 1H 2017 (IFRS) Comments Agriculture: sales, Adjusted EBITDA and Adjusted 6,000 EBITDA margin 50% Sales (RR -1,794 million, -36%): 5,006 • the major positive factors are a significant increase in sales volume of barley and higher sales 40% price of
Slide 17: Oil & Fats Q2
Oil & Fats Key indicators Actual Q2 2018 vs Actual Q2 2017 (IFRS) Comments Oil & Fats: sales, Adjusted EBITDA and Adjusted EBITDA margin Sales (RR +298 million, +6%: EZHK RR +290 million, +15%; SAPP RR +39 million, +1%; Far East RR 5,551 +227 million, +32% and Eliminations RR -308 million). 5,253 5,
Slide 18: Oil & Fats Q2: volumes and prices
Oil & Fats Key indicators Actual Q2 2018 vs Actual Q2 2017 (IFRS) Comments Mayonnaise, margarine and bottled oil: volume and prices (excl. VAT) Sales and prices in Oil & Fats: 20 19 83 82.3 82.3 • sales volume of mayonnaise decreased by 4 ths tn (-28%) with 1% decrease in price; 81.5 • sales volume
Slide 19: Oil & Fats 1H
Oil & Fats Key indicators Actual 1H 2018 vs Actual 1H 2017 (IFRS) Comments Oil & Fats: sales, Adjusted EBITDA and Adjusted EBITDA margin Sales (RR +407 million, +4%: EZHK RR -122 million, -3%; SAPP RR +300 million, +6%; Far East RR 15% +281 million, +16% and Eliminations RR -51 million). 11,000 10,0
Slide 20: Oil & Fats 1H: volumes and prices
Oil & Fats Key indicators Actual 1H 2018 vs Actual 1H 2017 (IFRS) Comments Mayonnaise, margarine and bottled oil: volume and prices (excl. VAT) Sales and prices in Oil & Fats: 31 82 • 30 28 80.6 sales volume of mayonnaise decreased by 10 ths tn (-33%) with 1% increase in price; 79.6 27 79.5 77.8 tho
Slide 21: Section 3: Additional information
Section 3 Additional information
Slide 22: Adjusted EBITDA 1H 2018 (IFRS) Breakdown by divisions
Adjusted EBITDA 1H 2018 (IFRS) Breakdown by divisions ROS AGRO PLC RR m illion 1H 2018 Sugar Meat Agriculture Oil and Fat Other Elim ination Total Sales 10,671 9,417 3,212 10,029 114 (628) 32,815 Net gain / (loss) on revaluation of biological assets and agricultural produce - (88) (618) - - (195) (9
Slide 23: Adjusted EBITDA 1H 2017 (IFRS) Breakdown by divisions
Adjusted EBITDA 1H 2017 (IFRS) Breakdown by divisions ROS AGRO PLC RR m illion 1H 2017 Sugar Meat Agriculture Oil and Fat Other Elim ination Total Sales 14,601 10,037 5,006 9,621 31 (1,540) 37,758 Net gain/ (loss) on revaluation of biological assets and agricultural produce - (411) (1,493) - - (1,48
Slide 24: Statement of financial position (IFRS)
Statement of financial position (IFRS) ROS AGRO PLC RR m illion 31 December Variances 30 June 2018 2017 Units % ASSETS Current assets Cash and cash equivalents 2,542 4,860 (2,318) (48) Restricted cash 0.05 0.04 0 7 Short-term investments 18,230 18,458 (228) (1) Trade and other receivables 3,279 3,19
Slide 25: Statement of financial position (IFRS) - continuance
Statement of financial position (IFRS) - continuance ROS AGRO PLC RR m illion 31 December Variances 30 June 2018 2017 Units % Liabilities and EQUITY Current liabilities Short-term borrow ings 6,314 8,864 (2,549) (29) Trade and other payables 8,017 6,773 1,244 18 Current income tax payable 138 64 74
Slide 26: Average FX rate, USD/RUR
Average FX rate, USD/RUR RUSAGRO Ruble's exchange rate for jul. 2016 - jun. 2017 70.0000 68,0000 66,0000 64,0000 62,0000 60,0000 58,0000 36,0000 54,0000 52,0000 50,0000 Jul-16 Aug-16 Sep-16 oct-16 Now-16 Dee-16 Jan-17 Feb-t7 Mor-17 Apr-a7 May17 Jun-a7 —eusp/nus © max © min trendline Ruble's exchange