Fraser & Neave Holdings Bhd. · MYX:F&N
Fraser & Neave Holdings Bhd — FY2020 Earnings Presentation
29 slides from Fraser & Neave Holdings Bhd's earnings presentation, Nov 4, 2020
Slide 1: Full Year FY2020 Group Financial Highlights
FRASER & NEAVE HOLDINGS BHD FULL YEAR FY2020 Fraser & Neave Holdings Bhd Group Financial Highlights ……………………………………………………… 4 November 2020
Slide 2: Important Notice
FRASER & NEAVE HOLDINGS BHD Important Notice Certain statements in this Presentation constitute “forward-looking statements”, including forward-looking financial information. Such forward looking statements and financial information involve known and unknown risks, uncertainties and other factors wh
Slide 3: FY2020 F&NHB Group Financial Performance
FY2020 F&NHB GROUP FINANCIAL PERFORMANCE
Slide 4: Full Year 2020 F&NHB Group Financial Performance
FRASER & NEAVE HOLDINGS BHD Full Year 2020 Revenue Operating profit FULL YEAR FY2020 (RM'mil) (RM'mil) F&NHB GROUP RM3,988.5 RM515.2 FINANCIAL -2.2% -1.0% PERFORMANCE Profit before tax ("PBT") PBT margin (RM'mil) (%) F&NHB recorded resilient RM522.9 13.1% -1.9% 0.0 p.p full year performance Profit a
Slide 5: Group Revenue Contracted Minimally to RM3.99 bil amidst COVID-19
FRASER & NEAVE HOLDINGS BHD Group Revenue Contracted Minimally to RM3.99 bil amidst COVID-19 Pandemic - Sustained by Strong 1Q, 4Q Domestic Recovery and Robust Exports Revenue FY2020 Revenue by Business Segment (RM'mil) F&B Malaysia : F&B Thailand (% ) ------------------------------------------- ---
Slide 6: Group Operating Profit Remained Stable at -1.0% vs FY19
FRASER & NEAVE HOLDINGS BHD Group Operating Profit Remained Stable at -1.0% vs FY19 - Strong F&B Thailand Performance and Concerted Efforts to Manage Costs Operating Profit FY2020 Operating Profit by Business Segment (RM'mil) F&B Malaysia : F&B Thailand (% ) -----------------------------------------
Slide 7: F&B Malaysia
FRASER & NEAVE HOLDINGS BHD F&B Malaysia − Fast tracked e-commerce strategies: F&N Life platform launched − Fast track MENA growth : A subsidiary in Dubai set up 4Q 2020 v 4Q 2019 • Q4 revenue - marginal 0.6% decline • Led by the export markets (export revenue grew 2.4%) • Recovery in domestic marke
Slide 8: F&B Thailand
FRASER & NEAVE HOLDINGS BHD F&B Thailand − Moderate domestic decline mitigated by strong exports − Exports (Cambodia, Laos, Others) grew 8.7% to RM357 mil Q4 2020 v Q4 2019 • Q4 revenue : slight decline of 3.7% (- 1.7% in Thai Baht terms) • Managing higher Q3 trade stocks in the domestic Thai market
Slide 9: Export Markets Contributed Close to RM800 Mil Revenue
FRASER & NEAVE HOLDINGS BHD Export Markets Contributed Close to RM800 Mil Revenue Amidst the Pandemic • Export to 82 countries worldwide • Comprise 20.0% of total revenue of the Group (2019: 17.9%) • Exports ex-Malaysia: 9.7% vs 2019 • Exports ex-Thailand: 8.7% vs 2019 Revenue from halal markets sur
Slide 10: Final Dividend Maintained at 33 sen/share
FRASER & NEAVE HOLDINGS BHD Final Dividend Maintained at 33 sen/share (2019: 33 sen/share) FY 2020 Change 4 § Final single tier dividend of 33 sen per share (2019: 33 sen per share) 1 Total equity 2,690.4 6.4% § Takes into account Group’s capital (RM'mil) position, working capital Total assets requi
Slide 11: Full Year Highlights
FULL YEAR HIGHLIGHTS
Slide 12: What's New?
What’s • 100PLUS Zero FRASER & NEAVE HOLDINGS BHD • F&N Ice Mountain Sparkling Water • CARNATION Plus Sweetened Condensed Milk New? – Original, Grapefruit & Lemon with 0% Fat • F&N Teh Tarik – Ori & Less Sweet • TEAPOT Sweetened Condensed Milk Squeeze Tube • OYOSHI Gold No Sugar Green Tea – Kabusech
Slide 13: F&N Life platform: 250 SKUs
FRASER & NEAVE HOLDINGS BHD Official Launch in January 2020 Scaled up in March 2020 during MCO 20,000 App downloads to-date 250 SKUs Available
Slide 14: Largest Virtual 'Teh Tarik' Mamak Session
FRASER & NEAVE HOLDINGS BHD Largest Virtual ‘Teh Tarik’ Mamak Session Hosted by F&N Teh Tarik Ori Record-breaking Most Number of Participants in a Participated by event Virtual ‘Teh Tarik’ Mamak Session 667 Malaysians
Slide 15: Our Support Towards Nation's Frontliners & Community in Need
FRASER & NEAVE HOLDINGS BHD OUR SUPPORT TOWARDS NATION’S FRONTLINERS & COMMUNITY IN NEED DURING MCO Contributed >650,000 products to keep them hydrated and energised
Slide 16: Tabahkan Rakyat Malaysia di Ramadan Mulia Programme
FRASER & NEAVE HOLDINGS BHD “TABAHKAN RAKYAT MALAYSIA DI RAMADAN MULIA” PROGRAMME F&N has distributed >500,000 products to about 10,000 underprivileged families in Malaysia
Slide 17: Recognition towards Our Strong Halal Commitment
Recognition towards Our Strong Halal Commitment o— THE WORLD HALAL Mo EXCELLENCE AWA2DS 2020 HALAL FOOD & BEVERAGE EXCELLENCE AWARD FRASER-AND NEAVE HOLDWGS BERHAD yi ¥ Bf : Ss & — —— : ———= FRASER & NEAVE HOLDINGS BHD FaN DAIRIES THAILAND Halal Food and Beverage Thailand Best Halal Excellence Award
Slide 18: Prospects
FRASER & NEAVE HOLDINGS BHD Prospects • Cautious amidst prolong COVID-19 pandemic and uncertainties both local and global. • Crisis provides opportunity for reset and ‘reimagine’ to fuel growth and innovation. • Focus on three strategic priorities : Innovation, Cost Competitiveness and Excellence in
Slide 19: Investing for the Future
INVESTING FOR THE FUTURE “ Our long heritage taught us to look beyond crisis “”
Slide 20: Milk tablet line - Completed, Rojana Plant, Thailand
FRASER & NEAVE HOLDINGS BHD Milk tablet line - Completed Rojana Plant, Thailand Photo taken on 15 March 2020 • Commercialised new line to produce F&N Magnolia Milkies in February 2020 • Entered a new adjacent product category • Small revenue but high visibility
Slide 21: Solar PV System - Completed, Rojana Plant, Thailand
FRASER & NEAVE HOLDINGS BHD Solar Photovoltaic (PV) System - Completed Rojana Plant, Thailand • Commissioned since April 2020 • Cost 30 mil Baht • 1MWp generating capacity • Reduce the plant’s energy offtake from the grid, lowering both energy cost as well as carbon footprint
Slide 22: Chilled Production Capability - Completed, Pulau Indah Plant
FRASER & NEAVE HOLDINGS BHD Chilled Production Capability - Completed Pulau Indah Plant, Malaysia • The chilled in-sourcing initiative is part of RM40 mil investment in Pulau Indah to support health & wellness growth • More cost competitive, better control of quality and inventory, and for future ca
Slide 23: Expansion of Production Capability - Shah Alam Plant
FRASER & NEAVE HOLDINGS BHD Expansion of Production Capability - Completed Shah Alam Plant, Malaysia • Upgrade and expansion of product & new pack-types at Shah Alam Plant • Investments to cater to changing consumers’ needs; and reduce carbon footprint (cordial line)
Slide 24: Integrated Warehouse - In progress, Shah Alam Plant
FRASER & NEAVE HOLDINGS BHD Integrated Warehouse – In progress Shah Alam Plant, Malaysia • Integrated warehouse building with Automatic Storage & Retrieval System (ASRS) with capacity of over 50,000 pallets • Able to maximise storage efficiency, reduce operational costs, shorten the delivery lead ti
Slide 25: Production Plant for Drinking Water & Warehouse - Kota Kinabalu
FRASER & NEAVE HOLDINGS BHD Production Plant for Drinking Water & Warehouse – In Progress Kota Kinabalu Industrial Park, Malaysia Photo taken on 15 March 2020 • The investment signals our impending entry into drinking water business in Sabah • Cost savings by in-sourcing of warehousing needs in Kota
Slide 26: Solar PV System to be Installed at 3 plants in Malaysia
FRASER & NEAVE HOLDINGS BHD Solar Photovoltaic (PV) System to be Installed 3 plants in Malaysia (Shah Alam, Pulau Indah, Bentong) • Part of RM30 mil commitment over two years into renewable energy programmes and projects that contribute to energy efficiency and carbon emission reduction • The 10 MWp
Slide 27: New Regional Distribution Centre, Rojana, Thailand
FRASER & NEAVE HOLDINGS BHD New Regional Distribution Centre (“RDC”) Rojana, Thailand • New 20,000 square metres RDC in Rojana, Thailand, equipped with ASRS - RM57 million • Fully integrated distribution centre with an enterprise resource planning system and efficient information flow. • Expected to
Slide 28: To sustain our 137 years legacy
“ To sustain our 137 years legacy, we will continue to explore further investments including fresh capex projects in Malaysia and Thailand. We will announce when ready. “”
Slide 29: Thank You
THANK YOU
Fraser & Neave Holdings — FY2020 Earnings Presentation on 6ix