M.p. Evans Group Plc · LSE:MPE
M.p. Evans — FY2024 Earnings Presentation
25 slides from M.p. Evans's earnings presentation, Mar 25, 2025
Slide 1: 2024 full year results
2024 full year results Record profits, record dividends, and well placed for increasing returns 25 March 2025 A producer of sustainable Indonesian palm oil 1
Slide 2: 2024 highlights
2024 highlights FINANCIAL HIGHLIGHTS OPERATIONAL HIGHLIGHTS Revenue Gross profit CPO pricing PK pricing 15% increase 49% increase 13% increase 48% increase to US$352.8 million to US$116.6 million to US$823 per tonne to US$525 per tonne (2023: US$307.4 million) (2023: US$78.5 million) (2023: US$729 p
Slide 3: Strategy update (REGY)
Strategy update (REGY) M.P. Evans is a responsible producer of sustainable Indonesian palm oil, striving for excellence in all its operations, with a focus on continuing growth and offering an increasing yield. Responsibility Excellence Growth Yield • Increase in certified • Investment in improving
Slide 4: Vegetable-oil market
Vegetable-oil market Main producers of palm oil 2024 • Lower Indonesian palm production levels following period of dry weather in H2 2023 • Global vegetable-oil consumption increased by 3% in 2024 Indonesia 57% Malaysia 24% • Indonesian bio-fuel ambitions continue to increase • EUDR legislation post
Slide 5: Palm-oil market
Palm-oil market 2024 pricing • Pricing increased in 2024, particularly in H2 • Average cif Rotterdam price for year of US$1,084 per tonne • Average mill-gate price for Group production US$823 per tonne in year, up by 13% on 2023 • Pricing has remained strong in early part of 2025 Rotterdam to EMG pr
Slide 6: Crop, production and sustainable output
Crop, production and sustainable output 2024 2023 24% 26% 18% 17% 31% 38% 58% 23.2% 57% 23.4% 69% 62% Crop processed CPO produced Crop processed CPO produced Group Scheme smallholders Independent Certified CPO Non-certified CPO • Total crop processed in line with prior year, but with a change in the
Slide 7: 2024 financial performance
2024 financial performance 7
Slide 8: 2024 financial analysis: revenue and cost per tonne
2024 financial analysis: revenue and cost per tonne Revenue Group cost per tonne (own crop) 2024: 2023: 2024: 2023: • US$352.8m US$307.4m US$427 US$410 2024 2023 2024 2023 US$m US$m Labour 36% 34% CPO 297.8 266.5 Fertiliser 12% 18% PK 40.9 28.6 Depreciation 21% 18% FFB 14.1 12.2 Central costs 7% 7%
Slide 9: 2024 financial analysis: gross profit
2024 financial analysis: gross profit 130 47.9 120 2.9 116.6 7.2 113.7 111.4 110 (1.3) (0.5) (15.0) (3.1) 100 90 80 78.5 70 Gross profit Sales Purchase price Subtotal Volume Fertiliser price Extraction rate Other Subtotal Foreign Gross profit 2023 price exchange 2024 Operating profit Profit for the
Slide 10: 2024 financial analysis: cash generation
2024 financial analysis: cash generation 2.4 Dividends from associates Sources 39.3 152.6 Opening cash Cash from operations (US$m) (15.8) (21.1) (21.6) (6.0) (32.3) (13.4) 79.2 Uses Tax Debt Capex Acq. Dividends SBB Closing cash (US$m) payments (3.4) Interest (1.5) Other Capital allocation balancing
Slide 11: 2024 financial analysis: dividends
2024 financial analysis: dividends 60 Interim Final 50 40 30 20 10 0 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 • Normal dividend of 52.5p per share for 2024, up 17% on prior year • Further extension of over 30-year progressive dividend policy with a focus on sustainable dividend growth
Slide 12: 2024 sustainability
2024 sustainability 12
Slide 13: Sustainability: emissions and zero-waste approach
Sustainability: emissions and zero-waste approach 2024 2023 2022 2021 tCO2e tCO2e tCO2e tCO2e Carbon emissions Scope 1 199,700 203,900 194,200 188,000 Scope 2 700 600 500 400 Scope 3 1,589,300 2,046,700 2,275,200 2,594,400 1,789,700 2,251,200 2,469,900 2,782,400 Reduction from baseline year 36% 19%
Slide 14: Sustainability: conservation and biodiversity
Sustainability: conservation and biodiversity Mangrove forest at Bumi Mas Biodiversity project established added to Group’s conservation at Bangka estate during year, areas, now 8,000ha or 12% of including creation of hedgerows planted area. alongside estate roads. 14
Slide 15: Outlook
Outlook
Slide 16: Outlook: current trading
Outlook: current trading Crop 2 months ended Increase/ 2 months ended 28 February 2025 (decrease) 29 February 2024 Tonnes % Tonnes Own crops 150,100 5 143,600 Scheme-smallholder crops 50,000 16 43,200 Independent crops purchased 39,500 (33) 58,900 239,600 (2) 245,700 Price • Average tender price for
Slide 17: Outlook: focus on growth
Outlook: focus on growth Growth 2.0 Own crop • Cropping levels recovering from impact of 1.8 Scheme-smallholder crop dry weather Independent-smallholder crop • Improving crop at newly acquired locations 1.6 Maximum milling capacity will support continuing growth 1.4 Capital allocation 1.2 (tonnes mi
Slide 18: Outlook: summary
Outlook: summary 2024 2025 and beyond • Strong pricing environment to start Revenue Mill gate price 2025 – tenders over US$850 15% increase to US$352.8m 13% increase to US$823 per tonne • Crop profile recovering after challenging 2024 • Mix of crop processed being actively Earnings per share Normal
Slide 19: Appendices
Appendices 1. The Group: who we are 2. Summary operational information 3. Summary financial information 4. Palm oil in context 5. Oil palm life cycle 19
Slide 20: 1. The Group: who we are
1. The Group: who we are M.P. Evans (AIM: MPE) is a long-term investor in Indonesian palm oil. The Group is committed to sustainable production and works in partnership with local communities and other stakeholders to deliver continued value. 150 years A producer 12,500+ Group with a of sustainable
Slide 21: 2. Summary operational information
2. Summary operational information Increase/ 2024 (decrease) 2023 Tonnes ‘000 % Tonnes ‘000 Crop Own crops 937 2 923 Scheme-smallholder crops 286 3 278 Independent crops purchased 386 (8) 422 1,609 (1) 1,623 CPO production Group mills 356 (2) 362 Third-party mills 16 - 16 372 (2) 378 21
Slide 22: 3. Summary financial information
3. Summary financial information 2024 2023 Revenue US$m 352.8 307.4 Gross profit US$m 116.6 78.5 Gross margin % 33 26 Profit for the year US$m 90.6 56.4 Sustainability premium income US$m 5.5 6.5 Group cost per tonne US$ 410 427 Total cost per tonne US$ 519 498 Earnings per share pence 129.6 78.1 Di
Slide 23: 4. Palm oil in context
4. Palm oil in context Vegetable-oil production • Oil palms produce fresh fruit bunches (ffb) continuously over their 25-year life. Competing vegetable-oil seeds are annual crops. • Palm is extremely efficient in its use of land: it produces 40% of the world’s vegetable oil on only 8% of the area de
Slide 24: 5. Oil palm life cycle
5. Oil palm life cycle As at end December 2024, M.P. Evans’ average age of planting was 10.5 years. Yield: 25 tonnes Yield: 20 tonnes Plant begins to yield approx. 30 months post planting. Yield: 15 tonnes Yield: 10 tonnes Plant will continue to yield beyond 25 years. Yield: 5 tonnes However, harves
Slide 25: Thank you
Thank you M.P. Evans Group PLC 3 Clanricarde Gardens Tunbridge Wells TN1 1HQ 01892 516333 www.mpevans.co.uk