Agrana Beteiligungs-ag · VIE:AGR
Agrana Beteiligungs-ag — Investor Day (January 2025)
39 slides from Agrana Beteiligungs-ag's investor day presentation, Jan 16, 2025
Slide 1: Capital Markets Day
Capital Markets Day Day 1 | 16 January 2025 | Vienna
Slide 2: Q1-3 2024|25 Highlights and Financials
THE NATURAL UPGRADE Q1-3 2024|25 Highlights and Financials AGRANA Key Figures: www.agrana.com/en/ir/key- figures-agrana-group/key-figures A G R A N A | C A P I TA L M A R K E T S D AY 2 0 2 5 | D a y 1 , 1 6 J a n 2 0 2 5 2
Slide 3: Overview - Highlights
Q1-3 2024|25 – Publication on 14 January 2025 Overview - Highlights ▪ Nine months into the financial year, business performance remains less than satisfactory ▪ As predicted, EBIT in the third quarter of 2024|25 was very significantly below the year- earlier value, and even slightly negative ▪ Econo
Slide 4: EU vs sugar world market prices
Sugar price reporting EU vs sugar world market prices € Source: Sugar Market situation; European Commission, published on 19 December 2024 A G R A N A | C A P I TA L M A R K E T S D AY 2 0 2 5 | D a y 1 , 1 6 J a n 2 0 2 5 4
Slide 5: Revenue by segment
Q1-3 2024|25 vs Q1-3 prior year Revenue by segment Fruit segment: Group ▪ Fruit preparations revenue rose for volume €m reasons; increase in fruit juice concentrate 2,947.8 revenue driven both by volume and prices 2,707.8 Starch segment: 1,178.9 ▪ Owing to the decline in raw material and energy 1,22
Slide 6: EBIT by segment
Q1-3 2024|25 vs Q1-3 prior year Fruit segment: EBIT by segment ▪ Fruit preparations: EBIT was very significantly above the year-ago level; improvement was attributable partly to a positive business performance and partly to a base effect, as €m Fruit Starch Sugar EBIT in Q3 p/y had been negatively i
Slide 7: Outlook for 2024|25
AGRANA Group Outlook for 2024|25 EBIT 2024|25 Revenue 2024|25 ▪ At Group level for the full 2024|25 financial year, AGRANA expects a very significant reduction in EBIT ▪ Operating profit before exceptional items and results of equity -accounted joint ventures is expected to be in the range of
Slide 8: Agenda
CMD 2025 | Day 1 Agenda 1. Current trends 2. Challenges 1 Background 3. Current organisational structure 4. Strengths 1. Approach to strategy development The new 2. New structure: AGRANA “NEXT LEVEL” 2 “NEXT LEVEL” 3. Target image of business models strategy 4. Bundling of core competencies 5. Syner
Slide 9: Challenges necessitate a new strategy
Background “NEXT LEVEL” Challenges necessitate a new strategy Increase in turnover mainly due to rising prices Concentration in (Central) Europe with low market growth Low growth Customer focus in the food industry and trade with low growth High commodity component*: Vulnerability to agricultural cy
Slide 10: AGRANA has three segments with own administration
Background “NEXT LEVEL” AGRANA has three segments with own administration AGRANA Holding Admin Starch Sugar Fruit Admin Admin Admin Juice Admin Fruit Prep Commodities Commodities Commodities • Starch • Sugar • Fruit juice • Ethanol concentrates Solutions Specialities Specialities Specialities • Frui
Slide 11: AGRANA can build on a number of strengths
Background “NEXT LEVEL” AGRANA can build on a number of strengths Customer Access to raw First Solution Footprint portfolio materials transformation competence Comprehensive, Access to high- Expertise in Innovation and Risk global and quality and processing very co-creation of diversification region
Slide 12: Agenda
CMD | Day 1 Agenda 1. Current trends 2. Challenges 1 Background 3. Current organisational structure 4. Strengths 1. Approach to strategy development The new 2. New structure: AGRANA “NEXT LEVEL” 2 “NEXT LEVEL” 3. Target image of business models strategy 4. Bundling of core competencies 5. Synergies
Slide 13: Approach to strategy development
The new “NEXT LEVEL” strategy Approach to strategy development Developed by managers with involvement of external consultants • Co-creation: Top managers and external expertise • Interviews: More than 200 deep-dive interviews • Analyses: cross-comparison and benchmark analyses >200 ~100 >325 € 80 -
Slide 14: Objectives of AGRANA NEXT LEVEL
The new “NEXT LEVEL” strategy Objectives of AGRANA NEXT LEVEL • Increase efficiency and reduce costs • Harmonisation of structures and leveraging of synergies • Working capital optimisation: • Improvement in liquidity • Debt reduction to free up capital for future growth initiatives • Sustainability
Slide 15: Organisational analysis across two horizons
The new “NEXT LEVEL” strategy Organisational analysis across two horizons OBJECTIVE: Reducing costs and improving collaboration Horizon I project HORIZON I: AGRANA HOLDING (Cooperation between holding ADMIN company & divisions) • Optimisation of costs within the Cooperation holding company and in co
Slide 16: AGRANA – NEXT LEVEL
The new “NEXT LEVEL” strategy AGRANA – NEXT LEVEL Creating value with nature Strategic holding company Strategic development and control vertical synergies Innovation impulses Commodity-focused/ Customer-focused/ processing expertise Agricultural Food & formulation expertise Commodities & Beverage R
Slide 17: Current holding company becomes strategic light holding company
The new “NEXT LEVEL” strategy Current holding company becomes strategic “light” holding company Transition to a streamlined, efficient “light” holding company • Focus on value-adding key roles • Current challenges: High administrative costs, lengthy decision-making processesand frequent • Bundling o
Slide 18: Corporate Governance – already executed (1)
The new “NEXT LEVEL” strategy Corporate Governance – already excuted (1) ▪ A fundamental step in the transformation of the Group is the conversion of the current holding structure into a more streamlined and efficient strategic holding company ▪ A change already made at Group level as of 12 November
Slide 19: Corporate Governance – already executed (2)
The new “NEXT LEVEL” strategy Corporate Governance – already excuted (2) New remits of the Management Board members are as follows: ▪ Stephan Büttner, CEO: Strategy & Transformation incl. Mergers & Acquisitions (new) , Finance, Commercial Excellence (new), Information Technology, Corporate Communica
Slide 20: Three segments for two business areas
The new “NEXT LEVEL” strategy Three segments for two business areas Transformation from a strict divisional structure to a functional, permeable model with two main business areas Agricultural Commodities Food & Fruit-, Brown Flavor- & spicy & Specialities Starch, Sugar, Fruit juice concentrate Beve
Slide 21: Business area 1: Agricultural Commodities & Specialities
The new “NEXT LEVEL” strategy Business area 1: “Agricultural Commodities & Specialities” Asset: Regional footprint with proximity to raw materials and expertise in commodities management Focus on raw material, process and technology optimisation Leveraging of synergies between sugar and starch: Agri
Slide 22: Business area 2: Food & Beverage Solutions
The new “NEXT LEVEL” strategy Business area 2: “Food & Beverage Solutions” Asset: Global footprint Strong customer focus and innovative strength • Development of customised, value-added products • Co-creative development of customised solutions • Higher degree of innovation -> products with higher m
Slide 23: Success factors along the value chain
The new “NEXT LEVEL” strategy Combining expertise to optimise cost synergies and utilise management and product-specific know-how Business Success factors along the value chain Focus on areas Agricultural Starch Commodities Initial raw material Trans- Sugar & Specialities management formation/ R&D F
Slide 24: Commodities division with core competencies in raw materials management
The new “NEXT LEVEL” strategy Commodities division with core competencies in raw materials management and in the first transformation Agricultural Commodities and Specialities Target Operating Model Raw materials Core competencies along the value chain Products / Specialities Potatoes First Second C
Slide 25: Customer-centric solutions division with focus on product development
The new “NEXT LEVEL” strategy Customer-centric solutions division with a focus on product development Food and beverage solutions target operating model Customer groups Core competencies along the value chain Solutions First Second Customer Fruit prep (dairy/non-dairy), Food Raw materials transforma
Slide 26: The strategic changes enable numerous synergies
The new “NEXT LEVEL” strategy The strategic changes enable numerous synergies Holding 1 2 3 Initial 4 Raw materials 5 transformation/ R&D 6 Second Customer service & 8 transformation/ 7 Sales Innovation Synergy Effect 1 Optimisation of the organisational structure Efficiency 2 Strategic investment p
Slide 27: Key financial data for the two business areas and growth ambitions
The new “NEXT LEVEL” strategy Key financial data for the two business areas and strategic growth ambitions Cost optimisation & High-margin growth & speciality products innovation excellence 5.3 4.8 1.4 2.9 5.3 4.9 9.3 8.6 2.5 7.3 15.9 13.2 Revenue2) Operating profit Earnings Growth ambition ambition
Slide 28: Agenda
CMD | Day 1 Agenda 1. Current trends 2. Challenges 1 Background 3. Current organisational structure 4. Strengths 1. Approach to strategy development The new 2. New structure: AGRANA “NEXT LEVEL” 2 “NEXT LEVEL” 3. Target image of business models strategy 4. Bundling of core competencies 5. Synergies
Slide 29: AGRANA NEXT LEVEL – optimal alignment for profitable growth
Conclusion “NEXT LEVEL” AGRANA NEXT LEVEL – optimal alignment for profitable growth Today AGRANA – NEXT LEVEL Challenges Trends + Strengths Strategic holding company Agricultural Food & Commodities & Beverage Specialities Solutions AGRANA Holding AGRANA Holding Regional Global Admin Starch Sugar Fru
Slide 30: Priorities for implementation in the current financial year
Conclusion “NEXT LEVEL” Priorities for implementation in the current financial year Initiatives (selection) Pursuit of divisional strategies – profitable growth Divisions Realisation of portfolio potential Fruit Starch / sugar synergy potential (especially cost optimisation) Horizon II Design of the
Slide 31: Up to €100m identified as effect of the measures
Cost-saving measures – Overview of Horizon 1 & 2 Up to € 100m were identified as the effect of the measures Identified savings potential by cost type, € million Identified savings potential by measure lever, € million ~ 80-100 ~ 80-100 Total potential Synergy effects Other effects in the holding Sta
Slide 32: Horizon savings target by end of FY 2027|28
Horizon savings target By the end of FY 2027|28, € ~80 million in recurring savings are to be achieved Horizon I & II measure effects “in-Year" (net), in € million € 80-100m € 80m Horizon savings target Milestone IV € 40-52m Milestone III To achieve the ambitious 60% savings target, the measures mus
Slide 33: Horizon I: Key measures for each efficiency lever
Conclusion “NEXT LEVEL” Horizon I: Key measures for each efficiency lever HR • Centralisation: centralising selected HR activities (Recruiting, HR controlling and Training & Development) at holding company € 24 m level while streamlining resources in the divisions • Reduction in personnel and operat
Slide 34: Horizon II: Overview of the main areas of action
Conclusion “NEXT LEVEL” Horizon II: Overview of the main areas of action Administration Production ▪ Organisational structure: Harmonisation and streamlining ▪ Shift models: harmonisation across ▪ Synergy effects: between AS & AZ and locations and departments, reduction in the departments overtime,
Slide 35: Strategic goals 2030+
Conclusion “NEXT LEVEL” Strategic goals 2030+ • Greater efficiency at lower fixed costs EBITDA • A new role for the holding margin and the divisions > 10% • Focus on value-added ROCE products, co-creative > 10% development of customised solutions with customers 35 A G R A N A | C A P I TA L M A R K
Slide 36: Next steps in the strategy roll-out
Conclusion “NEXT LEVEL” Next steps in the strategy roll-out Strategy adoption Supervisory Board 12 Nov 2024 FY 2025|26 FY 2026|27 Project management Monthly steering meetings Structure of the transformation office Follow-up of measures Structure of the measures reporting Progress reporting & continu
Slide 37: Disclaimer
Disclaimer This presenta tion is be ing provide d to you solely for your informa tion a nd ma y not be reproduced or further distributed to a n y other person or published, in whole or in pa rt, for a ny purpose. This presenta tio n comprises the written ma teria ls/slides for a presenta tion concer
Slide 38: Financial calendar
FY 2024|25 and FY 2025|26 Financial calendar 9 May 2025 10 July 2025 Results for full year 2024|25 (annual results press conference) Record date for dividend 24 June 2025 14 July 2025 Record date for participation in Annual General Meeting Dividend payment date 4 July 2025 9 October 2025 Annual Gene
Slide 39: Contacts
Contacts Investor Relations Mr. Hannes Haider Phone: +43-1-211 37-12905 Email: investor.relations@agrana.com AGRANA Beteiligungs-AG Friedrich-Wilhelm-Raiffeisen-Platz 1 1020 Vienna, Austria www.agrana.com/en AGRANA Investor Relations: www.agrana.com/en/ir A G R A N A | C A P I TA L M A R K E T S D A