Golden Agri-resources Ltd · SGX:E5H
Golden Agri-resources — Q1 2019 Earnings Presentation
19 slides from Golden Agri-resources's earnings presentation, May 14, 2019
Slide 1: Interim Performance Presentation, Three-month period ended 31 March 2019
GOLDEN AGRI-RESOURCES LTD Interim Performance Presentation Three-month period ended 31 March 2019 14 May 2019 11
Slide 2: Disclaimer
DISCLAIMER This presentation has been prepared by Golden Agri‐Resources Ltd. (“GAR” or “Company”) for informational purposes, and may contain projections and forward looking statements that reflect the Company’s current views with respect to future events and financial performance. These views are b
Slide 3: Contents
CONTENTS 1 Executive Summary 4 2 Financial Highlights 6 3 Segmental Performance 9 4 Strategy and Outlook 13 5 Appendix 17 33
Slide 4: Executive Summary
EXECUTI VE SUMMARY gar agribusiness and food la ZF
Slide 5: Downstream segment supports steady 1Q 2019 EBITDA despite lower CPO prices
EXECUTIVE SUMMARY Downstream segment supports steady 1Q 2019 EBITDA despite lower CPO prices EBITDA (US$ million) 150 1Q 2019 vs 1Q 2018 results 120 Revenue US$1,617 mn 11% 100 95 86 EBITDA US$121 mn Underlying Profit1 US$12 mn 53% 61 59 Palm product output 629,000 MT 3% 50 CPO FOB price US$512/MT 2
Slide 6: Financial Highlights
FI NANCI AL HIGHLIGHTS gar agribusiness and food
Slide 7: Consolidated Financial Performance
CONSOLIDATED FINANCIAL PERFORMANCE US$ million 1Q 2019 1Q 2018 YoY 4Q 2018 QoQ Revenue 1,617 1,816 ‐11% 1,653 ‐2% Gross Profit 193 248 ‐22% 262 ‐26% EBITDA 121 121 ‐ 203 ‐41% Underlying Profit1 12 25 ‐53% 101 ‐88% Net gain/loss from changes in fair value of biological assets2 1 ‐0.3 n.m ‐2 n.m Depre
Slide 8: Financial Position
FINANCIAL POSITION Robust balance sheet amidst challenging environment US$ million 31‐Mar‐19 31‐Dec‐18 Change Total Assets 8,591 8,546 1% Cash and short‐term investments 562 545 3% Fixed assets1 3,746 3,716 1% Total Liabilities 4,246 4,236 0.3% Net Debt2 1,854 1,734 7% Total debt3 3,028 3,010 1% Cas
Slide 9: Segmental Performance
SEGMENTAL PERFORMANCE gar agribusiness and food
Slide 10: Segmental Results: Plantations and Palm Oil Mills
SEGMENTAL RESULTS Plantations and Palm Oil Mills 1Q 2019 EBITDA margin impacted by weaker prices and lower production 1Q 2019 1Q 2018 YoY 4Q 2018 QoQ Revenue (US$ million) 308 343 ‐10% 351 ‐12% EBITDA (US$ million) 61 95 ‐36% 86 ‐29% EBITDA margin 20% 28% ‐8% 24% ‐4% CPO FOB Price (US$/MT) 512 645 ‐
Slide 11: Plantation Area
PLANTATION AREA Focus on productivity growth through replanting and technological innovation Mature Area ‐ ha Planted Area ‐ ha Age Profile as of 31 Mar 2019 5% 475,014 500,202 498,395 15% 467,261 6% 101,950 104,030 103,480 25,188 101,436 75,571 29,158 373,064 365,825 396,172 394,915 33% 163,767 206
Slide 12: Segmental Results: Palm, Laurics and Others
SEGMENTAL RESULTS Palm, Laurics and Others Increasing benefits from integrated business model and enhanced customer relationships in destination markets 1Q 2019 1Q 2018 YoY 4Q 2018 QoQ Revenue (US$ million) 1,610 1,805 ‐11% 1,633 ‐1% Sales Volume (‘000 tonnes) 2,720 2,390 14% 2,588 5% EBITDA (US$ mi
Slide 13: Strategy and Outlook
STRATEGY AND OUTLOOK gar agribusiness and food
Slide 14: Growth Strategy and Outlook
GROWTH STRATEGY AND OUTLOOK Capitalising on the robust fundamentals of the industry, GAR continues to enhance its integrated operation capabilities to optimise profit opportunities across the value chain Upstream • Focus on replanting with higher‐yielding seeds to sustain production growth • Continu
Slide 15: Indonesia Biodiesel
INDONESIA BIODIESEL Indonesia growing biodiesel mixture mandate is a major catalyst to the industry • Global feedstock for biodiesel grew by 14% to 41 million MT in 2018 and expected to further expand by 9% in 2019 • Indonesia implemented a subsidised B20 programme in 2016 with full implementation s
Slide 16: Towards Responsible Palm Oil Production
TOWARDS RESPONSIBLE PALM OIL PRODUCTION Progress on Traceability to the Plantation • Full TTP for around 60% of the palm supply chain • Over 50 third‐party mills have reported full TTP with over 150 taking part in the TTP exercise Human rights and supply chain • Together with Nestlé and Verite, we a
Slide 17: Appendix
APPENDIX gar agribusiness and food
Slide 18: Age Profile
AGE PROFILE Immature and younger estates use newer‐generation higher‐yielding planting materials that will further boost production growth in the future Immature Young Prime 1 Prime 2 Old Total hectares (0‐3 years) (4‐6 years) (7‐18 years) (19‐25 years) (>25 years) 31 March 2019 Nucleus 23,108 27,58
Slide 19: Contact Us
CONTACT US If you need further information, please contact: Golden Agri‐Resources Ltd c/o 108 Pasir Panjang Road #06‐00 Golden Agri Plaza Singapore 118535 Telephone : +65 65900800 Facsimile : +65 65900887 www.goldenagri.com.sg Contact Person : Richard Fung richard@goldenagri.com.sg 19 19
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