Slide 1: Introduction to Genus
Introduction to Genus
Slide 2: Disclaimer
2 Disclaimer This presentation has been prepared by Genus plc (“Genus” or “the Company”) and has not been independently verified. Genus is solely responsible for the contents of this document and has taken all reasonable care to ensure that the facts stated herein are true and accurate in all materi
Slide 3: Why invest in Genus
3 Why invest in Genus Growing and resilient end- Global animal protein consumption is increasing and 1 relatively stable markets Substantial white space Global #1 in porcine genetics (16% market share1) Global 2 #2 in bovine genetics (8% market share1) Embedded positions, leading World-class genetic
Slide 4: Our vision
4 Our vision “Pioneering animal genetic improvement to sustainably nourish the world”
Slide 5: What Genus does
5 What Genus does We produce and sell elite animal genetics to farmers. Our genetics constitute less than 2% of a farmer’s cost base Our animals exhibit valuable traits such as increased feed conversion, growth rates and robustness This helps our customers raise healthier animals that produce more h
Slide 6: How Genus does it
6 How Genus does it • Our goal is to drive continuous genetic improvement in our proprietary elite herds • We score each animal on observable (phenotypic) and genetic (genomic) traits • These scores drive each animal’s Estimated Breeding Value (“EBV”); the higher the EBV, the greater the genetic pot
Slide 7: Secular growth trends in Genus's end-markets
7 Secular growth trends in Genus’s end-markets CONSUMERS Increasing demand for healthier and SUSTAINABILITY Increasing demand for animal protein higher-welfare foods Expansion and urbanisation of the global population is Consumers increasingly want healthier and more driving increased demand for thi
Slide 8: Genus's business units
8 Genus’s business units Pig Improvement Company (“PIC”) Genus Brand ABS Global (“ABS”) Global #1 with ~16% market share1 Market Position Global #2 with ~8% market share1 #1 genetics, High health global supply chain, Technical Sexing Technology, Competitive dairy genetics, Strong Key ‘Moats’ Service
Slide 9: PIC Contract Model: Royalty vs upfront
9 PIC Contract Model: Royalty vs upfront Contracting under the royalty model fosters long-term partnerships with our customers, reduces earnings volatility and increases earnings visibility In FY24: Royalty Model Upfront Model 50 % of Genus PIC Revenue was under royalty 84 % of Genus PIC Volume1 was
Slide 10: Genus's strategic priorities
10 Genus’s strategic priorities Continued growth in porcine, with Deliver successful commercialisation of Drive greater value from bovine more stable growth in China our PRP gene edit and deliver attractive returns from R&D
Slide 11: Business unit financial performance
11 Business unit financial performance Genus PIC adj. operating profit £m Genus ABS adj. operating profit £m Actual currency1 Actual currency 20.0 7% 7% 6% 7% 120 114.0 50% 18.0 108.7 6% 33.4 103.6 98.7 9.4 16.0 100 95.4 45% 4% 3.8 5% 5.6 14.0 5% 21.3 80 40% 12.0 4% 10.0 60 35% 17.8 18.7 16.7 3% 31%
Slide 12: Group financial performance
12 Group financial performance Adjusted operating profit £m Cash flow conversion % Return on adjusted invested capital % (actual currency, inc. JVs) 100 23.0% 82% 90 20.1% 80 9 71% 6 4 33 64% 70 60 21 53% 14.7% 13.9% 50 11.5% 40 76 72 74 30 56 50 20 10 (1%) 0 FY20 FY21 FY22 FY23 FY24 FY20 FY21 FY22
Slide 13: Sustainability at Genus
13 Sustainability at Genus 1 estimated tCO2e avoided Our products help farmers raise healthier animals that produce more high- emissions from using our quality protein per unit of input. We therefore believe our core commercial porcine and dairy genetics in offer helps reduce the impact of agricultu