Charoen Pokphand Foods Public Co. Ltd. · SET:CPF
Charoen Pokphand Foods Public — Charoen Pokphand Foods — H1 2014 Earnings Presentation
18 slides from Charoen Pokphand Foods Public's earnings presentation, Aug 14, 2014
Slide 1: Charoen Pokphand Foods Plc. 1H2014 Results Briefing
Charoen Pokphand Foods Plc. Kitchen of The World 1H2014 : RESULTS BRIEFING : August 14, 2014
Slide 2: Content
Content Business Overview 1H2014 Results Briefing Financial Highlights Future Plan • Appendix A: 3Yr Historical Results B: Product & Raw Materials Price Trend C: Product Sample & Retail Outlet Format D: Highlights: 2Q2014 Results E: Export Destination Kitchen of The World
Slide 3: CPF Investment Highlights
CPF Investment Highlights A leading global vertically integrated agro-industrial and food company Well-diversified portfolio with export to 40 countries and operations in 13 countries catered to 3 billion population Capturing strong growth opportunity in emerging markets Building key presence in dev
Slide 4: Company Facts (as of June 30, 2014)
Company Facts (as of June 30, 2014) Vision : Kitchen of the World Position • One of the World’s leading listed animal feed manufacturers • One of the World’s leading listed swine producers and shrimp integrated businesses • Member of “SET50”, Ticker “CPF” under Agro-Industrial & Food Sector • Ranked
Slide 5: CPF Operational Structure
CPF Operational Structure CPF (Consolidated) 1H2014 : Sales: THB 203,956 m Net Profit: THB 5,596 m 42% of Sales 58% of Sales Associate & Jointly- CPF Thailand CPF International Controlled Entities 36% of Sales 41% of sales 17% of sales CPP- HKSE:43 TW:1215 CPE Taiwan (32.41%) SET: CP ALL (32.80%) Do
Slide 6: Vertically Integrated Business Model
Vertically Integrated Business Model Integrated operating platform for safety & quality control Livestock (Broiler, Layer, Swine, Duck) and aquaculture (Shrimp & Fish) Food & Adding Branding & Feedmilling Breeding Farming Processing Retail Value Marketing Outlets Live Fresh Food & Feed Breeder Anima
Slide 7: CPF Leading Footprints
CPF Leading Footprints UK Russia Food processing plant • Livestock feed • Swine farming Belgium Food processing plant Taiwan China - CPP Livestock integrated • Livestock and aquaculture feed business Turkey • Aquaculture farming Chicken integrated Laos business Livestock integrated India business •
Slide 8: 1H2014 Summary
1H2014 Summary Challenges Managing shrimp recovery against EMS disease Latest Activities Issued 0.5% exchangeable bonds (“EB”) on Jan 15,2014 (USD 290.4 m, EB due 2019) Closing acquisition of 80.02% stake in Tops Foods, Belgium on Jan 20, 2014 (THB 408 m) Closing acquisition of 15.08% BHJ Kalino Foo
Slide 9: 1H2014 Results Highlights
1H2014 Results Highlights Consolidated Revenue Gross Profit Net Profit (THB millions) (THB millions) (THB millions) +13%Y-o-Y +76%Y-o-Y +110%Y-o-Y Consolidated sales up 13% Y-o-Y Gross profit margin Net profit margin 1H13 8.8% 1H13 1.5% 1H14 13.7% 1H14 2.7% %Chg 4.9% %Chg 1.2% - Page 8 - Kitchen of
Slide 10: 1H2014: Sales & Gross Profit Margin by Business
1H2014: Sales & Gross Profit Margin by Business In THB, m 1H13 +13% 1H14 +13% +11% -4% +37% GPM 9.5% 16.9% -3.0% -6.9% 10.8% 14.4% 3.7% 11.7% 8.8% 13.7% OPM 1.7% 9.1% -10.6% -16.2% 2.1% 5.4% -3.8% 5.2% 0.5% 5.3% - Page 9 - Kitchen of The World
Slide 11: 1H2014: Consolidated Sales Structure
1H2014: Consolidated Sales Structure Sales Breakdown 1H13 % to Sales 1H14 % to Sales % Change Thailand 78,398 43% 85,051 42% 8% Domestic 64,675 37% 72,722 36% 12% Export 13,723 8% 12,329 6% -10% China 49,019 27% 51,906 25% 6% Vietnam 24,579 14% 32,046 16% 30% Others 28,622 16% 34,953 17% 22% Total 1
Slide 12: 1H2014: Consolidated Sales Structure by Business
1H2014: Consolidated Sales Structure by Business Sales Breakdown Livestock Aqualculture Total 1H13 1H14 %Change 1H13 1H14 %Change 1H13 1H14 %Change Thailand 64,556 71,738 11% 13,842 13,313 -4% 78,398 85,051 8% Domestic 56,526 62,402 10% 8,149 10,320 27% 64,675 72,722 12% Export 8,030 9,336 16% 5,693
Slide 13: 1H2014: Consolidated Sales by Products
1H2014: Consolidated Sales by Products Sales Breakdown by Products Feed Farm Food Total 1H13 1H14 %Change 1H13 1H14 %Change 1H13 1H14 %Change 1H13 1H14 %Change Thailand 25,388 24,606 -3% 33,093 39,129 18% 19,917 21,316 7% 78,398 85,051 8% Domestic 25,171 24,480 -3% 29,774 36,868 24% 9,730 11,374 17%
Slide 14: 1H2014: Consolidated Income Statement Highlight
1H2014: Consolidated Income Statement Highlight Quarter 1 Quarter 2 6 Months 2013 2014 %Change 2013 2014 %Change 2013 2014 %Change Net sales 87,424 98,122 12% 93,194 105,834 14% 180,618 203,956 13% Gross Profit Margin (%) 9.0% 13.4% 8.5% 14.0% 8.8% 13.7% EBITDA 1,743 6,414 268% 1,830 7,817 327% 3,57
Slide 15: Financial Status
Financial Status Interest Bearing Debt : THB 199,946 m Net Debt to Equity Unit : THB, M 2012 2013 1H14 Cost of Debts 4.82% 4.65% 4.45% Remark : Net Debt = Interest Bearing Debt - Cash and Cash Equivalents Bond Rating “AA-” with “Negative” Outlook by Tris Rating Co., Ltd - Page 14 - Kitchen of The Wo
Slide 16: Y2014 Key Highlights
Y2014 Key Highlights Target Growth Sales Minimum 10% Key Drivers Turnaround of livestock business Improvement of international operations Higher export volume for Thailand uncooked chicken (e.g. Japan, Russia) Gradual improvement of shrimp business Investment 5Yr Capex of THB 50,000 million (excludi
Slide 17: 5-Year Mission
5-Year Mission ■ Increase return by growing value added businesses ■ Synergize new investments with existing core operations ■ Capitalize growth opportunity in emerging markets ■ Strengthen brand and expand retail-food business ■ Build transparent corporate governance ■ Moving towards sustainability
Slide 18: Disclaimer
Disclaimer “This presentation contains some information from other sources, that CPF does not make any representations regarding the use, validity, accuracy, or reliability of, or the results of the use of information, data but not limited to, all text, and images (“the Content”) on this presentatio
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