Ridley Corporation Limited · ASX:RIC
Ridley — BBY Agriculture, Clean Technology & Energy Conference 2008
30 slides from Ridley's conference presentation, September 2008
Slide 1: Ridley Corporation Ltd – BBY Conference 2008
RIDLEY CORPORATION LTD BBY AGRICULTURE, CLEAN TECHNOLOGY & ENERGY CONFERENCE 2008
Slide 2: Agenda
BBY Agriculture, Clean Technology & Energy Conference 2008 Agenda Introduction Financial Summary Ridley AgriProducts Cheetham Salt Other Activities Immediate Priorities
Slide 3: Introduction
BBY Agriculture, Clean Technology & Energy Conference 2008 Introduction Market Capitalisation - $320m Ranked 294 on S&P 300 as at September 5th, 2008 Market leader in both salt and stockfeed Significant land development opportunities
Slide 4: Financial Summary
BBY Agriculture, Clean Technology & Energy Conference 2008 Financial Summary A$m F'08 % to LY Sales revenue 1,546.6 ↑ 7% Operating EBITDA * 80.0 ↑ 1% Operating EBIT * 60.1 ↑ 6% Net operating profit * 26.8 ↑ 1% Significant items (net) (16.3) Net profit 10.5 ↓ 54% Dividends (cps) 3.50 Unfranked * Befo
Slide 5: Financial Summary – Profit and Loss
BBY Agriculture, Clean Technology & Energy Conference 2008 Financial Summary Profit and Loss A$m Continuing operations Sales revenue 837.6 ↑ 10% Net operating profit 15.9 ↓ 4% Significant items (net) (10.4) Net profit 5.5 ↓ 64% Discontinued operations Sales revenue 709.0 ↑ 4% Net operating profit 10
Slide 6: Financial Summary – Summary Balance Sheet
BBY Agriculture, Clean Technology & Energy Conference 2008 Financial Summary Summary Balance sheet A$m F'08 F'07 Cash 1.8 15.0 Receivables 115.2 140.4 Inventories 89.2 140.4 Assets held for resale 273.8 - Investments 44.2 44.1 Property, Plant & Equipment 256.7 385.2 Intangible assets 20.1 62.0 Other
Slide 7: Financial Summary – Cashflow
BBY Agriculture, Clean Technology & Energy Conference 2008 Financial Summary Cashflow A$m F'08 F'07 EBITDA * 80 77 Significant items (5) - Capex (35) (29) Borrowing costs (16) (15) Tax (12) (10) Dividends (12) (9) Other (6) (3) Working capital (23) (15) Cash generated (29) (4) Acquisitions (1) - Net
Slide 8: Financial Summary – Franking Capacity
BBY Agriculture, Clean Technology & Energy Conference 2008 Financial Summary Franking Capacity No franking for F’08 final or F’09 interim dividend F’09 final dividend limited franking F’10 onwards franking capacity to improve depending on the timing and outcome of Ridley Inc sale Significant
Slide 9: Ridley AgriProducts
BBY Agriculture, Clean Technology & Energy Conference 2008 Ridley AgriProducts
Slide 10: Ridley AgriProducts
BBY Agriculture, Clean Technology & Energy Conference 2008 Ridley AgriProducts Ridley AgriProducts is Australia’s leading supplier of stockfeed. 16 stockfeed mills, one aqua feed mill and two supplement manufacturing plants throughout southern and eastern Australia. Producing for the beef, dai
Slide 11: Ridley AgriProducts
BBY Agriculture, Clean Technology & Energy Conference 2008 Ridley AgriProducts
Slide 12: Ridley AgriProducts
BBY Agriculture, Clean Technology & Energy Conference 2008 Ridley AgriProducts A$m F'08 % to LY Sales 742.3 ↑ 11% Tonnes (000's) 1,610 ↓ 12% EBIT* 15.0 ↓ 18% Features + ─ Margins Ruminant volumes Aquafeed Supplements * Before significant items Commodity prices
Slide 13: Ridley AgriProducts – Total Tonnes F'08
BBY Agriculture, Clean Technology & Energy Conference 2008 Ridley AgriProducts Total Tonnes F’08 – 1,610,251 2.3% 5.8% 1.4% 20.0% 0.5% Dairy Beef Poultry 23.3% 4.7% Pig Sheep Supplements Equine Other 42.1%
Slide 14: Ridley AgriProducts – Restructure
BBY Agriculture, Clean Technology & Energy Conference 2008 Ridley AgriProducts Restructure • Closure of northern region mills • Supplements business simplified Overhead review
Slide 15: Ridley AgriProducts
BBY Agriculture, Clean Technology & Energy Conference 2008 Ridley AgriProducts •Poultry volumes and margins stable •Pig sector - improving outlook •Dairy sector- strong global demand for dairy products •Solid growth – production capacity •Grain outlook – Prices lower than 2008, volatile
Slide 16: Cheetham Salt
BBY Agriculture, Clean Technology & Energy Conference 2008 Cheetham Salt
Slide 17: Cheetham Salt
BBY Agriculture, Clean Technology & Energy Conference 2008 Cheetham Salt Operates 12 solar salt fields and 11 refineries Cheetham Salt distributes salt throughout Australia, South East Asia and the Pacific region. Supplies salt for every need - cooking and table salt, pool salt, to entire ship
Slide 18: Cheetham Salt
BBY Agriculture, Clean Technology & Energy Conference 2008 Cheetham Salt
Slide 19: Cheetham Salt
BBY Agriculture, Clean Technology & Energy Conference 2008 Cheetham Salt A$m F'08 % to LY Sales 95.3 ↑ 5% Tonnes (000's) 1,221 ↑ 6% EBIT* 24.8 ↑ 6% Features + ─ Pool salt Queensland Indonesia stockfeed * Includes equity profits, before significant items
Slide 20: Cheetham Salt – Total Tonnes F'08
BBY Agriculture, Clean Technology & Energy Conference 2008 Cheetham Salt 2.5% 5.6% Total Tonnes F’08 – 1,220,999 9.7% Chemical Food 3.2% Hide Pool 4.7% Stockfeed Export Indonesia 5.8% Other 60.6% 7.8%
Slide 21: Cheetham Salt – Outlook
BBY Agriculture, Clean Technology & Energy Conference 2008 Cheetham Salt Generally stable outlook Strategic plan rollout •Sales and marketing initiatives improving results •Field and refinery upgrades well underway •Commencement of new Indonesian refinery
Slide 22: Ridley Inc
BBY Agriculture, Clean Technology & Energy Conference 2008 Ridley Inc
Slide 23: Ridley Inc
BBY Agriculture, Clean Technology & Energy Conference 2008 Ridley Inc US$m F'08 % to LY Sales 633 ↑ 19% Tons (000's) 1,479 ↓ 2% EBIT * 24.9 ↑ 54% Features + ─ US businesses Canada producer Rising ingredient economics markets Strong Canadian * Before significant items dollar
Slide 24: Canadian Legal Claims
BBY Agriculture, Clean Technology & Energy Conference 2008 Canadian Legal Claims Settlement agreement reached with plaintiffs, Feb 08 – C$6.0m (A$4.6m net) Approved by Quebec Court in May 2008, Ontario in September 2008 Final settlement expected in early 2009
Slide 25: Sale of Ridley Inc
BBY Agriculture, Clean Technology & Energy Conference 2008 Ridley Inc Sale of Ridley Inc • Process ongoing Business conditions for Ridley Inc generally stable
Slide 26: Land Development
BBY Agriculture, Clean Technology & Energy Conference 2008 Land Development
Slide 27: Land Development
BBY Agriculture, Clean Technology & Energy Conference 2008 Land Development Land Development •Opportunities in SA, Vic and Qld •Alliance with Delfin Lend Lease •Dry Creek potential development 316 hectares •Value to be realised over time – currently approx $80m
Slide 28: Immediate Priorities
BBY Agriculture, Clean Technology & Energy Conference 2008 Immediate Priorities
Slide 29: Immediate Priorities
BBY Agriculture, Clean Technology & Energy Conference 2008 Immediate Priorities Management changes – flatter structure Ridley Inc sale Debt reduction Improvement in core business Overhead review
Slide 30: Questions
BBY Agriculture, Clean Technology & Energy Conference 2008 Ridley Corporation Ltd QUESTIONS
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