Thaifoods Group Public Co. Ltd. · SET:TFG
Thaifoods Group Public — FY2015 Earnings Presentation
23 slides from Thaifoods Group Public's earnings presentation, Apr 7, 2016
Slide 1: Analyst Presentation
Thai Foods Group Analyst Presentation Financials as of 31 December 2015
Slide 2: Disclaimer
Disclaimer The information contained in this presentation (the “Analyst Presentation”) is for information purposes only, and does not constitute or form part of any offer or invitation to sell or the solicitation of an offer or invitation to purchase or subscribe for, or any offer to underwrite or o
Slide 3: Agenda
Agenda Business Overview Financial Highlights Future Plan Q&A 2
Slide 4: Business Overview
Section 1 Business Overview
Slide 5: TFG Profile
TFG Profile Symbol TFG Industry/ Sector Agro & Food Industry / Food & Beverage Share Outstanding 5,100.00 million share @ THB 1.00 per share Closed Price THB 1.39 per share (24/03/2016) Market Cap. THB 7,089.00 million % Free Float 15.70% Dividend Policy Not less than 50.00% of net profits of Compan
Slide 6: Our history and major milestones
Our history and major milestones Kick-start export of chicken Established Vietnam swine operations and meat to Japan and Europe commenced operations of first grandparent pig farm and domestic sales of chicken in Vietnam with a capacity of 700 pigs and first parent sausage pig farm in Vietnam with a
Slide 7: Overview of Corporate Structure
Overview of Corporate Structure Production and selling of chickens, pigs and animal feed Poultry Swine Animal Feed Others 100% 100% 100% 100% Thai Foods Poultry Farm Co., Thai Foods Swine Farm Co., 2013/ Thai Foods Feed Mills 2011/ Thai Foods Research Center 2012/ 2011 Ltd. Ltd. 2012 Co., Ltd. 2005
Slide 8: Overview – One of the leading producers of chicken meat and live pigs in Thailand
Overview – One of the leading producers of chicken meat and live pigs in Thailand Poultry Swine Feed Others • Chicken breeding, chicken meat production • Pig breeding and live pig • Manufacture and sale of • Provision of research facility and sales and sale of day-old chicks, live sales feed for ani
Slide 9: Vertical Integrated Business Model
Vertical Integrated Business Model Poultry Industry Production Value Chain Fresh meat Grandparent Breeder farms Hatcheries Broiler farms Slaughterhouse Distribution stock farms Processed meat Stages of the production value chain which TFG is presently involved in Stages of the production value chain
Slide 10: Financial Highlights
Section 2 Financial Highlights
Slide 11: TFG's Performance
TFG’s Performance YEAR 2015 YEAR 2014 Changes THB Million THB Million THB Million % Revenue from sales 17,365 17,067 298 1.75 Cost of sales (18,106) (15,121) (2,985) 19.74 Gross profit (loss) (741) 1,946 (2,687) (138.08) Gross profit margin (4) 11 (16) (137.42) Profit (loss) before income tax expens
Slide 12: TFG's Performance
TFG’s Performance Gross Profit & GP Margin (%) 2014 1Q2015 2Q2015 3Q2015 4Q2015 2015 Gross Profit 1,947 (374) (224) -99 (45) (741) (THB Million) Gross Profit 11% (9)% (6)% (2)% (1)% (4)% Margin (%) EBITDA & EBITDA Margin (%) 2014 1Q2015 2Q2015 3Q2015 4Q2015 2015 EBITDA 2,018 (291) (217) (94) (91) (6
Slide 13: TFG's Performance by segment
TFG’s Performance by segment YEAR 2015 YEAR 2014 Poultry Swine Feed mill Others Total Poultry Swine Feed mill Others Total Revenues from sales of goods 11,038 4,581 1,735 10 17,365 12,365 3,568 1,105 29 17,067 Cost of sales of goods (12,437) (4,035) (1,625) (9) (18,106) (11,462) (2,654) (978) (26) (
Slide 14: Sales volume by segment
Sales volume by segment Sales volume – Poultry Sales volume – Swine Average Average 42.07 33.30 40.39 40.84 35.98 57.34 48.71 61.21 69.96 59.84 Selling Price Selling Price (THB/Kg) (THB/kg) 281,908 288,046 271,885 64,909 155,041 47,908 44,874 38,199 93,794 16,962 2011 2012 2013 2014 2015 2011 2012 2
Slide 15: Distribution Channel
Distribution Channel Poultry Business - Part Swine Business - Distribution Channel 3% Distribution by by Volume Volume Live pig 97% Revenue Volume Revenue Volume Channel THB Channel % Tonnes % THB Million % Tonnes % Million Station and 1,338 13% 33,303 12% Live Pig 3,760 97% 63,117 97% Branch Export
Slide 16: Processed Food - Sausage
Processed Food - Sausage Enter into processed food to enable higher margins and greater product diversification Started sales of chicken sausage in March 2015 by OEM Sale Volume of Chicken Sausage in 2015 was 385 tonnes Revenue of Chicken Sausage in 2015 was THB 25 million Sell processed chicke
Slide 17: Financial Status
Financial Status Net Debt/ Equity Interest Bearing Debt for the Year 2015 : THB 6,276.6 million 4.0 Current Long term portion of long loans, 561 term loans, 470 3.1 2.8 2.4 Bank overdrafts and 1.7 short term loans, 4,874 Cost of Debt 2013 2014 2015 OD and ST- 3.44 – 5.50 1.30 – 7.78 1.30 – 5.00 Loan
Slide 18: Future Plan
Section 3 Future Plan
Slide 19: Capital expenditure
Capital expenditure Historical and planned capital expenditure • 1 chicken slaughterhouse • Completion of feed mill • Completion of chicken slaughterhouse • 7 breeder chicken farms • 3 breeder chicken farms • Completion of 1 breeder chicken • 3 hatcheries • 1 hatchery farm and 1 hatchery • 1 layer c
Slide 20: Turnaround plan for the year 2016 - Cost reduction
Turnaround plan for the year 2016 Cost reduction Reduce cost of feed mill production which is total amounted 60% of total TFG’ cost, by the following action; - Reduce cost of imported raw materials which are feed additives, vaccine, soy bean meal and soy bean - Reduce cost of local raw material wh
Slide 21: Turnaround plan for the year 2016 - Increase revenue
Turnaround plan for the year 2016 Increase revenue and mitigate risk from fluctuations in chicken price Increase in export sales volume from 9,000 tonnes in year 2015 to 32,000 tonnes in year 2016 Entered into a 45.7% joint-venture in Seven Foods to expand our sale volume in Japan Launch chick
Slide 22: TFG Investment Highlights
TFG Investment Highlights Enter into a joint-venture with a well-known Japanese company to produce cooked chicken products for export to Japan, European Union and also domestic market Invest on pork sausage factory Invest in pet food factory Expand 5 parent pig farms Increase in fattening
Slide 23: Q&A
Q&A
Thaifoods Group Public Company — FY2015 Earnings Presentation on 6ix