Rural Funds Group · ASX:RFF
Rural Funds — Rural Funds Management — Corporate Update (October 2018)
16 slides from Rural Funds's corporate update, October 2018
Slide 1: 2007 Macgrove Project
2007 Macgrove Project Annual Grower and Adviser update October 2018
Slide 2: Disclaimer
Managed by: Disclaimer Rural Funds Management Ltd (RFM) AFSL 226701 has prepared this presentation based on information available to it. Although all reasonable care has been taken to ensure that the facts stated and opinions given in this presentation are fair and accurate, the information provided
Slide 3: Agenda
Managed by: Agenda RFM presenters 1. Industry and orchard Andrea Lemmon update Executive Manager, Funds Management 2. FY18 distribution and Scott Norval cash flow matrix National Manager, Macadamias 3. Conclusion and questions James Powell Investor Relations & Marketing Rural Funds Management 4. App
Slide 4: Industry and orchard update
1 Industry and orchard update Macadamias during processing, Bundaberg, Queensland
Slide 5: Industry update
Managed by: Industry update Prices and global demand for macadamias remains high. • Global production is lagging behind forecast World production forecasts(F)1 levels and is now unlikely to meet even the “China-low” production levels. 600,000 • Supply from Africa has increased after two Volume (NIS
Slide 6: Historical yield and price
Managed by: Historical yield and price Yields continue to improve as the orchards mature. Macgrove Project historical yield and macadamia price 1,000 $6.50 $6.00 800 $5.50 $5.00 600 $/kg NIS T/NIS $4.50 400 $4.00 $3.50 200 $3.00 - $2.50 2010 2011 2012 2013 2014 2015 2016 2017 2018 1 2 (LHS) yield T/
Slide 7: Harvest overview
Managed by: Harvest overview The 2018 harvest yielded an additional approx. 1 tonne/ha compared to 2017. Harvest activities, Moore Park – Bundaberg • The 2018 harvest was completed in August: - Total yield of 812 tonnes nut-in-shell (NIS) at 10% moisture - Yield of 3.46 tonne/ha NIS up from 2.54 ton
Slide 8: Key project – harvest process improvements
Managed by: Key project – harvest process improvements Commercial scale application of harvest process improvements commenced in 2018 following successful trials. Sweeper, Swan Ridge – Bundaberg 1. Tree shaking: - Previously nuts have been allowed to drop from the tree naturally - RFM has trialled t
Slide 9: FY18 distribution and cash flow matrix
2 FY18 distribution and cash flow matrix Swan Ridge Orchard, Bundaberg, Queensland
Slide 10: FY18 distribution
Managed by: FY18 distribution Growers will receive a net return of $1,738 per Macgrove. Per Macgrove • Each Macgrove will receive a combined Income distribution and GST refund of $1,738 which is 61% higher than FY2017. Harvest proceeds - 2017 crop $3,596 Harvest proceeds - 2018 crop $3,777 • The ret
Slide 11: Cash flow matrix
Managed by: Cash flow matrix The matrix sets out financial returns (comprising distribution and GST refund) under a range of yield and price scenarios. Mature orchard ($/Macgrove) Yield - t/ha NIS Low Medium High 4 4.5 5 Low $4.50 -$211 $2,016 $2,461 Price - $ kg/NIS Medium $5.00 $498 $2,977 $3,473
Slide 12: Conclusion
Conclusion Moore Park Orchard, Bundaberg, Queensland 3
Slide 13: Conclusion
Managed by: Conclusion • Prices and global demand and for macadamias remains high. • Yields continue to improve as the orchards mature. • The 2018 harvest was completed in August and yielded 3.46 tonne/ha (NIS) up from 2.54 tonne/ha in 2017. • Indicative farm gate price for the 2018 crop is $5.63 (s
Slide 14: Appendix
Appendix 1 Moore Park Orchard, Bundaberg, Queensland 4
Slide 15: Cash flow and harvest timeline
Managed by: Cash flow and harvest timeline Distributions are based on harvest proceeds received during a financial year. Therefore each harvest will overlap two financial years. Calendar year or harvest year Jan Feb Mar Apr May Jun Jul Aug Sept Oct Nov Dec Harvest: February to September Harvest proc
Slide 16: Managing good assets with good people
Rural Funds Management Ltd ACN 077 492 838 AFSL 226701 Canberra Office Level 2, 2 King Street Deakin ACT 2600 Telephone: +61 2 6203 9700 Facsimile: +61 2 6281 5077 Website: ruralfunds.com.au Managing good assets with good people For further information: For media enquiries: Investor relations enquir
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