Del Monte Pacific Limited · SGX:D03

Del Monte Pacific — FY2011 Earnings Presentation

18 slides from Del Monte Pacific's earnings presentation, Feb 24, 2012

  1. Slide 1: Fourth Quarter and Full Year 2011 Results

    Del Monte Pacific Limited Fourth Quarter and Full Year 2011 Results 24 February 2012 1

  2. Slide 2: Disclaimer

    Disclaimer This presentation may contain forward-looking statements that involve risks and uncertainties. Actual future results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions. Representative examples of these f

  3. Slide 3: Contents

    Contents  Executive Summary  4Q 2011 Results  FY 2011 Results  Credit Standing  Outlook  Dividend 3

  4. Slide 4: Executive Summary

    Executive Summary DEL MONTE PACIFIC FULL YEAR NET PROFIT UP 74% ON RECORD SALES OF US$425M • Record sales of US$425m, 12% higher than prior year • Operating profit rose 46% to US$44m from US$30m • Gross margin increased to 23.9% from 21.6% on better sales mix • Exports, particularly to Europe, perfo

  5. Slide 5: 4Q 2011 Results

    4Q 2011 Results

  6. Slide 6: Fourth Quarter 2011

    Fourth Quarter 2011 4Q 4Q Chg In US$m Comments 2010 2011 (%) Higher sales across all major markets Turnover 139.2 154.1 +10.7 including Philippines, exports, and S&W fresh and processed sales Gross profit 35.5 37.9 +6.8 Higher volume and better sales mix Impacted by one off expense of US$4.0 million

  7. Slide 7: 4Q Turnover Analysis

    4Q Turnover Analysis Others 14% Asia Pacific 67% E&NA 19% Asia +9.5% • Strong sales of canned 100% Pacific pineapple juices in the Philippines • Strong export sales of processed fruit to the Asia Pacific markets E&NA -2.5% • Lower pineapple juice concentrate and processed fruit sales Others +46.1% •

  8. Slide 8: 4Q 2011 Margins

    4Q 2011 Margins Gross margin  Higher raw material and packaging costs Operating margin %  Lower gross margin Margin  Impacted by one off expense* 30 25.5 24.6 Net margin 20 15.2  Impacted by one off 12.0 expense* 10.5 8.5 10 0 Gross margin Operating Net margin margin 4Q10 4Q11 *Without the one o

  9. Slide 9: 4Q Cash Flow Variance Analysis

    4Q Cash Flow Variance Analysis Repayment Working of Interest & 3Q11 Operations Cap Tax Capex Borrowings Others 4Q11 US$107.0m - US$89.1m Net Debt Net Debt -0.8m +7.9m -11.1m -3.4m +0.9m +24.4m

  10. Slide 10: FY 2011 Results

    FY 2011 Results

  11. Slide 11: Full Year 2011

    Full Year 2011 FY FY In US$m Chg (%) Comments 2010 2011 o Higher export sales Turnover 378.6 425.2 +12.3 o Higher S&W fresh and processed sales Gross profit 81.8 101.4 +24.1 Higher volume and better sales mix Higher gross profit; without the one Operating profit 30.3 44.3 +46.1 off expense, operatin

  12. Slide 12: FY Turnover Analysis

    FY Turnover Analysis Others Asia 15% Pacific 61% E&NA 24% Asia Pac +5.3% • Strong export sales to the other Asia Pacific markets • Higher sales in all major categories in the Philippines E&NA +22.7% • Higher sales in Europe due to higher volume and pricing. Selling prices and margins in Europe impro

  13. Slide 13: FY 2011 Margins

    FY 2011 Margins Gross margin  Better pricing/sales mix  Improved pineapple yields and production efficiencies  Lower tomato paste costs % Margin Operating margin 30 23.9  Higher gross margin 21.6  More than offset the one 20 off expense* 10.4 Net margin 8.0 6.5  Higher gross and 10 4.2 operati

  14. Slide 14: Credit Standing

    Credit Standing  Loan utilisation: only 37% of bank credit lines  Loan Mix: 39% Peso and 61% US$ to optimise natural hedge 78% Short term and 22% Long term Gearing and Coverage Ratios Net debt equity ratio = 39% Interest cover = 15x 14

  15. Slide 15: Operation Updates

    Operation Updates Improvement in pineapple and cannery operations FY 2011 (YoY chg) Yield +4% Supply +14% Cannery recovery +5% 15

  16. Slide 16: Outlook

    Outlook • The strong results place the Group on track for further growth as it builds on the gains made in exports and by the greater market penetration of S&W branded processed and fresh business in Asia. • The Group continues to be optimistic about its business in India where it has generated high

  17. Slide 17: Dividend

    Dividend Dividend Book Closure Payment Date Dividend/ Payout Date Share Ratio Final 9 March 2012 28 March 2012 US$ 0.0145 75% of 2H2011 profit Vs Last Year Final 10 March 2011 30 March 2011 US$ 0.0110 75% of FY2010* profit *no interim dividend for 2010 due to first half net loss position

  18. Slide 18: Thank You

    Thank You 18

Del Monte Pacific — FY2011 Earnings Presentation on 6ix