Slide 1: SIPEF Analyst presentation
SIPEF Analyst presentation August 12, 2021 The Connection to the world of Sustainable Tropical Agriculture 1
Slide 2: Summary
Summary SIPEF group – Production and prices SIPEF group – Financial statements June 2021 SIPEF group – Expansion update SIPEF group - Prospects The Connection to the world of Sustainable Tropical Agriculture 2
Slide 3: Group production palm oil – June 2021
SIPEF group – Production and prices Group production PALM OIL – June 2021 Palm Oil June 2021 June 2020 Variance Own Tolan Tiga Group 32 910 31 654 3,97% Umbul Mas Wisesa Group 21 489 17 593 22,15% Agro Muko Group 46 224 42 855 7,86% South Sumatra Group 10 173 6 957 46,22% Hargy Oil Palms 46 737 32 2
Slide 4: Group production rubber – June 2021
SIPEF group – Production and prices Group production RUBBER – June 2021 Rubber June 2021 June 2020 Variance Own Tolan Tiga Group 285 270 5,56% Melania* 908 1 583 -42,62% Agro Muko 765 934 -18,08% Total own 2 558 2 787 -8,22% Outgrowers Tolan Tiga Group 219 259 -15,48% Total Rubber 2 777 3 046 -8,83%
Slide 5: Group production tea & bananas – June 2021
SIPEF group – Production and prices Group production TEA & BANANAS– June 2021 Tea June 2021 June 2020 Variance Melania - Own* 829 1 478 -43,91% Melania - Outgrowers* 136 0 - Total Tea 965 1 478 -34,71% *4 months of production Bananas Azaguie 1 2 718 2 670 1,78% Azaguie 2 3 916 4 327 -9,51% Agboville
Slide 6: Bull & Bear
SIPEF group – Production and prices Bull & Bear Rating Bullish inputs Bearish inputs Palm Oil neutral - Palm production is lagging behind. - Absolute high price environment is killing demand (as - Mal complains about a lack of workers (but in my far as can be further reduced). Aug 1180 opinion a cov
Slide 7: CPO prices CIF Rotterdam 2020 – 2021
SIPEF group – Production and prices CPO prices CIF Rotterdam 2020 – 2021 Crude Palm Oil in $/mt Source: Oil World 1 300 CIF Rotterdam 1 200 1 100 1 000 900 800 700 600 500 400 J F M A M J J A S O N D 2020 2021 7
Slide 8: Spread crude palm oil – soybean oil
400 600 1000 1200 1400 1600 800 2010M01 2010M03 2010M05 2010M07 2010M09 2010M11 2011M01 2011M03 2011M05 2011M07 2011M09 2011M11 2012M01 2012M03 2012M05 2012M07 2012M09 2012M11 2013M01 2013M03 Spread crude palm oil – soybean oil 2013M05 2013M07 2013M09 2013M11 2014M01 SIPEF group – Production and pri
Slide 9: RSS3 Rubber prices 2020 – 2021
SIPEF group – Production and prices RSS3 Rubber prices 2020 – 2021 RSS3 in $/mt Source: Worldbank FOB Singapore 2 400 2 200 2 000 1 800 1 600 1 400 1 200 J F M A M J J A S O N D 2020 2021 The Connection to the world of Sustainable Tropical Agriculture 9
Slide 10: Summary
Summary SIPEF group – Production and prices SIPEF group – Financial statements June 2021 SIPEF group – Expansion update SIPEF group - Prospects The Connection to the world of Sustainable Tropical Agriculture 10
Slide 11: June gross margin – Results before tax
SIPEF group – June 2021 June gross margin – Results before tax (management presentation) 180 000 162 200 160 000 140 000 120 000 100 229 100 000 80 000 40,9% 60 000 40 000 19,8% 20 000 12 858 10 872 18,5% 3 116 4 995 2 922 16,4% -48,1% -17,8% -17,8% 1 474 4,4% 0 Palm Bananas Rubber Tea -20 000 2020
Slide 12: Gross margin – Results before tax
SIPEF group – June 2021 Gross margin – Results before tax (management presentation) In KUSD Act 06-21 Act 06-20 Diff Gross margin Palm 66.383 19.823 46.560 Rubber -887 -1.498 611 Tea 65 -519 584 Bananas 2.381 1.788 593 Horticulture 30 56 -26 G&A including corporate -16.462 -15.142 -1.320 Other opera
Slide 13: Gross margin – Results after tax
SIPEF group – June 2021 Gross margin – Results after tax (management presentation) In KUSD Act 06-21 Act 06-20 Diff Profit before tax 48.258 2.468 45.790 Tax -13.159 -1.686 -11.473 Profit after tax 35.099 782 34.317 Associated companies -482 -578 96 Profit for the period - recurring 34.617 204 34.41
Slide 14: PT Melania transaction – fair value price
SIPEF group – June 2021 PT Melania transaction – fair value price In KUSD REALISTIC Total amount to be received 36.000 Expected costs to CD2 -11 418 Net amount (100% of the shares) 24.582 95% owned by TTI 23.353 40% of the shares on CD1 9.833 55% of the shares on CD2 13.520 Total selling price 23.35
Slide 15: PT Melania transaction
SIPEF group – June 2021 PT Melania transaction Classification as In KUSD Sale of 40% Total impact JV held for sale Assets Non-current assets -17 319 -17 319 Assets held for sale 23 353 -9 833 13 520 Gain sale PT Melania: Current assets - 170 - 170 Fair value assets held for sale 23.353 Cash -1 19 00
Slide 16: Balance sheet (management presentation)
SIPEF group – June 2021 Balance sheet (management presentation) In KUSD (management presentation) 30/06/2021 31/12/2020 Biological assets (depreciated costs) - bearer plants 301 718 315 826 Goodwill 104 782 104 782 Other fixed assets 356 121 359 994 Receivables > 1 year 22 228 16 101 Assets held for
Slide 17: CPO inventory overview
SIPEF group – June 2021 Inventory overview CPO inventory overview 50.000 45.000 40.000 35.000 31 153 tons 30.000 Tons of CPO 25.000 2020 2021 20.000 18 022 tons 15.000 10.000 5.000 0 1 2 3 4 5 6 7 8 9 10 11 12 The Connection to the world of Sustainable Tropical Agriculture 17
Slide 18: Cash flow (management presentation)
SIPEF group – June 2021 Cash flow (management presentation) In KUSD (management presentation) 30/06/2021 30/06/2020 Cash flow from operating activities before change in net working capital 72 576 26 416 Change in net working capital -32 877 160 Income taxes paid -4 897 -3 821 Cash flow from operatin
Slide 19: Covenant testing
SIPEF group – June 2021 Covenant testing Net debt (IFRS definition) June 2021 -119.989 7-12m20 1-6m21 12m period Operating result (excl. sale PT Melania) 26.157 50.129 76.286 Recurring operating result 26.157 50.129 76.286 Depreciation 23.167 24.038 47.205 REBITDA 49.324 74.167 123.491 Minus minorit
Slide 20: Value per hectare
SIPEF group – Financial performance Value per hectare Sensitivity 30/06/2021 Stock price (in KEUR) @ USD per hectare 30,00 5.554 40,00 7.220 50,00 8.886 60,00 10.552 70,00 12.218 80,00 13.884 46,95 (dd 10/08/2021) 8 378 20
Slide 21: Summary
Summary SIPEF group – Production and prices SIPEF group – Financial statements June 2021 SIPEF group – Expansion update SIPEF group - Prospects The Connection to the world of Sustainable Tropical Agriculture 21
Slide 22: Musi Rawas Projects: Area Map
Musi Rawas Projects: Area Map The Connection to the world of Sustainable Tropical Agriculture
Slide 23: South Sumatra – full scope of development June 2021
SIPEF group – Expansion update South Sumatra – full scope of development June 2021 Latest update Musi Rawas area Original Expansion Total Total HGU 24.607 8.594 33.201 2021 opening balance planted/cleared 13.516 0 13.516 2021 additional planted/cleared 970 4 974 Total planted/cleared 14.486 4 14.490
Slide 24: Crop & Processing Requirements: Based on LTBP 2020-2030
Crop & Processing Requirements: Based on LTBP 2020-2030. South Sumatra Total Crop (Inti & Plasma): 2020-2030 AKL ARU AMR DIL 1.000.000 940,000 MT FFB 900.000 800.000 700.000 MT FFB 600.000 500.000 400.000 300.000 200.000 100.000 0 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 195 T/Hr DILPO
Slide 25: Eglin Ivory Coast - Wanita development
SIPEF group – Expansion update Eglin Ivory Coast - Wanita development Agboville Hectares 2021 Plantation Ha Azaguié 1 & 2 Agboville 232 + HQ Azaguié 1 142 Azaguié 2 208 Motobé 230 Motobé Wanita Lumen 1 30 Wanita Lumen 2 45 Wanita Akoudie 0 Total 887 Wanita Wanita Akoudie Lumen 1 & 2 25
Slide 26: Eglin Ivory Coast - Wanita development: hectares and banana production
SIPEF group – Expansion update Eglin Ivory Coast - Wanita development Evolution Hectares Evolution Banana Productions 1.600 70.000 1.400 60.000 1.200 50.000 1.000 40.000 Hectares Tons 800 30.000 600 20.000 400 10.000 200 0 0 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2021 2022 2023 2024 2025
Slide 27: Eglin Ivory Coast - Wanita development
SIPEF group – Expansion update Eglin Ivory Coast - Wanita development In KEUR Wanita 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 Result fruit department -324 -1.111 1.632 1.382 2.372 1.886 1.537 1.115 1.118 1.421 Acquisition cost -3.049 0 0 0 0 0 0 0 0 0 Cash fruit department -944 -2.569 922 8
Slide 28: Summary
Summary SIPEF group – Production and prices SIPEF group – Financial statements June 2021 SIPEF group – Expansion update SIPEF group - Prospects The Connection to the world of Sustainable Tropical Agriculture 28
Slide 29: Prospects – 12/08/2021
SIPEF group – Prospects Prospects – 12/08/2021 ✓ Production ➢ The Group expects relatively more limited growth figures for palm oil for the third quarter in line with the expectations of other Indonesian producers; ➢ The SIPEF group is well on track to achieve the forecast annual production increase
Slide 30: Latest estimate 2021
SIPEF group - Latest estimate 2021 Updated export levy and tax CIF Rotterdam vs net selling price 1400 1200 1000 800 600 400 200 0 CIF Rotterdam Export tax/levy Net selling price (after tax/levy) 30
Slide 31: Prospects – 12/08/2021
SIPEF group – Prospects Prospects – 12/08/2021 ✓ Results ➢ The export levy mechanism in Indonesia was eased from 2 July 2021 ➢ PNG fully benefits from the high palm oil prices ➢ Unit production cost prices remain well under control mainly due to weakness of local currencies against the USD; ➢ Expect
Slide 32: The Connection to the world of Sustainable Tropical Agriculture
The Connection to the world of Sustainable Tropical Agriculture 32
Slide 33: The Connection to the world of Sustainable Tropical Agriculture
The Connection to the world of Sustainable Tropical Agriculture 33