Wilmar International Limited · SGX:F34
Wilmar International — Shareholder Meeting (April 2019)
20 slides from Wilmar International's shareholder meeting presentation, Apr 24, 2019
Slide 1: Wilmar International Limited Annual General Meeting
WILMAR INTERNATIONAL LIMITED ANNUAL GENERAL MEETING 24 April 2019
Slide 2: Important Notice
IMPORTANT NOTICE Information in this presentation may contain projections and forward looking statements that reflect the Company’s current views with respect to future events and financial performance. These views are based on current assumptions which are subject to various risks and which may cha
Slide 3: Agenda
Agenda 1 Business Update 2 2018 Financials 3 Business Outlook 4 AGM 2
Slide 4: 1. Business Update
1. Business Update By Ho Kiam Kong Chief Financial Officer
Slide 5: Vertically Integrated Across Business Segments
Vertically Integrated Across Business Segments 4 *includes impairment of assets & goodwill of US$138.6m
Slide 6: Continue to Invest in Our Businesses
Continue to Invest in Our Businesses Development Highlights Tropical Oils In Africa: • Acquired the remaining 50% equity interest in Nauvu Investments Pte Ltd from Olam International Limited. • Nauvu is invested in integrated palm oil, rubber and sugar assets in Africa, including upstream plantation
Slide 7: Continue to Invest in Our Businesses
Continue to Invest in Our Businesses Development Highlights Oilseeds & Grains In China: • Continuing with expansion in rice and flour milling, crushing and refining. • Expanding into flour and rice milling in India. 6
Slide 8: Continue to Invest in Our Businesses
Continue to Invest in Our Businesses Development Highlights Oilseeds & Grains In Vietnam: • First full year of operations for three new manufacturing plants – a rice mill, a grains value-added processing plant and a sauce & condiment plant. • Constructing 5th flour mill this year. In Myanmar: • Cons
Slide 9: Continue to Invest in Our Businesses
Continue to Invest in Our Businesses Development Highlights Oilseeds & Grains • Building a rice mill in Tanzania • Agreed to acquire the balance 50% shareholding interest of FPW Singapore Holdings Pte Ltd (Goodman Fielder) for US$275 million (US$180 million cash consideration + US$95 million shareho
Slide 10: Continue to Invest in Our Businesses
Continue to Invest in Our Businesses Development Highlights Sugar • Increased our stake in Shree Renuka Sugars Limited (SRSL), from approximately 27% to 58%. • Acquired Bunge’s global book of open sale and purchase contracts for raw and white sugar. 9
Slide 11: Corporate awards in 2018
Corporate awards in 2018 World’s Most Admired Company in Food Production Fortune Magazine Industry (ranked 2nd in 2018) Fortune Global 500 (ranked 248th) Fortune Magazine Forbes Global 2000 (ranked 456th) Forbes Magazine Top 100 Singapore Brands (ranked 5th) BrandFinance® Ranked 30th out o
Slide 12: Recognised for its Leading Brands and Quality Products
Recognised for its Leading Brands and Quality Products China: • Top 100 Megabrands by Euromonitor (ranked 24th) Arawana • 中国粮油领军品牌 by 粮油市场报社 • 2018第九届中国油博会金奖 by 中国粮油学会油脂分会、中国粮油学会食品分会 Indonesia: • Superbrand (Cooking Oil Category) by Superbrands Indonesia Sania • Top Brand Award (Cooking Oil Category
Slide 13: 2. 2018 Financials
2. 2018 Financials
Slide 14: 2018 Results at a Glance
2018 Results at a Glance vs 2017 Total Revenue US$ 44.50 billion 2.1% EBITDA US$ 2.94 billion 12.5% Net Profit US$ 1.13 billion -5.7% Net Profit – excl discontinued US$1.15 billion -3.5% operations Core Net Profit US$ 1.30 billion 27.4% Earnings per share US$ 0.178 -5.8% Dividends per share S$ 0.105
Slide 15: Key Segment Results
Key Segment Results US$ Million unless otherwise stated 2018 2017(1) Volume (M MT)(2) 24.3 23.2 Tropical Oils (Plantation, Manufacturing and Revenue 17,058.7 18,067.2 Merchandising) PBT 546.1 397.5 Volume (M MT) 37.2 33.3 Oilseeds and Grains (Manufacturing and Consumer Revenue 22,477.4 19,806.4 Prod
Slide 16: Cash Flow Highlights
Cash Flow Highlights US$ million FY18 FY17(1) Cash flows generated from operations 2,106 785 Net cash flow generated from operating activities 1,501 303 Less: Acquisitions of subsidiaries, joint ventures and (417) (132) associates Capital expenditure (1,325) (938) Net increase from bank borrowings*
Slide 17: Strong Liquidity Profile Relative to Ongoing Repayment Obligations
Strong Liquidity Profile Relative to Ongoing Repayment Obligations 13,460 23,380 LT 5,523 ST 7,937 Total Liquidity Net STD + LTD • Liquid working capital reflects the short-term nature of Wilmar’s cash conversion cycle (primarily inventory excl. consumables) • Available undrawn credit includes credi
Slide 18: 3. Business Outlook
3. Business Outlook 17
Slide 19: Business Outlook
Business Outlook • The Group performed well in 2018 even though we were affected by low palm oil and sugar prices in our upstream operations and volatile soybeans market created by the US/China trade tensions. The Group’s success in its strategy to develop more stable downstream processing and brand
Slide 20: 4. AGM
4. AGM
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