Sanford Limited · NZX:SAN

Sanford — Corporate Update (September 2020)

10 slides from Sanford's corporate update, Sep 2, 2020

  1. Slide 1: Investors & Analysts

    a E Sanford = Investors & Analysts 11am, 2"? September, 2020

  2. Slide 2: Disclaimer

    DISCLAIMER Important Notice This presentation contains not only a review of operations and information about Sanford Limited (the Company), but also contains some forward-looking statements about the Company and the environment in which it operates. This disclaimer applies to this presentation and a

  3. Slide 3: Sanford and the Impact of Covid-19 – September 2020 Update

    Sanford and the Impact of Covid-19 – September 2020 Update • Overview and challenges Volker Kuntzsch • Financial position and performance Katherine Turner • Mitigations and Strategic Focus Volker Kuntzsch • Q&A SALMON MUSSELS FRESH FROZEN INNOVATION 3

  4. Slide 4: Covid-19 Trading Update - Overview

    Covid-19 Trading Update - Overview • International markets remain volatile with foodservice channels seriously impacted and only partially replaced by retail demand • Sanford’s Q3 sales revenue down 15% on PY (excluding product caught by fishing partners) • Operations performed well during lockdown

  5. Slide 5: Challenging Market Conditions Due to Covid-19

    Challenging Market Conditions Due to Covid-19 • Supply chain interruptions including border and freight issues • Price pressure on seafood commodities • Consumer fear, association of virus with fish/packaging Sales revenue is volatile Sales % vs LY ($ million) Q3 July 10 months -July YTD Total (excl

  6. Slide 6: Strategy and Financial Strength to Weather Covid-19

    Strategy and Financial Strength to Weather Covid-19 • Strong balance sheet (July FY20 gearing 22%) and cash collection remains satisfactory • Sufficient headroom in borrowing facilities and have additional levers if required to withstand shocks (July FY20 headroom $98 million) • Ongoing liquidity sc

  7. Slide 7: FY20 Result Significantly Impacted by Covid-19

    FY20 Result Significantly Impacted by Covid-19 • While aquaculture (salmon and mussels) is doing well compared to last year, these areas will fall short of pre-Covid expectations • Improved second half fishing, but commodity sales are impacted and there will be a deferral of margin into next year th

  8. Slide 8: Strategy and Actions

    Strategy and Actions Existing strengths and weaknesses in a Covid-19 environment  Operational excellence  Already focused on moving up the value chain, closer to consumer  Branding and Innovation teams in place and already adapting X Foodservice focus, very limited retail presence X Very limited

  9. Slide 9: Outlook

    Outlook Opportunities • Ongoing: New Zealand seafood’s image internationally as healthy and sustainable protein • Short term and beyond: seeing market resilience in NZ, AUS and many parts of Asia • Short term and beyond: domestic seafood gains in retail • Medium and long term: channel and market div

  10. Slide 10: Thank you! Questions?

    Thank you! Questions?

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