Fraser & Neave Ltd. · SGX:F99
Fraser & Neave — H1 2024 Earnings Presentation
18 slides from Fraser & Neave's earnings presentation, May 2024
Slide 1: Financial Highlights for six months ended 31 March 2024
FINANCIAL HIGHLIGHTS for six months ended 31 March 2024 (“1H2024”) (Unaudited)
Slide 2: Important Notice
IMPORTANT NOTICE Certain statements in this Presentation constitute “forward-looking statements”, including forward-looking financial information. Such forward- looking statements and financial information involve known and unknown risks, uncertainties and other factors which may cause the actual re
Slide 3: F&N achieves 52% profit growth despite weakness in regional currencies
F&N ACHIEVES 52 % PROFIT GROWTH DESPITE WEAKNESS IN REGIONAL CURRENCIES 1H2024 Financial Highlights $1,071.1M $162.5M 15.2% (+ 2.5%) (+ 53.6%) (+ 505 bps) REVENUE PBIT PBIT MARGIN $125.5M $83.8M 5.8 CTS (+ 13.2%) (+ 52.5%) (+ 52.6%) PAT ATTRIBUTABLE PROFIT1 EARNINGS PER SHARE1 Half-year ended 31 Mar
Slide 4: Beverages & Dairies led 1H2024 revenue growth
BEVERAGES & DAIRIES LED 1H2024 REVENUE GROWTH 1H2024 Revenue (by Business) 1H2023 $1,045.3m Beverages + 6% KEY TAKEAWAYS F&B • F&B segment contributed to the Group’s 2% (+6% Dairies (+4%) + 3% in constant currency) revenue growth + $25.8m (+ 2%) P&P - 14% • Favourable sales mix and higher volume res
Slide 5: Financial Analysis: Revenue by Geography
FINANCIAL ANALYSIS 1H2024 Revenue (by Geography) KEY TAKEAWAYS 9% 20% Malaysia’s revenue fell due to weakness in Malaysian Ringgit, despite improved F&B 1H2024 Revenue performance. In local currency, its revenue 31% $1,071.1M (by Geography) improved • Successful execution of festive campaigns and ea
Slide 6: Financial Analysis: PBIT by Business
FINANCIAL ANALYSIS 1H2024 PBIT (by Business) 1H2023 $105.8m Beverages + 37% KEY TAKEAWAYS F&B Dairies (+ 47%) + 49% • Group 1H2024 earnings grew 54% (+59% in + $56.7m (+ 54%) constant currency), benefiting from increased F&B P&P + 34% sales, effective cost reduction measures, and a more favourable c
Slide 7: Financial Analysis: PBIT by Geography
FINANCIAL ANALYSIS 1H2024 PBIT (by Geography) KEY TAKEAWAYS -1% Despite weakness in the Malaysian Ringgit, 28% 30% Malaysia earnings grew 1H2024 PBIT • Supported by higher sales and favourable $162.5M (by Geography) commodity prices and sales mix, despite increased brand spend Thailand’s profit incr
Slide 8: Financial Highlights: 1H2024 Balance Sheet
FINANCIAL HIGHLIGHTS 1H2024 Balance Sheet $5,112.6M $1,761.8M $3,350.8M TOTAL ASSETS TOTAL LIABILITIES TOTAL EQUITY Cash and Bank Balances $473.3M Borrowings $1,149.3M Share Capital $865.7M Other Current Assets $757.7M Other Current Liabilities $521.9M Reserves $2,018.8M Non-Current Assets $3,881.6M
Slide 9: Strong Capital Structure
STRONG CAPITAL STRUCTURE Maturity Profile of Group Debt Generous debt headroom for acquisitions FY2023 1H2024 Floating Rates 20% $889.2m $260.1m Cash $431.8M $473.3M Fixed Borrowings $1,133.6M $1,149.3M Rates 80% Gearing1 20.6% 20.2% MATURING < 1YR MATURING > 1YR Dividend Interim Dividend of 1.5 Cen
Slide 10: Corporate Development
CORPORATE DEVELOPMENT Half-year ended 31 March 2024 10
Slide 11: F&N strengthens presence in Cambodia with new dairy manufacturing facility
F&N STRENGTHENS PRESENCE IN CAMBODIA WITH NEW DAIRYMANUFACTURING FACILITY Leading the canned milk sector in Cambodia • F&NHB secured a land lease for the construction of a new dairy manufacturing facility in Cambodia. • This new plant will oversee the production, distribution, marketing, and sales o
Slide 12: F&N advances on F&N AgriValley, integrated dairy farm project in Gemas
F&N ADVANCES ON F&N AGRIVALLEY, THE INTEGRATED DAIRY FARM PROJECT IN GEMAS,NEGERI SEMBILAN • Completed the social impact study; land clearance and site preparation of the dairy barn site nearing completion. • First batch of dairy cattle has been selected according to the planned schedule; remain on
Slide 13: New Product Launch
NEW PRODUCT LAUNCH F&N FRUIT TREE FRESH Muscat Grape Juice (limited-edition) Tetra 946ml Only available in Singapore LEFT FRONT RIGHT Half-year ended 31 March 2024 13
Slide 14: New Product Launch
NEW PRODUCT LAUNCH F&N MAGNOLIA Cookies & Cream Low Fat Flavoured Milk (limited-edition) Tetra 946ml Only available in Singapore LEFT FRONT RIGHT Half-year ended 31 March 2024 14
Slide 15: New Product Launch
NEW PRODUCT LAUNCH F&N NUTRISOY Kurogoma Black Sesame Soya Milk (limited-edition) Tetra 946ml Only available in Singapore LEFT FRONT RIGHT Half-year ended 31 March 2024 15
Slide 16: Marketing Investments
MARKETING INVESTMENTS Key Events/Sponsorships in FY2024 1. 100PLUS ACTIVE in Indonesia 2. Launch of 100PLUS CNY Gold Cans (SG & MY) 3. 100PLUS Partnership with Decathlon (SG) 4. 100PLUS Supports the AWAM White Ribbon Run 2024 (MY) 5. 100PLUS Launches Limited-Edition Festive Packs (SG) 6. 100PLUS, th
Slide 17: Thank You
Website: https://fraserandneave.com Thank You Analyst and media contact: Ms. Jennifer Yu Director, Investor Relations T: (65) 6318 9231 E: jenniferyu@fngroup.com.sg 17
Slide 18: 1H2024 Group Financial Highlights (Unaudited)
1H2024 GROUP FINANCIAL HIGHLIGHTS (UNAUDITED) 1H2023 1H2024 Change ($’M) ($’M) (%) Revenue 1,045.3 1,071.1 2.5 Gross Profit 296.6 352.0 18.7 Profit before interest and tax 105.8 162.5 53.6 PBIT margin (%) 10.1% 15.2% 505 bps Profit after tax 110.9 125.5 13.2 Profit attributable to Shareholders 55.0