Slide 1: Annual Shareholders' Meeting – Hybrid
PGG WRIGHTSON LIMITED ANNUAL SHAREHOLDERS’ MEETING – HYBRID 9:30am, Tuesday, 18 October 2022 Slide 1 – Meeting Opening Slide Slide 2 – Welcome – Introduction 1
Slide 2: How to participate in the meeting; Board of Directors
Slide 3 – How to participate in the Virtual/Hybrid Meeting (Q&A) Slide 4 – How to participate in the Virtual/Hybrid Meeting (Voting) Slide 5 – Board of Directors 2
Slide 3: Executive Team; Opening Formalities
Slides 6 to 7 – Executive Team Slide 8 – Opening Formalities Apologies Notice of Meeting 3
Slide 4: Business of the Meeting – Chair's Address & CEO's Review
Minutes Annual Report 2022 GAAP and non-GAAP Performance Measures Proxies and Postal Votes Slide 9 – Business of the Meeting – Chair’s Address & CEO’s Review Slide 10 – Chair’s Address 4
Slide 5: FY22 Financial Year Performance Highlights
Slide 11 – FY22 Financial Year Performance Highlights Financial performance highlights for the financial year ended 30 June 2022: • Our Operating EBITDA was $67.2 million, which was up $11.1 million or 20 per cent. • Net profit after tax was $24.3 million, up $1.6 million or seven per cent. • Operat
Slide 6: Group Operating EBITDA and Group Revenue
Slide 12 – Group Operating EBITDA Group Operating EBITDA of $67.2 million is an outstanding result and an increase of $11.1 million or 20 per cent on last year’s strong result. Normalised EBIT (excluding non-operating items) increased by 36 per cent compared to FY21 to $39.1 million. Slide 13 – Grou
Slide 7: Group Net Profit After Tax
Slide 14 – Group Net Profit After Tax NPAT in this financial year was $24.3 million which was up $1.6 million or seven per cent on last year. We launched our Group Strategy refresh in 2021 which builds on our proud heritage and strong fundamentals, while focusing on the fast evolving future landscap
Slide 8: Financial, Customer Experience and Health & Safety Measures
Financial Performance Measures: Our internal financial performance measures include two key indicators. Firstly, we target growth through the cycles in excess of Consumer Price Index (CPI). This is measured by comparing our normalised Earnings Before Interest and Tax (EBIT) growth against the CPI. F
Slide 9: Cash Flow, Inventories, Capex and Debt
or 44 per cent from 30 June 2021. In addition, inventories were $20.6 million higher than 30 June 2021 which reflects a conscious decision to have product available for clients due to challenges in shipping and supply chain due to the impact of COVID-19 challenges together with higher values of inve
Slide 10: People, Training and Safety Programmes
Two key programmes which were successfully re-established after the COVID-19 lockdowns have been our PGW Academy and Trainee programmes which focus on developing our internal talent pipeline and ‘TO LEAD’ which combines proven leadership principles with what is critical in a PGW context. With a revi
Slide 11: 2022 Group Operational Highlights
Slide 17 – 2022 Group Operational Highlights Some of the operational highlights we achieved over the year include the following: • Our Fruitfed Supplies Technical Research and Development (or R&D) team conducted 59 new product trials across the Bay of Plenty, Tasman, Pukekohe, Canterbury regions and
Slide 12: Hawke's Bay Region
Slide 18 – Hawke’s Bay Region It is great to be back in Hawke’s Bay, which is such an important region to us as Sarah mentioned. Hawke’s Bay has a reputation as a wine and food province but there are also amazing beaches, stunning scenery, and some wonderful Art Deco architecture. PGW is founded on
Slide 13: Hawke's Bay sites and support services
Hastings could be considered a mega site as there are two retail stores on site, our Rural Supplies store and our Fruitfed Supplies store, a Real Estate office, and our Regional office. Directly across the road is the Stortford Lodge sale yards facility which hosts two sales a week throughout the ye
Slide 14: Business Unit Financial Results
Slides 19 – Business Unit Financial Results I will now discuss the performance of our two operating groups, Retail & Water and Agency. Slides 20 to 21 – Retail & Water 14
Slide 15: Retail & Water Operating EBITDA
The Retail & Water business incorporates Rural Supplies, Fruitfed Supplies, Agritrade, and Water. Retail & Water’s Operating EBITDA was an impressive $52.5 million, up $15.0 million on the prior year. Our Retail & Water businesses performed extremely well and achieved an outstanding result with new
Slide 16: Rural Supplies and Fruitfed Supplies
Our reps continue to increase their usage of technical platforms which streamline their day-to-day activities and make their interactions with clients more efficient. Investment in our people continues through training, with a focus on sales to ensure we are supporting our clients with the right adv
Slide 17: Water and Agency Operating EBITDA
strong relationships the team has with our partners which assisted in ensuring the flow of key products and inputs to our clients. Implementation of our Water Strategy has contributed to increased business with new and repeat clients. Technology initiatives included improving our client asset manage
Slide 18: Livestock business and bidr platform
Our Livestock business performed well in a challenging climate with higher revenue and Operating EBITDA achieved. The strong values achieved for dairy livestock were supported by an increase in tallies and promotional links to bidr®’s hybrid sales. The South Island recorded its strongest trading per
Slide 19: First Quarter FY2023
The business expanded during the year through the acquisition of Real Estate New Zealand in Ashburton and our Te Awamutu real estate office moved into new premises. Slides 24 to 25 – First Quarter FY2023 After the very wet winter, soil moisture levels are currently ranging from between normal to wel
Slide 20: Rural Supplies campaign and Real Estate activity
We recently relaunched our Rural Supplies brand campaign which communicates our store teams and Technical Field Representatives’ passion for helping their clients and local communities. Under the tagline “Working alongside you, every season of the year”, the campaign portrays the way stores and fiel
Slide 21: Outlook for New Zealand agriculture
While input prices are increasing, rising food prices are expected to be beneficial overall for New Zealand’s agricultural sector. Most agricultural industries are facing similar pressures to other businesses, including a tight labour market and disruption to production from ongoing challenges prese
Slide 22: Questions and discussion
Slides 28 to 29 – Questions and discussion Slide 30 – Business of the Meeting – Resolutions 22
Slide 23: Ordinary Resolutions One and Two: Election of Directors
Slides 31 to 32 – Ordinary Resolution One: Election of Meng Foon Slides 33 to 34 – Ordinary Resolution Two: Election of Garry Moore 23
Slide 24: Ordinary Resolution Three: Re-election of Sarah Brown
Slides 35 to 36 – Ordinary Resolution Three: Re-election of Sarah Brown 24
Slide 25: Ordinary Resolution Four: Auditor's Remuneration
Slides 37 to 38 – Ordinary Resolution Four: Auditor’s Remuneration Slide 39 – Move Resolutions 25
Slide 26: General Business; Closing and Thank You
Slide 40 – General Business Closing Slide 41 – Closing and Thank You 26