Singapore Exchange Ltd. · SGX:S68
Singapore Exchange — Halcyon Agri — FY2015 Earnings Presentation
15 slides from Singapore Exchange's earnings presentation, Feb 26, 2016
Slide 1: 2015 Full Year Financial Results
2015 FULL YEAR FINANCIAL RESULTS 26 FEBRUARY 2016
Slide 2: Important notice
Important notice This presentation has been prepared by Halcyon Agri Corporation Limited (“Company”) for informational purposes, and may contain projections and forward-looking statements that reflect the Company’s current views with respect to future events and financial performance. These views ar
Slide 3: FY 2015 highlights
FY 2015 highlights Volatile market environment throughout 2015 Natural rubber price fluctuated 45% in the year Low for 2015 of US$1,143/mT in Q4 Financial performance Revenue of US$994m, adjusted EBITDA US$49m Solid performance on operating metrics Low natural rubber prices affected raw ma
Slide 4: Key financials
Key financials Q4 Full year US$m 2015 2014 2015 2014 Revenue 213.4 287.6 994.7 479.2 Gross profit 8.2 13.3 62.2 24.9 EBITDA1 9.9 12.1 49.1 18.9 Operating profit1 7.6 9.5 40.0 13.7 Net income1 0.7 3.6 11.2 1.1 Sales volume (mT) 156,988 183,855 667,800 289,002 EBITDA1 after working capital interest (U
Slide 5: FY 2015 segment contributions
FY 2015 segment contributions Sales volume1 (mT) Revenue1 (US$m) 0 Volume and revenue split roughly equal between processing and distribution 382,145 556.1 Processing contributed 392,343 584.1 approximately 57% of operating profit, distribution contributed 31% Processing Distribution Plantations Pro
Slide 6: Operational metrics: Processing
Operational metrics: Processing Sales volume (mT) Market price/mT & premium/mT (US$) 382,145 81 Challenging market price pressured margins in Q4 1 Focus on quality systems 185,990 85 111 2,510 Implementation of HEVEAPRO 1,709 79,108 92,557 1,370 1,200 2013 2014 Q4 2015 2015 2013 2014 Q4 2015 2015 Av
Slide 7: Operational metrics: Distribution
Operational metrics: Distribution Sales volume (mT) Market price/mT & premium/mT (US$) 392,343 (147) Distribution business a 119 153 strong contributor Reorganised in 2015 along functional lines: 1,709 1,370 HEVEAPRO 112,033 101,007 1,200 Industrial Distribution & Latex Opportunistic Sales 201
Slide 8: Operational metrics: Plantations
Operational metrics: Plantations Cumulative Land area prepared for planting 2,605 ha Natural rubber planted area 1,281 ha Natural rubber trees planted 609,000 Oil palm planted area 566 ha Oil palms planted 66,546 Lebir Estate fully developed. Development underway on Ulu Nengirri Estate Palm plan
Slide 9: Cash flow
Cash flow Q4 FY US$m 2015 2014 2015 2014 Net cash (used in)/generated from operating activities, before working capital changes (4.2) 3.6 15.3 (9.5) Changes in working capital 8.1 6.2 3.6 13.7 Net cash generated from operating activities 3.9 9.9 18.8 4.1 Investing activities (1.8) (34.4) (27.2) (351
Slide 10: Balance sheet
Balance sheet US$m 31-Dec-15 31-Dec-14 Total assets 660.1 641.0 Working capital cash and bank balances 70.5 62.5 Inventories 102.9 88.1 Trade receivables 65.0 65.0 Total working capital assets 238.4 215.6 Cash reserved for strategic purposes 0.0 15.0 Total liabilities (533.4) (480.5) Trade payables
Slide 11: Halcyon Agri strategic positioning
Halcyon Agri strategic positioning Natural Rubber Supply Chain Management 3 Core Business Strategies 9,845 ha land in Malaysia 750,000 tonnes annual 1m tonnes annual sales processing capacity capability 3 sales & marketing Procurement reach into 2 regional manufacturing platforms all other major ori
Slide 12: Origination: Developing natural rubber plantations
Origination: Developing natural rubber plantations First tapping expected 2020 Production will include latex and cup-lump. Pristine raw material for premium applications (eg. adhesives, medical) Target peak production of 16,000 tonnes per annum 12
Slide 13: Production: Scale producer with 748,000 mT capacity
Production: Scale producer with 748,000 mT capacity Largest natural rubber producer in Palembang, Indonesia Licensed Indonesia’s largest rubber exporting city Factory Location Code Capacity PT Hevea MK I Palembang, South Sumatra SDR 55,000 PT Hevea MK II Palembang, South Sumatra SEA 55,000 PT Hok
Slide 14: Distribution: Global distribution network
Distribution: Global distribution network Moerdijk Wemeldingen The Netherlands Hamburg, Germany Akron London, Canada Baltimore Frankfurt, Germany Kent Jersey City Norfolk Turkey Chesapeake South Korea New Orleans Savannah Israel Qingdao, China Shanghai, China India Taiwan Ho Chi Minh, Vietnam Sales
Slide 15: 2015 Full Year Financial Results
2015 FULL YEAR FINANCIAL RESULTS 26 FEBRUARY 2016