Slide 1: Sunshine
IN Sunshine
Slide 2: Earnings Presentation 4QFY18
Earnings Presentation 4QFY18 28th May 2018
Slide 3: Group Performance
Group Performance
Slide 4: Group at a Glance – FY18
Group at a Glance – FY18 • LKR 21.2bn in Revenue; +12.4% YoY • LKR 1.8bn PAT; +11.9% YoY • PATMI of LKR 829m; +47.1% YoY Revenue - FY18 Other, • Healthcare revenue; LKR 8.2bn; +3.8% YoY 2% • Agri revenue; LKR 7.3bn; +11.7% YoY FMCG, Healthcare ▪ 10.8m kg of palm oil, +1.1% YoY 25% , 38% LKR 21.2bn ▪
Slide 5: Group at a Glance – 4QFY18 [Jan-Mar]
Group at a Glance – 4QFY18 [Jan-Mar] • LKR 5.6bn in Revenue; +12.6% YoY • LKR 166m PAT; -40.8% YoY • PATMI of LKR 108m Revenue - 4QFY18 Other, • Healthcare revenue; LKR 2.1bn; +5.2% YoY 2% Healthcare • Agri revenue; LKR 1.9bn; +7.3% YoY FMCG, 27% , 38% ▪ 2.3m kg of palm oil, 4.5% YoY LKR 5.6bn ▪ 2.1
Slide 6: Group Financial Highlights
Group Financial Highlights Growth 4Q 4Q Growth LKR m FY18 FY17 % FY18 FY17 % Revenue 21,236 18,891 12.4% 5,673 5,040 12.6% EBIT 2,580 2,073 24.5% 591 429 37.8% EBIT Margin 12.1% 11.0% 10.4% 8.5% PAT 1,805 1,613 11.9% 166 281 -40.8% PAT Margin 8.5% 8.5% 2.9% 5.6% PATMI 829 564 47.1% 108 123 -12.7% Re
Slide 7: 4Q Revenue Growth Trend
4Q Revenue Growth Trend • 5 Year CAGR of 9% 5 Yr CAGR: 9% 6,000 5,673 25% 5,040 22% 5,000 4,615 20% 3,982 4,105 4,000 15% LKR m 3,000 12% 13% 10% 9% 2,000 5% 1,000 3% - 0% 4QFY14 4QFY15 4QFY16 4QFY17 4QFY18 Revenue Revenue Growth
Slide 8: 4Q Profitability
4Q Profitability LKR m • PAT at LKR 166m reduced by 40.8% YoY mainly due to increase in finance cost and tax expenses –Differed tax expense of LKR155m • Healthcare margins have reduced due to depreciation in local currency. • FMCG margins expanded due to price increases taken to reflect increase in
Slide 9: Earnings Contribution FY18
Earnings Contribution FY18 PAT - FY18 PATMI - FY18 Other, 4% Healthcare, Healthcare, FMCG, 14% Other, 29.8% 16% 18.1% LKR 1.8bn LKR 829m FMCG, 13.7% Agri, 65% Agri, 38.3% Note: Other segment of PATMI includes valuation gain of Sunshine Packaging Property.
Slide 10: Segment Performance 4Q FY18
Segment Performance 4Q FY18
Slide 11: Healthcare
Healthcare Growth 4Q 4Q Growth LKR m FY18 FY17 % FY18 FY17 % Revenue 8,162 7,863 3.8% 2,144 2,037 5.3% EBIT 416 343 21.0% 92 151 -39.2% EBIT Margin 5.1% 4.4% 4.3% 7.4% Profit for the period 258 198 30.5% 57 107 -46.7% PAT Margin 3.2% 2.5% 2.7% 5.3% Adjusted PAT* 258 321 -19.5% 57 230 -75.2% *Adjuste
Slide 12: Healthcare Retail
Healthcare Retail 23 Outlets existing outlets in Colombo, including 11 express outlets Highlights • Continued focus on Wellness helped margin expansion –170 bps • Strong growth in customer footfall – 11% SSS Growth • Higher focus on direct imports to increase margins • GNC • Ulta 3
Slide 13: FMCG
FMCG Growth 4Q 4Q Growth LKR m FY18 FY17 % FY18 FY17 % Revenue 5,381 4,213 27.7% 1,546 1,202 28.6% EBIT 395 303 30.3% 102 22 365.7% EBIT Margin 7.3% 7.2% 6.6% 1.8% Profit for the period 294 275 6.7% 88 26 235.3% PAT Margin 5.5% 6.5% 5.7% 2.2% Adjusted PAT* 294 250 17.4% 88 26 235.3% *Adjusted on one
Slide 14: Agri – Sector Results
Agri –Sector Results Growth 4Q 4Q Growth LKR m FY18 FY17 % FY18 FY17 % Revenue 7,266 6,502 11.8% 1,898 1,764 7.6% EBIT 1,566 1,494 4.9% 403 311 29.8% EBIT Margin 21.6% 23.0% 21.3% 17.6% Profit for the period 1,179 1,226 -3.8% 140 212 -34.0% PAT Margin 16.2% 18.9% 7.4% 12.0% Highlights • LKR1.5bn dis
Slide 15: Agri - WATA
Agri - WATA Growth 4Q 4Q Growth LKR m FY18 FY17 % FY18 FY17 % Revenue 4,949 4,447 11.3% 566 556 1.9% EBIT 1,150 1,154 -0.4% 173 169 2.0% EBIT Margin 23.2% 26.0% 30.5% 30.4% Profit for the period 939 950 -1.2% (7) 131 -105.2% PAT Margin 19.0% 21.4% -1.2% 23.5% WATA results include pre split Tea resul
Slide 16: Agri - HPL
Agri - HPL Growth 4Q 4Q Growth LKR m 2H FY18 2H FY17 % FY18 FY17 % Revenue 2,317 2,055 12.8% 1,331 1,208 10.2% EBIT 417 340 22.7% 231 142 63.0% EBIT Margin 18.0% 16.5% 17.3% 11.7% Profit for the period 241 276 -12.6% 147 81 80.3% PAT Margin 10.4% 13.4% 11.0% 6.7% FY17 comparative is based on Tea seg
Slide 17: Other
Other Energy • Revenue of LKR 44m for 4QFY18 against LKR 21m for the same period last year, due to the contribution fom the second power plant • EBIT of LKR 11m for 4QFY18 against loss of LKR 10m for the same period last year • Elgin Plant under construction & will be commissioned in 2QFY18
Slide 18: Additional data for analysts
Additional data for analysts 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q LKR m FY14 FY15 FY15 FY15 FY15 FY16 FY16 FY16 FY17 FY17 FY17 FY17 FY17 FY18 FY18 FY18 FY18 Revenue 3,982 3,984 4,166 4,072 4,105 4,179 4,341 4,288 4,615 4,621 4,864 4,425 5,115 5,199 5,128 5,235 5,673 PAT 350 326 225 289
Slide 19: Outlook
Outlook
Slide 20: Outlook for 1Q FY19
Outlook for 1Q FY19 Healthcare Agri • Effective principle contract • Better Tea crop expected, slight management dip in NSA • Further depreciation of LKR is • Palm Oil NSA will be flat, expected increase in yield per hectare • Focus on Beauty & Wellness brands to increase margins with higher brand l
Slide 21: Forward Looking Statements
Forward Looking Statements This presentation contains forward-looking statements that are based on management’s current expectations and assumptions. Forward-looking statements include predictions of future results or activities and may contain the words “expects,” “believes,” “should,” “will,” “ant
Slide 22: Thank you
Thank you For more information, Please visit our Investor Relations page http://www.sunshineholdings.lk/investor%20relations/index.php