Gfpt Public Co. Ltd. · SET:GFPT

Gfpt Public — Q1 2021 Earnings Presentation

38 slides from Gfpt Public's earnings presentation, May 13, 2021

  1. Slide 1: 1Q2021 Result Presentation

    1Q2021 Result Presentation Analyst Meeting No.2/2021 13 May 2021 GFPT Public Company Limited Analyst Meeting No. 2/2021 | 13 May 2021 | page 1

  2. Slide 2: Disclaimer

    Disclaimer This presentation contains summary information about GFPT Public Company Limited (“GFPT” or “the Company”) and its subsidiaries (jointly the “GFPT Group”) as at 31 March 2021 and, unless stated otherwise. The information does not purport to be complete or comprehensive. This presentation

  3. Slide 3: Agenda

    Agenda  GFPT Profile  1Q2021 Financial Results  Broiler Industry Outlook  2021 Guidance  Q&A  Appendix:  Key Statistics Analyst Meeting No. 2/2021 | 13 May 2021 | page 3

  4. Slide 4: About the Company

    About the Company  GFPT Public Company Limited (TB:GFPT), founded in 1981 with headquarters in Bangkok, Thailand, is one of The Thailand’s chicken processors and marketers.  Company is specialized in fully vertical integrated chicken production starting from feed mill, grandparent breeder farm, pa

  5. Slide 5: Committed to produce quality chicken meat to international standards

    We are committed to produce quality chicken meat according to international standards with attention to every stage of production to ensure, our chicken is fresh, clean, safe, and delicious in every bite. Analyst Meeting No. 2/2021 | 13 May 2021 | page 5

  6. Slide 6: GFPT's Vision

    GFPT’S VISION “GFPT strives to be a leading chicken meat exporter with its fully vertical integrated chicken production” MISSIONS Quality Satisfaction Responsibility Enhance product quality to Attention to the needs of Build awareness and the international standards customers responsible to society

  7. Slide 7: Sustainability Development

    Sustainability Development GFPT supported Sustainable Development Goals (SDGs) which was incorporated in the Company's objectives and operations; for example: SDGs 2 Zero hunger SDGs 4 Quality education SDGs 6 Clean water and sanitation SDGs 8 Decent work and economic growth SDGs 13 Climate action S

  8. Slide 8: GFPT Awards

    GFPT Awards Thailand Best Overall Sustainability Investor Relations Investment (Small Cap) (Thailand Sustainability (IR Magazine Awards - Investment: THSI) South East Asia 2020) Anti – Corruption “Excellent” Certified to be a rating from member of CAC the CGR (Collective Action Coalition) (Corporate

  9. Slide 9: GFPT Profile

    GFPT Profile Symbol GFPT Shareholding Structure SET100 / SETTHSI / SETWB as of 9 Mar 2021 Industry / Sector Agro & Food Industry / Agribusiness 2020 CG Score Excellent [90 – 100 CG Report Score] Anti – Corruption Certified to be a member of CAC Closed Price THB 11.50 per share (30/04/2021) Average P

  10. Slide 10: Group Structure

    Group Structure GFPT GFPT Public Company Limited Chicken Evisceration and Processed Food 5 Subsidiaries 2 Joint Ventures Keystone Foods Inc. [51%] McKey | 49.00% KT | 98.29% FKT | 99.99% GFF | 99.99% McKey Food Services (Thailand) Ltd. Krungthai Food PCL. Krungthai Farm Co., Ltd. GF Foods Co., Ltd.

  11. Slide 11: Fully Vertical Integrated Chicken Production

    Fully Vertical Integrated Chicken Production Materials / Market / Sources Feed Farm Food (Chicken Processing) Customer Export (Cooked Product & Frozen Chicken Meat) • Japan • China KT1 : Feed mill MKS : Broiler Farm GFPT-PP : Chicken Primary GFPT-FP : Further Plant • UK Processing • EU Animal Feed •

  12. Slide 12: Timeline

    Timeline Listed in SET Stock split from THB 10 Additional Capital MKS: Broiler GFPT: Further GFPT Initially established to THB 1 per share Injection in GFN farm expansion processing plant expansion 1981 1992 2010 2012 2018 2020 1990 1991 1993 2003 2008 2016 2017 2019-2020 99.99% in FKT 99.99% in GFF

  13. Slide 13: GFPT Group Expansion Plan

    GFPT Group Expansion Plan Future Project GFPT Broiler Farm Raising capacity to reach 340,000 birds per day GFPT Slaughter House New slaughter house capacity at 150,000 birds per day GFPT Further Processing Plant Cooked product for export capacity at 24,000 MT per year McKey Further Processing Plant

  14. Slide 14: Product

    Product FEED FARM FOOD Animal Feed [Pig, Layer Hen, Duck, Cow, etc.] Cage Free Eggs DOC Live Broiler Chicken Parts and Meat [Bone-in, Boneless, Cut-up, Marinated] Cooked Product [Fully Cooked, Par-fried, Breaded, Steamed, Roasted] Shrimp Feed Fish Feed [Grandparent farm, Breeder Farm, Broiler farm]

  15. Slide 15: Y2020 Snapshot

    Y2020 Snapshot 2020 Consolidated Revenue = THB 14.47 billion Revenue by Segment 18,000 - 14% Farm 14,471 32% 15,000 Food 12,000 47% 9,000 6,000 Feed 3,000 21% - 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Revenue by Destination Revenue by Currency Revenue by Product DOC 4%

  16. Slide 16: Y2020 Market Position

    Y2020 Market Position 3rd in Thai Chicken Export 8th in Thai Chicken Production GFPT GFPT Group Group 6% 12% Export by Destination Export by Product Type Others 10% China JP Raw Cooked 22% 40% 40% 60% EU / UK 28% Source: Thai Broiler Processing Exporters Association Note: 2020 Thai Broiler Productio

  17. Slide 17: 1Q2021 Financial Results

    *GFPT 102021 Financial Results

  18. Slide 18: 1Q2021 Financial Results

    1Q2021 Financial Results 1Q2021 Consolidated Revenue = THB 3.30 billion 1Q2021 Revenue Breakdown by Segment Business Segment of 1Q2021 1Q2020 Change GFPT Group THB million % THB million % THB million % Food (Chicken Processing) 1,555.70 47.17 1,716.60 46.62 (160.90) (9.37) Farm 1,074.61 32.58 1,245.

  19. Slide 19: 1Q2021 Consolidated Income Statement

    1Q2021 Consolidated Income Statement (Unit in THB million) 1Q2020 %Sales 1Q2021 %Sales Change % Change Revenue from sales 3,682.20 100.00% 3,298.38 100.00% (383.82) (10.42%) Cost of sales (3,142.49) (85.34%) (2,983.45) (90.45%) (159.04) (5.06%) GROSS PROFIT 539.71 14.66% 314.93 9.55% (224.78) (41.65

  20. Slide 20: 1Q2021 Financial Results

    1Q2021 Financial Results Gross Profit & GP Margin (%) EBITDA & EBITDA Margin (%) 16.4% 22.2% 3,000 15.8% 18% 3,500 20.6% 20.6% 20.8% 24% 15.0% 14.7% 14.3% 19.4% 14.3% 14.4% 14.6% 18.6% 21% 2,500 13.6% 15% 3,000 18.5% 12.2% 17.0% 16.0% 18% 2,500 14.5% 2,000 9.5% 12% 12.7% 15% 2,000 1,500 9% 12% 1,500

  21. Slide 21: 1Q2021 Financial Results

    1Q2021 Financial Results EPS (THB per share) Return on Asset (%) 1,800 1.31 1.33 147% 25,000 10.6% 9.9% 12% 144% 141% 138% 135% 1,600 1.08 132% 129% 126% 123% 8.3% 120% 117% 20,000 1,400 0.95 0.95 114% 111% 108% 9% 0.83 105% 102% 99% 6.5% 6.9% 1,200 96% 93% 1,000 90% 87% 84% 15,000 5.9% 81% 78% 75%

  22. Slide 22: 1Q2021 Consolidated Financial Position

    1Q2021 Consolidated Financial Position Selected Items (Unit in THB million) Y2020 Mar 2021 Change % Change Cash and Cash Equivalents 1,187.46 1,335.03 147.57 12.43% Trade and Other Receivables 715.06 726.99 11.93 1.67% Inventories 3,798.30 3,729.34 (68.96) (1.82%) Other Current Assets 37.00 51.59 14

  23. Slide 23: 1Q2021 Consolidated Financial Position

    1Q2021 Consolidated Financial Position Selected Items (Unit in THB million) Y2020 Mar 2021 Change % Change Short - Term Loans from Financial Institutions 700.00 700.00 - - Trade and Other Payables 1,080.43 1,371.25 290.82 26.92% Current Portion of Long-Term Loans from RPT 553.00 560.00 7.00 1.27% Ot

  24. Slide 24: 1Q2021 Consolidated Financial Position

    1Q2021 Consolidated Financial Position Selected Items (Unit in THB million) 1Q2020 1Q2021 Change % Change EBIT 425.16 101.69 (323.47) (76.08%) Depreciation - Grandparent & Parent Chickens 143.26 134.72 (8.54) (5.96%) Depreciation & Amortization 189.60 183.86 (5.74) (3.03%) EBITDA 758.02 420.27 (337.

  25. Slide 25: 1Q2021 Consolidated Financial Position

    1Q2021 Consolidated Financial Position 1Q2021 Total Assets = THB 20.81 billion Book Value (THB per share) 25,000 16,000 11.73 11.78 1242% 1239% 1236% 1233% 1230% 1227% 1224% 1221% 1218% 1215% 1212% 1209% 1206% 1203% 1200% 1197% 1194% 1191% 10.86 1188% 1185% 1182% 1179% 1176% 1173% 1170% 1167% 1164%

  26. Slide 26: 1Q2021 Financial Results

    1Q2021 Financial Results 1Q2021 Interest-Bearing Debt = THB 3.48 billion Net Debt to EBITDA (THB million) 4,000 2.07 219% 216% 213% 210% 1.74 207% 204% 201% 198% 195% 192% 189% 186% 183% 180% 177% 174% Short-Term Loans 700 3,000 171% 168% 165% 162% 1.29 159% 156% 153% 1.23 1.20 150% 147% 144% 1.09 1

  27. Slide 27: Capital Expenditure

    Capital Expenditure Investment (million THB) 1,567 1,145 1,264 924 912 882 545 594 536 581 610 609 2015 2016 2017 2018 2019 2020 Breeder Stocks Fixed Assets Y2021 Capital Expenditure 1-1.2 Billion  Broiler Farm  Breeder Farm  Primary Plant Analyst Meeting No. 2/2021 | 13 May 2021 | page 27

  28. Slide 28: Market Outlook and Trend

    *GFPT Market Outlook and Trend

  29. Slide 29: Global Broiler Meat Market

    Global Broiler Meat Market THAILAND Thai Broiler Export by Market  The 8th Global Chicken Producer Others 25%  2020 broiler production = 3,250,000 tons Japan 46%  The 4th Global Chicken Exporter EU  2020 broiler meat export = 874,000 tons 29% Broiler Meat Production & Export Selected Countries (

  30. Slide 30: 40 Years of Thai Chicken Meat Export

    40 Years of Thai Chicken Meat Export 1,200,000 Change Change 2019 2020 Forecast 2021 19 / 20 20 / 21 MT Mil. Baht MT Mil. Baht (%) MT Mil. Baht (%) Product 2021 F: 1,000,000 950,000 MT - Raw 353,328 29,423 387,947 32,915 11.87 400,000 34,000 3.30 - Further (Cooked) 600,682 82,117 549,886 76,129 (7.2

  31. Slide 31: Global Broiler Meat Market

    Global Broiler Meat Market Global Production [Y2020 = 100,587,000 tons] Global Import [Y2020 = 9,903,000 tons] USA 20,255 Japan 1,005 China 14,600 China 999 Brazil 13,880 Mexico 842 EU 12,375 Saudi Arabia 618 Russia 4,680 EU 609 India 4,000 Iraq 448 Mexico 3,725 S.Africa 434 Thailand 3,250 UAE 420 A

  32. Slide 32: Commodity Price

    Commodity Price Corn & Soy Bean Meal (THB/Kg.) Broiler at Farm Gate (THB/Kg.) 20.0 18.2 65.0 18.0 16.4 16.3 16.3 15.5 16.0 14.8 55.0 13.7 14.0 13.4 13.1 13.1 14.0 SBM 45.0 38.3 37.3 37.3 36.9 39.1 12.0 34.4 35.4 34.4 34.7 33.8 34.8 10.0 35.0 Corn 35.2 35.1 34.5 35.0 8.0 9.5 9.9 9.4 34.1 33.7 33.4 33

  33. Slide 33: 2021 Guidance

    2021 Guidance 2021 Guidance Revenue 0-5% growth from 2020 sales Gross Profit Margin 13.5% - 14.5% SG&A 8.5% - 9.0% Financial Cost 2.5% - 2.7% Effective Tax Rate 15% - 20% CAPEX THB 1 - 1.2 billion Analyst Meeting No. 2/2021 | 13 May 2021 | page 33

  34. Slide 34: Risk Factors

    Risk Factors o Covid-19 o Commodity Price Volatility o THB Appreciation o Non-Tariff Measures o Disease Outbreak Analyst Meeting No. 2/2021 | 13 May 2021 | page 34

  35. Slide 35: Key Statistics

    *GFPT Key Statistics

  36. Slide 36: Key Statistics: Chicken Processing and Feed Business

    Key Statistics: Chicken Processing and Feed Business Chicken Meat Direct Export (MT) Chicken Meat Indirect Export (MT) Chicken Meat Domestic (MT) - 9% + 0% 65,400 65,200 66,300 65,500 62,700 34,400 59,700 32,700 21,600 21,600 30,600 28,300 - 36% 18,100 17,400 15,900 16,500 22,100 21,900 + 5% - 18% -

  37. Slide 37: Q&A

    Q&A Analyst Meeting No. 2/2021 | 13 May 2021 | page 37

  38. Slide 38: Thank You

    THANK YOU INVESTOR RELATIONS DEPARTMENT Dr. Jutamas Ingpochai jutamas@gfpt.co.th T +66 2 473 8022 Veera Titayangkaruvong veera-tita@gfpt.co.th T +66 2 473 8000 ext. 1802 www.gfpt.co.th Analyst Meeting No. 2/2021 | 13 May 2021 | page 38

GFPT Public Company — Q1 2021 Earnings Presentation on 6ix