Pt Malindo Feedmill Tbk · IDX:MAIN
Pt Malindo Feedmill Tbk — Investor Presentation (June 2015)
28 slides from Pt Malindo Feedmill Tbk's investor presentation, June 2015
Slide 1: Investor Presentation
INVESTOR PRESENTATION June 2015
Slide 2: Agenda
Agenda Company Background Industry Outlook Business Lines Company Financials 1
Slide 3: Company Background
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Slide 4: Introduction to Malindo
Introduction to Malindo • Top 3 fully integrated poultry producer with revenues of IDR 4.5 tn, EBITDA of IDR 148 bn in Revenues (IDR bn) 2014 (3% margin), IDR 3.3 tn market cap(1) 5,500 • Above industry sales growth of ~19% CAGR(2) from 5,000 2009-14, with further growth expected in 2015 4,500 • Con
Slide 5: Key Financial Highlights
Key Financial Highlights • Fast industry growth at c.15% CAGR from 2012 – 2022, driven by rising incomes(1) Attractive, Fast • Amongst the lowest consumption in SE Asia at 9 kg vs. Malaysia at 38 kg(2) Growing Industry • The preferred protein due to its cultural, religious fit and affordability • 20
Slide 6: 2015 Outlook
2015 Outlook Projected Poultry Consumption • Strong feed volume growth contributed by new 8,000 14 capacity in Semarang and Makassar 7,000 CAGR(2) 12 11% • Expected DOC price stabilization 6,000 10 – Government policy on GPS import 5,000 8 – Cyclicality in the sector 4,000 6 • Projected processed fo
Slide 7: Planned capex sufficient to meet volume demand until 2018
Planned capex sufficient to meet volume demand until 2018 Capex (IDR bn) Feed capacity (tons) Processed foods capacity (tons) CAGR 1,800,000 9% 30,000 CAGR 24,000 1,600,000 1,500,000 1,500,000 63% 20,000 1,400,000 1,260,000 9,000 9,000 1,200,000 10,000 1,000,000 - 2014 2015 2016 2014 2015 2016 330 8
Slide 8: Raw material volatility is passed through to consumers over time
Raw material volatility is passed through to consumers over time Corn Price ($ per bu) Soybean Meal Price ($ per kg) 6.0 8.5 5.5 7.5 5.0 6.5 4.5 5.5 4.0 4.5 3.5 3.5 3.0 2.5 2.5 Jan-12 Jan-13 Jan-14 Jan-15 Jan-12 Jan-13 Jan-14 Jan-15 USD/IDR MAIN Profitability 25.0% GP Margin EBITDA Margin 13,000 19.
Slide 9: Strategic and diverse locations, and expanding presence
Strategic and diverse locations, and expanding presence Current operation Medan Future location Pontianak Balikpapan Pekanbaru Cikande, Cakung Palembang Banjarmasin Purwakarta Lampung Majalengka Cikarang Semarang Bogor Probolinggo Makassar Sukabumi Gresik Subang Cikaum, Lumajang Bandung Wonosari Leg
Slide 10: Industry Outlook
Change pictures, for each section dividers INDUSTRY OUTLOOK
Slide 11: Fast-growing industry driven by rising incomes
Fast-growing industry driven by rising incomes Indonesia’s consuming class is growing, adding 90 Consumption per capita is projected to grow to 12 kg by million people in the consuming class by 2030 2017 (1) Million people 280 280 8,000 14 265 Accelerated consumption rate at 240 12 GDP per capita of
Slide 12: Poultry has been gaining share of consumption
Poultry has been gaining share of consumption Indonesia’s consumption per capita by meat type (1980-2009) 1980 Kilograms per capita 2009 2.4x 23.9 10.0 5.1x 2.1x 1.3x 6.1 3.3 2.3 1.2 1.6 1.8 Fish Poultry Pork/Lamb Beef Share of meat 69% 67% 8% 17% 11% 9% 12% 6% consumption Poultry is well-positioned
Slide 13: Future opportunities in processed food
Future opportunities in processed food Food spending as portion of total Processed food spend in Indonesia Frozen processed chicken spend in income (2002-2013) (2002-2012)(2) Indonesia Percent of total income(1) Trillions of IDR Billions of IDR Spending on food 83 8,869 70 Spending on processed food
Slide 14: Business Lines
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Slide 15: Emerging market leader in poultry
Emerging market leader in poultry Malindo is well-positioned to capture market share from the overall growth in the poultry industry, including the growing branded processed poultry segment Indonesia feed production capacity share (2014) Indonesia DOC production capacity share (2014) CPIN CPIN JPFA
Slide 16: Feed
Feed • Highest contributor to revenues and EBITDA – 2014 sales of IDR 3.2 tn ($246 mm) with sales growth of 12% at 70%+ of optimal utilization – 71% of total revenue, EBIT margin of 8% • Expanding capacity from 1.26 mm tons to 1.5 mm tons by 2015 (19%) – 360,000 MT feedmill in Semarang commenced pro
Slide 17: Production Process – Poultry Feed
Production Process – Poultry Feed Raw Material Raw Material Grinding & Mixing Pelleting Feed Additive, Poultry Feed Feed Vitamin and (Pellet/ Others (Mass) Crumble) QUALITY CONTROL to maintain high QUALITY CONTROL quality raw material DELIVERY 16
Slide 18: DOC
DOC • 2014 sales of IDR 708 bn ($54 mm) – 16% of revenues; expected market stabilization in 2015 • High quality, disease-resistant DOC sourced from Cobb-Vantress – Efficient Feed Conversion Ratio (FCR), low mortality rates, high uniformity and fast weight gain – Technical expertise and strict sanita
Slide 19: Production Process – DOC
Production Process – DOC BREEDING FARM DOC Growing Producing Hatching Eggs Hatchery (Parent Stock) (1-24 weeks) (25-66 weeks) Poultry Feed, Poultry Feed, Holding Room Vaccine, Vitamin Vaccine, Vitamin (Max 3 days) and Other and Other Incubator (18 days) High quality Advanced technology and Hatcher s
Slide 20: Broiler
Broiler • 11% of total revenues in 2014 with sales of IDR 502 bn; sales growth of 12% • High quality DOC and best-in-class farm management ensures high-quality broiler • Diverse geographic location limits disease outbreaks • Extensive network of distributors and wholesalers to access both traditiona
Slide 21: Processed Food
Processed Food • Processed food commenced operations in Q3 2013; 1% of total revenues in 2014 • State-of-the-art production plant with installed production capacity of 9,000 tons per annum – Current installed capacity will be sufficient to cover projected demand for the next 2-3 years – An additiona
Slide 22: Company Financials
Change pictures, for each section dividers COMPANY FINANCIALS
Slide 23: Financial Performance
Financial Performance Net Sales Chicken Gross Profit IDR bn consumption grew IDR bn at 6% CAGR from CAGR CAGR 2009-14 6.8% 21.9% 718 4,502 638 4,193 3,350 461 2,634 388 322 2,037 1,084 1,122 130 75 2010 2011 2012 2013 2014 2014 2015 2010 2011 2012 2013 2014 2014 2015 (3M) (3M) (3M) (3M) EBITDA Net I
Slide 24: Financial Performance
Financial Performance 2015 (3M) Revenue Breakdown Shareholders' Equity 1% IDR bn 11% 1,081 1,021 11% Feed 865 685 DOC 18% Broiler 424 Processed food 258 70% 2010 2011 2012 2013 2014 2015 (3M) Leverage Ratio 12.8 Historical Capex 11.5 IDR bn Debt/Equity Debt/EBITDA CAGR 665 44% 320 354 207 155 1.6 1.
Slide 25: Appendix
APPENDIX ae SunnyGold Giariixvo)
Slide 26: Experienced professional team with recognized track record
Experienced professional team with recognized track record • Founding shareholders have more than 40 years of experience in the industry in South East Asia • Senior management has 15-20 years of industry experience • Winner of Forbes Indonesia’s Top 50 Best of the Best Companies award 4 times in a r
Slide 27: 18 Years of Excellence
18 Years of Excellence 1997-98 2000 2003 2006 2007-08 • Established PT. • Acquired feedmill • Acquired a feedmill • Listed in JSX • Established a Gymtech Feedmill business from Subur from PT Unggul Sari • Started Grand Parent subsidiary for Indonesia in 1997 Group (150,000 MT Citra Topfeed (300,000
Slide 28: Disclaimer
Disclaimer By attending the meeting where this presentation is made, or by reading the presentation slides, you agree to the following l imitations and notifications and represent that you are a person who is permitted under applicable law and regulation to receive information of the kind contained
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