Nufarm Limited · ASX:NUF

Nufarm — JP Morgan investor conference, Sydney 2009

19 slides from Nufarm's conference presentation, Jun 23, 2009

  1. Slide 1: Nufarm Limited – Investor Presentation

    Nufarm Limited ACN 091 323 312 103-105 Pipe Road, Laverton North, VIC Australia 3026 Telephone: (03) 9282 1000 Facsimile: (03) 9282 1111 Postal Address: PO Box 103, Laverton, VIC Australia 3028 23 June 2009 For personal use only Nufarm Limited – Investor Presentation The following presentation was g

  2. Slide 2: A Day at the Farm

    JP Morgan, Sydney For personal use only A Day at the Farm Doug Rathbone Managing Director June, 2009

  3. Slide 3: A Day at the Farm

    A Day at the Farm For personal use only  Earnings revision  Seasonal update  Commitment to 'full service' model  The bigger picture 2

  4. Slide 4: June guidance update

    '09 Earnings revision For personal use only  June 16 guidance update Reducing full year NPAT forecast by 'about 15%' Final impact can't be known until end of July Deterioration in glyphosate market 3

  5. Slide 5: Earnings always weighted to last quarter

    '09 Earnings revision For personal use only Earnings always weighted to last quarter 21.6% 79.4% $35.4m $128.5m 2008 actual: $163.9m NPAT Start of season in the US, Australia, Europe 29.6% 70.4% $65.2m $154.8m 2009 actual 1H + previous guidance: $220m NPAT 4

  6. Slide 6: May 15: Guidance commentary

    '09 Earnings revision For personal use only May 15: Guidance commentary  Based on review of end April numbers  Made against a background of generally delayed buying behaviour  Tied to stated assumption that we would see a strong final three months  Seasonal outlook was reasonable  Planting inte

  7. Slide 7: What happened?

    '09 Earnings revision For personal use only What happened ?  May 27: Monsanto announces 'Roundup' related downgrade “application of the product is half that compared with product use at the end of May 2008”  Subsequent price deterioration as suppliers compete for materially lower volume opportunit

  8. Slide 8: A combined impact

    '09 Earnings revision For personal use only A combined impact  Unusually late buying behaviour and distribution reluctance to hold inventory  Relatively late season and delayed planting activity US: Reduced glyphosate applications as growers plant into warmer conditions AUS: Dry Autumn in most reg

  9. Slide 9: Short term or structural?

    '09 Earnings revision For personal use only Short term or structural ? We think mostly short term …  Credit environment should improve by next season, leading to more normal buying behaviour and stocking patterns  Seasonal conditions will always vary  Suppliers in China face changing regulations

  10. Slide 10: Actions implemented

    '09 Earnings revision For personal use only Actions implemented  Adjust purchasing and production to help address inventory run-down  Respond to US competition to protect market share and distribution relationships  Ensure we start 2010 year on a cost-competitive basis 9

  11. Slide 11: Seasonal update: Australia

    Seasonal update For personal use only Australia  Slow start, but good conditions for growers  Plantings should be broadly in line with last year approx 22m hectares  Opportunities for post-emergent weed control look very good (part '09 part '10 impact)  Fungicide opportunities also positive, wit

  12. Slide 12: Seasonal update: North America

    Seasonal update For personal use only North America  Cold and wet conditions persisted for longer than normal  Late season compounded by late decisions to plant corn v soybean  Crops emerging quickly in later/ warmer conditions  Total crop planting broadly in line with last year 09-06 11

  13. Slide 13: Seasonal update: South America

    Seasonal update For personal use only South America  Season in Brazil was generally positive with growers achieving good harvest and crop return  Major drought conditions in Argentina impacted both plantings and production of major crops 09-06 12

  14. Slide 14: Seasonal update: Europe

    Seasonal update For personal use only Europe  Most markets experiencing 'average' seasonal conditions after a cold winter  Some reduction in cropping intensity following pull-back in commodity prices 09-06 13

  15. Slide 15: Commitment to full service

    Commitment to full service For personal use only Supporting the Nufarm brand Product Manufacturing Logistics Regulatory Marketing Sales Development Synthesis Regional service Substantial New formulations 'Agricentres' Field force formulation centres resources Mixture products Loyalty programs Intell

  16. Slide 16: Commitment to full service: Brand values

    Commitment to full service For personal use only Brand values  Quality  Reliability  Support  Flexibility  Innovation 15

  17. Slide 17: The bigger picture: Industry

    Day at the Farm For personal use only The bigger picture: Industry  Agricultural demand drivers are still in place Population; wealth; limited land; and drive for yield  Current year likely to see yield 'drag' and lower production Fertiliser and agchem cutbacks Pace of development slows in emergin

  18. Slide 18: The bigger picture: Nufarm

    Day at the Farm For personal use only The bigger picture: Nufarm  Growth strategy – geography + portfolio – remains sound  Active pipeline delivering innovative product offerings  Focused growth strategy in seeds and seed treatment  Remaining alert to consolidation moves and acquisition opportun

  19. Slide 19: A great time to be in the business of agriculture

    For personal use only A great time to be in the business of agriculture Nufarm Limited Head office: 103-105 Pipe Road, Laverton North, Vic. Australia. Tel: 61 3 9282 1000 Fax: 61 3 9282 1111 www.nufarm.com

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