Kernel Holding S.a. · GPW:KER
Kernel — FY2021 Earnings Presentation
26 slides from Kernel's earnings presentation, October 2021
Slide 1: Kernel Holding S.A. FY2021 results and company presentation
Kernel Holding S.A. FY2021 results and company presentation October 2021
Slide 2: Disclaimer
Disclaimer The information in this document has not been independently verified and no representation or warranty, expressed or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained herein. Neither th
Slide 3: Content
Content 1. FY2021 results and outlook 2. Kernel today 3. Balanced growth strategy 4. Financials Appendices
Slide 4: 1.1 FY2021 highlights
FY2021 results results Balanced and outlook and outlook Kernel today growth strategy Financials 1.1 FY2021 highlights US$ million except EPS FY2020 FY2021 y-o-y ◼ Revenue 38% y-o-y to US$ 5,647m reflecting the growth in global grain and Income statement highlights sunflower oil prices, as well as
Slide 5: 1.2 Segment results
FY2021 results results Balanced and outlook and outlook Kernel today growth strategy Financials 1.2 Segment results Segment volumes, m tons EBITDA margin EBITDA, US$ m US$ / t of oil sold 3.4 152 Oilseed 3.1 3.2 3.2 100 3.0 Processing 83 100 109 67 77 54 1.4 1.6 1.5 41 56 1.2 1.4 FY2017 FY2018 FY201
Slide 6: 1.3 Segments results
results FY2021 results Balanced and outlook and outlook Kernel today growth strategy Financials 1.3 Segments results Segment results Oilseed Processing segment Revenue, US$ m EBITDA, US$ m Volume, k t EBITDA margin, US$ / t ◼ 1 2 EBITDA margin 59% y-o-y to US$ 41 per ton of oil sold: FY20 FY21 y-o
Slide 7: 1.4 IFRS 16 impact
results FY2021 results Balanced and outlook and outlook Kernel today growth strategy Financials 1.4 IFRS 16 impact ◼ Starting from Q1 FY2020, Kernel introduced IFRS 16 Leases with application of retrospective approach and did not restate comparatives, as permitted under the transitional provisions o
Slide 8: 1.5 Outlook for FY2022
FY2021 results results Balanced and outlook and outlook Kernel today growth strategy Financials 1.5 Outlook for FY2022 ◼ The harvest of sunflower seeds in Ukraine is expected to reach a record 16.8m tons Oilseed ◼ 3.7m tons targeted crushing volumes for the whole FY2022, accounting for: Processing –
Slide 9: Content
Content 1. FY2021 results and outlook 2. Kernel today 3. Balanced growth strategy 4. Financials Appendices
Slide 10: 2.1 Kernel today
FY2021 results Balanced and outlook Kernel Kernel today today growth strategy Financials 2.1 Kernel today Oilseed Processing segment Key financials FY2017 FY2018 FY2019 FY2020 FY2021 EBITDA 1, US$ million ◼ #1 sunflower oil producer (7% of global production) and Revenue US$ m 2,169 2,403 3,960 4,107
Slide 11: 2.2 What we do
FY2021 results Balanced and outlook Kernel Kernel today today growth strategy Financials 2.2 What we do 6 Oilseed processing 1 Farming ◼ #1 sunflower oil producer (7% of global production) and exporter ◼ #1 crop producer in Ukraine, 506k ha of (12% of global export) in the world leasehold farmland ◼
Slide 12: 2.3 Efficient and well-invested asset base
FY2021 results Balanced and outlook Kernel Kernel today today growth strategy Financials 2.3 Efficient and well-invested asset base Sunflower seed crushing capacity, thousand tons per year Poltava Grain transshipment capacity, thousand tons per year 475 Vovchansk 356 Starokostiantyniv Prykolotne 1,0
Slide 13: 2.4 Oilseed Processing segment
FY2021 results Balanced and outlook Kernel Kernel today today growth strategy Financials 2.4 Oilseed Processing segment EBITDA Segment performance Profitability drivers and FY2022 outlook Segment volumes million tons ◼ Oilseed processing volumes reduced by 1 Ukraine sunflower seed harvest million to
Slide 14: 2.5 Infrastructure and Trading segment
FY2021 results Balanced and outlook Kernel Kernel today today growth strategy Financials 2.5 Infrastructure and Trading segment EBITDA Segment performance Profitability drivers and FY2022 outlook Segment volumes Grain supply in Ukraine million tons 8.28.0 1 million tons of corn + wheat + barley 7.9
Slide 15: 2.6 Farming segment
FY2021 results Balanced and outlook Kernel Kernel today today growth strategy Financials 2.6 Farming segment EBITDA Segment performance Profitability drivers and FY2022 outlook Kernel’s key crop production 596 529 ◼ 501k ha harvested in FY2021 1 Ukraine corn and wheat prices, US$ per ton, FOB-Black
Slide 16: 2.7 Credit highlights
FY2021 results Balanced and outlook Kernel Kernel today today growth strategy Financials 2.7 Credit highlights Credit portfolio as of 30 June 2021, US$ m Kernel Eurobonds mid-YTM, % Amount 2022 8.75% bond 2024 6.5% bond 2027 6.75% bond 18% Undrawn facilities Interest rate Maturity 16% outstanding 14
Slide 17: Content
Content 1. FY2021 results and outlook 2. Kernel today 3. Balanced growth strategy 4. Financials Appendices
Slide 18: 3.1 Kernel's mid-term strategy
Balanced FY2021 results Balanced growth and outlook Kernel today growth strategy strategy Financials 3.1 Kernel’s mid-term strategy We aim to sustainably increase the scale and efficiency of our low-cost business system to export annually 20 million tons of soft commodities from Ukraine by strategic
Slide 19: Content
Content 1. FY2021 results and outlook 2. Kernel today 3. Balanced growth strategy 4. Financials Appendices
Slide 20: 4.1 Consolidated statement of profit or loss
FY2021 results Balanced and outlook Kernel today growth strategy Financials Financials 4.1 Consolidated statement of profit or loss US$ million, except ratios and EPS FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 Revenue 215 350 663 1,047 1,020 1,899 2,072 2,797 2,3
Slide 21: 4.2 Balance sheet
FY2021 results Balanced and outlook Kernel today growth strategy Financials Financials 4.2 Balance sheet Balance sheet highlights US$ million FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 Cash & cash equivalents 6 25 89 129 59 116 83 79 65 129 60 143 132 77 369 574
Slide 22: 4.3 Cash flow statement
FY2021 results Balanced and outlook Kernel today growth strategy Financials Financials 4.3 Cash flow statement US$ million FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 EBITDA 17 46 123 190 190 310 319 288 223 397 346 319 223 346 443 929 Finance cost paid (9) (18) (
Slide 23: IR contact and investor calendar
IR contact and investor calendar Michael Iavorskyi Investor Relations Manager [email protected] Tel.: +38 (044) 461 88 01, ex. 7275 3 Tarasa Shevchenka Lane, Kyiv Ukraine, 01001 Investor calendar Q1 FY2022 Operations Update 22 October 2021 Q1 FY2022 Financial Report 26 November 2022 Annual general shareh
Slide 24: Content
Content 1. FY2021 results and outlook 2. Kernel today 3. Balanced growth strategy 4. Financials Appendices
Slide 25: A1. Markets and business environment
A1. Markets and business environment Oilseed Processing Infrastructure and Trading Farming Global production of vegetable oils Global production and export of Global grain exports Top grain exporting countries Grain yields in MY2020/21 million tons sunflower oil million tons million tons t / ha mill
Slide 26: A2. Kernel sustainability approach
A2. Kernel sustainability approach We aim to unlock the Ukrainian food production potential to feed the growing world population in a sustainable manner Achievements Key non-financial KPIs Environment FY17 FY18 FY19 FY20 FY21 ◼ Proper set of internal policies and procedures to drive sustainable deve