PT Japfa Comfeed Indonesia Tbk Class A · IDX:JPFA

PT Japfa Comfeed Indonesia Tbk Class A — Investor Presentation (2017)

28 slides from PT Japfa Comfeed Indonesia Tbk Class A's investor presentation, 2017

  1. Slide 1: PT Japfa Comfeed Indonesia Tbk

    ae PT JAPFA COMFEED INDONESIA Tbk

  2. Slide 2: Agenda

    Agenda 1 Company Overview 2 Key Investment Highlights 3 KKR’s Investment in the Company 4 Financial and Operational Highlights 5 Other Financial Highlights 1

  3. Slide 3: 1. Company Overview

    ) O) ora 1. Company Overview

  4. Slide 4: Company overview

    Company overview Core competencies across the value chain Upstream Midstream Downstream Feed Breeding Commercial farming Processing Poultry Beef Aquaculture 3

  5. Slide 5: Industrialized approach drives operational and financial benefits

    Industrialized approach drives operational and financial benefits A Scale B Technology & genetics – 2nd largest feed and DoC producer in Indonesia with – Exclusive relationship with Aviagen for the sourcing of significant scale across the value chain: grandparent stock with superior genetics which i

  6. Slide 6: Japfa: Well positioned for long-term growth

    Japfa: Well positioned for long-term growth Poultry leader with growing presence in other proteins − Cattle fattening business in Indonesia − Core business and stable segment of the value chain − Cost plus pricing model allows the − Aquaculture is primarily a Company to pass on any adverse feed busi

  7. Slide 7: 2. Key Investment Highlights

    2. Key Investment Highlights 6

  8. Slide 8: Investment highlights

    Investment highlights 1 Attractive industry dynamics driven by strong structural growth in protein consumption 2 Leading integrated poultry national champion with nationwide footprint 3 Core feed business offers stable profitability 4 Japfa Ltd: A Leading Pan-Asian Industrialized Agri-Food Company 5

  9. Slide 9: Attractive industry dynamics driven by strong structural growth in protein consumption

    1 Attractive industry dynamics driven by strong structural growth in protein consumption  Ample room for sustained growth in business locations with one of the lowest poultry consumption per capita rates in Asia.  Strong projected growth in GDP per capita to underpin growing protein consumption 

  10. Slide 10: Leading integrated poultry national champion with nationwide footprint

    2 Leading integrated poultry national champion with nationwide footprint 2nd largest Indonesian poultry feed and DoC Nationwide footprint with presence in all major producer islands Poultry feed production capacity market share (%) 34% 31% Japfa is the largest indigenous 22% Indonesian poultry playe

  11. Slide 11: Core feed business offers stable profitability

    3 Core feed business offers stable profitability Constitutes >50% of Group’s operating profit Despite volatile commodity prices… …and weakening IDR 220 15,500 200 180 13,000 160 140 +42% since Jan 2010 120 10,500 100 80 60 8,000 Jan-10 Jan-11 Jan-12 Jan-13 Jan-14 Jan-15 Jan-16 Jan-17 Jan-10 Jan-11 J

  12. Slide 12: Core feed business offers stable profitability: poultry segmental trends

    3 Core feed business offers stable profitability Poultry: 4-year segmental trends Revenues (IDR Billion) Operating Profit (IDR Billion) Operating Profit Margin (%) 30,923 20% 28,396 28,592 3,191 17.5% 15% 16.1% 24,766 348 11.6% 10.9% 13.4% 10,899 9.7% 10.7% 9,412 10,270 690 10% 6.8% 7,608 1,909 7.8%

  13. Slide 13: Japfa Ltd: A Leading Pan-Asian Industrialized Agri-Food Company

    4 Japfa Ltd: A Leading Pan-Asian Industrialized Agri-Food Company WHAT WE DO WHERE WE ARE WHY WE DO IT We produce quality We employ over 3 billion people living protein staples, dairy, 32,000 people across in our target markets and packaged food that Singapore, Indonesia, More than 40% of the nouris

  14. Slide 14: Japfa Ltd: market leading positions and consumer brands

    4 Japfa Ltd: A Leading Pan-Asian Industrialized Agri-Food Company Poultry market leading positions Poultry Feed Production Volume1 Indonesia 22% #2 DOC Production1 Indonesia 25% #2 DOC Production2 Vietnam 20% #3 Poultry Feed Capacity2 Myanmar 31% #2 DOC Capacity2 Myanmar 21% #2 Leading downstream co

  15. Slide 15: Experienced and tenured management team

    5 Experienced and tenured management team Proven track record of guiding the Company through various cycles Board of Commissioners Syamsir Siregar Hendrick Kolonas Retno Astuti Ignatius Herry Jaka Prasetya President Vice President Wibisono Wibowo Commissioner Commissioner Commissioner Independent In

  16. Slide 16: 3. KKR's Investment in the Company

    3. KKR’s Investment in the Company 15

  17. Slide 17: KKR's Investment in the Company: KKR overview

    KKR’s Investment in the Company KKR overview  Leading global investment firm with US$130bn of assets under Assets Under Management management across a wide range of asset classes including private (USD billions) equity, special situations etc. As of 31 December 2016  Global presence with offices i

  18. Slide 18: KKR's Investment in the Company: transaction overview and rationale

    KKR’s Investment in the Company Transaction overview & rationale  KKR acquired ~12% stake in the Company through a combination of primary and secondary share purchase; shares purchased are subject to a one-year lock-up  Primary proceeds from KKR’s investment will be used to strengthen the Company’

  19. Slide 19: 4. Financial and Operational Highlights

    4. Financial and Operational Highlights 18

  20. Slide 20: PT Japfa Tbk – Financial Performance

    PT Japfa Tbk – Financial Performance Revenue Operating Profit EBITDA PAT IDR Billion IDR Billion IDR Billion IDR Billion FY2016 27,063 2,921 3,548 2,172 +8.2% YoY +69.0% YoY +55.0 YoY +314.5% YoY FY2015 25,023 1,728 524 2,289 4Q2016 6,462 409 568 350 +2.8% YoY -41.7% YoY -32.9% YoY -44.1% YoY 4Q2015

  21. Slide 21: PT Japfa Tbk – Stable Performance After Industry Headwinds

    PT Japfa Tbk – Stable Performance After Industry Headwinds  Comparing Rolling 12 months ended December 2015 and December 2016, operating margins increased from 6.8% to 10.7%, due to healthy poultry prices over 12-month period in 2016  Poultry prices were stable throughout FY2016, whereas in FY2015

  22. Slide 22: Proven financial track record

    Proven financial track record Net Revenues Operating Profit (IDR Billion) (IDR Billion) 27,063 24,459 25,023 2,921 21,412 17,833 1,820 1,728 1,668 1,285 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 (Restated) (Restated) (Restated) (Restated) EBITDA Net Profit (IDR Billion) (IDR Billion) 3,548 2

  23. Slide 23: Proven financial track record (Cont'd)

    Proven financial track record (Cont’d) Total Assets Net Debt / Equity 124.7% (IDR Billion) 113.1% 19,251 96.8% 17,159 15,759 80.8% 14,936 10,961 33.7% 2012 2013 2014 2015 2016 (Restated) (Restated) 2012 2013 2014 2015 2016 (Restated) (Restated) CAPEX (IDR Billion) 1,564 1,598 1,364 787 712 2012 2013

  24. Slide 24: 5. Other Financial Highlights

    5. Other Financial Highlights 23

  25. Slide 25: PT Japfa Tbk - IDR 3 trillion Re-tap Bond Programme

    PT Japfa Tbk - IDR 3 trillion Re-tap Bond Programme  PT Japfa Tbk established a IDR 3.0 trillion Re-tap Bond Programme, which allows the company to tap the IDR bond market over the next two years.  Successful 1st Tap of IDR 1.0 trillion launched in Nov 2016. (i) 3-Year : IDR 0.85 trillion due Dec

  26. Slide 26: PT Japfa Tbk Bond Refinancing Plans

    PT Japfa Tbk Bond Refinancing Plans Debt Maturity Profile of Long Term Debt as at 31 Dec 20161 (IDR billion) 2,674 1,627 2,647 2 852 1,500 850 150 127 27 2 2017 2018 2019 2020 2021 Bank Loans Old IDR Bond USD Bond New IDR Bond The old IDR 1.5 trillion bond was repaid in full Jan/Feb 2017 from:  IDR

  27. Slide 27: Capex FY2014 – FY2016

    Capex FY2014 – FY2016 (IDR Billion) 1,598 787 712 FY2014 FY2015 FY2016 26

  28. Slide 28: Thank You

    ) O) ora Thank You 27

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