Ricegrowers Ltd. Class B · ASX:SGLLV
Ricegrowers Ltd. Class B — SunRice — Investor Presentation (June 2016)
11 slides from Ricegrowers Ltd. Class B's investor presentation, Jun 9, 2016
Slide 1: 2016 SunRice Update
2016 SunRice Update Laurie Arthur, SunRice Chairman Rob Gordon, SunRice CEO 6 – 9 June 2016
Slide 2: Agenda
Agenda • SunRice FY16 (C15) guidance • World markets • Capital Restructure • Your questions and comments 2
Slide 3: FY16 Business performance
FY16 Business performance • FY16 (C15) results to be announced in June 2016 • Challenging trading environment and market conditions during the second half of FY16 • Excellent domestic and international consumer market sales demonstrate SunRice’s ability to leverage brand strength • Subject to audit,
Slide 4: FY17 (C16) Outlook
FY17 (C16) Outlook • Challenging trading environment in world rice markets • Impacts in dairy industry likely to affect domestic sales for CopRice • Potential PNG issues continue to be closely monitored, including: - Exchange rate movements (Kina has declined almost 20% against the US$ since Jan 201
Slide 5: Track record of delivery
Track record of delivery • Strong track record of accurate market guidance for A and B Class Shareholders • Demonstrated ability to balance the needs of both shareholder classes since converting to a company in 2005 and listing on the NSX in 2007 • Between FY12 (C11) and FY15 (C14): - 110% increase
Slide 6: C16 Global pricing – Medium Grain
C16 Global pricing – Medium Grain California • Japonica surpluses still exist in 21-Month Cash Paddy Prices China and Taiwan Cash Rice Network / Cal Rice Exchange $650.00 2013 Crop USA • US MG prices have halved since 2014 Crop USA 2015 Crop USA mid 2014 $600.00 • Spot paddy cash prices continue to
Slide 7: C16 Global pricing – Long Grain
C16 Global pricing – Long Grain • 2016 Thai rice export projections revised from 10 to 9 million metric tonnes due to drought 600 Thai Long Grain Pricing - US $ / mt • Prices have increased due to 500 dwindling stockpiles and the 400 effects of El Niño 300 • 74 of the country’s 77 provinces 200 are
Slide 8: World markets outlook
World markets outlook • A more challenging trading environment, particularly for Medium Grain as prices come off • Conversely, Thailand’s drought is driving Long Grain prices up • Lower Riverina production has resulted in intensified global sourcing activities for SunRice • Riverina paddy pricing wi
Slide 9: Capital Restructure update
Capital Restructure update • The Capital Restructure is designed to equip SunRice and all growers and shareholders for the future, enabling the company to: - Invest for growth; - Better manage business risk; and - Have greater resilience to benefit all growers and shareholders • Significant time and
Slide 10: Capital Restructure update
Capital Restructure update • Timing is being impacted by developments with a joint venture (JV) partner, which recently decided SunRice’s proposed Capital Restructure justifies its own review of JV arrangements • SunRice is working cooperatively on the review, which is in no way impacting on the JV’
Slide 11: Questions
QUESTIONS