Fevara Plc · LSE:FVA
Fevara — Carr's Group — FY2022 Earnings Presentation
16 slides from Fevara's earnings presentation, March 2023
Slide 1: Full Year Results Presentation 2022
Full Year Results Presentation 2022 March 2023 Peter Page, Chief Executive Officer David White, Chief Financial Officer 1
Slide 2: 2022: Strong performance in a transformational year
2022: Strong performance in a transformational year Highlights FY21 Adjusted (Continuing Operations) FY22 (restated2) +/- • Adjusted operating profit up 7.5% on 2021 at £11.9m Revenue (£m) 124.2 120.3 +3.3% Adjusted1 operating profit (£m) 11.9 11.1 +7.5% • Revenue for the year from continuing operat
Slide 3: Corporate activity in 2022 fundamentally reshaped the business
Corporate activity in 2022 fundamentally reshaped the business Strategic Development Operational Development • Future focus on two divisions with international • Margin enhancements through operating businesses, differentiated products and high efficiencies and management input margins • Experienced
Slide 4: Carr's Group supports long term sustainable trends
Carr’s Group supports long term sustainable trends Agriculture and Energy represent two of the world’s most challenging industries in terms of impact on the environment. Carr’s Group delivers products and solutions that enable these sectors to maximise the benefits of their business activities, to a
Slide 5: Speciality Agriculture supports sustainable livestock production
Speciality Agriculture supports sustainable livestock production Market Trends Strategic Actions • Demand for meat and dairy protein increases in • Speciality Agriculture addresses the needs of line with rising disposable income in emerging sustainable livestock production by supporting and developi
Slide 6: Engineering supports the low carbon nuclear sector
Engineering supports the low carbon nuclear sector • Growing international demand driven by the need • Customers range from blue-chip companies and for energy security and national security internationally recognised research projects to national governments, providing a resilient market • The Engin
Slide 7: Financial Review
Financial Review David White 7
Slide 8: A transformational year: Financials pre- and post-disposal of Agricultural Supplies Division
A transformational year: Financials pre- and post-disposal of Agricultural Supplies Division FY22 – FY22 – FY22 – Speciality FY21 – Speciality Whole Group Agricultural Supplies Agriculture and Agriculture and (historic structure) (discontinued activity) Engineering Engineering £m £m (continuing Grou
Slide 9: 2022 summary financials – Speciality Agriculture
2022 summary financials – Speciality Agriculture Products and services £m Revenue 100.0 • Molasses-based feed blocks and 80.0 68.5 78.1 minerals 61.9 60.0 35.4 25.3 28.3 • AminoMax® bypass protein 40.0 20.0 36.6 40.2 42.7 • Trace element boluses 0.0 2020 2021 2022 Trading conditions H1 H2 FY • US fe
Slide 10: 2022 summary financials – Engineering
2022 summary financials – Engineering Products and services £m Revenue • Engineering solutions 55.0 • Fabrication and precision engineering 50.0 53.0 51.9 • Robotics 45.0 46.2 Trading 40.0 2020 restated 2021 restated 2022 • Profit up 38% on 10% lower revenues • Fabrication and precision engineering
Slide 11: Net debt movement
Net debt movement Movement in net debt (excluding leases) £m Key points Post year end • Working capital outflow primarily linked to raw materials price • Cash received from disposal of Agricultural Supplies inflation and strategically higher levels of inventories in division leaves the business in a
Slide 12: Balance sheet and assets held for resale
Balance sheet and assets held for resale • Disposal of Agricultural Supplies division completed in October 2022 • Sale will reduce Group net assets by c.35% At 28 August At 3 September 2021 2022 (restated) £m £m Change Fixed assets 75.8 113.7 -33.3% Net working capital 30.1 39.7 -24.0% Note 1 – Held
Slide 13: Robust financial position for growth and returns to shareholders
Robust financial position for growth and returns to shareholders Carr’s Group is now a leaner and financially stronger entity: • Strong cash position − Initial cash received (£24.7m) from the sale of the Agricultural Supplies division − Unconditional deferred payment of £4 million in October 2023 −
Slide 14: A refreshed Board and strengthened Management team
A refreshed Board and strengthened Management team • New Executive and Non-Executive Board members with considerable experience will lead the Group’s ongoing strategic change: − Tim Jones became Non-Executive Chairman of the Board 21 February 2023 ➢ substantial experience includes 11 years as Chairm
Slide 15: Outlook
Outlook Speciality Agriculture • Volume and revenue growth • Margin improvements to come from: − Cost recovery following raw material cost increases − Manufacturing and operating efficiencies − Product range rationalisation • Potential investment of up to £10m to add capacity and enhance efficiency
Slide 16: Q&A
Q&A 16