Kernel Holding S.a. · GPW:KER
Kernel — Q2 FY2016 Earnings Presentation
26 slides from Kernel's earnings presentation, February 2016
Slide 1: Q2 FY2016 Results
KERNEL Q2 FY2016 RESULTS
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: Q2 FY2016 highlights
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Q2 FY2016 highlights Key highlights: USD million except ratios and EPS Q2 FY2016 Q2 FY2015 y-o-y ii Revenues decreased 5% y-o-y to USD 621.0 million in Q2 FY2016, reflecting y-o-y P&L highlights lower grain prices
Slide 4: Q2 FY2016 segment results summary
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Q2 FY2016 segment results summary Revenue, USD million EBITDA, USD million EBITDA margin, % Volumes, thousand tons Q2 FY2016 Q2 FY2015 y-o-y Q2 FY2016 Q2 FY2015 y-o-y Q2 FY2016 Q2 FY2015 Q2 FY2016 Q2 FY2015 y-o-y
Slide 5: Sunflower oil in Q2 FY2016
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Sunflower oil in Q2 FY2016 Sunflower oil sales in bulk Sunflower oil sold in bulk EBITDA Sunflower oil sold in bulk (thousand tons) (USD per ton) 278 ii Oilseed crush increased 31% y-o-y to a record 915,377 tons i
Slide 6: Grain and infrastructure in Q2 FY2016
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Grain and infrastructure in Q2 FY2016 Grain sales Grain segment EBITDA Grain (million tons) (USD per ton) ii Grain sales were at strong 1.3 million in Q2 FY2016, though 6% lower y-o-y 1.4 1.3 25 1.3 1.3 1.3 becaus
Slide 7: Farming in Q2 FY2016
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Farming in Q2 FY2016 Farming Net crop yields (tons per hectare) ii The segment’s revenue reached USD 285.3 million, 2x higher y-o-y, as we sold a significant part of our grain and oilseed crops intragroup to our t
Slide 8: Q2 FY2016 balance sheet
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Q2 FY2016 balance sheet Balance sheet highlights USD million 31 Dec 2015 30 Jun 2015 31 Dec 2014 Invested capital Cash & cash equivalents 116.1 129.1 77.7 Net trade accounts receivable 88.7 56.1 64.2 Inventory 443
Slide 9: Q2 FY2016 P&L and cash flow
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Q2 FY2016 P&L and cash flow P&L highlights USD million except ratios and EPS Q2 FY2016 Q2 FY2015 Revenue 621.0 652.5 Net IAS 41 gain 3.1 3.2 Gross profit 166.3 171.7 EBITDA 145.1 142.4 Profit from operating activi
Slide 10: Kernel at a glance
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Kernel at a glance Sunflower oil EBITDA Stock information $213m Exchange Warsaw Stock Exchange ii #1 sunflower oil producer and exporter in Ukraine. Stock quote currency PLN ii 3.0 million tons/year sunflower seed
Slide 11: Our business model
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Our business model 1 Own farming 2 Third party farmers 3 Origination 4 Silo storage 5 Sunflower seed processing plants 6 Grain export 7 Bottled sunflower oil 8 Export terminals www.kernel.ua Company presentation Feb
Slide 12: Asset map
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Asset map Kursk Voronezh Chernihiv Lutsk Sumy Belgorod Rivne Kyiv Zhytomyr Kharkiv Lviv Ternopil Poltava Cherkasy Khmelnytskyi Vinnytsia Ivano-Frankivsk Uzhhorod Volgograd Luhansk Kirovohrad Dnipropetrovsk Cherniv
Slide 13: Sunflower Oil
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Sunflower Oil www.kernel.ua Company presentation February 2016 13
Slide 14: Our business model
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Our business model ii #1 oilseed crusher in Ukraine; total capacity of 3.0 million tons of sunflower Sunflower seed industrial Kernel’s sunflower oil export by destination crushing capacity in Ukraine (FY2015) see
Slide 15: Sunflower oil in FY2015
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Sunflower oil in FY2015 Sunflower oil sold in bulk Sunflower oil sold in bulk EBITDA Sunflower oil sold in bulk (thousand tons) (USD/ton, %) ii 12% y-o-y growth in the volumes of sunflower oil sold in bulk reflect
Slide 16: Grain and Infrastructure
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Grain and Infrastructure www.kernel.ua Company presentation February 2016 16
Slide 17: Our business model
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Our business model Ukraine’s grain and oilseed production Russia’s grain and oilseed production ii Top grain exporter from the Black Sea region, with a market share in (million tons) (million tons) Ukraine of 9-12
Slide 18: Grain and infrastructure in FY2015
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Grain and infrastructure in FY2015 Grain sales Grain segment’s EBITDA Grain export: (thousand tons) (USD/ton, %) ii The combination of a 400,000-ton increase in our own grain and oilseed 37 4,744 production, and a
Slide 19: Farming
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Farming www.kernel.ua Company presentation February 2016 19
Slide 20: Our business model
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Our business model Kernel’s farmed acreage crop mix ii Large-scale crop production on 390,000 hectares of leasehold farmland in Ukraine. 8% 8% 6% ii A crop mix based on four crops allows us to focus on profits and
Slide 21: Farming in FY2015
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Farming in FY2015 Acreage harvested Farming segment EBITDA Farming: (thousand hectares) (USD/hectare, %) ii Our total grain and oilseed tonnage was up 31% y-o-y to 1.8 million in 345 FY2015, as improvements in our
Slide 22: Crop production cycle in Ukraine
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Crop production cycle in Ukraine FY2014 FY2015 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Corn Land preparation Fertilization Planting Plant protection Harvesti
Slide 23: Financials
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Financials www.kernel.ua Company presentation February 2016 23
Slide 24: Balance sheet
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials Balance sheet Balance sheet highlights USD million FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 Q2 FY2016 Invested capital Cash & cash equivalents 6.4 25.3 88.5 129.3 59.5 115.9 82.5 78.8
Slide 25: P&L and cash flow
Kernel at Sunflower Grain and Q2 FY2016 a glance Oil Infrastructure Farming Financials P&L and cash flow P&L highlights USD million except ratios and EPS FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 Revenue 215.2 350.4 663.1 1,047.1 1,020.5 1,899.1 2,071.8 2,796.8 2,393.3 2,
Slide 26: IR contact
IR contact Yuriy Kovalchuk Yegor Samusenko Corporate Investment Director Investor Relations Manager [email protected] [email protected] Tel.: +38 044 461-88-01, ext. 70-88 3 Tarasa Shevchenka Lane, Kyiv, Ukraine, 01001 Investor calendar ii Q3 FY2016 Operations Update 20 April 2016 ii Q3 FY2016 Financ