Fevara Plc · LSE:FVA
Fevara — Carr's Group — FY2020 Earnings Presentation
24 slides from Fevara's earnings presentation, November 2020
Slide 1: Full Year Results Presentation
The agriculture & engineering group Local International Sustainable Full Year Results Presentation November 2020
Slide 2: Agenda
Agenda 1. Introduction | Tim Davies, CEO 2. COVID-19 | Tim Davies, CEO 3. Financial Results | Neil Austin, CFO 4. Divisional Review 5. Summary 6. Q&A 2
Slide 3: COVID-19 Overview
COVID-19 Overview • We remain operational across both Agriculture and Engineering in the UK and overseas • Health, safety and wellbeing of all of our employees and customers remains our overriding objective • Lessons learned in lockdown 1 apply for lockdown 2. All locations operating COVID secure pr
Slide 4: COVID-19 Measures implemented
COVID-19 Measures implemented • Following all government and industry guidelines in all locations • Rigorous social distancing controls, hygiene measures and shift-working practices implemented across all locations • Working from home wherever possible • Supporting high risk and vulnerable people 4
Slide 5: Results Overview
Results Overview • • • Revenue decreased 2.0% to £395.6m (2019: £403.9m) Adjusted EBITDA* decreased 1.8% to £20.8m (2019: £21.2m) Adjusted operating profit* decreased 14.2% to £16.2m (2019: £18.9m) Continuing Operations • • Adjusted profit before tax* decreased 17.4% to £14.9m (2019: £18.0m) Basic E
Slide 6: Financial Review: Segmental Analysis
Financial Review Segmental Analysis 2020 (£m) 2019 (£m) Change Segmental revenue: Agriculture 342.6 357.4 -4.1% Engineering 53.0 46.5 +14.0% Total revenue 395.6 403.9 -2.0% Adjusted EBITDA 20.8 21.2 -1.8% Segmental adjusted operating profit: Agriculture 13.4 14.7 -8.5% Engineering 3.8 5.9 -35.6% Cen
Slide 7: Financial Review: Balance Sheet
Financial Review Balance Sheet At 29 August 2020 At 31 August 2019 Change £m £m Fixed assets 119.4 107.4 +11.2% Net working capital 42.8 45.2 -5.2% Assets employed 162.2 152.6 +6.3% Pension surplus 8.0 7.8 +3.4% Net debt (excluding leases) (18.9) (20.9) -9.6% Lease liabilities (13.9) (2.9) +377.2% T
Slide 8: Financial Review: Cash Flow
Financial Review Cash Flow 2020 2019 Expiry Facility Utilised £m £m £m 2020 £m EBITDA 20.8 21.2 Working capital facilities (UK) 12 month rolling/2023 29.5 7.2 Working capital changes 5.2 (5.0) Working capital facilities (US) 12 month rolling 2.3 0.2 Net interest (1.5) (1.1) Working capital facilitie
Slide 9: Agriculture
Agriculture 9
Slide 10: Supplements
Supplements Performance Investment/Growth Outlook • Revenues of £61.9m (2019: £61.1m) • Successful launch of FesCool® in USA • Feed block growth plans focused on designed to mitigate impact of fescue Europe, New Zealand and North America • Global feed block sales volumes up 1.2% toxicity on animal p
Slide 11: UK Agriculture
UK Agriculture Performance Strategy Outlook • Revenues of £280.7m (2019: £296.3m) • Lead in dairy nutrition with focus on • Uncertainty: Brexit and COVID-19 technical services impact on the industry • Resilient performance despite reduced feed sales volumes in H1 due to uncertainty, • Strengthen cur
Slide 12: Engineering
Engineering 12
Slide 13: Engineering
Engineering Performance • Revenue up 14% to £53.0m (2019: 28.0% £46.5m) (31.0%) • Engineering division performed resiliently despite significant Revenue 55.4% challenges 16.6% (49.5%) • First half trading slow as expected (19.5%) Wälischmiller : H1000 hydraulic manipulator due to contract phasing an
Slide 14: Engineering: UK Service and Manufacturing, Global Robotics
Engineering UK Service and Manufacturing Global Robotics • Revenues of £29.4m (2019: £23.0m) • Revenues of £14.8m (2019: £16.5m) Showroom, Wälischmiller, Germany • Solid H1 performance however H2 • Delays in contract awards in Japan and significantly impacted by decline in oil export restrictions in
Slide 15: Engineering: Global Technical Services and Outlook
Engineering Global Technical Services Outlook • Revenues of £8.8m (2019: £7.0m) • Group remains confident in medium-term • Performed in line with expectations prospects of the division • Strong H2 performance as MSIP® projects • Short-term challenges remain for the areas of progressed the division t
Slide 16: Summary
Summary • Robust performance in very challenging markets • Strategic investment in people, technology and innovation • Agriculture performance ➢ Tough H1 mitigated by strong H2 performance. Generally improved farm output prices increased demand for our products ➢ Uncertainty in UK Agriculture remain
Slide 17: Summary (continued)
Summary (continued) • Engineering performance ➢ Profitability impacted by lower order levels and delays during the year ➢ H2 impacted by COVID-19 on customer operations and the low oil price affecting contracts and orders ➢ Major product development continues ➢ New Global Robotics showrooms establis
Slide 18: Outlook
Outlook • Trading in line with expectations • Global economy continues to be dominated by COVID-19 • Agriculture sector remains crucial in supplying raw materials and ingredients to the food chain • Growth opportunities remain in international supplements • Uncertainty associated with Brexit continu
Slide 19: Questions and Answers
Local International Sustainable Questions and Answers
Slide 20: Appendices
Appendices 1. The Group | An Overview 2. Geographic Footprint 20
Slide 21: The Group An Overview
The Group An Overview International business focused on two sectors: agriculture and engineering Agriculture Engineering • An international Supplements business: • A Global Robotics business designing and manufacturing bespoke manipulators and ➢ Manufacturing molasses-based branded feed robotics, ba
Slide 22: Group Strategic Vision and Objectives
Group Strategic Vision To be recognised as a truly international business at the forefront of technology and innovation Strategic Objectives 1. Build value by focusing on markets with growth potential 2. Grow our international footprint 3. Differentiate through innovation and technology 4. Lead in o
Slide 23: Geographic Footprint
Geographic Footprint International Locations UK Locations • Agriculture • Head Office • Engineering Europe • Oldenburg, Germany • Agriculture • Markdorf, Germany • Engineering USA • South Dakota • Oklahoma • Nevada • Tennessee • Iowa • New York • North Carolina • Pennsylvania 23 23
Slide 24: Carr's Group plc
Carr’s Group plc Old Croft, Stanwix, Carlisle, Cumbria, CA3 9BA, UK Telephone: +44 (0) 1228 554600 Email: [email protected] carrsgroup.com