Rusagro Group · RUS:RAGR
Rusagro — Ros Agro — 1H 2019 Earnings Presentation
25 slides from Rusagro's earnings presentation, Aug 19, 2019
Slide 1: Ros Agro PLC Investors Presentation 1H 2019 and Q2 2019
19 AUGUST 2019 ROS AGRO PLC INVESTORS PRESENTATION 1H 2019 AND Q2 2019
Slide 2: Table of Contents
TABLE OF CONTENTS 2 1 Summary Key Indicators (IFRS) Q2 2019 vs Q2 2018 and 1H 2019 vs 1H 2018 3 2 Business Overview by division (IFRS) 10 3 Additional information 19 2
Slide 3: Section 1: Summary Key Indicators (IFRS)
SECTION 1 SUMMARY KEY INDICATORS (IFRS) Q2 2019 VS Q2 2018 AND 1H 2019 VS 1H 2018
Slide 4: Net Revenue, Adjusted EBITDA: Actual Q2 2019 vs Q2 2018
NET REVENUE, ADJUSTED EBITDA: 4 ACTUAL Q2 2019 VS ACTUAL Q2 2018 Comments Net revenue (IFRS) Actual Q2 2019 vs Actual Q2 2018 45,000 13,857 969 389 41,380 Net Revenue increased by RR 23,834 million (+136%): • Sugar sales increased by RR 5,691 million (+104%) as a result of sales transfer to spring a
Slide 5: Net Revenue, Adjusted EBITDA: Actual 1H 2019 vs 1H 2018
NET REVENUE, ADJUSTED EBITDA: 5 ACTUAL 1H 2019 VS ACTUAL 1H 2018 Comments Net revenue (IFRS) Actual 1H 2019 vs Actual 1H 2018 80,000 73,548 1,830 (285) Net Revenue increased by RR 40,733 million (124%): 26,308 65,000 • Sugar sales increased by RR 5,004 million (47%) as a result of significantly high
Slide 6: Statement of Comprehensive Income (IFRS)
STATEMENT OF COMPREHENSIVE INCOME (IFRS) 6 ROS AGRO PLC RR m illion Varianсes Varianсes Description Actual 6M 2019 Actual 6M 2018 Actual 2Q 2019 Actual 2Q 2018 Units % Units % Sales 73,548 32,815 40,733 124 41,381 17,547 23,834 136 Net gain / (loss) on revaluation of biological assets and (3,911) (9
Slide 7: Debt Profile (as of 30 June 2019)
DEBT PROFILE (AS OF 30 JUNE 2019) 7 Comments Debt position and liquidity management Variance • Gross debt decreased by RR 14,150 million (-15%) up to RR 80,952 million in RR million 30 June 2019 31 December 2018 Units % • Net debt decreased by RR 10,145 million (-18%) to RR 44,197 million Gross debt
Slide 8: Statement of Financial Position: Key Changes June 2019 vs December 2018
STATEMENT OF FINANCIAL POSITION: KEY CHANGES 30 JUNE 2019 VS 8 31 DECEMBER 2018 Comments ASSETS Assets as of 30 June 2019 vs 31 December 2018 240,000 • PPE & LT biological assets* increased by RR 3,840 million (RR +3,685 million in Meat, RR +707 million in 3,840 Sugar, RR -609 million in Agriculture
Slide 9: Cash Flows: Actual 1H 2019 vs Actual 1H 2018
CASH FLOWS: 9 ACTUAL 1H 2019 VS ACTUAL 1H 2018 Cash Flows according to Management view (Not IFRS presentation)** RR m illion Actual Actual Variances Comments 1H 2019 1H 2018 Units % Cash flow s from operating activities Main variances in cash flow statement line items between 1H 2019 and 1H 2018: Pr
Slide 10: Section 2: Business Overview by Division (IFRS)
SECTION 2 BUSINESS OVERVIEW BY DIVISION (IFRS) 1H 2019 AND Q2 2019 VS 1H 2018 AND Q2 2018
Slide 11: Meat: Key Indicators Actual Q2 2019 vs Q2 2018
MEAT KEY INDICATORS ACTUAL Q2 2019 VS 11 ACTUAL Q2 2018 (IFRS) Meat: sales, Adjusted EBITDA and Adjusted EBITDA Comments margin 40% 5,983 Sales (RR +892 million, +18%): 6,000 33% 5,091 • Increase in sales volume of processed pork by 27% (mainly due to CapitalAgro 29% EBITDA margin acquisition); 30%
Slide 12: Meat: Key Indicators Actual 1H 2019 vs 1H 2018
MEAT KEY INDICATORS ACTUAL 1H 2019 VS 12 ACTUAL 1H 2018 (IFRS) Meat: sales, Adjusted EBITDA and Adjusted EBITDA Comments margin 60% 11,171 Sales (RR +1,754 million, +19%): 10,000 9,417 • Increase in sales volume and price of processed pork by 22% (mainly due to CapitalAgro acquisition) and 4% respec
Slide 13: Sugar: Key Indicators Actual Q2 2019 vs Q2 2018
SUGAR KEY INDICATORS ACTUAL Q2 2019 VS 13 ACTUAL Q2 2018 (IFRS) Comments Sugar: sales, Adjusted EBITDA and Adjusted EBITDA margin 12,000 11,149 Sales increased (RR +5,692 million, +104%): 30% • Increase in sales volumes by 187 ths tn (+116%) was mainly caused by sales transfer 30% to spring and summ
Slide 14: Sugar: Key Indicators Actual 1H 2019 vs 1H 2018
SUGAR KEY INDICATORS ACTUAL 1H 2019 VS 14 ACTUAL 1H 2018 (IFRS) Comments Sugar: sales, Adjusted EBITDA and Adjusted EBITDA margin 15,674 40% Sales increased (RR +5,004 million, +47%): • Higher stock has been accumulated by the end of 2018 (650 ths tn vs normal 450 ths 15,000 tn) in view of expected
Slide 15: Agriculture: Key Indicators Actual Q2 2019 vs Q2 2018
AGRICULTURE KEY INDICATORS ACTUAL Q2 2019 VS 15 ACTUAL Q2 2018 (IFRS) Comments Agriculture: sales, Adjusted EBITDA and Adjusted EBITDA margin Sales (RR +2,034 million, +117%): 4,000 3,779 35% • Sales increased thanks to higher sales volumes and sales prices of all crops (except for sales prices of s
Slide 16: Agriculture: Key Indicators Actual 1H 2019 vs 1H 2018
AGRICULTURE KEY INDICATORS ACTUAL 1H 2019 VS 16 ACTUAL 1H 2018 (IFRS) Comments Agriculture: sales, Adjusted EBITDA and Adjusted EBITDA margin 50% Sales (RR +6,122 million, +191%): 10,000 9,334 40% • Higher crops sales volumes were affected by management decision to postpone sales from the end of 201
Slide 17: Oil & Fats: Key Indicators Actual Q2 2019 vs Q2 2018
OIL & FATS KEY INDICATORS ACTUAL Q2 2019 VS 17 ACTUAL Q2 2018 (IFRS) Oil & Fats: sales, Adjusted EBITDA and Adjusted Comments EBITDA margin 19,408 20,000 12% Sales (RR +13,857 million, +250%: EZHK RR +9,266 million, +427%; SAPP RR +8,447 million, +272%; Far East RR -298 million, -26% and Elimination
Slide 18: Oil & Fats: Key Indicators Actual 1H 2019 vs 1H 2018
OIL & FATS KEY INDICATORS ACTUAL 1H 2019 VS 18 ACTUAL 1H 2018 (IFRS) Oil & Fats: sales, Adjusted EBITDA and Adjusted Comments EBITDA margin 36,337 15% Sales (RR +26,308 million, +262%: EZHK RR +16,937 million, +439%; SAPP RR +16,737 35,000 million, +315%; Far East RR -356 million, -17% and Eliminati
Slide 19: Section 3: Additional Information
SECTION 3 ADDITIONAL INFORMATION
Slide 20: Adjusted EBITDA 1H 2019 (IFRS) Breakdown by Divisions
ADJUSTED EBITDA 1H 2019 (IFRS) BREAKDOWN BY DIVISIONS 20 ROS AGRO PLC RR m illion 6M 2019 Sugar Meat Agriculture Oil and Fat Other Elim ination Total Sales 15,674 11,171 9,334 36,337 3,107 (2,075) 73,548 Net gain / (loss) on revaluation of biological assets and agricultural produce - (256) (2,795) -
Slide 21: Adjusted EBITDA 1H 2018 (IFRS) Breakdown by Divisions
ADJUSTED EBITDA 1H 2018 (IFRS) BREAKDOWN BY DIVISIONS 21 ROS AGRO PLC RR m illion 6M 2018 Sugar Meat Agriculture Oil and Fat Other Elim ination Total Sales 10,671 9,417 3,212 10,029 114 (628) 32,815 Net gain / (loss) on revaluation of biological assets and agricultural produce - (88) (618) - - (195)
Slide 22: Statement of Cash Flows According to Management View
STATEMENT OF CASH FLOWS ACCORDING TO MANAGEMENT VIEW (NOT IFRS 22 PRESENTATION) ROS AGRO PLC RR m illion Actual Actual Variances 1H 2019 1H 2018 Units % Cash flow s from operating activities Profit before incom e tax 3,381 2,733 648 24 Adjustments for non-cash and non-operating (income)/expenses, ne
Slide 23: Statement of Cash Flows According to Management View – Continuance
STATEMENT OF CASH FLOWS ACCORDING TO MANAGEMENT VIEW (NOT IFRS 23 PRESENTATION) – CONTINUANCE ROS AGRO PLC RR m illion Actual Actual Variances (*) Including in net cash 1H 2019 1H 2018 Units % flows on financial assets Cash flow s from investing activities - - related to financial Purchases of prope
Slide 24: Statement of Financial Position (IFRS)
STATEMENT OF FINANCIAL POSITION (IFRS) 24 ROS AGRO PLC RR m illion 31 December Variances 30 June 2019 2018 Units % ASSETS 217,817 223,779 (5,961) -3 Current assets Cash and cash equivalents 2,678 1,728 949 55 Restricted cash 274 0 274 560,039 Short-term investments 5,695 8,551 (2,856) (33) Trade and
Slide 25: Statement of Financial Position (IFRS) – Continuance
STATEMENT OF FINANCIAL POSITION (IFRS) 25 – CONTINUANCE ROS AGRO PLC RR m illion 31 December Variances 30 June 2019 2018 Units % Liabilities and EQUITY 217,817 223,779 (5,961) (3) Current liabilities Short-term borrow ings 17,268 32,514 (15,246) (47) Trade and other payables 16,576 12,190 4,386 36 C