JUNE, 2017 INVESTORS PRESENTATION

Transcription

1 . JUNE,

2 DISCLAIMER Some of the statements contained in this document may be forwardlooking statements concerning Vilmorin & Cie SA's financial position, results, businesses, strategy or projects. Vilmorin & Cie SA considers that such statements are based on reasonable assumptions but cannot and does not give any assurance that the Group's future performance will be consistent with those statements. Actual results could differ from those currently anticipated in such statements due to a certain number of inherent risks and uncertainties, most of which are beyond Vilmorin & Cie SA's control, such as those described in the documents filed or to be filed by Vilmorin & Cie SA with the French securities regulator (Autorité des marchés financiers) and made available for downloading from the Company's website: 2

3 AGENDA VILMORIN & CIE AT A GLANCE s. 04 VILMORIN & CIE GROWTH STRATEGY s. 11 HIGHLIGHTS AT THE END OF THE 3 RD QUARTER s. 22 SALES AT THE END OF THE 3 RD QUARTER s. 26 OUTLOOK AND MID-TERM AMBITIONS s. 35 VILMORIN & CIE ON THE STOCK EXCHANGE s. 43 SCHEDULE AND CONTACTS s. 46 APPENDICES s. 49 3

4 VILMORIN & CIE AT A GLANCE 4 4

5 VILMORIN & CIE AT A GLANCE VILMORIN & CIE, 4 TH LARGEST SEEDS COMPANY IN THE WORLD Fourth largest seeds company in the world with leading positions on its core activities N 1 in Europe for straw cereals (1) N 2 worldwide for vegetable seeds N 3 in North America for corn seeds N 4 in Europe for corn seeds Pure player built up on historical expertise in botany since 1743 and on the basis of real proximity with the agricultural world A long-term vision of the development, strengthened by the consistent support of its reference shareholder, Limagrain, an international agricultural cooperative group (1) Wheat and barley 5

6 VILMORIN & CIE AT A GLANCE A FULL CONTROL OF ALL STAGES IN SEEDS BUSINESS ANALYZING NEEDS A 7 TO 10 YEARS CYCLE COLLECTING GENETIC RESOURCES CREATING NEW SEEDS PRODUCING SEEDS AROUND 300 VARIETIES LAUNCHED PER YEAR DISTRIBUTING AND SELLING SEEDS 6

7 VILMORIN & CIE AT A GLANCE A SOLID TRACK RECORD Eureka Seed / USA Canterra Seeds / Canada(*) In M Link Seed / South Africa Seed Co / Africa (*) Hengji Limagrain Seeds / China (JV) BSF/Genesis/Trigen/ Trio Research / USA Bisco Bio Sciences / India Century Seeds / India Seed Asia / Thailand Shamrock / USA and Mexico Golden Acres / USA Genica Research / USA Su Tarim / Turkey Brasmilho Sementes Guerra / Brazil Tropdicorp/Vietnam Field seeds acquisition Vegetable seeds acquisition Integration of European and US field seeds Meza Maize / USA

8 VILMORIN & CIE AT A GLANCE A BUSINESS ORGANIZATION CLOSE TO THE MARKETS : KEY FOR SUCCESS VEGETABLE SEEDS FIELD SEEDS GARDEN PRODUCTS VEGETABLE GROWERS FARMERS MARKET GARDENERS 3 BUSINESS UNITS 6 BUSINESS UNITS 1 BUSINESS UNIT Key leading brands: Key leading brands: Key leading brand: 8

9 VILMORIN & CIE AT A GLANCE A LONG TERM REFERENCE SHAREHOLDER Groupe Limagrain: BREAKDOWN OF THE CAPITAL ON JANUARY 31 th 2017 Individual shareholders 6.60% An international agricultural cooperative group, founded and managed by French farmers A seed group involved in the development of integrated agricultural chains Groupe Limagrain* 73.80% Investors 19.60% (of which ~53% internationally based: USA, UK, Singapore, Belgium ) Vegetable seeds and field seeds Cereal products (cereal ingredients and bakery products) * of which BPI France as a strategic shareholder of Limagrain TOTAL NUMBER OF SHARES: Sources: Euroclear and Euronext 9

10 VILMORIN & CIE AT A GLANCE A LONG TERM REFERENCE SHAREHOLDER Groupe Limagrain, a reference shareholder guaranteeing: Stable corporate governance Long term strategy A perfect knowledge of agriculture, customers and theirs needs LIMAGRAIN IN BRIEF MISSION Moving agriculture forward to meet food challenges STRATEGY KEY FIGURES To provide farmers throughout the world with sustainable solutions to improve their farms' profitability Nearly 2,000 farmer members Close to 2.5 billion Euros in sales More than 10,000 employees * Figures for the overall scope of activity worldwide, taking into account data from the companies AgReliant, AGT, Genective, Seed Co and Soltis. 10

11 VILMORIN & CIE GROWTH STRATEGY 11 11

12 VILMORIN & CIE GROWTH STRATEGY 1/ PROMISING WORLD SEEDS MARKETS POWERFUL GROWTH FACTORS: Increase in seeds demand WORLD MARKET FOR COMMERCIAL SEEDS (2015) 13,9 % Vegetable seeds (Conventional seeds) Growth in the world population (10 bn in 2050) Improvement in the standards of living Increase in the use of commercial seeds 53,2 % Field Seeds GM seeds 32,9 % Field Seeds Conventional seeds Ever greater use of genetically modified ( GM ) seeds worldwide MARKET VALUE 2015: $37.2 BN. GLOBAL CAGR: +3,8% / YEAR (CAGR between 2010 and 2015) Sources: Phillips McDougall 2016 and ISAAA

13 VILMORIN & CIE GROWTH STRATEGY 1/ MARKET FOR SEEDS: SLIGHT SLOWDOWN FOR GMO IN 2015 WORLD MARKET ACREAGE million hectares (around 10% of arable land), -1% / 2014, grown by 18 million farmers in 28 countries GMO : ACREAGE PER COUNTRY million ha Others China India Canada Argentina Brazil USA WORLD MARKET VALUE $20 billion in 2015 (i.e. 53 % of the world market for seeds), -6% / 2014 Sources: ISAAA Phillips McDougall

14 VILMORIN & CIE GROWTH STRATEGY 1/ MARKET FOR SEEDS: HIGH BARRIERS TO ENTRY A concentrated competitive environment High barriers to entry: Width and depth of the genetic resources R&D investment (conventional breeding and biotechnologies) International coverage WORLDWIDE COMPETITIVE ENVIRONMENT FOR SEEDS Monsanto Dupont Pioneer Syngenta Vilmorin & & Cie Dow KWS Bayer DLF Rijk Zwaan Sakata ChemChina Dow Dupont Bayer/ Monsanto Seeds Semences companies potagères Sales* Semences in millions de grandes of euros cultures 2016 (KWS, Monsanto and Vilmorin & Cie : data). Vilmorin & Cie : excluding Garden products. *Without IFRS 11 impact Others Bayer KWS Dow 30% 4% 4% 4% 5% 8% Vilmorin & Cie 27% 18% Syngenta Monsanto Dupont Pioneer Sources: Company publications and internal

15 VILMORIN & CIE GROWTH STRATEGY 2/ A STRATEGY OF WINNING MARKET SHARES 3 strategic foundations INNOVATION TARGETED POLICY OF EXTERNAL GROWTH INTERNATIONALIZATION 3 strategic priorities Vegetable seeds: reinforce world leadership Corn seeds: become a global actor Wheat seeds : become the world reference 15

16 VILMORIN & CIE GROWTH STRATEGY 3 / VEGETABLE SEEDS. DIVISION PROFILE N 2 In the World - A very strong competitive position addressing worldwide vegetable growers and food processors - An extremely diversified product line-up with more than 30 species (tomato, carrot, melon, pepper, bean, etc.) KEY FIGURES M SALES 15.9% 31 OPERATING MARGIN Current operating margin : 16.2% COUNTRIES WITH LOCATIONS SALES OF VEGETABLE SEEDS PER CROP Others 1 Tomato Sweet and hot pepper 3 SALES OF VEGETABLE SEEDS PER GEOGRAPHICAL AREA Africa / Middle East 17% Asia / Oceania 17% Europe 34% 1 Carrot Onion Squash 1 Bean 2 1 Melon Americas 32% 16 1,2,3: worldwide competitive positions

17 VILMORIN & CIE GROWTH STRATEGY 3 / VEGETABLE SEEDS. STRATEGY Reinforce world leadership Make full use of the virtuous circle of innovation and proximity to continue to win market shares Close targeted operations for acquisitions or partnerships to strengthen positions on certain crops and/or certain geographical zones (particularly in Asia) Recent acquisitions: CAMPBELLS SEEDS September 2012 CENTURY SEEDS October 2012 TROPDICORP March 2015 GENICA RESEARCH February 2016 Tomato and pepper United States Sales: more than 5 M$ 10 local crops India Sales: 4 M Bitter gourd, pumpkin, wax gourd Vietnam Sales: 6 M$ Sweet and hot peppers, cucumber, summer squash United States Sales: more than 25 M$ 17

18 VILMORIN & CIE GROWTH STRATEGY 4 / FIELD SEEDS. DIVISION PROFILE N 1 In Europe for straw cereals(1) (1) Wheat and barley N 3 In North America - One of the top players in strategic crops targeting farmers - 2 worldwide strategic crops: corn and wheat - And regional strategic crops: sunflower, rapeseed and barley in Europe, rice in India, and soybean, which Vilmorin & Cie distributes in North and South America SALES OF FIELD SEEDS* PER CROP % Other field seeds 3% Rapeseed KEY FIGURES M SALES COUNTRIES WITH LOCATIONS* (884 M )* 1.8% OPERATING MARGIN Current operating margin : 2.8% SALES OF FIELD SEEDS* PER GEOGRAPHICAL AREA Africa / Middle East Asia / Oceania 4% 2% And N 4 In Europe for corn seeds Cereals (corn, wheat, barley) 69% 4% 14% Feed grains Sunflower Americas 40% Europe 54% * Without the application of the standard IFRS 11 ( Joint arrangements ) resulting in certain activities being consolidated using the Equity method since (in particular AgReliant. North America. Field seeds) 18

19 VILMORIN & CIE GROWTH STRATEGY 4 / CORN SEEDS. STRATEGY CORN SEEDS: BECOME A GLOBAL ACTOR Internationalize activities further afield from European and North American activities on the largest world seed market in terms of value (about $15 bn in 2015*) Recent acquisitions: SEED CO Minority stake #1 African seeds company Sales: 96 M$ 5 factories & 6 research stations in south east Africa SEED ASIA March 2014 Hybrid tropical corn Thailand Sales: 9 M$ HENGJI LIMAGRAIN SEEDS JV. September 2015 Corn China Production and distribution Develop a proprietary portfolio of GM seeds Technological strategic partnership between Vilmorin & Cie and KWS GM corn traits licensing agreements with Syngenta (October 2015) 19 *Source: ISAAA 2016

20 VILMORIN & CIE GROWTH STRATEGY 4 / WHEAT SEEDS. STRATEGY WHEAT SEEDS: BECOME THE WORLD REFERENCE Consolidate position of leader in Europe and become the world reference of the first worldwide crop in terms of cultivated surface areas ( 222 million hectares in 2015*) NORTH AMERICA United States Canada Develop more efficient seeds and contribute to converting the market to high yield seeds AUSTRALIA Australian Grain Technologies Gradually extend the positions to other major wheat markets and develop strong partnerships internationally OTHER ZONES South America Asia *Source: ISAAA

21 VILMORIN & CIE GROWTH STRATEGY 5/ R&D: INNOVATE TO INSURE TOMORROW S GROWTH Maintain regular investment in research (breeding and biotechnologies) and broaden the partnerships MORE THAN 14% INVESTED IN BIOTECHNOLOGIES % 19.1% 17.4% 17.4% 14.2% 14.6% 15.3% 15.2% 1,036 1,086 1,120 1, Investment Effort de recherche in research AgReliant Chiffre d'affaires sales of semences seeds (50%) AgReliant (à 50%) Sales Chiffre of d'affaires seeds semences Investment Effort de recherche/chiffre in research/sales d'affaires of seeds semences (incl. 50% (yc AgReliant) 50%) Investment Effort de recherche/chiffre in research/sales d'affaires of seeds semences (IFRS 11) (IFRS 11) 300 MILLION RESEARCH INVESTMENT INTEGRATING PARTNERSHIPS* *of which 225 million research investments without integrating partnerships 21

22 HIGHLIGHTS AT THE END OF THE 3 RD QUARTER

23 KEY POINTS Significant increase in sales for the 3rd quarter : +5.7%* Strong growth in aggregate sales (9 months): +8.1%* Fine performance of the Vegetable seeds activity: +5.1%* Confirmed upturn in business for the Field seeds activity, in a market context that remains difficult: +11.7%* Outlook for Confirmation of the global objective for business growth Upward adjustment of the current operating margin * On a like-for-like basis 23

24 VILMORIN & CIE LATEST NEWS VEGETABLE SEEDS. AFRICA. MARCH 2017 Creation of a joint venture in Vegetable seeds Prime Seed Co between Vilmorin & Cie and Seed Co in Africa* Context: Minority stake of Vilmorin & Cie, since , in Seed Co (30.4%), the largest seed company in Africa Entry of Seed Co, already solidly established in South East Africa (mainly in corn), into the vegetable seed market in 2015: acquisition of Prime Seed in Zimbabwe Objective: Take up position, as a result of the numerous synergies between the two companies, on a vegetable seed market with enormous potential for development in Sub-Saharan Africa. * Joint venture set up operationally between Seed Co (holding 51% of the capital stock) and the Vegetable seeds Business Unit HM.CLAUSE 24

25 VILMORIN & CIE LATEST NEWS WHEAT SEEDS. UNITED STATES. MARCH 2017 Renegotiation of the partnership with Arcadia Biosciences (United States. Wheat) Vilmorin & Cie and Arcadia Biosciences, an American biotechnology company, terminate (end of March 2017) their system of cross shareholdings set up in Reminder: Minority stake of 35% held by Arcadia Biosciences, since 2010, in Limagrain Cereal Seeds, the Vilmorin & Cie Business Unit devoted to the development of wheat seed in North America Minority stake held by Vilmorin & Cie (< 4%) in Arcadia Biosciences, listed on the NASDAQ since May 2015 The two companies envisage pursuing their scientific partnership, particularly with regard to research in wheat. 25

26 SALES AT THE END OF THE 3 RD QUARTER

27 SALES AT THE END OF THE 3 RD QUARTER REFERENCES Accounting reference IFRS on March 31, 2017 Rates of the main currencies on March 31, 2017 (and March 31, 2016) average close $ TRY ILS BRL INR MXN UAH RUB

28 SALES AT THE END OF THE 3 RD QUARTER CONSOLIDATED SALES* In M AT THE END OF THE THIRD QUARTER +8.1% +8.1% THIRD QUARTER +6.4% +5.7% * March mar.-16 Currency Impact Activité Activity March Mars mar March Mars mar Currency Impact Activity Activité March Mars mar devises impact devises impact * Revenue from ordinary activities * of which: Vegetable seeds: 212 Field seeds:

29 SALES AT THE END OF THE 3 RD QUARTER SALES * OF VEGETABLE SEEDS In M AT THE END OF THE THIRD QUARTER +5.9% +5.1% THIRD QUARTER +6.3% +5.0% March Mars mar Currency Impact Activity Activité March Mars mar devises impact Mars March mar Currency Impact Activity Activité Mars March mar devises impact * Revenue from ordinary activities 29

30 SALES AT THE END OF THE 3 RD QUARTER SALES OF VEGETABLE SEEDS ANALYSIS OF SALES* OF VEGETABLE SEEDS PER GEOGRAPHICAL ZONE Context of a dynamic market, which is however less buoyant at the moment in certain territories (Italy, Spain, Mexico) Africa / Middle East Very good level of sales, bearing in mind the high reference base of fiscal year Asia / Oceania 18% 15% 30% 37% Europe Americas Significant business growth of the three Business Units in all the geographical zones Increase in sales once again very strong at the end of the quarter, demonstrating that the European market is picking up and in North America business is extremely dynamic * Sales of products Great success for certain strategic crops: carrot, hot and sweet pepper and summer squash in particular Programmed run-down of the agricultural supplies and equipment activity of the Business Unit Vilmorin-MKS pursued in Japan A quarter with solid growth 30

31 SALES AT THE END OF THE 3 RD QUARTER SALES * OF FIELD SEEDS In M AT THE END OF THE THIRD QUARTER +11.0% % THIRD QUARTER +7.0% +6.7% March Mars mar Currency Impact Activity Activité March Mars mar devises impact March Mars mar Currency Impact Activité Activity March Mars mar devises impact * Revenue from ordinary activities after application of IFRS 11 (i.e. excluding AgReliant) 31

32 SALES AT THE END OF THE 3 RD QUARTER SALES OF FIELD SEEDS In M TOTAL SALES (including AgReliant): 765 M North America (AgReliant) (-6.1%) Other zones (+61.4%) ANALYSIS PER GEOGRAPHICAL ZONE (evolution on a like-for-like basis, before application of IFRS 11) Europe (+5.6%) Corn and sunflower. Europe Growing business, in a context marked again this year by considerable pressure on prices Further drop in the sales of corn seeds: Direct consequence of the predicted decrease in cultivated acreage, mainly in Western Europe (especially in France) In spite of a commendable increase in business in Eastern Europe, where market shares gains were achieved Very strong increase in the sales of sunflower seeds, mainly in key markets: Ukraine and Russia Corn. South America Extremely powerful business growth for the second sales campaign in Brazil (Safrinha), resulting in market share gains Corn. North America (AgReliant) Drop in volumes of corn seeds brought to market, proportionately to the lower acreage predicted for this crop Corn. Africa (Seed Co) Strong increase in sales of corn seed Confirmed upturn in business in an environment that remains difficult 32

33 SALES AT THE END OF THE 3 RD QUARTER CONSOLIDATED SALES * PER GEOGRAPHICAL ZONE Asia / Oceania Africa/ Middle East 10% 10% 60 % 58% Europe Americas 22% 10 % Americas 226 M %** Europe 595 M. +3.7%** Africa/Middle East 107 M. +2.9% ** Asia/Oceania 107 M %** * Sales of products ** With current data compared with

34 Disclosure on July 31, 2017 SALES AT THE END OF THE 3 RD QUARTER CONSOLIDATED SALES * PER QUARTER SALES* PER QUARTER In M Vegetable seeds Field seeds Europe Field seeds other zones Garden products and Holdings Q Q Q Q Q Q Q Q * Revenue from ordinary activities 34

35 OUTLOOK AND MID-TERM AMBITIONS 35

36 OUTLOOK FOR THE END OF FISCAL YEAR VEGETABLE SEEDS Challenges for the end of the fiscal year: Market share gains and confirmation of the strong growth of the Vegetable seeds activity over the fourth quarter, with a high reference base for Outlook for the end of the fiscal year: Objective for Vegetable seeds sales readjusted slightly lower Objective Sales = +6%* * On a like-for-like basis. 36

37 OUTLOOK FOR THE END OF FISCAL YEAR FIELD SEEDS Challenges for the end of the fiscal year: Definitive evolution of corn and sunflower acreage Resistance to the persistent pressure on prices Final impact of the exchange rates between different currencies Outlook for the end of the fiscal year: Objective for Field seeds sales raised Objective Sales > +5%* * On a like-for-like basis 37

38 OUTLOOK FOR THE END OF FISCAL YEAR CONFIRMATION OF THE GLOBAL SALES OBJECTIVE Sales objective for : Achieve significant growth in business, in market conditions that remain tense for field seeds and characterized by consolidation operations in the agrochemical sector OBJECTIVE PRESENTED IN FEBRUARY 2017* (following disclosure of the results for the first semester) OBJECTIVE PRESENTED AT THE END OF THE 3 RD QUARTER* Sales +5% Sales > 5% of which: Vegetable seeds Field seeds > 7% > 2% of which: Vegetable seeds Field seeds +6% > 5% * On a like-for-like basis 38

39 OUTLOOK FOR THE END OF FISCAL YEAR UPWARD ADJUSTMENT OF THE CURRENT OPERATING MARGIN Current operating margin objective for : OBJECTIVE PRESENTED IN FEBRUARY 2017 (following disclosure of the results for the first semester) REVISED OBJECTIVE (at the end of the 3 rd quarter) Current operating margin ~ 8.4% (which is the same level as in ) including a research investment of more than 240 M Current operating margin 9.0% including a research investment of more than 240 M The fruit, in particular, of the implementation, as of April 2016, of the operational action plan Aim for a contribution from the companies it consolidates under the equity method, at least equivalent to While continuing to deploy the strategy of development and innovation, in a long-term vision, and relying on the complementarity of the two strategic activities 39

40 MID-TERM AMBITIONS REMINDER OF THE STRATEGIC AMBITIONS FOR 2020 Accelerate development to reach business growth higher than market trends and increase operating margins, both in Vegetable Seeds and Field Seeds Consolidate the financial profile, both in terms of leverage (aiming a level of between 1.5 and 2) and indebtedness (with gearing lower than 40%), making sure in particular to increase cash generation Materialize the 3 strategic priorities: VEGETABLE SEEDS CORN SEEDS WHEAT SEEDS REINFORCE WORLD LEADERSHIP BECOME A GLOBAL PLAYER ULTIMATELY BECOME THE WORLD REFERENCE 40

41 MID-TERM AMBITIONS REMINDER OF AMBITIONS FOR VEGETABLE SEEDS Pursue the strategy of combining organic and external growth Regular renewal and optimization of the product portfolio Even greater proximity to markets Targeted external growth operations Continue to increase value in emerging markets AMBITION FOR 2020 AVERAGE SALES GROWTH OF MORE THAN 5% PER YEAR REACH AN ANNUAL OPERATING MARGIN LEVEL OF 18% 41

42 MID-TERM AMBITIONS REMINDER OF AMBITIONS FOR FIELD SEEDS Continue the strategy of innovation and internationalization Quality of the products pipeline International deployment Development of a proprietary range of genetically modified varieties AMBITION FOR 2020 REACH SALES OF AROUND 1 BILLION EUROS AND AN ANNUAL OPERATING MARGIN LEVEL OF 10% (INCLUDING AGRELIANT AT 50%) 42

43 VILMORIN & CIE ON THE STOCK EXCHANGE 43

44 VILMORIN & CIE ON THE STOCK EXCHANGE EVOLUTION OF THE SHARE PRICE SHARE PRICE ON MAY 26 TH, 2017 Vilmorin & Cie CAC 40 MARKET CAPITALIZATION ON MAY 26 TH, BN. Vilmorin & Cie : % 10 years % 5 years % 1 year (Source: Euronext.com) 44

45 VILMORIN & CIE ON THE STOCK EXCHANGE DIVIDENDS (1) * Profit (group share) per share Dividend Pay-out 28.4% 35.3% 31.4% 37.2% 44.8% 38.6% * Capital gain from the disposal of a minority stake in China. (1) Data restated for the allotment of free shares of January 2013 and January

46 SCHEDULE AND CONTACTS 46

47 SCHEDULE MONDAY JULY 31, 2017, AFTER TRADING Disclosure of sales for fiscal year (on June 30, 2017) WEDNESDAY OCTOBER 18, 2017, AFTER TRADING Disclosure of results for fiscal year (on June 30, 2017) MONDAY NOVEMBER 6, 2017, AFTER TRADING Disclosure of sales at the end of the first quarter (on September 30, 2017) 47

48 CONTACTS FOR ANY FURTHER INFORMATION: Daniel JACQUEMOND Chief Financial Officer Valérie MONSERAT Head of Financial Communication and Investor Relations Clémence DATURI Financial Communication Officer and Individual Shareholders Relations Vilmorin & Cie Head Office: 4 quai de la Mégisserie F PARIS Postal address: CS Saint-Beauzire F GERZAT Tel: +33 (0) All our financial information on 48

49 APPENDICES Market context Key financial data for fiscal year Organization chart 49

50 APPENDICES Market context 50

51 août-12 oct.-12 déc.-12 févr.-13 avr.-13 juin-13 août-13 oct.-13 déc.-13 févr.-14 avr.-14 juin-14 août-14 oct.-14 déc.-14 févr.-15 avr.-15 juin-15 août-15 oct.-15 déc.-15 févr.-16 avr.-16 juin-16 août-16 oct.-16 déc.-16 août-12 oct.-12 déc.-12 févr.-13 avr.-13 juin-13 août-13 oct.-13 déc.-13 févr.-14 avr.-14 juin-14 août-14 oct.-14 déc.-14 févr.-15 avr.-15 juin-15 août-15 oct.-15 déc.-15 févr.-16 avr.-16 juin-16 août-16 oct.-16 déc.-16 MARKET CONTEXT FIELD SEEDS TRENDS Price levels for agricultural production Price of corn. Bordeaux: 166 /tn. Price of wheat. Rouen: 166 /tn. February 2017 Corn, soybean and wheat prices. Chicago Corn: 146 $/t Soybean: 389 $/t Wheat: 159 $/t February Blé rendu Rouen Maïs rendu Bordeaux Blé US Chicago Maïs US Chicago Soja Chicago Sources: Cereals market - FranceAgriMer, IGC, La dépêche. November

52 MARKET CONTEXT FIELD SEEDS TRENDS A market context that remains difficult for field seeds Low level of prices for agricultural raw materials Trends in the evolution of acreage Corn United States Acreage Europe 28 Acreage Greater Europe Acreage Brazil Safra acreage Safrinha acreage Sunflower Europe 28 Acreage Greater Europe Acreage Sources: internal estimates 52

53 APPENDICES Key financial data for fiscal year

54 VILMORIN & CIE KEY FINANCIALS INCOME STATEMENT FOR FISCAL YEAR (CLOSING JUNE) In M Variation Sales % Sales margin M Sales margin rate 47.5% 47.7% +0.2 pt Operating income M Operating margin rate 7.9% 7.6% -0.3 pt Current operating margin rate (1) 8.0% 8.4% +0.4 pt (1) The current operating margin is defined as the operating margin in the accounts restated for impairments, reorganization costs and certain items of an extraordinary nature(additional procurement costs and partial allocation of goodwill in ). 54 Financial income (2.7) M Income from associated companies M Income taxes (19.3) M Net income M Net income Group share M

55 VILMORIN & CIE KEY FINANCIALS KEY FIGURES CONTRIBUTED TO CONSOLIDATED SALES PER DIVISION FOR FISCAL YEAR In M Sales* Operating income Net income Vegetable seeds Field seeds Garden products Holdings Consolidated 1, , * Revenue from ordinary activities 55

56 VILMORIN & CIE KEY FINANCIALS FREE CASH FLOW In M Net indebtedness at the beginning of the FY EBITDA (1) Variation of working capital needs (44) 20 Other operating items (41) (28) Net industrial investments (62) (46) Activated development costs (148) (157) Operating cash-flow (32) 68 Net financial investments (62) (116) Capital and other equity contributions - (1) Dividends (21) (10) Net financial charges (28) (23) Free cash-flow (142) (83) Other restatements (IFRS/ Currency, etc.) (4) 1 Net indebtedness at the end of FY (1) EBITDA is defined as follows: Operating income + Net depreciation & amortization + Net impairment 56

57 VILMORIN & CIE KEY FINANCIALS BALANCE SHEET STRUCTURE In M 1,563 1,691 Assets Net fixed assets Net working capital needs Total balance sheet 2, ,272 1, ,159 * of which cash Liabilities Equity Provisions Net deferred taxes Net indebtedness Gearing 59% Leverage

58 APPENDICES VILMORIN & CIE ORGANIZATION CHART 58

59 ORGANIZATION CHART FIELD SEEDS Limagrain Europe VEGETABLE SEEDS HM.CLAUSE AgReliant (corn, soybean) Limagrain Asia Hazera Limagrain Cereal Seeds (wheat) Limagrain South America Vilmorin-MKS Limagrain Africa 59

60 THANK YOU VILMORIN & CIE Head Office : 4 Quai de la Mégisserie F PARIS Postal address : CS Saint-Beauzire GERZAT Tel (0)