NASF 2015 Pareto Investor & Finance Seminar

Transcription

1 Nourishing the future NASF 2015 Pareto Investor & Finance Seminar Andrés Lyon CEO Multiexport Foods S.A. Bergen, March 5th, 2015

2 Multiexport Foods S.A. at a glance One of the Leading Companies in the Chilean Salmon Industry $ MM USD 400 Turnover (2014E) Harvest Mix 2014 (% Tons WFE) MULTIFOO:CL Listed since 2007 Santiago Stock Exchange Float 35% Mkt Cap USD 320 million TON 70 th ton 2014 (WFE) Sales By Country 2014 (% Tons WFE) 2,100 Employees Atlantic Salmon 87% Coho 9% Trout 4% Japan 11% Russia 7% Others 18% USA 46% Brazil 18% 2

3 Multiexport Foods S.A. at a glance One of the Leading Companies in the Chilean Salmon Industry e Multiexport Foods: +25 years of growth (Sales in USD million) : JV MITSUI 2008: ISA Crisis : IPO (USD 97MM) : USA Sales Office Source: Multiexport Foods

4 Multiexport Foods historical production Harvest (Th Tons WFE) Atlantic Salmon Trout Coho Salmon 4 4 Source: Multiexport Foods

5 Multiexport Foods Value Chain and Assets 5

6 Present throughout the value chain - From the genetics to the market Minimum Cost Maximum Value Added Value Chain 6

7 Multiexport Foods - Organization Chart Multiexport Foods S.A. Holding Company (Listed) 100% 100% Salmones Multiexport S.A. Atlantic Salmon Farming Alimentos Multiexport S.A. Processing & Sales Jan/ % 30% Multiexport Pacific Farms S.A. Coho Salmon (& Trout) Farming 7

8 Multiexport Foods Business model Human Resources Corporate Support Units IT Corporate Finance Feed & others FARMING Low cost Sale of Gutted Salmon SALES & PROCESSING High value added Sales Maximize Profit Farming B.U. Maximize Multiexport Foods Profit Maximize Profit Sales & Processing B.U. 8

9 Fresh and Sea Water Units Fresh Water Units HATCHERIES: 5 Units FW Concessions: 7 Capacity: 30 million eyed eggs 20 million smolts Sea Farming Units TON Total Potential Capacity: 120 th ton WFE Competitive mix of neighborhoods and concessions Presence in 25 neighborhoods 108 granted concessions SW CONCESSIONS : X Region : 23 XI Region : 76 XII Region : 9 Total : 108

10 Multiexport Foods is well recognized by its high quality assets 10

11 Multiexport Foods Concessions Competitive advantages for Salmon production MHG / AquaChile MHG / AquaChile Mitsubishi Group Mitsubishi Group Multiexport Multiexport Los Fiordos Australis Camanchaca Salmones Austral Australis Salmones Austral Blumar Yadran Los Fiordos Blumar Camanchaca Salmones de Chile Salmones de Chile Others Yadran Total MULTIEXPORT FOODS CONCESSIONS: Concessions ,320 X Region : 23 XI Region : 76 XII Region : 9 Total : # NEIGHBORHOODS: 25 Estimated maximum production capacity: +120 th ton WFE X Region 505 XI Region 716 Neighborhoods XII Region Source: Multiexport Foods

12 Our company is recognized worldwide for the quality of its processing plants 12

13 Processing Units Modern processing plant. Designed under concept of continuous flow lines. TON 80,000 Tons WFE Flexibility to quickly adapt to market requirements Expertise on Commodity and Value Added Products 5 filleting/trimming lines 2 portioning machines (600 net tons/month) Largest Smoking Plant in Chile. Designed by top quality Japanese smoker (Oji Salmon) TON 7,500 tons WFE Four independent areas: Raw Material Reception Curing Smoking Slicing Packing High sanitary standards

14 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dic Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dic Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dic Fresh & Frozen Process Plant - Efficient utilization of processing capacity (Tons WFE) 8,000 7,000 6,000 5,000 4,000 3,000 2,000 1, rd parties Tons Multiexport Foods Tons 14 Source: Multiexport Foods

15 Sales & Marketing Team Multiexport Foods sales reached USD 400 million in 2014 distributed in more than 30 countries around the world Sales & Marketing Team with proven expertise maximizes value per fish Sales Mix 2014 (% WFE Tons) 6% 9% 85% Atlantic Salmon Trout Coho 15 Source: Multiexport Foods

16 Sales by Markets Sales by Market (% WFE Tons 2014) Our sales office in the USA concentrates nearly 45% of our shipments. This office also distribute products of other companies (10% of its sales) 50.0% 45.0% 40.0% 35.0% 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% 45.3% 21.1% 18.5% 5.0% 6.5% 3.6% USA ASIA EUROPE RUSIA LATAM OTHER VAP (% Tons WFE) Not VAP (% Tons WFE) 16 Source: Multiexport Foods

17 Smoked Business Leader Stable prices // high returns Multiexport Foods smoked sales represents 7% of its total WFE tons exports. Smoked margin GAP v/s Fresh & Frozen => +1.0 USD/kg WFE Multiexport Markets (%Tons WFE) Chilean exports: 2014 (million USD FOB) Other 6% Multiexport Foods Ventisqueros USA 38% Japan 56% Mitsubishi Group Primar South Wind Marine Harvest 3.1 Others 7.7 Source:Publitecsa/ Multiexport Foods

18 Multiexport Foods Operational Performance 18

19 # Sea Lice Industry productive performance 2013 Crisis effects in Multiexport production Harvest weight (kgs WFE) Biomass (Tons) Harvest Volume TH Tons/ quarter Atlantic Salmon Biomass / Sea Lice Atlantic Salmon Biomass Sea Lice % 1.75% 1.50% 1.25% 1.00% 0.75% 0.50% 0.25% 0.00% Atlantic Salmon Monthly Mortality Rates Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Atlantic Salmon Harvest Weight ( ) Q1-12 Q3-12 Q1-13 Q3-13 Q1-14 Q Atlantic Salmon Harvest Avg. Harvest Weight 19 Source: Aquabench / Multiexport Foods

20 Multiexport productive performance 2013 Crisis effects in production Year Stocking Harvest Farming sites sanitary condition Optimal Deteriorated Stocking Stocking Stocking Harvest Harvest Harvest Stocking Stocking Harvest Harvest 2013 Multiexport production highly concentrated in region XI (>90%) Effect on harvest/cost: Q2/Q High Q4/ Medium => harvest postponement to Q1/2014 S1/ Medium/Low S2/2014 onwards No effect 20

21 What have we done since then? Lesson learned New Model in Place since S Analytic and informed smolt stocking decision and planning Advantage of broad neighborhood position (23 in Region X & XI + 2 in Region XII) 21

22 What have we done since then? Lesson learned New Model in Place since S Coordinated Planning and Management in each neighborhood Stocking Treatments Performance and sanitary Information sharing Deeper control over feeding strategy Smolt Selection: Higher quality and size: >120 g (85g previously) Smolt Stocking Size (g) H1/12 H2/12 H1/13 H2/13 H1/14 H2/14 H1/15 > 120g 22

23 What have we done since then? Lesson learned New Model in Place since S Working hard to recover productive performance No Growth Back to Basics: Full concentration in farming operations (focus) Implementation of a new organizational and management model inside the Company =>Recovery started 23

24 Results achieved so far Atlantic Salmon Performance Atlantic Salmon Yield (kg wfe / smolt) Multiexport vs. Chilean Industry Ind 2014 Ind Last 44M Mo Ind Last L 4M 4 Mo MEF MEF 17.5% 15.0% 12.5% 10.0% 7.5% 5.0% 2.5% 0.0% Atlantic Salmon Accum Mortality (%) Multiexport vs. Chilean Industry 11% 2014 Ind Last 44M Mo Ind Last L 4M 4 Mo MEF MEF 24 Source: Aquabench / Multiexport Foods

25 Results achieved so far Atlantic Salmon Performance kg wfe ene-14 feb-14 mar-14 abr-14 may-14 jun-14 jul-14 ago-14 sep-14 oct-14 nov-14 dic-14 ene-15 feb Atlantic Salmon Growth (g wfe / month harvested fish) Multiexport vs. Chilean Industry Ind 2014 Ind Last 44M Mo Ind Last L 4M 4 Mo MEF MEF 5.5 Harvest Weight wfe Source: Aquabench / Multiexport Foods MEF Industry 25

26 Results achieved so far Atlantic Salmon Cost USD/Kg WFE Important reduction so far, but still room for improvement Ex-Cage Cost USD/kg wfe (Atlantic Salmon) Source: Multiexport Foods 26

27 Results achieved so far Coho: Season Outstanding results Multiexport Foods production: 6.5 th tons WFE, 4.5% of Chilean Production 100% Harvested by Nov/2014 (Ind <50%) 95% of total harvest sold during 2014 Productive Summary Harvested Biomass WFE ton 6,500 Harvest average weight WFE kg 3.46 Mortality (fish number) % 5.9% Cycle length month 9 Yield Kgs/smolt 3.26 Very Positive Ebit/kg WFE 27

28 Results achieved so far Coho Salmon Performance Coho Salmon Yield (kg wfe / smolt) Multiexport vs. Chilean Industry % 8.90% 2013 Ind 2014 Ind Last 44M Mo Ind Last L 4M 4 Mo MEF MEF 2014 Ind Last 4M Mo Ind Ind Last L 4M 4 Mo MEF MEF 10% 8% 6% 4% 2% 0% Coho Salmon Accum Mortality (%) Multiexport vs. Chilean Industry 5.90% Source: Aquabench / Multiexport Foods Fantastic specie: 15 months from eyed egg to harvest 28

29 Financials 29

30 Capex: Capex and Depreciation (Usd Millions) Replacement Hatchery Processing Expansion Depreciation Cash Protection Minimum Investment - 1 hatchery to upgrade and balance smolt production capacity (2011) - 1 additional full filleting line (2012) - Replacement/Maintenance 85% Depreciation 30 Source: Multiexport Foods

31 Financials MMUSD Revenues USD/kg WFE EBIT pre-ifrs Atlantic Salmon MMUSD EBITDA pre-ifrs th ton 40 Balance Sheet (musd) E Total Assets Current Assets Long-term Assets Operational EBITDA Volume Sold Total Liabilities and Equity Financial Debt Other liabilities Total Equity Leverage Equity Ratio 41% 43% 34% 35% 35% 31 Source: Multiexport Foods

32 Outlook 32

33 Farming Performance Outlook - Challenges 1) Sanitary Sealice (Caligus) Control Continue working hard towards Non pharmaceutical solutions Maintain counts controlled at a desirable level (focus on adult females) No increase (decrease) in number of treatments SRS Periodic control (signs and opportune treatment) Promote an effective vaccine development 2) Cost Improvements Ahead FCR Smolt Cost Site Size (increase # of smolts) Operational expenses 33

34 Multiexport Foods Production Outlook Harvest Volume (th ton WFE) E 2016 E Atlantic Salmon Trout Coho Salmon 34 Source: Multiexport Foods

35 Strategic Pillars and Challenges Main topics within Multiexport Foods current agenda 1) Continue recovery of competitiveness and leadership 2) Experienced management team 3) Responsible Growth Plan 4) Sustainable Operations 5) EBIT and Financial Position Improvement 6) New Markets development 7) Further development of smoked products and VAP 35

36 Multiexport Foods Thank You