Strategic Financial Overview slide image

Strategic Financial Overview

Cash Flow and Balance Sheet Statutory Pro Forma $ millions Jun-18 Jun-17 Variance EBITDA 212.0 198.8 13.2 195.0 Non-cash items (17.5) (6.6) (10.9) (6.6) Changes in working capital 66.5 23.5 39.8 15.9 Changes in provisions (0.4) 1.5 (1.9) 1.5 Cash flow from operations 260.6 217.2 40.2 205.8 Cash conversion ratio 122.9% 109.3% 13.6% 105.5% INGHAM'S Heart of the Table Jun-17 Cashflow > Non-cash items relate to the profit on sale of Wanneroo ($14.1m) and Leppington ($5.3m) offset by other minor items including LTIP Continued improvements in working capital through tight inventory, receivables and payables management Operating cash conversion 122.9% inventory financing benefit in the year $23.0m operating cash conversion excl. inventory financing 112.1% Capital expenditure - Inghams (61.2) (90.5) 29.3 (90.5) Net Debt to EBITDA reduced to 0.7x 3rd party capital recovered / 0.7 (4.8) 5.5 (4.8) (for recovery) Statutory Pro Forma Deposits on property (2.5) (2.5) Working capital Jun-18 Jun-17 Variance Jun-17 acquisitions Receivables 197.7 218.5 20.8 231.5 Proceeds from sale of assets 68.0 20.7 47.3 20.7 Biological assets 117.9 114.6 (3.3) 112.5 Inventories 151.3 163.6 12.3 156.5 Net cash flow before financing & tax 265.6 142.6 122.3 131.2 Payables (302.7) (266.0) 36.7 (278.8) Total 164.2 230.7 66.5 221.7 Statutory $ millions Jun-18 Jun-17 Variance Pro Forma Jun-17 Capital program Total Assets 1,140.7 1,073.4 65.4 Net Debt 145.4 299.6 154.2 1,082.5 297.7 Net Debt/ LTM EBITDA 0.7 1.5 0.8 1.5 Asset sales relates to Wanneroo (WA), Burton Road (SA) and Leppington (NSW) Third party capital recoveries primarily relate to SA feed mill and SA breeder farm expansion projects PAGE // 9
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