Investor Presentaiton
NEW ZEALAND
INGHAM'S
Always Good
LOWER VOLUMES DUE TO PRODUCTION CONSTRAINTS, WITH PRICE INCREASES REFLECTING
COST INFLATION
Core poultry volumes declined by 2.4%, with lower sales
reflecting an adjustment to egg settings due to significant labour
constraints during the period, and CO2 supply constraints
impacting Further Processing production and product mix
Total poultry net selling prices increased 14.1% (NZD) and
external feed net selling prices increased 37.0% (NZD)
Operating environment challenges during 1H due to shortages
in both labour and CO2
Improvements in labour availability levels as 1H progressed
Converted Auckland plant to nitrogen in November
Kapuni CO2 plant temporarily shut down during December
January, constraining production volumes at our Cambridge
FP facility. Cambridge to be converted to nitrogen in late Feb
2023
1H23 feed cost increased $13.2M; packaging & ingredients
(+$2.0M); fuel/freight (+$4.3M); intercompany Royalty charge
(+$1.2M) due to higher revenues (on which royalties are
calculated)
$M
1H23
1H22 Variance
%
Core Poultry volumes (kt)
32.9
33.7
(0.8)
(2.4)
Total Poultry volumes (kt)
Feed volumes (kt)
39.6
41.0
(1.4)
(3.4)
37.0
45.6
(8.6)
(18.9)
Revenue
215.3
205.5
9.8
4.8
EBITDA
28.2
37.3
(9.1)
(24.4)
EBITDA (% Rev)
13.1
18.2
(5.1)
(28.0)
Underlying EBITDA
28.3
37.3
(9.0)
(24.1)
Underlying EBITDA (% Rev)
13.2
18.2
(5.0)
(27.5)
Underlying pre AASB 16
Underlying EBITDA
8.9
19.1
(10.2)
(53.5)
Underlying EBITDA (% Rev)
4.1
9.3
(5.2)
(55.6)
Financial and operating performance has been showing an
improving trend in Q2
Underlying Gross Profit
42.3
45.8
(3.5)
(7.6)
Underlying Gross Profit (% Rev)
19.6
22.3
(2.7)
(11.9)
1. Volume adjusted
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