Download 25 August 2016: 2016 AGM CEO's Presentation PDF Document

Thank you Laurie.

Good morning everyone.

I am delighted to be here again today and would like to welcome you all to Jerilderie and SunRice's AGM. As Laurie mentioned, SunRice had another strong Financial Year in 2016, delivering improved profit on last year's set of results.

It is pleasing to report that over the past 12 months we have continued to implement the various elements of our growth strategy, which was first introduced in 2012. The strategy has provided the business with a focus and robustness that delivered positive outcomes during the year, especially in the areas of establishing a secure and sustainable supply base and building a presence in high growth consumer markets, which I will discuss later.

By the end of my presentation today, I hope to have provided you with an overview of several issues:

• Firstly, the drivers that lifted Company profits once again;

• Secondly, how the strategy has delivered positive results, especially over the past

  five years, and delivered a more resilient and diversified company;

• Thirdly, reassure you that, despite the numerous challenges currently facing your Company, the business is robust enough to weather what is shaping as a tough financial year; AND

• Finally, encourage you to maximise your rice crops this year, especially given water availability is improving and SunRice's continued growth.

Following three years of growth, in Financial Year 2016 SunRice increased its profit by a respectable 6%, following on from the 47% increase in the preceding year.

Group consolidated revenue was a record $1.3 billion, up 2%.

Revenue attributable to the Riverina Rice Pool Business was $474 million, down

18%, reflecting the smaller Riverina crop.

Revenue attributable to SunRice's Profit Businesses was $892 million, up 4%, driven by strong growth in the International Rice and Rice Foods segments.

Net profit before tax for Financial Year 2016 was $73 million, up 4%. Net profit after tax for Financial Year 2016 was $52 million, up 6%.

For our growers, the Paddy Price for medium grain Reiziq for the 2015 Crop (which was marketed in Financial Year 2016) was $403.60 per tonne, which represented a 2% uplift in pricing and translated to a total $288 million paid out to growers.

For our SunRice B Class Shareholders - and it is important to note that around 70% of these are current A Class shareholders - a record dividend of 33 cents was paid for Financial Year 2016, which represented a dividend increase of 7% year-on-year. On a share price of $4.30 - the price on the day before the release of the results - this dividend represented an impressive fully franked yield of 7.7%.

It is important to mention that $24 million in capital investment was made during the

year, and that return on capital employed (ROCE) remained above 15%.