Ruralco Investor Site Visit

January 2017

History of Operations and Financial Results

2

Operating History

1970

  • Established as buying group

MERGER 2006

  • Minimal safety focus: LTIFR > 20

  • Geographic: 70%+ profit - Tasmania

  • Sector: 80%+ sales - wholesale merchandise

  • High gearing: >100% debt / equity (Roberts)

  • Growth: Flat

  • Established 1865

240

Since 2006 merger:

  • Market cap increased five fold

  • Equity network expanded from 97 to 281

  • Earnings base diversified into new sectors

180

134

165

132137

198

178 177

Market cap $m

1321

43 43 50

1970 2000 2006 2010 2016 3

Continued disciplined balance sheet and capital management Net debt and working capital relative to sales growth $m

Equity raising

300 $67m Continued disciplined balance sheet management

250

200

150

100

0.80.9

1.0

1.11.2

1.4

1.6

1.8

allows funding options for strategic investments and

future business growth

More than 100% growth in sales revenue over 7 years with working capital gearing managed at efficient levels while pursuing network expansion plans

Average working capital 8% of annual sales at FY16

50

51 41

-

45 51 37 5962

16

FY09 FY10 FY11

Gearing: 25% 20% 9%

FY12

21%

FY13

24%

FY14 FY15

14% 21%

FY16

23%

Net Debt

Shareholders equity

Working Capital

Sales Revenue ($bn)

4

Ruralco Holdings Limited published this content on 23 January 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 22 January 2017 22:10:05 UTC.

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