CHAROEN POKPHAND FOODS 9M/2023
Results Briefing
Investor Presentation, Nov 14, 2023
Table of
Content
Business Overview
9M/2023 Financial Results
FY2023 Outlook
Appendix
P 03 - 09
P 10 - 17
P 18
- 3Yr Historical Results
- Products & Raw Materials Price Trend
- Highlights Q3/2023 Results
- Group of Associate Companies & Joint Ventures
- Product Sample & Retail Outlet Format
Charoen Pokphand Foods Public Company Limited | 2 |
Results Briefing 9M/2023 | |
Why Invest in CPF
Our vision is ''Aiming to compete in the front line of the food industry, we use resources properly and environmental friendly. The Company takes into account the interests of all stakeholders to ensure sustainable growth, while being able to generate appropriate return to shareholders"
One of the world's Leaders
Animal feed manufacturing,
swine production, and shrimp integrated business Multi-speciesanimal proteins mainly swine, poultry, shrimp
We are recognized as
SET 50 in Stock Exchange of Thailand Agro & Food Industry Sector
Member of Dow Jones Sustainability Indices (Emerging Markets)
Diversified Portfolio
operations and investment in 17 countries exports to more than 40 countries catered to over 4 billion people
Member of FTSE4Good Index Series Ranked "Excellent" for CGR Scoring by Thai Institute of Directors (IOD) ASEAN Asset Class PLCs from ASEAN Corporate Governance Scorecard (ACGS)
Charoen Pokphand Foods Public Company Limited | 3 |
Results Briefing 9M/2023 | |
Sustainable Kitchen of the World
GRC
Food Security | Biodiversity & |
Ecosystems | |
Human Rights | Water |
and Labour | Stewardship |
Practices | |
Employees | Climate |
Action | |
& Communities | |
Recognized by
Charoen Pokphand Foods Public Company Limited
Results Briefing 9M/2023
Protecting our Climate
"Take action towards positive environmental impact throughout our value chain "
Improving Quality Living of People
"Create positive social impact in the lives of
employees and individuals throughout our
value chain"
Creating Prosperity Food
"Establish food security with products that
promote health and well-being for consumers"
4
Company Highlight
Market Cap THB 164 billion
(or ~USD4.6 billion) as of Nov 13, 2023
- 8,611 million shares
(paid-up) with par THB 1.00 per share
-
Book Value THB 28.39*
per share (as of Sep 30, 2023) - Major Shareholder
Charoen Pokphand Group Ltd.
with 50.33%** of paid-up capital
as of May 9, 2023
Note: USD1 = THB 35.76 (as of Nov 13, 2023)
- Exclude Non-Controlling Interests (NCI) and Subordinated Perpetual Debentures (** ) CPG Group is a reporting group to be in compliance with Section 246 and Section 247 of the Securities and Exchange Act of 2535 (as amended)
Sales in FY2022 THB 614 billion
(or ~USD17.8 billion)
Sales Breakdown
Livestock, | Feed, | TH-Domestic, | TH-Export, |
86% | |||
31% | 5% | ||
24% | |||
Aquaculture, | Food, | Farm, | International, |
14% | 21% | 55% | 64% |
- 4 listed investments onboard
(HKSE:3839, TWSE:1215, SET:CPALL , SET:CPAXT)
- 26 series of debentures
listed on Thai Bond Market Association
- Credit Rating A+ with "Negative" Outlook by TRIS Rating
as of Sep 14, 2023
5
Vertically Integrated Business in Thailand
The integrated food process to offer top-quality products in terms of nutrition, taste, food safety, and traceability with the focus to
maintain world-class, modern production process as well as efficient and ecofriendly consumption of natural resources.
1 Feed business
Feed milling
Feed
Pet Snack
2 Farm business
Breeding Breeder
Farming | Live Animal |
Processing | Fresh Meat |
3 Food business
Food and | Food & Retail |
Ready Meal | Outlets |
Distribution Channel
• Own Channel | • Food Services | • Traditional Trade |
• Modern Trade | • HoReCa | • Export |
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Results Briefing 9M/2023 | |
CPF Geographical
Footprints
Russia | UK | Belgium | Türkiye | Poland | ||
• | Livestock feed | Food & Trading | Ready to eat foods | Chicken integrated | • | Hatchery farm |
• | Swine farming | business | business | • | Food processing plants | |
• | Chicken integrated | • | Seafood business | |||
business | • | Plant-based meat |
Operations and investment in
17
countries
Catered to Exports to
> 4 Billion | 40 |
people | countries |
China
USA | Canada |
Ready to eat foods | Swine integrated business |
•
•
•
Livestock and aquaculture feed Livestock and aquaculture farming Ready to eat foods
Brazil | Thailand | Vietnam | |||||
Shrimp farming | |||||||
& primary processing | Livestock and | Livestock and | |||||
aquaculture | |||||||
Aquaculture | |||||||
integrated businesses | |||||||
integrated businesses | |||||||
India | Sri Lanka | ROC | Malaysia | Philippines | Laos | Cambodia | |
• | Chicken integrated business | Ready to eat foods | (Taiwan) | Livestock and | Livestock integrated | Livestock integrated | Livestock integrated |
• | Aquatic feed, Shrimp | Livestock integrated | aquaculture | business and aquaculture | business | business | |
Hatchery & Processing | integrated business | feed and farming | |||||
business | |||||||
Charoen Pokphand Foods Public Company Limited | 7 |
Results Briefing 9M/2023 | |
Our Strategy for Growth
Globalization
expand market in 17 existing countries by establishing a proper business model suitable for each strategic market
Fully integrated | Value-added |
business model | business |
from upstream | expand portfolio towards |
midstream to | innovative products and |
downstream | services to serve rising |
demands |
Digital Transformation
utilize digital tools to improve operation efficiency and to better serve needs of customer.
- Smart Farm
- Smart Factory
• Robot Accountant
Sustainability
ensure sustainable growth by creating shared value for society, environment and well as economic value.
Charoen Pokphand Foods Public Company Limited Results Briefing 9M/2023
8
CPF Operation Structure
as of Sep 30, 2023
- % to Sales Revenue
38% | 62% | |||||||||||||||||||
CPF Thailand | 1 | CPF International | Associates & | Joint Ventures (2) | ||||||||||||||||
% holding by CPF | ||||||||||||||||||||
35% | ||||||||||||||||||||
direct & indirect | ||||||||||||||||||||
32% | Domestic | 27% CPP | (76.24%) (1) | TW:1215 CPE Taiwan | (39.00%) | CP Meji | (59.99%) | |||||||||||||
Russia | (99.99%) | HyLife (Canada) | (50.10%) | 16 | ||||||||||||||||
Export | RBPI | (75.82%) | 4 | Ross | (49.99%) | |||||||||||||||
6% | 20% Vietnam | 7% China | S&W | (99.99%) | ||||||||||||||||
3% of Sales export | Arbor | (49.98%) | ||||||||||||||||||
through Subsidiaries | ||||||||||||||||||||
2 | Philippines | (99.99%) | 5 | |||||||||||||||||
3 | SuperDrob (Poland) | (49.45%) | ||||||||||||||||||
9M/2023 | USA (Bellisio) | (100.00%) | 6 | Camanor (Brazil) | (40.00%) | 17 | ||||||||||||||
Sales Revenue | CP Cambodia | (100.00%) | 7 | SET: CP ALL | (34.21%) | |||||||||||||||
438,525 | ||||||||||||||||||||
Malaysia | (99.99%) | 8 | SET: CPAXT | (8.85%) | ||||||||||||||||
Million Thai Baht | CPF Poland | (66.67%) | 13 | India | (99.99%) | 9 | Well Well Invest S.A. | (33.33%) | ||||||||||||
CP (Aqua) India | (75.00%) | |||||||||||||||||||
Net Profit | ||||||||||||||||||||
Belgium (Tops Food) | (89.69%) | 14 | Group of CPP's Associate | |||||||||||||||||
(5,328) | Sri Lanka (Norfolk Foods) (80.00%) | 15 | Westbridge | (99.97%) | ||||||||||||||||
UK | (99.97%) | 10 | Companies & JCE | |||||||||||||||||
Million Thai Baht | Türkiye | Chia Tai Investment (26.69%) | ||||||||||||||||||
Note : | (100.00%) | 11 | ||||||||||||||||||
HKSE:3839 CTEI | (50.43%) | |||||||||||||||||||
(1) Based on total issued shares (The privatization of CPP completed on 18 January 2022) | ||||||||||||||||||||
- See Appendix D for full list of associates & joint ventures
Laos | (99.99%) | 12 | |
Charoen Pokphand Foods Public Company Limited | 9 |
Results Briefing 9M/2023 | |
Performance Summary
Unit: THB, m | YoY | QoQ | ||||
9M/2022 | 9M/2023 | %Change | Q3/2022 | Q3/2023 | %Change | |
Sales Revenue | 455,149 | 438,525 | -4% | 160,266 | 144,498 | -10% |
Gross Profit Margin | 14.2% | 10.9% | 15.0% | 10.8% | ||
EBITDA | 53,619 | 38,577 | -28% | 19,633 | 11,084 | -44% |
EBITDA Margin | 11.8% | 8.8% | 12.3% | 7.7% | ||
G/L on FV of Biological Assets | 942 | 1,894 | 101% | (885) | 320 | 136% |
Financial Costs | (14,323) | (18,603) | 30% | (5,494) | (6,377) | 16% |
Income Taxes Expense | (6,701) | (437) | -93% | (2,021) | 116 | -106% |
Share in Profit of Associates & Joint Ventures | 1,165 | (1,453) | -225% | 2,294 | 528 | -77% |
G/L on Sales of Invt. & Div. | 2,364 | 3,535 | 50% | 28 | 1,285 | 4489% |
Net Profit | 12,158 | (5,328) | -144% | 5,108 | (1,810) | -135% |
Net Profit Margin | 2.7% | -1.2% | 3.2% | -1.3% |
- Sales revenue decreased 4% YoY
- Revenue breakdown from international operation 62%, Thailand operation 38%
- Revenue decreased mainly from weaker product prices
9M/2022 Gross profit margin decreased to 10.9%
Vs | • Meat price in the region declined from last year | |
9M/2023 | ||
• Cost inflation | ||
Financial cost increased 30% from elevated interest rate | ||
Share in profit of associates down mainly from weak CTI and Hylife performance | ||
Net Loss of -5,328 down 144% | ||
Charoen Pokphand Foods Public Company Limited | 10 | |
Results Briefing 9M/2023 |
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Disclaimer
CPF - Charoen Pokphand Foods pcl published this content on 13 November 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 14 November 2023 06:34:02 UTC.
