Interim Results Presentation for the 6 months ended 31 March 2020 - - PowerPoint PPT Presentation

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Interim Results Presentation for the 6 months ended 31 March 2020 - - PowerPoint PPT Presentation

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Interim Results Presentation for the 6 months ended 31 March 2020 AGENDA Business Overview Slide 3 Chris Schutte Operational Overview Slide 8 Andy Crocker, Gary Arnold Industry Matters Slide 26 Gary Arnold Financial

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SLIDE 1

Interim Results Presentation

for the 6 months ended 31 March 2020

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SLIDE 2

2

  • Business Overview Slide 3 – Chris Schutte
  • Operational Overview Slide 8 – Andy Crocker, Gary Arnold
  • Industry Matters Slide 26 – Gary Arnold
  • Financial Overview Slide 29 – Daan Ferreira
  • Outlook Slide 40 – Chris Schutte
  • Additional Information Slide 44

2

AGENDA

5/17/2020

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SLIDE 3

BUSINESS OVERVIEW

Chris Schutte Chief Executive Officer

5/17/2020

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SLIDE 4

SALIENT POINTS

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4

  • Feed input costs increased over the period on higher maize prices,

following poor yields and a smaller crop for 2019

  • Poultry production efficiencies on farm were maintained in line with

performance forecasts

  • Poultry selling prices increased for the period under review, leading

to a partial recovery of higher input costs

  • Extraordinary costs linked to load shedding, the legislated national

minimum wage and the on-going Standerton water supply contingency

  • COVID-19 costs late March; on-going impact into 2H2020 under the

nationwide lockdown complying with health and safety requirements

  • Good start to the 2020 maize planting season with production

prospects for the crop exceeding 15 million tons (2019: 11.3 mmt)

5/17/2020

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SLIDE 5

KEY FINANCIAL INDICATORS

5

  • Revenue
  • Profit before interest and tax @ R546 million
  • Profit for the period @ R371 million
  • Headline earnings per share @ 951 cps
  • No interim dividend declared

8.5% 4.3%

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SLIDE 6

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DIVISIONAL OVERVIEW

Poultry

  • Feeding cost increased
  • Bird performance improvement
  • Broiler sales volumes down
  • Broiler sales realisations up
  • Extraordinary cost impacts

Feed

  • Raw material costs up
  • Less internal feed required
  • External sales volumes up
  • Expenses well controlled
  • Improved Rand per ton margin

Other Africa

  • Higher profits from the Mozambique operations

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SLIDE 7

503 546

250 300 350 400 450 500 550 600 650 700 PBIT H1 F2019 Raw material cost Feed conversion efficiency Broiler sales volumes Broiler selling prices Extraordinary costs Other PBIT H1 F2020

7

THE PERIOD IN PERSPECTIVE

(R million)

R43 million

77 20 15 241 109 17

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SLIDE 8

Andy Crocker Managing Director: Commercial

5/17/2020

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SLIDE 9

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FEED DIVISION

Operating profit - R million

  • Operating profit up 1.7%
  • Net margin 6.9% 1H2019: 7.2%
  • Expenses well controlled
  • Rand per ton margin up

Revenue - R million

  • Revenue up 6.2%
  • Raw material costs up
  • Average selling prices up 6.8%
  • Sales volumes down 0.5%

3 303 3 509

  • 1 000

2 000 3 000 4 000 1H2019 1H2020 239 243

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FEED DIVISION

  • SAFEX yellow maize prices increased for the period under review 1H2020
  • avg. R2 703 per ton (1H2019: R2 579) up R124 per ton y-o-y
  • Internal feed sales volumes decreased marginally by 1.2% due to

improved broiler feed conversion rates

  • External feed sales volumes increased by 0.5% predominantly in the dairy

market despite the higher feed prices

  • Expenses were well controlled across the division for the period under

review

  • The average net margin increased (on a Rand per ton basis) for the period

under review

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FEED DIVISION – SALES MIX

59% 5% 21% 15% 59% 5% 22% 14% 1H2019 697 569 Tons 1H2020 694 083 Tons

Volume decrease ≈ 0.5%

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SAFEX YELLOW MAIZE PRICE

Source: CJA Strategic Risk Brokers

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SAFEX YELLOW MAIZE PRICE vs. CBOT IN RAND TERMS

Source: CJA Strategic Risk Brokers

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DURBAN SOYA MEAL PRICE

Source: CJA Strategic Risk Brokers

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SLIDE 15

Commercial

5/17/2020

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POULTRY DIVISION - CONSOLIDATED

Operating profit - R million

  • Operating profit up 11.5%
  • Broiler feed price up 6.0%
  • Net margin 5.1% 1H2019: 4.7%

Revenue - R million

  • Total revenue up 3.1%
  • Broiler sales volumes down 2.5%
  • Broiler sales realisations up 5.5%
  • Breeder revenue up R44 million

5 472 5 644

  • 1 000

2 000 3 000 4 000 5 000 6 000 1H2019 1H2020 258 287

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POULTRY DIVISION - COMMERCIAL

  • Profits increased for the period under review
  • Broiler selling prices increased with less promotional activity relative to the

comparable period

  • Broiler slaughter numbers at an average of 5.2 million birds per week were

marginally up by 2.3% year-on-year

  • Broiler sales volumes down due to a change in the point of recognition of a

sale with the new third party distribution agreement, which is based on a consignment stock model

  • Overhead expenses increased over the comparable period with the

legislated national minimum wage (not included in 1Q2019), exacerbated by the impact of load shedding nationally and on-going water supply costs in Standerton

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POULTRY DIVISION – PRODUCT MIX

51% 2% 4% 13% 8% 22% 1H2019 228 172 Tons 50% 2% 5% 13% 8% 22% 1H2020 222 437 Tons

Volume decrease ≈ 2.5%

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SLIDE 19
  • 30%
  • 20%
  • 10%

0% 10% 20% 30% 40%

Oct-14 Dec-14 Feb-15 Apr-15 Jun-15 Aug-15 Oct-15 Dec-15 Feb-16 Apr-16 Jun-16 Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17 Oct-17 Dec-17 Feb-18 Apr-18 Jun-18 Aug-18 Oct-18 Dec-18 Feb-19 Apr-19 Jun-19 Aug-19 Oct-19 Dec-19 Feb-20

% Change in broiler feed price % Change in broiler selling price 19

CHANGE IN BROILER SELLING PRICE vs. FEED PRICE

Source: Own Data

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SLIDE 20

Agriculture

Gary Arnold Managing Director: Agriculture

5/17/2020

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POULTRY DIVISION - AGRICULTURE

  • Parent stock sales were higher for the period under review as demand for

the Ross genetics increased

  • Parent breeder productions were good, with an improvement in the

number of chicks per hen housed

  • Demand for hatching eggs decreased as export markets came under

pressure

  • Feed input costs increased due to higher raw material costs adversely

affecting the live bird production cost

  • Further improvements in on-farm broiler production efficiencies,

assisted broiler live cost through an improved feed conversion rate

  • Highly pathogenic bird flu still prevalent in wild birds and ostriches,

however no confirmed cases in commercial poultry since May 2018

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94% 96% 98% 100% 102% 104% 106% 108% F2015 F2016 F2017 F2018 F2019 1H2020

Slaughter age Live weight Average daily gain 22

BROILER PRODUCTION PERFORMANCE

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Key indicators base-lined to 100% in F2015

5/17/2020

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SLIDE 23

80% 85% 90% 95% 100% 105% 110% 115% 120% 125% F2015 F2016 F2017 F2018 F2019 1H2020

Mortality Feed consumption Performance efficiency factor 23

BROILER PRODUCTION PERFORMANCE

Key indicators base-lined to 100% in F2015

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SLIDE 24

5/17/2020

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OTHER AFRICA DIVISION (Zambia, Mozambique & Swaziland)

Operating profit - R million

  • Operating profit up 131.9%
  • Net margin 6.6% 1H2019: 3.0%
  • Mozambique provision for

non-recovery of various taxes in 1H2019 Revenue - R million

  • Revenue up 7.0%
  • Sales volumes down 4.0%
  • Average selling prices up 11.5%

223 239

  • 50

100 150 200 250 1H2019 1H2020 7 16

  • 5

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SLIDE 26

INDUSTRY MATTERS

5/17/2020

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POULTRY IMPORTS PER MONTH

Tons

Source: South African Poultry Association

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Oct-14 Dec-14 Feb-15 Apr-15 Jun-15 Aug-15 Oct-15 Dec-15 Feb-16 Apr-16 Jun-16 Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17 Oct-17 Dec-17 Feb-18 Apr-18 Jun-18 Aug-18 Oct-18 Dec-18 Feb-19 Apr-19 Jun-19 Aug-19 Oct-19 Dec-19 Feb-20

Total poultry imports 6 per. Mov. Avg. (Total poultry imports)

5/17/2020

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  • Based on industry statistics current broiler slaughter numbers are an average
  • f 19.6 million birds per week
  • For the period under review the industry has remained stable with no

consolidation or divestment

  • Imports during the period averaged 42 907 tons per month (1H2019: 41 774

tons), equalling approximately 30% of total consumption

  • An increase in the ad valorem import tariff on bone-in and boneless cuts of

chicken was announced on the 13th March 2020

  • The tariff on frozen bone-in chicken portions and boneless chicken cuts

increased from 37% to 62% and 12% to 42% respectively

  • The establishment of an oversight committee with representation from

government and all stakeholders will lend support to the implementation of the Poultry Sector Master Plan

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INDUSTRY OVERVIEW

5/17/2020

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SLIDE 29

FINANCIAL OVERVIEW

Daan Ferreira Chief Financial Officer

5/17/2020

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30 Six months ended 31 March 2020 R million 2019 R million Revenue 7 069 6 775 Operating profit 546 503 Operating profit margin 7.7% 7.4% Net finance (cost) / income (27) 18 Profit before tax 519 521 Tax (148) (151) Profit for the period 371 370 Headline earnings 369 368 EPS – Cents 951 948 HEPS – Cents 951 949 4% 8% % change

INCOME STATEMENT

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4 700 4 902 5 755 5 511 5 823 6 131 5 795 6 556 6 600 6 379 6 775 6 710 7 069 213 280 550 551 429 120 212 866 1036 906 503 379 546

1H14 2H14 1H15 2H15 1H16 2H16 1H17 2H17 1H18 2H18 1H19 2H19 1H20

External revenue Operating profit Operating profit margin % 31

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GROUP SIX MONTHLY REVENUE AND PROFITABILITY

(R million)

7.7% 5.6% 7.4% 15.7% 14.2%

5/17/2020

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2 550 2 956 2 961 3 275 3 461 3 729 3 448 3 405 3 096 3 102 3 303 3 271 3 509

1H14 2H14 1H15 2H15 1H16 2H16 1H17 2H17 1H18 2H18 1H19 2H19 1H20

Revenue Change in volumes Change in feed price 32

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FEED SIX MONTHLY REVENUE

(R million)

5/17/2020

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3 317 3 650 4 503 4 237 4 436 4 693 4 456 5 394 5 415 5 124 5 472 5 405 5 644

1H14 2H14 1H15 2H15 1H16 2H16 1H17 2H17 1H18 2H18 1H19 2H19 1H20

Revenue Change in poultry selling price Change in volumes 33

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POULTRY SIX MONTHLY REVENUE

(R million)

5/17/2020

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45 59 351 310 194

  • 135

22 616 836 617 258 113 287 157 197 186 237 233 252 184 207 191 266 239 250 243 213 280 550 551 429 120 212 875 1044 898 503 379 546

1H14 2H14 1H15 2H15 1H16 2H16 1H17 2H17 1H18 2H18 1H19 2H19 1H20

Poultry Feed Other Africa Change in feed price Change in broiler selling price 34

GROUP SIX MONTHLY OPERATING PROFIT

(R million)

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35 March 2020 R million September 2019 R million % change Non-current assets 3 148 2 658 Right of use assets 645

  • Net working capital

1 113 1 288 Current assets (excl. cash) 3 148 2 982 Current liabilities (excl. borrowings / leases) (2 035) (1 694) Non-current liabilities (excl. leases) (744) (705) Lease liabilities (664)

  • Net assets

3 498 3 241 Net (surplus cash) (470) (555) Equity 3 968 3 796 Total 3 498 3 241

BALANCE SHEET

14% 6% 20% 6% 8% 8% 5% 18% 15%

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CAPITAL EXPENDITURE

Six months ended 31 March 1H2020 R million 2H2019 R million 1H2019 R million Depreciation 197 88 88 Property, plant & equipment 91 88 88 Right of use assets 106

  • Total capex spend

311 312 345 Festive expansion (including advance payments) 249 217 223 Standerton silo upgrade 5 11 30 Other capex 57 84 92 Outstanding commitments 342 537 753 Festive expansion 245 435 651 Standerton silo complex 7 11 22 Other capex 90 91 80

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WORKING CAPITAL

March 2020 R million September 2019 R million Variance R million Current assets 3 148 2 982 166 Biological assets 801 759 42 Inventory - Poultry 512 337 175

  • Feed

428 291 137

  • Other Africa

40 63 (23) Trade receivables 1 225 1 152 73 Advance capex payments

  • 256

(256) Other receivables 142 124 18 Current liabilities (2 035) (1 694) (341) Trade payables (1 491) (1 133) (358) Other payables (544) (561) 17 Net working capital 1 113 1 288 (175)

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STATEMENT OF CASH FLOWS

Six months ended 31 March 2020 R million 2019 R million Cash operating profit 715 407 Share based payments (24) Lease payments (122)

  • 569

407 Working capital movement (116) 100 453 507 Tax paid (71) (131) Net interest received 12 21 Capital expenditure (311) (345) 83 52 Dividends paid (165) (409) Other cash flow items

  • (1)

Movement in cash equivalents (82) (358) Effect of exchange rate changes (3)

  • Opening balance

555 789 Closing balance 470 431

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  • Group operating profit up 8.5%
  • Finance charges up
  • Change in accounting for leases
  • No change in earnings for the period
  • Net impact of lease accounting R(14) million
  • Net cash outflow of R82 million
  • Includes dividend paid of R165 million
  • Capital expenditure of R311 million
  • Surplus cash at 31 March 2020 of R470 million
  • No interim dividend declared
  • Uncertainty around seemingly indefinite lockdown

IN SUMMARY

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OUTLOOK

Chris Schutte Chief Executive Officer

5/17/2020

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NEGATIVE INFLUENCES EXACERBATED BY LOCKDOWN

  • Unprecedented unemployment rate expected following the hard lockdown, and

resultant financial impact on businesses and the economy at large

  • Consumer disposable income will be severely constrained, with a very slow

recovery out of the lockdown as expected by most economists

  • Exchange rate effect on input costs, with the Rand pricing of soya and maize

negatively impacted

  • Higher costs due to COVID-19 with constraints on global supply chains and

price increases of essential inputs

  • QSR sector shutdown (accounting for 20% of poultry consumed) and late

payments, due to this market sector being impacted during the lockdown

  • Product mix change resulting in a shift to lower margin products on slower

fresh, value added and QSR sales

  • Astral’s capacity expansion delayed, due to project commissioning not being

completed as a result of the lockdown

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POSITIVE INFLUENCES

  • All of Astral’s operations are running like clockwork, and to date no

disruptions have been experienced, with stringent social distancing, screening and employee welfare measures (sufficient PPE) implemented

  • Above average maize crop for the 2020 harvest season, should result in

favourable feed costs from August if not further impacted by local currency weakness

  • Higher import tariffs on frozen bone-in portions announced in March 2020,

should go some way in levelling the playing fields and discouraging unfair trade

  • Production efficiency and product mix opportunities when the Festive

expansion is completed

  • Progressive genetic improvement of the Ross broiler breed will continue to

support the group’s best cost strategy

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“ ”

Confirmed August 2019

5/17/2020

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ADDITIONAL INFORMATION

5/17/2020

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45 R million Revenue Expenses Operating Profit Finance Charges Inventory Other Consignment distribution model Recognition of sales (166) (19) 132 Recognition of distribution costs 69 69 Leases – change in accounting Additional amortisation 106 Reallocate lease payments (122) 16 (35) Right-of-use asset 645 Lease liabilities (664) Service related costs Load shedding 23 (23) Water supply interruptions 13 (13) COVID-19 related Additional operating expenses 6 (6) Impairment finished goods (15) (15) Increased critical stock holding Feed 75 Poultry 36 Total (97) 95 (60) (35) 228 (19)

ACCOUNTING CONSIDERATIONS – MARCH 2020

5/17/2020

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46

WORLD CORN ENDING STOCKS

Million Tons

19,82% 25,00% 27,80% 26,22% 27,71% 22,87% 24,35% 24,82%

10% 15% 20% 25% 30% 25 50 75 100 125 150 175 200 225 250 275 300 325 350 375 2014 2015 2016 2017 2018 2019 2020E 2021F

End Stock Maize stock to use ratio

Source: CJA Strategic Risk Brokers

5/17/2020

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47

2014/15 2015/16 2016/17 2017/18 2018/19 2019/20E 2020/21F Actual Actual Actual Actual Actual Estimate Forecast Carry In (1 May) 589 2 074 2 471 1 093 3 689 2 662 1 011 Crop Estimate 14 250 9 955 7 779 16 820 12 510 11 275 15 222 Retentions 433 163 309 1 191 495 539 650 Sagis Delivery 13 817 9 794 7 469 15 629 11 984 10 736 14 572 Minus early deliveries 450 Imports 65 1 964 2 237 172 510 Total Supply 14 471 13 831 11 727 16 722 15 845 13 909 15 583 Domestic Usage Food 4 840 4 698 4 808 4 993 5 161 5 378 5 260 Domestic Usage Feed 5 041 5 520 5 004 5 276 5 508 5 910 6 450 Gristing, withdrawn & released 376 293 278 313 239 189 216 Total Domestic Usage 10 257 10 512 10 090 10 583 10 907 11 477 11 926 Exports & Sundries 2 153 848 993 2 451 2 276 1 421 1 510 Plus early deliveries 450 Carry Out (30 Apr) 2 062 2 471 1 093 3 689 2 662 1 011 2 146 No of days usage 73 86 40 127 89 32 66 STU 16,62% 21,75% 9,87% 28.31% 20,19% 7,84% 15,97%

Marketing year (May to April) '000 tons

Source: CJA Strategic Risk Brokers

SOUTH AFRICA – TOTAL MAIZE SUPPLY & DEMAND

5/17/2020

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SLIDE 48

2 062 2 471 1 093 3 689 2 662 1 011 2 146 16,62% 21,75% 9,87% 28,31% 20,19% 7,84% 15,97%

0% 5% 10% 15% 20% 25% 30% 500 1 000 1 500 2 000 2 500 3 000 3 500 4 000 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20E 2020/21F

Carry out Maize stock to use ratio 48

Source: CJA Strategic Risk Brokers

SOUTH AFRICA – TOTAL MAIZE SUPPLY & DEMAND

‘000 Tons 5/17/2020

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49

Source: International Research Institute for Climate and Society (IRI) – Columbia University

EL NIÑO SOUTHERN OSCILLATION - FORECAST

5/17/2020

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50

Source: NOAA - National Environmental Satellite, Data, and Information Service (VHI)

VHI of previous year VHI of current year SOUTHERN AFRICA - VEGETATIVE HEALTH INDEX

5/17/2020

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SLIDE 51

61,4 39,6 61,1 38,0 55,6 29,8 54,3 26,7 53,4 28,6 54,1 31,0 53,4 30,6

16,8 22,3 14,0 18,6 14,0 17,9 13,2 17,9 13,8 18,4 15,5 18,6 17,1 19,8 6,9 5,4 6,2 4,0 6,1 3,3 5,7 4,1 4,9 4,2 4,6 4,0 4,4 3,4 5,6 13,0 6,0 14,0 5,8 13,9 5,8 13,6 5,4 12,6 5,0 10,4 5,6 11,3 0,5 1,7 0,4 1,5 0,5 1,7 0,7 2,3 0,7 2,2 0,7 2,3 0,6 2,1

6,6 9,1 9,9 13,8 14,6 19,8 16,6 22,2 18,2 23,4 16,6 21,2 14,8 20,3 1,8 4,2 1,8 4,7 2,9 7,6 3,3 7,7 3,3 7,4 3,2 7,0 3,6 8,7

0,4 4,7 0,5 5,4 0,5 6,0 0,4 5,4 0,4 3,0 0,3 5,3 0,4 3,8

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 1H17 Incl. 1H17 Contr. 2H17 Incl. 2H17 Contr. 1H18 Incl. 1H18 Contr. 2H18 Incl. 2H18 Contr. 1H19 Incl. 1H19 Contr. 2H19 Incl. 2H19 Contr. 1H20 Incl. 1H20 Contr. Maize Soybean Meal Sunflower Meal Other Fish Meal F/Fat and Extr Soy Soya Oil Vitamins, Minerals and Medication.

51

BROILER FEED – INGREDIENT INCLUSION & COST CONTRIBUTION

Source: Own Data

5/17/2020

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SLIDE 52

80% 90% 100% 110% 120% 130% 140% 150% Oct-14 Dec-14 Feb-15 Apr-15 Jun-15 Aug-15 Oct-15 Dec-15 Feb-16 Apr-16 Jun-16 Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17 Oct-17 Dec-17 Feb-18 Apr-18 Jun-18 Aug-18 Oct-18 Dec-18 Feb-19 Apr-19 Jun-19 Aug-19 Oct-19 Dec-19 Feb-20

Broiler selling price index Six month average 52

Source: Own Data

Lower brine effect

BROILER SELLING PRICE

5/17/2020

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BROILER PRICE vs. FOOD PRICE INFLATION

Source: Own Data & CJA Strategic Risk Brokers

90% 100% 110% 120% 130% 140% 150% 90% 100% 110% 120% 130% 140% 150% Oct-14 Dec-14 Feb-15 Apr-15 Jun-15 Aug-15 Oct-15 Dec-15 Feb-16 Apr-16 Jun-16 Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17 Oct-17 Dec-17 Feb-18 Apr-18 Jun-18 Aug-18 Oct-18 Dec-18 Feb-19 Apr-19 Jun-19 Aug-19 Oct-19 Dec-19 Feb-20

Broiler selling price index SA food price index

5/17/2020

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Source: SAPA, FNB, Red Meat Industry Forum

SOUTH AFRICAN PROTEIN PRICE COMPARISON

Chicken Pork Beef Mutton Feed Conversion Rate 1.5 2.2 5.5 5.0 Per Capita Consumption 39,3 kg 5,1 kg 17,2 kg 3,1 kg

cents / kg

1 000 2 000 3 000 4 000 5 000 6 000 7 000 8 000 9 000

Oct-14 Dec-14 Feb-15 Apr-15 Jun-15 Aug-15 Oct-15 Dec-15 Feb-16 Apr-16 Jun-16 Aug-16 Oct-16 Dec-16 Feb-17 Apr-17 Jun-17 Aug-17 Oct-17 Dec-17 Feb-18 Apr-18 Jun-18 Aug-18 Oct-18 Dec-18 Feb-19 Apr-19 Jun-19 Aug-19 Oct-19 Dec-19 Feb-20

5/17/2020

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55

Source: Own Estimates

LOCAL BROILER PRODUCTION & MARKET SHARE

Local broiler production ≈ 19.6 million birds per week

26% 20% 9% 7% 8% 5% 4% 21% Astral RCL Country Bird Daybreak Sovereign Grainfields Chubby Chick Other

5/17/2020

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56

Source: Own Estimates

LOCAL BROILER PRODUCTION & MARKET SHARE

18% 14% 6% 5% 6% 4% 3% 15% 29%

Astral RCL Country Bird Daybreak Sovereign Grainfields Chubby Chick Other Imports

  • Avg. poultry imports ≈ 7.7 million birds per week

(6 months ending March 2020)

5/17/2020

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SLIDE 57

Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep F2017 50 324 101 279 135 812 173 187 212 399 278 057 319 933 367 106 409 557 453 981 499 952 551 867 F2018 46 348 92 223 140 823 188 065 228 295 281 102 327 753 374 838 412 638 461 454 523 205 579 661 F2019 45 061 89 632 127 371 162 545 204 659 250 646 302 318 354 046 408 633 455 069 502 306 538 605 F2020 40 409 86 676 128 331 170 449 216 314 257 443

100 000 200 000 300 000 400 000 500 000 600 000

F2017 F2018 F2019 F2020 57

Source: SAPA

TOTAL POULTRY IMPORTS (CHICKEN, MDM, TURKEY)

F2019 45 061 44 571 37 739 35 174 42 114 45 987 51 672 51 728 54 587 46 436 47 237 36 299 F2020 40 409 46 267 41 655 42 118 45 865 41 129 % Var

  • 10,3

3,8 10,4 19,7 8,9

  • 10,6

bpw* 7.2 8.3 7.5 7.5 8.2 7.4

*bpw ≈ million birds per week

Tons

5/17/2020

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Source: SAPA

TOTAL POULTRY IMPORTS – COUNTRY OF ORIGIN

Brazil 49,8% EU 23,1% Argentina 7,0% US 16,6% Other 3,5%

Country of origin for poultry imports - 2019

538 605 tons 257 443 tons

Brazil 50,2% EU 17,7% Argentina 7,1% US 22,2% Other 2,8%

Country of origin for poultry imports – March 2020 YTD

5/17/2020

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Source: SAPA

TOTAL POULTRY IMPORTS – COUNTRY OF ORIGIN

Country Imports (tons) 2018 2019 2020 YTD Brazil 348 155 268 869 64 844 United States 91 374 89 598 28 722 Poland 13 463 50 419 4 294 Argentina 33 278 37 939 9 110 Ireland 26 328 31 221 7 450 Denmark 25 672 23 325 4 198 Spain 4 932 18 824 6 495 Thailand 9 011 8 728 1 003 Canada 7 305 6 658 1 584 Chile 4 362 2 341 454 Australia 553 780 427 Germany 222 326 46 United Kingdom 231 224 Netherlands 359 101 25 Uruguay 323 52 135 Belgium 23 52 France 5 30 0.8 Switzerland 97 23 Swaziland 482 23 Other 27 25

5/17/2020

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COVID-19 MEASURES

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COVID-19 MEASURES

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COVID-19 MEASURES

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COVID-19 MEASURES

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COVID-19 MEASURES

5/17/2020

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Chris Schutte Chief Executive Officer Tel : +27 (0) 12 667 5468 Fax : +27 (0) 86 504 2002 email: Chris.Schutte@astralfoods.com

www.astralfoods.com

Daan Ferreira Chief Financial Officer Tel : +27 (0) 12 667 5468 Fax : +27 (0) 86 504 1602 email: Daan.Ferreira@astralfoods.com

5/17/2020