Highlights

 

 

FY2019 Highlights

  • Group generated sales of US$2.0bn in FY2019, down 11% from prior year on higher S&W Asia sales, offset primarily by lower US and Philippine sales
  • Del Monte Foods USA accounted for US$1.4bn or 73% of total sales
  • The Philippine business generated sales of US$307.8m, down 4% in peso terms
  • The S&W business in Asia generated record sales of US$115.4m, up 9%
  • Without one-off items, the Group generated:
    • EBITDA of US$156.1m, down 5%
    • Net profit of US$15.8m, up 32%
    • Lower loss in the USA due to the increased price, lower trade promotion, marketing and G&A expenses
  • Including one-off items, the Group generated
    • EBITDA of US$143.7m, up 41%
    • Net profit of US$20.3m, a significant turnaround from the net loss of US$36.5m in prior year
    • Net one-off gain of US$4.5m due to additional purchase of US$105.5m second lien loans of DMFI in the USA at a discount
  • Final dividend of US$0.0052 or S$0.00706 per share representing 50% of FY2019 net profit
  • Our Independent Director Dr Emil Q Javier was elected by his peers in the National Academy of Science and Technology of the Philippines as a National Scientist
  • Received Best Annual Report (Silver) Award from the Singapore Corporate Awards 2018, 13th SCA award since 2010
  • Del Monte Fruit & Oats, the first shelf stable ready-to-eat oatmeal was voted 2019 Product of the Year in the Breakfast Category in the US
  • Del Monte Philippines bagged the 7-Eleven Account Management Award, and FieldFresh Foods, our JV in India, received the Yum! Service Excellence Award
  • Our pineapples in innovative Clear Can won packaging awards in the Philippines and France
  
 

Five-Year Summary

Financial Year ended April1 FY2019  FY2018 FY2017 FY2016
(As Restated)2
FY2015
(As Restated)2
(Amounts in US$ million unless otherwise stated)          
Profitability3          
Turnover 

1,954.8 

2,197.3            2,252.8               2,274.1

       2,190.0

Gross Profit 395.0 432.5               494.9                  485.8

              411.5

EBITDA 143.7  102.3               194.0                  241.3

                   89.7

EBITDA - without Non-Recurring items 156.1  165.0               211.8                  208.2

                 149.3

Profit/(loss) from Operations 80.1  29.5               127.6                  168.0

                   38.3

Net Profit Attributable to Owners 20.3  (36.5)                 24.4                    57.0

                  (40.3)

EPS (US cents) 0.03  (2.70)                 1.21                    2.93

                  (2.90)

Net Profit - without Non-Recurring items 15.8  12.0                 45.5                    25.2

                    (3.8)

EPS - without Non-Recurring items4 (US cents) (0.20)  (0.20)                 2.29                    1.30

                 (0.28)

           
Gross Margin (%) 20.2  19.7                 22.0                    21.4

                   18.8

EBITDA Margin (%) 7.4  4.7                   8.6                    10.6

                     4.1

Operating Margin (%) 4.1   1.3                   5.7                      7.4

                     1.7

Net Margin (%) 1.0  na                   1.1                      2.5

 na 

EPS Growth (%) 101.1  na                 58.7                  201.0

 na 

Return on Equity (%)  3.4  na                   5.1                    16.1

 na 

Return on Assets (%) 0.8  na                   0.7                      2.2

 na 

           
Balance Sheet          
Cash  21.6  24.2                 37.6                    47.2

                   35.6

Debt  1,478.7  1,465.2            1,714.0               1,843.8

              1,718.5

Net Debt 1,457.0  1,441.0            1,676.4               1,796.6

              1,682.9

Fixed Assets  582.0  610.9               657.2                  661.2

                 679.3

Total Assets  2,398.7  2,509.1            2,757.1               2,706.4

              2,628.4

Shareholders' Equity  601.1  608.3               578.6                  377.0

                 330.5

Net Tangible Asset Per Share (US cents) (7.0)  (5.5)                 (8.4)                  (19.2)

                  (22.1)

Net Debt to Equity Ratio (%) 242.4  236.9               289.8                  476.6

                 509.2

           
Cash Flow          
Cash Flow from Operations  180.9  322.9               187.1                  108.0

                 308.6

Capital Expenditure 123.5  148.2               145.0                  137.2

                 144.1

           
Share Statistics5          
Number of Outstanding Ordinary Shares (m) 1,944.0  1,944.0            1,943.2               1,943.2

              1,944.0

Number of Outstanding Preference Shares6 (m) 30.0  30.0                 20.0  -   - 
           
Singapore Exchange          
Share Price7 (S$)  0.136  0.20 0.34 0.42 0.57
Share Price (US$ equivalent)  0.100  0.15 0.24 0.31 0.41
Market Capitalisation (S$ m)  264.4  383.0               651.0                  816.1

              1,102.3

Market Capitalisation (US$ m)  194.2  287.2               466.4                  606.8

                 834.4

P&L rate: US$1 : S$  1.36  1.33                 1.40                    1.35

                   1.32

Price Earnings Multiple3 (x) nm   na                 20.0                    10.6

 na 

           
Philippine Stock Exchange          
Share Price7 (Peso)  5.84  10.2                 12.0                    10.9

                   13.1

Share Price (US$ equivalent)  0.11  0.20                 0.24                    0.23

                   0.29

US$ : Peso exchange rate 52.1  51.7                 49.9                    46.9

                   44.5

Market Capitalisation (US$ m)  217.9  382.6               467.3                  453.4

                 572.9

Price Earnings Multiple3 (x) nm   na                 19.9                      8.0

 na 

           
Share Price: Series A-1 Preference Shares6 (US$)  10.1 10.1                 10.0  -   - 
Share Price: Series A-2 Preference Shares6 (US$)  10.0 10.2  -   -   - 
           
Dividend          
Dividend Per Share (US cents) 0.52                     -                   0.61                    1.33                        -  
Dividend Per Share (Singapore cents) 0.71                     -                   0.84                    1.80                        -  
Dividend Yield (%) 5.2                     -   2.5                      5.2                        -  
Dividend Payout (%) 50.0                     -                   50.0                    50.0                        -  
1 DMPL's fiscal year ends in April in line with its USA subsidiary Del Monte Foods, Inc. 
2 DMPL adopted amendments to IAS 16 and IAS 41 (Agriculture: Bearer Plants in April 2017). The change in accounting standard was applied retrospectively. This involved reclassifying a portion of biological assets to plant, property and equipment leading to much higher depreciation expense. However, for EBITDA calculation, the Group retained the old calculation using the lower depreciation for comparability.
3 The profitability of the Group from CY2013-FY2019 had been impacted by non-recurring items mostly in the USA. Please refer to the Operating and Financial Review section of the Annual Report for more details.
4 EPS is calculated as earnings after preference share dividends resulting in a negative figure for FY2018-2019.
5 DMPL ordinary shares were listed on 2 August 1999 on the Singapore Exchange and on 10 June 2013 on the Philippine Stock Exchange (PSE). Singapore share prices are converted to US cents for the purpose of computing financial ratios. DMPL did a 2:10 Bonus Issue with ex-date of 9 April 2013. It also did a Rights Issue in March 2015. New shares issued resulted in a 33% dilution.
6 Preference Shares started trading on the PSE on 7 April 2017 for Series A-1 and on 15 December 2017 for Series A-2.
7 Based on fiscal yearend prices, ie 30 April.