UNSP presentation office4
Management Presentation
Management Presentation
FY11 Performance and Outlook for 2012
Jakarta, 5 June 2012
Annual
Report
Award
Indonesian
CSR
Award
2011
2011
3rd Place
Non Financial
Listed Private Co.
Grand
Platinum
Corporate
Governance
Award
Indonesia
Sustainability
Report Award
2011
2011
Most
Most
Improved
Best 1st Time
Best
1st Time
Reporting
Corporate Information
• Established in 1911 as a rubber plantation and processor,
today PT Bakrie Sumatera Plantations Tbk (“UNSP”) has
evolved to become a fully integrated and sustainable agro‐
business with three main business fields:
1. Palm oil plantation and production
2. Rubber plantation and processing
3. Oleochemical processing
• We are strategically located in fertile and infrastructure
We are strategically located in fertile and infrastructure
ready Sumatra island with further developments in
Kalimantan
• Managing more than 120,000Ha of planted area with a
h lh b l
healthy balance of 79% mature
f 79%
and 21%
d 21% immature
i
• Currently operating 13 factories with combined output
capacity approximately 700,000MT p.a.
• Well‐recognized for strong commitment to the environment
from the ISO 14001 and RSPO certification awarded
• Supported by over 20,000 employees, UNSP is set to
capture the value of favorable palm oil and rubber industry
for all stakeholders
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
Sales value (Rp bn)
5,000
4,367
4,000
2,000
2 940
2,940
2 931
2,931
3,000
2,325
1,949
1,181
1,000
‐
FY06
FY07
FY08
FY09
FY10
FY11
Ebitda (Rp bn)
1,800
1,481
1,500
1,158
1,200
884
900
600
651
651
598
598
345
300
‐
FY06
FY07
FY08
FY09
FY10
FY11
2
Corporate Milestones
1911
1986
1990
1992
2003
2004
2005
2007
2008
2010
2011
2012
Established as NV Hollandsch Amerikansse Plantage
Matschappij, a rubber plantation company
Acquired by Bakrie & Brothers
Listed in Jakarta and Surabaya Stock Exchange
Listed in Jakarta and Surabaya Stock Exchange
Diversified into oil palm business
Renamed to PT Bakrie Sumatera Plantations Tbk
Certified as an ISO 9001:2000 Company
Stock Split and Rights Issue I
Certified as an ISO 14001 Company
Rights Issue II & Warant seri 1
Establishment of Agri Resources BV to further develop
Establishment of Agri Resources BV to further develop
20,000
oil palm plantation in Sumatra
Expanding footprint into Kalimantan through IGI Ltd.
15,000
Rights Issue III & Warant seri 2
10,000
Entered the Oleochemical business
5,000
Granted the RSPO certification for North Sumatra Unit
‐
Collaboration with ASD Costa Rica to develop seed garden
Centennial Establishment Celebration of UNSP
Centennial Establishment
Celebration of UNSP
Celebrating 70 years establishment of Bakrie Group
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
Sales Contribution FY11
PK
8%
Rubber
26%
CPO
56%
Oleo
10%
Assets (Rp bn)
18,498 18,702
4,311 4,700 5,072
1,783
FY06
FY08
FY08
FY09
FY10
FY11
3
Plantations profile
Planted Area
Palm nucleus
Location
Size (Ha)
Planted Area (Ha)
North Sumatra
16,967
140
Riau
12,200
120
West Sumatra
11,112
23,771
S. Sumatra
South Kalimantan
Total Palm Nucleus
75 5
75.5
Palm Plasma
60
52.0
20,979
40
19.1
7,171
20
92,200
,
West Sumatra
3,738
Jambi
7,700
Total Palm Plasma
Total Palm Plasma
122.6
89.8
92.2
Palm Nucleus
Rubber Nucleus
Plasma
100
80
Jambi
124.1
0
81.4
79.2
42.8
45.8
47.1
20.1
18.8
18.9
18
19.4
18.9
12.8
13.8
16.8
14.1
14.9
11.4
FY06
FY07
FY08
FY09
FY10
FY11
N.A.D.
11 438
11,438
N. Sumatra
E. Kalimantan
Rubber Nucleus
Tot Rubber Nucleus
Total Plantation
North Sumatra
10,179
Bengkulu
5,058
Lampung
3 684
3,684
18,921
122,559
Riau
W. Kalimantan
W. Sumatra
Jambi
C. Kalimantan
C
Kalimantan
S. Kalimantan
BengkuluS. Sumatra
Lampung
As of Dec 2011
“HGU (Land Rights) as of December 2011: 154,464 Ha”
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
Jawa
Jawa
4
Mills and Factories
Factories
End Products
End Products
Status
585,000 MT
Crude Palm Oil
Commercial Operation
N.Sum (2), Riau, W.Sum, Jambi (3), S.Sum
Rubber Factories (4)
78,940 MT
Natural Rubber
Commercial Operation
N.Sum, Bengkulu (2), Lampung
Fatty Acid FSC
45,000 MT
Fatty Acid, Glycerin
Commercial Operation
North Sumatra – Tanjung Morawa
100 000 MT
100,000 MT
F tt A id Gl
Fatty Acid, Glycerin
i
O
Operation
ti
N th S
North Sumatra –
t
K l T j
Kuala Tanjung
Fatty Alcohol I
33,000 MT
Fatty Alcohol
Operation
North Sumatra – Kuala Tanjung
Fatty Acid II
84,000 MT
Fatty Acid, Glycerin
Under construction
North Sumatra – Kuala Tanjung
Fatty Alcohol II
99,000 MT
Fatty Alcohol
Under construction
North Sumatra – Kuala Tanjung
465,000 MT
Olein, Stearin, PFAD
Under construction
North Sumatra – Kuala Tanjung
72,600 MT
Crude Palm Kernel Oil
Preparation for Operation
North Sumatra – Kuala Tanjung
CPO Mills (8)
F tt A id I
Fatty Acid
CPO Refinery
Kernel Crusher
Output Capacity p a
Output Capacity p.a.
Location
As per Dec 2011
Fully Integrated Oil Palm Business (based on output capacity)
Refinery
Seed Garden
Collaboration
with
ASD Costa Rica
Plantations
Target 2016
20mn seeds
production
Sumatera and
Kalimantan
92,200 Ha
465,000MT
Olein, Strearin &
PFAD
Fatty Acid FSC
45,000MT Fatty
Acid & Glycerin
CPO Mill
CPO Mill
585,000MT CPO
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
PK Crusher
Fatty Acid I & II
Fatty Alcohol I & II
72,600MT PKO
184,000MT
Fatty Acid &
Fatty
Acid &
Glycerin
132,000MT
Fatty Alcohol
Fatty
Alcohol
5
Production Highlights – Palm oil
Factory Prod (MT)
9m10
9m11
YoY
FY10
FY11
YoY
Crude Palm Oil
176,507
235,861
34%
255,132
320,232
26%
21%
20%
21 %
21%
40,707
53,132
59,164
72,730
5%
5%
5%
5%
592,678
724,105
873,555
996,627
9.6
10.5
13.7
13.8
125,797
141,358
179,465
202,367
9.9
12.4
14.1
17.7
CPO extraction rate
Palm Kernel
Kernel extraction rate
31%
• Factory production of CPO and PK
demonstrated strong growth at 26% and 23%
YoY respectively boosted by higher Fresh Fruit
Bunch (FFB) production both nucleus and
plasma, and increase in purchased FFB volume.
• FFB Production of Nucleus and plasma grew on
the back of improvement in fertilizer
pp
,
g
p
,
application, maturing tree profile, also
supported by more favorable weather.
• Significantly higher FFB third party purchase to
optimize factory utilization.
23%
Field Production (MT)
Nucleus
Nucleus yield /Ha
Plasma
Plasma yield /Ha
Purchased
Planted Area (Ha)
130,735
FY11
Oil Palm Nucleus
92,200
Oil Palm Plasma
11,438
Total Planted Area
Planted Area
103 638
103,638
22%
12%
279,290 114%
171,016
14%
13%
368,055 115%
Oil Palm Nucleus Age Profile FY11
>20yrs
17‐20 1%
15%
0‐4 yrs
25%
Nucleus Oil Palm Matured (k Ha)
90
72.1
75
63.4
60
45
13‐16
28%
30
27.7
30.8
32.1
FY07
FY08
FY09
18.3
15
9‐12
8%
5‐8
5
8
23%
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
0
FY06
FY10
FY11
6
Production Highlights ‐ Rubber
Factory Prod (MT)
Natural Rubber
9m10
9m11
YoY
FY10
FY11
YoY
22,120
21,179
‐4%
29,986
27,687
‐8%
14,678
14,819
1%
20,402
20,334
0%
1.1
1.1
1.5
1.5
Field Production (MT)
Nucleus
Nucleus yield /Ha
Purchased
6,824
Planted Area (Ha)
FY11
Rubber Nucleus
5,987 ‐12%
11,662
7,093 ‐39%
18,921
• Rubber nucleus field production maintained at
20,334MT due to maturing aging tree profile as
well as ongoing rubber replanting program.
p
y
p
y,
• Despite steady nucleus field productivity,
Rubber factory production were 27,687MT or
slightly declined because we are implementing
selective purchase to maintain quality.
Future growth driver: 36% of the planted
• Future growth driver: 36% of the planted
Rubber Nucleus is still immature with age
ranging between 0‐6 years.
Rubber Sales Vol Contribution FY11
Cenex
27%
Others
4%
RSS1
10%
Sir3cv
14%
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
Rubber Nucleus Age Pofile FY11
Above 20
23%
Sir10/20
45%
0‐6 yrs
y
36%
17‐20
8%
13‐16
12%
7‐12
21%
7
Oleochemical Business – Capturing the Value
• After the acquisition of Oleochemical facilities in 2010, we have become a fully‐integrated plantation
company and shall further capture the value‐added of upstream and downstream processing activities.
• Oleochemical business serves the fast moving consumer goods industry.
Global demand for Oleochemical products are expected to grow at 3%‐4%
4% rate p.a. supported by Asia
rate p.a. supported by Asia’ss large
large
• Global demand for Oleochemical products are expected to grow at 3%
population, income growth prospects and improving living standards.
• Our facilities can produce wide range of Oleochemical and refinery products, namely Fatty Acids, Refined
Glycerin, Fatty Alcohols, RBD Palm Olein, RBD Palm Stearin and PFAD.
• Tanjung Morawa Fatty Acid Plant has begun commercial production in December 2010 while other facilities
Tanjung Morawa Fatty Acid Plant has begun commercial production in December 2010 while other facilities
will follow in stages.
• Endorsement by leading global consumer goods player via offtake agreement.
• Additional benefit from “zero percent” Export Tax for Fatty Alcohol, Fatty Acid and Refined Glycerin products.
Indonesia Export Tax
CPO
CPO
PKO
RBD Palm
Olein
RBD Palm
Stearin
PFAD
Fatty Acid
Fatty Alcohol
Glycerin
951 – 1,000
13.5%
13.5%
6.0%
4.0%
7.0%
0.0%
0.0%
0.0%
1,001 – 1,050
15.0%
15.0%
7.0%
5.0%
8.0%
0.0%
0.0%
0.0%
1,051 – 1,100
16.5%
16.5%
8.0%
6.0%
9.0%
0.0%
0.0%
0.0%
1,001 – 1,150
18.0%
18.0%
9.0%
7.0%
10.5%
0.0%
0.0%
0.0%
1,151 – 1,200
19.5%
19.5%
10.0%
8.0%
12.0%
0.0%
0.0%
0.0%
Finance Minister Decree No.128/PMK.011/2011
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
8
Financial Highlights – Sales Breakdown
Sales (Rp bn)
Crude Palm Oil
9m10
9m11
YoY
FY10
FY11
YoY
1,085
1,841
70%
1,818
2,442
34%
Palm Kernel
147
280
90%
230
349
52%
Rubber
663
894
35%
870
1,127
30%
0
328
n.a.
22
1,896
3,343
76%
2,940
4,367
49%
165,357
238,762
44%
230,354
331,243
44%
Palm Kernel
38,764
53,938
39%
53,573
74,595
39%
Rubber
25,348
21,435 ‐15%
30,731
28,336
‐8%
Oleochemicals
Total Sales
449 1,979%
Sales Volume (MT)
Crude Palm Oil
Oleochemicals
• FY11 Sales of Rp 4,367bn or approximately
49% higher from last year, driven by all three
business; Palm Oil, Rubber and Oleochemicals.
• CPO and Palm Kernel Sales grew by 34% and
g
y
52% YoY respectively as a result of significantly
higher sales volume.
• Rubber continued to benefit from high price
environment in 2011, Sales reached Rp1,127bn
environment in 2011, Sales reached Rp1,127bn
or grew 30% YoY.
• Oleochemicals Sales booked Rp 449bn or 11%
contribution to Consolidated Sales ‐ compared
to just 1% in FY10
to just 1% in FY10.
0
28,748
n.a.
1,911
Crude Palm Oil
736
873
19%
869
840
‐3%
Palm Kernel
426
588
38%
472
533
13%
2,932
4,727
61%
3,117
4,531
45%
350
0
1,293
n.a.
1,245
1,127
‐9%
280
45,421 2,277%
Avg. Selling Price (USD/MT)
Rubber
Oleochemicals
CPO Sales Volume (K MT)
331
273
280
230
230
216
216
210
160
140
70
‐
FY06
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
FY07
FY08
FY09
FY10
FY11
9
Consolidated Financial Statement Highlights
Inc.Stat ements (Rp bn)
Sales
9m10
9m11
YoY
FY10
FY11
YoY
1,896
3,343
76%
2,940
4,367
49%
Gross Profit
783
1,236
58%
1,279
1,795
40%
Operating profit
568
828
46%
855
1,219
43%
Ebitda**
898
1016
13%
1,158
1,481
28%
Net Income
245
713
191%
809
746
‐8%
Gross Margin
41%
37%
44%
41%
Operating Margin
30%
25%
29%
28%
Ebitda Margin
47%
30%
39%
34%
Net Margin
13%
21%
28%
17%
Margins
Balance Sheets (Rp bn)
( p )
Total Assets
• Net Income Current Period Rp 746bn, driven by
higher productivity, favorable business
environment and a windfall from ex‐Domba Mas
debt restructuring.
• Gross Margin softened mainly due to
Oleochemicals’ relatively modest margin and also
impacted by higher FFB third party purchase.
Total asset maintained at Rp 18,702bn as we
18,702bn as we
• Total asset maintained at Rp
finalized bonds refinancing in November 2011.
• FY10 Debt increased significantly due to
consolidation of debt post acquisition of
Oleochemical facilities ex‐Domba
facilities ex‐Domba Mas.
Mas
Net Gearing
15,063
18,686
24%
18,498
18,702
1%
976
580
‐41%
935
202
‐39%
150%
Plantations and FA
6,399
10,584
65%
10,549
10,723
2%
120%
Other Assets
7 688
7,688
7 522
7,522
‐2%
2%
7 014
7,014
7 777
7,777
0%
Debt
5,623
7,977
49%
8,226
7,719
‐6%
Other Liabilities
1,490
1,841
24%
1,728
1,925
‐11%
Cash and equivalent
Equity
7,950
8,867
12%
8,543
9,058
127%
85%
90%
61%
83%
60%
30%
58%
50%
6%
Ebitda = COGS
= COGS – SGnA + Depreciation + Amortization
+ Depreciation + Amortization
**Ebitda
0%
FY06
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
FY07
FY08
FY09
FY10
FY11
10
Strategy and Outlook
• Palm oil and Rubber Industry Outlook
We believe the growth in global demand for palm oil and rubber will remain stable driven by increasing
consumption in developing countries as well as continued consumer interest in green‐sustainable products
g
g
g pp y
which resulting in the thightening supply situation.
Thus we expect commodity prices will remain favorable over the medium to long term.
• Focus to accelerate Oleochemical Business
The first Fatty Alcohol line in Kuala Tanjung will be ready for commercial production in near future.
D l
Development of Oleochemical project will be done in stages and expected to be fully completed in
f Ol h i l
j
ill b d
i
d
d b f ll
l d i 2013.
2013
• Greenfiled delevopments
Approximately 80,000Ha of land in well‐diversified location including Muara Tebo, Sarolangun, Pangkalan
Bun and Indragiri Hilir will be the source of future growth for palm oil and rubber plantations
• Seed Garden Project in‐collaboration with ASD Costa Rica
To secure long term oil palm replanting program and assuring higher yields.
• Debt Refinancing
USD150
USD150mn bond is scheduled to mature on mid July 2012. We are keen to inform all stakeholders that UNSP
b di h d l dt
t
id J l 2012 W
k
t i f
ll t k h ld th t UNSP
has kicked start the refinancing process and expecting completion in 2Q12.
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
11
Thank you
Visit us at w w w .ba k r ie sum a t e r a .com
Mailing address:
PT Ba k r ie Su m a t e r a Pla n t a t ion s Tbk
Corporat e Cent er
Kom pleks Rasuna Epicent rum
Bakrie Tower 18t h- 19t h floor
Jl. H.R. Rasuna Said
Jakart a 12960, I ndonesia
Cont act s:
H a di Su silo
I nvest or Relat ions
e- m ail hadi.s@bakriesum at era.com
office
+ 62 21 2994 1286- 87
Disclaim er: The inform at ion cont ained in t his docum ent is int ended only for use during t he present at ion and should not be dissem inat ed or
dist ribut ed t o part ies out side t he present at ion.
ion Any forward looking st at em ent s are based on est im at ion,
ion t he realizat ion t hereof m ay deviat e.
e
PT Bakrie Sum at era Plant at ions Tbk accept s no liabilit y what soever wit h respect t o t he use of t his docum ent or it s cont ent s.
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
12
Management Presentation
FY11 Performance and Outlook for 2012
Jakarta, 5 June 2012
Annual
Report
Award
Indonesian
CSR
Award
2011
2011
3rd Place
Non Financial
Listed Private Co.
Grand
Platinum
Corporate
Governance
Award
Indonesia
Sustainability
Report Award
2011
2011
Most
Most
Improved
Best 1st Time
Best
1st Time
Reporting
Corporate Information
• Established in 1911 as a rubber plantation and processor,
today PT Bakrie Sumatera Plantations Tbk (“UNSP”) has
evolved to become a fully integrated and sustainable agro‐
business with three main business fields:
1. Palm oil plantation and production
2. Rubber plantation and processing
3. Oleochemical processing
• We are strategically located in fertile and infrastructure
We are strategically located in fertile and infrastructure
ready Sumatra island with further developments in
Kalimantan
• Managing more than 120,000Ha of planted area with a
h lh b l
healthy balance of 79% mature
f 79%
and 21%
d 21% immature
i
• Currently operating 13 factories with combined output
capacity approximately 700,000MT p.a.
• Well‐recognized for strong commitment to the environment
from the ISO 14001 and RSPO certification awarded
• Supported by over 20,000 employees, UNSP is set to
capture the value of favorable palm oil and rubber industry
for all stakeholders
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
Sales value (Rp bn)
5,000
4,367
4,000
2,000
2 940
2,940
2 931
2,931
3,000
2,325
1,949
1,181
1,000
‐
FY06
FY07
FY08
FY09
FY10
FY11
Ebitda (Rp bn)
1,800
1,481
1,500
1,158
1,200
884
900
600
651
651
598
598
345
300
‐
FY06
FY07
FY08
FY09
FY10
FY11
2
Corporate Milestones
1911
1986
1990
1992
2003
2004
2005
2007
2008
2010
2011
2012
Established as NV Hollandsch Amerikansse Plantage
Matschappij, a rubber plantation company
Acquired by Bakrie & Brothers
Listed in Jakarta and Surabaya Stock Exchange
Listed in Jakarta and Surabaya Stock Exchange
Diversified into oil palm business
Renamed to PT Bakrie Sumatera Plantations Tbk
Certified as an ISO 9001:2000 Company
Stock Split and Rights Issue I
Certified as an ISO 14001 Company
Rights Issue II & Warant seri 1
Establishment of Agri Resources BV to further develop
Establishment of Agri Resources BV to further develop
20,000
oil palm plantation in Sumatra
Expanding footprint into Kalimantan through IGI Ltd.
15,000
Rights Issue III & Warant seri 2
10,000
Entered the Oleochemical business
5,000
Granted the RSPO certification for North Sumatra Unit
‐
Collaboration with ASD Costa Rica to develop seed garden
Centennial Establishment Celebration of UNSP
Centennial Establishment
Celebration of UNSP
Celebrating 70 years establishment of Bakrie Group
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
Sales Contribution FY11
PK
8%
Rubber
26%
CPO
56%
Oleo
10%
Assets (Rp bn)
18,498 18,702
4,311 4,700 5,072
1,783
FY06
FY08
FY08
FY09
FY10
FY11
3
Plantations profile
Planted Area
Palm nucleus
Location
Size (Ha)
Planted Area (Ha)
North Sumatra
16,967
140
Riau
12,200
120
West Sumatra
11,112
23,771
S. Sumatra
South Kalimantan
Total Palm Nucleus
75 5
75.5
Palm Plasma
60
52.0
20,979
40
19.1
7,171
20
92,200
,
West Sumatra
3,738
Jambi
7,700
Total Palm Plasma
Total Palm Plasma
122.6
89.8
92.2
Palm Nucleus
Rubber Nucleus
Plasma
100
80
Jambi
124.1
0
81.4
79.2
42.8
45.8
47.1
20.1
18.8
18.9
18
19.4
18.9
12.8
13.8
16.8
14.1
14.9
11.4
FY06
FY07
FY08
FY09
FY10
FY11
N.A.D.
11 438
11,438
N. Sumatra
E. Kalimantan
Rubber Nucleus
Tot Rubber Nucleus
Total Plantation
North Sumatra
10,179
Bengkulu
5,058
Lampung
3 684
3,684
18,921
122,559
Riau
W. Kalimantan
W. Sumatra
Jambi
C. Kalimantan
C
Kalimantan
S. Kalimantan
BengkuluS. Sumatra
Lampung
As of Dec 2011
“HGU (Land Rights) as of December 2011: 154,464 Ha”
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
Jawa
Jawa
4
Mills and Factories
Factories
End Products
End Products
Status
585,000 MT
Crude Palm Oil
Commercial Operation
N.Sum (2), Riau, W.Sum, Jambi (3), S.Sum
Rubber Factories (4)
78,940 MT
Natural Rubber
Commercial Operation
N.Sum, Bengkulu (2), Lampung
Fatty Acid FSC
45,000 MT
Fatty Acid, Glycerin
Commercial Operation
North Sumatra – Tanjung Morawa
100 000 MT
100,000 MT
F tt A id Gl
Fatty Acid, Glycerin
i
O
Operation
ti
N th S
North Sumatra –
t
K l T j
Kuala Tanjung
Fatty Alcohol I
33,000 MT
Fatty Alcohol
Operation
North Sumatra – Kuala Tanjung
Fatty Acid II
84,000 MT
Fatty Acid, Glycerin
Under construction
North Sumatra – Kuala Tanjung
Fatty Alcohol II
99,000 MT
Fatty Alcohol
Under construction
North Sumatra – Kuala Tanjung
465,000 MT
Olein, Stearin, PFAD
Under construction
North Sumatra – Kuala Tanjung
72,600 MT
Crude Palm Kernel Oil
Preparation for Operation
North Sumatra – Kuala Tanjung
CPO Mills (8)
F tt A id I
Fatty Acid
CPO Refinery
Kernel Crusher
Output Capacity p a
Output Capacity p.a.
Location
As per Dec 2011
Fully Integrated Oil Palm Business (based on output capacity)
Refinery
Seed Garden
Collaboration
with
ASD Costa Rica
Plantations
Target 2016
20mn seeds
production
Sumatera and
Kalimantan
92,200 Ha
465,000MT
Olein, Strearin &
PFAD
Fatty Acid FSC
45,000MT Fatty
Acid & Glycerin
CPO Mill
CPO Mill
585,000MT CPO
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
PK Crusher
Fatty Acid I & II
Fatty Alcohol I & II
72,600MT PKO
184,000MT
Fatty Acid &
Fatty
Acid &
Glycerin
132,000MT
Fatty Alcohol
Fatty
Alcohol
5
Production Highlights – Palm oil
Factory Prod (MT)
9m10
9m11
YoY
FY10
FY11
YoY
Crude Palm Oil
176,507
235,861
34%
255,132
320,232
26%
21%
20%
21 %
21%
40,707
53,132
59,164
72,730
5%
5%
5%
5%
592,678
724,105
873,555
996,627
9.6
10.5
13.7
13.8
125,797
141,358
179,465
202,367
9.9
12.4
14.1
17.7
CPO extraction rate
Palm Kernel
Kernel extraction rate
31%
• Factory production of CPO and PK
demonstrated strong growth at 26% and 23%
YoY respectively boosted by higher Fresh Fruit
Bunch (FFB) production both nucleus and
plasma, and increase in purchased FFB volume.
• FFB Production of Nucleus and plasma grew on
the back of improvement in fertilizer
pp
,
g
p
,
application, maturing tree profile, also
supported by more favorable weather.
• Significantly higher FFB third party purchase to
optimize factory utilization.
23%
Field Production (MT)
Nucleus
Nucleus yield /Ha
Plasma
Plasma yield /Ha
Purchased
Planted Area (Ha)
130,735
FY11
Oil Palm Nucleus
92,200
Oil Palm Plasma
11,438
Total Planted Area
Planted Area
103 638
103,638
22%
12%
279,290 114%
171,016
14%
13%
368,055 115%
Oil Palm Nucleus Age Profile FY11
>20yrs
17‐20 1%
15%
0‐4 yrs
25%
Nucleus Oil Palm Matured (k Ha)
90
72.1
75
63.4
60
45
13‐16
28%
30
27.7
30.8
32.1
FY07
FY08
FY09
18.3
15
9‐12
8%
5‐8
5
8
23%
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
0
FY06
FY10
FY11
6
Production Highlights ‐ Rubber
Factory Prod (MT)
Natural Rubber
9m10
9m11
YoY
FY10
FY11
YoY
22,120
21,179
‐4%
29,986
27,687
‐8%
14,678
14,819
1%
20,402
20,334
0%
1.1
1.1
1.5
1.5
Field Production (MT)
Nucleus
Nucleus yield /Ha
Purchased
6,824
Planted Area (Ha)
FY11
Rubber Nucleus
5,987 ‐12%
11,662
7,093 ‐39%
18,921
• Rubber nucleus field production maintained at
20,334MT due to maturing aging tree profile as
well as ongoing rubber replanting program.
p
y
p
y,
• Despite steady nucleus field productivity,
Rubber factory production were 27,687MT or
slightly declined because we are implementing
selective purchase to maintain quality.
Future growth driver: 36% of the planted
• Future growth driver: 36% of the planted
Rubber Nucleus is still immature with age
ranging between 0‐6 years.
Rubber Sales Vol Contribution FY11
Cenex
27%
Others
4%
RSS1
10%
Sir3cv
14%
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
Rubber Nucleus Age Pofile FY11
Above 20
23%
Sir10/20
45%
0‐6 yrs
y
36%
17‐20
8%
13‐16
12%
7‐12
21%
7
Oleochemical Business – Capturing the Value
• After the acquisition of Oleochemical facilities in 2010, we have become a fully‐integrated plantation
company and shall further capture the value‐added of upstream and downstream processing activities.
• Oleochemical business serves the fast moving consumer goods industry.
Global demand for Oleochemical products are expected to grow at 3%‐4%
4% rate p.a. supported by Asia
rate p.a. supported by Asia’ss large
large
• Global demand for Oleochemical products are expected to grow at 3%
population, income growth prospects and improving living standards.
• Our facilities can produce wide range of Oleochemical and refinery products, namely Fatty Acids, Refined
Glycerin, Fatty Alcohols, RBD Palm Olein, RBD Palm Stearin and PFAD.
• Tanjung Morawa Fatty Acid Plant has begun commercial production in December 2010 while other facilities
Tanjung Morawa Fatty Acid Plant has begun commercial production in December 2010 while other facilities
will follow in stages.
• Endorsement by leading global consumer goods player via offtake agreement.
• Additional benefit from “zero percent” Export Tax for Fatty Alcohol, Fatty Acid and Refined Glycerin products.
Indonesia Export Tax
CPO
CPO
PKO
RBD Palm
Olein
RBD Palm
Stearin
PFAD
Fatty Acid
Fatty Alcohol
Glycerin
951 – 1,000
13.5%
13.5%
6.0%
4.0%
7.0%
0.0%
0.0%
0.0%
1,001 – 1,050
15.0%
15.0%
7.0%
5.0%
8.0%
0.0%
0.0%
0.0%
1,051 – 1,100
16.5%
16.5%
8.0%
6.0%
9.0%
0.0%
0.0%
0.0%
1,001 – 1,150
18.0%
18.0%
9.0%
7.0%
10.5%
0.0%
0.0%
0.0%
1,151 – 1,200
19.5%
19.5%
10.0%
8.0%
12.0%
0.0%
0.0%
0.0%
Finance Minister Decree No.128/PMK.011/2011
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
8
Financial Highlights – Sales Breakdown
Sales (Rp bn)
Crude Palm Oil
9m10
9m11
YoY
FY10
FY11
YoY
1,085
1,841
70%
1,818
2,442
34%
Palm Kernel
147
280
90%
230
349
52%
Rubber
663
894
35%
870
1,127
30%
0
328
n.a.
22
1,896
3,343
76%
2,940
4,367
49%
165,357
238,762
44%
230,354
331,243
44%
Palm Kernel
38,764
53,938
39%
53,573
74,595
39%
Rubber
25,348
21,435 ‐15%
30,731
28,336
‐8%
Oleochemicals
Total Sales
449 1,979%
Sales Volume (MT)
Crude Palm Oil
Oleochemicals
• FY11 Sales of Rp 4,367bn or approximately
49% higher from last year, driven by all three
business; Palm Oil, Rubber and Oleochemicals.
• CPO and Palm Kernel Sales grew by 34% and
g
y
52% YoY respectively as a result of significantly
higher sales volume.
• Rubber continued to benefit from high price
environment in 2011, Sales reached Rp1,127bn
environment in 2011, Sales reached Rp1,127bn
or grew 30% YoY.
• Oleochemicals Sales booked Rp 449bn or 11%
contribution to Consolidated Sales ‐ compared
to just 1% in FY10
to just 1% in FY10.
0
28,748
n.a.
1,911
Crude Palm Oil
736
873
19%
869
840
‐3%
Palm Kernel
426
588
38%
472
533
13%
2,932
4,727
61%
3,117
4,531
45%
350
0
1,293
n.a.
1,245
1,127
‐9%
280
45,421 2,277%
Avg. Selling Price (USD/MT)
Rubber
Oleochemicals
CPO Sales Volume (K MT)
331
273
280
230
230
216
216
210
160
140
70
‐
FY06
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
FY07
FY08
FY09
FY10
FY11
9
Consolidated Financial Statement Highlights
Inc.Stat ements (Rp bn)
Sales
9m10
9m11
YoY
FY10
FY11
YoY
1,896
3,343
76%
2,940
4,367
49%
Gross Profit
783
1,236
58%
1,279
1,795
40%
Operating profit
568
828
46%
855
1,219
43%
Ebitda**
898
1016
13%
1,158
1,481
28%
Net Income
245
713
191%
809
746
‐8%
Gross Margin
41%
37%
44%
41%
Operating Margin
30%
25%
29%
28%
Ebitda Margin
47%
30%
39%
34%
Net Margin
13%
21%
28%
17%
Margins
Balance Sheets (Rp bn)
( p )
Total Assets
• Net Income Current Period Rp 746bn, driven by
higher productivity, favorable business
environment and a windfall from ex‐Domba Mas
debt restructuring.
• Gross Margin softened mainly due to
Oleochemicals’ relatively modest margin and also
impacted by higher FFB third party purchase.
Total asset maintained at Rp 18,702bn as we
18,702bn as we
• Total asset maintained at Rp
finalized bonds refinancing in November 2011.
• FY10 Debt increased significantly due to
consolidation of debt post acquisition of
Oleochemical facilities ex‐Domba
facilities ex‐Domba Mas.
Mas
Net Gearing
15,063
18,686
24%
18,498
18,702
1%
976
580
‐41%
935
202
‐39%
150%
Plantations and FA
6,399
10,584
65%
10,549
10,723
2%
120%
Other Assets
7 688
7,688
7 522
7,522
‐2%
2%
7 014
7,014
7 777
7,777
0%
Debt
5,623
7,977
49%
8,226
7,719
‐6%
Other Liabilities
1,490
1,841
24%
1,728
1,925
‐11%
Cash and equivalent
Equity
7,950
8,867
12%
8,543
9,058
127%
85%
90%
61%
83%
60%
30%
58%
50%
6%
Ebitda = COGS
= COGS – SGnA + Depreciation + Amortization
+ Depreciation + Amortization
**Ebitda
0%
FY06
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
FY07
FY08
FY09
FY10
FY11
10
Strategy and Outlook
• Palm oil and Rubber Industry Outlook
We believe the growth in global demand for palm oil and rubber will remain stable driven by increasing
consumption in developing countries as well as continued consumer interest in green‐sustainable products
g
g
g pp y
which resulting in the thightening supply situation.
Thus we expect commodity prices will remain favorable over the medium to long term.
• Focus to accelerate Oleochemical Business
The first Fatty Alcohol line in Kuala Tanjung will be ready for commercial production in near future.
D l
Development of Oleochemical project will be done in stages and expected to be fully completed in
f Ol h i l
j
ill b d
i
d
d b f ll
l d i 2013.
2013
• Greenfiled delevopments
Approximately 80,000Ha of land in well‐diversified location including Muara Tebo, Sarolangun, Pangkalan
Bun and Indragiri Hilir will be the source of future growth for palm oil and rubber plantations
• Seed Garden Project in‐collaboration with ASD Costa Rica
To secure long term oil palm replanting program and assuring higher yields.
• Debt Refinancing
USD150
USD150mn bond is scheduled to mature on mid July 2012. We are keen to inform all stakeholders that UNSP
b di h d l dt
t
id J l 2012 W
k
t i f
ll t k h ld th t UNSP
has kicked start the refinancing process and expecting completion in 2Q12.
PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
11
Thank you
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Corporat e Cent er
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Jl. H.R. Rasuna Said
Jakart a 12960, I ndonesia
Cont act s:
H a di Su silo
I nvest or Relat ions
e- m ail hadi.s@bakriesum at era.com
office
+ 62 21 2994 1286- 87
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ion Any forward looking st at em ent s are based on est im at ion,
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e
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PT Bakrie Sumatera Plantations Tbk | Management Presentation | April 2012
12