Fraser and Neave (F99) H1 2024 earnings summary

Executive summary

• 1H2024 revenue rose 2.5% to $1,071.1m (+6% in constant currency); PBIT increased 53.6% to $162.5m (+59% in constant currency).

• Attributable profit before exceptional items rose 52.5% to $83.8m; PAT was $125.5m, up 13.2%, while reported attributable profit was $84.5m, up 19.5%.

Financial highlights

• Gross profit increased 18.7% to $352.0m as cost of sales fell 4.0% to $719.1m.

• Net finance costs declined 4.2% to $15.5m; exceptional items were $1.2m versus $28.5m in 1H2023.

• Total comprehensive income was $27.9m versus a $59.9m loss; 1H2024 included $94.3m of currency translation losses.

• Operating cash flow was $140.3m versus $147.8m; cash and bank deposits ended at $473.3m.

Outlook and guidance

• FY2024 attributable profit before fair value adjustment and exceptional items is expected to be higher, barring major negative changes in operating economic conditions.

• Focus remains on growth across business units and markets, productivity, and managing forex and input-cost challenges amid volatile, inflationary conditions.

• AgriValley Phase 1 is on track for completion by end-2024, with first milking targeted for early 2025; the Cambodia facility is slated to begin operations in Q1 2026.