pt tiga pilar sejahtera food tbk - idx.co.id · pt tandan abadi mandiri (“tam”) 99.9%. company...
TRANSCRIPT
Strictly Private & Confidential
PT Tiga Pilar Sejahtera Food TbkPublic ExposeDecember 2012
Shareholding Structure and 2012 Stock Chart Performance
Shareholders %
Major Shareholder group 59.4%
Public – Institution 20.3 172 institutions
Public – Personal 20.3 1,761 person
Total 100.0%
2
Source:
http://www.bloomberg.com
Corporate structure
65%
PT Tiga Pilar
PT Dunia Pangan
(“DP”)
PT Bumiraya
Investindo (“BRI”)5
PT Patra Power
Nusantara (“PPN”)
PT Charindo Palma
PT Airlangga Sawit
Jaya (“ASJ”)
PT Mitra Jaya Agro
Palm (“MJAP”)
PT Tugu Palma
PT Indo Beras
Unggul (“IBU”)4
Palm OilRiceFood
Manufacturing
Basic and
Consumer Food
Independent
Power Producer
99.9%
99.9%
99.9%
99.9%
70%
99.9%
99.9%
99.9%
33
PT Poly Meditra
Indonesia (“PMI”)
PT Tiga Pilar
Sejahtera (“TPS”)
PT. Balaraja Bisco
Paloma
PT Muarabungo
Plantatation (“MBP”)
PT Charindo Palma
Oetama (“CPO”)
PT Tugu Palma
Sumatra (“TPSum”)
PT Jatisari Srirejeki
(“JSR”)3
99.9%
99.9%
99.9%
99.9%
99.9%
99.9%
99.9%
PT. Putra Taro
Paloma
99.9%
PT Tandan Abadi
Mandiri (“TAM”)
99.9%
Company Overview
Basic food and consumer food Rice processing and distribution Palm oil plantation
• TPSF has 3 main businesses, namely (i) basic food and consumer food, (ii) rice processing and distribution, and
(iii) palm oil plantation.
4
• Comprises basic food (dried noodle,
vermicelli) and consumer food (instant
noodle, snack, biscuit and candy).
• Over 50 years experience.
• Network of about 90 distributors in
Java, Sumatra, Kalimantan, Sulawesi
and Bali with more than 58,300 outlets
in modern trade and traditional trade.
• Acquired Taro in end of 2011 (Taro was
a renowned snack brand from
Unilever).
• Having 2 modern rice mills, each with
rice processing capacity of 500 tons of
dry paddy/day and wet paddy
processing capacity of 1,000 tons/day.
• Total silo and warehouse capacity of
44,000 tons.
• Drying technology allows paddy storage
up to 12 months.
• Sources paddy from local co-operatives
and farmers in Java.
• Total concession area of about 93k ha,
of which 19% or 15k ha is planted.
• JV with Bunge on 1 Nov 2011, whereby
Bunge acquires 35% shareholding in
new shares of BRI.
Northern
Sumatra
West
East
Kalimantan Manado
Distribution Networking
Taro
Food, Taro and Rice
Food and Taro
Taro and Rice
Future
Rice
Lampung
West Sumatra
West
JavaCentral
Java East Java
West
Kalimantan
Kalimantan Manado
Jabodetabek
Bali and
Lombok
South Sumatra
5
Papua
South
Sulawesi
Southeast
Sulawesi
Central
Sulawesi
West
Sulawesi
Central
Kalimantan
South
Kalimantan
• 2012 Indonesia Best Brand Award.
Awarded by Swa Magazine to TARO and MIE KREMEZZ, September 2012
• Best 100 listed Company, Kompas 100.
Recognized by Kompas and BEI
• One of 18 companies supporting MP3EI (Master Plan for Acceleration and Expansion of
Indonesia Economic Development)
Awarded by Indonesian Government on Jakarta Food Security Summit 2012
• A-List Best 40 listed companies.
Awarded by Forbes Indonesia Magazine, September 2011
The Last 2 years Awards and Achievements
• Top 10 Best CEO 2010.
Awarded by Swa Magazine to CEO TPSF, Joko Mogoginta, November 2010
• Corporate Governance Award 2010 as Most Improved Company.
Awarded by IICD cooperate with Investor Magazine.
• Indonesia Original Brand 2010.
Awarded by SWA Magazine to one of TPSF’s brand, Ayam 2 Telor.
• Excellent Brand Award 2010 (Regional Consumer Choice).
Awarded by TATV cooperate with Richmark and SurveyOne.
6
TPS Food – Overview
Consumer food *Basic food
Products
• Superior
• Ayam 2 Telor
• Filtra
• Superior
• Filtra
• Putri Jagung
• Hahamie
• Mie Kremez
• Shorr
• Growie • Taro
• Krup N Krip (incl.
Potatozz)
• Gulas
Dried noodle Dried vermicelliInstant / snack
noodleBiscuit Snack Candy
• TPSF classifies basic food as food that can be a substitute to staple food (e.g. dried noodle and dried vermicelli) - usually requiring
preparation - and consumer food as products that are readily consumable by end-customers.
• Our four core markets are in: (i) dried noodle & vermicelli, (ii) snack & snack noodle, (iii) biscuit and (iv) candy.
• TPSF has been an official food supplier for various humanitarian food programs (International Relief and Development since 2002,
United Nations’ World Food Program and Ministry of Health since 2005). Products for the UN programs are used locally and for export.
7
Capacity
Products • Filtra
• Kurma
• Spider
Sales volume
2011
1H 2012
• Putri Jagung
• Yumi
• Raja
• Shorr
• Fetucini
• Bonding
Potatozz)
54,000 tons/year 24,000 tons/year 9,472 tons/year54,000 tons/year500 mil**
packages/year3,240 tons/year
35,816 tons
(Rp.284.8 bil)
21,642 tons
(Rp.172.8 bil)
13,538 tons
(Rp.119.5 bil)
12,496 tons
(Rp.112.5 bil)
579 mil packages
(Rp.205.7 bil)
227 mil packages
(Rp.79.3 bil)
17,852 tons
(Rp.191.7 bil)
5,996 tons
(Rp.69.5 bil)
1,383 tons
(Rp.58.5 bil)
2,279 tons
(Rp.160.02 bil)
1,790 tons
(Rp.39.5 bil)
639 tons
(Rp.14.2 bil)
Gross margin
(1H 2012)36% 24% 48%21%24% 36%
Raw materials
• Wheat flour • Wheat flour
• Cooking oil
• Rice
• Corn flour
• Tapioca flour
• Wheat flour
• Cooking oil
• Wheat flour
• Corn
• Cooking oil
• Sugar
• Flavouring
* Excluded Wafer and Others
** Capacity for instant noodle only; if it’s for snack noodle, then the capacity will be higher.
Taro Snack – Overview (1st year contribution )
• TPSF acquired Taro brand from Unilever at Rp. 250 billion at the end of 2011
• 2012 Net Sales forecast of Taro = Rp. 297 billion.
• Taro is the vehicle to get into the high margin snack market, also as an umbrella brand due to its
long standing brand existence and recognition in Indonesia.
• Taro is the market leader in terms both of awareness ( top of mind ) and market share.
• Taro’s market share in 2012 is 24.7% (Mars Indonesia), while in 2010 was 7.4% ( AC Nielsen ).
Ratio Analysis 2011
YTD
September
2012
B 2012*
8
Gross margin 49.9% 49.2% 50.7%
Distribution cost / net sales 22.2% 8.9% 15.0%
A & P cost / net sales 8.1% 6.7% 15.0%
Overhead cost / net sales 3.6% 1.9% 3.8%
Operating profit / net sales 15.9% 31.8% 16.9%
EBITDA / net sales 15.9% 33.9% 19.4%
Plan of New Launched Products BASIC FOOD - NEW LAUNCHED PRODUCTS PLANNING
No New ProductsPlanning will
be launchedTarget Market Target Distribution
Expected
additional Turn
Over
Picture
1 Premium Vermicelli SuperiorDecember
2012
Hotel, Restaurant,
Catering
High-End Modern
Market
150 million /
month
(@20.000/pcs)
2 Dried NoodleNovember
2012Hawkers and Housewives Traditional Market
1.35 billion/month
(@2.000/pcs)(@2.000/pcs)
3Big Dried Noodle & Premium
Dried Noodle2013
Hotel, Restaurant,
CateringTraditional Market, 4.5 billion / month
Institution Market
( HoReKa ),
Modern Market
4 Corn Vermicelli ( from Subafood ) 2013 Hawkers and housewives Traditional Market,208 billion at 1st
year
Modern Market
9
Plan of New Launched Products CONSUMER FOOD - NEW LAUNCHED PRODUCTS PLANNING
No New ProductsPlanning will be
launchedTarget Market Target Distribution
Expected additional
Turn OverPicture
1Bihunku (new packaging with
styrofoam)2Q 2013 Primary : Women Modern Market TBA
- Ayam Bawang Pedas Secondary : Man
- Goreng Special Pedas 20 - 40 years old
SES A,B,C
2 Cups Vermicelli 2013 Primary : Women Modern Market TBA
Secondary : Man
20 - 40 years old
SES A,B,C
3 Snack Noodle 1Q 2013 Primary and Elementary Students Modern Market TBA
- Mie Kremez Special 6 - 17 years old
- Shorr Special SES A,B,C
- Fetucini Special
10
- Fetucini Special
- Bonding Special
4 Biscuit Growie Oktober 2012 Midle Up Modern Market 60 billion at 1st year
SES A,B
Primary and Secondary Ages
5 Gulas Jars 150gram 2013 Primary : Women Premium 212 million
Secondary : Man Supermarket ( on 1st production
>20 years oldas seasonal
products)
6 Taro net new variant launching 1Q 2013 Primary : kids 6-12 years old Modern Market TBA
( Vegetable flavor & 3D shape ) Secondary : adult 26-40 years old
7 New Taro product category 2Q 2013 Primary : kids 6-12 years old Modern Market TBA
( non melting chocolate ) Secondary : adult 26-40 years old
TPSF’s Corporate Action and Latest Development of TPS Food
• Investment in new dried noodle production line
• Cost: IDR 12.5 bio
NEW INVESTMENTNEW INVESTMENT
PLAN TO ISSUE BONDPLAN TO ISSUE BOND
• Bond amount : 1 Trillion
• Tenor : 5 years
• Target issue : 1Q 2013
• 99% of proceeds will be used for loan refinancing.
• Capacity to increase by 1,000 ton / month
• As the point of entry to high margin market and part of production diversification strategy
11
NEW ACQUISITIONNEW ACQUISITION
• Value: 100 billion (1 x Sales)
• Strong Brand presence however with only one area with strong distribution channel, West Java
• Utilization rate is only 50% , producing Corn Vermicelli
• Corn vermicelli market growth is very strong, hence TPS needs to expand its production line with existing
good brand.
• Double the revenue up to IDR 200 bio from buying price by using our existing distribution channels.
Product TreeProduct TreeAYAM JAGO
Product Plan – Brand Extension
Latest Development of TPS Rice
Q3 2012
•Get ISO 22000 and HACCP Food Safety Management certification.
•Get SNI 6128 : 2008 certification for Indonesian Rice Quality Standard.
PT INDO BERAS UNGGULFOOD SAFETY MANAGEMENT SYSTEM
certified by : ILFA - IPB
No. LSIPB-ISO22000-325-2012
No. LSIPB-HACCP-327-2012
(ISO 22000:2005) & HACCP
PremiumAs Umbrella
BrandSpecialty
Special
Edition
Q4 2012
Q1 2013
12
Modern Trade and Local Modern Market
AYAM JAGO JATISARI PRIVATE LABEL
Product Plan – Product Mapping
Latest Development of TPS Rice
Q1 2013
Do private label order from
Supermarket and Minimarket
13
General Trade
AYAM JAGO
West JavaSumatra, Bangka, Batam, Kalimantan
Product Plan – Product Mapping
Other Managed Brand
Latest Development of TPS Rice
Ayam Jago Biru
Q4 2012
Economic GT ( @50Kg) – Jabodetabek & West Java
(Using by traders as rice seed to be mixed with other type of rice.)
14
TPS Palm Oil – Overview
Total concession area as of 31 Dec 2011: 92,899 ha
13,141 ha
• Acquired new palm oil plantation “ PT. Tandan Abadi
Mandiri” (14,000 ha) in October 2012.
• TPSF currently has a total of 7 palm oil plantations with
concession area of about 93k ha, of which 15k ha (or 19% of
total concession area) is planted.
• TPSF currently have a palm oil mill in BRI’s plantation with
production capacity of 30 tons FFB/hour. The mill is
commence operations in 4Q 2012.
5,279 ha8,779ha29,000 ha10,200 ha
14,000 ha
BRI
MJAP TPSum MBP CPO ASJ
12,500 ha
TAM
• TPSF and Bunge Agribusiness Singapore Pte Ltd (a wholly-
owned subsidiary of Bunge Limited (NYSE: BG) entered
15
Total concession area as of 31 Dec 2011: 92,899 ha
Land profile by area
owned subsidiary of Bunge Limited (NYSE: BG) entered
into a joint venture with respect to BRI, the oil palm
plantation subsidiary of TPSF.
• BRI‘s post capital injection equity value was agreed at
US$123 mil.
• Bunge acquired 35% stake in new shares of BRI for approx
US$43 mil.
• Now BRI is having 3 Commissioners and 3 Directors. The
President Commissioner and the President Director are
nominated by TPSF, while Bunge has each 1 seat in Board
of Directors and Board of Commissioners.
Plantations Profile
BRI MJAP
TPSum
• Concession area – 13,141 Ha
• Planted – 7,894 ha; unplanted – 5,247 Ha
• 60% of planted area is matured
• Nursery – 280,800 seedlings ( for 1650 Ha )
• 90km from Port Tanjung Serdang
• Average age of matured palm oil tree – 7 year
• FFB yield of mature planted area – 13MT/Ha/year
• Estimated FFB production in 2012 – 60,000MT
• 30 MT/hour mill expected to commence
operations in 4Q2012
1
3
2
• Concession area – 29,000 Ha
• Concession area – 10,200 Ha
• Planted – 4,553 Ha; unplanted
– 5,647 Ha
• 25% of planted area is matured
• 350km from Banjarmasin port
• Average age of matured palm
oil tree – first year matured
• FFB yield of matured planted
area – 6 MT/Ha/year
• Estimated FFB production in
2012 – 7,000MT
1
23
45
67
16
TAM
MBP
CPO7
4
6• Concession area – 29,000 Ha
• Unplanted – 29,000 Ha
• 100-120km from Tembilahan
Port and Kuala Tungkal
Harbour
• Concession area – 12,500 Ha
• Planted - 500 Ha; Unplanted –
12,000 Ha
• 250km to Palembang port
• Concession area – 8,779 Ha
• Planted – 1,764 Ha; unplanted –
7,015 Ha
• 0% of planted area is matured
• Nursery – 107,650 seedlings ( for
600 Ha )
• 230km from Pontianak port
• Average age of palm oil tree – 1,5
years
• Concession area – 14,000 Ha
• Planted – 700 Ha*; unplanted –
13,300 Ha
• 0% of planted area is matured
• Located in Jambi, Sumatra
ASJ5
• Concession area – 5,279 Ha
• Planted – 913 Ha; unplanted –
4,366 Ha
• 0% of planted area is matured
• Nursery – 105,000 seedlings (for
600 Ha)
• 230km from Pontianak port
• Average age of palm oil tree – 1.5
years
*SPH still below standard and needs more improvement.
Picture of TPS Palm Oil
Picture of Matured Plants Picture of Main NurseryPicture of Pre Nursery
17
Picture of InfrastructurePicture of Stacking
Financial Highlights – segmental breakdown
(in Rp. bil) Food Rice1 Palm Oil Total
Revenue 946.2 725.9 80.7 1,752.8
Gross profit 295.8 101.02 25.5 422.32
Gross margin 31% 14% 32% 24%
2011
Revenue breakdown:
1. JSR acquisition became effective in Dec 2010.
1818
1H 2012
(in Rp. bil) Food Rice Palm Oil Total
Revenue 594.4 670.7 20.8 1,285.9
Gross profit 197.7 75.1 -5.5 267.3
Gross margin 33% 11% -26% 21%
Financial Highlights – segmental breakdown projections
(in Rp. bil) Food Rice Palm Oil Total
Revenue 1,501 1,358 115 2,974
Gross profit 471 184 7 662
Gross margin 31% 14% 6% 22%
2012
(in Rp. bil) Food Rice Palm Oil Total
Revenue 2,026 2,997 225 5,248
2013 ( Preliminary Forecast )
1919
Gross profit 634 472 65 1,171
Gross margin 31% 16% 29% 22%
2014 (Preliminary Forecast)
(in Rp. bil) Food Rice Palm Oil Total
Revenue 2,560 4,376 304 7,240
Gross profit 828 742 83 1,653
Gross margin 32% 17% 28% 23%
PT. Tiga Pilar Sejahtera Food, Tbk Agenda for 4th Quarter 2012 and 2013 :
1. Investment in Human Resources and mapping and concentrating more marketing and
sales force toward target area ( weak area ).
2. Launch new products.
3. Improve and invest certain machinary for noodles, snacks etc.
4. Improve product range by taking over Subafood.
5. Improve gross margin.
6. Satellite production to reduce transportation cost ( inherent to Indonesia distribution
Business Strategies
20
6. Satellite production to reduce transportation cost ( inherent to Indonesia distribution
problem - island and segmented market).
Board of Commissioners
Anton Apriyantono President Commissioner
• Graduated in 1982 and earned his Master Degree in 1988 from Bogor Institute of Agriculture, earned
his Doctor Degree from Reading University, UK in 1992.
• He is a national figure who is very familiar in the field of agriculture, especially food technology.
Previously, he served as Minister of Agriculture of the United Indonesia Cabinet
• Appointed as President Commissioner of PT. Tiga Pilar Sejahtera Food Tbk since June 12, 2012.
Kang Hongkie Widjaja Vice President Commissioner
• Graduated from Belair Management Business College, London, in 1977 and completed his studies at
Trisakti University in 1982.
• Appointed as Commissioner of the Company since 1997. Previously, he served as Director of Pabrik Mie
21
• Appointed as Commissioner of the Company since 1997. Previously, he served as Director of Pabrik Mie
Asia from 1980 to 1993.
Hengky Koestanto Commissioner
• Completed studies at the University of Minnesota Twin Cities majoring in Science in Biosystem and
Agricultural Engineering in 1988.
• Appointed as Business Development Manager of PT Tiga Pilar Sejahtera Food Tbk in 1999, Operational
Director in 2007. Previously was a Commissioner of PT Poly Meditra Indonesia from 2003-2006.
• Joined the board of commissioners in 2011.
Board of Commissioners
Bondan Haryo Winarno Independent Commissioner
Prof. Dr. Ir. Haryadi, MAppSc Independent Commissioner
• Earner his PhD from the University of New South Wales, Australia, in 1988.
• Held position as Commissioner of PT Tiga Pilar Sejahtera Food Tbk since 2002.
• Taught at various universities, including Faculty of Agriculture at Gajah Mada University since 1978;
Akademi Teknik Marsudi Luhur, Yogyakarta, from 1981 to 1982; Institut Pertanian Yogyakarta from
1987 to 1988; Universitas Widya Mataram Yogyakarta from 1988 to 1989; and UNISRI Surakarta from
2000 to 2002.
22
• Graduated from both the Dipanagara Academy of Journalism and the University of Diponegro’s School
of Architecture in 1970, and furthered his studies at University of Prof. Dr. Moestopo, School of Public
Relations, Jakarta, in 1972.
• Communication consultant for several companies, editorial board member of Suara Pembuaran,
Independent Commissioner of Detik.Com, freelance columnist, and a presenter of a TV program on
Indonesian traditional culinary.
Board of DirectorsJoko Mogoginta President Director
• Graduated from Gajah Mada University, Food Technology faculty, Yogyakarta, in 1991.
• Began his career when he incorporated PT Tiga Sejahtera Food Tbk and was appointed President Director in 2003.
• President Commissioner of PT Bumiraya Investindo since 2006.
• Voted as Indonesia’s Top 10 Best CEO in 2010 by SWA magazine.
Budhi Istanto Director
Achmad Subchan Director
• Graduated from the University of Sebelas Maret, Surakarta, 1995.
• Director of PT Tiga Pilar Sejahtera since 1990, Director of PT Poly Meditra Indonesia since 2006, and President
Director of PT Sriwijaya Panganindo Prima Lestari since 2002 and Commissioner of PT Poly Meditra Indonesia from
2003 to 2006.
• Joined the Board of Directors of PT. Tiga Pilar Sejahtera Food Tbk in 2011.
23
Achmad Subchan Director
• Graduated from Bogor Institute of Agriculture majoring in Agricultural Engineering in 1985.
• He’s professional in the field of oil palm plantation. Previously, had joined Medco Agro group for 11 years and
served his last position as President Director .
• Director of PT. Bumiraya Investindo from 2006 to 2011, President Director of PT. Bumiraya Investindo since 2011.
• Joined the Board of Directors of PT. Tiga Pilar Sejahtera Food Tbk since June 12, 2012.
Jo Tjong Seng Non Affiliated Director
• Graduated from Bogor Institute of Agricultural majoring in Food Technology in 1989.
• Practitioner and professional with decades of experience in the field of marketing, promotion and distribution,
also previously, sat on the senior management of Orang Tua group.
• Appointed as the Non-Affiliated Directors of PT. Tiga Pilar Sejahtera Food Tbk since June 12, 2012.
24