INVESTORS PRESENTATION - SEPTEMBER 2021 - Vilmorin & Cie
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INVESTORS PRESENTATION SEPTEMBER 2021 1 INVESTORS PRESENTATION SEPTEMBER 2021
DISCLAIMER Some of the statements contained in this document may be forward- looking statements concerning Vilmorin & Cie SA's financial position, results, businesses, strategy or projects. Vilmorin & Cie SA considers that such statements are based on reasonable assumptions but cannot and does not give any assurance that the Group's future performance will be consistent with those statements. Actual results could differ from those currently anticipated in such statements due to a certain number of inherent risks and uncertainties, most of which are beyond Vilmorin & Cie SA's control, such as those described in the documents filed or to be filed by Vilmorin & Cie SA with the French securities regulator (Autorité des marchés financiers) and made available for downloading from the Company's website: www.vilmorincie.com 2 INVESTORS PRESENTATION SEPTEMBER 2021
AGENDA VILMORIN & CIE AT A GLANCE s. 04 VILMORIN & CIE GROWTH STRATEGY s. 11 CSR PROGRAM s. 22 SALES FOR FISCAL YEAR 2020-2021 s. 26 OUTLOOK FOR THE END OF FISCAL YEAR 2020-2021 s. 37 NEWS s. 41 VILMORIN & CIE ON THE STOCK EXCHANGE s. 43 SCHEDULE AND CONTACTS s. 46 GLOSSARY s. 49 APPENDICES s. 52 3 INVESTORS PRESENTATION SEPTEMBER 2021
VILMORIN & CIE
AT A GLANCE
4
4 INVESTORS PRESENTATION SEPTEMBER 2021
VILMORIN & CIE AT A GLANCE
VILMORIN & CIE, 4TH LARGEST SEEDS COMPANY IN THE WORLD
Fourth largest seeds company in the world with leading positions on its core activities
N°1 N°6
worldwide worldwide
for vegetable seeds for field seeds
Pure player built up on historical expertise in botany since 1743 and on the basis of real
proximity with the agricultural world
A long-term vision of the development, strengthened by the consistent support of its reference
shareholder, Limagrain, both an agricultural cooperative owned by French farmers and an
international seed group
5 INVESTORS PRESENTATION SEPTEMBER 2021
VILMORIN & CIE AT A GLANCE
A FULL CONTROL OF ALL STAGES IN SEEDS BUSINESS
ANALYZING
NEEDS
A 7 TO 10 YEARS CYCLE
COLLECTING
CREATING
GENETIC
NEW SEEDS
RESOURCES
PRODUCING
SEEDS 337 VARIETIES
LAUNCHED IN 2019-2020
DISTRIBUTING AND
SELLING SEEDS
6 INVESTORS PRESENTATION SEPTEMBER 2021
VILMORIN & CIE AT A GLANCE
A TRACK RECORD COMBINING ORGANIC Eureka Seed / USA
AND EXTERNAL GROWTH Link Seed / South Africa
Seed Co / Africa (*) Canterra Seeds / Canada(*)
In M€ BSF/Genesis/Trigen/
Bisco Bio Sciences / India Seed Asia / Thailand Hengji Limagrain Seeds /
Trio Research / USA
China (JV)
Shamrock / USA and Sursem and Geneze /
Su Tarim / Turkey Century Seeds / India Golden Acres / USA
Mexico South America
Brasmilho Sementes
Meza Maize / USA Tropdicorp/Vietnam Genica Research / USA AdvanSeed / Denmark
Guerra / Brazil
2000 140
Field Seeds acquisition 1800 1715
1677
1627 1606 1634 120
1600 1500 1531
1472
1414 1435,2
1391
1338 1325 1346 100
1400 1192 99,4 1269
1200 91
1064 29.3 86,9 80
1002 84,1
Vegetable Seeds acquisition 80,6 61.7
76,9 77,9
1000
72,9
67,5 60
800 61,7 59,3
53 54,1
600 40
(*) Share of profit of associates.
400
Acquisitions examples are not exhaustive.
20
Net income (Groupe share) 200
Sales
Sales (IFRS 11)
0 0
Capital gains from sale of minority stakes
in China 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20
7 INVESTORS PRESENTATION SEPTEMBER 2021
VILMORIN & CIE AT A GLANCE
A BUSINESS ORGANIZATION CLOSE TO THE MARKETS: KEY FOR SUCCESS
VEGETABLE SEEDS FIELD SEEDS GARDEN PRODUCTS
VEGETABLE GROWERS FARMERS MARKET GARDENERS
3 BUSINESS UNITS 6 BUSINESS UNITS 1 BUSINESS UNIT
Key leading brands: Key leading brands: Key leading brands:
8 INVESTORS PRESENTATION SEPTEMBER 2021
VILMORIN & CIE AT A GLANCE
A LONG TERM REFERENCE SHAREHOLDER
BREAKDOWN OF THE CAPITAL
Groupe Limagrain: ON JUNE 30, 2021
Institutional investors Individual
(of which ~60% internationally Shareholders
based:USA, UK, Singapore, 6,36%
Germany, etc.)
17,71%
An agricultural cooperative owned by French farmers Bpifrance
5,71%
An international seed group involved in the development of
integrated agricultural chains
Groupe
Limagrain
Vegetable Seeds and Field Seeds 70,22%
Agri-Food
TOTAL NUMBER OF SHARES:
(Ingredients and
Bakery Products) 22,917,292
Sources: Euroclear, Internal
9 INVESTORS PRESENTATION SEPTEMBER 2021
VILMORIN & CIE AT A GLANCE
A LONG TERM REFERENCE SHAREHOLDER
Groupe Limagrain, a reference shareholder guaranteeing:
Stable corporate governance
Long term strategy
A perfect knowledge of agriculture, customers and their needs
LIMAGRAIN IN BRIEF
MISSION Cooperating for the progress of agriculture everywhere, for
everyone
STRATEGY Serving all types of agriculture, taking into account their
diversity
Helping to meet the food needs in terms of nutrition, health
and consumption patterns
KEY FIGURES Nearly 1,500 farmer members
1,909 million euros in sales + 642 million euros in sales
from strategic partnerships*
More than 9,000 employees
* Strategic partnerships: AgReliant, AGT, Genective, Seed Co, Soltis, Canterra Seeds, Hengji
Limagrain Seeds, Carthage Génétique and Prime Seed Co. 2019-2020.
10 INVESTORS PRESENTATION SEPTEMBER 2021VILMORIN & CIE
GROWTH STRATEGY
11
11 INVESTORS PRESENTATION SEPTEMBER 2021VILMORIN & CIE GROWTH STRATEGY
1/ PROMISING WORLD SEEDS MARKETS
WORLD MARKET
POWERFUL GROWTH FACTORS: FOR COMMERCIAL SEEDS (2019)
14.2%
Increase in seeds demand Vegetable seeds
(Conventional seeds)
51.1%
Growth in the world population (10 bn in 2050) Field seeds –
GM seeds
Improvement in the standards of living
34.7%
Field seeds –
Conventional seeds
Increase in the use of commercial seeds
MARKET VALUE 2019:
Adoption of genetically modified
(“GM”) seeds worldwide $39.8 BN.
Source: AgbioInvestor 2018 and 2019
12 INVESTORS PRESENTATION SEPTEMBER 2021VILMORIN & CIE GROWTH STRATEGY
1/ MARKET FOR SEEDS: SLIGHT INCREASE FOR GMO IN 2018
WORLD MARKET ACREAGE
191.7 million hectares (more than 10% of arable land), +1.9% /
2017, grown by 17 million farmers in 26 countries
191,7
190
GMO :
170
ACREAGE PER COUNTRY
150
million ha
130
110
90
Others
70 China
50 Canada
India
30 Argentina
10 Brazil
USA
-10
1996 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018
WORLD MARKET VALUE
More than $20 billion in 2019 (i.e. 51.1% of the world market for seeds)
Sources: ISAAA 2019. AgbioInvestor 2018
13 INVESTORS PRESENTATION SEPTEMBER 2021VILMORIN & CIE GROWTH STRATEGY
1/ MARKET FOR SEEDS: HIGH BARRIERS TO ENTRY
A concentrated competitive environment WORLDWIDE COMPETITIVE ENVIRONMENT FOR SEEDS
High barriers to entry: Bayer* (DEU)
Width and depth of the genetic resources
Corteva (USA)
R&D investment
(conventional breeding and biotechnologies) Syngenta (CHN)
International coverage Vilmorin & Cie (FRA)
KWS (DEU)
BASF (DEU)
DLF** (DNK)
Rijk Zwaan (NLD)
Sakata (JPN)
LPHT (CHN)
0 1000 2000 3000 4000 5000 6000 7000 8000 9000
Field Seeds Strategic partnerships Vegetable Seeds
In M€. Sources: company release and internal est. sales for 2020. Syngenta, LPHT sales for 2019.
Vilmorin & Cie and KWS before IFRS11. Strategic partnerships include 50% of AgReliant and Soltis sales for Vilmorin & Cie and AgReliant
and Kenfeng sales for KWS.
*Bayer: field seed sales include soybean, corn and an internal est. of other field seed sales (cotton, rapeseed, wheat, rice & sorghum).
**DLF seed sales restated excluding the vegetable seed multiplication business and the potato business.
Exchange rate: EUR 1 = USD 1.11
14 INVESTORS PRESENTATION SEPTEMBER 2021VILMORIN & CIE GROWTH STRATEGY
2/ A STRATEGY OF WINNING MARKET SHARES
3 STRATEGIC FOUNDATIONS 3 STRATEGIC PRIORITIES
1 Vegetable seeds
OBJECTIVE
Reinforce world
leadership
Strong, continuous
investment in
research
2 Corn seeds
OBJECTIVE
Confirm its position
as a global player
Strong
internationalization
of the activities
OBJECTIVE
3 Wheat seeds
Ultimately
become the
world reference
Capacity to combine
targeted acquisitions
and partnerships
15 INVESTORS PRESENTATION SEPTEMBER 2021VILMORIN & CIE GROWTH STRATEGY
3/ VEGETABLE SEEDS. DIVISION PROFILE
KEY FIGURES 2019-2020
- A very strong competitive position addressing COUNTRIES
N°1 worldwide vegetable growers and food processors 705.5 M€
SALES 36 WITH
LOCATIONS
worldwide - An extremely diversified product line-up with
more than 80 different crops for which around 40 OPERATING
for vegetable
Vilmorin & Cie develops research programs: tomato, 14.6 % MARGIN
seeds Current operating margin: 14.6%
sweet and hot pepper, carrot, etc
SALES OF VEGETABLE SEEDS SALES OF VEGETABLE SEEDS
PER CROP. 2019-2020 PER GEOGRAPHICAL AREA. 2019-2020
Tomato (1)
Africa/Middle East
17%
Europa
Others 36%
Asia/Oceania
15%
Carrot (1)
Sweet and hot
pepper (3)
Onion
Americas
Cauliflower Melon (1)
Squash (1) 32%
(1),(2),(3): worldwide competitive positions
16 INVESTORS PRESENTATION SEPTEMBER 2021VILMORIN & CIE GROWTH STRATEGY
3/ VEGETABLE SEEDS. STRATEGY
Strengthen world leadership
Make full use of the virtuous circle of innovation and proximity to the markets to continue to win
market shares
Close targeted operations for acquisitions or partnerships to strengthen positions on certain crops
and/or certain geographical zones
Develop business on complementary crop/zone segments and become a leader on all key markets
with strong ambitions in Asia and all the strategic crops
Examples of acquisitions:
CENTURY SEEDS TROPDICORP GENICA RESEARCH ADVANSEED
October 2012 March 2015 February 2016 July 2018
10 local crops Bitter gourd, pumpkin, Sweet and hot peppers, Spinach and leafy
India wax gourd cucumber, summer squash vegetables
Sales: 4 M€ Vietnam United States Denmark
Sales: 6 M$ Sales: more than 25 M$ Sales: 3 M€
17 INVESTORS PRESENTATION SEPTEMBER 2021VILMORIN & CIE GROWTH STRATEGY
4 / FIELD SEEDS. DIVISION PROFILE
- One
- Oneofofthe
thetop
topplayers
playersin
in strategic crops targeting
strategic crops targeting KEY FIGURES 2019-2020*
N°6 farmers
farmers with a multi-crop strategy
677 M€
SALES
worldwide - 2- worldwide
4 strategic crops: corn,
strategic wheat,
crops: sunflower
corn and
and wheat
rapeseed - 2 of which are global: corn and wheat
for field seeds - And regional strategic crops: sunflower, rapeseed COUNTRIES 2.9% OPERATING
MARGIN
and- And a fullinrange
barley
eachVilmorin
adapted
Europe,
region where
to India,
rice in the needs
and of farmers in
soybean, 36 WITH
LOCATIONS
Current operating margin: 3.2%
which & Cieit distributes
operates: barley, soybean,
in North millet,
and South
rice, and
America andpulses
in South Africa * Taking into account the impact of the standard IFRS 11, i.e.
excluding AgReliant (North America. Field Seeds).
SALES OF FIELD SEEDS* SALES OF FIELD SEEDS*
PER CROP. 2019-2020 PER GEOGRAPHICAL AREA. 2019-2020
6% Other field seeds Asia/Oceania
Africa/Middle East 4% 3%
10% Rapeseed
6% Feed grains Americas 12%
Cereals (corn,
wheat, barley) Europe
57% 81%
21% Sunflower
18 INVESTORS PRESENTATION SEPTEMBER 2021VILMORIN & CIE GROWTH STRATEGY
4/ CORN SEEDS. STRATEGY
CORN SEEDS: CONFIRM ITS POSITION AS A GLOBAL PLAYER
on the largest world seed market in terms of value (nearly $17 bn in 2019*)
Reinforce leading positions in Europe and North America
Develop activities in South America, Asia and Africa
Recent operations:
SEED CO Hengji Limagrain Seeds SURSEM and GENEZE
Minority stake. 2014 JV. September 2015 December 2018
#1 African seeds company Corn Corn
Sales: 114 M$ in 2019-2020 China Argentina and Brazil
6 factories & 9 research stations in south Production and Sales: more than 40 M$ in
east Africa distribution 2017
Develop a proprietary portfolio of GM seeds
Technological strategic partnership between GM corn traits licensing agreements with
Vilmorin & Cie and KWS Syngenta (October 2015)
*Source: AgbioInvestor 2019
19 INVESTORS PRESENTATION SEPTEMBER 2021VILMORIN & CIE GROWTH STRATEGY
4 / WHEAT SEEDS. STRATEGY
WHEAT SEEDS: ULTIMATELY BECOME THE WORLD REFERENCE
AUSTRALIA
Consolidate a position of leader in Europe (Australian Grain Technologies)
and Australia and become the world
reference of the first worldwide crop in terms
of cultivated surface areas (more than 220
million hectares in 2019*)
NORTH AMERICA
Develop more efficient seeds and contribute
United States
to converting the market to high value seeds
Develop solid positions in North America
Canada
*Sources: FAO, USDA.
20 INVESTORS PRESENTATION SEPTEMBER 2021VILMORIN & CIE GROWTH STRATEGY
5/ R&D: INNOVATE TO INSURE TOMORROW’S GROWTH
Maintain regular investment in research (breeding
and biotechnologies) and broaden the partnerships 2019-2020
1 380 1 482 1 576 1 494 1 523 1 561
16.7% OF SEED SALES
INVESTED IN RESEARCH
14%
INVESTED IN BIOTECHNOLOGIES
€310 MILLION
242
RESEARCH INVESTMENT
INTEGRATING PARTNERSHIPS*
*of which €260 million research investments without integrating partnerships
2014-2015 2015-2016 2016-2017 2017-2018 2018-2019 2019-2020
Sales of seeds
AgReliant’ sales of seeds (50%)
Investment in research
Investment in research/Sales of seeds (incl. 50% AgReliant)
21 INVESTORS PRESENTATION SEPTEMBER 2021CSR PROGRAM 22 INVESTORS PRESENTATION SEPTEMBER 2021
CSR PROGRAM VILMORIN & CIE’S BUSINESS MODEL 23 INVESTORS PRESENTATION SEPTEMBER 2021
CSR PROGRAM
A CSR PROGRAM ANCHORED IN VILMORIN & CIE’s DNA
The foundations of the program:
- 3 founding values: progress, perseverance and cooperation
- The standard ISO 26000 and the 10 principles of United Nations Global Compact which the Group has signed
- Vilmorin & Cie’s specific development model:
A single core business of seed
Organization very close to its markets
A long-term vision
The CSR program is deployed around 3 priorities:
Contribute to lasting progress in Act responsibly Favoriser
Encouragelacooperation
coopération
agriculture through seed
A program truly anchored in Vilmorin & Cie’s DNA,
with the challenges that Vilmorin & Cie was already meeting in its daily actions
24 INVESTORS PRESENTATION SEPTEMBER 2021CSR PROGRAM
A CSR PROGRAM ANCHORED IN VILMORIN & CIE’s DNA
Particularly through:
Contribute to lasting progress Innovative and responsible solutions originating in plant genetics,
in agriculture through seed for all forms of agriculture Nearly 6,000 varieties
E.g. Rapeseed varieties LG Aviron and LG Ambassador marketed worldwide and
research work covering
Access to quality seeds for all farmers
55 plant species
E.g. Adaptation of the marketing and commercial offer
according to customer typology 337 new varieties
Protection and enrichment of plant biodiversity launched in 2019-2020
Vilmorin & Cie invests in the conservation of plant
biodiversity worldwide by contributing to the activities of
Act responsibly gene banks
Among objectives with
Encourage the professional fulfilment of employees
regard to the environment:
recover 85% of waste by
Act according to the ethical principles and to the Code of Conduct 2022
Limit the environmental impact of activities
Particularly through:
Encourage cooperation A societal commitment framework that aims to develop
176 measures
sustainable, efficient integrated chains with local
devoted to societal actions
stakeholders
in 2019-2020 such as
Commitment in regions where Vilmorin & Cie has sites with support for the creation of
respect to local cultures and specificities, fostered by its gardens in schools
organization and management model
25 INVESTORS PRESENTATION SEPTEMBER 2021SALES FOR FISCAL YEAR 2020-2021 (ON JUNE 30, 2021) 26 INVESTORS PRESENTATION SEPTEMBER 2021
SALES FOR FISCAL YEAR 2020-2021
KEY POINTS
Strong growth in sales for the fiscal year: +8%*, at the end of the 4th quarter with marked growth
Vegetable Seeds: robust business growth over the fiscal year (+4.1%*), confirming the position of
No. 1 worldwide
Field Seeds: a remarkable performance at the end of the fiscal year (+11.5%*), significantly superior to the
objective fixed
Confirmation of the solid growth impetus of all the business activities
Outlook for the end of 2020-2021: sustained increase in the current operating margin rate and
the results compared with 2019-2020
Vilmorin & Cie completes an excellent fiscal year 2020-2021
* On a like-for-like basis
27 INVESTORS PRESENTATION SEPTEMBER 2021SALES FOR FISCAL YEAR 2020-2021
REFERENCES
Accounting reference
IFRS on June 30, 2021
Scope
Disposal of activities run by the Garden Products division in Turkey, finalized at the end of fiscal year 2019-2020
Rates of the main currencies on June 30, 2021 (and June 30, 2020)
average close
June 2020 June 2021 June 2020 June 2021
$ 1.11 1.19 1.12 1.19
¥ 119.51 127.08 120.66 131.43
£ 0.88 0.89 0.91 0.86
TRY 6.76 9.22 7.68 10.32
ILS 3.88 3.96 3.88 3.88
BRL 4.95 6.43 6.11 5.91
INR 80.13 87.97 84.62 88.32
ARS 66.06 100.34 79.13 113.52
MXN 22.66 24.74 25.95 23.58
UAH 28.05 33.25 29.98 32.35
RUB 73.94 89.11 79.63 86.77
28 INVESTORS PRESENTATION SEPTEMBER 2021SALES FOR FISCAL YEAR 2020-2021 FOURTH QUARTER
CONSOLIDATED SALES* -0.5%
+1.8%
In M€ (1)
SALES FOR THE FISCAL YEAR
+2.9%
+8.0%
(1)
Of which:
Vegetable Seeds: 235 M€
Field Seeds: 124 M€
SALES* FOR FISCAL YEAR 2020-2021 BY DIVISION
Garden Products 4%
and Holdings
Vegetable
Seeds
Field Seeds
* Revenue from ordinary activities
47%
49%
29 INVESTORS PRESENTATION SEPTEMBER 2021SALES FOR FISCAL YEAR 2020-2021
SALES* OF VEGETABLE SEEDS
In M€
SALES FOR THE FISCAL YEAR
-0.7%
FOURTH QUARTER
+4.1%
-2.5%
+0.8%
0
* Revenue from ordinary activities
30 INVESTORS PRESENTATION SEPTEMBER 2021SALES FOR FISCAL YEAR 2020-2021
SALES OF VEGETABLE SEEDS
At the end of the fiscal year, the fine business growth concerned all three
ANALYSIS OF VEGETABLE SEEDS SALES* Business Units, and was achieved in all geographical regions, with the
PER GEOGRAPHICAL ZONE exception of the Middle East, which was affected by unfavorable market
conditions.
Africa/Middle East Remarkable sales growth in South America.
16% Marked sales growth in North America, in Europe (particularly in Western
Europe) and in Asia, particularly in India, where Vilmorin & Cie continues to
38% Europe strengthen its commercial positions.
Asia/Oceania 15%
Dynamic growth of tomato and carrot, for which there was strong sales
growth in all regions, with growth for other strategic crops too: sweet pepper,
water melon, onion and lettuce.
31%
High quality commercial performances for several local crops, such as
* Americas
fennel and witloof chicory, for which Vilmorin & Cie has been able to develop
Sales of products
world leadership positions.
Business growth in line with the objective fixed.
Solid growth in business at the end of the fiscal year,
enabling Vilmorin & Cie to clearly confirm its
position as No. 1 worldwide for vegetable seeds
31 INVESTORS PRESENTATION SEPTEMBER 2021SALES FOR FISCAL YEAR 2020-2021
SALES* OF FIELD SEEDS
In M€
SALES FOR THE FISCAL YEAR
+5.8%
FOURTH QUARTER
+11.5%
+8.0%
+8.8%
* Revenue from ordinary activities, after application of IFRS 11 (i.e. excluding AgReliant)
32 INVESTORS PRESENTATION SEPTEMBER 2021SALES FOR FISCAL YEAR 2020-2021
TRENDS FOR THE FIELD SEEDS MARKETS
Agricultural markets boosted by the increase in global demand and
marked by an increase in the prices of agricultural production
Trends in the evolution of corn acreage:
United States Greater Europe Brazil
↗ Acreage ↘ Acreage ↗ Safrinha acreage
33 INVESTORS PRESENTATION SEPTEMBER 2021 Sources: USDA, CONAB, internal. June 2021.SALES FOR FISCAL YEAR 2020-2021
SALES OF FIELD SEEDS
Europe
A significant business increase over the fiscal year, reflecting market share gains for most of the strategic
TOTAL SALES
crops :
(including AgReliant): 937 M€ For corn, growth in volumes sold, especially in Central Europe, in Russia and in Ukraine, in the context of a
rise in procurement costs resulting from the climate conditions.
For sunflower, a truly fine commercial campaign, driven by a remarkable performance in Russia.
Other zones For rapeseed, a fiscal year of excellent quality in a shrinking market, enabling Vilmorin & Cie to gain significant
(+42.7%) market shares and reach the No. 1 position in Europe for this crop. Very good start, at the end of the 4th
quarter, to sales for the new rapeseed campaign.
128 With regard to straw cereal seeds (wheat, barley), virtually the same level of royalties received.
Other zones (South America, Asia)
Europe In South America, a very strong increase in activity over the fiscal year, with an excellent performance in
North America Brazil (volume and value) and a good campaign in Argentina, in a complex economic and financial context.
(AgReliant) 221 (+6.4%)
In Asia, fallback in sales, owing to a difficult campaign in India against a high previous benchmark, and in
(-1.8%) spite of a satisfactory performance in South East Asia.
588
A remarkable performance, significantly superior to the objective for the year,
with the strengthening of commercial positions in most regions
ANALYSIS
PER GEOGRAPHICAL ZONE (IN M€) Associated companies
(evolutions on a like-for-like basis, North America (AgReliant): slight contraction of sales, in spite of a highly satisfactory 4th quarter, relying on the
before application of IFRS 11)
diversification of the product portfolio proposed to North American farmers.
Africa (Seed Co): high-quality fiscal year, with remarkable progression on all its markets, confirming its position
as No. 1 seed company in Africa. Dynamic international development and a good year in Zimbabwe, where
business growth compensated for the currency impacts.
Australia (AGT): excellent commercial campaign thanks to very good wheat production in Australia.
34 INVESTORS PRESENTATION SEPTEMBER 2021SALES FOR FISCAL YEAR 2020-2021
CONSOLIDATED SALES* PER GEOGRAPHICAL ZONE
Africa/
Middle East
Asia/
Oceania 10%
9%
Europe
Americas 22% 59%
Europe
Americas 836 M€. +5.7%**
312 M€. +15.5%**
Africa/Middle East
140 M€. +12.1%** Asia/Oceania
120 M€. -0.4%**
* Sales of products
** On a like-for-like basis compared with 2019-2020
35 INVESTORS PRESENTATION SEPTEMBER 2021SALES FOR FISCAL YEAR 2020-2021
CONSOLIDATED SALES* PER QUARTER
SALES*
PER QUARTER
(in M€)
Vegetable Seeds 580
571
Field Seeds Europe
Field Seeds other zones
Garden Products and Holdings
216 212
373 371
291
Diffusion le 6 mai 2021
259
232 234
241 235
148 305
140 312
109 105
88
84 85 72 103 110
33
32 35 41 46 21 12
22 30 17 14
7 9 6 9 12
Q1 19-20 Q1 20-21 Q2 19-20 Q2 20-21 Q3 19-20 Q3 20-21 Q4 19-20 Q4 20-21
* Revenue from ordinary activities
36 INVESTORS PRESENTATION SEPTEMBER 2021OUTLOOK FOR THE END OF FISCAL YEAR 2020-2021 37 INVESTORS PRESENTATION SEPTEMBER 2021
OUTLOOK FOR THE END OF FISCAL YEAR 2020-2021
ESTIMATED TRENDS
Confirmation of the sustained increase in the current operating margin rate
which should be close to 9%, after accounting for research investment of almost 260 million euros.
Global contribution of associated companies higher than 22 million euros,
as a result of the significant improvement in the operating performance:
• of AgReliant (North America. Field Seeds), in line with its strategic objectives,
• of Seed Co (Africa. Field Seeds), which is nevertheless affected by hyperinflation,
• and of AGT (Australia. Field Seeds).
As a consequence, strong increase in the net income compared with the previous fiscal year.
19-20 20-21 (Trend)
Sales 1,435.2 M€ 1,476.6 M€
Current operating margin 7.8% ↗
Income from associated companies 17.9 M€ ↗
Total net income 67.5 M€ ↗
↗
38 INVESTORS PRESENTATION SEPTEMBER 2021OUTLOOK FOR THE END OF FISCAL YEAR 2020-2021
AN EXCELLENT FISCAL YEAR
At the end of a fiscal year once again marked by the health crisis,
Vilmorin & Cie has ensured the continuity and development of all
its activities, relying on the unfailing mobilization of its teams
throughout the world.
Vilmorin & Cie should therefore complete an excellent fiscal year,
with a strong increase in performances.
Confirmation of the relevance of Vilmorin & Cie’s development and innovation
strategy, the resilience of its business model,
and the fundamental role of its seed business,
contributing, upstream of the production chain, to food security.
↗
39 INVESTORS PRESENTATION SEPTEMBER 2021OUTLOOK FOR THE END OF FISCAL YEAR 2020-2021
CONFIRMATION OF THE MID-TERM OUTLOOK
Seeds, a crucial segment for food security
and positioned at the heart of agricultural policy challenges
Confirmation of Vilmorin & Cie’s capacity to offer mid- and long-term
perspectives for sustainable, resilient development
Vegetable Seeds Field Seeds
Reinforce world leadership Be positioned as a global player, with
worldwide presence in corn and wheat, and
Strengthen positions on the more mature a portfolio of crops adapted to each region
markets (Europe, Middle East, North America)
Consolidate and develop alliances and
Strongly develop presence in Asia, ultimately partnerships to gain access to technologies and
reaching about 20% of sales on this continent pursue varietal innovation as efficiently as
possible
Build up the foundations for business
Develop corn activities in new regions, as a
organization in Africa beyond current positions in
priority in South America and Africa, eventually to
North Africa, to bring out the continent’s potential
reach between 5 and 10% of market shares
40 INVESTORS PRESENTATION SEPTEMBER 2021NEWS 41 INVESTORS PRESENTATION SEPTEMBER 2021
NEWS
INAUGURAL BOND ISSUE IN THE FORM OF A US PRIVATE PLACEMENT
Vilmorin & Cie’s successful inaugural bond issue
in the form of a “US PP” private placement:
- Issue completed in June 2021 and fully subscribed to by Barings,
a high-quality American institutional investor.
- Issue involving 50 million euros with a 10-year maturity,
with an option to draw down a second tranche of 50 million euros,
which could be exercised at the end of 2021 under conditions already negotiated.
Vilmorin & Cie thus extends the average maturity of its debt
while continuing to diversify its sources of funding
42 INVESTORS PRESENTATION SEPTEMBER 2021VILMORIN & CIE ON THE STOCK EXCHANGE 43 INVESTORS PRESENTATION SEPTEMBER 2021
VILMORIN & CIE ON THE STOCK EXCHANGE
EVOLUTION OF THE SHARE PRICE (over 1 year)
From: 2020-08-26 to: 2021-08-26
Disclosure of sales and results
for the 1st semester 20-21
€52.70
Disclosure of sales SHARE PRICE
for the 1st quarter 20-21
ON AUGUST 26, 2021
MARKET CAPITALIZATION
Vilmorin & Cie ON AUGUST 26, 2021
Disclosure of sales for Disclosure of
€1.2BN.
the 3rd quarter 20-21 annual sales 20-21
CAC 40
Sources: Euronext.com; internal.
Disclosure of
annual results 19-20
Vilmorin & Cie : +60.88% 15 years +5.40% 5 years +11.32% 1 year
44 INVESTORS PRESENTATION SEPTEMBER 2021VILMORIN & CIE ON THE STOCK MARKET
DIVIDENDS
Evolution of the earnings per share, group share, and dividend per action(1)
(in euros)
Free share allotment Free share allotment
1 for 10 1 for 10
Earnings (group share)
per share
Dividend
(1) Data adjusted for free allotment of
shares.
Pay-out rate 44.8% 38.6% 38.4% 38.0% 41.9% 34.6%
45 INVESTORS PRESENTATION SEPTEMBER 2021SCHEDULE AND CONTACTS 46 INVESTORS PRESENTATION SEPTEMBER 2021
SCHEDULE
WEDNESDAY OCTOBER 13, 2021(1)
Disclosure of results for fiscal year 2020-2021
MONDAY NOVEMBER 8, 2021(1) (new date)
Disclosure of sales at the end of the 1st quarter 2021-2022
FRIDAY DECEMBER 10, 2021
Annual General Meeting of Shareholders
(1) Disclosure after trading on the Paris Stock Market
Dates provided as an indication only and liable to be changed
47 INVESTORS PRESENTATION SEPTEMBER 2021CONTACTS
For any further information:
Olivier FALUT Valérie MONSÉRAT
Chief Financial Officer Head of Financial Communication and Investor Relations
olivier.falut@vilmorincie.com valerie.monserat@vilmorincie.com
Vilmorin & Cie
Head Office: 4 quai de la Mégisserie – F-75001 PARIS
Postal address: CS 20001 Saint-Beauzire – F-63360 GERZAT
Tel: +33 473 634 485 - Fax: +33 473 634 180
Consult all the financial information on the website:
www.vilmorincie.com
48 INVESTORS PRESENTATION SEPTEMBER 2021GLOSSARY 49 INVESTORS PRESENTATION SEPTEMBER 2021
GLOSSARY Current data: Current data is data expressed at the historical currency exchange rate for the period, and without adjustment for any changes in scope. Current operating margin: The current operating margin is defined as the accounting operating margin restated for any impairment and reorganization costs. EBITDA: The EBITDA is defined as the operating result to which are added any provisions for depreciation, amortization and impairment. Financial indebtedness: Financial indebtedness corresponds to the financial debts less cash and cash equivalents. 50 INVESTORS PRESENTATION SEPTEMBER 2021
GLOSSARY Like-for-like data: Like-for-like data is data that is restated for constant scope and currency translation. Therefore, financial data for 2019-2020 is restated with the average rate for fiscal year 2020-2021, and any other changes to the scope, in order to be comparable with data for fiscal year 2020-2021. Variations in the consolidated scope come from the disposal of activities run by the Garden Products division in Turkey, finalized at the end of fiscal year 2019-2020. Research investment: Research investment corresponds to gross research expenditure before recording as fixed assets any research costs and research tax relief. 51 INVESTORS PRESENTATION SEPTEMBER 2021
APPENDICES 52 INVESTORS PRESENTATION SEPTEMBER 2021
APPENDICES KEY FINANCIAL DATA FOR FISCAL YEAR 2019-2020 53 INVESTORS PRESENTATION SEPTEMBER 2021
RESULTS FOR FISCAL YEAR 2019-2020
INCOME STATEMENT
Variation
2019-2020
2018-2019
In M€ 2018-2019 2019-2020 /
restated IFRS 16
2018-2019
restated
Sales 1 390.7 1 390.7 1435.2 +3.2%
Sales margin 678.7 678.7 714.2 +35.5 M€
Sales margin rate 48.8% 48.8% 49.8% +1.0 pt
Operating income 111.0 114.6 109.8 -4.8 M€
Operating margin rate 8.0% 8.2% 7.7% -0.5 pt
Current operating margin rate 8.4% 8.6% 7.8% -0.8 pt
Income from associated companies 26.0 26.0 17.9 -8.1 M€
Financial income -45.0 -48.4 -53.3 -4.9 M€
Income taxes -14.1 -14.2 -6.9 +7.3 M€
Net income 77.9 78.0 67.5 -10.5 M€
Net income group share 73.9 74.0 66.2 -7.8 M€
54 INVESTORS PRESENTATION SEPTEMBER 2021RESULTS FOR FISCAL YEAR 2019-2020
KEY FIGURES FOR EACH ACTIVITY’S CONTRIBUTION TO CONSOLIDATED SALES
Sales* Operating income Net income
2018-2019 2018-2019 2018-2019
In M€ 2018-2019 restated 2019-2020 2018-2019 restated 2019-2020 2018-2019 restated 2019-2020
IFRS 16 IFRS 16 IFRS 16
Vegetable Seeds 687.5 687.5 705.5 102.7 104.3 102.8 71.7 71.6 69.0
Field Seeds 649.9 649.9 677.0 27.4 28.9 19.5 32.8 32.8 26.1
Garden Products and 53.3 53.3 52.7 -19.1 -18.6 -12.5 -26.6 -26.4 -27.6
Holdings
Consolidated 1 390.7 1390.7 1435.2 111.0 114.6 109.8 77.9 78.0 67.5
* Revenue from ordinary activities
55 INVESTORS PRESENTATION SEPTEMBER 2021RESULTS FOR FISCAL YEAR 2019-2020
FREE CASH FLOW
In M€ 2018-2019 2019-2020
Net indebtedness at the beginning of the FY 766 912
EBITDA 322 348
Variation of working capital needs -2 -29
Other operating items -61 -27
Net industrial investments -17 -60
Activated development costs -171 -182
Operating cash-flow 70 50
Net financial investments -151 -3
Capital and other equity contributions -3 0
Dividends -24 -26
Net financial charges -30 -36
Free cash-flow -138 -16
Other restatements (IFRS/Currency, etc.) -8 -7
Net indebtedness at the end of the FY 912 934
56 INVESTORS PRESENTATION SEPTEMBER 2021RESULTS FOR FISCAL YEAR 2019-2020
BALANCE SHEET STRUCTURE
06.30.2019 06.30.2019 06.30.2020
restated for IFRS 16
In M€
Gearing 76%
Leverage 2.7
Total balance sheet 2 388 2 384 2 319
of which cash 249 249 235
57 INVESTORS PRESENTATION SEPTEMBER 2021APPENDICES VILMORIN & CIE ORGANIZATION CHART 58 INVESTORS PRESENTATION SEPTEMBER 2021
ORGANIZATION CHART
FIELD SEEDS VEGETABLE SEEDS
Limagrain Europe HM.CLAUSE
AgReliant (corn, soybean)
Limagrain Asia-Pacific
Hazera
Limagrain Cereal Seeds (wheat)
Limagrain South America Vilmorin-Mikado
Limagrain Africa
59 INVESTORS PRESENTATION SEPTEMBER 2021THANK YOU
VILMORIN & CIE
Head office: 4 quai de la Mégisserie – F-75001 PARIS
Postal address: CS 20001 Saint-Beauzire – F-63360 GERZAT
Tel: +33 473 634 485
www.vilmorincie.com
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