POT Full Year Results Amendment to Announcement

Presentation to Analysts
28 August 2020

Disclaimer
Theinformationinthispresentationisforinformationpurposesandhasbeen
preparedbyPortofTaurangaLimitedwithduecareandattention. However,
neithertheCompany,noranyofitsDirectors,officers,employees,contractorsor
agents,shallhaveanyliabilitywhatsoevertoanyperson,foranylossofdamage
resultingfromtheuseorrelianceonthispresentation.
Theinformationcontainedinthispresentationis notintendedtobereliedupon
asadvicetoinvestorsanddoesnottakeintoaccounttheinvestmentobjectives,
financialsituationorneedsof anyparticularinvestor.
Pastperformanceisnotindicativeoffutureperformanceandnoguaranteeof
futurereturnsis impliedorgiven.
Theinformationcontainedinthispresentationshouldbeconsideredin
conjunctionwiththeCompany’slatestauditedfinancialstatementswhichare
availablein theinvestorsectionof ourwebsite.

Highlights

Group Net Profit After Tax down 10.5%
$83,441
$94,273
$100,577
$90,027
$0
$10,000
$20,000
$30,000
$40,000
$50,000
$60,000
$70,000
$80,000
$90,000
$100,000
$110,000
$120,000
2017201820192020

Underlying Group Net Profit After Ta x
down 5.4%
$83,441
$94,273
$99,058
$93,686
$0
$20,000
$40,000
$60,000
$80,000
$100,000
$120,000
2017201820192020

Ordinary Dividends maintained at 90% of
Underlying Net Profit After Tax
11.2
12.7
13.3
12.4
0
2
4
6
8
10
12
14
2017201820192020
Ordinary
Special
Cents per share

Net Debt / Net Debt+Equity
28.7%
26.2%
27.5%
29.2%
0%
5%
10%
15%
20%
25%
30%
35%
40%
2017201820192020

Total Trade down 8%
22,194
24,458
26,946
24,808
0
5,000
10,000
15,000
20,000
25,000
30,000
2017201820192020

Container Volumes up 2%
1,085,987
1,182,147
1,233,177
1,251,741
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
900,000
1,000,000
1,100,000
1,200,000
1,300,000
1,400,000
2017201820192020

Source: Ministry of Transport FIGS
NZ Port Productivity – Net Crane Rate
(11% more than our nearest competitor)
0
5
10
15
20
25
30
35
40
09Q109Q209Q309Q410Q110Q210Q310Q411Q111Q211Q311Q412Q112Q212Q312Q413Q113Q213Q313Q414Q114Q214Q314Q415Q115Q215Q315Q416Q116Q216Q316Q417Q117Q217Q317Q418Q118Q218Q318Q419Q119Q219Q319Q420Q1
AucklandLytteltonNapierOtagoTaurangaWellington

TranshippedContainer Volumes
representing nearly a third of all containers handled
245,896
303,284
337,183
339,467
100,000
150,000
200,000
250,000
300,000
350,000
400,000
2017201820192020

Log Exports down 22%
deemed non-essential cargo for 2 months
5,490
6,276
7,063
5,544
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
2017201820192020

Dairy Exports Up 2%
2,223
2,312
2,322
2,362
0
500
1,000
1,500
2,000
2,500
2017201820192020

FertiliserImportsup 1%
474
552
501
504
0
100
200
300
400
500
600
2017201820192020

Oil Products down 12%
1,436
1,569
1,600
1,403
0
500
1,000
1,500
2017201820192020

Grain & Dairy Feed
Supplement Imports up 22%
1,156
1,343
1,209
1,472
0
500
1,000
1,500
2017201820192020

Kiwifruit Volumes up
982
925
1,400
1,498
0
250
500
750
1,000
1,250
1,500
2017201820192020

Cruise Vessels
0
20
40
60
80
100
120
140
2003200420052006200720082009201020112012201320142015201620172018201920202021
Visits

Subsidiaries & Associates
Net Profit After Tax up 18%
$14,645
$16,391
$11,885
$14,076
$0
$5,000
$10,000
$15,000
$20,000
2017201820192020
$000s

Northport
• Trade down 11%
• Earnings down 2.2%
• Handled 12,314 TEUs

Future Expansion

Coda Group
• Normalisedlossof$0.197million,afterremovingimpactof
IFRS16leases(normalisedlossFY19$1.29m)
• Impairmenttogoodwillof$6.9 millionrecognisedduetoimpacts
ofCOVID-19onthebusiness
• Costcuttingandmargingrowthinitiativesunderway

PrimePort Timaru
• Strong focus on Asset Management Plan
• Earnings up $0.817 million to $2.897 million
• Trade volumes down 10.2%

TimaruContainer Terminal
• Handled 80,800 TEUs v 80,378 TEUs in FY19
• Underlying Earnings maintained (excluding IFR16 impacts)

Quality Marshalling
• Earnings maintained at $2.528 million
• Lower import rail volumes

Emission Management
15.3% reduction in absolute emissions

Emissions / Tonne of Cargo
0.0015
0.00155
0.0016
0.00165
0.0017
0.00175
0.0018
0.00185
FY Jun 17FY Jun 18FY Jun 19FY Jun 20
Tonnes of CO2e per tonne throughput (all business)

Electric Cars - Hybrid Straddles

Bigger Ships Offer a
Lower Carbon Supply Chain
CO
2
e (kg)
Import cargo from China to
South Auckland CO
2
emission comparison
Export cargo from Hamilton
to China CO
2
emission
comparison

Outlook 2020

Export Log Supply
Forecast export log volume circa 6.2 million FY21
15%
17%
68%
At Wharf GateMixForest Owner

Source: Zespri
Export Tray Volume
Additional 3,500 ha new Gold licence 2018-2022
Kiwifruit - Zespri’sForecast

Tainui - 50 year Agreement for Ruakura Inland Port
480 hectares industrial development

Berth Extension
• Thetotallengthofthequayis currently770metresandis equippedwitheight
STScranes.
• Initialberthextensioncirca220meters
•Early contractor engagement undertaken – design circa 90% complete
• Consenttobelodged2020

Full Build Out ~3M TEUs

Parent Capital Expenditure 2016-2021
$63,323
$60,166
$16,788
$40,073
$38,288
$36,288
$23,000
$0
$20,000
$40,000
$60,000
$80,000
201620172018201920202021F
Terminal Southern Berth Extension

24 Previous Upper North Island Port Studies

•“POT,locatedintheBayofPlenty,is NewZealand’sfastestgrowing
andmostproductiveport,ratedasoneofthe10mostefficientports
in theworld”.
•“TheundevelopedPOALlandvalueintheFuturePortstudywas
estimatedat$1,400/m
2
, witha totalvaluejustexceeding$1 billion”
($ 533/m2 in currentbalancesheet).
•“Thehighlandvaluethatisrequiredtocontinueoperationsatthe
POALsitemeansthatAucklandratepayersarepotentiallymissing
outonsubsidiesapproximatelyworth$5b to$6b.”
•“PrimeMinisterJacindaArdernsaysmovingAuckland’sportis nota
questionofif, butofwhen.”(NZHerald– 13/11/2019)
Upper North Island
Supply Chain Study

THANK YOU