SML - Synlait Milk Ltd

[Goob]

Period Ending	Dec-31-2018	Mar-31-2019	Jun-30-2019	Sep-30-2019	Dec-31-2019	Mar-31-2020	Jun-30-2020	Sep-30-2020	Dec-31-2020	Mar-31-2021	Jun-30-2021	Sep-30-2021	Dec-31-2021	Mar-31-2022	Jun-30-2022	Sep-30-2022	Dec-31-2022	Mar-31-2023	Jun-30-2023	Sep-30-2023
Total Revenues	20985.6	21270.2	21332.5	22291.8	22563.2	22245.1	23626.4	24169.7	25266.1	27121.1	27376.5	28579.1	29206	29463.2	29352.4	28534.2	28214.9	28039.6	27943.5	27494.1
Revenues	20875	21159.6	21199	22181.2	22400.5	22082.4	23442.6	24007	25019.6	26874.6	27043.9	28332.6	28800	29057.1	28986.2	28128.2	27841.3	27666	27632.8	27120.5
Finance Div. Revenues	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Insurance Division Revenues	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Other Revenues / Total	110.6	110.6	133.4	110.6	162.7	162.7	183.8	162.7	246.5	246.5	332.5	246.5	406	406	366.3	406	373.6	373.6	310.6	373.6
Total Revenues / CAGR 1Y	-0.0471	-0.0254	-0.0234	0.0443	0.0752	0.0458	0.1075	0.0842	0.1198	0.2192	0.1587	0.1824	0.1559	0.0864	0.0722	-0.0016	-0.0339	-0.0483	-0.0480	-0.0365
Gross Profit
Cost Of Revenues	14037.2	14336.8	14357	15156.5	15553.3	15284.9	16444.8	17129.6	19725	22047.3	22900.8	24534.4	23938.2	24002.6	24065.3	23383.9	23072.7	22919.4	22678.7	22428.9
Gross Profit	6948.3	6933.3	6975.4	7135.3	7009.9	6960.2	7181.6	7040.1	5541	5073.8	4475.7	4044.7	5267.8	5460.6	5287.2	5150.3	5142.2	5120.2	5264.8	5065.2
Gross Profit / CAGR 1Y	-0.0511	-0.0381	-0.0216	0.0237	0.0089	0.0039	0.0296	-0.0133	-0.2095	-0.2710	-0.3768	-0.4255	-0.0493	0.0762	0.1813	0.2734	-0.0238	-0.0623	-0.0042	-0.0165
Operating Income & Expenses
Selling General & Admin Expenses (Summary Subtotal)	5727.3	5662.7	5685.7	5800.5	5524.9	5697.1	5823.5	5764.4	4177.7	3731.5	3464.7	2960.1	4404.2	4498.5	4184.9	4157.9	4387	4291.9	4435.1	4438.3
R&D Expenses	58.5	61.7	59.7	62.1	68.1	73.5	79	88.7	72.8	73.8	77.2	73.8	89.3	84.4	78.2	79.5	84.7	88	91.4	85.6
Depreciation & Amortization - (IS)	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Other Operating Expenses	94.6	98.2	70.8	63.5	86.9	20.1	48	48.4	86.4	143.4	137.2	153.3	103.6	98	109.2	88.6	92.7	95.3	116.9	117.6
Operating Income	1067.9	1110.7	1159.3	1209.2	1330	1169.5	1231.1	1138.7	1204.1	1125	796.6	857.5	670.7	779.6	914.8	824.3	577.8	645	621.3	423.7
Net Interest Expense
Net Interest Expenses	-176.7	-179.7	-128.1	-124.3	-82.8	-91.3	-89.2	-92.7	-63.1	-56.4	-57.6	-52.5	-78.4	-88.1	-108.2	-124	-120.6	-137.6	-150.1	-168.8
Interest Expense / Total	-227.1	-230	-185.2	-174.7	-147.9	-156.5	-132.2	-157.8	-103.7	-97	-103.5	-93.1	-109.9	-119.6	-145	-155.5	-159.9	-176.9	-182.9	-208.1
Interest And Investment Income	50.3	50.3	57.1	50.3	65.2	65.2	43	65.2	40.6	40.6	45.9	40.6	31.6	31.6	36.7	31.6	39.3	39.3	32.8	39.3
Earnings Before Taxes (EBT)
Income (Loss) On Equity Affiliates	-0.4	-2.1	-1.9	0	-	0.8	-5.1	-7.2	-	-1.1	3.8	1.2	-	0	-5.1	-4.1	-	1	7.6	10.1
Other Non Operating Income (Expenses)	-24.5	-51	-93.5	-67.2	-46.1	-10.4	-24.7	3.9	-40.6	-28.8	2.5	36.4	-43.7	-52.4	-20.8	-135.7	67	65	23.6	122.1
EBT / Excl. Unusual Items	861.1	872.7	932.8	1012.4	1189.7	1057.2	1099.3	1031.2	1091	1029.3	738	833.2	541.9	632.5	771.3	553.8	513.8	562.9	495.9	376.5
Restructuring Charges	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Impairment of Goodwill	-1.4	-1.4	-1.4	-1.4	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Gain (Loss) On Sale Of Assets	-79.7	-79.2	-51.7	-68.4	-31.4	-32	-20.8	-43.5	-2.7	3.3	18.2	10.9	66.5	63	38.3	69.3	-6	-27	-25.1	-89.4
Gain (Loss) On Sale Of Investments	-	0.8	4.2	3.7	-	-0.1	-0.1	-0.1	-	-	-	-	-4.6	-4.8	-4.7	-2.4	-21.2	-21.1	-21.4	-23.7
Other Unusual Items / Total	12.4	18.7	-7.2	-6.9	-84.5	-74.5	-64.9	-27.5	68.9	42	68.9	1.3	96.1	117.9	96.1	171.3	11.4	54.3	79.4	121
EBT / Incl. Unusual Items	792.3	811.5	876.7	939.3	1073.8	950.5	1013.5	960.2	1157.2	1074.6	825.1	845.3	699.9	808.6	901	791.9	497.9	569.1	528.7	384.4
Earnings from Operations | Net Income
Income Tax Expense	265.7	273.8	299.3	326.2	391.3	346.6	350.3	293.3	371.8	353.3	311.3	308.2	133	141.2	179.2	177.1	106.7	125.6	93.3	79.7
Earnings From Continuing Operations	526.6	537.8	577.4	613.1	682.5	603.9	663.2	666.8	785.4	721.3	513.8	537.1	566.9	667.3	721.8	614.9	391.2	443.6	435.5	304.7
Minority Interest (Income Statement)	-184.8	-190.6	-208.2	-226.4	-184	-169.6	-218.4	-180.5	-177.6	-90.7	41.3	83.9	25.4	-9.1	-109	-98.1	-30.5	-61.2	-18.3	9.2
Net Income - (IS)	341.8	347.2	369.2	386.7	498.4	434.4	444.8	486.3	607.8	630.6	555.1	621	592.3	658.2	612.8	516.7	360.7	382.3	417.2	313.9
Preferred Dividend and Other Adjustments	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-	-
Net Income to Common Incl Extra Items	341.8	347.2	369.2	386.7	498.4	434.4	444.8	486.3	607.8	630.6	555.1	621	592.3	658.2	612.8	516.7	360.7	382.3	417.2	313.9
Net Income to Common Excl. Extra Items	341.8	347.2	369.2	386.7	498.4	434.4	444.8	486.3	607.8	630.6	555.1	621	592.3	658.2	612.8	516.7	360.7	382.3	417.2	313.9

Sorry for the large data dump, but here are Bright Dairy financials; each quarter is on a rolling 12 month basis so you can see the (downward) trend.

[Marilyn Munroe]

An unfortunate event for a New Zealand infant formula manufacturer;

https://www.rnz.co.nz/news/country/5...o-stop-milking

Boop boop de do
Marilyn

[whatsup]

An unfortunate event for a New Zealand infant formula manufacturer;

https://www.rnz.co.nz/news/country/5...o-stop-milking

Boop boop de do
Marilyn

!!
Really sad for a fledging industry which N Z inc needs .

[Sideshow Bob]

!!
Really sad for a fledging industry which N Z inc needs .

Relying on the daigou channel - absolute madness!!

Although to be fair, that bought A2 a bit of success back in the day…..

[billkiapi]

Nestlé announcement got my hopes up, but no- Nestlé didn't put money in when the ship is burning to the waterline Don't worry about the 130 million needed in days, let's make a fluff announcement

[Filthy]

Don't worry about the 130 million needed in days, let's make a fluff announcement

yep more fluff... as per! we aren't going to find out anything until results day anyway - 2nd April ...after its all happened - only thing is, there might be another horse in the savior race now "potential new commercial opportunities to work together with Nestle" - so maybe there is hope yet. although hope is not a strategy.

[Filthy]

there might be another horse in the savior race now

[not that its even a race eh]

[Bikeguy]

It’s quite interesting that they haven’t gone to market for a capital raise?
Getting to late to bring one now?

[JimmyTrade]

Patiently awaiting HY24 report and deleveraging update.. If Synlait do manage to resolve financing issues without the sale of Dairyworks I wonder if they will take it off the market after all the reason for purchasing was to add some diversity to the business and its a profitable business (2023 NPAT 10M).

Is the only other alternatives being the company being acquired or capital rise (with a2m and bright dairy being guarantors). Public interest in a capital rise would surely be an all time low with no tangible positive forecasts. Synlait seem act late on market opportunities, spending large amounts of capex without securing a customer. The liquid products plant essentially idle with the production capacities of UHT cream reported in 2023.

Free cash flow generated by a2m 2017-2020 was immense with that now smothered out the focus seems to be adult nutrition but I don't know if they have a customer for this and what the production volumes as sales only shown my business unit (advance nutrition).

a2m report also stated Yashili is now producing formula for the Australia and South East Asia market now also (English label - a2m Gentle Gold) along with a2m owns manufacturing facility at Mataura Valley Milk. Although Synlait is still producing the chinese label a2m platinum how long until this manufacturer agreement is shared with Yashili with the exclusivity contract dissolved (contested by Synlait in courts).

[Sideshow Bob]

Here is an article on the same subject of the announcement....

https://www.ruralnewsgroup.co.nz/rur...nF0a0mAD0q25w0


Whats the saying....Nero fiddles while Rome burns??

- Major disagreement with your major customer and large shareholder.
- Share price at a record low
- Bonds are trading at 37.4%
- Going to make another significant loss.
- Heavily in debt, with agreements expiring at the end of the month
- Struggling to sell a major asset that you probably paid too much for
- Needing more pink paint

But get on TV for a talk fest with Nestle about reducing emissions.

What have I missed??

Omni-cluster......