Ginegar Plastic Products Ltd.

Earnings Release • Aug 31, 2020

Company Profile

Our Vision

To be a world leading company in production & marketing of smart Cover Solutions for Agriculture and Horticulture

Our business

Ginegar manufactures and markets smart covers for intensive agriculture and horticulture, providing tailor-made solutions for managing light and climate, optimizing the growing conditions and resources, for growers all over the world.

Company Profile

• Established in 1970 • 2006 IPO TASE • 2010 Ginegar US • 2012 Polysack- Israel+ Brazil • 2017 Flextech Italy • 2017 JV production in India • 2018 25% Agriplast- India • 2019 Ginegar Spain	EBITDA 1-6/1-6 19/20 30.0 37.2 Million NIS	2019 SALES 539 Million NIS 1-6/2020 sales 266 Million Nis
	~450 employees worldwide. 6 locations : Israel ,Italy, India, Brazil ,USA , Spain.	Export to over 60 countries

Highlights

• Pioneer in the multi layer wide films technology.
• Serving customers in more than 60 countries.
• 8 Locations: Israel (3), USA, Italy, Brazil, India , Spain.
• A yearly 10% steady growth in export in the last years.
• Tailored solutions for specific customer needs.
• Film production capacity of 64,000 tons per year (all locations).
• Net production capacity of 70M m2 per year (all locations).
• Sales: over 150M US\$ (over 540 Million Israeli shekel)
• 450 employees worldwide : Brazil ,India, USA, Italy ,Israel, Spain.

Group Locations

Management Structure

Marketing approach

• * Discovering unique needs of growers worldwide
• * Committed to help solving their requirements
• * Developing solutions for optimizing their growth.

Long term goals

Agricultural Solutions

Nets

Mulch Greenhouses & tunnels

Silobags

Anti-hail nets Anti-insect Shade nets Thermal screen nets

nets

Cover films Technology

15 Production Lines in Israel - Capacity 52,000 Ton. 6 Production Lines in Italy- Capacity over 6,000 Ton. India-subcontractor agreement + 6,000 tons

Industrial Solutions

Ginegar offers a wide-range of multi-layer products:

• Sealing and infrastructure films
• Vacuum bagging
• Geomembranes film
• FFS bags and sleeves
• Garbage disposal bags
• Shrink films
• Various covers

Nets Technology

Wooven Knitted

Monofilament yarns

Applications:

• Pest control
• Shading in Greenhouses & Orchards
• Wind and Hail protection
• Energy Saving (tapes)

Tapes from Mono oriented Films knitted

Applications:

• Controlling Sun radiation & shading
• Manipulation of Sun Radiation Spectrum

Why Ginegar?

• We are committed to uncompromising quality, reliability and flexibility
• Technological Expertise
• Innovative Technology
• Quality Assurance
• Customer Service

Sales – Million NIS

2017- including Flextech 7 months 2018 - including Flextech

EBITDA – Million NIS

2017- including Flextech 7 months

2018 etc- including Flextech

	2018	2019	1-6/2020
Sales	527.5	538.9	265.2
Operating profit	30.6	29.4	23.0
%	5.8%	5.5%	8.7%
EBITDA	52.6	60.2	37.2
%	10.0%	11.2%	14.0%
Net profit	17.3	15.5	12.9
Net debt	183.4	140.4	114.4
Equity	213.9	220.9	226.3
Dividend	5.0	10.0

	Q12019	Q22019	Q32019	Q42019	Q12020	Q22020
Sales	132.6	134.5	153.7	118.0	135.0	130.1
Gross profit	29.9	22.9	34.6	21.5	33.2	28.1
%	22.5%	17.0%	22.5%	18.2%	24.6%	21.6%
Operating profit	11.2	4.7	16.1	-2.6	11.5	11.6
%	8.4%	3.5%	10.5%	-2.2%	8.5%	8.9%
Net profit	6.5	2.8	9.8	-3.6	5.5	7.3
EBITDA	17.7	12.3	23.1	7.1	18.6	18.6
%	13.3%	9.1%	15.0%	6.0%	13.8%	14.3%

	2018	2019	Jun-20
Net debt	183.4	140.4	114.4
Equity	213.9	220.9	226.3
Assets	627.8	606.7	602.2
* Ebitda	52.6	60.2	67.4*
Net debt/ *Ebitda	3.49x	2.31x	1.69x
Equity ratio	34.1%	36.4%	37.6%
* Ebitda LTM