Ginegar Plastic Products Ltd. — Investor Presentation 2020

Mar 30, 2021

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.
• 2012 Polysack acquisition - Israel + Brazil.
• 2017 Flextech acquisition Italy.
• 2017 established local production in India.
• 2018 acquisition of 25% Agriplast- India.
• 2019 established distribution company in Spain.

EBITDA 1-12/19 1-12/20 61.40 72.8 Million NIS	2020 SALES 541 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.

Marketing approach

We are :

• * Locating unique needs of growers worldwide.
• * committed to help solve their challenges.
• * developing solutions which help empower them and optimize their growth.

Long term goals

Group Locations

Management Structure

Agricultural Solutions

Films

Nets

Mulch Greenhouses & tunnels

Solarization & Geomembrane Fumigation Films

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

Cover films Technology

Five layers - allows us to integrate the specific material in the exact location in the right dosage

Other covers for advanced technology uses

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

• Sealing and infrastructure films
• Vacuum bagging
• Geomembranes film
• 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

Financial parameters – Million Nis

	2018	2019	2020
Sales	527.5	539.9	541.2
Operating profit	30.6	30.0	40.5
%	5.8%	5.6%	7.5%
EBITDA	52.6	61.4	72.8
%	10.0%	11.4%	13.5%
Net profit	17.3	15.5	24.3
Equity	213.9	220.9	237.2
Net debts	183.4	140.4	47.4
Dividend	5	10	15

Financial parameters – Million Nis

	2019		2020
	Q1	Q2	Q3	Q4	Q1	Q2	Q3	Q4	2019	2020
Sales	132.70	134.50	153.70	118.00	135.00	130.10	149.50	126.60	538.90	541.20
Gross profit	29.9	22.9	34.7	21.8	33.3	28.1	31.3	22.9	109.3	115.6
%	23%	17%	23%	18%	25%	22%	21%	18%	20%	21%
Operating profit	11.20	4.70	16.10	(2.60)	11.50	11.50	12.60	6.41	29.40	42.01
%
	8%	3%	10%	-2%	9%	9%	8%	5%	5%	8%
Net profit	6.5	2.8	9.8	(3.6)	5.6	7.3	8.0	3.4	15.5	24.3
EBITDA	17.70	12.20	23.20	8.30	20.30	18.60	20.01	13.89	61.40	72.80
%	13%	9%	15%	7%	15%	14%	13%	11%	11%	13%

Financial parameters – Million Nis

	2018	2019	2020
Net debt	183.4	140.4	47.4
Equity	213.9	220.9	235.3
Assets	627.8	606.7	606.6
EBITDA LTM	52.6	61.40	72.80
Net debt / EBITDA	3.49x	2.28x	0.65x
Equity rate	34.1%	36.4%	39.1%