Annual Report 2016
GRA550_AnnualReportCover_Alternate_FIN_R.indd 1 11/11/2016 4:32 PM 2016 is an important year for GrainCorp as it marks 100 years since the establishment of the NSW Grain Elevators Board, which was ultimately the foundation of our Storage & Logistics business.
We're proud of our Australian heritage and we look forward to an exciting second century of growth, working as a partner with local growers, regional communities and customers around the world.
Contents Annual General Meeting Chairman’s Review 4 24 February 2017, 10.00am Managing Director and CEO’s Review 6 Pullman Sydney Hyde Park Hotel 36 College Street Board of Directors and Executives 8 Sydney NSW 2010 Directors’ Report 11 Directors’ Report – Remuneration Report 25 Interim Results Half year end – 31 March 2017 Auditor’s Independence Declaration 41 Results announcement – 11 May 2017 2016 Financial Report 42 Notes to the Financial Statements 48 Full Year Results Full year end – 30 September 2017 Directors’ Declaration 106 Independent Auditor’s Report to the members of GrainCorp 107 Cover image: GrainCorp Oils' crushing Shareholder Information 109 and refining plant – Numurkah, Victoria. Corporate Directory IBC
2016 ANNUAL REPORT 1 GrainCorp Overview
GrainCorp is a leading global food ingredients and agribusiness company with an integrated business model across three main grain activities: supply chain, origination and processing.
GrainCorp Overview Our Mission and Vision GrainCorp focuses its activities on three core Our mission is to be an international leader in food ingredients and grains (wheat, barley and canola) where we agribusiness, creating value by connecting consumers and producers. have a comparative advantage through grain origination, freight differentials and technical Our vision is to grow as our customers’ preferred partner – driven by our expertise. passionate people and strategic assets around the world.
GrainCorp has operations in Australia, New Our Values Zealand, Asia, North America, Europe and the Our values help define our organisational culture by providing a common United Kingdom. These markets collectively understanding of how we do things at GrainCorp and how we should represent over 50 percent of the global export behave towards each other, our customers and other stakeholders. trade in wheat, barley and canola. > Safety – We act consciously every day to keep ourselves and our GrainCorp has four reporting segments: teams safe. • GrainCorp Storage & Logistics > Our people – We work together as part of a high performing team • GrainCorp Marketing and deliver what we promise. • GrainCorp Malt > Customers – We build strong relationships and deliver value to • GrainCorp Oils customers. GrainCorp also owns 60% of Allied Mills. > Excellence – We consistently look for better ways to do things. > Sustainability – We understand the bigger picture and add value to the bottom line. > Our community – We support the communities in which we operate. > Integrity – We act with high integrity, energy and passion.
2 GRAINCORP LIMITED Our International Operations
Accumulation Storage Marketing Road & Rail Ports Processing Largest regional Over 20mmt of country Marketing to local and Full freight connectivity 7 bulk grain ports with A key end producer of accumulation network staorage and handling global markets for rapid turnaround 15mmt elevation capacity malt, oils and flour capacity 14 bulk liquid terminals
German Marketing Malt • Schill Malz