New Zealand Rural Land Co. Ltd. · NZX:NZL
New Zealand Rural Land — H1 2025 Earnings Presentation
32 slides from New Zealand Rural Land's earnings presentation, Aug 21, 2025
Slide 1: Result for the six months ending 30 June 2025
LISTED ON: 21 AUGUST 2025 2025 Result for the six months ending 30 June 2025 New Zealand Rural Land Company www.nzrlc.co.nz New Zealand Rural Land Company 1
Slide 2: Disclaimer
NEW ZEALAND RURAL LAND CO OWNS SOME OF THE BEST AGRICULTURAL LAND IN THE WORLD. DISCLAIMER The information and opinions in this presentation were prepared by New Zealand Rural Land Company (NZL). NZL makes no representation or warranty as to the accuracy or completeness of the information in this re
Slide 3: Key Messages
KEY MESSAGES Acquired a high yielding highly productive dairy farm increasing total annual rental income by ~$290k Sold two pastoral properties at above most recent valuation Interest Rate hedging increased to 81% at HY25, from 65% in HY24 AFFO per share has grown to 2.70cps in HY25 (+39.2%) vs 1.94
Slide 4: HY25 Financial Highlights & Metrics
HY25 - FINANCIAL HIGHLIGHTS & METRICS $445.2m $230.5m $1.589 29.8% Total Assets Net Asset Value (NAV) NAV per Share Gearing CPI Linked Increasing AFFO CPI linked rental increases of +13.8% on 15.9% of NZL’s HY25 AFFO was $3.9m (2.70 cps)3 due to the impact of portfolio took effect in June 2025. A fu
Slide 5: HY25 Operating Overview
SECTION 1 HY25 OPERATING OVERVIEW New Zealand Rural Land Company 5
Slide 6: HY25 Corporate Actions
HY25 CORPORATE ACTIONS Acquired Property: Dairy Farm Location Canterbury On 7 March 2025, NZL acquired a 305ha, highly productive dairy farm located in Canterbury. The transaction increases NZL’s total rental income by ~$290k Asset Class Dairy a year1. Area 305 hectares Purchase Price $15.5m As part
Slide 7: Outlook & FY25 Forecast
OUTLOOK & FY25 FORECAST NZL’s leases incorporate regular, uncapped, CPI reviews. Accordingly, inflation will result in rental growth. Furthermore, NZL is insulated from inflation-impacted (and all other operational) on-farm costs by owning only the land. NZL has seen the positive impact of inflation
Slide 8: NZL's Cash Yield Growth
NZL’S CASH YIELD GROWTH • NZL has increased AFFO on both an absolute and per share basis every year since listing and is forecast to continue to do so1. There should be a strong correlation between cash yield and share price. • By the end of FY25 NZL’s AFFO will have more than doubled on an absolute
Slide 9: NZL Financials & Return Metrics
SECTION 2 NZL FINANCIALS & RETURN METRICS for the six months ending 30 June 2025 New Zealand Rural Land Company 9
Slide 10: Adjusted Funds From Operations (AFFO)
ADJUSTED FUNDS FROM OPERATIONS (AFFO) AFFO is a proxy for free cash flow commonly used by REITs. AFFO is intended to provide investors with a clearer picture of the company’s free cash flow. NZ$000 30 June 2025 30 June 2024 Net Profit After Tax 3,478 12,384 Adjusted for: 2.74cps Unrealised Net Gain
Slide 11: Profit & Loss Statement
PROFIT & LOSS STATEMENT NZ$000 30 June 2025 30 June 2024 Gross Rental Income Rental Income 10,931 9,099 Net Rental Income 10,931 9,099 Less Overhead Costs $3.48m Directors Fees Insurance (114) (43) (114) (44) NPAT Shareholder Registry & Communication (46) (34) Management Fees (811) (662) Repairs and
Slide 12: Balance Sheet
BALANCE SHEET NZ$000 30 June 2025 30 June 2024 Current Assets Cash and Cash Equivalents 3,671 6,135 Derivative Assets 275 - Trade and Other Receivables 2,006 1,164 $445.2m Current Tax Receivable Total Current Assets - 5,952 4 7,303 Non-Current Assets (+5%) Investment Property 416,736 393,806 Total A
Slide 13: Debt Summary
DEBT SUMMARY In May 2025, NZL renewed a $46m tranche of its existing banking facilities. The tranche originally due to expire on 1 June 2025 has been extended to 1 June 2028. The extension of this tranche increases the weighted average term to expiry of NZL’s debt facilities to 2.0 years. At the beg
Slide 14: Total Returns
TOTAL RETURNS NAV Performance AFFO & AFFO/sh Dividends per Share CAGR: +4.9% AFFO/sh CAGR: +20.4%3 CAGR: +20.8% • NZL’s NAV per share has increased from • NZL delivered HY25 AFFO of $3.9m • NZL reinstated its dividend in FY24 $1.250 to $1.589 (+27.1%) since listing. (2.70 cps2). and paid a full year
Slide 15: Sustainability Programme
SECTION 3 SUSTAINABILITY PROGRAMME as at 30 June 2025 New Zealand Rural Land Company 15
Slide 16: Climate Change Reporting
CLIMATE CHANGE REPORTING • NZL released its annual Climate-Related Disclosures report on the 29th of April 2025 . • The report represents a significant step in deepening our understanding of how climate change may affect our business over time. It also supports the development of strategies to enhan
Slide 17: Sustainability Programme: Enduring Land for Life
SUSTAINABILITY PROGRAMME 1 NZL continues to work on mapping its current portfolio for marginal land which can be enhanced with planting and a programme to increase biodiversity. The mitigation of erosion is a key outcome of this planting with potential for carbon sequestration and sediment control.
Slide 18: Sustainability Highlights
SUSTAINABILITY HIGHLIGHTS Native Forest Regeneration NZL partners with its tenant New Zealand Forest Leasing which has a large nationwide carbon sequestration and native regeneration project underway. This involves using pines as a “nurse crop” and using a variety of methods to ensure long-term nati
Slide 19: Dividend and Outlook
SECTION 4 DIVIDEND AND OUTLOOK New Zealand Rural Land Company 19
Slide 20: Spotlight On: The Financial Landscape for New Zealand Dairy Farmers
SPOTLIGHT ON: THE FINANCIAL LANDSCAPE FOR NEW ZEALAND DAIRY FARMERS Insights Positive Bottom Line New Zealand’s dairy sector is the backbone of the rural economy, and it’s financial 12.0 2.00 health directly impacts land leasing models like NZL’s. Insights from DairyNZ’s 1.80 10.0 economic tracker s
Slide 21: Market Updates
MARKET UPDATES Dairy Payout at Record Highs Carbon Price Holding Steady In March 2025, Fonterra reaffirmed its forecast 2024/25 season Farmgate New Zealand’s carbon market is tightening, with emission unit availability set Milk Price of $10.00 per kilogram of milk solids (kgMS); with the forecast to
Slide 22: Dividend & Share Buyback Programme
DIVIDEND & SHARE BUYBACK PROGRAMME Dividend • NZL has resolved to pay an interim dividend of 2.16 cps equivalent to ~80% of NZL’s HY25 AFFO*. • NZL’s dividend policy targets a pay-out ratio of 60% - 90% of AFFO. The pay-out range grants the company greater flexibility to deploy NZL’s cash operating
Slide 23: Listed Property Vehicle Comparison
LISTED PROPERTY VEHICLE COMPARISON Yield & Forecast Growth Across NZX Listed Property Vehicles (LPV) 20% 15% 14.20% 10% 0.30% 6.80% Yield + Growth 3.70% 4.90% 6.20% 6.30% 3.00% 4.60% 5% 0% LPV 1 LPV 2 LPV 3 LPV 4 LPV 5 LPV 6 LPV 7 LPV 8 NZL -5% -10% Cash Yield AFFOps growth p.a to FY27 Yield + Growt
Slide 24: Appendices
APPENDICES New Zealand Rural Land Company 24
Slide 25: Investment Summary
INVESTMENT SUMMARY NZL PROVIDES INVESTORS WITH EXPOSURE TO: Favourable Industry A Proven Value Add Attractive Total Returns High Quality Tenants A Significant Growth Dynamics Acquirer of Land with Attractive WALT Opportunity Long term demand for key Successfully acquired NAV per share has grown All
Slide 26: Portfolio Overview - As at 30 June 2025
PORTFOLIO OVERVIEW - AS AT 30 JUNE 2025 Rural Sub-Sector Breakdown Rural Asset Class Horticulture Forestry Pastoral Total Land Area (ha) 144 5,488 11,445 17,0771 Regions Hawke’s Bay and Otago Central North Island Canterbury, Otago & Southland Pastoral, Forestry & Horticulture Dairy, Support, Forestr
Slide 27: Tenant Concentration, Lease Profile & Lease Overview
TENANT CONCENTRATION, LEASE PROFILE & LEASE OVERVIEW - AS AT 30 JUNE 2025 NZL expects tenant diversification to increase as it continues to grow its asset base. NZL’s Weighted Average Lease Term (WALT) is currently 12.3 years (100% occupancy). NZL’s pastoral farm leases all have three, six and nine
Slide 28: Foreign Ownership Rules & Levels
FOREIGN OWNERSHIP RULES & LEVELS New Zealand Current Listed Current NZL Buyer Company Foreign Foreign NZL is highly advantaged Ownership Rules Ownership because it is a Under the Overseas Investment As at 30 June 2025, NZL had New Zealand buyer Amendment Act 2021, NZL can have foreign domiciled shar
Slide 29: Key People
KEY PEOPLE New Zealand Rural Land Co The Rural Land Investors ROB CAMPBELL SARAH KENNEDY TIA GREENAWAY CHRISTOPHER SWASBROOK Independent Chair Independent Director Independent Director Non-Independent Director Chancellor - AUT CEO - Calocurb Limited Hailing from Ngāti Tūwharetoa and Chair of Aucklan
Slide 30: Index Inclusions and Broker Research Coverage
INDEX INCLUSIONS AND BROKER RESEARCH COVERAGE Index Inclusions Broker Research Coverage FTSE Global Micro Cap Index S&P / NZX All Real Estate Index Nicholas Hill Arie Dekker nicholas.hill@craigsip.com arie.dekker@jarden.co.nz Kieran Carling Vishhal Bhula kieran.carling@craigsip.com vishal.bhula@jard
Slide 31: Investor Relations Contacts
INVESTOR RELATIONS CONTACTS Richard Milsom Xavier Lynch richard@nzrlm.co.nz xavier@nzrlm.co.nz +64 21 274 2476 +64 27 282 8046 Level 4 Level 4 131 Queen Street 131 Queen Street Auckland Central Auckland Central Auckland 1010 Auckland 1010 New Zealand New Zealand New Zealand Rural Land Company 31
Slide 32: Rural Land Co
New Zealand Rural Land Co The Rural Land Investors New Zealand Rural Land Company +64 9 218 2177 Level 4, 131 Queen Street info@nzrlc.co.nz Auckland Central www.nzrlc.co.nz Auckland 1010 nzrlc New Zealand nzrlc LISTED ON: New Zealand Rural Land Company 32
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