Australian Dairy Nutritionals Limited · ASX:AHF

Australian Dairy Nutritionals — FY2019 Earnings Presentation

12 slides from Australian Dairy Nutritionals's earnings presentation, Sep 9, 2019

1. Slide 1: Australian Dairy Nutritionals Group CEO Update Presentation

   For personal use only Australian Dairy Nutritionals Group Growing Local, Going Global CEO update Presentation Peter Skene 09/09/19

2. Slide 2: Advancing and investing in group strategy

   Advancing and investing in group strategy For personal use only • FY19 results reflect solid progress and investment in strategic objectives to place the Group in strong standing for FY20 • FY19 Operating EBITDA improvement of $1M over previous year to -$1.7M • A contracted increase in milk price fo

3. Slide 3: 2019 Key Farm Investments for Future Benefit

   2019 Key Farm Investments for Future Benefit For personal use only AHF is building a secure supply of premium differentiated raw material (organic milk) Organic milk is scarce and includes time and cost barriers to entry  Brought forward the organic milk timeline with the purchase of “Yaringa” farm

4. Slide 4: Product Diversification score card

   Product Diversification score card 2019 2020 & 21 For personal use only  Milk  Milk  Premium Milk Range  Butter  Butter  Yoghurt  Yoghurt  Kefir  Kefir  Paediatric Formula  Paediatric Formula  Smoothies  Cream New Additions New Additions  Organic Pouches – Commenced production and sale

5. Slide 5: FY challenges and related FY19 AHF initiatives

   FY 19 challenges and related FY19 AHF initiatives For personal use only  Competitive levels remain high for current AHF product categories;  Accelerated the timeline to organic infant formula and other organic products with the purchase of a Yaringa farm which will be fully converted to organic pr

6. Slide 6: Formula Plan Phase 1 Progress

   Formula Plan • Phase 1 Progress For personal use only  Purchased infant formula plant from overseas vendor Progress  Successfully dismantled the plant and transported to Melbourne  Successfully completed Customs and AQIS clearances  Successful capital raise of $12 million (before costs) to fund

7. Slide 7: Formula Plan Phase 2 Building and Construction

   Formula Plan • Phase 2 – Building and Construction For personal use only Progress  Purpose built building on AHF owned land  Site has excellent access to all necessary services including electricity, gas, trade waste discharge  Local and state government very supportive  Key elements of design a

8. Slide 8: New Joint Venture – Jonesy's Dairy Fresh

   New Joint Venture – Jonesy’s Dairy Fresh For personal use only  One of two premium brands in the milk  Strong brand values aimed at supporting distribution market farmers through a fair price and quality products  Large customer base provides platform for launch of CDC products into hospitality 

9. Slide 9: The Year Ahead

   For personal use only The Year Ahead • Revenue from existing operations expected to materially increase in FY20 • Farm feed prices expected to decrease due to favourable conditions for start of season in South-West Victoria (a significant expense for the group) • First AHF farms to be fully certifie

10. Slide 10: AHF at a Glance

    AHF at a Glance For personal use only Well positioned A vertically Focused on to capitalise on integrated developing higher the growing business model margin owned shortfall of guarantees ability brands and products organic milk to supply versus including organic Australian Dairy supply competitors

11. Slide 11: Board and Management Team

    Board and Management Team For personal use only Michael Hackett Peter Skene Adrian Rowley Paul Morrell Chris Flahey Non-Executive Chairman CEO and Director Non-Executive Director Non-Executive Director Sales & Marketing  Michael has been a director since  Appointed CEO and Managing  Adrian Rowley

12. Slide 12: Contact

    •Contact •For additional information or For personal use only media enquiry matters please contact: •Peter Skene •Group CEO / Director •Australian Dairy Nutritionals Limited •Email:shareholders@adfl.com.au •Disclaimer – Forward Looking Statements •This announcement may include “forward looking state

Australian Dairy Nutritionals Group — FY2019 Earnings Presentation on 6ix