A2 Milk Company Limited · NZX:ATM
A2 Milk — The a2 Milk Company — Macquarie AG Forum 2018
38 slides from A2 Milk's conference presentation, Mar 28, 2018
Slide 1: Macquarie AG Forum
Macquarie AG Forum Melbourne| 28 March 2018 a2 Milk™, a2 Platinum™ and The a2 Milk Company™ are trade marks of The a2 Milk Company Limited
Slide 2: Disclaimer
Disclaimer This presentation dated 28 March 2018 provides additional comment on the Interim Report for the six months ended 31 December 2017 of The a2 Milk Company Limited (the “Company” or “a2MC") and accompanying information released to the market on the same date. As such, it should be read in co
Slide 3: CEO quote on continued growth
“The Company’s continued growth reflects increasing consumer acceptance of our brand and the | benefits of dairy-based products free \\ from the A1 beta casein protein type” Geoffrey Babidge Managing Director & CEO a
Slide 4: Contents
Contents * Company overview * Group strategy update ¢ 1H18 results & regional highlights ¢ FY18 outlook ¢ Appendix
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Slide 6: The a2 Milk Company at a glance
The a2 Milk Company at a glance * The a2 Milk Company (“a2MC") is in the business of producing, marketing and selling premium branded dairy nutritional products in AUD million’ NZD million targeted global markets rae . . ¢ All a2MC branded products contain only A2 beta casein protein type Market Cap
Slide 7: The a2 Milk Company proposition
The a2 Milk Company proposition a2 Milk™ Single-minded company focus on A1 protein-free products (pioneers and experts) Unique and effective marketing approach = Compelling and growing scientific evidence Clean and green Australia and NZ sourcing profile (strength in Asia) vl, Integrated IP portfoli
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Slide 10: Group strategy update
Group strategy update J
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Slide 12: Dairy nutrition innovation continuum
Dairy nutrition innovation continuum Pree an wun Further scope for Ym * innovation in g existing & adjacent — product segments 2) g level of product customisation Milk drinks and — Protein powders j 3 5 4 O Gq ; rw 5 “Co % ey, B® vs Agua 8 uritiows
Slide 13: New unifying brand identity rolling out across regions and innovation
New unifying brand identity rolling out across regions and innovation CHOCOLATE! REDUCED FAT MILK Pregnancy, infant and toddler nutrition _—— 2H18 launch
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Slide 17: 1H18 results & regional highlights
1H18 results & v= regional highlights ==
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Slide 19: Key financial charts
Key financial charts’ Group Revenue (NZ$ million) Group EBITDA2 (NZ$ million) Basic Earnings Per Share (Cents) 549.5 141.2 143.0 FY1S FY16 FYI7 1H18 FY15 FY16 FY17 1H18 FY15 FY16 FYI7 1H18 @1H @2H miH m2H Full Year mHalf Year 1 The Company‘s financial year ends 30 June; 1H refers to the first half p
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Slide 21: Segment financial performance
Segment financial performance an Australia & New | China & other 2 Total NZS million Zealand ‘Asia Corporate UK & USA’ Group Infant Formula tute Revenue 304.2 114.4 - 16.1 434.7 341.0 EBITDA' 116.4 48.3 (13.3) (8.4) 143.0 417 Revenue 206.6 37.7 - 11.8 256.1 184.5 EBITDA 70.4 13.7 (12.3) (7.7) 64.1 R
Slide 22: 1H18 regional performance overview
1H18 regional performance overview' ANZ Revenue (NZ$ million) China & other Asia Revenue (NZ$ million) IK & USA Revenue (NZ$ m 439.6 21.0 FY15 FY16 FY17 1H18 FY15S FY16 FYI7 1H18 FY1S FY16 FY17 1H18 m1H =2H m1Hm@2H m1H @2H * Revenue: $304.3 + Revenue: $114.4 + Revenue: $16.1 * EBITDA: $116.4 * EBITD
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For personal use only • • • 安吉 胡可
Slide 26: Hong Kong: new video billboards in high traffic zones
Hong Kong: new video billboards in high traffic zones' View billboard video here ’ Advertisement runs January 2018 through February 2018, and continues post Chinese New Year 26
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Slide 30: Advertising and media exposure increasing brand awareness
Advertising and media exposure increasing brand awareness - .»** The TT “*=* 7 — 7 ¥ | ) { AN UDDER OPTION [A MILK EARNS ENDORSEMENTS & DAIRY INDUSTRY SKEPTICISM NY ENDORSEMENTS & DARY NDUSTRY XEPTICSM View advertising clip here: View news clip here: (https./a2milk. com/love-milk-again-tve) (att 1s/
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Slide 34: thea2milkcompany.com
thea2milkcompany.com
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For personal use only
Slide 36: Cash position
Cash position Group Cash Movement: 1H18 (NZ$ million) 423 43.2 ss 052) es “ Cash on hand Group NPAT Inventory build Other working capital__ Investments in Depreciation, FX and other Cash on hand Qun-17) PPE & intangibles amortisation & other (Dec-17) non-cash + Inventory build reflects increase in i
Slide 37: Reconciliation of non-GAAP measures
Reconciliation of non-GAAP measures NZ$ million 1H18 FY17 1H17 Australia & New Zealand Segment EBITDA 116.4 155.3 70.4 China & other Asia Segment EBITDA 48.3 32.8 13.7 UK & USA Segment EBITDA (8.4) (22.5) (7.7) Corporate EBITDA (13.4) (24.4) (12.3) EBITDA' 143.0 141.2 64.1 Depreciation/Amortisation
Slide 38: thea2milkcompany.com
thea2milkcompany.com