Synlait Milk Ltd. · NZX:SML

Synlait Milk — HY26 Earnings Presentation

26 slides from Synlait Milk's earnings presentation, Mar 23, 2026

  1. Slide 1: Half Year Result & Recovery Roadmap

    Half Year Result & Recovery Roadmap Investor Presentation For the six months ended 31 January 2026

  2. Slide 2: Key takeaways: Understanding HY26 and Synlait's future

    Key takeaways: Understanding HY26 and Synlait's future Three core issues affected HY26 Financial performance impacted The roadmap to recovery Manufacturing ($34.7M) Position for plan adjustments Total Group EBITDA Stabilise future growth Lower Ingredients ($80.6M) Simplify Action returns Total Group

  3. Slide 3: Stabilise, Simplify, Scale

    Stabilise, Simplify, Scale Three interconnected horizons delivered at pace. Position for future growth Deliver operational stability that meets customer expectations, Stabilise strengthens financial resilience, and builds greater optionality. Action transformation Simplify Align priorities, sharpen

  4. Slide 4: Synlait's roadmap to recovery

    Synlait's roadmap to recovery Where are we going Stabilise, Simplify, Scale Our Big 6 What are Operational Quality Customer Financial Strengthening Financial we doing Stability Performance Satisfaction Resilience Culture Performance We never Nothing we do is worth getting hurt for. We feed people –

  5. Slide 5: Plan in play

    Plan in play Horizon one (Stabilise) is already activating across Synlait. Quality and People Revenue Milk Supply Operations and Culture • Quality and operational deliverables • Creating a customer-centric team • North Island raw milk exit well • Renewed ELT re-focusing Synlait on aligned to tighten

  6. Slide 6: Results at a glance

    Results at a glance Results include North Island operations, unless otherwise stated¹ $97.8M $64.4M 88% $171.3M ($34.7M) $ 4.1M $ 472.1M ($183.4M) Total group EBITDA Total underlying Net debt² Operating cash flow group EBITDA $85.4M $36.0M $32.2M $83.9M ($80.6M) ($27.3M) $ 949.0M $ 3.1M Total group

  7. Slide 7: HY26 | A series of challenges

    HY26 | A series of challenges Inventory Manufacturing Tactical Pivoting under Global downturn 1 2 3 4 5 shortfall plan adjustment milk sales pressure in WMP pricing Manufacturing challenges Adjustments to Synlait's The revised plan resulted Milk sales did not always To create the perfect storm, in t

  8. Slide 8: Financial Performance

    Financial Performance Andy Liu, CFO PAGE 8

  9. Slide 9: Synlait's HY26 result

    Synlait’s HY26 result 8.7 Underlying NPAT movement ($ millions)⁴ The rebuild of customer inventory following the manufacturing challenges 7.0 weighed heavily on margins as production pivoted under pressure. 12.5 8.2 6.8 (54.0) (12.8) (3.9) (27.3) HY25 Advanced Nutrition Ingredients Consumer and Food

  10. Slide 10: Business unit revenue and performance

    Business unit revenue and performance Business unit revenue including North Island $949.0m $916.8m 117.7m 160.0m (13%) (17%) Advanced Nutrition Consumer $790.6m $793.5m $769.8m 43.3m 19.6m 29.0m Revenue down 3%¹ due to the challenges Synlait faced Revenue up 51% due to Dairyworks growth and increase

  11. Slide 11: North Island performance and continuing operations

    North Island performance and continuing operations Divestment of the North Island assets will remove a drag on Synlait’s operational performance and strengthen the balance sheet. $ million HY25 HY25 HY25 HY26 HY26 HY26 North Island assets are fully integrated into Synlait’s Reported Reported North I

  12. Slide 12: Cash flow and net debt

    Cash flow and net debt Net debt ($ millions)² 16.4 13.4 8.2 472.1 183.4 250.7 Operating cash flows Net debt challenges Operating cash flows decreased by $183.4m due to: • Net debt¹ is $80.2m higher than the prior year mainly • Weaker operating performance weighed on operating due to operational perf

  13. Slide 13: Business Update

    Business Update Richard Wyeth, CEO

  14. Slide 14: Advanced Nutrition

    Advanced Nutrition CEO Richard Wyeth with The a2 Milk Company CEO David Bortolussi at the China International Import Expo. HY26 activity Ongoing FY26 focus areas • Refined Synlait’s adult nutrition offer to align with • Further market validation for new white label market feedback. supplement range

  15. Slide 15: Ingredients

    Ingredients HY26 activity Ongoing FY26 focus areas • Unfavourable commodity movements was a • Stability in supply and product mix. contrast to the prior six months. • Expansion of customers and markets to improve • Ability to pivot product mix was constrained due demand optionality. to the catch-up

  16. Slide 16: Foodservice

    Foodservice HY26 achievements Ongoing FY26 focus areas • Strong performance in China and Southeast Asia • Accelerate market penetration and distribution on volume and margin. reach across China and Southeast Asia, supported • Significant margin improvement – from negative by customer database work a

  17. Slide 17: Consumer

    Consumer HY26 achievements Ongoing FY26 focus areas • Cheese volumes have stabilised following a period • Continue the formation of a partnership with of higher commodity prices. Bright Dairy to test launch a range of Dairyworks • Butter volumes increased significantly off the back products into the

  18. Slide 18: On-Farm Excellence and Sustainability

    On-Farm Excellence and Sustainability High quality grass-fed milk supply Adding value on-farm • Synlait's milk supply was certified as Grass-Fed • Synlait enables farmers to earn more for their by the Ministry of Primary Industries – a globally milk. The company paid qualifying farmers a competitive

  19. Slide 19: Resetting Synlait | North Island sale update

    Resetting Synlait | North Island sale update An important step forward in Synlait's recovery. What’s happening Circa NZ$307 million sale to Supported by Transitional Access to base powder global healthcare leader Abbott Service Agreements production agreed¹ What it will deliver Reduction in Expected

  20. Slide 20: Appendices

    Appendices The team walking on Synlait Dunsandel’s pink path.

  21. Slide 21: Plan in play | Strengthened Executive Leadership Team

    Plan in play | Strengthened Executive Leadership Team Positioned in Canterbury to drive Synlait’s future forward. Andy Liu Rich Hickson Hamish Yates Hila Mory Tim Carter Chief Financial Chief Operating Chief Revenue Chief Quality Officer Dairyworks Officer Officer Officer Chief Executive Officer Ric

  22. Slide 22: Key financial metrics including North Island

    Key financial metrics including North Island Key financial metrics¹ HY22 HY23 HY24 HY25 HY26 Currency as stated (in millions) Income statement Revenue 791 770 794 917 949 Gross profit 69 82 44 87 3 EBITDA² 68 52 20 63 (35) EBIT² 41 23 (92) 34 (58) NPAT 28 5 (96) 5 (81) Net cash from/(used in) operat

  23. Slide 23: Underlying gross profit by business unit including North Island

    Underlying gross profit by business unit including North Island Advanced Ingredients Consumer Foodservice Total Nutrition¹ HY26 Production volume (MT) 22,240 56,339 30,997 5,508 115,084 Revenue ($ millions) 265 248 247 29 789 Gross profit ($ millions) 7.4¹ 1.5 22.8 2.9 34.6¹ HY25 Production volume (

  24. Slide 24: Debt Facilities and Banking Covenants

    Debt Facilities and Banking Covenants Synlait’s banking syndicate is made up of ANZ Bank, China Synlait has key financial covenants in place with its banking syndicate. Construction Bank, Bank of China, Rabobank, Industrial Commercial The following amendments to existing covenants were made post bal

  25. Slide 25: Disclaimer

    Disclaimer This presentation is intended to constitute a summary of certain risks, uncertainties, assumptions and other important factors, Any past performance information in this presentation is given for information about the Synlait Group (“Synlait”) or in connection with many of which are beyond

  26. Slide 26: For more information contact:

    For more Media: Investors: information Jo Scott Corporate Affairs Manager Hannah Lynch Head of Milk Supply, Strategy & Corporate Affairs contact: +64 21 883 123 +64 21 252 8990 jo.scott@synlait.com hannah.lynch@synlait.com

Synlait Milk — HY26 Earnings Presentation on 6ix