Comvita Limited · NZX:CVT
Comvita — Investor Day (May 2023)
137 slides from Comvita's investor day presentation, May 12, 2023
Slide 1: Comvita Stakeholder Day: Poised for Take Off
COM VITA STAKEHOLDE R DAY PRESENTED BY: M AY 2023 Brett Hewlett, Chairman David Banfield, CEO POISED FOR TAKE OFF 12 May 2023 C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 2: Karakia
Karakia C O M V I TA S TA K E H O L D E R O P E N D AY 2
Slide 3: Health & Safety
Health & Safety C O M V I TA S TA K E H O L D E R O P E N D AY 3
Slide 4: Introduction from David Banfield
INTRODUCTION FROM David Banfield C O M V I TA C E O C O M V I TA S TA K E H O L D E R O P E N D AY 4
Slide 5: Introduction from Brett Hewlett
INTRODUCTION FROM Brett Hewlett C O M V I TA C H A I R C O M V I TA S TA K E H O L D E R O P E N D AY 5
Slide 6: Scan the QR code
SCAN THE QR CODE WITH YOUR PHONE Login using the code: #3809750 6
Slide 7: David Banfield, CEO
David Banfield C O M V I TA C E O C O M V I TA S TA K E H O L D E R O P E N D AY 7
Slide 8: Cyclone Gabrielle: Hawkes Bay Branch
CYCLONE GABRIELLE Hawkes Bay Branch C O M V I TA S TA K E H O L D E R O P E N D AY 8
Slide 9: At a Glance
C O M V I TA At a Glance 01. 02. 03. 04. Number One ~50 Years Comvita Labs 13 Brand Caring for Bees Founded 1974 Subsidiaries Global brand leader in Company founded in Connecting consumers to the In markets Mānuka Honey and Propolis Paengaroa, BOP power of nature around the World 05. 06. 07. 08. 557
Slide 10: Poised for Take Off
POISED FOR Poised for Take Off C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 11: Agenda
P O I S E D F O R TA K E O F F Agenda 01. 02. 03. 04. Comvita Stabilised Transforming our Long Term On Track Performance Organisation Resilience & Growth Our strategic three-part Sustainable supply + Confident in our Comvita evolution to plan is on track virtuous business model FY25 delivery Lifesty
Slide 12: Focused on Long-Term Value Creation
FOCUSED ON Long-Term V A L U E C R E AT I O N C O M V I TA S TA K E H O L D E R O P E N D AY 12
Slide 13: Focus: Plan 2025 $50M EBITDA
FOCUS Plan 2025 $50M EBITDA C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 14: 2025 Plan: 60% Gross Profit, 15% Marketing, 20% EBITDA
FOCUS 2025 Plan 60% Gross Profit 15% Marketing 20% EBITDA C O M V I TA S TA K E H O L D E R O P E N D AY 14
Slide 15: FY23 First Half Recap Headlines
FY23 FIRST HALF Headlines RECAP 61.9% 13.8% 14.0% MARKETING TO GROSS PROFIT 14% ADJUSTED EBITDA* SALES RATIO +530BPS *EBITDA is a non-GAAP measure. We monitor these as key performance indicators and believe they assist investors in assessing the performance of the core operations of our business. 15
Slide 16: Section 1: Our Three Point Strategic Plan
SECTION -1- OUR THREE POINT Strategic Plan 16
Slide 17: Our Cause: Working in Harmony with Bees and Nature
OUR CAUSE Wo r k i n g i n h a r m o n y with bees and nature in New Zealand to heal and protect the world. E reretau ana, e mahi ngātahi ana mātou ko ngā pi me te taiao I A o t e a r o a , h e i w h a k a o r a , h e i m a n a a k i ā n o I t e A o Tū r o a . 17
Slide 18: Consistent Delivery from Day One
CONSISTENT Delivery F R O M D AY O N E
Slide 19: Our Three Point Plan: Progress and Update
STABILISE THE Winning in Australia and New Zealand ORGANISATION Focus on fundamentals Relentless simplification Positive cashflow paying down debt Inventory management Underperforming assets OUR THREE POINT TRANSFORMED Customer focus ORGANISATION Flat organisation structure Plan P R O G R E S S A N
Slide 20: Arotahi / Focus to 2025
OUR CLEAR Arotahi / Focus TO 2025 ALIGNED UNIQUE BUSINESS PURPOSE END-TO-END MODEL & VALUES CONNECTION 60:15:20 RELENTLESS THREE POINT 3 STAGES FOCUS ON OUR PLAN TO CRAWL > STRIDE CONSUMER NEEDS 2025 > RUN C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 21: Focus Markets: Momentum Building (Mainland China)
FOCUS MARKETS Momentum Building THREE YEAR CAGR THREE YEAR CAGR + 15.2 % + 47.8 % Mainland China - Revenue $M Mainland China - Net Contribution $M 90.0 25.0 80.0 70.0 20.0 60.0 15.0 50.0 40.0 79.4 73.2 10.0 19.3 30.0 57.6 15.3 51.9 20.0 12.6 5.0 10.0 6.0 0.0 0.0 FY2019 FY2020 FY2021 FY2022 FY2019 FY
Slide 22: Delivering Profitable Growth (North America)
FOCUS MARKETS Delivering Profitable Growth THREE YEAR CAGR THREE YEAR CAGR + 33.5 % + 78.3 % 35.0 North America - Revenue $M 9.0 North America - Net Contribution $M 30.0 8.0 7.0 25.0 6.0 20.0 5.0 31.8 4.0 8.4 15.0 24.7 3.0 10.0 22.1 4.4 4.7 2.0 13.4 5.0 1.0 1.5 0.0 0.0 FY2019 FY2020 FY2021 FY2022 FY
Slide 23: Momentum Building: Gross Profit
Momentum Building Gross Profit $M Gross Profit % 140.0 70.0% 120.0 60.0% 100.0 50.0% 80.0 40.0% 60.0 126.0 30.0% 60.3% 103.4 53.9% 95.9 49.0% 40.0 20.0% 37.3% 63.8 20.0 10.0% - 0.0% FY2019 FY2020 FY2021 FY2022 FY2019 FY2020 FY2021 FY2022 C O M V I TA S BTUASKI N EEHSOSL DS ET R R AOTPEEGNY DSAEYS S
Slide 24: Momentum Building: Marketing and Digital Share
Momentum Building Marketing Investment % Digital Share % 15.0% 50.0% 40.0% 10.0% 30.0% 12.6% 13.4% 20.0% 5.0% 34.2% 39.0% 8.7% 32.6% 7.7% 26.7% 10.0% 0.0% 0.0% FY2019 FY2020 FY2021 FY2022 FY2019 FY2020 FY2021 FY2022 Transformation $M 2.5 2.0 1.5 2.4 1.0 0.5 1.2 - - - FY2019 FY2020 FY2021 FY2022 C O
Slide 25: Momentum Building: EBITDA
Momentum Building Reported EBTIDA $M Normalised EBITDA % 35.0 18.0% 30.0 16.0% 14.0% 25.0 12.0% 20.0 10.0% 15.0 30.1 8.0% 16.0% 25.5 13.9% 6.0% 10.0 19.1 9.7% 4.0% 5.0 2.0% - 0.0% - 0.0% FY2019 FY2020 FY2021 FY2022 FY2019 FY2020 FY2021 FY2022 C O M V I TA S BTUASKI N EEHSOSL DS ET R R AOTPEEGNY DSAE
Slide 26: Momentum Building: H1 FY23 Growth Continues
GROWTH CONTINUES Momentum Building H1 FY23 Gross profit Operating profit For the 6 months ending For the 6 months ending 80.0 15.0 11.6 69.4 70.0 59.4 10.0 7.2 60.0 5.2 NZD (millions) NZD (millions) 48.5 5.0 50.0 40.0 35.8 - 30.0 -5.0 20.0 -10.0 10.0 -10.5 - -15.0 Dec-2019 Dec-2020 Dec-2021 Dec-2022
Slide 27: Pathway to $50M EBITDA by 2025
2025 Pathway to $50M EBITDA by 2025 50 $ M • ERP spend of c $3M in FY23 will continue into FY24 , none in FY25 • Transformation spend of circa $3.0M in FY23, will continue in FY24 none in FY25 EBITDA • 60:15:20 business model delivered by 2025 • As we unwind our Inventory holding this will also enab
Slide 28: Genuine Harmony Plan Impact
GENUINE Harmony 1 Plan I M PAC T Kaitiaki (guardians) for bees 2 Restoring balance 3 Climate action leaders 4 Social and environmental impact (1% model) C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 29: Section 2: Stabilised Profitable & Sustainable Business Model
SECTION -2- P R O F I TA B L E & S U S TA I N A B L E Stabilised BUSINESS MODEL 29
Slide 30: Stabilised Sustainable Profitable Model
S U S TA I N A B L E Stabilised P R O F I TA B L E M O D E L Rapidly accelerating environmental Comvita forests at benefits highest yield and Minimum break-even quality with lowest for every honey cost (+40:+60:-20) Balanced and agile harvest supply model, price and supply linked to demand
Slide 31: Harvest Model
C O M V I TA Harvest Model 2020 Launched and delivered 2021 Model proven 2022 Repeated successfully 2023 Successful for a fourth season Now proven over FOUR consecutive years C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 32: Balancing Supply & Demand
BALANCING Supply & Demand 1 STAGE ONE Optimised cash flow Launched in 2020 and proven 2021, 2022 and 2023 2 STAGE TWO Balance 2021 started exiting some long-term supply contracts Supply Consumer demand STAGE THREE 3 Current supply partner contracts ended December 2022 4 STAGE FOUR 2023 supply model
Slide 33: Partnership as a Core Value
BELIEF IN LONG-TERM Partnership as a core value MUTUAL RISK & REWARD C O M V I TA S TA K E H O L D E R O P E N D AY 33
Slide 34: Targeting 20,000 Hectares by 2030
FOREST HYPOTHESIS PROVEN TA R G E T I N G 20,000 Hectares BY 2030 C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 35: Modern Scalable Integrated Systems
MODERN SCALABLE Integrated Systems C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 36: Resilient Business
Delivery from day one - Clear and consistent focus on where to play and how we will win - Our three point strategic plan remains on track - Momentum continues to build, supporting ongoing reinvestment in our markets Proven resilience in our model RESILIENT - Comvita is fully covered by insurance for
Slide 37: Section 3: Confident in Our Transformation Delivery
SECTION -3- CONFIDENT IN OUR Transformation DELIVERY 37
Slide 38: Connecting Consumers & Our Team to the Healing Power of Nature
CONNECTING CONSUMERS & OUR TEAM TO THE HEALING POWER OF N AT U R E C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 39: Aspiring to Be Best Employer
ASPIRING TO BE Best EMPLOYER C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 40: Global eNPS Climbing
GLOBAL eNPS CLIMBING Material shift over 12 months of measurement in our Employee Net Promoter Score (eNPS): 92% of team around the world provided insights into Comvita’s 2023 Our Voice survey. 0 +70 +21 (Neutral) (Positive) (Aspiration) 2022 2023 2025 Baseline Update Goal What our team is telling u
Slide 41: Best Employer
Performance culture Performance focused Customer focused and digitally enabled Data and insight driven Optimised operating model, empowered and responsible teams Targeted learning environment, underpinned by extraordinary experiences Talent and leadership development for the future Best Meaningful c
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Slide 43: Climate Action Leadership
C L I M AT E Action LEADERSHIP C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 44: Committed to Carbon Neutral by 2025
COMMITTED TO Carbon Neutral BY 2025 774 T CO2e 4,748 T CO2e 55,591 T CO2e 92 % GHG H1 INVENTORY CARBON REMOVALS FROM MĀNUKA CARBON STOCKS NZ PACKAGING PURCHASED-IN SCOPES 1 & 2 FORESTS H1 SINCE MĀNUKA FOREST ESTABLISHMENT RECYCLABLE 2022 H1: 652 T CO2e 2022 H1: 3,013 T CO2e 2022 END OF YEAR: 35,840
Slide 45: Carbon Neutral 2025
COMMITTED TO CARBON Committed to science-aligned targets and becoming carbon neutral by NEUTRAL 2025 Audited and published GHG inventory across all emission scopes globally Ongoing performance measurement and transparent sharing of results THREE POINT Carbon GROWING NATURAL CAPITAL Comvita forest pl
Slide 46: Fully Circular by 2030
L E A D I N G I N N O V AT I O N I N S U S TA I N A B I L I T Y Fully Circular by 2030 1 0 0 % R E C YC L A B L E , S U S TA I N A B L E A N D C O M P O S TA B L E B Y 2 0 2 5 46
Slide 47: B-Corp Application Submitted April 2023
B-CORP APPLICATION SUBMITTED APRIL 2023 C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 48: Confident in Our FY25 Delivery
CONFIDENT IN OUR FY25 DELIVERY Business performance • Continued double digit top and bottom-line growth in our two key growth markets of China and North America • Continued double digit Mānuka honey products growth • Expect to delivery on 50% of sales as Digital • Confident in delivering on our 60:1
Slide 49: Section 4: Evolution to FMCG Lifestyle Brand
SECTION -4- LONG TERM RESILIENCE & GROWTH Evolution to FMCG Lifestyle Brand 49
Slide 50: Exciting Future Growth Opportunity
EXCITING FUTURE Growth OPPORTUNITY GLOBAL HONEY MARKET 2022 2030 TOTAL ADDRESSABLE MARKET 9BN US$ US$ 15 BN 3 MANUKA <1% > CATEGORY HOUSEHOLD PENETRATION % COMVITA LIFETIME VALUE GROWTH BASE LINE + 335 %
Slide 51: 2025 Plan
FOCUS 2025 Plan 60% Gross Profit 15% Marketing 20% EBITDA C O M V I TA S TA K E H O L D E R O P E N D AY 51
Slide 52: Comvita Our Core Range
Comvita OUR CORE SEASONAL ON-THE- HEALTHY HONEY + TOPICAL CARDIAC RANGE SUPPORT GO SNACKING TREATMENT SUPPORT PROPOLIS + Wellbeing at Healthy Including skin Mānuka Immunity alternatives Olive Life honey in a pot support for its most care, medi- to boost your Powerful honey. cough, cold convenient en
Slide 53: Introducing Andy Chen, Regional CEO APAC
INTRODUCING Andy Chen R E G I O N A L C E O A PA C C O M V I TA S TA K E H O L D E R O P E N D AY 53
Slide 54: C O M V I TA S TA K E H O L D
C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 55: Ideal She: Target Consumer
C O M V I TA Ideal She TA R G E T C O N S U M E R Strengthening our connection : • 30-50's well-educated females living in big cities • Seeking a healthy natural way to maximise life and energy • Looking for authentic brands, to help her become an “ideal she” – i.e, a person full of vitality with a
Slide 56: C O M V I TA S TA K E H O L D
C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 57: C O M V I TA S TA K E H O L D
C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 58: The Evolution of Comvita Premium Lifestyle
THE EVOLUTION OF Comvita PREMIUM LIFESTYLE CIIE SHOWCASE C O M V I TA S TA K E H O L D E R O P E N D AY 58
Slide 59: Consumer Premium Lifestyle
T H E E V O L U T I O N O F C O M V I TA Consumer PREMIUM LIFESTYLE C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 60: Consumer Premium Lifestyle
T H E E V O L U T I O N O F C O M V I TA Consumer PREMIUM LIFESTYLE C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 61: Multiple Touch Points
T H E E V O L U T I O N O F C O M V I TA Multiple Touch points PREMIUM LIFESTYLE C O M V I TA H AY M A R K E T – KOREAN AI R C AT H AY P A C I F I C WELLNESS LAB PHOENI X BEAUTY South Korea Hong Kong SAR Auckland, NZ S y d n e y, A U C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 62: From Source to She
C O M V I TA From Source to “She” I N G R E D I E N T P L AT F O R M PRIMARY PRODUCTION INGREDIENT SCIENCE PRODUCTS CHANNELS Digital Strategic Propolis PERSONAL • E Commerce platforms Partnership CARE at 9 markets & web partners globally Own beekeeping Mānuka honey Global Retails & Forests HEALTH CA
Slide 63: Propolis Re-launch
C O M V I TA Propolis RE-LAUNCH C O M V I TA S TA K E H O L D E R O P E N D AY 63
Slide 64: Olive Life. Tomorrow feels good.
Olive Life. Tomorrow feels good. C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 65: Olive Life Re-launch
TOMORROW FEELS GOOD Olive Life RE-LAUNCH
Slide 66: Comvita Innovation
Comvita I N N O VAT I O N C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 67: Honey + Premium FMCG Execution
PREMIUM FMCG Honey + EXECUTION Accelerated growth and value • Capturing the popular trend of wellbeing and “snackified” health supplements • Premium holistic marketing approach, with multiple touch points • One new SKU quickly grew up to 10% of a single market's total revenue • 3,000 new customers a
Slide 68: Honey + Collagen
HONEY + Honey + Collagen C O M V I TA S TA K E H O L D E R O P E N D AY 68
Slide 69: Our Premium Quality Is in Demand
OUR PREMIUM Quality IS IN DEMAND C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 70: Our Premium Quality Is in Demand
OUR PREMIUM Quality IS IN DEMAND SENSORY PREMIUM G E L AT O 108 ZERO DESSERT ICECREAM DAO DI SHES C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 71: Our Premium Quality Is in Demand
OUR PREMIUM Quality IS IN DEMAND IMMUNITY BOOSTING PEETS CINNABON GRAND MARBLE H O N E Y W AT E R COFFEE DESSERT TOAST C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 72: Our Premium Quality Is in Demand
OUR PREMIUM Quality IS IN DEMAND P A R K H YAT T SOFITEL ABC COOKING SNOW 51 STUDIO C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 73: Section 5: Growing Market Share Digital First
SECTION -5- GROWING Market Share D I G I TA L F I R S T 73
Slide 74: Growing Market Share
Growing 2020 2023 Market Share HONG KONG (SAR) 56% 75 % GROWTH SINCE 2020 MAINLAND CHINA 39% 60 % KOREA 47% 60 % REST OF ASIA 7% 25 % 46 ANZ (Market Share from Largest Customer) 23% % NORTH AMERICA 21% 25 %
Slide 75: Diverse Customer Channels
DIVERSE Customer CHANNELS Accessed through omni-channel strength Digital Direct offline Retail Wholesale Other • True omni-channel strategy, with cross channel insights 2% sharing to drive relevance and loyalty • Healthy mix ensures maximum and resilience and leverage 16% to scale under a variety of
Slide 76: Enhancing Our Omni-Channel Excellence
ENHANCING OUR Omni-Channel C O M V I TA S TA K E H O L D E R O P E N D AY EXCELLENCE 76
Slide 77: Experiential Immersion
P OT E N T I A L VA LU E F RO M Experiential IMMERSION +200% NPS +25% Loyalty 20x Multiple C O M V I TA S TA K E H O L D E R O P E N D AY 77
Slide 78: O2O Connection
O2O Connection TRY IN ONE OF OUR Digital orders WELLNESS delivered to your home LABS GLOBALLY REGISTER Guaranteed WITH best value on D2C COMVITA SUBSCRIBE Give us feedback ONLINE WITH on new product COMVITA releases C O M V I TA S TA K E H O L D E R O P E N D AY 78
Slide 79: C O M V I TA S TA K E H O L D
C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 80: Introducing Holly Brown, Chief Digital Officer
INTRODUCING Holly Brown C H I E F D I G I TA L O F F I C E R C O M V I TA S TA K E H O L D E R O P E N D AY 80
Slide 81: Championing Technology to Deliver a Multi-Sensory Experience
CHAMPIONING Technology TO DELIVER A M U LT I - S E N S O R Y E X P E R I E N C E
Slide 82: Future of TikTok
; i of TikTok @tedtoks Is this the tech that will replace your phone? The future will not be held in your hand, and it won't be on your face either.
Slide 83: Slide 83
Slide 84: Propolis
PROPOLIS
Slide 85: Digital | Agile Focus and Growth
D I G I TA L | A G I L E Focus AND GROWTH Test & Learn 1. 2. 3. Digital First Proprietary Platform Lifetime Value +335% 4. 5. 6. Test & Learn at Pace Omni-Channel Technology and Data Leaders 85
Slide 86: Our aspiration is to accelerate growth in the Manuka honey category
“Our aspiration is to accelerate growth in the Manuka honey category globally and treble household penetration by building, operating and scaling world class digital platforms which will allow Comvita to have a one-to-one relationship with consumers across multiple product categories.” David Banfiel
Slide 87: Digital First Strategy
D I G I TA L F I R S T Strategy FY25 > 50% DIGITAL REVENUE + ve GROSS MARGIN + 20 % > 9.0 AVERAGE CONSUMER NET SHARE ACCRETION ORDER VALUE PROMOTER SCORE GROWTH
Slide 88: Accelerating Our Digital Flywheel
A C C E L E R AT I N G O U R Digital F LY W H E E L 38.1% DIGITAL REVENUE +510 BPS vs PCP + 9.9% DIRECT TO CONSUMER AOV GROWTH vs PCP 9.2 NPS FY23 TARGET >9.0
Slide 89: Growing Our Global Digital Footprint
GROWING OUR Global D I G I TA L F O O T P R I N T Marketplace Channels Comvita Owned Channels 89
Slide 90: Our Most Intimate Channel Is Growing
O U R M O S T I N T I M AT E ConsumerCHANNEL IS GROWING T H R E E Y E AR C AG R 10.9 T H R E E Y E AR C AG R + % + 30.6 % D i g i t a l M a r k e t p la c e R e ve n u e $ M D ir e c t t o C o n s u m e r R e ve n u e $ M 1 H - F Y 2 0 t o 1 H - FY 2 3 1 H - FY 2 0 t o 1 H - FY 2 3 45.0 4.5 40.0 4.0
Slide 91: Insights We Haven't Had Before
CUST O M ER SEGM ENT AT ION M ULT I - CH AN N EL ENG AG EM E NT PERSO N ALI SE D JO URNEY S FAST FEEDB ACK FRO M CO NSUM ERS REAL - T IM E DAT A FO R AN ALY T ICS & INSIG HT S ABLE TO DELIVER PERFO RM AN C E OPT IM ISAT ION Insights W E H AV E N ’ T H A D B E FO R E C O M V I TA S TA K E H O L D E R
Slide 92: Proprietary Digital Platform
P R O P R I E TA R Y Digital Platform LAUNCHED MARCH 2022 92
Slide 93: User Engagement Is Growing
USER ENGAGEMENT IS GROWING 93
Slide 94: Average Product Rating
AV E R AG E P RO D UC T RATING 4.8
Slide 95: Real Time Metrics
REAL TIME METRICS A N A LY S E D H O U R LY 95 Actual sales snapshot
Slide 96: Performance Improvement Since Launch
Performance IMPROVEMENT SINCE LAUNCH + 20 bps SITE CONVERSION RATE versus PCP + 910 bps AVERAGE ORDER VALUE versus PCP + 866 bps REPEAT PURCHASE RATE versus PCP
Slide 97: Delighting Returning Users
DELIGHTING Returning Users VA L U E C R E AT I O N O F C U S T O M E R R E T E N T I O N 4X 1.2X 6.0 X > 7.0 X SESSION AVERAGE ORDER CONVERSION LTV DURATION VALUE RATE CHAMPION USERS SOURCE: GA last 6 months USA, ANZ & HK & Comvita SSP Platform data.
Slide 98: Significant Revenue Potential
SIGNIFICANT Revenue Potential FROM MARGINAL GAINS IN PERFORMANCE Opportunity Annual value Conversion Rate New Users +1.0% $1.1M Conversion Rate Returning Users +1.0% $2.35M Abandoned Cart Reduction -10% $0.37M Frequency of Use +15% $0.82M Average Order Value +25% $1.35M Grow marketable community +20
Slide 99: We are what we repeatedly do (Aristotle)
“We are what we repeatedly do. Excellence, then, is not an act; but a habit.” - Aristotle C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 100: Real-Time Test & Learn
REAL-TIME Test & Learn T H R O U G H D I G I TA L D ATA &CONSUMER ENGAGEMENT
Slide 101: Micro Managing Performance: A/B Testing
MANAGING MICRO PEREFORMANCE A|B TESTING EDM OFFER EMPHASIS + 88 % GROSS REVENUE 101
Slide 102: WeChat Store Opening in 2023
DIRECT TO CONSUMER WeChat Store OPENING IN 2023 102
Slide 103: Our first year of proprietary platform management
“Our first year of proprietary platform management has yielded material results and breakthrough learnings. Our focus on performance, through test and learn, has provided a solid and defendable foundation for growing intimacy, insight and speed.” Holly Brown, Chief Digital Officer 103
Slide 104: Introducing Dr. Jackie Evans, Chief Science Officer
INTRODUCING Dr. Jackie Evans CHIEF SCIENCE OFFICER 104
Slide 105: Section 7: Leadership in Science & Scientific Breakthrough
SECTION -7- LEADERSHIP IN Science & SCIENTIFIC BREAKTHROUGH 105
Slide 106: The Most Differentiated, Proven & Tested Mānuka in the World
THE MOST DIFFERENTIATED, PROVEN, & TESTED MĀNUKA IN THE WORLD
Slide 107: Highest Standards Tested for Mānuka
HIGHEST THE MOST Standards FOR MĀNUKA Tested MĀNUKA IN THE WORLD > 25 > 34 INDEPENDENT CERTS TESTS & A C C R E D I TAT I O N S O N E V E R Y B AT C H > 13 > 400 K G L O B A L R E S E A R C H PA R T N E R S H I P S + T E S T S R E S U LT S I N T E R N AT I O N A L A D V I S O R Y B O A R D FY22
Slide 108: Comvita Invests More in Science Than the Rest of the Industry
COMVITA INVESTS MORE IN SCIENCE, THAN THE REST OF THE INDUSTRY COMBINED
Slide 109: Comvita IP Differentiates Us from the Rest
C O M V I TA I P Differentiates US FROM THE REST 45 + 12 C O M V I TA PAT E N T S ADDITIONAL GRANTED PAT E N T S P E N D I N G 109
Slide 110: Clinical Trials Underway
E X T E N D E D A D VA N TA G E Clinical Trials U N D E R W AY He rourou whai painga • A healthy NZ diet including Comvita Mānuka honey to improve metabolic health • $4M HVN programme • Comvita is a founding industry member OTHER research underway includes: 1. PFL® propolis for immunity 2. Impact of
Slide 111: International Science Advisory Board
I N T E R N AT I O N A L Science ADVISORY BOARD W O R L D - L E A D I N G G A S T R O E N T E R O L O G I S T S A N D D I G E S T I V E H E A LT H R E S E A R C H E R S
Slide 112: Comvita Lepteridine
COMVITA LEPTERIDINE® 3,6,7-trimethyllumazine
Slide 113: More Scientific Breakthroughs
MORE Scientific BREAKTHROUGHS • Comvita Lepteridine® • Unique natural compound found in Mānuka nectar and honey • Low molecular weight, drug-like structure • Multiple clinically relevant biological targets • Highly heat stable and in gastric and intestinal simulation model • Patent protected C O M V
Slide 114: Clinical Trials: Extending Our IP Advantage
E X T E N D I N G O U R I P A D VA N TA G E Clinical Trials • SOOTHE: Mānuka honey for digestive health • $1.3M investment over 2 years: $875K HVN grant CONNECTING • Proprietary treatment: Comvita Lepteridine® patented Mānuka honey CONSUMERS TO THE • Unique To Comvita • Ethics approved and recruitme
Slide 115: Only Nature Knows More
Only Nature Knows More C O M V I TA S BTUASKI N EEHSOSL DS ET R R AOTPEEGNY DSAEYS S I O N N O V E M B E R 2 0 2 2 115
Slide 116: Section 8: Comvita Forests
SECTION -8- Comvita Forests C O M V I TA B U S I N E S S S T R AT E G Y S E S S I O N N O V E M B E R 2 0 2 2 116
Slide 117: Forest Hypothesis Proven: Current 6,000 Hectares
FOREST HYPOTHESIS PROVEN CURRENT 6,000 C Hectares 2023 C O M V I TA B U S I N E S S S T R AT E G Y S E S S I O N N O V E M B E R 2 0 2 2
Slide 118: Targeting 20,000 Hectares by 2030
FOREST HYPOTHESIS PROVEN TA R G E T I N G 20,000 Hectares BY 2030 C O M V I TA B U S I N E S S S T R AT E G Y S E S S I O N N O V E M B E R 2 0 2 2
Slide 119: Supporting Biodiversity Regeneration
COMVITA REWILDING • Studies have now shown there is significant ecological improvement in biodiversity as a result of Mānuka forest planting by Comvita • Three to five years of regeneration, post planting, is long enough to support significant ecological improvement – measured in invertebrate densit
Slide 120: Potential Carbon Value
80,000 Estimated Value of Carbon Credits 70,000 60,000 50,000 tCO2 40,000 30,000 20,000 POTENTIAL Carbon 10,000 - 2022 2023 2024 2025 2026 2027 2028 2029 2030 VALUE I N V E N TO RY R E M OVA L VA LU E 2025 2028 2030 SPOT PRICE - $ $ 1.0M 2.4 $ M $3.8M TREASURY - $ $ 2.0M 6.0 $ M $10.5 M
Slide 121: Supply: Best Partner for Bees and Landowners
HIG HEST Q UALIT Y BEST LO W EST PART N ER FO R CO ST * BEES P R O F I TA B L E & S U S TA I N A B L E Supply BEST HEALT H & SAFET Y CONSUM ER FLEXIBLE SUPPLY & PRICING SYSTEM M O DEL BEST PART N ER FO R M O ST LAN DO W NE R S SUST AI N AB LE OPERAT O R 121 *FO R DELIVERED Q UALIT Y
Slide 122: Force for Good
SECTION -8- Force for Good 122
Slide 123: Harmony Plan
Harmony PLAN C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 124: C O M V I TA S TA K E H O L D
C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 125: Using Bees and Beekeeping to Support People and Wildlife in Kenya
Using Bees and Beekeeping to support people and wildlife in Kenya, training local Masai tribe how to keep bees for sustenance and funding education for Masai women Carlos Zevallos, Head of Apiculture Development NZ, providing on-the-ground Apiary training in Kenya C O M V I TA S TA K E H O L D E R O
Slide 126: C O M V I TA S TA K E H O L D
C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 127: Harmony Plan Partnership for Good
HARMONY PLAN Partnership FOR GOOD Comvita | Save The Kiwi • After discovering >20 breeding pairs thriving in Mānuka forests established by Comvita in 2021, we formed a Harmony Plan partnership with Save The Kiwi • Our mission is to develop progressively greater areas of kiwi-safe habitats • Our Kiwi
Slide 128: Time to Heal Programme
C O M V I TA Time to Heal PROGRAMME Comvita | Time to Heal • A global programme inspired by the healing power of nature. • All Comvita team members participate annually • A day away from the office, the store or the apiary, to make a difference in the community or our natural environment • Recent in
Slide 129: Connecting Consumers to the Healing Power of Nature
CONNECTING CONSUMERS TO THE HEALING POWER OF N AT U R E C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 130: Poised for Take Off
POISED FOR Poised for Take Off C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 131: Summary from Brett Hewlett, Chair
SUMMARY FROM Brett Hewlett C O M V I TA C H A I R C O M V I TA S TA K E H O L D E R O P E N D AY 131
Slide 132: Introducing Our Co-Founder Alan Bougen
INTRODUCING OUR Alan Bougen CO-FOUNDER C O M V I TA S TA K E H O L D E R O P E N D AY 132
Slide 133: Q&A
SCAN THE QR CODE WITH YOUR PHONE Login into Slido using the code and ask your question. #3809750 Q&A C O M V I TA S TA K E H O L D E R O P E N D AY
Slide 134: Scan the QR code
SCAN THE QR CODE WITH YOUR PHONE Login using the code: #3809750 C O M V I TA S TA K E H O L D E R O P E N D AY 134
Slide 135: Functional Hive Stations
FUNCTIONAL HIVE STATIONS C O M V I TA S TA K E H O L D E R O P E N D AY 135
Slide 136: Refreshment Break
REFRESHMENT BREAK C O M V I TA S TA K E H O L D E R O P E N D AY 136
Slide 137: Thank You
THANK YOU COM VITA.COM C O M V I TA S TA K E H O L D E R O P E N D AY