Slide 1: AVI Limited presentation to shareholders & analysts for the year ended 30 June 2025
AVI Limited presentation to shareholders & analysts for the year ended 30 June 2025
Slide 2: Agenda
AGENDA Key features and results history Group financial results Performance Prospects Questions and answers
Slide 3: Key Features
KEY FEATURES Sound performance off a strong base in a weak demand environment Group revenue increased by 1,0% Group gross profit margin improved by 2,4% Fashion retail portfolio impacted by supply chain issues in first semester and closure of Green Cross retail I&J fishing performance impr
Slide 4: Key Features
KEY FEATURES Group operating profit for the year increased by 7,8% off 21,7% prior year growth Group operating margin improved by 6,7% Headline earnings per share up 6,1% to 729,1 cents Sustained robust cash generation Capital expenditure of R601,0 million Final dividend of 406 cents per
Slide 5: Results History: Operating profit history
RESULTS HISTORY Operating profit history 3 600 Operating profit history 3 562 3 400 264 3 200 3 305 157 3 000 241 341 2 800 2 715 2 523 2 600 2 552 2 334 2 540 2 385 2 409 355 220 2 400 328 303 202 230 200 2 200 2 155 366 395 233 1 294 R million 237 150 170 193 2 000 1 917 345 250 197 1 800 241 342
Slide 6: Results History: Return on capital employed
RESULTS HISTORY Return on capital employed 8 000 40% 7 000 35% 6 000 30% 5 000 R million 4 000 25% 3 000 20% 2 000 15% 1 000 0 10% F15 F16 F17 F18 F19 F20 F21 F22 F23 F24 F25 Net operating profit after tax Average capital employed ROCE (%) High return maintained in challenging environment
Slide 7: Results History: Cash conversion
RESULTS HISTORY Cash conversion 4 500 120% 4 000 100% 3 500 3 000 80% 2 500 R million 60% 2 000 1 500 40% 1 000 20% 500 0 0% F15 F16 F17 F18 F19 F20 F21 F22 F23 F24 F25 EBITDA Cash generated by operations Cash to EBITDA (%) Sustained strong conversion of earnings to cash
Slide 8: Results History: Dividend yield
RESULTS HISTORY Dividend yield 14,0% 12,0% 12,0% 10,1% 10,0% 9,2% 7,7% 7,4% 8,0% 7,1% 6,7% 6,4% 6,5% 6,3% 7,0% 6,2% 5,8% 6,2% 6,1% 6,0% 5,2% 4,9% 4,5% 4,1% 4,5% 4,3% 4,5% 3,7% 4,0% 4,4% 4,1% 3,8% 4,0% 4,0% 2,8% 2,0% 0,0% F05 F06 F07 F08 F09 F10 F11 F12 F13 F14 F15 F16 F17 F18 F19 F20 F21 F22 F23 F24
Slide 9: Results History: Returns to shareholders
RESULTS HISTORY Returns to shareholders 3 500 3 000 2 913 2 500 2 364 938 2 253 2 098 2 000 823 926 R million 1 704 1 606 1 531 1 500 1 360 1 368 1 354 639 1 197 1 322 1 361 1 000 870 550 953 789 1 975 1 606 270 621 1 322 1 430 1 368 1 354 1 438 1 531 319 500 318 227 953 1 065 1 197 229 231 263 301
Slide 10: Group Financial Results
AN | Group Financial Results RUSKS CARAMELISED OATS
Slide 11: Group Financial Results: Income statement
GROUP FINANCIAL RESULTS Income statement F25 F24 %∆ Rm Rm Revenue 16 021,5 15 862,3 1,0 Cost of sales (9 184,0) (9 248,9) (0,7) Gross profit 6 837,5 6 613,4 3,4 Gross profit margin % 42,7 41,7 2,4 Selling and administrative expenses (3 275,6) (3 308,8) (1,0) Operating profit 3 561,9 3 304,6 7,8 Oper
Slide 12: Change in operating profit F25 vs F24
GROUP FINANCIAL RESULTS Change in operating profit F25 vs F24 350 316 300 257 242 250 200 161 R million 150 96 100 74 50 37 41 50 24 4 0 (50) (26) (21) (33) (44) (42) (100) (63) (77) Entyce Beverages Snackworks I&J Personal Care Footwear & Apparel AVI Group H1 H2 FY Strong growth in operating prof
Slide 13: Business unit financial results
GROUP FINANCIAL RESULTS Business unit financial results Segmental Segmental Operating Revenue Operating Profit Margin F25 F24 Δ F25 F24 Δ F25 F24 Rm Rm % Rm Rm % % % Food & Beverage brands 13 478,0 13 082,5 3,0 3 151,1 2 770,7 13,7 23,4 21,2 Entyce Beverages 5 298,4 5 025,4 5,4 1 615,9 1 300,1 24,3
Slide 14: Movement in group revenue
GROUP FINANCIAL RESULTS Movement in group revenue 17 400 17 000 16 600 16 200 R million 15 800 15 400 15 000 15 862 1 255 (1 095) 16 022 F24 Price/Mix Volume F25 Price increases across the group to recover input cost pressures and protect margins Volume declines across all core categories with b
Slide 15: Gross profit margin
GROUP FINANCIAL RESULTS Gross profit margin 60% 50% 42,7% 41,7% 39,8% 39,0% 39,0% 40% 38,6% 30% 20% F20 F21 F22 F23 F24 F25 Increase in gross profit margins largely driven by Entyce with margins across the rest of the business sustained Ongoing focus on cost control, efficiency initiatives, disc
Slide 16: Restructuring initiatives
GROUP FINANCIAL RESULTS Restructuring initiatives Once-off Savings realised Net benefit/(cost) Annualised Restructuring in F25 Rm benefit Cost Rm Rm Rm Entyce & (28,1) 10,9 (17,2) 45,9 Snackworks Indigo (3,5) 1,0 (2,5) 6,0 Spitz (7,4) 3,2 (4,2) 16,1 Shared (3,0) 2,0 (1,0) 8,1 Services Group (42,0) 1
Slide 17: Operating profit 7,8% up
GROUP FINANCIAL RESULTS Operating profit 7,8% up 4 000 3 500 3 000 R million 2 500 2 000 1 500 3 305 316 24 41 (63) (77) 16 3 562 F24 Entyce Snackworks I&J Personal Footwear & Other F25 Care Apparel Entyce: Improved performance off strong base supported by growth in tea, coffee and creamer Snack
Slide 18: Cash flow, gearing and return on capital
GROUP FINANCIAL RESULTS Cash flow, gearing and return on capital F25 F24 % Rm Rm Cash generated by operations 3 985,8 3 778,3 5,5 Cash / EBITDA % 96,1 98,1 (2,0) Working capital to revenue % 25,6 24,2 5,8 Capital expenditure (601,0) (476,5) 26,1 Cash from Investments – proceeds from joint venture 2
Slide 19: Capital expenditure
GROUP FINANCIAL RESULTS Capital expenditure H1 F25 H2 F25 Full Year F25 Actual Actual Actual Rm Rm Rm Tea packaging line replacements and upgrades 6 8 14 Biscuit line upgrades and improvements 26 13 39 Water backup and treatment 14 24 38 Distribution vehicle additions and replacements 14 13 27 I&J V
Slide 20: Dividends
GROUP FINANCIAL RESULTS Dividends F25 F24 % Rm Rm Interim dividend – cps 220,0 202,0 8,9 Final dividend - cps 406,0 388,0 4,6 Normal dividend – cps 626,0 590,0 6,1 Dividend yield - %* 6,7 6,2 8,1 Special dividend - cps - 280,0 Total dividend yield - %* 6,7 9,2 (27,2) Normal dividend cover ratio 1,1
Slide 21: Performance: Beverages
BEVERAGES ba ooo PS eS. Gi) swans Performance HOUSE OF COFFEES
Slide 22: Entyce Beverages income statement: Tea
Income statement F25 F24 % Rm Rm Revenue 5 298,4 5 025,4 5,4 Operating profit 1 615,9 1 300,1 24,3 Operating profit margin % 30,5 25,9 17,8 Improvement in Tea profit off a strong base Price increases across both black tea and rooibos to ameliorate inflationary cost pressures Sales volumes pre
Slide 23: Income statement: Coffee
Income statement F25 F24 % Income statement Rm Rm Revenue 5 298,4 5 025,4 5,4 Operating profit 1 615,9 1 300,1 24,3 Operating profit margin % 30,5 25,9 17,8 Strong Coffee profit growth across all segments Significant selling price increases required to recover higher Robusta and Arabica prices
Slide 24: Income statement: Creamer
Income statement F25 F24 % Rm Rm Revenue 5 298,4 5 025,4 5,4 Operating profit 1 615,9 1 300,1 24,3 Operating profit margin % 30,5 25,9 17,8 Creamer profit growth, notwithstanding strong prior year base Selling price increases taken in response to input cost pressures Sales volume lower with p
Slide 25: Sales volume and selling prices
Sales volume and selling prices %Δ %Δ F25 vs F25 H2 vs Comments F24 F24 H2 Tea revenue growth 7,6 6,3 Volume (5,6) (4,2) Declines in both black tea and rooibos volumes with growth in informal channels Ave. selling price 13,9 10,9 Price increases taken last year and in August 2024 on both black tea a
Slide 26: Market shares – 12 months value
Market shares – 12 months value 60,0% 54,1% 51,8% 50,0% 46,8% 42,5% 40,0% 29,5% 29,3% 30,0% 20,0% 17,1% 16,5% 17,8% 16,5% 10,0% 0,0% Five Roses Freshpak Frisco Ellis Brown Trinco F24 F25 Short term market shares reflect targeted price / volume balance in volatile market Market share reflects for
Slide 27: Raw material costs
Raw material costs Cost impact of raw materials and commodities consumed in the period (F25 vs F24): 80 75 60 40 R million 16 19 20 11 7 0 (20) (17) (40) Casein Black tea Palm oil Glucose Rooibos Arabica / Robusta / Chicory Impact net of hedging
Slide 28: Performance: Snackworks
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Slide 29: Income statement: Biscuits
Income statement F25 F24 % Rm Rm Revenue 5 611,8 5 597,9 0,2 Operating profit 1 294,4 1 270,9 1,8 Operating profit margin % 23,1 22,7 1,8 Increase in Biscuit profit off a strong base supported by improved second semester performance Selling price increases to recover input cost pressures and pr
Slide 30: Income statement: Snacks
Income statement F25 F24 % Rm Rm Revenue 5 611,8 5 597,9 0,2 Operating profit 1 294,4 1 270,9 1,8 Operating profit margin % 23,1 22,7 1,8 Decline in Snacks profit off a strong prior year base Sustained aggressive competitor activity impacted maize extruded snacks volumes Weather related suppl
Slide 31: Sales volume and selling prices
Sales volume and selling prices %Δ %Δ F25 vs F25 H2 vs Comments F24 F24 H2 Biscuits revenue (0,2) 1,5 decline Volume (6,1) (4,3) Sustained high selling prices and constrained consumer demand partly offset by benefits of innovation Ave. selling prices 6,3 6,1 Impact of price increases taken in last y
Slide 32: Market shares – 12 months value
Market shares – 12 months value 40,0% 37,3% 35,4% 35,0% 30,0% 25,0% 20,0% 15,8% 14,8% 15,0% 13,4% 12,7% 10,0% 5,0% 0,0% Bakers (Sweet) Bakers (Savoury) Willards F24 F25 Balanced price / volume Market share reflects formal retail only Increased contribution from wholesale channels
Slide 33: Raw material costs
Raw material costs Cost impact of raw materials and commodities consumed in the period (F25 vs F24): 15 13 12 10 9 7 5 4 3 R million 0 (3) (5) (10) (9) Flour Maize Palm oil Coconut Potatoes Cocoa Butter Sugar Impact net of hedging
Slide 34: Performance: I&J
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Slide 35: Income statement: Fishing
Income statement F25 F24 % Rm Rm Revenue 2 567,8 2 459,2 4,4 Operating profit 240,8 199,7 20,6 Operating profit margin % 9,4 8,1 16,0 Improved fishing profits Higher selling prices supported by the benefit from realised exchange rates on export sales Catch rates improved but still below the h
Slide 36: Income statement: Abalone
Income statement F25 F24 % Income statementRm Rm Revenue 2 567,8 2 459,2 4,4 Operating profit 240,8 199,7 20,6 Operating profit margin % 9,4 8,1 16,0 Abalone - difficult year with lower profit Core Asian markets challenged by weaker demand and resulting over supply Increased discounting and
Slide 37: Operating profit
Operating profit 350 330 310 290 270 R million 250 230 210 190 170 150 200 33 28 8 6 35 (66) (3) 241 Catch rate Currency New vessel Fuel Non - Abalone OP Other F24 impact recurring F25 restructuring and BBBEE cost Catch rate improvement primarily driven by the wet fleet with freezer fleet catch ra
Slide 38: Profit history
Profit history 470 417 420 398 380 67 370 98 345 71 317 305 320 350 347 69 309 123 241 270 300 236 R million 0 268 220 248 236 199 197 170 89 39 182 158 120 110 70 20 (2) (27) (30) F16 F17 F18 F19 F20 F21 F22 F23 F24 F25 Fishing Abalone Improved fishing performance with better catch rates but well
Slide 39: Fishing performance
Fishing performance 12,0 9,9 10,1 10,0 9,5 9,4 9,0 9,2 8,5 8,3 8,4 8,1 7,9 Hake tons per sea day 8,0 7,5 6,0 4,0 2,0 0,0 F14 F15 F16 F17 F18 F19 F20 F21 F22 F23 F24 F25 I&J catch rate Average catch rate F14 - F25 Improvement in wet vessels catch rates partly offset by declines in freezer vessel ca
Slide 40: Sales volume and selling prices (Hake)
Sales volume and selling prices (Hake) %Δ %Δ F25 vs F25 H2 vs Comments F24 F24 H2 I&J Domestic revenue growth 2,9 4,9 Volume (1,7) (0,4) Competitor activity, and constrained consumer environment impacting demand in retail and food service Ave. selling prices 4,8 5,3 Price increases taken to mitigate
Slide 41: Performance: Personal Care
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Slide 42: Income statement: Personal Care
Income statement F25 F24 % Rm Rm Revenue 924,3 1 022,5 (9,6) Operating profit 156,7 220,0 (28,8) Operating profit margin % 17,0 21,5 (20,9) Indigo profit decline Deodorant, body spray and fragrance categories impacted by falling category demand in weak discretionary income environment Aggress
Slide 43: Sales volume and selling prices
Sales volume and selling prices %Δ Comments F25 vs F24 Personal Care revenue decline (9,6) Volume (8,8) Volumes declined due to constrained demand and aggressive competitor pricing Ave. selling price (0,9) Increased levels of discounting in H1 with February 2025 price increases to recover higher cos
Slide 44: Market shares – 12 months value
Market shares – 12 months value 45,0% 40,0% 38,6% 37,8% 35,0% 32,0% 32,9% 30,0% 25,0% 20,0% 15,0% 10,0% 5,0% 3,8% 3,8% 0,0% Roll on Body sprays - Female Body sprays - Male F24 F25 Balanced price / volume in constrained and competitive environment Female portfolio decline reflects reduced Yardley
Slide 45: Footwear and Apparel Performance
FOOTWEAR AND APPAREL Performance
Slide 46: Footwear and Apparel income statement
FOOTWEAR AND APPAREL Income statement F25 F24 % Rm Rm Revenue 1 619,2 1 757,3 (7,9) Operating profit 263,7 340,8 (22,6) Operating profit margin % 16,3 19,4 (16,0) Operating profit decline due to lower volumes Selling prices increased to ameliorate input cost pressures, including higher freight
Slide 47: Sales volume and selling prices
FOOTWEAR AND APPAREL Sales volume and selling prices %Δ %Δ F25 vs F25 H2 vs Comments F24 F24 H2 Spitz and Kurt Geiger Footwear (4,8) (1,1) revenue decline Volume (14,3) (6,4) Volume declines due to constrained consumer environment and supplier challenges on core Carvela ranges in H1 Ave. selling pri
Slide 48: International Performance
AN | International Performance FLAVOURED POTATOCH CEYLON BLEND TEA
Slide 49: International operating profit history
INTERNATIONAL Operating profit history 400 350 336 313 301 300 271 273 253 250 213 R million 194 197 189 200 159 150 129 132 103 92 100 50 - F11 F12 F13 F14 F15 F16 F17 F18 F19 F20 F21 F22 F23 F24 F25 Robust performance across subsidiary markets offset by decline in Mozambique exports Profit gro
Slide 50: International non-RSA sales
INTERNATIONAL Entyce, Snackworks and Indigo – Non RSA sales F25 F24 % Rm Rm International Revenue 1 272,8 1 276,4 (0,3) % of Grocery and Personal Care brands 10,8 11,0 (1,8) International Operating Profit 335,9 312,9 7,4 % of Grocery and Personal Care brands 11,0 11,2 (1,8) % % International Operat
Slide 51: F26 Prospects
AN | F26 Prospects RUSKS CARAMELISED OATS
Slide 52: Prospects for F26
AVI GROUP Prospects for F26 Sustain profitability for Entyce, Snackworks and Indigo in difficult trading environment Anticipate consumer demand will continue to be impacted by low growth and high unemployment Ongoing failure of critical municipal infrastructure a challenge and risk Increased
Slide 53: Prospects for F26
AVI GROUP Prospects for F26 Sustain profitability for Entyce, Snackworks and Indigo in difficult trading environment Commodity and foreign exchange exposures will continue to be managed in a disciplined way to protect margins Commodity and currency hedge positions secured provide cost certaint
Slide 54: Prospects for F26
AVI GROUP Prospects for F26 I&J’s prospects dependent on improved fishing, fuel prices and exchange rates Acquisition of freezer vessel commenced fishing in February 2025 and will provide capacity and benefits in F26 Exchange rates hedged at better rates that support improved export profitabil
Slide 55: Prospects for F26
AVI GROUP Prospects for F26 Footwear and Apparel Christmas trading material to F26 Ongoing price/volume management essential through tough demand cycle and ongoing discounts Prior year supply chain disruptions not a factor in H1 Non-repeat of the Green Cross closure should support an impro
Slide 56: Prospects for F26: Capital expenditure
AVI GROUP Prospects for F26 Approved and Planned Projects Rm Tea packaging line replacements and upgrades 28 Isando biscuit line upgrades/innovation 35 Westmead biscuit line upgrades 22 I&J processing plant replacements and upgrades 52 I&J Vessel dry-docks and upgrades 68 Retail store relocations, r
Slide 57: Investor proposition
AVI GROUP Investor proposition Ability to adapt to changing macro environment: Ongoing simplification of business model Group initiatives – innovation structure, margin management, procurement, cost savings and production efficiencies Focus on scalable and relevant innovation for constrained
Slide 58: Questions
AN | Questions RUSKS CARAMELISED OATS
Slide 59: Revenue 1,0% up
INFORMATION SLIDES Revenue 1,0% up 16 300 16 200 16 100 16 000 R million 15 900 15 800 15 700 15 600 15 862 273 14 109 (98) (138) 16 022 F24 Entyce Snackworks I&J Personal Footwear & F25 Care Apparel Entyce: Growth in tea and coffee partly offset by lower creamer sales with benefits from prior yea
Slide 60: Commodity cost achievement relative to market prices
INFORMATION SLIDES Commodity cost achievement relative to market prices * 200,0% 180,0% 160,0% 140,0% 120,0% 100,0% 80,0% 60,0% 40,0% 20,0% 0,0% Robusta Glucose Arabica Casein Palm Oil Tea Sugar Flour Maize Potatoes Butter Coconut Cocoa & Chicory Price achieved F25 Market price at 7 Aug 2025 Average
Slide 61: Gross profit 3,4% up
INFORMATION SLIDES Gross profit 3,4% up 7 100 7 000 6 900 6 800 R million 6 700 6 600 6 500 6 400 6 613 365 (7) 23 (74) (82) 6 838 F24 Entyce Snackworks I&J Personal Footwear & F25 Care Apparel Entyce: Revenue growth with improved margins supported by factory efficiencies, effective cost control,
Slide 62: Marketing expenditure
INFORMATION SLIDES Marketing expenditure 16,0% 14,0% 13,3% 13,6% 12,0% 10,0% % of Revenue 8,1% 7,9% 8,0% 7,1% 7,4% 5,8% 6,1% 5,7% 5,8% 5,6% 5,9% 6,0% 4,2% 3,9% 4,0% 2,9% 1,9% 2,0% 0,0% F24 F25 Total expenditure for F25 of R880,3 million compared to R839,7 million in F24 Increase in total spend f
Slide 63: Capital expenditure and depreciation
INFORMATION SLIDES Capital expenditure and depreciation (excl. depreciation on right-of-use assets) 700 600 601 500 546 482 477 473 400 415 R million 420 394 388 408 411 390 377 388 388 374 300 316 200 241 100 - F17 F18 F19 F20 F21 F22 F23 F24 F25 Capital expenditure Depreciation charge Ongoing in
Slide 64: Cash flows
INFORMATION SLIDES Cash flows 6 000 5 000 4 000 R million 3 000 Fix this gap 2 000 1 000 - 4 217 835 23 (220) (892) (601) (9) (151) (227) (2 037) ( 938) Cash from Increase in Proceeds Working Taxation Capital Intangible Lease Net interest Ordinary Special operations net debt from JV capital and expe
Slide 65: Foreign exchange hedges
INFORMATION SLIDES Foreign exchange hedges September 2025 to January 2026 to December 2025 June 2026 % Cover % Cover USD imports 89% 24% EUR imports 61% 3% USD exports 68% 34% EUR exports 45% 44% Consistent hedging philosophy provides stability to manage gross profit margins
Slide 66: I&J period end fair value adjustments
INFORMATION SLIDES I&J period end fair value adjustments F25 F24 Actual Actual Rm Rm Rm Fuel hedge unrealised loss / (gain) 3,0 (13,1) 16,1 Opening mark-to-market asset / (liability) 0,3 (12,8) Closing mark-to-market (liability) / asset (2,7) 0,3 Abalone – decrease in unrealised profit in stock 38
Slide 67: I&J fishing quota
INFORMATION SLIDES I&J fishing quota CY18 CY19 CY20 CY21 CY22 CY23 CY24 CY25 Quota (tons) RSA Total Allowable 133 120 146 430 146 430 139 119 132 163 138 772 145 698 151 739 Catch (TAC) % change in (5,0) 10,0 - (5,0) (5,0) 5,0 5,0 4,1 TAC I&J 36 013 39 517 39 517 37 543 34 143 35 850 37 365 38 920 %
Slide 68: Trading space and trading density
INFORMATION SLIDES Trading space and trading density Footwear and apparel F25 F24 Number of stores 101 111 Turnover (Rm) 1 619,2 1 757,3 Average m2 22 892 23 404 Trading Density (R/m2) 70 732 75 085 Closing m2 22 191 23 199 Like-for-like metrics* F25 F24 Number of stores 95 95 Turnover (Rm) 1 389,6
Slide 69: Trading space and trading density excluding Green Cross
INFORMATION SLIDES Trading space and trading density excluding Green Cross Footwear and apparel F25 F24 Number of stores 97 98 Turnover (Rm) 1 524,6 1 613,2 Average m2 21 518 21 587 Trading Density (R/m2) 70 852 74 730 Closing m2 21 542 21 631 Like-for-like metrics* F25 F24 Number of stores 92 92 Tu
Slide 70: Trading density – Footwear and apparel stores
INFORMATION SLIDES Trading density – Footwear and apparel stores 80 000 35 000 70 000 30 000 60 000 25 000 50 000 20 000 R/m2 40 000 m2 15 000 30 000 10 000 20 000 10 000 5 000 - - F17 F18 F19 F20 F21 F22 F23 F24 F25 Trading density (R/m2) Average trading space (m2) Closed 12 stores in the last 12