A2 Milk Company Limited · NZX:ATM
A2 Milk — The a2 Milk Company — FY2018 Earnings Presentation
25 slides from A2 Milk's earnings presentation, Aug 22, 2018
Slide 1: FY18 Annual Results
FY18 Annual Results A transformative year | 22 August 2018
Slide 2: Contents
Contents . ¢ Results highlights ¢ Strategic progress ¢ Regional performance ¢ Outlook
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Slide 6: Historic perspective
Historic perspective’ Group revenue (NZ$ million) 922.7 FYIS FYI6 FYI7 FY18 +40% — +127% += +56% 468% @H1 wH2 Group EBITDA? (NZ$ million) 283.0 48 FY15 FY16 FY17 FY18 435% +1035% +159% +101% @H1 BH2 Basic Earnings Per Share (cents) 27.0 4.4 FY16 1 The Company‘s financial year ends 30 June; 1H refers
Slide 7: Geographic and product segment performance
Geographic and product segment performance a Australia & China & Total Revenue NZ$ million New Zealand other Asia UK & USA” Corporate Group Liquid milk Revenue 656.6 233.6 32.4 = 922.7 $142.4m FY18 EBITDA’ 262.2 81.3 (27.6) (32.8) 283.0 EBITDA % 39.9% 34.8% NM - 30.7% +13.1% on pcp Infant nutrition
Slide 8: Reconciliation of non-GAAP measures
Reconciliation of non-GAAP measures NZ$ million FY18 FY17 Australia & New Zealand segment EBITDA 262.2 155.3 China & other Asia segment EBITDA 81.3 32.7 UK & USA segment EBITDA! (27.6) (22.5) Corporate EBITDA (32.8) (24.4) EBITDA? 283.0 141.2 Depreciation/amortisation (2.2) (2.7) EBIT? 280.9 138.5 N
Slide 9: Continued strong cash conversion
Continued strong cash conversion Group cash movement: FY18 (NZ$ million) +4.8 $3.8 340.5 436.1 WSS EE ee (4.8) (16.1) 121.0 Cash on hand Group NPAT — Working capital Investment in Investment in Depreciation, | FX and other Cash on hand (June-17) PPE & Synlait amortisation & (June-18) intangibles oth
Slide 10: Strategic progress
For personal use only 7 ‘ Strategic progress
Slide 11: Macro consumer trends support our momentum
Macro consumer trends support our momentum Growing consumer Food safety, naturalness Growing middle demand for health and and provenance class in Asia wellness products 11
Slide 12: How we are unique
How we are unique e e XN ! 7 . . . . -~7\_) Focussed investment in Single-minded focus () brand, IP and growth e e e e e e Unique, modern and r Capital-smart premium brand J approach e e e e Australia and New Zealand sourcing for Asia Pacific . ° Innovative and mo . oAo agile approach ‘A A 12
Slide 13: New products & markets
New products & markets a2 Milk™ powder into a2 Milk™ a2 Platinum® Stage 4 a2 Platinum® Pregnancy a2 Milk™ into NZ China and Vietnam into Singapore into ANZ and China! into ANZ and China! (July FY19) MESH a2 Platinum® into Hong Kong a2 Milk™ into SE and NE USA a2 Milk™ blended with Manuka honey into
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Slide 15: Regional performance
SS @ 2 Regional performance
Slide 16: FY18 regional performance overview
FY18 regional performance overview (NZ$ million) ANZ revenue China & Other Asia revenue UK & US revenue? 656.6 233.6 32.4 88.9 18.3 21.0 38.2 4.0 19 FY15 FY16 FYI7 FY18 FYI5 FYI6 FYI7 FYI8 FY15 FY16 FYI7 FY18 m1H m2H @1H@2H @1H 2H * Revenue: $656.6 million * Revenue: — $233.6 million * Revenue: $32.
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Slide 21: Outlook
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thea2milkcompany.com
Slide 25: Disclaimer
Disclaimer This presentation dated 22 August 2018 provides additional comment on the Annual Report for the twelve months ended 30 June 2018 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 con