Slide 1: FY04 Results Presentation
Slide 2: Highlights for 2004
° Highlights for 2004 Legh Winser ¢ Financials Bryan Walsh ¢ Strategy, Growth & Acquisitions Legh Winser
Slide 3: Record Result - $12.2m PAT up 10%
Record Result - $12.2m PAT up 10% Second Half Growth in Operating Revenue of 9.1% Increase in EBIT margin to 6.8% - up 12.2% Acquisition, Cochrane’s Transport Strong Cash Generation New Contracts — Capral / Orrcon / Coca Cola
Slide 4: Financials
Slide 5: Financial summary 2004 vs 2003
2004 2003 % Operating Revenue $m 295.7 293.3 0.8% EBITA $m 34.1 29.9 14.1% EBIT $m 20.5 18.2 12.3% PAT $m 12.2 14.4 10.0% Earnings Per Share Cents 20.3 18.4 10.0% Dividends Per Share Cents 11.0 8.0 37.5% Gearing % 60.6 42.8 -41.6%
Slide 6: Operating Revenue
$M 325 5 300 + 275 4 250 + 225 4 200 4 175 4 150 Operating Revenue 293 267 251 224 296 2000 2001 2002 2003 2004
Slide 7: EBIT
13.3 18.2 14.4 20.5 2000 2001 2002 2003 2004
Slide 8: Profit after tax
$M 14 4 124 04 7.9 12.2 2000 2001 2002 2003 2004
Slide 9: Earnings per share
cents $0.300 $0.250 $0.200 $0.150 $0.100 $0.050 $0.187 EPS $0.184 $0.132 $0.102 $0.203 2000 2001 2002 2003 2004
Slide 10: Dividends Paid
cents 12.0 4 10.0 4 8.0 4 6.0 4 4.04 2.04 0.0 Dividends Paid 8.0 6.5 6.0 5.75 2000 2001 2002 2003 2004
Slide 11: K&S core expertise and offering
¢ K&S has been in business for over 55 years. * Core expertise is in the provision of supply chain solutions and the functions that can be leveraged off. ¢ Our offering includes:- — Land, sea & rail capabilities — Local transport — Warehousing — Supply chain IT and reporting capability
Slide 12: Key customers by industry
Metals Paper / Timber Smorgon PaperlinX Alcoa Norske Skog Capral Aluminium Laminex Crane Aluminium GTFP Orrcon Boral Bulk New Zealand Sugar Tenon Ltd QMag Fonterra Consumer Goods Nestle Australia VisyPak CUB ¢ The top 25 customers provide 73% of our revenue.
Slide 13: Strategy: long term alliances with key customers
¢ Our strategy is to develop long term alliances with key customers based upon evergreen contracts. ¢ Development of our supply chain capabilities, which allows us to expand our potential client base and increase yields for higher value services.
Slide 14: Partnerships and competitive tendering for growth
¢ Where appropriate we have entered into partnership arrangements with other transport and logistics providers to service the needs of major customers. ° We aggressively seek growth opportunities through competitive tendering in both Australia and New Zealand.
Slide 15: Targeting further acquisitions
¢ We continue to target further acquisitions where they meet our overall strategy and objectives. ¢ Clearly any potential target needs to have long term contracts underpinning their business which provides consistent revenues.
Slide 16: Investment and upgrade programs
¢ Investment and upgrade programs where innovation and IT form key components. ° A key part of our strategy is the common customers in New Zealand and Australia. ¢ We continually review our asset and equipment base.
Slide 17: Any Questions?