Australian Foundation Investment Co. Ltd. · ASX:AFI
Australian Foundation Investment — Investor Presentation (May 2025)
31 slides from Australian Foundation Investment's investor presentation, May 28, 2025
Slide 1: Evening Shareholder Information Meeting – Presentation
28 May 2025 The Manager ASX Market Announcements Australian Securities Exchange Exchange Centre Level 4 20 Bridge Street Sydney NSW 2000 For personal use only Electronic Lodgement Australian Foundation Investment Company Limited Evening Shareholder Information Meeting – Presentation Dear Sir / Madam
Slide 2: Shareholder Meeting
For personal use only Shareholder Meeting ASX: AFI ASX: DJW ASX: MIR ASX: AMH
Slide 3: Disclaimer
Disclaimer Australian Foundation Investment Company, Djerriwarrh Investments Limited, Mirrabooka Investments Limited and For personal use only AMCIL Limited and their service provider Australian Investment Company Services Limited (AICS) (AFSL 303209), their related entities and each of their respec
Slide 4: Long Term Asset Class Returns
Long Term Asset Class Returns For personal use only Sources: ABS, REIA, Global Financial Data, AMP Capital 3
Slide 5: Australian Equity Market Returns – A Long Term Perspective
Australian Equity Market Returns – A Long Term Perspective GFC 10000 -51% For personal use only Eastern Aust Drought -37% COVID-19 Poseidon Bubble -33% 1000 -35% Black Monday Korean War -44% World War II -34% -22% 100 '73-'74 Crash -58% 9.2% ASX All Ordinaries Accumulation Index CAGR since 1992 (inc
Slide 6: Where the market is currently trading against the long term
Where the market is currently trading against the long term ASX 200 Index Price Earnings Ratio ASX 200 Index Dividend Yield For personal use only Source: FactSet 5
Slide 7: Where the US market is currently trading against the long term
Where the US market is currently trading against the long term S&P500 Index Price Earnings Ratio S&P500 Index Dividend Yield For personal use only Source: FactSet 6
Slide 8: Market volatility – positioning for future opportunities
Market volatility – positioning for future opportunities Trump tariffs For personal use only • Trade negotiations are driving volatility in markets and share prices in the immediate term • Current policy uncertainty significantly affects business decision making • Consequential earnings downgrades s
Slide 9: Four funds with different investment objectives
For personal use only Diversified Australian and Fully franked yield that is Australian and New High conviction Managing four New Zealand Equities – higher than that available Zealand small/midcap portfolio, strong capital funds with different investment objectives capital and fully franked from the
Slide 10: We operate what is called The Traditional LIC Model
We operate what is called The Traditional LIC Model Internally managed – no external funds management business charging separate portfolio fees For personal use only Diversified portfolios that are tax aware with lower portfolio turnover and with lower volatility of returns Costs and tax paid have l
Slide 11: A Closer Look at our Investment Approach
A Closer Look at our Investment Approach Attributes of a high-quality company that we seek: Why this matters: For personal use only • Unique assets that are hard to replicate or have an • The presence of these factors drives a competitive Industry leadership position (or developing one) advantage •
Slide 12: Australian Foundation Investment Company Portfolio Performance and Dividend History
Australian Foundation Investment Company Portfolio Performance – to 30 April 2025 Recent Dividend History Cents per share For personal use only AFIC’s franking reserve balance (in part enabled by the LIC Per annum returns. Assumes the full benefit of franking credits. Only includes franking that has
Slide 13: Attractive Total Returns Over the Long-term
Attractive Total Returns Over the Long-term AFIC NTA vs S&P ASX 200 Accumulation Index $10k in AFIC $167k For personal use only $10k in the Index $138k Excludes the benefit of franking. 12
Slide 14: Portfolio Set to Perform in Most Economic Settings
Portfolio Set to Perform in Most Economic Settings Growth Companies Stalwarts For personal use only Cyclicals Income Portfolio at 30 April 2025, excludes cash. 13
Slide 15: Banking Sector - Valuations
Banking Sector - Valuations For personal use only Price Earnings Ratio - NTM Dividend Yield - NTM Source FactSet 14
Slide 16: CSL – the benefit of long-term investing
CSL – the benefit of long-term investing CSL - EPS vs Share Price • Specialist biotechnology company that For personal use only develops and manufactures therapies to treat serious chronic disease. • Market leadership position in plasma fractionation operating more efficiently than competitors. • Co
Slide 17: Recent Portfolio Activity
Recent Portfolio Activity* Purchases Sales For personal use only *Calendar Year 2025 16
Slide 18: Djerriwarrh: Enhanced Yield - April 2025
Djerriwarrh: Enhanced Yield - 30 April 2025* For personal use only *Assumes an investor can take full advantage of the franking credits. Yield based on the interim dividend and final dividend paid – in total 15.25 cents per share. Past performance is not indicative of future performance. 17
Slide 19: Djerriwarrh: Capital Growth - April 2025
Djerriwarrh: Capital Growth - 30 April 2025* Portfolio Per Annum Returns Portfolio Performance Since Strategy Reset For personal use only *Assumes an investor can take full advantage of the franking credits. Past performance is not indicative of future performance. 18
Slide 20: Portfolio Update: Summary
Portfolio Update: Summary Constructing a diversified portfolio of high-quality companies across different sectors and with the appropriate balance of Income and Growth is the key for Djerriwarrh to deliver on its Investment Objectives in a variety of market For personal use only conditions. Key Port
Slide 21: Mirrabooka Portfolio Performance – Per Annum Returns to April 2025
Mirrabooka Portfolio Performance – Per Annum Returns to 30 April 2025* For personal use only * Assumes an investor can take full advantage of the franking credits. Mirrabooka's portfolio return is also calculate after management fees, income tax and capital gains tax on realised sales of investments
Slide 22: Mirrabooka Rights Issue
Mirrabooka Rights Issue • 1 for 7 Rights Issue – Non Renounceable. Raising up to approximately $85 million. For personal use only • Issue price of $3.06* – approximately 5% discount to current share price. • New shares entitled to dividend of 6.5 cents with results in July^. Paid in August. • Shareh
Slide 23: Rationale for raising additional capital
Rationale for raising additional capital • Market volatility – we have seen greater opportunities arise in early 2025, positioning for more For personal use only • Replenishing capital – since our first special dividend in 2013, $81 mil paid out in cash dividends and Capital Gains Tax, net of capita
Slide 24: Greater investment opportunities – stock purchases in 2025 YTD
Greater investment opportunities – stock purchases in 2025 YTD $72 million of purchases across 40 stocks, largest below: For personal use only 3.20 100 15 3.00 90 14 2.80 80 13 2.60 70 12 2.40 11 60 2.20 10 50 2.00 9 40 8 1.80 3.20 50 10 3.00 45 9 2.80 40 35 8 2.60 30 2.40 7 25 2.20 20 6 2.00 23
Slide 25: Mirrabooka Top Holdings – April 2025
Mirrabooka Top 20 Holdings – 30 April 2025 % of % of Company Portfolio Ownership Period Company Portfolio Ownership Period 1 5.2% 8 yrs 2.3% 9.5 yrs 11* For personal use only 2* 4.4% 5 yrs 12 2.3% 1.5 years 3 4.0% 14.5 yrs 13 2.3% 7.5 yrs 4 3.6% 3 yrs 14 2.2% 4 yrs 5 3.5% 19.5 yrs 15* 2.0% 7.5 yrs 6
Slide 26: Mirrabooka’s track record – since inception return
Mirrabooka’s track record – since inception return $10k invested at Mirrabooka inception in April 1999 – dividends reinvested and franking credits refunded For personal use only 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0 Apr-99 Apr-04 Apr-09 Apr-14 Apr-19 Apr-24 Mirrabooka ($142,0
Slide 27: AMCIL Portfolio Performance – Per Annum Returns to April 2025
AMCIL Portfolio Performance – Per Annum Returns to 30 April 2025* For personal use only * Assumes an investor can take full advantage of the franking credits. AMCIL’s portfolio return is also calculated after management fees, income tax and capital gains tax on realised sales of investments. It shou
Slide 28: Recent Portfolio Activity
Recent Portfolio Activity* Purchases Sales For personal use only *Calendar Year 2025 27
Slide 29: AMCIL Top Holdings (update)
AMCIL Top 20 Holdings (update) % of % of Company Portfolio Ownership Period Company Portfolio Ownership Period 1 8.0% 13 yrs 11* 3.0% 5 yrs For personal use only 2 5.7% 7 yrs 12* 2.6% 3 yrs 3 4.7% 13* 5 yrs 2.6% 13 yrs 4* 4.5% 6 yrs 14* 2.4% 7 yrs 5 4.3% 21 yrs 15 2.4% 2 yrs 6* 4.3% 5 yrs 16* 2.2% 3
Slide 30: Share price relative to Net Asset Backing – April 2025
Share price relative to Net Asset Backing – 30 April 2025 For personal use only 29
Slide 31: For personal use only
For personal use only AUSTRALIAN FOUNDATION INVESTMENT COMPANY J * * ¢. MIRRA Inv BOOKA restments Limited
Australian Foundation Investment Company — Investor Presentation (May 2025) on 6ix