Inghams Group Ltd. · ASX:ING
Inghams — FY2025 Earnings Presentation
37 slides from Inghams's earnings presentation, Aug 22, 2025
Slide 1: FY25 Financial Results Presentation
FY25 FINANCIAL RESULTS PRESENTATION 22 AUGUST 2025 Bostock Brothers farm, Hawke’s Bay, New Zealand
Slide 2: FY25 Results Webcast
FY25 RESULTS WEBCAST This presentation accompanies the live webcast to be hosted by Ed Alexander (CEO & MD), Gary Mallett (CFO) and Anne Marie Mooney (COO), which is scheduled for 10.00am AEST on 22 August 2025. To register and join the webcast, please use the following link: ➢ https://meetings.lumi
Slide 3: Disclaimer
DISCLAIMER Important notice The material in this presentation is general background information about the activities of Inghams Group Limited (Inghams) and its subsidiaries (Inghams Group), and is current at the date of this presentation, unless otherwise noted. The content is information given in s
Slide 4: Acknowledgement of Country
ACKNOWLEDGEMENT OF COUNTRY We respectfully acknowledge the traditional owners both past and present, as custodians of this land we are meeting on today. FY25 Results Presentation | 22 August 2025 Artist: Kelly Taylor www.ktaboriginalfineart.store 4
Slide 5: FY25 Highlights
FY25 HIGHLIGHTS Ed Alexander Chief Executive Officer & Managing Director Broiler farm, Queensland
Slide 6: FY25 Executive Overview
FY25 EXECUTIVE OVERVIEW Tight cost control and feed cost savings offset Woolworths transition and Q4 weakness ➢ Underlying EBITDA pre AASB 16 stable at $236.4M vs PCP despite customer changes and softer 4Q market conditions • Group core poultry volume declined 1.4%; Net Selling Price (NSP)($/kg) gro
Slide 7: FY25 Key Financial Highlights
FY25 KEY FINANCIAL HIGHLIGHTS Stable EBITDA despite market headwinds - strong NZ growth offsets Australian challenges Group Australia New Zealand Core Poultry volume (kt) 461.2 388.0 73.2 Change on PCP* (%) (1.4) (2.5) 5.2 Core poultry net selling price ($/kg) 6.31 6.35 6.72 1 Change on PCP* (%) 0.5
Slide 8: Volume Performance Analysis
VOLUME PERFORMANCE ANALYSIS Core Poultry Volumes down 1.4% with divergent AU & NZ trends ▪ FY25 core poultry volume declined -1.4% versus PCP: - Australian volume declined (-2.5%) due mainly to lower Retail and Wholesale CORE POULTRY VOLUME (KT) volume performance - NZ volume growth of +5.2% versus
Slide 9: Net Selling Price
NET SELLING PRICE Modest NSP/kg growth masks significant Wholesale pricing pressure ▪ Group core poultry NSP/kg increased 0.5% versus PCP to $6.31 ‐ Contribution to Group NSP/kg growth from the acquisition of BBL of GROUP CORE POULTRY NET SELLING PRICES ($/KG) 32bp (~2.0 cents/kg) ‐ Retail NSP/kg in
Slide 10: Challenging Second Half Conditions
CHALLENGING SECOND HALF CONDITIONS Q4 market deterioration and customer mix shift impact margins Australian Retail & Wholesale Net Selling Price Australia (AU) – Challenging demand environment with operational Cumulative quarterly change 4Q24 to 4Q25 disruptions 6% ▪ Replaced majority of lost Woolwo
Slide 11: Financial Results
FINANCIAL RESULTS Gary Mallett Chief Financial Officer Broiler farm, Queensland
Slide 12: Profit & Loss
PROFIT & LOSS Revenue decline offset by strong cost management ▪ Core Poultry volume declined 1.4% versus PCP, an improvement on 1H25 (-2.7%) with As Reported FY25 FY241 Variance % FY24 (Post AASB 16) ($M) (53 week) Australia -2.5% (1H25: -4.1%) and New Zealand +5.2% (1H25: +5.0%) ▪ Revenue declined
Slide 13: Balance Sheet
BALANCE SHEET Working capital growth and AASB 16 drive Balance Sheet changes $M Jun-25 Jun-24 Variance ▪ Inventories/Biologicals increased $18.0M, including: Inventories/Biologicals1 429.2 411.2 18.0 ‒ Processed poultry inventory increased $22.2M due to growth Receivables1 288.8 237.7 51.1 predomina
Slide 14: Strong Operating Cash Flow
STRONG OPERATING CASH FLOW ($M) Cash flows from operating activities FY25 FY241 Variance Receipts from customers 3,223.6 3,391.2 (167.6) Payments to suppliers & employees (2,853.7) (2,938.1) 84.4 369.9 453.1 (83.2) ▪ Cash conversion ratio remained strong at 96.9%, slightly lower than Interest receiv
Slide 15: Capital Expenditure
CAPITAL EXPENDITURE Investment program balances maintenance and growth initiatives ▪ Sustaining capex Stay-in-Business capex spend of $61.6M, 99.5% of depreciation pre AASB 16 ($61.9M), includes Osborne Park water treatment plant and live bird holding, Sorell carbon neutral expansion and Murarrie pr
Slide 16: Net Debt and Leverage
NET DEBT AND LEVERAGE Leverage within target range at 1.8x despite increased net debt Group Net Debt and Leverage Debt maturity profile ($M) (Underlying; pre AASB 16) 600 2.5 2.0x 500 1.8x 1.8x 1.7x 2.0 1.5x 400 1.3x 1.4x 1.2x 1.5 300 0.7x 1.0 200 0.5 300 445 100 298.0 145.0 263.8 314.7 240.2 267.3
Slide 17: Capital Management Outcomes
CAPITAL MANAGEMENT OUTCOMES Disciplined approach to capital allocation and shareholder returns NET INTEREST, TAX AND CASHFLOW FROM OPERATIONS CASHFLOW FOR INVESTING ACTIVITIES LEASE PAYMENTS FY25 Cash realisation Investing & dividends Service obligations outcomes SUSTAINING CAPITAL1 $61.6 million An
Slide 18: Feed Market Observations
FEED MARKET OBSERVATIONS Commodity price moderation continues to support cost reduction LONG TERM WHEAT & SOYMEAL EXTERNAL MARKET PRICING1 ($A PER METRIC TONNE) 800 Internal feed cost mostly contains cereal grains, 1 protein meals, vitamins and minerals 700 Wheat ($A) CME Soy ($A) 600 Inghams’ feed
Slide 19: Segment Performance
SEGMENT PERFORMANCE Ed Alexander Chief Executive Officer & Managing Director Broiler farm, New Zealand
Slide 20: Australia
AUSTRALIA EBITDA down 3.4% due to shift to lower-margin mix ($M) FY25 FY241 Variance % FY24 (53 week) and demand softness Core Poultry volume (kt) 388.0 398.1 (10.1) (2.5) 405.5 ▪ Core Poultry volume declined 2.5% versus the PCP – Lower volumes across Retail, Quick Service Restaurant (QSR), Total Po
Slide 21: New Zealand
NEW ZEALAND Strong 14.3% EBITDA growth driven by market (A$M) FY25 FY241 Variance % FY24 dynamics and BBL integration (53 week) Core Poultry volume (kt) 73.2 69.6 3.6 5.2 70.9 ▪ Core Poultry volume increased 5.2% versus PCP, supported by the BBL Total Poultry volume (kt) 86.2 83.5 2.7 3.2 85.1 acqui
Slide 22: Operations & Sustainability
OPERATIONS & SUSTAINABILITY Anne Marie Mooney Chief Operations Officer Essington Distribution Centre, South Australia
Slide 23: Network Investment Blueprint
NETWORK INVESTMENT BLUEPRINT Strategic investment program to drive efficiency and growth ▪ Supports our strategic imperatives ‐ Expanding capacity ‐ Improving efficiency ‐ Supporting value growth ▪ Primary processing investments across Murarrie, Bolivar and Somerville facilities ‐ Multi-year program
Slide 24: Osborne Park "One Touch" Project
OSBORNE PARK "ONE TOUCH" PROJECT Introducing automated cut-up processing capability to increase speed and reduce bottlenecks Investment Year-1 ROIC Vertical Form Fill Seal machine ~$12 million ~25%+ Scope ▪ New Big Bird and Small Bird overhead cut-up lines ▪ KFC Fast Food Line and Vertical Form Fill
Slide 25: Murarrie Productivity Enhancement Project
MURARRIE PRODUCTIVITY ENHANCEMENT PROJECT Plant upgrades and implementing higher levels of automation Investment Year-1 ROIC Breast Deboner ~$40 million ~20%+ Scope ▪ Implementation of three new automated cut-up lines with in-line thigh deboning ▪ Four breast de-boning lines ▪ One 9-Cut KFC line ▪ O
Slide 26: Te Aroha (NZ) QSR Automation
TE AROHA (NZ) QSR AUTOMATION QSR cut-up line supporting future segment growth Investment Year-1 ROIC Expected Completion ~$3.6 million ~10%+ 1H FY26 Scope ▪ System produces 9-cut chicken for QSR customers, and half birds for retail market ▪ Replacing 4 circular auto-saws with a ‘overhead’ cut up lin
Slide 27: Sustainability
SUSTAINABILITY Industry leadership in Safety, Animal Welfare and Environment ▪ Continued Safety improvements across the business, with our Total Recordable Injury Key FY25 outcomes Frequency Rate (TRIFR) declining by 3.6% ▪ Maintained 100% RSPCA Approved (AU) and SPCA Certified (NZ) certifications f
Slide 28: Outlook & Guidance
OUTLOOK & GUIDANCE Ed Alexander Chief Executive Officer & Managing Director HatchTech HatchCare - Hatchery
Slide 29: Outlook & Guidance
OUTLOOK & GUIDANCE Underlying EBITDA (pre AASB 16) expected between $215-230M FY26 Guidance1 with cost-out and foundations for future growth ▪ FY26 Underlying EBITDA (pre AASB 16) expected between $215.0M ▪ FY25 - A Year of Significant Change and $230.0M ‐ Strengthened and diversified key Australian
Slide 30: Appendix
APPENDIX Free range broiler farm, Waikato region, New Zealand
Slide 31: AASB Lease Impact
APPENDIX: AASB 16 LEASE IMPACT Balance Sheet: Balance Sheet $M FY25 AU NZ FY24 Land & Buildings 738.2 611.5 126.6 776.4 ▪ Land and Buildings: Inghams has a large leased property portfolio. Growers 52.1 41.6 10.5 240.2 Average term remaining on the portfolio is 11.5 years Equipment 18.7 7.9 10.8 15.1
Slide 32: AASB Profile
APPENDIX: AASB 16 PROFILE Right-of-use Assets $M Grower Lease Liability $M Grower Land & Buildings/Other Land & Buildings/Other 501 487 602 516 462 476 445 446 259 240 52 59 828 859 858 830 972 945 928 923 888 792 757 855 FY20A FY21A FY22A FY23A FY24A FY25A FY26F FY27F FY28F FY29F FY30F FY20A FY21A
Slide 33: Profit & Loss Reconciliation
APPENDIX: PROFIT & LOSS RECONCILIATION Excluded from FY25 AASB 16 FY25 Underlying FY24 Underlying FY24 Underlying Profit & Loss $M FY25 (pre AASB 16) underlying Underlying Leases (pre AASB 16) (pre AASB 16)1 As-Reported (53 weeks) Core Poultry volume (kt) 461.2 461.2 461.2 467.7 476.4 By-Products vo
Slide 34: Segment EBITDA Reconciliation
APPENDIX: SEGMENT EBITDA RECONCILIATION Group Australia New Zealand FY25 FY241 FY24 Var FY25 FY241 FY24 Var FY25 FY241 FY24 Var $M (As Reported) (As Reported) (As Reported) Core Poultry volume (kt) 461.2 467.7 476.4 (6.5) 388.0 398.1 405.5 (10.1) 73.2 69.6 70.9 3.6 Total Poultry volume (kt) 580.0 57
Slide 35: NPAT Reconciliation
APPENDIX: NPAT RECONCILIATION $M FY25 FY241 Var % NPAT 89.8 100.0 (10.2) (10.2) Significant items (net of tax): Business acquisition & integration 0.8 1.3 (1.0) (55.6) costs Legal settlement 2.0 - 2.0 NM Restructuring 4.6 (1.2) 6.3 NM Excluded from Underlying 7.4 0.1 7.3 NM Underlying NPAT 97.2 100.
Slide 36: Return on Invested Capital (pre AASB 16)
APPENDIX: RETURN ON INVESTED CAPITAL (PRE AASB 16) (ROIC) ▪ FY25 ROIC of 16.1% (FY24: 20.5%) - Adjusted for Inventory Trade Payable Facility costs (ITPF) that are used to finance feed purchased across both the Australian and New Zealand businesses. The ITPF is only used for feed purchases, and is us
Slide 37: Definitions
DEFINITIONS NON-IFRS INFORMATION REFERRED TO IN THIS PRESENTATION AND ARE DEFINED BELOW Average Capital Invested: Net assets plus net debt plus tax balance plus net PP: Percentage point(s) liabilities of AASB 16; average calculated over two financial year end periods. ROIC: Return on Invested Capita