Arborgen Holdings Limited · NZX:ARB
Arborgen — Shareholder Meeting (September 2025)
32 slides from Arborgen's shareholder meeting presentation, Sep 10, 2025
Slide 1: Annual Shareholders' Meeting
ANNUAL SHAREHOLDERS’ MEETING 10 September 2025 1
Slide 2: Chair of the Board
CHAIR OF THE BOARD David Knott
Slide 3: Introducing the Board
INTRODUCING THE BOARD David Knott – Chairman George Adams – Independent Director Appointed 19 August 2021 Appointed 12 August 2019 Standing for re-election Paul Smart – Independent Director Thomas Avery – Independent Director Ozey Horton – Independent Director Appointed 21 August 2018 Appointed 18 J
Slide 4: Our Vision
OUR VISION To be the world-leading provider of value- added, high-quality seedlings for the forestry industry … creating thriving forests that benefit landowners, the environment, and future generations through unmatched industry expertise. ArborGen 2025 ASM 4
Slide 5: Board Priorities FY25
BOARD PRIORITIES FY25 Opportunities maximised in a challenging year Driving Talent and Capital Operational Growth Leadership Management Oversight Securing Increase in Sale of surplus Building expansion executive bench assets resilience and opportunities in strength in both reducing risk Responsible
Slide 6: FY25 Financial Snapshot
FY25 FINANCIAL SNAPSHOT Sales Volume and Revenue (US$m) 360m 375m 369m 328m Economic, market and weather challenges impacting results 56.1 67.7 63.2 47.5 • Revenue down 7% yoy but 13% above FY23 • Continuing focus on efficiencies and cost management FY22 FY23 FY24 FY25 Sales Revenue Sales Volumes •
Slide 7: Balance Sheet Summary
BALANCE SHEET SUMMARY US $m FY25 FY24 • Reinvesting earnings into initiatives to Debtors 12.8 12.6 support growth and create future value Inventory1 38.4 35.1 • Disciplined management of working Creditors (12.9) (14.3) capital Working Capital 38.0 33.4 Cash and Cash Equivalents 3.5 5.6 • Increase in
Slide 8: Capital Expenditure
CAPITAL EXPENDITURE FY25 reflects investment into production expansion and resilience 64% of spend on initiatives to support growth: CAPITAL EXPENDITURE (US$m) • Expansion of container capacity at two US 7.7 nurseries 5.4 • Cooler expansion for hardwoods at US nursery • Deep well addition at US nurs
Slide 9: Share Price Disconnected from Fundamental Value
SHARE PRICE DISCONNECTED FROM FUNDAMENTAL VALUE Your Board believes ArborGen’s share price does not reflect the underlying strength or fundamental value of the business As at 31 March 2025 (NZ$) NTA per share: $0.22 Share price: $0.13 Net assets $140m Market cap $41m ArborGen 2025 ASM 9
Slide 10: Track Record of Long Term Growth
Long term macro drivers TRACK RECORD OF LONG TERM GROWTH are positive FY25: Strong growth in Brazil, offset by cyclical headwinds in US South • US residential housing driving demand for high Accelerated expansion into Brazil grade timber ANZ sale Nov 2021 • Genetic innovation - higher for $NZ$22.25m
Slide 11: ArborGen is strongly positioned for the future
ArborGen is strongly • Focused on growth in our target markets, positioned for the being the US South and Brazil future • Unparalleled product portfolios in each of our core markets • Clear strategy • Decades of investment in research and • Competitive and value intellectual property that is now bea
Slide 12: Chief Executive Officer
CHIEF EXECUTIVE OFFICER Justin Birch
Slide 13: Dual Pathway Strategy
DUAL PATHWAY STRATEGY Driving growth and leveraging long term demand trends GO TO MARKET OPERATING STRENGTH The US South and Brazil Grow demand and sales of Enable a strong foundation for remain our primary markets higher value advanced genetics the future seedlings We are building a strong platform
Slide 14: FY25: Building Resilience as Market Challenges Prevail
FY25: BUILDING RESILIENCE AS MARKET CHALLENGES PREVAIL Strong Business Business Continued Leading Market Foundations Expansion Growth In Brazil Position Improved efficiencies Brazil nursery 18.3% 3-year sales Continued investment acquisition CAGR in R&D and product Cost out development Expanded cont
Slide 15: US South FY25
US SOUTH FY25 Challenging macro and market conditions continuing for longer than anticipated SALES REVENUE • Economic headwinds continuing to impact (US$m) across the industry, particularly residential 41.2 building market, resulting in lower demand 39.3 37.5 • Survived major impact of Hurricane Hel
Slide 16: Brazil
BRAZIL Recalibration of the business to enable continued growth, strong long term fundamentals SALES REVENUE • Dynamic market with significant increase in 144 market participants and capacity driving price and 130 quality demands 26.5 25.7 87 • Severe drought in mid-year – impact on customer 16.8 de
Slide 17: Operational Strength
OPERATIONAL STRENGTH Enable a strong foundation for the future OPTIMISE TOTAL PRODUCTIVITY STRENGTHEN THE ORGANISATION AND BUILD A PERFORMANCE CULTURE • Expanded container production in the US and acquired two nurseries in Brazil • Continuing to optimise our footprint and operations and achieve cost
Slide 18: Market Opportunity
MARKET OPPORTUNITY Significant opportunity to build scale and win market share BRAZIL US SOUTH (Loblolly Pine) 1.35 BILLION 1.2b Eucalyptus 700 MILLION 150m Pine TOTAL MARKET 570M ADDRESSABLE 720M MARKET ARBORGEN 190M CURRENT 113M VOLUME Market size and Addressable Market based on management estimat
Slide 19: Our Strategy: US South
US SOUTH Thoughtful and considered growth OUR STRATEGY • ArborGen is a key player in the US South, and a leader in loblolly genetics - produce over 50% Expand market and win of the supply of MCP seedlings market share • Around 70% of timber use is residential Increase Mass Control housing and home i
Slide 20: Expansion in the South's lumber sector will drive demand for higher quality sawtimber
Expansion in the South’s lumber sector will drive demand for higher quality sawtimber - the value of advanced genetics is clear ArborGen 2025 ASM 20
Slide 21: Growth in sawtimber and OSB mills
Growth in sawtimber Mill announcements in the US South between 2022-2025 and OSB mills Mill announcements 2022 - 2025 • Closures predominantly pulp mills – pulp production capacity reduced by 16% • Growth (expansion and new mills) predominantly sawtimber, some wood panels (OSB) Mills Increase in woo
Slide 22: Leader in Advanced Genetics Seedlings
LEADER IN ADVANCED GENETICS SEEDLINGS Delivering increased value to customers ArborGen 2025 ASM 22
Slide 23: Emerging Carbon Market
EMERGING CARBON MARKET ArborGen is well positioned as the seedling supplier of choice for carbon offset projects; poised to do more as the market grows • The carbon market opportunity remains in its infancy • ArborGen is a key supplier to Chestnut Carbon, which has already planted 17 million trees s
Slide 24: Our Strategy: Brazil
BRAZIL Opportunistic and measured expansion OUR STRATEGY • The world’s largest producer and exporter Leverage strong position in of hardwood pulp – eucalyptus demand est. the pine and eucalyptus 1.2 billion per annum for next few years seedling markets • Growing demand for new, higher quality, Repli
Slide 25: Strong value position with protected genetic seedlings in eucalyptus market
ArborGen holds a strong value position with protected genetic seedlings (clones) in the eucalyptus market • Market is seeking new clones with higher yields that are also more resilient • ArborGen’s superior trees offer higher yields and higher wood density than standard market clones, improved disea
Slide 26: FY26 Trading to Date
FY26 TRADING TO DATE • US - some production losses from severe hail and rains in Texas, demand growth in container market, investing in MCP® as pulp market slows • Brazil - investing in production to meet continued strong demand for eucalyptus, with high demand also for pine; carefully managing comp
Slide 27: Outlook
OUTLOOK Targeting YOY improvements in revenue and gross margin. Adjusted US GAAP EBITDA expected to be between USD $11m and $12m, an increase of at least 25% on FY25 US SOUTH BRAZIL • Weak market conditions until at least • Expected volume growth 2026 • Some margin impact from excess • Sales activit
Slide 28: Shareholder Discussion
SHAREHOLDER DISCUSSION 28
Slide 29: Resolutions
RESOLUTIONS Resolution 1: That the Directors be authorised to fix the fees and expenses of Grant Thornton as the Company’s auditor. Resolution 2: Re-election of George Adams as a Director of the Company. ArborGen 2025 ASM 29
Slide 30: Other Business, Close of the Meeting
OTHER BUSINESS CLOSE OF THE MEETING 30
Slide 31: Adjusted US GAAP Reconciliation
ADJUSTED US GAAP RECONCILIATION 1. Under US GAAP, from a statutory reporting perspective, the classification of the Fiscal year ending March US$m Mar expense items, and other significant items in this table may differ from what is 2025 presented in the financial statements. US GAAP 2. US GAAP EBITDA
Slide 32: Disclaimer
DISCLAIMER This presentation has been prepared by ArborGen Holdings Limited (“ArborGen”), to provide an overview of the performance of ArborGen and its activities at the date of this presentation. It is not prepared for any other purpose and must not be provided to any person other than the intended
ArborGen Holdings — Shareholder Meeting (September 2025) on 6ix