Kingfish Ltd. · NZX:KFL
Kingfish — Shareholder Meeting (July 2007)
23 slides from Kingfish's shareholder meeting presentation, July 2007
Slide 1: Chairman's Review
Chairman’s Review Rob Challinor July 2007
Slide 2: Chairman's Review
Chairman’s Review To 31 March 2007: • Total surplus of $36.8 million after tax • Net Asset Value up 35% to $2.15 • Total assets of $138 million • NAV increase of 35% vs. 15% benchmark increase • Combined market value of shares and warrants 98% above the issue price • Fully imputed dividends paid: –
Slide 3: Chairman's Review: Update since balance date
Chairman’s Review Update since balance date 30 June 2007 Net Asset Value (NAV) -7% Diluted NAV -1% NAV change versus -7% Benchmark +4% Share Price +4% Warrant Price +8% Dividends Paid 3.5cps Dividends Reinvested (value) 40%
Slide 4: Net Asset Value Mar – Jun
Chairman’s Review Net Asset Value Mar 04 – Jun 07 2.30 2.10 1.90 1.70 1.50 1.30 1.10 0.90 0.70 0.50 Se M D Ju p- Ju M M M ec ar Se D Se D n- 06 Ju Ju n- ec ec ar ar ar -0 -0 07 n- p- n- p- 06 -0 -0 -0 7 -0 -0 6 04 04 05 05 6 5 4 5 4
Slide 5: Share Price, Combined Share and Warrant Price performance
Share Price, Combined Share and Warrant Price performance Share & Warrant Price Share Price $2.20 $2.00 $1.80 $1.60 $1.40 $1.20 $1.00 $0.80 Mar-04 Sep-04 Mar-05 Sep-05 Mar-06 Sep-06 Mar-07
Slide 6: Warrant Price Performance
Warrant Price Performance $0.70 $0.60 $0.50 $0.40 $0.30 $0.20 $0.10 Mar-04 Sep-04 Mar-05 Sep-05 Mar-06 Sep-06 Mar-07
Slide 7: Diluted Net Asset Value
Diluted Net Asset Value NAV $ NAV per share Net Asset Value 30 June 2007 130.5m $2.00 Warrants exercisable 31 47.1m - March 2008 Diluted Net Asset Value 177.6m $1.58 Share Price 30 June 2007 - $1.56 Discount to Net Asset Value - 1.3%
Slide 8: Share Price Premium/(Discount) to Diluted NAV
Share Price Premium/(Discount) to Diluted NAV 30% 20% 10% 0% -10% -20% -30% Mar-04 Sep-04 Mar-05 Sep-05 Mar-06 Sep-06 Mar-07
Slide 9: Share & Warrant Buybacks
Share & Warrant Buybacks Number Cost ($) Share Buybacks Nov 2005 to 30 June 2,982,00 3.2m 2007 0 Reissued – for Manager’s Performance 2,950,00 4.6m Fees and Dividend Reinvestments 0 Balance held as Treasury Stock at 30 32,000 $(1.3m) June 2007 Warrants acquired and cancelled 6,086,00 1.8m 0 Diluted
Slide 10: Portfolio Investment Entity
Portfolio Investment Entity • What is it? – Legislation, commencing 1 October 2007, changes the way managed funds (including Listed Investment Companies) are taxed – Removes tax disadvantages to those investing in managed funds and leaves the investor in the same (or better) position whether they in
Slide 11: Portfolio Investment Entity: Key Benefits to Kingfish
Portfolio Investment Entity • Key Benefits to Kingfish: – Kingfish no longer be taxed on capital gains on sale of investments in Kingfish Nursery. – As a PIE, will be able to distribute capital gains tax free to shareholders. – Distributions to shareholders will be exempt income for income tax purpo
Slide 12: Manager's Report
Manager’s Report Carmel Fisher Fisher Funds July 2007
Slide 13: Agenda
Agenda • Review of March 2007 year • Review since balance date • What’s new with our Kingfish companies • Outlook
Slide 14: The Year to March 2007
The Year to March 2007 Highlights Lowlights • Identifying and investing in • Increasingly challenging IPO stars Rakon and environment for most of Delegat’s our companies • Delivery against expectations by core holdings RYM, MET, MFT • Closed discount between share price and NAV • Continued strong pe
Slide 15: Contributors to NAV Growth
Contributors to NAV Growth Comvita, 0.7% Pumpkin Patch, 1.0% Kidicorp, 0.4% Delegats, 1.1% Michael Hill, 2.4% Freightways, 2.4% Ryman, 14.7% NZ Exchange, 5.5% Metlifecare, 6.7% Mainfreight, 10.8%
Slide 16: Since balance date: Total Returns April - June 2007
Since balance date Total Returns April 07 - 30 June 2007 50.0% 42.3% 40.0% 35.7% 30.0% 19.8% 20.0% 16.2% Share Price change 10.4% 10.0% 4.1% 1.4% -0.8% -9.7% -11.9% -22.6% 0.0% -10.0% -20.0% -30.0% Stock
Slide 17: Since balance date: Contribution per Stock
Since balance date Contribution per Stock 1 April 07 - 30 June 2007 2.5% 2.0% 1.9% 1.5% 1.0% 0.9% 0.9% 0.4% 0.5% 0.4% 0.2% 0.2% Contribution (%) -0.2% -0.4% -0.9% -2.2% 0.0% -0.5% -1.0% -1.5% -2.0% -2.5% Stock
Slide 18: Kingfish Company Update
Kingfish Company Update • Good profit results from Ryman, Mainfreight, Rakon, NZX, but … • Negative news flow – Profit downgrade from Pumpkin Patch; – Lower than expected 2007 harvest for Delegat’s – Rakon and Delegat’s share prices reflecting currency concerns – Profit downgrade from Comvita • Take
Slide 19: Our thoughts
Our thoughts • We firmly believe we own New Zealand’s best listed growth stocks • We are confident that the executives of our companies will make the right “macro” decisions • We believe it important to focus on our companies’ achievements rather than on the mood of the market • Our best “value-add”
Slide 20: Our thoughts
Our thoughts • The two main components of our investments success are the stock selection and portfolio composition • The PIE regime will be beneficial as we can more actively manage portfolio composition • Our stock selection processes have not and will not change • The regulatory and tax environme
Slide 21: Outlook
Outlook • Currency will remain an issue • Execution of international expansions and growth strategies remains critical • Market dominance/competitive advantage/strong brands become more important in difficult environment • As always, our performance will be dictated by the performance of our underly
Slide 22: Thank you Questions
Thank you Questions KINGFISH
Slide 23: Kingfish Proxy Summary
Kingfish Proxy Summary Resolution For Against Discretionary Abstain Total 1. Re-elect 2,841,602 511 4,378,796 - 7,220,909 Annabel Cotton 2. Re-appointment 2,824,257 62,366 4,396,652 - 7,220,909 of PWC and fix auditors remuneration