New Zealand Professional Investment Services Firm

Forsyth Barr

We are proud to be a New Zealand owned firm, with 21 offices throughout the country and over 300 employees. We assist personal, institutional and corporate clients providing a full range of investment services.

Forsyth Barr is a foundation New Zealand Exchange firm (NZX) and accredited market participant. We have been confirmed by the Financial Markets Authority as a Qualifying Financial Entity (QFE).

Research is the cornerstone of our advice. We have one of New Zealand's leading teams of analysts. Our global affiliations ensure comprehensive research coverage of all major investment markets.

New Zealand Professional Investment Services Firm, Forsyth Barr

Equity Bottom-Up

<ul><li>(1) ANZ revenue (AFT's core defensive growth driver) grew +24% versus FY22, (2) underlying ROW revenue grew +71% versus FY22, and (3) 2H23 underlying gross margins were AFT's strongest ever.</li><li>First-time FY24 underlying EBIT guidance was slightly below our expectations, however, (1) we have a higher degree of confidence in execution on this guidance range relative to previous years, and (2) at the mid-point still represents +22% growth versus FY23.</li><li>AFT trades on ~18x 12 month forward PE and ~13x EV/EBIT, and is one of the few defensive, structural growth stories in the NZ market where valuation is undemanding.</li></ul>

(1) ANZ revenue (AFT's core defensive growth driver) grew +24% versus FY22, (2) underlying ROW revenue grew +71% versus FY22, and (3) 2H23 underlying gross margins were AFT's strongest ever.First-time FY24 underlying EBIT guidance was slightly below our expectations, however, (1) we have a higher degree of confidence in execution on this guidance range relative to previous years, and (2) at the mid-point still represents +22% growth versus FY23.AFT trades on ~18x 12 month forward PE and ~13x EV/EBIT, and is one of the few defensive, structural growth stories in the NZ market where valuation is undemanding.

AFT Pharmaceuticals: FY23 Result — On Script