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

Fonterra Shareholders Fund / Equity Bottom-Up

<ul><li>Fonterra reported a strong underlying 1H23 result.</li><li>The result was slightly below our expectations, with EPS of NZ33cps versus FB of NZ36cps, however when normalising for impairments included in Fonterra’s normalised numbers we view this as a strong operational result</li><li>Fonterra has announced a NZ$800m capital return following its recent Chile and Brazil sales (asset divestment process is now complete pending the receipt of proceeds) which is expected to take place in October 2023</li></ul>

Fonterra reported a strong underlying 1H23 result.The result was slightly below our expectations, with EPS of NZ33cps versus FB of NZ36cps, however when normalising for impairments included in Fonterra’s normalised numbers we view this as a strong operational resultFonterra has announced a NZ$800m capital return following its recent Chile and Brazil sales (asset divestment process is now complete pending the receipt of proceeds) which is expected to take place in October 2023

Fonterra: 1H23 Result – Initial Impressions