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>The global pet care market appears to be improving. While recent trends from global pet care companies have been relatively sluggish, their outlook comments painted a positive picture of: (1) expectations for a return to solid growth over the remainder of 2024, and (2) ongoing investment to support future growth, a combination of new product development and manufacturing investment.</li><li>We acknowledge the limitations when assessing results on a quarterly basis relative to Scales (SCL) given the lag impacts between SCL's volumes and customer revenue, along with the unknown inventory/market share impacts.</li><li>However, our analysis shows Nestle is a reasonable proxy and commentary is supportive for a return to growth for SCL's Global Proteins division. </li></ul>

The global pet care market appears to be improving. While recent trends from global pet care companies have been relatively sluggish, their outlook comments painted a positive picture of: (1) expectations for a return to solid growth over the remainder of 2024, and (2) ongoing investment to support future growth, a combination of new product development and manufacturing investment.We acknowledge the limitations when assessing results on a quarterly basis relative to Scales (SCL) given the lag impacts between SCL's volumes and customer revenue, along with the unknown inventory/market share impacts.However, our analysis shows Nestle is a reasonable proxy and commentary is supportive for a return to growth for SCL's Global Proteins division. 

Scales Corp Ltd

Scales - Wagging Tails