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>Synlait Milk (SML) has provided first-time FY23 NPAT guidance of NZ$15-25m. This is well below us and market consensus (~NZ$53m).</li><li>SML’s guidance follows its late December 2022 1H23 (six months to January 2023) earnings guidance for NPAT to be &lt;NZ$14.5m.</li><li>SML now expects its two year recovery plan to take three years – implying FY25 NPAT of ~NZ$75m (previously expected to return to these levels in FY24).</li></ul>

Synlait Milk (SML) has provided first-time FY23 NPAT guidance of NZ$15-25m. This is well below us and market consensus (~NZ$53m).SML’s guidance follows its late December 2022 1H23 (six months to January 2023) earnings guidance for NPAT to be &lt;NZ$14.5m.SML now expects its two year recovery plan to take three years – implying FY25 NPAT of ~NZ$75m (previously expected to return to these levels in FY24).

Synlait Milk (SML): FY23 Guidance – Déjà Vu – Another Downgrade