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>Mercury (MCY) has upgraded FY23 hydro generation expectations +150GWh (+3.4%), leading to a +NZ$40m FY23 normalised EBITDAF guidance upgrade to NZ$795m</li><li>Consolidated retail highlights step change taking place in MCY's business</li><li>Forecast changes positive, but interest rate rises present valuation headwinds</li></ul>

Mercury (MCY) has upgraded FY23 hydro generation expectations +150GWh (+3.4%), leading to a +NZ$40m FY23 normalised EBITDAF guidance upgrade to NZ$795mConsolidated retail highlights step change taking place in MCY's businessForecast changes positive, but interest rate rises present valuation headwinds

Mercury NZ Ltd

Mercury: When It Rains It Pours — 1Q23