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>Scales (SCL) reported a very strong result.</li><li>Horticulture earnings were the highest 1H on record, driven by: (1) favourable growing conditions; (2) ongoing premium variety shift; and (3) improved margins.</li><li>We remain attracted to SCL's: (1) solid EPS outlook (FY26–FY28 CAGR of ~+12%); (2) robust Global Proteins outlook, with M&amp;A prospects and organic market share opportunities (via protein diversification, geographic expansion, and customer growth); (3) ~NZ$20m net cash position; and (4) attractive valuation support, with Global Proteins trading on ~12x two-year forward PE.</li></ul>

Scales (SCL) reported a very strong result.Horticulture earnings were the highest 1H on record, driven by: (1) favourable growing conditions; (2) ongoing premium variety shift; and (3) improved margins.We remain attracted to SCL's: (1) solid EPS outlook (FY26–FY28 CAGR of ~+12%); (2) robust Global Proteins outlook, with M&amp;A prospects and organic market share opportunities (via protein diversification, geographic expansion, and customer growth); (3) ~NZ$20m net cash position; and (4) attractive valuation support, with Global Proteins trading on ~12x two-year forward PE.

Scales Corp Ltd

Scales 1H25 Result—Bearing Fruit