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 a2 Milk Company's (ATM) 1H23 result continues to highlight its success and discipline controlling the controllables</li><li>We remain comfortable on the revenue outlook (~NZ$2,050m FY26 forecast versus ATM's scenario of ~NZ$2,000m), and forecast ongoing market share gains but there is no hiding from the intensely competitive and difficult China Infant Formula (IF) backdrop</li><li>On an underlying basis, ATM is set to report two consecutive years of flat EBITDA margins (~13-14%) after ~11% in FY21</li></ul>

The a2 Milk Company's (ATM) 1H23 result continues to highlight its success and discipline controlling the controllablesWe remain comfortable on the revenue outlook (~NZ$2,050m FY26 forecast versus ATM's scenario of ~NZ$2,000m), and forecast ongoing market share gains but there is no hiding from the intensely competitive and difficult China Infant Formula (IF) backdropOn an underlying basis, ATM is set to report two consecutive years of flat EBITDA margins (~13-14%) after ~11% in FY21

The A2 Milk Company: 1H23 Result — Crawling Ahead

A2 Milk Co Ltd

The A2 Milk Company: 1H23 Result — Crawling Ahead