• Exclusive distribution rights in Australia and New Zealand for CAT® Power Tools, Wesco Power Tools, and Harden Hand Tools
• Strengthens Stealth's strategic focus on high-margin exclusive product offerings
• Significant milestone in FY28 growth plan, expected to exceed $30 million in exclusive, private-label, and own-brand sales

Stealth Group Holdings Ltd (ASX: SGI), a leading Australian distributor of industrial, safety, automotive, workplace, and consumer products, has announced a major advancement in its exclusive brand rights strategy. The company has successfully secured exclusive distribution rights in Australia and New Zealand for CAT® Power Tools and Wesco Power Tools through Positec, a global leading tool manufacturer, as well as for Harden Hand Tools. These agreements, set for an initial five-year term for Wesco and Harden Hand Tools and a three-year term for CAT® Power Tools, grant Stealth exclusive selling rights for these renowned brands across all market channels. This reinforces Stealth's strategic focus on high-margin exclusive product offerings and marks a significant milestone in its FY28 growth plan, further strengthening its position in the power and hand tool market. The newly secured product ranges will be distributed through Stealth's extensive omni-channel network, including company-owned stores, reseller stores, B2B sales contact centres, field sales representatives, and online sales channels. The exclusive product range is expected to drive substantial margin expansion, with wholesale margins exceeding 40% and retail sales margins increasing by 30%-50% when sold through Stealth-owned operations. These agreements will further enhance profitability and strengthen Stealth's position as a leading industrial products distributor.

By the FY28 period, commitments across the three contracts, extrapolated into wholesale-level sales guidance based on projected sell-through, are expected to exceed $30 million, with strong margin contributions above 40%, excluding additional margins from company-owned retail stores.

Stealth will continue to execute its exclusive brand, own-brand, and private-label strategy, with these agreements marking a significant step toward achieving its FY28 revenue target of $300 million.