NZK - 1HY25 Results Announcement

• 1HY25 net profit of $6.0 million vs $10.6 million in 1HY24
• 1HY25 pro-forma EBITDA of $13.5 million vs $10.7 million in 1HY24
• Sales volumes increased 5% to 3,178 MT

New Zealand King Salmon Investments Ltd (NZX & ASX: NZK) reports its financial performance for the six-month period ended 31 July 2024 (1HY25). Key points include: 1HY25 net profit for the year of $6.0 million, compared to a net profit of $10.6 million in 1HY24. 1HY25 pro-forma EBITDA of $13.5 million, compared to an EBITDA of $10.7 million in 1HY24. Sales volumes increased from 3,023MT in 1HY24 to 3,178 MT in 1HY25 (an increase of 5%). Revenues increased from $91.6 million in 1HY24 to $101.7 million in 1HY25 (an increase of 11%). The mortality cost increased from $7.8 million in 1HY24 to $8.5 in 1HY25. The Board is providing a revised pro-forma EBITDA guidance in a range of $26 million - $30 million. The company is making steady progress in developing its presence in China, focusing on establishing a premium position for its Regal brand through partnering with premium customers across multi-channels. Planning for the pilot trial of Blue Endeavour is well underway, with the ordering of two pens and associated mooring infrastructure which will grow up to 500MT at the Blue Endeavour site.

The Board is providing a revised pro-forma EBITDA guidance in a range of $26 million - $30 million for the full financial year.

Looking forward, the company is revising its full year harvest downwards to 6,800MT due to elevated levels of early runting (fish failing to adapt to seawater). The aquaculture team is working closely with experts to address this challenge, and the company is assessing options for pilot trials of freshwater Recirculated Aquaculture Systems (RAS) which may improve fish outcomes when adapting to seawater.