MFT Investor Presentation

MAINFREIGHT LIMITED
NZX RETAIL INVESTOR EVENT
4 OCTOBER 2018

Who & What is Mainfreight?
Mainfreight is a global supply chain logistics provider

3 Products/Divisions

Air & Ocean,

Warehousing, and
Supply Chai
n Management

Domestic Transportation

252 branch locationsin 22 countries

Our Network

7,635 team members

Our People

OUR GROWINGGLOBAL NETWORK
BRANCHES:252
COUNTRIES:22...
NZ, Australia, USA, Canada, Mexico, Chile, China, Hong Kong, Ta
iwan, Singapore,
Thailand, Vietnam, Netherlands, Belgium, France, Germany, Italy
, Romania,
Poland, Ukraine, Russia, United Kingdom ... (and almost Malaysia
and Japan = 24)
EUROPE2,399TEAM MEMBERSEBITDA:
EU€17.7M
REVENUE:
EU€335.8M
39
BRANCHES
AUSTRALIA1,761
TEAM MEMBERS
EBITDA:
AU$49.9M
REVENUE:
AU$623.8M
53
BRANCHES
ASIA362
TEAM MEMBERS
EBITDA:
US$4.9M
REVENUE:
US$83.9M
19
BRANCHES
NEW ZEALAND2,309
TEAM MEMBERS
EBITDA:
NZ$98.6M
REVENUE:
NZ$666.2M
78
BRANCHES
THE AMERICAS823
TEAM MEMBERS
EBITDA:
US$19.2M
REVENUE:
US$436.7M
63
BRANCHES

Mainfreight Strategy
Intensification of our network

Globally, regionally and within cities

Being closer to our customers achievesefficiencies

Delivery of high-quality freight services

Freight –not courier or parcels

Adding value through our technology

Supply chain visibility

Being easy to do business with

Key Differentiators
Our people –via our culture

Highly-engaged people providing high-quality services

Decision making as close to the customer as possible

Decentralisedmanagement structure and responsibility

252 profit centres

Profits shared

Lack of hierarchical structures

Information sharing

Careers not jobs

Our Customers
In excess of 40,000

Range in scale: smaller to large multinationals

Typically trading in food, beverage, retail and consumer DIY markets

We prefer to support customers trading across all three divisions, in non-commoditisedproducts

High service criteria

Mainfreight Governance
Mainfreight’s Board comprises 7 Directors: Founder & Chairman,
Group Managing
Director, and 5 non-executive Directors –all of whom are indepe
ndent

Board meetings are held in Mainfreight operations in New Zealan
d and overseas; in
2018 meetings held in Auckland, Melbourne, Sydney, Shanghai, ‘s
-Heerenberg (NL),
Los Angeles; Directors will visit 20+ operations during the yea
r

Share ownership –20.42% held by Directors

Dividend policy:

40-50% of net profit distributed to shareholders

Balance supports capital investment for ongoing business growth

Assets
Total Assets: $1.4 billion

Land and buildings: $483 million

Key differentiator from competitors

Efficient, high quality, environmentally aware

Not a large owner of trucking equipment (Europe only)

Technology

Software is our own (with the exception of Air & Ocean division)

Effective / Visibility

Ongoing investment

Capital Expenditure
Last Year F18
Current Year F19
Land & Buildings
$20.1 million
Land & Buildings –NZ
$35million
Technology
$17.7 million
Land& Buildings –AU
$57 million
Other
$26.9 million
Land & Buildings –EU
$13 million
Other –Technology, etc $45 million
Total
$64.7 million
Total
$150 million

Full Year Result to 31 March 2018
TOTAL DIVIDEND
45.0¢
9.8%

DISCRETIONARY BONUSSHARED WITH GLOBAL TEAM
$20.7m
7.4%

GROUP OPERATINGREVENUE
$2.62b
12.2%

GROUPEBITDA
$215.4m
9.0%

GROUP NET PROFITBEFORE ABNORMALS
$112.2m
8.8%

10.6%
EXCL FX IMPACT

7.9%
EXCL FX IMPACT

7.7%
EXCL FX IMPACT

Note: As advised at July AGM, trading continues to be positive;
F19 half year results
to be released to the market on 14 November 2018

To Close

We continue to be confident
and positive about the
current business environment, but are more global than New Zealand-centric

Our spread of services and geographic regions smoothesout region-specific economic fluctuations

Our ongoing capital investment will enhance our competitive advantage, improve services to our customers, and prepare us for continued growth

PAINTING THE WORLD BLUE,
ONE POT AT A TIME.