Annual Meeting Speeches and Presentation

TIL LOGISTICS GROUP LIMITED
2019 Annual Meeting of Shareholders
1
TIL Logistics Group Annual Meeting 2019

CHAIR’S
PRESENTATION
Trevor Janes
2

BOARD AND MANAGEMENT
BOARD
•Trevor Janes, Independent Chair
•Lorraine Witten, Independent Director
•Danny Chan, Independent Director
•Jim Ramsay, Executive Director
TIL Logistics’ Board comprises experienced Directors with
particular strength in corporate governance and oversight
of growing companies.
GROUP EXECUTIVE TEAM
•Alan Pearson, CEO
•Lee Banks, CFO
•Maurice Corkery, CIO
•Dwane Feehely, Group Safety and Environment
•DallasGuilford, Acting Group HR Manager
•Dean Crackett, Acting GM Group Marketing
Divisional Leaders
•Stephen Owles, DCEO Bulk Liquids
•Jon Kyle, DCEO TIL Freighting
•Richard Mather, DCEO Warehousing & Logistics
•Clayton Imbs, DCEO International
•Warwick Bell, DCEO Specialist Lifting
3
TIL Logistics Group Annual Meeting 2019

TIL LOGISTICS GROUP
•One of New Zealand’s largest domestic freight and logistics
platforms
•Nationwide network of branches, depots and warehouses
and dedicated team of employees and contractors
•Travel over 80 million kms each year, delivering product to
over 30,000 sites
•Comprehensive service offer across the supply chain:
Freighting, Bulk Liquids, Warehousing & Logistics, Specialist
Lifting and Transport, and International Freight Forwarding
TIL Logistics Group Annual Meeting 20194

OUR PROGRESS
Solid foundation laid in FY19 with expansion of warehousing capacity, acquisition of Specialist business,
organic growth across all businesses, and strengthened leadership team.
STRONG FOUNDATION FOR GROWTH
•Warehousing to expand by 25% -largest provider
(by capacity) in New Zealand
•Acquisition of Specialist transport business,
providing scale in this sector
•Settlement of MOVE purchase
•Share register changes –sell down of 5%
shareholding by Greg Kern
5TIL Logistics Group Annual Meeting 2019
OPERATING ENVIRONMENT
•Softening business confidence and higher cost
environment
•Remain focused on organic growth with
restricted capital spend and tight cost control

CAPITAL MANAGEMENT
Increased investment into the business in FY19; retained solid financial position.
6
TIL Logistics Group Annual Meeting 2019
0
1
2
3
4
5
6
Land &
Buildings
Motor
Vehicles
IT & Office
Equip
Plant &
Equip
Software
$ Millions
Capital Expenditure
FY18FY19
Capital expenditure excludes assets acquired via business acquisitions
$MillionsFY19FY18
Cash and cash equivalents6.42.9
Trade and other receivables51.046.6
Property, plant and equipment92.374.6
Other26.727.6
TOTAL ASSETS176.4151.7
TOTAL EQUITY34.328.0
Trade and other payables39.431.7
Long term borrowings79.170.5
Other 23.621.5
TOTAL LIABILITIES142.1123.7

GROWTH DRIVERS AND
OPPORTUNITIES
INCREASE SALES AND CUSTOMER DEMAND:
•Promote TIL’s bundled freight and logistics offer to new and existing
customers
•Capture a greater proportion of existing customers’ supply chains
•Offer specialised services to targeted customers
IMPROVE UTILISATION LEVELS OF EXISTING AND NEW NETWORKS:
•Increase volumes on existing platform with minimal investment
•Strategic investment into expansion to capture current and future
demand
•Intermodal expansion –utilisationof rail and coastal shipping
MINIMISE COSTS OF SERVICES PROVIDED:
•Make the most of TIL Logistics’ inherent operating leverage
•Leverage technology, exploit available cost efficiencies and scale
GROWTH THROUGH ACQUISITION
TIL Logistics Group Annual Meeting 20197

CEO’S
PRESENTATION
Alan Pearson
8

FY19 KEY EVENTS
Period of business growth and increasing sales across all divisions, with results reflecting investment into
growth initiatives and a higher cost base.
•Acquisition of Specialised Lifting and Transport Group, strengthening existing offer and providing entry into
a new sector. Delivered a performance ahead of expectations in FY19.
•Significant investment in expansion and development of new warehousing facilities to meet future
demand. Completion and relocations of 3 facilities with additional 2 facilities due to open in FY20.
•Organisational restructure into five operating divisions, including separation of NZL into freighting and
logistics services.
•Bundled transport and logistics offer is now starting to show dividends and market share is growing, with
new customers and increasing demand from existing customers.
•Number of major customer wins, with results reflecting initial start up expenses for major PFH contracts.
•Establishment of Senior Leadership Team with Divisional Leaders, creation of new CIO, Group HR and
Group Safety rolesand appointment of Lee Banks as Chief Financial Officer.
•Signatory to Climate Leaders Coalition and signing of Memorandum of Understanding with HiringaEnergy
to investigate hydrogen fuel cell technology transport solutions.
9
TIL Logistics Group Annual Meeting 2019

FY19 RESULTS SNAPSHOT
Increased sales driven by acquisition and organic growth; Good first half with revenue gains
partially offset by unplanned cost impacts in second half of the year and a slowdown in 4Q19.
$MillionsFY19FY18
Sales Revenue
355.1325.6
EBITDA
25.46.9
Adjusted EBITDA
28.026.2
NPAT/NLAT
4.0(12.2)
Adjusted NPAT
6.67.1
Net Operating Cashflow
19.410.4
Total Assets
176.4151.7
Bank Debt
(84.3)(73.9)
Dividend (cents per share)
5.02.3
10
Adjusted EBITDA and Adjusted NPAT exclude non-trading costs associated with the reverse listing
process which occurred in FY18, share based payments and the revaluation of deferred
consideration for acquisitions.
See the appendices slides for glossary and reconciliation of non-GAAP to GAAP measures.
TIL Logistics Group Annual Meeting 2019
235.3
325.6
355.1
100
150
200
250
300
350
FY17FY18FY19
$ Millions
Sales Revenue
221.6
305.5
332.6
0
100
200
300
400
FY17FY18FY19
$ Millions
Adjusted Operating Expenses
(excluding Depreciation & Amortisation)

BUSINESS DIVISION REVENUE AND EBITDA
Opportunity to grow market share and earnings across all sectors.
0
100
200
300
400
FY18FY19
$ Millions
REVENUE
11
TIL Logistics Group Annual Meeting 2019
0
5
10
15
20
25
30
FY18FY19
$ Millions
ADJUSTED EBITDA
Freighting
Warehousing
& Logistics
Bulk Liquids
FY19 REVENUE
Freighting
Warehousing &
Logistics
Bulk Liquids
FY19 ADJ EBITDA

DIVISION REVIEW
TIL Logistics Group Annual Meeting 201912
Freighting
Warehousing & Logistics
Bulk Liquids
International
Specialist

OUR BUSINESSES
13
TIL Logistics Group Annual Meeting 2019

TIL Logistics is one of the largest freight transport companies in
New Zealand and has a nationwide network with regional
strength
TIL Logistics Group Annual Meeting 2019
FREIGHTING
Opportunities:
•Grow the client base
•Acquisition opportunities
due to market consolidation
•Expansion of existing
services
•Leverage scale and
technology to drive
productivity and margin
improvements
•Focus on cost reduction,
efficiency and waste
minimisation projects
14

FREIGHTING
•Focused effort on margin has commenced.
•Continual investment in fleet upgrades to ensure best in class
safety, reduced emissions and increased fleet availability.
•Increased lease costs with more trucks now being leased rather
than purchased outright.
•Technology is a big focus, including in cab digitised services,
electronic logbooks and safety systems for driver fatigue.
•Implementation of new Transport Management System will
support track and trace visibility, improving customer experience.
•Opportunity for growth due to market consolidation and through
expansion of existing services.
TIL Logistics Group Annual Meeting 201915

TIL Logistics offers a national warehousing solution, including
warehousing, information management, cross docking,
container cartage and loading, and metropolitan delivery
TIL Logistics Group Annual Meeting 2019
WAREHOUSING
& LOGISTICS
Opportunities:
•Bundled freight and logistics
offer meeting customer needs
across the supply chain
•Promote and cross-sell
bundled offer to existing and
new clients
•Strategic acquisition of
complementary bolt-on
businesses specialising in
warehousing and metro
deliveries
•Expansion of facilities to meet
current and future demand
16

WAREHOUSING & LOGISTICS
•Completion/relocation of three warehouses in FY19 –Highbrook
Drive, Auckland; Tauriko,Tauranga; Stage 1 Rolleston, Christchurch.
•Investment into three additional/expanded warehouses planned
for FY20 –Stage 2 Rolleston, Christchurch; Wiri, Auckland; East
Tamaki, Auckland.
•Combined, new warehouses will deliver 25% additional capacity
for future growth. Will position MOVE to be one of the largest
warehouse service providers (by capacity) in the country.
•Capital and set up expense of new warehouses will be seen in
FY20, along with increased property costs; revenue upside in
subsequent years.
•NZL separated into warehousing and freighting services; cost
impact in 2H19 with benefits from FY20.
•Winter months generally a quieter time of year, now ramping up
for the peak period starting from September to the New Year.
TIL Logistics Group Annual Meeting 2019
17

New Rolleston Warehouse
Stage one opened in April 2019, with a footprint of 10,000 sqm and
is fully racked with 17,000 pallet positions. Stage 2 will add a further
10,000sqm and is due for completion in March 2020.
TIL Logistics Group Annual Meeting 201918

Specialist transporter of Bulk Liquids; one of the largest
operators in the New Zealand fuel delivery market; includes
Liquid Logistics freight forwarding business
TIL Logistics Group Annual Meeting 2019
BULK LIQUIDS
Opportunities:
•Specialists in fuel transport:
high barriers to entry –
specialised fuel distribution
equipment, highly trained and
Dangerous Goods certified
staff
•Build on long term strategic
partnerships with key
customers
•Grow service delivery
associated with non-fuel Bulk
Liquid transport
19

BULK LIQUIDS
•Renewal of two key customer contracts –with Z Energy and
Farmlands.
•Identified significant opportunity to diversify into new sector
opportunities including Industrial, Edible, Chemical and Fuel.
•Group synergies –Tauranga depot now sharing facilities with NZL
in Mount Maunganui.
•Continue to build on long term strategic partnerships with key
customers and grow service delivery associated with non-fuel Bulk
Liquid transport.
20
TIL Logistics Group Annual Meeting 2019

Group of businesses specialising in heavy
haulage and machinery lifting and transport
TIL Logistics Group Annual Meeting 2019
SPECIALIST
•Acquisition of Specialised
Lifting and Transport Group
in November 2018 makes TIL
the leading heavy haul
provider in NZ
•Expanded offer provides
significant opportunity for
TIL to grow market share
•Emerging opportunity
associated with transport for
windfarms
21

International division providing worldwide Logistics, Customs
Brokerage, ISO Tank & Shipping Agency services, with offices in
Auckland, New Plymouth, Nelson, Christchurch and
Melbourne.
TIL Logistics Group Annual Meeting 2019
INTERNATIONAL
Opportunities:
•Significant market potential
•Growth organically or by
acquisition
•Further specialist logistics
services being investigated
to increase footprint.
•Cross Group benefits with
increased volumes driving
warehousing and transport
demand.
22
Credit: Brian Carlin/Volvo Ocean Race

HEALTH & SAFETY
We take the safety and wellbeing of our
employees, contractors, owner drivers and
communities very seriously. It is an
essential component to everything we do.
•Continue to make significant strides in
improving safety culture and performance
•Significant investment in past 12 months to
improve the safety of staff and the wider
community
•Training
•Technology
•Staff engagement
•New Group Safety & Environmental
Manager, reporting to the CEO
•Lost Time Injury Frequency Rate: 24
•Medical Treatment Frequency Rate: 22
23TIL Logistics Group Annual Meeting 2019
Agreement signed with driver safety solutions provider,
Autosense, which will provide induction, ongoing training and
in-cab simulator training as well as in-cab driver fatigue
technology.

ENVIRONMENT
•TIL is committed to the reduction of carbon emissions through our
membership of the Climate Leaders Coalition.
•CEMARS review completed in July 2019. Developed Emissions
Management and Reduction Plan with annual targets for
consumption.
•Carbon footprint is dominated by diesel fuel.
•Have established an improvement programme with hard targets to
reduce carbon emissions.
•Forklift partnership with two major suppliers will see the gradual
upgrade of our 500+ fleet over time to safer, more efficient and
lower carbon emission equipment.
•Shift from fossil to alternative fuels is still evolving and is in the early
stages.
•Investigating alternative fuel options, including partnership with
Hiringato investigate development of hydrogen cell fuel technology.
TIL Logistics Group Annual Meeting 201924

GROUP SUSTAINABILITY GOALS FOR FY20
25TIL Logistics Group Annual Meeting 2019
2% REDUCTION IN TOTAL SCOPE 1, 2
AND 3 MANDATORY EMISSIONS
PER $M TURNOVER
5% REDUCTION IN AIR TRAVEL
PER $M TURNOVER
10% REDUCTION OF TOTAL LPG
ABSOLUTE
Integrating Fuel Efficiency into Driver Training
Energy/Electricity AuditsAlternative Fuel sources: Hybrid/Electric/Hydrogen
Low Rolling Resistance Tyres, Improved Aerodynamics
Carbon Footprint Modelling Software
Improved Maintenance Program, Use of Lubricants
Vehicle Selection and Efficiencies
Route Planning
Waste Management
Engage with Innovation Hub on "new" ways
Driver Training
Sustainable Products
Used PPE Disposal
FY20 GOALS
EXAMPLES OF
INITIATIVES
We recognise our operations have a significant carbon footprint and are taking action to reduce our impact.

PEOPLE
26
•Experienced Board and strengthened Leadership
team. High levels of long service employees.
Industrial relationships are solid.
•Challenges with driver shortages. Looking to offer
cadetships for younger people into the industry.
•Number of recruitment programmes underway
including becoming an accredited employer able to
offer a pathway to NZ residency in order to address
skill shortages such as drivers (two divisions
currently accredited).
•Employee Engagement surveys planned to support
diversity, culture and HR initiatives
•Free confidential counselling available to all
employees for work and non-work concerns.
•Improving communications across the Group.
•Future planning for additional training to build skills
and support internal promotion.
TIL Logistics Group Annual Meeting 2019
Nelson’s Operational Projects Manager, Grant
Thorn, has worked for TIL since 1978, more than
40 years.

TIL’S STRENGTHS
•Diverse customer base and sector activities create
broad-based exposure to economic growth
•Nationwide network built on foundations of
regional strength
•One of only a few operators providing a
comprehensive nationwide service offering
•End to end transport and logistics supply chain
solutions
•Leading market positions in niche sectors such as
dangerous goods and specialised transport
•The heritage of TIL’s brands contributes to high
levels of customer loyalty across multiple regions
•Committed to investing in technology and training
to support health and safety culture
27
TIL Logistics Group Annual Meeting 2019

OUTLOOK
•Expect NZ economic growth to continue in line with current rates of 2%
•Watching business confidence and economy closely
•Expect continuing high demand from food, rural, building & construction
sectors
•Investing into new warehousing with two more warehouses expected to
open in FY20 plus additional lease on a facility in Auckland.
•Identified growth opportunities in International freight forwarding, and
non-fuel Bulk Liquid haulage
•Focus on organic growth -increasing freight volumes, improving
utilisation, expanding the offer and driving efficiencies
TIL Logistics Group Annual Meeting 2019
28
Expecting an improved performance in FY20, driven by organic growth, new
customer contracts, additional warehousing capacity, and benefits of FY19
investments including full year benefit of SLTG.

SHAREHOLDER
DISCUSSION
TIL Logistics Group Annual Meeting 201929

RESOLUTIONS
TIL Logistics Group Annual Meeting 201930

RESOLUTIONS
ORDINARY RESOLUTIONS:
•RESOLUTION 1: That the Directors be authorised to fix the fees and expenses of
PricewaterhouseCoopers as the Company’s auditor.
•RESOLUTION 2: That Peter Dryden be appointed as a Director.
•RESOLUTION 3: That Lorraine Witten, who retires as a Director and, being eligible, offers herself
for re-election by shareholders, be elected as a Director of the Company.
SPECIAL RESOLUTION:
•RESOLUTION 4: That the existing constitution of the Company is revoked, and the constitution
tabled at the meeting, and referred to in the explanatory notes, is adopted as the constitution of
the Company, with effect from the close of the Annual Meeting.
31TIL Logistics Group Annual Meeting 2019

PROXIES
RESOLUTIONFORAGAINST
PROXY
DISCRETION
Auditors’ fees and expenses4,100,23401,060,537
Election of Peter Dryden as a Director4,018,8792081,141,684
Re-election of Lorraine Witten as a Director4,083,59001,077,171
Amendment of the Company’s Constitution4,083,39201,077,379
Total proxies received in respectof 5,160,771 shares representing 5.89% of total shares on issue.

OTHER BUSINESS
CLOSE OF THE MEETING
TIL Logistics Group Annual Meeting 201933
Results of the voting will be released to
the NZX
Presentations available online at
www.til.kiwi

CONTACT
Alan Pearson
TIL Logistics Group Limited
Chief Executive Officer
Tel: 021 806 678
Email: alan.pearson@til.kiwi
TIL Logistics Group Annual Meeting 2019
34

IFRS 16: ADOPTION IMPACT IN
FY20
•TIL has a large number of vehicle leases, as well as long term property
leases.
•Upon adoption from 1 July 2019, NZ IFRS 16 will have a material impact on
a number of elements of the Group’s balance sheet and income
statement, but no material impact on the Group’s cash flows.
FY20 estimated impact:
•Balance sheet: Increase in assets and liabilities equally by between $232m
to $252m
•EBITDA: Increase of between $29.2m to $29.7m
•Net Profit Before Tax: Reduction in NPBT of between $5.3m and $5.8m
•Cash flows: No change
TIL Logistics Group Annual Meeting 201935

GLOSSARY
•Non-GAAP financial information: TIL Logistics Group uses several non-GAAP measures when discussing
financial performance. These include Earnings Before Interest, Tax, Depreciation and Amortisation, Share of
(Loss)/Profit of Associates and Impairment of Goodwill (EBITDA), adjusted EBITDA excluding non-trading
costs and adjusted Net Profit/Loss After Tax (NPAT/NLAT) excluding non-trading costs. Management believes
that these measures provide useful information on the underlying performance of TIL Logistics’
business.Reconciliations of the non-GAAP measures to GAAP measures, can be found in TIL Logistics
Group’s Financial Statements that are available on the company’s website.
•EBITDArefers to Earnings Before Interest, Tax, Depreciation and Amortisation excluding income from
associates. EBITDA is a non-GAAP profit measure.
•NPAT/NLAT refers to net profit/loss after tax.
•Adjusted EBITDA/Adjusted NPAT: Excludes non-trading costs associated with the reverse listing process
which occurred in FY18, share based payments and the revaluation of deferred consideration for
acquisitions. The Board believes this provides a better reflection of the company’s underlying performance.
36TIL Logistics Group Annual Meeting 2019

NON-GAAP RECONCILIATION
$MillionsFY19FY18
Net profit / (loss) before income tax (GAAP measure)7.4(9.2)
Add back:
Share of loss of associates0.40.1
Impairment of goodwill-0.2
Finance costs/(interest income)4.03.3
Depreciation & Amortisation13.612.4
EBITDA (non-GAAP measure)25.46.9
Non-trading costs:
Share based payments-11.6
Listing costs-6.5
Deferred consideration and advisory costs expensed2.61.2
Adjusted EBITDA (non-GAAP measure)28.026.2
37TIL Logistics Group Annual Meeting 2019

38
DISCLAIMER
This presentation has been prepared by TIL Logistics Group Limited (“TLL”).The information in this presentation is of a general nature only. It is not a
complete description of TLL.
This presentation is not a recommendation or offer of financial products for subscription, purchase or sale, or an invitationorsolicitation for such
offers.
This presentation is not intended as investment, financial or other advice and must not be relied on by any prospective investor.It does not take into
account any particular prospective investor’s objectives, financial situation, circumstances or needs, and does not purport to contain all the
information that a prospective investor may require. Any person who is considering an investment in TLL securities should obtainindependent
professional advice prior to making an investment decision, and should make any investment decision having regard to that person’s own objectives,
financial situation, circumstances and needs.
Past performance information contained in this presentation should not be relied upon as (and is not) an indication of futureperformance.This
presentation may also contain forward looking statements with respect to the financial condition, results of operations and business, and business
strategy of TLL. Information about the future, by its nature, involves inherent risks and uncertainties. Accordingly, nothinginthis presentation is a
promise or representation as to the future or a promise or representation that an transaction or outcome referred to in this presentation will proceed
or occur on the basis described in this presentation. Statements or assumptions in this presentation as to future matters mayprove to be incorrect.
A number of financial measures are used in this presentation and should not be considered in isolation from, or as a substitute for, the information
provided in the TLL Listing Profile.
TLL and its related companies and their respective directors, employees and representatives make no representation or warranty of any nature
(including as to accuracy or completeness) in respect of this presentation and will have no liability (including for negligence)for any errors in or
omissions from, or for any loss (whether foreseeable or not) arising in connection with the use of or reliance on, information in this presentation.
TIL Logistics Group Annual Meeting 2019

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TIL LOGISTICS 2019 ANNUAL SHAREHOLDERS MEETING
23 October 2019

Trevor Janes, Chairman

2. CHAIR’S PRESENTATION
Trevor Janes, Chairman

3. BOARD AND MANAGEMENT
Since we last met a year ago, there have been a few changes to the Board and management team. In
particular, Alan has restructured and strengthened his leadership team.
A number of our executives are here with us today – can I ask you to stand so shareholders know
who you are. Thank you. I encourage shareholders to seek them out after the meeting and have a
chat.
At the front table, we have Alan Pearson our CEO, Lorraine Witten who is head of the Audit and Risk
committee and Jim Ramsay, one of the original founders of TIL Logistics and now an executive
director. Danny Chan, who is chair of our Governance and Remuneration committee, sends his
apologies – he is currently supporting our boys in black in Japan and is unable to make today’s
meeting. Greg Kern, who assisted with the reverse listing, stepped down as a Director during the
year and sold his shareholding in the business.
Also here today is Lee Banks, our chief financial officer, who was appointed to the role this time last
year. And at the far end is Peter Dryden, who is standing for election today.
As you may be aware, a number of members of the Board and senior management team have shares
in TIL, and their interests are firmly aligned with shareholders.

4. TIL LOGISTICS GROUP
This year, TIL is celebrating being 150 years old. While we may not be delivering goods by oxen and
cart anymore, our DNA is still to serve and to do so to the best of our ability.
Today we provide our customers with an end to end supply chain offering a range of services and
utilising modern technologies. We were recently recognised for our embrace of technology by the
Chartered Institute of Logistics & Transport with an Award for “Implementation and Practice”
surrounding technology, new safety systems and our commitment to sustainability.

Our goal is to run our company in a way that offers value, not just to our customers but to our staff,
the communities we operate in and all those involved in the supply chain.
The industry is facing increasing regulatory requirements, the use of digital technology, rising fuel
prices, wage pressures and growing demand from customers for an integrated freighting, logistics
and warehousing service. Only those businesses that have best practice as their goal, significant
scale and access to capital will succeed.
TIL is well positioned to grow both organically and through carefully selected acquisitions. We have
identified opportunities across all sectors to build our business, improve volumes and utilisation,
expand the offer and drive efficiencies.
5. OUR PROGRESS
Our focus over the last year has been to lay a solid foundation from which we can continue to grow.
• We expanded our warehousing capacity and by the end of our expansion programme we will
be the largest warehouse provider in the country.
• We acquired Specialist Transport and Lifting Group, providing the scale we needed to
compete in this sector.
• Management were charged with driving growth, building the customer base, identifying new
opportunities and tight cost control and this focus has continued into the new financial year.
• The final earnout consideration for the acquisition of the MOVE warehousing business in
2017, was satisfactorily settled between the parties; and
• Our share register changed following the sell down by Greg Kern, with his 5% shareholding
acquired by a number of institutional and private investors as well as members of the Board
and executive team.

Our focus for the current year is on organic growth of our existing businesses, and cost control
remains a major focus. While economic conditions are more challenging, we also have identified
new opportunities for our businesses. Alan will talk more on this shortly.

6. CAPITAL MANAGEMENT
Capital expenditure increased in FY19 as we invested in truck replacements, technology and
software, and new warehouse fitouts.
In FY20, our major projects include a new Transport Management System and the fitout of new
warehouses.

7. GROWTH DRIVERS AND OPPORTUNITIES
We have identified four avenues to drive growth for our business and these remain our focus.
We remain dedicated to providing a safe and rewarding workplace for our people, and our
commitment to reducing our environmental impact continues.

As we have done for the past 150 years, we run our business with the long term in mind and will
continue to leverage our strengths to gain market share and deliver value to our shareholders.
I will now hand over to Alan to talk about our progress in FY19 and the opportunities for each of
divisions in FY20.

8. CEO’S PRESENTATION
Alan Pearson, CEO

9. FY19 KEY EVENTS
I’d like to start by running through our FY19 results. I’ll keep it quite short as we’ve already covered
them in detail in our results announcement, presentation and annual report.
In summary, it was a year of good business growth and increasing sales across all divisions. We put
quite a lot of investment into growth initiatives and this was reflected in our results, along with the
higher cost base.
We acquired Specialised Lifting and Transport Group, opened three new warehouse facilities, and
restructured our organisation into five operating divisions, including the separation of NZL into
freighting and logistics services. In line with this, we established a new Senior Leadership Team with
Divisional leaders, creation of new CIO, Group HR and Group Safety roles and the appointment of
Lee Banks as Chief Financial Officer.
Our bundled transport and logistics offer is now starting to show dividends and market share is
growing, and we had a number of new customer wins as well as increasing demand from existing
customers.
We were also a signatory to the Climate Leaders Coalition and signed a Memorandum of
Understanding with Hiringa Energy in Taranaki to investigate hydrogen fuel cell technology transport
solutions.
10. FY19 RESULTS
Sales were ahead of the prior year and we had a good first half performance across all our
businesses. In the second half of the year, we had some unplanned costs and we also saw a
slowdown in the last quarter.
Pleasingly, adjusted earnings were up on the prior year, despite the increased cost base and
investment into growth initiatives.
Profit was slightly down on last year, due to increased depreciation and finance costs, and without a
tax benefit like we had in FY18.

11. BUSINESS DIVISION REVENUE AND EBITDA
Freighting, Warehousing & Logistics and Bulk Liquids are the main contributors to the group, and
provided 94% of revenue and 86% of adjusted EBITDA in FY19. Specialist and International are niche
markets with growth potential.
12. DIVISION REVIEW
We have identified opportunities to build market share and earnings across all divisions.
13. OUR BUSINESSES
As said, we have organised our group into five operating divisions, with the heritage of our brands
contributing to high levels of customer loyalty across multiple regions and being one of TIL’s
strengths.
14. FREIGHTING
We have a fleet of around 2,300 trucks, trailers, forklifts and light vehicles.
Around forty-five percent of New Zealand’s freight movements are in the Golden Triangle of
Auckland, Bay of Plenty and Waikato and 15% are in Christchurch. We have a robust freighting offer
across the country and particularly in these regions.
We’re confident we’ll see our client base continue to grow over time as businesses look for strong
providers.
New Zealand has around 4,500 trucking businesses, of which 85% operate fewer than five trucks.
With increasing regulation and compliance, rising operational costs, and customer demand for
integrated and sophisticated solutions, industry consolidation is inevitable.
We are well positioned to take advantage of this and will carefully consider acquisition of businesses
which will add immediate incremental value and market share or expand the range of services on
offer.
We can also leverage our scale and our investment into technology to drive productivity and margin
improvements.
15. FREIGHTING PROGRESS
A focused effort on margin is has commenced.
We continue to invest into new trucks which offer best in class safety, reduced emissions and
increase our fleet availability.
We’re also investing in specialised vehicles which provide new income streams, such as refrigerated
trucks, logging trucks, new crane trucks and even a bee unit and tractor to transport hives. Each of
these truck combinations can cost upwards of $500,000 so it’s a significant investment for our
business. We also spend around $23 million every year on repairs and maintenance to ensure our
trucks are safe on our roads.

Technology is a big focus, with in-cab technologies, electronic logbooks and safety systems all
working together to improve the well being and safety of our drivers. As said, it is pleasing to see our
investment and effort being recognised by industry organisations.
A big project this year is the implementation of a new, cutting edge Transport Management System,
which is like the ‘control tower’ for our business and will improve our efficiency and the customer
experience.
16. WAREHOUSING AND LOGISTICS
Customers don’t just want their goods moved from A to B. They increasingly demand a safe and
sustainable transport and logistics partner who can warehouse, move, and manage the links.
We have expertise spanning the freight and logistics sector which means we are well set up to meet
all our customers’ needs.
17. WAREHOUSING & LOGISTICS PROGRESS
Demand is growing and we are investing into expanded warehouse capacity – we opened three new
warehouses in Tauranga, Christchurch and Auckland in the last 12 months; and this financial year,
we are opening or expanding three more.
Combined, these will increase our capacity by 25% and will position us to be one of the largest
warehouse operators in the country.
18. NEW ROLLESTON WAREHOUSE
Rolleston is one of Canterbury’s fastest growing towns and industrial centres. It’s connected to the
State Highway, sits on a major rail junction and has large inland freight clearing facilities owned by
the Ports.
This makes it an ideal hub for our warehousing, logistics and transport businesses. The new MOVE
warehouse has a footprint of over 10,000 square metres and stage 2 will see this double in size this
year.
There are a number of potential benefits for our customers including reduced container transport
costs, container triangulation benefits and reduced supply chain costs.
We’re conscious of reducing our environmental footprint where possible and with all our new fit
outs, we’ve looked at ways we can do this. In the Rolleston warehouse, we’ve added solar panels to
generate electricity and we’re using smart energy systems, as well as electric rather than LPG
forklifts.
19. BULK LIQUIDS
We are specialists in the transport of bulk liquids. In particular, we operate one of the largest fuel
distribution providers in the country through Pacific Fuel Haul.
There are high entry barriers to this sector. Health and safety compliance is tougher, and you need
highly-trained, specialist staff.

We’ve invested in a lot of expensive specialist equipment and training for our people – our strength
in this sector cannot be easily replicated.
Many of our customer relationships go back 10 to 20 years and last year, we renewed our strategic
partnerships with Z Energy and Farmlands and these are now underway.
20. BULK LIQUIDS PROGRESS
We are seeing growing demand for non-fuel Bulk Liquid haulage in the dairy, food and chemicals
sectors and this is another growth area for us.
In line with this, have combined our Pacific Fuel Haul and Liquid Logistics brands into one, with four
sub-brands for each of the sectors we are targeting - Industrial, Edible, Chemical and Fuel.
Last year, for example, we signed a three-year contract with Lactanol to service its ethanol
transportation needs. Because ethanol is a highly flammable liquid, specialist training and trucks are
required to transport it from the Lactanol plant to storage facilities, and that’s where our expertise
comes into play.
We will be collecting and carting approximately 15 million litres of ethanol every year, and the
containers used to export the ethanol are also provided by our business, Pacific Liquid Logistics.
21. SPECIALIST
The acquisition of the Specialised Transport and Lifting Group last year gave us the scale we need to
compete in this sector and makes TIL the leading heavy haul provider in NZ.
Every day is different for this division, with jobs ranging from the removal of a 200 tonne crane at
Tiwai Point Aluminium Smelter, to the installation of wind farm turbines and cartage of concrete
panels, and the transport of extremely large items such as the decommissioned 330 tonne gas
turbine which we moved from Otahuhu to Auckland Port earlier this year.
These jobs are not just a matter of putting an item on a truck and moving it; it’s a logistical planning
exercise that often involves road closures, multiple trucks, temporary strengthening of bridges and
roads and so on.
TIL’s heavy haulage service is unique in New Zealand and there are many jobs where we are the only
provider with the trucks and skills to move extremely large and heavy items. FY20 looks promising
with a number of large projects being considered.
There are a growing number of wind farm projects underway, something we are ideally positioned
to help with. We are already well into preparations for the Turitea Windfarm Project, where we will
be delivering the blades and bodies for the turbine towers – some of these blades are up to 60m,
more than half a rugby field in length. This project is due to start in February next year and we’re
investing in new equipment and staff for the project duration.
22. INTERNATIONAL
Our international division is small but it’s an important cog in our supply chain.
In the last six months, we have handled over 510,000 kgs of airfreight, transported a floating oil
drilling rig, handled 38 international vessels and the movement of 470 ISO tanks.

We see opportunities for growth, both organically and by acquisition and there are also cross-Group
benefits, with increased volumes for the International business driving warehousing and transport
demand for items once they reach New Zealand.
23. HEALTH AND SAFETY
Across our business, we travel over 80 million kilometres each year, delivering product to over
30,000 sites while operating within 51 of our own sites with over 500 forklifts.
Overlaying this is our responsibility to deliver millions of litres of fuel to 60% of service stations and
farms, and gas to all locations not served by pipeline. This environment is hazardous and calls for
constant vigilance on all matters of safety.
We take the safety and wellbeing of our employees, contractors, owner drivers and communities
very seriously. It is an essential component to everything we do and is one of our core values.
There have been several media articles about poor and dangerous practices by some other transport
companies in NZ. We are of the opinion that organisations that condone or otherwise allow such
practices should not be in business. They exploit staff, give the industry a bad name and tarnish what
professional companies such as TIL are working to achieve – delivering safe and efficient services
that meet and exceed our customer’s expectations and protect our staff.
This is a responsibility that professional transport companies commit to and demonstrate through
their actions.
We continue to invest in training, technology and staff engagement to continuously improve our
safety culture and performance and have recently appointed a new Group Safety and Environmental
Manager. This investment does not come cheaply but we believe it is an indispensable part of our
social licence to operate.
24. ENVIRONMENT
We remain cognisant of the impact the trucking industry has on the environment and our focus on
alternative fuels continues to gather pace.
In July 2018, we became a founding signatory to the Climate Leaders Coalition. We’ve also signed a
Memorandum of Understand with a local NZ company, Hiringa, to further investigate hydrogen as a
large scale fuel option.
25. GROUP SUSTAINABILITY GOALS
While we will always have some impact on the environment, due to the nature of our business, we
are committed to lightning our footprint where we can.
We completed a CEMARS review in July 2019 to measure our carbon emissions, and since then
we’ve developed an Emissions Management and Reduction Plan with annual targets for
consumption.
There’s a lot of things we can do and we’ve already started working on some of them.
o We are a cornerstone partner of Z Energy for the use of bio fuels across TIL’s truck fleet in
New Zealand

o We are implementing in-cab technology such as Eroad and Autosense to monitor driver
behaviour for fuel efficiency
o We’re upgrading our forklift fleet to electrical, more efficient equipment and when we invest
in new trucks, we also consider fuel efficiency
o We are using selective catalytic reduction technology in our fleet to reduce emissions
o And we have invested in LED lighting across all TIL Logistics group warehouses.
26. PEOPLE
Our business is successful because of our people. From the truck drivers on the road to our
warehouse personnel, accounts and support office staff, logistics managers and leaders.
We would like to thank them all for the services they have provided and the role they continue to
play in our ongoing success.
Our positive culture is reflected in the high number of long service employees within the group, with
approximately 15% who have been with the company for more than 10 years and 6% who have
more than 30 years of service. While this may sound small, in today’s transient employment market,
it’s a number we’re proud of.
Recruitment of truck drivers and, surprisingly, of warehouse staff remains challenging. We have a
number of recruitment programmes underway including becoming an accredited employer able to
offer a pathway to NZ residency in order to address skill shortages. We are also looking to offer
cadetships for younger people into the industry and are planning for additional training to build skills
and support internal promotion within our business.
The Minister of Immigration recently announced changes including to how employers recruit
migrants for temporary work in New Zealand. With known Driver shortages, predominantly in
Auckland, we hope that the changes will recognise regional and sector difference in the market and
allow us to fill vacancies where no New Zealanders are available to employ or train.
27. TIL’S STRENGTHS
TIL’s strengths remain our diverse customer base and sector activities, our nationwide network built
on foundations of regional strength, our end to end supply chain offer, the heritage of our brands
and our leading market positions in niche sectors such as dangerous goods and specialised transport.
Our values and investment into our business are also attractive for customers and staff.
28. OUTLOOK
We are now four months into the financial year and heading into our peak season. We are
monitoring business confidence and the economy carefully, as this closely links to the transport and
freight industry.
The business environment has been softer, with business confidence trending down; more
restrictive lending by banks as a consequence of the Reserve Bank’s stance on capital requirements;
a number of large construction projects coming to an end; and uncertainty about the pipeline of
future infrastructure projects. This is creating a domino effect across many industries, including our
own and trading was softer than expected in the first quarter of FY20.

The higher cost environment also remains, with increasing regulation; higher fuel costs, road user
charges and regional fuel taxes; increasing rent costs and wage costs and higher costs for parts and
equipment due to the lower exchange rate and price increases. In particular, we’ve seen wage costs
increase significantly in the past 12 months, with more aggressive tactics being taken in collective
employment bargaining. Conversations with other transport providers show they are seeing similar
trends.
However, there are many bright lights for our company and new and growth opportunities have
been identified across a range of sectors, and particularly in Specialised, International and non-fuel
Bulk Liquid haulage.
A large percentage of our revenue comes from oil & gas transport and the food & beverage sector,
where we transport lactanol, a by product of the dairy industry, wine and other food and beverage
items, and warehouse products ranging from supermarket goods to alcoholic drinks. The building
and construction industry is also important for us.
While we have seen a slowdown in some sectors, such as dairy farming, construction and logging,
other industries are growing, such as windfarms and aquaculture. General freight remains
consistently high and has actually grown year on year.
We are tendering for multi-million contracts with new and existing customers and have had a
number of successes to date. Our bundled freight, warehouse and logistics offer is proving
attractive, we are winning work on the back of our specialist services such as transport for
windfarms, and we are well positioned to take advantage of the increasing demand for warehousing
and logistics. We will continue to invest in equipment and people to ensure we remain an attractive
and viable option for customers.
Our primary focus is on driving organic growth and the investments made into expanding our
capacity and our offer in the last year will assist with this.
We are expecting an improved performance in FY20, driven by organic growth, new customer
contracts, additional warehousing capacity, and benefits of FY19 investments including full year
benefit of SLTG.

ENDS