Chair, CEO & CFO presentation to shareholders

ANNUAL GENERAL MEETING
24 October 2019

DISCLAIMER
Certainstatementsinthisannouncementconstituteforward-lookingstatements. Forward-lookingstatementsarestatements(otherthan
statementsofhistoricalfact)relatingtofutureeventsandtheanticipatedorplannedfinancialandoperationalperformanceofMichaelHill
InternationalLimitedanditsrelatedbodiescorporate(theCompany).Thewords“targets,”“believes,”“expects,”“aims,”“intends,”“plans,”
“seeks,”“will,”“ m ay,”“might,”“anticipates,”“would,”“could,”“should,”“continues,”“estimates”orsimilarexpressionsorthenegativesthereof,
identifycertainoftheseforward-lookingstatements. Otherforward-lookingstatementscanbeidentifiedinthecontextinwhichthestatements
aremade. Forward-lookingstatementsinclude,amongotherthings,statementsaddressingmatterssuchastheCompany’sfutureresultsof
operations; financialcondition;workingcapital,cashflowsandcapitalexpenditures; andbusinessstrategy,plansandobjectivesforfuture
operationsandevents,includingthoserelatingtoongoingoperationalandstrategicreviews,expansionintonewmarkets,futureproduct
launches,pointsofsaleandproductionfacilities.
AlthoughtheCompanybelievesthattheexpectationsreflectedintheseforward-lookingstatementsarereasonable,suchforward-looking
statementsinvolveknownandunknownrisks,uncertaintiesandotherimportantfactorsthatcouldcausetheCompany’sactualresults,
performance,operationsorachievementsorindustryresults,todiffermateriallyfromanyfutureresults,performance,operationsor
achievementsexpressedorimpliedbysuchforward-lookingstatements.
Suchrisks,uncertaintiesandotherimportantfactorsinclude,amongothers: globalandlocaleconomicconditions; changesinmarkettrendsand
end-consumerpreferences; fluctuationsinthepricesofrawmaterials,currencyexchangerates,andinterestrates; theCompany’splansor
objectivesforfutureoperationsorproducts,includingtheabilitytointroducenewjewelleryandnon-jewelleryproducts; theabilitytoexpandin
existingandnewmarketsandrisksassociatedwithdoingbusinessgloballyand,inparticular,inemergingmarkets; competitionfromlocal,
nationalandinternationalcompaniesinthemarketsinwhichtheCompanyoperates; theprotectionandstrengtheningoftheCompany ’s
intellectualpropertyrights,includingpatentsandtrademarks; thefutureadequacyoftheCompany’scurrentwarehousing,logisticsand
informationtechnologyoperations; changesinlawsandregulationsoranyinterpretationthereof,applicabletotheCompany’sbusiness;
increasestotheCompany ’seffectivetaxrateorotherharmtotheCompany ’sbusinessasa resultofgovernmentalreviewoftheCompany ’s
transferpricingpolicies,conflictingtaxationclaimsorchangesintaxlaws; andotherfactorsreferencedtointhispresentation.
Shouldoneormoreoftheserisksoruncertaintiesmaterialise,orshouldanyunderlyingassumptionsprovetobeincorrect,theCompany ’sactual
financialcondition,cashflowsorresultsofoperationscoulddiffermateriallyfromthatdescribedhereinasanticipated,believed,estimatedor
expected. Accordingly,youarecautionednottoplaceunduerelianceonanyforward-lookingstatements.
TheCompanydoesnotintend,anddonotassumeanyobligation,toupdateanyforward-lookingstatementscontainedherein,exceptasmaybe
requiredbylaw. Allsubsequentwrittenandoralforward-lookingstatementsattributabletousortopersonsactingontheCompany’sbehalfare
expresslyqualifiedintheirentiretybythecautionarystatementsreferredtoaboveandcontainedelsewhereinthispresentation.
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CHAIR’S ADDRESS
3

Executive Review
•FY19 Business Overview
•FY19 Financial Results
•FY20 Initiatives
•FY20Q1 Trading Update
5

FY19 Business Overview
7
FY19 was a transitional year as the Company appointed a new
CEO and strengthened the management team
•Strong heritage brand
•Sales performance recovery
•Strengthened executive team
•End to end business and strategy re-affirmed
•Modernisation of our business and a focus on retail fundamentals
•Stronger fiscal discipline

FY19 Financial Snapshot
•Despite a challenging Q1, sales performance momentum recovered
throughout the subsequent quarters, with FY19Q4 +0.7%
•All segments suffered compressed margin during FY19H2 in order to
stabilise sales performance
•Delivered a cost out program for annualised cost savings of $5m
•Deliberate focus to reduce inventory through an active inventory
management program
•Statutory NPAT of $16.5m, impacted by one-off employee remediation
provision of $4.5m, aged inventory impairment of $6.0m and other
one-off items
•EBIT of $21.1m and underlying EBIT of $34.6m
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FY19FY18*
Revenues $569.5m $575.5m
Statutory NPAT $16.5m$1.6m
EBIT$21.1m$8.9m
Full Year Dividend 4.0c5.0c
Cash Flow $39.0m$54.9m
Net Debt $24.8m $28.0m
Inventory$179.5m $192.1m
* FY18 statutory earnings restated for employee remediation

$
569.5m
GROUP OPERATING REVENUE
2018: $575.5m*
$
16.5m
N ET PROFIT
AFTER TAX
2018: $1.6m **
$
39.0m
OPER AT INGN ETCASH FLOW
2018: $54.9m
$
24.8m
NET DEBT
2018: $28.0m
$
34.6m
UNDERLYING EBIT
2018: $40.1m
4.0 c
D IVIDEND
2018: 5.0c
62.0%
G ROSSMARGI N
2018: 63.7%
-3.3%
SAME STORE
SALES
$179.5m
INVENTORY
2018: $192.1m
46.8%
EQUITY RATIO
2018: 45.9%*
Key Financial Results
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* Continuing operations only
** FY18 restated for employee remediation

$
16.0m*
E - COMMERCE SALES
2018: $11.1m*
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NEW STORES
OPENED
32.5%
BRANDED COLLECTION SALES
+1.8%
CANADA
RETAIL SEGMENT REVENUE**
-4.1%
NEW ZEALAND
RETAIL SEGMENT REVENUE**
-3.7%
AUSTRALIA
RETAIL SEGMENT REVENUE**
* Includes Emma & Roe e-commerce sales
** Local currency
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STORES
CLOSED
$5m CODB
ANNUALISED SAVINGS
Operational Performance
10

Group Results
•Group revenue declined by 1.1%, with same store sales up 0.7% for FY19Q4
•Statutory EBIT of $21.1m, up from FY18 of $8.9m**
•Underlying EBIT of $34.6m, down from $40.1m
•Gross margin for the Group was down from prior year to 62.0%
•Final dividend of AU 1.5 cents per share, giving a full year dividend of AU 4.0 cents per share
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For theyear endedAUDJun-19Jun-18*change
Revenue569.5m575.5m-1.1%
Grossprofit353.0m366.9m-3.8%
Gross profit as a % ofrevenue62.0%63.7%-170ppts
Underlying EBIT34.6m40.1m-13.7%
Underlying EBIT– as a % ofrevenue6.1%7.0%-90ppts
StatutoryEBIT21.1m8.9m**+138.6%
Statutory EBIT as a % ofrevenue3.7%1.5%+220ppts
To t a l storesopen306312-6
* Jun-18 figures for revenue and gross profit reflects only continuing operations (excluding Emma & Roe and US). Jun-19 includesall operations.
** Jun-18 statutory EBIT restated for employee remediation

FY20Q1 Trading Update
•Positive sales momentum with same store sales +11.9%
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FY20Q1 Trading Update
•Positive sales momentum with same store sales +11.9%
•Strong sales performance across all markets: Canada
+16.4%, New Zealand +10.1% and Australia +6.8%
•Margin compression continues, with early signs of
positive movement
•Canadian productivity focus delivers positive Q1 result
•Branded collection sales represents 37.9% of total
product sales (up from 32.5% FY19)
•Store portfolio management remains a priority
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Key Initiatives for FY20
Building on the Strategic Priorities with seven key initiatives
1.Continued focus on cost of doing business
•Delivered the FY19 cost out program – annualised benefits of $5m
•A further $5m savings identified that will fully annualisein FY21
•Continued disciplined fiscal approach
2. Retail Operating Model
•Continued implementation of a more sophisticated and integrated customer-focused retail
operating model
•Driving regular product newness to our stores, a structured and consistent marketing platform,
and exciting changes within stores for our customers
3.Retail Fundamentals
•Deliberate emphasis on our core disciplines presents a significant opportunity
•Intense focus on retail execution and visual merchandising, enhancing our brand, inventory
management, and cost control
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Key Initiatives for FY20
4.Acceleration of the Branded Collections strategy
•Clear pathway to drive exclusive Branded Collection sales to 50% over the coming years
•To assist with sales growth and margin opportunity with existing customers
•Avenue to attract new customers to the Michael Hill brand
5. New Merchandise Rhythm
•“Newness” - implementing new processes and a new critical path to ensure that new product is
brought to market on a regular basis
•A focus on margin mix and margin outcomes
6. Canadian Productivity
•Plans to drive increased sales per square metrehave been developed and will be implemented
7.Online as a core focus
•Strong focus on improving our existing online customer experience and expanding our digital
platform for the future
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New Brisbane City Flagship Store
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Business of the Annual
General Meeting

FINANCIAL REPORT
for the financial year ended 30 June 2019
•Audited financial statements;
•Directors’ Report; and
•Auditor’s Report.
19

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RESOLUTION 1: Remuneration Report
(Advisory Resolution)
To consider and if thought fit, pass the following advisory resolution:
“That the Remuneration Report for the year ended 30 June 2019 (as set out in the
Directors’ Report) is adopted.”
FORAGAINSTOPENABSTAINEXCLUDED
NO. OF
SHARES
64,039,789512,053667,997451,568167,487,526
% OF
ELIGIBLE
VOTES
98.190.791.02--
% OF ALL
SECURITIES
16.510.130.170.1243.19

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RESOLUTION 2: Re-election of Gary
Warwick Smith as a Director
To consider and if thought fit, pass the following resolution, as an Ordinary Resolution
of the Company:
“That Gary Warwick Smith, who retires by rotation in accordance with Listing Rule 14.4
and Article 38.6 of the Company’s Constitution and, being eligible, offers himself for
re-election, be re-elected as a Director.”
FORAGAINSTOPENABSTAINEXCLUDED
NO. OF
SHARES
232,231,78523,814667,997235,3370
% OF
ELIGIBLE
VOTES
99.700.010.29--
% OF ALL
SECURITIES
59.890.010.170.060.00

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RESOLUTION 3: Grant of Share Rights
under Company’s Incentive Plan
To consider and if thought fit, pass the following resolution, as an Ordinary Resolution
of the Company:
“That for the purposes of Listing Rule 7.2 (exception 9(b)) and for all other purposes,
the Shareholders approve the issue of securities under the Company’s Incentive Plan
approved by the Board on 18 August 2016 (Plan) as an exception to Listing Rule 7.1.”
FORAGAINSTOPENABSTAINEXCLUDED
NO. OF
SHARES
63,775,842764,550652,497487,518167,487,526
% OF
ELIGIBLE
VOTES
97.821.181.00--
% OF ALL
SECURITIES
16.450.200.170.1243.19

Thank you
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