PGW Raises Guidance

PGG Wrightson Ltd | NZX Announcement 1

8 DECEMBER 2020

PGW Raises Guidance


Operating EBITDA* forecast to be up circa 50% (on a NZ IFRS 16 exclusive basis)
PGG Wrightson Limited** (PGW) Chairman, Rodger Finlay, noted that “the Board had determined to
update guidance in relation to FY2021 earnings and dividend expectations.”
“Based on our current assessment, the Board considers that PGW is well placed to deliver an Operating
EBITDA result of around $57 million (or around $35 million excluding the impact of the new lease
accounting standard). Achievement of a result at this level would represent a very healthy circa 27%
improvement on the prior year on a NZ IFRS 16 inclusive basis (or a circa 50% improvement excluding
NZ IFRS 16).”
Chief Executive, Stephen Guerin said, “We have had a pleasing first five months of the financial year
with the business trading well and exceeding expectations. We have seen strong demand in our Rural
Supplies and Fruitfed Supplies retail businesses over the crucial spring period. Livestock trading
volumes have been healthy with good saleyard throughput. There has also been renewed activity in the
rural and lifestyle real estate sectors with robust buyer interest.”
“While there is a further seven months to run in the financial year, and a degree of unpredictability in
global markets remains with the ongoing pandemic and other geopolitical factors at play, we are very
pleased with how PGW is tracking year to date and optimistic about our prospects.”
Mr Finlay also noted that PGW anticipated providing a further update when announcing its half-year
results in February 2021 and said, “While a decision on the interim dividend would not be made until the
release of PGW’s half-year results, it is the expectation of the Board that an interim dividend of not less
than 10 cents per share will be declared based on our strong trading performance.”

Ends
All media enquiries to:
Julian Daly
General Manager Corporate Affairs
PGG Wrightson Limited
Mobile: +64 27 553 3373

*Operating EBITDA: Earnings before net interest and finance costs, income tax, depreciation, amortisation, the results from
discontinued operations, fair value adjustments and non-operating items. PGW has used non-GAAP profit measures when
discussing financial performance in this document. Please refer to our full accounts for details of how Operating EBITDA relates
to GAAP. For a comprehensive discussion on the use of non-GAAP profit measures, please refer to the policy “Non-GAAP
Accounting Information” available on our website www.pggwrightson.co.nz

**All references to PGG Wrightson Limited or the Group refer to the Company, its subsidiaries and interests in associates and
jointly controlled entities.