Trading Update

Kathmandu Holdings Ltd
kathmanduholdings.com
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KATHMANDU HOLDINGS LIMITED

ASX / NZX / MEDIA ANNOUNCEMENT

29 June 2021

COVID-19 lockdowns impact Australian trade

Kathmandu Holdings Limited (NZX / ASX: KMD) (the Group) today provides the following trading update
following the recent announcement of additional COVID-19 restrictions in New South Wales, Australia.

A number of the Group’s retail stores have suffered renewed disruption to trading from COVID-19 lockdown
restrictions in Australia, with 40 stores currently closed in New South Wales for a minimum of two-weeks, and
26 further stores closed in Western Australia for a minimum of 4 days from today. This follows the two-week
lockdown in Victoria which impacted 62 stores in early June.

As a result, under the currently announced restrictions, Group total sales for FY21 are expected to be below
original expectations at approximately $930 million, and underlying EBITDA is estimated at c.$120 million.
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The
impact of the New South Wales and recent Victorian lockdowns and associated movement restrictions is
estimated to be c.$13 million on EBITDA. Uncertainty remains due to the evolving COVID-19 situation in
Australia, and this expectation is subject to change.

Kathmandu brand had a positive start to winter, with trading broadly in line with pre-COVID-19 levels before
Australian lockdowns began to impact the key winter trading period.

Rip Curl has continued to trade strongly in the key regions of North America and Europe, where, despite COVID-
19 related disruptions, direct to consumer sales remain well above pre-COVID-19 levels. Wholesale orders
received for FY22 continue to show double-digit growth over FY19.

Oboz has seen record sales performance in the second half of FY21, with wholesale orders for FY22 significantly
above both FY19 and FY20.

Commenting on trading, Group CEO Michael Daly said:

“COVID-19 continues to be a disrupting factor, in particular for Australasia during the key trading period for
Kathmandu. Excluding these impacts, Kathmandu had a solid start to the winter season, and Rip Curl sales
momentum continues. Trading conditions in the Northern Hemisphere for both Rip Curl and Oboz are particularly
strong across our online, retail and wholesale channels, as our Group benefits from a diversified mix of channel
and geographies.”

- ENDS -

This announcement has been authorised for release by the Board.




For further information, please contact:

Investors
Eric Kuret
Market Eye
P: +61 417 311 335

Media
Helen McCombie
Citadel-MAGNUS
P: + 61 2 8234 0103


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Excludes the impact of IFRS 16, recent IFRIC interpretations, and one-off non-cash items. Includes net government
subsidies.