Kingfish ASM Presentation 05 August 2022

ANNUAL MEETING
OF SHAREHOLDERS
Kingfish Limited
5 August 2022

Board of Directors
Kingfish Team
Andy
Coupe
Carol
Campbell
David
McClatchy
Fiona
Oliver
Sam Dickie
Senior Portfolio
Manager
Matt Peek
Senior Investment
Analyst
Wayne Burns
Corporate
Manager
Michael
Bacon
Senior Investment
Analyst

Agenda
•Preliminary matters
•Chair’s Overview
•Manager’s Review
•Q&A
•Annual Meeting Resolutions

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Chair’s Overview

Kingfish’s Investment Objectives
Achieve a high real rate of return, comprising both income
and capital growth within acceptable risk parameters
Access to a diversified portfolio of New Zealand quality,
growth stocks through a single tax-efficient vehicle
Absolute Returns
Diversified Portfolio

Corporate Governance
•Board meetings
•Investment Committee meetings
•Audit & Risk Committee meetings

2022 Overview
Net (loss) /profitDividendNAV per shareShare price
($17.3m)
(2021: $142.7m)
14.34cps
(2021:13.48cps)
$1.58
(2021: $1.77)
$1.75
(2021: $1.90)
Total shareholder
return*
Dividend return
Adjusted NAV
return*
Share price
premium to NAV ^
+0.02%
(2021: +65.1%)
+7.4%
(2021: +7.7%)
-3.5%
(2021: +41.1%)
11.6%
(2021: 7.3%)
*These metrics are Non-GAAP measures calculated in accordance with the methodology described in the Kingfish Non-GAAP Financial Information Policy which is
available on the Kingfish website.
^Share price premium/(discount) to NAV (including warrant price on a pro-rated basis, when warrants are on issue).

2022 Overview –Continued
Portfolio Performance
For the year ended
31 March
12 months
3 years
(annualised)
5 years
(annualised)
Adjusted NAV
return*
-3.5%
(2021: +41.1%)
+11.0%+13.0%
Gross performance *
-2.5%
(2021: +46.0%)
+13.5%+15.6%
Benchmark Index ^
-3.6%
(2021: +28.2%)
+7.1%+11.0%
*These metrics are Non-GAAP measures calculated in accordance with the methodology described in the Kingfish Non-GAAP
Financial Information Policy which is available on the Kingfish website.
^ The S&P/NZX50G Index

Earnings per share
Earningsper
Share
20222021202020192018
Basic Earnings
per Share
(cents)
-5.4956.280.7524.2419.62
Diluted
Earnings per
Share (cents)
-5.4954.650.7523.8119.51

Use of Shareholder’s Funds

First Four Months, FY 2023
1 April –31 July 2022
Total shareholderreturn*
-7.2%
Adjusted NAV return*
-5.5%
NAV per share 31 July 2022
$1.46
Share price 31 July 2022
$1.60
Net loss
($28.3m)
*These metrics are Non-GAAP measures calculated in accordance with the methodology described in the Kingfish Non-GAAP Financial
Information Policy which is available on the Kingfish website.

Warrants
•Capital Management Programme
•79.1m KFLWG warrants issued in November 2021 with an
initial exercise price of $2.03
•Exercise date is 18 November 2022
•The final exercise price will be announced in early October

Sam Dickie
Senior Portfolio Manager
Manager’s Review

Who am I?....
•I have grown profits by 75% over the past 4 years
•That is 3x as fast as my closest competitor
•Demographics are a tailwind
•Despite this, I am the cheapest I have ever been

Agenda
1.FY2022 review
2.Market update
3.Kingfish process in action
4.Portfolio insights
5.Outlook

1. FY2022 review

Manager performance in Financial Year end 2022
-2.5%
-3.6%
-4%
-3%
-2%
-1%
-
Kingfish gross performance returnS&P/NZX50G index

Financial Year 2023 performance to 03 August 2022
-2.2%
-3.3%
-3.5%
-3.0%
-2.5%
-2.0%
-1.5%
-1.0%
-0.5%
-
Kingfish gross performance returnS&P/NZX50G index

Portfolio company performance in FY2022
* Re-entered EBOS in December 2021 –Chart displays holding period return
-50%
-25%
0%
25%
50%
Pushpay Holdings
Ryman Healthcare
a2 Milk
F&P Healthcare
Port Of Tauranga
Vista
Delegat
Meridian Energy
Summerset
Auckland Airport
Freightways
Infratil
Contact
EBOS*
Mainfreight

2. Market Update

10,000
11,000
12,000
13,000
14,000
Mar 21Jun 21Sep 21Dec 21Mar 22Jun 22
Global markets have sold off in two phases
Note: S&P/NZX50G index; Source: Bloomberg
FY2022 financial year
Phase II:
Recession/corporate
earnings fears
Phase I: Inflation +
interest rate explosion
= valuation correction

Phase I
Interest rates have driven down valuations
Source: Bloomberg
0%
1%
2%
3%
4%
5%10
15
20
25
2009201020112012201320142015201620172018201920202021
S&P 500 P/E Ratio (LHS)US 10 Year Treasury yield Inverted (RHS)

Phase II
Concerns about global growth
Source: Bloomberg
4.3%
Average across 2021
Latest
3.0%
World 2022 Real GDP Growth
US Business Outlook Survey
(diffusion index)
31
-12
NZ Consumer Sentiment
(ANZ Roy Morgan)
108
82

-1
0
1
2
3
4
Jan 01Jan 03Jan 05Jan 07Jan 09Jan 11Jan 13Jan 15Jan 17Jan 19Jan 21
BofA Risk Indicator
But...the good news is...fear is elevated
Outside of major economicstress, risk indicators have not been this elevated
Tech
wreck
GFC
Eu sovereign crisis
COVID-19/global
lock-downs
Source: Bloomberg

3.Kingfish process in action:
Divergence between fundamentals and sentiment

Execution of growth strategy continues
Source: Company data
Top 500 customers in FY22
+78
newly won customers
+68
higher share of spend
+25
now in multiple regions
+10
now across all 3 products
Building &
intensifying
the branch
network
Growing
market
share
Focus on
culture,
people,
service
Increasing
efficiency
driving up
margins
73
166
86
219
New ZealandOffshore
2017A2022A
6%
8%
10%
FY20FY21FY22
Transport profit before tax margin
(percent of revenue)

Onus shifts to ‘bears’ to prove slowdown
Source: Bloomberg
Share price has pulled back sharply ... ... despite continued growth trajectory
in the core business
(weekly profit before tax)
0
20
40
60
80
100
Mar 16Mar 17Mar 18Mar 19Mar 20Mar 21Mar 22
-
$1m
$2m
$3m
$4m
$5m
$6m
FY17FY18FY19FY20FY21FY22FY23E
TransportWarehousing

4. Portfolio insights

Portfolio management: FY22 and FY23 to date
Larger
Smaller
Target weight
changes (net)

What went especially well and why
Strong asset realisations
Continues to take market share in
pharmaceutical distribution
Broker estimates
EBOSCompetitor 1 Competitor 2
FY19FY21
Market capitalisation measured as at 21 July 2022
DateEvent% Market cap
April 2020Tilt Renewables capital return4.4%
August 2021Tilt Renewables full sale34.1%
July 2022Vodafone towers sale14.2%
Total52.7%

What didn’t go well and what we learned
500
750
1000
1250
1500
1750
2000
FY16FY17FY18FY19FY20FY21FY22FY23EFY24E
Differentiated capital management
20%
25%
30%
35%
40%
45%
50%
201620172018201920202021
Net debt / (net debt + equity)
RymanSummerset
Revenue spike from COVID coming
back to earth
Source: Bloomberg

5. Outlook

Outlook
•NZ/global economic activity levels slowing
•Inflation and interest rates possiblystabilising
•Volatility creates opportunities
•Consistent strategy: Wide moats, long growth runways,
exceptional management

A tough few months for Kingfish but long term outperformance intact
As at 31 July 2022
$-
$200,000
$400,000
$600,000
$800,000
$1,000,000
$1,200,000
$1,400,000
Mar 04Mar 06Mar 08Mar 10Mar 12Mar 14Mar 16Mar 18Mar 20Mar 22
Adj. NAVS&P/NZX50G

... I am Summerset
Source: Bloomberg
0.5x
1.0x
1.5x
2.0x
2.5x
3.0x
Nov 11Nov 13Nov 15Nov 17Nov 19Nov 21
Summerset rolling 12 month forward estimated Price/Book

General Questions from
Shareholders
(not relating to resolutions)

ONLINE ATTENDEES –VOTING PROCESS
Shareholder & Proxyholder Voting
Once the voting has been opened, the
resolutions and voting options will allow
voting.
To vote, simply click on the Vote tab, and
select your voting direction from the options
shown on the screen. You can vote for all
resolutions at once or by each resolution.
Your vote has been cast when the tick
appears. To change your vote, select
‘Change Your Vote’.

Annual Meeting
2022 resolutions

2022 Annual Meeting Resolutions
•Introduce and propose
•Discussion, questions
•Lodge your vote per the digital portal

Matters of Business
•Annual Report
•Resolutions:
–Elect Fiona Oliver
–Auditor remuneration

Resolution 1
Election of Fiona Oliver
To elect Fiona Oliver as a Director of Kingfish Limited

Resolution 2
Auditor Remuneration
That the Board of Directors be authorised to
fix the remuneration of the auditor for the
ensuing year

Conclusion
•Complete and sign voting paper
•Voting papers in the voting boxes
•If you need a voting paper please see Computershare
•Results to NZX

Thank you

---

Kingfish Limited
Phone +64 9 489 7094
Fax +64 9 489 7139
Private Bag 93502
Takapuna, Auckland

5 August 2022
Kingfish Limited Annual Meeting
Chair’s Address from Andy Coupe
[Slide: Kingfish Limited Annual Meeting of Shareholders]
Welcome to the 18th Kingfish annual meeting of shareholders, I’m Andy Coupe, the new Chair of
Kingfish.
Its pleasing to again be able to hold this annual meeting in-person. However we have put in place
the virtual meeting option for those who are unable to attend in-person, and we welcome those
who have joined the meeting via the Computershare virtual meeting platform.
We are duly convened as a Notice of Meeting has been circulated to shareholders and I can confirm
that a quorum is present so I declare the meeting open.
Please note that the exits are at the back and front of the room. Please ensure you turn your cell
phones off or put them on mute.
For those here in-person there will be a light lunch at the conclusion of the meeting. We look
forward to meeting many of you after the meeting.

[Slide: Introductions]
Let me introduce the front table.
Firstly the directors. To my right is Carol Campbell (Chair of the Audit & Risk Committee), next to her
is David McClatchy (Chair of the Investment Committee) and next to him is Fiona Oliver, who is
standing for election today.
Next to Fiona is Sam Dickie the Kingfish Portfolio Manager, and next to Sam is Wayne Burns the
Corporate Manager.
Also here today, in the audience, are Senior Investment Analysts Matt Peek and Michael Bacon. Can
you please stand up Matt, Michael.
We are also pleased to have representatives from our share registrar, Computershare, auditor,
PricewaterhouseCoopers, our tax advisors, Deloitte and our legal advisors, Bell Gully in the audience
today.
I’d also like to acknowledge Carmel and Hugh Fisher who are both here today, and also Alistair Ryan,
our former Chairman, who is also here today.

[Slide: Agenda]
The agenda for today.
Firstly preliminary matters
• The minutes of the 2021 annual shareholders’ meeting held on 6 August 2021 are
available at the registration desk and are also on the Kingfish website.
• The 2022 annual report has been circulated to shareholders – additional copies are
available at the registration desk and can also be found on the Kingfish website.

Today I’ll give a brief update on the Kingfish 2022 financial year and the year to date, and then
Kingfish’s Senior Portfolio Manager, Sam Dickie will review the Kingfish portfolio.
After the Manager’s Review, we will have a Q&A session, and we’ll then move to the formal business
of the meeting.
There are two resolutions for you to consider and vote on today, which are as set out in the Notice
of Meeting.

[Slide: Online Attendees – Question Process]
If you’re attending the meeting online there’s a Q&A icon at the top right of your screen.
To send in a question, please select the Q&A tab on the right half of your screen anytime. Type your
question into the field and press send. Your question will be immediately submitted.
We’ve set aside a time at the end of the two presentations for general questions relating to the
operations and management of the business.
Questions relating to the two resolutions will be dealt with in conjunction with each of the
resolutions.
Should you require any assistance, you can type your query and one of the Computershare team will
assist with the chat function and reply to your query.

[Slide: Chair’s Overview]
It is now my pleasure to present the Chair’s Overview at this meeting.

[Slide: Kingfish’s Investment Objective]
As directors, and managers, we typically start our annual meetings with a quick reminder of what we
are here to achieve, being
• to achieve a high real rate of return, comprising both income and capital growth, within
risk parameters acceptable to the directors; and
• to provide access to a diversified portfolio of New Zealand quality, growth stocks
through a single tax-efficient investment vehicle.

[Slide: Kingfish’s Corporate Governance]
Turning now to corporate governance.
The board is committed to strong governance principles and to overseeing the Manager’s portfolio
performance on behalf of shareholders.
In a normal year the board generally meets formally six times per annum, plus other meetings as
required.
The Investment Committee meets twice a year, on a six monthly basis, to hear from the Manager
about what has gone well and what has disappointed, and to engage in a comprehensive review
session covering key performance metrics, some of which we will go through on the following slides.
As in the previous financial year, the impact of Covid has necessitated adjusting to different working
conditions for the manager, and the board is pleased with the effectiveness of those measures.

The volatility of the market has also seen an increase in the level of out of cycle investment
committee discussions with the portfolio manager and the Chief Investment Officer, in particular
relating to risk reporting and mitigations.
The Kingfish Audit and Risk Committee generally meets twice a year, on a six monthly basis, to
review the company’s financial reporting, internal controls and risk management systems, and to
meet with the external auditor and receive their report on both the interim and year end accounts.
The Kingfish 2022 result was announced in May, but I’ll highlight some of the key performance
measurements on the next slide.

[Slide: 2022 Overview]
I imagine that all shareholders will be aware of the battering that share markets globally have
experienced. The NZX was no exception and the Kingfish result over the past twelve months reflects
that.
• Kingfish has suffered a net loss of -$17.3m, its first loss since 2009. This is in stark
contrast to the previous year’s record net profit of $142.7m.
• Total shareholder return was flat for the year, up just +0.02% and well down on last
year’s record 65.1% return.
• Kingfish’s regular dividends continued to contribute to the shareholder return with
14.34 cents per share paid in dividends during the 2022 financial year, which is
equivalent to a dividend return, not a dividend yield, of +7.4% (2021: +7.7%). These
returns are calculated based on the average share price for the year.
• The overall net asset value (NAV) per share fell from $1.77 (as at 31 March 2021) to
$1.58 (as at 31 March 2022)
• The adjusted NAV return was negative -3.5% for the period, which represents the net
return to an investor after expenses, fees and tax.
• The share price to NAV difference remained at a premium, 11.6% as at 31 March 2022,
as compared to the 7.3% premium as at 31 March 2021.


[Slide: 2022 Overview - Continued]
This chart compares the Adjusted NAV return, (the net return to an investor after expenses, fees and
tax), and
the gross performance return (the return before expenses, fees and tax),
to the benchmark index return over the periods of 1, 3 and 5 years.
The Kingfish portfolio has consistently out-performed the benchmark index, albeit only marginally
over the financial past year. Hence while the last financial year has been disappointing in an absolute
sense, we are pleased that the portfolio has achieved its objectives over the longer term, and we
believe it represents a very reasonable outcome for most shareholders.
Sam will discuss the New Zealand share market dynamics and a more detailed description of how
the portfolio performed shortly in the Manager’s Review.

[Slide: Basic and Diluted Earnings per Share]
This chart shows the earnings, or in the case of this year, the loss per share.
It’s a potent reminder of how variable sharemarket returns can potentially be and the degrees of
volatility that equity markets can experience from time to time

[Slide: Use of Shareholder Funds]
Turning now to Shareholders’ Funds
This chart shows the Kingfish NAV of $551m (as at 31 March 2021) decreased by a net $46m to
$505m (as at 31 March 2022).
The movements during the year as represented by the red, yellow and blue columns were:
- the $17.3m net loss, less $45m dividends paid, but adding back $16m for dividends
reinvested by shareholders.

[Slide: First four months, FY 2023]
The first four months of the new financial year show the ongoing impact from pressures and
concerns regarding inflation, and the consequent more aggressive central bank interest rate
increases, supply chain disruption, and the ongoing Russian / Ukraine conflict.
This slide provides a snapshot of the first four months of the current financial year to 31 July 2022:
• Total shareholder return for the four months was down –7.2% - driven by the share
price decrease from $1.75 (31 March) to $1.60 (31 July).
• As at 31 July, the NAV per share was $1.46 ($1.58 as at 31 March) – a decrease of 12
cent in four months and after a dividend of 3.16 cents per share paid on 23 June.
• The adjusted NAV return for the first four months of the 2023 financial year was down
–5.5% (which represents the net return to an investor after expenses, fees and tax).
• This performance to date, translates to a net loss of $28.3m for the four months to 31
July.

[Slide: Warrants]
Kingfish has an ongoing warrant programme as part of its overall capital management programme.
The most recent warrants (KFLWG) were issued to eligible shareholders in November 2021.
79.1m warrants were issued and have an exercise date of 18 November 2022.
The final exercise price will be announced in early October and will be the initial exercise price of
$2.03 less
the dividends declared between 15 November 2021 and the announcement of the final
exercise price. To date three dividends totalling 10.38 cents per share have been declared and we
expect one more dividend to be declared prior to the announcement of the final exercise price.


Closing remarks
In closing, on behalf of the Board, thank you shareholders for your continued support of Kingfish.
The past twelve months have been very challenging and I don’t doubt the results for this period
were disappointing relative to the experiences of previous periods. However, the investment
strategy of focussing on quality growth stocks, as detailed in the prospectus so many years ago, has
not changed. We remain confident that over the medium term the strategy will bring its rewards.
I will now hand over to Sam Dickie, Senior Portfolio Manager of Kingfish.
ENDS