BRM – August 2022 monthly update

1
A WORD FROM THE MANAGER
In July, Barramundi’s gross performance return was up 13.6% and
the adjusted NAV return was also up 13.6%. This compares to the
S&P/ASX200 Index (70% hedged into NZ$) which was up 6.0%.
The stabilisation in interest rates was enough to ameliorate market
concerns and sparked the broad based rebound in the share
market. The move in interest rates (the Aus 10yr government bond
rate fell from 3.66% to 3.06% in the month) contributed strongly
to the outperformance of growth companies in the month.
Given this move in interest rates it was no surprise that the
Information Technology (+15.2%) and Real Estate (+12.1%)
sectors led the market higher. The share market rally was however
broad based. Only the Materials (-0.7%) sector finished in the red
for the month on the back of softer commodity prices. The Energy
sector, a strong performer year to date, also lagged the market,
‘only’ rising 2.1% in the month.
Portfolio News
Performance was led by our high growth, high multiple companies.
These businesses were helped by the macro conditions described
above. However as discussed below, a number also benefitted
from some positive trading updates in the month.
Nanosonics (+40% in A$) provided a business update in late July.
Included in it was a strong Q4 trading update and details of the
progress it had made in transitioning its North American business
to a direct sales model. Better hospital access for its sales team saw
Nanosonics return to pre-COVID Trophon sales volumes, while also
seeing the positive momentum in Trophon upgrades continue. This
saw Nanosonics increase sales guidance for FY22. Potentially more
impactful was the update on the North American transition from
a reseller agreement with GE Healthcare to a more direct model
where effectively all Trophon and consumable sales will be done by
Nanosonics’ internal team. The transition has progressed positively,
and the majority of GE customers have or are in the process of
transitioning to Nanosonics for ongoing support.
During the month Fineos (+36%) reaffirmed its FY22 revenue
guidance, while also releasing a joint case study with its number
one customer – New York Life Group. New York Life Group is
a top 10 life, accident, and health insurance carrier in the US.
Fineos has replaced New York Life’s 6 back-office systems with its
“FINEOS AdminSuite” software. This has brought with it greater
productivity, and reduced costs and time spent on administration
for New York Life Group. The case study should go a long way
in bringing awareness to the benefits provided by “FINEOS
AdminSuite” and management are confident in this translating
into additional customer contracts in the future.
Wisetech (+32%) rebounded strongly, helped by a short trading
update in which it upgraded profit guidance for the FY22 results.
Wisetech expects core profit growth of 50-55% in FY22 vs
FY21 (vs a prior expectation of 33-43%). This upgrade was well
received and more detail behind the reasons for it will be released
to the market at its results announcement in August.
Audinate (+25%) similarly provided a good trading update to the
market. The company confirmed its FY22 revenue would be 39%
higher than FY21. Helped by price increases, operating profits
are also expected to be higher than expected. This also reflects a
strong recovery in microchip supplies in the last three months of
the year, enabling Audinate to sell more products to its customers
than it had anticipated. Again, more detail will be provided at the
August result. It is pleasing to see some signs of the supply chain
disruption easing for companies like Audinate, and to see the
company deliver on the strong demand from its customer base.
REA Group’s (+12%) share price lifted following a property
listings report for June. National listings were up +8.5% year-on-
year, to the highest June listings volume since 2011. While Sydney
and Melbourne listings were up, it was Brisbane and Perth that
drove the strong start to winter. Management commentary was
positive, highlighting strong fundamental drivers of demand, with
unemployment low, wage growth expected, and international
migration now returning. In an environment where the housing
market is facing a number of headwinds, its pleasing to see the
listings volumes holding up.
Resmed’s share price rose 12% over July. There were no material
announcements by the company. However, feedback from US
home medical equipment distributors (Resmed’s clients) indicates
that their supply of devices from Resmed is continuing to improve.
This suggests the company is starting to get on top of various
supply chain constraints. Distributors also confirm that Resmed
has lifted its prices by about 5% since the start of July. Philips,
whose CPAP devices have been subject to an ongoing major recall
over the last year, also gave an indication of where it believed its
devices sales may have recovered to by 2025. This suggests its
devices sales in three years will still be 15% below where they
were in 2019 (pre COVID & pre recall). This implies it will have lost
nearly a third of its devices market share by 2025. The indirect
inference is that Resmed (as the global leader for CPAP devices)
will be the major beneficiary of Philips’ lost market share.
1
Share Price Premium to NAV (including warrant price on a pro-rated basis and using the net asset value per share, after expenses, fees and tax, to four decimal places).
MONTHLY UPDATE
August 2022
Warrant Price
$
0.03
$
0.83
Share Price
PREMIUM
1
15.9
%

as at 31 July 2022
BRM NAV
$
0.72

SECTOR SPLIT
as at 31 July 2022
KEY DETAILS
as at 31 July 2022
FUND TYPE
Listed Investment Company
INVESTS IN
Growing Australian companies
LISTING DATE
26 October 2006
FINANCIAL YEAR END
30 June
TYPICAL PORTFOLIO SIZE
20-35 stocks
INVESTMENT CRITERIA
Long-term growth
PERFORMANCE OBJECTIVE
Long-term growth of capital and
dividends
TAX STATUS
Portfolio Investment Entity (PIE)
MANAGER
Fisher Funds Management Limited
MANAGEMENT FEE RATE
1.25% of gross asset value
(reduced by 0.10% for every 1%
of underperformance relative to
the change in the NZ 90 Day Bank
Bill Index with a floor of 0.75%)
PERFORMANCE FEE
HURDLE
Changes in the NZ 90 Day Bank
Bill Index + 7%
PERFORMANCE FEE
10% of returns in excess of
benchmark and high water mark
HIGH WATER MARK
$0.76
PERFORMANCE FEE CAP
1.25%
SHARES ON ISSUE
268m
MARKET CAPITALISATION
$223m
GEARING
None (maximum permitted 20%
of gross asset value)
4
%
20
%
23
%

INDUSTRIALS
18
%
COMMUNICATION
SERVICES

HEALTH CARE
24
%
2
%
3
%

FINANCIALS
MATERIALS
CONSUMER
STAPLES
5
%
At its Annual General Meeting, Macquarie (+10%) released a
better trading update for the three months to 30 June than it
had expected at its full year results presentation in May. Volatile
markets (particularly in energy) have enabled its Commodities
and Global Markets division to post a Q1 result ahead of what
was a strong result in Q1 FY22. Macquarie had raised capital in
late 2021, and it has also put this to work, investing an additional
$2.5bn in credit markets during the tumultuous June quarter.
It also successfully raised $12bn in fresh equity from clients in
its asset management division and invested $4.2bn of this dry
powder (net of asset sales) during the period.
Macquarie management was understandably cautious in its
outlook commentary, noting that trading conditions softened
during the period. That said, the results in the June quarter
highlighted the quality of the business. Decisions made in the
Robbie Urquhart
Senior Portfolio Manager
Fisher Funds Management Limited
period put Macquarie in a good position to do well and grow
profits in the future.
Portfolio Changes
There were no substantive portfolio changes during the month.
2
The Barramundi portfolio also holds cash.
INFORMATION
TECHNOLOGY
CONSUMER
DISCRETIONARY

JULY’S SIGNIFICANT RETURNS IMPACTING
THE PORTFOLIO
during the month in Australian dollar terms
NANOSONICS
+40
%
FINEOS CORP
HOLDINGS
+36
%
WISETECH
+32
%
AUDINATE GROUP
+25%
PWR HOLDINGS
+32
%
5 LARGEST PORTFOLIO POSITIONS as at 31 July 2022
WISETECH
7
%
CSL LIMITED
10
%
CARSALES.COM
7
%
CBA
5
%
AUB GROUP
5
%
The remaining portfolio is made up of another 22 stocks and cash.
Oct
2006
Oct
2007
Oct
2008
Oct
2009
Oct
2010
Oct
2011
Oct
2012
Oct
2013
Oct
2015
Oct
2016
Oct
2014
Share Price/Total Shareholder Return
Share PriceTotal Shareholder Return
$
0.00
$
0.50
$
1.00
$
1.50
$
2.00
$
2.50
$
3.00
$
3.50
Oct
2017
Oct
2018
Oct
2019
Oct
2020
Oct
2021
1 Month3 Months1 Year3 Years
(annualised)
5 Years
(annualised)
Company Performance
Total Shareholder Return+7.9%(5.2%)(11.9%)+22.3%+18.6%
Adjusted NAV Return+13.6%(1.2%)(3.8%)+11.6%+13.5%
Portfolio Performance
Gross Performance Return+13.6%(1.2%)(3.2%)+14.0%+16.3%
Benchmark Index^+6.0%(5.5%)(0.1%)+5.3%+8.7%
PERFORMANCE to 31 July 2022
^Benchmark Index: S&P/ASX 200 Index (hedged 70% to NZD)
Non–GAAP Financial Information
Barramundi uses non–GAAP measures, including adjusted net asset value, adjusted NAV return, gross performance return and total shareholder return. The rationale for using such non–GAAP measures is as follows:
»adjusted net asset value – the underlying value of the investment portfolio adjusted for capital allocation decisions, after expenses, fees and tax,
»adjusted NAV return – the return to an investor after expenses, fees and tax,
»gross performance return – the Manager’s portfolio performance in terms of stock selection and currency hedging before expenses, fees and tax, and
»total shareholder return – the return combines the share price performance, the warrant price performance, the net value of converting any warrants into shares, and the dividends paid to shareholders. It assumes
all dividends are reinvested in the company’s dividend reinvestment plan, and that shareholders exercise their warrants, (if they were in the money), at warrant expiry date
All references to adjusted net asset value, adjusted NAV return, gross performance return and total shareholder return in this monthly update are to such non–GAAP measures. The calculations applied to non–GAAP
measures are described in the Barramundi Non–GAAP Financial Information Policy. A copy of the policy is available at https://barramundi.co.nz/about-barramundi/barramundi-policies
3
TOTAL SHAREHOLDER RETURN to 31 July 2022

Disclaimer: The information in this update has been prepared as at the date noted on the front page. The information has been prepared as a general summary of the matters covered only, and it is by
necessity brief. The information and opinions are based upon sources which are believed to be reliable, but Barramundi Limited and its officers and directors make no representation as to its accuracy or
completeness. The update is not intended to constitute professional or investment advice and should not be relied upon in making any investment decisions. Professional financial advice from a financial
adviser should be taken before making an investment. To the extent that the update contains data relating to the historical performance of Barramundi Limited or its portfolio companies, please note that
fund performance can and will vary and that future results may have no correlation with results historically achieved.
Barramundi Limited
Private Bag 93502, Takapuna, Auckland 0740
Phone: +64 9 489 7074 | Fax: +64 9 489 7139
Email: enquire@barramundi.co.nz | www.barramundi.co.nz
4
Computershare Investor Services Limited
Private Bag 92119, Auckland 1142
Phone: +64 9 488 8777 | Fax: +64 9 488 8787
Email: enquiry@computershare.co.nz | www.computershare.com/nz
ABOUT BARRAMUNDI
Barramundi is an investment
company listed on the New Zealand
Stock Exchange. The company
gives shareholders an opportunity
to invest in a diversified portfolio
of between 20 and 35 quality
growing Australian companies
through a single, professionally
managed investment. The aim of
Barramundi is to offer investors
competitive returns through capital
growth and dividends.
CAPITAL MANAGEMENT STRATEGIES
Regular Dividends
»Quarterly distribution policy introduced in
August 2009
»Under this policy, 2% of average NAV is targeted to be
paid to shareholders quarterly
»Dividends paid by Barramundi may include dividends
received, interest income, investment gains and/or
return of capital
»Shareholders who prefer to have increased capital rather
than a regular income stream have the opportunity to
participate in the company’s dividend reinvestment plan
(DRP)
»Shares issued to DRP participants are at a 3% discount
to market price
»Barramundi became a portfolio investment entity on
1 October 2007. As a result, dividends paid to New
Zealand tax resident shareholders have not been subject
to further tax
Share Buyback Programme
»Barramundi has a buyback programme in place allowing
it (if it elects to do so) to acquire its shares on market
»Shares bought back by the company are held as treasury
stock
»Shares held as treasury stock are available to be re-
issued for the dividend reinvestment plan
MANAGEMENT
The Manager has authority delegated
to it from the Board to invest according
to the Management Agreement and
other written policies. Barramundi’s
portfolio is managed by Fisher Funds
Management Limited. Robbie Urquhart
(Senior Portfolio Manager), Terry Tolich
and Delano Gallagher (Senior Investment
Analysts) have prime responsibility for
managing the Barramundi portfolio.
Together they have significant combined
experience and are very capable of
researching and investing in the quality
Australian companies that Barramundi
targets. Fisher Funds is based in
Takapuna, Auckland.
BOARD
The Board of Barramundi
comprises independent
directors Andy Coupe (Chair),
Carol Campbell, David
McClatchy and Fiona Oliver.
Warrants
»Barramundi announced a new issue of warrants on
27 April 2022
»Information pertaining to the warrants was mailed/
emailed to shareholders on 4 May 2022
»The warrants were issued at no cost to eligible
shareholders in the ratio of one warrant for every four
Barramundi shares held based on the record date of
13 May 2022
»The warrants were allotted to shareholders on
16 May 2022 and listed on the NZX Main Board from
17 May 2022
»The Exercise Price of each warrant is $0.89, adjusted
down for the aggregate amount per Share of any cash
dividends declared on the shares with a record date
during the period commencing on the date of allotment
of the warrants and ending on the last Business Day
before the final Exercise Price is announced by Barramundi
»The Exercise Date for the new warrants is 26 May 2023