AFT Pharmaceuticals Limited/Announcement

AFT Pharma reports growth and global expansion

Half Year Results22 November 2023AFTHealthcare

AFT Pharmaceuticals Limited,
Level 1, 129 Hurstmere Road, Takapuna, Auckland 0622, New Zealand
Incorporated in New Zealand ARBN:
ARBN 609 017 969 investor.relations@aftpharm.com

23 NOVEMBER 2023
FINANCIAL RESULTS FOR THE SIX MONTHS TO 30 SEPTEMBER 2023
AFT Pharma reports growth and global expansion
AFT Pharmaceuticals (NZX:AFT, ASX:AFP) today reports financial results for the six
months to the end of September 2023 showing continued strong growth led by sales
of over-the-counter medicines in Australasia and rising demand in International and
Asian markets.
HIGHLIGHTS
• Half-year operating revenue up 27% to $84 million, lifted by 24% growth in
product sales and royalties across all channels and territories and $2.0 million
of licensing income.
• Sales in International and Asian markets (excluding licensing income) rise 94%.
• Operating profit of $3.3 million down 6% following ongoing significant
investment in research and development and marketing; spend is weighted
toward 1H 24. EBITDA
1
of $4.1 million down 8%.
• Net profit after tax increases 17% to $1.8 million;
• Maxigesic
®
IV approved by the US FDA in October following on from the
approval of Maxigesic Rapid in March, setting the stage for launches into the
world’s largest healthcare market in the next calendar year.
• Approval in November of Crystaderm
®
for sale in China, the world’s second
largest healthcare market, setting the stage for a launch next calendar year.
• Near term rolling twelve-month stretch revenue target of $200 million in sight,
underpinned by strong ongoing demand, product launches and the Maxigesic
commercialisation programme.
• FY 24 guidance for operating profit of $22 million to $24 million unchanged.
(All comparisons are to 1H 23 unless otherwise stated)
FINANCIAL RESULTS
Revenue from the sale of existing products, new products and product royalties grew
by 24% to $82 million from $66 million, with the company’s family of Maxigesic pain
relief medicines and the Australian OTC business making the strongest contribution.
Total revenue, which includes licensing income of $2.0 million, rose 27% to $84 million
from $66 million.
Operating profit of $3.3 million was marginally down from $3.5 million, with investments
in new product in licencing and research and development (R&D), and the
marketing investment in new products in Australasia offsetting the impact of

1

EBITDA is non-GAAP measure of earnings before interest tax depreciation and amortisation. It is defined
and reconciled to GAAP measure of net profit after tax on page 14 of the company’s Interim Report and
page 25 of the investor presentation released to the NZX and ASX today.

2

increased revenue. The investment, which is planned to reduce in intensity in the
second half of the year, is c onsistent with AFT’s growth objectives and its opportunistic
move to increase its R&D pipeline to take advantage of new projects now being
available at attractive economics.
EBITDA of $4.1 million was 8% lower than the $4.5 million in the prior half year period,
while net profit after tax increased 17% to $1.8 million from $1.5 million.
Chair David Flacks said: “AFT has delivered another strong half year. The company
has significantly extended its presence in international markets, while continuing to
build on its strong record of consistent growth in its home markets of Australia and New
Zealand.
“With the US FDA approving for sale intravenous and rapid dissolving dose forms of our
patented Maxigesic pain relief medicine this year, we are well positioned to establish
a presence in the world’s largest healthcare market and a truly global footprint.”
Co-Founder and Managing Director Dr Hartley Atkinson said: “We are pleased with
our progress. We have delivered strong growth across all territories, but especially in
our International and Asian businesses, where the barriers present during the
pandemic have receded.
“Our Asian business’ operating revenue grew 50% supported by the strong uptake for
the intravenous form of our Maxigesic pain relief medicine. It was also supported by
growing demand for our portfolio of over-the-counter medicines through our China-
focused Cross Border E-Commerce (CBEC) sites.
“Pleasingly, as announced recently, we have also secured approval for the sale of
our Crystaderm antiseptic cream in China. We believe the local sales channels in
China offer more potential than the CBEC channel.
“We are seeing the expected momentum in our international business amid growing
demand for the Maxigesic family of medicines across a range of markets. We have
also significantly extended our growth plans with the establishment of sales hubs in
Singapore and Hong Kong and our 70%-owned AFT Pharmaceuticals UK business,
which is now in the midst of its first product launches.
“Growth has been supported with ongoing investment in product marketing. This
investment has been deliberately weighted to the first half of the financial year to
support newly launched products in Australasia. It has resulted in what we see as a
temporary dilution in operating profits. However, we believe these will normalise as
the brands grow in strength.”
Further detail on the performance of AFT’s individual markets is contained in our
interim report also released to the NZX and ASX today and available at the following
link: https://investors.aftpharm.com/Investors/

MAXIGESIC COMMERCIALISATION
AFT is determined to offer the world’s largest range of combination paracetamol and
ibuprofen products globally to maximise the potential of our intellectual property and
the value of our brands. We have a strong program of innovation and development
to achieve that goal.

3

Maxigesic is now sold or ordered in 66 countries up from 61 in March 2023 and 51
countries at the same time a year ago, with several launches planned in the
remaining four months of the financial year.
The tablet and intravenous dose forms are becoming well established in several major
markets, and we are seeing momentum building especially in markets such as Italy
and Germany where the product has been available for some time.
We have also been impressed with the traction the intravenous form has gained in
new markets such as Korea. It is important to appreciate that in-market growth is
expected to continue over a number of years, and it will be augmented by additional
launches.
The global roll out of the oral liquid, hot drink sachet, and Maxigesic Rapid forms is
now underway. We are meanwhile completing development for additional dose
forms such as the Maxigesic dry stick sachet and additional variants are also under
investigation.
Following the US FDA approval for sale of Maxigesic IV in October, our US licensee
Hikma Pharmaceuticals is targeting launch towards the end of this financial year or
the start of the new financial year.
The launch of the medicine will trigger the payment of a US$6 million license fee to be
shared 65:35 with our Maxigesic IV development partner Hyloris Pharmaceuticals.
AFT continues to finalise strategies for the US commercialisation of Maxigesic Rapid,
and advance plans for its launch in other markets.
RESEARCH AND DEVELOPMENT
Research and development expenditure in the half year period has increased to $7
million.
Recent additions to our pipeline include an eyedrop targeting antibiotic resistant
infections and our project to develop a topical treatment for strawberry birthmarks.
Our gastroenterology and dermatology development projects (projects KW, BT, and
SD) are proceeding broadly in line with our expectations. We are presently
undertaking a pilot dermatology study in Europe and completing additional
development work on our NasoSURF drug delivery system.
As signalled at the company’s annual meeting in August we are looking to extend our
product development pipeline with two projects currently under consideration.
AFT will meanwhile commence studies to demonstrate the safety and efficacy of
Maxigesic in children with a program of clinical studies that will continue through to
2026. These studies will be accommodated within the existing research and
development budget.
BALANCE SHEET
AFT remains well funded. Net debt at the end of the half year was $30.6 million largely
in line with the $29.9 million at the end of March 2023 and the $29.4 million at the same
time a year ago.

4

The company has deliberately invested for growth and maintained inventory at
elevated levels as a buffer against disruptions in global supply chains. We have started
to reduce inventory stock cover as global logistics have significantly improved.
However, given the length of product lead-times this will still take some time to
execute.
Expected licensing payments, regulatory fee reimbursements and inventory cover
reduction in the coming months will flow through into a reduction of net debt towards
our target of one-times EBITDA.
OUTLOOK
Dr Atkinson said the company is expecting growth for the year to the end of March
2024 to continue in the second half.
“The ongoing roll out of Maxigesic and its line extensions and the launch of new
products in Australasia, coupled with increasing rates of growth in other markets
around the world, position the company well for the remainder of the financial year
and beyond,” Dr Atkinson said.
“Our goal of $200 million in annual revenue on a moving annual total is in sight. We
continue to target operating profit to range between $22 million to $24 million.
“As we highlighted in August, however, this guidance is subject to the company
determining its strategy to commercialise Maxigesic Rapid in the US.
“Finally, Directors continue to expect to declare a dividend for the full year. We look
forward to providing an update to shareholders in the New Year.”
Released for and on behalf of AFT Pharmaceuticals Limited by Malcolm Tubby, Chief
Financial Officer.
For more information:
Investors Media
Dr Hartley Atkinson Richard Inder
Managing Director The Project
AFT Pharmaceuticals Tel: +64 21 645 643
Tel: +64 9488 0232

About AFT Pharmaceuticals
AFT is a growing multinational pharmaceutical company that develops, markets, and
distributes a broad portfolio of pharmaceutical products across a wide range of
therapeutic categories which are distributed across all major pharmaceutical
distribution channels: over the counter (OTC), prescription and hospital. Our product
portfolio comprises both proprietary and in-licensed products, and includes patented,
branded, and generic drugs. Our business model is to develop and in-license products
for sale by our own dedicated sales teams in our home markets of Australia and New
Zealand and to out-license / distribute our products to local licensees and distributors
to over 125 countries around the world. For more information about the company, visit
our website: www.aftpharm.com
.

---

2024
INTERIM
REPORT
Results for the half year
to 30 September 2023

Contents
At a Glance 2
Chairman and CEO’s Report 4
Regional Performance 8
EBITDA Reconciliation 14
Financial Statements 15
Company Directory 37
This report provides a summary review of AFT’s operational and
financial performance for the six months to 30 September 2023
and should be read in conjunction with the company’s financial
statements on pages 15 to 36 of this report.
The information provided in this report has been compiled in
accordance with relevant law, rules and corporate governance
recommendations for investor reporting. Financial information
has been prepared in accordance with appropriate accounting
standards and has been reviewed by Deloitte Limited.
Throughout this report we have focused on what we believe
matters most to our stakeholders and our business. We have
endeavoured to ensure all information is accurate through internal
verification and other approval processes.

AFT is a growing multinational
pharmaceutical company that develops,
markets and distributes a broad portfolio
of pharmaceutical products across
a wide range of therapeutic
categories around the world.
AFT PHARMACEUTICALS INTERIM REPORT 2024
1

$3.3 million
Operating profit down 6% following ongoing investment
in new products, research and development.
$1.8 million
Net profit after tax rises 17%.
$83.6 million
Total operating revenue up 27% on the prior first half
lifted by strong product sales and royalties across
all channels and $2 million of licensing income.
$30.6 million
In line with net debt of $29.9 million in March
2023 year end, with investments for growth
funded through strong operating cash flows.
Strong growth continues across
global operation
1H FY2024 Financial Highlights
2WORKING TO IMPROVE YOUR HEALTH

Growth investments deliver
1H FY2024 Operating Highlights
AUSTRALIA
Revenue:
$42.7 million,
UP 18%
Operating profit:
$0.5 million
Key drivers:
Organic and new product
growth, led by the OTC channel
Operating profit reflects
investments for growth
NEW ZEALAND
Revenue:
$22.7 million
UP 7%
Operating profit:
$2.6 million
1
Key drivers:
Growth led by the
hospital channel.
All channels benefit from
organic and new product growth
ASIA
Revenue:
$5.4 million
UP 50%
Operating profit:
$1.6 million
Key drivers:
Growth led by Maxigesic IV
in the hospital channel
Online via T-Mall supportive
INTERNATIONAL
Revenue:
$12.8 million
UP 172%
Operating profit:
$3.1 million
Key drivers:
Maxigesic drives strong product
and royalty income
$2 million of licensing
payments as sales grow.
1H FY2023 Revenue1H FY2024 Revenue
New Zealand $21.3
Australia $36.1
Asia $3.6
International $4.7
New Zealand $22.7
Australia $42.7
Asia $5.4
International $12.8
NZ$ MILLION
Operating Profit
2020* 2021 2022 2023 2024
FY 1H 2H
$0
$5
$10
$15
$20
$25
FINANCIAL YEAR
1

Excludes head office operating expenses.
* FY 2020 normalised for a non-cash gain on asset revaluation
$11.4 $10.8 $20.4 $16.2
$3.5 $3.3
$180
$160
$140
$120
$100
$80
$60
$40
$20
$-
NZ$ MILLION
Revenue
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024
$49
$64
$83.6
FINANCIAL YEAR
$90.8
$65.8
$56
$69
$80
$85
$113.1
$130.3
$106
$19.7
$156.6
FY 1H 2H
AFT PHARMACEUTICALS INTERIM REPORT 2024
3
AT A GLANCE

Dear shareholders,
AFT has delivered another strong half year. The company has significantly extended
its presence in international markets, while continuing to build on its strong record
of consistent growth in its home markets of Australia and New Zealand.
Growth consistent at home
and accelerates abroad
With the US FDA approving for sale intravenous
and rapid dissolving dose forms of our patented
Maxigesic pain relief medicine this year, we are
well positioned to establish a presence in the
world’s largest healthcare market and a truly
global footprint.
We are particularly pleased with the success
of our International and Asian businesses, where
the barriers present during the pandemic have
receded. Our Asian business’ operating revenue
grew by 50% supported by the strong uptake
for the intravenous form of our Maxigesic pain
relief medicine. It was also supported by growing
demand for our portfolio of over-the-counter
medicines through our China-focused Cross Border
E-Commerce (CBEC) sites.
Pleasingly, as announced earlier this month, we
have also secured approval for the sale of our
Crystaderm antiseptic cream in China. We believe
the local sales channels in China offer more
potential than the CBEC channel.
We are seeing the expected momentum in our
international business amid growing demand for
the Maxigesic family of medicines across a range
of markets. We have also significantly extended our
growth plans with the establishment of sales hubs
in Singapore and Hong Kong and our 70%-owned
AFT Pharmaceuticals UK business, which is now
in the midst of its first product launches.
Growth has been supported with ongoing
investment in product marketing. This investment
has resulted in what we see as a temporary dilution
in operating profits. However, we believe these will
normalise as the brands grow in strength.
Financial Results
Revenue from the sale of existing products,
new products and product royalties grew by 24%
to $82 million from $66 million, with the company’s
family of Maxigesic pain relief medicines and the
Australian OTC business making the strongest
contribution. Total revenue, which includes
licensing income of $2.0 million, rose 27%
to $84 million from $66 million.
Operating profit of $3.3 million was marginally
down from $3.5 million, with investments in new
products, and research and development (R&D)
and marketing investment in new products in
Australasia offsetting the impact of increased
revenue. The investment, which is planned to
reduce in intensity in the second half of the year,
is consistent with AFT’s growth objectives and its
opportunistic move to increase its R&D pipeline
to take advantage of new projects now being
available at attractive economics. EBITDA* of
$4.1 million was 8% lower than the prior half year
period’s $4.5 million, while net profit after
tax increased 17% to $1.8 million from $1.5 million.
Maxigesic Commercialisation
AFT is determined to offer the world’s largest
range of combination paracetamol and ibuprofen
products globally to maximise the potential of our
intellectual property and the value of our brands.
We have a strong program of innovation and
development to achieve that goal.
Maxigesic is now sold or ordered in 66 countries up
from 61 in March 2023 and 51 countries at the same
time a year ago, with several launches planned in
the remaining four months of the financial year.
The tablet and intravenous dose forms are
becoming well established in several major markets,
and we are seeing momentum building especially
in markets such as Italy and Germany where the
product has been available for some time.
*EBITDA is a non-GAAP measure of financial performance. It is defined and reconciled to AFT’s standard measure
prepared under New Zealand GAAP of net profit after tax on page 14 of this report.
4WORKING TO IMPROVE YOUR HEALTH

David Flacks, Chairman
Dr Hartley Atkinson, Co-Founder and Managing Director
AFT PHARMACEUTICALS INTERIM REPORT 2024
5
CHAIRMAN AND CEO’S REPORT

We have also been impressed with the traction
the intravenous form has gained in new markets
such as Korea. It is important to appreciate that
in-market growth is expected to continue over
a number of years, and it will be augmented by
additional launches.
The global roll out of the oral liquid, hot drink
sachet, and Maxigesic Rapid forms is now
underway. We are meanwhile completing
development for additional dose forms such
as the Maxigesic dry stick sachet and additional
variants are also under investigation.
Following the US FDA approval for sale of
Maxigesic IV in October, our US licensee Hikma
Pharmaceuticals is targeting launch towards the
end of this financial year or the start of the new
financial year. The launch of the medicine will
trigger the payment of a US$6 million milestone
license fee to be shared 65:35 with our Maxigesic
IV development partner Hyloris Pharmaceuticals.
AFT continues to finalise strategies for the US
commercialisation of Maxigesic Rapid, and advance
plans for its launch in other markets.
Research and Development
Research and development expenditure in the half
year period has increased to $7 million. Recent
additions to our pipeline include an eyedrop
targeting antibiotic resistant infections and
our project to develop a topical treatment for
strawberry birthmarks.
Our gastroenterology and dermatology
development projects (projects KW, BT, and
SD) are proceeding broadly in line with our
expectations. We are presently undertaking a pilot
dermatology study in Europe and completing
additional development work on our NasoSURF
drug delivery system.
As signalled at the company’s annual meeting
in August we are looking to extend our product
development pipeline with two projects currently
under consideration.
AFT will meanwhile commence studies to
demonstrate the safety and efficacy of Maxigesic
in children with a program of clinical studies that
will continue through to 2026. These studies will
be accommodated within the existing research
and development budget.
ASIA
FY2023FY2023FY2023FY2023FY2024FY2024FY2024FY2024
INTERNATIONALNEW ZEALANDAUSTRALIA
Revenue by Region
NZ$ MILLION
$100
$90
$80
$70
$60
$50
$40
$30
$20
$10
$-
$6.8
$5.4
$3.6
$3.2
$12.8
$22.7
$44.0
$94.1
$22.7
$58.0
$21.3$36.1$42.7
$7.0
$4.7
$11.7
“Our goal of $200 million in annual revenue
on a moving annual total is in sight.”
1H 2H
6WORKING TO IMPROVE YOUR HEALTH

Outlook
We are expecting growth for the year to the end
of March 2024 to continue in the second half.
The ongoing roll out of Maxigesic and its line
extensions and the launch of new products in
Australasia, coupled with increasing rates of growth
in other markets around the world, position the
company well for the remainder of the financial
year and beyond.
Our goal of $200 million in annual revenue on
a moving annual total is in sight. We continue
to target operating profit to range between
$22 million to $24 million. As we highlighted in
August, however, this guidance is subject to the
company determining its strategy to commercialise
Maxigesic Rapid in the US.
Finally, Directors continue to expect to declare
a dividend for the full year.
On behalf of shareholders we thank Directors
and the broader AFT team for their commitment
and dedication to the company. We wish you all
well for the festive season and look forward
to providing an update on our progress in the
New Year.
David Flacks Dr Hartley Atkinson
Chair Managing Director
Balance Sheet
AFT remains well funded. Net debt at the end
of the half year was $30.6 million largely in line
with the $29.9 million at the end of March 2023
and the $29.4 million at the same time a year ago.
The company has deliberately invested for growth
and maintained inventory at elevated levels as a
buffer against disruptions in global supply chains.
We have started to reduce inventory stock cover
as global logistics have significantly improved.
However, given the length of product lead-times
this will still take some time to execute. Expected
licensing payments, regulatory fee reimbursements
and inventory cover reduction in the coming
months will flow through into a reduction of debt
towards our target of one-times EBITDA.
Governance and Sustainability
We were delighted at the end of September to
welcome Andrew Lane as a new Independent
Non-Executive Director, who replaced long-serving
Independent Non-Executive Director Jon Lamb.
Andrew has more than 30 years’ experience of
leadership in the global pharmaceuticals industry
with expertise across a broad range of disciplines
and is well positioned to assist the company as we
grow and consolidate our position in Australasia
and build our presence internationally. On behalf
of shareholders we meanwhile thank Jon for his
contribution over his 11 years on the Board and
we wish him well for his retirement.
We are continuing to advance our sustainability
agenda. A key focus is the measurement of the
company’s carbon footprint and the refinement of
strategies to minimise our environmental footprint.
We are making good progress and will be in a
position to meet our obligations to report against
the new Aotearoa New Zealand Climate Standards
(NZ CS 1) for the current financial year.
AFT PHARMACEUTICALS INTERIM REPORT 2024
7
CHAIRMAN AND CEO’S REPORT

AFT’s operations globally are expanding
in scale and scope
NEW ZEALAND SNAPSHOT
DISTRIBUTION 900 PHARMACIES
PRODUCTS
150+
across seven therapeutic categories:
pain, eyecare, medicated vitamins,
allergy, gastrointestinal health,
dermatology, and hospital
REVENUE
$22.7m
UP 7%
ON THE PRIOR YEAR
New Zealand revenue is up 7% to $22.7 million
from $21.3 million. Growth was led by the hospital
channel, where revenue grew by 15% to $3.6 million.
The prescription and OTC channels grew by 2%
and 7% respectively.
In all three channels growth was led by demand
for the company’s existing products, although
new products also assisted.
Again, the easing of the pandemic saw reduced
demand for cold and flu medicines and vitamins.
Operating profit was $2.6 million compared
to $4.9 million² at the same time a year ago.
In part, as with Australia this reflects the increased
marketing spend associated with product launches.
In addition margins eased largely
reflecting a bigger contribution from
the lower-margin hospital business.
NEW ZEALAND – GROWTH LED BY THE HOSPITAL CHANNEL
New Zealand Channel
OTC
Prescription
Hospital
1H 23
1H 24
32.3%
33.7%15.8%
14.6%
51.9%
51.7%
2 Excludes head office operating expenses
8WORKING TO IMPROVE YOUR HEALTH

Revenue in Australia grew 18% led by a mixture
of organic and new product growth to $43 million
from $36 million.
Australian operating profit was down to $0.5 million
from $3.1 million. The result in part reflects the
increased marketing spend associated with product
launches although it is important to note that
this investment is skewed toward the first half
of the financial year.
Growth in the OTC channel was strongest at 24%
with the company seeing good demand across
all its seven therapeutic categories, although the
easing of pandemic pressures and public concern
about the virus saw an associated reduction
in demand for cold and flu medicines and
supplements such as liposomal vitamins.
The hospital channel and prescription channels
grew by 9%.
We have meanwhile expanded the product launch
pipeline by 5 to 73 from the start of the current
financial year to the end of the 2026 financial year.
AUSTRALIA – STRONG DEMAND ACROSS ALL CATEGORIES
AUSTRALIA SNAPSHOT
PRODUCTS
85+
ACROSS SEVEN
THERAPEUTIC
CATEGORIES
REVENUE
$42.7m
UP 18%
ON THE PRIOR YEAR
DISTRIBUTION 6,800 PHARMACIES
Australia Channel
OTC
Prescription
Hospital
1H 23
1H 24
8.1%
10.3%
23.5%
24.2%
68.4%
65.5%
AFT PHARMACEUTICALS INTERIM REPORT 2024
9
REGIONAL PERFORMANCE

Asian revenue grew by 50% to $5.4 million from
$3.6 million. Operating profit rose to $1.6 million
from $0.5 million.
Growth was driven primarily by the hospital
channel with the largest contribution coming from
strong demand for Maxigesic IV in the Korean
market. Our Asian OTC channel also saw strong
growth, although this is coming off a lower base.
It follows on our successful cross border
e-commerce (CBEC) initiatives.
As announced, we have also secured approval
for the sale of our Crystaderm antiseptic cream
in China. We believe the local sales channels
in China offer considerably more potential than
the CBEC channel.
ASIA SNAPSHOT
DISTRIBUTION
DISTRIBUTORS
AND ONLINE
REVENUE
$5.4m
UP 50%
ON THE PRIOR YEAR
ASIA – MAXIGESIC IV DRIVING GROWTH
Asia Channel
OTC
Prescription
Hospital
1H 23
1H 24
8.0%
18.5%
5.9%
14.6%
73.5%
79.5%
10WORKING TO IMPROVE YOUR HEALTH

Revenue from product sales and royalties
in the international business grew by 132%
to $10.9 million from $4.7 million, primarily
due to growing momentum in Maxigesic sales
(in various dose forms).
INTERNATIONAL – READYING FOR US LAUNCH
Total international operating revenue rose 172% to
$12.8 million from $4.7 million as we benefited from
$2.0 million of licensing income, most of which came
from a milestone payment from our licensee in Italy,
the market outside Australasia in which Maxigesic
has been available for the longest period of time.
Operating profit, including licensing income, grew
from a loss of $0.3 million to a profit of $3.1 million.
Outside of the planned US launches, we are
targeting launches of Maxigesic in several dose
forms in the second half of the financial year,
including South Africa (IV & tablets) Belgium
(Maxigesic IV & tablets).
Our new UK operation is now well established
with 4 staff members and an office in Whitechapel,
London and new launches are underway. The UK
business has identified a total of 40 of our own
and licensed products as suitable candidates for
that market. Changes in the UK market will also
assist speed to regulatory approval.
We are launching the local version of Maxigesic
tablets, Combogesic, in the Boots network of
pharmacies and we are progressing the launch
of Maxigesic IV. We expect the UK operation
to be loss making during its establishment phase.
INTERNATIONAL SNAPSHOT
100+
COUNTRIES
WITH MAXIGESIC
DISTRIBUTION
AGREEMENTS
66
REVENUE
$12.8m
UP 172%
ON THE PRIOR YEAR
COUNTRIES
WHERE MAXIGESIC IS SOLD
International Channel
OTC
Prescription
Hospital
1H 23
1H 24
93.4%
11.8%
88.2%
6.6%
AFT PHARMACEUTICALS INTERIM REPORT 2024
11
REGIONAL PERFORMANCE

Mozambique -
IV launched
Launched
Launch Pending
Available
Kenya -
IV launched
Belgium & Luxembourg - Tablets launched OTC
IV launched 2023
France - Tablets launching 2022
IV launched 2023
Spain & Portugal - Tablets launched 2019
IV licensed
Iraq & Kurdistan - Tablets launched
United Arab Emirates -
Tablets launched
Maxigesic IV launched
Oman - IV launched
Italy - Tablet sales growing
IV launched
Oral suspension launched 2023
Greece - Tablets launched 2021
IV licensed
Germany - Tablets launched 2020
IV launched
Switzerland - IV licensed
Brazil - licensing
negotiations underway
Argentina - IV licensed
Columbia, Peru & Chile -
distributor appointed Orals
IV licensed
Mexico - Tablets launched 2021
IV licensed
CACM - Tablets launched
IV launched
USA - IV and tablets registered
To launch IV and tablets 2024 Calendar Year
Canada - Tablets launched 2021
Singapore & Brunei - Tablets launched
IV launch underway
Russia -
on hold
China - licensing negotiations underway
Taiwan - Tablets licensed
-
Korea - IV launched 2022
Oral licensed
Indonesia - IV launched
Pakistan -
IV registered
Malaysia - Tablets launched
IV registered and launching soon
Phillipines - AFT to sell post
registration via distributor
Vietnam - distributor appointed for IV and Orals
Thailand - IV licensed
Austria - IV licensed and launched 2021
Netherlands - IV launched
United Kingdom - Tablets launched
IV licensed - to launch start 2024
Nordics - Tablets launched
IV launched
Ireland - Tablets launched
IV launched
Poland - IV and Orals licensed
NZ - Maxigesic, Maxigesic PE,
Maxigesic IV launched
Maxigesic Hot Drink
launched 2023
Japan - licensing
discussions are underway
Australia - No.#1 Para-Ibu Combo.
Growing market share
Maxigesic IV launched
Maxigesic Hot Drink launched 2022
Eastern Europe & Balkans - Tablets launched
Eastern Europe - IV licensed - to launch early 2024
A Global Footprint
Maxigesic is now available in 66 countries and will soon be launched
in the US the world’s largest healthcare market.
12WORKING TO IMPROVE YOUR HEALTH

Reconciliation of EBITDA to GAAP
AFT’s standard profit measure prepared under New Zealand GAAP is net profit after tax.
AFT has used the non-GAAP profit measure of EBITDA when discussing financial
performance in this document. AFT directors and management believe that this measure
provides useful information as it is used internally to evaluate performance of business
units, to establish operational goals and to allocate resources. Non-GAAP profit measures
are not prepared in accordance with NZ IFRS (New Zealand International Financial
Reporting Standards) and are not uniformly defined, therefore the non-GAAP profit
measures reported in this document may not be comparable with those that other
companies report and should not be viewed in isolation or considered as a substitute
for measures reported by AFT in accordance with NZ IFRS.
GAAP to Non GAAP reconciliation
NZ$'000’s Six months ended 30 September
2024
$000
2023
$000
Net profit after tax attributable to owners of the parent$1,816$1,546
Less: Finance income($30)($1)
Add back: Interest costs$1,814$1,395
Add back: Other finance loss/(gain)($502)($59)
Add back: Depreciation$457$424
Add back: Amortisation$391$595
Add back: Income tax expense/(benefit)$152$576
EBITDA$4,098$4,476
14WORKING TO IMPROVE YOUR HEALTH

Financial Statements Contents
Independent Auditor’s Report 16
Consolidated Income Statement 18
Consolidated Statement
of Comprehensive Income 19
Consolidated Statement of Changes in Equity 20
Consolidated Balance Sheet 21
Consolidated Statement of Cash Flows 22
Reconciliation of Profit After Tax With
Net Cash Flow From Operating Activities 23
Notes to the Financial Statements 24
Company Directory 37
AFT Pharmaceuticals Limited
Condensed Consolidated Interim
Financial Statements
For the Six Months Ended 30 September 2023

Independent Auditor’s Report
To the Shareholders of AFT Pharmaceuticals Limited
Conclusion
We have reviewed the condensed consolidated interim financial statements (‘interim
financial statements’) of AFT Pharmaceuticals Limited and its subsidiaries (‘the Group’)
which comprise the consolidated balance sheet as at 30 September 2023, the consolidated
income statement, consolidated statement of comprehensive income, consolidated
statement of changes in equity and consolidated statement of cash flows for the six months
ended on that date, and a summary of significant accounting policies and other explanatory
information on pages 18 to 36.
Based on our review, nothing has come to our attention that causes us to believe that the
interim financial statements of the Group do not present fairly, in all material respects, the
financial position of the Group as at 30 September 2023 and its financial performance and
cash flows for the six months ended on that date in accordance with NZ IAS 34 Interim
Financial Reporting and IAS 34 Interim Financial Reporting.
Basis for Conclusion
We conducted our review in accordance with NZ SRE 2410 (Revised) Review of Financial
Statements Performed by the Independent Auditor of the Entity (‘NZ SRE 2410 (Revised)’).
Our responsibilities are further described in the Auditor’s Responsibilities for the Review
of the Interim Financial Statements section of our report.
We are independent of the Group in accordance with the relevant ethical requirements in
New Zealand relating to the audit of the annual financial statements, and we have fulfilled
our other ethical responsibilities in accordance with these requirements.
Other than in our capacity as auditor, we have no relationship with or interests in
AFT Pharmaceuticals Limited or its subsidiaries as auditor of the Company and Group.
Directors’ responsibilities for the interim financial statements
The directors are responsible on behalf of the Group for the preparation and fair
presentation of the interim financial statements in accordance with NZ IAS 34 Interim
Financial Reporting and IAS 34 Interim Financial Reporting and for such internal control
as the directors determine is necessary to enable the preparation and fair presentation
of the interim financial statements that are free from material misstatement, whether due
to fraud or error.
16WORKING TO IMPROVE YOUR HEALTH

Auditor’s responsibilities for the review of the interim financial statements
Our responsibility is to express a conclusion on the interim financial statements based
on our review. NZ SRE 2410 (Revised) requires us to conclude whether anything has
come to our attention that causes us to believe that the interim financial statements,
taken as a whole, are not prepared, in all material respects, in accordance with NZ IAS
34 Interim Financial Reporting and IAS 34 Interim Financial Reporting.
A review of the interim financial statements in accordance with NZ SRE 2410 (Revised)
is a limited assurance engagement. We perform procedures, primarily consisting of
making enquiries, primarily of persons responsible for financial and accounting matters,
and applying analytical and other review procedures. The procedures performed in a
review are substantially less than those performed in an audit conducted in accordance
with International Standards on Auditing (New Zealand) and consequently do not
enable us to obtain assurance that we might identify in an audit. Accordingly we do
not express an audit opinion on the interim financial statements.
Restriction on use
This report is made solely to the company’s shareholders, as a body. Our review has
been undertaken so that we might state to the company’s shareholders those matters
we are required to state to them in a review report and for no other purpose. To the
fullest extent permitted by law, we do not accept or assume responsibility to anyone
other than the company’s shareholders as a body, for our engagement, for this report,
or for the conclusions we have formed.
Bryce Henderson,
Partner for Deloitte Limited
Auckland, New Zealand
23 November 2023
AFT PHARMACEUTICALS INTERIM REPORT 2024
17
INDEPENDENT AUDITOR’S REPORT

Consolidated Income Statement
For the Six Months Ended 30 September 2023
Note
Unaudited
6 Months
Ended
30 Sep 2023
$’000
Restated
Unaudited
6 Months
Ended
30 Sep 2022
$’000
Revenue 483,61465,750
Cost of sales(47,678)(37,071)
Gross profit35,93628,679

Other Income85 -
Selling and distribution expenses(23,797)(17,312)
General and administrative expenses(5,468)(5,127)
Research and development expenses(3,506)(2,783)
Operating profit 3,2503,457

Finance income301
Interest costs(1,814)(1,395)
Other finance gain50259
Profit before tax1,9682,122

Income tax expense(152)(576)
Profit after tax attributable to owners of the parent 1,8161,546

Earnings per share
Basic and diluted earnings per share ($) $0.02$0.01
The accompanying Notes form an integral part of the condensed consolidated interim Financial Statements.
18WORKING TO IMPROVE YOUR HEALTH

Consolidated Statement of Comprehensive Income
For the Six Months Ended 30 September 2023
Note
Unaudited
6 Months
Ended
30 Sep 2023
$’000
Restated
Unaudited
6 Months
Ended
30 Sep 2022
$’000
Profit after tax 1,8161,546

Other comprehensive income
Items that may be subsequently reclassified to profit and loss:
Foreign exchange difference on translation of foreign operations(59)(283)
Other comprehensive loss for the year, net of tax (59)(283)

Total comprehensive income 1,7571,263
The accompanying Notes form an integral part of the condensed consolidated interim financial statements.
AFT PHARMACEUTICALS INTERIM REPORT 2024
19
INTERIM FINANCIAL STATEMENTS 2024

Consolidated Statement of Changes in Equity
For the Six Months Ended 30 September 2023
Note
Share
capital
$'000
Share
options
reserve
$'000
Foreign
currency
translation
reserve
$'000
Restated
Retained
earnings
$'000

Total
equity
$'000
Balance 31 March 2022 77,606160394(15,897)62,263

Unaudited (Restated)
Six months to 30 September 2022
Profit after tax - - -1,5461,546
Other comprehensive income - -(283) -(283)
Total comprehensive income - -(283)1,5461,263
Issue of share capital8634(161) - -473
Movement in share options reserve -1 -3435
Balance 30 September 2022 78,240 -111(14,317)64,034
Audited
Year ended 31 March 2023
Profit after tax - - -10,69910,699
Other comprehensive income - -(168) -(168)
Total comprehensive income - -(168)10,69910,531
Issue of share capital8634(161) - -473
Movement in share options reserve -1 - -1
Balance 31 March 2023 78,240 -226(5,198)73,268

Unaudited
Six months to 30 September 2023
Profit after tax - - -1,8161,816
Other comprehensive income - -(59) -(59)
Total comprehensive income - -(59)1,8161,757
Issue of share capital - - - - -
Movement in share options reserve -35 - -35
Dividends paid - - -(1,154)(1,154)
Balance 30 September 2023 78,24035167(4,536)73,906
The accompanying Notes form an integral part of the condensed consolidated interim financial statements.
20WORKING TO IMPROVE YOUR HEALTH

Consolidated Balance Sheet
As at 30 September 2023

Note

Unaudited
as at
30 Sep 2023
$’000
Audited
as at
31 Mar 2023
$’000
Restated
Unaudited
as at
30 Sep 2022
$’000
ASSETS
Current assets
Inventories54,64842,39739,707
Trade and other receivables33,41146,71828,180
Cash and cash equivalents6,1724,7498,795
Derivative assets 12893736471
Total current assets95,12494,60077,153

Non-current assets
Property, plant and equipment433450518
Intangible assets49,71745,62742,236
Right of use assets3,6652,9152,641
Deferred income tax assets 9,9334,4718,345
Total non-current assets63,74853,46353,740
Total assets 158,872148,063130,893

LIABILITIES
Current liabilities
Trade and other payables32,15131,65820,771
Provisions6,5404,1472,806
Lease liabilities7748571514
Current income tax liability5,3218341,295
Derivative liabilities12 -107681
Interest bearing liabilities 73,5852,45833,200
Total current liabilities48,34539,77559,267

Non-current liabilities
Lease liabilities73,4212,8202,592
Interest bearing liabilities7 33,20032,2005,000
Total non-current liabilities36,62135,0207, 5 9 2
Total liabilities 84,96674,79566,859

EQUITY
Share capital878,24078,24078,240
Retained earnings/(losses)(4,536)(5,198)(14,317)
Share options reserve835 - -
Foreign currency translation reserve167226111
Total equity 73,90673,26864,034
Total liabilities and equity 158,872148,063130,893
The accompanying Notes form an integral part of the condensed consolidated interim financial statements.
On behalf of the Board on 23 November 2023
David Flacks Dr Hartley Atkinson
Chair Founder and Chief Executive Officer
AFT PHARMACEUTICALS INTERIM REPORT 2024
21
INTERIM FINANCIAL STATEMENTS 2024

Consolidated Statement of Cash Flows
For the Six Months Ended 30 September 2023
Unaudited
6 Months
Ended
30 Sep 2023
$’000
Unaudited
6 Months
Ended
30 Sep 2022
$’000
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers102,31774,081
Payments to suppliers and employees(93,722)(67,850)
Tax paid(1,127)(249)
Net cash generated from operating activities7,4685,982

CASH FLOWS FROM INVESTING ACTIVITIES
Purchases of property, plant and equipment(76)(115)
Purchase of intangible assets(4,769)(4,738)
Net cash used in investing activities(4,845)(4,853)

CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issue of share capital -473
Dividends paid(1,154) -
Payment for lease liabilities(331)(302)
New borrowings - -
Borrowings repaid -(2,000)
Interest received301
Interest paid on lease liabilities(145)(116)
Interest costs paid on borrowings(1,669)(1,104)
Net cash used in financing activities(3,269)(3,048)

Net increase/(decrease) in cash(646)(1,919)
Impact of foreign exchange on cash and cash equivalents(58)(226)
Opening cash and cash equivalents3,2917,940
Closing cash and cash equivalents2,5875,795

Made up of:
Cash and cash equivalents6,1728,795
BNZ overdraft(3,585)(3,000)
2,5875,795
The accompanying Notes form an integral part of the condensed consolidated interim financial statements.
22WORKING TO IMPROVE YOUR HEALTH

Reconciliation of Profit After Tax With Net Cash Flow From Operating Activities
For the Six Months Ended 30 September 2023
Unaudited
6 Months
Ended
30 Sep 2023
$’000
Restated
6 Months
Ended
30 Sep 2022
$’000
Profit after tax1,8161,546

Non-cash items and items classified as financing activities
Depreciation9380
Depreciation ROU assets364344
Amortisation391595
Impact of foreign exchange on cash and cash equivalents -(51)
Interest on lease liabilities145116
Interest and finance expense1,6691,104
Unrealised (gain)/loss on foreign currency movements(239)(165)
Provision for tax expense(975)576
Interest received(30) -
Intangible asset disposals292 -

Movement in working capital
(Increase)/decrease in inventories(12,251)(6,207)
(Increase)/decrease in trade and other receivables13,3077,450
Increase/(decrease) in trade and other payables, provisions2,886594
Net cash generated from operating activities7,4685,982

The accompanying Notes form an integral part of the condensed consolidated interim financial statements.
AFT PHARMACEUTICALS INTERIM REPORT 2024
23
INTERIM FINANCIAL STATEMENTS 2024

Notes to the Financial Statements
For the Six Months Ended 30 September 2023
1. Reporting Entity
AFT Pharmaceuticals Ltd (the “Company” or “Parent”) together with its subsidiaries (the “Group”) is
a pharmaceutical distributor and developer of pharmaceutical intellectual property. The Company is
incorporated and domiciled in New Zealand, it is registered under the Companies Act 1993. The address
of the Company’s registered office is 129 Hurstmere Road, Takapuna, New Zealand.
The Company is an FMC reporting entity under the Financial Markets Conduct Act 2013 and is listed
on both the NZX and ASX.
These condensed consolidated interim financial statements were approved by the Directors on 23
November 2023 and are not audited but have been reviewed by Deloitte Limited in accordance with NZ
SRE 2410 (Revised) Review of Financial Statements Performed by the Independent Auditor of the Entity.
2. Basis of Preparation and Principles of Consolidation
Statement of compliance
These general-purpose financial statements for the six months to 30 September 2023 have been
prepared in accordance with New Zealand Generally Accepted Accounting Practice (NZ GAAP). They
comply with NZ IAS 34 and IAS 34, Interim Financial Reporting. The Group is a for-profit entity for the
purposes of complying with NZ GAAP.
These condensed consolidated interim financial statements do not include all the notes normally included
in an annual financial report. Accordingly, this report should be read in conjunction with the audited
financial statements for the year ended 31 March 2023, which have been prepared in accordance with
the New Zealand equivalents to International Financial Reporting Standards (NZ IFRS) and International
Financial Reporting Standards (IFRS).
The same accounting policies and methods of computation are followed in the condensed consolidated
interim financial statements as compared to the audited financial statements for the year ended
31 March 2023, as described in those annual financial statements.
Basis of accounting
These consolidated financial statements have been prepared under the historical cost convention,
as modified by the revaluation of financial assets and liabilities (including derivative instruments)
at fair value through profit or loss and/or other comprehensive income.
Functional and presentation currency
The consolidated financial statements are presented in New Zealand dollars (NZD), which is the
Company’s functional currency rounded to the nearest thousand dollars unless otherwise stated. Items
included in the financial statements of each of the subsidiaries are measured using the currency of the
primary economic environment in which the entity operates (the functional currency).
Foreign currency transactions and balances
The results and balance sheets of all foreign operations (none of which has the currency of a
hyperinflationary economy) that have a functional currency different from New Zealand dollars are
translated into the presentation currency as follows:
• Assets and liabilities for each balance sheet presented are translated at the closing rate at the date
of that balance sheet
• Income and expenses for each income statement and statement of comprehensive income are
translated at average exchange rates, unless this is not a reasonable approximation of the cumulative
effect of the rates prevailing on the transaction dates, in which case income and expenses are
translated at the dates of the transactions, and
• Exchange differences arising are recognised in other comprehensive income and accumulated in equity.
Basis of consolidation
The consolidated financial statements incorporate the assets and liabilities of all subsidiaries of the Group
as at the balance date and the results of all subsidiaries for the six-month period then ended.
Intercompany transactions, balances and unrealised gains on transactions between subsidiary companies
are eliminated. Unrealised losses are also eliminated unless the transaction provides evidence of the
impairment of the asset transferred.
24WORKING TO IMPROVE YOUR HEALTH

Critical accounting estimates and judgements
In applying the Group’s accounting policies, the directors are required to make judgements
(other than those involving estimations) that have a significant impact on the amounts recognised
and to make estimates and assumptions about the carrying amounts of assets and liabilities that
are not readily apparent from other sources. The estimates and associated assumptions are based
on historical experience and other factors that are considered to be relevant. Actual results may
differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting
estimates are recognised in the period in which the estimate is revised if the revision affects only that
period or in the period of the revision and future periods if the revision affects both current and future
periods.
Significant estimates are disclosed in each of the applicable notes to the financial statements and are
designated with an symbol.
Significant accounting policies
Accounting policies are disclosed in each of the applicable notes to the financial statements
and are designated with an symbol.
All mandatory amendments have been adopted in the current year. None had a material impact
on these financial statements.
The accounting policies applied by the Group in the preparation of the condensed consolidated interim
financial statements are the same as those applied by the Group in the preparation of its consolidated
financial report for the year ended 31 March 2023. The accounting policies have been applied consistently
throughout the Group for the purposes of this interim report.
Standards and interpretations in issue not yet effective
At the date of authorisation of these condensed consolidated interim financial statements the Group has
not applied new and revised NZ IFRS standards and amendments that have been issued but are not yet
effective. It is not expected that the adoption of these standards and amendments will have a material
impact on the financial statements of the Group.
Goods and Services Tax (GST)
The income statement and the statement of comprehensive income have been prepared so that all
components are stated exclusive of GST. All items in the balance sheet are stated net of GST, with the
exception of accounts receivable and payable, which include GST invoiced. All components of the
statement of cash flows are stated exclusive of GST.
Comparative information
In some cases comparative information has been restated to confirm to this years presentation
Prior period restatements
The group company in New Zealand sells inventory to another group company in Australia. In preparing
the consolidated financial statements, the Group eliminates any unrealised profit relating to intragroup
sales where the inventory is still held by the Group at balance date. Where the New Zealand company
has recorded a current tax liability in relation to these unrealised profits, the Group should also record a
deferred tax asset for the deduction that will be received by the Group company in Australia when the
inventory is sold to customers. In prior reporting periods, there was no deferred tax recognised in relation
to the elimination of unrealised intragroup profits between New Zealand and Australia. The restatement
resulted in the recognition of a deferred tax asset of $8,345m at 30 September 2022.
The adjustment to the consolidated financial position 30 September 2022 was as follows:
30 September
2022Adjustment
Restated
30 September
2022
Deferred Tax Asset 3,755 4,5908,345
Current income tax liability2,318(1,023)1,295
Retained earnings (19,930)5,613(14,317)
Income tax expense(670)94(576)
Profit after tax1,452941,546
AFT PHARMACEUTICALS INTERIM REPORT 2024
25
INTERIM FINANCIAL STATEMENTS 2024
Additional information relating to the restatements made for the period ending 31 March 2022 is available
within published Financial Statements for the period ending 31 March 2023.

Notes to the Financial Statements (Continued)
For the Six Months Ended 30 September 2023
3. Significant Transactions and Events in the Current Period
The High Court of Auckland made judgement in late August 2023 in the case brought against the
company by a former contractor to the Company, PBL Solutions Limited (PBL), in Southeast Asia.
The substance of the claim was that AFT Orphan Pharmaceuticals Limited (“AFTO” of which PBL is a 35%
shareholder) rather than the Company (which owns the remaining 65%), should have had the opportunity
to pursue the Pascomer drug development opportunity.
The High Court dismissed PBL’s claim for a lump sum payment for an assessed present value of PBL’s
claimed 35% proportionate share of future profits attributable to the Pascomer opportunity.
The Court found that AFT owed PBL a fiduciary duty in the context of evaluating the Pascomer
opportunity and that AFT breached that duty but had not acted dishonestly. The Court has held that PBL
is entitled to an account of a 35% share of the profits which are in future made by AFT from Pascomer for
orphan or orphan-like opportunities only. Any profit is to be assessed after making allowance for AFT’s
costs and expenses and direct labour costs in relation to development of the Pascomer opportunity
and for use of AFT’s proprietary Crystaderm® technology in Pascomer.
AFT is not required to account to PBL for any profit which AFT may earn from the application
of Pascomer for treatment of non-orphan conditions such as Port Wine Stain (PWS).
PBL has appealed this aspect of the judgement.
The group has reviewed the possible impact on the carrying value of the Pascomer IP as detailed in the
Intangible Assets note 12 of the FY2023 Financial Statements arising from this judgement. As with the
FY2023 review, a 35% profit dilution as determined by the judgement together with a successful appeal
by PBL for the inclusion of PWS does not show indications of impairment .
There were no other significant transactions and events occurred during the current period.
4. Revenue from Operations
Unaudited
6 Months
Ended
30 Sep 2023
$’000
Unaudited
6 Months
Ended
30 Sep 2022
$’000
Sale of goods81,03065,419
Royalty income625273
Licensing Income1,95958
Total revenue from operations83,61465,750
26WORKING TO IMPROVE YOUR HEALTH

Revenue is measured based on the consideration to which the Group expects to be entitled in a contract
with a customer and excludes amounts collected on behalf of third parties:
• The sale of goods, which are recognised when control of the product is transferred to the customer.
• Licensing income, the Group has entered into a number of out-licencing contracts whereby the
Group’s obligations are the provision of territorial rights to the company’s intellectual property and
the provision and support of the documentation required to enable registration of the product in the
territory. The Group typically receives an upfront fee, milestone payments for specific registration
and/or development-based outcomes, and sales-based milestones or royalties as consideration for
the license. Licenses coupled with other services, must be assessed to determine if the license is
distinct (that is, the customer must be able to benefit from the IP on its own or together with other
resources that are readily available to the customer, and the Group’s promise to transfer the IP must
be separately identifiable from other promises in the contract). If the license is not distinct, then the
license is combined with other goods or services into a single performance obligation. Revenue is then
recognised as the Group satisfies the combined performance obligation.
A license will either provide:
• A right to access the entity’s intellectual property throughout the license period, which results
in revenue that is recognised over time;
or
• A right to use the entity’s intellectual property as it exists at the point in time in which the license
is granted, which results in revenue that is recognised at a point in time. For sales- or usage-based
royalties that are attributable to a license of IP, the amount is recognized at the later of:
- when the subsequent sale or usage occurs; and
- the satisfaction or partial satisfaction of the performance obligation to which some or all of the
sales- or usage-based royalty has been allocated.

Interests in joint operations
A joint operation is a joint arrangement whereby the parties that have joint control of the arrangement
have rights to the assets and obligations for the liabilities relating to the arrangement. Joint control is the
contractually agreed sharing of control of an arrangement, which exists only when decisions about the
relevant activities require unanimous consent of the parties sharing control.
AP
AP
5. Joint Operations
Hyloris Pharmaceuticals SA and AFT have been collaborating in the development of the Maxigesic
IV product. AFT has now licensed the product to a number of partners covering multiple countries.
Maxigesic IV is protected by several granted and pending patent applications. Under the terms of the
development collaboration agreement between Hyloris and AFT, Hyloris is eligible to receive a share
on any product related revenues, such as license fees, royalties, milestone payments, received by AFT.
The arrangement constitutes a joint operation whereby the Group recognises, in relation to its interest
in the joint operation, its share of assets and liabilities in the consolidated statement of financial position
and share of revenue earned and expenses incurred in the consolidated income statement. The Group
accounts for the assets, liabilities, revenues and expenses relating to its interest in the joint operation
in accordance with the NZ IFRS standards applicable to the particular assets, liabilities, revenues and
expenses.
AFT PHARMACEUTICALS INTERIM REPORT 2024
27
INTERIM FINANCIAL STATEMENTS 2024

Notes to the Financial Statements (Continued)
For the Six Months Ended 30 September 2023
6. Segment Reporting
Operating Segments

Unaudited 6 months to
Australia
$’000
New
Zealand
$’000
Asia
$’000
Rest of
World
$’000
Total
$’000
30 September 2023
Revenue - Sale of goods42,70422,6775,09310,55681,030
Revenue - Royalties - -323302625
Revenue - Licensing - - -1,9591,959
Total revenue42,70422,6775,41612,81783,614
Other income - - -8585
Depreciation - ROU assets205159 - -364
Depreciation - Other885 - -93
Amortisation -390 - -390
Operating profit549(2,013)1,6213,0943,251
Finance income129 - -30
Interest expense - Loans -(1,669) - -(1,669)
Interest expense - Lease liabilities(46)(99) - -(145)
Other finance gains/(losses) -502 - -502
Profit / (loss) before tax504(3,250)1,6213,0941,969
Total assets45,85562,850550,162158,872
ROU assets1,3402,325 - -3,665
Property plant and equipment32400 -2434
Pascomer IP - - -12,50012,500
Other intangible assets - - -37,21737,217
Total liabilities3,16178,1582,5111,13684,966
Capital expenditure *14,847 -124,860

* Capital expenditure includes both intangible and tangible asset additions
28WORKING TO IMPROVE YOUR HEALTH

Operating Segments

Unaudited 6 months to
Australia
$’000
New
Zealand
$’000
Asia
$’000
Rest of
World
$’000
Total
$’000
30 September 2022
Revenue - Sale of goods36,06821,2953,6644,39265,419
Revenue - Royalties - - -273273
Revenue - Licensing - - -5858
Total revenue36,06821,2953,6644,72365,750
Other income - - - - -
Depreciation - ROU assets207137 - -344
Depreciation - Other1169 - -80
Amortisation -595 - -595
Operating profit3,101142532(318)3,457
Finance income -1 - -1
Interest expense - Loans -(1,279) - -(1,279)
Interest expense - Lease
liabilities
(25)(91) - -(116)
Other finance gains/(losses)(2)61 - -59
Profit/(loss) before tax
(restated)
3,074(1,166)532(318)2,122
Total assets (restated)41,11947,525442,245130,893
ROU assets5052,136 - -2,641
Property plant and
equipment
514661 -518
Pascomer IP - - -12,50012,500
Other intangible assets - - -29,73629,736
Total liabilities (restated)1,97062,5711,88243666,859
Capital expenditure *104,843 - -4,853

* Capital expenditure includes both intangible and tangible asset additions.

Operating segments are reported in a manner consistent with the internal reporting provided to the chief
operating decision maker (CODM). For the purposes of NZ IFRS 8, the CODM is a group comprising the
Board of Directors, together with the Chief Executive Officer, the Chief of Staff, the Chief Financial Officer
and the Director of International Business Development. This has been determined on the basis that it is
this group that determines the allocation of the resources to segments and assesses their performance.
The Group has four operating segments based on geographical locations reportable under NZ IFRS 8,
as described below, which are the Group’s strategic groupings of business units. The following summary
describes the operations in each of the Group’s reporting segments:
• New Zealand – Includes the head office function for the Group, supplier relationships and procurement
of all stock for the Group, all regulatory activity, governance, all marketing activity and all finance
activity. The sales and distribution activity principally relate to the New Zealand market.
• Australia – Includes the sales and distribution activity relating to the Australian market.
• Asia – Includes the sales and distribution activity relating to the Asian market.
• Rest of World – Includes the out-licensing of IP developments to markets in which the Group does not
have a presence and the export of products to export markets. The costs of research and development
and new market development activity not specific to the other segments are expensed to this segment.
• Major Customers – Revenues net of rebates from a single customer of the Australian segment (being a
licensed wholesaler) represents approximately NZ$6.4m (6 Months to 30 September 2022: NZ$15.9m)
and from one customer of the New Zealand segment (also being a licensed wholesaler) represents
approximately NZ$12.3m (6 months to 30 September 2022: NZ$10.8m) of the Group’s total revenues.
AFT PHARMACEUTICALS INTERIM REPORT 2024
29
INTERIM FINANCIAL STATEMENTS 2024

Notes to the Financial Statements (Continued)
For the Six Months Ended 30 September 2023

Finance income comprises interest income that is recognised on a time-proportion basis using the
effective interest method.
Other income comprises international growth grants and other income.
International growth grant
International growth grant income is recognised when eligible international growth expenses are incurred
and conditions relating to the grant are satisfied.

Cash and cash equivalents include cash on hand, deposits held at call with financial institutions and
other short-term investments with original maturities of three months or less that are readily convertible
to known amounts of cash and which are subject to an insignificant risk of changes in value, and bank
overdrafts. Bank overdrafts are shown within borrowings in current liabilities on the balance sheet.
AP
AP
7. Interest Bearing Liabilities
Unaudited
as at
30 Sep 2023
$'000
Audited
as at
31 Mar 2023
$'000
Unaudited
as at
30 Sep 2022
$'000
Current lease liabilities748571514
Non-current lease liabilities3,4212,8202,592
BNZ overdraft3,5851,4583,000
BNZ Term loans current portion -1,00030,200
BNZ Term loans non-current portion33,20032,2005,000
Total40,95438,04941,306
Opening balance of BNZ loan33,20037,20037,200
BNZ loans drawn down - - -
Repayment of principal -(4,000)(2,000)
Closing balance33,20033,20035,200
The BNZ loans have a general security over the assets of the Group together with a Group guarantee.
On 30 September 2023 the BNZ facility was renewed for a further three-year term through to April 2026
and on 15 September the BNZ overdraft facility was increased to $9.5million. The facilities at period end
are $18.2 million term loan, $10.0 million working capital facility, $9.5 million overdraft facility and $5.0
million Business Finance Scheme Loan (BFS). The maturity date for the BFS is May 2026.
Interest on the term loan and working capital facility is the BNZ CCAF or CARL plus a margin of 1.45%.
Interest on the overdraft is the BNZ market connect base rate plus a margin of 1.00%. Interest on the BFS
is fixed at 2.30%. The non fixed interest rates are reset on a quarterly basis.
As at 30 September 2023 the Group overdraft facility was drawn down by $3,585k.
All covenants relating to the BNZ facility have been complied with for the six months ending 30
September 2023
30WORKING TO IMPROVE YOUR HEALTH

8. Share Capital
Ordinary shares are classified as equity.
Unaudited
as at
30 Sep 2023
Shares
Audited
as at
31 Mar 2023
Shares
Unaudited
as at
30 Sep 2023
$’000
Audited
as at
31 Mar 2023
$’000
Ordinary share capital104,866,260104,866,26081,40681,406
Less capital raising costs - -(3,166)(3,166)
Total104,866,260104,866,26078,24078,240
Unaudited
6 months
ended
30 Sep 2023
Shares
Audited
12 months
ended
31 Mar 2023
Shares
Unaudited
6 months
ended
30 Sep 2023
$’000
Audited
12 months
ended
31 Mar 2023
$’000
Share capital
at beginning of the year104,866,260104,697,26078,24077,606
Issue of ordinary shares
for exercised share options -169,000 -634
Total104,866,260104,866,26078,24078,240
Ordinary shares
No ordinary shares were issued during the period (In the six-month period to 30 September 2022,
169,000 shares were issued as a result of staff share options being exercised)
Staff share options
A new issue of 510,000 staff share options were granted on 21 May 2023 (In the six-month period to
30 September 2022: none issued). The exercise price of $3.46 per share is the market value of the plan
shares on the grant date, being the volume weighted average price per plan share calculated from trades
through the NZX Main board over the five trading days before the grant date. The share options become
exercisable in three separate tranches in May 2024, May 2025 and May 2026. Expiry is two years post
vesting. Other than in limited circumstances options are forfeited if an employee leaves the Group before
the options vest. The aggregate of the estimated values of the options granted is $35k. The inputs into
the Black Scholes model are as follows
Option Vest Date31 May 202431 May 202531 May 2026
Weighted average share price$3.44$3.44$3.44
Weighted average exercise price$3.46$3.46$3.46
Expected volatility15.0%15.0%15.0%
Expected life2.75 years3.75 years4.75 years
Risk free rate5.87%5.56%5.10%
Expected dividend yield2.61%2.61%2.61%

Expected volatility was determined by calculating historical volatility of the Group’s share price over the
previous 2 years. The expected life used in the model has been adjusted, based on managements best
estimate for the effects of non-transferability, exercise restrictions and behavioural consideration.
No share options were exercisable during the current period (In the six-month period to 30 September
2022, 169,000 were exercised at an exercise price of $2.80 each raising $473k).
Only the staff share options issued during the current six-month period exist at the period end.
All remaining prior period staff share options lapsed on 30 June 2022.
AFT PHARMACEUTICALS INTERIM REPORT 2024
31
INTERIM FINANCIAL STATEMENTS 2024

The Company has a share option plan for employees of the Group. In accordance with the terms of the
plan, as approved by the directors, certain employees at 22 May 2023 were granted share purchase options.
• Each employee share option converts into one ordinary share of the Company on exercise.
• No amounts are paid or payable by the recipient on receipt of the option.
• The options carry neither rights to dividends nor voting rights.
• Options may be exercised at any time from the date of vesting to the date of their expiry.
• The number of options granted is calculated in accordance with the performance-based formula
approved by the directors at previous Board meetings.
The formula rewards employees to the extent of the Group’s and the individual’s achievement judged
against both qualitative and quantitative criteria including the following financial and operational measures:
• Market share
• Net profit
• Target sales thresholds; and
• Product registration and licensing targets.
Staff share options are valued at fair value at the grant date as calculated using the Black Scholes model.
The fair value determined at the grant date of the equity-settled share-based payments is expensed on
a straight-line basis over the vesting period, based on the Group’s estimate of equity instruments that
eventually vest, with a corresponding increase in equity. At the end of each reporting period, the Group
revises its estimate of the number of equity instruments expected to vest. The impact of the revision of
the original estimates, if any, is recognised in profit or loss such that the cumulative expense reflects the
revised estimate, with a corresponding adjustment to the equity-settled employee benefits reserve.
AP
9. Dividends Per Share
On 22 May 2023 the board approved the payment of a maiden dividend of 1.1 cents per share
or approximately $1.2million. The dividend was paid 4 July 2023. No dividends were declared during
the previous six-month period.
10. Contingent Assets and Liabilities
In December 2019, the Company renewed its guarantee of AFT Pharmaceuticals (AU) Pty Limited for its
five-year lease extension contract with Investec Limited for the premises occupied in Sydney, Australia.
A deposit of AUD$84,000 is held with NAB bank as security for this lease.
The Group has provided a guarantee to Robt Jones Investment Holdings Ltd of $100,000 as security over
the leased office premises at 129 Hurstmere Road, Takapuna. Auckland.
In April 2022, the Australian High Court turned down the application by UK based Reckitt Benckiser
to appeal a judgement that found AFT was justified in making a series of claims in relation to the
efficiency of its pain relief tablets. AFT has costs orders in its favour. The costs are in the process of being
recovered. During the period progress has been made in terms of submission and quantification of the
claim by both parties. Given the progress made, the Group is now in a position to appropriately recognise
an asset within the financial statements. The timing of this receipt is still unknown.
11. Commitments
Capital Commitments
The Group has no capital commitments at 30 September 2023 (31 March 2023: nil, 30 September 2022: nil).
Notes to the Financial Statements (Continued)
For the Six Months Ended 30 September 2023
32WORKING TO IMPROVE YOUR HEALTH

12. Financial Risk Management
Managing financial risk
The Group’s activities expose it to various financial risks as detailed below.
• Market risk
Management is of the opinion that the Group’s exposure to market risk at balance date is defined as:
Risk factor descriptionDescriptionSensitivity
Currency riskExposure to changes in foreign exchange rates
on assets, liabilities, revenue and expenses
As below
Interest rate riskExposure to changes in interest rates
on borrowings
As below
Other price riskNo commodity securities are bought,
sold or traded
Nil
• Foreign exchange risk
The Group benefits from the use of derivative financial instruments to manage foreign currency
exposures. The fair value of forward exchange contracts is calculated by reference to current forward
exchange rates at year end and the contract exchange rates, considered level 2 of the fair value hierarchy.
The Group sells and purchases goods and services to and from overseas customers and suppliers in
several currencies, primarily AUD, USD, EUR and GBP which exposes the Group to foreign currency risk.
The Group manages foreign currency risk through use of derivative arrangements, in particular forward
exchange contracts. The exposure is monitored on a regular basis based on Group foreign exchange
policies, which allow for up to 50% forward cover out for twelve months. Future revenues from markets
outside Australasia will be denominated primarily in USD and EUR which will provide an increasing
natural hedge against costs.
In the current period for the six months to 30 September 2023, net foreign exchange gains totalled $492k
(2022: $58k). The balance of gains/losses are derived from the restatement of monetary balances and
settlements throughout the period at the spot rate on the period-end balance date of 30 September 2023.
In total, the Group had financial assets and liabilities denominated in the following currencies:
Unaudited
30 Sep 2023
Audited
31 Mar 2023
Unaudited
30 Sep 2022
Currency
Assets
NZD$’000
Liabilities
NZD$’000
Assets
NZD$’000
Liabilities
NZD$’000
Assets
NZD$’000
Liabilities
NZD$’000
AUD19,9098,26829,5128,73220,1964,657
USD5,2806,3048,1016,6436,9083,993
MYR66714356591 -
SGD629329471088510
EUR3,6167,5111,1167,9901,0944,526
GBP16547153 -11161
HKD -6 -1 -1
CNY42 -10 - - -
CHF - -4 - - -
YEN - - -2 - -
AFT PHARMACEUTICALS INTERIM REPORT 2024
33
INTERIM FINANCIAL STATEMENTS 2024

The following forward foreign exchange contracts were held at 30 Sep 2023:
Forward Foreign Exchange Contracts
Buy currencyBuy currency
amount ‘000
Sell amount
NZD$’000
Buy amount
NZD$’000
Fair value
NZD$’000
EUR1,8503,2473,28034
USD3,0754,9065,141235
GBP16030832618
Sell currencySell currency
amount $’000
Buy amount
NZD$’000
Sell amount
NZD$’000
Fair value
NZD$’000
AUD19,39021,49620,890606
Total asset as at 30 September 2023893
Total liability as at 30 September 2023 -

The following forward foreign exchange contracts were held at 31 Mar 2023:
Forward Foreign Exchange Contracts
Buy currencyBuy currency
amount ‘000
Sell amount
NZD$’000
Buy amount
NZD$’000
Fair value
NZD$’000
EUR2,0953,4973,648151
GBP50597499925
USD3,2805,3305,223(107)
Sell currencySell currency
amount $’000
Buy amount
NZD$’000
Sell amount
NZD$’000
Fair value
NZD$’000
AUD17,39019,24818,688560
Total asset as at 31 March 2023736
Total liability as at 31 March 2023(107)

The following forward foreign exchange contracts were held at 30 Sep 2022:
Forward Foreign Exchange Contracts
Buy currencyBuy currency
amount ‘000
Sell amount
NZD$’000
Buy amount
NZD$’000
Fair value
NZD$’000
EUR5,0408,3958,717322
GBP4959589591
USD6009011,049148
Sell currencySell currency
amount $’000
Buy amount
NZD$’000
Sell amount
NZD$’000
Fair value
NZD$’000
AUD18,35020,17820,860(681)
Total asset as at 30 September 2022471
Total liability as at 30 September 2022(681)
• Interest rate risk
Borrowings are at a mixture of floating base rates plus a margin determined by the Group’s performance
against covenant adherence levels, which exposes the Group to cash flow interest rate risk. There are no
specific derivative arrangements to manage this risk.
Notes to the Financial Statements (Continued)
For the Six Months Ended 30 September 2023
34WORKING TO IMPROVE YOUR HEALTH

• Credit risk
Financial instruments, which potentially subject the Group to credit risk, principally consist of accounts
receivable. Regular monitoring is undertaken to ensure that the credit exposure remains within the
Group’s normal terms of trade.
The Group has one significant concentration of credit risk at 30 September 2023, with the largest debtor
being AU$3.68m (31 March 2023: AU$27.27m, 30 September 2022: $4.65m). There has been no past
experience of default and no indications of default in relation to this debtor.
The Group’s cash and short-term deposits are placed with high credit quality financial institutions.
Accordingly, the Group has no significant concentration of credit risk other than bank deposits, currently
holding an overdrawn position with the Bank of New Zealand (31 March 2023: overdrawn position), and
2.2% at NAB Bank (31 March 2023: 2.8%). The carrying value of financial assets represents the maximum
exposure to credit risk.
• Liquidity risk
Liquidity risk is the risk that the Group may encounter difficulty in raising funds at short notice to meet
its commitments and arises from the need to borrow funds for working capital. The directors monitor the
risk on a regular basis and actively manage the cash available to ensure the net exposure to liquidity risk
is minimised.
The liquidity/maturity profile of the liabilities is as follows:
30 September 2023 (unaudited)
< 1 year
$’000
1-2 years
$’000
2-5 years
$’000
> 5 years
$’000
TOTAL
$’000
Trade and other payables(32,151) - - -(32,151)
Borrowings(6,658)(3,065)(41,118) -(50,841)
Lease liabilities(930)(932)(1,807)(1,446)(5,115)
Derivative instruments (outbound)(29,351) - - -(29,351)
Derivative instruments (inbound)30,244 - - -30,244
Total(38,846)(3,997)(42,925)(1,446)(87,214)

31 March 2023 (audited)$’000$’000$’000$’000$’000
Trade and other payables(31,658) - - -(31,658)
Borrowings(5,279)(2,788)(35,454) -(43,521)
Lease liabilities(799)(722)(1,394)(1,446)(4,361)
Derivative instruments
(outbound)
(29,049) - - -(29,049)
Derivative instruments (inbound)29,678 - - -29,678
Total(37,107)(3,510)(36,848)(1,446)(78,911)
Fair Values
The carrying values of trade receivables, trade payables and borrowings approximate their fair values
because of their short terms to maturity or interest reset dates. Trade receivables are valued net
of provision and trade payables are valued at their original amounts by contract.

AFT PHARMACEUTICALS INTERIM REPORT 2024
35
INTERIM FINANCIAL STATEMENTS 2024

13. Management of Capital
The Group’s objectives when managing capital are to safeguard the Group’s ability to continue as a
going concern so that it can continue to provide returns to its shareholders and to maintain a strong
capital base to support the development of its business. The Group meets these objectives through a
mix of equity capital and borrowings. The level and mix of capital are determined by the Group’s internal
Corporate Governance policies.
Under the BNZ facility, there is a covenant requirement that the facility, comprising an overdraft and
letter of credit facility, must not exceed the total of 70% of acceptable debtors plus 50% of acceptable
stock. Additional covenants include a requirement for a minimum principal and interest cover ratio, a
minimum net leverage ratio and a maximum capital expenditure (capex) and research and development
(R&D) ratio. Covenant reporting is required on a quarterly basis. The Group was compliant with all BNZ
covenants during the period.
14. Significant Events After Balance Sheet Date
There were no significant events after balance sheet date.
15. Related Parties
The Group had related party relationships with the following entities:
Related partyNature of relationship
Atkinson Family TrustAFT Chief Executive Officer, Hartley Atkinson, is a Trustee /
Discretionary Beneficiary of Atkinson Family Trust.
AFT Chief of Staff, Marree Atkinson, is a Discretionary
Beneficiary of Atkinson Family Trust
Key management compensation
Unaudited
6 months
ended
30 Sep 2023
$’000
Audited
12 months
ended
31 Mar 2023
$’000
Unaudited
6 months
ended
30 Sep 2022
$’000
Directors fees252472254
Executive salaries7791,416705
Short term benefits208443221
Options expense3532 -
Key management compensation1,2742,3631,180
Key management includes external directors, the Chief Executive Officer, the Chief of Staff, the Chief
Financial Officer and the Director of International Business Development. These positions are mainly
responsible for planning, controlling and directing the activities of the business.
Notes to the Financial Statements (Continued)
For the Six Months Ended 30 September 2023
36WORKING TO IMPROVE YOUR HEALTH

Company Directory
AFT is a company incorporated with limited liability under the New Zealand Companies Act 1993
(Companies Office registration number 873005).
Registered Offices Level 1, 129 Hurstmere Road, Takapuna, Auckland 0622,
New Zealand. +64 9 488 0232
www.aftpharm.com
Mertons, Level 7, 330 Collins Street, Melbourne,
Victoria 3000, Australia.
+61 3 8689 999
Principal Administration
Offices
Level 1, 129 Hurstmere Road, Takapuna,
Auckland 0622, New Zealand.
+64 9 488 0232
www.aftpharm.com
113 Wicks Road, North Ryde NSW 2113, Australia.
+61 2 9420 0420
ARBN: 609 017 969
Directors
(As at date of this Interim
Report)
Dr Hartley Atkinson
Marree Atkinson
Anita Baldauf
David Flacks
Andrew Lane
Dr Ted Witek
Share Registrar Computershare Investor Services
Limited Level 2, 159 Hurstmere Road, Takapuna,
Auckland 0622, New Zealand.
+64 9 488 8777
enquiry@computershare.co.nz
Computershare Investor Services Pty Limited, Yarra Falls,
452 Johnston Street, Abbotsford VIC 3001, Australia.
+61 3 9415 4083
enquiry@computershare.co.nz
Auditor Deloitte Limited, Deloitte Centre, 80 Queen Street,
Auckland 1140, New Zealand.
+64 9 303 0700
Legal Counsel Harmos Horton Lusk
Level 33, Vero Centre, 48 Shortland Street,
Auckland 1140, New Zealand.
+64 9 921 4300
Financial Calendar
Financial year end31 March 2024
Full year results announcementMay 2024
Annual Meeting August 2024
Half-year end 30 September 2024
AFT PHARMACEUTICALS INTERIM REPORT 2024
37

Level 1, 129 Hurstmere Road
Takapuna
Auckland 0622
New Zealand
+64 9 488 0232
www.aftpharm.com

---

INVESTOR
PRESENTATION
1H 24 FINANCIAL
RESULTS
23 NOVEMBER2023

Important Notice
AFT PHARMACEUTICALS WORKING TO IMPROVE YOUR HEALTH2
This presentation has been prepared by AFT Pharmaceuticals Limited (“AFT”), to provide a general overview of the performance of AFT for the half year to 30 September 2023. It is
not prepared for any other purpose and must not be provided to any person other than the intended recipient.
This presentation should be read in conjunction with AFT’s interim financial statements, market releases and other periodic and continuous disclosure announcements, which are
available at www.nzx.com and www.asx.com.au.
All amounts are disclosed in New Zealand dollars (NZ$) unless otherwise indicated.
All references to financial years appearing in this presentation are for the period ending half year to 30 September 2023, unless otherwise indicated. This presentation is not a
recommendation, offer or invitation to acquire AFT’s securities or other form of financial advice or disclosure document.
While reasonable care has been taken in compiling this presentation, none of AFT nor its subsidiaries, directors, employees, agents or advisers (to the maximum extent permitted by
law) gives any warranty or representation (express or implied) of the accuracy, completeness or reliability of the information contained in it nor takes any responsibility for it.
The information in this presentation has not been and will not be independently verified or audited. This presentation may contain certain forward-looking statements and comments
about future events, including with respect to the financial condition, results, operations and business of AFT.
These statements are based on management’s current expectations, which may involve significant elements of subjective judgement and assumptions as to future events which may
or may not be correct, and the actual events or results may differ materially and adversely from these statements. Past performance information given in this presentation is given for
illustrative purposes only and should not be relied upon (and is not) an indication of future performance.

AFT PHARMACEUTICALS WORKING TO IMPROVE YOUR HEALTH3
Dr Hartley Atkinson
Co-founder and Managing Director
Malcolm Tubby
Chief Financial Officer

1H 24Highlights: Growth accelerates in Asia and International markets.
4
•Strong growth outside Australasia. Asia (up 50% to $5.4m) and International up (172.3% to $12.8m) rising at the fastest rate
•$2m of licensing income lifts already strong international result
•Operating profit of $3.3m with investment for growth including ANZ marketing product launches and R&D.
•On track for a operating profit result with guidance affirmed at $22m to $24m; targeting dividend for FY2024
*Guidance excludes $6M licence income due on launch of Maxigesic IV in the US
$49.0
$56.0
$64.0
$69.0
$80.0
$85.0
$106.0
$113.1
$55.5
$65.8
$83.6
$49.0
$56.0
$64.0
$69.0
$80.0
$85.0
$106.0
$113.1
$74.8
$90.8
$130.3
$156.6
$-
$20.0
$40.0
$60.0
$80.0
$100.0
$120.0
$140.0
$160.0
FY2014FY2015FY2016FY2017FY2018FY2019FY2020FY2021FY2022FY 2023FY 2024
$NZM
AFT OPERATING REVENUE

Australia: Sales Accelerating Underpinned By New Product Launches
AFT PHARMACEUTICALS WORKING TO IMPROVE YOUR HEALTH5
•Sales in Australia rise 18% to $42.7m from $36m supported by organic and new product growth, although moderated by an
easing of pandemic related demand.
•Operating profit lower with investment for growth and product marketing, but planned reduction in spend in 2H 24
•Products launches and organic growth to support traditionally stronger second half
1H 23
1H 24
$61.4
$68.3
$76.7
$36.0
$42.7
$58.1
$94.1
$-
$10.0
$20.0
$30.0
$40.0
$50.0
$60.0
$70.0
$80.0
$90.0
$100.0
FY2020FY2021FY2022FY2023FY2024
$NZM
AUSTRALIAN REVENUE

New Zealand: Organic Growth
AFT PHARMACEUTICALS WORKING TO IMPROVE YOUR HEALTH6
•New Zealand revenue grows 7% to $22.7m from $21.3m. Hospital channel (up 15.4%) and OTC (up 6.8%) lifted by new and
organic growth. Prescription channel up 2.1%
•Operating profits lower in line with Australian marketing spend together with stronger sales of lower margin hospital products
•Future growth driven again by organic growth and new product launches
1H 24
1H 23

Asia: Expanded OTC Presence and Moving into China
AFT PHARMACEUTICALS WORKING TO IMPROVE YOUR HEALTH7
•Sales in Asia rose 50%to $5.4m with strong growth across all channels. OTC channel up 88.2% lifted by e-commerce
growth off a low base
•Prescription and hospital channels (up 98.2% and 36% respectively) benefit from Maxigesic IV launch in Korea
•Targeting accelerating growth in Asiawith geographic expansion and organic growth;Crystaderm now registered in China
1H 23
1H 24

8
1H 24 International Revenue Ahead of FY 2023 Result
•International income rises 172% on 1H 23 to $12.9m; lifted by organic growth and $2.0m of licensing income
•Maxigesic Rapid and Maxigesic IV now registered in the US; US launch of Maxigesic IV to trigger $6m license fee payment from Hikma
Pharmaceuticals
•Progressing discussions over best approach to US distribution of MaxigesicRapid.
•Targeting accelerating International income growth from multiple sources (organic, geographical, new dose forms and products)
8
2.5
$4.7
$5.3
$7.8
$6.4
$10.8
1.1
$1.2
$3.8
$2.1
$6.7
$0.9
$10.8
$2.0
$3.6
$5.9
$9.1
$9.9
$13.1
$11.7
$12.8
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
$14.0
FY2018 FY2019 FY2020 FY2021 FY 2022 FY2023 1H 2024
NZ$M
INTERNATIONAL REVENUE
1H Other1H Product sales and royaltiesFY Other FY Product sales and royalties

A Global Footprint
Maxigesic is now available in 66 countries and
will soon launch in the United States

Driving Growth With New Products
AFT PHARMACEUTICALS WORKING TO IMPROVE YOUR HEALTH10
•DuringFY 23AFT launched 22 newproducts
•Product launches planned in Australasia FY24 -FY26 rises by 5 to 73 across
all three channels
•Some of these products also targeted for launch in Asian hubs (Singapore
and Hong Kong) and UK
•Several innovative products in-licensed e.g.Zeneo® Midazolam Needle
FreeAuto-Injector for epilepsy
YearFY 23FY 24FY 25 - FY 26
Planned launches222053
Australasia product launch pipeline

Driving Growth Through Expanded Distribution Networks
AFT PHARMACEUTICALS WORKING TO IMPROVE YOUR HEALTH11
A Global Presence Online and in Market
•Extended our online presence
•Amazon (US AU);
•China (CBEC) and with the registration of Crystaderm locally.
•Australia (Direct)
•New hubs
•AFT Pharmaceuticals UK has a pipeline of 40 product slated for
launch, 4 planned in FY24
•Sales hubs in Singapore and Hong Kong expanding pipeline
Tmall - a Gateway to China

60%
28%
8%
4%
37%
17%
35%
11%
AustraliaNew ZealandInternationalAsia
New Product Development and International Markets to Drive Growth
AFT PHARMACEUTICALS WORKING TO IMPROVE YOUR HEALTH12
THE FUTURE
REVENUE MIX BY REGION
FY 2023
•Ongoing new product launches in Australia and New Zealand
•The launch of Maxigesic IV and Rapid in the US
•Growing presence in Asia
•UK launches and pipeline
•AFT ANZ pipeline expanded to AFT Hubs (SG, HK, UK)
•Amazon USA
•Growing R&D pipeline and launches in later years

Operating Cashflow Supports Continued R&D Investment
AFT PHARMACEUTICALS WORKING TO IMPROVE YOUR HEALTH13

NZ$'000s
Six months to 30 September
2023Revenue
%
2022Revenue
%
Revenue83,61465,750
Gross profit35,93643.0%28,67943.6%
Operating expenses and other income(32,686)39.1%(25,222)38.4%
Operating profit3,2503,457
Finance expenses and other income(1,282)(1,335)
Ta x(152)(576)
Profit after tax1,8161,546
EBITDA4,0984,476
Revenue from product sales and royalties81,65565,692
Gross profit from product sales and
royalties
33,93741.6%28,62143.6%
Earnings Reflect Investment for Growth
AFT PHARMACEUTICALS WORKING TO IMPROVE YOUR HEALTH14
•Revenue growth of 27%
•Gross Profit growth of 25%
•Margin of 43%
•Investment in marketing (H1 skewed), R&D
and product development pipeline

Balance Sheet: Well Funded, Net Debt Steady
AFT PHARMACEUTICALS WORKING TO IMPROVE YOUR HEALTH15
NZ$'000
Six months to 30 September20232022
Current assets 88,95268,358
Cash6,1728,795
Non-current assets 63,74853,740*
Total assets 158,872130,893
Current liabilities44,76026,067*
Current interest-bearing liabilities 3,58533,200
Non-current liabilities 3,4212,592
Non-current interest-bearing liabilities 33,2005,000
Total liabilities 84,96666,859
Total equity 73,90664,034*
Total liabilities and equity158,872130,893
•Net debt at $30.6m in line with March 2023
and last half year with:
-investment in R&D and marketing
-Gradual reduction in inventory days amid
easing pandemic and supply chain
pressures
•Equity grows $10m
*FY 2022 figures restated to reflect recognition of deferred tax asset in FY 2021

Cash Flow: AFT Remains Well Funded as Debt Reduction Continues
AFT PHARMACEUTICALS WORKING TO IMPROVE YOUR HEALTH16
NZ$'000’s
Six months to 30 September20232022
Net cash from operating activities 7,4685,982
Net cash used in investing activities (4,845)(4,853)
Net cash used in financing activities (3,269)(3,048)
Net increase/(decrease) in cash (646)(1,919)
Impact of foreign exchange on cash and cash
equivalents
(58)(226)
Opening cash and cash equivalents 3,2917,940
Closing cash and cash equivalents 2,5875,795
•Operating cashflow growth
•AFT fully funded growth investments from
internally generated cash

AFT PHARMACEUTICALS WORKING TO IMPROVE YOUR HEALTH17
Summary and Outlook: Growth momentum expected to continue in 2H 24
•Ongoing rollout of Maxigesicand its line extensions in international markets and after this, products from our
expanded R&D pipeline.
•Targeting increased growth in International and Asia markets; expansionin the UK and e-commerce; organic
growth and new product launches in ANZ markets
•Targeting increased R&D pipeline acquisitions with twoprojects under diligence
•Target of $200m of rolling twelve-month stretch sales now in sight
•Operating profit guidance range of $22m to $24m.
•Guidance subject to decision on US MaxigesicRapid commercialisationstrategy determination
•Directors expect to declare a dividend for the 2024 financial year

QUESTIONS

APPENDIX

Maxigesic Distribution
1
Paracetamol and Ibuprofen
20
Product Maxigesic tabletsMaxigesic IVMaxigesic oral solutionMaxigesic hot drink
Territories
30 Sept
2023
31 March
2023
30 Sept
2023
31 March
2023
30 Sept
2023
31 March
2023
30 Sept
2023
31 March
2023
Licensed 100+100+100+100+100+100+100+100+
Registered 69664643141422
Sold 57552521112
2

AFT was founded 23 years ago by Dr Hartley and Marree Atkinson. Since then AFT has remained an Atkinson-family
controlled business and has grown organically into Australia and internationally.
The 2015 IPO raised funds to pursue a more aggressive (and loss-making) R&D-led growth strategy. AFT has now
returned to profitability as intended, as the company was prior to IPO.
History of AFT Pharmaceuticals
199720042005200920132014201520202019
2023
AFT founded by
Dr Hartley
and Marree
Atkinson
Development of
Maxigesic
commences
First sales into
Australia
Maxigesic
registered in New
Zealand and sales
commence
Maxigesic
registered in
Australia
AFT launches the
sale of products
into the SE Asian
market
$33m IPO to fund new
R&D development
programmesfor
Maxigesic and other
proprietary products
AFT returns to profitability
following a significant
investment period funded
by the 2015 IPO
In FY20 AFT delivers
over $100m of
revenue and
operating profit
growth of 87%
Maxigesic
sales
commence
in Australia
AFT revenue reaches $157
million, and the company
declares a maiden dividend
achieves 2 US FDA approvals
21
AFT UK
founded with
products
launched

Reconciliationof EBITDA to GAAP
1
Paracetamol and Ibuprofen
AFT’s standard profit measure prepared under New Zealand GAAP is net
profit after tax attributable to the owners of the parent
AFT has used the non-GAAP profit measures of EBITDA when discussing
financial performance in this document. AFT directors and management
believe that this measure provides useful information as they are used
internally to evaluate performance of business units, to establish operational
goals and to allocate resources.
Non-GAAP profit measures are not prepared in accordance with NZ IFRS
(New Zealand International Financial Reporting Standards) and are not
uniformly defined, therefore the non-GAAP profit measures reported in this
document may not be comparable with those that other companies report
and should not be viewed in isolation or considered as a substitute for
measures reported by AFT in accordance with NZ IFRS.
GAAP to Non-GAAP reconciliation
NZ$'000
Six months ended 30 September
2024
$(000)
2023
$(000)
Net profit after tax attributable to owners
of the parent
1,8161,546
Less: Finance income(30)(1)
Add back: Interest costs 1,8141,395
Add back: Other finance loss/(gain)(509)(59)
Add back: Depreciation457424
Add back: Amortisation391595
Add back: Income tax expense/(benefit)152576
EBITDA4,0984,476
22

www.aftpharm.com
FORMOREINFORMATION
DrHartleyAtkinson
ManagingDirector
Email: hartley@aftpharm.com
Malcolm Tubby
Chief Financial Officer
Email: malcolm@aftpharma.com
AFT Pharmaceuticals Limited
Level 1, 129 Hurstmere Road
Takapuna, Auckland 0622
New Zealand

---

Results for announcement to the market
AFT Pharmaceuticals Limited
Reporting Period 6 months to September 30 2023
Previous Reporting Period 6 months to September 30 2022
Currency NZ$
Amount (000s) Percentage
change
Revenue from continuing operations $83,614 Up 27%
Total Revenue $83,614 Up 27%
Net operating profit/(loss) from continuing operations $3,250 Down 6%
Total operating net profit/(loss) $3,250 Down 6%
Net profit/(loss) after tax from continuing operations $1,816 Up 17%
Total Net profit/(loss) after tax $1,816 Up 17%
Interim/Final Dividend
Quoted Equity Securities:
Amount per Quoted Equity Security $0.01100000
Imputed amount per Quoted Equity Security No imputation
Record Date 19/06/2023
Dividend Payment Date 04/07/2023
Current period Prior comparable period
Net tangible assets per Quoted Equity Security $0.23 $0.21
A brief
explanation of
any of the figures
above necessary
to enable the
figures to be
understood
Accompanying this announcement are the Group’s unaudited consolidated
financial statements for the six months ended 30 September 2023. These
financial statements and the half year results commentary dated 23
November 2023 provide the balance of information requirements in
accordance with NZX Listing Rule 3.5 and Appendix 2.
Pursuant to ASX listing rule 1.15.3 AFT Pharmaceuticals Limited confirms
that it continues to comply with the rules of its home exchange (NZX Main
Board).
Authority for this announcement
Name of person

authorised to make this announcement Malcolm Tubby
Contact person for this
announcement
Malcolm Tubby, Chief Financial Officer,
AFT Pharmaceuticals Ltd
Contact phone number +64 9 488 0232
Contact email address malcolm.tubby@aftpharm.com
Date of release through
MAP

23 November 2023

Unaudited financial statements accompany this announcement.

AFT Pharmaceuticals Limited,
129 Hurstmere Road, Takapuna, Auckland 0622, New Zealand Incorporated in New Zealand ARBN: ARBN 609 017 969

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Data sourced from publicly available filings. Our datasets may not be complete. Automated analysis can produce errors. If you believe any data on this page is incorrect, please contact us at hello@nzxplorer.co.nz. For informational purposes only. Not investment advice.