AFC Group Holdings Limited (AFC) Releases Interim Results

AFC GROUP HOLDINGS LIMITED
INTE
RIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTHS PERIOD ENDED 30 SEPTEMBER 2023

Interim Report September 2023
Page 2
AFC GROUP HOLDINGS LIMITED
INTE
RIM CONSOLIDATED REPORT CONTENTS
FOR THE SIX MONTHS PERIOD ENDED 30 SEPTEMBER
2023
Page
Financial Statements
Interim Consolidated Statement of Comprehensive Income 3
Interim Consolidated Statement of Financial Position 4
Interim Consolidated Statement of Changes in Equity 5
Interim Consolidated Statement of Cash Flows6
Notes to the Interim Consolidated Financial Statements 7 - 21
Corporate Information22

Interim Report September 2023
Page 3
AFC GROUP HOLDINGS LIMITED
INTERIM CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
Unaudited Unaudited
6 Months6 Months
September 2023September 2022
$$
Operating Revenue
2
489,319 671,308
Cost of Sales(102,716)(113,447)
Gross profit386,603 557,861
Other Income
2
2,241 10,576
Expenses
Selling and Distribution Expenses
3
(180,042)(53,927)
Administration Expenses
3
(308,050)(422,855)
(99,248)91,655
Finance Income
1,031 5
Finance Expense(27,574)(26,424)
(26,543)(26,419)
Profit / (Loss) before income tax(125,791)65,236
Income tax
Net profit / (loss) for the period(125,791)65,236
Other comprehensive income- -
Total comprehensive income / (loss) for the period(125,791)65,236
Equity holders of the parent(79,316)(14,701)
Non-controlling interest(46,475) 79,862
(125,791)65,161
Profit / (loss) per share:
Basic and Diluted Earning per share in NZ$
5
(0.00002165)(0.00000401)
Operating profit / (loss)
Profit/(loss) and Total Comprehensive Income/(Loss)
Attributable to:
Theinterimfinancialstatementsaretobere a dinconjunctionwiththenotestothefinancialstatementsset
out on pages 7 to 21.

Interim Report September 2023
Page 4
AFC GROUP HOLDINGS LIMITED
INTERIM CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 30 SEPTEMBER 2023
Unaudited Audited
At 30 SeptemberAt 31 March
20232023
Note$$
SHAREHOLDERS EQUITY
Issued share capital628,679,503 28,679,503
Accumulated losses(27,585,187)(27,505,871)
1,094,316 1,173,632
Non-controlling Interest(845,638)(799,163)
Total shareholders funds 248,678 374,469
Represented by:
CURRENT ASSETS
Cash and cash equivalents714,318 4,963
Trade, other and related party receivables92,219 10,846
Inventories8392,879 314,725
Prepayments and other current assets77,750 69,243
Total current assets487,166 399,777
NON-CURRENT ASSETS
Property, plant and equipment
101,388,369 1,397,148
Right-of-use assets
1164,379 84,710
Intangible assets and goodwill
12483 558
Total non-current assets1,453,231 1,482,416
Total assets1,940,397 1,882,193
CURRENT LIABILITIES
Trade, other and related party payables 131,533,932 1,333,748
Lease liabilities1142,626 35,110
Short-term Loan1437,272 1,562
Total current liabilities1,613,830 1,370,420
NON-CURRENT LIABILITIES
Borrowings
1444,575 81,847
Lease liabilities1133,314 55,457
Total non-current liabilities77,889 137,304
Total liabilities1,691,719 1,507,724
Net assets 248,678 374,469
Total Equity attributable to shareholders
of the company
Theinterimfinancialstatementsaretobere a dinconjunctionwiththenotestothefinancial
statements set out on pages 7 to 21.

Interim Report September 2023
Page 5
AFC GROUP HOLDINGS LIMITED
INTERIM CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
Issued
Share
Capital
Accumulated
Loss
Equity
Holders
Non-
Controlling
Interests
Total
$ $ $ $ $
Balance as at 1 April 202228,679,503 (27,360,700) 1,318,803 (765,913) 552,890
Comprehensive income
Net loss for the financial period- (14,701) (14,701) 79,862 65,161
Other comprehensive income- - - - -
Total comprehensive income/(loss)- (14,701) (14,701) 79,862 65,161
Balance as at 30 September 2022 (unaudited)28,679,503 (27,375,401) 1,304,102 (686,051) 618,051
Balance as at 1 April 202228,679,503 (27,360,700) 1,318,803 (765,913) 552,890
Comprehensive income
Net loss for the financial year- (145,171) (145,171) (33,250) (178,421)
Other comprehensive income- - - - -
Total comprehensive income- (145,171) (145,171) (33,250) (178,421)
Balance as at 31 March 2023(audited)28,679,503 (27,505,871) 1,173,632 (799,163) 374,469
Comprehensive income
Net loss for the financial period- (79,316) (79,316) (46,475) (125,791)
Other comprehensive income- - - - -
Total comprehensive income/(loss)- (79,316) (79,316) (46,475) (125,791)
Balance as at 30 September 2023 (unaudited)28,679,503 (27,585,187) 1,094,316 (845,638) 248,678
Theinterimfinancialstatementsaretobere a dinconjunctionwiththenotestothefinancialstatementssetoutonpages7
to 21.

Interim Report September 2023
Page 6
AFC GROUP HOLDINGS LIMITED
INTERIM CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
Unaudited Unaudited
6 Months6 Months
September 2023 September 2022
Note$$
Cash flows from operating activities
Cash was received from:
Receipts from customers 20,961 75,758
Receipts from related parties476,993 591,347
Interest received1,031 5
Other receipts3,579 30,371
Cash was applied to:
Payments to suppliers and employees(302,154)(545,288)
Payments to related parties(103,129)(56,854)
Interest paid(23,231)(20,604)
Leases interest(4,343)(5,820)
Net cash inflow/(outflow) from operating activities69,707 68,915
Cash flows from investing activities
Cash was received from:
Proceeds from disposal of property, plant and equipment-
-
Cash was applied to:
Purchase of property, plant and equipment- -
Net cash outflow from investing activities- -
Cash flows from financing activities
Cash was received from:
Proceeds from borrowings-
29,000
Receipts from related parties-
-
Cash was applied to:
Payments for lease liabilities principal
(14,627)(16,512)
Repayment borrowings
(1,562)-
Payments to related parties(42,825)(74,411)
Net cash inflow/(outflow) from financing activities(59,014)(61,923)
10,693 6,992
Foreign currency translation adjustment
(1,338)(19,795)
Cash and cash equivalents at the beginning of the period
4,963 14,451
Cash and cash equivalents at the end of the period
714,318 1,648
Net increase/(decrease) in cash and cash equivalents
Theinterimfinancialstatementsaretobere a dinconjunctionwiththenotestothefinancialstatementssetout
on pages 7 to 21.

Interim Report September 2023
Page 7
AFC GROUP HOLDINGS LIMITED
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
1.ACCOUNTING POLICIES
REPORTING ENTITY
1.1Statement of compliance
1.2 Basis of preparation
1.3 Significant accounting policies
AFCGroupHoldingsLimited(the“Company”)isacompanyincorporatedanddomiciledinNewZealandandregistered
undertheCompaniesAct1993.TheCompanyislistedanditsordinarysharesarequotedontheNZXmainboardequity
securitymarket(NZXmainmarket)andtheaddressesofitsregisteredofficeandprincipalplaceofbusinessaredisclosedin
theCorporateInformationsectionofthisreport.TheCompanyisanFMCReportingEntityundertheFinancialMarkets
ConductAct2013anditsfinancialstatementscomplywiththeCompaniesAct1993andtheFinancialMarketsConductAct
2013.
TheinterimconsolidatedfinancialstatementsofAFCGroupHoldingsLimitedforthesixmonthperiodended30September
2023comprisetheCompanyanditssubsidiaries(togetherreferredtoasthe"Group").Forthepurposesofcomplyingwith
generallyacceptedaccountingpracticeinNewZealand("NZGAAP"),theGroupisafor-profitentity.Theprincipalactivityof
theCompanyandtheGroupistoproduce,manufactureandpurchasefood,health,andcosmeticproductsfordistribution
inNewZealandandtheChinesemarkets.TheGroupalsooperatesinthewineryandvineyardindustrywhichhas
manufacturing operations.
Thecondensedinterimconsolidatedfinancialstatementswereapprovedandauthorisedforissuebythedirectorson
____________. The directors are not able to amend the financial statements after issue.
Theinterimconsolidatedfinancialstatementsarepreparedonacostbasisexceptforfinancialassetswhicharecarriedat
amortisedcost.TheinterimconsolidatedfinancialstatementsfortheGrouparepresentedinNewZealanddollars($),which
isthefunctionalcurrencyofallentitieswithintheGroup.Allfinancialinformationhasbeenroundedtothenearestdollar
unless otherwise stated.
Thepreparationoftheinterimfinancialstatementsrequiresmanagementtomakejudgements,estimatesandassumptions
thataffectthereportedamountsintheinterimfinancialstatements.Theestimatesandunderlyingassumptionsarebased
onhistoricalexperienceandadjustedforcurrentmarketconditionsandotherfactors,includingexpectationsoffuture
eventsthatareconsideredtobereasonableunderthecircumstances.Ifoutcomeswithinthenextfinancialperiodare
significantly different from assumptions, this could result in adjustments to carrying amounts of the asset or liability affected.
AFCGroupHoldingsLimitedhasappliedthesameaccountingpoliciesandmethodsofcomputationinitsinterim
consolidated financial statements as were applied in the annual financial statements for the year ended 31 March 2023.
Theinterimfinancialstatementsareinrespectofthesixmonthsperiod1April2023to30September2023.The
comparativeperiodisinrespectofthesixmonthsperiod1April2022to30September2022.Theyear-endbalancedate
will be 31 March 2024 and full financial statements will cover the 12 months period 1 April 2023 to 31 March 2024.
Theseunauditedconsolidatedcondensedinterimfinancialstatements(‘interimfinancialstatements’)havebeenpreparedin
accordancewithNewZealandGenerallyAcceptedAccountingPracticeandcomplywiththerequirementsofInternational
AccountingStandard(IAS)34InterimFinancialReportingandwithNewZealandEquivalenttoInternationalAccounting
Standard (NZ IAS) 34 Interim Financial Reporting and the NZX Main Board Listing Rules.
Theinterimfinancialstatementsdonotincludeallthenotesofthetypenormallyincludedinanannualfinancialreport.
Accordingly,theseinterimfinancialstatementsshouldbereadinconjunctionwiththeauditedconsolidatedfinancial
statementsfortheperiodended31March2023andanypublicannouncementsmadebytheGroupduringtheinterim
reporting period and up to the date of these interim financial statements.
TheseconsolidatedfinancialstatementshavebeenpreparedinaccordancewithNZGAAP.Theseconsolidatedfinancial
statementscomplywithNewZealandEquivalentstoInternationalFinancialreportingStandards("NZIFRS")andother
applicable Financial Reporting Standards, as appropriate for profit oriented entities.

Interim Report September 2023
Page 8
AFC GROUP HOLDINGS LIMITED
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
2.Revenue
September
2023
September
2022
NoteNZ$NZ$
Operating revenue
Sales - wine products430,748 659,432
Sales - cosmetic products58,461 10,737
Sales - other products111 1,139
Total operating revenue489,319 671,308
Other Income2,241 10,576
Total Other Income2,241 10,576
Total Income491,560 681,884
3.Expense
September
2023
September
2022
NoteNZ$NZ$
Included in Selling and Distribution Expenses
Business Events
3,516 5,259
Freight and Courier
1,887 28,225
Salaries and Sales Commission
174,192 16,603
Other expense
446 3,841
Total Selling and Distribution Expenses
180,042 53,927
Included in Administration Expenses
Salaries
66,565 204,309
Audit Fees
34,931 24,737
Depreciation
22,206 26,031
Management fee
20,000 20,000
Repairs and Maintenance
7,800 3,220
Consulting & Accounting
54,075 18,240
Licences & Subscriptions
10,441 10,738
Insurance
7,825 10,372
Rent
10,042 9,840
Storage fee
6,200 9,500
Share Registry & listing Costs
19,887 15,253
Other expenses
48,078 70,616
Total Administration Expenses
308,050 422,855
Finance costs:
Interest paid on borrowings from related parties17,384 20,459
Lease interest4,343 5,820
Other interest paid5,724 146
27,451 26,424
Profit / (Loss) before income tax has

Interim Report September 2023
Page 9
AFC GROUP HOLDINGS LIMITED
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
4. INCOME TAX
5.EARNINGS PER SHARE
September
2023
September
2022
NZ$NZ$
Basic earnings per share
Profit/ (Loss) after taxation attributable to equity holders of the parent
(79,316) (14,701)
3,664,253,194 3,664,253,194
Basic and Diluted Earning per share in NZ$(0.00002165) (0.00000401)
6.AUTHORISED AND ISSUED SHARE CAPITAL
Balance as at 31 March 2022Shares Issued
No.$
Ordinary shares
Balance at 1 April 2022
Ordinary shares on issue3,664,253,194 28,679,577
Treasury shares
(37,082)(74)
Ordinary shares on issue at 1 April 2022 excluding treasury shares
3,664,216,112 28,679,503
Movement for 2023 financial year
Ordinary shares authorised and issued
- -
Ordinary shares on issue at 31 March 2023
3,664,216,112 28,679,503
Movement to 30 September 2023
Ordinary shares authorised and issued- -
Ordinary shares on issue at 30 September 2023 excluding treasury shares
3,664,216,112 28,679,503
TheGroupcalculatestheperiod'sincometaxexpenseusing28%whichisthetaxratethatwouldbeapplicableto
the expected total annual earnings (September 2022: 28%).
TheGrouphasanunusedtaxlossesof$1,462,472boughtforwardfrom31March2023.Lossescanbecarried
forwardindefinitelyunderNewZealandtaxlaw(assumingshareholdercontinuityrequirementsaremetandapproval
of the Inland Revenue Department is obtained).
TheGrouphasnotrecognisedadeferredtaxassetonitsStatementofFinancialPositionasatreportingdate.In
decidingwhethertorecognisethedeferredtaxassets,theGrouphasdeterminediftheutilisationofdeferredassets
isprobableandwhetheritislikelythatsufficientandsuitabletaxableprofitswillbeavailableinthefutureagainst
which the reversal of temporary differences can be deducted.
TheGrouphasnotissuedanynewsharesduringtheperiod.Allordinarysharesissuedarefullypaid.Allordinary
sharesrankequallywithonevoteattachedtoeachfullypaidordinaryshareandhaveequaldividendrightsandno
parvalue.TheGrouphasnotdeclaredorproposedtopayanydividendsfortheperiodended30September2023
(September 2022: Nil).
Treasurysharesarethosesharesacquiredbythecompanyfromshareholderswhoexercisedtheirminoritybuyback
rightsatthetimeshareswereissuedtoNZSilverayGroupLimited.Thesesharesareheldbythecompanyuntilthe
directorsresolvetoreissuethesharesortocanceltheshares.Atreportingdate,thecompanyheld37,082treasury
shares which were acquired during 2016.
Weighted average number of ordinary shares on issue
Therehavebeennoothertransactionsinvolvingordinarysharesorpotentialordinarysharesbetweenthereporting
date and the date of authorisation of these financial statements.
Theearningsandweightedaveragenumberofordinarysharesusedinthecalculationofbasicearningspershare
are as follows:

Interim Report September 2023
Page 10
AFC GROUP HOLDINGS LIMITED
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
7.CASH AND CASH EQUIVALENTS
SeptemberMarch
20232023
$$
Cash at bank and on hand14,318 4,963
Total cash and cash equivalents14,318 4,963
8.INVENTORIES
SeptemberMarch
20232023
$$
Work in progress230,735 158,534
Finished goods420,066 413,454
Provision for inventory
(257,921)(257,263)
Total Inventories
392,879 314,725
Provision of closing stock
Opening provision of closing stock(257,263)(273,920)
Reversal of opening provision for inventory
- -
Released/(Charged) to profit & loss
(659)16,658
Closing provision for closing stock
(257,921)(257,263)
9.TRADE, OTHER AND RELATED PARTY RECEIVABLES
SeptemberMarch
20232023
Note
$$
Trade receivables - third parties45
8,230
Trade receivables - related parties
15
2,174
2,624
2,219 10,854
Allowance for impairment losses- (8)
Total trade and related party receivables
2,219 10,846
Tradedebtorsarenon-interestbearingandreceiptisnormallyon30daysterms.Relatedpartyreceivablesarenon-
interest bearing and repayable on demand as disclosed in note 15.
Thecarryingamountofcashandcashequivalentsapproximatestheirfairvalue.Cashatbankearnsinterestat
floating rates on daily deposit balances. Cash and cash equivalents consist of bank accounts and petty cash.
Inventory of $257,921 has been written down to net realisable value/lower of cost (31 March 2023: $257,263).
Assessingwritedownsforinventoryobsolescenceandnetrealisablevalueinvolvesmakingestimatesand
judgements in relation to future selling prices between the most recent store stock counts and reporting date.

Interim Report September 2023
Page 11
AFC GROUP HOLDINGS LIMITED
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
9.TRADE, OTHER AND RELATED PARTY RECEIVABLES(contiued)
SeptemberMarch
20232023
Movement in the allowance for impairment losses$$
Opening Balance 1 April
8 6
Reversal of prior year provision
(8)(6)
- 8
- 8
Charge for the financial year
Closing Balance 30 September/31 March
TheGroupestablishesanallowanceforimpairmentthatrepresentsitsestimateofincurredlossesinrespectoftrade
andrelatedpartyreceivables.Themaincomponentofthisallowanceisaspecificlosscomponentthatrelatesto
individuallysignificantexposures,andacollectivelosscomponentestablishedforgroupsofsimilarassetsinrespect
oflossesthathavebeenincurredbutnotyetidentified.Thecollectivelossallowanceisdeterminedbasedon
historical data of payment statistics for similar financial assets.
Thedirectorsconsiderthatthereisnomaterialdifferencebetweenthecarryingvalueandfairvalueoftradedebtors
andrelatedpartyreceivables.TheGroup'smanagementconsidersthatallfinancialassetsthatarenotimpairedor
pastdueforeachofthereportingdatesunderreviewareofgoodcreditquality.Thedirectorsalsoconsiderthatthe
receivables that are past due and not impaired are fully recoverable.

Interim Report September 2023
Page 12
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
10.PROPERTY, PLANT AND EQUIPMENT
Land Buildings
Land
Improvement
s
Plant &
Equipment
Motor
Vehicles
Computer
Equipmen
t
Fixture &
Fittings,
Office
Bearer
Plants -
Grape Total
$$$$$$$$$
As at 31 March 2023
Cost
Cost as at 1 April 2022320,000 905,200 50,000 322,108 71,469 33,159 104,215 80,000 1,886,151
Additions - - - 1,315 - - 1,804 - 3,120
Disposal- - - - - - - - -
Impairment- - - (10,640)- (13,999)(74,897)- (99,537)
Prior period correction- - - (8,834)4,666 - 1,325 - (2,844)
Written off- - - - - - - - -
Cost as at 31 March 2023320,000 905,200 50,000 303,949 76,135 19,159 32,447 80,000 1,786,891
Accumulated Depreciation
- (13,383)- (236,847)(57,477)(28,733)(88,626)(29,888)
(454,954)
- (2,023)- (9,874)(1,556)(2,029)(3,197)(3,758)
(22,437)
- - - - - - - - -
- 928 - 8,599 (7,010)- 325 -
2,841
Impairment
- - - 8,378 - 13,632 62,798 -
84,808
- (14,477)- (229,744)(66,043)(17,130)(28,700)(33,647)(389,742)
Carrying Amount
Cost
320,000 905,200 50,000 303,949 76,135 19,159 32,447 80,000 1,786,890
- (14,477)- (229,744)(66,043)(17,130)(28,700)(33,647)
(389,742)
320,000 890,723 50,000 74,204 10,092 2,029 3,747 46,353 1,397,148
As at 30 September 2023
Cost
Cost as at 1 April 2023
320,000 905,200 50,000 303,949 76,135 19,159 32,447 80,000
1,786,890
Additions
- - - - - - - -
-
Impairment
- - - - - - - -
-
Disposal
- - - - - - - -
-
Cost as at 30 September 2023320,000 905,200 50,000 303,949 76,135 19,159 32,447 80,000 1,786,890
Accumulated Depreciation
- (14,477)- (229,744)(66,043)(17,130)(28,700)(33,647)(389,742)
- (951)- (4,268)(652)(507)(662)(1,738)(8,779)
disposal
- - - - - - - -
-
- (15,428)- (234,012)(66,695)(17,637)(29,362)(35,385)(398,521)
Carrying Amount
Cost
320,000 905,200 50,000 303,949 76,135 19,159 32,447 80,000 1,786,890.00
- (15,428)- (234,012)(66,695)(17,637)(29,362)(35,385)
(398,519.66)
320,000 889,772 50,000 69,937 9,440 1,522 3,085 44,615 1,388,369
Depreciationchargeforthe
period
Accumulated Depreciation
at 30 September 2023
Accumulated Depreciation
Carrying Amount 30
September 2023
Accumulated Depreciation at
1 April 2022
Depreciation charge for the
year
Accumulated Depreciation
at 31 March 2023
Accumulated Depreciation
Carrying Amount 31 March
2023
Accumulated Depreciation at
1 April 2023
Disposal
Prior period correction

Interim Report September 2023
Page 13
AFC GROUP HOLDINGS LIMITED
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
11.RIGHT-OF-USE ASSETS
11.1Right-of-use assetsBuildingsForkliftTotal
At 1 April 2022
6,334 3,218
9,553
Termination of lease
- (2,816)
(2,816)
Addition of lease
121,982 -
121,982
Depreciation
(43,607)(402)
(44,009)
At 31 March 202384,710 0 84,710
At 1 April 202384,710 - 84,710
Depreciation(20,330)- (20,330)
Addition- - -
disposal- - -
At 30 September 2023
64,379 - 64,379
11.2Lease liabilitiesBuildingsForkliftTotal
At 1 April 2022
7,509 3,724 11,234
Termination of lease
- (3,578)(3,578)
Addition of lease liabilities
121,982 - 121,982
Lease interest
10,326 - 10,326
Lease payments
(49,251)(146)(49,397)
At 31 March 2023
90,567 - 90,567
Lease liabilities
Current lease liabilities35,110 - 35,110
Non-current lease liabilities55,457 - 55,457
Total lease liabilities
90,567 - 90,567
At 1 April 2023
90,567 - 90,567
Lease interest
4,343 - 4,343
Lease payments
(18,969)- (18,969)
At 30 September 2023
75,940 - 75,940
Lease liabilities
Current lease liabilities
42,626 - 42,626
Non-current lease liabilities
33,314 - 33,314
Total lease liabilities
75,940 - 75,940
TheGroupterminatedtwoleasedpropertiesandleasesonenewpropertyinNewZealand.Theperiodicrentis
fixed over the lease term.
31 March 2023
30 September 2023
31 March 2023
30 September 2023

Interim Report September 2023
Page 14
AFC GROUP HOLDINGS LIMITED
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
12.INTANGIBLE ASSETS
TrademarksTotal
Period ended 31 March 2023
$$
Cost
Cost as at 1 April 20221,500 1,500
Additions- -
Cost as at 31 March 20231,500 1,500
Accumulated Amortisation
Accumulated amortisation 1 April 2022
(792)(792)
Amortisation for the year
(150)(150)
Accumulated amortisation as at 31 March 2023
(942)(942)
Carrying Amount
Cost 1,500 1,500
Accumulated amortisation
(942)(942)
Carrying Amount 31 March 2023558 558
Period ended 30 September 2023
Cost
Cost as at 1 April 20231,500 1,500
Additions - -
Cost as at 30 September 20231,500 1,500
Accumulated Amortisation
Accumulated amortisation 1 April 2023
(943)(943)
Amortisation for the period
(75)(75)
Accumulated amortisation as at 30 September 2023
(1,018)(1,018)
Carrying Amount
Cost 1,500 1,500
Accumulated amortisation
(1,018)(1,018)
Carrying Amount 30 September 2023483 483
13.TRADE, OTHER AND RELATED PARTY PAYABLES
SeptemberMarch
20232023
Note
$$
Trade payables189,065 61,924
Accruals63,919 124,469
Related party payables15 1,226,389 1,082,531
Other payables- 25,643
GST payable54,560 39,182
1,533,932 1,333,748
Amortisation and impairment charges of $75 are recognised under administration expenses in the Statement of
Comprehensive Income.
ThenormaltradecredittermsgrantedtotheGrouprangefrom30to90days.Thetradepayablesare
unsecuredandnon-interestbearing.Thecarryingamountdisclosedaboveisareasonableapproximationof
fair value.
Relatedpartypayablesareunsecuredandrepayableondemand.Therelatedpartypayablesexceptforfunds
inadvancearenon-interestbearing.Forfundsinadvance,interestischargedat10.08%perannumfor
outstanding amounts.

Interim Report September 2023
Page 15
AFC GROUP HOLDINGS LIMITED
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
14.BORROWINGS
SeptemberMarch
20232023
$$
Small business cashflow loan
81,847 81,847
Other(Insurance expense financing)
- 1,562
81,847 83,409
Current
37,272 1,562
Non-current: Between one and five years
44,575 81,847
81,847 83,409
15.RELATED PARTIES
Related Parties:
Company associated with director of subsidiary, senior
management Mr Hao Long
Howard & Co Consulting and Advisory Services
Limited
Director of subsidiary, senior management of AFC
Company associated to major shareholder, Mr Yang Xia
Guangdong Farmside International Trading Co.
Limited
Company associated to major shareholder, Mr Yang Xia
Company associated to major shareholder, Mr Yang Xia
Borrowingsareinitiallyrecognisedatfairvalueplustransactioncostsincurred.Borrowingsaresubsequently
measuredatamortisedcost.Anydifferencebetweentheproceeds(plustransactioncosts)andtheredemption
amountisrecognisedintheincomestatementovertheperiodoftheborrowingsusingtheeffectiveinterest
method.Borrowingsaredistinguishedbetweencurrentandnon-currentliabilitiesbasedontherepayment
schedule.
The Small Business Cash flow (Loan) Scheme (SBCS) has been introduced to support businesses impacted by
Covid-19. The Group have received loans of $53,400 on 8 September 2020 and $29,000 on 7 June 2022 with
thefinalrepaymentdatebeingfiveyearsafterthereceipt.Theloansaresubjecttoanannualinterestrateof
3%fromthedatetheloanismadeavailable.Interestwillnotbechargediftheloanisfullyrepaidwithin2
years.
Hao Long
Australasian International Group Limited
Bo Xian Cao
E Way Holdings Group Limited
Relatedpartytransactionshavearisenwhereaperson(s)hascontrolorsignificantinfluenceoverthereporting
entityorwheretwoentitiesarecontrolledorjointlycontrolledbyaperson(s)thathascontrolorsignificant
influence over the reporting entity.
Anhui Asin International Trade Co. Ltd
Director of company
Company associated with director, Mr Bo Xian Cao

Interim Report September 2023
Page 16
AFC GROUP HOLDINGS LIMITED
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
15.RELATED PARTIES (continued)
Related Parties:
Yang Xia
Related party balances
The following balances were held with related parties at period/year end.
SeptemberMarch
20232023
$$
2,174 2,174
- 450
2,174 2,624
54,305 52,945
34,975 34,640
Purchase of goods117,676 119,298
- 10,726
104,712 54,387
595,578 60,000
59,121 70,429
12,075
12,075
- 15,392
121 556,827
247,826 91,304
- 4,509
1,226,389 1,082,532
NZ Silveray Group Limited
Sales incentive
Suncare Nutrition (NZ)Storage fee
The related parties payables are unsecured and repayable on demand. There is no collateral or guarantees for
relatedpartiespayables.Relatedpartiespayablesforpurchasesofgoods,directorsfeesandmanagement
fees are non-interest bearing.
The related party advances with NZ Silveray Group Limited, Hao Long and E Way Holdings Group Limited are
interest bearing advances with interest being charged at 10.08% per annum for outstanding amounts.
NZ Silveray Group Limited
Advance
Hao Long
Guangdong Farmside International Trading Co.
Limited
Guangdong Farmside International Trading Co.
Limited
Related Party Payables
JFC Group Limited
Anhui Asin International Trade Co. Ltd
Purchase of goods
Ex Space Limited
Director fees
Advances
New Zealand National Trade Limited
Howard & Co Consulting and Advisory Services
Limited
Management fees &
salary
Shuang Xia
Australasian International Group Limited
Jianfeng Chen
Ex space limited
E Way Holdings Group Limited
New Zealand National Trade LimitedCompany associated with former director, Mr Qiang Li
Purchase of goods
Nature of Transactions
Related Party Receivables
Anhui Asin International Trade Co. Ltd
Advance
Advance
Guangdong Farmside International Trading Co.
Limited
Paymentonbehalfof
Farmside
Ex space limitedSale of products
Company's major shareholder
Company associated with former director, Mr Qiang Li
Director of subsidiary, director of NZ Silveray Group Limited
Director of company and subsidiary
Zilei Wang
Suncare Nutrition (NZ)
Purchase of goods
Director of company
Director of company
Company associated with director, Mr Jianfeng Chen
Company associated with director, Mr Jianfeng Chen

Interim Report September 2023
Page 17
AFC GROUP HOLDINGS LIMITED
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
15.RELATED PARTIES (continued)
SeptemberSeptember
20232022
Related party transactions$$
Sales of products or services provided to the following:
NZ Silveray Group Limited
- 588,800
Ex space limited
412,174 -
Howard & Co Consulting and Advisory Limited
7,670 448
JFC Group Limited
56,700 -
476,543 589,249
Guangdong Farmside International Trading Co., Ltd
49,000 25,000
76,450 20,000
Ex space limited
156,522 -
New Zealand National Trade Limited
- 4,375
281,972 49,375
Interest paid or credited on related party balances:
E Way Holdings Group Limited
- 5,094
Hao Long
3,512 2,288
NZ Silveray Group Limited
13,872 13,077
17,384 20,460
Key Management Personnel
September September
20232022
$$
Salaries and other short-term benefits
55,500 109,859
Directors' fees
- 4,375
55,500 114,234
16.COMMITMENTS AND CONTINGENCIES
The Group has no capital commitments at 30 September 2023(31 March 2023: Nil)
Purchases from the following for services or products provided:
Keymanagementpersonnelaredefinedasthosepersonshavingauthorityandresponsibilityforplanning,
directingandcontrollingtheactivitiesoftheGroup,directlyorindirectly,andincludethedirectorsandtheChief
Executive. Remuneration paid to key management personnel is as follows:
Howard & Co Consulting and Advisory Limited

Interim Report September 2023
Page 18
AFC GROUP HOLDINGS LIMITED
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
17.FINANCIAL INSTRUMENTS
Financial
assets at
amortised
cost
Financial
liabilities at
amortised cost
Total
NZ$NZ$NZ$
Financial Assets:
Cash and cash equivalents14,318 - 14,318
Trade and related party receivables2,219 - 2,219
Total financial assets16,537 - 16,537
Financial liabilities:
Trade and other payables- 1,479,372 1,479,372
Borrowings- 81,847 81,847
Lease liabilities- 75,940 75,940
Total financial liabilities- 1,637,159 1,637,159
Financial Assets:
Cash and cash equivalents4,963 - 4,963
Trade and related party receivables10,846 - 10,846
Total financial assets15,809 - 15,809
Financial liabilities:
Trade and other payables- 1,294,566 1,294,566
Borrowings- 83,409 83,409
Lease liabilities- 90,567 90,567
Total financial liabilities- 1,468,542 1,468,542
18. INVESTMENT IN SUBSIDIARIES
Name of subsidiaryPrincipal activity
September
2023
March
2023
Vineyard and winery51%51%
Commodity trading100%100%
100%100%
51%51%
100%100%
100%100%
30 September 2023
31 March 2023
Ownership interest and voting
rights
AFC International Trading Group Limited
Categories of financial assets and liabilities
Thecarryingamountspresentedinthestatementoffinancialpositionrelatetothefollowingcategoriesof
assets and liabilities:
ThefairvalueofthefinancialinstrumentsoftheGroupapproximatestheircarryingvalue.Theuseoffinancial
instrumentsexposestheGrouptocredit,interestrateandliquidityrisks.TheGroup'soverallriskmanagement
programme seeks to minimise potential adverse effects on the Group's financial performance.
AFC Longview Limited
Non-Trading
Non-Trading
Manufacturing
Non-Trading
National Dairy Group Limited
AFC Biotechnology Manufacture Co Limited
AFC GoGlobal Education Limited
AFC Education Investment Limited
AllthesubsidiariesareincorporatedinNewZealandandhave31Marchbalancedates.Theyalsoapply
uniform accounting policies with the parent company.

Interim Report September 2023
Page 19
AFC GROUP HOLDINGS LIMITED
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
19.SEGMENT REPORTING
Vineyard and winery
Manufacturing
Corporate
The Group's operating segments are reported in a manner consistent with the internal reporting provided to the
chiefoperatingdecision-maker.Thechiefoperatingdecision-makeristhepersonorgroupthatallocates
resourcestoandassessestheperformanceoftheoperatingsegmentsonanentity.TheGrouphas
determinedtheGroup'sBoardofDirectorsasitschiefoperatingdecision-makerastheboardisresponsiblefor
allocatingresourcesandassessingtheperformanceoftheoperatingsegmentsandmakingstrategicand
operatingdecisions.Incomeandexpensesdirectlyassociatedwitheachsegmentareincludedindetermining
each segment's performance.
TheGroupoperatesinanumberofbusinesssegmentsinNewZealand.TheGrouphasdeterminedits
operatingsegmentsintofoursegments,namelyinternationalmarketinganddistribution,vineyardandwinery,
manufacturingandcorporate.Thesesegmentsreflectthedifferenttypeofindustrysectorswithinwhichthe
Group operates. The Company is considered to be in the corporate operating segment.
Information regarding the operations of each reportable operating segment is included below.
AFCLongviewLimited,avineyardandwinerybasedinWhangareiwhichproducesandsellsanumberof
varietals and blends of wine.
AFC Biotechnology Manufacture Co Limited which manufactures disposable face masks.
The operations of this segment include providing accounting, management and administration services to other
segmentsoftheGroup.AFCGoGlobalEcommerceLimitedandAFCEducationInvestmentLimiteddidnot
tradeduringtheperiodandhavebeenincludedunderthissegment.AFCInternationalTradingGroupLimited,
whichsourcespackagedfoodproducts,cosmeticsandhealthproducts.NationalDairyGroupLimited,which
sources food products for distribution for China. National Dairy Group Limited was not trading during the period.
Nooperatingsegmentshavebeenaggregatedtoformtheabovereportableoperatingsegments.TheGroup's
taxationhasnotbeenallocatedtosegmentsandisincludedcentrally.Financinghasbeenallocatedto
segments.
SalesbetweenthesegmentsoftheGrouparecarriedoutatanarm’slengthbasisinasimilarmannerto
transactions with third parties.
ThefollowingtablespresentrevenueandprofitinformationfortheGroup'soperatingsegmentsforthesix
months ended 30 September 2023 and 2022, respectively:

Interim Report September 2023
Page 20
AFC GROUP HOLDINGS LIMITED
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
19.SEGMENT REPORTING (continued)
Vineyard and
winery Corporate

Manufacturing
Eliminations and
adjustments
Period ended 30
September
$$$$$
For the six months ended 30 September 2023
Operating Income
Revenue from external customers
430,845 - 58,474 - 489,319
Other Income3,140 120,164 (1,063)(120,000)2,241
Finance Income2 130,203 48 (129,222)1,031
Total Revenue433,987 250,367 57,459 (249,222)492,591
Cost of sales55,320 - 47,396 - 102,716
Operating Expenses
Interest33,321 27,425 96,050 (129,222)27,574
Amortisation and impairment losses- 75 - - 75
Depreciation235 20,748 1,222 - 22,206
Other expenses262,389 233,062 90,361 (120,000)465,811
Total operating expenses
295,945 281,310 187,633 (249,222)515,666
82,722 (30,943)(177,570)- (125,791)
For the six months ended 30 September 2022
Operating Income
Revenue from external customers
660,571 - 10,737 - 671,308
Other Income10,202 132,884 7,285 (120,000)30,371
Finance Income- 126,793 4 (126,792)5
Total Revenue670,773 259,677 18,026 (246,792)701,684
Cost of sales92,951 - 20,496 - 113,447
Operating Expenses
Interest46,949 30,489 75,778 (126,792)26,424
Amortisation and impairment losses- 75 - - 75
Depreciation
470 21,345 4,216 - 26,031
Other expenses
134,506 305,590 150,450 (120,000)470,546
Total operating expenses
181,925 357,499 230,444 246,792- 523,076
Segment profit/(loss) before tax
395,897 (97,822)(232,914)- 65,161
Segment profit/(loss) before tax

Interim Report September 2023
Page 21
AFC GROUP HOLDINGS LIMITED
NOTES TO THE INTERIM CONSOLIDATED FINANCIAL STATEMENTS
FOR THE SIX MONTH PERIOD ENDED 30 SEPTEMBER 2023
19.SEGMENT REPORTING (continued)
Vineyard and
winery Corporate

Manufacturing
Eliminations and
adjustments Total
$$$$$
As at 30 September 2023
Segment assets1,681,616 5,563,832 121,314 (5,426,365)1,940,397
Capital Expenditure- - - - -
Segment Liabilities1,268,365 809,480 2,306,239 (2,692,365)1,691,719
As at 31 March 2023
Segment assets1,628,912 6,188,221 101,765 (6,036,705)1,882,193
Capital Expenditure- - - - -
Segment Liabilities1,298,384 1,402,925 2,109,120 (3,302,705)1,507,724
20.NET TANGIBLE ASSETS PER SHARE
SeptemberMarch
20232023
$$
Total assets1,940,397 1,882,193
Less right-of-use assets64,379 84,710
Less intangible assets483 558
Tangible assets1,875,535 1,796,925
Less total liabilities1,691,719 1,507,724
Add lease liabilities75,940 90,567
Net tangible assets259,756 379,768
Number of ordinary shares on issue3,664,253,194 3,664,253,194
Net tangible assets / liabilities per share in NZ$0.00007089 0.00010364
21.CONTINGENT LIABILITIES
22.EVENTS AFTER THE REPORTING PERIOD
23.SEASONALITY OF INTERIM OPERATIONS
The net tangible assets and number of shares are as follows:
There are no significant events after the reporting period.
Thevineyardandwinerysegmentharvestit'sgrapesinthesecondhalfofthefinancialyear,andprocesses
the grapes into bottles in the interim period. This does not affect the sales for the segment.
There are no other significant seasonality or cyclicality of business affecting the interim operations.
ThefollowingtablespresentassetsandliabilitiesinformationfortheGroup'soperatingsegmentsasat30
September 2023 and 31 March 2023, respectively:
Theeliminationsandadjustmentsofsegmentprofit,assetsandliabilitiesrelatetointercompanytransactions
and balances which are eliminated on consolidation.
The Group has no contingent liabilities at 30 September 2023 (31 March 2023 : Nil)

Interim Report September 2023
Page 22
AFC GROUP HOLDINGS LIMITED
CORPORATE INFORMATION
SOLICITORSAFC GROUP HOLDINGS LIMITED
Buddle Findlay New Zealand LawyersSecurity code: AFC
P O Box 1433Listed on NZX Market
Auckland 1140NZ Company number: 1799581
SHARE REGISTRAR HEAD OFFICE / REGISTERED OFFICE
Computershare Investor Services Limited AFC Group Holdings Limited
Level 2, 159 Hurstmere RoadLevel 15, Tower 2, 205 Queen Street
Private Bag 92-119Auckland CBD
Auckland 1142Auckland 1010
ACCOUNTANTS TELEPHONE
RSM New Zealand (Auckland)64-9-930-0245
PO Box 204276
Level 2, Building 5
62 Highbrook Drive, HighbrookWEBSITE
Auckland 2013www.afcnz.com
AUDITORS
William Buck Audit (NZ) Limited
P O Box 106 090
Level 4, 21 Queen Street
Auckland 1010
BANKERS
ANZ Bank New Zealand Limited

---

AFC GROUP HOLDINGS LIMITED
(Listed on the NZX: AFC)
Level 15, Tower 2, 205 Queen Street
Auckland CBD,1010
Ph: +64 (09) 930-0245


AFC Group Holdings Limited (AFC) Releases Interim Results

AFC Group Holdings Limited (AFC Group) reports its financial results for the six-
months ended 30 September 2023. The interim financial statements for the period have
not been audited.

Financial Results Summary

AFC Group reports a revenue of NZ$489 thousand during the six-month period, which
was 27% lower than the prior six-month period ended 30 September 2022. This is
mainly due to the decline in revenue from overseas wine sales. It’s believed that the
overseas revenue will increase in the second half year with contracts under negotiation.

The Company produced a net loss of NZ$126 thousand for this period due to lower
revenue. This compares with a net profit of $65 thousand for the prior comparable
period. The net assets of AFC Group were NZ$249 thousand, with a 34% down
from the annual position as at 31 March 2023.

Principal activities

AFC Group engages in a number of businesses in New Zealand, with subsidiaries
operating vineyard and winery, manufacture of skin care products, and international
marketing and distribution. Through years of efforts, the Group has developed a number
of well-known brands and products, such as DD Mask, Longview Estate White
Diamond Wine and so on. Meanwhile, AFC Group is committed to helping New
Zealand small and medium-sized enterprises (SMEs) gain access to the Chinese market
and provide them with more opportunities.

Review of operations and outlook

In the first half of the financial year 2024, AFC continued its efforts in cost control and
development of markets and sales channels to get through the difficult situation, to
enable future revenue growth and return value to our shareholders:

AFC Longview Limited (“AFCLV” and “Longview Estate”)

1. AFCLV is stepping up its efforts to develop overseas markets by launching
marketing campaigns and increasing Online sales channels in China. Contracts are
under negotiation to export considerable wines to China in the second half of the
financial year.

2. AFCLV is negotiating a new distributing agreement in New Zealand to boost

domestic sales.

3. Longview Estate employs a new experienced winemaker to develop wine products
and ensure operation efficiency, and will continue to participate in wine exhibitions
and awards to increase brand recognition.

AFC Biotechnology Manufacture Co Ltd (“AFCBIO”)

1. AFCBIO has outsourced its inventory storage to a third party. This cuts down the
rental fee of the warehouse and other ancillary costs.

2. AFCBIO is developing new distributors in New Zealand and cooperating with all
distributors to carry out product promotions to increase sales.

3. AFCBIO will focus on the production and sales of its key products. The re-opening
of borders will continue to bring in more customers to AFCBIO, thus generate more
sales.


In summary, by taking various measures to increase sales and save costs, the AFC
Group will continue to work hard to return value to our shareholders. We shall expect
to improve the revenue in the next half year.



On behalf of the Board of Directors


Hao Long
CFO
AFC Group Holdings Limited

---

Results announcement
(for Equity Security issuer/Equity and Debt Security issuer)


Results for announcement to the market
Name of issuer AFC Group Holdings Limited
Reporting Period 6 months to 30 September 2023
Previous Reporting Period 6 months to 30 September 2022
Currency NZD
Amount (000s) Percentage change
Revenue from continuing
operations
$489 (27%)
Total Revenue $489 (27%)
Net profit/(loss) from
continuing operations
($99)
(208%)
Total net profit/(loss) ($126) (293%)
Interim/Final Dividend
Amount per Quoted Equity
Security
It is not proposed to pay any dividends for the period ended 30
September 2023
Imputed amount per Quoted
Equity Security
Not Applicable
Record Date Not Applicable
Dividend Payment Date Not Applicable

Current period Prior comparable period
Net tangible assets per
Quoted Equity Security
$0.00007089 $0.00017082
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood

AFC Group Holding Limited (“AFC Group”) reports a revenue
of $489 thousand during the six-month period, which was 27%
lower than the prior six-month period ended 30 September
2022. This is mainly due to the decline in revenue from oversea
wine sales. It’s believed that the overseas revenue will increase
in the second half year with sales contracts under negotiation.

AFC Group produced a net loss of $126 thousand for this
period due to lower revenue. This compares with a net profit of
$65 thousand for the prior comparable period.

This results announcement should be read in conjunction with
the commentary on financial results and the unaudited
consolidated financial statements for the six months ended 30
September 2023.

Authority for this announcement
Name of person authorised
to make this announcement
Howard Long

Contact person for this
announcement
Howard Long
Contact phone number +64 9 9300 245
Contact email address Howard.long@afcnz.com
Date of release through MAP 23/11/2023

Unaudited financial statements for the six months ended 30 September 2023 accompany
this announcement.