Steel & Tube Holdings Limited/Announcement

Steel & Tube FY24 Results Announcement

Full Year Results25 August 2024STUMaterials

View on NZX PDF 1 PDF 2 PDF 3 PDF 4 PDF 5 PDF 6

Company Announcement
26 August 2024

STEEL & TUBE FY24 RESULTS FOR YEAR ENDED 30 JUNE 2024

CONTROLLING THE CONTROLLABLES - WELL POSITIONED WHEN ACTIVITY RETURNS

Steel & Tube Holdings Limited (NZX: STU) has reported its audited results for the 12 months ended 30 June
2024, delivering a solid performance for a recessionary environment, while positioning itself well for when
activity returns.

CEO of Steel & Tube, Mark Malpass, commented: “In what has been a year of significant economic slowdown
across New Zealand, we have delivered a solid financial result. Our focus through this downturn has been on
controlling the controllables by strengthening customer relationships, maintaining market share and growing
higher value products and services, managing costs and expanding our cross-sell opportunities. These
strategies have not only enhanced our customer proposition but also improved the business’s operating
leverage, which will drive profitability as the economy recovers. We have also built a robust balance sheet
which provides optionality to further expand our growth, both organically and through acquisition.”

Key messages
• Economic conditions have impacted industry demand across all sectors
• Steel & Tube’s margins supported by new higher value products and services; further cross sell
opportunities are being implemented
• Strengthened core business model – significant inherent operating leverage enables strong earnings
growth as the economy improves and volumes return
• Through-cycle cost management – $5m in cost reductions have more than offset inflation. A new cost
out programme has commenced, targeting a further $5m in savings
• Net cash balance sheet (no borrowings) and a large facility in place positions Steel & Tube well to fund
through cycle growth
• Long-term economic drivers support long-term growth

FY24 Performance and Results

$m FY24 FY23 % chg
Revenue 479.1 589.1 -18.7%
Volume (Ktonnes) 115.5 146.4 -21.1%
GM$/tonne 901 850 6.0%
EBITDA 31.4 51.9 -39.5%
Normalised EBITDA
1
35.8 52.9 -32.3%
EBIT 9.6 31 -69.0%
Normalised EBIT
1
14.5 32.1 -54.8%
NPAT 2.6 17 -84.7%
Net cash 8.7 6.5 33.8%
Net operating cash flow 42.2 98.3 -57.1%
Full Year gross dividend (cents per share) 8.3 11.1 -25.2%
Full Year gross dividend yield
2
9.7% 9.9% -2.0%

1
Normalised EBITDA and Normalised EBIT have been adjusted to exclude non-trading adjustments of $4.4m and $4.9m respectively.
Reconciliation included in appendix to the FY24 Results Presentation
2
Based on share price of $0.86 as at 30 June 2024

The significant decline in activity across a range of sectors as a result of economic conditions, drove a 21%
reduction in volumes, with revenue down 19% to $479.1m (FY23: $589.1m). Despite challenging economic
conditions, Steel & Tube has focused on maintaining market share and improving customer value, reinforcing
its market position with customers for when activity returns.

Gross margin dollars per tonne,
3
although down on the half year, continued to improve to $901 per tonne
(FY23: $850) as the company increased product share of wallet with customers, through its strategic focus on
higher value products and services, and pricing disciplines.

Further inroads have been made to streamline the business, with $5m taken out of the cost base in FY24. These
cost reductions have more than offset inflation with normalised operating expenses
4
down $3.8m or 5.2% year
on year. A new cost out programme has commenced, targeting a further $5m in savings. The focus on costs
through the current cycle will further expand operating leverage and the profitability of the company as activity
returns.

Normalised earnings were in line with revised June 2024 guidance with Normalised EBITDA of $35.8m (down
from FY23: $52.9m) and Normalised EBIT of $14.5m (down from FY23: $32.1m). The company reported a net
profit after tax of $2.6m which includes one-off and non-trading costs.

Inventory levels have been reduced in line with activity and were down $17.9m, or 13%, year on year. Inventory
has been carefully managed to ensure customer availability while shifting product mix towards higher value
products. Operating cashflows remained strong and net cash was $8.7m at year end, with no borrowings.

Reflecting market conditions, the board has declared a final dividend of 2.0 cents per share, fully imputed. This
takes full year dividends to 6.0 cents per share, representing a gross yield of 9.7%. The payout is above Steel &
Tube’s policy of 60% to 80% of Adjusted NPAT and reflects the board’s continuing confidence in the
company’s future. The board has established a dividend reinvestment programme which will be in effect for
the FY24 final dividend.

Outlook

Mark said: ”While the timing and pace of an economic recovery remains unclear, our expectation is that
conditions should start to improve in the 2025 calendar year. We are navigating a challenging trading
environment, but we are well positioned for demand growth when it returns. Our market share is strong, we
have a loyal customer base and we have quality inventory, meaning we can provide the products and solutions
we know our customers will need when their projects start up again.”

In May 2024, the Government budget allocated $68b to infrastructure work over the next five years and is in
the process of approving fast track consent legislation, which will improve Infrastructure activity in the medium
term. Other areas of growth include health, water and climate resilience. Over the long-term, economic drivers
for the business remain positive, indicating strong demand for steel products and solutions into the future.

Chair of Steel & Tube, Susan Paterson, said: “With good cash reserves and no borrowings, our strong balance
sheet provides resilience in difficult times, the ability to continue to pay dividends to shareholders and the
opportunity to grow through organic and M&A investments. Our strategy is delivering tangible results and the
company is poised to maximise demand growth and deliver for customers as the economy recovers.”

3
Gross Margin includes freight, direct and sub-contract labour
4
Normalised operating expenses exclude costs relating to Project Strong, restructuring and SaaS, and excludes D&A

Conference call

Steel & Tube will be holding an investor call at 10.00am today (26 August 2024) to discuss the FY24 results,
performance and outlook. Details can be found here: https://www.nzx.com/announcements/435250

ENDS

For media or investor enquiries, please contact: Jackie Ellis +64 27 246 2505 or jackie@ellisandco.co.nz

For further information please contact:
Mark Malpass
Steel & Tube CEO
Tel: +64 27 777 0327
Email: mark.malpass@steelandtube.co.nz
Richard Smyth
Steel & Tube CFO
Tel: +64 21 646 822
Email: richard.smyth@steelandtube.co.nz

---

Template
Results announcement
(for Equity Security issuer/Equity and Debt Security issuer)
Updated as at June 2023

Results for announcement to the market
Name of issuer Steel & Tube Holdings Limited
Reporting Period 12 months to 30 June 2024
Previous Reporting Period 12 months to 30 June 2023
Currency NZD
Amount (000s) Percentage change
Revenue from continuing
operations
$479,126 (18.7%)
Total Revenue $479,126 (18.7%)
Net profit/(loss) from
continuing operations
$2,640 (84.5%)
Total net profit/(loss) $2,640 (84.5%)
Final Dividend
Amount per Quoted Equity
Security
$0.02000000
Imputed amount per Quoted
Equity Security
$0.00777778
Record Date 6 September 2024
Dividend Payment Date 27 September 2024
Current period Prior comparable period
(30 June 2023)
Net tangible assets per
Quoted Equity Security
$1.11 $1.17
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood
Non-GAAP financial information
Steel & Tube uses several non-GAAP measures when
discussing financial performance. This includes normalised
EBITDA and normalised EBIT. Management believes that these
measures provide useful information on the underlying
performance of Steel & Tube’s business. They may be used
internally to evaluate performance, analyse trends and allocate
resources. Non-GAAP financial measures should not be viewed
in isolation nor considered as a substitute for measures reported
in accordance with NZ IFRS. Reconciliations of non-GAAP
measures to GAAP measures are detailed within this
announcement.
Steel & Tube’s normalised EBITDA is $35.8m for FY24 (FY23:
$52.9m, 32.3% decrease) and normalised EBIT is $14.5m for
FY24 (FY23: $32.1m, 54.8% decrease). Further details on the
unusual transactions/non-trading adjustments are included in the
investor presentation for the year ended 30 June 2024.

Definitions:
• EBITDA: This means earnings before interest, tax,
depreciation and amortisation and is calculated as profit for
the period before net finance costs, tax, depreciation and
amortisation
• Normalised EBITDA: This means EBITDA after normalisation
adjustments
• EBIT: This means earnings before interest and tax and is
calculated as profit for the period before net finance costs
and tax
• Normalised EBIT: This means EBIT after normalisation
adjustments
• Normalisation adjustments: These are transactions that are
unusual by size or nature in a particular accounting period.
Excluding these transactions can assist users in forming a
view of the underlying performance of the Group. Unusual
transactions can be as a result of specific events or
circumstances or major acquisitions, disposals or
divestments that are not expected to occur frequently

Authority for this announcement
Name of person

authorised
to make this announcement
Mark Malpass
Contact person for this
announcement
Mark Malpass
Contact phone number +64 27 777 0327
Contact email address mark.malpass@steelandtube.co.nz
Date of release through MAP

26 August 2024

Audited financial statements accompany this announcement.

---

Template
Distribution Notice

Updated as at June 2023

Please note: all cash amounts in this form should be provided to 8 decimal places, including zeros (ie 0.01001000)

Section 1: Issuer information
Name of issuer Steel & Tube Holdings Limited
Financial product name/description Ordinary Shares
NZX ticker code STU
ISIN (If unknown, check on NZX
website)
NZSUTE0001S5
Type of distribution
(Please mark with an X in the
relevant box/es)
Full Year X Quarterly
Half Year Special
DRP applies X
Record date 6 September 2024
Ex-Date (one business day before the
Record Date)
5 September 2024
Payment date (and allotment date for
DRP)
27 September 2024
Total monies associated with the
distribution
1

$3,347,718
Source of distribution (for example,
retained earnings)
Retained Earnings
Currency NZD
Section 2: Distribution amounts per financial product
Gross distribution
2
$0.02777778
Gross taxable amount
3
$0.02777778
Total cash distribution
4
$0.02000000
Excluded amount (applicable to listed
PIEs)
NIL
Supplementary distribution amount $0.00352941
Section 3: Imputation credits and Resident Withholding Tax
5

Is the distribution imputed Fully imputed

1
Continuous issuers should indicate that this is based on the number of units on issue at the date of the form
2
“Gross distribution” is the total cash distribution plus the amount of imputation credits, per financial product, before the deduction of
Resident Withholding Tax (RWT).
3
“Gross taxable amount” is the gross distribution minus any excluded income.
4
“Total cash distribution” is the cash distribution excluding imputation credits, per financial product, before the deduction of RWT.
This should include any excluded amounts, where applicable to listed PIEs.
5
The imputation credits plus the RWT amount is 33% of the gross taxable amount for the purposes of this form. If the distribution is
fully imputed the imputation credits will be 28% of the gross taxable amount with remaining 5% being RWT. This does not constitute
advice as to whether or not RWT needs to be withheld.

Partial imputation
No imputation
If fully or partially imputed, please
state imputation rate as % applied
6

28.0%
Imputation tax credits per financial
product
$0.00777778
Resident Withholding Tax per
financial product
$0.00138889
Section 4: Distribution re-investment plan (if applicable)
DRP % discount (if any)
N/A
Start date and end date for
determining market price for DRP
5 September 2024 13 September 2024
Date strike price to be announced (if
not available at this time)
16 September 2024
Specify source of financial products to
be issued under DRP programme
(new issue or to be bought on market)
New Issue
DRP strike price per financial product
N/A
Last date to submit a participation
notice for this distribution in
accordance with DRP participation
terms
9 September 2024
Section 5: Authority for this announcement
Name of person

authorised to make
this announcement
Richard Smyth
Contact person for this
announcement
Richard Smyth
Contact phone number +64 21 646 822
Contact email address richard.smyth@steelandtube.co.nz
Date of release through MAP

26 August 2024

6
Calculated as (imputation credits/gross taxable amount) x 100. Fully imputed dividends will be 28% as a % rate applied.

---

FY24 Results Presentation
For 12 months ended 30 June 2024
26 August 2024

Well positioned for when activity returns

•Inherent operating leverage
•Through cycle cost management
•Net cash on balance sheet (no borrowings)
•Optionality for M&A
•Strong long-term drivers

4
Results at a glance
Continued solid performance in a more challenging trading environment
Revenue
$479.1m
-18.7%
EBITDA
$31.4m
-39.5%
EBIT
$9.6m
-69.0%
NPAT
$2.6m
-84.7%
Volume
115,535t
-21.1%
Earnings Before Interest and Tax (EBIT), Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA), Net Profit After Tax (NPAT) | Non-GAAP earnings reconciliation at the end of the presentation
Percentage variances compared against FY23 unless otherwise stated
Due to rounding, numbers presented throughout this presentation may not add up precisely to the totals provided
ROFE
4.8%
FY23: 9.9%
Normalised
EBITDA
$35.8m
-32.3%
Normalised
EBIT
$14.5m
-54.8%
•Normalised EBIT
supported by successful
cost out programme
•Focussed on customer
value adds driving
margins
•12-month reduction in
inventory of $17.9m
•No bank debt and a cash
balance of $8.7m
•Financial results in line
with 14 June guidance
Cash Balance
$8.7m
+33.8%
Inventory
$121.3m
-12.9%

Key messages
Well positioned when activity returns
Economic headwinds
•Economic conditions have impacted sales
volumes across sectors
•Expectation for economic recovery to start in
calendar 2025
Current economic conditions provide market opportunities, while inherent operating leverage
enables strong earnings growth as the economy improves and volumes return
Strategic investment
•Deliberate growth and M&A investment
criteria
•Robust balance sheet which is capable of
capturing opportunities
Long-term growth
•Long-term economic drivers –
infrastructure, health, water, climate change
•Diversified product portfolio – multi sector
exposure
Strategic positioning
•Strengthened core business model
•Investment strategy into higher value
products and services is delivering results
•Margins supported by new product mix,
pricing disciplines and cross selling

Economic cycle

7
Short term economic impacts
Build share of sales in growth sectors
Manufacturing
Soft on the back of subdued domestic and international demand
Commercial
Slow second half of FY24 as projects continue to be delayed or paused in
anticipation of cheaper funding available in the coming months
Residential
Infrastructure
Resellers
Customer First
M&A / Growth Activity
Focus on Costs
Slowdown in residential consents continue to impact residential construction,
recovery dependent on timing of interest rate cuts and economic improvement
New Zealand faces significant capital investment in infrastructure, driven by catch
up on under investment, climate resilience and rebuild following weather events
Demand primarily driven by residential market trends

8
Manufacturing and Commercial
Manufacturing and commercial construction slow
Source: Statistics New Zealand, BNZ – BusinessNZ PMI, Statistics NZ, Infometrics
Performance of Manufacturing Index (PMI)
Manufacturing
•Manufacturing sales have reduced by 21% in FY24
•Demand weakness domestically and internationally
•PMI continues to show weakness in the sector with the period
below 50 now longer than during the GFC
20
30
40
50
60
Jun-19Jun-20Jun-21Jun-22Jun-23Jun-24
34% of group sales
Commercial
•Commercial sales have seen a 15% decline in FY24
•Non-residential consents also reduced by 15% YoY to June
•Impacted structural steel and reinforcing products
2
3
4
2
4
6
8
10
Jun-19Jun-20Jun-21Jun-22Jun-23Jun-24
SQM (million)
Consents $ (bn)
Non-Residential Consents
Value of ConsentsFloor Area (m2)
33% of group sales

9
Residential and Infrastructure
Residential in decline, delayed infrastructure
Source: Statistics New Zealand, BNZ – BusinessNZ PMI, Statistics NZ, Infometrics
Share of sales restated following a comprehensive review of all significant customers as part of our segmentation strategy
Infrastructure Activity
Infrastructure
•Infrastructure sales reduced by 30% in FY24, projects delays and
reduced government spending
•Significant infrastructure investment needed; fast track
consenting legislation proposed
•$68bn infrastructure spend outlined in the May budget
•July prioritisation of 17 Roads of National Significance
8% of group sales
Residential
•Residential sales reduced by 15% in FY24
•Residential consents have reduced by 26% YoY to June
•Activity levels impacting roofing products
4
5
6
7
8
20
30
40
50
60
Jun-19Jun-20Jun-21Jun-22Jun-23Jun-24
SQM (million)
No. Consents (000's)
Residential Consents
Number of ConsentsFloor Area (m2)
14% of group sales
6.0
7.0
8.0
9.0
Jun-19Jun-20Jun-21Jun-22Jun-23Jun-24
$bn

10
Where are we in the cycle
Diversified product portfolio across sectors
Commercial
Resellers
Residential
Manufacturing
Infrastructure

11
Business
strategy

12
•Best-in-class customer experience
•Cross sell products and services
•Accelerate shift to digital sales
•Drive gross margin $/tonne
•Operating efficiency
Strengthening
the core
Cross sell products and services
•Broad product range provides competitive advantage
•Increased share of wallet per customer
•Tools developed to understand purchasing patterns
and identify opportunities
•Disciplined approach being applied to capture
opportunities
Operating leverage
•Fixed cost base, enables substantial profit expansion as
volumes return
•Proven operating leverage with volume changes
•FY24 cost out programme has further enhanced the
upside potential from this leverage
•Invested in systems to future proof the business
Strategic pathways
Continue to
strengthen
the core

13
•Bringing product combinations together makes life easier for customers and significantly increases our share
of wallet per customer
Cross sell products and services
Broad product range provides competitive advantage
22%
25%
18%
12%
24%
30%
25%
16%
10%
18%
FY23FY24
Increasing our category share per customer
•For example, when selling structural steel to a customer there is also the opportunity to couple our broader
product range – processed plate, purlins, ComFlor, fasteners, chain & rigging, roofing, mesh, reinforcing bar, etc
•Disciplined approach developed including tools to understand customer purchasing patterns and opportunities

14
100
125
150
175
200
-
10
20
30
40
50
60
70
FY20FY21FY22FY23FY245%10%15%20%FY23
Vol
FY22
Vol
Volume (ktonnes)
EBIT ($m)
Volume Growth
VolumeEBIT
Inherent operating leverage
•Large proportion of costs fixed
•EBIT scales disproportionately to volume
•Lift in market activity, combined with improvements
in operating leverage, enables significant earnings
growth

Improvement in operating leverage
•Tight cost controls through cycle have locked in
structural benefits
•Recent enhancements: organisation structure,
Project Strong and ‘in housing’ of freight to customers
•Further leverage from cross selling new products
and services, and digital conversion
HistoricalVolume scenarios
Scenario modelling FY24’s operating leverage
at increasing product volume levels
None of the modelling outlined on this page is a prediction, forecast or guide for FY25. Scenario product margins have been kept constant and
variable costs flexed proportionately to the increase in volume.
Operating leverage
Controlling the controllables

15
•High value products, range
extensions, diversified materials
and value-added services
•Diversify customer segments,
build scale and earnings
stability through cycle
•Primary focus is on growth
investment and M&A in
adjacent sectors
Strategic pathways
Grow high
value
products,
services and
sectors
Strategic investments
•Continuously exploring investment opportunities
•Well developed growth / M&A investment criteria
•Our focus is on maximising shareholder value
Capital management
•Balance sheet - net cash position, $100m bank facility in
place to fund growth
•Current economic conditions and depressed valuations
opening up market opportunities

16
Focused on two key pathways
Organic growth and M&A activity
32
•Products that fit into our existing
distribution network leveraging
our national footprint
•Cross over of customer base with
opportunity to cross sell existing
product categories
•Medium to large market size
where we can provide structure
and grow positions
Growth CriteriaM&A Criteria
•Procurement
•People
•Inventory
•Digital and IT
Platforms
•Safety / Regulatory
•Sustainability
•Inventory
•Structure
Additional criteria
•Industry aligns with current
operations, enhancing capability
or range
•Acquisition size impacts group
earnings with growth potential
in their market segment
•Location provides access to new
markets or is a leading regional
operator with national
expansion potential

17
•
Regulatory analysis
•
Detailed financial model
•
Confirm synergies
•
Consider execution risks
Ongoing M&A
Over the past two years Steel & Tube has been successfully growing the business through smaller M&A with 2
acquisitions completed - 17 companies have been reviewed with 8 currently under active consideration
Approval to
review
Gate 0
Stage Activities
to reach Gate /
Decision
•
Opportunity to create
value
•
Expected synergies
•
Timing
•
Project manager in place
•
Appropriate resources assigned
•
No showstoppers identified
Gate 1
Resources
plan
•
Complete due diligence
•
Finalise synergies
•
Prepare transition plans
•
External communications plans
•
External approvals, if any
•
Funding in place
•
Sign sale and purchase
agreement
•
Complete settlement
•
Commence execution of
transition plan
•
Complete integration
and establish SOP
•
Hand business from
M&A team to natural
owner
Gate 2
Nonbinding
offer
Gate 3
Binding
offer
Gate 4
Transition
Plan
Gate 5
Execute
deal
Gate 6
Integrate
Business

18
-100%
-50%
0%
50%
(150)
(100)
(50)
0
50
100
FY15FY16FY17FY18FY19FY20FY21FY22FY23FY24
Net Debt / Equity
$m
Net (Debt)/ Cash Position over 10 years
Net (Debt)/CashNet Debt to Equity
Capital management - well positioned
32
Group balance sheet summary
•Positioned for M&A growth, navigating the downturn
and other opportunities when the cycle turns
•Net cash (no borrowings), $100m facility in place to
fund growth
•Continued reduction in inventory ($17.9m)
•Disciplined management of working capital
•Strong cashflows supporting strategic initiatives
Covid-19

19
Financial
results

20
Group financial summary
•Volumes continue to be suppressed in a
recessionary environment
•Revenues reflect decreased volumes with some
offset due to elevated average sell price
•Effective product mix and margin management
continuing to grow margin $/tonne
•Cost out programme mitigating inflationary
pressure
•Final dividend of 2 cents reflective of current market
conditions
FY24 financial
performance
FY23 and FY24 Normalised EBITDA and EBIT have been adjusted to exclude non-trading adjustments. Further details included in appendix to this presentation.
$mFY24FY23Var
Revenue
479.1 589.1 (18.7%)
Volume (Ktonnes)
115.5 146.4 (21.1%)
GM$/tonne
9018506.0%
EBITDA
31.4 51.9 (39.5%)
Normalised EBITDA*
35.8 52.9 (32.3%)
EBIT
9.631.0 (69.0%)
Normalised EBIT*
14.5 32.1 (54.8%)
NPAT
2.617.0 (84.7%)
Net Operating cash flow
42.2
98.3(57.1%)
Dividend (cents per
share)
6.0
8.0(25.0%)
Gross Dividend (cents
per share)
8.3
11.1 (24.3%)

21
Resilient revenue
Continued focus on customers, growth of
high value products and services, and
pricing disciplines
Reduction in volume and revenue compared to FY23
driven by challenging economic conditions.
Softening customer demand across complete range
of products.
FY24 results versus FY23
•Revenue $479.1m: -18.7%
•Volume 115.5 Ktonnes: -21.1%
-
50
100
150
200
-
100
200
300
400
500
600
700
FY20FY21FY22FY23FY24
Tonnes (000's)
Sales ($m)
Sales & Volume
VolumeRevenue
-
1,000
2,000
3,000
4,000
5,000
-
100
200
300
400
500
600
700
FY20FY21FY22FY23FY24
Average Selling Price ($/t)
Sales ($m)
Sales & Average Selling Price
Average Selling PriceRevenue

22
•Continued focus on Gross Margin $/tonne
through customer value add, cross selling,
pricing discipline and cost control
•Strategic focus on higher value products and
services
Product Margin includes freight
Gross Margin includes freight, direct and sub-contract labour
Continued growth in
margin
581
621
799
850
901
888
885
1,057
1,142
1,238
500
700
900
1,100
1,300
FY20FY21FY22FY23FY24
Margin $/tonne
Gross Margin / TonneProduct Margin/Tonne
19.0%
20.4%
22.3%
21.1%
21.7%
29.0%
29.1%
29.5%
28.4%
29.8%
15.0%
20.0%
25.0%
30.0%
35.0%
FY20FY21FY22FY23FY24
Margin %
Gross Margin %Product Margin %

23
Normalised operating expenses
Cost out programme targeting $5m of operating expense savings in FY24 successfully offset
inflationary pressures
•Ongoing focus on streamlining operational costs
•FY24 normalised operating expenses reduced by
$3.9m
•Cost initiatives focussed on back office functions,
tight control of discretionary spending,
procurement efficiencies and other savings
•Inflationary pressure – wage / salary inflation has
returned to normal levels along with other costs as
high interest rates continue to cool the economy
Normalised Opex excludes Project Strong costs of $2.8m, restructuring costs of 0.6m and the $1.1m impact of SaaS, as well as non-trading adjustments previously
reported, Normalised Opex excludes D&A
*Inflation of 3.3% as reported by Statistics NZ in their June 2024 release

24
Normalised EBIT
Volume impacts partially offset by
margin improvements and
operating cost reductions
•FY24 Normalised EBIT $14.5m – in line
with guidance
•Volume decline consistent with New
Zealand’s recessionary environment
•Focus on higher value products,
improved pricing disciplines,
leveraging analytics and digital
capabilities
•Net Opex savings
Normalised EBIT has been adjusted to exclude non-trading adjustments.
Further details included in appendix to this presentation.

25
•Continued reduction in inventory
•Disciplined management of working capital
•No borrowings, $100m facility in place to fund
growth
$mFY24FY23Var
Trade and other receivables68.5 79.3 (13.6%)
Inventories121.3 139.2 (12.9%)
Trade and other payables(56.7)(69.4)(18.3%)
Working Capital133.1 149.1 (10.7%)
Total Facility
100.0 100.0 -
Borrowings
- - -
Available Facility/Undrawn
100.0 100.0 -
Cash and cash equivalents8.7 6.5 33.8%
Borrowings- - -
Net Cash/(Debt)8.7 6.5 33.8%
Net Tangible Assets (NTA) 185.5 194.6 (4.7%)
ROFE (%)4.8%9.9%(5.1%)
Balance sheet summary
Built a robust balance sheet for more
challenging economic cycle, capable of
investing in growth

26
Inventory management
Managing inventory levels carefully to ensure
best use of working capital
•Inventory levels normalised at the end of FY23
•FY24 inventory in line with activity, coupled with
further improvements and optimisations
•Unit finished product prices remain at elevated levels
•Active stewardship and use of detailed analytical tools
to ensure investments are made in higher value
products

27
Cashflow
•Cash collections remain high in a
softened operating environment
•Careful inventory management and
supply chain optimisation
•Dividends of $13.3m paid during FY24
•Lease payments have increased by
$1.1m in FY24

28
Capital expenditure
Disciplined capital management in a challenging environment
•FY24 capex of $9.5m (FY23: $6.2m)
•Priority capital allocation to maintenance spend (29.5%),
and strategic investments (38.4%)
•Strategic investments include new purlins machine in
Auckland and a plate processing machine in Christchurch,
both focussed on growing higher value revenues
Planned investment for FY25
•Further investment in processing equipment and other
growth opportunities
•Continued investment in digital technology
•Balance sheet will support capital investment programme
* FY21 capex has been restated for the impact of a change in accounting policy in relation to the accounting for Software as a Service arrangements (“SaaS”)
**Depreciation and amortisation excludes right-of-use asset depreciation
0
2
4
6
8
10
0
2
4
6
8
10
12
FY21*FY22FY23FY24
$m
Capital Expenditure

29
Investor returns
1. Gross dividends include the benefit of imputation credits, the yield is calculated as gross dividends divided
by share price (as at 31 December or 30 June)
•Final dividend of 2.0 cents per share – above 60%-
80% target range reflecting confidence in the
company’s future
•Attractive gross dividend yield
1
of 9.7%
•Earnings per share: 1.6 cents per share
•Net Tangible Assets per share: $1.11 per share
0%
2%
4%
6%
8%
10%
12%
14%
-
2
4
6
8
10
1H212H211H222H221H232H231H242H24
Gross Dividend Returns
Gross Dividend cpsDividend Yield (Rolling 12 Months)

30
Moving
forward

31
*Data and forecasts sourced from Infometrics
Economic drivers and trends
Extract from New Zealand Infrastructure Commission Strategy
2
4
6
8
10
$bn
Infrastructure Work Put in Place*
-
2
4
6
8
10
12
14
$bn
Work Put in Place*
ResidentialNon Residential

32
Medium term economic driver and trends
Building share of sales in growth sectors
Manufacturing
Poised to grow supported by recovery of the domestic construction sector and
export markets
Commercial
Interest rate cuts over the coming year are expected to stimulate this sector
Residential
Infrastructure
Resellers
Customer First
M&A / Growth Activity
Focus on Costs
An estimated 115,000 new homes are needed to fix the current housing crisis
Population growth and shifts in demographics over the next 10 years requires
substantial investment in urban and rural infrastructure
Demand primarily driven by residential market trends
Diversified product portfolio well positioned to capture upside

33
Market outlook
•Economic cycle likely to remain challenging in
near term, improvements expected in business
sentiment as interest rates and inflation moderate
•Weak economic conditions should provide
opportunities for industry consolidation
•Infrastructure activity to increase following fast
track legislation and Government infrastructure
investment, with housing and commercial
projects to follow as funding conditions improve
•Underlying opportunities continue to be long
term drivers; climate resilience, seismic
strengthening, grid enhancement and
infrastructure development
•Steel pricing expected to remain elevated
FY25 outlook
Support our customers through the cycle and
explore growth opportunities in a difficult
market
•Reinforce market position by continued
strengthening of customer relationships and value
•Support margins through new higher value
products and services, and cross sell opportunities
•Controlling costs through continued focus on
operating efficiencies through the bottom of the
cycle
•Strong balance sheet provides resilience in
difficult times and opportunity to grow through
organic and M&A investments

34
Actively managing market challenges
Market
Challenges
FY24FY25FY24 response
Slowing
economy
HighMed
•Customer focused, resilient and sustainable business platform
•Growth strategy focused on high value products and services
•Diversified business with limited exposure to any one sector
Commodity price
volatility
HighMed
•Reduced inventory cover
•Buying the right products, at the right time
•Focus on dollar margin capture on existing inventory
InflationHighLow
•Comprehensive cost out programme to capture operational efficiencies
and improve leverage
Tight labour
market
MedLow
•Continued focus on safety, culture and wellbeing, staff training and
development, mentoring and Māori cadetship programmes
Cashflow
management
MedLow
•Strong balance sheet and lean cost structure
•Tight control and management of debtors - minimal levels of bad debt

Summary
•Economic head winds
•Strategy delivering results
•Well positioned for economic improvement
•Further growth supported by organic initiatives and M&A investment
•Long-term drivers support future growth
35

Discussion

37
Appendix

38
Non-GAAP financial information
Non-GAAP financial information: Steel & Tube uses several non-GAAP
measures when discussing financial performance. These include
Normalised EBITDA, Normalised EBIT and Working Capital. Management
believes that these measures provide useful information on the underlying
performance of Steel & Tube’s business. They may be used internally to
evaluate performance, analyse trends and allocate resources. Non-GAAP
financial measures should not be viewed in isolation nor considered as a
substitute for measures reported in accordance with NZ IFRS.
Non-trading adjustments/Unusual transactions: The financial results for
FY24 include transactions considered to be non-trading in either their
nature or size. Unusual transactions can be as a result of specific events or
circumstances or major acquisitions, disposals or divestments that are not
expected to occur frequently. Excluding these transactions from
normalised earnings can assist users in forming a view of the underlying
performance of the group. The above reconciliation is intended to assist
readers to understand how the earnings reported in the periods ended 30
June 2024 and 30 June 2023 reconcile to normalised earnings. Non-
trading adjustments of $(4.9) million are included in the FY24 EBIT. Non-
trading adjustments of $(4.4) million are included in the FY24 EBITDA.
Period ended 30 JuneEBITDAEBIT
$000sFY24FY23FY24FY23
Reported 31,415 51,876 9,56931,009
Project Strong costs2,701 - 3,192 -
Business restructuring costs550 - 550 -
Loss on de-recognition of finance lease receivable- 128 - 128
NZ IFRS 16 reversal of impairment- (177)- (177)
Software as a Service (SaaS) upfront expenditure1,144 1,109 1,144 1,109
Normalised35,810 52,936 14,45532,069

39
Business performance
Resilient performance in a softer market
Distribution – high volume business
•Solid performance despite market conditions
•Benefiting from inventory management, pricing and supply
chain disciplines
•Maintained strong Gross Margin$/tonne
•Significant operating leverage
Infrastructure – processing products before sale
•Benefiting from the tail end of the construction cycle
•Increasing competition in securing project work
•Focused on projects where capability can be leveraged;
some large projects delayed
•Successfully restructured to ensure consistent and
predictable returns whilst minimising risk
*Gross Margin includes freight, direct and sub-contract labour
DistributionFY24FY23
% of Group revenue57.8%60.5%
Revenue ($m)276.8356.3
Gross Margin*21.0%20.9%
Gross Margin $/tonne852826
InfrastructureFY24FY23
% of Group revenue42.2%39.5%
Revenue ($m)202.3232.8
Gross Margin*23.6%22.0%
Gross Margin $/tonne1,010913

40
Steel & Tube
•One of NewZealand’s leading providers of steel solutions
•A proud NewZealand company, with over 70 years
of trading history
•NewZealand’s most comprehensive range
of steelproducts, services and solutions
•Stable of best-in-class businesses are some of
this country’s leadingsteel suppliers
•Making life easier for customers needing steel
solutions
29 Sites
Nationwide
3
4

41
Our business divisions
Products sourced from preferred steel mills and
distributed through our national network
Products processed before sale, on a contract or
project basis, including onsite installation services
DistributionInfrastructure
SteelPiping SystemsChain & Rigging
FasteningsRural ProductsStainless Steel
RoofingCoil ProcessingReinforcing
PurlinsComFlor/ CFDLMesh
Aluminium
Fire & Reticulation

42
Primary product and service offering by participants
Steel distributionPlate processing Coil processingStainless steelEngineering steelAluminiumReinforcing steelWireRoofingFastenersFire Reticulation
Steel & Tube
✓
5
✓
5
✓
5
✓
5
✓
5
✓
5
✓
5
✓
5
✓
5
✓
5
✓
5
Fletcher Steel
✓
j
✓
5
✓
5
–
5
✓
5
–
5
✓
5
✓
5
✓
5
–
5
–
5
Vulcan
✓
5
✓
5
✓
5
✓
5
✓
5
✓
5
–
5
–
5
–
5
–
5
–
5
United Industries
✓
5
–
5
–
5
–
5
–
5
–
5
✓
5
✓
5
✓
5
–
5
–
5
Asmuss
✓
5
–
5
–
5
–
5
–
5
–
5
–
5
✓
5
–
5
✓
5
✓
5
Summit Steel & Wire
–
5
–
5
–
5
–
5
–
5
–
5
✓
5
✓
5
–
5
✓
5
–
5
Wakefield Metals
–
5
–
5
–
5
✓
5
–
5
✓
5
–
5
–
5
–
5
–
v
–
5

43
Customer, employee and sustainability update
1.86
1.13
1.14
0
0
1
2
3
FY21FY22FY23FY24
Employee Satisfaction (eNPS
2
)
Employee Safety Measure (TRIFR
1
)
Emissions kgCO
2
e per tonne
3
34
40
42
50
0
20
40
60
FY21FY22FY23FY24
Industry average: 32
1.TRIFR: Employee Total Recordable Injury Frequency Rate
2.Net Promoter Score (NPS): Measure of customer/employee satisfaction
3.Reporting references the Greenhouse Gas Protocol and includes all material emissions under Scope 1 and 2, with Scope 3, except purchased goods and services and employee commute
Customer Satisfaction (NPS
2
)
•Customer satisfaction remains at high
levels due to our focus on making life
easy for customers, offering best-in-class
customer experience and solutions
•Safety outcomes are positive, remain
focused on zero harm
•Employee satisfaction well above
industry average - emphasis on safety,
wellbeing and culture
•Gifting of shares to team members as
part of 70th anniversary celebrations
•December 2023 Forsyth Barr Carbon &
ESG Ratings - overall CESG ranking of 17
out of 58 companies assessed
29
35
29
31
0
10
20
30
40
Dec-21Mar-23Dec-23May-24
eNPSIndustry AvgTop Quartile
104
92
111
80
90
100
110
120
FY22FY23FY24
tCO2
-
e (000s)

44
•Plate processing provides value add service to the
business improving margin capture on plate products
•Unprocessed plate market contracted due to recessionary
impacts, processed plate investment outperforming
underlying market
•South Island Plate Processing capability installed on
budget and on time in May
Plate Processing
Recent growth initiatives
32
Aluminium
•Initial flat products have been well supported by
customer base with pleasing demand through the first full
year
•One of the highest $/tonne products we offer
•Increased share of wallet from existing customers
•Range expansion currently under way to provide greater
product offering to market
•Distribution hybrid hubs supporting expansion into
regional centres
-
5
10
15
20
25
30
Jul-22
Oct-22
Jan-23
Apr-23
Jul-23
Oct-23
Jan-24
Apr-24
Jul-24
Plate Processing Daily
Revenue
Jul-22
Oct-22
Jan-23
Apr-23
Jul-23
Oct-23
Jan-24
Apr-24
Jul-24
Aluminium Daily Revenue

45
Completed M&A
•Volumes grew 84% with EBIT growing 120%
•Leveraging regional footprint to grow outside
of Auckland
•Group product range now offered to all Kiwi
customers with growth across relevant
categories
•Purchase of Roadex fleet completed in April
with operations beginning May
•First two months of operation have yielded
internalised margin of ~$0.2m
•Supports customer relationships providing end
to end delivery solutions
•Exploring further opportunities to expand
internal freight model where cost competitive
Kiwi Pipe & Fittings
Transport Strategy
Jul-22
Oct-22
Jan-23
Apr-23
Jul-23
Oct-23
Jan-24
Apr-24
Jul-24
Kiwi Pipe Daily Revenue

46
Glossary of terms
EBIT: Earnings / (Loss) before the deduction of interest and
tax. This is calculated as profit for the period before net
interest costs and tax
EBITDA: Earnings / (Loss) before the deduction of interest,
tax, depreciation and amortisation. This is calculated as
profit for the period before net interest costs, tax,
depreciation and amortisation
ROFE: Return on Funds Employed. This is calculated as
Normalised EBIT over Average Funds Employed (Net Debt
(including Lease Liability) + Equity)
eNPS: Employee Net Promoter Score – assists in measuring
employee satisfaction and loyalty within the organisation
NPS: Net Promoter Score – assists in measuring customer
satisfaction and loyalty
Normalised EBIT/EBITDA: This means EBIT and EBITDA
excluding non-trading adjustments and unusual
transactions
TRIFR: Employee Total Recordable Injury Frequency Rate –
an important metric to assess safety performance
Working Capital: This means the net position after
Current Liabilities are deducted from Current Assets.
The major individual components of Working Capital for
the group are Inventories, Trade and other receivables and
Trade and other payables. How the group manages these
has an impact on operating cash flow and borrowings

47
•This presentation has been prepared by Steel & Tube Holdings
Limited (“STU”).The information in this presentation is of a general
nature only. It is not a complete description of STU.
•This presentation is not a recommendation or offer of financial
products for subscription, purchase or sale, or an invitation or
solicitation for such offers.
•This presentation is not intended as investment, financial or
other advice and must not be relied on by any prospective
investor.It does not take into account any prospective investor’s
objectives, financial situation, circumstances or needs, and does not
purport to contain all the information that a prospective investor
may require. Any person who is considering an investment in STU
securities should obtain independent professional advice prior to
making an investment decision, and should make any investment
decision having regard to that person’s own objectives, financial
situation, circumstances and needs.
•Past performance information contained in this presentation
should not be relied upon (and is not) an indication of future
performance.This presentation may also contain forward looking
statements with respect to the financial condition, results of
operations and business, and business strategy of STU. Information
about the future, by its nature, involves inherent risks and
uncertainties. Accordingly, nothing in this presentation is a promise
or representation as to the future or a promise or representation that
a transaction or outcome referred to in this presentation will proceed
or occur on the basis described in this presentation. Statements or
assumptions in this presentation as to future matters may prove to
be incorrect.
•Several financial measures are used in this presentation and should
not be considered in isolation from, or as a substitute for, the
information provided in STU’s financial statements available at
www.steelandtube.co.nz.
•STU and its related companies and their respective directors,
employees and representatives make no representation or warranty
of any nature (including as to accuracy or completeness) in respect
of this presentation and will have no liability (including for
negligence) for any errors in or omissions from, or for any loss
(whether foreseeable or not) arising in connection with the use of or
reliance on, information in this presentation.
Disclaimer

---

Dear Shareholder
On behalf of the board and management, we are very pleased to advise that Steel & Tube
Holdings Limited’s Annual Report for the year ended 30 June 2024 (FY24) is available to
view on our website www.steelandtube.co.nz/investor/reports.
The Year in Review
In what has been a year of significant economic slowdown across New Zealand, Steel & Tube has continued to deliver a solid
financial result. Our focus has been on controlling the controllables by strengthening customer relationships, maintaining market
share, growing higher value products and services, expanding our cross-sell opportunities and managing costs. These strategies
have not only enhanced our customer proposition but also improved our operating leverage, which will drive profitability as the
economy recovers.
STEEL & TUBE HOLDINGS LIMITED
2024
REVIEW
Continue to Strengthen the Core
+
Solid performance in a recessionary environment
delivering resilient operating profit
+
Maintained market share and strengthened customer
value add
+
Created significant operating leverage through tight
cost control and continued shift towards high value
products and services
+
Gross margin dollars/tonne improved due to pricing
disciplines and improved product mix
+
Cost inflation offset with $5m+ cost out programme
successfully completed
+
Managed inventory in line with market activity, with a
13% reduction year on year
+
No bank debt and positive cash balance, with net cash
of $8.7m at year end
+
Continued investment in digital technology, equipment
and growth opportunities
+
Well positioned to take advantage of increasing activity
and demand when the economy recovers
Grow High Value Products and Services
+
Strategic organic investments and acquisitions continue
to perform above expectations
+
Continued expansion of aluminium product range, in
response to strong demand
+
Investment in new plate processing equipment in
Christchurch commissioned in 2H24
+
Acquired 20 owned and leased specialist freight trucks
and 8 trailers from Roadex
+
Geographic expansion of Kiwi Pipe & Fittings delivering
growth
+
Increased packaged product warehouse capacity and
investment in warehouse technologies
+
Investment in new mesh straightening equipment and
new purlins machinery with automated stacking system
to be commissioned in FY25

7 Bruce Roderick Drive, East Tamaki, Auckland 2013, New Zealand | PO Box 58880, Botany, Auckland 2163, New Zealand
Ph: +64 4 570 5000 Fax:+64 4 570 2453 Email: info@steelandtube.co.nz Website: www.steelandtube.co.nz
In FY24, Steel & Tube delivered a solid financial performance despite the challenging trading conditions. While volumes and revenue
were lower as a result of the economic climate, market share was maintained and average selling prices remained elevated.
Pleasingly gross margin dollars per tonne improved as a result of our strategic focus on higher value products and services, pricing
disciplines and increasing customer share of wallet. Cost efficiencies have offset inflation and supported resilient operating profits.
With good cash reserves and no borrowings, our strong balance sheet provides resilience in difficult times, the ability to continue
to pay dividends to shareholders and the opportunity to grow through organic and M&A investments. Cashflows remained strong
and net cash was $8.7m at year end, with no borrowings.
The board has declared a final dividend of 2.0 cents per share, fully imputed. This takes full year dividends to 6.0 cents per share,
representing a gross yield of 9.7%. Steel & Tube has established a Dividend Reinvestment Plan (DRP) which will be active for the FY24
final dividend payment. Information and reinvestment options can be viewed at www.steelandtube.co.nz/investor/dividends.
Looking Ahead
We will continue to build on our strategy in the coming year, strengthening our core and investing in high value products and
services. While the timing and pace of an economic recovery remains unclear, our expectation is that conditions should start
to improve in the 2025 calendar year. Our market share is strong, we have a loyal customer base and we have quality inventory,
meaning we can provide the products and solutions we know our customers will need when their projects start up again.
The long term economic drivers and trends for our business are positive and indicate a strong and long pipeline of demand for
steel products and solutions. Steel & Tube has significant operating leverage that will result in profit growth when the economy
recovers.
We remain committed to delivering value to our shareholders and confident in the prospects for our company. On behalf of all
the team at Steel & Tube, we would like to thank our shareholders for your continued support. We look forward to a strong future
together.
FY24 Financial Performance
Revenue
$ 479.1m
Normalised EBITDA
1
$35.8m
EBITDA
$31.4m
Net Profit After Tax
$2.6m
FY24 Final Dividend
2.0 cents per share
Fully imputed

Susan Paterson Mark Malpass
Chair Chief Executive Officer
1
Normalised EBITDA has been adjusted to exclude non-trading adjustments relating to Software as a Service costs, Project Strong and restructuring costs. See more details and
reconciliation on page 44 of the FY24 Annual Report.

---

STEEL & TUBE HOLDINGS LIMITED
2024
ANNUAL
REPORT

It is with pleasure that we present Steel & Tube’s Annual
Report for the year ended 30 June 2024. This has been
a year during which Steel & Tube has demonstrated
its resilience and strength in a challenging trading
environment. We are proud to share our progress with
you as our team continues to successfully deliver on
our dual pathway strategy.23 August 2024
Heke Rua Archives
The ground has been turned and construction has
commenced on a new building of national significance,
Heke Rua Archives in Wellington. Best practice standards
have been applied to the building performance, including
the use of steel foundations to protect the building and
its contents. Steel & Tube supplied approx. 1,400 tonnes
of reinforcing steel to LT McGuinness, ensuring strong
foundations for this significant building, as well as supplied
and installed 19,200m² of ComFlor composite steel
decking across the nine-level building.
This Annual Report and Financial Statements of Steel & Tube Holdings Limited are prepared in accordance with the New Zealand International Financial Reporting
Standards, NZX Listing Rules and Corporate Governance Code and Companies Act 1993. The Annual Report contains certain forward-looking statements with
respect to the Company’s financial position and operational results. This involves a degree of risk and uncertainty because they relate to events and depend on
circumstances that may or may not occur in the future. Because of this uncertainty, all forward-looking statements have not been reviewed or reported on by
our auditor. Due to rounding, numbers presented throughout the financial statements may not add up precisely to the totals provided.
Mark Malpass
Chief Executive Officer
Susan Paterson
Chair
2Steel & Tube Annual Report 2024

Our Business
About Us 4
Our Strategic Roadmap 6
FY24 Review
FY24 at a Glance 8
Chair and CEO’s Report 10
Business Performance 16
Distribution 17
Infrastructure 18
What Matters
Customer First 23
Creating a Successful and Resilient Business 24
Committed to Health, Safety, Quality and Environment 26
A Winning Team and Positive Community Impact 27
Board and Leadership 28
Corporate Governance Report 32
Financials and
Other Disclosures
Financial Measures 44
5 Year Financial Performance 45
Consolidated Financial Statements 48
Notes to the Consolidated Financial Statements 54
Independent Auditor’s Report 82
Remuneration 86
Disclosures 89
Shareholder Information 92
Directory 94
Contents
Steel & Tube Annual Report 20243

About Us
Steel & Tube is one of New Zealand's leading distributors
and processors of metal and related products. We offer
New Zealand’s most comprehensive range of steel
products, services and solutions.
We source, process and distribute steel and metal products
– including fastenings, fire reticulation products, chain and
rigging, stainless steel, aluminium, engineering steel and
processed plate and sheet. We also make steel products
to order on a project basis, including roofing, ComFlor
decking and reinforcing.
We have expertise across a diverse range of sectors,
offering our customers a wide range of products and
solutions to meet their steel needs.
We serve our customers through our nationwide network
and our online platform, helping them to build successful
projects and create better outcomes.
Our competitive advantage is our ability to cross sell our
extensive offer to customers, leveraging our national
footprint and the breadth of product offering across
multiple sectors.
Our people are our greatest strength – the backbone of our
company. We are passionate, innovative, capable and proud
of what we do.
+
We value the skills the whole
team bring to the table –
we’re stronger together
+
We’re inclusive, seek diversity
of thought and accept
differences
+
We honour the legacy of
our brand and strive to
strengthen it for future
teams
+
We fight the good fight and
work hard to do what is right
+
We stand out from the crowd
and support each other to
push the boundaries of what
is possible
+
We look after our customers,
our communities, our
environment and each other
+
We put safety and wellbeing at
the heart of our business
+
We cheer our people on,
celebrate great work and
recognise progress
+
We walk the talk and take
responsibility for delivering
value to our customers
Our purpose is to make life easier for our customers.
WE HAVE RESPECT
WHAKAUTE
WE ARE BRAVE
MĀIA
WE CARE
MANAAKI
In 2023, we launched a powerful new purpose and values.
These underpin Steel & Tube’s future success for the decades ahead.
Steel & Tube Annual Report 20244

Our Business
Our stable of best-in-class
businesses are some of
this country’s leading steel
suppliers. We are continuing
to grow, adding high value
products, services and
solutions to our
customer offer.
1
Excludes vacancies and contractors
2
TRIFR: Employee Total Recordable Injury Frequency Rate per 1 million work hours
3
Net Promoter Score. Customer NPS is calculated based on 3 months rolling average. Employee NPS industry average is 21 and Customer NPS industry average is 30
4
Scope 3 emissions data excludes category 1 (purchased goods), category 2 (capital goods) and category 7 (employee commute)
858
Te a m
members
1
29
Sites across
New Zealand
7, 0 5 1
Shareholders
31
Employee
NPS
3
Above industry
average
13,482
Active
Customers
0.00
Safety
TRIFR
2
Lowest in company’s
history
50
Customer
NPS
3
Above industry
average
110.9
kgCO2e/
Tonne sold
Scope 1, 2 and 3
emissions intensity
⁴
1
4
2
2
3
2
2
8
1
1
1
1
1
KIWI
PIPE & FITTINGS
Steel & Tube Annual Report 20245

W
H
A
T

M
A
T
T
E
R
S
O
U
R

V
A
L
U
E
S
STRATEGIC GOALS
CUSTOMER
Preferred supplier for
steel solutions and
products
SHAREHOLDER
Deliver increasing value
and returns for our
shareholders
GROWTH
Increase value through
organic growth and
M&A
SUSTAINABILITY
Positive outcomes for our
business, our people, our
communities and our planet
Our Strategic Roadmap
CUSTOMER
FIRST
CREATING A
SUCCESSFUL
& RESILIENT
BUSINESS
COMMITTED TO
HEALTH, SAFETY,
QUALITY &
ENVIRONMENT
A WINNING
TEAM & POSITIVE
COMMUNITY
IMPACT
TO MAKE
LIFE EASIER
FOR OUR
CUSTOMERS
Our Purpose
WE HAVE
RESPECT
WE ARE
BRAVE
WE
CARE
Steel & Tube Annual Report 20246

Steel & Tube continues to deliver on
its dual pathway strategy, building a
diversified and resilient business while
capitalising on new avenues of growth.
Continue to
Strengthen
the Core
+
Best-in-class customer experience
+
Cross sell products and services
+
Accelerate shift to digital sales
+
Drive gross margin $/tonne
+
Operating efficiency
Strengthening the core involves building on the strong
business foundation we have established, to deliver
best-in-class customer experiences, operational
efficiency and a strong financial performance.
The breadth of our product range, scale of our
network, our IT and digital platform and our team
of talented people are all paramount to achieving
our goal of being New Zealand’s preferred supplier
of steel products and solutions.
Sustainability is also a key consideration in
strengthening our core. We are committed to
sustainable practices, focusing on environmental
stewardship, responsible sourcing, and managing
our carbon footprint.
Grow High Value
Products and
Services
+
High value products, diversified materials and
value-added services
+
Diversify customer segments and build scale
+
Primary focus is on organic investment and
M&A in direct adjacent sectors
We will grow our business by expanding our offering
and investing in new products and services that provide
high value to our customers.
While our primary focus is on organic growth, we
remain open to considering opportunities in adjacent
sectors that align with our strategic objectives and
provide synergistic benefits.
We will leverage our expertise, market knowledge, and
customer relationships to identify and capitalise on
growth opportunities.
Steel & Tube Annual Report 20247

Continued focus on delivering customer value,
maintaining market share, improved product mix and
tight cost controls will provide operating leverage
and profit growth when the economy improves.
Continue to
Strengthen
the Core
+
Solid performance in a recessionary
environment delivering resilient operating
profit
+
Maintained market share and strengthened
customer value add
+
Created significant operating leverage
through tight cost control and continued shift
towards high value products and services
+
Gross margin dollars/tonne improved due to
pricing disciplines and improved product mix
+
Cost inflation offset with $5m+ cost out
programme successfully completed
+
Managed inventory in line with market
activity, with a 13% reduction year on year
+
No bank debt and positive cash balance, with
net cash of $8.7m at year end
+
Continued investment in digital technology,
equipment and growth opportunities
+
Well positioned to take advantage of
increasing activity and demand when the
economy recovers
Grow High Value
Products and
Services
+
Strategic organic investments and acquisitions
continue to perform above expectations
+
Continued expansion of aluminium product
range, in response to strong demand
+
Investment in new plate processing
equipment in Christchurch commissioned
in 2H24
+
Acquired 20 owned and leased specialist
freight trucks and 8 trailers from Roadex
+
Geographic expansion of Kiwi Pipe & Fittings
delivering growth
+
Increased packaged product warehouse
capacity and investment in warehouse
technologies
+
Investment in new mesh straightening
equipment and new purlins machinery
with automated stacking system to be
commissioned in FY25
FY24 at a Glance
Steel & Tube Annual Report 20248

Revenue
$ 479.1m, -18 . 7 %
Volume
115,535t, -21.1%
EBITDA
$31.4m, -39.5%
EBIT
$9.6 m, - 69.0%
N PAT
$2.6m, -84.7%
Normalised EBITDA¹
$35.8m, -32.3%
Normalised EBIT¹
$14.5m, -54.8%
Net operating cashflow
$ 4 2 . 2 , - 5 7.1 %
Net Cash
$8.7m, 33.8%
Total FY24 Dividends (fully imputed)
6.0 cents per share
Gross Margin $/Tonne
FY24
FY23
FY22
FY21
FY20
799
581
621
901
850
Volume (Tonnes 000s)
FY24
FY23
FY22
FY21
FY20
116
146
167
137
158
FY23FY24
Interim Dividendcps (net)4.04.0
Final Dividendcps (net)4.02.0
To t a lcps (net)8.06.0
cps (gross)
2
11.18.3
Dividend Yield (gross)
3
%9.9 %9. 7 %
Revenue ($m)
FY24
FY23
FY22
FY21
FY20
479
589
599
418
481
1
Normalised EBITDA and Normalised EBIT have been adjusted to exclude non-trading adjustments relating to
Software as a Service costs, Project Strong and restructuring costs. See more details and reconciliation on page 44
2
Gross dividends include the benefit of imputation credits
3
Based on share price at 30 June each year – FY24 $0.86, FY23 $1.12
Percentage variance shown above is compared against FY23
Steel & Tube Annual Report 20249

Susan Paterson
Chair
Chair and CEO’s Repor t
Tēnā koutou
On behalf of the board and management, we are pleased to present this year’s
Annual Report.
In what has been a year of significant economic slowdown across New Zealand,
Steel & Tube has continued to deliver, a solid financial result, continued strengthening
of our operational platform, and investment into higher value
growth opportunities. We are very proud of our team who have demonstrated
agility, leadership and adaptability in challenging trading conditions, and have
been a key driver of our result this year.
Our dual pathway strategy is delivering tangible results and the work we have done
over the last 12 months ensures that our company is poised to maximise demand
growth when the economy improves. With a strong balance sheet, we are well
positioned to take advantage of organic and acquisition growth opportunities.
The long term economic drivers and trends for our business are positive and
indicate a strong and long pipeline of demand for steel products and solutions.
Trading Conditions
The economic headwinds which commenced in the second half of FY23, escalated
over FY24. Interest rates remained high as have inflationary pressures and the cost
of living. This resulted in a reduction in business spending, and projects and
investments being put on hold, with a notable effect on demand for steel.
Despite this, Steel & Tube has continued to strengthen customer relationships,
maintain market share, grow margins through customer value add and significantly
improve operating leverage to position itself for New Zealand’s economic recovery.
We have continued to focus on what we can control and explore new opportunities
to grow higher value products and services.
FY24 was another year of
delivery and execution on
our proven strategy.
Steel & Tube Annual Report 202410

Mark Malpass
Chief Executive Officer
Continue to Strengthen the Core
Over the past year, we have focussed on improving our operating leverage,
which will drive margin expansion and profit growth when demand returns.
While already a lean and efficient organisation, we have made further inroads,
using technology and data insights to streamline our business. In the last 12
months, we have more than offset inflation pressures by taking $5m out of our
cost base and we are now commencing a new cost out programme, targeting a
further $5m in savings. This will help to further improve operating leverage and
the profitability of our company.
We are constantly looking for opportunities to improve our systems, processes
and people capability. Twelve months ago, we commenced Project Strong to
increase our warehouse capacity and improve our service offer and productivity.
We expanded the scope of the project during the year to further improve
utilisation of capacity across our Auckland branches and reduce overheads,
including the accelerated exit from the Avondale building. Additional costs
associated with this have been recognised in the FY24 results.
In this year’s dynamic environment, we have remained flexible and are
supporting our customers through value added services as we continue
providing the quality and delivery reliability they expect. We have introduced
specialised sales teams, continued to enhance our online channels and recently
expanded our ‘last-mile’ freight fleet. We are growing our share of wallet by
cross-selling a range of products to existing customers. This has come to
life through new product growth, better segmentation and focussed sales
disciplines across our customer base.
In a challenging market, we
have further strengthened our
core business and customer
value add, resulting in
significant operating leverage,
while continuing to invest in
growth. We are well positioned
to maximise the opportunities
when demand returns.
Steel & Tube Annual Report 202411

Grow High Value Products and
Services
The value of our growth strategy is now proven and we
are actively exploring new opportunities. Our successful
introduction of aluminium and plate processing, acquisition
of Fasteners NZ and Kiwi Pipe & Fittings and more recently,
the purchase of Roadex leased and owned trucks, gives
us confidence in our direction. These growth investments
are performing well. They are helping increase our share of
wallet with existing and new customers, and are adding to
the value of our business for shareholders. In general, these
initiatives leverage our existing operating platform which
further strengthens our margins.
We have carefully managed our finances, which in turn
is allowing us to invest in new higher value products,
equipment and businesses. We have been able to invest
in M&A and organic growth at the bottom of cycle ‒ as
the market conditions become tougher, more owners
are looking to exit or sell. We have reviewed many
opportunities; however, we are very conscious that
any investment we make must deliver financial and
strategic value.
To support our growth, we have established a dedicated
Strategic Growth team. We continue to consider M&A
prospects, particularly small to medium sized bolt-on
acquisitions, and remain open to larger opportunities
should they arise.
Financial Performance
Steel & Tube delivered a solid FY24 financial performance
despite the adverse trading conditions.
The significant drop in demand across a range of sectors
as a result of economic conditions, drove a 21% reduction
in volumes to 115,535 tonnes, with revenue down 19%
to $479.1m (FY23: $589.1m). While volumes were down
as a result of the economic climate, market share was
maintained and average selling prices remained elevated.
Pleasingly gross margin dollars per tonne continued to
improve and was up to $901 per tonne (FY23: $850) as a
result of increasing customer share of wallet, strategic
focus on higher value products and services, and pricing
disciplines.
Cost reductions have offset inflation and supported resilient
operating profits, with normalised operating expenses
down $3.8m or 5.2% year on year.
Normalised earnings were in line with June 2024 guidance
with Normalised EBITDA of $35.8m (FY23: $52.9m) and
Normalised EBIT of $14.5m (FY23: $32.1m). The company
reported a net profit after tax of $2.6m which includes
one-off and non-trading costs.
With good cash reserves and no borrowings, our strong
balance sheet provides resilience in difficult times, the
ability to continue to pay dividends to shareholders
and the opportunity to grow through organic and M&A
investments. Inventory levels have been reduced in line
with activity and were down $17.9m, or 12.9%, year on year.
We have managed inventory carefully to ensure best use
of working capital and continue to shift our investment
towards higher margin products. Cashflows remained
strong with high cash collections in a softened operating
environment. Net cash was $8.7m at year end, providing
capacity for investment into capital initiatives and growth
opportunities.
Shareholder Returns
Reflecting market conditions, the board has declared a final
dividend of 2.0 cents per share, fully imputed. This takes full
year dividends to 6.0 cents per share, representing a gross
yield of 9.7%. The payout is above our policy guidelines
of 60% to 80% of Adjusted NPAT and reflects the board's
continuing confidence in the company’s future.
Earnings per share are 1.6 cents, with Net Tangible Assets
per share at $1.11.
We continue to engage with the market to demonstrate
the value of our strategy, the resilience and strength of our
business and our ability to deliver value for shareholders
including an attractive dividend yield.
Acknowledgements
Our ongoing success would not be possible without our
loyal customer base and wonderful team.
We are very proud of what our people have achieved this
year, working together to support each other and deliver on
our strategic priorities. They have worked hard to create an
exceptional workplace culture and deliver for our customers,
and our employee engagement score is close to industry
leading.
We would also like to thank our suppliers and business
partners for their support, as well as our shareholders for
their trust and commitment.
Steel & Tube Annual Report 202412

Sustainability
We have continued to take action on creating a sustainable
business, with initiatives focussed around our four pillars.
We are constantly looking at ways we can ‘do business
better and smarter’ to support our environmental and
societal goals. At all times, we ensure that we are operating
to the highest ethical, environmental and corporate
governance standards possible.
Following on from our disclosure last year, this year
Steel & Tube will be reporting for the first time under the
Aotearoa New Zealand Climate Standards. Our climate-
related disclosures will be published as a separate document
by 31 October 2024 and will be available at steelandtube.
co.nz/sustainability#disclosures.
Sector Outlook
The longer term macro trends are positive for steel. It is one
of the most essential and often the only product for many
construction needs. It is also a sustainable building product
– permanent, forever reusable and the most recycled
substance on the planet.
We see a significant opportunity in infrastructure and
climate resilience. The Government is forecasting a spend
of more than $68b in infrastructure work over the next
five years which provides a real opportunity for us – this
includes roading projects, regional infrastructure, rebuild of
communities following Cyclone Gabrielle and the Auckland
floods, and KiwiRail. Other areas of growth include health,
water, energy generation and climate resilience. There
is a big pipeline of work ahead and Steel & Tube is well
positioned to capitalise on this.
Looking Forward to FY25
Our dual pathway strategy is now proven and we will
continue to build on this in the coming year, strengthening
our core and investing in high value products and services.
While the timing and pace of an economic recovery remains
unclear, our expectation from our customer mix is that we
are near the bottom of the cycle and should start to see
conditions improve in the 2025 calendar year.
We are successfully navigating the challenging trading
environment and are well positioned for demand growth
when it returns – our market share is strong, we have a loyal
customer base and we have quality inventory meaning we
can provide the products and solutions we know people will
want and need when their projects start up again.
The macro-trends for our sector remain strong, our dual
pathway strategy is delivering tangible and valuable results
and we have a lean and efficient operation.
On behalf of all the team at Steel & Tube, we would like to
thank our shareholders for your continued support. We look
forward to a strong future together.
Susan Paterson Mark Malpass
Chair Chief Executive Officer
Steel & Tube Annual Report 202413

Last-mile excellence
Steel & Tube’s strategic acquisition of owned and leased trucks from Roadex is yielding significant benefits.
The ‘last-mile’ initiative is exceeding expectations, driving improved service delivery, operational efficiencies
and positive earnings. The rebranding process is well underway and creating a powerful brand identity that
resonates with our customers. Our dedicated drivers are committed to providing outstanding last-mile
service, exceeding customer expectations at every turn.
Steel & Tube Annual Report 202414

5 Minutes with
Marc Hainen GM Strategic Growth
Steel & Tube is focussed on growth, under its strategic pillar
to Grow High Value Products and Services. Long serving
executive, Marc Hainen, has recently been appointed
to lead a dedicated Strategic Growth team. Marc was
previously GM Distribution.
What is the rationale for the Strategic
Growth team?
Strategic growth is about going deeper or wider in
high value areas to create value and scale, as well as
improving our mix of added value vs commodity products.
We know scale in our business can drive significant earnings
improvement and by adding value for our customers, we
can generate increased revenue and margins. Ultimately
our goal is creating shareholder value.
Our recent success in several new organic areas such as
aluminium, plate processing and more recently freight
services, as well as acquisitions of Kiwi Pipe & Fittings and
Fasteners NZ has given us the conviction that, done well,
these can become a material part of our group. All of these
have created significant value and are positive contributors
to the overall business. With our balance sheet strength,
we are in a great position to really build on this base.
Tell us about the process you work
through to assess deals?
We have developed a systematic approach to all our growth
initiatives. This has a series of gates to pass through at each
stage. The starting point is usually an evaluation of the initial
opportunity against our criteria and moves through to the
actual acquisition, integration, and ongoing review against
the expected outcomes. We have a range of criteria – these
are a mix of financial, such as investment returns, but also
strategic rationale which take into consideration the fit with
our overall business objectives, our ability to operate and
add value under Steel & Tube ownership, as well as various
compliance criteria.
The economy is at the bottom of the
cycle. Is now a good time to be investing
in growth?
We believe our criteria should be agnostic to cycle – the
financial and strategic rationale should be consistent no
matter how the economy is trending. Having said that, most
people would consider that we are more likely to be able
to get good value at a low market point. When we model
potential targets or growth initiatives, we project economic
trends through multiple years, so these movements are fully
understood.
How do you prioritise organic vs M&A
growth?
This is an important consideration. Organic is usually our
default as risks tend to be lower. M&A is considered where
we see an opportunity to create value rapidly and more
effectively than organic growth initiatives alone.
What are the main types of businesses
you’re interested in?
Typically, these are New Zealand based, although we
would also consider Australia once we have exhausted
New Zealand opportunities. Ideally, they have a
commonality of customer base with our existing business,
have good industry structures, can fit within our existing
business ownership and are logical extensions or deepening
of existing positions. We also consider the risks and value
we can create through our ownership and whether the
business is in a growth segment of the market.
James Campbell, Marc Hainen, Rosey Addenbrooke, Brendan Smith
15

Normalised EBITDA and Normalised EBIT have been adjusted to exclude non-trading adjustments and unusual transactions. See reconciliation and more details on page 44.
Our Businesses
Steel & Tube operates under two divisions, each of which
comprises high quality brands, products and services.
Total Group Revenue $479.1m
Revenue
58%
42%
Total Group EBIT $9.6m
EBIT
23%
77%
Distribution
Infrastructure
Distribution Carbon steel / Stainless steel / Fasteners / Aluminium
Products sourced from preferred steel mills and distributed through our national network
890
852
826
Revenue ($m)
FY24
FY23
FY22
EBIT ($m)
FY24
FY23
FY22
2.2
21.2
40.1
Gross Margin $/Tonne
FY24
FY23
FY22
276.8
356.3
383.4
Infrastructure Rollforming / ComFlor/CFDL / Reinforcing & Wire Products
Processed before sale, typically on a contract or project basis, including onsite installation service
Revenue ($m)
FY24
FY23
FY22
EBIT ($m)
FY24
FY23
FY22
Gross Margin $/Tonne
FY24
FY23
FY22
667
1,010
913
202.3
232.8
215.7
7. 4
9.9
7. 5
Steel & Tube Annual Report 202416

Normalised EBITDA and Normalised EBIT have been adjusted to exclude non-trading adjustments and unusual transactions. See reconciliation and more details on page 44.
Our Distribution business is high
volume, lower margin. We source
products in bulk from preferred
steel mills and suppliers, and then
distribute in smaller quantities to
more than 14,000 active customers
through our national network.
The challenging economic headwinds seen in 2H23 gained
further momentum in FY24. Demand softened across all
sectors, particularly in construction, as well as engineering
and manufacturing.
The team has focussed on controlling the controllables,
with average selling price holding steady despite market
contraction, competition and pricing volatility. Margin
dollars per tonne have also remained constant due to a
higher value mix of products and pricing disciplines.
Growth investments into new products and businesses are
performing well, with purchases often made by existing
customers. Where possible, we utilise our existing operating
platform, often optimising spare capacity, resource and
expertise. Our latest investment into the expansion of our
specialised steel delivery fleet demonstrates our focus on
customers, providing us with greater control over the final
delivery of product to our customers.
+
The demand for aluminium continues to increase
and Steel & Tube’s market share has grown
strongly in just 15 months. We are continuing to
expand the range with new products expected
to support further growth in this high margin
category
+
Kiwi Pipe & Fittings (fire reticulation) is performing
strongly, with increased market share and an
expanded national presence which leverages our
national network
+
Plate processing volumes have grown as
has market share, although competition has
increased in the commodity sector of the market.
Steel & Tube is differentiating itself through its
high quality service offer. New equipment was
commissioned in Christchurch in April 2024 and
is off to a good start
+
Demand for stainless steel and engineering steel
has been maintained despite the softer market
+
Our Project Strong investment in palletised
warehousing is nearing completion, and is
increasing our capacity for high value, high
demand products
The team has focussed
on controlling the
controllables, with
average selling price
holding steady despite
market contraction,
competition and
pricing volatility.
Distribution
Daryll Maiden | Acting GM Distribution
Steel & Tube Annual Report 202417

Our ability to provide
customers with a one
stop shop for all their
steel requirements allows
for better management,
quality control and
customer outcomes.
Infrastructure
Reinforcing Peter Ensor | GM Reinforcing and Major Projects
The reinforcing business supplies
reinforcing steel, mesh and
ComFlor (a composite steel decking
product). CFDL is the home of
ComFlor composite steel decking,
providing sales, technical advice and
specialised installation services.
The slowdown in the economy in addition to the election
of a new Government in late 2023, has had a direct impact
on investment in central and local infrastructure over
the last year. Higher interest rates are also leading to less
commercial and residential development activity.
Our team has been focussed on building our customer
share of wallet. Reinforcing is installed at the start of a
project, providing the opportunity to encourage providers
to use Steel & Tube products throughout the build process.
Our ability to provide customers with a one-stop-shop for
all their steel requirements allows for better management,
quality control and customer outcomes.
A new Major Projects team structure has been introduced
to manage the process and support relationships with
these important customers.
We have also continued to invest in our business.
The Wellington fabrication facility has been expanded
with new equipment to meet growing demand in the
lower North Island. By prefabricating reinforcing at our
sites, we can lower costs, improve safety and quality
outcomes, and speed up the overall construction process.
We also invested in a new threading machine in Auckland,
which allows us to prefabricate threaded bars before
installation, delivering cost savings and reducing waste.
Steel & Tube Annual Report 202418

When Pacific Building Services (PBS)
was contracted to supply and install
fire services for a vast 10,000m²
warehouse complex at 69 Mclaughlins
Rd, Auckland, they sought a partner
as reliable and sturdy as the structure
they were working on.
Kiwi Pipe & Fittings was the natural
choice. With a tight timeframe and
budget, our team worked in tandem
with PBS Project Managers to deliver
an efficient and cost-effective
solution. Approximately 3km of
sprinkler pipe, in various sizes, was
able to be meticulously installed,
along with a complement of fittings,
valves, pipe supports, and sprinklers
themselves. The result is two state-
of-the-art warehouses, shielded by
a fire protection system that stands
as a beacon of safety and our shared
dedication to excellence.
Bringing the
best in fire safety
Steel & Tube Annual Report 202419

Rollforming Peter Reiber | GM Rollforming
The rollforming business comprises
roofing, coil and purlins, and the
manufacture of ComFlor composite
steel decking which is sold through
Steel & Tube’s CFDL business.
It was a positive although challenging year for the
rollforming business with Steel & Tube holding market
share in a very competitive market. Our expertise and
focus on quality service are valuable advantages in this
environment, allowing us to manage both prices and
margin. Further improvements have been made to the
customer service team, sales competencies and processes
to ensure we continue to offer the best possible experience.
We have seen good customer growth, including a number
of larger organisations choosing to use Steel & Tube ahead
of other suppliers.
We are investing in new manufacturing equipment that
offers greater flexibility, reliability and efficiency, and
allows us to bring new products to market.
As one of the last products to be installed in a building
project, roofing performed strongly during the year as
construction projects that began earlier in the cycle came
to completion. However, weaker activity in both the
residential and commercial sectors since early in the 2024
calendar year, will result in a softer pipeline of forward
work. New roofing profiles are being introduced, as well as
a focus on Warm Roof product, which add more high end
and unique products to the range. We were also pleased to
continue our partnership with Kāinga Ora, securing a new
contract for roof replacement as part of maintaining their
current housing stock.
Coil, purlins and sheet sales operated within challenging
market conditions and experienced a drop in volume
compared to FY23. The commercial project space has
faced project deferrals and delays and remains competitive.
A new purlins machine will be commissioned in FY25,
which will increase capacity and flexibility.
The team is continuing to focus on internal processes and
resourcing and is well prepared for demand when activity
levels improve.
Our expertise and
focus on quality
service are valuable
advantages in
this environment,
allowing us to
manage both prices
and margin.
Steel & Tube Annual Report 202420

From the Ground Up
The Waikato Regional Theatre represents an arts-
led urban regeneration project for Hamilton that
will reconnect the city with the Waikato River.
Architecturally designed by Jasmax, this centre
for the arts will encourage creative innovation by
accommodating a wide range of activities and
events. Steel & Tube has been involved across the
construction of the theatre, working with partners
and contractors to supply quality steel products
from the ground up.
Helping to ensure the resilience and safety of the
theatre is KOROK® Building Systems NZ, a leading
manufacturer of high-performance fire and
acoustic rated wall systems. KOROK partners with
Steel & Tube for their high-quality steel products,
integrating these into their system offerings to
the market. Steel & Tube’s reliable quality supply
chain and exceptional service ensure that KOROK
manufactures and delivers to meet the stringent fire
and acoustic performance their clients require.
Steel & Tube Annual Report 202421

What Matters
Our goal is clear:
to maximise steel’s
contribution to a
sustainable and low
emissions society, whilst
continuing to grow our
business and deliver value
to our shareholders.
CUSTOMER
FIRST
C R E AT I N G A
SUCCESSFUL
& RESILIENT
BUSINESS
COMMITTED
TO HEALTH,
S A F E T Y,
QUALITY &
ENVIRONMENT
A WINNING
TEAM &
POSITIVE
COMMUNITY
IMPACT
Providing a one
stop shop for the
most essential
steel products, and
making it easier for
our customers to do
business with us
Always looking for
ways to work smarter,
and using technology
and great thinking
to pull it all together
and enable a better
business
Operating at the
highest levels to
de-risk our business
Building one great
team across Steel &
Tu b e
+
Customer
satisfaction and
service
+
Resilient supply
chain
+
Digital innovation
+
Financial
performance
+
Corporate
governance
+
Health & Safety
+
Climate change,
emissions and
environment
+
Product life cycle
and circularity
+
Human capital
management
+
Culture and
wellbeing
+
Diversity, equity
and inclusion
+
Community
engagement
We recognise that our achievements extend beyond
financial performance alone. Our aim is to operate our
business in a way that is positive for our people, our
customers and our planet while being financially rewarding
for our shareholders.
We have a values driven culture which provides the
foundation for how we operate our business, manage risk,
generate value and deliver on our ESG goals. While we had
an increased focus on environmental sustainability this
year, due to the introduction of the Aotearoa New Zealand
Climate Standards, we have also continued to support our
people and build a sustainable business.
Our actions are focussed around our four pillars, shown
below. You can read more on our actions in each of these
areas on the following pages, as well as in our Governance
Report on pages 32 to 43.
Steel & Tube Annual Report 202422

Customer First
Providing a one stop
shop for the most
essential steel products,
and making it easier for
our customers to do
business with us
Customer satisfaction and service
Making life easier for our customers is embedded in all we
do across the business, from how they communicate and
transact with our teams to the delivery of products.
Over the past year, we have worked to create a quality,
seamless experience for customers when they interact with
Steel & Tube. We have introduced specialised sales teams,
continued to enhance our online channels and recently
expanded our ‘last-mile’ truck fleet.
To assist our large customers further, we have introduced
a new role of GM Major Projects, to oversee large projects
from tender to completion. As companies become more
selective with their investments, a strong track record of
successful project completion becomes even more critical.
Our increased focus ensures we are well positioned to
capture attractive projects.
We use technology and data insights to gain a clear
understanding of our customers and enhance their
experience, from supply chain management to pricing
and inventory control. Technology is also helping
reduce our cost to serve.
With the introduction of new higher value products and
services, we have focussed our efforts on increasing our
share of wallet from existing customers, providing them
with more of their steel and metal needs.
In a competitive market environment, we know that if we
provide great service and quality products, we will build
scale. Our sales team of more than 100 people across
our business are working hard to build relationships and
maximise what our customers buy from Steel & Tube.
FY24 Highlights
+
Expanded reinforcing fabrication facility in
Wellington to meet the growing customer base
in the lower North Island
+
Introduction of new brands, products and
services including in freight, roofing, aluminium,
road barriers and seismic systems
+
Digital CAD modelling continues to provide
customers with efficiency and value creation
+
Invested in new equipment to add value and
provide further options for customers, such as
plate processing
+
Expert Customer Excellence (CX) team providing
advice and ensuring seamless order processing
and delivery. New structure introduced in FY24 to
provide greater engagement with key accounts
+
Invested in training and increased sales
competency and disciplines to allow for better
engagement with customers
+
Good customer growth with large organisations
increasingly using Steel & Tube ahead of other
providers
+
Continued to enhance the Webshop with new
tools such as order tracking
Steel & Tube Annual Report 202423

Creating a Successful and
Resilient Business
Always looking for ways
to work smarter, and
using technology and
great thinking to pull it
all together and enable
a better business
Resilient Supply Chain
We continually look at how we can source, transport,
store and deliver steel products more effectively. With the
slowdown in demand in FY24, we revisited our cost and
capacity and managed inventory to match market activity.
Shipping steel from international steel mills is a vital part of
our supply chain. We changed to a new international freight
forwarder from 1 July 2023, which has enabled better stock
control, cost efficiencies and traceability.
A major initiative in FY24 was Project Strong – a substantial
investment to significantly increase our palletised capacity
and improve efficiencies and customer service. This has also
allowed us to further optimise our last-mile deliveries across
different product streams and consolidate line haul costs
which assists in reducing carbon emissions.
The focus on last-mile was also seen in the recent
acquisition of Roadex assets, expanding our specialist steel
freight fleet. Freight services is an important part of our
service proposition and drivers are a key interface with
our customers. We have identified further opportunities
to improve our freight and route optimisation within
our network.
Digital Innovation
Technology is a key enabler for our business, providing
data, insights and management tools to help us run
our business more effectively, as well as improving our
customer experience and enhancing safety and quality.
In FY24, we completed an initial rollout of a new Warehouse
Management System and we are also using technology to
assist with inventory management, freight planning and
network design.
We are using Artificial Intelligence (AI) in various parts of the
business and looking at how we can further use AI tools to
help us do business better and smarter, particularly for tasks
that are labour or time intensive. For example, using image
recognition, warehouse staff can take a picture of a rack of
products and AI can calculate how many items there are.
This eliminates manual counting and saves valuable time.
With the acquisition of Roadex assets, we will be
investigating technology to provide additional benefits for
our customers, which will further differentiate our offer.
Our ecommerce platform remains an important channel
for customers who want to do business online and at
times that suit them. Around 320 customers log in every
day to research and order products, see when an item is
dispatched, view quotes and check on invoices.
Our digital platform also supports our team, with our online
training modules and wellbeing programme continuing
to be popular. Health, safety, quality and sustainability
performance is also enhanced by our ability to capture
data and use the insights to drive improvements across
our business.
Steel & Tube Annual Report 202424

Te Matapihi Central Library
The $189m Te Matapihi Central library refurbishment is well on track after construction
commenced in December 2022 to remediate the building to the highest standard. Working
with LT McGuinness, Steel & Tube has provided 1,400 tonnes of reinforcing steel and supplied
approx. 1,430m² of ComFlor composite steel decking, helping create a safe, resilient and
future-proofed library for the generations to come.
Steel & Tube Annual Report 202425

Committed to Health, Safety,
Quality and Environment
Operating at the highest
levels to de-risk our
business
Health and Safety
Health, safety and wellbeing is embedded into our culture
and our values. We are committed to ensuring our people
go home safe, every day and empower every team member
to contribute to a safe workplace and uphold high safety
standards. Our safety performance has significantly improved
over the past seven years, culminating in no employee medical
treatment injuries or employee lost time injuries in the last year,
a record for the company.
To achieve this, we have established comprehensive safety
programmes, fostered a culture of safety through open
communication and adhere to stringent equipment and
machinery safety standards. This year, we have introduced
additional safety protocols for team members working around
machinery and carried out training on these and other safety
protocols across the business. We have also expanded CCTV
coverage at key sites and installed new cameras and monitoring
software. Over the next year, we will be conducting a pilot
using AI alongside our CCTV network to better understand and
improve the safety of work being performed.
We believe in harnessing the power of our people and have
a number of tools which foster a culture of transparency
and safety awareness and create a platform for continuous
improvement. Our people are engaged with our safety
programme and are important contributors to keeping our
whole team safe and well.
We operate under a comprehensive Integrated Management
System that is certified to international standards in quality,
occupational health and safety and environment. This triple ISO
certification demonstrates our commitment to these priority
areas and ensures a robust approach to risk management.
Steel & Tube took a lead role in establishing the Steel
Construction New Zealand health and safety forum and we
continue to share learnings with others in our sector, to make
the industry a safer place to work.
Climate change, emissions and
environment
Steel & Tube is well positioned to respond to a low emission
future and we are supportive of New Zealand’s net-zero ambitions
by 2050. We are focussed on those things that we can control,
from the transport emissions of our fleet to energy use and the
reduction of waste produced during manufacturing in our plants.
The transition to a lower emissions economy brings both risks
and opportunities for Steel & Tube. For instance, the growing
interest in renewable energy projects, such as wind farms and
solar, aligns with Steel & Tube's proven expertise in this area.
We are mindful of the greenhouse gas emitted during
steel’s production and while we are closely monitoring new
technologies to decarbonise steel, we are conscious these
are still in the very early stages.
By taking proactive measures, we can contribute to a more
sustainable future for all. This approach is reflected in the
work we have done this year to strengthen our core with our
business not only being more cost efficient but also more
carbon efficient.
Product life cycle and circularity
One of Steel & Tube’s strengths is the quality and durability of our
products. We source our steel from independently audited and
verified steel mills and have a rigorous testing and compliance
programme. We continue to engage with our supply chain on
climate impact, improving the capture of the embodied carbon
in cradle to gate emissions. Our IANZ-accredited reinforcing steel
testing laboratory adheres to international standards, certifying
that our products comply with the New Zealand reinforcing steel
standard. This IANZ certification underscores our competence and
ability to produce valid results, instilling confidence in our work.
Steel is one of the world’s most essential and sustainable building
products – permanent, forever reusable and the most recycled
substance on the planet. On a cradle to cradle basis, steel’s
environmental performance compares favourably to other
materials such as timber.
Extending the life of a structure enables more value to be
extracted from the resources invested to build, operate and
maintain it. Steel’s thermal mass properties keep buildings cooler
in summer and warmer in winter, reducing the reliance on air
conditioning and heating.
In New Zealand, it is estimated that around 85% of steel from
demolition sites is returned to steel mills for recycling. New Zealand
Steel’s new electric arc furnace (EAF), which is expected to be
commissioned in 2026, will increase the amount of scrap metal that
can be recycled into steel in New Zealand, and will use renewable
energy. This will provide businesses such as Steel & Tube with locally
made, low carbon steel.
Steel & Tube Annual Report 202426

A Winning Team and Positive
Community Impact
Building one great team
across Steel & Tube
Our People
Across the last year, in collaboration with our team, we
have refreshed our purpose and values. These provide our
people with a sense of belonging, encourage behaviour
that benefits our team and our business and have become a
guiding point for decision making. The strong engagement
of our team members is reflected in high engagement
scores, which are close to industry leading.
We continue to attract high quality talent and were pleased
to report increased employee retention at all levels of the
business.
This year, we have placed a considerable focus on helping
our leaders become more connected to our strategy – our
Leaders Forum was an investment in equipping our leaders
to better understand our direction, lead their own teams,
and create stronger networks across the country.
We are conscious of cost of living pressures on our people
and have initiatives to support them, including on-site
breakfast food, financial advisory and coaching services,
access to a range of discounts on household items, and
Steel & Tube’s Back to School fund to support families.
Our wellness modules remain a popular part of our online
training platform and we also offer free coaching services
through MyCoach which are focussed on overall wellbeing.
These cover topics ranging from sleep to nutrition and
budgeting.
Our Diversity & Inclusion team leads the way in creating
awareness campaigns across the country on matters
important to our people, with everything from Mental
Health awareness, Movember and Breast Cancer awareness
to Pink Shirt Day, International Women’s Day and Diwali.
We have a vibrant culture which is now recognised and
fostered as a core strength of Steel & Tube.
Community Engagement
We contribute to our communities with the provision of
jobs and employment opportunities for younger people
through our cadetships, and support for a range of
government and not-for-profit organisational initiatives to
increase employment for disadvantaged youth. This has
involved hosting a number of site tours with school leavers
and unemployed job seekers to create awareness about
opportunities in construction and related industries.
We also provide educational support for families of our
team members through the First Foundation and our own
Steel & Tube scholarships for tertiary education.
Steel & Tube’s employee-led Kāpuia team continues to
shape our commitment to Māori, both for our people
and within the wider community. The advisory team has
been instrumental in leading the opening of Steel & Tube’s
Hamilton site with appropriate blessings and connections
to local hapu and iwi, creating a tradition of company-wide
Matariki shared lunches, and sponsoring the Annual
Turangawaewae Marae Junior Waka Ama regatta. A two day
strategy session at Kiwi House in Otorohanga, led by the
team and supported by management, also cemented
a longer term plan for Māori development priorities at
Steel & Tube.
Steel & Tube Annual Report 202427

Susan Paterson
Appointed 16 January 2017
Chair and Independent Director
ONZM, CFINSTD, MBA (LDN),
BPHARM
Susan was appointed Chair in Feb
2017. A professional director since
1996 Susan became an Officer of
the Order of New Zealand (ONZM)
in 2015 for her services to corporate
governance. Having trained and
practiced as a pharmacist, Susan
completed her MBA at London
Business School, then worked in
strategy and IT consulting and
management roles in New Zealand,
Europe and USA. She worked in the
steel sector at Fletcher Challenge
and was General Manager of
Wiremakers.
Andrew Flavell
Appointed 1 October 2021
Independent Director
NZCE, BE (HONS), ME, DR. ENG
Dr. Flavell has extensive international
experience in the information
technology space. This includes
leading large teams, driving
digital transformations, delivering
compelling consumer experiences,
personalization and loyalty, privacy
and security, and AI and machine
learning. In the roles he has held
over the past 30 years he has also
contributed significantly to risk
management and governance in the
application of digital technologies.
Steel & Tube’s board comprises six independent
directors, all of whom have significant relevant
industry and market experience, skills and
expertise that are of value to the company.
The board is committed to the highest standards
of corporate governance and ethical behaviour.
This is achieved through robust governance
policies, practices and processes to ensure a
culture that is open, transparent and focussed
on adding value for our stakeholders. This year’s
Corporate Governance report can be read on
pages 32 to 43.
The Board
Steel & Tube Annual Report 202428

Steve Reindler
Appointed 28 August 2017
Independent Director
BE MECH (HONS), AMP, FIPENZ,
CFINSTD
Steve is an engineer with a
background in large-scale
infrastructure and heavy industry
manufacturing. He has held senior
management roles at Auckland
International Airport, NZ Steel and
BHP Steel. Steve was inaugural
chairman of the Chartered
Professional Engineers Council and
a President of the New Zealand
Institution of Professional Engineers.
Chris Ellis
Appointed 29 September 2017
Independent Director
BE, MS, CMINSTD
Chris’ background spans the
manufacturing, heavy construction
and engineering sectors. He
qualified with a civil engineering
degree from the University of
Canterbury, a Master of Science
in civil engineering from Stanford
University and more recently
a senior executive program at
Wharton Business School. He is an
experienced, strategy-focussed
director with an extensive career
in the Australasian building
industry. He has held CEO roles
with Brightwater Group and at
Fletcher Building where he was Chief
Executive of the Building Products
Division.
Karen Jordan
Appointed 10 December 2020
Independent Director
BSOCSC, FCMA, CFINSTD

Karen is experienced across private,
public and not-for-profit sectors.
She is a Chartered Fellow of both the
IOD NZ and of CIMA. Karen has over
20 years' corporate experience in
FTSE listed energy companies in the
UK energy infrastructure sector. She
is currently a director on the Board
of Lyttelton Port Company and an
Independent Member of the NZDF
Risk & Assurance Committee.
John Beveridge
Appointed 14 August 2019
Independent Director
BA, POST GRAD BUSINESS
DIPLOMA, CMINSTD
John has held a range of senior
executive roles across a variety
of sectors including building and
industrial materials manufacturing,
distribution, finance and consumer
goods. John was most recently
the Chief Executive for the
building trade materials supplier,
Placemakers, and previously held
leadership roles at Godfrey Hirst,
Lion Nathan and Barclays Bank PLC.
He has an economics degree from
Otago University, Post Graduate
Marketing Diploma from Auckland
University and has completed
the Senior Executive program at
Columbia University, New York.
Profiles on each director can be viewed on our website at www.steelandtube.co.nz/corporate/board
Steel & Tube Annual Report 202429

Leadership Team
Steel & Tube’s leadership team is comprised of
individuals who are experts in their area and have
a proven ability to lead successful teams.
Peter Ensor
GM Reinforcing and Major
Projects
BE CIVIL (HONS)
Peter joined Steel & Tube in
2021. He brings extensive
construction experience with
over 20 years’ in the industry.
Peter brings to Steel & Tube
a successful track record of
leading and building teams
with a focus of health & safety,
quality, financial management
and customer engagement.
Peter is now Chair of the
Concrete NZ – Reinforcing
Processor’s Stakeholder Group.
Anna Morris
GM People and Culture
LLB, BA
Anna joined Steel & Tube in
2019. She is an experienced
executive with a background
in human resources, law and
corporate services. Anna has
worked extensively in the
construction and building
industry, with her previous
role being Head of People
& Performance at Fletcher
Construction Company Ltd.
Sam Reindler
GM Logistics & Distribution
Centres
BE MECH (HONS)
Sam started working with
Steel & Tube in January 2022
as the National Commercial
Manager for Reinforcing. He
brings extensive engineering
and construction, operational
and commercial experience
from companies such as
KiwiRail, Transport for London,
Auckland Transport and Waste
Management.
Peter Reiber
GM Rollforming
NZCE, MECHANICAL
Peter re-joined the Steel & Tube
team in 2022, building on over
20 years of industry and senior
management experience.
With a specialisation in process
improvement, leadership and
business development for
manufacturing and technology-
driven companies, Peter brings
a wealth of knowledge and
expertise to the role.
Mark Malpass
Chief Executive Officer
MBA, BE (HONS), NZCE
Mark has had significant
executive and governance
experience both in NZ and
overseas. He worked with
ExxonMobil Corporation
for over 19 years, previously
Managing Director of Mobil Oil
NZ, and was Chief Executive
of Fletcher Building’s largest
division, Infrastructure
Products. Mark was appointed
Chief Executive in February
2018, after initially being
appointed an Independent
Director in March 2017 and
then stepping down to take
on the interim CEO role in
September 2017.
Steel & Tube Annual Report 202430

Damian Miller
GM Quality, Health, Safety
and Environment
BN
Damian has over 30 years’
international experience in
Operations Management,
Quality, Health, Safety &
Environment, QA/QC, oil & gas
and the steel industry.
He has held various Operations
& Executive Management
positions in the US, Asia, Africa
and Latin America.
Richard Smyth
Chief Financial Officer
BCOM, FCA
Richard joined the company
in 2021. A Fellow Chartered
Accountant, Richard has
financial and senior level
leadership experience across
the entertainment and energy
sectors. He commenced his
career within PwC’s audit team,
working both in New Zealand
and overseas. His most recent
role was Deputy Chief Financial
Officer at SkyCity. Richard is
a board member of the New
Zealand Accounting Standards
Board.
Raffaella del Prete
Chief Digital Officer
BSENG, MSCENG, MRES
Raffaella joined the Steel &
Tube team in December 2023,
and brings over 20 years of IT
experience to the Chief Digital
Officer role. She has worked
in the UK, France and New
Zealand with global businesses
such as Vodafone, AIA, BP
and Fonterra, giving her
exposure to a diverse range of
businesses and technologies.
Her experience in leading
digital transformations along
with sustainable technologies
experience is an valued
addition to the Steel & Tube
team.
Marc Hainen
GM Strategic Growth
BBS, PGDIPBUS
Marc joined the company in
2017. He brings significant
experience in the steel and
construction industry in New
Zealand. Marc has a strong
background in sales and
marketing management,
operations and manufacturing
as well as logistics and supply
chain. He has held a variety of
management and leadership
roles in New Zealand, Australia
and the UK, including multiple
roles leading a variety of
divisions within Fletcher
Building Limited.
Daryll Maiden
Acting GM Distribution

Daryll has more than 25
years’ industry experience
and a wealth of indepth
knowledge across steel and
allied products. He joined
Steel & Tube in 2014 through
the acquisition of Tata Steel,
and has held numerous
branch, regional and national
leadership roles, most recently
as National Sales & Operations
Manager Distribution. He took
on the Acting GM Distribution
role in May 2024.
Profiles on each team member can be viewed on our website at www.steelandtube.co.nz/corporate/senior-management
Steel & Tube Annual Report 202431

Governance
Corporate governance at Steel & Tube is predicated on high standards of ethics and performance and is achieved through
robust governance policies, practices and processes to ensure a culture that is open, transparent and focussed on adding
value for our stakeholders.
The board regularly reviews Steel & Tube‘s governance structures and processes to identify opportunities for enhancement,
ensure they are consistent with best practice and reflect Steel & Tube’s operations.
The board believes that the company’s corporate governance framework materially complies with the NZX Corporate
Governance Code dated 1 April 2023 (the Code). A summary of Steel & Tube’s governance actions and performance against
each of the Principles in the Code is detailed on the following pages.
The information in this report is current as at 23 August 2024 and has been approved by the board of Steel & Tube.
1. Ethical Standards
1.1 Code of Ethics
We expect our directors and team members to act with integrity and professionalism and undertake their duties in
the best interests of the company, taking into account the interest of shareholders and other stakeholders. The board
has adopted a Code of Ethics, which is available on the company website and staff intranet. Steel & Tube’s policies also
include detailed standards of integrity, conduct and behaviour required of all employees. This forms part of the new
employee induction programme.
We encourage employees to speak out if they have concerns. The avenues for doing so are detailed in the company’s
Whistleblower Policy which is on the company website.
1.2 Insider Trading Policy
Steel & Tube has an Insider Trading Policy which, along with the Financial Markets Conduct Act 2013, imposes limitations
and requirements on directors and employees in dealing in the company’s shares. These limitations prohibit dealing in
shares while in possession of inside information and impose requirements for seeking consent to trade.
While there is no formal requirement to do so, all directors hold shares in the company either directly or through
affiliates.
Details of directors’ share dealings are set out on page 90 of this report.
2. Board Composition and Performance
2.1 Board Charter
The roles and responsibilities of the board are detailed in the Board Charter, which is reviewed at least every three years
and is available on the company website. The board’s primary objective is to enhance shareholder value and protect the
interests of other stakeholders by improving corporate performance and accountability.
The board has delegated authority for the day to day management of the business to the CEO and the wider senior
management team with specified financial and non-financial limits. A formal Delegated Authorities Policy documents
delegated authorities and is reviewed annually by the board.
2.2 Nomination and Appointment of Directors
Membership, rotation and retirement of directors is determined in accordance with the company constitution and NZX
Listing Rules.
The Nominations Committee has delegated responsibility from the board to make recommendations on board
composition and nominations, subject to the company constitution.
Directors will retire and may stand for re-election by shareholders at least every three years, in accordance with the
NZX Listing Rules. A director appointed since the previous Annual Shareholders’ Meeting holds office only until the next
Annual Shareholders’ Meeting but is eligible for election at that meeting.
Steel & Tube Annual Report 202432

Shareholders may also nominate candidates for election to the board. The board asks for director nominations each
year prior to the Annual Shareholders’ Meeting, in accordance with the company constitution and the NZX Listing Rules.
The board has developed a skills matrix and takes into account a number of factors including qualifications, experience
and skills when making directorship recommendations to the shareholders. The collective capability of the current
board is assessed against these requirements and the search then focuses on finding a board member who will best
complement the current mix of capabilities on the board.
Key information is provided to shareholders when a director stands for election or re-election.
2.3 Written Agreements
The company has written agreements with each director, outlining the terms of their appointment. The board is satisfied
that each director has the necessary time available to devote to the position, broadens the board’s expertise and has the
competencies to ensure the effective functioning of the board.
The company has arranged a policy of directors’ and officers’ liability insurance. This policy covers the directors and
officers so that any monetary loss suffered by them, as a result of actions undertaken by them as directors or officers, is
insured to specified limits (and subject to legal requirements and/or restrictions).
2.4 Director Information
As at the date of this report, the board comprises six independent directors, who have significant relevant industry and
market experience, skills and expertise that are of value to the company.
The board considers director succession on a regular basis, considering such things as tenure, experience and director
workload.
Profiles of directors are available on the company website and are included in the Annual Report. Directors’ interests are
disclosed on page 89 of the Annual Report.
The board believes that the current directors offer valuable and complementary skill sets. Importantly, the majority of
Steel & Tube’s directors have either worked in or held governance positions within the sector.
Skills Matrix
Director ExpertiseHighModerate
Governance
•••••
Commercial
••••••
Financial Acumen (F&A)
••••••
M&A
•••••
Quality, Health, Safety, Environmental and Training
•••••
Business Turnaround
••••••
Steel Industry
••••
Manufacturing
••••
Construction/Infrastructure
••••
Logistics, Supply Chain & Procurement
••••••
Sales Marketing and Brand
••••
Digital Technology and Change
••••
People, Culture and Employee Relations
••••••
Steel⁴&⁴Tube Annual Report 202433

2.5 Diversity
Equality and diversity are cornerstones of our organisational culture. We believe that diversity at Steel & Tube is integral
to creating a collaborative workplace culture, competitive advantage and ultimately, sustainable business success.
Diversity provides us with a broad range of perspectives and experience that enhance the quality and depth of our
decision-making and helps create a united team approach across all levels of our organisation.
The board encourages diversity and will not knowingly participate in business situations where Steel & Tube could be
complicit in human rights and labour standard abuses. Our approach to diversity is outlined in the Diversity and Inclusion
Policy, which is available on the company website.
Measurable objectives form part of the People & Culture plan each year and they are agreed and approved by the
board. A number of initiatives are in place to support diversity and achievement of Steel & Tube’s diversity and inclusion
objectives. The board believes the principles in the policy were adhered to in FY24.
Key areas of focus are:
• Recruitment and retention of a diverse workforce
• Fair and consistent reward and recognition
• Flexible working arrangements
• Employee engagement
• Agreed standards of conduct and behaviour
Steel & Tube has a diverse workforce, representing 32 different ethnicities. English is a second language for many Steel &
Tube team members. To create a safe and supportive working environment Steel & Tube translates documentation into
different languages and provides safety training which also helps improve numeracy and literacy levels.
The officers of the company (as defined by the NZX Listing Rules for the purposes of diversity reporting) are the CEO
and specific direct reports of the CEO having key functional responsibility, namely the CFO. As at 30 June 2024, females
represented 25% of Directors and Officers of the Company (FY23: 25%).
As at 30 JuneFY24 FemaleFY24 MaleFY23 FemaleFY23 Male
Directors2424
Officers-2-2
Steel & Tube Annual Report 202434

Female representation at Steel & Tube
Board of Directors
Lead Team/Snr Execs
Overall Workforce
Management
20242023
33%
33%
20%
10%
28%
26%
28%
26%
2.6 Director Training and Education
Directors are encouraged to undertake appropriate training and education to ensure they remain current on how to
best perform their duties. In addition, management provides regular updates on relevant industry and company issues,
including briefings from senior executives. All directors are current members of New Zealand Institute of Directors.
All directors have access to executives to discuss issues or obtain information on specific areas in relation to matters
to be discussed at board meetings, or other areas as they consider appropriate. The board committees and directors,
subject to the approval of the board chair, have the right to seek independent professional advice at the company’s
expense, to enable them to carry out their responsibilities.
2.7 Board Performance and Review
The board monitors its own performance annually and from time to time commissions external reviews to assess the
performance of individual directors and the board’s effectiveness. An external review was last conducted in calendar
year 2021 and a review is being scheduled for FY25.
2.8 Director Independence
Director independence is determined in accordance with NZX Listing Rules and with regard to the factors described in
Table 2.4 of the NZX Corporate Governance Code. The board has determined that all current directors are independent
and have no disqualifying relationships.
Directors are required to notify the company of any interests they have that could impact an assessment of their
independence or their ability to act in the best interests of Steel & Tube. Steel & Tube has processes in place to manage
any conflicts of interest with directors.
2.9 Independent Chair
Steel & Tube’s chair is required to be an independent director and is elected by the directors. Susan Paterson was
appointed as chair in January 2017 and is deemed to be independent.
2.10 Separation of the role of Chair and CEO
The board supports the separation of the roles of chair and CEO. Steel & Tube’s CEO, Mark Malpass is not a director on
the Steel & Tube board.
Steel & Tube Annual Report 202435

3. Board Committees
The board has established several standing committees, each of which has a board-approved written charter
summarising the role, responsibilities, delegations and membership requirements.
Board committees assist the board by focussing on specific responsibilities in greater detail than is possible in board
meetings. However, the board retains ultimate responsibility for the functions of its committees and determines their
responsibilities. The board appoints the members and chair of each committee, with the committee chair reporting
committee recommendations to the board.
The board regularly reviews the charters of each board committee, the committees’ performance against those charters
and membership of each committee.
The board believes that committee charters, committee membership and roles of committee members comply with
recommendations in the Code.
Current membership of each of the board committees at 30 June 2024 is set out below.
CommitteeRoleMembers
Audit & RiskAssist the board in its oversight of the
integrity of financial reporting, financial
management and controls, external audit
quality and independence, and the risk
management framework
Karen Jordan (chair)
Steve Reindler
John Beveridge
Andrew Flavell
People & CultureAssist the board to establish and
maintain a strong governance framework
overseeing the management of the
company’s people, remuneration and
diversity policies
Steve Reindler (Chair)
Susan Paterson
Chris Ellis
NominationAssist the board in ensuring appropriate
board performance and composition and
in appointing directors
Susan Paterson (Chair)
Steve Reindler
Chris Ellis
John Beveridge
Karen Jordan
Andrew Flavell
Quality, Health, Safety, Environment
and Training
Assist the board to meet its
responsibilities in relation to the
company’s Quality, Health and Safety
(H&S) and Environment policies,
procedures, and legislative compliance
Chris Ellis (chair)
John Beveridge
Karen Jordan
Steel & Tube Annual Report 202436

The table below sets out committee member and director attendance at board and committee meetings during FY24.
Board meetings are scheduled throughout the year, with other meetings to deal with certain matters arising from time
to time being held when necessary.
Board/CommitteeBoardAudit & RiskPeople & CultureNominationQHSET
Total Number of Meetings104214
Susan Paterson103214
Steve Reindler10421-
Chris Ellis10-214
John Beveridge104-14
Karen Jordan104-12
Andrew Flavell104-1-
3.1 Audit & Risk Committee
The board has an Audit & Risk committee which acts as a delegate of the board on financial reporting, internal control
and risk management issues. There are a minimum of three members, who are all independent directors.
The committee is currently made up of four independent directors. The chair of the committee, Karen Jordan, is not
the chair of the board, is independent and has significant accounting and financial expertise. The remaining committee
members have a range of qualifications and are all experienced in commercial and operational matters.
The role and responsibilities of the committee are detailed in a written charter which is available on Steel & Tube’s
website.
3.2 Management attendance at Audit & Risk Committee meetings
Management attendance at committee meetings is by invitation only.
3.3 People & Culture Committee
The People & Culture committee assists the board to establish and maintain a strong governance framework overseeing
the management of the company’s people, remuneration and diversity policies. All members of the committee are
independent directors, and it operates to a written charter which is available on Steel & Tube’s website.
3.4 Nomination Committee
The Nomination committee assists the board in ensuring appropriate board performance and composition and in
appointing directors. All members of the committee are independent directors, and it operates to a written charter
which is available on Steel & Tube’s website.
3.5 Quality, Health & Safety, Environment and Training Committee
The Quality, Health & Safety, Environment and Training committee assists the board to meet its responsibilities in
relation to the company’s Quality, Health and Safety and Environment policies, procedures, and legislative compliance.
All members of the committee are independent directors, and it operates to a written charter which is available on
Steel & Tube’s website.
Other Board Committees
Special purpose committees may be formed to review and monitor specific projects with senior management.
There were no other board committees formed during FY24.
3.6 Takeover Protocols
In the case of a takeover offer, Steel & Tube would follow its takeover protocols including forming an Independent
Takeover committee to oversee disclosure and response and to engage expert legal and financial advisors to provide
advice on procedure.
Steel⁴&⁴Tube Annual Report 202437

4. Reporting and Disclosure
4.1 Continuous Disclosure Policy
We are committed to keeping investors and the market informed of all material information about the company and
its performance, in a timely manner. In addition to all information required by law, we also seek to provide sufficient
meaningful information to ensure stakeholders and investors are well informed.
Steel & Tube is committed to providing accurate, timely, consistent and reliable disclosure of information to ensure
market participants have fair access to information that may impact on its share price. The company’s Continuous
Disclosure Policy sets out the principles and requirements of this commitment to timely disclosures.
4.2 Access to Key Governance Policies
Easy access to information about Steel & Tube, including financial and operational information and key corporate
governance policies and charters, is available through our company website at www.steelandtube.co.nz.
4.3 Financial Reporting
The board is responsible for ensuring that the financial statements give a true and fair view of the financial position of
the company and have been prepared using appropriate accounting policies, consistently applied and supported by
reasonable judgements and estimates. The board is also responsible for ensuring all relevant financial reporting and
accounting standards have been followed.
The Audit & Risk committee oversees the quality and integrity of external financial reporting, including the accuracy,
completeness, balance and timeliness of financial statements. It reviews Steel & Tube’s full and half year financial
statements and makes recommendations to the board concerning accounting policies, areas of judgement, compliance
with accounting standards, stock exchange and legal requirements, and the results of the external audit. All matters
required to be addressed, and for which the committee has responsibility, were addressed during the reporting period.
For the financial year ended 30 June 2024, the directors believe that proper accounting records have been kept
which enable, with reasonable accuracy, the determination of the financial position of the company and facilitate the
compliance of the financial statements with the Financial Markets Conduct Act 2013.
The Chief Executive Officer and Chief Financial Officer have confirmed in writing that Steel & Tube’s external financial
reports are presented fairly in all material aspects.
4.4 Non-financial Reporting
Steel & Tube has a commitment to ensuring that the company adds value for all its stakeholders, from shareholders to
staff and the communities the company operates in, as well as reducing the environmental impact of the company’s
activities. Steel & Tube believes it is the company’s corporate responsibility to ensure the company plays its part in
making the world a better place.
We have identified environmental, social and governance (ESG) principles which we believe will enhance Steel &
Tube and support our growth. Oversight of ESG is set out in Steel & Tube’s Sustainability Policy. Steel & Tube’s Group
Sustainability Manager leads the company’s sustainability practices. Independent director, John Beveridge has been
appointed to lead the board in relation to sustainability matters.
Steel & Tube will be reporting for the first time under the Aotearoa New Zealand Climate Standards. Our Climate-related
Disclosures will be published as a separate document by 31 October 2024 and will be available at steelandtube.co.nz/
sustainability#disclosures.

Steel & Tube Annual Report 202438

5. Remuneration
Remuneration of directors and senior executives is the key responsibility of the People & Culture Committee.
The framework for the determination and payment of directors and senior executives’ remuneration is set out in
Steel & Tube’s Remuneration Policy. External advice is sought on a regular basis to ensure remuneration is
benchmarked to the market for senior management positions, directors and board committee positions.
Details of director and executive remuneration in FY24 are provided on pages 86 to 88.
5.1 Directors’ Remuneration
Shareholders fix the total remuneration available for directors. Approval is sought for any increase in the pool available
to pay directors’ fees, and any recommendations to shareholders regarding director remuneration are provided for
approval in a transparent manner. If independent advice is sought by the board, it will be disclosed to shareholders as
part of the approval process.
The last increase in director remuneration was approved by shareholders at the Annual Meeting in September 2022,
for a total fee pool of $642,500. Board policy is that no sum is paid to a director upon retirement or cessation of office.
While there is no formal requirement to do so, the directors are expected to hold shares. Currently, all directors hold at
least 1000 shares in the company either personally or through affiliates.
Directors’ share dealings and interests in the company are detailed on pages 89 to 90.
Remuneration for each board role as at 30 June 2024 is as follows. Specific payments made to each director during FY24,
as well as other related information, is set out in the Remuneration Report on page 86.
Chair$165,000
Director$ 8 7, 5 0 0
Committee Chair – Audit & Risk, QHSET$15,000
Committee Chair – People & Culture$10,000
5.2 and 5.3 Executive and CEO Remuneration
Steel & Tube’s executive remuneration policies and practices are designed to attract, retain and motivate high calibre
people and create a performance-focussed culture. Details of executive and CEO Remuneration are set out in the
Remuneration Report on pages 86 to 88.
6. Risk Management
6.1 Risk Management Framework
Steel & Tube’s ability to deliver appropriate returns to its shareholders requires successful execution of business strategy
and the elimination, reduction and mitigation of associated risks. We apply effective risk management principles across
our Business Units to ensure risk is identified, assessed, categorised and ranked to allow the business to understand
its risks.
The board has overall responsibility for the establishment and oversight of the group’s risk management framework.
The board is responsible for overseeing and monitoring significant business risks and overseeing management’s
processes to mitigate the identified risks.
Key risks are owned by members of the executive leadership team. This promotes integration into operations and
planning and a culture of proactive risk management. Management regularly reports to the board on significant
business risks and treatments for those risks. Legislative compliance is monitored across each business unit through
Quantate compliance management survey.
The company is exposed to risks from a number of sources, including operational, strategic, economic and financial
risks. Steel & Tube’s risk management framework incorporates policies, procedures and appropriate internal controls
to identify, assess and manage areas of significant business and financial risks.
Steel & Tube Annual Report 202439

Key risks are assessed on a risk profile identifying the likelihood of occurrence and potential severity of impact;
and are managed with a focus on decreasing the risk likelihood and minimising the risk impact should it occur.
Steel & Tube maintains insurance policies that it considers adequate and practicable to meet its insurable risks.
Key risk areas include:
Key RiskDescriptionMitigation
Maintenance of Steel & Tube’s
values and culture
Deviation from the company’s core
values and culture could lead to
ethical and reputational issues
• Unified purpose focussed on making
life easy for customers
• Regular communication and
reinforcement of the company's
values and culture through
inductions, training and workshops
• Monitoring of employee engagement
surveys and controls environment
Strategy executionIneffective implementation of
strategic initiatives leading to
sub-optimal performance and
competitive disadvantage
• Clearly defined strategic goals with
measurable objectives and key
performance indicators (KPIs)
• Clear responsibilities and
accountability for strategy
implementation
• Regular progress monitoring and
corrective actions to address
deviations from the plan
Quality of productsRisks associated with the production
and supply of substandard or faulty
products, leading to customer
dissatisfaction and potential product
under-performance and/or legal
liabilities
• Robust quality control processes
throughout the production chain
• Regular product testing to rigorous
standards
• Independent audits of supplier mills
• Internal audits and ISO certification
and compliance
• Maintaining compliance with industry
standards and regulations
Economic environment and
trading conditions
Exposure to economic fluctuations
impacting demand, pricing, and overall
financial performance
• Diversification of product offerings
and customer base to reduce
dependency on specific sectors
• Regular economic analysis and
scenario planning to anticipate and
respond to market changes
• Syndicated bank debt facility
• Active financial stewardship
Steel⁴&⁴Tube Annual Report 202440

6.2 Quality, Health, Safety and Environment
The board is committed to ensuring a safe and healthy environment for all Steel & Tube people and anyone in the
company’s workplaces. Ensuring Steel & Tube employees and contractors go home safely every day is our number
one priority.
The board is responsible for ensuring that the systems used to identify and manage health and safety risks are fit for
purpose, being effectively implemented, regularly reviewed and continuously improved. A mix of lead and lag indicators
are reported, and safety performance is tracked to identify patterns to help prevent incidents. Health and safety is
reviewed at each board meeting and the chair of the QHSET committee regularly provides updates to the board on
committee proceedings.
201920202021202220232024
Safety TRIFR1.54.91.861.131.140.00
Steel & Tube’s aim is to be the preferred New Zealand supplier for steel products and solutions and our expert
people play an important role in that, sharing their knowledge and experience with customers. Ensuring the quality
of Steel & Tube’s products remains a critical focus and an extensive Quality Management Programme is in place and
overseen by the General Manager Quality, Health, Safety and Environment.
More information on our approach to Quality and Health & Safety is outlined on page 26.
Steel & Tube Annual Report 202441

7. Auditors
7.1 External Audit
Steel & Tube’s External Auditor Independence Policy outlines our commitment to ensuring audit independence, both in
fact and appearance, so that Steel & Tube’s external financial reporting is viewed as being highly objective and without bias.
For the year ended 30 June 2024, KPMG was the external auditor of Steel & Tube. KPMG was first appointed as auditor
in 2021 for the audit of the year ended 30 June 2022, with the next lead partner rotation due no later than after the
completion of the 30 June 2026 audit.
The Audit & Risk Committee monitors the ongoing independence, quality and performance of the external auditors and
monitors audit partner rotation. The committee pre-approves any non-audit work undertaken by the external auditors.
In FY24, KPMG provided non-audit services relating to pre-assurance of Greenhouse Gas Emission disclosures. The fees
paid for audit services in FY24 is identified in Note E4 of the Financial Report.
KPMG has provided the Steel & Tube board with written confirmation that, in their view, they were able to operate
independently during the year.
7.2 Attendance at Annual Meeting
It is Steel & Tube’s practice that the external auditors attend the Annual Shareholders' Meeting each year and are
available to answer questions from shareholders relevant to the audit.
7.3 Internal Audit
Steel & Tube operates an outsourced internal audit function, which reports to and is monitored by the Audit & Risk
Committee.
The committee approves the annual internal audit plan, receives internal audit review reports on the adequacy and
effectiveness of Steel & Tube’s internal controls and monitors the implementation of recommendations arising from the
internal auditor’s review findings.
During FY24, BDO acted as the company’s outsourced internal audit provider.
Steel & Tube Annual Report 202442

8. Shareholder Rights and Relations
8.1 Investor website
Easy access to information about the performance of Steel & Tube is available through the Investor Centre on the
company’s website at www.steelandtube.co.nz/investor-centre.
8.2 Engagement with shareholders
We are committed to open and regular dialogue and engagement with shareholders. Steel & Tube’s investor relations
programme includes semi-annual post-results briefings with investors, analysts and investor meetings, and earnings
announcements. In addition, we release semi-annual Shareholder Newsletters as part of our initiative to keep
shareholders informed about the business and the contribution our company makes to New Zealand’s economic
development and prosperity. The programme is designed to provide shareholders and other market participants the
opportunity to obtain information, express views and ask questions.
Shareholders are encouraged to communicate with the company and its share registry electronically. Approximately
66% of Steel & Tube’s shareholders have opted for email communications.
We endeavour to make it easy for shareholders to participate in Annual Shareholders’ Meetings, which are held in a
main centre, streamed live online and recorded and posted on the company website. Shareholders can ask questions
and express their views to the board, management and the external auditors at Annual Shareholders’ Meetings.
In 2023, 12 shareholders attended the meeting in person, with a further 30 shareholders joining online.
In addition to shareholders, Steel & Tube has a wide range of stakeholders and maintains open channels of
communication for all audiences, including the investing community and the New Zealand Shareholders’ Association,
as well as its staff, suppliers and customers.
8.3 Voting on major decisions
The board considers that shareholders should be entitled to vote on decisions that would change the essential nature of
Steel & Tube’s business. The board adopts the one share, one vote principle, conducting voting at shareholder meetings
by poll.
Shareholders are also able to vote by proxy ahead of meetings without having to physically attend those meetings.
8.4 Equity offers
Steel & Tube did not undertake any capital raising during FY24. Should Steel & Tube consider raising additional capital,
we will structure the offer having regard to likely levels of shareholder participation and optimising and enhancing the
ability to maximise the level of capital raised. The board will look to give all shareholders an opportunity to participate
in any capital raising.
8.5 Notice of meeting
We aim to provide at least 20 working days of the notice of the Annual Shareholders Meeting, which is posted on
Steel & Tube’s website, announced on the NZX and sent to shareholders prior to the meeting each year. This goal
was achieved in 2023.
Steel & Tube Annual Report 202443

Non-GAAP Financial Information
Steel & Tube uses several non-GAAP measures when discussing financial performance. These include Normalised EBITDA, Normalised
EBIT and Working Capital. Management believes that these measures provide useful information on the underlying performance of
Steel & Tube’s business. They are used internally to evaluate performance, analyse trends and allocate resources. Non-GAAP financial
measures should not be viewed as a substitute for measures reported in accordance with NZ IFRS.
Non-Trading Adjustments/Unusual Transactions
The financial results for FY24 include transactions considered to be non-trading in either their nature or size. Unusual transactions
can be as a result of specific events or circumstances or major acquisitions, disposals or divestments that are not expected to
occur frequently. Excluding these transactions from normalised earnings and can assist users in forming a view of the underlying
performance of the group.
EBITDA/EBIT
EBITDA is Earnings/(Loss) before the deduction of interest, tax, depreciation and amortisation. EBIT is Earnings/(Loss) before the
deduction of interest and tax. These are both non-GAAP financial measures.
Earnings before interest, tax, other gains and losses and impairment represents operating profit for the year before other gains and
losses, impairment and deduction of interest and tax. Earnings before interest, tax and impairment represents operating profit for
the year including other gains and losses before impairment and deduction of interest and tax. Management believes that these
additional measures provide useful information on the underlying performance of the group’s business.
Normalised EBITDA/EBIT
This means EBITDA/EBIT excluding non-trading adjustments and unusual transactions. FY24 EBITDA was impacted by non-trading
adjustments totalling $4.4m and FY24 EBIT was impacted by non-trading adjustments totalling $4.9m. Management believes that
normalised measures provide a more appropriate measure of Steel & Tube’s performance and more useful information on the
normalised earnings of the company.
Working Capital
This means the net position after current liabilities are deducted from current assets. The major individual components of working
capital for the group are inventories, trade and other receivables and trade and other payables. How the group manages these has
an impact on operating cash flow and borrowings.
EBITDAEBIT
Reconciliation of Reported to Normalised Earnings
FY24

FY23FY24

FY23
Year Ended 30 June$000$000$000$000
Reported 31,415 51,876 9, 5 69 31,009
Project Strong costs
1
2,701 - 3,192 -
Software as a Service (SaaS) expenditure 1,144 1,109 1,144 1,109
Business restructuring costs 550 - 550 -
Loss on de-recognition of finance lease receivable - 128 - 128
NZ IFRS 16 reversal of impairment - (177) - (177)
Normalised 35,810 52,936 14,455 32,069
1
Project Strong is a board approved integrated transformation project and involves increasing our palletised warehouse capacity, improving our service offering and increasing our
productivity. It includes exiting the Avondale site, increasing palletised product at Bruce Roderick Drive site and optimising processing across Auckland.
Costs included additional labour, relocation costs, temporary storage, accelerated depreciation and other items.
This project will be completed during FY25.
Financial Measures
Steel & Tube Annual Report 202444

5 Year Financial Performance
20242023202220212020
$000$000$000$000$000
Financial Performance
Sales 479,126 5 89,078 59 9,14 8 481,043 4 1 7,9 2 3
EBITDA 31,415 51,876 66,598 38,614 ( 3 7, 2 3 6)
Depreciation and amortisation(21,846) (20,867) (18,962) ( 1 7,9 0 7 ) (20,458)
EBIT 9, 5 69 31,009 4 7, 6 3 6 20,707 (5 7, 6 9 4)
Net finance costs(5,769) ( 7, 2 3 9) (5,701) (5,754) (6,6 61)
Profit / (loss) before tax 3,800 23,770 41,9 3 5 14,95 3 (6 4, 3 5 5)
Tax (expense) / benefit(1,160) (6,7 7 3) (11,742) 418 4,342
Profit / (loss) after tax 2,640 16 ,9 9 7 30,193 15,371 (60,013)
Operating cash inflow / (outflow) 42,235 98,280 (34,117) 2 9, 3 3 2 3 9,6 0 6
Funds Employed
Equity 198,190 208,154 210,101 193,753 181,290
Non-current liabilities 98,961 86,509 83,788 92,023 106,084
297,151 294,663 293,889 285,7 76 2 8 7, 3 74
Comprises
Current assets 198,551 2 24,94 0 303,790 222,510 193,761
Current liabilities(56,658) (69,426) (13 9,9 7 1) (80,024) (58,87 1)
Working Capital 141,893 155,514 163,819 142,486 134,890
Non-current assets 155,258 13 9,149 130,070 143,290 152,484
297,151 294,663 293,889 285,7 76 2 8 7, 3 74
Statistics
Dividends per share (cents)
1
6.0 8.0 13.0 4.5 -
Basic earnings per share (cents) 1.6 10.3 18.3 9. 3 (36.4)
Return on Sales0.6%2 .9 %5.0%3.2%(14.4%)
Return on Equity1.3%8.2%14.4%7.9 %(33.1%)
Working Capital (times)
2
3.5 3.2 2.2 2.8 3.3
Net tangible assets per share $1.11 $1.17 $1.22$1.11$1.03
Equity to total assets56.0%5 7. 2 %48.4%53.0%52.4%
Gearing (debt to debt plus equity) - - 19. 5% - 5.2%
Net interest cover (times)
3
1.7 4.3 8.4 3.6 (4.9)
Ordinary shareholders 7,0 5 1 7, 2 6 9 7, 3 8 5 7, 5 2 8 8,036
Employees 858 851 829 799 884
-Female 239 221 224 201 192
-Male 618 630 605 598 692
-Gender diverse 1 - - - -
Directors & Officers
-Female 2 2 2 2 2
-Male 6 6 6 5 5
1
Dividends per share are calculated based on dividends issued in respect of the financial year
2
Calculated using current assets/current liabilities
3
Calculated as EBIT over net finance costs (including NZ IFRS 16 Interest costs)
Steel & Tube Annual Report 202445

46Steel & Tube Annual Report 2024

Financial Statements 2024 48
Statement of Profit or Loss and
Other Comprehensive Income 50
Statement of Changes in Equity 51
Balance Sheet 52
Statement of Cash Flows 53
Notes to the Financial Statements
Section A – Performance 54
Section B – Working Capital 61
Section C – Fixed Capital 66
Section D – Funding 71
Section E – Other 73
Independent Auditor's Report 82
General Information
Remuneration 86
Disclosures 89
Glossary 93
Directory 94
Financial
Report
47Steel & Tube Annual Report 2024

The Financial Report for Steel & Tube includes these sections:
· Financial Statements
· Performance
· Working Capital
· Fixed Capital
· Funding
· Other
Key Policy
Material accounting policies which are relevant to the understanding of the financial statements are highlighted throughout
the report.
Critical Accounting Estimates And Judgements
Preparation of these financial statements requires the exercise of judgements that affect the application of accounting policies, the
reported amounts of assets and liabilities, and income and expenses.
Estimates and judgements are continually evaluated, based on historical experience and other factors, including expectations of
future events that are believed to be reasonable under the circumstances. The group makes estimates and assumptions about the
future. Actual results may differ from these estimates.
Key Judgement
The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying value of assets
and liabilities within the next financial year are highlighted throughout the report.
General Information
Steel & Tube Holdings Limited (the company or Steel & Tube) is registered under the Companies Act 1993 and is a FMC Reporting
Entity under the Financial Markets Conduct Act 2013. The company is a limited liability company incorporated and domiciled in
New Zealand. The group comprises Steel & Tube Holdings Limited and its subsidiaries.
The registered office of the company is 7 Bruce Roderick Drive, East Tamaki, Auckland, 2013, New Zealand.
These financial statements have been prepared:
• In accordance with New Zealand Generally Accepted Accounting Practice (NZ GAAP), for which Steel & Tube is a for-profit entity
• To comply with New Zealand Equivalents to International Financial Reporting Standards (NZ IFRS) and with International Financial
Reporting Standards (IFRS)
• In accordance with the requirements of Part 7 of the Financial Markets Conduct Act 2013 and the NZX Main Board Listing Rules
(issued 24 May 2024)
• In New Zealand dollars (which is the company’s and subsidiaries’ functional currency and the group’s presentation currency) and
rounded to the nearest thousand dollars
• Under the historical cost convention, as modified by the revaluation of certain assets as identified in specific accounting policies
Financial Statements 2024
48Steel & Tube Annual Report 2024

Non-GAAP Financial Information
The group’s standard profit measure prepared under New Zealand Generally Accepted Accounting Practice (GAAP) is profit for
the period, or net profit after tax. The group also uses non-GAAP financial information which is not prepared in accordance with
New Zealand International Financial Reporting Standards (NZ IFRS) when discussing financial performance. The directors and
management believe that this non-GAAP financial information provides useful information to readers of the financial statements
to assist in the understanding of the group’s financial performance.
Non-GAAP financial information used in these financial statements are:
• Earnings before interest, tax, other gains and losses and impairment;
• Earnings before interest, tax and impairment; and
• Earnings before interest and tax (EBIT)
49Steel & Tube Annual Report 2024

Statement of Profit or Loss and Other Comprehensive Income
For the year ended 30 June 2024
Notes
2024
$000
2023
$000
Sales revenueA3 479,126 5 89,078
Other operating income 58 654
Cost of salesA2(3 75,014) (4 6 4,676)
Operating expensesA2(93,540) (9 3,17 3)
Software as a Service (SaaS) upfront expenditure(1,14 4) (1,109)
Earnings before interest, tax, other gains and losses and impairment 9,4 8 6 3 0,7 74
Other gains 83 58
Earnings before interest, tax and impairment 9, 5 69 30,832
Reversal of impairment of Right-of-use assetsC4 - 177
Earnings before interest and tax 9, 5 69 31,009
Finance incomeA6 575 405
Finance costsA6
(6, 3 4 4) ( 7, 6 4 4)
Profit before tax 3,800 23,770
Tax expenseA5(1,160) (6,7 7 3)
Profit for the year attributable to owners of the company 2,640 16 ,9 9 7
Items that may subsequently be reclassified to profit or loss
Other comprehensive income – hedging reserve(35) (551)
Total comprehensive income 2,605 16,446
Basic earnings per share (cents)A1 1.6 10.3
Diluted earnings per share (cents)A1 1.6 10.2
50Steel & Tube Annual Report 2024

Statement of Changes in Equity
For the year ended 30 June 2024
Share
capital
Retained
earnings
Hedging
reserve
Treasury
shares
Share-based
payments
Total
equity
Notes$000 $000 $000 $000 $000 $000
Balance at 1 July 2023 1 5 7,1 6 8 52 ,741 9 (2,896) 1,132 208,154
Comprehensive income
Profit after tax - 2,640 - - - 2,640
Other comprehensive income
Hedging reserve (net of tax) - - (35) - - (35)
Total comprehensive income/(loss) - 2,640 (35) - - 2,605
Transactions with owners
Dividends paid A1 - (13, 331) - - - (13, 331)
Employee share schemes D3 (2,062) - - 2,896 (9 3) 741
Shares gifted to employees D3 21 - - - - 21
Balance at 30 June 2024 155,127 42,050 (26) - 1,039 198,190
Balance as at 1 July 2022 156,669 54,770 560 (2,896) 998 210,101
Comprehensive income
Profit after tax - 16 ,9 9 7 - - - 16 ,9 9 7
Other comprehensive income
Hedging reserve (net of tax) - - (551) - - (551)
Total comprehensive income/(loss) - 16,9 9 7 (551) - - 16,446
Transactions with owners
Dividends paid A1 - (19,0 26) - - - (19,0 26)
Employee share schemes 499 - - - 134 633
Balance at 30 June 2023 1 5 7,1 6 8 52 ,741 9 (2,896) 1,132 208,154
51Steel & Tube Annual Report 2024

Balance Sheet
As at 30 June 2024
Notes
2024
$000
2023
$000
Current assets
Cash and cash equivalentsE6 8,699 6,481
Trade and other receivablesB2 58,912 69, 7 98
Contract assetsA4 4,9 2 5 9, 2 2 5
InventoriesB1121,320 139,158
Income tax receivable 4,640 -
Derivative assetsE6 55 278
198,551 2 24,94 0
Non-current assets
Loan receivableA6 1,532 -
Deferred taxA5 5,714 7, 0 74
Property, plant and equipmentC1 40,010 35,647
IntangiblesC2 12,665 13,523
Right-of-use assetsC4 95,337 8 2,9 0 5
155,258 13 9,149
Total assets353,809 364,089
Current liabilities
Trade and other payablesB341,022 49,0 2 5
Income tax payable - 5,603
ProvisionsE2 1,099 494
Derivative liabilitiesE6 170 69
Short term lease liabilitiesC4 14,367 14,235
56,658 69,426
Non-current liabilities
ProvisionsE2 1,335 1,318
Long term lease liabilitiesC4 9 7, 6 2 6 85,191
98,961 86,509
Equity
Share capitalD3 155,127 1 5 7,1 6 8
Retained earnings 42,050 5 2,741
Other reserves 1,013 (1,755)
198,190 208,154
Total equity and liabilities353,809 364,089
These financial statements and the accompanying notes were authorised by the board on 23 August 2024.
For the board
Susan Paterson | Chair Karen Jordan | Director
52Steel & Tube Annual Report 2024

Statement of Cash Flows
For the year ended 30 June 2024
Notes
2024
$000
2023
$000
Cash flows from operating activities
Customer receipts 495,830 612,196
Interest receipts 544 405
Payments to suppliers and employees(438,060) (501,625)
Payments for interest on leases(5,279) (4,49 9)
Income tax payments(9,811) (5, 238)
Interest payments(989) (3,039)
Wage subsidy received - 80
Net cash inflow from operating activities 42,235 98,280
Cash flows from investing activities
Property, plant and equipment disposal proceeds 116 112
Property, plant and equipment and intangible asset purchases(9, 5 0 0) (6, 249)
Loan advance to third partyA6(1, 500) -
Payment for new business purchase (6 5 4) (8 ,9 0 9)
Net cash outflow from investing activities(11, 538) (15,04 6)
Cash flows from financing activities
Repayment of bank borrowings - (51,000)
Dividends paidA1(13, 331) (19,0 26)
Payment for leases(15,148) (14,7 73)
Net cash outflow from investing activities(28,479) (8 4,79 9)
Net increase/(decrease) in cash and cash equivalents 2,218 (1,565)
Cash and cash equivalents at the beginning of the year 6,481 8,046
Cash and cash equivalents at the end of the year 8,699 6,481
Represented by:
Cash and cash equivalents 8,699 6,481
8,699 6,481
Reconciliation of profit after tax to cash flows from operating activities
Profit after tax 2,640 16 ,9 9 7
Non-cash adjustments:
Depreciation and amortisation 21,846 20,868
Deferred tax 1,144 508
Reversal of impairment of right-of-use assets - (177)
Loss on derecognition of finance lease receivable - 128
Gain on lease termination(32) -
Share scheme expense 524 409
Foreign exchange gains(195) (585)
Other non-cash items 284 421
Gain on items classified as investing activities:
Gain on property, plant and equipment disposals(51) (22)
26,160 38,547
Movements in working capital:
Income tax receivable/payable(9,795) 589
Inventories1 7, 8 3 8 56,482
Trade and other receivables and contract assets 15,186 22,593
Trade and other payables and provisions( 7,1 5 4)(19,9 3 1)
Net cash inflow from operating activities 42,235 98,280
53Steel & Tube Annual Report 2024

Notes to the Financial Statements
For the year ended 30 June 2024
This section focuses on the group’s financial performance and returns provided to shareholders.
A1: Dividends and Earnings per Share
On 19 February 2024, the board declared an interim dividend of 4.00 cents per share (2023: 4.00) totalling $6.7m (2023:
$6.6m). The dividends were fully imputed and paid to shareholders on 28 March 2024. On 23 August 2024, the board declared
a final dividend (fully imputed) of 2.00 cents per share (2023: 4.00) totalling $3.3m (2023: $6.7m). The dividends will be paid to
shareholders on 27 September 2024.
2024
$000
2023
$000
Dividends paid 13,331 19,0 26
Dividends paid includes the current year interim dividend and prior year final dividend.
FY24FY23
Dividends were paid / payable in respect of the following years:$000 $000
Interim Dividend Paid 6,658 6,578
Final Dividend Payable3,348 6,673
Total 10,006 13,251
Cents per shareFY24FY23
Interim Dividend (FY24: imputed, FY23: imputed)4.00 4.00
Final Dividend (FY24: imputed, FY23: imputed)2.00 4.00
Basic earnings per share is calculated by dividing the net profit attributable to shareholders by the weighted average number of fully
paid shares less treasury shares.
Diluted earnings per share includes partly paid shares (see Note D3) and represents the group’s earnings per share if unvested share
rights were exercised. The weighted average number of shares is adjusted by the number of outstanding rights to executive shares
that are deemed to vest at their future vesting dates.
There are no dilutive potential ordinary shares and therefore basic and diluted earnings per share are the same.
Earnings per share (EPS)
2024
000
2023
000
Profit after tax2,640 16 ,9 9 7
Weighted average number of shares for basic EPS 166,831 165,658
Weighted average number of shares for diluted EPS169,654 169,338
Basic earnings per share (cents)1.6 10.3
Diluted earnings per share (cents)1.6 10.2
Performance
SECTION A
54Steel & Tube Annual Report 2024

A2: Expenses
Cost of sales and operating expenses:Notes
2024
$000
2023
$000
Inventories expensed in cost of sales 342,254 4 3 0,95 0
Employee benefits 74, 3 36 74, 5 28
Depreciation and amortisationC 1/C 2/C4 21,846 20,867
Information technology expenses 6,956 7, 3 0 0
Defined contribution plans 1,979 1,9 9 7
Directors' fees 643 665
Short term and low value lease costs 217 118
Impairment (reversal)/loss on trade receivables(231) 54
Foreign exchange gains(195) (585)
Other expenses 20,749 2 1,95 5
Total cost of sales and operating expenses 468,554 557,849
Inventory sold during the year is expensed as cost of sales. Inventory write-downs of $0.6m (2023: $0.3m) was incurred in the ordinary
course of business which are included within Inventories expensed in cost of sales.
Depreciation of $1.8m (2023: $1.6m) related to equipment used to manufacture products is included in cost of sales. Depreciation of
right-of-use assets and other depreciation is included in operating expenses.
Information technology expenses disclosed in the above table excludes SaaS upfront expenditure. This has been disclosed separately
on the Statement of Profit or Loss and Other Comprehensive Income.
Employee benefits expense in the current financial year include restructuring costs of $0.5m recognised as part of a board approved
restructuring plan.
Included in the above table is $3.2m of Project Strong costs, primarily within employee benefits and right-of-use assets depreciation
expense.
55Steel & Tube Annual Report 2024

A3: Operating Segments
The group has identified two reporting segments as at 30 June 2024 having regard for the criteria outlined in NZ IFRS 8 Operating
Segments (NZ IFRS 8). The group’s Chief Operating Decision Maker (being the CEO) receives financial reports which aggregate the
activities of the group’s various operating segments into two distinct divisions, being Distribution and Infrastructure.
These reportable segments have been determined by having regard to the nature of products, services and processes the various
Business Units undertake to service customers. The group has a diverse range of customers from various industries, with no single
customer contributing more than 10% of the group’s revenue.
The group derives its revenue from the distribution and processing of steel and associated products. Within the Distribution business,
the primary focus is on the distribution of steel products and fasteners, servicing similar customer groups, sharing similar business
models and trading skills, and using similar sales channels. The majority of product is traded and sales staff are tasked to know the
full range of products. Within the Infrastructure business, product is predominately steel product which is bought and processed/
manufactured in warehouse facilities for project/contract customers.
The CEO uses EBIT as a measure to assess the performance of segments. The segment information provided to the CEO for the year
ended 30 June 2024 is as follows:
2024
Distribution
$000
Infrastructure
$000
Reconciled
to group
$000
Timing of revenue recognition
At a point in time 276,867 12 2,9 3 1 399,798
Over time - 7 9, 3 28 79,328
Revenue from external customers 276,867 202,259 479,126
Depreciation and amortisation(12, 2 56) (9, 59 0) (21,846)
Expenses(262,397) (185,314) (447,711)
Segment EBIT 2,214 7, 3 5 5 9, 5 69
Interest on leases (3,167) (2,112) (5,279)
Interest – others (net)(49 0)
Reconciled to group profit before tax 3,800
2023
Distribution
$000
Infrastructure
$000
Reconciled
to group
$000
Timing of revenue recognition
At a point in time 356,301 136,507 492,808
Over time - 96,270 96,270
Revenue from external customers 356,301 232,777 5 89,078
Depreciation and amortisation(12,74 8) (8,119) (20,867)
Expenses
(3 2 2, 396) (2 14,806) (537,202)
Segment EBIT 21,157 9,852 31,009
Interest on leases (2,6 89) (1,810) (4,49 9)
Interest – others (net)(2 ,740)
Reconciled to group profit before tax 23,770
56Steel & Tube Annual Report 2024

Operating segments are reported in a manner consistent with the internal reports that the CEO uses to assess performance.
The operating segments include the reallocation of the head office function costs to respective segments. Comparative figures
have been amended to align with current year presentation.
Depreciation and amortisation recognised as at 30 June 2024 is inclusive of depreciation recognised under NZ IFRS 16 Leases, which
is in line with the financial reports received by the CEO.
Interest recognised under NZ IFRS 16 Leases is shown separately in the financial reports provided to the CEO. Other interest income
and expense are not allocated to segments as these are driven by the central treasury function, which manages the cash position of
the group.
Assets and liabilities are reported to the CEO on a group basis, and are not separately reported with respect to the individual
operating segments.
Sales between segments are eliminated on consolidation. The amounts provided to the CEO with respect to segment revenue are
measured in a manner consistent with that of the financial statements.
A4: Revenue recognised on construction contracts
Key Policy
Refer to Note E9 for the group's accounting policy on revenue recognised on construction contracts. A contract asset is
recognised when the group has completed its performance obligation in advance of the cash consideration (or the group's
entitlement to invoice the customer). A contract liability is recognised when the group receives cash consideration (or it is
due) in advance of the obligation being performed.
Key Judgement - Construction Contracts
Estimates and judgements are made by the group when assessing construction contracts. These vary between each project
based on specific contractual terms. The estimates and judgements inherent in accounting for the group's construction
contracts relate to the assessment of the forecast costs to complete the project, which includes an estimation of expected
material and labour costs and the quantum and likelihood of any revenue variations that the group is contractually entitled
to. If forecast costs are expected to exceed forecast revenues, a provision for onerous contract loss is recognised.

2024
$000
2023
$000
Contract assets 4,9 2 5 9, 2 2 5
The contract assets relate to the group’s rights to consideration for work completed but not billed at the reporting date. The group's
contract liabilities are not material either in the current or comparative year.
57Steel & Tube Annual Report 2024

A5: Income and Deferred Tax
Income tax comprises both current and deferred tax.
All entities in the group are part of the same income tax group.
Key Policy
Current tax is the expected payable on the taxable income for the period, using current tax rates, and any adjustment to tax
payable in respect of prior periods.
Deferred tax is recognised in respect of temporary differences arising between the tax base of assets and liabilities and their
carrying amounts in the financial statements. Deferred tax assets are only recognised to the extent that it is probable future
taxable profits will offset temporary differences. Tax rates used are those that have been enacted or substantially enacted at
balance date and which are expected to apply when the deferred tax asset or liability crystalises.
Deferred tax is not provided if it arises from the following differences:
• Goodwill not deductible for tax purposes
• Initial recognition of assets and liabilities in a transaction other than a business combination that affects neither accounting
or taxable profit
• Investment in subsidiaries where the timing of the reversal of the temporary difference is controlled by the group to the
extent that they will probably not reverse in the foreseeable future
Income and deferred tax
Income tax expense
20242023
The income tax expense is determined as follows:$000$000
Profit or loss
Current income tax
Current year income tax expense - 6,136
Adjustments in respect of prior periods 16 (1)
Deferred income tax
Depreciation, provisions, accruals, tax losses and other 1,160 657
Adjustments in respect of prior periods(16) (19)
Income tax expense in profit or loss 1,160 6,773
20242023
Reconciliation of income tax expense$000$000
Profit before tax 3,800 23,770
Non-deductible expenditure 344 487
4,14424,257
Tax at current rate of 28%1,1606,792
Prior period adjustment - (19)
Total income tax expense1,1606,773
Represented by:
Current tax16 6,135
Deferred tax1,144638
1,1606,773
58Steel & Tube Annual Report 2024

Deferred tax assets and liabilities
The table below shows the movement in the deferred tax balances that are recognised at the beginning and end of the period.
Restated
Opening
balance
$000
Prior period
adjustments
$000
Recognised
in income
$000
Recognised
in equity
$000
Closing
balance
$000
Group 2024
Property, plant and equipment & Intangibles(2 ,06 6) - (13) - (2,079)
Right-of-use assets(23,595) - (3,447) - (27,042)
Lease liabilities 27,821 - 3,537 - 31,358
Employee benefits 2,761 - (9 98) (2 30) 1,533
Provisions 2,158 16 (5 16) - 1,658
Cash flow hedging reserve(5) - - 14 9
Net taxable losses - - 277 - 277
7,0 74 16 (1,160) (2 16) 5,714
Restated
Opening
balance
$000
Prior period
adjustments
$000
Recognised
in income
$000
Recognised
in equity
$000
Restated
Closing
balance
$000
Group 2023 – Restated
1
Property, plant and equipment & Intangibles(1,9 12) - (15 4) - (2,06 6)
Right-of-use assets(22,552) - (1,043) - (23,595)
Lease liabilities 26 ,9 0 0 - 921 - 2 7, 8 2 1
Employee benefits 3,218 5 (378) (8 4) 2,761
Provisions 2,147 14 (3) - 2,158
Cash flow hedging reserve(2 19) - - 214 (5)
7, 5 8 2 19 (6 5 7) 130 7, 0 74
2024
$000
Restated
1
2023
$000
The analysis of deferred tax assets and deferred tax liabilities is as follows:
Deferred tax liabilities(29,119) (2 5,66 4)
Deferred tax assets 34,833 32,738
5,714 7, 0 74
Imputation credits available at 30 June 2024 were $5m (2023 $0.3m).
1
Comparatives have been restated following the group's adoption of Deferred Tax related to Assets and Liabilities arising from a Single Transaction (Amendments to NZ IAS 12) from
1 July 2023. Refer to the below for further details.
Changes in material accounting policies - Deferred tax related to assets and liabilities arising from a single transaction
The group has adopted Deferred Tax related to Assets and Liabilities arising from a Single Transaction (Amendments to NZ IAS 12)
from 1 July 2023. The amendments narrow the scope of the initial recognition exemption to exclude transactions that give rise to
equal and offsetting temporary differences – e.g. leases. For leases, an entity is required to recognise the associated deferred tax
assets and liabilities from the beginning of the earliest comparative period presented, with any cumulative effect recognised as an
adjustment to retained earnings or other components of equity at that date.
The group previously accounted for deferred tax on leases by applying the 'integrally linked' approach, resulting in a similar outcome
as under the amendments, except that the deferred tax asset or liability was recognised on a net basis. Following the amendments,
the group has recognised a separate deferred tax asset in relation to its lease liabilities and a deferred tax liability in relation to its
right-of-use assets. However, there was no impact on the statement of financial position because the balances qualify for offset under
paragraph 74 of NZ IAS 12. There was also no impact on the opening retained earnings as at 1 July 2022 as a result of the change.
The key impact for the group relates to the disclosure of the deferred tax assets and liabilities recognised, as presented above.
59Steel & Tube Annual Report 2024

A6: Net Finance Costs
2024
$000
2023
$000
Finance income
Interest income – loan receivable 32 -
Interest received 543 405
575 405
Finance costs
Interest expense – bank 1,065 3,145
Interest expense – lease liabilities 5,279 4,499
6,344 7, 6 4 4
Net Finance costs(5,769) ( 7, 2 3 9)
2 1,95 5
The group entered into a loan facility arrangement with a third party, ROBOS International Limited (ROBOS) in the current year.
Included in the arrangement is an equity option. The loan receivable is classified as a financial asset at FVTPL (fair value through
profit or loss). $1.5m of the loan was drawn down as at balance date.
60Steel & Tube Annual Report 2024

Notes to the Financial Statements
For the year ended 30 June 2024
This section contains details of the short term operating assets and liabilities required to service the group’s distribution branches and
processing sites.
B1: Inventories
Key Policy
Inventories are stated at the lower of cost and net realisable value, with cost determined on a moving average cost basis
or standard cost basis. Costs include expenditure incurred in acquiring the inventories and bringing them to their existing
location and condition. Net realisable value is the estimated selling price in the ordinary course of business less the estimated
costs of completion, and selling expenses.
Key Judgement - Inventory Valuation
The majority of the group’s inventory comprises steel products and fastenings, which have long lives and generally are not
at risk of obsolescence. The group undertook an assessment of its inventory holdings at 30 June 2024 to determine whether
the net realisable value (NRV) of inventory was greater than or equal to the current carrying value of inventory. The group
has undertaken a full review of all aged inventory to identify any inventory at higher risk, particularly slow moving inventory.
Following this review, an impairment provision of $2.0m (2023: $3.5m) continues to be recognised as at 30 June 2024 to
record the carrying value of inventory at its NRV where that is considered to be lower than its cost. Judgement was required
in determining if the slow moving inventory can be sold and its expected sales price, and therefore whether inventory should
be impaired. This includes consideration of current market conditions and prices.
To further support the valuation of inventory the group operates a regular inventory count programme which requires
inventory to be counted on a cycle count basis, and through a full wall-to-wall count where required to ensure the accuracy
of the group’s inventory records.
The group holds inventories valued at $121.3m (2023: $139.2m).

Goods in transit
Provision for
write-down
Finished goods
at cost price
Inventories ($000s)
(3,458)
$139,158
2023
1 3 2 ,745
9, 8 7 1
(2,047)
$121,320
2024
1 1 7, 2 4 1
6,1 2 6

Working Capital
SECTION B
61Steel & Tube Annual Report 2024

The group is exposed to foreign exchange risk arising mainly from overseas purchases of inventory. In accordance with its
Treasury Policy, all committed overseas purchase orders are hedged using forward foreign exchange contracts where payment
is made in a foreign currency. The group qualifies for hedge accounting. The effective portion of the changes in fair value is
recognised in other comprehensive income and accumulated in the hedging reserve in equity as described in section E9.
As at balance date, foreign exchange contracts recorded as assets were $0.05m (2023: $0.28m) and as liabilities were $0.17m
(2023: $0.07m). The notional value of foreign exchange contracts in place as at 30 June 2024 totalled $20.45m (2023: $29.20m).
The fair value of the foreign currency forward exchange contracts is as shown on the Balance Sheet. Refer to section E6 for the
fair value hierarchy determination.
If the NZ dollar had weakened/strengthened by 5% against foreign currencies (primarily US dollar) at balance date, there would
be no impact on profit or loss, as the group qualifies for hedge accounting and all hedges are 100% effective at balance date.
The effect would be to equity +$1.10m if the NZ dollar strengthened by 5% and -$0.94m if the NZ dollar weakened by 5%
(2023: +$1.53m and -$1.41m, respectively).
B2: Trade and Other Receivables
Key Judgement - Provision for Impairment
The group has applied the simplified approach to providing for expected credit losses, which requires the recognition of a
lifetime expected loss provision for trade and other receivables.
The expected credit loss (ECL) allowances for financial assets are based on assumptions about the risk of default and
expected credit loss rates. The group uses its judgement in making these assumptions and selecting the inputs to the
impairment calculation, which is based on the group’s historical experience, the aging profile of the financial assets,
existing market conditions as well as external economic forecasts at each reporting date. Details of key considerations and
judgements are set out below.
The group considers the lifetime expected credit losses associated with its receivables upon initial recognition, and on an
ongoing basis at the end of each reporting period. To assess whether there is a specific increase in credit risk, the group
compares the risk of default occurring on these receivables at the reporting date with the risk of default at the date of initial
recognition. The group considers its trade receivables to be in default when:
– The debtor is unlikely to pay its credit obligations to the group in full; or
– The receivable is more than 60 days past due (i.e. overdue)
Available forward looking information is considered, including actual or expected significant adverse changes in business,
financial or economic conditions that are expected to cause a significant change to the customer or counterparty’s ability to
meet their obligations. This also incorporates any objective evidence that indicates that the customers will not be able to pay
their debts when due, these include significant financial difficulties of customers and the probability of entering receivership
or bankruptcy.
The group has analysed its trade receivables balances using three different characteristics and calculated the ECL allowance
by considering the impact of each:
Consideration/Judgements
Baseline/AgingThe group’s “baseline” expectation for credit loss is informed by past experience and the aging profile
of the balances, applying an increasing expected credit loss estimate as the balance ages incorporating
forward looking information, such as forecasted economic conditions. This expectation incorporates
any available objective evidence that the customers will not be able to pay their debts when due,
including significant financial difficulties of customers and the probability of entering receivership,
administration or liquidation.
SectorThe group has considered the credit risk related to the market sector that the customers operate in
and has made an adjustment to the ECL allowance based on assessment of the respective financial
strength of each industry sector.
RegionThe group has considered the credit risk of its trade receivables portfolio based on the respective
financial strength of each geographic region, and has made an adjustment to the baseline ECL
allowance to reflect this.
62Steel & Tube Annual Report 2024

Trade receivables at 30 June 2024 are $54.8m (2023: $68.9m) and are recognised initially at fair value and subsequently at amortised
cost less any provision for impairment. The carrying value of trade and other receivables are equivalent to their fair value.
Trade receivables
Prepayments and
sundry receivables
Provision for
impairment
Trade and Other Receivables ($000s)
5,275
(1,135)
2024
$58,912
54,772
2,656
(1,801)
2023
$69,798
68,943
No one customer accounts for more than 7% of trade receivables at 30 June 2024 (30 June 2023: 6%).
The aging profile of the group's customer balances is shown below.
Trade receivables excluding current at 30 June 2024 ($000s)
Within
1 month
Within 1 to
2 months
Beyond
2 months
20242023
27%
10,232
7, 7 6 0
869
1,507
1,355
2 ,1 9 9
63Steel & Tube Annual Report 2024

At 30 June 2024, trade receivables of $1.4m (2023: $2.2m) were greater than 60 days overdue. These relate to a number of
independent customers for whom there is no recent history of default. The group’s credit terms are in line with industry peers.
The group does not have any customers with payment terms exceeding one year. As a result, the group does not adjust transaction
prices for the time value of money.
Provision for impairment
At 30 June 2024, an impairment provision of $1.1m (2023: $1.8m) was held.
The expected credit loss allowance provision has been determined as follows:
As at 30 June 2024
Current
$000
Within
1 Month
$000
1 - 2
Months
$000
2-3
Months
$000
Beyond
3 Months
$000
Total
$000
Gross carrying amount 41,678 10,232 1,507 251 1,104 54,772
Baseline/Aging 87 182 121 54 678 1,122
Region 2 3 2 - 1 8
Sector 1 2 1 - 1 5
Expected credit loss allowance 90 187 124 54 680 1,135
As at 30 June 2023
Current
$000
Within 1 Month
$000
1 - 2 Months
$000
2-3 Months
$000
Beyond
3 Months
$000
Total
$000
Gross carrying amount 58,115 7, 76 0 869 511 1,688 68,943
Baseline/Aging 387 134 61 169 1,021 1,772
Region 4 2 1 1 4 12
Sector 5 4 2 1 5 17
Expected credit loss allowance 396 140 64 171 1,030 1,801

Movements in the provision for impairment for the year ended 30 June 2024, are as follows:
20242023
Provision for impairment$000$000
Provision as at 1 July 1,801 1,553
Impairment (reversal)/loss on trade receivables(231) 289
Amounts written off(4 3 5) (41)
Provision as at 30 June 1,135 1,801

The group is exposed to the risk of customers being unable to pay their debts as they fall due. The maximum exposure is the total value
of these balances. Customers who trade on credit terms are subject to credit verification procedures and credit limits are set for each
customer. The group’s credit policy is monitored regularly. In some circumstances, security over assets may be obtained from trade
receivables to mitigate the risk of default. There are no significant concentrations of credit risk in the current or prior years.
The group also has credit risk in respect of financial institutions that hold the group’s cash. These institutions have credit ratings of AA-.
64Steel & Tube Annual Report 2024

B3: Trade and Other Payables
Trade and other payables ($000s)
Employee benefits
Accrued expenses
Trade payables
$41,022
2024
31,596
6,1 0 7
3,319
$49,025
2023
35,629
8,640
4,756
The carrying amounts of the above items are equivalent to their fair values and subsequently measured at amortised cost using the
effective interest method.
65Steel & Tube Annual Report 2024

Notes to the Financial Statements
For the year ended 30 June 2024
This section includes details of the group's long term assets including tangible and intangible assets and related capital commitments.
C1: Property, Plant and Equipment
Key Policy
Plant and equipment are stated at cost less accumulated depreciation. Assets are tested annually for indicators of impairment
and adjusted if required.
Depreciation is charged on a straight-line basis over the estimated useful lives of the assets. This allocates the cost of an asset,
less any residual value, over its estimated remaining useful life. The residual values and useful lives are reviewed annually.
The estimated useful lives are as follows:
Plant, machinery and motor vehicles 3 – 20 years
Furniture, fittings and equipment 2 – 10 years
Gains and losses on disposals are determined by comparing proceeds with carrying amounts and are included in profit or loss.
Plant, machinery
& vehicles at cost
Furniture, fittings
& equipment
at costTotal
2024$000 $000 $000
Opening cost 88,624 20,539 10 9,16 3
Opening accumulated depreciation(56,740) (16,7 76) (73,516)
Opening net book value 31,884 3,763 35,647
Additions 8,482 763 9, 24 5
Disposals(241) - (241)
Depreciation(3,478) (1,163) (4,6 41)
Closing net book value 36,647 3,363 40,010
Comprised of:
Cost or fair value 93,496 21,163 114,659
Accumulated depreciation(56,849) (17,800) (74,6 49)
Property, plant and equipment 36,647 3,363 40,010
2023
Opening cost 85,606 19, 3 0 9 10 4,9 15
Opening accumulated depreciation(53,550) (15,4 40) (6 8 ,9 9 0)
Opening net book value 32,056 3,869 3 5 ,9 2 5
Additions 3,360 1,247 4,607
Disposals(96) - (96)
Depreciation(3,43 6) (1,353) (4,789)
Closing net book value 31,884 3,763 35,647
Comprised of:
Cost or fair value 88,624 20,539 10 9,16 3
Accumulated depreciation(56,74 0) (16,7 76) (7 3, 5 16)
Property, plant and equipment 31,884 3,763 35,647
During the financial year, the group acquired 20 owned and leased trucks and eight owned trailers from Roadex Logistics Limited
(Roadex), as part of an immaterial business combination. The additions of these leases is disclosed in Note C4.
Included within the plant, property and equipment categories is capital work in progress totalling $4.4m (2023: $1.8m).
Fixed Capital
SECTION C
66Steel & Tube Annual Report 2024

C2: Intangibles
Goodwill
Software &
LicencesOtherTotal
2024$000 $000 $000 $000
Opening cost 51,9 3 2 30,624 3,384 8 5,94 0
Opening accumulated amortisation and impairment
(4 7,1 7 1) (22,848) (2, 398) (72,417)
Opening net book value 4,761 7, 7 76 986 13,523
Additions - 1,084 - 1,084
Amortisation charge - (1,770) (172) (1,942)
Closing net book value 4,761 7,0 9 0 814 12,665
Comprised of:
Cost 51,9 3 2 31,708 3,384 8 7,0 2 4
Accumulated amortisation and impairment(4 7,1 7 1) (24,618) (2 , 570) (74, 3 59)
Closing net book value 4,761 7,0 9 0 814 12,665
2023
Opening cost 4 7,1 7 1 28,680 2,522 78,373
Opening accumulated amortisation and impairment(4 7,1 7 1) (21,094) (2,233) (70,498)
Opening net book value - 7, 5 8 6 289 7,875
Additions 4,761 1,94 4 862 7, 5 6 7
Amortisation charge - (1,754) (165) (1,9 19)
Closing net book value 4,761 7, 7 76 986 13,523
Comprised of:
Cost 5 1,9 3 2 30,624 3,384 8 5 ,94 0
Accumulated amortisation and impairment(4 7,1 7 1) (2 2,84 8) (2, 398) (72,417)
Closing net book value 4,761 7, 7 76 986 13,523
Goodwill recognised in the prior financial year relates to the goodwill arising from the acquisition of Kiwi Pipe. Included within the
intangibles categories is capital work in progress totalling $1.5m (2023: $0.7m). Other intangibles comprises customer relationships
and customer contracts arising from business combinations. No goodwill was recognised from the immaterial business combination
in the current year.
67Steel & Tube Annual Report 2024

Key Policy
Goodwill is recognised on a business combination and represents the excess of the acquisition cost over the fair value of the
acquired net assets. Goodwill is allocated to cash-generating units, tested annually for impairment, or more frequently if
events or circumstances indicate it may be impaired, and is carried at cost less accumulated impairment losses.
Computer software and licences are capitalised on the basis of costs incurred to acquire and use the specific licences and
are amortised on a straight-line basis over their estimated useful lives of 3 to 10 years. Computer software and licence
amortisation charges are included in other operating expenses.
Customer relationships and customer contracts are capitalised at fair value on acquisition date and are amortised on a
straight-line basis over their estimated useful lives of 10 and 2 years respectively. Amortisation charges are included in
operating expenses.
Software as a Service arrangements are service contracts providing the group with the right to access the cloud provider’s
application software over the contract period. As such, the group does not receive a software intangible asset at the
contract commencement date. For SaaS arrangements, the group assesses if the contract will provide a resource that it can
‘control’ to determine whether an intangible asset is present. If the group cannot demonstrate control of the software, the
arrangement is deemed a service contract and any implementation costs including costs to configure or customise the cloud
provider’s application software are recognised as operating expenses when incurred.
Where the SaaS arrangement supplier provides both configuration and customisation services, judgement has been applied
to determine whether each of these services are distinct or not from the underlying use of the SaaS application software.
If distinct, such costs are expensed as incurred when the services is provided. If not distinct, such costs are expensed over
the SaaS contract term.
In implementing SaaS arrangements, the group has incurred customisation costs which creates additional functionality
to a cloud based software. Management has determined that it has rights to the intellectual property and has owned the
developed software which meets the definition and recognition criteria for an intangible asset.
Cost incurred for the development of software that enhances or modifies, or creates additional functionality to an
on-premise software that meets the definition and recognition criteria of intangible assets are recognised as intangible
assets. When these costs are recognised as intangible software assets they are amortised over the useful life of the software
on a straight line basis.
Key Judgement - Impairment Testing on Non-Financial Assets
NZ IAS 36 Impairment of Assets (NZ IAS 36) requires the group to assess at the end of each reporting period for any indicators
of impairment and also to test the recoverable amount of the group’s assets against its carrying value to assess whether there
is any indication that an asset may be impaired. The recoverable amount is the higher of an asset’s fair value less costs of
disposal (FVLCD) and value-in-use (VIU).
For the purpose of assessing impairment, assets are grouped in the smallest identifiable group of assets that generates cash
inflows that are largely independent of the cash inflows from other assets or groups of assets (cash generating unit or CGU),
which as at 30 June 2024 were identified as being Distribution, Reinforcing/CFDL and Rollforming.
As at 30 June 2024, the group has not identified any indicators of impairment over the assets held at the CGUs. The group’s
market capitalisation is below net assets at year end, however this market capitalisation value excludes any control premium
and may not reflect the value of 100% of the group’s net assets.
The group has therefore concluded that no impairment is required as at 30 June 2024. The group has also concluded that no
reversal of the previous impairment of intangible assets should be made following an assessment that previous assumptions
applied remain consistent in the current financial year.
68Steel & Tube Annual Report 2024

Key Judgement – Goodwill Impairment Testing
The group’s goodwill balance of $4.8m (2023: $4.8m) has been allocated to the Distribution CGU, for the purposes of
impairment testing.
The group has undertaken a VIU calculation for the Distribution CGU. A VIU calculation is a valuation based on forecast cash
flows. These forecast cash flows are discounted back to present value to estimate a value for the CGU. If the VIU exceeds the
carrying value of the assets, no impairment is recognised.
A number of judgements have been made in respect to the assumptions used in the valuation. The key assumptions are
summarised below:
Distribution CGU
Assumption20242023
Discount rate (post-tax)11.2%11.1%The group engaged an independent expert to assess the CGU’s
post-tax weighted average cost of capital.
Discount rate (pre-tax)14.7%14.9 %The pre-tax discount rate was calculated based on back solving
from the post-tax discount rate.
Terminal growth rate2.25%2.0%A long-term growth rate into perpetuity has been determined
based on forecasted consumer price inflation (CPI) growth.
Forecast period5 years5 yearsBoard approved budget was used for FY25.
Forecast period cash flow
growth rate
3.5% – 9.0%(4.5%) – 7.9%Based on expectations of future outcomes taking into account
past experience, sector analysis and adjusted for anticipated
revenue growth/decline.
The forecast cash flows in the valuation is sensitive to a reasonable possible change in the key assumptions used.
Assuming all other assumptions remain constant, incorporating a 5.7% reduction in the expected level of terminal EBIT in
the forecast cash flows would result in the elimination of the excess of the recoverable amount over the carrying amount.
Based on the calculations and assumptions outlined above, the group has not identified any impairment as at 30 June 2024.
C3: Commitments
Capital commitments
The group has contractual commitments of $1.9m (2023: $1.8m) for purchase of plant and equipment.
69Steel & Tube Annual Report 2024

C4: Leases
Key Judgement – Impairment Testing on Right-Of-Use Assets
The group has assessed for any indicators of impairment on its right-of-use assets for the financial year ended 30 June 2024.
The group has re-assessed the assumptions used for the previously impaired sites with longer term leases (> 3 years) based on
current market outlook and consideration over the sites' space utilisation in line with the group's network strategy. Based on
the assessment performed, no reversal of impairment was recognised for the current year (2023: $0.2m).
The below outlines the recognised right-of-use assets and corresponding lease liabilities by the group as at 30 June 2024:
PropertiesMotor VehiclesEquipmentTotal
$000$000$000$000
Right-of-use assets at 1 July 2023 78,347 3,849 709 8 2 ,90 5
Additions to right-of-use assets 26,848 2,106 1,621 30,575
Depreciation(13,417) (1, 5 16) (330) (15,263)
Disposals(2,563) (181) (13 6) (2,880)
Total right-of-use assets at 30 June 2024 89,215 4,258 1,864 95,337
PropertiesMotor VehiclesEquipmentTotal
$000$000$000$000
Right-of-use assets at 1 July 2022 74, 53 3 3,314 841 78,688
Additions to right-of-use assets 16,107 1,98 3 606 18,696
Depreciation(12,365) (1,4 4 8) (3 4 6) (14,159)
Impairment loss reversed 177 - - 177
Disposals(105) - (392) (49 7)
Total right-of-use assets at 30 June 2023 78,347 3,849 709 8 2 ,90 5
A portion of the group's right-of-use assets is being used for sub-lease which would meet the definition of an investment property
under NZ IAS 40 Investment Property. The portion recognised as investment property for the current financial year is $1.5m
(2023: $1.6m). Income from sub-leasing right-of-use assets for the year ended 30 June 2024 was $0.1m (2023: $0.3m).
Amounts recognised as lease liabilities are presented below.
Lease liability maturity analysis
PrincipalInterestGross
2024$000$000$000
Between 0 to 1 year 14,367 6,023 20,390
Between 1 to 5 years 53,466 16,233 69,699
More than 5 years 44,160 7, 5 3 5 51,695
Lease liabilities as lessee 111,993 29,791 141,784
2023
Between 0 to 1 year 14,235 4,653 18,888
Between 1 to 5 years 49,333 12,277 61,610
More than 5 years 35,858 5,651 41,509
Lease liabilities as lessee 9 9,426 22,581 122,007
70Steel & Tube Annual Report 2024

Notes to the Financial Statements
For the year ended 30 June 2024
This section includes details of the group's cash, borrowings and capital reserves which provide funds for current and future activities.
D1 : Borrowings
20242023
$000$000
Bank loans - -
Key Policy
Borrowings are recognised initially at fair value and net of transaction costs incurred. Borrowings are subsequently stated
at amortised cost and any difference between the net proceeds and redemption value is recognised in profit or loss over
the period of the borrowings using the effective interest method. The movement in borrowings shown in the Statement of
Cash Flows is the net of repayments and drawdowns of borrowings. Borrowings are classified as current liabilities if there is
no unconditional right to defer settlement for greater than 12 months. The group is required to comply with certain financial
covenants that relate to interest cover, group coverage and leverage.
The group has in place committed bank borrowing facilities of $100m, comprising a three year $30m Revolving Cash Advance
facility with an expiry date in 4 August 2026, a two year $30m Revolving Cash Advance facility with an expiry date of 4 August 2025
and a $40m Trade Loan facility. Borrowing facilities arranged with the group’s banking partner can be drawn at any time, subject to
meeting the terms of the group’s Facility Agreement. As at 30 June 2024, the group has not relied on financial covenant waivers and
is compliant with all financial covenants.
The group manages its liquidity risk by maintaining availability of sufficient cash and funding via an adequate amount of committed
bank borrowing facilities. Owing to the nature of the underlying business, the group aims to maintain funding flexibility through
committed credit lines. The group monitors actual and forecast cash flows on a regular basis and rearranges credit facilities where
appropriate.
The table below analyses the group’s financial liabilities and derivative financial instruments into maturity groupings based on the
remaining period from balance date to the contractual maturity date. The amounts disclosed are the contractual undiscounted
cash flows.
6 months
or less
$000
6 to 12
months
$000
1 to 3
years
$000
Total
$000
Carrying
Value
$000
2024
Trade payables & accruals41,022 - - 41,02241,022
Cash flow hedging of derivatives:
Outflow 20,445 - - 20,445 20,445
Inflow(20, 3 30) - - (20, 3 30) (20, 3 30)
41,137 - - 41,13741,137
2023
Trade payables & accruals 49,0 2 5 - - 49,0 2 5 49,0 2 5
Cash flow hedging of derivatives:
Outflow 2 9, 201 - - 2 9, 201 2 9, 201
Inflow(2 9,410) - - (2 9,410) (2 9,410)
48,816 - - 48,816 48,816
Funding
SECTION D
71Steel & Tube Annual Report 2024

D2: Net Debt Reconciliation
Cash and cash
equivalentsBorrowingsLease liabilitiesTotal
$000$000$000$000
Net debt as at 1 July 2023 6,481 - (9 9,426) (9 2 ,94 5)
Cash flows 2,218 - 15,148 1 7, 3 6 6
Non-cash movements - - ( 2 7, 7 1 5) ( 2 7, 7 1 5)
Net debt as at 30 June 2024 8,699 - (111,993) (103, 294)
Net debt as at 1 July 2022 8,046 (51,000) (96,07 2) (13 9,026)
Cash flows(1,565) 51,000 14,773 64,208
Non-cash movements - - (18,127) (18,127)
Net debt as at 30 June 2023 6,481 - (9 9,426) (9 2,94 5)
D3: Share Capital
The group’s capital includes share capital, treasury shares, reserves and retained earnings. The objectives for managing capital are to
safeguard the group’s ability to continue as a going concern, to provide returns and benefits for shareholders and other stakeholders
and to maintain a strong capital base for investor, creditor and market confidence. The group may adjust the dividends paid to
shareholders, return capital to shareholders, issue new shares or sell assets to maintain or adjust its capital structure.
Capital Structure Policy Targets
The group’s formal capital structure targets are as follows:
1. Net Debt: EBITDA less than 2.0x
2. Gearing ratio less than 30 – 35%
3. Dividend pay-out of between 60% – 80% of Net Earnings (NPAT) adjusted for any significant non-trading items
There has been no material change in the management of capital during the year.
2024 2023 2024 2023
Note$000 $000 SharesShares
Fully paid:
Balance at the beginning of the year 1 5 7,1 67 156,668 166,827,665 165,972,540
Movement in treasury shares(2,896) - (972,849) -
Shares issued to employeesE5 834 499 1,507,307 855,125
Shares gifted to employees 21 - 23,800 -
Balance at the end of the year 155,126 1 5 7,1 6 7 167,385,923 166,827,665
Partly paid:
Balance at the beginning of the year 1 1 25,000 25,000
Balance at the end of the year 1 1 25,000 25,000
Total balance at the end of the year 155,127 1 5 7,1 6 8 1 67, 4 1 0 ,9 2 3 166,852,665
The holders of ordinary shares are entitled to receive dividends declared from time to time and to one vote per share at meetings of
the company. Ordinary shares issued and partly paid as part of the Senior Executives’ Share Scheme 1993 do not have dividend or voting
entitlements until the shares are paid in full but qualify for bonus and cash issues.
Ordinary shares are classified as equity. Where any controlled entities purchase company shares that have not been allocated, the
consideration paid and directly attributable costs are deducted from equity and classified as treasury shares.
On 25 June 2024, the company issued 23,800 ordinary shares to employees in recognition of the 70th anniversary of the company's
establishment. The directors and officers (CEO and CFO) were not included in this share issuance.
2024 2023 2024 2023
Treasury shares$000 $000 SharesShares
Balance at the beginning of the year 2,896 2,896 972,849 972,849
Shares issued to employees(2,896) - (972,849) -
Balance at the end of the year - 2,896 - 972,849
Treasury shares are unallocated company shares held by the Trustee of the Executive Share Plan 2003 and are recognised as a reduction
in shareholders’ funds of the group. The movement in treasury shares during the year related to the issuance of shares to employees
under the Performance Rights Plan 2017 (refer Note E5).
72Steel & Tube Annual Report 2024

Notes to the Financial Statements
For the year ended 30 June 2024
This section contains additional notes and disclosures which do not form part of the primary sections but which are required to
comply with financial reporting standards:
• Financial risk management
• Provisions
• Contingent liabilities
• Auditor remuneration
• Related party and share based plans
• Financial instruments
• Financial assets
• Subsequent events
• Other accounting policies
E1: Financial Risk Management
The group is exposed to financial risk: market risk, credit risk and liquidity risk.
The group’s Treasury Policy is approved by the board and is reviewed every three years. The Treasury Policy establishes principles and
risk tolerance levels to guide management in carrying out risk management activities to minimise potential adverse effects on the
financial performance of the group. Compliance with policy is monitored and reviewed on a monthly basis.
Detail relevant to the following risks are covered in relevant sections:
Foreign exchange risk (a market risk) Inventories B1
Interest rate risk (a market risk) Borrowings D1
Credit risk Trade & other receivables B2
Liquidity risk Borrowings D1
E2: Provisions
Restructure
Provision
Make Good
Provision
Other
ProvisionsTotal
$000 $000 $000 $000
Opening balance as at 1 July 2023 85 1,614 113 1,812
Additions 452 587 479 1,518
Used(85) (30) (6 8) (183)
Unutilised - (6 3 3) (80) (7 13)
Closing balance as at 30 June 2024 452 1,538 444 2,434
Current 452 203 444 1,099
Non Current - 1,335 - 1,335
Closing balance as at 30 June 2024 452 1,538 444 2,434
Other
SECTION E
73Steel & Tube Annual Report 2024

Key Policy
Provisions are recognised when the group has a present obligation (legal or constructive) as a result of a past event.
This occurs when it is probable that a cost will be incurred to settle the obligation and a reliable estimate can be made of
that obligation. Where material, provisions are determined by discounting the expected cash flows at a pre-tax rate that
reflects current market assessments of the time value of money. Where discounting is used, the increase in the provision
due to the passage of time is recognised as an expense.
• Restructuring Provision - costs included within this provision relate to committed restructuring activities, and is expected to be
utilised in the next financial year
• Make Good Provision on existing tenanted properties - $30k of make good activities were undertaken during the current financial
year. Actual payment dates and costs will be known once each lease reaches its expiry date
• Other Provisions - mainly relates to a provision for committed health & safety costs expected to be incurred within the next 18 months
E3: Contingent Liabilities
Indemnities given to the group’s banking partner in respect of performance bonds were $0.9m (2023: $2.5m) at balance date and
were transacted in the ordinary course of business. These relate to performance guarantees held primarily for the construction
contracts entered into by the group.
E4: Auditor Remuneration
20242023
Fees paid to auditors (KPMG)$000 $000
Annual audit & half year review 491 491
Pre-assurance for Greenhouse Gas Emission disclosure 39 -
To t a l 530
1
491
2
1
Including $30k relating to the FY23 audit
2
Including $60k relating to the FY22 audit
74Steel & Tube Annual Report 2024

E5: Related Party and Share Based Plans
The group has related party relationships with its controlled entities and with key management personnel.
The subsidiaries in the group are:
2024 2023
SubsidiariesPrincipal ActivityBalance DateHoldingHolding
Steel & Tube New Zealand LimitedNon-trading30 June100%100%
Composite Floor Decks Holdings LimitedNon-trading30 June100%100%
Studwelders LimitedNon-trading30 June100%100%
S & T Plastics LimitedNon-trading30 June100%100%
S & T Stainless LimitedNon-trading30 June100%100%
Manufacturing Suppliers LimitedNon-trading30 June100%100%
Composite Floor Decks LimitedFloor Decking Installer30 June100%100%
2024 2023
Transactions with Key Management Personnel$000 $000
Short-term benefits 4,466 5,454
Share-based benefits (accounting expense) 425 386
4,891 5,840
The key management personnel are the non-executive directors and executive management. Included in short term benefits
are directors’ fees of $0.6m (2023: $0.6m). The aggregate value of sales transacted with key management personnel in the
current financial year amounts to $5k (2023: $17k).
Other Transactions with Related Parties
Certain directors, shareholders and management have relevant interests in a number of companies with which the group has
transactions in the normal course of the business. A number of the group's directors are also non-executive directors of other
companies, and a register of directors' interests is maintained. Any transactions undertaken with these entities have been
entered into in the normal course of business.
Certain directors and management hold shares in the group and receive dividends in the normal course of business.
75Steel & Tube Annual Report 2024

Performance Rights Plan 2017
In February 2018, a new Executive share plan was approved by the board, known as the Performance Rights Plan 2017 (PRP).
The performance period for this scheme runs for 3 years and comprises two performance conditions (50% each) as follows:
a) The Benchmark Comparator (BC) ranks the company’s Total Shareholder Return (TSR) relative to the TSR of the NZX 50 Index
securities.
• Where the company TSR equals the 50th percentile TSR of the Index Companies over the Performance Period, 50% of (BC)
Performance Rights will vest.
• Where the company TSR equals or exceeds the 75th percentile TSR of the Index Companies over the Performance Period, 100%
of (BC) Performance Rights will vest.
• Where the company’s TSR over the Performance Period exceeds the 50th percentile TSR of the Index Companies but does not
reach the 75th percentile, then between 50% and 100% of the (BC) Performance Rights, will vest as determined on a linear
pro-rata basis.
b) The Absolute Comparator (AC) ranks the company’s TSR relative to the company’s Cost of Equity (CoE) plus a premium of 2%
annualised and compounding.
• Where the company TSR is less than or equal to CoE, no (AC) Performance Rights will be vested
• Where the company TSR is equal to or greater than CoE + 2%, 100% of (AC) Performance Rights will vest
• Where the company TSR is greater than CoE but less than (CoE) + 2%, then between 50% and 100% of the (AC) Performance
Rights will vest as determined on a linear pro-rata basis.
Performance Rights are only able to be exercised after completion of the three year performance period, providing and only to the
extent that the performance conditions, and other relevant service and non-market performance conditions, have been satisfied.
Any Benchmark and Absolute Comparator Performance Rights that do not vest at the Measurement Date will lapse.
During the year the following movements of rights to shares occurred in accordance with the rules of the share plans:
No. of Rights
Available
No. of Rights
Available
20242023
Opening balance 3,458,505 3 ,9 4 7, 5 4 1
New shares granted 1,336,818 975,896
Rights forfeited(241,733) (609,807)
Rights vested(1,507,307) (855,125)
To t a l 3,046,283 3,458,505
Rights Performance Conditions Start DateExpiry date
Issue date
fair value
Total Rights
Issued
Rights
Available
30 June 2024
Rights
Available
30 June 2023
11 September 2020 – Tranche 411/09/202 3$0.75 2,002,871 - 1,507,307
7 September 2021 – Tranche 57/0 9/ 2 0 24$1.15 1,353,114 1,046,015 1,124,046
5 September 2022 – Tranche 65/09/202 5$1.43 975,896 7 5 7, 5 8 8 8 2 7,1 5 2
4 September 2023 – Tranche 74/09/2026$1.10 1,336,818 1,242,680 -
To t a l 5,668,699 3,046,283 3,458,505
Weighted average remaining contractual life of options outstanding at end of period 1. 2 3 0.9 9
2024 2023
$000 $000
Share-based benefits (accounting expense) 524 409
The fair value of rights is determined using a Monte Carlo share price simulation model. The significant inputs into the model for
shares granted during the period were the market share price at grant date, an exercise price of zero (as shares are issued to the
employees at nil consideration on vesting), volatility of 27.4%, expected option life of between 1 and 3 years and an annual risk free
interest rate of 4.81%. Volatility has been calculated based on the annualised volatility for the three years prior to the rights issue.
76Steel & Tube Annual Report 2024

Key Policy
The Performance Rights Plan 2017 is considered to be an equity settled scheme under NZ IFRS 2 Share-based Payment and
the vesting conditions for the scheme include both service and performance conditions.
Performance Rights Plan 2017
The cost associated with this plan is measured at fair value at grant date and is recognised as an expense in profit or loss over
the vesting period, with a corresponding entry to the reserve in equity. The estimate of the number of rights for which the
service conditions are expected to be satisfied is revised at each reporting date, with any cumulative catch-up adjustment
recognised in profit or loss in the period that the change in estimate occurred. Any rights not vested after the expiry of three
years are cancelled.
E6: Financial Instruments
Financial
assets at
amortised cost
Derivatives
for hedging at
fair value
Financial
liabilities at
amortised cost
Financial assets at
fair value through
profit or loss
2024$000$000$000$000
Cash and cash equivalents
1
8,699 - - -
Trade and other receivables excluding prepayments 56,464 - - -
Derivative financial instruments
2
- 55 - -
Loan receivable
3
- - - 1,532
Total financial assets 65,163 55 - 1,532
Trade and other payables - - 41,022 -
Derivative financial instruments
2
- 170 - -
Lease liabilities - - 111,993 -
Total financial liabilities - 170 153,015 -
2023
Cash and cash equivalents 6,481 - - -
Trade and other receivables excluding prepayments 6 7, 5 2 8 - - -
Derivative financial instruments
2
- 278 - -
Total financial assets 74,009 278 - -
Trade and other payables - - 49,0 2 5 -
Derivative financial instruments
2
- 69 - -
Lease liabilities - - 90,903 -
Total financial liabilities - 69 1 3 9,9 2 8 -

1
Cash and cash equivalents comprise cash in bank balances and cash on hand.
2
Derivative financial instruments are measured at fair value calculated using forward exchange rates that are quoted in an active market (Level 2 of the fair value hierarchy).
3
Loan receivable includes an equity option and is measured at fair value, based on unobservable inputs (Level 3 of the fair value hierarchy).
77Steel & Tube Annual Report 2024

E7: Financial Assets
Classification and subsequent measurement
On initial recognition, a financial asset is classified as subsequently measured at amortised cost, FVOCI (fair value through
other comprehensive income) or FVTPL (fair value through profit or loss).
Financial assets are not reclassified subsequent to their initial recognition unless the group changes its business model for
managing financial assets, in which case all affected financial assets are reclassified on the first day of the first reporting period
following the change in the business model.
A financial asset is measured at amortised cost if it meets both of the following conditions and is not designated as FVTPL:
• It is held within a business model whose objective is to hold assets to collect contractual cash flows; and
• Its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest (SPPI) on
the principal amount outstanding
A debt investment is measured at FVOCI if it meets both of the following conditions and is not designated as FVTPL:
• It is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial
assets; and
• Its contractual terms give rise on specified dates to cash flows that are SPPI on the principal amount outstanding
All financial assets not classified as measured at amortised cost or FVOCI are measured at FVTPL. This includes all derivative
financial assets.
Purchases and sales of financial assets are recognised on the date the group has committed to the transaction. Derecognition
of financial assets occurs when the rights to receive cash flows have expired or the group has transferred substantially all the
risks and rewards of ownership.
The group classifies its trade and other receivables and cash and cash equivalents as being measured at amortised cost,
including any expected credit loss allowance provisions. They are included in current assets, except for those with maturities
greater than 12 months after the end of the reporting period, these are classified as non-current assets.
The group classifies its loan receivable as being measured at FVTPL, as it does not meet the criteria for amortised cost or
FVOCI. The asset is subsequently measured at fair value. Net gains and losses, including any interest or dividend income, are
recognised in the profit or loss.
Derivatives are measured at fair value. The portion of any fair value movement that is an effective hedge is measured in other
comprehensive income, but any ineffective portion is included in profit or loss.
E8: Subsequent events
On 23 August 2024, the board declared a final dividend (fully imputed) of 2.00 cents per share (2023: 4.00) totalling $3.3m
(2023: $6.7m). The dividends will be paid to shareholders on 27 September 2024.
E9: Other accounting policies
Basis of consolidation
The group applies the acquisition method to account for business combinations. The group financial statements comprise the
financial statements of Steel & Tube Holdings Limited and its controlled entities (subsidiaries) (see Note E5).
The group controls an entity when the group is exposed to, or has rights to variable returns from its involvement with the
entity and has the ability to affect those returns through its power to direct the activities of the entity. Subsidiaries are
consolidated from the date on which control is transferred to the group and deconsolidated from the date control ceases.
Consideration transferred is the fair value of assets transferred, liabilities incurred to the former owners of the acquiree and
equity interests issued by the group. Consideration transferred also includes the fair value of any asset or liability resulting
from a contingent consideration arrangement. Identifiable assets acquired and liabilities (including contingent liabilities)
assumed in a business combination are measured initially at their fair values at acquisition date.
All inter-company transactions and balances between group companies are eliminated.
78Steel & Tube Annual Report 2024

Foreign currency
Transactions in foreign currencies are translated at the foreign exchange rate at the date of the transaction. Gains and
losses resulting from the settlement of such transactions and from translation of monetary assets and liabilities at balance
date are recognised in profit or loss except when deferred in equity as qualifying cash flow hedges. The group’s hedging
largely comprises cash flow hedges for future purchases of inventory. The group’s current practice is to recognise the
accumulated gains or losses on the hedging instrument/derivative against the carrying value of the inventory when inventory
is recognised.
Derivatives - Cash flow hedge
The group uses derivative financial instruments to hedge its exposure to foreign exchange risks arising from operational,
financing and investing activities. In accordance with its Treasury Policy, the group does not hold or issue derivative financial
instruments for trading purposes. Derivative financial instruments are recognised initially at fair value on the date a derivative
contract is entered into. Subsequent to initial recognition, derivatives are re-measured at fair value.
The group designates certain derivatives as hedges of a highly probable forecast transaction (cash flow hedge). The effective
portion of changes in the fair value of derivatives designated as cash flow hedges is recognised in equity. The gain or loss on
the ineffective portion is recognised in profit or loss in other gains/(losses). When the hedged item is a non-financial asset (for
example, inventory or property, plant and equipment), the amount recognised in equity is transferred to the carrying amount
of the asset when it is recognised. In other cases, the amount recognised in equity is transferred to profit or loss in the same
period the hedged item is recognised in the Statement of Profit or Loss and Other Comprehensive Income. If the hedging
instrument no longer meets the criteria for hedge accounting, expires, is sold, terminated or is exercised, any cumulative gain
or loss previously recognised in equity remains in equity until the forecast transaction is ultimately recognised in profit or
loss. When a forecast transaction is no longer expected to occur, the cumulative gain or loss reported in equity is immediately
transferred to profit or loss within other gains/(losses).
Derivative financial instruments are classified as current if expected to be settled within 12 months; otherwise, they are
classified as non-current.
Impairment of non-financial assets
Assets that have indefinite useful lives that are not subject to amortisation and intangible assets not yet available for use are
tested annually for impairment. Assets (including intangibles and property, plant and equipment) subject to amortisation
and depreciation are reviewed for impairment whenever events or changes in circumstances indicate the carrying amount
may not be recoverable. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its
recoverable amount. The recoverable amount is the higher of an asset’s fair value, less costs to sell and value in use. For the
purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash
flows (cash-generating units).
Revenue recognition
Revenue is measured based on the consideration specified in a contract with a customer. The group derives its revenue from
the distribution and processing of steel and associated products. Revenue is recognised when the group transfers control
over products and services to its customers.
79Steel & Tube Annual Report 2024

The table below shows the contract portfolios identified by the group and further information on the revenue recognition.
The grouping of the contract portfolios is based on assessment of certain contract characteristics for similarities. The effects on the
financial statements of these groupings is not expected to differ materially from applying NZ IFRS 15 to the individual contracts
(or performance obligations) within the portfolio. The group regularly undertakes a process to review the contracts’ characteristics
and assess the appropriate grouping of the contract portfolios. Characteristics considered may include identified risks, contract size
and duration, and contractual terms of the contracts.
Contract
PortfolioDescriptionKey JudgementsOutcomeTiming of Recognition
Cash or Credit
Supply Sales
Any sales from individual
orders without a formal
written contract.
No major judgement
required.
There is one performance
obligation, being the supply of the
product.
Point in time
Revenue is recognised at point of
sale when the product is delivered.
Key Supply and
Supply and
Installation
Sales
Any contracts that contain
supply and may contain
installation performance
obligations which the
group has assessed to have
similar risk characteristics.
Where the contract
contains installation
services, determining
whether or not the
supply and installation
components are distinct
within the context of the
contract.
There are two performance
obligations, being supply of the
product and installation of the
product.
Installation of the product is
considered a distinct performance
obligation as supply only contracts
are also available on a stand-alone
basis.
Over time
Revenue relating to the supply
and where applicable, installation
performance obligations
are recognised on a stage of
completion basis based on the
input of labour and material costs,
as this corresponds directly with
the value to the customer of the
group’s performance completed
to date.
Other Supply
and Installation
Sales
Any contracts that contain
supply and installation
performance obligations
and have not been
included in the ‘Key Supply
and Supply and Installation
Sales’ contract portfolio.
Determining whether
or not the supply and
installation components
are distinct within the
context of the contract.
There are two performance
obligations, being supply of the
product and installation of the
product.
Over time
Revenue relating to the supply
and where applicable, installation
performance obligations are
each recognised in the amount
to which the group has a right to
invoice under the terms of the
contract.
Other Supply
Only Sales
Any contracts/sales
agreements that only have
supply of steel product
clauses.
Determining whether
each act of supply should
be treated as a separate
performance obligation
within the contract.
There is one performance
obligation, being the act of the
supply. Irrespective of how many
supply events occur, the products
supplied are all highly interrelated
in that they all are required for
the same construction project,
and therefore represent a series
of distinct supply events which
are substantially the same and
use the same method to measure
progress towards completion.
They are therefore accounted
for as a single performance
obligation.
Over time
The products supplied are
required to be modified to a
significant extent and do not
create an asset with an alternative
use to the group. The group has
a right to consideration from
the customer in an amount that
corresponds directly with the
value to the customer of the
group’s performance completed
to date.
Revenue relating to ‘Other Supply
Only Sales’ is recognised in the
amount to which the group has a
right to invoice under the terms of
the contract.
The group has also utilised the practical expedients specified in NZ IFRS 15 Revenue from Contracts with Customers in respect of the
requirement to disclose the transaction price allocated to unsatisfied (or partially unsatisfied) performance obligations, where the
contract has an original expected duration of one year or less, or where the group has applied the practical expedient to recognise
revenue at the amount to which it has a right to invoice, which corresponds directly to the value to the customer of the group’s
performance completed to date. Any volume-based rebates extended to customers by the group are recognised as a deduction from
revenue, in line with the pattern of transfer of control of the relevant good or service to the customer, where payment is deemed to
be highly probable.
80Steel & Tube Annual Report 2024

Leases
Under NZ IFRS 16, the group recognises right-of-use assets and lease liabilities for a number of categories of operating leases,
including:
• Property leases - the group has a variety of property leases across its national network of branches and processing facilities.
Where the group has entered into sub-leases in respect of its property leases, each sub-lease will be assessed under the
standard to determine if it qualifies as a finance lease or an operating lease under NZ IFRS 16
• Motor vehicle leases - the group leases motor vehicles for product deliveries and staff use in sales and day-to-day
operations
• Equipment leases - the group leases certain equipment for use in its distribution, manufacturing and warehousing activities.
This includes material handling equipment such as forklifts and pallet trucks
• Other leases - other leases includes the lease of assets such as IT equipment, photocopiers and other plant or office
equipment
On inception of a new lease, the lease liability is measured at the present value of the remaining lease payments, discounted
using the group’s incremental borrowing rate at that date. The right-of-use assets are measured at an amount equal to the
lease liability, and are depreciated over the estimated remaining lease term on a straight-line basis. The group presents the
right-of-use assets and lease liabilities separately on the face of the Balance Sheet.
The group has utilised the recognition practical expedients specified in NZ IFRS 16 in respect of short-term and low
value leases where appropriate, as well as the use of a single discount rate to a portfolio of leases with reasonably similar
characteristics.
New standards and interpretations issued and effective in the current period
The group adopted all mandatory new and amended NZ IFRS Standards and Interpretations in the current year. Refer to Note
A5 for disclosure on the impact of adopting Deferred Tax related to Assets and Liabilities arising from a Single Transaction
(Amendments to NZ IAS 12). No other new standards and interpretations issued and effective in the current period had a
material impact on the group's financial statements.
New standards and interpretations issued and not yet effective
A number of new standards, amendments to standards and interpretations are effective for annual periods beginning on
or after 1 July 2024. During the financial year, the International Accounting Standards Board issued IFRS 18 Presentation and
Disclosure in Financial Statements, which is effective for accounting periods beginning on or after 1 January 2027. The impact
of this standard is being assessed by the group, however it is expected that the standard will affect the presentation of the
financial statements.
The group is currently assessing the impact of other new standards to the group to determine if they will have a significant
impact on future financial statements. On this basis, the group has not adopted and currently does not anticipate adopting,
any standards prior to their effective dates.
Climate-related Disclosures
On 14 December 2022, the External Reporting Board (XRB) published its climate-related disclosures standards. The group is a
climate reporting entity for the purpose of the Financial Markets Conduct Act 2013. The group's climate-related disclosures for
the year ended 30 June 2024 will be accessible on Steel & Tube's website by 31 October 2024.
81Steel & Tube Annual Report 2024

© 2024 KPMG, a New Zealand Partnership and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a
private English company limited by guarantee. All rights reserved.
Document classification: KPMG Public
Independent Auditor’s Report
To the Shareholders of Steel & Tube Holdings Limited (Group)
Report on the audit of the consolidated financial statements
Opinion
We have audited the accompanying consolidated
financial statements which comprise:
the consolidated balance sheet as at 30 June
2024;
the consolidated statements of profit or loss and
other comprehensive income, changes in equity
and cash flows for the year then ended;
notes, including material accounting policy
information and other explanatory information.
In our opinion, the accompanying consolidated
financial statements of Steel & Tube Holdings Limited
(the Company) and its subsidiaries (the Group) on
pages 48 to 81 present fairly in all material respects:
the Group’s financial position as at 30 June
2024 and its financial performance and cash
flows for the year ended on that date; and
in accordance with New Zealand
Equivalents to International Financial
Reporting Standards (NZ IFRS) issued by
the New Zealand Accounting Standards
Board and the International Financial
Reporting Standards issued by the
International Accounting Standards Board.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (New Zealand) (ISAs (NZ)). We
believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
We are independent of Steel & Tube Holdings Limited in accordance with Professional and Ethical Standard 1
International Code of Ethics for Assurance Practitioners (Including International Independence Standards) (New
Zealand) issued by the New Zealand Auditing and Assurance Standards Board and the International Ethics
Standards Board for Accountants’ International Code of Ethics for Professional Accountants (including International
Independence Standards) (IESBA Code), and we have fulfilled our other ethical responsibilities in accordance with
these requirements and the IESBA Code.
Our responsibilities under ISAs (NZ) are further described in the Auditor’s responsibilities for the audit of the
consolidated financial statements section of our report.
Our firm has also provided other services to the Group in relation to pre-assurance services for Greenhouse Gas
Emission disclosure and half year review. Subject to certain restrictions, partners and employees of our firm may
also deal with the Group on normal terms within the ordinary course of trading activities of the business of the
Group. These matters have not impaired our independence as auditor of the Group. The firm has no other
relationship with, or interest in, the Group.
82Steel & Tube Annual Report 2024

Materiality
The scope of our audit was influenced by our application of materiality. Materiality helped us to determine the
nature, timing and extent of our audit procedures and to evaluate the effect of misstatements, both individually and
on the consolidated financial statements as a whole. The materiality for the consolidated financial statements as
a whole was set at $2.4 million determined with reference to a benchmark of the Group’s total revenue. We
chose the benchmark because, in our view, this is a key measure of the Group’s performance.
Key audit matters
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of
the consolidated financial statements in the current period. We summarise below those matters and our key audit
procedures to address those matters in order that the Shareholders as a body may better understand the process
by which we arrived at our audit opinion.
Our procedures were undertaken in the context of and solely for the purpose of our audit opinion on the
consolidated financial statements as a whole and we do not express discrete opinions on separate elements of the
consolidated financial statements.
The key audit matter How the matter was addressed in our audit
Revenue recognition $479 million
Key revenue streams include the recognition of
revenue from construction contracts within the
Infrastructure Division ($79 million), and revenue from
sales of goods and services within the Infrastructure
and Distribution Divisions ($400 million). Refer to the
segment information in Note A3 to the financial
statements.
Revenue recognition is a Key Audit Matter due to the
large volume of individual transactions recorded in the
year, and the complexity of the processes adopted to
ensure that revenue is recorded accurately in the
correct period. Specifically, we note;
— for construction contracts, revenue is recognised
over time based on either the estimated stage of
completion of each project or according to the
value to the customer of the Group’s performance
completed to date. When estimating stage of
completion, revenue is calculated based on the
proportion of total costs incurred at the reporting
date compared to the Group’s estimation of total
costs of the project, multiplied by the total
expected revenue from the project.
— for sale of products and services, revenue is
recognised when the Group transfers control to its
customers, typically when products have been
delivered to customers.
We evaluated revenue recognition performing
procedures including the following;
— obtaining an understanding of the Group’s
processes and controls relating to recognition of
revenue.
— for revenue from construction contracts, we selected
in-progress contracts according to a risk-based
criteria. For the selected contracts, we made
inquiries with management to understand the status
and risks of the project. We obtained the customer
contract to evaluate whether the contractual terms
were reflected in the Group’s estimation of total costs
and total expected revenues. We challenged the
completeness by comparison to supporting evidence
such as cost to date and material pricing.
— for revenue from the sale of products and services in
the period close to the year-end, we assessed, on a
sample basis, the accuracy of the inputs used by
management when assessing revenue cut-off. We
also obtained evidence of delivery dates for a
sample of transactions occurring before and after 30
June 2024.
— for revenue from the sale of products and services
throughout the year, we used data-driven audit
procedures to assess whether the sales transactions
were appropriately supported by underlying
evidence.
We did not identify any material misstatements in relation
to the recognition of revenue.
83Steel & Tube Annual Report 2024

Other information
The directors, on behalf of the Group, are responsible for the other information. The other information comprises
information included in the Annual Report, but does not include the financial statements and our auditor’s report
thereon.
Our opinion on the consolidated financial statements does not cover any other information and we do not express
any form of assurance conclusion thereon.
In connection with our audit of the consolidated financial statements our responsibility is to read the other
information and in doing so, consider whether the other information is materially inconsistent with the consolidated
financial statements or our knowledge obtained in the audit or otherwise appears materially misstated.
If, based on the work we have performed, we conclude there is a material misstatement of this other information,
we are required to report that fact. We have nothing to report in this regard.
Use of this independent auditor’s report
This independent auditor’s report is made solely to the Shareholders. Our audit work has been undertaken so that
we might state to the Shareholders those matters we are required to state to them in the independent auditor’s
report and for no other purpose. To the fullest extent permitted by law, none of KPMG, any entities directly or
indirectly controlled by KPMG, or any of their respective members or employees, accept or assume
any responsibility and deny all liability to anyone other than the Shareholders for our audit work, this
independent auditor’s report, or any of the opinions we have formed.
Responsibilities of directors for the consolidated financial
statements
The directors, on behalf of the Group, are responsible for:
— the preparation and fair presentation of the consolidated financial statements in accordance with NZ IFRS
issued by the New Zealand Accounting Standards Board and the International Financial Reporting
Standards issued by the International Accounting Standards Board;
— implementing the necessary internal control to enable the preparation of a consolidated set of financial
statements that is free from material misstatement, whether due to fraud or error;
— assessing the ability of the Group to continue as a going concern. This includes disclosing, as applicable,
matters related to going concern and using the going concern basis of accounting unless they either
intend to liquidate or to cease operations or have no realistic alternative but to do so.
84Steel & Tube Annual Report 2024

Auditor’s responsibilities for the audit of the consolidated
financial statements
Our objective is:
— to obtain reasonable assurance about whether the financial statements as a whole free from material
misstatement, whether due to fraud or error; and
— to issue an independent auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance but it is not a guarantee that an audit conducted in accordance
with ISAs NZ will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error. They are considered material if, individually or in the aggregate, they
could reasonably be expected to influence the economic decisions of users taken on the basis of the consolidated
financial statements.
A further description of our responsibilities for the audit of the consolidated financial statements is located at the
External Reporting Board (XRB) website at:
https://www.xrb.govt.nz/standards/assurance-standards/auditors-responsibilities/audit-report-1/

This description forms part of our independent auditor’s report.
The engagement partner on the audit resulting in this independent auditor’s report is Laura Youdan.

For and on behalf of:

KPMG
Auckland
23 August 2024
85Steel & Tube Annual Report 2024

Director Remuneration
As at 30 June 2024, the standard directors’ fees per annum were $165,000 for the chair and $87,500 for each non-executive director.
Board committee chairs also receive additional fees of between $10,000 – $15,000 for their committee responsibilities.
Directors’ fees exclude GST, where applicable. Directors are entitled to be reimbursed for costs directly associated with carrying out
their duties, including travel costs. Board policy is that no sum is paid to a director upon retirement or cessation of office.
Directors do not participate in the company's short or long term incentives.
The total amount of remuneration and other benefits received by the directors during the year ended 30 June 2024 was $642,500 as
shown in the table below:
DirectorDirector Fees
Committee
Chair FeesFY24 TotalResponsibility
Susan Paterson165,000-165,000Board Chair
Steve Reindler8 7, 5 0 010,0009 7, 5 0 0People & Culture Committee Chair
Chris Ellis8 7, 5 0 015,000102,500QHSET Committee Chair
John Beveridge8 7, 5 0 0-8 7, 5 0 0
Karen Jordan8 7, 5 0 015,000102,500Audit & Risk Committee Chair
Andrew Flavell 8 7, 5 0 0-8 7, 5 0 0
Executive Remuneration
Steel & Tube’s Remuneration Policy and practices are designed to attract, retain and motivate high calibre people at all levels
of Steel & Tube.
Board policy is that no additional amounts are paid to the Chief Executive Officer or any other executive upon retirement or
cessation of office. There were no special joining payments, retention payments or takeover bonuses paid to any executive
in FY24.
The CEO and executives have the potential to earn a Short Term Incentive (STI) each year. Steel & Tube’s STI is based on
performance targets and is designed to differentiate performance and reward delivery. STI values for the CEO and executives are
set as a percentage of Fixed Annual Remuneration (FAR) based on the scale, complexity and performance expectations of each
individual STI participant’s role.
STI performance targets reflect a mixture of financial, quality & safety, customer services and strategy delivery objectives
appropriate for the position held by the individual STI participant.
The STI plan also includes a company based performance hurdle, where no STI is payable to any participant if the year-end results
are 80% or less of the company’s financial target.
If there is a fatality or serious harm where the board deems either the company as a whole or participating individuals are culpable,
the board may decide that no STI payment (all components) will be paid to one, some or all of the participants.
The CEO and executives, together with a limited number of non-executive senior managers, also have the potential to earn a Long
Term Incentive (LTI). Steel & Tube’s LTI is designed to incentivise and retain key personnel, align the interests of executives and
shareholders and encourage long-term decision-making. LTI values for the CEO and executives are set as a percentage of FAR.
The current LTI (referred to as the Performance Rights Plan (PRP)) was developed and approved by the board in February 2018.
The PRP performance period runs for three years and comprises of two performance conditions (50% each) as outlined in Note E5
of the Financial Report.
The STI and LTI are both variable elements of remuneration, with selected employees invited to participate each year as approved
by the board. Payments are only made if individual, company and shareholder TSR performance conditions and targets are met.
Remuneration
86Steel & Tube Annual Report 2024

CEO Remuneration
The CEO’s overall remuneration as at 30 June 2024 consists of a fixed annual remuneration (FAR), an STI at 60% of FAR and an LTI of
40% of FAR. This is reviewed annually by the People & Culture Committee and approved by the board each year.
The performance targets for the CEO for the year ending 30 June 2024 were as follows:
Target KPIsWeighting
Financial – Return on Funds Employed (ROFE)50%
Completion of Nominated Strategic Initiatives25%
Health & Safety – Leading and lagging indicators10%
Customer Engagement8%
Employee Engagement7%
The board ensures that the CEO’s remuneration, including base salary, is aligned with appropriate market rates and reflects
performance and delivery of sustainable shareholder value.
The table below sets out CEO FAR and the pay for performance components of the CEO’s remuneration package on an annualised
basis. This table sets out the pay for performance outcomes for STI and LTI assuming 100% is paid out.
Target Remuneration (as at 30 June):
Fixed RemunerationPay for Performance
Total Target
RemunerationFAR¹
Non-taxable
benefits
2
Sub totalTarget STI
�
Ta r g e t LT I
4
Subtotal
2024$1,083,316nil$1,083,316$ 6 49,9 9 0$433,326$1,083,316$2,166,632
2023$875,500nil$875,500$525,300$350,200$875,500$1,751,000
2022$875,500nil$875,500$458,556$ 4 0 9,13 8$ 8 6 7, 6 9 4$1,743,194
2021$728,280nil$728,280$218,484$291,312$509,796$1,238,076
2020$714,000nil$714,000$428,400$285,600$714,000$1,428,000
Details of what has been paid to the CEO in the past five years are outlined below:
Actual Remuneration Received (for the financial year ended):
FAR¹
Non-taxable
benefits
2
STI earned in FY
3
Value of LTI
vested during FY
4
Total remuneration
earned during FY
FY24$1,048,680 nilnil$516,490$1,565,170
FY23$875,500nil$708,871$422,321$2,006,692
FY22$794,786nil$ 6 8 7, 8 3 4nil$1,482,620
FY21$721,140nil$273,105nil$994,245
FY20$702,880nilnilnil$702,880
1
FAR includes any KiwiSaver employer contributions
2
There were no costs associated with any other benefits during the year ended 30 June 2024
3
STI target for the full year is subject to achievement of performance targets as agreed with the board in each year. No STI was payable in FY24 as financial threshold was not
achieved
4
LTI value of actual Rights granted in each year (which may be exercised after the completion of the three year performance period, providing and only to the extent that the
performance conditions have been satisfied)
87Steel & Tube Annual Report 2024

Pay Gap
The Pay Gap represents the number of times greater the CEO's remuneration is to the remuneration of an employee paid at the
median of all Steel & Tube employees. For the purposes of determining the median paid to all Steel & Tube employees, all permanent
full-time, permanent part-time and fixed-term employees are included, with part-time employee remuneration adjusted to a full-time
equivalent amount.
At 30 June 2024, the CEO's fixed remuneration of $1,083,316 was 15.5 times (30 June 2023: 12.99 times) that of the median employee at
$69,888 per annum.
Employee Remuneration
The number of employees or former employees who received remuneration and other benefits valued at or exceeding $100,000
during the year to 30 June 2024 are specified in the table below.
The remuneration noted includes all monetary payments actually paid during the course of the year ended 30 June 2024, any
restructuring and redundancy related compensation, value of shares vested under the terms of the long term incentive scheme and
all short term performance incentive payments.
The remuneration paid to, and other benefits received by, the CEO for the year ended 30 June 2024 are detailed on page 87 and are
excluded from the table.
Remuneration Range $0002024
100 - 11032
110 - 12039
120 - 13016
130 - 14020
140 - 15013
150 - 1607
160 - 1707
170 - 1804
180 - 1903
190 - 2004
200 - 2105
210 - 2202
220 - 2303
230 - 2401
240 - 2502
250 - 2601
260 - 2701
270 - 2801
280 - 2901
290 - 3001
300 - 3101
310 - 3201
340 - 3501
350 - 3601
390 - 4001
490 - 5001
610 - 6201
620 - 6301
730 - 7401
750 - 7601
To t a l173
88Steel & Tube Annual Report 2024

Directors’ Interests
Directors have made general disclosures of interests in accordance with section 140(2) of the Companies Act 1993. Current interests as at
30 June 2024, including those which ceased during the year, are detailed below:
Susan Paterson
Theta Systems Ltd Chair
Evolution Healthcare Ltd & associated
companies
1
Chair
EROAD Ltd (previously a Director)
2
Chair
Reserve Bank of New Zealand Governance
Board
Board Member
Les Mills Holdings LtdDirector
Arvida Group Ltd Director
Lodestone Energy Limited Director
Steve Reindler
D&H Steel Construction Ltd Chair
Clearwater Construction LtdChair
Waste Disposal Services Unincorp JVChair
Lincoln University Works Programme
1
Chair
Broome International Airport Group &
affiliates
Director
Te Kaha Project Delivery Limited Director
Port of Auckland Limited Director
Whitford Community Charitable TrustTrustee
Museum of NZ Te Papa Tongarewa
Governance Group
Independent
Advisor
Andrew Flavell
ASB Technical Advisory Group Chair
Port of Auckland Limited Director
Les Mills International
2
Contractor
Chris Ellis
Ingot Holdco Limited & affiliates
(formerly Hiway Group)
2
Chair
Disputes Review Board – Central
Interceptor Project
Chair
Oxcon CLL LimitedAdvisory Chair
John Fillmore Contracting LimitedAdvisory Chair
Titan Contracting Group Limited
2
Advisory Chair
Horizon Energy Distribution Limited &
affiliates
Director
John Beveridge
NZ Scaffolding Group Ltd & affiliatesChair
Door & Window Systems Auckland Limited
& affiliates
Director
Horizon Energy Distribution Limited &
affiliates
1
Director
Karen Jordan
Lyttelton Port Company Limited Director
New Zealand Defence Force (NZDF) Risk
and Assurance Committee
Member
IRD Risk Assurance Committee
1
Member
Disclosures
1
Interest no longer held as at 30 June 2024
2
Appointed during the financial year ended 30 June 2024
89Steel & Tube Annual Report 2024

Information Used by Directors
There were no notices from directors requesting to disclose or use company information received in their capacity as directors that
would not otherwise have been available to them.
Directors’ Shareholdings
Steel & Tube securities in which each director has a relevant interest as at 30 June 2024 are:
DirectorShares held
Susan Paterson262,425 beneficially owned
Steve Reindler115,177 beneficially owned
Chris Ellis10,000
John Beveridge20,000 beneficially owned
Karen Jordan10,000
Andrew Flavell1,000
Directors’ Security Dealings
During the year ended 30 June 2024 directors’ disclosed the following securities transactions in respect of section 148(2) of the
Companies Act 1993 and sections 297(2) and 298(2) of the Financial Markets Conduct Act 2013.
These transactions took place in accordance with Steel & Tube’s Insider Trading Policy.
DirectorDate of Transaction
Number of shares
acquired / (disposed)Nature of transactionConsideration
Karen Jordan14 November 20238 ,9 3 1On-market acquisition$9,4 67
Steve Reindler16 November 202320,000On-market acquisition$21,624
Indemnities and Insurance
In accordance with section 162 of the Companies Act 1993 and Steel & Tube’s Constitution, the company has arranged Directors and
Officers Liability insurance covering directors and employees of Steel & Tube, including directors of subsidiary companies, for liability
arising from their acts or omissions in their capacity as directors or employees. The insurance policy does not cover dishonest,
fraudulent, malicious or willful acts or omissions.
Subsidiary Companies Directors
The remuneration of employees appointed as directors of subsidiary companies is disclosed in the relevant banding of remuneration
set out under the heading Employee Remuneration. Employees did not receive additional remuneration or benefits for being
directors during the year.
90Steel & Tube Annual Report 2024

Directors of the subsidiary companies as at 30 June 2024 were:
CompanyDirectors
Steel & Tube New Zealand LimitedMark Malpass, Richard Smyth
Composite Floor Decks Holdings LimitedMark Malpass, Richard Smyth
Studwelders LimitedMark Malpass, Richard Smyth
S & T Stainless LimitedMark Malpass, Richard Smyth
Manufacturing Suppliers LimitedMark Malpass, Richard Smyth
S & T Plastics LimitedMark Malpass, Richard Smyth
Composite Floor Decks LimitedMark Malpass, Richard Smyth
Steel & Tube Holdings Limited (STU) Analysis Of Shareholding
As at 30 June 2024
Holding RangeHolder CountHolder Count %Holding QuantityHolding Quantity %
1 to 9991,44920. 56%593,4330.35%
1,000 to 4,9992,37233.64%5,732,0263.42%
5,000 to 9,9991,11015.74%7, 5 9 1 , 8 5 54.54%
10,000 to 49,9991,6892 3 .95%3 4,9 15 ,69 220.86%
50,000+4316.11%118 , 5 5 2,9 1770.83%
To t a l7,0 5 1100.00%167,385,923100.00%
Substantial Security Holder
The company received no Substantial Security Holder notices during the year ended 30 June 2024.
Issued shares in the company at 30 June 2024 comprise:
Ordinary shares fully paid1 6 7, 3 8 5 ,9 2 3
Ordinary shares partly paid (no voting rights)^25,000
167,410,923
^ Shares issued in the Senior Executives Share Scheme 1993
91Steel & Tube Annual Report 2024

Top 20 Shareholders
As at 30 June 2024
Twenty largest security holders as at 30 June 2024
Ordinary
SharesPercentage
New Zealand Steel Limited26,274,75315.70%
Lennon Holdings Limited9,581,5935.72%
New Zealand Depository Nominee Limited3,895,3222.33%
Citibank Nominees (New Zealand) Limited*3,228,8791.9 3 %
Custodial Services Limited3,127,8901.87%
Leveraged Equities Finance Limited2,992,3571.79%
HPI Avondale Limited2,103,7861. 26%
FNZ Custodians Limited1,957,4441.17%
Neil Douglas Waites & Anthony Gene Waites & Richard Boyd Waites1,770,0001.06%
Maxima Investments Limited1,450,0000.87%
Accident Compensation Corporation*1,421,3260.85%
John Francis Managh1,404,7380.84%
Forsyth Barr Custodians Limited1,280,5660.77%
Andrew Paul Lissaman Everist1,272,0000.76%
HSBC Nominees (New Zealand) Limited*1 , 2 5 7, 0 0 20.75%
Trevor Jeffrey Corfield1,050,4000.63%
John Francis Managh & David Robert Percy999,4540.60%
Grandview Grazing Limited9 1 7, 5 5 00.55%
Public Trust Class 10 Nominees Limited*7 1 7, 0 3 40.43%
Brian Robert Hardgrave620,0000.37%
67, 3 2 2 ,0 9 440.22%
* Shares held in New Zealand Central Securities Depository (NZCSD)
92Steel & Tube Annual Report 2024

Glossary
E B I T: Earnings / (Loss) before the deduction of interest and tax
EBITDA: Earnings / (Loss) before the deduction of interest, tax,
depreciation and amortisation
TRIFR: Employee Total Recordable Injury Frequency Rate per
1 million work hours
ISO: International Organization for Standardization
kgCO2e: Kilograms of Carbon Dioxide Equivalent (a standard
unit for counting greenhouse gas emissions)
Normalised EBIT/EBITDA: EBIT and EBITDA excluding non-
trading adjustments and unusual transactions
N PAT: Net profit after tax
XRB: External Reporting Board
93Steel & Tube Annual Report 2024

Registered Office
7 Bruce Roderick Drive, East Tamaki,
Auckland 2013, New Zealand
PO Box 58880, Botany, Auckland 2163,
New Zealand
Ph: +64 4 570 5000 Fax: +64 4 570 2453
Email: info@steelandtube.co.nz
Website: www.steelandtube.co.nz
Directors
Susan Paterson Chair and Independent Director
Steve Reindler Independent Director
Christopher Ellis Independent Director
John Beveridge Independent Director
Karen Jordan Independent Director
Andrew Flavell Independent Director
Auditor
KPMG Auckland
18 Viaduct Harbour Avenue, Auckland 1010
Share Registry
Computershare Investor Services Limited
Private Bag 92119, Auckland 1142, New Zealand
Ph: +64 9 488 8777 Fax: +64 9 488 8787
Email: enquiry@computershare.co.nz
Website: w w w.computershare.co.nz
Bankers
ANZ New Zealand
ANZ Centre, 23-29 Albert Street, Auckland 1010
Solicitors
Chapman Tripp Auckland
Level 34, PwC Tower, 15 Customs Street West
PO Box 2206, Auckland 1140
Financial Calendar
Half year results announced February
End of financial year 30 June
Annual results announced August
Annual report August
Stock Exchange
The company’s shares trade on the New Zealand
Exchange under the code STU
Directory
Steel & Tube Annual Report 202494Steel & Tube Annual Report 202394

steelandtube.co.nz
96Steel & Tube Annual Report 2024

FY24 results announcement and analyst briefing Steel & Tube - Ongoing Disclosure Notice - Chris Ellis

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.

Other issuers discussed similar conditions around this time

Matched by meaning across NZX announcement text, not keywords — based on our semantic index of announcement bodies.

VSL — Vulcan Steel Limited: FY24 – Full year results announcement
2024-08-26
“*m – million Vulcan Steel Limited 29 Neales Road East Tamaki Auckland New Zealand e: investor@vulcan.co | w: vulcan.co Vulcan Steel Limited (ASX: VSL, NZX: VSL) ASX/NZX/Media Release 27 August 2024 Vulcan continues to deliver sound fi…”