2024 Annual Shareholders’ Meeting Speech and Presentation

News Release
STOCK EXCHANGE LISTINGS: NEW ZEALAND (FPH), AUSTRALIA (FPH)

2024 Annual Shareholders’ Meeting Speech and Presentation

Auckland, New Zealand, 28 August 2024 – Fisher & Paykel Healthcare Corporation Limited has
provided the attached Chair’s speech and CEO’s slide presentation for the 2024 Annual Shareholders’
Meeting.

There is no new material information contained within the speech or the presentation.

The speech is available on the company’s website at
https://www.fphcare.com/nz/corporate/investor/events/ and the presentation can be found at
https://www.fphcare.com/nz/corporate/investor/reports/.

Fisher & Paykel Healthcare’s Annual Shareholders’ Meeting is scheduled for 2pm NZST, 12pm AEST
(10pm USEDT) on Wednesday, 28 August. To participate go to: http://www.virtualmeeting.co.nz/fph24.

About Fisher & Paykel Healthcare
Fisher & Paykel Healthcare is a leading designer, manufacturer and marketer of products and systems
for use in acute and chronic respiratory care, surgery and the treatment of obstructive sleep apnea. The
company’s products are sold in over 120 countries worldwide. For more information about the company,
visit our website www.fphcare.com.

Contacts:

Media Investors
Karen Knott
GM Corporate Communications
karen.knott@fphcare.co.nz

+64 (0) 21 713 911
Dan Adolph
Head of Investor Relations
daniel.adolph@fphcare.co.nz

+64 (0) 22 511 4050


Authorised by Raelene Leonard, General Counsel and Company Secretary.

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FISHER & PAYKEL HEALTHCARE CORPORATION LIMITED
ANNUAL SHAREHOLDERS’ MEETING
28 AUGUST 2024

ADDRESS BY SCOTT ST JOHN
CHAIR

I’d like to begin my address by thanking our people, our customers and our clinical
partners.

Approximately 20 million patients were treated with Fisher & Paykel Healthcare
products over the past year. Behind that number is a cast of thousands working
tirelessly to get our products to where they’re needed and administer care to
patients. As a Board, we applaud your efforts.

We announced a pleasing performance for the 2024 financial year back in May. We
saw a return to our trajectory of growth following several years of changing demand
patterns.

Full-year operating revenue was $1.74 billion, up 10 per cent over the prior year, or
8 per cent in constant currency. Reported net profit after tax was $132.6 million,
impacted by three abnormal items: the valuation of the company’s land at Karaka,
the removal of tax deductions for the depreciation of buildings, and the voluntary
limited recall of Airvo 2 and myAirvo 2 devices manufactured before August 2017.
Underlying net profit after tax, which excludes these abnormal items, was $264.4
million, a 6 per cent increase over the previous financial year, or 5 per cent in
constant currency.

Hospital product group revenue for the full year was $1.1 billion, a 6 per cent
increase compared to the previous year, or 5 per cent in constant currency. We saw
consumable sales return to patterns we were accustomed to seeing prior to COVID.

Homecare product group revenue for the full year was a record $652.3 million, 18
per cent higher than the previous year, or 16 per cent in constant currency. The
Evora Full mask has continued to support growth in North America and Europe.

There is positive momentum on the new product front across both product groups –
our investment in R&D continues to bear fruit. In the Hospital space, we’ve recently
launched the Airvo 3 and 950 systems into the US, and we gained FDA approval for
our new Optiflow Duet nasal cannula. In Homecare, our mask portfolio has been
strengthened with the additions of F&P Solo and F&P Nova Micro.

We made good headway in our efforts to return to our long-term margin targets.
Underlying gross margin, which excludes the provision for the product recall, was
61.1 per cent, compared to 59.8 per cent a year earlier. Lower freight costs,
manufacturing efficiencies and pricing all contributed to this gain.

Returning to 65 per cent gross margin and 30 per cent operating margin remains a
priority for the business. I have confidence we will get there through our normal
behaviours of continuous improvement – we have a demonstrable track record of

steady margin gains prior to the distortion we saw through the pandemic. We are
determined to achieve this recovery in a way that does not divert resources in the
near term, nor compromise our long-term growth aspirations. This is a balancing
act, and I am pleased with our progress so far.

The Board approved a dividend of 23.5 cents per share for the second half, which
was paid to shareholders on the 10
th
of July. This took the total dividend for the
2024 financial year to 41.5 cents per share, an increase of 2 per cent over the
previous financial year.

There were a number of significant non-financial milestones achieved through the
year as well – I’ll call out two in particular that relate to our infrastructure expansion.
We formally opened our third building in Mexico last September, and we were
privileged to be there for the occasion as a Board. And just last month we received
final regulatory clearance for our manufacturing facility in Guangzhou, China. The
site is now operational.

Environmental and social responsibility remains firmly on the agenda at the Board
level, and we have created a dedicated session in every Audit & Risk Committee
meeting for discussion of these matters. We have continued to expand our
reporting in this area, and many of you may have seen our first Climate-Related
Disclosures in accordance with the External Reporting Board’s new standards in
New Zealand in our annual report. In these disclosures, we identify climate-related
risks and opportunities for our business.

Coming back to the present day, we updated the market on Friday with our latest
line of sight for the 2025 financial year. I’ll leave Lewis to comment on that update in
more detail shortly.

Turning now to your Board.

We farewelled Donal O’Dwyer at the end of December following 11 years of
incredibly valuable service to Fisher & Paykel Healthcare.

We welcomed Graham McLean to the Board in October last year, and he has
brought with him a significant amount of experience in the medical devices industry,
including more than a decade and a half in regional leadership roles with Stryker.
He will speak to his election later in the agenda.

We also welcomed Charlotte Walshe into the fold at the beginning of this calendar
year as part of the Future Directors programme. We remain supporters of this
initiative, which offers emerging New Zealand directors an opportunity to develop
governance experience.

And more recently, we announced the appointment of Mark Cross to the Board,
with effect from 1 October 2024. Mark is a global, strategic thinker with strong
financial acumen. He is currently chair of both the Chorus board and the ACC
Investment Committee, while also serving as a director for Xero.

Mark’s appointment will bring the Board up to full strength given my departure. As
indicated back in March this year, I am retiring from the Board of Fisher & Paykel
Healthcare at the close of this meeting.

The highly capable Neville Mitchell has been elected by the Board to become chair.
Neville has been a director since 2018 and has led our Audit & Risk Committee
since 2020. He has outstanding credentials, including more than 20 years as Chief
Financial Officer at Cochlear. He is currently on the Board of Sigma Healthcare and
Sonic Healthcare – two large listed healthcare businesses. I have every confidence
in his ability to lead the Board going forward.

I am incredibly encouraged by the current state of the business – in my view, F&P
is in the strongest position we have been in during my time on the Board.

We are well placed to capitalise on the considerable addressable markets we have
in front of us. Holding to our processes, remaining focused on execution, and
keeping an eye on long-term sustainable outcomes will continue to deliver
exceptional outcomes for patients, partners and our shareholders.

Thank you to my fellow directors, and all those throughout the business that I’ve
crossed paths with, for a thoroughly enjoyable nine years as director. It has been a
privilege to have had a front-row seat in the growth of this special company and I
will continue to watch on with keen interest as a shareholder.

ADDRESS BY LEWIS GRADON
MANAGING DIRECTOR & CHIEF EXECUTIVE OFFICER

Please refer to separate PowerPoint slide presentation.

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Constant currency growth rates for revenue and net profit after tax

*New applications = Noninvasive ventilation (NIV), nasal high flow, surgical
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DIVIDEND HISTORY
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Long Term Gross Margin targetLong Term Operating Margin target
0%
10%
20%
30%
40%
50%
60%
70%
FY14FY15FY16FY17FY18FY19FY20FY21FY22FY23FY24*
0%
5%
10%
15%
20%
25%
30%
35%
40%
FY14FY15FY16FY17FY18FY19FY20FY21FY22FY23FY24*

Applications outside of invasive ventilation
Surgical
Home Respiratory
Support
Obstructive Sleep
Apnea
Noninvasive
Ventilation
Invasive
Ventilation
Hospital
Respiratory Support
Infant Care
Anesthesia

The image above is an illustration of the company’s long-term growth aspirations. It is not a graph and should not be interpreted as being
indicative of levels of revenue or profitability in the short term.

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