The Warehouse Group Limited FY24 Results

1



_________________________________________________________________________

The Warehouse Group announces FY24 results with a focus on
fixing performance
_________________________________________________________________________

Auckland, 26 September 2024

• Total Group sales $3.0 billion in FY24, down 6.2% compared to FY23
• The Warehouse sales were $1.8 billion, down 5.3%
• Warehouse Stationery sales were $231.9 million, down 6.7%
• Noel Leeming sales were $1.0 billion, down 5.3%
• Gross Profit Margin held flat at 33.6%
• Adjusted NPAT of $18.9 million, down from $57.4 million in FY23
• Net Loss After Tax of $54.2 million, down from NPAT of $29.8 million in FY23
• Net Debt of $50.7 million.

Today The Warehouse Group announced its FY24 financial results, reflecting one of its
toughest years on record.
The Group is reporting a Net Loss After Tax of $54.2 million, significantly impacted by the
disposal of Torpedo7 in March 2024. This result compares to a Net Profit after Tax of $29.8
million in FY23. The Group’s Operating Profit
1
(EBIT) is $28.9 million, which is at the higher
end of the guidance range provided to the market in June, while Adjusted Net Profit After
Tax
2
(NPAT) is $18.9 million compared to $57.4 million in FY23.
Chair Dame Joan Withers described the last financial year as one of the most challenging in
the company’s 42-year history.
“The economic climate in Aotearoa New Zealand has been difficult for most retailers, with
inflation, high interest rates, and a weak economy significantly reducing consumer demand.
However, our trading performance and operational execution have fallen short and
exacerbated these challenges.”
“The poor financial performance we’ve reported this year is not acceptable. The Board and
Executive Leadership team are acutely aware of the disappointment shareholders will be
experiencing and the big job ahead of us to get the company back on track.”
Interim Chief Executive Officer John Journee says work is well underway to turn
performance around.

1
Operating Profit excludes the impact of NZ IFRS16 and unusual items and is a non-GAAP measure.
For a reconciliation between Operating Profit and Reported EBIT refer to Note 2.0 of the Financial
Statements for the 52 weeks ending 28 July 2024.
2
Adjusted Net Profit After Tax (NPAT) excludes the impact of NZ IFRS16 and unusual items and is a
non-GAAP measure. For a reconciliation between Reported and Adjusted NPAT refer to Note 5.0 of
the Financial Statements for the 52 weeks ending 28 July 2024.

2

“While trading conditions have been tough, our FY24 performance is disappointing, and
we’ve simply scored too many own goals. Our ecosystem strategy was too ambitious, and
we took our eye off the ball on product. We held onto Torpedo7 and TheMarket.com too
long, reacted too slowly to changing customer spending, and fell out of step with what Kiwi
families want.
“We’ve made mistakes and we own that. But we know where we went wrong, and we’re
already working hard to fix it.”
Financial performance
Total Group sales were $3.0 billion (down 6.2% from FY23). Sales declined 4.9% in the first
half of FY24 but deteriorated further in the second half and were down by 7.6% on H2FY23.
The greatest impact was the decline in The Warehouse division’s retail sales which
contracted 5.3% to $1.8 billion in FY24, compared to the brand’s record FY23 sales of $1.9
billion. Warehouse Stationery sales were $231.9 million (down 6.7%) and Noel Leeming
sales were $1.0 billion (down 5.3%) in FY24.
Mr Journee says FY24 was an extremely difficult year where the company’s response to
deteriorating market conditions fell short of what was required.
“Even without the $60.5 million loss from the sale of Torpedo7, our underlying profit was still
down on the previous year. We need to significantly improve our performance and in the
time since I assumed the Interim Chief Executive role, I have been focused on ensuring we
are set up to execute our turnaround plan which is now underway.
Brand performance
The Warehouse
The Warehouse sales were $1.8 billion in FY24, down 5.3% against the last financial year.
Despite the decreased sales, The Warehouse gross profit margin percentage held up,
increasing 10 basis points on the prior year. Store foot traffic and same store sales
decreased at a slower rate than headline sales at 2.2% and 2.9% respectively.
The Warehouse operating profit declined 75.3% to $17.7 million, with an operating margin of
1.0% down 280 basis points on the prior year, driven by lower gross profit dollars, and higher
depreciation and Group overhead costs, particularly in the second half.
The Warehouse is an iconic New Zealand retailer known for a bargain, and we should be the
go-to choice for Kiwis navigating a rising cost-of-living.
However, our category strategy was off the mark, our execution was poor, and our customer
offer was inconsistent. We had successes with our grocery, audio visual, home technology
and outdoor leisure categories, but this was offset by declines in the sales of home and
apparel.
“We’ve had a particularly challenging second half. Our winter range didn’t resonate
sufficiently with customers and we needed to discount heavily as a result. This, along with
increased promotional activity, caused the 250 bps gross margin gains achieved in the first
half to be eroded in the second half, ultimately delivering a modest gross profit margin of 10
bps year on year,” says Mr Journee.

3

Grocery sales continued to grow with pet, baby, health and beauty, laundry and pantry all
performing strongly.
“Kiwi families continue to look to us for more affordable options and we’re seeing success
with our private labels, such as Market Kitchen in pantry and Good One in health and
beauty. However, grocery is only one of several key categories for us and we’re working
hard to strengthen our offer in home and apparel to reset our category and margin mix and
improve our overall performance.”
Warehouse Stationery
Warehouse Stationery sales were down 6.7% to $231.9 million in FY24. Our Print & Copy
Centre products and service continued to be our highest growth category, up 14.0% in FY24.
Warehouse Stationery operating profit declined 44.0% to $12.9 million, with an operating
margin of 5.6% down 370 basis points on the prior year.
Noel Leeming
Noel Leeming performance was challenged by tough trading conditions, driven by reduced
discretionary spend on high ticket items and an increasingly competitive market.
Margin, however, only declined 20 bps, indicating tight trading disciplines in a competitive
market. Combined with a small uptick in cost of doing business as a percentage of sales,
Operating Profit declined 36.6% to $17.3m with an operating margin of 1.7% down 90 basis
points on the prior year.
Getting our brands fighting fit
“The distraction of delivering the Group ecosystem strategy, Agile, and the multi-year
modernisation of core systems, meant execution across core retail capabilities was not
where we needed it to be. So, we’re changing all that to get us fighting fit,’ says Mr Journee.
“We have reset the Group strategy, divested unprofitable businesses, and moved away from
the ecosystem strategy to a retail led strategy focused on trading our core brands, The
Warehouse, Warehouse Stationery and Noel Leeming.
“The shift to a brand-led strategy is centred on strengthening each brand’s specific customer
value propositions to enable them to more effectively compete.
“In July, we restructured our senior leadership and changed our operating model from Agile
to a fit-for-purpose retail operating model.
“The Warehouse will be our key focus. We’re getting back to basics by focusing on our core
retail strengths. We’ve begun resetting our categories to bring in more trend and newness,
and better merchandising. This will strengthen our market position and improve profitability.
“With the right strategy underpinning our actions, we’re determined to deliver on our promise
to provide great products at affordable prices.”
Dividend
In March, the Board declared an FY24 interim dividend of 5.0 cents per share.

4

The interim dividend paid in April 2024 represents a 92% payout ratio, exceeding the
Group’s dividend policy to distribute at least 70% of the Group’s full-year adjusted net profit
(subject to tradingf performance, market conditions and liquidity requirements).
Dame Joan says, “As a result of the Group’s financial performance resulting in a net
operating loss in the second half of this financial year, the Board has made the decision not
to declare a final dividend for FY24.”
Looking ahead
“The retail environment in New Zealand remains tough as recent GDP figures show, and we
expect that consumer demand and market conditions will continue to be challenging and
unpredictable in the near term. We remain cautious about when we might see a meaningful
increase in retail spending,” says Mr Journee.
“We’re under no illusions of the challenges ahead of us. While we’ve been able to regain
market share in our core retail segment in the first six weeks of FY25, our sales have been
soft and our gross profit remains under pressure as we clear the last of our winter stock and
continue to reset our product offer.
“With our strategic focus firmly back on trading our brands and on renewing and energising
our product ranges, the team and I look forward to being able to demonstrate progress in the
year ahead.”
The Group will share a FY25 Q1 Trading Update on 8 November 2024.
Ends
Contact details regarding this announcement:

Investors and
analysts:
Julia Belk, Investor Relations Manager
+64 21 240 8997
julia.belk@thewarehouse.co.nz

Media: Julian Light, General Manager Corporate Affairs
+64 21 243 8528
julian.light@twgroup.co.nz

---

26 September 2024
FY2024 Annual Results
52 weeks ending 28 July 2024
Helping Kiwis live better every day

03
05
09
24
28
31
34
2
Chair’s Update – Dame Joan Withers
Group Update – John Journee
Group Financial Performance – Mark Stirton
Turnaround Plan – John Journee
Looking ahead – John Journee
Appendix – Additional Information
Glossary
Contents

3
Chair update
Dame Joan Withers
Chair

4
Chair update – Year in review
•Challenging economic environment continues to impact consumer spend
•Our trading performance and operational execution have exacerbated the
challenges of a difficult environment
•We have taken action to turn the business around:
•Torpedo7 sold - the loss incurred on sale has resulted in the first loss for
The Warehouse Group in our history
•Leadership team and business restructured around our three core brands
•Focus on reducing costs of doing business and capital expenditure
•No final dividend declared - FY24 interim dividend of 5.0 cents per share,
representing 92% payout of Adjusted NPAT
•We are absolutely focused on simplifying our business, reducing our cost of
doing business, and sharpening the focus on our core brands to turn our
performance around.
Our 2024 financial year has been one of the most challenging in our 42-year history
All financial results in this presentation are reported on a continuing operations basis (excluding Torpedo7) unless otherwise stated. Refer to Note 17 of the financial statements for the 52 weeks
ending 28 July 2024.
Operating Profit excludes the impact of NZ IFRS16 and unusual items and is a non-GAAP measure. For a reconciliation between Operating Profit and Reported EBIT refer to Slide 32 of this
presentation and Note 2.0 of the Financial Statements for the 52 weeks ended 28 July 2024.

CEO update
John Journee
Interim CEO
5

6
CEO update – Year in review
•Sales were down 6.2% with total Group sales at $3.0 billion – down 4.9% in
FY24 H1 and down 7.6% in FY24 H2
•Group Gross Profit was down 6.2% with margin being flat at 33.6%
•Cost of Doing Business (CODB)
2
was down 1.3%, but did increase as a
percentage of sales from 31.0% to 32.6%
•The decline in Gross Profit and increased CODB as a percentage of sales,
resulted in Operating Profit of $28.9 million, down 65.3%
•The $60.5 million loss on disposal of Torpedo7 and wind up of
TheMarket.com had a direct impact on our Reported NPAT – resulting in a
loss for the year of $54.2 million.
Group Results
1
1.All financial results in this presentation are reported on a continuing operations basis (excluding Torpedo7) unless otherwise stated. Refer to Note 17 of the financial statements for the 52
weeks ending 28 July 2024.
2.Cost of Doing Business (CODB) excludes the impact of NZ IFRS16, unusual items, and is a non-GAAP measure.
3.Operating Profit excludes the impact of NZ IFRS16 and unusual items and is a non-GAAP measure. For a reconciliation between Operating Profit and Reported EBIT refer to Slide 32 of this
presentation and Note 2.0 of the Financial Statements for the 52 weeks ended 28 July 2024.

7
FY24 - Brand performance
The Warehouse
Sales $1.8b (down 5.3%)
Online sales 5.1%
Operating profit $17.7m (FY23: $71.6m)
•Success in grocery, audio visual, home
technology & outdoor leisure categories
offset by declines in Home and Apparel
•Modest gross margin gain of 10 bps
•Store foot traffic down 2.3% and same
store sales down 2.9%
•New store - Wānaka, reopened Wellington
CBD store
•In-store NPS 80.5 (FY23: 77.3)
Warehouse Stationery
Sales $231.9m (down 6.7%)
Online sales 8.0%
Operating profit $12.9m (FY23: $23.0m)
•Double-digit Print & Copy Centres growth
in FY24
•New Store - Wānaka SWAS
•BizRewards – 30,000 strong membership
base to leverage
•In-store NPS 86.0 (FY23: 77.0)
Noel Leeming
Sales $1.0b (down 5.3%)
Online sales 10.2%
Operating profit $17.3m (FY23: $27.3m)
•Difficult trading conditions, impacted by
reduced discretionary spend and an
increasingly competitive market
•Tech Solutions continues to be
differentiator
•New store - Wānaka, relocated
Greymouth to a bigger site
•In-store NPS 76.8 (FY23: 75.1)

8
Sustainability
The Warehouse Group
Climate-related
Disclosure Report

9
Group financial
performance
Mark Stirton
CFO

10
Group financial performance
1.All financial results in this presentation are reported on a continuing operations basis (excluding Torpedo7) unless otherwise stated. Refer to Note 17 of the financial statements for
the 52 weeks ending 28 July 2024.
2.Cost of Doing Business (CODB) excludes the impact of NZ IFRS16, unusual items, and is a non-GAAP measure.
3.Operating Profit excludes the impact of NZ IFRS16 and unusual items and is a non-GAAP measure. For a reconciliation between Operating Profit and Reported EBIT refer to Slide 32 of
this presentation and Note 2.0 of the Financial Statements for the 52 weeks ended 28 July 2024.
4.Adjusted NPAT is from continuing operations before unusual items and is a non-GAAP measure. FY23 Adjusted NPAT has been restated for the treatment of Torpedo7 as discontinued
operations. A reconciliation between Adjusted and Statutory NPAT is located in Note 5.0 of the financial statements for the year ended 28 July 2024.
•FY24 H2 was significantly more challenged than H1.
•Margin degradation in H2 was primarily driven by promotions and mark downs due to under performance in key categories.
•CODB was well controlled below last year.
$ million (continuing)
1
FY24FY23Variance
Sales revenue
3,037.6 3,236.9
-6.2%
Gross Profit
1,020.9 1,088.2
-6.2%
Gross Profit Margin %33.6%33.6%-
Cost of doing business (CODB)
2
992.0 1,004.8
-1.3%
CODB %32.6%31.0%+ 160 bps
Operating Profit
3
28.9 83.4
-65.3%
Operating Profit Margin %1.0%2.6%(160) bps
Net Profit After Tax (Adjusted)
4
18.9 57.4
-67.1%
Reported NPAT(54.2)29.8-281.8%
H1 VarH2 Var
-4.9%-7.6%
-0.4%-12.3%
+160 bps(180) bps
-1.5%-1.0%
+120 bps+ 220 bps
14.9%-130.7%
+40 bps(400) bps
18.9%-137.3%
-236.3%-346.0%

11
Earnings and dividends
1.Dividends reflect those declared for the financial period as opposed to those paid in the period.
2.The payout ratio in FY23 is based on FY23 Adjusted NPAT as reported in FY23.
3.Adjusted NPAT is from continuing operations before unusual items and is a non-GAAP measure. FY23 Adjusted NPAT has been restated for the treatment of Torpedo7 as discontinued
operations. A reconciliation between Adjusted and Statutory NPAT is located in Note 5.0 of the financial statements for the year ended 28 July 2024.
Cents per shareFY24FY23Variance
Reported EPS
(15.7)8.6
-281.8%
Adjusted EPS
5.516.6
-67.1%
Dividends per share
1
5.08.0-37.5%
Payout ratio
2
91.9%74.1%
9.0
13.0
10.0
5.0
8.0
17.5
10.0
8.0
5.0
17.0
35.5
20.0
8.0
5.0
FY19FY20FY21FY22FY23FY24
InterimFinalSpecial
Historical dividends (cps)
No dividend
COVID-19
•5cps FY24 interim dividend
•No final dividend declared
•Adjusted EPS removes the $60.3m loss from
the sale of Torpedo7
•91.9% payout ratio of FY24 Adjusted NPAT
3

12
Sales contribution
1.In FY24, other sales (0.3%) includes revenue from TheMarket.com and other Group operations and eliminations.
2.In FY23, other sales (1.0%) includes revenue from TheMarket.com, sales through 1-day.co.nz, and other Group operations and eliminations.
3.Metrics for FY24 and represent weighted average across The Warehouse, Warehouse Stationery, and Noel Leeming brands. Other revenue is not included therefore there will be variance to
the reported sales decline.
•Group weighted
average retail
selling price
decreased 50 bps
•Number of units sold
decreased 4.7%
•Sales density
($/sqm) decreased
3.7%
59.0%
7.6%
33.1%
0.3%
(1)
The WarehouseWarehouse Stationery
Noel LeemingOther
FY24 Group Sales (Continuing)
$3,037.6m
55.7%
7.3%
31.2%
4.8%
1.0%
(2)
The WarehouseWarehouse Stationery
Noel LeemingTorpedo7
FY23 Group Sales (Reported)
$3,399.1m
FY24 Key metrics
3

13
Geographical strength
1.Based on foot traffic data for stores across The Warehouse, Warehouse Stationery and Noel Leeming and StatsNZ population estimate as at 30 June 2024.
86 stores
Sqm: 460,121
66 stores
Sqm: 80,137
66 stores
Including 41 SWAS
Sqm: 49,030
Strong community reach

85% of Kiwis live within 20
minutes of a store
1 in 3 Kiwis visit us each week
1
218 stores New Zealand wide

14
Market share
1.TWG sales excluding sales from grocery categories. TWG defines core retail as retail spend excluding grocery, liquor, travel, fuel, and entertainment spend.
Source: Datamine
Group market share of core retail
1
Jul-23Aug-23Sep-23Oct-23Nov-23Dec-23Jan-24Feb-24Mar-24Apr-24May-24Jun-24Jul-24
TWG excl Grocery vs Core Retail (month)TWG excl Grocery vs Core Retail (RTM)
15.2%
14.7%
•Total Group market share of Core
Retail spend declined 20 bps over FY23
•Total Group (excluding Grocery)
market share of Core Retail declined 50
bps over FY23
•Had Home and Apparel categories
held at FY23 sales levels, Total Group
market share excluding Grocery would
have been 15.3% (compared to 14.7%)

15
Gross profit
•FY24 H1 improvement driven by
better inflow margin, mix, and lower
supply chain costs
•FY24 H2 significantly impacted by
lower inflow margin and higher
promotional and mark down activity
than planned
32.7%
34.3%
34.6%
32.8%
33.6%33.6%
1H23 1H24 2H23 2H24 FY23 FY24
+160
bps
-180
bps
Gross Margin %

16
Cost of doing business
1.Cost of Doing Business (CODB) excludes the impact of NZ IFRS16, unusual items, and is a non-GAAP measure.
CODB
1
categories ($m)
535.8
512.1
64.1
68.2
125.7
129.1
279.2
282.6
1,004.8
992.0
FY23FY24
Employee Exp.Depn & Amort Exp.Lease Exp.Other Exp.
30.8%
29.3%
31.5%
31.0%
32.6%
FY20FY21FY22FY23FY24
Historical CODB
1
as % of sales
1.3%
reduction
in CODB
-2.0% brand CODB
-1.0% SSO CODB
+6.5% depreciation
•Cost remains a focus into FY25 to reduce CODB %, targeting <31%
•Depreciation expected to slow as large capital projects roll off
•Employee costs down 4.4% through store labour optimisation and SSO restructure
•Other includes technology running costs which increased 18.0% due to core systems coming online

17
Operating profit
1.Operating Profit excludes the impact of NZ IFRS16 and unusual items and is a non-GAAP measure. For a reconciliation between Operating Profit and Reported EBIT refer to Slide 32 of this
presentation and Note 2.0 of the Financial Statements for the 52 weeks ended 28 July 2024.
FY24 Operating Profit
1
($m)
Other
Operating Profit Movement ($m) (FY23-FY24)
FY24
FY23
TOTAL
GROUP
Other
Operating
Profit
Margin %
1.0%5.6%1.7%1.0%
Operating
Profit as %
of Group
61.2%44.6%59.9%(29.4%)(36.3%)100.0%
•TheMarket.com losses reduced by $13.5 million in
FY24 – this was closed in June 2024
•Benefit in other operating profit driven primarily by
lower SSO costs in FY24, including STI and LTIs

18
The Warehouse
1.Same store sales excludes online and removes the impact of opening and closing stores year on year.
1,706.01,804.91,726.91,892.41,792.3
0%
10%
20%
30%
40%
50%
1,600
1,650
1,700
1,750
1,800
1,850
1,900
1,950
FY20FY21FY22FY23FY24
SalesGross Profit Margin
$ millionFY24FY23Variance
Sales
1,792.3 1,892.4
-5.3%
Operating Profit
17.7 71.6
-75.3%
Operating Margin %1.0%3.8%(280) bps
Online sales
91.8117.7
-22.0%
Online as a % of sales
5.1%6.2%
(110) bps
Click and Collect as % of online
sales
54.0%52.6%
+140 bps
Number of stores
8688
(2)
Sales density (Sales $ / sqm)3,842 3,996 -3.9%
Same store
sales
1

(2.9%)
Basket Value
(1.1%)
Store foot
traffic
(2.3%)
Foot traffic
conversion
+ 0.5%
•Homeware and apparel categories primarily responsible for
the decline in sales and margin on last year
•Grocery, audio visual, home technology & outdoor leisure
categories sales grew in FY24, with grocery now comprising
nearly a quarter of The Warehouse sales
•Gross profit % up 10bps, despite an increasingly competitive
market and the increased mix of grocery sales
•Our online channel has stabilized at 5% of sales. Online visits
were up on last year and are key to driving store traffic. Click
and collect fulfilment remains strong at 54% of online orders
•CODB below inflation

19
Warehouse Stationery
1.Same store sales excludes online and removes the impact of opening and closing stores year on year. Information is for Stand-Alone Warehouse Stationery Stores only and excludes
SWAS stores.
268.8274.6249.7248.6231.9
0%
10%
20%
30%
40%
50%
60%
200
210
220
230
240
250
260
270
280
FY20FY21FY22FY23FY24
SalesGross Profit Margin
$ millionFY24FY23Variance
Sales
231.9 248.6
-6.7%
Operating Profit
12.9 23.0
-44.0%
Operating Margin %5.6%9.3%(370) bps
Online sales
18.422.6
-18.6%
Online as a % of sales
8.0%9.1%
(110) bps
Click and Collect as % of online
sales
22.8%20.8%
+200 bps
Number of stores
6666
-
SWAS Stores
4140
+1
Sales density (Sales $ / sqm)
4,7074,758
-1.1%
•Print and Copy Centre continues to grow – achieving
another record sales year – but offset by declines in
print consumables, study equipment and office
furniture
•BizRewards channel underperformed as SME
customers also cut back costs – but a powerful base of
30,000 members
•Gross profit % down 150bps due to increased
promotional and clearance activity, driven by lower
demand and heightened competition, particularly in
study and office furniture
•CODB down less than 1%
Same store
sales
1

(6.2%)
Store foot
traffic
(2.5%)
Foot traffic
conversion
+ 3.2%
Basket Value
(6.8%)

20
Noel Leeming
1.Same store sales excludes online and removes the impact of opening and closing stores year on year.
$ millionFY24FY23Variance
Sales
1,005.2 1,061.0
-5.3%
Operating Profit
17.3 27.3
-36.6%
Operating Margin %1.7%2.6%(90) bps
Online sales
102.7116.4
-11.7%
Online as a % of sales
10.2%11.0%
(80) bps
Click and Collect as % of online
sales
67.2%59.0%
820 bps
Number of stores
6667
(1)
Sales density (Sales $ / sqm)
12,19712,752
-4.4%
1,010.01,128.21,096.71,061.01,005.2
0%
5%
10%
15%
20%
25%
30%
800
850
900
950
1,000
1,050
1,100
1,150
FY20FY21FY22FY23FY24
SalesGross Profit Margin
•Foot traffic into store was disappointing, down 8.5%
•Post COVID-19 replacement cycle demand has not yet
come through, as disposable income for high ticket
items tightened
•Gross profit margin decreased 20 bps as a result of
competitive pricing in the market and higher sales in
lower margin categories
•Click & collect (led by our 1-hour click & collect option)
is increasingly our customers’ most popular fulfilment
option, accounting for 67.2% of online sales fulfilment
•CODB down ~2%
Same store sales
(4.5%)
Basket Value
(1.3%)
Store foot traffic
(8.5%)
Foot traffic
conversion
+ 5.7%

$ millionJuly-2024July-2023Variance $
Inventory
472.1493.3
(21.2)
Trade and Other Receivables
99.297.0
2.2
Trade and Other Payables
(461.4)(407.3)
(54.1)
Provisions
(62.9)(71.7)
8.8
Working Capital
47.0 111.3
(64.3)
Fixed Assets
273.4 317.6
(44.2)
Funds Employed
320.4 428.9
(108.5)
Tax Assets
92.6 93.5
(0.9)
Derivatives
10.7 (2.1)
12.8
Right of Use Assets
601.6 661.0
(59.4)
Goodwill and Brands
73.0 73.0
-
Capital Employed
1,098.3 1,254.3
(156.0)
Shareholders’ Equity
309.6 402.1
(92.5)
Minority Interests
1.2 0.9
0.3
Net Debt
50.7 48.1
2.6
Net Lease Liability
736.8 803.2
(66.4)
Capital Employed
1,098.3 1,254.3
(156.0)
Liquidity
419.3421.9(2.6)
As at 28 July 2024
•Inventory down 4.3% on prior year
•Excluding Torpedo7 and Goods in Transit, up
10.8%
•Stock adequately provided
•Aged inventory
1
at 20.7% (FY23: 23.4%)
•Trade payables up due to year end timing
•Net debt $50.7m with $419.3m head room available
•Covenants met throughout period
•FY24 Interest Cover = 4.4 times (min requirement
2.0)
•FY24 Gearing Ratio = 11.1% (max permitted 50%)
•We have agreed a short-term change in covenant
test to an interest cover on a pre-IFRS16 EBITDA basis
21
Balance sheet
1.Aged inventory calculated as stock over six months old.

22
Cash flow and net debt
1.Cash conversion calculated as Operating cash flow / EBITDA (including continuing and discontinued operations) for the year ended 28 July 2024.
2.Free cash flow yield calculated as Operating cash flow less capital expenditure over market capitalisation at 28 July 2024.
3.EBITDA (from continuing and discontinued operations) represents Earnings before interest, taxation, unusual items, depreciation and amortisation for the year ended 28 July 2024.
4.Interest paid includes $37.5 million interest on lease liabilities (FY23: $36.2 million) . Refer to Note 3.6 of the Financial Statements for the year ended 28 July 2024.
5.The difference between cash flow capital expenditure of $39.4 million above and capital expenditure per total project spend and in Note 9 of the financial statements is due to timing of
accruals and creditor payments.
•The 17.4% decline in EBITDA was offset by favourable
movement in working capital and net tax refunded
in the year, resulting in 13.2% reduction in Operating
cash flow to $185.9 million (including continued and
discontinued)
•Cash conversion
1
improved to 85% (FY23: 81%)
•Free cash flow yield
2
has increased to 29.7%
(FY23:15.9%)
Net debt bridge ($m)
41.2
48.1
50.7
FY22FY23FY24
Liquidity
headroom
$419.3m
Net debt ($m)

23
Capital and Project expenditure
•Total Project Expenditure was $73.4 million in FY24, compared to $154.4
million in FY23, and below guidance of $80 million
•Capital expenditure comprised $39.0 million
•The last five years have seen significant investment in replacing legacy IT
retail infrastructure
•Core System investments were $138.9 million over 5 years
•We have reduced our annual project spend to $32 - $39 million for FY25
Project Expenditure ($ million)FY24FY23
Core Systems32.646.4
Other Information Systems16.926.0
Property8.1 19.4
Store Development5.0 26.6
Store Operations4.8 14.5
Digital and Supply Chain6.0 21.5
Total Project Expenditure73.4154.4

24
Turnaround plan
John Journee
Interim CEO

25
Strategic reset
We can and will do better and that starts with getting back to being a great retail business that
delivers products that Kiwi families want, at great prices.
FROM
TO
Group ecosystem strategy
Brand-led strategies enabled by
Group scale
Agile operating modelRetail operating model
Investment in digital platforms
Significant change with modernisation
of core systems
Focus on core retail functions
Limit change, leverage platform
investment, derive benefit

26
Brand focused leadership
Interim Chief Executive Officer
John Journee
Human
Resources
Finance, Tech,
Data & Property
OperationsMerchandising
Supply Chain &
Sourcing
Marketing &
Digital
Noel Leeming
Our Leadership Team
Warehouse
Stationery

27
The Warehouse is key to our turnaround
Fighting Fit
Deliver
Everyday Low
Prices with the
right range of
products
Be an Everyday
Low-Cost
retailer
Win key family
shopping
missions &
moments
Actively
engage with
our Customers
& Communities
Strategies to win

28
Looking ahead
John Journee
Interim CEO

29
In the year ahead
•The retail environment in New Zealand remains
tough as recent GDP figures show, and we expect
that consumer demand and market conditions will
continue to be challenging and unpredictable in
the near term. We remain cautious about when we
might see a meaningful increase in retail
spending.
•We’re under no illusions of the challenges ahead of
us. While we’ve been able to regain market share in
our core retail segment in the first six weeks of FY25,
our sales have been soft, and our gross profit
remains under pressure as we clear the last of our
winter stock and continue to reset our product
offer.
•With our strategic focus firmly back on trading our
brands and on renewing and energising our
product ranges, the team and I look forward to
being able to demonstrate progress in the year
ahead.
•The Group will share a FY25 Q1 Trading Update on 8
November 2024.

Thank you
Helping Kiwis live better every day

31
Appendix
Additional information

32
EBIT and NPAT reconciliation
1.Refer to Note 2.2 of the Financial Statements for the 52 weeks ending 28 July 2024 for further details on the NZIFRS16 adjustment.
2.Adjusted NPAT is from continuing operations before unusual items and is a non-GAAP measure. FY23 Adjusted NPAT has been restated for the treatment of Torpedo7 as discontinued
operations. A reconciliation between Adjusted and Statutory NPAT is located in Note 5.0 of the financial statements for the year ended 28 July 2024.
•The Group sold the assets of Torpedo7 to Tahua Partners Limited in February
2024. The after-tax loss amounts to $60.3 million from discontinued operations in
FY24.
•The NZIFRS 16 adjustment of $38.9 million in FY24 (FY23: $38.9 million) represents
the backing out of pre-IFRS rent and the deduction of the Right of Use Asset
amortisation.
Operating ProfitNPAT
$ millionFY24FY23FY24FY23
Reported profit attributable to
Shareholders of the parent
45.7 88.5 (54.2)29.8
Loss from discontinued
operations
(13.2)(20.2)(60.3)(20.1)
Reported profit from
continuing operations
58.9 108.7 6.1 49.9
Restructuring costs
8.9 10.5 6.4 7.6
Gain on sale of property
- (0.4)- (0.3)
Loss on sale of associate
- 3.5 - 3.5
Adjustments for NZIFRS 16
(38.9)(38.9)(1.7)(3.3)
Tax on buildings
--8.1 -
Adjusted profit from
continuing operations
28.9 83.4 18.9 57.4
For 52 weeks ended 28 July 2024

33
Our ESG progress
•40% of private label sales from products with sustainable attributes (FY23: 33%)
•55% of private label sales from products with sustainable packaging (FY23: 43%)
•257.1 tonnes of post-consumer waste diverted from landfill (FY23: 198.9 tonnes)
•$2.6 million raised for New Zealand charities and community groups
•46.9% senior leaders are female
•37.5% female board members
•eNPS 19.6 pts
•Scope 1 and 2 market-based emissions decreased 30.4% from FY23
•63 stores and sites powered by solar
•Diverted 77.7% operational waste from landfill (FY23: 72.9%)
•13 of the 28 EV chargers at The Warehouse stores upgraded to 25kW DC chargers
Our people
and
communities

34
Glossary
TermDefinitionTermDefinition
C&CClick & CollectMDMMaster Data Management
CODBCost of Doing BusinessNIDCNorth Island Distribution Centre
COGSCost of Goods SoldNIFCNorth Island Fulfilment Centre
DCDistribution CentreNLNoel Leeming
DIFOTDelivered In-Full On-TimeOMSOrder Management Solution
E2EEnd-to-EndOMUOperating Model Update
EDLPEvery Day Low PricePOSPoint-of-Sale
ELSExecutive Leadership SquadSIDCSouth Island Distribution Centre
eNPSEmployee Net Promotor ScoreSSOStore Support Office
ERPFI
Enterprise Resource Planning - Finance and
Inventory
SSSSame Store Sales
FCFulfilment CentreSWASStore-Within-a-Store
GBOGroup Business OperationsT7Torpedo7
GEPGroup eCommerce PlatformTWLThe Warehouse Limited
GMVGross Merchandise ValueWALTWeighted Average Lease Tenure
GOMSGroup Order Management System WMSWarehouse Management System
LTVCustomer Lifetime ValueWSWarehouse Stationery

35
Disclaimer
This presentation may contain forward looking statements and
projections. There can be no certainty of the outcome and
projections involve known and unknown risks, uncertainties,
assumptions and other important factors that could cause the
actual outcomes to be materially different from the events or
results expressed or implied by such statements and
projections.
While all reasonable care has been taken in the preparation of
this presentation, The Warehouse Group Limited does not make
any representation, assurance or guarantees as to the
accuracy or completeness of any information in this
presentation. The forward-looking statements and projections
in this report reflect views held at the date of this presentation.
Except as required by applicable law or any applicable Listing
Rules, the Relevant Persons disclaim any obligation or
undertaking to update any information in this presentation.
A number of non-GAAP financial measures are used in this
presentation. You should not consider any of these in isolation
from, or as a substitute for, the information provided in the
financial statements for the 52 weeks ending 28 July 2024,
which are available at www.thewarehousegroup.co.nz.
This presentation does not constitute investment advice, or an
inducement, recommendation or offer to buy or sell any
securities in The Warehouse Group Limited.

26 September 2024
FY2024 Annual Results
52 weeks ending 28 July 2024
Helping Kiwis live better every day

---

INTEGRATED
ANNUAL
REPORT
2024

Dean Hamilton
Audit and Risk Committee Chair
25 September 2024
Dame Joan Withers
Board Chair
25 September 2024
2024
TABLE OF CONTENTS
The Warehouse Group Board and Executive Leadership Team
are pleased to present our FY24 Integrated Annual Report
2024 at a Glance 4
Chair’s Report 6
Interim CEO’s Report 8
Financial Review 10
Our Purpose, Vision and Values 14
Our Stores 15
Our Brands 16
Integrated Report 22
Risk and Materiality 24
Sustainability 26
Growing and Developing Our People 32
Case Studies 33
Global Reporting Initiatives (GRI) Report 40
Financial Statements 42
Notes to the Financial Statements 48
Independent Auditor’s Report 65
Governance Report 72
Statutory Disclosures 88
GRI Content Index 92
Ernst & Young Report – GRI 96
Directory 101
3
Image: Lodestone Energy. Located in the far north near Kaitaia, Kohirā is Aotearoa’s first utility-scale solar farm to supply the national grid.
The electricity supply for 26 of our stores and sites across Northland, Auckland and Waikato was switched to this solar farm in February 2024.

of senior leaders
are female
Gender pay
equity
46.9%
100%
GENDER
EQUALITY
CUSTOMER
Group in-store NPS
up 3.4pts from FY23
Stores
New Zealand wide
79.7pts
218
Gender equity is a core focus for us, and we’re
pleased to maintain gender pay equity at
Group level.
Group Click & Collect sales
(56.6% of online sales)
$122.8m
Raised
raised for NZ charities and
communities in FY24
$
2.6m
We’ve been helping Kiwi families and
communities thrive since our doors
opened in 1982.
2024
AT A GLANCE
COMMUNITY
reduced to zero
through solar
generation
OF OUR MARKET-
BASED SCOPE 2
EMISSIONS
STORES & SITES
POWERED

BY SOLAR
63
14
%
We are committed to developing an
integrated retail experience across our brands
in store, on apps, and online.
Group online sales
(7.2% of total sales)
$217.0m
55%
We are making progress on our vision to
make sustainable living easy and affordable
for everyone and on our ambition to achieve
zero emissions in our operations by 2040.
private-label sales
with sustainable
packaging
(FY23: 43%)
of operational waste
from landfill
7 7.7%
We have
diverted
SUSTAINABILITY
SCOPE 1 & 2 EMISSIONS
(market-based)
compared to FY23 and decreased
29.8% compared to FY20 base year
30.4%
PERFORMANCE
Adjusted NPAT1
(FY23: $57.4m)
$
18.9m
In a competitive retail market, we
have delivered a soft sales result and
profitability was compromised with a
flat gross profit margin and increased
cost of doing business.
Reported NPAT
(FY23: NPAT $29.8m)
($54.2
m
)
Group sales
down 6.2% on prior year
$
3.0b
$
50.7m
Net debt
(FY23: $48.1m)
1. Adjusted NPAT is from continuing operations before unusual items and
is a non-GAAP measure. A reconciliation between Adjusted and Statutory
NPAT is located in Note 5.0 of the financial statements for the year
ended 28 July 2024.
eNPS
19.6pts
The Warehouse Group Integrated Annual Report 202445At a Glance

Our 2024 financial year has been one
of the most challenging in our 42-
year history.
New Zealand’s deteriorating
economic conditions have
significantly impacted the retail
sector in the past year, with Kiwis
tightening their belts and consumer
spending falling dramatically.
However, it’s clear that our trading
performance and operational
execution have exacerbated the
challenges of a difficult environment.
This is evident by the decline in
market share we have experienced in
some key categories.
During the early part of the calendar
year, it became apparent to the
Board that we needed to make
significant changes to address the
issues we were confronted with.
We faced the fact that we were not
able to fulfil the ambitions we had
for our ecosystem strategy and also
called time on our investments in
Torpedo7 and TheMarket.com as
we have sought to get the company
back to its core retail brands. In
addition, we recognised that our
products and pricing were not
meeting expectations, and this was
having a significant impact on our
performance at The Warehouse.
The poor financial performance
we’ve reported this year is not
acceptable, and both the Board
and Executive Leadership Team are
acutely aware of the disappointment
shareholders will be experiencing
due to this result and the big job
ahead of us to get the company back
on track. We are on that journey.
We have made substantial
changes to our leadership with the
appointment of John Journee as
Group Interim CEO following the
departure of Nick Grayston in May.
I would like to acknowledge Nick,
along with several other members of
the executive team who have left.
My sincere thanks to John Journee
who has quickly made a significant
difference. He retains his position
Dame Joan Withers – Chair
"As we look
ahead, we are
redoubling our
efforts to regain
our market
position in key
categories for
The Warehouse."
CHAIR’S REPORT
DAME JOAN WITHERS
on the Board, as an Executive
Director, until we make a permanent
appointment to the CEO role, after
which John will resume his role as a
non-executive director.
We’ve also made some changes to
the Board. We have welcomed Tony
Carter, who brings wide-ranging
retail, commercial and governance
experience to complement the
capability already in place around
the board table. I want to thank
outgoing Director Julia Raue for
her leadership during her seven-
and-a-half-year tenure on the
Board, particularly as Chair of our
Health, Safety and Wellbeing Board
Committee.
As we look ahead, we are redoubling
our efforts to regain our market
position in key categories for The
Warehouse. We’re focused on
delivering:
• great products at great prices
• outstanding customer
experiences
• growth in shareholder value and
sustainable shareholder returns
over the long term.
Together with our team of 10,000, we
are absolutely focused on simplifying
our business, reducing our cost of
doing business, and sharpening the
focus on our core brands.
I want to thank all our shareholders,
our customers, our team members
and my fellow Directors for their
continued support as we navigate
these challenges, rebuild our brands,
and continue towards helping Kiwis
live better every day.
Ngā mihi,
The Warehouse Group Integrated Annual Report 202467Chair's Report

John Journee – Interim CEO
improve our customer experience
and highlight the improved product
offer. E-commerce and Click & Collect
remain important shopping options
for customers and we have recently
increased our network of store-
based fulfilment hubs to service this
demand more efficiently.
A dedicated Noel Leeming leadership
and retail team will enable them
to strengthen the brand’s market
leadership position more effectively
and assertively in a highly competitive
and fast-moving market.
The multi-year investments we have
made to modernise our core systems
across the Group have progressively
come on stream over the last year
and are increasingly being used to
leverage our significant network,
inventory, data, and people assets
to support decision making and
improve operational effectiveness and
efficiency.
Getting fighting fit
Our financial results serve as a stark
reminder of the challenges we face as
a business and of our poor operational
execution in the face of those
challenges. While we're not where we
need to be, we have made tough calls
to act quickly and decisively to get the
company fighting fit.
To support the shift from the Group’s
ecosystem strategy we have recently
completed an organisational redesign
that has moved us away from the Agile
operating model that the business
used to execute its strategy for the
past four years, to one that is brand-
led, built around the critical retail
buy-move-sell functions, with clear
accountability.
Our primary focus in the short term
is turning around The Warehouse’s
performance and reasserting its
customer value proposition and market
position.
The Warehouse is the cornerstone
of our business, and its success will
always be led by great products and
prices and supported by outstanding
I would like to start by recognising
how incredibly tough this year has
been.
I also want to thank our shareholders,
customers, and teams for sticking
with us. Your support means a lot to
us because we know our performance
impacts you and your families.
The Warehouse is an iconic New
Zealand retailer known for a bargain,
and we should be the go-to choice
for Kiwis navigating the cost-of-living
crunch. Instead, we made things
overly complex and lost clarity on
our mission to deliver great products
at affordable prices. We held onto
Torpedo7 and TheMarket.com for too
long, reacted too slowly to changing
market conditions, and fell out of step
with what Kiwi families want.
During FY24, we made tough
decisions that have set us up for
the future and turnaround our
performance. We have reset the
Group strategy, divested unprofitable
businesses, and moved away from the
ecosystem strategy to focus on our
core retail brands, The Warehouse,
Warehouse Stationery and Noel
Leeming. We have also restructured
our senior leadership team and
redesigned our operating model to
support this change.
A disappointing financial
performance
There are no two ways about it:
our FY24 financial performance is
disappointing and a long way from
where we need to be.
For the year ending 28 July 2024, the
Group reported total sales of $3.0
billion (down 6.2% compared to FY23).
The Warehouse sales were $1.8 billion
(down 5.3%), Warehouse Stationery
sales were $231.9 million (down 6.7%),
and Noel Leeming sales were $1.0
billion (down 5.3%).
Adjusted Net Profit After Tax (NPAT)1
was $18.9 million, compared with $57.4
million in FY23.
customer experiences. We are
reinvigorating our category strategy
to more consistently deliver the
range, value, trend, and excitement
our customers expect from us.
These changes will be supported by
improvements to our instore and online
customer experience, marketing and
supply chain performance.
We have made significant reductions
in both our operating expenses and
project spend going into FY25, and the
pressure on reducing our cost of doing
business will continue to be a critical
part of us getting fighting fit.
We will be equally focused on fighting
for profitable sales and getting our
cost base leaner and fitter as we
turnaround our performance.
Getting on with the job
I have been clear my key role as Interim
CEO is to get The Warehouse back on
track and to set the groundwork for a
return to profitable growth.
To support this, I’ve also made changes
to the Executive Leadership Team to
ensure there is clear accountability for
the performance of each of our brands.
Ian Carter is the Executive General
Manager Operations, looking
after store operations across The
Warehouse and Warehouse Stationery.
We have brought merchandising
and planning for these brands under
one role, which is headed by Tania
Benyon as Executive General Manager
Merchandise. Mark Anderton has
expanded responsibility for supply
chain as Executive General Manager
Supply Chain and Sourcing.
We have also appointed Jason Bell
as Chief Operating Officer for Noel
Leeming.
Richard Parker remains as Chief
Human Resources Officer supporting
all our brand store and support teams.
We welcomed Mark Stirton as our new
Chief Financial Officer in April. Having
joined us from Mr Price in South
Africa, Mark has quickly set about
zeroing in on our costs and getting our
financial house in order with precision.
He now has an expanded role in
our new structure, looking after our
information technology and corporate
development teams.
I want to acknowledge our departing
leaders, Jonathan Waecker, Edwin
Gear and Sarah Kearney, for their
service and contribution to the Group.
We have a team of 10,000 passionate
and committed retailers working
across our three market-leading
brands. From our buying teams
designing and sourcing the best value
on-trend products, to our logistics
team who pack and sort thousands
of orders a day, to our support teams
who serve our frontline teams, to our
store teams helping the 1.5 million
customers who walk through our
doors every week. I’m proud of how
energised our team are to help Kiwi
families live better every day.
Into the future
Our strategy reset for FY25 may
sound simple, but it is this simplicity
and focus that will enable our team
to excel at the craft and science of
retail to deliver greater value to our
customers and reclaim our market
leadership.
Turning around our performance will
be challenging. But we are determined
to succeed.
I am very conscious that words are not
what our shareholders, customers or
team members want in the year ahead.
Rather, they want action and improved
performance. With our focus firmly
back on trading our retail brands and
delivering the bargains our customers
expect and deserve from us, the
team and I look forward to showing
meaningful progress in the year ahead.
Ngā mihi,
JOHN JOURNEE
In March 2024, we sold the
underperforming business, Torpedo7.
The loss on sale has resulted in the
first loss for The Warehouse Group in
our listed company history. Reported
Net Loss After Tax for FY24 was $54.2
million compared with Reported NPAT
of $29.8 million in FY23.
Strategic reset
Our shift from a Group-led ecosystem
strategy to a brand-led strategy
is centred on strengthening each
brand’s specific customer value
propositions.
A significant refresh of The
Warehouse product offer and
price position across all our core
categories, which is already under
way, will drive more relevant, on-trend
assortment and competitive customer
value proposition for Kiwi families.
Our expanded Market Kitchen pantry
essentials range, and improvements
to our health and beauty, baby
and pet care offer are proving very
popular and are driving increased
customer engagement and more
frequent shopping visits.
With the twin challenges of the rising
cost of living and increasing pressure
on our planet’s resources, it’s never
been more important that we strive to
make the products we sell affordable
and sustainable, and this will continue
to be our ambition.
We have re-established a dedicated
Warehouse Stationery leadership
and retail team within the Warehouse
operation to enable us to improve the
execution of our offer to the SME and
education sectors.
With 85% of Kiwis living within 20
minutes of The Warehouse, our
network of Red Sheds remains crucial
to our success. Our 86 stores are at
the heart of many communities across
New Zealand and offer a national
footprint that our competitors
cannot match. We’re busy resetting
store layouts in key locations to
Group sales
down 6.2% on prior year
$
3.0b
"We have
simplified our
business to
focus on
The Warehouse,
Warehouse
Stationery and
Noel Leeming as
our three core
retail brands."
INTERIM CEO'S REPORT
1. Adjusted NPAT is from continuing operations before unusual items and is a non-GAAP measure. A reconciliation between
Adjusted and Statutory NPAT is located in Note 5.0 of the financial statements for the year ended 28 July 2024.
Operating profit
down 65.3% on prior year
$
28.9m
The Warehouse Group Integrated Annual Report 202489Interim CEO's Report

Overview
It’s clear that FY24 has been one of the
most challenging years in our Group’s
history. We’ve faced significant internal
and external pressures, and our financial
results reflect those difficulties. They also
provide a clear picture of the work that
lies ahead.
Tough economic conditions in New
Zealand prevailed throughout the
financial year, creating strong headwinds
for the retail industry. Consumer
sentiment and Kiwi households' budgets
have been under pressure with high
interest rates and the cost-of-living
crunch, draining the spending power of
customers' wallets.
Many New Zealand businesses have
likewise been dealing with a rising cost of
doing business (CODB) with compressed
margins and muted top-line growth.
This has impacted earnings, resulting
in low wage growth and increased
redundancies, both negative for retail
spending.
While these economic conditions
have had a significant impact on us,
as a low cost retailer we should have
been able to weather these economic
conditions better. The Board and
Management acknowledge that our
performance is well below expectation.
Our inability to execute on our plan
allowed the competition to strengthen
over the period at our expense. Our core
customers did not find sufficient value
FINANCIAL
REVIEW
in our key higher margin categories, and
this resulted in lost market share. As an
everyday low-price retailer, we did not
get our pricing and value right in key
product areas, leading to a decline in
customer spending.
This combination of these external
and internal factors has resulted in the
Group’s poor financial performance.
The Board and Management have
taken steps to refocus and simplify the
business during the period. We sold
Torpedo7 at the end of March 2024
and closed TheMarket.com in June
2024. These were large investments
into the Group's future, intended
to provide diversification and be
new growth streams for the Group.
Unfortunately, these two businesses
were not performing to expectations and
in the existing economic environment
continuing to invest capital and
resources to support their growth was
untenable.
The Group went live with the
replacement of our Enterprise Retail
Planning Finance and Inventory (ERPFI)
System in April 2024. This has been a
material investment into modernising
our legacy environment which had not
been updated in over 30 years. This
multi-year project has had a difficult
implementation. However, this platform
investment will provide the necessary
foundations to bootstrap the Group’s
core systems for at least the next decade
while producing more profitable sales
through margin expansion. However, this
worsened in the second half, decreasing
7.6% on last year as customer spending,
particularly after the Christmas peak,
saw a material pull back as discretionary
income became constrained.
The Group’s sales density declined
3.7% on a total retail sales revenue per
square metre basis, slower than the
top-line decline, which is a positive for
productivity of space utilisation.
Gross Profit Margin
The Group gross profit margin was
robust in the first half at 34.3%,
increasing 160 basis points compared
to FY23 H1. A favourable category mix,
higher rebates and lower freight costs
supported the rise, only slightly offset by
promotional and markdown activity.
In the second half, the retail market
became highly promotional with strong
pricing pressure from competitors which
negatively impacted margins as we were
forced to respond to remain competitive.
The situation was aggravated by
products in key margin categories not
resonating with customers, resulting in
increased markdown activity to clear
inventory. These declines could not be
offset to the same level through cost
savings which resulted in negative
operating profit leverage.
Brand Performance
Despite these economic headwinds, our
foot traffic conversion was up against
prior year across all our brands. However,
basket sizes have declined. This has
adversely impacted the Group’s results,
particularly due to the mix of product
categories within these baskets versus
the prior year.
The Warehouse
Following a strong year in FY23 where
The Warehouse recorded its highest
sales in its history of $1,892.4 million,
FY24 sales dropped to $1,792.3 million
– a decline of 5.3%. Our increased
product offering in grocery resulted in
category sales up 12.5% on FY23. This
materially impacted category sales mix,
with grocery now contributing 25.8%
of total sales for the period. While this
growth is pleasing, it was offset by
decreases in higher margin categories
of Home and Apparel.
Despite the decreased sales,
The Warehouse gross profit margin
remained steady, increasing 10 basis
points. While we saw pleasing gains in
gross profit margin in the first half of 250
basis points, compared to the FY23 first
half, category mix, promotional burn, and
higher-than-normal markdown activity
saw this decrease by 260 basis points
compared to the FY23 second half.
The Warehouse operating profit declined
75.3% to $17.7 million, at an operating
margin of 1.0%, down 280 basis points on
the prior year.
Warehouse Stationery
Warehouse Stationery sales declined
6.7% to $231.9 million in FY24. Our Print
& Copy Centre products and service
continued to be our highest growth
category, up 14.0% in FY24 and at
strong margins, although the brand saw
customers decrease spending in other
core categories including Consumables,
Stationery, Study Equipment and Office
Furniture.
Gross profit margin increased 70 basis
points in the first half but decreased 370
basis points in the second half, resulting
and further allow us to introduce new
retail capabilities.
The Group, under the leadership of our
newly appointed Interim CEO John
Journee has embarked on a strategic
reset to get our core retail brands
performing, by delivering on our retail
fundamentals in a more disciplined and
consistent way. This will be evident in
better products and prices and with an
experience our customers are looking for.
Revenue
Unless otherwise noted, information is
stated on a continuing basis only.
The Group disposed of Torpedo7 during
the financial period which has been
classified as a discontinued operation.
Group revenue for the year was
$3.0 billion, a decline of 6.2% on the
prior year.
Group weighted average retail selling
price decreased 50 basis points in FY24,
compared to FY23, due to material
changes in basket mix and promotional
discounts. Units sold in the year
decreased 4.7% from the prior year.
Our retail year had two distinct halves.
Retail sales in the first half declined 4.9%
Group sales ($million)
0
100
200
300
400
3,122.9
3,236.9
3,037.6
FY22FY23FY24
Down
6.2%
vs FY23
REVENUE
(down 6.2%
on prior year)
$
3.0b
MARK STIRTON
The Warehouse Group Integrated Annual Report 20241011Financial Review

in a full year gross profit margin decline
of 150 basis points.
Warehouse Stationery operating profit
declined 44.0% to $12.9 million, at an
operating margin of 5.6%, down 370 basis
points on the prior year.
Noel Leeming
Noel Leeming sales were impacted
by customers’ reduced discretionary
income spending on high ticket items,
combined with higher promotional
and markdown activity as competitors
chased market share. Sales declined
5.3% on the prior year to $1,005.2 million.
The first half showed small declines but
accelerated with 8.6% sales drops in the
second half.
Despite decreased sales, gross profit
margin held up well, driven by a
favourable change in mix to higher
margin categories specifically Audio and
Small Appliances.
Noel Leeming operating profit declined
36.6% to $17.3 million, at an operating
margin of 1.7% – down 90 basis points on
the prior year.
Operating Profit
Operating profit1 (EBIT) from continuing
operations was $28.9 million, down from
$83.4 million in FY23. While gross profit
margin percentage remained consistent
with the prior year at 33.6%, operating
profit was significantly impacted by the
Group’s inability to remove costs at the
pace of sales and margin decline. This
resulted in operating margins declining
160 basis points to 1.0%.
Group CODB declined in dollar terms
by 1.3% to $992.0 million; however, the
decline in revenues of 6.2% increased
the CODB percentage of sales by 160
basis points from 31.0% to 32.6% in FY24,
which squeezed the operating margin
noted above.
Employee expenses decreased 4.4%,
with reduced Store Support Office (SSO)
headcount through restructures and
closures, lower Management incentive
payments, combined with operational
efficiencies in labour productivity across
stores and distribution and fulfilment
centres.
Lease expenses (excluding the impact
of NZIFRS16) continued to increase,
up 2.6% despite the constrained retail
environment, spurred by rates – which
rose 4.8% on the prior year.
Due to the Group’s investment into new
systems and platforms, technology
running costs increased 18.0% on the
prior year. The Group has invested
significant capital to modernise our retail
platforms, and while this has come at
a cost to the Group, it has set us up for
the future. The change in accounting
standards, meaning that some of this
information system capital expenditure
is expensed through the Income
Statement, has come at a time of peak
information systems development for
the Group. Due to these accounting
standard changes, $18.6 million which
would have previously been capitalised
has been fully expensed in FY24. Our
project investment in recent years has
caused depreciation to increase 6.5%.
Net Profit
Adjusted Net Profit After Tax (NPAT)2 was
$18.9 million, compared with $57.4 million
in FY23.
In March 2024 we sold the
underperforming business, Torpedo7.
This loss on sale has resulted in the first
loss for The Warehouse Group in our
listed company history. Reported Net
Loss After Tax for FY24 was $54.2 million
compared with Reported NPAT of $29.8
million in FY23.
Cash Flow
Operating cash flows (including
discontinued operations) ended at
$185.9 million, down 13.2% or $28.3
million, compared with the prior year.
Trading EBITDA from continuing
operations was $226.4 million, down
17.4% compared to FY23. This was offset
by a favourable net tax refund received
in FY24 compared to tax paid in FY23,
and lower restructuring costs paid in
FY24 compared to prior year.
Dividend payments of $45.5 million
were made in FY24, which included
the FY23 final dividend (8.0 cents per
share) and the FY24 interim dividend
(5.0 cents per share). The FY24 interim
dividend equates to a 92% payout ratio
of FY24 Adjusted NPAT, significantly
above the Group’s dividend policy of
70%, brought about by the loss incurred
in the second half.
Balance Sheet
The Group recognises that its Return on
Invested Capital (ROIC) is well below its
weighted average cost of capital. A key
focus is operating margins and asset
productivity to improve our return on
assets while simultaneously improving
leverage to boost Group ROE. The
removal of loss-making entities with
high capital requirements and a brand-
focused approach driven by key metrics
will rebuild the balance sheet strength.
A greater focus on the science of retail,
driving key retail metrics, will be a major
contributor to our reset.
The above cash flows resulted in net
debt of $50.7 million at FY24 year-end,
compared to $48.1 million at FY23 year –
end. The Group met its debt covenants
throughout the period.
The cash conversion ratio improved this
year from 81% in FY23 to 85% in FY24,
while free cash flow (operating cash flow
less capital expenditure) grew from $99.2
million in FY23 to $146.5 million in FY24.
Working capital reduced in FY24, due
to lower inventory on hand as a result
of the disposal of Torpedo7, and higher
payables at year-end. Both inventory
and trade receivables are sufficiently
provided for compared to the prior year
and will be a key focus area in FY25 to
improve capital efficiencies.
The prior year saw elevated levels
of capital expenditure as we came
to the end of a number of large
investment programmes addressing
our core systems, store development,
SSO refurbishment and North Island
Distribution Centre facilities.
In FY23 the Group stated that
total project expenditure would be
capped at $80 million in FY24. Total
project expenditure, including capital
expenditure, prepayments, SaaS
spend and project-related operating
expenditure, in FY24 was $73.4 million,
of which $39.0 million was capital
expenditure, which is within guidance.
Capital expenditure as a percentage of
depreciation and amortisation was 56%
in FY24, compared with 170% in FY23.
In FY24 we opened a new retail centre in
Wānaka, which included The Warehouse,
Warehouse Stationery SWAS store
and Noel Leeming. The Group is laser
focused on optimising our existing store
footprint by enhancing sales density,
through increased shopping missions,
conversion, and basket value across our
physical and online channels.
It’s been a challenging period, but I’m
confident we’re taking the right steps to
rebuild our financial performance. With
a sharper focus on our core brands and
stronger operational discipline, I look
forward to working with the team to
restore the Group’s financial strength.
Net debt ($million)
0
50
100
41.2
48.1
50.7
FY23FY22FY24
Liquidity
headroom
$419.3m
GROUP GROSS
PROFIT MARGIN
33.6%
Reported NPAT
(FY23: NPAT $29.8m)
($54.2
m
)
CASH CONVERSION RATIO
(from 81% in FY23)
85%
1
Operating Profit excludes the impact of NZIFRS16 (Leases).
2
Adjusted NPAT is before unusual items and is a non-GAAP measure. A reconciliation between Adjusted and
Statutory NPAT is located in Note 5.0 of the financial statements for the year ended 28 July 2024.
Mark Stirton – Chief Financial Officer
Financial Review
CAPITAL EXPENDITURE
$39.0m
Core systems
Property
Other information systems
Store development
Store operations
Other
22.1%
25.9%
20.8%
12.3%
12.0%
6.9%
(FY23: $113.2m)
The Warehouse Group Integrated Annual Report 20241213

8
6
MATAMATA
BELL BLOCK
NP CENTRAL
TAURANGA
MT MAUNGANUI
FRASER COVE
THE CROSSING
PAPAMOA
CAMBRIDGE
TE AWAMUTU
TOKOROA
TE KUITI
ROTORUA
LEVIN
PARAPARAUMU
RANGIORA
OAMARU
ALEXANDRA
DUNEDIN
ASHBURTON
BLENHEIM
KAITĀIA
KAIKOHE
DARGAVILLE
WAIPAPA
KERIKERI
WHANGĀREI
WHAKATĀNE
WARKWORTH
GISBORNE
TAUPŌ
HASTINGS
MASTERTON
DANNEVIRKE
UPPER HUTT
INVERCARGILL
GORE
BALCLUTHA
TIMARU
QUEENSTOWN
WĀNAKA
NAPIER
HAWERA
PALMERSTON NORTH
WHANGANUI
FEILDING
NELSON
RICHMOND
GREYMOUTH
MOTUEKA
WHITIANGA
THAMES
MORRINSVILLE
CHRISTCHURCH
16
WELLINGTON
14
AUCKLAND
56
HAMILTON
13
MAP KEY
The Warehouse Store
Warehouse Stationery Store
SWAS Store
Noel Leeming Store
ONLINE STORES
Warehouse Stationery
Noel Leeming
The Warehouse
PHYSICAL STORES
86
66
66
218 STORES
The Warehouse Stores
Warehouse Stationery Stores
including 41 SWAS
(Store Within A Store)
Noel Leeming Stores
OUR
STORES
OUR PURPOSE
OUR VISION

Helping Kiwis live better every day
Ia tangata, ia rā
To make sustainable living easy and
affordable for everyone
Kia ngāwari, kia utu māmā hoki te noho tiaki taiao
a te katoa
OUR VALUES
Mahi i nga mahi pai
We are one team, standing up
for our people, our planet
and our communities.
DO GOOD
Whakaarohia te kaiutu
We put the customer
first in everything we do.
THINK CUSTOMER

Kia haepapa
We walk the talk and
make things happen.
OWN IT
The Warehouse Group Integrated Annual Report 20241415OUR STORES

For over four decades,
our iconic Red Sheds have
been a familiar sight in
New Zealand communities,
offering Kiwis great value.
The Warehouse has always been a
barometer for how New Zealand is
doing and it’s clear that this has been
a tough year for many Kiwis. The
perfect storm of rising costs, interest
rates, and inflation has squeezed
our customers and put pressure on
their wallets. This, inevitably, has
impacted consumer spending and
presented significant challenges for
our business.
This year, The Warehouse recorded
sales of $1.8 billion, down 5.3% on
FY23. Gross profit of $672.9 million, was
down 5.0% on FY23 with gross profit
margin up 10 basis points on FY23.
To navigate these headwinds, we
focused our efforts on core categories
that remain top of mind for Kiwi families
and where we could deliver value.
Our new Allie the Alien campaign was
a huge hit with our customers and
team members during our Mega Toy
Sale in July 2024, highlighting our
extensive range of toys and an in-
store activation encouraging Kiwis to
get into store to find Allie.
As Kiwis look for more affordable
groceries, we have seen Grocery
category sales increase as our range
of everyday essentials resonates
strongly across the country. In FY24
we launched 51 new Market Kitchen
SKUs, including milk, bacon and
ham, as well as further expanding
our Pantry and Dry Goods range.
Our Market Kitchen Dark Roast
Coffee Beans won the Golden
Bean Australasia Bronze Award in
November 2023.
We continue to review our store
footprint to make sure we’re in
the right locations to best serve
customers. We opened a brand-new
The Warehouse in Wānaka, offering
more affordable options in the
growing South Island community,
creating more than 30 local jobs. We
reopened our Tory Street store in
central Wellington in March, after a
fire in 2023 forced the store to close.
We closed our Belfast and Tauranga
Central stores in response to lower
foot traffic and we closed our Milford
store on Auckland’s North Shore after
28 years when our lease was not
renewed.
As we see customers make more
purposeful shopping journeys, we
have seen The Warehouse store
foot traffic decrease 2.3% in FY24
compared to FY23. The Warehouse
online sales were 5.1% of total sales
in FY24 and Click & Collect remains
popular with customers, increasing
to 54.0% of online sales in FY24 from
52.6% in FY23.
The Warehouse team members
continue to offer high levels of
customer service for our customers,
and we were pleased to receive an
in-store Net Promoter Score (NPS) of
80.5 in FY24, up from 77.3 in FY23.
Our Be the Joy Christmas campaign
helped raise money for Women’s
Refuge, Variety the Children’s Charity,
and Kindness Collective, with The
Warehouse customers donating
$155,800 to these charities to make
sure Kiwi kids in need received a gift
at Christmas.
OUR
BRANDS
86
Stores
(down 5.0% on FY23)
Gross profitSales
$672.9
m
$
1.8b
Online sales
5.1% of sales
$91.8
m
(down 5.3% on FY23)
"We’ve done a lot of work to
bring more trend and newness
into our FY25 product range,
and there's more to come as
we expand our offering to
customers."
Tania Benyon – Executive General Manager Merchandise
17The Warehouse Group Integrated Annual Report 202416Our Brands | The Warehouse

with us across more than 400,000
transactions in FY24.
Warehouse Stationery online sales
were 8.0% of total sales in FY24 with
Click & Collect sales increasing to
22.8% of online sales in FY24, from
20.8% in FY23.
We continue to support our
communities. In the spirit of Christmas,
Warehouse Stationery partnered with
The Blues on their 'Fill the Blues Bus'
campaign.
Every year, we also run our own Back
to School campaign, and in FY24 we
partnered with The Salvation Army
once again, with customers donating
$18,400 to help Kiwi kids start the
school year right.
Warehouse Stationery has
been helping Kiwis work,
study, create and connect
for more than 30 years. We
have all the essentials to
keep customers organised,
creative and productive.
In FY24, Warehouse Stationery
recorded sales of $231.9 million, down
6.7% on FY23. Gross profit of $105.4
million was down 9.6% with gross profit
margin down 150 basis points on FY23.
Warehouse Stationery Print & Copy
Centres were a key growth category for
the brand with sales growing 14.0% in
FY24. We saw record sales for Father’s
Day, Christmas and Mother’s Day, as
Kiwis snapped up personalised gifts,
images and more for their loved ones.
The number one category continues
to be Print Consumables, with $53.9
million in sales for FY24, alongside
Stationery with $40.6 million in sales.
However, these categories did see a
decline in demand in FY24, as did Study
Equipment and Office Furniture.
Warehouse Stationery continues to
achieve high customer satisfaction
ratings, and we are thrilled to see
this improve again this year, with our
in-store NPS at 86.0 in FY24, up from
77.0 in FY23.
Our Warehouse Stationery stores within
The Warehouse format are proving
to be a successful model to meet the
evolving needs of our customers under
one roof. During FY24 we opened
a Store Within a Store (SWAS) in
Wānaka, closed our Belfast Warehouse
Stationery store, and relocated
our popular Manukau Warehouse
Stationery store to a new site next to
the Manukau Noel Leeming.
BizRewards continues to be a
strong sales channel for Warehouse
Stationery, and a great way to
engage with our business customers.
Around 30,000 members shopped
OUR
BRANDS
"Customers love our friendly,
expert team members who help
make work, study and creativity
more enjoyable and productive."
Ian Carter – Executive General Manager Operations
66
Stores
with 41 SWAS
(down 9.6% on FY23)
Gross profit
Sales
$
105.4m
$
231.9m
Online sales
8.0% of sales
$18.4
m
(down 6.7% on FY23)
The Warehouse Group Integrated Annual Report 20241819Our Brands | Warehouse Stationery

Noel Leeming is New
Zealand's leading electronics
and appliance retailer.
We offer a wide range of
products from the top brands
with expert advice and
services to help Kiwis get the
most out of technology.
This year customers looked to Noel
Leeming with their discretionary spend
focused on deals during major trading
events like Black Friday, Boxing Day,
our annual Massive Sale, and the
brand’s 51st birthday in June 2024.
Momentum slowed down between
these moments with overall sales of
$1.0 billion for FY24, down 5.3% on
FY23. Gross profit of $219.5 million
was down 5.8% on FY23 with gross
profit margin down 20 basis points
on FY23.
We’ve seen customers’ shopping
gravitate towards value-driven,
lower-priced items, which has
impacted sales across all categories.
We saw a small increase in Audio
sales of 2.9% compared to FY23,
and the Communications category
remains steady as the biggest
category for the brand.
Our Tech Services offering increased
1.5% in sales compared to the prior
year, providing customers with a team
of passionate experts ready to help set
up purchases correctly, provide advice
on new technology and more.
Noel Leeming online sales were 10.2%
of total sales in FY24 with Click &
Collect sales increasing to 67.2% of
online sales in FY24 from 59.0% in
FY23, boosted by Noel Leeming’s
1-hour Click & Collect service.
We opened a brand-new Wānaka
store in October 2023 alongside The
Warehouse and Warehouse Stationery
SWAS. The store has traded well since
opening. We relocated our Greymouth
store to 450sqm of retail space that
is delivering 130% of sales growth
and includes 85% of fixtures that
OUR
BRANDS
"I'm incredibly proud of our
team of passionate experts
who, despite tough trading
conditions, have delivered
exceptional end-to-end
service to our customers and
consistently maintained our high
standards throughout the year."
Jason Bell – Noel Leeming Chief Operating Officer
66
Stores
Online sales
10.2% of sales
$102.7
m
are pre-loved, helping deliver on our
sustainability commitments. We closed
our Clearance Centre in Penrose,
Auckland, at the beginning of 2024,
helping support the brand to return
to focus on its core retail business.
The Northwood store in Christchurch
closed in late 2023 also.
In FY24, we rolled out in-store
experience initiatives across our
Noel Leeming stores. These included
customer demonstrations, interactions
and experiences including Dyson and
Samsung floorcare, DJI drones, and
Live cellular benches.
Keeping up to date with the latest
technology and innovation is a
focus for us, so in FY24 over 400
store team members and passionate
experts attended one of five learning
academies, focused on computing,
whiteware, TV and audio, and smart
homeware.
We are super proud of our Noel
Leeming team members and the
knowledge and service they provide to
our customers – with Noel Leeming's
in-store NPS increasing to 76.8 in FY24,
up from 75.1 in FY23.
During the back-to-school period, we
partnered with Life Education and
Harold the Giraffe to provide parents
with the tools and knowledge to keep
tamariki safe online, while also raising
money for the charity in store. As part
of our annual Be the Joy campaign
at Christmas, which raises money for
Women’s Refuge, Variety the Children’s
Charity, and Kindness Collective, Noel
Leeming customers donated $45,690.
Alongside our community
relationships, Noel Leeming supports
key sustainability initiatives to help
Kiwis live more sustainable lives. Noel
Leeming’s long-standing partnership
with Tech Collect New Zealand offers
free e-waste collection and recycling
for our customers. In FY24, together
with Warehouse Stationery, the
programme helped Kiwis recycle 133.3
tonnes of e-waste across 34 Noel
Leeming and Warehouse Stationery
stores.
In FY24, we launched a new trade-in
programme for customers to hand in
their smartphones, laptops, tablets
and smart watches in exchange for
a Noel Leeming gift card to spend in
store or online. This not only helps
customers get one step closer to their
next device, but also extends the life
of electronic devices. This initiative
has been very popular since its launch
in April 2024, as it helps reduce the
amount of post-consumer waste going
to landfill.
Sales
(down 5.3% on FY23)
$
1.0b
(down 5.8% on FY23)
Gross profit
$
219.5m
The Warehouse Group Integrated Annual Report 20242021Our Brands | Noel Leeming

OUR NETWORKS
OUR
RELATIONSHIPS
OUR
PEOPLE
OUR
ENVIRONMENT
OUR
CUSTOMERS
• 218 stores
• Online sales 7.2% of total
group sales
• Click & Collect 56.6%
of online sales
• Group in-store NPS up
3.4 points to 79.7
• Core retail market share
17.6% (down 20bps on FY23)
• Raised $2.6m for NZ
charities and communities
• Conducted 232 supplier
environmental and labour
best-practice audits
• Engaged with suppliers
to measure and monitor
Scope 3 emissions
• Female leaders hold 46.9%
of senior leadership roles
(FY23: 50.0%)
• 100% gender pay equity
(FY23: 101%)
• eNPS 19.6
• TRIFR: 23.0 per million
hours worked (FY23: 32.8
per million hours worked)
• Free cash flow $146.5 million, up 47.7%
• Capital expenditure $39.0m
(FY23: $113.2m)
• Annual dividend 5.0cps
(92% of Adjusted NPAT)
• $145.0m in sustainability linked loans
• Liquidity $419.3m (FY23: $421.9m)
• 40% of sales from private-label
products with sustainable attributes
• 55% of sales from private-label
products with sustainable packaging
• 30.4% reduction in Scope 1 and 2
market-based emissions, compared
to FY23
• 77.7% of operational waste diverted
to recycling
• Recycled 257.1 tonnes of
post-consumer waste
FINANCIAL
CAPITAL
Welcome to The Warehouse Group’s
sixth Integrated Report. Our Integrated
Report is designed to report on how our
resources contribute through our retail
value creation model to deliver our vision to
make sustainable living easy and affordable
for everyone. These are demonstrated
through our six capitals – Our Networks, Our
Customers,
Our Relationships, Our People, Financial
Capital, and Our Environment – to support
the long-term sustainable value for all our
stakeholders, including:
• Our customers
• Our team members
• Our suppliers
• Our communities
• Our shareholders
INTEGRATED
REPORT
OUR INPUTS
➤ ➤ ➤ ➤
FY24 OUTCOMES
FY24 ECOSYSTEM STRATEGY
Our 2024 financial year was operating under the ecosystem strategy for most of the reporting period, representing our
retail value creation process during the year.
We moved away from the Group’s ecosystem strategy in April 2024. We have divested unprofitable businesses to
focus on trading our core brands, and reshaped our senior leadership team and support structure around a more fit for
purpose retail operating model.
The Group’s Board and Management have established internal quality control processes to ensure the quality and
integrity of this report. While we have not sought external audit or assurance for the non-financial information contained
throughout this Integrated Report, we have received external limited assurance on selected standards of the Group’s GRI
reporting including emissions, energy and waste disclosures in this Integrated Report and the accompanying Climate-
related Disclosures Report.
$
$
• Portfolio of brands
• Integrated sales offering
across our stores and
online
• High performing supply
chain network and
enterprise systems
• Provide world-class
customer experiences –
centred around five key
strategic customer themes
• Offer the best products at
the best price with the best
customer experience
• Build relationships
to deliver long-term
sustainable value to:
– Our communities
– Our suppliers
– Our shareholders
• Create a dynamic, purpose-
driven organised team
• Enable, equip and empower
our people
• Develop and support our
people to be the best they
can be – for themselves,
the Company and our
customers.
• Ensure financial resilience
• Deploy capital in a
disciplined manner to
execute strategy
• Provide long-term
sustainable returns for
shareholders
• Make sustainable living
easy and affordable for
everyone
• Increase sustainability of
our own operations
• Help our customers buy
sustainable products at
an affordable price with
minimum waste

MEMBERSHIP
Unlocking value and
increasing customer
insights through
first-party data
SHOPPING
We’re focused on making
our shopping experiences
easy and seamless –

in store and online

FULFILMENT
We get our goods
and services to
our customers,
when and where
they want

RETAIL MEDIA
Will turn our store
and digital traffic into
incremental revenue

SERVICES
Our services help
customers and
businesses in their
daily lives
PAYMENTS
With more ways to
make their budgets
work for them
DATAPEOPLEPLATFORMS
OUR CUSTOMER

The Warehouse Group Integrated Annual Report 20242223Integrated Report

RISK
AND MATERIALITY
The Warehouse Group Integrated Annual Report 20242425Risk and Materiality
Risk management
The Group risk management framework
has been designed to identify, assess,
control and monitor its key risks. The
identification and ongoing management
of these key risks assists the business in
achieving its objectives and goals.
The Group has defined its risk appetite
and recognises four main categories
of risk:
• Strategic Risk – the consequence
of an event occurring which will
damage the Group’s business
model, undermining its value
proposition which attracts
customers and generates revenue
• Financial Risk – referring to the
Group’s ability to manage its debt
and financial obligations and
includes credit, liquidity, market,
and capital project risk
• Operational Risk – summarising
the risks the Group undertakes
when it operates within the retail
environment which includes people,
legal and compliance, business
continuity, data and security
• Business Risk – risk to earnings
arising from developing consumer
trends, supply chain risk, pricing
volatility and product risk.
Risk management framework
Our risk management framework allows
the Group to identify and manage risk,
and provides it with a mechanism to
adapt and respond to the dynamic
environment retail operates within.
Responsibility for operational risk
management sits with our Leadership
Team, assisted by specialised risk
functions and other functional teams
within the Group who identify and
document significant risks identified
within their respective areas of expertise.
Identified risks are actively managed
through the implementation of
appropriate mitigation measures, which
are incorporated within the strategic,
financial, operational and business
processes in place throughout the
Group. Responses to risk may include
accepting, avoiding, reducing, sharing or
transferring risk, all with the objective of
managing those risks within the Group’s
risk appetite.
The Group, as part of its ongoing risk
governance programme, operates
a management Enterprise Risk
Management Committee, which
comprises senior leaders from across
the Group. The Committee meets
quarterly to ensure there is a balanced
view of risk and that critical risks are
understood, reviewed, appropriately
managed, and reported.
Rapid change and increased
technological innovation within the retail
sector provide challenges for the Group
to compete effectively. This greater
velocity poses new challenges to risk
and compliance functions as we strive to
provide complementary practices which
enable insight and value.
To combat this rapid rate of change,
the Group empowers its team members
at all levels to manage risk. All team
members are expected to follow group
policies, identify risks relevant to
their areas of work, and appropriately
manage those risks.
Key risks
The Group periodically reviews key
risks with its Leadership Team to
identify those risks which, if realised,
would materially impact the success
of the business. These risks have been
assigned sponsors and are carefully
managed through the implementation
of suitable control measures. These risks
are as follows:
RISKDESCRIPTIONCATEGORY
INHERENT
RISK RATING
RESIDUAL
RISK RATING
RISK
APPETITE
Purchasing
decisions
Failure of the business
to deliver a range of
products and services
which the market
needs and demands
BusinessVery highHighMedium
Cost of doing
business
Inflationary pressures
and/or inadequate
productivity
management cause
costs to rise and
depress the Group's
profitability
StrategicVery highHighLow
Cost of living
Customers face an
increasing cost of living
affecting their ability
to transact with the
Group
BusinessVery highMediumMedium
Sourcing/
retention of
key talent
Inability to source/
retain key team
members with
appropriate capabilities
to deliver initiatives
and strategy
OperationalHighMediumLow
Legacy IT
Legacy IT
infrastructure inhibits
the Group's ability to
transform at pace
OperationalHighMediumLow
Logistics and
supply chain
disruption
Global interruption of
supply chain affects
the Group's ability
to maintain stock
availability – affecting
sales
BusinessHighMediumLow
Pace of change
(execution)
Failure to execute
on key deliverables
impedes other
activities and may
mean loss of market-
leading position
OperationalHighMediumLow
Global
competition and
disruption
Acceleration of global
competition and
customer experiences
could reduce Group
market share, increase
customer acquisition
costs and/or decrease
profitability
StrategicHighMediumMedium
Funding and
liquidity risk
Failure to be able to
raise capital or meet
existing funding
obligations as and
when they fall due
FinancialVery HighHighLow
Health, safety
and wellbeing
Failure to adequately
protect our people and
customers from harm
which could result in
serious injury
OperationalHighLowVery low

We’re all about making life easier and
more affordable for Kiwis. And that
means looking after Aotearoa New
Zealand too.
We’re working hard to make a difference
in the way we buy, move and sell our
products that benefits our customers,
the communities we operate in and the
natural environment of Aotearoa New
Zealand.
Improving our products and
packaging
Our first and foremost priority is to
provide value through affordable
products that our customers want and
need. If we can provide affordable
products which are also sustainable – in
both product attributes and packaging –
that's a win win for everybody.
Our focus is on our private-label products,
where we directly control product
specifications, processes and packaging.
In FY24, over 40% of our private-label
sales in The Warehouse and The
Warehouse Stationery were from
products with one or more approved
sustainability features, up from 33%
in FY23. This represents over 37,000
individual product lines and $428 million
in sales. During the year we became
Rainforest Alliance certified for our own
label coffee and cocoa products and
became members of Textiles Exchange.
We are part of the largest cotton
sustainability programme in the world.
Around 88% of the cotton for our private-
label apparel and home textiles products
was sourced as Better Cotton in FY24.
That’s better for farmers and the planet,
and our customers love it too.
We remain committed to removing
unnecessary packaging as much as
possible. Where packaging is needed, we
are making it easier for it to be recycled at
home or in one of our stores. By the end
of FY24, 55% of the product packaging
associated with our private-label
range met our packaging sustainability
requirements, up from 43% in FY23. This is
a year ahead of our target. In January 2024,
we signed up to the Australasian Recycling
Label scheme to help customers make
the right decision on how to dispose of or
recycle packaging.
Emissions reporting
In measuring GHG emissions, we employ
an operational control and consolidation
approach.
SUSTAINABILITY
Our base year is FY20 in accordance
with our Sustainability Linked Loan (SLL)
agreement, which aligns our Scope 1 and 2
emissions reduction targets to 1.5°C Science
Based Targets initiative (SBTi) criteria.
In FY24, our absolute Scope 1 and 2 emissions
(market based) for our New Zealand sites
decreased 30.4% compared to FY23 and
29.8% compared to our 2020 market based
equivalent base year. Our reduction was
primarily due to a consolidation of our sites
and our partnership with Lodestone Energy.
Scope 1 emissions increased by 18.4% this
year and 3.6% compared to our 2020 base
year. Some of our refrigerants have a high
Global Warming Potential (GWP) relative to
the impact of the same quantity of carbon
dioxide and required servicing during this
financial year, contributing to this increase.
More detail about our climate-related
emissions and initiatives is available in
Appendix 2 in our inaugural Climate-related
Disclosures Report. This includes:
• All Standards, methodologies, assumptions,
calculation tools and exclusions;
• Source of emission factors and the GWP
rates used;
• Emissions data for all GHGs; and
• Exclusion of Biogenic emissions.
ENERGY CONSUMPTION WITHIN THE ORGANISATION
FY24 Energy intensity ratio
⁴

8,242 GJ/$m of revenue
a deteriation from 7,814 GJ/$m in FY23
FY24 consumption
(litres/kWh)
FY24 consumption
(GJ)
GJ increase/
(decrease) vs FY23
Diesel495,418 18,929,913 -2.7%
LPG
168,476 4,471,358 -1.2%
Petrol – Premium10,854384,017 -22.0%
Petrol – Regular 49,250 1,732,137 -2.8%
Scope 1 Fuel
Consumption
723,99825,517,425 -2.8%
Electricity
Consumption
82,539,630297,140-5.0%
Scope 2 Electricity
Consumption
82,539,630297,140-5.0%
Total Scope 1 and 2
Energy Consumption
83,263,62825,814,565-2.8%
1.
More detail about our GHG Inventory, including limitations,
methodology and exclusions is available in our 2024 inaugural
Climate-related Disclosure Report.
2.
The Warehouse Group has historically only presented
performance using location-based method for calculating
Scope 2 emissions. Now with our partnership with Lodestone
we have switched to dual reporting. The market-based method
is shown in accordance with the Greenhouse Gas Protocol
Scope 2 Guidance. FY23 and base year data has been provided
for comparative purposes.
3.
GHG emission intensity has been calculated using Scope 1,
Scope 2 (Market-based) & Scope 3 total measured emissions .
We have also included revenue for our discontinued operations
(Torpedo7) as their emissions are included in our inventory up
until 31 March 2024.
4.
Energy intensity ratio includes energy consumption within
the organisation only; it excludes any Scope 3 energy
consumption.We have calculated this to include revenue from
our discontinued operations (Torpedo7) as their emissions are
included in our inventory up until March 31 2024.
A cornerstone of our sustainability
strategy is reducing our carbon
footprint. From February 2024
we started sourcing some of our
electricity through our contractual
arrangement with Lodestone Energy
(Lodestone), which operates utility
scale solar farms.
Our partnership with Lodestone
supports the development of
'additional' renewable generation,
supporting New Zealand's goal to
achieve 100% renewable electricity
generation by 2030. Lodestone's
electricity provided to The Warehouse
Group is certified 100% renewable
through the NZ Energy Certificate
System maintained by Brave Trace.
By the end of FY24, a total of 63 of our
stores and sites had been transitioned.
Our goal is to have all stores and
sites in New Zealand switched over
to Lodestone by the start of 2026. To
understand the size of this partnership,
if all the solar panels assigned to us were
placed next to each other they would
cover just over 35 rugby fields.
We are already seeing the benefits of our
switch: 14% of our market-based Scope 2
emissions reduced to zero through solar
generation. This delivered an overall
929tCO2e reduction in market-based
emissions and significant cost savings to
our business in FY24. See our Climate-
related Disclosures Report for more
information about how we measure
and report our emission reductions
from our partnership with Lodestone.
CASE
STUDY
SWITCHING
TO SOLAR
GHG EMISSIONS (tCO2e)
This year
FY24
Last year
FY23
Base Year
FY20
% Change since
last year
% Change since
base year
Scope 1
2,773.9 2,342.42 2,678.318.4%3.6%
Scope 2 (Location-based)
6,011.3 5,314.7 10,161.813.1% -40.8%
Scope 2 (Market-based)1
5,548.1 9,622.19,174 .7 -42.3% -39. 5%
Sub-total: Scope 1 and 2 (Location-based)
8,785.2 7,657. 2 12,840.2 14.7% -31.6%
Sub-total: Scope 1 and 2 (Market-based)
8,322.0 11,964.511,853.0 -30.4% -29.8%
Scope 3
Category 3: Fuel and Energy Related Activites
446.2754.1Not reported-40.8%n/a
Category 4: Upstream transportation and distribution
15,212.915,844.616, 849.1-4.0%-9.7%
Category 5: Waste Generated in Operations
4 67. 3653.71 ,117. 7-28.5%-58.2%
Category 6: Business Travel
1,109. 31,814.41 , 707. 8-38.9%-35.0%
Category 9: Downstream transportation and distribution
864.71,966.44,651.1-56.0%-81.4%
Sub-total: Scope 3
18,100.421,033.324,325.7-13.9%-25.6%
Total: Scope 1, Scope 2 (Location-based) &
Scope 3 emissions
26,885.5 28,690.4 37,165.9 -6.3% -27.7%
Total: Scope 1, Scope 2 (Market-based) &
Scope 3 emissions
26,422.3 32 ,997. 8 36,178.7 -19.9% -27.0%
Emissions intensity ratio (tCO2e / $million of Revenue)²
8.6 8.41.7%
reduced to zero through
solar generation
OF OUR MARKET-
BASED SCOPE 2
EMISSIONS
14%
The Warehouse Group Integrated Annual Report 20242627Sustainability

SUSTAINABILITY FRAMEWORK
OUR
PRIORITIES
Product and
packaging
sustainability
leadership
Sustainable
living solutions
Circularity
solutions for
customers
Running a
sustainable
operation
OUR
FOCUS
AREAS
Increasing the number of
more sustainable products
and packaging and helping
our suppliers reduce their
GHG emissions
Enabling sustainable living
solutions that help our
customers live a healthy,
low-carbon lifestyle
Providing circularity
solutions that reduce the
amount of post-consumer
waste going to landfill
Increasing the sustainability
performance of our operations
and decreasing our operational
carbon emissions (Scope 1 and 2)
to zero by 2040
OUR
TARGETS
Increase the share of
private-label sales from
more sustainable products,
or products with circularity
solutions to 50% by 2025
and 100% by 2035

Increase the share of
private-label sales from
products with more
sustainable packaging to
50% by 2025 and 100%

by 2035

NOTE: We have taken
the decision in FY24 to
supersede our Scope 3
supplier emissions target
with a revised target which
we will set and publish
in FY25. Further detail is
available in our Climate-
related Disclosures Report
Install electric vehicle (EV)
charging stations at all
possible stores by 2030
Enable 2.5 million
customers to use our waste
recycling or circular reuse
solutions by 2030
Reduce Scope 1 and 2
emissions, aligned to a 1.50C
trajectory, by 42% by 2030
compared to our 2020 base
year and with the pathway to
zero emissions by 2040

Become a zero-waste status
organisation by 2025

NOTE: We have taken the
decision in FY24 to supersede
our domestic and international
freight emissions target with
a revised target which we
will set and publish in FY25.
Further detail is available in our
Climate-related Disclosures
Report
OUR
PROGRESS
40% of private-label
sales were derived from
products with one or more
sustainable material or
production features (FY23:
33%), accounting for $428m
in sales

55% of private-label sales
derived from products
with packaging that can
be recycled via New
Zealand’s kerbside recycling
infrastructure or via scaled
in-store solutions (FY23:
43%), accounting for $584m
in sales and exceeding our
2025 target
13 of the 28 The Warehouse
stores which offer free
EV charging have been
upgraded to 25kW DC
rapid chargers. This is the
same number as reported
last year
Soft-plastic recycling:
51 locations (The Warehouse
+ Store Support Office)
Recycled 111.1 tonnes of soft
plastic waste (up 26.1% from
FY23)
e-waste recycling:
34 locations (Noel Leeming
and Warehouse Stationery
stores).
Recycled 133.3 tonnes of
e-waste (up 45.6% from
FY23)
Ink and toner cartridge
recycling:
131 locations (Noel Leeming
and Warehouse Stationery
stores).
Recycled 12.7 tonnes (up
22.7% from FY23)
Diverted a total of 257.1
tonnes of post-consumer
waste from landfill disposal
in FY24 (up 29.2% from FY23)
Our market-based Scope 1 and
2 emissions for our NZ sites
decreased 30.4% compared
to FY23 and decreased 29.8%
compared to our 2020 market-
based equivalent base year.
This was due to a consolidation
of our sites and our partnership
with Lodestone Energy

Diverted 77.7% of operational
waste from landfill in FY24
(FY23: 72.9%)
Operational waste
Waste
generated
(tonne)
Waste diverted
from landfill
(tonne)
Waste directed
to landfill
(tonne)
General waste2,835.3-2,835.3
Paper, cardboard and plastic wrap9,036.99,036.9-
Mixed recycling, including
recovery and preparation for reuse
828.1 828.1 -
Hazardous waste<1 tonne -<1 tonne
Total operational waste
12,700.39,865.02,835.3
FY24 operational waste diverted
and directed to landfill
77.7%22.3%
Reducing waste in our business
and for our customers
With the help of our waste and recycling
partners we diverted 77.7% of our
operational waste from landfill in FY24,
up from 72.9% in FY23. Operational
waste comprises waste generated
from shipping and freight packaging,
and general waste generated across
our distribution centres, stores and
Store Support Office. It also includes
items collected as part of services to
customers (for example, removal of
unwanted appliances when new ones
E-WASTE RECYCLING
SOFT-PLASTIC
RECYCLING
51 The Warehouse stores and
Store Support Offices recycled 111.1
tonnes of soft-plastic waste (up
26.1% from FY23)
INK AND TONER
CARTRIDGE RECYCLING
All ink and toner brands
131 Noel Leeming and
Warehouse Stationery stores
collected 12.7 tonnes
(up 22.7% from FY23)
34 Noel Leeming
and Warehouse Stationery stores
recycled 133.3 tonnes of
e-waste (up 45.6% from FY23)
are installed). All operational waste is
generated on site. Our waste data is
consolidated from individual reports,
provided by our waste and recycling
service providers. Total non hazardous
waste for the Group was 12,700.3 tonnes.
We believe we have a big role to play in
helping our customers reuse or recycle
the items we sell. We continue to offer,
and look to expand, our solutions
for helping customers recycle items
that cannot be accepted in home
recycling – this includes soft plastics,
certain electricals (for example laptops,
monitors, tablets, cables), used ink and
toner cartridges, mobile phones and
Nespresso compatible coffee capsules.
In FY24, stores with soft plastics
increased to 51 (up from 44 in FY23) and
we supported The Packaging Forum and
their partners to launch the scheme in
Whanganui and Invercargill.
More customers are using our post-
consumer recycling initiatives, resulting
in the collection of 257.1 tonnes of
material in FY24 (up from 198.9 tonnes in
FY23), helping to divert what otherwise
would have gone to landfill.
Engaging with our suppliers
The Warehouse Group has had a
comprehensive Ethical Sourcing
Programme for more than 20 years,
focused on the private-label products
in The Warehouse and Warehouse
Stationery. This is not only better for
business and trade, but also gives our
customers confidence that our products
have been ethically sourced.
We have increased the engagement
with our suppliers even more this year to
better understand, and start to measure,
our Scope 3 (our suppliers' Scope 1 and
2) emissions.
Our Ethical Sourcing Programme
is underpinned by our Ethical
Sourcing Policy. This policy outlines
our requirements in 10 dimensions,
comprising: Management Systems;
Child Labour; Voluntary (Forced) Labour;
Health and Safety; Wages and Benefits;
Working Hours; Freedom of Association
and Collective Bargaining; Environment;
Subcontracting and Business
Integrity; and Greenhouse Gas (GHG)
management.
In FY24, The Warehouse Group’s
private-label products were sourced
from around 730 factories primarily
located in China, New Zealand, Australia,
Bangladesh, India, Vietnam, USA,
Thailand, Malaysia, Indonesia and the
United Kingdom involving more than
200,000 workers. Our private-label
factories must undergo ethical, labour,
and environmental assessments before
entering our supply chain.
In FY24, 158 new factories (88% of
applicants) qualified to enter our supply
chain via the recognition of existing
third-party credentials, validated self-
assessments or independent third-party
labour and environmental audits. In
addition to important labour rights, these
assessments include a review of our
suppliers’ actions to monitor wastewater
discharge, control air pollutants, dispose
of solid waste, enable recycling, and deal
with any hazardous waste.
In FY24, we conducted 232 labour and
environmental third-party onsite audits
and maintained internal continuous
improvement oversight, working with
120 factories on average each quarter, to
assist them in achieving compliance with
our standards and local regulations.
Out of our 730 active private-label
factories, we found that 21 factories
(2.9%) we assessed had actual or
potential negative social impacts which
they failed to address, resulting in us
ceasing trading with them. Decisions to
The Warehouse Group Integrated Annual Report 20242829Sustainability

terminate relationships with suppliers
are not taken lightly. The 21 factories
we ceased trading with consistently
failed to participate transparently
during assessments or did not meet
the baseline criteria set by our Ethical
Sourcing Policy.
The primary issue we identified during
on-site assessments was a lack of
transparency. This was evident in
14% of those audited this year. Another
common actual or potential negative
social impact we observed was
maintaining legal limits on working hours
and compensation.
These findings emphasised the need
for ongoing monitoring and remedial
action, which we always require. Our
commitment remains firm: to ensure
that every partner in our supply chain
operates with the highest ethical and
social standards.
In FY24, we moved to the Responsible
Sourcing Assessment ERSA for supplier
workplace standards. Our suppliers
were rated from A (minimal issues across
assessment pillars) to D (many issues
across assessment pillars).
Overall rating distributions across all
assessments were: A 1%, B 49%, C 29%,
D 21%.
The percentage of non-compliance
scores across each assessment pillar was
Business Ethics 2.6%, Environment 2.2%,
Health and Safety: 39.5%, Labour: 54.3%,
Management Systems: 1.3%.
Training remains a critical part of our
engagement with suppliers. To help
our factories achieve The Warehouse
Group’s ethical sourcing expectations
and develop new capabilities such as
carbon management, or the use of more
sustainable materials and packaging,
suppliers participated in 233
on-site or virtual training sessions and
completed 2,247 e-learning lessons on
various labour, environment and GHG
management topics.
Our supplier scorecard guides our
sourcing decisions and supplier
selection, and looks at labour and
environmental audit outcomes,
alongside commercial performance
measures. There were no known cases
of forced, compulsory or child labour in
FY24.
Looking ahead
We're always looking for ways to do
better. Our 2024 Sustainable Living Plan
is a good start, but we know there's more
to do. That's why we're continuing to
use the Tomorrow Test to check if what
we're doing is actually going to make a
difference.
We're giving our team the tools and
knowledge they need to make good
choices so we can pass those on to our
customers. It's all about making sure
we're on the right track to create a better
future for everyone.
Since launching our Sustainable Living
Plan two years ago, we’ve achieved
and learned much. We know change is
possible, and we’re optimistic that this
can deliver better outcomes for our
customers, communities, business and
the planet. It’s important we reflect and
remain responsive to the ever-evolving
environmental and social landscape. We
are currently reviewing our sustainability
plans and goals to ensure they remain
aligned with our Group’s business model
and strategy, and expectations of our
stakeholders.
For full details of our emissions
and emissions inventory, as well as
governance, strategy, risk management
and metrics and targets in relation
to emissions and climate reporting,
please refer to our Climate-related
Disclosures Report, which can be
found on our website: https://www.
thewarehousegroup.co.nz/investor-
centre/company-reports.
with packaging that can be
recycled via New Zealand's
kerbside recycling infrastructure
or via scaled in-store solutions
55%
PRIVATE-LABEL SALES
(up from 43% in FY23)
THE WAREHOUSE STORES
WHICH OFFER FREE EV CHARGING
13
OF POST-CONSUMER
WAST E
from landfill disposal
in FY24
2 57.1 tonnes
Diverted
730
NUMBER OF FACTORIES
PRIVATE-LABEL PRODUCTS
WERE SOURCED FROM
DIVERTED
OPERATIONAL WASTE
in FY24
7 7.7%
upgraded to 25kW DC rapid chargers
The Warehouse Group Integrated Annual Report 20243031Sustainability

Ensure everyone gets
home healthy and safe
every day
Team members' health, safety and
wellbeing remains a top priority for
us. We continue to focus on our four
pillars of wellbeing: physical, mental,
financial, and ways of working.
As an ACC-accredited Employer,
Safety Assurance Reviews play an
integral role in managing our hazards
and risks and ensuring best-practice
and legal requirements are applied
across all our sites. This year, we
conducted 104 safety assurance
reviews.
In FY24, there were four recorded
critical risk events related to traffic
management and product storage.
This is down 50.0% from FY23 when
we had eight critical risk events.
Our key performance safety metric
is Total Recorded Injuries and in
FY24 we recorded 298. While still
higher than we would like, this is
a significant decrease of 36.6%
compared to 470 recorded in FY23.
The Total Recorded Injury Frequency
Rate (TRIFR) reduced in FY24 also,
at 23.0 per million hours worked,
compared to 32.8 per million hours
worked in FY23.
Our Lost Time Injuries reduced by
9.6% from 197 in FY23 to 178 in FY24,
while our Lost Time Injury Frequency
Rate (LTIFR) was 13.7, the same as
in FY23 due to a reduction in total
hours worked.
There have been zero workplace
fatalities for the seventh year in
a row.
Crime continues to be challenging
for the retail industry across
New Zealand and sadly in FY24
we recorded 279 events related
to Violent Aggressive Behaviour
towards our store teams, an
increase from 224 in FY23. We
have continued to invest in safety
measures and support services
for our teams - such as training on
situational incident management,
body cams and vests, and reviewing
our top 20 high-incident sites.
We have provided a range of
activities to support the mental
and financial wellbeing of our
team members including: Health
Awareness Week, team step
challenges, flu vaccinations, fatigue
management, and healthy eating
initiatives. We also provide access
to financial advisors, as well as our
employee assistance programme,
TELUS Health, which provides
confidential support and counselling.
Unlock productivity and
performance through
leadership capability
We aim to create a caring, dynamic,
customer-driven organisation by
empowering our people through
leadership capability and learning
and development opportunities.
We have two leadership programmes,
Evolve and Emerge, which focus on
developing personal leadership skills,
while also supporting team members
in delivering for customers.
Our Emerge leadership programme
is for team members who are working
towards a store manager role and our
Evolve leadership programme is for
those working towards becoming a
high-performing store manager.
In FY24, a total of 16 team members
completed our Emerge programme,
with more than six team members
moving from Assistant Managers to
Store Managers so far and 15 team
members completing the Evolve
programme with three participants
promoted to date.
This year we implemented the Dare
to Lead leadership programme too,
developed by Brené Brown, with
nearly 200 leaders participating
to cultivate braver, more-daring
GROWING AND DEVELOPING
OUR PEOPLE
per million hours
worked
(FY23: 32.8)
TRIFR
23.0
Critical risk
events
4
(FY23: 8)
100%
gender pay equity
(FY23: 101%)
eNPS
19.6pts
Lost Time Injuries
178
(FY23: 197)
Diversity, Equality and Inclusion
pillars: Te Ao Māori, Belonging,
Gender Equality, and Future of Work.
In a first for the Group, we appointed
our first Māori Development Lead,
marking a significant step in our
journey to embrace and integrate
te ao Māori into our core operations.
As an organisation and team, we’ve
taken important steps to understand
and participate in te ao Māori, such
as including te reo Māori on our
products, to teams learning, using
and encouraging te reo Māori and
tikanga at work. We focused on
increasing understanding of te ao
Māori by rolling out internal Word
of the Week videos, and celebrating
Matariki/Puanga, and Te Wiki o te
Reo Māori/Māori Language Week.
In other diversity, equality and
inclusion activities, we celebrated
International Women’s Day and
recognised Neurodiversity Week
by launching neurodiversity
workshops and creating a dedicated
neurodiversity hub on our internal
knowledge library. We celebrated
Pride Awareness and maintained our
Rainbow Tick status for another year.
We continued to support new
mums and dads with our 26-week
paid parental leave, with 147 team
members making use of this policy
in FY24.
leadership and develop high-
performing teams.
The Personal Effectiveness
programme continued, with 36
team members participating. This
initiative equips participants with
essential skills and strategies like
time management, prioritisation, and
effective communication.
We recognise the critical importance
of adhering to a strong Code of
Ethics in maintaining the integrity
and trustworthiness of our
organisation. Our Code of Ethics
training is essential to ensure team
members understand and uphold
our ethical standards, fostering a
culture of honesty, accountability
and respect.
Overall, we spent more than 48,200
hours training our team members
in FY24, which equates to 5.0 hours
training per person and includes our
Code of Ethics training.
Celebrating our diversity
At The Warehouse Group, we strive
to create a workplace where our
people feel they can bring their
whole selves to work. We believe
a diverse team and an inclusive
workplace leads to more innovation,
better decision-making, greater
opportunities for our people and
better performance outcomes for the
business.
In FY24, our focus was on our four
H E TA N GATA , H E TA N GATA , H E TA N GATA
Gihan Fernando is one of our team members who completed the Emerge programme
in FY24, moving from a trading manager at The Warehouse Takanini to the store
manager of The Warehouse St Lukes.
Gihan started with The Warehouse as a Christmas casual in 2014 and has worked at
four different stores across our Auckland network. He was excited by the chance to
be part of the Emerge programme to reach his goal of becoming a store manager,
while also developing new skills and abilities to support his team and our customers.
“I wanted to get out of my comfort zone and develop my growth mindset during the
Emerge programme,” says Gihan.
“I wanted to learn how best to empower and engage my team and learn from leaders
around the business to help me find capabilities and strengths I wasn’t using. I learnt
so many important things during the Emerge programme, so being able to bring that
back to my team in my new leadership role is very rewarding for me.”
Gihan Fernando (middle) store manager of
The Warehouse St Lukes.
CASE
STUDY
(FY23: 26.9%)
employee turnover
23.7%
37. 5%
of senior leaders
are female
(FY23: 50.0%)
46.9%
of Board members
are female Directors
(FY23: 50.0%)
The Warehouse Group Integrated Annual Report 20243233Our People

The Warehouse Group worked closely
with our national charity partner,
Kindness Collective, on their annual
PJ Project, which aimed to provide
20,000 warm PJs to Kiwi kids across
New Zealand. Kiwis were able to drop
off pyjamas at any The Warehouse store
nationwide, and were able to donate
money to this worthy cause at The
Warehouse, Warehouse Stationery or
Noel Leeming.
Helping Kiwi kids keep warm during
winter resonated with our team
members, so we held an inaugural
SUPPORTING KIWI KIDS IN OUR
COMMUNITIES OVER WINTER
Raised
For our charity partners and
community groups around
New Zealand including
through customer donations
instore and Market Club.
$
2.6m
CASE
STUDY
Warm Fuzzies Day on 24 May, where our
team members across our store network
dressed in their PJs, dressing gowns
and slippers to help raise awareness.
Thanks to the incredible generosity of
our customers and hard work of our
store teams across our brands, $137,200
was raised to help Kindness Collective
provide PJs, blankets and winter
essentials to Kiwi kids, ensuring they
would be cosy and healthy throughout
winter. Over 4,200 pairs of PJs and 185
blankets were donated through
The Warehouse drop-off points.
CASE
STUDY
GOOD ONE BRINGS
AFFORDABLE
HEALTH & BEAUTY
TO RED SHELVES
In FY24, The Warehouse launched its
first private-label health and body
brand, Good One, a new cruelty-free
body and hair care range, locally
made with natural ingredients like
kawakawa and mānuka honey.
Exclusive to The Warehouse, the
Good One range delivers value that’s
not only kind to skin but also to
wallets. All Good One products cost
between $6 and $8, ensuring Kiwi
families can purchase New Zealand-
made products at affordable prices.
Feeling good is also about doing
good, so Good One also gives back
through an ongoing partnership with
Women's Refuge, providing products
to women and children in its
care. With Women's Refuge locations
from Kaitaia to Invercargill, those in
need often leave their homes with
only the clothes on their back; so
when Kiwis purchase Good One, they
are helping us provide essentials
like shampoo, body wash and more
to over 2,000 families seeking
assistance from Women’s Refuge
every year.
All Good One product is crafted
locally in New Zealand, and made
without harmful chemicals like
parabens, SLS or SLE, triclosan,
formaldehyde, synthetic fragrances,
or mineral oils. Good One is also
approved under the Cruelty Free
International's Leaping Bunny
Programme – the global gold
standard for cruelty-free products.
Good One helps provide
essentials like shampoo,
body wash and more to
over 2,000 families seeking
assistance from Women’s
Refuge every year.
2,000
>
The Warehouse Group Integrated Annual Report 20243435Case Studies

Pick-By-Store is a new picking
method we use in our distribution
centres to help teams work smarter
while improving our processes.
With Pick-By-Store, we streamline
our distribution centre operations,
enhance the picking process, optimise
storage, decrease transport costs, use
smart allocation for more space for
fast-selling products, increase picking
productivity, and minimise product
touchpoints to reduce potential
damages.
Our distribution centres can now
deliver better-franchised pallets from
the Grocery, General Merchandise,
Stationery, Apparel, and Shoes
categories. With this new system, 80%
of the pallets arrive organised by these
franchises. For example, all homeware,
stationery, or shoes are together,
making it simpler to manage inventory
when items arrive in store.
Pick-By-Store is supported by a smart
picking system, which is seamlessly
integrated with our Warehouse
Management System enabling our
pickers to work more efficiently,
accurately and effectively. The
Warehouse Management System maps
the route for the picker, making picking
faster and more efficient. Once items
are picked, they are packed directly
onto a pallet designated for a specific
store, ready to be shipped without
unnecessary sorting.
This innovation has now been
successfully implemented in our North
and South Island distribution centres.
CASE
STUDY
IMPROVING PROCESSES IN OUR
STORES AND DISTRIBUTION CENTRES
The Warehouse Group Integrated Annual Report 20243637

MARKET MEDIA
MAKING MOVES
Our Market Media offering allows
suppliers and partners to directly engage
with New Zealand’s largest integrated
retail audience across our online stores
and millions of weekly customer visits to
The Warehouse, Warehouse Stationery
and Noel Leeming.
Market Media uses its channels and
capabilities to develop smart marketing
activities and at-shelf effectiveness.
During FY24, Market Media grew
its top-line revenue year on year
and rolled out a Direct Out of Home
network comprising 3,300 advertising-
CASE
STUDY
advertising-enabled panels
across The Warehouse

and Noel Leeming.

3,300
enabled panels across The Warehouse
and Noel Leeming, which is proving to
be a very popular channel.
We have launched retail media
partnerships with brands like Contact
Energy, Flu NZ, ANZ and Disney+ while
deepening relationships with key
suppliers including Samsung, Griffin's,
Microsoft, Henkel and Mattel. We have
also expanded our product offering to
include in-store point-of-sale and off-
site partnerships.
Just one example of Market Media’s
partnership success from FY24 is with
Vogel’s, integrating product stickers on
The Warehouse’s Living & Co toaster
range to help customers understand
which toaster setting is right for their
preferences. Alongside the product
stickers, Vogel’s utilised point-of-sale
and in-store screens at The Warehouse
to drive the message to full effect, with
the initial increase in Vogel’s sales up
100% year on year.
The Warehouse Group Integrated Annual Report 20243839Case Study

The Warehouse Group has reported in accordance with
the GRI Standards for the period 31 July 2023 to 28 July
2024. We have applied the 2021 GRI reporting principles,
including Accuracy, Balance, Clarity, Comparability,
Completeness, Sustainability Context, Timeliness and
Verifiability when determining what material topics and
disclosures to include in this report.
In 2021 we undertook an in-depth internal and external
stakeholder mapping exercise, assessment, and interview
process. In 2024 we completed an internal materiality
assessment, undertaken by the Executive Leadership Team
and their direct reports, to inform the reporting under GRI
and this Integrated Report. This process reaffirmed the
materiality and importance of our material topics, both in
terms of our stakeholders’ point of view, and from a value at
stake on the operational and financial impact of the Group.
GLOBAL REPORTING INITIATIVES (GRI)
VALUE AT STAKE
MATERIAL TOPICS
This review concluded that there have been no significant
changes in the material topics this year – those which
have the highest importance to stakeholders, the highest
value at stake and therefore the highest impact on the
environment, economy and our people.
This process has informed and developed our list of
material topics in accordance with the requirements under
2021 GRI Standard 3: Material Topics – determining the
impacts of these issues on the business and how the Group
manages these issues.
The Warehouse Group is active in the New Zealand retail
sector. A GRI sector-specific standard is not yet available
for the retail sector. Refer to pages 92-97 for the GRI
Content Index.
GRI REPORT
MATERIAL TOPICS – ASSESSMENT AND REPORTING
Material TopicImpact / CommitmentHow we measure
performance
GRI Reporting StandardSection in this
Annual Report
1. Sustainable products
and packaging
Increase the share of private-label sales
from products and packaging which
are more sustainable, or which have a
circularity solution, to 50% by 2025 and
100% by 2035
• Percentage of private-label sales
derived from products with one or more
sustainability features
• Percentage of private-label sales were
derived from products with packaging
which can be recycled via New Zealand’s
kerbside recycling infrastructure, or
circularity solutions
N/ASustainability
Enable 2.5 million customers to use our
waste recycling or circular reuse solutions
by 2030
• Number of tonnes of post-consumer
waste recycled
N/ASustainability
2. Supply chain management
To build a reliable and sustainable supply
chain network
• Store availability
• Number of new and existing suppliers
screened using environmental audits
N/A
GRI 414-2
Engaging with suppliers
3. GHG emissions
Reduce Scope 1 and 2 emissions by 42%
by 2030, and zero emissions by 2040
• Scope 1 and 2 reduction in emissions
year on year and compared to 2020
base year
GRI 305-1
GRI 305-2
GRI 305-3
GRI 305-4
GRI 305-5
Sustainability
4. Waste reduction
Become a zero-waste status organisation
by 2025
• Percentage of waste diverted from
landfill year on year.
GRI 306-1
GRI 306-2
GRI 306-3
GRI 306-4
GRI 306-5
Sustainability
5. Responsible and ethical
sourcing
To build a reliable and sustainable supply
chain network
• Percentage of private-label sales
derived from products with one or more
sustainability features
• Number of new and existing suppliers
screened using environmental audits
• Supplier audit and results
GRI 407-1
GRI 408-1
GRI 409-1
GRI 414-1
GRI 414-2
Sustainability
Work with suppliers, associations and
initiatives for sustainable sourcing and
materials e.g. BCI, FSC
Membership of sustainable material
initiatives
GRI 2.28 (2021) Sustainability
Corporate Governance -
Statutory Disclosures
6. Employee health, safety
and wellbeing
Build a strong and effective high-
performance and agile culture that gets
everyone home healthy and safe at the
end of their day
Critical risk management and safety
assurance reviews, including:
• Number of violent and aggressive
behaviour incidents
• Number of critical risk events related to
traffic management
• Total Recordable Injury Frequency Rate
(TRIFR)
• Lost Time Injury Frequency Rate (LTIFR)
GRI 403-9Growing and developing
our people
7. Employee engagements,
diversity and inclusion
Be the best place to work by creating an
environment of belonging and connection
• eNPS
• Promotion of worker health
N/A
GRI 403-6
Growing and developing
our people
Provide learning pathways and
career development
• Average training hours per year per
employee
• Programmes for upgrading employee
skills and transition assistance
programmes
GRI 404-1
GRI 404-2
Growing and developing
our people
Celebrate diversity and provide equal
opportunities for everyone
• Percentage of senior leaders who are
female
• Gender pay equity
• Rainbow Tick accreditation
• Diversity, inclusion and wellbeing
initiatives and objectives
GRI 405-1
GRI 405-2
Growing and developing
our people
Diversity and Inclusion Report
8. Business ethics and
human rights
Be committed to fostering the highest
standards of ethical behaviour and good
conduct
• Adherence to NZX Corporate
Governance Code, Principle 1
• Compliance with Code of Ethics,
Financial Products Trading Policy, and
Market Disclosure Policy
• Supplier and factory labour and
environmental audits
GRI 2.23 – 2.27
GRI 205-2
GRI 205-3
GRI 206-1
GRI 407-1
GRI 408-1
GRI 409-1
Corporate Governance
5.0
4.5
4.0
3.5
3.0
2.5
2.0
1.5
1.0
0.5
–
– 0.51.01.52.02.53.03.54.04.55.0
IMPORTANCE TO STAKEHOLDERS
Sustainable products and packagingSupply chain management
GHG emissionsWaste reduction
Responsible and ethical sourcingEmployee health, safety and wellbeing
Employee engagement, diversity and inclusionBusiness ethics and human rights
The Warehouse Group Integrated Annual Report 20244041GRI Report