Sanford delivers an improved full year result

Sanford FY24
Results Presentation
Sanford FY24
Results Presentation

Back to Basics
16.3
42.3
33.8
22.3
36.2
46.0
36.1
48.0
66.4
45.6
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
FY15FY16FY17FY18FY19FY20FY21FY22FY23FY24
Capital Expenditure $m
450.3
463.5
477.9
515.0
545.1
468.8468.8
531.9
553.4
582.9
0
100
200
300
400
500
600
700
FY15FY16FY17FY18FY19FY20FY21FY22FY23FY24
Revenue $m
47.5
63.2
63.4
64.7
64.8
38.3
23.3
40.2
49.4
74.2
0
10
20
30
40
50
60
70
80
FY15FY16FY17FY18FY19FY20FY21FY22FY23FY24
Adjusted EBIT $m
31.3
57.6
60.1
68.1
67.2
35.6
29.0
71.2
31.0
54.3
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
FY15FY16FY17FY18FY19FY20FY21FY22FY23FY24
EBIT $m
13.8
34.7
37.4
42.3
41.7
19.4
16.2
55.8
10.0
19.7
0
10
20
30
40
50
60
FY15FY16FY17FY18FY19FY20FY21FY22FY23FY24
N PAT $ m
55.0
34.4
50.3
72.4
48.7
14.6
32.2
44.9
41.1
73.0
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
FY15FY16FY17FY18FY19FY20FY21FY22FY23FY24
Operating Cashflow $m
1

FY24 Summary
2
Adjusted EBIT of $74.2m, up 50% on prior comparative period (pcp).
•Wildcatch improvement from inshore restructure and firm pricing.
•Positive salmon result – prices consistent with solid demand.
•Improved mussel performance – strong prices and demand.
•Reduction in head office costs.
47.5
63.2
63.4
64.7
64.8
38.3
23.3
40.2
49.4
74.2
0
10
20
30
40
50
60
70
80
FY15FY16FY17FY18FY19FY20FY21FY22FY23FY24
Adjusted EBIT $m
NPAT of $19.7m, up 96% on pcp.
•Impacted by significant impairment of assets (including NIML, Auckland
site and other assets).
•One-off negative tax adjustment of $1.7 building tax change and the
restriction on building depreciation.
13.8
34.7
37.4
42.3
41.7
19.4
16.2
55.8
10.0
19.7
0
10
20
30
40
50
60
FY15FY16FY17FY18FY19FY20FY21FY22FY23FY24
N PAT $ m

FY24 Summary
3
Operating cashflow of $73.0m up 78% on pcp.
•Increased profitability.
•Assisted by the rationalisation of inventory in Q4.
55.0
34.4
50.3
72.4
48.7
14.6
32.2
44.9
41.1
73.0
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
FY15FY16FY17FY18FY19FY20FY21FY22FY23FY24
Operating Cashflow $m
Net debt of $185.5m, down 5% on pcp and 16% on
HY24.
•Focus on debt reduction in Q4.
•Increased interest costs from higher rates and
increased debt throughout the year.
•Interest rate swaps at lower levels rolling off.
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
16.0
18.0
0
50
100
150
200
250
HY19FY19HY20FY20HY21FY21HY22FY22HY23FY23HY24FY24
Interest ($m)
Net debt ($m)
Sanford Net Debt and Interest
Net DebtInterest (incl hedging)

FY24 Key Financials
4
•Revenue up $29.5m (5%) on pcp. Increased
revenue driven by improved prices achieved on
key species.
•EBIT up $23.3m or 75% on pcp.
•Large one-off impairments/adjustments
($19.9m) for the year from restructuring and
business re-organisation.
•Operating cashflow funded $46.0m of capital
expenditure, a 10.0c dividend and a reduction in
net debt of $10.7m.
•Earnings per share increase from 10.7c to 21.1c.
•Final dividend of 5.0 cents per share (cps), full
year dividend of 10.0 cps.

Sanford-full year results
NZ$ MillionFY15FY16FY17FY18FY19FY20FY21FY22FY23FY24
Revenue450.3463.5477.9515.0545.1468.8468.8531.9553.4582.9
Adjusted EBIT47.563.263.464.764.838.323.340.249.474.2
Adjustments( 16.2)( 5.6)( 3.3)3.42.4( 2.7)5.731.0( 18.4)( 19.9)
EBIT31.357.660.168.167.235.629.071.231.054.3
Interest9.58.28.58.17.99.09.08.713.516.9
Tax8.014.714.217.717.67.23.86.77.517.7
NPAT13.834.737.442.341.719.416.255.810.019.7
Operating cashflow55.034.450.372.448.714.632.244.941.173.0
Capital expenditure16.342.333.822.336.246.036.148.066.445.6
Net debt138.4173.0145.0152.4130.7184.3178.6145.5196.2185.5
Dividend (cents per share)23.023.023.023.023.05.00.010.012.010.0
Earnings (cents per share)14.837.140.145.244.620.817.459.810.721.1
Total equity513.1558.1575.8581.9588.2607.6634.1664.9685.0704.4
Gearing (%)22.0%24.0%20.7%21.0%19.1%23.6%22.3%18.9%22.9%22.1%

Improved profitability across all divisions
5
NZD $m
Key drivers of Adjusted EBIT change vs FY23
49.4
8.9
7.0
6.9
2.0
74.2
FY23 Adj EBITSalmonWildcatchMusselsOverheads/AustraliaFY24 Adj EBIT
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0

Gross Margin Comparison
•Gross margin % increase, but below
historical highs.
•Change in distribution approach,
particularly Asia – use a few big
distributors, reducing sales and
distribution costs.
•Strong in-market prices but anticipate price
pressure in FY25.
6
26.5%
24.3%
23.5%
22.1%
19.7%
17.6%
14.6%
18.2%
19.6%
21.6%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
FY15FY16FY17FY18FY19FY20FY21FY22FY23FY24
Gross Margin %

Seafood Inventory
7
35
75
59
48
67
56
0
10
20
30
40
50
60
70
80
FY19FY20FY21FY22FY23FY24
$m
Inventory Value ($m)
7.6
12.2
10.4
6.9
8.2
7.9
0.0
2.0
4.0
6.0
8.0
10.0
12.0
14.0
FY19FY20FY21FY22FY23FY24
(tonnes 000's)
Inventory Volume (PWT)
•Value of seafood inventory down $11.9m or 18%
from pcp, supporting improved operating cashflow.
•Focus in Q4 to bring stocks down and clear aged
and slow-moving inventory.

Capital Expenditure
FY24 Key Spend
Wildcatch
•$14.5m new scampi vessel
•$10.7m vessel surveys/dry docking
•$3.6m vessel capex
•$1.2m San Granit lay up
Salmon
•$2.5m Salmon feed barge
•$1.6m new farm cages and nets
•$0.9m new dumb barge in Big Glory Bay
Mussels
•$1.4m hatchery extension and equipment
•$1.0m vessel surveys
$mFY23FY24
Mussels 11.42.9
Salmon8.48.0
Wildcatch42.334.3
Other1.70.4
63.845.6
8

Divisional Performance
9

Wildcatch Division
10
-
50
100
150
200
250
300
350
400
FY18FY19FY20FY21FY22FY23FY24
Revenue ($m)
CAGR -1%
-
10
20
30
40
50
60
70
FY18FY19FY20FY21FY22FY23FY24
EBIT ($m)
CAGR -3%
Revenue up 6% and EBIT up 14% on pcp.
•Increased revenue – positive pricing from key species, offset by reduced
revenue from the inshore business.
•EBIT growth assisted by inshore restructuring and the impact of the 10-
year ACE supply agreement with Moana.
•Improved squid catch for FY24, however, still behind FY21 & FY22 levels.
•Squid and hoki prices have remained buoyant throughout the year which
also assisted in an improved fishing partner performance.
•Scampi pricing increased to historic highs, with some softening in Q4
directly related to Chinese demand. Operational challenges due to
maintenance issues on aging fleet and poor weather conditions in the
Sub Antarctica.
•Orange Roughy price decline for past two years in the US market. Price
concessions required to move excess stock.
•New scampi vessel build progress on time.
NZ$ MillionFY18FY19FY20FY21FY22FY23FY24
Revenue343.6368.1279.5277.7302.2299.8318.9
EBIT65.859.528.232.352.448.855.7
EBIT %19.2%16.2%10.1%11.6%17.3%16.3%17.5%

Salmon Division
11
-
20
40
60
80
100
120
FY18FY19FY20FY21FY22FY23FY24
Revenue ($m)
CAGR 18%
-
10
20
30
40
50
FY18FY19FY20FY21FY22FY23FY24
EBIT ($m)
CAGR 13%
Revenue up 14% and EBIT up 28% on pcp.
•Growth in volume and performance.
•Fresh salmon prices remain firm relative to recent years and export
markets simplified with reduced distribution costs.
•Feed costs remained at high levels for the majority of the year, with
some softening in the last quarter.
•New feed barge commissioned (replacing a leased vessel) in Q4.
•Domestic market sales account for about a third of whole salmon
and most of our fillet production.
•Addition of aeration and oxygenation technology has helped
through a challenging El Nino summer with low mortalities.
•Minimal volume growth planned for FY25 due to waterspace
constraints.
NZ$ MillionFY18FY19FY20FY21FY22FY23FY24
Revenue39.748.750.866.778.793.6107.0
EBIT20.119.717.819.022.932.040.9
EBIT %50.7%40.5%35.1%28.4%29.1%34.2%38.2%

Mussel Division
12
-
20
40
60
80
100
120
140
160
FY18FY19FY20FY21FY22FY23FY24
Revenue ($m)
CAGR 5%
-
5
10
15
20
25
FY18FY19FY20FY21FY22FY23FY24
EBIT ($m)
CAGR 5%
Revenue up 9% and EBIT up 101% on PCP
•Improved performance, but still below FY19 and FY20 levels.
•Prices in all markets are now at historic highs and have held firm
throughout the year.
•Volume challenges, particularly in the North Island, limiting ability
to maximise returns from strong pricing.
•Closure of the North Island Processing joint venture (NIML) due to
reduced volume forecast from low spat uptake and reduced catch
from ninety-mile beach.
•A new toll processing arrangement with Whakatohea Mussels
Opotiki Limited (WOML) offers greater flexibility in managing
Coromandel's fluctuating supply.
•Resource Management Amendment Bill approved in September
2024 assisting waterspace extensions with reduced compliance
costs.
NZ$ MillionFY18
FY19FY20FY21FY22FY23FY24
Revenue
97.6107.9120.5100.4
106.7122.9134.1
EBIT
10.618.0
23.30.80.46.913.9
EBIT %10.9%16.7%19.4%0.8%0.4%5.6%10.4%

Material abnormal items
Asset$mNotes
North Island Mussels (NIML) assets6.6Impairment of plant & equipment and land and buildings following factory closure.
Marine Extracts facility plant and goodwill5.2Impairment of assets on unused facility.
Auckland site buildings & assets4.6Impairment of Auckland site buildings and redundant assets.
Two Islands investment3.1Impairment of investment following exit of business.
13

Looking forward FY25
•Refreshed strategy and development of associated business plans.
•Focus on capital allocation, operating cashflows, debt reduction
and dividends.
•Business simplification and reduced overhead costs.
•Price pressure on some species, particularly products to China.
•Increasing costs such as fuel, feed, freight and wages and salaries.
Need for productivity plans.
•Leadership.
14

Disclaimer
Important Notice
This presentation contains not only a review of operations and information about Sanford Limited (the Company), but also contains some forward-looking
statements about the Company and the environment in which it operates. This disclaimer applies to this presentation and any written or verbal communications
in relation to it.
Information has been prepared by the Company with due care and attention. However, neither the Company, nor any of its directors, employees or shareholders
nor any other person gives warranties or representations (express or implied) as to the accuracy or completeness of this information. To the maximum extent
permitted by law, none of the Company, its directors, employees, shareholders or any other person shall have any liability whatsoever to any person for any loss
(including, without limitation, arising from any fault or negligence) arising from this presentation or any information supplied in connection with it.
This presentation contains financial information taken from management accounts and from the Company’s unaudited results for the year ended 30 September
2024.
This presentation also contains forward-looking statements regarding a variety of items. Such forward-looking statements are based on current expectations,
estimates and assumptions and are subject to a number of risks, and uncertainties, including material adverse events, significant one-off expenses and other
unforeseeable circumstances on the Company. There is no assurance that results contemplated in any of these forward-looking statements will be realised, nor
is there any assurance that the expectations, estimates and assumptions underpinning those forward-looking statements are reasonable. The Company’s actual
results may differ materially from the forward-looking statements in this presentation. No person is under any obligation to update this presentation at any time
after its release. Investors are strongly cautioned not to place undue reliance on forward-looking statements.
Media releases, management commentary and analysts’ presentations, including those relating to the previous results announcement, are all available on the
Company’s website and contain additional information about matters which could cause Sanford Limited’s performance to differ from any forward-looking
statements in this presentation. This presentation should be read in conjunction with the material published by Sanford Limited.
The information in this presentation is of a general nature and does not constitute financial product advice, investment advice or any recommendation. The
presentation does not constitute an offer to sell, or a solicitation of an offer to buy, any security and may not be relied upon in connection with the purchase or
sale of any security. Nothing in this presentation constitutes legal, financial, tax or other advice.
Please note : All financial metrics provided in this document are unaudited.
15

LOOKING FOWARD
16
Questions?

---

Sanford Limited
Results announcement




Results for announcement to the market
Name of issuer Sanford Limited
Reporting Period 12 months to 30 September 2024
Previous Reporting Period 12 months to 30 September 2023
Currency New Zealand Dollars
Amount (000s) Percentage change
Revenue from continuing
operations
$582,913 5.33%
Total Revenue $582,913 5.33%
Net profit/(loss) from
continuing operations
$19,670 96.48%
Total net profit/(loss) $19,670 96.48%
Interim/Final Dividend
Amount per Quoted Equity
Security
$0.05000000
Imputed amount per Quoted
Equity Security
$0.01944444
Record Date 02 December 2024
Dividend Payment Date 09 December 2024
Current period Prior comparable period
Net tangible assets per
Quoted Equity Security
$2.28761521 $2.04665292
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood
For an explanation on Sanford’s operational results please refer
to the accompanying NZX announcement, investor presentation
and Annual Report for the year ended 30 September 2024.
Authority for this announcement
Name of person

authorised
to make this announcement
Roberto Magaraggia
Contact person for this
announcement
Paul Alston
Contact phone number 021 918 033
Contact email address palston@sanford.co.nz
Date of release through MAP

15 November 2024

Audited financial statements accompany this announcement.

---

Sanford Limited
Distribution Notice





Section 1: Issuer information
Name of issuer Sanford Limited
Financial product name/description Sanford Limited Ordinary Shares
NZX ticker code SAN
ISIN (If unknown, check on NZX
website)
NZSANE0001S0
Type of distribution
(Please mark with an X in the
relevant box/es)
Full Year X Quarterly
Half Year Special
DRP applies
Record date 02 December 2024
Ex-Date (one business day before the
Record Date)
29 November 2024
Payment date (and allotment date for
DRP)
09 December 2024
Total monies associated with the
distribution
$4,675,307
Source of distribution (for example,
retained earnings)
Retained earnings
Currency New Zealand Dollars
Section 2: Distribution amounts per financial product
Gross distribution $0.06944444
Gross taxable amount $0.06944444
Total cash distribution $0.05000000
Excluded amount (applicable to listed
PIEs)
N/A
Supplementary distribution amount $0.00882353
Section 3: Imputation credits and Resident Withholding Tax
Is the distribution imputed

Fully imputed
Partial imputation
No imputation
If fully or partially imputed, please
state imputation rate as % applied
28%
Imputation tax credits per financial
product
$0.01944444
Resident Withholding Tax per
financial product
$0.00347222

Section 4: Distribution re-investment plan (if applicable)
DRP % discount (if any)
N/A
Start date and end date for
determining market price for DRP
N/A N/A
Date strike price to be announced (if
not available at this time)
N/A
Specify source of financial products to
be issued under DRP programme
(new issue or to be bought on market)
N/A
DRP strike price per financial product
N/A
Last date to submit a participation
notice for this distribution in
accordance with DRP participation
terms
N/A
Section 5: Authority for this announcement
Name of person

authorised to make
this announcement
Roberto Magaraggia
Contact person for this
announcement
Paul Alston
Contact phone number 021 918 033
Contact email address palston@sanford.co.nz
Date of release through MAP

15 November 2024

---

15 November 2024
Sanford delivers an improved full year result
Summary:
• Revenue of $582.9m, up 5% on the prior comparative period (pcp).
• Adjusted EBIT of $74.2m, a record, and up 50% on pcp.
• EBIT of $54.3m, up 75% on pcp.
• Net Profit after Tax (NPAT) of $19.7m, up 96% on pcp. Improved NPAT achieved after
incurring $19.9m of adjustments and a non-cash tax expense required after a New Zealand
tax legislation change removing the ability to claim tax deductions on buildings.
• Operating cashflow of $73.0m, a record, and up 78% on pcp.
• Net debt of $185.5m, down 5% on pcp.
• Final dividend of 5.0 cents per share (cps) fully imputed, taking the full year FY24 dividend to
10.0c per share.
Sanford’s Managing Director, David Mair, said “Sanford’s financial result represents a record
adjusted EBIT profit – one we have achieved despite challenging global economic conditions. The
FY24 net profit after tax (NPAT) was $19.7 million, a 96% improvement on last year’s result.
Operating cash flow of $73.0 million is $31.9 million (+78%) increase over the prior period, an
exceptionally good result. A 5% increase in overall revenue, combined with a team focus on selling
through aged inventory (orange roughy) and a concerted effort to expedite cash collection,
positively led to cash flow improvements”.

An adjusted EBIT of $74.2m is a result of improved performances from all divisions. Demand and
pricing have remained strong for most products and species throughout the year and margins have
improved.
Export markets have been simplified, with consolidation in some channels resulting in reduced
distribution costs. There has been a focus on lowering overhead costs throughout the year and
accompanied with channel simplification, we are seeing costs reduce.

FY24 has not been burdened with the high cost of the Sancore ERP system change which was a large
and complicated replacement of Sanford’s core operational and financial systems. The system is now
business as usual as we attempt to extract the benefits from such a large investment.

Capital expenditure at $45.6m for FY24 is a 31% reduction on FY23. Most of this spend is related to
wildcatch maintaining an aging fleet and making progress payments on the new scampi vessel.
The balance sheet was strengthened with net debt at $185.5m, down 5% on FY24 which is a result of
the improved financial performance, increased operational cashflows and reduced capital
expenditure.
Review of Assets
A critical review of assets was undertaken in the second half of the year resulting in the impairment
of NIML assets. Further impairments include unused assets, the impairment of the Auckland site
buildings and redundant assets and the underperforming Two Islands investment (recognised at
HY24). Abnormal adjustments associated with impairment totalled a net $19.9m for the financial
year.
Sanford Ltd
22 Jellicoe Street, Auckland 1010
PO Box 443, Shortland Street, Auckland 1140
www.sanford.co.nz

David said “Sanford has a significant tangible and intangible asset base of over $1 billion, measured
using a mixture of book and fair value. Judicious management of this asset base is an important
component of the business.

As part of the strategic review of each business, a rigorous focus will be applied to determining if
sufficient returns are being achieved on these assets. This review encompasses a consideration of
short-and medium-term use and profitability attained from our assets. It will be necessary to focus
on aged assets and whether required maintenance and upkeep is commensurate with attainable and
incremental profit achievement. As is evident with the asset impairments identified and recognised
in FY24, we have commenced this review, however, the business will look to complete this exercise
in the first half of FY25”.

Dividend
While there has been an improvement in profitability and operating cashflows, David Mair said “We
are in the business of natural protein production, with all the vagaries and uncertainties that that
implies. A reconsideration of the appropriate level of debt for the business, and associated interest
costs, is merited”.

A final, fully imputed dividend of 5.0 cents per share (cps) was declared by the Board, taking the full
year dividends to 10.0cps. The dividend will be paid on Monday 09 December 2024 to shareholders
of record on Monday, 02 December 2024. A reduction in the final dividend relative to prior year
reflects a conscious decision by directors to reduce levels of core debt in the business.
Our Future
While there have been strong prices for most of FY24, we anticipate there will be price pressure on
some species, particularly products to China in FY25. Productivity plans are needed to mitigate
increasing costs such as fuel, feed, freight, wages and salaries.
David said “There is a need to review every process and commit to continuous improvement to
mitigate further cost increases (and even achieve savings). My objective is to simplify and optimise
standardised business processes and tools, enabling more cost-effective outcomes, access to more
insightful information, a more secure environment and ultimately better outcomes for our
customers and our people”.

David emphasised “Prioritisation will be to ensure that we have a structure which supports front-end
activity with our customers. We then need to ensure that we have a back- end that is focused on
reducing product costs relentlessly. In that context, there is also a need to carefully consider the size
of the corporate structure that we can afford”.
Whilst this cost reduction strategy will be rigorously pursued in FY25, it is not expected that the net
benefits of these initiatives will play through until FY26.
Sanford’s Chair Sir Rob Mcleod said “The Board has mandated David to review the Group’s
operations and strategy which is a very important work in progress. I want to stress that the entire
Board is committed to the primary objective of maximising total shareholder return, measured by
share price and dividend performance”.

For further information, please contact:
Paul Alston
Chief Financial Officer
palston@sanford.co.nz
021 918 033

---

Annual
Report
FY24

Contents
Highlights FY242
Chair's Report4
Managing Director Statement6
Sales and Marketing9
Operations
Mussels12
Salmon14
Wildcatch16
Sustainability18
Corporate Governance20
Statutory Information 27
GAAP to Non-GAAP Reconciliation 30
Five-year Financial Review31
Financials32
Financial Statements34
Notes to the Financial Statements42
Independent Auditor’s Report80
Directory83
Back to Basics
Sanford provides a valuable,
safe and healthy source of protein.
We must focus on productivity
throughout the business so that
we can sustainably offer value
to our customers.
1Annual Report FY24 |

FinancialOperational
Highlights FY24
Revenue
FY24:
$582.9m
FY23: $553.4m
Sales volume
FY24:
105.4k GWT
FY23: 92.0k GWT
Gross margin %
FY24:
21.6%
FY23: 19.6%
Catch
FY24:
108.7k GWT
FY23: 112.5k GWT
Adjusted EBIT
FY24:
$74.2m
FY23: $49.4m
Mussels sales volume
FY24:
31.1k GWT
FY23: 30.1k GWT
Wildcatch sales volume
FY24:
69.1k GWT
FY23: 57.1k GWT
Salmon sales volume
FY24:
4.8k GWT
FY23: 4.8k GWT
Net profit after tax (NPAT)
FY24:
$19.7m
FY23: $10.0m
Net debt
FY24:
$185.5m
FY23: $196.2m
Operating cash flow
FY24:
$73.0m
FY23: $41.1m
Earnings per share
FY24:
21.1cps
FY23: 10.7cps
Final dividend per share
FY24:
5.0cps
FY23: 6.0cps
GHG emissions scope 1 and 2 (tonnes CO
2
-e)
FY24:
54,700
FY23: 61,596
Waste generated (metric tonnes)
FY24:
3,656
FY23: 3,677
Workforce numbers
FY24:
1,294
FY23: 1,485
Total injury frequency rate
FY24:
10.5
FY23: 17.4
3Annual Report FY24 | 2| Sanford Limited

Chair’s Report
David Mair was appointed Managing Director of
Sanford on 01 May 2024, so we are in the seventh
month of his leadership. As you will know, David
was a director at the time of this appointment,
having joined the board on 07 November 2022.
He was therefore well known to his colleagues
as an internal appointee. We have preferred to
continue his board status as Managing Director.
The board has mandated David to review the
Group’s operations and strategy which is a
very important work in progress. It’s therefore
appropriate for David to deliver a separate
report from mine in this year’s Annual Report
and Annual Shareholder’s Meeting (ASM) on
Sanford’s strategy and operations.
Directors and the Board
Two directors (Tom McClurg and Jo Curin)
are standing for election and two directors
(Craig Ellison and myself) are standing for
re-election at this year’s ASM on 18 December
2024. You will hear more details on each
candidate at this meeting.
At present, the board comprises six directors;
three are independent, and three are not. The
board is very comfortable with its composition
and spread of directors at this time.
I consider that the mix of skills, together with the
level of cohesion and teamwork, is very positive
around the board table. I believe our directors
are business savvy, sector relevant and
shareholder orientated.
Climate Reporting Disclosures
The new disclosure regime is being phased
in over time. Reporting against the new climate
reporting standards is required from the financial
year beginning on or after 01 January 2023, being
01 October 2023 for Sanford. In the second phase
(being the accounting periods ending on or after
27 October 2024), elements of the disclosures
relating to greenhouse gas emissions will be
required to be independently audited.
It will take time to develop the capability to
produce high-quality climate-related disclosures,
and some disclosure requirements by their nature
may require an initial exemption. Therefore, not all
requirements in the Aotearoa New Zealand
Climate Standards are mandatory immediately.
This regime imposes significant compliance
obligations and costs on Sanford.
I want to stress that the entire board is committed
to the primary objective of maximising total
shareholder return measured in terms of share
price and dividend performance through time.
I do not accept that this goal imposes costs on
other company stakeholders. I believe that a rising
tide lifts all boats. In this context, I am very pleased
that Sanford reported the strongest ever adjusted
EBIT result this past year. The board is pleased
to declare a dividend of 5.0 cents per share.
Setting the dividend requires us to balance
several important factors, including the level
of debt and capital expenditure.
I am very grateful to David and his team for
achieving this outstanding result.
Customers, Our People and Shareholders
Thank you to all our customers for your business.
Without revenue from customers, Sanford can’t pay
wages or dividends. That said, we can’t serve
customers without our people, so a huge thank
you must go to our hard-working teams.
A big thank you to the senior leadership team and
my fellow directors. Your efforts are revealed in the
bottom-line result this past year.
Last but not least, I thank our shareholders for
investing in Sanford.
Sir Robert McLeod
Chair
5Annual Report FY24 | 4| Sanford Limited

It is a pleasure to report to
Sanford’s shareholders, as your
Managing Director (MD),
for the first time.
Managing
Director
Statement
Last year’s CEO report to shareholders
observed that the year brought both challenges
and opportunities but delivered an improved
financial performance.
In many senses, it was more of the same in FY24.
Challenges and opportunities arrived, and the
expectation of further improvement in our
financial performance was realised.
Sanford’s financial result represents a record
adjusted EBIT profit – one we have achieved
despite challenging global economic conditions.
The FY24 net profit after tax (NPAT) was $19.7
million, a 96% improvement on last year’s result.
Operating cash flow of $73.0 million is an increase
of $31.9 million (+78%) over the prior period,
an exceptionally good result.
This commodity position has implications for
the way in which we resource and scale our
business divisions. In the past, Sanford has
perhaps been guilty of seeking to go up the
value chain, spending capital to grow the size
and scale of its businesses without considering
the commodity position several of its products
inhabit. We have also pursued some ostensibly
exciting opportunities that have not proved to
be (and may never be) profitable.
Strategic Review
This approach needs review. I became MD of
Sanford on 01 May 2024, and have instituted a
‘bottom up’ review of the company, to develop a
new strategic view for each part of the business.
It is inevitable that a primary focus of this review
will be on costs. There is a need to review every
process and commit to continuous improvement
to mitigate further cost increases (and even
achieve savings). My objective is to simplify and
optimise standardised business processes and
tools, enabling more cost-effective outcomes,
access to more insightful information, a more
secure environment and ultimately better
outcomes for our customers and our people.
Prioritisation will be to ensure that we have a
structure which supports front-end activity with
our customers. We then need to make sure that
we have a back-end that is focused on reducing
product costs relentlessly. In that context, there is
also a need to carefully consider the size of the
corporate structure that we can afford.
Unglamorous but necessary work.
Whilst this cost reduction strategy will be
rigorously pursued in FY25, it is not expected
that the net benefits of these initiatives will play
through until FY26.
Work will continue on these initiatives during
FY25. I hope to report to shareholders on this
further, in our HY25 announcement.
A 5% increase in overall revenue, combined with
a team focus on selling through aged inventory
(orange roughy) and a concerted effort to
expedite cash collection, positively led to cash
flow improvements.
The immediate financial numbers are only part of
the story, however. As we previously observed in
last year’s integrated report, “Most of our business
remains commodity based, with a smaller total
contribution coming from value-added products,
albeit at higher margins. Although we target an
increased percentage of high-value products,
Sanford will remain predominantly a commodity
business for the foreseeable future.”
Review of Assets/Capital Allocation
Sanford has a significant tangible and intangible
asset base of over $1 billion, measured using
a mixture of book and fair value. Judicious
management of this asset base is an important
component of the company.
As part of the strategic review of each business,
a rigorous focus will be applied to determining
if sufficient returns are being achieved on these
assets. This review will encompass a consideration
of short- and medium-term use and profitability
attained from our assets. It will be necessary to
focus on aged assets and whether required
maintenance and upkeep is commensurate with
attainable and incremental profit achievement.
As is evident from the asset impairments identified
and recognised in FY24, we have commenced
this review; however, the business will look to
complete this exercise in the first half of FY25.
In addition, we own fishing quota and
licensed water space, all of which equally
needs to be considered from a productivity
and contribution perspective.
We will bring a similar rigour to future allocations
of capital. While a zero-based capital allocation
will be assumed, the reality is that we have a
considerable amount of capital expenditure
looming, the incurrence of which we will look to
manage while protecting our cash flow profile as
jealously as we can. Competing priorities will
require balancing.
7Annual Report FY24 | 6| Sanford Limited

Cash Flow Allocation
We are in the business of natural protein production,
with all the vagaries and uncertainties that that
implies. A reconsideration of the appropriate level
of debt for the business, and associated interest
costs, is merited.
As you can see from the graph above, interest cost
has been rising steadily in an environment of higher
interest rates. This has been exacerbated as our
favourable cover (interest rate swaps) roll-off.
The Board’s current intention is to manage debt
levels down to a level that does not impinge on
or influence business decisions in respect of
opportunities which make good commercial sense.
Sustainability
Addressing climate change considerations
continues to be a critical issue for all businesses.
As identified in the Chair’s report, a strong
emphasis has been placed on understanding
future climate impacts on Sanford’s business.
We are investing resource into completing the
complex work of investigating different climate
scenarios to understand the potential impacts on
our physical assets and manage transition risks
(which will vary from one jurisdiction to another).
This work will return and inform future investment
decisions and help with mandatory reporting
obligations going forward.
The sustainability report is now a separate
document and will be available by 31 January 2025.
People
Some of the initiatives I describe above have
involved, and will involve, change. Change can
be confronting, but I am firmly convinced this is
necessary for the future of Sanford.
I would like to record my appreciation to the
senior leadership team and all our people for their
contributions during FY24. Several of them go to
work every day in challenging (and sometimes
hostile) environments. I am genuinely grateful for
their efforts. We are nothing without their
contributions to Sanford.
Finally, I appreciate the support of the directors
and shareholders.
Sales and Marketing
The comparative sales revenue for the past year,
based on the breakdown of key species-split,
illustrates the strong dependence on aquaculture
species with 57% of sales revenue being derived
from mussels and salmon. In addition, 80% of
current sales revenue is attributable to just four
species: mussels, salmon, scampi and hoki.
Several other key species or product forms
(fishmeal) variously account for around 3-4% each
of the balance in sales revenue. The proportionate
split in sales revenue among species has changed
little over the past two years. The decline in the
other category from 5% in FY23 to 3% in FY24 is
indicative of exiting the inshore fresh fish business.
The comparative sales revenue split by
geographic customer location for the past two
years indicates the relative stability of market
sectors. The exception is the Australian market
where the proportion of sales has fallen from
10% to 6% consequent to the company exiting
the inshore fresh export business. North America
is the core market, with the predominant supply
being mussels and salmon as well as toothfish and
orange roughy. The growth in the North American
market share from 26% to 30% in the past year is
simply a reflection of the proportionate market
sector redistribution when the inshore fresh export
business ceased at the end of FY23. Chinese
market demand centres around scampi, salmon
and to a lesser extent mussels and squid.
The broad European market trade involves a
wide variety of species such as hoki, ling, squid,
mussels and southern blue whiting, among others.
The New Zealand domestic food service business
is solid at about 18% of market sector share,
servicing key accounts as well as a multitude of
other varying-sized business with a diverse range
of fresh and frozen products. The company also
operates a third-party agency sales programme
for catch taken by its contracted fishing partners.
These sales are made on a frozen in-store basis
and are subsequently exported to a wide variety
of markets. These sales are excluded from the
geographic market sector comparison.
FY24 saw buoyant and, in some cases, record pricing for several
key species in a wide range of international markets. In the
last half of the year, tightening economic conditions in both the
North American and Chinese markets saw a softening in market
sentiment. We anticipate pricing impacts in FY25.
Performance Summary
Sales Value by Geographic Region
FY24FY23
North
America30%26%
China
19%15%
New
Zealand18%19%
Europe
16%15%
Australia
6%10%
Other
11%15%
Sales Value by Key Species
FY24FY23
Mussels
31%29%
Salmon
26%24%
Scampi
13%14%
Hoki
10%12%
Other
20%21%
0
50
100
150
200
250
0.0
2.0
4.0
6.0
8.0
10.0
12.0
18.0
14.0
16.0
Net debt ($m)
Interest ($m)
HY19
FY19
HY20
FY20
HY21
FY21
HY22
FY22
HY23
FY23
HY24
FY24
Sanford Net Debt and Interest
Net debt
Interest (including hedging)
David Mair
Managing Director
9Annual Report FY24 | 8| Sanford Limited

Salmon – Gilled and Gutted
Fresh salmon export prices are firm relative to
recent years. Export market channels were
simplified during the year, reducing the cost of
sales. Pricing improved throughout the year, with
demand remaining steady and is forecast to remain
so. Domestic market sales account for about a third
of whole-salmon production and most of the fillet
production. Domestic prices are regularly
reviewed with key accounts and were increased
during the past year and for the year ahead.
Sales Price
Orange Roughy Fillets
Orange roughy fillet prices have been steadily
declining for the past two years. The US retail
sentiment is that orange roughy was over-priced
in the COVID era and that a market correction was
inevitable. Orange roughy fillets were among the
highest-priced offerings at US retail fish counters
and as prices rose consumer demand waned.
Prices then declined rapidly as orange roughy
fell out of retail customer favour. It then became a
challenge to sell orange roughy to an increasingly
sluggish US economy. All New Zealand producers
have had to make substantial price concessions
to move any inventory. In this climate it is difficult
to forecast the likelihood of a sustained price
improvement anytime soon.
Squid – Whole
There continues to be a shortage of squid in
international markets and this season’s New Zealand
arrow squid catch remained mediocre. As a result,
whole-squid prices reached record highs at the
outset of the season and stayed firm throughout
the year in both European and Asian markets.
Unless catches markedly increase during the
coming season, export prices are likely to
remain firm.
Scampi
Scampi pricing increased to a historical level
during the year and remained steady until the last
quarter when demand from the Chinese market
began softening. Demand remains reasonably
steady, though we anticipate prices to ease further
in the coming year.
Hoki
Hoki fillet prices have remained buoyant
throughout the year and are expected to remain
so for FY25. There is some downward pressure on
premium hoki fillet block pricing because of the
softness in Northern Hemisphere pollack pricing.
However, despite this competition, hoki block
pricing has been relatively stable, and reasonable
volume contracts are in place with established
customers for the year ahead.
-
3.00
2.50
2.00
1.50
1.00
0.50
FY20FY21FY22FY23FY24FY19
2.00
1.80
1.60
1.40
1.20
1.00
0.80
0.60
0.40
0.20
FY20FY21FY22FY23FY24FY19
0.20
-
0.40
0.60
0.80
1.00
1.20
1.40
1.60
FY20FY21FY22FY23FY24FY19
0.20
-
0.40
0.60
0.80
1.00
1.20
1.40
1.60
FY20FY21FY22FY23FY24FY19
0.20
0.40
0.60
0.80
1.00
1.20
-
1.40
FY20FY21FY22FY23FY24FY19
2.00
1.80
1.60
1.40
1.20
1.00
0.80
0.60
0.40
0.20
FY20FY21FY22FY23FY24FY19
Sales Price
Sales Price
Sales Price
Sales Price
Sales Price
Frozen Half-shell Mussels
Frozen half-shell mussel pricing was increased
early in the year to reflect the tightness in available
supply relative to demand. Prices in all markets
are now at historical highs and have held firm
throughout the year. Supply is forecast to remain
tight into the coming year and pricing is expected
to remain firm.
Sales Price
0.20
-
0.40
0.60
0.80
1.00
1.20
1.40
1.60
FY20FY21FY22FY23FY24FY19
The graphs shown below reflect trends in
prices over the past year compared with the
previous four years; all prices indexed to one
on 30 September 2019.
11Annual Report FY24 | 10| Sanford Limited

• Low volumes out of the
Coromandel are expected in
FY25 from poor spat uptake
in FY24.
• Supply is forecast to remain
tight into the coming year
and pricing is expected to
remain firm.
• Overhead cost in the
North Island is expected to
reduce from processing
and farming restructures
completed in FY24.
Outlook
Sanford farms mussels in both the North
and South Islands. The main farming areas
are the Coromandel in the North and spread
widely in the South, from the Marlborough
region through to Stewart Island.
We farm, process, market and sell mussel products, predominantly
in frozen half-shell format. Strong demand for half-shell mussels
continues internationally but it has been a challenging growing year,
particularly in the North Island, where spat mortalities have been
higher than normal.
Mussels
• The operational team improved structure, reducing overhead
costs in line with operating size. Performance was also supported
by stable market pricing.
• Demand in the half-shell mussel market is strong, with solid prices
reflecting the current shortage of supply from New Zealand.
• The division and the wider industry have faced reduced spat
availability from Ninety Mile Beach, primarily due to adverse
weather conditions. The quota year for spat (GLM9) changed
in FY24 and with good catches returning, spat landing volumes
and quality are expected to improve next year.
• Spat from our mussel hatchery in Nelson, SPATnz, provided an
important lifeline for our South Island mussel farms, supporting
sufficient volumes for efficient processing at Havelock.
• The SPATnz minor expansion addressed larvae settlement
constraints, resulting in more spat deployed to farms this year.
Selective breeding continues to offer a distinct advantage.
• Coromandel farms yielded below-average crop during the year,
and are experiencing significant fluctuations in volume and timing,
due to a range of factors including seed mortality. The variability
and shortage directly impacted Sanford’s joint-venture business
NIML, and in July the Tauranga factory was closed with the loss
of 154 jobs. A new toll processing arrangement with Whakato
-
hea
Mussels (O
-
po
-
tiki) Ltd offers greater flexibility in managing
Coromandel’s fluctuating supply.
• In September 2024 the Resource Management (Extended
Duration of Coastal Permits for Marine Farms) Amendment Bill
was made law. This Act automatically renews the existing coastal
permits for New Zealand’s 1,200 marine farms by 20 years, but not
beyond 2050. This legislation provides certainty for farmers and
reduces future consent renewal costs.
• Labour constraints at Havelock are largely resolved, and current
supply volumes match labour and throughput capacity.
The mussel division made progress in
FY24 with improvements in operational
performance, delivering a $13.9m EBIT
contribution.
Year in Review
Sales volume (GWT)
31.1k tonnes
FY23: 30.1k tonnes
Revenue
$134.1m
FY23: $122.9m
Profit contribution
$13.9m
FY23: $6.9m
13Annual Report FY24 | | Sanford Limited12

• Through a challenging El Niño summer, the continued
investment in aeration and oxygenation technology, to manage
risk and smooth environmental influence, has helped deliver
the required harvest volumes. Fish quality has been good,
with a 6.0% uplift in size compared to the previous year.
• Feed cost remained at challenging highs for the duration
of FY24 with some softening during Q4 and an expectation
this will continue through to early FY25. Feed cost impact has
been partially mitigated through a 6% better feed conversion-
to-growth ratio relative to the previous year, which was from
improved efficiency within the farming operation.
• Sanford commissioned a new feed barge, San Big Glory Bay,
during Q4 to replace a leased vessel. The new barge has
been fitted with a fuel-efficient hybrid battery system and
will support risk management by keeping farms split across
two leases within Big Glory Bay.
• Two new fish pens were installed in late Q4, in advance of
an increase in harvest volume, to be realised in FY25.
• Green-weight harvest is on par with the previous year;
however, a significant improvement in by-product utilisation has
supported packed weight yield improvement. Mortality waste
is 100% sustainably managed through a zero-landfill objective.
• The salmon division's focus remains on attracting and
retaining the right level of expertise, supported by a positive
rostering change, which was embedded during the year.
This programme has produced improving efficiency metrics.
• Productivity and efficiency
will underpin a continued
focus in both the farming
and processing operations.
• La Niña conditions are
expected over the critical
summer period that will
result in more settled
weather patterns and less
mortality risk.
• A new service vessel will
be built during FY25 to
replace the 46-year-old
San Hauraki and provide
the future reliability
and capacity required.
The vessel is anticipated
to be commissioned midway
through FY26.
• The focus for FY25 is on
maximising volume from
Big Glory Bay and efficiency
improvements from the Bluff
processing factory.
Outlook
Our salmon division has two farms at
Big Glory Bay in Stewart Island and a
processing facility in Bluff employing
over 151 people.
A positive performance for the
salmon business was achieved in
FY24 with increased profitability
to $40.9 million (+27.8% on FY23).
Pricing was maintained throughout
the year and demand for fresh
king salmon remains at good levels.
Salmon
A strong year for salmon with growth
in both volume and performance.
Year in Review
Sales volume (GWT)
4.8 k tonnes
FY23: 4.8k tonnes
Revenue
$107.0m
FY23: $93.6m
Profit contribution
$40.9m
FY23: $32.0m
15Annual Report FY24 | | Sanford Limited14

This financial year has seen some
changes to our business operations with
the closure of the Auckland processing
site and sale of our North Island inshore
assets and leasing of ACE to Moana at
the beginning of the year.
Year in Review
• Sanford’s 10-year ACE supply agreement with Moana guarantees
annual income and improves our wildcatch EBIT. Sanford continues
to control the seafood auction and fishmonger operation at
Wynyard Quarter.
• Our primary operational focus is the deepwater fleet and Timaru
processing factory. The San Waitaki, San Enterprise, and San
Aramand underwent five-year renewal surveys, requiring three
months in dry dock for certification and maintenance upgrades.
• During this period, San Waitaki and San Enterprise upgraded
propulsion systems and engines to improve energy efficiency and
reduce carbon emissions, also enhancing crew accommodations.
The San Enterprise received funding from the Energy Efficiency and
Conservation Authority (EECA) for this initiative. The San Granit had
an extended in-water lay-up to replace outdated control systems.
These projects reduced our catching capacity by 2,718 metric
tonnes (mt) to 28,540mt this year.
• The deepwater long line Antarctic toothfish season in the Ross Sea
proved to be challenging this year with weather and ice conditions
extending fishing to mid-February. With more vessels licensed it
was very competitive and catch was down 163mt on last year.
After returning from the Ross Sea the long line fleet has had a
better ling season than last year.
• The Ocean and Fisheries Ministry reduced the Total Allowable
Commercial Catch (TACC) for orange roughy in FMA ORH3B
(South East, Chatham Rise area) under advice from the industry
and the science community as part of the ongoing management of
stocks. Despite initial unfavourable reactions in North America, the
market recovered in Q4, albeit at lower prices. We adjusted catch
plans to prioritise whole orange roughy for the Asian market and
shifted reprocessing at Timaru to other species.
• Squid catch improved over the last year but remained below FY21
and FY22 levels; however, prices were better due to low supply.
The hoki season performed well, with strong pricing and recovery
of global hospitality markets. Hoki catch was lower due to planned
vessel surveys.
• Scampi operations faced challenges due to an ageing fleet and
poor weather in the Sub-Antarctic. The converted inshore vessel
San Tongariro suffered a catastrophic engine failure in January 2024
and was unavailable for the rest of the year; repairs will be complete
by December 2024. With the new scampi vessel San Koura Rangi
arriving in May 2025, the fleet will strengthen. Scampi demand
and pricing remain steady.
• Sanford’s fishing partners – Maruha, Dong Won New Zealand,
and Jaico – operate New Zealand-flagged vessels, catching
39,221mt this year (up from 33,697mt in FY23) mainly due to
increased squid, hoki and jack mackerel catch. Partnering allows
us to generate consistent EBIT from the ACE beyond our fleet’s
capacity without capital investment.
• Steady demand is expected
for FY25 with downward price
pressure on many species,
particularly orange roughy.
• There are likely to be
increased operational costs,
including wages and salaries,
fuel, freight, and repairs and
maintenance.
• The commissioning of
Sanford’s new purpose-built
scampi vessel is expected in
the third quarter of FY25.
• Increased snapper quota
available for the inshore
division following the SNA8
TACC decision will positively
increase the ACE income.
Outlook
Wildcatch is at the core of Sanford’s business,
predominantly generating revenue streams
from commodity products in export markets.
Following the sale of the North Island inshore assets and leasing of ACE
to Moana, the hub of operation is now Timaru where most of our fleet
are based. The business benefits from the diverse fishing vessels we
operate and our fishing partner contracts. This ensures we utilise our
fishing quota and have access to a broad portfolio of species to
minimise our commercial exposure.
We catch and process hoki, squid, scampi, toothfish, orange roughy,
ling, smooth dory, and many other species. Specific species are more
abundant at different times of year, so we align our vessel catch plans
and land-based processing to maximise sustainable harvest.
In addition to catching and processing fish, income is generated from
the sale of annual catch entitlement (ACE). The quantity that can be
caught each year is defined by New Zealand’s Quota Management
System. Quota owners can catch, or trade ACE. Our aim is to fully
utilise Sanford’s ACE in a sustainable way to achieve the best
commercial outcome.
Wildcatch
Sales volume (GWT)
69.1k tonnes
FY23: 57.1k tonnes
Revenue
$318.9m
FY23: $299.8m
Profit contribution
$55.7m
FY23: $48.8m
17Annual Report FY24 | | Sanford Limited16

Sustainability
Sustainability can be simple and increasingly
complex at the same time. We know this from the
most fundamental foundation upon which Sanford’s
business exists – the ability of fisheries and marine
natural resources to sustain seafood harvests in an
ongoing manner.
Harvests must be managed to ensure future
viability, made increasingly complex by information
and data demands to support management
decisions. Indeed, this has been the case in FY24
when the New Zealand deepwater wildcatch
industry self-suspended Marine Stewardship
Council certification for the East and South
Chatham Rise orange roughy fishery. This was not
due to primary stock-level concerns, but because
the age-stage data used for stock assessments
had challenges when fitting it to the models used
for those fishery assessments. In this case, a
precautionary approach was justified, which the
industry advocated, and this meant a reduction
in catch limits reflective of the uncertainty in the
underlying data. That is fisheries management
in action.
Sanford’s deep belief and commitment to
sustainable fisheries and data-driven, fact-based
management led the business to support this
process throughout.
A fresh approach to Sanford
sustainability reporting
Sanford has been at the forefront of sustainability
reporting for many years. The company's first
'triple bottom line' sustainability report was
issued in 2000, and evolved since then through
sustainable development reports, integrated
reports, the application of G4 Sustainability
Frameworks and subsequently the Global
Reporting Initiative (GRI) standards for the
structured reporting of sustainability topics.
During recent times, we have experienced an
ever-increasing expectation from standards
setters and interested stakeholders in terms of
the breadth and depth of data disclosure, coupled
with the more recent mandatory climate-related
disclosures which are applicable for Sanford.
The cumulative and increasing demand for
disclosures creates resource pressure to collect,
collate, check, track and disclose the growing
quantum of data.
Sanford has therefore reviewed its approach to
sustainability reporting to right-size and balance
resource allocation. The result of this is the next
evolution of our sustainability reporting for FY24
Sanford’s commitment to sustainable seafood and to a
sustainable future for our business, our stakeholders,
our people, our customers and our suppliers is unwavering.
– a separation of sustainability reporting from
the financial annual report, with the sustainability
report, inclusive of Climate-Related Disclosure,
to be issued post the FY24 financial reporting.
In addition, a more selective and targeted
approach to the application of voluntary
sustainability reporting standards has been
undertaken. Sanford’s reporting will be more
focused on the key aspects that are of relevance
to our business.
Sanford's climate-related disclosure
Sanford is a climate reporting entity for the
purposes of the Financial Markets Conduct Act
2013. We are currently preparing our first
mandatory Climate-Related Disclosure (CRD)
for FY24 under the Aotearoa New Zealand
Climate Standards and Part 7A of the Financial
Markets Conduct Act 2013. Sanford’s CRD
will be made available at sanford.co.nz/
investors/reports-1/company-reports by no
later than the filing date of 31 January 2025.
Sustainability project progress during 2024
During 2024, Sanford’s team has worked to
update the environmental and sustainability data
systems to support a more efficient tracking of
carbon emissions, water use, energy use, as well
as waste and recycling volumes across our sites
and vessels.
Within the operational areas of the business there
has been a strong focus on sustainability project
delivery throughout FY24, including the following:
• Receiving and commissioning of a hybrid feed
barge for our Big Glory Bay salmon farm
• Fuel efficiency upgrades for the fishing vessel
San Enterprise
• Climate adaptation planning and implementation
for the seafood sector.
Salmon farms represent challenging sites to
deploy renewable and low-carbon energy
systems due to a combination of inclement climate
conditions, remote geographic locations without
nearby access to grid electricity, and high energy
demands from operations. The hybrid system,
with its battery-based energy storage, ensures
that on-barge diesel generators can run less
frequently overall and operate in a more
energy-efficient mode. After 12 months of
operation, these systems will be reviewed by
Sanford's engineers for fuel savings, reliability,
maintenance and general performance to provide
key learnings and inform future energy system
decisions at this key operational site.
The San Enterprise, one of Sanford’s largest
deepwater fleet vessels, entered dry dock in
August 2024 for significant maintenance work
which included some substantial fuel and
emissions efficiency upgrades. Those upgrades
will deliver dual benefits of reducing carbon
emissions and lower fuel costs during operation.
The upgrades primarily include a new propeller
and thrust nozzle design – alone forecast to
deliver circa 7% in fuel savings and electrical
system upgrades to provide for shore power
connections (to run the ship's systems on mains
grid electricity rather than diesel generator
when berthed at dock). Other associated
fuel-efficiency upgrades include replacing the
primary fixed-speed drive refrigeration
compressor with a variable-speed drive unit and
economiser, which will result in a more than 30%
reduction in energy demand for the on-board
refrigeration unit.
Climate impacts on the seafood sector can be
complex requiring adaptation planning across
many sector participants – from quota and asset
holders, to regulators, science providers, and the
NGO community. Successful adaptation requires
all participants to adjust approaches, understand
inflection points and drivers, and have a clear
path ahead to ensure the sector is well placed
to preserve resources and successfully deliver
seafood to market. During FY24, significant
progress has been made, in conjunction with the
Aotearoa Circle, where Sanford has contributed,
along with others, to deliver a Seafood Sector
Climate Adaptation Strategy, which is now in the
implementation phase. More details on this
exciting initiative are available at
theaotearoacircle.nz/sasimplementation
19Annual Report FY24 | 18| Sanford Limited

Corporate Governance
This section provides an overview of Sanford’s Corporate
Governance Framework, introduces our board, and details
pertinent information on shareholdings, remuneration, indemnity
and insurance.
For further details on the company's governance structure, policies and practices, and the extent to which
Sanford has followed the recommendations in the NZX Corporate Governance Code dated 01 April 2023
(NZX Code) during FY24, please refer to the Sanford Corporate Governance Statement dated 14 November
2024, available at: sanford.co.nz/investors/governance/corporate-governance-statement.
The board currently comprises six directors: Sir Robert (Rob) McLeod, Managing Director David Mair,
Thomas (Tom) McClurg, Joanne (Jo) Curin, Craig Ellison and William (John) Strowger.
During the year ended 30 September 2024, John Strowger was elected as a director at the 2023
Annual Shareholder's Meeting on 18 December 2023 and David Mair became Managing Director
on 01 May 2024. Tom McClurg was appointed as a director on 19 February 2024 and Jo Curin
was appointed as a director on 22 August 2024. Abigail (Abby) Foote resigned as a director
on 09 November 2023 and Fiona Mackenzie did not seek re-election at the 2023 Annual Shareholder's
Meeting, and accordingly retired as a director at the conclusion of that meeting.
As a consequence of the above changes, Recommendation 2.8 of the NZX Code (that a majority
of the board should be independent directors) was not followed for periods during FY24, including
as at 30 September 2024.
The board has sought to bring its composition closer in line with Recommendation 2.8 during FY24,
with the appointment of Tom McClurg and Jo Curin as independent directors. However, the composition
of Sanford’s board is ultimately determined by its shareholders, with the appointment of each of the
company’s directors being approved by a shareholder vote at Sanford’s annual meetings.
The board is mindful of the importance of reflecting the best interests of its shareholders generally
in decision-making. Accordingly, the board has adopted a robust Conflicts of Interest Policy in order
to regulate and manage the risk of conflicts. The board has also approved the composition of its
committees, with a majority of each comprising independent directors.
Under the NZX Listing Rules, a director must not hold office (without re-election) past the third annual
meeting following that director’s appointment or three years, whichever is longer. Accordingly, Sir Rob
McLeod and Craig Ellison will retire from office at the 2024 Annual Shareholder's Meeting (having held
office as directors of the company since 01 January 2016 and 20 December 2021 respectively). Being
eligible, both Sir Rob McLeod and Craig Ellison have offered themselves for re-election at the 2024
Annual Shareholder's Meeting.
Further, under the NZX Listing Rules, any director appointed by the board during the year must
retire from office at the next annual meeting but is eligible for election at that meeting. Accordingly,
Tom McClurg and Jo Curin, being directors who were appointed by the board in FY24, will retire from
office at the 2024 Annual Shareholder's Meeting. Being eligible, both Tom McClurg and Jo Curin have
offered themselves for election at the 2024 Annual Shareholder's Meeting.
For more information about each director, see overleaf or visit:
sanford.co.nz/investors/governance/board-of-directors.
Independence
Director independence is assessed in accordance with the NZX Listing Rules and with regard to the
factors described in Table 2.4 of the NZX Corporate Governance Code.
As at 30 September 2024, the board considered that Sir Rob McLeod (Chair of the board), Tom McClurg
(Chair of the Audit, Finance and Risk Committee) and Jo Curin are independent directors. They are
non-executive directors who do not have any interests, positions, associations or relationships which
might interfere, or might be seen to interfere, with their ability to bring independent judgement to the
issues before the board.
David Mair is not independent, as he is an executive director. John Strowger is not considered to be
independent, as he is associated with a substantial shareholder of the company, Tasman Equity Holdings
Limited. Craig Ellison is not considered to be independent. From August 2023 until the end of April 2024,
Mr Ellison was the Acting CEO of Sanford, and is associated with a substantial shareholder of the company.
Directors are required to notify the company of any interests they have that could impact an assessment
of their independence or their ability to act in the best interests of the company. Sanford has processes in
place to manage any conflicts of interest with directors.
Executive Team
For information about our executive team, please visit:
sanford.co.nz/about-sanford/executive-team.
Governance Framework
Sanford’s board and management are committed to achieving high standards of corporate governance.
The company considers that the governance practices we have adopted follow these principles and
policies for the year ended 30 September 2024.
The board provides effective leadership to ensure the long-term success of the company and therefore
build shareholder value, and is responsible for the strategic direction and control of the company.
The board exercises this control through a governance framework, which includes detailed reporting
to the board and its committees, effective delegation, risk management and a system of assurances
regarding financial reporting and internal controls.
Board of Directors
Sanford’s directors bring a diverse wealth of experience, acting on behalf of our shareholders and
other stakeholders.
Directors are chosen for their corporate leadership skills, professional backgrounds, experience and
expertise. The right blend of skills and experience, combined with the diversity of director perspectives,
is crucial to ensuring the attainment of long-term value for Sanford’s shareholders.
Joint Subsidiaries/Businesses, Arrangements, Operations and Functions
Executive Team (Collectively and Individually)
Operational
Integration
Business &
Functional
Integration
Sustainability &
Environment
Food Safety
& Quality
Accounting
& Tax
Practices
Sales &
Marketing
Supply
Chain
Safety, Health &
Wellbeing
People
& Culture
FINANCIAL, NON-FINANCIAL ASSURANCE
REPORTING AND DISCLOSURE

Creating Value Through Sound Corporate Governance
Shareholders
Board of Directors
Managing Director
Innovation
Board Committees
Audit, Finance
and Risk Committee 
People,
Health and Safety
Committee
Board Nomination
Committee
GOVERNANCE OF RISK
INFORMATION TECHNOLOGY
COMPLIANCE
INTERNAL
AND EXTERNAL AUDIT
21Annual Report FY24 | 20| Sanford Limited

Sir Robert McLeod
Chair, Independent
Non-Executive Director
David Mair
Managing Director
Our Board
As at 30 September 2024
John Strowger
Non-Executive Director
Tom McClurg
Independent Non-Executive Director
Craig Ellison
Non-Executive Director
Joanne Curin
Independent Non-Executive Director
Appointed 2016,
appointed Chair in 2019
Rob has had an extensive
professional and governance
career, both within the
accounting profession and
various public and private
companies. He is a past
Chair of Aotearoa Fisheries
Limited (Moana) and Sealord
Group Limited and was a
Commissioner of the Waitangi
Fisheries Commission. Rob has
chaired and been a member
of a number of Government
Task Forces and is also a past
Chair of the New Zealand
Business Roundtable.
Committee Responsibilities:
Chair of the board and
Nomination Committee;
member of Audit, Finance and
Risk Committee and People,
Health and Safety Committee
Appointed 2022
David has significant corporate
experience. He has been
Managing Director of
NZX-listed Skellerup Holdings
Limited since 2011, and a
director since 2006. David was
also involved in a2 Milk from
2008 until the company listed
on the ASX in 2015.
He was recently judged Deloitte
Top 200 CEO of the Year for
2021 and given the prestigious
Johnson Partners Leadership
Award from the Institute of
Finance Professionals (INFINZ),
which speaks to the quality of
his leadership and focus.
David is also currently
a director of Forté Funds
Management Limited.
Committee Responsibilities:
Member of People, Health
and Safety Committee and
Nomination Committee until
01 May 2024
Appointed 2024
Tom is Nga
-
ti Mutunga o
Wharekauri and has over
30 years of experience in
natural resource management
and policy roles within
New Zealand’s primary sector.
He has held senior executive
roles with government, Te Ohu
Kai Moana, Aotearoa Fisheries
Limited (Moana NZ), Ernst &
Young, and Landcorp Farming
Limited. Tom serves as a
director for several entities,
including Toroa Strategy
Limited, Nga
-
ti Mutunga o
Wharekauri Asset Holding
Company, and Port Nicholson
Fisheries. He is also Chair of
Fishserve. In addition, Tom has
been engaged by the World
Bank, NZAid, and PNA, among
other organisations to provide
fisheries management advice.
Committee Responsibilities:
Chair of the Audit, Finance and
Risk Committee; member of
the People, Health and Safety
Committee and the Nomination
Committee
Appointed 2024
Joanne has over 25 years of
governance experience in
public and private structures
including large-scale global
companies. She has also held
various senior executive
positions, including as CFO of
FTSE 100, ASX 50 and FTSE 250
businesses. Joanne’s sector
experience includes shipping,
logistics, manufacturing,
engineering, construction,
critical infrastructure, property
development, retail, technology
and healthcare.
She is currently Deputy Chair
and Audit Committee Chair
for Geoquip Marine, a global
offshore geotechnical
engineering company.
Appointed 2023
John is a leading commercial
lawyer with an extensive career.
He was a partner at Chapman
Tripp from 1993 to 2022
and remains a consultant there.
John specialises in corporate,
contract and securities law,
with expertise in mergers and
acquisitions. He was named
NZ Deal Maker of the Year at
the Australasian Law Awards in
2019, 2017 and 2015. He is also
recognised by IFLR1000 as a
“Market Leader” in mergers
and acquisitions as well as
equity capital markets. John
chairs Skellerup Holdings
Limited and serves on the
boards and advisory committees
of various private sector
businesses, including Qestral
Corporation Limited and
Caspex Corporation Limited.
Committee Responsibilities:
Chair of the People, Health
and Safety Committee;
member of the Audit, Finance
and Risk Committee
Appointed 2021
Craig has had a long involvement
in the fisheries and seafood
sector. He was the past Chief
Executive of Nga
-
i Tahu
Holdings, Chair of Nga
-
i Tahu
Seafood, Poutama Trust,
Moana Pacific, Prepared Foods,
the NZ Seafood Standards
Council, as well as serving
on the executive of the Fishing
Industry Association Board,
and numerous stakeholder
organisations. Craig has
served on a number of other
trade organisations and task
forces in the sector, and was
a Commissioner with the
Treaty of Waitangi Fisheries
Commission (Te Ohu Kaimoana)
as it worked through the
Allocation model and giving
effect to the Fisheries Settlement.
After the agreement on
allocation methodology
Craig served on the boards
of Aotearoa Fisheries Limited
(Moana NZ) and Sealord
Group Limited.
Committee Responsibilities:
Member of Nomination
Committee
23Annual Report FY24 | 22| Sanford Limited

Remuneration
Director Remuneration
Name of DirectorBoard Fees
Audit, Finance and
Risk Committee
People, Health and
Safety Committee
Total
Remuneration
Sir Robert McLeod (Chair)
(Chair) 170,000 10,000 8,000 188,000
David Mair
52,500 5,833 4,667 63,000
Tom McClurg
1
54,714 (Chair) 11,009 4,864 70,587
Joanne Curin
2
9,919 –– 9,919
Craig Ellison
37,500 –– 37,500
John Strowger
3
70,521 7,836 (Chair) 12,537 90,893
Abigail (Abbey) Foote
4
9,863 1,096 1,753 12,712
Fiona Mackenzie
5
22,500 5,000– 27,500
Total
427,517 40,774 31,821 500,111
1. Appointed 19 February 2024
2. Appointed 22 August 2024
3. Appointed 18 December 2023
4. Resigned 09 November 2023
5. Resigned 18 December 2023
Managing Director/CEO Remuneration
The Managing Director/CEO’s remuneration (hereafter Managing Director) consists of fixed remuneration
and variable remuneration in the form of a short-term incentive (STI) plan and a long-term incentive
(LTI) plan. This is reviewed annually by the People, Health and Safety Committee and the board after
reviewing the company’s performance, the Managing Director’s individual performance and advice
from external remuneration specialists.
Fixed Remuneration
David Mair was appointed Managing Director on 01 May 2024 and was paid $375,000 for the period
ending 30 September 2024. David is a member of the board but does not receive director’s fees due to
his Managing Director role.
Between 01 October 2023 and 30 April 2024 Craig Ellison was the Acting CEO and was paid $636,346
for that period. Craig was also a member of the board during his Acting CEO tenure, but did not receive
director’s fees during this period.
Variable Remuneration
Short-Term Incentive Plan
The aim of the STI plan is to reward the Managing Director for achieving strategic objectives, which
will result in strong financial returns for our shareholders. Participation in the plan is by annual invitation
at the discretion of the company at which time financial targets and key performance indicators
are established.
The Acting CEO was not eligible for an award under the company’s STI plan.
The Managing Director is eligible for an STI award in relation to the year ended 30 September 2024
set by comparing achieved FY24 adjusted EBIT against the budget adjusted EBIT, pro-rated from
commencement date and 5% of any surplus calculation. An amount of $150,000 is payable in respect
of the plan for FY24.
Long-Term Incentive Plan
In September 2021 the company announced a new LTI plan as part of its retention and incentive
arrangements for the former CEO. The LTI plan also has flexibility to be extended to other employees
in the future, to align the interests of employees with the interests of Sanford’s shareholders and to
encourage share ownership. The board retains absolute discretion as to whether any future offers
will be made and to review the terms of the LTI plan.
Vesting of the awards is subject to certain conditions, none of which are applicable to FY24 as the
Acting CEO was not eligible for the LTI and no grant under the LTI plan has been made to the
Managing Director in FY24.
Base
Salary
$
Other
Short-term
Benefits
$
Remuneration
$
Employer
Super
$STI*LT I
Total
Remuneration
$
Craig Ellison01-Oct-2430-Apr-24566,34670,000636,346
–––
636,346
David Mair01-May-2430-Sep-24375,000–375,000
–150,000–
525,000
941,34670,0001,011,346
–150,000–
1,161,346
* STI accrued in FY24 is disclosed.
Annual Total Compensation Ratio
The annual total compensation ratio represents the number of times greater the highest-paid individual’s
remuneration is to the remuneration of an employee paid at the median of all Sanford employees
(excluding the highest-paid individual). For the purposes of determining the median paid to all Sanford
employees, all permanent full-time and fixed-term employees are included, with part-time employees
excluded. Employee median remuneration includes basic wage and salary payments, employer
superannuation and KiwiSaver payments, short-term incentives, overtime and leave buyouts.
Highest-paid remuneration includes basic salary payments, employer superannuation and short-term
incentive payments.
At 30 September 2024, the Managing Director and Acting CEO’s remuneration combined for FY24,
as shown above, was 13.38 times (FY23: 13.58 times) that of the median employee at $86,812 per annum
(FY23: $82,017).
Employee Remuneration
The table below shows the number of employees and former employees, who are not also directors,
who received remuneration and other benefits in excess of $100,000 during the year ended 30 September
2024. The table does not include amounts paid after 30 September 2024 that relate to the year ended
30 September 2024.
Remuneration
Range $000
Number of
Employees
Remuneration
Range $000
Number of
Employees
100 – 110
63
250 – 260
1
110 – 120
49
260 – 270
2
120 – 130
27
270 – 280
1
130 – 140
29
280 – 290
1
140 – 150
25
290 – 300
1
150 – 160
21
300 – 310
2
160 – 170
14
320 – 330
3
170 – 180
6
340 – 350
3
180 – 190
8
370 – 380
1
190 – 200
6
390 – 400
1
200 – 210
4
410 – 420
1
210 – 220
3
510 – 520
1
220 – 230
4
570 – 580
1
230 – 240
1
25Annual Report FY24 | 24| Sanford Limited

Gender Diversity
The gender composition of Sanford’s directors and ‘officers’ (as defined by the NZX Listing Rules) as at
30 September 2024 and as of 30 September 2023 is set out in the table below.
FY24 FemaleFY24 MaleFY23 Female FY23 Male
Directors15
23
Officers16
27*
* Four of these officers held their roles on an ‘acting’ basis.
There were no directors or officers who self-identified as gender diverse in FY23 or FY24.
Our approach to diversity is outlined in our Diversity, Equity and Inclusion Policy, which is available on
the company website. The policy sets out behavioural and process expectations and standards to deliver
practices which increase diversity and reduce bias.
Measurable objectives are set by the board to track how Sanford is progressing towards our goals under
the policy. The board believes that initiatives undertaken by management during the year upheld the
company’s commitment to diversity and inclusion. Sanford has applied all terms of employment fairly
and equitably and in accordance with our frameworks. Work continues on progress towards achieving
our other objectives; in particular, the board acknowledges that membership of the board and executive
team did not achieve the objective of having at least 30% of members self-identifying as female.
Director Information
Interests Register
Sanford maintains an interests register in which relevant interests and matters involving the directors
are recorded. The following are particulars of general interests in the company’s interests register as at
30 September 2024 and of those added during the year. There were no specific disclosures of interests
in transactions entered into by the company in FY24.
DirectorInterest
R McLeodChair, Nāti Growth Limited. Director, Nāti Properties Limited, Porou Miere Limited, Ngāti Porou Seafoods Limited,
Pakihiroa Farms Limited, Ngāti Porou Fisheries Limited, Ngāti Porou Manuka Limited, Ngāti Porou Berries Limited,
Point 76 Limited, Point Seventy Limited, Point Guard Limited, MSJS NZ Limited, AZSTA NZ Limited, VCFA NZ Limited,
China Construction Bank (New Zealand) Limited, Singita Holdings Limited, Singita Investments Limited, Singita
Properties Limited, Port of Tauranga Limited.
J CurinDirector, Geoquip Marine Holding AG.
C EllisonChair, FENRIS Limited; Director, Lesvos Abalone Limited; Raniera Fishing Pty Ltd.
D MairManaging Director, Sanford Limited; Director, Skellerup Holdings Limited, Forté Funds Management Limited,
San Won Limited; Chair, ADNZ Management Limited; President, Judo New Zealand.
T McClurgChair, Commercial Fisheries Services Limited. Director and shareholder, Toroa Strategy Limited.
Director, Port Nicholson Facilities General Partner Limited (general partner of Port Nicholson
Facilities LP), Koura Inc General Partner Limited (general partner of Port Nicholson Fisheries LP),
Ngāti Mutunga o Wharekauri Asset Holding Company Limited, Waitaha Asset General Partner Limited, Waitaha
Management Limited, Puainuku Pastures General Partner Limited (general partner of Puainuku Pastures LP),
Puainuku Vines General Partner Limited (general partner of Puainuku Vines LP), Te Tamoremorenui Limited,
Ngā Kai Tautoko Limited (general partner of Te Pou Herenga Pakihi LP), Maruehi Fisheries Limited.
J StrowgerChair, Skellerup Holdings Limited. Associated with substantial product holder group Tasman Equity Holdings Limited,
Arden Capital Limited and Past Limited Partnership. Consultant, Chapman Tripp.
Indemnification and Insurance
In accordance with section 162 of the Companies Act 1993 and the constitution of the company, Sanford
has given indemnities to, and has effected insurance for, directors and executives of the company and its
related companies. Except for some specific matters that are expressly excluded (such as the incurring
of penalties and fines, which may be imposed for breaches of law), the indemnities and insurance
indemnify and insure directors and executives against monetary losses as a result of actions undertaken
by them in the course of their duties.
Director Interests in Shares
As at 30 September 2024, directors had disclosed the following relevant interests in Sanford shares:
DirectorNumber of SharesNature of Relevant Interest
R McLeod41,725Beneficial interest
C Ellison1,000Beneficial interest and registered holder
T McClurg500Beneficial interest
D Mair31,000Registered holder as trustee of the DM2 Investment Trust, in which D Mair has a beneficial interest
J Strowger22,500Beneficial interest and registered holder (500 shares), Beneficial interest (22,000 shares)
Director Share Dealing
Directors and executives are required to seek approval in advance of share trading and certify to the
board that they are not in possession of inside information, in accordance with the company’s Share
Trading Policy and Guidelines. Directors acquired shares during the year ended 30 September 2024
as follows:
Director
Nature of
Relevant Interest
Number of
Shares AcquiredConsideration PaidDate
R McLeodBeneficial interest9,655
3,570
$36,656.17
$13,473.54
01 December 2023
04 December 2023
T McClurg
Beneficial interest
500$1,910.0022 February 2024
Statutory Information
Shareholding Analysis
As at 01 October 2024
Size of HoldingNumber of Shareholders%%Number of Shares%%
1 to 999650
26.52281,4930.30
1,000 to 4,999
1,130
46.102,375,0652.54
5,000 to 9,999
301
12.281,932,4012.06
10,000 to 49,999
285
11.635,332,5455.70
50,000 to 99,999
30
1.222,093,8772.24
100,000 and above
55
2.2581,611,35487.16
Total
2,451
100.0093,626,735100.00
27Annual Report FY24 | 26| Sanford Limited

Twenty Largest Shareholders
As at 01 October 2024
Registered NameNumber of Shares%%
Ngāi Tahu Investments Limited
18,607,72119.87
ASB Nominees Limited
9,000,0009.61
Masfen Securities Limited
7,093,5007.58
ANZ Wholesale Australasian Share Fund – NZCSD
5,046,2895.39
Maruha Nichiro Corporation
4,534,2314.84
Tasman Equity Holdings Limited
3,795,0544.05
BNP Paribas Nominees (NZ) Limited – NZCSD
2,963,5113.17
Citibank Nominees (New Zealand) Limited – NZCSD
2,778,8402.97
Forsyth Barr Custodians Limited
2,200,7322.35
Sterling Nominees Limited
2,184,0372.33
Rural Equities Limited
2,000,0002.14
Accident Compensation Corporation – NZCSD
1,957,5292.09
Seajay Securities Limited
1,825,0001.95
New Zealand Depository Nominee Limited
1,710,7041.83
HSBC Nominees (New Zealand) Limited – NZCSD
1,579,5321.69
Arden Capital Limited
1,265,0181.35
Tea Custodians Limited Client Property Trust Account – NZCSD
1,260,9041.35
JBWere (NZ) Nominees Limited
1,158,5121.24
Custodial Services Limited
1,130,2731.21
MMZ Trustee Company Limited
985,4491.05
Substantial Product Holders
According to company records and substantial product holder notices given to the company under the
Financial Markets Conduct Act 2013, as at 30 September 2024, the following were substantial product
holders in the company through having a relevant interest in the company’s ordinary shares:
Substantial Product Holder
Number of
Voting Securities
%% of Ordinary
Held Shares
Date of Last Substantial
Product Holder Notice
Ngāi Tahu Holdings Corporation Limited
and Ngāi Tahu Investments Limited*18,607,72119.8701 September 2021
Tasman Equity Holdings Limited, Arden
Capital Limited and Past Limited Partnership14,060,07215.0214 December 2023
Masfen Securities Limited7,093,5007.5814 March 2022
ANZ New Zealand Investments Limited,
ANZ Bank New Zealand Limited and ANZ
Custodial Services New Zealand Limited
(aggregated as related bodies corporate)6,084,1236.5005 August 2024
* Ngāi Tahu Holdings Corporation Limited has disclosed that it has a relevant interest in the shares held by Ngāi Tahu Investments Limited.
The total number of quoted voting products of Sanford Limited on issue as at 30 September 2024 was
93,626,735 (which includes treasury stock of 120,598 shares).
Waivers and Exemptions from the NZ Stock Exchange
and the Overseas Investment Office (OIO)
NZX Waiver – Overseas Ownership Provisions in the Company’s Constitution
To enable the board to better manage the risk of the company being an ‘overseas person’ in the future
(which would, among other things, impact the company’s ability to acquire an interest in fishing quota
(including ACE) in the ordinary course of its business), the company’s constitution was amended in 2016
to include provisions which enable the board to:
• Require certain documentation and/or information in relation to a proposed transferor or transferee
of the company’s shares and to restrict the transfer of the company’s shares to ‘overseas persons’
(Transfer Powers)
• Suspend the voting rights of any of the company’s shares the board determines are ‘affected shares’
(being, in summary, shares which the board determines are held by ‘overseas persons’ and which
have caused the company to be in breach of the ‘overseas ownership threshold’ – a threshold which
is currently set at 90% of the maximum aggregate percentage of the company’s shares that can be
owned or controlled by ‘overseas persons’ without the company itself being an ‘overseas person’)
(Suspension Powers)
• Require (or effect) a sale of any ‘affected shares’ to a ‘non-overseas person’.
A more detailed outline and explanation of the effects of the above powers can be found on the
company’s website at sanford.co.nz/investors/governance/company-constitution and
the provisions which enable the board to exercise those powers are set out in the company’s
constitution. NZX Regulation (a body now referred to as NZ RegCo) granted the company a waiver
from NZX Listing Rule 8.1.5 to enable the company to have the Suspension Powers in its constitution
(Waiver). As a condition of the Waiver, Sanford is listed on the NZX Main Board with a Non-Standard
designation. The full text of the Waiver can be found here nzx.com/companies/SAN/documents.
In addition, NZX Regulation granted the company approval in 2016 in order for the company to
include the Transfer Powers in its constitution. The full text of that approval can be found here
nzx.com/announcements/293474.
OIO exemption – Overseas Ownership
In 2018, the company obtained an exemption from the requirement under the Overseas Investment Act
2005 (OIA) to obtain consent prior to acquiring ‘fishing quota’ in certain limited circumstances, which
expired in August 2023 (Original Exemption).
At the time the Original Exemption was obtained, the OIA provided that a body corporate such as the
company would be an ‘overseas person’ where (in summary) it has a level of overseas ownership or
control of 25% or more. However, the test in the OIA is for when the company (being a New Zealand
company that is listed on the NZX Main Board) will be an ‘overseas person’ has subsequently been
amended. The changes to that test effectively increase the extent of overseas ownership required for
the company to be considered an ‘overseas person’, making it less likely that the company could
become an ‘overseas person’ within a short period of time without its prior knowledge.
Given the company’s current level of overseas ownership and the amendments to the OIA described
above, the company considers that the risk of it becoming an ‘overseas person’ in circumstances where
the company is not aware that such a change has occurred (or may be about to occur) to be very low.
Accordingly, a new exemption has not been pursued. However, the company continues to monitor its
level of overseas ownership to minimise the prospect of it becoming an ‘overseas person’ within a short
period of time without its prior knowledge. Such monitoring complements the provisions in its
constitution which enable the board to require (or effect) a sale of the ‘affected shares’ to a ‘non-overseas
person’ (as discussed above).
For the avoidance of doubt, any exemption from the OIA would not exempt any ‘overseas person’ from
any requirement to obtain consent under the OIA before giving effect to the acquisition of rights or
interests in the company’s securities.
29Annual Report FY24 | 28| Sanford Limited

GAAP to Non-GAAP Reconciliation
Sanford’s standard profit measure prepared under New Zealand GAAP is net profit. Sanford has used
non-GAAP measures when discussing financial performance in this document. The Directors and
management believe that these measures provide useful information as they are used internally to
evaluate divisional and total Group performance and to establish operating and capital budgets.
Non-GAAP profit measures are not prepared in accordance with NZ IFRS (New Zealand equivalents
to International Financial Reporting Standards) and are not uniformly defined; therefore, the non-GAAP
profit measures included in this report are not comparable with those used by other companies.
They should not be viewed in isolation or as a substitute for GAAP profit measures as reported by
Sanford in accordance with NZ IFRS.
Definitions
EBIT: Earnings before interest and taxation.
Adjusted EBIT: Earnings before interest, taxation, restructuring costs, impairment of assets and
investments, net gain on sale of North Island inshore fishery assets, net gain/(loss) on sale of property,
plant and equipment and intangible assets and other one-off items.
Adjusted EBITDA: Adjusted EBIT before depreciation and amortisation.
GAAP to Non-GAAP Reconciliation
for the year ended 30 September 2024
20242023
$000$000
Reported net profit for the period (GAAP) 19,670 10,011
Add back:
Income tax expense 17,725 7,471
Net interest expense 16,867 13,522
EBIT 54,262 31,004
Adjustments:
Impairment of assets 16,856 1,418
Impairment of investment and advances
in Two Islands Limited Group 3,132 –
Restructuring costs 1,495 5,544
Net gain on sale of North Island inshore fishery assets (964)–
Net loss/(gain) on sale of property, plant and equipment and intangibles 293 (35)
Other one-off (gains)/losses (866) 947
Software as a Service (SaaS) expenditure– 12,714
Receipt from surrender of lease– (2,200)
Adjusted EBIT 74,208 49,392
Add back:
Depreciation and amortisation 34,442 32,142
Adjusted EBITDA 108,650 81,534
Five-Year Financial Review
2024202320222021
Restated
2020 (i)
$000$000$000$000$000
Revenue 582,913 553,397 531,887 489,625 468,849
Adjusted EBITDA* 108,650 81,534 68,262 52,603 66,294
Depreciation and amortisation (34,442) (32,142) (28,086) (29,310) (28,016)
Adjusted EBIT ** 74,208 49,392 40,176 23,293 38,278
Restructuring costs (1,495) (5,544) (345) (288) (3,452)
Impairment of assets (16,856) (1,418) (1,301)– (1,193)
Impairment of investment and advances
in Two Islands Limited group (3,132)––––
Net gain on sale of North Island
inshore fishery assets 964 ––––
Net (loss)/gain on sale of property, plant and
equipment and intangible assets (293) 35 43,616 12,935 4,037
Other one-off items 866 (947) (639) (711) 2,082
Software as a Service (SaaS) expenditure– (12,714) (10,312) (6,183) (4,187)
Receipt from termination of lease– 2,200 –––
EBIT 54,262 31,004 71,195 29,046 35,565
Net interest expense (16,867) (13,522) (8,731) (9,011) (8,995)
Profit before income tax 37,395 17,482 62,464 20,035 26,570
Income tax expense (17,725) (7,471) (6,692) (3,800) (7,151)
Profit for the year 19,670 10,011 55,772 16,235 19,419
Non-controlling interest 15 5 122 28 11
Profit attributable to equity holders
of the Company 19,685 10,016 55,894 16,263 19,430
Equity
Paid in capital 94,690 94,690 94,690 94,690 94,690
Reserves 609,303 589,881 569,795 538,702 512,266
Non-controlling interest 365 380 388 702 665
Total equity 704,358 684,951 664,873 634,094 607,621
Represented by:
Current assets 264,909 276,405 224,096 208,477 193,677
Less current liabilities 74,048 180,386 139,888 118,549 120,808
Working capital 190,861 96,019 84,208 89,928 72,869
Property, plant and equipment 217,819 227,254 193,032 167,660 157,143
Right-of-use assets (i) 32,751 40,334 37,574 35,655 40,381
Investments 1,261 4,383 3,938 4,096 4,050
Derivative financial instruments 16,364 12,515 6,925 9,051 10,306
Biological assets (non-current) 23,239 18,226 19,019 18,286 25,806
Intangible assets 490,087 493,196 493,096 497,132 494,973
972,382 891,927 837,792 821,808 805,528
Less non-current liabilities 268,024 206,976 172,919 187,714 197,908
Total net assets 704,358 684,951 664,873 634,094 607,620
Dividend per share (cents)10†12†10†–5†
Dividend cover (times)2.10.96.0†–1.0†
Return on average total equity2.8%1.5%8.6%2.6%3.2%
Earnings per share (cents)21.110.759.817.420.8
Net asset backing per share $7.53 $7.32 $7.10 $6.77 $6.49
* Adjusted EBITDA: Adjusted EBIT before depreciation and amortisation.
** Adjusted EBIT: Earnings before interest, taxation, restructuring costs, impairment of assets and investments, net gain on sale of North Island
inshore fishery assets, net gain/(loss) on sale of property, plant and equipment and intangible assets and other one-off items.
† Includes the dividends proposed after balance date.
(i) The Group has adopted a new interpretation issued in April 2021 by the IFRS Interpretations Committee (IFRIC) on the International Accounting
Standard IAS 38 Intangible Assets. The interpretation has resulted in the recognition of Software-as-a-Service (SaaS) expenditure as an expense
in the income statement rather than a capitalised asset and a restatement has occurred through retained earnings in the 2020 financial year.
Refer to the Sanford 2021 integrated report for details.
31Annual Report FY24 | 30| Sanford Limited

The Directors are pleased to
present the Financial Statements
of the Group for the year ended
30 September 2024.
Financial
Statements 2024
Sir Robert A McLeod
Chair
14 November 2024
David W Mair
Managing Director
14 November 2024
For and on behalf of the Board of Directors:
Contents
Income Statement34
Statement of Comprehensive Income35
Statement of Financial Position36
Statement of Cash Flows37
Statement of Changes in Equity40
Notes to the Financial Statements42
Independent Auditor’s Report80
33Annual Report FY24 | 32| Sanford Limited

Income Statement
for the year ended 30 September 2024
Statement of Comprehensive Income
for the year ended 30 September 2024
20242023
Note$000$000
Revenue4 582,913 553,397
Cost of sales (456,726)(444,760)
Gross profit 126,187 108,637
Other income 7,240 7,500
Distribution expenses (13,630)(14,762)
Administrative expenses5 (33,778)(37,877)
Other expenses5 (31,896)(32,744)
Operating profit 54,123 30,754
Finance income6 1,270 958
Finance expense6 (18,137)(14,480)
Net finance expense (16,867)(13,522)
Share of profit of equity-accounted investees13 139 250
Profit before income tax 37,395 17,482
Income tax expense7 (17,725)(7,471)
Profit for the year 19,670 10,011
Profit attributable to:
Equity holders of the Company 19,685 10,016
Non-controlling interest (15)(5)
19,670 10,011

Earnings per share, net of tax attributable to equity holders of the
Company during the year (expressed in cents per share)
Basic and diluted earnings per share (cents)
From profit for the year1621.110.7
20242023
$000$000
Profit for the year (after tax) 19,670 10,011
Other comprehensive income
Items that may be reclassified to the income statement:
Foreign currency translation differences 68 183
Change in fair value of cash flow hedges recognised in other
comprehensive income 14,119 34,270
Deferred tax on cash flow hedges (3,953)(9,596)
Cost of hedging gains recognised in other comprehensive income–440
Deferred tax on cost of hedging–(123)
Items that have been classified to the income statement:
Amount of treasury share cost recovered in relation
to share-based payment–(143)
Cost of hedging gain (293)–
Deferred tax on cost of hedging 82 –
Other comprehensive income for the year 10,023 25,031
Total comprehensive income for the year 29,693 35,042
Total comprehensive income for the year is attributable to:
Equity holders of the Company 29,708 35,047
Non-controlling interest (15) (5)
Total comprehensive income for the year 29,693 35,042
35Annual Report FY24 | 34| Sanford Limited

Statement of Financial Position
as at 30 September 2024
Statement of Cash Flows
for the year ended 30 September 2024
20242023
Note$000$000
Current assets
Cash on hand and at bank8 14,475 6,805
Trade receivables9(a) 83,167 104,921
Derivative financial instruments18 13,556 6,170
Other receivables and prepayments9(b) 5,085 8,352
Biological assets10 55,557 48,300
Inventories11 73,363 83,029
Assets held for sale 20 19,706 18,828
Total current assets 264,909 276,405
Non-current assets
Property, plant and equipment12 217,819 227,254
Right-of-use assets19 32,751 40,334
Investments13 1,261 4,383
Derivative financial instruments18 16,364 12,515
Biological assets10 23,239 18,226
Intangible assets14 490,087 493,196
Total non-current assets 781,521 795,908
Total assets 1,046,430 1,072,313
Current liabilities
Bank overdraft and borrowings (secured)8– 58,000
Derivative financial instruments18 1,705 6,138
Trade and other payables15 44,647 87,373
Taxation payable 899 3,625
Lease obligation19 13,889 11,518
Liabilities held for sale20 12,908 13,732
Total current liabilities 74,048 180,386
Non-current liabilities
Bank loans (secured)
18 200,000 145,000
Contributions received in advance
1,531 1,878
Employee entitlements
15 1,260 1,358
Derivative financial instruments
18 1,145 2,262
Deferred taxation
7 43,646 26,996
Lease obligation
19 20,442 29,482
Total non-current liabilities
268,024 206,976
Total liabilities 342,072 387,362
Equity
Paid in capital
94,690 94,690
Retained earnings
590,415 581,016
Other reserves
18,888 8,865
Shareholder funds
703,993 684,571
Non-controlling interest
365 380
Total equity
16 704,358 684,951
Total equity and liabilities
1,046,430 1,072,313
20242023
Note$000$000
Cash flows from operating activities
Receipts from customers 630,832 570,872
Interest received 1,270 958
Payments to suppliers and employees (533,856) (506,716)
Income tax paid (7,770) (9,156)
Interest paid (17,480) (14,905)
Net cash flows from operating activities 72,996 41,053
Cash flows from investing activities
Sale of property, plant and equipment 1,306 578
Proceeds from sale of North Island inshore fishery assets20 6,830 –
Sale of investment in Two Islands NZ Co Limited13 200 –
Dividends received from investments13,22 383 152
Purchase of property, plant and equipment12 (45,916) (62,701)
Purchase of intangible assets14 (1,490) (1,711)
Acquisition of shares in other companies13,22 (278) (347)
Net cash flows used in investing activities (38,965) (64,029)
Cash flows from financing activities
Proceeds from borrowings 27,000 60,000
Repayment of term loans (30,000) (25,000)
Dividends paid to company shareholders17 (10,286) (14,961)
Dividends paid to non-controlling interest shareholders– (3)
Lease payments19 (13,135) (12,360)
Net cash flows (used in)/from financing activities (26,421) 7,676
Net increase/(decrease) in cash and cash equivalents 7,610 (15,300)
Effect of exchange rate fluctuations on cash held 60 (429)
Cash and cash equivalents at the beginning of the year (51,195) (35,466)
Short-term borrowings reclassified as term loans 58,000
Cash and cash equivalents at 30 September 14,475 (51,195)
Represented by:
Bank overdraft and borrowings (secured)– (58,000)
Cash on hand and at bank 14,475 6,805
8 14,475 (51,195)
37Annual Report FY24 | 36| Sanford Limited

Statement of Cash Flows
for the year ended 30 September 2024
Statement of Cash Flows
for the year ended 30 September 2024
Reconciliation of profit for the period with net cash flows from operating activities
20242023
Note$000$000
Profit for the year (after tax) 19,670 10,011
Adjustments for non-cash items:
Depreciation and amortisation 34,442 32,142
Depreciation – Annual Catching Entitlements (ACE)19 7,746 6,882
Impairment of investment 13 2,956 –
Impairment of assets classified as held for sale20– 750
Impairment of property plant and equipment12 14,837 479
Impairment of intangibles14 1,832 189
Impairment of right-of-use assets19 187 –
Share-based payment recovered– (143)
Share of profit of equity-accounted investees 13 (139) (249)
Change in fair value of biological assets10 (12,270) (3,296)
Change in fair value of forward exchange contracts
and foreign currency options (2,882) (3,243)
Increase/(Decrease) in deferred tax liability7 12,697 (691)
Decrease in contributions received in advance (347) (341)
Unrealised foreign exchange loss 1,489 3,993
Other – (66)
60,548 36,406
Movement in working capital
Decrease/(Increase) in trade and other receivables
and prepayments 23,410 (17,341)
Decrease/(Increase) in inventories 9,666 (15,878)
(Decrease)/Increase in trade and other payables
and other liabilities (40,446)28,886
Decrease in taxation payable (2,726)(996)
(10,096)(5,329)
Items classified as investing activities
Gain on sale of North Island inshore fishery assets20 (964)–
Net loss/(gain) on sale and disposal of property,
plant and equipment 3,838 (35)
2,874 (35)
Net cash flows from operating activities 72,996 41,053
Reconciliation of movement of liabilities to cash flows arising from financing activities
Lease
Obligation
Bank Loans
(secured)
Derivative
Financial
Liabilities
(asset)Total
Note$000$000$000$000
As at 01 October 2023 41,000 145,000 (10,285) 175,715
Lease payments19 (13,135)–– (13,135)
Proceeds from bank loans– 27,000 – 27,000
Repayment of bank loans– (30,000)– (30,000)
Financing cash flows (13,135) (3,000)– (16,135)
Short-term borrowings reclassified
as term loans18– 58,000 – 58,000
New leases, net of settlements19 6,363 –– 6,363
Terminations of leases19 (53)–– (53)
Effect of movement in exchange rates19 156 –– 156
Change in fair value of derivative
financial instruments–– (16,785) (16,785)
As at 30 September 2024 34,331 200,000 (27,070) 207,261
As at 01 October 2022 38,511 110,000 27,688 176,199
Lease payments19 (12,360) – – (12,360)
Proceeds from bank loans – 60,000 – 60,000
Repayment of bank loans – (25,000) – (25,000)
Financing cash flows (12,360) 35,000 – 22,640
New leases, net of settlements19 31,425 – – 31,425
Terminations of leases19 (2,573) – – (2,573)
Lease obligations classified as held for sale (13,732)–– (13,732)
Effect of movement in exchange rates19 (271) – – (271)
Change in fair value of derivative
financial instruments – – (37,973) (37,973)
As at 30 September 2023 41,000 145,000 (10,285) 175,715
39Annual Report FY24 | 38| Sanford Limited

Statement of Changes in Equity
for the year ended 30 September 2024
Share
Capital
Share-based
Payment Reserve
Translation
Reserve
Cash Flow
Hedge Reserve
Cost of
Hedging Reserve
Retained
EarningsTotal
Non-controlling
Interest
Total
Equity
Note$000$000$000$000$000$000$000$000$000
Balance at 01 October 202394,690–1,0857,569211581,016684,571380684,951
Profit for the year (after tax)––––– 19,685 19,685 (15) 19,670
Other comprehensive income
Foreign currency translation differences–– 68 ––– 68 – 68
Hedging gains recognised in other
comprehensive income––– 14,119 –– 14,119 – 14,119
Deferred tax on change in reserves––– (3,953)–– (3,953)– (3,953)
Cost of hedging gains recovered
to the income statement–––– (293)– (293)– (293)
Deferred tax on cost of hedging gains–––– 82 – 82 – 82
Total comprehensive income–– 68 10,166 (211) 19,685 29,708 (15) 29,693
Distributions to shareholders17––––– (10,286) (10,286) (10,286)
Balance at 30 September 202494,690–1,15317,735–590,415703,993365704,358
Balance at 01 October 202294,690 143 902(17,105)(106)585,961664,485388664,873
Profit for the year (after tax) – – – – – 10,016 10,016 (5) 10,011
Other comprehensive income
Foreign currency translation differences – – 183 – – – 183 – 183
Hedging gains recognised in other
comprehensive income – – – 34,270 440 – 34,710 – 34,710
Deferred tax on change in reserves – – – (9,596) (123) – (9,719) – (9,719)
Amount of treasury share cost recovered
in relation to share-based payment – (143) – – – – (143) – (143)
Total comprehensive income – (143) 183 24,674 317 10,016 35,047 (5) 35,042
Distributions to non-controlling shareholders – – – – – – – (3) (3)
Distributions to shareholders17 – – – – – (14,961) (14,961) – (14,961)
Balance at 30 September 202394,690 – 1,0857,569211581,016684,571380684,951
41Annual Report FY24 | 40| Sanford Limited

Note 1 – General Information
(a) Reporting entity
Sanford Limited (‘the parent’ or ‘the Company’) is a profit-orientated company that is domiciled and incorporated in New Zealand.
The Company is registered under the Companies Act 1993 and listed on the New Zealand Stock Exchange (NZX). The Company is
an FMC entity for the purposes of Part 7 of the Financial Markets Conduct Act 2013.
The financial statements presented are for Sanford Limited (‘Sanford’ or ‘the Group’) as at and for the year ended 30 September
2024. The Group comprises the Company, its subsidiaries, and its investments in joint arrangements and associates.
In accordance with the Financial Markets Conduct Act 2013, where a reporting entity prepares consolidated financial statements,
parent disclosures are not required.
The Group is a large and long-established fishing and aquaculture farming business devoted entirely to the farming, harvesting,
processing, storage and marketing of quality seafood products and investments in related activities.
Note 2 – Basis of Preparation
(a) Statement of compliance
The financial statements comply with New Zealand equivalents to International Financial Reporting Standards (NZ IFRS), and other
applicable Financial Reporting Standards as appropriate for Tier 1 for-profit entities. They also comply with International Financial
Reporting Standards.
(b) Basis of measurement
The financial statements have been prepared on a historical cost basis except for the following which are measured on the bases
set out below:
• Derivative financial instruments: interest rate and fuel swaps, forward exchange contracts and foreign currency options are
measured at fair value.
• Biological assets: in water salmon and mussel assets are measured at fair value less costs to sell.
• Inventories are measured at lower of cost and net realisable value.
• Assets held for sale are measured at the lower of fair value less cost to sell and carrying value.
(c) Foreign currency
Functional and presentation currency
These financial statements are presented in New Zealand dollars (NZD), the Company’s functional currency. All financial
information presented in NZD has been rounded to the nearest thousand dollars (unless described as millions within the notes
to these financial statements).
Foreign currency transactions
Foreign currency transactions are translated to NZD at the exchange rates ruling at the dates of the transactions. At balance date
foreign currency monetary assets and liabilities are translated at the closing rate. The exchange variations arising from these
translations are recognised in the income statement.
Foreign operations
Foreign operations are entities within the Group, the activities of which are based in a country other than New Zealand, or are
conducted in a currency other than NZD. The assets and liabilities of foreign operations are translated into NZD at the closing rate,
while revenues and expenses are translated at rates approximating the exchange rate ruling at the date of the transaction.
Exchange variations are taken directly to the foreign currency translation reserve.
(d) Use of estimates and judgements
The preparation of financial statements requires the Board of Directors to make judgements, estimates and assumptions that
affect the application of accounting policies and the reported amounts in the financial statements. Actual results may differ from
these estimates.
Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the
period in which the estimate is revised and in any future periods affected.
Accounting policies, and information about judgements, estimates and assumptions that have had a significant impact on the
amounts recognised in the financial statements are disclosed in the relevant notes as follows:
• Valuation of deferred tax assets and liabilities (refer note 7)
• Valuation of biological assets (refer note 10)
• Valuation of inventories (refer note 11)
• Impairment testing of property, plant and equipment (refer note 12 and 14)
• Impairment testing of intangible assets (refer note 14)
Note 2 – Basis of Preparation (continued)
(d) Use of estimates and judgements (continued)
• Valuation of financial instruments (refer note 18)
• Determination of lease term and incremental borrowing rates (refer note 19).
Estimates are identified by a grey tint in the notes to the financial statements.
(e) Significant accounting policies
Accounting policies are disclosed within each of the applicable notes to the financial statements and are identified by a teal tint.
Apart from the early adoption of the Amendment to IAS 1: Presentation of Financial Statements, Classification of Liabilities as
Current or Non-current as described below, the Group’s accounting policies have been applied consistently to all periods presented
in these financial statements, and have been applied consistently by Group entities.
To ensure consistency with the current period, comparative figures have been amended to conform with current period presentation
where appropriate.
(f) New and amended accounting standards and interpretations adopted
The Amendments to IAS 12 Income Taxes, Deferred Tax related to Assets and Liabilities arising from a Single Transaction
(the Amendments) are effective for the Group in the financial year ended 30 September 2024. Under the Amendments, the Group
is required to recognise a separate deferred tax asset and deferred tax liability when the temporary differences arising on the initial
recognition of an asset and liability are equal. This is reflected in note 7 to the financial statements. However, there was no impact
on the statement of financial position because the balances qualify for offset under paragraph 74 of NZ IAS 12.
A number of new standards and interpretations effective at 30 September 2024 (for annual periods beginning 01 January 2024
and 2025) are not mandatory for the Group but are available for early adoptions. Except for the Amendment to IAS 1: Presentation
of Financial Statements, Classification of Liabilities as Current or Non-current as described below, no other new standards and
interpretations have been early adopted.
The impact of these new standards and interpretations on the financial statements has not been assessed. These standards will be
mandatory for the Group in the financial year ended 30 September 2025.
The Amendment to NZ IAS 1: Presentation of Financial Statements, Classification of Liabilities as Current or Non-current (the
Amendment) is effective for the Group in the financial year ended 30 September 2025. Under the Amendment, an entity classifies
a liability as current unless the entity has a right to defer settlement of the liability for at least 12 months after the reporting period.
The right must also exist at the reporting date and have substance.
The Group has elected to early adopt the Amendment, effective from 01 October 2023. Bank loans drawn under the Group’s
working capital facilities are classified as non-current liabilities at 30 September 2024 as a result. Refer to note 18 (b) for details.
The Amendment has no impact on comparative information for the year ended 30 September 2023.
Note 3 – Segment Reporting
Executive management of the Group monitors the operating results of the wildcatch and aquaculture (mussels and salmon) divisions.
Divisional performance is evaluated based on operating profit or loss. Capital expenditure consists of additions of property, plant and
equipment and intangible assets.
The Group’s key operating divisions are:
• Wildcatch – responsible for catching and processing deepwater fish species, and the leasing of Annual Catch Entitlements (ACE)
for North Island inshore species; and
• Aquaculture – responsible for farming, harvesting and processing mussels and salmon.
The Group has determined that the divisions above should be aggregated to form one reportable segment to reflect the farming,
harvesting, processing and selling of seafood products, due to the aggregated manner in which performance is monitored.
The criteria as set out in paragraph 12 of NZ IFRS8 Operating Segments was considered in determining the aggregation of
the operating divisions. In aggregating these operating divisions into one reportable segment, the Group identified similarities
in the following:
Similar economic characteristics
The Group considered and identified similarities in economic characteristics in the wildcatch and aquaculture divisions.
The Group concluded, having considered several factors, that the operating segments exhibited similar long-term economic
characteristics because the impact of these factors is expected to be similar across all operating divisions. This is supported
by the following observations:
Foreign exchange
A large proportion of the Group’s sales are derived from exporting seafood products. Movements in foreign exchange rates have
a significant influence on the degree of profitability of the Group.
Competitive and operating risks
The operating risks are similar for all of the seafood products in which the Group trades, due to the vagaries of nature and its
impact in respect of weather patterns, nutrients in the oceans, parasites and disease.
The global growth in seafood product demand and rising commodity prices have led to a heightened competitive environment
in which the Group trades; this applies in a similar manner across all of the operating divisions.
Notes to the Financial Statements
for the year ended 30 September 2024
43Annual Report FY24 | 42| Sanford Limited

Note 3 – Segment Reporting (continued)
Economic and political risk
Economic prosperity and political stability for countries in which Sanford’s customers are based have a direct impact across the
Group in its ability to derive increasing positive returns to shareholders.
Other variables impacting profit
There are many other variables that directly or indirectly impact the profitability of the operating divisions, such as international trade
rules and tariffs and climate change. The Group has assessed that the operating divisions are similarly impacted by these variables.
Nature of the products
All of the seafood products have similar nutritional factors; principally they are a good source of protein and relatively low in fat.
Similar nature of production processes
The Group has determined that all of the seafood products produced for its customers are harvested from the sea.
In addition, certain fish species and mussels have hand-opening or machine-opening processes involved in the final
completion of the production chain.
The type or class of customer for the product
The Group sells products derived from all of its operating divisions to four (2023: seven) of its top ten customers. The Group’s
customers are largely of a wholesale nature.
The methods used to distribute the product
The Group’s sales and marketing team is structured geographically and not by product type or operating division.
The nature of the regulatory environment
Both aquaculture and fish products are governed by the quality control regulations set by the Ministry for Primary Industries
in New Zealand and those countries to which the Group exports. In respect of vessels, these must meet Maritime New Zealand
regulations; this requirement is similar for all operating divisions.
Revenue by geographical location of customers
20242023
$000$000
New Zealand 222,699 192,577
North America 125,188 113,123
China 78,573 68,787
Europe 66,183 67,522
Australia 43,631 45,444
Other Asia 19,019 28,859
Japan 10,516 13,569
South Korea 5,493 9,202
Middle East 4,000 6,102
Hong Kong 2,882 3,927
Pacific 2,117 861
Central and South America 1,848 2,288
Africa 764 1,136
Revenue 582,913 553,397
The revenue information above is based on the delivery destination of sales.
The Group has no customers who account for more than 10% of total sales for the year (2023: two customers who both account
for more than 10% of total sales).
Note 4 – Revenue
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group, the performance
obligations are satisfied and the revenue can be reliably measured, regardless of when payment is made. Revenue is measured
at the fair value of the consideration received or receivable.
Domestic sales
The performance obligation for domestic sales is satisfied upon delivery of the products to the customer or collection of the
goods by the customer. Payment terms generally range between seven days and the 20th of the month following invoice date.
Export sales
The performance obligation is satisfied upon transfer of legal title in line with the relevant incoterms. The Group typically
acts as agent in arranging transport and insurance under such arrangements. Revenue is recognised net of the associated
costs of these arrangements. Payment terms vary between customers and export destinations.
Revenue from leasing of Annual Catch Entitlements (ACE)
ACE is the annual right to catch a specific amount of a relevant fish stock within the Quota Management System for the duration
of a fishing year and is allocated annually to quota owners of that fish stock. Lease income is derived from transferring to industry
lessees the right to catch the allocated fish stock as stipulated under the ACE.
Lease arrangements involving ACE are treated as operating leases as the risks and rewards of ownership to the underlying fish
species quota – from which an ACE is derived – are not substantially transferred to the lessee. Lease income is recognised over
the period when the lessee has the right to fish under the ACE.
20242023
$000$000
Revenue from contracts with customers 567,903 553,397
Revenue from ACE lease income 15,010 –
582,913 553,397
Revenue in relation to contract assets
Of the revenue recognised this year $nil (2023: $1.3m) originated from contract assets due to performance obligations being
satisfied before the end of the year. The Group recognises this revenue from the satisfaction of performance obligations prior
to consideration received from these customers, in line with the above. In addition, the payment terms for these assets are in
line with the above.
Notes to the Financial Statements
for the year ended 30 September 2024
45Annual Report FY24 | 44| Sanford Limited

Note 5 – Expenses and Other Income
20242023
Note$000$000
(a) Administrative and other expenses includes:
KPMG statutory audit fees425 429
KPMG fees for other services
†
– 68
Other auditors' fees for non-financial audit services
††
72 53
Impairment of investment 13 2,956 –
Impairment of advance to Two Islands NZ Co Limited 176 –
Impairment of property, plant and equipment12 14,837 479
Impairment of intangible assets14 1,832 189
Impairment of right-of-use assets19 187 –
Impairment of assets classified as held for sale20– 750
Restructuring costs 1,495 5,544
Donations 406 362
Research and development 572 663
(b) Personnel expenses included in cost of sales,
administrative and distribution expenses
Wages and salaries (including short-term employee benefits) 119,015 136,089
† In 2023 KPMG fees of $68,000 for other services were charged in respect of a limited assurance engagement performed in October 2023 relating
to selected sustainability information. No other KPMG fees were charged in 2024.
†† Non-financial audit services include but are not limited to health and safety and quality audits.
(c) Other income
30 September 2024 – Sale of North Island inshore fisheries assets
Refer to note 20(c) for details.
30 September 2023 – Lease surrender
Sanford Limited and Port of Tauranga reached an agreement which was settled on 03 October 2022 for Sanford to surrender
leases for the Tauranga processing site. Sanford received $2.2m in compensation for surrendering its perpetual right to the
Cross Road lease.
Note 6 – Finance Income and Expense
Finance income comprises interest income on funds invested and dividend income. Interest income is recognised as it accrues,
using the effective interest method. Dividend income is recognised on the date that the Group’s right to receive payment is
established, which in the case of quoted securities is the ex-dividend date.
Finance expenses comprise interest expense on borrowings and impairment losses recognised on financial assets (except for
trade receivables), as well as non-trading currency exchange losses.
20242023
Note$000$000
Finance income
Interest income 1,270 958
1,270 958
Finance expense
Interest expense on bank loans and bank overdraft 16,101 11,939
Interest expense on leases19 2,036 2,541
18,137 14,480
Net finance expense 16,867 13,522
Notes to the Financial Statements
for the year ended 30 September 2024
Note 7 – Taxation
Income tax expense comprises current and deferred tax. Income tax expense is recognised in the income statement except
to the extent that it relates to items recognised in other comprehensive income (OCI), in which case it is recognised in OCI.
Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively enacted
at the reporting date, and any adjustment to tax payable in respect of previous years.
Deferred tax is:
• Recognised in respect of temporary differences between the carrying amounts of assets and liabilities for financial reporting
purposes and the amounts used for taxation purposes
• Not recognised for the initial recognition of goodwill, the initial recognition of assets or liabilities in a transaction that is
not a business combination and that affects neither accounting nor taxable profit, and differences relating to investments
in subsidiaries and jointly controlled entities to the extent that they probably will not reverse in the foreseeable future
• Measured at the tax rates that are expected to be applied to the temporary differences when they reverse, based on the
laws that have been enacted or substantively enacted at balance date.
7.1 Income tax expense
20242023
$000$000
Current period 6,300 8,109
Adjustments for prior periods (1,272)53
5,028 8,162
Deferred tax expense
Origination and reversal of temporary differences 11,191 (645)
Adjustments for prior periods 1,506 (46)
12,697 (691)
Income tax expense 17,725 7,471
Reconciliation of effective tax rate
Profit for the year 19,670 10,011
Income tax expense 17,725 7,471
Profit before income tax 37,395 17,482
Tax at current rate of 28% 10,471 4,895
Non-deductible expenses 716 535
Tax legislation changes 1,722 –
Impairment of investment 828 –
Impairment of goodwill 408 –
Capitalised asset timing differences 325 179
Unrecognised tax losses 2,908 1,876
Adjustments for prior periods 316 19
Different foreign tax rate 40 (102)
Other (9)69
7,254 2,576
Income tax expense 17,725 7,471
Imputation credit account
Imputation credits available for use in subsequent reporting periods 58,957 58,009
Tax legislation changes
Recent tax legislation changes have removed the ability for entities to claim tax depreciation deductions for commercial and
industrial buildings with an estimated useful life of 50 years or more. The changes come into effect for the 2025 income year and
later income years. This change impacts deferred tax as the tax base will reduce to reflect future tax deductions which are no longer
available. As the change was enacted prior to balance date Sanford has recorded the deferred tax impact, an increase in the liability
and corresponding tax expense in the profit and loss statement.
The Group’s imputation credits are available to be attached to dividends paid by Sanford Limited.
47Annual Report FY24 | 46| Sanford Limited

Note 7 – Taxation (continued)
7.2 Deferred tax
2024
Balance
30 September
2023
Recognised in
Income Statement
Recognised
in Other
Comprehensive
Income
Balance
30 September
2024
$000$000$000$000
Movement in temporary differences
during the year
Property, plant and equipment 4,367 4,899 – 9,266
Intangible assets 13,613 5,744 – 19,357
Trade receivables (108) 16 – (92)
Derivative financial instruments 3,025 (82) 3,953 6,896
Biological assets 10,023 2,055 – 12,078
Leases (net) (557) 257 – (300)
Other assets (3,367) (192)– (3,559)
Net deferred tax liability 26,996 12,697 3,953 43,646
2023
Balance
30 September
2022
Recognised in
Income Statement
Recognised
in Other
Comprehensive
Income
Balance
30 September
2023
$000$000$000$000
Movement in temporary differences
during the year
Property, plant and equipment5,897(1,530)– 4,367
Intangible assets14,021(408)– 13,613
Trade receivables(31)(77)– (108)
Derivative financial instruments(6,694)– 9,719 3,025
Biological assets7,8332,190– 10,023
Leases (net)(376) (181)– (557)
Other assets(2,682)(685)– (3,367)
Net deferred tax liability 17,968 (691) 9,719 26,996
Notes to the Financial Statements
for the year ended 30 September 2024
Note 7 – Taxation (continued)
7.2 Deferred tax (continued)
Deferred tax recognised in OCI relates to tax on the effective portion of the change in fair value of cash flow hedges, and on the cost
of hedging gains or losses.
Deferred tax asset and liability associated with leases in the Group are as follows:
20242023
$000$000
Deferred tax associated with leases
Asset 8,456 13,844
Liability (8,156) (13,287)
300 557
A deferred tax asset has not been recognised in respect of the following item because it is not probable that future taxable profit
will be available against which the Group can utilise the benefits. There is no expiry time for the use of these tax losses.
20242023
$000$000
Unrecognised deferred tax asset
Net tax losses attributable to the joint operation24,053 21,004
Note 8 – Cash and Cash Equivalents
Cash and cash equivalents includes deposits that are subject to insignificant risk of changes in their fair value. Cash and cash
equivalents are classified and measured at amortised cost in the statement of financial position. These financial instruments
are short term in nature and the carrying amount is considered to be a reasonable approximation of fair value.
Bank overdraft and borrowings are classified and measured at amortised cost. These financial instruments are short term
in nature and the carrying amount is considered to be a reasonable approximation of fair value.
20242023
$000$000
Cash on hand and at bank 14,475 6,805
Bank overdraft and working capital facilities (secured)–(58,000)
14,475 (51,195)
On 28 March 2024, the working capital facilities expiring on 30 April 2024 were extended to 31 March 2026 and
30 April 2026 respectively.
49Annual Report FY24 | 48| Sanford Limited

Note 9 – Trade and Other Receivables
Trade and other receivables are financial assets classified and measured at amortised cost less allowance for doubtful debts.
Short-term trade receivables are not discounted. These financial instruments are short term in nature and the carrying amounts
are considered to be a reasonable approximation of fair values.
(a) Trade receivables
20242023
$000$000
Gross trade receivables 83,521 105,367
Less: Allowance for doubtful debts (refer to note 18(a)) (354)(446)
83,167 104,921
(b) Other receivables and prepayments
20242023
Note$000$000
Advances to related parties22(b) 137 300
Other receivables 2,788 5,256
Prepayments 2,160 2,796
5,085 8,352
Note 10 – Biological Assets
Biological assets include pre-harvest salmon and mussel stocks, and are measured at fair value less costs to sell, with any change
therein recognised as cost of sales in the income statement. This method of valuation falls into Level 3 on the fair value hierarchy
(refer to note 18). Biological assets are transferred to inventories at the date of harvest.
2024
MusselsSalmonTotal
$000$000$000
Balance at the beginning of the year 25,667 40,859 66,526
Changes due to biological transformation and movement
in fair value less estimated costs to sell 24,163 16,728 40,891
Harvested produce transferred to inventories(22,217)(6,404) (28,621)
Balance at 30 September 2024 27,613 51,183 78,796
Current 16,472 39,085 55,557
Non-current 11,141 12,098 23,239
27,613 51,183 78,796
Notes to the Financial Statements
for the year ended 30 September 2024
Note 10 – Biological Assets (continued)
2023
MusselsSalmonTotal
$000$000$000
Balance at the beginning of the year26,92236,30863,230
Changes due to biological transformation and movement
in fair value less estimated costs to sell21,87110,82732,698
Harvested produce transferred to inventories(23,126)(6,276)(29,402)
Balance at 30 September 202325,66740,85966,526
Current14,35233,948 48,300
Non-current11,3156,911 18,226
25,66740,85966,526
Risk factors
The Group is exposed to a number of risks relating to its growing of salmon and mussel stocks. These include storms, marine
predators, biosecurity incursions and other contamination of the water space. The Group has extensive processes in place to
monitor and mitigate these risks including insurance of salmon and mussels, regular inspection of the growing areas and
contingency plans in the event of an adverse climatic event.
Fair value risk and sensitivity
The Group is exposed to financial risks relating to the production of biological assets (salmon and mussels) arising from climate
change volatility, climatic events, disease and contamination of water space.
The estimation of the fair value of in-water salmon and mussels is based on several assumptions. Changes in these assumptions
will impact the fair value calculation. The profit which is achieved on the sale of inventory will differ from the calculations of fair
value of biological assets because of changes in key factors such as the final sales destinations of inventory sold, changes in
selling prices, foreign exchange rates, harvest weight, growth rates, mortality, input costs and costs to sell, and differences in
quality of harvested salmon and mussels.
With all other variables remaining constant, a 10% increase/decrease in average future sales prices would increase/ decrease
the fair value of biological assets and profit before tax by $7.1m (2023: 10% increase/decrease $6.7m). A 10% increase/decrease
in biomass (future harvest volumes) would increase/decrease the fair value of biological assets on hand and profit before tax by
$7.8m (2023: 10% increase/decrease $6.3m).
Determining fair value
Salmon
The pre-harvest salmon stock has been valued with reference to their stage of development, the length of the growth cycle,
number in the water, assumptions in respect of biomass and feed conversion rates, and the fair value less costs to sell per kg
at the point of harvest. The fair value less costs to sell per kg at the point of harvest is determined with reference to expected
market prices for the first half of the next financial year, net of estimated cost up to the date of harvest. The fair value
measurement commences at the date of transfer to seawater as this is considered the point at which the fish commence
their growth cycle.
Mussels
The pre-harvest mussel stock has been valued with reference to their stage of development, the length of the growth cycle
for the mussels in the regions being farmed, the fair value less costs to sell per kg at point of harvest, and the physical quantity
in the water at balance date. The fair value less costs to sell per kg at the point of harvest is determined with reference to
expected market prices for the first half of the next financial year, net of estimated cost up to the date of harvest. The fair
value measurement commences at the date of seeding as this is considered the point at which the mussel commence their
growth cycle.
51Annual Report FY24 | 50| Sanford Limited

Note 11 – Inventories
Inventories are measured at the lower of cost and net realisable value. Net realisable value is the estimated selling price in
the ordinary course of business less any applicable marketing, selling and distribution costs. The selling price is estimated
with reference to prices obtainable in the current market.
Cost is based on the weighted average cost principle and includes expenditure incurred in acquiring the inventory and bringing
it to its existing condition and location. In the case of processed inventories and work in progress, cost includes an appropriate
share of overheads. Fixed overheads are allocated on the basis of normal operating capacity. The cost of items transferred from
biological assets is their fair value less costs to sell at the date of transfer.
20242023
$000$000
Seafood – at cost 67,652 70,694
Net realisable value provision (12,014)(3,202)
55,638 67,492
Packaging, fishing gear, fuel and stores – at cost 17,725 15,537
73,363 83,029
The cost of inventories recognised as an expense for the year ended 30 September 2024 is $364.7m (2023: $358.5m).
This is included in cost of sales in the income statement.
Note 12 – Property, Plant and Equipment
Property, plant and equipment is measured at cost less accumulated depreciation and impairment losses.
Property, plant and equipment is allocated to the respective cash-generating units and assessed for indicators of impairment
annually. Where indicators of impairment are noted an impairment test is performed at the cash-generating unit’s level.
Costs may include:
• The consideration paid on acquisition of the asset
• The cost of materials and direct labour and any other costs directly attributable to bringing the asset to a working condition
for its intended use
• The costs of dismantling and removing the items and restoring the site on which they are located
• Borrowing costs directly attributable to the acquisition, construction or production of a qualifying asset.
The capitalisation of expenditure ceases when the asset is ready for use, at which point depreciation commences. Capital work
in progress of $44.6m is included within the relevant category of property, plant and equipment below (2023: $67.5m).
When parts of an item of property, plant and equipment have different useful lives, they are accounted for as separate items
(major components) of property, plant and equipment.
Subsequent expenditure that increases the economic benefits derived from an asset is capitalised.
Depreciation of property, plant and equipment, other than land, is calculated using a straight-line basis and is expensed
over the useful life of the asset.
Depreciation methods, useful lives and residual values are reassessed at least annually. Leased assets are depreciated over
the shorter of the lease term and their estimated useful lives. Estimated useful lives (years) are as follows:
20242023
Buildings (freehold and leasehold)20–2520–25
Fishing vessels:
Hulls15–3020–30
Engines10–1512–15
Electronic equipment3–43–4
Machinery and plant1–101–10
Motor vehicles55
Office fixtures and fittings2–73–7
Marine farm assets 3–155–15
Notes to the Financial Statements
for the year ended 30 September 2024
Note 12 – Property, Plant and Equipment (continued)
2024
Land
Freehold
Buildings
Leasehold
Buildings
Fishing
Vessels
Plant and
EquipmentTotal
Note$000$000$000$000$000$000
Cost
Balance at the beginning
of the year 2,309 22,108 65,661 291,035 162,631 543,744
Additions– 833 869 36,097 7,826 45,625
Disposals – (18)– (10,021) (6,448) (16,487)
Assets classified as
held for sale20 (880) (166) (31,884)– (9,899) (42,829)
Effect of movements in
exchange rates–– 18 – 2 20
Balance at the end of the year 1,429 22,757 34,664 317,111 154,112 530,073
Accumulated depreciation
and impairment
Balance at the beginning
of the year– (7,984) (33,484) (165,857) (109,165)(316,490)
Depreciation– (935) (1,898) (15,407) (7,789) (26,029)
Impairment– (62) (5,731)– (9,044) (14,837)
Assets classified as
held for sale20– 83 25,948 – 9,899 35,930
Disposals – 4 – 8,586 582 9,172
Balance at the end of the year– (8,894) (15,165) (172,678) (115,517)(312,254)
Net book value at
30 September 2024 1,429 13,863 19,499 144,433 38,595 217,819
(a) Auckland site sale of perpetual right to lease land and building assets
The Group has reassessed the use of its leased Auckland premises and negotiated the sale of its perpetual right to lease the
Auckland premises and buildings thereon. The perpetual right to lease the Auckland premises was classified as an asset held for
sale at 30 September 2023. Following further negotiations with the purchaser the buildings were agreed to be included in the
sale. As at 30 September 2024, the signing of a sales and purchase contract is imminent, the unconditional execution of which
is anticipated to be in the second half of FY25. On this basis these site leases and associated buildings have been classified
as held for sale.
The conditional contract with the developer provides evidence of the fair value of the lease and building assets, which overall
indicates there is a gain from this transaction to be recognised when the conditions of the contract are fulfilled in the future.
However, the conditional contract provides current evidence as to the fair value of the building assets prior to its reclassification
to assets held for sale, which is less than the carrying value. In light of this the buildings have been impaired by $4.2m as at
30 September 2024.
Refer to note 20 for details on assets classified as held for sale and associated impairment recognised.
(b) Closure of North Island Mussels Limited mussels processing facility
North Island Mussels Limited (NIML) is a joint operation in which Sanford Limited has 50% shareholding to farm, process and sell
mussels. The processing plant, based in Tauranga, was closed in the current year. Land, buildings, plant and equipment of the
Tauranga site were actively marketed for sale in the current year and as such have been classified as held for sale. A conditional
sales contract was signed subsequent to year-end which indicates market values for the land, building, plant and equipment assets
are lower than the carrying amounts. Sanford’s share of this resulting impairment of $6.4m is recognised in the income statement
for FY24.
(c) Bioactive assets
The concept of our marine extract facility in Blenheim was to profitably produce commercial quantities of several bioactive products.
The facility has not been implemented nor operated as originally intended and is now principally focused on mussel powder alone.
Plans for oil and collagen products do not form part of the business strategy going forward. These assets are therefore impaired by
$3.9m as at 30 September 2024.
53Annual Report FY24 | 52| Sanford Limited

Notes to the Financial Statements
for the year ended 30 September 2024
Note 12 – Property, Plant and Equipment (continued)
2023
Land
Freehold
Buildings
Leasehold
Buildings
Fishing
Vessels
Plant and
EquipmentTotal
$000$000$000$000$000$000
Cost
Balance at the beginning of the year2,25222,10866,821253,899150,317495,397
Additions 57 – 1,409 49,942 14,992 66,400
Disposals –– (2,569) (1) (1,283)(3,853)
Assets classified as held for sale––– (12,805) (1,332)(14,137)
Effect of movements in exchange rates–––– (63)(63)
Balance at the end of the year2,30922,10865,661291,035162,631543,744
Accumulated depreciation and
impairment
Balance at the beginning of the year–(7,354)(33,580)(156,662)(104,769)(302,365)
Depreciation– (630) (2,034) (15,636) (6,059)(24,359)
Impairment–––– (479)(479)
Assets classified as held for sale––– 6,441 963 7,404
Disposals –– 2,130 – 1,179 3,309
Balance at the end of the year– (7,984) (33,484) (165,857) (109,165) (316,490)
Net book value at 30 September 20232,30914,12432,177125,17853,466227,254
Commitments
The estimated capital expenditure for property, plant and equipment contracted for at reporting date but not provided is
$4.4m for the Group (2023: $22.4m).
Note 13 – Investments
The Group’s interest in equity-accounted investees comprises interests in those associates and joint ventures disclosed in
note 21.
Associates are those entities in which the Group has significant influence, but not control or joint control over the financial and
operating policies. A joint venture is an arrangement in which the Group has joint control, whereby the Group has rights to the
net assets of the arrangement rather than the rights to its assets and obligations for its liabilities.
Interests in associates and joint ventures are accounted for using the equity method. They are initially recognised at cost, which
includes transaction costs. Subsequent to initial recognition, the financial statements include the Group’s share of the profit or
loss and OCI of equity-accounted investees, until the date on which significant influence or joint control ceases.
Unrealised gains arising from transactions with equity-accounted investees are eliminated against the investment to the extent
of the Group’s interest in the investee. Unrealised losses are eliminated in the same way as unrealised gains, but only to the
extent there is no evidence of impairment.
The Group’s other investments comprise shareholdings in other companies which do not constitute controlling interests, nor does
the Group have significant influence over the investees. As these are not held for trading, the Group has elected these equity
instruments to be classified and measured at fair value through OCI.
Note 13 – Investments (continued)
20242023
Note$000$000
Equity accounted investees
(a) Summary financial information for equity-accounted
investees, not adjusted for the percentage ownership
held by the Group
Current assets 4,377 5,021
Non-current assets 6,146 6,136
Total assets 10,523 11,157
Current liabilities 718 795
Non-current liabilities 1,911 2,058
Total liabilities 2,629 2,853
Revenue 5,662 7,355
Expenses (5,890)(7,044)
(Loss)/profit (228)311
(b) Movements in the carrying value of
equity-accounted investees
Balance at the beginning of the year 4,279 3,834
Share of profit 139 250
Impairment of investment in Two Islands Co NZ Limited5 (2,956)–
Sale of investment in Two Islands Co NZ Limited (200)–
Dividends received from associates (383) (152)
Acquisition of shares in associate 278 347
Balance at 30 September 1,157 4,279
Other investments
Shares in other companies 104 104
1,261 4,383
Sale of investment in Two Islands
The Group sold its equity-accounted investment in Two Islands Co NZ Limited, including its subsidiary Two Islands Co Australia Pty
Limited, resulting in an impairment of $2.9m during the year. An advance to Two Islands Co NZ Limited of $0.2m including interest
was written off also. Refer to note 21.
Two Islands Co NZ Limited and its subsidiary are in the business of manufacturing and distributing dietary supplements in
New Zealand and Australia.
Note 14 – Intangible Assets
Purchased fishing quota is carried at cost less impairment losses. Quota and licences which are initially recognised on the
basis of previous permits, catch history or when purchased through business combinations are initially valued at fair value on
allocation. Fair value is determined by reference to Crown tender prices and market prices available close to the time of the
acquisition. This became the deemed cost upon the adoption of NZ IFRS.
Marine farm licences are recorded at cost or, when purchased through business combinations, are initially measured at fair value.
Marine farm licences and fishing quota have indefinite useful lives and are not amortised but are tested annually for impairment
at reporting date.
Fishing quota has no expiry date and is therefore deemed to have an indefinite useful life. Marine farm licences are deemed by
the Directors to have indefinite useful lives as it is highly probable that they are renewed, and the costs of renewal are expected
to be minimal.
Expenditure on research and development activities, undertaken with the prospect of gaining new scientific or technical
knowledge, is expensed as incurred. Expenditure on development activities, whereby research findings are applied to a plan
or a design for the production of new or substantially improved products or processed, is capitalised if the product or process
is commercially and technically feasible, and the Group has sufficient resources to complete development. Other development
expenditure is expensed as incurred.
55Annual Report FY24 | 54| Sanford Limited

Notes to the Financial Statements
for the year ended 30 September 2024
Note 14 – Intangible Assets (continued)
2024
Fishing
Quota
Marine
Farm
LicencesGoodwill
Intellectual
Property
Computer
SoftwareTotal
$000$000$000$000$000$000
Cost
Balance at the beginning of the year 387,090 102,616 4,375 3,660 10,598 508,339
Additions– 1,274 –– 223 1,497
Disposals – (366)– –– (366)
Effect of movements in exchange rates 2 – 23 – – 25
Balance at the end of the year 387,092 103,524 4,398 3,660 10,821 509,495
Accumulated amortisation
and impairment
Balance at the beginning
and end the of year (9,522) (1,244) (974) (2,867) (536) (15,143)
Amortisation– –– (732) (1,701) (2,433)
Impairment (374)– (1,458)–– (1,832)
Balance at the end of the year (9,896) (1,244) (2,432) (3,599) (2,237) (19,408)
Carrying amount at 30 September 2024 377,196 102,280 1,966 61 8,584 490,087
Impairment of goodwill
In FY24 the Group has impaired the goodwill balance of $1.4m associated with Enzaq, a mussel powder business acquired in 2017.
2023
Fishing
Quota
Marine
Farm
LicencesGoodwill
Intellectual
Property
Computer
SoftwareTotal
$000$000$000$000$000$000
Cost
Balance at the beginning of the year 387,100 102,654 4,481 3,660 8,887 506,782
Additions–––– 1,711 1,711
Assets classified as held for sale– (38)––– (38)
Effect of movements in exchange rates (10)– (106)–– (116)
Balance at the end of the year 387,090 102,616 4,375 3,660 10,598 508,339
Accumulated amortisation
and impairment
Balance at the beginning
and end of the year (9,333) (1,244) (974) (2,135)– (13,686)
Amortisation––– (732) (536) (1,268)
Impairment (189)–––– (189)
Balance at the end of the year (9,522) (1,244) (974) (2,867) (536) (15,143)
Carrying amount at 30 September 2023 377,568 101,372 3,401 793 10,062 493,196
Assets held for sale
Refer to note 20 on information regarding assets held for sale.
Note 14 – Intangible Assets (continued)
14.1 Market capitalisation
The Group’s market capitalisation has been below the carrying amount of net assets from September 2020 onwards with
an increasing gap over this time. At 30 September 2024 the Group’s market capitalisation was $353m (2023: $364m)
and the carrying value of its net assets was $706m (2023: $685m). Accounting standards consider this to be an indicator
of impairment. The Group does not believe the current share price provides an accurate reflection of the fair value of the net
assets, due to factors such as:
• Management do not consider that the share price factors in rising global seafood prices, continuing strong demand,
and the likelihood of profitability improving across the business.
• The likelihood that the market value of the Group’s New Zealand fishing quota (recognised within the wildcatch cash-
generating unit) materially exceeds its carrying value. In 2022 the sale of CRA2, CRA7 and CRA8 quota realised a
consideration of $52.7m whereas the carrying value was $8.3m. For 2024, management has obtained an updated
independent valuation of the Group’s remaining New Zealand fishing quota which shows headroom over the $378m
carrying value recorded in the financial statements, which is in excess of the market capitalisation shortfall.
Recently management obtained an updated independent valuation of Sanford as a whole, with the carrying amount of the
Group’s net assets’ value below the fair valuation range.
Management undertakes impairment testing in respect of the cash-generating units which contain the New Zealand fishing
quota and marine farm licences using the value-in-use methodology. This testing results in positive headroom between the
value of these cash-generating units and the carrying amount of their net assets, indicating that there is no impairment at the
cash-generating unit level.
14.2 Cash-generating units
An impairment loss is recognised whenever the carrying amount of an asset exceeds its recoverable amount, which is the greater
of its value in use and its fair value less costs to sell. If it is not possible to estimate the recoverable amount of the individual asset,
the Group determines the recoverable amount of the cash-generating unit (CGU) to which the asset belongs.
Impairment losses directly reduce the carrying amount of assets and are recognised in the income statement. For goodwill and
intangible assets that have indefinite lives, the recoverable amount is estimated at each reporting date.
The table below outlines the allocations of intangible assets with indefinite useful lives to CGUs:
2024
Fishing
Quota
Marine Farm
LicencesGoodwillTotal
$000$000$000$000
New Zealand Wildcatch 376,155 –– 376,155
New Zealand Aquaculture 846 102,280 – 103,126
Australia Seafood 195 – 1,966 2,161
377,196 102,280 1,966 481,442
2023
Fishing
Quota
Marine Farm
LicencesGoodwillTotal
$000$000$000$000
New Zealand Wildcatch 376,529 – – 376,529
New Zealand Aquaculture 846 101,372 1,458 103,676
Australia Seafood 193 – 1,943 2,136
377,568 101,372 3,401 482,341
57Annual Report FY24 | 56| Sanford Limited

Notes to the Financial Statements
for the year ended 30 September 2024
Note 14 – Intangible Assets (continued)
14.2 Cash-generating units (continued)
Wildcatch and Aquaculture – impairment testing and assumptions
Impairment testing and assumptions
Based on impairment testing undertaken in the current year, except for the impairment on the goodwill balance associated with
Enzaq, no further impairment is required for New Zealand fishing quota or marine farm licences given the recoverable amount of
both the New Zealand wildcatch and aquaculture CGUs exceed the carrying value of their net assets.
Impairment testing was performed on the applicable CGUs to determine whether fishing quota and marine farm licences were
impaired using a discounted cash flow model based on value in use. Post-tax discount rates of between 8.0% and 9.0% (2023:
7.8% and 8.8%) were applied; the midpoint being 8.5% (2023: 8.3%). Future cash flows were projected for 5 years and a terminal
growth rate of 2.25% (2023: 2.25%) was applied.
Key assumptions for earnings and capital expenditure are based on actual historical results and the 2025 budget approved by
the Board, and Sanford’s strategy. The 2025 budget assumption is largely based on earnings returning to levels evidenced in
2017 to 2019 as well as other strategic initiatives. The Aquaculture CGU assumes that for the FY25–FY29 (2023: FY24–FY28)
period the compound annual growth rate (CAGR) of earnings is 10.2% (2023: 10.8%) and for the equivalent period for the
New Zealand wildcatch CGU the CAGR of earnings is 24.8% (2023: 3.9%). The New Zealand Wildcatch CGU assumes positive
earnings growth associated with the sale of much of Sanford’s North Island inshore Annual Catch entitlement to Moana
New Zealand, which provides an annuity-like revenue stream to this CGU. Growth from expansionary capital items is excluded
from the assessment as required by NZ IAS 36. The recoverable amount of New Zealand wildcatch exceeds its carrying value
by $109m (2023: $190m) and aquaculture by $93m (2023: $88m).
Sensitivity analysis – impairment testing
The Group has conducted an analysis of the sensitivity of the impairment test to changes in key assumptions used to determine
the recoverable amounts for the applicable CGUs. The recoverable amounts in the New Zealand wildcatch and aquaculture
CGUs are not sensitive to reasonably possible changes in assumptions of the Group’s terminal growth and discount rates.
However, the recoverable amounts are sensitive to reasonably possible changes in assumptions of the Group’s earnings
growth expectations. For the aquaculture CGU, if the FY25 budget earnings assumption was assumed to have a CAGR of 1.2%
(2023: nil growth) through to FY29 (2023: FY28), then the carrying amount would approximately equal the recoverable amount.
For the New Zealand Wildcatch CGU earnings would have to fall to a CAGR of 18.4% (2023: 2.6%) over the modelled period for
the carrying amount to equal the recoverable amount.
14.3 Goodwill
Goodwill represents the excess of the consideration transferred over the fair value of the net identifiable assets of the acquired
business. Goodwill is carried at cost less accumulated impairment losses.
The consideration transferred in the acquisition is measured at fair value, as are the identifiable net assets acquired. Any goodwill
that arises is tested annually for impairment. Any gain on a bargain purchase is recognised in profit or loss immediately. Transaction
costs are expensed as incurred, except if related to the issue of debt or equity securities. The consideration transferred does
not include amounts related to the settlement of pre-existing relationships. Such amounts are generally recognised in the
income statement.
Sanford’s goodwill balance of $2.0m arises from the acquisition of Saltwater Seafoods in 2020, an Australian seafood trading
business. This balance is supported by expected future earnings.
Note 14 – Intangible Assets (continued)
14.4 Computer software
Software-as-a-Service (SaaS) arrangements are service contracts providing the Group with the right to access the cloud
provider’s application software over the contract period. As such the Group does not receive a software intangible asset at
the contract commencement date. For SaaS arrangements, the Group assesses if the contract will provide a resource that
it can ‘control’ to determine whether an intangible asset is present. If the Group cannot determine control of the software,
the arrangement is deemed a service contract and any implementation costs, including costs to configure or customise the
cloud provider’s application software, are recognised as operating expenses when incurred.
Where the SaaS arrangement supplier provides both configuration and customisation services, judgement has been applied
to determine whether each of these services are distinct or not from the underlying use of the SaaS application software.
If distinct, such costs are expensed as incurred when the service is provided. If not distinct, such costs are expensed over
the SaaS contract term.
In implementing SaaS arrangements, the Group has incurred customisation costs which creates additional functionality to a
cloud-based software. Management has determined that it has rights to the intellectual property and has owned the developed
software which meets the definition and recognition criteria for an intangible asset.
Cost incurred for the development of software that enhances or modifies, or creates additional functionality to an on-premise
software, that meets the definition and recognition criteria of intangible assets are recognised as intangible assets. These costs
are recognised as intangible software assets when they are available for use, and subsequently amortised over the useful life of
the software on a straight-line basis. The estimated useful life for computer software is between 3-10 years.
Note 15 – Trade and Other Payables
Trade and other payables
Trade and other payables are financial liabilities, classified and measured at amortised cost. As these are short term in nature
the carrying amount is considered to be a reasonable approximation of fair value.
Provisions
The Group recognises a provision when the Group has a present obligation – legal or constructive – as a result of a past event,
it is more likely than not that the resulting liability from the obligation will be required to be settled, and the amount required
to settle can be reliably estimated.
Employee entitlements
(i) Long-service leave
The Group’s net obligation in respect of long-service leave is the amount of future benefit that employees have earned in return
for their service in the current and prior periods. The obligation is calculated using an actuarial technique. Changes in long-service
leave provision are recognised in the income statement.
(ii) Short-term benefits
Short-term employee benefit obligations are measured on an undiscounted basis and are expensed as the related service
is provided.
20242023
$000$000
Current liabilities
Trade payables 15,149 29,226
Other payables and accruals 21,328 45,943
Employee entitlements 8,071 8,585
Restructuring provision 99 3,619
44,647 87,373
Non-current liabilities
Employee entitlements 1,260 1,358
1,260 1,358
In the 2023 disclosure for other payables and accruals is a provision for redundancy of $3.6m arising from the Group’s then intended
closure of the Auckland processing factory, which was part of the sale of Sanford’s North Island inshore catch rights and ancilliary
assets (refer to note 20). The provision was settled in October 2023.
59Annual Report FY24 | 58| Sanford Limited

Note 16 – Capital/Reserves and Earnings Per Share
(a) Translation reserve
This reserve comprises all foreign currency differences arising from the translation of the financial statements of foreign operations
as well as from the translation of liabilities that hedge the Group’s net investment in a foreign subsidiary.
(b) Share-based payments reserve
This reserve comprises the fair value of equity instruments granted under the long-term incentive plan.
(c) Cash flow hedge and cost of hedging reserve
The cash flow hedge reserve comprises the effective portion of changes in the fair value of derivative contracts for highly-probable
forecast transactions.
The cost of hedging reserve contains the cumulative net change in fair value on foreign currency options which are excluded from
the hedge designations of foreign currency risk.
(d) Share capital and earnings per share
Ordinary Shares
20242023
No. of SharesNo. of Shares
On issue at the beginning and end of the year93,626,73593,626,735
All issued shares are fully paid. The holders of ordinary shares are entitled to receive dividends as declared from time to time
and are entitled to one vote per share at meetings of the Company. All shares rank equally with regard to Sanford’s residual assets.
In respect of the Company’s shares that are held by the Group, all rights are suspended until those shares are reissued.
The calculation of basic earnings per share (EPS) at 30 September 2024 was based on the profit attributable to ordinary
shareholders of $19.7m (2023: $10.0m) and a weighted average number of ordinary shares outstanding of 93,506,137
(2023: 93,506,137). The EPS for 2024 is 21.1 cents (2023: EPS was 10.7 cents).
(e) Treasury shares and the long-term incentive scheme
In 2014, Sanford established a long-term incentive plan (the LTI plan) for the CEO role. This was subsequently updated with the
2021 LTI plan. The LTI plan is designed to improve the performance of the Group by incentivising and motivating the former CEO.
This involved the Group purchasing treasury shares pursuant to the terms of the LTI plan. The Group has not acquired any Sanford
Limited shares in 2024 for the purposes of the LTI plan (2023: no shares acquired). The total treasury shares held at 30 September
2024 was 120,598 shares (2023: 120,598 shares).
Note 17 – Dividends
20242023
$000$000
The following dividends were declared and paid by the Company
for the year ended 30 September:
– Final dividend in respect of the 2023 year was 6 cents per share
(2022: 10 cents per share) 5,610 9,351
– Interim dividend in respect of the 2024 half year was 5 cents per share
(2023 half year: 6 cents per share) 4,676 5,610
10,286 14,961
On 14 November 2024, the Board declared a final dividend for the year ended 30 September 2024 of 5.0 cents per share.
Notes to the Financial Statements
for the year ended 30 September 2024
Note 18 – Financial Instruments
Classification and measurement
Classification and measurement of financial assets
Financial assets are classified into three categories depending on their contractual cash flow characteristics and the Group’s
business model for managing the financial assets. These categories are:
• Amortised cost
• Fair value through profit or loss
• Fair value through OCI.
A financial asset which is a debt instrument is measured at amortised cost only if both the following conditions are met:
• It is held within a business model whose objective is to hold assets in order to collect contractual cash flows; and
• The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of
principal and interest.
However, the Group may choose at initial recognition to designate a debt instrument that meets the amortised cost criteria
as at fair value through profit or loss if doing so eliminates or significantly reduces an accounting mismatch.
For investments in equity instruments that are not held for trading nor managed on a fair value basis, the Group has elected
to measure these at fair value through OCI.
Derivative financial instruments which are not designated in an effective hedge relationship are classified as fair value through
profit or loss.
Classification and measurement of financial liabilities
Financial liabilities are classified as either amortised cost or fair value through profit or loss. The Group may choose at initial
recognition to designate a financial liability as at fair value through profit or loss if doing so eliminates or significantly reduces
an accounting mismatch. All financial liabilities of the Group are measured at amortised cost except for derivative financial
instruments which are measured at fair value. Changes in the fair value of derivative financial liabilities are recognised in profit
or loss except when the derivative instrument is designated in an effective hedge relationship.
Specific accounting policies for the Group’s financial assets and liabilities are described below.
Exposure to credit, interest rate, foreign currency, fuel price and liquidity risks arise in the normal course of the Group’s business.
Derivatives may be used as a means of reducing exposure to fluctuations in foreign exchange rates, interest rates and fuel prices.
While these instruments are subject to the risk of subsequent changes to market rates, such changes would generally be offset by
opposite effects on the items being hedged.
The Group is not exposed to substantial other market price risk arising from financial instruments.
Fair value measurement
The fair value of interest rate swaps is calculated as the present value of the estimated future cash flows using market interest
rates. The fair value of forward foreign exchange contracts is estimated by discounting the difference between the contractual
forward price and the current forward price for the residual maturity of the contract using market interest rates. The fair value of
foreign currency options is estimated using option valuation methods with reference to current spot rates and market volatility.
The fair value of fuel swaps is estimated using forward fuel prices at reporting date.
Fair value hierarchy
When measuring the fair value of an asset or a liability, the Group uses observable market data as far as possible. Fair values
are categorised into different levels in a fair value hierarchy based on the inputs used in the valuation techniques as follows:
Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities
Level 2: inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e. as
prices) or indirectly (i.e. derived from prices)
Level 3: inputs for the asset or liability that are not based on observable market data (unobservable inputs).
If the inputs used to measure the fair value of an asset or a liability fall into different levels of the fair value hierarchy, then the
fair value measurement is categorised in its entirety in the same level of the fair value hierarchy as the lowest level input that is
significant to the entire measurement.
61Annual Report FY24 | 60| Sanford Limited

Note 18 – Financial Instruments (continued)
(a) Credit risk
Credit risk, the risk of financial loss to the Group if a customer or counterparty to a financial instrument fails to meet its
contractual obligations, arises principally from the Group’s receivables from customers.
The Group does not generally require collateral in respect of trade and other receivables. Management has a credit policy
in place and the exposure to credit risk is monitored on an ongoing basis. Credit evaluations are performed on all customers
requiring credit over a certain amount. Reputable financial institutions (defined as having a minimum credit rating of A-)
are used for investing and cash-handling purposes.
Maximum exposure to credit risk
The carrying amount of financial assets represents the Group’s maximum credit exposure.
The Group has not renegotiated the terms of any financial assets which would result in the carrying amount no longer being past due
or avoid a possible past due status.
The Group’s maximum exposure to credit risk for trade and other receivables (excluding prepayments and statutory tax receivables)
by geographic regions is as follows:
20242023
$000$000
New Zealand34,51672,223
North America17,61916,098
Europe19,83315,611
Other9,3825,310
Australia3,9222,699
Japan911–
Trade and other receivables 86,183 111,941
The status of trade receivables at the reporting date is as follows:
Gross
Receivables
Allowance for
Doubtful Debts
Gross
Receivables
Allowance for
Doubtful Debts
2024202420232023
$000$000$000$000
Not past due 72,867 –75,714–
Past due 0 – 30 days 9,882 –23,297–
Past due 31 – 90 days 200 –5,241–
Past due 91 – 120 days 134 –916 (247)
Past due 121 – 365 days 438 (354) 199 (199)
83,521(354)105,367(446)
Impairment assessment – expected credit losses
The Group applies the simplified approach to providing for expected credit losses prescribed by NZ IFRS 9, which permits the
use of the lifetime expected loss provision for all trade receivables. The loss allowance provision on trade receivables that are
individually significant is determined by an evaluation of the exposures on a line-by-line basis. For trade receivables which are
not significant on an individual basis, collective impairment is assessed on a portfolio basis based on the number of days overdue,
and taking into account the historical loss experience in portfolios with a similar number of days overdue. The expected credit
losses incorporate forward looking information and relevant macroeconomic factors.
Note 18 – Financial Instruments (continued)
(b) Liquidity risk
Liquidity risk represents the Group’s ability to meet its contractual obligations. The Group evaluates its liquidity requirements
on a daily basis.
The Group has secured bank loans which contain debt covenants. A breach of covenant may require accelerated repayment
of the loans earlier than indicated in the loan contract.
The following table sets out the contractual and expected cash flows for all financial liabilities and derivatives:
2024
Statement of
Financial
Position
Contractual
Cash Out/
(In) Flows
6
months
or less
6–12
months
1–2
years
2–5
years
More
than 5
years
$000$000$000$000$000$000$000
Bank loans 200,000 252,846 5,976 6,009 176,746 64,115 –
Trade payables 15,149 15,149 15,149 ––––
Other payables 21,328 21,328 21,328 ––––
Total non-derivative liabilities 236,477 289,323 42,453 6,009 176,746 64,115 –
Forward exchange contracts (28,689) (29,275) (5,941) (7,371) (10,807) (5,156)–
Interest rate swaps (314) 570 1,022 27 (80) (447) 48
Fuel swaps 1,933 1,983 1,053 659 271 ––
Total derivative liabilities (assets) (27,070) (26,722) (3,866) (6,685) (10,616) (5,603) 48
2023
Statement of
Financial
Position
Contractual
Cash Out/
(In) Flows
6
months
or less
6–12
months
1–2
years
2–5
years
More
than 5
years
$000$000$000$000$000$000$000
Bank loans 145,000 172,740 4,812 4,812 9,599 153,517 –
Trade payables 29,226 29,226 29,226 – – – –
Other payables 45,943 45,943 45,943 – – – –
Bank overdraft and borrowings 58,000 60,159 1,855 58,304 – – –
Total non-derivative liabilities 278,169 308,068 81,836 63,116 9,599 153,517 –
Foreign currency options 300 833 833 – – – –
Forward exchange contracts (314) (489) 1,619 1,204 (1,176) (2,136)–
Interest rate swaps (7,161) (8,246) (1,468) (1,530) (2,471) (2,661) (116)
Fuel swaps (3,110) (3,177) (2,712) (214) (251)– –
Total derivative liabilities (assets) (10,285) (11,079) (1,728) (540) (3,898) (4,797) (116)
Facilities
On 28 March 2024 the working capital facilities expiring on 30 April 2024 were extended to beyond 12 months from the current
31 March 2024 reporting date. These now expire on 31 March 2026 and 30 April 2026 respectively.
The Group elected to early adopt the Amendment to NZ IAS 1: Presentation of Financial Statements, Classification of Liabilities as
Current or Non-current, effective 1 October 2023. All bank term loans including those drawn under the working capital facilities,
are therefore classified as non-current liabilities in the statement of financial position as at 31 March 2024. Refer to note 2 for
details on the Amendment.
On 28 April 2023 the Group restructured its loan portfolio such that the total banking facility limit was reduced from $270m
to $250m.
Notes to the Financial Statements
for the year ended 30 September 2024
63Annual Report FY24 | 62| Sanford Limited

Note 18 – Financial Instruments (continued)
(b) Liquidity risk (continued)
Bank loans and borrowings
Bank loans and borrowings are recognised initially at fair value, net of attributable transaction costs. Subsequent to initial
recognition, bank loans and borrowings are measured at amortised cost, applying the effective interest method.
Facilities, interest rate ranges, expiry dates and balances of bank loans for the Group are as follows:
2024
FacilityExpiry DateBalance
$000$000
Non-current liabilities
Syndicated and secured bank loans
4.5-year facility 40,000 November 2025 30,000
Working capital facilities 85,000 March 2026 – April 2026 85,000
3-to-5-year facilities 95,000 April 2026 55,000
5-year facility 30,000 April 2028 30,000
250,000 200,000
2023
FacilityExpiry DateBalance
$000$000
Current liabilities
Working capital facilities85,000April 202458,000
Non-current liabilities
Syndicated and secured bank loans
4.5-year facility40,000November 202540,000
3-to-5-year facilities95,000April 202675,000
5-year facility30,000April 202830,000
250,000 203,000
Interest rates
Interest rates on the above loans ranged from 5.62% – 6.65% (2023: 6.30% – 6.79%).
Security and covenants
All syndicated bank loans are secured by a general security interest over property and a mortgage over all quota shares.
All borrowings are subject to borrowing covenant arrangements, which include interest cover ratio, gearing ratio and ratios
of assets and EBITDA between Sanford and the Guaranteeing Group. The Group has complied with all covenants during the
period (September 2023: all covenants were complied with).

Notes to the Financial Statements
for the year ended 30 September 2024
Note 18 – Financial Instruments (continued)
(c) Market risk
Financial risk management and hedge accounting
Market risk is the risk that arises from changes in foreign exchange rates, interest rates and commodity (specifically fuel) prices.
Such changes will affect the Group’s earnings and/or the value of its holdings of financial instruments. These risks arise due to the
Group having financial instruments that would be impacted by changes in these market factors.
The Group enters into derivative contracts, being forward exchange contracts, foreign currency options and interest rate
swaps, to manage exposure to foreign currency and interest rate risks. The Group also enters into commodity swaps to manage
fuel price risk. Senior management is involved in the operation and oversight of risk management and derivative activities.
Regular reporting of activities is provided to the Board of Directors which provides the policy for the use of derivative instruments.
In accordance with its Treasury Policy, the Group does not hold or issue derivative financial instruments for trading purposes.
However, derivatives that do not qualify for hedge accounting are accounted for as held for trading and classified at fair value
through profit or loss.
The Group initially recognises derivatives at fair value when the Group becomes a party to the contractual provisions of the
instrument, and subsequently re-measures these at fair value at each balance date. All derivatives are classified as level 2
on the fair value hierarchy explained above. The resulting fair value gain or loss on re-measurement is recognised
in profit or loss immediately, unless the derivative is designated and effective as a hedging instrument, in which case the
timing of recognition in profit or loss depends on the nature of the designated hedge relationship.
Changes in the fair value of the derivative hedging instrument designated as a cash flow hedge are recognised directly in other
comprehensive income (OCI) to the extent that the hedge is effective. To the extent that the hedge is ineffective, changes in fair
value are recognised in the income statement. For cash flow hedges of financial items (for example forecast sales), the changes
in fair value deferred in OCI are transferred to the profit or loss when the hedged item affects the profit or loss.
The Group designates only the intrinsic value of options into hedging relationships. The time value of the options is treated as a
cost of hedging. Changes in fair value of the time value component of the option contract are deferred in OCI over the term of the
hedge. For transaction-related hedged items the cumulative change in fair value deferred in OCI is recognised in profit or loss at
the same time as the hedged item. If the hedged item first gives rise to the recognition of a non-financial asset or a non-financial
liability, the amount in equity is removed and recorded as part of the initial carrying amount of the hedged item. If the hedged
item gives rise to the recognition of a financial asset or liability, then the amount in equity is recognised in profit or loss at the
same time as the hedged item is recognised in profit or loss.
If the hedging instrument no longer meets the criteria for hedge accounting, expires or is sold, terminated or exercised,
then hedge accounting is discontinued prospectively. The cumulative gain or loss previously recognised in OCI remains
there until the forecast transaction occurs, or is immediately recognised in profit or loss if the transaction
is no longer expected to occur.
Fair value measurement
The fair value of interest rate swaps is calculated as the present value of the estimated future cash flows using market interest
rates. The fair value of forward foreign exchange rate contracts is estimated by discounting the difference between the
contractual forward price and the current forward price for the residual maturity of the contract using market interest rates.
The fair value of foreign currency options is estimated using option valuation methods with reference to current spot rates
and market volatility. The fair value of fuel contracts is estimated using forward fuel prices at reporting date.
Interest rate risk
The Group is exposed to interest rate risk through its cash balances and short-term and long-term borrowings. The Group
adopts a risk management strategy of managing the exposure to interest rate risk through a proportion of fixed and floating
rate borrowings. To meet this strategy the Group uses interest rate swaps to fix between 25% and 75% of the floating rate
exposure on long-term borrowings in line with its Board-approved Treasury Policy. In the current period, the Group designated
the highly-probable forecast transactions and the interest rate swap contracts into cash flow hedge relationships.
Interest rate swap contracts are recognised within derivative financial instruments in the statement of financial position
as at reporting date. The fair value gains and losses on these derivatives were recognised in OCI and transferred to profit or
loss when the underlying transactions affected the profit or loss within finance expenses in the income statement. The amounts
designated as the hedged item in qualifying cash flow hedges mirror the amounts designated as hedging instruments as set out
below; therefore, the Group has established a 1:1 hedge ratio.
Hedge ineffectiveness is only recognised for accounting purposes if it results in movements in the value of the hedge instrument
in excess of those on the hedged item. The source of any ineffectiveness would be largely due to credit valuation adjustments
and timing of cash flows. No ineffectiveness arose on cash flow hedges of interest rate risk during the year (2023: none).
65Annual Report FY24 | 64| Sanford Limited