2024 Annual Results Announcement

Scales Corporation Limited
Head Office: 52 Cashel Street | Christchurch 8013 | New Zealand
Postal: PO Box 1590 | Christchurch 8140 | New Zealand
Phone: +64 3 379 7720
scalescorporation.co.nz



NZX & Media Release

26 February 2025

EXCELLENT FINANCIAL PERFORMANCE WHILST DELIVERING ON GROWTH STRATEGY

Highlights – 12 months to 31 December 2024

Diversified agribusiness group Scales Corporation Limited (NZX:SCL) today reported its FY2024 full
year results. Reported NPAT
1
Attributable to Shareholders was $30.7 million (FY2023: $5.2 million).
Reported basic earnings per share for FY2024 were 21.6 cents per share (FY2023: 3.7 cents per
share).

Underlying
2
NPAT Attributable to Shareholders of $34.3 million (FY2023: $19.0 million) was towards
the top end of the FY2024 guidance range. Underlying earnings per share for FY2024 were 24.1
cents per share (FY2023: 13.4 cents per share).

• Group FY2024 financial results:
o Underlying NPAT of $53.6million, up 39 per cent (FY2023: $38.4 million)
o Reported NPAT of $50.0 million, up 103 per cent (FY2023: $24.7 million)
o Underlying EBITDA
3
of $91.7 million, up 36 per cent (FY2023: $67.5 million)
o Revenue of $584.6 million, up 3 per cent (FY2023: $565.4 million)

• Divisional summary:
o The Global Proteins division produced a strong result during a period of expansion
o Horticulture’s performance is returning to more normal levels
o The Logistics division generated a record result supported by higher ocean and air freight
volumes

Mike Petersen, Chair of Scales Corporation, commented: “We are proud of the hard work invested by
each of our teams, which has produced record Group Underlying EBITDA and Underlying NPAT as
well as Underlying EBITDA growth across all operating divisions.”

1
Net Profit After Tax
2
Underlying results exclude some New Zealand International Financial Reporting Standards (NZ IFRS) non-cash and other
adjustments. In line with current market practice, “Underlying” includes the effects of NZ IFRS 16 Leases. A reconciliation
between Net Profit and Underlying Net Profit, EBITDA and Underlying EBITDA is provided in Appendix A of our annual results
presentation pack.
3
Earnings Before Interest, Tax, Depreciation and Amortisation

2




“The Group made admirable progress on its growth strategy, executing several M&A transactions
within the Horticulture and Global Proteins divisions during 2024. The net impact of these
transactions on the FY2024 financial result was negligible although we expect these transactions to
positively impact earnings in future periods.”

Andy Borland, Managing Director of Scales Corporation, stated: “Our results are, as ever, a tribute to
the skill and effort of our Scales’ teams. They continued to deliver outstanding results in a period of
change.”

“Our acquisition of orchards from Bostock Group and sale of Blyth and Te Papa orchards to
Craigmore Sustainables will help achieve our strategy to focus on the sale of Premium apple varieties
to Asia and the Middle East markets. We experienced excellent growth in the volumes of Dazzle
TM

during the 2024 season and the Bostock orchards will substantially accelerate our strategy of
increasing Dazzle
TM
volumes. We were also delighted to welcome Profruit into the Group as a wholly-
owned subsidiary by acquiring the 50 per cent owned by Bostock Group.”

“The increased investment in Meateor Australia from 33 per cent to 50 per cent was a strategically
important transaction, with the business operating profitably during FY2024.”

“Scales continues to have a strong financial position, with net cash of $12.5 million as at 31 December
2024.”

During 2024, Scales paid dividends of 8.5 cents per share
4
. Dividend payments for FY2024 are likely
to be made in two instalments, with the first instalment of 7.25 cents per share having been paid on 17
January 2025. A second instalment will be reviewed and advised on in early May 2025.

Divisions

Global Proteins
Underlying EBITDA for Global Proteins was $55.4 million (FY2023: $54.5 million), an increase of 2 per
cent.

Mr Borland noted “All business within the Global Proteins division delivered a solid result, with
Meateor Australia and Esro Petfood continuing to progress through their start-up phases. Esro is
expected to join Meateor Australia in trading profitably by the end of FY2025.”


4
Scales declared the following dividends in respect of FY2023, which were paid in 2024:
• an interim dividend of 4.25 cents per share on 8 December 2023, paid on 18 January 2024
• a final dividend of 4.25 cents per share on 8 May 2024, paid on 12 July 2024

3



“There was strong volume growth in the New Zealand and edible proteins businesses, and a
consistent performance by Shelby whilst it sets up for the next stage of its growth. The division
continues to progress key projects in order to reach its growth target.”

Horticulture
The Horticulture division produced an Underlying FY2024 EBITDA of $37.7 million (FY2023:
$14.8 million), an increase of 154 per cent.

Mr Borland commented “Horticulture’s performance is returning to more normal levels with improved
apple volumes and average prices. The division also benefitted from the increased ownership of
Profruit, which produced an exceptional FY2024 result.”

“Mr Apple’s own-grown export volume of 3,033k TCEs
5
was 11 per cent up on last year (FY2023:
2,733k TCEs), with continued growth in our strategically important Asia and Middle East markets.
Premium volumes accounted for approximately 72 per cent of total export sale volumes, with
increases across all Premium varieties including significant growth in Dazzle
TM
, Posy
TM
and NZ
Queen.”

“Mr Apple has commenced building the foundations to capitalise on future benefits of the Bostock
transaction with a continued focus on Premium apple varieties. We now estimate that Premium apple
varieties will account for around 75 per cent of export volumes by 2027.”

Logistics
Logistics delivered a record Underlying EBITDA of $6.9 million (FY2023: $4.3 million), an increase of
61 per cent.

Mr Borland remarked “Logistics benefitted from an increase in both ocean freight and air freight
volumes, particularly for external customers. Its new Auckland warehouse and chiller facility
processed a strong level of air freight volumes.”

“Scales Logistics continues to contribute strategically to the Group whilst also developing its external
customer base.”

Outlook

Mr Petersen observed: “Having produced an excellent financial performance in FY2024 whilst
delivering on our growth strategy, we are looking forward to building on the opportunities available to
the Group.”


5
Tray carton equivalent, a measure of apple and pear weight, defined as 18.6kg packed weight which equates to 18.0kg sale
weight.

4



“A continuation of FY2024’s strong financial performance is anticipated within Global Proteins. The
division continues to progress opportunities and projects, and these are expected to contribute
positively in future years.”

“Picking and packing has commenced at Mr Apple for the 2025 apple season with initial current crop
indications being positive. A crop of ~3.4 million TCEs is forecast for Mr Apple, which includes a
higher proportion of Premium varieties due to the Bostock and Craigmore transactions. Positive
pricing is also forecast.”

“Consequently, the Board is pleased to confirm the FY2025 guidance of Underlying Net Profit after
Tax Attributable to Shareholders of between $35.0 million to $40.0 million, implying an Underlying Net
Profit after Tax range of $53.0 million to $60.0 million and an Underlying EBITDA range of $92.0
million to $101.0 million.”

Mr Petersen also noted “On behalf of the Scales’ Directors and Shareholders, we would like to
express our gratitude to all Scales’ team members for their effort. They are the mainstay of the Group
and we are extremely proud of their hard-working culture.”

Contact
Andy Borland, Managing Director, Scales Corporation Limited, Mob: 021 975 999,
email: andy.borland@scalescorporation.co.nz

About Scales Corporation
Scales Corporation is a diversified agribusiness group. It comprises three operating divisions: Global
Proteins, Horticulture and Logistics. The company’s diverse spread of activities gives Scales broad
exposure to the agribusiness sector. Scales Corporation was founded in 1897 as a shipping business
by George Herbert Scales. Today it has operations across New Zealand, Australia, United States and
Europe. Find out more at www.scalescorporation.co.nz.

---

Bringing Nutrition
to the World
Annual Results Presentation
For the Year Ended 31 December 2024
26 February 2025
Scales Corporation Limited

2Scales Corporation Limited – 2024 Full Year Results
Agenda
01. FY24 Results
Summary
Group Performance
Divisional Performance
Capital Management
Sustainability
02. FY25 Outlook
03. Appendices
NZ IFRS Reconciliation
Disclaimer
Shelby’s new toll processing facility

01.
FY24
Results
Mr Apple train advertising in Taipei metro

Shelby’s new in-plant collection and cooling system
Summary
Logistics’ new Auckland warehouse and chiller facility

5Scales Corporation Limited – 2024 Full Year Results
Excellent financial performance whilst delivering on our growth strategy
Delivered record results:
Underlying* EBITDA of $91.7m (2023: $67.5m)
Underlying NPAT of $53.6m (2023: $38.4m)
Underlying result towards the top end of FY24 Guidance range:
Underlying NPAT Attributable to Shareholders of $34.3m
(2023: $19.0m), up 81%
Reported NPAT Attributable to Shareholders of $30.7m
(2023: $5.2m), up 487%
FY24 Summary
Strong result by Global Proteins:
Meateor Australia and Esro Petfood continue to progress
through their start-up phase
Strong performance by other divisional businesses
Horticulture performance returning to more normal levels:
Improved apple volumes and average prices
Benefitted from the increased ownership of Profruit with an
exceptional FY24 performance
Building the foundations to capitalise on future benefits of the
Bostock transaction
Record Logistics result supported by higher ocean and air freight
volumes
* Underlying Results exclude some New Zealand International Financial Report Standards (NZ IFRS) non-cash and other adjustments. The Board and management believe that Underlying Results more accurately demonstrate the operational performance of the Group.
Underlying NPAT and Underlying EBITDA are shown before the deduction of share of Non-Controlling Interests. Note that our definition of “Underlying” includes the effects of NZ IFRS 16 Leases in line with current market practice. All Underlying result numbers, including
comparatives, are inclusive of NZ IFRS 16 effects. A reconciliation of Underlying to Reported measures is provided in Appendix A

6Scales Corporation Limited – 2024 Full Year Results
$91.7m
Underlying EBITDA
(2023: $67.5m)
152,149 MT
petfood ingredients sold
1
(2023: 137,477 MT)
By the Numbers
30,068
TEU
2
equivalents managed
(2023: 26,010)
$584.6m
revenue
(2023: $565.4m)
14.5%
ROCE
4
(2023: 10.8%)
8.5 cents
dividends per share paid
(2023: 19.0 cents)
3,033,000
TCEs of own-grown
apples exported
3
(2023: 2,733,000)
$12.5m
net cash
(2023: $12.0m)
1.Includes 100% of petfood ingredient volumes from relevant businesses; i.e. total petfood ingredient volumes controlled directly and indirectly by Global Proteins
2.TEU is a Twenty-foot Equivalent Unit is a unit of cargo capacity to describe container volumes
3.TCE is a Tray Carton Equivalent, a measure of apple and pear weight, defined as 18.6kg packed weight which equates to 18.0kg sale weight. Includes own grown and external grower volumes including those volumes exported by Fern Ridge Fresh
4.Return on Capital Employed, calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as non-current assets plus working capital (excluding cash, overdrafts and borrowings, NZ IFRS 16 right-of-use asset and lease liability, dividends
declared, derivative assets / liabilities and employee loans)

Group
Performance
The ex-Bostock Riverslea Dazzle
TM
orchard

8Scales Corporation Limited – 2024 Full Year Results
Revenue
$m20242023
% chg.
1
20242023
% chg.
1
20242023
% chg.
1
20242023
% chg.
1
Underlying (excluding NZ IFRS 16)34.819.281%54.138.640%79.455.942%584.6565.43%
NZ IFRS 16 Leases(0.5)(0.1)(0.5)(0.1)12.311.7 - -
NZ IFRS 16 Leases - renewal reassessment
2
- (0.1) - (0.1) - (0.2) - -
Underlying (including NZ IFRS 16)34.319.081%53.638.440%91.767.536%584.6565.43%
NZ IFRS & other adjustments:
Impairment of non-current assets and goodwill(1.8)(10.9)(1.8)(10.9)(2.5)(11.9) - -
Other NZ IFRS adjustments
3
(1.8)(2.8)(1.8)(2.8)(1.1)(2.0) - -
Reported
4
30.75.2487%50.024.7103%88.153.764%584.6565.43%
Notes:
1. %'s are calculated based on non-rounded figures, figures may not sum due to rounding
2. Reflects a reset to the NZ IFRS 16 Leases calculation for Mr Apple
3. Includes a change in the gross liability on put options of $2.5m in 2024 (2023: $4.1m)
4. A full reconciliation between Underlying and Reported earnings is provided in Appendix A
NPAT Attributable to
ShareholdersNPATEBITDA
Group Financial Performance
Delivering on our growth strategies

9Scales Corporation Limited – 2024 Full Year Results
Trends in Group Financial Performance
Underlying NPAT
Attributable to Shareholders
Underlying EBITDARevenue

10Scales Corporation Limited – 2024 Full Year Results
Strong result by all Global
Proteins businesses, with
Meateor Australia and Esro
Petfood continuing their start-
up phases
Horticulture performance returning to
more normal levels
More consistent fruit quality and
recovering global markets resulted in
increased volumes and higher
average prices
Strong Logistics result
supported by higher ocean
and air freight volumes
Divisional Overview
Underlying EBITDA growth across all operating divisions

11Scales Corporation Limited – 2024 Full Year Results
% chg.
$m1H242H242024Margin1H232H232023Margin2024 v 2023
Global Proteins29.625.855.420.7%30.124.454.518.3%2%
Horticulture30.07.737.715.1%11.43.414.87.1%154%
Logistics3.83.16.97.0%2.71.64.34.6%61%
Corporate(2.9)(5.3)(8.2)N/A(2.7)(3.4)(6.1)N/A34%
Underlying EBITDA60.531.291.715.7%41.526.167.511.9%36%
Underlying NPAT38.415.253.69.2%24.813.638.46.8%40%
Underlying NPAT
Attributable to Shareholders28.55.834.35.9%14.54.519.03.4%81%
Notes:
1. Prepared on an Underlying basis. A reconciliation to Reported earnings is provided in Appendix A.
2. %'s are calculated based on non-rounded figures, figures may not sum due to rounding.
3. NZ IAS 41 Agriculture requires unsold agricultural produce to be measured at fair value less costs to sell meaning the expected
profit on unsold fruit is recognised in the interim result, giving rise to seasonality in profitability as shown above.
Divisional Performance

12Scales Corporation Limited – 2024 Full Year Results
Trends in Divisional Underlying EBITDA Performance
Global ProteinsHorticultureLogistics

13Scales Corporation Limited – 2024 Full Year Results
$m
2024
2023
Net working capital
34.5
45.5
Non-current assets
435.0
402.0
Capital employed
469.5
447.5
Non-current & other liabilities
(100.5)
(74.5)
Net cash
12.5
12.0
Total equity
381.5
384.9
A continued strong financial position
Net cash in line with prior year, whilst executing on growth transactions
Balance Sheet
Net Cash Reconciliation ($m)

Divisional
Performance
Inside Logistics’ new Auckland facility

15Scales Corporation Limited – 2024 Full Year Results
Acquisition of ~240ha of planted orchards from Bostock Group
Acquisition of 50% of Profruit from Bostock Group
Sale of ~186ha of planted orchards to a fund managed by Craigmore Sustainables
Net cost of $13.5m for these transactions
Net increase of ~54ha:
Noting that the Blyth orchard will be leased back to Mr Apple until the end
of the 2027 season (~98ha)
High concentration of Dazzle
TM
plantings (~110ha) on acquired orchards
Profruit now wholly-owned
FY24 M&A Summary
Horticulture

16Scales Corporation Limited – 2024 Full Year Results
Increased investment in Meateor Australia from 33% to 50%
A strategically important transaction
Total investment is now AUD$11.5m
FY24 M&A Summary (cont.)
Global Proteins
The net impact of all transactions on the 2024 financial result was negligible

17Scales Corporation Limited – 2024 Full Year Results
$m
2024
2023
% change
Revenue
1
266.8
298.5
-11%
Underlying EBITDA
55.4
54.5
2%
Underlying EBIT
53.6
53.7
0%
MT
2024
2023
% change
Petfood Ingredients Volume Sold
152,149
137,477
11%
Edible Proteins Volume Sold
109,742
85,900
28%
1 Excludes revenue from Meateor NZ, Meateor Australia, Esro Petfood and Fayman
2 2022 edible protein volumes are for a 2 month period
3 2023 petfood ingredient volumes exclude those sold at Meateor Australia and Esro Petfood, both operational by 4Q23, due to low volumes
4 2024 petfood ingredient volumes include those sold at all Global Proteins’ businesses but excludes inter-company sales (inter-company sales not
excluded in prior years due to immaterial volumes)
Underlying EBITDA ($m)
Volumes Sold (MT 000s)
Financial Performance
KPIs
Global Proteins – Financial Result
Generating earnings and volume growth
234

18Scales Corporation Limited – 2024 Full Year Results
Consistent performance by Shelby whilst setting up for the next stage of growth
Strong volume growth in New Zealand and the edible proteins business
Meateor Australia and Esro Petfood continue to progress through their respective
start-up phases:
Strong volume growth in both businesses
Meateor Australia operating profitably during FY24 with Esro moving into
profitability by the end of FY25
Global Proteins – Financial Result (cont.)
Strong result during period of expansion

19Scales Corporation Limited – 2024 Full Year Results
Continued positive movement in product mix towards beef
Consolidated gains in margin improvements
Increased volume contribution during the start-up phase
for Meateor Australia and Esro Petfood in 2024 impacted
overall margin
Global Proteins – Margin Performance
Maintaining revenue and margins per kg
Petfood Ingredients Revenue and Underlying EBITDA / KG*
* Margins calculated above may differ slightly from previously reported numbers due to adjustments made to reflect the true operational performance of the petfood ingredients businesses

20Scales Corporation Limited – 2024 Full Year Results
Projects nearing completion
New toll processing plant in the United States:
Commissioned Q4 2024
New processing facility in the Netherlands:
Commissioning anticipated Q1 2025
Blending project in the United States:
Customer audits and specifications complete with commercial
loads being delivered
New in-plant collection and cooling system in the United States:
Plant fully operational in FY24
Meateor Australia:
Achieved increases in volumes and yields and moved into
profitability during FY24
Global Proteins – Update on Current Initiatives
9 key projects across New Zealand, Australia, United States and Europe underpin our growth target
Other ongoing projects
Signed a contract for a second in-plant collection and cooling
system in the United States:
Expected to be operational in FY26
Scaling up fish and poultry presence in the United States
Undertaking a feasibility study for a second European site
Assessing options for additional capacity in New Zealand

21Scales Corporation Limited – 2024 Full Year Results
$m
2024
2023
% c hange
Revenue
248.9
209.9
19%
Underlying EBITDA
37.7
14.8
154%
Underlying EBIT
18.1
(2.9)
-721%
Underlying EBITDA ($m)
Financial Performance
Horticulture – Financial Result
Horticulture performance returning to more normal levels
Improved apple volumes, quality and average prices
Benefitting from Mr Apple’s vertically integrated business model, increased focus on Premium varieties and overall variety mix
Exceptional performance by Profruit underpinned by increased processed and exported volumes

22Scales Corporation Limited – 2024 Full Year Results
Exp ort Volumes (TCE 0 0 0 s)
2024
2023
% c hange
Mr Apple own-grown volumes
3,033
2,733
11%
External grower volumes*
1,094
1,187
-8%
Total volumes exp orted
4 ,1 2 6
3 ,9 2 0
5%
Profruit Volume (0 0 0 L)
Juice Concentrate Sold
7,785
5,783
35%
Volumes
Horticulture – Volumes
Pleasing increase in volumes
11% increase in Mr Apple total own-grown export volumes:
Helped by promotions and customer support in key markets
Premium volumes accounted for ~72% of total export sale volumes:
Increases across all premium varieties, with significant growth in
Dazzle
TM
, Posy
TM
and NZ Queen
Continued growth in our strategically important Asia and Middle East
markets
Strong demand and increased supply contributed to a record volume of
juice concentrate sold by Profruit
* External grower volumes comprise external grower volumes handled by Mr Apple and Fern Ridge Fresh

23Scales Corporation Limited – 2024 Full Year Results
Movement in Premium Volumes (TCE 000s)Mr Apple Own Export Volumes (TCE 000s)
Horticulture – Volumes (cont.)
Continued focus on Premium apple varieties

24Scales Corporation Limited – 2024 Full Year Results
It is estimated that Premium varieties will account for around 75% of export volumes by 2027 as a result of the acquisition of
Bostock orchards, together with Mr Apple’s ongoing orchard redevelopment programme
Mr Apple Own Export Volumes – Actual / Forecast (TCE 000s)
Horticulture – Forecast Volumes
Continuing the growth of Premium varieties

25Scales Corporation Limited – 2024 Full Year Results
Ap p le Prices b y Variety (N ZD / TCE, FOB)
2024
2023
% c hange
Premium Varieties
45.6
44.1
3%
Traditional Varieties
37.6
33.5
12%
Weig hted Averag e all Ap p les
4 3 . 4
4 0 . 3
8%
FX Rates
2024
2023
% c hange
NZD:USD
0.63
0.65
-3%
NZD:EUR
0.54
0.55
-2%
NZD:GBP
0.48
0.49
-2%
NZD:CAD
0.85
0.84
1%
Apple Prices and Exchange Rates
Horticulture – Pricing
Increased Premium and Traditional pricing
Price growth aided by positive market sentiment, improved fruit
quality and favourable exchange rates
Assisted by in-market support and promotion activities across
the Asia & Middle East region to further build the Mr Apple,
Dazzle
TM
and Posy
TM
brands
Continued focus on Premium varieties, aided by the recent
acquisition of additional Dazzle
TM
orchards

26Scales Corporation Limited – 2024 Full Year Results
Horticulture –Marketing
Influencer in VietnamTaipei Dragons sponsorship by Dazzle
TM
Zoe Hobbs, ambassador for Dazzle
TM
A variety of brand activity and marketing in China and other key Asia markets
Retail sampling programmes to communicate our brand story direct
to consumers
Point of sale materials and branded packaging to achieve premium
retail prices
Social media presence on all major platforms in each key market
In-market events and sponsorships to engage our target market
Partnership with Olympian Zoe Hobbs as Mr Apple ambassador for
Dazzle
TM
apples

27Scales Corporation Limited – 2024 Full Year Results
$m
2024
2023
% change
Revenue
98.8
92.6
7%
Underlying EBITDA
6.9
4.3
61%
Underlying EBIT
5.9
3.6
65%
Volumes
2024
2023
% change
Ocean Freight Volume (TEUs)
30,068
26,010
16%
Airfreight Volume (tonnes)
7,615
4,464
71%
Underlying EBITDA ($m)
Financial Performance and KPIs
Logistics – Performance and Update
Record Logistics result
Increase in both ocean freight and air freight volumes, particularly for external customers:
New Auckland warehouse and chiller facility processed strong level of air freight volumes
Air freight volumes also positively impacted by a one-off customer project

Capital
Management
Inside Shelby’s new toll processing facility

29Scales Corporation Limited – 2024 Full Year Results
Capital Expenditure ($m)
ROCE and Capital Expenditure
Investing in line with divisional strategies
Exceeded target Group ROCE:
Excellent returns generated by Global Proteins and Logistics
Horticulture on pathway to improvement
Considerable investment into margin improvement projects at Mr Apple
Other material capital expenditure related to capital works at Shelby for the in-plant
collection and cooling system and sustainability improvements
ROCE
20242023
Global Proteins45.3%46.8%
Horticulture5.6%-1.0%
Logistics54.1%39.4%
Group14.5%10.8%
Target12.5%12.5%
Maintenance 20242023
Global Proteins1.62.6
Horticulture4.42.3
Logistics0.90.2
Other0.00.1
7 . 05 . 3
Margin Improvement 20242023
Horticulture7.00.9
7 . 00 . 9
Growth 20242023
Global Proteins4.13.5
Horticulture - 0.2
4 . 13 . 7
Cyclone 20242023
Horticulture1.17.2
1 . 17 . 2
Total Capital Expenditure19.017.1

Sustainability
Riverslea Dazzle
TM
orchard at sunrise

31Scales Corporation Limited – 2024 Full Year Results
Governance
Prepared our 2nd Climate Related Disclosure report, which will be published in April 2025
People
Appointed 2 new roles to the Group, Chief Risk Officer and Global Safety Officer, both with a strong focus on Sustainability initiatives across the
3 divisions
On target with Mr Apple’s 5-year people strategy through leadership courses, succession and leadership planning
Mr Apple working with the Fijian Government to employ 15 RSE workers from Kia Island to help rebuild the community after it was destroyed by a
category 5 cyclone
Environment
Shelby has commissioned a new wastewater plant at Amarillo, improving environmental and health and safety outcomes
Following Cyclone Gabrielle, Mr Apple has re-established the regenerative trial at Kinross that was lost to the storm and has introduced a second site at
Blyth orchard, with the first results forthcoming in the 2025 harvest
Sustainability Update
Progressing our Sustainability goals

02.
FY25
Outlook
Riverslea Dazzle
TM
orchard

33Scales Corporation Limited – 2024 Full Year Results
Group
Directors confirm the previously advised Guidance range of Underlying Net Profit after Tax Attributable to Shareholders of between
$35.0 million to $40.0 million, implying:
An Underlying Net Profit after Tax range of between $53.0 million and $60.0 million
An Underlying EBITDA range of between $92.0 million and $101.0 million
Some geopolitical uncertainty is expected to remain through 2025
In providing this Guidance, Directors note the following comments regarding each of the divisions
Global Proteins
Continuation of 2024’s strong financial performance is anticipated:
Meateor Australia and Esro Petfood continue to progress through their respective start-up phases with Meateor Australia operating profitably
during FY24 and Esro Petfood expected to move into profitability by the end of FY25
Opportunities and projects continue to be progressed, which are expected to contribute positively in future years
FY25 Outlook
Group and Global Proteins update

34Scales Corporation Limited – 2024 Full Year Results
Horticulture
Picking and packing has commenced for the 2025 season, with initial crop indications being positive
A crop of ~3.4 million TCEs is forecast for Mr Apple, which includes a higher proportion of Premium varieties as a result of the Bostock and
Craigmore transactions. This forecast volume also includes the impact of orchard redevelopment and the relinquishment of a small number of
leases of underperforming orchards during the year
Positive pricing is also forecast, impacted by several factors including the improving variety mix, larger apple size and favourable exchange rates
Demand is positive within Profruit
Logistics
Logistics is expected to continue to perform well and to continue to provide a valuable service to both internal and external customers:
FY25 Outlook (cont.)
Horticulture and Logistics update

35Scales Corporation Limited – 2024 Full Year Results
FY24 dividend payments likely to be made in 2 instalments:
The first instalment, of 7.25 cps, was paid on 17 January 2025
A second instalment will be reviewed and advised on in early May 2025
It is expected that total dividends will be split approximately evenly between interim and final, and to be between 50% and 75% of Underlying Net
Profit After Tax Attributable to Shareholders
It is noted that, due to the increasingly offshore nature of the Group’s earnings, it is likely that dividends after FY24 will be partially, rather than
fully, imputed
FY25 Outlook (cont.)
Dividends

03.
Appendices
Shelby’s new toll processing facility

Appendix A
Inside Logistics’ new Auckland facility

38Scales Corporation Limited – 2024 Full Year Results
Group
Global Proteins
Horticulture
Logistics
Corporate and eliminations
$m
2024
2023
2024
2023
2024
2023
2024
2023
2024
2023
Underlying / Reported Revenue
584.6
565.4
266.8
298.5
248.9
209.9
98.8
92.6
(29.8)
(35.7)
EBITDA Reconciliation
Underlying EBITDA (excluding NZ IFRS 16)
79.4
55.9
55.2
54.4
26.8
4.2
5.7
3.6
(8.4)
(6.2)
NZ IFRS 16
Leases
12.3
11.7
0.1
0.1
10.9
10.8
1.2
0.7
0.2
0.1
NZ IFRS 16
Leases
- renewal reassessment
-
(0.2)
-
-
-
(0.2)
-
-
-
-
Underlying EBITDA (including NZ IFRS 16)
91.7
67.5
55.4
54.5
37.7
14.8
6.9
4.3
(8.2)
(6.1)
Other adjustments:
(Impairment) of non-current assets
(2.5)
(3.4)
-
-
(2.5)
(3.4)
-
-
-
-
Impairment of goodwill
-
(8.5)
-
-
-
(8.5)
-
-
-
-
Cyclone Gabrielle - net costs and proceeds
0.2
0.9
-
-
0.2
0.9
-
-
-
-
Gain on sale of Blyth & Te Papa orchards
4.9
-
-
-
4.9
-
-
-
-
-
Equity settled employee benefits
(0.7)
(0.5)
-
-
-
-
-
-
(0.7)
(0.5)
NZ IFRS 16
Leases
- renewal reassessment
-
0.2
-
-
-
0.2
-
-
-
-
Fayman acquisition entries
(1.6)
1.2
(1.6)
1.2
-
-
-
-
-
-
Profruit acquisition entries
(0.8)
-
-
-
(0.8)
-
-
-
-
-
Equity accounting losses not recognised
1.8
0.7
1.8
0.7
-
-
-
-
-
-
Change in fair value gain on apple inventory
(1.1)
0.5
-
-
(1.1)
0.5
-
-
-
-
Change in gross liability for non-controlling interests interests and joint venture options
(2.5)
(4.1)
(2.5)
(4.1)
-
-
-
-
-
-
Transaction costs
(1.2)
(0.8)
-
-
(0.5)
-
-
-
(0.8)
(0.8)
Reported EBITDA
88.1
53.7
53.0
52.2
37.9
4.5
6.9
4.3
(9.7)
(7.3)
EBIT Reconciliation
Underlying EBIT (excluding NZ IFRS 16)
66.2
45.2
53.6
53.7
15.6
(5.5)
5.4
3.3
(8.4)
(6.3)
NZ IFRS 16
Leases
3.1
3.0
0.0
0.0
2.5
2.7
0.4
0.2
0.0
0.0
NZ IFRS 16
Leases
- renewal reassessment
-
(0.2)
-
-
-
(0.2)
-
-
-
-
Underlying EBIT (including NZ IFRS 16)
69.3
48.1
53.6
53.7
18.1
(2.9)
5.9
3.6
(8.4)
(6.2)
Other adjustments:
(Impairment) of non-current assets
(2.5)
(3.4)
-
-
(2.5)
(3.4)
-
-
-
-
Impairment of goodwill
-
(8.5)
-
-
-
(8.5)
-
-
-
-
Cyclone Gabrielle - net costs and proceeds
0.2
0.9
-
-
0.2
0.9
-
-
-
-
Gain on sale of Blyth & Te Papa orchards
4.9
-
-
-
4.9
-
-
-
-
-
Equity settled employee benefits
(0.7)
(0.5)
-
-
-
-
-
-
(0.7)
(0.5)
NZ IFRS 16
Leases
- renewal reassessment
-
0.2
-
-
-
0.2
-
-
-
-
Fayman acquisition entries
(1.6)
1.2
(1.6)
1.2
-
-
-
-
-
-
Profruit acquisition entries
(0.4)
-
-
-
(0.4)
-
-
-
-
-
Equity accounting losses not recognised
1.8
0.7
1.8
0.7
-
-
-
-
-
-
Change in fair value gain on apple inventory
(1.1)
0.5
-
-
(1.1)
0.5
-
-
-
-
Change in gross liability for non-controlling interests interests and joint venture options
(2.5)
(4.1)
(2.5)
(4.1)
-
-
-
-
-
-
Transaction costs
(1.2)
(0.8)
-
-
(0.5)
-
-
-
(0.8)
(0.8)
Reported EBIT
66.1
34.2
51.3
51.4
18.8
(13.3)
5.9
3.6
(9.9)
(7.5)
NZ IFRS Reconciliation

39Scales Corporation Limited – 2024 Full Year Results
GroupGlobal ProteinsHorticultureLogisticsCorporate and eliminations
$m2024202320242023202420232024202320242023
NPAT Reconciliation
Underlying NPAT (excluding NZ IFRS 16)54.138.646.745.411.3(3.4)3.92.4(7.7)(5.7)
NZ IFRS 16 Leases, net of tax(0.5)(0.1)0.0(0.0)(0.4)(0.0)(0.2)(0.1)(0.0)(0.0)
NZ IFRS 16 Leases - renewal reassessment, net of tax - (0.1) - - - (0.1) - - - -
Underlying NPAT (including NZ IFRS 16)53.638.446.745.410.9(3.5)3.72.3(7.7)(5.7)
Other adjustments:
(Impairment) of non-current assets(2.5)(3.4) - - (2.5)(3.4) - - - -
Impairment of goodwill - (8.5) - - - (8.5) - - - -
Cyclone Gabrielle - net costs and proceeds0.20.9 - - 0.20.9 - - - -
Gain on sale of Blyth & Te Papa orchards4.9 - - - 4.9 - - - - -
Equity settled employee benefits(0.7)(0.5) - - - - - - (0.7)(0.5)
NZ IFRS 16 Leases - renewal reassessment - 0.2 - - - 0.2 - - - -
Fayman acquisition entries(1.1)1.3(1.1)1.3 - - - - - -
Profruit acquisition entries(0.2) - - - (0.2) - - - - -
Equity accounting losses not recognised1.80.71.80.7 - - - - - -
Intercompany FX - - - - - - - - - -
Change in fair value gain on apple inventory(1.1)0.5 - - (1.1)0.5 - - - -
Change in gross liability for non-controlling interests interests and joint venture options(2.5)(4.1)(2.5)(4.1) - - - - - -
Transaction costs(1.2)(0.8) - - (0.5) - - - (0.8)(0.8)
Tax deduction change for buildings(2.1) - - - (2.1) - - - - -
Tax effect of other NZ IFRS adjustments1.0(0.0)(0.5)(0.5)1.60.5 - - - -
Reported NPAT50.024.744.342.711.2(13.4)3.72.3(9.2)(6.9)
NPAT Attributable to Shareholders Reconciliation
Underlying NPATAS (excluding NZ IFRS 16)34.819.227.425.911.3(3.4)3.92.4(7.7)(5.7)
NZ IFRS 16 Leases, net of tax(0.5)(0.1)0.0(0.0)(0.4)(0.0)(0.2)(0.1)(0.0)(0.0)
NZ IFRS 16 Leases - renewal reassessment, net of tax - (0.1) - - - (0.1) - - - -
Underlying NPATAS (including NZ IFRS 16)34.319.027.425.910.9(3.5)3.72.3(7.7)(5.7)
Other adjustments:
(Impairment) of non-current assets(2.5)(3.4) - - (2.5)(3.4) - - - -
Impairment of goodwill - (8.5) - - - (8.5) - - - -
Cyclone Gabrielle - net costs and proceeds0.20.9 - - 0.20.9 - - - -
Gain on sale of Blyth & Te Papa orchards4.9 - - - 4.9 - - - - -
Equity settled employee benefits(0.7)(0.5) - - - - - - (0.7)(0.5)
NZ IFRS 16 Leases - renewal reassessment - 0.2 - - - 0.2 - - - -
Fayman acquisition entries(1.1)1.3(1.1)1.3 - - - - - -
Profruit acquisition entries(0.2) - - - (0.2) - - - - -
Equity accounting losses not recognised1.80.71.80.7 - - - - - -
Change in fair value gain on apple inventory(1.1)0.5 - - (1.1)0.5 - - - -
Change in gross liability for non-controlling interests interests and joint venture options(2.5)(4.1)(2.5)(4.1) - - - - - -
Transaction costs(1.2)(0.8) - - (0.5) - - - (0.8)(0.8)
Tax deduction change for buildings(2.1) - - - (2.1) - - - - -
Tax effect of other NZ IFRS adjustments1.0(0.0)(0.5)(0.5)1.60.5 - - - -
Reported NPAT Attributable to Shareholders30.75.225.023.211.2(13.4)3.72.3(9.2)(6.9)
NZ IFRS Reconciliation (cont.)

Appendix B
Mr Apple exhibition, Vietnam

41Scales Corporation Limited – 2024 Full Year Results
Disclaimer
The information in this presentation has been prepared by Scales Corporation Limited with due care and attention. However, neither Scales Corporation Limited nor any of its directors, employees,
shareholders nor 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 supplements our full year results announcement. It should be read subject to and in conjunction with the additional information in that release, and other material which we have
released to the NZX.
This presentation may contain projections or forward-looking statements regarding a variety of items. Such projections or forward-looking statements are based on current expectations, estimates and
assumptions and are subject to a number of risks, uncertainties and assumptions. There is no assurance that results contemplated in any projections and forward-looking statements in this
presentation will be realised. Actual results may differ materially from those projected in this presentation. No person is under any obligation to update this presentation at any time after its release to
you or to provide you with further information about Scales Corporation Limited.
Our results are reported under NZ IFRS. This presentation includes non-GAAP financial measures which are not prepared in accordance with NZ IFRS. The non-GAAP financial measures used in this
presentation include:
•EBITDA. We calculate EBITDA by adding back (or deducting) depreciation, amortisation, finance charges / (revenue), and taxation expense to net earnings / (loss) from continuing operations
•EBIT. We calculate EBIT by adding back (or deducting) finance charges / (revenue), and taxation expense to net earnings / (loss) from continuing operations
•Underlying EBITDA and EBIT are calculated by adding back (or deducting) certain non cash NZ IFRS and other adjustments
•Underlying Net Profit is calculated by adding back or (or deducting) the after-tax effect of certain non cash NZ IFRS and other adjustments
A full reconciliation of Underlying to reported measures is provided in our Annual Report.
We believe that these non-GAAP financial measures provide useful information to readers to assist in the understanding of our financial performance, financial position or returns, but that they should
not be viewed in isolation, nor considered as a substitute for measures reported in accordance with NZ IFRS. Non-GAAP financial measures may not be comparable to similarly titled amounts reported
by other companies.
Forward-looking statements are subject to any material adverse events, significant one-off expenses or other unforeseeable circumstances.
The information in this presentation is of a general nature and does not constitute financial product advice, investment advice or any recommendation. Nothing in this presentation constitutes legal,
financial, tax or other advice.

---

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





Results for announcement to the market
Name of issuer Scales Corporation Limited
Reporting Period 12 months to 31 December 2024
Previous Reporting Period 12 months to 31 December 2023
Currency NZD
Amount (000s) Percentage change
Revenue from continuing
operations
$584,627 3%
Total Revenue $584,627 3%
Net profit/(loss) from
continuing operations
$30,726 487%
Total net profit/(loss) $30,726 487%
Interim/Final Dividend
Amount per Quoted Equity
Security
Not Applicable. Any final dividend in respect of FY24 is
expected to be declared in May 2025
Imputed amount per Quoted
Equity Security
Not Applicable
Record Date Not Applicable
Dividend Payment Date Not Applicable
Current period Prior comparable period
Net tangible assets per
Quoted Equity Security
$2.27 $2.34
A brief explanation of any of
the figures above necessary
to enable the figures to be
understood
Please refer to the attached reports for commentary and audited
consolidated financial statements
Authority for this announcement
Name of person

authorised
to make this announcement
Steve Kennelly
Contact person for this
announcement
Steve Kennelly
Contact phone number +64 3 3712263
Contact email address steve.kennelly@scalescorporation.co.nz
Date of release through MAP

26/02/2025

Audited financial statements accompany this announcement.