BRM – August 2025 monthly update

1
A WORD FROM THE MANAGER
Barramundi’s gross performance return for July was +4.2% and the
adjusted NAV return was +4.0%. This compares to the S&P/ASX200
Index (70% hedged into NZ$) which was +2.7% over the month.
Market Backdrop
The Australian share market continued rising in July as tariff and
trade war concerns abated further (albeit significant uncertainty on
global trade still remains). The share market rally was broad based
with 10 out of 11 sectors ending the month in positive territory.
Financials (-1%) proved to be the laggard in the month. Improving
investor sentiment towards the mining heavy materials sector (+4%)
helped lift the share prices of the large, diversified miners such as
BHP (+6.8%) and Rio Tinto (+4.3%). Conversely this weighed on the
banks’ share prices as investors likely sold banks to fund purchases of
the miners.
Pleasingly, Healthcare (+9%) was also one of the better performing
sectors in the month. Bellwether healthcare company CSL (+13%)
rose strongly despite no significant developments or news from the
company during the month. CSL, Resmed (+8%) and Cochlear
(+6%) are all core positions for our portfolio. Their strong share price
performances contributed meaningfully to portfolio returns in the
month.
Portfolio Commentary
Private equity firm PEP entered an agreement to acquire Johns Lyng
(+23%) for $4 per share. The board has unanimously recommended
that shareholders vote in favour of the deal. The transaction has
been structured to enable management (including CEO Scott Didier)
to retain their shares post deal. Management remains strongly
incentivised to drive further value for PEP should they be successful in
closing the deal.
PWR Engineering (+13%) rebounded strongly on the news that
founder Kees Weel would be returning to the business after being on
medical leave since April. He will share executive responsibilities with
Acting CEO Matthew Bryson until the AGM in October at which time
Kees will move into the role of Non-Executive Chairman. The current
Chairman Roland Dane will not seek re-election. The Board has
commenced a global search for a permanent CEO, which will include
internal and external candidates.
On the last day of the month, US time, Resmed reported a very good
Q4 FY25 result. This continued a run of solid quarterly performances.
Revenue for the quarter was up by a healthy 10% in constant
currency terms. This, along with ongoing gross margin expansion and
leveraging of operating expenses, drove a 22% increase in earnings
for the quarter. The improvement in gross margin was particularly
notable and has been a theme for the last two years. Gross margin
in Q4 was 61.4% and 60.0% for the full year. This is a creditable
improvement over the last two years from a trough of 55.8% in Q4
FY23. The company has a pipeline of initiatives to deliver further
gross margin gains and has guided to a range of 61-63% for the
coming year. When combined with current good top line momentum
this suggests FY26 should be another year of double-digit earnings
growth.
Car Group (+2%) surprised the market with the announcement
that longstanding CEO Cameron McIntyre is stepping down as
CEO. Mr McIntyre has done a great job leading CAR over the years,
and we wish him well. This paves the way for Will Elliott, the CFO,
to step into the CEO position. Alongside the announcement CAR
also provided a high-level trading update for the FY25 year just
completed. It has largely met market expectations in delivering
underlying revenue growth of ~12% and profit growth of ~11%
(constant currency) in the year. Qualitative outlook commentary
suggests this earnings growth is likely to continue with CAR starting
FY26 ‘with good momentum’.
Macquarie (-5%) held its Annual General Meeting (“AGM”) in the
month at which it provided a modestly soft (vs market expectations)
trading update after the first three months of its financial year. It
retained its earnings guidance and there was nothing untoward
in the AGM update itself. After rising strongly recently, the share
price subsided on the news. The AGM included the surprise
announcement that longstanding CFO, Alex Harvey, would step
down at the end of the year. In a well-trodden path for succession
planning at Macquarie, he is being replaced by the deputy CFO,
Frank Kwok.
Macquarie received a large (non-binding) protest vote against its
remuneration report at the AGM. Shareholders evidently used this
as an avenue to express displeasure at the fact that Macquarie has
tripped up over its regulatory responsibilities in a number of global
jurisdictions. Regulatory obligations are very important, and this
clearly needs to be addressed, and executives held accountable.
However, there is a delicate balance between accountability on
one hand and employee compensation (retention) and shareholder
alignment on the other.
1
Share Price Discount to NAV (using the net asset value per share, after expenses, fees and tax, to four decimal places).
MONTHLY UPDATE
August 2025
$
0.73
SHARE PRICE
as at 31 July 2025
DISCOUNT
1
0.6
%

BRM NAV
$
0.73

SECTOR SPLIT
as at 31 July 2025
KEY DETAILS
as at 31 July 2025
FUND TYPE
Listed Investment Company
INVESTS IN
Growing Australian companies
LISTING DATE
26 October 2006
FINANCIAL YEAR END
30 June
TYPICAL PORTFOLIO SIZE
20-35 stocks
INVESTMENT CRITERIA
Long-term growth
PERFORMANCE OBJECTIVE
Long-term growth of capital and
dividends
TAX STATUS
Portfolio Investment Entity (PIE)
MANAGER
Fisher Funds Management Limited
MANAGEMENT FEE RATE
1.25% of gross asset value
(reduced by 0.10% for every 1%
of underperformance relative to
the change in the NZ 90 Day Bank
Bill Index with a floor of 0.75%)
PERFORMANCE FEE
HURDLE
Changes in the NZ 90 Day Bank
Bill Index + 7%
PERFORMANCE FEE
10% of returns in excess of
benchmark and high water mark
HIGH WATER MARK
$0.68
PERFORMANCE FEE CAP
1.25%
SHARES ON ISSUE
341m
MARKET CAPITALISATION
$249m
GEARING
None (maximum permitted 20%
of gross asset value)
4
%
18
%
20
%

INDUSTRIALS
16
%
COMMUNICATION
SERVICES
21
%

FINANCIALS
8
%
At the beginning of July Domino’s (-5%) delivered a negative
surprise with the news that its CEO Mark van Dyck was stepping
down after only eight months in the role. During this time Mr
van Dyck oversaw the closure of underperforming Japanese
stores, implemented a range of cost cuts, and made some senior
management changes. He developed a strategic plan to return
Domino’s to earnings growth from the combination of better store-
level performance and improved efficiency and execution within
Domino’s itself. We suspect that while the Domino’s Board accepted
the plan, it was pushing for a faster turnaround, particularly with
respect to cost savings, than Mr van Dyck was comfortable with.
Domino’s Chair Jack Cowin has assumed the role of Executive
Chair until a new CEO is appointed. As a 25% shareholder in
Domino’s, and operator of the Hungry Jack’s (Burger King) franchise
in Australia, he is a motivated and experienced person to assume
temporary control. There has been no suggestion that Domino’s will
not deliver the current consensus of broadly flat underlying earnings
for its June 2025 year. Beyond this, we believe not much has to go
right for Domino’s for its share price to warrant a re-rating from
current levels. We are monitoring Domino’s closely.
Robbie Urquhart
Senior Portfolio Manager
Fisher Funds Management Limited
Portfolio Changes
During the month we added Reece (+4% since adding) to the
portfolio. Reece is a wholesale distributor of plumbing, HVAC and
waterworks products. It is the leading plumbing wholesale distributor
in Australia and New Zealand, with a growing presence in the US.
It has a long track record of success in growing its market share
in a measured and value creative way and continues to be led by
the strongly aligned founding family, the Wilsons. It is currently
facing short term headwinds as a result of weak new home build
activity, and home repair and restoration activity in ANZ and the US.
However, long term earnings will be supported by its leading position
in ANZ which allows it to maintain price discipline, and a store rollout
strategy in the US. The near-term headwinds have seen the share
price retrace -51% in the last twelve months. This provided us with
an entry opportunity in a high-quality business we have had in the
Fishing Pond for a while.
2
13
%
CONSUMER
DISCRETIONARY

HEALTH CARE

CASH &
DERIVATIVES
INFORMATION
TECHNOLOGY

JULY’S SIGNIFICANT RETURNS IMPACTING
THE PORTFOLIO during the month in Australian dollar terms
JOHNS LYNG
+23
%
FINEOS CORP
HOLDINGS
+18
%
CREDIT CORP GROUP
+14
%
AUDINATE
-18
%
CSL
+13
%
5 LARGEST PORTFOLIO POSITIONS as at 31 July 2025
WISETECH
7
%
CSL
8
%
SEEK
6
%
BRAMBLES
5
%
XERO
5
%
The remaining portfolio is made up of another 20 stocks and cash.
1 Month3 Months1 Year3 Years
(annualised)
5 Years
(annualised)
Company Performance
Total Shareholder Return+5.8%+12.9%+9.2%+4.5%+10.9%
Adjusted NAV Return+4.0%+12.8%+4.7%+10.2%+11.7%
Portfolio Performance
Gross Performance Return+4.2%+13.6%+6.8%+13.0%+14.2%
Benchmark Index^+2.7%+8.4%+11.5%+12.6%+12.8%
PERFORMANCE to 31 July 2025
3
TOTAL SHAREHOLDER RETURN to 31 July 2025
^Benchmark Index: S&P/ASX 200 Index (hedged 70% to NZD)
Non–GAAP Financial Information
Barramundi uses non–GAAP measures, including adjusted net asset value, adjusted NAV return, gross performance return and total shareholder return. The rationale for using such non–GAAP measures is as follows:
»adjusted net asset value – the underlying value of the investment portfolio adjusted for dividends (and other capital management initiatives) and after expenses, fees and tax,
»adjusted NAV return – the percentage change in the adjusted NAV,
»gross performance return – the Manager’s portfolio performance in terms of stock selection and currency hedging before expenses, fees and tax, and
»total shareholder return – the return combines the share price performance, the warrant price performance, the net value of converting any warrants into shares, and the dividends paid to shareholders. It
assumes all dividends are reinvested in the company’s dividend reinvestment plan, and that shareholders exercise their warrants, (if they were in the money), at warrant expiry date.
All references to adjusted net asset value, adjusted NAV return, gross performance return and total shareholder return in this monthly update are to such non–GAAP measures. The calculations applied to non–GAAP
measures are described in the Barramundi Non–GAAP Financial Information Policy. A copy of the policy is available at barramundi.co.nz/about-barramundi/barramundi-policies.
Share Price/Total Shareholder Return
$4.00
$3.50
$3.00
$2.50
$2.00
$1.50
$1.00
$0.50
$0.00
Oct
2006
Oct
2007
Oct
2011
Oct
2013
Oct
2014
Oct
2015
Oct
2008
Oct
2009
Oct
2010
Oct
2016
Oct
2020
Oct
2012
Oct
2022
Share Price Total Shareholder Return
Oct
2017
Oct
2018
Oct
2019
Oct
2021
Oct
2023
Oct
2024

Disclaimer: The information in this update has been prepared as at the date noted on the front page. The information has been prepared as a general summary of the matters covered only, and it is by
necessity brief. The information and opinions are based upon sources which are believed to be reliable, but Barramundi Limited and its officers and directors make no representation as to its accuracy or
completeness. The update is not intended to constitute professional or investment advice and should not be relied upon in making any investment decisions. Professional financial advice from a financial
adviser should be taken before making an investment. To the extent that the update contains data relating to the historical performance of Barramundi Limited or its portfolio companies, please note that
fund performance can and will vary and that future results may have no correlation with results historically achieved.
Barramundi Limited
Private Bag 93502, Takapuna, Auckland 0740
Phone: +64 9 489 7074
Email: enquire@barramundi.co.nz | www.barramundi.co.nz
4
Computershare Investor Services Limited
Private Bag 92119, Auckland 1142
Phone: +64 9 488 8777
Email: enquiry@computershare.co.nz | www.computershare.com/nz
ABOUT BARRAMUNDI
Barramundi is an investment
company listed on the New Zealand
Stock Exchange. The company
gives shareholders an opportunity
to invest in a diversified portfolio
of between 20 and 35 quality
growing Australian companies
through a single, professionally
managed investment. The aim of
Barramundi is to offer investors
competitive returns through capital
growth and dividends.
CAPITAL MANAGEMENT STRATEGIES
Regular Dividends
»Quarterly distribution policy introduced in
August 2009
»Under this policy, 2% of average NAV is targeted to be
paid to shareholders quarterly
»Dividends paid by Barramundi may include dividends
received, interest income, investment gains and/or
return of capital
»Shareholders who prefer to have increased capital rather
than a regular income stream have the opportunity to
participate in the company’s dividend reinvestment plan
(DRP)
»Shares issued to DRP participants are at a 3% discount
to market price
»Barramundi became a portfolio investment entity on
1 October 2007. As a result, dividends paid to New
Zealand tax resident shareholders have not been subject
to further tax
M A N AGEMENT
The Manager has authority delegated
to it from the Board to invest according
to the Management Agreement and
other written policies. Barramundi’s
portfolio is managed by Fisher Funds
Management Limited. Robbie Urquhart
(Senior Portfolio Manager), Terry Tolich
and Delano Gallagher (Senior Investment
Analysts) have prime responsibility for
managing the Barramundi portfolio.
Together they have significant combined
experience and are very capable of
researching and investing in the quality
Australian companies that Barramundi
targets. Fisher Funds is based in
Takapuna, Auckland.
BOARD
The Board of Barramundi
comprises independent
directors Andy Coupe (Chair),
Carol Campbell, David
McClatchy and Fiona Oliver.
Share Buyback Programme
»Barramundi has a buyback programme in place allowing
it (if it elects to do so) to acquire its shares on market
»Shares bought back by the company are held as treasury
stock
»Shares held as treasury stock are available to be utilised
for the dividend reinvestment plan
Warrants
»Barramundi announced a new issue of warrants on 30
June 2025
»The warrant term offer document was sent to all
Barramundi shareholders in mid-July 2025
»Warrants were allotted to all eligible Barramundi
shareholders on 7 August 2025
»The new warrants (BRMWI) commenced trading on the
NZX Main Board from 8 August 2025
»The Exercise Price of each warrant is $0.70, adjusted
down for the aggregate amount per Share of any cash
dividends declared on the shares with a record date
during the period commencing on the date of allotment
of the warrants and ending on the last Business
Day before the final Exercise Price is announced by
Barramundi
»The Exercise Date for the Barramundi warrants is
7 August 2026