Morning, everyone. Woo, that's loud. I'm sure you can hear me all the way in the back. Welcome to T he Forest. We're really excited to finally be here today. We know there's been a lot of anticipation and build-up, and we're really delighted to finally have everyone here. Welcome to those of you who are joining by phone. A couple of things to do as we get started. The first and most important is to pay our respects to the Gadigal people on whose land we're meeting today. We want to pay our respects to the elders past, present, and emerging, and we also want to acknowledge that today is the first day of National Reconciliation Week. It's an important week. We're really proud of the Reconciliation Action Plan that we have as a business, and we're incorporating that theme, which is All In, for this year. That's an important and a non-trivial part of how we think about our business, as I'm sure you do, too. We've got a few things to do today. The structure of today is laid out in a way that enables you to not only hear what we're planning to do over the course of the next three years or so, but also to give you a chance to get to meet some of the team. I'll speak for a few minutes and just give you a sense of the overview of where we're headed. With luck, I'll hold my voice. We'll have Catriona and Benjamin and Jeanette come up and talk about retail. We'll do Q&A after each one of the sections. We'll have Paul and Catriona come up and talk about hotels. Again, we'll do Q&A. We'll take a quick break and then come back and talk about group and capital management, which I'm sure you're all keen to get into, with Kate. We'll, again, do Q&A. Hopefully, there'll be plenty of opportunity to ask questions, both online and in the room. When you do ask questions, we're going to ask you to give us your name and where you're coming from so that we've just got that context as a business as we log the questions and keep track of where everything's coming from. That is the way we've laid out the day. Before we get into the substance of the strategy, I want to just to step back and reflect a little bit on me standing here today. I'm delighted to be here. I'm delighted to be your CEO. It's a bit of a full circle for me. For those of you who don't know, roughly 20 years ago, back in the day when I was at Bain & Company, I worked on the liquor strategy for this business and did that with the Woolworths board as part of Project Refresh. The way we laid down the strategy, which has enabled this growth, extraordinary growth, and an incredible portfolio of brands and the pubs business, is exactly what we've stepped back and redone with modern technology, but exactly what we've done to get the clarity on where we're headed now. So for me, I look at this business and I think, "Wow, I'm one of the luckiest CEOs in the country." There are four things that I think are super attractive about this business, which is part of why I'm here. One is the extraordinary brands. We have to-die-for deep equity retail brands in Dan Murphy's and in BWS. Both are critically important. There was some conversation. I've had questions asked by some of you in terms of why two brands, not one brand. You'll see that clearly when we talk about the retail business. There is a really important role for Dan Murphy's, there's a really important role for BWS. They play to different occasions and slightly different customers. The share of wallet opportunity that we have in that part of the business is really important. Great brands that speak to consumers in a special way in retail. We have 352 brands that speak to the community in each one of the pubs that we operate, and those positions are really unique positions, and we're really proud of that part of the portfolio. That's one. Two is that we have to-die-for real estate, and we don't own all that real estate, but the position that you have in your retail business from the standpoint of high street or A-grade locations and the position that you have with your hotels, where they're located in the community, we have unique, very high-quality positions, which is part of our asset base. Great brands, unique position in the community, and really strong positions in the community that we serve. The third piece of the puzzle is we have potential everywhere in the business. There is so much untapped potential in this business as a consequence of one thing, really, which is we were part of a very big organization in Woolworths. Small piece of the puzzle, we didn't get the attention and the focus that was important for this business to stay focused on its strategic opportunities. Both in retail and in the hotels business, we have significant opportunity to get the fundamentals right in addition to fine-tuning our strategic focus and going after the unique opportunities that we have to play to win, and we fully intend to do exactly that. The fourth piece of the puzzle is that we have amazing people all over our business, frontline all the way through, who are hungry to do a great job every day to deliver for you. That is undeniable and a really important part of the story for us. They just need clarity and leadership to go after the right mix of things so that they're delivering uniquely well every day against a bigger game plan than we've had in the past. Those four things are the things that anchor me here. Those are four things that I'm sure you're really drawn to as an investor in our business, and that sort of sets the stage for how we're thinking about the future. I talked before about the fact that we went back and did a refresh, and that's been very publicly talked about. To get a strategic reset correct, you've got to go get the facts, and that comes from a mix of places. It's, one, understanding your position and your performance and making sure that board and management are fully aligned on the facts of the business. Understanding the markets around you in terms of what's happening, what's happening in the competitive space, how do you play? Then the third piece of it, which is critical, is turning the headlights on from the customer's perspective. We understand how the customer looks at us, and we understand how the customer thinks about the category, and we understand how to think about where we sit in terms of share of wallet and what it takes to unlock more. That gives you the basis of clarity in terms of how you position your brands and how you go after opportunity. That we've done in both the hotels business and the retail business. Now, in the process of doing that, we also learned a lot about ourselves and some of the mistakes that we've made. In that, we learn, and we won't make those mistakes again. I'm sure we'll make others, but we won't make those mistakes. At the top of the list is we did lose sight of the customer. One of the ways that manifested in the retail business is we started focusing on margin as an end in itself as opposed to being clear about what mattered to customers to unlock their trade, walking into our stores and putting more items in baskets. We lost sight of that in the retail business. The hotels business, we ran the hotels business as if it was a retail operation, and we tightly managed for cost rather than managing for revenue and revenue growth. Both those counts lead to the untapped potential in hotels and retail. The last piece of the puzzle is that it's pretty clear to us that we've had a lot of these ideas for some time, but we haven't been able to execute on the opportunities that they presented. Why is that? We have great muscle strength with respect to executing against our trading plans, probably best amongst retailers. That comes from Woolies, and that's great muscle strength. Executing against trade plans is key. Those trade plans can't stay static. They have to evolve, and you have to have the capability to do more than just executing day to day, because you have to keep the headlights on for the future, and you have to understand what's changing around you, because if you don't, you're going to get taken apart by your competition. Those four things, I think, set us up in a position where we feel like we understand. There's obviously a lot of detail that sits underneath those lessons learned. The nub of it is we've stared into that, and we're clear in the way that we've set up our future that we're going to build muscle strength in being able to execute. We're going to be able to take a good idea. We're already doing it. Take a good idea and be able to execute that idea and put the value associated with that idea in the bank. That's where we're headed. We have 180 initiatives that are already logged and tracked and well through the process of detailed planning to ensure that we can put resources against them, approve business cases, and fly then in executing them. Now, in order to deliver against what we see as a great opportunity, you have to have an exceptional team. What you saw early in September is Katie starting to reset on price because we had clarity that we were missing a trick in Dan Murphy's. By October, we had figured out what we thought the right structure was for the business going forward because we could see the bones of the strategy starting to come together. That led to clarity that we needed a Chief Customer Officer to keep the headlights on for customers. Catriona works across both retail brands and hotels to ensure that we not only understand customers, but we understand customers better than anybody in our industry, including our suppliers. We know how to leverage that for competitive advantage because that will be the source of our competitive advantage, that knowledge, that clarity. Her role is critical to ensure that we keep the headlights on. It also gave us clarity that, excuse me. It also gave us clarity that Pinnacle is in service of retail, and so it should be sitting not on the top table, but in a position where it's strategically managed to deliver against the role that it plays for private label and exclusive brands for retail. The structure of the business getting set in October was important, and then by December, we had the new team locked in, and they're all in the room today. That's really important. You will meet everybody today through the course of the various things we're doing casually. You will also have the opportunity to hear from our business unit leads and Catriona. What you won't be able to do today is hear from everybody on stage. What I thought I'd do is have a handful of people who are not going to be on stage introduce themselves. Maybe with that, Eleanor, we'll start with you. Thanks, Jayne. Good morning, everyone. My name's Eleanor Khor. My name's Eleanor Khor. I've joined Endeavour just in the last month, as Managing Director looking after our group strategy transformation agenda, as well as the Pinnacle portfolio. I've joined most recently from A2 Milk, where I was there for almost eight years looking after similar sort of role set up. I was doing group strategy and the ANZ business unit. Look forward to chatting to you all at morning tea. Great. Brendan. Good morning, everybody. I'm Brendan Sweeney. I'm the Chief Digital and Data Officer. My background, over 20 years in omni-channel retail, both internationally and in Australia. Joined most recently from Wesfarmers, where I was running Catch.com. Prior to that, I ran digital and loyalty for the Cotton On Group and for Coles. Great to be here and really excited to be part of the team. Go, next, Jill. Thank you. Morning, everyone. My name's Jill Henderson. I'm the Chief Legal Officer here at Endeavour. I joined in November last year, and prior to that, I held legal roles, and people and culture roles across the Qantas Group as well as BHP. I'm looking forward to chatting with you all during the break. Thank you. Good morning, everyone. Katie Hodgson, I'm the Chief People Officer at Endeavour. I come to you via Mondelez, so embracing chocolate, the last nine years with Treasury Wine Estates, so embracing wine, and now thrilled to have the expansive portfolio of Endeavour. Thank you Harinder. Morning, all. My name is Harinder Saluja. I'm the Chief Information Officer. Prior to joining Endeavour 18 months ago, I was responsible for digital transformations for New South Wales Government, and prior to that with JPMorgan. I'm excited to be here. Dan. Thank you. Good morning. Dan Holland. I'm the Chief Corporate Affairs and Sustainability Officer. I've been with Endeavour since 2022, and over a span of nearly 20 years, I've been in the drinks and hospitality industry at major brewers and a couple other businesses. Welcome. Great. Thank you, guys. Yeah. Hopefully you see a mix of new faces and familiar faces, and you get a chance to get to know everybody today. You will notice one thing that's consistent across everyone, which is a massive passion to go after the opportunity that we have in front of us, which shouldn't be a surprise to anybody. If we step back and just look at the strategy at a high level, we've talked about this in various ways up to today, so there isn't a lot of new news here. Again, we're starting from the customer, and every decision that we're making is working from that vantage point. With retail, we have two extraordinary brands, as I said. Both those brands have unique roles to play. There are two big sources of value growth that will come from the retail business. One is that we are not a great retailer today. We're a good retailer, but we're not a great retailer, so the fundamentals that Benjamin and Jeanette will both talk about are really important. There is opportunity for us in just getting the basics right. I won't steal the thunder from the guys, but one classic example of that is we don't allocate space correctly in our stores. We don't do macro space planning and category planning we haven't done strategically for some time in the right way for the brands and the alignment of the brands for the customer. There's another chunk of opportunity which comes from just doubling down on what we know to be important to customers and to do that uniquely well and to do that leveraging the huge scale that we have as a portfolio. Everybody in the room today as part of the leadership team has a really important role to play as we execute against these opportunities. It won't be lost on anybody that we haven't done a fantastic job on digital, Brendan and the depth of experience that he brings, for example, is really important to making sure that we cover off all of the important levers that we have in front of us. Hotels, three levers in hotels. One is we don't have the operating model right, and I know we've talked about that in the past. We have clarity now on why the operating model doesn't work and what has to be different and how we're going to deliver against that. The operating model should enable 352 small businesses to have competitive advantage from the scale of the Endeavour Group, but also the competitive license to compete locally and to take advantage of the unique opportunities they have to serve that community differentially well. We have the ability to help set them up to be able to do that in a way that others can't because they don't have our scale, but we have to allow them to run their operations and to genuinely be local community pubs. That's one. Two. We haven't invested in our hotels over the course of time in the way that we should have, and we have a big job to do in getting all those pubs in a position where they have been put on a stage that is competitive for the local area. That doesn't mean one size fits all. It doesn't mean they all need massive renovation, but we need to ensure that every one of them is in a position where it's fighting fit to compete, and they're not today. We're going to, over the course of the next three years, deliver the massive bulk of renewal and light-touch investments that need to be made across the portfolio to ensure that it can compete and deliver for you the earnings returns that you expect. We're really excited about that. The third piece of the puzzle is property, ensuring that we unlock the potential that sits in the property portfolio. Group. From a group standpoint, we have opportunity to help drive not only execution to deliver revenue growth, but to ensure that we're simplifying the way we do things. There are lots of things that we've inherited that drive complexity in our business. Getting rid of those things unlocks cost and enables us to improve productivity. The cost reduction opportunity we've already talked about, AUD 100 million committed to 2027, AUD 300 million over three years. It's very significant. I noted with interest, one of the analyst reports that declared that we didn't have any more cost to take out of the business. That's just not true. We have plenty of cost to take out of the business. It's going to take us a little bit of time to get it all because we have to change the way we do things in order to unlock that opportunity for you. There's also significant untapped potential that sits between the hotels business and the retail business, and we made it clear, I think, at the half year that we had no intention of separating the two businesses. The way we think about that opportunity is, one, that we're today not taking advantage of the customer assets we have in Dan Murphy's and BWS and in the hotels business. We don't think about those customers as customers of the group and how to ensure that we're getting maximum share of wallet across all three parts of the group. We are taking a slightly different lens to that going forward, and that will unlock significant opportunity for you. Second thing is scale. We have huge scale. We don't think about scale as an asset, but scale is a huge asset. It helps us in profound ways, not only in the ability to take cost out of the business uniquely, both in the way that we work with our trade partners, but also in the way that we manage non-trade partners in our business. Also in thinking about what it means that we can uniquely do that our competition can't, and therefore, how do we use it as a point of competitive advantage, not only in the retail business, but also in the hotels business. The third piece of the puzzle is we have extraordinary data on our customers. We cover Australia. We haven't really thought about it like that. The insights and the wisdom that we have is obviously invaluable to us. We haven't used it to its fullest extent, and it's obviously invaluable to others, and we haven't thought about how we monetize that to its fullest extent. There's the obvious play, which is with our trade partners, and we haven't done that, and we will do that, and that's a clear part of our trade partner strategy. Collectively, there is value trapped in the group that we have an obligation to unlock for you. That's a key part of the strategy going forward. On everybody's minds will be, how much can you do, how quickly? You can rest assured that we're very impatient. I'm probably the most impatient of all of us. We're on a mission, and as I said earlier, 180 initiatives already in the hopper being driven. The AUD 100 million that we've identified for 2027 is going to be delivered in 2027, and about 65% of it's already in the bank on the way to ensuring that we start July 1 in the best shape possible. The rest of the AUD 100 million, we've got clear line of sight to, and we have no doubt that we'll deliver that in 2027. Phase I really is about getting the reset clear and ensuring we've got the muscle strength to deliver against the transformation. The second phase of what we expect to deliver for you is ensuring that the growth platform is firing. There are lots of things that we've alluded to and talked about at the half year about offsetting the price investments. You know intuitively, and I'm telling you explicitly, that we are working on both more sophistication in how we go to market on price and more sophistication in the way that we drive footfall and basket size in the retail business. We're working hard on making sure that we are lifting our game every day in the hotels business. Dramatic transformation to come there, but we're also focused on driving quick wins to ensure that no matter what's happening around us in the economy, that we're working all the levers to play the best job and the best role we can in the local community. The third phase is earning the right to go do much bigger ticket things, that's continuing the growth platform and then using that to expand out into other things. We think about that over periods of time, and they're probably 18-month to 24-month chunks, and they cross over between them, but there's significant value to be added. We start the hard, heavy lifting, well, we've been doing the hard, heavy lifting over the course of the last five months or so. 2027 is the massive construction period. When you think about that and you think about how all that stacks up, I'll just round up what I've already said, with retail, two big levers. One is getting the fundamentals right and making sure that every day we're playing to win, and the second is ensuring that we're aligned to the opportunities we know around occasions and different segments of the marketplace with Dan Murphy's and BWS. Ensuring that in the way that we do that, we're tracking and measuring how we're doing and share of wallet against the targets that we've set for ourselves. All of those things drive retail revenue growth. We're really proud of the fact that we've got eight months straight now of retail revenue growth. We're in volume growth, we're in basket growth, and we're very focused on ensuring that we stay in growth. In a retail business, you have to be in growth in order to be running a healthy retail business, and we're clear about that. We know what that means in terms of making sure that everything else is healthy and sophisticated in the way that we operate. We're on the brink of a technology revolution, which is going to help us do all those things in a much more productive way over time. We've got to get the fundamentals right in order to be able to leverage the technology to take it to another level. In hotels, three big levers. I'm most excited about getting the operating model right because that unlocks everything else. It means that we take maximum leverage from the investments that we make, by the way, so that today, we talk about the ROI that we're delivering on the investments in the hotels. That should increase by getting the operating model right. These things are complementary and help really ensure that we're getting a compounding benefit as we flow through the execution of them, and then the portfolio opportunity with property. With that, I will invite Jeanette and Catriona and Benjamin to the stage. As I do that, I would just say that recognize that in Catriona, we've got extraordinary multi-brand expertise, deep customer passion, as well as strategic sophistication in how you think about that. Jeanette's coming to us with decades of retail experience from both South Africa and Australia, most recently in Woolies. Her ability to knit together the relationship with Woolies to ensure we're taking that to the highest level it can be from a strategic standpoint is key. Benjamin comes to us with decades of retail experience as well. Cut his teeth in retail in Aldi, and most recently at Super Retail Group, and as you'll discover, is a passionate Dan's consumer himself. With that, I'll hand it to you guys. Catriona, there's the clicker. Thanks, Jayne. Thank you. Hello, everyone. It's great to be here. Benjamin and I actually started on this day four months ago in the business. Jeanette started a couple of weeks beforehand. Over the last few months, we've spent a lot of time together in stores talking to our customers, talking to team members, and really trying to understand the business, understand what's working, what's not working, and what we need to change. What's been really wonderful for me to learn, being new to retail, is how passionate our customers are about our products and about our brands. They basically want to tell their favorite Dan story, share the experience they had with their favorite drink, or talk about BWS. It's just wonderful to see that passion for the business. I spent some time with a customer named Matt in February. He's an avid Dan's shopper, shops every week at Dan's. He buys across all categories, particularly spirits and particularly tequila. We walked around in Melbourne, went to a couple of our own stores and some competitor stores. His insights about the business and what we needed to do to improve it were really immense across price, range, the in-store experience, even online. We incorporated some of those insights into our go-forward plans. Last week, he actually sent me a three-page prose proposal for how we could import more premium tequila from Mexico, which I did give to Benjamin, and he sort of looked at me. The reason I tell you that story is because I think it shows the passion that our customers have for the category, but also, to Jayne's point, if you really stay close to customers, understand their needs and wants, that's what is the basis for a great business. In this section on retail, I'll just share a bit about our very customer-led, data-driven approach to strategy and how that plays through the retail brands, and then hand over to Benjamin and Jeanette to really bring it to life through Dan's and BWS. Our strategy is based on deep insights about our customers, and we're in a unique position to really understand the Australian liquor consumer. We have a lot of customers. Almost nine million Australians are members of our program. Five and a half million is for Dan's and 4.6 million for BWS. This is almost 50% of the Australian adult population who are members of our programs and gives us a unique insight into what they need from our category. If we think about more broadly from a customer perspective, probably 80% of Australian adults would shop with us, either online or in store. This gives us a huge data set of transactions and touch points so we can really understand how people are purchasing, when they are purchasing, how big the baskets are, how often they come to our stores, how often they shop online. The reason this is important is because it really helps us make the right decisions, which are really customer-led, and also gives us the right set of priorities. Benjamin and Jeanette will talk later about range optimization. Really hard to optimize the range if you don't know what customers are buying, either at a national level or at a local level. We also have lots of voice of customer programs, voice of team programs, and this gives us an insight into how customers are experiencing our stores or online every day. Why is this important? Well, when you stitch it together, it allows you to have better information about what customers need and want and deliver that more effectively. Even though we launched last year 1,000 new SKUs to tap into new sources of demand, what I'm really excited about is the opportunity to leverage the customer data to work more closely with our trade partners and really scale our small trials and iterate so we can drive innovation and be the category leader that we are, bring energy to the category, and find new sources of growth. Retail liquor is a high engagement category. The story I shared on Matt is just a good example of that. This may not be for everyone, but many Australians still find alcohol an important part of celebrations, events, and occasions. It might be celebrating with champagne your daughter's graduation, or it might be having a beer with your mates at the pub. It's a very important part of social culture, and so people are very brand loyal and emotionally connected to the brands. We also know that customer needs are changing, and there's a lot of discussions about low alcohol, no alcohol, the impact of diet drugs. Are young people drinking? Our perspective is they are drinking, but they're probably just drinking differently, and we need to tap into those different needs. If you think about the launch of Hard Solo or Hard Rated a couple of years ago, it really heralded a blurring of category lines and also introduced lemon that became orange and lime. This summer, I'm told it's going to be all about passionfruit. The key for us is to really stay close to consumers, understand their needs, and then innovate against that. Our strategy is based on deep insights about customers. We deliberately took an outside-in perspective on the Australian market and looked at qualitative and quantitative data to really understand who are the key customer segments and what are their needs. There's five segments that really are important, and these are here on the slide expressed in a simple way. Obviously, underpinned by a whole lot of demographic data, occasion data, purchasing data. From the left-hand side, the first segment is value seekers, and these are customers who are looking for great prices or deep discounts on a wide range of products, probably for consuming later that day. The second segment is stock up savers, also looking for value on a wide range of products, but more stocking up for that occasion, Christmas, an event, birthdays. We tend to see bigger basket sizes for those customers. Those two segments are really the core heartland for Dan's. Really important segments. We see a lot of growth opportunity through share of wallet. At the other end of the slide, we've got two segments which really play to BWS. The first is convenience. Customers who want a really convenient shop, either near their work or home, pop in, find the product, get out quickly. We also know that BWS serves another important customer, customers who are looking for innovation and looking for inspiration. What's that new pack? What's that new flavor? This is a really core part of engaging the category with things that are new and different, and they're really served by BWS really well. In the middle, there's brand traditionalists, so people who look for their favorite product and are very brand loyal. You can probably look at these segments and look at the occasions and think, "Which one am I?" I'm definitely a brand seeker, and I tend to go straight for Cloudy Bay sauvignon blanc or Heathcote shiraz. Each one of you will probably fall in a different place. The reason we're excited about this is because it's simple, so we can action it and drive execution through our teams, and it's based on the Australian market and really core customer data. We're also excited about it because it gives a very clear role for each of our brands to play. As Jayne said, each brand plays a different role in delivering against different customer segment needs. Dan's has always been about low prices and a broad range for customers who are seeking value and stock up. Whereas BWS is about convenience. Needs to be at a competitive price, but it's also about inspiration. Jeanette will talk about convenience with a twist, which really encapsulates focus on two different customer segments. The last thing I'd like to share in terms of being a customer-led organization is that we will be where our customers are. We have a huge omni-channel network, 1,700 stores across the nation. We're actually bigger than McDonald's, bigger than the supermarkets, bigger than Subway. We have a whole range of formats, big box, small box, drive-through, attached stores, which means we're just in easy reach of almost every Australian consumer. We also have a big digital network. Roughly 2.5 million customers would shop online with us every week over our apps as well as our websites. The partners we have through Woolworths and the ultra-convenience players, DoorDash and Uber Eats, mean we have a huge digital reach. Now, we know that some customers also browse online and shop in store, but the most valuable customers and the most quickly growing customers are those who are omni-channel, so shop in store and shop online. When we think about the customer experience, we design from an omni-channel perspective. In summary, I guess there's probably three things that are important. One is that we're customer-led, two is that we're data-driven, and three is that we design for an omni-channel experience. With that, I'll hand over to Benjamin to talk about Dan's. Thanks, Catriona. Dan's is a cornerstone of Australian retail. Dan's, Murph's, Dan's the man, Uncle Dan, doing a Dan's run. We're woven into the fabric of Australian society as an iconic Australian retailer. As Jayne alluded to, I'm a longstanding customer of Dan's. Absolutely have loved Dan's for a long time. Dan's didn't have 100% share of my wallet. It does now, of course. Over the years, I've been an avid Dan's shopper. It didn't have even 50% share of my wallet. That's the opportunity for us. Over the last four months, I've been able to see past the retail shop floor of the Dan Murphy store into the back room, into the store manager's office, and been able to work with the executive leadership team as well as the senior leadership team to really understand those opportunities. As Catriona said, and as Jayne said, it is all about the customer. Dan's hasn't always delivered to what the customer needs, and having understood that business and unpacked a lot of the customer pain points from a customer myself, as well as from our team, we're able to develop a strategy which will unleash the full potential of the Dan's business. What have we got so far? Well, we've got 283 stores around Australia that are in iconic A-grade locations. We have the vast number of our stores in high street locations adjacent to retail precincts, which are destinations within destinations themselves. Someone said to me recently, "There's big box, and there's Dan's big box." We have incredible sites. We have an average floor square meterage of 985 sq m for our stores, which is a destination for all of our customer needs. We carry over 4,000 SKUs in an average Dan's store of a catalog of over 10,000 SKUs in our business. We're able to not only capture the breadth of customers, but the depth of customers for the bulk of their shopping occasion. We are number one for liquor purchase intent in Australia. We have 5.6 million customers actively shopping with us within our database. There are 18 million Australians over the age of 18. With 5.6 million customers, that means more than 25% of Australians have shopped at a Dan's store in some way, shape, or form over the last 12 months. I'm sure that number is a lot higher in this room. There are opportunities for us, and today I'm going to walk through four key opportunities for the Dan's business to unleash its full potential. Number one is get the retail fundamentals right. Number two, Jayne talked about it earlier, Dan's is number one for price leadership, we need to deliver on price leadership within the marketplace. Thirdly, range opportunities. I'll go into in much more detail. Finally, unleashing our digital assets. Customers are increasingly shopping online or using digital tools to enhance or experience their digital or their shopping experience, we've got an opportunity to unleash those digital assets. I'll walk through each of those four areas in more detail now. Firstly, retail fundamentals. I've been in retail my entire life, ever since I was a little kid selling fishing rods in my father's tackle store or boat shop, I love orientating towards the customer. There are absolute opportunities that Dan's has to reduce the friction points that we have for the customer purchase. Whether it's in-store and making sure that our navigational signage points the customer in the right direction they need to go, or whether it's online and the utilization of our website or our app. There are currently existing incredible pain points for our customers that we need to unlock, and I'm really happy to advise that we're making those changes as we speak. The app, for instance, I'm sure a lot of people in this room have experienced login issues with our app or log into your My Dan's account. Brendan and his team have already fixed that login experience. If you've experienced voucher codes that don't work, Brendan and his team have gotten to work and they've fixed those voucher codes. Already we've gotten underway. Jayne said we've got 180 big initiatives. We've got lots more little tactical opportunities to reduce that friction for customers, improving our navigational signage. I'll talk a lot more about space and range going forward. There are literally hundreds of pain points that we're ticking off to make sure there's a frictionless customer journey both in store and through our omni-channel networks. Operating a low cost. We can't be a lean, low-priced operation without having a low-cost operation. How do you offer a customer service level that a customer wants in a Dan's store and still be a low-cost operation? Let me share an experience I had a couple of weeks in. I was in a Queensland store with our GM of Operations, Darren, and we're standing watching a team member try to decipher a point of sale pack to go and execute the point of sale for that week in store, and it was 47 pages long. That team member had three different packs in order to deliver the retail execution for that particular week. Watching how many hours it took for that team member to decipher that information that was sent through from head office. A few short weeks later, those three separate multi-page packs have been reduced into one, and that pack is no more than 10 to 15 slides now for those team members. That's several hours that we've saved every two or three weeks in our business, times 283 stores, and has not had an impact one iota to the customer service levels on the store. In fact, it's freed up those team members to spend more time doing what they should be doing and working with our customers to sell them the products that they're looking for. These kind of consistent execution is what we're looking for as opportunities for Dan's from support office, from me, all the way through to our front end. How can we do things more simple, more efficiently, and with a better focus on what the customer needs? Unleashing the power of our team. We're unlocking our team to make sure they can make decisions, not get bogged in the quagmire of meetings and discussions with no outcome. Every meeting has a purpose focused on the customer, and let's make a decision and move forward. Moving on to price. As Jayne said, Katie Hodgson did an amazing job in August last year and reset the Dan's price. This is what Dan's has been known for. For 74 years, Dan's has been a price leader in the market. In recent years, we haven't been great at delivering on that. Now we are. Dan's will reestablish its position as not being beaten on price in the market. There are ways we can more effectively do that. We're working on tools and systems to ensure that we can do that in a lot more efficient way. The cornerstone of our strategy is nobody beats Dan's, which goes to our marketing communications. Sometimes we've been a little bit inconsistent with our marketing communications, or we've layered multiple things on top. Even today when we talk about price, we have Lowest Liquor Price Guarantee. Nobody beats Dan's. If you find a better price, we'll beat it, and an Eye for Value campaign we've done recently. What we're looking at doing is resetting our marketing approach to make sure we've got a much more customer-led orientation and galvanize a marketing message around what the customer believes and what our brand proposition is in a way that customers fully understand. The opportunity not just in price, but to drive engagement from our members. One of the big reasons we have an over 80% tag rate of members in our stores is members can get the advantage of the My Dan's membership pricing. We're looking at how we can simplify that and offer our customers a much more engaging approach that will drive not only them into store for the pricing in the first place, but repeat visitation going forward. Tailored range. A huge unlock for Dan Murphy's. The left-hand side shows an illustrative graph of where we have a disparate return on investment for the subcategories that we have in stores. It's no secret that we're passionate about wine, absolutely, but we're seeing that we're over-ranged. Our macro space needs a reset to make sure we've got the products in store that customers want to buy, but we allocate appropriate space for them. Already I know I'm answering one of Craig's questions, which is RTDs is an area that we've been under-invested in. The customers are seeking new ranges and new possibilities in wine as well. Catriona's going for passion fruit. I'm going for Fiano this summer. We've got to make sure that we get our range right in the categories we're experts in, such as wine, to make sure we're tailoring that range for the customer in the season that they want. We're also going after these new drink varieties and whether that's RTDs or whether that's imported beer or whether that's low alcohol or no alcohol products. We need to space them accordingly. We don't just need to space them accordingly, we need to put the right product in the right place at the right time. We also have to get our segmentation and our categorization and our clustering right, get assortment planning effectively done, that all of our 283 amazing stores in A-grade locations are suited to the clientele of that particular area and that particular store. Digital assets is my last area. Huge opportunity. Customers are shifting, whether it be their research or their shopping behavior, to online channels. As I said, we've got 5.6 million active customers who have shopped at Dan Murphy's in the last 12 months. The vast majority of those customers are using digital assets, whether it's our app or our mobile or our desktop web platform. There's so many opportunities to enhance that. Our web visits are 3.5 times what our nearest competitors are. We have an incredible asset there available to us to not just sell customers product, to make sure we've got an extended range available to them, to make sure we use that as a platform to inform our customers, educate our customers, and also entertain our customers. This base plate we have is an incredible opportunity to leverage the way customers are shifting their shopping behavior to help them on the journey as a complete omni solution for all Dan Murphy's customers. Those 283 stores, they're a great asset for us to do omni fulfillment. Our express service, which most of you would be in that area, can shop online with Dan's and have that delivered by the time you get home today. Thank you very much. I'll pass you over to Jeanette to talk about the amazing opportunities in BWS as well. Thank you, Benjamin. Certainly, some exciting times ahead. It's a pleasure to be with you today. I've been with Endeavour Group a little over four and a half months, and I need to say that I absolutely love the brand. Catriona's reference of BWS with a twist is truly true to the vibe that you feel when you walk in our stores, and we have incredible team. The BWS strategy is first and foremost deeply anchored in our unmatched convenience. With 1,451 stores across the country, we are within 10 minutes of any urban Australian. We really are in your neighborhood. Secondly, as Catriona mentioned, it's anchored in deep customer insights and data. Over the last four and a half months, myself and the BWS leadership team have taken the time to wrap our arms around that data, to deeply understand every component of it, our customer segmentation, where they shop, how they shop, why they shop. In addition, we have got out into our stores, both our own and our competitors, across multiple states. We have spoken with our team and with our customers, and can I say, we are really clear on what they love about shopping at BWS, and there's many things. Equally, where they have told us that we have clear opportunity to do better. We really are the local neighborhood bottle shop of choice, and it is on us to make sure that we bring that opportunity to life in our strategy. We are clear on our opportunities. Over the next little while, I'll step you through what that looks like. Let's get onto it. BWS is the home of unmatched convenience. I love the stat that Catriona shared. 1,451 stores is our footprint. We are bigger than McDonald's. I'm not sure there's many retailers that can say that. Secondly, our team facilitate an enormous amount of transactions every single year and do a phenomenal job of it, both in e-com and in-store. We rate number one for convenience perception and number two on purchase intent right behind Dan Murphy's. Lastly, through our partnership with Everyday Rewards, one of the most well-known and acclaimed everyday loyalty programs in Australia, we have 4.6 million active members. Great assets alone is not enough, and it is what you do with them that actually matters. Therefore, we have significant upside in four key areas. First and foremost, getting the fundamentals right is a non-negotiable, and that spans right across the business. Secondly, convenience online is as important as convenience in-store, and we have a lot of work to do to evolve our digital experience for our customer. As is true to Dan Murphy's, it is true for BWS that we have a lot of work to do on range and ensuring that we enable discovery in quite a small box. We are clear on that priority as our customers have told us that we have to do better. Lastly, we'll make sure that through the engagement platforms that our customers love, we'll keep them coming back again. I'm a proud operational retailer. I have been in operations for a large portion of my career. I've seen and experienced firsthand just exactly what complexity upstream can do downstream to put roadblocks in the way of delivering and executing against a strategy and making it super hard for team to be able to deliver on the customer value proposition. The priorities that we therefore have for BWS span across every single customer touchpoint and making sure regardless of where you are in this business, not only in the four walls of the store, we need to do better and we need to remove that complexity. Our average store is 139 sq m. We have 1.7 team members per store and only one person on average per shift. It has never been more important running a small box retailer to make sure that we get these fundamentals right, and we will do just that with a resolute focus on making it simpler for our teams. I'll bring that to life practically for you. We've had to reset our inventory routines in our stores. It's a 30-page document that helps team in 135 sq m box understand how they need to run and manage inventory, which ensures our customers get the products they want, when they want it, how they want it. That routine was probably built for a 300 sq m grocery store. It's now one page, seven steps, and seven one-minute videos that are able to scale across a network of 1,451 stores and just on 9,000 team. In the course of six weeks, we have retrained 4,500 team members on a simple routine so that they can get it right every day to put the products our customers love and need in their hands simply and easily. Therefore, the reset of retail fundamentals cannot be underestimated, particularly for BWS. We cannot mess around. We do not have enough team to run a business with a 30-page inventory process if everybody puts that into the store. We will make sure we reset across customer, we'll make sure that we are disciplined in our execution, and we'll make sure that we invest in our team so that they are empowered and capable to be able to serve our customers. If we do all of that, we will run a low-cost retail business. Again, over the course of my career, I've seen how complexity upstream drives cost in downstream. There is an enormous amount of opportunity for us in this space. We will evolve our digital experiences. I've spoken about the fact that convenience is not only in store, but it is equally when you log onto the app or when you sign on to the website. It's about needing to be fast, simple and reliable, and we certainly are not always that when you log onto our app or when you go onto our website. There's work to do in making sure that we bring discovery to life and that we amplify the great deals that we have on offer for you, particularly in the current environment where the customers are feeling the pinch and the cost of living. We need to make sure that they can find our deals super quickly. With a network of 1,451 stores, we have actually built a localized fulfillment network, and we will ensure that we maximize that to its fullest potential. In the last 12 months, our average delivery time of an order to anyone, in the area in which we service was just 34 minutes. There's very few other businesses that can, in actual fact, meet that. Our partner platforms are vitally important to us, and we will continue to focus on those and work with them to get the best outcome for our customers. The one I probably want to focus on is the amazing partnership that we have from Woolworths. As Jayne has said, I come from Woolworths. I spent 10 years in that amazing business, and our partnership has never been stronger. We are well-positioned to service our customers, whether they choose to shop liquor only or whether they choose to add liquor to their basket when they shop grocery. We are available in the Woolworths app and on their website. We have 626 partner stores. We service out of seven customer fulfillment centers and two eStores. Our reach through the Woolworths website is far and wide. Again, I'll say we are well-positioned. If customers choose to shop grocery and liquor, they can do so. If you're not a Woolies shopper and you don't jump onto the app often, I would encourage you to do so because in this year so far, we have run a number of great offers in partnership with Woolworths to amplify liquor on the Woolworths website. If you were on there since last week or this week, what you would've seen is we are running a whopping 20% off liquor on the Woolworths website. Make sure you shop some products and you add some liquor to your basket. They come up frequently, but we are clear that that customer needs to know that we are there, and along with Woolworths, we have amplified our presence to do that. The one that I'm probably most excited about is in-store experiences and range. If you are the local neighborhood bottle shop of choice, then you need to make sure that you are showing up for the customer and giving them their favorite products that they love and need. However, I would say to you that when you probably walk into our shop, there's just way too much going on at the moment. There's way too much range. There's unclear price messaging, and we are certainly not giving the right space to the right lines to make sure that when you choose to shop in our business and we peak from a trading perspective, that we remain in stock of the lines that you love. That is what this piece of work is all about. It's about making the 139 sq m box work that much harder. Equally, it's about making sure that if you jump online, you see that same experience. You can discover new products. You can find them in store. Along with our trade partners, we will bring innovation to life to ensure that our customers find the new products they're looking for and the inspiration that they are after. We'll use retail media to uplift that experience. Last, but by no means least, our engagement platforms are critically important to us. Everyday Rewards is a great partner for BWS, and the 4.6 million active members are vitally important. Equally, through Appy, we have seen tremendous growth and engagement. These two platforms are no more and no less than making sure we keep our customers coming back again and again and again. We will work with those partners to make sure that we give customers compelling reasons to come back, because value is important for BWS as it is for any retailer, and we cannot look past that. There are many ways to bring value to life. This is one of the ways that we do that. In summary, the BWS strategy is anchored in convenience and in deep customer insights and data. We will focus on how we amplify localized and inspirational range. We'll make sure that our customers are clear and can easily spot the value we bring to them. We will evolve our digital experience, and we will certainly double down on our engagement platforms to make sure that our customers keep coming back for more whilst remaining competitive in the market. Thank you very much, and I'll now hand back to Jayne. You should get the water. Yeah. Hopefully that gives you a little bit of a sense how we're thinking about the retail opportunity that we have in front of us, and it gives you a little bit of confidence in how much the well can bear with respect to the retail fundamentals piece, in addition to getting the segmentation bit right. With that, I'd say a huge thank you to Benjamin and Jeanette and Catriona, and invite Paul up to the stage. Do Q&A. Q&A. What? Q&A. Oh, Q&A. Sorry. I promised and I didn't deliver. That I won't do again. Great. Questions. Hi, Jayne and team. Ben here from Jarden. It's really interesting to hear all the strength of the portfolio. I suppose I'm just trying to understand is how you get more out of the box, because globally, historically, category killers typically peak at 40-ish share. They struggle to push above. Are you gonna lean more aggressively into EDLP? Are you gonna make it store-based? Are you gonna put more products into the box to try and find adjacencies? I'm trying to get a sense of how you actually do and leverage the assets that you've talked about today, because it feels to me you've got to grow share material in your category to succeed. How do you do it on these assets you've presented to us? Sure. Without sort of breaking down a blueprint that we can't do because we can't give you the detailed blueprint in terms of what we're going to execute against, because we're giving our competitors a free kick when we do that. There's a tension here, which I'm just going to acknowledge straight up. The backdrop to this is there are 10,000 retail liquor licenses that have been issued in this country, and we have roughly 1,740 of them, and we're a very significant share of the market. There's a lot of small players where, I don't know, we're over two times the next largest player in the marketplace, close to three times the next largest player in the marketplace. We're the undisputed market leader. If I were a betting person, I would say that there will be consolidation that happens in the market around us. That's the backdrop from a market standpoint, and then you look at Dan Murphy's, and you look at BWS. We are saying to you today that we understand customers, we understand occasions, we understand the bullseye for Dan Murphy's and BWS, and we will use our real estate and our retail positions to deliver against the needs of those customers across a spectrum of things that they want to purchase from us against the occasions that they're shopping for. That's alcohol, that's no alcohol, that's light alcohol, that's huge innovation on pack variants and formats and flavors, and working closely with our trade partners to figure out how to drive the energy back in the category, which has been missing over the course of the last four or five years. We're also saying that we will do other interesting things that sit around that, but we're not going to detail what that is. Maybe just one more from me. I think previously you talked to margin as one of your biggest assets within retail. Do you still perceive that, and how do you weigh up between margin and top line? Is top line really the priority over the next six, 12, 18 months? I think the most important thing for us in retail, most of you had picked this long before I started, the most important thing in our retail business is that we're growing. To focus on margin as opposed to serving the customer and driving growth means that it's diminishing returns, it's a very difficult slide because your fixed costs ultimately eat you. We have very high confidence that we can deliver very strong earnings growth. We're not going to commit to margin targets because that would be to commit to the sins of the past. We're not going to be specific about what that looks like because we know you expect us to deliver, not make promises. Hi, Jayne. Craig Woolford from MST Marquee. You talk about growth, and I agree that every business needs growth. What do you see Endeavour's role in driving industry growth in liquor? It's obviously been very weak on the retail side for quite a few years. What settings have you got with your strategy around what industry growth will be? Well, I guess the first most important thing that you probably pick up from looking at our strategy is there's no part of our strategy that depends on industry growth. We have the ability to drive growth without the industry growing. If I've ever seen a business that has more potential than ours, given our market strength and our lack of focus on leveraging our leadership, I can't think of what it is. This is a strategy that is independent of needing the market to grow. That said, I look at the industry and I think, shame on us, because we have all this data and wisdom and insight, and we're not driving innovation against the things that matter. We're not doing that looking at each generation of consumer, and we're not looking at it through the lens of the different types of consumers across those generational platforms. I know that our biggest trade partners believe the same thing. We've got a lot of data they don't have access to, and they've got data we don't have access to, and together, we have a very big innovation agenda. It's on us to drive the energy in the category. We're such a big player, and the market's so fragmented, nobody can afford to do what we can afford to do, and it's on us to do it. We intend to do that. Does that mean a change in the data sharing arrangements you have in liquor with suppliers? It definitely does. Thanks. Hi. It's Bryan Raymond, JP Morgan. First one's just on Dan Murphy's and the pricing approach you guys are taking in the gross margin outlook. You do say once again, that you're not going to be beaten on price, which absolutely makes sense. Just thinking about the storewide discounts, in particular, that are online, and right now there's a 14% discount on there, and it seems pretty consistent that there'll be something in that 10%-15%, giving you a 23% gross margin or thereabout. It's pretty hefty, sort of, funded only by Endeavour sort of discount you're putting through there. I'm just interested in how you're thinking about that going forward, if that's a reactive tool to your competitors, or something you expect to just be in the base going forward, because it is obviously weighing on your gross margin to some degree, given your online growth's been very high. Sure. It's a great point. There are two aspects of the price reset. One is that we reset shelf prices in Dan Murphy's so that we delivered on the commitment that we've made to customers, which is you go shop at Dan's and you walk away with material savings. That'll never change. The second piece of it is the promotional activity, that comes from us saying we are competing. We're not going to sit on the sidelines and let somebody do crazy cat stuff and steal customers and share from us, which we had been doing. We're not going to do that anymore. Kate arrested that, and we've taken that to its fullest. That is entirely market driven. We have the best EBIT margins in the industry. I can't see how that continues for a long time. As long as it goes, that's what we do, and that's embedded already in the margins that we have discussed with the investor community. I guess the way I look at it, though, your starting prices are a fair bit lower than some of your competitors out there. You're offering like for like storewide discounts. It just feels like you're going over and above some of your competitors in that sense. It's just a balance. We're not going to do anything that we think is over and above, and so we're going to compete, and we're not going to apologize for being competitive, and nobody's going to take us apart on price. Okay. Just second one from me, if I can, is just on BWS and just the store network. I think you guys highlight the breadth of the network there at over 1,400 stores. Also given the relatively fixed cost labor pool you have in the store with, I think it's 1.7 people on average per store. Wage rates probably we're going to hear shortly from the Fair Work Commission isn't going to be a low number. How you guys are thinking about store profitability and store growth and whether you need 1,400, 1,500 stores? Is BWS still in growth mode? Is there an opportunity to rationalize that network? I'm sure there's a tail of stores that maybe aren't as profitable as some others. Yes. Look, the reality in our business is that our strategy is not a store growth strategy. Those days we think are done, at least in the way that we see the next three years. That doesn't mean we're not adding stores, and it doesn't mean we're not deleting stores. We will be adding stores, we will be deleting stores. We'll be managing the portfolio the way you'd expect us to manage the portfolio against changing demographic shifts and where the growth areas are and new community developments and all that sort of stuff. We will be growing, but we will be deleting, and we don't think that the net position is driving huge growth. We also don't have any plans at this point to dramatically reduce the footprint. I said at the start, scale is one of our biggest advantages. We are twice the size of 7-Eleven. We are bigger than McDonald's. We serve the community. I love Jeanette's point. We're 10 Ks from everybody who lives in an urban community in Australia. That is a huge asset as a retailer. We view it as exactly that. It's on us to make sure that we use that space productively. What we're saying to you today is we're clear that we're not using the space as productively as we could be, and we could have done things a bit differently in the past, just in our category, let alone thinking about making sure that we're serving our customers' needs in the most lateral context. Shaun Cousins, UBS. Hey, Shaun. Just a question on loyalty. You have, I think, maybe three or four loyalty assets, I think pub+ in hotels, but My Dan's Everyday Rewards, and then you've got Appy Deals. Do those systems talk to each other? Do you glean insights from that? Do you need to invest more to actually get insights out of the engagement that you have with customers? Look, that's an excellent question. As I noted earlier, and has been made clear by Catriona and Jeanette and Benjamin too, understanding our customers and the customer data that we have is super critical. I've talked about the importance of making sure that we're thinking about customer laterally across the group. We will do all the appropriate things to make sure that we bring that to life and monetize it appropriately. Sorry, do you know your customers across different data plateaus, like Matt, the tequila guy that was brought up earlier. Yeah, I'm not going to talk about whether our systems- Do you know them? Do you know that that individual might be in My Dan's. Might be an Everyday Rewards member? Can you identify customers so that you can see how they're transacting with you across the various hotels, but also the different retail brands you have? Yeah, look, I would say that our data and our systems are not perfect. I don't know many businesses who have a single view of customer in their organizations, most who've tried, spend a whopping amount of money, then it's obsolete by the time they get there. We're being quite pragmatic about that, but recognize that we understand how important that data is. It's how important the opportunity is to unlock the cross-flow benefits in our portfolio. Great. My second question is just around revenue growth seems to be the priority. Do you anticipate you'll get EBIT growth in fiscal 2027? Just conscious of there's price investment that's probably been nine months of fiscal 2026 in retail, so there's a bit to go in the first quarter. You've got the AUD 100 million savings, but I'm just curious if you can get EBIT growth in retail in fiscal 2027, please. Well, look, frustratingly, I'm sure, we're not going to be putting out forecasts for 2027 or trying to frame that in any particular way for a bunch of reasons. Atop of that list is who knows what's going to happen in 2027. There's a fair amount of uncertainty at the moment. All we're doing is ensuring that there are two things in focus, cost out and revenue up, those are the two things that are in focus across the entire portfolio. I'm very confident that we can keep revenue growth happening even once we cycle on top of the price changes and price reset. Why do I think that? Hopefully, you get a sense from the things that we're talking about. We have lots of levers to pull to improve the footfall into the stores, improve the basket size, improve the experience that we're delivering to customers. We know what our dropout rates are when people are coming through various different channels into us. We see lots of opportunities for improving revenue growth. They're not finishing on the basis of cycling price. I can't predict what's going to happen next year. I can't predict wage increases. We know we're going to have heftier inflation than we want. By the way, it's on us to advocate for the consumer. It's on us to work closely with our suppliers to ensure that we protect as much as we can price increases from the consumer, because we just don't think that's healthy in a time where we've got such significant inflation coming. We're conscious of the world around us. We're obsessed with two things, revenue growth and cost reduction. We know we're in a more uncertain world than we've been in for at least five years. We just have to be fast on our feet during that. By the way, we've had to do that in the past. I think most of us have gotten a little bit used to sadly being creative and flexible and adjusting course quickly. Morning, Jayne and team. Caleb Wheatley from Macquarie here. In a similar vein to a couple of the prior questions, but appreciate the price reinvestment, which looks like it'll still be a feature for some time. Also this sort of focus on in-store experience and customer engagement. Just how are you thinking about the sustainability in terms of that cost to serve as you look to still engage customers and drive the category? Sustainability in what sense? Just in terms of not continually having to reinvest in price and the GP margin pressure that we'll probably see at least in the short term. Yeah, look, I think we've done the price reset. The only thing that would cause us to need to go more is if the whole market decides to price reset. I can't see how that happens. As I said, our scale is a massive advantage, and you'd expect us to work hard to understand the world around us as much as ourselves and as much as the customer. I don't see the need to do that. We will do that if we have to, but that's not anywhere near our plans. We don't need to keep taking price down to drive revenue. We've done a price reset that ensures that Dan Murphy's is in the right position with respect to the proposition it provides to the marketplace. Benjamin talked about the importance of getting more sophisticated in the way that we do that, which means it'll cost us less. We're not talking about how much less or anything else, but we will get smarter and better at how we manage price, and we will get smarter and better at how we manage cost. Both those things are to the net benefit of the bottom line. Okay. Thank you. The second question, if I could. Private label, I'm sure we'll hear a bit more about that later on. Jayne, you've said previously that private label still has a role to play across the retail banners. Obviously, a bit of news this morning that there's some curtailment happening there. Just how are you thinking about the role that private label now has to play off the back of the news that we saw this morning? Yeah, look, the news this morning is not in any way diminishing the role that Pinnacle plays in serving our retail businesses, and it doesn't diminish in any way the importance of private label to retail. What we're effectively saying is we don't need all those assets to do it. We're selling the assets. We fully intend to keep selling the products, but we don't have any need to have the assets in order to manage those brands. We've said today that we're going to sell everything that isn't germane and core to what Pinnacle does every day to provide great products to Dan Murphy's and to BWS to ensure that we're positioning appropriately to consumer tastes and needs. It's Michael Simotas from Jefferies. I've got a couple of follow-ups, if that's okay. The first one on pricing. I just want to understand your confidence that the price reset has been enough to restore the customer value proposition of Dan's. The reason I ask that is 10 years ago, when Dan's was really firing, it was nigh on impossible to find a lower price on anything, anywhere. I still can now, and maybe that's pricing being more dynamic and more visible, but is it a case that you just don't need to get back to where Dan's is, Sorry, where Dan's was, or is there potentially more that you need to do? I'm guaranteeing that Benjamin is keen to talk to you about what you're seeing and where you're seeing it. Because the intention is nobody's beating Dan's, and that there is daylight between Dan's pricing and the rest of the market. I think we're very confident we're doing that. I don't know what the ratios would be, but I would assume that we are very confident we're doing that 99% of the time. We have lots of technology to help us understand what's going on around us with pricing to ensure that we're continuing to course-correct and adjust. I don't know if you want to add to that, Benjamin. Yeah, I think pricing is a sophisticated layer cake of your on-shelf pricing, your proactive promotions that you're doing in-market, your reactive promotions you're doing, which has been called out, and at the very last straw, there's the opportunity to have the price beat, which is unique to the market, to Dan's. If you do find that product, go see Brent in the store, and he'll absolutely beat that price that you've found. Okay. The second one on Pinnacle exclusive private label. I know that the chart on Slide 23 for Dan's was sub-category, but just interested sort of broadly speaking, what private label would look like in terms of profitability per linear meter for your business versus branded categories. Do you think you're getting enough out of your shelf space in private label, or do you need to potentially adjust the products, adjust the penetration in that category to optimize your space? Look, I think we might have announced in January that we had done a SKU rationalization in Pinnacle. We did that already before we even started the year. That's an ongoing process, just like it should be for third-party products. We won't manage the Pinnacle SKUs any differently to the way that we manage the rest. We're very proud of the benefit that private label products bring to the P&L, but we won't talk about the specifics. Does it need to be as profitable per square meter as branded to deliver what you need it to do? It's more. We're managing SKUs because in private label, in every retailer, should be delivering more margin per square meter than the other products. We're very focused on managing SKUs to ensure that we are playing the right role with our private label products, and we're sitting squarely on the right mix of customers as we do that. We have quite a good laddering approach in the way that we manage it. The thing that we hadn't done is look at performance per square meter, and we've done that, and we've deleted range as a consequence. That's been done, and we announced that in January. Good. Thank you. By the way, you're never done with these things, and Benjamin talked about it earlier. You're constantly evaluating how well the SKUs that you're carrying are performing. Dan Murphy's stands for two things, not just price, but price and the most extraordinary range you could find anywhere in the country. Like, that nobody can beat Dan's on range, and nobody can beat Dan's on value. Our range is exceptional. We have some very expensive scotches in inventory, if anybody's interested. Benjamin's got a list of things that you might want to bid for at the end of the day. We've probably gone a little bit too crazy on range, and Benjamin's talking about bringing that back in. We also haven't thought clearly enough about how to use omni-channel against the spectrum of customers that we have and against the spectrum of range that we have. There's plenty of opportunity for us to continue to innovate on that count in terms of delivery of range at great value. Morning, Jayne. It's Tom from Barrenjoey. Just a question on how you're looking at the retail category growth. Obviously, abstinence is up. When people do drink, they're drinking less and less frequently, and they're also shifting more to the on-premise channel, which your market share is a lot less in that channel versus the retail channel. How do you kind of think about all those factors and how you're setting, I guess, the business up for category growth? Look, I think we've talked about that a little bit already, but a couple of things. You made some just very big general statements which aren't actually factually all true. There are a variety of different behaviors out there. Some people are drinking a whole lot on certain occasions and then not very much outside of that. Some people are just doing what they've always done. Some people are drinking generally less. The next generation, like when I told my 18-year-old that I was contemplating accepting this job, he's so excited. He's like, "Oh, airlines? And now BWS?" And he's like, "Oh." Like, he just couldn't be more excited and more proud. And I'm like, "BWS?" I was expecting him to say Dan's. It was BWS. Why? Because that's his generation. What I would just say to you is that this market is not a one size fits all, and there's not one general behavioral trend. There are a variety of behavioral trends. We have not been paying attention to them in the way that we could have and should have and will, and are now. It's on us to be clear about the huge color and richness in Australia and how we play to that color and richness with the right products and services, given our extraordinary retail positions, both in breadth and in depth. That's on us, and it's on us to work with our suppliers to ensure that we're innovating against that insight and clarity so that we're playing into the needs of the 18-year-old community, and the 19-year-olds, and the 20-year-olds, and all the way up through starting to get more serious in life. We just frankly haven't. The industry hasn't. What you see in that next generation coming up is they go out and they have a lot of fun, but they're not drinking a lot in the pub and they're not drinking a lot in the club. That doesn't mean they didn't drink a lot that night. I can guarantee you that they have, but they've done that at home with their mates. They go into BWS and they load their pockets up with singles that they can drink on the way to where they're going, or they take it over to a friend's house. Bottle of vodka and Red Bulls in a refrigerator is kind of a normal thing. I know when I get home at the end of the night, if I've been out for dinner with some friends and I open up the fridge and there's a quarter of a bottle of vodka left and there's one Red Bull, I know what happened in my house before they went out. I think we just need to be thoughtful about the fact that there are a variety of things going on around us, and health trends are really important to be paying attention to and understanding, and for us to be responsive to that. I think we're not going to be specific about how we're managing it, but we're not worried about the category. We are very conscious of our footprint and our role in serving the community in both retail and in hotels, and making sure we're taking advantage of the opportunity that we have every day. We have huge footfall through our stores, and we have people coming into our stores who have a variety of needs, and they're there for a particular purpose, and we haven't been as good as we will be with respect to serving them. Thanks. Your kids sound lots of fun. Hang out with them. Is it fair then to say that you're expecting faster growth in the category versus what we've seen over the last two or three years for some of those points you called out? Look, I think it's going to take some time for the category to get its act together. There are two things that are happening at once. We've just got to be mindful of that. What we would hope to see is that we're bringing the energy and the fun back to the category. That comes through the life and the excuse me, the color and flair we bring through our two extraordinary brands. The most important message you take away from today is that we are agnostic as a business with respect to whether the category's growing or not in terms of our ability to deliver earnings growth to you. Morning, Jayne, it's Peter Marks from Goldman Sachs. Just a follow-up question on Pinnacle and the interplay with your comments on space allocation. Do you think in, I guess, over the past five years, there's been too much space allocated to Pinnacle? I think the last time you disclosed it was up to 18% of your sales. Is that too much, and do you need to wind that back, just to get your range right? How do you balance that with margins? I guess that's a higher margin category for you. Thank you. I'm just about to create a disaster. Thankfully, it was almost empty. I'll say a couple of things and then pass it over to Benjamin and Jeanette, but the role Pinnacle plays in our business is a really important role, but that's driven by what matters to customers. We're starting from customers, and if customers preference Pinnacle products over other products, then we'll add shelf space to those products over other products. If they don't, we won't. It's a pull-through, demand-driven strategy. It's not a, we decide and we're managing to a margin, therefore we push out, because that's not smart. It doesn't lead to volume growth. Do you think that's what's happened though, I guess is the question? Look, I don't have the ability to look clearly back through history, and I don't know how helpful that is, but I know what it looks like going forward and how important it is to us just to be super clear about customers. Benjamin, you might want to just talk a little bit about how you're thinking about space and the management of space between the various different choices that you have. Absolutely. As Catriona said in her opening, we launch about 1,000 products into our business, both Pinnacle and proprietary brands. What we possibly haven't been as good at is getting out of the long tail that we've got. That announcement around the long tail, some of that is absolutely Pinnacle product. I think what we're really focused on is delivering the right product for the right customer in the right location. Pinnacle plays a pivotal role in that, in allowing us to bring products quickly to market through new product development, through that vertical integration, offer them competitively to customers. We have some absolutely fantastic products delivered through our Pinnacle business that would be absolute assets to have on your shelf at home. There are some incredibly great wines and products that Pinnacle are delivering to us. Can we get tighter? Can we get faster on the range turnover? Absolutely. It definitely deserves a role within our business. Jeanette's got similar sort of perspective. You want to contribute to how you're thinking about SKU management and range in BWS? I would say this often, we're a 139 sq m box, and we need to make sure that every line we have in our store works hard for us. We will ensure that we tailor our range to meet our local customer needs, whether that's a Pinnacle product or one of our trade partner products, and getting the density of that right is critically important. Private label plays an important part for us, and there's some lines that our customers absolutely love, and we need to do better in terms of giving them more space. Equally, there's some lines that shouldn't be in our store. When we do delete lines, leaving them in our shop and not clearing them out creates absolute havoc in a box our size. We will do a lot of work to make sure that we clear out on the range that should not be in our stores anymore. Okay, we might wrap there and then move, because I know Paul's dying to get up on stage. Catriona doesn't get to leave. We might wrap there, and then if there are any questions that we didn't get to, we can circle back and cover those off a bit later. Thank you, guys. There we go. Shall I go? Perfect. There we go. It's working. Welcome everybody. For those of you that I haven't met, I'm Paul Walton. On behalf of Jayne, our publican here, and myself, a big fat hospitality welcome today. Catriona and I today will be taking you through a few things. Firstly, just some of our guest insights, what we're understanding about our guests. The second is what we're uncovering about hotels. The third is, what does that mean in terms of opportunities and priorities? We're standing here today in The Forest Hotel. It's actually one of my favorite hotels and it's also my local, which is great. Very close to home. It, like a lot of hotels, it has a great history. It commenced in 1960. It was a Tooth Hotel, and it was originally called The Antler. It then became The Parkway on the way. About five years ago when we renovated and rebuilt the new hotel, it became The Forest. It had two nicknames in the 1970s, and they're probably my favorite, that was Swill on the Hill and the Fountain on the Mountain. Probably its greatest period was in the 1980s, and one particular night was its peak, and that was when the victorious Forest under 13 rugby team came here for their dinner. There was one particular player at the time, a 12-year-old, that absolutely drowned himself in full-strength Coke. Oops, wrong button. A few years ago, I visited Ireland, a little town called Athlone, which is in the middle of Ireland on the Shannon River. There's a pub there called Sean's Bar. The claim to fame of Sean's Bar is that it's the oldest operating pub in the world, starting in 900 AD. In 900 AD, a guy called Luain was rowing people across the Shannon River, and he decided to offer them mead as he was rowing them across, and he built a little pub, and he put sawdust on the ground because it used to flood regularly. Fast-forward 1,100 years, Sean's Bar is still there. It's famous for its local whiskey that it produces. It's famous for its live music, and it's also famous for the sawdust, which still sits on the floor. I think what that tells us, the story of Sean's Bar, is the resilience and the adaptability of pubs if they're able to connect with the community around them and evolve in a way that it meets that community needs. Think about the business that you're looking at. Are there any that you think are going to be around in 1,000 years? I think that also talks about the market that ALH operates in. It’s a really strong, buoyant market. AUD 34 billion across food, beverage, accommodation, and gaming. Since the COVID period, as people look to live more experience in their life, the hotel’s operating market has been a really good, growing, healthy market. I’ll hand over to Catriona to talk about some of our guests. Just like with our retail business, our hotel strategy is based on deep insights about our guests. We use that information to both tailor the offer to our guests, but also to send them more personalized, tailored communications. Paul later will talk about some of the ways we think about customer insight shaping how we think about menu design and renewals. A lot of this, the data comes from pub+. This is our loyalty program. It's grown significantly over the last 12 to 18 months, and now we have more than a million members. That gives us a unique insight into guests who come into our pubs, how often they come, what types of beverages they take. Do they go across food, beverages, and gaming? It really allows us to tailor what we offer to them. What sort of offers might you get as a customer here? It might be a food and beverage offer where the beverage is probably supplier-funded, or it might be AUD 15 off for your next visit, trying to attract customers to come into the pub. We know that when we do a AUD 15 off, people typically spend AUD 40 or AUD 50, and they probably bring in their family with family and friends. It's a great way to reinvigorate traffic into the pub. We also talk to customers who haven't visited us for a while, and Paul will give a good example of reactivating customers. If you forgot to put your footy tips in this week, we'll also send you a reminder for that, which in my head is all about AFL, but I understand this is more about the NRL here. State of Origin tonight. I know. I asked Paul, actually. I said, "Oh, who's playing?" I think he was pretty aghast. We have 300 people in this room tonight, so it'll be exciting. It'll be big, I'm sure. Yeah. I barrack for Essendon. It's been a big week for me, too. In addition to our retail business, we basically took an outside-in perspective on the Australian market, looked at qualitative and quantitative data to say who are the key customer segments and what are their needs. There's four segments that really are important to us. The first is experience seekers. A lot of the people who'll be coming tonight will come and watch the footy, have a meal, have a drink, and probably do a punt. They're really sociable. They're looking for that quintessential pub experience. The next segment is gaming enthusiasts. These are customers or guests who really choose the venue because of the game. It must be their favorite game. It's not just the game that's important, it's the ambiance of the room. Has it got the right mix of privacy or space for socialization? They also have a drink, and they'll also eat, so again, they go across each of the key drivers. The third segment is relaxed diners, probably skewed older, more 55 and above, and they really come to the pub on a Thursday or a Friday night with family and friends. Their spend is higher, and they still look for value. The final segment is social parents who are looking for a safe and family-friendly environment. They'd probably go to the kids' playground, which this pub has. Maybe it's on a Sunday afternoon, or maybe it's midweek between the school pick-up and the extracurricular activities, and you need to just get the kids fed. Each one of these segments have different needs, and we think about serving them differently across each of our 350 pubs. You can probably think about yourself as what sort of segment you fall into. I'm definitely the relaxed diner, although I'm not over 55. My son is an experience seeker, so he would definitely be here on a Friday night with his friends, having a drink. I don't know what you are, Paul. I suspect you're an experience seeker, but over to you. Thank you. I think by definition, I'm an experience seeker, because I think about this pub and I've spent time in every part of the pub, but I think it overstates how exciting I am when I go out. ALH has what I would consider an unrivaled fleet across Australia, 352 pubs, from great accommodation pubs like the Mission Beach Hotel in North Queensland, iconic destination pubs like the Brekky Creek in Brisbane, great family pubs, community pubs like The Forest here in New South Wales, I think probably one of the best gaming pubs in the country, The Skyways in Melbourne, relaxed beach pubs like The Ramsgate in Adelaide, and inner-city pubs, absolute cracker, The Queens in W.A. For every Forest that we have that has met the opportunity it has by really connecting with the community, we have pubs like the Narrabeen Sands, which is five km away, great pub, but it hasn't been invested in in 18 years. It's got some great competitors around it, and it's got all of its opportunity in front of it. I came here and presented in 2023, and I think at that time, whilst we understood the problems we were facing, we didn't take the time to really get under the hood and understand what do we have to do differently to activate those. I'm really excited to say, this time, we have. We've really stuck to a data-driven baseline in terms of what we're doing, and we've gone out and we've spoken to 100 of our top publicans, and we've brought them in and really understood from the ground up what is it that's going to make a difference for them and our guests. We've gone out and spoken to our guests. We've looked through all of the data we have, including pub+. We've also surveyed thousands of our guests to understand what are they looking for and what are we not offering them that they could have. We've also gone and mapped all of our hundreds and hundreds of processes through the pubs to say, how do we make this better for our publicans and how do we make it better for our guests? Finally, we've looked at all of our financial information over the last few years and really got a really strong grip on what are the things that make a difference. What are the things we're doing that work? What are the things we're doing that don't work? That we can focus on those. We've had some changes in the way that we think. First of all, our hotels is no longer just a platform for retail growth, but it's a strategic growth platform in itself. We're moving away from a really passive way of managing our pubs to active portfolio management. How are we renewing them? How are we giving them operational uplift plans? Where can we redevelop them? Et cetera. We've really thought carefully about how do we balance that local connection and entrepreneurship with the scale that we can bring as a group, and how do you connect those two together in an effective way. Finally, we're really thinking with a growth mindset and how do we accelerate our investment in those places that we know return. That's led us to a strategy built around six pillars. The first of those is leveraging the amazing guests and data insights we have to evolve our offer for our guests. The second is unlocking operational efficiency so that we can get our best publicans out with our team and out with our guests and drop some money into margin. We're accelerating our investment in both our portfolio and our gaming machines. We're uplifting our accommodation offer. We're growing the pub + program so that we continue to build loyalty to our pubs, as it's a real differentiator. Then finally, we're continuing that commitment we have to compliance. Starting with guest data and insights. We have what I would say is unrivaled guest data and insights. We have access to our pub+ program now, all of the data from there. We've got SevenR ooms. We've got me&u. We've got all our transactions across food, beverage, gaming, accommodation, our websites, et cetera. We've got a huge amount. We're able to use those, put them together, and use them to evolve that guest offer. I think Catriona referenced before that we use our guest data to really shape our menus. The way that we look at our menus now is we're able to put our pubs into, effectively group them into socio-demographic areas. This one here is a suburban premium. We're able to then work out what are the core items that people want in each of those pubs. How big do they want a menu? In a lower socio-demographic, it tends to be a tight menu. As we get more premium, it tends to be a broader menu because people are looking for choice, difference, occasions. How do we get our pricing right? We go and we scrape all our competitors to ensure that our core menu is competitive and we've got the right pricing for our specials. If you grab the menu here today and you take a look at it, we've got nine core items. It's a funny thing, no matter if people are earning an average of AUD 500,000 a week or AUD 30,000 a week, there's about nine core items that everybody wants to order across the country. They're just served in a different way. Here you will see they've got premium touches, those nine core items. We've got five specials, and that allows us to give something different and keep rotating for when people come and they want to have something that's either more localized or just a bit more premiumized. We've got three salads. That allows us to mix and match. It's often got toppers with different proteins, et cetera, for different dietary needs. Then we've got a combination of snacks and pizzas, which really just light and quick, take pressure off the kitchen at key times. We've obviously scraped the area, now we've got our pricing right, and that menu, because of those insights, is really nailing it here at the moment. We use insights like that across the board. Another example is in gaming. We get our machines, the right machines with the right games, the right links, the right jackpots in the right places to optimize the offer for our customers. We use similar insights across accommodation, beverages, food, and gaming in the business. 100% of the value we create for our customers is created inside the pubs. We're a hospitality business. We actually make it really hard at the moment for our publicans. We know that we have somewhere around 700 processes, different processes they have to run this pub, and across our pubs, we have more than 200 systems. We're slowly working that down. James, that works here, spends about 20% of his time out on the floor with guests and customers. We're aiming to get that to 50%. We've got a list of about 70 different things that we've mapped that we can start to do to make it better. Some of them are small. They make a small difference. They all make a difference. Some of them are large. They fundamentally change the way they work. An example, it was taking us 14 days to go from somebody appearing at a bar to recruitment. That gave us a huge competitive disadvantage, especially at Christmas time, especially in tourism locations where you've got great people, great skills that are moving around that you could grab, put in your bar. It was taking us too long. We've moved that in the last two months from 14 days to one day. On Friday, someone excitingly came up and said, "Hey. Someone came to one of our pubs the other day. They applied on the bar, and two hours later, we had them working behind that same bar." I was really excited to see that because that makes a fundamental difference to our team and also to our guest service. We're looking at other things like compliance. Another example that we're in the process at the moment, we've got four different ways that we do compliance, four different systems. All of them require going behind the doors into the back office. We're going to move that to a central interface. We're going to put it on a tablet so that our publicans will be able to do their compliance on the floor with their guests while things are happening, and that'll make a difference as well. All of those savings that we have, and there's hundreds of thousands of hours that are going to be saved, millions of hours, is able to give us lower costs, significantly lower costs. More than that, it's able to take our publicans, who are our best, most experienced people, from behind the bar to in front of the bar with our teams, with our guests, to deliver a better experience. I think, again, in 2023, we spoke about just beginning this journey in portfolio and renewals. What I'm really pleased to say is we're getting incredible results in this area, and we've been able to deliver a really repeatable method of doing this. We know what to do, and we know the returns we're going to get from it. It's really exciting. As I said, we've got more than 70% of our fleet that still are to be renewed, so this continues to be an opportunity. We know that more than 70% are exceeding our business cases. The way we break that down is into four main types of renewals. The first is a major repositioning. This tends to be a spend of about AUD 3 million-AUD 15 million, and it's the whole pub. Quite often, we'll actually rename the pub. That's how much we reposition it, and it's to just take it from where it used to be to a completely different position, and really, really great returns from them. The second is a renewal or a refurbishment. Tends to be somewhere around AUD 700,000-AUD 3 million, that tends to be one or two drivers where we've already got a gaming room that's been renewed in the last five or six years, for example, or a front bar that's looking great, doesn't need to have anything done to it. It allows us just to focus where we're going to get our biggest return. The last we've got, which we're developing at the moment, is light-touch renewals. That's really where it's probably a smaller pub, doesn't justify a full renewal, but it gets a good uplift from new furniture, new carpet, new paint. Most importantly, across all of these, is we go in and we redo the menu. We redo the training, we redo the sequence of service, and we re-market the venue. That's where we get a lot of the uplift. When we do a light touch, we get in, we do that refresh, but we go in and we effectively relaunch the offer that we've got in the pub. We know that that's getting us a great return. Above those, we've got our gaming investments as well. This year and next year, we're investing 50% more to ensure that we've got the best games and the newest games that we know outperform in the gaming rooms. In terms of pace, prior to 2023, we were doing less than 20 of these renewals a year. This year, we're going to be in the range of 35-37. We're running depending on how we finish in the year. Over the next three years, we're going to be more than doubling that pace. We now have the method. We now have the team. We've been building that up. We're going to more than double the pace in our renewals and then hit a steady state once we get to F30. A couple of case studies here. The Morris W.A., three years ago, it was The Saint. For those of you who know W.A., it used to have a big Sunday session. It's become a bit less relevant now. The Saint was in a premium area, but it was a pub that was built for the Sunday session of the 1990s. We spent AUD 3 million to really make it more a premium community pub, a bit like the Forest, but with a really strong sports office, a big sports bar out on a deck, and a great family restaurant as well. The outcome has been a greater than 20% return on investment in the second year. For those of you who like a steak sandwich, there's a famous influencer over in W.A. He rates the steak sandwich as one of the best in the state, get over there. Another example is the Skyways, already one of our top five gaming rooms in Victoria. It's our first, what we're calling, premium gaming room concept. That's going in there and doing an upgraded chair, fantastic chair, a really premium food offer in the bar, a premium sports bar within the gaming area, premium smoking area, and some great signage through the place. Skyways, after already being top five, has grown in the period since its launch, which was about six months ago, 20% in gaming and 15% in food, exceeding the business plan and what I think is one of the best gaming rooms in the country. If you get the chance, go and visit there. Accommodation is what I call our hidden gem. We've got about 2,500 rooms over 100 hotels. It's a really differentiated offer. It's got a consistent brand, both in terms of Nightcap, the brand, but also the quality of what we do across the fleet. If you're staying in a, what I'd call a moderate level of accommodation, the competition is much less strong, and you can get to-your-room delivered food, you can get to-your-room delivered drink, but you can also go over to the pub. You can have a pint, you can have a bite. You can go and watch the footy. You can play trivia. You can game in the gaming room. It's just an offer that's really great and it's really resonating. We're getting high margins and much higher utilization than the hotels around it. We've got the ability to unlock more rooms there as well. Within the existing space, whether it's reactivating rooms that are not being activated at the moment or repopulating space that's being used for something else that we think can be better used for accommodation, there's more than 400-room opportunity there. Beyond that, we've got opportunity for big developments. If you go out the back here, we've had approved 146-room hotel at the back of this pub. I think for us, accommodation is a really untapped opportunity with a long runway as well. As well as the physical side of it, we're continuing to improve our customer offer from a digital perspective on check-in, but also digital offer through the line, including loyalty, which will continue to improve our customer offer, but also improve our margin. pub+, since its launch, has been a real success. We've now had more than a million people sign up as an offer, and every week we've got more than 500,000 items that are being ordered, and somewhere around 35% of our transactions in food and beverage. It's driving real loyalty outcomes as we get to use the data and understand what our customers want. An example that Catriona referenced before is an offer that we put out in April to reactivate lapsed members. It was an AUD 15 offer, AUD 15 straight into pub+ to say, "Come back to the pub." Now, that costs us AUD 5. In the first two weeks of May, we had 12,000 people come back, and it's a quiet month, so that makes a real big difference for us, and they each spent AUD 40. It's just a really good example, as we start to learn and use pub+ more and more effectively, the types of things that we can do. In the future, where are we going to develop it? Personalization is going to be key. Now that we're building that data, we're going to be putting our marketing tools against that to ensure that we're offering the best personalized offers to really connect with our guests. Loyalty in gaming is a huge opportunity for us. It's a lower percentage than it is in food, but gaming is one of the least differentiated pieces of a pub, and it gives us a huge opportunity as the biggest operator in the country to really differentiate our gaming rooms through loyalty. The last is in accommodation, being able to connect our pubs, being able to connect our gaming rooms across our loyalty offer in accommodation, again, allows us to move away from OTAs, become less dependent, and create a really loyal customer base in accommodation. Last but not least, we've got a huge commitment to compliance. We'll focus on three core principles. The first is collaboration. That's with government, that's with industry, it's with regulators, it's with the community. We are player-focused. Everything we do, we think about it through the players' eyes to make it as seamless as possible while we're hitting our compliance obligations. The last principle is team-led. Everything happens, again, in our pubs. Making sure that our team are a key part of everything we do is one of our core principles in compliance. We've got three key ways that we deliver that offer. The first is technology, core technology, CCTV. That allows us to be able to watch everything that's happening, and if we suspect something's happening from a AML, CTF, or responsible gambling, we've got access to be able to see that, understand it, and be able to work with the right parties to ensure that we're compliant. There's more active technology. These make a huge difference for us. Facial recognition technology. It's compulsory in South Australia, but we're trialing in different states, and it's a huge enabler for us to help safer gaming and also AML. The third in that space is transaction monitoring, which allows us to watch the patterns of our players to see anything suspicious, then work again with the right authorities to investigate anything that may not look right. Finally, it's our teams. We've got a good central AML capability now that's able to give us, develop the processes, develop the training, and ensure we're focused in the right places. We've got a very rigorous training program across the country for all of our teams to ensure that they know what good AML and also responsible gaming practices look like. In terms of hotels, hopefully you've been able to see, as we've done our presentation, that from a strategy point of view, we now understand what needs to be done. Hotels is going from a platform for retail growth to a growth mindset. We're doing that through six key priorities, and we're really confident and excited about the journey to come. Thank you, I'll invite Jayne up again, and we'll invite questions. Great job, Paul and Catriona. Before we jump into questions, I also want to just add one thing. Hopefully, you can tell from what Paul and Catriona were talking about that we have a massive amount of heavy lifting to be done in transforming our pubs group, and we're super committed to doing it and getting it done as fast as possible. I talked earlier about the renewals and the importance of that and the whole program approach to delivering against that across different levels of investment. Getting the operating model right enables that to deliver even more in terms of the returns on the investment that we make. We are doubling down on transformation in the hotels group, and we are bringing in somebody to work alongside Paul to just to be focused on driving transformation. The capacity we need in order to get the mix of things done and then not stumbling in day-to-day trading is key. We're bringing on board a guy named Alistair Hartley, who drove the transformation at Virgin Australia. He'll be with us for at least 12 months to ensure that we've got the capacity and the focus on driving transformation and getting change delivered while not taking a foot off the renewals focus, while not taking a foot off the trading focus in the pubs every day. The trading focus in the pubs every day includes a quick wins engine that Catriona is assisting with to ensure that we're continuing to lift performance in day-to-day, while also doing heavy lifting across both operating model and renewals. Paul's massively relieved because it's an overwhelming task given the mix of things going on. It's just a highlight to the level of investment we're putting behind making sure we get this right this time. With that, we'll open up to questions. Jayne, Phil Kimber at the back from- Hi, Phil E&P Capital. I had two questions. First one is just on the hotel renewals and the opportunity there. You can benchmark your pubs against your biggest competitor. I know it's a fragmented market, and in food and beverage, you're significantly below per pub they are. Just wanted to explore whether, obviously, the renewal of the pub is important, but is there anything structural if you have a network of pubs that was largely designed around gaming, in that it makes it much harder to get that food and bev or accommodation uplift? Just your thoughts on that. Yeah, look, history is interesting. We're very focused looking forward, learning from history. I guess one of the things that we're clear about is that we have a big opportunity in food and beverage. When Paul talked about the example of, it took us two weeks to onboard somebody, and we lost those people by the time they got to the second day. We're now down to two hours. That's just one small example of how hard we made it for our teams to operate well. On the food and beverage, I think the numbers are like 700 processes and 97 systems and tools, and they're not great, and they don't talk to each other. The heavy lifting that's required in our pubs to clean up our act, to make it easy to trade well in the pub is not to be underestimated. We're clear about what we have to go do, and we're on our way to go do it. The food and beverage side of it is dependent upon cleaning that stuff up and then getting the right food and beverage system in place so that we can make life easier to execute well and to lift our performance absent the work that we do every time we renew. When we renew, we go, and we redo food and beverage, and each one independently is great, but then it's getting sucked back into the morass because of the operating model. The operating model is the backbone to unlocking the opportunity that we have. Accommodation's been doing really well despite that. Food and beverage has not done as well. That's for a variety of reasons we won't go into. We see clear path to daylight there. We see huge opportunity. We don't think food and beverage is a loss leader or anything like that. We look at food and beverage as an end in itself and super complementary to the important role that gaming plays and the accommodation plays and the bar plays. Can I ask just a second one on, because it's quite topical at the moment with a few things that are going on around compliance. Just your gaming business, I think you've got 12,000 EGMs. Could you remind us of the unique SKU of those EGMs and also anything you can say, happy to take it on notice if you need to, just around the load-up limits? It seems to be a big area where the compliance is focused around EGMs, and my understanding is in your two biggest states for EGMs, the load-up limits are way lower, and so therefore the opportunity for issues are probably lower than, say, in New South Wales. Well, I'll make a macro comment, then if you want to talk about load-up limits, that would be great. Paul talked about our compliance game plan. I think we take a hard look at ourselves on a regular basis to understand where we're doing well and where we're not doing well with respect to compliance. I've grown up in very heavily regulated businesses that you must be compliant in, or you don't get to operate. I'm no stranger to this, nobody in the team is a stranger to it. I think we're quite clear about what good looks like, we're doing a really good job of executing against our plan to leverage tools and capability around us to ensure that our teams are set up well. I'd say that this operating model fix also takes distraction away from the pubs. We're feeling like we're in a good place, and we're headed to a great place with respect to compliance, so that doesn't cause anybody to lose sleep at night even though there are people getting called out around us. We feel like we're clear about what we need to go do, and we're going to do it. We definitely know what good looks like. Do you want to talk about EGMs and the issues around load-ups? Yeah, I think, different states across all the different components, whether it be load-up limits or maximum bet size, minimum bet, all of that sort of stuff. Spin rates slightly different across the states. In all honesty, I think the way we look at it is we're going to be compliant against whatever those rules are and try to just ensure that we're doing it in a way that best meets our customer needs. Have we got the right machines? Have we got the right jackpots? Have we got the right links? Have we got the right service in our rooms? We'll work with whatever the regulations are for each of those states. In terms of growth and performance, if you look over time, regardless of those regulations, it's been steady across the market and across each of the markets. Thanks, Jayne. Mike Turner from RBC here. Just one from me. Part of the investment case for Endeavour post-IPO was to bring down the average age of those gaming machines through an accelerated renewal program, and then it's kind of leveled off at around, I think, that seven-year mark now, and it looks like it's re-accelerating now again. Are you confident that you can get the incremental returns on that investment that you've experienced in the past, or is there a risk you get diminishing returns with the age of those machines already having come down post-IPO? Look, I'll make sort of a general macro statement, and then Paul, you can add some color to it. What's clear to us is that the specific machine you have and its desirability in the community from a customer standpoint, where those machines are placed, the balance of machines, and how you place those machines on the floor drive growth. It's not so simple as old versus new. There's a lot of science that sits underneath it, and so it's our job to make sure that we've got the right games in the right spot on the floor and that we're keeping on top of the trends and how those things are shifting and changing because it does make a massive difference to the flow-through into the gaming room. It does then make a massive difference in terms of how the rest of the pub's going to perform. Yeah, it's a pretty sophisticated part of the portfolio, and it's just not quite as straightforward as it looks on the surface. Yeah, absolutely. We just have a graph that makes it really clear, the older the machine on average, the less it performs in a room. The reason why we're accelerating this year and next year is that we've specifically identified machines that are doing less than half the turnover of the new machines that we can buy, which gives us a great return. We're really confident with that return. I think to Jayne's point, that's a general principle, and we don't look at it as a general principle. We actually look at it in, I think, quite a sophisticated way to say, depending on what the new games that are coming out, how guests are responding to them, what is the investment plan we should do for the following year? If they're still performing well, we leave them in there. If they're not performing well, and there's something in that's performing better that we can get a great return from, we'll invest against that. Short questions. You, yes. One of the features of the presentation in 2023 was, I think you had 10 properties, or you've got about AUD 1 billion of property you want to develop. I'm just curious where you're at with that, and should we anticipate property development goes to shareholders, or that is actually required in addition to the step-up in CapEx to fund the significant step-up in investment in the pubs by way of renewals, refurbishments, and the like there? Sure. Look, at a simplistic level, we have a big portfolio. We've got freeholds, we've got leaseholds, and both the freeholds and leaseholds have development opportunities against them. We probably haven't put as dedicated a strategic focus to that as we will. And that is a great unlock with respect to capital recycling in the business. We get that, and we get the importance of it. It's not the first thing we've got to go do now. The stuff that you've heard today, hopefully gives you a sense of how much opportunity we have and how important it is to go after it and go after it fast, and we're on it. This piece of the puzzle is a contributor to the funding mechanism for sure. The scale and magnitude of that will dictate how much that's flowing back to shareholders versus needing to be used as growth CapEx in the business. Great. Second question, just around, I think at the time of IPO, you had 86 properties or sites that were the former ALE Property Group sites, where there's a mark to market on the rent there. That's an overhang that when we talk to investors, they are uncertain about what that is. Could you highlight maybe what the rent uplift would be if there was nothing done, and maybe where you are more generally in your discussions with Charter Hall about finding a negotiated solution to that, such that maybe that a pure significant rent increase maybe does not occur? Thanks. Yeah, look, I think we have great partners in our property portfolio, Charter Hall is one of them. We have a really important commercial and confidence negotiation to go through, and it's strategically important. There are lots of things at play in that which will influence what that outcome ultimately produces, and when we're in a position to talk about it more fully, we will. Ben here from Jarden again. Sorry to sit. Just in terms of how you use the hotels, gaming, fully appreciate you get a tangible return. You've got savvy gamers that go around chasing links, et cetera. What about the play to get the hotels to better help you in retail? It doesn't feel like you've connected that journey up. You talk about your son or kids who have pre's, and they go to the pub, then they'll go home and have afters. Connecting that up, leaning in to drive another occasion and using this asset because it doesn't feel like it's been done. Is that on the agenda? Can you do it? How expensive is it to start integrating apps, et cetera? Well, I think we talked about it a little bit earlier, and I'll talk about it again later, but there is significant opportunity in us thinking about our customer assets, across the entire portfolio. There's first principles heavy lifting going on right now, and the crossflow across the two retail operations and the pubs is on the agenda of things to go after. There are quick wins that will be easy to go after, and then there are more systemic things that require tools to help us navigate those sorts of opportunities dynamically and without a lot of people. Yeah, it's definitely squarely on the list of things to do. You would expect us to be doing that in the context of thinking about how we optimize our asset base. How material is it? Because it feels, you talked about share of wallet before. It feels if you've got a lens around where people are drinking, eating, and then you've got the retail, and you might be capturing a third or 50%. If you can get one more occasion, that's a pretty significant number. Is there any examples or have you had that, been able to create that lens with all the work you've done to say, geez, there's 20% of the cohort we could drive another two occasions a year if we connect pub+ up with My Dan's or with Appy Deals or with Rewards? Yeah. I'm not going to get into the specifics, which was probably frustrating. There is just significant opportunity that's untapped in our business, and that is one of the levers, for sure. I said before, we're a bit agnostic to what happens around us because we see so much opportunity embedded in what we have that we have not fully taken advantage of yet. Thanks. Hi, guys. Tom from Barrenjoey. Just wanted to pick up a comment you made earlier where you said, food and beverage isn't a loss leader. I think it is, and I just want to understand your thinking on that. Gaming's about 40% of the revenues. The gross margin's 100%. The costs, and I don't know what the costs are. I worked in a gaming room a long time ago. They're pretty low. I would've thought the margin is fairly high. It's maybe 70%, 80%, 90% in the gaming section. Your overall margins in the hotel business is kind of low 20s. I'm just trying to work out how you get to that point of view where you think you're making money in the food and drink side. Thanks. Well, I think what I said is that we think we can make a lot more money in food and beverage, and we don't view it as a loss leader. Right? We're not approaching food and beverage as, "Oh, we're not going to put any effort there because it's not going to produce anything material for our shareholders." We're not looking at it that way at all. There's no doubt that gaming has higher margins than anything else in the pub. That doesn't mean it's not on us to ensure that we're delivering the biggest opportunity we can from food and beverage, because we've got a lot of people that come into our pubs every day, and we should be delivering good food and beverage margins for shareholders against that opportunity. That doesn't mean that food and beverage can be at the same margin that gaming is, and there aren't very many things that have the same kind of margin that gaming does. It does mean that we have an obligation to do that well. If we do that well, we're driving foot traffic. None of us choose to go into a venue that we think we're going to get an average meal. You want to go into a venue where you think you're going to get great value and good food. We've got an obligation to make sure we do that, and that the way we execute it produces a profit. Great. Thanks. Hi, Jayne. Craig from MST Marquee. Just wanted to clarify the CapEx profile for the Hotels segment. I know some of this might relate to later sessions, but there's going to be an accelerated number of renewals, but a smaller rate. Is the dollar amount higher or lower? If we look at that steady state, the 50-60 looks to be a five or six-year cycle. What sort of CapEx run rate should we expect versus what we've historically seen in the hotels business? Well, look, we'll talk with Kate in an hour or so about capital management and CapEx specifically, but we won't today be providing a forecast for CapEx for 2027 or 2028 or 2029, or what it looks like when we get to steady state. What we're indicating today is that we will be spending more on growth in hotels from a capital standpoint. Michael Simotas from Jefferies. Mine's a little bit of a follow-up to that one, actually. We can make our own assumptions and have a guess on how much capital you're going to deploy into hotels. It's nice to see that you've got the operating model firing now, and confidence in delivering the return. How should we think about the incrementality of that? Notwithstanding all the issues you've spoken about in hotels, the business has broadly kept pace with a market that's had pretty solid growth over the last several years. Should we think about that incrementality in EBIT growth ahead of what the market is growing at, which seems to be 4% or 5% pretty consistently, albeit maybe with some cyclical headwinds for the next couple of years? We can't really give you guidance with respect to how to think about that other than to say that we think we've got significant earnings growth potential that will be ahead of what we've been able to do in the past with the pubs. We would expect to deliver earnings growth at a higher level than we could have without doing these things. That helps. Thank you. Bryan from JPMorgan. Just a bit of another follow-up on the CapEx side with the renewals. If the chart is to scale on slide 42, it looks like a range of about AUD 70-AUD 120 a year, which feels very large, just eyeballing across from the others that do have labels. It's not to scale, but It's not to scale. Right. Okay. I was going to say you're doing the whole portfolio in three years. It's meant optically to cause you to go, "Okay, we're going to spend more on hotels and we're going to back the strategy." If we don't, we have choices here. We can take longer to deliver a good, healthy EBIT run rate for hotels, but it's not in your interest for us to do that. We've actually looked at, okay, if we did this over X period of time, or we did it over three years, what's in shareholders' best interest? It's in your interest for us to go hard and get the lift up and get the quality of our portfolio in a position where it's competing as effectively as it can in the local community. When you get the double benefit of the operating model improvement plus the lift in the caliber of the portfolio, you get us closer to being able to deliver you a very strong earnings profile for hotels that's got a great growth run rate associated with it for the future because of the role it plays in the community from an experience standpoint. I think what's important to think about is what we call our Lift Off program, which is what I described, is that when we go in and do these renewals, no matter the size, we effectively reconfigure the whole pub. That's where we get a large part of the performance. By renewing, it gives us the opportunity to go and do many more pubs in this Lift Off program. All makes sense. Just one quick follow-up. There wasn't much talk about hotel acquisitions at all today in there. Is that deliberate? That's not on the agenda, you're just focused on your core portfolio, or you'd look opportunistically if the right thing comes up? Yeah, look, it's an excellent question. I talk a little bit after the break about portfolio management, and you would expect us to be managing the tail that we don't think we can lift up to the performance level that we expect, and we should be looking for new acquisitions as well. We want to get it right first in terms of the model before we start adding to it, because when we add a pub into the portfolio, we should know how much uplift we think we can deliver from an earnings standpoint because we've built genuine benefit associated with our scale. There's a bit of an earn the right to play side to acquisitions, but it's not off the table. Caleb from Macquarie here. Sorry if it's on. There we go. Now it is. Apologies. One more question on the renewals and the outlook from here. I think there's been an intention from Endeavour to try to accelerate that for some time, but I think prior commentary really pointed to regulatory approvals and councils being the big blocker in terms of scaling that up. I know there was a comment on capacity, but yeah, what's really been the unlock to give you the confidence to now look to really step up over the coming two or three years? Look, I think I'll let Paul take this in a sec, but from my standpoint, we've got a repeatable formula now, and we know what we need to do to scale that model to be able to deliver at faster pace and to do more volume through it. What I really like about what the business has done is that we didn't get ahead of ourselves in trying to drive a lot of volume, and we hadn't yet proven up the returns that we could deliver, and we didn't really have a model that could be repeated with scale. Paul, I think you've been in the thick of it, so you can add some color to that. Yeah, you're absolutely right with regulatory approvals. It's probably more the time that it takes for regulatory approval rather than a capacity piece. The capacity piece has been building the capability of our internal team and our external team. When I talk about external team design as architects, builders, we've been slowly building that group of builders and group of architects that understand how to do our hotels and work with us. We've been building our internal project management capability. Started with one guy, we're now about 14. It's something that is slow to build, but once you get to a scale of 14, you're able to much easier train people, bring people in. We've got a much bigger cohort of builders and architects, and that's what gives us the confidence to go really fast now. A quick follow-on, if I could, on just the funding side as well. Appreciate the comments to an earlier question, but how are discussions with your property partners in terms of potentially looking to lighten the load as you look to pick up the CapEx? Is there any discussion about them willing to put some incremental capital into the pubs on your behalf? Look, Kate knows how to talk to this in a much more detailed way than I do, and we'll come to that this afternoon. The high-level response on that is that it costs us money to use other people's money, and if the cost of our money is going to deliver better value to you than the cost of using their money, then we're not going to use their money. We could do that, but we're going to pay a margin on the use of their capital, and that's not always in your best interest. Thank you. That's it. Okay. With that, we'll say let's take a quick break and enjoy coffee and a little bit of morning tea. Yes? Yep, good. Making sure I wasn't doing the wrong thing. Coffee and morning tea. We'll come back and wrap up a little bit on some of the group components of strategy and then capital management. [Break] All right, mostly I have everybody sitting back down again. Hope everybody had a nice quick break and had the opportunity to catch up with various people in our team. I saw lots of networking going on, which is always great to see. A couple quick chapters to go through this afternoon, the next hour and a bit. One from me, just talking a little bit about some of the group initiatives. Kate coming up to talk about capital management. When we think about group, we think about the opportunity we have to drive simplification through the rest of the business. When you hear some of the stories that you heard this morning, particularly the two weeks down to two hours in hiring somebody and getting them working for us in a hotel. When you think about the man-hours that sat behind the two weeks, if it takes you two weeks to do something so basic as to get somebody onboarded and starting to work for you in a pub, there's lots of man-hours behind the scenes. When we go from two weeks down to two hours, not only have we made the pubs more competitive, but we've taken out cost in the process because you're just reducing the complexity of what's going on around you. We have lots and lots and lots of that to do. We're no longer the giant organization that Woolworths Group is, and we're repurposing and rethinking everything that we do in the context of our business and what's good for us. Three pieces of what transformation means from a group standpoint. The first one is, as I said, simplification. That enables cost coming out of the business. We've talked about the AUD 300 million. We're absolutely confident we can deliver that. The Woolworths partnership has two parts to it. One is us disconnecting from Woolworths. We're really pleased with how that's going. Harinder Saluja's doing a rockstar, great job getting us off of big Woolworths Group systems and doing that on time and on budget. The biggest one of which is our ERP platform work. That's all going to track. There's nothing new to say today because it's all delivering as it's planned to deliver. We'll update as we do on that count. The second piece of it's just as important, which is our strategic relationship with Woolworths. Jeanette talked about that earlier with respect to the way in which we partner for customers in ensuring that they can shop for both food and liquor together, and that we do that in a seamless way, even though we're no longer part of the same company. I don't buy for a second that there's only one convenience operator that can do that. We are the convenience leader in the marketplace today, and we work closely with Woolies. It's really important to Woolies, as it is important to us, that we do that, and we do that differentially well. Everyday Rewards is an anchor that holds or a seam that sort of connects us and holds us together. It is a real attraction from a customer standpoint. That's one piece of the puzzle. Making sure the experience end to end is frictionless and seamless from an omnichannel standpoint is a big thing for us with Woolies, and we're proud of the way that relationship is evolving. We should be the most strategic of partners given that we're family. Optimizing our asset base. That means a few things. It means property, it means customer, it means ensuring that we're leveraging the infrastructure and the scale that we have. On that count, somebody mentioned on the coffee break, retail media. Of course, retail media is a core part of what we're planning to do better, and we have a unique ability to deliver profound activation opportunities for our trade partners, and we think that the landscape is much broader than that from a retail media standpoint. There's lots of opportunity that's embedded in how we think about transformation and the assistance of transformation across the business units from a group standpoint. The leverage of bringing together customer data and insights, and then leveraging customer flows across the business is an obvious benefit to shareholders. The AUD 300 million in cost out, and I talked about the importance of simplification and making that happen. If you think about it, just generally speaking from a productivity standpoint, if we're clear about what matters to customers and we understand better than anybody else what matters to them in driving them into our stores and what helps them fill up their basket with as many items as possible, that means we're also clear about what doesn't matter to them. Which means we have the ability to take cost out of the business that we've added into the business over the years without having the clarity that we have today. Cost out is enabled by customer clarity. Cost out is enabled by simplification. Cost out is enabled by technology. Cost out is enabled by just being smarter in how we do what we do every day. We think that is a really important opportunity. Somebody said before, "You're obsessed about revenue growth." Yes, I am, but I'm also obsessed about getting cost out of the business. It is just what we have to do. Both Benjamin and Jeanette talked about the importance of being low cost in their models, and they're very, very focused on what's it going to take to be able to deliver on that. It'll be different for both of them given the nature of their businesses, and it's no different for Paul. He talked about it as well, and I've already talked about the power of getting the operating model right in pubs. Pinnacle, I've already talked about in Q&A, but just to touch on it quickly, it is a really important part of our business. It is not an end in itself. It is our private label and our exclusive brands that are enabling our retail proposition to be as sharp and as unique as it is. It does drive advantaged commercial economics for us, but it is through the eyes of the customer and nothing else. We are not disadvantaging any other part of the portfolio for the sake of that incremental margin because it's penny-wise, pound-foolish. It serves a role for our customers, and it delivers great value to you as a consequence. We are also highlighting today that we're taking assets out of the portfolio. That shouldn't be a big surprise to anybody. Those brands, especially Cape Mentelle, Josef Chromy, and Oakridge, are great brands. We sell significant volume from those brands, but we don't need to carry the assets associated with those brands. The decision to clear out the balance sheet a little bit and get rid of vineyards and wineries that we don't need to have is an important piece of the puzzle, and simplifying the business simplifies everything that we do when we're leaner and cleaner from a balance sheet standpoint. Leveraging the network scale, I talked about scale as one of the things that I'm most drawn to about the business. It is a really big unlock, and we have a unique position in retail, and we have a unique position in hotels, and it's on us to ensure that we're delivering the full value of that to you. The scale advantages that are available to us are quite unique, and we get the value associated with that, and we fully intend to go after every single opportunity that hangs off the back of it. It does mean that we can compete uniquely well in everything that we do, as long as we're harnessing the value of the network strength and the scale that sits behind us. Okay. There are three pieces to that. It's the physical and data capacity and reach that we have. It is trade partners and the depth of relationships and the strategic nature of those relationships that we should have. I talked earlier about the power of our collective data in bringing good for the industry as well as bringing good to our individual businesses. We have not sold that data in the past back to our trade partners. They've been hungry for it. We will be doing that. We will be thinking more laterally about how we innovate together, in addition to innovating ourselves through Pinnacle based on the knowledge and perspective that we have. I think from a group standpoint, you'll see us behaving in a slightly different way maybe than we have in the past, because we see commercial opportunity everywhere, and it's on us to go after it and deliver it. I also said to somebody over the break, the most important thing we do, because we genuinely do see opportunity everywhere, one of the most important things we do is think about how we prioritize going after those things so that we're going after the right things first, second, and third, so that everything we're doing is building on the last set of things that we did and adding more value to you as a consequence. With that, I will hand it over to Kate to talk a little bit about one of the most important topics, which is capital management. Thank you, Jayne. I think Catriona earlier spoke about the couple of example occasions that people might participate in. One being having a champagne at your daughter's graduation, and the other one having a beer at the pub with your mates over a football game. Today, I'm doing both those things. I am going to apologize in advance for rushing out of here at 1:00 P.M. to get to my daughter's graduation at 2:00 P.M., after which I very definitely plan to have a glass of champagne. Of course, I will be watching the State of Origin tonight in the local pub with my family mates. I'm here to talk to you about our capital management framework and a couple of changes we've made in the context of what's needed to fund our strategy. Firstly, I'll talk to the highlights, and then we'll go into a bit of detail. It's worth reiterating that we're a highly cash-generative business. We generate in the vicinity of AUD 1 billion of cash every year. That is not the only source that we have to fund our growth. We have a number of other sources, which I'll go through in a second, but they include, of course, the portfolio optimization approach that Jayne spoke about, dividends as well. Multiple sources of funding and a really clear investment governance framework that's supported by strong governance and clear return on investment hurdles. We've spoken a bit about that previously, but nothing's changed in the context of our 15% ROE target for growth investments. As I alluded to support our investment phase, we are adjusting our dividend policy and our leverage target. I will talk to the reasoning behind this. On the left-hand side, just to reiterate my point about strong cash realization, you can see we do generate around AUD 1 billion of capital a year, and we consistently generate cash realization in the vicinity of about 90%-110%, excluding any one-offs. On the right-hand side, you can see the value of our net debt and liabilities at the end of each financial year. You can see that our net debt has actually been gradually declining as we execute disciplined working capital and capital management. This slide also gives you, on the right-hand side, an indicative sizing of the weight of financial debt relative to lease debt. This has been an important consideration in the context of the AASB 16 standard and how we think about leverage. We are going to be changing to amend to calculating our leverage on a pre-AASB 16 basis, and I'll talk to the reasoning shortly. It's very important to understand this when you're thinking about capacity to fund our strategy. Our debt funding position is very strong. We've got committed debt facilities of over AUD 2.6 billion and a weighted average maturity profile of over four years. Our next maturity is in November 2027, and we're very confident of our ability to roll over. At the end of financial year 2025, we had AUD 650 million of undrawn facilities. We're also currently in the process of securing AUD 300 million of additional short-term financing, which is to support the inventory buffer that we spoke about when we did our last trading update to support any short-term supply disruption. That's represented by the dotted bar on the chart. Those facilities will mature in June 2028. In summary, we have a very high level of debt facility headroom, and we are well-supported with our bank covenants too, which all do not include lease liabilities. In addition to bank debt, as I've said, we have a number of other funding sources. As we've covered already, we generate strong operating cash. We've got opportunities in asset management, such as the non-core asset divestments that we've spoken about, and from property developments, which we have been working to realize and which will generate cash over time. In addition, we flagged today that we're widening our dividend payout policy ratio to 50%-75% of underlying NPAT. This will provide us with the flexibility to balance dividends with growth investments to make sure that we deliver the best returns for shareholders in any given period of time. This slide will go into a little bit more detail on the impact that hotel leases have on our leverage and why we think these are not properly thought about as a debt instrument. Hotel leases, as you can see, have a very big impact. On the right-hand side table, you can see that based on leases alone, if you didn't attribute any of the net debt of the group to hotels, and if you just looked at hotels as a standalone segment on a debt-free basis, the leverage would be 3.4 times EBITDA. The retail segment leverage on a standalone segment basis, by contrast, is only 1.5 times. When aggregated at a group level and attributed to the overall group earnings pool, the debt for the group contributes 1.1 times to group leverage. Hotel leases are strategic assets. We rely on long-dated tenure to underpin the relatively high capital requirements of a hotel portfolio, but more importantly, to underpin the valuation of those hotels as going concern businesses. Hotel leases are tradable as part of buying and selling pubs on that going concern basis. Representing hotel leases as financial debt does not, in our view, accurately capture either their value or their tradability. It's actually in the interest of any pub operator to try and secure as long a lease tenure as you can, including multiple option periods. You're effectively purchasing the ability to trade the business for the lifetime of its assets. Because of this, we will continue to report leverage on a post-AASB 16 basis for transparency, but we've moved our leverage target to a pre-AASB 16 measure because we think this better represents the true financial leverage of the group. Sorry, the left-hand side shows our leverage on a post-AASB 16 basis and the right-hand side on a pre-AASB 16 basis. As you can see here, the leverage when you do the adjustment, of course, becomes slightly higher on a pre-AASB 16 basis due to the recalculation of EBITDA. You can see here that on a pre-AASB 16 basis, our leverage has been relatively steady at well below two times. We are expecting, that is the target that we're setting for ourself, two times on a pre-AASB 16 basis. We are expecting our leverage will be elevated at the end of this financial year because of the temporary inventory buffer, probably above the top end of that target. It may continue to be elevated in FY 2027 as we balance what's effectively going to be an investment phase with the timing of the returns on that investment. We do expect the leverage will reduce over time into the target range as we continue to return inventory to normal underlying levels and our investments deliver the growth that they're intended to against a stable to reducing capital envelope. This is our updated capital management framework. That is a summary of what I've just gone through. It starts with strong cash generation, as I've highlighted, and then the cash generated is first deployed to lease payments and to sustaining CapEx. Examples of sustaining CapEx are primarily maintenance of the fleet of hotels and retail venues, hotels and retail shops, as you'd expect. It also includes technology upkeep, and it also includes our expenditure on the One Endeavour program, which as you know, is our technology separation from Woolworths. The remaining free cash flow will be deployed, as I said, in balance between growth CapEx and dividends, and we will be balancing between the two as needs require within the target guidance that we've set. Any surplus cash would of course be used to reduce debt or return to shareholders. I want to reiterate that the underlying balance sheet is very strong. It's supported by around AUD 1 billion worth of freehold assets and that portfolio of tradable hotels business, which all have their own standalone valuations. This slide is intended to give you an an indication of the capital requirements between FY 2026 and FY 2027. I think we spoke before in the context of Paul's presentation about the fact that his increase in renewal count was not intended to be indicative of the change in capital requirements. When you reference what Paul has said about renewals in hotels, we're embarking on an accelerated program that has a very wide range of potential capital investments by venue. It's going to include light touch renewals at a very low level of capital spend all the way through to very large-scale refurbishments and repositioning. It's certainly not a consistent equation to say that the number of venues that you touch is going to automatically translate into a proportionate amount of capital requirement. For that reason, we're here giving you an indicative, and these are sort of relativity sized and indicative sizing of the growth in capital we expect to invest in FY 2027 relative to a current FY 2026 sizing of approximately AUD 450 million. You can see that it's broken down by driver there with the weight of the uplift sitting in growth investment, although there is also a marginal amount of increase in the capital required to implement our ERP program in the One Endeavour context. We are in the habit of providing updated guidance on what we expect our in-year capital spend to be when we do our end-of-year trading updates, and we will do that again in August. The next couple of slides, just again, reiterate our capital management framework in the context of governance. Every growth investment is assessed against a risk-adjusted ROE hurdle, but we also reference IRR and NPV metrics. We consider a broad range of qualitative outcomes, including the strategic importance of the investment, our execution capacity, the timing of the returns, and any operational risk that might be associated with realizing the returns. The intention behind this framework is to ensure we're not just chasing the highest paper return, but of course, that we're also going after the most sustainable and strategically sound investments. Finally, our capital investments are reinforced by an overarching rigorous governance system, the key elements of which are outlined in here and include centralized oversight of all of our capital decisions. We're currently making all material capital decisions as an executive team collectively. Also rigorous benefits tracking so that we make sure that we are realizing the returns we expect and take any learnings and adjust as we go. With that, I will invite Jayne to come back up and we'll answer some questions. Kate's clearly on a mission to get going in terms of making sure she doesn't get locked out of the graduation room. Hi, Craig Woolford from MST Marquee. Can I ask a question about the inventory levels? There's that guidance that was given at the trading update about higher inventory. What should we expect in terms of the inventory levels in FY 2027? How much might they fall? There might be some movements under the surface if you are going to divest parts of the winery assets or other changes to range. Is there going to be some structural reductions in inventory elsewhere in the portfolio that offset the increase in the higher volume SKUs that you look like you're putting through? Sure, I'll make a couple comments and then pass it to Kate. The reason we've built the inventory, which is translating to working capital, is because there's uncertainty around us, and we need a bit more resilience to ensure that we are in fighting form from a retail standpoint, no matter what happens. Once we have less certainty, then you would assume that the inventory levels will come down. Once we have more certainty, you would expect that the inventory levels will come down. We have increased inventory in the fastest-moving lines, and so they're going to move through quickly when we start course-correcting on the other side of it. We don't have clarity, however, on when we're going to have more certainty, and we're looking at the positives in that we've got a hedge in having increased inventory at a time when there was much lower inflation. It's got net benefits associated with it, but Kate, you might want to add to that. I think that's all exactly right, Jayne. I think the other part of your question, Craig, was what are we thinking about as we optimize inventory when we go through range review? We don't expect that to have a material impact on the overall underlying level of inventory. What we're expecting is we hold this elevated buffer for a period of time, and then we trade through it. Just to follow up then on Pinnacle, if Pinnacle's circa 18% of sales, what proportion of inventory would Pinnacle be? Oh, I don't think we'll talk to the specifics. No. Pinnacle inventory sits in the form of sort of bulk inventory sitting in the wine manufacturing part of the business, as well as in stock on shelves. It's probably not a sort of comparable number to speak to with respect to shelf-available stock irrespectively. I think the important thing to understand with respect to Pinnacle is that we're producing finished goods for volume throughput. We're not carrying big volumes of finished goods in the Pinnacle business because we've got the ability to finish off and bottle and pack and ship real-time. I said before, Pinnacle is in service of retail, and we're actually building to the expected retail demand we have. Unlike others who are third-party providers, we see exactly what that inventory looks like in terms of what's moving through the network and how much we need to restock, and we kind of fill it and manage through that real time. We're not incurring the cost associated with finished goods until we're ready to go sell the finished goods. Michael Simotas from Jefferies. The winery assets that you've identified for exit, just interested in whether they currently contribute anything to profitability or whether they're loss-making on a standalone basis, and just generally, how much capital is tied up in them, and would you expect to be able to recover that capital? Kate, you want to answer that question? I would say, in the context that they are performing in, they are not loss-making businesses, but of course, they work because they are part of our Pinnacle proposition and because we have path for that product to sell. What they will be valued at on a standalone basis is still to be tested. What we will recover from the cost of them as we take them to market is still an unknown. Is it a meaningful amount of capital when you add them all together? It's immaterial in the context of our balance sheet. Yeah, okay. Then the second one from me is on the cost-out program and just how we should think about it in terms of, is that gross of any reinvestment that you may choose to make over the period, or should we think about that as being just a direct offset to whatever cost inflation may be over that period and should effectively fall to the bottom line? Yeah, this is cost that we take out of the business. It's not net of what we're expecting in terms of inflation. It is gross cost that we take out of the business that would otherwise be incurred by the business if we did nothing. I view that as we're taking cost out, that's gross and net in my view in terms of cost out, because there are other things that are going to increase. That's just part of doing business. It's not net of inflation that is occurring outside of those particular line items that we're removing cost around. Because you have that cost out, you're not reinvesting more, you would've just reinvested whatever you would've reinvested. Yeah. Reinvestments to deliver on the strategy is a separate thing. Got it. There's no counting of avoided costs or anything else. These are absolute costs out. Thank you. The discipline in terms of the execution too is being kept very separate. There's no sort of automatic right to reinvest without a due diligence on the reinvestment process. I think for those who've been tracking us for a while and have seen us report against the original cost management target that we had of AUD 290 million, it's effectively comparable to that, but it's AUD 300 million for the next three years. Ben here from Jarden emerges. Following from Michael's question. Excuse me. The analysts will always sort of be, and tend to be eternal optimists. We probably didn't fully factor in inflation when you announced the AUD 100 million a couple of months ago. Do you think we're thinking about inflation popping, I know it's a long way away, but 2028, 2029 at the moment? Just trying to think, expecting the market to suddenly sort of bank this through to the bottom line today that you've announced. Oh, I can't talk. I think the way I would respond to that is to say the inflationary outlook is anybody's guess. Obviously, we're hoping for inflation stability and reduction over time. Our strategy is our strategy, irrespective of what the inflation outlook is. Thanks. Just second one from me, just around, we haven't talked much around supply chain today. You obviously made the decision around The Woolies shed, longer dated, a couple of months ago. There's a perception, rightly or wrongly, I'd be interested in your comment on this, that you're running a Woolworths type supply chain where you could probably run more so a Bunnings type supply chain in terms of cost per carton and complexity that sits within it. Is that something that was on the agenda or you spent a lot of time through this review? Do you see a lot of opportunity around supply chain savings through the group? Look, I think, well, first of all, supply chain was and is an ongoing strategic topic in the business. It is a place we've looked for cost reduction opportunities. It is providing cost reduction in the AUD 300 million. We are running a good supply chain, so it's not that we're going to take it apart and completely change it to something else. We're making good decisions with respect to every opportunity that we have to do a contract runs out in a facility. We're looking to see what's next best partner to use, and are we working with the most cost-effective supply chain partners, whether it's on the freight side or whether it's managing the logistics. I feel like we've got continued improvement opportunities, but it's not the AUD 300 million. It's incremental. There's no step change or major shift in terms of investment or structure that needs to happen around supply chain. It's going to be incremental opportunities. Yeah. That's right. Okay. There's multiple pieces to the supply chain puzzle, of course. There's the how you intake product into your warehouses, there's how you get from warehouse to store, and there's how you fulfill last mile delivery. They are always in continual play for optimization opportunities, but the strategy doesn't suggest that there's a material step change in cost opportunity sitting there. There is definitely optimization as there is everywhere. Hi, I'm Caleb Wheatley from Macquarie. Just one from me, please. Can you maybe just spend some time thinking about, sorry, talking about, the opportunities and the benefits of the business combination between the two segments? I imagine data is one over time, anything else around sort of procurement? Yeah, what are the sort of opportunities of having the hotels and retail businesses together? Yeah, the two big ones are the co-location and the opportunities associated with co-location, which is both cost management and revenue opportunity. The other side of that is definitely procurement. The next piece of that is the scale that comes with what we can do that otherwise couldn't be done by a much smaller business. Kate, you want to add to that? Is there anything I missed? No, I think they're the key things. Yeah, absolutely. Thank you. Jayne, Kate, it's Peter Marks from Goldman Sachs. Hey, Peter. Just a question on the costs. I saw One Endeavour CapEx is expected to be up next year. Should we expect the OpEx to be up from the AUD 50 million or so that's in there for 2026? Any help you can give us on how we split the AUD 300 million across gross margin and CODB in terms of cost out? The last one, if I can, just on net interest into FY 2027, based on CapEx stepping up, inventory building, should we expect a significant increase in net interest into 2027? Kate. I'm trying to remember all pieces of that question. Sorry, you might have to remind me partway through. The first one was One Endeavour, and whether the increase in CapEx next year is going to translate into a proportionate increase in OpEx or some increase in OpEx. I think what I would say is the OpEx in that program is the program cost. That's at full run rate currently. We're not expecting it to vary materially while the program is in full flight. What will happen over time is it'll move out of ERP program into stores program. It's relatively, at the moment, our expectation is that will be relatively consistent. What I will say is we always give guidance on the expectations within that program when we do our formal trading updates, and we'll do that again in August. Second part, sorry. Just the cost out split. Cost out split is probably not something we can get into a lot of detail on. I think we've spoken about it. It will come from multiple areas. I think your question was about is it relatively in Gross Profit or OpEx? I think it will be more relatively in OpEx. Certainly, in the coming year. The AUD 100 million is primarily OpEx. It will evolve over time. We are working hard on all areas of the business. Where those cost opportunities sit differs quite a lot by segment. In hotels, as Paul spoke about, the vast majority of the cost of the hotel segment sits within the pub. When you are looking for cost optimization opportunity in hotels, you are looking at how do you manage everything inside the four walls of the pub? There is not a very big overhead sitting on top of it other than technology, and as Paul said, we will be looking to rationalize technology. That will be one of the opportunities. In retail, it has got bigger group overheads attached to it, because actually what you have within the four walls is relatively simple, and once you have paid for your rent, people, electricity, it is relatively low incremental cost, but there is a lot of infrastructure that sits around trading a retail business, like your merchandising function, like your supply chain, and all these things that effectively become overheads that are imposed on top. Where we go and where that will fall will differ by where the opportunity sits, but it is a comprehensive review across everything. Hi, it's Bryan Raymond, JPMorgan. Just further on the cost-out program. The AUD 100 million this year, I think, has been pretty clearly communicated previously, and it's fine. The AUD 200 million to come, how much of that is actually identified cost, or is that just your expectation of what can be achieved based on what you're doing in 2027? Is it you've earmarked certain areas, and this is how much we're getting from each one? Yeah, we've got clear line of sight to where we think the cost comes from. What I'd say, based on my experience doing this many times before, is that we'll find more in places that we haven't anticipated and less in some places that we think we're going to get more. There's no chance we're not delivering on the AUD 200 million. The AUD 300 in total. You mean the AUD 200 million this year. The extra AUD 200. Yeah. I understand it's a bit still moving around, but the retail versus hotel split of the AUD 300, should most of it fall into retail given the cost base there is a bit more overheads, et cetera? I don't think we can talk to the AUD 300 yet, because that information will come, and we will try and give as much line of sight as we can each year as we move through it. As I said, we're touching everything, so it will come from everywhere. Final one is just on the cost add is that, just to be clear, you're saying that it's genuine cost being removed. If wage rate's five next year or four to five and you've got a bit of volume that you need to deal with, this is about 3.5% of your cash CODB base at the moment, the AUD 100 million per annum. We should be expecting cash cost growth of 2% a year. Some retailers have a habit of still doing 4%-5% cost growth despite taking out hundreds of millions of dollars a year. I just want to make sure that when we're thinking about putting this through our numbers, that you will have a depressed run rate of cost growth in your business after the AUD 100 million for the next three years. I think the easiest way to answer that is to say all retailers and hoteliers are working hard all the time to offset the impact of inflation. That is the intention behind saving money. Obviously, the higher the inflation level, the harder it is to do completely. But that is the goal, is to be providing a substantial offset to whatever the headline level of inflation is. You'd expect that as we're growing, the ratio of Cost of Doing Business is going down. Shaun Cousins, UBS. Over here, Jayne. Sorry. Hi. In regards to the winery divestment, are you expecting to reduce the amount of revenue in those brands being sold through your retail, or do they have advantaged access to your retail sales? I'm just curious around a would-be vendor of those assets might also be looking to buy the brand, but they then might be looking at doing increasingly less business with BWS and Dan Murphy's. I'm just curious if you could break down just what is the proportion of sales for those brands that comes through your own retail, and could that be at risk if you did not own those brands? Look, I'll let Kate talk to some of that. We haven't sold the assets yet, we don't want to in any way get in a position where we're undermining the value of those assets, or we don't know what offers are going to come our way. The one simple thing is, I can't imagine anybody buying If we were going to sell the brand, and we haven't said we're selling the brands, we're saying we're selling the assets, but if we were going to sell the brand, I can't imagine anybody not wanting to sell to BWS and Dan's. I mean, that really wouldn't stack high on my list of things to do if I was going to buy those brands. Given how big a share we are of the total market, only thing I ever get is inbound inquiries. Would you be interested in picking up my product?" I mean, nobody says, "Oh, I wouldn't want to sell my products in Dan Murphy's and BWS and get coverage over 1,740 sites if I could. Sorry, pardon. I was more getting that they have privileged access to your retail sites, and that privileged access might no longer continue if they had a separate owner of the viticulture of those wineries. Yeah, look, Kate, you want to. I think we can't speculate on what the outcome is going to be in terms of the profile of the buyer or how we will think with them about brand versus supply. There's plenty of conversation still to come on that. I think that if you take it up a level, the important thing is these assets are nominal in terms of value in the context of our overall balance sheet. They are quality brands, the proportion of sales that are attributed across our ecosystem to those are, of course, negligible in the context of everything that we do. It's a strategic decision to right-size the portfolio that shouldn't be seen any other way. Yeah, it just simplifies the business, helps us take cost out with no material change to earnings or revenue. Maybe just talk a bit about buying terms. If you think one of the things that Endeavour has done is that you haven't shared data, you've had an overweight position in Pinnacle, oftentimes at the expense of third-party brands. Do you see that as a significant opportunity for you to get an improvement in buying terms? Do you actually believe you are buying the best in the market across pubs and maybe from a retail perspective, I think you are, but particularly in a pubs basis, are you buying well enough today? Should we anticipate that improved buying terms is a significant component of the savings that you're able to access? Kate will have a lot more perspective on this, understanding the history. From my point of view, our relationships with our third-party suppliers, our trade partners, we're never going to be done getting improved terms in the way that we work together, because we have the opportunity to help them save cost, and we should be able to get some of the benefit associated with that. We have the ability to help them manage their portfolio differentially well, and we should get benefits associated with that. It should be a genuine partnership where we're seeking to help them solve problems that they have, and we're getting part of the benefit associated with that, and vice versa. I don't think we're done. Are we putting a number on what the opportunity is? No. Are we excited about having the opportunity to give them access to more of our data and to do that in a way that's really going to add a lot of value for them? Absolutely we are, and they're pretty excited about that too. We haven't figured out exactly how we're doing it, but we've got a very strong working plan of how that's going to unfold. Next week, we have an event with our trade partners, getting everybody together and having a conversation similar to this. Won't be in as much detail. These are really important relationships for us. Do I think we buy well today? Yes, I do. Do I think that we have opportunity to buy better? Of course, we do. We're never done doing a better job in working with everybody in our ecosystem to ensure that we're finding ways to be smarter about what we do. I think maybe just to build on that, a couple of other things we've spoken about today that I think are important context in the context of high-quality trade partner relationships. One is the focus on right product in the right place for the right customers. Obviously, it's in our suppliers' interest as much as it is in ours to make sure that their product gets to where they need it to be to drive the highest velocity, which will in turn provide better margins for both. The other piece is the opportunity we have to reinvigorate the category through new product development. We absolutely intend, as has been spoken to through the day, to be doubling down on our supplier relationships, which we are making sure we call trade partnerships, as opposed to it being a one-way street around suppliers to make sure that together we are doing everything we need to drive growth in the category and to bring innovation to the customers that demand it, and there are certainly a lot of them. All right. G'day, it's Tom from Barrenjoey over here again. Hi, Tom. Excuse me. Just want to ask on the 2027 interest costs, because rates have obviously gone up a bit. Do you have more variable than fixed debt? Obviously the debt balance will be higher. Is that an AUD 10 million or AUD 20 million step up next year just for modeling purposes would be helpful? Yeah, appreciate that. I think we are in the practice of providing interest expense guidance when we do our end of year trading update, and we'll do that again. I think the starting point in terms of the way to think about it would be to say, assuming no change in underlying net debt, we've got higher interest rates, so that is what it is. We're currently call it between 30% and 40% hedged on our underlying debt interest. The other thing to keep in mind, of course, is the inventory buffer that we're holding. Wherever we're holding that inventory buffer, we're borrowing extra against that, so that's incurring interest at the rate of sort of, call it 5.5%-6%, once you take into account the borrowing margin. Yep. Cool. Those assets that you're selling, can you tell us what the book value is of those, or how much they kind of owe you? I assume there'll be a write-off if you sell them or just how we should think about that going forward. Okay. We'll disclose that as part of our full-year update when we talk to any significant items. Cool. Thanks. Craig again. Just a question on the relationship with Woolworths, as you highlighted the important relationship given location of the stores and the history. Just clarify on the supply chain, is there a time in the long term where Endeavour is fully independent of Woolworths' supply chain? Quite possibly. We're making the best decisions for us, and they're making the best decisions for them. The decision that we made with respect to Melbourne is a classic example of there will be decisions that we make that cause us to move further away on some of the support services that we had the ability to enjoy as we separated. That'll always be done on commercial basis from our standpoint. There's no commitment to stay doing things that aren't in our interests. To be clear, in all other states, you're still working through the Woolworths distribution centers? Of course. In a number of those cases, we actually went to tender, and that was the best choice. They provided us with a price point for the service and a level of service that we wouldn't be able to get from somebody else. Okay. Other question. Other than EBIT or maybe ROFE, but what are the two or three KPIs you want investors to focus on in tracking this strategy? Well, that probably leads to a series of questions about how we're going to be setting up short-term incentives and long-term incentives in the business. I guess what I would say is that we're very focused on making sure that we have rethought our remuneration framework so that we're motivated on the things that are going to drive most value for you. That all anchors around us delivering on transformation. I talked about the 180 initiatives that need to work their way through the system. What are the things that if I was in your shoes I would look at that I'm pretty confident will end up in our rem framework in one way, shape, or form? One is growth. We need to be focused on delivering growth for both the hotels business and the retails business. Earnings and the earnings margin that we can deliver over time will definitely be on the list of things to do. There will be a capital return metric, whether it's ROFE or it's ROIC, I'm sure that's a fundamental part of how you think about measuring our performance. Those things are the key things which anchor back to everything we've talked about today, which is driving revenue growth and getting cost out of the business. Makes sense. Similarly on disclosures, you used to publish sales productivity. Some of your slides talk to a focus on productivity. Would you consider reinstating that disclosure on productivity metrics? You're talking about sales per square meter? Yeah. Potentially. I mean, we certainly haven't had any concrete discussion on that topic, but take on board the feedback. Probably the other thing, just to build on your question, is that we fully get the fact that we need to deliver, and it's all well and good to talk about what we plan to go do, but we need to deliver. If we deliver, and we deliver to the plans that we have set, we're going to deliver substantial earnings growth for you. So that is our obsession, is making sure that we back up what we say with what we do and that it delivers. Sorry, Jayne, one more from me. You talked about REM framework before. You've got a very new senior exec team. How are you thinking about equity incentives as well? Obviously, there's not a lot of equity holding across senior leadership group. Yeah, look, that's a topic for the board. We're working through now what's the right remuneration framework to ensure that this is delivered and it's delivered as fast as it can be, because that's what's going to drive value for you. Making sure that we're all shareholders and aligned with incentives is absolutely a fundamental piece of that. Sorry. Thanks for taking the follow-ups. Bryan Raymond from JPMorgan. Just a quick one on the I don't think it is come up today at all, but the transport cost pressure that you had in the second half, the AUD 6 million-AUD 8 million or 15 basis points. I understand diesel terminal gate prices come down a bit. They could go up again in July, as I understand it. How should we think about your hedging and your exposure if there is a bit of a pickup there in diesel costs, and that translates, I would imagine, into higher costs, or are you pretty comfortable with where you are at? Look, the pass-through of that cost to us is unhedged. To the extent that our third-party freight distributors incur higher fuel costs, in due course, that flows through to our distribution costs. At the moment, as you say, we're relatively happier because the underlying price has come down. There is a risk if fuel prices rise again, particularly diesel prices rise again, that would incur additional costs. Just so we're transparent about how we're managing this process, we meet every week to talk about any requests that have come in to change the price of anything as a consequence of fuel prices going up. Every conversation we have where we're contemplating accepting fuel price increase into logistics costs, it comes with an obligation from whoever's doing the asking that they're transparent with us on exactly where the costs are coming from and what it's based on and how that anchors back into our contract. That we can isolate that cost and that everybody's under the clear understanding that as the fuel price goes down, so goes down the cost, so that we can track and measure it and then manage it out. The worst thing that could happen for our industry, and I assume most companies are doing the same, but the worst thing that could happen to us is this just gets baked in, which is what tends to happen when you have these moments in time. There is a moment of inflation, and it doesn't back out. This is one that should back out, and we're going to make sure it does in our business. Assuming this continues through all of 2027, for argument's sake, is that a decent run rate, that AUD 6 million-AUD 8 million over four months, let's call it, because of the disruption period, so AUD 1.5 million-AUD 2 million a month? Would that be as good a proxy as any with the information we have available to us? Yeah. Probably can't give you guidance on that at the moment. Yeah. Back of the room. Thanks for taking my question. Just one from me. I'm just curious, if you're going to be sort of reporting or targeting returns, sort of ignoring lease liabilities and then also not reporting sales per square meter, how should investors gauge the performance of the floor space optimization program? Look, we will work our way through what is the right way to help investors understand the progress that we're making from a transformation standpoint. We haven't locked on what that looks like today. We will make sure that we have the right mechanism to help you understand how much is being released and where it's coming from. Thank you. I think maybe an add to that question is I think you're asking about floor space in the context of sales per square meter. Assuming no change to store count, of course, that's just going to be seen through sales velocity. We can certainly think about whether there's more nuance we can give around square meterage movements. The strategy is not anchored on changing the available floor space. It's anchored on changing the velocity. Hi, Phil Kimber again at E&P Capital. I don't know if this might be going to the next slide, but intrigued as to having the strategy day but not providing any medium to longer term financial targets. The thinking around that. I think you've used a comment in there about earnings growth in the medium term, but that was really the only financial target I could see for the strategy. Look, that's a conscious choice, as you'd expect. We're quite clear, as I said before, that we have form in putting up commitments and then not executing against them. There's also a lot going on around us that we can't control. What we are going to do is deliver for you and demonstrate what we've done to deliver the outcomes. As the dust starts to settle, we'll contemplate what sort of forward-looking commitments we're comfortable with. Our goal is to deliver as fast as we possibly can on the opportunities that we see, because they're plenty. Other questions? Well, that's amazing. We might just wrap up then, if there are no other questions. Thank you. Look, just in quick summary, I think that last question was a good one to just say we appreciate that we're not going to stand here and make a lot of promises when what we know you want to see is execution and delivery and the results. What we're standing here doing today effectively is saying we have clarity on where we're headed, we have a huge amount of confidence in the opportunity, and we're going after it and we are going to deliver it. We're not putting quantum around that largely from the perspective of we just need to show you the money. That's our intent, is to show you the money. We see it quite clearly in all parts of the business. If you start with retail, we've talked about that. Getting the fundamentals right is going to unlock value. Ensuring that we're building everything that we do back from the customer is going to deliver share of wallet opportunity. That is going to translate into growth for us that's differentiated. Somebody asked me on the break, "How do you continue to deliver the revenue growth when you've already taken the price moves? You're going to have to continue to take price moves." Taking price moves was getting back in the game, making sure that we could compete in Dan Murphy's against the value proposition we know Dan Murphy's has been built on, and we know exactly how it hits the bullseye for customers. We have to do that. We had to do it quickly. To watch customers walk away from us is not a great thing to do every day. The fast moves we've taken, that's not the only play in the book. There is a lot of stuff that's behind ensuring that we can continue to deliver revenue growth without having to continue to adjust price. Retail is about getting the fundamentals right and getting the value proposition squarely where it needs to be and all the things that sit around that in terms of driving traffic into stores and building basket sizes. I think we can do that better than anybody else in the marketplace, and we're building all of the tools and wisdom to be able to execute well every day. The second piece of the puzzle is going after the opportunity in hotels. We talked about it in 2023, but we weren't able to execute on it. We're going to execute on it this go around. We have more clarity than we've ever had as a business in terms of what needs to be different and how to go about making it different, and we're really excited to be able to deliver on that. The first and foremost bit of that is the operating model and getting that right. The second bit of it is getting the condition of our pubs in a place where they can compete effectively to win in their local community. The third bit of it is unlocking trapped value in property that sits across our portfolio. All three of those things we are going to go execute against, and we will do that with distinction. The third bit of it is just the simplification and group overlay that drives benefit into both retail and hotels portfolios. The complexity we've built in our business is relatively straightforward to unwind, but has to be done with discipline and has to be done mindful of the knock-on consequences. That's what's enabling the AUD 300 million in cost to come out. The opportunity that we have to leverage the group assets from a customer data standpoint and the infrastructure benefits that are associated with that, and the platform that that then enables us to build from in terms of driving differentiated growth outside of the things that are squarely in what we've already talked about today is substantial. We're very excited about the opportunity. I think it's an excellent question in terms of how we're all motivated. Every single person in the team is intrinsically motivated by doing a great job for you. The incentive structure that we have in place for FY 2026 is fine, and FY 2027 forward will be entirely anchored and focused on making sure we execute against these plans that of course have detailed business cases and values associated with them, and that's how we will be motivated to deliver outcomes. Of course, equity will be a big part of what that program looks like. What do I want you to walk away from today? One is there is opportunity everywhere. Two, we've built a really good team to go after it. Three, we are going to be very focused on delivering that to you as fast as we possibly can. We're mindful of the fact that we can't do everything all at once. The discipline here is in what are we doing first, second, and third, making sure we're hugely ambitious in terms of what we go after, and we push ourselves to go after more than we can probably bite in one period of time. We'll deliver way more for you in the process as a consequence of pushing ourselves outside our comfort zone a little bit. There shouldn't be any distress around what we need to go do with hotels in terms of investing to go after the hotels. We've got a demonstrated track record behind us in terms of delivering good results, and we've now got more sophistication in the way that we're going to think about segmenting hotels and putting the right amount of capital against each opportunity by opportunity. We're really excited about the game and the play forward. This is definitely a play-to-win strategy, and we're not taking any prisoners along the way. We are going to deliver, and we're looking forward to being able to have conversations with you with results behind us. With that, I'll say thank you for making the time to be here today and for coming out to join us at the Forest. We've got lunch planned for you. We also have an AUD 20 gift voucher to ensure that you go visit Dan Murphy's, which is just around the corner. The team there are ready to show you the great value opportunities and the really extraordinary range that sits in the store that should satisfy anybody's interests, no matter how much you're prepared to spend. Have fun with that, and enjoy the rest of the day.