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23 June 2025 FY25 Full Year Results For personal use only
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We acknowledge the T raditional Custodians of the land on which we are all connecting today. We are connecting from the lands of the Bunurong Peoples of the Kulin Nation, and pay respects to Elders across Country, past, present and emerging. Acknowledgement of country 2 For personal use only
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Group Chief Executive Officer and divisional results Group overview Doug Jones For personal use only
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Metcash 4 The leading wholesaler and service provider to independent businesses in Australia Our purpose Championing Successful Independents insupport of thriving local communities To create Sustainable Shareholder Value For personal use only
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Metcash 5 Supply chain and logistics capability, reach, reliability and efficiency The leading wholesaler and service provider to independent businesses in Australia Our flywheel The centre of our business model Value Add Services and Support Attractiveand Strong Brands andFormats Our core wholesale & logistics 03 02 01 01 02 03 Retail networks operated in partnership with independent owners Support and Services For personal use only
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Group overview Solid results delivered through strategy and execution, now well positioned to accelerate growth 6 Strong growth through challenging conditions Disciplined operational and strategic execution Set for accelerated growth • Food a larger and better business • Liquor market share gains • Hardware improvement in 2H – encouraging start to FY26 • Independent networks healthy, competitive and confident • Superior, Bianco, Alpine bedded in and synergies on track • Significant supplier distribution wins • Reported profit and underlying EBIT growth • Outstanding growth in operating cashflows • Further improvement in ESG credentials and safety performance • Costs and working capital improvement • Tobacco decline mitigated • Tools margins restored • Mega DC opened, commissioned and optimisation on track • Steady progress on Program Horizon • Leveraging Microsoft partnership to lead sector in value-adding AI applications • Strong leadership in place • Broad restructuring and capability uplift across Group • Foodservice and Convenience business unit formed • Total Tools and Hardware Group formed – structured for acceleration on market recovery • Diversity of markets • Diversity of revenue streams – strong growth in retail, defensive growth in wholesale – supporting resilience and potential for margin expansion • Balance sheet flexibility • Trading strong in FY26 with growth in all pillars For personal use only
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dd Extending through the value chain for growth and value creation 7 Winning with Independents Revenue 1 contribution 1. Revenue includes charge through sales and is prior to the elimination of Wholesale sales to Retail of $1.0bn (FY20: $0.6bn) Wholesale Out of Home FL Retail Franchisor $bn Revenue 1 • Metcash operates in a diverse set of markets, with a wide range of revenue streams • Ongoing focus on further improving competitiveness of our independent retail networks • Growth strategy includes moving through the value chain, closer to the customer. • This delivers: o Margin growth opportunity o Larger addressable market o Value creation beyond wholesale o Strength through vertical integration o And is founded on a reliable wholesale revenue stream that delivers strong and predictable cash earnings • Strategy already progressed and delivering significant growth: Since FY20: o Retail +133% to $2.2bn o Wholesale +21% to $15.1bn o Out of Home F&L +47% to $3.0bn o Increased Franchisor revenue stream o Retail media growing • Strategy creates material opportunity for future growth and value creation, including building on the Group’s existing strong ROFE Wholesale Out of Home FL Retail Franchisor 81% 74% 6% 11%13% 14% 1% 6% 15.1 1.0 2.22.0 3.0 0.2 Margin expansion FY25 FY20 12.5 For personal use only
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Group Revenue 1 +7.2% $19.5bn Group EBIT Underlying +2.3% ($515.5m ex restructuring costs 2 ) $507.8m Reported PAT +10.1% (Underlying -2.4%) $283.3m 1. Includes charge-through sales, which represent direct sales from suppliers to retailers, invoiced through Metcash 2. FY25 restructuring and associated costs of $7.7m 3. Cash realisation ratio (CRR) = cashflow from operations/underlying NPATDA (depreciation and amortisation not tax effected)8 Debt Leverage Ratio 4 1.0x Underlying EPS 5 Reported +0.4% 25.1cps Total Dividend ~72% UPAT 18.0cps Target: 1.0x – 1.75x Strong profit and cash performance – balance sheet flexibility 4. Debt Leverage Ratio (DLR) = Net Debt/Underlying EBITDA less depreciation of ROU assets (rolling 12 months basis) 5. Includes impact of dividend reinvestment plan (DRP) on weighted average shares outstanding (WASO) Operating cashflow $539m 3yr av. CRR 3 95% +11.7% Target range lifted Group financial overview For personal use only
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Results overview by pillar FY25 Total Pillar sales revenue $19.5bn FY24 Total Pillar sales revenue $18.2bn 55%27% 18% 53% 28% 19% 46% 19% 35% FY25 Total Pillar EBIT $542m FY24 Total Pillar EBIT $530m 40% 20% 40% Food LiquorHardware Sales Revenue (including charge-through1) Food 10,608.52 9,552.1 11.1 Liquor 5,321.7 5,150.1 3.3 Hardware 3,559.1 3,476.9 2.4 Total sales revenue (including charge-through sales1) 19,489.3 18,179.1 7.2 Less: Charge-through sales 1 (2,166.3) (2,266.7) 4.4 Total sales revenue (Statutory Accounts) 17,323.0 15,912.4 8.9 %FY24 $mFY25 $m EBITDA 747.8 688.3 8.6 Depreciation and amortisation3 (240.0) (192.0) (25.0) Total Underlying EBIT 507.8 496.3 2.3 Food 248.42 210.1 18.2 Liquor 104.1 109.2 (4.7) Hardware 189.3 210.9 (10.2) Corporate (34.0) (33.9) (0.3) 1. Direct sales from suppliers to retailers, invoiced through Metcash 2. Includes Superior Foods for the 47 week period from 3 June 2024 3. Includes ROU depreciation of $145.9m (FY24: $123.4m) 9 For personal use only
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dd Independent retail network remains competitive and strong Food sales 10 Supermarkets sales • Quality and competitiveness of offer continues to resonate with shoppers in value conscious environment • Increase in competitive intensity, particularly in 2H • Independents’ market share maintained • Sustained wholesale volume growth 1 • Moderation in wholesale price inflation 1 to 1.4% (FY24: 4.8%) • Teamwork score (ex tobacco) steady (~70%) • Chobani moved into Metcash mega DCs April 2025 (from direct-to-store) • IGA LfL scan sales 2 +2.7% (ex tobacco) • Private label sales +7.6% • Foot traffic (ex tobacco) +0.3% • Net store growth (+9 stores) 1. Ex tobacco and produce 2. Based on scan data from 1,122 IGA stores 3. Superior Foods sales are for the 47 week period from 3 June 2024 %FY24 $mFY25 $m Tobacco 1,844.0 2,297.9 (19.8) Total revenue excl. tobacco (including charge through) 8,764.5 7,254.2 20.8 Supermarkets (excl tobacco) 6,656.7 6,450.7 3.2 Campbells & Convenience (excl tobacco) 851.7 803.5 6.0 Superior Foods 3 1,256.1 - - Total revenue as per Statutory Accounts 9,341.2 8,307.8 12.4 Charge-through sales 1,267.3 1,244.3 1.8 Total revenue (including charge-through) 10,608.5 9,552.1 11.1 A larger, more diversified and resilient business For personal use only
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dd “Foodservice & Convenience” business unit established Food sales A larger, more diversified and resilient business 11 Campbells & Convenience sales • Renewed growth strategy delivering accelerating growth, particularly in petrol and convenience channel o Customer range extensions and new sites o Customer wins (Ampol commenced Feb 25) o Established as the leading supplier in the sector, supplying all major petrol & convenience operators Superior Foods 1 sales • Strong growth of +4.6% 2 v PCP • Increase in competitive intensity of Independent segment • Major contracts renewed (~$240m p.a.) 1. Superior Foods acquired 3 June 2024 2. Superior Foods sales growth is for the period 3 June 2024 to 27 April 2025 vs Superior Foods’ PCP 3. Superior Foods sales are for the 47 week period from 3 June 2024 %FY24 $mFY25 $m Tobacco 1,844.0 2,297.9 (19.8) Total revenue excl. tobacco (including charge through) 8,764.5 7,254.2 20.8 Supermarkets (excl tobacco) 6,656.7 6,450.7 3.2 Campbells & Convenience (excl tobacco) 851.7 803.5 6.0 Superior Foods 3 1,256.1 - - Total revenue as per Statutory Accounts 9,341.2 8,307.8 12.4 Charge-through sales 1,267.3 1,244.3 1.8 Total revenue (including charge-through) 10,608.5 9,552.1 11.1 For personal use only
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dd Strong earnings growth including Superior Food earnings A larger, more diversified and more resilient business 12 • Supermarkets and Campbells & Convenience o Continued strong trading performance (ex tobacco) o Supermarkets Inquiry costs $1.3m o Restructuring costs $2.5m o Profit on sale of Dramet $3.2m o Cost pressures well managed (labour, rent, utilities) • Superior Foods 1 o Increased competitive pressure in Independent segment and unfavourable change in Protein and Shipping mix o EBIT excl. customer amortisation $35.2m o Restructuring costs $0.4m • D&A increase primarily reflects impact of Superior and new Truganina, Vic DC • EBIT margin improvement reflects change in sales mix and impact of Superior Foods o Supermarkets and Campbells & Convenience 2.3% (FY24: 2.2%) o Superior Foods 2.6% %FY24 $mFY25 $m EBITDA 345.5 277.6 24.5 Supermarkets and Campbells & Convenience 290.3 277.6 4.6 Superior Foods 55.2 - - Depreciation and Amortisation 2 (97.1) (67.5) (43.9) EBIT 248.4 210.1 18.2 Supermarkets and Campbells & Convenience 216.1 210.1 2.9 Superior Foods 1 32.3 - - EBIT margin 3 2.3% 2.2% 14.0bps 1. Superior Foods earnings are from the 47 week period from 3 June 2024 2. Includes ROU depreciation of $60.7m (FY24: $48.5m) 3. EBIT margin: EBIT/Total revenue (including charge-through) For personal use only
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dddd Tobacco sales 13 Proactive strategies to mitigate impact of decline effective • Continuation of sharp rise in illicit tobacco sales • Law enforcement largely ineffective • Proposed new law in QLD is encouraging o Landlords subject to criminal sanctions and fines o Opportunities to expand to other states • Managing impact of decline well o Customer growth strategy – key distributor for all suppliers o Driving market share growth o Restructured commercials o Supply chain initiatives • Consistent earnings growth in Food despite ~40% decline in tobacco sales since peak of $3.1bn in FY21 • Tobacco now ~17% of Food sales 1 (low margin product) • FY26 is final year of 5% accelerated excise increase program o High confidence of mitigating impact through factors including efficiencies, commercial arrangements and new customer growth o Net EBIT impact expected to be <$5m in FY27 61% 39% Legal sales Illicit sales Growing share of legal tobacco market Australian market $14.5bn Metcash share of legal market ~18.5% 20% 25% 30% 35% 40% Metcash share of tobacco sales in Australian Grocery market Source: Illicit – FTI consulting; Legal - Circana Source: Circana 4/5/25 1. Including charge through sales For personal use only
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dd Market share gains Liquor 1. EBIT margin: EBIT / Total revenue (including charge through) %FY24 $mFY25 $m Total revenue as per Statutory Accounts 5,306.1 5,133.6 3.4 Charge-through sales 15.6 16.5 (5.5) Total revenue (including charge-through) 5,321.7 5,150.1 3.3 Wholesale sales to retail & contract customers 4,682.8 4,511.7 3.8 On-premise sales 638.9 638.4 nm Sales • Continued shopper preference for convenience and quality of differentiated independent offer, delivering o Acceleration of growth in 2H (1H: +2.1%, 2H: +4.5%) o Volume growth o Market share gains • Strong performance across IBA brands (Cellarbrations, The Bottle-O, IGA Liquor and Porters) • Continued shopper focus on value – beer highest growth category • Successful execution of new $100m p.a. wholesale distribution agreement with Lion in SA • On-premise returned to growth in 2H Earnings • Pleasing performance in light of impact of lower wholesale price inflation on strategic buying • Increased D&A (primarily new Truganina Vic DC and digital investment) • Restructuring costs $0.3m • Cost inflation well managed EBITDA 123.5 125.7 (1.8) Depreciation and Amortisation 1 (19.4) (16.5) (17.6) EBIT 104.1 109.2 (4.7) EBIT margin 2 2.0% 2.1% (16bps) 14 Independents continue to outperform market, led by IBA 1. Includes ROU depreciation of $15.2m (FY24: $14.1m) 2. EBIT margin: EBIT/Total revenue (including charge-through) For personal use only
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Liquor 15 Market share gains across all categories Share gains in all categories vs pcp 2 270 bps increase in market share -0.75% -0.25% 0.25% 0.75% Total packaged liquor Beer Cider Glass Spirits RTD Wine ALM National competitors 1. Source: Circana – Packaged Liquor market MAT to 08/5/22; 04/05/2025 2. Source: Circana – Australia weighed liquor 04/05/25 28.4% 71.6% FY22 1 ALM Chains & other independents 31.1% 68.9% FY25 1 Improved format clarity, store standards and value proposition leading to continued supplier support and broad market share gains For personal use only
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dd Market share maintained in IHG and Total Tools Hardware Total Hardware Total revenue as per Statutory Accounts 2,675.7 2,471.0 8.3 Charge-through sales 883.4 1,005.9 (12.2) Total revenue (including charge-through) 3,559.1 3,476.9 2.4 Network sales 4,535.2 4,514.4 0.5 EBITDA 295.6 297.8 (0.7) Depreciation and Amortisation 1 (106.3) (86.9) (22.3) EBIT 189.3 210.9 (10.2) EBIT margin 2 5.3% 6.1% (75bps) Sales • Total sales increased 2.4% o IHG +2.8% o Total Tools +0.6% • Trade activity remains subdued, with improvement in Q4 and early FY26 • Market share maintained in IHG and Total Tools • Charge-through sales primarily in trade categories Earnings • EBITDA broadly flat • D&A increase primarily relates to acquisitions • EBIT decline reflects subdued trade market activity, owned site margin pressure and increased D&A o IHG $112.9m – earnings momentum in 2H o Total Tools $76.4m – return to earnings growth in 2H vs pcp • CODB pressures offset by cost management initiatives • Restructuring costs ~$1.2m 1. Includes ROU depreciation of $66.1m (FY24: $55.5m) 2. EBIT margin: EBIT / Total revenue (including charge-through) charge through) 16 Continued strong execution in challenging market – formation of Total Tools and Hardware Group %FY24 $mFY25 $m For personal use only
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dd Q4 sales improvement and lift in 2H earnings %FY24 $mFY25 $mSales • Improved trajectory in 2H • Trade continued to be impacted by subdued trade market – improvement in Q4 • DIY sales holding – strong Q4 in WA, SA and QLD • JV & company owned stores +11.6% (-0.8% ex Bianco/Alpine) • Wholesale sales stable • Retail scan sales v pcp higher in 2H v 1H • Further moderation in wholesale inflation (FY25: 0.5%, FY24: 2.8%) • Total IHG sales ex Bianco/Alpine -3.1% • Wholesale sales mix in line with pcp (Trade 63% / DIY 37%) Earnings • EBITDA growth – acquisitions and cost efficiencies • Improved earnings in 2H vs 1H • EBIT margin improvement in 2H (1H: 3.6%, 2H: 4.3%) • Increase in wholesale margin to 3.1% (FY24: 3.0%) • Retail gross margins stable • Deleverage in owned sites EBIT margins from lower volumes • CODB pressures well managed 17 IHG Total revenue (including charge-through) 2,875.9 2,797.8 2.8 Total network retail sales 3,377.4 3,402.1 (0.7) Retail scan sales 1 (4.1) DIY (0.1) Trade (6.5) EBITDA 196.7 195.1 0.8 Depreciation and Amortisation 2 (83.8) (66.1) (26.8) EBIT 112.9 129.0 (12.5) EBIT margin 3 3.9% 4.6% (68bps) 1. LfL based on sample of 352 network stores that provide scan data 2. Includes ROU depreciation of $49.4m (FY24: $39.8m) 3. EBIT margin: EBIT / Total revenue (including charge through) Hardware – IHG Continued strong execution in challenging market For personal use only
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dd 1. LfL results reflect sales on a same store basis 2. Includes ROU depreciation of $16.7m (FY24: $15.7m) 3. EBIT margin: EBIT/Total revenue Earnings • LTM EBIT/LTM network sales 6.6% (1H:6.5%, 2H: 6.6%) • JV stores: o Improvement in gross margins through 2H o Average EBIT margin (ex new stores) 6.1% o Earnings -20.8% – deleverage impact from lower volumes • Exclusive Brands earnings +28.4% • Decline in EBIT margin largely reflects margin pressure in retail stores in 1H Hardware – Total Tools 18 Margin improvement in 2H Revenue • Growth in total revenue driven by store expansion, mostly offset by: o Impact of cost-of-living pressures on trades people o Subdued trade activity • Franchise fees and other revenue +6.2% • JV retail stores -1.4% • Exclusive brands +20.7% (network EB sales +7.9%) • Commercial segment sales +16.4% (off small base) • Continued growth in network sales +4.1% (LfL 1 -0.6%) • Online sales +16.1% Total Tools Total revenue (including charge-through) 683.2 679.1 0.6 Total network sales 1,157.8 1,112.3 4.1 EBITDA 98.9 102.7 (3.7) Depreciation and Amortisation 2 (22.5) (20.8) (8.2) EBIT 76.4 81.9 (6.7) EBIT margin 3 11.2% 12.1% (88bps) %FY24 $mFY25 $m Network expansion driving growth For personal use only
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dd 19 Superior Foods – positioning to accelerate growth • Foodservice and Convenience business unit formed • Strengthened team to accelerate growth • Merchandising team being integrated into Metcash Food • Good progress on strategic value creation and synergy program: • Creation of unique cross-sell opportunities • Distribution of liquor o Sydney bonded liquor license granted (servicing cruise and export markets) o Other liquor licence applications pending • Now servicing Perth QSR customers from Canning Vale, WA mega DC • Progressing private label opportunities • Synergy benefits on track • Major contracts renewed ($240m p.a.) • Expected ~$10m capex in FY25 identified at time of acquisition not required • Estimated additional capex ~$5m p.a. in FY26 and FY27 (down from $10-12m p.a. per earlier guidance) Bianco Building Supplies / Alpine Frame and Truss • Bianco performing well and in line with expectations • Alpine performance below – reflection of dire residential construction market in VIC • Synergy benefits on track for both businesses Synergy benefits tracking in line with plan Acquisitions update For personal use only
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Group Chief Financial Officer Group financials Deepa Sita For personal use only
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dd 21 • Revenue growth of 8.9% and reported profit increase of 10.1% • Strong cash performance • 3 yr CRR 94.7% (guidance increased to 80% – 90%) • Underlying EPS 25.1 cps • $7.7m restructuring and related costs in underlying earnings • Effective cost management delivering ahead of target • Finance costs increase driven by acquisitions and new leases • Disciplined approach to capex spend (below guidance exc. M&A) • ROFE 1 ~23% (includes impact of new DCs and M&A) • Balance sheet flexibility • Final dividend 9.5cps – a moderate increase above annual target payout ratio of ~70% Underlying NPAT • DRP remains in place (no discount) 1. ROFE = Underlying EBIT (rolling 12 months basis) /Average opening and closing funds employed Strong profit and cash performance – balance sheet flexibility Financial Overview For personal use only
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Capital Management 1. Excludes $36.1m cash outflow to acquire non-controlling interests through put option exercise, disclosed as financing cashflows 2. Debt Leverage Ratio (DLR) = Net Debt/Underlying EBITDA less depreciation of ROU assets (rolling 12 months basis) 3. ROFE = Underlying EBIT (rolling 12 months basis) /Average opening and closing funds employed Framework FY25 Outcomes Operating cashflow $539m $483m DLR2 1.0x Capex & M&A 1 $552m Total dividend 18.0cps ~23% ROFE3 Net debt $577m $342m 0.5x $252m 19.5 cps ~26% 22 Consistent and disciplined application of capital framework FY24Cash from operating activities Cash for investing activities Net interest & lease payments Reliable dividends Dividend Payout Ratio of ~70% Underlying NPAT Additional capital allocation options Major growth projects Surplus cash returns to investors Cash realisation Core capex Service obligations Aligned to strategy and expect to deliver returns in excess of specific hurdles Strengthening the core capex Includes Maintenance and Expansion (M&A & new business development not included) Maintain strong balance sheet Target Debt Leverage Ratio2 of 1.0x up to 1.75x Core cash flow Maximising value for shareholders Deliver strong return on funds employed in excess of WACC For personal use only
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Profit and Loss Sales revenue including charge-through sales 19,489.3 18,179.1 7.2 Charge-through sales (2,166.3) (2,266.7) 4.4 Sales revenue per statutory accounts 17,323.0 15,912.4 8.9 EBITDA 747.8 688.3 8.6 Depreciation and amortisation 1 (240.0) (192.0) (25.0) EBIT 2 507.8 496.3 2.3 Net finance costs 3 (122.4) (92.6) (32.2) Profit before tax and NCI 385.4 403.7 (4.5) Tax 4 (109.8) (120.5) 8.9 Non-controlling interests (0.1) (0.9) nm Underlying profit after tax 275.5 282.3 (2.4) Significant items (post tax) 5 7.8 (25.1) nm Reported profit after tax 283.3 257.2 10.1 EPS based on underlying profit after tax 25.1c 28.3c (11.3) ROFE 6 22.6% 25.9% %FY24 ($m)FY25 ($m) 1. Includes ROU depreciation of $145.9m (FY24: $123.4m) 2. Includes share of profit from equity accounted investments of $18.7m (FY24: $19.8m) 3. Net finance costs for FY26 expected to be between $120m and $125m (assumes moderate easing in current interest rates) 4. Income tax expense of $109.8m reflects an effective tax rate of 28.5% on underlying profit (FY24: 29.8%) and is below the corporate tax rate of 30% largely due to the share of profit from equity-accounted investments which are non-assessable to Metcash 5. Significant items includes $15.0m gain arising from the reversal of a previously impaired loan to an associate (Dramet Holdings Pty Ltd), put option valuation adjustment gains and acquisition costs of $10.1m (net gain), Program Horizon implementation costs of $9.3m, and Mega DC costs of $8.0m (all post tax) 6. ROFE = Underlying EBIT (rolling 12 months basis) /Average opening and closing funds employed 23 For personal use only
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Cashflows Operating cashflows 1 539.0 482.6 Investing cashflows 2 , net (523.9) (328.4) Capital expenditure 3 (including Program Horizon, DC upgrades and store upgrades) (148.5) (135.9) Acquisitions of businesses 1, 4 (403.8) (205.6) Net loan repayments and other investing activities 28.4 13.1 Financing and lease cashflows, net (340.6) (56.5) Step acquisitions of non-controlling interests (put-option settlement) 5 (36.1) (139.8) Payments for lease liabilities, net and other financing activities (143.0) (121.3) Proceeds from equity raise, net of share issue costs - 351.9 Dividends paid (161.5) (147.3) (Increase) / decrease in Net Debt (325.5) 97.7 3 year rolling Cash Realisation Ratio (CRR) 6 94.7% 89.9% Debt Leverage Ratio 7 0.96x 0.45x FY24 ($m)FY25 ($m) 1. Metcash completed the acquisition of Superior Foods on 3 June 2024 at an Enterprise Value of $412.3m. This is reflected in anet cash outflow of $385.3m (investing cashflow), an increase in net working capital post completion of $19.2 million (operating cashflow) and deferred purchase consideration of $7.8 million expected to be payable in FY29, as further detailed in Note 6.1 of the FY25 Financial Report. 2. Excluding any lease related cashflows 3. FY26 capital expenditure (excluding acquisitions) is expected to be in the region of ~$200m. 4. The cash outflow from acquisitions of businesses in FY25 of $403.8m comprised $385.3m in relation to Superior Foods, $10.8m of purchase consideration paid in relation to other bolt-on acquisitions and $7.7m of cash paid to settle deferred purchase consideration in relation to acquisitions from prior years. 5. Represents cash payments to acquire an incremental ownership interest in a business from non-controlling (minority) shareholders by way of settlement of a put option liability. During FY25, Metcash paid $36.1m to increase its ownership interest in 15 Total Tools JV stores (now 75-100% owned). 6. Cash realisation ratio (CRR) = Cash flow from operations/underlying NPATDA (depreciation and amortisation not tax effected). 7. Net Debt / (Underlying EBITDA less depreciation of ROU assets) (rolling 12 months basis). 24 For personal use only
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Balance Sheet Trade and other receivables and prepayments 2,096.0 1,906.2 Inventories 1,542.8 1,196.9 Trade payables and provisions (3,182.1) (2,635.0) Net working capital 456.7 468.1 Intangible assets 1,452.4 1,061.5 Property, plant and equipment 397.4 340.1 Equity accounted investments 146.1 135.6 Customer and associate loans and assets held for sale 21.3 22.9 Capital investments 2,017.2 1,560.1 Total funds employed 2,473.9 2,028.2 Lease receivables and ‘right of use’ assets 1,013.6 868.6 Lease provisions and liabilities (1,258.9) (1,093.9) Net lease balances (245.3) (225.3) Net debt (577.4) (251.9) Put option liabilities (126.4) (175.4) Tax, derivatives and other 111.8 152.8 Net Assets/Equity 1,636.6 1,528.4 Average Working Capital Days 1 13.2 days 14.4 days %30 Apr 24 ($m)30 Apr 25 ($m) 1. Average monthly net working capital days for the preceding 12 months 12 13 14 15 16 17 18 19 20 0 100 200 300 400 FY21 FY22 FY23 FY24 FY25 Capital expenditure ($m) 2 Capital expenditure Payments for acquisition of businesses, net of cash acquired Group Sales Sales ($bn) Inventory ($m) and inventory days 25.7 27.6 27.3 27.5 33.0 0 10 20 30 40 0 500 1000 1500 FY21 FY22 FY23 FY24 FY25 Food Hardware Liquor Inventory days 2 . Excludes put option payments treated as financing cashflows of $36.1m (FY24: $139.8m) and also Software as-a-Service (SaaS) related prepayments and network stores’ refurbishment costs treated as operating cash flows of $13.6m (FY24: $19.3m)25 For personal use only
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Debt Management 1. As at 30 April 2025. Excludes lease liabilities 2. Weighted average cost of debt over the period (excludes line fees) 3. Net Debt / (Underlying EBITDA less depreciation of ROU assets) (rolling 12 months basis) 4. Underlying EBITDA / (Net Finance Costs (excludes lease costs) + Net Rent Expense + ROU depreciation) Group cash movements and DLR for FY25 ($m) Debt metrics and ratios Debt facility maturity profile 1 0 100 200 300 FY26 FY27 FY28 FY29 FY30 FY31 FY32 $m Working capital Syndicated facility • Net debt of $577.4m (FY24: $251.9m), including cash and cash equivalents of $84.8m (FY24: $97.3m) • Average net debt of $805m (FY24: $582m) • Weighted average cost of bank debt 5.65% (FY24: 5.66%) o BBSY 4.3% (FY24: 4.2%) • $295m hedged (average fixed interest rate of 3.80%, pre margin) • Undrawn debt facilities of ~$889m • Total debt facilities of $1.57bn at year-end • Balanced debt maturity profile (252) 539 (120) (404) (36) (142) (162) (577) (228) (805)-800 -600 -400 -200 0 200 400 600 Weighted average debt maturity (years) 3.3 2.2 Weighted average cost of debt 2 5.7% 5.7% Debt leverage ratio 3 0.96x 0.45x Underlying EBITDA coverage 4 3.2x 3.6x 26 FY25 FY24 DLR 0.45x DLR 1.33x DLR 0.96x Net Debt FY24 Operating cashflows Adj from actual to average Net Capex Acquisitions Put option step acqns Net lease pyts/ proceeds Net dividend Net Debt FY25 Av net debt during FY25 For personal use only
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Group Chief Executive Officer Group trading update and outlook Doug Jones For personal use only
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Trading update and outlook Commentary Positive start to FY26 with sales growth in all pillars Food • Significant increase in total sales ex-tobacco reflects inclusion of Superior Foods and strong growth in Campbells & Convenience • Supermarkets sales ex tobacco continue to be resilient, delivering solid growth in a low inflation and highly value conscious environment • Continuation of strong growth momentum in Campbells & Convenience supported by impact of new customers and strong tobacco sales associated with a regulatory change • Acceleration of decline in tobacco sales in Supermarkets relates to impact of regulatory change Liquor • Liquor growth underpinned by shoppers continuing to value local convenience and quality of Independents’ offer • Continued to grow share in quarter to end May 25 • Acceleration of improvement in on-premise sales • Entered binding agreement 20 June 25 to acquire Steve’s Liquor Warehouse group – 5 stores in Vic and 3 stores in Tas Hardware • Improvement in IHG with continuation of Q4 FY25 momentum • Timber and Building Supplies categories in growth • Frame and Truss pipeline at capacity in QLD and building in other states • Optimism over future demand underpinned by positive start to FY26, improvements in key indicators of future activity and strong market positions • Sustained recovery of retail margins in Total Tools Metcash • Remains well positioned with plans, platform, capabilities and diverse business portfolio for future growth FY26 Pillar sales – first 7 weeks v pcp 28 Group • Total sales +4.7% (+2.7% ex tobacco and Superior Foods) Food ex tobacco • Total Food sales +17.0% (+4.4% ex Superior Foods) o Supermarkets +2.9% o Foodservice and Convenience +91.1% (+6.6% with adjusted Superior Foods pcp 1 ) ❖ Campbells & Convenience +16.0% ❖ Superior Foods +0.8% 1 o May wholesale price inflation 1.5% (ex tobacco and produce) • Tobacco sales -28.8% Liquor • Total Liquor sales +1.5% o Wholesale sales to IBA retail and contract customers +1.3% o Wholesale sales to on-premise customers +2.7% Hardware • Total Hardware sales +1.1% o IHG +1.3% – now cycled impact of Alpine / Bianco ❖ Wholesale +2.4% 2 ❖ JV/Company-owned +1.5% ❖ Total IHG network sales +0.5% (LfL +0.8%) o Total Tools +0.3% ❖ Total Tools network sales +1.7% (LfL -2.7%) 1. Superior Foods’ sales growth is compared against Superior Foods pcp (i.e. 7 weeks rather than date of acquisition (3 June 24)) 2. Excludes eliminations to joint venture / company-owned stores For personal use only
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Appendices Financial history Bannered store numbers Total Tools EBIT margin Put options maturity Total Tools Beyond Horizon ESG highlights Retail Media Superior earnings waterfall 1 2 3 4 5 6 7 8 Sorted 9 Program Horizon update 11 Future disclosure – Food and Hardware 10 Dividends Accounting & disclosure Strategic For personal use only
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dd 31 Dividend • Total dividend 18.0 cps fully franked • Interim dividend 8.5cps • Final dividend 9.5 cps o Ex dividend date: 15 July 2025 o Record date: 16 July 2025 o Payment date: 27 August 2025 Dividend reinvestment plan • No discount • Participation deadline: 17 July 2025 • Pricing period: 21 July 2025 – 1 August 2025 • Announcement of DRP price: 4 August 2025 • Announcement of number of DRP shares to be issued: 26 August 2025 • Shares issued: 27 August 2025 Dividends 01. For personal use only
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Financial history Financial Performance Sales revenue ($m) 17,323.0 15,912.4 15,803.4 15,164.8 14,315.3 Sales revenue (including charge-through sales) ($m) 19,489.3 18,179.1 18,052.4 17,405.7 16,361.1 EBITDA ($m) 747.8 688.3 675.8 648.2 565.1 Underlying EBIT($m) 507.8 496.3 500.8 472.3 401.4 Underlying EBIT margin 1 (%) 2.6 2.7 2.8 2.7 2.4 Net finance costs ($m) (122.4) (92.6) (64.7) (48.5) (42.6) Underlying profit after tax($m) 275.5 282.3 307.5 299.6 252.7 Reported profit after tax ($m) 283.3 257.2 259.0 245.4 239.0 Operating cash flows ($m) 539.0 482.6 372.7 432.3 475.5 3 yr rolling average cash realisation ratio 2 (%) 95 90 93 Financial Position 1,636.6 1,528.4 1,085.1 1,090.4 1,291.1 (577.4) (251.9) (349.6) (189.0) 124.6 0.96x 0.45x 0.62x 0.36x (0.27x) Shareholders' equity ($m) Net (debt)/cash ($m) Debt leverage ratio3 Return on funds employed5 (%) 22.6 25.9 29.6 31.0 28.7 Share Statistics Fully paid ordinary shares (m) 1,098.6 1,091.6 965.5 965.5 1,022.4 Weighted average ordinary shares (m) 1,095.9 997.1 965.5 982.8 1,021.9 Underlying earnings per share (cents) 25.1 28.3 31.8 30.5 24.7 Reported earnings per share (cents) 25.9 25.8 26.8 25.0 23.4 Dividends declared per share (cents) 18.0 19.5 22.5 21.5 17.5 FY21FY25 1. EBIT margin = EBIT / Total revenue (including charge-through sales) 2. Cash flows from operations / Underlying NPAT + Depreciation and Amortisation (depreciation and amortisation not tax effected) 3. Net Debt / (Underlying EBITDA less depreciation of ROU assets) (rolling 12 month basis) 02. FY22FY23FY24 4. Net Debt / (Shareholders’ Equity + Net Debt) 5. Underlying EBIT (rolling 12 months basis) / Average of opening and closing funds employed 32 For personal use only
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Superior Foods – earnings waterfall 33 03. 39.9 (3.8) (1.8) (4.5) (1.8) 4.3 32.3 FY24 EBIT per EIP Pro-rata 5 weeks removed Incremental Customer Contract Amortisation Incremental Depreciation & Amortisation Trading pressures Synergies FY25 EBIT EBIT $m 1. Metcash Equity Investor Presentation (EIP) 5 February 2024 (page 17). FY24E EBIT represents six months actual results to December 2023 and six months historical underlying budget to June 2024, prior to purchase price adjustments 2. Pro-rata adjustment to reduce the 12 month EBIT of $39.9m (12 months) to represent a 47 week period 3. Incremental customer contract amortisation expense (CCA), arising from the application of purchase price accounting 4. Incremental depreciation & amortisation (excluding CCA), including a step up in ROU lease depreciation expense from the application of purchase price accounting 5. Earnings impact of trading pressures during FY25 (47 weeks) 6. Net synergies delivered in FY25 (47 weeks) 7. Superior Foods actual EBIT for the 47 weeks ended April 2025 (per FY25 results)1 2 3 4 5 6 7 For personal use only
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Drivers of blended margin Hardware – Total Tools (EBIT margin deep dive) • Expanding JV store network is a key growth strategy • Results in: o Additional EBIT dollars o Decline in blended margin • Increase in earnings through retail store margin (lowest margin in earnings mix) Focus on maximising EBIT dollars Franchise income Highest • Grows with sales • Open new stores • Grow LfL sales Exclusive Brands Mid • Sales growth 20.7% • Margins stable • Represents ~12% of network sales • Grow EB sales in relevant categories to deliver shopper value and maintain margins EBIT Margin Earnings mix FY25 comments Strategy Retail store margin Lowest ~6% weighted average • JV sales -1.4% • Average EBIT margin (ex new stores) 6.1% leading to EBIT decline • Grow exclusive brands mix • Customer engagement through Insider program • LfL sales growth (increased sales per sqm) • Grow & evolve supplier partnerships 34 04. 64 84 81 76 972 1,085 1,112 1,158 0 10 20 30 40 50 60 70 80 90 850 900 950 1000 1050 1100 1150 1200 FY22 FY23 FY24 FY25 EBIT ($m) LTM Network sales ($m) TT Sales & EBIT performance EBIT $m LTM Network sales EBIT / Reported sales % LTM EBIT/LTM Network sales % 17.3% 14.3% 12.1% 11.2% 6.5% 7.7% 7.4% 6.6% For personal use only
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dd Put options – maturity 04. Put option maturity at FY25 Statement of Financial Position Total Tools JV Stores Between May 2025 and July 2025 4 FY26 3.3 Between May 2026 and July 2026 2 FY27 7.5 Between May 2027 and July 2027 24 FY28 53.5 Between May 2028 and July 2028 9 FY29 5.0 Between May 2029 and July 2029 5 FY30 11.5 Between May 2030 and July 2030 10 FY31 26.1 Total Tools JV Store put options 54 106.9 Other put options – Hardware pillar 19.5 Total Put Option Liability 126.4 Further details are provided in note 5.3 of the FY25 Financial Report 35 Put option value $m Number of stores Financial Year For personal use only
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dd Sales 1 ($) EBITDA ($) EBIT ($) Total Tools and Hardware Group IHG TT TTHG IHG TT TTHG IHG TT TTHG Wholesale to owned stores Wholesale to third parties Total Wholesale and Franchise Owned retail Total TTHG Network Sales ($) Future Disclosure – Food and Hardware* 05. * Subject to market engagement and final Board approval 1. Sales includes charge through 36 Additional disclosure: Food • Teamwork score • Store movements • Supermarkets wholesale price inflation • Private label growth Total Tools and Hardware Group • Store movements • Average Total Tools JV store margin (ex new stores) • Online sales Food Pillar Sales 1 ($) EBITDA ($) EBIT ($) Supermarkets (incl tobacco) - Supermarkets (excl tobacco) Foodservice and Convenience (incl tobacco) - FSC (excl tobacco) Campbells & Convenience (excl tobacco) Superior Food (excl tobacco) Total Food (incl tobacco) - Food (excl tobacco) IGA LfL scan sales growth (%) FSC: Food Service & Convenience TTHG: Total Tools and Hardware Group TT: Total Tools IHG: Independent Hardware Group Historically disclosed New disclosure For personal use only
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Continued good progress on ESG 37 06. Dow Jones Best-in-class Indicies FY24: 89th percentile FY23: 87th percentilepercentile 90th CDP rating 'B' Gender Female representation: Leadership team 43% NEDs, 32% Group 44% Total Reportable Injury Frequency Rate ~4% improvement on pcp13.8 1 Flexready Certification 88th percentile vs cohort av. of 73% Certified 7th year in a row Achieved Interim 2030 Emissions Target for FY24 decrease from pcp (excl. Superior Foods)3.3% Renewable Energy Solar installation 7.8MW Across the network Donations through IGA community chest program $42.8m since 2010~$2.6m Greening Australia Partnership Trees funded 105k Battery recycling ~1,000 network stores Recycled to date: Hardware – ~225 tonnes Food – 76 tonnes ESG continues to rapidly evolve – we remain committed to further improvement 2040 net-zero emissions reduction target for Scope 1 and 2 Alignment with AASB52: Climate related disclosures from FY26 Group People Planet Impact <1% Av. gender pay gap TRIFR Global Reporting Initiative FY25 • On-track to complete reporting roadmap and report in accordance • FY23&24 ‘with-reference’ increase in on-site renewable energy generated22% Improvement from ‘C’ rating FY24 1. Excludes acquisitions (Superior Foods, Alpine and Bianco) For personal use only
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dd Strong progress, LocalEyes launched Retail Media 07. 38 • LocalEyes brand launched Nov. 2024 • National, unified, cross-format in-store digital advertising network that benefits suppliers, retailers, and shoppers • Rollout of national digital screen network progressing to plan: o 133 screens live, growing to 750 by end of FY26 • FY25 Retail Media revenue up ~30% v pcp • Targeting EBIT of ~$30m contribution by FY29 – net of retailer benefits • Appointed experienced GM Retail Media, Mark Lollback (ex- CEO GroupM, CMO McDonalds ANZ) to lead retail media growth For personal use only
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08. 39 Sorted Supermarkets • Customers can procure products from our mega DCs as well as from a large and growing range of charge- through suppliers • 100% of charge-through sales now processed via Sorted o Orders placed via B2B e-comm marketplace o Easy ‘at the shelf’ ordering o Trusted suppliers placing orders on behalf of retailers o Suppliers using bulk invoicing capability • No of supermarket retailers using platform ~2,000 (av. 3 x per week) • 180% increase in retailers placing orders • Products on platform ~73k (additional ~10.5k added in FY25) Campbells & Convenience • Transitioned to Sorted in March 25 • Customers can procure from entire range held at state-based branches either using credit card or ‘on account’. Any ABN holder in Australia can register for a Campbells account • Additional 620 new customers registered since transition • Marketplace trading +29% post transition • Average customers per week 3.6k • Av. customer order ~$1.6k • ~55% of Campbells sales through platform • Total B2B sales in FY25 $393m Expansion of leading digital marketplace Sorted is both a B2B marketplace and a provider of value-adding services and support For personal use only
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dd 09. 40 Program Horizon Program Summary • Moving from legacy ERP to suite of Microsoft and best of breed strategic capabilities on evergreen cloud platform • Reduces technology complexity, increases automation and delivers increased capability and reliability • Access to embedded Microsoft AI capabilities to unlock further benefits • Requires deployment across 16 Food & Liquor DCs, 14 Campbells sites and 3 customer centres • Solution is using Microsoft Core plus ‘best of breed’ e.g. Blue Yonder for Supply Chain, Metcash proprietary Pricing Engine Risks and risk management • Program Horizon is a large and complex program subject to ongoing risk of execution, cost overruns and further delays (examples of risks: build velocity, defect resolution, solution performance engineering, and extended deployment stabilisation) • Project risk being managed through disciplined approach and governance, including independent progress reviews, seeking to balance quality with time and project burn rate Project Costs Capex Sig. item (pre-tax) Sig.item (post –tax) $m $m $m FY25 17 13 9 FY26E 18-22 19-22 13-15 FY27E 4-5 3-5 2-4 Progress against milestones • Successful Legal Entities Rationalisation release • Replaced warehouse management system in Launceston shed • Delivered streamlined accounts payable vendor portal • Non-trade spend management tool (Concur, SAP) integrated Upcoming milestones • Horizon in ‘Solution Build’ phase with excellent progress being made – targeting completion by early Jan 26 • Business Testing expected Jan 26 – May 26 • Targeting completion of Project – final calendar quarter of 2026 • Total Project cost guidance remains ~$290m to $300m – updated investment profile reflects this timing Continued steady progress, balancing cost, time, quality and risk For personal use only
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dd Benefits AI application 10. 41 Beyond Horizon AI – leveraging Microsoft partnership Metcash Group AI executive appointed to lead adoption and value creation • Microsoft leading in application of AI • AI being embedded across D365 • Leveraging Microsoft partnership to lead sector in value-adding AI applications • Early use cases already delivering value Debtor management People & Culture Payment times reporting regulation • AI analysis of customer payment history to help reduce overdue debt • AI applied to assist employees with access to Metcash policies and provide summarised policy content • AI applied to cleanse and process data • Fabric AI applied to identify data conformance or completeness • Reduction in overdue debtors • Better focused credit teams • Lower costs • Enhanced customer risk profile • Improved customer segmentation • Reduced enquiries through legacy P&C channels • Unlocks P&C capacity for higher- value work • Improved employee experience – instant, easy to understand answers • Faster data analysis • Improved data governance • Cost savings (consultants/audit) • Ensures accurate and timely regulatory compliance For personal use only
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dd Bannered store numbers Supermarkets Large format IGA 249 248 Medium format IGA 628 642 Small format IGA 395 391 Total IGA bannered stores 1,272 22 (31) 1,281 Total Supermarket Network (all banners) 2,457 2,449 Total Campbells & Convenience 16 16 Hardware Mitre 10 379 18 (13) 374 Home Hardware 153 12 (10) 151 True Value Hardware, Thrifty-Link, Hardings & Design 10 75 4 (20) 91 Total Tools 127 11 (2) 118 Total Hardware 2 734 45 (45) 734 Liquor Cellarbrations 529 48 (30) 511 The Bottle-O 273 32 (23) 264 IGA Liquor 477 14 (10) 473 Porters 34 4 - 30 Thirsty Camel (NSW/ACT, QLD, TAS, SA/NT) 132 13 (12) 131 Other 1,949 255 (202) 1,896 Total Liquor 3,394 366 (277) 3,305 April 2024Store movement in period opened / joined closed / left banner group banner group April 2025 1. During the period, 22 IGA branded stores were opened or joined the banner group, 13 IGA branded stores closed and 18 transferred to non-IGA independent brands, with Metcash retaining supply to 15 stores 2. Includes 157 (FY24: 151) company-owned and joint venture stores within the Mitre 10 and Home Hardware banners, and 60 (FY24: 59) company-owned and joint venture stores within the Total Tools banner 11. 42 For personal use only
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