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NZX Code : ATM ASX Code : A2M 25 February 2021 NZX / ASX Market Release THE a2 MILK COMPANY a2 133 . ELTHE DIFFEREN Fundamentals remain strong despite significant COVID - 19 disruption Result overview for the half year ended 31 December 2020 ( NZ $ ) 1,2,3 ● Total revenue of $ 677.4 million was down 16.0 % and EBITDA of $ 178.5 million was down 32.2 % resulting in EBITDA margin of 26.4 % ( 27.0 % excluding Mataura Valley Milk acquisition costs ) • • Challenges resulting from COVID - 19 disruption experienced in the daigou / reseller channel with a flow on impact to the cross - border e - commerce ( CBEC ) channel – steps taken to re - activate these channels - Strong performance in China label infant nutrition , with revenue growth of 45.2 % , an increase in market value share to 2.4 % , increasing in - store velocities as well as increasing distribution to 22.0k mother and baby stores ( MBS ) • Solid performance in liquid milk in Australia with 16.3 % revenue growth driven by higher levels of in- home consumption and a record value share of 11.7 % 5 • Changes in USA execution approach resulted in revenue growth of 22.3 % , higher average velocities in key stores , distribution increasing to 22.3k stores and an improvement in EBITDA • Continued strong investment behind the brand with $ 67.4 million of marketing investment in the half , building on record investment in 2H20 and supporting strong brand health metrics in key markets . Responded to challenges by appropriately managing discretionary costs while continuing important capability investment in people , technology and infrastructure Finalised binding agreements for the proposed acquisition of a 75 % interest in Mataura Valley Milk • ( MVM ) , which will provide supply diversification , further strengthen relationships with key strategic partners in China , and offer access to manufacturing margins over time 1 All figures are in New Zealand Dollars ( NZ $ ) , unless otherwise stated 2 All comparisons are with the six months ended 31 December 2019 ( 1H20 ) , unless otherwise stated 3 All figures are quoted based on all operations of the Group , without excluding discontinued operations , unless otherwise stated 4 Source : Nielsen MBS 12 - month market value share ( December 2020 ) 5 Source : Aztec 12 - month market value share ( December 2020 ) The a2 Milk Company Limited www.thea2milkcompany.com