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Annual Shareholders’ Meeting22 OCTOBER 2025 Golden Bay – Portland Manufacturing Plant
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Important InformationThis presentation has been prepared by Fletcher Building Limited and its group of companies (“Fletcher Building”) for informational purposes. This disclaimer applies to this document and the verbal or written comments of any person presenting it.This presentation provides additional comment on the 2025 Full Year Financial Results dated 20 August 2025. As such, it should be read in conjunction with and subject to the explanations and views given in that document. Unless otherwise specified, all information is for the 12 months ended 30 June 2025.In certain sections of this presentation, Fletcher Building has chosen to present certain financial information exclusive of the impact of Significant Items. A number of non-GAAP financial measures, such as measures before Significant Items, are used in this presentation which are used by management to assess the performance of the business and have been derived from Fletcher Building’s financial statements for the 12 months ended 30 June 2025. You should not consider any of these statements in isolation from, or as a substitute for, the information provided in Fletcher Building’s financial statements for the 12 months ended 30 June 2025, which are available at www.fletcherbuilding.com. Details of Significant Items can be found in note 2.2 of those financial statements. The information in this presentation has been prepared by Fletcher Building with due care and attention; however, neither Fletcher Building nor any of its related companies, directors, employees, shareholders nor any other person gives any representations or warranties (either express or implied) as to the accuracy or completeness of the information and, to the maximum extent permitted by law, no such person shall have any liability whatsoever to any person for any loss (including, without limitation, arising from any fault or negligence) arising from this presentation or any information supplied in connection with it, or any reliance thereon.This presentation may contain forward looking statements, that is statements related to future events or other matters. Forward looking statements may include statements regarding intent, belief or current expectations in connection with future operating or financial performance, or market conditions. Such forward looking statements are based on current expectations, estimates and assumptions and are subject to a number of risks and uncertainties, including material adverse events, significant one-off expenses and other unforeseeable circumstances. There is no assurance that results contemplated in any of these forward looking statements will be realised. Actual results may differ materially from those projected. Except as required by law, or the rules of any relevant stock exchange, no person is under any obligation to correct this presentation at any time after its release or to provide further information about Fletcher Building.The information in this presentation does not constitute financial product, legal, financial, investment, tax or any other advice or any recommendation. | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited2
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AgendaPeter Crowley, ChairFY25 at a glance1. Andrew Reding, Managing Director & CEOOperating performance2. Peter Crowley, ChairGovernance & Conclusion3. Peter Crowley, ChairResolutions4. Peter Crowley, ChairQ&A5. Peter Crowley, ChairThank you6.FY25 Results | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited3
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Board of DirectorsChair appointed, refresh is now complete | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited4 ANDREW REDINGGroup Chief Executive Officer & Managing DirectorTerm of office: Appointed Director in Aug 2024 PETER CROWLEYChair and Independent Non-Executive DirectorTerm of office: Appointed Director in 2019Appointed Board Chair in 2025SANDRA DODDSIndependent Non-Executive Director / Chair of the Audit & Risk CommitteeTerm of office: Appointed Director in Sep 2023Last elected in 2023 CATHY QUINNIndependent Non-Executive DirectorTerm of office: Appointed Director in Sep 2018Last elected in 2024 TONY DRAGICEVICHIndependent Non-Executive DirectorTerm of office: Appointed Director in Aug 2024JACQUI COOMBESIndependent Non-Executive DirectorTerm of office: Appointed Director in Feb 2025, Effective Apr 2025JAMES MILLERIndependent Non-Executive DirectorTerm of office: Appointed Director in Dec 2024, Effective Jun 2025
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FY25 at a glancePeter Crowley, Chair
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EBIT1,2$384m$125m lower than FY24Net debt $999mvs $1,766m at 30 June 24ROIC 4.5%vs 5.5% at FY24Capex & Investments$313mvs $420m FY24 FY25 Financial summary 1. Continuing operations 2. Before Significant Items Tough macro conditions across all sectors; we are positioning the business for the realities of the current market and to maximise leverage to any cyclical upturn | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited6 Revenue1$7.0b 9% lower than FY24Net cash from operating activities$501mvs $588m in FY24 EBIT Margin1,25.5%vs 6.6% in FY24Net loss$419mvs $227m in FY24
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Encouraging progress on legacy risksOver the course of FY25 there has been a sustained effort to close out historic legacy issues | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited7 [Photo]•Construction works effectively complete, with acceptance testing and compliance processes underway•Client handover expected in calendar year 2025NZICC •As at 30 June, participating builders have completed 996 ceiling pipe replacements, fully remediated 55 homes and installed leak detector units in over 2,000 homes (work done under both the Interim Fund and Industry Response)•Costs currently tracking consistent with estimates – no provision changeWA pipes [Photo]•Full works completion approved in May 2024 following June 2023 opening•Settled outstanding claims with NZTA (June 2025) and insurers (August 2025)Puhoi to Warkworth
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FY25 operational highlightsFirthincreased market share to ~40% nationally and above 50% in AucklandGolden Bay market share improved to +60% nationally Winstone Aggregates commenced on-site concrete recycling Winstone Wallboards achieved A-grade recovery yields exceeding target of 95% Fletcher Insulation launched 16 new insulation products Waipapa Pine now operating at full utilisation| Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited8
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Taking action Board and Management -four new board members and six new executivesCorporate restructure -six divisions reduced to five, reducing divisional overhead$200m of gross cost savings -implemented across FY25Net Debt reduction -from $1,766m in FY24 to $999m in FY25New strategy in place -we presented a clear plan for improvement at our Investor Day| Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited9
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Our medium-term strategyAt our Investor Day in June we presented a clear plan for improvement | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited10Supportive macro-economic trends Medium term focus on manufacturing and distribution of building products and materialsUrgent actionFocus on highperformanceEmpower ourleadersResilient capital structure•Clear plan withimmediate priorities already implemented and next stages identified•Urgency and speed will be maintained throughout •Business units and the Group will measure return against industry-specific WACC targets •Underperforming business units evaluated•Fletcher Building’s business units are well led, but require more autonomy and recognition of specific needs•Develop and integrate performance-driven culture across business•Dividend paused until net debt target of $400m - $900m (pre IFRS-16) achieved•Target investment grade credit metrics1 2 3 4
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Challenging first quarterOperating environment –subdued market with declining volumes and margin pressure Light Building Products –volumes below pcp, but above Q4 2025, margins relatively stable Heavy Building Materials – volumes contracted especially in Winstone Aggregates (6.3% vs pcp)Margin pressure –across the Group business units are seeing intense competition, in particular Steel and Distribution who suffered margin compression Cost out –$100m incremental programme, controlling cost and support profitability| Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited11
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Operating performanceAndrew Reding, Managing Director & CEO New Zealand International Convention Centre
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Where in the cycle are we?Sales across the wider building merchant market are tracking below previous years (in nominal terms) | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited13 Source: Creditworks, ABSNote: NZ Building Merchant Sales are displayed in nominal terms NZ BUILDING MERCHANT SALES$m, rolling 12 month sales (Jun-20 to Sep-25)AUS NEW HOUSESeasonally adjusted, (Approvals, Commencements & Completions) 3,000 3,500 4,000 4,500 5,000 5,500 6,000 6,500Jun-20Sept-20Dec-20Mar-21Jun-21Sept-21Dec-21Mar-22Jun-22Sept-22Dec-22Mar-23Jun-23Sept-23Dec-23Mar-24Jun-24Sept-24Dec-24Mar-25Jun-25Sept-25200002500030000350004000045000Mar-17Jun-17Sept-17Dec-17Mar-18Jun-18Sept-18Dec-18Mar-19Jun-19Sept-19Dec-19Mar-20Jun-20Sept-20Dec-20Mar-21Jun-21Sept-21Dec-21Mar-22Jun-22Sept-22Dec-22Mar-23Jun-23Sept-23Dec-23Mar-24Jun-24Sept-24Dec-24Mar-25Jun-25Aug-25New House approvedNew House commencedNew House completed
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Where are FBU volumes tracking?Weak demand is continuing for a number of key products 14 NZ PRODUCT VOLUMESRolling 12m average quarterly volumes, Q4 FY19 = 100 5060708090100110120130140Q4 FY19Q1 FY20Q2 FY20Q3 FY20Q4 FY20Q1 FY21Q2 FY21Q3 FY21Q4 FY21Q1 FY22Q2 FY22Q3 FY22Q4 FY22Q1 FY23Q2 FY23Q3 FY23Q4 FY23Q1 FY24Q2 FY24Q3 FY24Q4 FY24Q1 FY25Q2 FY25Q3 FY25Q4 FY25Q1 FY26 Winstone WallboardsWinstone AggregatesGolden BayHumesPlaceMakers | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited AUS PRODUCT VOLUMESRolling 12m average quarterly volumes, Q4 FY19 = 100 5060708090100110120Q4 FY19Q1 FY20Q2 FY20Q3 FY20Q4 FY20Q1 FY21Q2 FY21Q3 FY21Q4 FY21Q1 FY22Q2 FY22Q3 FY22Q4 FY22Q1 FY23Q2 FY23Q3 FY23Q4 FY23Q1 FY24Q2 FY24Q3 FY24Q4 FY24Q1 FY25Q2 FY25Q3 FY25Q4 FY25Q1 FY26Laminex AUFletcher InsulationIplex AU StramitNote: WWB – Domestic Board volume (m2), Humes – Concrete pipe volume (000 tonnes) – for FY19&FY20 annual data only available, monthly data has been averaged out, PM – Frame & Truss (m3), WA – Aggregates sales volumes (000 tonnes), GBC – Domestic cement volumes (000 tonnes)Laminex AU – Domestic sales volumes (000 m2), Fletcher Insulation – Glasswool sales volume (tonnes), Iplex AU – Plastic pipe and other sales volume (000 tonnes), Stramit – Sales volumes (tonnes)
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FY26 cost out initiatives In response to a challenging trading environment further initiatives are underway to protect profitability | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited15 Market conditions in FY26 have continued to be testing, with subdued demand and tough competition We have continued to closely examine our cost base and identify opportunities to improve efficiencyCost out: $200m implemented in FY25, announced an additional $30m at Investor Day and $100m last week The cost-out programme is focused primarily on back-office operations and efficiencies
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Our CustomersWe’re proud of the products and people helping our customers build their future | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited16 Auckland Airport – Firth & Brian Perry Civil New Zealand International Convention Centre –Fletcher Construction Waitangirua Link Road project- Iplex NZ
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Our CustomersWe’re proud of the products and people helping our customers build their future | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited17 Christchurch Stadium –Winstone Wallboards SH1 Loop Road Safety Improvement Project - FirthWestern Sydney International Airport –Iplex AU Te Waka Aorangi Child Wellness Centre –Laminex
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Our Community | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited18 Supporting the communities that we operate in Supporting the restoration of 30 iconic huts across the country as part of 5 year partnership with Back Country Trust. Fletcher Living designed, built and handed over TaurangiReserve to Auckland CouncilSupporting One Tree Hill College Trade Academy – transforming Kāinga Ora home into a HomeStar Level 7 sustainable masterpiece Winstone Aggregates’ Community Sponsorship Fund supports Coastguard Kaipara
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Turnaround planAustralia, Steel & Corporate restructure Clever Core shut downMADE by Laminex shut downCSP divestment underwaySAP rollout stoppedForward capex commitments reducedFinalise and implement divisional restructure Australia, Steel & Corporate restructure Clever Core shut downMADE by Laminex shut downCSP divestment underwaySAP rollout stoppedForward capex commitments reducedFinalise and implement divisional restructure Construction divestment processes underwayCommencing strategic review of Residential and DevelopmentSale of 13.4% equity stake in P2W toll road nearing completionProgressing Felix Street saleFocus on achieving fair value for divested assetsFurther decentralise corporate functions and drive lower costsCapital allocation and structure reset underway Construction divestment processes underwayCommencing strategic review of Residential and DevelopmentSale of 13.4% equity stake in P2W toll road nearing completionProgressing Felix Street saleFocus on achieving fair value for divested assetsFurther decentralise corporate functions and drive lower costsCapital allocation and structure reset underway Fully implement new operational modelExecute on portfolio simplification opportunitiesAs portfolio simplifies, continuously improve central costsAs balance sheet targets are met, reset dividend policy and return to dividend-paying statusFully implement new operational modelExecute on portfolio simplification opportunitiesAs portfolio simplifies, continuously improve central costsAs balance sheet targets are met, reset dividend policy and return to dividend-paying status| Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited19 Urgent priorities have been actioned decisively and there is a clear path of continuous improvement aheadImplementedShort termMedium term
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Governance & ConclusionPeter Crowley, Chair
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Governance updateA number of initiatives have been implemented that will allow greater transparency for shareholders and assist the Board’s governance processes | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited21 •Revised reporting in FY25 aimed to improve readability and transparency, the Investor Presentation has been expanded and now includes a significant amount of previously unreported information. •In the Annual Report, segment reporting now has clearer breakdowns across revenue, EBIT, and cash by segment and the cash flow statement is aligned to IFRS 18, with more detail on operating, investing, and financing activities (including clearer treatment of interest paid, interest received, and dividends received)Financial reporting & IFRS 18 initiatives •In July, quarterly volume reporting was introduced to provide shareholders and the market with more timely information about activity levels across key indicators across the businessVolume reporting•In September, the FY25 Remuneration Report was released, providing a standalone document with detail on remuneration for senior management and the wider businessRemuneration report•In August, the Board’s corporate governance statement was updated and now acts as standalone document detailing the governance arrangements, frameworks and policies in placeCorporate governance statement •To reflect the new composition of the Board following the refresh process, the Board Skills Matrix has also been updated, showing the capabilities held across the BoardSkills matrix
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Conclusion | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited22 Developed medium term strategy and communicated it internally and externally❶Immediate actions being taken on turnaround plan and cost out programme❷Clear focus on operating performance and servicing our customers❸On track with reducing net debt, with clear priorities for FY26❹NZ and AUS markets likely to remain weak in FY26❺Well positioned for improved operating leverage when market conditions do recover❻
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Rā Hihi flyover – Eastern Busway Project
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ResolutionsPeter Crowley, Chair New Zealand International Convention Centre
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Resolutions | Annual Shareholders’ Meeting | 22 October 2025 | Fletcher Building Limited34 That Peter Crowley be re-elected as a director of the Company.❶That Jacqui Coombes be elected as a director of the Company.❷That James Miller be elected as a director of the Company.❸That the directors be authorised to fix the fees and expenses of EY as the Company’s auditor.❹That the Company’s Remuneration Report for the year ended 30 June 2025, as detailed on the Company’s website, be adopted.❺
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Rā Hihi flyover – Eastern Busway Project
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Thank you