Six months ended
30 June 2024
1

2

3

Continued progress in execution of simplification, growth andsustainability strategy:

SIMPLIFY

Retail channel volume pressures persisted▪ Exit of beverage manufacturing▪ Sale of Chet Chemicals▪ New Perishable Category operating structure▪ Ambient Product sub-category consolidation(dry and wet condiments)

Food service channel volumes impacted by weak
consumer demand and supplier diversification
strategies

GROW

Improved performance of fresh mushrooms,
but still detracting from Group performance▪ Volume recovery driven by dry condiment exports
and contract manufacturing▪ Sustained gross profit margin improvement▪ Successful culture campaign launch

Operational challenges in Snacking

SUSTAIN▪ Improved gearing ratio▪ Solar installation completed at Amaro Foods

4

(Volume -0.2% Price/mix +5.4%)(H1 2023: 21.2%)(H1 2023: 2.1x)* Restated^ Normalised EBIT/EBITDA, Normalised EPS/HEPS, from continuing operations, excludes non-recurring, non-trading and non-cash items(H1 2023: 8.0%)

5

Days with load-shedding:

Source: Eskom se Push

Libstar generator capacity

Diesel and electricity spend in 2024

2022

2023

H1 2024kVA of generators

22 87233 16833 768

Capital cost of generators

R13.1m

R19.3m

R4.2m

H1 2023

H1 2024

Diesel for generators

R45.1m

R13.7mElectricity

R78.1m

R92.1m6

YoY change
Revenue by
sales channel

Revenue contribution
Price/mix

H1 2024

VolumeH1 2024

Retail & Wholesale

+7.0%

-5.3%

+12.3%

59.2%

Food Service

-5.8%

-4.3%

-1.5%

18.7%

Export

+2.7%

+8.4%

-5.7%

10.5%

Industrial & Contract
Manufacturing+20.4%+14.6%

+5.8%

11.6%

Total Group

+5.2%

-0.2%

+5.4%

100.0%

H1 2023** Restated7

8

(R’m)

H1 2024changeH1 2023*

Revenue
Gross profit margin (%)

5 813.2
21.5%

+5.2%
+0.3pp5 523.6
21.2%

Other income

7.3

22.3

FX and P/L on disposal of PPE

11.8

-25.1

Operating expenses* Restated-1 061.3+8.2%-980.9Margin18.3%

Operating profit

208.0

Margin3.6%

Normalised operating profit

260.5

Margin4.5%

Normalised EBITDA

448.9

Margin

7.7%

Net finance cost

-96.5

-11.1%-108.6

Profit before tax

111.4+46.2%

76.2

Income tax

-28.1

-12.6

Effective tax rate

-25.1%-16.6%

Profit after tax

83.4

63.6

17.8%

+12.6%

184.8
3.3%

+5.3%

247.4
4.5%

+13.4%

396.1
7.2%

9

H1 2024% ch.

H1 2023-35.7%

R125.1m

Net working capital (NWC) days increased by 4 days to 67

Total Capex

R80.4m

H1 2024

H1 2023

2023

Capex %of revenue

1.4%

67

63

67

NWC (days)

2.3%

Contribution to total Capex
NWC (% of revenue*)

17.6%

16.6%

17.7%

Replacement / 36.1%
Maintenance▪ The increased NWC was driven by higher inventory days in:

Expansionary /Capacity
52.6%▪ Dairy products

Quality / Improvement
11.3%▪ Dry Condiment export finished goods awaiting shipments▪ Increased imported raw materials and finished goods in transit

The Group target range is expected to increase to 15% - 17% of revenue(previously 14% - 16%) in the medium term given the continued shipment
delays▪ A R36.0 million investment in capacity enhancing projects, including:̶R10.6 million in the Dairy sub-category on an effluent treatment plant anda new natural cheese slicing line̶R5.8 million in facility upgrades and new lines to increase capacity in the
Value-added Meats sub-category̶

R5.1 million in facility upgrades for the Wet Condiments sub-category▪ R36.2 million investment in replacement and maintenance projects as well as
quality and improvement projects▪ A further R8.2 million investment in energy and electricity generation projects
to mitigate the impact of load-shedding and to maintain customer service levels* Restated10Key financial ratios

Gearingratio

Cash flow analysis

H1 2024

H1 2023

2023

Targets

1.6

2.1

1.6

<2.0

Interest
cover

5.6

ROIC

9.6%

5.2

4.9

H1 2024 (R’m)

H1 2023 * (R’m)
397

Opening cash balance

449

444

Cash generated from ops

403

>3.5
Working capital changes

-123

- 96

Net finance charges

-109

- 51

Tax paid

-62

- 163
8.0%

9.8%

WACC
plus 2%134 Cash generated from operating activities

Cash conversion ratio decreased to 54%
- 45
- 196

Target: >65%

295
2022

H1 2023

2023

-105

Finance activities-105

Effects of exchange rate changes

5

H1 2022

Investment activities

Closing cash balance

109

-10
338

Available facilities: R1.2bn

H1 2024* Restated

11

12

Dry Condiments

Meal Ingredients
Dairy

Snacking

Value-added Meats

Spreads
Fresh
Mushrooms

Convenience Meals

Wet Condiments

HOUSEHOLD AND PERSONALCAREHousehold & Personal Care

BakingBeverages
13Normalised EBITDA margin* Restated* Restated

H1 2024

H1 2023 *2024 Target

11.2%

10.7%

11% - 13%

5.8%

5.3%

9% - 11%

7.5%

6.9%

5% - 8%14

48% of Group revenue
Revenue by channel

H1 2024

Contribution

Retail & Wholesale

+5.0%

56.1%

Exports

+8.7%

17.1%

Industrial & Contract Manufacturing+33.3%

14.8%▪ Exports driven by strong Private Label
performance

Food Service

+5.3%

12.0%

▪ Operational challenges in Snacking

Category revenue+9.1%

100.0%▪ Retail meal ingredient volumes impacted bydirect model

Margin drivers▪ Volume improvement in Industrial Wet
Condiments

Category performance

VolumePrice/mix

H1 2024

ChangeH1 2023*

Revenue (R’m)

+1.6%

+7.5%

2 782.7+9.1%

2 550.5

Gross profit margin %25.3%-0.4pp25.7%

Normalised EBITDA (R’m)

311.0+14.2%

272.3

EBITDA margin %11.2%+0.5pp

10.7%

RONA %**

16.6%-0.2pp16.8%* Restated** Normalised EBIT x (1-27%)/(NWC + Lease Assets + PPE)

15

47% of Group revenue
Revenue by channel

H1 2024

Contribution

Retail & Wholesale+10.1%

58.8%

Food Service-10.0%

27.5%

Industrial & Contract Manufacturing

+4.8%

9.0%

Exports-14.2%

4.7%

Category revenue+2.0%

100.0%

Margin drivers▪ Retail performance driven by dairy andvalue-added chicken▪ Fresh Mushrooms volumes increased▪ Food Service channel consumer
demand and supply diversification
strategies

Category performance

VolumePrice/mix

H1 2024

ChangeH1 2023*

Revenue (R’m)

-2.2%

+4.2%

2 726.4+2.0%

2 673.1

Gross profit margin %17.3%+0.6pp16.7%

Normalised EBITDA (R’m)

159.3+11.8%

142.6

EBITDA margin %5.8%+0.5pp

5.3%

RONA %**

10.1%+1.1pp9.0%* Restated** Normalised EBIT x (1-27%)/(NWC + Lease Assets + PPE)16

5% of Group revenue
Revenue by channel

H1 2024

Contribution

Retail & Wholesale

+1.5%

91.6%

Industrial & Contract Manufacturing

+3.3%

6.1%

Exports

-6.9%

2.3%

Category revenue+1.3%

100.0%

Margin drivers▪ Continued procurement savings andproduction efficiencies

Category performance

VolumePrice/mix

H1 2024

ChangeH1 2023*

Revenue (R’m)

-0.9%

+2.2%

304.0

+1.3%

300.0

22.9%

+2.4pp20.5%

Normalised EBITDA (R’m)

22.8

+9.8%

20.8

EBITDA margin %7.5%+0.6pp

6.9%

RONA %**

5.5%+10.7pp-5.2%

Gross profit margin %* Restated** Normalised EBIT x (1-27%)/(NWC + Lease Assets + PPE)

17

18

▪ Divestment from remaining HPC division,
Contactim▪ Value unlocking initiatives in Fresh
Mushrooms▪ Implement Perishable Category operatingmodel▪ Scope further simplification of Ambient
Product category operating model▪ Support retail growth with innovation andpromotional activity▪ Invest in food service front-end capabilities▪ New value-added meat contract manufacturing▪ Execute strong pipeline of export orders▪ Embed company culture and talent programmes▪ Improve gearing ratio▪ Execute procurement and ESG initiatives

19

20

Macro factors

Opportunities▪ Consumer pressure to remain▪ Portfolio and operating structures simplified by year-end▪ Interest rate relief and two-pot system topotentially stimulate demand▪ On track to lower gearing below 1.5x

▪ Port efficiency continues to impact shipments▪ Sufficient inventory holding to participate in H2
promotional activity

Post-period trading▪ Benefits from:• strong export order pipeline (dry condiments)

Subdued trade across retail and food service
channels resulted in revenue growth moderation
during the 8-week period post reporting date• new product launches (dairy)• new contract manufacturing customers(value-added meat)

Libstar’s simplified portfolio composition and operating model will drive an improvement in cost competitiveness, earnings quality and ROIC
21

22

Income statement
Balance sheet and cash
Category contributions

23

Reconciliation between Normalised EBITDA, Normalised earnings & Normalised headline earnings(R’m)

Normalised EBITDA

H1 2024% Ch.

H1 2023*448.9+13.4%

396.1

Less:
Depreciation and amortisation-188.4-148.7

Net finance cost

-96.5

-108.6

Taxation and the tax effect of normalisation adjustments

-41.3

-28.5

0.1

0.1

Plus: non-controlling interest loss
Normalised earnings

Gain on disposal of plant and equipment (after tax)
Normalised headline earnings* Restated122.8+11.2%

-0.6
122.2

110.4

-1.0
+11.7%

109.4

24

H1 2024% Ch.

H1 2023*

Normalised earnings (R’m)

122.8+11.2%

110.4

Normalised headline earnings (R’m)

122.2+11.7%

109.3

WANOS (million)

595.8

Normalised EPS (cps)20.6+11.4%

18.5

Normalised HEPS (cps)20.5+11.4%

18.4* Restated

595.8

25

Income statement
Balance sheet and cash
Category contributions

26

R’m

H1 2024

H1 2023*

Non-current assets

5 480.0

5 807.0

Property, plant and equipment

1 686.1

1 765.4

466.4

477.8

Other non-current assets

3 327.5

3 563.8

Current assets

4 278.1

3 983.3

Total assets

9 758.1

9 790.3

Equity5 285.6

5 119.3

Non-current liabilities

2 306.5

2 668.3

Other financial liabilities

1 269.5

1 604.2

Lease liabilities

528.0

537.4

Other non-current liabilities

509.0

526.7

Current liabilities

2 166.0

2 002.7

Total equity and liabilities

9 758.1

9 790.3

Right-of-use-assets* Restated

27

R’m

H1 2024

Net investing activities-44.7-104.7Purchase of PPE-51.0-109.4

Sale of PPE

+6.0

+4.7

Insurance proceeds

+0.3

-

Net financing activities-195.5-104.7

Lease payments

-56.7

-58.2

Net movement from term loans and asset-based financing

-49.4

+85.2

Dividend paid

-89.4

-131.7

H1 2023** Restated28

Net Gearing calculation = Net debt : Normalised EBITDA (Excluding IFRS 16)
(R’m)
2 500

2.1x

2.0

Notes:

2 000
1.6x

1.6x

1 500

1.5

1 568

1 451

1 354

1. R1.2bn in unutilised funding facilities

1 432

1 343

1.0

1 000
956

2. Gearing: 1.6x (Debt covenant <2.5)
842

500

746

834

885
0.5

***

1.5x

1.6x

3. Interest cover to EBITDA: 5.6x
(Debt covenant >3.5x)

0.0
H1 2022*2022

Normalised EBITDA (Excl. IFRS 16)(LHS)

H1 2023*2023

Net interest-bearing debt
(LHS)

H1 2024*
Net gearing ratio(RHS)*12-month rolling

Sufficient headroom for bolt-on or stand-alone acquisition opportunities for further category/sub-category diversification
and/or new channels & markets

29Facility(R’m)

Maturitydate

Rate 3M
JIBAR
marginH1 2024
Utilised

H1 2023*
Utilised

Facility A

1000

Dec-26

1.70%

1000

1000

Facility B

150

Dec-24

1.60%

150

150

Facility C

200

Dec-25

1.65%

80

120

Facility D

350

Dec-26

1.70%

-

50

Prime
less
2.0%

200

200

1 430

1 600

297

306

1 727

1 906

Less cash

-295

-338

Net debt

1 432

1 568

Debt structure

Bank Overdraft
Total
Vehicle and Assetfinance facility
Total debt

650
2 350
650
3 000

N/A

Prime
less
1.4%

▪ Renegotiated debt package
implemented Dec 2021
▪ Debt maturity dates were extended
by between 3 and 5 years from
1 January 2022 at a slightly
improved average interest rate
▪ 74% (R1.3bn) in long term borrowings* Restated30

Income statement
Balance sheet and cash
Category contributions31

H1 2024

H1 2023*

47.9%

46.2%

46.9%

48.4%

* Restated

5.2%

5.4%
* Restated32

H1 2024

H1 2023*

63.1%

62.5%
32.7%

32.3%

* Restated

4.6%

4.8%

* Restated** Before allocation of corporate costs
33

Weighted contribution to change in Normalised EBITDA
Meal Ingredients+5.9%

Dry Condiments+4.7%

Baking+2.4%

Wet Condiments+7.2%

Snacking-7.0%

Spreads+0.3%

Beverages

+0.6%

Total

+14.2%

89% ofcategory
EBITDA34

Weighted contribution to change in Normalised EBITDA
Dairy

+9.0%

Value-added Meats-14.4%

Convenience Meals+0.1%

Fresh Mushrooms

+17.1

Total

122% ofcategory
EBITDA+11.8%

35

Weighted contribution to change in Normalised EBITDA
HPC

+9.8%

Total

+9.8%

100% ofcategory
EBITDA

36

Certain matters discussed in this document regarding Libstar’s future performance, that are neither reported financial results nor other historical information but involve known and unknown
risks based on assumptions regarding the group’s present and future business strategies and the environments in which it operates now and in the future and uncertainties which relate toevents and depend on circumstances that will occur in the future. These matters are regarded as ‘forward-looking statements’. They involve and include initiatives and the pace ofexecution thereon and any number of economic or geopolitical conditions, including factors which are in some cases beyond management’s control and which may cause the actual
results, performance or achievements of the group, or its industry, to be materially different from any results, performance or achievement expressed or implied by such forward-looking
statements. They furthermore involve and include, without limitation, the group’s ability to successfully control costs and execute on and achieve the expected benefits from operational andstrategic initiatives, the availability of necessary skilled staff, disruptions impacting the execution of the group’s strategy and business, including regional instability, violence (including
terrorist activities), cybersecurity events and related costs and impact of any disruption in business, political activities or events, weather conditions that may affect the group’s ability to
execute on its contracts, adverse publicity regarding the group, initiatives of competitors, objectives to compete in the market and to improve financial performance, all forward-looking
financial numbers and statements, currency translation, macroeconomic conditions, growth opportunities, contributions to pension plans, ongoing or planned real estate, ongoing orplanned contracts and investments and future capital expenditures, acquisitions, divestitures, financial conditions, dividend policy and prospects, the effects of regulation of the group’sbusinesses by governments in the countries in which it operates and all other statements that are not purely historical. These forward-looking statements have not been reviewed orreported on by the group’s auditors. Such statements are based on management’s beliefs as well as assumptions made by, and information currently available to, management. Forwardlooking statements made in this document apply only as of the date of this document.
Forward-looking statements are sometimes, but not always, identified by their use f a date in the future or such words as ‘will’, ‘may’, ‘anticipates’, ‘aims’, ‘could’, ‘should’, ‘expects’,‘believes’, ‘intends’, ‘plans’, ‘targets, ‘estimate’, ‘project’, ‘potential’, ‘goal’, ‘strategy’, ‘seek’, ‘endeavour’, ‘forecast’, ‘assume’, ‘positioned’, ‘risk’ and similar expressions and variations ofsuch words and similar expressions.
Forward-looking statements are inherently predictive, speculative, are not guarantees of future performance and are based on assumptions regarding the group’s present and futurebusiness strategies and the environments in which it operates now and in the future. All of the forward-looking statements made in this document are qualified by these cautionary
statements and the group cannot assure the reader that the results or developments anticipated by management will be realized or, even if realized, will have the expected consequences
to, or effects on, the group and its business, prospects, financial condition, results of operations or cash flows.
Readers are cautioned not to place undue reliance on these forward-looking statements in making any investment decision. Neither Libstar nor any of its respective affiliates, advisors or
representatives shall have any liability whatsoever (based on negligence or otherwise) for any loss howsoever arising from any use of this presentation or its contents or otherwise arisingin connection with this presentation. While the group may elect to update forward-looking statements from time to time, it specifically disclaims any obligation to do so, even in light of new
information or future events, unless otherwise required by applicable laws. The list of factors discussed herein is not exhaustive. This should be carefully considered when relying on
forward-looking statements to make investment decisions.
37