PRESS RELEASE – 5 October 2023

TATUA FINANCIAL RESULTS FOR THE YEAR ENDED 31 July 2023

The Tatua Board of Directors and Executive met on 4 October 2023 to consider the financial results
for the 2022/23 financial year and to finalise the milksolids payout to supplying shareholders.
Over the dairy season from June through to the end of May, we processed 14.85 million kilogramsof milksolids supplied by our 101 shareholder farms. As a farmer owned co-operative, thesemilksolids are the basis for distributing earnings generated over the financial year, less any funds
retained for reinvestment.
Wet conditions and lack of sunshine early in the season severely impacted supply, with milk
received over the peak supply period 6.6% behind. Fortunately, those same wet conditions helped
boost milk supply later in the season, to end 1.0% higher than the previous season overall.
We are pleased to report that the business has had another good year, achieving record Group
income of $537 million and earnings available for payout of $225 million.
Revenue from our bulk ingredients business of caseinate, whey protein concentrate (WPC) andanhydrous milkfat (AMF) was the highest ever, buoyed by global dairy protein prices in particular,
which contributed significantly to our earnings uplift. Prices have subsequently fallen, which will
result in more typical earnings over the year ahead.
The bulk ingredients revenue uplift coincided with combined revenue from our inherently
more stable specialised Nutritionals, Foods, and Flavours businesses also reaching a new high,and making a valuable contribution to overall earnings.
Our earnings equate to $15.20 per kilogram of shareholder supplied milksolids, before retentions
for reinvestment. This is an improvement on the previous year earnings of $12.65 per kilogram ofmilksolids, and is a record for Tatua.
We have confirmed a cash payout to shareholders of $12.30 per kilogram of milksolids suppliedand have retained $2.90 per kilogram of milksolids, equivalent to $43 million before tax, forreinvestment in the business.
In deciding our payout, we have sought to balance the needs of our shareholders farming
businesses, in an environment where costs have increased well beyond mainstream inflation, andour need to continue to invest in the business while also maintaining balance sheet strength.
Our gearing (debt divided by debt plus equity) averaged 21.7% for the year, but lowered to 16% atbalance date, following the sale of higher than typical inventory levels.
In addition to achieving record income and earnings, good progress has been made in many areasof the business, including a number of significant capital projects and business improvement
initiatives, that together, have once again made for a very complete year.
Our teams in New Zealand and in our off-shore subsidiaries have continued to demonstrate theircommitment and dedication to the business and this is reflected in all that has been achieved.

We thank our customers and all those who partnered with us during the past year and now lookforward to another productive year ahead.

Kind regards

Stephen Allen
CHAIRMAN0274 719 791

Brendhan Greaney
CHIEF EXECUTIVE OFFICER(07) 889 3999 / 021 448 474