DRAFT IN CONFIDENCE ASX SMALL & MID-CAP CONFERENCE PRESENTATION - PowerPoint PPT Presentation

DRAFT – IN CONFIDENCE ASX SMALL & MID-CAP CONFERENCE PRESENTATION SEPTEMBER 2020

EXECUTIVE SUMMARY LARGE PROFITABLE MARKET WITH STRONG GROWTH POTENTIAL Value accretive Industry leading Multiple revenue Portfolio approach Economies of Unique acceleration asset portfolio team, with combined streams, strong with a large scope and scale model providing 100+ years’ in high-growth balance sheet, collection of to capture growth capital and drinks categories experience in the growth assets Australian owned synergistic value cost-effective beverage and independent craft across the group business solutions hospitality industries beverage operators 2 8

THE COMPANY AMBITION 2025 BY 2025 THE AUSTRALIAN BEER INDUSTRY We aim to become Australia’s strongest IS EXPECTED TO GENERATE REVENUES OF Independent Craft drinks collective. $5.2 BILLION (1) PER ANNUM AND SPIRITS $3.2 BILLION (2) Unleashing the growth of great local beer, spirits Founders First and ready to drink brands. 12 M 10-12 Litres of beer Beer brands By providing leadership, growth capital and operational expertise. 5-6 500,000 Bottles of spirits Spirits brands Together we grow and thrive. Barrels of aged 20+ 2,000+ venues whisky stock 3 9 Sources 1) IBIS World Beer Manufacturing in Australia, May 2020 and Craft Beer Production in Australian Nov 2019. 2) BIS World Spirit Manufacturing in Australia, April 2020

THE COMPANY TODAY Revenue from Ordinary estimated spirits $9.2m 45,000 activities +131% bottles sold $10.4m (annualised) Total Income +160% GROWTH Wholesale growth estimated beer +113% Total Portfolio 100% Basis (1) 1.4m litres (annualised) +260% Majority Owned SCALE wholesale growth brand 10 7x relative to investments craft category (2) licensed 14 venues INVESTMENT cash on $11.4m hand Distribution 5,555 points net $30.3m assets Barrels of maturing 80 whisky stock (3) 1 Sourced from partner Sales Order systems. 2 Retailer scan data 10 3 Sourced from stocktake data from Kangaroo Island Distillery and Tasmanian Whisky term sheet 10 All other numbers per audited F20 Financial Statements

THE MARKET OPPORTUNITY CRAFT DISRUPTING & DRIVING PREMIUMISATION ESTIMATED BEER REVENUE & CRAFT SHARE OF CATEGORY IN AUSTRALIA (A$M) (1) (2) 5300 20% Australian Craft Beer +9.7% revenue growth FY14-19 (5Yr CAGR) vs Beer Category -1.9% (1) 5200 18% 5100 16% 15.4% 5000 14% Significantly less penetrated than the U.S. where craft represents 4900 12% 12.3% over a quarter of Beer Retail $ sales . (2) 4800 10% 4700 7.9% 8% 4600 Independent Brewers growing share of Craft segment: 37% share 6% 25.2% 4500 of Craft in FY20 (up from 31% in FY18). Independent Craft $ Sales 4% 4400 +22.9% FY18-20 (2YrCAGR) vs Craft Segment +11.3% (3) 2% 4300 4200 0% 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Total Australian Beer market estimated at A$4.7 billion in Beer Industry revenue is expected to grow an annualized 2.3% Market Size Craft Share FY2019 with Craft Beer 12.3% (A576m) of market (1) over the five years through 2024-25 to reach $5.2 billion (1) ESTIMATED SPIRITS REVENUE & CRAFT SHARE OF CATEGORY IN AUSTRALIA (A$M) ( 5) Australian drinkers increasing per capita consumption of Spirits , contrary to total 3500 5% Alcohol trends. Gin category has the largest growth in drinker base in past 12 months (4) 3000 4% 2500 Less penetrated than the U.S. where craft Spirits comprised 5.8% 3.3% 3% 2000 share of Revenue in 2018 (up from 3.8% in 2016) (8) 1500 2% 1.7% 1000 Spirits exports are forecasted to grow over the next 5 years with 5.8% 1% 500 Australian Whisky & Gin expected to have the strongest growth rates. (5) 0 0% 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Domestic demand for Spirits is expected to reach $3.2 billion by Total Australian Spirit market estimated at A$2.6 billion Market Size Craft Share 2024-25 with premium Australian Spirits outperforming the category (5) in FY2019 with Craft Spirits 3.3% of market (6) 5 Sources 1) IBIS World Beer Manufacturing in Australia, May 2020 and Craft Beer Production in Australian Nov 2019. 2) USA Craft Brewers Sources 4) Roy Morgan Single Source Australia, Australians 18+ 2019. 5) IBIS World Spirit Manufacturing in Australia, April 2020 6) Frost & Sulllivan Estimates Association Industry Analysis 2019. 3) IR Liquour Weighted database, $ Sales MAT 14/6/20 vs MAT 17/6/19 Craft vs ‘Other Craft. (dated 24 October 2019), commissioned by Founders First. 7) IWSR Alcohol Industry Report 2019. 8) American Craft Spirit Association Annual report 2019.

THE AUSTRALIAN CRAFT BEVERAGE INDUSTRY Limited market Limited category access awareness 1000+ Independent Operators Supply chain Capital vulnerabilities constraints Fragmented Sub-optimal scale Skills and High cost knowledge gaps base 6 Source: (1) Frost & Sullivan, ‘Market Report on Craft Beer and Craft Spirits Markets in Australia’, (dated 24 October 2019), commissioned by Founders First.

THE COMPANY’S UNIQUE BUSINESS MODEL INDUSTRY AGGREGATOR/ACCELERATOR Mighty Craft Partnership Investment Category & Brand Channel & Sales Management Management Craft Producers Customers Digital Supply Chain Commerce Optimisation Commercial Acceleration Venues & Financing Hospitality Solutions Back Office Governance & Strategic Support Management Delivering Choice, Quality, Convenience, Accelerating brand value and Local Connection, Community sustainable business growth PROPRIETARY ASSETS Complimentary Brand National Logistics Functional Expertise Distribution Contracts Licensed Venues Data & Insights Portfolio Network Accessible Funding Customer Relationships Export Agency Consumer Database Supplier Agreements Digital Technologies 7

THE COMPANY’S ECONOMIC MODEL MAKING MONEY THROUGH MULTIPLE REVENUE STREAMS AND ASSET ENHANCEMENT Consolidated profit on sale of products Scale fast and optimise – volume growth is key Net revenue on delivery of industry solutions Aggregate and leverage scale – wholesale, digital, venue Consolidated profit through licensed venue operations Drive foot traffic and conversion - onsite & offsite consumption Appreciating market value of intangible assets Balance risk/reward – prudential investment; industry multiples 14

MIGHTY CRAFT – OUR INDUSTRY FACING BRAND Craft to us is an ethos. A celebration of authenticity, creativity, enterprise and local connection. Supporting the little guys, we’re combining our strengths to create a thriving Independent Craft community. Founders First Ltd is our corporate name. In Industry we identify as Mighty Craft. To reflect what we stand for. A powerful collection of people, products and places. With one mighty love of Craft. Stronger together. For the love of Craft. 9

INDUSTRY LEADERSHIP & EXPERTISE Ash Cranston Andrew Syme Venue & Hospitality Director Mark Haysman CFO & Company Secretary CEO Experiential brand expert ex Craft & Big Finance & strategy expert ex Global Beer, now designing unique houses for Business leader ex Big Beer and Footy, Foods, now optimising our finances our brands & experiences for the people now leading the creation of the world’s and managing corporate affairs strongest craft beverage collective Dan Wales Founder & Category/ Marketing Director Cameron Buckland Stuart Morton Founder & Investment Director Sales Director Category expert ex Global Food & Drinks, now accelerating growth in our Sales & Distribution expert ex Liquor Entrepreneur and corporate finance Beer Category expert, now investing for growth in Retail, Big Beer & Spirits, now our high-potential drinks portfolio accelerating sales across our portfolio Jess Lyons General Counsel A reputable team of visionaries, innovators and industry professionals. Legal eagle, keeping our business commercial, compliant and balanced 1 0

A GROWING NATIONAL PORTFOLIO A COLLECTION OF AUSTRALIAN OWNED INDEPENDENT CRAFT BEVERAGE OPERATORS Cairns Brisbane Adelaide Newcastle Sydney Melbourne Mighty Craft Export Established export company providing export opportunities for partner brands * K.Booch Tasmanian Whisky 1 1 * Green Ant Gin

AWARD-WINNING CRAFT BEER PORTFOLIO 1 2

JETTY ROAD ACCELERATION WHAT FOUNDERS FIRST PROVIDED: JETTY ROAD REVENUE (A$M) (2) • $3.4m of equity Wholesale growing at • Further funding to be provided to support inner city 228% while venue venue and brewery expansion 5 impacted 4 by closure • Accelerated marketing activities through 2.4 due to C-19 3 investment 2 2.7 • Leadership and expertise across commercial, 2.1 1 1.2 operations and back office 0.6 0.3 0 0.1 FY17A FY18A FY19A FY20A • Secured production with contract brewer, next phase move production in house Brewery Venues • Secured warehouse and distribution capability across Queensland, Victoria, NSW and SA JETTY ROAD DISTRIBUTION POINTS (3) 2000 Indie craft 1500 THE OUTCOME FOR JETTY ROAD: collective takes over • Outstanding wholesale growth in FY20 of 228% (1) 1000 sales 1769 • Individual distribution points by SKU greater than 500 1700 273 116 0 • Initial Export orders via Founders Momentum FY18A FY19A FY20 Distribution points 1 3 Source: (1) Audited year end results for FFL - FY 2020 2) FFL - EOFY 2020 accounts 3)FFL Distribution from commercial reporting system as at EOFY 2020.

AWARD-WINNING SPIRITS, CIDER & READY TO DRINK PORTFOLIO 1 4