MCPHERSONS (ASX MCP) Presented by Laurence McAllister (CEO) A Ba la - PowerPoint PPT Presentation

MCPHERSON’S (ASX MCP) Presented by Laurence McAllister (CEO)

A Ba la nc e d & F o c usse d Gro wth Jo urne y!

Ne t De bt r e duc e d fr om $92m at 31 De c e mbe r 2015 to $41m at 31 De c e mbe r 2016. Nor malise d le ve r age r atio r e duc e d fr om 3.1 time s to 1.5 time s. Cor por ate Bonds r e duc e d fr om $60m to $25m. Buybac ks to c ontinue . F inanc ial position has absor be d and adjuste d to AUD/ USD de pr e c iation fr om $US1.10 to $US0.75.

Dive r sific atio n ac hie ve d thr o ugh ac quisitio ns, dive stme nts and ne w age nc ie s Dive stme nt Ac quisition Mc Phe rson’s Ne w Ag e nc y Printing De me rg e r (F ine F ra g ra nc e s) Ne w Ag e nc y HOUSE WARE S Division Ac quisition re ma ining Ac quisition 49% dive ste d F e b Aug Ma r Jul Oc t Ma r Apr Jul Aug Nov Ma r Ma y Jun 2012 2012 2013 2013 2013 2014 2014 2014 2014 2014 2016 2017 2014 Ne w Ag e nc y HOUSE WARE S Ac quisition Division Ac quisition 51% dive ste d (Joint Ac quisition Ve nture e sta blishe d) Ac quisition Ac quisition 5

A pr ofe ssiona l c lose for F Y 2017 2018 fisc a l sha pe c onside r a tions, the a bility to a c hie ve & ma na g e , the ke y dr ive r s a nd the R isk’s & Oppor tunitie s of the pla n A ba la nc e d vie w of Cor e BIG 6 br a nds & optimising our r e sour c e s & inve stme nts in He a lth, We llne ss & Be a uty Pa ssiona te to de ve lop our c ompr e he nsion of the ma c r o pla ying fie ld - T oda y & tomor r ows la ndsc a pe & dr ive r s by c a te g or y & se g me nt, tha t he lp de fine r ic h te r r itor ie s to e xplor e a nd pa r tic ipa te within Unde r sta nding our br a nds r e la tive to the c a te g or ie s, se g me nts & c ompe titor s we pa r tic ipa te with toda y Confide nc e in c ompe lling & inte g r a te d Br a nd & Ke y Ac c ount Custome r Joint Busine ss Pla ns Ne e d for building g r e a te r r ig our & c a pa bility in Ne w Busine ss, R &D & F ie ld E xe c . with c le a r pr ior itise d c hoic e s 6

Addr e ss & De live r the “Make Plan Impe r ative s” Dr ive Winning plans for Br and, Custome r & Sale s E xe c ution E xc e lle nc e L a nd He a lth, We llne ss a nd Be a uty Bra nd a s Ac c e le ra te Big 6 Co re b ra nd pe rfo rma nc e o ur # 1 PRIORI T Y & De live r the Busine ss Pla n E xe c ute the Supply c ha in / K ing sg ro ve E BIT Re d e sig n T o p 6 Custo me r T ra d ing T e rms (T T ’ s) o ptimisa tio n to re -inve st in Big 6 Co re b ra nd s via jo int c usto me r b usine ss pla ns (JBP’ s) Imple me nt “PL E E ”: Pric e L ine E xe c . E xc e lle nc e , Re a lise HAPL Co mme rc ia l BU upsid e suppo rte d b y HR & F ie ld Sa le s g a p a na lysis E ng a g e & live the virtuo us c yc le princ iple s o f Re turn NZ to E BIT g ro wth the E XPORT & Inte rna tio na l b usine ss mo d e l Build T omor r ow’s Busine sse s T oday & r e alise the size Build Ne w Capabilitie s F or Busine ss Pulse of the pr ize ! Manage me nt, for Cour se Cor r e c tion, Inv. & Gr owth Re se t o ur a ppro a c h to Ne w Busine ss & Bus. De fine the R&D Mo d e l a nd rig o ro usly Mo d e ls - Ho ne y JV e tc ma na g e ke y pro je c ts Se le c tive ly Gro w o ur Ag e nc y Po rtfo lio to re - De sig n a la nd sc a pe mo d e l to c o mpre he nd inve st in the Big 6 Co re b ra nd s ne w & future te rrito rie s – Inno va te & Ac q uire Build Ma na g e me nt Sc o re c a rd , Busine ss Inte ll. Ste p-c ha ng e o ur Susta ina b ility Ag e nd a (BI) a nd Co nsume r Insig ht (CI) Ca pa b ility 7

2017 2018 J J A S O N D J F M A M J J A S O N D Busine ss Manage me nt 1. Business Management Sc o re c a rd  Management Scorecard, BI & Consumer Insights Pr ogr am  Da shb o a rd Top Project Management Dashboard Pro je c t  Big 6 Core Brand Performance Big 6  Risk Mgt– RR, supplier constraints, currency, commodity price increases Risk Ma na g e me nt Ope ra tio na l  Introduce a sustainability agenda, that is real! Susta ina b ility Winning Plans 2. Winning plans for A’kin, Dr LeWinn’s & Multix  Multix Greener Program Multix  Dr LeWinn’s & A’kin Winning Plans DL W & A’ kin  Restaging: Manicare, Swisspers & Lady Jane Re sta g ing Bra nds L andsc ape Age nc y Pr ofile 3. Selectively Grow Our Agency Profile in H, W & B Profile  Honey JV Ga the r By JV  Landscape Model for New & Future Territories – Innovate & Acquire Inno va te & Ac q uire Capability E nhanc e me nts 4. Capabilities Enhancement  R & D Model / Roadmap + Management of Key Projects R & D  Sales / KAM Capability Gap Analysis Sa le s / KAM  IT Step Change Plans IT Ste p Cha ng e E xpor t 5. Execute Export Model  Deliver the EXPORT & International Business Model E xpo rt / Inte rna tio na l Ge ogr aphic Ste p Change Plans 6. Geographic Step Change plan  Return NZ to EBIT growth NZ  SG SG Inve stme nt Pr ofile s 7. Investment Profiles / ROI’s  PLEE: PriceLine Execution Excellence PL E E  BIG 6 Customer JDP’s / Trading Terms JBP’ s / T T 8. Kingsgrove Optimisation Plan KG Plan’s  Supply Chain EBIT Opportunity SC

L aur e nc e Mc Alliste r Ma na g ing Dire c to r Re be c c a Wake fie ld E xe c utive Assista nt Br e tt Owe r s L or i Pir ozzi Sammy David Smith Byr on Mar k Br ady Paul Sar ah T ully Donna Chan Mar y Pe ar c e Chan John Ce r e sa Stone Ne w Bus. Na tio na l Withe r idge Busine ss Supply Co mme rc ia l HR Ac c o unts & Ma rke ting R& D MD GM De ve lo pme nt F ie ld Sa le s Cha in CF O F ina nc e Dire c to r E xpo rt Dire c to r Dire c to r MCP Ho ng HAPL Dire c to r Dire c to r Dire c to r Dire c to r Dire c to r Ko ng

32% o f re ve nue

HE AL T H WE L L NE SS BE AUT Y $4.6 Bill, +15% CAGR $4.0 Bill, +3% CAGR HAPL 22% Hig h Gro wth • H,W& B Ne t Sale s Hig h De ma nd 61% • Contr ibution Ag e nc y 17% Hig h Ma rg ins • 11 So urc e : Industry Re ve nue Co mplime nta ry Me dic ine s Austra lia 2015 (2017 E st), Co sme tic s/ T o ile try re ta iling IBI SWo rld 2017 E st

12 T he # 1 Co sme c utic a l b ra nd • E xpe rts in Anti-Ag e ing • Curre ntly la unc hing ne w pre stig e pa c ka g ing • Pa ssio na te a b o ut a ddre ssing skin c o nc e rns fo r • wo me n o f a ll a g e s I nc re a se d R&D inve stme nt a llo ws us to • − Wo rk with o ur g lo b a l supplie rs o n c o ntinue d le a ding e dg e inno va tio n tha t de live rs re a l re sults Our Dr. L e Winn’ s 'Ma ste rb ra nd' c a mpa ig n fe a turing • Anna Ba mfo rd is a iming a t: − ta rg e ting the yo ung e r c o nsume r 25+; a nd − a ttra c ting ne w use rs to Dr. L e Winn's b ra nd Our ne w Dr. L e Winn’ s we b site de live rs inc re a se • c o nsume r e ng a g e me nt.

Mode r n & Pr e stigious Pac kaging Ste p- c hange

14 INTRO D UC ING ETERNA L YO UTH FO UR N EW PRO DUC TS LA UN C HIN G M A Y / JUN E 2 0 1 7

Re launc h One Glo b a l A'kin Ha irc a re & Skinc a re Bra nd • Ne w hig hly a ppe a ling na tura l, c o nte mpo ra ry • pa c ka g ing I nno va to r in Na tura l with pure , a uthe ntic , • e ffic a c io us pro duc ts suc h a s – Co c o nut Wa te r & Gre e n T e a Hydra tio n Ra ng e – Ro se hip + Vita min C – Na tura l Dry Sha mpo o (Ba mb o o ) T ra nsfo rm A’ kin with a ne w po sitio ning & • purpo se Ne w b ra nd c a mpa ig n a nd me rc ha ndising • Ne w we b site e ng a g ing o ur c o nsume rs • 15

16 NPD, Visua l I de ntity a nd Cre a tive

17 Distrib utio n e xpa nsio n in supe rma rke ts • Ma inta in lo ya lists whilst a ttra c ting yo ung e r • c o nsume rs via Gla m inno va tio n & e ng a g e me nt Gla m g ro wing a t +23%* with >105k F a c e b o o k • fa ns Ava ila b le to purc ha se o n-line • E xc iting inno va tio ns - hig h g ro wth se g s. • Ca twa lk tre nds, Ce le b rity e ndo rse me nt, • F a shio n c o lla b o ra tio ns Co lla b o ra tio n with L iz K e lsh, o nline tuto ria ls • using the Ma nic a re b rush ra ng e

18

19 Co nve rt hig h b ra nd a wa re ne ss • into stro ng g ro wth thro ug h: – Distrib utio n e xpa nsio n in supe rma rke ts a nd e c o mme rc e Co nte mpo rise L a dy Ja yne • b ra nd thro ug h pa c ka g ing re la unc h a nd diffe re ntia te d inno va tio n WI P

L ADY JAYNE RE INVE NT ION NE W L OOK NE W L OOK PRO CURRE NT PACKAGING RANGE (E SSE NT IAL S RANGE )

Ne w Ic onic Br and Pac kaging Ide ntity

22