Full Yearly Results Webcast Presentation

28 July 2025


The Manager
ASX Market Announcements
Australian Securities Exchange
Exchange Centre
Level 4
20 Bridge Street
Sydney NSW 2000



Electronic Lodgement




Australian Foundation Investment Company Limited
Full Yearly Results Webcast Presentation


Please find attached the presentation to be given at the Shareholder webcast being
held today, Monday 28 July 2025 at 3.30 p.m. (AEST)

To join the webcast please use the link below (this will be made available on the
afi.com.au website).

Webcast Link: Please register for the results webcast here (This link will open directly
in your internet browser). Questions can be asked through the webcast link.

The shareholder presentation material will be made available through our website
www.afi.com.au.


Your faithfully


Matthew Rowe
Company Secretary

Release authorised by the Company Secretary.

Full Year Results 2024/25
July 2025

Full Year Results – July 2025
Australian Foundation Investment Company Limited and its subsidiary AICS (AFSL 303209), its
related entities and each of its respective directors, officers and agents (together the Disclosers)
have prepared the information contained in these materials in good faith. However, no warranty
(express or implied) is made as to the accuracy, completeness or reliability of any statements, estimates
or opinions or other information contained in these materials (any of which may change without notice)
and to the maximum extent permitted by law, the Disclosers disclaim all liability and responsibility
(including, without limitation, any liability arising from fault or negligence on the part of any or all of the
Disclosers) for any direct or indirect loss or damage which may be suffered by any recipient through
relying on anything contained in or omitted from these materials.
This information has been prepared and provided by AICS. To the extent that it includes any financial
product advice, the advice is of a general nature only and does not take into account any individual’s
objectives, financial situation or particular needs. Before making an investment decision an individual
should assess whether it meets their own needs and consult a financial advisor.
Disclaimer
2

Full Year Results – July 2025
Overview and Investment Objectives Mark Freeman
Full Year Results Andrew Porter
Markets and the Portfolio David Grace
Recent portfolio activity Winston Chong
International Portfolio Mark Freeman
Outlook David Grace
2
Agenda
3

Full Year Results – July 2025
Overview and Investment Objectives

Full Year Results – July 2025
Our Company
5
Invests in Australian and New Zealand companies
Largest listed investment company on the ASX, 150k shareholders, independent Board of Directors
Shareholders own the ‘management rights’ to the portfolio
Management expense ratio of 0.16% with no performance fees
Long term investor with low turnover (tax effective). Portfolio and share price returns less volatile than the index
Long history of stable to growing fully franked dividends
Team manages three other funds – Djerriwarrh, Mirrabooka and AMCIL

Full Year Results – July 2025
6
Investment Objectives
The Company’s primary investment goals are:
• to pay stable to growing dividends over time; and
• to provide attractive total returns over the medium to long term.

Full Year Results – July 2025
Attractive Total Returns Over the Long-term
$10k in AFIC  $178k
$10k in the Index  $146k
Excludes the benefit of franking.
AFIC NTA vs S&P ASX 200 Accumulation Index
7

Full Year Results – July 2025
Ensuring a stable to growing dividend for shareholders
8
AFIC’s franking reserve balance ensures we can pay a consistent dividend even
through volatile times – full year dividends for the last 7 financial years

Full Year Results – July 2025
Full-Year Results

Full Year Results – July 2025
Summary Full Year Results
10
#
includes 12 cent interim dividend

Full Year Results – July 2025
Share Price Relative to Net Tangible Asset (NTA)
30 June 2025
NTA: $8.33
Share price: $7.35
11

Full Year Results – July 2025
12
Markets and the Portfolio

Full Year Results – July 2025
Portfolio and Sector Performance – to 30 June 2025
Sector returns do not include franking
Portfolio Return (Including the Full Benefit of
Franking) – Per Annum to 30 June 2025
Sector Performance to 30 June 2025
13
Only includes franking that has been paid out.
Past performance may not be indicative of future performance.

Full Year Results – July 2025
Key drivers of FY25 investment performance
Temporary cyclical headwinds:
Minimal to no exposure to gold and insurance sectors which performed
strongly.
Underestimated duration of challenges:
14

Full Year Results – July 2025
0
100
200
300
400
0
200
400
600
800
20102011201220132014201520162017201820192020202120222023202420252026
EPS US¢Share Price USD (RHS)
0
50
100
150
200
0
200
400
600
800
20102011201220132014201520162017201820192020202120222023202420252026
EPS AU¢Share Price AUD (RHS)
Share prices diverged from earnings growth
Source: Diogenes Research
15

Full Year Results – July 2025
Valuation metrics – CBA v CSL
Valuation: Price to Earnings ratio
Source: FactSet
16

Full Year Results – July 2025
MarketValuation in a Long Term Context
17
Source: FactSet
ASX 200 Firms Trade at an Average Forward PE of 18.7x, which is 28% Above the 20-yr Average

Full Year Results – July 2025
Recent Portfolio Activity

Full Year Results – July 2025
Active Portfolio Management – Recent Transactions
19
Additions to Existing Holdings
New Purchases
Trimmed Holdings
Complete Disposals
Nil.

Full Year Results – July 2025
Transurban
20
•Owner and operator of toll road concessions in Australia and the US.
•Unique, strategic assets benefitting from inflation linked tolls and population growth.
•Sustainable and growing dividend over time post COVID recovery and major project disruptions.
Dividend Per Share (A¢)
Source: Diogenes ResearchSource: Transurban Website
0
10
20
30
40
50
60
70
FY09FY10FY11FY12FY13FY14FY15FY16FY17FY18FY19FY20FY21FY22FY23FY24

Full Year Results – July 2025
Fisher and Paykel Healthcare
21
•Global leader in devices used for respiratory care, surgery and sleep apnoea.
•Long growth runway underpinned by product development and growing penetration.
•Strong management team with proven track record of earnings growth and capital allocation.
Source: Diogenes ResearchSource: Fisher & Paykel Healthcare Website
0
10
20
30
40
0
25
50
75
100
20102011201220132014201520162017201820192020202120222023202420252026
EPS NZ¢
Share Price NZD (RHS)
ASX200 - Indexed (RHS)
EPS vs Share Price

Full Year Results – July 2025
22
International portfolio

Full Year Results – July 2025
International Portfolio
•Portfolio was first initiated in May 2021. At 30 June 2025 valued at $168.1 million
(1.6% of the AFIC total portfolio).
•Significant preparatory work has been done for establishing a separate global
investment company in the future.
•We are still considering the most appropriate next steps for this initiative.
•AFIC’s global portfolio returned 14.0% for the financial year, an attractive return for
shareholders although below our benchmark.
•Medium term performance since inception:

Gross Returns in $A 30 June 2025
3 Years Since Inception
%pa %pa
AFIC Global Portfolio 21.0 14.0
Benchmark 20.3 14.0
Source: Northern Trust
23

Full Year Results – July 2025
Outlook

Full Year Results – July 2025
The performance of the market remains resilient despite tariff uncertainty and heightened
geopolitical tensions.
Outlook for company earnings is less certain, resulting in a disciplined focus on costs.
Market valuation polarised between expensive stocks with good earnings growth and cheap
stocks lacking a catalyst to grow earnings.
Maintaining a balanced portfolio remains appropriate.
We remain focused on companies well positioned to create long term shareholder value.

Outlook
25