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Good morning, everyone, and thank you for joining us for the 2026 EBOS Investor Day. I'm Cameron Sinclair, Head of Investor Relations at EBOS. I begin by acknowledging the traditional owners of the land on which we meet and paying my respects to elders, past and present. I'm speaking today from Gadigal country here in Sydney, and I welcome everyone joining us today.

Kia Ora for those joining us online from New Zealand, and a warm welcome to all cultures joining us today. In the unlikely event of an emergency, the nearest fire exit is through the doors behind you and to the left.

The intent of the day is simple: to give you context, transparency and confidence, both in the strategy and in the assets that sit behind the numbers. This morning, we'll walk you through our strategy and financial framework here at the hotel.

After the presentations, you'll have time to engage with our teams at the various booths. And following lunch, we'll head to Kemps Creek and Eastern Creek for site tours. You'll see the infrastructure underpinning the story firsthand.

For the presentation itself, Adam will start with the group strategy, followed by Alistair on the financial framework. We'll then move straight into the divisional presentations, starting with Brett, who will take us through Symbion & Healthcare distribution and close out the first session.

After the break, you'll hear from the remaining divisional CEOs. Across all divisions, the focus will be the same: how their businesses make money, where growth comes from, and how capital is being deployed. Adam will then bring it all together and we'll conclude with an extended Q&A session.

With that, I now hand over to Adam.

Thank you very much, Cameron, and welcome, everyone, to EBOS' Investor Day 2026, both those in the room with us and those online from New Zealand and throughout Southeast Asia. We're excited to have this opportunity to share our vision for EBOS.

Today, you're going to hear us walk through the 4 key messages of the EBOS story: our strong positions and advantage, how our care portfolio is set for growth, the detailed divisional strategies and then how this all comes together in disciplined value creation.

Importantly, this isn't just PowerPoint. You'll hear this not just through the presentation material, but also by hearing directly from our experienced leadership team. They'll also walk you through 8 specific case studies of EBOS' successes. And you'll have a chance to interact with some of those products at our booths outside. For those online, we'll post a video of that later.

And this afternoon, many of you will also have the opportunity to spend time at 2 of our sites: Kemps Creek, which is Australia's most advanced medicines warehouse; and Eastern Creek, one of the best contract logistics facilities in the country.

But before we start, please let me share a personal reflection on starting work at EBOS. When I started to understand our business, I spent a lot of time with our frontline staff across the firm. And each time I'd ask, what are we doing today? And when I visited our warehouse, I thought I would hear, Oh, I'm just loading a plastic tote with boxes.

But I heard something else. I asked one of our colleagues, what are we doing today? And she said, today, I'm picking the medicines for the kids' ward at the hospital. And later, I heard today, I'm helping to vaccinate our community. And from another colleague, today, I'm feeding Australia's puppies.

And outside an operating theater not far from here, I was told today our implant is going to help a man walk again. The common thread that my colleagues share is clear, is care. And behind that care is a steely determination to keep doing it as efficiently as we can and in concert with other players in the human and pet care sectors. And that's what you will see reflected in the next page on the EBOS model.

The EBOS Group is unified by a repeatable model of care, productivity and partnerships. These are the themes you're going to hear a lot about today, and they're this repeatable advantage model that binds the whole portfolio together. Our purpose is connecting people, pets and communities to outstanding care anywhere, and it's supported by those core values I mentioned: delivering care, which is an attractive market; driving productivity using our scale; and doing so in partnership with others, which allows us to create differentiated options and grow faster than the market.

Now the outcome is that together, these enable us to deliver trusted support. We relied upon customers across our portfolio, including hospitals, pharmacists, pet owners and surgeons, to deliver critical products and services. But we also deliver sustainable growth. Our EBITDA growth has averaged around 10% over the last 10 years with a similar contribution from both organic and inorganic sources.

We have a strong track record of disciplined capital returns with our bolt-on acquisition program delivering around 16% return on capital employed over the last 5 years. And we've done that throughout by maintaining -- while maintaining a consistent dividend payout ratio of 60% to 80% of underlying NPAT.

I'm very conscious that the ELT and I are not creating this model, we're articulating it. And that's what we found with the rollout of this care productivity partnership strategy internally. It resonates with our team because they live it every day.

So if that's the model, what are the businesses that enable us to deliver it? On this slide, you'll see that EBOS is a scaled care portfolio with 4 divisions broken into 2 reporting segments. Firstly, Healthcare, which encompasses Symbion & Healthcare Distribution, Retail Pharmacy Brands and Medical Technology as well as the Animal Care segment.

In our financial reporting, we also share additional detail on customer groupings, and there's a key to that reporting structure in the appendix. Importantly, each of the divisions that you see here is a leader in the field. Symbion & Healthcare Distribution is #1 or #2 across its portfolio of healthcare distribution businesses. That includes pharmacy wholesale, contract logistics and hospital distribution. Retail Pharmacy Brands is Australia's #1 community pharmacy store network with more registered pharmacists operating under our banner than any other group in the country.

In Medical Technology, we are the #1 medical technology partner in multiple therapy areas across Asia Pacific with leadership in biologics processing in Australia. And in Animal Care, we're the #1 brand and supplier of specialty dry dog food by volume and the #1 vet wholesaler in both New Zealand and Australia.

So how have these leadership positions been created? And how is the portfolio defined? This is one of the most important slides in the presentation, because it demonstrates the deliberate shift of the EBOS portfolio over the last few years. We've redeployed over $2 billion of capital into high-growth businesses, including ANZ Medical Technology, Southeast Asia Medical Technology and Pet Nutrition Manufacturing.

Importantly, in Pet Manufacturing, this includes not only acquisitions like Next Gen Pet Food and Superior, but also organic investment in our wonderful facility in Pet Care Kitchen in Parkes. You're going to see a terrific video of that a little later on this morning.

So overall, what have these capital decisions achieved with our portfolio? In the middle chart on the page, you can see that back in 2019 and 2021, pharmacy wholesale represented about half of the EBOS Group EBITDA. Today, it's less than 30%. As we continue to invest in high-growth, high-return sectors, the rest of our portfolio grows proportionately larger. The absolute dollar value of pharmacy wholesale shown in the gray brick stabilizes, but its share of the mix continues to moderate as the other businesses grow faster.

And just how is that growth sustained? Well, it's through those leadership positions I mentioned earlier. As you can see on the right-hand side of the chart, around 85% of our EBITDA now comes from businesses that have the scale advantage from being #1 or #2 in their sectors.

And this is true across the businesses that you can see there like TerryWhite Chemmart, Black Hawk, Symbion Hospital, Symbion Pharmacy and Healthcare Logistics Australia. But we also have strong emerging businesses like Kiwi Kitchens and Sentry that are building momentum quickly.

So with that evolution, what do we -- what the markets we operate in look like? And I think on the next slide, you can see that across our portfolio, we operate in health and pet care markets that are structurally attractive. These are essential sectors, typically supported by demographic tailwinds, where demand compounds over time and underpins our growth agenda.

The population is aging and today, around 40% of Australia's healthcare spend is attributable to people aged 65 and over. That's a consumer group that particularly enjoys engaging with TerryWhite Chemmart. So unsurprisingly, we're also at the forefront of the shift towards more healthcare services being delivered through pharmacies.

Pharmacists who've gone through the intensive additional education to be able to write scripts are called prescribing pharmacists. And of all the prescribing pharmacists in Australia, more than 1/4 operate within the TerryWhite Chemmart network. You're going to see a great video a little later on of one of our new large-format stores in Tewantin. It'll give you some insight into the role of the care clinic within almost all of our TerryWhite Chemmart pharmacies.

In the middle of the page, you'll see the continued rise in healthcare spend. For example, total Australian PBS spend is growing at around 9% per year. Much of this spend is on new therapies, and we're well positioned to help bring those therapies to market, particularly through our 8 bolt-on acquisitions in high-growth medical technology segments across ANZ, Southeast Asia and Hong Kong.

And of course, we're also seeing the increasing humanization of pets. They're increasingly treated as family members. And as a result, we've seen more than 20% volume growth in some category segments, including air-dried treats.

We're a leader in format innovation with around 9% of Black Hawk sales coming from new category additions, including healthy benefits and for new dog ranges. So whether it's medicines distribution, pharmacy services, medical technology or pet nutrition, the common thread is long-dated nondiscretionary ongoing demand.

Now there are, of course, headwinds across the care sector as well. Competition has intensified, particularly in pharmacy, wholesale and community pharmacy. We're positioned to continue building our cost advantage here, supported by proactive investment in our DC renewal program.

We've invested in Symbion & Healthcare Distribution facilities over the last 4 years with that major capital renewal project coming to an end on the 30th of June this year. There's also pressure on healthcare costs with healthcare inflation outpacing CPI. What we've observed is that both public and private healthcare partners increasingly rely on us to help manage their healthcare spend.

I've seen this in-person at the warehouse where we helped a public sector customer make meaningful savings on their overall spend, so much so that they consolidated their other contracts into our facility so that we could help manage more of their spend more efficiently. That demonstrates care, productivity and partnership all coming together at once.

The final factor affects all 4 divisions, which is the increase in supply chain and distribution complexity and even more so with the recent Middle East conflict. The mix of products is becoming more complex. That means more cold-chain medicines, more specialized therapies. And as a result, our role has grown in importance.

We've become a trusted adviser to many healthcare participants. And a good example of that would be the global pharmaceutical companies, where we help them manage that complexity in New Zealand and Australia, often through bespoke value chain solutions. That creates value for them and, of course, the EBOS Group. So these headwinds exist and are meaningful, but they continue to winnow out weaker players and our advantages of scale and partnership serve us well in this environment.

Speaking of which, let me turn to productivity. How do we think about productivity in each of our 4 divisions? What you see on this slide is how each of our divisions is using their position to drive productivity improvements. In Symbion & Healthcare Distribution, as I mentioned, we're #1 or 2 across institutional healthcare, contract logistics and pharmacy wholesaling. But as a result, national productivity in pharmacy wholesaling has improved by around 25% since 2017.

Now what's notable on this chart is that those productivity improvements were resilient through a period of significant volume change, and that's a real credit to the Symbion & Healthcare Distribution team.

In addition, that FY '26 number is only year-to-date. The full benefit of our significant investment in facilities like Kemps Creek is still to come as it was only commissioned just months ago, and Brett will talk about this further in his presentation.

In Retail Pharmacy Brands, as we mentioned earlier, we're Australia's largest community pharmacy network. Same-store sales in FY '25 and '26 have grown around 8% per annum, again reflecting a strong consumer engagement with the TerryWhite Chemmart brand.

Nick and the team have a terrific runway here, not only on services, but also on private label and retail media. He'll share more on that soon.

And in Medical Technology, we're #1 in multiple therapy areas and in biological processing. A key feature of this business is our programmatic bolt-on model. As we bring new acquisitions onto the platform, they share the same back-office infrastructure, things like finance, market access, regulatory support. And between FY '24 and FY '25 alone, that drove around 100 basis points of operating leverage across the division, primarily through improved labor efficiency with runway to continue as we add further scale. I'm delighted that Kristine will share with you some of the future growth options that we see in MedTech.

Now in Animal Care, we love our brands and more importantly, the pets of New Zealand and Australia love our brands, but those brands are underpinned by a scaled manufacturing footprint. And since 2022, manufacturing productivity has increased by around 19% across the network, measured as output per dollar of input. And of course, continuing to evolve that format range that I mentioned earlier.

So scale matters because it translates directly into lower unit costs, higher throughput and ultimately better return on assets. But of course, it's hard to make an impact alone, and this is where the value of partnership comes to the fore in each of our divisions.

In Symbion & Healthcare Distribution, a natural example of that partnership is in contract logistics. In this business in New Zealand and in Australia, we act as agents for global pharmaceutical companies. And that includes repacking, relabeling and temperature-controlled storage of these important medicines.

Doing this across dozens of principles requires operating to the highest standard consistently, and those partnerships continue to deepen. As a result, we've been able to deliver strong gross margin growth in New Zealand and in Australia.

In Retail Pharmacy Brands, we partner with independent pharmacists who retain ownership of their dispensing businesses. We provide the brand, scale, marketing, merchandising and private label support.

As a result, our banners have delivered more than twice the expected share of pharmacist-administered vaccinations. Importantly, Nick is going to walk you through how that translates into value for EBOS.

And in Medical Technology, we serve over 4,500 hospitals and clinics across Asia Pacific with a curated portfolio of devices and technologies. We aggressively curate that portfolio to make sure that we are focused on the higher touch, more sophisticated therapies.

And as you can see, by supporting clinical leaders in Australian spine surgery with a better and broader set of products, we've delivered around 10% revenue CAGR from FY '22 to FY '25. We have a terrific video a little later on that will show the power of partnerships in medical technology.

And in Animal Care, we partner with around 1/3 of registered puppy breeders across ANZ and thousands of in-store staff who act as our key recommenders. As a result, our dry dog food volumes have grown around 50% faster than the broader market.

So across every division, we're deeply connected with our customers and partners beyond a transactional relationship. This gives us the right to compete on reliability, relevance and integration, not simply on price. We have a track record of bringing these advantages of care, productivity and partnership, not only to our existing businesses, but also to a range of new bolt-ons, and we see this on the next page.

One thing that's been a hallmark of EBOS' success is the ability of the business to consistently unlock value through acquisition. And there are 4 key reasons for that. The first is advantaged access to deal flow. A good example is Medical Technology, where relationships with OEMs and surgeons matter enormously.

Because we're a market leader, founder-owned distribution businesses often come directly to us when they're considering a sale. These are typically bilateral discussions where we help the sellers work through the complexity of a transaction. And as a result, we're able to acquire businesses at a fair price that reflect their current state while allowing us to earn attractive returns once they're part of the EBOS portfolio.

We've seen that again and again with businesses like Pacific Surgical in the Philippines and now with Precision Surgical and alphaXRT as well.

Second, we have strong synergy opportunities. A great example of this is in Animal Care, where we have a set of brands that resonates strongly with consumers and their pets. So when a new product format emerges, such as the air-dried format we acquired through Next Gen Pet Food, we're able to buy that business at a sensible price and then bring that format into our existing brands and scale it quickly, which creates value for both.

Third, there are clear and proven pathways to value within our networks. In Retail Pharmacy Brands, for instance, TerryWhite Chemmart and now MediADVICE have demonstrated the ability to lift margin across the network through merchandising, through private label, through retail media. That creates a really attractive investment case for pharmacy banners and supports the ongoing conversion of independent pharmacies into our network.

And finally, there's a real muscle memory within the business. We have a repeatable playbook and deep experience integrating bolt-on acquisitions seamlessly, and that shows up in the track record.

So on the right-hand side of the page, you can see that since July 2020, we've invested around $520 million across 19 bolt-on acquisitions, delivering an average return of around 16%. That's a position that we're very pleased with, and we see this disciplined returns-driven M&A as an important part of the EBOS story going forward.

Now speaking of that story, I'd like to introduce you to the executive team who's responsible for the next phase of growth at EBOS. You'll hear shortly from Alistair Gray, our CFO. He, along with Janelle, Jacinta and Mithran, are a fantastic set of functional leaders for the group. Each of them brings deep experience either from within EBOS or from other blue-chip companies. And together, they support the divisional leaders you see at the bottom of the page.

Brett's combination of industry engagement and operational knowledge is unrivaled in the medicine supply sector. He's regularly called on by government leaders, leading pharmaceutical players and, of course, Australia's pharmacists. But he also knows how exactly how productive the warehouses need to be to meet that need. I've literally seen him coach forklift drivers or work through a robotics issue without missing a beat. I know you'll enjoy hearing his thoughts shortly.

As we were with Nick Munroe. Nick and I hosted the famous TerryWhite, the man who started it all, at a gala dinner in February. Terry and Nick were absolute rock stars with pharmacists pushing past us to get selfies with the 2 of them. And that's because he's so deeply engaged with the TWC and MediADVICE leaders.

The pharmacists care about him because he has connected with so many of them to bring them into the brand and work with them to drive their success with TWC. He's no doubt excited to share his thoughts on the future of Retail Pharmacy Brands shortly.

And Kristine has a similarly deep relationship with the medical technology brands from around the globe. She's assiduously cultivated this network of relationships from Spain to Shanghai, each in a therapy area that transforms patient lives. She was directly responsible for driving growth in TransMedic in recent years, and she'll be delighted to share with you the opportunity set ahead.

Now she's delighted. Grant is going to be wildly excited to speak to you. He has been responsible for not only driving growth in some of the biggest brands in Australian pet care, but also in creating a highly efficient manufacturing and supply chain to unlock that growth and support product development options. He is almost as beloved by his team as he is by his bloodhound Hubert. So that's our people.

But what's the priority for growth going forward? These 4 leaders are empowered to deliver results across our portfolio. Symbion & Healthcare Distribution has been a cash-generating engine for EBOS shareholders over the last 5 years. Through COVID and a very advantageous contract, there have been periods of strong profitability.

We've systematically reinvested those profits into the other divisions, and now it's time for those other divisions to shine. As a result, you'll see Symbion & Healthcare Distribution focused on productivity with growth broadly in line with the industry in pharmacy wholesale and ahead of the industry in the other parts of Brett's business. Accordingly, our investment focus is selective, and we'll be prioritizing the other distribution components of that division.

In Retail Pharmacy Brands, the strategy is store and margin-led. We see opportunities to add more stores as independent pharmacists look for a banner to join. And we also see opportunities to improve the margin per store. Nick and the team are leading that effort and the capital priority in this division is medium to high.

In Medical Technology, our opportunity is to continue adding therapy areas across Australia, New Zealand, Southeast Asia and Hong Kong. Kris will walk through those opportunities shortly, but the capital priority here is high, reflecting the demonstrated returns over the last few years.

And finally, in Animal Care, we have a set of strong hero brands across ANZ and Asia. Our goal is to grow those brands and support them through service excellence and customer focus in that wholesale, particularly as our COVID era furry friends start to age and require more care, which is exactly what we're here to help provide.

So in combination, this continues the evolution of the EBOS portfolio from a capital-intensive pharmacy wholesale distributor to an advantaged scale care portfolio, operating in higher growth, higher return markets.

I will leave you with 4 messages to take away today. I'd break our value story down into these. First, we have strong positions with structural advantages. You just heard me walk through a number of those #1 and #2 positions, and each of the divisional leaders will add more shortly.

Second, we have a care portfolio focused now on higher-growth, higher-return businesses. That's been a purposeful strategy over time, and Alistair will walk you through the anticipated returns.

Third, in just a few moments, you're going to hear the detailed divisional strategies that underpin the next phase of growth and you get a sense of the work the teams are doing to drive value here.

And finally, there's a disciplined approach to that value creation that's central to the group's success, including a rigorous approach to capital allocation, which Alistair will expand on more shortly.

Now I'm looking forward to hearing from the other speakers, as I'm sure you are. And I'm also looking forward to coming back to you a little later for the Q&A. So on that note, I'll invite Alistair up on stage to talk through our financial framework.

Thank you, Adam, and good morning, everyone. My name is Alistair Gray, and I'm the Chief Financial Officer. I'll be taking you through the EBOS financial framework, starting with our performance trajectory, then stepping through how we allocate capital and ultimately how that translates into shareholder value.

On this slide, we can see the resilient and strong growth EBOS has delivered over the past decade, with the business expected to triple EBITDA across that time. From EBITDA of $208 million in FY '16 to the current year guidance of approximately $610 million to $620 million. That represents approximately a 10% compound annual growth rate delivered in broadly equal parts from organic growth and disciplined acquisitions.

That strong growth has been consistent except for 2 factors: one temporary and the operation of the Chemist Warehouse Australia wholesale pharmacy contract between FY '20 and FY '24 as well as one permanent and the acquisition of LifeHealthcare in 2022, which, as you've heard from Adam and we'll hear more from Kris later, has delivered high growth and provides us with an attractive platform for future growth.

Beyond FY '26, we will continue to reliably deliver mid-single-digit organic EBITDA growth, consistent with our long-term track record. However, as Adam outlined, we have a differentiated ability to unlock value through bolt-on acquisitions, which results in attractive returns. It is, therefore, worth highlighting that any future acquisitions from here would provide upside to that mid-single-digit organic growth rate.

What underpins our confidence in our future growth is the continued but deliberate evolution of the portfolio over time. EBOS has evolved from a business heavily concentrated in distribution and wholesale into more diversified and resilient portfolio of businesses with increasing exposure to higher growth, higher-margin sectors. That evolution hasn't been accidental. It's been driven by a repeatable playbook, aligning capital to strategy, applying clear return hurdles and maintaining a relentless focus on operational efficiency and productivity.

I will share a couple of recent examples that bring this to life shortly. But first, I will step through the EBOS capital allocation framework in more detail.

This page sets out the framework that governs how we deploy capital. This is central to how we think about value creation and will support achievement of our 15% return on capital employed or ROCE target.

Before walking through the framework itself, it's important to emphasize that the group generates strong and consistent operating cash flows. These strong cash flows being sufficient to maintain a strong balance sheet, fund all maintenance CapEx, support reliable and attractive dividends, and investments in growth.

From FY '27, these cash flows are set to improve with the conclusion of the DC renewal program and a 30% reduction in CapEx. Thereafter, capital and operating productivity improvements as well as market growth are expected to continue to support future increases in cash flows.

Now moving to our capital allocation framework, which is built around 4 objectives: one, maintain financial security and flexibility; two, protect the existing earnings base by maintaining resilience and competitive business operations; three, provide attractive cash returns to shareholders; and four, grow earnings by deploying capital in a disciplined way aligned to strategy and delivering attractive financial returns.

This framework also provides clear prioritization for the use of capital with operating cash flow first directed at retaining a strong balance sheet with leverage remaining between 1.7 to 2.3x, in line with investment-grade metrics and well below bank leverage covenants of less than 3.5x, as well as maintaining operational stability.

Thereafter, we returned capital to shareholders via dividends, targeting a payout of 60% to 80% of underlying net profit after tax, reflecting our confidence in strong future cash flow and earnings growth.

Finally, cash flow is allocated to growth investments with both organic and inorganic opportunities competing for capital and needing to meet stringent financial hurdles, including exceeding our 15% ROCE target. I would also stress that this capital allocation framework isn't simply a theory. It practically guides all our capital decision-making.

I will now turn to share a couple of examples of recent growth investments, one organic and one inorganic, which bring to life how this disciplined approach manifests and drives attractive returns for shareholders. This is a good example of a typical organic investment, and I share this one as many of you will have the opportunity this afternoon to see the Eastern Creek DC firsthand.

Eastern Creek is a contract logistics site, which were opened in 2023 following the full utilization of our original Sydney DC, which has been operational since 2018. The business case was clear. Without additional capacity, we faced turning away high-priority global pharma customers and missing out in the growth of high-value medicines and GLP-1s.

Importantly, this investment was underpinned by existing partnerships long established in New Zealand and the success of the original Sydney DC. And so demand was visible, customer partnerships were in place and the investment was aligned to a part of the portfolio with structurally higher growth and returns.

As such, the returns and outcomes have been attractive. Eastern Creek is already delivering a return on capital employed above 15% and has reached approximately 70% utilization within 2 years of opening. The 18% per annum step-up in contract logistics growth in Australia over the last 4 years would not have been possible without the incremental capacity this facility unlocked.

This is a good example of how targeted infrastructure investment translates into measurable earnings and growth with further upside as the utilization continues to increase. Brett will expand on the broader DC renewal program and the tangible benefits we're extracting shortly.

Now I'll show you how this disciplined approach works with the recent acquisition. This case study provides an example of a typical bolt-on acquisition. With this particular example, a Southeast Asian MedTech company called Pacific Surgical. Pacific Surgical is our leading orthopedic surgical devices distributor in the Philippines, which we acquired in 2024 for $46 million and have since integrated into our TransMedic platform in the Philippines. Kris will share our MedTech strategy as it relates to Southeast Asia shortly, but this acquisition neatly filled the gap in our portfolio.

The investment also met all our criteria: a leadership position in an attractive adjacently aligned market, profitable growth and an aligned founder-led management team who remained with the business post-acquisition.

Strategically, the acquisition extended our orthopedics footprint from ANZ, Indonesia and Malaysia into the Philippines, while leveraging infrastructure and capabilities already in place. The financial outcomes speak for themselves, delivering strong growth with greater than 15% EBITDA growth and immediate contribution with greater than 1% earnings per share accretion at the group level and excellent returns with a return on capital deployed more than 20%.

These returns illustrate the value created when bolt-on acquisitions are integrated into an existing scale platform in an attractive sector. And as Adam has outlined, we have an advantaged access to this type of attractive MedTech bolt-on business, which will continue to provide pathways for future growth.

I will now move on to how we intend to deliver higher ROCE through both high-return capital investment and efficiency in the existing capital base. These charts specifically summarize at a division level how ROCE has moved in the last 3 years. But more than that, this slide is illustrative of how we closely monitor ROCE at an individual business and division level as a key measure of business performance and progress towards achieving a 15% ROCE.

Also as a critical consideration in both growth capital allocation and portfolio optimization decisions. As I previously said, we remain committed to our medium-term ROCE target of 15% and each division is a clear identifiable pathway towards that outcome.

In Symbion & Healthcare Distribution, ROCE was temporarily impacted by the loss of the Chemist Warehouse Australia contract as well as the higher capital employed resulting from the DC renewal program. As the investment cycle concludes in FY '25-'26 and utilization continues to improve, returns will rebuild.

In Medical Technology, capital employed has increased through programmatic bolt-on acquisitions with ROCE improving as earnings grow faster than the capital base, supported by both operational leverage and margin expansion.

In Animal Care, ROCE is also tracking well, underpinned by strong performance in the branded business and a capital-efficient veterinary wholesale model. Retail Pharmacy Brands, as noted in the slide, follows a similar positive path to Animal Care.

In summary, with the DC renewal program concluding this year and a subsequent return to a more stable capital employed base, coupled with continued earnings growth and disciplined capital deployment, group ROCE will progressively improve.

Now turning to what investors should expect financially over the next 3 years. FY '26 is the final year of elevated capital investment. The associated step-up in depreciation, lease and interest costs in FY '26 and '27 will temporarily weigh on EPS. However, from FY '27, CapEx reduces by approximately 30%. Combined with earnings growth from improving productivity and utilization, plus growth in high-return sectors, this creates the conditions for EPS growth to outpace EBITDA growth in FY '28 and beyond.

With respect to EBITDA, we will deliver mid-single-digit organic growth from here, broadly consistent with our long-term track record with upside potential from future disciplined M&A.

In summary, the major capital investment cycle is months away from completion. That means we have the infrastructure to support continued long-term growth with cost to serve improving as utilization and productivity increases. This, alongside ongoing capital allocation and portfolio -- a portfolio weighted to higher growth, higher return businesses, positions EBOS to deliver compelling value to shareholders.

Thank you for your attention. I'll now invite Brett up to take you through the opportunity in Symbion & Healthcare Distribution.

Thanks, Alistair, and good morning, ladies and gentlemen. My name is Brett Barons, and I'm the Chief Executive Officer of the Symbion & Healthcare division. It's great to be with you all today and to showcase our business to you.

The Symbion & Healthcare Distribution division plays a critical enabling role across the healthcare systems of Australia and New Zealand. Our purpose is to connect communities to care, and we do that by ensuring Australian and New Zealand patients have access to the products they need, whether that's through community pharmacies, hospitals, medical centers, aged care facilities, primary care providers, government agencies or manufacturer partners. While we largely operate behind the scenes, we touch almost every part of the healthcare value chain in both countries. And simply put, healthcare in Australia and New Zealand would function very differently if it wasn't for us.

Adam spoke earlier about how our scale drives productivity and better ways to succeed every day. And that's exactly what this division is about. The money we've invested in our distribution or DC network is designed to turn our scale into structural cost advantage. And you'll see what that looks like when we visit Kemps Creek together this afternoon.

This division operates 3 main business units: pharmacy and hospital wholesaling, contract logistics and medical consumables. And I'd like to now focus on a few of the key businesses, and I'll work from left to right of screen.

The business most investors will be familiar with is the pharmacy and wholesaling business. And over decades, in fact, 180 years in Australia and 140 years in New Zealand, we've built leading positions in -- through our scale, through Symbion and through ProPharma.

And I believe we've got the best wholesaling teams across both countries, and it's our deeply embedded relationships with independent pharmacies and major pharmacy groups as well as public and private hospitals that are a key element to our success.

A key structural advantage in Australia is that we serve both pharmacies and hospitals from the same Symbion distribution centers, and that materially improves our asset utilization and our productivity.

The pharmacy and wholesaling division delivers defensive cash-generative earnings underpinned by demographic demand and sustainable new government funding mechanics. We win through 3 key factors: one, our long-standing reputation for service and reliability; two, our relentless focus on cost leadership; and thirdly, through our great team. We have strong relationships with industry players given the unique tenure of our management and staff.

The competitive landscape in pharmacy is evolving. And over the next few slides, I'll step you through the 3 forces outlined in the bottom left box that are shaping wholesale economics. Beyond wholesale, I'm also responsible for the strategically important contract logistics and medical consumable business units. And both these businesses sit in higher growth and higher-margin segments of the healthcare value chain.

In contract logistics, as shown in the middle of this slide, we provide specialized pharmaceutical logistics services through our healthcare logistics business. We provide services to around 170 pharmaceutical manufacturers, supporting market access for them by distributing to wholesalers or through our bespoke distribution solutions.

Our facilities are sophisticated, high-end and healthcare specific. They're Good Manufacturing Practice, or GMP, approved with temperature-controlled storage, rapid fulfillment and innovative solutions for our principal partners. And these capabilities have been instrumental in us winning new principal partners.

They also create defensible market positions that are strongly favoring scaled specialized operators like us. And our recent distribution facility investments, including Eastern Creek, which many of you will tour this afternoon, are generating already returns in excess of 15% ROCE.

In medical consumables, as seen on the right of this slide, we distribute medical consumable products to primary care providers, including aged care facilities, medical centers, GP clinics, daycare hospitals and also general hospitals.

We're also building a private label platform through targeted bolt-on M&A, which supports higher margins than the traditional wholesale business. And our recent Sentry investment is one example of that.

In addition, our Onelink business provides vital outsourced warehousing and distribution services to government customers in New Zealand, here in New South Wales, in Victoria and in Western Australia. And we distribute a combination of medical consumables, vaccines and pharmaceuticals to those partners. So together, the Symbion & Healthcare Distribution division delivers strong cash generation today with clear growth pathways beyond wholesale.

A central theme in this division is the DC renewal program. As Alistair noted earlier, FY '26 marks the completion of our major investment phase. And a key driver for these investments is productivity improvement. And in the case of Kemps Creek, we are looking to unlock a 30% increase in productivity.

But we've also invested to increase much needed capacity to ensure we can grow into the future. The investments we've recently made are generational investments with useful lives of around 15 years. So we are now well set for the future.

So we've now invested in new Symbion DCs in Melbourne, Brisbane and Kemps Creek here in Sydney. For ProPharma in New Zealand, we no longer had capacity to grow in our old facility and therefore, invested in a new facility in Auckland, and that's also enabled us to then consolidate other facilities into that one.

In contract logistics, we have new DCs in Sydney and Auckland. And in a very short space of time, we'll have another in Perth. In medical consumables, we have enabled our future growth with larger brownfield facilities in both Sydney and Melbourne. And in Onelink New Zealand, we were at capacity, and we have, therefore, invested in a new site in Auckland.

So these investments have set up our network with capacity and also productivity headroom for many years ahead. And from here, the focus shifts for us from utilization -- sorry, shifts to utilization, I should say, and operating leverage with further -- which, of course, further supports profitability.

So to drill down on this slide to a couple of examples. On the left, I've called out Symbion Kemps Creek facility, which services pharmacies and hospitals in our largest state here in New South Wales. This facility was needed because we had outgrown our old site at Greystanes, and we needed more room to expand.

The new site also includes a major uplift in automation to materially reduce labor intensity and travel time. And despite having only gone live, as Adam mentioned, at this site around 5 months ago, as you can see on the graph here, we've already delivered an 11% increase in productivity from FY '25 to '26, and we expect this to compound further into '27. In fact, we're looking in -- to finish FY '27 with a 30% increase compared to Greystanes.

For those of you that will be lucky enough to visit the site today, be sure to ask the team to point out some of the world-class automation that we have there, like the A frames, the automated storage, also known as the QB system. And we've got good support systems there and an automated dispatch system. Other than the A frames, those other systems are new for us in Sydney, and they will drive the increased productivity we are targeting.

And it's the combination of these technologies that means Kemps Creek is the most advanced of its type in Australia and I think close to the most advanced in the world. And the team will also show you when you're there, how we use spiral conveyors, and we supply mezzanine floors and utilize shaper systems. So it's those solutions that mean that we can reduce the required footprint and therefore, incur less lease costs compared to other options in the market.

We're also proud of the green credentials at Kemps Creek. And on the tour, you'll see the biodiesel generators when you get off the bus with the solar panel charge batteries next to the generators and the connection to the local green grid. You won't be able to see, however, the impressive solar array, which is up on the roof, but I do have a photo of that later in the deck. So as you can tell, I'm extremely proud of this Kemps Creek investment and really pleased with the improvements the team have already made there.

Turning to the right of this slide and drilling down into healthcare logistics. For those not familiar with healthcare logistics or HCL, as we call it as well, think of it as the precursor to the Symbion wholesale business. Healthcare logistics operates at the start of the value chain, and it provides contract logistics services to manufacturers. Our manufacturer partners store their product with us, and we then supply that product on to wholesale facilities. Now that's not just Symbion, but all wholesalers in the industry.

So on the graph on the right, those vertical bars reflect the capacity in HCL's Australian distribution centers in terms of available pallets. And the line graph then indicates the utilization of these pallets inside the facilities.

In June '23, you can see we're at the optimum capacity of around 95% in our loan Sydney DC. And I say that's optimal because a logistics business like this, it always needs some flex for room to cope with the peak times. And in 2023, HCL at Pemulwuy was pretty much full. It had gone live in May 2018 and reached full capacity after 5 years.

We then opened our new Eastern Creek facility in November '23. And as you can see on that line graph, the utilization dropped to around 55% in June '24 when the new pallet capacity was added from the new site. Since then, existing customers have grown and we've won new customers, and that's quickly increased the utilization of the new Eastern Creek site.

The investments in HCL facilities prior to contract wins are necessary because pharmaceutical manufacturers won't hand their vital products to us in the hope we'll have storage available for them later on. What they want, they visit our facilities, they audit us, and most importantly, they like to cite the exact position and the pallet, the areas where the pallets will be where they're going to store their products.

So since going live, Eastern Creek facility is already around 70% utilized with significant runway for further growth still available. So I think as investors, you can feel confident that we have a proven track record of investing in new facilities at the right time.

The next phase of the HCL rollout is Perth, which is on track for completion this financial year. And with this new facility, which is smaller than the Sydney DCs, our utilization will initially fall, but the Perth site is a really important one for us because we think it will materially expand our national capability in the eyes of manufacturers.

Given the distance of -- from here to the other side of Australia, it is the preference of many manufacturers to store their West Coast demand in Perth whilst the remainder is here in Sydney. And without a Perth presence, it meant we actually missed out on those tenders that required a local Western Australian capability.

So our expectation now is that this new site will provide us access to those tenders, which we previously couldn't win. And that, therefore, should further expand opportunities for our contract logistics business.

So I hope that gives investors some background on the 2 facilities, Symbion's Kemps Creek and HCL's Eastern Creek that we'll be proud to take you around later today.

On the next slide, we turn back to pharmacy wholesaling. Now ahead of time, this is a heavy slide. There's a bit to cover on here, so bear with me, but I do think it's important to take you through the dynamics around the industry funding.

On this slide, I'll take you through the impact of 3 important elements. Firstly, the impact of higher valued medicines on our gross operating revenue or GOR. Secondly, the advent of diabetes and weight loss products, also known as GLP-1s. And these 2 items are covered on the left-hand side of the graph. And then thirdly, the new government funding in Australia that ensures a more sustainable wholesaling sector in the future. And I cover this on the right-hand side of the slide.

As Adam referenced earlier, volumes in the wholesaling sector continue to be supported by aging demographics and an increasing consumption of medicines by patients. But it's increasingly important -- there's an increasingly important driver, and that is innovation and mix rather than just pure volume growth.

So with the increase in more complex medicines, there's an increasing number of higher-value medicines. And this is highlighted by the top line of the graph on the left. You can see the value of medicines there priced at $720 and greater is growing at a CAGR of 11% versus the total PBS at approximately 7%.

So as the mix moves towards these higher-value therapies, we see our reported GOR percentage decline. And this dynamic is more pronounced for us because of our hospital wholesaling operations. However, the absolute GOR dollars and EBITDA dollars we make increases. And that's because high-value medicines generate greater dollar returns per line and drive better utilization of an increasingly fixed and automated asset base.

In other words, margin dilution is real, but return dilution is not. And this matters because the economics of wholesale distribution are increasingly driven by absolute dollars per line and returns on fixed assets rather than the headline percentage margins.

The second line on the graph plots the growth of GLP-1 therapies reimbursed under the PBS. And please note that, therefore, excludes those prescriptions issued privately outside the PBS. As the graph shows, we've benefited from a 49% CAGR for those products since FY '22, and there's further upside to come.

And we're confident of that further upside based on a comparison of GLP-1 consumption in Australia versus the U.S. These numbers aren't on the slides, but if we look at this comparison, just under 2% of Australians are currently consuming GLP-1s, and that's compared with 10% of the U.S. population. So that implies multiyear growth runway for Australia even before considering the fact that there are oral formulations that are coming out, we think, around Feb next year.

And we expect broader adoption of GLP-1s once an oral form of the drug is available because those that dislike an injection formulation are likely to have no such concerns with an oral formulation.

The third dynamic I referenced was that alongside the mix shift, wholesale economics are involving under the first wholesale agreement or the 1PWA. And for those of you that aren't aware, our Australian pharmacy wholesaling funding is secured via 2 sources. One is by a regulated maximum markup we're allowed to charge pharmacists. And the second is via an allocation from the CSO, the community service obligation pool or CSO pool.

Under the CSO arrangements, we have paid funds directly from the government in accordance with the proportionate share of PBS units sold each month. And these funds are available to wholesalers who meet certain service standards and requirements, such as meeting minimum percentage of sales to -- of low-volume products or a minimum threshold of sales to rural and remote pharmacies.

Effective in a few months' time, in fact on 1 July '26, the markup wholesalers are allowed to apply to PBS medicines will change. The general markup is going to fall from 7.52% to 4.3%. The margin floor will decline from $0.41 to $0.24, but the margin ceiling for high-value medicines increases materially from $54 to $223. And that's an important point given that high-value mix that we just discussed.

The net impact of the changes to our markup and hence GOR when assessed alone is actually a reduction in the funds we received via that regulated markup. The reduction, however, is largely offset by an increase in the CSO pool.

And in addition to that, there is a separate increase in the CSO pool of approximately another $78 million. And that injection of funds is designed to cover the cost of distributing Section 100 medicines, which in shorter more specialized drugs. And so for the first time, CSO distributors will be required under the CSO to now meet the standards for Section 100 products, similarly to what we've had to do in the past for Section 85 PBS medicines. So the increase in CSO will also be allocated as it is today on the units that are distributed.

So to summarize, under the new framework from 1 July, the CSO pool increases to offset a reduction in the margin. And then there's another increase in the CSO of $78 million to assist us in delivering Section 100 medicines. And that will be again allocated based on the market share of units distributed.

I should also highlight that the CSO pool will now be indexed each year, and that provides a structural underpinning that has been absent in previous agreements. And that's an important win, particularly beneficial in the current circumstances we now find ourselves in.

So what are the key takeouts of all of that? Well, taken together, the combination of high-value medicines, improved funding mechanics, the rising utilization of our assets all supports more resilient wholesale economics. And while headline margin percentages are structurally lower, absolute earnings, cash generation and returns on assets are protected and in many cases improved, particularly for scaled operators like EBOS.

To the next slide, and I think it is important to acknowledge that competition in pharmacy wholesaling in Australia is elevated right now. I've been around a little while. And whilst pharmacy wholesaling has always been competitive, this competition has increased over the past 12 months. And I personally think it's substantially linked to CW's move to Sigma.

The market has been through periods of rebalancing before, including when we won the CW contract. And ultimately, the market stabilized after that. And I think we're undergoing that rebalancing again right now post CW's move back to Sigma. But that contract is now embedded there. So we do not expect major long-term viability again like we are seeing right now.

And from our perspective, we'll continue to manage our business on the basis of stable market share through disciplined cost leadership, a relentless pursuit of productivity supported by the industry funding dynamics. And we are confident we will win in the market through our best-in-class service, our industry-leading relationships and an excellent retail partner in TerryWhite Chemmart and the other brands that we support from a wholesale perspective.

Turning now to a couple of businesses outside pharmacy wholesaling. We've deliberately leveraged the cash engine of wholesale to expand into attractive adjacent markets in contract logistics and medical consumables. And we've done that because they offer higher margin and higher growth opportunities than what we experienced in pharmacy wholesaling.

In contract logistics, the investments in new facility that I've just detailed have over the past 5 years, delivered #1 and #2 positions in New Zealand and Australia, respectively. And there's still upside as utilization increases across our expanded footprints.

Coupled with the fact that if you consider that our share in Australia is in the mid-teens, but over 50% in New Zealand, we feel there is further growth potential in Australia. And we're confident we can draw upon our relationships and experience in New Zealand to continue to grow our Australian business. And importantly, contract logistics, as Alistair referenced, provides ROCE returns above 15%.

In medical consumables, we see opportunities to continue to gain share in the primary care sector, and that's a large fragmented market in both Australia and New Zealand. And our strategy is to continue to pursue selective bolt-on M&A to expand our private label offerings.

These product businesses deliver better margins and greater control over the supply chain. And we have a track record of seamlessly integrating them into our existing infrastructure, into our warehouses, our sales team and our relationships. And in the booths outside, I encourage you to have a chat with the team about examples of the products that we have acquired.

So we feel very positive about the outlook for the Symbion & Healthcare Distribution division. Adam opened this morning by describing EBOS' evolution from a capital-intensive wholesale distributor into a higher growth, higher return care portfolio. This division has played a central role in funding that evolution and the next chapter for us is clear. Pharmacy wholesaling remains the stable cash engine. It generates strong defensive earnings, and we will continue to drive our cost leadership.

Overall, we'll grow in wholesaling in line with the industry, but the above-market story in this division increasingly sits in contract logistics and in medical consumables where we've built leading positions where margins are higher and where we have significant runway ahead.

And sorry, before I move off this slide, on the left is a photo of Kemps Creek. And on the roof, you can see that solar array that I referenced earlier.

So in summary, in Symbion & Healthcare Distribution, we will win business through service -- sorry, our service quality and our deep relationships. We will drive high utilization across our renewed DC network. We'll continue our relentless focus on productivity and cost discipline. We will benefit from aging demographics and GLP-1 volume growth. We will see improving economics from revised government funding arrangements. We'll expand into higher growth and higher-margin opportunities in contract logistics and medical consumables, all whilst remaining disciplined in our use of working capital and capital employment.

So thank you. That's all from me. Thanks for your interest in our business. It is appreciated, and I look forward to catching up on the tours this afternoon. I'll be at our Symbion Kemps Creek site. So I look forward to seeing you all there.

I believe we're now having a break. So we've got 30 minutes. So please feel free to go and grab a coffee, have a chat with the Symbion teams around the booths, and I encourage you to take as much home to your family or to the office as you can fit in your bags. We don't want to take anything home. So if you don't -- if you don't get around to the booth now, there is time at the end of the Q&A later on.

So if you wouldn't mind being back here in 30 minutes, which -- what have we got? So that's about 25 -- yes, about 10:20 if you don't mind. And Nick will then take you through the Retail Pharmacy Brands division. Thank you.

[Break]

Good morning, everyone. My name is Nick Munroe, and I'm the Chief Executive Officer of our Retail Pharmacy Brands division or RPB. I really do hope you enjoyed that glimpse into the TerryWhite Chemmart brand.

This video highlights some of the services and capabilities within Australia's leading health services-focused pharmacy network. Now earlier today, you heard Adam describing partnership is creating differentiated relationships where value is created for both sides and where EBOS is rewarded with above-market growth as a result. That is the RPB model, in a sentence.

At its core, RPB is a capital-light retail platform that aggregates pharmacy demand and earns a return on that scale through advertising and merchandising arrangements with suppliers. We add value to our franchisees by creating pharmacy propositions that customers love and by driving that performance across our 780-plus pharmacies. We add value to our supplier partners by understanding and aggregating customer buying behavior and making it easier for them to reach targeted potential customers at scale.

Importantly, we do this without owning pharmacies. Instead, we partner with Australia's most trusted independent pharmacy owners to improve their economics and at the same time, generating higher quality reoccurring earnings for EBOS. This model is highly aligned with our Symbion and healthcare distribution business that Brett just covered, and it extends our role across the full pharmacy value chain.

Now in the time I've got today, I want to cover 4 things. Firstly, what is RPB and how it delivers returns for EBOS. Second, why the market we operate in is structurally attractive. Third, how the platform compounds value through scale, data and through loyalty. And fourth, why this underpins the long-term investment strategy for the group.

RPB operates across 2 mutually reinforcing businesses, our Pharmacy Brands and our pharmacy services. Our Pharmacy Brands business brings together a growing network of 782 pharmacies across 3 banners: TerryWhite Chemmart, our newly acquired MediADVICE network and our value-focused brand, Cincotta.

We've scaled the RPB network by offering franchisees a compelling customer-led health services proposition that combines strong consumer brands, dedicated commercial support and scalable digital infrastructure to help grow their businesses. As we continue to expand the network, we're also focused on strengthening its quality through digitally enabled consumer loyalty, scalable health programs and services that support franchise productivity and performance.

Importantly, RPB is fundamentally a marketing and media platform that commercializes participation, scale and consumer demand across a large pharmacy network rather than relying on pharmacy ownership or franchise income alone. Complementing our retail brands is our retail services portfolio. This includes Minfos, Intellipharm, Zest and Pharmacy Brands Australia.

EBOS retail services engages with both pharmacies and pharma partners, providing products and services designed to improve pharmacy productivity and deliver better commercial outcomes for both our pharmacy and pharma partners. Our retail services businesses are not simply support functions. They form an integrated stack that allows us to capture demand, generate high-quality first-party health data, and convert that into reoccurring scalable revenue streams beyond pharmacy transactions themselves.

As a division, Retail Pharmacy Brands creates a powerful ecosystem. Our services provide a point of entry, while our branded network allows us to deepen engagement, support franchisee success and continue to grow the network. Our advantage comes from deeply embedded relationships, a strong understanding of pharmacy workflows and an ability to deliver practical solutions that improve performance for our partners.

As I mentioned before, Retail Pharmacy Brands operates within a structurally attractive sector, supported by 3 key tailwinds. First, pharmacy scope of practice reform is expanding the role of pharmacists. Over time, we expect to see up to 20 million services annually that could shift into community pharmacy. This increases demand flowing through the network, which we are best positioned to capture, structure and drive earnings through the platform.

Secondly, consumer behavior is shifting towards health, wellness and preventative care with spend outpacing GDP growth. This trend is also increasing engagement, frequency and expanding the value pool beyond just dispensing prescriptions. And third is the PBS funding environment. It remains incredibly supportive with expenditure growing at around 9% per annum, underpinning the volume and stability.

For EBOS, these tailwinds are attractive, not just because of the volume growth, but because they increase the density and the value of the demand flowing through our network. RPB captures that demand and converts it into higher-value revenue streams through loyalty, through data, through media and through services rather than relying on our pharmacy throughput.

Over the past 5 years, Retail Pharmacy Brands has been able to scale its network by delivering compelling economic proposition to independent pharmacy owners. We've added more than 250 pharmacies growing at approximately 10% compound annual growth and well ahead of the broader market.

Today, RPB represents 13% of all Australian pharmacies, and this growth has been driven by pharmacist choice. Pharmacy owners join because the platform improves their competitiveness, improves their customer engagement and their financial performance.

A key driver of that performance is our loyalty and data ecosystem, which now includes 4.3 million, I should say, members across all brands and services. And these members are significantly more valuable.

If I talk about the TerryWhite Chemmart brand for a moment, we see our loyalty customers spending approximately 44% more and visiting around 73% more frequently. This translates directly into improved economics for our pharmacy and pharmacist franchise partners. And importantly, it creates a self-reinforcing compounding growth loop.

Our network growth increases our data scale. This data improves targeting and engagement, and this engagement then use pharmacy performance. And this improved performance attracts more pharmacies into the model. As this cycle compounds, our ability to monetize demand through supplier investment through retail media and through own brands then increases disproportionately. And for EBOS, this delivers revenue growth, reoccurring revenue and improving the quality of those earnings.

We are also making strong tangible progress on scaling TWC Connect, our health-powered retail media platform. TWC Connect is differentiated by where we sit in the healthcare journey. As a pharmacy-led network, we operate at the point of care, combining first-party transactional data with health and clinical interactions.

This allows us to offer supplier partners highly targeted, measurable engagement that goes well beyond traditional retail media. And as you saw in the video, we are materially expanding our in-store screens, our in-store digital screens across the network.

Today, our digital screens are rolling out across the TerryWhite Chemmart network with more screens scheduled over the next few months. This significantly extends our ability to engage customers at moments with high health intent directly within the pharmacy environment. We are seeing clear performance signals from these assets, and these results reinforce our confidence in screens as an effective and scalable component of the TWC Connect ecosystem.

An impactful example of the use of screens in first-party data was a 6-week promotion we ran with one of our top-tier suppliers earlier this year. This exclusive promotion prioritized high-value shoppers with an offer to win a share of 1 million rewards plus points.

This campaign resulted in growth of over 7x the last 12-month average for that supplier. And importantly, nearly 50% of purchases came from new members with 15% then repurchasing within the period. To top it off, this campaign is now a finalist for best use of retail media at the 2026 Mumbrella Awards.

Now while TerryWhite Chemmart is leading the way as a group with retail media, we have structured our retail media business to enable us to scale across our retail brands of MediADVICE and Cincotta as they grow their presence within the market. As such, our data assets, reporting, media sales and asset development can all be scaled across our 3 retail brands.

As the network grows and as services adoption increases, the depth and quality of that data improves, which in turn increases the value of TWC Connect, creating a further high-margin scalable revenue stream for the group.

Now to go deeper into one of the significant tailwinds I mentioned earlier, the expansion of pharmacist scope of practice is a key structural shift in Australian healthcare that has significant scale opportunities. Expanding pharmacist scope of practice improves patient access, it strengthens community pharmacy as a sustainable healthcare platform, and it relieves pressure on an overstretched healthcare system. It's all about using the clinical workforce we already have more effectively.

Now while all pharmacies can participate, the success of the outcome will depend on scale, infrastructure, clinical governance, digital capability and most importantly, a trusted brand. And this is where our platform provides a clear advantage.

Across our network, we are embedding clinical services infrastructure, digital booking and workflow systems, data capture and reporting capability and governance frameworks required to scale delivery. Combined, this supports the TerryWhite Chemmart pharmacist being the experts in care.

This structure is now in place for TerryWhite Chemmart, who as a brand is leading with more than 570 pharmacies operating in a care clinic and 27% of all pharmacist practitioners nationally being part of the TWC network. And we've got 2 of the first and finest standing in the back of the room today, who you can see at the care clinic booth in the next break.

And this means that the TerryWhite Chemmart is best placed within the industry to lead this shift. What I want to highlight today, though, is not just the leadership of TerryWhite Chemmart, but the ability to extend this capability across our broader retail brands of MediADVICE and Cincotta, and to provide services to non-branded pharmacies who want to operate in this space.

Now from an economic perspective, expanded services are delivering new customer acquisition with 2 in 3 customers being new to the pharmacies, increased spend per visit and improved retention and frequency to the network. This increases the overall demand, which in turn enhances the value of our data, our loyalty and our media assets.

Now for EBOS, this represents high-quality growth that has expanded beyond dispensing and retail sales into services while strengthening the compounding effect of our retail brands ecosystem.

Our strategy for Retail Pharmacy Brands is clear. We will continue to grow our scale, quality and capability of our network, which in turn will improve the division's earnings and quality. What we're focused on is expanded our branded pharmacies and connecting non-branded pharmacies to the platform across all segments, scaling clinical and professional services, leveraging our digital ecosystem to increase customer lifetime value and growing higher-margin revenue streams, including retail media and owned brands.

And as we execute this strategy, we expect to deliver mid- to high single-digit EBITDA growth, margin expansion improvements by a continued and focused mix shift towards data, media and services, and increasingly reoccurring capital-light earnings. Retail Pharmacy Brands is a strategic priority for EBOS with strong returns, clear competitive advantage, cross-division interoperability and a scalable growth pathway. RPB will be Australia's leading care network.

Now as I wrap up, I want to reinforce that Retail Pharmacy Brands extends EBOS' leadership in community pharmacy into a high-performing, data-enabled demand-driven platform. It combines network scale, first-party health data and integrated services to create a model that drives franchisee performance, improves returns for EBOS and is difficult for our competitors to replicate.

Adam described this morning how EBOS is evolving towards a higher growth, higher return business. And RPB is exactly that: capital-light, increasingly reoccurring and with clear margin expansion ahead of it. And that's why we're investing in it for the long term.

I'd like to really thank you all very much for attending today. I look forward to catching up in the booths and on the tour later on. But I'm now going to pass over to my colleague, Kris, Chief Executive Officer of our Retail Medical -- I'll start that again, Medical Technology Division. Kris, over to you.

Picture this, it's 1983, Northern England. An 11-year-old boy has just had a terrible accident on his BMX bike. He breaks his fibula, his tibia and his foot is 180 degrees off angle, treated through the NHS and bedridden for 6 weeks after multiple operations. He has had a leg length discrepancy of 3.5 centimeters, but he recovers.

He's strong in athletics, a marathon runner as well as completing a number of Ironman races. Fast forward. He is now 44 and his injuries catch up with him. He now experiences knee injuries from his body's compensation of his leg injuries. He has a tibial distraction. He's leg lengthened, using an external fixation system where he can't walk for 9 months and he has in excess of 100% risk of infection.

He starts trail running as it's less impact than Ironman racing on road. He completes a 50, 100 and then a 100 miler, 162 kilometers. He experiences worsening ankle pain from the arthritis as a result of his injuries. He has an ankle fusion, so he can keep doing what he loves, running.

Today, after 11 operations over the course of his life, he's able to run and keep active when he was once told he wouldn't be able to run again. This person is my husband, and I've experienced it firsthand, as I'm sure many of you here today have as well, how accidents and injuries affect people and their families throughout their life.

The leg lengthening and ankle fusion were performed with one of our clinical team members guiding the surgeons on clinical use of the products that EBOS MedTech provide in market. If you've been to the MedTech stand outside, you'll see the model of the external fixation system that was used for his leg lengthening operation.

Good morning. I'm Kris James, the CEO of our Medical Technology division or EBOS MedTech as we call it. The video introduction has hopefully given you a glimpse into the important role we play in the healthcare landscape. For over 45 years, we have built our businesses, which now extend across 10 countries and include over 1,500 dedicated and passionate employees.

What binds this business is our united purpose of creating life-changing medical solutions that improve the outcomes for the patients in the markets that we serve. Adam opened this morning by saying our purpose is connecting people, pets, communities to outstanding care anywhere.

In MedTech, we deliver on that purpose in its most literal sense. We are in the operating room, in the cath lab, working alongside surgeons and healthcare practitioners to ensure our customers and their patients have access to those life-changing medical solutions. This is what care looks like in MedTech.

Since the $1 billion-plus EBOS acquisition of the LifeHealthcare Group of companies in 2022, MedTech has grown to be a meaningful and increasingly important contributor to the group. We are now EBOS' highest growth division and a key driver of portfolio quality improvement, supporting the group's deliberate evolution towards high-growth, high-margin segments. We also have an established and scaled presence in Southeast Asia and Hong Kong, which is an enabler not only for our division's growth, but also for the rest of the group.

Our medical technology distribution businesses is fundamentally people-led and clinically embedded. Our focus is on surgical and interventional therapies as well as clinical aesthetics. We serve surgeons and interventionalists, predominantly in the operating room, the cath lab and bunker as well as aesthetics clinics. Just to be clear, a hospital bunker is a specially constructed room designed for cancer radiation therapy. It's not one you'll find on the battlefield.

Our distribution businesses stand out from other players in the space because we are focused in the therapy areas we are present, providing deep clinical knowledge and support. We provide solutions for the entire procedure tailored to the needs of the markets that we serve. We also have longstanding trusted relationships with surgeons.

Finally, we have developed a scalable way of supporting these procedures that enables new technologies and programmatic acquisitions, rapid access to commercialization and expansion in market.

Our biologics business is a complementary capability. We develop and process allograft tissue using differentiated technology that leverage our distribution businesses and relationships to accelerate market access. For those that might not know, an allograft biologic is a human tissue processed and transplanted from a donor to a recipient.

It is used then to help repair, replace or reconstruct damaged tissue or bone. It is used in a number of therapy areas, including spine, orthopedics and plastics, among other applications for indications such as bone fusion, bone void, wound management, tissue and tendon repair.

The combination of product innovation as well as channel access is what makes our MedTech platform particularly powerful. Importantly, the division has a proven ability to not only scale organically, but through programmatic acquisitions, whilst maintaining strict capital discipline and delivering attractive returns to the group.

MedTech sits at the center of a fragmented ecosystem of suppliers, clinicians and care settings. We add value as we connect different parts of this ecosystem to ensure that patients across the region have access to those life-changing medical solutions.

Our scale and breadth make us an attractive channel partner for growth for global suppliers looking for reliable, compliant access to global markets. At the same time, our broad supplier relationships give clinicians access to a curated portfolio of technologies that meet evolving clinical needs. The solutions we offer encompass advanced technologies that meet the needs of our customers, specialty clinicians across the therapy areas we serve.

Our customers trust that we will provide access to the latest innovative technology, have deep therapy expertise and be able to provide both clinical and professional education and support. We do all of those things, and we do them really well. And this has earned us the reputation in market as a leading distributor in medical technology solutions for surgical intervention and interventional therapies across Asia Pacific.

Through our role as a full-service distribution provider across the region, we focus exclusively on understanding local customer needs and tailoring solutions to meet those needs. To explain further, we are not a 3PL. We are not a 4PL. We provide a full service distribution model designed to support our supply partners and customers at every stage.

From product sourcing, regulatory compliance, market access through to product education, specialist clinical-facing staff, training and aftersales support, including service and engineering, we're more than just a distributor. We are a partner that delivers end-to-end solutions that reduces friction, saves time, provides greater market coverage and ultimately delivers better patient outcomes.

Our ability to curate a portfolio of products across the entire therapy area means that we are a partner of choice for specialty clinicians in each therapy area we are present. Our cardiovascular business is a great example of this, where we offer a comprehensive portfolio across our 7 markets in Southeast Asia and Hong Kong across interventional, structural heart, thoracic, all the way through to heart failure and transplant solutions. This local focused distribution model has scaled across Asia Pacific and has potential for reach.

Our allograft biologics businesses use differentiated technology to be at the forefront of product development. This makes Australian Biotechnologies or OZ Bio as we call it, the solution of choice for Australia and New Zealand as well as a growing allograft manufacturing presence in the U.S. via our Origin Biologics business.

The medical technology market is exposed to structural growth tailwinds. Aging populations across the region is increasing the demand for the solutions that we provide. This is especially true in Southeast Asia, where a growing middle class and increasing spend on healthcare support a positive market outlook. Rising reimbursement rates and increased procedure penetration make the region an attractive focus area for growth. Our presence across Southeast Asia and Hong Kong positions us to participate in that growth in a measured and disciplined way.

Finally, demand for biologics and advanced tissue solutions is growing globally, driven by innovation and clinical adoption. This is an area where MedTech is a market leader in Australia and New Zealand and is scaling its presence in the U.S.

We have deliberately built leadership positions in these therapy areas that require deep surgeon engagement and complex portfolio needs, ensuring we have a defensible business where we are considered trusted partners for both our supply partners and customers.

In spine, our portfolio curation, clinical education and embedded surgical relationships have driven a sustained #1 position across Australia and New Zealand via our LifeHealthcare business. We have continued to win in spine through providing a comprehensive offering across deformity, degeneration, trauma and oncology, including enabling technologies of imaging, navigation and robotics, implant hardware and biologics.

Come and see Rowan, Rachel and myself at the MedTech brief, and you'll see some of our differentiated technology, including the 7D spine navigation system. We partner with spine suppliers to provide full global reach of peer-to-peer education for our surgeon customers and provide opportunities for them to provide -- to participate in global product design programs.

We have the largest sales and clinical support channel with more than 65 representatives in Australia and New Zealand, and the leading young clinician education program, educating in excess of 20 young clinicians per annum.

We also have a preeminent education offering, including industry-leading flagship events such as Deformity Down Under in its 15th year and have scaled this across Southeast Asia and Hong Kong with the introduction of Deformity Down Under ASEAN in its fourth year and being held in Vietnam for 2026.

We are replicating this success in spine through our TransMedic business, where we have a rapidly growing spine offering with a presence in 6 of our 7 Southeast Asia and Hong Kong markets.

I also talked earlier about the success of the acquisition of Pacific Surgical. Swissmed also demonstrates the power of our programmatic M&A, where we carefully identify and build relationships with distribution businesses that complement either our existing therapy areas, infill existing geographies or expand into new therapy areas.

Swissmed enabled us to establish a presence in a new therapy area, ophthalmology, that needs our existing platform to grow our position. Since acquisition, we've utilized our infrastructure and scale in Southeast Asia and Hong Kong to develop a comprehensive ophthalmology offering.

We now have 13 more ophthalmology supply partners than we did at the time of acquisition. We've extended our coverage into additional markets, and our offering now covers all 7 markets where TransMedic operates. We cover all surgical ophthalmology segments, including cataract, cornea and refractive, glaucoma and dry eye, and have plans to extend our leadership position further.

On the far right of this slide, we love all of our examples, though I'm especially proud of this one. Through Oz Bio, we developed a differentiated acellular dermal matrix, ADM, derived from human skin to provide structural support, enhanced tissue regeneration and accelerate healing in applications such as breast reconstruction post mastectomy.

Our ADM is a hydration stage that reduces contamination risk, utilizes processing techniques that enable a deeper cleanse of the tissue and is provided in a meshed option that allows implants to be easily wrapped. This innovative product development alongside our channel to market and relationships through our LifeHealthcare plastics and reconstruction channel has enabled scale growth in this new solution. We've reached greater than 25% market share since launching in April 2025 and growing. All of these examples highlight how growth in MedTech is earned. It's not speculative.

The table on this slide represents our presence and relative coverage in therapy areas across surgical intervention and interventional therapies. We have a presence in more than 20 therapy areas across Asia Pacific in the 9 markets we serve, offering a scaled platform for our supplier partners and a portfolio of solutions that meets the needs of our customers backed up with a full-service distribution model and deep clinical knowledge.

As we look to expand into new therapy areas, we must deeply understand the trends and dynamics that are growth drivers in market. For example, oncology convergence to treatment across patient journey and disease state, rather than siloed by procedure. We must focus on next-generation technology that will shape the future of the therapy area, sufficiently to enter with scale and ideally with a foundation partner if organic growth. A good example of this is our partnership with HistoSonics in interventional oncology.

And finally, we must develop relationships in industry so we can acquire established distributors in the therapy areas where we can drive growth, utilizing our knowledge and infrastructure. An expanded presence in existing geographies through the infill of existing therapy areas improves our offering to our customers. At the same time, our competency, market positioning and geographical coverage provide our supply partners with a turnkey solution for channel to growth and market access across the region. While our MedTech division is opportunity-rich, our strategy is focused.

In distribution, we only play in attractive segments. We use our relationships and expertise to extend our competitive advantage in each market. And we stay at the forefront of MedTech innovation. In Biologics Solutions, we are expanding our biologics offering through new product development and scaling our U.S. operations.

MedTech has a clear pathway to sustained organic growth with an additional upside from programmatic M&A, which we have a strong history of delivering. Our margins will continue to grow as we hone our growth platform and fill in our therapy area portfolio. Our division is one of EBOS' highest capital priority, reflecting high growth and margin nature of our business and our track record of value creation since joining the group 4 years ago.

In summary, I'd like to you to leave today with 4 key messages related to MedTech. First, we are a leading medtech distribution partner across Asia Pacific with leading positions in a number of therapy areas. Second, structural tailwinds across Australia and New Zealand and Southeast Asia, Hong Kong are fueling sustained demand for care. Third, our business is therapy area led with leading biologic solutions. And fourth, we are EBOS Group's highest growth division and a high capital priority.

We're really passionate about the business that we've built, and we're really excited about what future we have and the opportunities ahead of us. Thank you for your time.

I'm now going to pass over to Grant, our CEO of Animal Care.

Good morning, everyone. My name is Grant Viney. I'm the Chief Executive Officer of our Animal Care division. You've just seen a glimpse into our Pet Care Kitchen facility at Parkes. This is one of our 4 manufacturing sites that we operate across ANZ. It's a key strategic asset for the division.

You've already heard from Brett, Nick and Kris detailing the wonderful businesses. I'm commencing this presentation, I do so in the knowledge that I get up every day with the purpose of helping consumers to be the best pet parents that they can be. Whether this is a $200 bag of food catering for main meal needs, a $10 bag of treats for training or reward, or a cold chain distributed vaccine for a puppy, beginning its lifetime journey with its new family, EBOS Animal Care has a high-quality and accessible offer. Our EBOS purpose is one of the best reasons to come to work every day for me and the entire Animal Care team.

Animal Care holds a unique position in the EBOS ecosystem, combining premium branded growth with a capital-efficient wholesale cash engine. Our portfolio includes veterinary wholesale and vertical offerings in the branded pet food value chain.

Adam spoke about 3 themes that bind the EBOS portfolio together: care, productivity and partnership. In Animal Care, you can see all 3 at work; care, because we operate in a market where pets are increasingly treated as family members and fit accordingly; productivity, because our owned manufacturing footprint has given us the scale to improve output by 19% since FY '22; and partnership, because our network of breeders, retail staff and vet clinics gives us a recommendation engine that drives our brands to grow faster than the market.

On the branded side, we operate across specialty retail and grocery with our core offerings in pet food and treats. This is led by our Hero Brands that Australians and New Zealanders know and trust, Black Hawk and VitaPet. Crucially, these brands are supported by our 4 owned manufacturing facilities and our long-term contract supply agreements, which gives us the ability to control quality and manage costs and positions our brands favorably with the consumer as an affordable premium option.

Our in-house manufacturing also allows us to evolve quickly with consumer preferences and drive strong innovation-led growth. Our veterinary wholesale segment operates through Lyppard in Australia and SVS in New Zealand. We serve approximately 3,500 vet clinics and are the clear #1 vet wholesaler in ANZ.

This leadership position is underpinned by deep supplier relationships, national scale and highly efficient warehouse and logistics networks. These advantages allow us to deliver reliably to vet while maintaining strong cost discipline.

Over time, we have developed long-standing relationships across the market. We deal directly with 1 in every 3 registered breeders in ANZ and conduct thousands of retail staff training sessions. This has created a platform of thousands of breeders, retail staff and key influencers who recommend our products every day.

As a small lighthearted note, we'll be sharing some product samples with you today that you can take home to your pets to enjoy or under the strict supervision of our R&D team, you're most welcome to try them yourselves. So hopefully, you'll get a practical sense of why these brands resonate so strongly with pet owners.

There are 3 structural trends I'll highlight today that I believe position Animal Care very well for the medium term. COVID provided to be a pet ownership boom in Australia as consumers chose to bring joy into their households at an uncertain time. These COVID puppies are now approaching 6 years of age. This is a key life cycle stage where specific care needs will emerge.

In veterinary wholesale, the treatment needs of these pets will increase across the next 7 to 8 years as age-related conditions emerge and consumers seek to treat their family member with the same care they dedicate to themselves, if not even better care.

Health regimes established in early life through, for example, vaccination schedules begin to expand as conditions such as arthritis and various skin ailments emerge. This results in 2 phenomena. Firstly, more regular visits to the vet. And secondly, new treatment regimes are required to assist with these conditions on an ongoing basis.

Our branded businesses portfolio is also well positioned to deal with these life cycle changes. The Black Hawk Healthy Benefits range has been developed and launched from our Parkes facility in 2023. In a segment previously dominated by science brands, Black Hawk now offers a naturally formulated range to cater for conditions such as weight management, dental and skin conditions, providing loyal Black Hawk consumers the opportunity to remain with their trusted brand and provide the daily nutritional benefits to dogs with specific needs.

Humanization in pet care is an enduring global megatrend. Since the '70s, pets have moved progressively from being permanently in the backyard to holding a position more regularly in the family living spaces, then into the family Christmas photo, inside the house more permanently, and in many instances, now onto or into the bed.

In days gone by, it's almost certain that pets were outside during meal times. They would never have been fed at the dining room table. Indeed, scraps from the table would most likely have been tossed out into the yard.

Feeding has also changed. Many people in the room would have grown up with canned dog cake as being the staple in the '70s and '80s. Generally, this was typified by advertising campaigns, resembling a gelatinous meat loaf carved like a Sunday roast dinner. This moved to the grocery kibble era and now to premium specialty options, nutritionally and scientifically balanced.

Our investment in Parkes has ensured stability of supply, containment of costs and agility where we release new products to cater for the depth and breadth of range required to service main meal feeding needs. Additionally, to these main meal trends, high-protein air-dried, freeze-dried, fresh and chilled formats have emerged as people feed more intimately. This includes the trend of more hand feeding, particularly in emerging markets.

Animal Care through the Kiwi Kitchens and next-generation acquisition is rapidly expanding in these high-growth, high-value subcategories. The Kiwi Kitchens brand was acquired in March 2025 to lead our entry into international markets. Phase 1 of this is complete with our relaunch into California by our partners, Pet Food Express. And within 5 weeks of launch, we held the #1 position in the air-dried category in their sector, and our freeze-dried offer has returned to the rate of sales that was achieved prior to acquisition.

As the way we live continues to change, feline ownership is emerging as a structural growth trend, driven by urbanization, smaller households and changing lifestyles. We are well positioned to benefit from this shift. Our supply chain and manufacturing capability allows us to efficiently develop and launch high-quality cat-specific products across multiple formats, leveraging existing brands and infrastructure.

As a result, we're scaling our feline portfolio and are on track to become the clear #3 player across ANZ with meaningful upside as this category continues to expand. Importantly, these trends are not cyclical. They are embedded changes in consumer and veterinary behavior.

Our scale matters in Animal Care, particularly in vet wholesale. We're the #1 vet wholesaler in ANZ operating 9 facilities that serve approximately 3,500 clinics. Despite increasing corporatization in the vet market, we've continued to grow clinics served at around 7% per annum. This speaks to the strength of our service and logistics reliability.

On the branded side, our manufacturing footprint provides both efficiency and flexibility. As volumes grow, utilization improves and supports margin stability. At the same time, owning the manufacturing process allows us to move faster on innovation and manage supply risks more effectively than competitors who rely entirely on third-party suppliers. Together, this scale underpins reliable earnings today and supports improving returns over time.

Innovation and new product development are central to our growth strategy in Animal Care. Our Black Hawk dog kibble range holds plus 20% market share across ANZ specialty by value and higher by volume, representing an important benchmark of any subcategory that we enter.

We have a disciplined approach to brand building. Our product launches are carefully crafted, ensuring brand relevance within the serviceable addressable market and our enduring target of plus 20% market share of any subcategory that we enter within 5 years of launch. We have over 12 years of deep and bespoke consumer insight and research, allowing our decisions to be made with a strong understanding of our permission to play, consumer behaviors and mutual benefit for Animal Care and our customer base.

Our launch investment targets the high level of the consumer funnel, these being awareness and consideration to purchase. Our trial rate after launch is consistently plus 5% in the first 6 months with repeat purchase commencing in the second phase from 6 to 18 months. This is coupled with additional trial with second phase awareness communications allowing for ongoing acquisition and loyalty generation up to our benchmark share of 20%.

Our consumer loyalty is a key strength as consumers move from awareness to consideration and purchase with Black Hawk continuing to index strongly versus our competitors in the preference and recommendation dimensions. The generation of this word-of-mouth recommendation, typified by the phrase, I see Black Hawk and So Should You, is the highest influencing impact for consumers and is a force multiplier of our marketing communications.

Three of our recently released NPD products are shown here on the chart, further demonstrating the success of our brand and the processes we follow to have maximum chance of long-term success. Additional to the 3 shown here in the case study, our air-dried and freeze-dried offers have achieved greater than 5% share after 6 months in market, capitalizing on the opportunity for Black Hawk in these high-growth, high-value segments.

What's important for investors is that innovation is not just about population growth. It's also about mix and margin. New formats and benefit-led products carry higher value per unit and support brand differentiation across both specialty and grocery channels. This reinforces the premium positioning of our brands while broadening the customer base.

Our strategy in Animal Care is deliberately balanced. In vet wholesale, the focus is on service-led leadership, serving more clinics, improving supply efficiency and continuing to optimize our network as volumes grow. In brands, our priorities are to maximize the ANZ core through innovation and utilization of our manufacturing assets, expand into attractive new formats and selectively extend successful brands into international markets where we can extract attractive returns.

I spoke earlier about the successful relaunch of Kiwi Kitchens into California. We expect to grow our footprint in this market by 20% annually through targeting select retail partners and capitalizing on the unique selling proposition that New Zealand Providence offers.

In Asia, the serviceable addressable markets in Korea and Japan are attractive entry points for both Kiwi Kitchens and Black Hawk, with the opportunity to engage with high-value air and freeze-dried offers across both brands and begin the journey of Black Hawk kibble penetration into this space.

From a financial perspective, we expect to deliver mid to high single digits growth, which is above industry. Our margins remained stable and returns supported by scale, utilization and product innovation. Our capital priority is medium to high, reflecting the attractive return-accretive opportunities available across both branded growth and veterinary wholesale scale. We continue to assess disciplined deployment opportunities, particularly bolt-on investments that strengthen our platform and meet our return thresholds.

Today, I've been thrilled to present our Animal Care business to you. We'll continue to be the leader across veterinary wholesale operating in growth markets and growth segments, underpinning our growth with efficient manufacturing and operations delivering mid to high single-digit growth. But don't just take it from me. Take it from the pet owners of Australia who deeply engage with our brands every single day.

In our household, our 60-kilo Bloodhound Hubert is a constant reminder of why our deep connection to care is so important, and that all of us need help to be the best pet parent we can be. I look forward to engaging with you further on our brands on the stand, and thank you all for taking the time to hear the EBOS and EBOS Animal Care story. And if there's one message I could leave you with, life is better with a pet. So thank you.

Grant, thank you very much. Before I summarize, I just want to bring us back to this slide, because I think it captures what you've heard in the last hour from our experienced divisional leadership team.

Each of our divisional CEOs has walked you through a distinct strategy. Brett's business is productivity-led focused on cost leadership and monetizing our integrated value chain. And Kemps Creek, which you'll see is a great example of this. Nick's focus is store and margin led. It's about growing the network and building higher-margin revenue streams through data, media and owned brands, including through our new MediADVICE banner group.

Kris' is therapy area led, building out the Asia Pacific presence and expanding the biologics offering with each new therapy area adding to and benefiting from our group scale. And Grant's is product-led, scaling Hero Brands through an advantaged manufacturing footprint while delivering service excellence in vet wholesale.

You can also see the shape of the evolution. Pharmacy wholesale sits in selective investment because our investment there is substantially complete. The other 3 divisions, along with contract logistics and medical consumables sit in invest and grow. That is the deliberate shift from a capital-intensive wholesale distributor into a scaled care portfolio in high-growth, higher-return markets.

So with that context, let me leave you with the key messages from today. First, EBOS has strong positions with structural advantages. Around 85% of group EBITDA comes from businesses that are #1 or #2 in their markets. You've heard from those leaders today about why those positions are durable.

Second, our scale care portfolio focused on high-growth, high-return businesses, including, as I've mentioned, Animal Care, Medical Technology and Retail Pharmacy Brands. Together, these account for more than 30% of group EBITDA, and that mix will continue to shift in that direction.

Third, we have clear divisional strategies that underpin the next phase of growth. Each division has a distinct plan, a clear growth outlook and defined capital priorities. In combination, as Alistair said, we expect mid-single-digit organic underlying EBITDA growth, driven by stronger contributions from our higher-growth businesses.

And finally, disciplined value creation. We've delivered around 16% average return on capital deployed from bolt-on acquisitions over the last 5 years, and we continue to build toward our medium-term 15% ROCE target. And with the major investment cycle concluding this year, the next phase is about extracting full value from this portfolio that we've built.

Thank you again for taking the time to join us today and to hear the EBOS value story. We're looking forward to sharing almost all of you our 2 facilities later this afternoon. But now for everyone's favorite part of the day, the Q&A session, we have about 30 minutes. We will need to finish at about 11:45 in order to let people have a quick additional look at the booths and then get everyone down to the buses for the trip this afternoon.

As a result, to give everyone a fair opportunity, please keep it to 1 or perhaps 2 questions per person. If you'd like to ask a question, please raise your hand. John and Cameron at the back will bring a microphone to you. I welcome you to start by introducing yourself with your name and your firm. And then myself or one of the ELT members on stage will be delighted to take your thoughts.

Stephen Ridgewell, Craigs Investment Partners. Just a couple of questions, if I may. Just in terms of the 15% ROCE target where you've delivered in the past, can you give us a sense of when you would be hoping to get back to that level of return at the group level? And can you do that organically or do you need to do some of these bolt-on M&A kind of deals to deliver that?

That's a great question. I'm going to hand it over to Alastair in a moment to talk about the runway. But I think at the beginning, it's probably worth saying that we would assume no fundamental -- major M&A that goes into reaching that target. I think we're quite happy to get there with organic plus bolt-on M&A, which has been the hallmark of how we've delivered over the last 10 years. So I would think a very similar process than what we've had over the last 10 years in terms of growth.

Alastair, what would you like to add to that?

Yes. Look, we've obviously gone through a period of elevated capital investment, which is coming to an end in a couple of months. So what we expect to see as we move forward is the normalization in the capital employed. So we would expect the capital employed base to be broadly stable. And then with the earnings growth, and I think you've hopefully taken away from this presentation, there's a lot of reasons to be confident in that earnings growth as we move forward. We would expect return on capital employed to move over time.

To Adam's point and your question about inorganic and organic, I would expect the majority of that to be led by organic matters. The bolt-on acquisition program that we've been sort of underway with for a number of years, and we would expect to continue as we look forward as accretive to return on capital employed, but most of the heavy lifting will be done by that stable capital base and then earnings growth from here.

And maybe just one more for me, if I may. There's been -- you certainly provided an intent to -- or signaled an intent to continue to do bolt-on M&A, and you've highlighted good returns earlier. I guess just a question though in terms of funding of that. I mean net debt to EBITDA is already towards the top end of the target range. The shares are trading at sort of relatively low levels. If you were to do significant M&A, is equity still an attractive way to fund M&A at these levels? Or what are the hurdles that you're looking to deliver or to cross to consider raising equity?

Yes. I think if I break that down into 2 pieces. First, we have a -- we're at the very tail end of a major capital investment cycle. It's not surprising that our leverage will be at the higher end at the very final months of that process, as Alastair pointed out. The second piece then comes back to the plethora of opportunities that Alastair mentioned that you've heard from the divisional CEOs today. We have a lot in our control right here right now to go after. And you've heard some of those opportunities, whether it be retail media, new product development, some of the new acquisitions in Kristine's area, each of them we've got great runway in front of us.

So I see us continuing to make progress on our return on capital employed target, and I see us able to make progress on that without coming back in the interim for an equity raise at this point. I think as I was commenting to one of the investors at the break, I think our focus in the next 6 to 12 months is absolutely going to be on delivery and executing on the programs that you've heard us talk through. I wouldn't rule out bolt-on M&A, but I think it's fair to say we have a lot in front of us as it stands right now.

Does that address your question, Stephen? Thank you.

John, you have a question over there.

I'm Lyanne Harrison from Bank of America. I've got a question for Nick. And this is around the GLP-1 tailwinds that we've heard about for the last few results. There was obviously a chart in there that's showing quite significant growth, about 49% in terms of PBS numbers. Can you comment on what you're seeing the growth maybe over the last 6 months or so, both on the PBS side as well as the private pay side? And then also can you comment on what your thoughts are around the introduction of oral GLP-1s and what that might do in terms of prices and volume for your business?

Lyanne, Nick will start, but I might ask Brett to comment as well. Also, he has great insight on the GLP-1 market.

Yes, certainly. So on the first chart, what the slide that Brett showed through the wholesale distribution channel, we are certainly seeing significant growth through our retail pharmacy brands as well, being a care and medicine-led business, in particularly the TerryWhite Chemmart business, it has been an area that through our conversations with our pharmacists, we are seeing that growth continue to drive.

In terms of the shift to the solid dose form or the oral form, certainly in the U.S., they are seeing strong uptake over there where it has been introduced and we're expecting that here. There tends to be more of an acceptance of injectable medications in the U.S. than what we have seen in Australia. And so we're certainly expecting to see greater uplift once it does move to oral.

Thank you very much, Nick. Brett, is there anything you'd like to add to that?

Yes, a couple of things. I think in terms of the question around PBS versus non-PBS, so that graph that we had up previously was over a 4, 5 year period, I think. So to your question is about the last 6 months or so. So year-to-date, the PBS is actually flat. It's all coming in non-PBS. So it's about 75% now is in the non-PBS and we're seeing sort of over 50% growth, however, on GLP-1s in total.

And as Nick said, we're not clear, but we're thinking end of the financial year, around then will be the oral dose in Australia. In the U.S., we've seen a 25% drop in the price for those but the volume increase has more than compensated for that price reduction.

So that needle hesitancy, certainly an issue for some consumers to get over the oral form.

Lyanne, is that addressing the question? Okay.

Cam?

Stephen Hudson from Macquarie. Thanks for the presentation, very super useful detail. Just on the retail pharmacy 5% to 9% EBITDA growth, maybe a question for Nick. Can you give us a feel for what bounds those ranges? So what we need to believe to get to the 5% and what do we need to believe to get to the 9%? You've made a case, obviously, for back of store being very, very -- you're well positioned to maintain or grow your share there. But I'm also interested in front of store as well, particularly given, I suppose, one of your competitors has 3x your front of store position.

Thanks, Stephen. Nick, do you want to start off on that one in terms of the front of store, back of store and then Alastair, you might want to comment as well on those boundaries?

Yes. Look, as I've commented a couple of times, we are position ourselves as the medicines experts, as the experts in care. And that differentiated model is what has been one of those real driving factors for the TerryWhite Chemmart network and increasingly in MediADVICE and Cincotta. In saying that, we are a retail business. And hopefully, that came through today with some of the focus areas that we are around -- particularly through digital and particularly through the use of data and media. And being health care professionals that are also retails is an important point for us and an area that we are continuing to focus on the development of our teams within stores, working with our supplier partners and continuing to drive our retail business. So certainly a key focus.

Yes, I mean the only thing I would add about the growth rates as we've historically been able to grow at the top -- towards the top end of that range. And I think there's every reason to believe why we can continue to do so, both from our network expansion and our same-store sales contributing to drive that growth.

So an attractive part of the portfolio.

Absolutely.

[Indiscernible] your history in the market. Within the EBITDA outlook, what sort of level of sort of volume growth versus margin growth with the productivity, maybe across both Australia and New Zealand, given that New Zealand's got the Chemist Warehouse contract still to come?

Yes, I'll let Brett start on that and then I'll probably finish up on the Chemist Warehouse. But you start, Brett, in terms of volume versus productivity contribution.

Yes. We don't go as far as defining the 2 of them. But certainly, there's a mix of both. So if you look at volume growth, we've got the aging demographics, we've got the GLP-1s, we've got the high-value items that are growing quicker than the rest of the PBS. And then on productivity side, we've got a combination of the utilization. So as we use the facilities and utilize them more, and then we've got productivity as well from the automation. So yes, I don't think we put a number publicly on that mix, Adrian.

And Adrian, I know you know this, but just for others in the room. So the contract with Chemist Warehouse Australia came to an end June 30, 2024, but the contract with Chemist Warehouse in New Zealand continues. Chemist Warehouse in New Zealand has a smaller presence proportionately than in Australia. We have previously said that it's a mid-single-digit million EBITDA implication in that contract. And the team, it's very well telegraphed that that contract comes to an end on the 31st of December this year.

Now that contract might be renewed. It may be amended. It may come to an expiry. That is uncertain at this point. However, what is certain is that it's very well telegraphed to the team in New Zealand. They know that they will need to either redeploy that asset space or redefine it if needed or continue if that's what the case is. But we'll keep you posted as we get closer to that date of the 31st of December.

Does that answer your question on that one, Adrian?

Sort of, maybe on the last part. But in terms of like the volume growth in the wholesale, look, would it be fair to assume it's similar to the last 10 years in terms of like if we looked at this growth for [ S-85 ].

With the GLP-1 uplift.

And then just in terms of the -- I guess, the PBS unit share is quite critical for accessing, I guess, the recompetes against the wholesale markdowns and also accessing the top-up for these [ 100 ] pool. Like when you think about the activity that's been going on securing some of those independent pharmacy groups, do you feel like you've kind of got enough of that? And what sort of tenure do you have of those groups that you've won presumably mostly from Sigma to sort of give us a bit of duration on the 29% PBS share?

Do you want to start on that, Brett, and I'll finish up on that.

So the tenure is now average 3 years, I'd say. Most of these contracts are 3 to 5 years. And we have just secured a number of those. So I think we're at an average expiry profile. Last year and next year, there's a relative low level of expiry. A lot of our majors, we've secured over the last couple of years, including Greencross in New Zealand. So we're feeling pretty good about the state of that, Adrian.

And implicit in what Brett just mentioned, the FY '25 year happened to be a battleground year in terms of contract churn. So that's sort of a number of majors come through. The FY '26 year, the FY '27 year, just a little bit of a step down in terms of number of contract turnovers. So I think hopefully, that gives you some comfort on the average tenure there.

Other questions at the back, the handsome gentleman?

Marcus Curley, UBS. Adam, I just wondered at the high level, when you look at this final page, you've got higher than mid-single digit across the last 3 divisions. Within the distribution business, you've got higher funding, you've got efficiency gains, you've got productivity gains. What's the headwind or were you going to call out any headwinds that actually gets you back to mid-single digit for the group? It's just it doesn't necessarily -- it's obvious to me what may be going the other way.

I think we tried to call out -- thanks for the question, Marcus. I think we tried to call out what Brett's focused on in terms of the competition in pharmacy wholesale is meaningful, and it will take a while for those productivity benefits that we've invested in to come through. These are long-lived assets, 15 years. And so to get those really humming, it will take a little while to get the choreography right. So there's still plenty of upside in the productivity. There's still upside in the CSO outlook. But in the meantime, the competition is meaningful in pharmacy wholesale, and we would expect that to continue.

Anything you want to add to that, Brett or Alastair?

No, I don't.

When you talk about competition, how does that impact the profitability? Is that through higher levels of rebates in particular?

Yes. It's a different price provided to the pharmacy first in terms of the discount to lease. And that is why we were just talking with Adrian about the churn. When do you expect those changes to come through? We expect a mild amount in '26 and '27 after quite a large amount of churn in '25 that's still coming through the portfolio.

Right. So we haven't seen in this year's numbers, the full impact of the current pricing of it in the market?

Correct.

And secondly, in the presentation, there was a comment about flat market share in community pharmacy. That did surprise me given we've seen to have quite good revenue growth in that division over the last couple of years. So if it is flat share, we've heard about the wins. What's gone the other way?

I think that one is -- not a dichotomy, excuse me, the difference between the revenue growth and the market share growth. I think that's what Brett was trying to put across with the rise of high-value medicines and GLP-1s. So those have led to an increase in the dollar spend, but the market share has remained the same.

Brett, please feel free to correct me.

Yes. And I'd just add, one group growing ahead of the market. So then when we grow with the market, we're winning share. Does that makes sense?

To hold share...

To hold our market share when there's another group growing ahead of the market, we're actually winning share to maintain our overall share.

[Indiscernible]

No, sorry. I'm referring to our share. So a group outside of us is growing above market. TerryWhite is also growing well. And then we've won more business to maintain our overall share, because of the growth of the other group, if that makes sense.

Another question in the back.

Dan Hurren from MST. Just could we just clarify on the Chemist Warehouse New Zealand contract? Mid-single-digit million EBITDA impact, I think you said. Is that what the business is generating now? Or does that account for the negative leverage from losing a large customer? And I think just our experience with the first contract taught us that there's a difference between what it means taking it away.

I think I was expressing what the impact would be in the sort of 12-month period immediately following the net impact.

I guess it takes into consideration...

Yes, you feel free to describe...

No, that's absolutely right.

Okay, great. And a quick question for Grant. That slide, that extraordinary growth of the new product development. How does that work? Are these new products do they displace legacy products or do those new products create -- take market share? I guess, Martin, is this new product development required to maintain market share? Is that the sort of nature of the business?

So the products that were called out in the presentation, there was the healthy benefits range. There was the puppy wet food and there was the senior range. If we look at Black Hawk, it's a life cycle brand. We take you from the stage of puppy to adult through the final stages of your pet's life. And within that, we also have different need states, different nutritional states.

The way that we've structured that particular portfolio is that if we look at healthy benefits, healthy benefits was a sector that was dominated by science brands. We saw a window where a naturally formulated and our product was able to come into that, and we're seeing that globally. We see that phenomenon in the United States. So we've been able to steal share from a sector that's been traditionally science-based, but also we've retained Black Hawk customers, because as they've approached that life cycle stage previously, they've had to move into, say, a science brand rather than being able to stay with their existing repertoire. So in that instance, we've stolen share from the competitive set.

If we look at wet puppy, puppy, very, very particular feeding occasion, probably the most important in terms of generating new customers but also lifetime loyalty. If we look at the advent of that product, we hadn't had access to manufacturing. We didn't have a partner to be able to do that. So we're missing out on a chunk of the puppy market because we simply didn't have an offer. So again, seeing that window, finding a partner, bringing that to market and then working all of these products towards that ambient share of plus 20% is how we will enter and grow.

So on each occasion, we have taken something that wasn't there before. We haven't eaten into our own portfolio in doing so. We very specifically target areas where we know that we can get a meaningful chunk. And that chunk is also worthy of either investment in capital to support it or long-term partnerships with third-party suppliers to ensure that we can enter and grow and get to where we need to on the basis of our history.

So Dan, I know this is sort of an adjacent to your question. But Grant, if I recall correctly, our market share in Black Hawk in the half just gone that we reported on, we actually grew market share slightly faster than the market because other people were trading out of the premium diets into the affordable premium Black Hawk model. Does that -- do I recall that correctly?

That's right. The 2 key metrics for us is in puppy. So how many puppies are we acquiring into the brand. We've grown share in puppy successively for 3 years in a row, led by volume and value across Australia and New Zealand. So our pipeline of adult dogs is very strong. We have also seen some transitioning into Black Hawk at the adult life cycle stage. And that's because Black Hawk launched as an affordable premium brand. We've maintained that position. And if we go back to when the brand came into the MasterPet portfolio, we told consumers that anyone can afford to feed good food, and that's where we've stuck to. And we've very much stuck to our philosophy of nothing artificial, everything natural. And the piece around Parkes and the food bowl, we source almost everything from within 200 kilometers of that facility, and that allows us to stay very true to our brand promise.

I think what you're hearing from that answer in the prior answer is, again, this reference to the ongoing nondiscretionary demand growth across all of the portfolio. And I think that's what underpins and gives us confidence in the divisional strategies.

I think Cam, certainly one more. One more question from the room. Yes, thank you, at the front.

Laura Sutcliffe, Citigroup. Two questions on your Animal Care business, if I can, please. Firstly, it seems to be going well. Would you be interested in acquiring the other half of the JV that you have if that opportunity arises?

I think it's fair to say that we think about our strengths in brand positioning, brand entry, consumer engagement and products as well as manufacturing. So I see our greatest synergy opportunities are probably more upstream than downstream. So you heard us talk about being empowered with new manufacturing capability to bring in new formats. That, I think, is a much more synergistic opportunity for us rather than going downstream.

And then second question, you talked about kind of how you capture pets into the Black Hawk brand, for example. How much free sampling do you do? Because you partner with quite a substantial portion of breeders, and I think they give away quite a substantial amount of food.

They don't give away a lot of food. We do circa 30,000 puppy packs a year across Australia and New Zealand. And the 1 kilo bag that goes into that pack will be the equivalent of somewhere around the first 7 to 8 feeds that a puppy will receive. So it's not an enormous amount. The one thing I will say is that once the consumer begins feeding and if the puppy is happy and healthy and particularly satisfying the dimension, my dog likes it, very rare that they'll transition away from it. So whilst the distribution of the puppy packs is disproportionately high in terms of gaining trial, the lifetime value of what we achieve, it's a drop in the ocean in comparison.

And Grant also tells me that when you change a dog's diet, it is an awkward process.

It can be disastrous if people don't do it correctly, yes.

Okay. On that celebratory note, why don't we take a break and let you interact again with the booths outside.

Cameron, could you just remind us what time you need people downstairs in entering buses?

So quarter past if you could be downstairs, the buses will start rolling at 20 past. We would love for you to be on the bus, but the buses will roll. And thank you again for the time with us today. Thank you.

Thank you for standing by, and welcome to the EBOS Group Limited Fiscal Year '26 Half Year Results Conference Call. [Operator Instructions] I must advise you that this conference is being recorded today, the 25th of February 2026.

I would now like to hand the call over to your first speaker today, Mr. Martin Krauskopf, Chief Strategy and Corporate Development Officer, EBOS Group. Please go ahead, Martin.

Good morning, everyone, and thank you for your attendance today. My name is Martin Krauskopf, Chief Strategy and Corporate Development Officer. I'm joined today by Adam Hall, our Group CEO; and Alistair Gray, our Group CFO.

Before commencing, I'd like to draw your attention to the disclaimer on Page 2 of the presentation. The results are expressed in Australian dollars, unless otherwise noted, and the presentation refers to both statutory and underlying results. The commentary this morning is predominantly based on our underlying results, and a reconciliation is included in the appendix.

I'll now hand over to Adam to take you through today's presentation.

Thank you, Martin. I'm pleased to walk you through EBOS Group's half year '26 results and the momentum we're building for FY '27 and beyond.

I have three key themes I want to focus on today. First, our FY '26 guidance is reaffirmed. We said at the start of the year that we expected cost stabilization through the first half, and that's exactly what we're seeing. The group underlying EBITDA increased to $300 million, consistent with the guidance range we set and 48% of the midpoint of the reaffirmed FY '26 guidance range.

Within that, Healthcare EBITDA was up 1.3% to $254 million, driven by strong revenue growth and disciplined cost management, even with mix pressure from continued growth in high-value medicines and the DC renewal program. Animal Care EBITDA grew 15.1% to $68 million, reflecting branded strength in new product innovation as well as the contribution from recent acquisitions.

Second, we've maintained our disciplined approach to capital allocation. The DC renewal program is progressing to plan. Kemps Creek is our largest and most complex site in the program. We're pleased it's now fully operational and performing well with productivity continuing to ramp up.

The remaining Perth, HCL and Auckland Onelink sites are on track to come online in the coming months. Our balance sheet remains strong with leverage within our target range. With our current capital cycle coming to an end, leverage is expected to reduce in FY '27 as EBITDA is expected to grow and CapEx steps down by about 30%.

We also deployed $70 million in the half in bolt-on acquisitions, strengthening medical technology and expanding our pharmacy reach with our majority investment in the MediAdvice pharmacy franchise. We're pleased with the early trading results on each of these as well as their future prospects.

And finally, my third and last focus area this morning is that we remain well positioned for FY '27 and beyond. Our revenue momentum continues through network growth, innovation and regional expansion. Our margin outlook is positive, driven by the productivity uplift as the new DCs reach steady state, ongoing new products and these synergistic acquisitions.

From FY '27 with peak investment behind us, cash flow is expected to improve. As I said, CapEx is expected to be around 30% lower and D&A and interest normalizing on a more stable asset base, we create the headroom to both delever and reinvest for growth.

Let me turn to Slide 4 and bring the numbers together for you at a glance. As I touched on earlier, our FY '26 EBITDA guidance of $615 million to $635 million remains unchanged. I'll step through the detail on the next couple of slides. Our revenue grew 13% to $6.8 billion in the half, reflecting continued momentum across Healthcare and Animal Care. We're seeing strong volume growth, sustained customer demand and contributions from the investments we've made.

Underlying EBITDA increased $300 million, up 3.2% and underlying NPAT was $125 million, down slightly as expected given the DC capital renewal program and the timing factors we've called out. At the statutory level, NPAT was also $125 million, which is up 13%. Our leverage sits at 2.2x within our target range. This remains a comfortable position for us, especially as we reach the end of the current capital cycle and as I said, CapEx steps down next year.

Underlying EPS came in at $0.614, reflecting the transitional impact of our current investment. And we're pleased that the Board has maintained the interim dividend at NZD 0.57, consistent with last year and supported by the underlying strength of our business. Finally, ROCE is 12.9%, impacted by the important investment in DC renewal program and driving ROCE remains a key priority for the entire team with a long-term target of 15%.

Now let me turn to the operational performance behind those numbers on Slide 5. Community Pharmacy had pleasing revenue growth, driven by demand for GLP-1s and high-value medicines. Retail pharmacy brands continue to expand the network and enhance in-store experience with more digital screens, more in-store care delivery and healthy same-store trends.

In Institutional Healthcare, we continue to broaden our offering of medicines and consumables, adding the latest high-value medicines and supporting ongoing growth across hospitals and specialist care. Medical Technology also had another strong half, supporting more than 4,000 spinal cases across ANZ, expanding into new therapy areas and delivering strong growth in biologics through new solutions launched as well as our expanded platform.

Our Contracts Logistics business delivered excellent growth was up double digits, supported by new principal wins in both Australia and New Zealand and the progressive uplift in capability and capacity from the DC renewal program, including further cold chain storage.

And finally, Animal Care again showed why it's such an important part of the group. Branded products performed well, particularly Black Hawk, VitaPet and our Chunky Dog Roll in New Zealand, which was supported by new product development and compelling customer propositions. In Vet Wholesale, we continue to see share gains and solid progress integrating SVS, which is tracking as planned.

Let me now speak to our guidance and how the half positions us for the full year on Slide 6. As I've mentioned a few times now, underlying EBITDA for the half was $300 million, and we remain on track for delivery of the full year guidance of $615 million to $635 million. Underlying D&A came in at $67 million, which is in line with our expectations, and it reflects the investments that I've referred to.

Net finance costs were $58 million, and our expectation is that we'll finish the year at the very top end of the guided range, reflecting the higher Australian cash rate, plus $1 million to $2 million of additional funding costs associated with bringing new M&A into the fold. Our effective tax rate was 27.5% and in line. CapEx was $70 million for the half, and our full year view on CapEx is unchanged for the initial scope.

The only adjustment this year is a workplace health and safety uplift to harmonize our approach to push through risk across our warehouse fleet. Bringing this together, all guidance metrics are marked as on track, and that's how we feel about the year. We've stabilized costs in the first half. We're seeing utilization improve, and we're reinforcing the operational momentum we need to deliver the full year result.

If I look ahead to the next half and to 2027, I can summarize it on Slide 7. Starting on the left, the second half of FY '26 is very much about growth acceleration. We'll annualize the impact of the acquisitions we completed in the first half, and we expect ongoing growth in GLP-1s and high-value medicines.

Retail Pharmacy Brands is expected to keep expanding the network, and we're seeing more momentum in contract logistics with new principal wins. On margin, we're expecting continued productivity uplift as our new DCs ramp up and come online. Kemps Creek, in particular, is already showing productivity gains, and our customers are excited for the new Perth HCL facility to come online. We're also benefiting from growth in higher-margin businesses like Medical Technology, which have now fully integrated the Pacific Surgical and MLex acquisitions made last year.

Interest D&A growth remains elevated in the second half as the current capital renewal cycle comes to an end. From a cash perspective, we're just a few months away from completing the peak investment phase in the next half. Working capital cadence should also begin to normalize as the transition activities ease. So for the second half specifically, we remain comfortable with the underlying EBITDA outcome of $315 million to $335 million.

Now the second column on this slide is about the ongoing growth momentum and improved cash flows. Revenue growth remains a key priority for the business. And the call-outs here are sets of our divisional strategies, which I'll expand upon later as well as forming the basis of our upcoming Investor Day. Margin improvement should continue through FY '27 as the DC network reaches steady state. This means better throughput, lower labor intensity and more efficient logistics. We're also expecting to see mix and CSO uplift benefits in Community Pharmacy, supported by disciplined commercial execution.

On the P&L, we are also expecting that FY '27 marks the point where D&A and interest begin to normalize. The heavy capital lifting is done, and we'll be operating on a more stable asset base. CapEx reduces by roughly 30%. That's a major shift and a key driver of improved cash flow. Together with EBITDA growth, this supports deleveraging and gives us the capacity to reinvest in high-return opportunities in a disciplined way.

Let's move now into the Healthcare segment on Slide 9, which delivered another solid and disciplined half. Revenue was up 11.1% and GOR grew 7.3%, which is a pleasing result, reflecting new customer growth, ongoing demand for GLP-1 and high-value medicines, expansion across retail pharmacy brands, continued growth in medical technology and contributions from the acquisitions we completed last year.

On margins, high-value medicines continue to accelerate. This is -- there is a slide in the appendix that lays out the rapid rise in this category. Due to the higher revenue associated with high-value medicines, there's an arithmetic decline in GOR percentage margin, but in an absolute sense, we gained GOR dollars. There's also been ongoing competition in community pharmacy through the half. These margin headwinds were partly offset by continued strength in medical technology and in the TWC network. A real highlight in the half was cost discipline.

OpEx increased with volume. But importantly, OpEx as a percentage of revenue was flat with PCP and improved by 30 bps compared to the second half of FY '25. This is a pleasing result given we're still in the ramp-up phase of the major facility at Kemps Creek.

EBITDA increased 1.3% to $254 million. That reflects a very solid top line performance balanced against the temporary commissioning costs and competitive dynamics in Community Pharmacy. As we move through FY '27, we're expecting the FY '26 cost impacts to unwind and the productivity picture to strengthen.

Let's move into Community Pharmacy detail on Slide 10. Here, revenue grew 14.8% and GOR increased 7.5%. This was driven primarily by sustained demand for GLP-1s, which continue to -- and high-value medicines, which continue to reshape volume and mix across the sector. The corollary of the demand growth for these medicines is that core margin was lower, declining 60 basis points.

When we set our FY '26 guidance, we were clear that competition in the pharmacy wholesale market was likely to remain elevated. What's pleasing is that we've also retained key customer contracts in what is a competitive landscape. That reflects Symbion's service, the reliability of our network and the service levels the team delivers. So despite the competitive settings, the fundamentals in the business remain solid, and we feel well positioned ahead of the CSO uplift, which is just a few months away.

Turning now to Retail Pharmacy brands on Slide 11. This was another standout performer in the half. The network continues to grow and same-store performance remains strong. Across the TerryWhite Chemmart network, sales reached $1.5 billion. That's up 9.8% on the prior half. What's particularly pleasing is the like-for-like growth of 8.8%, showing that existing stores are performing strongly and consistently. There are other pharmacy networks with other value propositions, but it's clearly that the TWC care focused proposition is one that customers love.

Dispensary sales were a real highlight, up 11.5% with like-for-like growth of 10.4%. This is a very strong signal of customer trust, pharmacist engagement and the strength of our care-focused model.

During the half, we also acquired a majority interest in MediAdvice, a pharmacy management group with around 80 pharmacies in New South Wales. They are a terrific set of pharmacists, who have a similar set of values to TWC. We bring them enhanced expertise in merchandising, in-store and out-of-store media. We're pleased that one additional store joined post-acquisition as well in Tasmania. I should add those 80 pharmacies are predominantly in New South Wales.

When you add everything together, our retail pharmacy networks now include 782 stores, and we grew by 89 net new stores in the half. A big part of what differentiates us is our role in community care. TerryWhite Chemmart delivered a 20% growth in flu vaccinations and now has 104 pharmacist prescribers across the network. That represents about 1/3 of all full scope pharmacist prescribers in Australia. It's an important capability for us, and it continues to grow.

Our Consumer brands also had a very good half. The range now includes over 300 products, and our value-focused offering continues to resonate strongly with customers, especially as households look for dependable, high-quality options.

On the digital side, we're seeing great traction. The TWC Connect, Retail Media program ramped up significantly with 200 new screens installed across 100 pharmacies, and our digital engagement continues to grow. We saw 817,000 online transactions in the half, up about 39% over the prior comparable period. Overall, retail pharmacy brands continues to be a real strength at EBOS.

Let's turn now to Institutional Healthcare on Slide 12, which delivered a solid result for the half. Here, revenue grew 3.4% to just over $2.2 billion, with GOR up 5.8% Core margin expanded 30 basis points to 15.6%, reflecting the growth in Medical Technology. And in Medical Technology, revenue was up 12.1%, supported by sustained momentum across spine and implant channels, urology, neurosurgery and neurovascular procedures. And acquisitions played a strategic role, which I'll talk about shortly.

We also saw resilient demand for capital equipment in ANZ, even as some markets in Southeast Asia saw softer capital sales. Biologics continued to grow well. Our allograft solutions have seen strong organic demand, and we're now building momentum in the United States through the Origin platform.

On the medicines and consumables side, revenue grew 2% with high-value hospital medicines contributing positively, offset by softer conditions in consumables during the half. This is what we've been seeing across the sector and aligns with our expectations. We've also continued to strengthen the division through selective acquisitions. AlphaXRT expanded our presence in radiation oncology and Precision Surgical deepened our spine offering in the New South Wales Central Coast region. Together with organic growth, these bolt-ons broaden our footprint and enhance the clinical capability that we bring to surgeons and patients.

Let's turn next to Contract Logistics on Slide 13, which delivered a very strong performance for the half. Here, GOR grew 13.5%, reflecting strong principal wins across both Australia and New Zealand. This is a business where our investment in infrastructure and systems is really showing up in customer outcomes. We're demonstrating reliability, speed, temperature control and healthcare-specific compliance, which are all differentiators for us.

In Australia, GOR was up 26.3%, driven by meaningful net new principal wins, a further expansion of our cold chain storage, which remains a critical capability and ongoing investment in our DC footprint and systems.

In New Zealand, we also had a very strong half. We also secured new principal wins supported by the capabilities we've built into the network, including our unique temperature-controlled unloading facility, which continues to resonate with customers.

Let's now turn to Animal Care on Slide 15, which delivered another strong half and continues to be one of the group's most exciting growth engines. Here, revenue was up 48.3% to $451 million, reflecting the combination of strong branded performance and the contribution from SVS. Even if we strip out SVS, revenue grew 5.5%, which shows the underlying momentum in the portfolio.

On the branded side, revenue grew 5.8%, supported by successful new product development, including the new Black Hawk freeze-dried and air-dried ranges, which are performing ahead of expectations. Black Hawk and VitaPet both continue to gain incremental shares, and we're seeing good traction across multiple channels. Our dog roll categories also performed well, led by the Chunky brand as our consumers are looking to feed their dog quality, nutritious, affordable food.

Wholesale revenue doubled in the half and GOR grew by 17% as we integrated SVS, and we're also seeing share growth across the part. SVS is performing as expected. It's added scale to our portfolio and strengthened our offer to veterinary customers. It's worth noting that this acquisition has changed the margin profile of the Animal Care business, limiting the direct comparability to H1 of '25. EBITDA grew 15.1% to $68 million, supported by acquisitions, those share gains and innovative new product development, which is enhanced by our in-house manufacturing capabilities.

I'm now going to hand over to the EBOS CFO, Alistair Gray, to talk through the financials in more detail.

Thank you, Adam. I'll now take you through the group financials for the half. Group revenue increased 13% to $6.8 billion, and GOR increased 8.6% to $868 million. This reflects continued strong organic growth across both Healthcare and Animal Care as well as the positive contribution from acquisitions.

Underlying operating expenditure was well controlled and increased in line with higher volumes with some impact from transition activities. As a percentage of revenue, OpEx improved by 30 basis points compared to H2 FY '25 and 10 basis points compared to H1 FY '25. Underlying EBITDA increased 3.2% to $300 million, with both Healthcare and Animal Care delivering solid growth.

Depreciation and amortization increased to $67 million. This is consistent with guidance and reflects the capital investment in the DC renewal program, which I will return to shortly. Net finance costs increased to $58 million with higher lease interest and funding costs associated with the DC renewal program.

Underlying NPAT was $125 million compared with $131 million in the prior period, in line with expectations and reflective of transitional impacts. Statutory NPAT, however, increased 13% due to a reduction in net nonrecurring costs compared to last year.

Now turning to capital management on Slide 18. Overall, our capital position remains strong with significant liquidity available. Capital allocation continues to be disciplined, aligned to our growth strategy and with a focus on opportunities to improve return on capital employed. I will talk to each of these key elements on the following slides.

As mentioned, the group balance sheet and liquidity remains strong with approximately $930 million of undrawn committed bank facilities and ample covenant headroom. The leverage ratio was 2.2x, which remains within our target range and is consistent with the investment in the DC renewal program.

In FY '27, as CapEx falls and with the anticipated growth in earnings, we would expect leverage to reduce. During the period, we also successfully refinanced part of our debt facilities, extending the weighted average maturity to 3.3 years.

Now turning to cash flow on Slide 20. Net working capital continued to be tightly managed, increasing by $84 million in the period, broadly in line with the strong growth in revenue with some impact from DC transition activities, which are expected to moderate in the second half.

Cash flow in the half is lower than is typical due to prior period one-offs. This impact is temporary in nature with cash flows in the second half expected to revert to normal levels. Capital expenditure was $70 million, in line with previous guidance. This is expected to reduce by circa 30% in FY '27 on conclusion of the DC renewal program.

Now turning to the DC renewal program on Slide 21. As previously shared, the DC renewal program will deliver capacity expansion, automation efficiencies and improved national coverage. Moreover, as the sites reach steady state, we expect to see reductions in duplication, improved throughput and lower labor costs.

In terms of program status, 6 of the 8 distribution centers have now been completed with the largest and most complex site, Kemps Creek, operational from October. This site was delivered both on time and on budget and is performing in line with expectations. The remaining 2 sites are on track to be operational by the end of FY '26 with optimization work expected to continue into the first half of FY '27.

In summary, the DC renewal program is nearing completion with the focus shifting from successfully commissioning the assets to optimizing productivity and maximizing utilization.

I'll now provide an update on our organic investments. Consistent with our strategy, acquisitions continue to deliver value for the group. During the half, we completed several transactions, all aligned to our core segments and growth priorities, strengthening our presence across Medical Technology, Animal Care and Retail Pharmacy Management.

Collectively, these accounted for upfront payments of approximately $70 million with each transaction expected to be EPS accretive immediately and will support ROCE expansion in the medium term. The acquisition pipeline remains active, and we will continue to apply a disciplined approach to any future investments.

Now turning to Slide 23. Reflecting the Board's confidence in the future growth prospects of the group, the Board have declared an interim dividend of NZD 0.57 per share. This represents an underlying payout ratio of 82% and will be imputed to 25% for New Zealand tax resident shareholders and fully franked for Australian tax resident shareholders. The group's dividend reinvestment plan, which has been strongly supported by shareholders previously, will be available for the FY '26 interim dividend. Shareholders can elect to take shares in lieu of dividends at a discount of 2% to the volume-weighted average share price.

I will now hand back to Adam to conclude today's presentation.

Thanks, Alistair. On Slide 25, we lay out some perspectives, both for the remainder of FY '26 and as we move into FY '27 and beyond. In the near term, our focus is clear. We've reaffirmed our EBITDA guidance for the year, and we expect further improvement in the second half as productivity lifts and utilization continues to build in the new DCs. The final stages of the DC renewal program are progressing well and each site and as each site reaches steady state, we benefit from better throughput, lower duplication and improved reliability.

Looking further ahead, we have strong sector dynamics and aligned digital strategies that support, firstly, a more efficient, high reliability Healthcare distribution network; second, continued network expansion and margin opportunities in retail pharmacy brands; third, a growing portfolio in medical technology across ANZ and Southeast Asia as well as new allograft solutions coming to market. And finally, a scaled, branded manufacturing-based animal care business that's positioned to keep delivering.

Our margin outlook from FY '27 is positive. That reflects three things: First, improved productivity as the DCs reach steady state, increased utilization across the network and a favorable margin mix from our businesses. A key milestone for us is that FY '26 represents the peak of the current investment cycle. From FY '27, as I've mentioned, CapEx will reduce by around 30%. D&A and interest will begin to normalize, and we expect a much stronger conversion of earnings to cash. That, in turn, creates real headroom. That allows us in turn to delever, to keep investing prudently and support shareholder returns over time. When we bring it all together, the picture is clear.

EBITDA -- excuse me, EBOS remains a defensive growth company, supported by long-term sector fundamentals, a diversified portfolio and a terrific set of growth opportunities. We're focused on care, productivity and partnerships that underpin our role across the Healthcare and Animal Care ecosystem, and all of this drives strong and sustainable returns for shareholders.

If I could finally bring together the strategic foundations on Slide 26 that support our medium- and long-term growth outlook. It's a good reminder that the momentum that we're seeing isn't accidental. It's driven by the favorable sector dynamics and deliberate strategies for each of our key divisions.

Across our markets, we continue to benefit from favorable sector dynamics that are both durable and broad-based. We're seeing populations aging, increased pharmaceutical and medical spend and greater complexity in Healthcare that requires reliable, specialist partnerships.

In Animal Care, the trends are equally supportive. Pet ownership remains high and the humanization of pet care continues to drive growth in premium nutrition and specialist supply chains. And importantly, funding frameworks in Healthcare remain stable, providing a solid demand backdrop. Each division is tightly aligned to these sector trends and is executing a clear strategy to capture the opportunities they create.

In Symbion & Healthcare Distribution, the focus is being on a highly efficient cost leader. In Retail Pharmacy brands, our strategy is to grow and enhance the network while steadily improving margin.

In Medical Technology, the strategy is to keep building out our ANZ and Southeast Asia presence across priority therapy areas while strengthening our differentiated biologics offering. And in Animal Care, we're scaling our hero brands across Australia, New Zealand and Asia while expanding our manufacturing footprint and accelerating our presence in vet wholesale.

We're looking forward to unpacking each of these strategies for you in detail at our Investor Day on the 30th of April as well as the critical role of the corporate center. The key message here is that we're operating in sectors with long-term momentum, and our strategies are tightly aligned to capture that growth. This makes EBOS well positioned for the years ahead.

I thank you all very much for listening this morning. I'll now hand back to the operator to open up the line for questions.

[Operator Instructions] Our first question comes from the line of Matt Montgomerie with Forsyth Barr.

Just checking, you can hear me okay?

We can hear you loud and clear, Matt.

Perfect. Maybe just first one for you, Alistair, around the EBITDA in the first half. And I note, I think on Slide 32, 33, there's $20 million of restructuring and site transition costs that have been added back to EBITDA versus $10 million in the first half of last year. So I guess my follow-up to that is twofold. One, I guess, what do these costs actually relate to? And then secondly, to what extent should -- are these factored into the second half and the guidance that was reiterated this morning?

Yes. Thank you for the question, Matt. And I believe you're talking about the one-off costs. So at a total level, we had a one-off gain in the period of $2 million. Within that, there was a few elements. The restructuring and site transition costs you referenced, they have increased from $10 million in the prior period to $20 million this year. And these really reflect the continued delivery of the DC renewal program and in particular, the largest of the DCs, which were delivered in the period of Kemps Creek. As we look forward, we would expect some reduction in the second half post completion of the Kemps Creek transition, then we would expect them to materially reduce from FY '27 and conclusion of the DC renewal program.

Yes. Okay. So they mainly relate to sites transitioning presumably on the back of Chemist Warehouse contract change, et cetera, as opposed to out and out restructuring?

They relate to the DC renewal program. That's right, Matt. So it relates to the site closing and opening. So for example, with Kemps Creek, we have make good costs associated with the exit of the existing site and costs associated with the setup of the new site. So that's absolutely right. That's what they relate to.

Cool. And then just one more on recent trading. I sort of appreciate the slide that you've given around second half and then into '27, which is more qualitative in nature. I was just wondering if you could comment maybe a bit more quantitatively, Adam, in terms of I guess, the step-up in growth that's going from circa 3% at the EBITDA line to around 10% at the midpoint of your guidance. Like is there anything you can call out December, January, February? And then specifically, I guess, the margin profile within that, which does assume a reasonable step-up in Healthcare margins from the first half?

Yes. I really appreciate the way there, Matt. You've referred to Slide #7 and the second half of 2026 in the left-hand column. That's where we've tried to lay out why we're so confident in reaffirming full year guidance of $615 million to $635 million. We acknowledge that it is a step-up H1 to H2. But we do get the benefit of the Kemps Creek facility for a full half and productivity continues to ramp week by week there.

We also get the benefit of the full half of the -- the acquisitions that we made late in the half just gone. We also start to see a continued support from the high-margin businesses like EMT and Animal Care, including the recent freeze-dried, air-dried treat launch in Black Hawk, which has gone very well.

And then finally, we continue to be heartened by the level of cost discipline and cross-divisional opportunities in the business. We're seeing again and again the different EBOS divisions able to cooperate in order to get a better outcome in operating their warehouses.

Our next question comes from the line of Adrian Allbon with Jarden.

Just within Community Pharmacy, I was just wondering, can you give us an update like in terms of -- like do you have any -- I think in the second half of '25, you had a decent amount of sort of repricing activity that you undertook. Have you got any major groups that are repricing, I guess, or have repriced in the first half and are due to reprice in the second half, like including the TerryWhite Group stores?

Yes. Thank you very much for the question. We signaled at the full year results that we had seen FY '25 have a surprisingly high or disproportionately high number of recontracts in FY '25.

In the first half of '26, the contrast has been true. We've seen a fewer number of recontracting. Competition has continued, but our market share has been stable. There's been some wins and losses around that, but it's been stable and there's no major changes in H1 of '26, and we would see that continuing through the second half of '26.

Importantly, what I think we are looking forward to is, of course, what I think you were alluding to, the 1st of July when the CSO uplift kicks in. So that's a pool margin of $78.6 million that's available to the pharmacy wholesalers. -- split on their share of PBS units, which our share is about 29%.

Okay. Just related to that one is what's the strategy for this new group in New South Wales? Is it -- do you leave in a stand-alone sort of banner? Or are you going to shift them to TerryWhite?

That's a great question. So MediAdvice is a terrific banner that has sort of -- and the pharmacists have a very similar set of values to the TerryWhite system, but they are also probably a little more independent in how they relate to their communities. The opportunity between the 2 groups is really interesting. We're able to bring merchandise expertise such as deals with suppliers. We're able to bring in-store merchandising like end caps, out store marketing such as retail media. And so that's a real synergistic opportunity for the 2 groups to work together. I don't think that we'll change the -- we're not going to convert those pharmacies, but rather think of it as an additional care-focused offering in our portfolio to the community.

Okay. That's helpful. Just maybe the next question just for Alistair. In terms of the Healthcare segment, the noncore OpEx, which I think was $490 in the first half, and that was like a major -- it was a surprise factor, I guess, for us in the second half of '25. Like are you able to isolate or help us isolate what sort of productivity improvements you are expecting like on a 12-month view in that sort of number? Like is it that you sort of avoid -- you offset inflationary type stuff? Or do you expect the number to go down? Or are you expecting -- just give us a sense of what that looks like?

Yes. Certainly, Adrian. I mean, as we touched on through the presentation, OpEx continues to be tightly managed and as a percentage of revenue has improved in the period. What we are still seeing is some impact from transition activities and our fairly typical level of inflation. The improvements period-on-period are somewhat related to the phasing of the transition activities, and we still think that -- or we believe that the productivity improvements are still to come by and large.

So we would expect to see them continue to improve through the second half of this year and then continue into FY '27. So our focus very much shifts from deploying the assets and commissioning the assets to optimization. And as I said, we expect to reach steady state through FY '27.

Okay. And just -- I mean just for Albina. Am I still there?

You're still on, Adrian. I think I'm confident you might be more than 2, but why don't you finish off?

I just have this one in terms of like maybe as a percentage of sales is the right way to think about that cost bucket, would you -- there was obviously a reasonable time series of it sort of in the low 7s and then it jumped to 8 at the second half '25. Are you -- like should we expect that to sort of moderate down into the low 7s in terms of that OpEx bucket as you hit this productivity and you move to a more steady state kind of environment?

All I can say at this point, Adrian, is we're coming to the end of the DC renewal investment period. There is a material uplift in productivity that is expected as an outcome of that program, and we'll no doubt more to say on that as we move forward.

Our next question comes from the line of Stephen Hudson with Macquarie Securities.

Just a couple from me. You've commented there on the changes to the -- or the increase to the cap for high-value medicines from July this year. I know there's some other changes going on in the CSO funding pool and the actual percentage margin as well. It looks quite complex, but I just wondered sort of your overarching view on whether or not that's a meaningful boost to your GOR margin moving into FY '27 for Community Pharmacy?

Yes, that's a terrific question. So as you've just mentioned, on the 1st of July, there will be a series of changes to the different parameters that lie within the funding pool. So for example, as you've just mentioned, the cap on high-value medicines will increase, but some of the tiering of the medicine categories will change and the reimbursement for some of those tiers will also change.

The important thing to take away is mathematically, those parameters should all tread water they should all offset each other with the addition being around the CSO funding pool that I mentioned earlier of $78.6 million. That's the key focus of, if I can call it, new money available to the pharmacy wholesalers. And it's intended by the federal government to do that to reflect the investments that the pharmacy wholesalers have made to support high-value medicines and support the investment in cold chain and Section 100 supply that we've had to make.

Importantly, that $78.6 million is linked to inflation. So that gives us -- or CPI that gives us confidence going forward. So Stephen, I apologize, that was a long explanation, but coming back to the number of your question, the right way to think about the GOR margin impact from CSO is to model out the impact of the $78.6 million into the industry.

That's super helpful. Just a follow-up, if I may, for Alistair. Just on working capital, it looks like inventory sort of built half-on-half by about $100 million. I'm conscious that the investment in your DC network is sort of in the 3PL space. So presumably assets that don't hold your inventory, if you like. Could we expect a sort of a release of working capital into the second half from the sort of elevated levels that we've seen this half?

Yes, it's a great question, Stephen. Thank you. So you're right. Net working capital increased by $84 billion. which was broadly in line with revenue, but there was some impact from transition activities. So net working capital days increased slightly in the period. These are temporary in nature, and we would expect them to unwind in the second half and expect to see an improved net working capital position in the second half versus the first.

Our next question comes from the line of Daniel Hurren with MST.

Look, just looking at pharmacy in particular, our pharmacy revenue 15%, TerryWhite 10%. I was just hoping you could talk to organic growth across the entire organic -- across the entire Community Pharmacy segment. Just trying to understand the acquisition contribution and I guess also the performance of TerryWhite against the broader market. And I guess the background here is Priceline sort of in the -- sorry, in the Wesfarmers Priceline gave some sort of like-for-like. So we're thinking about that as a bit of a benchmark.

Sure. I think we're focused on a slightly different value proposition, which is the care-focused value proposition. You saw that like-for-like store sales 9% and Alistair, I believe it's 11% for the dispensary or might be 10.5% for the dispensary. I think that indicates continued strength in of that TerryWhite positioning on care. Maybe if I could add one point, it would be around myTWC. So we've seen, as we sit here today in February 1 million transactions in the financial year-to-date. And I think what's interesting is we're seeing the number of repeat purchases grow.

So once people start entering the myTWC app, they really enjoy it, they stick with it. They're using it to help manage their care for themselves or their family. So I think that proposition is resonant with the consumer. It's something that I think will continue to yield benefit in the future that as Healthcare gets complex, as we have an aging population, people are going to continue coming to TerryWhite, both online and offline to support their care.

Understood. And just going back to the 15% pharmacy segment, TerryWhite 10. So I mean, what's the acquisition contribution there? I guess we're trying to understand what's your Pharmacy business growing at overall ex acquisitions?

Okay. So the acquisition of MediAdvice in the half, I don't think was a meaningful change in the overall growth rate. That was not a contributor. Otherwise, we would have broken it out. So I think I'm now understanding your question, I'm sorry. The growth rate that you see there, I think that is accurate. You shouldn't necessarily need to adjust that for MediAdvice.

Our next question comes from the line of Stephen Ridgewell with Craig Investment Partners.

First question is just on -- just to follow up on the comments you made, Adam, on the level of price competition in the pharmacy business in response to Adrian's question. I mean just to be clear, did you see any evidence of those price pressures kind of easing as you exited the half and perhaps early into this year, are they about the same? Are the signs are getting better?

And then I suppose, relatedly, is the full impact of those competitive pressures on your core margin in the numbers in first half '26? And should we be expecting kind of core margin to decline from here? It's really the question because I guess the concern would be you've seen some of the book roll off in 2025, there's obviously been more competition post Chemist Warehouse and EBOS gaining market share and others trying to win those accounts, partly also related to the step-up in CSO subsidy. As we see the book roll over, as some of these contracts expire, are we going to see continued price pressure as some of these other older contracts expire and reprice, if you like? Or do you think we're done here in terms of those competitive pressures coming through in the numbers?

Yes. I think the -- we can only speak to our own book. We saw, as I mentioned before, less turnover in the book in H1 of '26, and I think less turnover in H2. So our market share is stable at the moment. The competition is ongoing. I think the -- so in terms of degradation of percentage margin from some major change in our contract book, no, that didn't occur in H1.

I think importantly, the customers that we are winning, they are drawn to the Symbion reputation for reliability and quality of service. And I think the opportunity for us going ahead is actually productivity. Kemps Creek is now online. We're ramping up productivity pleasingly. And I think that gives us an offset against any sort of competitive margin pressures in the future. Alistair, is there anything that you would add to that?

I think you've covered it well. Like we take a very disciplined commercial approach to any contract renewal or contract bid, and we've continued that unabated through the half and clearly intend to do so as we look forward.

Okay. And then just maybe on the contribution from acquisitions, some of which seem kind of relatively new. I guess just on the back of those acquisitions, did you consider perhaps either upgrading the EBITDA guidance range or at least bringing up the bottom end of the range. Otherwise, it's possible to interpret the guidance reiteration is a slight downgrade at the midpoint on a like-for-like organic basis. And perhaps you could split out for us within that FY '26 guidance, how much organic growth you're expecting across the group and then the contribution from acquisitions that have been announced to date?

Alistair, do you want to start and then I'll finish up.

Of course. While it might not feel like it to you, Stephen, I think we would see the EBITDA guidance range is quite narrow, ranging between 6% and 8%. We do remain confident in achieving that range, it should be said. As we've discussed, half 2 will benefit from clear locked-in drivers such as the H1 acquisitions that you mentioned, improved productivity and reduce transition-related costs.

It must be said, our forecast for the full year EBITDA remains materially unchanged from when we set the guidance in August. There's clearly a lot of moving parts in the network, and that really is a testament to the way that the team have been able to execute through this transitional period. We are confident in our guidance. We're confident in the uplift in H2. And as I said, we haven't materially changed that outlook.

Yes. What I'd add to that, well said, Alistair, is the incremental change in capital since we last spoke is $27 million. So it's not a particularly meaningful change on the capital deployment. And so I don't think there needs to be any change to the guidance. Again, $615 million to $635 million, 6% to 8% underlying EBITDA growth, we remain comfortable with that.

Our next question comes from the line of Lyanne Harrison with Bank of America.

Can I come back to core margin again? I acknowledge what you said about the CSO uplift kicking in and supporting core margins in fiscal '27. But with the increases there matched to CPI, but high-value medicines growing faster than that. If we look further than that, that's going to place downward pressure on core margins. What can EBOS do to counter that deterioration further on?

Yes. I appreciate that question. I appreciate also that you're looking at that -- the CSO uplift coming towards us. As I mentioned in answer to a prior question, I think the response is twofold. Firstly, productivity. So that we spent a significant amount on the capital for the new DC facilities. Our best defense is to make sure that we are very much at the forefront of a productive way to dispense high-value medicines across the community.

The second is the ongoing reputation that we have in the market for high quality and high service levels, preserving that, making sure that the pharmacists of Australia know that they can rely on Symbion as their premier distribution partner, that tends to give us an edge as well. So I don't think that we can say there's no competition expected, but I think what we can say is we are set up as well as we could be given our commitment both to service levels and the ability to put our new DCs to work.

Great. And can I ask -- this is probably a question for Alistair on operating costs and also the DC transition costs. So when you spoke about underlying OpEx at $491 million, you mentioned that there were some transition costs in there that will start to fall away. But then when you spoke about the, I guess, the bridge to underlying earnings, there was the add-back of transition costs. What's the difference between the 2? And what's the quantum? And how should we think about that going forward?

Yes. No, thank you for the qualifying question, Lyanne. So there are two components to the cost of transition. One area where we can separately identify costs. So there are specific one-off costs such as make good of sites or commissioning costs of sites, which we can quantify, we would then classify them as one-off costs and extract them. What we don't do is where you've got a site that's ramping down and a site that's ramping up, that will have an impact on overall productivity. It's that impact on productivity that is included in the underlying results. So as we get through -- or as we begin the second half and then in particular, into FY '27, that, of course, will end, and we would expect to get to steady state productivity in all of our sites.

Our next question comes from the line of Saul Hadassin with Barrenjoey.

Adam, can I just get you to touch on in the slides at the back, it talks about the non-PBS GLP-1 spend, and it's been commented on that, that is a significant part of retail pharmacy growth at the moment. You mentioned it as a significant growth opportunity. I was wondering if you could talk to the economics of a wholesaler and maybe a bit about the contract logistics as it relates to that -- the non-PBS part of that spend.

Yes. So look, -- let's talk about the past, let's talk about the future. As GLP-1s have hit the market, the ramp-up has been amazing. They're pulled through. There's obviously keen interest by consumers in GLP-1s. My understanding is that, broadly speaking, the U.S. penetration of GLP-1s is in the order of 2 to 3x the penetration of -- in Australia and certainly much higher than New Zealand, where GLP-1s were only introduced on the 1st of July 2025. So I think there's still a runway for consumer demand for those GLP-1s.

Now at the moment, the GLP-1s need to be carried in cold chain. And this is where the DC renewal cycle has been fortuitous in the pre-wholesale stage, that's Healthcare, Logistics or Contract Logistics. We do have exceptional cold storage available. We've been a great partner to GLP-1 providers in Australia and New Zealand there. And we would see that ongoing into the -- then the wholesale stage, where, again, we have good cold chain availability and have been a good partner and have seen that category grow dramatically.

On the far horizon, there's sort of 2 trends that I would see. I think there's an interest now in other metabolic medicines, which will also continue to use that cold chain capacity. There's also interest in a non-cold chain GLP-1 that's still multiple periods away. I don't think that's in front of us now, but we'll be ready for it when it occurs.

And can I just ask a follow-up to a previous question. Just to be clear, on the back of -- on the back of the acquisitions that were announced effectively today that were made at the back end of calendar year '25 and the move to consolidate Origin, just to confirm that the EBITDA contribution in second half is expected to be effectively immaterial from those businesses?

So it's probably not right to say that the EBITDA contribution is immaterial. But I mean, that clearly will underpin our stronger second half performance. What I would say though is really, as Adam said, we've deployed $27 million worth of capital. So that contribution isn't necessarily significant.

Our next question comes from the line of Marcus Curley with UBS.

Just going back to Community Pharmacy first, please. Could you just articulate how many new customer wins contributed to the revenue in the first half? I think you previously talked about a run rate number last year at about $540 million. I just wondered how much of that or if you can provide an update in terms of that number that contributed into the first half result.

I think the best way to think of it, Marcus, is that we held that. There were some minor wins, some minor losses, but we've held that number and the share has been held in the half, which we're happy with. The team have done a nice job to keep serving those customers.

Okay. And within the institutional business, one of your major competitors talked about losing the Ramsay contract, which is phasing out this half. Is that a contract which you've picked up? And if so, could you provide any comments on what that could mean for the business or that division in the second half?

Yes. We don't comment on individual contracts or customers. What I can say, and this is just echoing what I've said to some of the other questions, the customers in wholesale pharmacy, these are repeat customers and with a comparably sophisticated outlook. They balance price, service and reliability. And so if we were to win customers, it will be on the basis of those three together as a package rather than just one particular lever.

Maybe I can just rephrase that then. Have we seen any new competitors come into the wholesale distribution space for hospitals in the last 6 months or the next 12 months?

Yes. Thank you for clarifying that question. There's no -- there's been no change in the competitive dynamics in the hospital wholesale space.

Ladies and gentlemen, I'm showing no further questions in the queue. I would now like to turn the call back over to Adam for closing comments.

If I could encourage you all just to turn back to Slide 7 of the materials as I sum up. In the second half of 2026, the firm sees the opportunity to accelerate the EBITDA growth on the basis of not just the growth in GLP-1s and high-value medicines that you've heard us talk about just now, but also continued expansion of our pharmacy network, principal wins in contract logistics and the handy contribution of the acquisitions we've made in the first half.

We also see margin opportunity that comes through productivity. It comes through mix support as well as a reduced amount of one-off transition activities and the cost discipline programs that we have in place. In particular, we're able to reoptimize our pallet stack against the warehouse assets that we have in order to try and create a lower cost to serve from our facilities.

Importantly, we're in the last months of our capital cycle. The multiyear capital cycle is coming to an end with the launch of the Perth HCL facility and the Onelink Auckland facility, and we'll be delighted when they are operating and serving customers, and we'll be looking ahead to a great FY '27. We thank you all very much for your attendance today.

Ladies and gentlemen, that concludes today's conference call. Thank you for your participation. You may now disconnect.

Good afternoon, ladies and gentlemen. My name is Liz Coutts, and I am the Chair of the EBOS Group Limited. I'm delighted to welcome you to today's annual meeting in Auckland. Today's meeting is being held in person and online by the Computershare online meeting platform. This allows shareholders, proxies and guests who could not join us to watch a live webcast of the meeting and read the company documents associated with the meeting. So welcome to you all.

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I am advised that a quorum is present. I, therefore, declare the meeting open. I also declare voting open on all items of business. I will give you a warning before I move to close the voting.

Now to the business of the meeting. My first duty today is to introduce your directors and executives. Today, we have all directors and our Chief Executive Officer and CFO here in Auckland. Joining me are my fellow directors, Stuart McLauchlan; Tracey Batten; Mark Bloom; Julie Tay; Matt Muscio; and Coline McConville. Also seated on the stage is our Chief Executive Officer, Adam Hall, who is presenting his first EBOS Annual Meeting; and our Chief Financial Officer, Alistair Gray.

Stuart and Mark are seeking to be reelected as EBOS directors and will be addressing the meeting later. You will also hear from Coline McConville who is seeking election as a director.

For those in this room, you would have the opportunity to meet the directors and executives at afternoon tea following today's proceedings. Also in attendance today is Bryce Henderson representing our auditors, Deloitte; and Roger Wallis, our legal advisers from Chapman Tripp.

Today's meeting is comprised in three parts. First, I will provide shareholders with a summary of the highlights from the past year, and then Adam will provide you with further details on the group's financial performance and activity over the last year. And that will be followed by the formal business. With four resolutions for shareholder approval today, there are no apologies.

As the Notice of Meeting has been circulated to all shareholders, I will take as read the notice convening the meeting.

I am pleased to be here today to update you on EBOS Group's 2025 financial year performance, which highlights our continued track record of strong revenue growth and operational excellence. I would like to start with a video that captures the key highlights and activities at EBOS in the last 12 months.

[Presentation]

Well, as you've just seen, a great deal of activity took place throughout the year, and our F '25 result demonstrates the value of EBOS' portfolio with multiple growth levers and significant investment in capability and capacity to achieve future growth and stronger profitability.

We operate in attractive markets with supportive megatrends across both our health care and animal care segments, and EBOS' diversified portfolio positions us well for long-term growth. Having said that, we are operating in an environment influenced by near-term macro pressures, which we do need to work through.

In FY '25, we reinforced our leading positions across the health care and animal care sectors across New Zealand, Australia and Southeast Asia. We acquired businesses in Medical Technology and Animal Care sectors and expanded our health care distribution network across New Zealand and Australia, building capacity and driving efficiencies.

We remain a leading pharmaceutical wholesaler in Australia and the largest in New Zealand, and one of New Zealand and Australia's largest health care-focused contract logistics providers.

Our TerryWhite Chemmart network is the largest health services-focused community pharmacy network in Australia. We are New Zealand and Australia's largest hospital medicines wholesaler and one of the largest independent medical technology distributors across New Zealand, Australia and Southeast Asia.

In Animal Care, we operate New Zealand and Australia's largest dry dog food brand by volume in the pet specialty category and leading vet wholesale businesses in both countries.

Having delivered a solid result in FY '25, the current financial year is set to be a year of transition as we manage the near-term macro pressures. We will focus on positioning our business for the future by making considered and disciplined investments and achieving operational efficiencies from our investments, enabling us to continue to meet market growth and gain market share.

As we then look to FY '27 and outer years, we will see the benefits of our distribution center renewal program, which will be substantially completed this year. We will also benefit from the additional funding from the Australian government in recognition of our essential role in the health care supply chain and the substantial investments we make to undertake this role.

As we have done in the past, you can expect that we will continue to do disciplined bolt-on acquisitions to further drive sustainable growth, creating further value for our shareholders. Adam will provide further detail on the distribution center -- on the distribution renewal program and these developments in his presentation.

FY '25 continued our long-standing track record of delivering consistent performance for the benefit of our shareholders. We've been able to generate double-digit earnings growth over the last 10 years together with consistent dividend growth, noting that the F '25 dividends to shareholders was maintained at the same level as FY '24.

EBOS remains committed to sustainable development and community engagement across the regions it operates in. During the year, the group advanced planning for a 5-megawatt ground-mounted array at Parkes, New South Wales, complementing an existing 500-kilowatt installation.

EBOS expanded its long-standing partnership with not-for-profit organization Greenfleet, increasing our year-on-year donations by 10%.

We also acquired land in South Gippsland, Victoria, with a reforestation initiative with planting having commenced. EBOS also remains on track to transition over 95% by number of SKUs of its grocery brand packaging to recyclable materials by early 2026.

The safety and welfare of our employees is critical to our continued success and integral to this is the role performed by our leaders in shaping the safety culture of our organization.

Our Group-wide Executive Leadership Safety Walks initiative improves leadership visibility at our sites, enabling leaders to better understand how workplace risks are being managed, facilitating regular positive interactions between senior managers and their teams, identifying opportunities for improvement.

Directors also undertake site visits and observe key safety risks and controls and how work is being done.

A new initiative we have termed Life Savers was also introduced, which reinforces minimum standards and appropriate controls for reducing the risk of injury or harm to workers undertaking high-risk activities. The Life Savers were developed through consultation with key stakeholders and will continue to enhance our health and safety culture.

We also continued to support various initiatives and organizations aligned to our purpose of advancing opportunities to enrich lives. This included strategic partnerships with organizations such as Ovarian Cancer Australia and LandSAR New Zealand.

I earlier acknowledged our new CEO, Adam Hall. Adam is a highly accomplished global executive with a strong track record in strategic growth and operational excellence. In his previous roles, he successfully led significant growth in earnings and scale while driving innovation and efficiency, and we look forward to him continuing that success at EBOS.

Consistent with EBOS' Board renewal process, Coline McConville, was appointed as a nonexecutive director with effect from 1st of February 2025, and will stand for election at this meeting.

In making any appointment to the Board, the directors have regard to its skills mix, which sets out the desired skills of the Board as a whole and reflects the group's operations and strategic priorities. We also appoint an external consultant to support a rigorous process and conduct background checks. Coline's appointment followed a global search, and we were impressed by Coline's international experience across a range of industries, both as an executive and director.

EBOS has appointed 5 new directors since July 2021 and is now comprised of 7 nonexecutive directors, of which 6 are independent.

The directors declared a final dividend of NZD 0.615 per share. This brings the full year dividend to NZD 1.185 per share, which, as I referred to earlier, maintained the dividend at the same level as FY '24. The dividend payout ratio was 83.8% on an underlying basis. The increased payout ratio reflects the Board's confidence in the group's growth outlook and overall financial capacity.

I would again like to acknowledge the contribution of the executive leadership team and all employees across New Zealand, Australia, Southeast Asia and thank them for their dedication and commitment to our company. To all our shareholders, thank you for your ongoing support in the Board, executives and employees of EBOS.

I will now hand over to Adam for more in-depth review of the operational performance and outlook for the business. Thank you.

Good afternoon, everyone, and thank you for joining us today. It's a privilege to be here with you. And I'd like to begin by acknowledging the support of our shareholders, our Board and the broader EBOS team.

Since stepping into the role, I've had the opportunity to visit most of our operations across New Zealand, Australia and Southeast Asia. What I've seen is a business with deep capabilities, strong leadership positions and an entrepreneurial culture that's focused on delivering for customers and the communities in which we operate.

As the Chair noted in her opening address, EBOS is now setting the stage for its future, with FY '26 representing a year of strategic positioning for the group. In particular, we will conclude our major multiyear investment in uplifting our distribution center network to position us for future growth.

It is also a year where we will embed recent acquisitions and navigate through evolving market dynamics. The business will be well prepared for its next phase of sustainable growth into FY '27 and beyond.

Before I talk through each of the four businesses, I'll quickly recap our performance for FY '25. In FY '25, we achieved revenue growth of 12% on an underlying basis and delivered -- excuse me, totaling $12.3 billion and delivered underlying EBITDA of $585 million. This was in line with the guidance we had set earlier in the year.

Our Symbion Healthcare & Distribution business added over 320 pharmacy wholesale customers. TerryWhite Chemmart expanded its network by an additional 34 stores. Our Medical Technology business delivered impressive growth, particularly in Southeast Asia. And finally, our Animal Care business posted a resilient result with Black Hawk and VitaPet brands growing share despite a soft consumer environment.

The group continued to make strategic investments with the new Kemps Creek facility commissioned this month and with the deployment of capital for bolt-on M&A to strengthen our segment positions and diversify our earnings.

Importantly, as the Chair mentioned, we maintained our full year dividend at NZD 1.185 per share. This reflects the Board's confidence in the group's future earnings capacity.

Overall, the performance reflects the strength of our diversified portfolio and our ability to execute in challenging market conditions.

Looking ahead to FY '26. Today, we reaffirm our existing FY '26 guidance that was provided to the market in August. The existing guidance has us targeting underlying group EBITDA of between $615 million to $635 million. This represents approximately 7% growth at the midpoint.

The guidance provided to the market comprised additional detail on capital expenditure, depreciation, amortization and net finance costs, and the guidance on these items is also reaffirmed. We expect a slightly higher contribution of earnings in the second half of FY '26 with the ramp-up of the benefits of the DC renewal program.

Supporting our outlook statement, we have several key milestones for EBOS. These include the commissioning and ramp-up of our new Kemps Creek distribution center in Sydney, which I'll cover in more detail later; the opening of our Perth contract logistics facility; completion of our eight-site DC renewal program; and continued expansion of the TerryWhite Chemmart network and digital engagement; new product launches in Animal Care; strategic wins in Southeast Asia Medical Technology; integration of SVS and Next generation Pet Foods.

And we'll also be hosting an Investor Day in Q4 of FY '26 where we'll share deeper insights into our long-term strategy and capital market framework -- excuse me, capital management framework.

Talking -- turning to each of our four businesses and starting with Symbion & Healthcare Distribution. This business continues to be a critical engine of growth and capability within the EBOS portfolio. As I've mentioned a few times now, FY '26 marks the final year of major investment in our distribution center infrastructure.

Most notably, the commissioning of our new Symbion Sydney distribution center at Kemps Creek, which went live this month. Hospital medicines and consumables continue to grow, particularly in oncology, supported by an evolving drug pipeline and emerging therapies.

Our Contract Logistics business is expanding nationally, with the Perth facility set to open in 2026. This will complete our Australian footprint in Contract Logistics, and it positions EBOS to participate in national pharmaceutical contract tendering.

We're also expanding cold storage capacity to support growth in specialty medicines. Our healthcare distribution assets are clear examples of how EBOS strategically deploys capital. We are investing in capacity for growth, building infrastructure that scales and positioning the business to capture long-term value.

As we move into FY '27 and beyond, we expect to unlock both operational and financial leverage across this business.

Now the Australian government recognizes the essential role of pharmacy in the health care sector. In 2024, there were two landmark agreements signed. The First Pharmacy Wholesale Agreement, which increases the CSO funding pool and improves the sustainability of funding for wholesalers and also the Eighth Community Pharmacy Agreement, which supports pharmacy services and medication access. Collectively, both agreements provide security of funding for the industry and our pharmacy customers.

Before I talk a bit more about the DC renewal journey we have been on, here is a short video that showcases our new Kemps Creek facility.

[Presentation]

What a terrific video of our latest and greatest facility. As I mentioned earlier, Kemps Creek is a powerful example of how EBOS is investing to build the infrastructure that will modernize our network and support our long-term growth objectives. It's the most technologically advanced wholesale site in our whole network, and it reflects our commitment to operational excellence, automation and customer service.

This slide outlines the strategic pillars of our DC renewal program. This program has been a multiyear effort to modernize our infrastructure, expand our footprint and streamline operations across New Zealand and Australia.

Let me briefly walk through the three strategic pillars and the rationale for our investment.

The first pillar, growth. We've expanded our network capacity to meet rising demand in high-value health care markets. By the end of FY '26, we will have completed our Australian footprint in our pre-wholesaling network. This includes the new Perth Contract logistics facility, enabling us to serve more customers more efficiently.

The second pillar, productivity and renewal. We've modernized our infrastructure with automation, advanced our IT systems and embedded sustainability improvements. These upgrades are already driving better service levels, and we expect these productivity benefits to ramp up in FY '27.

The Kemps Creek site is a standout example. It will deliver automation benefits and enhanced scalability. It's a strategic asset that positions us to win in a competitive pharmacy wholesale market.

And the last pillar, consolidation. We've streamlined operations across sites, removed duplication and improved scalability. This includes consolidating our New Zealand footprint through ProPharma and Onelink and enhancing our hospital distribution capabilities.

From FY '27 onwards, we expect to see a step down in annual CapEx, approximately 30% lower on a like-for-like basis. We expect to improve our ROCE across the network, targeting approximately 15% over time. And finally, we will deliver enhanced service levels and operational leverage. This program has been a significant investment in EBOS' future. We're excited to see the benefits begin to materialize.

Following the overview of our DC renewal program, I'd like to highlight a specific example of how EBOS deploys capital strategically to support long-term growth. This slide showcases the evolution of our Contract Logistics footprint in Australia and how these investments align with our broader strategic objectives.

In Sydney, our original site, which opened in 2018 is fully utilized. In response to growing demand, we commissioned a second site in 2023, which is already operating at 70% utilization. This rapid ramp-up reflects the strength of our customer relationships and the increasing demand for specialized high-value pharmaceutical logistics services.

In Perth, we're currently developing a new contract logistics facility, scheduled to open in 2026. This site will create a national footprint and enable EBOS to participate in national pharmaceutical contracts, a key strategic priority for business.

Our facilities have been designed to offer premium services, including repacking, refrigeration and secure storage, and will serve the high-value, global pharma pre-wholesale market. The second Sydney site and the new Perth site demonstrate our disciplined approach to capital allocation.

Our TerryWhite Chemmart business continues to be a cornerstone of EBOS' health care strategy. In FY '25, we added 34 new stores to the TerryWhite Chemmart network, bringing us to over 620 locations nationwide. This expansion reflects the strength of our value proposition and the trust that we've built with pharmacists and customers alike. We expect this growth to continue into the future.

TerryWhite Chemmart's network partners administered nearly 1 million vaccinations, reinforcing its position as the provider of choice for health services. And we saw over 1.2 million prescription transactions placed online via the myTWC app, demonstrating strong customer engagement and digital adoption.

Looking ahead to FY '26. We're focused on driving momentum through continued network expansion, launching new TWC branded products and accelerating adoption of our digital platforms. And in FY '27 and beyond, we see significant opportunity to unlock new growth horizons through our CareClinic service expansion, retail media monetization and digital health solutions.

TWC is not just a pharmacy network. It's a health services platform, and we're excited about the journey ahead. And the myTWC app is at the heart of our digital strategy in retail pharmacy.

Our myTWC app is our fully integrated platform that connects customers, pharmacists and services. It drives engagement and loyalty and sales across the entire TerryWhite Chemmart network. It also comes, bless you, with a rich data set with over 95 million interactions, and this gives us deep insights into our customers' behaviors and preferences.

In FY '25, we saw approximately 800,000 registered users on the platform. That's up 30% year-on-year. 2.5 million scripts processed, which is about 1 every 13 seconds. And we also saw that our myTWC members were 2.7x more likely to add front-of-shop items, increasing their overall basket size.

In the future, we're focused on unlocking even more value through digitizing workflows to enable pharmacist productivity, expanding the reach through telehealth, eScripts and virtual bookings. And that strengthens TWC's role as the destination for both digital and in-pharmacy services. myTWC is more than an app, it's a strategic enabler of EBOS' Retail Pharmacy vision.

Moving on to another growth driver for EBOS and one of the best performers in the portfolio, our Medical Technology business. In this business, we are presently focused on further strengthening our presence across Southeast Asia, leveraging our multi-country distributor advantage to fill therapeutic white spaces in markets like Indonesia, Singapore, the Philippines, Thailand, Malaysia, Vietnam and Hong Kong.

Our portfolio spans a wide range of surgical and interventional technologies, including spine, orthopedics, oncology, cardiology, ophthalmology, neurosurgery, neurovascular and plastics and reconstruction. We continue to onboard new OEM suppliers, enhancing our ability to offer comprehensive solutions to hospitals and surgeons across the region.

Biologics is another area of momentum, and surgeon demand for allograft solutions continues to grow, driven by clinical outcomes and procedural innovation. We're investing in new product development across emerging therapy areas, and expanding our allograft solutions.

In short, Medical Technology is evolving from a high-performing segment into a core growth driver for EBOS. It combines strong market fundamentals, strategic execution and a disciplined approach to capital deployment. I'm excited about the opportunities ahead for this business.

On to our last business in the portfolio and another that has continued to deliver strong performance, Animal Care. Starting with our branded business. Black Hawk and VitaPet both gained share in FY '25, supported by new product development and our manufacturing capability.

The acquisition of Next Generation Pet Foods has strengthened our portfolio, providing entry into high-margin category like air-dried treats. Looking ahead to FY '27, we expect to build on this momentum through extending leadership in premium yet affordable pet nutrition and unlocking further margin resilience through scale and innovation.

Turning to vet wholesale. The acquisition of EBOS -- excuse me, the acquisition of SVS has established EBOS as the leading vet wholesaler in New Zealand. Together with our Lyppard business in Australia, we now have a Trans-Tasman platform that is well positioned to benefit from life cycle economics, particularly as the COVID era pet cohort start aging and drives higher veterinary spend.

Animal Care is a clear example of how EBOS combines strategic M&A, operational execution and market insight to deliver long-term value. Innovation with product development continues to be a core driver of growth in Animal Care. And over the last few years, we've expanded Black Hawk's life stage portfolio with new offerings across puppy, mature and healthy benefit categories.

Across VitaPet, we extended our range into the grocery channel, capturing new consumer segments and increasing brand visibility. And our manufacturing footprint has also evolved.

Since 1973, dog rolls have been produced in New Zealand at Superior Pet Foods with Superior joining EBOS in 2023. Air-dried treats will be manufactured by Next Generation Pet Foods in Queensland. And of course, we built an amazing site in Parkes, New South Wales that produces our Black Hawk kibble product.

These investments give us greater control over quality, innovation and cost. It positions us to respond quickly to changing consumer preferences as evidenced by the evolution of the life stage portfolio of products across Black Hawk. Looking ahead, we're excited to continue building on this momentum with a strong pipeline of new product development and a clear strategy to extend our position in the premium pet nutrition market.

To conclude today's presentation, I want to reaffirm the EBOS investment proposition and share what energizes me about leading this exceptional business. Health Care and Animal Care continue to experience sustained increases in consumer and institutional spend, driven by demographic shifts, innovation and evolving customer preferences, including a desire for a longer health span.

These macro opportunities are well matched by EBOS' core capabilities. In a growing but complex market, we are trusted to connect with care, notably in wholesale, distribution and animal nutrition. For investors, this means we are levered to ongoing health care spend. It is this exposure that has underpinned our track record of consistent growth.

As referenced earlier by the Chair, we maintain and continue to build upon our leading positions, where we are a leading pharmaceutical wholesaler in Australia and New Zealand and one of New Zealand and Australia's largest health care-focused contract logistics providers.

We are the leading health care services-focused community pharmacy network in Australia through TerryWhite Chemmart. We're also in New Zealand and Australia's leading hospital medicines wholesaler and one of New Zealand, Australia and Southeast Asia's leading medical distributors. And we're also New Zealand and Australia's largest dry dog food brand in pet specialty and ANZ's largest -- excuse me, ANZ's leading vet wholesaler.

These positions are underpinned by EBOS' shared capability framework. This is represented by a culture of entrepreneurship, operational excellence, and the ability to identify and invest ahead of growth opportunities and disciplined portfolio management that consistently delivers long-term shareholder value. Now this culminates in a resilient, diversified business, your business, that is well positioned for sustainable growth.

Thank you for your time this afternoon. I'll now hand back to the Chair to go through the formal items of the meeting.

Thank you, Adam. We will now proceed with the formal business of the meeting. The first item of business is to consider and receive the annual report. The annual report contains the financial statements, directors' report and the auditor's report for the year ended 30th of June 2025. A formal resolution is not required.

We will then move on to the other matters to be put to a vote. We have four ordinary resolutions to deal with today. Resolution 1 is the election of Coline McConville as a Director. Coline was appointed as a Director with effect from 1st of February 2025, is now required to be put forward for election by shareholders at the annual meeting.

Resolution 2 is a reelection of Stuart McLauchlan as a Director. Stuart, as required to retire by rotation, is now required to be put forward for reelection by shareholders at the annual meeting today.

Resolution 3 is the reelection of Mark Bloom as a Director. Mark, as required to retire by rotation, is now required to be put forward for reelection by shareholders at the annual meeting.

Resolution 4 is to authorize the directors to fix the fees and expenses of the auditor.

As required under the ANZ Listing Rules, voting will be conducted by poll in respect of each resolution. Shareholders will have an opportunity to ask questions as each resolution is proposed. If you wish to ask a question online, I ask that you follow the directions previously advised and you use the Q&A tab on the Computershare platform.

Your question will come through immediately, but may I request your patience as the questions are sent through. Those attending here in Auckland can either use the app or raise your hand and a member of our team would hand you a microphone. I remind you that only shareholders and valid proxy holders are permitted to vote or ask questions.

The directors hold proxies representing 138,110,022 shares. In respect of all resolutions where a Director holds an undirected or discretionary proxy, they intend to vote those proxies in favor of the resolutions.

The annual report and financial statements were subject to audit by Deloitte, who gave an unqualified audit opinion. The annual report and financial statements were audited and lodged prior to the annual meeting, and there was no formal resolution required to be put to the meeting.

I will, however, take questions on the annual report and financial statements and any other aspect of the business you may want to discuss. The auditors, Deloitte, are represented here today by Mr. Bryce Henderson.

So are there any questions on the annual report, please? We have a question over here. Thank you.

Thank you. Yes, [ Colin ], a shareholder. We've heard an awful lot of positive stuff today, and that's just wonderful. I'm a simple -- a bearer of simple brain.

Just one aspect of the annual report I'd just like a bit of guidance on, and that is the earnings per share has crashed 22% between the 2 financial years. And I don't quite understand what's driven that given the fact that most of the other aspects in the annual reports seem to be positive. So if I could get some guidance on what's happened to that decline in shareholder share of the profits.

And secondly, what might I, a bearer of simple brain, expect perhaps that statistic to look like at this time in the future, next year?

Okay. Thank you. Do you want to answer that, Adam?

Yes. So the change in EPS from the financial year 2024 to the financial year 2025 was significantly influenced by the change in the Chemist Warehouse Australia contract. We announced that, that contract came to an end on the 1st of July 2025. And so it was present throughout the '24 financial year but not in the FY '25 year.

I'm delighted that despite the fact that the -- we've lost that major customer, our colleagues in the Symbion & Healthcare Distribution business were able to win back over 300 new customers, representing about $540 million of annual revenue in partial replacement of the $2 billion or so of revenue that was lost when the Chemist Warehouse Australia contract came to an end. So that's the key driver of that particular change.

As you just heard me a few moments ago, we reaffirmed guidance for FY '26, which is about a 7% growth in underlying EBITDA at the midpoint. And I think we're looking forward to sharing more information on that at the half in February.

Thank you, Adam. We have quite a similar question online. Would you like to -- and the question is turnover of $22.2 billion and net profit after tax $250 million. That's only 1.7% profit. What has been done to lift these margins?

Thank you very much. So I think there's two separate pieces that go to addressing this point. One is in the FY '25 results that we presented in August, we pointed out that there was an evolving -- a highly competitive pharmacy wholesale market, which is where our largest business unit, Symbion, earns its margins.

And that was -- that represents a challenging environment. And in response, the team are very focused on rolling out those new facilities that we showed you earlier, including the Kemps Creek facility, which would have a benefit in automation.

Now the second piece that's a little sort of harder to see is a rise in what's called high-cost medicines. And so whether it's the GLP-1s or some of the new oncology drugs, these are medicines that can be up to AUD 20,000 or AUD 30,000 per dose. So although we would receive a similar or a capped dollar figure when that passes through Symbion, which at the moment is in the order of $120, the margin as a percentage will fall.

It's still good business for us to carry the GLP-1s, and those are increasing both in Australia and New Zealand. But as a percentage margin, it looks like that number has fallen with the rise in high-value medicines. Thank you.

Thank you, Adam. Are there any other questions in the room? I do have another question online, and this is from New Zealand Shareholder Association. So thank you for that.

The company ensures that lead audit partner is rotated at 5 years as required by the NZX Listing Rules. NZSA also expects disclosure of the appointment dates of the lead audit partner and audit firm in the annual report to provide transparency for investors. Can you please comment?

Now so thank you for your feedback. Coincidently, our representative of the shareholder is sitting all but one seat from the -- our audit parter, Bryce Henderson. He's in his first year as lead audit partner. So Bryce, anything else that you would like to add since you're in the front row.

Time in the sun. No. So we have a policy, as you know, under the law to rotate every 5 years that creates fresh ideas. And you have the intellectual property and capital of the firm, which is maintained. But the partner refreshing does allow different ideas and views.

And while we are all part of the same firm, we obviously have different views and different ways of attacking or addressing points. So that, I think, will -- sorry, would have addressed a lot of the points.

Thank you, Bryce. And great that every one can meet you, see you. Thank you. I have -- do I have any other questions online? Is there anyone -- here we are. We have a question in the room over here. Thank you.

[indiscernible], a shareholder. First of all, the Board must be congratulated on the results over the last few years. In some instances, very spectacular. My question is to do with the South Island of New Zealand, namely Christchurch and Dunedin and the West Coast. How is the network growth there?

Thank you. That's a good question. I really want to give it to one of my colleagues, Stuart McLauchlan, who resides in Dunedin and really covers the South Island, but I'm actually going to give it back to Adam.

Thank you very much for the question. We try to provide the best possible service to pharmacists across New Zealand, both in the North Island and the South Island. As part of the new facilities that you saw on the page, particularly Onelink and ProPharma, we see that as an opportunity to consolidate to lower our cost and therefore provide a better net cost service to all New Zealanders, again, both North Island and South Island.

Thank you, Adam. We've got a question over here. Thank you.

First question concerns the CEO transition. Shareholders were told in the interim report in February that the company's long-standing CEO, John Cullity, wanted to retire and would conclude at the end of the June financial review and that he would be succeeded by Adam Hall.

And in the selection of Mr. Hall, the Board chose someone from outside the company rather than one of EBOS' existing executives. So if you would, could you give the background and the process that was followed in making that selection?

Thank you. Yes, I can do that. We undertook a -- we appointed a search consultant and we did two things. We, first of all, decided what skills and attributes we were looking for in our new CEO, and then we had our search consultant undertake a global search.

The Board then reviewed all of the contestants or all the applicants and also interviewed all applicants who were shortlisted. And as a result of that, we have appointed Adam. That was the process.

The second question concerns the company's borrowing capacity. In the presentation that accompanied the full year final results, the phrase debt headroom was used. And the figure that was given was $250 million. And I assume that, that met the company's potential borrowing capacity for future acquisitions was $250 million. That was my interpretation.

But I see in the borrowings section of the annual report that there are unused banking facilities available to EBOS, and I think the figure is $719 million. So if you could clarify for me how much money is actually available for future acquisitions?

Do you want to answer that, Adam?

Yes, absolutely. I really appreciate the fact that you've taken the time to go through the annual report. We take a lot of care in preparing it, and we're delighted that you found it of use.

The $250 million, you're absolutely spot on, that represents the capital that's available for the programmatic approach to bolt-on M&A that's been a hallmark of success at EBOS long before I've arrived. And it's a real source of shareholder value.

You're absolutely correct also that there's a larger amount of undrawn capacity on the balance sheet. And that represents the prudence that the financial policy of EBOS has been conducted with over the last few years led by Stuart from the Audit Committee and then, of course, Alistair as the CFO.

Thank you, Adam.

The next topic is the company's profitability and its effect on the share price, both the year just passed and the current year that we're now in. It seems to be a sort of a taboo at these annual meetings that everything is discussed except the share price, but there was such a prominent fall this year that I think it can't be avoided.

A previous questioner alluded to it, but in my opinion, it hasn't been gone into anywhere near as thorough as it needs to. And I was extremely disappointed, Liz, at your presentation and the fact that in the last couple of months, you have not even addressed this topic.

And so I'm now going to try to address it, saying at the outset that any questioning I do might appear somewhat clumsy. It is somewhat clumsy because I'm addressing the Board of Directors who all know more about accounting and EBOS' accounting than I do, and I'm addressing a room full of shareholders who probably don't even know what I'm talking about. Nevertheless, I'm going to proceed.

What I'm trying to get at with this line of questioning is that shareholders can come away from a meeting with a better understanding of what happened, what caused such a drastic fall in the company's share price. Mr. Hall has just mentioned the Chemist Warehouse contract, but we knew a year or 2 years ago that, that contract was due to expire.

And John Cullity made extensive efforts to notify shareholders and the share market in general by providing two sets of accounts: One, including the Chemist Warehouse profitability; and the other one, excluding the Chemist Warehouse profitability. So the final result that was issued 2 months ago should not have come as any surprise, but yet it did.

So before I proceed any further, I'm now going to give you the opportunity to add to the explanation as to what happened, why the market was so disappointed in that share price -- with the share result.

Thank you.

First of all, the management team and I take the recent decline in the share price very seriously. We know that, that is a topic of great concern to every shareholder. I think you pointed very correctly to what has happened in the buildup to the August results.

In July of 2024, the company provided a guidance range for the FY '25 year. That guidance was then reaffirmed at the half and then -- and at the AGM, reaffirmed in April at the capital raise, and then the underlying EBITDA was delivered in that range in the August '25 full year result.

What was -- and so your question, what was new, what happened? We pointed in that result to two important changes in the market. One was the increased competition in pharmacy wholesale where our margins were tightening across the board.

And then the second point was the softening in Animal Care, where we've seen, for the first time in a while, the animal food market in Australia declined and in New Zealand, I should add as well, where consumers were spending less money on animal food, and indeed, were deferring the purchase of new pets.

Now what we outlined in that meeting and what we've outlined today is the team's response. We absolutely need to be able to drive better margins in pharmacy wholesale coming from a position of lowest cost, which means higher productivity in each of our facilities. And that was what underlie Slide 23, which we had those three swim lanes of the opportunities, including automation in our facilities.

And the second is new product development in Animal Care. So I don't know if you heard me mention it. But despite the fact that the category shrank, our revenue in animal food grew in FY '25, and that's because of the introduction of continued new products in the market. The Animal Care team has this wonderful track record of new products.

And if I can add just one final thing, and then I'll hand it back to you, sir, one of the new products that we were always going to bring to market was the freeze-dried treat in the Black Hawk range. That's sold out already of the first run of products. Again, we're looking to continue bringing new innovation in animal food to help offset that trend in the market.

Thank you for that. And the second part of the question in regard to the company's share price that I would like shareholders to come away from this meeting with is some assurances that it won't happen again. So I'll point out to you that a year or so ago, if not longer, John Cullity issued an underlying EBITDA forecast for an entire year in advance for EBOS on the '24, '25 year.

I'll mention here before I forget it, before I continue that question, I know you are making a presentation to the market in the fourth quarter of this year. And I am, for what it's worth, suggesting to the Board that, that be the end of providing 1 year guidance to the market. It hasn't done the company's share price any good, and it just gives opportunities for short-term speculation when those targets are met or they are not met.

Okay. So back to the question. John Cullity provided an underlying EBITDA guidance a year or so ago. He met that guidance. And as a result of meeting that guidance, he got an incentive bonus payment for his 1-year performance of the company.

And I understand that the executives also have those kinds of underlying EBITDA performance metrics that they are expected to meet in order to get incentive payments and bonuses. So I put it to you, first of all, just to state the obvious that shareholders don't get rewarded for underlying EBITDA. They only get rewarded for share price growth and dividends and dividend growth.

So I'm worried that the remuneration of the executive managerial class at EBOS is being incentivized to meet targets that are entirely different than the targets that the share market is valuing the company on and measuring the share price on.

I mentioned, Mr. Hall has made a couple of months ago and he reaffirmed today, a 1-year guidance of underlying EBITDA of $615 million to $635 million. He has not mentioned anything about statutory EBITDA, earnings per share, underlying earnings per share, statutory earnings per share and all these kinds of metrics that has seemed to result in such a disappointment to the company's larger shareholders that they are now 25% off the value of the company.

Now why is that not going to happen again? That Mr. Hall will get his 1-year incentive payments for meeting the underlying EBITDA target but yet if he doesn't meet any of those other targets, why wouldn't the share price fall again?

I will answer that. Well, first, you are correct, the executive have a short-term incentive, which is based on 1 year's performance. But in addition to the short-term incentive, they have a long-term incentive. And that long-term incentive, as it had previously, been based on EPS growth, which is exactly what you're looking for.

But this year, we've added another criteria, which is ROCE, return on equity. And we set that target at 15%. So those two KPIs together, the NPAT growth, which is EPS, as well as the ROCE should drive -- should give the incentive to the executive to drive performance to get the share price up. So that is the major change that I can say that we have made in response to that.

We have introduced another KPI in the LTI. Executives need to stay 3 years to earn -- to qualify to get that LTI. I would also add in that this last year, in the June 2025 period, the executive did not achieve the LTI because they did not meet those long-term growth incentives. So there has been a cost to them.

May I just add just in regards to your point around the underlying EBITDA and it flowing through to the other line items on the financial statement. In FY '26, because it's a year of transition, we knew that we needed to provide a little extra information to the market. So you've seen that we've not only provided underlying EBITDA, but the three major line items to help people understand the full income statement, including CapEx depreciation and interest costs.

What is your last point? The underlying EBITDA and three other metrics did you say?

Yes, that's right. In the -- that's correct. In the August 2025 results, you can see us provide guidance not only for underlying EBITDA but also for those three line items underneath.

What are those three line items?

Depreciation interest. So guidance this year is provided to an NPAT level.

Okay. Thank you for your responses. I would just say I know people are getting hungry, but I would like to encourage shareholders that have got questions in this regard to let the directors hear from you right now because they deserve to hear from you.

Putting out a result like this, this year is pretty bloody horrible. And I tell you that if you do the same thing again next year, you'll probably -- if you have your meeting here, you'll be speaking to an empty room.

Thank you for your comments. We have another question.

So I think when we go through the results, it looks very promising because I attended 10 AGMs, and I think this is the only one which is lots of positive things. But when gentlemen actually told that the stock price has crashed, I'm a bit surprised.

So my worry is if there is an investor who wants to hold this stock for the 5 years, now if we go through the balance sheet, it is a $7 billion balance sheet and $2 billion are goodwill. And if the company makes $250 million profit a year and if there's a 50% depreciation on goodwill, I have lost basically 4 years of profit. So should it -- so like if I buy this stock with a 5-year perspective, how can I be sure that the goodwill is valued at the right price?

So thank you very much for your question. And I appreciate, again, similar to the prior gentlemen that you've taken the time to go through our balance sheet, which is of great interest to Alistair and the rest of us. But essentially, the point that Liz made earlier around the long-term incentives, the target for the whole company is to earn a return on capital employed of 15%, which includes goodwill.

Now we need to get there over time by deploying the assets that you saw in the DC renewal program, but that is absolutely what the company is aiming at. And when we're able to demonstrate that 15% -- as we demonstrate those increasing returns, that will, in turn, benefit all shareholders.

Yes. So that is exactly to add to the gentleman's argument that he had read that it is -- the last year, it was -- the incentive was around EBITDA. But -- and then now he has said that is about return on equity, but you are using the word return on capital employed.

And I think if we just go through the basic financial theories, return on capital employed is a better parameter to value performance. So shouldn't the executives pay be connected with return on capital employed rather than the return on equity?

I think maybe there was a slight misunderstanding. You are correct, Liz referred to return on capital employed before. So there's no return on equity measure, only a return on capital employed measure.

Ideally it should include -- capital will include debt plus equity. So I think that would be a better way to measure the performance of an executive.

Anyway, that was just another -- one second question is why company has so many legal entities. When we go through the subsidiaries, so many companies in Australia having 100% voting right, 100%. Why pharmaceutical company needs so many subsidiaries? I see there is like around 100 list.

Thank you very much for your question. It's actually one of the things that points to one of the hallmarks of success at EBOS, which is this long track record of acquisitions. The company, back before it merged with Symbion in 2008, was a much smaller company, and it's been built piece by piece with highly value-accretive transactions step-by-step all through that period.

And sometimes it's hard to consolidate away the stub entities that remain, and that's a part of the driver of the reason why there's a proliferation in names. It's because the company has a track record of generating returns. But thanks for the question. I think there was one more over here, John?

Yes. [ Tony Sullivan ], shareholder. I'd like to ask a very short question trying to address the elephant in the room. And the elephant is that on Monday one week, all the advisers, all the market analysts and every shareholder thought the shares were worth $40 to $42. By Wednesday, they were $35 and by the following Monday, they were $30.

Now the share market has the concept of continual disclosure and the purpose of that is to avoid the sort of catastrophic shock that occurs. And it seems to me that something was missing. I don't know what it was, but something dramatic and completely unseen by hundreds of market analysts with all their knowledge and all their records didn't spot what was happening.

The company knew, of course, but there's just something missing somewhere in the equation between the shareholders and the company. And I'd like to ask if you've got any ideas about that.

Do you want me to take that?

Do you want to answer?

So I think again, I appreciate you raising it, like the other gentleman did a few moments ago in terms of the share price decline. And I think what you've pointed to is how precipitous it was. I think the -- let me start again by saying that the guidance was given at the EBITDA level for the FY '25 year, and that guidance was reaffirmed and met through the year. So it was reaffirmed in the AGM, the half, the capital raise in April.

I think what became clear as we were preparing the results was this underlying weakness in both competition for pharmacy wholesale and in weakness in the animal consumer business. And I think that, together with the capital program that we've outlined today, was a difference to what the market was expecting. And that, in turn, has led to those precipitous conditions.

Thank you, Adam. There's a question here. Thank you.

I'm [indiscernible], a shareholder again. [Technical Difficulty] in the room, a bit simple like poor fellow over there. But looking at the summary of results, really the main ones I see, that's revenue, statutory net profit after tax, dividends per share, underlying EBITDA.

The main sort of features of the report, it would be very good to have -- rather than presented like that on that page, for we, simple people, to have 5 years with them all set out in a manner that a child could read, and comparing we'd be able to just go through the 5 years and say, well, we can absolutely see what's going on there.

It would be far more beneficial to all of us to have them set out in that way. And I actually don't understand -- I think I don't understand why that's not the case. But EBOS has done very well. So over time, it's a wonderful record. It would be good to see it set out in that way.

Thank you for that. We will take that on board. Thank you.

So any other questions in the room? I thought there was one in that direction. No? Doesn't appear to be anymore. Okay. Thank you.

We will now move to Resolution 1 relating to the election of Coline McConville as a Director. The resolution is it is resolved that Coline McConville be elected as a Director of the company. I now invite Coline to make a statement to the meeting. Thank you, Coline.

Thank you, Liz. Hello, everyone. I'm Coline McConville and I'm delighted to be here today in beautiful Auckland seeking your support for my election as a Nonexecutive Director of EBOS, having been appointed to the Board in February of this year.

I was born and bred in rural Australia, but attended university in Sydney, completing the dual degrees of Bachelor of Jurisprudence and Bachelor of Laws at the University of New South Wales. I also completed an MBA, Master of Business Administration, at Harvard Business School in Boston, USA.

The early years of my career were spent as a strategy consultant with LEK in Australia and Germany. My -- and also with McKinsey in Australia and the U.K.

My first ever project with LEK when I joined way back in 1989, which shows you how old I am, was in New Zealand and involved visiting all of your main cities and towns to conduct interviews. And this was an incredible opportunity to start to discover your exceptionally beautiful and interesting country.

My executive career involved building and then operating an international media business based out of the U.K. Through focused and rapid expansion by acquisition as well as organically, I was lucky enough to be able to build the business from a few hundred million of turnover to several billion and expand the geographic footprint from a handful of countries to over 50 countries, including New Zealand and Australia, of course. They were the first ones I expanded into.

I entered the Chinese market in 1997 through a strategic joint venture and bought or partnered with companies across Southeast Asia and Europe. My final executive role was as CEO of this multinational business.

In parallel, I started my nonexecutive career back in 2000, joining the Board of what was the U.K.'s largest mortgage bank, which gave me invaluable experience with a very large and highly regulated publicly quoted business. Over the past 25 years, I've served as a Nonexec Director on 12 Boards in sectors varying from distribution to retail to fast-moving consumer goods to financial services and private equity.

I have served as Deputy Chair, Audit Chair and Remuneration Chair at various of these companies, which have ranged in market capitalization from small to medium sized all the way through to the FTSE 20. I currently sit on the Board of 3i Group plc in the U.K., a large publicly listed private equity and infrastructure business where I'm also Remuneration Chair. And I also sit on the Board of Tui AG, the German stock market listed vertically integrated travel business.

I'm looking forward to bringing my skills and experience in strategy, governance, people, international expansion and mergers and acquisitions to the benefit of EBOS and all of its stakeholders and shareholders.

Through what has been a thoroughly professional and in-depth introduction to all business areas during my induction program over recent months, I have come to understand and really appreciate what a valuable culture EBOS has: entrepreneurial, fast-moving, performance and growth oriented and yet grounded in strong values and integrity and led by really exceptional people who are passionate, hard-working and very, very good at what they do.

I want to thank Liz and the whole Board for putting their faith in me and giving me this wonderful opportunity to contribute to the continued and growing success of EBOS. Thank you.

Thank you, Coline. Are there any questions from the floor on this resolution? If there are questions online from this resolution? There don't appear to be any questions. So I will now move the adoption of Resolution 1. Thank you.

We now move to Resolution 2 regarding the election of Stuart McLauchlan as a Director. The resolution is, it is resolved that Stuart McLauchlan be reelected as a Director of the company.

I now invite Stuart to make a statement to the meeting.

Thank you, Liz. Fellow Board members, shareholders, thank you for this opportunity to offer myself for reelection. It is a pleasure and privilege to serve on the Board and to have contributed to the performance, growth and success of EBOS.

I currently chair the Audit and Risk Committee, and I'm a member of the Remuneration Committee. I believe my industry knowledge, including 9 years as Chair of Pharmac, my family having owned a pharmacy wholesaling business as well as my wider governance experience, has and will be of value to EBOS going forward.

EBOS is a great New Zealand company with a strong reputation, proven business strategy and considerable financial strength. On that basis, I ask for your support for my reelection as a director of EBOS today. Thank you.

Thank you, Stuart. Are there any questions from the floor on this resolution? Not appear to be. Are there questions online? There are no questions online. So I will now move the adoption of Resolution 2.

The next item of business relates to Resolution 3 regarding the election of Mark Bloom as a Director. The resolution is, it is resolved that Mark Bloom be reelected as a Director of the company.

And I now invite Mark to make a statement to the meeting.

Good afternoon. My name is Mark Bloom. I'm pleased to be standing for reelection today, having been appointed by the Board as a Nonexecutive Director in 2022. I appreciate you joining us today and for giving me the opportunity to cover some relevant details of my career and my background.

I have a Bachelor of Commerce degree as well as a Bachelor of Accounting, and I'm a registered chartered accountant in Australia and New Zealand with a CA qualification. I retired from a full-time executive career as a finance executive in April of 2019.

My executive career spanned 36 years as CFO and an Executive Director at top 20 listed entities in real estate and insurance and financial services. I spent 16 years at Westfield and Scentre Group after having spent 20 years in insurance and financial services at Liberty Life in South Africa and Manulife Financial in Toronto.

As CFO of Scentre Group, which is Westfield in Australia New Zealand, I was responsible for establishing a full spectrum finance team and established new bank and bond financing in global and local markets of $13 billion.

Liberty Life was a top 10 JSE-listed group in financial services, including life, health and short-term insurance and funds management. I was a member of the main Board as well as a member of the Board of all operating subsidiaries. I was responsible for all aspects of finance across the wider group.

I currently sit on other Boards of large listed companies in Australia. AGL Energy operates Australia's largest private electricity generation portfolio and supplies around 4.6 million energy and telecommunications customer services. AGL is at the epicenter of the energy transition in Australia. At AGL, I am Chairman of the Audit and Risk Management Committee and a member of the Safety and Sustainability Committee.

Abacus Storage King is a diversified Australian REIT with investments in self-storage sectors. Abacus owns and operates the Storage King brand of self-storage, which you are probably familiar with, both in New Zealand and Australia. At Abacus, I'm a member of the People Performance Committee and the Audit and Risk Committee.

I believe that through my experience as a senior executive at large listed companies, together with my experience as a Nonexecutive Director across multiple industries, I have built a solid knowledge base to allow me to fulfill my role and contribute effectively to the EBOS Board.

Just like all of you, I am also a shareholder in EBOS. EBOS is a great company with a proud 100-year history, a strong reputation, exceptional growth and proven financial strength. I would be honored to receive your support for my reelection today, and it will be my privilege to serve you on the Board of EBOS. Thank you.

Thank you, Mark. Are there any questions from the floor on this resolution? No. And I see that there's no questions online. So I now move the adoption of Resolution 3.

The final resolution relates to the auditor's remuneration. Deloitte is the current auditor of the company and is automatically reappointed in accordance with the Companies Act. It is proposed that the directors be authorized to fix the fees and expenses of the auditor. The resolution is, it is resolved that the directors of the company be authorized to fix the fees and expenses of Deloitte as auditor of the company.

Are there any questions from the floor on this resolution, please? There are no questions coming through online. No questions. So I now move the adoption of Resolution 4. Thank you.

Before we move on to the voting, does anyone have any other business?

I forgot this one. In the borrowing section of the annual report, there is also an item in there in regard to $45 million that is allocated to Southeast Asia in some currency that I'm not familiar with. So the question I ask in that regard, is there an executive in Southeast Asia that has got the authority to spend $45 million on behalf of the company for acquisitions? Or does any of that type of expenditure acquisition has to go through the CIO -- CEO and through the Board?

Well, I can confirm that there is no executive in Southeast Asia that has the authority. In fact, an expenditure of that level would come to the Board.

Are there any other questions?

There's this one...

Sorry, there's a question on the climate statement, our favorite topic. In relation to your climate statement, there was limited assurances from Bureau Veritas regarding Scope 1 and Scope 2 emissions data. Other elements of the climate statement are not assured. New Zealand Shareholders Association encourages EBOS to extend assurance scope in the future years to strengthen its confidence in the reliability of disclosures. Can we please comment?

Adam, you would like to comment your learning about climate statements in New Zealand and now Australia?

That's right. And look, we undertake a thorough process, including verification, engagement of experienced advisers and Audit Committee supervision before we -- before the Board considers and then approves the climate statement.

Thank you, Adam. Are there any other questions in the room? No. There's one more question from shareholders association. New Zealand Shareholders Association looks for evidence of ongoing succession or staggered appointment dates that reduce the risks associated with effective knowledge transfer in the event of succession. We also prefer a maximum 9 to 12 years unless there are exceptional circumstances that may apply. We note that Chair Liz Coutts has served since 2003. However, an effective reverse takeover of Symbion occurred in 2013. Can you please comment on Board and Chair succession?

What I can say is over the -- since I took over as Chair or just before that, Stuart McLauchlan joined. And then since then, we have brought on an entirely new Board staggered over the last 5 years. I am on my last term, and no decision has been made exactly when I will step down, but what I do tell people is that we have a relatively new Board and a very new CEO and a relatively new CFO. So I will be there until the Board feels that they are comfortable that it's time for me to step down. So in the meantime, I am there to support a lot of new people around me. But thank you very much for the question.

Any other questions from the room? No more questions online. Okay. So I'll now move to conduct the poll.

As I advised earlier, today's vote is conducted both online via Computershare meeting platform and by voting cards. Ladies and gentlemen, I would just -- before I conclude, I just want to make sure you've got plenty of time to your voting.

So ladies and gentlemen, that concludes our discussion on the items of business. In a minute, I will close the voting system. Please ensure that you've cast your vote on all resolutions. I will now pause to make sure that you've had plenty of time to finalize your votes.

[Voting]

So voting is now closed. The voting papers in the room are being collected. So please ensure that you have signed your voting paper. After the votes have been counted and confirmed, the results of the poll will be released to the ASX and the NZX and will be displayed on the company's website.

I now declare the meeting closed. Thank you very much for your attendance. It's very much appreciated, and we invite those here in Auckland to join us for afternoon tea. Thank you very much. Great to see everyone today.

Thank you for standing by, and welcome to the EBOS Group Limited FY '25 Full Year Results Conference Call. [Operator Instructions] I must advise you that this conference is being recorded today, the 27th of August 2025. I would now like to hand the conference over to your speaker today, Mr. Adam Hall, CEO, EBOS Group. Please go ahead, Adam.

[Foreign Language] and good morning, everyone. Thank you for joining us for the EBOS Group's FY '25 Results Presentation. I'm Adam Hall, the Chief Executive Officer of EBOS Group, and I'm joined today by Alistair Gray, our Chief Financial Officer; and Martin Krauskopf, our Chief Strategy and Corporate Development Officer.

I'd like to say it's an honor to lead the EBOS team, and I've taken the opportunity to get to visit many of our businesses in Australia, New Zealand and Southeast Asia since joining last month. I'm excited for how EBOS' capabilities are well suited for the opportunities ahead.

Turning to the results. FY '25 was another solid year for EBOS, reflecting the quality, scale and leadership positions we hold across the various businesses within the portfolio. We delivered solid organic growth which was supported by new customer wins in pharmacy wholesale where we added over 320 stores nationally, particularly across both New South Wales and Victoria; continued expansion of our pharmacy store network with 34 net new TWC stores added. We also expanded our medical technology business, including adding the Pacific Surgical team in the Philippines. We also saw steady performance from our Pet Brands business despite a softer market. We also maintained a sharp focus on cost management, delivering a 20 basis point reduction in operating expenditure through labor productivity, procurement savings and animal care ingredient costs.

By the end of FY '26, we will have concluded our distribution center renewal program, which will deliver 8 new sites and enhance existing systems over 4 years. These facilities enable us to serve more customers more efficiently. Alistair will talk about the benefits this program has brought later in the presentation.

Our bolt-on acquisition strategy also continues. In July 2025, we purchased Next Generation Pet Foods, which enhances our manufacturing capability and expands our route to market through the exciting channels of hardware and club retail. Our ongoing growth prospects remain strong with advantaged positions in each of our major divisions, community and hospital pharmacy wholesale, retail pharmacy, medical technology and animal care.

The stage is set for growth. But first, how does this translate into the 2025 results? Turning to Slide 4 and the financial performance. On an underlying basis, excluding the Chemist Warehouse Australia contract, revenue grew by 12% to $12.3 billion, and underlying EBITDA increased by 7.5% to $585 million. This is within the guidance reaffirmed in April 2025 of between $575 million and $600 million in EBITDA.

On a half-by-half basis, our second half was slightly ahead of the first half at $294 million versus $291 million. This growth was achieved in a pharmacy wholesale market that has been highly competitive since the CWA contract transition and also has seen softening discretionary consumer spend within animal care. Underlying EPS was $1.313 per share, and we declared a final dividend of $0.615 per share, bringing total dividends for FY '25 to $1.185 per share, unchanged from the last year and reflecting the Board's continuing confidence in the future growth of the group.

Our leverage ratio remains well within our target range at 1.9x, and our ROCE was marginally down 20 basis points to 13%. This reflects a period of significant investment in long-lived DC assets, and this program will continue in 2026. As we flagged before on a statutory basis, our results are down on the prior corresponding period, reflecting the loss of the CWA contract. It is important to note that the commentary this morning is predominantly based on our underlying results, excluding the impact of the CWA contract in the prior year. We have included a reconciliation between statutory and underlying numbers in the appendix of the presentation.

Now turning to the performance of the divisions, I'd like to start on Slide 5 with an overview of the highlights. First, within Community Pharmacy, we are pleased with the new wholesale customer wins, which equate to approximately $540 million of revenue on an annualized basis, and that the continued store rollout of TWC -- of the TWC network led us to 626 stores. In addition, the outcome of the First Pharmacy Wholesaler Agreement, together with the new CSO accord, will provide better medication availability to all Australians and provide far more sustainable industry funding.

Secondly, Institutional Healthcare was again a major growth driver for the group. Hospital medicines, particularly oncology products and the Southeast Asian Medical Technology business, maintained their growth momentum from the first half. This growth was also supplemented by several strategic acquisitions, as previously announced. Alistair will expand on these later.

Thirdly, Contract Logistics delivered customer growth across both New Zealand and Australia, enabled by our new warehouse capacity completed in this area last year. These new warehouses were timely with the additional refrigeration capacity supporting increased GLP-1 prescriptions. Please note that the New Zealand business also saw a decrease in earnings as certain COVID era programs ramped down.

And finally, in Animal Care, our branded products delivered ongoing growth supported by new product developments. We also completed 2 acquisitions with SVS establishing a leading position in the New Zealand vet wholesale sector and Next Generation Pet Foods providing an entry point for new high-growth, high value products, including air dried treats.

In the second half, in particular, Animal Care continued to face headwinds from consumers under cost of living pressure choosing to delay or downside premium discretionary purchases, including puppy purchases. The team did a terrific job to offset part of this trend by continuing to grow our branded revenue through share gains.

Now turning to Page 6. I'd like to provide an update on the near-term growth objectives that were established in FY '25. I'm pleased to report that the team have achieved all the interim objectives, specifically, they have delivered base business growth within both the Animal Care and Healthcare segments. We won approximately $540 million of annualized sales from new pharmacy wholesale customers. We achieved cost savings of $30 million against our target of $25 million to $50 million per annum by FY '26; and we also executed 5 strategic investments across Medical Technology and Animal Care, deploying capital to strengthen our segment positions and diversify earnings. This slide completes our report out on these 4 initiatives.

On the next slide, we have an overview of our ESG commitments. I'm pleased the group continues to make sound progress on its ESG program. During the year, the group advanced several environmental initiatives that focused on improving renewable energy generation, offsetting our carbon footprint and transitioning grocery brand packaging to recyclable materials. EBOS also enhanced its safety status to high-risk activities. Our efforts have reflected our commitment to improving health outcomes and supporting our communities.

I'd also like to add that I have found the EBOS team to be focused on safety. There's always more to be done, but my experiences with our front-line colleagues demonstrate their commitment to keeping themselves and their teammates safe at work. Now I'd like to move to how our individual business has performed. I'm first going to share healthcare and then within healthcare, the highlights of Community Pharmacy, TWC, Institutional Healthcare and Contract Logistics, then I'll move to our second reporting segment, Animal Care.

Turning to Slide 9 in our Healthcare segment. Our Healthcare segment delivered a solid performance with revenue growth of 11.8% and EBITDA growth of 6.9%, again, excluding the CWA contract. You'll notice that EBITDA growth was lower than revenue growth, driven by 2 factors: First, a rise in the proportion of high-value medicines, which are profitable for us but come with lower percentage margins. For example, an increasingly popular oncology drug has a sale price of approximately $3,700, but effective profit margin of around 1.5%.

And secondly, with recent CWA changes, the competition for pharmacy wholesale customers is strong. We expect the tighter margins that we have seen in pharmacy wholesale in 2025 to continue through FY '26 as wholesale providers and customers realign. Healthcare's performance was well supported by a Community Pharmacy TerryWhite Chemmart and the Institutional Healthcare business. But turning to a geographic perspective, our underlying Australian Healthcare business grew revenues and EBITDA by 12.9% and 5.9%, respectively, whereas our New Zealand and Southeast Asia business grew revenue and EBITDA by an impressive 8.1% and 10.8%, respectively, driven by a strong year from Transmedic in Southeast Asia.

Now drilling down within health care, how did Community Pharmacy perform? On Slide 10, you can see that the business has responded well to the changes in industry dynamics, achieving meaningful share gains and benefiting from continued demand for high-value medicines such as GLP-1s. Cumulatively, this has seen the underlying business grow both revenue and GOR by 15.8% and 7%. As I mentioned earlier, 2025 saw both an increase in high-value medicines and a period of tighter EBITDA margins as the market went through a period of heightened competition. This industry went through a similar process in 2019 when EBOS won the CWA contract.

We expect this to be the last period of such competition as the largest single retailer has backward-integrated into the wholesale pharmacy chain. I'm very proud of the way that the EBOS team has very methodically prepared for this transition from the physical challenge of overnight restocking when the contract ended to the cash conversion challenge of ensuring working capital release to the commercial challenge of securing an alternate customer base. Our business has managed this transition well.

The GOR margin improved by 40 basis points to 9.1%, reflecting a positive shift in both product and customer mix, new business wins and enhanced service revenue. The increased CSO funding relating to the first pharmacy wholesaler agreement commenced in the second half of 2025, and we expect a further step-up in FY '27. Now one part of the Community Pharmacy business that's worth further expanding on is TerryWhite Chemmart, which is Australia's leading health service-focused -- excuse me, leading health-focused pharmacy network.

On Slide 11, you can see 2 key dynamics for TWC. First, network size increased. During the year, 34 net new stores joined the network, rolling out total to over 620 locations nationwide. These stores are frequently existing Community Pharmacy customers, so we understand their performance well and are happy to have them on board. We expected net store growth to moderate in FY '26.

Next, network performance also improved. Here, we delivered $2.6 billion in sales, representing total sales growth of 10.2% or 8.5% on a same-store basis. I'm delighted that our CareClinic service continued to scale, delivering approximately 976,000 vaccinations administered across the network through the year. Our understanding is that's more vaccinations administered than anyone in Australia, but I'd be glad to be corrected. Clearly, our customers want to be engaged with their TerryWhite Chemmart pharmacist on health. Not only that, but they want to keep that engagement going online. Over 1.2 million prescription transactions were placed online in FY '25 through the MyTWC app, reflecting strong customer engagement and digital adoption, generally initiated from an in-store interaction with our knowledgeable TWC team. There's more to come in this space, but what about Institutional Healthcare?

Turning to Slide 12. Our Institutional Healthcare business was again a significant growth driver for the group. This division delivered revenue and GOR growth of 8.4% and 11.4%, respectively. This positive operational leverage was driven by particularly strong growth across Southeast Asia and also in allografts and oncology. Our Symbion Hospital business maintained its growth momentum, largely due to the ongoing demand for high-value oncology medicines.

Growth in medical consumables was partly offset by a normalization in vaccine activity post-COVID. Transmedic's performance was particularly pleasing, and I was glad to meet some of our team in Indonesia and Singapore. The improvement of GOR margin by 40 basis points to 15.7% reflects the ongoing expansion of the medical technology business within Institutional Healthcare, which is higher margin.

Looking beyond Community and Institutional Healthcare, what about Contract Logistics? On Slide 13, you can see our Contract Logistics business deliver a solid overall performance with GOR of $154 million in the period, up 3.3%. Both the Australian and New Zealand businesses were able to grow their customer base with Australian GOR up 15.3% as the new warehouse capacity was completed in FY '24. The New Zealand business was down overall, as we had previously flagged, which is due to the result of the progressive ramp down of the COVID-19-related contract. We are continuing to invest in our footprint systems with a new facility in Perth expected to open in FY '26 and further cold storage expansion in Sydney, which will support continued demand growth for GLP-1 and other specialty medicines, and Alistair will talk more about this shortly.

Beyond Healthcare, we had a wonderful second reporting segment, Animal Care. And how did that perform in FY '25? On Slide 15, we can see Animal Care revenue and EBITDA increased by 16.3% and 10.4%, respectively. This was due to the resilient performance of the branded business and the acquisition of SVS. The performance of the branded business reflects the leadership positions of our flagship Black Hawk and VitaPet brands as well as investments in new partnerships and new product development. Consumers have been affected by cost of living pressures. And we saw a flattening of the Australian puppy cohort, particularly in the last 6 months of the year as consumers deferred adding a companion pet to their family. I'm pleased that this has been partially offset by share gains for EBOS brands.

In the affordable premium space, in the specialty channel, we've seen consumers trade into the Black Hawk brand. And some -- and in New Zealand, we've seen some consumers trade into our value-focused but high-quality, Chunky and Possyum dog roll brands. The vet wholesale business also grew significantly, largely due to the acquisition of SVS in April of this year. I'm pleased to report that the acquisition has performed in line with our expectations and reflects our disciplined approach to capital allocation.

The SVS team are great additions to the EBOS team, and we look forward to continuing to build opportunities together. Due to the acquisition of this lower-margin wholesale business, the GOR margin for the segment was down 170 basis points to 32%. However, excluding SVS, GOR margin was up 90 basis points on the prior period. In addition to the SVS acquisition, on July 1, 2025, we purchased Next Generation Pet Foods, and on Slide 16, you can see details of the business, including photos of the 2 dedicated facilities focused on manufacturing and packing of premium pet products.

This acquisition is a strategic expansion of our pet brand business into new high-growth, high-value products, including air-dried treats. It also gives us an entry into the club retail and hardware channels through the Evolution brand. That's what you can see in the photos, by the way. The air-dryer is in the top right and allows us to introduce new Black Hawk air-dried treats, which you can see on the bottom left. The transaction was fully funded from our balance sheet, and we expect that the transaction will be marginally EPS accretive in its first full year.

With that, I'll now hand over to Alistair to take you through the group's financial performance in more detail.

Thank you, Adam. As Adam has mentioned, on an underlying basis, the group delivered a solid financial performance for the year, despite the significant loss of volume associated with the CWA contract. Revenue was up $12.3 billion, up 12% on an underlying basis, supported by both of our segments. Underlying EBITDA was $585 million, an increase of 7.5%, with group EBITDA margins improving to 4.8%. This result reflects the successful delivery of all our near-term growth objectives and disciplined capital allocation. Our depreciation and amortization costs increased to $120 million. This reflects the ongoing capital investment in the DC renewal program. I will talk further to this shortly. Finance costs were up $12 million due primarily to higher lease interest costs associated with the same program.

Now turning to cash flow. The group generated strong cash flows with underlying cash flow before CapEx of $448 million, up $81 million compared to the prior corresponding period. Net working capital reduced compared to the prior year, and cash realization was strong at 109%. The strong cash generation supported our organic and inorganic growth investments and distributions to shareholders. Capital expenditure was $146 million for the period, up $27 million on FY '24.

Turning to Slide 20. Over the past several years, EBOS has made substantial investments in our healthcare infrastructure to support long-term growth and improve operational efficiency over the next 10 to 15 years. From FY '23 to the end of FY '26, we have invested approximately $360 million in our distribution network and systems across both Australia and New Zealand. At completion, this program will have delivered 8 new sites, representing a 20% net increase in our network capacity.

The DC renewal program has already delivered additional refrigeration storage, supporting the significant growth in GLP-1 and other temperature-sensitive medicines, expanded automation, driving productivity and lowering our cost to serve; and enhance system integration with customers, improving service delivery and scalability. We expect that the organic capital program will conclude in FY '26 following commissioning of the remaining 3 sites. From FY '27 onwards, annual capital expenditure is expected to reduce approximately 30% on a like-for-like basis, reflecting the completion of that strategic program.

Now moving to inorganic investments in the period. Consistent with our strategy, acquisitions have continued to deliver value to the group. We completed 5 acquisitions across both the Medical Technology and Animal Care businesses. Collectively, these accounted for approximately $210 million of capital with the investments being small to medium in size. We expect that each investment will be EPS accretive immediately and will support return on capital employed expansion in the short to medium term.

Now turning to Slide 22. The group balance sheet and liquidity remain strong. Net debt reduced to $918 million following the successful capital raise in April this year. The leverage ratio of 1.92x is consistent with the prior year, remaining conservative and within our target range. This provides significant capacity to fund further growth investments. Earlier this year, our debt facilities were successfully refinanced, and our weighted average debt maturity is now 2.9 years.

Moving on to shareholder returns and earnings growth. Underlying earnings per share were $1.313, down $0.266 when compared to the prior corresponding period, reflecting growth of the underlying business partially offsetting the conclusion of the Chemist Warehouse Australia contract. Reflecting the Board's confidence in the future growth prospects of the group, the Board have declared a final dividend of NZD 0.615 per share, bringing the full year dividend to NZD 1.185 per share. This represents an underlying payout ratio of 83.8% and will be imputed to 25% for New Zealand tax resident shareholders and fully franked for Australian tax resident shareholders. The group's dividend reinvestment plan, which has been strongly supported by shareholders previously, will be available for the FY '25 final dividend. Shareholders can elect to take shares in lieu of dividends at a discount of 2.5% to the volume weighted average share price.

I will now hand back to Adam to conclude today's presentation.

Thank you very much, Alistair. On Slide 25, you can see our outlook for FY '26. I'd like to share this for the year ahead before we open the call up to Q&A. I believe EBOS is exceptionally well positioned for long-term growth. We continue to benefit from positive industry tailwinds across both Healthcare and Animal Care sectors, supported by increased spending, demographic shifts and evolving customer preferences. However, we remain mindful of near-term macroeconomic pressures in FY '26. The wholesale pharmacy environment remains highly competitive. Hospital capital expenditures have softened, and discretionary categories are being impacted by subdued customer sentiment.

With this context, the group is targeting underlying EBITDA of $615 million to $635 million in FY '26, representing a 7% uplift on FY '25 at the midpoint. We expect growth in both the Healthcare and Animal Care segment. This rate of growth would be broadly consistent with FY '25. It will also be based on similar drivers to the FY '25 results, continued focus on winning new customers in pharmacy wholesale, and driving animal care sales, while also taking full advantage of our new distribution centers across New Zealand and Australia.

As I noted earlier in the presentation, FY '26 will also mark the end of our major distribution center renewal program. We anticipate CapEx of $130 million to $140 million this year, which is a small step down from the $146 million of CapEx in FY '25. Future annual CapEx should reduce by approximately 30% on a like-for-like basis. Our D&A expense is expected to be approximately $140 million to $150 million in FY '26, reflecting these recent capital investments.

Our balance sheet remains strong with leverage to remain in our targeted range and ample headroom to support future growth through existing liquidity and financing capacity. FY '26 net finance costs are expected to be about -- excuse me, approximately $110 million to $120 million, which assumes there are no additional debt funding requirements and in addition, the effective tax rate to be approximately 28%.

Finally, we are planning to host an Investor Day in Q4, where we will provide deeper insights on our strategic priorities and long-term growth drivers and our capital management framework. We will share further details in due course. Thank you for listening this morning. I will now hand back to the operator for Q&A.

[Operator Instructions] First question comes from the line of Saul Hadassin from Barrenjoey.

Can you hear me?

Yes, we can.

Great. Maybe just the first one. It seemed like operating costs was the surprise in the second half '25. A couple of the cost lines stepped up pretty materially in growth versus the previous period and also as a percentage of revenues. And I'm thinking here, other -- what's booked as other expenses in the profit and loss, we don't get a lot of detail. Can you talk, Adam, maybe to what you're seeing in terms of those operating costs that potentially presented as more of a challenge in the second half and how we should think about growth in operating costs into FY '26, please?

I'm going to let Alistair start and then I'll add a comment at the end.

Yes. Thanks for the question. So I recognize that it is fairly difficult to interpret given the number of moving parts in the result. We touched, as part of the presentation, on delivering the savings of $30 million. It's worth recognizing that $22 million of that was in OpEx and $8 million of that was in GOR. On a like-for-like basis, excluding CWA, costs as a percentage of sales have decreased by 20 basis points, which is probably the cleanest read in terms of the cost performance in both the half and the full year. On the same basis, dollar -- cost dollars have increased with the growth in the base business. It's worth recognizing that CWA was a low cost to serve customer given both the scale and the medicines-only nature of that contract.

So reported costs have increased as a consequence of the change in the customer mix there. By and large, the sort of bridge in terms of costs are really these 3 simple things. It really is the base growth in the revenue of 12% contributing to the cost base, the savings performance across the business and then the exit of the CWA costs. What I would say is that the FY '25 cost position is probably representative of the go-forward position, recognizing the fact that we still remain focused on optimizing the cost base.

There has been a tremendous amount of change to the operations of the business in FY '25. And as we've mentioned through this call, we are continuing to progress with the strategically important DC renewal program, which again operationally creates challenges and change across the business. I think it would be fair to say once we have landed that program through FY '26, we feel really positive about the productivity benefits that we expect to unlock as part of that program. And as I've said, we remain focused on costs as an organization.

Yes. I just want to echo Alistair's comments on the DC renewal program. So in the go forward, a number of the projects are in commissioning at the moment. As they come online, as the team gets 6 to 12 months of running those DCs under their belt, they'll be able to choreograph in an ever more optimal way and show some costs up at the margin. Saul, did that answer your question?

Yes, it did. Maybe just then as a follow-up, Adam, you've flagged some sort of softening in some of the end markets. You called out animal care and also that competition in Community Pharmacy. I think as you look -- again, as you look into FY '26, cognizant that your guidance is EBITDA below. But I guess from a revenue perspective, can you give us sort of any thoughts on how you see revenue progressing into '26 across the 2 key segments, both Healthcare and Animal Care?

I think the way I'd characterize it would be we see the trends of the second half of 2025 broadly continuing through FY '26. I don't see at this point any material change. Obviously, we'll update you at the half, if not before, on that.

Next question comes from Adrian Allbon from Jarden.

I was just wondering if I could come back to, I guess, the delivery of the full year EBITDA. Because I guess when we look at the growth objectives that were achieved on Slide 6 and particularly even if you go back to the first half, they look like the business was kind of achieving ahead of kind of the initial plan. And then you sort of add in the SVS acquisition, which I'm assuming is sort of maybe $4 million or $5 million of EBITDA. And like I'm just sort of wondering what would have been required to sort of hit the top end of that range, if you can sort of phrase, it back to us in that sense?

Yes. I think the themes that were pointed to in the half 1 call, we reaffirmed the guidance of $575 million to $600 million, I think, in part because we are seeing the competition of -- in pharmacy wholesale, and that has transpired. Alistair, in terms of a breakdown of the range, did we provide any guidance on that in the -- between the $575 million and the $600 million?

No, we didn't necessarily break that down. But Adrian, just to sort of pick up the explanation. I think the themes that Adam touched on in the call really are the driver of that second half performance. We did see the Animal Care market softened within the second half, which while we feel really pleased with our ability to grow share through that period. The reality is that has subdued growth in the second half.

We've obviously started to see some green shoots in terms of the easing of monetary policy flowing through consumer confidence as to how quickly they manifest in a more buoyant market remains to be seen. We remain sort of cautious about that, but equally confident about our ability to perform well in that kind of environment. We have also seen some capital sales slowing within the ANZ business. It's probably a less material factor in truth, but they're probably the contributing factors.

Okay. I wonder if I could ask a slightly different question, maybe this is for you, Alistair. Just in terms of -- I know -- like in terms of the outlook, like the net interest costs are stepping up quite materially like to the tune of $30 million. Can you sort of explain -- and it doesn't feel like the debt is necessarily moving a lot year-on-year. Can you explain the drivers in that?

Yes. No, thanks for the question, Adrian. By and large, the financing cost growth into FY '26 is driven almost exclusively by lease interest costs as a consequence of the continued implementation of the DC renewal program. We are actually expecting -- subject, of course, to acquisitions and net debt movements as a consequence, we are actually expecting the bank financing costs to remain broadly consistent year-on-year. So it really is the contribution of the DC renewal program, which I'd kind of go back to -- I mean, that is a long-dated series of investments that we've made that will support growth over the next 10 to 15 years. But in the short-term, that will be our impost in both interest and depreciation. Does that answer your question, Adrian?

Okay. Yes. So sorry, just to go back. So like your net interest cost or net finance cost was sort of $82 million for this year. They're going up to sort of midpoint $115 million, I think it is in the guidance statement. So you're saying all of that bridge is pretty much in the higher lease costs, the actual bank side of...

Yes. No, sorry, Adrian, just to pick up, I think we may have potentially confused you. The net financing costs is $106 million in the year. So the $82 million you referenced is simply the bank financing. So that excludes lease interest costs. So it's moving from $106 million up to $110 million to $120 million, and that movement is driven by lease interest costs.

Does that help, Adrian?

Okay. Yes, that's good. And then -- sorry, just finally, just in terms of like, I guess, the stay in business with BAU CapEx once you roll off '26 seems, I guess, higher than history, I suppose. Is that a consequence of inflation plus it's a bit more sophisticated in terms of maintaining these facilities?

I think you've hit the nail on the head there and the sophistication of the facilities and the efficiency gains are what we -- is what drove much of the investment. So again, the pressure will be on the team to really put those to work and drive the highest productivity from each of those facilities.

Next, we have Matt Montgomerie from Forsyth Barr.

Just want to pick up on pharmacy, if that's okay. I mean you're clearly, I guess, calling out pressure on margins. Just interested if you could, I guess, provide a bit more detail behind what you're factoring in, in FY '26 in terms of pharmacy GOR margins. It sort of feels like they need to be coming down somewhat notably lower to get to your guidance. And then maybe any comments you can provide on sort of EBITDA margins within pharmacy, what's happened in FY '25 and then sort of what's incorporated into guidance?

Sure. Thanks for that question, Matt. So firstly, in terms of the industry dynamics, we've seen this movie before. So back in 2019, when EBOS picked up the CWA contract from another player, we saw a period of around 18 to 24 months following that transition where there was a realignment of that spare capacity in the competitor that was created with the market demand. We're seeing that again now, and this will be the last time because, of course, there's now integration between CW and another player.

And the -- and again, we're seeing that take that 18 probably to 24 months after the changeover. So we would expect that period to continue all the way through 2024. In terms of the overall margins, with the increase in high-cost medicines, that has an impact on pharmacy wholesale margins. You heard me mention that on the call. Alistair, I think it would be fair to say that the goal, we would expect to be at roughly the same level in '26 as '25 in terms of percentage?

Yes. No, that's absolutely right. Like we've seen both in community pharmacy and institutional health care sales being supported by the growth in the high-value medicines. And as Adam outlined, I mean, these are a material contribution to the top line growth. And as such, they're having impact on the shape of the P&L because higher sales, same GOR, same EBITDA. So the margins are being compressed naturally.

We have seen that trend, this isn't something new, as I'm sure you would appreciate, Matt. We have seen that trend continue. At present, we don't see that trend abating. Certainly, our expectation is that, that will continue into FY '25. So I'd expect the shape and growth within that segment to remain broadly consistent with what we've seen in the half, recognizing Adam's comment about heightened competition.

And Matt, maybe just a place to end there. In terms of GLP-1s, the prior rational regime has come to an end in Australia. And in New Zealand, the launch of GLP-1s only happened on the 1st of July. So there is still future runway in high-priced medicines across both Australia and New Zealand.

Okay. That makes sense. And then just if we step back from your guidance a little bit more. The first question is, is it fair to assume that organic growth within your guidance is about 4% year-on-year, acknowledging SVS plus presumably the small Next Gen contribution. And then I suppose, I think some more color would be appreciated as to divisional drivers behind that. I mean I know you don't typically give color, but I'm just cognizant that there's some reasonable downgrades likely to consensus here and that organic growth rate is lower than what you would have typically delivered over the last 5, 10 years. So I think it would be appreciated just a little bit more color if we could step through your divisional comments a bit more.

Yes. I think -- so let's go back to FY '25 as the starting point. So in FY '25, it was 7.5% growth, and we're guiding to 7% growth in '26. So I guess that's 50 basis points up.

Yes. So I'm just more meaning organically, like if we strip out the impact of acquisitions, it looks like your guidance for '26 is for 4% organic growth, which is lower than what you've typically delivered historically. So just -- I think I'm just looking for color on more divisional comments behind that.

I think you're broadly accurate. And -- but in the -- given the headwinds that we've outlined, including the increased competition and the currently soft animal care market, I think that's to be expected.

And is there anything else you'd want to call out in, say, institutional health care or contract logistics?

Look, as Alistair mentioned, there's probably a slightly soft hospital capital expenditure outlook. That's -- we've seen that through '25. That probably impacts our Southeast Asian business more than our Australian business, but the -- that remains a sort of third driver, but the top 2 would be pharmacy wholesale competition and discretionary spend in Animal Care.

Next, we have David Low from JPMorgan.

Just with the lease costs, I mean, clearly, I've missed how much they're going to lift. I was just wondering, Alistair, if you could give us some rules of thumb because obviously, there's other DCs coming on and 3 yet to come on. How do we think about converting the CapEx spend to likely lease costs as I think beyond FY '26?

Yes. No, that's a great question. Thank you. And I would say -- start by saying I recognize that it's been challenging to predict given the step-up investment that we've made. It's really why we've been deliberate about being transparent about the guidance into FY '26 for both depreciation and financing costs. We wanted to provide that clarity as we go through. Clearly, as we continue to invest in FY '26, I would expect that there would be a less material increase in D&A and financing costs into FY '27.

I won't get into the permutations. The longer we get out, the more subjective that becomes. But really, what I'd point you to is the guidance we've given in '26 that will then be a reasonable base to go off, we are -- and Adam noted that in his overview, like we would expect the CapEx to materially reset down post completion of this DC renewal program in '26. And then I would expect these levers to move in a more consistent format to what we've seen previously.

Does that help, David?

Yes. No, it does. I mean it would be nice to have some rules of thumb in terms of the CapEx and the timing of openings. But look, we can talk about it offline when I've done a bit more review of my numbers.

No problem. Thank you, David.

Next, we have Stephen Ridgewell from Craigs Investment Partners.

Just a couple of questions on the divisional results and outlook. First of all, on the Medical Technologies business, you don't sort of split it out, but back of the envelope, I think it has been that the GOR margins may be around 55%. Just on the result you've delivered, it might have softened a little bit. Just given the strength of revenue growth in Southeast Asia, are you able to talk to the GOR margin for the Medical Technologies business in that market? Does it tend to be a little bit lower than Australia? Or was that sort of business mix and acquisitions perhaps driving that?

Look, Stephen, I'm very sorry, we don't provide any additional color on that because it is commercially sensitive. We have to be in the market winning partners selling our products every day. So we don't provide additional guidance on that. What I can say is that we were really pleased with the Transmedic performance in the second half. I think they did a great job. And other than potentially some slight softness in hospital sales just at the very back end of the year in Southeast Asia, the rest of the half was a strong half for that business.

Sure. I appreciate you sort of you don't split it out specifically. But at a high level, is that market typically a lower margin market for the industry than perhaps what's achieved in Australia? And then -- because I guess the consideration is the growth is a lot faster in Southeast Asia going forward, and we've obviously seen that the year just gone, it might be that the market needs to think about some dilution of core margins going forward from that segment.

I appreciate you coming through. I think you can assume it's broadly similar. And then if it ends up growing in a different direction, we'll let you know. But at the moment, a broadly similar assumption with that one.

And the only point I'd make, obviously, we grew MedTech within the Institutional Health Care segment, and you would have noted that the core margin has expanded at a healthier rate in the full year. That really talks to the pleasing growth that we've seen in the Transmedic business, in particular, in the second half, which is obviously, as you rightly noted, margin accretive to the rest of the portfolio.

Okay. All right. We'll move on. And then just in terms of Animal Care, Adam, you kind of called out in terms of the outlook, consumers are trading down. I understand that EBOS has access to scan data, which gives you a pretty good sense of market share. Are you just able to confirm just to provide a bit of comfort that the EBOS' branded products aren't losing share sort of year-to-date into FY '26 and you're not assuming share loss. I guess that's -- because there is a new trend. It's been a strong performer and obviously, the like-for-like is a little bit softer, organic a little bit softer at the moment.

Oh my gosh, Stephen. So it's been such a great performance by the team. So the puppy cohort is definitely flat. But the Black Hawk share of that cohort has definitely increased at the margin. And so if you think about what the team had to do, the team had to make sure that every consumer in Australia that's trying to take care of their -- member of their household has seen Black Hawk as the affordable premium option for that member of their family. And it's worked. So it's -- their share is up. And our understanding is that it's been a great partner to the channel as well, and the channel enjoys bringing Black Hawk to market.

Don't want to forget the different position but still share up in dog roll in New Zealand at the margin, again, just at the margin, but seeing strong performance in the Chunky and Possyum brands, which are just a high-quality product, but at a very reasonable price for the consumer. And New Zealand consumers feeling the cost of living pressure at the moment, seeing those -- both those brands as great options. So I'm glad you asked the question. I'm sorry if we weren't clear before, but the branded products within the Animal Care portfolio are doing well, and we expect that to continue in '26.

Okay. No, that is helpful. And then I guess just in terms of the market move, which you've called out, which is consumers trading down a little bit to lower value brands in the prepared remarks. I guess from an EBOS perspective, is there a different margin structure between the premium brands and the more value brands in the mix that we should keep in mind?

I don't believe so. I think we're very comfortable that obviously, the cost base adjusts with the price and that overall, the margin -- I wouldn't -- I can see what your question is, Stephen, and you're concerned about it, if the value brands were to surge, does that mean a change in the margin percentage? I wouldn't see that at the moment.

Okay. And maybe just one last one for me on the -- again, on the guide. Just -- so beyond the factors you've called out, there are also BAU cost pressures that are elevated in terms of what you're expecting for FY '26, for example, wage cost pressures or freight pressures, for example, that sort of you take into consideration with the outlook statements that perhaps haven't been called out yet.

I'll let Alistair comment in just a moment. But in general, we expect inflationary pressures on our cost base every year. I think it is comparably visible that we have 3% to 5% sort of cost growth baked into EBAs and so on. We expect the teams to offset that every year as well through productivity or through other means to protect the margin. Alistair, do you have any comment on that?

I've got nothing to add to that. That's a good summary.

Next, we have Lyanne Harrison from Bank of America.

You mentioned a couple of times pharmacy competition being a little bit of a headwind. Can you talk through how you're seeing that present itself? And also, can you talk to that in light of you've won something like 320 new store customer contracts this year? Can you give us some color on whom or where you're winning that from and reasons for the win?

Yes. Lyanne, thank you for your question. Your line came through just a little bit faint for us, but my understanding is that you're asking about Community Pharmacy, what the nature is of the competition and how Symbion manages to win despite the competition. Is that right, Lyanne?

Yes, that's correct. And do you think you're winning your share of the new store customers?

Yes. You heard me reference this in the opening remarks. We believe our market share in pharmacy wholesale is up slightly, excluding CWA. And the reason for that is the power of the Symbion value proposition to pharmacists across Australia. That value proposition is built on a team at Symbion that has a huge amount of experience and relationships in the industry. That means they're seen as very reliable.

And of course, you need to meet the market price. So I think in a market where there's heightened competition, pharmacists are going to look and test the options that they have for their wholesale. They're going to rank them up. But if we can meet the market price, then I think it's a very -- Symbion becomes a very compelling proposition to that pharmacist. Did that answer question, Lyanne? Again, you were just a little faint on the first one.

Yes. No, that's fine. And just a second question. You talked about some cost savings, your guide range for '25 of about $25 million to $50 million. Do you have a similar target range for '26 that you can share with us? And where do you think some of those cost savings might come from?

Yes. Thanks for the question, Lyanne. The $25 million to $50 million was actually by the end of FY '26. So the target that we outlined was for next year. We've obviously delivered $30 million of that in year 1 and feel really positive about being able to achieve that. Cost, I mean, we -- what I would say is we continue to be focused across the entire cost base, looking for opportunities, both for efficiency enhancement and also from procurement benefits.

So I would say that it is something we'll continue to be focused on. And I would expect that there to be some inflationary offsetting savings as we look forward into FY '26. As Adam said to an answer to a previous call, from a management perspective, we do look to try and negate the impact of inflation as we look forward and set targets and investments across the organization, and that's something we'll continue to do.

Next question comes from Daniel Hurren from MST Marquee.

Look, a lot of the earlier questions were kind of dancing around the same issue today and about the industry outlook. So I was hoping you might be willing to say what you expect for Community Pharmacy system growth in FY '26 within your guidance and if you expect to be below or above that?

Dan, thank you for your question focusing on Community Pharmacy. I didn't -- I heard that you're asking about Community Pharmacy and that you're asking about FY '26, but I just didn't catch the last part. Would you mind just saying it one more time?

Sure. My question is, what do you expect for Community Pharmacy system growth in FY '26 within your guidance and if you're expecting to be above or below that?

System -- did I hear you right, you say system growth, meaning the market growth?

Yes.

Yes. So you're asking, are we expecting to gain or hold market share or lose market share in Community Pharmacy in FY '26. If that's the question, I think that we are assuming a steady state in terms of market share through FY '26.

Yes. And what do you expect that pharmacy growth to be in '26 within your guidance? What is your assumption there for -- with all these headwinds you've been talking about with high-cost drugs and so forth? What is your assumption for market growth in pharmacy?

Yes. Thanks, Daniel. Like we won't go into splitting out the segment by segment, business by business guidance at this point...

It's the big...

I think we've provided a relatively tight range in terms of our EBITDA guidance. What I can say is, though, that I would expect the dynamics that we've seen in FY '25 to be broadly consistent with those in FY '26.

One thing I'd add though, Dan, just looking back at FY '25, you heard us mention that we had a slight tick up in our market share in pharmacy wholesale. That was a pretty good result given not just the change in CW, but also that it doesn't include CW in that base given CW is growing swiftly.

Okay. And last question, looking forward, Chemist Warehouse, New Zealand, will that be negotiated in FY '26? And do we need to consider that during other guidance period?

I don't think we're going to comment on any individual contracts other than the CW contract, which, of course, is already -- CWA contract, which has come to an end. Everything else, I think, would be baked into the guidance range that we've given.

Next, we have Stephen Hudson from Macquarie Securities.

Just 2 quick ones from me. Just on the DC renewal program. Did I hear you correctly when you said that, that should give you 10 to 15 years of capacity headroom in both animal care and health care?

Stephen, I would love for that to be the case. I think that's probably just a bridge too far. So firstly, the DC renewal program was only in health care. It did not cover animal care. So let me put that one to the side right away. And then within health care, each of the assets has a 10- to 15-year life. I will be encouraging the team to create a high-quality problem as swiftly as possible by driving utilization as quickly as possible. So the extent to which we need additional CapEx will be the extent to which the team succeeds. So if we happen to have a high-quality problem shorter than 10 to 15 years, I think that will be welcome at the time.

That's useful, Adam. Where does it leave you versus your key competitors, do you think, in terms of headroom and cost to serve? Can you give us some broad brush comments there?

Look, I think one of the -- when I look at the -- each of those 8 facilities, the underlying -- the teams were intimately involved in designing the DC refreshes. And so they're well suited for each of the businesses. So just for example, one of the HCL facilities that came on in New Zealand arrived just in time with the additional refrigerated capacity to serve the GLP-1s that were released in New Zealand on the 1st of July. So I see each of these facilities as generating a return for each of their individual business units. And again, something that we'll be pushing each of the teams to focus on. Did you have any add to that, Alistair?

I mean, I think you answered it well, Adam. The only other example I'd probably direct you to, Stephen, is we're investing in a distribution center in Sydney, which really step changes the productivity of that site and again, provides further capacity for future growth. So as Adam said, these are sort of site-by-site, business-by-business investments where we've wrapped up as a renewal program. But we feel very confident in the productivity and service that these new facilities will give us relative to competition.

Okay. Very good. I'll just sneak in a second one. I think that's the second one. The $95 million go-forward CapEx that you've provided us; can you just break down that into some basic buckets?

Probably I'll take that one, Stephen. Thank you for the question. I probably won't break it down at this point. I think what we -- what I'd like to do is take that question in notice and share more on our capital management framework and how we think about capital at the Investor Day that we've outlined. I think there's a bit to unpack. So I'd rather do that then if that's okay, Stephen.

Our last question comes from Marcus Curley from UBS.

Could we just start with any color you can provide on what you think the Community Pharmacy market growth was in FY '25?

Thank you for the question, Marcus. I'll let Alistair lead on that, and then I'll follow on.

Yes. So just to clarify, Marcus, you're asking about the market growth in Community Pharmacy in Australia?

Correct. Yes, in the last financial year.

Yes, in the last financial year. Yes, I mean the -- at a revenue or value perspective, the growth in the Community Pharmacy market has been relatively elevated compared to the long-term average. As we've talked about, the driver of that in reality is the distorting factor of high-value medicines, which have been a feature for some time and continue to be -- the growth in these medicines continues to be propelled most recently by the introduction of GLP-1s. I think the PBS growth was low double digits in the year, which is probably as good a guide as I'd be able to provide in terms of that market growth.

And then, Marcus, in addition, I would say the -- sorry, did you have a follow-on?

No, you finish. Sorry.

In addition, I would say just on those high-value drugs, those are not just GLP-1s. There's also continuing growth in high-cost oncology drugs and other Section 100s that are coming through as well.

And fair enough to assume that the market growth for the distributors less than the low double digit?

Sorry, I didn't catch the question, Marcus. Do you mind just saying that again?

Yes. So at the distribution level, the revenue growth would be less given that obviously, that the payment against high-value drugs is obviously different at the distributor level?

It generally correlates. What we are seeing though is the GOR margin is being compressed as a consequence of that mix. We delivered a like-for-like revenue growth in our Community Pharmacy business of 15.8%, which is higher than the aforementioned PBS growth. So we feel very comfortable with the performance of the Community Pharmacy business, particularly in light of the changes in the business.

So the PBS -- sorry, you first, Marcus.

No, no, I was going to ask a second question, but happy for you to finish.

Yes. I was just going to say just the important point to note with PBS is the -- you can publicly observe the dollar spend under PBS that translates slightly differently into the wholesale because it's the number of units carried that benefits the wholesaler in that case. But back to you for your follow-on question.

My second question was just on the operating costs, which have been spoken about a couple of times, but there was quite a large difference, and this is in the health care business, quite a large difference between the second half and the first half. Would it be right in assuming that we should be using the second half as the base going forward as opposed to the year as a whole, the difference was sort of $30 million or so.

Yes. I think that's right, Marcus. I think the second half better represents the forward look in terms of the cost profile.

And I think that is consistent with the guidance on the continuing themes of pharmacy competition and high-priced medicines.

Okay. Great. And maybe just one last. I've got maybe the liberty of actually asking another one. When you do the math around the acquisition of SVS, it does look like the EBITDA contribution was a shade below $6 million. I believe it was only for 3 months. That sort of implies circa AUD 23 million on an annualized basis versus the acquisition talked about AUD 15 million. So is there any seasonality? Or is it just simply that it's traveling a lot better than you thought?

Look, great question. So one of the things that's actually pretty fun about the SVS acquisition is that it's about 50% companion animal business and 50% industrial animal exposure in New Zealand. And look, it's actually a pretty interesting addition because we don't have that in the Lyppard business in Australia. As a result, that leads to what you put your finger on, Marcus, the seasonality. So I would not, unfortunately, just multiply out, but the full year impact of SVS is in the guidance range that we provided.

This concludes our Q&A session. I will now hand back to Adam.

Thank you all very much for your questions and your time this morning. I'm looking forward to engaging with shareholders and analysts in the coming days. To conclude this presentation, I just want to turn to Slide 26 and reaffirm the EBOS investment proposition. Healthcare and Animal Care continue to experience sustained increases in consumer and institutional spend, driven by demographic shifts, innovation and evolving customer preferences and the desire for a longer health span. These macro opportunities are well matched by EBOS' core capabilities. In a growing complex market, we are trusted to connect with care, notably in wholesale distribution and nutrition.

For investors, this means we are levered to ongoing health care spend, but we don't have the exposure to large clinical practitioner bases. It's this exposure that's yielded a track record of consistent EBITDA growth. Over the past decade, EBOS has outperformed the broader market, and I'm excited to build on this momentum. As CEO, I'm committed to further strengthening our leadership, unlocking new growth opportunities and continuing to deliver sustainable returns for our shareholders. The team and I are excited by the challenge. Thank you for your time this morning.

This concludes today's conference call. Thank you for participating. You may now disconnect.