Morning everybody. Welcome to this analyst briefing update for Seeka's interim results for the 6 months ended 30th of June.

Very pleased to be online. Thanks very much for attending.

We'll run you through the pack that was released yesterday. Alongside me in the room, I've got Nicola Neilson, our Chief Financial Officer, and Ian Burt, who is our Group Financial Controller, who really has been instrumental in bringing the accounts together for the 6 months.

Welcome. Let me just run through the pack.

Agenda today: we'll be talking about the highlights, running you through the capital management, talking about our operating segment performance of each of the business divisions that we've got running, and our forward focus. Just to run you through the highlights quickly.

We're delighted and very pleased to report a record 6-month profit: $62.6 million at a profit before tax level, up 5%. Earnings per share at $1.07 is up 19%.

Both of those good numbers, particularly given that we had lower kiwifruit numbers in New Zealand. Automation's helped us deliver efficiency gains and actually improved our service to our growers.

They had a very timely harvest. There wasn't a long wait.

Technology's delivered an excellent packout and excellent quality fruit, and so we're very happy with that. Three Reemoon solutions deployed: one is a front-end citrus machine at Orangewood, one is a complete, fully automated machine at our Kerikeri site in Waipapa Road, and one is a machine at Huka Pak here in Tauranga, which hasn't got all the automation in yet.

We will be completing that this year, but we're very pleased with those. Our post-harvest EBIT, earnings before interest and tax, up 7% on 4% less fruit, it gives you a little bit of an insight to what could happen next.

We've concentrated on our debt. We've concentrated on building our financial resilience.

Our leverage ratio, as measured by the banks, 1.22 times, down from 1.6 times. $11 million reduction in net bank debt over the 6 months, and actually down $51 million on the same time 2 years ago, for the same period 2 years ago.

Really very strong performance, all delivered from cash flow. $685 million in total assets, up 5%.

Net tangible asset backing per share up 11% at $7.12, which includes the revaluations from last year, also includes some exchange rate variation on our Australian-held assets. New Zealand dollar has dropped; value of those assets in New Zealand dollar terms has gone up, and so that's increased the value of those assets for that category.

Importantly, we've achieved our sustainability milestones. We've achieved a 30% reduction in our greenhouse gas emissions, Category 1 and Category 2, from our 2022 base, which is what we targeted, and we are on track to deliver 50% reduction by 2030, may well achieve that ahead of our target, remarkable performance by those involved.

We've taken the time, as you would expect us to, to carefully consider and monitor our financial performance as we're going. Our profit before tax guidance for the year has been increased from $38 million to $42 million to between $39 million and $43 million, and we've announced a dividend: 20 cents dividend to be paid, and I'll talk about that again in a few minutes.

Going through the numbers in some detail: revenue at $305.5 million is just down 1%. New Zealand kiwifruit volumes down 4%, that is the driver of our business.

EBITDA, earnings before interest, tax, depreciation, and amortisation, a surrogate for cash flow, up 3%, $86.3 million, largely driven by the investment and efficiencies. Gordon, I think I'll answer the questions at the end of the presentation when we get there if you don't mind, but I'm happy to answer all questions when we do.

Profit before tax up 5% at $62.6 million. We are in a seasonal operating business.

We earn most of our money in the first 6 months, although we are operating the second half, but to a lesser degree, and actually typically we go backwards. We have now included more color, literally, and detail around our segments in terms of the graphs.

Both revenue, EBITDA, and total assets, you can see the increases we've achieved over time. Of course, 2023 was a difficult year, but outside of that, all the metrics look good.

You can see that the bulk of our income and the bulk of our EBITDA and the bulk of our assets is in post-harvest. We've been taking some time to work with the analysts in initiating coverage of the company.

They've asked for a bit more detail about our business, and we've moved to put those into this pack, and so that's one of the innovations that's been done at their request. Pushing through to capital management: balance sheet, $591.9 million in total capital employed, up 5%.

Our property, plant, and equipment is up 8% at $418.7 million. Our investments in post-harvest automation is there.

We are building some RSE accommodation in in Australia for our seasonal workers, which has been partially supported by the Australian government. Of course, the Australian strong Australian dollar and weaker New Zealand dollar has revalued those Australian assets.

We held $1 million of assets for sale at the end of June. Those assets now have an agreement for sale and will be shortly settled, and so not much, but really just working our way through.

In terms of balance sheet, $119.8 million in net bank debt at the end of June. That's a $10.8 million decrease on last year, $51.1 million on 2 years same time 2 years ago.

Our banking facility at $184 million, we have elected to reduce it by $20 million. We have got a very strong and supportive banking syndicate behind us.

We are working with them. We decided that we didn't need to have facilities at over $200 million given that we're operating well below that, and so we've sensibly brought it down.

Net bank leverage ratio, EBITDA to debt as measured by the banks, continues to improve and actually below the bottom end of our targeted range. Our targeted range is between 1.5 to 2.5 times and now at 1.22.

Earnings per share and dividends: EPS at $1.07 as I've previously mentioned, up from 90 cents. Dividends paid out in the last 12 months is 50 cents.

We have announced an interim dividend of 20 cents a share to be paid on the 15th of October. It is fully imputed, and the dividend reinvestment plan will apply to that dividend for those who want to participate in it.

$7.12 net tangible asset backing per share, up 11% from $6.44, understanding that between June 2025 and June 2026, we have the normal cycle of revaluations at the end of the year. We've got the asset revaluation in Australia plus our normal capital expenditure programme, and so that increase from $6.44 to $7.12 reflects all of those factors.

Our guidance, as I outlined at the beginning, is creeping up like it did last year to between $39 million and $43 million, increase from 38 to 42. Understanding that last year, with a record crop and exceptional growing season and keeping season, our profit before tax was $47.5 million.

We are forecasting to be below that for the full year this year, but still a very strong performance and would be our second-highest profit in the company's history. In terms of the segments, running through each of the businesses that we're operating, in terms of our orcharding business, where we are growing kiwifruit, avocados, kiwi berry in New Zealand led by Barry Peneamene: revenue of $63.6 million is down 8% on the previous corresponding period.

We are a large Hayward grower, and the Hayward volumes are down. EBITDA, earnings before interest, tax, depreciation, and amortisation, down 16% at $8.11.

At this point, we're using the mid-range of Zespri's forecast in terms of our orchard gate returns and getting to that forecast, and so understandably a little bit off. We are large Hayward growers, and so they are a little bit less than last year.

EBIT, $6.3 million, down 20%. You can see the yields down in key varieties.

Last year was a peak year in terms of high yields, SunGold down 7%, Hayward down 18%, and it just follows such a strong year the year before. Reminding you that we have got 70 hectares of kiwifruit production and development in Raukokore in conjunction with local iwi and Te Kaha, and that will progressively come into production over time, and at this point in time, it is all Hayward.

Post-harvest operations, really which handles the packing, coolstorage, shipping of kiwifruit and all of the other varieties that we're handling—avocados, citrus, and persimmons, and kiwiberry—led by Paul Crone. $206.6 million in revenue is up 1%.

EBITDA, $83.2 million is up 6% on the previous corresponding period, and EBIT at 73.7 of $73.3 million, up 7%. This is the engine room where we actually earn our money.

Pleasingly, we have been able to drive automation efficiencies. Our strategy is to have a network of highly automated packhouses adjacent to where the fruit is grown.

We've taken steps to achieve that in Northland. We are doing more now and thinking about it, but you can see at $450.4 million of assets, this is the bulk of where our investment is.

66% of our assets is in this division. SeekaFresh, our retail services business, really where we are connecting produce through to customers and fruit that we don't supply through to Zespri.

It's led by Kate Bryant. Revenue of $12.7 million is up 13% on the previous corresponding period.

We've got momentum in this part of our business. EBITDA at $2 million is up 28%.

$1.4 million is up 39%, but albeit on a lower starting number. We are continuing to grow in a challenging market.

Economic environment in New Zealand is a little bit difficult for the population, and so we're in the middle running really a supply chain business and marketing business. It's pleasing to see that we've got growth in that part of our business.

We continue to push, we've got momentum, and new categories coming into our markets. Of course, we've got Luvo, the avocado oil production and marketing business nestled into this business unit.

That part is led by Jim Smyth. We launched it in 2025.

We've been patiently building that business. Marketing team's done a great job, and pleasingly, they're starting to achieve market momentum.

We've actually got access to First Choice and Woolworths alongside the independents that we've been supplying with this new product, including The Bin Inn. We have to wait for category reviews.

We have to wait for the opportunity to sell. We have to wait for the market to demand our product.

Team's done a great job in online marketing, doing promotions to get the market pull through. If we are patient, this will be very successful, and very pleased with how it's going so far.

In terms of our Australian business, fully integrated business in Australia led by John van Poppel, very adequately managed and done a great job over there really: growing, packing, retailing kiwifruit and other produce in that market. Been a very challenging growing season.

$22.2 million in revenue really belies the category mix that we've been running over there. I think we're having to learn to continually adapt in that market.

It was very hot, and we probably hung a bit more fruit there than we probably would want to do in a normal case. We've reset ourselves, we're changing varieties into that environment, we've got new kiwifruit varieties coming.

Our EBITDA at $4.5 million is down 29%; our EBIT at $2.9 million is down 40%. Reasonably still very positive about that market, although we're heading into El Niño.

We're preparing ourselves, water supply there is very good. I've been in Australia a few weeks ago and actually was delighted with the canopy that we're tying down, particularly in our kiwifruit business over there, it's just been a harder year in that part of our business, and from time to time that will happen in our business.

In terms of our forward focus, well, we remain focused on delivering exceptional operational excellence and excellent financial results. We are driven to deliver good returns for our shareholders and stakeholders, and excellent service to our growers and excellent returns to our growers.

We are pushing to further automate to deliver more efficiency gains and return the money from our investment. We are completing the Huka Pak machine to make it fully automated, it is the same as what we've done in Kerikeri.

That machine in Kerikeri has been the most efficient machine in the fleet, which is quite remarkable in its first year of service because normally it will take you a year or two to actually learn the technology, learn what you've got, learn how to drive it, and learn how to optimize it. There is more to come.

We continue to be focused on forward capacity planning. There is more risk in our business of being under-capacitated, having more demand than what we actually got capacity to handle.

In a disciplined way, we're looking forward, thinking about what happens next. Volumes are forecast to go up.

What does that mean for us? Is there things that we could be doing that will earn the required rate of return for our shareholders, take into account the risk profile that we might have to apply to that?

It's been a game changer introducing Reemoon to the business and into the industry. How do we further exploit that technology that we've bought and the efficiencies it's delivered?

That is underway, and we are thinking about that and thinking about how sensibly we can do that. Our board is thinking about growth.

How do we profitably continue to grow the business? How do we actually earn more and be bigger?

The two things together, not to be bigger at the expense of earnings, but to actually grow our earnings and to be bigger. We have looked at opportunities at growth.

We have looked at all sorts of options around. We haven't found anything that we have thought was sensible to pursue, but we've kicked a few cans down the road, as you might expect us to.

Very much so that the growth component is on the agenda, but we haven't found anything worthwhile pursuing. I'd make the point to you: we never get the credit for the bad deals we don't do.

We'll just patiently wait and see if there are opportunities in the market for us to pursue to the benefit of our shareholders. Looking forward slightly more: after a reasonably warm and mild start to winter, actually the end has come with a blast, and we've had good late winter chill.

We're just in the final stages of Hi-Cane application across the orchards. Reasonably pleased with what we're seeing there and pretty happy with the chill hours that we've got.

That doesn't mean we've got a great crop for next year; it's just one of the components that is useful to have to deliver a great crop in next year, understanding that we're heading to El Niño. That could mean good things and bad things; in previous years, it's actually meant good things.

We'll see how we go as we pursue the season and we go through the growing season. Of course, we remain focused on sustainability.

It is important. We have got a carbon footprint reduction plan in place.

We are pursuing that sensibly. We are continuing to retrofit coolstore refrigeration systems.

We have got a programmed maintenance system running in the company. We are going through and reviewing switchboards and plant rooms continually, and we've got a program of renewing them.

As we renew those, we actually are switching out harmful refrigerant gases for more environmentally friendly hybrids and synthetics so that we don't damage the environment should they leak. We've got ongoing solar installations underway, perhaps now smaller installations being contemplated.

In the case of our Peninsula packhouse, that installation will be financed by the landlord. Pretty much running our way through to the end.

Of course, we are still busy: still packing avocados, we're still packing citrus, we're still busy in the orchards. We've got our SeekaFresh markets operating nearly every day.

There's a lot happening. There's a whole lot happening right across the business, but these are the key things that we're focusing on as we push forward.

If I just push through to a couple more slides so you can see in the appendices, we've put some new appendices in. Not that one, that's just a breakdown of EBITDA for those who are interested in looking at it and can't sleep at night.

We've put this key metrics page in, which is really just talking about historical numbers to lay it out for the analysts in a way that you might understand more about the key metrics behind the business as you might try and interpret what's going on and what it might mean for the future. We've really enjoyed the interaction we've had with the analysts who are initiating coverage on the business because it's also given us an insight how we might better present ourselves so you can understand more about what's going on in your business.

That being the case, there's key contacts there in case you want to talk to us afterwards. There'll probably be some questions because Nicola's looking at me sideways, and so happy to take any questions now that you might have.

Okay. The first question from Peter Truman: "Are the reduced avo and citrus packed volumes at half year just timing, and how do you expect full-year volumes to compare to 2025?"

I'll break both of those down for you. In the case of avocados, funnily enough, last year was a little bit of an off season.

This year, we are expecting to pack more. We will have an export packout of around 500,000 trays and perhaps total volume around 700,000 trays is the numbers that are in my head.

Australia is having an off year in terms of its production of avocados, which means that we've got a fantastic opportunity for New Zealand avocados to make good money for the processors and for the growers because we're anticipating a strong market over there. Market returns last year to a grower was around $11.89.

This year, we're predicting better than $20. That is good.

Volumes should be up. We're reasonably happy with that.

In the case of avocados, deliberately in the first half of the year, not much volume. We actually accelerated last year's harvest to get it out of the way before Christmas.

It's a way for us and for the growers to make more money. The harvest starts in July and runs through to sometime next February, and because it's a stronger market, we will spread that harvest out a little bit.

In terms of citrus, there is some structural change happening in the citrus industry in New Zealand, and Seeka is benefiting from that structural change. There is a volume increase coming through to our business as growers are changing alliances, changing their handler and marketer.

With some certainty, I can tell you that we have picked up bigger volumes in citrus, particularly in the Gisborne region.

Second question from Peter: "The full-year forecast for 2026 is predicting a weaker second half than 2025. Can you talk to the main reason for this?"

Yep. There is some seasonality in our earnings.

One of the things that will impact how much we make in the second half is how full our coolstores are at the 30th of June. Last year at the end of 30th of June, we were completely full, so as we load fruit out, we make more coolstore income.

This year, because the volumes are down, we don't have so much fruit in store to load out to earn coolstore income on. That's simply the answer: we don't have the volume to actually process in the second half of the year that we did last.

A

third question from Peter: "I'd just like you to talk to the decision to offer the DRP on dividends when net debt is tracking favorably."

The answer is that when do you have enough resilience? When is your financial ratios good enough that you don't have to offer the discount or offer the DRP?

Of course, in our case, coming from a period where we had such high debt, we are driven to lower debt, and we've got opportunities in front of us that we believe we can invest in and make shareholders better returns. At the moment, we are still driven to lower debt a bit more so that we've got the financial freedom of action to make investments for the benefit of everyone.

A question from David Harris: "Automation appears to have driven meaningful uplift in margins. Are these repeatable going forward, or are there one-off benefits in 2026?"

They are repeatable going forward, given that we've made an investment and we've actually got those machines delivering at a much better performance than the others. In fact, the highest actually in the fleet.

There are more investments that we can make. There is more automation that we can deploy.

It's not just about packing machines; it's also about how you get boxes under machines and get product away from machines. The technology we've deployed in Reemoon has actually startled us because, factually, before they met us, they didn't have that technology.

We took a risk with them, and actually it's delivered much better than we expected. There's more opportunities now for us in an imaginative way to actually deploy more technology into our business and further improve the margins.

That's really important to us because the volumes look like they're going to continue to go up. Labor is a scarce and expensive resource.

If we can actually handle more with less labor input, we're going to make more money.

A question from Bill: "Are you expecting to require significant new facilities or any greenfield investment?"

The answer is not in the short term. We are always kicking the can down the road in terms of our capacity planning about what we should do next, whether we should do a greenfields or not do a greenfields.

No business case has gone anywhere near the board yet, but we're always kicking that can down the road to say, "Look, is it sensible for us to build something and actually decommission something?" We're always thinking about ways to do that.

At the moment, a number of our coolstores are leased, and some of them are quite expensive. It would be better off to build something and actually exit some of those expensive leases in coolstores.

We're always looking at opportunities, but at the moment, we've got nothing that we're actually chasing.

A second part to that question: "How do you assess any major capital investment in terms of the return that you require, and would it be serviced through operating cash flow or debt?"

As you would expect us to, we understand that we are stewarding public money, not money that's our own, it has a higher threshold for us to actually achieve in terms of doing any major capital expenditure. Business cases have to be brought forward to the board.

We have to make sure that it makes a sufficient rate of return, noting the risk. A risk-adjusted rate of return might be a better way to put that so that we know that any investment that we're making is accretive to our earnings really is the best way to describe that.

Understanding that in our industry, we're the only one that is stewarding public money that way, we've got to be very careful and innovative how we actually do it.

Question from Gordon Syms on RubyRed: "With the increasing production, does the harvest window clash with Gold, or does it help to spread into the shoulder season?"

When RubyRed was first released, it was released on the basis that it came into maturity before SunGold, and so therefore it was complimentary: you could get going earlier, handle the Red, and then go into SunGold. The reality is actually it's not.

It's actually butting up with SunGold and overlapping a little bit. In our case, actually we can get away with it because we've got 17 or 18 machines in the fleet.

We can actually set a machine to run for Red or set two machines to run to Red while we've got everything else running SunGold. We can juggle our capacity to make it work.

It hasn't been a problem to date, but it is something we're conscious of. Red is a much more challenging and tricky product to handle.

You've got very short shipping times. Or you've got to rework it.

As a product, it doesn't want to be reworked. We've got to be very careful and very disciplined in how we set our capacity up to handle it.

A second question from Gordon: "Can you give any idea of the quantum of the third party used to provide cool storage to this year?"

The amount that we rented out?

Correct.

This year we rented out, I think, the number will be in this range: 650,000 to 750,000 static trays' worth of cool storage. It's one of those two numbers.

Yeah.

A question from Tony: "Congratulations on a great result. Is there any interest in the Soul Patt's horticulture assets in Australia?"

Is there any interest in it? I don't think I'd be breaching confidentiality to say that I signed a confidentiality agreement and took a look at it.

Those assets over there come at some risk, and given that we're stewarding public money, it doesn't make sense for us to actually deploy in that direction. There are some challenges in growing, in particular the kiwifruit over in Western Australia, Manjimup, which I'm familiar and taking a look at.

At the moment, I think our focus is here in New Zealand rather than looking at those assets. Red Rich, of course, also have citrus and apples in adjacent to where we are in Shepparton, but at this point in time, we're not in the play.

A question from David Harris: "So given we're issuing shares through the DRP and a proposed grower loyalty share scheme, how do we think about using balance sheet capacity to buy back shares as an alternative?"

In the case of the grower share scheme, if I might start there, we've sort of got ourselves caught there a little bit because what we wanted to do was completely cleanse the company of everything that we might be thinking of doing so that officers and directors could trade and not be in blackout. Effectively what we've done is indicated to the market the board's intending to do this.

It hasn't yet considered it, and if it does want to do it, it's going to go and seek shareholder approval to do it, as we did last time. In the case of the grower share scheme, there is some benefit to us because it actually shores up and gives us security of volume, we've got security of earnings.

Earnings has been the issue for the company going back in time rather than asset backing, if you can understand the difference. We are not issuing shares for free.

Growers in the grower loyalty scheme have to buy those shares, have to pay cash for them, albeit in 3 years' time less any dividends, but they pay the market price today less any dividends in 3 years' time. That's how that works.

We're not effectively deploying capital; what we're doing is agreeing to sell shares on a basis. In terms of the DRP, there is a 2% discount.

All shareholders can participate in that. We are still driven at the moment to push more resilience and drive for more balance sheet resilience, which means lower debt.

At the moment, the company's thinking that is the right course of action. There is no shortage of things for us to invest in the business that might be better than buying back shares, and so that's the approach we're taking for the moment.

A question from Conrad Young: "With the particularly strong El Niño expected, is there an expectation that it is an elevated benefit or more of a risk?"

Hi Conrad, nice to hear from you. The answer is that naturally we think and emotionally think that it's a risk to us because it's going to be dry.

Actually, when we look back in time and look at what El Niños have done for us before, actually we've got much better production in those years where we've had El Niño. Even though we've got an El Niño weather pattern, it rains once or twice in January or once or twice in February, and that's enough.

Actually those years we've had El Niño, the performance has been stronger, not weaker. There's always that inherent risk that it doesn't rain.

I guess that's the risk for us.

A second question from Conrad: "Can you talk to the expected return on capital with the orchard co-investment with the iwi?"

I don't have the exact number in my head, but I can say this: it's 70 hectares of Hayward kiwifruit orchards that are invested in up on the coast. We've got a packing right for 100% of that fruit through to 20 2053, maybe?

For a long time. We have invested money into that development, and I don't have the figure in front of me, but it's $2 or $3 million.

It is an investment where we will get our money back as an investor in those developments alongside. It meets the required returns.

It also gives us a benefit that we're actually utilizing capacity with a Hayward crop when we've actually got a lot of capacity late in the season. It's very incremental to us in terms of our post-harvest business because effectively we're putting through more volume through our infrastructure when we've actually got a lot of space for it.

A question from Graham Wallace-Rae: "What is the return on invested capital benchmark you look at for future investments?"

That depends on the nature of the investment itself, but generally we're wanting to do better than 12%. While it's theoretical, our WACC, our weighted average cost of capital, is somewhere around 9.3.

We'd like it to be double digits. We're targeting 12 when we're looking at business cases.

Last year, as a business, our return on capital employed is 14.5. This year should still be better than 12, but really 12 is our benchmark we're looking for.

Is the company considering a new employee share scheme alongside the similar one that was done in 2024?

We've yet to discuss that with our board, but we would intend to do another employee share scheme. Management would be intending to recommend to the board that we do.

Next question around post-harvest competition: "We've previously talked about it as being quite aggressive with some pricing pressure. Does that still exist?"

The market for post-harvest is hot. There is more capacity going in.

There's some irrational pricing. It is a bit hot out there at the moment.

In our case, we're competing on price, quality, and service, and I would add another one, and compliance. I think we're not relaxed, but we're in the market.

We're not losing great volumes and we're not gaining great volumes. We're pretty stable.

Another question from David Harris: "Australia has seen a meaningful increase in assets over recent years, but earnings have remained relatively modest. What level of earnings are we aiming for in Australia, and are they capable of developing that through the new orchards?"

Yeah. There's 100 hectares of kiwifruit in production in Australia and 100 hectares, or thereabouts, in development.

When you make an investment in an orcharding business, whether regardless of where it is on the planet, you've got to spend some money, you've got to get the plants in the ground, you've got to get the structures up, and you've then got to bring it through into production. In Australia, early on in our investment cycle, on that journey that you go on, PSA hit us, and it knocked us around a little bit.

Those plants, in terms of getting into production, have been delayed. At a critical moment, we innovated there and changed our crop protection program and were able to deploy sprays that are available to us in New Zealand that weren't available to us in Australia, and we're able to get those sprays in, and they have been a game changer.

Those orchards are on track. I believe that we will get there.

Year on year, when you get to do this once a year, when you get to grow one crop a year, that's how the nature of what we do. Looking at it this year compared to last, it's much better.

I've got confidence that we will bring those orchards through as they should. Kiwifruit orcharding in Australia is a good business for us to be in.

Can you talk to the impact of fruit loss this year compared to last year?

Last year was a remarkable year for low fruit loss. This year, more normal, but still actually pretty good.

We are reworking a lot more fruit this year as Zespri tightens up the standards for quality, for offshore quality. There's a lot more work going on in the business.

We charge for that work, we make more margin, actually, while it's a more normal year for fruit loss and higher than last, it's still very good and actually won't impact on our earnings too much.

A question from Bill: "Investment funds are snapping up more of the existing orchards and land for new development. They seem to go to the packhouse who offers the best deal for packing.

Are you actively chasing this volume?"

I don't want to be like Wayne Bennett if you've ever watched one of his NRL interviews, but the answer is yes. Yes, we are.

That's exactly what we're doing.

A question from Gordon Syms: "So in the New Zealand orchard asset base has decreased $9 million. Is there anything to call out of note?"

What's happened in our normal course of business, our orcharding business, is orchard long-term leases where we have gone and done a deal with landowners and developed an orchard on their land and then cropped that and brought it through to production, at the end of the lease, that development goes back to the owner. What you're seeing there with the reduction is those orchards going back.

No further questions. Thank you.

Look, I enjoyed the questions. Hopefully, the answers were good enough because they're our honest response, but we do really appreciate your interest in the company.

We would welcome you to contact us outside of this call if you've got any questions or any information, either by email or by ringing us, no drama. Very happy to do that.

I note that our email addresses are not on the contact thing, but [email protected] or [email protected] will get us both. We appreciate your interest and we appreciate your support.

The next stop for us will be in October the 16th?

15th.

October the 15th when we've got our stakeholder update. Oh, one last thing I should bring to your attention if I might: company has announced that it has changed its chair.

Mark Judney has been recently appointed as the chairman of Tatua Dairy Company, and that, alongside his King Salmon business where he chairs and his private, substantial farming business, means he's got limited capacity to chair Seeka as well. We are fortunate that we also have a number of talented directors—well, they're all talented really, I shouldn't say that—but the board unanimously has appointed Haley Hurley to be our new chair.

She's the chair now. She is a professional economist, where she started.

She has extensive business experience and a time at ScalerUp and Rabo, and she serves on the Reserve Bank Monetary Policy Committee. On behalf of us all, just thanking Mark for his time as chair.

He remains a director, and just letting you know that we now have a new chairman, Haley Hurley, in the seat. That's it.

Thank you.