Lynch Group (LGL) AGM 2024 summary

Opening remarks and agenda

• Chair highlighted post-COVID recovery in Australia, ongoing volatility in China, and formal AGM business including financial statements, remuneration report, director re-election, and CEO options grant.

Financial performance review

• FY24 Group revenue grew 2% (like-for-like 52-week basis), with Australia up 3% and China down 12%.

• Group EBITDA was AUD 39.6 million, down 7% from last year; Australia EBITDA rose 50% to AUD 31.0 million, while China EBITDA fell 61% to AUD 8.6 million.

• Margin recovery in Australia was driven by cost reductions and stable demand; China was impacted by weak consumer confidence, low pricing, and increased production volumes.

• Key events like Valentine's Day and Mother's Day delivered strong results in Australia, while China saw volume growth but lower prices.

• Outlook for 1H FY25: Group revenue growth of 5%, EBITDA AUD 16-17 million, with stable margins in Australia and lower margins in China.

Board and executive committee updates

• Board comprises Patrick Elliott (Chair), Peter Arkell, Peter Clare, Elizabeth Hallett, and CEO/MD Hugh Toll.

• Patrick Elliott stood for re-election as director, emphasizing his nine-year leadership and focus on growth in Australia and value-added distribution in China.

• Board, excluding interested parties, recommended in favor of all resolutions.