KMD BRANDS LIMITED — Earnings Release 2017

Feb 6, 2017

KATHMANDU HOLDINGS LIMITED

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ASX/ NZX/ MEDIA ANNOUNCEMENT

7 FEBRUARY 2017

TRADING UPDATE AND 1H PROFIT GUIDANCE FOR THE HALF YEAR ENDING 31 JANUARY 2017

Kathmandu Holdings Limited (ASX and NZX Code: KMD) advises that Group Net Profit after Tax (“NPAT”) for 1H FY2017 will be approximately $9.9m (1H FY2016 $9.4m).

Total sales for 1H FY2017 will be approximately $196.3 million compared to $196.0 million for the comparative prior period, an increase of 0.1%, +3.0% at constant exchange rates.

Same store sales growth for the 26 weeks ending 29 January 2017 was 3.4% on a constant currency basis.

	Total Sales	Total Sales	Growth	Same Store	Sales Growth
	Local	Local	NZD	Local	NZD
	currency	currency		currency
	$m
Australia	121.0	6.0%	1.8%	5.0%	0.8%
New Zealand	68.8	0.9%	0.9%	1.2%	1.2%
United Kingdom	0.7	(57.4%)	(68.4%)	(26.5%)	(45.4%)
Total (NZD)	196.3	3.0%	0.1%	3.4%	0.6%

Note: Same store sales are for the 26 weeks ending 29 January 2017

Kathmandu’s Chief Executive Officer Xavier Simonet said “Despite gross margin pressure in the first half from foreign currency, we were able to grow our earnings through healthy same store sales growth in our largest market, rigorous cost control and working capital efficiency.”

Kathmandu will release the full result for the half year on Tuesday 21 March 2017.

ENDS

For further information, please call:

Reuben Casey, CFO, +64 272727573

Kathmandu Holdings Ltd 223 Tuam Street, Christchurch 8011 PO Box 1234, Christchurch 8140, New Zealand Phone: +64 3 373 6110 Fax: +64 3 373 6116 kathmandu.co.nz

249 Park Street, South Melbourne, Victoria 3205 PO Box 984, South Melbourne, Victoria 3205, Australia Phone: +61 3 9267 9999 Fax: +61 3 9267 9933 kathmandu.com.au