KMD BRANDS LIMITED — Earnings Release 2017

Aug 2, 2017

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KATHMANDU HOLDINGS LIMITED ASX/NZX/MEDIA ANNOUNCEMENT 03 AUGUST 2017

TRADING UPDATE AND FY17 PROFIT GUIDANCE FOR THE YEAR ENDING 31 JULY 2017

Kathmandu Holdings Limited (ASX/NZX code: KMD) today reports an update on its sales performance and forecast earnings for the year ended 31 July 2017.

Full year FY2017 earnings will be in the following range:

• EBIT $56.0 to $57.0 million (last year $50.9m)

• NPAT $37.4 to $38.0 million (last year $33.5m)

Sales for the year ended 31 July 2017:

• Total sales $445.3m up $19.7m (4.6%) on the previous year

• Group same store sales up 5.5% at constant exchange rates

  • Australia up 6.9%

  • New Zealand up 3.6%

Kathmandu’s Chief Executive Officer Xavier Simonet commented, “Sales continued to grow in our key Winter promotion which completed four successive quarters of same store sales growth. Success of new products, enhanced engagement with Summit Club members through inspiring brand content, and improvements in the execution of our promotions underpinned our second‐half sales growth. Our financial performance has been strengthened further during FY2017 through operating leverage, reduced inventory and record low debt.”

Kathmandu will release the full result for the year on Tuesday 26th September 2017.

ENDS

For further information, please call:

Reuben Casey, CFO +64 272727573

Kathmandu Holdings Ltd

223 Tuam Street, Christchurch Central 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