RYDER CAPITAL LIMITED — Earnings Release 2020

Aug 13, 2020

Ryder Capital Limited Media Release 14 August 2020

Ryder Capital delivers 149% increase in total comprehensive income after tax to $7.7m, increases total profits reserves by 65% to $18.9m and declares a 3.0 cent fully franked final dividend, increasing FY20 dividend by 25% to 5.0 cents fully franked.

Ryder Capital Limited (Ryder or Company) [ASX: RYD] announces that continued strong investment performance resulted in a 149% increase in FY2020 total comprehensive income after tax to $7.7m. FY2020 pre-tax undiluted net tangible assets (NTA) per share increased by 12.34% to $1.6381 and the Company’s pre-tax net assets increased from $89.4m to $97.8m during a challenging period for equity markets.

NTA per share was enhanced by the operation of the Company’s share buy-back where 639,598 ordinary shares were bought back for an outlay of $827,182 equating to an average buy-back price of $1.2933 per share. The Company intends to selectively continue the operation of the share buy-back where it is accretive on a fully diluted basis.

Directors are pleased to announce a 3.0 cent per share fully franked final dividend (payable 9 September 2020 with an exdate of 19 August 2020) taking the full year dividend to 5.0 cents fully franked, an increase of 25% on the prior year.

Ryder’s capital profit reserve rose by 48% from $11.4m to $16.9m which together with a $1.9m improvement in the Company’s profit reserve, increases total distributable profits by 65% to $18.9m or $0.321 per share providing a solid foundation for the Company to continue to pay a steady to increasing stream of fully franked dividends.

Ryder’s FY2020 investment performance of 12.34%, as measured by the movement in pre-tax undiluted NTA per share, continued to materially exceed both its benchmark and that of all other ASX equity indices. Set out below is the Company’s gross portfolio performance, undiluted pre-tax NTA[(1)(3)] and pre-tax NTA return[(1)] equity performance, across short and medium term time frames including inception to date (ITD)[(2)] :

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----- Start of picture text ----- 3 Months 6 Months 1 Year 3 Years Since Inception [(2) ] Since Inception [(2) ](%) (%) (%) (% p.a.) (%) (% p.a.)Gross Portfolio Performance 22.86 3.33 16.09 20.40 126.31 18.65NTA Return (Pre-tax Undiluted) [(3)] 20.64 2.46 12.34 15.68 89.57 14.33NTA Return (Pre-tax) [(1)] 20.64 2.61 12.62 12.77 75.60 12.51Hurdle1.10 2.31 4.93 5.47 29.97 5.64(RBA Cash Rate + 4.25%)Excess ReturnPre-tax Undiluted NTA Return [(3)] - 19.54 0.14 7.41 10.21 59.59 8.69(RBA Cash Rate + 4.25%) [(4)]----- End of picture text -----

1. Unaudited investment performance less all costs of operating Ryder Capital Ltd including investment management and performance fees and ignoring the dilutionary impact of unexercised outstanding RYDOA options.

2. Inception Date is 22 September 2015.

3. Pre-tax NTA return adjusted for the dilution of the exercised 26.7m RYDO options.

T +61 (2) 8211 2791 F +61 (2) 8211 0570

Level 25, 88 Phillip Street Sydney NSW 2000

E enquiries@rydercapital.com.au W www.rydercapital.com.au

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Ryder Capital Limited Media Release 14 August 2020

Portfolio Performance

FY2020 gross portfolio performance of 16.1% was materially ahead of the Company’s performance benchmark as well as the ASX All Ordinaries Accumulation index and ASX Small Ordinaries Accumulation index.

Cash holdings of $17.5m at 30 June 2020 represented 17.90% of the Portfolio.

Pre-tax NTA Waterfall

NTA (Before Tax) Performance per share

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----- Start of picture text ----- $1.800$1.700$(0.002) $(0.021)$(0.050) $(0.006)$(0.024)$0.236$1.600$1.638$1.500$1.505$1.40030 June 2019 Portfolio Capital Management Dividends Company Performance 30 June 2020NTA (Before Tax) Performance Accretion Fee Paid and Other Fee Accrued NTA (Before Tax)Expenses----- End of picture text -----

Outlook

The economic impacts of the COVID-19 health pandemic remain highly uncertain in depth, breadth, and timing. Geopolitical tensions are increasing globally and with the US entering a critical election period we expect tensions to intensify with volatility likely to be directly correlated. This backdrop is not one that should be supportive of record high asset prices however, the magic of zero interest rates and record fiscal stimulus has forced risk aversion aside for now. We anticipate this chapter may go on for some time as we operate in uncharted waters with little in the way of fundamentals or historical precedent to guide us.

With a mixed backdrop and divergent views, we expect to see further opportunities for mispricing creating opportunities for Ryder to deploy capital. In the absence of sensible, value oriented investments we will look to increase our cash weightings, maintain our indirect exposure to gold while actively looking to increase our exposure to low multiple cash generative investments.

Peter Constable

Chairman & Chief Investment Officer

For more information visit www.rydercapital.com.au or contact: enquiries@rydercapital.com.au

About Ryder Capital Limited

Ryder Capital Limited (Company) was listed in September 2015 and is managed by Ryder Investment Management Pty Ltd (Investment Manager) a Sydney based boutique fund manager pursuing a high conviction value driven investment strategy specialising in small to mid-cap Australasian equities. The Investment Manager’s approach is differentiated by investing for the medium to longer term; being aligned as significant shareholders in the Company and being focused on generating strong absolute returns first and foremost. A key foundation of the Investment Manager’s success to date has been to minimise mistakes, ignore the crowd and back their judgement.

T +61 (2) 8211 2791 F +61 (2) 8211 0570

Level 25, 88 Phillip Street Sydney NSW 2000

E enquiries@rydercapital.com.au W www.rydercapital.com.au

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