STAR COMBO PHARMA LIMITED — AGM Information 2022

Nov 28, 2022

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STAR COMBO PHARMA LTD ABN 38 6157 283 75 171 -177 Woodpark Rd Smithfield NSW 2164 P: +61 2 9756 6555 sales@starcombo.com.au

29 November 2022

ASX Announcement

Star Combo 2022 AGM – Chairman Update

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Attached, please find the business update to be delivered by the Chairman at the Star Combo Pharma Limited 2022 Annual General Meeting held on 29 November 2022 at 11:00am.

Authorised for Release by the Directors

For more information please contact:

Investor and Media relations contact Su Zhang - CEO investors@starcombo.com.au

About Star Combo Pharma

Star Combo Pharma Ltd (ASX: S66) is a Sydney based contract manufacturer of vitamins, health and beauty products with a portfolio of own brands and distribution capabilities. Our products are made from natural ingredients with scientific R&D and adheres to the highest manufacturing practices governed by the Therapeutic Goods Administration. Star Combo has offices in China and currently supplies the Australian pharmacy network through 450 Terry White Chemmart stores as well as wholesale customers in Australia and China. Directed by pharmacist and experts in health supplement manufacturing, Star Combo's vision is to be the leading manufacturer of premium vitamins and dietary supplements in Australia. Since its establishment in 2004, Star Combo has demonstrated strong product and business development and continues to expand our current operations to serve our loyal business partners, customers and employees.

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STAR COMBO PHARMA LIMITED Chairman’s address Annual General Meeting 29 November 2022

Key Themes FY22

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• Strong cash position of $10.39M with $4.39M in trading bank account and$6M

• in bank term deposit as at 30 June2022.

• Impairment of intangible of $1.45M for the Retail Division of Austoyouand Koala Mall

• OEM sales of $16.28M in FY 2022 compare OEM sale of $12.48M in FY 2021. Increased by 30% year on year.

• Benefiting from macro trends with strong demand for AustralianMade health and wellness products

Our people People

Our team have demonstrated agility and tenacity in guiding the business through the uncertain COVID environment and have continued to execute on our strategy of becoming Australia’s leading nutraceutical manufacturer.

Safety

As a manufacturing business, we are dedicated to ensuring we have a safe workplace.

The company has in place a comprehensive occupational health and safety program which all staff are required to follow.

COVID

A comprehensive COVID safety plan has been implemented at Star Combo.

Significant precautions and additional protocols are in place to safeguard the health and wellbeing of our employees.

No safety incident has been reported at Star Combo YTD 2022.

Business Division Update

 Manufacturing Division (OEM andBranded)

• OEM division performed ahead of expectations with increasing volume of bulk orders manufactured due to new customers

• 53 new customer accounts acquired with the strongest order book in place for 2022

• Through new products development and commercialisation.

• Continued expansion into new territories with $1.0M distribution agreement signed with Vietnam based

• distributer, for supply of Costar products throughout thecountry

• Retail Division (online platform business Austoyou.com and Koala Mall retailstores)

• The retail division continued to be impacted by the COVID pandemic. Physical retail store was closed in September 2022 with all sales transferred online. It will significantly reduce the Retail Division operating loss.

• – Newly formed customer service team to improve customer retention

Q1 FY23 Trading Update

 Q1 FY23 Revenue of $6.55M (Q4 FY22$6.2M)

• OEM division performed ahead ofexpectations with OEM sales of $5.12M in Q1 FY2023 compare OEM sale of $4.9M in Q4 FY2022.

Retail division continues to be impacted by COVID related restrictions. Physical retail store was closed in September 2022 with all sales transferredto online sale. It will significantly reduce the retail division operating loss.

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Increase in production volume Q1 FY23

 Manufacturing division continues to performstrongly  A good start in 111.27M Q1 FY23, production volume increasedby 6.5% when compared with 104.43M Q1 FY22

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Units Manufactured
Qty: million
450
400
350
Q1 FY22 production
300
volume increased by
250 6.5% to Q1 FY23
200
150
100
50
0
- Q1-FY22 Reminning FY22 Q1-FY23
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Achievements & Outlook

FY22 Contract manufacturing Continued growth in contract Operating cash flow positive business remains resilient in manufacturing division with $10.39M in cash in bank Achievements face of COVID pandemic Contract manufacturing 2023 Contract manufacturing New market development outlook remains resilient sector remains main area of opportunities providing benefiting from strong macro Outlook strategic focus potential for growth trends

New market development opportunities providing potential for growth

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Investor relations investors@starcombo.com.au

DISCLAIMER

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