Wesfarmers – Flat Earnings FY22

Wesfarmers preliminary half-year profit result.

Wesfarmers expects to report net profit after tax (NPAT) of between $1,180 and $1,240 million, in line with
current consensus expectations, for the half-year ended 31 December 2021.

The Group’s performance for the half was supported by pleasing results in Bunnings and Wesfarmers
Chemicals, Energy & Fertilisers, while results in Kmart Group and Officeworks were impacted by
COVID-related disruptions and costs

The first half FY22 number indicates that net profit is tracking in line with 2021.

Bega – Earnings Review

Bega recently provided a trading update, with FY22 underlying EBITDA expected to be in the range of
A$195-215mn.

Earnings have been impacted by supply chain-related disruptions, with some offset by the full-year contribution of the Lion Dairy & Drinks acquisition and related cost synergies. FY23 earnings should reaccelerate and recent shareholder support from Andrew Forrest suggests the current price range is a good opportunity to build a position.