My Food Bag Group Limited (MFB) Earnings Call Transcript & Summary

Good morning, and welcome to the Annual Shareholders Meeting of My Food Bag. I am My Food Bag's Independent Chair, Tony Carter. Today's meeting is being conducted in-person and online, hence why we had to wait to exactly 11:00. And we're very pleased to welcome those of you who are participating online through the virtual meeting platform. I'll provide you with further instructions later for those attending online. But you encounter any technical issues, please refer to the virtual meeting guide or you can find the helpline on 0800-200-220. Before we formally begin, I'd like to start by acknowledging Board members, Jen Bunbury, Chair of the Audit and Risk Committee; Cecilia Robinson, Chair of our Marketing Committee and one of My Food Bag's founders; Sarah Hindle and Mark Powell, who is Chair of the Nominations and Remuneration Committee. We also have My Food Bag's leadership team in attendance, including our Chief Executive Officer, Mark Winter; Louise Newsome, who is our Chief Financial Officer; and Jess Reeve Taylor who is our Commercial Manager, and she will assist with the Q&A -- the online Q&As later in the meeting. Our auditors, EY are also in attendance, represented by Lloyd Banyan, and he will be available to answer any questions regarding the conduct of the audit. Finally, you will notice, of course, that we're in the offices of our share register in MUFG Pension & Market Services and members of their team are available today to help conduct the vote and act as our scrutineer. I have confirmed to me that the Notice of Meeting has been sent to shareholders and other persons entitled to receive it. And I have been advised that we have a quorum present. On that basis, I am pleased to declare the meeting formally open. As always, shareholders were given the opportunity to attend the meeting and vote or to appoint a proxy to vote on their behalf. Proxies have been appointed for the purpose of this meeting in respect of approximately 30 million shares, representing about 12% of our total share capital. My fellow directors and I intend to vote all our discretionary proxies we have received in favor of the 4 resolutions set out in the notice of meeting. Turning to the agenda for today. Following my address, My Food Bag's CEO, Mark Winter, will provide a business update. Before we move on to the formal agenda items regarding the acceptance of the FY '26 financial statements and our ordinary resolutions which are the reelections of our directors, Jen Bunbury; Sarah Hindle; and Mark Powell and also a procedural resolution on the auditor's remuneration. There will be an opportunity for general Q&A. As always, I would encourage our shareholders to exercise their right to vote and to ask questions. You can send through your actions at any time through the online portal by clicking Ask a Question button, and I will encourage you to do so as early as possible as this will allow us to answer those questions at the appropriate juncture of the meeting. This financial year has seen my food bag deliver another year of profitable disciplined growth, reflecting our continued focus on growing quality active customers by producing -- prioritizing brand value, convenience, flexibility and great value. Building on this momentum, we broadened our offering for a range of initiatives, expanding our menu, giving customers more ways to personalize their meals and introducing new menus developed by our nutritional experts to target a range of specific health and dietary needs. At the same time, we also strengthened our operating platform and optimized our packaging, improving performance and the customer experience. Importantly, this growth extended beyond our core mill kit business. The My Food Bag Shop continued to attract new customers by broadening the range of gifts, ready-made meals and one-off occasions, all without the need for a subscription. At the same time, we also grew our corporate partnership channel, creating a new source of recurring B2B revenue. throughout the year, strong free cash flow of $8.5 million allow for further debt reduction with net debt increasing to $1.9 million by the end of the financial year down from $15.3 million 3 years ago. This reduction continues to strengthen the balance sheet. While reducing debt, the board also remained committed to shareholders' returns and we are pleased to declare a fully imputed final dividend of $0.015 per share, bringing the total dividend for the FY '26 year to $0.09 per share. Turning to FY '27. We are pleased with our performance to date, where revenue in the first 4 months of the year, up 4.5% on the prior year. This reflects the continued strength of our customer base and the progress we are making against our growth strategy. Importantly, this performance is being supported by continued improvement in customer retention and order frequency. This reflects stronger engagement from our existing customers and reinforces the value of initiatives we have introduced across menu choice, personalization and convenience. This provides a strong foundation as we continue to focus on growing our active customers through this financial year. We have recently taken a balanced and targeted approach to pricing, supporting customer value while also responding to higher input cost pressures such as Wolf ingredients and fuel. We expect the gross margin for the first half of the financial year to close in line with the prior year. As shareholders will be aware, earlier in the year, the Board announced the review seeking to evaluate My Food Bag's ownership, capital structure and strategic options. That review is ongoing. And while we have no further updates at this time, we expect to provide shareholders with an update on the broader strategic review before or alongside our interim results in November. I would like to finish by acknowledging and thanking all the team at My Food Bag. It's the effort, passion and innovation that makes this year positive results possible. I'd also like to thank you, our shareholders, for your continued support of the business. As I recently announced, I will be retiring from the Board later this year, bringing to close over 5 years with the company. It has been a privilege to serve as chair and to work along such side such a talented and committed team, and I'll leave with great confidence in the future of the business and the opportunities ahead. I'll now invite Mark Winter, our CEO, to address you. Thank you, Mark.

Thanks, Tony. [Foreign Language] and welcome, everybody. Thanks for joining us here today in person and also to those of you that are online. It's always a pleasure to meet with our shareholders. We always appreciate the opportunity. FY '26 was a year of continued progress for My Food Bag. We delivered revenue growth, increased profitability, strengthen cash flow and further reduce debt. We also to improve the experience we provide our customers and invest in the capabilities that will support future growth. Importantly, that progress reflects the consistent execution of our strategy, strengthening our leadership in meal kits, while continuing to expand ways consumers can engage with My Food Bag across the wider meal solution and online grocery market. Today, I'll take you through our FY '26 performance. The progress we made against our strategy and some of the momentum that we're carrying into FY '27. Starting with our financial performance. FY '26 revenue grew by 5% to $170.2 million. This was driven by higher customer average order values, increased order frequency, and improved customer retention. Gross margins were maintained in line with historical levels despite higher inflation with supply chain initiatives and pricing actions helping to recover ingredient cost pressures. This top line growth and strong cost management flowed through to EBITDA of $16.4 million and net profit after tax of $6.7 million, up 5.3% on FY '25. Free cash flow increased to $8.5 million from $7.6 million in the prior year, which enabled further debt repayment and distributions to shareholders via further dividends. Turning to the year end review. So set against the backdrop that I've just described, FY '26 was a year in which we further strengthened both our consumer offering and our businesses operating platform from which it enables. Some of the key achievements included: improved customer retention and order frequency, reflecting stronger engagement and stronger customer loyalty. Expansion of the My Food Bag Shop and our ready-made meal range, creating more occasions and more ways for customers to buy outside a weekly subscription, continued development of our health lead offerings, to help support more new cylinders, manage their diabetes, the use of GLP-1 weight loss medications or provide high protein or gut friendly options and strong cash generation enabling a further $5.1 million in reduction in debt while also increasing dividends to shareholders. My Food Bag strategy remains consistent, be relevant and grow active customers by delivering flexibility, convenience and great value. With improvements delivered in FY '26, reflecting continued execution against our 4 strategic focus areas. Building our brand to drive higher customer efficacy and loyalty, enhancing convenience across our brands through shorter order lead times, faster recipes and continued growth of our ready-made meals. Offering more personalized solutions, so customers have more flexibility and choice to meet their individual needs and introducing new customers and audiences to my food bag by unlocking new segments and occasions through initiatives such as the My Food Bag Shop and B2B partnerships. These focuses are underpinned by an efficient operating model and continued investment in our people, supply chain, data and technology. Our portfolio of brands, My Food Bag, Bargain Box and Fresh Start continued to build brand value and advocacy by delivering differentiated offerings across the premium, value and health and wellness segments. My Food Bag was awarded the Canstar Blue’s Best Rated Meal Kit for 2025. Our partnership with Nadia Lim remains central to the brand with a new season of dinner with Nadia, featuring well-known Kiwis alongside our sponsorship of Nadia's Farm Kitchen. Bargain Box launched a bargain wind campaign across TV, YouTube and Radio, with a strong focus on value, affordability and quality. We also kicked off a multiyear sponsorship of the Weet-Bix Kids TRYathlon to reinforce its value and family positioning. Fresh Start continued to strengthen its position in the Health and Wellness segment. Across the portfolio, we invested in expanding the number of recipes on offer each week to support customer retention. To enhance convenience, we launched a Dynamic Box and Ice initiative to tailor box size and installation to each other, cutting cardboard use and waste and enhancing the customer experience. To offer greater flexibility, we launched our first recipe customization initiatives, starting with double protein options across all 3 brands. The results have been positive with customers willing to trade up, supporting growth and average order value. We have since added further customization, including the ability to swap proteins on selected recipes. the My Food Bag Shop continues with its full year of operation. and broaden the ways customers can engage with us beyond subscription meal kits. We expanded the range, introduced same-day and twilight delivery extended distribution coverage and continue to build our corporate customer base. We also grew our network of corporate partners, delivering tailored meal and grocery solutions through our existing operating model. We began a partnership with WM Robotics to trial ready-made meal vending machines and offices, apartments and hotels, a useful test and learn opportunity that has further validated demand for convenience healthy meals and new settings. Health continues to be a genuine competitive advantage for my food bag. We're fresh start at the center of how we support customers' health and wellness needs. Supported by 3 New Zealand registered dietitians, we launched our diabetes plan in partnership with Diabetes New Zealand, introduced high-protein and gut friendly preferences and developed a tailored meal plan for customers using GLP-1 weight loss medications. We've also developed partnerships with organizations and health professionals to build awareness and engage with new audiences. We continue to invest in our operational foundations with strong performance across quality and accuracy, reflected on higher customer Net Promoter Scores. We went live with a new ingredient management platform, providing real-time stock visibility and traceability, improving inventory control and strengthening quality assurance. Health and safety also remained a priority and we sustained the reduction in our total recordable injury frequency rate during FY '26. Employee engagement remained positive and stable throughout the year. supporting the pace of execution across our teams. Our investment in people was recognized externally with my food bag named a finalist in the learning and development category of the HRNZ Awards for the impact of our leadership capability initiatives. We also continue to scale our proprietary platform, enabling more personalized customer experiences, more efficient operations and better real-time decision-making. We're beginning to use AI in practical areas where it can improve productivity and decision-making, including menu planning and optimization. We maintained our focus on waste mineralization, including the Dynamic Box and Ice initiative to rightsize packaging and reduce cardboard use and waste. We're proud to source over 98% of our proteins and produce locally, and we expanded our range of local and sustainably sourced fish. Other achievements delivered in FY '26 included, our partnership with New Zealand Post, which saw distribution coverage expanded to over 91% of New Zealand households, up from 87%. Our Ready Made meal range, expanding further into soups and desserts and the quality of that range being recognized externally with 5 metals at the New Zealand Artisan awards and a second consecutive final placing and the New Zealand Food Awards for Nadia's’ Shepherd’s Pie. Christmas was another highlight Building on last year's protein swaps, we introduced dessert selection and launched an oven free barbecue Christmas back, delivering our highest ever Christmas Net Promoter Score over 70%. While today is principally about FY '26, I want to briefly touch on some of the initiatives now underway in FY '27. We continue to execute on our strategy with pace and discipline, translating our priorities into tangible outcomes for customers. Some of the initiatives already underway include rolling out a new customer loyalty program to report to reward repeat customers, encourage deeper engagement and build longer-term relationships with our most valuable customers. launching same-day delivery for new and returning customers providing a faster and more convenient way to experience our meal kits and helping remove a key barrier to trial. We're also introducing greater menu personalization including the ability to swap proteins and customized ingredient preferences so that customers can shape meals around their tastes, dietary needs and lifestyles. And then with the shop offering targeted gift bundles, including our Taste of winter and parents essential boxes to introduce new audiences to My Food Bag through relevant occasion lead gifting. In summary, FY '26 was another year of meaningful improvement for My Food Bag. We grew revenue, increased profit, generated strong cash flow and strengthen the balance sheet, while continuing to broaden our customer offering and investing capabilities that will support future growth. The momentum we are seeing has been created through consistent delivery against our strategy. Our focus remains on growing active customers through expanding our leadership in meal kits and continuing to grow into the broader meal solution and online grocery market. We enter FY '27 with a stronger business, a broader platform and a clear set of priorities. And our focus is firmly on maintaining that momentum through disciplined execution. Before I finish, I want to acknowledge Tony. This will be Tony's final Annual Shareholder Meeting, as he mentioned before. Tony, on behalf of the management team, thank you for your leadership, support and commitment to the business. I personally valued your counsel and support, and we all wish you the very best for the future. I'd also like to acknowledge Mark Powell. Whose subject to reelection will succeed Tony share. I look forward to continuing to work closely with you, Mark, as we build on the momentum created thus far. Finally, I want to thank our team for their continued hard work and commitment. And also thank you to you, our shareholders, for your ongoing support of My Food bag. I look forward to updating you on progress at our interim results in November. Back to you, Tony.

Thanks, Mark, and thanks for those kind words. We now come to the more formal part of the meeting. So we come to item 3, which is to formally receive and consider the annual report for the financial year ended the 31st of March 2026, including the financial statements and the auditor's report. Copies of the annual report have been made available to shareholders before the meeting and are available on the investor website. As a reminder, there will be an opportunity for you to ask general questions shortly. However, this is the opportunity to ask any questions specifically on the financial statements, the auditor's report and the 2026 Annual Report. Can shareholders present in the room, please wait until a microphone is provided to you. We need that so that you can ask your question online and clearly state your name and whether you're a shareholder or a proxy holder. Are there any questions from shareholders in the room in relation to the specific matters? I am not seeing any. Are there any questions from the shareholders online, yes.

No, nothing from online.

Cool. Okay. Thank you. We'll now move on to Item 4 of the agenda. And you see there are 4 resolutions to be voted on today. The reelection of Jen Bunbury as a Director of My Food Bag, the reelection of Sarah Hindle, the reelection of Mark Powell and the approval for the directors to set the auditor's fees for the during year. A poll will be held on each resolution and each resolution is required to be approved by an ordinary resolution. That means that the majority of votes cast by shareholders in favor of that resolution. Shareholders will be able to cast their vote either online or in-person. Shareholders joining us today here as you would have been given your shareholder voting card. If you're a shareholder did not receive your shareholder voting card, please make your way to the registration desk outside the room for assistance. Please mark your voting intention for the resolution and the voting cards will be collected at the conclusion of the meeting. Shareholders joining online, you'll be able to cast your votes using the electronic voting card. To vote, you will need to click the voting card within the online meeting platform. You'll be asked to enter your shareholder number or proxy number to validate. Please mark your voting card in the way you wish to vote on each resolution by ticking for, abstain or against on the voting card. Once you have made your selection, please submit vote on the bottom of the card to lodge your vote. Voting will remain open until 5 minutes after the conclusion of the meeting and the results of the poll will be announced after the meeting on the NZX platform. Resolution 1 relates to the reelection of Jen Bunbury as a Director. Jen joined the Board of My Food Bag in January 2021 and acts Chair of our Audit and Risk Committee. She has an expense of background and financial services, including NZSC listings, acquisitions, mergers and strategic advisory. Jen, Investment Banking Director for 9 years following investor relations and other investment banking roles in New Zealand and Europe. Jen is currently an adviser to the Stewart Family Investment Office. She was previously the CFO of NZX-listed Tourism Holdings. Jen is a member of the Institute of Directors and participated in the Future Directors program with the Board of Agri Business Scales Corporation. She completed a better commerce majoring in finance, graduating with first case honors from the excellent University, the University of Canterbury. Jen retires and being eligible offers herself for reelection. The Board recommends Jen Bunbury to you as a Director of My Food Bag and unanimously supports her reelection. I invite Jen to come up to the [indiscernible] and address the meeting.

Thanks, Tony. Thank you, and good morning, everyone. It's been a privilege to serve on the -- My Food Bag Board, and I'm very pleased to be standing here for reelection today. During my time on the board, the business has operated through a period of considerable change. both in the macro and consumer environment and within my food bag itself. But it's shown resilience and today is well positioned with a strong platform for future growth, as Mark has outlined. As Chair of the Audit and Risk Committee, I bring a particular focus to financial discipline and risk management of the business, but more broadly look to bring an independent and constructive voice to the table, continuing to really challenge ourselves around strategy, capital allocation and creating opportunities that can build sustainable long-term value for shareholders. I remain genuinely enthusiastic about my food bag. We have strong brands, a loyal customer base and a talented and committed team, and I believe there's meaningful opportunities ahead of us. I'd very much value the opportunity to continue contributing to My Food Bag over the coming term. Thank you for your support.

Thanks, Jen. I move as an ordinary resolution that Jen Bunbury, who retires at the annual meeting and is eligible for reelection, be reelected as a Director of My Food Bag. Are there any questions on the floor on this resolution? Again, I'm not seeing any. Are there any questions online?

Nothing from online.

Great. Thank you for that. Resolution 2 relates to the reelection of Sarah Hindle. Sarah also joined the My Food Bag board in January 2021. She has a broad range of experience in management and governance across food, beverage and consumer goods, technology and commercial law. Sarah leads the defense and aerospace sector at the New Zealand Trade and Enterprise where she has held several leadership roles across food, beverage, consumer goods, manufacturing and technology. Prior to New Zealand Trade and Enterprise, Sarah was a founding General Manager of the Tech Futures Lab, which is now Academy-X, which he helped grow New Zealand's most innovative TechLeagu Learning Institute. Previously, Sarah was based in the U.K., where she had held a number of roles, including as Chief of Staff to the CEO of Direct Wines, responsible for the international delivery of key strategic initiatives. She became a career as a solicitor for Minter Ellison Rudd Watts in New Zealand and is enrolled as a barrister and solicitor of the High Court in New Zealand. Sarah's passionate about helping businesses address the challenges facing our food system and has held governance roles as Chair of the Executive Council of AgriTech New Zealand and as a Director and Deputy Chair for New Zealand Tech. Sarah holds a Bachelor of Arts and Bachelor of Laws from Victoria University of Wellington, along with an MBA from BI Norwegian Business School of Management. Sarah retires and being eligible offers herself for reelection. The Board unanimously recommends to you her reelection. And I invite Sarah to come to the lecture to address the meeting on her reelection. Thank you. Sarah.

Thank you, Tony. I have very much enjoyed working alongside you and your role as Chair of My Food Bag. Good morning, ladies and gentlemen. It's great to be here this morning. I always enjoy meeting shareholders and hearing your personal experiences with my food bag. And I'm also grateful for this opportunity to address you briefly and offering myself for reelection. As Tony said, I joined the Board in 2021, drawing on my experience across fast-growing customer-facing sectors and global markets. Since that time, my family has been a weekly customer of My Food Bag and shareholders in the business. During my term, I was part of establishing the marketing committee in 2022. And I've remained a member of that committee since helping install the trading rhythm, the business now runs and supporting the plans that have driven sustainable growth. This is the kind of contribution I want to keep making to the business. Alongside that, I work with a number of New Zealand's most successful exporting businesses. I see how they're growing, the leadership challenges they're navigating and how global shifts are landing on them. That gives this board another early read on how consumer behavior competition and channel shifts are moving often before they might show up in our own numbers. I've genuinely valued building this Board's marketing capability and bringing an external lens to its thinking and want to continue this contribution, particularly as we work through the strategic review ahead. Thank you for your support. Thank you.

Thanks, Sarah. I move as an ordinary resolution that Sarah Hindle, who retires at the annual meeting and is eligible for reelection, be reelected as a Director of My Food Bag. Are there any questions from the floor on this resolution. Again, I'm not seeing any. Jess, any online?

Nothing from online.

Thank you. We will then move on to the next resolution, which relates to the reelection of Mark Powell. Mark joined the My Food Bag board in November 2022 and acts as the Chair of the Nomination and Remuneration Committee. Mark has extensive and diverse experience having worked in a number of different industries in New Zealand and overseas as part of his executive and governance career, including retail, property, logistics, food services, financial services, agriculture, mining and education. Mark moved into governance following a successful executive career were established in the Wal-Mart Canada's logistics served as a logistics operations manager for Tesco and spent 13 years at the warehouse group ultimately as Group CEO for 5 years. Mark is currently a Director of STIHL Australia, STIHL New Zealand and the ASX listed JB Hi-Fi. Mark graduated from the University of Wales with a Bachelor of Mining and Engineering with honors before completing a Masters and Logistics at Cranfield and later an MBA at Cardiff Business School in the U.K. He also has a Bachelor of Applied Theology and an MA and Christian Apologetics degrees. He is a Chartered Member of the New Zealand Institute of Directors, a graduate member of the Australian Institute of Company Directors and a fellow of the Chartered Institute of Transport and Logistics. Mark retires and being eligible, offers himself for reelection. And as recently announced, the Board has determined that subject to his reelection today, Mark were appointed as the new Chair of My Food Bag replacing myself. Mark will be an excellent year, and I have every confidence in him. The Board recommends Mark Powell to as a Director of My Food Bag and unanimously supports his reelection. And I'll invite Mark to address the meeting.

Thank you, Tony. I won't go through my background because Tony has covered that really well, but it is a privilege to stand here again for reelection. As Tony said, I came on the board in late 2022, almost at the same time, exactly that Mark became CEO. And when I came on this board, a big part of it was I was a customer already. I've been a customer for at least nearly a couple of years. I love the product. I thought the service was great. And I thought this company is wonderful from a customer perspective. And it's only got better and better, I think. In that time, the company has stabilized. It was challenging. It's definitely reduced debt and use this cash generation to do that and share that with dividends with shareholders. And it's now, I feel very much back on a sustainable growth path, which is exciting as well. And it's been good to be a small part of that with the Board, and we're supporting the executive team in achieving that. Also, if reelected, as Tony said, I would be succeeding Tony's Chair. It's been a privilege to be on the board with you, Tony, and I generally mean that I'm not just making ASM speak there. It is just genuinely been a privilege to be on a Board with Tony's Chair. And their big shoes to fill. And I hope to do that well, bringing all my experience to bear to that and endeavor to at least partly fill those shoes as we move forward. And the job with the Board and the Chair is to support management and delivering strategy that we've agreed and to appropriately challenge them to drive on and keep delivering for you, our shareholders, and that's what we intend to do, if I'm reelected. Thank you very much.

Right. I move as an ordinary resolution that Mark Powell who retires at the annual meeting and is eligible for reelection, be reelected as a Director of My Food Bag. Are there any questions on the floor on this resolution? Gentleman over there, can just wait for a microphone to come to you. Thank you.

Mike, sorry, Mark. Regarding your background in theology and apologetic and then I don't know how it relates to and whether you might have a problem of conscience because the Bible says you cannot serve both money and God. And then the companies x 131, I think -- and then as a Director, you need to look for the best interest for the company, right? So how do you resolve this philosophical issue in your life?

It's the first time I've ever been asked philosophical theological question at ASF, but I do welcome it as well. I don't see any conflict. It's the level of money that is what is worded against, shall we say, geologically. And -- but money isn't bad. We need wealth generation. It's interesting when it comes to politics [indiscernible] market capitalist for model reasons, because I think it raises everyone ourself. I shouldn't get into politics, I'll get in trouble. But -- so I don't see any conflict there. The good of the company helps others flourish. And my background in that area is all about helping others flourish. So I see no conflict whatsoever.

Okay. Any other questions on this specific resolution. Jess, anything from you?

No questions online.

Okay. Great. The final resolution is very much a procedural one. It happens at every AGM. And that's, as set out in the notice of meeting, it relates to our auditor's remuneration. The current auditor of My Food Bag, which is EY will automatically be reappointed at this meeting under our governing legislation. There is a requirement for the auditor's fees and expenses to be fixed at the annual meeting or in a manner that the company determines at that meeting. Shareholder approval is therefore sought for directors of My Food Bag to fix EY's fees expenses for the ensuring financial year. The Board's [indiscernible] supports his resolution and recommends you vote in favor of it. So I now move as an ordinary resolution that the directors of My Food Bag authorized to fix the fees and expenses of the auditor of My Food Bag for the ensuring year. Are there any questions from the floor on this resolution? Jes, anything online?

Nothing from online.

It's good. Great. At that time, I'd like to -- at this time, I'd like to advise the outcome of the proxy votes that were lodged in respect of all those resolutions. Those are now shown on the screen. For those shareholders online, please note that you can continue to submit your vote if you haven't already done so, and voting will be open until 5 minutes after the conclusion of this meeting. for the shareholders in the room, members of MUFG Pension & Market Services team will now move through the room and collect your voting cards. Give you a minute to do that. Excuse me. Right. Now we come to the more interesting part of the meeting. I'd like now to give shareholders the opportunity to ask questions, whether in relation to the presentations today, the annual report, the management of My Food Bag generally. Shareholders online can continue to provide questions through the portal, and we can also address questions from the room. When I call for questions, shareholders, please present in the room, please use the microphones and clearly state your name before you ask a question. I ask them the interest of fairness to all shareholders attending that you -- any question be as concise as possible and be considerate to other shareholders who are also willing to ask questions. I will either have to answer it myself or more likely [indiscernible] to Mark or someone else. Before moving to a question and what I will do is I'll take -- basically rotate between questions online and questions in the room, I've seen that flow works quite well. So we have had a question submitted in advance of the meeting and it was from [indiscernible]. At the launch of the strategic review, the Board noted that Cameron partners would explore all options to maximize shareholder value. including assessing expressions of interest from external suiters alongside continuing as an independent NZX listed entity. Given that our bank net bank debt has been successfully reduced to just $1.9 million and underlying profitability has stabilized. Could the Chairman please provide an updated time line on when shareholders can expect definitive conclusion or formal recommendation from Cameron partners regarding this process. And as I mentioned in my principal address, we anticipate being able to have a report back to shareholders either the results announcement or prior to the results announcement in mid-November. Cool. So questions in the room? Just wait for a microphone, sir.

Richard Jenkin shareholder. I'm just curious about the meal tending machines. How long do the meal stay in the machine? And how do you ensure freshness.

Yes. Yes. So we're working with WM Robotics, make our Ready Made meals more accessible right on convenience. Pilots involved about 10 vending machines deployed around Auckland, the fresh Ready Made meals. And WM Robotics have effectively developed a technology that tracks the shelf life and therefore promotes the availability of those getting closer to the end of their shelf life towards the top to kind of ensure stock management and mitigate write-off. What we're recognizing is that to further scale this up based on the demand that we're seeing, an option is actually to move into frozen ready-made meals, thereby providing a longer shelf life. So we're doing some work on that at this point. But so far, we've been really pleased with the pilot in terms of the uptake and interest. And so yes, we'll certainly continue to pursue it.

What's your wastage levels?

The way that the commercial arrangement operates is that the malls are purchased off us and that risk sits with WM Robotics.

Thank you, sir. Jess, anything online.