Ann: FY23 Results presentation, page-3

I had a 45 minute zoom call with the fund manager yesterday which was very informative on what the path for DXC might look like going forward. The main takeaways that I took out of it were:

- There is likely to be further cap rate expansion at the next set of results but I'd expect this will be relatively minimal considering there is evidence of recent petrol station freeholds changing hands around that 6.1 percent mark that DXC has them on the books at

- Management intends to continue selling assets and repaying debt until the gearing is under 30 percent. In around 12 months time they expect the cycle to turn and for DXC to be in a strong financial position to either purchase assets in the convenience class that may not be petrol stations (I suggested fast food freeholds however the manager pointed out that these tend to change hands on very low yields which is quite correct). Management also expect there to be consolidation in the REIT space around this time too.

- I pointed out that I would have liked to have seen more open discussion of the significant NTA gap in the last few presentations

- The company is currently covered by 4 brokers (Ord Minnett, Moelis, Evans and Partners and Morgans) with three of those currently sitting at a buy recommendation and the 4th being an accumulate. The highest target price is $3.40 and the lowest is $3. They kindly provided me copies of all 4 reports so I would be happy to share with any other interested holders.

I came away from the meeting feeling like DXC have a very clear strategy that they are executing on it's just not being appreciated by the market.