Challenger : 1H22 Investor Presentation and outlook

1H22 Financial results

onlyBusiness momentum driving strong earnings growth

17 February 2022 useonal

Overview

Providing customers with financial security for a better retirement

only	Business performance
		Nick Hamilton - Managing Director and Chief Executive Officer
use		Financial results
	Rachel Grimes AM - Chief Financial Officer
	Strategy and financial outlook
onal	Nick Hamilton - Managing Director and Chief Executive Officer

1H22 - 31 December 2021

2

Highlights

Business momentum driving strong earnings growth

Strong earnings growth

Converting AUM growth into earnings growth

only	On-track to achieve full-year guidance and targets
Improving shareholder returns
	ROE increase and in-line with target
use	Dividend increase from earnings growth
Significant business momentum
Successful diversification strategy driving Life and Funds Management growth
Bank acquisition to extend customer reach and further diversify offering
Executing strategy to drive growth
onal	Focused and experienced team

Priorities to drive sustainable growth

1H22 - 31 December 2021

3

Business performance

onlyNick Hamilton

Managing Director & Chief Executive Officer useonal

1H22 performance

Strong earnings growth and on-track to achieve full-year guidance Significant business momentum

use only

Life sales

$4.9bn +44%

FM net flows

$0.9bn

Group AUM

$115bn +20%

Normalised NPBT

$238m +21%

Statutory NPAT

$282m +27%

Record Life and annuity sales driven by successful diversification strategy

Momentum in domestic and offshore net flows

Strong AUM growth across both Life and Funds Management

Earnings benefiting from AUM growth with stable margins

~70% above Normalised NPAT ($166m) with significant investment gains

		Dividend	Growing dividend and in-line with payout policy
		11.5cps +21%
	1H22 - 31 December 2021
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