Macmahon : 2019 Half Year Results Roadshow Presentation

FIRST HALF YEAR RESULTS 2019 ROADSHOW PRESENTATION

1H19 HIGHLIGHTS

•  Significant uplift in financial performance

• • 1H19 Revenue of $542.2m, up 101% on 1H18

• • 1H19 Underlying EBIT1 of $39.9m, up 311% on 1H18

• • 1H19 Underlying EBITDA1 of $89.1m, up 94% on 1H18

• • 1H19 Underlying NPAT1 of $32.3m, up 304% on 1H18

• • Underlying basic EPS1 of 1.53cps, up 273% on 1H18

•  Key Achievements

• • Successful ramp-up of Batu Hijau capacity, performance (gain-share) payment of $780k achieved in 1H

• • Ongoing improvement in safety performance including rollout of mental health program

• • Secured new work at Nifty, Fosterville and a new quarry project

•  Reaffirm FY19 Guidance and strong outlook

• • Significant order book of ~$4.8 billion

• • Healthy tender pipeline of ~$7 billion

• • Forecast net debt position of $25 million to $35 million at June 19

• • FY19 expected Revenue of $0.95 billion - $1.05 billion2

• • FY19 expected Underlying EBIT of $70 - 80 million2

• 1. Underlying numbers, refer to reconciliation on slide 26

• 2. Guidance is not a guarantee of future performance and is subject to known and unknown risks. This guidance assumes an exchange rate of AUD:USD 0.76, and excludes the impact of one-offs including the shareholder class action that was settled in FY19. Guidance includes any Short Term Incentive Plan bonus payment but excludes Performance (gain-share) payments and share based payments.

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FINANCIAL PERFORMANCE

* FY18 has been restated for consistency with the current year's presentation

KEY CONTRACTS

Project / Client	Location	Commodity / Type	Comments
Tropicana AngloGold Ashanti / Independence Group	WA Australia	Gold Open-pit	• Alliance life-of-mine contract • Achieved reduction in unit cost by ~37% from 2015 • Phase 1 of Long Island commenced
Telfer Newcrest	WA Australia	Copper-gold Open-pit	• Commenced February 2016 • Life of mine contract
Mount Morgans Dacian Gold	WA Australia	Gold Open-pit	• Commenced December 2017 • 5 year contract
Byerwen QCoal	QLD Australia	Coking Coal Open-pit	• Commenced August 2017 • 3 year contract
Martabe PT Agincourt Resources	North Sumatra, Indonesia	Gold Open-pit	• 50:50 NKE Joint venture commenced 2015 • Contract maturity FY21
Batu Hijau PT AMNT	Sumbawa Island, Indonesia	Copper / Gold Open Pit	• Alliance life-of-mine contract • Commenced in August 2017 • Potential to extend scope to include future developments such as Elang • Performance fee (Gain share) achieved in 1H
Underground Various	Australia & Indonesia	Various Mining Services	• In Australia, continued to secure repeat, sustainable work including at Nifty, Fosterville and Olympic Dam. • 50:50 NKE joint venture developing an exploration decline at Tujuh Bukit
Civil (TMM Group) Various	Australia	Various Mining Services	• TMM undertook various civil work for Peak Downs, Rolleston and Poitrel

PEOPLE

• • Employee increase driven by ramp up of existing projects to steady state

• • Recruitment initiatives now include a new-to-industry "greenie program" and a defence force intake program

• • In Australia, 5% of our total workforce is Indigenous. In Indonesia, workforce 99% national, 10% from local communities

• • 11.3% of our total workforce is female

• • Survey showed high levels of engagement across the business

• • Continued investment in people including expansion of the traineeship program, introduction of an accelerated apprenticeship program, and rollout of a leadership development program

  1. Group employee numbers includes Full Time Equivalent contractors