General Announcement::2021 Annual Report (including Appendix 4E)

27 August 2021

The Manager

Market Announcements Office

Australian Securities Exchange

Dear Manager,

2021 ANNUAL REPORT (INCLUDING APPENDIX 4E)

In accordance with the requirements of the ASX Listing Rules, attached for release to the market is the 2021 Annual Report (including Appendix 4E).

The following will also be released in conjunction with today's announcement:

• Notification of Dividend/Distribution;
• 2021 Full-year results;
• 2021 Full-year results briefing presentation; and
• 2021 Corporate Governance Statement and Appendix 4G

An analyst briefing will be held at 10:00am AWST / 12:00pm AEST following the release of the full-year results announcement and the 2021 Annual Report (including Appendix 4E). This briefing will be webcast and accessible via our website at www.wesfarmers.com.au.

Yours faithfully,

Vicki Robinson

Executive General Manager

Company Secretariat

This announcement was authorised to be given to the ASX by the Wesfarmers Limited Board.

Annual Report 2021

ABOUT WESFARMERS

From its origins in 1914 as a Western Australian farmers' cooperative, Wesfarmers has grown into one of Australia's largest listed companies. With headquarters in Perth, Wesfarmers' diverse businesses in this year's review cover: home improvement, outdoor living and building materials; general merchandise and apparel; office and technology products; manufacturing and distribution of chemicals and fertilisers; industrial and safety product distribution; and gas processing and distribution. Wesfarmers is one of Australia's largest private sector employers with approximately 114,000 team members and is owned by more than 483,000 shareholders.

ABOUT THIS REPORT

This annual report is a summary of Wesfarmers and its subsidiary companies' operations, activities and financial performance and position as at 30 June 2021. In this report references to 'Wesfarmers', 'the company', 'the Group', 'we', 'us' and 'our' refer to Wesfarmers Limited (ABN 28 008 984 049), unless otherwise stated.

References in this report to a 'year' are to the financial year ended 30 June 2021 (previous corresponding period

30 June 2020) unless otherwise stated. All dollar figures are expressed in Australian dollars (AUD) unless otherwise stated.

References to AASB refer to the Australian Accounting Standards Board and IFRS refers to the International Financial Reporting Standards. There are references to IFRS and non-IFRS financial information in this report. Non-IFRS financial measures are financial measures other than those defined or specified under any relevant

accounting standard and may not be directly comparable with other companies' information. Non-IFRS financial measures are used to enhance the comparability of information between reporting periods. Non-IFRS financial information should be considered in addition to, and is not intended to be a substitute for, IFRS financial information and measures. Non-IFRS financial measures are not subject to audit or review.

All references to 'Indigenous' people

are intended to include Aboriginal and/or Torres Strait Islander people.

Wesfarmers is committed to reducing the environmental footprint associated with the production of this annual report and printed copies are only posted to shareholders who have elected to receive a printed copy. This report is printed on environmentally responsible paper manufactured under ISO 14001 environmental standards.

APPENDIX 4E

For the year ended 30 June 2021

Results for announcement to the market	2021	2020
Revenue from continuing operations	Up 10.0% to $33,941 million	$30,846 million
Profit after tax attributable to members from continuing operations	Up 46.7% to $2,380 million	$1,622 million
Net profit for the full-year attributable to members	Up 40.2% to $2,380 million	$1,697 million
Net tangible asset per ordinary share1	$5.14	$4.89
Operating cash flow per share	$2.99	$4.02

Dividends	Amount per security	Franked amount per security
Interim dividend	88 cents	88 cents
Final dividend	90 cents	90 cents
Total FY2021 dividend	178 cents	178 cents
Previous corresponding period:
Interim dividend	75 cents	75 cents
Final dividend	77 cents	77 cents
Special dividend2	18 cents	18 cents
Total FY2020 dividend	170 cents	170 cents
Record date for determining entitlements to the dividend	5:00pm (AWST) on 2 September 2021
Last date for receipt of election notice for Dividend Investment Plan	5:00pm (AWST) on 3 September 2021
Date the final dividend is payable	7 October 2021

Capital management	Amount per security
Return of capital to shareholders (proposed for payment on 2 December 2021)3	200 cents

1. The calculation of net tangible asset per ordinary share includes right-of-use assets and lease liabilities.
2. The fully-franked special dividend relates to the after-tax profit on the sale of the Group's 10.1 per cent interest in Coles Group Limited (Coles) during FY2020.
3. The proposed return of capital is subject to shareholder approval at the Wesfarmers Annual General Meeting on 21 October 2021.

Contents OVERVIEW

OPERATING

AND FINANCIAL

REVIEW

GOVERNANCE

DIRECTORS'

REPORT

FINANCIAL

STATEMENTS

SIGNED

REPORTS

SHAREHOLDER

AND ASX

INFORMATION

Group structure	2
Our primary objective	3
Performance highlights	4
Our strategic priorities	5
Performance overview	6
Chairman's message	8
Managing Director's report	10
Leadership Team	12
Operating and financial review	14
Bunnings	26
Kmart Group	32
Officeworks	40
Chemicals, Energy and Fertilisers	46
Industrial and Safety	52
Other activities	58
Group sustainability performance	59
Climate-related financial disclosures	68
Independent Limited Assurance Statement	81
Board of Directors	82
Corporate governance overview	84
Directors' report	89
Remuneration report	94
Financial statements	123
Notes to the financial statements	129
Directors' declaration	172
Independent auditor's report	173
Five-year financial history	177
Shareholder information	178
Investor information	179
Corporate directory	180

Wesfarmers 2021 Annual Report

1

Overview

Group structure

Chemicals,

Industrial

Other

Bunnings

Kmart Group

Officeworks

Energy and

Corporate

and Safety

activities

Fertilisers

(50%)

(50%)

(24.8%)

(50%)

(50%)

(75%)

(50%)

(4.9%)

2 Wesfarmers 2021 Annual Report