Annual report
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18 Resolution Drive PO Box 1246 Unanderra NSW 2526 Australia P: +61 2 4272 0444 E: companysecretary@bisalloy.com.au ABN: 22 098 674 545 www.bisalloy.com.au 1 of 1 28 August 2026 The Manager - Listings Australian Securities Exchange Limited Exchange Centre 20 Bridge Street SYDNEY NSW 2000 Compliance with Listing Rule 4.3A for the twelve months ended 30 June 2026 Dear Madam/Sir As approved by the Board of Bisalloy Steel Group Limited (ASX: BIS) and in accordance with Listing Rule 4.3A, please find the following documents relating to Bisalloy Steel Group Limited’s results for the twelve months ended 30 June 2026: • Appendix 4E Results for Announcement to the Market. • Bisalloy’s FY2026 Annual Report including its Directors’ Report and audited Financial Statements containing all other Appendix 4E requirements. Yours sincerely Carl Bowdler Company Secretary
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1 BISALLOY STEEL GROUP LIMITED A.C.N. 098 674 545 Appendix 4E – Preliminary Final Report Financial year ended 30 June 2026 Results for announcement to the market Absolute FY26 FY25 Change $’000 $’000 Revenue Down 10.6% to 136,601 152,810 Profit before tax Down 14.6% to 23,879 27,963 Profit after tax Down 16.0% to 16,822 20,038 Profit attributable to members Down 14.4% to 16,769 19,580 Dividends Amount per share Franked amount per share 2025 Final dividend 2025 Special Dividend 2026 Interim Dividend 2026 Final Dividend 16.5 cps 16.4 cps 8.0 cps 13.0 cps 100% 100% 100% 100% Record date for determining entitlements to the final dividend of financial year 30 June 2026 1 25 September 2026 1. The dividend reinvestment plan remains suspended until further notice and will not be in operation for the 2026 final dividend. Other FY26 FY25 Net tangible asset backing per share 160.9cps 168.3cps The Group’s businesses continued to execute in a highly competitive environment, with a higher share of Armour and Protection steel in the product mix. The Group’s net profit for the year after income tax was lower at $16,822,000 (2025: $20,038,000), reflecting the planned absence of the one-off items recognised in the prior year. The CJV lifted its net contribution to the Group to $3.0 million, from $2.8 million in FY25. Operating expenses increased compared to FY25, predominantly reflecting additional investment in sales and marketing, new business development, R&D, and higher occupancy costs. Controlled entities acquired or disposed There were no changes to controlled entities during the year ended 30 June 2026. Other information required by Listing Rule 4.3A The remainder of the information requiring disclosure to comply with Listing Rule 4.3A is contained in the attached Additional Information, Directors’ Report and Financial Report. Audit This report is based on financial statements that have been audited and an unqualified opinion has been issued.
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2 Table 1: Reconciliation of profit after income tax to EBITDA Consolidated 30 June 2026 30 June 2025 Consolidated profit after income tax 16,822 20,038 Income tax expense 7,057 7,925 Net interest expense 689 780 Depreciation and amortisation 2,144 2,095 Foreign exchange (gain) / loss (71) 41 CJV share of income tax expense, net interest expense, depreciation and amortisation 1,024 975 EBITDA 27,665 31,854 Signed in accordance with a resolution of the directors. Rowan Melrose Managing Director & CEO 28 August 2026
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STEEL GROUP LIMITED 2026 Annual Report
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EBITDA $m Debt $m Net Profit $m 27.7 16.80 0 0 31.9 20.0 26.7 16.2 23.0 2.3 13.5 24.8 8.6 15.4FY22 FY23 FY24 FY25 FY26 FY22 FY23 FY24 FY25 FY26 FY22 FY23 FY24 FY25 FY26
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We are a proudly Australian company producing the BISALLOY® range of quenched and tempered performance steels across three main product areas of high wear, structural and armour grade specialty steels. Contents i 2026 highlights ii Chairman’s Report iv Managing Director and Chief Executive Officer’s Report 01 Financial Report 74 Directors’ Declaration 75 Independent Auditor’s Report 78 Additional Information 80 Corporate Directory 2026 highlights $27.7m EBITDA 13.0� Final Dividend $0.0m Net Debt 0.0% Gearing 2026 Annual Report Bisalloy Steel Group Limited | i
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The Group delivered a result in line with shareholder guidance, reflecting the planned absence of the one-off additions to profit recognised in the prior year. We enter FY27 with no net debt and strong cash generation, and the Board has declared a fully franked final dividend of 13.0 cents per share. Growth Strategy The growth strategy we are pursuing rests on four pillars: 1. Defending our domestic Wear and Structural quenched and tempered plate business. Imported Chinese plate has taken domestic market share at prices we believe sit below fair value. We intend to lodge an application with the Anti-Dumping Commission to review that pricing so that a level playing field for local manufacturing can be restored. 2. Building our Armour and Protection Plate business in global markets. Our Armour and Protection plate volumes grew by 229% (187% including domestic volumes and excluding AUKUS) during the year as our investment in sales and manufacturing capability began converting into orders. We completed the contract with the Australian Submarine Agency to qualify our steel for Australia’s SSN-AUKUS submarine program. After year end, we secured our first order to supply HY80 steel to the United States submarine industry. This is the first time Australian-made steel will be used to build United States Virginia-class submarines. We are securing additional greenfeed supply and supplementary processing capacity to complement what we manufacture in Australia to sustain this growth. 3. Growing BISPLATE® sales through our Chinese Joint Venture. The Joint Venture lifted its net contribution to the Group. We have worked with our partner to restructure the leadership team and to strengthen the technical capability within the Joint Venture. The CJV has begun to recruit additional specialist salespeople to accelerate growth in sales volumes of higher value BISPLATE® products into the Chinese market. Chairman’s Report The past twelve months have reinforced the resilience of Bisalloy’s strategy as we grow our international protective steel business. ii | Bisalloy Steel Group Limited 2026 Annual Report
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Below: Photo courtesy of Australian Defence Force 4. Building the OptiWear business into a distinct profit stream. OptiWear extends our reach into the mining supply chain and strengthens the technical standing of the Bisalloy brand. During the year we confirmed the sensor’s patentability in our target international markets and proved its performance across a wider range of mines and applications. We are now progressing partnerships with prime original equipment manufacturers in each major application to drive commercialisation. International Operations Our business in Thailand delivered another year of profitable growth and remains a well-run operation with a stable customer base. In Indonesia, the Government is not issuing distributors the import licences they need to run a viable specialist steel distribution business. This is disappointing given that quenched and tempered plate is not manufactured in Indonesia. We have responded decisively to this setback by reducing the Indonesian workforce by 22%, with the associated restructuring costs recognised in FY26. We have also renegotiated the terms of the joint venture with our partners. We continue to assess the operation’s future, which will depend upon the availability of import licences. Safety The safety of our workforce and contractors has long been a focus of the Board and management. Despite that focus, we experienced a serious incident during the year in which one of our employees was badly injured. The impact on him, on his family and on his colleagues has been profound. As the owners and operators of our business, we are accountable for the safety of our people. We have completed immediate rectification work so that production can continue safely and to ensure an incident like this or similar is not repeated. On behalf of the Board, I acknowledge our injured employee and wish him a full and speedy recovery. Governance and People We are reviewing our organisational structure and succession plans at senior management and Board level to support our growth strategy. Bisalloy is becoming a more internationally diverse business, and that evolution calls for greater offshore capability and deeper knowledge of the international protection plate industry. We are building our leadership depth to match our ambitions. Outlook and Appreciation FY27 will be a year of continued investment in the four pillars of our growth strategy. These investments will build upon our achievements in FY26. We are confident in the Company’s strategic position and the opportunities before it, despite the variability and uncertainty of regulatory and trade conditions in several of our markets. On behalf of the Board, I thank our shareholders for their continued support, and I thank our people across Australia and our international operations for their commitment and resilience throughout the year. Mr David Balkin AM, Chairman 2026 Annual Report Bisalloy Steel Group Limited | iii
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FY26 delivered an outcome consistent with the guidance we provided to shareholders a year ago. Net profit after tax of $16.8 million was below the $20.0 million reported in FY25, reflecting the expected absence of the one-off items recognised in the prior year. Group revenue of $136.6 million was down 10.6%. The result was underpinned by another strong performance from our Australian business, supported by growth in Armour and Protection, while the Group outcome reflected the impact of government-imposed import licensing restrictions on our Indonesian operations and one-off items recognised in the prior year. Throughout FY26 we executed against our strategy to diversify earnings, expand internationally and increase our exposure to higher-value products and technologies. We completed the contract with the Australian Submarine Agency for the qualification of steel for Australia’s SSN-AUKUS submarine program, strengthened our international operations, improved manufacturing performance, and transitioned our OptiWear digital wear-monitoring technology from development into commercial deployment. While external market conditions remained challenging in several of our traditional markets, the business finished FY26 with a clear strategic direction, stronger operational capability and a broader range of growth opportunities than at any time in our recent history. Safety, Health and Environment During FY26 one of our Australian employees was seriously injured at work. The incident has had a profound impact on him, on his family and on his colleagues, and on behalf of the Board and the executive team I want to acknowledge that directly. The incident reinforces the importance of maintaining the highest standards of safety across every part of our operations. Following the incident we completed immediate remediation work and production resumed safely. We have undertaken a comprehensive review of our safety systems, engineering controls and operating procedures, and we have strengthened worker consultation. Our international operations again recorded no lost time injuries during the year, with our businesses in China, Thailand and Indonesia collectively now exceeding twelve consecutive years without a lost time injury. This achievement reflects a strong safety culture and consistent operational discipline across those businesses. The health, safety and wellbeing of our employees, contractors and visitors remains our highest priority. Every person who works for, or with, Bisalloy should return home safely every day. Environmental stewardship also remains an important part of our operating philosophy. We continue to pursue practical initiatives that reduce waste, improve resource efficiency and minimise our environmental footprint while maintaining full compliance with applicable environmental legislation. Operating Performance The Australian market remained challenging throughout FY26. Softer demand from parts of the resources sector, particularly in Western Australia and Queensland, combined with the increasing presence of Chinese-sourced quenched and tempered plate in the domestic wear and structural market, created a more competitive trading environment than we have experienced in recent years. Against these conditions the Australian business again delivered a strong result, driven by disciplined cost management, continued operational Managing Director and Chief Executive Officer’s Report iv | Bisalloy Steel Group Limited 2026 Annual Report
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improvement and a growing contribution from Armour and Protection, which represented 33% of Australian revenue in FY26 compared with 25% in FY25. Manufacturing performance improved further during FY26. Better production planning, tighter process control and closer collaboration through the supply chain lifted armour manufacturing efficiency and reduced production and yield losses. These operational improvements not only strengthened current performance but also increased our capacity to support future growth opportunities. International Growth Our international operations remain an increasingly important contributor to the Group’s long-term strategy and earnings diversification. Thailand delivered another excellent performance, achieving growth in both revenue and earnings while extending its long record of profitable operation. It remains a well-run business with a stable customer base and a disciplined cost structure, and it continues to demonstrate the value of our distribution model in South East Asia. In China, while operating in difficult economic conditions, our Joint Venture delivered a significant improvement on FY25 as the business realised a better return on its higher-value BISPLATE® products. Improved alignment between the shareholders, strengthened leadership and renewed emphasis on profitable growth have strengthened the platform for future growth. Our focus in FY27 is to continue refining the operational elements of the business, including its sales and management structures, and to grow BISPLATE® volumes further within the Chinese market. Indonesia was materially affected during the year by import licensing restrictions imposed by the Indonesian Government. These restrictions apply across the market and are not specific to 2026 Annual Report Bisalloy Steel Group Limited | v
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Managing Director and Chief Executive Officer’s Report continued our business; they have constrained the ability of importers generally to bring product into the country. In response we reduced headcount in the Indonesian business by 22% in June, with the associated redundancy costs recognised in FY26, and we also negotiated changes to the joint venture terms with our partners. We will continue to assess opportunities to strengthen the business over the coming months as the regulatory position evolves. Building the Future One of the defining characteristics of FY26 was the continued investment in initiatives that we see as important drivers of Bisalloy’s future growth. Global defence expenditure continues to increase as governments strengthen sovereign manufacturing capability and modernise defence assets. Against this backdrop, Bisalloy continues to build its position as a trusted supplier of specialised protection steel to leading defence manufacturers both within Australia and internationally. During the year we completed the contract with the Australian Submarine Agency for the qualification of steel for Australia’s SSN-AUKUS submarine program. Completion of that contract is an important milestone and reinforces Bisalloy’s position as Australia’s only manufacturer of quenched and tempered steel plate. Qualification programs of this nature are complex, technically demanding and create significant long-term opportunities for the Company. Subsequent to year end, in July 2026, Bisalloy announced its first order to supply HY80 steel for the United States submarine industry following the successful qualification of Australian-produced steel to the US Navy’s TP300 standard. Achieved through collaboration with BlueScope, the Australian Submarine Agency, General Dynamics Electric Boat and the US Naval Sea Systems Command, the milestone marks the first time Australian -made steel will be used in the construction of US Virginia-class submarines. In this partnership, BlueScope manufactures the raw steel plate, with Bisalloy undertaking the specialised processing and heat treatment required to produce submarine-grade HY80 steel. Beyond the initial order, this achievement positions Bisalloy for future opportunities within allied submarine supply chains under AUKUS, while strengthening Australia’s sovereign industrial capability and supporting highly skilled local manufacturing. Our Digital Solutions business also reached an important stage during the year. Following successful technical validation across a range of international mining applications, OptiWear has successfully $16.8m 2026: Net Profit (2025: $20.0m) vi | Bisalloy Steel Group Limited 2026 Annual Report
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transitioned from development and evaluation into commercial deployment, with 8 installations completed during the past 12 months. The technology provides real-time wear intelligence that supports improved maintenance planning, lower operating costs, better safety outcomes and higher equipment availability and performance. Although still in the early stages of commercial adoption, Digital Solutions has the potential to diversify future earnings and further differentiate Bisalloy from traditional steel manufacturers. Looking Ahead FY26 was a year of executing strategic priorities and building capability for future growth. We strengthened our leadership, enhanced our governance framework, improved manufacturing performance, completed the SSN-AUKUS qualification contract and moved our digital technology into commercial deployment. We are advancing our strategic growth initiatives and continue to diversify the business across higher-value products, international markets and emerging technologies. FY27 will be a year of continued investment. Converting the capability we have built into sustained earnings growth is a multi-year task, and we expect to continue investing in our defence and international positions, in our manufacturing capability and in Digital Solutions before the full financial benefit of this work is realised. Our focus in FY27 remains on disciplined execution against clearly defined milestones, positioning the Group to deliver sustainable long-term growth. We approach that task from a position of financial strength, with no net debt and the capacity to fund our plans from operating cash flow. The progress achieved during FY26 reinforces our confidence in the Company’s future. While market conditions will inevitably fluctuate, our strategic direction remains clear, our competitive position continues to strengthen and we remain firmly focused on building a larger, more diversified and more valuable Bisalloy. On behalf of the Board and executive team, I sincerely thank our employees across Australia and our international operations for their professionalism, commitment and resilience throughout the year. I also thank our customers, suppliers, joint venture partners and shareholders for their continued confidence and support. Mr Rowan Melrose Managing Director and CEO 2026 Annual Report Bisalloy Steel Group Limited | vii
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As the RAN celebrates 125 years of service, Bisalloy Steels recognises a partnership built on the rigorous standards of Australian manufacturing, producing enduring naval capability. Bisalloy’s naval story started in 1989 with the Collins Class submarine build, supplying qualified high-performance steel for Australia’s first locally constructed submarines. More than 8,000 tonnes of Bisalloy steel went into the nation’s six Collins Class vessels, processed and tested in Australia to meet exacting naval requirements and supporting one of the country’s most significant shipbuilding efforts alongside the Australian Submarine Corporation. Now, that partnership is entering a new chapter. In 2023, Bisalloy was awarded a contract with the Australian Submarine Agency to qualify Australian-made steel for the SSN-AUKUS submarine program. The qualification process involves more than 4,500 tests, reinforcing Bisalloy’s role in strengthening Australia’s sovereign defence supply chain. From Collins to SSN-AUKUS, the message is clear: when Australia’s Navy relies on capability at sea, it starts with strength made at home with Bisalloy steel. Bisalloy Steels congratulates the Royal Australian Navy on 125 years of courage, service and excellence. viii | Bisalloy Steel Group Limited 2026 Annual Report
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2026 Financial Report Image: Chinese Joint Venture head office 2026 Annual Report Bisalloy Steel Group Limited | 1
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Directors’ Report The directors present their report, together with the financial statements, on the consolidated entity (referred to hereafter as the ‘Consolidated Entity’ or ‘the Group’) consisting of Bisalloy Steel Group Limited (referred to hereafter as the ‘Company’ or ‘Parent Entity’) and the entities it controlled at the end of, or during, the year ended 30 June 2026. Directors The names and details of the Company’s Directors in office during the financial year and until the date of this report are as follows. Directors were in office for this entire period unless otherwise stated. Mr David Balkin AM BSc Civil Engineering (WITS), MBA (Harvard) Chairman Skills and Experience Mr Balkin brings extensive knowledge and understanding of global basic materials industries through over 25 years as a consultant, senior partner and leader of McKinsey & Company’s global basic materials practice. He is also an experienced director and chairman of a number of private companies where he actively advises and supports management to improve shareholder returns and build more sustainable businesses. Term of office Appointed as Director and Chairman on 27 November 2020. Last re-elected on 8 November 2024. Board Committees ● Audit and Risk Committee. ● Chairman of Nominations and Remuneration Committee. Directorships of other listed companies in the past 3 years ● Nil. Mr Rowan Melrose BE (Hons), MAppSc, MBA Managing Director and Chief Executive Officer Skills and Experience Mr Melrose is an experienced executive with an extensive background in mining services, mining consumables, operations and manufacturing. Mr Melrose has successfully worked and managed businesses in Australia, SE Asia, China, India, and New Zealand, including most recently as Executive General Manager of Bradken Limited’s Mineral Processing and Fixed Plant division. Mr Melrose holds a Bachelor of Engineering and a Master of Applied Science from the University of NSW as well as a Master of Business Administration from Wollongong University. Term of office Appointed as Managing Director & CEO on 01 March 2022. As the Managing Director he is not subject to re-election by rotation. Other Directorships ● Chairman of Bisalloy Shangang (Shandong) Steel Plate Co. Ltd. ● Bisalloy (Thailand) Co Ltd. ● Bisalloy Steels Pty Limited. Supervisory Boards ● President Commissioner of PT Bima Bisalloy. Directorships of other listed companies in the past 3 years ● Nil. 2 | Bisalloy Steel Group Limited 2026 Annual Report
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Mr Ian Greenyer BSc (Hons) Non-executive Director Skills and Experience Mr Greenyer brings significant financial and business analysis and improvement skills, through 28 years as an independent consultant, actively identifying and effecting change in small and medium sized companies operating in a broad range of business sectors based in Australia. These activities flowed from a background as an actuary, investment analyst and stockbroker. Term of office Appointed as Director on 27 November 2020. Last re-elected on 6 October 2023 and subject to re-election on 6 November 2026. Board Committees ● Chairman of the Audit and Risk Committee. ● Nominations and Remuneration Committee. Directorships of other listed companies in the past 3 years ● Nil. Mr Michael Gundy MBA, BBus,Assoc Dip Metallurgy Non-executive Director Skills and Experience Mr Gundy is an experienced executive with 35 years of steel industry experience spread across Australia, SE Asia, New Zealand, and the United States. In his career Mr Gundy has been involved in profitably growing businesses, opening new markets, developing distribution channels and business restructuring. Term of office Appointed as Director on 27 November 2020. Last re-elected on 8 November 2024. Board Committees ● Audit and Risk Committee. ● Nominations and Remuneration Committee. Supervisory Boards ● Commissioner of PT Bima Bisalloy. Directorships of other listed companies in the past 3 years ● Nil. 2026 Annual Report Bisalloy Steel Group Limited | 3
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Directors’ Report (continued) For the year ended 30 June 2026 Mr Bernard Landy Dip Eng (Mech), FAICD Non-executive Director Skills and Experience Mr Landy has more than 40 years of experience working as a steel industry executive in Australia, SE Asia and China; including almost seven years based in Shanghai where he successfully led BlueScope China’s steel and building products manufacturing businesses. At board level, highlights include chair and director of the Australian Steel Institute, chair and director of the Bureau of Steel Manufacturers of Australia and director of several BHP and BlueScope international subsidiaries. Mr Landy is also currently an advisory board member of Swinburne University’s Centre for Smart Infrastructure and Digital Construction. Term of office Appointed as Director on 01 March 2022 and last re-elected on 6 November 2025. Board Committees ● Audit and Risk Committee. ● Nominations and Remuneration Committee. Supervisory Boards ● Bisalloy Shangang (Shandong) Steel Plate Co. Ltd. Directorships of other listed companies in the past 3 years ● Nil. Directors’ Shareholdings As at the date of this report, the interests of the Directors in the shares of Bisalloy Steel Group Limited were: Number of Ordinary Shares Number of Share Rights D Balkin 7,781,095 I Greenyer 100,000 M Gundy 67,054 B Landy 32,500 R Melrose 122,890 188,849* * Mr R Melrose has an additional 58,050 share rights granted but not approved at reporting date. Company Secretary Mr Carl Bowdler B Bus, FCPA, GAICD, FGIA Chief Financial Officer and Company Secretary Skills and Experience Mr Bowdler is a Fellow of CPA Australia with over 30 years’ experience in senior roles with strategic, financial, and operational responsibilities. Those roles include the CFO roles at Tribe Breweries, Kollaras & Co and Hagemeyer Brands Australia. Term of office Appointed as CFO and Company Secretary in November 2021. Other Directorships ● Director of PT Bima Bisalloy, ● Director of Bisalloy (Thailand) Co. Ltd. ● Director of Bisalloy Shangang (Shandong) Steel Plate Co. Ltd. 4 | Bisalloy Steel Group Limited 2026 Annual Report
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Board activities The number of Directors’ meetings and number of meetings attended by each of the Directors of the Company during the financial year are: Directors’ Meetings Directors’ Meetings Audit and Risk Nomination and Remuneration Number of meetings held 13 5 4 Number of meetings attended D Balkin 13 5 4 I Greenyer 13 5 4 M Gundy 13 5 4 B Landy 13 5 4 R Melrose 12 – – Remuneration of key management personnel Information about the remuneration of key management personnel is set out in the Remuneration Report section of this Directors’ Report starting on page 11. The term ‘key management personnel’ refers to those persons having authority and responsibility for planning, directing and controlling the activities of the Consolidated Entity, directly or indirectly, including any director of the Consolidated Entity. Dividends Cents $’000 Final Dividend for FY26 recommended on ordinary shares (fully franked) 13.0 6,245 FY26 Interim Dividend paid in the year 8.0 3,843 FY25 Special Dividend paid in the year 16.4 7,879 FY25 Final Dividend paid in the year 16.5 7,927 Total Dividends paid in the year 40.9 19,649 Principal activities The principal activity of the Group during the financial year was the manufacture and sale of quenched and tempered, high-tensile, and abrasion resistant steel plates (“Q&T plate”), including Armour and Protection grades. The Group also progressed the commercialisation of its OptiWear digital wear-monitoring technology. Operating and financial review Operations Group Bisalloy Steel Group comprises Bisalloy Steels Pty Ltd (Bisalloy Steels) in Australia, the majority owned distribution businesses in Indonesia (PT Bima Bisalloy) and Thailand (Bisalloy (Thailand) Co Limited), Bisalloy Digital Solutions, and the investment in the Chinese Joint Venture (CJV) – Bisalloy Shangang (Shandong) Steel Plate Co. Ltd. The Group delivered a result in line with the guidance provided to shareholders in the 2025-26 financial year, reflecting the planned absence of the one-off items recognised in the prior year. During the year the Group experienced a serious workplace incident in which an employee was seriously injured. The Board and management have treated this as a matter of highest priority, completing immediate rectification, reviewing safety systems and controls, strengthening worker consultation, and working constructively with SafeWork NSW to resolve the improvement notices issued. Safety remains our highest priority, and we continue 2026 Annual Report Bisalloy Steel Group Limited | 5
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Directors’ Report (continued) For the year ended 30 June 2026 to develop our safety culture across all business units, including our joint ventures, in pursuit of a zero -harm operating environment. Excluding AUKUS-related sales, Australian year-on-year sales increased marginally, with growth in Armour and Protection offsetting weakness in Wear and Structural sales. The softer Wear and Structural result reflected reduced demand from parts of the resources sector, particularly in Western Australia and Queensland, together with increased competition from Chinese-sourced Q&T plate in the domestic market. In defence of the core domestic business, the Group intends to lodge an application with the Anti-Dumping Commission seeking a review of the pricing of imported plate. Bisalloy Steels is Australia’s only manufacturer of quenched and tempered high strength, abrasion resistant and armour grade alloyed steel plates. Bisalloy Steels distributes wear and structural grade plates through both distributors and directly to select manufacturers and end users in Australia and internationally. For Armour and Protection grade steels, global exports are performed in strict compliance with Defence Export Controls, a set of laws and regulations administered by the Commonwealth Department of Defence. Bisalloy Steel’s unique stand-alone heat treatment facility at Unanderra, near Wollongong, is a highly automated and efficient operation providing a relatively low-cost base, allowing it to compete with a variety of imported products. During the twelve months ended 30 June 2026, Bisalloy utilised greenfeed steel supply mainly from neighbouring BlueScope Steel in Wollongong, complemented with selected supply from international greenfeed suppliers, including the CJV. Financial review Operating results The Group’s businesses continued to execute in a highly competitive environment, with a higher share of Armour and Protection steel in the product mix. The Group’s net profit for the year after income tax was lower at $16,822,000 (2025: $20,038,000), reflecting the planned absence of the one-off items recognised in the prior year. The CJV lifted its net contribution to the Group to $3.0 million, from $2.8 million in FY25. Operating expenses increased compared to FY25, predominantly reflecting additional investment in sales and marketing, new business development, R&D, and higher occupancy costs. Operating results are summarised as follows: 2026 Revenue $’000 Profit after tax $’000 Operating Segments Australia 119,574 17,136 Overseas 18,165 2,875 137,739 20,011 Consolidated entity adjustments (1,138) (3,189) Consolidated entity revenue and profit after tax for the year 136,601 16,822 Delivering for shareholders We seek to deliver sustainable dividends for our shareholders. We know that many shareholders rely on the dividends and related franking credits that they receive to support their income. By focusing on our operating performance and capital generation through different economic environments, we can achieve sustainable dividends over the long-term. The Board has decided to pay a final dividend of 13.0 cents per share for the year ended 30 June 2026, in addition to the 8.0 cent interim dividend paid in April. The Dividend Re-investment Scheme remains suspended. 6 | Bisalloy Steel Group Limited 2026 Annual Report
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Dividend per share (cents) FY23 FY24 FY25 FY26 25 30 35 40 45 20 15 10 5 0 FY22FY21FY20FY19FY18FY17 Interim Dividend (cents) Final Dividend (cents) Special Dividend (cents) FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 Basic earnings per share (cents) 8.3 14.9 19.3 32.2 27.0 33.0 40.9 34.9 Net profit attributable to members ($’000) 3,682 6,736 8,810 14,991 12,796 15,741 19,580 16,769 Return on equity (reported PAT/equity) (%) 12.60% 16.00% 18.50% 24.00% 18.60% 21.00% 23.30% 20.60% Gearing (net debt / net debt + equity) (%) 21% 27% 13% 12% 3% 0% 0% 0% Interim dividend (cents) – – – 4.5 4.0 8.0 8.0 8.0 Final dividend (cents) 4 5 9 9 9.5 11.5 16.5 13.0 Special dividend (cents) – – – – 10.5 13.0 16.4 - Dividend franking 100% 100% 100% 100% 100% 100% 100% 100% Dividend payout ratio 48% 34% 47% 42% 89% 98% 100% 60% 2026 Annual Report Bisalloy Steel Group Limited | 7
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Directors’ Report (continued) For the year ended 30 June 2026 Balance sheet strength A strong balance sheet is critical to our ability to serve our customers, drive core business outcomes and deliver sustainable returns for our shareholders. Our liquidity and funding metrics remained strong. The strength of our balance sheet means we are positioned to continue supporting our customers while delivering sustainable returns to our shareholders. Liquidity and funding The Group has funded the cash paid in dividends predominantly from operating activities. The consolidated statement of cash flows details a decrease in cash and cash equivalents before exchange rate differences for the year ended 30 June 2026 of $1,817,000 (2025: increase of $95,000). Operating activities resulted in a net cash inflow of $17,420,000 (2025: inflow of $13,396,000). Investing activities resulted in a net cash inflow of $201,000 (2025: inflow of $907,000). This included cash outflows of $2,389,000 (2025: $1,073,000) for investment in operating plant and equipment, no outflows for intangible assets (2025: outflows of $155,000) and dividends received of $2,590,000 (2025: $2,135,000). Financing activities resulted in a net cash outflow of $19,438,000 (2025: outflow of $14,208,000), proceeds from borrowings of $586,000 (2025: proceeds from borrowings of $1,606,000) and the dividend paid in cash to shareholders totalling $19,649,000 (2025: $15,569,000). The Group’s net cash position of $1.5m at 30 June 2026 is down from net cash of $4.0m at 30 June 2025. Bisalloy Steel Group Limited and Bisalloy Steels Pty Limited have the following facilities in place with Westpac Banking Corporation: a trade finance facility of $10.0m, and a bank bill business facility of $20.0m and a premium financing facility of $0.4m. The total limit of these facilities is $30.4m. The Group has IDR 44.5b revolver facilities as well as a USD $0.5m Letter of Credit facility available to its Indonesian based subsidiary. The Group has THB 10m trade finance facility and THB 3m overdraft facility available to its Thailand based subsidiary. Business strategy and outlook The 2025–26 financial year delivered a result in line with the guidance provided to shareholders, reflecting the planned absence of the one-off items recognised in the prior year. Throughout the year the Group executed its strategy to diversify earnings, expand internationally and increase its exposure to higher -value products and technologies. That strategy rests on four elements: defending the core domestic Wear and Structural business, growing the international Armour and Protection business, strengthening the CJV, and commercialising the OptiWear digital wear-monitoring technology. Domestic Wear and Structural The Australian market remained challenging throughout FY26. Softer demand from parts of the resources sector, particularly in Western Australia and Queensland, combined with the increasing presence of Chinese-sourced quenched and tempered plate in the domestic wear and structural market, created a more competitive trading environment than in recent years. Wear and Structural sales declined year-on-year, partially offset by continued gold sector activity; excluding AUKUS-related sales, total Australian sales increased marginally as growth in higher-value Armour and Protection products more than offset the softer Wear and Structural result. In defence of our core business, the Group intends to lodge an application with the Anti-Dumping Commission seeking a review of the pricing of imported Chinese plate. The Group continues to support its national network of channel partners through its Distribution and Processing businesses, holding sufficient stock to meet demand in key end-user markets including mining, agriculture and manufacturing. The Group continued to refine its product portfolio through changes to chemistries and manufacturing and through portfolio additions from joint venture partners, with the TMCP (thermo-mechanically controlled process) high-strength steel continuing to gain market support. Manufacturing capability continued to improve. Better production planning, tighter process control and closer collaboration through the supply chain lifted armour manufacturing efficiency and reduced production losses, strengthening current performance and increasing the Group’s capacity to support future growth. Armour and Protection The Armour and Protection segment remains a key strategic focus with significant global growth potential. The Group has added business development personnel and continued to improve internal processes to enhance the efficiency of complex Armour and Protection plate production, increasing throughput and responsiveness in this specialised market. Armour and Protection plate volumes into global markets grew by 229% during the year (187% including domestic volumes and excluding AUKUS) as the Group’s investment in sales and manufacturing capability began converting into orders. 8 | Bisalloy Steel Group Limited 2026 Annual Report
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During the year the Group completed the contract with the Australian Submarine Agency to qualify its steel for Australia’s SSN-AUKUS submarine program. Subsequent to the end of the financial year, in July 2026 the Group secured its first order to supply HY80 steel to the United States submarine industry, following qualification of Australian-produced steel to the United States Navy’s TP300 standard. This represents the first time Australian-made steel will be used in the construction of United States Virginia- class submarines. Chinese Joint Venture (CJV) The CJV remains a key driver of the Group’s performance and strategic growth, working in close partnership with our joint venture partners. Despite difficult economic conditions in China, the Joint Venture lifted its net contribution to the Group to $3.0 million, from $2.8 million in FY25, as it earned a better return on higher-value BISPLATE® products. Over recent months the Group has worked with its joint venture partner to restructure the leadership team, strengthen the technical capability within the CJV and begin recruiting additional specialist sales resources to grow BISPLATE® volumes further within the Chinese market. Overseas distribution The Thailand business delivered another year of profitable growth, with a stable customer base. In Indonesia, the Indonesian Government’s reluctance to issue distributors the import licences they require to operate a viable specialist steel distribution business affected operations during the year, a particular frustration given that quenched and tempered plate is not manufactured in Indonesia. In response, the Group reduced the Indonesian workforce by 22% during the year and recognised the associated redundancy costs in FY26. Further, it renegotiated the terms of the joint venture with its partners. The Group continues to assess the future of the operation as the licensing position becomes clearer. Digital Solutions – OptiWear The OptiWear digital wear-monitoring technology moved out of development and evaluation and into commercialisation during the year. The Group confirmed the sensor’s patentability in its target international markets and proved its performance across a wider range of mines and applications. OptiWear provides customers with real-time wear intelligence that supports maintenance planning, lower operating costs, safety and equipment availability. The Group is now progressing commercial partnerships with equipment manufacturers in each major application area. While still at an early stage, the Board expects OptiWear to provide diversification of the Group’s future earnings and to further differentiate Bisalloy from traditional steel manufacturers. FY27 outlook FY26 was a year of building capability. FY27 will be a year of continued investment as the Group converts that capability into sustainable, diversified earnings. Converting recent investment into sustained earnings growth is a multi-year task, and the Group expects to continue investing in its defence and international positions, its manufacturing capability and Digital Solutions before the full financial benefit of that work is realised. The Group’s focus in the year ahead is on execution against clear milestones rather than on near-term earnings growth. The Group approaches FY27 with no net debt and the capacity to fund its plans from operating cash flow. Growing global defence expenditure, continued international demand for premium wear-resistant and protection steels, and the commercialisation of OptiWear support future growth. While regulatory and trade conditions in several of the Group’s markets remain in flux, including the Indonesian import licensing regime and the treatment of imported quenched and tempered plate in Australia, the Board is confident in the Company’s strategic position and the opportunities before it. Business risk management The Group’s operating environment is complex and dynamic. This introduces new risks and opportunities and affects our current risk priorities. The Group’s Risk Management Framework, together with the Board-approved Risk Appetite Statement, enables the Board, Executive Leadership Team and our people to make informed decisions to support the delivery of our strategy. The Board takes a proactive approach to risk management and is responsible for ensuring that risks, and also opportunities, are identified on a timely basis, that the Group’s objectives and activities are aligned with the risks and opportunities identified by the Board, and that residual risks are managed within the Board’s stated appetite. The Board has established an Audit and Risk Committee comprising non-executive Directors, whose meetings are also attended by the executive Director. The Committee monitors residual risks against appetite and ensures that any risk assessed as outside appetite is escalated and treated. In addition, sub- committees are convened as appropriate in response to issues and risks identified by the Board, and the sub-committee further examines the issue and reports back to the Board. The Board has a number of mechanisms in place to ensure that management’s objectives and activities are aligned with the risks identified by the Board. These include the following: ● Board approval of a strategic plan, which encompasses the Group’s purpose, vision, mission 2026 Annual Report Bisalloy Steel Group Limited | 9
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Directors’ Report (continued) For the year ended 30 June 2026 and strategy statements, designed to meet stakeholders’ needs and manage business risk. ● Implementation of Board-approved operating plans and budgets and Board monitoring of progress against these budgets, including the establishment and monitoring of KPIs, and key risk indicators, of both a financial and non-financial nature. ● Establishment of committees to report on specific business risks, including for example environmental and governance issues along with work, health and safety. ● Board review of financial risks such as the Group’s liquidity, currency, interest rate and credit policies and exposures, and monitoring of management’s actions to ensure they are in line with Group policy. The risk factors identified are those with the potential to influence future operating and financial performance. Set out below are identified key risks to the Group, for which the Board and management have implemented systems, processes and other risk mitigation actions to manage and control them: ● A work health and safety incident that leads to a serious injury or fatality, or a significant environmental impact. ● Disruption to, or over-concentration of, critical greenfeed supply, or major damage to the Unanderra manufacturing site. ● Macroeconomic pressures, including a resources-sector downturn, subdued demand and increased competition from imported product. ● Geopolitical, regulatory or partner risks affecting our international joint ventures, including Indonesian import restrictions. ● The release of non-conforming product or a product recall, or failure to attract and retain high-quality talent. ● A technology, information security or cyber incident, or failure to meet evolving compliance obligations, including climate disclosure, privacy and competition law. Consistent with our Risk Appetite Statement, the Board has no appetite for loss of life or serious harm. During the year a serious workplace incident resulted in an employee being seriously injured, and the Board and management have treated this as a matter of the highest priority. Immediate rectification has been completed and production has continued safely, a comprehensive review of safety systems, engineering controls and procedures has been undertaken, and worker consultation has been strengthened. The Group is working constructively with SafeWork NSW to resolve the improvement notices issued, which are expected to be lifted during September 2026, and is taking further steps to reduce the likelihood of recurrence. Significant changes in the state of affairs There were no significant changes in the state of affairs of Bisalloy during the reporting period. Significant events after the balance date On 29 July 2026, subsequent to the end of the financial year, the Group announced it had received its first order to supply HY80 steel to the United States submarine industry, following qualification of Australian-produced steel to the United States Navy’s TP300 standard. This represents the first time Australian-made steel will be used in the construction of United States Virginia-class submarines. Other than the matter noted above, there has been no matter or circumstance that has arisen since the end of the financial year that has significantly affected, or may significantly affect, the operations of the Group, the results of those operations, or the state of affairs of the Group in future financial years. Indemnification and insurance of directors and officers The Group must, subject to certain exceptions set out in the constitution, indemnify each of its officers on a full indemnity basis and to the full extent permitted by law against all losses, liabilities, costs, charges and expenses incurred by the officer, as an officer of the Group (including all liabilities incurred where the officer acts as an officer of any other body corporate at the request of the Group) including any liability for negligence and for reasonable legal costs. During the year or since the end of the year, the Group has paid premiums in respect of a directors and officers liability insurance policy. Details of the nature of the liabilities covered or the amount of the premium paid in respect of the policy have not been disclosed, as such disclosure is prohibited under the terms of the contract. Proceedings on behalf of the Company No person has applied to the Court under section 237 of the Corporations Act 2001 for leave to bring proceedings on behalf of the Company, or to intervene in any proceedings to which the Company is a party for the purpose of taking responsibility on behalf of the Company for all or part of those proceedings. 10 | Bisalloy Steel Group Limited 2026 Annual Report
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Environmental regulation The Group’s activities are governed by a range of environmental legislation and regulations. The Group utilises both internal and external environmental assessments to verify its compliance with applicable environmental legislation and regulations. The Group is registered under National Greenhouse and Energy Reporting Act 2007 under which it is required to report energy consumption and greenhouse gas emissions for its Australian facilities. The Group has implemented systems and processes for the collection and calculation of the data to meet its reporting requirements. The Board believes that the Consolidated Entity has adequate systems in place for the management of its environmental requirements and is not aware of any breach of those environmental requirements as they apply to the Consolidated Entity. Rounding The amounts contained in this report and in the financial report have been rounded to the nearest $1,000 (where rounding is applicable) under the option available to the Company under ASIC Corporations Instrument 2026/183. The Company is an entity to which the Class Order applies. Auditor independence The Directors received the declaration on page 22 from the auditor of Bisalloy Steel Group Limited which forms part of this report. Indemnification of auditors To the extent permitted by law, the Company has agreed to indemnify its auditors, RSM Australia Partners, as part of the terms of its audit engagement agreement against claims by third parties arising from the audit (for an unspecified amount). No payment has been made to indemnify RSM Australia Partners during or since the financial year. Non-audit services During the year the Company’s auditor, RSM Australia Partners, has performed services other than the audit and review of the financial statements. Details of the amounts paid to the Company’s auditor for audit and non-audit services provided during the year are set out below. In dollars 2026 Assistance in Private Tax Ruling application $2,650 Audit and review of financial Statements $217,595 Total paid to RSM Partners $220,245 The directors are satisfied that the provision of non-audit services, during the year, by the auditor (or by another person or firm on the auditor’s behalf) is compatible with the general standard of independence for auditors imposed by the Corporations Act. The directors’ statement is in accordance with the advice received from the Audit & Risk Committee. Likely developments and expected results FY27 will be a year of continued investment as the Group converts recent capability-building into sustainable, diversified earnings. Bisalloy will continue to focus on premium grades of quenched and tempered steels from its Unanderra plant, including Armour and Protection grades, while growing international Protection Plate volumes and pursuing further opportunities across allied submarine supply chains following its first HY80 order. The Group will continue to strengthen the CJV, grow BISPLATE® volumes, and progress commercial partnerships for its OptiWear wear-monitoring technology, which has moved into commercialisation. The Group’s focus is on execution against clear milestones rather than near-term earnings growth, supported by no net debt and operating cash flow. Results may be impacted by a variety of risks and economic conditions in the future. Remuneration Report (audited) The remuneration report for the year ended 30 June 2026 outlines the remuneration arrangements of the Company and the Group in accordance with the requirements of the Corporations Act 2001 (the Act) and its regulations. This information has been audited as required by section 308(3C) of the Act. The remuneration report details the remuneration arrangements for key management personnel (KMP) who are defined as those persons having authority and responsibility for planning, directing and controlling the major activities of the Company and the Group, directly or indirectly, including any Director (whether executive or otherwise) of the Parent Company. 2026 Annual Report Bisalloy Steel Group Limited | 11
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Directors’ Report (continued) For the year ended 30 June 2026 Remuneration Policy The Remuneration Policy is set in recognition that the performance of the Group depends upon the quality of its directors and executives. In order to perform, the Group must be successful in attracting, motivating and retaining directors and executives of the highest quality. To assist in achieving this objective, the Remuneration Policy embodies the following principles: 1. Provide competitive remuneration to attract high calibre directors and executives. 2. Align executive rewards with creation of shareholder value. 3. Ensure a significant component of executive remuneration is ‘at risk’ dependent upon meeting pre-determined performance hurdles. 4. Establish appropriately demanding performance hurdles in relation to variable executive remuneration. Nominations and Remuneration Committee The Nominations and Remuneration Committee is responsible for determining and reviewing compensation arrangements for the Directors, the Managing Director, other senior executives, and the review and recommendation of general remuneration principles. The Nominations and Remuneration Committee may seek independent advice as appropriate in setting the structure and levels of remuneration based on the principle that the elements of remuneration should be set at an appropriate level having regard to market practice for roles of similar scope and skill. Remuneration structure The structure of non-executive Director and executive remuneration is separate and distinct, in accordance with good corporate governance principles. Non-executive director remuneration Objective The Board sets aggregate remuneration at a level which is intended to provide the Company with the ability to attract and retain non-executive Directors of the highest calibre, whilst incurring a cost which is acceptable to shareholders. Structure Remuneration of non-executive directors is allocated out of the pool of funds, the limit of which is approved by shareholders in general meeting; the fee pool limit is currently $700,000 per annum. Each non-executive director is entitled to the payment of an annual fee in cash and superannuation contributions for their services. Additional fees are not paid for sitting on Board committees; however, the extra responsibility of the Chairman of the Board is recognised by the payment of a higher fee. The fees for the non-executive directors were reviewed by Godfrey Remuneration Group Pty Limited in February 2024 and adjusted during FY24 to be in line with those paid at comparable listed companies. The Board is satisfied that the remuneration recommendation was made free from undue influence by the members of the Board to whom the recommendation relates. Non-executive directors do not receive any shares, options or other securities as part of their remuneration. There are no schemes for retirement benefits (other than statutory superannuation payments). The remuneration of non-executive Directors must not include a commission on, or a percentage of, profits or operating revenue but non-executive Directors are entitled to be reimbursed for travelling and other expenses incurred in attending to the Company’s affairs. Non-executive Directors are encouraged by the Board to hold shares in the Company. The following outlines the Board Fees that were applicable in FY26. 2026 Base Fee for Non-Executive Chair 196,757 Base Fee for Non-Executive Director 131,171 The remuneration of non-executive Directors for the period ended 30 June 2026 is detailed in the table on page 17 of this report. Executive director and executive manager remuneration Objective The Group aims to reward executives with a level and mix of remuneration commensurate with their duties and responsibilities within the Group and to: ● Reward executives for Group, business unit and individual performance measured against targets set by reference to appropriate benchmarks. ● Link reward with the achievement of the Group’s strategic goals. 12 | Bisalloy Steel Group Limited 2026 Annual Report
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● Align the interests of executives with those of shareholders. ● Ensure total remuneration is competitive. Structure Executive Director and executive manager remuneration consists of the following key components: 1. Fixed Remuneration 2. Variable Remuneration made up of: – Short-Term Incentive (STI); and – Long-Term Incentive (LTI) The proportion of total remuneration that is fixed or variable (either short-term or long-term incentives) is determined for each individual executive by the Nominations and Remuneration Committee. The remuneration of members of management who have the authority and responsibility for planning, directing and controlling the activities of the Group for the year ended 30 June 2026 is detailed in the table on page 17 of this report. Fixed remuneration Objective The level of fixed remuneration is set so as to provide a base level of remuneration which is both commensurate with the individual’s duties and responsibilities within the Group and competitive in the market. Fixed remuneration is reviewed annually by the Nominations and Remuneration Committee utilising a process of reviewing group-wide individual performance, relevant comparative remuneration in the market and internal and external advice on policies and practice. Structure Executive Directors and executive managers are provided with the opportunity to receive their fixed remuneration in a variety of forms, including cash, additional superannuation contributions and fringe benefits such as motor vehicles. The aim is to provide payments in a form that is both optimal for the recipient and cost efficient for the Group. The fixed remuneration component of executive Directors and members of management who have the authority and responsibility for planning, directing and controlling the activities of the Group for the year ended 30 June 2026 is detailed in the table on page 17 of this report. Variable remuneration – Short-Term Incentives (STI) Objective The STI program has been designed to align the remuneration received by executive Directors and executive managers with the achievement of the Group’s operational and financial targets. The total potential STI available for payment is determined so as to provide sufficient incentive to executive Directors and executive managers to achieve the targets and so that the cost to the Group is reasonable in the circumstances. Structure The actual STI payments granted to each executive Director and executive manager depends upon the extent to which specific operational and financial targets set at the beginning of the financial year are met. The targets consist of a number of both financial and non-financial Key Performance Indicators (KPIs). After the end of each financial year, consideration is given to performance against each of these KPIs to determine the extent of any payment to an individual executive Director or executive manager. The aggregate of STI payments and STI payments to individuals is subject to the approval of the Nominations and Remuneration Committee. The individual needs to be employed at the time of payment to be eligible for the payment. Payments made are normally paid as cash but the recipient is also able to elect to receive payment in alternative forms. 2026 Annual Report Bisalloy Steel Group Limited | 13
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Directors’ Report (continued) For the year ended 30 June 2026 Measurement period The financial year of the Company (1 July 2025 – 30 June 2026) Opportunity Opportunity as % of Fixed Pay Target Stretch CEO 24% 40% CFO 18% 30% COO 18% 30% Metrics, gate & modifiers A gate of 90% of adjusted ROIC of the FY26 budget set in June 2025 is required to be achieved in order for any award to become payable. Each STI award is calculated in the first instance based on the ROIC achieved against the budget agreed by the Board, scaled between 90% and 115%. For FY26 the following scale applied: Performance Level ROIC Ratio (% of Target) % of Opportunity Stretch 115% 100% Between Target & Stretch Pro-rata Pro-rata Target 100% 60% Between Threshold & Target Pro-rata Pro-rata Threshold 90% 30% Below Threshold <90% 0% The outcome from this calculation is then subject to possible adjustment by reference to the outcome from the Company’s and Individual KPI’s. The KPI’s are focused on areas strongly aligned to shareholder interests, including safety, people and culture, and growth and diversification. The Individual KPI’s are focused on driving overall Company performance, enhancing shareholder value, and leading strategic initiatives. Award settlement Awards are typically settled in the form of cash. Board discretion The Board has discretion to vary awards upwards or downwards, including to nil, in the circumstances that the award would otherwise be likely to be viewed as inappropriate given the circumstances that prevailed over the Measurement period. Variable remuneration – long-term incentives (LTI) Objective The LTI program has been designed to align the remuneration received by executive Directors and executive managers with the creation of shareholder wealth. Consequently, LTI grants are only made to executives who are in a position to influence shareholder wealth and thus have the opportunity to influence the Company’s performance against the relevant long-term performance hurdles. 14 | Bisalloy Steel Group Limited 2026 Annual Report
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Structure These rights are granted based on delivering superior long-term performance as measured by Return on Invested Capital (“ROIC”) over a three-year performance period, determined by the Board in respect of each forthcoming three-year period. The rights which vest depend on achieving this target ROIC, with 100% vesting on achieving the ROIC and no rights vesting if actual ROIC is less than the target ROIC. Any rights to which the employee may become entitled on achieving the performance criteria, are still subject to being employed by Bisalloy for the whole performance period. A total of 133,682 share rights (2025: 163,144) were granted under this scheme during the year. A description of the LTI plan, which is operated under the Bisalloy Senior Executive LTI Plan and applied to FY26, is set out below: Purpose The purpose of the LTI plan is to create a strong link between performance and reward for senior executives over the long term and to align the interests of Participants with those of stakeholders through share ownership and performance testing. Measurement period 1 July 2025 to 30 June 2028 (three years). Grant calculation The number of Rights in a Tranche of LTI to be granted are calculated via the application of the following formula: Target LTI % x FAR ÷ Rights Value Where Rights Value was the value of a Right (ignoring vesting conditions and not discounted) based on the 30-day volume weighted average price (VWAP) preceding the 1st September. Opportunity & grant value Opportunity as % of Fixed Pay Target CEO 47% CFO 40% COO 40% Instrument The LTI is in the form of performance rights with a nil exercise price, which are subject to performance and service vesting conditions. Performance metric The Board has discretion to set vesting conditions for each Tranche of each Invitation. Service condition Continued service during the whole Measurement period is a requirement for all Rights to become eligible to vest. Settlement The share rights are settled in the form of Company Shares, upon valid exercise. Term and lapse Rights that vest are automatically exercised into shares at the end of the three-year Measurement period. Rights that do not vest automatically lapse. Termination of employment If cessation of employment by reason of death or Total and Permanent Disablement during the Performance Period, then all Unvested Rights will vest at the end of the vesting period if the ROIC Performance Condition is met at that time or at some earlier date as the Board in its discretion may decide. If cessation of employment by reason of Special Circumstances occurs during the Performance Period, the Board at its discretion determines entitlement to Unvested Rights at the time of leaving. 2026 Annual Report Bisalloy Steel Group Limited | 15
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Directors’ Report (continued) For the year ended 30 June 2026 Disposal restrictions There are no disposal or sale restrictions on shares received by a Participant when Rights vest, other than to comply with Bisalloy’s Securities Trading Policy. Change in control In the event of Change of Control, the Board may determine that the Performance Conditions applicable to a Right are waived, in which case each such Right held becomes a Vested Right. At the 2025 AGM, 95.93% of the votes received supported the adoption of the remuneration report for the year ended 30 June 2025. The Company did not receive any specific feedback at the AGM regarding its remuneration practices. Group performance The Board has determined that 100% of the 2024-26 share rights have vested based on an ROIC achieved that was above target ROIC over the three-year performance period. Details of key management personnel of the Company and Group (i) Directors D Balkin Non-executive Chairman (from 27 November 2020) I Greenyer Non-executive Director (from 27 November 2020) M Gundy Non-executive Director (from 27 November 2020) R Melrose Managing Director and Chief Executive Officer (from 1 March 2022) B Landy Non-executive Director (from 1 March 2022) (ii) Executives M Enbom Chief Operating Officer (from November 2019) C Bowdler Chief Financial Officer and Company Secretary (from 29 November 2021) Executive contracts Remuneration arrangements for the key management personnel are formalised in employment contracts. Details of these contracts are provided below. R Melrose – Managing Director and Chief Executive Officer (from 1 March 2022) ● Regular employment contract without fixed term ● Participation in STI and LTI schemes ● 6 months notice required for termination of employment C Bowdler – Chief Financial Officer and Company Secretary (from 29 November 2021) ● Regular employment contract without fixed term ● Participation in STI and LTI schemes ● 3 months notice required for termination of employment M Enbom – Chief Operating Officer (from 1 November 2019) ● Regular employment contract without fixed term ● Participation in STI and LTI schemes ● 3 months notice required for termination of employment 16 | Bisalloy Steel Group Limited 2026 Annual Report
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Remuneration of key management personnel of the Company and Group Year ended 30 June 2026 Short-term Long-term Post employment Share Based Payments Total Salary and fees $ Cash Bonus1 $ Employee Entitle- ments2 $ Super- annuation $ Retire- ments benefits $ Term- ination benefits $ Other $ Perf- ormance Rights3 $ $ Perf- ormance Related % Non-Executive Directors B Landy 117,117 – – 14,054 – – – – 131,171 – D Balkin 175,676 – – 21,081 – – – – 196,757 – I Greenyer 117,117 – – 14,054 – – – – 131,171 – M Gundy 117,117 – – 14,054 – – – – 131,171 – Sub-total Non-Executive Directors 527,027 – – 63,243 – – – – 590,270 – Executive Directors R Melrose 516,137 143,642 11,332 30,000 – – – 522,983 1,224,094 54% Sub-total Executive Directors 516,137 143,642 11,332 30,000 – – – 522,983 1,224,094 – Other key management personnel M Enbom 385,066 69,346 12,138 30,000 – – – 294,058 790,608 46% C Bowdler 385,066 79,193 26,575 30,000 – – – 289,451 810,285 45% Sub-total Executive KMP 770,132 148,539 38,713 60,000 – – – 583,509 1,600,893 46% Totals 1,813,296 292,181 50,045 153,243 – – – 1,106,492 3,415,257 41% 1. The value reported in this table is the Short-Term Incentive that was accrued during the reporting period based on the performance in FY26 adjusted for any variance to prior year accrual. 2. Employee entitlements relate to the movements in the annual and long service leave provisions. 3. The Long-Term Incentive performance rights value in this table is the amortised accounting charge of all grants that have not lapsed or vested as at the start of the reporting period and reflects recent instances where 50% of the vested rights were settled in the form of 50% equity and 50% cash. Thus 50% of the value of outstanding performance rights are fair valued with reference to the closing share price on 30 June 2026. 2026 Annual Report Bisalloy Steel Group Limited | 17
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Directors’ Report (continued) For the year ended 30 June 2026 Year ended 30 June 2025 Short-term Long-term Post employment Share Based Payments Total Salary and fees $ Cash Bonus1 $ Employee Entitle- ments2 $ Super- annuation $ Retire- ments benefits $ Term- ination benefits $ Other $ Perf- ormance Rights3 $ $ Perf- ormance Related % Non-Executive Directors B Landy 117,117 – – 13,468 – – – – 130,585 – D Balkin 175,676 – – 20,203 – – – – 195,879 – I Greenyer 117,117 – – 13,468 – – – – 130,585 – M Gundy 117,117 – – 13,468 – – – – 130,585 – Sub-total Non-Executive Directors 527,027 – – 60,607 – – – – 587,634 – Executive Directors R Melrose 497,670 136,498 20,518 29,983 – – – 241,813 926,482 41% Sub-total Executive Directors 497,670 136,498 20,518 29,983 – – – 241,813 926,482 – Other key management personnel M Enbom 371,031 81,810 6,004 29,983 – – – 45,905 534,733 24% C Bowdler 371,031 81,810 3,096 29,983 – – – 94,267 580,187 30% Sub-total Executive KMP 742,062 163,620 9,100 59,966 – – – 140,172 1,114,920 27% Totals 1,766,759 300,118 29,618 150,556 – – – 381,985 2,629,036 26% 1. The value reported in this table is the Short-Term Incentive that was accrued during the reporting period based on the performance in FY25. 2. Employee entitlements relate to the movements in the annual and long service leave provisions. 3. The Long-Term Incentive performance rights value in this table is the amortised accounting charge of all grants that have not lapsed or vested as at the start of the reporting period and reflects recent incidences where 50% of the vested rights were settled in the form of 50% equity and 50% cash. Thus 50% of the value of outstanding performance rights are fair valued with reference to the closing share price on 30 June 2025. 18 | Bisalloy Steel Group Limited 2026 Annual Report
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Share rights Share rights holders do not have any entitlement, by virtue of the rights, to participate in any share issue of the Company or any related body corporate or in the interest issue of any other registered scheme. Performance rights holdings of key management personnel of the Company and Group Balance at 1 July 2025 Granted during the year Rights exercised during the year Forfeited or Lapsed Balance at 30 June 2026 Vested and exercisable Unvested Executives C Bowdler 197,170 37,816 (38,118) (38,118) 158,750 – 158,750 M Enbom 201,243 37,816 (39,146) (39,146) 160,767 – 160,767 R Melrose 309,145 58,050 (60,148) (60,148) 246,899 – 246,899 707,558 133,682 (137,412) (137,412) 566,416 – 566,416 2026 Annual Report Bisalloy Steel Group Limited | 19
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Directors’ Report (continued) For the year ended 30 June 2026 R Melrose1 #2 C Bowdler #2 M Enbom #4 M Enbom #5 C Bowdler #3 R Melrose2 #3 M Enbom #6 C Bowdler #4 R Melrose3 #4 M Enbom #7 C Bowdler #5 R Melrose4 #5 Total Grant date 21-Sep-22 21-Sep-22 21-Sep-22 21-Sep-23 21-Sep-23 21-Sep-23 21-Sep-24 21-Sep-24 21-Sep-24 24-Sep-2524-Sep-2524-Sep-25 Vesting date 1-Sep-25 1-Sep-25 1-Sep-25 1-Sep-26 1-Sep-26 1-Sep-26 1-Sep-27 1-Sep-27 1-Sep-27 1-Sep-28 1-Sep-28 1-Sep-28 Fair value at grant date $1.74 $1.80 $1.80 $1.59 $1.59 $3.26 $2.94 $2.94 $4.95 $4.44 $4.44 $4.44 Balance at 1 July 2025 120,296 76.236 78,292 76,801 74,784 118,005 46,150 46,150 70,844 – – – 707,558 New grants in the year – – – – – – – – – 37,816 37,816 58,050 133,682 Exercised in the year (60,148) (38,118) (39,146) – – – – – – – – – (137,412) Lapsed/ cancelled during the year (60,148) (38,118) (39,146) – – – – – – – – – (137,412) Balance at 30 June 2026 – – – 76,801 74,784 118,005 46,150 46,150 70,844 37,816 37,816 58,050 566,416 Vested and exercisable at 30 June 2026 – – – – – – – – – – – – – 1. Mr Melrose’s grant date is shown as the date of the initial award. The fair value at the initial award was $1.80. The fair value on the date of approval was $1.74. 2. Mr Melrose’s grant date is shown as the date of the initial award. The fair value at this time was $1.59. The fair value on the date of approval was $3.26. 3. Mr Melrose’s grant date is shown as the date of the initial award. The fair value at this time was $2.94. The fair value on the date of approval was $4.95. 4. Mr Melrose’s grant date is shown as the date of the initial award. The fair value at this time was $4.44. This grant remains subject to shareholder approval at the upcoming AGM and the fair value as at 30 June 2026 was $3.95. 20 | Bisalloy Steel Group Limited 2026 Annual Report
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Shareholdings of key management personnel Shareholdings include shares held personally and through related parties. Balance at 30-Jun-25 Performance Rights Exercised Other Balance at 30-Jun-26 Directors D Balkin 7,781,095 – – 7,781,095 I Greenyer 100,000 – – 100,000 M Gundy 67,054 – – 67,054 B Landy 32,500 – – 32,500 R Melrose 62,742 60,148 – 122,890 Executives M Enbom 415,926 39,146 (160,000) 295,072 C Bowdler 62,466 38,118 – 100,584 8,521,783 137,412 (160,000) 8,499,195 Audit The information contained in the Remuneration Report has been audited. Signed in accordance with a resolution of the Directors. The Directors have received the Auditors independence declaration which is included on page 22. Mr Rowan Melrose Managing Director and CEO 2026 Annual Report Bisalloy Steel Group Limited | 21
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RSM Australia Partners is a member of the RSM network and trades as RSM. RSM is the trading name used by the members of the RSM network. Each member of the RSM network is an independent accounting and consulting firm which practices in its own right. The RSM network is not itself a separate legal entity in any jurisdiction. RSM Australia Partners ABN 36 965 185 036 Liability limited by a scheme approved under Professional Standards Legislation RSM Australia Partners Level 7, 1 Martin Place Sydney NSW 2000 Australia T +61 (02) 8226 4500 F +61 (02) 8226 4501 rsm.com.au AUDIT OR’S INDEPENDENCE DECLARATION As lead auditor for the audit of the financial report of Bisalloy Steel Group Limited for the year ended 30 June 2026, I declare that, to the best of my knowledge and belief, there have been no contraventions of: (i) t he auditor independence requirements of the Corporations Act 2001 in relation to the audit; and (ii) any applicable code of professional conduct in relation to the audit. RSM Australia Partners LOUIS QUINTAL Partner Sydney, NSW 26 August 2026 Page 22
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Consolidated Statement of Profit or Loss and Other Comprehensive Income For the year ended 30 June 2026 Consolidated In thousands of dollars Notes Year ended 30 June 2026 Year ended 30 June 2025 Continuing operations Revenue from contracts with customers 2 136,601 152,810 Cost of goods sold 4(c) (94,981) (108,759) Gross profit 41,620 44,051 Other income 4(a) 160 974 Distribution expenses (2,632) (2,706) Marketing expenses (6,167) (5,672) Occupancy expenses (1,466) (986) Administrative expenses (9,981) (9,753) Operating profit 21,534 25,908 Finance costs 4(b) (727) (819) Finance income 4(b) 38 39 Share of profit of joint venture, net of tax 5 3,034 2,835 Profit before income tax 23,879 27,963 Income tax expense 6(a) (7,057) (7,925) Profit after income tax 16,822 20,038 Attributable to: Non-controlling interests 19(c) 53 458 Owners of the parent 16,769 19,580 Profit for the year 16,822 20,038 Other comprehensive income Items that may be reclassified subsequently to profit or loss: Fair value revaluation of land and buildings – 3,977 Foreign currency translation (1,553) 1,100 Net loss on cash flow hedge reserve (23) (80) Actuarial gains 18 87 Income tax effect on items in other comprehensive income 4 (1,186) Other comprehensive income for the period, net of tax (1,554) 3,898 Total comprehensive income for the period, net of tax 15,268 23,936 Attributable to: Non-controlling interests (566) 689 Owners of the parent 15,834 23,247 15,268 23,936 Earnings per share for profit attributable to ordinary equity holders of the parent – Basic earnings per share (cents) 7 34.9 40.9 – Diluted earnings per share (cents) 7 34.5 40.3 2026 Annual Report B isalloy Steel Group Limited | 23
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Consolidated Statement of Financial Position As at 30 June 2026 Consolidated In thousands of dollars Notes Year ended 30 June 2026 Year ended 30 June 2025 ASSETS Current assets Cash and cash equivalents 9(a) 4,425 6,331 Trade and other receivables 10 23,898 30,875 Inventories 11 44,709 49,756 Prepayments 12 3,889 2,237 Contract assets 2.2 217 208 Income tax receivable 6(e) 330 154 Total current assets 77,468 89,561 Non-current assets Investment in joint venture 5 11,493 10,864 Prepayments 12 131 153 Property, plant and equipment 13 33,342 32,952 Intangible assets 153 317 Deferred tax assets 6(d) 52 86 Total non-current assets 45,171 44,372 Total assets 122,639 133,933 LIABILITIES Current liabilities Trade and other payables 16 26,022 29,569 Loans and borrowings 17.2 2,929 2,343 Income tax payable 6(e) 636 3,409 Employee benefit liabilities 18 2,537 2,505 Lease liabilities 122 123 Contract liabilities 2.2 624 1,982 Derivative liabilities 168 139 Total current liabilities 33,038 40,070 Non-current liabilities Employee benefit liabilities 18 1,438 1,630 Lease liabilities 199 57 Deferred tax liabilities 6(d) 6,164 6,118 Total non-current liabilities 7,801 7,805 Total liabilities 40,839 47,875 NET ASSETS 81,800 86,058 EQUITY Equity attributable to equity holders of the parent Contributed equity 19(a) 15,227 15,227 Accumulated profits 19(d) 44,859 47,423 Other reserves 19(e) 17,365 18,295 Parent interests 77,451 80,945 Non-controlling interests 19(c) 4,349 5,113 TOTAL EQUITY 81,800 86,058 24 | Bisalloy Steel Group Limited 2026 Annual Report
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Consolidated Statement of Cash Flows For the year ended 30 June 2026 Consolidated In thousands of dollars Notes Year ended 30 June 2026 Year ended 30 June 2025 Cash flows from operating activities Receipts from customers (inclusive of GST) 164,723 150,609 Payments to suppliers and employees (inclusive of GST) (136,697) (129,765) Interest received 38 39 Borrowing costs (727) (819) Income tax paid (9,917) (6,668) Net cash received from operating activities 9(b) 17,420 13,396 Cash flows from investing activities Payments for property, plant and equipment (2,389) (1,073) Payments for intangible assets - (155) Dividends received from investments 2,590 2,135 Net cash received from investing activities 201 907 Cash flows from financing activities Proceeds from borrowings 586 1,606 Dividends paid to non-controlling interests (198) - Dividends paid to shareholders of the parent (19,649) (15,569) Principal lease payments (177) (245) Net cash used in financing activities (19,438) (14,208) Net (decrease) / increase in cash held (1,817) 95 Net foreign exchange differences (89) (64) Cash at the beginning of the financial year 6,331 6,300 Cash at the end of the financial year 9(a) 4,425 6,331 2026 Annual Report Bisalloy Steel Group Limited | 25
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Consolidated Statement of Changes in Equity For the year ended 30 June 2026 In thousands of dollars Issued capital Empl- oyee equity benefits reserve Cash flow hedge reserve Foreign currency trans- lation reserve Asset reval- uation reserve Equity settle- ment reserve Other reserves Retained earnings Total Non- control- ling interest Total equity 1 July 2024 15,227 446 1 290 12,867 744 69 43,197 72,841 4,424 77,265 Profit for the period – – – – – – – 19,580 19,580 458 20,038 Other comprehensive income/(loss) – – (56) 931 2,753 – 39 – 3,667 231 3,898 Depreciation transfer for building revaluation – – – – (215) – – 215 – – – Total comprehensive income – – (56) 931 2,538 – 39 19,795 23,247 689 23,936 Transactions with owners in their capacity as owners: Ordinary dividends paid to shareholders (note 8) – – – – – – – (15,569) (15,569) – (15,569) Settlement of performance rights – (336) – – – 336 – – – – – Share based payments (note 14) 426 – – – – – – 426 – 426 At 30 June 2025 15,227 536 (55) 1,221 15,405 1,080 108 47,423 80,945 5,113 86,058 1 July 2025 15,227 536 (55) 1,221 15,405 1,080 108 47,423 80,945 5,113 86,058 Profit for the period – – – – – – – 16,769 16,769 53 16,822 Other comprehensive income/(loss) – – 14 (942) – – (11) – (939) (619) (1,558) Depreciation transfer for building revaluation – – – – (312) – – 316 4 – 4 Total comprehensive income – – 14 (942) (312) – (11) 17,085 15,834 (566) 15,268 Transactions with owners in their capacity as owners: Ordinary dividends paid to shareholders (note 8) – – – – – – – (19,649) (19,649) – (19,649) Dividends paid to non-controlling interests – – – – – – – – – (198) (198) Settlement of performance rights – (244) – – – 244 – – – – – Share based payments (note 14) – 321 – – – – – – 321 – 321 At 30 June 2026 15,227 613 (41) 279 15,093 1,324 97 44,859 77,451 4,349 81,800 26 | Bisalloy Steel Group Limited 2026 Annual Report
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Notes to the Consolidated Financial Statements For the year ended 30 June 2026 1. Corporate information The financial report of Bisalloy Steel Group Limited and its subsidiaries (“the Group”) for the year ended 30 June 2026 was authorised for issue in accordance with a resolution of the directors on 26 August 2026. Bisalloy Steel Group Limited is a for profit company limited by shares incorporated and domiciled in Australia whose shares are publicly traded on the Australian Securities Exchange. The nature of the operations and principal activities of the Group are described in the Directors’ Report. 2. Revenue from contracts with customers 2.1 Disaggregated revenue information Set out below is the disaggregation of the Group’s revenue from contracts with customers: For the year ended 30 June 2026 In thousands of dollars Australia Overseas Total Performance obligation Sales of steel plates 112,722 17,883 130,605 Shipping and handling 5,714 282 5,996 Total revenue from contracts with customers 118,436 18,165 136,601 Timing of revenue recognition Goods transferred at a point in time 112,722 17,883 130,605 Services transferred over time 5,714 282 5,996 Total revenue from contracts with customers 118,436 18,165 136,601 For the year ended 30 June 2025 In thousands of dollars Australia Overseas Total Performance obligation Sales of steel plates 122,704 24,071 146,775 Shipping and handling 5,655 380 6,035 Total revenue from contracts with customers 128,359 24,451 152,810 Timing of revenue recognition Goods transferred at a point in time 122,704 24,071 146,775 Services transferred over time 5,655 380 6,035 Total revenue from contracts with customers 128,359 24,451 152,810 2.2 Contract balances Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Trade receivables (note 10) 23,888 30,874 Contract assets 217 208 Contract liabilities (note 2.3) (624) (1,982) 2026 Annual Report Bisalloy Steel Group Limited | 27
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 Trade receivables are non-interest bearing and are generally on terms of 30 to 90 days end of month. Contract assets are initially recognised for revenue earned from shipping and handling services as receipt of consideration is conditional on delivery of the steel plates. Upon delivery of the steel plates, the amounts recognised as contract assets are reclassified to trade receivables. Contract liabilities are recognised for shipping and handling services yet to be provided with respect to the steel plates invoiced and for any settlement discounts expected to be obtained by customers. 2.3 Performance obligations The Group’s contracts with customers are for the sale of steel plates. In completing the sale of the steel plates, there are two performance obligations identified, being the provision of steel plates and the provision of shipping and handling. The Group has concluded that revenue from the provision of steel plates is recognised at the point in time when control of the asset is transferred to the customer and revenue from the services of shipping and handling are recognised over time as the service is performed. As at 30 June 2026, the unsatisfied performance obligations per each segment is presented below. Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Provision of steel plates - 1,370 Shipping and handling 624 612 Total unsatisfied performance obligations 624 1,982 The remaining performance obligations are expected to be recognised within the next 12 months. 2. Revenue from contracts with customers (continued) 2.2 Contract balances (continued) 3. Operating segments Identification of reportable segments The Group has identified its operating segments based on the internal reports that are reviewed and used by the executive management team (the chief operating decision makers) in assessing performance and in determining the allocation of resources. The operating segments are identified by management based on country of origin. Discrete financial information about each of these operating businesses is reported to the executive management team on at least a monthly basis. The reportable segments are based on aggregated operating segments determined by the similarity of economic characteristics. Geographical areas Australian operations The Australian operations are comprised of Bisalloy Steels Pty Limited and Bisalloy Steel Group Limited. Bisalloy Steels Pty Limited manufactures and sells wear-grade and high tensile plate through distributors and directly to original equipment manufacturers in both Australia and Overseas. Bisalloy Steels Pty Limited is located in Unanderra, near Wollongong, NSW. Bisalloy Steel Group Limited is the corporate entity, also located in Unanderra, NSW, which incurs expenses such as head office costs and interest. Corporate charges are allocated across the Australian and Overseas segments. Overseas operations The Overseas operations comprise of PT Bima Bisalloy and Bisalloy (Thailand) Co Limited located in Indonesia and Thailand respectively. These businesses distribute Bisalloy Q&T plate as well as other steel plate products. The Overseas operations also includes the co-operative joint venture Bisalloy Shangang (Shandong) Steel Plate Co. Ltd in the People’s Republic of China for the marketing, sale and distribution of quenched & tempered steel plate. 28 | Bisalloy Steel Group Limited 2026 Annual Report
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Accounting policies and inter-segment transactions The accounting policies used by the Group in reporting segments internally are the same as those contained in note 25 to the accounts and in the prior period except as detailed below: Inter-entity sales Inter-entity sales are recognised based on an internally set transfer price. This price is set periodically and aims to reflect what the business operation could achieve if they sold their output to external parties at arm’s length. Major customers The Group has a number of customers to which it provides products. There are three customers who account for 28% (2025: 30%), 15% (2025: 17%) and 6% (2025: 2%) of total external revenue. The first two of these customers are in the Australian operating segment and the third in the overseas operating segment. For the year ended 30 June 2026 In thousands of dollars Australia Overseas Total Revenue: Sales to external customers 118,436 18,165 136,601 Inter-segment sales 1,138 – 1,138 Total segment revenue 119,574 18,165 137,739 Inter-segment elimination (1,138) – (1,138) Total consolidated revenue 118,436 18,165 136,601 Segment net operating profit after tax 17,136 2,875 20,011 Interest income 34 4 38 Interest expense 464 263 727 Depreciation 1,848 296 2,144 Share of profit of joint venture – 3,034 3,034 Income tax expense 6,868 189 7,057 Segment assets 99,775 22,190 121,965 Capital expenditure 2,251 451 2,702 Segment liabilities 24,112 7,751 31,863 Refer to note 3(iii) for a reconciliation to total assets and liabilities per financial statements. Investments in joint ventures are held within the Australian segment assets. 3. Operating segments (continued) 2026 Annual Report Bisalloy Steel Group Limited | 29
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 For the year ended 30 June 2025 In thousands of dollars Australia Overseas Total Revenue: Sales to external customers 128,359 24,451 152,810 Inter-segment sales 230 – 230 Total segment revenue 128,589 24,451 153,040 Inter-segment elimination (230) – (230) Total consolidated revenue 128,359 24,451 152,810 Segment net operating profit after tax 18,639 3,436 22,075 Interest income 33 6 39 Interest expense 534 285 819 Depreciation 1,764 331 2,095 Share of profit of joint venture – 2,835 2,835 Income tax expense 7,447 478 7,925 Segment assets 111,614 21,929 133,543 Capital expenditure 1,108 187 1,295 Segment liabilities 30,240 5,345 35,585 Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 i) Segment revenue reconciliation to the statement of comprehensive income Total segment revenue 137,739 153,040 Inter-segment sales elimination (1,138) (230) Total revenue 136,601 152,810 Revenue from external customers by geographical location is detailed below. Revenue is attributed to geographic location based on the location of the customers. Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Australia 89,082 108,910 Indonesia 19,782 27,664 Thailand 4,039 4,294 Other foreign countries 23,698 11,942 Total revenue 136,601 152,810 3. Operating segments (continued) 30 | Bisalloy Steel Group Limited 2026 Annual Report
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ii) Segment net operating profit after tax reconciliation to the statement of comprehensive income The executive management committee meets on a monthly basis to assess the performance of each segment by analysing the segment’s net operating profit after tax. Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Reconciliation of segment net operating profit after tax to net profit before tax Segment net operating profit after tax 20,011 22,075 Intercompany eliminations (net of tax) (3,189) (2,037) Income tax expense 7,057 7,925 Total net profit before tax per the statement of profit or loss 23,879 27,963 iii) Segment assets reconciliation to the statement of financial position In assessing the segment performance on a monthly basis, the executive management committee analyses the segment result as described above and its relation to segment assets. Segment assets are those operating assets of the entity that the management committee views as directly attributing to the performance of the segment. These assets include plant and equipment, receivables, inventory and intangibles and exclude derivative assets, deferred tax assets, and pension assets. Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Reconciliation of segment operating assets to total assets Segment operating assets 121,965 133,543 Inter-segment eliminations 292 150 Deferred tax assets 52 86 Income tax receivable 330 154 Total assets per the statement of financial position 122,639 133,933 The analysis of the location of non-current assets other than financial instruments, deferred tax assets and pension assets is as follows: Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Australia 42,686 41,683 Overseas 2,433 2,603 Total non-current assets 45,119 44,286 3. Operating segments (continued) 2026 Annual Report Bisalloy Steel Group Limited | 31
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 iv) Segment liabilities reconciliation to the statement of financial position Segment liabilities include trade and other payables and debt. The executive management committee reviews the level of debt for each segment in the monthly meetings. Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Reconciliation of segment operating liabilities to total liabilities Segment operating liabilities 31,863 35,585 Inter-segment eliminations (1,967) (1,511) Income tax payable 636 3,409 Employee benefit liabilities 3,975 4,135 Derivative liability 168 139 Deferred tax liabilities 6,164 6,118 Total liabilities per the statement of financial position 40,839 47,875 3. Operating segments (continued) 32 | Bisalloy Steel Group Limited 2026 Annual Report
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4. Other income and expenses Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 (a) Other income Foreign exchange (gain) / loss (71) 41 Insurance recoveries (i) - (918) Other income (89) (97) Total other income (160) (974) (b) Finance (income) and costs Bank interest and borrowing costs 727 819 Total finance costs 727 819 Bank interest (38) (39) Total finance income (38) (39) (c) Depreciation and costs of inventories included in statement of comprehensive income Depreciation and amortisation* 2,144 2,095 Cost of inventories 88,189 101,654 Provision for inventory 17 378 Cost of inventories recognised as an expense 88,206 102,032 Freight 6,775 6,727 Cost of goods sold 94,981 108,759 (d) Employee benefits expense* Wages and salaries 16,284 15,879 Superannuation costs 1,459 1,366 Other employee benefits 525 643 Expense of share-based payments 1,106 382 Total employee benefit expense 19,374 18,270 * These costs are apportioned over several functions of the Group. (i) In 2025, the Group recognised $917,616 in insurance recoveries relating to property damage and business interruption caused by a flood event at the Unanderra site in April 2024. All amounts have been received in full, and the insurance claim has been finalised. 2026 Annual Report Bisalloy Steel Group Limited | 33
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 5. Investment in joint venture Interests in the joint venture (JV) are accounted for using the equity method. They are initially recognised at cost, which includes transaction costs. Subsequent to initial recognition, the consolidated financial statements include the Group’s share of the profit or loss and other comprehensive income of equity-accounted investees, until the date on which significant influence or joint control ceases. The financial statements of the joint venture are prepared on a December balance date, however, as the Group equity accounts for this, the necessary adjustments are made to align these to the Group’s reporting period. When necessary, adjustments are made to bring the accounting policies in line with those of the Group. A dividend of $2,590,102 (2025: $2,134,591) was received from the JV during the year. Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Joint venture’s statement of financial position: Current assets, including cash of $1,517,369 (2025: $7,404,260) 27,957 29,701 Non-current assets 334 297 Current liabilities (5,316) (7,886) Non-current liabilities (32) (268) Equity 22,943 21,844 Joint ventures revenue and profit: Revenue 75,726 70,035 Expenses (67,612) (62,420) Finance (expense)/income (35) 5 Profit before income tax 8,079 7,620 Income tax (2,011) (1,950) Profit for the year 6,068 5,670 Group’s share of profit 3,034 2,835 Carrying amount of the investment 11,493 10,864 Movement in carrying amount of the investment Balance at 1 July 10,864 9,840 Share of profit 3,034 2,835 Dividend received (2,590) (2,135) Currency translation differences 185 324 Balance at 30 June 11,493 10,864 The joint venture has no capital commitments or contingent liabilities at 30 June 2026 (2025: None). 34 | Bisalloy Steel Group Limited 2026 Annual Report
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6. Income tax Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 a) Income tax expense The major components of income tax expense are: Income Statement Current income tax Current income tax charge 6,973 8,338 6,973 8,338 Deferred income tax Relating to origination and reversal of temporary differences 84 (413) 84 (413) Income tax expense 7,057 7,925 The income tax expense for the period is disclosed as follows: Income tax expense attributable to continuing operations 7,057 7,925 7,057 7,925 b) Amounts charged or credited directly to equity Deferred income tax related to items charged or credited directly to equity Actuarial losses and gains (6) 19 Net gain on revaluation of land and buildings and derivative assets 2 1,167 Income tax expense reported in equity (4) 1,186 c) Numerical reconciliation between aggregate tax expense recognised in the income statement and tax expense calculated per the statutory income tax rate Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Accounting profit before tax 23,879 27,963 At the Group's statutory income tax rate of 30% (2025: 30%) 7,164 8,389 Income assessable for tax purposes 185 96 Expenditure not allowable for tax purposes 472 274 De-recognition of foreign income tax credits 363 225 Foreign tax credits allowed (143) (51) Share of profit of equity-accounted investees reported net of tax (910) (851) Effect of tax rates in foreign jurisdictions (74) (157) Income tax expense on pre-tax net profit 7,057 7,925 2026 Annual Report Bisalloy Steel Group Limited | 35
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 Consolidated Net DTA Net DTL In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Year ended 30 June 2026 Year ended 30 June 2025 d) Deferred tax assets (DTA) and liabilities (DTL) The balance comprises of temporary differences attributable to: Property, plant and equipment – – (7,297) (7,608) Employee entitlement provisions 38 40 804 841 Other provisions and accruals 14 46 584 610 Inventory – – 96 85 Other – – (351) (46) Deferred tax assets and liabilities reflected in the balance sheet 52 86 (6,164) (6,118) Movements Opening balance at 1 July 86 77 (6,118) (5,334) Credited to profit or loss (34) 9 (50) 402 Charged to other comprehensive income – – 4 (1,186) Closing balance at 30 June 52 86 (6,164) (6,118) Of the DTA and DTL’s recognised for the Group the following amounts are attributed to the Thailand and Indonesian tax jurisdictions at 30 June 2026, the balance relates to the Australian tax jurisdiction: Net DTA/(DTL) In thousands of dollars Thailand 2026 Indonesia 2026 Thailand 2025 Indonesia 2025 The balance comprises of temporary differences attributable to: Employee entitlement provisions 38 135 40 115 Other provisions and accruals 14 (266) 46 147 Deferred tax assets and liabilities reflected in the balance sheet 52 (131) 86 262 e) Current income tax at 30 June 2026 relates to the following The current tax payable for the Group of $636,046 (2025: $3,409,025) represents the amount of income tax payable in respect of the current and prior periods. The current tax payable of the Group is made up of $538,725 payable in the Australian jurisdiction and $97,321 payable in the Thailand jurisdiction. The current tax receivable of $330,214 (2025: $153,750) for the Group represents the amount of income tax receivable in respect of the current periods. The amount of current tax receivable for 2026 is attributed to the Indonesian tax jurisdiction, and 2025 tax receivable attributed to the Indonesian tax jurisdictions. The Group liability includes both the income tax payable by all members of the tax consolidated group and those members outside the tax consolidated group and outside the Australian tax jurisdiction. 6. Income tax (continued) 36 | Bisalloy Steel Group Limited 2026 Annual Report
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f) Unrecognised temporary differences At 30 June 2026, there are no unrecognised temporary differences associated with the Group’s investments in subsidiaries, as the Group has no liability for additional taxation should unremitted earnings be remitted (2025: Nil). g) Tax consolidation (i) Members of the tax consolidation group and the tax sharing arrangement Effective 1 July 2003, for the purposes of income taxation, the Company and its 100% owned Australian subsidiaries formed a tax consolidated group. Members of the group have entered into a tax sharing arrangement. This arrangement provides for the allocation of income tax liabilities between the entities should the head entity default on its tax payment obligations. At the balance date, the possibility of a default is remote. The head entity of the group is Bisalloy Steel Group Limited. (ii) Tax effect accounting by members of the tax consolidated group Members of the tax consolidated group have entered into a tax funding agreement. The allocation of taxes under the tax funding agreement is recognised under the separate tax payer within a group approach. Allocations under the tax funding agreement are made on a semi-annual basis. The amount that is allocated under the tax funding agreement is done so in accordance with a method permitted by Urgent Issues Group Interpretation 1052 and is recognised by way of an increase or decrease in the subsidiaries intercompany accounts. 7. Earnings per share (EPS) Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 The following reflects the income and share data used in the basic and diluted earnings per share computations: Net profit for the period 16,822 20,038 Net profit attributable to non-controlling interest holders (53) (458) Net profit attributable to equity holders of the parent (used in calculating basic and diluted EPS) 16,769 19,580 Thousands Thousands Weighted average number of ordinary shares for basic earnings per share 48,012 47,858 Effects of dilution: Performance rights 596 719 Adjusted weighted average number of ordinary shares for diluted earnings per share 48,608 48,577 6. Income tax (continued) 2026 Annual Report Bisalloy Steel Group Limited | 37
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 8. Dividends paid or proposed Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 a) Dividends paid during the year Interim: 8.0 cents per share (2025: 8.0 cents per share) 3,843 3,832 Final: 16.5 cents per share (2025: 11.5 cents per share) 7,927 5,509 Special 16.4 cents per share (2025: 13.0 cents per share) 7,879 6,228 19,649 15,569 (b) Proposed dividend (not recognised as a liability as at 30 June) Final dividend for 2026: 13.0 cents per share (2025: 16.5 cents per share) 6,245 7,904 (c) Franking credit balance The amount of franking credits available for the subsequent financial year are: Franking account balance as at the end of the financial year at 30% 11,343 10,585 Franking (debits)/credits that will arise from the receipt of tax as at the end of the financial year (539) 3,338 Franking debits that will arise from the payment of dividends as at the end of the financial year (2,676) (3,387) 8,128 10,536 38 | Bisalloy Steel Group Limited 2026 Annual Report
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9. Cash and cash equivalents Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 (a) Reconciliation of cash For the purpose of the cash flow statement, cash and cash equivalents comprise the following at 30 June: Cash at bank 4,424 6,330 Cash at hand 1 1 Total 4,425 6,331 (b) Reconciliation of net profit after income tax to net cash provided by operations Net profit after tax 16,822 20,038 Non-cash items Depreciation and amortisation 2,144 2,095 Finance costs 13 14 Share-based payments expense 321 382 Provision for stock obsolescence 17 378 Provision for doubtful debts (52) (34) Share of profit of a joint venture (3,034) (2,835) Net fair value change on derivatives 43 98 (Increase) / Decrease in foreign currency translation (1,323) 760 Change in operating assets and liabilities Decrease / (Increase) in receivables and other assets 5,660 (12,447) Decrease / (Increase) in inventories 5,030 (1,297) (Decrease) / Increase in tax assets and liabilities (2,860) 1,257 Increase in prepayments (1,631) (100) (Decrease) / Increase in trade creditors (3,545) 4,802 (Decrease) / Increase in employee benefit liabilities (185) 285 Net cash from operating activities 17,420 13,396 (c) Disclosure of financing facilities Refer note 17.2 2026 Annual Report Bisalloy Steel Group Limited | 39
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 10. Trade and other receivables Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Current Trade receivables 24,057 31,095 Less: Allowance for expected credit losses (169) (221) 23,888 30,874 Other 10 1 Goods and services tax – - 10 1 23,898 30,875 Trade receivables are non-interest bearing and are generally on 30-90 day terms. Refer to note 17.3 for more information of the allowance for expected credit losses. Other balances within trade and other receivables do not contain impaired assets and are not past due. It is expected that these other balances will be received when due. The Group has a credit insurance policy in place that covers 90% of the sales value to Australian and Indonesian eligible customers. The Indonesian credit insurance will expire on 31 August 2026. Fair value and credit risk Due to the short-term nature of these receivables, their carrying value is assumed to approximate their fair value. The maximum exposure to credit risk is the fair value of receivables. Collateral is not held as security, nor is it the Group’s policy to transfer (on-sell) receivables to special purpose entities. Foreign exchange and interest rate risk Detail regarding foreign exchange and interest rate risk exposure is disclosed in note 17.3. 11. Inventories Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Current Raw materials 9,389 7,489 Finished goods 32,410 41,071 Inventory in transit 2,910 1,196 44,709 49,756 40 | Bisalloy Steel Group Limited 2026 Annual Report
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12. Prepayments Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Current Prepayments 3,889 2,237 3,889 2,237 Non-current Prepayments 131 153 131 153 13. Property, plant and equipment a) Reconciliation of carrying amounts at the beginning and end of the period In thousands of dollars Freehold land and buildings Leasehold improvements Plant and equipment Total Consolidated Year ended 30 June 2026 At 1 July 2025, net of accumulated depreciation and impairment 27,346 - 5,606 32,952 Additions 429 – 2,273 2,702 Disposals - - (5) (5) Depreciation and amortisation charge for the year (798) - (1,182) (1,980) Exchange adjustment (297) – (30) (327) At 30 June 2026, net of accumulated depreciation and impairment 26,680 - 6,662 33,342 At 1 July 2025 Cost or fair value 27,411 34 25,314 52,759 Accumulated depreciation and impairment (65) (34) (19,708) (19,807) Net carrying value 27,346 – 5,606 32,952 At 30 June 2026 Cost or fair value 27,503 34 27,552 55,089 Accumulated depreciation and impairment (823) (34) (20,890) (21,747) Net carrying value 26,680 – 6,662 33,342 b) Revaluation of freehold land and freehold buildings Freehold land and freehold buildings are required by the Group to be externally revalued every three years at minimum. In addition to this, land and freehold buildings are occasionally required to be externally revalued in order to meet lending requirements stipulated by finance providers. Fair value is the amount for which the assets could be exchanged between a knowledgeable willing buyer and a knowledgeable willing seller in an arm’s length transaction as at the valuation date. Fair value is determined by direct reference to recent market transactions on arm’s length terms for land and buildings comparable in size and location to those held by the Group, and to market based yields for comparable properties. 2026 Annual Report Bisalloy Steel Group Limited | 41
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 In 2025, the Group engaged KJPP Jimmy Prasetyo & Rekan, accredited independent valuers to determine the fair value of its Indonesian land and buildings. The effective date of the valuation was 31 July 2024 and fair value was determined as $2,296,275. In 2025, the Group engaged Herron Todd White, accredited independent valuers to determine the fair value of its Australian land and buildings respectively. The effective date of the valuation was 30 June 2025 and fair value was determined as $25,000,000. There has been no change in the valuation technique in current or prior period. c) Carrying amounts if land and buildings were measured at cost less accumulated depreciation and impairment If land and buildings were measured using the cost model the carrying amounts would be as follows: Consolidated In thousands of dollars 2026 Freehold land and buildings 2025 Freehold land and buildings Cost 7,737 7,685 Accumulated depreciation and impairment (3,281) (3,038) Net carrying amount 4,456 4,647 d) Leased assets ‘Property, plant and equipment’ comprise of owned and leased assets that do not meet the definition of investment property. Consolidated In thousands of dollars Note 2026 2025 Property, plant and equipment owned 33,006 32,789 Right-of-use assets 336 163 13(a) 33,342 32,952 13. Property, plant and equipment (continued) 42 | Bisalloy Steel Group Limited 2026 Annual Report
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14. Share-based payment plans Long-Term Incentives (LTI) Plan The LTI program has been designed to align the remuneration received by executive directors and senior managers with the creation of shareholder wealth. Consequently LTI grants are only made to executives who are in a position to influence shareholder wealth and thus have the opportunity to influence the Company’s performance against the relevant long -term performance hurdles. Structure Rights are granted based on delivering superior long -term performance as measured by Return on Invested Capital (“ROIC”) over a three year performance period, determined by the Board in respect of each forthcoming three year period. The rights which vest depend on achieving this target ROIC, with 100% vesting on achieving the ROIC and no rights vesting if actual ROIC is less than the target ROIC. Any rights to which the employee may become entitled on achieving the performance criteria, are still subject to being employed by Bisalloy for the whole performance period. Once vested a holder may exercise their share rights and be allocated a fully paid ordinary share of Bisalloy at no cost to the employee or the equivalent in cash at the Board’s discretion. During the 30 June 2026 financial year, 133,682 share rights were awarded to executives under this scheme. A fair value expressed as a value per share right has been determined as at the grant date for each grant of rights. The rights have been valued according to a discounted cash flow (DCF) methodology. The share price at valuation date and a 7.38% dividend yield for Grants 23 and 24, 5.42% dividend yield for Grant 25, 5.62% dividend yield for Grants 26 and 27, 5.28% dividend yield for Grant 28, 4.79% dividend yield for Grants 29 and 30, and 5.51% dividend yield for Grant 31 (based on historic and future estimates at the time) formed the basis of the valuation. Refer to note 25(m) for further details on the valuation methodology. The following table lists the valuation outputs for outstanding grants as at 30 June 2026: Expiry term of three years Value of one rights Proportion of rights that are outstanding Grant 20 $1.74 0% Grant 21 $1.80 0% Grant 22 $1.80 0% Grant 23 $1.59 100% Grant 24 $1.59 100% Grant 25 $3.26 100% Grant 26 $2.94 100% Grant 27 $2.94 100% Grant 28 $4.95 100% Grant 29 $4.44 100% Grant 30 $4.44 100% Grant 31 $4.44 100% The fair value of the performance rights granted is brought to account as an expense in the profit and loss over the three-year vesting period. The above table shows the number of rights outstanding during the year and in the previous year. The expense recognised in the statement of comprehensive income in relation to share based payments is disclosed in note 4(d). 2026 Annual Report Bisalloy Steel Group Limited | 43
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 Grant 20 Exercised Grant 21 Exercised Grant 22 Exercised Grant 23 Unvested Grant 24 Unvested Grant 25 Unvested Grant 26 Unvested Grant 27 Unvested Grant 28 Unvested Grant 29 Unvested Grant 30 Unvested Grant 31 Unvested Total Grant date 21/09/2022 21/09/2022 21/09/2022 21/09/2023 21/09/2023 21/09/2023 21/09/2024 21/09/2024 21/09/2024 21/09/2025 21/09/2025 21/09/2025 Expiry date 01/09/2025 01/09/2025 01/09/2025 01/09/2026 01/09/2026 01/09/2026 01/09/2027 01/09/2027 01/09/2027 01/09/2028 01/09/2028 01/09/2028 Exercise price $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Balance at 30 June 2024 120,296 76,236 78,292 76,801 74,784 118,005 – – – – – – 544,414 New grants in the year – – – – – – 46,150 46,150 70,844 – – – 163,144 Exercised in the year – – – – – – – – – – – – – Lapsed during the year – – – – – – – – – – – – – Balance at 30 June 2025 120,296 76,236 78,292 76,801 74,784 118,005 46,150 46,150 70,844 – – – 707,558 Exercisable at 30 June 2025 – – – – – – – – – – – – – New grants in the year – – – – – – – – – 37,816 37,816 58,050 133,682 Exercised in the year (60,148) (38,118) (39,146) – – – – – – – – – (137,412) Lapsed during the year (60,148) (38,118) (39,146) – – – – – – – – – (137,412) Balance at 30 June 2026 – – – 76,801 74,784 118,005 46,150 46,150 70,844 37,816 37,816 58,050 566,416 Exercisable at 30 June 2026 – – – – – – – – – – – – – The weighted average remaining contractual life for the share rights outstanding as at 30 June 2026 is 0.93 years (2025: 1.02 years). Share rights plan The net amount entered in the Profit or Loss in relation to the above for the current year was a debit of $1,106,492 (2025: debit $381,985). 15. Pensions and other post-employment benefit plans Superannuation commitments The Group contributes to externally managed defined contribution superannuation plans, as well as an unfunded defined benefit plan in Indonesia and a defined benefit plan in Thailand. The contributions are defined by the terms of each individual employee’s employment. 14. Share-based payment plans (continued) 44 | Bisalloy Steel Group Limited 2026 Annual Report
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Grant 20 Exercised Grant 21 Exercised Grant 22 Exercised Grant 23 Unvested Grant 24 Unvested Grant 25 Unvested Grant 26 Unvested Grant 27 Unvested Grant 28 Unvested Grant 29 Unvested Grant 30 Unvested Grant 31 Unvested Total Grant date 21/09/2022 21/09/2022 21/09/2022 21/09/2023 21/09/2023 21/09/2023 21/09/2024 21/09/2024 21/09/2024 21/09/2025 21/09/2025 21/09/2025 Expiry date 01/09/2025 01/09/2025 01/09/2025 01/09/2026 01/09/2026 01/09/2026 01/09/2027 01/09/2027 01/09/2027 01/09/2028 01/09/2028 01/09/2028 Exercise price $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Balance at 30 June 2024 120,296 76,236 78,292 76,801 74,784 118,005 – – – – – – 544,414 New grants in the year – – – – – – 46,150 46,150 70,844 – – – 163,144 Exercised in the year – – – – – – – – – – – – – Lapsed during the year – – – – – – – – – – – – – Balance at 30 June 2025 120,296 76,236 78,292 76,801 74,784 118,005 46,150 46,150 70,844 – – – 707,558 Exercisable at 30 June 2025 – – – – – – – – – – – – – New grants in the year – – – – – – – – – 37,816 37,816 58,050 133,682 Exercised in the year (60,148) (38,118) (39,146) – – – – – – – – – (137,412) Lapsed during the year (60,148) (38,118) (39,146) – – – – – – – – – (137,412) Balance at 30 June 2026 – – – 76,801 74,784 118,005 46,150 46,150 70,844 37,816 37,816 58,050 566,416 Exercisable at 30 June 2026 – – – – – – – – – – – – – The weighted average remaining contractual life for the share rights outstanding as at 30 June 2026 is 0.93 years (2025: 1.02 years). Share rights plan The net amount entered in the Profit or Loss in relation to the above for the current year was a debit of $1,106,492 (2025: debit $381,985). 15. Pensions and other post-employment benefit plans Superannuation commitments The Group contributes to externally managed defined contribution superannuation plans, as well as an unfunded defined benefit plan in Indonesia and a defined benefit plan in Thailand. The contributions are defined by the terms of each individual employee’s employment. 14. Share-based payment plans (continued) 2026 Annual Report Bisalloy Steel Group Limited | 45
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 16. Trade and other payables Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Current Trade payables 17,829 22,847 Goods and services tax 687 662 Other payables and accruals 7,506 6,060 26,022 29,569 Trade payables are non-interest bearing and are normally settled on 30 to 60 day terms. Other payables and accruals are non-interest bearing and have an average term of three months. Fair value Due to the short-term nature of these payables, their carrying value is assumed to approximate their fair value. Interest rate, foreign exchange and liquidity risk Information regarding interest rate, foreign exchange and liquidity risk exposure is set out in note 17.3. 17. Financial assets and financial liabilities 17.1 Financial assets Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Financial assets at amortised cost Trade receivables (note 10) 23,888 30,874 Total financial assets 23,888 30,874 Total current 23,888 30,874 Total non-current – – 17.2 Financial liabilities Interest-bearing loans and borrowings Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Current Borrowings secured by fixed and floating charges 2,929 2,343 Non-current Borrowings secured by fixed and floating charges - - 46 | Bisalloy Steel Group Limited 2026 Annual Report
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Fair values Unless disclosed below, the carrying amount of the Group’s current and non-current borrowings approximate their fair value. Interest rate, foreign exchange and liquidity risk Details regarding interest rate, foreign exchange and liquidity risk is disclosed in note 17.3. Assets pledged as security The fixed and floating charge covers all current and future assets of the Bisalloy Closed Group (note 21). Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 At reporting date, the following financing facilities had been negotiated and were available: Total facilities - bank bill facility (i) 20,000 30,000 - trade finance facility (i) 10,000 10,000 - Premium finance Facility (i) 449 – - Bisalloy Thailand facility (ii) 568 141 - PT Bima facility (iii) 4,346 4,950 35,363 45,091 Facilities used at reporting date Current - PT Bima facility 2,480 2,343 - Premium finance facility 449 – Total facilities used at reporting date 2,929 2,343 Facilities unused at reporting date - bank bill facility 20,000 30,000 - trade finance facility 10,000 10,000 - Bisalloy Thailand facility 568 141 - PT Bima facility 1,866 2,607 Total facilities unused at reporting date 32,434 42,748 (i) Bisalloy Steel Group Limited’s facility with Westpac Banking Corporation is secured by a fixed and floating charge over all assets of the Closed Group. The facility is subject to usual provisions such as negative covenants and various undertakings, including compliance with an equity ratio covenant, a leverage ratio covenant and an interest coverage ratio. The bank bill facility has a one-year term. The facility is linked to a variable interest rate plus a fixed margin. The average variable interest rate for the year is 4.68% (2025: 5.31%). ii) The bank overdraft facility available to its Thailand based subsidiary is secured by a guarantee from Bisalloy Steel Group Limited. iii) The revolver facility and Letter of Credit facility available to its Indonesian based subsidiary are secured by a charge over the assets of the Indonesian subsidiary and mature on 30 June 2027. 17. Financial assets and financial liabilities (continued) 17.2 Financial liabilities (continued) 2026 Annual Report Bisalloy Steel Group Limited | 47
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Other financial liabilities at amortised cost, other than interest-bearing loans and borrowings Trade and other payables (note 16) 25,335 28,907 Total financial liabilities 25,335 28,907 Total current 25,335 28,907 Total non-current – – 17.3 Financial risk management Overview The Group has exposure to the following risks from their use of financial instruments: ● Credit risk ● Liquidity risk ● Market risk The Board is responsible for ensuring that risks, and also opportunities, are identified on a timely basis and that the Group’s objectives and activities are aligned with the risks and opportunities identified by the Board. The Board has established an Audit and Risk Committee comprising non-executive directors, whose meetings are also attended by the executive directors. In addition, sub-committees are convened as appropriate in response to issues and risks identified by the Board, and the sub-committee further examines the issue and reports back to the Board. The Board has a number of mechanisms in place to ensure that management’s objectives and activities are aligned with the risks identified by the Board. These include the following: - Board approval of a strategic plan, which encompasses the Group’s vision, mission and strategy statements, designed to meet stakeholders’ needs and manage business risk. - Implementation of Board approved operating plans and budgets and Board monitoring of progress against these budgets, including the establishment and monitoring of KPIs of both a financial and non -financial nature. - The establishment of committees to report on specific business risks, including for example, matters such as environmental issues and concerns and occupational health and safety. - The Board reviews financial risks such as the Group’s liquidity, currency, interest rate and credit policies and exposures and monitors management’s actions to ensure they are in line with Group policy. Credit risk Credit risk is the risk of financial loss to the Group if a customer fails to meet its contractual obligations, and arises principally from the Group’s receivables from customers. Trade and other receivables The Group’s exposure to credit risk is influenced mainly by the individual characteristics of each customer. The Group has a narrow customer base and has the potential to be exposed to credit risks on a specific customer. A credit policy is in place, the objective of which is: - To ensure all credit worthiness checks are carried out prior to opening new credit accounts and appropriate authorisations obtained; - To ensure the approved credit limit is appropriate to the inherent risk of trading with any particular customer; 17. Financial assets and financial liabilities (continued) 17.2 Financial liabilities (continued) 48 | Bisalloy Steel Group Limited 2026 Annual Report
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- To ensure all orders are converted into cash within trading terms; - To minimise late payments and any potential bad debts through the constant application of sound commercial debtor management on a continuing basis; Goods are sold subject to retention of title clauses that permit the Group to reclaim stock from a customer up to the value of monies owed in the event: ● Official Manager ● Receiver and Manager ● Administrator ● Liquidator or similar business administration is appointed to the customer’s business. The Group performs an impairment analysis at each reporting date using a provision matrix to measure expected credit losses. The provision rates are based on days past due for groupings of various customer segments with similar loss patterns (i.e. geographical region and coverage by insurance). The calculation reflects the probability -weighted outcome, the time value of money and reasonable and supportable information that is available at the reporting date about past events, current conditions and forecasts of future economic conditions. The maximum exposure to credit risk for these financial assets is limited to their carrying amounts as disclosed in note 10. The Group does not hold collateral as security. The Group evaluates the concentration of risk with respect to trade receivables as low, as its customers are located in several jurisdictions and industries and operate in largely independent markets. The Group has for a number of years had credit insurance in place for Australian, selected export sales, and Indonesian local sales. Set out below is the information about the credit risk exposure on the Group’s trade receivables and contract assets using a provision matrix: 30 June 2026 Trade Receivables In thousands of dollars Current <=30 days 30-60 days 61-90 days >91 days >91 days* Total Expected credit loss rate 0.11% 0.13% 0.04% 0.00% 0.00% 98.89% 0.70% Estimated total gross carrying amount at default 20,624 2,667 509 4 109 144 24,057 Expected Credit Loss 21 4 - - - 144 169 30 June 2025 Trade Receivables In thousands of dollars Current <=30 days 30-60 days 61-90 days >91 days >91 days* Total Expected credit loss rate 0.02% 0.14% 0.59% 0.59% 0.37% 80.87% 0.71% Estimated total gross carrying amount at default 28,406 1,880 84 66 400 259 31,095 Expected Credit Loss 7 3 1 – 1 209 221 * Indonesian and Thailand receivables with no insurance coverage. 17. Financial assets and financial liabilities (continued) 17.3 Financial risk management (continued) 2026 Annual Report Bisalloy Steel Group Limited | 49
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 Liquidity risk Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they fall due. The Group’s approach to managing liquidity is to ensure, as far as possible, that it will always have sufficient liquidity to meet its liabilities as and when they fall due without incurring unacceptable losses or risking damaging the Group’s reputation. On 11 December 2025 the Group renewed the facility agreement with Westpac Banking Corporation. The facility comprises a $20m bank bill, and a $10m trade finance facility. Eligible trade receivables, eligible inventory, plant and equipment and real property constitute available collateral. At reporting date, the carrying amount of assets pledged as collateral was $95.8m (2025: $107.7m). The Group also has a IDR 44.5 billion revolver facility with BCA in Indonesia. This facility is renewed annually with land and buildings pledged as collateral. In addition to the eligible collateral, the Group has several general and financial undertakings which it must comply with including an Equity Ratio covenant, a Leverage Ratio covenant and an Interest Cover Ratio covenant. Due to the nature of the facility, cashflow is managed on a daily basis, comparing actual against forecast collateral, receipts and payments. Each month a complete review is undertaken of the projected daily cashflow. Contractual maturity of financial liabilities The table below reflects all contractually fixed payments for settlement, repayments and interest resulting from recognised financial liabilities, including derivative financial instruments as at 30 June 2026. For derivative financial instruments the market value is presented, whereas for the other obligations the respective undiscounted cash flows for the respective upcoming fiscal years are presented. Cash flows for financial assets and liabilities without fixed amount or timing are based on the conditions existing at 30 June 2026. Consolidated In thousands of dollars 2026 2025 6 months or less 29,369 32,210 6-12 months 125 21 1-5 years 210 61 29,704 32,292 Management analysis of financial assets and liabilities The table below is based on management expectations of the timing of cash inflows and outflows from its financial assets and liabilities which reflect a balanced view of cash inflows and outflows. Net settled derivatives comprise forward exchange contracts that are used to hedge future sales and purchase commitments. Leasing obligations, trade payables and other financial liabilities mainly originate from the financing of assets used in our ongoing operations such as property, plant, equipment and investments in working capital (e.g. inventories and trade receivables). These assets are considered in the Group’s overall liquidity risk. To monitor existing financial assets and liabilities as well as to enable an effective controlling of future risks, the Group has established comprehensive risk reporting covering its operation that reflects expectations of management of expected settlement of financial assets and liabilities. 17. Financial assets and financial liabilities (continued) 17.3 Financial risk management (continued) 50 | Bisalloy Steel Group Limited 2026 Annual Report
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In thousands of dollars <=6 months 6-12 months 1-5 years >5 years Total Year ended 30 June 2026 Consolidated Financial assets Cash and cash equivalents 4,425 – – – 4,425 Trade and other receivables 23,898 – – – 23,898 28,323 – – – 28,323 Financial liabilities Trade and other payables 26,022 – – – 26,022 Interest bearing loans and borrowings 3,165 – – – 3,165 Lease liabilities 74 65 210 – 349 Derivatives – gross settled outflows 108 60 – – 168 29,369 125 210 – 29,704 Net outflow (1,046) (125) (210) – (1,381) In thousands of dollars <=6 months 6-12 months 1-5 years >5 years Total Year ended 30 June 2025 Consolidated Financial assets Cash and cash equivalents 6,331 – – – 6,331 Trade and other receivables 30,875 – – – 30,875 37,206 – – – 37,206 Financial liabilities Trade and other payables 29,569 – – – 29,569 Interest bearing loans and borrowings 2,395 – – – 2,395 Lease liabilities 107 21 61 – 189 Derivatives – gross settled outflows 139 – – – 139 32,210 21 61 – 32,292 Net inflow / (outflow) 4,996 (21) (61) – 4,914 Market risk Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and commodity prices will affect the Group’s income or the value of its holdings of financial instruments. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising return. 17. Financial assets and financial liabilities (continued) 17.3 Financial risk management (continued) 2026 Annual Report Bisalloy Steel Group Limited | 51
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 Foreign exchange risk Foreign currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. The Group’s exposure to the risk of changes in foreign exchange rates relates primarily to the Group’s operating activities (when revenue or expense is denominated in different currency from the Group’s functional currency) and the Group’s net investment in foreign subsidiaries. The Group manages its foreign currency risk by hedging transactions that are expected to occur within a maximum twelve-month period. The Group generally adopts a policy of covering exchange exposures related to purchases and sales of product at the time they are incurred or committed. Throughout the year the foreign exchange risk has been actively managed through periodic risk assessments. The objective of these assessments is to stratify foreign exchange exposure into risk categories and enable available hedge facilities to be applied to those assessed as higher risk. Risk assessments take into account macroeconomic lead indicators such as interest rate differentials, inflation rate differentials and externally published market analytical data to determine the likelihood of movement in exchange rates. The likelihood is applied to the Group’s foreign currency exposure to determine financial impact on a sensitivity basis. Sensitivity analysis The following table summarises the sensitivity of financial instruments held at balance date to possible movements in the exchange rate of the Australian dollar to foreign currencies, with all other variables held constant. The +10%/- 10% sensitivity is based on reasonably possible changes, over a financial year, using the observed range of actual historical rates for the preceding 5-year period, along with consideration for current market trends. Post tax profit Higher/(Lower) Effect on equity Higher/(Lower) In thousands of dollars 2026 2025 2026 2025 Sensitivity to USD Consolidated AUD/USD +10% (115) 25 (1) (1) AUD/USD -10% 141 (31) 1 1 Interest rate risk The Group’s borrowing facility has a variable interest rate attached to it. The Group monitors the underlying interest rate outlook and considers the use of interest rate derivatives (principally swaps) to manage the exposure to interest rate fluctuations. The Group’s exposure to market interest rates relates primarily to the Group’s interest bearing borrowings. At 30 June 2026, the Group had the following mix of financial assets and liabilities exposed to variable interest rates that are not designated in cash flow hedges. Consolidated In thousands of dollars 2026 2025 Financial assets Cash and cash equivalents less cash on hand 4,425 6,331 Financial liabilities Bank loans (2,929) (2,343) Net exposure 1,496 3,988 17. Financial assets and financial liabilities (continued) 17.3 Financial risk management (continued) 52 | Bisalloy Steel Group Limited 2026 Annual Report
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Interest rate sensitivity analysis The following table summarises the sensitivity of the fair value of financial instruments held at the balance date following a movement in interest rates, with all other variables held constant. The +100/-100 basis points sensitivity is based on reasonably possible changes over a financial year, using the observed range of actual historical rates for the preceding 5 year period. Post tax profit Higher/(Lower) Other Comprehensive Income Higher/(Lower) In thousands of dollars 2026 2025 2026 2025 Consolidated +1% (100 basis points) 10 28 – – - 1% (100 basis points) (10) (28) – – Commodity risk The Group does not hedge for movements in the underlying price of product but manages commodity risk within the parameters of the markets within which it trades. Assets/liabilities measured at fair value The Group uses various methods in estimating the fair value of assets and liabilities. The methods comprise: Level 1 – the fair value is calculated using quoted prices in active markets. Level 2 – the fair value is calculated using inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (as prices) or indirectly (derived from prices). Level 3 – the fair value is estimated using inputs for the asset or liability that are not based on observable market data. The fair value of the assets and liabilities as well as the methods used to estimate the fair value are summarised in the table below. For assets and liabilities that are recognised in the financial statements on a recurring basis, the Group determines whether transfers have occurred between levels in the hierarchy by re-assessing categorisation (based on the lowest level input that is significant to the fair value measurement as a whole) at the end of each reporting period. At 30 June 2026 the fair values of land, buildings and improvements were determined by reference to valuations performed as at June 2025 (Australia) and July 2024 (Indonesia) (note 13 (b)). For properties not subject to independent valuations, fair value was determined by Directors’ valuation. 17. Financial assets and financial liabilities (continued) 17.3 Financial risk management (continued) 2026 Annual Report Bisalloy Steel Group Limited | 53
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 Year ended 30 June 2026 Year ended 30 June 2025 In thousands of dollars Quoted market price (Level 1) Valuation technique- market observable inputs (Level 2) Valuation technique- non market observable inputs (Level 3) Total Quoted market price (Level 1) Valuation technique- market observable inputs (Level 2) Valuation technique- non market observable inputs (Level 3) Total Consolidated Assets Land & Buildings – 27,346 – 27,346 – 27,346 – 27,346 Foreign exchange contracts – (168) – (168) – (139) – (139) – 27,178 – 27,178 – 27,207 – 27,207 The fair value of forward currency contracts is calculated by reference to the current exchange rate at balance date. Transfer between categories There were no transfers between levels during the year. The fair value of loans and borrowings approximates the carrying value. 17. Financial assets and financial liabilities (continued) 17.3 Financial risk management (continued) 54 | Bisalloy Steel Group Limited 2026 Annual Report
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18. Employee benefit liabilities Consolidated In thousands of dollars 2026 2025 Current Employee entitlements 1,765 1,956 Share based payments 600 507 Defined benefit plan 172 42 2,537 2,505 Non-current Employee entitlements 465 463 Share based payments 341 432 Defined benefit plan 632 735 1,438 1,630 19. Contributed equity and reserves Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 (a) Ordinary shares, issued and fully paid 15,227 15,227 Fully paid ordinary shares carry one vote per share and carry the right to dividends. Shares have no par value. In thousands of dollars Number of shares 2026 $’000 Number of shares 2025 $’000 (b) Movements in shares on issue Balance at 1 July 47,903,601 15,227 47,685,696 15,227 Exercise of performance rights 137,412 – 217,905 – Balance at 30 June 48,041,013 15,227 47,903,601 15,227 Capital management When managing capital, the Group’s objective is to maintain optimal returns to shareholders and benefits for other stakeholders. The Group also aims to maintain a capital structure that delivers the lowest cost of capital available to its operations. The Group adjusts the capital structure to take advantage of favourable costs of capital or high returns on assets. As the economic conditions change, the Group may change the amount of dividends to be paid to shareholders, return capital to shareholders, issue new shares or sell assets to reduce debt. No changes were made in the objectives, policies or processes for managing capital during the years ended 30 June 2026 and 2025. The Group monitors capital through the gearing ratio (net debt / total equity plus net debt) and currently targets a gearing ratio of between 0% and 35%. The Group includes within net debt interest bearing loans and borrowings less cash and cash equivalents. The gearing ratios based on continuing operations at 30 June 2026 and 2025 were as follows: 2026 Annual Report Bisalloy Steel Group Limited | 55
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Total borrowings 2,929 2,343 Less cash and cash equivalents (4,425) (6,331) Net cash (1,496) (3,988) Total equity 81,800 86,058 Total capital 80,304 82,070 Gearing ratio 0% 0% The Group is not subject to any externally imposed capital requirements. Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 (c) Non-controlling interests Balance at 1 July 5,113 4,424 (Loss)/gain on translation of overseas controlled entities (611) 171 Other reserves (8) 27 Revaluation of land and buildings – 33 Share of net profit for the year 53 458 Dividends paid (198) – Balance at 30 June 4,349 5,113 Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 (d) Retained earnings Balance at 1 July 47,423 43,197 Net profit for the year 16,769 19,580 Depreciation transfer for revaluation of buildings 316 215 Dividends paid (19,649) (15,569) Balance at 30 June 44,859 47,423 19. Contributed equity and reserves (continued) 56 | Bisalloy Steel Group Limited 2026 Annual Report
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In thousands of dollars Employee Equity benefits reserve Foreign currency translation reserve Cash flow hedge reserve Asset revaluation reserve Equity settlement reserve Other reserves Total (e) Reserves 30 June 2024 446 290 1 12,867 744 69 14,417 Currency translation differences – 931 – – – – 931 Share-based payments 426 – – – – – 426 Net loss on cash flow hedge – – (56) – – – (56) Actuary gain – – – – – 39 39 Depreciation transfer on revaluation of land and buildings – – – (215) – – (215) Equity settlement (336) – – – 336 – – Revaluation of land and buildings – – – 2,753 – – 2,753 At 30 June 2025 536 1,221 (55) 15,405 1,080 108 18,295 Currency translation differences – (942) – – – – (942) Share-based payments 321 – – – – – 321 Net loss on cash flow hedge – – 14 – – – 14 Actuary gain – – – – – (11) (11) Depreciation transfer on revaluation of land and buildings – – – (312) – – (312) Equity settlement (244) – – – 244 – – At 30 June 2026 613 279 (41) 15,093 1,324 97 17,365 19. Contributed equity and reserves (continued) 2026 Annual Report Bisalloy Steel Group Limited | 57
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 Nature and purpose of reserves Employee equity benefits reserve This reserve is used to record the value of share-based payments provided to employees and directors as part of their remuneration. Refer to note 14 for further details of these plans. Foreign currency translation reserve The foreign currency translation reserve is used to record exchange differences arising from the translation of the financial statements of foreign subsidiaries. Cash flow hedge reserve This reserve records the portion of the gain or loss on a hedging instrument in a cash flow hedge that is determined to be an effective hedge. Asset revaluation reserve The asset revaluation reserve is used to record increases and decreases in the fair value of land and buildings (net of tax) to the extent that they offset one another. The reserve can only be used to pay dividends in limited circumstances. Equity settlement reserve The equity settlement reserve records the net difference between payment for shares upon the exercise of performance rights under the LTIP and the amount expensed in the profit and loss and recorded in the employee equity benefits reserve over the three-year vesting period. Other reserve Relates to actuarial losses from defined benefit pensions. 20. Commitments and contingencies Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 (a) Capital expenditure commitments Estimated capital expenditure contracted for at balance date, but not provided for payable: Not later than one year 20 50 20 50 These capital expenditure commitments relate to plant upgrade works. (b) Contingent liabilities The directors draw the following contingent liabilities to the attention of users of the financial statements: Note 21 regarding the class order between certain subsidiaries and the Company. 19. Contributed equity and reserves (continued) 58 | Bisalloy Steel Group Limited 2026 Annual Report
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21. Related parties The terms and conditions of any transactions with Directors and their Director related entities are no more favourable than those available, or which might reasonably be expected to be available, on similar transactions to non Director related entities on arm’s length basis. There were no transactions during the year with Director related entities. Investments In thousands of dollars Country of Incorporation Percentage of equity interest held by the Consolidated entity 30 June 2026 % Percentage of equity interest held by the Consolidated entity 30 June 2025 % Name of parent Bisalloy Steel Group Limited Australia Controlled entities Bisalloy Steels Pty Limited Australia 100.00 100.00 Bisalloy Digital Solutions Pty Ltd Australia 100.00 100.00 PT Bima Bisalloy Indonesia 60.00 60.00 Bisalloy Holdings (Thailand) Co Ltd Thailand 85.00 85.00 Bisalloy (Thailand) Co Limited Thailand 85.00 85.00 Bisalloy North America LLC^ United States of America 100.00 100.00 Joint venture Bisalloy Shangang (Shandong) Steel Plate Co. Ltd* People’s Republic of China 50.00 50.00 * Refer note 5 for details regarding equity interest, share of interest and joint control ^ This entity continues to be dormant. Entities subject to class order relief Pursuant to Class Order 2016/785, relief has been granted to Bisalloy Steels Pty Limited from the Corporations Act 2001 requirements for preparation, audit and lodgement of their financial reports. As a condition of the Class Order, Bisalloy Steel Group Limited and Bisalloy Steels Pty Limited (the “closed” Group) entered into a Deed of Cross Guarantee on the 18th April 2002. The effect of the deed is that Bisalloy Steel Group Limited has guaranteed to pay any deficiency in the event of winding up of the controlled entity. The controlled entity has also given a similar guarantee in the event that Bisalloy Steel Group Limited is wound up. 2026 Annual Report Bisalloy Steel Group Limited | 59
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 The consolidated statement of profit or loss and statement of financial position of the entities which are members of the “Closed Group” are as follows: In thousands of dollars Closed Group 30 June 2026 Closed Group 30 June 2025 i. Consolidated Income Statement Profit from continuing operations before income tax 23,319 25,281 Income tax expense (6,868) (7,447) Profit after income tax 16,451 17,834 Accumulated profits at the beginning of the year 35,184 32,754 Depreciation transfer for revaluation of buildings 300 165 Dividends provided for or paid (19,649) (15,569) Accumulated profits at the end of the year 32,286 35,184 ii. Consolidated Balance Sheet Current assets Cash and cash equivalents 3,469 5,163 Trade and other receivables 19,697 25,654 Inventories 33,848 39,200 Contract assets 217 208 Other current assets 2,391 1,611 Total current assets 59,622 71,836 Non-current assets Investments 5,125 5,125 Property, plant and equipment 30,909 30,349 Intangible assets 153 317 Other non-current assets 36 68 Total non-current assets 36,223 35,859 Total assets 95,845 107,695 Current liabilities Trade and other payables 22,948 28,129 Income tax payable 539 3,338 Interest bearing liabilities 449 – Employee benefit liabilities 2,364 2,463 Lease liabilities 13 36 Derivative liability 170 139 Contract liabilities 624 1,982 Total current liabilities 27,107 36,087 21. Related parties (continued) 60 | Bisalloy Steel Group Limited 2026 Annual Report
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In thousands of dollars Closed Group 30 June 2026 Closed Group 30 June 2025 Non-current liabilities Lease liabilities 35 48 Employee benefit liabilities 806 895 Deferred tax liability 6,033 5,938 Total non-current liabilities 6,874 6,881 Total liabilities 33,981 42,968 NET ASSETS 61,864 64,727 Shareholders’ equity Contributed equity 15,228 15,228 Reserves 14,350 14,315 Accumulated profits 32,286 35,184 TOTAL SHAREHOLDERS’ EQUITY 61,864 64,727 The following table provides the total amount of transactions, other than amounts disclosed above, that have been entered into between the Group and related parties for the relevant financial year: In thousands of dollars Sales to Purchases from Amounts owed by related parties Amounts owed Related Party Bisalloy Shangang (Shandong) Steel Plate Co. Limited 2026 285 6,387 82 8 2025 – 5,562 98 71 Terms and conditions of transactions with related parties Sales to and purchase from related parties are made in arm’s length transactions both at normal market price and on normal commercial terms. Sale and purchases with related parties during 2026 were $6,671,482 (2025: $5,561,517). Outstanding balances at year-end are unsecured. Compensation of key management personnel of the Group Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Short-term employee benefits 2,105,477 2,066,877 Post employment benefits 153,243 150,556 Other long-term benefits 50,045 29,618 Share-based payments 1,106,492 381,985 Total compensation paid to key management personnel 3,415,257 2,629,036 21. Related parties (continued) 2026 Annual Report Bisalloy Steel Group Limited | 61
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 22. Events after the balance date On 29 July 2026, subsequent to the end of the financial year, the Group announced it had received its first order to supply HY80 steel to the United States submarine industry, following qualification of Australian-produced steel to the United States Navy’s TP300 standard. This represents the first time Australian-made steel will be used in the construction of United States Virginia-class submarines. Other than the matter noted above, there has been no matter or circumstance that has arisen since the end of the financial year that has significantly affected, or may significantly affect, the operations of the Group, the results of those operations, or the state of affairs of the Group in future financial years. 23. Auditors’ remuneration The auditor of Bisalloy Steel Group Limited is RSM Australia Partners. Consolidated In thousands of dollars Year ended 30 June 2026 Year ended 30 June 2025 Amounts received or due and receivable by RSM for: – an audit or review of the financial report of the entity and any other entity in the consolidated Group 163 154 – private tax ruling assistance 3 3 Amounts received or due and receivable by related practices of RSM for: – an audit or review of the financial report of any other entity in the consolidated Group 54 58 220 215 24. Parent entity information In thousands of dollars 30 June 2026 30 June 2025 Information relating to Bisalloy Steel Group Limited: Current assets - - Total assets 8,682 8,682 Current liabilities 539 3,338 Total liabilities 8,938 7,410 Issued capital 15,227 15,227 Accumulated losses (15,519) (13,991) Reserves 36 36 Total shareholders’ equity (256) 1,272 Profit of the Parent Entity 18,121 14,792 Total comprehensive income of the Parent Entity 18,121 14,792 Guarantees have been entered into by the Parent entity on behalf of Bisalloy Steels Pty Limited and Bisalloy (Thailand) Co Limited. The guarantees in place cover Bisalloy Steels Pty Limited’s $30.4m Westpac facility and 85% of Bisalloy Thailand’s THB 3M bank overdraft facility. There are no contingent liabilities or contractual commitments as at the reporting date. 62 | Bisalloy Steel Group Limited 2026 Annual Report
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25. Summary of material accounting policies Table of Contents a) Basis of preparation b) Basis of consolidation and investments in joint venture c) Significant accounting judgements, estimates and assumptions d) Operating segments e) Taxation f) Cash and cash equivalents g) Trade and other receivables h) Inventories i) Property, plant and equipment j) Trade and other payables k) Contributed equity l) Employee benefits m) Share-based payment transactions n) Provisions o) Financial instruments p) Goods and services tax q) Revenue from contracts with customers r) Other income s) Foreign currency translation t) Earnings per share (EPS) u) Fair value measurement v) Changes in accounting standards w) Standards issued but not yet effective a) Basis of preparation The financial report is a general purpose financial report, which has been prepared in accordance with the Australian Accounting Standards (AASBs) adopted by the Australian Accounting Standards Board (AASB) and the Corporations Act 2001. The financial report complies with International Financial Reporting Standards (IFRS) adopted by the International Accounting Standards Board (IASB). The financial report has also been prepared on a historical cost basis, except for land and buildings classified as property, plant and equipment and derivative financial instruments, which are measured at fair value. The Company is of a kind referred to in ASIC Corporations (Rounding in Financial/Directors’ Reports) Instrument 2016/191 and in accordance with that Instrument, all financial information presented in Australian Dollars has been rounded to the nearest thousand unless otherwise stated. The consolidated financial statements provide comparative information in respect of the previous period. Comparative information Comparative information is consistent with the current year’s presentation. b) Basis of consolidation and investments in joint venture The consolidated financial statements comprise the financial statements of the Company, being Bisalloy Steel Group Limited, and its subsidiaries (“the Group”) as at the reporting date. Control is achieved when the Group is exposed, or has rights, to variable returns from its involvement with the investee and has the ability to affect those returns through its power over the investee. The Group re-assesses whether or not it controls an investee if facts and circumstances indicate that there are changes to one or more of the three elements of control. Consolidation of a subsidiary begins when the Group obtains control over the subsidiary and ceases when the Group loses control of the subsidiary. The financial statements of the subsidiaries are prepared for the same reporting period as the Parent Company, using consistent accounting policies. Adjustments are made to bring into line any dissimilar accounting policies that may exist. All intercompany balances and transactions, including unrealised profits arising from intra-group transactions, have been eliminated in full. Unrealised losses are eliminated unless costs cannot be recovered. Non-controlling interests represent the portion of profit or loss and net assets in subsidiaries not held by the Group and are presented separately in the consolidated statement of comprehensive income and within equity in the consolidated statement of financial position, separately from the equity of the owners of the parent. The Group has an interest in a joint venture, which is a jointly controlled entity, whereby the venturers have a contractual arrangement that establishes joint control over the economic activities of the entity. The Group’s investment in the joint venture is accounted for using the equity method and is not part of the consolidated Group. Under the equity method, the investment in the joint venture is initially recognised at cost. The carrying amount of the investment is adjusted to recognise 2026 Annual Report Bisalloy Steel Group Limited | 63
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 changes in the Group’s share of net assets of the joint venture since the acquisition date. Goodwill relating to the joint venture is included in the carrying amount of the investment and is neither amortised nor individually tested for impairment. The statement of profit or loss and other comprehensive income reflects the Group’s share of the results of operations of the joint venture. When there has been a change recognised directly in the equity of the joint venture, the Group recognises its share of any changes, when applicable, in the statement of changes in equity. Unrealised gains and losses resulting from transactions between the Group and the joint venture are eliminated to the extent of the interest in the joint venture. The Group’s share of profit of the joint venture is shown on the face of the statement of profit or loss and other comprehensive income. In the application of the Group’s accounting policies as described below, management is required to make judgements, estimates and assumptions about carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances. These estimates and underlying assumptions are reviewed on an ongoing basis. c) Significant accounting judgements, estimates and assumptions In applying the Group’s accounting policies, management have not made any significant accounting judgements which affect the amounts recognised in the financial statements. Significant accounting estimates and assumptions The carrying amounts of certain assets and liabilities are often determined based on estimates and assumptions of future events. The key estimates and assumptions that have a significant risk of causing material adjustment to the carrying amounts of certain assets and liabilities within the next annual reporting period are: Property, plant and equipment The Group measures the fair value of land and buildings by reference to valuations performed at reporting date. The fair value is determined by an external valuer every three years, unless determined by Directors’ valuation that the fair value has moved significantly or at the request of a finance provider. The valuation method is detailed in note 17.3. d) Operating segments An operating segment is a component of an entity that engages in business activities from which it may earn revenues and incur expenses (including revenues and expenses relating to transactions with other components of the same entity), whose operating results are regularly reviewed by the entity’s chief operating decision maker to make decisions about resources to be allocated to the segment and assess its performance and for which discrete financial information is available. This includes start-up operations which are yet to earn revenues. Management will also consider other factors in determining operating segments such as the existence of a line manager and the level of segment information presented to the Board of directors. Operating segments have been identified and based on the information provided to the chief operating decision makers – being the executive management team. The Group aggregates two or more operating segments when they have similar economic characteristics, and the segments are similar in each of the following respects: – nature of the products and services, – nature of production processes, – type or class of customer for their products and services, – methods used to distribute their products or provide their services, and if applicable – nature of the regulatory environment. Operating segments that meet the quantitative criteria as prescribed by AASB 8 are reported separately. However, an operating segment that does not meet the quantitative criteria is still reported separately where information about the segment would be useful to users of the financial statements. e) Taxation Current income tax Current income tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax 25. Summary of material accounting policies (continued) b) Basis of consolidation and investments in joint venture (continued) 64 | Bisalloy Steel Group Limited 2026 Annual Report
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laws used to compute the amount are those that are enacted or substantively enacted by the reporting date in the countries where the Group operates and generates taxable income. Current income tax relating to items recognised directly in equity is recognised in equity and not in the statement of profit or loss. Management periodically evaluates positions taken in the tax returns with respect to situations in which applicable tax regulations are subject to interpretation and establishes provisions where appropriate. Deferred tax Deferred tax is provided using the liability method on temporary differences between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes at the reporting date. Deferred tax liabilities are recognised for all taxable temporary differences except: – when the deferred income tax liability arises from the initial recognition of goodwill or an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither the accounting profit nor taxable profit or loss; or – in respect of taxable temporary differences associated with investments in subsidiaries, associates or interests in joint ventures, when the timing of the reversal of the temporary difference can be controlled and it is probable that the temporary difference will not reverse in the foreseeable future. Deferred tax assets are recognised for all deductible temporary differences, the carry-forward of unused tax credits and any unused tax losses. Deferred tax assets are recognised to the extent that it is probable that taxable profit will be available against which the deductible temporary differences, and the carry-forward of unused tax credits and unused tax losses can be utilised, except: – when the deferred tax asset relating to the deductible temporary difference arises from the initial recognition of an asset or liability in a transaction that is not a business combination and, at the time of the transaction, affects neither the accounting profit nor taxable profit or loss; or – in respect of deductible temporary differences associated with investments in subsidiaries, associates or interests in joint ventures, deferred tax assets are recognised only to the extent that it is probable that the temporary difference will reverse in the foreseeable future and taxable profit will be available against which the temporary difference can be utilised. The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilised. Unrecognised deferred tax assets are reassessed at each reporting date and are recognised to the extent that it has become probable that future taxable profit will allow the deferred tax asset to be recovered. Deferred tax assets and liabilities are measured at the tax rates that are expected to apply to the year when the asset is realised or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively enacted at the reporting date. Deferred tax relating to items recognised outside profit or loss is recognised outside profit or loss. Deferred tax items are recognised in correlation to the underlying transaction either in other comprehensive income or directly in equity. Deferred tax assets and deferred tax liabilities are offset if a legally enforceable right exists to set off current tax assets against current tax liabilities and the deferred tax assets and liabilities relate to the same taxable entity and the same taxation authority. Bisalloy Steel Group Limited and its wholly-owned Australian controlled entities implemented the tax consolidation legislation as of 1 July 2003. The head entity, Bisalloy Steel Group Limited and the controlled entities in the tax consolidated group continue to account for their own current and deferred tax amounts. The Group has applied the Group allocation approach in determining the appropriate amount of current taxes and deferred taxes to allocate to members of the tax consolidated group. In addition to its own current and deferred tax amounts, Bisalloy Steel Group Limited also recognises the current tax liabilities (or assets) and the deferred tax assets arising from unused losses. Assets or liabilities under tax funding arrangements with the tax consolidation entities are recognised as amounts receivable from or payable to other entities in the Group. Any difference between the amounts assumed and amounts receivable or payable under the tax funding agreement are recognised as a contribution to (or distribution from) wholly-owned tax consolidated entities. 25. Summary of material accounting policies (continued) e) Taxation (continued) 2026 Annual Report Bisalloy Steel Group Limited | 65
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 f) Cash and cash equivalents Cash and short-term deposits in the statement of financial position and the cash flow statement is comprised of cash at bank and on hand and short-term deposits with a maturity of three months or less, which are subject to an insignificant risk of changes in value. g) Trade and other receivables A receivable represents the Group’s right to an amount of consideration that is unconditional (ie only the passage of time is required before payment of the consideration is due). Refer to accounting policies of financial assets in note 25(o) Financial instruments. h) Inventories Raw materials, work in progress and finished goods are valued at the lower of cost and net realisable value. Costs incurred in bringing each product to its present location and condition are accounted for as follows: Raw materials – Purchase cost is on a weighted average cost basis. Work in progress and finished goods – Cost of direct materials, labour and an appropriate proportion of manufacturing overheads is based on normal operating capacity, but excluding borrowing costs. Net realisable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and the estimated costs necessary to make the sale. i) Property, plant and equipment Plant and equipment is stated at historical cost, net of accumulated depreciation and accumulated impairment losses, if any. Such cost includes the cost of replacing parts that are eligible for capitalisation when the cost of replacing the parts is incurred. Similarly, when each major inspection is performed, its cost is recognised in the carrying amount of the plant and equipment as a replacement only if the recognition criteria are satisfied. All other repairs and maintenance are recognised in the profit or loss as incurred. Land and buildings are measured at fair value using the revaluation model, less accumulated depreciation on buildings and any impairment losses recognised after the date of the revaluation. Valuations are performed every three years, or sooner should there be a significant change in market conditions or are as a result of lending requirements, to ensure that the fair value of a revalued asset does not differ materially from its carrying amount. Depreciation is calculated on a straight-line basis over the estimated useful life of the specific assets as follows: – Land not depreciated – Buildings 20 years – Plant and equipment 1 – 20 years – Leasehold improvements 5 – 10 years or lease life if shorter The assets’ residual values, useful lives and amortisation methods are reviewed, and adjusted prospectively if appropriate, at each financial year end. Revaluations of land and buildings Any revaluation increment is credited to the asset revaluation reserve in equity, except to the extent that it reverses a revaluation decrement for the same asset previously recognised in profit or loss, in which case the increment is recognised in profit or loss. Any revaluation decrement is recognised in profit or loss, except to the extent that it offsets a previous revaluation increment for the same asset, in which case the decrement is debited directly to the asset revaluation reserve to the extent of the credit balance existing in the revaluation reserve for that asset. Any accumulated depreciation as at the revaluation date is eliminated against the gross carrying amounts of the assets and the net amounts are restated to the revalued amounts of the assets. Gains and losses on disposals are determined by comparing proceeds with the carrying amount. These are included in the profit or loss. Upon disposal or derecognition, any revaluation reserve relating to the particular asset being sold is transferred to retained earnings. Derecognition An item of property, plant and equipment is derecognised upon disposal or when no future economic benefits are expected from its use or disposal. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in the profit and loss in the period the item is derecognised. j) Trade and other payables Trade and other payables are carried at amortised cost and represent liabilities for goods and services provided to the Group prior to the end of the financial 25. Summary of material accounting policies (continued) 66 | Bisalloy Steel Group Limited 2026 Annual Report
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year that are unpaid and arise when the Group becomes obliged to make future payments in respect of the purchase of these goods and services. k) Contributed equity Ordinary share capital is recognised at the fair value of the consideration received by the Company. Any transaction costs arising on the issue of ordinary shares are recognised directly in equity, net of tax, as a reduction of the share proceeds received. l) Employee benefits Liabilities arising in respect of short-term employee benefits such as annual leave and sick leave represent the amount which the entity has a present obligation to pay resulting from employees’ services provided up to the balance date. liabilities in respect of short-term employee benefits are measured at their nominal amounts. Long-term employee benefit liabilities such as long service leave represent the present value of the estimated future cash outflows to be made by the employer resulting from employees’ services provided up to the balance date. Long-term employee benefit liabilities are measured at their present values using corporate bond rates which most closely match the terms of maturity of the related liabilities. In determining the employee benefit liabilities, consideration has been given to future increases in wage and salary rates, and the Group’s experience with staff departures. Related on-costs have also been included in the liability. The Group contributes to defined contribution superannuation plans, as well as an unfunded defined benefit plan in Indonesia and a defined benefit plan in Thailand. m) Share-based payment transactions Employees of the Group receive remuneration in the form of a grant of Rights, whereby employees render services as consideration for equity instruments (‘equity-settled transactions’). There is currently a Long-Term Incentive Plan in place to provide these benefits. Where the Board determines that a Participant’s entitlement to Shares under a Vested Right may be satisfied wholly or partly in the form of cash rather than Shares, then the Participant shall receive, in lieu of all the Shares which would otherwise have been issued or transferred to him or her, the aggregate market value of such Shares, as determined by the Board. Where the Employee has requested up to 50% of the Vested Rights in the form of cash, the Board has historically agreed to that request. Equity-settled transactions The cost of equity-settled transactions with employees is measured by reference to the fair value at the date on which they are granted. The fair value is determined using a discounted cash flow methodology. In valuing equity-settled transactions, no account is taken of any performance conditions, other than conditions linked to the price of the shares of the issuer (‘market conditions’), if applicable. The cost of equity-settled transactions is recognised, together with a corresponding increase in equity, over the period in which the performance and/or service conditions are fulfilled, ending on the date on which the relevant employees become fully entitled to the award (‘vesting date’). Cash-settled transactions The cost of cash-settled transactions with employees is measured by reference to the fair value at the reporting date and ultimately at settlement. The fair value is determined by reference to the price of the shares of the issuer (‘market conditions’). The cost of cash-settled transactions is recognised, together with a corresponding increase in liability, over the period in which the performance and/or service conditions are fulfilled, ending on the date on which the relevant employees become fully entitled to the award (‘vesting date’). The cumulative expense recognised for both equity-settled and cash-settled transactions at each reporting date until vesting date reflects the extent to which the vesting period has expired and the Group’s best estimate of the number of equity instruments that will ultimately vest. This estimate is formed based on the best available information at balance date. The statement of profit or loss and other comprehensive income charge or credit for a period represents the movement in cumulative expense recognised as at the beginning and end of that period. No expense is recognised for Rights that do not ultimately vest. Any Rights that do not become vested Rights, lapse. The dilutive effect, if any, of outstanding Rights is reflected as additional share dilution in the computation of diluted earnings per share. 25. Summary of material accounting policies (continued) j) Trade and other payables (continued) 2026 Annual Report Bisalloy Steel Group Limited | 67
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 n) Provisions Provisions are recognised when the Group has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. Where the Group expects some or all of a provision to be reimbursed, for example under an insurance contract, the reimbursement is recognised as a separate asset but only when the reimbursement is virtually certain. The expense related to any provision is presented in the statement of comprehensive income net of any reimbursement. If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that reflects, where appropriate, the risks specific to the liability. Where discounting is used, the increase in the provision due to the passage of time is recognised as a borrowing cost. o) Financial instruments A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity. Financial assets Initial recognition and measurement Financial assets are classified, at initial recognition, as subsequently measured at amortised cost, fair value through other comprehensive income (OCI), and fair value through profit or loss. The classification of financial assets at initial recognition depends on the financial asset’s contractual cash flow characteristics and the Group’s business model for managing them. With the exception of trade receivables that do not contain a significant financing component, the Group initially measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs. Trade receivables that do not contain a significant financing component or for which the Group has applied the practical expedient are measured at the transaction price determined under IFRS 15. Refer to the accounting policies in note 25(q) Revenue from contracts with customers. In order for a financial asset to be classified and measured at amortised cost or fair value through OCI, it needs to give rise to cash flows that are ‘solely payments of principal and interest (SPPI)’ on the principal amount outstanding. This assessment is referred to as the SPPI test and is performed at an instrument level. The Group’s business model for managing financial assets refers to how it manages its financial assets in order to generate cash flows. The business model determines whether cash flows will result from collecting contractual cash flows, selling the financial assets, or both. Purchases or sales of financial assets that require delivery of assets within a time frame established by regulation or convention in the market place (regular way trades) are recognised on the trade date, i.e., the date that the Group commits to purchase or sell the asset. Subsequent measurement For purposes of subsequent measurement, financial assets are classified in four categories: – Financial assets at amortised cost (debt instruments) – Financial assets at fair value through OCI with recycling of cumulative gains and losses (debt instruments) – Financial assets designated at fair value through OCI with no recycling of cumulative gains and losses upon derecognition (equity instruments) – Financial assets at fair value through profit or loss Financial assets at amortised cost (debt instruments) This category is the most relevant to the Group. The Group measures financial assets at amortised cost if both of the following conditions are met: – The financial asset is held within a business model with the objective to hold financial assets in order to collect contractual cash flows; and – The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. Financial assets at amortised cost are subsequently measured using the effective interest rate (EIR) method and are subject to impairment. Gains and losses are recognised in profit or loss when the asset is derecognised, modified or impaired. The Group’s financial assets at amortised cost include trade receivables. Financial assets at fair value through profit or loss Financial assets at fair value through profit or loss include derivative assets which are mandatorily required to be measured at fair value. Derivatives are classified as held for trading unless they are designated as effective hedging instruments. 25. Summary of material accounting policies (continued) 68 | Bisalloy Steel Group Limited 2026 Annual Report
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Financial assets at fair value through profit or loss are carried in the statement of financial position at fair value with net changes in fair value recognised in the statement of profit or loss. Derecognition A financial asset (or, where applicable, a part of a financial asset or part of a group of similar financial assets) is primarily derecognised (i.e., removed from the Group’s consolidated statement of financial position) when the rights to receive cash flows from the asset have expired. Impairment Further disclosures relating to impairment of financial assets are also provided in the following notes: – Significant accounting judgements, estimates and assumptions note 25(c) – Trade and other receivables note 25(g) The Group recognises an allowance for expected credit losses (ECLs) for all debt instruments not held at fair value through profit or loss. ECLs are based on the difference between the contractual cash flows due in accordance with the contract and all the cash flows that the Group expects to receive, discounted at an approximation of the original effective interest rate. The expected cash flows will include cash flows from the sale of collateral held or other credit enhancements that are integral to the contractual terms. ECLs are recognised in two stages. For credit exposures for which there has not been a significant increase in credit risk since initial recognition, ECLs are provided for credit losses that result from default events that are possible within the next 12-months (a 12-month ECL). For those credit exposures for which there has been a significant increase in credit risk since initial recognition, a loss allowance is required for credit losses expected over the remaining life of the exposure, irrespective of the timing of the default (a lifetime ECL). For trade receivables and contract assets, the Group applies a simplified approach in calculating ECLs. Therefore, the Group does not track changes in credit risk, but instead recognises a loss allowance based on lifetime ECLs at each reporting date. The Group has established a provision matrix that is based on its historical credit loss experience, adjusted for forward-looking factors specific to the debtors and the economic environment. The Group considers a financial asset in default when internal or external information indicates that the Group is unlikely to receive the outstanding contractual amounts in. A financial asset is written off when there is no reasonable expectation of recovering the contractual cash flows. Financial liabilities Initial recognition and measurement Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss, loans and borrowings, payables, or as derivatives designated as hedging instruments in an effective hedge, as appropriate. All financial liabilities are recognised initially at fair value and, in the case of loans and borrowings and payables, net of directly attributable transaction costs. The Group’s financial liabilities include trade and other payables, loans and borrowings including bank overdrafts, and derivative financial instruments. Subsequent measurement The measurement of financial liabilities depends on their classification, as described below: Financial liabilities at fair value through profit or loss Financial liabilities at fair value through profit or loss include financial liabilities held for trading and financial liabilities designated upon initial recognition as at fair value through profit or loss. Financial liabilities are classified as held for trading if they are incurred for the purpose of repurchasing in the near term. This category also includes derivative financial instruments entered into by the Group that are not designated as hedging instruments in hedge relationships as defined by IFRS 9. Separated embedded derivatives are also classified as held for trading unless they are designated as effective hedging instruments. Gains or losses on liabilities held for trading are recognised in the statement of profit or loss. Financial liabilities designated upon initial recognition at fair value through profit or loss are designated at the initial date of recognition, and only if the criteria in IFRS 9 are satisfied. The Group has not designated any financial liability as at fair value through profit or loss. Financial liabilities at amortised cost This is the category most relevant to the Group. After initial recognition, interest-bearing loans and borrowings are subsequently measured at amortised cost using the EIR method. Gains and losses are recognised in profit or loss when the liabilities are derecognised as well as through the EIR amortisation process. 25. Summary of material accounting policies (continued) o) Financial instruments (continued) 2026 Annual Report Bisalloy Steel Group Limited | 69
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortisation is included as finance costs in the statement of profit or loss. All loans and borrowings are classified as current liabilities unless the Group has an unconditional right to defer settlement of the liability for at least 12 months after the reporting date. This category generally applies to interest-bearing loans and borrowings. For more information, refer to note 17. Derecognition A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognised in the statement of profit or loss. Offsetting of financial instruments Financial assets and financial liabilities are offset and the net amount is reported in the consolidated statement of financial position if there is a currently enforceable legal right to offset the recognised amounts and there is an intention to settle on a net basis, to realise the assets and settle the liabilities simultaneously. p) Goods and services tax Revenues, expenses and assets are recognised net of the amount of goods and services tax (GST), or GST equivalents, such as Value Added Tax, except: – where the amount of GST incurred is not recoverable from the Australian Tax Office (ATO), or equivalent foreign organisations. In these circumstances the GST is recognised as part of the cost of acquisition of the asset or as part of an item of the expenses; – receivables and payables are stated with the amount of GST included. The net amount of GST recoverable from, or payable to, the ATO is included as part of receivables or payables in the statement of financial position. Cash flows are included in the statement of cash flows on a gross basis. The GST components of cash flows arising from investing and financing activities which are recoverable from, or payable to, the ATO are classified as operating cash flows. Commitments and contingencies are disclosed net of the amount of GST recoverable from, or payable to, the taxation authority. q) Revenue from contracts with customers The Group is in the business of manufacturing and selling quenched and tempered steel plates. Revenue from contracts with customers is recognised when control of the goods or services are transferred to the customer at an amount that reflects the consideration to which the Group expects to be entitled in exchange for those goods or services. The Group has concluded that it is the principal in its revenue arrangements, as it controls the goods or services before transferring them to the customer. Sale of goods Revenue from the sale of steel plates is recognised at the point in time when control of the asset is transferred to the customer, which is on delivery of the goods for domestic sales, on invoice for Bill and Hold sales and on bill of lading for export sales. Revenue from the services of shipping and handling is recognised over time as the service is performed. The normal credit terms are 30 to 90 days upon end of month invoiced. The Group considers whether there are other promises in the contract that are separate performance obligations to which a portion of the transaction price needs to be allocated (e.g., shipping). In determining the transaction price for the sale of goods, the Group considers the effects of variable consideration, the existence of significant financing components, non- cash consideration, and consideration payable to the customer (if any). (i) Variable consideration If the consideration in a contract includes a variable amount, the Group estimates the amount of consideration to which it will be entitled in exchange for transferring the goods to the customer. The variable consideration is estimated at contract inception and constrained until it is highly probable that a significant revenue reversal in the amount of cumulative revenue recognised will not occur when the associated uncertainty with the variable consideration is subsequently resolved. Some contracts for the sale of steel plates provide customers with a right of return and early settlement discounts. The rights 25. Summary of material accounting policies (continued) o) Financial instruments (continued) 70 | Bisalloy Steel Group Limited 2026 Annual Report
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of return and early settlement discounts give rise to variable consideration. Early settlement discounts The Group provides early settlement discounts to certain customers if the payment for the sale of goods is made within a specified period of time. The discounts are offset against amounts payable by the customer. To estimate the variable consideration to which it will be entitled, the Group applies the ‘expected value method’ to estimate the settlement discounts that will be issued. This method best predicts the amount of variable consideration to which the Group will be entitled. The Group then applies the requirements on constraining estimates of variable consideration that can be included in the transaction price. (ii) Significant financing component Generally, the Group receives payment for the sale of goods between 30 to 90 days after the goods have been delivered. Should a significant financing component exist, the Group will apply the practical expedient in AASB 15. Using this, the Group does not adjust the promised amount of consideration for the effects of a significant financing component if it expects, at contract inception, that the period between the transfer of the promised good or service to the customer and when the customer pays for that good or service will be one year or less. (iii) Non-cash consideration The Group does not receive non-cash consideration for the sale of goods. Contract balances Contract assets A contract asset is the right to consideration in exchange for goods or services transferred to the customer. If the Group performs by transferring goods or services to a customer before the customer pays consideration or before payment is due, a contract asset is recognised for the earned consideration that is conditional. Trade receivables A receivable represents the Group’s right to an amount of consideration that is unconditional (i.e., only the passage of time is required before payment of the consideration is due). Refer to accounting policies of financial assets in section o) Financial instruments – initial recognition and subsequent measurement. Contract liabilities A contract liability is the obligation to transfer goods or services to a customer for which the Group has received consideration (or an amount of consideration is due) from the customer. If a customer pays consideration before the Group transfers goods or services to the customer, a contract liability is recognised when the payment is made or the payment is due (whichever is earlier). Contract liabilities are recognised as revenue when the Group performs under the contract. r) Other income Other income is recognised when it is received or when the right to receive payment is established. Interest income Interest income is recognised as it accrues using the effective interest rate (EIR) method. The EIR is the rate that exactly discounts estimated future cash receipts over the expected life of the financial asset to the net carrying amount of the financial asset. Interest income is included in finance income in the statement of profit or loss and other comprehensive income. Dividend income Dividend income is recognised when the Group’s right to receive the payment is established. s) Foreign currency translation The Group’s consolidated financial statements are presented in Australian dollars (AUD$), which is the Company’s functional and presentation currency. Each entity in the Group determines its own functional currency and items included in the financial statements of each entity are measured using that functional currency. Transactions in foreign currencies are initially recorded in the functional currency rate ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated at the functional currency rate of exchange ruling at the statement of financial position date. All differences are taken to profit or loss. Non-monetary items that are measured in terms of historical cost in a foreign currency are translated using the exchange rates as at the dates of the initial transactions. The functional currency of the foreign operations is the currency in circulation in the country they each reside in. As at the reporting date, the assets and liabilities of these subsidiaries are translated into the Company’s presentation currency (AUD$) at the 25. Summary of material accounting policies (continued) q) Revenue from contracts with customers (continued) 2026 Annual Report Bisalloy Steel Group Limited | 71
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Notes to the Consolidated Financial Statements (continued) For the year ended 30 June 2026 rate of exchange ruling at balance date, and their income statements are translated at the weighted average exchange rates for the year. The exchange differences arising on the translation are recognised in the foreign currency translation reserve within equity. On disposal of a foreign entity, the deferred cumulative amount recognised in equity relating to that particular foreign operation is recognised in the statement of comprehensive income. t) Earnings per share (EPS) Basic EPS is calculated as net profit attributable to members, adjusted to exclude costs of servicing equity (other than dividends), divided by the weighted average number of ordinary shares, adjusted for any bonus element. Diluted EPS is calculated as net profit attributable to members, adjusted for: – costs of servicing equity (other than dividends); - the after tax effect of dividends and interest associated with dilutive potential ordinary shares that have been recognised as expenses; and - other non-discretionary changes in revenues or expenses during the period that would result from the dilution of potential ordinary shares divided by the weighted average number of ordinary shares and dilutive potential ordinary shares, adjusted for any bonus element. u) Fair value measurement The Group measure financial instruments such as derivatives at fair value at each reporting date. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either: – in the principal market for the asset or liability, or – in the absence of a principal market, in the most advantageous market for the asset or liability. The principal or the most advantageous market must be accessible by the Group. The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest. The Group uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximising the use of relevant observable inputs and minimising the use of unobservable inputs. All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole: - Level 1 – Quoted (unadjusted) market prices in active markets for identical assets or liabilities. - Level 2 – Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable. - Level 3 – Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable. For assets and liabilities that are recognised in the financial statements on a recurring basis, the Group determines whether transfers have occurred between Levels in the hierarchy by re-assessing categorisation (based on the lowest level input that is significant to the fair value measurement as a whole) at the end of the reporting period. v) Changes in accounting standards The accounting policies adopted in the preparation of the consolidated financial statements are consistent with those followed in the preparation of the Group’s annual consolidated financial statements for the year ended 30 June 2025, except for the adoption of new standards effective as of 1 July 2025. The Group has not early adopted any other standard, interpretation or amendment that has been issued but is not yet effective. w) Standards issued but not yet effective Australian Accounting Standards and Interpretations that have recently been issued or amended but are not yet mandatory, have not been early adopted by the Consolidated Entity for the annual reporting period ended 30 June 2026. The Consolidated Entity has not yet assessed the impact of these new or amended Accounting Standards and Interpretations. AASB S2 was issued by the Australian Accounting Standards Board and is applicable to Group 1 entities for annual reporting periods beginning on or after 25. Summary of material accounting policies (continued) s) Foreign currency translation (continued) 72 | Bisalloy Steel Group Limited 2026 Annual Report
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Consolidated Entity Disclosure Statement For the year ended 30 June 2026 1 January 2025, with later application to Group 2 entities. As the Company is classified as a Group 2 entity, AASB S2 is not mandatory for the financial year ended 30 June 2026 and has not been early adopted. The Company is currently assessing the potential impact of AASB S2 and will adopt the standard when it becomes applicable. Entity Name Entity Type Country of Incorporation Ownership interest % Australian resident or foreign resident (for tax purposes) Foreign tax jurisdiction of foreign residents Bisalloy Steels Pty Limited Body Corporate Australia 100.00 Australian Australia Bisalloy Digital Solutions Pty Ltd Body Corporate Australia 100.00 Australian Australia PT Bima Bisalloy Body Corporate Indonesia 60.00 Foreign Indonesia Bisalloy Holdings (Thailand) Co Ltd Body Corporate Thailand 85.00 Foreign Thailand Bisalloy (Thailand) Co Limited Body Corporate Thailand 85.00 Foreign Thailand Bisalloy North America LLC^ Body Corporate United States of America 100.00 Foreign Disregarded Entity ^ This entity continues to be dormant and is a Disregarded entity for US Federal income tax purposes. Bisalloy Steel Group (the ‘head entity’) and its wholly-owned Australian subsidiaries have formed an income tax consolidated group under the tax consolidation regime. 2026 Annual Report Bisalloy Steel Group Limited | 73
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Directors’ Declaration For the year ended 30 June 2026 In accordance with a resolution of the directors of Bisalloy Steel Group Limited, I state that: In the opinion of the directors: a. t he financial statements and notes of the Consolidated Entity are in accordance with the Corporations Act 2001, including: (i) g iving a true and fair view of the Consolidated Entity’s financial position as at 30 June 2026 and of its performance for the year ended on that date; and (ii) c omplying with Australian Accounting Standards (including the Australian Accounting Interpretations) and the Corporations Regulations 2001; b. t he financial statements and notes also comply with International Financial Reporting Standards (IFRS) as disclosed in note 25. c. t here are reasonable grounds to believe that the Company will be able to pay its debts as and when they become due and payable. d. a t the date of this declaration, there are reasonable grounds to believe that the members of the Closed Group identified in note 21 will be able to meet any obligations or liabilities to which they are, or may become, subject by virtue of the Deed of Cross Guarantee. e. t he information disclosed in the attached Consolidated Entity disclosure statement is true and correct. f. t his declaration has been made after receiving the declarations required to be made to the Directors in accordance with section 295A of the Corporations Act 2001 for the financial year ended 30 June 2026. On behalf of the Board Mr Rowan Melrose Managing Director and CEO Sydney 26 August 2026 74 | B isalloy Steel Group Limited 2026 Annual Report
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RSM Australia Partners is a member of the RSM network and trades as RSM. RSM is the trading name used by the members of the RSM network. Each member of the RSM network is an independent accounting and consulting firm which practices in its own right. The RSM network is not itself a separate legal entity in any jurisdiction. RSM Australia Partners ABN 36 965 185 036 Liability limited by a scheme approved under Professional Standards Legislation RSM Australia Partners Level 7, 1 Martin Place Sydney NSW 2000 Australia T +61 (02) 8226 4500 F +61 (02) 8226 4501 rsm.com.au Page 75 INDEPENDENT AUDITOR’S REPORT To the Members of Bisalloy Steel Group Limited REPORT ON THE AUDIT OF THE FINANCIAL REPORT Opinion We have audited the financial report of Bisalloy Steel Group Limited. (the Company) and its subsidiaries (the Group), which comprises the consolidated statement of financial position as at 30 June 2026 , the consolidated statement of comprehensive income, the consolidated statement of changes in equity and the consolidated statement of cash flows for the year then ended, and notes to the financial statements, including material accounting policy informat ion, the consolidated entity disclosure statement and the directors' declaration. In our opinion the accompanying financial report of the Group is in accordance with the Corporations Act 2001, including: (i) giving a true and fair view of the Group's financial position as at 30 June 2026 and of its financial performance for the year then ended; and (ii) complying with Australian Accounting Standards and the Corporations Regulations 2001. Basis for Opinion We conducted our audit in accordance with Australian Auditing Standards. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Report section of our report. We are independent of the Group in accordance with the auditor independence requirements of the Corporations Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Board's APES 110 Code of Ethics for Professional Accountants (including independence standards) (the Code) that are relevant to our audit of the financial report in Australia. We have also fulfilled our other ethical responsibilities in accordance with the Code. We confirm that the independence declaration required by the Corporations Act 2001, which has been given to the directors of the Company, would be in the same terms if given to the directors as at the time of this auditor's report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Key Audit Matters Key audit matters are those matters that, in our professional judgement, were of most significance in our audit of the financial report of the current period. These matters were addressed in the context of our audit of the financial report, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.
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Other Information The directors are responsible for the other information. The other information comprises the information included in the Group's annual report for the year ended 30 June 2026 but does not include the financial report and the auditor's report thereon. Our opinion on the financial report does not cover the other information and accordingly we do not express any form of assurance conclusion thereon. In connection with our audit of the financial report, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial report, or our knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Key Audit Matter How our audit addressed this matter Recognition of Revenue - Refer to Note 2 in the financial statements Revenue for the year ended 30 June 2026 was $136,592,000. The primary revenue stream is sale of goods. Revenue is a Key Audit Matter because: • significance of revenue in financial statement • there are contracts that contain performance obligations satisfied over time that include the services of shipping and handling. This results in complex and judgemental revenue recognition to allocate the accurate transaction prices of sale of goods portion and services portion. • in determining the transaction price for the sale of goods, the management considers the effects of variable consideration, existence of significant financing components, non -cash consideration, and consideration payable to the customer (if any). • the Group has a revenue recognised over a satisfaction of performance obligation in a bill-and- hold arrangement in which the management recognise revenue on invoice. Our audit procedures included, among others: • Obtaining an understanding of the systems and procedures put in place by management in adopting AASB 15 and evaluating their effectiveness. • Assessing the appropriateness of the Group’s accounting policies for the recognition and measurement of revenue, including variable consideration, against the requirements of AASB 15 Revenue from Contracts with Customers. • Obtaining external audit confirmation of sales transactions from a sample of customers. • Year-end cut -off, selecting samples of revenue transactions across varying contract arrangements applicable to the Group and test against the timing of revenue recognition to underlying documents including, the sales invoice, delivery dockets and bill of lading. • Obtaining understanding of the Group’s estimate of the highly probable amount of the variable consideration against the specific contract terms. This includes the customers’ early settlement discounts against the terms of the contract. • Considering the management’s presentation of sales performance obligation satisfied in a bill -and-hold arrangement per AASB 15 para. 119(a). • Assessing the adequacy of the disclosures in the financial statements. Page 76
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Responsibilities of the Directors for the Financial Report The directors of the Company are responsible for the preparation of: a. the financial report (other than the consolidated entity disclosure statement) that gives a true and fair view in accordance with Australian Accounting Standards and the Corporations Act 2001; and b. the consolidated entity disclosure statement that is true and correct in accordance with the Corporations Act 2001, and for such internal control as the directors determine is necessary to enable the preparation of: i. the financial report (other than the consolidated entity disclosure statement) that gives a true and fair view and is free from material misstatement, whether due to fraud or error; and ii. the consolidated entity disclosure statement that is true and correct and is free of misstatement, whether due to fraud or error. In preparing the financial report, the directors are responsible for assessing the ability of the Group to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Group or to cease operations, or have no realistic alternative but to do so. Auditor's Responsibilities for the Audit of the Financial Report Our objectives are to obtain reasonable assurance about whether the financial report as a whole is free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with the Australian Auditing Standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of this financial report. A further description of our responsibilities for the audit of the financial report is located at the Auditing and Assurance Standards Board website at: https://www.auasb.gov.au/media/bwvjcgre/ar1_2024.pdf This description forms part of our auditor's report. REPORT ON THE REMUNERATION REPORT Opinion on the Remuneration Report We have audited the Remuneration Report included in pages 10 to 20 of the dir ectors' report for the year ended 30 June 2026. In our opinion, the Remuneration Report of Bisalloy Steel Group Limited., for the year ended 30 June 2026 , complies with section 300A of the Corporations Act 2001. Responsibilities The directors of the Company are responsible for the preparation and presentation of the Remuneration Report in accordance with section 300A of the Corporations Act 2001. Our responsibility is to express an opinion on the Remuneration Report, based on our audit conducted in accordance with Australian Auditing Standards. Louis Quintal Partner RSM Australia Partners Sydney, NSW Page 77
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ASX Additional Information For the year ended 30 June 2026 Additional information required by the Australian Securities Exchange Limited and not shown elsewhere in this report is as follows. The information is current as at 31 July 2026. Ordinary Shares Number of Holders Number of Shares a. Distribution of equity securities The number of shareholders, by size of holding in each class of share are: 1 – 1,000 2,046 971,152 1,001 – 5,000 1,730 4,495,272 5,001 – 10,000 571 4,427,639 10,001 – 100,000 566 15,035,748 100,001 and over 27 23,111,202 Total 4,940 48,041,013 The number of shareholders holding less than a marketable parcel of shares based on a share price of $4.8900. 103 8,763 There are performance rights issued. Performance rights do not carry a right to vote. Listed Ordinary Shares Number of Shares % of Ordinary Shares b. Twenty largest shareholders The names of the twenty largest holders of quoted shares are: 1 BALRON NOMINEES PTY LIMITED 7,409,505 15.42 2 CITICORP NOMINEES PTY LIMITED 3,275,363 6.82 3 J P MORGAN NOMINEES AUSTRALIA PTY LIMITED 2,752,387 5.73 4 BNP PARIBAS NOMINEES PTY LTD <IB AU NOMS RETAILCLIENT> 1,620,632 3.37 5 EVELIN INVESTMENTS PTY LIMITED 1,349,330 2.81 6 TRAFALGAR CUSTODIANS PTY LTD <THE FORFAR A/C> 700,000 1.46 7 MR MANFRED REIS + MRS EVELYN JEANETTE REIS <REIS PENSION&SUPER FUND A/C> 650,000 1.35 8 RATHVALE PTY LIMITED 592,740 1.23 9 KILCONQUHAR SUPERANNUATION FUND PTY LTD <KILCONQUHAR SUPER FUND A/C> 490,000 1.02 10 SOUTHERN STEEL INVESTMENTS PTY LIMITED 478,454 1.00 11 MR NIGEL BURGESS + MRS YUKARI BURGESS <NENKIN SUPER FUND A/C> 447,317 0.93 12 G CHAN PENSION PTY LTD <CHAN SUPER FUND A/C> 423,378 0.88 13 BALKIN PTY LTD <BALKIN SUPER FUND A/C> 371,590 0.77 14 HSBC CUSTODY NOMINEES (AUSTRALIA) LIMITED 298,103 0.62 15 ALLOY STEELS AUSTRALIA PTY LTD 256,935 0.53 16 MATTHEW GRAEME ENBOM 255,926 0.53 17 KAMGA PTY LTD <KAMGA A/C> 210,000 0.44 18 MARTRE PROPERTIES PTY LIMITED <SUPER FUND A/C> 200,000 0.42 19 BNP PARIBAS NOMS PTY LTD 181,043 0.38 20 HILLMORTON CUSTODIANS PTY LTD <THE LENNOX UNIT A/C> 176,000 0.37 78 | Bisalloy Steel Group Limited 2026 Annual Report
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Dates of last notice Number of Shares Fully Paid % c. Substantial shareholders The names of substantial shareholders who have notified the Company in accordance with section 671B of the Corporations Act 2001 are: SOUTHERN STEEL INVESTMENTS PTY LIMITED 31 August 2020 8,664,611 18.04 SAMUEL TERRY ASSET MANAGEMENT PTY LTD 26 November 2025 3,268,502 6.80 d. Voting rights All ordinary shares carry one vote per share without restriction. 2026 Annual Report Bisalloy Steel Group Limited | 79
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Corporate Directory For the year ended 30 June 2026 Registered Office 18 Resolution Drive Unanderra NSW 2526 Telephone: +61 (0)2 4272 0444 Facsimile: +61 (0)2 4272 0445 www.bisalloy.com.au companysecretary@bisalloy.com.au Auditors RSM Australia Partners Level 7, 1 Martin Place Sydney NSW 2000 Telephone: +61 (0)2 8226 4500 Facsimile: +61 (0)2 8226 4501 www.rsm.global/australia Bankers Westpac Banking Corporation Share Registry Computershare Yarra Falls 452 Johnston Street Abbotsford VIC 3067 GPO Box 2975 Melbourne VIC 3001 Telephone (within Australia): 1300 738 768 Telephone: +61 (0)3 9415 4377 Facsimile: +61 (0)3 9473 2500 www.computershare.com Legal Advisors Holding Redlich Level 8, 555 Bourke Street Melbourne VIC 3000 Telephone: +61 (0)3 9321 9999 www.holdingredlich.com Annual General Meeting The Group will hold its 2026 Annual General Meeting at 11:00am on Friday, 6 November 2026. Copies of the annual report or further information can be obtained by emailing companysecretary@bisalloy.com.au or writing to the Company Secretary at the registered office. An electronic copy of this report is available on the Company’s website. 80 | Bisalloy Steel Group Limited 2026 Annual Report
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STEEL GROUP LIMITED